Document:

Exhibit 10.21

FIFTH
AMENDMENT TO OFFICE BUILDING LEASE AGREEMENT

This
Fifth Amendment to Office Building Lease Agreement (this “Amendment”) is made and entered into
this 18th day of April, 2007, by and between WESTCORE
PYRAMID, L.P., a Delaware limited partnership (the “Landlord”), and EVOLVING SYSTEMS, INC.,
a Delaware corporation (the “Tenant”).

RECITALS

A.                                   Meridian
Associates West, a Colorado general partnership, the predecessor-in-interest to
Pacifica Holding Company, a Colorado corporation, the predecessor-in-interest
to Mack-Cali Realty, L.P., a Delaware limited partnership, the
predecessor-in-interest to Landlord, and Tenant entered into that certain
Office Building Lease Agreement dated March 30, 1995, as amended by that
certain Amendment Number One to Lease Agreement dated October 11, 1996 (“First Amendment”), that certain
Amendment Number Two to Lease Agreement dated October 22, 1999 (“Second Amendment”), that certain Third
Amendment to Office Building Lease Agreement dated July 17, 2002 (“Third Amendment”), and that certain
Fourth Amendment to Office Building Lease Agreement dated May 24, 2004 (“Fourth Amendment”) (the Office Building
Lease Agreement, the First Amendment, Second Amendment, Third Amendment and
Fourth Amendment are hereinafter sometimes collectively referred to as the “Original Lease”), with respect to
certain premises located within the office building (the “Building”) located at 9777 Pyramid Court, Englewood, Colorado, as more
particularly described therein.

B.                                     The term of the
Original Lease is currently set to expire on May 31, 2007.  Tenant has requested, and Landlord has
accepted, an extension of the term of the Original Lease.

C.                                     Landlord and
Tenant desire (i) to extend the term of the Original Lease, (ii) to reduce the
size of the existing premises, (iii) to establish the Base Rent and Base
Operating Expenses for the extension term, and (iv) to provide other amendments
to the Original Lease, all subject and pursuant to the terms and conditions set
forth below.

AGREEMENT

NOW THEREFORE, in consideration of the premises and
the mutual covenants hereinafter set forth, the parties agree as follows:

1.                                       New Premises
Lease Term.  The New
Premises Lease Term shall be extended for an additional term of sixty-five (65)
months commencing on June 1, 2007 (the “Extension
Date”) and terminating on October 31, 2012 (the “Termination Date”).

2.                                       New Premises.  Commencing on the Extension Date, the New
Premises shall be deemed to contain approximately twenty-four thousand three
hundred five (24,305) rentable square feet of space located on the first floor
of the Building as depicted on the floor plan attached hereto as Exhibit A.

3.                                       Monthly Base
Rent.  Effective on the Extension
Date, Section 4 of the Lease is amended by deleting it in its entirety and
inserting the following in lieu thereof:

Tenant shall pay to Landlord as Base Rent for the
New Premises, accruing on and after the Extension Date and monthly thereafter
in accordance with the terms of the Original Lease, as follows:

	
  Period

  	
   

  	
  Rent/Sq.Ft.

  	
   

  	
  Annual Rent

  	
   

  	
  Monthly Rent

  	
   

  
	
  Extension Date – October 31, 2007

  	
   

  	
  $

  	
  0.00

  	
   

  	
  $

  	
  0.00

  	
   

  	
  $

  	
  0.00

  	
   

  
	
  November 1, 2007 – October 31, 2008

  	
   

  	
  $

  	
  19.25

  	
   

  	
  $

  	
  467,871.25

  	
   

  	
  $

  	
  38,989.27

  	
   

  
	
  November 1, 2008 – October 31, 2009

  	
   

  	
  $

  	
  19.75

  	
   

  	
  $

  	
  480,023.75

  	
   

  	
  $

  	
  40,001.98

  	
   

  
	
  November 1, 2009 – October 31, 2010

  	
   

  	
  $

  	
  20.25

  	
   

  	
  $

  	
  492,176.25

  	
   

  	
  $

  	
  41,014.69

  	
   

  
	
  November 1, 2010 – October 31, 2011

  	
   

  	
  $

  	
  20.75

  	
   

  	
  $

  	
  504,328.75

  	
   

  	
  $

  	
  42,027.40

  	
   

  
	
  November 1, 2011
  – Termination Date

  	
   

  	
  $

  	
  21.25

  	
   

  	
  $

  	
  516,481.25

  	
   

  	
  $

  	
  43,040.10

  	
   

  

 

Tenant’s Pro Rata Share of Increased Operating
Expenses as provided herein and such other charges as are required by the terms
of this Lease to be paid by Tenant shall be referred to as “Additional Rent.”  Landlord shall have the same rights as to the
Additional Rent as it has in the payment of Base Rent.  The Base Rent, Additional Rent and all other
amounts due to be paid under this Lease may be referred to herein collectively
as “Rent.”

The term “Lease
Year” as used herein shall be each twelve (12) month period in
the New Premises Lease Term commencing on June 1 of each calendar year during
the New Premises Lease Term.

4.                                       Base Year
Operating Expenses.

(a)                                  “Base Operating Expenses” shall mean an
amount equal to the actual Operating Expenses for the Building Complex for the
calendar year 2007.

(b)                                 Effective as of
the Extension Date, Subparagraph 5.B. of the Third Amendment is hereby deleted
and restated in its entirety as follows:

5.B.    From and after the Extension
Date, Tenant shall pay to Landlord Tenant’s Prorata Share of any increases in
Operating Expenses in excess of Base Operating Expenses (the “Increased Operating Expenses”) during
each calendar year of the New Premises Lease Term and any extension
thereof.  All amounts required to be paid
by Tenant shall be paid within thirty (30) days following billing therefor by
Landlord.  Beginning on January 1, 2008,
and continuing each month thereafter during the New Premises Lease Term, or any
extension thereof, Tenant shall pay to Landlord, at the same time as the Base
Rent is paid, an amount equal to one-twelfth (1/12) of Landlord’s estimate (as
determined by Landlord’s Accountants) of Tenant’s Prorata Share of the
Increased Operating 

 2
 

Expenses for the
particular calendar year, with a final adjustment to be made between the
parties at a later date for said calendar year.

(1)                                  As
soon as practicable following the end of each calendar year during the New
Premises Lease Term, or any extension thereof, Landlord shall submit to Tenant
a statement prepared by a representative of Landlord setting forth the exact
amount of Tenant’s Prorata Share of the Increased Operating Expenses for the
calendar year just completed.  Beginning
with said statement for the second full calendar year, it shall also set forth
the difference, if any, between Tenant’s actual Prorata Share of the Increased
Operating Expenses for such calendar year just completed and the estimated
amount of Tenant’s Prorata Share of Increased Operating Expenses.  Each such statement shall also set forth the
projected Increased Operating Expenses, if any, for the new calendar year and
the corresponding increase in Tenant’s Prorata Share of the Increased Operating
Expenses computed in accordance with the foregoing provisions; provided,
however, in no event will the Rent to be paid by Tenant hereunder ever be less
than the Base Rent as it is to be adjusted for such calendar year.  To the extent that Tenant’s Prorata Share of
the Increased Operating Expenses for the period covered by such statement is
different from the estimated amount upon which Tenant paid Rent during the
calendar year just completed, Tenant shall pay to Landlord the difference in
cash within thirty (30) days following receipt by Tenant of such statement from
Landlord or receive a credit on the next month’s rental owing hereunder, as the
case may be.  Until Tenant receives such
statement, Tenant’s monthly Rent for the new calendar year shall continue to be
paid at the rate paid for the particular calendar year just completed, but
Tenant shall commence payment to Landlord of the monthly installments of Rent
on the basis of such statement beginning on the first day of the month
following the month in which Tenant receives such statement.  Moreover, Tenant shall pay to Landlord or
deduct from the Rent, as the case may be, on the date required for the first payment
of Rent, as adjusted, the difference, if any, between the monthly installments
of Rent so adjusted for the new calendar year and the monthly installments of
Rent actually paid during the new calendar year.

(2)                                  In
addition to the above, if, during any particular calendar year, there is a
change in the information on which Landlord’s Accountants based the estimate
upon which Tenant is then paying its estimated Tenant’s Prorata Share of the
Increased Operating Expenses so that such estimate furnished to Tenant is no
longer accurate, Landlord shall be permitted to revise such estimate by
notifying Tenant and there shall be such adjustments made in the monthly
estimated Tenant’s Prorata Share of the Increased Operating Expenses on the
first day of the month following the serving of such statement on Tenant as
shall be necessary by either increasing or decreasing, as the case may be, the
amount of Tenant’s Prorata Share of the Increased Operating Expenses then being
paid by Tenant for the balance of the calendar year, as well as an appropriate
adjustment in cash based upon the amount theretofore paid by Tenant during such
particular calendar year pursuant to the prior estimate.

(3)                                  In
the event the Rentable Area is not fully occupied during any particular calendar
year, Landlord’s Accountants may adjust those Operating Expenses which are
affected by the occupancy rates for the particular calendar 

 3
 

year, or portion
thereof, as the case may be, to reflect an occupancy of not less than
ninety-five percent (95%) of such Rentable Area.  In the event the Rentable Area is not fully
occupied during the calendar year 2007, which serves as the basis for the
calculation of Base Operating Expenses, Landlord’s Accountants shall adjust
those Operating Expenses which are affected by the occupancy rates for the
calendar year 2007, or portion thereof, as the case may be, to reflect an
occupancy of not less than ninety-five percent (95%) of such Rentable Area.

(4)                                  If
the calendar year is not concurrent with the Lease Year, Landlord shall, at any
time during the New Premises Lease Term, or any extension thereof, make all
adjustments provided for in this Paragraph 5 with an appropriate proration for
the Lease Year in which the New Premises Lease Term or any extension begins or
ends.  In addition, Landlord may elect at
any time during the New Premises Lease Term or any extensions thereof to make
all adjustments provided for in this Paragraph 5 on a Fiscal Year basis with an
appropriate proration for the calendar year in which such conversion is made
and in which the term ends and all references in this Lease to calendar year
shall thereafter be deemed to refer to “Fiscal
Year”.

(5)                                  Landlord’s
and Tenant’s responsibilities with respect to the Operating Expense adjustment
described herein shall survive the expiration or early termination of this
Lease.

(c)                                  Commencing
as of the Extension Date, Tenant’s Prorata Share shall be deemed to be
20.207%.  The terms Tenant’s Porata Share
and Tenant’s Pro Rata Share are used interchangeably in the Original Lease and
shall carry the same meaning for all purposes hereof.

(d)                                 Nothing
in the foregoing shall be deemed to modify any obligations of Tenant with
respect to Operating Expenses for any period prior to the Extension Date.

5.                                       Tenant Finish
Work.  Provisions regarding any
remodeling of or tenant finish work to be completed in the  New Premises shall be as set forth
below.  Except as provided below,
Landlord shall have no obligation for completion or remodeling of the  New Premises and Tenant shall accept the
Premises in its “as is”
condition on the Extension Date:

(a)                                  Tenant
Improvement Allowance. 
Landlord agrees to pay Tenant a tenant improvement allowance of Two
Hundred Ninety-One Thousand Six Hundred Sixty and No/100ths U.S. Dollars
($291,660.00) (the “Tenant Improvement
Allowance”) as contribution toward the cost of tenant
improvement work performed in the New Premises (collectively, the “Tenant Finish Costs”). 
The Tenant Improvement Allowance shall be applied toward (i) the cost of
tenant improvement work completed within the rentable area of the New Premises
in

 4
 

accordance with the Construction Drawings (as
defined below), excluding, however, any movable furniture, equipment and trade
fixtures not physically attached to the Premises (collectively, the “Tenant Work”), and (ii) the cost of
tenant improvement work completed within the rentable areas of the New Premises
in accordance with Tenant’s IT Work (as defined below), as well as any soft
costs, such as architectural, engineering, cabling and wiring costs incurred by
Tenant in connection with Tenant’s Work or Tenant’s IT Work.  Landlord shall pay the costs of Tenant’s IT
Work from the proceeds, if any, of the Tenant Improvement Allowance within
thirty (30) days after receipt of invoices, reasonable supporting
documentation, and lien waivers in such form as Landlord may reasonably
require.  Any unused portion of the
Tenant Improvement Allowance upon completion of Tenant’s Work and Tenant’s IT
Work will not be refunded to Tenant and will not be available to Tenant as a
credit against any obligations of Tenant under the Lease.   Landlord shall have the right to charge a
construction management fee equal to two and one-half percent (2.5%) of the
Tenant Finish Costs, which amount shall be deducted from the Tenant Improvement
Allowance.

(b)                                 Design of Tenant’s Work.  Landlord and Tenant have approved those
certain pricing plans for the Premises prepared by Intergroup Architects (the “Architect”) attached hereto as Exhibit C (collectively, the “Pricing Plans “).  No changes may be made to the Pricing Plans
without the written approval of Landlord and Tenant.

(c)                                  Construction Drawings.  Within fifteen (15) business days after the
date of this Amendment, Landlord shall cause the Architect to prepare the construction
drawings for Tenant’s Work in the New Premises (“Construction Drawings”) based upon the Pricing Plans and
shall submit the Construction Drawings for Tenant’s approval.  Tenant shall either approve the Construction
Drawings or submit, in writing, exceptions to the Construction Drawings to
Landlord within five (5) business days of Tenant’s receipt of the Construction
Drawings.  If Tenant does not respond to
the Construction Drawings within such five (5) business day period, Tenant
shall be deemed to have approved the Construction Drawings.  If Tenant submits exceptions to the
Construction Drawings, Landlord shall respond to any of Tenant’s exceptions
within five (5) business days of receipt thereof.  This procedure shall be repeated until both
parties agree upon the final Construction Drawings.  After approval of the Construction Drawings
no further changes may be made without the prior written approval of Landlord.

