Document:

Exhibit 10.1

Exhibit 10.1

EXECUTION COPY

 

RECEIVABLES PURCHASE AGREEMENT

Dated as of November 25, 2009

Among

LPAC CORP.,

as the Seller

and

LENNOX INDUSTRIES INC.,

as the Master Servicer

and

VICTORY RECEIVABLES CORPORATION,

as a Purchaser

and

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH,

as a Liquidity Bank

and

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH,

as Administrative Agent and the BTMU Purchaser Agent

 

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page	 
	 
	Article I. Purchases and Reinvestments
	 	 	2	 
	Section 1.1 Commitments to Purchase; Limits on Purchasers’ Obligations
	 	 	2	 
	Section 1.2 Purchase Procedures; Assignment of the Investors’ Interests
	 	 	2	 
	Section 1.3 Reinvestments of Certain Collections; Payment of Remaining Collections
	 	 	3	 
	Section 1.4 Asset Interest
	 	 	6	 
	 
	 	 	 	 
	Article II. Computational Rules
	 	 	7	 
	Section 2.1 Selection, Dividing or Combining of Asset Tranches
	 	 	7	 
	Section 2.2 Computation of Invested Amount and Purchaser Group’s Tranche Investment
	 	 	7	 
	Section 2.3 Computation of Concentration Limits and Unpaid Balance
	 	 	8	 
	Section 2.4 Computation of Earned Discount
	 	 	8	 
	Section 2.5 Estimates of Earned Discount Rate, Fees, etc.
	 	 	8	 
	 
	 	 	 	 
	Article III. Settlements
	 	 	9	 
	Section 3.1 Settlement Procedures
	 	 	9	 
	Section 3.2 Deemed Collections; Reduction of Invested Amount, Etc.
	 	 	13	 
	Section 3.3 Payments and Computations, Etc.
	 	 	14	 
	Section 3.4 Treatment of Collections and Deemed Collections
	 	 	16	 
	Section 3.5 Sharing of Payments
	 	 	16	 
	Section 3.6 Repurchase of Asset Interest
	 	 	17	 
	 
	 	 	 	 
	Article IV. Fees and Yield Protection
	 	 	17	 
	Section 4.1 Fees
	 	 	17	 
	Section 4.2 Yield Protection
	 	 	17	 
	Section 4.3 Funding Losses
	 	 	19	 
	 
	 	 	 	 
	Article V. Conditions of Purchases
	 	 	19	 
	Section 5.1 Closing Date; Conditions Precedent to Initial Purchase
	 	 	19	 
	Section 5.2 Conditions Precedent to All Purchases and Reinvestments
	 	 	21	 
	 
	 	 	 	 
	Article VI. Representations and Warranties
	 	 	22	 
	Section 6.1 Representations and Warranties of the Seller Parties
	 	 	22	 
	 
	 	 	 	 
	Article VII. General Covenants of the Seller Parties
	 	 	27	 
	Section 7.1 Affirmative Covenants of the Seller Parties
	 	 	27	 
	Section 7.2 Reporting Requirements of the Seller Parties
	 	 	29	 
	Section 7.3 Negative Covenants of the Seller Parties
	 	 	31	 
	Section 7.4 Separate Corporate Existence of the Seller
	 	 	34	 
	 
	 	 	 	 
	Article VIII. Administration and Collection
	 	 	37	 
	Section 8.1 Designation of Master Servicer
	 	 	37	 

 

i

 

	 	 	 	 	 
	 	 	Page	 
	 
	Section 8.2 Duties of Master Servicer
	 	 	37	 
	Section 8.3 [Reserved]
	 	 	39	 
	Section 8.4 Servicer Defaults
	 	 	39	 
	Section 8.5 Rights of the Administrative Agent
	 	 	40	 
	Section 8.6 Responsibilities of the Seller Parties
	 	 	41	 
	Section 8.7 Further Action Evidencing Purchases and Reinvestments
	 	 	41	 
	Section 8.8 Application of Collections
	 	 	42	 
	 
	 	 	 	 
	Article IX. Security Interest
	 	 	43	 
	Section 9.1 Grant of Security Interest
	 	 	43	 
	Section 9.2 Further Assurances
	 	 	43	 
	Section 9.3 Remedies
	 	 	43	 
	 
	 	 	 	 
	Article X. Liquidation Events
	 	 	44	 
	Section 10.1 Liquidation Events
	 	 	44	 
	Section 10.2 Remedies
	 	 	47	 
	 
	 	 	 	 
	Article XI. The Administrative Agent
	 	 	47	 
	Section 11.1 Administrative Agent Authorization and Action
	 	 	47	 
	Section 11.2 Administrative Agent’s Reliance, Etc.
	 	 	47	 
	Section 11.3 BTMUNY and Affiliates
	 	 	48	 
	Section 11.4 Liquidity Bank’s Purchase Decision
	 	 	48	 
	Section 11.5 Indemnification of Agent
	 	 	48	 
	Section 11.6 BTMU Purchaser Agent Authorization and Action
	 	 	49	 
	Section 11.7 Purchaser Agent’s Reliance, Etc.
	 	 	49	 
	 
	 	 	 	 
	Article XII. Assignments
	 	 	49	 
	Section 12.1 Restrictions on Assignments
	 	 	49	 
	Section 12.2 Rights of Assignee
	 	 	50	 
	Section 12.3 Terms and Evidence of Assignment
	 	 	51	 
	Section 12.4 Rights of Liquidity Banks
	 	 	51	 
	 
	 	 	 	 
	Article XIII. Indemnification
	 	 	51	 
	Section 13.1 Indemnities by the Seller
	 	 	51	 
	Section 13.2 Indemnities by Master Servicer
	 	 	54	 
	 
	 	 	 	 
	Article XIV. Miscellaneous
	 	 	55	 
	Section 14.1 Amendments, Etc.
	 	 	55	 
	Section 14.2 Notices, Etc.
	 	 	55	 
	Section 14.3 No Waiver; Remedies
	 	 	55	 
	Section 14.4 Binding Effect; Survival
	 	 	56	 
	Section 14.5 Costs, Expenses and Taxes
	 	 	56	 
	Section 14.6 No Proceedings
	 	 	57	 
	Section 14.7 Confidentiality of Seller Information
	 	 	57	 
	Section 14.8 Captions and Cross References
	 	 	59	 
	Section 14.9 Integration
	 	 	59	 
	Section 14.10 Governing Law
	 	 	60	 

 

ii

 

	 	 	 	 	 
	 	 	Page	 
	 
	Section 14.11 Waiver Of Jury Trial
	 	 	60	 
	Section 14.12 Consent To Jurisdiction; Waiver Of Immunities
	 	 	60	 
	Section 14.13 Execution in Counterparts
	 	 	60	 
	Section 14.14 No Recourse Against Other Parties
	 	 	61	 
	Section 14.15 Severability of Provisions
	 	 	61	 

APPENDIX

	 	 	 
	Appendix A

	 	Definitions

SCHEDULES

	 	 	 
	Schedule 6.1(n)

	 	List of Offices of the Master Servicer and the Seller where Records are Kept
	Schedule 6.1(o)

	 	List of Lockbox Banks and Lockbox Accounts
	Schedule 6.1(u)

	 	Capitalization of Seller
	Schedule 14.2

	 	Notice Addresses

EXHIBITS

	 	 	 
	Exhibit 1.2(a)

	 	Form of Purchase Request
	Exhibit 3.1(a)

	 	Form of Information Package
	Exhibit 3.1(a)-2

	 	Form of Weekly Report
	Exhibit A-1

	 	Form of Lockbox Agreement
	Exhibit B

	 	Form of Certificate of Financial Officer
	Exhibit C

	 	Credit and Collection Policy of Lennox Industries Inc.
	Exhibit D

	 	Form of Assignment and Acceptance

 

iii

 

RECEIVABLES PURCHASE AGREEMENT

Dated as of November 25, 2009

RECEIVABLES PURCHASE AGREEMENT (the “Agreement”) among:

(1) LPAC CORP., a Delaware corporation (together with its successors and permitted assigns,
the “Seller”),

(2) LENNOX INDUSTRIES INC., an Iowa corporation (together with its successors,
“Lennox”), as master servicer hereunder (in such capacity, together with any successor
master servicer appointed pursuant to Section 8.1, the “Master Servicer”, Lennox in
its capacity as the Master Servicer, together with the Seller, each a “Seller Party” and
collectively the “Seller Parties”),

(3) VICTORY RECEIVABLES CORPORATION, a Delaware corporation, as a Purchaser (in such capacity,
together with any successors and assigns thereto in such capacity, the “BTMU Purchaser”),
and

(4) THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH, (“BTMUNY”), as
(a) administrative agent for the Investors (in such capacity, together with any successors and
assigns thereto in such capacity, the “Administrative Agent”), (b) the purchaser agent for
the BTMU Purchaser Group (in such capacity, together with any successors and assigns thereto in
such capacity, the “BTMU Purchaser Agent”) and (c) a BTMU Liquidity Bank.

Unless otherwise indicated, capitalized terms used in this Agreement are defined in
Appendix A.

Background

1. The Originators and Heatcraft own 100% of the issued and outstanding capital stock of the
Seller, a special purpose corporation.

2. The Originators are engaged in the heating, ventilating, air conditioning and refrigeration
businesses.

3. Each of the Originators and the Seller has entered into the Sale Agreement pursuant to
which the Originators have transferred, and hereafter will transfer, to the Seller all of their
respective right, title and interest in and to the Pool Receivables and certain related property in
accordance with the terms and subject to the conditions set forth in the Sale Agreement.

4. The Seller has requested the Purchasers, and the Purchasers (or to the extent any Purchaser
declines, each Liquidity Bank in such Purchaser’s Purchaser Group party hereto) have agreed,
subject to the terms and conditions contained in this Agreement, to purchase from the Seller from
time to time undivided percentage ownership interests, referred to herein as the Asset Interest, in
the Pool Receivables and related property.

 

 

 

5. The Seller and the Investors also desire that, subject to the terms and conditions of this
Agreement, certain of the daily Collections in respect of the Asset Interests be reinvested in Pool
Receivables, which reinvestment shall constitute part of the Asset Interests.

6. The parties to this Agreement also desire that, pursuant to the terms hereof, Lennox be
appointed, and act, as the initial Master Servicer of the Pool Receivables and related property.

7. BTMUNY has been requested, and is willing, to act as the Administrative Agent and the BTMU
Purchaser Agent under this Agreement.

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

Article I.

Purchases and Reinvestments

Section 1.1 Commitments to Purchase; Limits on Purchasers’ Obligations.

Upon the terms and subject to the conditions of this Agreement (including, without limitation,
Article V), from time to time prior to the Termination Date, the Seller may request that
the Purchasers purchase from the Seller undivided percentage ownership interests in Pool
Receivables and Related Assets, and the Purchasers may, in their sole discretion, make such
purchase, or if any Purchaser shall decline to make such Purchase, one or more Liquidity Banks
party to this Agreement in such Purchaser’s Purchaser Group shall make such purchase (in any such
case, each being a “Purchase”); provided that no Purchase shall be made by any
Investor if, after giving effect thereto (and after giving effect to any reductions in the Invested
Amount or any Purchaser Group Invested Amount to be made on the date of such Purchase (whether from
the distributions of Collections or otherwise)), (i) the Invested Amount would exceed $100,000,000)
(the “Purchase Limit”), (ii) the Purchaser Group Invested Amount of such Investor’s
Purchaser Group would exceed such Purchaser Group’s Purchaser Group Limit or (iii) the Asset
Interest would exceed 100% (the “Allocation Limit”); and provided, further
that each Purchase made pursuant to this Section 1.1 shall have a purchase price equal to
at least $1,000,000 and shall be an integral multiple of $100,000. Notwithstanding anything to the
contrary herein, the amount available for any Purchase hereunder shall be calculated based on the
most recently delivered Information Package and not based on the most recently delivered Interim
Information Package; provided, however that no Purchases shall be permitted
hereunder if the calculations in any Interim Information Package delivered after the most recently
delivered Information Package show that (either before or after giving effect to such Purchase)
(i) the Invested Amount would exceed the Purchase Limit, (ii) the Purchaser Group Invested Amount
of any Purchaser Group would exceed the Purchaser Group Limit of such Purchaser Group, or (iii) the
Asset Interest would exceed the Allocation Limit.

Section 1.2 Purchase Procedures; Assignment of the Investors’ Interests.

(a) Purchase Request. Each Purchase from the Seller by the Purchasers or the
Liquidity Banks, as applicable, shall be made on notice from the Seller to the Administrative

 

2

 

Agent and each Purchaser Agent (on behalf of the Investors in such Purchaser Agent’s Purchaser
Group) received by the Administrative Agent and each such Purchaser Agent not later than 12:00 noon
(New York City time) on the second Business Day preceding the date of such proposed Purchase. Each
such notice of a proposed Purchase shall be substantially in the form of Exhibit 1.2(a) and
shall specify, among other items, the desired amount to be paid to the Seller, the Pro Rata Share
thereof of each Purchaser Group and the date of such Purchase. Each Purchaser Agent shall promptly
upon receipt notify the Purchaser in such Purchaser Agent’s Purchaser Group of any such notice. If
any Purchaser has determined not to make the proposed purchase, the Purchaser Agent of such
Purchaser’s Purchaser Group shall promptly send notice of the proposed purchase to each Liquidity
Bank in such Purchaser Group by telecopier specifying the date of such proposed purchase, and such
Liquidity Bank’s Percentage multiplied by the Pro Rata Share with respect to such Purchaser Group
of the amount of such Purchase. The Seller shall not request more than one Purchase in any
calendar week.

(b) Funding of Purchase. On the date of each Purchase, the Investors in each
Purchaser Group shall, upon satisfaction of the applicable conditions set forth in
Article V, make available to the Seller (through the Purchaser Agent of such Investors’
Purchaser Group) its applicable Pro Rata Share of the amount of the Purchase in same day funds by
wire transfer to the Seller’s Account. Each Liquidity Bank’s obligation shall be several, such
that the failure of any Liquidity Bank to make available to the Seller any funds in connection with
any purchase shall not relieve any other Liquidity Bank of its obligation, if any, hereunder to
make funds available on the date of such purchase, but no Liquidity Bank shall be responsible for
the failure of any other Liquidity Bank to make funds available in connection with any purchase.

(c) Assignment of Asset Interests. The Seller hereby sells, assigns and transfers to
the Administrative Agent, for the benefit of the applicable Investors in each Purchaser Group
making each Purchase, effective on and as of the date of such Purchase and each Reinvestment
hereunder, an undivided percentage ownership interest, to the extent of the portion of the Asset
Interest then being purchased, in the Pool Receivables and the Related Assets with respect thereto.

Section 1.3 Reinvestments of Certain Collections; Payment of Remaining Collections.

(a) On the close of business on each day during the period from the date of the first Purchase
to the Final Payout Date, the Master Servicer will, out of all Collections received on such day:

(i) determine the portion of the Collections attributable to the Asset Interest by
multiplying (A) the amount of such Collections times (B) the lesser of (i) the Asset
Interest and (ii) 100%;

(ii) out of the portion of such Collections allocated to the Asset Interest pursuant to
clause (i) above, identify and hold in trust for the Purchaser Agents on behalf and
for the benefit of their respective Purchaser Groups (provided that unless otherwise
requested by any Purchaser Agent, on behalf of such Purchaser Agent’s Purchaser Group, such
Collections shall not be required to be held in a separate account) an amount equal

 

3

 

to the sum of the estimated amount of Earned Discount and CP Costs accrued in respect
of each Asset Tranche (based on the rate information provided by each Agent pursuant to
Section 2.5), all other amounts due to the Investors or the Agents hereunder and the
Investors’ Share of the Servicing Fee allocable pursuant to Section 3.1(d) (in each case,
accrued through such day) and not so previously identified; and

(iii) apply the Collections allocated to the Asset Interest pursuant to
clause (i) above and not required to be identified and held in trust pursuant to
clause (ii) above to the purchase from the Seller of undivided percentage ownership
interests in Pool Receivables and the Related Assets with respect to such Pool Receivables
(each such purchase being a “Reinvestment”); provided that:

(A) if, after giving effect to such Reinvestment, (i) the Asset Interest would
exceed the Allocation Limit, (ii) the Purchaser Group Invested Amount of any
Purchaser Group would exceed such Purchaser Group’s Purchaser Group Limit or
(iii) the Invested Amount would exceed the Purchase Limit, then the Master Servicer
shall not make such Reinvestment, but shall identify and hold in trust for the
benefit of the Investors, a portion of such Collections which, together with other
Collections previously identified and then so held, shall equal the amount necessary
to reduce (x) the Invested Amount to the Purchase Limit, (y) any Purchaser Group’s
Purchaser Group Invested Amount to such Purchaser Group’s Purchaser Group Limit and
(z) the Asset Interest to the Allocation Limit; and

(B) if any of the conditions precedent to Reinvestment in Section 5.2,
subject to the proviso set forth in Section 5.2, are not satisfied, then the
Master Servicer shall not reinvest any of such remaining Collections, but shall
identify them and hold them in trust for the benefit of the Investors; and

(C) if the Seller has commenced an optional reduction in the Invested Amount
pursuant to Section 3.2(b), then the Master Servicer shall not reinvest any
such remaining Collections until the amount not reinvested shall equal the desired
reduction amount;

(iv) out of the portion of Collections not allocated to the Asset Interest pursuant to
clause (i) above, pay to the Master Servicer or set aside (at the option of the
Master Servicer) the Seller’s Share of the Servicing Fee accrued through such day and not
previously paid; and

(v) pay to the Seller (A) the remaining portion of Collections not allocated to the
Asset Interest pursuant to clause (i) above and (B) the Collections applied to
Reinvestment pursuant to clause (iii) above.

(b) Unreinvested Collections. The Master Servicer shall identify and hold in trust
for the benefit of the Investors, all Collections which, pursuant to clause (iii) of
Section 1.3(a), may not be reinvested in the Pool Receivables and the Related Assets,
provided that unless otherwise requested by any Agent, such Collections need not be held in
a segregated account. If, prior to

 

4

 

the date when such Collections are required to be paid to any Purchaser Agent pursuant to
Section 1.3(c)(iv), the amount of Collections so identified exceeds the amount, if any,
necessary to reduce (i) the Invested Amount to the Purchase Limit, (ii) the Purchaser Group
Invested Amount of each Purchaser Group to the Purchaser Group Limit of such Purchaser Group and
(iii) the Asset Interest to the Allocation Limit, and the conditions precedent to Reinvestment set
forth in Section 5.2, subject to the proviso set forth in Section 5.2, are
satisfied, then the Master Servicer shall apply such Collections (or, if less, a portion of such
Collections equal to the amount of such excess) to the making of a Reinvestment.

(c) Payment of Amounts.

(i) The Master Servicer shall pay all amounts of Collections identified pursuant to
Section 1.3(a)(ii) in respect of Earned Discount on an Asset Tranche funded by a
Liquidity Funding to the Purchaser Agent of each applicable Purchaser Group, on behalf of
each Investor which funded such Liquidity Funding, on the last day of the then current Yield
Period for such Asset Tranche, as provided in Section 3.1.

(ii) The Master Servicer shall pay all amounts of Collections identified pursuant to
Section 1.3(a)(ii) in respect of CP Costs on an Asset Tranche funded by Commercial
Paper Notes, to the Purchaser Agent of each applicable Purchaser Group, on behalf of the
applicable Purchaser in such Purchaser Agent’s Purchaser Group, on the Settlement Date
following the last day of each CP Accrual Period for such Asset Tranche, as provided in
Section 3.1.

(iii) The Master Servicer shall pay all amounts of Collections identified pursuant to
Section 1.3(a)(ii) and not applied pursuant to clauses (i) or (ii)
above to each Purchaser Agent, on behalf of such Purchaser Agent’s Purchaser Group, on each
Settlement Date for each Collection Period, as provided in Section 3.1.

(iv) The Master Servicer shall pay all amounts of Collections identified pursuant to
Section 1.3(b) to each Purchaser Agent (A) on the last day of the then current Yield
Period for any Asset Tranche of such Purchaser Agent’s Purchaser Group funded by a Liquidity
Funding, as provided in Section 3.1(b), in an amount not exceeding such Purchaser
Group’s Tranche Investment of such Asset Tranche, and (B) on the last day of the then
current CP Accrual Period for any Asset Tranche of such Purchaser Agent’s Purchaser Group
funded by Commercial Paper Notes, as provided in Section 3.1(b), in an amount not
exceeding such Purchaser Group’s Tranche Investment of such Asset Tranche.

(d) Funds Under Sale Agreement. Upon the written request of the Administrative Agent,
at the request of any Purchaser Agent, given at any time when (i) based on the most recent
Information Package, or Interim Information Package, as the case may be, either (A) the Asset
Interest would exceed the Allocation Limit, (B) any Purchaser Group’s Purchaser Group Invested
Amount would exceed such Purchaser Group’s Purchaser Group Limit or, (C) the Invested Amount would
exceed the Purchase Limit, or (ii) a Liquidation Event or Unmatured Liquidation Event shall have
occurred and be continuing, the Seller shall identify all funds that under the Sale Agreement would
be applied to repay principal of the Initial Seller Notes (as

 

5

 

defined in the Sale Agreement) owing to the Originators. The Seller may make withdrawals of
such funds only for the purposes of (x) at any time, purchasing Receivables from an Originator in
accordance with the Sale Agreement; (y) on the Settlement Date for any Collection Period, making
payments in accordance with the last sentence of Section 3.1(c)(ii), and (z) on the
Settlement Date for any Collection Period, if, on the basis of the most recent Information Package
or Interim Information Package, as the case may be, and after giving effect to any payment made to
the Master Servicer on such date pursuant to the last sentence of Section 3.1(c)(ii),
(I) the Invested Amount does not exceed the Purchase Limit, (II) no Purchaser Group Invested Amount
exceeds the related Purchaser Group Limit and (III) the Asset Interest does not exceed the
Allocation Limit, and provided that no Liquidation Event or Unmatured Liquidation Event
shall have occurred and be continuing, repaying principal of the Initial Seller Notes in accordance
with this Agreement and the Sale Agreement.

Section 1.4 Asset Interest.

(a) Components of Asset Interest. On any date the Asset Interest will represent the
Investors’ undivided percentage ownership interest in all then outstanding Pool Receivables and all
Related Assets with respect to such Pool Receivables as at such date.

(b) Computation of Asset Interest. On any date, the Asset Interest will be equal to
the percentage equivalent of the following fraction:

IA+RR

NPB

where:

	 	 	 	 	 	 	 
	 

	 	IA
	 	=
	 	the Invested Amount on the date of such computation;
	 
	 	 	 	 	 	 
	 

	 	RR
	 	=
	 	the Required Reserve on the date of such computation; and
	 
	 	 	 	 	 	 
	 

	 	NPB
	 	=
	 	the Net Pool Balance on the date of such computation;

provided, however, that the Asset Interest during the Liquidation Period shall
equal 100%.

(c) Frequency of Computation. The Asset Interest shall be computed (i) as provided in
Section 3.1, as of the Cut-Off Date for each Collection Period, and (ii) on the Settlement
Date following each Reporting Date, after giving effect to the payments made pursuant to
Section 3.1. In addition, at any time, the Administrative Agent, at the request of any
Purchaser Agent, may require the Master Servicer to provide an interim report (an “Interim
Information Package”), based on the information then available to the Master Servicer, for
purposes of computing the Asset Interest, any Purchaser Group Invested Amount or the Invested
Amount as of any other date, and the Master Servicer agrees to do so within five (5) (or three (3),
if a Liquidation Event, Unmatured Liquidation Event or a Credit Event has occurred and is
continuing) Business Days of its receipt of the Administrative Agent’s request (such date, the
“Interim Reporting Date”).

 

6

 

Article II.

Computational Rules

Section 2.1 Selection, Dividing or Combining of Asset Tranches.

Each Purchaser Agent shall, from time to time for purposes of computing Earned Discount on
that portion of the Asset Interest funded with Liquidity Fundings made by such Purchaser Agent’s
Purchaser Group, divide any Asset Interest into Asset Tranches or combine two or more Asset
Tranches into one Asset Tranche. The applicable Earned Discount Rate may be different for each
Asset Tranche funded by a Liquidity Funding. The Purchaser Group Invested Amount of such Purchaser
Agent’s Purchaser Group shall be allocated to each Asset Tranche by such Purchaser Agent, on behalf
of the Investors in such Purchaser Agent’s Purchaser Group, to reflect the funding sources for the
Asset Interest, so that:

(a) there will be a single Asset Tranche equal to the excess of the applicable Purchaser Group
Invested Amount over the aggregate amount allocated at such time pursuant to clause (b)
below, which Asset Tranche shall reflect the portion of the Asset Interest funded by Commercial
Paper Notes of the Purchasers in such Purchaser Group; and

(b) there may be one or more Asset Tranches, selected by such Purchaser Agent, on behalf of
the Liquidity Banks in such Purchaser Agent’s Purchaser Group, reflecting the portion or portions
of the Asset Interest funded by outstanding Liquidity Fundings of such Purchaser Group.

Section 2.2 Computation of Invested Amount and Purchaser Group’s Tranche Investment.

In making any determination of the Invested Amount, any Purchaser Group Invested Amount and
any Purchaser Group’s Tranche Investment, the following rules shall apply:

(a) the Invested Amount and each Purchaser Group Invested Amount, as the case may be, shall
not be considered reduced by any allocation, setting aside or distribution of any portion of
Collections unless such Collections shall have been actually delivered hereunder to the appropriate
Purchaser Agent, on behalf of the Investors in such Purchaser Agent’s Purchaser Group;

(b) the Invested Amount and each Purchaser Group Invested Amount, as the case may be, shall
not be considered reduced by any distribution of any portion of Collections if at any time such
distribution is rescinded or must otherwise be returned for any reason; and

(c) if there is any reduction in the Invested Amount or any Purchaser Group Invested Amount,
as the case may be, there shall be a corresponding reduction to each applicable Purchaser Group’s
Tranche Investment with respect to one or more Asset Tranches selected by each Purchaser Agent, on
behalf of such Purchaser Agent’s Purchaser Group, in its discretion.

 

7

 

Section 2.3 Computation of Concentration Limits and Unpaid Balance.

The Obligor Concentration Limits and the aggregate Unpaid Balance of Pool Receivables of any
Obligor and its Affiliated Obligors (if any) shall be calculated as if such Obligor and its
Affiliated Obligors were one Obligor.

Section 2.4 Computation of Earned Discount.

In making any determination of Earned Discount, the following rules shall apply:

(a) each Purchaser Agent, on behalf of the Liquidity Banks in such Purchaser Agent’s Purchaser
Group, shall determine the Earned Discount accruing with respect to each Asset Tranche funded by a
Liquidity Funding of such Purchaser Group for each Yield Period, in accordance with the definition
of Earned Discount;

(b) no provision of this Agreement shall require the payment or permit the collection of
Earned Discount in excess of the maximum permitted by applicable law; and

(c) the Earned Discount for any Asset Tranche shall not be considered paid by any distribution
if at any time such distribution is rescinded or must otherwise be returned for any reason.

It is the intent of the Purchasers to fund their portion of the Asset Interest by the issuance of
Commercial Paper Notes. If, for any reason, any Purchaser is unable, or determines that it is
undesirable, to issue Commercial Paper Notes to fund its portion of the Asset Interest, or is
unable to repay such Commercial Paper Notes upon the maturity thereof, either such Purchaser will
draw on Liquidity Fundings by a Liquidity Bank in such Purchaser’s Purchaser Group or such
Liquidity Bank will make a Purchase directly, to the extent available. If any Purchaser makes such
a Liquidity Funding, the Earned Discount will be payable by the Seller based on the Bank Rate with
respect to such portion of the Asset Interest funded by such Liquidity Funding.

Section 2.5 Estimates of Earned Discount Rate, Fees, etc.

For purposes of determining the amounts required to be identified by Master Servicer pursuant
to Section 1.3, each Purchaser Agent, on behalf of the Investors in such Purchaser Agent’s
Purchaser Group, shall notify the Master Servicer (and, if Lennox is not the Master Servicer, the
Seller) and the Administrative Agent from time to time of such Purchaser Group’s Tranche Investment
of each Asset Tranche, the Earned Discount Rate applicable to each Asset Tranche funded by a
Liquidity Funding of such Purchaser Group, the CP Costs applicable to each Asset Tranche funded by
Commercial Paper Notes of such Purchaser Group and the rates at which fees and other amounts are
accruing hereunder. It is understood and agreed that (a) the CP Costs for any Asset Tranche funded
by the issuance of Commercial Paper Notes for any Purchaser Group are determined in arrears and may
change from one applicable CP Accrual Period to the next, (b) the Earned Discount Rate for any
Asset Tranche funded by a Liquidity Funding of any Purchaser Group may change from one applicable
Yield Period to the next, and the Bank Rate used to calculate the Earned Discount Rate may change
from time to time during an applicable Yield Period, (c) certain rate information provided by any
Purchaser Agent to the Master Servicer and the Administrative Agent shall be based upon such
Purchaser Agent’s good

 

8

 

faith estimate, (d) the amount of Earned Discount actually accrued with respect to an Asset
Tranche funded by a Liquidity Funding of any Purchaser Group during any Yield Period may exceed, or
be less than, the amount identified with respect thereto by Master Servicer, and (e) the amount of
fees or other amounts payable by the Seller hereunder which have accrued hereunder with respect to
any Collection Period may exceed, or be less than, the amount identified with respect thereto by
the Master Servicer. Failure to identify any amount so accrued shall not relieve the Master
Servicer of its obligation to remit Collections to each Purchaser Agent, on behalf of the Investors
in such Purchaser Agent’s Purchaser Group, with respect to such accrued amount, as and to the
extent provided in Section 3.1.

Article III.

Settlements

Section 3.1 Settlement Procedures.

The parties hereto will take the following actions with respect to each Collection Period:

(a) Information Package. On each Reporting Date the Master Servicer shall deliver to
the Administrative Agent and each Purchaser Agent, on behalf of such Purchaser Agent’s Purchaser
Group, the relevant Information Package.

(b) Earned Discount and CP Costs; Other Amounts Due. Not later than 12:00 noon (New
York, New York time) on:

(i) the Business Day before the last day of each Yield Period, each Purchaser Agent
shall notify the Master Servicer and the Administrative Agent of the amount of Earned
Discount accrued with respect to any Asset Tranche funded by a Liquidity Funding by such
Purchaser Agent’s Purchaser Group corresponding to such Yield Period;

(ii) the fifth (5th) Business Day before each Reporting Date, each Purchaser
Agent shall notify the Master Servicer and the Administrative Agent of the CP Costs accrued
during the most recently ended CP Accrual Period with respect to any Asset Tranche funded
with Commercial Paper Notes by such Purchaser Agent’s Purchaser Group during all or any
portion of such CP Accrual Period;

(iii) the last day of each Yield Period, the Master Servicer shall pay to each
Purchaser Agent for the benefit of the Liquidity Banks in such Purchaser Agent’s Purchaser
Group the amount of the Earned Discount accrued on the Asset Tranches of such Purchaser
Group funded by Liquidity Fundings;

(iv) each Settlement Date, the Master Servicer shall pay to each Purchaser Agent for
the benefit of the Purchaser in such Purchaser Agent’s Purchaser Group the amount of the CP
Costs accrued for the related CP Accrual Period on the Asset Tranches of such Purchaser
Group funded with Commercial Paper Notes;

(v) the Business Day before each Reporting Date, each Purchaser Agent, on behalf of
such Purchaser Agent’s Purchaser Group, shall notify the Master Servicer and

 

9

 

the Administrative Agent of all Broken Funding Costs, fees and other amounts accrued
and payable by the Seller under this Agreement to any Investor during the prior calendar
month (other than amounts described in clause (c) below); and

(vi) each Settlement Date, the Master Servicer shall pay to each Purchaser Agent, for
the benefit of such Purchaser Agent’s Purchaser Group, the amount of any Broken Funding
Costs, fees and other amounts (to the extent of Collections attributable to the Asset
Interest funded by such Purchaser Group during such Collection Period) for such Collection
Period.

Such payments shall be made out of amounts identified pursuant to Section 1.3 for such
payment; provided, however, that to the extent Collections attributable to the
Asset Interest funded by such Purchaser Group during such Collection Period are not sufficient to
make such payment, such payment shall be made out of funds paid by the Master Servicer to the
Seller (which amounts the Seller hereby agrees to pay to the Master Servicer), up to the aggregate
amount of Collections applied to Reinvestments under Section 1.3(a) or (b) during
the related Reporting Period.

(c) Asset Interest Computations.

(i) On each Reporting Date, the Master Servicer shall compute, as of the related
Cut-Off Date and based upon the assumptions in the next sentence, (A) the Asset Interest,
(B) the amount of the reduction or increase (if any) in the Asset Interest since the most
recently preceding Cut-Off Date, (C) the excess (if any) of the Asset Interest over the
Allocation Limit, (D) the excess (if any) of the Purchaser Group Invested Amount of any
Purchaser Group over such Purchaser Group’s Purchaser Group Limit and (E) the excess (if
any) of the Invested Amount over the Purchase Limit. Such calculations shall be based upon
the assumptions that the (i) information in the most recently delivered Information Package
is correct, and (ii) Collections identified pursuant to Section 1.3(b) will be paid
to each Purchaser Agent, for the benefit such Purchaser Agent’s Purchaser Group, on the
Settlement Date for such Collection Period.

(ii) If, according to the computations made pursuant to clause (i) above,
(A) the Asset Interest exceeds the Allocation Limit, (B) the Purchaser Group Invested Amount
of any Purchaser Group exceeds such Purchaser Group’s Purchaser Group Limit or (C) the
Invested Amount exceeds the Purchase Limit, then on the related Settlement Date, the Master
Servicer shall pay to the applicable Purchaser Agent, for the benefit of each Investor in
such Purchaser Agent’s Purchaser Group (to the extent of Collections attributable to the
Asset Interest funded by such Purchaser Group and not previously paid to such Purchaser
Agent) the amount necessary to reduce (i) the Invested Amount to the Purchase Limit,
(ii) the Purchaser Group Invested Amount of each Purchaser Group to such Purchaser Group’s
Purchaser Group Limit and (iii) the Asset Interest to the Allocation Limit. Such payment
shall be made out of amounts identified pursuant to Section 1.3 for such purpose
and, to the extent such amounts were not so identified, the Seller hereby agrees to pay such
amounts to the Master Servicer to the extent of Collections applied to Reinvestment under
Section 1.3 during the relevant Collection Period.

 

10

 

(iii) In addition to the payments described in clause (ii) above and
clause (iv) below, during the Liquidation Period, the Master Servicer shall pay to
each Purchaser Agent, for the benefit of the applicable Investors in such Purchaser Agent’s
Purchaser Group and for application to the reduction of the Invested Amount, all amounts
identified pursuant to Section 1.3 on (A) the last day of the current Yield Period
for any Asset Tranche funded by a Liquidity Funding of such Purchaser Group, in an amount
not exceeding such Purchaser Group’s Tranche Investment of such Asset Tranche, and (B) the
last day of the each CP Accrual Period for any Asset Tranche funded by Commercial Paper
Notes of such Purchaser Group, in an amount not exceeding such Purchaser Group’s Tranche
Investment of such Asset Tranche.

(iv) On the Interim Reporting Date for each Interim Reporting Period, the Master
Servicer shall compute, as of the related Interim Cut-Off Date and based upon the
assumptions in the next sentence, (A) the Asset Interest, (B) the amount of the reduction or
increase (if any) in the Asset Interest since the most recently preceding Cut-Off Date or
Interim Cut-Off Date, (C) the excess (if any) of the Asset Interest over the Allocation
Limit, (D) the excess (if any) of the Purchaser Group Invested Amount of any Purchaser Group
over such Purchaser Group’s Purchaser Group Limit and (E) the excess (if any) of the
Invested Amount over the Purchase Limit. Such calculations shall be based upon the
assumptions that (i) the information in the most recently delivered Interim Information
Package is correct, and (ii) Collections identified pursuant to Section 1.3(b) will
be paid to each Purchaser Agent, for the benefit of such Purchaser Agent’s Purchaser Group,
on the Settlement Date for such Collection Period.

(v) If, according to the computations made pursuant to clause (iv) above,
(A) the Asset Interest exceeds the Allocation Limit, (B) the Purchaser Group Invested Amount
of any Purchaser Group exceeds such Purchaser Group’s Purchaser Group Limit or (C) the
Invested Amount exceeds the Purchase Limit, then on the Interim Settlement Date for such
Interim Reporting Period, the Master Servicer shall pay to the applicable Purchaser Agent,
for the benefit of the Investors in such Purchaser Agent’s Purchaser Group (to the extent of
Collections during the related Interim Reporting Period attributable to the Asset Interest
funded by the such Purchaser Group and not previously paid to such Purchaser Agent) the
amount necessary to reduce (i) the Invested Amount to the Purchase Limit, (ii) the Purchaser
Group Invested Amount of any Purchaser Group to such Purchaser Group’s Purchaser Group Limit
and (iii) the Asset Interest to the Allocation Limit. Such payment shall be made out of
amounts identified pursuant to Section 1.3 for such purpose and, to the extent such
amounts were not so identified, the Seller hereby agrees to pay such amounts to the Master
Servicer to the extent of Collections applied to Reinvestment under Section 1.3
during the relevant Interim Reporting Period.

 

11

 

(d) Order of Application. Upon receipt by each Purchaser Agent of funds distributed
pursuant to this Section 3.1, such Purchaser Agent shall apply them to the items specified
in the subclauses below, in the order of priority of such subclauses:

(i) to accrued Earned Discount, CP Costs and Broken Funding Costs, plus any previously
accrued Earned Discount, CP Costs and Broken Funding Costs not paid, to the extent owing to
such Purchaser Group;

(ii) to the Investors’ Share of such Purchaser Agent’s Purchaser Group of the accrued
and unpaid Servicing Fee (if the Master Servicer is not Lennox or its Affiliate);

(iii) to such Purchaser Agent’s Purchaser Group’s Pro Rata Share of the Program Fee and
the Unused Fee accrued during such Collection Period, plus any previously accrued Program
Fee and Unused Fee not paid on a prior Settlement Date;

(iv) to the reduction of the Invested Amount on a pro-rata basis, to the extent such
reduction is required under Section 3.1(c), (and a corresponding reduction to each
applicable Purchaser Group’s Purchaser Group Invested Amount);

(v) to other accrued and unpaid amounts owing to any Investor or any Agent hereunder
(except Earned Discount on any Asset Tranche funded by a Liquidity Funding of any Purchaser
Group which has accrued but is not yet overdue under Section 1.3(c));

(vi) to the Investors’ Share of such Purchaser Agent’s Purchaser Group of the accrued
and unpaid Servicing Fee (if the Master Servicer is Lennox or its Affiliate); and

(vii) to purchase newly originated Receivables prior to the Termination Date;

provided, however, that all amounts received on any Interim Settlement Date or
Weekly Settlement Date shall be applied (x) with respect to amounts received on any Weekly
Settlement Date, as provided in Section 3.1(c)(ii) and (y) with respect to amounts received
on any Interim Settlement Date, as provided in Section 3.1(c)(v).

(e) Non-Distribution of Servicing Fee. Each Purchaser Agent hereby consents (which
consent may be revoked at any time), to the retention by the Master Servicer of the amounts (if
any) identified pursuant to Section 1.3 in respect of the Servicing Fee, in which case no
distribution shall be made in respect of the Servicing Fee pursuant to clause (d)(ii) or
(vi) above.

(f) Delayed Payment. If on any day described in this Section 3.1 (or in
Section 1.3(c) in respect of accrued Earned Discount on Asset Tranches funded by Liquidity
Fundings of any Purchaser Group, or accrued CP Costs on Asset Tranches funded by the issuance of
Commercial Paper Notes issued by any Purchaser Group) the Master Servicer shall not make any
payment otherwise required because Collections during the relevant CP Accrual Period or Yield
Period were less than the aggregate amounts payable, the next available Collections in respect of
the Asset Interest shall be applied to such payment, and no Reinvestment shall be permitted
hereunder until such amount payable has been paid in full.

 

12

 

Section 3.2 Deemed Collections; Reduction of Invested Amount, Etc.

(a) Deemed Collections. If on any day:

(i) the Unpaid Balance of any Pool Receivable is:

(A) reduced as a result of any defective, rejected or returned merchandise or
services, any cash discount, or any other adjustment by any Seller Party or any
Affiliate thereof, or as a result of any tariff or other governmental or regulatory
action, or

(B) reduced or canceled as a result of a setoff in respect of any claim by the
Obligor thereof (whether such claim arises out of the same or a related or an
unrelated transaction, including without limitation, any setoff or claim arising as
a result of any amount at any time owed by any Originator in connection with any
account receivable owed by any such Originator to such Obligor), or

(C) reduced on account of the obligation of any Seller Party or any Affiliate
thereof to pay to the related Obligor any rebate or refund, or

(D) less than the amount included with respect to such Pool Receivable in
calculating the Net Pool Balance for purposes of any Information Package or Interim
Information Package, as the case may be (for any reason other than such Receivable
becoming a Defaulted Receivable), or

(ii) any of the representations or warranties of the Seller set forth in
Sections 6.1(j), (l) or (p) were not true when made with respect to
any Pool Receivable, or any of the representations or warranties of the Seller set forth in
Section 6.1(l) are no longer true with respect to any Pool Receivable, or any Pool
Receivable is repurchased by an Originator pursuant to the Sale Agreement,

then, on such day, the Seller shall be deemed to have received a Collection of such Pool Receivable

(A) in the case of clause (i) above, in the amount of such reduction or
cancellation or the difference between the actual Unpaid Balance and the amount
included in calculating such Net Pool Balance, as applicable; and

(B) in the case of clause (ii) above, in the amount of the Unpaid
Balance of such Pool Receivable.

Collections deemed received by the Seller under this Section 3.2(a) are herein referred to
as “Deemed Collections.”

(b) Seller’s Optional Reduction of the Invested Amount. The Seller may at any time
elect to reduce the Invested Amount and each Purchaser Group Invested Amount as follows:

 

13

 

(i) the Seller shall give the Administrative Agent and each Purchaser Agent, on behalf
of such Purchaser Agent’s Purchaser Group, at least five (5) Business Days’ prior written
notice of such reduction (including the amount of such proposed reduction and the proposed
date on which such reduction will commence),

(ii) on the proposed date of commencement of such reduction and on each day thereafter,
the Master Servicer shall refrain from reinvesting Collections pursuant to
Section 1.3 until the amount thereof not so reinvested shall equal the desired
amount of reduction, and

(iii) the Master Servicer shall hold such Collections in trust for each Purchaser
Agent, on behalf and for the benefit of the Investors in such Purchaser Agent’s Purchaser
Group, pending payment to such Purchaser Agent, as provided in Section 1.3;

provided that:

(A) the amount of any such reduction shall be in (i) an amount of $1,000,000,
(ii) an integral multiple thereof or (iii) an amount equal to the remaining Invested
Amount,

(B) the Seller shall use reasonable efforts to attempt to choose a reduction
amount, and the date of commencement thereof, so that such reduction shall commence
and conclude in the same Collection Period,

(C) unless the Invested Amount shall be reduced to zero, after giving effect to
such reduction, the Invested Amount will be at least $1,000,000, and

(D) each reduction of the Invested Amount shall be done on a pro rata basis and
shall result in a corresponding reduction in each Purchaser Group Invested Amount
(and a corresponding reduction to each applicable Purchaser Group’s Tranche
Investment pursuant to Section 2.2(c)).

Section 3.3 Payments and Computations, Etc.

(a) Payments. All amounts to be paid to any Purchaser Agent or any other Person or
deposited by the Seller or the Master Servicer hereunder (other than amounts payable under
Section 4.2) shall be paid or deposited in accordance with the terms hereof no later than
12:00 noon (New York, New York time) on the day when due in lawful money of the United States of
America in same day funds to such Purchaser Agent’s Purchaser Agent Account, or to such other
account at the bank named therein or at such other bank as such Purchaser Agent may designate by
written notice to the Person making such payment.

(b) Late Payments. The Seller or the Master Servicer, as applicable, shall, to the
extent permitted by law, pay to the Person to whom payment is due interest on all amounts not paid
or deposited when due hereunder at a rate per annum equal to 2% plus the Base Rate, payable on
demand, provided, however, that such interest rate shall not at any time exceed the
maximum rate permitted by applicable law.

 

14

 

(c) Method of Computation. All computations of interest, CP Costs, Broken Funding
Costs, Earned Discount, any fees payable under Section 4.1 and any other fees payable by
the Seller to any Investor or any Agent hereunder shall be made on the basis of a year of 360 days
for the actual number of days (including the first day but excluding the last day) elapsed.
Whenever any payment or deposit to be made hereunder shall be due on a day other than a Business
Day, such payment or deposit shall be made on the next succeeding Business Day and such extension
of time shall be included in the computation of such payment or deposit.

(d) Taxes.

(i) Any and all payments and deposits required to be made hereunder or under any other
Transaction Document by any Seller Party shall be made free and clear of and without
deduction for any and all present or future taxes, levies, imposts, deductions, charges or
withholdings, and all liabilities with respect thereto, excluding net income taxes that are
imposed by the United States and franchise taxes and net income taxes that are imposed on an
Affected Party by the state or foreign jurisdiction under the laws of which such Affected
Party is organized or any political subdivision thereof (all such non-excluded taxes,
levies, imposts, deductions, charges, withholdings and liabilities being hereinafter
referred to as “Taxes”). If any Seller Party shall be required by law to deduct any
Taxes from or in respect of any sum payable hereunder to any Affected Party, (i) the Seller
shall make an additional payment to such Affected Party, in an amount sufficient so that,
after making all required deductions (including deductions applicable to additional sums
payable under this Section 3.3(d) and Section 14.5), such Affected Party
receives an amount equal to the sum it would have received had no such deductions been made,
(ii) the applicable Seller Party shall make such deductions and (iii) the applicable Seller
Party shall pay the full amount deducted to the relevant taxation authority or other
authority in accordance with applicable law. Within 30 days after the date of any such
payment of Taxes, the applicable Seller Party will furnish to such Affected Party the
original or a certified copy of a receipt evidencing payment thereof.

(ii) Any Affected Party which is organized outside the United States and which is
entitled to an exemption from, or reduction of, withholding tax under the laws of the United
States as in effect on the date hereof (or, in the case of any Person which becomes an
Affected Party after the date hereof, on the date on which it so becomes an Affected Party
with respect to any payments under this Agreement) shall, on or prior to the date hereof
(or, in the case of any Person who becomes an Affected Party after the date hereof, on or
prior to the date on which it so becomes an Affected Party), deliver to the Administrative
Agent and the Seller such certificates, documents or other evidence, as required by the
Internal Revenue Code of 1986, as amended or Treasury Regulations issued pursuant thereto,
including Internal Revenue Service Form W-8BEN or Form W-8ECI and any other certificate or
statement of exemption required by Treasury Regulation Section 1.1441-1(a) or
Section 1.1441-6(c) or any subsequent version thereof, properly completed and duly executed
by such Affected Party as will permit such payments to be made without withholding or at a
reduced rate. Each such Affected Party shall from time to time thereafter, upon written
request from the Seller, deliver to the Seller and the Administrative Agent any new
certificates, documents or other evidence as described in the preceding sentence as will
permit payments under this Agreement to be

 

15

 

made without withholding or at a reduced rate (but only so long as such Affected Party
is legally able to do so). The Seller shall not be required to pay any amounts to any
Affected Party in respect of Taxes and Other Taxes pursuant to paragraphs (a)(i)
above or Section 14.5(b) or (c) if the obligation to pay such amounts is
attributable to the failure by such Affected Party to comply with the provisions of this
paragraph; provided, however, that should an Affected Party become subject to Taxes because
of its failure to deliver a form required hereunder, the Seller shall take such steps as
such Affected Party shall reasonably request to assist such Affected Party to recover such
Taxes.

Section 3.4 Treatment of Collections and Deemed Collections.

The Seller shall forthwith deliver to the Master Servicer all Deemed Collections, and the
Master Servicer shall hold or distribute such Deemed Collections as Earned Discount, CP Costs,
accrued Servicing Fee, repayment of the Invested Amount or any Purchaser Group Invested Amount and
to other accrued amounts owing hereunder to the same extent as if such Deemed Collections had
actually been received on the date of such delivery to the Master Servicer. If Collections are
then being paid to any Purchaser Agent, on behalf of such Purchaser Agent’s Purchaser Group, or its
designee, or to lock boxes or accounts directly or indirectly owned or controlled by the
Administrative Agent, on behalf of the Investors, the Master Servicer shall forthwith cause such
Deemed Collections to be paid to each Purchaser Agent, on behalf of such Purchaser Agent’s
Purchaser Group, or its designee or to such lock boxes or accounts, as applicable, or as each
applicable Purchaser Agent shall request. So long as the Seller shall hold any Collections
(including Deemed Collections) required to be paid to the Master Servicer or any Agent, it shall
hold such Collections in trust on behalf and for the benefit of the Agents, on behalf of themselves
and the Investors, and shall clearly mark its records to reflect such trust; provided that
unless the Administrative Agent shall have requested it in writing to do so, the Seller shall not
be required to hold such Collections in a separate deposit account containing only such
Collections.

Section 3.5 Sharing of Payments.

If any Investor (for purposes of this Section only, referred to as a “Recipient”)
shall obtain payment (whether voluntary, involuntary, through the exercise of any right of setoff,
or otherwise) on account of the Invested Amount (or portion thereof) of, or Earned Discount or CP
Costs accrued in respect of, the Asset Interest or portion thereof owned by it in excess of its
ratable share of payments made on account of the Invested Amount of, or Earned Discount or CP Costs
accrued in respect of, the Asset Interest owned by all the Investors (other than as a result of
different methods for calculating Earned Discount or CP Costs), such Recipient shall forthwith
purchase from the applicable Investors which received less than their ratable share participations
in the portions of the Asset Interest owned by such Persons as shall be necessary to cause such
Recipient to share the excess payment ratably with each such other Person; provided, however, that
if all or any portion of such excess payment is thereafter recovered from such Recipient, such
purchase from each such other Person shall be rescinded and each such other Person shall repay to
the Recipient the purchase price paid by such Recipient for such participation to the extent of
such recovery, together with an amount equal to such other Person’s ratable share (according to the
proportion of (a) the amount of such other Person’s required payment to (b) the

 

16

 

total amount so recovered from the Recipient) of any interest or other amount paid or payable
by the Recipient in respect of the total amount so recovered.

Section 3.6 Repurchase of Asset Interest.

In addition to Seller’s rights pursuant to Section 3.2(b), the Seller shall have the right,
upon thirty days prior written notice to the Administrative Agent and Purchaser Agents, to
repurchase from the Investors all, but not less than all, of the Asset Interest. The purchase price
in respect thereof shall be an amount equal to the sum of the Invested Amount, all accrued and
unpaid Earned Discount, CP Costs, Broken Funding Costs, fees and other amounts payable to the
Investors and the Agents through the date of repurchase, payable in immediately available funds.
Such repurchase shall be without representation, warranty or recourse of any kind by, on the part
of, or against any Investor or any Agent.

Article IV.

Fees and Yield Protection

Section 4.1 Fees.

The Seller shall pay to the Administrative Agent and each Purchaser Agent for the benefit of
the Administrative Agent and such Purchaser Agent’s Purchaser Group the fees and other amounts set
forth in the Fee Letters, all such fees and other amounts to be paid from time to time in the
amounts set forth in each such Fee Letter.

Section 4.2 Yield Protection.

(a) If (i) Regulation D or (ii) any Regulatory Change:

(A) shall subject an Affected Party to any Tax, duty or other charge with
respect to the portion of the Asset Interest owned by or funded by it, or any
obligations or right to make Purchases or Reinvestments or to provide funding
therefor, or shall change the basis of taxation of payments to the Affected Party of
any portion of the Invested Amount, CP Costs or Earned Discount owned by, owed to or
funded in whole or in part by it or any other amounts due under this Agreement in
respect of the portion of the Asset Interest owned by or funded by it or its
obligations or rights, if any, to make Purchases or Reinvestments or to provide
funding therefor; or

(B) shall impose, modify or deem applicable any reserve (including, without
limitation, any reserve imposed by the Federal Reserve Board, but excluding any
reserve included in the determination of Earned Discount), special deposit or
similar requirement against assets of any Affected Party, deposits or obligations
with or for the account of any Affected Party or with or for the account of any
affiliate (or entity deemed by the Federal Reserve Board to be an affiliate) of any
Affected Party, or credit extended by any Affected Party; or

 

17

 

(C) shall change the amount of capital maintained or required or requested or
directed to be maintained by any Affected Party; or

(D) shall impose any other condition affecting any Asset Interest owned or
funded in whole or in part by any Affected Party, or its obligations or rights, if
any, to make Purchases or Reinvestments or to provide funding therefor; or

(E) shall change the rate for, or the manner in which the Federal Deposit
Insurance Corporation (or a successor thereto) assesses, deposit insurance premiums
or similar charges;

and the result of any of the foregoing is or would be

(A) to increase the cost to or to impose a cost on (1) an Affected Party
funding or making or maintaining any Purchases or Reinvestments, any purchases,
reinvestments, or loans or other extensions of credit under any Liquidity Agreement,
or any commitment of such Affected Party with respect to any of the foregoing, or
(2) any Agent for continuing its or the Seller’s relationship with any Investor,

(B) to reduce the amount of any sum received or receivable by an Affected Party
under this Agreement or under any Liquidity Agreement, or

(C) in the reasonable determination of such Affected Party, to reduce the rate
of return on the capital of an Affected Party as a consequence of its obligations
hereunder or arising in connection herewith to a level below that which such
Affected Party could otherwise have achieved,

then, within thirty days after demand by such Affected Party (which demand shall be accompanied by
a certificate setting forth, in reasonable detail, the basis of such demand and the methodology for
calculating, and the calculation of, the amounts claimed by the Affected Party), the Seller shall
pay directly to such Affected Party such additional amount or amounts as will compensate such
Affected Party for such additional or increased cost or such reduction.

(b) Each Affected Party will promptly notify the Seller, the Administrative Agent and the
Purchaser Agent for the Purchaser Group of such Affected Party, if applicable, of any event of
which it has knowledge (including any future event that, in the judgment of such Affected Party, is
reasonably certain to occur) which will entitle such Affected Party to compensation pursuant to
this Section 4.2; provided, however, no failure to give or delay in giving
such notification shall adversely affect the rights of any Affected Party to such compensation.

(c) In determining any amount provided for or referred to in this Section 4.2, an
Affected Party may use any reasonable averaging and attribution methods (consistent with its
ordinary business practices) that it (in its reasonable discretion) shall deem applicable. Any
Affected Party when making a claim under this Section 4.2 shall submit to the Seller the
certificate (referred to in subsection (a) above) as to such increased cost or reduced
return

 

18

 

(including calculation thereof in reasonable detail), which statement shall, in the absence of
demonstrable error, be conclusive and binding upon the Seller.

(d) For the avoidance of doubt, any interpretation of FAS 166 or FAS 167 (or any successor
Accounting Standards Codification Subtopic) by the Financial Accounting Standards Board and any
pronouncement, interpretation or release by the International Accounting Standards Board shall
constitute an adoption, change, request or directive subject to this Section 4.2.

Section 4.3 Funding Losses.

In the event that any Purchaser or any Liquidity Bank shall actually incur any loss or expense
(including any loss or expense incurred by reason of the liquidation or reemployment of deposits or
other funds acquired by such Purchaser through the issuance of Commercial Paper Notes to fund any
Purchase or such Liquidity Bank to make any Liquidity Funding or maintain any Liquidity Funding) as
a result of (a) any settlement with respect to such Investor’s Purchaser Group’s Tranche Investment
of all or any portion of any Asset Tranche being made by such Purchaser Group on any day other than
the scheduled last day of an applicable CP Accrual Period or Yield Period with respect thereto (it
being understood that the foregoing shall not apply to any portion of the Invested Amount that is
accruing Earned Discount calculated by reference to the Base Rate), or (b) any Purchase not being
made in accordance with a request therefor under Section 1.2, then, upon written notice
from any Purchaser Agent to the Seller and the Master Servicer, the Seller shall pay to the Master
Servicer, and the Master Servicer shall pay to such Investor’s Purchaser Agent for the account of
such Investor, the amount of such loss or expense. Such written notice (which shall include the
methodology for calculating, and the calculation of, the amount of such loss or expense, in
reasonable detail) shall, in the absence of demonstrable error, be conclusive and binding upon the
Seller and the Master Servicer.

Article V.

Conditions of Purchases

Section 5.1 Closing Date; Conditions Precedent to Initial Purchase.

(a) This Agreement shall become effective on the date on which all of the below conditions in
this Section 5.1(a) have been satisfied; the effectiveness of this Agreement is subject to
the condition precedent that each Agent shall have received the following, each (unless otherwise
indicated) dated such date or another recent date acceptable to each Agent and in form and
substance satisfactory to each Agent:

(i) a copy of the resolutions of the board of directors (or similar governing body) of
each Seller Party, Lennox International and each Originator approving each Transaction
Document to be delivered by it hereunder and the transactions contemplated hereby and
thereby, certified by its secretary or any other authorized person;

(ii) good standing certificates for each Seller Party, Lennox International and each
Originator issued as of a recent date by the Secretary of State (or the equivalent) of the
jurisdiction in which each such entity is organized;

 

19

 

(iii) a certificate of the secretary or assistant secretary of each Seller Party,
Lennox International and each Originator certifying the names and true signatures of the
officers authorized on its behalf to sign this Agreement and the other Transaction Documents
to be delivered by it hereunder (on which certificate each Agent and each Investor may
conclusively rely until such time as Agents shall receive from a Seller Party a revised
certificate meeting the requirements of this subsection (iii));

(iv) [intentionally omitted];

(v) the certificates of incorporation (or the equivalent) of each Seller Party, Lennox
International and each Originator and all amendments thereto (including the amendment
referred to in subsection (iv) above) duly certified as of a recent date by the
Secretary of State (or the equivalent) of the jurisdiction in which each such entity is
organized as of a recent date acceptable to each Agent, together with a copy of the by-laws
(or the equivalent) of each Seller Party and each Originator duly certified by the secretary
or an assistant secretary of each entity;

(vi) acknowledgment copies of proper financing statements (form UCC-1) or amendments to
already filed financing statements (form UCC-3), filed on or prior to the date of the
initial Purchase, naming (x) each Originator as the debtor and seller of Receivables,
(y) Seller as secured party and purchaser and (z) Administrative Agent as assignee; and/or
other similar instruments or documents, as may be necessary or, in the opinion of
Administrative Agent, desirable under the UCC or any comparable law of all appropriate
jurisdictions to perfect Seller’s and Investors’ interests in the Pool Receivables and the
Related Assets;

(vii) acknowledgment copies of proper financing statements (Form UCC-1), filed on or
prior to the date of the initial Purchase, naming (x) Seller as the debtor and seller of
Receivables or any undivided percentage ownership interest therein, and (y) Administrative
Agent as the secured party; or other, similar instruments or documents, as may be necessary
or, in the opinion of Administrative Agent, desirable under the UCC or any comparable law of
all appropriate jurisdictions to perfect (A) Investors’ undivided percentage ownership
interests and (B) the security interest referred to in Section 9.1, in each case in
the Pool Receivables and the Related Assets;

(viii) a search report by a nationally recognized search firm provided in writing to
Administrative Agent listing all effective financing statements, state and federal tax or
ERISA liens and judgments that name Seller or any Originator as debtor and that are filed in
the jurisdictions in which filings were made pursuant to subsections (vi) and
(vii) above and in such other jurisdictions and from such other Persons that Agent
shall reasonably request, together with copies of such financing statements (none of which
shall cover any Receivables or Related Assets);

(ix) duly executed copies of Lockbox Agreements with each of the Lockbox Banks;

 

20

 

(x) a favorable opinion of Locke Lord Bissell & Liddell LLP, counsel for the Seller,
the Master Servicer, Lennox International and the Originators, as to such matters as the
Administrative Agent may reasonably request;

(xi) duly executed copies of the Sale Agreement, Assurance Agreement and the Fee
Agreement;

(xii) completion of satisfactory due diligence by Administrative Agent and its counsel;

(xiii) a fully executed facility termination agreement with respect to the Seller’s
receivables purchase facility with Bank of America, N.A. and all other documents and
agreements necessary to terminate such facility; and

(xiv) such other agreements, instruments, certificates, opinions and other documents as
Administrative Agent may reasonably request.

(b) The initial Purchase hereunder is subject to the conditions precedent that (w) all of the
conditions precedent set forth in Section 5.1(a) shall have been satisfied, (x) the
requirements set forth in Section 7.1(j) have been satisfied, and (y) each Agent shall have
received, on or before the date of such Purchase, the following, each (unless otherwise indicated)
dated such date or another recent date acceptable to each Agent and in form and substance
satisfactory to each Agent:

(i) a pro forma Information Package, prepared in respect of the
proposed initial Purchase, assuming a Cut-Off Date reasonably acceptable to each Agent;

(ii) a good standing certificates for Seller issued as of a recent date by the
Secretary of State (or the equivalent) of the state of Texas; and

(iii) written notice provided by the Seller setting forth the Seller’s Account.

Section 5.2 Conditions Precedent to All Purchases and Reinvestments.

Each Purchase and each Reinvestment shall be subject to the conditions precedent that on the
date of such Purchase or Reinvestment the following statements shall be true (and the Seller, by
accepting the amount of such Purchase or by receiving the proceeds of such Reinvestment, and each
other Seller Party, upon such acceptance or receipt by the Seller, shall be deemed to have
certified that):

(a) the representations and warranties contained in Section 6.1 are correct in all
material respects on and as of such day as though made on and as of such day and shall be deemed to
have been made on such day,

(b) no event has occurred and is continuing, or would result from such Purchase or
Reinvestment, that constitutes a Liquidation Event or Unmatured Liquidation Event,

 

21

 

(c) after giving effect to each proposed Purchase or Reinvestment, the Invested Amount will
not exceed the Purchase Limit, no Purchaser Group’s Purchaser Group Invested Amount will exceed
such Purchaser Group’s Purchaser Group Limit and the Asset Interest will not exceed the Allocation
Limit,

(d) the Termination Date shall not have occurred,

(e) in the case of a Purchase, each Purchaser Agent shall have timely received an appropriate
notice of the proposed Purchase in accordance with Section 1.2(a),

(f) a completed Information Package or Interim Information Package (if applicable) shall have
been delivered by the Master Servicer to the Administrative Agent and each Purchaser Agent, on
behalf of such Purchaser Agent’s Purchaser Group, as of the applicable Reporting Date or Interim
Reporting Date, as the case may be,

(g) both prior to and after giving effect to each proposed Purchase or Reinvestment, the
requirements of the Credit Agreement and any other agreement evidencing any Material Indebtedness
of Lennox International with respect to transfers of assets and creation of liens shall not have
been violated,

(h) after giving effect to each proposed Purchase or Reinvestment, the Weighted Average Term
(with respect to Receivables included in the Net Pool Balance) shall not exceed 45 days,

(i) such other agreements, instruments, certificates, opinions and other documents as the
Administrative Agent may reasonably request have been delivered, and

(j) each Originator shall have sold or contributed to the Seller, pursuant to the Sale
Agreement, all Receivables arising on or prior to such date;

provided, however, the absence of the occurrence and continuance of an Unmatured
Liquidation Event shall not be a condition precedent to any Reinvestment or any Purchase on any day
which does not cause the Invested Amount, after giving effect to such Reinvestment or Purchase, to
exceed the Invested Amount as of the opening of business on such day.

Article VI.

Representations and Warranties

Section 6.1 Representations and Warranties of the Seller Parties.

Each Seller Party represents and warrants as to itself, except when specifically provided, in
which case, the specified Seller Party represents and warrants as follows:

(a) Organization and Good Standing. Its jurisdiction of organization is correctly set
forth in the preamble to this Agreement. It is duly organized and is a “registered organization”
as defined in the UCC under the laws of that jurisdiction and no other state or jurisdiction, and
such jurisdiction must maintain a public record showing the organization to have been organized.

 

22

 

It is validly existing as a corporation in good standing under the laws of its state of
organization, with power and authority to own its properties and to conduct its business as such
properties are presently owned and such business is presently conducted. The Seller had at all
relevant times, and now has, all necessary power, authority, and legal right to acquire and own the
Pool Receivables and Related Assets. The Originators and Heatcraft own directly all the issued and
outstanding capital stock of the Seller. The Seller has no subsidiaries.

(b) Due Qualification. It is duly qualified to do business as a foreign corporation
in good standing, and has obtained all necessary licenses and approvals, in all jurisdictions in
which the ownership or lease of property or the conduct of its business requires such
qualification, licenses or approvals, except where the failure to be so qualified or have such
licenses or approvals would not have a Material Adverse Effect.

(c) Power and Authority; Due Authorization. It (i) has all necessary power, authority
and legal right (A) to execute and deliver this Agreement and the other Transaction Documents to
which it is a party, (B) to carry out the terms of the Transaction Documents to which it is a
party, (C) in the case of the Master Servicer, to service the Receivables and the Related Assets in
accordance with this Agreement and the Sale Agreement, and (D) in the case of the Seller, sell and
assign the Asset Interest on the terms and conditions herein provided, and (ii) has duly authorized
by all necessary corporate action the execution, delivery and performance of this Agreement and the
other Transaction Documents and, in the case of the Seller, the sales and assignments described in
clause (i)(D) above. It has duly executed and delivered each of the Transaction Documents
to which it is a party.

(d) Valid Sale; Binding Obligations. (i) This Agreement constitutes a valid sale,
transfer, and assignment of the Asset Interest to the applicable Investors, enforceable against
creditors of, and purchasers from, the Seller, and (ii) this Agreement and each other Transaction
Document signed by such Seller Party constitutes, a legal, valid and binding obligation of such
Seller Party, enforceable in accordance with its terms, except as enforceability may be limited by
bankruptcy, insolvency, reorganization, or other similar laws from time to time in effect affecting
the enforcement of creditors’ rights generally and by general principles of equity, regardless of
whether such enforceability is considered in a proceeding in equity or at law.

(e) No Violation. The execution, delivery and performance by it of this Agreement and
the other Transaction Documents to which it is a party and the consummation by it of the
transactions contemplated hereby and thereby will not (i) conflict with, result in any breach of
any of the terms and provisions of, or constitute (with or without notice or lapse of time or both)
a default under, its articles or certificate of incorporation or by-laws, or any material
indenture, loan agreement, receivables purchase agreement, mortgage, deed of trust, or other
agreement or instrument to which it is a party or by which it or any of its properties is bound
(including, but not limited to, those agreements or instruments evidencing Material Indebtedness of
Lennox International), (ii) result in the creation or imposition of any Lien upon any its
properties pursuant to the terms of any such material indenture, loan agreement, receivables
purchase agreement, mortgage, deed of trust, or other agreement or instrument, other than this
Agreement and the other Transaction Documents, or (iii) violate any law or any order, rule, or
regulation applicable to it of any court or of any federal or state regulatory body, administrative
agency, or other governmental instrumentality having jurisdiction over it or any of its properties.

 

23

 

(f) No Proceedings. There are no actions, proceedings or investigations pending, or,
to its knowledge, threatened, before any Governmental Authority (i) asserting the invalidity of
this Agreement or any other Transaction Document, (ii) seeking to prevent the sale and assignment
of the Receivables under the Sale Agreement or of the Asset Interest under this Agreement or the
consummation of any of the other transactions contemplated by this Agreement or any other
Transaction Document, or (iii) that would have a Material Adverse Effect.

(g) Bulk Sales Act. No transaction contemplated hereby requires compliance with any
bulk sales act or similar law.

(h) Government Approvals. No authorization or approval or other action by, and no
notice to or filing with, any Governmental Authority or regulatory body is required for the due
execution, delivery and performance by it of this Agreement and each other Transaction Document to
which it is a party, except, in the case of the Seller, for (i) the filing of the UCC financing
statements referred to in Article V, and (ii) the filing of any UCC continuation statements
and amendments from time to time required in relation to any UCC financing statements filed in
connection with this Agreement, as provided in Section 8.7, all of which, at the time
required in Article V or Section 8.7, as applicable, shall have been duly made and
shall be in full force and effect.

(i) Financial Condition. (i) The consolidated and consolidating balance sheets of
Lennox International and its consolidated subsidiaries as at December 31, 2008, and the related
statements of income and shareholders’ equity of Lennox International and its consolidated
subsidiaries for the fiscal year then ended, certified by KPMG LLP, independent certified public
accountants, copies of which have been furnished to the Agents, fairly present in all material
respects the consolidated financial condition of Lennox International and its consolidated
subsidiaries as at such date and the consolidated results of the operations of Lennox International
and its consolidated subsidiaries for the period ended on such date, all in accordance with GAAP
consistently applied, (ii) since December 31, 2008 there has been no material adverse change in any
such financial condition, business or operations, (iii) the balance sheet of the Seller as at
September 30, 2009, certified by the chief financial officer or treasurer of the Seller by means of
a Certificate of Financial Officer in the form attached hereto as Exhibit B, copies of
which have been furnished to the Agents, fairly present in all material respects the financial
condition, assets and liabilities of the Seller as at such date, all in accordance with GAAP
consistently applied, and (iv) since June 19, 2000 there has been no material adverse change in the
Seller’s financial condition, business or operations.

(j) Nature of Receivables. Each Receivable constitutes an “account” as such term is
defined in the UCC.

(k) Margin Regulations. The use of all funds obtained by such Seller Party under this
Agreement or any other Transaction Document will not conflict with or contravene any of Regulation
T, U and X promulgated by the Federal Reserve Board from time to time or be used to acquire any
equity security of a class which is registered pursuant to Section 12 of the Securities Exchange
Act of 1934.

 

24

 

(l) Quality of Title. (i) This Agreement creates a valid and continuing security
interest (as defined in the applicable UCC) in the Collateral in favor of the Administrative Agent
for the benefit of the Secured Parties, which security interest is prior to all other Liens and is
enforceable as such against creditors of and purchasers from the Seller, (ii) the Seller owns and
has good and marketable title to the Pool Receivables, Related Assets and the other Collateral free
and clear of any Lien (other than any Lien arising solely as the result of any action taken by any
Secured Parties (or any assignee thereof) or by the Administrative Agent in connection with the
Transaction Documents); (iii) when any Purchaser makes a Purchase or Reinvestment, it shall have
acquired and shall at all times thereafter continuously maintain a valid and perfected first
priority undivided percentage ownership interest to the extent of the portion of the Asset Interest
funded by the related Purchaser Group in the Pool Receivables and Related Assets, free and clear of
any Lien (other than any Lien arising as the result of any action taken by any Secured Party (or
any assignee thereof) or by the Administrative Agent in connection with the Transaction Documents);
(iv) other than the security interest granted to the Administrative Agent for the benefit of the
Secured Parties pursuant to this Agreement, the Seller has not pledged, assigned, sold or granted a
security interest in, or otherwise conveyed any of the Collateral; (v) the Seller has not
authorized the filing of, and is not aware of any financing statements against the Seller that
include a description of collateral covering the Pool Receivables, Related Assets or any other
Collateral except such as may be filed (A) in favor of the Originators in accordance with the
Contracts, (B) in favor of the Seller in connection with the Sale Agreement or (C) in favor of the
Secured Parties or the Administrative Agent in accordance with this Agreement or in connection with
any Lien arising solely as the result of any action taken by the Secured Parties (or any assignee
thereof) or by the Administrative Agent in connection with the Transaction Documents, and (vi) with
respect to each Pool Receivable, the Seller (A) shall have received such Pool Receivable as a
contribution to the capital of the Seller by the applicable Originator or (B) shall have purchased
such Pool Receivable from the applicable Originator in exchange for payment (made by the Seller to
the Originator in accordance with the provisions of the Sale Agreement) of cash, an increase in the
principal amount of the Initial Seller Note and/or an increase in the preferred stock of the Seller
held by such Originator, in all cases in an amount which constitutes fair consideration and
reasonably equivalent value. Each such sale referred to in clause (vi) of the preceding sentence
shall not have been made for or on account of an antecedent debt owed by any Originator to the
Seller and no such sale is or may be voidable or subject to avoidance under applicable law.

