Document:

EXECUTION
        COPY

      
        
          

          

        

      

      CREDIT
        AGREEMENT

       

      among

       

      TAKE-TWO
        INTERACTIVE SOFTWARE, INC.,

      as
        Borrower,

       

      The
        Several Lenders from Time to Time Parties Hereto,

       

      and

       

      JPMORGAN
        CHASE BANK, N.A.,

      as
        Administrative Agent

       

      Dated
        as
        of August 24, 2005

       

      $50,000,000
        364-DAY SENIOR SECURED

      REVOLVING
        CREDIT FACILITY

      
 

      
        

        

      

      J.P.
        MORGAN SECURITIES INC.,

      as
        Sole
        Lead Arranger and Sole Bookrunner

      
 

      
        
          
          

        

        
          
            

          

        

        
          
          

        

      

      TABLE
        OF CONTENTS

      
        
          
            	 	
                     Page

                  
	
                    SECTION
                      1.          
                      DEFINITIONS

                  	
                    1

                  
	
                    1.1

                  	
                    Defined
                      Terms

                  	
                    1

                  
	
                    1.2

                  	
                    Other
                      Definitional Provisions

                  	
                    13

                  
	
                    SECTION
                      2.    AMOUNT
                      AND TERMS OF REVOLVING COMMITMENTS

                  	
                    14

                  
	
                    2.1

                  	
                    Revolving
                      Commitments

                  	
                    14

                  
	
                    2.2

                  	
                    Procedure
                      for Revolving Loan Borrowing

                  	
                    14

                  
	
                    2.3

                  	
                    Revolving
                      Commitment Fees, etc.

                  	
                    15

                  
	
                    2.4

                  	
                    Termination
                      or Reduction of Revolving Commitments

                  	
                    15

                  
	
                    2.5

                  	
                    Optional
                      Prepayments

                  	
                    15

                  
	
                    2.6

                  	
                    Conversion
                      and Continuation Options

                  	
                    15

                  
	
                    2.7

                  	
                    Limitations
                      on Eurodollar Tranches

                  	
                    16

                  
	
                    2.8

                  	
                    Interest
                      Rates and Payment Dates

                  	
                    16

                  
	
                    2.9

                  	
                    Computation
                      of Interest and Fees

                  	
                    16

                  
	
                    2.10

                  	
                    Inability
                      to Determine Interest Rate

                  	
                    17

                  
	
                    2.11

                  	
                    Pro
                      Rata Treatment and Payments

                  	
                    17

                  
	
                    2.12

                  	
                    Requirements
                      of Law

                  	
                    18

                  
	
                    2.13

                  	
                    Taxes

                  	
                    19

                  
	
                    2.14

                  	
                    Indemnity

                  	
                    21

                  
	
                    2.15

                  	
                    Change
                      of Lending Office

                  	
                    21

                  
	
                    2.16

                  	
                    Replacement
                      of Lenders

                  	
                    21

                  
	
                    2.17

                  	
                    Extension
                      of Revolving Termination Date

                  	
                    22

                  
	
                    SECTION
                      3.          
                      LETTERS
                      OF CREDIT

                  	
                    22

                  
	
                    3.1

                  	
                    L/C
                      Commitment

                  	
                    22

                  
	
                    3.2

                  	
                    Procedure
                      for Issuance of Letter of Credit

                  	
                    23

                  
	
                    3.3

                  	
                    Fees
                      and Other Charges

                  	
                    23

                  
	
                    3.4

                  	
                    L/C
                      Participations

                  	
                    23

                  
	
                    3.5

                  	
                    Reimbursement
                      Obligation of the Borrower

                  	
                    24

                  
	
                    3.6

                  	
                    Obligations
                      Absolute

                  	
                    24

                  
	
                    3.7

                  	
                    Letter
                      of Credit Payments

                  	
                    25

                  
	
                    3.8

                  	
                    Applications

                  	
                    25

                  
	
                    SECTION
                      4.          
                      REPRESENTATIONS
                      AND WARRANTIES

                  	
                    25

                  
	
                    4.1

                  	
                    Financial
                      Condition

                  	
                    25

                  
	
                    4.2

                  	
                    No
                      Change

                  	
                    25

                  
	
                    4.3

                  	
                    Existence;
                      Compliance with Law

                  	
                    26

                  
	
                    4.4

                  	
                    Power;
                      Authorization; Enforceable Obligations

                  	
                    26

                  
	
                    4.5

                  	
                    No
                      Legal Bar

                  	
                    26

                  
	
                    4.6

                  	
                    Litigation

                  	
                    26

                  

          

           

          
            
              
              

            

            
              
              

              
                

              

            

            
              
              

            

          

          
            
              	
                      4.7

                    	
                      No
                        Default

                    	
                      26

                    
	
                      4.8

                    	
                      Ownership
                        of Property; Liens

                    	
                      27

                    
	
                      4.9

                    	
                      Intellectual
                        Property

                    	
                      27

                    
	
                      4.10

                    	
                      Taxes

                    	
                      27

                    
	
                      4.11

                    	
                      Federal
                        Regulations

                    	
                      27

                    
	
                      4.12

                    	
                      Labor
                        Matters

                    	
                      27

                    
	
                      4.13

                    	
                      ERISA

                    	
                      27

                    
	
                      4.14

                    	
                      Investment
                        Company Act; Other Regulations

                    	
                      28

                    
	
                      4.15

                    	
                      Significant
                        Subsidiaries

                    	
                      28

                    
	
                      4.16

                    	
                      Use
                        of Proceeds

                    	
                      28

                    
	
                      4.17

                    	
                      Environmental
                        Matters

                    	
                      28

                    
	
                      4.18

                    	
                      Accuracy
                        of Information, etc

                    	
                      29

                    
	
                      4.19

                    	
                      Security
                        Documents

                    	
                      29

                    
	
                      4.20

                    	
                      Solvency

                    	
                      29

                    
	
                      SECTION
                        5.          
                        CONDITIONS
                        PRECEDENT

                    	
                      29

                    
	
                      5.1

                    	
                      Conditions
                        to Initial Extension of Credit

                    	
                      29

                    
	
                      5.2

                    	
                      Conditions
                        to Each Extension of Credit

                    	
                      31

                    
	
                      SECTION
                        6.          
                        AFFIRMATIVE
                        COVENANTS

                    	
                      31

                    
	
                      6.1

                    	
                      Financial
                        Statements

                    	
                      31

                    
	
                      6.2

                    	
                      Certificates;
                        Other Information

                    	
                      32

                    
	
                      6.3

                    	
                      Payment
                        of Obligations

                    	
                      32

                    
	
                      6.4

                    	
                      Maintenance
                        of Existence; Compliance

                    	
                      32

                    
	
                      6.5

                    	
                      Maintenance
                        of Property; Insurance

                    	
                      32

                    
	
                      6.6

                    	
                      Inspection
                        of Property; Books and Records; Discussions

                    	
                      32

                    
	
                      6.7

                    	
                      Notices

                    	
                      33

                    
	
                      6.8

                    	
                      Environmental
                        Laws

                    	
                      33

                    
	
                      6.9

                    	
                      New
                        Significant Subsidiaries

                    	
                      33

                    
	
                      6.10

                    	
                      Additional
                        Collateral, etc

                    	
                      34

                    
	
                      SECTION
                        7.          
                        NEGATIVE
                        COVENANTS

                    	
                      34

                    
	
                      7.1

                    	
                      Financial
                        Condition Covenants

                    	
                      34

                    
	
                      7.2

                    	
                      Indebtedness

                    	
                      35

                    
	
                      7.3

                    	
                      Liens

                    	
                      35

                    
	
                      7.4

                    	
                      Fundamental
                        Changes

                    	
                      37

                    
	
                      7.5

                    	
                      Disposition
                        of Property

                    	
                      37

                    
	
                      7.6

                    	
                      Restricted
                        Payments

                    	
                      37

                    
	
                      7.7

                    	
                      Capital
                        Expenditures

                    	
                      38

                    
	
                      7.8

                    	
                      Investments

                    	
                      38

                    
	
                      7.9

                    	
                      Transactions
                        with Affiliates

                    	
                      38

                    
	
                      7.10

                    	
                      Sales
                        and Leasebacks

                    	
                      39

                    
	
                      7.11

                    	
                      Swap
                        Agreements

                    	
                      39

                    
	
                      7.12

                    	
                      Changes
                        in Fiscal Periods

                    	
                      39

                    

            

             

            
              
                
                

              

              
                
                

                
                  

                

              

              
                
                

              

            

            
              	
                      7.13

                    	
                      Negative
                        Pledge Clauses

                    	
                      39

                    
	
                      7.14

                    	
                      Clauses
                        Restricting Subsidiary Distributions

                    	
                      39

                    
	
                      7.15

                    	
                      Lines
                        of Business

                    	
                      39

                    
	
                      SECTION
                        8.          
                        EVENTS
                        OF DEFAULT

                    	
                      39

                    
	
                      SECTION
                        9.          
                        ADMINISTRATIVE
                        AGENT

                    	
                      42

                    
	
                      9.1

                    	
                      Appointment

                    	
                      42

                    
	
                      9.2

                    	
                      Delegation
                        of Duties

                    	
                      42

                    
	
                      9.3

                    	
                      Exculpatory
                        Provisions

                    	
                      42

                    
	
                      9.4

                    	
                      Reliance
                        by Administrative Agent

                    	
                      43

                    
	
                      9.5

                    	
                      Notice
                        of Default

                    	
                      43

                    
	
                      9.6

                    	
                      Non-Reliance
                        on the Administrative Agent and Other Lenders

                    	
                      43

                    
	
                      9.7

                    	
                      Indemnification

                    	
                      44

                    
	
                      9.8

                    	
                      Administrative
                        Agent in Its Individual Capacity

                    	
                      44

                    
	
                      9.9

                    	
                      Successor
                        Administrative Agent

                    	
                      44

                    
	
                      SECTION
                        10.          
                        MISCELLANEOUS

                    	
                      45

                    
	
                      10.1

                    	
                      Amendments
                        and Waivers

                    	
                      45

                    
	
                      10.2

                    	
                      Notices

                    	
                      45

                    
	
                      10.3

                    	
                      No
                        Waiver; Cumulative Remedies

                    	
                      46

                    
	
                      10.4

                    	
                      Survival
                        of Representations and Warranties

                    	
                      46

                    
	
                      10.5

                    	
                      Payment
                        of Expenses and Taxes

                    	
                      46

                    
	
                      10.6

                    	
                      Successors
                        and Assigns; Participations and Assignments

                    	
                      47

                    
	
                      10.7

                    	
                      Adjustments;
                        Set-off

                    	
                      49

                    
	
                      10.8

                    	
                      Counterparts

                    	
                      50

                    
	
                      10.9

                    	
                      Severability

                    	
                      50

                    
	
                      10.10

                    	
                      Integration

                    	
                      50

                    
	
                      10.11

                    	
                      GOVERNING
                        LAW

                    	
                      50

                    
	
                      10.12

                    	
                      Submission
                        To Jurisdiction; Waivers

                    	
                      50

                    
	
                      10.13

                    	
                      Acknowledgements

                    	
                      51

                    
	
                      10.14

                    	
                      Releases
                        of Guarantees and Liens

                    	
                      51

                    
	
                      10.15

                    	
                      Confidentiality

                    	
                      52

                    
	
                      10.16

                    	
                      WAIVERS
                        OF JURY TRIAL

                    	
                      52

                    

            

          

        

      

      
        
          
          

        

        
          
            

          

        

        
          
          

        

      

      SCHEDULES:

       

      
        	1.1	
                Commitments

              

      

      
        	4.3	
                Good
                  Standing

              

      

      
        	4.4	
                Consents,
                  Authorizations, Filings and Notices

              

      

      
        	4.6	
                Litigation

              

      

      
        	4.12	
                Labor
                  Matters

              

      

      
        	4.15	
                Significant
                  Subsidiaries

              

      

      
        	4.19	
                UCC
                  Filing Jurisdictions

              

      

      
        	7.2(d)	
                Existing
                  Indebtedness

              

      

      
        	7.3(f)	
                Existing
                  Liens

              

      

      
        	7.8(f)	
                Existing
                  Investments

              

      

      

      EXHIBITS:

       

      
        	A	
                Form
                  of Guarantee and Collateral
                  Agreement

              

      

      
        	B	
                Form
                  of Closing Certificate

              

      

      
        	C	
                Form
                  of Assignment and Assumption

              

      

      
        	D	
                Form
                  of Exemption Certificate

              

      

      
        	E-1	
                Form
                  of Extension Request

              

      

      
        	E-2	
                Form
                  of Continuation Notice

              

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      CREDIT
        AGREEMENT (this “Agreement”),
        dated
        as of August 24, 2005, among TAKE-TWO INTERACTIVE SOFTWARE, INC., a Delaware
        corporation (the “Borrower”),
        the
        several banks and other financial institutions or entities from time to time
        parties to this Agreement (the “Lenders”)
        and
        JPMORGAN CHASE BANK, N.A., as administrative agent. 

       

      The
        parties hereto hereby agree as follows:

       

      SECTION
        1.  DEFINITIONS

       

      1.1
          Defined Terms.  As used in this Agreement, the terms
        listed in this Section 1.1 shall have the respective meanings set forth in
        this
        Section 1.1.

      

      “ABR”:
        for
        any day, a rate per annum (rounded upwards, if necessary, to the next 1/16
        of
        1%) equal to the greater of (a) the Prime Rate in effect on such day and
        (b) the
        Federal Funds Effective Rate in effect on such day plus 1⁄2 of 1%. For purposes
        hereof, “Prime
        Rate”
        shall
        mean the rate of interest per annum publicly announced from time to time
        by the
        Administrative Agent as its prime rate in effect at its principal office
        in New
        York City (the Prime Rate not being intended to be the lowest rate of interest
        charged by the Administrative Agent in connection with extensions of credit
        to
        debtors). Any change in the ABR due to a change in the Prime Rate or the
        Federal
        Funds Effective Rate shall be effective as of the opening of business on
        the
        effective day of such change in the Prime Rate or the Federal Funds Effective
        Rate, respectively.

       

      “ABR
        Loans”:
        Revolving Loans the rate of interest applicable to which is based upon the
        ABR.

       

      “Administrative
        Agent”:
        JPMorgan Chase Bank, N.A., together with its affiliates, as the arranger
        of the
        Commitments and as the administrative agent for the Lenders under this Agreement
        and the other Loan Documents, together with any of its successors.

       

      “Affiliate”:
        as to
        any Person, any other Person that, directly or indirectly, is in control
        of, is
        controlled by, or is under common control with, such Person. For purposes
        of
        this definition, “control” of a Person means the power, directly or indirectly,
        either to (a) vote 10% or more of the securities having ordinary voting power
        for the election of directors (or persons performing similar functions) of
        such
        Person or (b) direct or cause the direction of the management and policies
        of
        such Person, whether by contract or otherwise.

       

      “Aggregate
        Exposure”:
        with
        respect to any Lender at any time, an amount equal to (a) until the Closing
        Date, the aggregate amount of such Lender’s Revolving Commitments at such time
        and (b) thereafter, the amount of such Lender’s Revolving Commitment then in
        effect or, if the Revolving Commitments have been terminated, the amount
        of such
        Lender’s Revolving Extensions of Credit then outstanding.

       

      “Aggregate
        Exposure Percentage”:
        with
        respect to any Lender at any time, the ratio (expressed as a percentage)
        of such
        Lender’s Aggregate Exposure at such time to the Aggregate Exposure of all
        Lenders at such time.

       

      “Agreement”:
        as
        defined in the preamble hereto.

       

      “Applicable
        Margin”:
        for
        any day, with respect to any ABR Loan or Eurodollar Loan, or with respect
        to the
        commitment fees payable hereunder, as the case may be, the applicable rate
        per
        annum set forth below under the caption “Applicable Margin for Eurodollar
        Loans,”“Applicable Margin for ABR Loans” or “Commitment Fee Rate,” as the case
        may be, based upon the Consolidated Leverage Ratio as of the most recent
        determination thereof:

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        
          	
                  Category

                	
                  Consolidated
                    Leverage Ratio

                	
                  Applicable
                    Margin for Eurodollar Loans

                	
                  Applicable
                    Margin for ABR Loans

                	
                  Commitment
                    Fee Rate

                
	
                  1

                   

                	
                  <1.00x

                   

                	
                  1.25%

                   

                	
                  0.25%

                   

                	
                  0.25%

                   

                
	
                  2

                   

                	
                  <1.50x

                   

                	
                  1.50%
                    

                   

                	
                  0.50%

                   

                	
                  0.30%

                   

                
	
                  3

                   

                	
                  >2.00x

                   

                	
                  1.75%

                   

                	
                  0.75%

                   

                	
                  0.375%

                   

                

        

         

      

      For
        purposes of the foregoing, changes in the Applicable Margin resulting from
        changes in the Consolidated Leverage Ratio shall become effective on the
        date
        that is three Business Days after the date on which financial statements
        are
        delivered to the Lenders pursuant to Section 6.1 and shall remain in effect
        until the next change to be effected pursuant to this paragraph. If any
        financial statements referred to above are not delivered within the time
        periods
        specified in Section 6.1, then, until the date that is three Business Days
        after
        the date on which such financial statements are delivered, the Consolidated
        Leverage Ratio shall be deemed to be in Category 3. In addition, at all times
        while an Event of Default shall have occurred and be continuing, the
        Consolidated Leverage Ratio shall be deemed to be in Category 3.

       

      “Application”:
        an
        application, in form and substance reasonably acceptable to the Issuing Lender
        and the Borrower, requesting the Issuing Lender to open a Letter of
        Credit.

       

      “Approved
        Fund”:
        as
        defined in Section 10.6(b).

       

      “Assignee”:
        as
        defined in Section 10.6(b).

       

      “Assignment
        and Assumption”:
        an
        Assignment and Assumption, substantially in the form of Exhibit C.

       

      “Available
        Revolving Commitment”:
        as to
        any Revolving Lender at any time, an amount equal to the excess, if any,
        of (a)
        such Lender’s Revolving Commitment then in effect over
        (b) such
        Lender’s Revolving Extensions of Credit then outstanding.

       

      “Benefitted
        Lender”:
        as
        defined in Section 10.7(a).

       

      “Board”:
        the
        Board of Governors of the Federal Reserve System of the United States (or
        any
        successor).

       

      “Borrower”:
        as
        defined in the preamble hereto.

       

      “Borrowing
        Date”:
        any
        Business Day specified by the Borrower as a date on which the Borrower requests
        the relevant Lenders to make Revolving Loans hereunder.

       

      “Business”:
        as
        defined in Section 4.17(b).

       

      “Business
        Day”:
        a day
        other than a Saturday, Sunday or other day on which commercial banks in New
        York
        City are authorized or required by law to close, provided,
        that
        with respect to notices and determinations in connection with, and payments
        of
        principal and interest on, Eurodollar Loans, such day is also a day for trading
        by and between banks in Dollar deposits in the interbank eurodollar
        market.

       

      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

      “Capital
        Expenditures”:
        for
        any period, with respect to any Person, the aggregate of all expenditures
        by
        such Person and its Subsidiaries for the acquisition or leasing (pursuant
        to a
        capital lease) of fixed or capital assets or additions to equipment (including
        replacements, capitalized repairs and improvements during such period) that
        should be capitalized under GAAP on a consolidated balance sheet of such
        Person
        and its Subsidiaries.

       

      “Capital
        Lease Obligations”:
        as to
        any Person, the obligations of such Person to pay rent or other amounts under
        any lease of (or other arrangement conveying the right to use) real or personal
        property, or a combination thereof, which obligations are required to be
        classified and accounted for as capital leases on a balance sheet of such
        Person
        under GAAP and, for the purposes of this Agreement, the amount of such
        obligations at any time shall be the capitalized amount thereof at such time
        determined in accordance with GAAP.

       

      “Capital
        Stock”:
        any
        and all shares, interests, participations or other equivalents (however
        designated) of capital stock of a corporation, any and all equivalent ownership
        interests in a Person (other than a corporation) and any and all warrants,
        rights or options to purchase any of the foregoing.

       

      “Cash
        Equivalents”:
        (a)
        marketable direct obligations issued by, or unconditionally guaranteed by,
        the
        United States Government or issued by any agency thereof and backed by the
        full
        faith and credit of the United States, in each case maturing within one year
        from the date of acquisition; (b) certificates of deposit, time deposits,
        eurodollar time deposits or overnight bank deposits having maturities of
        six
        months or less from the date of acquisition issued by any Lender or by any
        commercial bank organized under the laws of the United States or any state
        thereof having combined capital and surplus of not less than $500,000,000;
        (c)
        commercial paper of an issuer rated at least A-1 by Standard & Poor’s
        Ratings Services (“S&P”)
        or P-1
        by Moody’s Investors Service, Inc. (“Moody’s”),
        or
        carrying an equivalent rating by a nationally recognized rating agency, if
        both
        of the two named rating agencies cease publishing ratings of commercial paper
        issuers generally, and maturing within six months from the date of acquisition;
        (d) repurchase obligations of any Lender or of any commercial bank satisfying
        the requirements of clause (b) of this definition, having a term of not more
        than 30 days, with respect to securities issued or fully guaranteed or insured
        by the United States government; (e) securities with maturities of one year
        or
        less from the date of acquisition issued or fully guaranteed by any state,
        commonwealth or territory of the United States, by any political subdivision
        or
        taxing authority of any such state, commonwealth or territory or by any foreign
        government, the securities of which state, commonwealth, territory, political
        subdivision, taxing authority or foreign government (as the case may be)
        are
        rated at least A by S&P or A by Moody’s; (f) securities with maturities of
        six months or less from the date of acquisition backed by standby letters
        of
        credit issued by any Lender or any commercial bank satisfying the requirements
        of clause (b) of this definition; (g) money market mutual or similar funds
        that
        invest exclusively in assets satisfying the requirements of clauses (a) through
        (f) of this definition; or (h) money market funds that (i) comply with the
        criteria set forth in SEC Rule 2a-7 under the Investment Company Act of 1940,
        as
        amended, (ii) are rated AAA by S&P and Aaa by Moody’s and (iii) have
        portfolio assets of at least $5,000,000,000.

       

      “Change
        of Control”
        means
        (a) the acquisition of ownership, directly or indirectly, beneficially or
        of
        record, by any Person or group (within the meaning of the Securities Exchange
        Act of 1934 and the rules of the SEC thereunder as in effect on the date
        hereof)
        of Capital Stock representing more than 30% of the aggregate ordinary voting
        power represented by the issued and outstanding Capital Stock of the Borrower;
        or (b) the occupation of a majority of the seats (other than vacant seats)
        on
        the board of directors of the Borrower by Persons who were neither (i) nominated
        by the board of directors of the Borrower nor (ii) appointed by directors
        so
        nominated.

       

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

      “Closing
        Date”:
        the
        date on which the conditions precedent set forth in Section 5.1 shall have
        been
        satisfied, which date is August 24, 2005.

       

      “Code”:
        the
        Internal Revenue Code of 1986, as amended from time to time.

       

      “Collateral”:
        all
        property of the Loan Parties, now owned or hereafter acquired, upon which
        a Lien
        is purported to be created by any Security Document.

       

      “Commonly
        Controlled Entity”:
        an
        entity, whether or not incorporated, that is under common control with the
        Borrower within the meaning of Section 4001 of ERISA or is part of a group
        that
        includes the Borrower and that is treated as a single employer under Section
        414
        of the Code. 

       

      “Consolidated
        Asset Coverage Ratio”:
        as at
        the last day of any period, the ratio of (a) accounts receivable plus
        inventory (as set forth on the consolidated balance sheet of the Borrower
        and
        its Subsidiaries for such period) to (b) Consolidated Total Debt on such
        day.

       

      “Consolidated
        EBITDA”:
        for
        any period, Consolidated Net Income for such period plus,
        without
        duplication and to the extent reflected as a charge in the statement of such
        Consolidated Net Income for such period, the sum of (a) income tax expense,
        (b)
        interest expense, amortization or writeoff of debt discount and debt issuance
        costs and commissions, discounts and other fees and charges associated with
        Indebtedness (including the Revolving Loans), (c) depreciation and amortization
        expense, (d) amortization of intangibles (including, but not limited to,
        goodwill) and organization costs and (e) any extraordinary non-cash expenses
        or
        losses, and minus,
        (a) to
        the extent included in the statement of such Consolidated Net Income for
        such
        period, the sum of (i) interest income, (ii) any extraordinary, unusual or
        non-recurring income or gains (including, whether or not otherwise includable
        as
        a separate item in the statement of such Consolidated Net Income for such
        period, gains on the sales of assets outside of the ordinary course of
        business), (iii) income tax credits (to the extent not netted from income
        tax
        expense) and (iv) any other non-cash income and (b) any cash payments made
        during such period in respect of items described in clause (e) above subsequent
        to the fiscal quarter in which the relevant non-cash expenses or losses were
        reflected as a charge in the statement of Consolidated Net Income, all as
        determined on a consolidated basis. 

       

      “Consolidated
        Interest Coverage Ratio”:
        for
        any period, the ratio of (a)(i) Consolidated EBITDA for such period minus
        (ii) the
        aggregate amount of Capital Expenditures made by the Borrower and its
        Subsidiaries during such period minus
        (iii)
        software development costs capitalized in accordance with GAAP on the
        consolidated statement of cash flows of the Borrower and its Subsidiaries
        during
        such period, to (b) Consolidated Interest Expense for such period.

       

      “Consolidated
        Interest Expense”:
        for
        any period, total cash interest expense (including that attributable to Capital
        Lease Obligations) of the Borrower and its Subsidiaries for such period with
        respect to all outstanding Indebtedness of the Borrower and its Subsidiaries
        (including all commissions, discounts and other fees and charges owed with
        respect to letters of credit and bankers’ acceptance financing and net costs
        under Swap Agreements in respect of interest rates to the extent such net
        costs
        are allocable to such period in accordance with GAAP).

       

      “Consolidated
        Leverage Ratio”:
        as at
        the last day of any period, the ratio of (a) Consolidated Total Debt on such
        day
        to (b) Consolidated EBITDA for such period.

       

      “Consolidated
        Net Income”:
        for
        any period, the consolidated net income (or loss) of the Borrower and its
        Subsidiaries, determined on a consolidated basis in accordance with GAAP;
        provided
        that
        there shall be excluded (a) the income (or deficit) of any Person accrued
        prior
        to the date it becomes a Subsidiary of the Borrower or is merged into or
        consolidated with the Borrower or any of its Subsidiaries, (b) the income
        (or
        deficit) of any Person (other than a Subsidiary of the Borrower) in which
        the
        Borrower or any of its Subsidiaries has an ownership interest, except to
        the
        extent that any such income is actually received by the Borrower or such
        Subsidiary in the form of dividends or similar distributions and (c) the
        undistributed earnings of any Subsidiary of the Borrower to the extent that
        the
        declaration or payment of dividends or similar distributions by such Subsidiary
        is not at the time permitted by the terms of any Contractual Obligation (other
        than under any Loan Document) or Requirement of Law applicable to such
        Subsidiary.

       

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

      “Consolidated
        Total Debt”:
        at any
        date, the aggregate principal amount of all Indebtedness of the Borrower
        and its
        Subsidiaries at such date, determined on a consolidated basis in accordance
        with
        GAAP.

       

      “Continuation
        Notice”:
        as
        defined in Section 2.17(a). 

       

      “Continuing
        Lender”:
        as
        defined in Section 2.17(a).

       

      “Contractual
        Obligation”:
        as to
        any Person, any provision of any security issued by such Person or of any
        agreement, instrument or other undertaking to which such Person is a party
        or by
        which it or any of its property is bound.

       

      “Default”:
        any of
        the events specified in Section 8, whether or not any requirement
        for the
        giving of notice, the lapse of time, or both, has been satisfied.

       

      “Disposition”:
        with
        respect to any property, any sale, lease, sale and leaseback, assignment,
        conveyance, transfer or other disposition thereof. The terms “Dispose”
        and
“Disposed
        of”
        shall
        have correlative meanings.

       

      “Dollars”
        and
“$”:
        dollars in lawful currency of the United States.

       

      “Domestic
        Subsidiary”:
        any
        Subsidiary of the Borrower organized under the laws of any jurisdiction within
        the United States.

       

      “Environmental
        Laws”:
        any
        and all foreign, Federal, state, local or municipal laws, rules, orders,
        regulations, statutes, ordinances, codes, decrees, requirements of any
        Governmental Authority or other Requirements of Law (including common law)
        regulating, relating to or imposing liability or standards of conduct concerning
        protection of human health or the environment, as now or may at any time
        hereafter be in effect.

       

      “ERISA”:
        the
        Employee Retirement Income Security Act of 1974, as amended from time to
        time.

       

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

       

      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

      “Eurodollar
        Base Rate”:
        with
        respect to each day during each Interest Period pertaining to a Eurodollar
        Loan,
        the rate per annum determined on the basis of the rate for deposits in Dollars
        for a period equal to such Interest Period commencing on the first day of
        such
        Interest Period appearing on Page 3750 of the Telerate screen as of 11:00
        A.M.,
        London time, two Business Days prior to the beginning of such Interest Period.
        In the event that such rate does not appear on Page 3750 of the Telerate
        screen
        (or otherwise on such screen), the “Eurodollar
        Base Rate”
        shall
        be determined by reference to such other comparable publicly available service
        for displaying eurodollar rates as may be selected by the Administrative
        Agent
        or, in the absence of such availability, by reference to the rate at which
        the
        Administrative Agent is offered Dollar deposits at or about 11:00 A.M., New
        York
        City time, two Business Days prior to the beginning of such Interest Period
        in
        the interbank eurodollar market where its eurodollar and foreign currency
        and
        exchange operations are then being conducted for delivery on the first day
        of
        such Interest Period for the number of days comprised therein.

       

      “Eurodollar
        Loans”:
        Revolving Loans the rate of interest applicable to which is based upon the
        Eurodollar Rate.

       

      “Eurodollar
        Rate”:
        with
        respect to each day during each Interest Period pertaining to a Eurodollar
        Loan,
        a rate per annum determined for such day in accordance with the following
        formula (rounded upward to the nearest 1/100th of 1%):

      
        Eurodollar
          Base Rate

        
          

        

        1.00
          -
          Eurocurrency Reserve Requirements

      

      “Eurodollar
        Tranche”:
        the
        collective reference to Eurodollar Loans the then current Interest Periods
        with
        respect to all of which begin on the same date and end on the same later
        date
        (whether or not such Revolving Loans shall originally have been made on the
        same
        day).

       

      “Event
        of Default”:
        any of
        the events specified in Section 8, provided
        that any
        requirement for the giving of notice, the lapse of time, or both, has been
        satisfied.

       

      “Excluded
        Foreign Subsidiary”:
        any
        Foreign Subsidiary in respect of which the pledge of all of the Capital Stock
        of
        such Subsidiary as Collateral would, in the good faith judgment of the Borrower,
        result in adverse tax consequences to the Borrower.

       

      “Extension
        Request”:
        as
        defined in Section 2.17(a).

       

      “Facility”:
        the
        Revolving Commitments and the extensions of credit made thereunder.

       

      “Federal
        Funds Effective Rate”:
        for
        any day, the weighted average of the rates on overnight federal funds
        transactions with members of the Federal Reserve System arranged by federal
        funds brokers, as published on the next succeeding Business Day by the Federal
        Reserve Bank of New York, or, if such rate is not so published for
        any day
        that is a Business Day, the average of the quotations for the day of such
        transactions received by JPMorgan Chase Bank, N.A. from three federal funds
        brokers of recognized standing selected by it.

       

      “Fee
        Payment Date”:
        (a)
        the third Business Day following the last day of each March, June, September
        and
        December and (b) the last day of the Revolving Commitment Period.

       

      “Foreign
        Subsidiary”:
        any
        Subsidiary of the Borrower that is not a Domestic Subsidiary.

       

      
        
          
          

        

        
          6

          
            

          

        

        
          
          

        

      

      “Funding
        Office”:
        the
        office of the Administrative Agent specified in Section 10.2 or such other
        office as may be specified from time to time by the Administrative Agent
        as its
        funding office by written notice to the Borrower and the Lenders.

       

      “GAAP”:
        generally accepted accounting principles in the United States as in effect
        from
        time to time, except that for purposes of Section 7.1, GAAP shall be determined
        on the basis of such principles in effect on the date hereof and consistent
        with
        those used in the preparation of the most recent audited financial statements
        referred to in Section 4.1(b). In the event that any “Accounting Change” (as
        defined below) shall occur and such change results in a change in the method
        of
        calculation of financial covenants, standards or terms in this Agreement,
        then
        the Borrower and the Administrative Agent agree to enter into negotiations
        in
        order to amend such provisions of this Agreement so as to reflect equitably
        such
        Accounting Changes with the desired result that the criteria for evaluating
        the
        Borrower’s financial condition shall be the same after such Accounting Changes
        as if such Accounting Changes had not been made. “Accounting Changes” refers to
        changes in accounting principles required by the promulgation of any rule,
        regulation, pronouncement or opinion by the Financial Accounting Standards
        Board
        of the American Institute of Certified Public Accountants or, if applicable,
        the
        SEC.

       

      “Governmental
        Authority”:
        any
        nation or government, any state or other political subdivision thereof, any
        agency, authority, instrumentality, regulatory body, court, central bank
        or
        other entity exercising executive, legislative, judicial, taxing, regulatory
        or
        administrative functions of or pertaining to government, any securities exchange
        and any self-regulatory organization (including the National Association
        of
        Insurance Commissioners).

       

      “Group
        Members”:
        the
        collective reference to the Borrower and its Subsidiaries.

       

      “Guarantee
        and Collateral Agreement”:
        the
        Guarantee and Collateral Agreement to be executed and delivered by the Borrower
        and each Subsidiary Guarantor, substantially in the form of Exhibit
        A.