(d)                                 Construction of
Tenant’s Work.  Once
Landlord and Tenant agree on the final Construction Drawings, Landlord shall be
responsible for the execution and administration of the construction of Tenant’s
Work, which shall be done in accordance with the following provisions:

(i)                                     Contractor
Selection.  Within fifteen (15)
business days after the date Landlord and Tenant agree upon the final
Construction Drawings, Tenant’s Work shall be competitively bid to three (3)
general contractors, and Tenant shall be provided a reasonable opportunity to
provide input into the bid and bid review process.  Landlord shall select a contractor for Tenant’s
Work, subject to Tenant’s reasonable approval, which approval shall not be
unreasonably withheld.  The selected
contractor or subcontractor may be referred to herein as the “Contractor”.  The contract for the Tenant’s Work shall be
between Landlord and the Contractor.

 5
 

(ii)                                  Permitting.  Landlord or the Contractor shall submit the
Construction Drawings to the proper authorities for a building permit.  Landlord will cause Landlord’s Architect to
make any changes to the Construction Drawings which are requested by the
applicable governmental authorities to obtain the building permit.  Any such changes shall be subject to Tenant’s
payment of any excess costs as described below.

(iii)                               Coordination
with Tenant’s IT Work.  In connection
with the Tenant’s Work, Tenant will be entering into contracts for the
performance of electrical, wiring and other services related to the relocation
of Tenant’s computer rooms and telecommunications services within the New
Premises (collectively, “Tenant’s IT Work”).  Landlord acknowledges that because Tenant
will be occupying the New Premises during the construction of Tenant’s Work and
because Tenant will also be contracting for the construction of Tenant’s IT
Work, Landlord’s Contractor will need to closely coordinate with Tenant and
Tenant’s contractor on the schedules for performance of Tenant’s Work with the
performance of Tenant’s IT Work.  For
example, some of Tenant’s Work must be sequenced such that computer servers
used by Tenant for its ongoing business must be moved from the computer rooms
within the 1A wing of the New Premises before any demolition or remodeling of
such computer rooms can be performed.

(iv)                              Tenant
Improvement Allowance Over Runs. 
Landlord shall pay the Tenant Finish Costs in the amount up to the
Tenant Improvement Allowance, less any deductions for Landlord’s construction
management fee as noted above.  If
Landlord estimates that the Tenant Finish Costs will exceed the Tenant
Improvement Allowance, the projected excess shall be paid by Tenant upon
demand.  Landlord shall be under no
obligation to commence or continue performing Tenant’s Work until Tenant has
made such payment.

(e)                                  Costs
for Moving Telecommunications “Point of Presence” for Other Building Tenants.  Currently, one or more telecommunications
companies have a “point of presence” or “POP” in Tenant’s large computer room
located on the 1C wing of the New Premises. 
These telecommunications POPs are used to provide services to other
tenants in the Building.  Because such
space will no longer be used as a computer room after Tenant’s Work has been
completed, such telecommunications POP(s) need to be moved.  The costs of moving such telecommunications
POP(s) are not the responsibility of the Tenant and shall not be included in
costs charged against the Tenant Improvement Allowance.  Landlord shall be responsible for notifying
the telecommunications carriers of the need to move their POPs and Tenant will
reasonably cooperate with Landlord to effect the movement of such POPs from the
1C wing computer room.

(f)                                    Swing
Space.  Upon Tenant’s written
request, Landlord will permit Tenant to occupy Suite 200 “C” of the Building
(the “Swing Space”) for no
additional rent until such time as Landlord notifies Tenant that the New
Premises are ready for occupancy.  During
such occupancy, the Swing Space shall be deemed part of the New Premises and
shall be subject to all terms of the Lease, other than payment of Base Rent,
Operating Expenses or the Tenant Improvement Allowance.  Tenant shall have two (2) weeks to vacate the
Swing Space after receiving notice from Landlord that the New Premises are
ready for occupancy.

(g)                                 Decommissioning
of Cooling Tower Unit.  Landlord
acknowledges and agrees that in connection with Tenant’s IT Work, Tenant will
be terminating the use of the Cooling Tower Unit that it is currently using for
additional cooling for its computer rooms. 
Within the earlier to occur of: (a) six (6) months after Tenant is no
longer using the Cooling 

 6
 

Tower Unit; and
(b) two hundred forty (240) days after the date of this Amendment, Tenant shall
cause the Cooling Tower Unit to be removed from the Building in compliance with
all applicable laws.  Prior to commencing
the removal of the Cooling Tower Unit, Tenant shall submit all plans and
specifications therefore for Landlord’s reasonable review and approval.  Tenant shall promptly repair any damage to
the roof resulting from such removal.  At
Landlord’s election, Tenant shall coordinate such removal with Landlord’s
roofing contractor.

(h)                                 New
Cooling Unit Installation.  Landlord
acknowledges and agrees that in connection with Tenant’s IT Work, Tenant will
require the installation of new cooling units to provide additional cooling for
its computer rooms, and that installation of such cooling units will involve
installation of units on the exterior of the Building to vent heat from the
interior units to the outside (collectively, the “Cooling Equipment”).  The location, size, type and manner of
installation of the Cooling Equipment shall be subject to Landlord’s prior
written approval.  Tenant must install
and maintain all such Cooling Equipment in accordance with all applicable laws,
and shall be responsible, at Tenant’s sole cost and expense, for obtaining any
permits and approvals required from any and all governmental or
quasi-governmental agencies having jurisdiction over the Building.  Landlord may require Tenant and/or the
company providing services to Tenant in connection with any such Cooling
Equipment to pay for any costs incurred by Landlord in connection with Tenant’s
installation, operation and maintenance of the Cooling Equipment.  If any of the Cooling Equipment generates
noise likely, in Landlord’s reasonable judgment, to disturb other tenants or
occupants of the Building, or if required by any governmental authority, Tenant
shall install sound attenuated acoustic enclosures reasonably satisfactory to
Landlord designed to eliminate such noise or reduce such noise to acceptable
levels, and/or to screen the Cooling Equipment from view.  All of the provisions of the Lease shall
apply to the installation, use and maintenance of the Cooling Equipment,
including all provisions relating to compliance with legal requirements,
insurance, indemnity, repairs and maintenance. 
Tenant shall (i) be solely responsible for any damage caused as a result
of the use of the Cooling Equipment by Tenant, its employees, agents, or
invitees, (ii) promptly pay any tax, license, permit or other fees or charges
imposed pursuant to any legal requirements relating to the installation,
maintenance or use of Cooling Equipment, and (iii) promptly and diligently
perform all necessary repairs or replacements to, or maintenance of, the
Cooling Equipment.  Upon the expiration
of this Lease, Tenant shall remove the Cooling Equipment at Tenant’s sole cost
and expense, and shall restore any damage to the Building caused by the removal
of the Cooling Equipment.  If Tenant
fails to remove the Cooling Equipment within a reasonable time, then the Cooling
Equipment shall be deemed abandoned, and Landlord may cause the same to be
removed, and the Building to be repaired, at Tenant’s expense, which expense
shall be considered Additional Rent and shall survive the expiration or earlier
termination of the Lease.

6.                                       Security
Deposit.  Paragraph 5 of the Lease is
deleted and replaced with the following:

5.                                       Security
Deposit.  Within five (5) business days
after mutual execution of this Fifth Amendment, Tenant shall deliver to
Landlord an irrevocable letter of credit, in substantially the form attached
hereto as Exhibit B and
incorporated herein by reference, or such other form reasonably acceptable to
Landlord, issued by a bank acceptable to Landlord, payable in Denver, Colorado,
in the amount of One Hundred Thousand U.S. Dollars ($100,000.00) which as
renewed, replaced or reduced as set forth herein shall remain in effect for the
entire New Premises Lease Term plus sixty (60) days 

 7
 

(the “Security Deposit”)
as security for the Rent payable hereunder, the return of the New Premises in
good order and condition as required in this Lease, and the performance of the
terms, covenants, conditions and agreements of Tenant under this Lease.  Tenant shall not assign or encumber the Security
Deposit.  If the letter of credit is for
less than the entire New Premises Lease Term, then for as long as Tenant is
required to maintain the Security Deposit under this Lease, Tenant shall
deliver to Landlord a renewal or replacement letter of credit which conforms to
the requirements of this Paragraph 5 at least thirty (30) days prior to the
date each letter of credit is to expire, and if either (a) Tenant fails so to
deliver the renewal or replacement letter of credit, or (b) if the bank which
issued the letter of credit or Tenant notifies Landlord prior to the expiration
date of any such letter of credit (and each letter of credit other than the
first letter of credit shall require the bank to do so or if the bank will not
agree to do so, then Tenant shall so notify Landlord) that it does not intend
to renew or replace the letter of credit, then unless Landlord has previously
received the required renewal or replacement letter of credit, Landlord may
draw on the letter of credit and hold its proceeds, without interest to Tenant,
as the Security Deposit.  The Security
Deposit shall not be applied by Tenant to the payment of Rent or any other
amount for which it may become liable under this Lease, and such Security
Deposit or its use shall in no way relieve Tenant from the faithful and punctual
performance of all terms, covenants, conditions and agreements herein imposed
upon it or cure any default.  If Landlord
draws down on the Security Deposit to satisfy any obligation of the Tenant,
Tenant, within ten (10) days after demand, shall deliver to Landlord a
replacement or additional letter of credit which satisfies the requirements of
this Paragraph 5 so that Landlord shall have the full amount of the Security
Deposit ($100,000.00) at all times during the term of this Lease as existed
immediately prior to such application. 
Notwithstanding the foregoing, it is agreed that so long as Tenant is
not then in default and demonstrates to Landlord’s reasonable satisfaction that
it has achieved positive Adjusted EBITDA (as defined below) for the immediately
preceding two (2) fiscal years, then at the end of the twenty-fourth full month
after the Extension Date, the Security Deposit will be reduced to Fifty
Thousand U.S. Dollars ($50,000.00).  For
purposes of this Paragraph 5, the term “Adjusted EBITDA” shall mean Tenant’s
earnings before interest, taxes, depreciation, amortization, impairment, stock
compensation, gain/loss on foreign exchange transactions and other non-cash
expenses.

Upon delivery of the new Letter of Credit described in this Paragraph 5,
Landlord shall release its interest in the existing Letter of Credit that was
provided to Landlord under the terms of Amendment No. 3 to the Lease.

Landlord agrees that at the termination of this Lease, the Security
Deposit shall be terminated within sixty (60) days after the New Premises have
been vacated in good order and condition, provided that Tenant shall have
complied in all respects with the terms, covenants, conditions and agreements
contained herein.  In the event of a
sale, lease, assignment or transfer of the New Premises or the Building,
Landlord shall have the right to transfer its interest in the Security Deposit
to its purchaser, assignee, transferee, or any other successor in interest and
shall provide in writing the address of such successor, and Landlord shall
thereupon be released by the Tenant from all liability for the return of the
Security Deposit; provided, however, that Landlord shall be responsible for
payment of any administrative fees charged by the issuer of the letter of

 8

credit in connection with such transfer.  In that event, Tenant agrees to look solely
to the new Landlord as such new Landlord shall have the same responsibilities
as contained in this Paragraph.  Nothing
in this Paragraph 5 shall be construed as limiting Tenant’s liability under
this Lease to the amount of the Security Deposit.

7.                                       Renewal Option.  As additional consideration for the covenants
of Tenant hereunder, Landlord hereby grants to Tenant an option (the “Option”) to extend the New Premises
Lease Term for an additional term of five (5) years (the “Option Term”).  The Option shall supersede any renewal
options contained in the Original Lease. 
The Option shall apply only to the original space leased hereunder and
shall be on the following terms and conditions:

(a)                                  Written
notice of Tenant’s interest in exercising the Option shall be given to Landlord
no earlier than twelve (12) months and no later than nine (9) months prior to
the expiration of the New Premises Lease Term. 
If Tenant timely exercises the Option, the Lease shall be deemed
extended and thereafter the parties shall execute an amendment to the Lease
setting forth the terms of the extension.

(b)                                 The
Option granted hereunder shall be upon the terms and conditions contained in
the Lease except that monthly fixed rent shall be the fixed rent which Landlord
would quote to third parties for space comparable to the New Premises if it
were to become available for leasing for a lease term scheduled to commence at
the time of the commencement of the Option Term (the “Market Rate”).  The Market Rate may include escalations and
pass-throughs.  Notwithstanding anything
to the contrary contained herein, within thirty (30) days after Tenant
exercises the Option, Landlord shall provide Tenant with notice of the Market
Rate as determined by Landlord pursuant to this Subparagraph (7)(b).  Within ten (10) business days after receipt
of Landlord’s determination of the Market Rate, Tenant shall have the right to
dispute said determination upon written notice to Landlord.  In the event Tenant timely disputes Landlord’s
determination, Landlord and Tenant shall attempt to resolve such dispute within
thirty (30) days after Tenant provides written notice of such dispute.  In the event Landlord and Tenant are unable
to resolve such dispute within said thirty (30) day period, Tenant, as its sole
and exclusive remedy, shall either: (i) accept Landlord’s determination of the
Market Rate; (ii) proceed to an arbitration procedure as outlined below, or
(iii) elect to waive its exercise of the Option and the Original Lease shall
terminate on the Termination Date.