(m) Accurate Reports. No Information Package or Interim Information Package (if
prepared by such Seller Party, or to the extent information therein was supplied by such Seller
Party) or other information, exhibit, financial statement, document, book, record or report
furnished or to be furnished by or on behalf of such Seller Party to any Agent or any Investor
pursuant to this Agreement was or will be inaccurate in any material respect as of the date it was
or will be dated or (except as otherwise disclosed to such Agent or Purchaser at such time) as of
the date so furnished, or contained or (in the case of information or other materials to be
furnished in the future) will contain any material misstatement of fact or omitted or (in the case
of information or other materials to be furnished in the future) will omit to state a material fact
or any fact necessary to make the statements contained therein not materially misleading in light
of the circumstances made or presented.

 

25

 

(n) Offices. The principal places of business and chief executive offices of the
Master Servicer and the Seller are located at the respective addresses set forth on
Schedule 14.2, and the offices where the Master Servicer and the Seller keep all their
books, records and documents evidencing Pool Receivables, the related Contracts and all purchase
orders and other agreements related to such Pool Receivables are located at the addresses specified
in Schedule 6.1(n) (or at such other locations, notified to each Agent in accordance with
Section 7.1(f), in the United States).

(o) Lockbox Accounts. The names and addresses of all the Lockbox Banks, together with
the account numbers of the Lockbox Accounts of the Seller at each Lockbox Bank and the post office
box numbers of the lockboxes, are listed on Schedule 6.1(o) (or have been notified to and
approved by the Agents in accordance with Section 7.3(d)) and are the only post office
boxes and accounts into which Collections of Receivables are deposited or remitted. The Seller has
not granted any Person, other than the Administrative Agent for the benefit of the Secured Parties
as contemplated by this Agreement, control of any lockbox or Lockbox Account, or the right to take
control of any such lockbox or Lockbox Account at a future time.

(p) Eligible Receivables. Each Receivable characterized in any Information Package,
Interim Information Package or other written statement made by or on behalf of the Seller as an
Eligible Receivable or as included in the Net Pool Balance is, as of the date of such Information
Package, Interim Information Package or other written statement and on the date of any Purchase,
Reinvestment or computation of Net Pool Balance, an Eligible Receivable on such date and properly
included in the Net Pool Balance on such date. On the date of each Purchase and Reinvestment (and
after giving effect thereto and to any payments made pursuant to Section 3.1(c)), the Asset
Interest is not greater than 100%.

(q) Servicing Programs. No license or approval is required for any Agent’s use of any
program used by the Master Servicer in the servicing of the Receivables, other than those which
have been obtained and are in full force and effect.

(r) Compliance with Credit and Collection Policy. With respect to each Eligible
Receivable, it has complied in all material respects with the Credit and Collection Policy.

(s) Solvency. (i) The fair value of the property of the Seller is greater than the
total amount of liabilities, including contingent liabilities, of the Seller, (ii) the present fair
salable value of the assets of the Seller is not less than the amount that will be required to pay
all probable liabilities of the Seller on its debts as they become absolute and matured, (iii) the
Seller does not intend to, and does not believe that it will, incur debts or liabilities beyond the
Seller’s abilities to pay such debts and liabilities as they mature and (iv) the Seller is not
engaged in a business or a transaction, and is not about to engage in a business or a transaction,
for which the Seller’s property would constitute unreasonably small capital.

(t) Names. Since the date of its incorporation, the Seller has not used any corporate
names, trade names or assumed names other than the name in which it has executed this Agreement.

 

26

 

(u) Ownership of the Seller. Collectively, the Originators and Heatcraft own 100% of
the issued and outstanding capital stock of the Seller, free and clear of any Lien. Such capital
stock is validly issued, fully paid and nonassessable, and there are no options, warrants or other
rights to acquire securities of the Seller. As of the date of this Agreement, the identity of all
holders of capital stock of the Seller and the Initial Seller Notes, the type of capital stock and
the amounts of all such capital stock and Initial Seller Notes held by such holders is as set forth
on Schedule 6.1(u).

(v) Investment Company. The Seller is not an “investment company” within the meaning
of the Investment Company Act of 1940, as amended from time to time, or any successor statute.

(w) Taxes. Each Seller Party has filed all material tax returns and reports required
by law to have been filed by it and has paid all taxes and governmental charges thereby shown to be
owing, except for immaterial amounts, unless such immaterial amounts give rise to a Lien, and
except for any such taxes which are not yet delinquent or are being diligently contested in good
faith by appropriate proceedings and for which adequate reserves in accordance with GAAP shall have
been set aside on its books. The Seller is not aware of any judgment or tax lien filings against
it.

(x) Compliance with Laws. Each Seller Party is in compliance with all applicable
laws, rules, regulations and orders, including those with respect to the Pool Receivables and
related Contracts, except where the failure to so comply would not individually or in the aggregate
have a Material Adverse Effect.

(y) Liquidation Event. No event has occurred and is continuing that constitutes a
Liquidation Event, Unmatured Liquidation Event or Credit Event.

(z) Prior Seller Activities. The Seller was incorporated on June 9, 2000, and since
such date it has not engaged in any business activities other than the transactions contemplated by
and permitted by its certificate of incorporation.

Article VII.

General Covenants of the Seller Parties

Section 7.1 Affirmative Covenants of the Seller Parties.

Until the Final Payout Date, unless each Agent shall otherwise consent in writing:

(a) Compliance With Laws, Etc. Each Seller Party will comply in all material respects
with all applicable laws, rules, regulations and orders, including those with respect to the Pool
Receivables and related Contracts, except where the failure to so comply would not individually or
in the aggregate have a Material Adverse Effect.

(b) Preservation of Corporate Existence. Each Seller Party will preserve and maintain
its corporate existence, status as a “registered organization”, rights, franchises and privileges
in the jurisdiction of its incorporation, and qualify and remain qualified in good

 

27

 

standing as a foreign corporation in each jurisdiction where the failure to preserve and
maintain such existence, rights, franchises, privileges and qualification would have a Material
Adverse Effect.

(c) Audits. Each Seller Party will (i) at any time and from time to time upon not
less than five (5) Business Days’ notice (unless a Liquidation Event has occurred and is continuing
(or any Agent believes in good faith that a Liquidation Event has occurred and is continuing), in
which case no such notice shall be required) during such Seller Party’s regular business hours,
permit the Administrative Agent along with each Purchaser Agent, on behalf of such Purchaser
Agent’s Purchaser Group, or any of its agents or representatives, (A) to conduct audits of the Pool
Receivables and examine and make copies of and abstracts from all books, records and documents
(including, without limitation, computer tapes and disks) in the possession or under the control of
such Seller Party relating to Pool Receivables and the Related Assets, including, without
limitation, the related Contracts and purchase orders and other agreements, and (B) to visit the
offices and properties of such Seller Party for the purpose of examining such materials described
in clause (i)(A) next above, and to discuss matters relating to Pool Receivables and the
Related Assets or such Seller Party’s performance hereunder with any of the officers or employees
(with notification to and coordination with the treasurer of such Seller Party or his designee) of
such Seller Party having knowledge of such matters; (ii) permit each Purchaser Agent or any of its
respective agents or representatives, upon not less than five (5) Business Days’ notice from such
Purchaser Agent and the consent (which consent shall not unreasonably be withheld or delayed) of
such Seller Party (unless a Liquidation Event has occurred and is continuing (or such Purchaser
Agent believes in good faith that a Liquidation Event has occurred and is continuing) in which case
no such notice or consent shall be required), to meet with the independent auditors of such Seller
Party, to review such auditors’ work papers and otherwise to review with such auditors the books
and records of such Seller Party with respect to the Pool Receivables and the Related Assets; and
(iii) without limiting the provisions of clause (i) or (ii) next above, from time
to time, at the expense of such Seller Party, permit certified public accountants or other auditors
acceptable to each Purchaser Agent to conduct a review of such Seller Party’s books and records
with respect to the Pool Receivables and the Related Assets; provided, that, so long as no
Liquidation Event has occurred and is continuing, such reviews shall not be done more than two (2)
times in any one calendar year, provided, further that the Seller Parties shall be
responsible for the costs and expenses of one such review in any one calendar year.

(d) Keeping of Records and Books of Account. The Master Servicer will maintain and
implement administrative and operating procedures (including, without limitation, an ability to
recreate records evidencing Pool Receivables in the event of the destruction of the originals
thereof), and keep and maintain, all documents, books, records and other information reasonably
necessary or advisable for the collection of all Pool Receivables (including, without limitation,
records adequate to permit the daily identification of outstanding Unpaid Balances by Obligor and
related debit and credit details of the Pool Receivables).

(e) Performance and Compliance with Receivables and Contracts. Each Seller Party
will, at its expense, timely and fully perform and comply with all material provisions, covenants
and other promises, if any, required to be observed by it under the Contracts related to the Pool
Receivables and all agreements related to such Pool Receivables.

 

28

 

(f) Location of Records. Each Seller Party will keep its chief place of business and
chief executive office, and the offices where it keeps its records concerning the Pool Receivables,
the Related Assets, including all related Contracts and all agreements related to such Pool
Receivables (and all original documents relating thereto), at the address(es) of the Master
Servicer and the Seller referred to in Section 6.1(n) or, upon 30 days’ prior written
notice to the Administrative Agent, at other locations in the United States.

(g) Credit and Collection Policies. Each Seller Party will comply in all material
respects with the Credit and Collection Policy in regard to each Pool Receivable and the related
Contract.

(h) Sale Agreement. The Seller will perform and comply in all material respects with
all of its covenants and agreements set forth in the Sale Agreement, and will enforce the
performance by the Originators of their respective obligations under the Sale Agreement.

(i) Deposit to Lockbox Accounts. The Seller and the Master Servicer shall instruct
all Obligors to deposit all Collections to the Lockbox Accounts. Upon the establishment of the
Collection Account, if any, the Master Servicer shall instruct each Lockbox Bank to deposit all
Collections to the Collection Account. The Seller and the Master Servicer will not give any
contrary or conflicting instructions, and will, upon the request of the Master Servicer or the
Administrative Agent, confirm such instructions by the Master Servicer or take such other action as
may be reasonably required to give effect to such instructions. If the Seller shall receive any
Collections directly, it shall immediately (and in any event within two (2) Business Days) deposit
the same to a lockbox connected to a Lockbox Account, a Lockbox Account or the Collection Account
in the same form received.

(j) Post-Closing Requirement. The Seller and the Master Servicer shall,

(i) within one Business Day of the date hereof, pay the fee payable pursuant to Section
1.b of the Fee Agreement; and

(ii) within five Business Days of the date hereof, deliver to each Agent, in form and
substance reasonably satisfactory to each Agent, (x) an amendment to the certificate of
incorporation (including an amendment to the certificate of designation of the Preferred
Stock of the Seller) of the Seller filed with the Secretary of State of Delaware and (y) an
amendment to the by-laws of the Seller duly adopted by the board of directors of the Seller.

Section 7.2 Reporting Requirements of the Seller Parties.

From the date hereof until the Final Payout Date, unless each Agent shall otherwise consent in
writing:

(a) Quarterly Financial Statements — Lennox International. The Master Servicer will
furnish to each Agent, as soon as available and in any event within 45 days after the end of each
of the first three quarters of each fiscal year of Lennox International, copies of its
consolidated, and, to the extent otherwise available, consolidating balance sheets and related
statements of income and statements of cash flow, showing the financial condition of Lennox
International and

 

29

 

its consolidated Subsidiaries as of the close of such fiscal quarter and the results of its
operations and the operations of such Subsidiaries during such fiscal quarter and the then elapsed
portion of the fiscal year, together with a Certificate of Financial Officer in the form attached
hereto as Exhibit B executed by the chief financial officer or treasurer of the Lennox
International;

(b) Annual Financial Statements — Lennox International. The Master Servicer will
furnish to each Agent, as soon as available and in any event within 90 days after the end of each
fiscal year of Lennox International, copies of its consolidated and consolidating balance sheets
and related statements of income and statements of cash flow, showing the financial condition of
Lennox International and its consolidated Subsidiaries as of the close of such fiscal year and the
results of its operations and the operations of such Subsidiaries during such year, all audited by
KPMG LLP or other independent public accountants of recognized national standing acceptable to each
Agent and accompanied by an opinion of such accountants (which shall not be qualified in any
material respect) to the effect that such consolidated financial statements fairly present the
financial condition and results of operations of Lennox International on a consolidated basis
(except as noted therein) in accordance with GAAP consistently applied;

(c) [Reserved];

(d) Annual Financial Statements — Seller. The Seller will furnish to each Agent, as
soon as available and in any event within 90 days after the end of each fiscal year of the Seller,
copies of the financial statements of the Seller, consisting of at least a balance sheet of the
Seller for such year and statements of earnings, cash flows and shareholders’ equity, setting forth
in each case in comparative form corresponding figures from the preceding fiscal year, together
with a Certificate of Financial Officer in the form attached hereto as Exhibit B executed
by the chief financial officer or treasurer of the Seller;

(e) Reports to Holders and Exchanges. In addition to the reports required by
subsections (a), (b) and (d) above, promptly upon any Agent’s request, the
Master Servicer will furnish or cause to be furnished to each Agent, copies of any reports
specified in such request which the Master Servicer sends to any of its securityholders, and any
reports, final registration statements (excluding exhibits), and each final prospectus and all
amendments thereto that the Master Servicer files with the Securities and Exchange Commission or
any national securities exchange other than registration statements relating to employee benefit
plans and registrations of securities for selling securities;

(f) ERISA. Promptly after the filing or receiving thereof, each Seller Party will
furnish to each Agent, copies of all reports and notices with respect to any Reportable Event
defined in Article IV of ERISA which any Seller Party or ERISA Affiliate thereof files under ERISA
with the Internal Revenue Service, the Pension Benefit Guaranty Corporation or the U.S. Department
of Labor or which such Seller Party or ERISA Affiliate thereof receives from the Pension Benefit
Guaranty Corporation, which Reportable Event(s) individually or in the aggregate could have a
Material Adverse Effect;

(g) Liquidation Events, Etc. As soon as possible and in any event within three (3)
Business Days after obtaining knowledge of the occurrence of any Liquidation Event, any Unmatured
Liquidation Event, or any Credit Event, each Seller Party will furnish to each Agent,

 

30

 

a written statement of the chief financial officer, treasurer or chief accounting officer of
such Seller Party setting forth details of such event and the action that such Seller Party will
take with respect thereto;

(h) Litigation. As soon as possible and in any event within ten (10) Business Days of
any Seller Party’s knowledge thereof, such Seller Party will furnish to each Agent, notice of
(i) any litigation, investigation or proceeding which may exist at any time which could reasonably
be expected to have a Material Adverse Effect and (ii) any development in previously disclosed
litigation which development could reasonably be expected to have a Material Adverse Effect;

(i) Sale Agreement. (i) Promptly after receipt thereof, the Seller will furnish to
each Agent, copies of all notices received by the Seller from any Originator under the Sale
Agreement and (ii) as soon as possible and in any event no later than the day of occurrence
thereof, the Seller will furnish to each Agent notice that any Originator has stopped selling or
contributing to the Seller, pursuant to the Sale Agreement, all newly arising Receivables;

(j) Change in Credit and Collection Policy. Prior to its effective date, each Seller
Party will furnish to each Agent, notice of (i) any material change in the character of such Seller
Party’s business, and (ii) any material change in the Credit and Collection Policy;

(k) Change of Independent Director. At least 10 days prior to the effectiveness of
any removal of the Independent Director, and within three Business Days after the death, incapacity
or resignation of the Independent Director, the Seller shall furnish to each Agent notice of such
event and the date of occurrence thereof, together with the name and background of the replacement
Independent Director;

(l) Other. Promptly, from time to time, each Seller Party will furnish to each Agent
such other information, documents, records or reports respecting the Receivables or the condition
or operations, financial or otherwise, of such Seller Party as such Agent may from time to time
reasonably request in order to protect the interests of such Agent or the Investors under or as
contemplated by this Agreement.

Promptly upon receipt thereof, each Purchaser Agent agrees to send to each Investor in such
Purchaser Agent’s Purchaser Group copies of all financial statements, reports, notices,
certificates or other items received by such Purchaser Agent under this Section 7.2.

Section 7.3 Negative Covenants of the Seller Parties.

From the date hereof until the Final Payout Date, unless each Agent shall otherwise consent in
writing:

(a) Sales, Liens, Etc. (i) The Seller will not, except as otherwise provided herein
and in the other Transaction Documents, sell, assign (by operation of law or otherwise) or
otherwise dispose of, or create or suffer to exist any Lien upon or with respect to, any Pool
Receivable or any Related Asset, or any interest therein, or any account to which any Collections
of any Pool Receivable are sent, or any right to receive income or proceeds from or in respect of
any of the

 

31

 

foregoing, and (ii) the Master Servicer will not assert any interest in the Receivables or any
other Collateral, except as Master Servicer.

(b) Extension or Amendment of Receivables. No Seller Party will, except as otherwise
permitted in Section 8.2(c), extend, amend or otherwise modify the terms of any Pool
Receivable, or amend, modify or waive any material term or condition of any Contract related
thereto in any way that adversely affects the collectibility of any Pool Receivable or the
Investors’ rights therein.

(c) Change in Credit and Collection Policy. No Seller Party will make or permit to be
made any material change in the Credit and Collection Policy, which change would impair the
collectibility of any significant portion of the Pool Receivables or otherwise adversely affect the
interests or remedies of any Agent or Investor under this Agreement or any other Transaction
Document.

(d) Change in Payment Instructions to Obligors. No Seller Party will add or terminate
any lockbox or account as a Lockbox Account or bank as a Lockbox Bank from those listed in
Schedule 6.1(o) (unless, prior to such addition or termination, the Administrative Agent
shall have received an updated Schedule 6.1(o) and a fully executed Lockbox Agreement with
each new Lockbox Bank or with respect to each new lockbox or account) or, make any change in its
instructions to Obligors regarding payments to be made to the Seller or Master Servicer or payments
to be made to any Lockbox Bank (except for a change in instructions solely for the purpose of
directing Obligors to make such payments to another existing Lockbox Bank).

(e) Deposits to Collection Account. No Seller Party will deposit or otherwise credit,
or cause or permit to be so deposited or credited, to the Collection Account or any Lockbox
Account, any cash or cash proceeds other than Collections of Pool Receivables.

(f) Changes to Other Documents. The Seller will not enter into any amendment or
modification of, waiver to, or supplement to, the Sale Agreement or the Seller’s certificate of
incorporation.

(g) Distributions, Etc. The Seller will not declare or make any dividend payment or
other distribution of assets, properties, cash, rights, obligations or securities on account of any
shares of any class of capital stock of the Seller, or return any capital to its shareholders as
such, or purchase, retire, defease, redeem or otherwise acquire for value or make any payment in
respect of any shares of any class of capital stock of the Seller or any warrants, rights or
options to acquire any such shares, now or hereafter outstanding; provided, however, that the
Seller may declare and pay cash dividends on its capital stock to its shareholders so long as (i)
no Liquidation Event or Unmatured Liquidation Event shall then exist or would occur as a result
thereof, (ii) such dividends are in compliance with all applicable law including the corporate law
of the state of Seller’s incorporation, and (iii) such dividends have been approved by all
necessary and appropriate corporate action of the Seller.

(h) Seller Indebtedness. The Seller will not incur or permit to exist any
Indebtedness or liability on account of deposits or advances or for borrowed money or for the
deferred purchase price of any property or services, except (i) indebtedness of the Seller to the
Originators

 

32

 

incurred in accordance with the Sale Agreement, (ii) current accounts payable arising under
the Transaction Documents and not overdue and (iii) other current accounts payable arising in the
ordinary course of business and not overdue, in an aggregate amount at any time outstanding not to
exceed $75,000.

(i) Negative Pledges. No Seller Party will enter into or assume any agreement (other
than this Agreement and the other Transaction Documents) prohibiting the creation or assumption of
any Lien upon any Pool Receivables or Related Assets, whether now owned or hereafter acquired,
except as contemplated by the Transaction Documents, or otherwise prohibiting or restricting any
transaction contemplated hereby or by the other Transaction Documents.

(j) Change of Name; Jurisdiction of Organization; Offices and Records. No Seller
Party shall change (i) its name as it appears in official filings in the jurisdiction of its
organization, (ii) its status as a “registered organization” (within the meaning of Article 9 of
any applicable enactment of the UCC), (iii) its organizational identification number, if any,
issued by its jurisdiction of organization, or (iv) its jurisdiction of organization unless it
shall have: (A) given the Agents at least forty-five (45) days’ prior written notice thereof;
(B) at least ten (10) days prior to such change, delivered to the Agents all financing statements,
instruments and other documents requested by the Agents in connection with such change or
relocation and (C) caused an opinion of counsel acceptable to the Agents and their respective
assigns to be delivered to the Agents and such assigns that Administrative Agent’s security
interest (for the benefit of the Secured Parties) is perfected and of first priority and other
corporate matters related to such change, such opinion to be in form and substance acceptable to
the Agents and such assigns in their sole discretion.

(k) [Reserved].

(l) Mergers, Consolidations and Acquisitions.

(i) The Master Servicer will not, nor will it permit any subservicer, to merge into or
consolidate with any other Person, or permit any other Person to merge into or consolidate
with it, or purchase, lease or otherwise acquire (in one transaction or a series of
transactions) all or substantially all of the assets of any other Person (whether directly
by purchase, lease or other acquisition of all or substantially all of the assets of such
Person or indirectly by purchase or other acquisition of all or substantially all of the
capital stock of such other Person) other than acquisitions in the ordinary course of their
business, except that if at the time thereof and immediately after giving effect thereto no
Liquidation Event or Unmatured Liquidation Event shall have occurred and be continuing
(A) the Master Servicer or such subservicer may merge or consolidate with any Subsidiary
(other than Seller) in a transaction in which such Master Servicer or such subservicer is
the surviving corporation, and (B) the Master Servicer or such subservicer may purchase,
lease or otherwise acquire from any Subsidiary (other than Seller) all or substantially all
of its assets and may purchase or otherwise acquire all or substantially all of the capital
stock of any Person who immediately thereafter is a Subsidiary.

 

33

 

(ii) Seller will not merge into or consolidate with any other Person, or permit any
other Person to merge into or consolidate with it, or purchase, lease or otherwise acquire
(in one transaction or a series of transactions) all or substantially all of the assets of
any other Person (whether directly by purchase, lease or other acquisition of all or
substantially all of the assets of such Person or indirectly by purchase or other
acquisition of all or substantially all of the capital stock of such other Person) other
than the acquisition of the Receivables and Related Assets pursuant to the Sale Agreement
and the sale of an interest in the Pool Receivables and Related Assets hereunder.

(m) [Reserved].

(n) Change in Business. No Seller Party will make or permit to be made any material
change in the character of its business, which change would impair the collectibility of any
significant portion of the Pool Receivables or otherwise adversely affect the interests or remedies
of the Investors or the Agents under this Agreement or any other Transaction Document.

Section 7.4 Separate Corporate Existence of the Seller.

Each Seller Party hereby acknowledges that each Investor and each Agent are entering into the
transactions contemplated hereby in reliance upon the Seller’s identity as a legal entity separate
from the Master Servicer and its other Affiliates. Therefore, each Seller Party shall take all
steps specifically required by this Agreement or reasonably required by the Agents to continue the
Seller’s identity as a separate legal entity and to make it apparent to third Persons that the
Seller is an entity with assets and liabilities distinct from those of its Affiliates, and is not a
division of the Master Servicer or any other Person. Without limiting the foregoing, each Seller
Party will take such actions as shall be required in order that:

(a) The Seller will be a limited purpose corporation whose primary activities are restricted
in its Certificate of Incorporation to purchasing or otherwise acquiring from the Originators,
owning, holding, granting security interests, or selling interests, in Receivables in the
Receivables Pool and Related Assets, entering into agreements for the selling and servicing of the
Receivables Pool, and conducting such other activities as it deems necessary or appropriate to
carry out such activities;

(b) At least one member of the Seller’s Board of Directors shall be an Independent Director.
The certificate of incorporation of the Seller shall provide that (i) at least one member of the
Seller’s Board of Directors shall be an Independent Director, (ii) the Seller’s Board of Directors
shall not approve, or take any other action to cause the filing of, a voluntary bankruptcy petition
with respect to the Seller unless the Independent Director shall approve the taking of such action
in writing prior to the taking of such action, (iii) the Independent Director shall be employed by
a nationally recognized provider of corporate or structured finance services, (iv) the Independent
Director may not be removed by the Seller’s stockholders or the Seller’s Board of Directors except
(w) for cause, (x) in the event the Independent Director ceases to be employed by the service
provider which is his or her employer on the date the Independent Director first becomes an
Independent Director or (y) with the consent of the Administrative Agent, not to be unreasonably
withheld or delayed, and that any such removal pursuant to clause (w) or (x) shall not be effective
until at least ten days after written notice to the Independent

 

34

 

Director and the Administrative Agent of such removal and the grounds therefor, and (v) the
provisions requiring an Independent Director and the provisions described in clauses (i),
(ii), (iii) and (iv) of this paragraph (b) cannot be amended
without the prior written consent of the Independent Director;

(c) The Independent Director shall not at any time serve as a trustee in bankruptcy for the
Seller or any Affiliate thereof;

(d) Any employee, consultant or agent of the Seller will be compensated from the Seller’s
funds for services provided to the Seller. The Seller will not engage any agents other than its
attorneys, auditors and other professionals, and a servicer and any other agent contemplated by the
Transaction Documents for the Receivables Pool (the parties acknowledge that the Master Servicer
will be fully compensated for its services by payment of the Servicing Fee), and certain
organizational expenses in connection with the formation of the Seller;

(e) The Seller will contract with the Master Servicer to perform for the Seller all operations
required on a daily basis to service the Receivables Pool. The Seller will pay the Master Servicer
the Servicing Fee pursuant hereto. The Seller will not incur any material indirect or overhead
expenses for items shared with the Master Servicer (or any other Affiliate thereof) which are not
reflected in the Servicing Fee. To the extent, if any, that the Seller (or any other Affiliate
thereof) shares items of expenses not reflected in the Servicing Fee, for legal, auditing and other
professional services and directors’ fees, such expenses will be allocated to the extent practical
on the basis of actual use or the value of services rendered, and otherwise on a basis reasonably
related to the actual use or the value of services rendered, it being understood that Lennox shall
pay or cause to be paid all expenses relating to the preparation, negotiation, execution and
delivery of the Transaction Documents, including, without limitation, legal, rating agency and
other fees;

(f) The Seller shall at all times be adequately capitalized in light of its contemplated
business and the Seller’s operating expenses will not be paid by any other Seller Party or other
Affiliate of the Seller;

(g) The Seller will have its own stationery;

(h) The books of account, financial reports and corporate records of the Seller will be
maintained separately from those of the Master Servicer and each other Affiliate of the Seller;

(i) Any financial statements of any Seller Party or Affiliate thereof which are consolidated
to include the Seller will contain detailed notes clearly stating that (i) all of the Seller’s
assets are owned by the Seller, and (ii) the Seller is a separate corporate entity with its own
separate creditors that will be entitled to be satisfied out of the Seller’s assets prior to any
value in the Seller becoming available to the Seller’s equity holders; and the accounting records
and the published financial statements of the Originators will clearly show that, for accounting
purposes, the Pool Receivables and Related Assets have been sold by the Originators to the Seller;

(j) The Seller’s assets will be maintained in a manner that facilitates their identification
and segregation from those of the Master Servicer and the other Affiliates;

 

35

 

(k) Each Affiliate of the Seller will strictly observe corporate formalities in its dealings
with the Seller, and, except as permitted pursuant to this Agreement with respect to Collections,
funds or other assets of the Seller will not be commingled with those of any of its Affiliates;

(l) No Affiliate of the Seller will maintain joint bank accounts with the Seller or other
depository accounts with the Seller to which any such Affiliate (other than in its capacity as the
Master Servicer hereunder or under the Sale Agreement) has independent access, provided
that prior to the occurrence of a Credit Event, Collections may (following receipt in the Lockbox
Accounts) be deposited into general accounts of the Master Servicer, subject to the obligations of
the Master Servicer hereunder;

(m) No Affiliate of the Seller shall, directly or indirectly, name the Seller or enter into
any agreement to name the Seller as a direct or contingent beneficiary or loss payee on any
insurance policy covering the property of any Affiliate of the Seller;

(n) Each Affiliate of the Seller will maintain arm’s length relationships with the Seller, and
each Affiliate of the Seller that renders or otherwise furnishes services or merchandise to the
Seller will be compensated by the Seller at market rates for such services or merchandise;

(o) No Affiliate of the Seller will be, nor will it hold itself out to be, responsible for the
debts of the Seller or the decisions or actions in respect of the daily business and affairs of the
Seller. The Seller shall not (i) guarantee or become obligated for the debts of any other entity
or hold out its credit as being available to satisfy the obligations of others, (ii) acquire
obligations of its shareholders, (iii) pledge its assets for the benefit of any other entity or
make any loans or advances to any other entity or (iv) make any payment or distribution of assets
with respect to any obligation of any Affiliate of Seller. The Master Servicer and the Seller will
immediately correct any known misrepresentation with respect to the foregoing and they will not
operate or purport to operate as an integrated single economic unit with respect to each other or
in their dealing with any other entity;

(p) The Seller will hold regular duly noticed meetings of its board of directors and keep
correct and complete books and records of account and minutes of the meetings and other proceedings
of its stockholder and board of directors, as applicable, and the resolutions, agreements and other
instruments of the Seller will be continuously maintained as official records by the Seller;

(q) The Seller will not participate in the management of any other Seller Party or any
Affiliate thereof; and

(r) The Seller, on the one hand, and each Originator, on the other hand, will hold itself out
to the public and conduct its business solely in its own corporate name and in such a separate
manner so as not to mislead others with whom they are dealing.

 

36

 

Article VIII.

Administration and Collection

Section 8.1 Designation of Master Servicer.

(a) Lennox as Initial Master Servicer. The servicing, administering and collection of
the Pool Receivables shall be conducted by the Person designated as Master Servicer hereunder from
time to time in accordance with this Section 8.1. Until the Administrative Agent at the
direction of the Purchaser Agents, on the Investors’ behalf, gives to Lennox a Successor Notice (as
defined in Section 8.1(b)), Lennox is hereby designated as, and hereby agrees to perform
the duties and obligations of, the Master Servicer pursuant to the terms hereof. Each of the
Originators named in the Sale Agreement, has agreed to act as subservicer for the purpose of
performing certain duties and obligations with respect to all Receivables purchased by the Seller
from such Originator pursuant to the terms of the Sale Agreement. In so acting as subservicer,
each of the Originators has agreed to comply with, and be bound by, all of the terms and provisions
of this Agreement applicable to such Originator in the performance of its duties as subservicer;
provided, however, that each such Originator (i) shall cease to act as subservicer
upon the Administrative Agent’s delivery of a Successor Notice to Lennox, and (ii) shall not be
entitled to receive any Servicing Fee provided for herein (except that the Master Servicer may
agree to pay to the subservicers a proportional share of the Servicing Fee which obligation shall
be that of the Master Servicer).

(b) Successor Notice; Master Servicer Transfer Events. Upon Lennox’s receipt of a
notice from the Administrative Agent of the Administrative Agent’s designation at the direction of
the Purchaser Agents, on the Investors’ behalf, of a new Master Servicer (a “Successor
Notice”), Lennox agrees that it will terminate its activities as Master Servicer hereunder in a
manner that the Agents believe will facilitate the transition of the performance of such activities
to the new Master Servicer, and the Administrative Agent (or its designee) shall assume each and
all of Lennox’s obligations to service and administer such Receivables, on the terms and subject to
the conditions herein set forth, and Lennox shall use its best efforts to assist the Administrative
Agent (or its designee) in assuming such obligations. Without limiting the foregoing, Lennox
agrees, at its expense, to take all actions necessary to provide the new Master Servicer with
access to all computer software necessary or useful in collecting, billing or maintaining records
with respect to the Receivables.

(c) Subcontracts. The Master Servicer may, with the prior consent of the Agents,
subcontract with any other Person for servicing, administering or collecting the Pool Receivables,
provided that the Master Servicer shall remain liable for the performance of the duties and
obligations of the Master Servicer pursuant to the terms hereof and such subservicing arrangement
may be terminated at the Administrative Agent’s request, at any time after a Successor Notice has
been given.

Section 8.2 Duties of Master Servicer.

(a) Appointment; Duties in General. Each of the Seller, the Investors and the Agents
hereby appoints as its agent the Master Servicer, as from time to time designated pursuant to

 

37

 

Section 8.1, to enforce its rights and interests in and under the Pool Receivables and
the Related Assets and the related Contracts. The Master Servicer shall take or cause to be taken
all such actions as may be necessary or advisable to collect each Pool Receivable from time to
time, all in accordance with applicable laws, rules and regulations, with reasonable care and
diligence, and in accordance with the Credit and Collection Policy. In performing its duties as
Master Servicer, the Master Servicer shall exercise the same care and apply the same policies as it
would exercise and apply if it owned such Receivables and shall act in the best interests of the
Seller and the Investors.

(b) Allocation of Collections; Segregation. The Master Servicer shall identify for
the account of the Seller and Investors their respective allocable shares of the Collections of
Pool Receivables in accordance with Section 1.3 but shall not be required (unless otherwise
requested by the Administrative Agent or any Purchaser Agent, on behalf of such Purchaser Agent’s
Purchaser Group) to segregate the funds constituting such portions of such Collections prior to the
remittance thereof in accordance with said Section. If instructed by the Administrative Agent or
any Purchaser Agent, the Master Servicer shall segregate and deposit into the Collection Account,
the Investors’ Share of Collections of Pool Receivables, on the second Business Day following
receipt by the Master Servicer of such Collections in immediately available funds. The Master
Servicer shall, from time to time after the occurrence and during the continuance of an Unmatured
Liquidation Event or a Liquidation Event, at the request of any Purchaser Agent, furnish to such
Purchaser Agent (promptly after any such request) a calculation of the amounts set aside for the
Investors in such Purchaser Agent’s Purchaser Group pursuant to Section 3.1.

(c) Modification of Receivables. So long as no Credit Event, no Liquidation Event and
no Unmatured Liquidation Event shall have occurred and be continuing, Lennox, while it is Master
Servicer, may, in accordance with the applicable Credit and Collection Policy, (i) extend the
maturity or adjust the Unpaid Balance of any Defaulted Receivable as the Master Servicer may
reasonably determine to be appropriate to maximize Collections thereof, and (ii) adjust the Unpaid
Balance of any Receivable to reflect the reductions or cancellations described in the first
sentence of Section 3.2(a); provided that such extension or adjustment shall not
alter the status of such Receivables as Delinquent Receivables or Defaulted Receivables or limit
the rights of any Agent or any Investor with respect thereto.

(d) Documents and Records. Each Seller Party shall deliver to the Master Servicer,
and the Master Servicer shall hold in trust for the Seller and the Purchaser Agents, on behalf of
the Investors, in accordance with their respective interests, all documents, instruments and
records (including, without limitation, computer tapes or disks) that evidence or relate to Pool
Receivables.

(e) Certain Duties to the Seller. The Master Servicer shall, as soon as practicable
following receipt, turn over to the Seller (i) that portion of Collections of Pool Receivables
representing its undivided percentage ownership interest therein, less the Seller’s Share of the
Servicing Fee, and, in the event that neither Lennox nor any other Seller Party or Affiliate
thereof is the Master Servicer, all reasonable and appropriate out-of-pocket costs and expenses of
the Master Servicer of servicing, collecting and administering the Pool Receivables to the extent
not covered by the Servicing Fee received by it, and (ii) the Collections of any Receivable which
is not a Pool Receivable. The Master Servicer, if other than Lennox or any other Seller Party or

 

38

 

Affiliate thereof, shall, as soon as practicable upon demand, deliver to the Seller all
documents, instruments and records in its possession that evidence or relate to Receivables of the
Seller other than Pool Receivables, and copies of documents, instruments and records in its
possession that evidence or relate to Pool Receivables.

(f) Termination. The Master Servicer’s authorization under this Agreement shall
terminate upon the Final Payout Date.

(g) Power of Attorney. The Seller hereby grants to the Master Servicer an irrevocable
power of attorney, with full power of substitution, coupled with an interest, to take in the name
of the Seller all steps which are necessary or advisable to endorse, negotiate or otherwise realize
on any writing or other right of any kind held or transmitted by the Seller or transmitted or
received by the Purchaser (whether or not from the Seller) in connection with any Receivable.

Section 8.3 [Reserved].

Section 8.4 Servicer Defaults.

Each of the following events shall constitute a “Servicer Default”:

(a) any failure by the Master Servicer to make any payment, transfer or deposit or to give
instructions or notice to any Agent as required by this Agreement including, without limitation,
delivery of any Information Package or Interim Information Package or any failure to make any
payment or deposit required to be made in order to reduce the Asset Interest to the Allocation
Limit and, (i) in the case of failure to deliver an Information Package or Interim Information
Package, as the case may be, such failure shall remain unremedied for two (2) Business Days after
the earliest to occur of (A) written notice thereof shall have been given by any Agent to the
Master Servicer or (B) the Master Servicer shall have otherwise become aware of such failure and
(ii) except with respect to any payment or deposit required to be made in order to reduce the Asset
Interest to the Allocation Limit which shall be made when due, in the case of failure to make any
payment or deposit to be made by the Master Servicer such failure shall remain unremedied for three
(3) Business Days after the due date thereof;

(b) any failure on the part of the Master Servicer duly to observe or perform in any material
respect any other covenants or agreements of the Master Servicer set forth in this Agreement or any
other Transaction Document to which the Master Servicer is a party, which failure continues
unremedied for a period of 30 days after the first to occur of (i) the date on which written notice
of such failure requiring the same to be remedied shall have been given to the Master Servicer by
any Agent and (ii) the date on which the Master Servicer becomes aware thereof;

(c) any representation, warranty or certification made by the Master Servicer in this
Agreement or in any certificate delivered pursuant to this Agreement shall prove to have been
incorrect when made, which continues to be unremedied for a period of 30 days after the first to
occur of (i) the date on which written notice of such incorrectness requiring the same to be
remedied shall have been given to the Master Servicer by any Agent and (ii) the date on which the
Master Servicer becomes aware thereof; provided, however, that in the case of any

 

39

 

representation, warranty or certification that was not made in writing, a Servicer Default
shall occur hereunder only if such representation, warranty or certification was reasonably relied
upon by any Agent and/or the Investors;

(d) a Credit Event shall occur or any bankruptcy, insolvency or similar event occurs with
respect to the Master Servicer; or

(e) any change in the control of the Master Servicer which takes the form of either a merger
or consolidation in which the Master Servicer is not the surviving entity.

Notwithstanding anything herein to the contrary, so long as any such Servicer Default shall not
have been remedied, the Administrative Agent (at the direction of any Purchaser Agent), by written
notice to the Master Servicer (a “Termination Notice”), may terminate all of the rights and
obligations of the Master Servicer as Master Servicer under this Agreement and appoint a successor
Master Servicer satisfactory to the Administrative Agent (in the Administrative Agent’s sole
discretion).

Section 8.5 Rights of the Administrative Agent.

(a) Notice to Obligors. At any time when a Liquidation Event has occurred and is
continuing, the Administrative Agent, at the request of the Purchaser Agents, may notify the
Obligors of Pool Receivables, or any of them, of the ownership of the Asset Interest by the
Investors.

(b) Notice to Lockbox Banks. At any time, the Administrative Agent is hereby
authorized to give notice to the Lockbox Banks, as provided in the Lockbox Agreements, directing
disposition of the funds in the Lockbox Accounts.

(c) Rights on Servicer Transfer Event. At any time following the designation of a
Master Servicer other than Lennox pursuant to Section 8.1:

(i) The Administrative Agent may, or at the request of the Purchaser Agents, shall,
direct the Obligors of Pool Receivables, or any of them, to pay all amounts payable under
any Pool Receivable directly to the Collection Account, or otherwise to the Administrative
Agent or its designee.

(ii) Any Seller Party shall, at the Administrative Agent’s request and at such Seller
Party’s expense, give notice of the Investors’ ownership and security interests in the Pool
Receivables to each Obligor of Pool Receivables and direct that payments be made directly to
the Collection Account or otherwise to the Administrative Agent or its designee.

(iii) Each Seller Party shall, at the Administrative Agent’s request (at the direction
of any Purchaser Agent), (A) assemble all of the documents, instruments and other records
(including, without limitation, computer programs, tapes and disks) which evidence the Pool
Receivables, the Related Assets, and the related Contracts, or which are otherwise necessary
or desirable to collect such Pool Receivables, and make the same available to the successor
Master Servicer at a place selected by such Agent, and

 

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(B) segregate all cash, checks and other instruments received by it from time to time
constituting Collections of Pool Receivables in a manner acceptable to the Agents and
promptly upon receipt, remit all such cash, checks and instruments, duly endorsed or with
duly executed instruments of transfer, to the successor Master Servicer.

(iv) Each Seller Party hereby authorizes the Administrative Agent, and grants to the
Administrative Agent an irrevocable power of attorney (which shall terminate on the Final
Payout Date), to take any and all steps in such Seller Party’s name and on behalf of the
Seller Parties which are necessary or desirable, in the determination of the Administrative
Agent, to collect all amounts due under any and all Pool Receivables, including, without
limitation, endorsing any Seller Party’s name on checks and other instruments representing
Collections and enforcing such Pool Receivables and the related Contracts.

Section 8.6 Responsibilities of the Seller Parties.

Anything herein to the contrary notwithstanding:

(a) Contracts. Each Seller Party shall remain responsible for performing all of its
obligations (if any) under the Contracts related to the Pool Receivables and under the related
agreements to the same extent as if the Asset Interest had not been sold hereunder, and the
exercise by the Administrative Agent or its designee of its rights hereunder shall not relieve any
Seller Party from such obligations.

(b) Limitation of Liability. No Agent or Investor shall have any obligation or
liability with respect to any Pool Receivables, Contracts related thereto or any other related
agreements, nor shall any of them be obligated to perform any of the obligations of any Seller
Party or any Originator thereunder.

Section 8.7 Further Action Evidencing Purchases and Reinvestments.

(a) Further Assurances. Each Seller Party agrees that from time to time, at its
expense, it will promptly execute and deliver all further instruments and documents, and take all
further action that the Administrative Agent or its designee may reasonably request in order to
perfect, protect or more fully evidence the Purchases hereunder and the resulting Asset Interest,
or to enable the Secured Parties or the Agents or any of their respective designees to exercise or
enforce any of their respective rights hereunder or under any Transaction Document in respect
thereof. Without limiting the generality of the foregoing, each Seller Party will:

(i) upon the request of the Administrative Agent in its discretion or at the direction
of the Purchaser Agents, on behalf of the Investors, execute and file such financing or
continuation statements, or amendments thereto or assignments thereof, and such other
instruments or notices, as may be necessary or appropriate, in accordance with the terms of
this Agreement;

(ii) upon the request of the Administrative Agent at the direction of any Purchaser
Agent, after the occurrence and during the continuance of a Liquidation Event, mark
conspicuously each Contract evidencing each Pool Receivable with a legend,

 

41

 

acceptable to the Agents, evidencing that the Asset Interest has been sold in
accordance with this Agreement; and

(iii) mark its master data processing records evidencing the Pool Receivables and
related Contracts with a legend, acceptable to the Agents, evidencing that the Asset
Interest has been sold in accordance with this Agreement.

(b) Additional Financing Statements; Performance by Administrative Agent. Each Seller
Party hereby authorizes the Administrative Agent, on behalf of the Secured Parties, or its
designee, to file one or more financing or continuation statements, and amendments thereto and
assignments thereof, relative to all or any of the Pool Receivables and the Related Assets now
existing or hereafter arising in the name of any Seller Party, which financing statements filed
against the Seller may describe the collateral covered thereby as “all assets of the Seller,” “all
personal property of the Seller” or words of similar effect. If any Seller Party fails to perform
any of its agreements or obligations under this Agreement, the Administrative Agent or its designee
may (but shall not be required to) itself perform, or cause performance of, such agreement or
obligation, and the reasonable expenses of the Administrative Agent or its designee incurred in
connection therewith shall be payable by the Seller Parties as provided in Section 14.5.

(c) Continuation Statements; Opinion. Without limiting the generality of
subsection (a), the Seller will, not earlier than six (6) months and not later than three
(3) months prior to the fifth anniversary of the date of filing of the financing statements
referred to in Section 5.1(a) or any other financing statement filed pursuant to this
Agreement or in connection with any Purchase hereunder, if the Final Payout Date shall not have
occurred:

(i) if necessary, execute and deliver and file or cause to be filed an appropriate
continuation statement with respect to such financing statement; and

(ii) deliver or cause to be delivered to each Agent an opinion of the counsel for the
Seller Parties (which may be an opinion of in-house counsel for the Seller Parties), in form
and substance reasonably satisfactory to each Agent, confirming and updating the opinion
delivered pursuant to Section 5.1(a) to the effect that the Asset Interest hereunder
continues to be a valid and perfected ownership or security interest, subject to no other
Liens of record except as provided herein or otherwise permitted hereunder.

Section 8.8 Application of Collections.

Any payment by an Obligor in respect of any indebtedness owed by it to any Originator or
Seller shall, except as otherwise specified by such Obligor or required by the underlying Contract
or law, be applied, first, as a Collection of any Pool Receivable or Receivables then outstanding
of such Obligor in the order of the age of such Pool Receivables, starting with the oldest of such
Pool Receivables and, second, to any other indebtedness of such Obligor.

 

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Article IX.

Security Interest

Section 9.1 Grant of Security Interest.

To secure all obligations of the Seller arising in connection with this Agreement and each
other Transaction Document, whether now or hereafter existing, due or to become due, direct or
indirect, or absolute or contingent, including, without limitation, all Indemnified Amounts,
payments on account of Collections received or deemed to be received and fees, the Seller hereby
assigns and pledges to the Administrative Agent, as agent for and for the benefit of the Secured
Parties and their respective successors and assigns, and hereby grants to the Administrative Agent,
as agent for and for the benefit of the Secured Parties, a security interest in, all of the
Seller’s right, title and interest now or hereafter existing in, to and under all assets of the
Seller, including, without limitation, (a) all the Pool Receivables and Related Assets (and
including specifically any undivided percentage ownership interest therein retained by the Seller
hereunder), (b) the Sale Agreement and the other Transaction Documents, including, without
limitation, (i) all rights of the Seller to receive moneys due or to become due under or pursuant
to the Sale Agreement or the Assurance Agreement, (ii) all security interests and property subject
thereto from time to time purporting to secure payment of monies due or to become due under or
pursuant to the Sale Agreement or the Assurance Agreement, (iii) all rights of the Seller to
receive proceeds of any insurance, indemnity, warranty or guaranty with respect to the Sale
Agreement or the Assurance Agreement, (iv) claims of the Seller for damages arising out of or for
breach of or default under the Sale Agreement or the Assurance Agreement, and (v) the right of the
Seller to compel performance and otherwise exercise all remedies thereunder, (c) each lockbox
related to a Lockbox Account, each Lockbox Account and the funds deposited therein, and (d) all
proceeds of any of the foregoing (collectively, the “Collateral”).

Section 9.2 Further Assurances.

The provisions of Section 8.7 shall apply to the security interest granted under
Section 9.1 as well as to the Purchases, Reinvestments and all the Asset Interests
hereunder.

Section 9.3 Remedies.

Upon the occurrence of a Liquidation Event, the Administrative Agent, on behalf of the Secured
Parties shall have, with respect to the Collateral granted pursuant to Section 9.1, and in
addition to all other rights and remedies available to any Investor or Agent under this Agreement
and the other Transaction Documents or other applicable law, all the rights and remedies of a
secured party upon default under the UCC.

 

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Article X.

Liquidation Events

Section 10.1 Liquidation Events.

The following events shall be “Liquidation Events” hereunder:

(a) The Master Servicer (if any Seller Party or Affiliate thereof is the Master Servicer) or
the Seller (in the case of clause (ii) below) (i) shall fail to perform or observe any term,
covenant or agreement that is an obligation of the Master Servicer hereunder (other than as
referred to in clause (ii) or (iii) below or in other paragraphs of this Section 10.1), and such
failure shall remain unremedied for fifteen (15) days after written notice thereof shall have been
given by the Administrative Agent to the Master Servicer or the Master Servicer shall have
otherwise become aware, or (ii) shall fail to make any payment or deposit to be made by it
hereunder when due which failure shall continue for one (1) Business Day, if such payment or
deposit is in connection with the reduction of the Invested Amount or for two (2) Business Days for
any other payment, or (iii) shall fail to deliver any Information Package or Interim Information
Package when due and such failure shall remain unremedied for two (2) Business Days after the
earliest to occur of (A) written notice thereof shall have been given by any Agent to the Master
Servicer or (B) the Master Servicer shall have otherwise become aware of such failure; or

(b) Any representation or warranty made or deemed to be made by any Seller Party, any
Originator or Lennox International (or any of its officers) under this Agreement or any other
Transaction Document or any Information Package, Interim Information Package or other information
or report delivered pursuant hereto shall prove to have been false or incorrect in any material
respect when made provided, however, that in the case of any representation,
warranty or information that was not made or provided in writing, a Liquidation Event shall occur
hereunder only if such representation, warranty or information was reasonably relied upon by any
Agent and/or any Investor; or

(c) Any Seller Party or any Originator shall fail to perform or observe (i) any other term,
covenant or agreement contained in this Agreement (other than as referred to in clause (ii) below)
or any of the other Transaction Documents on its part to be performed or observed and any such
failure shall remain unremedied for fifteen (15) days (or with respect to Section 7.1(c) hereof,
five (5) days) after written notice thereof shall have been given by any Agent to any Seller Party
or such Seller Party shall have otherwise become aware or (ii) any covenant applicable to such
Person contained in Section 7.3 hereof or Section 6.3 of the Sale Agreement; or

(d) (i) Any Seller Party, any Originator or Lennox International shall (A) fail to pay any
principal or interest, regardless of amount, due in respect of any Indebtedness when the aggregate
unpaid principal amount is in excess of in the case of the Seller, $25,000, or in the case of
Lennox International, any Originator or the Master Servicer $40,000,000 when and as the same shall
become due and payable (after expiration of any applicable grace period) or (B) fail to observe or
perform any other term, covenant, condition or agreement (after expiration of any

 

44

 

applicable grace period) contained in any agreement or instrument evidencing or governing any
such Indebtedness if the effect of any failure referred to in this clause (B) is to cause
such Indebtedness to become due prior to its stated maturity; (ii) any default under any other
agreement or instrument of the Seller, Master Servicer, any Originator or Lennox International
relating to the purchase of receivables in an aggregate amount in excess of in the case of the
Seller, $10,000, or in the case of the Master Servicer, any Originator or Lennox International
$50,000,000, or any other event, shall occur and shall continue after the applicable grace period,
if any, specified in such agreement or instrument, if the effect of such default is to terminate
the commitment of any party to such agreement or instrument to purchase receivables or the right of
such Seller Party to reinvest in receivables the principal amount paid by any party to such
agreement or instrument for its interest in receivables; or (iii) a default or trigger event shall
occur under any asset securitization agreement or arrangement entered into by any Seller Party for
the sale of receivables or an interest therein in excess of $40,000,000, if the effect of such
default or trigger event is to cause the amounts owing in connection therewith to become payable
prior to the stated maturity; or

(e) An Event of Bankruptcy shall have occurred and remain continuing with respect to Lennox
International, any Originator or any Seller Party; or

(f) The Seller shall become an “investment company” within the meaning of the Investment
Company Act of 1940; or

(g) The rolling 3 month average Dilution Ratio at any Cut-Off Date exceeds 12.00%; or

(h) The rolling 3 month average Default Ratio at any Cut-Off Date exceeds 3.00%; or

(i) The rolling 3 month average Delinquency Ratio at any Cut-Off Date exceeds 3.50%; or

(j) On any Settlement Date, after giving effect to the payments made under
Section 3.1(c), (i) the Asset Interest exceeds 100%, (ii) the Invested Amount exceeds the
Purchase Limit; or (iii) the Purchaser Group Invested Amount of any Purchaser Group exceeds such
Purchaser Group’s Purchaser Group Limit, and, in the case of any failure to make a timely payment
or deposit with respect thereto solely by reason of any mechanical delay in or malfunction of the
Fedwire system or due to an error on the part of the initiating or receiving bank such failure
shall continue for more than one (1) Business Day; or

(k) There shall have occurred any event which materially adversely impairs the ability of the
Originators to originate Receivables of a credit quality which are at least of the credit quality
of the Receivables included in the first Purchase hereunder, or any other event occurs that is
reasonably likely to have a Material Adverse Effect; or

(l) Any Seller Party, Originator or Lennox International is subject to a Change in Control; or

(m) The Internal Revenue Service shall file notice of a lien pursuant to Section 6323 of the
Code with regard to any of the Receivables or Related Assets and such lien shall not have

 

45

 

been released within seven (7) days, or the Pension Benefit Guaranty Corporation shall, or
shall indicate its intention to, file notice of a lien pursuant to Section 4068 of the Employee
Retirement Income Security Act of 1974 with regard to any of the Receivables or Related Assets; or

(n) Any Seller Party or any Originator shall make any material change in the policies as to
origination of Receivables or in its Credit and Collection Policy without prior written notice to
and consent of the Agents; or

(o) The Administrative Agent for the benefit of the Secured Parties, for any reason, does not
have a valid, perfected first priority undivided percentage ownership interest in the Pool
Receivables and the Related Assets; or the security interest created pursuant to
Section 9.1 shall for any reason cease to be a valid and perfected first priority security
interest in the Collateral; or

(p) A final judgment or judgments shall be rendered against Lennox International, the Master
Servicer, the Seller, any Originator or any combination thereof for the payment of money with
respect to which an aggregate amount in excess of $25,000 with respect to the Seller and
$40,000,000 with respect to Lennox International, any Originator or the Master Servicer is not
covered by insurance and the same shall remain undischarged for a period of 30 consecutive days
during which execution shall not be effectively stayed, or any action shall be legally taken by a
judgment creditor to levy upon assets or properties of Lennox International, the Master Servicer,
any Originator or the Seller to enforce any such judgment; or

(q) A Reportable Event or Reportable Events, or a failure to make a required installment or
other payment (within the meaning of Section 412(n)(1) of the Code), shall have occurred with
respect to any Plan or Plans that reasonably could be expected to result in liability of any Master
Servicer or any ERISA Affiliate to the Pension Benefit Guaranty Corporation (“PBGC”) or to
a Plan in an aggregate amount exceeding $5,000,000 and, within 30 days after the reporting of any
such Reportable Event to the Agents, the Administrative Agent shall have notified the Master
Servicer in writing that (i) it or any other Agent has made a determination that, on the basis of
such Reportable Event or Reportable Events or the failure to make a required payment, there are
reasonable grounds (A) for the termination of such Plan or Plans by the PBGC, (B) for the
appointment by the appropriate United States District Court of a trustee to administer such Plan or
Plans or (C) for the imposition of a lien in favor of a Plan and (ii) as a result thereof a
Liquidation Event exists hereunder; or a trustee shall be appointed by a United States District
Court to administer any such Plan or Plans; or the PBGC shall institute proceedings to terminate
any Plan or Plans;

(r) The occurrence of a Servicer Default;

(s) The Seller’s Net Worth shall be less than the Threshold Amount;

(t) the Sale Agreement or the Assurance Agreement shall cease for any reason to be in full
force and effect; or

(u) An Event of Default (as defined in the Credit Agreement) shall have occurred, regardless
of whether such Event of Default has been waived by the parties to the Credit Agreement.

 

46

 

Section 10.2 Remedies.

(a) Optional Liquidation. Upon the occurrence of a Liquidation Event (other than a
Liquidation Event described in subsection (e) of Section 10.1), the Administrative
Agent shall, at the request, or may with the consent, of any Purchaser Agent, by notice to the
Seller declare the Funding Termination Date to have occurred and the Liquidation Period to have
commenced.

(b) Automatic Liquidation. Upon the occurrence of a Liquidation Event described in
subsection (e) of Section 10.1, the Funding Termination Date shall occur and the
Liquidation Period shall commence automatically.

(c) Additional Remedies. Upon the occurrence of the Termination Date, no Purchases or
Reinvestments thereafter will be made, and the Administrative Agent, on behalf of the Secured
Parties, shall have, in addition to all other rights and remedies under this Agreement or
otherwise, all other rights and remedies provided under the UCC of each applicable jurisdiction and
other applicable laws, which rights shall be cumulative.

Article XI.

The Administrative Agent

Section 11.1 Administrative Agent Authorization and Action.

Each Investor and Purchaser Agent hereby appoints and authorizes the Administrative Agent (or
its designees) to take such action as agent on its behalf and to exercise such powers under this
Agreement as are delegated to the Administrative Agent by the terms hereof, together with such
powers as are reasonably incidental thereto. As to any matters not expressly provided for by this
Agreement or the other Transaction Documents (including, without limitation, enforcement of this
Agreement or the other Transaction Documents), the Administrative Agent shall not be required to
exercise any discretion or take any action, but shall be required to act or to refrain from acting
(and shall be fully protected in so acting or refraining from acting) upon the instructions of any
Purchaser Agent and such instructions shall be binding upon all Investors; provided, however, that
the Administrative Agent shall not be required to take any action which exposes the Administrative
Agent to personal liability or which is contrary to this Agreement, the other Transaction Documents
or applicable law.

Section 11.2 Administrative Agent’s Reliance, Etc.

The Administrative Agent and its directors, officers, agents or employees shall not be liable
for any action taken or omitted to be taken by it or them in good faith under or in connection with
the Transaction Documents (including, without limitation, the servicing, administering or
collecting Pool Receivables as Master Servicer pursuant to Section 8.1), except for its or
their own breach of the applicable terms of the Transaction Documents or its or their own gross
negligence or willful misconduct. Without limiting the generality of the foregoing, the
Administrative Agent: (a) may consult with legal counsel (including counsel for the Seller),
independent certified public accountants and other experts selected by it and shall not be liable
for any action taken or omitted to be taken in good faith by it in accordance with the advice of
such counsel, accountants or experts; (b) makes no warranty or representation to the Investors or

 

47

 

any other holder of any interest in Pool Receivables and shall not be responsible to the
Investors or any such other holder for any statements, warranties or representations made by any
Seller Party in or in connection with any Transaction Document; (c) shall not have any duty to
ascertain or to inquire as to the performance or observance of any of the terms, covenants or
conditions of any Transaction Document on the part of any Seller Party or to inspect the property
(including the books and records) of any Seller Party; (d) shall not be responsible to the
Investors or any other holder of any interest in Pool Receivables for the due execution, legality,
validity, enforceability, genuineness, sufficiency or value of any Transaction Document; and
(e) shall incur no liability under or in respect of this Agreement by acting upon any notice
(including notice by telephone where permitted herein), consent, certificate or other instrument or
writing (which may be by facsimile) in good faith believed by it to be genuine and signed or sent
by the proper party or parties.

Section 11.3 BTMUNY and Affiliates.

BTMUNY and any of its Affiliates may generally engage in any kind of business with Seller,
Master Servicer, any Originator or any Obligor, any of their respective Affiliates and any Person
who may do business with or own securities of Seller, Master Servicer, Originator or any Obligor or
any of their respective Affiliates, all as if BTMUNY were not an Agent and without any duty to
account therefor to any Investor or any other holder of an interest in Pool Receivables.

Section 11.4 Liquidity Bank’s Purchase Decision.

Each Liquidity Bank acknowledges that it has, independently and without reliance upon any
Agent, any of its Affiliates or any other Liquidity Bank and based on such documents and
information as it has deemed appropriate, made its own evaluation and decision to enter into this
Agreement. Each Liquidity Bank also acknowledges that it will, independently and without reliance
upon any Agent, any of its Affiliates or any other Liquidity Bank and based on such documents and
information as it shall deem appropriate at the time, continue to make its own decisions in taking
or not taking action under this Agreement.

Section 11.5 Indemnification of Agent.

Each Liquidity Bank agrees to indemnify the Administrative Agent (to the extent not reimbursed
by the Seller or the Master Servicer), ratably according to its Percentage of the Pro Rata Share of
its Purchaser Group, from and against any and all liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature
whatsoever which may be imposed on, incurred by, or asserted against the Administrative Agent in
any way relating to or arising out of this Agreement or the other Transaction Documents or any
action taken or omitted by the Administrative Agent under this Agreement or the other Transaction
Documents, provided that no Liquidity Bank shall be liable for any portion of such
liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements resulting from the Administrative Agent’s breach of the applicable terms of the
Transaction Documents or its own gross negligence or willful misconduct.

 

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Section 11.6 BTMU Purchaser Agent Authorization and Action.

Pursuant to agreements entered into with the BTMU Purchaser Agent, the BTMU Purchaser has
appointed and authorized the BTMU Purchaser Agent (or its designees) to take such action as agent
on its behalf and to exercise such powers under this Agreement as are delegated to the BTMU
Purchaser Agent by the terms hereof, together with such powers as are reasonably incidental
thereto.

Section 11.7 Purchaser Agent’s Reliance, Etc.

(a) Each Purchaser Agent and its directors, officers, agents or employees shall not be liable
for any action taken or omitted to be taken by it or them in good faith under or in connection with
the Transaction Documents (including, without limitation, the servicing, administering or
collecting Pool Receivables as Master Servicer pursuant to Section 8.1), except for its or
their own breach of the applicable terms of the Transaction Documents or its or their own gross
negligence or willful misconduct. Without limiting the generality of the foregoing, each Purchaser
Agent: (a) may consult with legal counsel (including counsel for the Seller), independent
certified public accountants and other experts selected by it and shall not be liable for any
action taken or omitted to be taken in good faith by it in accordance with the advice of such
counsel, accountants or experts; (b) makes no warranty or representation to any Investor or any
other holder of any portion of its respective Purchaser Group’s interest in Pool Receivables and
shall not be responsible to any Investor or any such other holder for any statements, warranties or
representations made by any Seller Party in or in connection with any Transaction Document;
(c) shall not have any duty to ascertain or to inquire as to the performance or observance of any
of the terms, covenants or conditions of any Transaction Document on the part of any Seller Party
or to inspect the property (including the books and records) of any Seller Party; (d) shall not be
responsible to any Investor or any other holder of any of the its respective Purchaser Group’s
interest in Pool Receivables for the due execution, legality, validity, enforceability,
genuineness, sufficiency or value of any Transaction Document; and (e) shall incur no liability
under or in respect of this Agreement by acting upon any notice (including notice by telephone
where permitted herein), consent, certificate or other instrument or writing (which may be by
facsimile) in good faith believed by it to be genuine and signed or sent by the proper party or
parties.

Article XII.

Assignments

Section 12.1 Restrictions on Assignments.

(a) No Seller Party may assign its rights, or delegate its duties hereunder or any interest
herein without the prior written consent of the Agents (except a Seller Party may delegate certain
administrative duties to an Affiliate, such as payroll, financial reporting, tax and the like, so
long as such Seller Party remains liable for performance of such duties).

(b) This Agreement and the Purchasers’ rights and obligations herein (including ownership of
the Asset Interest) shall be assignable by the Purchasers and their successors and

 

49

 

assigns to any Eligible Assignee (including, without limitation, pursuant to a Liquidity
Agreement). Each assignor of an Asset Interest or any interest therein shall notify the
Administrative Agent, the Purchaser Agent of such assignor’s Purchaser Group and the Seller of any
such assignment. Each assignor of a Asset Interest or any interest therein may, in connection with
any such assignment, disclose to the assignee or potential assignee any information relating to any
Seller Party or any Originator, furnished to such assignor by or on behalf of such Seller Party or
by any Agent; provided that, prior to any the disclosure of any Seller Information, the assignee or
potential assignee agrees to preserve the confidentiality of any such information which is
confidential in accordance with the provisions of Section 14.7 hereof.

(c) Each Liquidity Bank may assign to any Eligible Assignee or to any other Liquidity Bank all
or a portion of its rights and obligations under this Agreement (including, without limitation, all
or a portion of any Asset Interest therein owned by it); provided, however, that (i) each such
assignment shall be of a constant, and not a varying, percentage of all rights and obligations
under this Agreement, (ii) the amount being assigned pursuant to each such assignment (determined
as of the date of the Assignment and Acceptance Agreement with respect to such assignment) shall in
no event be less than the lesser of (x) $10,000,000 and (y) such Liquidity Bank’s Percentage of its
Purchaser Group’s Purchaser Group Limit, (iii) the parties to each such assignment shall execute
and deliver to the Administrative Agent and the Purchaser Agent in such Liquidity Bank’s Purchaser
Group, an Assignment and Acceptance Agreement, and (iv) concurrently with such assignment, such
assignor Liquidity Bank shall assign to such assignee Liquidity Bank or other Eligible Assignee an
equal percentage of its rights and obligations under any Liquidity Agreement.

(d) Notwithstanding any other provision of this Section 12.1, (i) any Liquidity Bank may at
any time pledge or grant a security interest in all or any portion of its rights (including,
without limitation, rights to payment of Earned Discount) under this Agreement or under any
Liquidity Agreement to secure obligations of such Liquidity Bank to a Federal Reserve Bank, without
notice to or consent of the Seller or any Agent; provided that no such pledge or grant of a
security interest shall release a Liquidity Bank from any of its obligations hereunder or under
such Liquidity Agreement, as the case may be, or substitute any such pledgee or grantee for such
Liquidity Bank as a party hereto or to such Liquidity Agreement, as the case may be; and (ii) each
Purchaser may assign and grant a security interest in all of its rights in the Transaction
Documents, together with all of its rights and interest in the Asset Interest, to secure such
Purchaser’s obligations under or in connection with the Commercial Paper Notes, the related
Liquidity Agreement, and certain other obligations of such Purchaser incurred in connection with
the funding of the Purchases and Reinvestments hereunder, which assignment and grant of a security
interest shall not be considered an “assignment” prior to the enforcement of such security
interest, for purposes of any provision of this Agreement.

Section 12.2 Rights of Assignee.

(a) Upon the execution and delivery and effectiveness of an Assignment and Acceptance
Agreement, (x) the assignee Liquidity Bank thereunder shall be a party to this Agreement and, to
the extent that rights and obligations hereunder have been assigned to it pursuant to such
Assignment and Acceptance Agreement, have the rights and obligations of a Liquidity Bank hereunder
and (y) the assigning Liquidity Bank shall, to the extent that rights and

 

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obligations hereunder have been assigned by it pursuant to such Assignment and Acceptance
Agreement, relinquish such rights and be released from such obligations under this Agreement (and,
in the case of an Assignment and Acceptance Agreement covering all or the remaining portion of an
assigning Liquidity Bank’s rights and obligations under this Agreement, such Liquidity Bank shall
cease to be a party hereto).

(b) Upon the assignment by a Purchaser in accordance with this Article XII, the
assignee receiving such assignment shall have all of the rights of the related Purchaser with
respect to the Transaction Documents and the Asset Interest (or such portion thereof as has been
assigned) and the assigning Purchaser shall, to the extent that rights and obligations hereunder
have been assigned by it, relinquish such rights and be released from such obligations under this
Agreement.

Section 12.3 Terms and Evidence of Assignment.

Any assignment of the Asset Interest (or any portion thereof) or any commitment hereunder to
any Person which is otherwise permitted under this Article XII shall be upon such terms and
conditions as the related assignor and the assignee may mutually agree, and may be evidenced by
such instrument(s) or document(s) as may be satisfactory to the assignor, the related Purchaser
Agent, the Administrative Agent and the assignee, which shall include, with respect to any
assignment by a Liquidity Bank, an Assignment and Acceptance Agreement.

Section 12.4 Rights of Liquidity Banks.

The Seller hereby agrees that, upon notice to the Seller, the Liquidity Banks may exercise all
the rights of the Purchaser Agent and Purchaser in such Liquidity Bank’s Purchaser Group, with
respect to the portion of the Asset Interest funded by such Purchaser Group (or any portions
thereof), and Collections with respect thereto, which are owned by such Purchaser, and all other
rights and interests of such Purchaser in, to or under this Agreement or any other Transaction
Document. Without limiting the foregoing, upon such notice or at any time thereafter (but subject
to any conditions applicable to the exercise of such rights by the Agents), the Liquidity Banks may
request the Master Servicer to segregate such Purchaser’s allocable shares of Collections from the
Seller’s allocable share, may require the Administrative Agent to give a Successor Notice pursuant
to and in accordance with Section 8.1(b), may require the Administrative Agent to give
notice to the Lockbox Banks as referred to in Section 8.5(b) and may direct the
Administrative Agent to direct the Obligors of Pool Receivables to make payments in respect thereof
directly to an account designated by them, in each case, to the same extent as such Purchaser Agent
might have done.

Article XIII.

Indemnification

Section 13.1 Indemnities by the Seller.

(a) General Indemnity. Without limiting any other rights which any such Person may
have hereunder or under applicable law, the Seller hereby agrees to indemnify BTMUNY, both
individually and as the Administrative Agent and the BTMU Purchaser Agent, the Purchasers,

 

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the Liquidity Banks, the Liquidity Agent, each of their respective Affiliates, and all
successors, transferees, participants and assigns and all officers, directors, shareholders,
controlling persons, and employees of any of the foregoing, and any successor servicer and
subservicer not affiliated with Lennox (each an “Indemnified Party”), forthwith on demand,
from and against any and all damages, losses, claims, liabilities and related costs and expenses,
including attorneys’ fees and disbursements (all of the foregoing being collectively referred to as
“Indemnified Amounts”) awarded against or incurred by any of them arising out of or
relating to the Transaction Documents or the ownership or funding of the Asset Interest or in
respect of any Receivable or any Contract, excluding, however, (x) Indemnified Amounts to the
extent determined by a court of competent jurisdiction to have resulted from gross negligence or
willful misconduct on the part of such Indemnified Party or (y) recourse (except as otherwise
specifically provided in this Agreement) for Defaulted Receivables; the Seller further agrees to
indemnify any agent (which is not otherwise an Indemnified Party) of any of BTMUNY, the Agents, the
Purchasers, the Liquidity Banks, and the Liquidity Agent forthwith on demand, from and against any
and all Indemnified Amounts awarded against or incurred by any of them arising out of or caused by
the gross negligence or willful misconduct of the Seller. Without limiting the foregoing, the
Seller shall indemnify each Indemnified Party for Indemnified Amounts arising out of or relating
to:

(i) the transfer by any Seller Party of any interest in any Receivable other than the
transfer of Receivables and related property by the Originators to the Seller pursuant to
the Sale Agreement, the transfer of an Asset Interest to the Investors pursuant to this
Agreement and the grant of a security interest to the Secured Parties pursuant to
Section 9.1;

(ii) any representation or warranty made by the Seller in the last sentence of
Section 6.1(p) shall have been false, incorrect or misleading in any respect when
made or deemed made, or any other representation or warranty made in writing by any Seller
Party (or any of its officers) under or in connection with any Transaction Document, any
Information Package, Interim Information Package or any other information or report
delivered by or on behalf of any Seller Party pursuant hereto, which shall have been false,
incorrect or misleading in any material respect when made or deemed made or delivered, as
the case may be; provided, however, that in the case of any representation,
warranty or information that was not made or delivered in writing, indemnification shall be
available to an Indemnified Party hereunder only if such representation, warranty or
information was reasonably relied upon by such Indemnified Party;

(iii) the failure by any Seller Party to comply with any applicable law, rule or
regulation with respect to any Pool Receivable or the related Contract, or the nonconformity
of any Pool Receivable or the related Contract with any such applicable law, rule or
regulation or the failure of the Seller to perform its duties or obligations in accordance
with the provisions hereof or to perform its duties or obligations under the Contracts;

(iv) the failure to vest and maintain vested in (A) the Investors an undivided
percentage ownership interest, to the extent of the Asset Interest, in the Receivables in,
or purporting to be in, the Receivables Pool, or (B) the Secured Parties a security interest
in the Collateral, in each case free and clear of any Lien, other than a Lien arising solely
as a

 

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result of an act of any Investor or the Administrative Agent, whether existing at the
time of any Purchase or Reinvestment of such Asset Interest or at any time thereafter;

(v) the failure to file, or any delay in filing, financing statements or other similar
instruments or documents under the UCC of any applicable jurisdiction or other applicable
laws with respect to any Receivables in, or purporting to be in, the Receivables Pool,
whether at the time of any Purchase or Reinvestment or at any time thereafter;

(vi) any dispute, claim, offset or defense (other than discharge in bankruptcy) of the
Obligor to the payment of any Receivable in, or purporting to be in, the Receivables Pool
(including, without limitation, a defense based on such Receivables or the related Contract
not being a legal, valid and binding obligation of such Obligor enforceable against it in
accordance with its terms), or any other claim resulting from the sale of the merchandise or
services related to such Receivable or the furnishing or failure to furnish such merchandise
or services;

(vii) any matter described in clause (i) or (ii) of
Section 3.2(a);

(viii) any failure of any Seller Party, as the Master Servicer or otherwise, to perform
its duties or obligations in accordance with the provisions of Article III or
Article VIII;

(ix) any product liability claim arising out of or in connection with merchandise or
services that are the subject of any Pool Receivable;

(x) any claim of breach by any Seller Party of any related Contract with respect to any
Pool Receivable;

(xi) any Tax or Other Taxes, all interest and penalties thereon or with respect
thereto, and all out-of-pocket costs and expenses, including the reasonable fees and
expenses of counsel in defending against the same, which may arise by reason of the purchase
or ownership of any Asset Interest, or any other interest in the Pool Receivables or in any
goods which secure any such Pool Receivables; or

(xii) the commingling of Collections of Pool Receivables at any time with other funds.