       

      “Guarantee
        Obligation”:
        as to
        any Person (the “guaranteeing
        person”),
        any
        obligation, including a reimbursement, counterindemnity or similar obligation,
        of the guaranteeing Person that guarantees or in effect guarantees, or which
        is
        given to induce the creation of a separate obligation by another Person
        (including any bank under any letter of credit) that guarantees or in effect
        guarantees, any Indebtedness, leases, dividends or other obligations (the
        “primary
        obligations”)
        of any
        other third Person (the “primary
        obligor”)
        in any
        manner, whether directly or indirectly, including any obligation of the
        guaranteeing person, whether or not contingent, (i) to purchase any such
        primary
        obligation or any property constituting direct or indirect security therefor,
        (ii) to advance or supply funds (1) for the purchase or payment of any such
        primary obligation or (2) to maintain working capital or equity capital of
        the
        primary obligor or otherwise to maintain the net worth or solvency of the
        primary obligor, (iii) to purchase property, securities or services primarily
        for the purpose of assuring the owner of any such primary obligation of the
        ability of the primary obligor to make payment of such primary obligation
        or
        (iv) otherwise to assure or hold harmless the owner of any such primary
        obligation against loss in respect thereof; provided,
        however,
        that
        the term Guarantee Obligation shall not include endorsements of instruments
        for
        deposit or collection in the ordinary course of business. The amount of any
        Guarantee Obligation of any guaranteeing person shall be deemed to be the
        lower
        of (a) an amount equal to the stated or determinable amount of the primary
        obligation in respect of which such Guarantee Obligation is made and (b)
        the
        maximum amount for which such guaranteeing person may be liable pursuant
        to the
        terms of the instrument embodying such Guarantee Obligation, unless such
        primary
        obligation and the maximum amount for which such guaranteeing person may
        be
        liable are not stated or determinable, in which case the amount of such
        Guarantee Obligation shall be such guaranteeing person’s maximum reasonably
        anticipated liability in respect thereof as determined by the Borrower in
        good
        faith.

       

      
        
          
          

        

        
          7

          
            

          

        

        
          
          

        

      

      “Indebtedness”:
        of any
        Person at any date, without duplication, (a) all indebtedness of such Person
        for
        borrowed money, (b) all obligations of such Person for the deferred purchase
        price of property or services (other than current trade payables incurred
        in the
        ordinary course of such Person’s business), (c) all obligations of such Person
        evidenced by notes, bonds, debentures or other similar instruments, (d) all
        indebtedness created or arising under any conditional sale or other title
        retention agreement with respect to property acquired by such Person (even
        though the rights and remedies of the seller or lender under such agreement
        in
        the event of default are limited to repossession or sale of such property),
        (e)
        all Capital Lease Obligations of such Person, (f) all obligations of such
        Person, contingent or otherwise, as an account party or applicant under or
        in
        respect of acceptances, letters of credit, surety bonds or similar arrangements,
        (g) the liquidation value of all mandatorily redeemable preferred Capital
        Stock
        of such Person, (h) all Guarantee Obligations of such Person in respect of
        obligations of the kind referred to in clauses (a) through (g) above, (i)
        all
        obligations of the kind referred to in clauses (a) through (h) above secured
        by
        (or for which the holder of such obligation has an existing right, contingent
        or
        otherwise, to be secured by) any Lien on property (including accounts and
        contract rights) owned by such Person, whether or not such Person has assumed
        or
        become liable for the payment of such obligation, and (j) for the purposes
        of
        Section 8(e) only, all obligations of such Person in respect of Swap Agreements.
        The Indebtedness of any Person shall include the Indebtedness of any other
        entity (including any partnership in which such Person is a general partner)
        to
        the extent such Person is liable therefor as a result of such Person’s ownership
        interest in or other relationship with such entity, except to the extent
        the
        terms of such Indebtedness expressly provide that such Person is not liable
        therefor.

       

      “Insolvency”:
        with
        respect to any Multiemployer Plan, the condition that such Plan is insolvent
        within the meaning of Section 4245 of ERISA.

       

      “Insolvent”:
        pertaining to a condition of Insolvency.

       

      “Intellectual
        Property”:
        the
        collective reference to all rights, priorities and privileges relating to
        intellectual property, whether arising under United States, multinational
        or
        foreign laws or otherwise, including copyrights, copyright licenses, patents,
        patent licenses, trademarks, trademark licenses, technology, know-how and
        processes, and all rights to sue at law or in equity for any infringement
        or
        other impairment thereof, including the right to receive all proceeds and
        damages therefrom.

       

      “Interest
        Payment Date”:
        (a) as
        to any ABR Loan, the last day of each March, June, September and December
        to
        occur while such Revolving Loan is outstanding and the final maturity date
        of
        such Revolving Loan, (b) as to any Eurodollar Loan having an Interest Period
        of
        three months or less, the last day of such Interest Period, (c) as to any
        Eurodollar Loan having an Interest Period longer than three months, each
        day
        that is three months, or a whole multiple thereof, after the first day of
        such
        Interest Period and the last day of such Interest Period and (d) as to any
        Revolving Loan (other than an ABR Loan), the date of any repayment or prepayment
        made in respect thereof.

       

      “Interest
        Period”:
        as to
        any Eurodollar Loan, (a) initially, the period commencing on the borrowing
        or
        conversion date, as the case may be, with respect to such Eurodollar Loan
        and
        ending one, two, three or six months thereafter, as selected by the Borrower
        in
        its notice of borrowing or notice of conversion, as the case may be, given
        with
        respect thereto; and (b) thereafter, each period commencing on the last day
        of
        the next preceding Interest Period applicable to such Eurodollar Loan and
        ending
        one, two, three or six months thereafter, as selected by the Borrower by
        irrevocable notice to the Administrative Agent not later than 11:00 A.M.,
        New
        York City time, on the date that is three Business Days prior to the last
        day of
        the then current Interest Period with respect thereto; provided
        that,
        all of the foregoing provisions relating to Interest Periods are subject
        to the
        following:

       

      
        
          
          

        

        
          8

          
            

          

        

        
          
          

        

      

      (i)  if
        any
        Interest Period would otherwise end on a day that is not a Business Day,
        such
        Interest Period shall be extended to the next succeeding Business Day unless
        the
        result of such extension would be to carry such Interest Period into another
        calendar month in which event such Interest Period shall end on the immediately
        preceding Business Day;

       

      (ii)  the
        Borrower may not select an Interest Period that would extend beyond the
        Revolving Termination Date; and

       

      (iii)  any
        Interest Period that begins on the last Business Day of a calendar month
        (or on
        a day for which there is no numerically corresponding day in the calendar
        month
        at the end of such Interest Period) shall end on the last Business Day of
        a
        calendar month.

       

      “Investments”:
        as
        defined in Section 7.8.

       

      “Issuing
        Lender”:
        JPMorgan Chase Bank, N.A. and any other Lender reasonably acceptable to the
        Administrative Agent or any affiliate of any of the foregoing, in each case,
        in
        its capacity as issuer of any Letter of Credit.

       

      “L/C
        Commitment”:
        $25,000,000.

       

      “L/C
        Obligations”:
        at any
        time, an amount equal to the sum of (a) the aggregate then undrawn and unexpired
        amount of the then outstanding Letters of Credit and (b) the aggregate amount
        of
        drawings under Letters of Credit that have not then been reimbursed pursuant
        to
        Section 3.5.

       

      “L/C
        Participants”:
        the
        collective reference to all the Lenders other than the Issuing
        Lender.

       

      “Lenders”:
        as
        defined in the preamble hereto.

       

      “Letters
        of Credit”:
        as
        defined in Section 3.1(a).

       

      “Lien”:
        any
        mortgage, pledge, hypothecation, assignment, deposit arrangement, encumbrance,
        lien (statutory or other), charge or other security interest or any preference,
        priority or other security agreement or preferential arrangement of any kind
        or
        nature whatsoever (including any conditional sale or other title retention
        agreement and any capital lease having substantially the same economic effect
        as
        any of the foregoing).

       

      “Loan
        Documents”:
        this
        Agreement, the Security Documents, the Notes and any amendment, waiver,
        supplement or other modification to any of the foregoing.

       

      “Loan
        Parties”:
        each
        Group Member that is a party to a Loan Document.

       

      “Material
        Adverse Effect”:
        a
        material adverse effect on (a) the business, operations, property, condition
        (financial or otherwise) or prospects of the Borrower and its Subsidiaries
        taken
        as a whole or (b) the validity or enforceability of this Agreement
        or any
        of the other Loan Documents or the rights or remedies of the Administrative
        Agent or the Lenders hereunder or thereunder.

       

      “Materials
        of Environmental Concern”:
        any
        gasoline or petroleum (including crude oil or any fraction thereof) or petroleum
        products or any hazardous or toxic substances, materials or wastes, defined
        or
        regulated as such in or under any Environmental Law, including asbestos,
        polychlorinated biphenyls and urea-formaldehyde insulation.

       

      
        
          
          

        

        
          9

          
            

          

        

        
          
          

        

      

      “Multiemployer
        Plan”:
        a Plan
        that is a multiemployer plan as defined in Section 4001(a)(3) of
        ERISA.

       

      “Non-Excluded
        Taxes”:
        as
        defined in Section 2.13(a).

       

      “Non-Extending
        Lender”:
        as
        defined in Section 2.17(a).

       

      “Non-U.S.
        Lender”:
        as
        defined in Section 2.13(d).

       

      “Notes”:
        the
        collective reference to any promissory note evidencing Revolving
        Loans.

       

      “Obligations”:
        the
        unpaid principal of and interest on (including interest accruing after the
        maturity of the Revolving Loans and Reimbursement Obligations and interest
        accruing after the filing of any petition in bankruptcy, or the commencement
        of
        any insolvency, reorganization or like proceeding, relating to the Borrower,
        whether or not a claim for post-filing or post-petition interest is allowed
        in
        such proceeding) the Revolving Loans and all other obligations and liabilities
        of the Borrower to the Administrative Agent or to any Lender (or, in the
        case of
        Specified Swap Agreements and Specified Treasury Agreements, any affiliate
        of
        any Lender), whether direct or indirect, absolute or contingent, due or to
        become due, or now existing or hereafter incurred, which may arise under,
        out
        of, or in connection with, this Agreement, any other Loan Document, the Letters
        of Credit, any Specified Swap Agreement, any Specified Treasury Agreement
        or any
        other document made, delivered or given in connection herewith or therewith,
        whether on account of principal, interest, reimbursement obligations, fees,
        indemnities, costs, expenses (including all fees, charges and disbursements
        of
        counsel to the Administrative Agent or to any Lender that are required to
        be
        paid by the Borrower pursuant hereto) or otherwise.

       

      “Other
        Taxes”:
        any
        and all present or future stamp or documentary taxes or any other excise
        or
        property taxes, charges or similar levies arising from any payment made
        hereunder or from the execution, delivery or enforcement of, or otherwise
        with
        respect to, this Agreement or any other Loan Document.

       

      “Participant”:
        as
        defined in Section 10.6(c).

       

      “PBGC”:
        the
        Pension Benefit Guaranty Corporation established pursuant to Subtitle A of
        Title
        IV of ERISA (or any successor).

       

      “Person”:
        an
        individual, partnership, corporation, limited liability company, business
        trust,
        joint stock company, trust, unincorporated association, joint venture,
        Governmental Authority or other entity of whatever nature.

       

      “Plan”:
        at a
        particular time, any employee benefit plan that is covered by ERISA and in
        respect of which the Borrower or a Commonly Controlled Entity is (or, if
        such
        plan were terminated at such time, would under Section 4069 of ERISA be deemed
        to be) an “employer” as defined in Section 3(5) of ERISA.

       

      “Properties”:
        as
        defined in Section 4.17(a).

       

      “Refinancing”:
        the
        collective reference to (a) the termination of the Amended and Restated Credit
        Agreement, dated August 28, 2002, between the Borrower and Bank of America,
        N.A., as agent, and (b) the payment of any principal, interest, fees or other
        amounts owing thereunder.

       

      
        
          
          

        

        
          10

          
            

          

        

        
          
          

        

      

      “Register”:
        as
        defined in Section 10.6(b).

       

      “Regulation
        U”:
        Regulation U of the Board as in effect from time to time.

       

      “Reimbursement
        Obligation”:
        the
        obligation of the Borrower to reimburse the Issuing Lender pursuant to Section
        3.5 for amounts drawn under Letters of Credit.

       

      “Reorganization”:
        with
        respect to any Multiemployer Plan, the condition that such plan is in
        reorganization within the meaning of Section 4241 of ERISA.

       

      “Reportable
        Event”:
        any of
        the events set forth in Section 4043(c) of ERISA, other than those events
        as to
        which the thirty day notice period is waived under subsections .27, .28,
        .29,
        .30, .31, .32, .34 or .35 of PBGC Reg. § 4043.

       

      “Required
        Lenders”:
        at any
        time, the holders of more than 50% of the Total Revolving Commitments then
        in
        effect or, if the Revolving Commitments have been terminated, the Total
        Revolving Extensions of Credit then outstanding.

       

      “Requirement
        of Law”:
        as to
        any Person, the Certificate of Incorporation and By-Laws or other organizational
        or governing documents of such Person, and any law, treaty, rule or regulation
        or determination of an arbitrator or a court or other Governmental Authority,
        in
        each case applicable to or binding upon such Person or any of its property
        or to
        which such Person or any of its property is subject.

       

      “Responsible
        Officer”:
        the
        chief executive officer, president or chief financial officer of the Borrower,
        but in any event, with respect to financial matters, the chief financial
        officer
        of the Borrower.

       

      “Restricted
        Payments”:
        as
        defined in Section 7.6.

       

      “Revolving
        Commitment”:
        as to
        any Lender, the obligation of such Lender, if any, to make Revolving Loans
        and
        participate in Letters of Credit in an aggregate principal and/or face amount
        not to exceed the amount set forth under the heading “Revolving Commitment”
        opposite such Lender’s name on Schedule 1.1 or in the Assignment and Assumption
        pursuant to which such Lender became a party hereto, as the same may be changed
        from time to time pursuant to the terms hereof or in connection with an
        assignment by such Lender in accordance with Section 10.6. The original amount
        of the Total Revolving Commitments is $50,000,000.

       

      “Revolving
        Commitment Period”:
        the
        period from and including the Closing Date to the Revolving Termination
        Date.

       

      “Revolving
        Extensions of Credit”:
        as to
        any Revolving Lender at any time, an amount equal to the sum of (a) the
        aggregate principal amount of all Revolving Loans held by such Lender then
        outstanding and (b) such Lender’s Revolving Percentage of the L/C Obligations
        then outstanding.

       

      “Revolving
        Lender”:
        each
        Lender that has a Revolving Commitment or that holds Revolving
        Loans.

       

      “Revolving
        Loans”:
        as
        defined in Section 2.1(a).

       

      “Revolving
        Percentage”:
        as to
        any Revolving Lender at any time, the percentage which such Lender’s Revolving
        Commitment then constitutes of the Total Revolving Commitments or, at any
        time
        after the Revolving Commitments shall have expired or terminated, the percentage
        which the aggregate principal amount of such Lender’s Revolving Extensions of
        Credit then outstanding constitutes of the aggregate principal amount of
        the
        Total Revolving Extensions of Credit.

       

      
        
          
          

        

        
          11

          
            

          

        

        
          
          

        

      

      “Revolving
        Termination Date”:
        the
        date which is 364 days after the Closing Date; provided
        that if
        such date is not a Business Day, the Revolving Termination Date shall be
        the
        Business Day immediately preceding such date; provided,
        further,
        that
        with respect to Continuing Lenders only, the Revolving Termination Date may
        be
        extended pursuant to Section 2.17. 

       

      “SEC”:
        the
        Securities and Exchange Commission, any successor thereto and any analogous
        Governmental Authority.

       

      “Security
        Documents”:
        the
        collective reference to the Guarantee and Collateral Agreement and all other
        security documents hereafter delivered to the Administrative Agent granting
        a
        Lien on any property of any Person to secure the obligations and liabilities
        of
        any Loan Party under any Loan Document.

       

      “Significant
        Subsidiary”:
        at any
        time, a Domestic Subsidiary of the Borrower that would be a “significant
        subsidiary” as defined in Rule 1-02 of Regulation S-X promulgated by the SEC;
provided
        that at
        no time may Domestic Subsidiaries of the Borrower that are not Significant
        Subsidiaries hold, in the aggregate, more than 10% of (a) the total assets
        of
        the Borrower and its Domestic Subsidiaries consolidated as of the end of
        the
        most recently completed fiscal year of the Borrower or (b) the operating
        income
        of the Borrower and its Domestic Subsidiaries consolidated as of the most
        recently completed fiscal year of the Borrower. 

      

      “Single
        Employer Plan”:
        any
        Plan that is covered by Title IV of ERISA, but that is not a Multiemployer
        Plan.

       

      “Solvent”:
        when
        used with respect to any Person, means that, as of any date of determination,
        (a) the amount of the “present fair saleable value” of the assets of such Person
        will, as of such date, exceed the amount of all “liabilities of such Person,
        contingent or otherwise”, as of such date, as such quoted terms are determined
        in accordance with applicable federal and state laws governing determinations
        of
        the insolvency of debtors, (b) the present fair saleable value of the assets
        of
        such Person will, as of such date, be greater than the amount that will be
        required to pay the liability of such Person on its debts as such debts become
        absolute and matured, (c) such Person will not have, as of such date, an
        unreasonably small amount of capital with which to conduct its business,
        and (d)
        such Person will be able to pay its debts as they mature. For purposes of
        this
        definition, (i) “debt” means liability on a “claim”, and (ii) “claim” means any
        (x) right to payment, whether or not such a right is reduced to judgment,
        liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed,
        undisputed, legal, equitable, secured or unsecured or (y) right to an equitable
        remedy for breach of performance if such breach gives rise to a right to
        payment, whether or not such right to an equitable remedy is reduced to
        judgment, fixed, contingent, matured or unmatured, disputed, undisputed,
        secured
        or unsecured.

       

      “Specified
        Swap Agreement”:
        any
        Swap Agreement entered into by the Borrower and any Lender or affiliate thereof
        in respect of interest rates, currency exchange rates or commodity prices.
        

       

      “Specified
        Treasury Agreement”:
        any
        cash management or other treasury services agreement entered into by the
        Borrower and any Lender or affiliate thereof. 

       

      “Subsidiary”:
        as to
        any Person, a corporation, partnership, limited liability company or other
        entity of which shares of stock or other ownership interests having ordinary
        voting power (other than stock or such other ownership interests having such
        power only by reason of the happening of a contingency) to elect a majority
        of
        the board of directors or other managers of such corporation, partnership
        or
        other entity are at the time owned, or the management of which is otherwise
        controlled, directly or indirectly through one or more intermediaries, or
        both,
        by such Person. Unless otherwise qualified, all references to a “Subsidiary” or
        to “Subsidiaries” in this Agreement shall refer to a Subsidiary or Subsidiaries
        of the Borrower.

       

      
        
          
          

        

        
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      “Subsidiary
        Guarantor”:
        each
        Significant Subsidiary.

       

      “Swap
        Agreement”:
        any
        agreement with respect to any swap, forward, future or derivative transaction
        or
        option or similar agreement involving, or settled by reference to, one or
        more
        rates, currencies, commodities, equity or debt instruments or securities,
        or
        economic, financial or pricing indices or measures of economic, financial
        or
        pricing risk or value or any similar transaction or any combination of these
        transactions; provided
        that no
        phantom stock or similar plan providing for payments only on account of services
        provided by current or former directors, officers, employees or consultants
        of
        the Borrower or any of its Subsidiaries shall be a “Swap
        Agreement”.

       

      “Total
        Revolving Commitments”:
        at any
        time, the aggregate amount of the Revolving Commitments then in
        effect.

       

      “Total
        Revolving Extensions of Credit”:
        at any
        time, the aggregate amount of the Revolving Extensions of Credit of the Lenders
        outstanding at such time.

       

      “Transferee”:
        any
        Assignee or Participant.

       

      “Type”:
        as to
        any Revolving Loan, its nature as an ABR Loan or a Eurodollar Loan.

       

      “United
        States”:
        the
        United States of America.

       

      “Wholly
        Owned Subsidiary”:
        as to
        any Person, any other Person all of the Capital Stock of which (other than
        directors’ qualifying shares required by law) is owned by such Person directly
        and/or through other Wholly Owned Subsidiaries.

       

      “Wholly
        Owned Subsidiary Guarantor”:
        any
        Subsidiary Guarantor that is a Wholly Owned Subsidiary of the
        Borrower.

       

      1.2
          Other Definitional Provisions.
        (a)
        Unless
        otherwise specified therein, all terms defined in this Agreement shall have
        the
        defined meanings when used in the other Loan Documents or any certificate
        or
        other document made or delivered pursuant hereto or thereto.

       

      (b)  As
        used
        herein and in the other Loan Documents, and any certificate or other document
        made or delivered pursuant hereto or thereto, (i) accounting terms relating
        to
        any Group Member not defined in Section 1.1 and accounting terms partly defined
        in Section 1.1, to the extent not defined, shall have the respective meanings
        given to them under GAAP, (ii) the words “include”, “includes” and “including”
        shall be deemed to be followed by the phrase “without limitation”, (iii) the
        word “incur” shall be construed to mean incur, create, issue, assume, become
        liable in respect of or suffer to exist (and the words “incurred” and
“incurrence” shall have correlative meanings), (iv) the words “asset” and
“property” shall be construed to have the same meaning and effect and to refer
        to any and all tangible and intangible assets and properties, including cash,
        Capital Stock, securities, revenues, accounts, leasehold interests and contract
        rights, and (v) references to agreements or other Contractual Obligations
        shall,
        unless otherwise specified, be deemed to refer to such agreements or Contractual
        Obligations as amended, supplemented, restated or otherwise modified from
        time
        to time.

       

      
        
          
          

        

        
          13

          
            

          

        

        
          
          

        

      

      (c)  The
        words
“hereof”, “herein” and “hereunder” and words of similar import, when used in
        this Agreement, shall refer to this Agreement as a whole and not to any
        particular provision of this Agreement, and Section, Schedule and Exhibit
        references are to this Agreement unless otherwise specified.

       

      (d)  The
        meanings given to terms defined herein shall be equally applicable to both
        the
        singular and plural forms of such terms.

       

      SECTION
        2.  AMOUNT
        AND TERMS OF REVOLVING COMMITMENTS

       

      2.1  Revolving
        Commitments.  (a) Subject to the terms and conditions hereof, each
        Revolving Lender severally agrees to make revolving credit loans (“Revolving
        Loans”) to the Borrower from time to time during the Revolving Commitment
        Period in an aggregate principal amount at any one time outstanding which,
        when
        added to such Lender’s Revolving Percentage of the L/C Obligations then
        outstanding, does not exceed the amount of such Lender’s Revolving Commitment.
        During the Revolving Commitment Period the Borrower may use the Revolving
        Commitments by borrowing, prepaying the Revolving Loans in whole or in part,
        and
        reborrowing, all in accordance with the terms and conditions hereof. The
        Revolving Loans may from time to time be Eurodollar Loans or ABR Loans, as
        determined by the Borrower and notified to the Administrative Agent in
        accordance with Sections 2.2 and 2.6.

       

      (b)  The
        Borrower shall repay the outstanding Revolving Loans of each Lender on the
        Revolving Termination Date applicable to such Lender.

       

      2.2  Procedure
        for Revolving Loan Borrowing.  The Borrower may borrow under the
        Revolving Commitments during the Revolving Commitment Period on any Business
        Day, provided that the Borrower shall give the Administrative Agent
        irrevocable notice (which notice must be received by the Administrative Agent
        prior to 11:00 A.M., New York City time, (a) three Business Days prior to
        the
        requested Borrowing Date, in the case of Eurodollar Loans, or (b) on the
        Business Day that is the requested Borrowing Date, in the case of ABR Loans)
        (provided that any such notice of a borrowing of ABR Loans to finance
        payments required by Section 3.5 may be given not later than 10:00
        A.M.,
        New York City time, on the date of the proposed borrowing), specifying (i)
        the
        amount and Type of Revolving Loans to be borrowed, (ii) the requested Borrowing
        Date and (iii) in the case of Eurodollar Loans, the respective amounts of
        each
        such Type of Revolving Loan and the respective lengths of the initial Interest
        Period therefor. Each borrowing under the Revolving Commitments shall be
        in an
        amount equal to (x) in the case of ABR Loans, $1,000,000 or a whole multiple
        thereof (or, if the then aggregate Available Revolving Commitments are less
        than
        $1,000,000, such lesser amount) and (y) in the case of Eurodollar Loans,
        $5,000,000 or a whole multiple of $1,000,000 in excess thereof. Upon receipt
        of
        any such notice from the Borrower, the Administrative Agent shall promptly
        notify each Revolving Lender thereof. Each Revolving Lender will make the
        amount
        of its Revolving Percentage of each borrowing available to the Administrative
        Agent for the account of the Borrower at the Funding Office prior to 12:00
        Noon,
        New York City time, on the Borrowing Date requested by the Borrower in funds
        immediately available to the Administrative Agent. Such borrowing will then
        be
        made available to the Borrower by the Administrative Agent crediting the
        account
        of the Borrower on the books of such office with the aggregate of the amounts
        made available to the Administrative Agent by the Lenders and in like funds
        as
        received by the Administrative Agent.

       

      
        
          
          

        

        
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      2.3  Revolving
        Commitment Fees, etc.  (a)  The Borrower agrees to pay to the
        Administrative Agent for the account of each Revolving Lender a commitment
        fee
        for the period from and including the date hereof to the last day of the
        Revolving Commitment Period, computed at the Applicable Margin on the average
        daily amount of the Available Revolving Commitment of such Lender during
        the
        period for which payment is made, payable quarterly in arrears on each Fee
        Payment Date, commencing on the first such date to occur after the date
        hereof.

       

      (b)  The
        Borrower agrees to pay to the Administrative Agent the fees in the amounts
        and
        on the dates as set forth in any fee agreements with the Administrative Agent
        and to perform any other obligations contained therein.

       

      
        2.4  Termination
          or Reduction of Revolving Commitments.  The Borrower shall have the
          right, upon not less than three Business Days’ notice to the Administrative
          Agent, to terminate the Revolving Commitments or, from time to time, to
          reduce
          the amount of the Revolving Commitments; provided that no such
          termination or reduction of Revolving Commitments shall be permitted if,
          after
          giving effect thereto and to any prepayments of the Revolving Loans made
          on the
          effective date thereof, the Total Revolving Extensions of Credit would
          exceed
          the Total Revolving Commitments. Any such reduction shall be in an amount
          equal
          to $1,000,000, or a whole multiple thereof, and shall reduce permanently
          the
          Revolving Commitments then in effect.

      

      
        
          
            
              2.5   Optional
                Prepayments. 
                The Borrower may at any time and from time to time prepay the Revolving
                Loans,
                in whole or in part, without premium or penalty, upon irrevocable
                notice
                delivered to the Administrative Agent no later than 11:00 A.M., New
                York City
                time, three Business Days prior thereto, in the case of Eurodollar
                Loans, and no
                later than 11:00 A.M., New York City time, one Business Day prior
                thereto, in
                the case of ABR Loans, which notice shall specify the date and amount
                of
                prepayment and whether the prepayment is of Eurodollar Loans or ABR
                Loans;
provided, that if a Eurodollar Loan is prepaid on any day other than
                the
                last day of the Interest Period applicable thereto, the Borrower
                shall also pay
                any amounts owing pursuant to Section 2.14. Upon receipt of any such
                notice the
                Administrative Agent shall promptly notify each relevant Lender thereof.
                If any
                such notice is given, the amount specified in such notice shall be
                due and
                payable on the date specified therein, together with (except in the
                case of
                Revolving Loans that are ABR Loans) accrued interest to such date
                on the amount
                prepaid. Partial prepayments of Revolving Loans shall be in an aggregate
                principal amount of $1,000,000 or a whole multiple thereof.

               

            

          

        

         

      

      2.6  Conversion
        and Continuation Options.  (a)  The Borrower may elect from time
        to time to convert Eurodollar Loans to ABR Loans by giving the Administrative
        Agent prior irrevocable notice of such election no later than 11:00 A.M.,
        New
        York City time, on the Business Day preceding the proposed conversion date,
        provided that any such conversion of Eurodollar Loans may only be made on
        the last day of an Interest Period with respect thereto. The Borrower may
        elect
        from time to time to convert ABR Loans to Eurodollar Loans by giving the
        Administrative Agent prior irrevocable notice of such election no later than
        11:00 A.M., New York City time, on the third Business Day preceding the proposed
        conversion date (which notice shall specify the length of the initial Interest
        Period therefor), provided that no ABR Loan may be converted into a
        Eurodollar Loan when any Event of Default has occurred and is continuing
        and the
        Administrative Agent or the Required Lenders have determined in its or their
        sole discretion not to permit such conversions. Upon receipt of any such
        notice
        the Administrative Agent shall promptly notify each relevant Lender
        thereof.

       

      (b)  Any
        Eurodollar Loan may be continued as such upon the expiration of the then
        current
        Interest Period with respect thereto by the Borrower giving irrevocable notice
        to the Administrative Agent, in accordance with the applicable provisions
        of the
        term “Interest Period” set forth in Section 1.1, of the length of the next
        Interest Period to be applicable to such Revolving Loans, provided
        that no
        Eurodollar Loan may be continued as such when any Event of Default has occurred
        and is continuing and the Administrative Agent has or the Required Lenders
        have
        determined in its or their sole discretion not to permit such continuations,
        and
provided,
        further,
        that if
        the Borrower shall fail to give any required notice as described above in
        this
        paragraph or if such continuation is not permitted pursuant to the preceding
        proviso such Revolving Loans shall be automatically converted to ABR Loans
        on
        the last day of such then expiring Interest Period. Upon receipt of any such
        notice the Administrative Agent shall promptly notify each relevant Lender
        thereof.

       

      
        
          
          

        

        
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      2.7  Limitations
        on Eurodollar Tranches.  Notwithstanding anything to the contrary in
        this Agreement, all borrowings, conversions and continuations of Eurodollar
        Loans and all selections of Interest Periods shall be in such amounts and
        be
        made pursuant to such elections so that, (a) after giving effect thereto,
        the
        aggregate principal amount of the Eurodollar Loans comprising each Eurodollar
        Tranche shall be equal to $5,000,000 or a whole multiple of $1,000,000 in
        excess
        thereof and (b) no more than five Eurodollar Tranches shall be outstanding
        at
        any one time.

       

      2.8  Interest
        Rates and Payment Dates.  (a)  Each Eurodollar Loan shall bear
        interest for each day during each Interest Period with respect thereto at
        a rate
        per annum equal to the Eurodollar Rate determined for such day plus the
        Applicable Margin.

       

      (b)  Each
        ABR
        Loan shall bear interest at a rate per annum equal to the ABR plus the
        Applicable Margin.

       

      (c)  (i)
        If
        all or a portion of the principal amount of any Revolving Loan or Reimbursement
        Obligation shall not be paid when due (whether at the stated maturity, by
        acceleration or otherwise), all outstanding Revolving Loans and Reimbursement
        Obligations (whether or not overdue) shall bear interest at a rate per annum
        equal to (x) in the case of the Revolving Loans, the rate that would otherwise
        be applicable thereto pursuant to the foregoing provisions of this Section
        plus
        2% or
        (y) in the case of Reimbursement Obligations, the rate applicable to ABR
        Loans
plus
        2%, and
        (ii) if all or a portion of any interest payable on any Revolving Loan or
        Reimbursement Obligation or any commitment fee or other amount payable hereunder
        shall not be paid when due (whether at the stated maturity, by acceleration
        or
        otherwise), such overdue amount shall bear interest at a rate per annum equal
        to
        the rate then applicable to ABR Loans plus
        2%, in
        each case, with respect to clauses (i) and (ii) above, from the date of such
        non-payment until such amount is paid in full (as well after as before
        judgment).

       

      (d)  Interest
        shall be payable in arrears on each Interest Payment Date, provided
        that
        interest accruing pursuant to paragraph (c) of this Section shall be payable
        from time to time on demand.

       

      2.9  Computation
        of Interest and Fees. (a)  Interest and fees payable pursuant hereto
        shall be calculated on the basis of a 360-day year for the actual days elapsed,
        except that, with respect to ABR Loans the rate of interest on which is
        calculated on the basis of the Prime Rate, the interest thereon shall be
        calculated on the basis of a 365- (or 366-, as the case may be) day year
        for the
        actual days elapsed. The Administrative Agent shall as soon as practicable
        notify the Borrower and the Lenders of each determination of a Eurodollar
        Rate.
        Any change in the interest rate on a Revolving Loan resulting from a change
        in
        the ABR or the Eurocurrency Reserve Requirements shall become effective as
        of
        the opening of business on the day on which such change becomes effective.
        The
        Administrative Agent shall as soon as practicable notify the Borrower and
        the
        Lenders of the effective date and the amount of each such change in interest
        rate.

       

      (b)  Each
        determination of an interest rate by the Administrative Agent pursuant to
        any
        provision of this Agreement shall be conclusive and binding on the Borrower
        and
        the Lenders in the absence of manifest error. The Administrative Agent shall,
        at
        the request of the Borrower, deliver to the Borrower a statement showing
        the
        quotations used by the Administrative Agent in determining any interest rate
        pursuant to Section 2.8(a) or (b), as applicable.

       

      
        
          
          

        

        
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      2.10  Inability
        to Determine Interest Rate.  If prior to the first day of any Interest
        Period:

       

      (a) the
        Administrative Agent shall have determined (which determination shall be
        conclusive and binding upon the Borrower) that, by reason of circumstances
        affecting the relevant market, adequate and reasonable means do not exist
        for
        ascertaining the Eurodollar Rate for such Interest Period, or

       

      (b) the
        Administrative Agent shall have received notice from the Required Lenders
        that
        the Eurodollar Rate determined or to be determined for such Interest Period
        will
        not adequately and fairly reflect the cost to such Lenders (as conclusively
        certified by such Lenders) of making or maintaining their affected Revolving
        Loans during such Interest Period,

       

      the
        Administrative Agent shall give telecopy or telephonic notice thereof to
        the
        Borrower and the Lenders as soon as practicable thereafter. If such notice
        is
        given (x) any Eurodollar Loans requested to be made on the first day of such
        Interest Period shall be made as ABR Loans, (y) any Revolving Loans
        that
        were to have been converted on the first day of such Interest Period to
        Eurodollar Loans shall be continued as ABR Loans and (z) any outstanding
        Eurodollar Loans shall be converted, on the last day of the then-current
        Interest Period, to ABR Loans. Until such notice has been withdrawn by the
        Administrative Agent, no further Eurodollar Loans shall be made or continued
        as
        such, nor shall the Borrower have the right to convert Revolving Loans to
        Eurodollar Loans.

       

      2.11  Pro
        Rata Treatment and Payments.  (a)  Each borrowing by the Borrower
        from the Lenders hereunder, each payment by the Borrower on account of any
        commitment fee and any reduction of the Revolving Commitments of the Lenders
        shall be made pro rata according to the respective Revolving
        Percentages of the Lenders.

       

      (b)  Each
        payment (including each prepayment) by the Borrower on account of principal
        of
        and interest on the Revolving Loans shall be made pro rata
        according to the respective outstanding principal amounts of the Revolving
        Loans
        then held by the Lenders.