(c)                                  Arbitration
Procedure.  If Tenant elects to exercise
the Option and have the Market Rate determined by Qualified Appraisers
(provided that both parties have attempted in good faith to reach a mutually
acceptable agreement, but were unable to do so), Landlord and

 9
 

Tenant shall each
within five (5) business days after Landlord’s receipt of the notice to proceed
to arbitration to nominate and appoint a Qualified Appraiser to determine the
Market Rate.  Upon the appointment of the
two (2) Qualified Appraisers, they shall be instructed to fairly and
impartially determine the Market Rate. 
The two (2) Qualified Appraisers shall afford to Landlord and Tenant the
right to submit evidence with respect to such value and shall, with all
possible speed, make their respective determinations and deliver a written
report thereof to Landlord and Tenant within thirty (30) days after their
appointment.  If the two (2) Qualified
Appraisers are unable to agree upon the Market Rate, the Qualified Appraisers
shall elect a third Qualified Appraiser within ten (10) days after the
expiration of such thirty (30) day period. 
Within ten (10) business days after the election of the third Qualified
Appraiser, a majority of the Qualified Appraisers will set the Market Rate for
the Option Term.  As used herein, the
term “Qualified Appraiser” means a commercial real estate broker who has been
actively and continuously engaged in the leasing of commercial office space in
the Southeast Suburban Submarket for not less than the previous  five (5) year period prior to such
appointment as his/her primary occupation, and is not affiliated with Landlord
or Tenant.

(c)                                  Unless
Landlord is timely notified by Tenant in accordance with subparagraph (a)
above, it shall be conclusively deemed that Tenant does not desire to exercise
the Option, and the Original Lease shall expire in accor­dance with its terms,
on the Termination Date.

(d)                                 Tenant’s
right to exercise its Option shall be conditioned on:  (i) Tenant not being in default under the
Lease at the time of exercise of the Option or at the time of the commencement
of the Option Term; and (ii) Tenant not having subleased more than twenty-five
percent (25%) of the New Pre­mises or assigned its interest under the Lease as
of the commencement of the Option Term or having vacated more than twenty-five
percent (25%) of the New Premises.

8.                                       Brokerage.  Tenant has no knowledge of any brokers’
involvement in this transaction on behalf of Tenant, except The Staubach
Company, which has acted as Tenant’s leasing broker and shall be paid a
commission pursuant to a separate agreement. 
Tenant will indemnify Landlord against any claim or expense (including,
without limitation, attorneys’ fees) paid or incurred in connection with this
Amendment by Landlord as a result of any claim for commissions or fees by any
other broker, finder, or agent, whether or not meritorious, employed by Tenant
or claiming by, through or under Tenant.

9.                                       General.  This Amendment is intended to be, and shall
be construed as, an amendment of the Original Lease.  To the extent that the terms and conditions
of this Amendment conflict with the terms and conditions of the Original Lease,
the terms and conditions of this Amendment shall control.  Capitalized terms used in this Amendment
shall have the meaning ascribed to them in the Original Lease.  The Original Lease, as modified by this Amendment,
may be referred to herein as the “Lease”.

10.                                 Successors
and Assigns.  This Amendment shall be
binding upon and shall inure to the benefit of the heirs, executors,
administrators, successors and permitted assigns of the respective parties
hereto.

11.                                 Counterparts.  This Amendment may be executed in several
counterparts, each of which may be deemed an original, but all of which
together shall constitute one and the same 

 10
 

instrument.  The parties agree that signatures transmitted
by facsimile or electronic mail shall be binding as if they were original
signatures.

12.                                 Attorneys’
Fees.  In the event it becomes
necessary for either party to file a suit to enforce this Amendment or any
provisions contained herein, the party prevailing in such action shall recover,
in addition to all other remedies or damages, reasonable attorneys’ fees and
court costs incurred by such prevailing party in such suit.

IN WITNESS WHEREOF, the Landlord and Tenant have
executed this Amendment as of the date first above written.

 

	
  LANDLORD:

  	
   

  	
  TENANT:

  
	
   

  	
   

  	
   

  
	
  WESTCORE
  PYRAMID, L.P.,

  	
   

  	
  EVOLVING SYSTEMS, INC.,

  
	
  a Delaware
  limited partnership

  	
   

  	
  a Delaware corporation

  
	
   

  	
   

  	
   

  
	
  By:

  	
  WESTCORE DENVER
  GP, LLC,

  	
   

  	
  By:  

  	
   

  	
  /s/ Brian R. Ervine

  
	
   

  	
  a Delaware
  limited liability company,

  	
   

  	
   

  	
   

  
	
   

  	
  its General
  Partner

  	
   

  	
  Name:  

  	
   

  	
  Brian R. Ervine

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Don Ankeny

  	
   

  	
   

  	
  Title:  

  	
   

  	
  CFO

  
	
   

  	
   

  	
  Don Ankeny

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized
  Signatory

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Address: 

  	
  5975 South
  Quebec Street, Suite 100

  	
   

  	
  Address: 

  	
  9777 Pyramid Court, Suite 100

  
	
   

  	
  Centennial,
  Colorado 80111

  	
   

  	
   

  	
  Englewood, CO 80112

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Phone:  

  	
  (303) 721-7600

  	
   

  	
  Phone:  

  	
  (303) 802-1000

  
	
  Fax:  

  	
  (303) 721-1122

  	
   

  	
  Fax:  

  	
  (303) 802-1138

  
													

 11
 

EXHIBIT A

 

Floor
Plan

 12
 

EXHIBIT
B

Form of
Letter of Credit

LETTER OF CREDIT

Westcore Pyramid, L.P.

5975 South Quebec Street, Suite 100

Centennial, Colorado 80111

Attention: John Fefley

Re:          Letter
of Credit No.                                  

Ladies and Gentlemen:

By order of our client, Evolving Systems, Inc.
(Applicant), we hereby issue in your favor our clean, unconditional irrevocable
Letter of Credit which is available against presentation of your sight
draft.  The draft must be accompanied by:

1.                                       This Letter of Credit No.                                  ;
and

2.                                       Certification signed by an
authorized representative of                                                                   ,
or an officer of its transferee or assignee, stating essentially as follows:

“The undersigned Beneficiary requests payment of the
enclosed draft under the enclosed Letter of Credit.”

This Letter of Credit shall be subject to the
Special Conditions set forth on Exhibit 1, such exhibit being considered a part
hereof and incorporated herein by reference.

We hereby agree that all drafts drawn under and in
compliance with the terms of this credit shall meet with honor upon
presentation and delivery of documents on or before 5:00 p.m., Mountain Time                                  ,
as specified to the drawee.

 

	
   

  	
   

  	
   

  
	
  Attest:

  	
  a

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  “Lender”

  
								

 

 13

Exhibit 1 to Exhibit I

To Letter of Credit No.                       

The Letter of Credit shall be governed by the following Special
Conditions:

a.                                       This Letter of Credit shall be governed by
and construed in accordance with the laws of the State of Colorado, including
specifically, but not limited to, C.R.S. 1973, ‘ 4-5-101,et seq., entitled Uniform Commercial Code
— Letters of Credit.

b.                                      Issuer agrees
that it may not defer honor beyond the close of the first banking day after
presentment of a sight draft drawn hereunder and accompanying documents.

c.                                       This Letter of
Credit shall be transferable and assignable to any person or entity who is the
successor or assignee of Beneficiary’s interest under the Office Building Lease
dated March 30, 1995, the current parties to which are Westcore Pyramid, L.P.,
as Landlord and Evolving Systems, Inc., as Tenant.

EXHIBIT C

Pricing Plans

NOTE: Pricing Plans include those alternate selections made at April 4,
2007 meeting with Intergroup Architects and Landlord and Tenant representatives,
as well as configuration of the selected area per the 3/4/2007 Preliminary
Plans-Option B of Intergroup Architects.Exhibit 10.33
 EXECUTION COPY
  Published CUSIP Number: 893419AA9
 Revolving Credit CUSIP Number: 893419AB7
 

$150,000,000

CREDIT
AGREEMENT

dated as of
September 29, 2006,

by and among

TRANSACTION
SYSTEMS ARCHITECTS, INC.,

as Borrower,

the Lenders
referred to herein,

WACHOVIA
BANK, NATIONAL ASSOCIATION,

as Administrative Agent,

Swingline Lender and Issuing Lender

BANK OF AMERICA, N.A.,

U.S. BANK NATIONAL ASSOCIATION,

each as a Syndication Agent

and

LASALLE BANK NATIONAL ASSOCIATION,

CITIZENS BANK OF MASSACHUSETTS,

each as a Documentation Agent

WACHOVIA CAPITAL MARKETS, LLC

as Sole Lead Arranger and Sole Book Manager

 

   
 

Table of Contents

	
  

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE I  DEFINITIONS

  	
   

  	
  1

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  1.1

  	
  Definitions

  	
   

  	
  1

  
	
   

  	
  SECTION 1.2

  	
  Other Definitions and Provisions

  	
   

  	
  21

  
	
   

  	
  SECTION 1.3

  	
  Accounting Terms

  	
   

  	
  21

  
	
   

  	
  SECTION 1.4

  	
  UCC Terms

  	
   

  	
  21

  
	
   

  	
  SECTION 1.5

  	
  Rounding

  	
   

  	
  22

  
	
   

  	
  SECTION 1.6

  	
  References to Agreement and Laws

  	
   

  	
  22

  
	
   

  	
  SECTION
  1.7

  	
  Times
  of Day

  	
   

  	
  22

  
	
   

  	
  SECTION 1.8

  	
  Letter of Credit Amounts

  	
   

  	
  22

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE II REVOLVING CREDIT FACILITY

  	
   

  	
  22

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 2.1

  	
  Revolving Credit Loans

  	
   

  	
  22

  
	
   

  	
  SECTION 2.2

  	
  Swingline Loans

  	
   

  	
  23

  
	
   

  	
  SECTION 2.3

  	
  Procedure for Advances of Revolving Credit Loans and
  Swingline Loans

  	
   

  	
  24

  
	
   

  	
  SECTION 2.4

  	
  Repayment and Prepayment of Revolving Credit Loans and
  Swingline Loans

  	
   

  	
  25

  
	
   

  	
  SECTION 2.5

  	
  Permanent Reduction of the Commitments

  	
   

  	
  26

  
	
   

  	
  SECTION 2.6

  	
  Termination of Revolving Credit Facility

  	
   

  	
  27

  
	
   

  	
  SECTION 2.7

  	
  Increase of Revolving Credit Commitment

  	
   

  	
  27

  
	
   

  	
  SECTION 2.8

  	
  Optional Incremental Term Loans

  	
   

  	
  29

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE III LETTER OF CREDIT FACILITY

  	
   

  	
  31

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  3.1

  	
  L/C
  Commitment

  	
   

  	
  31

  
	
   

  	
  SECTION 3.2

  	
  Procedure for Issuance of Letters of Credit

  	
   

  	
  32

  
	
   

  	
  SECTION 3.3

  	
  Commissions and Other Charges

  	
   

  	
  32

  
	
   

  	
  SECTION 3.4

  	
  L/C Participations

  	
   

  	
  33

  
	
   

  	
  SECTION 3.5

  	
  Reimbursement Obligation of the Borrower

  	
   

  	
  33

  
	
   

  	
  SECTION 3.6

  	
  Obligations Absolute

  	
   

  	
  34

  
	
   

  	
  SECTION 3.7

  	
  Effect of Letter of Credit Application

  	
   

  	
  35

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IV GENERAL LOAN PROVISIONS

  	
   

  	
  35

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 4.1

  	
  Interest

  	
   

  	
  35

  
	
   

  	
  SECTION 4.2

  	
  Notice and Manner of Conversion or Continuation of
  Loans

  	
   

  	
  36

  
	
   

  	
  SECTION 4.3

  	
  Fees

  	
   

  	
  37

  
	
   

  	
  SECTION 4.4

  	
  Manner of Payment

  	
   

  	
  37

  
	
   

  	
  SECTION 4.5

  	
  Evidence of Indebtedness

  	
   

  	
  38

  
	
   

  	
  SECTION
  4.6

  	
  Adjustments

  	
   

  	
  38

  
	
   

  	
  SECTION 4.7

  	
  Nature of Obligations of Lenders Regarding Extensions
  of Credit; Assumption by the Administrative Agent

  	
   

  	
  39

  
	
   

  	
  SECTION 4.8

  	
  Changed Circumstances

  	
   

  	
  40

  
							

 

 ii
 

 

	
  

  	
  SECTION
  4.9

  	
  Indemnity

  	
   

  	
  40

  
	
   

  	
  SECTION 4.10

  	
  Increased Costs

  	
   

  	
  41

  
	
   

  	
  SECTION 4.11

  	
  Taxes

  	
   

  	
  42

  
	
   

  	
  SECTION 4.12

  	
  Mitigation Obligations; Replacement of Lenders

  	
   

  	
  44

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE V CLOSING; CONDITIONS OF CLOSING AND BORROWING

  	
   

  	
  45

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 5.1

  	
  Closing

  	
   

  	
  45

  
	
   

  	
  SECTION 5.2

  	
  Conditions to Closing and Initial Extensions of Credit

  	
   

  	
  45

  
	
   

  	
  SECTION 5.3

  	
  Conditions to All Extensions of Credit

  	
   

  	
  48

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VI REPRESENTATIONS AND WARRANTIES OF THE
  BORROWER

  	
   

  	
  48

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 6.1

  	
  Representations and Warranties

  	
   

  	
  48

  
	
   

  	
  SECTION 6.2

  	
  Survival of Representations and Warranties, Etc

  	
   

  	
  55

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VII FINANCIAL INFORMATION AND NOTICES

  	
   

  	
  56

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 7.1

  	
  Financial Statements and Projections

  	
   

  	
  56

  
	
   

  	
  SECTION 7.2

  	
  Officer’s Compliance Certificate

  	
   

  	
  57

  
	
   

  	
  SECTION 7.3

  	
  Intentionally Omitted

  	
   

  	
  57

  
	
   

  	
  SECTION
  7.4

  	
  Other
  Reports

  	
   

  	
  57

  
	
   

  	
  SECTION 7.5

  	
  Notice of Litigation and Other Matters

  	
   

  	
  57

  
	
   

  	
  SECTION 7.6

  	
  Accuracy of Information

  	
   

  	
  58

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VIII AFFIRMATIVE COVENANTS

  	
   

  	
  58

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 8.1

  	
  Preservation of Corporate Existence and Related
  Matters

  	
   

  	
  58

  
	
   

  	
  SECTION 8.2

  	
  Maintenance of Property

  	
   

  	
  58

  
	
   

  	
  SECTION 8.3

  	
  Insurance

  	
   

  	
  59

  
	
   

  	
  SECTION 8.4

  	
  Accounting Methods and Financial Records

  	
   

  	
  59

  
	
   

  	
  SECTION 8.5

  	
  Payment and Performance of Obligations

  	
   

  	
  59

  
	
   

  	
  SECTION 8.6

  	
  Compliance With Laws and Approvals

  	
   

  	
  59

  
	
   

  	
  SECTION 8.7

  	
  Environmental Laws

  	
   

  	
  59

  
	
   

  	
  SECTION 8.8

  	
  Compliance with ERISA

  	
   

  	
  60

  
	
   

  	
  SECTION 8.9

  	
  Visits and Inspections

  	
   

  	
  60

  
	
   

  	
  SECTION 8.10

  	
  Additional Subsidiaries

  	
   

  	
  60

  
	
   

  	
  SECTION 8.11

  	
  Use of Proceeds.