(b) Contest of Tax Claim; After-Tax Basis. If any Indemnified Party shall have
written notice of any attempt to impose or collect any Tax or Other Taxes for which indemnification
will be sought from Seller under Section 13.1(a)(xi), such Indemnified Party shall give
prompt and timely notice of such attempt to the Seller. Indemnification hereunder shall be in an
amount necessary to make the Indemnified Party whole after taking into account any tax consequences
to the Indemnified Party of the payment of any of the aforesaid taxes (including any deduction) and
the receipt of the indemnity provided hereunder or of any refund of any such tax previously
indemnified hereunder, including the effect of such tax, deduction or refund on the amount of tax
measured by net income or profit which is or was payable by the Indemnified Party.

 

53

 

(c) Contribution. If for any reason the indemnification provided above in this
Section 13.1 (and subject to the exceptions set forth therein) is unavailable to an
Indemnified Party or is insufficient to hold an Indemnified Party harmless, then the Seller shall
contribute to the amount paid or payable by such Indemnified Party as a result of such loss, claim,
damage or liability in such proportion as is appropriate to reflect not only the relative benefits
received by such Indemnified Party on the one hand and the Seller on the other hand but also the
relative fault of such Indemnified Party as well as any other relevant equitable considerations.

Section 13.2 Indemnities by Master Servicer.

Without limiting any other rights which any Indemnified Party may have hereunder or under
applicable law, the Master Servicer hereby agrees to indemnify each of the Indemnified Parties
forthwith on demand, from and against any and all Indemnified Amounts awarded against or incurred
by any of them arising out of or relating to (i) the Master Servicer’s performance of, or failure
to perform, any of its obligations under or in connection with any Transaction Document, or
(ii) any representation or warranty made by the Master Servicer in the last sentence of
Section 6.1(p) shall have been false, incorrect or misleading in any respect when made or
deemed made, or (iii) any other representation or warranty made by the Master Servicer (or any of
its officers) under or in connection with any Transaction Document, any Information Package,
Interim Information Package or any other information or report delivered by or on behalf of the
Master Servicer, which shall have been false, incorrect or misleading in any material respect when
made or deemed made or delivered, as the case may be, or (iv) the failure of the Master Servicer
to comply with any applicable law, rule or regulation with respect to any Pool Receivable or the
related Contract, or (v) the commingling of Collections of Pool Receivables at any time with other
funds, or (vi) any claim brought by any Person (other than an Indemnified Party) arising from any
activity by the Master Servicer or its subservicers in servicing, administering or collecting any
Pool Receivable; provided, however, that in the case of any representation,
warranty or information that was not made or delivered in writing, indemnification shall be
available to an Indemnified Party hereunder only if such representation, warranty or information
was reasonably relied upon by such Indemnified Party. Notwithstanding the foregoing, in no event
shall any Indemnified Party be awarded any Indemnified Amounts (a) to the extent determined by a
court of competent jurisdiction to have resulted from gross negligence or willful misconduct on the
part of such Indemnified Party or (b) recourse for Defaulted Receivables. The Master Servicer
further agrees to indemnify any agent (which is not otherwise an Indemnified Party) of any of
BTMUNY, the Agents, the Purchasers, the Liquidity Banks, and the Liquidity Agents forthwith on
demand, from and against any and all Indemnified Amounts awarded against or incurred by any of them
arising out of or caused by the gross negligence or willful misconduct of the Master Servicer.

If for any reason the indemnification provided above in this Section 13.2 (and subject
to the exceptions set forth therein) is unavailable to an Indemnified Party or is insufficient to
hold an Indemnified Party harmless, then the Master Servicer shall contribute to the amount paid or
payable by such Indemnified Party as a result of such loss, claim, damage or liability in such
proportion as is appropriate to reflect not only the relative benefits received by such Indemnified
Party on the one hand and the Master Servicer on the other hand but also the relative fault of such
Indemnified Party as well as any other relevant equitable considerations.

 

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Article XIV.

Miscellaneous

Section 14.1 Amendments, Etc.

No amendment or waiver of any provision of this Agreement nor consent to any departure by any
Seller Party therefrom shall in any event be effective unless the same shall be in writing and
signed by (a) each Seller Party, the Agents and the Investors party hereto (with respect to an
amendment), or (b) the Agents and the Investors party hereto (with respect to a waiver or consent
by them) or any Seller Party (with respect to a waiver or consent by it), as the case may be, and
then such waiver or consent shall be effective only in the specific instance and for the specific
purpose for which given. The parties acknowledge that, before entering into such an amendment or
granting such a waiver or consent, any Purchaser may also be required to obtain the approval of
some or all of the Liquidity Banks in such Purchaser’s Purchaser Group or to obtain confirmation
from certain rating agencies that such amendment, waiver or consent will not result in a withdrawal
or reduction of the ratings of the Commercial Paper Notes (to the extent that any Purchaser is
required to obtain any confirmation from any rating agency, such confirmation shall be in writing
with respect to any material amendment, modification, waiver or consent).

Section 14.2 Notices, Etc.

All notices and other communications provided for hereunder shall, unless otherwise stated
herein, be in writing (including facsimile communication) and shall be personally delivered or sent
by express mail or courier or by certified mail, postage prepaid, or by facsimile, to the intended
party at the address or facsimile number of such party set forth on Schedule 14.2 or at
such other address or facsimile number as shall be designated by such party in a written notice to
the other parties hereto. All such notices and communications shall be effective, (a) if
personally delivered or sent by express mail or courier or if sent by certified mail, when
received, and (b) if transmitted by facsimile, when sent, receipt confirmed by telephone or
electronic means; provided, however, that the financial statements required to be
delivered by Sections 7.2(a), 7.2(b) and 7.2(d) shall be deemed delivered
on the date such financial statements are deposited in the United States mail with first class
postage prepaid, addressed to the intended party at the address as set forth on
Schedule 14.2 or at such other address as shall be designated by such party in a written
notice to the other parties hereto.

Section 14.3 No Waiver; Remedies.

No failure on the part of the Administrative Agent, any Affected Party, any Indemnified Party,
any Purchaser or any other holder of the Asset Interest (or any portion thereof) to exercise, and
no delay in exercising, any right hereunder shall operate as a waiver thereof; nor shall any single
or partial exercise of any right hereunder preclude any other or further exercise thereof or the
exercise of any other right. The remedies herein provided are cumulative and not exclusive of any
remedies provided by law. Without limiting the foregoing, BTMUNY, individually and as an Agent,
and the Liquidity Banks are each hereby authorized by Seller and Lennox (as Master Servicer and as
an Originator) at any time and from time to time, to the fullest extent

 

55

 

permitted by law, to set off and apply any and all deposits (general or special, time or
demand, provisional or final) at any time held and other indebtedness at any time owing by BTMUNY
or such Liquidity Bank to or for the credit or the account of the Seller or Lennox against any and
all of the obligations of the Seller or Lennox, now or hereafter existing under this Agreement or
any other Transaction Document, to any Agent, any Affected Party, any Indemnified Party or any
Investor, or their respective successors and assigns. For avoidance of doubt, the right of setoff
set forth in this Section 14.3 does not permit setoff of deposits and indebtedness held or
owing by one Person to or for the account of a second Person against amounts owing by any Person
other than such second Person.

Section 14.4 Binding Effect; Survival.

This Agreement shall be binding upon and inure to the benefit of each Seller Party, the
Agents, the Investors and their respective successors and assigns, and the provisions of
Section 4.2 and Article XIII shall inure to the benefit of the Affected Parties and
the Indemnified Parties, respectively, and their respective successors and assigns;
provided, however, nothing in the foregoing shall be deemed to authorize any
assignment not permitted by Section 12.1. This Agreement shall create and constitute the
continuing obligations of the parties hereto in accordance with its terms, and shall remain in full
force and effect until the Final Payout Date. The rights and remedies with respect to any breach
of any representation and warranty made by the Seller pursuant to Article VI and the
indemnification and payment provisions of Article XIII and Sections 4.2,
14.5, 14.6, 14.7 14.11, 14.12 and 14.14 shall be
continuing and shall survive any termination of this Agreement.

Section 14.5 Costs, Expenses and Taxes.

In addition to its obligations under Article XIII, the Seller Parties jointly and
severally agree to pay on demand:

(a) all costs and expenses incurred by the Agents, any Liquidity Bank, any Investor and their
respective Affiliates in connection with:

(i) the negotiation, preparation, execution and delivery of this Agreement, the other
Transaction Documents or a Liquidity Agreement, any amendment of or consent or waiver under
any of the Transaction Documents which is requested or proposed by any Seller Party (whether
or not consummated), or the enforcement by any of the foregoing Persons of, or any actual or
claimed breach of, this Agreement or any of the other Transaction Documents, including,
without limitation, the reasonable fees and expenses of counsel to any of such Persons
incurred in connection with any of the foregoing or in advising such Persons as to their
respective rights and remedies under any of the Transaction Documents in connection with any
of the foregoing, and

(ii) the administration (including periodic auditing as provided for herein) of this
Agreement and the other Transaction Documents, including, without limitation, all reasonable
out-of-pocket expenses (including reasonable fees and expenses of independent accountants),
incurred in connection with any review of any Seller Party’s

 

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books and records either prior to the execution and delivery hereof or pursuant to
Section 7.1(c), subject to the limitations set forth in such Section 7.1(c);

(b) all stamp and other taxes and fees payable or determined to be payable in connection with
the execution, delivery, filing and recording of this Agreement or the other Transaction Documents
(and the Seller Parties, jointly and severally agree to indemnify each Indemnified Party against
any liabilities with respect to or resulting from any delay in paying or omission to pay such taxes
and fees) (“Other Taxes”); and

(c) all losses, costs and expenses incurred by the Investors or the Agents in connection with
or as a result of any failure to make a timely payment or deposit, including, without limitation,
by reason of any mechanical delay in or malfunction of the Fedwire system or due to an error on the
part of the initiating or receiving bank.

Section 14.6 No Proceedings.

The Master Servicer hereby agrees that it will not institute against the Seller, or join any
Person in instituting against the Seller, and each Seller Party, the Master Servicer, BTMUNY
(individually, as Administrative Agent and as BTMU Purchaser Agent), each Liquidity Bank and each
Purchaser, as to each other Purchaser, hereby agrees that it will not institute against any
Purchaser, or join any other Person in instituting against any Purchaser, any insolvency proceeding
(namely, any proceeding of the type referred to in the definition of Event of Bankruptcy) so long
as any Commercial Paper Notes issued by such Purchaser shall be outstanding or there shall not have
elapsed one year plus one day since the last day on which any such Commercial Paper Notes shall
have been outstanding.

Section 14.7 Confidentiality of Seller Information.

(a) Confidential Seller Information. Each party hereto (other than Seller Parties)
acknowledges that certain of the information provided to such party by or on behalf of the Seller
Parties in connection with this Agreement and the transactions contemplated hereby is or may be
confidential, and each such party severally agrees that, unless the Master Servicer shall otherwise
agree in writing, and except as provided in subsection (b), such party will not disclose to
any other person or entity:

(i) any information regarding, or copies of, any nonpublic financial statements,
reports, schedules and other information furnished by any Seller Party to any Investor or
any Agent (A) prior to the date hereof in connection with such party’s due diligence
relating to the Seller Parties and the transactions contemplated hereby, or (B) pursuant to
this Agreement, including without limitation, Section 3.1, 5.1,
6.1(i), 7.1(c) or 7.2, or

(ii) any other information regarding any Seller Party which is designated by any Seller
Party to such party in writing as confidential

(the information referred to in clauses (i) and (ii) above, whether furnished by
any Seller Party or any attorney for or other representative thereof (each a “Seller
Information Provider”), is collectively referred to as the “Seller Information”);
provided, however, Seller Information shall

 

57

 

not include any information which is or becomes generally available to the general public or to
such party on a nonconfidential basis from a source other than any Seller Information Provider, or
which was known to such party on a nonconfidential basis prior to its disclosure by any Seller
Information Provider.

(b) Disclosure. Notwithstanding subsection (a), each party may disclose any
Seller Information:

(i) to any of such party’s independent attorneys, consultants and auditors, and to any
dealer or placement agent for such Purchaser’s Commercial Paper Notes, who (A) in the good
faith belief of such party, have a need to know such Seller Information, and (B) are
informed by such party of the confidential nature of the Seller Information and the terms of
this Section 14.7 and has agreed, verbally or otherwise, to be bound by the
provisions of this Section 14.7,

(ii) to any Liquidity Bank, any actual or potential assignees of, or participants in,
any rights or obligations of any Purchaser, any Liquidity Bank or the Purchaser Agent of
such Purchaser’s or Liquidity Bank’s Purchaser Group under or in connection with this
Agreement who has agreed to be bound by the provisions of this Section 14.7,

(iii) to any rating agency that maintains a rating for such Purchaser’s Commercial
Paper Notes or is considering the issuance of such a rating, for the purposes of reviewing
the credit of such Purchaser in connection with such rating,

(iv) to any other party to this Agreement (and any independent attorneys, consultants
and auditors of such party), for the purposes contemplated hereby,

(v) as may be required by any municipal, state, federal or other regulatory body having
or claiming to have jurisdiction over such party, in order to comply with any law, order,
regulation, regulatory request or ruling applicable to such party,

(vi) subject to subsection (c), in the event such party is legally compelled
(by interrogatories, requests for information or copies, subpoena, civil investigative
demand or similar process) to disclose such Seller Information, or

(vii) in connection with the enforcement of this Agreement or any other Transaction
Document.

In addition, each Purchaser and each Agent may disclose on a “no name” basis to any actual or
potential investor in or credit enhancer for such Purchaser’s Commercial Paper Notes information
regarding the nature of this Agreement, the basic terms hereof (including without limitation the
amount and nature of such Purchaser’s commitment and Invested Amount with respect to the Asset
Interest funded by such Purchaser Group and any other credit enhancement provided by any Seller
Party hereunder), the nature, amount and status of the Pool Receivables, and the current and/or
historical ratios of losses to liquidations and/or outstandings with respect to the Receivables
Pool.

 

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(c) Legal Compulsion. In the event that any party hereto (other than any Seller
Party) or any of its representatives is requested or becomes legally compelled (by interrogatories,
requests for information or documents, subpoena, civil investigative demand or similar process) to
disclose any of the Seller Information, such party will (or will cause its representative to):

(i) provide the Master Servicer with prompt written notice so that (A) the Master
Servicer may seek a protective order or other appropriate remedy, or (B) the Master Servicer
may, if it so chooses, agree that such party (or its representatives) may disclose such
Seller Information pursuant to such request or legal compulsion; and

(ii) unless the Master Servicer agrees that such Seller Information may be disclosed,
make a timely objection to the request or compulsion to provide such Seller Information on
the basis that such Seller Information is confidential and subject to the agreements
contained in this Section 14.7.

In the event such protective order or remedy is not obtained, or the Master Servicer agrees that
such Seller Information may be disclosed, such party will furnish only that portion of the Seller
Information which (in such party’s good faith judgment) is legally required to be furnished and
will exercise reasonable efforts to obtain reliable assurance that confidential treatment will be
afforded the Seller Information.

(d) Notwithstanding anything herein to the contrary, any party to this Agreement (and any
employee, representative, or other agent of any party to this Agreement) may disclose to any and
all persons, without limitation of any kind, the tax treatment and tax structure of the
transactions contemplated by this Agreement and all materials of any kind (including opinions and
other tax analyses) that are provided to it relating to such tax treatment and tax structure.
However, any such information relating to the tax treatment or tax structure is required to be kept
confidential to the extent necessary to comply with any applicable federal or state securities
laws.

(e) This Section 14.7 shall survive termination of this Agreement.

Section 14.8 Captions and Cross References.

The various captions (including, without limitation, the table of contents) in this Agreement
are provided solely for convenience of reference and shall not affect the meaning or interpretation
of any provision of this Agreement. Unless otherwise indicated, references in this Agreement to
any Section, Appendix, Schedule or Exhibit are to such Section of or Appendix, Schedule or Exhibit
to this Agreement, as the case may be, and references in any Section, subsection, or clause to any
subsection, clause or subclause are to such subsection, clause or subclause of such Section,
subsection or clause.

Section 14.9 Integration.

This Agreement and the other Transaction Documents contain a final and complete integration of
all prior expressions by the parties hereto with respect to the subject matter hereof and shall
constitute the entire understanding among the parties hereto with respect to the subject matter
hereof, superseding all prior oral or written understandings.

 

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Section 14.10 Governing Law.

THIS AGREEMENT, INCLUDING THE RIGHTS AND DUTIES OF THE PARTIES HERETO, SHALL BE GOVERNED BY,
AND CONSTRUED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK WITHOUT REFERENCE TO
PRINCIPLES OF CONFLICTS OF LAW (OTHER THAN SECTION 5-1401 OF THE NEW YORK GENERAL OBLIGATIONS LAW).

Section 14.11 Waiver Of Jury Trial.

EACH PARTY HERETO HEREBY EXPRESSLY WAIVES ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR
PROCEEDING TO ENFORCE OR DEFEND ANY RIGHTS UNDER THIS AGREEMENT, ANY OTHER TRANSACTION DOCUMENT OR
UNDER ANY AMENDMENT, INSTRUMENT OR DOCUMENT DELIVERED OR WHICH MAY IN THE FUTURE BE DELIVERED IN
CONNECTION HEREWITH OR ARISING FROM ANY BANKING OR OTHER RELATIONSHIP EXISTING IN CONNECTION WITH
THIS AGREEMENT OR ANY OTHER TRANSACTION DOCUMENT AND AGREES THAT ANY SUCH ACTION OR PROCEEDING
SHALL NOT BE TRIED BEFORE A JURY.

Section 14.12 Consent To Jurisdiction; Waiver Of Immunities.

EACH PARTY HERETO HEREBY ACKNOWLEDGES AND AGREES THAT:

(a) IT IRREVOCABLY (i) SUBMITS TO THE JURISDICTION, FIRST, OF ANY UNITED STATES FEDERAL COURT,
AND SECOND, IF FEDERAL JURISDICTION IS NOT AVAILABLE, OF ANY NEW YORK STATE COURT, AS APPROPRIATE,
IN EITHER CASE SITTING IN NEW YORK COUNTY, NEW YORK, IN ANY ACTION OR PROCEEDING ARISING OUT OF OR
RELATING TO THIS AGREEMENT, (ii) AGREES THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY
BE HEARD AND DETERMINED ONLY IN SUCH NEW YORK STATE OR FEDERAL COURT AND NOT IN ANY OTHER COURT,
AND (iii) WAIVES, TO THE FULLEST EXTENT IT MAY EFFECTIVELY DO SO, THE DEFENSE OF AN INCONVENIENT
FORUM TO THE MAINTENANCE OF SUCH ACTION OR PROCEEDING.

(b) TO THE EXTENT THAT IT HAS OR HEREAFTER MAY ACQUIRE ANY IMMUNITY FROM THE JURISDICTION OF
ANY COURT OR FROM ANY LEGAL PROCESS (WHETHER THROUGH SERVICE OR NOTICE, ATTACHMENT PRIOR TO
JUDGMENT, ATTACHMENT IN AID TO EXECUTION, EXECUTION OR OTHERWISE) WITH RESPECT TO ITSELF OR ITS
PROPERTY, IT HEREBY IRREVOCABLY WAIVES SUCH IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER OR IN
CONNECTION WITH THIS AGREEMENT.

Section 14.13 Execution in Counterparts.

This Agreement may be executed in any number of counterparts and by the different parties
hereto in separate counterparts, each of which when so executed shall be deemed to be an original
and all of which when taken together shall constitute one and the same Agreement. Delivery of an
executed counterpart of a signature page to this Agreement by facsimile or by

 

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electronic mail in portable document format (.pdf) shall be as effective as delivery of a
manually executed counterpart of a signature page of this Agreement.

Section 14.14 No Recourse Against Other Parties.

The obligations of each Purchaser under this Agreement are solely the corporate obligations of
such Purchaser. No recourse shall be had for the payment of any amount owing by any Purchaser
under this Agreement or for the payment by such Purchaser of any fee in respect hereof or any other
obligation or claim of or against such Purchaser arising out of or based upon this Agreement,
against BTMUNY or against any employee, officer, director, incorporator or stockholder of such
Purchaser. For purposes of this Section 14.14, the term “BTMUNY” shall mean and include
The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch, and all affiliates thereof and any
employee, officer, director, incorporator, stockholder or beneficial owner of any of them;
provided, however, for the purposes of this paragraph, no Purchaser shall be
considered to be an affiliate of its respective Purchaser Agent. Each of the Seller, the Master
Servicer and the Agents agree that each Purchaser shall be liable for any claims that such party
may have against such Purchaser only to the extent such Purchaser has excess funds and to the
extent such assets are insufficient to satisfy the obligations of such Purchaser hereunder, such
Purchaser shall have no liability with respect to any amount of such obligations remaining unpaid
and such unpaid amount shall not constitute a claim against such Purchaser. Any and all claims
against any Purchaser or any Purchaser Agent shall be subordinate to the claims of the holders of
Commercial Paper Notes and the related Liquidity Banks.

Section 14.15 Severability of Provisions.

Any provision of this Agreement which is prohibited or unenforceable in any jurisdiction,
shall as to such jurisdiction, be ineffective to the extent of such prohibition or
unenforceability, without invalidating the remaining provisions hereof or affecting the validity or
enforceability of such provisions in any other jurisdiction.

[remainder of page intentionally left blank]

 

61

 

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

	 	 	 	 	 
	 	LPAC CORP.,

as Seller

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 
	 

	 	 	 	 	 
	 	LENNOX INDUSTRIES INC.,

as Master Servicer

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 
	 

[additional signatures to follow]

[RECEIVABLES PURCHASE AGREEMENT]

 

 

 

	 	 	 	 	 
	 	VICTORY RECEIVABLES CORPORATION,

as a Purchaser

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

	 	 	 	 	 
	 	THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH,

as Administrative Agent and BTMU Purchaser Agent

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

	 	 	 	 	 
	 	THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH,

as a Liquidity Bank

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

Percentage: 100%

[end of signatures]

[RECEIVABLES PURCHASE AGREEMENT]

 

 

 

APPENDIX A

DEFINITIONS

This is Appendix A to the Receivables Purchase Agreement dated as of November 25,
2009, among LPAC Corp., as the Seller, Lennox Industries, Inc., as the Master Servicer, Victory
Receivables Corporation, as a Purchaser and BTMUNY, as the Administrative Agent, the BTMU Purchaser
Agent and a Liquidity Bank (as amended, supplemented or otherwise modified from time to time, this
“Agreement”). Each reference in this Appendix A to any Section, Appendix or
Exhibit refers to such Section of or Appendix or Exhibit to this Agreement.

(A) Defined Terms. As used in this Agreement, unless the context requires a different
meaning, the following terms have the meanings indicated below:

Adjusted Dilution Ratio: The 12-month rolling average of the Dilution Ratio.

Administrative Agent: As defined in the preamble.

Affected Party: Each Purchaser, each Liquidity Bank, any assignee or participant of any
Purchaser or any Liquidity Bank, BTMUNY, any successor to BTMUNY, as Administrative Agent or BTMU
Purchaser Agent, or any sub-agent of any Agent.

Affiliate: With respect to any Person, any other Person controlling, controlled by, or
under common control with, such Person.

Affiliated Obligor: In relation to any Obligor, an Obligor that is an Affiliate of such
Obligor.

Agent: Any Purchaser Agent or the Administrative Agent.

Allocation Limit: As defined in Section 1.1.

Asset Interest: An undivided percentage ownership interest, determined from time to time
as provided in Section 1.4(b), in (i) all then outstanding Pool Receivables and (ii) all
Related Assets.

Asset Tranche: At any time, a portion of the Asset Interest funded by any Purchaser Group
selected by such Purchaser Group’s Purchaser Agent pursuant to and subject to the terms of
Section 2.1.

Assignment and Acceptance: An assignment and acceptance agreement entered into by a
Liquidity Bank, an Eligible Assignee, the Purchaser Agent of such Liquidity Bank’s Purchaser Group,
and the Administrative Agent, pursuant to which such Eligible Assignee may become a party to this
Agreement, in substantially the form of Exhibit D hereto.

Assurance Agreement: The Assurance Agreement dated as of November 25, 2009 made by Lennox
International, as the same may be amended, restated, supplemented or modified from time to time in
accordance with its terms.

 

A-1

 

Bank Rate: For any day falling in a particular Yield Period with respect to any Asset
Tranche means an interest rate per annum equal to the sum of the BTMU LIBO Rate
(Reserved) for such Yield Period plus the Bank Rate Spread; provided, that in the case of
(A) any Yield Period commencing on or prior to the first day of which any Purchaser or any
Liquidity Bank shall have notified the Purchaser Agent of such Person’s Purchaser Group that (i)
the introduction of or any change in or in the interpretation of any law or regulation makes it
unlawful, or any central bank or other Governmental Authority asserts that it is unlawful, for such
Person to fund such Asset Tranche at the rate described above, or (ii) due to market conditions
affecting the interbank eurodollar market, funds are not reasonably available to such Person in
such market in order to enable it to fund such Asset Tranche at the rate described above (and in
the case of subclause (i) or (ii) above, such Person shall not have subsequently notified such
Purchaser Agent that such circumstances no longer exist), or (B) any Yield Period as to which the
any Purchaser Agent does not receive notice or determine, by no later than 12:00 noon (New York,
New York time) on the third Business Day preceding the first day of such Yield Period, that the
related Asset Tranche will be funded by Liquidity Fundings, and not by the issuance of Commercial
Paper Notes, in either case, the “Bank Rate” shall mean an interest rate per annum equal to the
Base Rate in effect from time to time during such Yield Period; it being understood that, in the
case of paragraph (A) above, such rate shall only apply to the Persons affected by the
circumstances described in such paragraph (A).

Bank Rate Spread: As defined in the Fee Letter.

Base Rate: For any day, the rate per annum equal to the sum of the Bank Rate Spread plus
the higher as of such day of (i) the Prime Rate, or (ii) the Federal Funds Rate most recently
determined by Administrative Agent, plus 1.00%; provided that for purposes of calculating the Yield
Reserve in accordance with the defined term thereof “Base Rate” shall be calculated without
including the Bank Rate Spread in such calculation. For purposes of determining the Base Rate for
any day, changes in the Prime Rate or the Federal Funds Rate shall be effective on the date of each
such change. The Base Rate is not necessarily intended to be the lowest rate of interest
determined by BTMUNY in connection with extensions of credit.

Broken Funding Costs: Any loss or expense of the type described in Section 4.3
incurred by any Purchaser.

BTMU LIBO Rate: For any Yield Period the rate per annum at which deposits
in Dollars are offered by the principal office of The Bank of Tokyo Mitsubishi UFJ, Ltd. in London,
England to prime banks in the London interbank market at 11:00 a.m. London time two (2) Business
Days before the commencement of such Yield Period or, if no such rate is available, The Bank of
Tokyo Mitsubishi UFJ, Ltd. shall determine such rate based on the rates it is offered on deposits
of such duration in the London interbank market.

BTMU LIBO Rate Reserve Percentage: With respect to any Investor for any Yield Period in
respect of which Earned Discount is computed by reference to the BTMU LIBO Rate, the reserve
percentage applicable two Business Days before the first day of such Yield Period under regulations
issued from time to time by the Federal Reserve Board (or if more than one such percentage shall be
applicable, the daily average of such percentages for those days in such Yield Period during which
any such percentage shall be so applicable) for determining the maximum

 

A-2

 

reserve requirement (including, without limitation, any emergency, supplemental or other marginal
reserve requirement) for such Investor with respect to liabilities or assets consisting of or
including Eurocurrency Liabilities (as such term is defined in Regulation D) (or with respect to
any other category of Liabilities that includes deposits by reference to which the interest rate on
Eurocurrency Liabilities is determined) having a term equal to such Investor Period.

BTMU LIBO Rate (Reserved): With respect to any Yield Period means a rate per annum equal
to the quotient obtained (rounded upwards, if necessary, to the next higher 1/100th of 1%) by
dividing (i) the applicable BTMU LIBO Rate for such Yield Period by (ii) a percentage equal to 100%
minus the BTMU LIBO Rate Reserve Percentage.

BTMUNY: As defined in the preamble.

BTMU CP Costs: For each day in any Yield Period with respect to any Asset Tranche funded
by Commercial Paper Notes, the sum of (a) discount or yield accrued (including, without limitation,
any associated with financing the discount or interest component on the rollover of any Pooled
Commercial Paper) on the BTMU Purchaser’s Pooled Commercial Paper on such day issued to fund or
maintain such Asset Tranche, as determined by the BTMU Purchaser Agent, plus (b) any and all
accrued commissions in respect of the BTMU Purchaser’s placement agents and commercial paper
dealers, and issuing and paying agent fees incurred, in respect of such Pooled Commercial Paper for
such day, plus (c) other costs (including without limitation those associated with funding small or
odd-lot amounts) with respect to all receivable purchase, credit and other investment facilities
which are funded by the applicable Pooled Commercial Paper for such day plus (d) on any day when
any Liquidation Event or Unmatured Liquidation Event shall have occurred and be continuing, 2% per annum (it being understood that the amounts described herein shall be determined by the BTMU
Purchaser Agent, whose determination shall be conclusive).

BTMU Liquidity Agreement: The liquidity asset purchase agreement or other liquidity
agreement entered into by any BTMU Liquidity Bank for the benefit of the BTMU Purchaser, to the
extent relating to the sale of transfer of interests in the Asset Interest.

BTMU Liquidity Bank: BTMUNY or any other Person providing liquidity or credit support to
BTMU Purchaser under a BTMU Liquidity Agreement.

BTMU Purchaser: As defined in the preamble.

BTMU Purchaser Account: Such account set forth in a separate letter by the BTMU Purchaser
Agent to the Seller and Master Servicer, or such other account as may be specified in writing from
time to time by the BTMU Purchaser Agent to the Seller and Master Servicer.

BTMU Purchaser Agent: As defined in the preamble.

BTMU Purchaser Group: The BTMU Purchaser, the BTMU Liquidity Banks and the BTMU Purchaser
Agent, together with their respective successors, assigns and participants.

BTMU Purchaser Group Limit: $100,000,000.

 

A-3

 

Business Day: A day on which commercial banks in Chicago or New York City are not
authorized or required to be closed for business; provided, that, when used with respect to
the Earned Discount Rate or associated Asset Tranche based on BTMU LIBO Rate, “Business Day” means
any Business Day on which banks are open for domestic and international business (including
dealings in Dollar deposits) in London, England.

Capital Lease: At any time, a lease with respect to which the lessee is required
concurrently to recognize the acquisition of an asset and the incurrence of a liability in
accordance with GAAP.

Change in Control:

(i) in relation to either of the Master Servicer or Lennox International, the
acquisition after the date hereof by any person or group of persons (within the meaning of
Section 13 or 14 of the Exchange Act), of beneficial ownership (within the meaning of Rule
13d-3 promulgated by the Securities and Exchange Commission under the Exchange Act) of
issued and outstanding shares of the capital stock of such Person entitled (without regard
to the occurrence of any contingency) to vote for the election of members of the board of
directors of such Person and having a then present right to exercise 50% or more of the
voting power for the election of members of the board of directors of such Person attached
to all such outstanding shares of capital stock of such Person, unless otherwise agreed in
writing by the Agents; and

(ii) in relation to the Seller or any Originator, the failure of Lennox International
to own (directly or through wholly-owned Subsidiaries of Lennox International) 100% of the
issued and outstanding shares of the capital stock (including all warrants, options,
conversion rights, and other rights to purchase or convert into such stock) of the Seller or
such Originator on a fully diluted basis; and

(iii) in relation to the Seller, the failure of Lennox and Heatcraft to own directly
100% of the issued and outstanding shares of the capital stock (including all warrants,
options, conversion rights, and other rights to purchase or convert into such stock) of the
Seller on a fully diluted basis.

Code: The Internal Revenue Code of 1986, as the same may be amended from time to time.

Collateral: As defined in Section 9.1.

Collection Account: The segregated account that may be established and maintained in the
name of the Seller with JPMorgan Chase Bank, N.A., or another commercial bank reasonably approved
by the Agents.

Collection Period:

(i) the period from the date of the initial Purchase to the last day of the calendar
month in which such date occurs; and

(ii) thereafter, each period from the last day of the next preceding Collection Period
to the last day of the next following calendar month;

 

A-4

 

provided, however, that during any period during which Weekly Reports are required
to be delivered, the Collection Period related to each related Settlement Date shall be the related
Weekly Reporting Period; provided, further, however, that the last
Collection Period shall end on the Final Payout Date.

Collections: With respect to any Receivable, (i) all funds which either are received by
the Seller, the Originators or the Master Servicer from or on behalf of the related Obligor in
payment of any amounts owed (including, without limitation, purchase prices, finance charges,
interest and all other charges) in respect of such Receivable, or applied to such amounts owed by
such Obligor (including, without limitation, cash proceeds of Related Security with respect to such
Receivable, including, without limitation, insurance payments that the Seller, the Originator or
the Master Servicer applies in the ordinary course of its business to amounts owed in respect of
such Receivable and net proceeds of sale or other disposition of repossessed goods or other
collateral or property of the Obligor or any other party directly or indirectly liable for payment
of such Receivable and available to be applied thereon), and (ii) all Deemed Collections;
provided that, prior to such time as Lennox shall cease to be the Master Servicer, late
payment charges, collection fees, extension fees and any other similar fees or expenses billed to
and collected from an Obligor shall be paid to the Master Servicer as additional compensation for
the performance of its duties as Master Servicer hereunder.

Commercial Paper Notes: The commercial paper promissory notes issued by any Purchaser in
the commercial paper market.

Contract: A contract between the Seller or the Originator and any Person, or an invoice
sent or to be sent by the Seller or the Originator, pursuant to or under which a Receivable shall
arise or be created, or which evidences a Receivable. A ‘related Contract’ or similar reference
means rights to payment, collection and enforcement, and other rights under a Contract to the
extent directly related to a Receivable in the Receivables Pool, but not any other rights under
such Contract.

CP Accrual Period: Each Collection Period during which any Asset Tranche is funded with
Commercial Paper Notes.

CP Costs: The BTMU CP Costs.

Credit Agreement: That certain Third Amended and Restated Revolving Credit Facility
Agreement dated as of October 12, 2007 by and among Lennox International Inc. as the borrower,
certain financial institutions, as the lenders, Bank of America, N.A., as administrative agent for
the lenders, swingline lender and as an issuing bank, JPMorgan Chase Bank, N.A. and Wachovia Bank,
National Association, as co-syndication agents, The Bank of Tokyo-Mitsubishi UFJ, Ltd. and Wells
Fargo Bank, N.A., as co-documentation agents, U.S. Bank National Association and the Bank of Nova
Scotia, as co-managing agents and Banc of America Securities LLC and J.P. Morgan Securities, Inc.,
as joint lead arrangers and joint book managers, as such agreement may be further amended,
restated, substituted or replaced from time to time.

Credit and Collection Policy: Collectively, those credit and collection policies and
practices of the Originators and the Master Servicer relating to Contracts and Receivables as in
effect on the

 

A-5

 

date of this Agreement in the form of Exhibit C hereto, as may hereafter be modified
without violating Section 7.3(c), but subject to compliance with applicable state
regulations in effect from time to time.

Credit Event: The earliest of (i) an Event of Bankruptcy with respect to Lennox
International, (ii) an Event of Bankruptcy with respect to Lennox or (iii) any event described in
subsection (d) of Section 10.1 hereof.

Cut-Off Date: The last day of each fiscal month of the Master Servicer.

Days Sales Outstanding or DSO: As of any day, an amount equal to the product of
(i) 91 and (ii) a fraction the numerator of which is the aggregate Unpaid Balance of Pool
Receivables as of the most recent Cut-Off Date and the denominator of which is the aggregate dollar
amount of Receivables generated by the Originators during the three Collection Periods including
and immediately preceding such Cut-Off Date.

Deemed Collections: As defined in Section 3.2(a).

Default Horizon Ratio: As of any Cut-Off Date, the ratio (expressed as a percentage) of
(i) the aggregate sales of the Originators during the immediately preceding five (5) Collection
Periods ending on such Cut-Off Date divided by (ii) the Net Pool Balance on such Cut-Off Date.

Default Ratio: At any time, an amount (expressed as a percentage) equal to a fraction
(i) the numerator of which is equal to the sum of the Unpaid Balances of Eligible Receivables,
during the immediately preceding Collection Period, as to which (A) any payment, or part thereof,
remains unpaid for more than 150 days from the original due date for such payment or (B) any
portion of the Unpaid Balance (including amounts related to an Event of Bankruptcy) or other
payment due in respect thereof was (or should have been) written off and (ii) the denominator of
which is the amount of sales generated during the Collection Period six months prior to the
immediately preceding Collection Period.

Defaulted Receivable: A Receivable: (i) as to which any payment, or part thereof, remains
unpaid for more than 120 days from the original due date for such payment, (ii) as to which any
portion of the Unpaid Balance or other payment due in respect thereof was (or should have been)
written off prior to the 120th day following the original due date for such payment, or (iii) as to
which an Event of Bankruptcy shall have occurred with respect to the Obligor thereof or any other
Person obligated thereon or owning any Related Security in respect thereof.

Delinquency Ratio: At any time, the ratio (expressed as a percentage) computed as of the
Cut-Off Date for the most recently preceding Collection Period by dividing (i) the aggregate Unpaid
Balance of all Pool Receivables that are Delinquent Receivables on such Cut-Off Date by (ii) the
aggregate Unpaid Balance of Pool Receivables on such Cut-Off Date.

Delinquent Receivable: A Pool Receivable (i) that is not a Defaulted Receivable and
(ii) as to which any payment, or part thereof, remains unpaid for 91 days or more from the original
due date for such payment.

 

A-6

 

Dilution: The amount of any reduction or cancellation of the Unpaid Balance of a Pool
Receivable as described in Section 3.2(a), but excluding any Specified Annual Rebate
processed during the applicable Collection Period, if applicable.

Dilution Horizon: For any day, the weighted average credit memo lag, in days, set forth in
the most recent review conducted pursuant to the provisions of Section 7.1(c).

Dilution Horizon Ratio: As of any date, the product (calculated as of the most recent
Reporting Date) of (a) the decimal equivalent of a fraction, the numerator of which is the
aggregate dollar amount of all Receivables generated by the Originators during the most recent
Collection Period and the denominator of which is the Net Pool Balance as of the most recent
Cut-Off Date and (b) the decimal equivalent of a fraction the numerator of which is the then
current Dilution Horizon and the denominator of which is 31.

Dilution Ratio: As of any Cut-Off Date, the percentage equivalent of a fraction, the
numerator of which is the aggregate dollar amount of Dilutions that occurred during the Collection
Period ending on such date and the denominator of which is the aggregate dollar amount of all
Receivables originated by the Originators during such Collection Period.

Dilution Reserve: The product of (i) the sum of (A) the product of (x) 2 and (y) the
Adjusted Dilution Ratio plus (B) the Dilution Volatility Component and (ii) the Dilution Horizon
Ratio.

Dilution Volatility Component: The product of (i) the positive excess, if any, of (A) the
highest Dilution Ratio over the past 12 months over (B) the Adjusted Dilution Ratio and (ii) a
fraction, the numerator of which is the highest three month rolling average Dilution Ratio over the
past 12 months and the denominator of which is the Adjusted Dilution Ratio.

Dollars: Means dollars in lawful money of the United States of America.

Downgraded Liquidity Bank: A Liquidity Bank with respect to which a Downgrading Event
shall have occurred.

Downgrading Event: With respect to any Person means the lowering of the rating with regard
to the short-term securities of such Person to below (i) A-1 by Standard & Poor’s Ratings Group, or
(ii) P-1 by Moody’s.

Earned Discount: For any Yield Period for any Asset Tranche funded with a Liquidity
Funding by any Purchaser Group:

IA x ER x ED + LF

360

where:

	 	 	 	 	 	 	 
	 

	 	IA
	 	=
	 	the daily average (calculated at the close of business each
day) of such Purchaser Group’s Purchaser Group Invested Amount in such Asset
Tranche during such Yield Period,

 

A-7

 

	 	 	 	 	 	 	 
	 

	 	ER
	 	=
	 	the Earned Discount Rate for such Yield Period,
	 
	 	 	 	 	 	 
	 

	 	ED
	 	=
	 	the actual number of days elapsed during such Yield Period, and
	 
	 	 	 	 	 	 
	 

	 	LF
	 	=
	 	the Liquidation Fee, if any, during such Yield Period.

Earned Discount Rate: For any Yield Period for any Asset Tranche funded by a Liquidity
Funding, the Bank Rate for such Asset Tranche and such Yield Period;

provided, however, on any day when any Liquidation Event or an Unmatured
Liquidation Event shall have occurred and be continuing, the Earned Discount Rate for each Asset
Tranche shall mean a rate per annum equal to the Base Rate plus 2% per
annum.

Eligible Assignee: (i) BTMUNY or any of its Affiliates, (ii) any Person managed by BTMUNY
or any of its Affiliates, or (iii) any financial or other institution acceptable to the
Administrative Agent, and approved by the Seller (which approval by the Seller shall not be
unreasonably withheld, delayed or conditioned and shall not be required if a Liquidation Event,
Unmatured Liquidation Event or Credit Event has occurred and is continuing).

Eligible Receivable: At any time, a Receivable:

(i) which is a Pool Receivable arising out of the sale by an Originator in the ordinary
course of its business that has been sold or contributed to the Seller pursuant to the Sale
Agreement in a “true sale” transaction;

(ii) as to which the perfection of the Investors’ undivided percentage ownership
interest therein is governed by the laws of a jurisdiction where the UCC is in force, and
which constitutes an “account” as defined in the UCC as in effect in such jurisdiction;

(iii) the Obligor of which is a resident of the United States, or any of its
possessions or territories and is not an Affiliate or employee of any Seller Party;

(iv) which is neither a Defaulted Receivable nor a Delinquent Receivable;

(v) with regard to which the representations and warranties of the Seller set forth in
Section 6.1(l) are true and correct;

(vi) the sale of an undivided interest in which does not contravene or conflict with
any law;

(vii) which is denominated and payable only in Dollars in the United States;

(viii) which arises under a Contract that has been duly authorized and that, together
with such Receivable, is in full force and effect and constitutes the legal, valid and
binding obligation of the Obligor of such Receivable enforceable against such Obligor in
accordance with its terms and is not subject to any dispute, offset, counterclaim or defense
whatsoever, provided, however, that if such dispute, offset,

 

A-8

 

counterclaim or defense affects only a portion of the Unpaid Balance of such Receivable
then such Receivable may be deemed an Eligible Receivable to the extent of the portion of
such Unpaid Balance which is not so affected;

(ix) which, together with the Contract related thereto, does not contravene in any
material respect any laws, rules or regulations applicable thereto (including, without
limitation, laws, rules and regulations relating to usury, truth in lending, fair credit
billing, fair credit reporting, equal credit opportunity, fair debt collection practices and
privacy) and with respect to which no party to the Contract related thereto is in violation
of any such law, rule or regulation in any material respect if such violation would impair
the collectibility of such Receivable;

(x) which satisfies in all material respects all applicable requirements of the
applicable Originator’s Credit and Collection Policy;

(xi) which, according to the Contract related thereto, is due and payable within 120
days from the invoice date of such Receivable; provided, however, that on
any day when the Weighted Average Term shall exceed 45 days, such Receivable, pursuant to
the Contract related thereto, shall be due and payable within 60 days from the invoice date
of such Receivable; provided, further that a Receivable that is otherwise an
“Eligible Receivable” and is due and payable within 91-120 days from its invoice date shall
not be an Eligible Receivable, if the Unpaid Balance of such Receivable when added to the
Unpaid Balance of all other Receivables that are due and payable within 91-120 days from
their respective invoice dates, would exceed 5% of the aggregate Unpaid Balance of all
Receivables;

(xii) the Obligor of which is not the Obligor of any Defaulted Receivable which in the
aggregate constitute 35% or more of the aggregate Unpaid Balance of all Receivables of such
Obligor;

(xiii) the original term of which has not been extended and the Unpaid Balance of which
has not been adjusted more than one time;

(xiv) the Obligor of which is not a Governmental Authority as to which the assignment
of receivables owing therefrom requires compliance with the Federal Assignment of Claims Act
or other similar legislation (unless the Seller has complied therewith);

(xv) which is not classified by the “Terms Description” of the related Originator’s
Credit and Collection Policy or any other internal classification procedures utilized by
such Originator as (A) “Authorizer,” (B) “Cash Application,” (C) “Check in Progress,”
(D) “COD-Certified Check,” (E) “COD-Company Check,” (F) “Consignment Shipment,” (G) “Direct
Pay,” (H) “Due Immediately,” (I) “Gratis,” (J) “Invoice to be Considered,” (K) “Paid in
Advance,” (L) “Payroll Deduction,” (M) “Warrant Gratis,” (N) “Warranty Parts,” or (O) any
other classification now existing or hereinafter created that has the same or any similar
definition as any of the foregoing;

 

A-9

 

(xvi) as to which the applicable Originator has satisfied and fully performed all
obligations on its part with respect to such Receivable required to be fulfilled by it, and
no further action is required to be performed by any Person with respect thereto other than
payment thereon by the applicable Obligor; and

(xvii) as to which any Purchaser Agent has not notified Seller that such Purchaser
Agent has determined that such Receivable or class of Receivables is not acceptable as an
Eligible Receivable, including, without limitation, because such Receivable arises under a
Contract that is not acceptable to such Purchaser Agent.

ERISA: The U.S. Employee Retirement Income Security Act of 1974, as amended from time to
time.

ERISA Affiliate: Any trade or business (whether or not incorporated) that is a member of a
group of which the Master Servicer or Lennox International is a member and which is treated as a
single employer under Section 414 of the Code.

Event of Bankruptcy: With respect to a Person if either:

(i) a case or other proceeding shall be commenced, without the application or consent
of such Person, in any court, seeking the liquidation, reorganization, debt arrangement,
dissolution, winding up, or composition or readjustment of debts of such Person, the
appointment of a trustee, receiver, custodian, liquidator, assignee, sequestrator or the
like for such Person or all or substantially all of its assets, or any similar action with
respect to such Person under any law relating to bankruptcy, insolvency, reorganization,
winding up or composition or adjustment of debts, and such case or proceeding shall continue
undismissed, or unstayed and in effect, for a period of 60 consecutive days; or an order for
relief in respect of such Person shall be entered in an involuntary case under the federal
bankruptcy laws or other similar laws now or hereafter in effect; or

(ii) such Person shall commence a voluntary case or other proceeding under any
applicable bankruptcy, insolvency, reorganization, debt arrangement, dissolution or other
similar law now or hereafter in effect, or shall consent to the appointment of or taking
possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator (or other
similar official) for, such Person or for any substantial part of its property, or shall
make any general assignment for the benefit of creditors, or shall be adjudicated insolvent,
or admit in writing its inability to, pay its debts generally as they become due, or, if a
corporation or similar entity, its board of directors shall vote to implement any of the
foregoing.

Excess Concentration Amount: As of any date, the sum of the amounts by which the aggregate
Unpaid Balance of Receivables of each Obligor exceeds the Obligor Concentration Limit for such
Obligor.

Exchange Act: The Securities Exchange Act of 1934, as amended.

 

A-10

 

Federal Funds Rate: For any day, the rate per annum 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, as published for such day (or, if such day is not a
Business Day, for the next preceding Business Day) by the Federal Reserve Bank of New York; or (b)
if such rate is not so published for any day which is a Business Day, the average of the quotations
for such day on such transactions received by BTMUNY from three federal funds brokers of recognized
standing selected by it.

Federal Reserve Board: The Board of Governors of the Federal Reserve System, or any
successor thereto or to the functions thereof.

Fee Letter: For each Purchaser Group, the fee letter (including all amendments,
modifications, restatements, replacements and addendums thereto) entered into from time to time by
the Seller and the members of such Purchaser Group.

Final Payout Date: The date following the Termination Date on which the Invested Amount
shall have been reduced to zero and all other amounts payable by the Seller under the Transaction
Documents shall have been paid in full.

Funding Termination Date: The earliest of the following:

(i) November 24, 2010, or such later date as may, from time to time, be agreed to in
writing by the Agents;

(ii) the date on which the Agents declare a Funding Termination Date in a notice to the
Seller in accordance with Section 10.2(a); or

(iii) in accordance with Section 10.2(b), the Funding Termination Date occurs
automatically.

GAAP: Generally accepted accounting principles set forth in the opinions and
pronouncements of the Accounting Principles Board of the American Institute of Certified Public
Accountants and statements and pronouncements of the Financial Accounting Standards Board or in
such other statements by such accounting profession, which are applicable to the circumstances as
of the date of determination.

Governmental Authority: Any nation or government, any state or other political subdivision
thereof, any central bank (or similar monetary or regulatory authority) thereof, any body or entity
exercising executive, legislative, judicial, regulatory or administrative functions of or
pertaining to government, any court or arbitrator and any accounting board or authority (whether or
not a part of government) which is responsible for the establishment or interpretation of national
or international accounting principles, in each case whether foreign or domestic.

 

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Guaranty: With respect to any Person, any obligation (except the endorsement in the
ordinary course of business of negotiable instruments for deposit or collection) of such Person
guaranteeing or in effect guaranteeing any Indebtedness, dividend or other obligation of any other
Person in any manner, whether directly or indirectly, including (without limitation) obligations
incurred through an agreement, contingent or otherwise, by such Person:

(i) to purchase such Indebtedness or obligation or any property constituting security
therefor;

(ii) to advance or supply funds (A) for the purchase or payment of such Indebtedness or
obligation, or (B) to maintain any working capital or other balance sheet condition or any
income statement condition of any other Person or otherwise to advance or make available
funds for the purchase of payment of such Indebtedness or obligation;

(iii) to lease properties or to purchase properties or services primarily for the
purpose of assuring the owner of such Indebtedness or obligation of the ability of any other
Person to make payment of the Indebtedness or obligation; or

(iv) otherwise to assure the owner of such Indebtedness or obligation against loss in
respect of thereof. In any computation of the Indebtedness or other liabilities of the
obligor under any Guaranty, the Indebtedness or other obligations that are the subject of
such Guaranty shall be assumed to be direct obligations of such obligor.

Heatcraft: Heatcraft Technologies Inc., a Delaware corporation.

Indebtedness: With respect to any Person shall mean, at any time, without duplication:

(i) its liabilities for borrowed money and its redemption obligations in respect of
mandatorily redeemable Preferred Stock;

(ii) its liabilities for the deferred purchase price of property acquired by such
Person (excluding accounts payable arising in the ordinary course of business but including
all liabilities created or arising under any conditional sale or other title retention
agreement with respect to any such property);

(iii) all liabilities appearing on its balance sheet in accordance with GAAP in respect
of Capital Leases;

(iv) all liabilities for borrowed money secured by any Lien with respect to any
property owned by such Person (whether or not it has assumed or otherwise become liable for
such liabilities);

(v) all its liabilities in respect of letters of credit or instruments serving a
similar function issued or accepted for its account by banks and other financial
institutions (whether or not representing obligations for borrowed money, but excluding in
any event obligations in respect of (A) trade or commercial letters of credit issued for the
account of such Person in the ordinary course of its business and (B) stand-by letters

 

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of credit issued to support obligations of such Person that are not of a type described
in any of clauses (i), (ii), (iii), (iv), (vi) or
(vii) of this definition;

(vi) Swaps of such Person; and

(vii) any Guaranty of such Person with respect to liabilities of a type described in
any of clauses (i) through (vi) hereof.

Indebtedness of any Person shall include all obligations of such Person of the character
described in clauses (i) through (vii) above to the extent such Person remains
legally liable in respect hereof notwithstanding that any such obligation is deemed to be
extinguished under GAAP.

Indemnified Amounts: As defined in Section 13.1.

Indemnified Party: As defined in Section 13.1.

Independent Director: A Person who is a director of the Seller and who is not at such
time, and has not been at any time during the preceding five (5) years: (i) a creditor, supplier,
director, officer, employee, family member, manager, member, limited partner, partner or contractor
of Lennox International, the Master Servicer, any Originator or any of their respective
Subsidiaries or Affiliates (other than in such Person’s role as a director of Seller), (ii) a
direct or indirect or beneficial owner, excluding de minimus ownership interests, (at the time of
such individual’s appointment as an Independent Director or at any time thereafter while serving as
an Independent Director) of any of the outstanding common shares of the Seller, Lennox
International, the Master Servicer, any Originator, or any of their respective Subsidiaries or
Affiliates, having general voting rights, or (iii) a person who controls (whether directly,
indirectly or otherwise) Lennox International, the Master Servicer, any Originator or any of their
respective Subsidiaries or Affiliates (other than in such Person’s role as a director of Seller) or
any creditor, supplier, employee, officer, director, manager, member, limited partner, partner or
contractor of Lennox International, the Master Servicer, any Originator or any of their respective
Subsidiaries or Affiliates (other than in such Person’s role as a director of Seller). Such Person
shall be employed by a nationally recognized provider of corporate or structured finance services.

Information Package: A report in the form of Exhibit 3.1(a) and, during any period
during which a Weekly Report is required to be delivered, each such Weekly Report,
provided, however, that, if a Liquidation Event has occurred and is continuing,
such Information Package shall be accompanied by an electronic file in a form satisfactory to each
Purchaser Agent.

Initial Seller Note: As defined in the Sale Agreement.

Interim Cut-Off Date: Such date as may be specified by any Agent in any request to provide
an Interim Information Package pursuant to Section 1.4(c).

Interim Information Package: As defined in Section 1.4(c).

Interim Reporting Date: As defined in Section 1.4(c).

 

A-13

 

Interim Reporting Period: Such period as may be specified by any Agent in any request to
provide an Interim Information Package pursuant to Section 1.4(c).

Interim Settlement Date: One Business Day following each Interim Reporting Date.

Invested Amount: At any time with respect to the Asset Interest an amount equal to (i) the
aggregate of the amounts theretofore paid to Seller for Purchases pursuant to Sections 1.1
and 1.2, less (ii) the aggregate amount of Collections theretofore received and
actually distributed to the Investors on account of such Invested Amount pursuant to
Section 1.3.

Investors: The Purchasers and the Liquidity Banks.

Investors’ Share: With respect to any amount, at any time, the lesser of (i) the most
recently calculated Asset Interest and (ii) 100%.

Lennox: As defined in the Preamble.

Lennox International: Lennox International Inc., a Delaware corporation.

Lien: With respect to any Person, any mortgage, lien, pledge, charge, security interest,
or other encumbrance, or any interest or title of any vendor, lessor, lender or other secured party
to or of such Person under any conditional sale or other title retention agreement or Capital
Lease, upon or with respect to any property or asset of such Person (including in the case of
stock, stockholder agreements, voting trust agreements and all similar arrangements).

Liquidation Event: As defined in Section 10.1.

Liquidation Fee: For each Asset Tranche (or portion thereof) funded through a Liquidity
Funding, for each day in any Yield Period (computed without regard to clause (iii) of the
proviso of the definition of “Yield Period”), the amount, if any, by which:

(i) the additional Earned Discount (calculated without taking into account any
Liquidation Fee) which would have accrued on the reductions of the portion of the Invested
Amount of the related Investor allocated to such Asset Tranche during such Yield Period (as
so computed) if such reductions had not been made, exceeds

(ii) the income, if any, received by the related Investor from investing the proceeds
of such reductions of such Investor’s portion of the Invested Amount.

Liquidation Period: The period commencing on the earlier of (i) the Funding Termination
Date and (ii) the date on which a Liquidation Event has occurred or is continuing and the
Administrative Agent, at the direction of any Agent, shall have notified Seller and the Master
Servicer in writing, pursuant to Section 10.2(a), that the Liquidation Period has
commenced, and ending on the Final Payout Date; provided, however, upon the
occurrence of a Liquidation Event described in Section 10.1(e), the Liquidation Period
shall commence automatically.

 

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Liquidity Agent: With respect to the BTMU Purchaser Group, BTMUNY, as liquidity agent for
the Liquidity Banks under the BTMU Liquidity Agreement, or any successor to BTMUNY in such capacity

Liquidity Agreement: With respect to the BTMU Purchaser Group, the BTMU Liquidity
Agreement.

Liquidity Bank: With respect to the BTMU Purchaser Group, each BTMU Liquidity Bank.

Liquidity Funding: Either (i) a purchase made by any Liquidity Bank (or simultaneous
purchases made by the Liquidity Banks) from a Purchaser pursuant to any Liquidity Agreement or (ii)
a Purchase made by a Liquidity Bank pursuant to Section 1.1.

Lockbox Account: An account maintained for the purpose of receiving Collections at a bank
or other financial institution which has executed a Lockbox Agreement.

Lockbox Agreement: An agreement, in substantially the form of Exhibit A-1, among
the Master Servicer, the Administrative Agent, the Seller and any Lockbox Bank.

Lockbox Bank: Any of the banks holding one or more lockboxes or Lockbox Accounts receiving
Collections from Pool Receivables.

Loss Reserve: At any time, means the product of (1) 2.0 and (2) the highest rolling three
month average Default Ratio during the immediately preceding twelve (12) months and (3) the most
recently calculated Default Horizon Ratio.

Master Servicer: As defined in the preamble.

Material Adverse Effect: With respect to any event or circumstance, a material adverse
effect on:

(i) (A) the assets, operations, business or financial condition of the Seller or
(B) the business, assets, operations or financial condition of Lennox International and its
Subsidiaries, taken as a whole, which could reasonably be expected to have a material
adverse effect on the creditworthiness of any Originator;

(ii) the ability of the Seller, the Master Servicer, any Originator or any Affiliate
thereof to perform in all material respects its obligations under this Agreement or any
other Transaction Document; or

(iii) the validity or enforceability of this Agreement or any other Transaction
Document, or the validity, enforceability or collectibility of a material portion of the
Receivables Pool; or

(iv) the status, existence, perfection, priority or enforceability of the Secured
Parties’ and the Administrative Agent’s interest in the Receivables Pool.

 

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Material Indebtedness: Indebtedness, the aggregate principal amount of which is greater
than $40,000,000.

Moody’s: Moody’s Investors Service, Inc.

Net Pool Balance: On any date, an amount equal to (i) the aggregate Unpaid Balance of all
Eligible Receivables in the Receivables Pool on such date, minus (ii) the Excess Concentration
Amount on such date, minus (iii) any Specified Annual Rebate processed during the Collection Period
during which such date occurs, if applicable.

Net Worth: With respect to the Seller on any date, an amount equal to the aggregate Unpaid
Balance of all Pool Receivables minus the sum of (i) the aggregate Unpaid Balance of all
Defaulted Receivables on such day, (ii) the aggregate principal amount outstanding of the Initial
Seller Notes on such day, together with all accrued and unpaid interest thereon on such day, and
(iii) an amount equal to the Net Pool Balance times the Asset Interest on such day.

Obligor: A Person obligated to make payments with respect to a Receivable, including any
guarantor thereof.

Obligor Concentration Limit: At any time, in relation to the aggregate Unpaid Balance of
Receivables owed by any single Obligor and its Affiliated Obligors (if any):

(i) for Obligors who have a short term unsecured debt rating currently assigned to them
by either S&P or Moody’s, the applicable concentration limit shall be determined according
to the following table (and, if such Obligor is rated by both S&P and Moody’s and has a
split rating, the applicable rating will be the lower of the two):

	 	 	 	 	 	 
	S&P Rating	 	Moody’s Rating	 	Allowable % of Eligible Receivables	 
	A-1 or better
	 	P-1
	 	10	%
	A-2
	 	P-2
	 	6	%
	A-3
	 	P-3
	 	3	%

If such Obligor is rated by only S&P, the applicable rating will be deemed to be one ratings tier
below the actual rating by S&P, and, if such Obligor is rated by only Moody’s, the applicable
rating will be deemed to be one ratings tier below the actual rating by Moody’s, it being
understood that if, for example, Moody’s has assigned a P-1 rating to such Obligor and S&P has not
rated it, the applicable rating will be deemed to be P-2; and

(ii) for Obligors who do not have a debt rating listed above or who are not rated, 2.5%
of the aggregate Unpaid Balance of Eligible Receivables at such time;

provided, however that at the Seller’s request and in the Agents’ sole discretion,
the Agents may permit certain obligors to have an Obligor Concentration Limit in excess of those
described in clauses (i) and (ii) above (“Special Obligor”);
provided, however, that any such Special Obligor designation shall not take effect
without the confirmation of approval to the Agents by each of Fitch Investors Service, Moody’s and
S&P of such designation, if any Agent, in its sole discretion, determines that such confirmation of
approval shall be required.

 

A-16

 

Originator: Each of Lennox and any other Person who is a seller under the Sale Agreement.

Other Taxes: As defined in Section 14.5(b).

Percentage: With respect to any Liquidity Bank, the percentage set forth as such Liquidity
Bank’s Percentage on the signature page to this Agreement or to the Assignment and Acceptance
pursuant to which such Liquidity Bank became a party to this Agreement, in each case as such
percentage may be reduced or increased by any Assignment and Acceptance entered into between such
Liquidity Bank and an Eligible Assignee.

Person: An individual, partnership, corporation (including a business trust), limited
liability company, joint stock company, trust, unincorporated association, joint venture,
government or any agency or political subdivision thereof or any other entity.

Plan: Any pension plan subject to the provisions of Title IV of ERISA or Section 412 of
the Code which is maintained for employees of Lennox or any ERISA Affiliate.

Pool Receivable: A Receivable in the Receivables Pool.

Pooled Commercial Paper means Commercial Paper Notes issued by the BTMU Purchaser which are
subject to any particular pooling arrangement, as determined by the BTMU Purchaser Agent (it being
recognized that there may be more than one distinct group of Pooled Commercial Paper at any time).

Preferred Stock: Any class of capital stock of a corporation that is preferred over any
other class of capital stock of such corporation as to the payment of dividends or the payment of
any amount upon liquidation or dissolution of such corporation.

Prime Rate: Refers to that fluctuating rate of interest per annum equal to
the higher of the rate of interest most recently announced by BTMUNY or its Affiliate Bank of
Tokyo-Mitsubishi UFJ Trust Company, in New York, New York as its prime rate; the Prime Rate is not
necessarily intended to be the lowest rate of interest determined by BTMUNY or Bank of
Tokyo-Mitsubishi UFJ Trust Company in connection with extensions of credit.

Program Fee: The aggregate “Program Fee” set forth in each Fee Letter.

Pro Rata Share: At any time with respect to a Purchaser Group, (a) with respect to any
payment to be made to such Purchaser Group, the percentage equivalent of a fraction the numerator
of which is equal to such Purchaser Group’s Purchaser Group Invested Amount at such time and the
denominator of which is equal to the Invested Amount at such time and (b) with respect to any
Purchase to be made by such Purchaser Group, the percentage equivalent of a fraction, the numerator
of which is equal to such Purchaser Group’s Purchaser Group Limit and the denominator of which is
equal to the Purchase Limit.

Purchase: As defined in Section 1.1.

Purchase Limit: As defined in Section 1.1.

 

A-17

 

Purchaser: The BTMU Purchaser.

Purchaser Agent: The BTMU Purchaser Agent.

Purchaser Agent Account: The BTMU Purchaser Account.

Purchaser Group: The BTMU Purchaser Group.

Purchaser Group Invested Amount: With respect to a Purchaser Group, the aggregate of the
portions of the Invested Amount outstanding at such time that were funded by such Purchaser Group.

Purchaser Group Limit: The BTMU Purchaser Group Limit.

Purchaser Group’s Tranche Investment: In relation to any Asset Tranche of any Purchaser
Group, the amount of the Invested Amount allocated by the Purchaser Agent of such Purchaser Group
to that Asset Tranche pursuant to Section 2.1, provided, that at all times (i) the
aggregate amounts allocated to all Asset Tranches of any Purchaser Group shall equal such Purchaser
Group’s Invested Amount and (ii) the aggregate amounts allocated to all Asset Tranches of all
Purchaser Groups shall equal the Invested Amount.

Qualifying Liquidity Bank: A Liquidity Bank with a rating of its short-term securities
equal to or higher than (i) A-1 by Standard & Poor’s and (ii) P-1 by Moody’s.

Receivable: Any right to payment from a Person, whether constituting an account, chattel
paper, instrument or general intangible and includes the right to payment of any interest or
finance charges and other amounts with respect thereto.

Receivables Pool: At any time all then outstanding Receivables which have been sold or
contributed as capital, or purported to have been sold or contributed as capital, by an Originator
to the Seller, other than those reconveyed to an Originator pursuant to Section 3.5 of the Sale
Agreement.

Regulation D: Regulation D of the Federal Reserve Board, as the same may be amended or
supplemented from time to time.

Regulatory Change: Any change after the date of this Agreement in United States (federal,
state or municipal) or foreign laws or regulations (including Regulation D) or the adoption or
making after such date of any interpretations, directives or requests applying to a class of banks
(including the Liquidity Banks) of or under any United States (federal, state or municipal) or
foreign, laws, or regulations (whether or not having the force of law) by any Governmental
Authority or monetary authority charged with the interpretation or administration thereof.

Reinvestment: As defined in Section 1.3(a)(iii).

Related Assets: (i) all rights to, but not any obligations under, all related Contracts
and other Related Security related to any Pool Receivables, (ii) all rights and interests of the
Seller under the Sale Agreement in relation to any Pool Receivables, (iii) all books and records
evidencing or

 

A-18

 

otherwise relating to any Pool Receivables, (iv) all Lockbox Accounts and related lock boxes and
all cash and investments therein, to the extent constituting or representing the items in the
following clause (v) and (v) all Collections in respect of, and other proceeds of, any Pool
Receivables or any other Related Assets.

Related Security: With respect to any Pool Receivable, all of the Seller’s (in the case of
usage in the Receivables Purchase Agreement) or the Originator’s (in the case of usage in the Sale
Agreement) right, title and interest in and to: (i) all Contracts that relate to such Pool
Receivable; (ii) all merchandise (including returned merchandise), if any, relating to the sale
which gave rise to such Pool Receivable; (iii) all security deposits and other security interests
or liens and property subject thereto from time to time purporting to secure payment of such Pool
Receivable, whether pursuant to the Contract related to such Pool Receivable or otherwise; (iv) all
UCC financing statements covering any collateral securing payment of such Pool Receivable (but only
to the extent of the interest of the Purchaser in the respective Pool Receivable); (v) all
guarantees and other agreements or arrangements of whatever character from time to time supporting
or securing payment of such Pool Receivable whether pursuant to the Contract related to such Pool
Receivable or otherwise; and (vi) all insurance policies, and all claims thereunder, related to
such Pool Receivable, in each case to the extent directly related to rights to payment, collection
and enforcement, and other rights with respect to such Pool Receivable. Except to the extent
included in the Collateral, the interest of each Investor in any Related Security is only to the
extent of the undivided percentage ownership interest of such Investor’s Purchaser Group, as more
fully described in the definition of Asset Interest.

Reportable Event: Any reportable event as defined in Section 4043(b) of ERISA or the
regulations issued thereunder with respect to a Plan (other than a Plan maintained by an ERISA
Affiliate which is considered an ERISA Affiliate only pursuant to subsection (m) or (o) of Section
414 of the Code).

Reporting Date: The tenth day of each month or if such day is not a Business Day, the next
succeeding Business Day; provided however, that if the senior unsecured debt
ratings of Lennox International Inc. by Moody’s or S&P are reduced below Ba3 or BB-, respectively,
or are withdrawn by either of Moody’s or S&P or if either Moody’s or S&P no longer provides a
senior unsecured debt rating for Lennox International Inc. and, in any such case, the aggregate
Invested Amount is greater than $0.00, then, in any such case, the Reporting Date will be the first
Business Day of each week.

Required Reserve: On any day during a Collection Period, an amount equal to the product of
(i) the Net Pool Balance and (ii) the sum of (a) the Yield Reserve on such day, (b) the Servicing
Reserve on such day and (c) the greater of (I) Required Reserve Factor Floor on such day and (II)
the sum of (1) the Loss Reserve on such day and (2) the Dilution Reserve on such day.

Required Reserve Factor Floor: The sum of (i) 10.0% and (ii) the product of the Adjusted
Dilution Ratio times the Dilution Horizon Ratio.

S&P: Standard & Poor’s Ratings Service.

 

A-19

 

Sale Agreement: The Amended and Restated Purchase and Sale Agreement dated as of November
25, 2009 among the Originators and the Seller as it may be amended, restated, supplemented or
otherwise modified.

SEC: The Securities and Exchange Commission.

Secured Parties: The Purchasers, the Liquidity Banks, the Agents, the other Indemnified
Parties and the other Affected Parties.

Seller: As defined in the preamble.

Seller Information: As defined in Section 14.7(a).

Seller Information Provider: As defined in Section 14.7(a).

Seller Party: As defined in the preamble.

Seller’s Account: The account specified in a written notice provided by the Seller to the
Agents.

Seller’s Share: With respect to any amount means 100% minus the lesser of (i) the most
recently calculated Asset Interest and (ii) 100%.

Servicer Default: As defined in Section 8.4.

Servicing Fee: Accrued for any day in a Collection Period means: (i) an amount equal to
the product of (A) the Servicing Fee Rate, (B) the aggregate Unpaid Balance of the Pool Receivables
at the close of business on the first day of such Collection Period, and (C) 1/360; or (ii) on and
after the Master Servicer’s reasonable request made at any time when Lennox, Seller or any
Affiliate or designee thereof shall no longer be Master Servicer, an alternative amount specified
by Master Servicer not exceeding (A) 110% of Master Servicer’s costs and expenses of performing its
obligations under the Agreement during the Collection Period when such day occurs divided by
(B) the number of days in such Collection Period.

Servicing Fee Rate: 1.00% per annum.

Servicing Reserve: The product of (i) the Servicing Fee Rate and (ii) a fraction, the
numerator of which is the Twelve Month DSO and the denominator of which is 360.

Settlement Date: Two Business Days following each Reporting Date; provided,
however, during any period during which a Weekly Report is required to be delivered, the
Settlement Date shall also be two Business Days immediately following the related Weekly Reporting
Date.

Special Obligor: As defined in the definition of Obligor Concentration Limit.

Specified Annual Rebate: Identifiable annual volume and sales rebates tracked and
processed by Lennox during the applicable period.