       

      (c)  All
        payments (including prepayments) to be made by the Borrower hereunder, whether
        on account of principal, interest, fees or otherwise, shall be made without
        setoff or counterclaim and shall be made prior to 12:00 Noon, New York City
        time, on the due date thereof to the Administrative Agent, for the account
        of
        the Lenders, at the Funding Office, in Dollars and in immediately available
        funds. The Administrative Agent shall distribute such payments to the Lenders
        promptly upon receipt in like funds as received. If any payment hereunder
        (other
        than payments on the Eurodollar Loans) becomes due and payable on a day other
        than a Business Day, such payment shall be extended to the next succeeding
        Business Day. If any payment on a Eurodollar Loan becomes due and payable
        on a
        day other than a Business Day, the maturity thereof shall be extended to
        the
        next succeeding Business Day unless the result of such extension would be
        to
        extend such payment into another calendar month, in which event such payment
        shall be made on the immediately preceding Business Day. In the case of any
        extension of any payment of principal pursuant to the preceding two sentences,
        interest thereon shall be payable at the then applicable rate during such
        extension.

       

      (d)  Unless
        the Administrative Agent shall have been notified in writing by any Lender
        prior
        to a borrowing that such Lender will not make the amount that would constitute
        its share of such borrowing available to the Administrative Agent, the
        Administrative Agent may assume that such Lender is making such amount available
        to the Administrative Agent, and the Administrative Agent may, in reliance
        upon
        such assumption, make available to the Borrower a corresponding amount. If
        such
        amount is not made available to the Administrative Agent by the required
        time on
        the Borrowing Date therefor, such Lender shall pay to the Administrative
        Agent,
        on demand, such amount with interest thereon, at a rate equal to the greater
        of
        (i) the Federal Funds Effective Rate and (ii) a rate determined by the
        Administrative Agent in accordance with banking industry rules on interbank
        compensation, for the period until such Lender makes such amount immediately
        available to the Administrative Agent. A certificate of the Administrative
        Agent
        submitted to any Lender with respect to any amounts owing under this paragraph
        shall be conclusive in the absence of manifest error. If such Lender’s share of
        such borrowing is not made available to the Administrative Agent by such
        Lender
        within three Business Days after such Borrowing Date, the Administrative
        Agent
        shall also be entitled to recover such amount with interest thereon at the
        rate
        per annum applicable to requested borrowing, on demand, from the
        Borrower.

       

      
        
          
          

        

        
          17

          
            

          

        

        
          
          

        

      

      (e)  Unless
        the Administrative Agent shall have been notified in writing by the Borrower
        prior to the date of any payment due to be made by the Borrower hereunder
        that
        the Borrower will not make such payment to the Administrative Agent, the
        Administrative Agent may assume that the Borrower is making such payment,
        and
        the Administrative Agent may, but shall not be required to, in reliance upon
        such assumption, make available to the Lenders their respective pro rata
        shares
        of a corresponding amount. If such payment is not made to the Administrative
        Agent by the Borrower within three Business Days after such due date, the
        Administrative Agent shall be entitled to recover, on demand, from each Lender
        to which any amount which was made available pursuant to the preceding sentence,
        such amount with interest thereon at the rate per annum equal to the daily
        average Federal Funds Effective Rate. Nothing herein shall be deemed to limit
        the rights of the Administrative Agent or any Lender against the
        Borrower.

       

      2.12  Requirements
        of Law.  (a)  If the adoption of or any change in any Requirement
        of Law or in the interpretation or application thereof or compliance by any
        Lender with any request or directive (whether or not having the force of
        law)
        from any central bank or other Governmental Authority made subsequent to
        the
        date hereof:

       

      (i)  shall
        subject any Lender to any tax of any kind whatsoever with respect to this
        Agreement, any Letter of Credit, any Application or any Eurodollar Loan made
        by
        it, or change the basis of taxation of payments to such Lender in respect
        thereof (except for Non-Excluded Taxes covered by Section 2.13 and changes
        in
        the rate of tax on the overall net income of such Lender);

       

      (ii)  shall
        impose, modify or hold applicable any reserve, special deposit, compulsory
        loan
        or similar requirement against assets held by, deposits or other liabilities
        in
        or for the account of, advances, loans or other extensions of credit by,
        or any
        other acquisition of funds by, any office of such Lender that is not otherwise
        included in the determination of the Eurodollar Rate; or

       

      (iii)  shall
        impose on such Lender any other condition;

       

      and
        the
        result of any of the foregoing is to increase the cost to such Lender, by
        an
        amount that such Lender deems to be material, of making, converting into,
        continuing or maintaining Eurodollar Loans or issuing or participating in
        Letters of Credit, or to reduce any amount receivable hereunder in respect
        thereof, then, in any such case, the Borrower shall promptly pay such Lender,
        upon its demand, any additional amounts necessary to compensate such Lender
        for
        such increased cost or reduced amount receivable. If any Lender becomes entitled
        to claim any additional amounts pursuant to this paragraph, it shall promptly
        notify the Borrower (with a copy to the Administrative Agent) of the event
        by
        reason of which it has become so entitled.

       

      
        
          
          

        

        
          18

          
            

          

        

        
          
          

        

      

      (b)  If
        any
        Lender shall have determined that the adoption of or any change in any
        Requirement of Law regarding capital adequacy or in the interpretation or
        application thereof or compliance by such Lender or any corporation controlling
        such Lender with any request or directive regarding capital adequacy (whether
        or
        not having the force of law) from any Governmental Authority made subsequent
        to
        the date hereof shall have the effect of reducing the rate of return on such
        Lender’s or such corporation’s capital as a consequence of its obligations
        hereunder or under or in respect of any Letter of Credit to a level below
        that
        which such Lender or such corporation could have achieved but for such adoption,
        change or compliance (taking into consideration such Lender’s or such
        corporation’s policies with respect to capital adequacy) by an amount deemed by
        such Lender to be material, then from time to time, after submission by such
        Lender to the Borrower (with a copy to the Administrative Agent) of a written
        request therefor, the Borrower shall pay to such Lender such additional amount
        or amounts as will compensate such Lender or such corporation for such
        reduction. 

       

      (c)  A
        certificate as to any additional amounts payable pursuant to this Section
        submitted by any Lender to the Borrower (with a copy to the Administrative
        Agent) shall be conclusive in the absence of manifest error; provided
        that
        such certificate (i) sets forth with reasonable specificity the calculation
        of
        the amount to be paid and (ii) states that such Lender is treating substantially
        all similarly situated borrowers in a manner that is consistent with the
        treatment afforded the Borrower. Notwithstanding anything to the contrary
        in
        this Section, the Borrower shall not be required to compensate a Lender pursuant
        to this Section for any amounts incurred more than six months prior to the
        date
        that such Lender notifies the Borrower of such Lender’s intention to claim
        compensation therefor; provided
        that, if
        the circumstances giving rise to such claim have a retroactive effect, then
        such
        six-month period shall be extended to include the period of such retroactive
        effect. The obligations of the Borrower pursuant to this Section shall survive
        the termination of this Agreement and the payment of the Revolving Loans
        and all
        other amounts payable hereunder.

       

      2.13  Taxes. 
        (a)  All payments made by the Borrower under this Agreement shall
        be made
        free and clear of, and without deduction or withholding for or on account
        of,
        any present or future income, stamp or other taxes, levies, imposts, duties,
        charges, fees, deductions or withholdings, now or hereafter imposed, levied,
        collected, withheld or assessed by any Governmental Authority, excluding
        net
        income taxes and franchise taxes (imposed in lieu of net income taxes) imposed
        on the Administrative Agent or any Lender as a result of a present or former
        connection between the Administrative Agent or such Lender and the jurisdiction
        of the Governmental Authority imposing such tax or any political subdivision
        or
        taxing authority thereof or therein (other than any such connection arising
        solely from the Administrative Agent or such Lender having executed, delivered
        or performed its obligations or received a payment under, or enforced, this
        Agreement or any other Loan Document). If any such non-excluded taxes, levies,
        imposts, duties, charges, fees, deductions or withholdings (“Non-Excluded
        Taxes”) or Other Taxes are required to be withheld from any amounts payable
        to the Administrative Agent or any Lender hereunder, the amounts so payable
        to
        the Administrative Agent or such Lender shall be increased to the extent
        necessary to yield to the Administrative Agent or such Lender (after payment
        of
        all Non-Excluded Taxes and Other Taxes) interest or any such other amounts
        payable hereunder at the rates or in the amounts specified in this Agreement,
        provided, however, that the Borrower shall not be required to
        increase any such amounts payable to any Lender with respect to any Non-Excluded
        Taxes or Other Taxes (i) that are attributable to such Lender’s failure to
        comply with the requirements of paragraph (d) or (e) of this Section or (ii)
        that are United States withholding taxes imposed on amounts payable to such
        Lender at the time such Lender becomes a party to this Agreement, except
        to the
        extent that such Lender’s assignor (if any) was entitled, at the time of
        assignment, to receive additional amounts from the Borrower with respect
        to such
        Non-Excluded Taxes pursuant to this paragraph.

       

      
        
          
          

        

        
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      (b) 
        In
        addition, the Borrower shall pay any Other Taxes to the relevant Governmental
        Authority in accordance with applicable law.

       

      (c)  Whenever
        any Non-Excluded Taxes or Other Taxes are payable by the Borrower, as promptly
        as possible thereafter the Borrower shall send to the Administrative Agent
        for
        its own account or for the account of the relevant Lender, as the case may
        be, a
        certified copy of an original official receipt received by the Borrower showing
        payment thereof. If the Borrower fails to pay any Non-Excluded Taxes or Other
        Taxes when due to the appropriate taxing authority or fails to remit to the
        Administrative Agent the required receipts or other required documentary
        evidence, the Borrower shall indemnify the Administrative Agent and the Lenders
        for any incremental taxes, interest or penalties that may become payable
        by the
        Administrative Agent or any Lender as a result of any such failure.

       

      (d)  Each
        Lender (or Transferee) that is not a “U.S. Person” as defined in Section
        7701(a)(30) of the Code (a “Non-U.S.
        Lender”)
        shall
        deliver to the Borrower and the Administrative Agent (or, in the case of
        a
        Participant, to the Lender from which the related participation shall have
        been
        purchased) two copies of either U.S. Internal Revenue Service Form W-8BEN
        or
        Form W-8ECI, or, in the case of a Non-U.S. Lender claiming exemption from
        U.S.
        federal withholding tax under Section 871(h) or 881(c) of the Code with respect
        to payments of “portfolio interest”, a statement substantially in the form of
        Exhibit D and a Form W-8BEN, or any subsequent versions thereof or successors
        thereto, properly completed and duly executed by such Non-U.S. Lender claiming
        complete exemption from, or a reduced rate of, U.S. federal withholding tax
        on
        all payments by the Borrower under this Agreement and the other Loan Documents.
        Such forms shall be delivered by each Non-U.S. Lender on or before the date
        it
        becomes a party to this Agreement (or, in the case of any Participant, on
        or
        before the date such Participant purchases the related participation). In
        addition, each Non-U.S. Lender shall deliver such forms promptly upon the
        obsolescence or invalidity of any form previously delivered by such Non-U.S.
        Lender. Each Non-U.S. Lender shall promptly notify the Borrower at any time
        it
        determines that it is no longer in a position to provide any previously
        delivered certificate to the Borrower (or any other form of certification
        adopted by the U.S. taxing authorities for such purpose). Notwithstanding
        any
        other provision of this paragraph, a Non-U.S. Lender shall not be required
        to
        deliver any form pursuant to this paragraph that such Non-U.S. Lender is
        not
        legally able to deliver.

       

      (e)  A
        Lender
        that is entitled to an exemption from or reduction of non-U.S. withholding
        tax
        under the law of the jurisdiction in which the Borrower is located, or any
        treaty to which such jurisdiction is a party, with respect to payments under
        this Agreement shall deliver to the Borrower (with a copy to the Administrative
        Agent), at the time or times prescribed by applicable law or reasonably
        requested by the Borrower, such properly completed and executed documentation
        prescribed by applicable law as will permit such payments to be made without
        withholding or at a reduced rate, provided
        that
        such Lender is legally entitled to complete, execute and deliver such
        documentation and in such Lender’s judgment such completion, execution or
        submission would not materially prejudice the legal position of such
        Lender.

       

      (f)  If
        the
        Administrative Agent or any Lender determines, in its sole discretion, that
        it
        has received a refund of any Non-Excluded Taxes or Other Taxes as to which
        it
        has been indemnified by the Borrower or with respect to which the Borrower
        has
        paid additional amounts pursuant to this Section 2.13, it shall pay over
        such
        refund to the Borrower (but only to the extent of indemnity payments made,
        or
        additional amounts paid, by the Borrower under this Section 2.13 with respect
        to
        the Non-Excluded Taxes or Other Taxes giving rise to such refund), net of
        all
        out-of-pocket expenses of the Administrative Agent or such Lender and without
        interest (other than any interest paid by the relevant Governmental Authority
        with respect to such refund); provided,
        that
        the Borrower, upon the request of the Administrative Agent or such Lender,
        agrees to repay the amount paid over to the Borrower to the Administrative
        Agent
        or such Lender in the event the Administrative Agent or such Lender is required
        to repay such refund to such Governmental Authority. This paragraph shall
        not be
        construed to require the Administrative Agent or any Lender to make available
        its tax returns (or any other information relating to its taxes which it
        deems
        confidential) to the Borrower or any other Person.

       

      
        
          
          

        

        
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      (g)  The
        agreements in this Section shall survive the termination of this Agreement
        and
        the payment of the Revolving Loans and all other amounts payable
        hereunder.

       

      
        2.14  Indemnity. 
          The Borrower agrees to indemnify each Lender for, and to hold each Lender
          harmless from, any loss or expense that such Lender may sustain or incur
          as a
          consequence of (a) default by the Borrower in making a borrowing
          of,
          conversion into or continuation of Eurodollar Loans after the Borrower
          has given
          a notice requesting the same in accordance with the provisions of this
          Agreement, (b) default by the Borrower in making any prepayment of or conversion
          from Eurodollar Loans after the Borrower has given a notice thereof in
          accordance with the provisions of this Agreement or (c) the making of a
          prepayment of Eurodollar Loans on a day that is not the last day of an
          Interest
          Period with respect thereto. Such indemnification may include an amount
          equal to
          the excess, if any, of (i) the amount of interest that would have accrued
          on the
          amount so prepaid, or not so borrowed, converted or continued, for the
          period
          from the date of such prepayment or of such failure to borrow, convert
          or
          continue to the last day of such Interest Period (or, in the case of a
          failure
          to borrow, convert or continue, the Interest Period that would have commenced
          on
          the date of such failure) in each case at the applicable rate of interest
          for
          such Revolving Loans provided for herein (excluding, however, the Applicable
          Margin included therein, if any) over (ii) the amount of interest (as
          reasonably determined by such Lender) that would have accrued to such Lender
          on
          such amount by placing such amount on deposit for a comparable period with
          leading banks in the interbank eurodollar market. A certificate as to any
          amounts payable pursuant to this Section submitted to the Borrower by any
          Lender
          shall be conclusive in the absence of manifest error. This covenant shall
          survive the termination of this Agreement and the payment of the Revolving
          Loans
          and all other amounts payable hereunder.

      

       

      2.15  Change
        of Lending Office.  Each Lender agrees that, upon the occurrence of any
        event giving rise to the operation of Section 2.12 or 2.13(a) with respect
        to
        such Lender, it will, if requested by the Borrower, use reasonable efforts
        (subject to overall policy considerations of such Lender) to designate another
        lending office for any Revolving Loans affected by such event with the object
        of
        avoiding the consequences of such event; provided, that such designation
        is made on terms that, in the sole judgment of such Lender, cause such Lender
        and its lending office(s) to suffer no economic, legal or regulatory
        disadvantage, and provided, further, that nothing in this Section
        shall affect or postpone any of the obligations of the Borrower or the rights
        of
        any Lender pursuant to Section 2.12 or 2.13(a).

       

      2.16  Replacement
        of Lenders.  The Borrower shall be permitted to replace any Lender that
        (a) requests reimbursement for amounts owing pursuant to Section 2.12 or
        2.13(a)
        or (b) defaults in its obligation to make Revolving Loans hereunder, with
        a
        replacement financial institution; provided that (i) such replacement
        does not conflict with any Requirement of Law, (ii) no Event of Default shall
        have occurred and be continuing at the time of such replacement, (iii) prior
        to
        any such replacement, such Lender shall have taken no action under Section
        2.15
        so as to eliminate the continued need for payment of amounts owing pursuant
        to
        Section 2.12 or 2.13(a), (iv) the replacement financial institution shall
        purchase, at par, all Revolving Loans and other amounts owing to such replaced
        Lender on or prior to the date of replacement, (v) the Borrower shall be
        liable
        to such replaced Lender under Section 2.14 if any Eurodollar Loan owing to
        such
        replaced Lender shall be purchased other than on the last day of the Interest
        Period relating thereto, (vi) the replacement financial institution, if not
        already a Lender, shall be reasonably satisfactory to the Administrative
        Agent,
        (vii) the replaced Lender shall be obligated to make such replacement in
        accordance with the provisions of Section 10.6 (provided that the
        Borrower or such replacement financial institution shall be obligated to
        pay the
        registration and processing fee referred to therein), (viii) until such time
        as
        such replacement shall be consummated, the Borrower shall pay all additional
        amounts (if any) required pursuant to Section 2.12 or 2.13(a), as the case
        may
        be, and (ix) any such replacement shall not be deemed to be a waiver
        of any
        rights that the Borrower, the Administrative Agent or any other Lender shall
        have against the replaced Lender. 

       

      
        
          
          

        

        
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      2.17  Extension
        of Revolving Termination Date.  (a)  The Borrower may, by written
        notice to the Administrative Agent in the form of Exhibit E-1 (the "Extension
        Request") given not less than 60 days and not more than 90 days prior to the
        then-applicable Revolving Termination Date, request that the then-applicable
        Revolving Termination Date be extended to the date that is 364 days after
        the
        then-applicable Revolving Termination Date (or if such date is not a Business
        Day, to the Business Day immediately preceding such date). Such extension
        shall
        be effective with respect to each Lender that, by a written notice in the
        form
        of Exhibit E-2 (a "Continuation Notice") to the Administrative Agent
        given no later than 30 days prior to the then-applicable Revolving Termination
        Date, consents, in its sole discretion, to such extension (each Lender giving
        a
        Continuation Notice being referred to herein as a "Continuing Lender" and
        each Lender other than a Continuing Lender being referred to herein as a
        "Non-Extending Lender"), provided that (i) in connection with any
        such extension with respect to which JPMorgan Chase Bank, N.A. is a Continuing
        Lender, JPMorgan Chase Bank, N.A. agrees to increase its then existing Revolving
        Commitment by an amount equal to the Revolving Commitment of any Non-Extending
        Lender, effective as of the Revolving Termination Date in effect prior to
        the
        delivery of the related Extension Request, (ii) any Lender that fails to
        submit
        a Continuation Notice at least 30 days prior to the then-applicable Revolving
        Termination Date shall be deemed not to have consented to such extension
        and
        shall constitute a Non-Extending Lender and (iii) the Borrower may give only
        one
        Extension Request during each 364-day period during the term of this Agreement.
        No Lender shall have any obligation to consent to any extension of the Revolving
        Termination Date. The Administrative Agent shall notify each Lender of the
        receipt of an Extension Request promptly after receipt thereof. The
        Administrative Agent shall notify the Borrower and the Lenders no later than
        25
        days prior to the then-applicable Revolving Termination Date whether the
        Administrative Agent has received Continuation Notices from Lenders holding
        Revolving Commitments aggregating at least 66-2/3% of the Total Revolving
        Commitments on the date of the Extension Request. 

       

      (b)
        The
        Revolving Commitment of each Non-Extending Lender shall terminate at the
        close
        of business on the Revolving Termination Date in effect prior to the delivery
        of
        such Extension Request without giving any effect to such proposed extension.
        In
        accordance with Section 2.1(b), on such Revolving Termination Date, the Borrower
        shall pay to the Administrative Agent, for the account of each Non-Extending
        Lender, an amount equal to such Non-Extending Lender’s Revolving Loans, together
        with accrued but unpaid interest and fees thereon and all other amounts then
        payable hereunder to such Non-Extending Lender. 

       

      (c)
        The
        Borrower will not be obligated to pay a fee in excess of 0.10% of the Total
        Revolving Commitments on the date of the Extension Request to obtain the
        first
        extension pursuant to Section 2.17(a).

       

      
        SECTION
          3.  LETTERS
          OF CREDIT

      

       

      3.1  L/C
        Commitment.  (a)  Subject to the terms and conditions hereof, the
        Issuing Lender, in reliance on the agreements of the other Lenders set forth
        in
        Section 3.4(a), agrees to issue letters of credit (“Letters of Credit”)
        for the account of the Borrower on any Business Day during the Revolving
        Commitment Period in such form as may be approved from time to time by the
        Issuing Lender; provided that the Issuing Lender shall have no obligation
        to issue any Letter of Credit if, after giving effect to such issuance, (i)
        the
        L/C Obligations would exceed the L/C Commitment or (ii) the aggregate amount
        of
        the Available Revolving Commitments of all Revolving Lenders would be less
        than
        zero. Each Letter of Credit shall (i) be denominated in Dollars and (ii)
        expire
        no later than the date that is five Business Days prior to the Revolving
        Termination Date, provided that the Issuing Lender and the Borrower may
        agree to extend the maturity of any Letter of Credit beyond the Revolving
        Termination Date upon mutually acceptable terms (including, without limitation,
        full cash collateralization).

       

      
        
          
          

        

        
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      (b)  The
        Issuing Lender shall not at any time be obligated to issue any Letter of
        Credit
        if such issuance would conflict with, or cause the Issuing Lender or any
        L/C
        Participant to exceed any limits imposed by, any applicable Requirement of
        Law.

       

      3.2  Procedure
        for Issuance of Letter of Credit.
         The Borrower may from time to time request that the Issuing Lender
        issue a
        Letter of Credit by delivering to the Issuing Lender at its address for notices
        specified herein an Application therefor, completed to the satisfaction of
        the
        Issuing Lender, and such other customary certificates, documents and other
        papers and information, if any, as the Issuing Lender may request. Upon receipt
        of any Application, the Issuing Lender will process such Application and
        the
        certificates, documents and other papers and information delivered to it
        in
        connection therewith in accordance with its customary procedures and shall
        promptly issue the Letter of Credit requested thereby (but in no event shall
        the
        Issuing Lender be required to issue any Letter of Credit earlier than three
        Business Days after its receipt of the Application therefor and all such
        other
        certificates, documents and other papers and information relating thereto)
        by
        issuing the original of such Letter of Credit to the beneficiary thereof
        or as
        otherwise may be agreed to by the Issuing Lender and the Borrower. The Issuing
        Lender shall furnish a copy of such Letter of Credit to the Borrower promptly
        following the issuance thereof. The Issuing Lender shall promptly furnish
        to the
        Administrative Agent, which shall in turn promptly furnish to the Lenders,
        notice of the issuance of each Letter of Credit (including the amount
        thereof).

       

      3.3  Fees
        and Other Charges.  (a) The Borrower will pay a fee on all outstanding
        Letters of Credit at a per annum rate equal to the Applicable Margin then
        in
        effect with respect to Eurodollar Loans, shared ratably among the Lenders
        and
        payable quarterly in arrears on each Fee Payment Date after the issuance
        date.

       

      (b)
          
        In
        addition to the foregoing fees, the Borrower shall pay or reimburse the Issuing
        Lender for such normal and customary costs and expenses as are incurred or
        charged by the Issuing Lender in issuing, negotiating, effecting payment
        under,
        amending or otherwise administering any Letter of Credit.

       

      3.4  L/C
        Participations.  (a)  The Issuing Lender irrevocably agrees to
        grant and hereby grants to each L/C Participant, and, to induce the Issuing
        Lender to issue Letters of Credit, each L/C Participant irrevocably agrees
        to
        accept and purchase and hereby accepts and purchases from the Issuing Lender,
        on
        the terms and conditions set forth below, for such L/C Participant’s own account
        and risk an undivided interest equal to such L/C Participant’s Revolving
        Percentage in the Issuing Lender’s obligations and rights under and in respect
        of each Letter of Credit and the amount of each draft paid by the Issuing
        Lender
        thereunder. Each L/C Participant agrees with the Issuing Lender that, if
        a draft
        is paid under any Letter of Credit for which the Issuing Lender is not
        reimbursed in full by the Borrower in accordance with the terms of this
        Agreement, such L/C Participant shall pay to the Issuing Lender upon demand
        at
        the Issuing Lender’s address for notices specified herein an amount equal to
        such L/C Participant’s Revolving Percentage of the amount of such draft, or any
        part thereof, that is not so reimbursed. Each L/C Participant’s obligation to
        pay such amount shall be absolute and unconditional and shall not be affected
        by
        any circumstance, including (i) any setoff, counterclaim, recoupment, defense
        or
        other right that such L/C Participant may have against the Issuing Lender,
        the
        Borrower or any other Person for any reason whatsoever, (ii) the occurrence
        or
        continuance of a Default or an Event of Default or the failure to satisfy
        any of
        the other conditions specified in Section 5, (iii) any adverse change in
        the
        condition (financial or otherwise) of the Borrower, (iv) any breach of this
        Agreement or any other Loan Document by the Borrower, any other Loan Party
        or
        any other L/C Participant or (v) any other circumstance, happening or event
        whatsoever, whether or not similar to any of the foregoing

       

      
        
          
          

        

        
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      (b)  If
        any
        amount required to be paid by any L/C Participant to the Issuing Lender pursuant
        to Section 3.4(a) in respect of any unreimbursed portion of any payment made
        by
        the Issuing Lender under any Letter of Credit is paid to the Issuing Lender
        within three Business Days after the date such payment is due, such L/C
        Participant shall pay to the Issuing Lender on demand an amount equal to
        the
        product of (i) such amount, times (ii) the daily average Federal Funds Effective
        Rate during the period from and including the date such payment is required
        to
        the date on which such payment is immediately available to the Issuing Lender,
        times (iii) a fraction the numerator of which is the number of days that
        elapse
        during such period and the denominator of which is 360. If any such amount
        required to be paid by any L/C Participant pursuant to Section 3.4(a) is
        not
        made available to the Issuing Lender by such L/C Participant within three
        Business Days after the date such payment is due, the Issuing Lender shall
        be
        entitled to recover from such L/C Participant, on demand, such amount with
        interest thereon calculated from such due date at the rate per annum applicable
        to ABR Loans. A certificate of the Issuing Lender submitted to any L/C
        Participant with respect to any amounts owing under this Section shall be
        conclusive in the absence of manifest error.

       

      (c)  Whenever,
        at any time after the Issuing Lender has made payment under any Letter of
        Credit
        and has received from any L/C Participant its pro rata
        share of
        such payment in accordance with Section 3.4(a), the Issuing Lender receives
        any
        payment related to such Letter of Credit (whether directly from the Borrower
        or
        otherwise, including proceeds of collateral applied thereto by the Issuing
        Lender), or any payment of interest on account thereof, the Issuing Lender
        will
        distribute to such L/C Participant its pro rata
        share
        thereof; provided,
        however,
        that in
        the event that any such payment received by the Issuing Lender shall be required
        to be returned by the Issuing Lender, such L/C Participant shall return to
        the
        Issuing Lender the portion thereof previously distributed by the Issuing
        Lender
        to it.

       

      3.5  Reimbursement
        Obligation of the Borrower. If any draft is paid under any Letter of Credit,
        the Borrower shall reimburse the Issuing Lender for the amount of (a) the
        draft
        so paid and (b) any taxes, fees, charges or other costs or expenses incurred
        by
        the Issuing Lender in connection with such payment, not later than 12:00
        Noon,
        New York City time, on (i) the Business Day that the Borrower receives notice
        of
        such draft, if such notice is received on such day prior to 10:00 A.M., New
        York
        City time, or (ii) if clause (i) above does not apply, the Business Day
        immediately following the day that the Borrower receives such notice. Each
        such
        payment shall be made to the Issuing Lender at its address for notices referred
        to herein in Dollars and in immediately available funds. Interest shall be
        payable on any such amounts from the date on which the relevant draft is
        paid
        until payment in full at the rate set forth in (x) until the Business Day
        next
        succeeding the date of the relevant notice, Section 2.8(b) and (y) thereafter,
        Section 2.8(c).

       

      3.6  Obligations
        Absolute. The Borrower’s obligations under this Section 3 shall be absolute
        and unconditional under any and all circumstances and irrespective of any
        setoff, counterclaim or defense to payment that the Borrower may have or
        have
        had against the Issuing Lender, any beneficiary of a Letter of Credit or
        any
        other Person. The Borrower also agrees with the Issuing Lender that the Issuing
        Lender shall not be responsible for, and the Borrower’s Reimbursement
        Obligations under Section 3.5 shall not be affected by, among other things,
        the
        validity or genuineness of documents (except to the extent provided in Section
        3.7) or of any endorsements thereon, even though such documents shall in
        fact
        prove to be invalid, fraudulent or forged, or any dispute between or among
        the
        Borrower and any beneficiary of any Letter of Credit or any other party to
        which
        such Letter of Credit may be transferred or any claims whatsoever of the
        Borrower against any beneficiary of such Letter of Credit or any such
        transferee. The Issuing Lender shall not be liable for any error, omission,
        interruption or delay in transmission, dispatch or delivery of any message
        or
        advice, however transmitted, in connection with any Letter of Credit, except
        for
        errors or omissions found by a final and nonappealable decision of a court
        of
        competent jurisdiction to have resulted from the gross negligence or willful
        misconduct of the Issuing Lender. The Borrower agrees that any action taken
        or
        omitted by the Issuing Lender under or in connection with any Letter of Credit
        or the related drafts or documents, if done in the absence of gross negligence
        or willful misconduct, shall be binding on the Borrower and shall not result
        in
        any liability of the Issuing Lender to the Borrower.

       

      
        
          
          

        

        
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      3.7  Letter
        of Credit Payments.  If any draft shall be presented for payment under
        any Letter of Credit, the Issuing Lender shall promptly notify the Borrower
        of
        the date and amount thereof. The responsibility of the Issuing Lender to
        the
        Borrower in connection with any draft presented for payment under any Letter
        of
        Credit shall, in addition to any payment obligation expressly provided for
        in
        such Letter of Credit, be limited to determining that the documents (including
        each draft) delivered under such Letter of Credit in connection with such
        presentment are substantially in conformity with such Letter of
        Credit.

       

      3.8  Applications. 
        To the extent that any provision of any Application related to any Letter
        of
        Credit is inconsistent with the provisions of this Section 3, the provisions
        of
        this Section 3 shall apply.

       

      SECTION
        4.  REPRESENTATIONS
        AND WARRANTIES

       

      To
        induce
        the Administrative Agent and the Lenders to enter into this Agreement and
        to
        make the Revolving Loans and issue or participate in the Letters of Credit,
        the
        Borrower hereby represents and warrants to the Administrative Agent and each
        Lender that:

       

      4.1  Financial
        Condition.  The audited consolidated balance sheets of the Borrower as
        at October 31, 2002 (as restated), October 31, 2003 and October 31, 2004,
        and
        the related consolidated statements of income and of cash flows for the fiscal
        years ended on such dates, reported on by and accompanied by an unqualified
        report from PricewaterhouseCoopers LLP, present fairly the consolidated
        financial condition of the Borrower as at such date, and the consolidated
        results of its operations and its consolidated cash flows for the respective
        fiscal years then ended. The unaudited consolidated balance sheet of the
        Borrower as at April 30, 2005, and the related unaudited consolidated statements
        of income and cash flows for the six-month period ended on such date, present
        fairly the consolidated financial condition of the Borrower as at such date,
        and
        the consolidated results of its operations and its consolidated cash flows
        for
        the six-month period then ended (subject to normal year-end audit adjustments
        and the absence of footnotes). All such financial statements, including the
        related schedules and notes thereto, have been prepared in accordance with
        GAAP
        applied consistently throughout the periods involved (except as approved
        by the
        aforementioned firm of accountants and disclosed therein). No Group Member
        has
        any Guarantee Obligations, contingent liabilities and liabilities for taxes,
        or
        any long-term leases or unusual forward or long-term commitments, including
        any
        interest rate or foreign currency swap or exchange transaction or other
        obligation in respect of derivatives, that are not reflected in the most
        recent
        Form 10-K filed with the SEC for the 2004 fiscal year, except for those that
        could not reasonably be expected to have a Material Adverse Effect. During
        the
        period from October 31, 2004 to and including the date hereof there has been
        no
        Disposition by any Group Member of any part of its business or property,
        except
        for those Dispositions that could not reasonably be expected to have a Material
        Adverse Effect. 

       

      4.2  No
        Change.  Since October 31, 2004, there has been no development or event
        that has had or could reasonably be expected to have a Material Adverse Effect
        which has not been disclosed in a filing with the SEC prior to the Closing
        Date.

       

      
        
          
          

        

        
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      4.3  Existence;
        Compliance with Law. Each Group Member (a) is duly organized, validly
        existing and in good standing under the laws of the jurisdiction of its
        organization, except with respect to any Subsidiary that the Borrower intends
        to
        dissolve as permitted by Section 7.4(d) or as set forth in Schedule 4.3 hereto,
        (b) has the power and authority, and the legal right, to own and operate
        its
        property, to lease the property it operates as lessee and to conduct the
        business in which it is currently engaged, (c) is duly qualified as a foreign
        corporation or other organization and in good standing under the laws of
        each
        jurisdiction where its ownership, lease or operation of property or the conduct
        of its business requires such qualification except to the extent the failure
        to
        be so qualified could not reasonably be expected to have a Material Adverse
        Effect and (d) is in compliance with all Requirements of Law except to the
        extent that the failure to comply therewith could not, in the aggregate,
        reasonably be expected to have a Material Adverse Effect.