  	
   

  	
  60

  
	
   

  	
  SECTION 8.12

  	
  Further Assurances

  	
   

  	
  61

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IX FINANCIAL COVENANTS

  	
   

  	
  61

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 9.1

  	
  Total Leverage Ratio

  	
   

  	
  61

  
	
   

  	
  SECTION 9.2

  	
  Interest Coverage Ratio

  	
   

  	
  61

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE X NEGATIVE COVENANTS

  	
   

  	
  61

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 10.1

  	
  Limitations on Indebtedness

  	
   

  	
  61

  
	
   

  	
  SECTION 10.2

  	
  Limitations on Liens

  	
   

  	
  63

  
	
   

  	
  SECTION 10.3

  	
  Limitations on Loans, Advances, Investments and
  Acquisitions

  	
   

  	
  64

  
	
   

  	
  SECTION 10.4

  	
  Limitations on Mergers and Liquidation

  	
   

  	
  66

  

 

 iii
 

 

	
  

  	
  SECTION 10.5

  	
  Limitations on Sales of Assets

  	
   

  	
  66

  
	
   

  	
  SECTION 10.6

  	
  Restricted Payments.

  	
   

  	
  67

  
	
   

  	
  SECTION 10.7

  	
  Limitations on Exchange and Issuance of Capital Stock

  	
   

  	
  67

  
	
   

  	
  SECTION 10.8

  	
  Transactions with Affiliates

  	
   

  	
  68

  
	
   

  	
  SECTION 10.9

  	
  Certain Accounting Changes; Organizational Documents

  	
   

  	
  68

  
	
   

  	
  SECTION 10.10

  	
  Amendments of Subordinated Indebtedness

  	
   

  	
  68

  
	
   

  	
  SECTION 10.11

  	
  Restrictive Agreements

  	
   

  	
  68

  
	
   

  	
  SECTION 10.12

  	
  Nature of Business

  	
   

  	
  68

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE XI DEFAULT AND REMEDIES

  	
   

  	
  69

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 11.1

  	
  Events of Default

  	
   

  	
  69

  
	
   

  	
  SECTION
  11.2

  	
  Remedies

  	
   

  	
  71

  
	
   

  	
  SECTION 11.3

  	
  Rights and Remedies Cumulative; Non-Waiver; etc

  	
   

  	
  72

  
	
   

  	
  SECTION 11.4

  	
  Crediting of Payments and Proceeds

  	
   

  	
  72

  
	
   

  	
  SECTION 11.5

  	
  Administrative Agent May File Proofs of Claim

  	
   

  	
  73

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE XII THE ADMINISTRATIVE AGENT

  	
   

  	
  74

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 12.1

  	
  Appointment and Authority

  	
   

  	
  74

  
	
   

  	
  SECTION 12.2

  	
  Rights as a Lender

  	
   

  	
  74

  
	
   

  	
  SECTION 12.3

  	
  Exculpatory Provisions

  	
   

  	
  74

  
	
   

  	
  SECTION 12.4

  	
  Reliance by the Administrative Agent

  	
   

  	
  75

  
	
   

  	
  SECTION 12.5

  	
  Delegation of Duties

  	
   

  	
  75

  
	
   

  	
  SECTION 12.6

  	
  Resignation of Administrative Agent

  	
   

  	
  75

  
	
   

  	
  SECTION 12.7

  	
  Non-Reliance on Administrative Agent and Other Lenders

  	
   

  	
  76

  
	
   

  	
  SECTION 12.8

  	
  No Other Duties, etc

  	
   

  	
  77

  
	
   

  	
  SECTION 12.9

  	
  Collateral and Guaranty Matters.

  	
   

  	
  77

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE XIII MISCELLANEOUS

  	
   

  	
  77

  
	
   

  	
   

  	
   

  
	
   

  	
  SECTION 13.1

  	
  Notices

  	
   

  	
  77

  
	
   

  	
  SECTION 13.2

  	
  Amendments, Waivers and Consents

  	
   

  	
  79

  
	
   

  	
  SECTION 13.3

  	
  Expenses; Indemnity

  	
   

  	
  80

  
	
   

  	
  SECTION 13.4

  	
  Right of Setoff

  	
   

  	
  82

  
	
   

  	
  SECTION
  13.5

  	
  Governing
  Law

  	
   

  	
  82

  
	
   

  	
  SECTION 13.6

  	
  Waiver of Jury Trial

  	
   

  	
  84

  
	
   

  	
  SECTION 13.7

  	
  Reversal of Payments

  	
   

  	
  84

  
	
   

  	
  SECTION 13.8

  	
  Injunctive Relief; Punitive Damages

  	
   

  	
  84

  
	
   

  	
  SECTION 13.9

  	
  Accounting Matters

  	
   

  	
  84

  
	
   

  	
  SECTION 13.10

  	
  Successors and Assigns; Participations

  	
   

  	
  85

  
	
   

  	
  SECTION 13.11

  	
  Confidentiality

  	
   

  	
  88

  
	
   

  	
  SECTION 13.12

  	
  Performance of Duties

  	
   

  	
  89

  
	
   

  	
  SECTION 13.13

  	
  All Powers Coupled with Interest

  	
   

  	
  89

  
	
   

  	
  SECTION 13.14

  	
  Survival of Indemnities

  	
   

  	
  89

  
	
   

  	
  SECTION 13.15

  	
  Titles and Captions

  	
   

  	
  89

  
	
   

  	
  SECTION 13.16

  	
  Severability of Provisions

  	
   

  	
  89

  
	
   

  	
  SECTION
  13.17

  	
  Counterparts

  	
   

  	
  89

  
	
   

  	
  SECTION
  13.18

  	
  Integration

  	
   

  	
  89

  

 

 iv
 

 

	
  

  	
  SECTION 13.19

  	
  Term of Agreement

  	
   

  	
  90

  
	
   

  	
  SECTION 13.20

  	
  Advice of Counsel, No Strict Construction

  	
   

  	
  90

  
	
   

  	
  SECTION 13.21

  	
  USA Patriot Act

  	
   

  	
  90

  
	
   

  	
  SECTION 13.22

  	
  Inconsistencies with Other Documents; Independent
  Effect of Covenants

  	
   

  	
  90

  

 

 v
 

 

	
  EXHIBITS

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Exhibit A-1

  	
  -

  	
   

  	
  Form of Revolving Credit Note

  
	
  Exhibit A-2

  	
  -

  	
   

  	
  Form of Swingline Note

  
	
  Exhibit B

  	
  -

  	
   

  	
  Form of Notice of Borrowing

  
	
  Exhibit C

  	
  -

  	
   

  	
  Form of Notice of Account Designation

  
	
  Exhibit D

  	
  -

  	
   

  	
  Form of Notice of Prepayment

  
	
  Exhibit E

  	
  -

  	
   

  	
  Form of Notice of Conversion/Continuation

  
	
  Exhibit F

  	
  -

  	
   

  	
  Form of Officer’s Compliance Certificate

  
	
  Exhibit G

  	
  -

  	
   

  	
  Form of Assignment and Assumption

  
	
  Exhibit H

  	
  -

  	
   

  	
  Form of Subsidiary Guaranty Agreement

  
							

 

 

	
  SCHEDULES

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Schedule 6.1(a)

  	
  -

  	
   

  	
  Jurisdictions of Organization and Qualification

  
	
  Schedule 6.1(b)

  	
  -

  	
   

  	
  Subsidiaries and Capitalization

  
	
  Schedule 6.1(h)

  	
  -

  	
   

  	
  ERISA Plans

  
	
  Schedule 6.1(i)

  	
  -

  	
   

  	
  Labor and Collective Bargaining Agreements

  
	
  Schedule 6.1(q)

  	
  -

  	
   

  	
  Indebtedness and Guaranty Obligations

  
	
  Schedule 6.1(r)

  	
  -

  	
   

  	
  Class Action Suit

  
	
  Schedule 10.1

  	
  -

  	
   

  	
  Existing Subsidiary Indebtedness

  
	
  Schedule 10.2

  	
  -

  	
   

  	
  Existing Liens

  
	
  Schedule 10.3

  	
  -

  	
   

  	
  Existing Loans, Advances and Investments

  
	
  Schedule 10.8

  	
  -

  	
   

  	
  Transactions with Affiliates

  
							

 

 vi

CREDIT AGREEMENT, dated as of September 29, 2006, by and among
TRANSACTION SYSTEMS ARCHITECTS, INC., a Delaware corporation (the “Borrower”),
the lenders who are or may become a party to this Agreement (collectively, the “Lenders”)
and WACHOVIA BANK, NATIONAL ASSOCIATION, a national banking association, as
Administrative Agent for the Lenders, BANK OF AMERICA, N.A. and U.S. BANK
NATIONAL ASSOCIATION, each as a Syndication Agent and LASALLE BANK NATIONAL
ASSOCIATION and CITIZENS BANK OF MASSACHUSETTS, each as a Documentation Agent.

STATEMENT OF
PURPOSE

The Borrower has requested, and the Lenders have agreed, to extend
certain credit facilities to the Borrower on the terms and conditions of this
Agreement.

NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged by the parties hereto, such
parties hereby agree as follows:

ARTICLE
I

DEFINITIONS

SECTION 1.1         Definitions. 
The following terms when used in this Agreement shall have the meanings
assigned to them below:

“Administrative Agent” means Wachovia, in its
capacity as Administrative Agent hereunder, and any successor thereto appointed
pursuant to Section 12.6.

“Administrative Agent’s Office” means the office of the
Administrative Agent specified in or determined in accordance with the
provisions of Section 13.1(c).

“Administrative Questionnaire” means an
administrative questionnaire in a form supplied by the Administrative Agent.

“Affiliate” means, with respect to any Person, any other Person
(other than, with respect to the Borrower, a Subsidiary of the Borrower) which
directly or indirectly through one or more intermediaries, controls, or is
controlled by, or is under common control with, such first Person or any of its
Subsidiaries.  As used in this definition,
the term “control” means (a) the power to vote five percent (5%) or more
of the securities or other equity interests of a Person having ordinary voting
power, or (b) the possession, directly or indirectly, of any other power
to direct or cause the direction of the management and policies of a Person,
whether through ownership of voting securities, by contract or otherwise.

“Aggregate Commitment” means the aggregate amount of the Lenders’
Commitments hereunder, as such amount may be increased, reduced or otherwise
modified at any time or from time to time pursuant to the terms hereof.  On the Closing Date, the Aggregate Commitment
shall be $150,000,000.

“Agreement” means this Credit Agreement, as amended, restated,
supplemented or otherwise modified from time to time.

“Applicable Law” means all applicable provisions of
constitutions, laws, statutes, ordinances, rules, treaties, regulations,
permits, licenses, approvals, interpretations and orders of courts or
Governmental Authorities and all orders and decrees of all courts and
arbitrators.