Subsidiary: With respect to any Person means (i) a corporation more than 50% of whose
stock of any class or classes having by the terms thereof ordinary voting power to elect a majority
of

 

A-20

 

the directors of such corporation (irrespective of whether or not at the time stock of any class or
classes of such corporation shall have or might have voting power by reason of the happening of any
contingency) is at the time owned or controlled by such Person, directly or indirectly through
Subsidiaries, and (ii) any partnership, association, limited liability company, joint venture or
other entity in which such Person, directly or indirectly through Subsidiaries, has more than a 50%
equity interest at the time.

Successor Notice: As defined in Section 8.1(b).

Swaps: With respect to any Person, payment obligations with respect to interest rate
swaps, currency swaps and similar obligations obligating such Person to make payments, whether
periodically or upon the happening of a contingency. For the purpose of this Agreement, the amount
of the obligation under any Swap shall be an amount determined in respect thereof as of the end of
the then most recently ended fiscal quarter of such Person, based on the assumption that such Swap
had terminated at the end of such fiscal quarter, and in making such determination, if any
agreement relating to such Swap provides for the netting of amounts payable by and to such Person
thereunder or if any such agreement provides for the simultaneous payment of amounts by and to such
Person, then in each such case, the amount of such obligation shall be the net amount so
determined.

Taxes: As defined in Section 3.3(d).

Termination Date: The earliest of:

(i) the date of termination (whether by scheduled expiration, termination on default or
otherwise) of the Liquidity Banks’ commitments under their respective Liquidity Agreement
(unless such commitments are renewed, extended or replaced on or before such date);

(ii) the Funding Termination Date;

(iii) the date designated by the Seller as the “Termination Date” on not less than
thirty (30) days’ notice to the Administrative Agent, provided that on such date the
Invested Amount has been reduced to zero, all accrued Earned Discount, CP Costs and fees
have been paid in full and all other amounts due to the Investors and the Agents have been
paid in full; and

(iv) the date on which any of the following shall occur:

(A) A Downgrading Event with respect to a Liquidity Bank shall have occurred
and been continuing for not less than 45 days, (x) the Downgraded Liquidity Bank
shall not have been replaced by a Qualifying Liquidity Bank pursuant to a Liquidity
Agreement in form and substance acceptable to the Purchaser and the Administrative
Agent, and (y) the commitment of such Downgraded Liquidity Bank under the Liquidity
Agreement shall not have been funded or collateralized in such a manner that such
Downgrading Event will not result in a reduction or withdrawal of the credit rating
applied to the Commercial

 

A-21

 

Paper Notes by any of the rating agencies then rating the Commercial Paper
Notes; or

(B) Purchaser shall become an “investment company” within the meaning of the
Investment Company Act of 1940, as amended.

Termination Notice: As defined in Section 8.4.

Threshold Amount: $1,000,000, or such other amount to which the Administrative Agent may
agree in writing from time to time.

Transaction Documents: This Agreement, the Lockbox Agreements, the Sale Agreement, the
Assurance Agreement, the Fee Letter, all amendments and waivers to any of the foregoing, and the
other documents to be executed and delivered in connection herewith.

Transaction Fees: Subject to the limitations set forth in the Fee Letter, all reasonable
expenses of the Agents incurred in connection with the consummation of this Agreement and each
other Transaction Document, including but not limited to (i) the legal fees of Kaye Scholer LLP,
counsel to the Administrative Agent, (ii) expenses incurred in connection with any due diligence
audit and (iii) out-of-pocket expenses of the Agents.

Twelve Month DSO: For any day, the highest Days Sales Outstanding that occurred during the
twelve (12) month period ending on such date of calculation.

UCC: The Uniform Commercial Code, as from time to time in effect in the applicable
jurisdiction or jurisdictions.

Unmatured Liquidation Event: Any event which, with the giving of notice or lapse of time,
or both, would become a Liquidation Event.

Unpaid Balance: With respect to any Receivable means at any time the unpaid amount
thereof, but excluding all late payment charges, delinquency charges and extension or collection
fees.

Unused Fee: The aggregate “Unused Fee” set forth in the Fee Letter.

Weekly Report: A report (for the week most recently ended) in the form of Exhibit
3.1(a)-2.

Weekly Reporting Date: For any period during which Weekly Reports are required to be
delivered, the first Business Day of each calendar week.

Weekly Reporting Period: For any Weekly Reporting Date, the calendar week ended on the
Friday immediately preceding such Weekly Reporting Date.

Weekly Settlement Date: One Business Day following each Weekly Reporting Date.

Weighted Average Term: On any day, the weighted average of the stated terms of all
Receivables (excluding Receivables owed by an Affiliate or employee of any Seller Party or

 

A-22

 

Originator) owned by Seller on such date, weighted on the basis of the Unpaid Balance of each such
Receivable, as of such date of calculation.

Yield Period: With respect to any Asset Tranche funded by a Liquidity Funding,

(a) the period commencing on the date of the initial Purchase of the Asset Interest,
the making of such Liquidity Funding, or the creation of such Asset Tranche pursuant to
Section 2.1 (whichever is latest) and ending such number of days thereafter as the
Purchaser Agent of the Liquidity Bank making such Liquidity Funding shall select; and

(b) each period commencing on the last day of the immediately preceding Yield Period
for the related Asset Tranche and ending such number of days thereafter as the Purchaser
Agent of the Liquidity Bank making such Liquidity Funding shall select;

provided, however, that

(i) any such Yield Period (other than a Yield Period consisting of one day) which would
otherwise end on a day that is not a Business Day shall be extended to the next succeeding
Business Day (unless the related Asset Tranche shall be accruing Earned Discount at a rate
determined by reference to BTMU LIBO Rate (Reserved), in which case if such succeeding
Business Day is in a different calendar month, such Yield Period shall instead be shortened
to the next preceding Business Day);

(ii) in the case of Yield Periods of one day for any Asset Tranche, (A) the initial
Yield Period shall be the date such Yield Period commences as described in
clause (a) above; and (B) any subsequently occurring Yield Period which is one day
shall, if the immediately preceding Yield Period is more than one day, be the last day of
such immediately preceding Yield Period, and if the immediately preceding Yield Period is
one day, shall be the next day following such immediately preceding Yield Period; and

(iii) in the case of any Yield Period for any Asset Tranche which commences before the
Termination Date and would otherwise end on a date occurring after such Termination Date,
such Yield Period shall end on such Termination Date and the duration of each such Yield
Period which commences on or after the Termination Date for such Asset Tranche shall be of
such duration as shall be selected by the applicable Purchaser Agent.

Yield Reserve: On any date of determination, the product of (i) 1.5, (ii) the Base Rate
and (iii) a fraction the numerator of which is the Twelve Month DSO and the denominator of which is
360.

(A) Other Terms. All accounting terms not specifically defined herein shall be
construed in accordance with GAAP. All terms used in Article 9 of the UCC in the State of New
York, and not specifically defined herein, are used herein as defined in such Article 9.

(B) Computation of Time Periods. Unless otherwise stated in this Agreement, in the
computation of a period of time from a specified date to a later specified date, the word “from”
means “from and including” and the words “to” and “until” each mean “to but excluding”.

 

A-23

 

SCHEDULE 6.1(n)

LIST OF OFFICES OF MASTER SERVICER AND SELLER WHERE RECORDS ARE KEPT

Seller

LPAC Corp.

2140 Lake Park Blvd.

Richardson, TX 75080-2254

Master Servicer

Lennox Industries Inc.

2100 Lake Park Blvd.

Richardson, TX 75080-2254

400 Norris Glen Road

Etobicoke, ON Canada M9C 1H5

Originator

Lennox Industries Inc.

2100 Lake Park Blvd.

Richardson, TX 75080-2254

400 Norris Glen Road

Etobicoke, ON Canada M9C 1H5

 

 

 

SCHEDULE 6.1(o)

LIST OF LOCKBOX BANKS

MAIN OFFICE ADDRESS, LOCKBOX & ACCOUNT NUMBERS

	 	 	 
	Lockbox	 	Account
	JPMorgan Chase Bank, N.A.
	 	 
	P.O. Box 910549
	 	 
	Dallas, TX 75391-0549
	 	 
	Lennox Industries Inc.
	 	 
	 
	 	 
	JPMorgan Chase Bank, N.A.
	 	 
	P.O. Box 915052
	 	 
	Dallas, TX 75391-0549
	 	 
	Lennox Industries Inc.
	 	 
	 
	 	 
	JPMorgan Chase Bank, N.A.
	 	 
	P.O. Box 731093
	 	 
	Dallas, TX 75391-0549
	 	 
	Lennox Industries Inc.
	 	 

 

 

 

SCHEDULE 6.1(u)

CAPITALIZATION OF SELLER

Common Stock

The authorized common stock of Seller is one hundred (100) shares of $.01 par value per share of
which one hundred (100) shares are issued and outstanding. Heatcraft owns eighty (80) shares and
Lennox owns twenty (20) shares.

Preferred Stock

The authorized preferred stock of the Seller is up to one million (1,000,000) shares of preferred
stock, par value $.01 per share of which 75,820 shares with a liquidation value of $1,000 per share
are outstanding, all of which are owned by Lennox.

Initial Seller Note

The Initial Seller Note has no outstanding principal balance.

 

 

 

SCHEDULE 14.2

NOTICE ADDRESSES

	 	 	 	 	 
	Seller:
	 	 
	 
	 

	 	LPAC Corp.	 	 
	 

	 	Mail:
	 	P. O. Box 799900
	 

	 	 	 	Dallas, TX 75379-9900
	 

	 	Physical Address:
	 	2140 Lake Park Blvd.
	 

	 	 	 	Richardson, TX 75080-2254
	 

	 	Attention:
	 	Rick Pelini, President and Treasurer
	 

	 	Phone No.:
	 	972-497-5410
	 

	 	Facsimile No.:
	 	972-497-6940

	 	 	 	 	 
	Master Servicer:	 	 
	 
	 

	 	Lennox Industries Inc.	 	 
	 

	 	Mail:
	 	P. O. Box 799900
	 

	 	 	 	Dallas, TX 75379-9900
	 

	 	Physical Address:
	 	2140 Lake Park Blvd.
	 

	 	 	 	Richardson, TX 75080-2254
	 

	 	Attention:
	 	Rick Pelini, Vice President and Treasurer
	 

	 	Phone No.:
	 	972-497-5410
	 

	 	Facsimile No.:
	 	972-497-6940

	 	 	 	 	 
	Copies to:	 	 
	 
	 	 	 	 
	 	 	John Torres, General Counsel
	 	 	Lennox International Inc.
	 

	 	Mail:
	 	P. O. Box 799900
	 

	 	 	 	Dallas, TX 75379-9900
	 

	 	Physical Address:
	 	2140 Lake Park Blvd.
	 

	 	 	 	Richardson, TX 75080-2254
	 

	 	Facsimile No.:
	 	972-497-5268

 

1

 

Administrative Agent, BTMU Purchaser Agent and BTMU Liquidity Bank:

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

Securitization Group

1251 Avenue of the Americas, 12th Floor

New York, NY 10020-1104

R. Greg Hurst

Fax: 212-782-6448

E-mail: rhurst@us.mufg.jp

and

Hermina “Nina” Batson

Fax: 212-782-6448

E-mail: hbatson@us.mufg.jp

BTMU Purchaser:

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

Securitization Group

1251 Avenue of the Americas, 12th Floor

New York, NY 10020-1104

Adit Reddy

Phone: 212-782-6957

Fax: 212-782-6448

E-mail: areddt@us.mufg.jp

Copies to:

Kaye Scholer LLP

425 Park Avenue

New York, NY 10022

Eric P. Marcus, Esq.

Fax Number: (212) 836-6537

E-mail: emarcus@kayescholer.com

 

2

 

EXHIBIT 1.2(a)

FORM OF PURCHASE REQUEST

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH,

1251 Avenue of the Americas, 12th Floor

New York, NY 10020-1104

Ladies and Gentlemen:

Reference is made to the Receivables Purchase Agreement dated as of November 25, 2009 (as
amended, restated, supplemented or otherwise modified from time to time, the “Purchase
Agreement”) among LPAC Corp., as the Seller, Lennox Industries Inc., as the Master Servicer
(and together with Seller, collectively referred to as the “Seller Parties”), Victory
Receivables Corporation, as a purchaser (the “BTMU Purchaser”) and The Bank of
Tokyo-Mitsubishi UFJ, Ltd., New York Branch, as administrative agent (the “Administrative
Agent”), BTMU Purchaser Agent (“BTMU Purchaser Agent”) and a liquidity bank (“BTMU
Liquidity Bank”). Capitalized terms defined in the Purchase Agreement are used herein with the
same meanings.

I. Each of the Seller Parties hereby certifies, represents and warrants to the Investors and
the Agents that on and as of the Purchase Date (as hereinafter defined):

(a) all applicable conditions precedent set forth in Article V of the Purchase
Agreement have been satisfied;

(b) each of its respective representations and warranties contained in Section 6.1 of
the Purchase Agreement will be true and correct, in all material respects, as if made on and as of
the Purchase Date;

(c) no event will have occurred and is continuing, or would result from the requested
Purchase, that constitutes a Liquidation Event or Unmatured Liquidation Event;

(d) after giving effect to the requested Purchase, the Invested Amount will not exceed the
available Purchase Limit, no Purchaser Group’s Purchaser Group Invested Amount will exceed such
Purchaser Group’s Purchaser Group Invested Amount and the Asset Interest will not exceed the
Allocation Limit; and

(e) the Termination Date shall not have occurred.

2. The undersigned, as Seller hereby requests that the BTMU Purchaser Group make a Purchase on                     , 200____ 

(the “Purchase Date”) in the amount of $                    .

3. Please disburse the proceeds of the Purchase as follows:

 

 

 

[Apply $                     to payment of Invested Amount due on the Purchase Date].

[Wire transfer $_____ 

to account no.                      at                      Bank, in [city, state], ABA No.
                    , Reference:                     ].

IN WITNESS WHEREOF, the Seller and the Master Servicer have caused this Purchase Request to be
executed and delivered as of this            day of                                         ,               
.

	 	 	 	 	 	 	 
	 	 	LPAC CORP.,	 	 
	 	 	as Seller	 	 
	 
	 	 	 	 	 	 
	 

	 	By: 	 	 	 
	 

	 	 	Name: 	 

	 	 
	 

	 	 	Title:
	 

	 	 
	 

	 	 	 	 

	 	 
	 	 	Lennox Industries Inc., as Master Servicer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 
	 

	 	 	Name: 
	 

	 	 
	 

	 	 	Title:
	 

	 	 
	 

	 	 	 	 

	 	 

 

2

 

EXHIBIT 3.1(a)

FORM OF INFORMATION PACKAGE

[See Attached]

 

 

 

EXHIBIT 3.1(a)-2

FORM OF WEEKLY REPORT

[See Attached]

 

 

 

EXHIBIT A-1

FORM OF LOCKBOX AGREEMENT

[See Attached]

 

 

 

EXHIBIT B

[NAME OF COMPANY]

FORM OF CERTIFICATE OF FINANCIAL OFFICER

This Certificate is made pursuant to the provisions of the Receivables Purchase Agreement
dated as of November 25, 2009 (as amended, restated, supplemented or otherwise modified from time
to time, the “Agreement”) among LPAC Corp., as the Seller, Lennox Industries Inc., as the
Master Servicer, Victory Receivables Corporation, as a purchaser and The Bank of Tokyo-Mitsubishi
UFJ, Ltd., New York Branch, as administrative agent, BTMU Purchaser Agent and a liquidity bank.
The capitalized terms used, but not defined, herein have the meanings assigned to them in the
Agreement.

The undersigned [Chief Financial Officer/Treasurer] of [Name of Company] (the
“Company”) hereby certifies that the financial statements being delivered concurrently
herewith fairly present the financial condition, assets, liabilities and results of operations of
the Company in accordance with generally accepted accounting principles consistently applied[,
subject to normal year-end audit adjustments].

	 	 	 	 	 	 	 
	 	 	[NAME OF COMPANY]	 	 
	 
	 	 	 	 	 	 
	 

	 	Name:	 	 	 	 
	 

	 	 	 	 

	 	 
	 

	 	Title:	 	 	 	 
	 

	 	 	 	 

	 	 
	 

	 	Dated:	 	 	 	 
	 

	 	 	 	 

	 	 

 

 

 

EXHIBIT C

LENNOX INDUSTRIES INC.

CREDIT AND COLLECTION POLICY

 

 

 

EXHIBIT D

FORM OF ASSIGNMENT AND ACCEPTANCEexv4w1

Exhibit 4.1

Execution Copy

 

VIASYSTEMS, INC.

AND EACH OF THE GUARANTORS PARTY HERETO

12.00% SENIOR SECURED NOTES DUE 2015

 

INDENTURE

Dated as of November 24, 2009

 

Wilmington Trust FSB

Trustee

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page
	ARTICLE 1. 

DEFINITIONS
	 
	 	 	 	 
	Section 1.01 Definitions

	 	 	1	 
	Section 1.02 Other Definitions

	 	 	28	 
	Section 1.03 Rules of Construction

	 	 	28	 
	 
	 	 	 	 
	ARTICLE 2. 

THE NOTES
	 
	 	 	 	 
	Section 2.01 Form and Dating

	 	 	29	 
	Section 2.02 Execution and Authentication

	 	 	30	 
	Section 2.03 Registrar and Paying Agent

	 	 	30	 
	Section 2.04 Paying Agent to Hold Money in Trust

	 	 	31	 
	Section 2.05 Holder Lists

	 	 	31	 
	Section 2.06 Transfer and Exchange

	 	 	31	 
	Section 2.07 Replacement Notes

	 	 	41	 
	Section 2.08 Outstanding Notes

	 	 	42	 
	Section 2.09 Treasury Notes

	 	 	42	 
	Section 2.10 Temporary Notes

	 	 	42	 
	Section 2.11 Cancellation

	 	 	42	 
	Section 2.12 Defaulted Interest

	 	 	43	 
	Section 2.13 CUSIP Numbers

	 	 	43	 
	 
	 	 	 	 
	ARTICLE 3. 

REDEMPTION AND PREPAYMENT
	 
	 	 	 	 
	Section 3.01 Notices to Trustee

	 	 	43	 
	Section 3.02 Selection of Notes to Be Redeemed or Purchased

	 	 	44	 
	Section 3.03 Notice of Redemption

	 	 	44	 
	Section 3.04 Effect of Notice of Redemption

	 	 	45	 
	Section 3.05 Deposit of Redemption or Purchase Price

	 	 	45	 
	Section 3.06 Notes Redeemed or Purchased in Part

	 	 	45	 
	Section 3.07 Optional Redemption

	 	 	45	 
	Section 3.08 Mandatory Redemption

	 	 	46	 
	Section 3.09 Offer to Purchase by Application of Excess Proceeds

	 	 	46	 
	 
	 	 	 	 
	ARTICLE 4. 

COVENANTS
	 
	 	 	 	 
	Section 4.01 Payment of Notes

	 	 	48	 
	Section 4.02 Maintenance of Office or Agency

	 	 	48	 
	Section 4.03 Reports

	 	 	49	 
	Section 4.04 Compliance Certificate

	 	 	50	 
	Section 4.05 Taxes

	 	 	50	 
	Section 4.06 Stay, Extension and Usury Laws

	 	 	51	 
	Section 4.07 Restricted Payments

	 	 	51	 
	Section 4.08 Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries

	 	 	55	 
	Section 4.09 Incurrence of Indebtedness and Issuance of Preferred Stock

	 	 	57	 
	Section 4.10 Asset Sales

	 	 	61	 

i

 

	 	 	 	Page	 
	 
	Section 4.11 Transactions with Affiliates

	 	 	63	 
	Section 4.12 Liens

	 	 	64	 
	Section 4.13 Business Activities

	 	 	64	 
	Section 4.14 Corporate Existence

	 	 	65	 
	Section 4.15 Offer to Repurchase Upon Change of Control

	 	 	65	 
	Section 4.16 Additional Note Guarantees

	 	 	66	 
	Section 4.17 Designation of Restricted and Unrestricted Subsidiaries

	 	 	67	 
	Section 4.18 Redemption of the Senior Subordinated Notes

	 	 	68	 
	Section 4.19 Additional Collateral

	 	 	68	 
	 
	 	 	 	 
	ARTICLE 5. 

SUCCESSORS
	 
	 	 	 	 
	Section 5.01 Merger, Consolidation or Sale of Assets

	 	 	68	 
	Section 5.02 Successor Corporation Substituted

	 	 	69	 
	 
	 	 	 	 
	ARTICLE 6. 

DEFAULTS AND REMEDIES
	 
	 	 	 	 
	Section 6.01 Events of Default

	 	 	70	 
	Section 6.02 Acceleration

	 	 	72	 
	Section 6.03 Other Remedies

	 	 	72	 
	Section 6.04 Waiver of Past Defaults

	 	 	72	 
	Section 6.05 Control by Majority

	 	 	73	 
	Section 6.06 Limitation on Suits

	 	 	73	 
	Section 6.07 Rights of Holders of Notes to Receive Payment

	 	 	73	 
	Section 6.08 Collection Suit by Trustee

	 	 	73	 
	Section 6.09 Trustee May File Proofs of Claim

	 	 	74	 
	Section 6.10 Priorities

	 	 	74	 
	Section 6.11 Undertaking for Costs

	 	 	74	 
	 
	 	 	 	 
	ARTICLE 7. 

TRUSTEE
	 
	 	 	 	 
	Section 7.01 Duties of Trustee

	 	 	75	 
	Section 7.02 Rights of Trustee

	 	 	76	 
	Section 7.03 Individual Rights of Trustee

	 	 	77	 
	Section 7.04 Trustee’s Disclaimer

	 	 	77	 
	Section 7.05 Notice of Defaults

	 	 	77	 
	Section 7.06 Compensation and Indemnity

	 	 	77	 
	Section 7.07 Replacement of Trustee

	 	 	78	 
	Section 7.08 Successor Trustee by Merger, etc.

	 	 	79	 
	Section 7.09 Eligibility; Disqualification

	 	 	79	 
	 
	 	 	 	 
	ARTICLE 8. 

LEGAL DEFEASANCE AND COVENANT DEFEASANCE
	 
	 	 	 	 
	Section 8.01 Option to Effect Legal Defeasance or Covenant Defeasance

	 	 	79	 
	Section 8.02 Legal Defeasance and Discharge

	 	 	79	 
	Section 8.03 Covenant Defeasance

	 	 	80	 
	Section 8.04 Conditions to Legal or Covenant Defeasance

	 	 	80	 
	Section 8.05 Deposited Money and Government Securities to be Held in Trust; Other Miscellaneous
Provisions

	 	 	81	 
	Section 8.06 Repayment to Company

	 	 	82	 
	Section 8.07 Reinstatement

	 	 	82	 

ii

 

	 	 	 	Page	 
	ARTICLE 9. 

AMENDMENT, SUPPLEMENT AND WAIVER
	 
	Section 9.01 Without Consent of Holders of Notes

	 	 	83	 
	Section 9.02 With Consent of Holders of Notes

	 	 	84	 
	Section 9.03 Revocation and Effect of Consents

	 	 	85	 
	Section 9.04 Notation on or Exchange of Notes

	 	 	85	 
	Section 9.05 Trustee to Sign Amendments, etc.

	 	 	86	 
	 
	 	 	 	 
	ARTICLE 10. 

NOTE GUARANTEES
	 
	 	 	 	 
	Section 10.01 Guarantee

	 	 	86	 
	Section 10.02 Limitation on Guarantor Liability

	 	 	87	 
	Section 10.03 Execution and Delivery of Note Guarantee

	 	 	87	 
	Section 10.04 Guarantors May Consolidate, etc., on Certain Terms

	 	 	88	 
	Section 10.05 Releases

	 	 	88	 
	 
	 	 	 	 
	ARTICLE 11. 

SATISFACTION AND DISCHARGE
	 
	 	 	 	 
	Section 11.01 Satisfaction and Discharge

	 	 	89	 
	Section 11.02 Application of Trust Money

	 	 	90	 
	 
	 	 	 	 
	ARTICLE 12. 

COLLATERAL AND SECURITY
	 
	 	 	 	 
	Section 12.01 Security Interest

	 	 	90	 
	Section 12.02 Intercreditor Agreement

	 	 	91	 
	Section 12.03 Collateral Trust Agreement

	 	 	91	 
	Section 12.04 Equal and Ratable Sharing of Collateral by Holders of Shared Lien Debt

	 	 	91	 
	Section 12.05 Release of Liens in Respect of Notes

	 	 	92	 
	Section 12.06 Relative Rights

	 	 	92	 
	Section 12.07 Collateral Trustee

	 	 	93	 
	Section 12.08 Further Assurances; Insurance

	 	 	94	 
	 
	 	 	 	 
	ARTICLE 13. 

MISCELLANEOUS
	 
	 	 	 	 
	Section 13.01 Notices

	 	 	95	 
	Section 13.02 Certificate and Opinion as to Conditions Precedent

	 	 	96	 
	Section 13.03 Statements Required in Certificate or Opinion

	 	 	96	 
	Section 13.04 Rules by Trustee and Agents

	 	 	96	 
	Section 13.05 No Personal Liability of Directors, Officers, Employees and Stockholders

	 	 	96	 
	Section 13.06 Governing Law

	 	 	97	 
	Section 13.07 No Adverse Interpretation of Other Agreements

	 	 	97	 
	Section 13.08 Successors

	 	 	97	 
	Section 13.09 Severability

	 	 	97	 
	Section 13.10 Counterpart Originals

	 	 	97	 
	Section 13.11 Table of Contents, Headings, etc.

	 	 	97	 

EXHIBITS

	 	 	 
	Exhibit A1

	 	FORM OF NOTE
	Exhibit A2

	 	FORM OF REGULATION S TEMPORARY GLOBAL NOTE
	Exhibit B

	 	FORM OF CERTIFICATE OF TRANSFER

iii

 

	 	 	 
	Exhibit C

	 	FORM OF CERTIFICATE OF EXCHANGE
	Exhibit D

	 	FORM OF CERTIFICATE FOR ACQUIRING INSTITUTIONAL ACCREDITED INVESTOR
	Exhibit E

	 	FORM OF NOTE GUARANTEE
	Exhibit F

	 	FORM OF SUPPLEMENTAL INDENTURE

iv

 

     INDENTURE dated as of November 24, 2009 among Viasystems, Inc., a Delaware corporation (the
“Company”), the Guarantors party hereto and Wilmington Trust FSB, as trustee (the “Trustee”).

     The Company, the Guarantors and the Trustee agree as follows for the benefit of each other and
for the equal and ratable benefit of the Holders (as defined below) of the 12.00% Senior Secured
Notes due 2015 (the “Notes”):

ARTICLE
1.

DEFINITIONS

Section 1.01 Definitions.

     “144A Global Note” means a Global Note substantially in the form of Exhibit A1 hereto bearing
the Global Note Legend and the Private Placement Legend and deposited with or on behalf of, and
registered in the name of, the Depositary or its nominee that will be issued in a denomination
equal to the outstanding principal amount of the Notes sold in reliance on Rule 144A.

     “Acquired Debt” means, with respect to any specified Person:

          (1) Indebtedness of any other Person existing at the time such other Person is merged
with or into or became a Subsidiary of such specified Person, whether or not such
Indebtedness is incurred in connection with, or in contemplation of, such other Person
merging with or into, or becoming a Restricted Subsidiary of, such specified Person; and

          (2) Indebtedness secured by a Lien encumbering any asset acquired by such specified
Person.

     “Act of Required Debtholders” means, as to any matter at any time, a direction in writing
delivered to the Collateral Trustee by or with the written consent of the holders of more than 50%
of the sum of:

          (1) the aggregate outstanding principal amount of Shared Lien Debt (including the face
amount of outstanding letters of credit whether or not then available or drawn); and

          (2) the aggregate unfunded commitments to extend credit which, when funded, would
constitute Shared Lien Debt;

provided, however, that after (1) the termination or expiration of all commitments to extend credit
that would constitute Shared Lien Debt, (2) the payment in full in cash of the principal of and
interest and premium (if any) on all Shared Lien Debt (other than any undrawn letters of credit),
(3) the discharge or cash collateralization (at the lower of (a) 105% of the aggregate undrawn
amount or (b) the percentage of the aggregate undrawn amount required for release of Liens under
the terms of the applicable Shared Lien Document) of all outstanding letters of credit constituting
Shared Lien Debt, and (4) the payment in full in cash of all other Shared Lien Obligations other
than any Shared Lien Obligations consisting of Hedging Obligations and Banking Product Obligations,
the term “Act of Required Debtholders” will mean the holders of more than 50% of the sum of the
aggregate “settlement amount” (or similar term) (as defined in the applicable Hedge Agreement
relating to Shared Lien Obligations consisting of a Hedging Obligation) or, with respect to any
such Hedge Agreement that has been terminated in accordance with its terms, the amount then due and
payable (including any termination payments then due) under such Hedge Agreement, under all Hedge
Agreements relating to Shared Lien Obligations consisting of Hedging Obligations; provided that the
“settlement amount” (or similar term) as of the last Business Day of the

1

 

month preceding any date of determination shall be calculated by the appropriate swap
counterparties and reported to the Collateral Trustee upon request; provided further, that any
Hedging Obligation with a “settlement amount” (or similar term) that is a negative number shall be
disregarded for purposes of all calculations required by the term “Act of Required Debtholders.”

     For purposes of this definition, (a) Shared Lien Debt registered in the name of, or
beneficially owned by, the Company or any Affiliate of the Company will be deemed not to be
outstanding, and (b) votes will be determined in accordance with Section 7.2 of the Collateral
Trust Agreement.

     “Additional Notes” means additional Notes (other than the Initial Notes) issued under this
Indenture in accordance with Section 2.02, Section 4.09 and Section 4.12 hereof, as part of the
same series as the Initial Notes.

     “Affiliate” of any specified Person means any other Person directly or indirectly controlling
or controlled by or under direct or indirect common control with such specified Person. For
purposes of this definition, “control,” as used with respect to any Person, means the possession,
directly or indirectly, of the power to direct or cause the direction of the management or policies
of such Person, whether through the ownership of voting securities, by agreement or otherwise. For
purposes of this definition, the terms “controlling,” “controlled by” and “under common control
with” have correlative meanings.

     “Agent” means any Registrar, co-registrar, Paying Agent or additional paying agent.

     “Applicable Premium” means, with respect to any Note on any Redemption Date, the greater of:

          (1) 1.0% of the principal amount of the Note; or

          (2) the excess of: (a) the present value at such Redemption Date of (i) the redemption
price of the Note at July 15, 2012, (such redemption price being set forth in the table
appearing in Section 3.07 hereof) plus (ii) all required interest payments due on the Note
through July 15, 2012, (excluding accrued but unpaid interest to the applicable Redemption
Date), computed using a discount rate equal to the Treasury Rate as of such Redemption Date
plus 50 basis points; over (b) the principal amount of the Note.

     “Applicable Procedures” means, with respect to any transfer or exchange of or for beneficial
interests in any Global Note, the rules and procedures of the Depositary, Euroclear and Clearstream
that apply to such transfer or exchange.

     “Asset Sale” means:

          (1) the sale, lease, conveyance or other disposition of any assets or rights (whether
voluntarily, or in any involuntary transaction that generates Net Proceeds) by the Company
or any of the Company’s Restricted Subsidiaries; provided that the sale, lease, conveyance
or other disposition of all or substantially all of the assets of the Company and its
Restricted Subsidiaries taken as a whole will be governed by Section 4.15 of this Indenture
and/or Section 5.01 of this Indenture and not by Section 4.10 of this Indenture; and

          (2) the issuance or sale of Equity Interests in any of the Company’s Restricted
Subsidiaries.

Notwithstanding the preceding, none of the following items will be deemed to be an Asset Sale:

2

 

          (1) a sale or other disposition of assets for net proceeds that, when taken
collectively with the net proceeds of any other sales or dispositions under this clause (1)
that were consummated since the beginning of the calendar year in which the sale or
disposition is consummated, do not exceed $1.0 million;

          (2) a transfer of assets between or among the Company and its Restricted Subsidiaries;

          (3) an issuance of Equity Interests by a Restricted Subsidiary of the Company to the
Company or to a Restricted Subsidiary of the Company;

          (4) the sale, lease, conveyance or other disposition of products, services or accounts
receivable in the ordinary course of business (whether or not for cash) and any sale or
other disposition of damaged, worn-out or obsolete assets in the ordinary course of business
(including the abandonment or other disposition of intellectual property that is, in the
reasonable judgment of the Company, no longer economically practicable to maintain or useful
in the conduct of the business of the Company and its Restricted Subsidiaries taken as a
whole);

          (5) licenses and sublicenses by the Company or any of its Restricted Subsidiaries of
software or intellectual property in the ordinary course of business;

          (6) any surrender or waiver of contract rights or settlement, release, recovery on or
surrender of contract, tort or other claims in the ordinary course of business;

          (7) the granting of Liens not prohibited by Section 4.12 of this Indenture;

          (8) the sale or other disposition of cash or Cash Equivalents;

          (9) a Permitted Investment or a Restricted Payment that does not violate Section 4.07
of this Indenture;

          (10) voluntary terminations of Hedging Obligations; and

          (11) any sale or other disposition of any of the Specified Assets.

     “Banking Product Obligations” means, with respect to the Company or any Guarantor, any
obligations of the Company or such Guarantor owed to any Person in respect of treasury management
services (including, without limitation, services in connection with operating, collections,
payroll, trust, or other depository or disbursement accounts, including automated clearinghouse,
e-payable, electronic funds transfer, wire transfer, controlled disbursement, overdraft,
depositary, information reporting, lock-box and stop payment services), commercial credit card and
merchant card services, stored valued card services, other cash management services, or lock-box
leases and other banking products or services related to any of the foregoing.

     “Bankruptcy Code” means Title 11 of the United States Code.

     “Beneficial Owner” has the meaning assigned to such term in Rule 13d-3 and Rule 13d-5 under
the Exchange Act, except that in calculating the beneficial ownership of any particular “Person”
(as that term is used in Section 13(d)(3) of the Exchange Act), such “Person” will be deemed to
have beneficial ownership of all securities that such “Person” has the right to acquire by
conversion or exercise of other securities, whether such right is currently exercisable or is
exercisable only upon the occurrence of a

3

 

subsequent condition. The terms “Beneficially Owns” and “Beneficially Owned” have a
corresponding meaning.

     “Board of Directors” means:

          (1) with respect to a corporation, the board of directors of the corporation or any
committee thereof duly authorized to act on behalf of such board;

          (2) with respect to a partnership, the Board of Directors of the general partner of the
partnership;

          (3) with respect to a limited liability company, the managing member or members or any
controlling committee of managing members thereof; and

          (4) with respect to any other Person, the board or committee of such Person serving a
similar function.

     “Borrowing Base” means, as of any date, an amount equal to:

          (1) 85% of the face amount of all accounts receivable owned by the Company and its
Restricted Subsidiaries as of the end of the most recent month preceding such date for which
internal financial statements are available that were not more than 180 days past due; plus

          (2) the sum of 85% of the appraised value of equipment owned by the Company and its
Restricted Subsidiaries plus 65% of the appraised value of real property owned by the
Company and its Restricted Subsidiaries.

     “Business Day” means any day other than a Legal Holiday.

     “Calculation Date” has the meaning assigned to it in the definition of “Fixed Charge Coverage
Ratio” in this Section 1.01.

     “Capital Lease Obligation” means, at the time any determination is to be made, the amount of
the liability in respect of a capital lease that would at that time be required to be capitalized
on a balance sheet prepared in accordance with GAAP, and the Stated Maturity thereof shall be the
date of the last payment of rent or any other amount due under such lease prior to the first date
upon which such lease may be prepaid by the lessee without payment of a penalty.

     “Capital Stock” means:

          (1) in the case of a corporation, corporate stock;

          (2) in the case of an association or business entity, any and all shares, interests,
participations, rights or other equivalents (however designated) of corporate stock;

          (3) in the case of a partnership or limited liability company, partnership interests
(whether general or limited) or membership interests; and

          (4) any other interest or participation that confers on a Person the right to receive a
share of the profits and losses of, or distributions of assets of, the issuing Person, but
excluding from all of the foregoing any debt securities convertible into Capital Stock,
whether or not such debt securities include any right of participation with Capital Stock.

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     “Cash Equivalents” means:

          (1) United States dollars;

          (2) securities issued or directly and fully guaranteed or insured by the United States
government or any agency or instrumentality of the United States government (provided that
the full faith and credit of the United States is pledged in support of those securities)
having maturities of not more than one year from the date of acquisition;

          (3) certificates of deposit and eurodollar time deposits with maturities of six months
or less from the date of acquisition, bankers’ acceptances with maturities not exceeding one
year and overnight bank deposits, in each case, with any domestic commercial bank having
capital and surplus in excess of $250.0 million and a Thomson Bank Watch Rating of “B” or
better;

          (4) repurchase obligations with a term of not more than seven days for underlying
securities of the types described in clauses (2) and (3) above entered into with any
financial institution meeting the qualifications specified in clause (3) above;

          (5) commercial paper having one of the two highest ratings obtainable from Moody’s
Investors Service, Inc. or Standard & Poor’s Rating Services and, in each case, maturing
within one year after the date of acquisition;

          (6) money market funds at least 95% of the assets of which constitute Cash Equivalents
of the kinds described in clauses (1) through (5) of this definition;

          (7) currency other than United States dollars held from time to time in the ordinary
course of business;

          (8) securities issued or directly and fully guaranteed by a sovereign nation or any
agency thereof (provided that the full faith and credit of such sovereign nation is pledged
in support thereof) in which the Company and/or its Restricted Subsidiaries are conducting
business having maturities of not more than one year from the date of acquisition; and

          (9) investments of the type and maturity described in clauses (3) through (5) of this
definition of foreign obligors, which investments or obligors satisfy the requirements and
have ratings described in such clauses.

     “Change of Control” means the occurrence of any of the following:

          (1) the direct or indirect sale, lease, transfer, conveyance or other disposition
(other than by way of merger or consolidation), in one or a series of related transactions,
of all or substantially all of the properties or assets of the Company and its Subsidiaries
taken as a whole to any “person” (as that term is used in Section 13(d) of the Exchange Act)
other than a Principal;

          (2) the adoption of a plan relating to the liquidation or dissolution of the Company;
or

          (3) the consummation of any transaction (including, without limitation, any merger or
consolidation), the result of which is that any “person” (as defined above), other than a
Principal, becomes the Beneficial Owner, directly or indirectly, of more than 50% of the
Voting Stock of the Company, measured by voting power rather than number of shares.

5

 

     “Chinese Credit Facility” means that certain credit facility provided pursuant to a credit
facility agreement, dated as of August 17, 2009, between Guangzhou Termbray Electronics Technology
Limited Company, a company organized under the law of the People’s Republic of China, and China
Construction Bank Guangzhou Economic and Technological Development Zone Sub-Branch providing for up
to RMB 200.0 million of borrowings, including any related notes, Guarantees, collateral documents,
instruments and agreements executed in connection therewith, and, in each case, as amended,
restated, modified, renewed, refunded, replaced in any manner (whether upon or after termination or
otherwise) or refinanced (including by means of sales of debt securities to institutional
investors) in whole or in part from time to time.

     “Clearstream” means Clearstream Banking, S.A. and any successor thereto.

     “Collateral” shall have the meaning assigned to it in the applicable Security Documents, which
shall include all properties and assets (including, without limitation, Capital Stock), whether
real, personal or mixed, of the Company, the Guarantors and any other Person that pledges, or
grants a security interest in, any collateral as security for any Priority Lien Obligation, in each
case, now or hereafter existing or arising or in which the Company, any Guarantor or any such other
Person now has or hereafter acquires an interest and wherever the same may be located, and shall
exclude (1) the Excluded Assets (as defined in the applicable Security Documents) and (2) any
properties and assets in which the Collateral Trustee is required to release its Liens pursuant to
Section 3.2 of the Collateral Trust Agreement; provided that, if such Liens are required to be
released as a result of the sale, transfer or other disposition of any properties or assets of the
Company or any other Guarantor, such assets or properties will cease to be excluded from the
Collateral if the Company or any other Grantor thereafter acquires or reacquires such assets or
properties.

     “Collateral Trust Agreement” means the Collateral Trust Agreement, dated as of the date of
this Indenture, among the Company, the Guarantors from time to time party thereto, the Trustee, the
other Shared Lien Representatives from time to time party thereto and the Collateral Trustee, as
amended, restated, adjusted, waived, renewed, extended, supplemented or otherwise modified from
time to time.

     “Collateral Trustee” means Wilmington Trust FSB, in its capacity as collateral trustee under
the Collateral Trust Agreement, together with its successors and permitted assigns in such
capacity.

     “Company” has the meaning assigned to it in the preamble to this Indenture.

     “Consolidated Cash Flow” means, with respect to any specified Person for any period, the
Consolidated Net Income of such Person for such period plus, without duplication:

          (1) provision for taxes based on income or profits of such Person and its Restricted
Subsidiaries for such period, to the extent that such provision for taxes was deducted in
computing such Consolidated Net Income; plus

          (2) the Fixed Charges of such Person and its Restricted Subsidiaries for such period,
to the extent that such Fixed Charges were deducted in computing such Consolidated Net
Income; plus

          (3) exchange or translation losses on foreign currencies to the extent such losses were
deducted in computing such Consolidated Net Income; plus

          (4) the deferred portion of any fees under the Monitoring and Oversight Agreement,
subject to deductions when actually paid in subsequent periods; plus

6

 

          (5) restructuring charges or write-offs recorded following the date of this Indenture
in an aggregate amount not to exceed $40.0 million; plus

          (6) depreciation, amortization (including amortization of intangibles but excluding
amortization of prepaid cash expenses that were paid in a prior period) and other non-cash
charges or expenses (excluding any such non-cash charge or expense to the extent that it
represents an accrual of or reserve for cash charges or expenses in any future period or
amortization of a prepaid cash charge or expense that was paid in a prior period) of such
Person and its Restricted Subsidiaries for such period to the extent that such depreciation,
amortization and other non-cash charges or expenses were deducted in computing such
Consolidated Net Income; minus

          (7) exchange or translation gains on foreign currencies to the extent such gains were
added in computing such Consolidated Net Income; minus

          (8) non-cash items increasing such Consolidated Net Income for such period, other than
the accrual of revenue in the ordinary course of business,

in each case, on a consolidated basis and determined in accordance with GAAP.

     Notwithstanding the foregoing, the income tax expense, depreciation expense and amortization
expense of a Restricted Subsidiary of the Company will be included in Consolidated Cash Flow only
to the extent (and in the same proportion) that the net income of such Restricted Subsidiary was
included in calculating Consolidated Net Income.

     “Consolidated Net Income” means, with respect to any specified Person for any period, the
aggregate of the Net Income of such Person and its Restricted Subsidiaries for such period, on a
consolidated basis, determined in accordance with GAAP; provided that:

          (1) the Net Income of any Person that is not a Restricted Subsidiary or that is
accounted for by the equity method of accounting will be included only to the extent of the
lesser of (a) dividends or distributions paid to the Company or any of its Restricted
Subsidiaries by the specified Person and (b) the Net Income of the specified Person (but in
no event less than zero);

          (2) the net loss of any Person that is not a Restricted Subsidiary or that is accounted
for by the equity method of accounting (other than an Unrestricted Subsidiary) will be
included only to the extent of the aggregate Investment of the Company or any of its
Restricted Subsidiaries in the specified Person;

          (3) the Net Income of any Restricted Subsidiary will be excluded to the extent that the
declaration or payment of dividends or similar distributions by that Restricted Subsidiary
of that Net Income is not at the date of determination permitted without any prior
governmental approval (that has not been obtained) or, directly or indirectly, by operation
of the terms of its charter or any agreement, instrument, judgment, decree, order, statute,
rule or governmental regulation applicable to that Restricted Subsidiary or its stockholders
(other than restrictions in effect on the date of this Indenture with respect to a
Restricted Subsidiary of the Company and other than restrictions that are created or exist
in compliance with Section 4.08 of this Indenture);

          (4) the cumulative effect of a change in accounting principles will be excluded;

7

 

          (5) non-cash gains and losses attributable to movement in the mark-to-market valuation
of Hedging Obligations pursuant to Accounting Standards Codification Topic 815 will be
excluded;

          (6) charges relating to the write-off of acquired in-process research and development
expenses and other intangibles in connection with the application of the purchase method of
accounting to the net assets of a Person acquired by the Company and its Restricted
Subsidiaries and charges relating to write-off of intangible assets will be excluded;

          (7) any non-cash expenses attributable to grants or exercises of employee stock options
will be excluded; and

          (8) notwithstanding clause (1) above, the Net Income of any Unrestricted Subsidiary
will be excluded, whether or not distributed to the specified Person or one of its
Subsidiaries.

     “Consolidated Shared Lien Debt Ratio” means, as of any date of determination, the ratio of (1)
the aggregate principal amount of Shared Lien Debt (including the Notes and the Note Guarantees) of
the Company and its Subsidiaries outstanding as of such date to (2) the Consolidated Cash Flow of
the Company for the most recently ended four full fiscal quarters for which internal financial
statements are available immediately preceding the date of determination, with such adjustments as
are consistent with the adjustment provisions set forth in the definition of “Fixed Charge Coverage
Ratio” in this Section 1.01.

     “Corporate Trust Office of the Trustee” will be at the address of the Trustee specified in
Section 13.01 hereof or such other address as to which the Trustee may give notice to the Company.

     “Credit Facilities” means, one or more debt facilities or other financing arrangements
(including, without limitation, commercial paper facilities or indentures) providing for revolving
credit loans, term loans, letters of credit or other long-term indebtedness, including any notes,
mortgages, guarantees, collateral documents, instruments and agreements executed in connection
therewith, and any amendments, supplements, modifications, extensions, renewals, restatements or
refundings thereof and any indentures or credit facilities or commercial paper facilities that
replace, refund or refinance any part of the loans, notes, other credit facilities or commitments
thereunder, including any such replacement, refunding or refinancing facility or indenture that
increases the amount permitted to be borrowed thereunder or alters the maturity thereof (provided
that such increase in borrowings is permitted under Sections 4.09 and 4.12 hereof) or adds
Restricted Subsidiaries as additional borrowers or guarantors thereunder and whether by the same or
any other agent, lender or group of lenders.

     “Custodian” means the Trustee, as custodian with respect to the Notes in global form, or any
successor entity thereto.

     “Default” means any event that is, or with the passage of time or the giving of notice or both
would be, an Event of Default.

     “Definitive Note” means a certificated Note registered in the name of the Holder thereof and
issued in accordance with Section 2.06 hereof, substantially in the form of Exhibit A1 hereto
except that such Note shall not bear the Global Note Legend and shall not have the “Schedule of
Exchanges of Interests in the Global Note” attached thereto.

     “Depositary” means, with respect to the Notes issuable or issued in whole or in part in global
form, the Person specified in Section 2.03 hereof as the Depositary with respect to the Notes, and
any and

8

 

all successors thereto appointed as depositary hereunder and having become such pursuant to
the applicable provision of this Indenture.

     “Designated Noncash Consideration” means any non-cash consideration received by the Company or
any of its Restricted Subsidiaries in connection with an Asset Sale that is designated as
Designated Noncash Consideration pursuant to an Officers’ Certificate delivered to the Trustee,
which Officers’ Certificate shall set forth the Fair Market Value of such Designated Noncash
Consideration and the basis for determining such Fair Market Value.

     “Disqualified Stock” means any Capital Stock that, by its terms (or by the terms of any
security into which it is convertible or for which it is exchangeable, in each case at the option
of the holder of the Capital Stock), or upon the happening of any event, matures or is mandatorily
redeemable, pursuant to a sinking fund obligation or otherwise, or redeemable at the option of the
holder of the Capital Stock, in whole or in part, on or prior to the date that is 91 days after the
date on which the Notes mature. Notwithstanding the preceding sentence, any Capital Stock that
would constitute Disqualified Stock solely because the holders of the Capital Stock have the right
to require the Company to repurchase such Capital Stock upon the occurrence of a change of control
or an asset sale shall not constitute Disqualified Stock if the terms of such Capital Stock provide
that the Company may not repurchase or redeem any such Capital Stock pursuant to such provisions
unless such repurchase or redemption complies with Section 4.07 hereof. The amount of Disqualified
Stock deemed to be outstanding at any time for the purposes of this Indenture will be the maximum
amount that the Company and its Restricted Subsidiaries may become obligated to pay upon the
maturity of, or pursuant to any mandatory redemption provisions of, such Disqualified Stock,
exclusive of accrued dividends.

     “Domestic Subsidiary” means any Restricted Subsidiary of the Company that was formed under the
laws of the United States, any state of the United States or the District of Columbia or that
guarantees or otherwise provides direct credit support for any Indebtedness of the Company or any
other Domestic Subsidiary of the Company.

     “Equity Interests” means Capital Stock and all warrants, options or other rights to acquire
Capital Stock (but excluding any debt security that is convertible into, or exchangeable for,
Capital Stock).

     “Equity Offering” means an offer and sale for cash by the Company, Parent or any direct or
indirect parent company of the Company of its Equity Interests.

     “Euroclear” means Euroclear Bank, S.A./N.V., as operator of the Euroclear system and any
successor thereto.

     “Exchange Act” means the Securities Exchange Act of 1934, as amended.

     “Existing Indebtedness” means the Indebtedness of the Company and its Subsidiaries (other than
Indebtedness under the Chinese Credit Facility and the Senior Subordinated Notes) in existence on
the date of this Indenture, until such amounts are repaid.

     “Fair Market Value” means the value that would be paid by a willing buyer to an unaffiliated
willing seller in a transaction not involving distress or necessity of either party, determined in
good faith by the Board of Directors of the Company (unless otherwise provided in this Indenture).

     “Fixed Charge Coverage Ratio” means with respect to any specified Person for any period, the
ratio of the Consolidated Cash Flow of such Person for such period to the Fixed Charges of such
Person for such period. In the event that the specified Person or any of its Restricted
Subsidiaries incurs,

9

 

assumes, guarantees, repays, repurchases, redeems, defeases or otherwise discharges any
Indebtedness (other than ordinary working capital borrowings) or issues, repurchases or redeems
preferred stock subsequent to the commencement of the period for which the Fixed Charge Coverage
Ratio is being calculated and on or prior to the date on which the event for which the calculation
of the Fixed Charge Coverage Ratio is made (the “Calculation Date”), then the Fixed Charge Coverage
Ratio will be calculated giving pro forma effect to such incurrence, assumption, Guarantee,
repayment, repurchase, redemption, defeasance or other discharge of Indebtedness (other than the
repayment, repurchase, redemption, defeasance or other discharge of Indebtedness under a revolving
credit or similar arrangement unless the revolving credit indebtedness has been permanently repaid
and has not been replaced), or such issuance, repurchase or redemption of preferred stock, and the
use of the proceeds therefrom, as if the same had occurred at the beginning of the applicable
four-quarter reference period.

     In addition, for purposes of calculating the Fixed Charge Coverage Ratio:

     (1) acquisitions that have been made by the specified Person or any of its Restricted
Subsidiaries, including through mergers or consolidations, or any Person or any of its
Restricted Subsidiaries acquired by the specified Person or any of its Restricted
Subsidiaries, and including any related financing transactions and including increases in
ownership of Restricted Subsidiaries, during the four-quarter reference period or subsequent
to such reference period and on or prior to the Calculation Date, or that are to be made on
the Calculation Date, will be given pro forma effect (as determined in good faith by a
responsible financial or accounting officer of the Company, and including any operating
expense reductions for such period resulting from such acquisition that have been realized
or for which all of the material steps necessary for realization have been taken or are
reasonably expected to be taken within 180 days after the date of such acquisition) as if
they had occurred on the first day of the four-quarter reference period;

     (2) the Consolidated Cash Flow attributable to discontinued operations, as determined
in accordance with GAAP, and operations or businesses (and ownership interests therein)
disposed of prior to the Calculation Date, will be excluded;

     (3) the Fixed Charges attributable to discontinued operations, as determined in
accordance with GAAP, and operations or businesses (and ownership interests therein)
disposed of prior to the Calculation Date, will be excluded, but only to the extent that the
obligations giving rise to such Fixed Charges will not be obligations of the specified
Person or any of its Restricted Subsidiaries following the Calculation Date;

     (4) any Person that is a Restricted Subsidiary on the Calculation Date will be deemed
to have been a Restricted Subsidiary at all times during such four-quarter period;

     (5) any Person that is not a Restricted Subsidiary on the Calculation Date will be
deemed not to have been a Restricted Subsidiary at any time during such four-quarter period;

     (6) if any Indebtedness is incurred under a revolving credit facility (or similar
arrangement or under any predecessor revolving credit or similar arrangement) only that
portion of the Indebtedness that constitutes the projected weighted average annual balance
of the Indebtedness (as determined in good faith by senior management of the Company and
assuming a constant level of sales) will be deemed outstanding; and

     (7) if any Indebtedness bears a floating rate of interest, the interest expense on such
Indebtedness will be calculated as if the rate in effect on the Calculation Date had been
the applicable rate for the entire period (taking into account any Hedging Obligation
applicable to

10

 

such Indebtedness if such Hedging Obligation has a remaining term as of the Calculation
Date in excess of 12 months).

     “Fixed Charges” means, with respect to any specified Person for any period, the sum, without
duplication, of:

     (1) the consolidated interest expense of such Person and its Restricted Subsidiaries
for such period, whether paid or accrued, including, without limitation, amortization of
debt issuance costs and original issue discount, non-cash interest payments, the interest
component of any deferred payment obligations, the interest component of all payments
associated with Capital Lease Obligations, commissions, discounts and other fees and charges
incurred in respect of letter of credit or bankers’ acceptance financings, and net of the
effect of all payments made or received pursuant to Hedging Obligations in respect of
interest rates; plus

     (2) the consolidated interest expense of such Person and its Restricted Subsidiaries
that was capitalized during such period; plus

     (3) any interest on Indebtedness of a third party (which third party is not an
Affiliate of such Person) that is guaranteed by such Person or one of its Restricted
Subsidiaries or secured by a Lien on assets of such Person or one of its Restricted
Subsidiaries if the interest is actually paid by such Person or one of its Restricted
Subsidiaries; plus

     (4) the product of (a) all dividends, whether paid or accrued and whether or not in
cash, on any series of preferred stock of such Person or any of its Restricted Subsidiaries,
other than dividends on Equity Interests payable solely in Equity Interests of the Company
(other than Disqualified Stock) or to the Company or a Restricted Subsidiary of the Company,
times (b) a fraction, the numerator of which is one and the denominator of which is one
minus the then current combined federal, state and local statutory rate of such Person,
expressed as a decimal, in each case, determined on a consolidated basis in accordance with
GAAP; minus

     (5) to the extent included in consolidated interest expense of such Person and its
Restricted Subsidiaries for such period, the amortization of capitalized debt issuance costs
and debt discount solely to the extent relating to the issuance and sale of Indebtedness
together with any equity security as part of an investment unit,

in each case, on a consolidated basis in accordance with GAAP.

     “Foreign Subsidiary” means any Restricted Subsidiary that is not a Domestic Subsidiary.

     “Foreign Subsidiary Debt” means any Indebtedness of Foreign Subsidiaries, including under the
Chinese Credit Facility.

     “GAAP” means generally accepted accounting principles in the United States set forth in the
opinions and pronouncements of the Accounting Principles Board of the American Institute of
Certified Public Accountants, the opinions and pronouncements of the Public Company Accounting
Oversight Board and in the statements and pronouncements of the Financial Accounting Standards
Board or in such other statements by such other entity as have been approved by a significant
segment of the accounting profession, which are in effect on the date of this Indenture.

     “Global Note Legend” means the legend set forth in Section 2.06(f)(2) hereof, which is
required to be placed on all Global Notes issued under this Indenture.

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     “Global Notes” means, individually and collectively, each of the Restricted Global Notes and
the Unrestricted Global Notes deposited with or on behalf of and registered in the name of the
Depository or its nominee, substantially in the form of Exhibit A1 hereto and that bears the Global
Note Legend and that has the “Schedule of Exchanges of Interests in the Global Note” attached
thereto, issued in accordance with Section 2.01, 2.06(b)(3), 2.06(b)(4) or 2.06(d)(2) hereof.

     “Government Securities” means direct obligations of, or obligations guaranteed by, the United
States of America, and the payment for which the United States pledges its full faith and credit.

     “Guarantee” means a guarantee other than by endorsement of negotiable instruments for
collection in the ordinary course of business, direct or indirect, in any manner including, without
limitation, by way of a pledge of assets or through letters of credit or reimbursement agreements
in respect thereof, of all or any part of any Indebtedness (whether arising by virtue of
partnership arrangements, or by agreements to keep-well, to purchase assets, goods, securities or
services, to take or pay or to maintain financial statement conditions or otherwise).

     “Guarantors” means:

     (1) each direct or indirect Domestic Subsidiary of the Company on the date of this
Indenture, other than each Immaterial Subsidiary; and

     (2) any other Restricted Subsidiary of the Company that executes a Note Guarantee in
accordance with the provisions of this Indenture;

and their respective successors and assigns until released from their obligations under their Note
Guarantees and this Indenture in accordance with the terms of this Indenture.

     “Hedge Agreement” means any agreement evidencing Hedging Obligations.

     “Hedging Obligations” means, with respect to any specified Person, the Obligations of such
Person under:

     (1) interest rate swap agreements (whether from fixed to floating or from floating to
fixed), interest rate cap agreements and interest rate collar agreements;

     (2) other agreements or arrangements designed to manage interest rates or interest rate
risk; and

     (3) other agreements or arrangements designed to protect such Person against
fluctuations in currency exchange rates or commodity prices.

     “Holder” means a Person in whose name a Note is registered.

     “Immaterial Subsidiary” means, as of any date, any Restricted Subsidiary whose Total Assets,
as of that date, are less than $100,000 and whose total revenues for the most recent twelve month
period do not exceed $100,000; provided that a Restricted Subsidiary will not be considered to be
an Immaterial Subsidiary if it, directly or indirectly, guarantees or otherwise provides direct
credit support for any Indebtedness of the Company or any Restricted Subsidiary of the Company;
provided further that each of Viasystems Milwaukee Inc., a Wisconsin corporation, and Wirekraft
Industries, LLC, a Delaware limited liability company, will be considered to be an Immaterial
Subsidiary (notwithstanding that it guarantees the Company’s Obligations under the Senior
Subordinated Notes) until such time that it: (i) has Total

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Assets equal to or greater than $100,000, (ii) has total revenues for the most recent twelve
month period equal to or greater than $100,000 or (iii) directly or indirectly guarantees or
otherwise provides direct credit support for any Indebtedness of the Company or any Restricted
Subsidiary of the Company (other than the Senior Subordinated Notes, but including, for the
avoidance of doubt, any Indebtedness of the Company or any of its Restricted Subsidiaries issued in
exchange for, or the net proceeds of which are used to renew, refund, refinance, replace, defease
or discharge the Senior Subordinated Notes).

     “Indebtedness” means, with respect to any specified Person, any indebtedness of such Person
(excluding accrued expenses and trade payables), whether or not contingent:

     (1) in respect of borrowed money;

     (2) evidenced by bonds (other than performance bonds), notes, debentures or similar
instruments (or reimbursement agreements in respect thereof);

     (3) in respect of banker’s acceptances;

     (4) representing Capital Lease Obligations;

     (5) in respect of letters of credit or other similar instruments (or reimbursement
agreements in respect thereof) (other than obligations with respect to letters of credit
securing obligations (other than obligations described in clauses (1), (2) and (4)) entered
into in the ordinary course of business of such Person to the extent that such letters of
credit are not drawn upon or, if and to the extent drawn upon, such drawing is reimbursed no
later than the third business day following receipt by such Person of a demand for
reimbursement following payment on the letter of credit);

     (6) representing the balance deferred and unpaid of the purchase price of any property
or services due more than six months after such property is acquired or such services are
completed; or

     (7) representing any Hedging Obligations,

if and to the extent any of the preceding items (other than letters of credit and Hedging
Obligations) would appear as a liability upon a balance sheet of the specified Person prepared in
accordance with GAAP. In addition, the term “Indebtedness” includes all Indebtedness of others
secured by a Lien on any asset of the specified Person (whether or not such Indebtedness is assumed
by the specified Person) and, to the extent not otherwise included, the Guarantee by the specified
Person of any Indebtedness of any other Person. Indebtedness shall be calculated without giving
effect to the effects of Accounting Standards Codification Topic 815 and related interpretations to
the extent such effects would otherwise increase or decrease an amount of Indebtedness for any
purpose under this Indenture as a result of accounting for any embedded derivatives created by the
terms of such Indebtedness.

     “Indenture” means this Indenture, as amended or supplemented from time to time.

     “Indirect Participant” means a Person who holds a beneficial interest in a Global Note through
a Participant.

     “Initial Notes” means the first $220,000,000 aggregate principal amount of Notes issued under
this Indenture on the date hereof.

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     “Initial Purchasers” means Goldman, Sachs & Co. and Wells Fargo Securities, LLC.

     “Insolvency or Liquidation Proceeding” means:

     (1) any case commenced by or against the Company or any Guarantor under the Bankruptcy
Code, or any similar federal or state law for the relief of debtors, any other proceeding
for the reorganization, recapitalization or adjustment or marshalling of the assets or
liabilities of the Company or any Guarantor, any receivership or assignment for the benefit
of creditors relating to the Company or any Guarantor or any similar case or proceeding
relative to the Company or any Guarantor or its creditors, as such, in each case whether or
not voluntary;

     (2) any liquidation, dissolution, marshalling of assets or liabilities or other winding
up of or relating to the Company or any Guarantor, in each case whether or not voluntary and
whether or not involving bankruptcy or insolvency, unless otherwise permitted by this
Indenture and the Security Documents;

     (3) any proceeding seeking the appointment of a trustee, receiver, liquidator,
custodian or other insolvency official with respect to the Company or any Guarantor or any
of their assets;

     (4) any other proceeding of any type or nature in which substantially all claims of
creditors of the Company or any Guarantor are determined and any payment or distribution is
or may be made on account of such claims; or

     (5) any analogous procedure or step in any jurisdiction.

     “Institutional Accredited Investor” means an institution that is an “accredited investor” as
defined in Rule 501(a)(1), (2), (3) or (7) of the Securities Act, who are not also QIBs.

     “Intercreditor Agreement” means an intercreditor agreement to be entered into by the
Collateral Trustee in connection with Priority Lien Debt, if any, in substantially the form
attached as Exhibit C to the Collateral Trust Agreement, as amended, supplemented, modified,
restated, renewed or replaced (whether upon or after termination or otherwise), in whole or in part
from time to time, in accordance with the terms of Section 7.1 of the Collateral Trust Agreement
and such intercreditor agreement.

     “Investments” means, with respect to any Person, all direct or indirect investments by such
Person in other Persons (including Affiliates) in the forms of loans (including Guarantees or other
obligations), advances (excluding advances to customers in the ordinary course of business) or
capital contributions (excluding commission, travel and similar advances to officers and employees
made in the ordinary course of business), purchases or other acquisitions for consideration of
Indebtedness, Equity Interests or other securities, together with all items that are or would be
classified as investments on a balance sheet prepared in accordance with GAAP. If the Company or
any Subsidiary of the Company sells or otherwise disposes of any Equity Interests of any direct or
indirect Subsidiary of the Company such that, after giving effect to any such sale or disposition,
such Person is no longer a Subsidiary of the Company, the Company will be deemed to have made an
Investment on the date of any such sale or disposition equal to the Fair Market Value of the
Company’s Investments in such Subsidiary that were not sold or disposed of in an amount determined
as provided in the final paragraph of Section 4.07 of this Indenture. The acquisition by the
Company or any Subsidiary of the Company of a Person that holds an Investment in a third Person
will be deemed to be an Investment by the Company or such Subsidiary in such third Person in an
amount equal to the Fair Market Value of the Investments held by the acquired Person in such third
Person in an amount determined as provided in the final paragraph of Section 4.07 of this
Indenture. For purposes of Section 4.07 of this Indenture: (1) “Investment” will include the
portion

14

 

(proportionate to the Company’s Equity Interest in a Restricted Subsidiary to be designated as
an Unrestricted Subsidiary) of the Fair Market Value of the net assets of the Restricted Subsidiary
of the Company at the time that the Restricted Subsidiary is designated an Unrestricted Subsidiary;
provided, however, that upon a re-designation of the Unrestricted Subsidiary as a Restricted
Subsidiary, the Company will be deemed to continue to have a permanent “Investment” in an
Unrestricted Subsidiary in an amount (if positive) equal to (a) the Company’s “Investment” in the
Subsidiary at the time of re-designation less (b) the portion (proportionate to the Company’s
Equity Interest in the Subsidiary) of the Fair Market Value of the net assets of the Subsidiary at
the time that the Subsidiary is so re-designated a Restricted Subsidiary; and (2) any property
transferred to or from an Unrestricted Subsidiary will be valued at its Fair Market Value at the
time of transfer. Except as otherwise provided in this Indenture, the amount of an Investment will
be determined at the time the Investment is made and without giving effect to subsequent changes in
value.

     “Legal Holiday” means a Saturday, a Sunday or a day on which banking institutions in the City
of New York or at a place of payment are authorized by law, regulation or executive order to remain
closed. If a payment date is a Legal Holiday at a place of payment, payment may be made at that
place on the next succeeding day that is not a Legal Holiday, and no interest shall accrue on such
payment for the intervening period.

     “Lien” means, with respect to any asset, any mortgage, lien, pledge, charge, security interest
or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise
perfected under applicable law, including any conditional sale or other title retention agreement,
(but not a consignment in the ordinary course of business), any lease in the nature thereof, any
option or other agreement to sell or give a security interest in and any filing of or agreement to
give any financing statement under the Uniform Commercial Code (or equivalent statutes) of any
jurisdiction.

     “Lien Sharing and Priority Confirmation” means, as to any Series of Shared Lien Debt, the
written agreement of the holders of such Series of Shared Lien Debt for the benefit of all holders
of Shared Lien Debt and each future Shared Lien Representative:

     (1) that all Shared Lien Obligations will be and are secured equally and ratably by all
Shared Liens at any time granted by the Company or any Guarantor to secure any Obligations
in respect of such Series of Shared Lien Debt, whether or not upon property otherwise
constituting Collateral, and that all such Shared Liens will be enforceable by the
Collateral Trustee for the benefit of all holders of Shared Lien Obligations equally and
ratably;

     (2) that the holders of Obligations in respect of such Series of Shared Lien Debt are
bound by the provisions of the Collateral Trust Agreement, including the provisions relating
to the ranking of Shared Liens and the order of application of proceeds from enforcement of
Shared Liens; and

     (3) consenting to the terms of the Collateral Trust Agreement and the Intercreditor
Agreement and the Collateral Trustee’s performance of, and directing the Collateral Trustee
to perform, its obligations under the Collateral Trust Agreement and the Intercreditor
Agreement.

     “Merger” means the merger of Maple Acquisition Corp., a subsidiary of Parent with and into
Merix pursuant to that certain Agreement and Plan of Merger, dated as of October 6, 2009, among
Parent, Maple Acquisition Corp. and Merix and the substantially concurrent contribution by Parent
of all of the issued and outstanding capital stock of Merix to the Company.

     “Merix” means Merix Corporation, an Oregon corporation.

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     “Monitoring and Oversight Agreement” means the Monitoring and Oversight Agreement, effective
as of January 31, 2003, between the Company and Hicks, Muse & Co. Partners, L.P., as in effect on
the date of this Indenture.

     “Net Income” means, with respect to any specified Person, the net income (loss) of such
Person, determined in accordance with GAAP and before any reduction in respect of preferred stock
dividends, excluding, however:

     (1) any gain or loss, together with any related provision for taxes on such gain or
loss, realized in connection with: (a) any Asset Sale; or (b) the disposition of any
securities by such Person or any of its Restricted Subsidiaries or the extinguishment of any
Indebtedness of such Person or any of its Restricted Subsidiaries; and

     (2) any extraordinary gain or loss, together with any related provision for taxes on
such extraordinary gain or loss.

     “Net Proceeds” means the aggregate cash proceeds and Cash Equivalents received by the Company
or any of its Restricted Subsidiaries in respect of any Asset Sale (including, without limitation,
any cash or Cash Equivalents received upon the sale or other disposition of any non-cash
consideration received in any Asset Sale), net of (1) the direct costs relating to such Asset Sale,
including, without limitation, legal, accounting and investment banking fees, and sales
commissions, and any relocation expenses incurred as a result of the Asset Sale, (2) taxes paid or
payable as a result of the Asset Sale, in each case, after taking into account any available tax
credits or deductions and any tax sharing arrangements, (3) amounts required to be applied to the
repayment of Indebtedness, other than Indebtedness under a Credit Facility, secured by a Lien on
the asset or assets that were the subject of such Asset Sale, (4) any reserve for adjustment or
indemnification obligations in respect of the sale price of such asset or assets established in
accordance with GAAP, (5) all distributions and other payments required to be made to any Person
owning a beneficial interest in assets subject to sale or minority interest holders in Subsidiaries
or joint ventures as a result of such Asset Sale, (6) any reserve, established in accordance with
GAAP, against any liabilities associated with the assets disposed of in such Asset Sale and
retained by the Company or any Restricted Subsidiary of the Company after such Asset Sale, and (7)
any portion of the purchase price from an Asset Sale placed in escrow (whether as a reserve for
adjustment of the purchase price, for satisfaction of indemnities in respect of such Asset Sale or
otherwise in connection with such Asset Sale); provided, however, that upon the termination of such
escrow, Net Proceeds will be increased by any portion of funds therein released to the Company or
any Restricted Subsidiary.

     “Non-Recourse Debt” means Indebtedness:

     (1) as to which neither the Company nor any Restricted Subsidiary (a) provides any
guarantee or credit support of any kind (including any undertaking, guarantee, indemnity,
agreement or instrument that would constitute Indebtedness) or (b) is directly or indirectly
liable as a Guarantor or otherwise; and

     (2) no default with respect to which (including any rights that the holders of the
Indebtedness may have to take enforcement action against an Unrestricted Subsidiary) would
permit upon notice, lapse of time or both any holder of any other Indebtedness of the
Company or any of its Restricted Subsidiaries to declare a default on such other
Indebtedness or cause the payment of the Indebtedness to be accelerated or payable prior to
its Stated Maturity.

     “Non-U.S. Person” means a Person who is not a U.S. Person.

16

 

     “Note Documents” means this Indenture, the Notes, the Note Guarantees, the Security Documents
and each of the other agreements, documents and instruments providing for or evidencing any note
Obligation, any other document or instrument executed or delivered at any time in connection with
any Obligation in respect of the Notes, including pursuant to the Shared Lien Documents, to the
extent such are effective at the relevant time, as each may be amended, restated, supplemented,
modified, renewed or extended from time to time.

     “Note Guarantee” means the Guarantee by each Guarantor of the Company’s Obligations under this
Indenture and the Notes, executed pursuant to the provisions of this Indenture.

     “Notes” has the meaning assigned to it in the preamble to this Indenture. The Initial Notes
and the Additional Notes shall be treated as a single class for all purposes under this Indenture,
and unless the context otherwise requires, all references to the Notes shall include the Initial
Notes and any Additional Notes.

     “Obligations” means any principal (including reimbursement obligations with respect to letters
of credit whether or not drawn), interest (including all interest accrued thereon after the
commencement of any Insolvency or Liquidation Proceeding at the rate, including any applicable
post-default rate, specified in the documentation governing any Indebtedness even if such interest
is not enforceable, allowable or allowed as a claim in such proceeding), penalties, premium (if
any), fees, indemnifications, reimbursements, expenses, damages and other liabilities or
obligations payable or otherwise owed or to be performed under the documentation governing any
Indebtedness.

     “Offering Circular” means the offering circular, dated November 10, 2009, relating to the
offering of the Initial Notes.

     “Officer” means, with respect to any Person, the Chairman of the Board, the Chief Executive
Officer, the President, the Chief Operating Officer, the Chief Financial Officer, the Treasurer,
any Assistant Treasurer, the Controller, the Secretary, Assistant Secretary or any Vice-President
of such Person.

     “Officers’ Certificate” means a certificate signed on behalf of the Company by two Officers of
the Company, one of whom must be the principal executive officer, the principal financial officer,
the treasurer or the principal accounting officer of the Company, that meets the requirements of
Section 13.03 hereof.