       

      4.4  Power;
        Authorization; Enforceable Obligations.  Each Loan Party has the power
        and authority, and the legal right, to make, deliver and perform the Loan
        Documents to which it is a party and, in the case of the Borrower, to obtain
        extensions of credit hereunder. Each Loan Party has taken all necessary
        organizational action to authorize the execution, delivery and performance
        of
        the Loan Documents to which it is a party and, in the case of the Borrower,
        to
        authorize the extensions of credit on the terms and conditions of this
        Agreement. No consent or authorization of, filing with, notice to or other
        act
        by or in respect of, any Governmental Authority or any other Person is required
        in connection with the extensions of credit hereunder or with the execution,
        delivery, performance, validity or enforceability of this Agreement or any
        of
        the Loan Documents, except (i) consents, authorizations, filings and notices
        described in Schedule 4.4, which consents, authorizations, filings and notices
        have been obtained or made and are in full force and effect, (ii) the filings
        referred to in Section 4.19 and (iii) such consents, authorizations, filings
        and
        notices the failure to have obtained or made could not reasonably be expected
        to
        have a Material Adverse Effect. Each Loan Document has been duly executed
        and
        delivered on behalf of each Loan Party party thereto. This Agreement
        constitutes, and each other Loan Document upon execution will constitute,
        a
        legal, valid and binding obligation of each Loan Party party thereto,
        enforceable against each such Loan Party in accordance with its terms, except
        as
        enforceability may be limited by applicable bankruptcy, insolvency,
        reorganization, moratorium or similar laws affecting the enforcement of
        creditors’ rights generally and by general equitable principles (whether
        enforcement is sought by proceedings in equity or at law).

       

      4.5  No
        Legal Bar.  The execution, delivery and performance of this Agreement
        and the other Loan Documents, the issuance of Letters of Credit, the borrowings
        hereunder and the use of the proceeds thereof will not violate any Requirement
        of Law or any Contractual Obligation of any Group Member (except those
        violations (i) as to which waivers and consents have been obtained and (ii)
        which could not reasonably be expected to have a Material Adverse Effect)
        and
        will not result in, or require, the creation or imposition of any Lien on
        any of
        their respective properties or revenues pursuant to any Requirement of Law
        or
        any such Contractual Obligation (other than the Liens created by the Security
        Documents).

       

      4.6  Litigation. 
        Except as described in any filing with the SEC prior to the Closing Date
        or as
        set forth on Schedule 4.6, no litigation, investigation or proceeding of
        or
        before any arbitrator or Governmental Authority is pending or, to the knowledge
        of the Borrower, threatened by or against any Group Member or against any
        of
        their respective properties or revenues (a) with respect to any of the Loan
        Documents or any of the transactions contemplated hereby or thereby, or (b)
        that
        could reasonably be expected to have a Material Adverse Effect.

       

      4.7  No
        Default.  No Group Member is in default under or with respect to any
        of
        its Contractual Obligations in any respect that could reasonably be expected
        to
        have a Material Adverse Effect. No Default or Event of Default has occurred
        and
        is continuing.

       

      
        
          
          

        

        
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      4.8  Ownership
        of Property; Liens.  Each Group Member has title in fee simple to, or a
        valid leasehold interest in, all its real property, and good title to, or
        a
        valid leasehold interest in, all its other property, and none of such property
        is subject to any Lien except as permitted by Section 7.3.

       

      4.9  Intellectual
        Property.  Each Group Member owns, or is licensed to use, all
        Intellectual Property necessary for the conduct of its business as currently
        conducted. No claim has been asserted and is pending by any Person challenging
        or questioning the use of any Intellectual Property or the validity or
        effectiveness of any Intellectual Property, except for such claims that could
        not, in the aggregate, reasonably be expected to have a Material Adverse
        Effect,
        nor does the Borrower know of any valid basis for any such claim. The use
        of
        Intellectual Property by each Group Member does not infringe on the rights
        of
        any Person, except to the extent such infringements could not, in the aggregate,
        reasonably be expected to have a Material Adverse Effect.

       

      4.10  Taxes. 
        Each Group Member has filed or caused to be filed all Federal, state and
        other
        material tax returns that are required to be filed and has paid all taxes
        shown
        to be due and payable on said returns or on any assessments made against
        it or
        any of its property and all other taxes, fees or other charges imposed on
        it or
        any of its property by any Governmental Authority (other than any the amount
        or
        validity of which are currently being contested in good faith by appropriate
        proceedings and with respect to which reserves in conformity with GAAP have
        been
        provided on the books of the relevant Group Member); no tax Lien has been
        filed,
        and, to the knowledge of the Borrower, no claim is being asserted, with respect
        to any such tax, fee or other charge that could reasonably be expected to
        have a
        Material Adverse Effect.

       

      4.11  Federal
        Regulations.  No part of the proceeds of any Revolving Loan, and no
        other extensions of credit hereunder, will be used (a) for “buying” or
“carrying” any “margin stock” within the respective meanings of each of the
        quoted terms under Regulation U as now and from time to time hereafter in
        effect
        or (b) for any purpose that violates the provisions of the Regulations of
        the
        Board. If requested by any Lender or the Administrative Agent, the Borrower
        will
        furnish to the Administrative Agent and each Lender a statement to the foregoing
        effect in conformity with the requirements of FR Form G-3 or FR Form U-1,
        as
        applicable, referred to in Regulation U.

       

      4.12  Labor
        Matters.  Except as, in the aggregate, could not reasonably be expected
        to have a Material Adverse Effect or as otherwise described in any filing
        with
        the SEC prior to the Closing Date or set forth on Schedule 4.12: (a) there
        are
        no strikes or other labor disputes against any Group Member pending or, to
        the
        knowledge of the Borrower, threatened; (b) hours worked by and payment made
        to
        employees of each Group Member have not been in violation of the Fair Labor
        Standards Act or any other applicable Requirement of Law dealing with such
        matters; and (c) all payments due from any Group Member on account of employee
        health and welfare insurance have been paid or accrued as a liability on
        the
        books of the relevant Group Member. 

       

      4.13  ERISA. 
        Neither a Reportable Event nor an “accumulated funding deficiency” (within the
        meaning of Section 412 of the Code or Section 302 of ERISA) has occurred
        during the five-year period prior to the date on which this representation
        is
        made or deemed made with respect to any Plan, except those which could not
        reasonably be expected to have a Material Adverse Effect, and each Plan has
        complied with the applicable provisions of ERISA and the Code except to the
        extent that the failure to so comply could not reasonably be expected to
        have a
        Material Adverse Effect. No termination of a Single Employer Plan has occurred,
        and no Lien in favor of the PBGC or a Plan has arisen, during such five-year
        period. The present value of all accrued benefits under each Single Employer
        Plan (based on those assumptions used to fund such Plans) did not, as of
        the
        last annual valuation date prior to the date on which this representation
        is
        made or deemed made, exceed the value of the assets of such Plan allocable
        to
        such accrued benefits by a material amount. Neither the Borrower nor any
        Commonly Controlled Entity has had a complete or partial withdrawal from
        any
        Multiemployer Plan that has resulted or could reasonably be expected to result
        in a material liability under ERISA, and neither the Borrower nor any Commonly
        Controlled Entity would become subject to any material liability under ERISA
        if
        the Borrower or any such Commonly Controlled Entity were to withdraw completely
        from all Multiemployer Plans as of the valuation date most closely preceding
        the
        date on which this representation is made or deemed made. No such Multiemployer
        Plan is in Reorganization or Insolvent.

       

      
        
          
          

        

        
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      4.14  Investment
        Company Act; Other Regulations.  No Loan Party is an “investment
        company”, or a company “controlled” by an “investment company”, within the
        meaning of the Investment Company Act of 1940, as amended. No Loan Party
        is
        subject to regulation under any Requirement of Law (other than Regulation
        X of
        the Board) that limits its ability to incur Indebtedness.

       

      4.15  Significant
        Subsidiaries.  Except as disclosed to the Administrative Agent by the
        Borrower in writing from time to time after the Closing Date, (i) Schedule
        4.15
        sets forth the name and jurisdiction of incorporation of each Significant
        Subsidiary and, as to each such Significant Subsidiary, the percentage of
        each
        class of Capital Stock owned by any Loan Party and (ii) there are no outstanding
        subscriptions, options, warrants, calls, rights or other agreements or
        commitments (other than stock options granted to employees or directors and
        directors’ qualifying shares) of any nature relating to any Capital Stock of any
        Significant Subsidiary, except as created by the Loan Documents. 

       

      4.16  Use
        of Proceeds. The proceeds of the Revolving Loans and the Letters of Credit,
        shall be used to finance the working capital needs and general corporate
        purposes (including acquisitions and to effect the Refinancing) of the Borrower
        and its Subsidiaries.

       

      4.17  Environmental
        Matters.  Except as, in the aggregate, could not reasonably be expected
        to have a Material Adverse Effect:

       

      (a)  to
        the
        knowledge of the Group Members, the facilities and properties owned, leased
        or
        operated by any Group Member (the “Properties”)
        do not
        contain, and have not previously contained, any Materials of Environmental
        Concern in amounts or concentrations or under circumstances that constitute
        or
        constituted a violation of, or could give rise to liability under, any
        Environmental Law;

       

      (b)  no
        Group
        Member has received or is aware of any notice of violation, alleged violation,
        non-compliance, liability or potential liability regarding environmental
        matters
        or compliance with Environmental Laws with regard to any of the Properties
        or
        the business operated by any Group Member (the “Business”),
        nor
        does the Borrower have knowledge or reason to believe that any such notice
        will
        be received or is being threatened;

       

      (c)  to
        the
        knowledge of the Group Members, Materials of Environmental Concern have not
        been
        transported or disposed of from the Properties in violation of, or in a manner
        or to a location that could give rise to liability under, any Environmental
        Law,
        nor have any Materials of Environmental Concern been generated, treated,
        stored
        or disposed of at, on or under any of the Properties in violation of, or
        in a
        manner that could give rise to liability under, any applicable Environmental
        Law;

       

      (d)  no
        judicial proceeding or governmental or administrative action is pending or,
        to
        the knowledge of the Borrower, threatened, under any Environmental Law to
        which
        any Group Member is or will be named as a party with respect to the Properties
        or the Business, nor are there any consent decrees or other decrees, consent
        orders, administrative orders or other orders, or other administrative or
        judicial requirements outstanding under any Environmental Law with respect
        to
        the Properties or the Business;

       

      
        
          
          

        

        
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      (e)  to
        the
        knowledge of the Group Members, there has been no release or threat of release
        of Materials of Environmental Concern at or from the Properties, or arising
        from
        or related to the operations of any Group Member in connection with the
        Properties or otherwise in connection with the Business, in violation of
        or in
        amounts or in a manner that could give rise to liability under Environmental
        Laws; 

       

      (f)  to
        the
        knowledge of the Group Members, the Properties and all operations at the
        Properties are in compliance, and have in the last five years been in
        compliance, with all applicable Environmental Laws, and there is no
        contamination at, under or about the Properties or violation of any
        Environmental Law with respect to the Properties or the Business;
        and

       

      (g)  no
        Group
        Member has assumed any liability of any other Person under Environmental
        Laws.

       

      4.18  Accuracy
        of Information, etc.  Subject to the next succeeding sentence, no
        written statement or information contained in this Agreement, any other Loan
        Document or any other written document, certificate or statement furnished
        by or
        on behalf of any Loan Party to the Administrative Agent or the Lenders, or
        any
        of them, for use in connection with the transactions contemplated by this
        Agreement or the other Loan Documents, contained as of the date such statement,
        information, document or certificate was so furnished, any untrue statement
        of a
        material fact or omitted to state a material fact necessary to make the
        statements contained herein or therein, in the light of the circumstances
        in
        which they were made, not misleading. The projections and
pro forma financial information contained in the materials
        referenced above are based upon good faith estimates and assumptions believed
        by
        management of the Borrower to be reasonable at the time made, it being
        recognized by the Lenders that such financial information as it relates to
        future events is not to be viewed as fact and that actual results during
        the
        period or periods covered by such financial information may differ from the
        projected results set forth therein by a material amount.

       

      4.19  Security
        Documents.  The Guarantee and Collateral Agreement is effective to
        create in favor of the Administrative Agent, for the benefit of the Lenders,
        a
        legal, valid and enforceable security interest in the Collateral described
        therein and proceeds thereof. In the case of the Pledged Stock described
        in the
        Guarantee and Collateral Agreement, when stock certificates representing
        such
        Pledged Stock are delivered to the Administrative Agent, together with undated
        stock powers, in blank, executed and delivered by a duly authorized officer
        of
        the relevant Group Member, and in the case of the other Collateral described
        in
        the Guarantee and Collateral Agreement, when financing statements and other
        filings specified on Schedule 4.19 in appropriate form are filed in the offices
        specified on Schedule 4.19, the Lien of the Administrative Agent created
        by
        the Guarantee and Collateral Agreement shall constitute a fully perfected
        Lien
        on, and first priority security interest in, all right, title and interest
        of
        the Loan Parties in such Collateral and the proceeds thereof, as security
        for
        the Obligations (as defined in the Guarantee and Collateral Agreement), in
        each
        case prior and superior in right to any other Person (except, in the case
        of
        Collateral other than Pledged Stock, Liens permitted by Section
        7.3).

       

      4.20  Solvency. 
        Each Loan Party is, and after giving effect to the incurrence of all
        Indebtedness and obligations being incurred in connection herewith will be
        and
        will continue to be, Solvent.

      
SECTION
        5.  CONDITIONS
        PRECEDENT

       

      5.1  Conditions
        to Initial Extension of Credit.  The agreement of each Lender to make
        the initial extension of credit requested to be made by it is subject to
        the
        satisfaction, prior to or concurrently with the making of such extension
        of
        credit on the Closing Date, of the following conditions precedent:

       

      
        
          
          

        

        
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      (a) Credit
        Agreement; Guarantee and Collateral Agreement. 
        The Administrative Agent shall have received (i) this Agreement, executed
        and delivered by the Administrative Agent and the Borrower, (ii) the Guarantee
        and Collateral Agreement, executed and delivered by the Borrower and each
        Subsidiary Guarantor and (iii) an Acknowledgement and Consent in the form
        attached to the Guarantee and Collateral Agreement, executed and delivered
        by
        each Issuer (as defined therein), if any, that is not a Loan Party.

       

      (b) Refinancing. 
        The Refinancing shall have been consummated in accordance with applicable
        law
        and on satisfactory terms.

       

      (c) Financial
        Statements. 
        The Lenders shall have received (i) satisfactory audited consolidated financial
        statements of the Borrower for the October 31, 2002, 2003 and 2004 fiscal
        years
        and (ii) satisfactory unaudited interim consolidated financial statements
        of the
        Borrower for each fiscal quarter ended after the date of the latest applicable
        financial statements delivered pursuant to clause (i) of this paragraph as
        to
        which such financial statements are available.

       

      (d) Projections. 
        The Lenders shall have received satisfactory projections through
        2006.

       

      (e) Approvals. 
        All governmental and third party approvals, if any, necessary in connection
        with
        the Refinancing, the continuing operations of the Group Members and the
        transactions contemplated hereby shall have been obtained and be in full
        force
        and effect. 

       

      (f) Lien
        Searches. 
        The Administrative Agent shall have received the results of a recent lien
        search
        in each relevant jurisdiction with respect to the Loan Parties, and such
        search
        shall reveal no liens on any of the assets of the Loan Parties except for
        liens
        permitted by Section 7.3 or discharged on or prior to the Closing Date pursuant
        to documentation satisfactory to the Administrative Agent.

       

      (g) Fees. 
        The Lenders and the Administrative Agent shall have received all fees required
        to be paid, and all expenses for which invoices have been presented (including
        the reasonable fees and expenses of legal counsel), on or before the Closing
        Date. All such amounts will be paid with proceeds of Revolving Loans made
        on the
        Closing Date and will be reflected in the funding instructions given by the
        Borrower to the Administrative Agent on or before the Closing Date.

       

      (h) Closing
        Certificate; Certified Certificate of Incorporation; Good Standing
        Certificates. 
        The Administrative Agent shall have received (i) a certificate of each Loan
        Party, dated the Closing Date, substantially in the form of Exhibit B, with
        appropriate insertions and attachments, including the certificate of
        incorporation of each Loan Party that is a corporation certified by the relevant
        authority of the jurisdiction of organization of such Loan Party, and (ii)
        a
        long form good standing certificate for each Loan Party from its jurisdiction
        of
        organization.

       

      (i) Legal
        Opinions.
        The
        Administrative Agent shall have received the executed legal opinion of Blank
        Rome LLP, counsel to the Loan Parties. Such legal opinion shall cover such
        other
        matters incident to the transactions contemplated by this Agreement as the
        Administrative Agent may reasonably require.

       

      (j)  Pledged
        Stock; Stock Powers; Pledged Notes. 
        The Administrative Agent shall have received (i) the certificates representing
        the shares of Capital Stock pledged pursuant to the Guarantee and Collateral
        Agreement, together with an undated stock power for each such certificate
        executed in blank by a duly authorized officer of the pledgor thereof and
        (ii)
        each promissory note (if any) pledged to the Administrative Agent pursuant
        to
        the Guarantee and Collateral Agreement endorsed (without recourse) in blank
        (or
        accompanied by an executed transfer form in blank) by the pledgor thereof.
        

       

      
        
          
          

        

        
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      (k) Filings,
        Registrations and Recordings. 
        Each document (including any Uniform Commercial Code financing
        statement) required by the Security Documents or under law or reasonably
        requested by the Administrative Agent to be filed, registered or recorded
        in
        order to create in favor of the Administrative Agent, for the benefit of
        the
        Lenders, a perfected Lien on the Collateral described therein, prior and
        superior in right to any other Person (other than with respect to Liens
        expressly permitted by Section 7.3), shall be in proper form for filing,
        registration or recordation.

       

      (l) Insurance. 
        The Administrative Agent shall have received insurance certificates satisfying
        the requirements of Section 5.2(b) of the Guarantee and Collateral
        Agreement.

       

      5.2  Conditions
        to Each Extension of Credit. The agreement of each Lender to make any
        extension of credit requested to be made by it on any date (including its
        initial extension of credit) is subject to the satisfaction of the following
        conditions precedent:

       

      (a) Representations
        and Warranties. 
        Each of the representations and warranties made by any Loan Party in or pursuant
        to the Loan Documents shall be true and correct in all material respects
        on and
        as of such date as if made on and as of such date (except to the extent such
        representations and warranties relate to a particular date, in which case
        such
        representations and warranties shall be true and correct in all material
        respects on and as of such particular date as if made on and as of such
        particular date).

       

      (b) No
        Default. 
        No Default or Event of Default shall have occurred and be continuing on such
        date or after giving effect to the extensions of credit requested to be made
        on
        such date.

       

      Each
        borrowing by and issuance of a Letter of Credit on behalf of the Borrower
        hereunder shall constitute a representation and warranty by the Borrower
        as of
        the date of such extension of credit that the conditions contained in this
        Section 5.2 have been satisfied.

       

      SECTION
        6.  AFFIRMATIVE
        COVENANTS

       

      The
        Borrower hereby agrees that, so long as the Revolving Commitments remain
        in
        effect, any Letter of Credit remains outstanding or any Revolving Loan or
        other
        amount is owing to any Lender or the Administrative Agent hereunder, the
        Borrower shall and shall cause each of its Subsidiaries to:

       

      6.1 Financial
        Statements.  Furnish to the Administrative Agent and each
        Lender:

       

      (a) as
        soon
        as available, but in any event within 90 days after the end of each
        fiscal
        year of the Borrower, the Borrower’s Form 10-K for such fiscal year, as filed
        with the SEC; and

       

      (b) as
        soon
        as available, but in any event not later than 45 days after the end of each
        of
        the first three quarterly periods of each fiscal year of the Borrower, the
        Borrower’s Form 10-Q for the applicable fiscal quarter, as filed with the
        SEC. 

       

      
        
          
          

        

        
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      6.2  Certificates;
        Other Information. Furnish to the Administrative Agent and each Lender (or,
        in the case of clause (b), to the relevant Lender):

       

      (a)  concurrently
        with the delivery of any Form 10-K or Form 10-Q pursuant to Section 6.1,
        (i) a
        certificate of a Responsible Officer stating that, to the best of each such
        Responsible Officer’s knowledge, each Loan Party during such period has observed
        or performed all of its covenants and other agreements, and satisfied every
        condition contained in this Agreement and the other Loan Documents to which
        it
        is a party to be observed, performed or satisfied by it, and that such
        Responsible Officer has obtained no knowledge of any Default or Event of
        Default
        except as specified in such certificate and (ii) in the case of quarterly
        or
        annual financial statements, (x) a compliance certificate containing all
        information and calculations necessary for determining compliance by each
        Group
        Member with the provisions of this Agreement referred to therein as of the
        last
        day of the fiscal quarter or fiscal year of the Borrower, as the case may
        be,
        and (y) to the extent not previously disclosed to the Administrative Agent,
        a
        description of any change in the jurisdiction of organization of any Loan
        Party
        and a list of any Intellectual Property acquired by any Loan Party since
        the
        date of the most recent report delivered pursuant to this clause (y) (or,
        in the
        case of the first such report so delivered, since the Closing Date);
        and

       

      (b) promptly,
        such additional financial and other information as any Lender may from time
        to
        time reasonably request.

       

      6.3  Payment
        of Obligations.  Pay, discharge or otherwise satisfy at or before
        maturity or before they become delinquent, as the case may be, all its
        obligations of whatever nature, except (a) where the amount or validity thereof
        is currently being contested in good faith by appropriate proceedings and
        reserves in conformity with GAAP with respect thereto have been provided
        on the
        books of the relevant Group Member and (b) where the failure to pay, discharge
        or otherwise satisfy such obligations could not, in the aggregate, reasonably
        be
        expected to have a Material Adverse Effect.

       

      6.4  Maintenance
        of Existence; Compliance.  (a)(i) Preserve, renew and keep in full
        force and effect its organizational existence and (ii) take all reasonable
        action to maintain all rights, privileges and franchises necessary or desirable
        in the normal conduct of its business, except, in each case, as otherwise
        permitted by Section 7.4 and except, in the case of clause (ii) above, to
        the
        extent that failure to do so could not reasonably be expected to have a Material
        Adverse Effect; and (b) comply with all Contractual Obligations and Requirements
        of Law except to the extent that failure to comply therewith could not, in
        the
        aggregate, reasonably be expected to have a Material Adverse
        Effect.

       

      6.5  Maintenance
        of Property; Insurance.  (a)  Keep all property useful and
        necessary in its business in good working order and condition, ordinary wear
        and
        tear excepted and (b) maintain with financially sound and reputable
        insurance companies insurance on all its property consistent with past
        practices.

       

      6.6  Inspection
        of Property; Books and Records; Discussions.  (a) Keep proper books of
        records and account in which full, true and correct entries in conformity
        with
        GAAP and all Requirements of Law shall be made of all dealings and transactions
        in relation to its business and activities and (b) permit representatives
        of the
        Administrative Agent (or, after the occurrence and during the continuation
        of an
        Event of Default, any Lender) to visit and inspect any of its properties
        and
        examine and make abstracts from any of its books and records at any reasonable
        time during normal business hours and upon reasonable notice and as often
        as may
        reasonably be desired (but, unless an Event of Default shall have occurred
        and
        be continuing, no more often than one time in any twelve-month period) and
        to
        discuss the business, operations, properties and financial and other condition
        of the Group Members with officers of the Loan Parties and, in the presence
        of
        officers of the Loan Parties, with their independent certified public
        accountants.

       

      
        
          
          

        

        
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      6.7  Notices.
        Promptly give notice to the Administrative Agent and each Lender
        of:

       

      (a) the
        occurrence of any Default or Event of Default;

       

      (b) any
        (i)
        default or event of default under any Contractual Obligation of any Group
        Member
        or (ii) litigation, investigation or proceeding that may exist at any time
        between any Group Member and any Governmental Authority, that in either case,
        if
        not cured or if adversely determined, as the case may be, could reasonably
        be
        expected to have a Material Adverse Effect;

       

      (c) 
        any
        litigation or proceeding affecting any Group Member (i) in which the amount
        involved is $10,000,000 or more and not covered by insurance, (ii) in which
        injunctive or similar relief is sought that, if obtained, could reasonably
        be
        expected to have a Material Adverse Effect or (iii) which relates to any
        Loan
        Document;

       

      (d) the
        following events, as soon as possible and in any event within 30 days after
        the
        Borrower knows thereof, in each case to the extent such event could reasonably
        be expected to have a Material Adverse Effect: (i) the occurrence of any
        Reportable Event with respect to any Plan, a failure to make any required
        contribution to a Plan, the creation of any Lien in favor of the PBGC or
        a Plan
        or any withdrawal from, or the termination, Reorganization or Insolvency
        of, any
        Multiemployer Plan or (ii) the institution of proceedings or the taking of
        any
        other action by the PBGC or the Borrower or any Commonly Controlled Entity
        or
        any Multiemployer Plan with respect to the withdrawal from, or the termination,
        Reorganization or Insolvency of, any Plan; and

       

      (e) any
        development or event that has had or would have a Material Adverse
        Effect.

       

      Each
        notice pursuant to this Section 6.7 shall be accompanied by a statement of
        a
        Responsible Officer setting forth details of the occurrence referred to therein
        and stating what action the relevant Group Member proposes to take with respect
        thereto.

       

      6.8  Environmental
        Laws.  (a) Comply with all applicable Environmental Laws, and obtain
        and comply with and maintain any and all licenses, approvals, notifications,
        registrations or permits required by applicable Environmental Laws, in each
        case, except to the extent the failure to do so could not reasonably be expected
        to have a Material Adverse Effect.

       

      (b)
          Conduct
        and complete all investigations, studies, sampling and testing, and all
        remedial, removal and other actions required under Environmental Laws and
        promptly comply with all lawful orders and directives of all Governmental
        Authorities regarding Environmental Laws, in each case, except to the extent
        the
        failure to do so could not reasonably be expected to have a Material Adverse
        Effect.

       

      6.9  New
        Significant Subsidiaries.  With respect to any new Significant
        Subsidiary created or acquired after the Closing Date by any Group Member
        (which
        shall include any existing Subsidiary that becomes a Significant Subsidiary),
        promptly give written notice to the Administrative Agent of such new Significant
        Subsidiary and cause such new Significant Subsidiary comply with Section
        6.10.

      

      
        
          
          

        

        
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      6.10  Additional
        Collateral, etc.  (a)  With respect to any property acquired after
        the Closing Date by the Borrower or any Significant Subsidiary (other than
        (w)
        any real property, (x) any property described in paragraph (b) or (c) below,
        and
        (y) any property subject to a Lien expressly permitted by Section 7.3(g))
        as to
        which the Administrative Agent, for the benefit of the Lenders, does not
        have a
        perfected Lien, promptly (i) execute and deliver to the Administrative Agent
        such amendments to the Guarantee and Collateral Agreement or such other
        documents as the Administrative Agent deems necessary or advisable to grant
        to
        the Administrative Agent, for the benefit of the Lenders, a security interest
        in
        such property and (ii) take all actions necessary to grant to the Administrative
        Agent, for the benefit of the Lenders, a perfected first priority security
        interest in such property, including the filing of Uniform Commercial Code
        financing statements in such jurisdictions as may be required by the Guarantee
        and Collateral Agreement or by law.

       

      (b)  With
        respect to any new Significant Subsidiary created or acquired after the Closing
        Date by the Borrower or any Significant Subsidiary, promptly (i) execute
        and
        deliver to the Administrative Agent such amendments to the Guarantee and
        Collateral Agreement as the Administrative Agent deems necessary or advisable
        to
        grant to the Administrative Agent, for the benefit of the Lenders, a perfected
        first priority security interest in the Capital Stock of such new Significant
        Subsidiary that is owned by the Borrower or any Significant Subsidiary, (ii)
        deliver to the Administrative Agent the certificates representing such Capital
        Stock, together with undated stock powers, in blank, executed and delivered
        by a
        duly authorized officer of the relevant Group Member, (iii) cause such new
        Significant Subsidiary (A) to become a party to the Guarantee and
        Collateral Agreement, (B) to take such actions necessary or advisable to
        grant
        to the Administrative Agent for the benefit of the Lenders, to the extent
        required by the terms of the Guarantee and Collateral Agreement, a perfected
        first priority security interest in the Collateral described in the Guarantee
        and Collateral Agreement with respect to such new Significant Subsidiary,
        including the filing of Uniform Commercial Code financing statements in such
        jurisdictions as may be required by the Guarantee and Collateral Agreement
        or by
        law and (C) to deliver to the Administrative Agent a certificate of such
        Significant Subsidiary, substantially in the form of Exhibit B, with appropriate
        insertions and attachments, and (iv) if requested by the Administrative Agent,
        deliver to the Administrative Agent legal opinions relating to the matters
        described above, which opinions shall be in form and substance, and from
        counsel, reasonably satisfactory to the Administrative Agent and shall cover
        only those matters covered by the legal opinions delivered on the Closing
        Date.

       

      SECTION
        7.  NEGATIVE
        COVENANTS

       

      The
        Borrower hereby agrees that, so long as the Revolving Commitments remain
        in
        effect, any Letter of Credit remains outstanding or any Revolving Loan or
        other
        amount is owing to any Lender or the Administrative Agent hereunder, the
        Borrower shall not, and shall not permit any of its Subsidiaries to, directly
        or
        indirectly:

       

      7.1
          Financial Condition Covenants.

       

      (a)  Consolidated
        Leverage Ratio.
        Permit
        the Consolidated Leverage Ratio as at the last day of any period of four
        consecutive fiscal quarters of the Borrower to exceed 2.25 to 1.00.

       

      (b)  Consolidated
        Interest Coverage Ratio.
        Permit
        the Consolidated Interest Coverage Ratio for any period of four consecutive
        fiscal quarters of the Borrower to be less than 3.00 to 1.00.

       

      (c)  Consolidated
        Asset Coverage Ratio.
        Permit
        the Consolidated Asset Coverage Ratio for any period of four consecutive
        fiscal
        quarters of the Borrower to be less than 1.25 to 1.00.

       

      
        
          
          

        

        
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      7.2  Indebtedness. 
        Create, issue, incur, assume, become liable in respect of or suffer to exist
        any
        Indebtedness, except:

       

      (a) Indebtedness
        of any Loan Party pursuant to any Loan Document;

       

      (b) Indebtedness
        of the Borrower to any Subsidiary and of any Wholly Owned Subsidiary Guarantor
        to the Borrower or any other Subsidiary;

       

      (c) Guarantee
        Obligations incurred in the ordinary course of business by the Borrower or
        any
        of its Subsidiaries of obligations of any Wholly Owned Subsidiary
        Guarantor;

       

      (d) Indebtedness
        outstanding on the date hereof and listed on Schedule 7.2(d) and any
        refinancings, refundings, renewals or extensions thereof (without increasing,
        or
        shortening the maturity of, the principal amount thereof);

       

      (e) Indebtedness
        (including, without limitation, Capital Lease Obligations) secured by Liens
        permitted by Section 7.3(g); 

       

      (f) Indebtedness
        of Jack of All Games, Inc. under the floor planning line of credit for Nintendo
        inventory in an aggregate principal amount not to exceed $5,000,000 at any
        time
        outstanding; 

       

      (g) Guarantee
        Obligations of any Group Member with respect to any Indebtedness permitted
        by
        this Section 7.2; 

       

      (h) Indebtedness
        under Swap Agreements permitted by Section 7.11;

       

      (i) Indebtedness
        assumed by any Group Member in connection with an Investment permitted by
        Section 7.8(i); and

       

      (j) additional
        Indebtedness of the Borrower or any of its Subsidiaries in an aggregate
        principal amount (for the Borrower and all Subsidiaries) not to exceed
        $10,000,000 at any one time outstanding.

       

      7.3  Liens. 
        Create, incur, assume or suffer to exist any Lien upon any of its property,
        whether now owned or hereafter acquired, except:

       

      (a) Liens
        for
        taxes not yet due or that are being contested in good faith by appropriate
        proceedings, provided
        that
        adequate reserves with respect thereto are maintained on the books of the
        Borrower or its Subsidiaries, as the case may be, in conformity with
        GAAP;

       

      (b) carriers’,
        warehousemen’s, mechanics’, materialmen’s, repairmen’s or other like Liens
        arising in the ordinary course of business that are not overdue for a period
        of
        more than 30 days or that are being contested in good faith by appropriate
        proceedings;

       

      (c) pledges
        or deposits in connection with workers’ compensation, unemployment insurance and
        other social security legislation;

       

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

       

      
        
          
          

        

        
          35

          
            

          

        

        
          
          

        

      

      (e) easements,
        rights-of-way, restrictions and other similar encumbrances incurred in the
        ordinary course of business that, in the aggregate, are not substantial in
        amount and that do not in any case materially detract from the value of the
        property subject thereto or materially interfere with the ordinary conduct
        of
        the business of the Borrower or any of its Subsidiaries;

       

      (f) Liens
        in
        existence on the date hereof listed on Schedule 7.3(f), securing Indebtedness
        permitted by Section 7.2(d), provided
        that no
        such Lien is spread to cover any additional property after the Closing Date
        and
        that the amount of Indebtedness secured thereby is not increased;

       

      (g) Liens
        securing Indebtedness of the Borrower or any other Subsidiary incurred pursuant
        to Section 7.2(e) to finance the acquisition of fixed or capital assets,
        provided
        that (i)
        such Liens shall be created substantially simultaneously with the acquisition
        of
        such fixed or capital assets, (ii) such Liens do not at any time encumber
        any
        property other than the property financed by such Indebtedness and (iii)
        the
        amount of Indebtedness secured thereby is not increased;

       

      (h) Liens
        created pursuant to the Security Documents;

       

      (i) any
        interest or title of a lessor under any lease entered into by the Borrower
        or
        any other Subsidiary in the ordinary course of its business and covering
        only
        the assets so leased;

       

      (j) Liens
        on
        property of Jack of All Games, Inc. to secure obligations of Jack of All
        Games,
        Inc. incurred pursuant to Section 7.2 (f); 

       

      (k) Liens
        in
        connection with attachments or judgments (including judgment or appeal bonds);
        provided
        that the
        judgments secured shall, within 45 days after the entry thereof, have been
        discharged or execution thereof stayed pending appeal, or shall have been
        discharged with 45 days after the expiration of any such stay;

       

      (l) normal
        and customary rights of set-off upon deposits of cash in favor of banks or
        other
        depositary institutions;

       

      (m) leases
        or
        subleases granted to others not interfering in any material respect with
        the
        business of any Group Member;

       

      (n) any
        interest or title of a lessor under, and Liens arising from UCC financing
        statements (or equivalent filings, registrations or agreements in foreign
        jurisdictions) relating to, leases permitted by this Agreement; 

       

      (o) Liens
        in
        favor of customs and revenue authorities arising as a matter of law to secure
        payment of customs duties in connection with the importation of goods;

       

      (p) Liens
        deemed to exist in connection with Investments in repurchase agreements which
        constitute Investments permitted by Section 7.8;

       

      (q) Liens
        of
        a collection bank arising under Section 4-210 of the New York Uniform Commercial
        Code on items in the course of collection; 

       

      (r) Liens
        on
        any contract (including any license or use agreement), any trademark license
        for
        which a Group Member is a licensee or any copyright license for which a Group
        Member is a licensee, in each case if (i) the terms thereof prohibit the
        assignment of such contract, license or use agreement or a grant of a security
        interest or Lien therein and (ii) the violation of such terms would constitute
        a
        default thereunder; and

       

      
        
          
          

        

        
          36

          
            

          

        

        
          
          

        

      

      (s) Liens
        not
        otherwise permitted by this Section so long as neither (i) the aggregate
        outstanding principal amount of the obligations secured thereby nor (ii)
        the
        aggregate fair market value (determined as of the date such Lien is incurred)
        of
        the assets subject thereto exceeds (as to the Borrower and all Subsidiaries)
        $10,000,000 at any one time.