“Applicable Margin” means the corresponding percentages per
annum as set forth below based on the Consolidated Total Leverage Ratio:

	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Revolving Credit

  Loans

  
	
  Pricing

  Level

  	
   

  	
  Consolidated Total Leverage

  Ratio

  	
   

  	
  Commitment

  Fee

  	
   

  	
  LIBOR

  Rate +

  	
   

  	
  Base Rate

  +

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  I

  	
   

  	
  Greater than or equal to 2.25 to 1.00

  	
   

  	
  0.300%

  	
   

  	
  1.375%

  	
   

  	
  0.125%

  
	
  II

  	
   

  	
  Greater than or equal to 1.75 to 1.00, but less than
  2.25 to 1.00

  	
   

  	
  0.250%

  	
   

  	
  1.000%

  	
   

  	
  0.000%

  
	
  III

  	
   

  	
  Greater than or equal to 1.25 to 1.00, but less than
  1.75 to 1.00

  	
   

  	
  0.200%

  	
   

  	
  0.875%

  	
   

  	
  0.000%

  
	
  IV

  	
   

  	
  Greater than or equal to 0.75 to 1.00, but less than
  1.25 to 1.00

  	
   

  	
  0.175%

  	
   

  	
  0.750%

  	
   

  	
  0.000%

  
	
  V

  	
   

  	
  Less than 0.75 to 1.00

  	
   

  	
  0.150%

  	
   

  	
  0.625%

  	
   

  	
  0.000%

  

 

The Applicable Margin shall be determined and adjusted
quarterly on the date (each a “Calculation Date”) ten (10) Business Days
after receipt by the Administrative Agent of the Officer’s Compliance
Certificate pursuant to Section 7.2 for the most recently ended fiscal
quarter of the Borrower; provided that (a) the Applicable Margin shall
be based on Pricing Level IV until the first Calculation Date occurring after
the Closing Date and, thereafter the Pricing Level shall be determined by
reference to the Consolidated Total Leverage Ratio  as
of the last day of the most recently ended fiscal quarter of the Borrower
preceding the applicable Calculation Date, and (b) if the Borrower fails to
provide the Officer’s Compliance Certificate as required by Section 7.2
for the most recently ended fiscal quarter of the Borrower preceding the
applicable Calculation Date, the Applicable Margin from such Calculation Date
shall be based on Pricing Level I until such time as an appropriate Officer’s
Compliance Certificate is provided, at which time the Pricing Level shall be
determined by reference to the Consolidated Total Leverage Ratio as of the last
day of the most recently ended fiscal quarter of the Borrower preceding such
Calculation Date.  The Applicable Margin
shall be effective from one Calculation Date until the next Calculation
Date.  Any adjustment in the Applicable
Margin shall be applicable to all Revolving Credit Loans and Swingline Loans
then existing or subsequently made or issued.

 2
 

If, as a result of any restatement of or other adjustment to the
financial statements of the Borrower or for any other reason, the Lenders
determine that (a) the Consolidated Total Leverage Ratio as calculated by the
Borrower as of any applicable date was inaccurate and (b) a proper calculation
of the Consolidated Total Leverage Ratio would have resulted in different
pricing for any period, then (i) if the proper calculation of the
Consolidated Total Leverage Ratio would have resulted in higher pricing for
such period, the Borrower shall automatically and retroactively be obligated to
pay to the Administrative Agent for the benefit of the applicable Lenders,
promptly on demand by the Administrative Agent, an amount equal to the excess
of the amount of interest and fees that should have been paid for such period
over the amount of interest and fees actually paid for such period, and (ii) if
the proper calculation of the Consolidated Total Leverage Ratio would have
resulted in lower pricing for such period, the Lenders shall have no obligation
to repay any interest or fees to the Borrower; provided that if, as a
result of any restatement or other event, a proper calculation of the
Consolidated Total Leverage Ratio would have resulted in higher pricing for one
or more periods and lower pricing for one or more other periods (due to the
shifting of income or expenses from one period to another period or any similar
reason), then the amount payable by the Borrower pursuant to clause (i)
above shall be based upon the excess, if any, of the amount of interest and
fees that should have been paid for all applicable periods over the amount of
interest and fees paid for all such periods.

“Approved Fund” means any Person (other than a natural Person),
including, without limitation, any special purpose entity, that is (or will be)
engaged in making, purchasing, holding or otherwise investing in commercial
loans and similar extensions of credit in the ordinary course of its business; provided,
that such Approved Fund must be administered, managed or underwritten 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.

“Assignment and Assumption” means an
assignment and assumption entered into by a Lender and an Eligible Assignee
(with the consent of any party whose consent is required by Section 13.10),
and accepted by the Administrative Agent, in substantially the form of Exhibit G or any other form approved
by the Administrative Agent.

“Attributable Indebtedness” means, on any date, (a) in respect
of any Capital Lease of any Person, the capitalized amount thereof that would
appear as a liability on a balance sheet of such Person prepared as of such
date in accordance with GAAP, and (b) in respect of any Synthetic Lease, the
capitalized amount or principal amount of the remaining lease payments under
the relevant lease that would appear as a liability on a balance sheet of such
Person prepared as of such date in accordance with GAAP if such lease were
accounted for as a Capital Lease.

“Available Commitment” means an amount equal to (a) the Aggregate
Commitment less (b) the aggregate amount of all Extensions of Credit.

“Base Rate” means, at any time, the higher of (a) the Prime Rate
and (b) the sum of the Federal Funds Rate plus 1/2 of 1%; each change in
the Base Rate shall take effect simultaneously with the corresponding change or
changes in the Prime Rate or the Federal Funds Rate.

 3
 

“Base Rate Loan” means any Loan bearing interest at a rate based
upon the Base Rate as provided in Section 4.1(a).

“Borrower” has the meaning assigned thereto in the introductory
paragraph hereto.

“Business Day” means (a) for all purposes other than as set
forth in clause (b) below, any day other than a Saturday, Sunday or legal
holiday on which banks in Charlotte, North Carolina and New York, New York, are
open for the conduct of their commercial banking business, and (b) with respect
to all notices and determinations in connection with, and payments of principal
and interest on, any LIBOR Rate Loan, any day that is a Business Day described
in clause (a) and that is also a day for trading by and between banks in Dollar
deposits in the London interbank market.

“Calculation Date” has the meaning assigned thereto in the
definition of Applicable Margin.

“Capital Lease” means any lease of any property by the Borrower
or any of its Subsidiaries, as lessee, that should, in accordance with GAAP, be
classified and accounted for as a capital lease on a Consolidated balance sheet
of the Borrower and its Subsidiaries.

“Capital Stock” means (a) in the case of a corporation, capital
stock, (b) in the case of an association or business entity, any and all
shares, interests, participations, rights or other equivalents (however
designated) of capital stock, (c) in the case of a partnership, partnership
interests (whether general or limited), (d) in the case of a limited liability
company, membership interests and (e) any other interest or participation that
confers on a Person the right to receive a share of the profits and losses of,
or distributions of assets of, the issuing Person.

“Cash Equivalents” has the meaning assigned thereto in Section
10.3(b).

“Change in Control” means an event or series of events by which
(a) any person or group of persons (within the meaning of Section 13(d) of the
Securities Exchange Act of 1934, as amended), shall obtain ownership or control
in one or more series of transactions of more than thirty percent (30%) of the
Capital Stock or thirty percent (30%) of the voting power of the Borrower
entitled to vote in the election of members of the board of directors of the
Borrower or (b) there shall have occurred under any indenture or other
instrument evidencing any Indebtedness in excess of $25,000,000 any “change in
control” or similar provision (as set forth in the indenture, agreement or
other evidence of such Indebtedness) obligating the Borrower to repurchase,
redeem or repay all or any part of the Indebtedness or Capital Stock provided
for therein.

“Change in Law” means the occurrence,
after the date of this Agreement, of any of the following: (a) the adoption or
taking effect of any law, rule, regulation or treaty, (b) any change in any
law, rule, regulation or treaty or in the administration, interpretation or
application thereof by any Governmental Authority or (c) the making or issuance
of any request, guideline or directive (whether or not having the force of law)
by any Governmental Authority.

“Class Action Suit” means that certain
class action lawsuit captioned as Desert Orchid Partners v. Transaction Systems
Architects, Inc., et al. filed in the U.S. District Court for the 

 4
 

District of Nebraska and more
particularly described in the Borrower’s 10-Q for the fiscal quarter ended June
30, 2006 and Schedule 6.1(r).

“Closing Date” means the date of this Agreement or such later
Business Day upon which each condition described in Section 5.2 shall be
satisfied or waived in all respects in a manner acceptable to the
Administrative Agent, in its sole discretion.

“Code” means the Internal Revenue Code of 1986, and the rules
and regulations thereunder, each as amended or modified from time to time.

“Commitment” means, as to any Lender, such Lender’s Revolving
Credit Commitment and/or Incremental Term Loan Commitment, as applicable.

“Commitment Percentage” means, as to any Lender at any time,
such Lender’s Revolving Credit Commitment Percentage or Incremental Term Loan
Percentage, as applicable.

“Consolidated” means, when used with reference to financial
statements or financial statement items of any Person, such statements or items
on a consolidated basis in accordance with applicable principles of
consolidation under GAAP.

“Consolidated EBITDA” means, for any period, the sum of the
following determined on a Consolidated basis, without duplication, for the
Borrower and its Subsidiaries in accordance with GAAP:  (a) Consolidated Net Income for such period plus
(b) the sum of the following to the extent deducted in determining Consolidated
Net Income: (i) income and franchise taxes, (ii) Consolidated Interest Expense,
(iii) amortization, depreciation and other non-cash charges  including, without limitation, non-cash
equity compensation expenses (except to the extent that such non-cash charges
are reserved for cash charges to be taken in the future), (iv) extraordinary
losses (other than from discontinued operations) and (v) Transaction Costs less
(c) interest income and any extraordinary or non-cash gains.  For purposes of this Agreement, Consolidated
EBITDA shall be adjusted on a pro forma basis, in a manner reasonably
acceptable to the Administrative Agent, to include, as of the first day of any
applicable period, any acquisition closed during such period, including,
without limitation, adjustments reflecting any non-recurring costs and any
extraordinary expenses of any acquisition closed during such period calculated
on a basis consistent with GAAP and Regulation S-X of the Securities Exchange
Act of 1934, as amended, or as approved by the Administrative Agent.

“Consolidated Interest Coverage Ratio” means, as of any date of
determination, the ratio of (a) Consolidated EBITDA for the period of four (4)
consecutive fiscal quarters ending on or immediately prior to such date to (b)
Consolidated Interest Expense for the period of four (4) fiscal quarters ending
on or immediately prior to such date.

“Consolidated Interest Expense” means, with respect to the
Borrower and its Subsidiaries for any period, the gross interest expense
(including, without limitation, interest expense attributable to Capital Leases
and all net payment obligations pursuant to Hedging Agreements) of the Borrower
and its Subsidiaries, all determined for such period on a Consolidated basis,
without duplication, in accordance with GAAP.

 5
 

“Consolidated Net Income” means, with respect to the Borrower
and its Subsidiaries, for any period of determination, the net income (or loss)
of the Borrower and its Subsidiaries for such period, determined on a
Consolidated basis in accordance with GAAP; provided that there shall be
excluded from Consolidated Net Income (a) the net income (or loss) of any
Person (other than a Subsidiary which shall be subject to clause (c) below), in
which the Borrower or any of its Subsidiaries has a joint interest with a third
party, except to the extent such net income is actually paid in cash to the
Borrower or any of its Subsidiaries by dividend or other distribution during
such period, (b) the net income (or loss) of any Person accrued prior to the
date it becomes a Subsidiary of such Person or is merged into or consolidated
with such Person or any of its Subsidiaries or that Person’s assets are
acquired by such Person or any of its Subsidiaries except to the extent
included pursuant to the foregoing clause (a), and (c) the net income (if
positive) of any Subsidiary to the extent that the declaration or payment of
dividends or similar distributions by such Subsidiary to the Borrower or any of
its Subsidiaries of such net income (i) is not at the time permitted by
operation of the terms of its charter or any agreement, instrument, judgment,
decree, order, statute rule or governmental regulation applicable to such
Subsidiary or (ii) would be subject to any taxes payable on such dividends or
distributions.

“Consolidated Total Leverage Ratio” means, as of any date of
determination, the ratio of (a) Consolidated Total Indebtedness on such date to
(b) Consolidated EBITDA  for the period
of four (4) consecutive fiscal quarters ending on or immediately prior to such
date.

“Consolidated Total Indebtedness” means, as of any date of
determination with respect to the Borrower and its Subsidiaries on a
Consolidated basis without duplication, the sum of all Indebtedness of the
Borrower and its Subsidiaries.

“Credit Facility” means, collectively, the Revolving Credit
Facility, the Swingline Facility, the L/C Facility and the Incremental Term
Loan Facility.

“Credit Parties” means, collectively, the Borrower and the
Subsidiary Guarantors.

“Default” means
any of the events specified in Section 11.1 which with the passage of
time, the giving of notice or any other condition, would constitute an Event of
Default.

“Defaulting Lender” means any Lender that (a) has failed to fund
any portion of the Revolving Credit Loans, any Incremental Term Loan,
participations in L/C Obligations or participations in Swingline Loans required
to be funded by it hereunder within one Business Day of the date required to be
funded by it hereunder, (b) has otherwise failed to pay over to the
Administrative Agent or any other Lender any other amount required to be paid
by it hereunder within one Business Day of the date when due, unless such
amount is the subject of a good faith dispute, or (c) has been deemed insolvent
or become the subject of a bankruptcy or insolvency proceeding.

“Disputes” means any dispute, claim or
controversy arising out of, connected with or relating to this Agreement or any
other Loan Document, between or among parties hereto and to the other Loan
Documents.

“Disregarded Foreign Entity” means any Foreign
Subsidiary that is a “disregarded foreign entity” as defined in the Code.

 6
 

“Dollars” or “$” means, unless otherwise qualified, dollars in
lawful currency of the United States.

“Domestic Subsidiary” means any Subsidiary organized under the
laws of any political subdivision of the United States.

“Eligible Assignee” means (a) a Lender,
(b) an Affiliate of a Lender, (c) an Approved Fund, and (d) any other Person
(other than a natural person) approved by (i) the Administrative Agent, (ii) in
the case of any assignment of a Revolving Credit Commitment, the Swingline
Lender and the Issuing Lender, and (iii) unless a Default or Event of Default
has occurred and is continuing, the Borrower (each such approval not to be
unreasonably withheld or delayed); provided that notwithstanding the
foregoing, “Eligible Assignee” shall not include the Borrower or any of the
Borrower’s Affiliates or Subsidiaries.