     “Opinion of Counsel” means an opinion from legal counsel who is reasonably acceptable to the
Trustee, that meets the requirements of Section 13.03 hereof. The counsel may be an employee of or
counsel to the Company, any Subsidiary of the Company or the Trustee.

     “Parent” means Viasystems Group, Inc., the direct parent company of the Company.

     “Participant” means, with respect to the Depositary, Euroclear or Clearstream, a Person who
has an account with the Depositary, Euroclear or Clearstream, respectively (and, with respect to
DTC, shall include Euroclear and Clearstream).

     “Permitted Business” means any business in which the Company or any of its Restricted
Subsidiaries is engaged on the date of this Indenture and any business that is reasonably related
or ancillary thereto.

     “Permitted Investments” means:

17

 

     (1) any Investment in the Company or in a Restricted Subsidiary of the Company;

     (2) any Investment in Cash Equivalents;

     (3) any Investment by the Company or any Restricted Subsidiary of the Company in a
Person, if as a result of such Investment:

          (a) such Person becomes a Restricted Subsidiary of the Company; or

          (b) such Person is merged, consolidated or amalgamated with or into, or transfers or
conveys substantially all of its assets to, or is liquidated into, the Company or a
Restricted Subsidiary of the Company;

     (4) any Investment made as a result of the receipt of non-cash consideration from an
Asset Sale that was made pursuant to and in compliance with Section 4.10 of this Indenture;

     (5) any acquisition of assets or Capital Stock solely in exchange for the issuance of
Equity Interests (other than Disqualified Stock) of the Company;

     (6) any Investments received in compromise or resolution of (a) obligations of trade
creditors or customers; (b) debts that were incurred in the ordinary course of business and
owing to the Company or any of its Restricted Subsidiaries, including pursuant to any plan
of reorganization or similar arrangement upon the bankruptcy or insolvency of any trade
creditor or customer; or (c) litigation, arbitration or other disputes with Persons who are
not Affiliates;

     (7) Investments represented by Hedging Obligations not for speculative purposes and in
the ordinary course of business;

     (8) loans or advances to employees made in the ordinary course of business of the
Company or the Restricted Subsidiary of the Company in an aggregate principal amount not to
exceed $5.0 million at any one time outstanding;

     (9) prepayments and other credits to suppliers made in the ordinary course of business
consistent with the past practices of the Company and its Restricted Subsidiaries;

     (10) Investments in connection with pledges, deposits, payments or performance bonds
made or given in the ordinary course of business in connection with or to secure statutory,
regulatory or similar obligations, including obligations under health, safety or
environmental obligations;

     (11) repurchases of the Notes and the Senior Subordinated Notes;

     (12) any Guarantee of Indebtedness permitted to be incurred by Section 4.09 hereof
other than a Guarantee of Indebtedness of an Affiliate of the Company that is not a
Restricted Subsidiary of the Company;

     (13) any Investment existing on, or made pursuant to binding commitments existing on,
the date of this Indenture and any Investment consisting of an extension, modification or
renewal of any Investment existing on, or made pursuant to a binding commitment existing on,
the date of this Indenture; provided that the amount of any such Investment may be increased
(a) as required

18

 

by the terms of such Investment as in existence on the date of this Indenture or (b) as
otherwise permitted under this Indenture;

     (14) Investments acquired after the date of this Indenture as a result of the
acquisition by the Company or any Restricted Subsidiary of the Company of another Person,
including by way of a merger, amalgamation or consolidation with or into the Company or any
of its Restricted Subsidiaries in a transaction that is not prohibited by Section 5.01 of
this Indenture after the date of this Indenture to the extent that such Investments were not
made in contemplation of such acquisition, merger, amalgamation or consolidation and were in
existence on the date of such acquisition, merger, amalgamation or consolidation;

     (15) Investments the payment for which consists of Equity Interests (exclusive of
Disqualified Stock) of the Company or any of its direct or indirect parent companies;
provided, however that the Net Proceeds from such Equity Interests will not increase the
amount available for Restricted Payments under clause 3(B) of Section 4.07(a) hereof; and

     (16) other Investments in any Person having an aggregate Fair Market Value (measured on
the date each such Investment was made and without giving effect to subsequent changes in
value), when taken together with all other Investments made pursuant to this clause (16)
that are at the time outstanding not to exceed $50.0 million.

“Permitted Liens” means the following types of Liens:

     (1) Liens on Collateral securing (a) Priority Lien Debt in an aggregate principal
amount (as of the date of incurrence of any Priority Lien Debt and after giving pro forma
effect to the application of the net proceeds therefrom and with letters of credit issued
under the Priority Lien Documents being deemed to have a principal amount equal to the face
amount thereof), not exceeding the Priority Lien Debt Cap, and (b) all other Priority Lien
Obligations;

     (2) Liens on Collateral held by the Collateral Trustee securing (a) the Initial Notes
and the Note Guarantees in respect of the Initial Notes to be issued on the date of this
Indenture, (b) any additional Shared Lien Debt (including any Additional Notes); provided
that, as of the date of incurrence of any additional Shared Lien Debt (including any
Additional Notes), the aggregate principal amount of all such additional Shared Lien Debt,
together with the aggregate principal amount of all other Shared Lien Debt then outstanding
(including the Initial Notes and the Note Guarantees in respect of the Initial Notes to be
issued on the date of this Indenture), will not cause the Consolidated Shared Lien Debt
Ratio to exceed 3.50 to 1.00, calculated after giving pro forma effect to such incurrence
and the application of the net proceeds therefrom, and (c) all other Shared Lien
Obligations;

     (3) Liens in favor of the Company or the Guarantors;

     (4) Liens to secure the performance of statutory obligations, insurance, surety or
appeal bonds, workers compensation obligations, performance bonds or other obligations of a
like nature incurred in the ordinary course of business (including Liens to secure letters
of credit issued to assure payment of such obligations);

     (5) Liens to secure Indebtedness (including Capital Lease Obligations) permitted by
clause (4) of Section 4.09(b) of this Indenture covering only the assets acquired with or
financed by such Indebtedness;

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     (6) Liens existing on the date of this Indenture, other than liens to secure the
Initial Notes or the Note Guarantees in respect of the Initial Notes issued on the date of
this Indenture;

     (7) Liens on property of a Person existing at the time such Person becomes a Restricted
Subsidiary of the Company or is merged with or into or consolidated with any Restricted
Subsidiary of the Company; provided that such Liens were in existence prior to the
contemplation of such Person becoming a Restricted Subsidiary of the Company or such merger
or consolidation and do not extend to any assets other than those of the Person that becomes
a Restricted Subsidiary of the Company or is merged with or into or consolidated with any
Restricted Subsidiary of the Company;

     (8) Liens to secure any Permitted Refinancing Indebtedness permitted to be incurred
under this Indenture (the proceeds of which are applied to refinance, renew, refund,
refinance, replace, defease or discharge secured Indebtedness (other than Priority Lien Debt
or Shared Lien Debt)); provided that (a) the new Lien shall be limited to all or part of the
same property and assets that secured the original Lien, (b) the new Lien shall be
subordinated to the Liens on such property and assets securing any Shared Lien Debt, and (c)
the Indebtedness secured by the new Lien is not increased to any amount greater than the sum
of (i) the outstanding principal amount of the Indebtedness renewed, refunded, refinanced,
replaced, defeased or discharged with such Permitted Refinancing Indebtedness, and (ii) an
amount necessary to pay any fees and expenses, including premiums, related to such renewal,
refunding, refinancing, replacement, defeasance or discharge;

     (9) Liens incurred by the Company or any Subsidiary of the Company with respect to
obligations that do not exceed $10.0 million at any one time outstanding;

     (10) Liens on insurance policies and proceeds thereof, or other deposits, to secure
insurance premium financings;

     (11) Liens on cash, Cash Equivalents or other property arising in connection with the
defeasance, discharge or redemption of Indebtedness;

     (12) Liens on specific items of inventory or other goods (and the proceeds thereof) of
any Person securing such Person’s obligations in respect of bankers’ acceptances issued or
created in the ordinary course of business for the account of such Person to facilitate the
purchase, shipment or storage of such inventory or other goods;

     (13) Liens for taxes, assessments or governmental charges or claims that are not yet
delinquent or that are being contested in good faith by appropriate proceedings promptly
instituted and diligently concluded; provided that any reserve or other appropriate
provision as is required in conformity with GAAP has been made therefor;

     (14) Liens imposed by law, such as carriers’, warehousemen’s, landlord’s and mechanics’
Liens, in each case, incurred in the ordinary course of business;

     (15) survey exceptions, easements or reservations of, or rights of others for,
licenses, rights-of-way, sewers, electric lines, telegraph and telephone lines and other
similar purposes, or zoning or other restrictions as to the use of real property that were
not incurred in connection with Indebtedness and that do not in the aggregate materially
adversely affect the value of said properties or materially impair their use in the
operation of the business of such Person;

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     (16) Liens on Capital Stock (that does not constitute Collateral) issued by, or any
property or assets of, any Foreign Subsidiary securing Indebtedness incurred by such Foreign
Subsidiary or another Foreign Subsidiary that directly or indirectly owns such Capital
Stock; and

     (17) Liens on property (including Capital Stock) existing at the time of acquisition of
the property by the Company or a Restricted Subsidiary of the Company; provided that such
Liens were in existence prior to such acquisition and not incurred in contemplation of such
acquisition.

“Permitted Payments to Parent” means, without duplication as to amounts:

     (1) payments to Parent or any direct or indirect parent company of the Company to
permit such Person to pay reasonable accounting, legal and administrative expenses of such
Person when due, in an aggregate amount not to exceed $2.5 million per annum;

     (2) amounts payable pursuant to the Monitoring and Oversight Agreement as in effect on
the date of this Indenture;

     (3) fees and expenses of Parent or any direct or indirect parent company of the Company
other than to Affiliates of the Company related to any equity or debt offering of Parent or
any direct or indirect parent company of the Company (whether or not successful);

     (4) cash payments in lieu of issuing fractional shares in connection with the exercise
of warrants, options or other securities convertible into or exchangeable for Equity
Interests of the Issuer or any direct or indirect parent; and

     (5) for so long as the Company is a member of a group filing a consolidated, combined
or unitary tax return with Parent or any direct or indirect parent company of the Company,
payments to such Person in respect of an allocable portion of the tax liabilities of such
group that is attributable to the Company and its Subsidiaries (“Tax Payments”). The Tax
Payments shall not exceed the lesser of (i) the amount of the relevant tax (including any
penalties and interest) that the Company would owe if the Company were filing a separate tax
return (or a separate consolidated, combined or unitary return with its Subsidiaries that
are members of the consolidated, combined or unitary group), taking into account any
carryovers and carrybacks of tax attributes (such as net operating losses) of the Company
and such Subsidiaries from other taxable years and (ii) the net amount of the relevant tax
that such Person actually owes to the appropriate taxing authority. Any Tax Payments
received from the Company shall be paid over to the appropriate taxing authority within 30
days of such Person’s receipt of such Tax Payments or refunded to the Company.

     “Permitted Refinancing Indebtedness” means any Indebtedness of the Company or any of its
Restricted Subsidiaries issued in exchange for, or the net proceeds of which are used to renew,
refund, refinance, replace, defease or discharge other Indebtedness of the Company or any of its
Restricted Subsidiaries (other than intercompany Indebtedness); provided that:

     (1) the principal amount (or accreted value, if applicable) of such Permitted
Refinancing Indebtedness does not exceed the principal amount (or accreted value, if
applicable) of the Indebtedness renewed, refunded, refinanced, replaced, defeased or
discharged (plus all accrued interest on the Indebtedness and the amount of all fees and
expenses, including premiums, incurred in connection therewith);

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     (2) such Permitted Refinancing Indebtedness has a final maturity date later than the
final maturity date of, and has a Weighted Average Life to Maturity that is (a) equal to or
greater than the Weighted Average Life to Maturity of, the Indebtedness being renewed,
refunded, refinanced, replaced, defeased or discharged or (b) more than 90 days after the
final maturity date of the Notes;

     (3) if the Indebtedness being renewed, refunded, refinanced, replaced, defeased or
discharged is subordinated in right of payment to the Notes, such Permitted Refinancing
Indebtedness is subordinated in right of payment to the Notes on terms at least as favorable
to the Holders of Notes as those contained in the documentation governing the Indebtedness
being renewed, refunded, refinanced, replaced, defeased or discharged; and

     (4) such Indebtedness is incurred either by the Company or by the Restricted Subsidiary
of the Company that was the obligor on the Indebtedness being renewed, refunded, refinanced,
replaced, defeased or discharged.

     “Person” means any individual, corporation, partnership, joint venture, association,
joint-stock company, trust, unincorporated organization, limited liability company or government or
other entity.

     “Principals” means Hicks, Muse, Tate & Furst Incorporated, Hanley Partners, Inc., or any of
their Affiliates, officers or directors.

     “Priority Lien Collateral Agent” means the trustee, agent or representative of the holders of
Priority Lien Debt who is appointed by such holders (or an agent or other representative on their
behalf) as a representative of such holders (for purposes related to the administration of the
security documents purporting to secure such Series of Priority Lien Debt).

     “Priority Lien Debt” means Indebtedness (including letters of credit and reimbursement
obligations with respect thereto, but excluding any Hedging Obligations) of the Company or any
Guarantor secured by Liens on Collateral that are made senior to the Liens on such Collateral
granted in favor of the holders of Shared Lien Debt pursuant to the Intercreditor Agreement;
provided, in the case of any such Indebtedness that:

     (1) on or before the date on which such Indebtedness is incurred by the Company or such
Guarantor, as applicable, such Indebtedness is designated by the Company, in an Officers’
Certificate delivered to the Collateral Trustee, as “Priority Lien Debt” for purposes of the
Shared Lien Documents; provided, that no Indebtedness may be designated as, or may otherwise
constitute, both Priority Lien Debt and Shared Lien Debt; and

     (2) the Priority Lien Collateral Agent, the Collateral Trustee, the Company and each
Guarantor have duly executed and delivered the Intercreditor Agreement (or, if another
Series of Priority Lien Debt is then outstanding, a joinder to the Intercreditor Agreement).

     “Priority Lien Debt Cap” means, as of any date of determination, the greater of (1) $75.0
million or (2) the amount of the Borrowing Base as of such date, after giving pro forma effect to
the incurrence of any Priority Lien Debt and the application of the net proceeds therefrom.

     “Priority Lien Documents” means, collectively, any credit agreement, indenture or other
agreement governing a Series of Priority Lien Debt, any document granting a security interest in
favor of such Priority Lien Debt and any intercreditor or joinder agreement among holders of
Priority Lien Obligations.

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     “Priority Lien Obligations ” means Priority Lien Debt incurred or arising under the Priority
Lien Documents and all related Obligations (excluding any Obligations that would constitute
Priority Lien Debt), together with (1) Banking Product Obligations of the Company or any Guarantor
relating to services provided to the Company or any Guarantor that are secured, or intended to be
secured, on a pari passu basis with Priority Lien Debt pursuant to a Lien granted in favor of the
Priority Lien Collateral Agent under the Priority Lien Documents, and (2) Hedging Obligations (and
any Guarantees of such Hedging Obligations) that by the terms of the Priority Lien Documents are
secured, or intended to be secured, on a pari passu basis with Priority Lien Debt.

     “Private Placement Legend” means the legend set forth in Section 2.06(f)(1) to be placed on
all Notes issued under this Indenture except where otherwise permitted by the provisions of this
Indenture.

     “QIB” means a “qualified institutional buyer” as defined in Rule 144A.

     “Regulation S” means Regulation S promulgated under the Securities Act.

     “Regulation S Global Note” means a Regulation S Temporary Global Note or Regulation S
Permanent Global Note, as appropriate.

     “Regulation S Permanent Global Note” means a permanent Global Note in the form of Exhibit A1
hereto bearing the Global Note Legend and the Private Placement Legend and deposited with or on
behalf of and registered in the name of the Depositary or its nominee, issued in a denomination
equal to the outstanding principal amount of the Regulation S Temporary Global Note upon expiration
of the Restricted Period.

     “Regulation S Temporary Global Note” means a temporary Global Note in the form of Exhibit A2
hereto deposited with or on behalf of and registered in the name of the Depositary or its nominee,
issued in a denomination equal to the outstanding principal amount of the Notes initially sold in
reliance on Rule 903 of Regulation S.

     “Responsible Officer” when used with respect to the Trustee, means any officer within the
Corporate Trust Administration of the Trustee (or any successor group of the Trustee) or any other
officer of the Trustee customarily performing functions similar to those performed by any of the
above designated officers and also means, with respect to a particular corporate trust matter, any
other officer to whom such matter is referred because of his knowledge of and familiarity with the
particular subject and who shall have direct responsibility for the administration of this
Indenture.

     “Restricted Definitive Note” means a Definitive Note bearing the Private Placement Legend.

     “Restricted Global Note” means a Global Note bearing the Private Placement Legend.

     “Restricted Investment” means an Investment other than a Permitted Investment.

     “Restricted Period” means the 40-day distribution compliance period as defined in Regulation S.

     “Restricted Subsidiary” of a Person means any Subsidiary of the referent Person that is not an
Unrestricted Subsidiary.

     “Rule 144” means Rule 144 promulgated under the Securities Act.

     “Rule 144A” means Rule 144A promulgated under the Securities Act.

23

 

     “Rule 903” means Rule 903 promulgated under the Securities Act.

     “Rule 904” means Rule 904 promulgated under the Securities Act.

     “SEC” means the Securities and Exchange Commission.

     “Securities Act” means the Securities Act of 1933, as amended.

     “Security Documents” means the Collateral Trust Agreement, each Lien Sharing and Priority
Confirmation, and all security agreements, pledge agreements, collateral assignments, collateral
agency agreements, mortgages, debentures, control agreements, deeds of trust or other grants or
transfers for security executed and delivered by the Company or any Guarantor creating (or
purporting to create) a Lien upon Collateral in favor of the Collateral Trustee, in each case, as
amended, modified, renewed, restated or replaced, in whole or in part, from time to time, in
accordance with Section 7.1 of the Collateral Trust Agreement.

     “Senior Subordinated Note Indenture” means the indenture, dated as December 17, 2003, by and
among the Company, the guarantors party thereto, and the Bank of New York, as trustee, pursuant to
which Viasystem issued the Senior Subordinated Notes.

     “Senior Subordinated Notes” means the $200,000,000 in aggregate principal amount of the
Company’s outstanding 10.50% Senior Subordinated Notes due 2011 issued pursuant to the Senior
Subordinated Note Indenture.

     “Series of Priority Lien Debt” means, severally, any Credit Facility and any other
Indebtedness that constitutes Priority Lien Obligations for which a single transfer register is
maintained.

     “Series of Shared Lien Debt” means, severally, the Notes and any Additional Notes, any Credit
Facility and other Indebtedness that constitutes Shared Lien Debt for which a single transfer
register is maintained.

     “Shared Lien” means a Lien granted by a Security Document to the Collateral Trustee, at any
time, upon any property of the Company or any Guarantor to secure Shared Lien Obligations.

     “Shared Lien Debt” means:

     (1) the Notes (including any Additional Notes) issued by the Company under this
Indenture; and

     (2) other Indebtedness (including letters of credit and reimbursement obligations with
respect thereto, but excluding any Hedging Obligations) of the Company that is secured
equally and ratably with the Notes by a Shared Lien that was permitted to be incurred and so
secured under each applicable Shared Lien Document; provided, in the case of any other
Indebtedness referred to in this clause (2), that:

     (A) on or before the date on which such other Indebtedness is incurred by the
Company, such other Indebtedness is designated by the Company, in an Officers’
Certificate delivered to each Shared Lien Representative and the Collateral
Trustee, as “Shared Lien Debt” for the purposes of the Shared Lien Documents and
in which the Company certifies that such Shared Lien Debt was permitted to be
incurred and so secured under this Indenture and each other applicable Shared Lien
Document;

24

 

provided that no Indebtedness may be designated as, or may otherwise
constitute, both Priority Lien Debt and Shared Lien Debt;

     (B) the Company has delivered to the Collateral Trustee a joinder to the
Collateral Trust Agreement that includes a Lien Sharing and Priority Confirmation,
executed by the representative of the holders of such other Indebtedness; and

     (C) all requirements set forth in the Collateral Trust Agreement as to the
confirmation, grant or perfection of the Collateral Trustee’s Lien to secure such
other Indebtedness or Obligations in respect thereof are satisfied (and the
satisfaction of such requirements and the other provisions of this clause (C) will
be conclusively established if the Company delivers to the Collateral Trustee an
Officers’ Certificate stating that such requirements and other provisions have
been satisfied and that such other Indebtedness is “Shared Lien Debt”).

     “Shared Lien Documents” means, collectively, the Note Documents and any additional indenture,
credit agreement or other similar agreement governing each Series of Shared Lien Debt and any
document granting a Lien in favor of such Shared Lien Debt, including, without limitation, the
Security Documents, to the extent such are effective at the relevant time, as each may be amended,
restated, supplemented, modified, renewed or extended from time to time.

     “Shared Lien Obligations” means Shared Lien Debt incurred or arising under the Shared Lien
Documents and all related Obligations (excluding any Obligations that would constitute Shared Lien
Debt), together with (1) Banking Product Obligations of the Company or any Guarantor relating to
services provided to the Company or any Guarantor that are secured, or intended to be secured, by
the Shared Lien Documents if the provider of such Banking Product Obligations has agreed to be
bound by the terms of the Collateral Trust Agreement or such provider’s interest in the Collateral
is subject to the terms of the Collateral Trust Agreement and if such Banking Product Obligations
are designated by the Company as “Shared Lien Obligations” for the purposes of the Shared Lien
Documents; and (2) Hedging Obligations (and any Guarantees of such Hedging Obligations) that are
secured, or intended to be secured, under the Shared Lien Documents if the provider of such Hedging
Obligations has agreed to be bound by the terms of the Collateral Trust Agreement or such
provider’s interest in the Collateral is subject to the terms of the Collateral Trust Agreement and
if such Hedging Obligations are designated by the Company as “Shared Lien Obligations” for the
purposes of the Shared Lien Documents; provided that no Banking Product Obligations and no Hedging
Obligations may be designated as, or may otherwise constitute, both Priority Lien Obligations and
Shared Lien Obligations.

     “Shared Lien Representative” means (1) the Trustee, in the case of the Notes, and (2) in the
case of any other Series of Shared Lien Debt, the trustee, agent or representative of the holders
of such Series of Shared Lien Debt who (a) maintains the transfer register for such Series of
Shared Lien Debt and is appointed as a representative of such Series of Shared Lien Debt (for
purposes related to the administration of the Security Documents) pursuant to this Indenture,
credit agreement or other agreement governing such Series of Shared Lien Debt, and (b) has become a
party to the Collateral Trust Agreement by executing a joinder in the form required under the
Collateral Trust Agreement.

     “Significant Subsidiary” means any Subsidiary that would be a “significant subsidiary” as
defined in Article 1, Rule 1—02 of Regulation S—X, promulgated pursuant to the Securities Act, as
such Regulation is in effect on the date of this Indenture.

     “Specified Assets” means, collectively:

25

 

     (1) machinery and equipment at the Merix facilities located at (a) 1521 Poplar Lane,
Forest Grove, Oregon 97116 (b) 23365 NE Halsey Street, Wood Village, Oregon 97060 and (c)
355 Turtle Creek Court, San Jose, CA 95125 as currently existing on the date of this
Indenture;

     (2) Sublease Agreement, dated as of April 1, 2008, by and between Merix and XSunX, Inc.
as in effect on the date of this Indenture;

     (3) lots 1300 and 1400 (and only lots 1300 and 1400) of the property located at 1521
Poplar Street, Forest Grove, Oregon, 97116, as currently existing on the date of this
Indenture; and

     (4) the facility located at No. 2 Chun Yat Street, Tseung Kwan O Industrial Estate,
Tseung Kwan O, Kowloon, Hong Kong as currently existing on the date of this Indenture.

     “Stated Maturity” means, with respect to any installment of interest or principal on any
series of Indebtedness, the date on which the payment of interest or principal was scheduled to be
paid in the documentation governing such Indebtedness as of the date of this Indenture, and will
not include any contingent obligations to repay, redeem or repurchase any such interest or
principal prior to the date originally scheduled for the payment thereof.

     “Subsidiary” means, with respect to any specified Person:

     (1) any corporation, association or other business entity of which more than 50% of the
total voting power of shares of Capital Stock entitled (without regard to the occurrence of
any contingency and after giving effect to any voting agreement or stockholders’ agreement
that effectively transfers voting power) to vote in the election of directors, managers or
trustees of the corporation, association or other business entity is at the time owned or
controlled, directly or indirectly, by that Person or one or more of the other Subsidiaries
of that Person (or a combination thereof); and

     (2) any partnership or limited liability company of which more than 50% of the capital
accounts, distribution rights, total equity and voting interests or general and limited
partnership interests, as applicable, are owned or controlled, directly or indirectly, by
such Person or one or more of the other Subsidiaries of that Person (or any combination
thereof).

     “Tax Payments” has the meaning assigned to it in the definition of “Permitted Payments to
Parent” in this Section 1.01.

     “TIA” means the Trust Indenture Act of 1939 (15 U.S.C. §§ 77aaa-77bbbb).

     “Total Assets” of any Person as of any date means the total consolidated book value of all
assets of such Person and its Restricted Subsidiaries as of such date, determined on a consolidated
basis in accordance with GAAP, based upon the consolidated balance sheet of such Person as of the
end of the most recently ended fiscal quarter for which internal financial statements are
available. Total Assets of any group of Persons will be determined in the same manner.

     “Treasury Rate” means, as of any Redemption Date, the yield to maturity as of such Redemption
Date of United States Treasury securities with a constant maturity (as compiled and published in
the most recent Federal Reserve Statistical Release H.15 (519) that has become publicly available
at least two Business Days prior to the Redemption Date (or, if such Statistical Release is no
longer published, any publicly available source of similar market data)) most nearly equal to the
period from the Redemption

26

 

Date to July 15, 2012; provided, however, that if the period from the Redemption Date to July
15, 2012, is less than one year, the weekly average yield on actually traded United States Treasury
securities adjusted to a constant maturity of one year will be used.

     “Trustee” means the party named as such in the preamble to this Indenture until a successor
replaces it in accordance with the applicable provisions of this Indenture and thereafter means the
successor serving hereunder.

     “Uniform Commercial Code” means the Uniform Commercial Code as in effect from time to time in
any applicable jurisdiction.

     “Unrestricted Definitive Note” means a Definitive Note that does not bear and is not required
to bear the Private Placement Legend.

     “Unrestricted Global Note” means a Global Note that does not bear and is not required to bear
the Private Placement Legend.

     “Unrestricted Subsidiary” means:

     (1) any Subsidiary of the Company that at the time of determination shall have been
designated an Unrestricted Subsidiary by the Board of Directors in the manner provided in
Section 4.17 of this Indenture; and

     (2) any Subsidiary of an Unrestricted Subsidiary.

The Board of Directors may designate any Subsidiary of the Company (including any newly acquired or
newly formed Subsidiary of the Company) to be an Unrestricted Subsidiary unless (a) such Subsidiary
or any of its Subsidiaries owns any Capital Stock or Indebtedness of, or owns or holds any Lien on
any property of, the Company or any Restricted Subsidiary of the Company that is not a Subsidiary
of the Subsidiary to be so designated, (b) the Subsidiary to be so designated has Indebtedness
other than Non-Recourse Debt, (c) except as permitted by Section 4.11 of this Indenture, such
Subsidiary or any of its Subsidiaries is a party to any agreement, contract, arrangement or
understanding with the Company or any Restricted Subsidiary of the Company where the terms of any
such agreement, contract, arrangement or understanding are less favorable to the Company or such
Restricted Subsidiary than those that might be obtained at the time from Persons who are not
Affiliates of the Company, (d) such Subsidiary or any of its Subsidiaries is a Person with respect
to which the Company or any of its Restricted Subsidiaries has any direct or indirect obligation
(i) to subscribe for additional Equity Interests or (ii) to maintain or preserve such Person’s
financial condition or to cause such Person to achieve any specified levels of operating results,
or (e) such Subsidiary or any of its Subsidiaries has guaranteed or otherwise directly or
indirectly provided credit support for any Indebtedness of the Company or any of its Restricted
Subsidiaries.

     “U.S. Person” means a U.S. Person as defined in Rule 902(k) promulgated under the Securities
Act.

     “Voting Stock” of any specified Person as of any date means the Capital Stock of such Person
that is at the time entitled to vote in the election of the Board of Directors of such Person.

     “Weighted Average Life to Maturity” means, when applied to any Indebtedness at any date, the
number of years obtained by dividing:

27

 

     (1) the sum of the products obtained by multiplying (x) the amount of each then
remaining installment, sinking fund, serial maturity or other required payments of
principal, including payment at final maturity, in respect of the Indebtedness, by (y) the
number of years (calculated to the nearest one-twelfth) that will elapse between such date
and the making of such payment; by

     (2) the then outstanding principal amount of such Indebtedness.

Section 1.02 Other Definitions.

	 	 	 	 	 
	 	 	Defined in	 
	Term	 	Section	 
	“Affiliate Transaction”
	 	 	4.11	 
	“Asset Sale Offer”
	 	 	3.09	 
	“Authentication Order”
	 	 	2.02	 
	“Change of Control Offer”
	 	 	4.15	 
	“Change of Control Payment”
	 	 	4.15	 
	“Change of Control Payment Date”
	 	 	4.15	 
	“Covenant Defeasance”
	 	 	8.03	 
	“DTC”
	 	 	2.03	 
	“Event of Default”
	 	 	6.01	 
	“Excess Proceeds”
	 	 	4.10	 
	“incur”
	 	 	4.09	 
	“Legal Defeasance”
	 	 	8.02	 
	“Offer Amount”
	 	 	3.09	 
	“Offer Period”
	 	 	3.09	 
	“Paying Agent”
	 	 	2.03	 
	“Permitted Debt”
	 	 	4.09	 
	“Payment Default”
	 	 	6.01	 
	“Purchase Date”
	 	 	3.09	 
	“Redemption Date”
	 	 	3.01	 
	“Registrar”
	 	 	2.03	 
	“Restricted Payments”
	 	 	4.07	 
	“Senior Subordinated Notes Redemption Date”
	 	 	4.18	 
	“Successor Company”
	 	 	5.01	 

Section 1.03 Rules of Construction.

     Unless the context otherwise requires:

     (1) a term has the meaning assigned to it;

     (2) an accounting term not otherwise defined has the meaning assigned to it in
accordance with GAAP;

     (3) “or” is not exclusive;

     (4) words in the singular include the plural, and in the plural include the singular;

     (5) “will” shall be interpreted to express a command;

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     (6) provisions apply to successive events and transactions; and

     (7) references to sections of or rules under the Securities Act will be deemed to
include substitute, replacement of successor sections or rules adopted by the SEC from time
to time.

ARTICLE 2.

THE NOTES

Section 2.01 Form and Dating.

     (a) General. The Notes and the Trustee’s certificate of authentication will be substantially
in the form of Exhibits A1 and A2 hereto. The Notes may have notations, legends or endorsements
required by law, stock exchange rule or usage. Each Note will be dated the date of its
authentication. The Notes shall be in denominations of $2,000 and integral multiples of $1,000 in
excess of $2,000.

     The terms and provisions contained in the Notes will constitute, and are hereby expressly
made, a part of this Indenture and the Company, the Guarantors and the Trustee, by their execution
and delivery of this Indenture, expressly agree to such terms and provisions and to be bound
thereby. However, to the extent any provision of any Note conflicts with the express provisions of
this Indenture, the provisions of this Indenture shall govern and be controlling.

     (b) Global Notes. Notes issued in global form will be substantially in the form of Exhibits
A1 or A2 attached hereto (including the Global Note Legend thereon and the “Schedule of Exchanges
of Interests in the Global Note” attached thereto). Notes issued in definitive form will be
substantially in the form of Exhibit A1 attached hereto (but without the Global Note Legend thereon
and without the “Schedule of Exchanges of Interests in the Global Note” attached thereto). Each
Global Note will represent such of the outstanding Notes as will be specified therein and each
shall provide that it represents the aggregate principal amount of outstanding Notes from time to
time endorsed thereon and that the aggregate principal amount of outstanding Notes represented
thereby may from time to time be reduced or increased, as appropriate, to reflect exchanges and
redemptions thereof and transfers of interest therein. Any endorsement of a Global Note to reflect
the amount of any increase or decrease in the aggregate principal amount of outstanding Notes
represented thereby will be made by the Trustee or the Custodian, at the direction of the Trustee,
in accordance with instructions given by the Holder thereof as required by Section 2.06 hereof.

     (c) Temporary Global Notes. Notes offered and sold in reliance on Regulation S will be issued
initially in the form of the Regulation S Temporary Global Note, which will be deposited on behalf
of the purchasers of the Notes represented thereby with the Trustee as custodian for the
Depositary, and registered in the name of the Depositary or the nominee of the Depositary for the
accounts of designated agents holding on behalf of Euroclear or Clearstream, duly executed by the
Company and authenticated by the Trustee as hereinafter provided. The Restricted Period will be
terminated upon the receipt by the Trustee of:

     (1) a written certificate from the Depositary, together with copies of certificates
from Euroclear and Clearstream certifying that they have received certification of
non-United States beneficial ownership of 100% of the aggregate principal amount of the
Regulation S Temporary Global Note (except to the extent of any beneficial owners thereof
who acquired an interest therein during the Restricted Period pursuant to another exemption
from registration under the Securities Act and who will take delivery of a beneficial
ownership interest in a 144A Global Note bearing a Private Placement Legend, all as
contemplated by Section 2.06(b) hereof); and

29

 

     (2) an Officers’ Certificate from the Company.

     Following the termination of the Restricted Period, beneficial interests in the Regulation S
Temporary Global Note will be exchanged for beneficial interests in the Regulation S Permanent
Global Note pursuant to the Applicable Procedures. Simultaneously with the authentication of the
Regulation S Permanent Global Note, the Trustee will cancel the Regulation S Temporary Global Note.
The aggregate principal amount of the Regulation S Temporary Global Note and the Regulation S
Permanent Global Note may from time to time be increased or decreased by adjustments made on the
records of the Trustee and the Depositary or its nominee, as the case may be, in connection with
transfers of interest as hereinafter provided.

     (d) Euroclear and Clearstream Procedures Applicable. The provisions of the “Operating
Procedures of the Euroclear System” and “Terms and Conditions Governing Use of Euroclear” and the
“General Terms and Conditions of Clearstream Banking” and “Customer Handbook” of Clearstream will
be applicable to transfers of beneficial interests in the Regulation S Temporary Global Note and
the Regulation S Permanent Global Note that are held by Participants through Euroclear or
Clearsteam.

Section 2.02 Execution and Authentication.

     At least one Officer must sign the Notes for the Company by manual or facsimile signature.

     If an Officer whose signature is on a Note no longer holds that office at the time a Note is
authenticated, the Note will nevertheless be valid.

     A Note will not be valid until authenticated by the manual signature of the Trustee. The
signature will be conclusive evidence that the Note has been authenticated under this Indenture.

     The Trustee will, upon receipt of a written order of the Company signed by two Officers (an
“Authentication Order”), authenticate Notes for original issue that may be validly issued under
this Indenture, including any Additional Notes. The aggregate principal amount of Notes outstanding
at any time may not exceed the aggregate principal amount of Notes authorized for issuance by the
Company pursuant to one or more Authentication Orders, except as provided in Section 2.07 hereof.

     The Trustee may appoint an authenticating agent acceptable to the Company to authenticate
Notes. An authenticating agent may authenticate Notes whenever the Trustee may do so. Each
reference in this Indenture to authentication by the Trustee includes authentication by such agent.
An authenticating agent has the same rights as an Agent to deal with Holders or an Affiliate of
the Company.

Section 2.03 Registrar and Paying Agent.

     The Company will maintain an office or agency where Notes may be presented for registration of
transfer or for exchange (“Registrar”) and an office or agency where Notes may be presented for
payment (“Paying Agent”). The Registrar will keep a register of the Notes and of their transfer
and exchange. The Company may appoint one or more co-registrars and one or more additional paying
agents. The term “Registrar” includes any co-registrar and the term “Paying Agent” includes any
additional paying agent. The Company may change any Paying Agent or Registrar without notice to
any Holder. The Company will notify the Trustee in writing of the name and address of any Agent
not a party to this Indenture. If the Company fails to appoint or maintain another entity as
Registrar or Paying Agent, the Trustee shall act as such. The Company or any of its Subsidiaries
may act as Paying Agent or Registrar.

30

 

     The Company initially appoints The Depository Trust Company (“DTC”) to act as Depositary with
respect to the Global Notes.

     The Company initially appoints the Trustee to act as the Registrar and Paying Agent and to act
as Custodian with respect to the Global Notes.

Section 2.04 Paying Agent to Hold Money in Trust.

     The Company will require each Paying Agent other than the Trustee to agree in writing that the
Paying Agent will hold in trust for the benefit of Holders or the Trustee all money held by the
Paying Agent for the payment of principal of, premium on, if any, or interest on, the Notes, and
will notify the Trustee of any default by the Company in making any such payment. While any such
default continues, the Trustee may require a Paying Agent to pay all money held by it to the
Trustee. The Company at any time may require a Paying Agent to pay all money held by it to the
Trustee. Upon payment over to the Trustee, the Paying Agent (if other than the Company or a
Subsidiary) will have no further liability for the money. If the Company or a Subsidiary acts as
Paying Agent, it will segregate and hold in a separate trust fund for the benefit of the Holders
all money held by it as Paying Agent. Upon any bankruptcy or reorganization proceedings relating
to the Company, the Trustee will serve as Paying Agent for the Notes.

Section 2.05 Holder Lists.

     The Trustee will preserve in as current a form as is reasonably practicable the most recent
list available to it of the names and addresses of all Holders. If the Trustee is not the
Registrar, the Company will furnish to the Trustee at least seven Business Days before each
interest payment date and at such other times as the Trustee may request in writing, a list in such
form and as of such date as the Trustee may reasonably require of the names and addresses of the
Holders of Notes.

Section 2.06 Transfer and Exchange.

     (a) Transfer and Exchange of Global Notes. A Global Note may not be transferred except as a
whole by the Depositary to a nominee of the Depositary, by a nominee of the Depositary to the
Depositary or to another nominee of the Depositary, or by the Depositary or any such nominee to a
successor Depositary or a nominee of such successor Depositary. All Global Notes will be exchanged
by the Company for Definitive Notes if:

     (1) the Company delivers to the Trustee written notice from the Depositary that it is
unwilling or unable to continue to act as Depositary or that it is no longer a clearing
agency registered under the Exchange Act and, in either case, a successor Depositary is not
appointed by the Company within 120 days after the date of such notice from the Depositary;

     (2) the Company in its sole discretion determines that the Global Notes (in whole but
not in part) should be exchanged for Definitive Notes and delivers a written notice to such
effect to the Trustee; provided that in no event shall the Regulation S Temporary Global
Note be exchanged by the Company for Definitive Notes prior to (x) the expiration of the
Restricted Period and (y) the receipt by the Registrar of any certificates required pursuant
to Rule 903(b)(3)(ii)(B) under the Securities Act; or

     (3) there has occurred and is continuing a Default or Event of Default with respect to
the Notes and the Depositary or the Company specifically requests such exchange.

31

 

     Upon the occurrence of either of the preceding events in (1), (2) or (3) above, Definitive
Notes shall be issued in such names as the Depositary shall instruct the Trustee. Global Notes
also may be exchanged or replaced, in whole or in part, as provided in Sections 2.07 and 2.10
hereof. Every Note authenticated and delivered in exchange for, or in lieu of, a Global Note or
any portion thereof, pursuant to this Section 2.06 or Section 2.07 or 2.10 hereof, shall be
authenticated and delivered in the form of, and shall be, a Global Note. A Global Note may not be
exchanged for another Note other than as provided in this Section 2.06(a), however, beneficial
interests in a Global Note may be transferred and exchanged as provided in Section 2.06(b) or (c)
hereof.

     (b) Transfer and Exchange of Beneficial Interests in the Global Notes. The transfer and
exchange of beneficial interests in the Global Notes will be effected through the Depositary, in
accordance with the provisions of this Indenture and the Applicable Procedures. Beneficial
interests in the Restricted Global Notes will be subject to restrictions on transfer comparable to
those set forth herein to the extent required by the Securities Act. Transfers of beneficial
interests in the Global Notes also will require compliance with either subparagraph (1) or (2)
below, as applicable, as well as one or more of the other following subparagraphs, as applicable:

     (1) Transfer of Beneficial Interests in the Same Global Note. Beneficial interests in
any Restricted Global Note may be transferred to Persons who take delivery thereof in the
form of a beneficial interest in the same Restricted Global Note in accordance with the
transfer restrictions set forth in the Private Placement Legend; provided, however, that
prior to the expiration of the Restricted Period, transfers of beneficial interests in the
Regulation S Temporary Global Note may not be made to a U.S. Person or for the
account or benefit of a U.S. Person (other than an Initial Purchaser). Beneficial interests
in any Unrestricted Global Note may be transferred to Persons who take delivery thereof in
the form of a beneficial interest in an Unrestricted Global Note. No written orders or
instructions shall be required to be delivered to the Registrar to effect the transfers
described in this Section 2.06(b)(1).

     (2) All Other Transfers and Exchanges of Beneficial Interests in Global Notes. In
connection with all transfers and exchanges of beneficial interests that are not subject to
Section 2.06(b)(1) above, the transferor of such beneficial interest must deliver to the
Registrar either:

               (A) both:

     (i) a written order from a Participant or an Indirect Participant given
to the Depositary in accordance with the Applicable Procedures directing the
Depositary to credit or cause to be credited a beneficial interest in
another Global Note in an amount equal to the beneficial interest to be
transferred or exchanged; and

     (ii) instructions given in accordance with the Applicable Procedures
containing information regarding the Participant account to be credited with
such increase; or

               (B) both:

     (i) a written order from a Participant or an Indirect Participant given
to the Depositary in accordance with the Applicable Procedures directing the
Depositary to cause to be issued a Definitive Note in an amount equal to the
beneficial interest to be transferred or exchanged; and

32

 

     (ii) instructions given by the Depositary to the Registrar containing
information regarding the Person in whose name such Definitive Note shall be
registered to effect the transfer or exchange referred to in (1) above;
provided that in no event shall Definitive Notes be issued upon the transfer
or exchange of beneficial interests in the Regulation S Temporary Global
Note prior to (A) the expiration of the Restricted Period and (B) the
receipt by the Registrar of any certificates required pursuant to Rule 903
under the Securities Act.

Upon satisfaction of all of the requirements for transfer or exchange of beneficial
interests in Global Notes contained in this Indenture and the Notes or otherwise applicable
under the Securities Act, the Trustee shall adjust the principal amount of the relevant
Global Note(s) pursuant to Section 2.06(g) hereof.

     (3) Transfer of Beneficial Interests to Another Restricted Global Note. A beneficial
interest in any Restricted Global Note may be transferred to a Person who takes delivery
thereof in the form of a beneficial interest in another Restricted Global Note if the
transfer complies with the requirements of Section 2.06(b)(2) above and the Registrar
receives the following:

     (A) if the transferee will take delivery in the form of a beneficial interest
in the 144A Global Note, then the transferor must deliver a certificate in the
form of Exhibit B hereto, including the certifications in item (1) thereof; and

     (B) if the transferee will take delivery in the form of a beneficial interest
in the Regulation S Temporary Global Note or the Regulation S Permanent Global
Note, then the transferor must deliver a certificate in the form of Exhibit B
hereto, including the certifications in item (2) thereof.

     (4) Transfer and Exchange of Beneficial Interests in a Restricted Global Note for
Beneficial Interests in an Unrestricted Global Note. A beneficial interest in any
Restricted Global Note may be exchanged by any holder thereof for a beneficial interest in
an Unrestricted Global Note or transferred to a Person who takes delivery thereof in the
form of a beneficial interest in an Unrestricted Global Note if the exchange or transfer
complies with the requirements of Section 2.06(b)(2) above and:

               (A) the Registrar receives the following:

     (i) if the holder of such beneficial interest in a Restricted Global
Note proposes to exchange such beneficial interest for a beneficial interest
in an Unrestricted Global Note, a certificate from such holder in the form
of Exhibit C hereto, including the certifications in item (1)(a) thereof; or

     (ii) if the holder of such beneficial interest in a Restricted Global
Note proposes to transfer such beneficial interest to a Person who shall
take delivery thereof in the form of a beneficial interest in an
Unrestricted Global Note, a certificate from such holder in the form of
Exhibit B hereto, including the certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (A), if the Company or
Registrar so requests or if the Applicable Procedures so require, an Opinion of
Counsel in form reasonably acceptable to the Registrar to the effect that such
exchange or transfer is in compliance with the Securities Act and that the
restrictions on transfer contained herein

33

 

and in the Private Placement Legend are no longer required in order to maintain
compliance with the Securities Act.

     If any such transfer is effected pursuant to subparagraph (A) above at a time when an
Unrestricted Global Note has not yet been issued, the Company shall issue and, upon receipt of an
Authentication Order in accordance with Section 2.02 hereof, the Trustee shall authenticate one or
more Unrestricted Global Notes in an aggregate principal amount equal to the aggregate principal
amount of beneficial interests transferred pursuant to subparagraph (A) above.

     Beneficial interests in an Unrestricted Global Note cannot be exchanged for, or transferred to
Persons who take delivery thereof in the form of, a beneficial interest in a Restricted Global
Note.

     (c) Transfer or Exchange of Beneficial Interests for Definitive Notes.

     (1) Beneficial Interests in Restricted Global Notes to Restricted Definitive Notes. If
any holder of a beneficial interest in a Restricted Global Note proposes to exchange such
beneficial interest for a Restricted Definitive Note or to transfer such beneficial interest
to a Person who takes delivery thereof in the form of a Restricted Definitive Note, then,
upon receipt by the Registrar of the following documentation:

     (A) if the holder of such beneficial interest in a Restricted Global Note
proposes to exchange such beneficial interest for a Restricted Definitive Note, a
certificate from such holder in the form of Exhibit C hereto, including the
certifications in item (2)(a) thereof;

     (B) if such beneficial interest is being transferred to a QIB in accordance
with Rule 144A, a certificate to the effect set forth in Exhibit B hereto,
including the certifications in item (1) thereof;

     (C) if such beneficial interest is being transferred to a Non-U.S. Person in
an offshore transaction in accordance with Rule 903 or Rule 904, a certificate to
the effect set forth in Exhibit B hereto, including the certifications in item (2)
thereof;

     (D) if such beneficial interest is being transferred pursuant to an exemption
from the registration requirements of the Securities Act in accordance with Rule
144, a certificate to the effect set forth in Exhibit B hereto, including the
certifications in item (3)(a) thereof;

     (E) if such beneficial interest is being transferred to an Institutional
Accredited Investor in reliance on an exemption from the registration requirements
of the Securities Act other than those listed in subparagraphs (B) through (D)
above, a certificate to the effect set forth in Exhibit B hereto, including the
certifications, certificates and Opinion of Counsel required by item (3) thereof,
if applicable;

     (F) if such beneficial interest is being transferred to the Company or any of
its Subsidiaries, a certificate to the effect set forth in Exhibit B hereto,
including the certifications in item (3)(b) thereof; or

     (G) if such beneficial interest is being transferred pursuant to an effective
registration statement under the Securities Act, a certificate to the effect set
forth in Exhibit B hereto, including the certifications in item (3)(c) thereof,

34

 

the Trustee shall cause the aggregate principal amount of the applicable Global Note to be reduced
accordingly pursuant to Section 2.06(g) hereof, and the Company shall execute and the Trustee shall
authenticate and deliver to the Person designated in the instructions a Definitive Note in the
appropriate principal amount. Any Definitive Note issued in exchange for a beneficial interest in
a Restricted Global Note pursuant to this Section 2.06(c) shall be registered in such name or names
and in such authorized denomination or denominations as the holder of such beneficial interest
shall instruct the Registrar through instructions from the Depositary and the Participant or
Indirect Participant. The Trustee shall deliver such Definitive Notes to the Persons in whose
names such Notes are so registered. Any Definitive Note issued in exchange for a beneficial
interest in a Restricted Global Note pursuant to this Section 2.06(c)(1) shall bear the Private
Placement Legend and shall be subject to all restrictions on transfer contained therein.

     (2) Beneficial Interests in Regulation S Temporary Global Note to Definitive Notes.
Notwithstanding Sections 2.06(c)(1)(A) and (C) hereof, a beneficial interest in the
Regulation S Temporary Global Note may not be exchanged for a Definitive Note or transferred
to a Person who takes delivery thereof in the form of a Definitive Note prior to (A) the
expiration of the Restricted Period and (B) the receipt by the Registrar of any certificates
required pursuant to Rule 903(b)(3)(ii)(B) under the Securities Act, except in the case of a
transfer pursuant to an exemption from the registration requirements of the Securities Act
other than Rule 903 or Rule 904.

     (3) Beneficial Interests in Restricted Global Notes to Unrestricted Definitive Notes.
A holder of a beneficial interest in a Restricted Global Note may exchange such beneficial
interest for an Unrestricted Definitive Note or may transfer such beneficial interest to a
Person who takes delivery thereof in the form of an Unrestricted Definitive Note only if:

               (A) the Registrar receives the following:

     (i) if the holder of such beneficial interest in a Restricted Global
Note proposes to exchange such beneficial interest for an Unrestricted
Definitive Note, a certificate from such holder in the form of Exhibit C
hereto, including the certifications in item (1)(b) thereof; or

     (ii) if the holder of such beneficial interest in a Restricted Global
Note proposes to transfer such beneficial interest to a Person who shall
take delivery thereof in the form of an Unrestricted Definitive Note, a
certificate from such holder in the form of Exhibit B hereto, including the
certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (A), if the Company or
Registrar so requests or if the Applicable Procedures so require, an Opinion of
Counsel in form reasonably acceptable to the Registrar to the effect that such
exchange or transfer is in compliance with the Securities Act and that the
restrictions on transfer contained herein and in the Private Placement Legend are no
longer required in order to maintain compliance with the Securities Act.

     (4) Beneficial Interests in Unrestricted Global Notes to Unrestricted Definitive Notes.
If any holder of a beneficial interest in an Unrestricted Global Note proposes to exchange
such beneficial interest for a Definitive Note or to transfer such beneficial interest to a
Person who takes delivery thereof in the form of a Definitive Note, then, upon satisfaction
of the conditions set forth in Section 2.06(b)(2) hereof, the Trustee will cause the
aggregate principal amount of the

35

 

applicable Global Note to be reduced accordingly pursuant to Section 2.06(g) hereof,
and the Company will execute and the Trustee will authenticate and deliver to the Person
designated in the instructions a Definitive Note in the appropriate principal amount. Any
Definitive Note issued in exchange for a beneficial interest pursuant to this Section
2.06(c)(4) will be registered in such name or names and in such authorized denomination or
denominations as the holder of such beneficial interest requests through instructions to the
Registrar from or through the Depositary and the Participant or Indirect Participant. The
Trustee will deliver such Definitive Notes to the Persons in whose names such Notes are so
registered. Any Definitive Note issued in exchange for a beneficial interest pursuant to
this Section 2.06(c)(4) will not bear the Private Placement Legend.

     (d) Transfer and Exchange of Definitive Notes for Beneficial Interests.

     (1) Restricted Definitive Notes to Beneficial Interests in Restricted Global Notes. If
any Holder of a Restricted Definitive Note proposes to exchange such Note for a beneficial
interest in a Restricted Global Note or to transfer such Restricted Definitive Notes to a
Person who takes delivery thereof in the form of a beneficial interest in a Restricted
Global Note, then, upon receipt by the Registrar of the following documentation:

     (A) if the Holder of such Restricted Definitive Note proposes to exchange
such Note for a beneficial interest in a Restricted Global Note, a certificate
from such Holder in the form of Exhibit C hereto, including the certifications in
item (2)(b) thereof;

     (B) if such Restricted Definitive Note is being transferred to a QIB in
accordance with Rule 144A, a certificate to the effect set forth in Exhibit B
hereto, including the certifications in item (1) thereof;

     (C) if such Restricted Definitive Note is being transferred to a Non-U.S.
Person in an offshore transaction in accordance with Rule 903 or Rule 904, a
certificate to the effect set forth in Exhibit B hereto, including the
certifications in item (2) thereof;

     (D) if such Restricted Definitive Note is being transferred pursuant to an
exemption from the registration requirements of the Securities Act in accordance
with Rule 144, a certificate to the effect set forth in Exhibit B hereto,
including the certifications in item (3)(a) thereof;

     (E) if such Restricted Definitive Note is being transferred to an
Institutional Accredited Investor in reliance on an exemption from the
registration requirements of the Securities Act other than those listed in
subparagraphs (B) through (D) above, a certificate to the effect set forth in
Exhibit B hereto, including the certifications, certificates and Opinion of
Counsel required by item (3) thereof, if applicable;

     (F) if such Restricted Definitive Note is being transferred to the Company or
any of its Subsidiaries, a certificate to the effect set forth in Exhibit B
hereto, including the certifications in item (3)(b) thereof; or

     (G) if such Restricted Definitive Note is being transferred pursuant to an
effective registration statement under the Securities Act, a certificate to the
effect set forth in Exhibit B hereto, including the certifications in item (3)(c)
thereof,

36

 

the Trustee will cancel the Restricted Definitive Note, increase or cause to be
increased the aggregate principal amount of, in the case of clause (A) above, the
appropriate Restricted Global Note, in the case of clause (B) above, the 144A Global
Note and in the case of clause (C) above, the Regulation S Global Note.

          (2) Restricted Definitive Notes to Beneficial Interests in Unrestricted Global Notes.
A Holder of a Restricted Definitive Note may exchange such Note for a beneficial interest in
an Unrestricted Global Note or transfer such Restricted Definitive Note to a Person who
takes delivery thereof in the form of a beneficial interest in an Unrestricted Global Note
only if:

          (A) the Registrar receives the following:

               (i) if the Holder of such Definitive Notes proposes to exchange such
Notes for a beneficial interest in the Unrestricted Global Note, a
certificate from such Holder in the form of Exhibit C hereto, including the
certifications in item (1)(c) thereof; or

               (ii) if the Holder of such Definitive Notes proposes to transfer such
Notes to a Person who shall take delivery thereof in the form of a
beneficial interest in the Unrestricted Global Note, a certificate from such
Holder in the form of Exhibit B hereto, including the certifications in item
(4) thereof;

and, in each such case set forth in this subparagraph (A), if the Company or
Registrar so requests or if the Applicable Procedures so require, an Opinion of
Counsel in form reasonably acceptable to the Registrar to the effect that such
exchange or transfer is in compliance with the Securities Act and that the
restrictions on transfer contained herein and in the Private Placement Legend are no
longer required in order to maintain compliance with the Securities Act.

     Upon satisfaction of the conditions of any of the subparagraphs in this Section
2.06(d)(2), the Trustee will cancel the Definitive Notes and increase or cause to be
increased the aggregate principal amount of the Unrestricted Global Note.

     (3) Unrestricted Definitive Notes to Beneficial Interests in Unrestricted Global Notes.
A Holder of an Unrestricted Definitive Note may exchange such Note for a beneficial
interest in an Unrestricted Global Note or transfer such Definitive Notes to a Person who
takes delivery thereof in the form of a beneficial interest in an Unrestricted Global Note
at any time. Upon receipt of a request for such an exchange or transfer, the Trustee will
cancel the applicable Unrestricted Definitive Note and increase or cause to be increased the
aggregate principal amount of one of the Unrestricted Global Notes.

     If any such exchange or transfer from a Definitive Note to a beneficial interest is
effected pursuant to subparagraph (2)(A) above at a time when an Unrestricted Global Note
has not yet been issued, the Company will issue and, upon receipt of an Authentication Order
in accordance with Section 2.02 hereof, the Trustee will authenticate one or more
Unrestricted Global Notes in an aggregate principal amount equal to the principal amount of
Definitive Notes so transferred.

     (e) Transfer and Exchange of Definitive Notes for Definitive Notes. Upon request by a Holder
of Definitive Notes and such Holder’s compliance with the provisions of this Section 2.06(e), the
Registrar will register the transfer or exchange of Definitive Notes. Prior to such registration
of transfer or exchange, the requesting Holder must present or surrender to the Registrar the
Definitive Notes duly

37

 

endorsed or accompanied by a written instruction of transfer in form satisfactory to the
Registrar duly executed by such Holder or by its attorney, duly authorized in writing. In
addition, the requesting Holder must provide any additional certifications, documents and
information, as applicable, required pursuant to the following provisions of this Section 2.06(e).

          (1) Restricted Definitive Notes to Restricted Definitive Notes. Any Restricted
Definitive Note may be transferred to and registered in the name of Persons who take
delivery thereof in the form of a Restricted Definitive Note if the Registrar receives the
following:

          (A) if the transfer will be made pursuant to Rule 144A, then the transferor
must deliver a certificate in the form of Exhibit B hereto, including the
certifications in item (1) thereof;

          (B) if the transfer will be made pursuant to Rule 903 or Rule 904, then the
transferor must deliver a certificate in the form of Exhibit B hereto, including
the certifications in item (2) thereof; and

          (C) if the transfer will be made pursuant to any other exemption from the
registration requirements of the Securities Act, then the transferor must deliver
a certificate in the form of Exhibit B hereto, including the certifications,
certificates and Opinion of Counsel required by item (3) thereof, if applicable.

          (2) Restricted Definitive Notes to Unrestricted Definitive Notes. Any Restricted
Definitive Note may be exchanged by the Holder thereof for an Unrestricted Definitive Note
or transferred to a Person or Persons who take delivery thereof in the form of an
Unrestricted Definitive Note if:

          (A) the Registrar receives the following:

               (i) if the Holder of such Restricted Definitive Notes proposes to
exchange such Notes for an Unrestricted Definitive Note, a certificate from
such Holder in the form of Exhibit C hereto, including the certifications in
item (1)(d) thereof; or

               (ii) if the Holder of such Restricted Definitive Notes proposes to
transfer such Notes to a Person who shall take delivery thereof in the form
of an Unrestricted Definitive Note, a certificate from such Holder in the
form of Exhibit B hereto, including the certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (A), if the Company or
Registrar so requests, an Opinion of Counsel in form reasonably acceptable to the
Registrar to the effect that such exchange or transfer is in compliance with the
Securities Act and that the restrictions on transfer contained herein and in the
Private Placement Legend are no longer required in order to maintain compliance with
the Securities Act.

          (3) Unrestricted Definitive Notes to Unrestricted Definitive Notes. A Holder of
Unrestricted Definitive Notes may transfer such Notes to a Person who takes delivery thereof
in the form of an Unrestricted Definitive Note. Upon receipt of a request to register such
a transfer, the Registrar shall register the Unrestricted Definitive Notes pursuant to the
instructions from the Holder thereof.

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     (f) Legends. The following legends will appear on the face of all Global Notes and Definitive
Notes issued under this Indenture unless specifically stated otherwise in the applicable provisions
of this Indenture.

          (1) Private Placement Legend.

               (A) Except as permitted by subparagraph (B) below, each Global Note and each
Definitive Note (and all Notes issued in exchange therefor or substitution
thereof) shall bear the legend in substantially the following form:

“THE NOTES EVIDENCED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
1933, AS AMENDED (THE “SECURITIES ACT”) AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
TRANSFERRED EXCEPT (A) (1) TO A PERSON WHO THE SELLER REASONABLY BELIEVES IS A QUALIFIED
INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT PURCHASING FOR ITS OWN
ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER IN A TRANSACTION MEETING THE
REQUIREMENTS OF RULE 144A, (2) IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF
REGULATION S UNDER THE SECURITIES ACT, (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE
SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE), (4) TO AN INSTITUTIONAL INVESTOR
THAT IS AN ACCREDITED INVESTOR WITHIN THE MEANING OF RULE 501 OF REGULATION D UNDER THE SECURITIES
ACT IN A TRANSACTION EXEMPT FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OR (5)
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND (B) IN ACCORDANCE WITH
ALL APPLICABLE SECURITIES LAWS OF THE STATES OF THE UNITED STATES AND OTHER JURISDICTIONS.”

               (B) Notwithstanding the foregoing, any Global Note or Definitive Note issued
pursuant to subparagraphs (b)(4), (c)(3), (c)(4), (d)(2), (d)(3), (e)(2) or (e)(3)
of this Section 2.06 (and all Notes issued in exchange therefor or substitution
thereof) will not bear the Private Placement Legend.

          (2) Global Note Legend. Each Global Note will bear a legend in substantially the
following form:

“THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING THIS NOTE) OR
ITS NOMINEE IN CUSTODY FOR THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO
ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (1) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS
MAY BE REQUIRED PURSUANT TO SECTION 2.06 OF THE INDENTURE, (2) THIS GLOBAL NOTE MAY BE EXCHANGED IN
WHOLE BUT NOT IN PART PURSUANT TO SECTION 2.06(a) OF THE INDENTURE, (3) THIS GLOBAL NOTE MAY BE
DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION 2.11 OF THE INDENTURE AND (4) THIS
GLOBAL NOTE MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITARY WITH THE PRIOR WRITTEN CONSENT OF THE
COMPANY.

UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY
NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A
NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE
DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A

39

 

NOMINEE OF SUCH SUCCESSOR DEPOSITARY. UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK) (“DTC”), TO
THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS MAY BE REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR
VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE &
CO., HAS AN INTEREST HEREIN.”

          (3) Regulation S Temporary Global Note Legend. The Regulation S Temporary Global Notes
will bear a legend in substantially the following form:

“THE RIGHTS ATTACHING TO THIS REGULATION S TEMPORARY GLOBAL NOTE, AND THE CONDITIONS AND PROCEDURES
GOVERNING ITS EXCHANGE FOR DEFINITIVE NOTES, ARE AS SPECIFIED IN THE INDENTURE (AS DEFINED HEREIN).
NEITHER THE HOLDER NOR THE BENEFICIAL OWNERS OF THIS REGULATION S TEMPORARY GLOBAL NOTE SHALL BE
ENTITLED TO RECEIVE PAYMENT OF INTEREST HEREON.”

          (4) Original Issue Discount Legend. Each Note issued with original issue discount will
bear a legend in substantially the following form:

“THIS NOTE IS ISSUED WITH ORIGINAL ISSUE DISCOUNT FOR PURPOSES OF SECTION 1271 ET SEQ. OF THE
INTERNAL REVENUE CODE. A HOLDER MAY OBTAIN THE ISSUE PRICE, AMOUNT OF ORIGINAL ISSUE DISCOUNT,
ISSUE DATE AND YIELD TO MATURITY FOR SUCH NOTES BY SUBMITTING A REQUEST FOR SUCH INFORMATION TO
THE ISSUER AT THE FOLLOWING ADDRESS: VIASYSTEMS, INC., 101 SOUTH HANLEY ROAD, ST. LOUIS, MISSOURI,
63105, ATTENTION: CHIEF FINANCIAL OFFICER.”

     (g) Cancellation and/or Adjustment of Global Notes. At such time as all beneficial interests
in a particular Global Note have been exchanged for Definitive Notes or a particular Global Note
has been redeemed, repurchased or canceled in whole and not in part, each such Global Note will be
returned to or retained and canceled by the Trustee in accordance with Section 2.11 hereof. At any
time prior to such cancellation, if any beneficial interest in a Global Note is exchanged for or
transferred to a Person who will take delivery thereof in the form of a beneficial interest in
another Global Note or for Definitive Notes, the principal amount of Notes represented by such
Global Note will be reduced accordingly and an endorsement will be made on such Global Note by the
Trustee or by the Depositary at the direction of the Trustee to reflect such reduction; and if the
beneficial interest is being exchanged for or transferred to a Person who will take delivery
thereof in the form of a beneficial interest in another Global Note, such other Global Note will be
increased accordingly and an endorsement will be made on such Global Note by the Trustee or by the
Depositary at the direction of the Trustee to reflect such increase.

     (h) General Provisions Relating to Transfers and Exchanges.

          (1) To permit registrations of transfers and exchanges, the Company will execute and
the Trustee will authenticate Global Notes and Definitive Notes upon receipt of an
Authentication Order in accordance with Section 2.02 hereof or at the Registrar’s request.

          (2) No service charge will be made to a Holder of a beneficial interest in a Global
Note or to a Holder of a Definitive Note for any registration of transfer or exchange, but
the Company

40

 

may require payment of a sum sufficient to cover any transfer tax or similar
governmental charge payable in connection therewith (other than any such transfer taxes or
similar governmental charge payable upon exchange or transfer pursuant to Sections 2.10,
3.06, 3.09, 4.10, 4.15 and 9.04 hereof).

          (3) The Registrar will not be required to register the transfer of or exchange of any
Note selected for redemption in whole or in part, except the unredeemed portion of any Note
being redeemed in part.

          (4) All Global Notes and Definitive Notes issued upon any registration of transfer or
exchange of Global Notes or Definitive Notes will be the valid obligations of the Company,
evidencing the same debt, and entitled to the same benefits under this Indenture, as the
Global Notes or Definitive Notes surrendered upon such registration of transfer or exchange.

          (5) Neither the Registrar nor the Company will be required:

     (A) to issue, to register the transfer of or to exchange any Notes during a
period beginning at the opening of business 15 days before the day of any
selection of Notes for redemption under Section 3.02 hereof and ending at the
close of business on the day of selection;

     (B) to register the transfer of or to exchange any Note selected for
redemption in whole or in part, except the unredeemed portion of any Note being
redeemed in part;

     (C) to register the transfer of or to exchange a Note between a record date
and the next succeeding interest payment date; or

     (D) to register the transfer of or to exchange any Notes tendered and not
withdrawn in connection with a Change of Control Offer under Section 4.15 or an
Asset Sale Offer under Sections 3.09 and 4.10 hereof.

          (6) Prior to due presentment for the registration of a transfer of any Note, the
Trustee, any Agent and the Company may deem and treat the Person in whose name any Note is
registered as the absolute owner of such Note for the purpose of receiving payment of
principal of, premium on, if any, and interest on, such Notes and for all other purposes,
and none of the Trustee, any Agent or the Company shall be affected by notice to the
contrary.

          (7) The Trustee will authenticate Global Notes and Definitive Notes in accordance with
the provisions of Section 2.02 hereof.

          (8) All certifications, certificates and Opinions of Counsel required to be submitted
to the Registrar pursuant to this Section 2.06 to effect a registration of transfer or
exchange may be submitted by facsimile.

Section 2.07 Replacement Notes.

     If any mutilated Note is surrendered to the Trustee or the Company and the Trustee or the
Company receives evidence to its satisfaction of the destruction, loss or theft of any Note, the
Company will issue and the Trustee, upon receipt of an Authentication Order, will authenticate a
replacement Note if the Trustee’s requirements are met. If required by the Trustee or the Company,
an indemnity bond must be supplied by the Holder that is sufficient in the judgment of (i) the
Trustee to protect the Trustee

41

 

and (ii) the Company to protect the Company, the Trustee, any Agent and any authenticating agent from
any loss that any of them may suffer if a Note is replaced. The Company may charge for its
expenses in replacing a Note.

     Every replacement Note is an additional obligation of the Company and will be entitled to all
of the benefits of this Indenture equally and proportionately with all other Notes duly issued
hereunder.

Section 2.08 Outstanding Notes.

     The Notes outstanding at any time are all the Notes authenticated by the Trustee except for
those canceled by it, those delivered to it for cancellation, those reductions in the interest in a
Global Note effected by the Trustee in accordance with the provisions hereof, and those described
in this Section 2.08 as not outstanding. Except as set forth in Section 2.09 hereof, a Note does
not cease to be outstanding because the Company or an Affiliate of the Company holds the Note;
however, Notes held by the Company or a Subsidiary of the Company shall not be deemed to be
outstanding for purposes of Section 3.07(a) hereof.

     If a Note is replaced pursuant to Section 2.07 hereof, it ceases to be outstanding unless the
Trustee receives proof satisfactory to it that the replaced Note is held by a protected purchaser.

     If the principal amount of any Note is considered paid under Section 4.01 hereof, it ceases to
be outstanding and interest on it ceases to accrue.

     If the Paying Agent (other than the Company, a Subsidiary or an Affiliate of any thereof)
holds, on a Redemption Date (as defined below) or maturity date, money sufficient to pay Notes
payable on that date, then on and after that date such Notes will be deemed to be no longer
outstanding and will cease to accrue interest.

Section 2.09 Treasury Notes.

     In determining whether the Holders of the required principal amount of Notes have concurred in
any direction, waiver or consent, Notes owned by the Company or any Guarantor, or by any Person
directly or indirectly controlling or controlled by or under direct or indirect common control with
the Company or any Guarantor, will be considered as though not outstanding, except that for the
purposes of determining whether the Trustee will be protected in relying on any such direction,
waiver or consent, only Notes that a Responsible Officer of the Trustee actually knows are so owned
will be so disregarded.

Section 2.10 Temporary Notes.

     Until certificates representing Notes are ready for delivery, the Company may prepare and the
Trustee, upon receipt of an Authentication Order, will authenticate temporary Notes. Temporary
Notes will be substantially in the form of certificated Notes but may have variations that the
Company considers appropriate for temporary Notes and as may be reasonably acceptable to the
Trustee. Without unreasonable delay, the Company will prepare and the Trustee will authenticate
definitive Notes in exchange for temporary Notes.

     Holders of temporary Notes will be entitled to all of the benefits of this Indenture.

Section 2.11 Cancellation.

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     The Company at any time may deliver Notes to the Trustee for cancellation. The Registrar and
Paying Agent will forward to the Trustee any Notes surrendered to them for registration of
transfer, exchange or payment. The Trustee and no one else will cancel all Notes surrendered for
registration of transfer, exchange, payment, replacement or cancellation and will destroy canceled
Notes in its customary manner (subject to the record retention requirement of the Exchange Act and
the Trustee). Certification of the destruction or cancellation of all canceled Notes will be
delivered to the Company upon request. The Company may not issue new Notes to replace Notes that
it has paid or that have been delivered to the Trustee for cancellation.

Section 2.12 Defaulted Interest.

     If the Company defaults in a payment of interest on the Notes, it will pay the defaulted
interest in any lawful manner plus, to the extent lawful, interest payable on the defaulted
interest, to the Persons who are Holders on a subsequent special record date, in each case at the
rate provided in the Notes and in Section 4.01 hereof. The Company will notify the Trustee in
writing of the amount of defaulted interest proposed to be paid on each Note and the date of the
proposed payment. The Company will fix or cause to be fixed each such special record date and
payment date, provided that no such special record date may be less than 10 days prior to the
related payment date for such defaulted interest. At least 15 days before the special record date,
the Company (or, upon the written request of the Company, the Trustee in the name and at the
expense of the Company) will mail or cause to be mailed to Holders a notice that states the special
record date, the related payment date and the amount of such interest to be paid.

Section 2.13 CUSIP Numbers.

     The Company in issuing the Notes shall use “CUSIP” numbers (if then generally in use), and, if
so, the Trustee shall use “CUSIP” numbers in notices of redemption as a convenience to Holders;
provided that any such notice may state that no representation is made as to the correctness of
such numbers either as printed on the Notes or as contained in any notice of a redemption and that
reliance may be placed only on the other identification numbers printed on the Notes, and any such
redemption shall not be affected by any defect in or omission of such numbers. The Company will
promptly notify the Trustee in writing of any change in the “CUSIP” numbers.

ARTICLE 3.

REDEMPTION AND PREPAYMENT

Section 3.01 Notices to Trustee.

     If the Company elects to redeem Notes pursuant to the optional redemption provisions of
Section 3.07 hereof, it must furnish to the Trustee, at least 30 days but not more than 60 days
before the date of redemption (the “Redemption Date”), an Officers’ Certificate setting forth:

          (1) the clause of this Indenture pursuant to which the redemption shall occur;

          (2) the Redemption Date;

          (3) the principal amount of Notes to be redeemed;

          (4) the redemption price; and

          (5) applicable CUSIP Numbers.

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Section 3.02 Selection of Notes to Be Redeemed or Purchased.