       

      
        7.4  Fundamental
          Changes.  Enter into any merger, consolidation or amalgamation, or
          liquidate, wind up or dissolve itself (or suffer any liquidation or
          dissolution), or Dispose of all or substantially all of its property or
          business, except that:

      

       

      (a) any
        Subsidiary of the Borrower may be merged or consolidated with or into the
        Borrower (provided
        that the
        Borrower shall be the continuing or surviving corporation) or with or into
        any
        Wholly Owned Subsidiary Guarantor (provided
        that the
        Wholly Owned Subsidiary Guarantor shall be the continuing or surviving
        corporation); 

       

      (b) any
        Subsidiary of the Borrower may Dispose of any or all of its assets (i) to
        the
        Borrower or any Wholly Owned Subsidiary Guarantor (upon voluntary liquidation
        or
        otherwise) or (ii) pursuant to a Disposition permitted by Section
        7.5;

       

      (c) any
        Investment expressly permitted by Section 7.8 may be structured as a merger,
        consolidation or amalgamation; 

       

      (d) any
        transaction expressly permitted by Section 7.5 may be structured as a merger,
        consolidation, amalgamation or liquidation; and 

       

      (e) any
        Subsidiary that is not a Significant Subsidiary may be dissolved or liquidated
        if such dissolution or liquidation would not have a Material Adverse
        Effect.

       

      7.5  Disposition
        of Property.  Dispose of any of its property, whether now owned or
        hereafter acquired, or, in the case of any Subsidiary, issue or sell any
        shares
        of such Subsidiary’s Capital Stock to any Person, except:

       

      (a) the
        Disposition of obsolete or worn out property in the ordinary course of
        business;

       

      (b) the
        sale
        of inventory in the ordinary course of business;

       

      (c) Dispositions
        permitted by clause (i) of Section 7.4(b);

       

      (d) the
        sale
        or issuance of any Subsidiary’s Capital Stock to the Borrower or any Wholly
        Owned Subsidiary Guarantor; and

       

      (e) the
        Disposition of other property having a fair market value not to exceed
        $25,000,000 in the aggregate for any fiscal year of the Borrower.

       

      7.6  Restricted
        Payments.  Declare or pay any dividend (other than dividends payable
        solely in common stock of the Person making such dividend) on, or make any
        payment on account of, or set apart assets for a sinking or other analogous
        fund
        for, the purchase, redemption, defeasance, retirement or other acquisition
        of,
        any Capital Stock of any Group Member, whether now or hereafter outstanding,
        or
        make any other distribution in respect thereof, either directly or indirectly,
        whether in cash or property or in obligations of any Group Member (collectively,
        “Restricted Payments”), except that (a) any Subsidiary may make
        Restricted Payments to the Borrower or any Wholly Owned Subsidiary Guarantor
        and
        (b) the Borrower may make Restricted Payments in an amount not to exceed
        $75,000,000 in connection with the repurchase of its Capital Stock.

       

      
        
          
          

        

        
          37

          
            

          

        

        
          
          

        

      

      7.7  Capital
        Expenditures.  Make or commit to make any Capital Expenditure, except
        Capital Expenditures of the Borrower and its Subsidiaries in the ordinary
        course
        of business not exceeding $30,000,000 in any twelve-month period.

       

      7.8  Investments.
         Make any advance, loan, extension of credit (by way of guaranty or
        otherwise) or capital contribution to, or purchase any Capital Stock, bonds,
        notes, debentures or other debt securities of, or any assets constituting
        a
        business unit of, or make any other investment in, any Person (all of the
        foregoing, “Investments”), except:

       

      (a) extensions
        of trade credit in the ordinary course of business;

       

      (b) investments
        in Cash Equivalents;

       

      (c) Guarantee
        Obligations permitted by Section 7.2;

       

      (d) loans
        and
        advances to employees of any Group Member in the ordinary course of business
        (including for travel, entertainment and relocation expenses) in an aggregate
        amount for all Group Members not to exceed $2,000,000 at any one time
        outstanding;

       

      (e) intercompany
        Investments by any Group Member in the Borrower or any Person that, prior
        to
        such investment, is a Wholly Owned Subsidiary Guarantor; 

       

      (f) Investments
        existing on the Closing Date and set forth on Schedule 7.8(f); 

       

      (g) advances
        to customers and suppliers in the ordinary course of business that do not
        exceed
        $1,000,000 in the aggregate at any one time outstanding;

       

      (h) recoupable
        advances, guarantees or payments made to third parties in the ordinary course
        of
        business with respect to the licensing or acquisition of intellectual property
        rights or for development services for specific titles; and

       

      (i) in
        addition to Investments otherwise expressly permitted by this Section 7.8,
        Investments in an aggregate amount (including any assumption of Indebtedness
        in
        connection therewith) not to exceed $100,000,000 in any twelve-month period;
        provided
        that the
        amount (including any assumption of Indebtedness in connection therewith)
        of any
        single Investment or series of related Investments may not exceed $50,000,000.
        

       

      7.9  Transactions
        with Affiliates.  Enter into any transaction, including any purchase,
        sale, lease or exchange of property, the rendering of any service or the
        payment
        of any management, advisory or similar fees, with any Affiliate (other than
        the
        Borrower or any Wholly Owned Subsidiary Guarantor) unless such transaction
        is
        (a) otherwise permitted under this Agreement, (b) in the ordinary
        course of
        business of the relevant Group Member, and (c) upon fair and reasonable
        terms no less favorable to the relevant Group Member than it would obtain
        in a
        comparable arm’s length transaction with a Person that is not an Affiliate;
provided that the foregoing shall not prohibit (i) advances of working
        capital to the Borrower or any Wholly Owned Subsidiary Guarantor; (ii) transfers
        of cash and assets to the Borrower or any Wholly Owned Subsidiary Guarantor
        or
        (iii) normal compensation and reimbursement of expenses of officers and
        directors.

       

      
        
          
          

        

        
          38

          
            

          

        

        
          
          

        

      

      7.10  Sales
        and Leasebacks.  Enter into any arrangement with any Person providing
        for the leasing by any Group Member of real or personal property that has
        been
        or is to be sold or transferred by such Group Member to such Person or to
        any
        other Person to whom funds have been or are to be advanced by such Person
        on the
        security of such property or rental obligations of such Group
        Member.

       

      7.11  Swap
        Agreements.  Enter into any Swap Agreement, except (a) Swap Agreements
        entered into to hedge or mitigate risks to which the Borrower or any Subsidiary
        has actual exposure (other than those in respect of Capital Stock) and (b)
        Swap
        Agreements entered into in order to effectively cap, collar or exchange interest
        rates with respect to any interest-bearing liability or investment of the
        Borrower or any Subsidiary.

       

      7.12  Changes
        in Fiscal Periods.  Permit the fiscal year of the Borrower to end on a
        day other than October 31 or change the Borrower’s method of determining fiscal
        quarters.

       

      7.13  Negative
        Pledge Clauses.  Enter into or suffer to exist or become effective any
        agreement that prohibits or limits the ability of any Group Member to create,
        incur, assume or suffer to exist any Lien upon any of its property or revenues,
        whether now owned or hereafter acquired, to secure its obligations under
        the
        Loan Documents to which it is a party other than (a) this Agreement and the
        other Loan Documents; (b) any agreements governing any purchase money Liens
        or
        Capital Lease Obligations otherwise permitted hereby (in which case, any
        prohibition or limitation shall only be effective against the assets financed
        thereby); and (c) any contract (including any license or use agreement),
        any
        trademark license for which a Group Member is a licensee or any copyright
        license for which a Group Member is a licensee, in each case if (i) the terms
        thereof prohibit the assignment of such contract, license or use agreement
        or a
        grant of a security interest or Lien therein and (ii) the violation of such
        terms would constitute a default thereunder. 

       

      7.14  Clauses
        Restricting Subsidiary Distributions.  Enter into or suffer to exist or
        become effective any consensual encumbrance or restriction on the ability
        of any
        Subsidiary of the Borrower to (a) make Restricted Payments in respect of
        any
        Capital Stock of such Subsidiary held by, or pay any Indebtedness owed to,
        the
        Borrower or any other Subsidiary of the Borrower, (b) make loans or advances
        to,
        or other Investments in, the Borrower or any other Subsidiary of the Borrower
        or
        (c) transfer any of its assets to the Borrower or any other Subsidiary of
        the
        Borrower, except for such encumbrances or restrictions existing under or
        by
        reason of (i) any restrictions existing under the Loan Documents and (ii)
        any
        restrictions with respect to a Subsidiary imposed pursuant to an agreement
        that
        has been entered into in connection with the Disposition of all or substantially
        all of the Capital Stock or assets of such Subsidiary.

       

      7.15  Lines
        of Business.  Enter into any business, either directly or through any
        Subsidiary, except for those businesses in which the Borrower and its
        Subsidiaries are engaged on the date of this Agreement or that are reasonably
        related thereto or that are reasonable extensions thereof. 

       

      SECTION
        8.  EVENTS
        OF
        DEFAULT

       

      If
        any of
        the following events shall occur and be continuing:

       

      (a) the
        Borrower shall fail to pay any principal of any Revolving Loan or Reimbursement
        Obligation when due in accordance with the terms hereof; or the Borrower
        shall
        fail to pay any interest on any Revolving Loan or Reimbursement Obligation,
        or
        any other amount payable hereunder or under any other Loan Document, within
        five
        days after any such interest or other amount becomes due in accordance with
        the
        terms hereof; or

       

      
        
          
          

        

        
          39

          
            

          

        

        
          
          

        

      

      (b) any
        representation or warranty made or deemed made by any Loan Party herein or
        in
        any other Loan Document or that is contained in any certificate, document
        or
        financial or other statement furnished by it at any time under or in connection
        with this Agreement or any such other Loan Document shall prove to have been
        inaccurate in any material respect on or as of the date made or deemed made;
        or

       

      (c) any
        Loan
        Party shall default in the observance or performance of any agreement contained
        in clause (i) or (ii) of Section 6.4(a) (with respect to the Borrower only),
        Section 6.7(a) or Section 7 of this Agreement or Sections 5.5 and 5.7(b)
        of the
        Guarantee and Collateral Agreement; or

       

      (d) any
        Loan
        Party shall default in the observance or performance of any other agreement
        contained in this Agreement or any other Loan Document (other than as provided
        in paragraphs (a) through (c) of this Section), and such default shall continue
        unremedied for a period of 30 days after notice to the Borrower from the
        Administrative Agent or the Required Lenders; or

       

      (e) any
        Group
        Member shall (i) default in making any payment of any principal of any
        Indebtedness (including any Guarantee Obligation, but excluding the Revolving
        Loans) on the scheduled or original due date with respect thereto; or (ii)
        default in making any payment of any interest on any such Indebtedness beyond
        the period of grace, if any, provided in the instrument or agreement under
        which
        such Indebtedness was created; or (iii) default in the observance or performance
        of any other agreement or condition relating to any such Indebtedness or
        contained in any instrument or agreement evidencing, securing or relating
        thereto, or any other event shall occur or condition exist, the effect of
        which
        default or other event or condition is to cause, or to permit the holder
        or
        beneficiary of such Indebtedness (or a trustee or agent on behalf of such
        holder
        or beneficiary) to cause, with the giving of notice if required, such
        Indebtedness to become due prior to its stated maturity or (in the case of
        any
        such Indebtedness constituting a Guarantee Obligation) to become payable;
        provided,
        that a
        default, event or condition described in clause (i), (ii) or (iii) of this
        paragraph (e) shall not at any time constitute an Event of Default unless,
        at
        such time, one or more defaults, events or conditions of the type described
        in
        clauses (i), (ii) and (iii) of this paragraph (e) shall have occurred and
        be
        continuing with respect to Indebtedness the outstanding principal amount
        of
        which exceeds in the aggregate $20,000,000; or

       

      (f) (i)
        any
        Group Member shall commence any case, proceeding or other action (A) under
        any
        existing or future law of any jurisdiction, domestic or foreign, relating
        to
        bankruptcy, insolvency, reorganization or relief of debtors, seeking to have
        an
        order for relief entered with respect to it, or seeking to adjudicate it
        a
        bankrupt or insolvent, or seeking reorganization, arrangement, adjustment,
        winding-up, liquidation, dissolution, composition or other relief with respect
        to it or its debts, or (B) seeking appointment of a receiver, trustee,
        custodian, conservator or other similar official for it or for all or any
        substantial part of its assets, or any Group Member shall make a general
        assignment for the benefit of its creditors; or (ii) there shall be commenced
        against any Group Member any case, proceeding or other action of a nature
        referred to in clause (i) above that (A) results in the entry of an order
        for
        relief or any such adjudication or appointment or (B) remains undismissed
        or
        undischarged for a period of 60 days; or (iii) there shall be commenced against
        any Group Member any case, proceeding or other action seeking issuance of
        a
        warrant of attachment, execution, distraint or similar process against all
        or
        any substantial part of its assets that results in the entry of an order
        for any
        such relief that shall not have been vacated, discharged, or stayed or bonded
        pending appeal within 60 days from the entry thereof; or (iv) any Group Member
        shall take any action in furtherance of, or indicating its consent to, approval
        of, or acquiescence in, any of the acts set forth in clause (i), (ii), or
        (iii)
        above; or (v) any Group Member shall generally not, or shall be unable to,
        or
        shall admit in writing its inability to, pay its debts as they become due;
        or

       

      
        
          
          

        

        
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      (g) (i)
        any
        Person shall engage in any “prohibited transaction” (as defined in Section 406
        of ERISA or Section 4975 of the Code) involving any Plan, (ii) any
        “accumulated funding deficiency” (as defined in Section 302 of ERISA), whether
        or not waived, shall exist with respect to any Plan or any Lien in favor
        of the
        PBGC or a Plan shall arise on the assets of any Group Member or any Commonly
        Controlled Entity, (iii) a Reportable Event shall occur with respect to,
        or
        proceedings shall commence to have a trustee appointed, or a trustee shall
        be
        appointed, to administer or to terminate, any Single Employer Plan, which
        Reportable Event or commencement of proceedings or appointment of a trustee
        is,
        in the reasonable opinion of the Required Lenders, likely to result in the
        termination of such Plan for purposes of Title IV of ERISA, (iv) any Single
        Employer Plan shall terminate for purposes of Title IV of ERISA, (v) any
        Group Member or any Commonly Controlled Entity shall, or in the reasonable
        opinion of the Required Lenders is likely to, incur any liability in connection
        with a withdrawal from, or the Insolvency or Reorganization of, a Multiemployer
        Plan or (vi) any other event or condition shall occur or exist with respect
        to a
        Plan; and in each case in clauses (i) through (vi) above, such event or
        condition, together with all other such events or conditions, if any, could,
        in
        the reasonable opinion of the Required Lenders, reasonably be expected to
        have a
        Material Adverse Effect; or

       

      (h) one
        or
        more judgments or decrees shall be entered against any Group Member involving
        in
        the aggregate a liability (not paid or fully covered by insurance as to which
        the relevant insurance company has acknowledged coverage) of $20,000,000
        or
        more, and all such judgments or decrees shall not have been vacated, discharged,
        stayed or bonded pending appeal within 30 days from the entry thereof;
        or

       

      (i) any
        action or failure to act by any Group Member shall cause any of the Security
        Documents to cease to be in full force and effect, or any Loan Party or any
        Affiliate of any Loan Party shall so assert, or any action or failure to
        act by
        any Group Member shall cause any Lien created by any of the Security Documents
        to cease to be enforceable and of the same effect and priority purported
        to be
        created thereby; or

       

      (j) the
        guarantee contained in Section 2 of the Guarantee and Collateral Agreement
        shall
        cease, for any reason, to be in full force and effect or any Loan Party or
        any
        Affiliate of any Loan Party shall so assert; or

       

      (k) a
        Change
        of Control shall occur;

       

      then,
        and
        in any such event, (A) if such event is an Event of Default specified in
        clause
        (i) or (ii) of paragraph (f) above with respect to the Borrower, automatically
        the Revolving Commitments shall immediately terminate and the Revolving Loans
        (with accrued interest thereon) and all other amounts owing under this Agreement
        and the other Loan Documents (including all amounts of L/C Obligations, whether
        or not the beneficiaries of the then outstanding Letters of Credit shall
        have
        presented the documents required thereunder) shall immediately become due
        and
        payable, and (B) if such event is any other Event of Default, either or both
        of
        the following actions may be taken: (i) with the consent of the Required
        Lenders, the Administrative Agent may, or upon the request of the Required
        Lenders, the Administrative Agent shall, by notice to the Borrower declare
        the
        Revolving Commitments to be terminated forthwith, whereupon the Revolving
        Commitments shall immediately terminate; and (ii) with the consent of the
        Required Lenders, the Administrative Agent may, or upon the request of the
        Required Lenders, the Administrative Agent shall, by notice to the Borrower,
        declare the Revolving Loans (with accrued interest thereon) and all other
        amounts owing under this Agreement and the other Loan Documents (including
        all
        amounts of L/C Obligations, whether or not the beneficiaries of the then
        outstanding Letters of Credit shall have presented the documents required
        thereunder) to be due and payable forthwith, whereupon the same shall
        immediately become due and payable. With respect to all Letters of Credit
        with
        respect to which presentment for honor shall not have occurred at the time
        of an
        acceleration pursuant to this paragraph, the Borrower shall at such time
        deposit
        in a cash collateral account opened by the Administrative Agent an amount
        equal
        to the aggregate then undrawn and unexpired amount of such Letters of Credit.
        Amounts held in such cash collateral account shall be applied by the
        Administrative Agent to the payment of drafts drawn under such Letters of
        Credit, and the unused portion thereof after all such Letters of Credit shall
        have expired or been fully drawn upon, if any, shall be applied to repay
        other
        obligations of the Borrower hereunder and under the other Loan Documents.
        After
        all such Letters of Credit shall have expired or been fully drawn upon, all
        Reimbursement Obligations shall have been satisfied and all other obligations
        of
        the Borrower hereunder and under the other Loan Documents shall have been
        paid
        in full, the balance, if any, in such cash collateral account shall be returned
        to the Borrower (or such other Person as may be lawfully entitled thereto).
        Except as expressly provided above in this Section, presentment, demand,
        protest
        and all other notices of any kind are hereby expressly waived by the
        Borrower.

       

      
        
          
          

        

        
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      SECTION
        9.  ADMINISTRATIVE
        AGENT

       

      9.1  Appointment.
         Each Lender hereby irrevocably designates and appoints the Administrative
        Agent as the agent of such Lender under this Agreement and the other Loan
        Documents, and each such Lender irrevocably authorizes the Administrative
        Agent,
        in such capacity, to take such action on its behalf under the provisions
        of this
        Agreement and the other Loan Documents and to exercise such powers and perform
        such duties as are expressly delegated to the Administrative Agent by the
        terms
        of this Agreement and the other Loan Documents, together with such other
        powers
        as are reasonably incidental thereto. Notwithstanding any provision to the
        contrary elsewhere in this Agreement, the Administrative Agent shall not
        have
        any duties or responsibilities, except those expressly set forth herein,
        or any
        fiduciary relationship with any Lender, and no implied covenants, functions,
        responsibilities, duties, obligations or liabilities shall be read into this
        Agreement or any other Loan Document or otherwise exist against the
        Administrative Agent.

       

      9.2  Delegation
        of Duties.  The Administrative Agent may execute any of its duties
        under this Agreement and the other Loan Documents by or through agents or
        attorneys-in-fact and shall be entitled to advice of counsel concerning all
        matters pertaining to such duties. The Administrative Agent shall not be
        responsible for the negligence or misconduct of any agents or attorneys in-fact
        selected by it with reasonable care.

       

      9.3  Exculpatory
        Provisions.  Neither the Administrative Agent nor any of its respective
        officers, directors, employees, agents, attorneys-in-fact or affiliates shall
        be
        (i) liable for any action lawfully taken or omitted to be taken by it or
        such
        Person under or in connection with this Agreement or any other Loan Document
        (except to the extent that any of the foregoing are found by a final and
        nonappealable decision of a court of competent jurisdiction to have resulted
        from its or such Person’s own gross negligence or willful misconduct) or (ii)
        responsible in any manner to any of the Lenders for any recitals, statements,
        representations or warranties made by any Loan Party or any officer thereof
        contained in this Agreement or any other Loan Document or in any certificate,
        report, statement or other document referred to or provided for in, or received
        by the Administrative Agent under or in connection with, this Agreement or
        any
        other Loan Document or for the value, validity, effectiveness, genuineness,
        enforceability or sufficiency of this Agreement or any other Loan Document
        or
        for any failure of any Loan Party a party thereto to perform its obligations
        hereunder or thereunder. The Administrative Agent shall not be under any
        obligation to any Lender to ascertain or to inquire as to the observance
        or
        performance of any of the agreements contained in, or conditions of, this
        Agreement or any other Loan Document, or to inspect the properties, books
        or
        records of any Loan Party.

       

      
        
          
          

        

        
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      9.4  Reliance
        by Administrative Agent.  The Administrative Agent shall be entitled to
        rely, and shall be fully protected in relying, upon any instrument, writing,
        resolution, notice, consent, certificate, affidavit, letter, telecopy, telex
        or
        teletype message, statement, order or other document or conversation believed
        by
        it to be genuine and correct and to have been signed, sent or made by the
        proper
        Person or Persons and upon advice and statements of legal counsel (including
        counsel to the Borrower), independent accountants and other experts selected
        by
        the Administrative Agent. The Administrative Agent may deem and treat the
        payee
        of any Note as the owner thereof for all purposes unless a written notice
        of
        assignment, negotiation or transfer thereof shall have been filed with the
        Administrative Agent. The Administrative Agent shall be fully justified in
        failing or refusing to take any action under this Agreement or any other
        Loan
        Document unless it shall first receive such advice or concurrence of the
        Required Lenders (or, if so specified by this Agreement, all Lenders) as
        it
        deems appropriate or it shall first be indemnified to its satisfaction by
        the
        Lenders against any and all liability and expense that may be incurred by
        it by
        reason of taking or continuing to take any such action. The Administrative
        Agent
        shall in all cases be fully protected in acting, or in refraining from acting,
        under this Agreement and the other Loan Documents in accordance with a request
        of the Required Lenders (or, if so specified by this Agreement, all Lenders),
        and such request and any action taken or failure to act pursuant thereto
        shall
        be binding upon all the Lenders and all future holders of the Revolving
        Loans.

       

      9.5  Notice
        of Default.  The Administrative Agent shall not be deemed to have
        knowledge or notice of the occurrence of any Default or Event of Default
        unless
        the Administrative Agent has received notice from a Lender or the Borrower
        referring to this Agreement, describing such Default or Event of Default
        and
        stating that such notice is a “notice of default”. In the event that the
        Administrative Agent receives such a notice, the Administrative Agent shall
        give
        notice thereof to the Lenders. The Administrative Agent shall take such action
        with respect to such Default or Event of Default as shall be reasonably directed
        by the Required Lenders (or, if so specified by this Agreement, all Lenders);
        provided that unless and until the Administrative Agent shall have
        received such directions, the Administrative Agent may (but shall not be
        obligated to) take such action, or refrain from taking such action, with
        respect
        to such Default or Event of Default as it shall deem advisable in the best
        interests of the Lenders.

       

      9.6  Non-Reliance
        on the Administrative Agent and Other Lenders.  Each Lender expressly
        acknowledges that neither the Administrative Agent nor any of its respective
        officers, directors, employees, agents, attorneys-in-fact or affiliates have
        made any representations or warranties to it and that no act by the
        Administrative Agent hereafter taken, including any review of the affairs
        of a
        Loan Party or any affiliate of a Loan Party, shall be deemed to constitute
        any
        representation or warranty by the Administrative Agent to any Lender. Each
        Lender represents to the Administrative Agent that it has, independently
        and
        without reliance upon the Administrative Agent or any other Lender, and based
        on
        such documents and information as it has deemed appropriate, made its own
        appraisal of and investigation into the business, operations, property,
        financial and other condition and creditworthiness of the Loan Parties and
        their
        affiliates and made its own decision to make its Revolving Loans hereunder
        and
        enter into this Agreement. Each Lender also represents that it will,
        independently and without reliance upon the Administrative Agent or any other
        Lender, and based on such documents and information as it shall deem appropriate
        at the time, continue to make its own credit analysis, appraisals and decisions
        in taking or not taking action under this Agreement and the other Loan
        Documents, and to make such investigation as it deems necessary to inform
        itself
        as to the business, operations, property, financial and other condition and
        creditworthiness of the Loan Parties and their affiliates. Except for notices,
        reports and other documents expressly required to be furnished to the Lenders
        by
        the Administrative Agent hereunder, the Administrative Agent shall not have
        any
        duty or responsibility to provide any Lender with any credit or other
        information concerning the business, operations, property, condition (financial
        or otherwise), prospects or creditworthiness of any Loan Party or any affiliate
        of a Loan Party that may come into the possession of the Administrative Agent
        or
        any of its officers, directors, employees, agents, attorneys-in-fact or
        affiliates.

       

      
        
          
          

        

        
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      9.7  Indemnification. 
        The Lenders agree to indemnify the Administrative Agent in its capacity as
        such
        (to the extent not reimbursed by the Borrower and without limiting the
        obligation of the Borrower to do so), ratably according to their respective
        Aggregate Exposure Percentages in effect on the date on which indemnification
        is
        sought under this Section (or, if indemnification is sought after the date
        upon
        which the Revolving Commitments shall have terminated and the Revolving Loans
        shall have been paid in full, ratably in accordance with such Aggregate Exposure
        Percentages immediately prior to such date), from and against any and all
        liabilities, obligations, losses, damages, penalties, actions, judgments,
        suits,
        costs, expenses or disbursements of any kind whatsoever that may at any time
        (whether before or after the payment of the Revolving Loans) be imposed on,
        incurred by or asserted against the Administrative Agent in any way relating
        to
        or arising out of, the Revolving Commitments, this Agreement, any of the
        other
        Loan Documents or any documents contemplated by or referred to herein or
        therein
        or the transactions contemplated hereby or thereby or any action taken or
        omitted by the Administrative Agent under or in connection with any of the
        foregoing; provided that no Lender shall be liable for the payment of any
        portion of such liabilities, obligations, losses, damages, penalties, actions,
        judgments, suits, costs, expenses or disbursements that are found by a final
        and
        nonappealable decision of a court of competent jurisdiction to have resulted
        from the Administrative Agent’s gross negligence or willful misconduct. The
        agreements in this Section shall survive the payment of the Revolving Loans
        and
        all other amounts payable hereunder.

       

      9.8  Administrative
        Agent in Its Individual Capacity.  The Administrative Agent and its
        affiliates may make loans to, accept deposits from and generally engage in
        any
        kind of business with any Loan Party as though the Administrative Agent were
        not
        the Administrative Agent. With respect to its Revolving Loans made or renewed
        by
        it and with respect to any Letter of Credit issued or participated in by
        it, the
        Administrative Agent shall have the same rights and powers under this Agreement
        and the other Loan Documents as any Lender and may exercise the same as though
        it were not the Administrative Agent, and the terms “Lender” and “Lenders” shall
        include the Administrative Agent in its individual capacity as a Lender under
        this Agreement.

       

      9.9  Successor
        Administrative Agent.  The Administrative Agent may resign as
        Administrative Agent upon 10 days’ notice to the Lenders and the Borrower. If
        the Administrative Agent shall resign as Administrative Agent under this
        Agreement and the other Loan Documents, then the Required Lenders shall appoint
        from among the Lenders a successor agent for the Lenders, which successor
        agent
        shall be subject to approval by the Borrower (which approval shall not be
        unreasonably withheld or delayed), whereupon such successor agent shall succeed
        to the rights, powers and duties of the Administrative Agent, and the term
        “Administrative Agent” shall mean such successor agent effective upon such
        appointment and approval, and the former Administrative Agent’s rights, powers
        and duties as Administrative Agent shall be terminated, without any other
        or
        further act or deed on the part of such former Administrative Agent or any
        of
        the parties to this Agreement or any holders of the Revolving Loans. If no
        successor agent has accepted appointment as Administrative Agent by the date
        that is 10 days following a retiring Administrative Agent’s notice of
        resignation, the retiring Administrative Agent’s resignation shall nevertheless
        thereupon become effective, and the Lenders shall assume and perform all
        of the
        duties of the Administrative Agent hereunder until such time, if any, as
        the
        Required Lenders appoint a successor agent as provided for above. After any
        retiring Administrative Agent’s resignation as Administrative Agent, the
        provisions of this Section 9 shall inure to its benefit as to any actions
        taken
        or omitted to be taken by it while it was Administrative Agent under this
        Agreement and the other Loan Documents.

       

      
        
          
          

        

        
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      SECTION
        10.  MISCELLANEOUS

       

      10.1  Amendments
        and Waivers.  Neither this Agreement, any other Loan Document, nor any
        terms hereof or thereof may be amended, supplemented or modified except in
        accordance with the provisions of this Section 10.1. The Required Lenders
        and
        each Loan Party party to the relevant Loan Document may, or, with the written
        consent of the Required Lenders, the Administrative Agent and each Loan Party
        party to the relevant Loan Document may, from time to time, (a) enter into
        written amendments, supplements or modifications hereto and to the other
        Loan
        Documents for the purpose of adding any provisions to this Agreement or the
        other Loan Documents or changing in any manner the rights of the Lenders
        or of
        the Loan Parties hereunder or thereunder or (b) waive, on such terms and
        conditions as the Required Lenders or the Administrative Agent, as the case
        may
        be, may specify in such instrument, any of the requirements of this Agreement
        or
        the other Loan Documents or any Default or Event of Default and its
        consequences; provided, however, that no such waiver and no such
        amendment, supplement or modification shall (i) except as set forth in Section
        2.17, forgive the principal amount or extend the final scheduled date of
        maturity of any Revolving Loan, reduce the stated rate of any interest or
        fee
        payable hereunder (except (x) in connection with the waiver of applicability
        of
        any post-default increase in interest rates (which waiver shall be effective
        with the consent of the Required Lenders) and (y) that any amendment or
        modification of defined terms used in the financial covenants in this Agreement
        shall not constitute a reduction in the rate of interest or fees for purposes
        of
        this clause (i)) or extend the scheduled date of any payment thereof, or
        increase the amount or extend the expiration date of any Lender’s Revolving
        Commitment, in each case without the written consent of each Lender directly
        affected thereby; (ii) eliminate or reduce the voting rights of any Lender
        under
        this Section 10.1 without the written consent of such Lender; (iii) reduce
        any
        percentage specified in the definition of Required Lenders, consent to the
        assignment or transfer by the Borrower of any of its rights and obligations
        under this Agreement and the other Loan Documents, release all or substantially
        all of the Collateral or release any significant Subsidiary Guarantor from
        its
        obligations under the Guarantee and Collateral Agreement, in each case without
        the written consent of all Lenders; (iv) amend, modify or waive any provision
        of
        Section 9 without the written consent of the Administrative Agent; or (v)
        amend,
        modify or waive any provision of Section 3 without the written consent of
        the
        Issuing Lender. Notwithstanding anything contained herein to the contrary,
        the
        affirmative vote of Lenders holding at least 66-2/3% of the Total Revolving
        Commitments then in effect (or, if the Revolving Commitments have been
        terminated, the Total Revolving Extensions of Credit then outstanding) shall
        be
        required to amend, modify or waive any provision of Section 2.17. Any such
        waiver and any such amendment, supplement or modification shall apply equally
        to
        each of the Lenders and shall be binding upon the Loan Parties, the Lenders,
        the
        Administrative Agent and all future holders of the Revolving Loans. In the
        case
        of any waiver, the Loan Parties, the Lenders and the Administrative Agent
        shall
        be restored to their former position and rights hereunder and under the other
        Loan Documents, and any Default or Event of Default waived shall be deemed
        to be
        cured and not continuing; but no such waiver shall extend to any subsequent
        or
        other Default or Event of Default, or impair any right consequent
        thereon.

       

      10.2  Notices. 
        All notices, requests and demands to or upon the respective parties hereto
        to be
        effective shall be in writing (including by telecopy), and, unless otherwise
        expressly provided herein, shall be deemed to have been duly given or made
        when
        delivered, or three Business Days after being deposited in the mail, postage
        prepaid, or, in the case of telecopy notice, when received, addressed as
        follows
        in the case of the Borrower and the Administrative Agent, and as set forth
        in an
        administrative questionnaire delivered to the Administrative Agent in the
        case
        of the Lenders, or to such other address as may be hereafter notified by
        the
        respective parties hereto:

       

      
        
          
          

        

        
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                Borrower:

              	
                Take-Two
                  Interactive Software, Inc.

                622
                  Broadway

                New
                  York, New York 10012

              
	 	
                Attention:
                  Karl Winters, Chief Financial Officer

              
	 	
                Telecopy:
                  646-536-2923

              
	 	
                Telephone:
                  646-536-3002

              
	 	 
	
                Administrative
                  Agent:

              	
                JPMorgan
                  Chase Bank, N.A. 

                277
                  Park Avenue, 16th
                  Floor

                New
                  York, New York 10172

              
	 	
                Attention:
                  Anne Biancardi

              
	 	
                Telecopy:
                  646-534-3078

              
	 	
                Telephone:
                  212-622-8793

              
	 	 

      

      provided
        that any
        notice, request or demand relating to the borrowing of Revolving Loans or
        the
        issuance of Letters of Credit to or upon the Administrative Agent or the
        Lenders
        shall not be effective until received.

       

      Notices
        and other communications to the Lenders hereunder may be delivered or furnished
        by electronic communications pursuant to procedures approved by the
        Administrative Agent; provided
        that the
        foregoing shall not apply to notices pursuant to Section 2 unless otherwise
        agreed by the Administrative Agent and the applicable Lender. The Administrative
        Agent or the Borrower may, in its discretion, agree to accept notices and
        other
        communications to it hereunder by electronic communications pursuant to
        procedures approved by it; provided
        that
        approval of such procedures may be limited to particular notices or
        communications.