“Employee Benefit Plan” means any employee benefit plan within
the meaning of Section 3(3) of ERISA, other than a Multiemployer Plan, which
(a) is maintained for employees of any Credit Party or any ERISA Affiliate or
(b) has at any time within the preceding six (6) years been maintained for the
employees of any Credit Party or any current or former ERISA Affiliate.

“Environmental Claims” means any and all administrative,
regulatory or judicial actions, suits, demands, demand letters, written claims,
liens, written accusations, written allegations, notices of noncompliance or
violation, investigations (other than internal reports prepared by any Person
in the ordinary course of business and not in response to any third party action
or request of any kind) or proceedings relating in any way to any actual or
alleged violation of or liability under any Environmental Law or relating to
any permit issued, or any approval given, under any such Environmental Law,
including, without limitation, any and all claims by Governmental Authorities
for enforcement, cleanup, removal, response, remedial or other actions or
damages, contribution, indemnification cost recovery, compensation or
injunctive relief resulting from Hazardous Materials or arising from alleged
injury or threat of injury to human health or the environment.

“Environmental Laws” means any and all federal, foreign, state,
provincial and local laws, statutes, ordinances, codes, rules, standards and
regulations, permits, licenses, approvals, interpretations and orders of courts
or Governmental Authorities, relating to the protection of human health or the
environment, including, but not limited to, requirements pertaining to the
manufacture, processing, distribution, use, treatment, storage, disposal,
transportation, handling, reporting, licensing, permitting, investigation or
remediation of Hazardous Materials.

 “ERISA” means the
Employee Retirement Income Security Act of 1974, and the rules, regulations and
published interpretations thereunder, each as amended or modified from time to
time.

“ERISA Affiliate” means any Person who together with any Credit
Party is treated as a single employer within the meaning of Section 414(b),
(c), (m) or (o) of the Code or Section 4001(b) of ERISA.

 7
 

“Eurodollar Reserve Percentage” means, for any day, the
percentage (expressed as a decimal and rounded upwards, if necessary, to the
next higher 1/100th of 1%) which is in effect for such day as prescribed by the
Board of Governors of the Federal Reserve system (or any successor) for
determining the maximum reserve requirement (including, without limitation, any
basic, supplemental or emergency reserves) in respect of eurocurrency
liabilities or any similar category of liabilities for a member bank of the
Federal Reserve System in New York City.

“Event of Default” means any of the events specified in Section
11.1; provided that any requirement for passage of time, giving of
notice, or any other condition, has been satisfied.

“Excluded Taxes” means, with respect to
the Administrative Agent, any Lender, the Issuing Lender or any other recipient
of any payment to be made by or on account of any obligation of the Borrower
hereunder, (a) taxes imposed on or measured by its overall net income (however
denominated), and franchise taxes imposed on it (in lieu of net income taxes),
by the jurisdiction (or any political subdivision thereof) under the laws of
which such recipient is organized or in which its principal office is located
or, in the case of any Lender, in which its applicable Lending Office is
located, (b) any branch profits taxes imposed by the United States or any
similar tax imposed by any other jurisdiction in which the Borrower is located
and (c) in the case of a Foreign Lender (other than an assignee pursuant to a
request by the Borrower under Section 4.12(b)), any withholding tax that
is imposed on amounts payable to such Foreign Lender at the time such Foreign
Lender becomes a party hereto (or designates a new Lending Office) or is
attributable to such Foreign Lender’s failure or inability (other than as a
result of a Change in Law) to comply with Section 4.11(e), except to the
extent that such Foreign Lender (or its assignor, if any) was entitled, at the
time of designation of a new Lending Office (or assignment), to receive
additional amounts from the Borrower with respect to such withholding tax
pursuant to Section 4.11(a).

“Extensions of Credit” means, as to any Lender at any time, (a)
an amount equal to the sum of (i) the aggregate principal amount of all
Revolving Credit Loans made by such Lender then outstanding, (ii) such Lender’s
Revolving Credit Commitment Percentage of the L/C Obligations then outstanding,
(iii) such Lender’s Revolving Credit Commitment Percentage of the Swingline
Loans then outstanding and (iv) the aggregate principal amount of all
Incremental Term Loans made by such Lender then outstanding or (b) the making
of any Loan or participation in any Letter of Credit by such Lender, as the
context requires.

“FDIC” means the Federal Deposit Insurance Corporation, or any
successor thereto.

“Federal Funds Rate” means, for any day, the rate per annum
equal to the weighted average of the rates on overnight federal funds
transactions with members of the Federal Reserve System arranged by federal
funds brokers on such day (or, if such day is not a Business Day, for the
immediately preceding Business Day), as published by the Federal Reserve Bank
of New York on the Business Day next succeeding such day, provided that
if such rate is not so published for any day which is a Business Day, the
average of the quotation for such day on such transactions received by the
Administrative Agent from three federal funds brokers of recognized standing
selected by the Administrative Agent.

 8
 

“Fee Letter” means the separate fee letter agreement executed by
the Borrower and the Administrative Agent and/or certain of its affiliates
dated August 23, 2006.

“Fiscal Year” means each fiscal year of the Borrower and its
Subsidiaries ending on September 30.

“Foreign Lender” means any Lender that is
organized under the laws of a jurisdiction other than that in which the
Borrower is resident for tax purposes. 
For purposes of this definition, the United States, each State thereof
and the District of Columbia shall be deemed to constitute a single
jurisdiction.

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

“GAAP” means generally accepted accounting principles, as
recognized by the American Institute of Certified Public Accountants and the Financial
Accounting Standards Board, consistently applied and maintained on a consistent
basis for the Borrower and its Subsidiaries throughout the period indicated and
(subject to Section 13.9) consistent with the prior financial practice
of the Borrower and its Subsidiaries.

“Governmental Approvals” means all authorizations, consents,
approvals, permits, licenses and exemptions of, registrations and filings with,
and reports to, all Governmental Authorities.

“Governmental Authority” means the
government of the United States or any other nation, or of any political
subdivision thereof, whether state or local, and any agency, authority,
instrumentality, regulatory body, court, central bank or other entity
exercising executive, legislative, judicial, taxing, regulatory or
administrative powers or functions of or pertaining to government (including
any supra-national bodies such as the European Union or the European Central
Bank).

“Guaranty Obligation” means, with respect to the Borrower and
its Subsidiaries, without duplication, any obligation, contingent or otherwise,
of any such Person pursuant to which such Person has directly or indirectly
guaranteed any Indebtedness of any other Person and, without limiting the
generality of the foregoing, any obligation, direct or indirect, contingent or
otherwise, of any such Person (a) to purchase or pay (or advance or supply
funds for the purchase or payment of) such Indebtedness (whether arising by
virtue of partnership arrangements, by agreement to keep well, to purchase
assets, goods, securities or services, to take-or-pay, or to maintain financial
statement condition or otherwise) or (b) entered into for the purpose of
assuring in any other manner the obligee of such Indebtedness of the payment
thereof or to protect such obligee against loss in respect thereof (in whole or
in part); provided, that the term Guaranty Obligation shall not include
endorsements for collection or deposit in the ordinary course of business.

“Hazardous Materials” means any substances or materials (a)
which are or become defined as hazardous wastes, hazardous substances,
pollutants, contaminants, chemical substances or mixtures or toxic substances
under any Environmental Law, (b) which are toxic, explosive, corrosive,
flammable, infectious, radioactive, carcinogenic, mutagenic or otherwise
harmful to human health or the environment and are or become regulated by any
Governmental 

 9
 

Authority, (c) the presence of which require
investigation or remediation under any Environmental Law or common law, (d) the
discharge or emission or release of which requires a permit or license under
any Environmental Law or other Governmental Approval, (e) which are deemed
to constitute a nuisance or a trespass which pose a health or safety hazard to
Persons or neighboring properties, (f) which consist of underground or
aboveground storage tanks, whether empty, filled or partially filled with any
substance, or (g) which contain, without limitation, asbestos,
polychlorinated biphenyls, urea formaldehyde foam insulation, petroleum
hydrocarbons, petroleum derived substances or waste, crude oil, nuclear fuel,
natural gas or synthetic gas.

“Hedging Agreement” means any agreement with respect to any
Interest Rate Contract, forward rate agreement, commodity swap, forward foreign
exchange agreement, currency swap agreement, cross-currency rate swap
agreement, currency option agreement or other agreement or arrangement designed
to alter the risks of any Person arising from fluctuations in interest rates,
currency values or commodity prices, all as amended, restated, supplemented or
otherwise modified from time to time.

“Hedging Obligations” means all existing or future payment and
other obligations owing by the Borrower under any Hedging Agreement (which such
Hedging Agreement is permitted hereunder) with any Person that is a Lender or
an Affiliate of a Lender at the time such Hedging Agreement is executed.

“Increasing Revolving Lender” has the meaning assigned thereto
in Section 2.7.

“Incremental Term Lender” has the meaning assigned thereto in Section
2.8.

“Incremental Term Loan Commitment” means (a) as
to any Incremental Term Lender, the obligation of such Incremental Term Lender
to make an Incremental Term Loan to or for the account of the Borrower in
accordance with Section 2.8 and (b) as to all Incremental Term Lenders,
the aggregate commitment of all Incremental Term Lenders to make Incremental
Term Loans in accordance with Section 2.8.

“Incremental Term Loan Effective Date” means
the date, which shall be a Business Day, on or before the Revolving Credit
Maturity Date, but no earlier than thirty (30) days after any Incremental Term
Loan Notification Date (unless a shorter period is agreed to by all the
affected Incremental Term Lenders), on which each of the Incremental Term Lenders
makes Incremental Term Loans to the Borrower pursuant to Section 2.8.

“Incremental Term Loan Facility” means the
incremental term loan facility established pursuant to Section 2.8.

“Incremental Term Loans” has the meaning
assigned thereto in Section 2.8.

“Incremental Term Loan Note” means a promissory
note made by the Borrower in favor of an Incremental Term Lender evidencing the
Incremental Term Loans made by such Incremental Term Lender, and any
amendments, supplements and modifications thereto, any 

 10
 

substitutes
therefor, and any replacements, restatements, renewals or extension thereof, in
whole or in part.

“Incremental Term Loan Notification” means the
written notice by the Borrower of its request to borrow Incremental Term Loans
pursuant to Section 2.8.

“Incremental Term Loan Notification Date” means
the date on which the Incremental Term Loan Notification is received by the
Administrative Agent.

“Incremental Term Loan Percentage” means, as to
any Incremental Term Lender at any time, the ratio of (a) the amount of the
Incremental Term Loan Commitment of such Incremental Term Lender to (b) the
Incremental Term Loan Commitments of all Incremental Term Lenders.

“Indebtedness” means, with respect to the Borrower and its
Subsidiaries at any date and without duplication, the sum of the following
calculated in accordance with GAAP:

(a)           all liabilities, obligations and indebtedness for borrowed
money including, but not limited to, obligations evidenced by bonds,
debentures, notes or other similar instruments of any such Person;

(b)           all obligations to pay the deferred purchase price of
property or services of any such Person (including, without limitation, all
obligations under non-competition, earn-out or similar agreements), except
trade payables arising in the ordinary course of business not more than ninety
(90) days past due;

(c)           the Attributable Indebtedness of such Person with respect
to such Person’s obligations in respect of Capital Leases and Synthetic Leases
(regardless of whether accounted for as indebtedness under GAAP);

(d)           all Indebtedness of any other Person secured by a Lien on
any asset owned or being purchased by the Borrower or any of its Subsidiaries
(including indebtedness arising under conditional sales or other title
retention agreements), whether or not such indebtedness shall have been assumed
by the Borrower or any of its Subsidiaries or is limited in recourse;

(e)           all Guaranty Obligations of any such Person;

(f)            all obligations, contingent or otherwise, of any such
Person relative to the face amount of letters of credit, whether or not drawn,
including, without limitation, any Reimbursement Obligation, and banker’s
acceptances issued for the account of any such Person;

(g)           all obligations of any such Person to redeem, repurchase,
exchange, defease or otherwise make payments in respect of Capital Stock of
such Person; and

(h)           all Net Hedging Obligations.

For all purposes hereof, the Indebtedness of any Person shall include
the Indebtedness of any partnership or joint venture (other than a joint
venture that is itself a corporation or limited 

 11
 

liability company) in which such Person is a general
partner or a joint venturer, unless such Indebtedness is expressly made
non-recourse to such Person.

“Indemnified Taxes” means Taxes and Other
Taxes other than Excluded Taxes.

“Interest Period”
has the meaning assigned thereto in Section 4.1(b).

“Interest Rate Contract” means any interest rate swap agreement,
interest rate cap agreement, interest rate floor agreement, interest rate
collar agreement, interest rate option or any other agreement regarding the
hedging of interest rate risk exposure executed in connection with hedging the
interest rate exposure of any Person and any confirming letter executed
pursuant to such agreement, all as amended, restated, supplemented or otherwise
modified from time to time.

“ISP98” means the International Standby Practices (1998
Revision, effective January 1, 1999), International Chamber of Commerce
Publication No. 590.

“Issuing Lender” means Wachovia, in its capacity as issuer of
any Letter of Credit, or any successor thereto.

“L/C Commitment” means the lesser of (a) $25,000,000 and (b) an
amount equal to the Revolving Credit Commitment.

“L/C Facility” means the letter of credit facility established
pursuant to Article III.

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

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

“Lender” means each Person executing this Agreement as a Lender
(including, without limitation, the Issuing Lender and the Swingline Lender
unless the context otherwise requires) set forth on the signature pages hereto
and each Person that hereafter becomes a party to this Agreement as a Lender
pursuant to Sections 2.7, 2.8 or 13.10.