     If less than all of the Notes are to be redeemed or purchased in an offer to purchase at any
time, the Trustee will select Notes for redemption or purchase on a pro rata basis (or, in the case
of Notes issued in global form pursuant to Article 2 hereof based on a method that most nearly
approximates a pro rata selection as the Trustee deems fair and appropriate) unless otherwise
required by law or applicable stock exchange or depositary requirements.

     In the event of partial redemption or purchase, the particular Notes to be redeemed or
purchased will be selected, unless otherwise provided herein, not less than 30 nor more than 60
days prior to the Redemption Date or the purchase date by the Trustee from the outstanding Notes
not previously called for redemption or purchase.

     The Trustee will promptly notify the Company in writing of the Notes selected for redemption
or purchase and, in the case of any Note selected for partial redemption or purchase, the principal
amount thereof to be redeemed or purchased. Notes and portions of Notes selected will be in
amounts of $2,000 or integral multiples of $1,000 in excess of $2,000; provided that if all of the
Notes of a Holder are to be redeemed or purchased, the entire outstanding amount of Notes held by
such Holder even if not $2,000 or an integral multiple of $1,000 in excess of $2,000 shall be
redeemed or purchased. Except as provided in the preceding sentence, provisions of this Indenture
that apply to Notes called for redemption or purchase also apply to portions of Notes called for
redemption or purchase.

Section 3.03 Notice of Redemption.

     Subject to the provisions of Section 3.09 hereof, at least 30 days but not more than 60 days
before a Redemption Date, the Company will mail or cause to be mailed, by first class mail, a
notice of redemption to each Holder whose Notes are to be redeemed at its registered address,
except that redemption notices may be mailed more than 60 days prior to a Redemption Date if the
notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of
this Indenture pursuant to Articles 8 or 11 of this Indenture.

     The notice will identify the Notes to be redeemed and will state:

     (1) the Redemption Date;

     (2) the redemption price;

     (3) if any Note is being redeemed in part, the portion of the principal amount of such
Note to be redeemed and that, after the Redemption Date upon surrender of such Note, a new
Note or Notes in principal amount equal to the unredeemed portion will be issued upon
cancellation of the original Note (unless such unredeemed portion is equal to less than
$2,000 in principal amount);

     (4) the name and address of the Paying Agent;

     (5) that Notes called for redemption must be surrendered to the Paying Agent to collect
the redemption price;

     (6) that, unless the Company defaults in making such redemption payment, interest on
Notes or portions of Notes called for redemption ceases to accrue on and after the
Redemption Date;

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     (7) the paragraph of the Notes and/or Section of this Indenture pursuant to which the
Notes called for redemption are being redeemed; and

     (8) that no representation is made as to the correctness or accuracy of the CUSIP
number, if any, listed in such notice or printed on the Notes.

     At the Company’s request, the Trustee will give the notice of redemption in the Company’s name
and at its expense; provided, however, that the Company has delivered to the Trustee, at least 45
days prior to the Redemption Date (or such shorter period as is acceptable to the Trustee), an
Officers’ Certificate requesting that the Trustee give such notice and setting forth the
information to be stated in such notice as provided in the preceding paragraph.

Section 3.04 Effect of Notice of Redemption.

     Once notice of redemption is mailed in accordance with Section 3.03 hereof, Notes called for
redemption become irrevocably due and payable on the Redemption Date at the redemption price. A
notice of redemption may not be conditional.

Section 3.05 Deposit of Redemption or Purchase Price.

     No later than 10:00 a.m. Eastern Time on the Redemption Date or the purchase date, the Company
will deposit with the Trustee or with the Paying Agent money sufficient to pay the redemption or
purchase price of and accrued interest, if any, on all Notes to be redeemed or purchased on that
date. The Trustee or the Paying Agent will promptly return to the Company any money deposited with
the Trustee or the Paying Agent by the Company in excess of the amounts necessary to pay the
redemption or purchase price of, and accrued interest, if any, on, all Notes to be redeemed or
purchased.

     If the Company complies with the provisions of the preceding paragraph, on and after the
Redemption Date or the purchase date, interest will cease to accrue on the Notes or the portions of
Notes called for redemption or purchase. If a Note is redeemed or purchased on or after an
interest record date but on or prior to the related interest payment date, then any accrued and
unpaid interest shall be paid to the Person in whose name such Note was registered at the close of
business on such record date. If any Note called for redemption or purchase is not so paid upon
surrender for redemption or purchase because of the failure of the Company to comply with the
preceding paragraph, interest shall be paid on the unpaid principal, from the Redemption Date or
the purchase date until such principal is paid, and to the extent lawful on any interest not paid
on such unpaid principal, in each case at the rate provided in the Notes and in Section 4.01
hereof.

Section 3.06 Notes Redeemed or Purchased in Part.

     Upon surrender of a Note that is redeemed or purchased in part, the Company will issue and,
upon receipt of an Authentication Order, the Trustee will authenticate for the Holder at the
expense of the Company a new Note equal in principal amount to the unredeemed or unpurchased
portion of the Note surrendered. No Notes in denominations of $2,000 or less shall be redeemed in
part or purchased in part unless all of the Notes held by the Holder are to be redeemed or
purchased.

Section 3.07 Optional Redemption.

     (a) At any time prior to July 15, 2012, the Company may on any one or more occasions redeem up
to 35% of the aggregate principal amount of Notes issued under this Indenture, upon not less than
30 nor more than 60 days’ prior notice, at a redemption price equal to 112.000% of the principal
amount of

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the Notes redeemed, plus accrued and unpaid interest if any, to the Redemption Date, subject
to the rights of Holders of Notes on the relevant record date to receive interest on the relevant
interest payment date, with the net cash proceeds of one or more Equity Offerings of the Company or
a contribution to the Company’s common equity capital made with the net cash proceeds of a
concurrent Equity Offering of Parent or any direct or indirect parent company of the Company;
provided that:

     (1) at least 65% of the aggregate principal amount of Notes originally issued under
this Indenture (excluding Notes held by the Company and its Subsidiaries) remains
outstanding immediately after the occurrence of such redemption; and

     (2) the redemption occurs within 180 days of the date of the closing of such Equity
Offering.

     (b) At any time prior to July 15, 2012, the Company may also redeem all or a part of the
Notes, upon not less than 30 nor more than 60 days’ prior notice, at a redemption price equal to
100% of the principal amount of the Notes redeemed, plus the Applicable Premium as of, and accrued
and unpaid interest, if any, to the Redemption Date, subject to the rights of Holders of Notes on
the relevant record date to receive interest due on the relevant interest payment date.

     (c) Except pursuant to the preceding paragraphs, the Notes will not be redeemable at the
Company’s option prior to July 15, 2012.

     (d) On or after July 15, 2012, the Company may redeem all or a part of the Notes upon not less
than 30 nor more than 60 days’ prior notice, at the redemption prices (expressed as percentages of
principal amount) set forth below plus accrued and unpaid interest, if any, on the Notes redeemed,
to the applicable Redemption Date, if redeemed during the twelve-month period beginning on July 15
of the years indicated below, subject to the rights of Holders of Notes on the relevant record date
to receive interest on the relevant interest payment date:

	 	 	 	 	 
	Year	 	Percentage
	2012
	 	 	106.000	%
	2013
	 	 	103.000	%
	2014 and thereafter
	 	 	100.000	%

     (e) Any redemption pursuant to this Section 3.07 shall be made pursuant to the provisions of
Section 3.01 through 3.06 hereof. Unless the Company defaults in the payment of the redemption
price, interest will cease to accrue on the Notes or portions thereof called for redemption on the
applicable Redemption Date.

Section 3.08 Mandatory Redemption.

     The Company is not required to make mandatory redemption or sinking fund payments with respect
to the Notes.

Section 3.09 Offer to Purchase by Application of Excess Proceeds.

     In the event that, pursuant to Section 4.10 hereof, the Company is required to commence an
offer to all Holders to purchase Notes (an “Asset Sale Offer”), the Company will follow the
procedures specified below.

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     The Asset Sale Offer shall be made to all Holders and all holders of other Shared Lien Debt
containing provisions similar to those set forth in this Indenture with respect to offers to
purchase, prepay or redeem with the proceeds of sales of assets. The Asset Sale Offer will remain
open for a period of at least 20 Business Days following its commencement and not more than 30
Business Days, except to the extent that a longer period is required by applicable law (the “Offer
Period”). No later than five days after the termination of the Offer Period (the “Purchase Date”),
the Company will apply all Excess Proceeds (the “Offer Amount”) to the purchase of Notes and such
other Shared Lien Debt (on a pro rata basis based on the principal amount of Notes and such other
Shared Lien Debt surrendered, if applicable) or, if less than the Offer Amount has been tendered,
all Notes and other Shared Lien Debt tendered in response to the Asset Sale Offer. Payment for any
Notes so purchased will be made in the same manner as interest payments are made.

     If the Purchase Date is on or after an interest record date and on or before the related
interest payment date, any accrued and unpaid interest, if any, will be paid to the Person in whose
name a Note is registered at the close of business on such record date, and no additional interest
will be payable to Holders who tender Notes pursuant to the Asset Sale Offer.

     Upon the commencement of an Asset Sale Offer, the Company will send, by first class mail, a
notice to the Trustee and each of the Holders. The notice will contain all instructions and
materials necessary to enable such Holders to tender Notes pursuant to the Asset Sale Offer. The
notice, which will govern the terms of the Asset Sale Offer, will state:

     (1) that the Asset Sale Offer is being made pursuant to this Section 3.09 and Section
4.10 hereof and the length of time the Asset Sale Offer will remain open;

     (2) the Offer Amount, the purchase price and the Purchase Date;

     (3) that any Note not tendered or accepted for payment will continue to accrue
interest;

     (4) that, unless the Company defaults in making such payment, any Note accepted for
payment pursuant to the Asset Sale Offer will cease to accrue interest after the Purchase
Date;

     (5) that Holders electing to have a Note purchased pursuant to an Asset Sale Offer may
elect to have Notes purchased in denominations of $2,000, or in integral multiples of $1,000
in excess of $2,000, only;

     (6) that Holders electing to have Notes purchased pursuant to any Asset Sale Offer will
be required to surrender the Note, with the form entitled “Option of Holder to Elect
Purchase” attached to the Notes completed, or transfer by book-entry transfer, to the
Company, a Depositary, if appointed by the Company, or a Paying Agent at the address
specified in the notice at least three days before the Purchase Date;

     (7) that Holders will be entitled to withdraw their election if the Paying Agent
receives, not later than the expiration of the Offer Period, a telegram, telex, facsimile
transmission or letter setting forth the name of the Holder, the principal amount of the
Note the Holder delivered for purchase and a statement that such Holder is withdrawing his
election to have such Note purchased;

     (8) that, if the aggregate principal amount of Notes and other Shared Lien Debt
surrendered by holders thereof exceeds the Offer Amount, the Company will select the Notes
and other Shared Lien Debt to be purchased on a pro rata basis based on the principal amount
of

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Notes and such other Shared Lien Debt surrendered (with such adjustments as may be
deemed appropriate by the Company so that only Notes in denominations of $2,000, or in
integral multiples of $1,000 in excess of $2,000, will be purchased); and

     (9) that Holders whose Notes were purchased only in part will be issued new Notes equal
in principal amount to the unpurchased portion (to the extent that such unpurchased portion
is equal to $2,000 in principal amount or an integral multiple of $1,000 in excess of
$2,000) of the Notes surrendered (or transferred by book-entry transfer).

     On or before the Purchase Date, the Company will, to the extent lawful, accept for payment, on
a pro rata basis to the extent necessary, the Offer Amount of Notes or portions thereof tendered
pursuant to the Asset Sale Offer, or if less than the Offer Amount has been tendered, all Notes
tendered, and will deliver or cause to be delivered to the Trustee the Notes properly accepted
together with an Officers’ Certificate stating that such Notes or portions thereof were accepted
for payment by the Company in accordance with the terms of this Section 3.09. The Paying Agent
will promptly (but in any case not later than five days after the Purchase Date) mail or deliver to
each tendering Holder an amount equal to the purchase price of the Notes tendered by such Holder
and accepted by the Company for purchase, and the Company, will promptly issue a new Note, and the
Trustee, upon written request from the Company will authenticate and mail or deliver (or cause to
be transferred by book entry) such new Note to such Holder, in a principal amount equal to any
unpurchased portion of the Note surrendered; provided that each new Note will be in a principal
amount of $2,000 or integral multiples of $1,000 in excess of $2,000. Any Note not so accepted
shall be promptly mailed or delivered by the Company to the Holder thereof. The Company will
publicly announce the results of the Asset Sale Offer on the Purchase Date.

     Other than as specifically provided in this Section 3.09, any purchase pursuant to this
Section 3.09 shall be made pursuant to the provisions of Sections 3.01 through 3.06 hereof.

ARTICLE 4.

COVENANTS

Section 4.01 Payment of Notes.

     The Company will pay or cause to be paid the principal of, premium on, if any, and interest
on, the Notes on the dates and in the manner provided in the Notes. Principal, premium, if any,
and interest will be considered paid on the date due if the Paying Agent, if other than the Company
or a Subsidiary thereof, holds as of 10:00 a.m. Eastern Time on the due date money deposited by the
Company in immediately available funds and designated for and sufficient to pay all principal,
premium, if any, and interest then due.

Section 4.02 Maintenance of Office or Agency.

     The Company will maintain an office or agency (which may be an office of the Trustee or an
affiliate of the Trustee, Registrar or co-registrar) where Notes may be surrendered for
registration of transfer or for exchange and where notices and demands to or upon the Company in
respect of the Notes and this Indenture may be served. The Company will give prompt written notice
to the Trustee of the location, and any change in the location, of such office or agency. If at
any time the Company fails to maintain any such required office or agency or fails to furnish the
Trustee with the address thereof, such presentations, surrenders, notices and demands may be made
or served at the Corporate Trust Office of the Trustee.

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     The Company may also from time to time designate one or more other offices or agencies where
the Notes may be presented or surrendered for any or all such purposes and may from time to time
rescind such designations. The Company will give prompt written notice to the Trustee of any such
designation or rescission and of any change in the location of any such other office or agency.

     The Company hereby designates the Corporate Trust Office of the Trustee as one such office or
agency of the Company in accordance with Section 2.03 hereof.

Section 4.03 Reports.

     (a) Whether or not required by the rules and regulations of the SEC, so long as any Notes are
outstanding, the Company will furnish to the Holders of Notes and the Trustee (or file with the SEC
for public availability), within the time periods specified in the SEC’s rules and regulations that
are applicable to registrants that are not accelerated filers:

     (1) all quarterly and annual reports that would be required to be filed with the SEC on
Forms 10-Q and 10-K if the Company were required to file such reports, including a
“Management’s Discussion and Analysis of Financial Condition and Results of Operations,” a
presentation of Adjusted EBITDA of the Company and its subsidiaries consistent with the
presentation thereof in the Offering Circular and derived from the Company’s financial
statements and, with respect to the annual information only, a report thereon by the
Company’s certified independent accountants; and

     (2) all current reports that would be required to be filed with the SEC on Form 8-K if
the Company were required to file such reports.

     (b) All such reports will be prepared in all material respects in accordance with all of the
rules and regulations applicable to such reports. In addition, the Company will file a copy of
each of the reports referred to in clauses (1) and (2) of Section 4.03(a) hereof with the SEC for
public availability within the time periods specified in the SEC’s rules and regulations that are
applicable to such reports and that are applicable to registrants that are not accelerated filers
(unless the SEC will not accept such a filing) and will post the reports on its website within
those time periods.

     (c) Notwithstanding whether the Company is subject to the periodic reporting requirements of
the Exchange Act, the Company will nevertheless continue filing the reports specified in this
Section 4.03 with the SEC within the time periods specified above unless the SEC will not accept
such a filing. The Company will not take any action for the purpose of causing the SEC not to
accept any such filings. If, notwithstanding the foregoing, the SEC will not accept the Company’s
filings for any reason, the Company will post the reports referred to in the preceding paragraphs
on its website within the time periods that would apply if the Company were required to file those
reports with the SEC.

     (d) If the Company has designated any of its Subsidiaries as Unrestricted Subsidiaries, then
the quarterly and annual financial information required by the preceding paragraphs will include a
reasonably detailed presentation, either on the face of the financial statements or in the
footnotes thereto, and in Management’s Discussion and Analysis of Financial Condition and Results
of Operations, of the financial condition and results of operations of the Company and its
Restricted Subsidiaries separate from the financial condition and results of operations of the
Unrestricted Subsidiaries of the Company.

     (e) In addition, if at any time Parent or any direct or indirect parent holding company of the
Company becomes a Guarantor of the Notes in accordance with this Indenture (there being no
obligation of any such entity to do so), such entity has no material assets other than cash, Cash
Equivalents,

49

 

receivables owed by any of its Subsidiaries to such entity and the Capital Stock of the
Company and any other direct or indirect parent holding company of the Company, the reports,
information and other documents required to be filed pursuant to this Section 4.03 may, at the
option of the Company, be furnished by and be those of such entity rather than the Company.

     (f) So long as any Notes are outstanding, the Company will also:

     (1) within 10 Business Days after filing a copy of each of the reports referred to in
clauses (1) and (2) of Section 4.03(a) hereof with the SEC, hold a conference call to
discuss such reports and the results of operations for the relevant reporting period; and

     (2) issue a press release to an internationally recognized wire service no fewer than
three Business Days prior to the date of the conference call required to be held in
accordance with this paragraph, announcing the time and date of such conference call and
either including all information necessary to access the call or directing the Holders of
the Notes, prospective investors, broker-dealers and securities analysts to contact the
appropriate person at the Company to obtain such information.

     (g) The Company shall furnish to the Holders of the Notes, prospective investors,
broker-dealers and securities analysts, upon their request, any information required to be
delivered pursuant to Rule 144A(d)(4) under the Securities Act so long as the Notes are not freely
transferable under the Securities Act.

     (h) Delivery of such reports, information and documents to the Trustee is for informational
purposes only and the Trustee’s receipt of such shall not constitute constructive notice of any
information contained therein or determinable from information contained therein, including the
Company’s compliance with any of its covenants hereunder (as to which the Trustee is entitled to
rely exclusively on Officers’ Certificates).

Section 4.04 Compliance Certificate.

     (a) The Company and each Guarantor shall deliver to the Trustee, within 90 days after the end
of each fiscal year, an Officers’ Certificate stating that a review of the activities of the
Company and its Subsidiaries during the preceding fiscal year has been made under the supervision
of the signing Officers with a view to determining whether the Company has kept, observed,
performed and fulfilled its obligations under this Indenture, and further stating, as to each such
Officer signing such certificate, that to the best of his or her knowledge the Company has kept,
observed, performed and fulfilled each and every covenant contained in this Indenture and is not in
default in the performance or observance of any of the terms, provisions and conditions of this
Indenture (or, if a Default or Event of Default has occurred, describing all such Defaults or
Events of Default of which he or she may have knowledge and what action the Company is taking or
proposes to take with respect thereto) and that to the best of his or her knowledge no event has
occurred and remains in existence by reason of which payments on account of the principal of,
premium on, if any, or interest on, the Notes is prohibited or if such event has occurred, a
description of the event and what action the Company is taking or proposes to take with respect
thereto.

     (b) So long as any of the Notes are outstanding, the Company will deliver to the Trustee,
within five Business Days of any Officer becoming aware of any Default or Event of Default, an
Officers’ Certificate specifying such Default or Event of Default and what action the Company is
taking or proposes to take with respect thereto.

Section 4.05 Taxes.

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     The Company will pay, and will cause each of its Subsidiaries to pay, prior to delinquency,
all material taxes, assessments, and governmental levies except such as are contested in good faith
and by appropriate proceedings or where the failure to effect such payment is not adverse in any
material respect to the Holders of the Notes.

Section 4.06 Stay, Extension and Usury Laws.

     The Company and each of the Guarantors covenants (to the extent that it may lawfully do so)
that it will not at any time insist upon, plead, or in any manner whatsoever claim or take the
benefit or advantage of, any stay, extension or usury law wherever enacted, now or at any time
hereafter in force, that may affect the covenants or the performance of this Indenture; and the
Company and each of the Guarantors (to the extent that it may lawfully do so) hereby expressly
waives all benefit or advantage of any such law, and covenants that it will not, by resort to any
such law, hinder, delay or impede the execution of any power herein granted to the Trustee, but
will suffer and permit the execution of every such power as though no such law has been enacted.

Section 4.07 Restricted Payments.

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly:

     (I) declare or pay any dividend or make any other payment or distribution on account
of the Company’s or any of its Restricted Subsidiaries’ Equity Interests (including, without
limitation, any payment in connection with any merger or consolidation involving the Company
or any of its Restricted Subsidiaries) or to the direct or indirect holders of the Company’s
or any of its Restricted Subsidiaries’ Equity Interests in their capacity as such (other
than dividends or distributions payable in Equity Interests (other than Disqualified Stock)
of the Company and other than dividends or distributions payable to the Company or a
Restricted Subsidiary of the Company);

     (II) purchase, redeem or otherwise acquire or retire for value (including, without
limitation, in connection with any merger or consolidation involving the Company) any Equity
Interests of the Company or any direct or indirect parent of the Company;

     (III) make any payment on or with respect to, or purchase, redeem, defease or
otherwise acquire or retire for value any Indebtedness of the Company or any Guarantor that
is unsecured (excluding any unsecured Indebtedness of the Company or any Guarantor that is
incurred pursuant to clause (16) of Section 4.09(b hereof)) or is contractually subordinated
to the Notes or to any Note Guarantee (excluding any intercompany Indebtedness between or
among the Company and any of its Restricted Subsidiaries), except a payment of interest or a
payment of principal at, or within one year of, the Stated Maturity thereof; or

     (IV) make any Restricted Investment

(all such payments and other actions set forth in these clauses (I) through (IV) above being
collectively referred to as “Restricted Payments”), unless, at the time of and after giving effect
to such Restricted Payment:

     (1) no Default or Event of Default has occurred and is continuing or would occur as a
consequence of such Restricted Payment;

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     (2) the Company would, at the time of such Restricted Payment and after giving pro
forma effect thereto as if such Restricted Payment had been made at the beginning of the
applicable four-quarter period, have been permitted to incur at least $1.00 of additional
Indebtedness pursuant to the Fixed Charge Coverage Ratio test set forth in Section 4.09(a);
and

     (3) such Restricted Payment, together with the aggregate amount of all other Restricted
Payments made by the Company and its Restricted Subsidiaries since the date of this
Indenture (excluding Restricted Payments permitted by clauses (2), (3), (4), (5), (6), (7),
(8), (11), (12), (14) and (15) of Section 4.07(b) hereof), is less than the sum, without
duplication of:

     (A) 50% of the Consolidated Net Income of the Company, for the period (taken
as one accounting period) from the beginning of the first fiscal quarter
commencing after the date of this Indenture to the end of the Company’s most
recently ended fiscal quarter for which internal financial statements are
available at the time of such Restricted Payment (or, if such Consolidated Net
Income for such period is a deficit, less 100% of such deficit); plus

     (B) 100% of the aggregate net proceeds received by the Company since the date
of this Indenture (other than those received by the Company concurrently with, or
in connection with, the Merger) as a contribution to its common equity capital or
from the issue or sale of Equity Interests of the Company (other than Disqualified
Stock) provided that the value of any non-cash net proceeds (which in each case
shall be assets of the type used or useful in a Permitted Business or Capital
Stock of a Person engaged in a Permitted Business) shall be as determined by the
Board of Directors in good faith; plus

     (C) 100% of the amount by which Indebtedness of the Company is reduced on its
balance sheet upon the conversion or exchange (other than by a Restricted
Subsidiary of the Company) subsequent to the date of this Indenture of any
Indebtedness of the Company for Equity Interests (other than Disqualified Stock)
of the Company (less the amount of cash, or other property, distributed by the
Company upon such conversion or exchange); plus

     (D) the amount equal to the net reduction in Restricted Investments made by
the Company or any of its Restricted Subsidiaries in any Person resulting from:

     (i) repurchases or redemptions of any such Restricted Investment by
such Person, proceeds realized upon the sale of such Restricted Investment
to a Person that is not an Affiliate of the Company, and repayments of loans
or advances or other transfers of assets by such Person to the Company or
any Restricted Subsidiary of the Company; or

     (ii) the redesignation of Unrestricted Subsidiaries as Restricted
Subsidiaries (valued in each case as provided in the definition of
“Investment”) not to exceed, in the case of any Unrestricted Subsidiary, the
amount of Restricted Investments previously made by the Company or any
Restricted Subsidiary in such Unrestricted Subsidiary, to the extent that
such amount was included in the calculation of the amount of Restricted
Payments;

provided, however, that no amount shall be included under this clause (D) to the
extent it is already included in Consolidated Net Income; plus

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     (E) 50% of any dividends received by the Company or a Restricted Subsidiary
of the Company after the date of this Indenture from an Unrestricted Subsidiary of
the Company, to the extent that such dividends were not otherwise included in the
Consolidated Net Income of the Company for such period; plus

     (F) 100% of the aggregate net cash proceeds received by a Person in
consideration for the issuance of such Person’s Capital Stock (other than
Disqualified Stock) that are held by such Person at the time such Person is merged
with and into the Company in accordance with Section 5.01 hereof; provided,
however, that concurrently with or immediately following such merger the Company
uses an amount equal to such net cash proceeds to redeem or repurchase the
Company’s Capital Stock.

     (b) The provisions of Section 4.07(a) hereof will not prohibit:

     (1) the payment of any dividend or the consummation of any irrevocable redemption
within 60 days after the date of declaration of the dividend or giving of the redemption
notice, as the case may be, if at the date of declaration or notice, the dividend or
redemption payment would have complied with the provisions of this Indenture;

     (2) the making of any Restricted Payment in exchange for, or out of or with the net
proceeds (other than those received by the Company concurrently with, or in connection with,
the Merger) of the substantially concurrent sale (other than to a Subsidiary of the Company)
of, Equity Interests of the Company (other than Disqualified Stock) or from the
substantially concurrent contribution of common equity capital to the Company; provided that
the amount of any such net proceeds that are used for any such Restricted Payment will be
excluded from clause (3)(B) of Section 4.07(a) hereof and clause 6(A) of this Section
4.07(b);

     (3) the repurchase, redemption, defeasance or other acquisition or retirement for value
of Indebtedness of the Company or any Guarantor that is unsecured or is contractually
subordinated to the Notes or to any Note Guarantee with the net cash proceeds from a
substantially concurrent incurrence of Permitted Refinancing Indebtedness;

     (4) any purchase or redemption of Indebtedness of the Company or any Guarantor that is
unsecured or is contractually subordinated to the Notes or to any Note Guarantee pursuant to
provisions similar to those described under Section 4.15 or Section 4.10 of this Indenture;
provided that a Change of Control Offer or an Asset Sale Offer, as applicable, has been made
and all Notes tendered by Holders in connection with such Change of Control Offer or Asset
Sale Offer, as applicable, have been repurchased, redeemed or acquired for value;

     (5) the payment of any dividend (or, in the case of any partnership or limited
liability company, any similar distribution) by a Restricted Subsidiary of the Company to
the holders of its Equity Interests on a pro rata basis;

     (6) so long as no Default or Event of Default has occurred and is continuing or would
be caused thereby, the repurchase, redemption or other acquisition or retirement for value
of any Equity Interests of Parent or any direct or indirect parent company of the Company,
the Company or any Restricted Subsidiary of the Company (or payments to Parent or any direct
or indirect parent company of the Company to make such repurchase, redemption or other
acquisition or retirement for value) held by any current or former officer, director or
employee of the Company or any of its Restricted Subsidiaries pursuant to any equity
subscription agreement, stock option agreement, shareholders’ agreement or similar
agreement; provided that the aggregate price paid

53

 

for all such repurchased, redeemed, acquired or retired Equity Interests may not exceed
$10.0 million; provided further that such amount may be increased by an amount not to
exceed:

     (A) the net cash proceeds of the substantially concurrent sale (other than to
a Subsidiary of the Company) of, Equity Interests of the Company (other than
Disqualified Stock) or from the substantially concurrent contribution of common
equity capital to the Company, in each case to or from, as applicable, members of
management, directors or consultants of the Company, any of its Subsidiaries or
any of its direct or indirect parent companies that occurs after the date of this
Indenture; provided that the amount of any such net cash proceeds that are used
for a Restricted Payment pursuant to this clause (6)(A) will be excluded from
clause (3)(B) of Section 4.07(a) hereof and clause (2) of this Section 4.07(b);
plus

     (B) the cash proceeds of key man life insurance policies received by the
Company or its Restricted Subsidiaries after the date of this Indenture.

In addition, cancellation of Indebtedness owing to the Company from any current or former
officer, director or employee (or any permitted transferees thereof) of the Company or any
of its Restricted Subsidiaries (or any direct or indirect parent company thereof), in
connection with a repurchase of Equity Interests of the Company from such Persons will not
be deemed to constitute a Restricted Payment for purposes of this Section 4.07 or any other
provisions of this Indenture;

     (7) the repurchase, redemption or other acquisition or retirement for value of any
Senior Subordinated Notes;

     (8) the repurchase of Equity Interests deemed to occur upon the exercise of stock
options to the extent such Equity Interests represent a portion of the exercise price of
those stock options;

     (9) payments to enable the Company or Parent or any direct or indirect parent company
of the Company to allow the payment of cash in lieu of the issuance of fractional shares
upon (i) the exercise of options or warrants or (ii) the conversion or exchange of Capital
Stock of any such person;

     (10) so long as no Default or Event of Default has occurred and is continuing or would
be caused thereby, the designation of a Subsidiary as an Unrestricted Subsidiary in
accordance with Section 4.17 of this Indenture if the Subsidiary to be so designated has
total consolidated assets of $10,000 or less;

     (11) so long as no Default or Event of Default has occurred and is continuing or would
be caused thereby, the declaration and payment of regularly scheduled or accrued dividends
to holders of any class or series of Disqualified Stock of the Company or any preferred
stock of any Restricted Subsidiary of the Company issued on or after the date of this
Indenture in accordance with the Fixed Charge Coverage Ratio test described in Section
4.09(a) of this Indenture;

     (12) Permitted Payments to Parent;

     (13) so long as no Default or Event of Default has occurred and is continuing or would
be caused thereby, payments of dividends on the Company’s common stock (or payments to
Parent or any direct or indirect parent company of the Company to pay dividends on its
common stock) after an initial public offering of common stock of the Company or of Parent
or any direct

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or indirect parent company of the Company, as the case may be, in an annual amount not
to exceed 6.0% of the gross proceeds (before deducting underwriting discounts and
commissions and other fees and expenses of the offering) received by the Company from shares
of common stock sold for the account of the Company (and not for the account of any
stockholder) in such initial public offering or, in the case of any initial public offering
of Parent or any direct or indirect parent company of the Company, an annual amount not to
exceed 6.0% of the amount contributed to the common or non-redeemable preferred equity of
the Company by Parent or any direct or indirect parent company of the Company from the Net
Proceeds of an initial public offering of Parent or any direct or indirect parent company of
the Company;

     (14) payments on the date of the consummation of the Merger necessary to consummate
the Merger as described in the Offering Circular under the heading “Pending Merger with
Merix Corporation and Related Transactions”; and

     (15) other Restricted Payments in an amount which, taken together with all other
Restricted Payments made pursuant to this clause (15), do not exceed $10.0 million.

     The amount of all Restricted Payments (other than cash) will be the Fair Market Value on the
date of the Restricted Payment of the assets or securities proposed to be transferred or issued by
the Company or such Restricted Subsidiary, as the case may be, pursuant to the Restricted Payment.
The Fair Market Value of any assets or securities that are required to be valued by this Section
4.07 will be determined by the Board of Directors of the Company whose resolution with respect
thereto shall be delivered to the Trustee.

Section 4.08 Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries.

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly, create or permit to exist or become effective any consensual encumbrance or
restriction on the ability of any Restricted Subsidiary to:

     (1) pay dividends or make any other distributions on its Capital Stock to the Company
or any of its Restricted Subsidiaries or with respect to any other interest or participation
in, or measured by, its profits, or pay any Indebtedness owed to the Company or any of its
Restricted Subsidiaries;

     (2) make loans or advances to the Company or any of its Restricted Subsidiaries; or

     (3) sell, lease or transfer any of its properties or assets to the Company or any of
its Restricted Subsidiaries.

     (b) The restrictions in Section 4.08(a) hereof will not apply to encumbrances or restrictions
existing under or by reason of:

     (1) agreements governing Existing Indebtedness, the Senior Subordinated Notes and
Credit Facilities as in effect on the date of this Indenture and any amendments,
restatements, modifications, renewals, supplements, refundings, replacements or refinancings
of those agreements; provided that the amendments, restatements, modifications, renewals,
supplements, refundings, replacements or refinancings are not materially more restrictive,
taken as a whole, with respect to such dividend and other payment restrictions than those
contained in those agreements on the date of this Indenture;

55

 

     (2) this Indenture, the Notes and the Note Guarantees;

     (3) any applicable law, rule, regulation or order;

     (4) any instrument governing Indebtedness or Capital Stock of a Person acquired by the
Company or any of its Restricted Subsidiaries as in effect at the time of such acquisition
(except to the extent such Indebtedness or Capital Stock was incurred in connection with or
in contemplation of such acquisition), which encumbrance or restriction is not applicable to
any Person, or the properties or assets of any Person, other than the Person, or the
property or assets of the Person, so acquired; provided that, in the case of Indebtedness,
such Indebtedness was permitted by the terms of this Indenture to be incurred;

     (5) any agreement evidencing Indebtedness incurred without violation of this Indenture,
or any amendment, restatement, modification, renewal, supplement, refunding, replacement or
refinancing of any agreement referred to in clauses (1) or (4) or this clause (5); provided
that the encumbrances or restrictions contained in any such agreement, amendment,
restatement, modification, renewal, supplement, refunding, replacement or refinancing, taken
as a whole, are either (in each case, as determined in good faith by the senior management
of the Company) (i) not materially less favorable to the Holders of the Notes than
encumbrances and restrictions contained in agreements in effect at, or entered into on, the
date of this Indenture or (ii) (x) customary for instruments of such type and (y) will not
materially adversely impact the ability of the Company to make required principal and
interest payments on the Notes;

     (6) any agreement or provision that (a) restricts in a customary manner the subletting,
assignment or transfer of any property or asset that is a lease, license, conveyance or
contract or similar property or asset, (b) creates an encumbrance or restriction by virtue
of any transfer of, agreement to transfer, option or right with respect to any property or
assets of the Company or any Restricted Subsidiary not otherwise prohibited by this
Indenture, (c) is a licensing agreement to the extent such agreement limits the transfer of
the property subject to such licensing agreement or (d) creates an encumbrance or
restriction arising or agreed to in the ordinary course of business and that does not,
individually or in the aggregate, detract from the value of property or assets of the
Company or any of its Subsidiaries in any manner material to the Company or any such
Restricted Subsidiary as determined in good faith by senior management of the Company;

     (7) purchase money obligations for property acquired in the ordinary course of business
and Capital Lease Obligations that impose restrictions on the property purchased or leased
of the nature described in clause (3) of Section 4.08(a) hereof;

     (8) any agreement for the sale or other disposition of a Restricted Subsidiary that
restricts distributions by that Restricted Subsidiary pending its sale or other disposition;

     (9) Permitted Refinancing Indebtedness; provided that the restrictions contained in the
agreements governing such Permitted Refinancing Indebtedness are not materially more
restrictive, taken as a whole, as determined in good faith by the senior management of the
Company, than those contained in the agreements governing the Indebtedness being refinanced;

     (10) Foreign Subsidiary Debt;

     (11) Liens that limit the right of the debtor to dispose of the assets subject to such
Liens;

     (12) Liens permitted to be incurred under Section 4.12 of this Indenture;

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     (13) Priority Lien Debt that limits the right of the debtor to dispose of the assets
securing such Indebtedness that is otherwise permitted to be incurred pursuant Sections 4.09
and 4.12 of this Indenture;

     (14) provisions limiting the disposition or distribution of assets or property in joint
venture agreements, asset sale agreements, sale-leaseback agreements, stock sale agreements
and other similar agreements (including agreements entered into in connection with a
Restricted Investment) entered into with the approval of the Company’s Board of Directors,
which limitation is applicable only to the assets or entities that are the subject of such
agreements;

     (15) customary provisions in joint venture agreements and other similar agreements
relating solely to such joint venture and its Subsidiaries or such similar agreements; and

     (16) restrictions on cash or other deposits or net worth imposed by customers under
contracts entered into in the ordinary course of business.

Section 4.09 Incurrence of Indebtedness and Issuance of Preferred Stock.

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly, create, incur, issue, assume, guarantee or otherwise become directly or indirectly
liable, contingently or otherwise, with respect to (collectively, “incur”) any Indebtedness
(including Acquired Debt), and the Company will not issue any Disqualified Stock and will not
permit any of its Restricted Subsidiaries to issue any shares of preferred stock; provided,
however, that the Company may incur Indebtedness (including Acquired Debt) or issue Disqualified
Stock, and the Company’s Restricted Subsidiaries may incur Indebtedness (including Acquired Debt)
or issue preferred stock, if the Fixed Charge Coverage Ratio for the Company’s most recently ended
four full fiscal quarters for which internal financial statements are available immediately
preceding the date on which such additional Indebtedness is incurred or such Disqualified Stock or
such preferred stock is issued, as the case may be, would have been at least 2.0 to 1.0, determined
on a pro forma basis (including a pro forma application of the net proceeds therefrom), as if the
additional Indebtedness had been incurred or the Disqualified Stock or the preferred stock had been
issued, as the case may be, at the beginning of such four-quarter period.

     (b) The provisions of Section 4.09(a) will not prohibit the incurrence of any of the following
items of Indebtedness (collectively, “Permitted Debt”):

     (1) the incurrence by the Company and the Guarantors of additional Indebtedness and
letters of credit under Credit Facilities in an aggregate principal amount at any one time
outstanding under this clause (1) (with letters of credit being deemed to have a principal
amount equal to the maximum potential liability of the Company and the Guarantors
thereunder) not to exceed (as of any date of incurrence of Indebtedness under the provision
described in this clause (1) and after giving pro forma effect to such incurrence and the
application of the net proceeds therefrom) the greater of (a) $75.0 million and (b) the
amount of the Borrowing Base as of the date of such incurrence;

     (2) the incurrence by the Company and its Restricted Subsidiaries of the Existing
Indebtedness;

     (3) the incurrence by the Company and the Guarantors of Indebtedness represented by the
Initial Notes and the related Note Guarantees in respect of the Initial Notes to be issued
on the date of this Indenture;

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     (4) the incurrence by the Company or any of its Restricted Subsidiaries of Indebtedness
represented by Capital Lease Obligations, mortgage financings or purchase money obligations,
in each case, incurred for the purpose of financing all or any part of the purchase price or
cost of design, construction, installation or improvement of property, plant or equipment
used in the business of the Company or any of its Restricted Subsidiaries, in each case
incurred no later than 365 days after the date of such acquisition or the date of completion
of such construction, installation or improvement, in an aggregate principal amount,
including all Permitted Refinancing Indebtedness incurred to renew, refund, refinance,
replace, defease or discharge any Indebtedness incurred pursuant to this clause (4), not to
exceed $15.0 million at any time outstanding;

     (5) the incurrence by the Company or any of its Restricted Subsidiaries of Permitted
Refinancing Indebtedness in exchange for, or the net proceeds of which are used to renew,
refund, refinance, replace, defease or discharge any Indebtedness (other than intercompany
Indebtedness) that was permitted by this Indenture to be incurred under Section 4.09(a)
hereof or clauses (2), (3) or (5) of this Section 4.09(b);

     (6) the incurrence by the Company or any of its Restricted Subsidiaries of intercompany
Indebtedness between or among the Company and any of its Restricted Subsidiaries; provided,
however, that:

     (A) if the Company or any Guarantor is the obligor on such Indebtedness and
the payee is not the Company or a Guarantor, such Indebtedness must be unsecured
and expressly subordinated to the prior payment in full in cash of all Obligations
then due with respect to the Notes, in the case of the Company, or the Note
Guarantee, in the case of a Guarantor; and

     (B) (i) any subsequent issuance or transfer of Equity Interests that results
in any such Indebtedness being held by a Person other than the Company or a
Restricted Subsidiary of the Company and (ii) any sale or other transfer of any
such Indebtedness to a Person that is not either the Company or a Restricted
Subsidiary of the Company, will be deemed, in each case, to constitute an
incurrence of such Indebtedness by the Company or such Restricted Subsidiary, as
the case may be, that was not permitted by this clause (6);

     (7) the issuance by any of the Company’s Restricted Subsidiaries to the Company or to
any of its Restricted Subsidiaries of shares of preferred stock; provided, however, that:

     (A) any subsequent issuance or transfer of Equity Interests that results in
any such preferred stock being held by a Person other than the Company or a
Restricted Subsidiary of the Company; and

     (B) any sale or other transfer of any such preferred stock to a Person that
is not either the Company or a Restricted Subsidiary of the Company,

will be deemed, in each case, to constitute an issuance of such preferred stock by such
Restricted Subsidiary that was not permitted by this clause (7);

     (8) the incurrence by the Company or any of its Restricted Subsidiaries of Hedging
Obligations in the ordinary course of business;

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     (9) the Guarantee by the Company or a Restricted Subsidiary of Indebtedness of the
Company or a Restricted Subsidiary of the Company that was permitted to be incurred by
another provision of this Section 4.09; provided that if the Indebtedness being guaranteed
is subordinated to or pari passu with the Notes, then the Guarantee shall be subordinated or
pari passu, as applicable, to the same extent as the Indebtedness guaranteed;

     (10) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness:

     (A) in respect of performance bonds, bankers’ acceptances and surety or
appeal bonds provided by the Company or any of its Restricted Subsidiaries to
their customers in the ordinary course of their business,

     (B) in respect of performance bonds or similar obligations of the Company or
any of its Restricted Subsidiaries for or in connection with pledges, deposits or
payments made or given in the ordinary course of business in connection with or to
secure statutory, regulatory or similar obligations, including obligations under
health, safety or environmental obligations, and

     (C) arising from Guarantees to suppliers, lessors, licensees, contractors,
franchisees or customers of obligations (other than Indebtedness) incurred in the
ordinary course of business;

     (11) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness arising from agreements providing for indemnification, adjustment of purchase
price or similar obligations, or from Guarantees or letters of credit, surety bonds or
performance bonds securing any obligations of the Company or any of its Restricted
Subsidiaries pursuant to such agreements, in each case incurred in connection with the
disposition of any business, assets or Restricted Subsidiary of the Company (other than
Guarantees of Indebtedness or other obligations incurred by any Person acquiring all or any
portion of such business assets or Restricted Subsidiary of the Company for the purpose of
financing such acquisition) in a principal amount not to exceed the gross proceeds actually
received by the Company or any of its Restricted Subsidiaries in connection with such
disposition;

     (12) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness arising from the honoring by a bank or other financial institution of a check,
draft or similar instrument inadvertently drawn against insufficient funds in the ordinary
course of business, provided that such Indebtedness is extinguished promptly in accordance
with customary practices;

     (13) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness arising from agreements with governmental agencies of any foreign country, or
political subdivision or agency thereof, relating to the construction of plants and the
purchase and installation (including related training costs) of equipment to be used in a
Permitted Business; provided that such Indebtedness (a) has a Stated Maturity in excess of
the final maturity of the Notes plus 91 days and (b) in the aggregate does not exceed $25.0
million since the date of this Indenture;

     (14) the Senior Subordinated Notes;

     (15) the incurrence by the Company’s Foreign Subsidiaries of Foreign Subsidiary Debt in
an aggregate principal amount (or accreted value, as applicable) at any time outstanding,

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including all Permitted Refinancing Indebtedness incurred to renew, refund, refinance,
replace, defease or discharge any Indebtedness incurred pursuant to this clause (15), not to
exceed the greater of (a) $80.0 million or (b) 1.50% of the Total Assets of the Company’s
Foreign Subsidiaries as of any date of incurrence of Indebtedness pursuant to this clause
(15);

     (16) the incurrence of Indebtedness of Persons that are acquired by the Company or any
of its Restricted Subsidiaries or merged with or into the Company or any of its Restricted
Subsidiaries in accordance with the terms of this Indenture; provided that (a) such
Indebtedness is not incurred in contemplation of such acquisition or merger and (b) the
Company would have a Fixed Charge Coverage Ratio immediately after giving pro forma effect
to such acquisition or merger (and such incurrence) equal to or greater than the Fixed
Charge Coverage Ratio of the Company immediately preceding such acquisition or merger (and
such incurrence);

     (17) the incurrence by the Company or any its Restricted Subsidiaries of Banking
Product Obligations in the ordinary course of business; and

     (18) the incurrence by the Company or any of the Guarantors of additional Indebtedness
in an aggregate principal amount (or accreted value, as applicable) at any time outstanding,
including all Permitted Refinancing Indebtedness incurred to renew, refund, refinance,
replace, defease or discharge any Indebtedness incurred pursuant to this clause (18), not to
exceed $75.0 million.

     (c) Notwithstanding any other provision of this Section 4.09:

     (1) in no event will the Company permit its Restricted Subsidiaries that are not
Guarantors to incur Indebtedness or issue preferred stock pursuant to Section 4.09(a) of
this Indenture or pursuant to clause (15) of Section 4.09(b) of this Indenture having an
aggregate principal amount at any one time outstanding (with letters of credit being deemed
to have a principal amount equal to the maximum potential liability of such Restricted
Subsidiaries thereunder and preferred stock being deemed to have a principal amount equal to
the liquidation preference thereof) together with all Permitted Refinancing Indebtedness
incurred to renew, refund, refinance, replace, defease or discharge any Indebtedness
incurred by such non-Guarantor pursuant to Section 4.09(a) of this Indenture or pursuant to
clause (15) of Section 4.09(b) of this Indenture, in excess of $100.0 million; and

     (2) the Company will not incur, and will not permit any Guarantor to incur, any
Indebtedness (including Permitted Debt) that is contractually subordinated in right of
payment to any other Indebtedness of the Company or such Guarantor unless such Indebtedness
is also contractually subordinated in right of payment to the Notes and the applicable Note
Guarantee on substantially identical terms.

     For purposes of determining compliance with this Section 4.09, in the event that an item of
proposed Indebtedness meets the criteria of more than one of the categories of Permitted Debt
described in clauses (1) through (18) of Section 4.09(b) hereof, or is entitled to be incurred
pursuant to Section 4.09(a) hereof, the Company will be permitted to classify such item of
Indebtedness or any portion thereof on the date of its incurrence, or later reclassify all or a
portion of such item of Indebtedness, in any manner that complies with this Section 4.09.
Indebtedness under Credit Facilities outstanding on the date on which Notes are first issued and
authenticated under this Indenture will initially be deemed to have been incurred on such date in
reliance on the exception provided by clause (1) of Section 4.09(b). The accrual of interest or
preferred stock dividends, the accretion or amortization of original issue discount, the payment of
interest on any Indebtedness in the form of additional Indebtedness with the same terms,

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the reclassification of preferred stock as Indebtedness due to a change in accounting
principles, and the payment of dividends on preferred stock or Disqualified Stock in the form of
additional shares of the same class of preferred stock or Disqualified Stock will not be deemed to
be an incurrence of Indebtedness or an issuance of preferred stock or Disqualified Stock for
purposes of this Section 4.09; provided, in each such case, that the amount thereof is included in
Fixed Charges of the Company as accrued. For purposes of determining compliance with any U.S.
dollar denominated restriction on the incurrence of Indebtedness, the U.S. dollar equivalent
principal amount of Indebtedness denominated in a foreign currency shall be utilized, calculated
based on the relevant currency exchange rate in effect on the date such Indebtedness was incurred.
Notwithstanding any other provision of this Section 4.09, the maximum amount of Indebtedness that
the Company or any Restricted Subsidiary may incur pursuant to this Section 4.09 shall not be
deemed to be exceeded solely as a result of fluctuations in exchange rates or currency values.

          The amount of any Indebtedness outstanding as of any date will be:

          (1) the accreted value of the Indebtedness, in the case of any Indebtedness issued with
original issue discount;

          (2) the principal amount of the Indebtedness, in the case of any other Indebtedness; and

          (3) in respect of Indebtedness of another Person secured by a Lien on the assets of the
specified Person, the lesser of:

     (A) the Fair Market Value of such assets at the date of determination, and

     (B) the amount of the Indebtedness of the other Person.

Section 4.10 Asset Sales.

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to,
consummate an Asset Sale unless:

     (1) the Company (or the Restricted Subsidiary, as the case may be) receives
consideration at the time of the Asset Sale at least equal to the Fair Market Value
(measured as of the date of the definitive agreement with respect to such Asset Sale) of the
assets or Equity Interests issued or sold or otherwise disposed of; and

     (2) at least 75% of the consideration received in the Asset Sale by the Company or such
Restricted Subsidiary is in the form of cash or Cash Equivalents; provided that for purposes
of this provision, each of the following shall be deemed to be cash:

     (A) any liabilities, as shown on the Company’s most recent consolidated
balance sheet, of the Company or any Restricted Subsidiary (other than contingent
liabilities and liabilities that are by their terms subordinated to the Notes or
any Note Guarantee) that are assumed by the transferee of any such assets pursuant
to a customary novation or indemnity agreement that releases the Company or such
Restricted Subsidiary from or indemnifies the Company or such Restricted
Subsidiary against further liability;

     (B) any securities, notes or other obligations received by the Company or any
such Restricted Subsidiary from such transferee that are not Cash Equivalents but
are

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contemporaneously, subject to ordinary settlement periods, converted by the
Company or such Restricted Subsidiary into cash or Cash Equivalents, to the extent
of the cash or Cash Equivalents received in that conversion;

     (C) any Designated Noncash Consideration received by the Company or any of
its Restricted Subsidiaries in an Asset Sale having an aggregate Fair Market Value
(as determined in good faith by the Board of Directors of the Company at the time
received without giving effect to subsequent changes in value), taken together
with all other Designated Noncash Consideration received pursuant to this clause
(C) that is at that time outstanding, not to exceed 5.0% of the Company’s Total
Assets; and

     (D) any stock or assets of the kind referred to in clauses (3), (4) or (5) of
Section 4.10(b) below.

     (b) Within 360 days after the receipt of any Net Proceeds received from an Asset Sale, the
Company (or the applicable Restricted Subsidiary, as the case may be) may apply such Net Proceeds:

     (1) to repay, repurchase or redeem Priority Lien Obligations;

     (2) to repay Indebtedness of a Restricted Subsidiary of the Company that is not a
Guarantor, other than Indebtedness owed to the Company or another Restricted Subsidiary and,
if the Indebtedness repaid is revolving credit Indebtedness, to correspondingly reduce
commitments with respect thereto;

     (3) to acquire all or substantially all of the assets of, or any Capital Stock of,
another Permitted Business, if, after giving effect to any such acquisition of Capital
Stock, the Permitted Business is or becomes a Restricted Subsidiary of the Company;

     (4) to make a capital expenditure;

     (5) to acquire other assets that are not classified as current assets under GAAP and
that are used or useful in a Permitted Business; or

     (6) any combination of the foregoing;

provided that the Company will be deemed to have complied with clauses (3), (4) and/or (5) of this
Section 4.10(b) if and to the extent that, within 360 days after the Asset Sale that generated the
Net Proceeds, the Company has entered into and not abandoned or rejected a binding agreement to
acquire the assets or Capital Stock of a Permitted Business, make a capital expenditure and/or
acquire other assets in compliance with clauses (3), (4) and/or (5) of this Section 4.10(b), and
that acquisition or capital expenditure is thereafter completed within 90 days after the end of
such 360-day period.

     (c) Pending the final application of any Net Proceeds from an Asset Sale, the Company (or the
applicable Restricted Subsidiary) may temporarily reduce revolving credit borrowings or otherwise
invest Net Proceeds from an Asset Sale in any manner that is not prohibited by this Indenture. Any
Net Proceeds from an Asset Sale that are not applied or invested as provided in Section 4.10(b)
hereof will constitute “Excess Proceeds.” When the aggregate amount of Excess Proceeds exceeds
$25.0 million, within 30 days thereof, the Company will make an offer (an “Asset Sale Offer”) to
all Holders of Notes and all holders of other Shared Lien Debt containing provisions similar to
those set forth in this Indenture with respect to offers to purchase, prepay or redeem with the
proceeds of sales of assets in accordance with Section 3.09 hereof to purchase, prepay or redeem
the maximum principal amount of Notes and such

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other Shared Lien Debt (plus all accrued interest on such Indebtedness and the amount of all
fees and expenses, including premiums, incurred in connection therewith) that may be purchased,
prepaid or redeemed out of the Excess Proceeds. The offer price for the Notes and any other Shared
Lien Debt in any Asset Sale Offer will be equal to 100% of the principal amount of the Notes and
such other Shared Lien Debt purchased, plus accrued and unpaid interest, if any, on the Notes and
any other Shared Lien Debt, to the date of purchase, prepayment or redemption, subject to the
rights of Holders of Notes on the relevant record date to receive interest due on the relevant
interest payment date, and will be payable in cash. If any Excess Proceeds remain after
consummation of an Asset Sale Offer, the Company may use those Excess Proceeds for any purpose not
otherwise prohibited by this Indenture. If the aggregate principal amount of Notes and such other
Shared Lien Debt tendered in (or required to be prepaid or redeemed in connection with) such Asset
Sale Offer exceeds the amount of Excess Proceeds, the Company will select the Notes and such other
Shared Lien Debt to be purchased on a pro rata basis, based on the principal amount of Notes and
such other Shared Lien Debt tendered or required to be prepaid or redeemed (with such adjustments
as may be deemed appropriate by the Company so that only Notes in denominations of $2,000, or an
integral multiple of $1,000 in excess of $2,000, will be left outstanding). Upon completion of
each Asset Sale Offer, the amount of Excess Proceeds will be reset at zero.

     (d) The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent those laws and regulations are
applicable in connection with each repurchase of Notes pursuant to an Asset Sale Offer. To the
extent that the provisions of any securities laws or regulations conflict with the provisions of
Section 3.09 hereof or this Section 4.10, the Company will comply with the applicable securities
laws and regulations and will not be deemed to have breached its obligations under Section 3.09
hereof or this Section 4.10, by virtue of such compliance.

Section 4.11 Transactions with Affiliates.

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, make any
payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or
purchase any property or assets from, or enter into or make or amend any transaction, contract,
agreement, understanding, loan, advance or guarantee with, or for the benefit of, any Affiliate of
the Company (each an “Affiliate Transaction”) involving aggregate payments or consideration in
excess of $1.0 million, unless:

     (1) such Affiliate Transaction is on terms that are no less favorable to the Company or
the relevant Restricted Subsidiary than those that would have been obtained in a comparable
transaction by the Company or such Restricted Subsidiary with an unrelated Person; and

     (2) the Company delivers to the Trustee:

     (A) with respect to any Affiliate Transaction or series of related Affiliate
Transactions involving aggregate consideration in excess of $10.0 million, a
resolution of the Board of Directors of the Company set forth in an Officers’
Certificate certifying that such Affiliate Transaction complies with clause (1) of
this Section 4.11(a) and that such Affiliate Transaction has been approved by a
majority of the disinterested members of the Board of Directors of the Company;
and

     (B) with respect to any Affiliate Transaction or series of related Affiliate
Transactions involving aggregate consideration in excess of $25.0 million, an
opinion as to the fairness to the Company or such Subsidiary of such Affiliate
Transaction from

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a financial point of view issued by an accounting, appraisal or investment
banking firm of national standing.

     (b) The following items will not be deemed to be Affiliate Transactions and, therefore, will
not be subject to the provisions of Section 4.11(a) hereof:

          (1) any employment agreement, employee benefit plan, officer or director indemnification
agreement or any similar arrangement entered into by the Company or any of its Restricted
Subsidiaries in the ordinary course of business and payments pursuant thereto;

          (2) transactions between or among the Company and/or its Restricted Subsidiaries;

          (3) transactions with a Person (other than an Unrestricted Subsidiary of the Company) that is
an Affiliate of the Company solely because the Company owns, directly or through a Restricted
Subsidiary, an Equity Interest in, or controls, such Person;

          (4) payment of reasonable directors’ fees to directors of the Company and any direct or
indirect parent of the Company and other reasonable fees, compensation, benefits and indemnities
paid or entered into by the Company or its Restricted Subsidiaries to or with the officers and
directors of the Company, any direct or indirect parent of the Company and any Restricted
Subsidiary of the Company;

          (5) any issuance of Equity Interests (other than Disqualified Stock) of the Company to
Affiliates of the Company;

          (6) Permitted Investments and Restricted Payments that do not violate Section 4.07 hereof;

          (7) payment of fees not in excess of the amounts specified in, or determined pursuant to,
the Monitoring and Oversight Agreement, as in effect on the date of this Indenture;

          (8) transactions pursuant to supply or similar agreements entered into in the ordinary
course of business on customary terms that are not less favorable to the Company than those that
would have been obtained in a comparable transaction with an unrelated Person, as determined in
good faith by senior management of the Company;

          (9) loans or advances to employees in the ordinary course of business not to exceed $5.0
million in the aggregate at any one time outstanding;

          (10) Permitted Payments to Parent; and

          (11) transactions pursuant to agreements in existence on the date of this Indenture as in
effect on the date of this Indenture.

Section 4.12 Liens.

     The Company will not, and will not permit any of its Restricted Subsidiaries to, create,
incur, assume or otherwise cause or suffer to exist or become effective any Lien of any kind
securing Indebtedness or trade payables (other than Permitted Liens) upon any of their property or
assets, now owned or hereafter acquired.

Section 4.13 Business Activities.

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     The Company will not, and will not permit any of its Restricted Subsidiaries to, engage in any
business other than Permitted Businesses, except to such extent as would not be material to the
Company and its Restricted Subsidiaries taken as a whole.

Section 4.14 Corporate Existence.

     Subject to Article 5 hereof, the Company shall do or cause to be done all things necessary to
preserve and keep in full force and effect:

     (1) its corporate existence, and the corporate, partnership or other existence of each
of its Subsidiaries, in accordance with the respective organizational documents (as the same
may be amended from time to time) of the Company or any such Subsidiary; and

     (2) the rights (charter and statutory), licenses and franchises of the Company and its
Subsidiaries; provided, however, that the Company shall not be required to preserve any such
right, license or franchise, or the corporate, partnership or other existence of any of its
Subsidiaries, if the Board of Directors shall determine that the preservation thereof is no
longer desirable in the conduct of the business of the Company and its Subsidiaries, taken
as a whole, and that the loss thereof is not adverse in any material respect to the Holders
of the Notes.

Section 4.15 Offer to Repurchase Upon Change of Control.

     (a) Upon the occurrence of a Change of Control, the Company will make an offer (a “Change of
Control Offer”) to each Holder to repurchase all or any part (provided that no Notes of $2,000 or
less can be redeemed in part) of each Holder’s Notes at a purchase price equal to 101% of the
aggregate principal amount thereof plus accrued and unpaid interest, if any, on the Notes
repurchased to the date of purchase, subject to the rights of Holders of Notes on the relevant
record date to receive interest due on the relevant interest payment date (the “Change of Control
Payment”). Within 30 days following any Change of Control, the Company will mail a notice to each
Holder describing the transaction or transactions that constitute the Change of Control and
stating:

     (1) that the Change of Control Offer is being made pursuant to this Section 4.15 and
that all Notes tendered will be accepted for payment;

     (2) the purchase price and the purchase date, which shall be no earlier than 30 days
and no later than 60 days from the date such notice is mailed (the “Change of Control
Payment Date”);

     (3) that any Note not tendered will continue to accrue interest;

     (4) that, unless the Company defaults in the payment of the Change of Control Payment,
all Notes accepted for payment pursuant to the Change of Control Offer will cease to accrue
interest after the Change of Control Payment Date;

     (5) that Holders electing to have any Notes purchased pursuant to a Change of Control
Offer will be required to surrender the Notes, with the form entitled “Option of Holder to
Elect Purchase” attached to the Notes completed, or transfer by book-entry transfer, to the
Paying Agent at the address specified in the notice prior to the close of business on the
third Business Day preceding the Change of Control Payment Date;

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     (6) that Holders will be entitled to withdraw their election if the Paying Agent
receives, not later than the close of business on the second Business Day preceding the
Change of Control Payment Date, a telegram, telex, facsimile transmission or letter setting
forth the name of the Holder, the principal amount of Notes delivered for purchase, and a
statement that such Holder is withdrawing his election to have the Notes purchased; and

     (7) that Holders whose Notes are being purchased only in part will be issued new Notes
equal in principal amount to the unpurchased portion of the Notes surrendered, which
unpurchased portion must be equal to $2,000 in principal amount or an integral multiple of
$1,000 in excess of $2,000.

     The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent those laws and regulations are
applicable in connection with the repurchase of the Notes as a result of a Change of Control. To
the extent that the provisions of any securities laws or regulations conflict with the provisions
of this Section 4.15, the Company will comply with the applicable securities laws and regulations
and will not be deemed to have breached its obligations under this Section 4.15 by virtue of such
compliance.

     (b) On the Change of Control Payment Date, the Company will, to the extent lawful:

     (1) accept for payment all Notes or portions of Notes properly tendered pursuant to the
Change of Control Offer;

     (2) deposit with the Paying Agent an amount equal to the Change of Control Payment in
respect of all Notes or portions of Notes properly tendered; and

     (3) deliver or cause to be delivered to the Trustee the Notes properly accepted
together with an Officers’ Certificate stating the aggregate principal amount of Notes or
portions of Notes being purchased by the Company.

     The Paying Agent will promptly mail or deliver (but in any case not later than five days after
the Change of Control Payment Date) to each Holder of Notes properly tendered the Change of Control
Payment for such Notes, and the Trustee will promptly authenticate and mail (or cause to be
transferred by book entry) to each Holder a new Note equal in principal amount to any unpurchased
portion of the Notes surrendered, if any. The Company will publicly announce the results of the
Change of Control Offer on or as soon as practicable after the Change of Control Payment Date.

     (c) Notwithstanding anything to the contrary in this Section 4.15, the Company will not be
required to make a Change of Control Offer upon a Change of Control if (1) a third party makes the
Change of Control Offer in the manner, at the times and otherwise in compliance with the
requirements set forth in this Section 4.15 and purchases all Notes properly tendered and not
withdrawn under the Change of Control Offer, or (2) a notice of redemption has been given for all
of the Notes pursuant to Section 3.07 hereof, unless and until there is a default in payment of the
applicable redemption price. Notwithstanding anything to the contrary contained herein, a revocable
Change of Control Offer may be made in advance of a Change of Control, conditioned upon
consummation of such Change of Control, if a definitive agreement is in place for the Change of
Control at the time the Change of Control Offer is made.

Section 4.16 Additional Note Guarantees.

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     If the Company or any of its Restricted Subsidiaries acquires or creates another Domestic
Subsidiary after the date of this Indenture, or any Domestic Subsidiary that constitutes an
Immaterial Subsidiary ceases to be an Immaterial Subsidiary, then the Company shall (1) cause such
Subsidiary to become (a) a Guarantor and to execute a Note Guarantee pursuant to a supplemental
indenture and (b) a “Grantor” under and as defined in the applicable Security Documents by
executing and delivering to the Trustee and the Collateral Trustee a supplement to such Security
Documents and (2) deliver an Opinion of Counsel to the Trustee and the Collateral Trustee within 30
days of the date on which it was acquired or created (or ceased to be an Immaterial Subsidiary);
provided that any Domestic Subsidiary that constitutes an Immaterial Subsidiary need not become a
Guarantor until such time as it ceases to be an Immaterial Subsidiary. In addition, if any Person
guarantees any Priority Lien Obligations and such Person is not a Guarantor at the time such
Guarantee is provided, then the Company shall cause such Person to become a Guarantor and to
execute a Note Guarantee pursuant to a supplemental indenture and applicable Security Documents and
deliver an Opinion of Counsel satisfactory to the Trustee within 30 days of the date on which such
Person became a guarantor in respect of such Priority Lien Obligations. The form of such
supplemental indenture is attached as Exhibit F hereto.

Section 4.17 Designation of Restricted and Unrestricted Subsidiaries.

     The Board of Directors of the Company may designate any Restricted Subsidiary to be an
Unrestricted Subsidiary if that designation would not cause a Default. If a Restricted Subsidiary
is designated as an Unrestricted Subsidiary, the aggregate Fair Market Value of all outstanding
Investments owned by the Company and its Restricted Subsidiaries in the Subsidiary designated as an
Unrestricted Subsidiary will be deemed to be an Investment made as of the time of the designation
and will reduce the amount available for Restricted Payments under Section 4.07 hereof or under one
or more clauses of the definition of Permitted Investments, as determined by the Company. That
designation will only be permitted if (a) either (i) the Subsidiary to be so designated has total
consolidated assets of $10,000 or less or (ii) if such Subsidiary has consolidated assets greater
than $10,000, the Investment would be permitted at that time and (b) the Restricted Subsidiary
otherwise meets the definition of an Unrestricted Subsidiary.

     The Board of Directors of the Company may redesignate any Unrestricted Subsidiary to be a
Restricted Subsidiary if that redesignation would not cause a Default.

     Any designation of a Subsidiary of the Company as an Unrestricted Subsidiary will be evidenced
to the Trustee by filing with the Trustee a certified copy of a resolution of the Board of
Directors giving effect to such designation and an Officers’ Certificate certifying that such
designation complied with the preceding conditions and was permitted by Section 4.07 hereof If, at
any time, any Unrestricted Subsidiary would fail to meet the preceding requirements as an
Unrestricted Subsidiary, it will thereafter cease to be an Unrestricted Subsidiary for purposes of
this Indenture and any Indebtedness of such Subsidiary will be deemed to be incurred by a
Restricted Subsidiary of the Company as of such date and, if such Indebtedness is not permitted to
be incurred as of such date under Section 4.09 hereof, the Company will be in default of such
covenant. The Board of Directors of the Company may at any time designate any Unrestricted
Subsidiary to be a Restricted Subsidiary of the Company; provided that (i) (A) such designation
will be deemed to be an incurrence of Indebtedness by a Restricted Subsidiary of the Company of any
outstanding Indebtedness of such Unrestricted Subsidiary, and such designation will only be
permitted if such Indebtedness is permitted under Section 4.09 of this Indenture, calculated on a
pro forma basis as if such designation had occurred at the beginning of the four-quarter reference
period; (B) such designation will be deemed to be an Investment by a Restricted Subsidiary of the
Company in any outstanding Investments of such Unrestricted Subsidiary, and such designation will
only be permitted if such Investments would be permitted under Section 4.07 of this Indenture; and
(C) such designation will be deemed to be an incurrence of Liens by a Restricted Subsidiary of the
Company of any

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outstanding Liens upon property or assets of such Unrestricted Subsidiary, and such
designation will only be permitted if such Liens would be permitted under Section 4.12 of this
Indenture and (ii) no Default or Event of Default would be in existence following such designation.

Section 4.18 Redemption of the Senior Subordinated Notes.

     On the date of this Indenture, the Company will mail or cause to be mailed pursuant to and in
accordance with the Senior Subordinated Note Indenture an irrevocable notice of redemption to all
holders of Senior Subordinated Notes then outstanding. Such notice of redemption will state, among
the other information required to be included therein under the Senior Subordinated Note Indenture,
that the Company will redeem all then-outstanding Senior Subordinated Notes on January 15, 2010
(the “Senior Subordinated Notes Redemption Date”). On the Senior Subordinated Notes Redemption
Date, the Company will redeem all then-outstanding Senior Subordinated Notes pursuant to and in
accordance with such notice of redemption and the provisions of the Senior Subordinated Note
Indenture.

Section 4.19 Additional Collateral.

     The Company and each Guarantor shall grant to the Collateral Trustee a first priority security
interest in all Collateral (subject to Permitted Liens), whether owned on the date hereof or
hereafter acquired, and shall execute and deliver all documents and shall take all actions
reasonably necessary to perfect and protect such security interest in favor of the Collateral
Trustee (including, without limitation, the delivery of any applicable foreign pledge, control
agreement, mortgage, title insurance policy, title survey, evidence of flood insurance or legal
opinion), subject to the terms of the Intercreditor Agreement (if then in effect).

     In the event that the Company or any Guarantor acquires any interest in real property and such
interest has not otherwise been made subject to the Lien of the Security Documents in favor of
Collateral Trustee, for the benefit of the Holders of Notes and the holders of other Shared Lien
Obligations (if any), then the Company or such Guarantor, as applicable, shall promptly take all
such actions and execute and deliver, or cause to be executed and delivered, all such customary
mortgages, documents, instruments, agreements, opinions, title insurance policies, title surveys,
evidence of flood insurance and certificates or, to the extent that any Priority Lien Obligations
are incurred, substantially similar to such mortgages, documents, instruments, agreements,
opinions, title insurance policies, title surveys, evidence of floor insurance and certificates as
are executed and/or delivered to the Priority Lien Collateral Agent (or such other representative
of the holders of Priority Lien Obligations) in connection with the incurrence of such Priority
Lien Obligations or otherwise, to create in favor of the Collateral Trustee, for the benefit of the
Holders of Notes and the holders of other Shared Lien Obligations (if any), a valid and, subject to
any filing and/or recording required in connection therewith, perfected first priority security
interest (subject, in the case of priority only, to Permitted Liens) in such interest in real
property. In addition to the foregoing, the Company and each Guarantor shall deliver to the
Collateral Trustee such appraisals as are required by law or regulation of any interest in real
property with respect to which the Collateral Trustee has been granted a Lien.

ARTICLE 5.

SUCCESSORS

Section 5.01 Merger, Consolidation or Sale of Assets.

     The Company shall not, directly or indirectly: (1) consolidate or merge with or into another
Person (whether or not the Company is the surviving corporation); or (2) sell, assign, transfer,
convey,

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lease or otherwise dispose of all or substantially all of the properties or assets of the
Company and its Restricted Subsidiaries taken as a whole, in one or more related transactions, to
another Person, unless:

     (1) either:

     (A) the Company is the surviving corporation; or

     (B) the Person formed by or surviving any such consolidation or merger (if
other than the Company) or to which such sale, assignment, transfer, conveyance,
lease or other disposition has been made (the “Successor Company”) is a
corporation organized or existing under the laws of the United States, any state
of the United States or the District of Columbia;

     (2) the Successor Company assumes all the obligations of the Company under the Note
Documents;

     (3) immediately after such transaction, no Default or Event of Default exists; and

     (4) the Company or the Successor Company would, on the date of such transaction after
giving pro forma effect thereto and any related financing transactions as if the same had
occurred at the beginning of the applicable four-quarter period, be permitted to incur at
least $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test set
forth in Section 4.09(a) hereof.

     The Successor Company will succeed to, and be substituted for, and may exercise every right
and power of, the Company under this Indenture, but, in the case of a lease of all or substantially
all its assets, the Company will not be released from the obligation to pay the principal of and
interest on the Notes.

     This Section 5.01 will not apply to:

     (1) a merger of the Company with an Affiliate solely for the purpose of reincorporating
the Company in another jurisdiction to realize tax or other benefits; or

     (2) any consolidation or merger, or any sale, assignment, transfer, conveyance, lease
or other disposition of assets between or among the Company and its Restricted Subsidiaries.

Section 5.02 Successor Corporation Substituted.

     Upon any consolidation or merger, or any sale, assignment, transfer, lease, conveyance or
other disposition of all or substantially all of the properties or assets of the Company in a
transaction that is subject to, and that complies with the provisions of, Section 5.01 hereof, the
successor Person formed by such consolidation or into or with which the Company is merged or to
which such sale, assignment, transfer, lease, conveyance or other disposition is made shall succeed
to, and be substituted for (so that from and after the date of such consolidation, merger, sale,
lease, conveyance or other disposition, the provisions of this Indenture referring to the “Company”
shall refer instead to the successor Person and not to the Company), and may exercise every right
and power of the Company under this Indenture with the same effect as if such successor Person had
been named as the Company herein; provided, however, that the predecessor Company shall not be
relieved from the obligation to pay the principal of, premium on, if any, and interest on, the
Notes except in the case of a sale of all of the Company’s assets in a transaction that is subject
to, and that complies with the provisions of, Section 5.01 hereof.