       

      10.3  No
        Waiver; Cumulative Remedies.  No failure to exercise and no delay in
        exercising, on the part of the Administrative Agent or any Lender, any right,
        remedy, power or privilege hereunder or under the other Loan Documents shall
        operate as a waiver thereof; nor shall any single or partial exercise of
        any
        right, remedy, power or privilege hereunder preclude any other or further
        exercise thereof or the exercise of any other right, remedy, power or privilege.
        The rights, remedies, powers and privileges herein provided are cumulative
        and
        not exclusive of any rights, remedies, powers and privileges provided by
        law.

       

      10.4  Survival
        of Representations and Warranties.  All representations and warranties
        made hereunder, in the other Loan Documents and in any document, certificate
        or
        statement delivered pursuant hereto or in connection herewith shall survive
        the
        execution and delivery of this Agreement and the making of the Revolving
        Loans
        and other extensions of credit hereunder.

       

      
        
          
          

        

        
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      10.5  Payment
        of Expenses and Taxes.  The Borrower agrees (a) to pay or reimburse the
        Administrative Agent for all its out-of-pocket costs and expenses incurred
        in
        connection with the development, preparation and execution of, and any
        amendment, supplement or modification to, this Agreement and the other Loan
        Documents and any other documents prepared in connection herewith or therewith,
        and the consummation and administration of the transactions contemplated
        hereby
        and thereby, including the reasonable fees and disbursements of counsel to
        the
        Administrative Agent and filing and recording fees and expenses, with statements
        with respect to the foregoing to be submitted to the Borrower prior to the
        Closing Date (in the case of amounts to be paid on the Closing Date) and
        from
        time to time thereafter on a quarterly basis or such other periodic basis
        as the
        Administrative Agent shall deem appropriate, (b) to pay or reimburse each
        Lender
        and the Administrative Agent for all its costs and expenses incurred in
        connection with the enforcement or preservation of any rights under this
        Agreement, the other Loan Documents and any such other documents, including
        the
        fees and disbursements of counsel to each Lender and of counsel to the
        Administrative Agent; provided that the Borrower shall not be responsible
        to pay or reimburse more than one counsel to the Administrative Agent and
        the
        Lenders, taken as a group, pursuant to this clause (b) except in cases in
        which
        more than one counsel is necessitated by legal conflicts, (c) to pay, indemnify,
        and hold each Lender and the Administrative Agent harmless from, any and
        all
        recording and filing fees and any and all liabilities with respect to, or
        resulting from any delay in paying, stamp, excise and other taxes, if any,
        that
        may be payable or determined to be payable in connection with the execution
        and
        delivery of, or consummation or administration of any of the transactions
        contemplated by, or any amendment, supplement or modification of, or any
        waiver
        or consent under or in respect of, this Agreement, the other Loan Documents
        and
        any such other documents, and (d) to pay, indemnify, and hold each Lender
        and
        the Administrative Agent and their respective officers, directors, employees,
        affiliates, agents and controlling persons (each, an “Indemnitee”)
        harmless from and against any and all other liabilities, obligations, losses,
        damages, penalties, actions, judgments, suits, costs, expenses or disbursements
        of any kind or nature whatsoever with respect to the execution, delivery,
        enforcement, performance and administration of this Agreement, the other
        Loan
        Documents and any such other documents, including any of the foregoing relating
        to the use of proceeds of the Revolving Loans or the violation of, noncompliance
        with or liability under, any Environmental Law applicable to the operations
        of
        any Group Member or any of the Properties and the reasonable fees and expenses
        of legal counsel in connection with claims, actions or proceedings by any
        Indemnitee against any Loan Party under any Loan Document (all the foregoing
        in
        this clause (d), collectively, the “Indemnified Liabilities”),
provided, that the Borrower shall have no obligation hereunder to
        any
        Indemnitee with respect to Indemnified Liabilities to the extent such
        Indemnified Liabilities are found by a final and nonappealable decision of
        a
        court of competent jurisdiction to have resulted from the gross negligence
        or
        willful misconduct of such Indemnitee. Without limiting the foregoing, and
        to
        the extent permitted by applicable law, the Borrower agrees not to assert
        and to
        cause its Subsidiaries not to assert, and hereby waives and agrees to cause
        its
        Subsidiaries to waive, all rights for contribution or any other rights of
        recovery with respect to all claims, demands, penalties, fines, liabilities,
        settlements, damages, costs and expenses of whatever kind or nature, under
        or
        related to Environmental Laws, that any of them might have by statute or
        otherwise against any Indemnitee. All amounts due under this Section 10.5
        shall
        be payable not later than 10 days after written demand therefor. Statements
        payable by the Borrower pursuant to this Section 10.5 shall be submitted
        to the
        Borrower as required by Section 10.2. The agreements in this Section 10.5
        shall
        survive repayment of the Revolving Loans and all other amounts payable
        hereunder.

       

      
        10.6  Successors
          and Assigns; Participations and Assignments.  (a) The provisions of
          this Agreement shall be binding upon and inure to the benefit of the parties
          hereto and their respective successors and assigns permitted hereby (including
          any affiliate of the Issuing Lender that issues any Letter of Credit),
          except
          that (i) the Borrower may not assign or otherwise transfer any of its rights
          or
          obligations hereunder without the prior written consent of each Lender
          (and any
          attempted assignment or transfer by the Borrower without such consent shall
          be
          null and void) and (ii) no Lender may assign or otherwise transfer its
          rights or
          obligations hereunder except in accordance with this Section.

      

      

      (b)(i)
        Subject to the conditions set forth in paragraph (b)(ii) below, any Lender
        may
        assign to one or more assignees (each, an “Assignee”)
        all or
        a portion of its rights and obligations under this Agreement (including all
        or a
        portion of its Revolving Commitments and the Revolving Loans at the time
        owing
        to it) with the prior written consent of:

      

      
        
          
          

        

        
          47

          
            

          

        

        
          
          

        

      

      (A)
        the
        Borrower (such consent not to be unreasonably withheld), provided
        that no
        consent of the Borrower shall be required for an assignment to a Lender,
        an
        affiliate of a Lender, an Approved Fund (as defined below) or, if an Event
        of
        Default under Section 8(a) or (f) has occurred and is continuing, any other
        Person; and

      

      (B) the
        Administrative Agent and the Issuing Lender.

      

      (ii)
        Assignments shall be subject to the following additional conditions:

      (A)
        except in the case of an assignment to a Lender or an assignment of the entire
        remaining amount of the assigning Lender’s Revolving Commitments or Revolving
        Loans under any Facility, the amount of the Revolving Commitments or Revolving
        Loans of the assigning Lender subject to each such assignment (determined
        as of
        the date the Assignment and Assumption with respect to such assignment is
        delivered to the Administrative Agent) shall not be less than $5,000,000
        unless
        each of the Borrower and the Administrative Agent otherwise consent,
provided
        that (1)
        no such consent of the Borrower shall be required if an Event of Default
        under
        Section 8(a) or (f) has occurred and is continuing and (2) such amounts shall
        be
        aggregated in respect of each Lender; 

      

      (B)
        the
        parties to each assignment shall execute and deliver to the Administrative
        Agent
        an Assignment and Assumption, together with a processing and recordation
        fee of
        $3,500 payable by the assigning Lender to the Administrative Agent; and

      

      (C) the
        Assignee, if it shall not be a Lender, shall deliver to the Administrative
        Agent
        an administrative questionnaire and any forms required by Section
        2.13(d).

      

      For
        the
        purposes of this Section 10.6, “Approved
        Fund”
        means
        any Person (other than a natural person) that is engaged in making, purchasing,
        holding or investing in bank loans and similar extensions of credit in the
        ordinary course of its business and that is administered or managed by (a)
        a
        Lender, (b) an affiliate of a Lender or (c) an entity or an affiliate of
        an
        entity that administers or manages a Lender.

      (iii)
        Subject to acceptance and recording thereof pursuant to paragraph (b)(iv)
        below, from and after the effective date specified in each Assignment and
        Assumption the Assignee thereunder shall be a party hereto and, to the extent
        of
        the interest assigned by such Assignment and Assumption, have the rights
        and
        obligations of a Lender under this Agreement, and the assigning Lender
        thereunder shall, to the extent of the interest assigned by such Assignment
        and
        Assumption, be released from its obliga-tions under this Agreement (and,
        in the
        case of an Assignment and Assumption covering all of the assigning Lender’s
        rights and obligations under this Agreement, such Lender shall cease to be
        a
        party hereto but shall continue to be entitled to the benefits of
        Sections 2.12, 2.13, 2.14 and 10.5). Any assignment or transfer by
        a Lender
        of rights or obligations under this Agreement that does not comply with this
        Section 10.6 shall be treated for purposes of this Agreement as a sale by
        such
        Lender of a participation in such rights and obligations in accordance with
        paragraph (c) of this Section.

      

      
        (iv)
          The
          Administrative Agent, acting for this purpose as an agent of the Borrower,
          shall
          maintain at one of its offices a copy of each Assignment and Assumption
          delivered to it and a register for the recordation of the names and addresses
          of
          the Lenders, and the Revolving Commitments of, and principal amount of
          the
          Revolving Loans and L/C Obligations owing to, each Lender pursuant to the
          terms
          hereof from time to time (the “Register”).
          The
          entries in the Register shall be conclusive, and the Borrower, the
          Administrative Agent, the Issuing Lender and the Lenders may treat each
          Person
          whose name is recorded in the Register pursuant to the terms hereof as
          a Lender
          hereunder for all purposes of this Agreement, notwithstanding notice to
          the
          contrary. 

      

      

      
        
          
          

        

        
          48

          
            

          

        

        
          
          

        

      

      (v)
        Upon
        its receipt of a duly completed Assignment and Assumption executed by an
        assigning Lender and an Assignee, the Assignee’s completed administrative
        questionnaire (unless the Assignee shall already be a Lender hereunder),
        the
        processing and recordation fee referred to in paragraph (b) of this
        Section
        and any written consent to such assignment required by paragraph (b) of this
        Section, the Administrative Agent shall accept such Assignment and Assumption
        and record the information contained therein in the Register. No assignment
        shall be effective for purposes of this Agreement unless it has been recorded
        in
        the Register as provided in this paragraph.

      

      (c)(i)
        Any Lender may, without the consent of the Borrower or the Administrative
        Agent,
        sell participations to one or more banks or other entities (a “Participant”)
        in all
        or a portion of such Lender’s rights and obligations under this Agreement
        (including all or a portion of its Revolving Commitments and the Revolving
        Loans
        owing to it); provided
        that
        (A) such Lender’s obligations under this Agreement shall remain unchanged,
        (B) such Lender shall remain solely responsible to the other parties
        hereto
        for the performance of such obligations and (C) the Borrower, the
        Administrative Agent, the Issuing Lender and the other Lenders shall continue
        to
        deal solely and directly with such Lender in connection with such Lender’s
        rights and obligations under this Agreement. Any agreement pursuant to which
        a
        Lender sells such a participation shall provide that such Lender shall retain
        the sole right to enforce this Agreement and to approve any amendment,
        modification or waiver of any provision of this Agreement; provided
        that
        such agreement may provide that such Lender will not, without the consent
        of the
        Participant, agree to any amendment, modification or waiver that (1) requires
        the consent of each Lender directly affected thereby pursuant to the proviso
        to
        the second sentence of Section 10.1 and (2) directly affects such Participant.
        Subject to paragraph (c)(ii) of this Section, the Borrower agrees that each
        Participant shall be entitled to the benefits of Sections 2.12, 2.13 and
        2.14 to
        the same extent as if it were a Lender and had acquired its interest by
        assignment pursuant to paragraph (b) of this Section. To the extent permitted
        by
        law, each Participant also shall be entitled to the benefits of
        Section 10.7(b) as though it were a Lender, provided such Participant
        shall
        be subject to Section 10.7(a) as though it were a Lender.

      

      (ii)
        A
        Participant shall not be entitled to receive any greater payment under Section
        2.12, 2.13 or 2.14 than the applicable Lender would have been entitled to
        receive with respect to the participation sold to such Participant, unless
        the
        sale of the participation to such Participant is made with the Borrower’s prior
        written consent. Any Participant that is a Non-U.S. Lender shall not be entitled
        to the benefits of Section 2.13 unless such Participant complies with
        Section 2.13(d). 

      

      (d)  Any
        Lender may at any time pledge or assign a security interest in all or any
        portion of its rights under this Agreement to secure obligations of such
        Lender,
        including any pledge or assignment to secure obligations to a Federal Reserve
        Bank, and this Section shall not apply to any such pledge or assignment of
        a
        security interest; provided
        that no
        such pledge or assignment of a security interest shall release a Lender from
        any
        of its obligations hereunder or substitute any such pledgee or Assignee for
        such
        Lender as a party hereto.

      

      (e)
        The
        Borrower, upon receipt of written notice from the relevant Lender, agrees
        to
        issue Notes to any Lender requiring Notes to facilitate transactions of the
        type
        described in paragraph (d) above.

       

      
        10.7  Adjustments;
          Set-off.  (a) Except to the extent that this Agreement expressly
          provides for payments to be allocated to a particular Lender, if any Lender
          (a
“Benefitted Lender”) shall receive any payment of all or part of the
          Obligations owing to it, or receive any collateral in respect thereof (whether
          voluntarily or involuntarily, by set-off, pursuant to events or proceedings
          of
          the nature referred to in Section 8(f), or otherwise), in a greater proportion
          than any such payment to or collateral received by any other Lender, if
          any, in
          respect of the Obligations owing to such other Lender, such Benefitted
          Lender
          shall purchase for cash from such other Lender a participating interest
          in such
          portion of the Obligations owing to such other Lender, or shall provide
          such
          other Lender with the benefits of any such collateral, as shall be necessary
          to
          cause such Benefitted Lender to share the excess payment or benefits of
          such
          collateral ratably with such other Lender; provided, however, that
          if all or any portion of such excess payment or benefits is thereafter
          recovered
          from such Benefitted Lender, such purchase shall be rescinded, and the
          purchase
          price and benefits returned, to the extent of such recovery, but without
          interest.

      

       

      
        
          
          

        

        
          49

          
            

          

        

        
          
          

        

      

      (b)  In
        addition to any rights and remedies of the Lenders provided by law, each
        Lender
        shall have the right, without prior notice to the Borrower, any such notice
        being expressly waived by the Borrower to the extent permitted by applicable
        law, upon any amount becoming due and payable by the Borrower hereunder (whether
        at the stated maturity, by acceleration or otherwise), to set off and
        appropriate and apply against such amount any and all deposits (general or
        special, time or demand, provisional or final), in any currency, and any
        other
        credits, indebtedness or claims, in any currency, in each case whether direct
        or
        indirect, absolute or contingent, matured or unmatured, at any time held
        or
        owing by such Lender or any branch or agency thereof to or for the credit
        or the
        account of the Borrower, as the case may be. Each Lender agrees promptly
        to
        notify the Borrower and the Administrative Agent after any such setoff and
        application made by such Lender, provided
        that the
        failure to give such notice shall not affect the validity of such setoff
        and
        application.

       

      10.8  Counterparts. 
        This Agreement may be executed by one or more of the parties to this Agreement
        on any number of separate counterparts, and all of said counterparts taken
        together shall be deemed to constitute one and the same instrument. Delivery
        of
        an executed signature page of this Agreement by facsimile transmission shall
        be
        effective as delivery of a manually executed counterpart hereof. A set of
        the
        copies of this Agreement signed by all the parties shall be lodged with the
        Borrower and the Administrative Agent.

       

      10.9  Severability.
         Any provision of this Agreement that 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, and any such prohibition or unenforceability in any
        jurisdiction shall not invalidate or render unenforceable such provision
        in any
        other jurisdiction.

       

      10.10  Integration.
         This Agreement and the other Loan Documents represent the entire
        agreement
        of the Borrower, the Administrative Agent and the Lenders with respect to
        the
        subject matter hereof and thereof, and there are no promises, undertakings,
        representations or warranties by the Administrative Agent or any Lender relative
        to the subject matter hereof not expressly set forth or referred to herein
        or in
        the other Loan Documents.

       

      10.11  GOVERNING
        LAW.  THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS
        OF
        THE PARTIES UNDER THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED AND
        INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW
        YORK.

       

      
        
          
          

        

        
          50

          
            

          

        

        
          
          

        

      

      10.12  Submission
        To Jurisdiction; Waivers.  Each of the parties hereto hereby
        irrevocably and unconditionally:

       

      (a) submits
        for itself and its property in any legal action or proceeding relating to
        this
        Agreement and the other Loan Documents to which it is a party, or for
        recognition and enforcement of any judgment in respect thereof, to the
        non-exclusive general jurisdiction of the courts of the State of New York,
        the
        courts of the United States for the Southern District of New York,
        and
        appellate courts from any thereof;

       

      (b) consents
        that any such action or proceeding may be brought in such courts and waives
        any
        objection that it may now or hereafter have to the venue of any such action
        or
        proceeding in any such court or that such action or proceeding was brought
        in an
        inconvenient court and agrees not to plead or claim the same;

       

      (c) agrees
        that service of process in any such action or proceeding may be effected
        by
        mailing a copy thereof by registered or certified mail (or any substantially
        similar form of mail), postage prepaid, the Borrower, at its address set
        forth
        in Section 10.2 or at such other address of which the Administrative Agent
        shall
        have been notified pursuant thereto;

       

      (d) agrees
        that nothing herein shall affect the right to effect service of process in
        any
        other manner permitted by law or shall limit the right to sue in any other
        jurisdiction; and

       

      (e) waives,
        to the maximum extent not prohibited by law, any right it may have to claim
        or
        recover in any legal action or proceeding referred to in this Section any
        special, exemplary, punitive or consequential damages.

       

      10.13  Acknowledgements. 
        The Borrower hereby acknowledges that:

       

      (a) it
        has
        been advised by counsel in the negotiation, execution and delivery of this
        Agreement and the other Loan Documents;

       

      (b) neither
        the Administrative Agent nor any Lender has any fiduciary relationship with
        or
        duty to the Borrower arising out of or in connection with this Agreement
        or any
        of the other Loan Documents, and the relationship between Administrative
        Agent
        and Lenders, on one hand, and the Borrower, on the other hand, in connection
        herewith or therewith is solely that of debtor and creditor; and

       

      (c) no
        joint
        venture is created hereby or by the other Loan Documents or otherwise exists
        by
        virtue of the transactions contemplated hereby among the Lenders or among
        the
        Borrower and the Lenders.

       

      10.14  Releases
        of Guarantees and Liens.  (a) Notwithstanding anything to the contrary
        contained herein or in any other Loan Document, the Administrative Agent
        is
        hereby irrevocably authorized by each Lender (without requirement of notice
        to
        or consent of any Lender except as expressly required by Section 10.1) to
        take
        any action requested by the Borrower having the effect of releasing any
        Collateral or guarantee obligations (i) to the extent necessary to permit
        consummation of any transaction not prohibited by any Loan Document or that
        has
        been consented to in accordance with Section 10.1 or (ii) under the
        circumstances described in paragraph (b) below.

       

      (b)  At
        such
        time as the Revolving Loans, the Reimbursement Obligations and the other
        obligations under the Loan Documents (other than obligations under or in
        respect
        of Swap Agreements) shall have been paid in full, the Revolving Commitments
        have
        been terminated and no Letters of Credit shall be outstanding (other than
        Letters of Credit that are fully cash collateralized), the Collateral shall
        be
        released from the Liens created by the Security Documents, and the Security
        Documents and all obligations (other than those expressly stated to survive
        such
        termination) of the Administrative Agent and each Loan Party under this
        Agreement and the Security Documents shall terminate, all without delivery
        of
        any instrument or performance of any act by any Person.

       

      
        
          
          

        

        
          51

          
            

          

        

        
          
          

        

      

      10.15  Confidentiality.
         Each of the Administrative Agent and each Lender agrees to keep
        confidential all non-public information provided to it by any Loan Party,
        the
        Administrative Agent or any Lender pursuant to or in connection with this
        Agreement that is designated by the provider thereof as confidential;
provided that nothing herein shall prevent the Administrative Agent or
        any Lender from disclosing any such information (a) to the Administrative
        Agent,
        any other Lender or any affiliate thereof, (b) subject to an agreement to
        comply
        with the provisions of this Section, to any actual or prospective Transferee
        or
        any direct or indirect counterparty to any Swap Agreement (or any professional
        advisor to such counterparty), (c) to its employees, directors, agents,
        attorneys, accountants and other professional advisors or those of any of
        its
        affiliates, (d) upon the request or demand of any Governmental Authority,
        (e) in
        response to any order of any court or other Governmental Authority or as
        may
        otherwise be required pursuant to any Requirement of Law, (f) if requested
        or
        required to do so in connection with any litigation or similar proceeding,
        (g)
        that has been publicly disclosed, (h) to any nationally recognized rating
        agency
        that requires access to information about a Lender’s investment portfolio in
        connection with ratings issued with respect to such Lender, or (i) in connection
        with the exercise of any remedy hereunder or under any other Loan Document;
        provided that the Administrative Agent or the relevant Lender shall, so
        long as practicable, give notice to the Borrower promptly after any request
        or
        receipt of any order described in clauses (d), (e) or (f) above.

      

      10.16  WAIVERS
        OF JURY TRIAL.  THE BORROWER, THE ADMINISTRATIVE AGENT
        AND THE LENDERS HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVE TRIAL BY JURY
        IN
        ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN
        DOCUMENT AND FOR ANY COUNTERCLAIM THEREIN. IN WITNESS WHEREOF, the
        parties hereto have caused this Agreement to be duly executed and delivered
        by
        their proper and duly authorized officers as of the day and year first above
        written.

      
        
          
          

        

        
          52

          
            

          

        

        
          
          

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

          
            	 	 	 
	 	
                    TAKE-TWO
                      INTERACTIVE SOFTWARE, INC.,

                    as Borrower

                  
	 
 	 
 	 
 
	 	By:  	
                    /s/ Karl
                      H. Winter

                  
	 	Karl H. Winters
	 	Chief
                    Financial Officer

          

        

      

       

       

       

      
        	 	 	 
	 	
                JPMORGAN
                  CHASE BANK, N.A., 

                as Administrative Agent and as a
                  Lender

              
	 
 	 
 	 
 
	 	By:  	/s/ Anne
                Biancardi 
	 	Anne Biancardi 
	 	Vice
                President

      

      
         

        List
          of Omitted Schedules and Exhibits

        
           

          SCHEDULES:

           

          
            	1.1	
                    Commitments

                  

          

          
            	4.3	
                    Good
                      Standing

                  

          

          
            	4.4	
                    Consents,
                      Authorizations, Filings and Notices

                  

          

          
            	4.6	
                    Litigation

                  

          

          
            	4.12	
                    Labor
                      Matters

                  

          

          
            	4.15	
                    Significant
                      Subsidiaries

                  

          

          
            	4.19	
                    UCC
                      Filing Jurisdictions

                  

          

          
            	7.2(d)	
                    Existing
                      Indebtedness

                  

          

          
            	7.3(f)	
                    Existing
                      Liens

                  

          

          
            	7.8(f)	
                    Existing
                      Investments

                  

          

          

          EXHIBITS:

           

          
            	A	
                    Form
                      of Guarantee and Collateral
                      Agreement

                  

          

          
            	B	
                    Form
                      of Closing Certificate

                  

          

          
            	C	
                    Form
                      of Assignment and Assumption

                  

          

          
            	D	
                    Form
                      of Exemption Certificate

                  

          

          
            	E-1	
                    Form
                      of Extension Request

                  

          

          
            	E-2	
                    Form
                      of Continuation Notice

                  

          

           

          The
            Registrant will furnish the omitted schedules and
            exhibits to the Commission upon request.

        

      

       

      
        
          
          

        

        
          53Unassociated Document

     

    
      

      

    

     

    GUARANTEE
      AND COLLATERAL AGREEMENT

     

    made
      by

     

    TAKE-TWO
      INTERACTIVE SOFTWARE, INC.

     

    and
      certain of its Subsidiaries

     

    in
      favor
      of

     

    JPMORGAN
      CHASE BANK, N.A.,

     

    as
      Administrative Agent

     

    Dated
      as
      of August 24, 2005 

     

    
      

      

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    TABLE
      OF
      CONTENTS

     

    
      
        
          	 	 	
                  Page

                
	
                   

                  SECTION
                    1.    DEFINED
                    TERMS

                	
                   

                  1

                
	
                  1.1

                	
                  Definitions

                	
                  1

                
	
                  1.2

                	
                  Other
                    Definitional Provisions

                	
                  4

                
	
                   

                  SECTION
                    2.    GUARANTEE

                	
                   

                  4

                
	
                  2.1

                	
                  Guarantee

                	
                  4

                
	
                  2.2

                	
                  Right
                    of Contribution

                	
                  5

                
	
                  2.3

                	
                  No
                    Subrogation

                	
                  5

                
	
                  2.4

                	
                  Amendments,
                    etc. with respect to the Borrower Obligations

                	
                  5

                
	
                  2.5

                	
                  Guarantee
                    Absolute and Unconditional

                	
                  6

                
	
                  2.6

                	
                  Reinstatement

                	
                  6

                
	
                  2.7

                	
                  Payments

                	
                  7

                
	
                   

                  SECTION
                    3.    GRANT
                    OF SECURITY INTEREST

                	
                   

                  7

                
	
                   

                  SECTION
                    4.    REPRESENTATIONS
                    AND WARRANTIES

                	
                   

                  8

                
	
                  4.1

                	
                  Title;
                    No Other Liens

                	
                  8

                
	
                  4.2

                	
                  Perfected
                    First Priority Liens

                	
                  8

                
	
                  4.3

                	
                  Jurisdiction
                    of Organization; Chief Executive Office

                	
                  8

                
	
                  4.4

                	
                  Inventory
                    and Equipment

                	
                  8

                
	
                  4.5

                	
                  Farm
                    Products

                	
                  9

                
	
                  4.6

                	
                  Investment
                    Property

                	
                  9

                
	
                  4.7

                	
                  Receivables

                	
                  9

                
	
                  4.8

                	
                  Intellectual
                    Property

                	
                  9

                
	
                  4.9

                	
                  Commercial
                    Tort Claims

                	
                  9

                
	
                   

                  SECTION
                    5.    COVENANTS

                	
                   

                  10

                
	
                  5.1

                	
                  Delivery
                    of Instruments, Certificated Securities and Chattel Paper

                	
                  10

                
	
                  5.2

                	
                  Maintenance
                    of Insurance

                	
                  10

                
	
                  5.3

                	
                  Payment
                    of Obligations

                	
                  10

                
	
                  5.4

                	
                  Maintenance
                    of Perfected Security Interest; Further Documentation

                	
                  11

                
	
                  5.5

                	
                  Changes
                    in Name, etc

                	
                  11

                
	
                  5.6

                	
                  Notices

                	
                  11

                
	
                  5.7

                	
                  Investment
                    Property

                	
                  11

                
	
                  5.8

                	
                  Receivables

                	
                  12

                
	
                  5.9

                	
                  Intellectual
                    Property

                	
                  12

                
	
                  5.10

                	
                  Commercial
                    Tort Claims

                	
                  13

                
	
                   

                  SECTION
                    6.    REMEDIAL
                    PROVISIONS

                	
                   

                  13

                
	
                  6.1

                	
                  Certain
                    Matters Relating to Receivables

                	
                  13

                
	
                  6.2

                	
                  Communications
                    with Obligors; Grantors Remain Liable

                	
                  14

                
	
                  6.3

                	
                  Pledged
                    Stock

                	
                  14

                
	
                  6.4

                	
                  Proceeds
                    to be Turned Over To Administrative Agent

                	
                  15

                
	
                  6.5

                	
                  Application
                    of Proceeds

                	
                  15

                
	
                  6.6

                	
                  Code
                    and Other Remedies

                	
                  15

                
	
                  6.7

                	
                  Registration
                    Rights

                	
                  16

                
	
                  6.8

                	
                  Deficiency

                	
                  16

                

        

         

        
          
            i

          

          
            
            

            
              

            

          

          
            
            

          

        

         

        
          	
                   

                  SECTION
                    7.    THE
                    ADMINISTRATIVE AGENT

                	
                   

                  16

                
	
                  7.1

                	
                  Administrative
                    Agent’s Appointment as Attorney-in-Fact, etc

                	
                  16

                
	
                  7.2

                	
                  Duty
                    of Administrative Agent

                	
                  17

                
	
                  7.3

                	
                  Execution
                    of Financing Statements

                	
                  18

                
	
                  7.4

                	
                  Authority
                    of Administrative Agent

                	
                  18

                
	
                   

                  SECTION
                    8.    MISCELLANEOUS

                	
                   

                  18

                
	
                  8.1

                	
                  Amendments
                    in Writing

                	
                  18

                
	
                  8.2

                	
                  Notices

                	
                  18

                
	
                  8.3

                	
                  No
                    Waiver by Course of Conduct; Cumulative Remedies

                	
                  18

                
	
                  8.4

                	
                  Enforcement
                    Expenses; Indemnification

                	
                  19

                
	
                  8.5

                	
                  Successors
                    and Assigns

                	
                  19

                
	
                  8.6

                	
                  Set-Off

                	
                  19

                
	
                  8.7

                	
                  Counterparts

                	
                  20

                
	
                  8.8

                	
                  Severability

                	
                  20

                
	
                  8.9

                	
                  Section
                    Headings

                	
                  20

                
	
                  8.10

                	
                  Integration

                	
                  20

                
	
                  8.11

                	
                  GOVERNING
                    LAW

                	
                  20

                
	
                  8.12

                	
                  Submission
                    To Jurisdiction; Waivers

                	
                  20

                
	
                  8.13

                	
                  Acknowledgements

                	
                  20

                
	
                  8.14

                	
                  Additional
                    Grantors

                	
                  21

                
	
                  8.15

                	
                  Releases

                	
                  21

                
	
                  8.16

                	
                  WAIVER
                    OF JURY TRIAL

                	
                  21

                

        

      

    

     

    SCHEDULES

     

    Schedule
      1 Notice
      Addresses

    Schedule
      2 Investment
      Property

    Schedule
      3 Perfection
      Matters

    Schedule
      4 Jurisdictions
      of Organization and Chief Executive Offices

    Schedule
      5 Inventory
      and Equipment Locations

    Schedule
      6 Intellectual
      Property

     

    
      
        ii

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    GUARANTEE
      AND COLLATERAL AGREEMENT

     

    GUARANTEE
      AND COLLATERAL AGREEMENT, dated as of August 24, 2005, made by each of the
      signatories hereto (together with any other entity that may become a party
      hereto as provided herein, the “Grantors”),
      in
      favor of JPMORGAN CHASE BANK, N.A., as Administrative Agent (in such capacity,
      the “Administrative
      Agent”)
      for
      the banks and other financial institutions or entities (the “Lenders”)
      from
      time to time parties to the Credit Agreement, dated as of August 24, 2005 (as
      amended, supplemented or otherwise modified from time to time, the “Credit
      Agreement”),
      among
      TAKE-TWO INTERACTIVE SOFTWARE, INC. (the “Borrower”),
      the
      Lenders and the Administrative Agent.

     

    W I T N E 
      ;
      ; ;S S E T H:

     

    WHEREAS,
      pursuant to the Credit Agreement, the Lenders have severally agreed to make
      extensions of credit to the Borrower upon the terms and subject to the
      conditions set forth therein;

     

    WHEREAS,
      the Borrower is a member of an affiliated group of companies that includes
      each
      other Grantor;

     

    WHEREAS,
      the proceeds of the extensions of credit under the Credit Agreement will be
      used
      in part to enable the Borrower to make valuable transfers to one or more of
      the
      other Grantors in connection with the operation of their respective
      businesses;

     

    WHEREAS,
      the Borrower and the other Grantors are engaged in related businesses, and
      each
      Grantor will derive substantial direct and indirect benefit from the making
      of
      the extensions of credit under the Credit Agreement; and

     

    WHEREAS,
      it is a condition precedent to the obligation of the Lenders to make their
      respective extensions of credit to the Borrower under the Credit Agreement
      that
      the Grantors shall have executed and delivered this Agreement to the
      Administrative Agent for the ratable benefit of the Lenders;

     

    NOW,
      THEREFORE, in consideration of the premises and to induce the Administrative
      Agent and the Lenders to enter into the Credit Agreement and to induce the
      Lenders to make their respective extensions of credit to the Borrower
      thereunder, each Grantor hereby agrees with the Administrative Agent, for the
      ratable benefit of the Lenders, as follows:

     

    SECTION
      1. DEFINED
      TERMS

     

    1.1 Definitions.
      (a) 
      Unless
      otherwise defined herein, terms defined in the Credit Agreement and used herein
      shall have the meanings given to them in the Credit Agreement, and the following
      terms are used herein as defined in the New York UCC: Accounts, Certificated
      Security, Chattel Paper, Commercial Tort Claims, Documents, Equipment, Farm
      Products, General Intangibles, Instruments, Inventory, Letter-of-Credit Rights
      and Supporting Obligations.

     

    (b) The
      following terms shall have the following meanings:

     

    “Agreement”:
      this
      Guarantee and Collateral Agreement, as the same may be amended, supplemented
      or
      otherwise modified from time to time.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

       

    

    “Borrower
      Obligations”:
      the
      collective reference to the unpaid principal of and interest on the Revolving
      Loans and Reimbursement Obligations and all other obligations and liabilities
      of
      the Borrower (including, without limitation, interest accruing at the then
      applicable rate provided in the Credit Agreement after the maturity of the
      Revolving Loans and Reimbursement Obligations and interest accruing at the
      then
      applicable rate provided in the Credit Agreement after the filing of any
      petition in bankruptcy, or the commencement of any insolvency, reorganization
      or
      like proceeding, relating to the Borrower, whether or not a claim for
      post-filing or post-petition interest is allowed in such proceeding) to the
      Administrative Agent or any Lender (or, in the case of any Specified Swap
      Agreement or Specified Treasury Agreement, any Affiliate of any Lender), whether
      direct or indirect, absolute or contingent, due or to become due, or now
      existing or hereafter incurred, which may arise under, out of, or in connection
      with, the Credit Agreement, this Agreement, the other Loan Documents, any Letter
      of Credit, any Specified Swap Agreement, any Specified Treasury Agreement or
      any
      other document made, delivered or given in connection with any of the foregoing,
      in each case whether on account of principal, interest, reimbursement
      obligations, fees, indemnities, costs, expenses or otherwise (including, without
      limitation, all fees and disbursements of counsel to the Administrative Agent
      or
      to the Lenders that are required to be paid by the Borrower pursuant to the
      terms of any of the foregoing agreements).