“Lender Addition and Acknowledgement Agreement”
means, each agreement, in form and substance satisfactory to the Administrative
Agent, executed pursuant to Section 2.7 and/or Section 2.8 by the
Borrower and any existing Lender or New Lender committing to provide an
increase in the Revolving Credit Commitment and/or Incremental Term Loans and,
in each case,  acknowledged by the
Administrative Agent and each Subsidiary Guarantor, (a) setting forth the terms
and conditions of (i) any increase in the Revolving Credit Commitment pursuant
to Section 2.7 and/or (ii) any Incremental Term Loans pursuant to Section
2.8 and (b) acknowledging that any New Lender shall be a party hereto and
have the rights (including, without limitation, voting rights) and obligations
of a Lender hereunder.

 12

“Lending Office” means, with respect to any Lender, the office
of such Lender maintaining such Lender’s Extensions of Credit.

“Letter of Credit Application” means an application, in the form
specified by the Issuing Lender from time to time, requesting the Issuing
Lender to issue a Letter of Credit.

“Letters of Credit” has the meaning assigned thereto in Section
3.1.

“LIBOR” means the rate of interest per annum determined on the
basis of the rate for deposits in Dollars in minimum amounts of at least $5,000,000
for a period equal to the applicable Interest Period which appears on the
Telerate Page 3750 at approximately 11:00 a.m. (London time) two (2) Business
Days prior to the first day of the applicable Interest Period (rounded upward,
if necessary, to the nearest 1/100th of
1%).  If, for any reason, such rate does
not appear on Telerate Page 3750, then “LIBOR” shall be reasonably determined
by the Administrative Agent to be the arithmetic average of the rate per annum
at which deposits in Dollars in minimum amounts of at least $5,000,000 would be
offered by first class banks in the London interbank market to the
Administrative Agent at approximately 11:00 a.m. (London time) two (2) Business
Days prior to the first day of the applicable Interest Period for a period
equal to such Interest Period.  Each
calculation by the Administrative Agent of LIBOR shall be conclusive and
binding for all purposes, absent manifest error.

“LIBOR Rate” means a rate per annum (rounded upwards, if
necessary, to the next higher 1/100th of 1%) determined by the Administrative
Agent pursuant to the following formula:

	
  

  	
  LIBOR Rate =

  	
  LIBOR

  	
   

  
	
   

  	
   

  	
  1.00-Eurodollar
  Reserve Percentage

  	
   

  

 

“LIBOR Rate Loan” means any Loan bearing interest at a rate
based upon the LIBOR Rate as provided in Section 4.1(a).

“Lien” means, with respect to any asset, any mortgage, leasehold
mortgage, lien, pledge, charge, security interest, hypothecation or encumbrance
of any kind in respect of such asset. 
For the purposes of this Agreement, a Person shall be deemed to own
subject to a Lien any asset which it has acquired or holds subject to the
interest of a vendor or lessor under any conditional sale agreement, Capital
Lease or other title retention agreement relating to such asset.

“Liquidity Amount” means, as of any date of determination, an
amount equal to the sum of (a) the total amount of unrestricted cash on hand of
the Borrower and its Subsidiaries as of such date plus (b) the total
amount of unrestricted Cash Equivalents of the Borrower and its Subsidiaries as
of such date plus (c) the aggregate principal amount of the Available
Commitment; provided that the amounts set forth in clauses (a) and (b)
above shall be determined in good faith by the Borrower and certified as
accurate by a Responsible Officer of the Borrower.

“Loan Documents” means, collectively, this Agreement, each Note,
the Letter of Credit Applications, the Subsidiary Guaranty Agreement, each
Security Document (if any), each Lender Addition and Acknowledgment Agreement
(if any) and each other document, instrument, 

 13
 

certificate and agreement executed and delivered by
the Borrower or any of its Subsidiaries in connection with this Agreement or
otherwise referred to herein or contemplated hereby, all as may be amended,
restated, supplemented or otherwise modified from time to time.

“Loans” means the collective reference to the Revolving Credit
Loans, the Swingline Loans and the Incremental Term Loans, if any, and “Loan”
means any of such Loans.

“Material Adverse Effect” 
means, with respect to the Borrower or any of its Subsidiaries, a
material adverse effect on (a) the business, assets, liabilities (actual or
contingent), operations or condition (financial or otherwise) of the Borrower
and its Subsidiaries, taken as a whole, or (b) the ability of any such Person
to perform its obligations under the Loan Documents to which it is a party.

“Material Contract” means any contract or other agreement,
written or oral, of the Borrower or any of its Subsidiaries the failure to
comply with which could reasonably be expected to have a Material Adverse
Effect.

“Multiemployer Plan” means a “multiemployer plan” as defined in
Section 4001(a)(3) of ERISA to which any Credit Party or any ERISA Affiliate is
making, or is accruing an obligation to make, or has accrued an obligation to
make contributions within the preceding six (6) years.

“Net Hedging Obligations” means, as of any
date, the Termination Value of any such Hedging Agreement on such date.

“New Lender” means any bank, financial institution
or investment fund committing to make Extensions of Credit pursuant to Section
2.7 or Section 2.8 that was not a Lender as of the applicable
Revolving Credit Increase Effective Date or Incremental Term Loan Effective
Date relating to such Extensions of Credit.

“Notes” means the collective reference to the Revolving Credit
Notes, the Swingline Note and the Incremental Term Loan Notes, if any.

“Notice of Account Designation” has the meaning assigned thereto
in Section 2.3(b).

“Notice of Borrowing” has the meaning assigned thereto in Section
2.3(a).

“Notice of Conversion/Continuation” has the meaning assigned
thereto in Section 4.2.

“Notice of Prepayment” has the meaning assigned thereto in Section
2.4(c).

“Obligations” means, in each case, whether now in existence or
hereafter arising: (a) the principal of and interest on (including interest
accruing after the filing of any bankruptcy or similar petition) the Loans, (b)
the L/C Obligations, (c) all Hedging Obligations and (d) all other fees and
commissions (including attorneys’ fees), charges, indebtedness, loans,
liabilities, financial accommodations, obligations, covenants and duties owing
by the Borrower or any of its Subsidiaries to the Lenders or the Administrative
Agent, in each case under any Loan Document or otherwise, with respect to any
Loan or Letter of Credit of every kind, nature and description, 

 14
 

direct or indirect, absolute or contingent, due or to
become due, contractual or tortious, liquidated or unliquidated, and whether or
not evidenced by any note.

“OFAC” means the U.S. Department of the Treasury’s Office of
Foreign Assets Control.

“Officer’s Compliance Certificate” means a certificate of the
chief financial officer or the treasurer of the Borrower substantially in the
form of Exhibit F.

“Operating Lease” means, as to any Person as determined in
accordance with GAAP, any lease of property (whether real, personal or mixed)
by such Person as lessee which is not a Capital Lease.

“Other Taxes” means 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 under any other Loan
Document or from the execution, delivery or enforcement of, or otherwise with
respect to, this Agreement or any other Loan Document.

“Participant” has the meaning assigned
thereto in Section 13.10(d).

“PBGC” means the Pension Benefit Guaranty Corporation or any
successor agency.

“Pension Plan” means any Employee Benefit Plan which is subject
to the provisions of Title IV of ERISA or Section 412 of the Code.

“Permitted Acquisition” means any investment by the Borrower or
any Subsidiary in the form of acquisitions of all or substantially all of the
business or a line of business (whether by the acquisition of Capital Stock,
assets or any combination thereof) of any other Person if each such acquisition
meets all of the following requirements:

(a)           the Borrower shall have delivered to the
Administrative Agent on or before the closing date of such acquisition, evidence of approval of the acquisition by the
acquiree’s board of directors or equivalent governing body or a copy of
the opinion of counsel delivered by legal counsel to the acquiree in connection
with the acquisition which evidences such approval or opines that such approval
is not required;

(b)           (i)
the Person or business to be acquired shall be in a substantially similar or
related line of business as the Borrower and its Subsidiaries or (ii) the
assets to be acquired shall be used by the Borrower or its Subsidiaries in a
business which is substantially similar or related to the line of business of
the Borrower and its Subsidiaries;

(c)           if
such acquisition involves the Borrower or any Subsidiary Guarantor, the
Borrower or such Subsidiary Guarantor shall be the surviving Person and no
Change of Control shall have been effected thereby;

(d)           if
such transaction involves the acquisition of a new Subsidiary, the Borrower
shall have delivered to the Administrative Agent by the time required pursuant
to Section 8.10 such documents as are reasonably requested by the
Administrative Agent or the Required Lenders (through the Administrative Agent)
pursuant to Section 8.10;

 15
 

(e)           prior
to the proposed closing date of such acquisition, the Borrower shall have
delivered to the Administrative Agent an Officer’s Compliance Certificate for
the most recent fiscal quarter end preceding such acquisition demonstrating, in
form and substance reasonably satisfactory thereto, pro  forma
compliance (as of the date of the acquisition and after giving effect thereto
and any Extensions of Credit made or to be made in connection therewith) with
each covenant contained in Article IX;

(f)            no
Default or Event of Default shall have occurred and be continuing both before
and after giving effect to such acquisition;

(g)           both before and after giving effect to the acquisition and
any Extensions of Credit made in connection with such acquisition, the
Liquidity Amount shall be greater than or equal to $15,000,000; and

(h)           as of the closing date of the acquisition, the
Person or business to be acquired shall not be subject or party to any
material pending or threatened litigation.

“Permitted Liens” means the Liens permitted pursuant to Section
10.2.

“Person” means any natural person,
corporation, limited liability company, trust, joint venture, association,
company, partnership, governmental authority or other entity.

“P&H” means P&H Solutions Inc., a
Delaware corporation.

“P&H Acquisition” means the acquisition by
the Borrower of all of the issued and outstanding Capital Stock of P&H.

“P&H Purchase Agreement” means that certain
Agreement and Plan of Merger (together with the exhibits and the schedules
thereto) dated as of August 28, 2006 between the shareholders of P&H, as
sellers and the Borrower, as buyer.

“Prime Rate” means, at any time, the rate of interest per annum
publicly announced from time to time by Wachovia as its prime rate.  Each change in the Prime Rate shall be
effective as of the opening of business on the day such change in such prime
rate occurs.  The parties hereto
acknowledge that the rate announced publicly by Wachovia as its prime rate is
an index or base rate and shall not necessarily be its lowest or best rate
charged to its customers or other banks.

“Register” has the meaning assigned thereto in Section
13.10(c).

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

“Related Parties” means, with respect to
any Person, such Person’s Affiliates and the directors, officers, employees,
agents and advisors of such Person and of such Person’s Affiliates.

“Required Lenders” means, at any date, any combination of
Lenders who hold in aggregate more than fifty percent (50%) of the sum of (a)
the Commitments and (b) the 

 16
 

aggregate outstanding Extensions of Credit under the
Incremental Term Loans, or, if the Credit Facility has been terminated pursuant
to Section 11.2, any combination of Lenders holding more than fifty
percent (50%) of the aggregate Extensions of Credit; provided that the
Commitment of, and the portion of the Extensions of Credit, as applicable, held
or deemed held by, any Defaulting Lender shall be excluded for purposes of
making a determination of Required Lenders.

“Responsible Officer” means the chief executive officer,
president, chief financial officer, controller, treasurer or assistant
treasurer of a Credit Party or any other officer of such Credit Party
reasonably acceptable to the Administrative Agent.  Any document delivered hereunder that is
signed by a Responsible Officer of a Credit Party shall be conclusively
presumed to have been authorized by all necessary corporate, partnership and/or
other action on the part of such Credit Party and such Responsible Officer
shall be conclusively presumed to have acted on behalf of such Credit Party.

“Revolving Credit Commitment” means (a) as to
any Revolving Credit Lender, the obligation of such Revolving Credit Lender to
make Revolving Credit Loans for the account of the Borrower hereunder in an
aggregate principal amount at any time outstanding not to exceed the amount set
forth opposite such Revolving Credit Lender’s name on the Register, as such
Revolving Credit Commitment may be increased, reduced or modified at any time
or from time to time pursuant to the terms hereof and (b) as to all Revolving
Credit Lenders, the aggregate commitment of all Revolving Credit Lenders to
make Revolving Credit Loans, as such amount may be increased, reduced or
modified at any time or from time to time pursuant to the terms hereof.

“Revolving Credit Commitment Percentage” means,
as to any Revolving Credit Lender at any time, the ratio of (a) the amount of
the Revolving Credit Commitment of such Revolving Credit Lender to (b) the
Revolving Credit Commitments of all Revolving Credit Lenders.

“Revolving Credit Facility” means the revolving credit facility
established pursuant to Article II but excluding the Swingline Facility
and any Incremental Term Loan Facility established pursuant to Section 2.8.

“Revolving Credit Increase Effective Date”
means the date, which shall be a Business Day, on or before the Revolving
Credit Maturity Date, but no earlier than thirty (30) days after any Revolving
Credit Increase Notification Date (unless a shorter period is agreed to by all
affected Increasing Revolving Lenders), on which each of the Increasing
Revolving Lenders increase (or, in the case of New Revolving Lenders, provide)
their respective Revolving Credit Commitments to the Borrower pursuant to Section
2.7.

“Revolving
Credit Increase Notification” means the written notice by the Borrower of
its desire to increase the Revolving Credit Commitment pursuant to Section
2.7.

“Revolving Credit Increase Notification Date”
means the date on which the Revolving Credit Increase Notification is received
by the Administrative Agent.

“Revolving Credit Lenders” means Lenders with a
Revolving Credit Commitment.

 17
 

“Revolving Credit Loans” means any revolving
loan made to the Borrower pursuant to Section 2.1, and all such
revolving loans collectively as the context requires.