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ARTICLE 6.

DEFAULTS AND REMEDIES

Section 6.01 Events of Default.

     Each of the following is an “Event of Default”:

     (1) the Company defaults for 30 days in the payment when due of interest on the Notes;

     (2) the Company defaults in the payment when due (at maturity, upon redemption or
otherwise) of the principal of, or premium, if any, on, the Notes;

     (3) the Company or any of its Restricted Subsidiaries fails to comply with the
provisions of Section 5.01 hereof;

     (4) failure by the Company or any of its Restricted Subsidiaries for 30 days after
notice to the Company by the Trustee or the Holders of at least 25% in aggregate principal
amount of the Notes then outstanding voting as a single class to comply with the provisions
in Section 4.10 or Section 4.15 of this Indenture;

     (5) failure by the Company or any of its Restricted Subsidiaries for 60 days after
notice to the Company by the Trustee or the Holders of at least 25% in aggregate principal
amount of the Notes then outstanding voting as a single class to comply with any of the
other agreements in this Indenture;

     (6) default under any mortgage, indenture or instrument under which there may be issued
or by which there may be secured or evidenced any Indebtedness for money borrowed by the
Company, any of its Significant Subsidiaries or any group of Restricted Subsidiaries of the
Company that, taken together, would constitute a Significant Subsidiary (or the payment of
which is guaranteed by the Company or any of its Significant Subsidiaries or any group of
Restricted Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary), whether such Indebtedness or Guarantee now exists, or is created after the date
of this Indenture, if that default:

     (A) is caused by a failure to pay when due (at maturity, upon redemption or
otherwise) the principal of such Indebtedness on the date of such default (a
“Payment Default”); or

     (B) results in the acceleration of such Indebtedness prior to its express
maturity,

and, in each case, the principal amount of any such Indebtedness, together with the
principal amount of any other such Indebtedness under which there has been a Payment Default
or the maturity of which has been so accelerated, aggregates $25.0 million or more;

     (7) failure by the Company, any of its Significant Subsidiaries or any group of
Restricted Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary to pay final judgments entered by a court or courts of competent jurisdiction
aggregating in excess of $25.0 million (to the extent not covered by insurance), which
judgments are not paid, discharged or stayed for a period of 60 days;

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     (8) the occurrence of any of the following:

     (A) any Shared Lien Document is held in any judicial proceeding to be
unenforceable or invalid or ceases for any reason to be in full force and effect,
other than in accordance with the terms of the relevant Shared Lien Document and
this Indenture; or

     (B) default by the Company or any Guarantor in the performance of any
Security Document, which adversely affects the enforceability, validity,
perfection or priority of a Shared Lien or which adversely affects the condition
or value of Collateral in each case, taken as a whole, in any material respect; or

     (C) except as permitted by this Indenture, any Shared Lien purported to be
granted under any Security Document on Collateral, individually or in the
aggregate, having a Fair Market Value in excess of $5.0 million ceases to be an
enforceable and perfected Lien; or

     (D) the Company or any Guarantor, or any Person acting on behalf of any of
them, denies or disaffirms, in writing, any obligation of the Company or any
Guarantor set forth in or arising under any Shared Lien Document;

     (9) except as permitted by this Indenture, any Note Guarantees of any Guarantor that is
a Significant Subsidiary or of any group of Guarantors that, taken together, would
constitute a Significant Subsidiary is held in any judicial proceeding to be unenforceable
or invalid or ceases for any reason to be in full force and effect, or any Guarantor that is
a Significant Subsidiary or of any group of Guarantors that, taken together, would
constitute a Significant Subsidiary, or any Person acting on behalf of any Guarantor, denies
or disaffirms its obligations under its Note Guarantee and default continues for ten days
after receipt of the notice specified in this Indenture;

     (10) the Company or any of its Restricted Subsidiaries that is a Significant Subsidiary
or any group of its Restricted Subsidiaries of the Company that, taken together, would
constitute a Significant Subsidiary pursuant to or within the meaning of Bankruptcy Law:

     (A) commences a voluntary case,

     (B) consents to the entry of an order for relief against it in an involuntary
case,

     (C) consents to the appointment of a custodian of it or for all or
substantially all of its property,

     (D) makes a general assignment for the benefit of its creditors, or

     (E) generally is not paying its debts as they become due; and

     (11) a court of competent jurisdiction enters an order or decree under any Bankruptcy
Law that:

     (A) is for relief against the Company or any of its Restricted Subsidiaries
that is a Significant Subsidiary or any group of Restricted Subsidiaries of the
Company that, taken together, would constitute a Significant Subsidiary in an
involuntary case;

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     (B) appoints a custodian of the Company or any of its Restricted Subsidiaries
that is a Significant Subsidiary or any group of Restricted Subsidiaries of the
Company that, taken together, would constitute a Significant Subsidiary or for all
or substantially all of the property of the Company or any of its Restricted
Subsidiaries that is a Significant Subsidiary or any group of Restricted
Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary; or

     (C) orders the liquidation of the Company or any of its Restricted
Subsidiaries that is a Significant Subsidiary or any group of Restricted
Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary;

and the order or decree remains unstayed and in effect for 60 consecutive days.

Section 6.02 Acceleration.

     In the case of an Event of Default specified in clause (10) or (11) of Section 6.01 hereof,
with respect to the Company or any of its Restricted Subsidiaries that is a Significant Subsidiary
or any group of Restricted Subsidiaries of the Company that, taken together, would constitute a
Significant Subsidiary, all outstanding Notes will become due and payable immediately without
further action or notice. If any other Event of Default occurs and is continuing, the Trustee or
the Holders of at least 25% in aggregate principal amount of the then outstanding Notes may declare
all the Notes to be due and payable immediately. Upon any such declaration, the Notes shall become
due and payable immediately. The Holders of a majority in aggregate principal amount of the then
outstanding Notes by written notice to the Trustee may, on behalf of all of the Holders of all the
Notes, rescind an acceleration or waive any existing Default or Event of Default and its
consequences under this Indenture, if the rescission would not conflict with any judgment or
decree, except a continuing Default or Event of Default in the payment of principal of, premium on,
if any, or interest on, the Notes.

Section 6.03 Other Remedies.

     If an Event of Default occurs and is continuing, the Trustee may pursue any available remedy
to collect the payment of principal of, premium on, if any, and interest on, the Notes or to
enforce the performance of any provision of the Notes or this Indenture.

     The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not
produce any of them in the proceeding. A delay or omission by the Trustee or any Holder of a Note
in exercising any right or remedy accruing upon an Event of Default shall not impair the right or
remedy or constitute a waiver of or acquiescence in the Event of Default. All remedies are
cumulative to the extent permitted by law.

Section 6.04 Waiver of Past Defaults.

     The Holders of not less than a majority in aggregate principal amount of the then outstanding
Notes by written notice to the Trustee may on behalf of the Holders of all of the Notes waive any
existing Default or Event of Default and its consequences hereunder, except a continuing Default or
Event of Default in the payment of principal of, premium on, if any, or interest on, the Notes
(including in connection with an offer to purchase); provided, however, that the Holders of a
majority in aggregate principal amount of the then outstanding Notes may rescind an acceleration
and its consequences, including any related payment default that resulted from such acceleration,
if the rescission would not conflict with any judgment or decree. Upon any such waiver, such
Default shall cease to exist, and any Event of Default arising therefrom shall be deemed to have
been cured for every purpose of this

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Indenture; but no such waiver shall extend to any subsequent or other Default or impair any
right consequent thereon.

Section 6.05 Control by Majority.

     Holders of a majority in aggregate principal amount of the then outstanding Notes may direct
the time, method and place of conducting any proceeding for exercising any remedy available to the
Trustee or exercising any trust or power conferred on it. However, the Trustee may refuse to
follow any direction that conflicts with law or this Indenture that the Trustee determines may be
unduly prejudicial to the rights of other Holders of Notes or that may involve the Trustee in
personal liability.

Section 6.06 Limitation on Suits.

     In case an Event of Default occurs and is continuing, the Trustee will be under no obligation
to exercise any of the rights or powers under this Indenture at the request of any Holders of Notes
unless such Holders have offered to the Trustee security or indemnity satisfactory to it against
any loss, liability or expense. Except to enforce the right to receive payment of principal of,
premium on, if any, or interest on when due, no Holder of a Note may pursue any remedy with respect
to this Indenture or the Notes unless:

     (1) such Holder has previously given the Trustee written notice that an Event of
Default is continuing;

     (2) Holders of at least 25% in aggregate principal amount of the then outstanding Notes
make a written request the Trustee to pursue the remedy;

     (3) such Holder or Holders offer and, if requested, provide to the Trustee reasonable
security or indemnity reasonably satisfactory to the Trustee against any loss, liability or
expense;

     (4) the Trustee does not comply with such request within 60 days after receipt of the
request and the offer of security or indemnity; and

     (5) during such 60 day period, Holders of a majority in aggregate principal amount of
the then outstanding Notes do not give the Trustee a direction inconsistent with such
request.

     A Holder of a Note may not use this Indenture to prejudice the rights of another Holder of a
Note or to obtain a preference or priority over another Holder of a Note.

Section 6.07 Rights of Holders of Notes to Receive Payment.

     Notwithstanding any other provision of this Indenture, the right of any Holder of a Note to
receive payment of principal of, premium on, if any, and interest on, the Note, on or after the
respective due dates expressed in the Note (including in connection with an offer to purchase), or
to bring suit for the enforcement of any such payment on or after such respective dates, shall not
be impaired or affected without the consent of such Holder.

Section 6.08 Collection Suit by Trustee.

     If an Event of Default specified in Section 6.01(1) or (2) hereof occurs and is continuing,
the Trustee is authorized to recover judgment in its own name and as trustee of an express trust
against the Company for the whole amount of principal of, premium on, if any, and interest
remaining unpaid on, the

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Notes and interest on overdue principal and, to the extent lawful, interest and such further
amount as shall be sufficient to cover the costs and expenses of collection, including the
reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and
counsel.

Section 6.09 Trustee May File Proofs of Claim.

     The Trustee is authorized to file such proofs of claim and other papers or documents as may be
necessary or advisable in order to have the claims of the Trustee (including any claim for the
reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and
counsel) and the Holders of the Notes allowed in any judicial proceedings relative to the Company
(or any other obligor upon the Notes), its creditors or its property and shall be entitled and
empowered to collect, receive and distribute any money or other property payable or deliverable on
any such claims and any custodian in any such judicial proceeding is hereby authorized by each
Holder to make such payments to the Trustee, and in the event that the Trustee shall consent to the
making of such payments directly to the Holders, to pay to the Trustee any amount due to it for the
reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and
counsel, and any other amounts due the Trustee under Section 7.06 hereof. To the extent that the
payment of any such compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel, and any other amounts due the Trustee under Section 7.06 hereof out of the estate in
any such proceeding, shall be denied for any reason, payment of the same shall be secured by a Lien
on, and shall be paid out of, any and all distributions, dividends, money, securities and other
properties that the Holders may be entitled to receive in such proceeding whether in liquidation or
under any plan of reorganization or arrangement or otherwise. Nothing herein contained shall be
deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arrangement, adjustment or composition affecting the Notes or
the rights of any Holder, or to authorize the Trustee to vote in respect of the claim of any Holder
in any such proceeding.

Section 6.10 Priorities.

     If the Trustee collects any money or property pursuant to this Article 6, it shall pay out the
money or property in the following order:

     First: to the Trustee, its agents and attorneys for amounts due under Section 7.06
hereof, including payment of all compensation, expenses and liabilities incurred, and all
advances made, by the Trustee and the costs and expenses of collection;

     Second: to Holders of Notes for amounts due and unpaid on the Notes for principal,
premium, if any, and interest, ratably, without preference or priority of any kind,
according to the amounts due and payable on the Notes for principal, premium, if any and
interest, respectively; and

     Third: to the Company or to such party as a court of competent jurisdiction shall
direct.

     The Trustee may fix a record date and payment date for any payment to Holders of Notes
pursuant to this Section 6.10.

Section 6.11 Undertaking for Costs.

     In any suit for the enforcement of any right or remedy under this Indenture or in any suit
against the Trustee for any action taken or omitted by it as a Trustee, a court in its discretion
may require the filing by any party litigant in the suit of an undertaking to pay the costs of the
suit, and the court in its

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discretion may assess reasonable costs, including reasonable attorneys’ fees and expenses,
against any party litigant in the suit, having due regard to the merits and good faith of the
claims or defenses made by the party litigant. This Section 6.11 does not apply to a suit by the
Trustee, a suit by a Holder of a Note pursuant to Section 6.07 hereof, or a suit by Holders of more
than 10% in aggregate principal amount of the then outstanding Notes.

ARTICLE 7.

TRUSTEE

Section 7.01 Duties of Trustee.

     (a) If an Event of Default has occurred and is continuing, the Trustee will exercise such of
the rights and powers vested in it by this Indenture, and use the same degree of care and skill in
its exercise, as a prudent person would exercise or use under the circumstances in the conduct of
such person’s own affairs.

     (b) Except during the continuance of an Event of Default:

     (1) the duties of the Trustee will be determined solely by the express provisions of
this Indenture and the Trustee need perform only those duties that are specifically set
forth in this Indenture and no others, and no implied covenants or obligations shall be read
into this Indenture against the Trustee; and

     (2) in the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed therein, upon
certificates or opinions furnished to the Trustee and conforming to the requirements of this
Indenture. However, in the case of certificates or opinions specifically required by any
provision hereof to be furnished to it, the Trustee will examine the certificates and
opinions to determine whether or not they conform to the requirements of this Indenture.

     (c) The Trustee may not be relieved from liabilities for its own negligent action, its own
negligent failure to act, or its own willful misconduct, except that:

     (1) this paragraph does not limit the effect of paragraph (b) of this Section 7.01;

     (2) the Trustee will not be liable for any error of judgment made in good faith by a
Responsible Officer, unless it is proved that the Trustee was negligent in ascertaining the
pertinent facts; and

     (3) the Trustee will not be liable with respect to any action it takes or omits to take
in good faith in accordance with a direction received by it pursuant to Section 6.05 hereof.

     (d) Whether or not therein expressly so provided, every provision of this Indenture that in
any way relates to the Trustee is subject to paragraphs (a), (b), and (c) of this Section 7.01.

     (e) No provision of this Indenture will require the Trustee to expend or risk its own funds or
incur any liability. The Trustee will be under no obligation to exercise any of its rights and
powers under this Indenture at the request of any Holders, unless such Holder has offered to the
Trustee security or indemnity satisfactory to it against any loss, liability or expense.

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     (f) The Trustee will not be liable for interest on any money received by it except as the
Trustee may agree in writing with the Company. Money held in trust by the Trustee need not be
segregated from other funds except to the extent required by law.

Section 7.02 Rights of Trustee.

     (a) The Trustee may conclusively rely upon any document believed by it to be genuine and to
have been signed or presented by the proper Person. The Trustee need not investigate any fact or
matter stated in the document.

     (b) Before the Trustee acts or refrains from acting, it may require an Officers’ Certificate
or an Opinion of Counsel or both. The Trustee will not be liable for any action it takes or omits
to take in good faith in reliance on such Officers’ Certificate or Opinion of Counsel. The Trustee
may consult with counsel and the written advice of such counsel or any Opinion of Counsel will be
full and complete authorization and protection from liability in respect of any action taken,
suffered or omitted by it hereunder in good faith and in reliance thereon.

     (c) The Trustee may act through its attorneys and agents and will not be responsible for the
misconduct or negligence of any agent appointed with due care.

     (d) The Trustee will not be liable for any action it takes or omits to take in good faith that
it believes to be authorized or within the rights or powers conferred upon it by this Indenture.

     (e) Unless otherwise specifically provided in this Indenture, any demand, request, direction
or notice from the Company will be sufficient if signed by an Officer of the Company.

     (f) The Trustee will be under no obligation to exercise any of the rights or powers vested in
it by this Indenture at the request or direction of any of the Holders unless such Holders have
offered to the Trustee security or indemnity satisfactory to it against the costs, expenses and
liabilities that might be incurred by it in compliance with such request or direction.

     (g) In no event shall the Trustee be responsible or liable for special, indirect, or
consequential loss or damage of any kind whatsoever (including, but not limited to, loss of profit)
irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and
regardless of the form of action;

     (h) The Trustee shall not be deemed to have notice of any Default or Event of Default unless a
Responsible Officer of the Trustee has actual knowledge thereof or unless written notice of any
event which is in fact such a default is received by the Trustee at the Corporate Trust Office of
the Trustee, and such notice references the Notes and this Indenture;

     (i) The rights, privileges, protections, immunities and benefits given to the Trustee,
including, without limitation, its right to be indemnified, are extended to, and shall be
enforceable by, the Trustee in each of its capacities hereunder, and each agent, custodian and
other Person employed to act hereunder; and

     (j) The Trustee may request that the Company deliver an Officers’ Certificate setting forth
the names of individuals and/or titles of officers authorized at such time to take specified
actions pursuant to this Indenture, which Officers’ Certificate may be signed by any person
authorized to sign an Officers’ Certificate, including any person specified as so authorized in any
such certificate previously delivered and not superseded.

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Section 7.03 Individual Rights of Trustee.

     The Trustee in its individual or any other capacity may become the owner or pledgee of Notes
and may otherwise deal with the Company or any Affiliate of the Company with the same rights it
would have if it were not Trustee. However, in the event that the Trustee acquires any conflicting
interest it must eliminate such conflict within 90 days, apply to the SEC for permission to
continue as Trustee (if this Indenture has been qualified under the TIA) or resign. Any Agent may
do the same with like rights and duties. The Trustee is also subject to Section 7.09 hereof.

Section 7.04 Trustee’s Disclaimer.

     The Trustee will not be responsible for and makes no representation as to the validity or
adequacy of this Indenture or the Notes, it shall not be accountable for the Company’s use of the
proceeds from the Notes or any money paid to the Company or upon the Company’s direction under any
provision of this Indenture, it will not be responsible for the use or application of any money
received by any Paying Agent other than the Trustee, and it will not be responsible for any
statement or recital herein or any statement in the Notes or any other document in connection with
the sale of the Notes or pursuant to this Indenture other than its certificate of authentication.

Section 7.05 Notice of Defaults.

     If a Default or Event of Default occurs and is continuing and if it is known to the Trustee,
the Trustee will mail to Holders of Notes a notice of the Default or Event of Default within 90
days after it occurs, or, if such Default or Event of Default becomes known to the Trustee after 90
days following the occurrence of such Default or Event of Default, promptly after a Responsible
Officer of the Trustee has knowledge of the occurrence of such Default or Event of Default. Except
in the case of a Default or Event of Default in payment of principal of, premium on, if any, or
interest on, any Note, the Trustee may withhold the notice if and so long as a committee of its
Responsible Officers in good faith determines that withholding the notice is in the interests of
the Holders of the Notes.

Section 7.06 Compensation and Indemnity.

     (a) The Company will pay to the Trustee from time to time such compensation as shall be agreed
upon from time to time in writing for its acceptance of this Indenture and services hereunder. The
Trustee’s compensation will not be limited by any law on compensation of a trustee of an express
trust. The Company will reimburse the Trustee promptly upon request for all reasonable
disbursements, advances and expenses incurred or made by it in addition to the compensation for its
services. Such expenses will include the reasonable compensation, disbursements and expenses of
the Trustee’s agents and counsel.

     (b) The Company and the Guarantors, jointly and severally, will indemnify the Trustee against
any and all losses, liabilities, claims, damages or expenses incurred by it arising out of or in
connection with the acceptance or administration of its duties under this Indenture, including the
costs and expenses of enforcing this Indenture against the Company and the Guarantors (including
this Section 7.06) and defending itself against any claim (whether asserted by the Company, the
Guarantors any Holder or any other Person) or liability in connection with the exercise or
performance of any of its powers or duties hereunder, except to the extent any such loss, liability
or expense may be attributable to its negligence or bad faith. The Trustee will notify the Company
promptly of any claim for which it may seek indemnity. Failure by the Trustee to so notify the
Company will not relieve the Company or any of the Guarantors of their obligations hereunder. The
Company or such Guarantor will defend the claim and the Trustee will cooperate in the defense.
The Trustee may have separate counsel and the Company will pay the

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reasonable fees and expenses of such counsel. Neither the Company nor any Guarantor need pay
for any settlement made without its consent, which consent will not be unreasonably withheld.

     (c) The obligations of the Company and the Guarantors under this Section 7.06 will survive the
satisfaction and discharge of this Indenture.

     (d) To secure the Company’s and the Guarantors’ payment obligations in this Section 7.06, the
Trustee will have a Lien prior to the Notes on all money or property held or collected by the
Trustee, except that held in trust to pay principal of, premium on, if any, and interest on,
particular Notes. Such Lien will survive the satisfaction and discharge of this Indenture.

     (e) When the Trustee incurs expenses or renders services after an Event of Default specified
in Section 6.01 (10) or (11) hereof occurs, the expenses and the compensation for the services
(including the fees and expenses of its agents and counsel) are intended to constitute expenses of
administration under any Bankruptcy Law.

Section 7.07 Replacement of Trustee.

     (a) A resignation or removal of the Trustee and appointment of a successor Trustee will become
effective only upon the successor Trustee’s acceptance of appointment as provided in this Section
7.07.

     (b) The Trustee may resign in writing at any time and be discharged from the trust hereby
created by so notifying the Company. The Holders of a majority in aggregate principal amount of
the then outstanding Notes may remove the Trustee by so notifying the Trustee and the Company in
writing. The Company may remove the Trustee if:

     (1) the Trustee fails to comply with Section 7.09 hereof;

     (2) the Trustee is adjudged a bankrupt or an insolvent or an order for relief is
entered with respect to the Trustee under any Bankruptcy Law;

     (3) a custodian or public officer takes charge of the Trustee or its property; or

     (4) the Trustee becomes incapable of acting.

     (c) If the Trustee resigns or is removed or if a vacancy exists in the office of Trustee for
any reason, the Company will promptly appoint a successor Trustee. Within one year after the
successor Trustee takes office, the Holders of a majority in aggregate principal amount of the then
outstanding Notes may appoint a successor Trustee to replace the successor Trustee appointed by the
Company.

     (d) If a successor Trustee does not take office within 60 days after the retiring Trustee
resigns or is removed, the retiring Trustee, the Company, or the Holders of at least 10% in
aggregate principal amount of the then outstanding Notes may, at the expense of the Company,
petition any court of competent jurisdiction for the appointment of a successor Trustee.

     (e) If the Trustee, after written request by any Holder who has been a Holder for at least six
months, fails to comply with Section 7.09 hereof, such Holder may petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor Trustee.

     (f) A successor Trustee will deliver a written acceptance of its appointment to the retiring
Trustee and to the Company. Thereupon, the resignation or removal of the retiring Trustee will
become

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effective, and the successor Trustee will have all the rights, powers and duties of the
Trustee under this Indenture. The successor Trustee will mail a notice of its succession to
Holders. The retiring Trustee will promptly transfer all property held by it as Trustee to the
successor Trustee, provided all sums owing to the Trustee hereunder have been paid and subject to
the Lien provided for in Section 7.06 hereof. Notwithstanding replacement of the Trustee pursuant
to this Section 7.07, the Company’s obligations under Section 7.06 hereof will continue for the
benefit of the retiring Trustee.

Section 7.08 Successor Trustee by Merger, etc.

     If the Trustee consolidates, merges or converts into, or transfers all or substantially all of
its corporate trust business to, another corporation, the successor corporation without any further
act will be the successor Trustee.

Section 7.09 Eligibility; Disqualification.

     There will at all times be a Trustee hereunder that is a corporation organized and doing
business under the laws of the United States of America or of any state thereof that is authorized
under such laws to exercise corporate trustee power, that is subject to supervision or examination
by federal or state authorities and that has a combined capital and surplus of at least $100.0
million as set forth in its most recent published annual report of condition.

ARTICLE 8.

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

Section 8.01 Option to Effect Legal Defeasance or Covenant Defeasance.

     The Company may, at the option of its Board of Directors evidenced by a resolution set forth
in an Officers’ Certificate, and at any time, elect to have either Section 8.02 or 8.03 hereof be
applied to all outstanding Notes and all obligations of the Guarantors discharged with respect to
their Note Guarantees upon compliance with the conditions set forth below in this Article 8.

Section 8.02 Legal Defeasance and Discharge.

     Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section
8.02, the Company and each of the Guarantors will, subject to the satisfaction of the conditions
set forth in Section 8.04 hereof, be deemed to have been discharged from their obligations with
respect to all outstanding Notes (including the Note Guarantees) on the date the conditions set
forth below are satisfied (hereinafter, “Legal Defeasance”). For this purpose, Legal Defeasance
means that the Company and the Guarantors will be deemed to have paid and discharged the entire
Indebtedness represented by the outstanding Notes (including the Note Guarantees), which will
thereafter be deemed to be “outstanding” only for the purposes of Section 8.05 hereof and the other
Sections of this Indenture referred to in clauses (1) and (2) below, and to have satisfied all
their other obligations under such Notes, the Note Guarantees and this Indenture (and the Trustee,
on demand of and at the expense of the Company, shall execute proper instruments acknowledging the
same), except for the following provisions which will survive until otherwise terminated or
discharged hereunder:

     (1) the rights of Holders of outstanding Notes to receive payments in respect of the
principal of, premium on, if any, or interest on, such Notes when such payments are due from
the trust referred to in Section 8.04 hereof;

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     (2) the Company’s obligations with respect to such Notes under Article 2 and Section
4.02 hereof;

     (3) the rights, powers, trusts, duties and immunities of the Trustee hereunder and the
Company’s and the Guarantors’ obligations in connection therewith; and

     (4) this Article 8.

     Subject to compliance with this Article 8, the Company may exercise its option under this
Section 8.02 notwithstanding the prior exercise of its option under Section 8.03 hereof.

Section 8.03 Covenant Defeasance.

     Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section
8.03, the Company and each of the Guarantors will, subject to the satisfaction of the conditions
set forth in Section 8.04 hereof, be released from each of their obligations under the covenants
contained in Sections 4.07, 4.08, 4.09, 4.10, 4.11, 4.12, 4.13, 4.15, 4.16, 4.17, 4.18 and 4.19
hereof and clause (4) of Section 5.01 hereof with respect to the outstanding Notes on and after the
date the conditions set forth in Section 8.04 hereof are satisfied (hereinafter, “Covenant
Defeasance”), and the Notes will thereafter be deemed not “outstanding” for the purposes of any
direction, waiver, consent or declaration or act of Holders (and the consequences of any thereof)
in connection with such covenants, but will continue to be deemed “outstanding” for all other
purposes hereunder (it being understood that such Notes will not be deemed outstanding for
accounting purposes). For this purpose, Covenant Defeasance means that, with respect to the
outstanding Notes and Note Guarantees, the Company and the Guarantors may omit to comply with and
will have no liability in respect of any term, condition or limitation set forth in any such
covenant, whether directly or indirectly, by reason of any reference elsewhere herein to any such
covenant or by reason of any reference in any such covenant to any other provision herein or in any
other document and such omission to comply will not constitute a Default or an Event of Default
under Section 6.01 hereof, but, except as specified above, the remainder of this Indenture and such
Notes and Note Guarantees will be unaffected thereby. In addition, upon the Company’s exercise
under Section 8.01 hereof of the option applicable to this Section 8.03, subject to the
satisfaction of the conditions set forth in Section 8.04 hereof, Sections 6.01(3) through 6.01(9)
hereof will not constitute Events of Default.

Section 8.04 Conditions to Legal or Covenant Defeasance.

     In order to exercise either Legal Defeasance or Covenant Defeasance under either Section 8.02
or 8.03 hereof:

     (1) the Company must irrevocably deposit with the Trustee, in trust, for the benefit of
the Holders of the Notes, cash in U.S. dollars, non-callable Government Securities, or a
combination of cash in U.S. dollars and non-callable Government Securities, in amounts as
will be sufficient, in the opinion of a nationally recognized investment bank, appraisal
firm or firm of independent public accountants, to pay the principal of, premium on, if any,
and interest on, the outstanding Notes on the stated date for payment thereof or on the
applicable Redemption Date, as the case may be, and the Company must specify whether the
Notes are being defeased to such stated date for payment or to a particular Redemption Date;

     (2) in the case of an election under Section 8.02 hereof, the Company must deliver to
the Trustee an Opinion of Counsel confirming that:

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     (A) the Company has received from, or there has been published by, the
Internal Revenue Service a ruling; or

     (B) since the date of this Indenture, there has been a change in the
applicable federal income tax law,

in either case to the effect that, and based thereon such Opinion of Counsel shall
confirm that, the Holders of the outstanding Notes will not recognize income, gain
or loss for federal income tax purposes as a result of such Legal Defeasance and
will be subject to federal income tax on the same amounts, in the same manner and at
the same times as would have been the case if such Legal Defeasance had not
occurred;

     (3) in the case of an election under Section 8.03 hereof, the Company must deliver to
the Trustee an Opinion of Counsel confirming that the Holders of the outstanding Notes will
not recognize income, gain or loss for federal income tax purposes as a result of such
Covenant Defeasance and will be subject to federal income tax on the same amounts, in the
same manner and at the same times as would have been the case if such Covenant Defeasance
had not occurred;

     (4) no Default or Event of Default shall have occurred and be continuing on the date of
such deposit (other than a Default or Event of Default resulting from the borrowing of funds
to be applied to such deposit (and any similar concurrent deposit relating to other
Indebtedness) and the granting of Liens to secure such borrowings) and the deposit will not
result in a breach or violation of, or constitute a default under, any other instrument to
which the Company or any Guarantor is a party or by which the Company or any Guarantor is
bound;

     (5) such Legal Defeasance or Covenant Defeasance will not result in a breach or
violation of, or constitute a default under, any material agreement or instrument (other
than this Indenture and the agreements governing any other Indebtedness being defeased,
discharged or replaced) to which the Company or any of its Subsidiaries is a party or by
which the Company or any of its Subsidiaries is bound;

     (6) the Company must deliver to the Trustee an Officers’ Certificate stating that the
deposit was not made by the Company with the intent of preferring the Holders of Notes over
the other creditors of the Company with the intent of defeating, hindering, delaying or
defrauding any creditors of the Company or others;

     (7) if the Notes are to be redeemed prior to their Stated Maturity, the Company must
deliver to the Trustee irrevocable instructions to redeem all of the Notes on the specified
Redemption Date; and

     (8) the Company must deliver to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that all conditions precedent relating to the Legal Defeasance or the
Covenant Defeasance have been complied with.

Section 8.05 Deposited Money and Government Securities to be Held in Trust; Other Miscellaneous
Provisions.

     Subject to Section 8.06 hereof, all money and non-callable Government Securities (including
the proceeds thereof) deposited with the Trustee (or other qualifying trustee, collectively for
purposes of this Section 8.05, the “Trustee”) pursuant to Section 8.04 hereof in respect of the
outstanding Notes will be

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held in trust and applied by the Trustee, in accordance with the provisions of such Notes and
this Indenture, to the payment, either directly or through any Paying Agent (including the Company
acting as Paying Agent) as the Trustee may determine, to the Holders of such Notes of all sums due
and to become due thereon in respect of principal, premium, if any, and interest, but such money
need not be segregated from other funds except to the extent required by law.

     The Company will pay and indemnify the Trustee against any tax, fee or other charge imposed on
or assessed against the cash or non-callable Government Securities deposited pursuant to Section
8.04 hereof or the principal and interest received in respect thereof other than any such tax, fee
or other charge which by law is for the account of the Holders of the outstanding Notes.

     Notwithstanding anything in this Article 8 to the contrary, the Trustee will deliver or pay to
the Company from time to time upon the request of the Company any money or non-callable Government
Securities held by it as provided in Section 8.04 hereof which, in the opinion of a nationally
recognized firm of independent public accountants expressed in a written certification thereof
delivered to the Trustee (which may be the opinion delivered under Section 8.04(1) hereof), are in
excess of the amount thereof that would then be required to be deposited to effect an equivalent
Legal Defeasance or Covenant Defeasance.

Section 8.06 Repayment to Company.

     Subject to applicable law, any money deposited with the Trustee or any Paying Agent, or then
held by the Company, in trust for the payment of the principal of, premium on, if any, or interest
on, any Note and remaining unclaimed for two years after such principal, premium, if any, or
interest has become due and payable shall be paid to the Company on its request or (if then held by
the Company) will be discharged from such trust; and the Holder of such Note will thereafter be
permitted to look only to the Company for payment thereof, and all liability of the Trustee or such
Paying Agent with respect to such trust money, and all liability of the Company as Trustee thereof,
will thereupon cease; provided, however, that the Trustee or such Paying Agent, before being
required to make any such repayment, may at the expense of the Company cause to be published once,
in the New York Times and The Wall Street Journal (national edition), notice that such money
remains unclaimed and that, after a date specified therein, which will not be less than 30 days
from the date of such notification or publication, any unclaimed balance of such money then
remaining will be repaid to the Company.

Section 8.07 Reinstatement.

     If the Trustee or Paying Agent is unable to apply any United States dollars or non-callable
Government Securities in accordance with Section 8.02 or 8.03 hereof, as the case may be, by reason
of any order or judgment of any court or governmental authority enjoining, restraining or otherwise
prohibiting such application, then the Company’s and the Guarantors’ obligations under this
Indenture and the Notes and the Note Guarantees will be revived and reinstated as though no deposit
had occurred pursuant to Section 8.02 or 8.03 hereof until such time as the Trustee or Paying Agent
is permitted to apply all such money in accordance with Section 8.02 or 8.03 hereof, as the case
may be; provided, however, that, if the Company makes any payment of principal of, premium on, if
any, or interest on, any Note following the reinstatement of its obligations, the Company will be
subrogated to the rights of the Holders of such Notes to receive such payment from the money held
by the Trustee or Paying Agent.

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ARTICLE 9.

AMENDMENT, SUPPLEMENT AND WAIVER

Section 9.01 Without Consent of Holders of Notes.

     Notwithstanding Section 9.02 of this Indenture, the Company, the Guarantors and the Trustee
may amend or supplement this Indenture, the Notes, the Note Guarantees, the Intercreditor Agreement
or the Security Documents without the consent of any Holder of a Note:

     (1) to cure any ambiguity, defect or inconsistency;

     (2) to provide for uncertificated Notes in addition to or in place of certificated
Notes;

     (3) to provide for the assumption of the Company’s or a Guarantor’s obligations to the
Holders of the Notes and Note Guarantees in the case of a merger or consolidation or sale of
all or substantially all of the Company’s or such Guarantor’s assets, as applicable;

     (4) to make any change that would provide any additional rights or benefits to the
Holders of the Notes or that does not adversely affect the legal rights hereunder of any
such Holder;

     (5) to comply with requirements of the SEC in order to effect or maintain the
qualification of this Indenture under the TIA;

     (6) to conform the text of this Indenture, the Notes, the Note Guarantees, the
Intercreditor Agreement or the Security Documents to any provision of the “Description of
Notes” section of the Offering Circular to the extent that such provision in that
“Description of Notes” was intended to be a verbatim recitation of a provision of this
Indenture, the Notes, the Note Guarantees, the Intercreditor Agreement or the Security
Documents, which intent shall be evidenced by an Officers’ Certificate to that effect;

     (7) to add a Guarantor or to provide for the Guarantee of the Company’s Obligations
under the Notes by Parent or any direct or indirect parent company of the Company;

     (8) to provide for the issuance of Additional Notes in accordance with the limitations
set forth in this Indenture as of the date hereof;

     (9) to make, complete or confirm any grant of Collateral permitted or required by this
Indenture, the Intercreditor Agreement or any of the Security Documents or any release,
termination or discharge of Collateral that becomes effective as set forth in this
Indenture, the Intercreditor Agreement or any of the Security Documents; or

     (10) to grant any Lien for the benefit of the Holders of the Notes.

     In addition, the Collateral Trustee and the Trustee shall be authorized to amend the Security
Documents to add additional secured parties to the extent Liens securing obligations held by such
parties are permitted under this Indenture and that after so securing any such additional secured
parties, the amount of Shared Lien Debt does not cause the Consolidated Shared Lien Debt Ratio to
exceed 3.50 to 1.00, calculated after giving pro forma effect to such incurrence and the
application of the net proceeds therefrom, as certified by the Company.

     Upon the request of the Company accompanied by a resolution of its Board of Directors
authorizing the execution of any such amended or supplemental indenture, and upon receipt by the
Trustee of the documents described in Section 7.02 hereof, the Trustee will join with the Company
in the execution of any amended or supplemental indenture authorized or permitted by the terms of
this Indenture and to make any further appropriate agreements and stipulations that may be therein
contained,

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but the Trustee will not be obligated to enter into such amended or supplemental indenture
that affects its own rights, duties or immunities under this Indenture or otherwise.

Section 9.02 With Consent of Holders of Notes.

     Except as provided below in this Section 9.02, the Company and the Trustee may amend or
supplement this Indenture (including, without limitation, Sections 3.09, 4.10 and 4.15 hereof), the
Notes and the Note Guarantees with the consent of the Holders of at least a majority in aggregate
principal amount of the then outstanding Notes (including, without limitation, Additional Notes, if
any) voting as a single class (including, without limitation, consents obtained in connection with
a tender offer or exchange offer for, or purchase of, the Notes), and, subject to Sections 6.04 and
6.07 hereof, any existing Default or Event of Default (other than a Default or Event of Default in
the payment of the principal of, premium on, if any, or interest on, the Notes, except a payment
default resulting from an acceleration that has been rescinded) or compliance with any provision of
this Indenture, the Notes or the Note Guarantees may be waived with the consent of the Holders of a
majority in aggregate principal amount of the then outstanding Notes (including, without
limitation, Additional Notes, if any), voting as a single class (including, without limitation,
consents obtained in connection with a tender offer or exchange offer for, or purchase of, the
Notes).

     Upon the request of the Company accompanied by a resolution of its Board of Directors
authorizing the execution of any such amended or supplemental indenture, and upon the filing with
the Trustee of evidence satisfactory to the Trustee of the consent of the Holders of Notes as
aforesaid, and upon receipt by the Trustee of the documents described in Section 7.02 hereof, the
Trustee will join with the Company and the Guarantors in the execution of such amended or
supplemental indenture unless such amended or supplemental indenture directly affects the Trustee’s
own rights, duties or immunities under this Indenture or otherwise, in which case the Trustee may
in its discretion, but will not be obligated to, enter into such amended or supplemental Indenture.

     It is not necessary for the consent of the Holders of Notes under this Indenture to approve
the particular form of any proposed amendment or waiver, but it is sufficient if such consent
approves the substance thereof.

     After an amendment, supplement or waiver under this Section 9.02 becomes effective (including
any amendment, supplement or waiver pursuant to the last paragraph of this Section 9.02), the
Company will mail to the Holders of Notes affected thereby a notice briefly describing the
amendment, supplement or waiver. Any failure of the Company to mail such notice, or any defect
therein, will not, however, in any way impair or affect the validity of any such amended or
supplemental indenture or document or waiver. Subject to Sections 6.04 and 6.07 hereof, the
Holders of a majority in aggregate principal amount of the Notes then outstanding voting as a
single class may waive compliance in a particular instance by the Company with any provision of
this Indenture, the Notes or the Note Guarantees. However, without the consent of each Holder
affected, an amendment, supplement or waiver under this Section 9.02 may not (with respect to any
Notes held by a non-consenting Holder):

     (1) reduce the principal amount of Notes whose Holders must consent to an amendment,
supplement or waiver;

     (2) reduce the principal of or change the fixed maturity of any Note or alter or waive
any of the provisions with respect to the redemption of the Notes (other than as provided
above with respect to Sections 3.09, 4.10 and 4.15 hereof);

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     (3) reduce the rate of or change the time for payment of interest, including default
interest, on any Note;

     (4) waive a Default or Event of Default in the payment of principal of, premium on, if
any, or interest on, the Notes (except a rescission of acceleration of the Notes by the
Holders of at least a majority in aggregate principal amount of the then outstanding Notes
and a waiver of the payment default that resulted from such acceleration);

     (5) make any Note payable in money other than that stated in the Notes;

     (6) make any change in the provisions of this Indenture relating to waivers of past
Defaults or the rights of Holders of Notes to receive payments of principal of, premium on,
if any, or interest on, the Notes;

     (7) waive a redemption payment with respect to any Note (other than a payment required
by Sections 3.09, 4.10 or 4.15 hereof);

     (8) release any Guarantor from any of its obligations under its Note Guarantee or this
Indenture, except in accordance with the terms of this Indenture; or

     (9) make any change in the foregoing amendment and waiver provisions.

     In addition, subject to the immediately following sentence, the Intercreditor Agreement and
the Security Documents may only be amended, waived or supplemented with the consent of the Holders
of at least a majority in aggregate principal amount of the Notes (including, without limitation,
Additional Notes, if any) voting as a single class (but only to the extent any such consent is
required under the Collateral Trust Agreement or the Intercreditor Agreement). Notwithstanding any
other provision of this Indenture, any amendment to, or waiver of, the provisions of this
Indenture, the Intercreditor Agreement or any Security Document that has the effect of releasing
all or substantially all of the Collateral from the Liens securing the Notes will require the
consent of the Holders of at least 662⁄3% in aggregate principal amount of the Notes then outstanding
(including, without limitation, Additional Notes, if any) voting as a single class (but only to
the extent any such consent is required under the Collateral Trust Agreement or the Intercreditor
Agreement).

Section 9.03 Revocation and Effect of Consents.

     Until an amendment, supplement or waiver becomes effective, a consent to it by a Holder of a
Note is a continuing consent by the Holder of a Note and every subsequent Holder of a Note or
portion of a Note that evidences the same debt as the consenting Holder’s Note, even if notation of
the consent is not made on any Note. However, any such Holder of a Note or subsequent Holder of a
Note may revoke the consent as to its Note if the Trustee receives written notice of revocation
before the date the waiver, supplement or amendment becomes effective. An amendment, supplement or
waiver becomes effective in accordance with its terms and thereafter binds every Holder.

Section 9.04 Notation on or Exchange of Notes.

     The Trustee may place an appropriate notation about an amendment, supplement or waiver on any
Note thereafter authenticated. The Company in exchange for all Notes may issue and the Trustee
shall, upon receipt of an Authentication Order, authenticate new Notes that reflect the amendment,
supplement or waiver.

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     Failure to make the appropriate notation or issue a new Note will not affect the validity and
effect of such amendment, supplement or waiver.

Section 9.05 Trustee to Sign Amendments, etc.

     The Trustee will sign any amended or supplemental indenture authorized pursuant to this
Article 9 if the amendment or supplement does not adversely affect the rights, duties, liabilities
or immunities of the Trustee. The Company may not sign an amended or supplemental indenture until
the Board of Directors of the Company approves it. In executing any amended or supplemental
indenture, the Trustee will be provided with and (subject to Section 7.01 hereof) will be fully
protected in relying upon, in addition to the documents required by Section 13.02 hereof, an
Officers’ Certificate and an Opinion of Counsel stating that the execution of such amended or
supplemental indenture by the Trustee and the Company is authorized or permitted by this Indenture.

ARTICLE 10.

NOTE GUARANTEES

Section 10.01 Guarantee.

     (a) Subject to this Article 10, each of the Guarantors hereby, jointly and severally,
unconditionally guarantees to each Holder of a Note authenticated and delivered by the Trustee and
to the Trustee and its successors and assigns, irrespective of the validity and enforceability of
this Indenture, the Notes or the obligations of the Company hereunder or thereunder, that:

     (1) the principal of, premium on, if any, and interest on, the Notes will be promptly
paid in full when due, whether at maturity, by acceleration, redemption or otherwise, and
interest on the overdue principal of, premium on, if any, and interest on, the Notes if
lawful, and all other obligations of the Company to the Holders or the Trustee hereunder or
thereunder will be promptly paid in full or performed, all in accordance with the terms
hereof and thereof; and

     (2) in case of any extension of time of payment or renewal of any Notes or any of such
other obligations, that same will be promptly paid in full when due or performed in
accordance with the terms of the extension or renewal, whether at stated maturity, by
acceleration or otherwise.

     Failing payment when due of any amount so guaranteed or any performance so guaranteed for
whatever reason, the Guarantors will be jointly and severally obligated to pay the same
immediately. Each Guarantor agrees that this is a guarantee of payment and not a guarantee of
collection.

     (b) The Guarantors hereby agree that their obligations hereunder are unconditional,
irrespective of the validity, regularity or enforceability of the Notes or this Indenture, the
absence of any action to enforce the same, any waiver or consent by any Holder of the Notes with
respect to any provisions hereof or thereof, the recovery of any judgment against the Company, any
action to enforce the same or any other circumstance which might otherwise constitute a legal or
equitable discharge or defense of a guarantor. Each Guarantor hereby waives diligence,
presentment, demand of payment, filing of claims with a court in the event of insolvency or
bankruptcy of the Company, any right to require a proceeding first against the Company, protest,
notice and all demands whatsoever and covenant that this Note Guarantee will not be discharged
except by complete performance of the obligations contained in the Notes and this Indenture.

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     (c) If any Holder or the Trustee is required by any court or otherwise to return to the
Company, the Guarantors or any custodian, trustee, liquidator or other similar official acting in
relation to either the Company or the Guarantors, any amount paid by either to the Trustee or such
Holder, this Note Guarantee, to the extent theretofore discharged, will be reinstated in full force
and effect.

     (d) Each Guarantor agrees that it will not be entitled to any right of subrogation in relation
to the Holders in respect of any obligations guaranteed hereby until payment in full of all
obligations guaranteed hereby. Each Guarantor further agrees that, as between the Guarantors, on
the one hand, and the Holders and the Trustee, on the other hand, (1) the maturity of the
obligations guaranteed hereby may be accelerated as provided in Article 6 hereof for the purposes
of this Note Guarantee, notwithstanding any stay, injunction or other prohibition preventing such
acceleration in respect of the obligations guaranteed hereby, and (2) in the event of any
declaration of acceleration of such obligations as provided in Article 6 hereof, such obligations
(whether or not due and payable) will forthwith become due and payable by the Guarantors for the
purpose of this Note Guarantee. The Guarantors will have the right to seek contribution from any
non-paying Guarantor so long as the exercise of such right does not impair the rights of the
Holders under the Note Guarantee.

Section 10.02 Limitation on Guarantor Liability.

     Each Guarantor, and by its acceptance of Notes, each Holder, hereby confirms that it is the
intention of all such parties that the Note Guarantee of such Guarantor not constitute a fraudulent
transfer or conveyance for purposes of Bankruptcy Law, the Uniform Fraudulent Conveyance Act, the
Uniform Fraudulent Transfer Act or any similar federal or state law to the extent applicable to any
Note Guarantee. To effectuate the foregoing intention, the Trustee, the Holders and the Guarantors
hereby irrevocably agree that the obligations of such Guarantor will be limited to the maximum
amount that will, after giving effect to such maximum amount and all other contingent and fixed
liabilities of such Guarantor that are relevant under such laws, and after giving effect to any
collections from, rights to receive contribution from or payments made by or on behalf of any other
Guarantor in respect of the obligations of such other Guarantor under this Article 10, result in
the obligations of such Guarantor under its Note Guarantee not constituting a fraudulent transfer
or conveyance.

Section 10.03 Execution and Delivery of Note Guarantee.

     To evidence its Note Guarantee set forth in Section 10.01 hereof, each Guarantor hereby agrees
that a notation of such Note Guarantee substantially in the form attached as Exhibit E hereto will
be endorsed by an Officer of such Guarantor on each Note authenticated and delivered by the Trustee
and that this Indenture will be executed on behalf of such Guarantor by one of its Officers.

     Each Guarantor hereby agrees that its Note Guarantee set forth in Section 10.01 hereof will
remain in full force and effect notwithstanding any failure to endorse on each Note a notation of
such Note Guarantee.

     If an Officer whose signature is on this Indenture or on the Note Guarantee no longer holds
that office at the time the Trustee authenticates the Note on which a Note Guarantee is endorsed,
the Note Guarantee will be valid nevertheless.

     The delivery of any Note by the Trustee, after the authentication thereof hereunder, will
constitute due delivery of the Note Guarantee set forth in this Indenture on behalf of the
Guarantors.

     In the event that the Company or any of its Restricted Subsidiaries creates or acquires any
Domestic Subsidiary after the date of this Indenture, if required by Section 4.16 hereof, the
Company will

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cause such Domestic Subsidiary to comply with the provisions of Section 4.16 hereof and this
Article 10, to the extent applicable.

Section 10.04 Guarantors May Consolidate, etc., on Certain Terms.

     Except as otherwise provided in Section 10.05 hereof, no Guarantor may sell or otherwise
dispose of all or substantially all of its assets to, or consolidate with or merge with or into
(whether or not such Guarantor is the surviving Person) another Person, other than the Company or
another Guarantor, unless:

     (1) immediately after giving effect to such transaction, no Default or Event of Default
exists; and

     (2) either:

     (A) subject to Section 10.05 hereof, the Person acquiring the property in any
such sale or disposition or the Person formed by or surviving any such
consolidation or merger unconditionally assumes all the obligations of that
Guarantor under this Indenture, its Note Guarantee and the Security Documents
pursuant to a supplemental indenture and appropriate Security Documents on the
terms set forth herein or therein; and

     (B) the Net Proceeds of such sale or other disposition are applied in
accordance with the applicable provisions of this Indenture, including without
limitation, Section 4.10 hereof.

     In case of any such consolidation, merger, sale or conveyance and upon the assumption by the
successor Person (by supplemental indenture, executed and delivered to the Trustee) of the Note
Guarantee endorsed upon the Notes and the due and punctual performance of all of the covenants and
conditions of this Indenture to be performed by the Guarantor, such successor Person will succeed
to and be substituted for the Guarantor with the same effect as if it had been named herein as a
Guarantor. Such successor Person thereupon may cause to be signed any or all of the Note
Guarantees to be endorsed upon all of the Notes issuable hereunder which theretofore shall not have
been signed by the Company and delivered to the Trustee. All the Note Guarantees so issued will in
all respects have the same legal rank and benefit under this Indenture as the Note Guarantees
theretofore and thereafter issued in accordance with the terms of this Indenture as though all of
such Note Guarantees had been issued at the date of the execution hereof.

     Except as set forth in Articles 4 and 5 hereof, and notwithstanding clauses 2(A) and 2(B)
above, nothing contained in this Indenture or in any of the Notes will prevent any consolidation or
merger of a Guarantor with or into the Company or another Guarantor, or will prevent any sale or
conveyance of the property of a Guarantor as an entirety or substantially as an entirety to the
Company or another Guarantor.

Section 10.05 Releases.

     (a) In the event of any sale or other disposition of all or substantially all of the assets of
any Guarantor, by way of merger, consolidation or otherwise, or a sale or other disposition of all
of the Capital Stock of any Guarantor, in each case to a Person that is not (either before or after
giving effect to such transactions) the Company or a Restricted Subsidiary of the Company, then
such Guarantor (in the event of a sale or other disposition, by way of merger, consolidation or
otherwise, of all of the Capital Stock of such Guarantor) or the corporation acquiring the property
(in the event of a sale or other disposition of all or substantially all of the assets of such
Guarantor) will be released and relieved of any

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obligations under its Note Guarantee; provided that (i) the Net Proceeds of such sale or other
disposition are applied in accordance with the applicable provisions of this Indenture, including
without limitation Section 4.10 hereof and (ii) such Guarantor ceases to be a Restricted Subsidiary
of the Company as a result of the sale or other disposition. Upon delivery by the Company to the
Trustee of an Officers’ Certificate and an Opinion of Counsel to the effect that (i) such sale or
other disposition was made by the Company in accordance with the provisions of this Indenture,
including without limitation Section 4.10 hereof and (ii) that such Guarantor has ceased to be a
Restricted Subsidiary of the Company as a result of such sale or other disposition, the Trustee
will execute any documents reasonably required in order to evidence the release of such Guarantor
from its obligations under its Note Guarantee.

     (b) Upon designation of any Restricted Subsidiary that is a Guarantor as an Unrestricted
Subsidiary in accordance with the terms of this Indenture, such Guarantor will be released and
relieved of any obligations under its Note Guarantee.

     (c) Upon Legal Defeasance or Covenant Defeasance in accordance with Article 8 hereof or
satisfaction and discharge of this Indenture in accordance with Article 11 hereof, each Guarantor
will be released and relieved of any obligations under its Note Guarantee.

     Any Guarantor not released from its obligations under its Note Guarantee as provided in this
Section 10.05 will remain liable for the full amount of principal of, premium on, if any, and
interest on, the Notes and for the other obligations of any Guarantor under this Indenture as
provided in this Article 10.

ARTICLE 11.

SATISFACTION AND DISCHARGE

Section 11.01 Satisfaction and Discharge.

     This Indenture will be discharged and will cease to be of further effect as to all Notes and
the Note Guarantees issued hereunder, when:

     (1) either:

          (a) all Notes that have been authenticated, except lost, stolen or destroyed Notes that
have been replaced or paid and Notes for whose payment money has been deposited in trust and
thereafter repaid to the Company, have been delivered to the Trustee for cancellation; or

          (b) all Notes that have not been delivered to the Trustee for cancellation have become
due and payable, or will become due and payable within one year, by reason of providing for
the mailing of a notice of redemption or otherwise and the Company or any Guarantor has
irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust
solely for the benefit of the Holders, cash in U.S. dollars, non-callable Government
Securities, or a combination of cash in U.S. dollars and non-callable Government Securities,
in amounts as will be sufficient, without consideration of any reinvestment of interest, to
pay and discharge the entire Indebtedness on the Notes not delivered to the Trustee for
cancellation for principal, premium, if any, and accrued interest to the date of maturity or
redemption;

     (2) in respect of subclause (b) of clause (1) of this Section 11.01, no Default or
Event of Default has occurred and is continuing on the date of the deposit (other than a
Default or Event of Default resulting from the borrowing of funds to be applied to such
deposit and any similar deposit relating to other Indebtedness and, in each case, the
granting of Liens to secure such

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borrowings) and the deposit will not result in a breach or violation of, or constitute
a default under, any other instrument to which the Company or any Guarantor is a party or by
which the Company or any Guarantor is bound (other than with respect to the borrowing of
funds to be applied concurrently to make the deposit required to effect such satisfaction
and discharge and any similar concurrent deposit relating to other Indebtedness, and in each
case the granting of Liens to secure such borrowings);

     (3) the Company or any Guarantor has paid or caused to be paid all sums payable by it
under this Indenture; and

     (4) the Company has delivered irrevocable instructions to the Trustee under this
Indenture to apply the deposited money toward the payment of the Notes at maturity or on the
Redemption Date, as the case may be.

In addition, the Company must deliver an Officers’ Certificate and an Opinion of Counsel to the
Trustee stating that all conditions precedent to satisfaction and discharge have been satisfied.

     Notwithstanding the satisfaction and discharge of this Indenture, if money has been deposited
with the Trustee pursuant to subclause (b) of clause (1) of this Section 11.01, the provisions of
Sections 11.02 and 8.06 will survive such satisfaction and discharge. In addition, nothing in this
Section 11.01 will be deemed to discharge those provisions of Section 7.06 hereof, that, by their
terms, survive the satisfaction and discharge of this Indenture.

Section 11.02 Application of Trust Money.

     Subject to the provisions of Section 8.06 hereof, all money deposited with the Trustee
pursuant to Section 11.01 hereof shall be held in trust and applied by it, in accordance with the
provisions of the Notes and this Indenture, to the payment, either directly or through any Paying
Agent (including the Company acting as its own Paying Agent) as the Trustee may determine, to the
Persons entitled thereto, of the principal, premium, if any, and interest for whose payment such
money has been deposited with the Trustee; but such money need not be segregated from other funds
except to the extent required by law.

     If the Trustee or Paying Agent is unable to apply any money or Government Securities in
accordance with Section 11.01 hereof by reason of any legal proceeding or by reason of any order or
judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting
such application, the Company’s and any Guarantor’s obligations under this Indenture and the Notes
shall be revived and reinstated as though no deposit had occurred pursuant to Section 11.01 hereof;
provided that if the Company has made any payment of principal of, premium on, if any, or interest
on, any Notes because of the reinstatement of its obligations, the Company shall be subrogated to
the rights of the Holders of such Notes to receive such payment from the money or Government
Securities held by the Trustee or Paying Agent.

ARTICLE 12.

COLLATERAL AND SECURITY

Section 12.01 Security Interest.

     The due and punctual payment of the principal of, premium on, if any, and interest on, the
Notes when and as the same shall be due and payable, whether on an interest payment date, at
maturity, by acceleration, repurchase, redemption, prepayment, demand or otherwise, and interest on
the overdue principal of, premium on, if any, or interest on, the Notes and performance of all
other obligations of the

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Company and the Guarantors to the Holders of Notes or the Trustee and the Notes (including, without
limitation, the Note Guarantees), according to the terms hereunder or thereunder, are secured as
provided in the Security Documents.

     Each Holder of Notes, by its acceptance thereof, consents and agrees to the terms of the
Security Documents (including, without limitation, the provisions providing for foreclosure and
release of Collateral and entry into the Intercreditor Agreement) as the same may be in effect or
may be amended or otherwise modified from time to time in accordance with their terms and
authorizes and appoints Wilmington Trust FSB as the Trustee and as the Collateral Trustee, and
authorizes and directs the Trustee to enter into the Collateral Trust Agreement and to perform its
obligations and exercise its rights thereunder in accordance therewith and the authorizes and
directs the Collateral Trustee to enter into the Security Documents and to perform its obligations
and exercise its rights thereunder in accordance therewith.

     The Company and each of the Guarantors consents and agrees to be bound by the terms of the
Security Documents, as the same may be in effect from time to time, and agrees to perform its
obligations thereunder in accordance therewith. The Company will deliver to the Trustee copies of
all documents delivered to the Collateral Trustee pursuant to the Security Documents, and will do
or cause to be done all such acts and things as may be required by the provisions of the Security
Documents, to assure and confirm to the Collateral Trustee the security interest in the Collateral
contemplated by the Security Documents or any part thereof, as from time to time constituted, so as
to render the same available for the security and benefit of this Indenture and of the Notes.

     The Company will take, and will cause its Subsidiaries to take, any and all actions reasonably
required to cause the Security Documents to create and maintain, as security for the Shared Lien
Obligations, a valid and enforceable perfected security interest and continuing Lien in and on all
of the Collateral in favor of the Collateral Trustee for the benefit of the Trustee, the Holders of
Notes and the holders of other Shared Lien Obligations, to the extent required by, and with the
Lien priority required under, the Shared Lien Documents.

Section 12.02 Intercreditor Agreement.

     At any time when the Intercreditor Agreement is in effect, this Article Twelve and the
provisions of each Security Document shall be subject to the terms, conditions and benefits set
forth in the Intercreditor Agreement. The Company and each Guarantor consents to, and agrees to be
bound by, the terms of the Intercreditor Agreement, as the same may be in effect from time to time,
and to perform its obligations thereunder in accordance with the terms therewith.

Section 12.03 Collateral Trust Agreement.

     This Article Twelve and the provisions of each Security Document are subject to the terms,
conditions and benefits set forth in the Collateral Trust Agreement. The Company and each
Guarantor consents to, and agrees to be bound by, the terms of the Collateral Trust Agreement, as
the same may be in effect from time to time, and to perform its obligations thereunder in
accordance with the terms therewith.

Section 12.04 Equal and Ratable Sharing of Collateral by Holders of Shared Lien Debt.

     Notwithstanding: (1) anything to the contrary contained in the Security Documents; (2) the
time of incurrence of any Series of Shared Lien Debt; (3) the order or method of attachment or
perfection of any Liens securing any Series of Shared Lien Debt; (4) the time or order of filing or
recording of

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financing statements or other documents filed or recorded to perfect any Liens securing any
Series of Shared Lien Debt; (5) the time of taking possession or control over any Liens securing
any Series of Shared Lien Debt; (6) that any Shared Lien may not have been perfected or may be or
have become subordinated, by equitable subordination or otherwise, to any other Lien; or (7) the
rules for determining priority under any law governing relative priorities of Liens, all Shared
Liens granted at any time by the Company or any Guarantor will secure, equally and ratably, all
present and future Shared Lien Obligations.

     The foregoing provision is intended for the benefit of, and will be enforceable by, each
present and future holder of Shared Lien Obligations, each present and future Shared Lien
Representative and the Collateral Trustee, as holder of Shared Liens, in each case, as a third
party beneficiary. All future Shared Lien Obligations shall be pari passu in right of payment with
the Notes, shall be guaranteed on a pari passu basis by each Guarantor and shall be secured equally
and ratably with the Notes by Liens on the Collateral granted under the Security Documents for as
long as the Notes and the Guarantees are secured by the Collateral, subject to this Indenture. All
Indebtedness in respect of future Shared Lien Obligations shall only be permitted to be incurred
and secured by the Collateral if such Indebtedness and the related Liens are permitted to be
incurred under Sections 4.09 and 4.12 hereof and if such Indebtedness is properly designated by the
Company, in an Officers’ Certificate delivered to the Trustee and the Collateral Trustee, as
“Shared Lien Debt” in accordance with the definition of Shared Lien Debt and the applicable
provisions of the Collateral Trust Agreement.

Section 12.05 Release of Liens in Respect of Notes.

     The Collateral Trustee’s Liens upon the Collateral shall no longer secure the Notes
outstanding under this Indenture or any other Obligations under this Indenture, and the right of
the Holders of the Notes and such Obligations to the benefits and proceeds of the Collateral
Trustee’s Liens on the Collateral shall terminate and be discharged:

     (a) upon satisfaction and discharge of this Indenture as set forth under Article 11 hereof;

     (b) upon a Legal Defeasance or Covenant Defeasance of all outstanding Notes as set forth under
Article 8 hereof;

     (c) upon payment in full and discharge of all Notes outstanding under this Indenture and all
Obligations that are outstanding, due and payable under this Indenture at the time the Notes are
paid in full and discharged;

     (d) in whole or in part, with the consent of the Holders of the requisite percentage of Notes
in accordance with Article 9 hereof; or

     (e) if and to the extent required by the provisions of the Intercreditor Agreement.

Section 12.06 Relative Rights.

     Nothing in the Note Documents or the Intercreditor Agreement shall:

     (a) impair, as between the Company and the Holders of the Notes, the obligation of the Company
to pay principal, premium on, if any, or interest on, the Notes in accordance with their terms or
any other obligation of the Company or any Guarantor under the Note Documents;

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     (b) affect the relative rights of Holders of Notes as against any other creditors of the
Company or any Guarantor (other than Liens securing Priority Lien Obligations or other Shared
Liens);

     (c) restrict the right of any holder of Notes to sue for payments that are then due and owing
(but not the right to enforce any judgment in respect thereof against any Collateral to the extent
specifically prohibited by Section 3.1 or Section 6.1 of the Intercreditor Agreement (if then in
effect) or Section 3.3 of the Collateral Trust Agreement);

     (d) restrict or prevent any holder of Notes or other Shared Lien Obligations, the Collateral
Trustee or any other person from exercising any of its rights or remedies upon a Default or Event
of Default not specifically restricted or prohibited by Section 3.1 or Section 6.1 of the
Intercreditor Agreement (if then in effect) or Section 3.3 of the Collateral Trust Agreement; or

     (e) restrict or prevent any holder of Notes or other Shared Lien Obligations, the Trustee, the
Collateral Trustee or any other person from taking any lawful action in an Insolvency or
Liquidation Proceeding not specifically restricted or prohibited by Section 6.1 of the
Intercreditor Agreement (if then in effect) or Section 3.3 of the Collateral Trust Agreement.

Section 12.07 Collateral Trustee.

     (a) The Company has appointed Wilmington Trust FSB to serve as the Collateral Trustee for the
benefit of the holders of:

     (1) the Notes; and

     (2) all other Shared Lien Obligations outstanding from time to time.

     (b) The Collateral Trustee (directly or through co-trustees, agents or sub-agents) will hold,
and will be entitled to enforce on behalf of the holders of Shared Lien Obligations, all Liens on
the Collateral created by the Security Documents for their benefit, subject to the provisions of
the Intercreditor Agreement (if then in effect).

     (c) Except as provided in the Collateral Trust Agreement or as directed by an Act of Required
Debtholders in accordance with the Collateral Trust Agreement, the Collateral Trustee will not be
obligated:

     (1) to act upon directions purported to be delivered to it by any Person;

     (2) to foreclose upon or otherwise enforce any Lien; or

     (3) to take any other action whatsoever with regard to any or all of the Security
Documents, the Liens created thereby or the Collateral.

     (d) Each Holder hereby authorizes and directs the Trustee and Collateral Trustee to act
pursuant to the Security Documents, and to enter into such documents, instruments and agreements
(in recordable form, if requested), and to take such further actions, as may be necessary or as the
Priority Lien Collateral Agent (if any) may reasonably request to effectuate the terms of, and the
Lien priorities contemplated by, the Collateral Trust Agreement and the Intercreditor Agreement.

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Section 12.08 Further Assurances; Insurance.

     (a) The Company and each of the Guarantors will use commercially reasonable efforts to perfect
on the date hereof the security interests in the Collateral for the benefit of the Holders of
Notes, but to the extent any such security interest cannot be perfected by such date, the Company
and the Guarantors shall have all security interests perfected, to the extent required by the
Security Documents, promptly following the date hereof, but in any event shall do, or cause to be
done, all such acts and things as may be necessary or proper to have all such security interests
perfected no later than 30 days after the date hereof. The Company and each of the Guarantors will
deliver an Officers’ Certificate to the Trustee and the Collateral Trustee confirming that all of
the security interests have been perfected, not later than 30 days after the date hereof.

     (b) The Company and each of the Guarantors shall do or cause to be done all acts and things
that may be reasonably required, or that the Collateral Trustee from time to time may reasonably
request, to assure and confirm that the Collateral Trustee holds, for the benefit of the holders of
Shared Lien Obligations, duly created and enforceable and perfected Liens upon the Collateral
(including any real, personal or mixed property or assets that are acquired or otherwise become
Collateral after the Notes are issued), in each case, if and to the extent required by, and with
the Lien priority required under, the Shared Lien Documents.

     (c) Upon the reasonable request of the Collateral Trustee or any Shared Lien Representative at
any time and from time to time, the Company and each of the Guarantors will promptly execute,
acknowledge and deliver such Security Documents, instruments, certificates, notices and other
documents, and take such other actions as may be reasonably required, or that the Collateral
Trustee may reasonably request, to create, perfect, protect, assure or enforce the Liens and
benefits intended to be conferred, in each case as contemplated by the Shared Lien Documents for
the benefit of the holders of Shared Lien Obligations.

     (d) The Company and the Guarantors shall:

     (1) keep their properties adequately insured at all times by financially sound and
reputable insurers;

     (2) maintain such other insurance, to such extent and against such risks (and with such
deductibles, retentions and exclusions), including fire and other risks insured against by
extended coverage, as is customary with companies in the same or similar businesses
operating in the same or similar locations, including public liability insurance against
claims for personal injury or death or property damage occurring upon, in, about or in
connection with the use of any properties owned, occupied or controlled by them;

     (3) maintain such other insurance as may be required by law;

     (4) maintain title insurance on all real property Collateral (if any) insuring the
Collateral Trustee’s Lien on such Collateral, subject only to Permitted Liens, except as may
be otherwise permitted by the Security Documents; and

     (5) maintain such other insurance as may be required by the Security Documents.

     (e) The Company and the Guarantors will furnish to the Collateral Trustee an insurance
certificate as to their property and liability insurance carriers. The Company will be required to
provide at least 30 days’ notice of cancellation or material change, on all property and casualty
insurance policies of the Company and the Guarantors. The Collateral Trustee will be named as an
additional insured, or will

94

 

be named as loss payee as its interests may appear, on all insurance policies of the Company
and the Guarantors.

ARTICLE 13.

MISCELLANEOUS

Section 13.01 Notices.

     Any notice or communication by the Company, any Guarantor or the Trustee to the others is duly
given if in writing and delivered in Person or by first class mail (registered or certified, return
receipt requested), facsimile transmission or overnight air courier guaranteeing next day delivery,
to the others’ address:

If to the Company and/or any Guarantor:

Viasystems, Inc.

101 South Hanley Road

St. Louis, Missouri, 63105

Facsimile No.: (314) 727-2087

Attention: General Counsel

With a copy to:

Weil, Gotshal & Manges LLP

200 Crescent Court, Suite 300

Dallas, Texas, 75201

Facsimile No.: (214) 746-7700

Attention: Scott Cohen, Esq.

If to the Trustee:

Wilmington Trust FSB

246 Goose Lane, Suite 105

Guilford, Connecticut 06437

Facsimile No.: (203) 453-1183

Attention: Joseph P. O’Donnell

     The Company, any Guarantor or the Trustee, by notice to the others, may designate additional
or different addresses for subsequent notices or communications.

     All notices and communications (other than those sent to Holders) will be deemed to have been
duly given: at the time delivered by hand, if personally delivered; five Business Days after being
deposited in the mail, postage prepaid, if mailed; when receipt acknowledged, if transmitted by
facsimile; and the next Business Day after timely delivery to the courier, if sent by overnight air
courier guaranteeing next day delivery.

     Any notice or communication to a Holder will be mailed by first class mail, certified or
registered, return receipt requested, or by overnight air courier guaranteeing next day delivery to
its address shown on the register kept by the Registrar. Failure to mail a notice or communication
to a Holder or any defect in it will not affect its sufficiency with respect to other Holders.

     If a notice or communication is mailed in the manner provided above within the time
prescribed, it is duly given, whether or not the addressee receives it.

95

 

     If the Company mails a notice or communication to Holders, it will mail a copy to the Trustee
and each Agent at the same time.

     Notwithstanding any other provision of this Indenture or any Note, where this Indenture or any
Note provides for notice of any event (including any notice of redemption) to a Holder of a Global
Note (whether by mail or otherwise), such notice shall be sufficiently given if given to the
Depositary for such Note (or its designee) pursuant to Applicable Procedures.

Section 13.02 Certificate and Opinion as to Conditions Precedent.

     Upon any request or application by the Company to the Trustee to take any action under this
Indenture, the Company shall furnish to the Trustee:

     (1) an Officers’ Certificate in form and substance reasonably satisfactory to the
Trustee (which must include the statements set forth in Section 13.03 hereof) stating that,
in the opinion of the signers, all conditions precedent and covenants, if any, provided for
in this Indenture relating to the proposed action have been satisfied; and

     (2) except upon the initial issuance of Notes, an Opinion of Counsel in form and
substance reasonably satisfactory to the Trustee stating that, in the opinion of such
counsel, all such conditions precedent and covenants have been satisfied.

Section 13.03 Statements Required in Certificate or Opinion.

     Each certificate or opinion with respect to compliance with a condition or covenant provided
for in this Indenture must include:

     (1) a statement that the Person making such certificate or opinion has read such
covenant or condition;

     (2) a brief statement as to the nature and scope of the examination or investigation
upon which the statements or opinions contained in such certificate or opinion are based;

     (3) a statement that, in the opinion of such Person, he or she has made such
examination or investigation as is necessary to enable him or her to express an informed
opinion as to whether or not such covenant or condition has been satisfied; and

     (4) a statement as to whether or not, in the opinion of such Person, such condition or
covenant has been satisfied.

Section 13.04 Rules by Trustee and Agents.

     The Trustee may make reasonable rules for action by or at a meeting of Holders. The Registrar
or Paying Agent may make reasonable rules and set reasonable requirements for its functions.

Section 13.05 No Personal Liability of Directors, Officers, Employees and Stockholders.

     No past, present or future director, officer, employee, incorporator or stockholder of the
Company or any Guarantor, as such, will have any liability for any obligations of the Company or
the Guarantors under the Note Documents, or for any claim based on, in respect of, or by reason of,
such obligations or their creation. Each Holder of Notes by accepting a Note waives and releases
all such liability. The

96

 

waiver and release are part of the consideration for issuance of the Notes. The waiver may
not be effective to waive liabilities under the federal securities laws.

Section 13.06 Governing Law.