     

    “Collateral”:
      as
      defined in Section 3.

     

    “Collateral
      Account”:
      any
      collateral account established by the Administrative Agent as provided in
      Section 6.1 or 6.4.

     

    “Copyrights”:
      (i)
      all copyrights arising under the laws of the United States, any other country
      or
      any political subdivision thereof, whether registered or unregistered and
      whether published or unpublished (including, without limitation, those listed
      in
      Schedule 6), all registrations and recordings thereof, and all applications
      in
      connection therewith, including, without limitation, all registrations,
      recordings and applications in the United States Copyright Office, and (ii)
      the
      right to obtain all renewals thereof.

     

    “Copyright
      Licenses”:
      any
      written agreement naming any Grantor as licensor or licensee (including, without
      limitation, those listed in Schedule 6), granting any right under any Copyright,
      including, without limitation, the grant of rights to manufacture, distribute,
      exploit and sell materials derived from any Copyright.

     

    “Deposit
      Account”:
      as
      defined in the Uniform Commercial Code of any applicable jurisdiction and,
      in
      any event, including, without limitation, any demand, time, savings, passbook
      or
      like account maintained with a depositary institution.

     

    “Foreign
      Subsidiary Voting Stock”:
      the
      voting Capital Stock of any Foreign Subsidiary.

     

    “Guarantor
      Obligations”:
      with
      respect to any Subsidiary Guarantor, all obligations and liabilities of such
      Subsidiary Guarantor which may arise under or in connection with this Agreement
      (including, without limitation, Section 2) or any other Loan Document to which
      such Subsidiary Guarantor is a party, in each case whether on account of
      guarantee obligations, reimbursement obligations, fees, indemnities, costs,
      expenses or otherwise (including, without limitation, all fees and disbursements
      of counsel to the Administrative Agent or to the Lenders that are required
      to be
      paid by such Subsidiary Guarantor pursuant to the terms of this Agreement or
      any
      other Loan Document).

     

    “Intellectual
      Property”:
      the
      collective reference to all rights, priorities and privileges relating to
      intellectual property, whether arising under United States, multinational or
      foreign laws or otherwise, including, without limitation, the Copyrights, the
      Copyright Licenses, the Patents, the Patent Licenses, the Trademarks and the
      Trademark Licenses, and all rights to sue at law or in equity for any
      infringement or other impairment thereof, including the right to receive all
      proceeds and damages therefrom.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

       

    

    “Intercompany
      Note”:
      any
      promissory note evidencing loans made by any Grantor to the Borrower or any
      of
      its Subsidiaries.

     

    “Investment
      Property”:
      the
      collective reference to (i) all “investment property” as such term is defined in
      Section 9-102(a)(49) of the New York UCC (other than (A) any Foreign Subsidiary
      Voting Stock excluded from the definition of “Pledged Stock” and (B) any shares
      of Capital Stock that are not shares of Capital Stock of Significant
      Subsidiaries) and (ii) whether or not constituting “investment property” as so
      defined, all Pledged Notes and all Pledged Stock.

     

    “Issuers”:
      the
      collective reference to each issuer of any Investment Property.

     

    “New
      York UCC”:
      the
      Uniform Commercial Code as from time to time in effect in the State of New
      York.

     

    “Obligations”:
      (i) in
      the case of the Borrower, the Borrower Obligations, and (ii) in the case of
      each
      Subsidiary Guarantor, its Guarantor Obligations.

     

    “Patents”:
      (i)
      all letters patent of the United States, any other country or any political
      subdivision thereof, all reissues and extensions thereof and all goodwill
      associated therewith, including, without limitation, any of the foregoing
      referred to in Schedule
      6,
      (ii)
      all applications for letters patent of the United States or any other country
      and all divisions, continuations and continuations-in-part thereof, including,
      without limitation, any of the foregoing referred to in Schedule
      6,
      and
      (iii) all rights to obtain any reissues or extensions of the foregoing.

     

    “Patent
      License”:
      all
      agreements, whether written or oral, providing for the grant by or to any
      Grantor of any right to manufacture, use or sell any invention covered in whole
      or in part by a Patent, including, without limitation, any of the foregoing
      referred to in Schedule
      6.

     

    “Pledged
      Notes”:
      all
      promissory notes listed on Schedule
      2,
      all
      Intercompany Notes at any time issued to any Grantor and all other promissory
      notes issued to or held by any Grantor (other than promissory notes issued
      in
      connection with extensions of trade credit by any Grantor in the ordinary course
      of business).

     

    “Pledged
      Stock”:
      the
      shares of Capital Stock listed on Schedule
      2,
      together with the shares of Capital Stock of each Significant Subsidiary created
      or acquired after the Closing Date; provided
      that in
      no event shall more than 66% of the total outstanding Foreign Subsidiary Voting
      Stock of any Foreign Subsidiary be required to be pledged
      hereunder.

     

    “Proceeds”:
      all
“proceeds” as such term is defined in Section 9-102(a)(64) of the New York UCC
      and, in any event, shall include, without limitation, all dividends or other
      income from the Investment Property, collections thereon or distributions or
      payments with respect thereto.

     

    “Receivable”:
      any
      right to payment for goods sold or leased or for services rendered, whether
      or
      not such right is evidenced by an Instrument or Chattel Paper and whether or
      not
      it has been earned by performance (including, without limitation, any
      Account).

     

    “Securities
      Act”:
      the
      Securities Act of 1933, as amended.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

       

    

    “Trademarks”:
      (i)
      all trademarks, trade names, corporate names, company names, business names,
      fictitious business names, trade styles, service marks, logos and other source
      or business identifiers, and all goodwill associated therewith, now existing
      or
      hereafter adopted or acquired, all registrations and recordings thereof, and
      all
      applications in connection therewith, whether in the United States Patent and
      Trademark Office or in any similar office or agency of the United States, any
      State thereof or any other country or any political subdivision thereof, or
      otherwise, and all common-law rights related thereto, including, without
      limitation, any of the foregoing referred to in Schedule
      6,
      and
      (ii) the right to obtain all renewals thereof.

     

    “Trademark
      License”:
      any
      agreement, whether written or oral, providing for the grant by or to any Grantor
      of any right to use any Trademark, including, without limitation, any of the
      foregoing referred to in Schedule
      6.

     

    1.2 Other
      Definitional Provisions.
      (a) The words “hereof,”“herein”, “hereto” and “hereunder” and words of similar
      import when used in this Agreement shall refer to this Agreement as a whole
      and
      not to any particular provision of this Agreement, and Section and Schedule
      references are to this Agreement unless otherwise specified.

     

    (b) The
      meanings given to terms defined herein shall be equally applicable to both
      the
      singular and plural forms of such terms.

     

    (c) Where
      the
      context requires, terms relating to the Collateral or any part thereof, when
      used in relation to a Grantor, shall refer to such Grantor’s Collateral or the
      relevant part thereof.

     

    SECTION
      2. GUARANTEE

     

    2.1 Guarantee.
      (a) Each of the Subsidiary Guarantors hereby, jointly and severally,
      unconditionally and irrevocably, guarantees to the Administrative Agent, for
      the
      ratable benefit of the Lenders and their respective successors, indorsees,
      transferees and assigns, the prompt and complete payment and performance by
      the
      Borrower when due (whether at the stated maturity, by acceleration or otherwise)
      of the Borrower Obligations. 

     

    (b) Anything
      herein or in any other Loan Document to the contrary notwithstanding, the
      maximum liability of each Subsidiary Guarantor hereunder and under the other
      Loan Documents shall in no event exceed the amount which can be guaranteed
      by
      such Subsidiary Guarantor under applicable federal and state laws relating
      to
      the insolvency of debtors (after giving effect to the right of contribution
      established in Section 2.2).

     

    (c) Each
      Subsidiary Guarantor agrees that the Borrower Obligations may at any time and
      from time to time exceed the amount of the liability of such Subsidiary
      Guarantor hereunder without impairing the guarantee contained in this Section
      2
      or affecting the rights and remedies of the Administrative Agent or any Lender
      hereunder. 

     

    (d) The
      guarantee contained in this Section 2 shall remain in full force and effect
      until all the Borrower Obligations and the obligations of each Subsidiary
      Guarantor under the guarantee contained in this Section 2 shall have been
      satisfied by payment in full, no Letter of Credit (other than Letters of Credit
      that are fully cash collateralized) shall be outstanding and the Revolving
      Commitments shall be terminated, notwithstanding that from time to time during
      the term of the Credit Agreement the Borrower may be free from any Borrower
      Obligations.

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

       

    

    (e) No
      payment made by the Borrower, any of the Subsidiary Guarantors, any other
      guarantor or any other Person or received or collected by the Administrative
      Agent or any Lender from the Borrower, any of the Subsidiary Guarantors, any
      other guarantor or any other Person by virtue of any action or proceeding or
      any
      set-off or appropriation or application at any time or from time to time in
      reduction of or in payment of the Borrower Obligations shall be deemed to
      modify, reduce, release or otherwise affect the liability of any Subsidiary
      Guarantor hereunder which shall, notwithstanding any such payment (other than
      any payment made by such Subsidiary Guarantor in respect of the Borrower
      Obligations or any payment received or collected from such Subsidiary Guarantor
      in respect of the Borrower Obligations), remain liable for the Borrower
      Obligations up to the maximum liability of such Subsidiary Guarantor hereunder
      until the Borrower Obligations are paid in full, no Letter of Credit (other
      than
      Letters of Credit that are fully cash collateralized) shall be outstanding
      and
      the
      Revolving Commitments are terminated.

     

    2.2 Right
      of Contribution.
      Each Subsidiary Guarantor hereby agrees that to the extent that a Subsidiary
      Guarantor shall have paid more than its proportionate share of any payment
      made
      hereunder, such Subsidiary Guarantor shall be entitled to seek and receive
      contribution from and against any other Subsidiary Guarantor hereunder which
      has
      not paid its proportionate share of such payment. Each Subsidiary Guarantor’s
      right of contribution shall be subject to the terms and conditions of Section
      2.3. The provisions of this Section 2.2 shall in no respect limit the
      obligations and liabilities of any Subsidiary Guarantor to the Administrative
      Agent and the Lenders, and each Subsidiary Guarantor shall remain liable to
      the
      Administrative Agent and the Lenders for the full amount guaranteed by such
      Subsidiary Guarantor hereunder.

     

    2.3 No
      Subrogation.
      Notwithstanding any payment made by any Subsidiary Guarantor hereunder or any
      set-off or application of funds of any Subsidiary Guarantor by the
      Administrative Agent or any Lender, no Subsidiary Guarantor shall be entitled
      to
      be subrogated to any of the rights of the Administrative Agent or any Lender
      against the Borrower or any other Subsidiary Guarantor or any collateral
      security or guarantee or right of offset held by the Administrative Agent or
      any
      Lender for the payment of the Borrower Obligations, nor shall any Subsidiary
      Guarantor seek or be entitled to seek any contribution or reimbursement from
      the
      Borrower or any other Subsidiary Guarantor in respect of payments made by such
      Subsidiary Guarantor hereunder, until all amounts due and payable to the
      Administrative Agent and the Lenders by the Borrower on account of the Borrower
      Obligations are paid in full, no Letter of Credit (other than Letters of Credit
      that are fully cash collateralized) shall be outstanding and the Revolving
      Commitments are terminated. If any amount shall be paid to any Subsidiary
      Guarantor on account of such subrogation rights at any time when all of the
      Borrower Obligations shall not have been paid in full, such amount shall be
      held
      by such Subsidiary Guarantor in trust for the Administrative Agent and the
      Lenders, segregated from other funds of such Subsidiary Guarantor, and shall,
      forthwith upon an Event of Default, be turned over to the Administrative Agent
      in the exact form received by such Subsidiary Guarantor (duly indorsed by such
      Subsidiary Guarantor to the Administrative Agent, if required), to be applied
      against the Borrower Obligations, whether matured or unmatured, in such order
      as
      the Administrative Agent may determine.

     

    2.4 Amendments,
      etc. with respect to the Borrower Obligations.
      Each
      Subsidiary Guarantor shall remain obligated hereunder notwithstanding that,
      without any reservation of rights against any Subsidiary Guarantor and without
      notice to or further assent by any Subsidiary Guarantor, any demand for payment
      of any of the Borrower Obligations made by the Administrative Agent or any
      Lender may be rescinded by the Administrative Agent or such Lender and any
      of
      the Borrower Obligations continued, and the Borrower Obligations, or the
      liability of any other Person upon or for any part thereof, or any collateral
      security or guarantee therefor or right of offset with respect thereto, may,
      from time to time, in whole or in part, be renewed, extended, amended, modified,
      accelerated, compromised, waived, surrendered or released by the Administrative
      Agent or any Lender, and the Credit Agreement and the other Loan Documents
      and
      any other documents executed and delivered in connection therewith may be
      amended, modified, supplemented or terminated, in whole or in part, as the
      Administrative Agent (or the Required Lenders or all Lenders, as the case may
      be) may deem advisable from time to time, and any collateral security, guarantee
      or right of offset at any time held by the Administrative Agent or any Lender
      for the payment of the Borrower Obligations may be sold, exchanged, waived,
      surrendered or released. Neither the Administrative Agent nor any Lender shall
      have any obligation to protect, secure, perfect or insure any Lien at any time
      held by it as security for the Borrower Obligations or for the guarantee
      contained in this Section 2 or any property subject thereto. 

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

       

    

    2.5 Guarantee
      Absolute and Unconditional.
      Each Subsidiary Guarantor waives any and all notice of the creation, renewal,
      extension or accrual of any of the Borrower Obligations and notice of or proof
      of reliance by the Administrative Agent or any Lender upon the guarantee
      contained in this Section 2 or acceptance of the guarantee contained in this
      Section 2; the Borrower Obligations, and any of them, shall conclusively be
      deemed to have been created, contracted or incurred, or renewed, extended,
      amended or waived, in reliance upon the guarantee contained in this Section
      2;
      and all dealings between the Borrower and any of the Subsidiary Guarantors,
      on
      the one hand, and the Administrative Agent and the Lenders, on the other hand,
      likewise shall be conclusively presumed to have been had or consummated in
      reliance upon the guarantee contained in this Section 2. Each Subsidiary
      Guarantor waives diligence, presentment, protest, demand for payment and notice
      of default or nonpayment to or upon the Borrower or any of the Subsidiary
      Guarantors with respect to the Borrower Obligations. Each Subsidiary Guarantor
      understands and agrees that the guarantee contained in this Section 2 shall
      be
      construed as a continuing, absolute and unconditional guarantee of payment
      without regard to (a) the validity or enforceability of the Credit Agreement
      or
      any other Loan Document, any of the Borrower Obligations or any other collateral
      security therefor or guarantee or right of offset with respect thereto at any
      time or from time to time held by the Administrative Agent or any Lender, (b)
      any defense, set-off or counterclaim (other than a defense of payment or
      performance) which may at any time be available to or be asserted by the
      Borrower or any other Person against the Administrative Agent or any Lender,
      or
      (c) any other circumstance whatsoever (with or without notice to or knowledge
      of
      the Borrower or such Subsidiary Guarantor) which constitutes, or might be
      construed to constitute, an equitable or legal discharge of the Borrower for
      the
      Borrower Obligations, or of such Subsidiary Guarantor under the guarantee
      contained in this Section 2, in bankruptcy or in any other instance. When making
      any demand hereunder or otherwise pursuing its rights and remedies hereunder
      against any Subsidiary Guarantor, the Administrative Agent or any Lender may,
      but shall be under no obligation to, make a similar demand on or otherwise
      pursue such rights and remedies as it may have against the Borrower, any other
      Subsidiary Guarantor or any other Person or against any collateral security
      or
      guarantee for the Borrower Obligations or any right of offset with respect
      thereto, and any failure by the Administrative Agent or any Lender to make
      any
      such demand, to pursue such other rights or remedies or to collect any payments
      from the Borrower, any other Subsidiary Guarantor or any other Person or to
      realize upon any such collateral security or guarantee or to exercise any such
      right of offset, or any release of the Borrower, any other Subsidiary Guarantor
      or any other Person or any such collateral security, guarantee or right of
      offset, shall not relieve any Subsidiary Guarantor of any obligation or
      liability hereunder, and shall not impair or affect the rights and remedies,
      whether express, implied or available as a matter of law, of the Administrative
      Agent or any Lender against any Subsidiary Guarantor. For the purposes hereof
      “demand” shall include the commencement and continuance of any legal
      proceedings.

     

    2.6 Reinstatement.
      The guarantee contained in this Section 2 shall continue to be effective, or
      be
      reinstated, as the case may be, if at any time payment, or any part thereof,
      of
      any of the Borrower Obligations is rescinded or must otherwise be restored
      or
      returned by the Administrative Agent or any Lender upon the insolvency,
      bankruptcy, dissolution, liquidation or reorganization of the Borrower or any
      Subsidiary Guarantor, or upon or as a result of the appointment of a receiver,
      intervenor or conservator of, or trustee or similar officer for, the Borrower
      or
      any Subsidiary Guarantor or any substantial part of its property, or otherwise,
      all as though such payments had not been made.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

       

    

    2.7 Payments.
      Each Subsidiary Guarantor hereby guarantees that payments hereunder will be
      paid
      to the Administrative Agent without set-off or counterclaim in Dollars at the
      Funding Office.

     

    SECTION
      3. GRANT
      OF
      SECURITY INTEREST

     

    Each
      Grantor hereby assigns and transfers to the Administrative Agent, and hereby
      grants to the Administrative Agent, for the ratable benefit of the Lenders,
      a
      security interest in, all of the following property now owned or at any time
      hereafter acquired by such Grantor or in which such Grantor now has or at any
      time in the future may acquire any right, title or interest (collectively,
      the
“Collateral”),
      as
      collateral security for the prompt and complete payment and performance when
      due
      (whether at the stated maturity, by acceleration or otherwise) of such Grantor’s
      Obligations:

     

    (a) all
      Accounts;

     

    (b) all
      Chattel Paper;

     

    (c) all
      Deposit Accounts; 

     

    (d) all
      Documents (other than title documents with respect to vehicles); 

     

    (e) all
      Equipment;

     

    (f) all
      Fixtures;

     

    (g) all
      General Intangibles;

     

    (h) all
      Instruments;

     

    (i) all
      Intellectual Property;

     

    (j) all
      Inventory;

     

    (k) all
      Investment Property;

     

    (l) all
      Letter-of-Credit Rights;

     

    (m) all
      other
      property not otherwise described above (except for any property specifically
      excluded from any clause in this section above, and any property specifically
      excluded from any defined term used in any clause of this section above);

     

    (n) all
      books
      and records pertaining to the Collateral; and

     

    (o) to
      the
      extent not otherwise included, all Proceeds, Supporting Obligations and products
      of any and all of the foregoing and all collateral security and guarantees
      given
      by any Person with respect to any of the foregoing;

     

    provided,
      however,
      that
      notwithstanding any of the other provisions set forth in this Section 3, this
      Agreement shall not constitute a grant of a security interest in any property
      to
      the extent that such grant of a security interest (x) is prohibited by any
      Requirements of Law of a Governmental Authority, requires a consent not obtained
      of any Governmental Authority pursuant to such Requirement of Law or is
      prohibited by, or constitutes a breach or default under or results in the
      termination of or requires any consent not obtained under, any contract,
      license, agreement, instrument or other document evidencing or giving rise
      to
      such property or, in the case of any Investment Property, Pledged Stock or
      Pledged Note, any applicable shareholder or similar agreement, except to the
      extent that such Requirement of Law or the term in such contract, license,
      agreement, instrument or other document or shareholder or similar agreement
      providing for such prohibition, breach, default or termination or requiring
      such
      consent is ineffective under applicable law or (y) in any license or use
      agreement, any trademark license for which a Grantor is a licensee or any
      copyright license for which a Grantor is a licensee, in each case in this clause
      (y) if (i) the terms thereof prohibit the assignment of such contract, license
      or use agreement or a grant of a security interest or Lien therein and (ii)
      the
      violation of such terms would constitute a default thereunder.

     

    
      
        
        

      

      
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    SECTION
      4. REPRESENTATIONS
      AND WARRANTIES

     

    To
      induce
      the Administrative Agent and the Lenders to enter into the Credit Agreement
      and
      to induce the Lenders to make their respective extensions of credit to the
      Borrower thereunder, each Grantor hereby represents and warrants to the
      Administrative
      Agent
      and each Lender that:

     

    4.1 Title;
      No Other Liens.
      Except
      for the security interest granted to the Administrative Agent for the ratable
      benefit of the Lenders pursuant to this Agreement and the other Liens permitted
      to exist on the Collateral by the Credit Agreement, such Grantor owns each
      item
      of the Collateral free and clear of any and all Liens or claims of others.
      For
      the avoidance of doubt, it is understood and agreed that any Grantor may, as
      part of its business, grant licenses to third parties to use Intellectual
      Property owned or developed by a Grantor. For purposes of this Agreement and
      the
      other Loan Documents, such licensing activity shall not constitute a “Lien” on
      such Intellectual Property. Each of the Administrative Agent and each Lender
      understands that any such licenses may be exclusive to the applicable licensees,
      and such exclusivity provisions may limit the ability of the Administrative
      Agent to utilize, sell, lease or transfer the related Intellectual Property
      or
      otherwise realize value from such Intellectual Property pursuant
      hereto.

     

    4.2 Perfected
      First Priority Liens.
      The
      security interests granted pursuant to this Agreement (a) upon completion of
      the
      filings and other actions specified on Schedule 3 (which, in the case
      of
      all filings and other documents referred to on said Schedule, have been
      delivered to the Administrative Agent in completed and duly executed form)
      will
      constitute valid perfected security interests in all of the Collateral in favor
      of the Administrative Agent, for the ratable benefit of the Lenders, as
      collateral security for such Grantor’s Obligations, enforceable in accordance
      with the terms hereof against all creditors of such Grantor and any Persons
      purporting to purchase any Collateral from such Grantor and (b) are prior to
      all
      other Liens on the Collateral in existence on the date hereof except for Liens
      permitted by the Credit Agreement.

     

    4.3 Jurisdiction
      of Organization; Chief Executive Office.
      On the
      date hereof, such Grantor’s jurisdiction of organization, identification number
      from the jurisdiction of organization (if any), and the location of such
      Grantor’s chief executive office or sole place of business or principal
      residence, as the case may be, are specified on Schedule 4. Such Grantor has
      furnished to the Administrative Agent a certified charter, certificate of
      incorporation or other organization document and long-form good standing
      certificate as of a date which is recent to the date hereof.

     

    4.4 Inventory
      and Equipment.
      On the
      date hereof, the Inventory and the Equipment of each Grantor (other than mobile
      goods) are kept at the locations listed on Schedule 5.

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

       

    

    4.5 Farm
      Products.
      None of
      the Collateral constitutes, or is the Proceeds of, Farm Products.

     

    4.6 Investment
      Property.
      (d) The
      shares of Pledged Stock pledged by such Grantor hereunder constitute all the
      issued and outstanding shares of all classes of the Capital Stock of each Issuer
      of Pledged Stock owned by such Grantor or, in the case of Foreign Subsidiary
      Voting Stock, if less, 66% of the outstanding Foreign Subsidiary Voting Stock
      of
      each relevant Issuer.

     

    (b) All
      the
      shares of the Pledged Stock have been duly and validly issued and are fully
      paid
      and nonassessable.

     

    (c) Each
      of
      the Pledged Notes constitutes the legal, valid and binding obligation of the
      obligor with respect thereto, enforceable in accordance with its terms, subject
      to the effects of bankruptcy, insolvency, fraudulent conveyance, reorganization,
      moratorium and other similar laws relating to or affecting creditors’ rights
      generally, general equitable principles (whether considered in a proceeding
      in
      equity or at law) and an implied covenant of good faith and fair
      dealing.

     

    (d) Such
      Grantor is the record and beneficial owner of, and has good and marketable
      title
      to, the Investment Property pledged by it hereunder, free of any and all Liens
      or options in favor of, or claims of, any other Person, except the security
      interest created by this Agreement or as permitted by the Credit
      Agreement.

     

    4.7 Receivables.
      (e) If
      any amount payable to such Grantor under or in connection with any Receivable
      shall be or become evidenced by any Instrument or Chattel Paper, such Grantor
      shall ensure that such Instrument or Chattel Papers is in the possession of
      such
      Grantor at all times or, if requested by the Administrative Agent, delivered
      to
      the Administrative Agent.

     

    (b) None
      of
      the obligors on any Receivables is a Governmental Authority.

     

    4.8 Intellectual
      Property.
      (f)
      Schedule 6 lists all Copyrights, Patents and Trademarks owned by such Grantor
      in
      its own name on the date hereof.

     

    (b) Except
      as
      could not, in the aggregate, reasonably be expected to have a Material Adverse
      Effect, on the date hereof, all Intellectual Property owned by such Grantor
      is
      valid, subsisting, unexpired and enforceable, has not been abandoned and does
      not infringe the intellectual property rights of any other Person.

     

    (c) Except
      as
      set forth in Schedule
      6,
      on the
      date hereof, no Copyright, Copyright License, Patent, Patent License, Trademark
      or Trademark License is the subject of any material licensing or franchise
      agreement pursuant to which such Grantor is the licensor or
      franchisor.

     

    (d) No
      holding, decision or judgment has been rendered by any Governmental Authority
      which would limit, cancel or question the validity of, or such Grantor’s rights
      in, any Intellectual Property owned by such Grantor in any respect that could
      reasonably be expected to have a Material Adverse Effect.

     

    (e) Except
      as
      could not, in the aggregate, reasonably be expected to have a Material Adverse
      Effect, no action or proceeding is pending, or, to the knowledge of such
      Grantor, threatened, on the date hereof seeking to limit, cancel or question
      the
      validity of any Intellectual Property owned by such Grantor or such Grantor’s
      ownership interest therein. 

     

    4.9 Commercial
      Tort Claims

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

       

    

    (a) On
      the
      date hereof, no Grantor has rights in any Commercial Tort Claim with potential
      value in excess of $100,000. 

     

    (b) 
      Upon the
      filing of a financing statement covering any Commercial Tort Claim referred
      to
      in Section 5.10 hereof against such Grantor in the jurisdiction specified in
      Schedule 3 hereto, the security interest granted in such Commercial Tort Claim
      will constitute a valid perfected security interest in favor of the
      Administrative Agent, for the ratable benefit of the Lenders, as collateral
      security for such Grantor’s Obligations, enforceable in accordance with the
      terms hereof against all creditors of such Grantor and any Persons purporting
      to
      purchase such Collateral from Grantor, which security interest shall be prior
      to
      all other Liens on such Collateral except for liens permitted by the Credit
      Agreement.

     

    SECTION
      5. COVENANTS

     

    Each
      Grantor covenants and agrees with the Administrative Agent and the Lenders
      that,
      from and after the date of this Agreement until the Obligations shall have
      been
      paid in full, no Letter of Credit (other than Letters of Credit that are fully
      cash collateralized) shall be outstanding and the Revolving Commitments shall
      have terminated:

     

    5.1 Delivery
      of Instruments, Certificated Securities and Chattel Paper.
      If any amount payable under or in connection with any of the Collateral shall
      be
      or become evidenced by any Instrument, Certificated Security or Chattel Paper,
      such Grantor shall ensure that such Instrument, Certificated Security or Chattel
      Paper is in the possession of such Grantor at all times or, if requested by
      the
      Administrative Agent, delivered to the Administrative Agent.

     

    5.2 Maintenance
      of Insurance.
      (a) Such Grantor will maintain, with financially sound and reputable companies,
      insurance policies (i) insuring the Inventory and Equipment against loss by
      fire, explosion, theft and such other casualties in a manner consistent with
      past practice and (ii) to the extent requested by the Administrative Agent,
      insuring such Grantor, the Administrative Agent and the Lenders against
      liability for personal injury and property damage relating to such Inventory
      and
      Equipment, such policies to be in such form and amounts and having such coverage
      as is consistent with past practice.

     

    (b) All
      such
      insurance shall (i) provide that no cancellation, material reduction in amount
      or material change in coverage thereof shall be effective until at least 30
      days
      after receipt by the Administrative Agent of written notice thereof, (ii) name
      the Administrative Agent as insured party or loss payee, (iii) if reasonably
      requested by the Administrative Agent, include a breach of warranty clause
      and
      (iv) be reasonably satisfactory in all other respects to the Administrative
      Agent.

     

    (c) The
      Borrower shall deliver to the Administrative Agent and the Lenders a report
      of a
      reputable insurance broker with respect to such insurance substantially
      concurrently with each delivery of the Borrower’s audited annual financial
      statements and such supplemental reports with respect thereto as the
      Administrative Agent may from time to time reasonably request.

     

    5.3 Payment
      of Obligations.
      Such Grantor will pay and discharge or otherwise satisfy at or before maturity
      or before they become delinquent, as the case may be, all taxes, assessments
      and
      governmental charges or levies imposed upon the Collateral or in respect of
      income or profits therefrom, as well as all claims of any kind (including,
      without limitation, claims for labor, materials and supplies) against or with
      respect to the Collateral, except (a) where the amount or validity thereof
      is
      currently being contested in good faith by appropriate proceedings and reserves
      in conformity with GAAP with respect thereto have been provided on the books
      of
      such Grantor or (b) where the failure to pay, discharge or otherwise satisfy
      such obligations could not, in the aggregate, reasonably be expected to have
      a
      Material Adverse Effect. 

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

       

    

    5.4 Maintenance
      of Perfected Security Interest; Further Documentation.
      (a)
      Such Grantor shall maintain the security interest created by this Agreement
      as a
      perfected security interest having at least the priority described in Section
      4.2 and shall defend such security interest against the claims and demands
      of
      all Persons whomsoever, subject to the rights of such Grantor under the Loan
      Documents to dispose of the Collateral.

     

    (b) Such
      Grantor will furnish to the Administrative Agent and the Lenders from time
      to
      time statements and schedules further identifying and describing the assets
      and
      property of such Grantor and such other reports in connection therewith as
      the
      Administrative Agent may reasonably request, all in reasonable
      detail.

     

    (c) At
      any
      time and from time to time, upon the written request of the Administrative
      Agent, and at the sole expense of such Grantor, such Grantor will promptly
      and
      duly execute and deliver, and have recorded, such further instruments and
      documents and take such further actions as the Administrative Agent may
      reasonably request for the purpose of obtaining or preserving the full benefits
      of this Agreement and of the rights and powers herein granted, including,
      without limitation, (i) filing any financing or continuation statements under
      the Uniform Commercial Code (or other similar laws) in effect in any
      jurisdiction with respect to the security interests created hereby and (ii)
      in
      the case of Investment Property, Deposit Accounts, Letter-of-Credit Rights
      and
      any other relevant Collateral, taking any actions necessary to enable the
      Administrative Agent to obtain “control” (within the meaning of the applicable
      Uniform Commercial Code) with respect thereto.

     

    5.5 Changes
      in Name, etc.
      Such
      Grantor will not, except upon 10 days’ prior written notice to the
      Administrative Agent and delivery to the Administrative Agent of all additional
      executed financing statements and other documents reasonably requested by the
      Administrative Agent to maintain the validity, perfection and priority of the
      security interests provided for herein, (i) change its jurisdiction of
      organization or the location of its chief executive office or sole place of
      business or principal residence from that referred to in Section 4.3 or (ii)
      change its name.

     

    5.6
      Notices.
      Such
      Grantor will advise the Administrative Agent and the Lenders promptly, in
      reasonable detail, of any Lien (other than security interests created hereby
      or
      Liens permitted under the Credit Agreement) on any of the Collateral which
      would
      materially and adversely affect the ability of the Administrative Agent to
      exercise any of its remedies hereunder.

     

    5.7 Investment
      Property.
      (a) If such Grantor shall become entitled to receive or shall receive any
      certificate (including, without limitation, any certificate representing a
      dividend or a distribution in connection with any reclassification, increase
      or
      reduction of capital or any certificate issued in connection with any
      reorganization), option or rights in respect of the Capital Stock of any Issuer,
      whether in addition to, in substitution of, as a conversion of, or in exchange
      for, any shares of the Pledged Stock, or otherwise in respect thereof, such
      Grantor shall accept the same as the agent of the Administrative Agent and
      the
      Lenders, hold the same in trust for the Administrative Agent and the Lenders
      and
      deliver the same forthwith to the Administrative Agent in the exact form
      received, duly indorsed by such Grantor to the Administrative Agent, if
      required, together with an undated stock power covering such certificate duly
      executed in blank by such Grantor and with, if the Administrative Agent so
      requests, signature guaranteed, to be held by the Administrative Agent, subject
      to the terms hereof, as additional collateral security for the Obligations.
      If
      an Event of Default has occurred and is continuing, any sums paid upon or in
      respect of the Investment Property upon the liquidation or dissolution of any
      Issuer shall be paid over to the Administrative Agent to be held by it hereunder
      as additional collateral security for the Obligations, and in case any
      distribution of capital shall be made on or in respect of the Investment
      Property or any property shall be distributed upon or with respect to the
      Investment Property pursuant to the recapitalization or reclassification of
      the
      capital of any Issuer or pursuant to the reorganization thereof, the property
      so
      distributed shall, unless otherwise subject to a perfected security interest
      in
      favor of the Administrative Agent, be delivered to the Administrative Agent
      to
      be held by it hereunder as additional collateral security for the Obligations.
      If any sums of money or property so paid or distributed in respect of the
      Investment Property shall be received by such Grantor, such Grantor shall,
      until
      such money or property is paid or delivered to the Administrative Agent, hold
      such money or property in trust for the Administrative Agent and the Lenders,
      segregated from other funds of such Grantor, as additional collateral security
      for the Obligations.

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

       

    

    (b) Without
      the prior written consent of the Administrative Agent, such Grantor will not
      (i)
      vote to enable, or take any other action to permit, any Issuer to issue any
      Capital Stock of any nature or to issue any other securities convertible into
      or
      granting the right to purchase or exchange for any Capital Stock of any nature
      of any Issuer, (ii) sell, assign, transfer, exchange, or otherwise dispose
      of,
      or grant any option with respect to, the Investment Property or Proceeds thereof
      (except pursuant to a transaction expressly permitted by the Credit Agreement),
      (iii) create, incur or permit to exist any Lien or option in favor of, or any
      claim of any Person with respect to, any of the Investment Property or Proceeds
      thereof, or any interest therein, except for the security interests created
      by
      this Agreement or (iv) enter into any agreement or undertaking restricting
      the
      right or ability of such Grantor or the Administrative Agent to sell, assign
      or
      transfer any of the Investment Property or Proceeds thereof.