     THE INTERNAL LAW OF THE STATE OF NEW YORK WILL GOVERN AND BE USED TO CONSTRUE THIS INDENTURE,
THE NOTES AND THE NOTE GUARANTEES WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF
LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED
THEREBY.

Section 13.07 No Adverse Interpretation of Other Agreements.

     This Indenture may not be used to interpret any other indenture, loan or debt agreement of the
Company or its Subsidiaries or of any other Person. Any such indenture, loan or debt agreement may
not be used to interpret this Indenture.

Section 13.08 Successors.

     All agreements of the Company in this Indenture and the Notes will bind its successors. All
agreements of the Trustee in this Indenture will bind its successors. All agreements of each
Guarantor in this Indenture will bind its successors, except as otherwise provided in Section
10.05.

Section 13.09 Severability.

     In case any provision in this Indenture or in the Notes is invalid, illegal or unenforceable,
the validity, legality and enforceability of the remaining provisions will not in any way be
affected or impaired thereby.

Section 13.10 Counterpart Originals.

     The parties may sign any number of copies of this Indenture. Each signed copy will be an
original, but all of them together represent the same agreement.

Section 13.11 Table of Contents, Headings, etc.

     The Table of Contents and Headings of the Articles and Sections of this Indenture have been
inserted for convenience of reference only, are not to be considered a part of this Indenture and
will in no way modify or restrict any of the terms or provisions hereof.

[Signatures on following page]

97

 

SIGNATURES

Dated as of November 24, 2009

	 	 	 	 	 
	 	VIASYSTEMS, INC.

 	 
	 	By:  	/s/ David M. Sindelar
 	 
	 	 	Name:  	David M. Sindelar 	 
	 	 	Title:  	Chief Executive Officer 	 
	 

	 	 	 	 	 	 	 
	 	 	VIASYSTEMS INTERNATIONAL, INC.
	 	 	VIASYSTEMS TECHNOLOGIES CORP., LLC
	 

	 	 	 	By:
	 	Viasystems, Inc.
	 

	 	 	 	 	 	as sole member

	 	 	 	 	 
	 	 	 
	 	By:  	     /s/ David M. Sindelar
 	 
	 	 	Name:  	David M. Sindelar 	 
	 	 	Title:  	Chief Executive Officer 	 
	 
	 	WILMINGTON TRUST FSB, as Trustee

 	 
	 	By:  	/s/ Joseph P. O’Donnell
 	 
	 	 	Name:  	Joseph P. O’Donnell 	 
	 	 	Title:  	Vice President 	 
	 

 

 

EXHIBIT A1

[Face of Note]

 

CUSIP/CINS                                         

12.00% Senior Secured Notes due 2015

			
	No.                     
	 	$                                        

VIASYSTEMS, INC.

promises to pay to [                                        ], or registered assigns,

the principal sum of 
                                                                              
                   
                   
     DOLLARS on January 15, 2015.

Interest Payment Dates: January 15 and July 15

Record Dates: January 1 and July 1

Dated:                                         , 20     

	 	 	 	 	 
	 	VIASYSTEMS, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

This is one of the Notes referred to

in the within-mentioned Indenture:

	 	 	 	 
	WILMINGTON TRUST FSB,

as Trustee

 	 
	By:  	 	 
	 	Authorized Signatory 	 
	 	 	 
	 

THIS NOTE IS ISSUED WITH ORIGINAL ISSUE DISCOUNT FOR PURPOSES OF SECTION 1271 ET SEQ. OF THE
INTERNAL REVENUE CODE. A HOLDER MAY OBTAIN THE ISSUE PRICE, AMOUNT OF ORIGINAL ISSUE DISCOUNT,
ISSUE DATE AND YIELD TO MATURITY FOR SUCH NOTES BY SUBMITTING A REQUEST FOR SUCH INFORMATION TO
THE ISSUER AT THE FOLLOWING ADDRESS: VIASYSTEMS, INC., 101 SOUTH HANLEY ROAD, ST. LOUIS, MISSOURI,
63105, ATTENTION: CHIEF FINANCIAL OFFICER.

 

A1-1

 

[Back of Note]

12.00% Senior Secured Notes due 2015

[Insert the Global Note Legend, if applicable pursuant to the provisions of the Indenture]

[Insert the Private Placement Legend, if applicable pursuant to the provisions of the Indenture]

     Capitalized terms used herein have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated.

     (1) Interest. Viasystems, Inc., a Delaware corporation (the
“Company”), promises to pay interest on the principal amount of this Note at 12.00% per
annum from                                         ,                      until maturity. The Company will pay interest semi-annually
in arrears on January 15th and July 15th of each year, or if any such
day is not a Business Day, on the next succeeding Business Day (each, an “Interest Payment
Date”). Interest on the Notes will accrue from the most recent date to which interest has
been paid or, if no interest has been paid, from the date of issuance; provided that if
there is no existing Default in the payment of interest, and if this Note is authenticated
between a record date referred to on the face hereof and the next succeeding Interest
Payment Date, interest shall accrue from such next succeeding Interest Payment Date;
provided further that the first Interest Payment Date shall be                                         ,                     .
Interest will be computed on the basis of a 360-day year of twelve 30-day months.

     (2) Method of Payment. The Company will pay interest on the Notes
(except defaulted interest) to the Persons who are registered Holders of Notes at the close
of business on the January 1 or July 1 next preceding the Interest Payment Date, even if
such Notes are canceled after such record date and on or before such Interest Payment Date,
except as provided in Section 2.12 of the Indenture with respect to defaulted interest. The
Notes will be payable as to principal, premium, if any, and interest at the office or agency
of the Company maintained for such purpose or, at the option of the Company, payment of
interest may be made by check mailed to the Holders at their addresses set forth in the
register of Holders; provided that payment by wire transfer of immediately available funds
will be required with respect to principal of, premium on, if any, and interest on, all
Global Notes and all other Notes the Holders of which will have provided wire transfer
instructions to the Company or the Paying Agent. Such payment will be in such coin or
currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts.

     (3) Paying Agent and Registrar. Initially, Wilmington Trust FSB, the
Trustee under the Indenture, will act as Paying Agent and Registrar. The Company may change
any Paying Agent or Registrar without prior notice to the Holders of the Notes. The Company
or any of its Subsidiaries may act in any such capacity.

     (4) Indenture. The Company issued the Notes under an Indenture,
dated as of November 24, 2009 (the “Indenture”), among the Company, the Guarantors and the
Trustee. The terms of the Notes include those stated in the Indenture, and Holders are
referred to the Indenture for a statement of such terms. To the extent any provision of
this Note conflicts with the express provisions of the Indenture, the provisions of the
Indenture shall govern and be controlling. The Notes are secured obligations of the
Company.

     (5) Optional Redemption.

A1-2

 

          (a) Except as set forth in subparagraph (b) or (c) of this Paragraph 5, the Company
will not have the option to redeem the Notes prior to July 15, 2012. On or after July 15,
2012, the Company may redeem all or a part of the Notes upon not less than 30 nor more than
60 days’ prior notice, at the redemption prices (expressed as percentages of principal
amount) set forth below plus accrued and unpaid interest, if any, on the Notes redeemed, to
the applicable Redemption Date, if redeemed during the twelve-month period beginning on July
15 of the years indicated below, subject to the rights of Holders of Notes on the relevant
record date to receive interest on the relevant Interest Payment Date:

	 	 	 	 	 
	Year	 	Percentage	 
	2012
	 	 	106.000	%
	2013
	 	 	103.000	%
	2014 and thereafter
	 	 	100.000	%

          (b) Notwithstanding the provisions of subparagraph (a) of this Paragraph 5, at any time
prior to July 15, 2012, the Company may on any one or more occasions redeem up to 35% of the
aggregate principal amount of Notes issued under the Indenture, upon not less than 30 nor
more than 60 days’ prior notice, at a redemption price equal to 112.000% of the principal
amount of the Notes redeemed, plus accrued and unpaid interest if any, to the Redemption
Date, subject to the rights of Holders of Notes on the relevant record date to receive
interest on the relevant Interest Payment Date, with the net cash proceeds of one or more
Equity Offerings of the Company or a contribution to the Company’s common equity capital
made with the net cash proceeds of a concurrent Equity Offering of Parent or any direct or
indirect parent company of the Company; provided that: (1) at least 65% of the aggregate
principal amount of Notes originally issued under the Indenture (excluding Notes held by the
Company and its Subsidiaries) remains outstanding immediately after the occurrence of such
redemption; and (2) the redemption occurs within 180 days of the date of the closing of such
Equity Offering.

          (c) At any time prior to July 15, 2012, the Company may also redeem all or a part of
the Notes, upon not less than 30 nor more than 60 days’ prior notice, at a redemption price
equal to 100% of the principal amount of the Notes redeemed, plus the Applicable Premium as
of, and accrued and unpaid interest, if any, to the Redemption Date, subject to the rights
of Holders of Notes on the relevant record date to receive interest due on the relevant
interest payment date.

     (6) Mandatory Redemption.

     The Company is not required to make mandatory redemption payments or sinking fund payments
with respect to the Notes.

     (7) Repurchase at the Option of Holder.

          (a) If there is a Change of Control, the Company will be required to make an offer (a
“Change of Control Offer”) to each Holder to repurchase all or any part (provided that no
Notes of $2,000 or less can be redeemed in part) of each Holder’s Notes at a purchase price
in cash equal to 101% of the aggregate principal amount thereof plus accrued and unpaid
interest, if any, on the Notes repurchased to the date of purchase, subject to the rights of
Holders of Notes on the relevant record date to receive interest due on the relevant
interest payment date (the “Change of Control Payment”). Within 30 days following any Change
of Control, the Company will mail

A1-3

 

a notice to each Holder setting forth the procedures governing the Change of Control
Offer as required by the Indenture.

          (b) If the Company or a Restricted Subsidiary of the Company consummates any Asset
Sales, within 30 days after any time the aggregate amount of Excess Proceeds exceeds $25
million, the Company will commence an offer to all Holders of Notes and all holders of other
Shared Lien Debt containing provisions similar to those set forth in the Indenture with
respect to offers to purchase, prepay or redeem with the proceeds of sales of assets (an
“Asset Sale Offer”) in accordance with Section 3.09 of the Indenture to purchase, prepay or
redeem the maximum principal amount of Notes and other Shared Lien Debt (plus all accrued
interest on the Indebtedness and the amount of all fees and expenses, including premiums,
incurred in connection therewith) that may be purchased, prepaid or redeemed out of the
Excess Proceeds. The offer price in any Asset Sale Offer will be cash in an amount equal to
100% of the principal amount thereof, plus accrued and unpaid interest thereon, if any, to
the date fixed for the closing of such offer, in accordance with the procedures set forth in
the Indenture. To the extent that the aggregate amount of Notes and other Shared Lien Debt
tendered pursuant to an Asset Sale Offer is less than the Excess Proceeds, the Company (or
such Restricted Subsidiary) may use those Excess Proceeds for any purpose not otherwise
prohibited by the Indenture. If the aggregate principal amount of Notes and other Shared
Lien Debt tendered in (or required to be prepaid or redeemed in connection with) such Asset
Sale Offer exceeds the amount of Excess Proceeds, the Company shall select the Notes and
other Shared Lien Debt to be purchased on a pro rata basis, based on the amounts tendered or
required to be prepaid or redeemed. Upon completion of each Asset Sale Offer, the amount of
Excess Proceeds will be reset at zero. Holders of Notes that are the subject of an offer to
purchase will receive an Asset Sale Offer from the Company prior to any related purchase
date and may elect to have such Notes purchased by completing the form entitled “Option of
Holder to Elect Purchase” attached to the Notes.

     (8) Notice of Redemption. At least 30 days but not more than 60 days
before a Redemption Date, the Company will mail or cause to be mailed, by first class mail,
a notice of redemption to each Holder whose Notes are to be redeemed at its registered
address, except that redemption notices may be mailed more than 60 days prior to a
Redemption Date if the notice is issued in connection with a defeasance of the Notes or a
satisfaction or discharge of the Indenture pursuant to Articles 8 or 11 thereof. Notes and
portions of Notes selected will be in amounts of $2,000 or integral multiples of $1,000 in
excess of $2,000, provided that if all of the Notes of a Holder are to be redeemed or
purchase, the entire outstanding amount of Notes held by such Holder shall be redeemed or
purchased.

     (9) Denominations, Transfer, Exchange. The Notes are in registered
form in denominations of $2,000 and integral multiples of $1,000 in excess of $2,000. The
transfer of Notes may be registered and Notes may be exchanged as provided in the Indenture.
The Registrar and the Trustee may require a Holder, among other things, to furnish
appropriate endorsements and transfer documents and the Company may require a Holder to pay
any taxes and fees required by law or permitted by the Indenture. The Company need not
exchange or register the transfer of any Note or portion of a Note selected for redemption,
except for the unredeemed portion of any Note being redeemed in part. Also, the Company
need not exchange or register the transfer of any Notes for a period of 15 days before a
selection of Notes to be redeemed, during the period between a record date and the next
succeeding Interest Payment Date or any Notes tendered and not withdrawn in connection with
a Change of Control Offer or an Asset Sale Offer.

A1-4

 

     (10) Persons Deemed Owners. The registered Holder of a Note may be
treated as the owner of it for all purposes. Only registered Holders have rights under the
Indenture.

     (11) Amendment, Supplement and Waiver. Subject to certain exceptions,
the Indenture, the Note Guarantees or the Notes may be amended or supplemented with the
consent of the Holders of at least a majority in aggregate principal amount of the then
outstanding Notes, (including, without limitation, Additional Notes, if any) voting as a
single class (including, without limitation, consents obtained in connection with a purchase
of, or tender offer or exchange offer for, Notes), and any existing Default or Event of
Default compliance with any provision of the Indenture, the Note Guarantees or the Notes may
be waived with the consent of the Holders of a majority in aggregate principal amount of the
then outstanding Notes (including, without limitation, Additional Notes, if any), voting as
a single class (including, without limitation, consents obtained in connection with a
purchase of, or tender offer or exchange offer for, Notes). Without the consent of any
Holder of a Note, the Indenture, the Note Guarantees, the Notes, the Intercreditor Agreement
or the Security Documents may be amended or supplemented to cure any ambiguity, defect or
inconsistency, to provide for uncertificated Notes in addition to or in place of
certificated Notes, to provide for the assumption of the Company’s or a Guarantor’s
obligations to the Holders of the Notes and Note Guarantees in the case of a merger or
consolidation or sale of all or substantially all of the Company’s or such Guarantor’s
assets, as applicable, to make any change that would provide any additional rights or
benefits to the Holders of the Notes or that does not adversely affect the legal rights of
any such Holder under the Indenture, to comply with requirements of the SEC in order to
effect or maintain the qualification of the Indenture under the TIA, to conform the text of
the Indenture, the Notes, the Note Guarantees, the Intercreditor Agreement or the Security
Documents to any provision of the “Description of Notes” section of the Offering Circular to
the extent that such provision in that “Description of Notes” was intended to be a verbatim
recitation of a provision of the Indenture, the Notes, the Note Guarantees, the
Intercreditor Agreement or the Security Documents, which intent shall be evidenced by an
Officers’ Certificate to that effect, to add a Guarantor or to provide for the Guarantee of
the Company’s Obligations under the Notes by Parent or any direct or indirect parent company
of the Company, to provide for the issuance of Additional Notes in accordance with the
limitations set forth in the Indenture as of the date hereof, to make, complete or confirm
any grant of Collateral permitted or required by the Indenture, the Intercreditor Agreement
or any of the Security Documents or any release, termination or discharge of Collateral that
becomes effective as set forth in the Indenture, the Intercreditor Agreement or any of the
Security Documents or to grant any Lien for the benefit of the Holders of the Notes.

     (12) Defaults and Remedies. The following are Events of Default:
(i) the Company defaults for 30 days in the payment when due of interest on the Notes; (ii)
the Company defaults in the payment when due (at maturity, upon redemption or otherwise) of
the principal of, or premium, if any, on, the Notes; (iii) the Company or any of its
Restricted Subsidiaries fails to comply with the provisions of Section 5.01 of the
Indenture; (iv) failure by the Company or any of its Restricted Subsidiaries for 30 days
after notice to the Company by the Trustee or the Holders of at least 25% in aggregate
principal amount of the Notes then outstanding voting as a single class to comply with the
provisions in Section 4.10 or Section 4.15 of the Indenture; (v) failure by the Company or
any of its Restricted Subsidiaries for 60 days after notice to the Company by the Trustee or
the Holders of at least 25% in aggregate principal amount of the Notes then outstanding
voting as a single class to comply with any of the other agreements in the Indenture; (vi)
default under any mortgage, indenture or instrument under which there may be issued or by
which there may be secured or evidenced any Indebtedness for money borrowed by the Company,
any of its Significant Subsidiaries or any group of Restricted Subsidiaries of the Company
that, taken together, would constitute a Significant Subsidiary (or the payment of which

A1-5

 

is guaranteed by the Company or any of its Significant Subsidiaries or any group of
Restricted Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary), whether such Indebtedness or Guarantee now exists, or is created after the date
of the Indenture, if that default: (A) is caused by a failure to pay when due (at maturity,
upon redemption or otherwise) the principal of, such Indebtedness on the date of such
default (a “Payment Default”); or (B) results in the acceleration of such Indebtedness prior
to its express maturity, and, in each case, the principal amount of any such Indebtedness,
together with the principal amount of any other such Indebtedness under which there has been
a Payment Default or the maturity of which has been so accelerated, aggregates $25.0 million
or more; (vii) failure by the Company, any of its Significant Subsidiaries or any group of
Restricted Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary to pay final judgments entered by a court or courts of competent jurisdiction
aggregating in excess of $25.0 million (to the extent not covered by insurance), which
judgments are not paid, discharged or stayed for a period of 60 days; (viii) the occurrence
of any of the following: (A) any Shared Lien Document is held in any judicial proceeding to
be unenforceable or invalid or ceases for any reason to be in full force and effect, other
than in accordance with the terms of the relevant Shared Lien Debt Document and the
Indenture; or (B) default by the Company or any Guarantor in the performance of any Security
Document, which adversely affects the enforceability, validity, perfection or priority of a
Shared Lien or which adversely affects the condition or value of Collateral in each case,
taken as a whole, in any material respect; or (C) except as permitted by the Indenture, any
Shared Lien purported to be granted under any Security Document on Collateral, individually
or in the aggregate, having a Fair Market Value in excess of $5.0 million ceases to be an
enforceable and perfected Lien; or (D) the Company or any Guarantor, or any Person acting on
behalf of any of them, denies or disaffirms, in writing, any obligation of the Company or
any Guarantor set forth in or arising under any Shared Lien Document; (ix) except as
permitted by the Indenture, any Note Guarantees of any Guarantor that is a Significant
Subsidiary or of any group of Guarantors that, taken together, would constitute a
Significant Subsidiary is held in any judicial proceeding to be unenforceable or invalid or
ceases for any reason to be in full force and effect, or any Guarantor that is a Significant
Subsidiary or of any group of Guarantors that, taken together, would constitute a
Significant Subsidiary, or any Person acting on behalf of any Guarantor, denies or
disaffirms its obligations under its Note Guarantee and default continues for ten days after
receipt of the notice specified in the Indenture; and (x) certain events of bankruptcy or
insolvency with respect to the Company, the Guarantors or any of its Restricted Subsidiaries
that is a Significant Subsidiary or any group of Restricted Subsidiaries that, when taken
together, would constitute a Significant Subsidiary.

     If any Event of Default occurs and is continuing, the Trustee or the Holders of at
least 25% in aggregate principal amount of the then outstanding Notes may declare all the
Notes to be due and payable. Notwithstanding the foregoing, in the case of an Event of
Default arising from certain events of bankruptcy or insolvency, all outstanding Notes will
become due and payable without further action or notice. Holders may not enforce the
Indenture or the Notes except as provided in the Indenture. Subject to certain limitations,
Holders of a majority in aggregate principal amount of the then outstanding Notes may direct
the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders of
the Notes notice of any continuing Default or Event of Default (except a Default or Event of
Default relating to the payment of principal, premium or interest) if it determines that
withholding notice is in their interest. The Holders of a majority in aggregate principal
amount of the Notes then outstanding by written notice to the Trustee may on behalf of the
Holders of all of the Notes waive any existing Default or Event of Default and its
consequences under the Indenture except a continuing Default or Event of Default in the
payment of principal of, premium on, if any, or interest on, the Notes. The Company is
required to deliver to the Trustee annually a statement regarding compliance with the
Indenture,

A1-6

 

and the Company is required within five Business Days of becoming aware of any Default or
Event of Default, to deliver to the Trustee a statement specifying such Default or Event of
Default.

     (13) Trustee Dealings with Company. The Trustee, in its individual or
any other capacity, may make loans to, accept deposits from, and perform services for the
Company or its Affiliates, and may otherwise deal with the Company or its Affiliates, as if
it were not the Trustee.

     (14) No Recourse Against Others. No past, present or future director,
officer, employee, incorporator or stockholder of the Company or any Guarantor, as such,
will have any liability for any obligations of the Company or the Guarantors under the Note
Documents, or for any claim based on, in respect of, or by reason of, such obligations or
their creation. Each Holder of Notes by accepting a Note waives and releases all such
liability. The waiver and release are part of the consideration for issuance of the Notes.

     (15) Authentication. This Note will not be valid until authenticated
by the manual signature of the Trustee or an authenticating agent.

     (16) Abbreviations. Customary abbreviations may be used in the name
of a Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by
the entireties), JT TEN (= joint tenants with right of survivorship and not as tenants in
common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

     (17) CUSIP Numbers. Pursuant to a recommendation promulgated by the
Committee on Uniform Security Identification Procedures, the Company has caused CUSIP
numbers to be printed on the Notes and the Trustee may use CUSIP numbers in notices of
redemption as a convenience to Holders. No representation is made as to the accuracy of
such numbers either as printed on the Notes or as contained in any notice of redemption and
reliance may be placed only on the other identification numbers placed thereon.

     (18) GOVERNING LAW. THE INTERNAL LAW OF THE STATE OF NEW YORK WILL
GOVERN AND BE USED TO CONSTRUE THE INDENTURE, THIS NOTE AND THE NOTE GUARANTEES WITHOUT
GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE
APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

     The Company will furnish to any Holder upon written request and without charge a copy of the
Indenture. Requests may be made to:

Viasystems, Inc.

101 South Hanley Road

St. Louis, Missouri, 63105

Attention: Investor Relations

A1-7

 

Assignment Form

     To assign this Note, fill in the form below:

	 	 	 
	(I) or (we) assign and transfer this Note to:

	 	 
	 

	 	 
	 

	 	(Insert assignee’s legal name)

 

(Insert assignee’s soc. sec. or tax I.D. no.)

 

 

 

 

 

(Print or type assignee’s name, address and zip code)

	 	 	 
	and irrevocably appoint
	 	 
	 

	 	 

to transfer this Note on the books of the Company. The agent may substitute another to act for
him.

Date:                     

Your Signature:
                                                                               

(Sign exactly as your name appears on the face of this Note)

Signature Guarantee*:                                         

 

			
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

A1-8

 

Option of Holder to Elect Purchase

     If you want to elect to have this Note purchased by the Company pursuant to Section 4.10 or
4.15 of the Indenture, check the appropriate box below:

ŇSection 4.10       ŇSection 4.15

     If you want to elect to have only part of the Note purchased by the Company pursuant to
Section 4.10 or Section 4.15 of the Indenture, state the amount you elect to have purchased:

$                    

Date:                     

Your Signature:
                                                                                     

(Sign exactly as your name appears on the face of this Note)

Tax Identification No.:
                                                                                

Signature Guarantee*:                                         

 

			
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

A1-9

 

SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL NOTE*

     The following exchanges of a part of this Global Note for an interest in another Global Note
or for a Definitive Note, or exchanges of a part of another Global Note or Definitive Note for an
interest in this Global Note, have been made:

	 	 	 	 	 	 	 	 	Principal Amount	 	 	 
	 	 	Amount of decrease	 	 	Amount of increase	 	 	of this Global Note	 	 	Signature of
	 	 	in Principal Amount	 	 	in Principal Amount	 	 	following such	 	 	authorized officer
	 	 	of	 	 	of	 	 	decrease	 	 	of Trustee or
	Date of Exchange	 	this Global Note	 	 	this Global Note	 	 	(or increase)	 	 	Custodian

 

			
	*	 	This schedule should be included only if the Note is issued in global form.

A1-10

 

EXHIBIT A-2

[Face of Regulation S Temporary Global Note]

 

CUSIP/CINS                     

12.00% Senior Secured Notes due 2015

	 	 	 
	No.                     

	 	$                     

VIASYSTEMS, INC.

promises to pay to CEDE & CO. or registered assigns,

the principal sum of             
           
           
           
           
           
           
           
           
           
           

           
           
               DOLLARS on January 15, 2015.

Interest Payment Dates: January 15 and July 15

Record Dates: January 1 and July 1

Dated:                     , 20                    

	 	 	 	 	 
	 	VIASYSTEMS, INC.	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

This is one of the Notes referred to

in the within-mentioned Indenture:

WILMINGTON TRUST FSB,
as Trustee

	 	 	 	 
	By:

	 	 	 
	 	 
	 	 
	Authorized Signatory
	 	 

THIS NOTE IS ISSUED WITH ORIGINAL ISSUE DISCOUNT FOR PURPOSES OF SECTION 1271 ET SEQ. OF THE
INTERNAL REVENUE CODE. A HOLDER MAY OBTAIN THE ISSUE PRICE, AMOUNT OF ORIGINAL ISSUE DISCOUNT,
ISSUE DATE AND YIELD TO MATURITY FOR SUCH NOTES BY SUBMITTING A REQUEST FOR SUCH INFORMATION TO
THE ISSUER AT THE FOLLOWING ADDRESS: VIASYSTEMS, INC., 101 SOUTH HANLEY ROAD, ST. LOUIS, MISSOURI,
63105, ATTENTION: CHIEF FINANCIAL OFFICER.

 

A2-1

 

Back of Regulation S Temporary Global Note

12.00% Senior Secured Notes due 2015

THE RIGHTS ATTACHING TO THIS REGULATION S TEMPORARY GLOBAL NOTE, AND THE CONDITIONS AND PROCEDURES
GOVERNING ITS EXCHANGE FOR DEFINITIVE NOTES, ARE AS SPECIFIED IN THE INDENTURE (AS DEFINED HEREIN).
NEITHER THE HOLDER NOR THE BENEFICIAL OWNERS OF THIS REGULATION S TEMPORARY GLOBAL NOTE SHALL BE
ENTITLED TO RECEIVE PAYMENT OF INTEREST HEREON

THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING THIS NOTE) OR ITS
NOMINEE IN CUSTODY FOR THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY
PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (1) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS MAY BE
REQUIRED PURSUANT TO SECTION 2.06 OF THE INDENTURE, (2) THIS GLOBAL NOTE MAY BE EXCHANGED IN WHOLE
BUT NOT IN PART PURSUANT TO SECTION 2.06(a) OF THE INDENTURE, (3) THIS GLOBAL NOTE MAY BE DELIVERED
TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION 2.11 OF THE INDENTURE AND (4) THIS GLOBAL NOTE
MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITARY WITH THE PRIOR WRITTEN CONSENT OF THE COMPANY.

UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY
NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A
NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE
DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY.
UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55
WATER STREET, NEW YORK, NEW YORK) (“DTC”), TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF
TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH
OTHER NAME AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO
CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL
INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

THE NOTES EVIDENCED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933,
AS AMENDED (THE “SECURITIES ACT”) AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED
EXCEPT (A) (1) TO A PERSON WHO THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER
WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT PURCHASING FOR ITS OWN ACCOUNT OR FOR THE
ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A,
(2) IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE
SECURITIES ACT, (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY
RULE 144 THEREUNDER (IF AVAILABLE), (4) TO AN INSTITUTIONAL INVESTOR THAT IS AN ACCREDITED INVESTOR
WITHIN THE MEANING OF RULE 501 OF REGULATION D UNDER THE SECURITIES ACT IN A TRANSACTION EXEMPT
FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OR (5) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT

A2-2

 

AND (B) IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF THE STATES OF THE UNITED STATES AND
OTHER JURISDICTIONS

     Capitalized terms used herein have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated.

     (1) Interest. Viasystems, Inc., a Delaware corporation (the
“Company”), promises to pay interest on the principal amount of this Note at 12.00% per
annum from                     ,                      until maturity. The Company will pay interest semi-annually
in arrears on January 15th and July 15th of each year, or if any such
day is not a Business Day, on the next succeeding Business Day (each, an “Interest Payment
Date”). Interest on the Notes will accrue from the most recent date to which interest has
been paid or, if no interest has been paid, from the date of issuance; provided that if
there is no existing Default in the payment of interest, and if this Note is authenticated
between a record date referred to on the face hereof and the next succeeding Interest
Payment Date, interest shall accrue from such next succeeding Interest Payment Date;
provided further that the first Interest Payment Date shall be                     ,                     .
Interest will be computed on the basis of a 360-day year of twelve 30-day months.

     Until this Regulation S Temporary Global Note is exchanged for one or more Regulation S
Permanent Global Notes, the Holder hereof shall not be entitled to receive payments of interest
hereon; until so exchanged in full, this Regulation S Temporary Global Note shall in all other
respects be entitled to the same benefits as other Notes under the Indenture.

     (2) Method of Payment. The Company will pay interest on the Notes
(except defaulted interest) to the Persons who are registered Holders of Notes at the close
of business on the January 1 or July 1 next preceding the Interest Payment Date, even if
such Notes are canceled after such record date and on or before such Interest Payment Date,
except as provided in Section 2.12 of the Indenture with respect to defaulted interest. The
Notes will be payable as to principal, premium, if any, and interest at the office or agency
of the Company maintained for such purpose or, at the option of the Company, payment of
interest may be made by check mailed to the Holders at their addresses set forth in the
register of Holders; provided that payment by wire transfer of immediately available funds
will be required with respect to principal of, premium on, if any, and interest on, all
Global Notes and all other Notes the Holders of which will have provided wire transfer
instructions to the Company or the Paying Agent. Such payment will be in such coin or
currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts.

     (3) Paying Agent and Registrar. Initially, Wilmington Trust FSB, the
Trustee under the Indenture, will act as Paying Agent and Registrar. The Company may change
any Paying Agent or Registrar without prior notice to the Holders of the Notes. The Company
or any of its Subsidiaries may act in any such capacity.

     (4) Indenture. The Company issued the Notes under an Indenture,
dated as of November 24, 2009 (the “Indenture”), among the Company, the Guarantors and the
Trustee. The terms of the Notes include those stated in the Indenture, and Holders are
referred to the Indenture for a statement of such terms. To the extent any provision of
this Note conflicts with the express provisions of the Indenture, the provisions of the
Indenture shall govern and be controlling. The Notes are secured obligations of the
Company.

A2-3

 

     (5) Optional Redemption.

          (a) Except as set forth in subparagraph (b) or (c) of this Paragraph 5, the Company
will not have the option to redeem the Notes prior to July 15, 2012. On or after July 15,
2012, the Company may redeem all or a part of the Notes upon not less than 30 nor more than
60 days’ prior notice, at the redemption prices (expressed as percentages of principal
amount) set forth below plus accrued and unpaid interest, if any, on the Notes redeemed, to
the applicable Redemption Date, if redeemed during the twelve-month period beginning on July
15 of the years indicated below, subject to the rights of Holders of Notes on the relevant
record date to receive interest on the relevant Interest Payment Date:

	 	 	 	 	 
	Year	 	Percentage	 
	2012
	 	 	106.000	%
	2013
	 	 	103.000	%
	2014 and thereafter
	 	 	100.000	%

          (b) Notwithstanding the provisions of subparagraph (a) of this Paragraph 5, at any time
prior to July 15, 2012, the Company may on any one or more occasions redeem up to 35% of the
aggregate principal amount of Notes issued under the Indenture, upon not less than 30 nor
more than 60 days’ prior notice, at a redemption price equal to 112.000% of the principal
amount of the Notes redeemed, plus accrued and unpaid interest if any, to the Redemption
Date, subject to the rights of Holders of Notes on the relevant record date to receive
interest on the relevant Interest Payment Date, with the net cash proceeds of one or more
Equity Offerings of the Company or a contribution to the Company’s common equity capital
made with the net cash proceeds of a concurrent Equity Offering of Parent or any direct or
indirect parent company of the Company; provided that: (1) at least 65% of the aggregate
principal amount of Notes originally issued under the Indenture (excluding Notes held by the
Company and its Subsidiaries) remains outstanding immediately after the occurrence of such
redemption; and (2) the redemption occurs within 180 days of the date of the closing of such
Equity Offering.

          (c) At any time prior to July 15, 2012, the Company may also redeem all or a part of
the Notes, upon not less than 30 nor more than 60 days’ prior notice, at a redemption price
equal to 100% of the principal amount of the Notes redeemed, plus the Applicable Premium as
of, and accrued and unpaid interest, if any, to the Redemption Date, subject to the rights
of Holders of Notes on the relevant record date to receive interest due on the relevant
interest payment date.

     (6) Mandatory Redemption.

     The Company is not required to make mandatory redemption payments or sinking fund payments
with respect to the Notes.

     (7) Repurchase at the Option of Holder.

          (a) If there is a Change of Control, the Company will be required to make an offer (a
“Change of Control Offer”) to each Holder to repurchase all or any part (provided that no
Notes of $2,000 or less can be redeemed in part) of each Holder’s Notes at a purchase price
in cash equal to 101% of the aggregate principal amount thereof plus accrued and unpaid
interest, if any, on the Notes repurchased to the date of purchase, subject to the rights of
Holders of Notes on the relevant record date to receive interest due on the relevant
interest payment date (the “Change of Control Payment”). Within 30 days following any Change
of Control, the Company will mail

A2-4

 

a notice to each Holder setting forth the procedures governing the Change of Control
Offer as required by the Indenture.

          (b) If the Company or a Restricted Subsidiary of the Company consummates any Asset
Sales, within 30 days after any time the aggregate amount of Excess Proceeds exceeds $25
million, the Company will commence an offer to all Holders of Notes and all holders of other
Shared Lien Debt containing provisions similar to those set forth in the Indenture with
respect to offers to purchase, prepay or redeem with the proceeds of sales of assets (an
“Asset Sale Offer”) in accordance with Section 3.09 of the Indenture to purchase, prepay or
redeem the maximum principal amount of Notes and other Shared Lien Debt (plus all accrued
interest on the Indebtedness and the amount of all fees and expenses, including premiums,
incurred in connection therewith) that may be purchased, prepaid or redeemed out of the
Excess Proceeds. The offer price in any Asset Sale Offer will be cash in an amount equal to
100% of the principal amount thereof, plus accrued and unpaid interest thereon, if any, to
the date fixed for the closing of such offer, in accordance with the procedures set forth in
the Indenture. To the extent that the aggregate amount of Notes and other Shared Lien Debt
tendered pursuant to an Asset Sale Offer is less than the Excess Proceeds, the Company (or
such Restricted Subsidiary) may use those Excess Proceeds for any purpose not otherwise
prohibited by the Indenture. If the aggregate principal amount of Notes and other Shared
Lien Debt tendered in (or required to be prepaid or redeemed in connection with) such Asset
Sale Offer exceeds the amount of Excess Proceeds, the Company shall select the Notes and
other Shared Lien Debt to be purchased on a pro rata basis, based on the amounts tendered or
required to be prepaid or redeemed. Upon completion of each Asset Sale Offer, the amount of
Excess Proceeds will be reset at zero. Holders of Notes that are the subject of an offer to
purchase will receive an Asset Sale Offer from the Company prior to any related purchase
date and may elect to have such Notes purchased by completing the form entitled “Option of
Holder to Elect Purchase” attached to the Notes.

          (8) Notice of Redemption. At least 30 days but not more than 60 days
before a Redemption Date, the Company will mail or cause to be mailed, by first class mail,
a notice of redemption to each Holder whose Notes are to be redeemed at its registered
address, except that redemption notices may be mailed more than 60 days prior to a
Redemption Date if the notice is issued in connection with a defeasance of the Notes or a
satisfaction or discharge of the Indenture pursuant to Articles 8 or 11 thereof. Notes and
portions of Notes selected will be in amounts of $2,000 or integral multiples of $1,000 in
excess of $2,000, provided that if all of the Notes of a Holder are to be redeemed or
purchase, the entire outstanding amount of Notes held by such Holder shall be redeemed or
purchased.

          (9) Denominations, Transfer, Exchange. The Notes are in registered
form in denominations of $2,000 and integral multiples of $1,000 in excess of $2,000. The
transfer of Notes may be registered and Notes may be exchanged as provided in the Indenture.
The Registrar and the Trustee may require a Holder, among other things, to furnish
appropriate endorsements and transfer documents and the Company may require a Holder to pay
any taxes and fees required by law or permitted by the Indenture. The Company need not
exchange or register the transfer of any Note or portion of a Note selected for redemption,
except for the unredeemed portion of any Note being redeemed in part. Also, the Company
need not exchange or register the transfer of any Notes for a period of 15 days before a
selection of Notes to be redeemed, during the period between a record date and the next
succeeding Interest Payment Date or any Notes tendered and not withdrawn in connection with
a Change of Control Offer or an Asset Sale Offer.

A2-5

 

     This Regulation S Temporary Global Note is exchangeable in whole or in part for one or
more Global Notes only (i) on or after the termination of the 40-day distribution compliance
period (as defined in Regulation S) and (ii) upon presentation of certificates (accompanied
by an Opinion of Counsel, if applicable) required by Article 2 of the Indenture. Upon
exchange of this Regulation S Temporary Global Note for one or more Global Notes, the
Trustee shall cancel this Regulation S Temporary Global Note.

     (10) Persons Deemed Owners. The registered Holder of a Note may be
treated as the owner of it for all purposes. Only registered Holders have rights under the
Indenture.

     (11) Amendment, Supplement and Waiver. Subject to certain exceptions,
the Indenture, the Note Guarantees or the Notes may be amended or supplemented with the
consent of the Holders of at least a majority in aggregate principal amount of the then
outstanding Notes, (including, without limitation, Additional Notes, if any) voting as a
single class (including, without limitation, consents obtained in connection with a purchase
of, or tender offer or exchange offer for, Notes), and any existing Default or Event of
Default compliance with any provision of the Indenture, the Note Guarantees or the Notes may
be waived with the consent of the Holders of a majority in aggregate principal amount of the
then outstanding Notes (including, without limitation, Additional Notes, if any), voting as
a single class (including, without limitation, consents obtained in connection with a
purchase of, or tender offer or exchange offer for, Notes). Without the consent of any
Holder of a Note, the Indenture, the Note Guarantees, the Notes, the Intercreditor Agreement
or the Security Documents may be amended or supplemented to cure any ambiguity, defect or
inconsistency, to provide for uncertificated Notes in addition to or in place of
certificated Notes, to provide for the assumption of the Company’s or a Guarantor’s
obligations to the Holders of the Notes and Note Guarantees in the case of a merger or
consolidation or sale of all or substantially all of the Company’s or such Guarantor’s
assets, as applicable, to make any change that would provide any additional rights or
benefits to the Holders of the Notes or that does not adversely affect the legal rights of
any such Holder under the Indenture, to comply with requirements of the SEC in order to
effect or maintain the qualification of the Indenture under the TIA, to conform the text of
the Indenture, the Notes, the Note Guarantees, the Intercreditor Agreement or the Security
Documents to any provision of the “Description of Notes” section of the Offering Circular to
the extent that such provision in that “Description of Notes” was intended to be a verbatim
recitation of a provision of the Indenture, the Notes, the Note Guarantees, the
Intercreditor Agreement or the Security Documents, which intent shall be evidenced by an
Officers’ Certificate to that effect, to add a Guarantor or to provide for the Guarantee of
the Company’s Obligations under the Notes by Parent or any direct or indirect parent company
of the Company, to provide for the issuance of Additional Notes in accordance with the
limitations set forth in the Indenture as of the date hereof, to make, complete or confirm
any grant of Collateral permitted or required by the Indenture, the Intercreditor Agreement
or any of the Security Documents or any release, termination or discharge of Collateral that
becomes effective as set forth in the Indenture, the Intercreditor Agreement or any of the
Security Documents or to grant any Lien for the benefit of the Holders of the Notes.

     (12) Defaults and Remedies. The following are Events of Default:
(i) the Company defaults for 30 days in the payment when due of interest on the Notes; (ii)
the Company defaults in the payment when due (at maturity, upon redemption or otherwise) of
the principal of, or premium, if any, on, the Notes; (iii) the Company or any of its
Restricted Subsidiaries fails to comply with the provisions of Section 5.01 of the
Indenture; (iv) failure by the Company or any of its Restricted Subsidiaries for 30 days
after notice to the Company by the Trustee or the Holders of at least 25% in aggregate
principal amount of the Notes then outstanding voting as a single class to comply with the
provisions in Section 4.10 or Section 4.15 of the Indenture; (v)

A2-6

 

failure by the Company or any of its Restricted Subsidiaries for 60 days after notice
to the Company by the Trustee or the Holders of at least 25% in aggregate principal amount
of the Notes then outstanding voting as a single class to comply with any of the other
agreements in the Indenture; (vi) default under any mortgage, indenture or instrument under
which there may be issued or by which there may be secured or evidenced any Indebtedness for
money borrowed by the Company, any of its Significant Subsidiaries or any group of
Restricted Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary (or the payment of which is guaranteed by the Company or any of its Significant
Subsidiaries or any group of Restricted Subsidiaries of the Company that, taken together,
would constitute a Significant Subsidiary), whether such Indebtedness or Guarantee now
exists, or is created after the date of the Indenture, if that default: (A) is caused by a
failure to pay when due (at maturity, upon redemption or otherwise) the principal of, such
Indebtedness on the date of such default (a “Payment Default”); or (B) results in the
acceleration of such Indebtedness prior to its express maturity, and, in each case, the
principal amount of any such Indebtedness, together with the principal amount of any other
such Indebtedness under which there has been a Payment Default or the maturity of which has
been so accelerated, aggregates $25.0 million or more; (vii) failure by the Company, any of
its Significant Subsidiaries or any group of Restricted Subsidiaries of the Company that,
taken together, would constitute a Significant Subsidiary to pay final judgments entered by
a court or courts of competent jurisdiction aggregating in excess of $25.0 million (to the
extent not covered by insurance), which judgments are not paid, discharged or stayed for a
period of 60 days; (viii) the occurrence of any of the following: (A) any Shared Lien
Document is held in any judicial proceeding to be unenforceable or invalid or ceases for any
reason to be in full force and effect, other than in accordance with the terms of the
relevant Shared Lien Debt Document and the Indenture; or (B) default by the Company or any
Guarantor in the performance of any Security Document, which adversely affects the
enforceability, validity, perfection or priority of a Shared Lien or which adversely affects
the condition or value of Collateral in each case, taken as a whole, in any material
respect; or (C) except as permitted by the Indenture, any Shared Lien purported to be
granted under any Security Document on Collateral, individually or in the aggregate, having
a Fair Market Value in excess of $5.0 million ceases to be an enforceable and perfected
Lien; or (D) the Company or any Guarantor, or any Person acting on behalf of any of them,
denies or disaffirms, in writing, any obligation of the Company or any Guarantor set forth
in or arising under any Shared Lien Document; (ix) except as permitted by the Indenture, any
Note Guarantees of any Guarantor that is a Significant Subsidiary or of any group of
Guarantors that, taken together, would constitute a Significant Subsidiary is held in any
judicial proceeding to be unenforceable or invalid or ceases for any reason to be in full
force and effect, or any Guarantor that is a Significant Subsidiary or of any group of
Guarantors that, taken together, would constitute a Significant Subsidiary, or any Person
acting on behalf of any Guarantor, denies or disaffirms its obligations under its Note
Guarantee and default continues for ten days after receipt of the notice specified in the
Indenture; and (x) certain events of bankruptcy or insolvency with respect to the Company,
the Guarantors or any of its Restricted Subsidiaries that is a Significant Subsidiary or any
group of Restricted Subsidiaries that, when taken together, would constitute a Significant
Subsidiary.

     If any Event of Default occurs and is continuing, the Trustee or the Holders of at
least 25% in aggregate principal amount of the then outstanding Notes may declare all the
Notes to be due and payable. Notwithstanding the foregoing, in the case of an Event of
Default arising from certain events of bankruptcy or insolvency, all outstanding Notes will
become due and payable without further action or notice. Holders may not enforce the
Indenture or the Notes except as provided in the Indenture. Subject to certain limitations,
Holders of a majority in aggregate principal amount of the then outstanding Notes may direct
the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders of
the Notes notice of any continuing Default

A2-7

 

or Event of Default (except a Default or Event of Default relating to the payment of
principal, premium or interest) if it determines that withholding notice is in their
interest. The Holders of a majority in aggregate principal amount of the Notes then
outstanding by written notice to the Trustee may on behalf of the Holders of all of the
Notes waive any existing Default or Event of Default and its consequences under the
Indenture except a continuing Default or Event of Default in the payment of principal of,
premium on, if any, or interest on, the Notes. The Company is required to deliver to the
Trustee annually a statement regarding compliance with the Indenture, and the Company is
required within five Business Days of becoming aware of any Default or Event of Default, to
deliver to the Trustee a statement specifying such Default or Event of Default.

     (13) Trustee Dealings with Company. The Trustee, in its individual
or any other capacity, may make loans to, accept deposits from, and perform services for the
Company or its Affiliates, and may otherwise deal with the Company or its Affiliates, as if
it were not the Trustee.

     (14) No Recourse Against Others. No past, present or future
director, officer, employee, incorporator or stockholder of the Company or any Guarantor, as
such, will have any liability for any obligations of the Company or the Guarantors under the
Note Documents, or for any claim based on, in respect of, or by reason of, such obligations
or their creation. Each Holder of Notes by accepting a Note waives and releases all such
liability. The waiver and release are part of the consideration for issuance of the Notes.
        .

     (15) Authentication. This Note will not be valid until authenticated
by the manual signature of the Trustee or an authenticating agent.

     (16) Abbreviations. Customary abbreviations may be used in the name
of a Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by
the entireties), JT TEN (= joint tenants with right of survivorship and not as tenants in
common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

     (17) CUSIP Numbers. Pursuant to a recommendation promulgated by the
Committee on Uniform Security Identification Procedures, the Company has caused CUSIP
numbers to be printed on the Notes and the Trustee may use CUSIP numbers in notices of
redemption as a convenience to Holders. No representation is made as to the accuracy of
such numbers either as printed on the Notes or as contained in any notice of redemption and
reliance may be placed only on the other identification numbers placed thereon.

     (18) GOVERNING LAW. THE INTERNAL LAW OF THE STATE OF NEW YORK WILL
GOVERN AND BE USED TO CONSTRUE THE INDENTURE, THIS NOTE AND THE NOTE GUARANTEES WITHOUT
GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE
APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

The Company will furnish to any Holder upon written request and without charge a copy of the
Indenture. Requests may be made to:

Viasystems, Inc.

101 South Hanley Road

St. Louis, Missouri, 63105

Attention: Investor Relations

A2-8

 

Assignment Form

     To assign this Note, fill in the form below:

	 	 	 
	(I) or (we) assign and transfer this Note to:
	 	 
	 

	 	 
	 

	 	(Insert assignee’s legal name)

 

(Insert assignee’s soc. sec. or tax I.D. no.)

 

 

 

 

(Print or type assignee’s name, address and zip code)

	 	 	 
	and irrevocably appoint
	 	 
	 

	 	 

to transfer this Note on the books of the Company. The agent may substitute another to act for
him.

	 	 	 	 	 	 	 	 	 
	Date:
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Your Signature:	 	 
	 

	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(Sign exactly as your name appears on the face of this Note)

	 	 	 	 	 
	Signature Guarantee*:
	 	 	 	 
	 

	 	 

	 	 

 

			
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

A2-9

 

Option of Holder to Elect Purchase

     If you want to elect to have this Note purchased by the Company pursuant to Section 4.10 or
4.15 of the Indenture, check the appropriate box below:

ŇSection 4.10                    ŇSection 4.15

     If you want to elect to have only part of the Note purchased by the Company pursuant to
Section 4.10 or Section 4.15 of the Indenture, state the amount you elect to have purchased:

$_______________

	 	 	 	 	 	 	 	 	 
	Date:
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Your Signature:	 	 
	 

	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	(Sign exactly as your name appears on the face of this Note)

	 	 	 	 	 
	 

	 	Tax Identification No.:	 	 
	 

	 	 	 	 

	 	 	 	 	 
	Signature Guarantee*:
	 	 	 	 
	 

	 	 

	 	 

 

			
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

A2-10

 

SCHEDULE OF EXCHANGES OF REGULATION S TEMPORARY GLOBAL NOTE

     The following exchanges of a part of this Regulation S Temporary Global Note for an interest
in another Global Note, or exchanges in part of another other Restricted Global Note for an
interest in this Regulation S Temporary Global Note, have been made:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	Principal Amount of	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	this Global Note	 	 
	 	 	 	 	Amount of decrease	 	Amount of increase	 	following such	 	Signature of authorized
	 	 	 	 	in Principal Amount of	 	in Principal Amount of	 	decrease	 	officer of Trustee or
	Date of Exchange	 	this Global Note	 	this Global Note	 	(or increase)	 	Custodian

A2-11

 

EXHIBIT B

FORM OF CERTIFICATE OF TRANSFER

Viasystems, Inc.

101 South Hanley Road

St. Louis, Missouri, 63105

Wilmington Trust FSB

246 Goose Lane, Suite 105

Guilford, Connecticut 06437

     Re: 12.00% Senior Secured Notes due 2015

     Reference is hereby made to the Indenture, dated as of November 24, 2009 (the “Indenture”),
among Viasystems, Inc., as issuer (the “Company”), the Guarantors party thereto and Wilmington
Trust FSB, as trustee. Capitalized terms used but not defined herein shall have the meanings given
to them in the Indenture.

     _______________, (the “Transferor”) owns and proposes to transfer the Note[s] or interest
in such Note[s] specified in Annex A hereto, in the principal amount of $________________in such
Note[s] or interests (the “Transfer”), to _______________________________________ (the “Transferee”), as
further specified in Annex A hereto. In connection with the Transfer, the Transferor hereby
certifies that:

[CHECK ALL THAT APPLY]

     1. o Check if Transferee will take delivery of a beneficial interest in the 144A
Global Note or a Restricted Definitive Note pursuant to Rule 144A. The Transfer is being
effected pursuant to and in accordance with Rule 144A under the Securities Act of 1933, as amended
(the “Securities Act”), and, accordingly, the Transferor hereby further certifies that the
beneficial interest or Definitive Note is being transferred to a Person that the Transferor
reasonably believes is purchasing the beneficial interest or Definitive Note for its own account,
or for one or more accounts with respect to which such Person exercises sole investment discretion,
and such Person and each such account is a “qualified institutional buyer” within the meaning of
Rule 144A in a transaction meeting the requirements of Rule 144A, and such Transfer is in
compliance with any applicable blue sky securities laws of any state of the United States. Upon
consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Note will be subject to the restrictions on transfer
enumerated in the Private Placement Legend printed on the 144A Global Note and/or the Restricted
Definitive Note and in the Indenture and the Securities Act.

     2. o Check if Transferee will take delivery of a beneficial interest in the
Regulation S Temporary Global Note, the Regulation S Permanent Global Note or a Restricted
Definitive Note pursuant to Regulation S. The Transfer is being effected pursuant to and in
accordance with Rule 903 or Rule 904 under the Securities Act and, accordingly, the Transferor
hereby further certifies that (i) the Transfer is not being made to a Person in the United States
and (x) at the time the buy order was originated, the Transferee was outside the United States or
such Transferor and any Person acting on its behalf reasonably believed and believes that the
Transferee was outside the United States or (y) the transaction was executed in, on or through the
facilities of a designated offshore securities market and neither such Transferor nor any Person
acting on its behalf knows that the transaction was prearranged with a buyer in the United States,
(ii) no directed selling efforts have been made in contravention of the requirements of Rule 903(b)
or Rule 904(b) of Regulation S under the Securities Act, (iii) the transaction is not part of a
plan or scheme to evade the registration requirements of the Securities Act and (iv) if the

B-1

 

proposed transfer is being made prior to the expiration of the Restricted Period, the transfer
is not being made to a U.S. Person or for the account or benefit of a U.S. Person (other than an
Initial Purchaser). Upon consummation of the proposed transfer in accordance with the terms of the
Indenture, the transferred beneficial interest or Definitive Note will be subject to the
restrictions on Transfer enumerated in the Private Placement Legend printed on the Regulation S
Permanent Global Note, the Regulation S Temporary Global Note and/or the Restricted Definitive Note
and in the Indenture and the Securities Act.

     3. o Check and complete if Transferee will take delivery of a beneficial interest
in a Restricted Definitive Note pursuant to any provision of the Securities Act other than Rule
144A or Regulation S. The Transfer is being effected in compliance with the transfer
restrictions applicable to beneficial interests in Restricted Global Notes and Restricted
Definitive Notes and pursuant to and in accordance with the Securities Act and any applicable blue
sky securities laws of any state of the United States, and accordingly the Transferor hereby
further certifies that (check one):

     (a) o such Transfer is being effected pursuant to and in accordance with Rule
144 under the Securities Act;

or

     (b) o such Transfer is being effected to the Company or a subsidiary thereof;

or

     (c) o such Transfer is being effected pursuant to an effective registration
statement under the Securities Act and in compliance with the prospectus delivery
requirements of the Securities Act.

or

     (d) o such Transfer is being effected to an Institutional Accredited Investor
and pursuant to an exemption from the registration requirements of the Securities Act
other than Rule 144A, Rule 144, Rule 903 or Rule 904, and the Transferor hereby further
certifies that it has not engaged in any general solicitation within the meaning of
Regulation D under the Securities Act and the Transfer complies with the transfer
restrictions applicable to beneficial interests in a Restricted Global Note or Restricted
Definitive Notes and the requirements of the exemption claimed, which certification is
supported by (1) a certificate executed by the Transferee in the form of Exhibit D to the
Indenture and (2) an Opinion of Counsel provided by the Transferor or the Transferee (a
copy of which the Transferor has attached to this certification), to the effect that such
Transfer is in compliance with the Securities Act. Upon consummation of the proposed
transfer in accordance with the terms of the Indenture, the transferred beneficial
interest or Definitive Note will be subject to the restrictions on transfer enumerated in
the Private Placement Legend printed on the Restricted Definitive Notes and in the
Indenture and the Securities Act.

     4. o Check if Transferee will take delivery of a beneficial interest in an
Unrestricted Global Note or of an Unrestricted Definitive Note.

     (a) o Check if Transfer is pursuant to Rule 144. (i) The Transfer is being effected
pursuant to and in accordance with Rule 144 under the Securities Act and in compliance with the
transfer restrictions contained in the Indenture and any applicable blue sky securities laws of any
state of the United States and (ii) the restrictions on transfer contained in the Indenture and the
Private Placement

B-2

 

Legend are not required in order to maintain compliance with the Securities Act. Upon
consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Note will no longer be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes, on
Restricted Definitive Notes and in the Indenture.

     (b) o Check if Transfer is Pursuant to Regulation S. (i) The Transfer is being
effected pursuant to and in accordance with Rule 903 or Rule 904 under the Securities Act and in
compliance with the transfer restrictions contained in the Indenture and any applicable blue sky
securities laws of any state of the United States and (ii) the restrictions on transfer contained
in the Indenture and the Private Placement Legend are not required in order to maintain compliance
with the Securities Act. Upon consummation of the proposed Transfer in accordance with the terms
of the Indenture, the transferred beneficial interest or Definitive Note will no longer be subject
to the restrictions on transfer enumerated in the Private Placement Legend printed on the
Restricted Global Notes, on Restricted Definitive Notes and in the Indenture.

     (c) o Check if Transfer is Pursuant to Other Exemption. (i) The Transfer is being
effected pursuant to and in compliance with an exemption from the registration requirements of the
Securities Act other than Rule 144, Rule 903 or Rule 904 and in compliance with the transfer
restrictions contained in the Indenture and any applicable blue sky securities laws of any State of
the United States and (ii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the Securities Act. Upon
consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Note will not be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes or
Restricted Definitive Notes and in the Indenture.

     This certificate and the statements contained herein are made for your benefit and the benefit
of the Company.

	 	 	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	[Insert Name of Transferor]
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	By:	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:
	 
	 	 	 	 	 	 
	Dated:
	 	 	 	 	 	 
	 

	 	 	 	 	 	 

B-3

 

ANNEX A TO CERTIFICATE OF TRANSFER

	1.	 	The Transferor owns and proposes to transfer the following:

[CHECK ONE OF (a) OR (b)]

	 	(a)	 	o a beneficial interest in the:

	 	(i)	 	o 144A Global Note (CUSIP ___________), or
	 
	 	(ii)	 	o Regulation S Global Note (CUSIP ___________), or

	 	(b)	 	o a Restricted Definitive Note.

	2.	 	After the Transfer the Transferee will hold:

[CHECK ONE]

	 	(a)	 	o a beneficial interest in the:

	 	(i)	 	o 144A Global Note (CUSIP ___________), or
	 
	 	(ii)	 	o Regulation S Global Note (CUSIP ___________), or
	 
	 	(iii)	 	o Unrestricted Global Note (CUSIP ___________); or

	 	(b)	 	o a Restricted Definitive Note; or
	 
	 	(c)	 	o an Unrestricted Definitive Note,

	 	 	     in accordance with the terms of the Indenture.	 

B-4

 

EXHIBIT C

FORM OF CERTIFICATE OF EXCHANGE

Viasystems, Inc.

101 South Hanley Road

St. Louis, Missouri, 63105

Wilmington Trust FSB

246 Goose Lane, Suite 105

Guilford, Connecticut 06437

     Re: 12.00% Senior Secured Notes due 2015

(CUSIP ____________)

     Reference is hereby made to the Indenture, dated as of Viasystems, Inc. (the “Indenture”),
among Viasystems, Inc., as issuer (the “Company”), the Guarantors party thereto and Wilmington
Trust FSB, as trustee. Capitalized terms used but not defined herein shall have the meanings given
to them in the Indenture.

     ___________________, (the “Owner”) owns and proposes to exchange the Note[s] or
interest in such Note[s] specified herein, in the principal amount of $_______________ in such Note[s]
or interests (the “Exchange”). In connection with the Exchange, the Owner hereby certifies that:

     1. Exchange of Restricted Definitive Notes or Beneficial Interests in a Restricted Global
Note for Unrestricted Definitive Notes or Beneficial Interests in an Unrestricted Global Note

     (a) o Check if Exchange is from beneficial interest in a Restricted Global Note to
beneficial interest in an Unrestricted Global Note. In connection with the Exchange of the Owner’s
beneficial interest in a Restricted Global Note for a beneficial interest in an Unrestricted Global
Note in an equal principal amount, the Owner hereby certifies (i) the beneficial interest is being
acquired for the Owner’s own account without transfer, (ii) such Exchange has been effected in
compliance with the transfer restrictions applicable to the Global Notes and pursuant to and in
accordance with the Securities Act of 1933, as amended (the “Securities Act”), (iii) the
restrictions on transfer contained in the Indenture and the Private Placement Legend are not
required in order to maintain compliance with the Securities Act and (iv) the beneficial interest
in an Unrestricted Global Note is being acquired in compliance with any applicable blue sky
securities laws of any state of the United States.

     (b) o Check if Exchange is from beneficial interest in a Restricted Global Note to
Unrestricted Definitive Note. In connection with the Exchange of the Owner’s beneficial interest
in a Restricted Global Note for an Unrestricted Definitive Note, the Owner hereby certifies (i) the
Definitive Note is being acquired for the Owner’s own account without transfer, (ii) such Exchange
has been effected in compliance with the transfer restrictions applicable to the Restricted Global
Notes and pursuant to and in accordance with the Securities Act, (iii) the restrictions on transfer
contained in the Indenture and the Private Placement Legend are not required in order to maintain
compliance with the Securities Act and (iv) the Definitive Note is being acquired in compliance
with any applicable blue sky securities laws of any state of the United States.

     (c) o Check if Exchange is from Restricted Definitive Note to beneficial interest in an
Unrestricted Global Note. In connection with the Owner’s Exchange of a Restricted Definitive Note
for a beneficial interest in an Unrestricted Global Note, the Owner hereby certifies (i) the
beneficial interest is

C-1

 

being acquired for the Owner’s own account without transfer, (ii) such Exchange has been
effected in compliance with the transfer restrictions applicable to Restricted Definitive Notes and
pursuant to and in accordance with the Securities Act, (iii) the restrictions on transfer contained
in the Indenture and the Private Placement Legend are not required in order to maintain compliance
with the Securities Act and (iv) the beneficial interest is being acquired in compliance with any
applicable blue sky securities laws of any state of the United States.

     (d) o Check if Exchange is from Restricted Definitive Note to Unrestricted Definitive
Note. In connection with the Owner’s Exchange of a Restricted Definitive Note for an Unrestricted
Definitive Note, the Owner hereby certifies (i) the Unrestricted Definitive Note is being acquired
for the Owner’s own account without transfer, (ii) such Exchange has been effected in compliance
with the transfer restrictions applicable to Restricted Definitive Notes and pursuant to and in
accordance with the Securities Act, (iii) the restrictions on transfer contained in the Indenture
and the Private Placement Legend are not required in order to maintain compliance with the
Securities Act and (iv) the Unrestricted Definitive Note is being acquired in compliance with any
applicable blue sky securities laws of any state of the United States.

     2. Exchange of Restricted Definitive Notes or Beneficial Interests in Restricted Global
Notes for Restricted Definitive Notes or Beneficial Interests in Restricted Global Notes

     (a) o Check if Exchange is from beneficial interest in a Restricted Global Note to
Restricted Definitive Note. In connection with the Exchange of the Owner’s beneficial interest in
a Restricted Global Note for a Restricted Definitive Note with an equal principal amount, the Owner
hereby certifies that the Restricted Definitive Note is being acquired for the Owner’s own account
without transfer. Upon consummation of the proposed Exchange in accordance with the terms of the
Indenture, the Restricted Definitive Note issued will continue to be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the Restricted Definitive Note and
in the Indenture and the Securities Act.

     (b) o Check if Exchange is from Restricted Definitive Note to beneficial interest in a
Restricted Global Note. In connection with the Exchange of the Owner’s Restricted Definitive Note
for a beneficial interest in the [CHECK ONE]  ̈ 144A Global Note,  ̈ Regulation S Global
Note with an equal principal amount, the Owner hereby certifies (i) the beneficial interest is
being acquired for the Owner’s own account without transfer and (ii) such Exchange has been
effected in compliance with the transfer restrictions applicable to the Restricted Global Notes and
pursuant to and in accordance with the Securities Act, and in compliance with any applicable blue
sky securities laws of any state of the United States. Upon consummation of the proposed Exchange
in accordance with the terms of the Indenture, the beneficial interest issued will be subject to
the restrictions on transfer enumerated in the Private Placement Legend printed on the relevant
Restricted Global Note and in the Indenture and the Securities Act.

     This certificate and the statements contained herein are made for your benefit and the benefit
of the Company.

	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 	[Insert Name of Transferor]
	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	By:	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	Name:
	 

	 	 	 	 	 	 	Title:	 
	 
	 	 	 	 	 	 	 
	Dated:
	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 

C-2

 

EXHIBIT D

FORM OF CERTIFICATE FROM

ACQUIRING INSTITUTIONAL ACCREDITED INVESTOR

Viasystems, Inc.

101 South Hanley Road

St. Louis, Missouri, 63105

Wilmington Trust FSB

246 Goose Lane, Suite 105

Guilford, Connecticut 06437

     Re: 12.00% Senior Secured Notes due 2015

     Reference is hereby made to the Indenture, dated as of November 24, 2009 (the “Indenture”),
among Viasystems, Inc., as issuer (the “Company”), the Guarantors party thereto and Wilmington
Trust FSB, as trustee. Capitalized terms used but not defined herein shall have the meanings given
to them in the Indenture.

     In connection with our proposed purchase of $ _______________ aggregate principal amount of:

     (a) o a beneficial interest in a Global Note, or

     (b) o a Definitive Note,

     we confirm that:

     1. We understand that any subsequent transfer of the Notes or any interest therein is subject
to certain restrictions and conditions set forth in the Indenture and the undersigned agrees to be
bound by, and not to resell, pledge or otherwise transfer the Notes or any interest therein except
in compliance with, such restrictions and conditions and the Securities Act of 1933, as amended
(the “Securities Act”).

     2. We understand that the offer and sale of the Notes have not been registered under the
Securities Act, and that the Notes and any interest therein may not be offered or sold except as
permitted in the following sentence. We agree, on our own behalf and on behalf of any accounts for
which we are acting as hereinafter stated, that if we should sell the Notes or any interest
therein, we will do so only (A) to the Company or any subsidiary thereof, (B) in accordance with
Rule 144A under the Securities Act to a “qualified institutional buyer” (as defined therein), (C)
to an institutional “accredited investor” (as defined below) that, prior to such transfer,
furnishes (or has furnished on its behalf by a U.S. broker-dealer) to you and to the Company a
signed letter substantially in the form of this letter and an Opinion of Counsel in form reasonably
acceptable to the Company to the effect that such transfer is in compliance with the Securities
Act, (D) outside the United States in accordance with Rule 904 of Regulation S under the Securities
Act, (E) pursuant to the provisions of Rule 144 under the Securities Act or (F) pursuant to an
effective registration statement under the Securities Act, and we further agree to provide to any
Person purchasing the Definitive Note or beneficial interest in a Global Note from us in a
transaction meeting the requirements of clauses (A) through (E) of this paragraph a notice advising
such purchaser that resales thereof are restricted as stated herein.

     3. We understand that, on any proposed resale of the Notes or beneficial interest therein, we
will be required to furnish to you and the Company such certifications, legal opinions and other
information as you and the Company may reasonably require to confirm that the proposed sale
complies

D-1

 

with the foregoing restrictions. We further understand that the Notes purchased by us will
bear a legend to the foregoing effect.

     4. We are an institutional “accredited investor” (as defined in Rule 501(a)(1), (2), (3) or
(7) of Regulation D under the Securities Act) and have such knowledge and experience in financial
and business matters as to be capable of evaluating the merits and risks of our investment in the
Notes, and we and any accounts for which we are acting are each able to bear the economic risk of
our or its investment.

     5. We are acquiring the Notes or beneficial interest therein purchased by us for our own
account or for one or more accounts (each of which is an institutional “accredited investor”) as to
each of which we exercise sole investment discretion.

     You and the Company are entitled to rely upon this letter and are irrevocably authorized to
produce this letter or a copy hereof to any interested party in any administrative or legal
proceedings or official inquiry with respect to the matters covered hereby.

	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 	[Insert Name of Accredited Investor]
	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	By:	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	Name:	 
	 

	 	 	 	 	 	 	Title:	 
	 
	 	 	 	 	 	 	 	 
	Dated:
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 

D-2

 

EXHIBIT E

[FORM OF NOTATION OF GUARANTEE]

     For value received, each Guarantor (which term includes any successor Person under the
Indenture) has, jointly and severally, unconditionally guaranteed, to the extent set forth in the
Indenture and subject to the provisions in the Indenture, dated as of November 24, 2009 (the
“Indenture”) among Viasystems, Inc., (the “Company”), the Guarantors party thereto and Wilmington
Trust FSB, as trustee (the “Trustee”), (a) the due and punctual payment of the principal of,
premium on, if any, and interest on, the Notes, whether at maturity, by acceleration, redemption or
otherwise, the due and punctual payment of interest on overdue principal of and interest on the
Notes, if any, if lawful, and the due and punctual performance of all other obligations of the
Company to the Holders or the Trustee all in accordance with the terms of the Indenture and (b) in
case of any extension of time of payment or renewal of any Notes or any of such other obligations,
that the same will be promptly paid in full when due or performed in accordance with the terms of
the extension or renewal, whether at stated maturity, by acceleration or otherwise. The
obligations of the Guarantors to the Holders of Notes and to the Trustee pursuant to the Note
Guarantee and the Indenture are expressly set forth in Article 10 of the Indenture and reference is
hereby made to the Indenture for the precise terms of the Note Guarantee. Each Holder of a Note,
by accepting the same, (a) agrees to and shall be bound by such provisions and (b) appoints the
Trustee attorney-in-fact of such Holder for such purpose.

     Capitalized terms used but not defined herein have the meanings given to them in the
Indenture.

	 	 	 	 	 	 
	 	 	[Name of Guarantor(s)]
	 
	 

	 	By:	 	 	 
	 

	 	 	 	 	 
	 

	 	 	 	Name:	 
	 

	 	 	 	Title:	 

E-1

 

EXHIBIT F

[FORM OF SUPPLEMENTAL INDENTURE

TO BE DELIVERED BY SUBSEQUENT GUARANTORS]

     Supplemental Indenture (this “Supplemental Indenture”), dated as of                                         ,
200___, among                                         (the “Guaranteeing Subsidiary”), a subsidiary of Viasystems, Inc.
(or its permitted successor), a Delaware corporation (the “Company”), the Company, the other
Guarantors (as defined in the Indenture referred to herein) and Wilmington Trust FSB, as trustee
under the Indenture referred to below (the “Trustee”).

W I T N E S S E T H

     WHEREAS, the Company has heretofore executed and delivered to the Trustee an indenture (the
“Indenture”), dated as of                     , 200___providing for the issuance of 12.00% Senior Secured
Notes due 2015 (the “Notes”);

     WHEREAS, the Indenture provides that under certain circumstances the Guaranteeing Subsidiary
shall execute and deliver to the Trustee a supplemental indenture pursuant to which the
Guaranteeing Subsidiary shall unconditionally guarantee all of the Company’s Obligations under the
Notes and the Indenture on the terms and conditions set forth herein (the “Note Guarantee”); and

     WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee is authorized to execute and
deliver this Supplemental Indenture.

     NOW THEREFORE, in consideration of the foregoing and for other good and valuable
consideration, the receipt of which is hereby acknowledged, the Guaranteeing Subsidiary and the
Trustee mutually covenant and agree for the equal and ratable benefit of the Holders of the Notes
as follows:

     1. Capitalized Terms. Capitalized terms used herein without definition shall have
the meanings assigned to them in the Indenture.

     2. Agreement to Guarantee. The Guaranteeing Subsidiary hereby agrees to provide an
unconditional Guarantee on the terms and subject to the conditions set forth in the Note Guarantee
and in the Indenture including but not limited to Article 10 thereof.

     4. No Recourse Against Others. No past, present or future director, officer,
employee, incorporator, stockholder or agent of the Guaranteeing Subsidiary, as such, shall have
any liability for any obligations of the Company or any Guaranteeing Subsidiary under the Note
Documents or this Supplemental Indenture, or for any claim based on, in respect of, or by reason
of, such obligations or their creation. Each Holder of the Notes by accepting a Note waives and
releases all such liability. The waiver and release are part of the consideration for issuance of
the Notes. Such waiver may not be effective to waive liabilities under the federal securities laws
and it is the view of the SEC that such a waiver is against public policy.

     5. NEW YORK LAW TO GOVERN. THE INTERNAL LAW OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED
TO CONSTRUE THIS SUPPLEMENTAL INDENTURE BUT WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF
CONFLICTS OF LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE
REQUIRED THEREBY.

F-1

 

     6. Counterparts. The parties may sign any number of copies of this Supplemental
Indenture. Each signed copy shall be an original, but all of them together represent the same
agreement.

     7. Effect of Headings. The Section headings herein are for convenience only and
shall not affect the construction hereof.

     8. The Trustee. The Trustee shall not be responsible in any manner whatsoever for or
in respect of the validity or sufficiency of this Supplemental Indenture or for or in respect of
the recitals contained herein, all of which recitals are made solely by the Guaranteeing Subsidiary
and the Company.

F-2

 

     IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly
executed and attested, all as of the date first above written.

     Dated:                                         , 20___

	 	 	 	 	 
	 	[Guaranteeing Subsidiary]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	Viasystems, Inc.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	[Existing Guarantors]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	WILMINGTON TRUST FSB,

as Trustee

 	 
	 	By:  	 	 
	 	 	Authorized Signatory 	 
	 

F-3

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