     

    (c) In
      the
      case of each Grantor which is an Issuer, such Issuer agrees that (i) it will
      be
      bound by the terms of this Agreement relating to the Investment Property issued
      by it and will comply with such terms insofar as such terms are applicable
      to
      it, (ii) it will notify the Administrative Agent promptly in writing of the
      occurrence of any of the events described in Section 5.7(a) with respect to
      the
      Investment Property issued by it and (iii) the terms of Sections 6.3(c) and
      6.7
      shall apply to it, mutatis mutandis,
      with
      respect to all actions that may be required of it pursuant to Section 6.3(c)
      or
      6.7 with respect to the Investment Property issued by it.

     

    5.8 [Intentionally
      omitted]

     

    5.9 Intellectual
      Property.
      (a) Except where the failure to do so could not, individually or in the
      aggregate, reasonably be expected to have a Material Adverse Effect, such
      Grantor (either itself or through licensees) will (i) maintain as in the past
      the quality of products and services offered under each Trademark owned by
      such
      Grantor and (ii) use such Trademark with the appropriate notice of registration
      and all other notices and legends required by applicable Requirements of Law.
      Such Grantor will not (and not permit any licensee or sublicensee thereof to)
      do
      any act or knowingly omit to do any act whereby any Trademark owned by such
      Grantor may become invalidated or impaired in any way if such invalidations
      or
      impairments, individually or in the aggregate, could reasonably be expected
      to
      have a Material Adverse Effect.

     

    (b) Such
      Grantor (either itself or through licensees) will not do any act, or omit to
      do
      any act, whereby any Patent owned by such Grantor may become forfeited,
      abandoned or dedicated to the public if such forfeitures, abandonments or
      dedications, individually or in the aggregate, could reasonably be expected
      to
      have a Material Adverse Effect.

     

    (c) Such
      Grantor (either itself or through licensees) will not (i) (and will not permit
      any licensee or sublicensee thereof to) do any act or knowingly omit to do
      any
      act whereby any portion of the Copyrights owned by such Grantor may become
      invalidated or otherwise impaired and (ii) (either itself or through licensees)
      do any act whereby any portion of such Copyrights may fall into the public
      domain, in each case if such actions or omissions could, individually or in
      the
      aggregate, reasonably be expected to have a Material Adverse
      Effect.

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

       

    

    (d) Such
      Grantor (either itself or through licensees) will not do any act that knowingly
      uses any Intellectual Property owned by such Grantor to infringe the
      intellectual property rights of any other Person if such infringements,
      individually or in the aggregate, could reasonably be expected to have a
      Material Adverse Effect.

     

    (e) To
      the
      extent that any of the following could reasonably be expected to have a Material
      Adverse Effect, such Grantor will notify the Administrative Agent and the
      Lenders immediately if it knows that any application or registration relating
      to
      any Intellectual Property owned by such Grantor may become forfeited, abandoned
      or dedicated to the public, or of any adverse determination or development
      (including, without limitation, the institution of, or any such determination
      or
      development in, any proceeding in the United States Patent and Trademark Office,
      the United States Copyright Office or any court or tribunal in any country)
      regarding such Grantor’s ownership of, or the validity of, such Intellectual
      Property or such Grantor’s right to register the same or to own and maintain the
      same.

     

    (f) Whenever
      such Grantor, either by itself or through any agent, employee, licensee or
      designee, shall file an application for the registration of any Intellectual
      Property owned by such Grantor with the United States Patent and Trademark
      Office, the United States Copyright Office or any similar office or agency
      in
      any other country or any political subdivision thereof, such Grantor shall
      report such filing to the Administrative Agent within five Business Days after
      the last day of the fiscal quarter in which such filing occurs. Upon request
      of
      the Administrative Agent, such Grantor shall execute and deliver, and have
      recorded, any and all agreements, instruments, documents, and papers as the
      Administrative Agent may request that are necessary to evidence the
      Administrative Agent’s and the Lenders’ security interest in any such Copyright,
      Patent or Trademark and the goodwill and general intangibles of such Grantor
      relating thereto or represented thereby.

     

    (g) If
      the
      failure to do so could reasonably be expected to have a Material Adverse Effect,
      such Grantor will take all reasonable and necessary steps, including, without
      limitation, in any proceeding before the United States Patent and Trademark
      Office, the United States Copyright Office or any similar office or agency
      in
      any other country or any political subdivision thereof, to maintain and pursue
      each application (and to obtain the relevant registration) and to maintain
      each
      registration of the Intellectual Property owned by such Grantor, including,
      without limitation, filing of applications for renewal, affidavits of use and
      affidavits of incontestability.

     

    (h) In
      the
      event that any Intellectual Property owned by such Grantor is infringed,
      misappropriated or diluted by a third party and such infringements,
      misappropriations or dilutions, individually or in the aggregate, could
      reasonably be expected to have a Material Adverse Effect, such Grantor shall
      (i)
      take such actions as such Grantor shall reasonably deem appropriate under the
      circumstances to protect such Intellectual Property and (ii) promptly notify
      the
      Administrative Agent after it learns thereof and inform the Administrative
      Agent
      of what action such Grantor proposes to take with respect thereto. 

     

    5.10 Commercial
      Tort Claims.
      If such Grantor shall obtain an interest in any Commercial Tort Claim with
      a
      potential value in excess of $100,000, such Grantor shall within 30 days of
      obtaining such interest sign and deliver documentation acceptable to the
      Administrative Agent granting a security interest under the terms and provisions
      of this Agreement in and to such Commercial Tort Claim. 

     

    SECTION
      6. REMEDIAL
      PROVISIONS

     

    6.1 [Intentionally
      omitted].

     

    
      
        
        

      

      
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    6.2 Communications
      with Obligors; Grantors Remain Liable.
      (a) The
      Administrative Agent in its own name or in the name of others may at any time
      after the occurrence and during the continuance of an Event of Default
      communicate with obligors under the Receivables to verify with them to the
      Administrative Agent’s satisfaction the existence, amount and terms of any
      Receivables.

     

    (b) Upon
      the
      request of the Administrative Agent at any time after the occurrence and during
      the continuance of an Event of Default, each Grantor shall notify obligors
      on
      the Receivables that the Receivables have been assigned to the Administrative
      Agent for the ratable benefit of the Lenders and that payments in respect
      thereof shall be made directly to the Administrative Agent.

     

    (c) Anything
      herein to the contrary notwithstanding, each Grantor shall remain liable under
      each of the Receivables to observe and perform all the conditions and
      obligations to be observed and performed by it thereunder, all in accordance
      with the terms of any agreement giving rise thereto. Neither the Administrative
      Agent nor any Lender shall have any obligation or liability under any Receivable
      (or any agreement giving rise thereto) by reason of or arising out of this
      Agreement or the receipt by the Administrative Agent or any Lender of any
      payment relating thereto, nor shall the Administrative Agent or any Lender
      be
      obligated in any manner to perform any of the obligations of any Grantor under
      or pursuant to any Receivable (or any agreement giving rise thereto), to make
      any payment, to make any inquiry as to the nature or the sufficiency of any
      payment received by it or as to the sufficiency of any performance by any party
      thereunder, to present or file any claim, to take any action to enforce any
      performance or to collect the payment of any amounts which may have been
      assigned to it or to which it may be entitled at any time or times.

     

    6.3 Pledged
      Stock.
      (a) Unless an Event of Default shall have occurred and be continuing and the
      Administrative Agent shall have given notice to the relevant Grantor of the
      Administrative Agent’s intent to exercise its corresponding rights pursuant to
      Section 6.3(b), each Grantor shall be permitted to receive all cash dividends
      paid in respect of the Pledged Stock and all payments made in respect of the
      Pledged Notes to the extent permitted in the Credit Agreement, and to exercise
      all voting and corporate or other organizational rights with respect to the
      Investment Property; provided, however, that no vote shall be cast or corporate
      or other organizational right exercised or other action taken which, in the
      Administrative Agent’s reasonable judgment, would be inconsistent with or result
      in any violation of any provision of the Credit Agreement, this Agreement or
      any
      other Loan Document.

     

    (b) If
      an
      Event of Default shall occur and be continuing and the Administrative Agent
      shall give notice of its intent to exercise such rights to the relevant Grantor
      or Grantors, (i) the Administrative Agent shall have the right to receive
      any and all cash dividends, payments or other Proceeds paid in respect of the
      Investment Property and make application thereof to the Obligations in
      accordance with Section 6.5, and (ii) any or all of the Investment Property
      shall be registered in the name of the Administrative Agent or its nominee,
      and
      the Administrative Agent or its nominee may thereafter exercise (x) all voting,
      corporate and other rights pertaining to such Investment Property at any meeting
      of shareholders of the relevant Issuer or Issuers or otherwise and (y) any
      and all rights of conversion, exchange and subscription and any other rights,
      privileges or options pertaining to such Investment Property as if it were
      the
      absolute owner thereof (including, without limitation, the right to exchange
      at
      its discretion any and all of the Investment Property upon the merger,
      consolidation, reorganization, recapitalization or other fundamental change
      in
      the corporate or other organizational structure of any Issuer, or upon the
      exercise by any Grantor or the Administrative Agent of any right, privilege
      or
      option pertaining to such Investment Property, and in connection therewith,
      the
      right to deposit and deliver any and all of the Investment Property with any
      committee, depositary, transfer agent, registrar or other designated agency
      upon
      such terms and conditions as the Administrative Agent may determine), all
      without liability except to account for property actually received by it, but
      the Administrative Agent shall have no duty to any Grantor to exercise any
      such
      right, privilege or option and shall not be responsible for any failure to
      do so
      or delay in so doing.

     

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

       

    

    (c) Each
      Grantor hereby authorizes and instructs each Issuer of any Investment Property
      pledged by such Grantor hereunder to (i) comply with any instruction received
      by
      it from the Administrative Agent in writing that (x) states that an Event of
      Default has occurred and is continuing and (y) is otherwise in accordance with
      the terms of this Agreement, without any other or further instructions from
      such
      Grantor, and each Grantor agrees that each Issuer shall be fully protected
      in so
      complying, and (ii) unless otherwise expressly permitted hereby, pay any
      dividends or other payments with respect to the Investment Property directly
      to
      the Administrative Agent.

     

    6.4 Proceeds
      to be Turned Over To Administrative Agent.
      In addition to the rights of the Administrative Agent and the Lenders specified
      in Section 6.1 with respect to payments of Receivables, if an Event of Default
      shall occur and be continuing, all Proceeds received by any Grantor consisting
      of cash, checks and other near-cash items shall be held by such Grantor in
      trust
      for the Administrative Agent and the Lenders, segregated from other funds of
      such Grantor, and shall, forthwith upon receipt by such Grantor, be turned
      over
      to the Administrative Agent in the exact form received by such Grantor (duly
      indorsed by such Grantor to the Administrative Agent, if required). All Proceeds
      received by the Administrative Agent hereunder shall be held by the
      Administrative Agent in a Collateral Account maintained under its sole dominion
      and control. All Proceeds while held by the Administrative Agent in a Collateral
      Account (or by such Grantor in trust for the Administrative Agent and the
      Lenders) shall continue to be held as collateral security for all the
      Obligations and shall not constitute payment thereof until applied as provided
      in Section 6.5.

     

    6.5 Application
      of Proceeds.
      At such
      intervals as may be agreed upon by the Borrower and the Administrative Agent,
      or, if an Event of Default shall have occurred and be continuing, at any time
      at
      the Administrative Agent's election, the Administrative Agent may apply all
      or
      any part of Proceeds constituting Collateral, whether or not held in any
      Collateral Account, and any proceeds of the guarantee set forth in Section
      2, in
      payment of the Obligations in the following order:

     

    First,
      to pay
      incurred and unpaid fees and expenses of the Administrative Agent under the
      Loan
      Documents;

     

    Second,
      to the
      Administrative Agent, for application by it towards payment of amounts then
      due
      and owing and remaining unpaid in respect of the Obligations, pro rata
      among
      the Lenders according to the amounts of the Obligations then due and owing
      and
      remaining unpaid to the Lenders; and

     

    Third,
      any
      balance remaining after the Obligations shall have been paid in full, no Letters
      of Credit (other than Letters of Credit that are fully cash collateralized)
      shall be outstanding and the Revolving Commitments shall have terminated shall
      be paid over to the Borrower or to whomsoever may be lawfully entitled to
      receive the same.

     

    6.6 Code
      and Other Remedies.
      If an
      Event of Default shall occur and be continuing, the Administrative Agent, on
      behalf of the Lenders, may exercise, in addition to all other rights and
      remedies granted to them in this Agreement and in any other instrument or
      agreement securing, evidencing or relating to the Obligations, all rights and
      remedies of a secured party under the New York UCC or any other applicable
      law.
      Without limiting the generality of the foregoing, the Administrative Agent,
      without demand of performance or other demand, presentment, protest,
      advertisement or notice of any kind (except any notice required by law referred
      to below) to or upon any Grantor or any other Person (all and each of which
      demands, defenses, advertisements and notices are hereby waived), may in such
      circumstances forthwith collect, receive, appropriate and realize upon the
      Collateral, or any part thereof, and/or may forthwith sell, lease, assign,
      give
      option or options to purchase, or otherwise dispose of and deliver the
      Collateral or any part thereof (or contract to do any of the foregoing), in
      one
      or more parcels at public or private sale or sales, at any exchange, broker’s
      board or office of the Administrative Agent or any Lender or elsewhere upon
      such
      terms and conditions as it may deem advisable and at such prices as it may
      deem
      best, for cash or on credit or for future delivery without assumption of any
      credit risk. The Administrative Agent or any Lender shall have the right upon
      any such public sale or sales, and, to the extent permitted by law, upon any
      such private sale or sales, to purchase the whole or any part of the Collateral
      so sold, free of any right or equity of redemption in any Grantor, which right
      or equity is hereby waived and released. Each Grantor further agrees, at the
      Administrative Agent’s request, to assemble the Collateral and make it available
      to the Administrative Agent at places which the Administrative Agent shall
      reasonably select, whether at such Grantor’s premises or elsewhere. The
      Administrative Agent shall apply the net proceeds of any action taken by it
      pursuant to this Section 6.6 in accordance with Section 6.5. 

     

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

       

    

    6.7 [Intentionally
      omitted].

     

    6.8 Deficiency.
      Each
      Grantor shall remain liable for any deficiency if the proceeds of any sale
      or
      other disposition of the Collateral are insufficient to pay its Obligations
      and
      the fees and disbursements of any attorneys employed by the Administrative
      Agent
      or any Lender to collect such deficiency.

     

    SECTION
      7. THE
      ADMINISTRATIVE AGENT

     

    7.1 Administrative
      Agent’s Appointment as Attorney-in-Fact, etc.
      (d) Each Grantor hereby irrevocably constitutes and appoints the Administrative
      Agent and any officer or agent thereof, with full power of substitution, as
      its
      true and lawful attorney-in-fact with full irrevocable power and authority
      in
      the place and stead of such Grantor and in the name of such Grantor or in its
      own name, to do any or all of the following:

     

    (i) in
      the
      name of such Grantor or its own name, or otherwise, take possession of and
      indorse and collect any checks, drafts, notes, acceptances or other instruments
      for the payment of moneys due under any Receivable or with respect to any other
      Collateral and file any claim or take any other action or proceeding in any
      court of law or equity or otherwise deemed reasonably appropriate by the
      Administrative Agent for the purpose of collecting any and all such moneys
      due
      under any Receivable or with respect to any other Collateral whenever
      payable;

     

    (ii) in
      the
      case of any Intellectual Property, execute and deliver, and have recorded,
      any
      and all agreements, instruments, documents and papers as the Administrative
      Agent may reasonably request to evidence the Administrative Agent’s and the
      Lenders’ security interest in such Intellectual Property and the goodwill and
      general intangibles of such Grantor relating thereto or represented
      thereby;

     

    (iii) pay
      or
      discharge taxes and Liens levied or placed on or threatened against the
      Collateral, effect any repairs or any insurance called for by the terms of
      this
      Agreement and pay all or any part of the premiums therefor and the costs
      thereof; 

     

    (iv) execute,
      in connection with any sale provided for in Section 6.6, any indorsements,
      assignments or other instruments of conveyance or transfer with respect to
      the
      Collateral; and

     

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

       

    

    (v) (1)  direct
      any party liable for any payment under any of the Collateral to make payment
      of
      any and all moneys due or to become due thereunder directly to the
      Administrative Agent or as the Administrative Agent shall direct;
      (2)   ask or demand for, collect, and receive payment of and
      receipt
      for, any and all moneys, claims and other amounts due or to become due at any
      time in respect of or arising out of any Collateral; (3)   sign
      and
      indorse any invoices, freight or express bills, bills of lading, storage or
      warehouse receipts, drafts against debtors, assignments, verifications, notices
      and other documents in connection with any of the Collateral; (4) commence
      and
      prosecute any suits, actions or proceedings at law or in equity in any court
      of
      competent jurisdiction to collect the Collateral or any portion thereof and
      to
      enforce any other right in respect of any Collateral; (5) defend any
      suit,
      action or proceeding brought against such Grantor with respect to any
      Collateral; (6) settle, compromise or adjust any such suit, action or proceeding
      and, in connection therewith, give such discharges or releases as the
      Administrative Agent may deem appropriate; (7) assign any Copyright, Patent
      or
      Trademark (along with the goodwill of the business to which any such Copyright,
      Patent or Trademark pertains), throughout the world for such term or terms,
      on
      such conditions, and in such manner, as the Administrative Agent shall in its
      sole discretion determine; and (8) generally, sell, transfer, pledge and make
      any agreement with respect to or otherwise deal with any of the Collateral
      as
      fully and completely as though the Administrative Agent were the absolute owner
      thereof for all purposes, and do, at the Administrative Agent’s option and such
      Grantor’s expense, at any time, or from time to time, all acts and things which
      the Administrative Agent deems necessary to protect, preserve or realize upon
      the Collateral and the Administrative Agent’s and the Lenders’ security
      interests therein and to effect the intent of this Agreement, all as fully
      and
      effectively as such Grantor might do.

     

    Anything
      in this Section 7.1(a) to the contrary notwithstanding, the Administrative
      Agent
      agrees that it will not exercise any rights under the power of attorney provided
      for in this Section 7.1(a) unless an Event of Default shall have occurred and
      be
      continuing.

     

    (b) If
      any
      Grantor fails to perform or comply with any of its agreements contained herein,
      the Administrative Agent, at its option, but without any obligation so to do,
      may perform or comply, or otherwise cause performance or compliance, with such
      agreement.

     

    (c) The
      expenses of the Administrative Agent incurred in connection with actions
      undertaken as provided in this Section 7.1, together with interest thereon
      at a
      rate per annum equal to the rate per annum at which interest would then be
      payable on past due Revolving Loans under the Credit Agreement, from the date
      of
      payment by the Administrative Agent to the date reimbursed by the relevant
      Grantor, shall be payable by such Grantor to the Administrative Agent on
      demand.

     

    (d) Each
      Grantor hereby ratifies all that said attorneys shall lawfully do or cause
      to be
      done by virtue hereof. All powers, authorizations and agencies contained in
      this
      Agreement are coupled with an interest and are irrevocable until this Agreement
      is terminated and the security interests created hereby are
      released.

     

    7.2 Duty
      of Administrative Agent.
      The
      Administrative Agent’s sole duty with respect to the custody, safekeeping and
      physical preservation of the Collateral in its possession, under Section 9-207
      of the New York UCC or otherwise, shall be to deal with it in the same manner
      as
      the Administrative Agent deals with similar property for its own account.
      Neither the Administrative Agent, any Lender nor any of their respective
      officers, directors, employees or agents shall be liable for failure to demand,
      collect or realize upon any of the Collateral or for any delay in doing so
      or
      shall be under any obligation to sell or otherwise dispose of any Collateral
      upon the request of any Grantor or any other Person or to take any other action
      whatsoever with regard to the Collateral or any part thereof. The powers
      conferred on the Administrative Agent and the Lenders hereunder are solely
      to
      protect the Administrative Agent’s and the Lenders’ interests in the Collateral
      and shall not impose any duty upon the Administrative Agent or any Lender to
      exercise any such powers. The Administrative Agent and the Lenders shall be
      accountable only for amounts that they actually receive as a result of the
      exercise of such powers, and neither they nor any of their officers, directors,
      employees or agents shall be responsible to any Grantor for any act or failure
      to act hereunder, except for their own gross negligence or willful
      misconduct.

     

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

       

    

    7.3 Execution
      of Financing Statements.
      Pursuant to any applicable law, each Grantor authorizes the Administrative
      Agent
      to file or record financing statements and other filing or recording documents
      or instruments with respect to the Collateral without the signature of such
      Grantor in such form and in such offices as the Administrative Agent determines
      appropriate to perfect the security interests of the Administrative Agent under
      this Agreement. Each Grantor authorizes the Administrative Agent to use the
      collateral description “all personal property” in any such financing statements.

     

    7.4 Authority
      of Administrative Agent.
      Each Grantor acknowledges that the rights and responsibilities of the
      Administrative Agent under this Agreement with respect to any action taken
      by
      the Administrative Agent or the exercise or non-exercise by the Administrative
      Agent of any option, voting right, request, judgment or other right or remedy
      provided for herein or resulting or arising out of this Agreement shall, as
      between the Administrative Agent and the Lenders, be governed by the Credit
      Agreement and by such other agreements with respect thereto as may exist from
      time to time among them, but, as between the Administrative Agent and the
      Grantors, the Administrative Agent shall be conclusively presumed to be acting
      as agent for the Lenders with full and valid authority so to act or refrain
      from
      acting, and no Grantor shall be under any obligation, or entitlement, to make
      any inquiry respecting such authority.

     

    SECTION
      8. MISCELLANEOUS

     

    8.1 Amendments
      in Writing.
      None of the terms or provisions of this Agreement may be waived, amended,
      supplemented or otherwise modified except in accordance with Section 10.1 of
      the
      Credit Agreement.

     

    8.2 Notices.
      All notices, requests and demands to or upon the Administrative Agent or any
      Grantor hereunder shall be effected in the manner provided for in Section 10.2
      of the Credit Agreement; provided that any such notice, request or demand to
      or
      upon any Subsidiary Guarantor shall be addressed to such Subsidiary Guarantor
      at
      its notice address set forth on Schedule 1.

     

    8.3 No
      Waiver by Course of Conduct; Cumulative Remedies.
      Neither
      the Administrative Agent nor any Lender shall by any act (except by a written
      instrument pursuant to Section 8.1), delay, indulgence, omission or otherwise
      be
      deemed to have waived any right or remedy hereunder or to have acquiesced in
      any
      Default or Event of Default. No failure to exercise, nor any delay in
      exercising, on the part of the Administrative Agent or any Lender, any right,
      power or privilege hereunder shall operate as a waiver thereof. No single or
      partial exercise of any right, power or privilege hereunder shall preclude
      any
      other or further exercise thereof or the exercise of any other right, power
      or
      privilege. A waiver by the Administrative Agent or any Lender of any right
      or
      remedy hereunder on any one occasion shall not be construed as a bar to any
      right or remedy which the Administrative Agent or such Lender would otherwise
      have on any future occasion. The rights and remedies herein provided are
      cumulative, may be exercised singly or concurrently and are not exclusive of
      any
      other rights or remedies provided by law.

     

    8.4 Enforcement
      Expenses; Indemnification.
      (e) Each Subsidiary Guarantor agrees to pay or reimburse each Lender and the
      Administrative Agent for all its costs and expenses incurred in collecting
      against such Subsidiary Guarantor under the guarantee contained in Section
      2 or
      otherwise enforcing or preserving any rights under this Agreement and the other
      Loan Documents to which such Subsidiary Guarantor is a party, including, without
      limitation, the fees and disbursements of counsel to each Lender and of counsel
      to the Administrative Agent; provided
      that the
      Subsidiary Guarantors shall not be responsible to pay or reimburse more than
      one
      counsel to the Administrative Agent and the Lenders, taken as a group, pursuant
      to this clause (a) except in cases in which more than one counsel is
      necessitated by legal conflicts. 

     

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

       

    

    (b) Each
      Subsidiary Guarantor agrees to pay, and to save the Administrative Agent and
      the
      Lenders harmless from, any and all liabilities with respect to, or resulting
      from any delay in paying, any and all stamp, excise, sales or other taxes which
      may be payable or determined to be payable with respect to any of the Collateral
      or in connection with any of the transactions contemplated by this
      Agreement.

     

    (c) Each
      Subsidiary Guarantor agrees to pay, and to save the Administrative Agent and
      the
      Lenders harmless from, any and all liabilities, obligations, losses, damages,
      penalties, actions, judgments, suits, costs, expenses or disbursements of any
      kind or nature whatsoever with respect to the execution, delivery, enforcement,
      performance and administration of this Agreement to the extent the Borrower
      would be required to do so pursuant to Section 10.5 of the Credit
      Agreement.

     

    (d) The
      agreements in this Section 8.4 shall survive repayment of the Obligations and
      all other amounts payable under the Credit Agreement and the other Loan
      Documents.

     

    8.5 Successors
      and Assigns.
      This Agreement shall be binding upon the successors and assigns of each Grantor
      and shall inure to the benefit of the Administrative Agent and the Lenders
      and
      their successors and assigns; provided that no Grantor may assign, transfer
      or
      delegate any of its rights or obligations under this Agreement without the
      prior
      written consent of the Administrative Agent.

     

    8.6 Set-Off.
      Each Grantor hereby irrevocably authorizes the Administrative Agent and each
      Lender at any time and from time to time while an Event of Default pursuant
      to
      Section 8(a) of the Credit Agreement shall have occurred and be continuing,
      without notice to such Grantor or any other Grantor, any such notice being
      expressly waived by each Grantor, to set-off and appropriate and apply any
      and
      all deposits (general or special, time or demand, provisional or final), in
      any
      currency, and any other credits, indebtedness or claims, in any currency, in
      each case whether direct or indirect, absolute or contingent, matured or
      unmatured, at any time held or owing by the Administrative Agent or such Lender
      to or for the credit or the account of such Grantor, or any part thereof in
      such
      amounts as the Administrative Agent or such Lender may elect, against and on
      account of the obligations and liabilities of such Grantor to the Administrative
      Agent or such Lender hereunder and claims of every nature and description of
      the
      Administrative Agent or such Lender against such Grantor, in any currency,
      whether arising hereunder, under the Credit Agreement, any other Loan Document
      or otherwise, as the Administrative Agent or such Lender may elect, whether
      or
      not the Administrative Agent or any Lender has made any demand for payment
      and
      although such obligations, liabilities and claims may be contingent or
      unmatured. The Administrative Agent and each Lender shall notify such Grantor
      promptly of any such set-off and the application made by the Administrative
      Agent or such Lender of the proceeds thereof, provided that the failure to
      give
      such notice shall not affect the validity of such set-off and application.
      The
      rights of the Administrative Agent and each Lender under this Section 8.6 are
      in
      addition to other rights and remedies (including, without limitation, other
      rights of set-off) which the Administrative Agent or such Lender may
      have.

     

    8.7 Counterparts.
      This
      Agreement may be executed by one or more of the parties to this Agreement on
      any
      number of separate counterparts (including by telecopy), and all of said
      counterparts taken together shall be deemed to constitute one and the same
      instrument.

     

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

       

      8.8 Severability.
        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, and any such prohibition or unenforceability in any
        jurisdiction shall not invalidate or render unenforceable such provision
        in any
        other jurisdiction.

    

     

    8.9 Section
      Headings.
      The Section headings used in this Agreement are for convenience of reference
      only and are not to affect the construction hereof or be taken into
      consideration in the interpretation hereof.

     

    8.10 Integration.
      This Agreement and the other Loan Documents represent the agreement of the
      Grantors, the Administrative Agent and the Lenders with respect to the subject
      matter hereof and thereof, and there are no promises, undertakings,
      representations or warranties by the Administrative Agent or any Lender relative
      to subject matter hereof and thereof not expressly set forth or referred to
      herein or in the other Loan Documents.

     

    8.11 GOVERNING
      LAW.
      THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE
      WITH, THE LAW OF THE STATE OF NEW YORK.

     

    8.12 Submission
      To Jurisdiction; Waivers.
      Each Grantor hereby irrevocably and unconditionally:

     

    (a) submits
      for itself and its property in any legal action or proceeding relating to this
      Agreement and the other Loan Documents to which it is a party, or for
      recognition and enforcement of any judgment in respect thereof, to the
      non-exclusive general jurisdiction of the courts of the State of New York,
      the
      courts of the United States of America for the Southern District of
      New York, and appellate courts from any thereof;

     

    (b) consents
      that any such action or proceeding may be brought in such courts and waives
      any
      objection that it may now or hereafter have to the venue of any such action
      or
      proceeding in any such court or that such action or proceeding was brought
      in an
      inconvenient court and agrees not to plead or claim the same;

     

    (c) agrees
      that service of process in any such action or proceeding may be effected by
      mailing a copy thereof by registered or certified mail (or any substantially
      similar form of mail), postage prepaid, to such Grantor at its address referred
      to in Section 8.2 or at such other address of which the Administrative Agent
      shall have been notified pursuant thereto;

     

    (d) agrees
      that nothing herein shall affect the right to effect service of process in
      any
      other manner permitted by law or shall limit the right to sue in any other
      jurisdiction; and

     

    (e) waives,
      to the maximum extent not prohibited by law, any right it may have to claim
      or
      recover in any legal action or proceeding referred to in this Section any
      special, exemplary, punitive or consequential damages.

     

    8.13 Acknowledgements.
      Each Grantor hereby acknowledges that:

     

    (a) it
      has
      been advised by counsel in the negotiation, execution and delivery of this
      Agreement and the other Loan Documents to which it is a party;

     

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

       

    

    (b) neither
      the Administrative Agent nor any Lender has any fiduciary relationship with
      or
      duty to any Grantor arising out of or in connection with this Agreement or
      any
      of the other Loan Documents, and the relationship between the Grantors, on
      the
      one hand, and the Administrative Agent and Lenders, on the other hand, in
      connection herewith or therewith is solely that of debtor and creditor;
      and

     

    (c) no
      joint
      venture is created hereby or by the other Loan Documents or otherwise exists
      by
      virtue of the transactions contemplated hereby among the Lenders or among the
      Grantors and the Lenders.

     

    8.14 Additional
      Grantors.
      Each Subsidiary of the Borrower that is required to become a party to this
      Agreement pursuant to Section 6.10 of the Credit Agreement shall become a
      Grantor for all purposes of this Agreement upon execution and delivery by such
      Subsidiary of an Assumption Agreement in the form of Annex 1
      hereto.

     

    8.15 Releases.
      (a) At such time as the Revolving Loans, the Reimbursement Obligations and
      the
      other Obligations (other than Obligations in respect of Specified Swap
      Agreements and Specified Treasury Agreements) shall have been paid in full,
      the
      Revolving Commitments have been terminated and no Letters of Credit (other
      than
      Letters of Credit that are fully cash collateralized) shall be outstanding,
      the
      Collateral shall be released from the Liens created hereby, and this Agreement
      and all obligations (other than those expressly stated to survive such
      termination) of the Administrative Agent and each Grantor hereunder shall
      terminate, all without delivery of any instrument or performance of any act
      by
      any party, and all rights to the Collateral shall revert to the Grantors. At
      the
      request and sole expense of any Grantor following any such termination, the
      Administrative Agent shall promptly deliver to such Grantor any Collateral
      held
      by the Administrative Agent hereunder, and execute and deliver to such Grantor
      such documents as such Grantor shall reasonably request to evidence such
      termination.

     

    (b) If
      any of
      the Collateral shall be sold, transferred or otherwise disposed of by any
      Grantor in a transaction permitted by the Credit Agreement, then the
      Administrative Agent, at the request and sole expense of such Grantor, shall
      promptly execute and deliver to such Grantor all releases or other documents
      reasonably necessary or desirable for the release of the Liens created hereby
      on
      such Collateral. At the request and sole expense of the Borrower, a Subsidiary
      Guarantor shall be released from its obligations hereunder in the event that
      all
      the Capital Stock of such Subsidiary Guarantor shall be sold, transferred or
      otherwise disposed of in a transaction permitted by the Credit Agreement;
provided
      that the
      Borrower shall have delivered to the Administrative Agent, at least two Business
      Days prior to the date of the proposed release, a written request for release
      identifying the relevant Subsidiary Guarantor and the terms of the sale or
      other
      disposition in reasonable detail, including the price thereof and any expenses
      in connection therewith, together with a certification by the Borrower stating
      that such transaction is in compliance with the Credit Agreement and the other
      Loan Documents.

     

    8.16WAIVER
      OF JURY
      TRIAL. 
      EACH GRANTOR HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN
      ANY
      LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT
      AND FOR ANY COUNTERCLAIM THEREIN.

     

    
      
        
        

      

      
        21

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF, each of the undersigned has caused this Guarantee and
      Collateral Agreement to be duly executed and delivered as of the date first
      above written.

     

    
      	 	 	 
	 	TAKE-TWO
              INTERACTIVE SOFTWARE, INC.
	 
 	 
 	 
 
	 	 	 
	 	By:  	/s/ Karl
              H. Winters
	 	
              
                

              

              Karl H. Winters

              Chief Financial Officer

            
	 	 

    

    
      	 	 	 
	 	2K
              GAMES, INC.
	 
 	 
 	 
 
	 	 	 
	 	By:  	/s/ Karl
              H. Winters
	 	
              
                

              

              Karl H. Winters

              Chief Financial Officer

            
	 	 

    

    
      
        	 	 	 
	 	JACK
                OF ALL GAMES, INC.
	 
 	 
 	 
 
	 	 	 
	 	By:  	/s/ Karl
                H. Winters
	 	
                
                  

                

                Karl H. Winters

                Chief Financial Officer

              
	 	 

      

      
        	 	 	 
	 	INVENTORY
                MANAGEMENT SYSTEMS, INC.
	 
 	 
 	 
 
	 	 	 
	 	By:  	/s/ Karl
                H. Winters
	 	
                
                  

                

                Karl H. Winters

                Chief Financial Officer

              
	 	 

      

    

     

    
      List
        of Omitted Schedules

      
         

        SCHEDULES

         

        Schedule
          1 Notice
          Addresses

        Schedule
          2 Investment
          Property

        Schedule
          3 Perfection
          Matters

        Schedule
          4 Jurisdictions
          of Organization and Chief Executive Offices

        Schedule
          5 Inventory
          and Equipment Locations

        Schedule
          6 Intellectual
          Property

         

        
          The
            Registrant will furnish the omitted schedules to the Commission upon
            request.

        

      

    

     

    
      
        
        

      

      
        22

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00090-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00090-of-00352.parquet"}]]