“Revolving Credit Maturity Date” means the earliest to occur of
(a)  September 29, 2011, (b) the date of
termination by the Borrower pursuant to Section 2.5, or (c) the date of
termination of the Revolving Credit Commitment by the Administrative Agent on
behalf of the Lenders pursuant to Section 11.2(a).

“Revolving Credit Note” means a promissory note
made by the Borrower in favor of a Revolving Credit Lender evidencing the
Revolving Credit Loans made by such Revolving Credit Lender, substantially in
the form of Exhibit A-1, and any
amendments, supplements and modifications thereto, any substitutes therefor,
and any replacements, restatements, renewals or extension thereof, in whole or
in part.

“Sanctioned Entity” shall mean (a) an agency of
the government of, (b) an organization directly or indirectly controlled by, or
(c) a person resident in, a country that is subject to a sanctions program
identified on the list maintained by OFAC and available at http://www.treas.gov/offices/enforcement/ofac/programs,
or as otherwise published from time to time as such program may be applicable
to such agency, organization or person.

“Sanctioned Person” shall mean a person named on the list of
Specially Designated Nationals or Blocked Persons maintained by OFAC available
at http://www.treas.gov/offices/enforcement/ofac/sdn/index.html, or as
otherwise published from time to time.

“SEC” means the Securities and Exchange Commission.

“Security Documents” means the collective reference to the
Subsidiary Guaranty Agreement and any collateral agreement or other agreement
or writing pursuant to which any Credit Party purports to pledge or grant a
security interest in any property or assets securing the Obligations or any
such Person purports to guaranty the payment and/or performance of the
Obligations, in each case, as amended, restated, supplemented or otherwise
modified from time to time.

“Solvent” means, as to the Borrower and its Subsidiaries on a
particular date, that any such Person (a) has capital sufficient to carry on
its business and transactions and all business and transactions in which it is
about to engage and is able to pay its debts as they mature, (b) has
assets having a value, both at fair valuation and at present fair saleable value,
greater than the amount required to pay its probable liabilities (including
contingencies), and (c) does not believe that it will incur debts or
liabilities beyond its ability to pay such debts or liabilities as they mature.

“Subordinated Indebtedness” means the collective reference to
any Indebtedness of the Borrower or any Subsidiary subordinated in right and
time of payment to the Obligations and containing such other terms and
conditions, in each case as are satisfactory to the Required Lenders.

 18
 

“Subsidiary” means as to any Person, any corporation,
partnership, limited liability company or other entity of which more than fifty
percent (50%) of the outstanding Capital Stock having ordinary voting power to
elect a majority of the board of directors or other managers of such
corporation, partnership, limited liability company or other entity is at the
time owned by, or the management of which is otherwise controlled by, such
Person (irrespective of whether, at the time, Capital Stock of any other class
or classes of such corporation, partnership, limited liability company or other
entity shall have or might have voting power by reason of the happening of any
contingency).  Unless otherwise qualified
references to “Subsidiary” or “Subsidiaries” herein shall refer to those of the
Borrower.

“Subsidiary Guarantors” means each direct or
indirect Domestic Subsidiary of the Borrower in existence on the Closing Date
which is a party to the Subsidiary Guaranty Agreement and any other Subsidiary
of the Borrower which becomes a party to a Subsidiary Guaranty Agreement
pursuant to Section 8.10.

“Subsidiary Guaranty Agreement” means the
unconditional guaranty agreement of even date executed by the Subsidiary
Guarantors in favor of the Administrative Agent for the ratable benefit of
itself and the Lenders, substantially in the form of Exhibit
H, as amended, restated, supplemented or otherwise modified from
time to time.

“Swingline Commitment” means the lesser of (a) $10,000,000  and (b) an amount equal to the Revolving Credit Commitment.

“Swingline Facility” means the swingline facility established
pursuant to Section 2.2.

“Swingline Lender” means Wachovia in its capacity as swingline
lender hereunder.

“Swingline Loan” means any swingline loan made by the Swingline
Lender to the Borrower pursuant to Section 2.2, and all such swingline
loans collectively as the context requires.

“Swingline Note” means a promissory note made by the Borrower in
favor of the Swingline Lender evidencing the Swingline Loans made by the
Swingline Lender, substantially in the form of Exhibit
A-2, and any amendments, supplements and modifications thereto,
any substitutes therefor, and any replacements, restatements, renewals or
extension thereof, in whole or in part.

“Swingline Termination Date” means the first to occur of (a) the
resignation of Wachovia as Administrative Agent in accordance with Section
12.6 and (b) the Revolving Credit Maturity Date.

“Synthetic Lease” means any synthetic lease, tax retention
operating lease, off-balance sheet loan or similar off-balance sheet financing
product where such transaction is considered borrowed money indebtedness for
tax purposes but is classified as an Operating Lease in accordance with GAAP.

 19
 

“Taxes” means all present or future taxes,
levies, imposts, duties, deductions, withholdings, assessments, fees or other
charges imposed by any Governmental Authority, including any interest,
additions to tax or penalties applicable thereto.

“Termination Event” means except for any such event or condition
that could not reasonably be expected to have a Material Adverse Effect:
(a) the occurrence with respect to any Pension Plan subject to Title IV of
ERISA of a “Reportable Event” described in Section 4043 of ERISA for which the
notice requirement has not been waived by the PBGC, or (b) the withdrawal
of any Credit Party or any ERISA Affiliate from a Pension Plan subject to Title
IV of ERISA during a plan year in which it was a “substantial employer” as
defined in Section 4001(a)(2) of ERISA, or (c) the termination of a Pension
Plan, the filing of a notice of intent to terminate a Pension Plan or the
treatment of a Pension Plan amendment as a termination, under Section 4041 of
ERISA, if the plan assets are not sufficient to pay all plan liabilities, or
(d) the institution of proceedings to terminate, or the appointment of a
trustee with respect to, any Pension Plan by the PBGC under Section 4042 of
ERISA, or (e) the occurrence of any other event or condition which would
constitute grounds under Section 4042(a) of ERISA for the termination of, or
the appointment of a trustee to administer, any Pension Plan, or (f) the
imposition of a Lien on the assets of any Credit Party or any ERISA Affiliate
pursuant to Section 412 of the Code or Section 302 of ERISA, or (g) the
partial or complete withdrawal of any Credit Party or any ERISA Affiliate from
a Multiemployer Plan if withdrawal liability is asserted by such plan, or
(h) the reorganization or insolvency of a Multiemployer Plan under
Sections 4241 or 4245 of ERISA, or (i) the termination of a Multiemployer Plan
under Section 4041A of ERISA or the institution by PBGC of proceedings to
terminate a Multiemployer Plan under Section 4042 of ERISA.

“Termination Value” means, in respect of any one or more Hedging
Agreements, after taking into account the effect of any legally enforceable
netting agreement relating to such Hedging Agreements, (a) for any date on or
after the date such Hedging Agreements have been closed out and termination
value(s) determined in accordance therewith, such termination value(s), and (b)
for any date prior to the date referenced in clause (a), the amount(s)
determined as the mark-to-market value(s) for such Hedging Agreements, as
determined based upon one or more mid-market or other readily available quotations
provided by any recognized dealer in such Hedging Agreements (which may include
a Lender or any Affiliate of a Lender).

“Transaction Costs” means all transaction fees,
charges and other amounts related to this Credit Facility, the P&H
Acquisition and any other Permitted Acquisition (including, without limitation,
(a) any financing fees, merger and acquisition fees (including consulting,
advisory or brokerage fees), legal fees and expenses, due diligence fees or any
other fees and expenses during such period in connection therewith and (b) the
aggregate amount of all payments funded from the earnings of the Borrower and
its Subsidiaries and made during such period in connection with the P&H
Acquisition or any other Permitted Acquisition, including, without limitation,
indemnity payments, working capital and purchase price adjustments, earn outs
or other contingent payments), as approved by the Administrative Agent.

“UCC” means the Uniform Commercial Code as in effect in the
State of New York, as amended or modified from time to time.

 20
 

“United States” means the United States of America.

“Wachovia” means Wachovia Bank, National Association, a national
banking association, and its successors.

“Wholly-Owned” means, with respect to a Subsidiary, that all of
the shares of Capital Stock of such Subsidiary are, directly or indirectly,
owned or controlled by the Borrower and/or one or more of its Wholly-Owned
Subsidiaries (except for directors’ qualifying shares or other shares required
by Applicable Law to be owned by a Person other than the Borrower).

SECTION 1.2         Other Definitions and Provisions.  With reference to this
Agreement and each other Loan Document, unless otherwise specified herein or in
such other Loan Document:  (a) the definitions of
terms herein shall apply equally to the singular and plural forms of the terms
defined, (b) whenever the context may require, any pronoun shall include the
corresponding masculine, feminine and neuter forms, (c)
the words “include”, “includes” and “including”
shall be deemed to be followed by the phrase “without limitation”, (d) the word “will”
shall be construed to have the same meaning and effect as the word “shall”, (e) any definition of
or reference to any agreement, instrument or other document herein shall be
construed as referring to such agreement, instrument or other document as from
time to time amended, supplemented or otherwise modified (subject to any
restrictions on such amendments, supplements or modifications set forth
herein), (f) any reference herein to any Person shall be construed to include such
Person’s successors and assigns, (g) the words “herein”, “hereof” and “hereunder”,
and words of similar import, shall be construed to refer to this Agreement in
its entirety and not to any particular provision hereof, (h) all references
herein to Articles, Sections, Exhibits and Schedules shall be construed to
refer to Articles and Sections of, and Exhibits and Schedules to, this
Agreement, (i) 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, securities, accounts and contract rights, (j) the term “documents” includes any and all
instruments, documents, agreements, certificates, notices, reports, financial
statements and other writings, however evidenced, whether in physical or
electronic form, (k) in the computation of periods of time from a specified
date to a later specified date, the word “from” means “from and including;” the
words “to” and “until” each mean “to but excluding;” and the word “through”
means “to and including”, and (l) Section headings herein and in the other Loan
Documents are included for convenience of reference only and shall not affect
the interpretation of this Agreement or any other Loan Document.

SECTION 1.3         Accounting Terms.  All
accounting terms not specifically or completely defined herein shall be
construed in conformity with, and all financial data (including financial
ratios and other financial calculations) required to be submitted pursuant to
this Agreement shall be prepared in conformity with, GAAP applied on a
consistent basis, as in effect from time to time, applied in a manner
consistent with that used in preparing the audited financial statements required
by Section 7.1(b), except as otherwise specifically prescribed herein.

SECTION 1.4         UCC Terms.  Terms
defined in the UCC in effect on the Closing Date and not otherwise defined
herein shall, unless the context otherwise indicates, have the meanings provided
by those definitions.  Subject to the
foregoing, the term “UCC” refers, as of any date of determination, to
the UCC then in effect.

 21
 

SECTION 1.5         Rounding. 
Any financial ratios required to be maintained by the Borrower pursuant
to this Agreement shall be calculated by dividing the appropriate component by
the other component, carrying the result to one place more than the number of
places by which such ratio is expressed herein and rounding the result up or
down to the nearest number (with a rounding-up if there is no nearest number).

SECTION 1.6         References to Agreement and Laws.  Unless otherwise expressly
provided herein, (a) references to formation documents, governing documents,
agreements (including the Loan Documents) and other contractual instruments
shall be deemed to include all subsequent amendments, restatements, extensions,
supplements and other modifications thereto, but only to the extent that such
amendments, restatements, extensions, supplements and other modifications are
not prohibited by any Loan Document; and (b) references to any Applicable Law
shall include all statutory and regulatory provisions consolidating, amending,
replacing, supplementing or interpreting such Applicable Law.

SECTION 1.7         Times of Day.  Unless
otherwise specified, all references herein to times of day shall be references
to Eastern time (daylight or standard, as applicable).

SECTION 1.8         Letter of Credit Amounts.  Unless otherwise specified,
all references herein to the amount of a Letter of Credit at any time shall be
deemed to mean the maximum face amount of such Letter of Credit after giving
effect to all increases thereof contemplated by such Letter of Credit or the
Letter of Credit Application therefor, whether or not such maximum face amount
is in effect at such time.

ARTICLE II

REVOLVING CREDIT FACILITY

SECTION 2.1         Revolving Credit Loans.  Subject to the terms and
conditions of this Agreement, and in reliance upon the representations and
warranties set forth herein, each Revolving Credit Lender severally agrees to
make Revolving Credit Loans to the Borrower from time to time from the Closing
Date through, but not including, the Revolving Credit Maturity Date as
requested by the Borrower in accordance with the terms of Section 2.3; provided,
that (a) the aggregate principal amount of all outstanding Revolving Credit
Loans (after giving effect to any amount requested) shall not exceed an amount
equal to the Revolving Credit Commitment less the sum of all outstanding
Swingline Loans and L/C Obligations and (b) the principal amount of outstanding
Revolving Credit Loans from any Revolving Credit Lender to the Borrower shall
not at any time exceed such Revolving Credit Lender’s Revolving Credit
Commitment less such Revolving Credit Lender’s Revolving Credit
Commitment Percentage of outstanding L/C Obligations and outstanding Swingline
Loans.  Each Revolving Credit Loan by a
Revolving Credit Lender shall be in a principal amount equal to such Revolving
Credit Lender’s Revolving Credit Commitment Percentage of the aggregate
principal amount of Revolving Credit Loans requested on such occasion.  Subject to the terms and conditions hereof,
the Borrower may borrow, repay and reborrow Revolving Credit Loans hereunder
until the Revolving Credit Maturity Date.

 22
 

SECTION 2.2         Swingline
Loans.

(a)           Availability.  Subject to the terms and conditions of this
Agreement, the Swingline Lender agrees to make Swingline Loans to the Borrower
from time to time from the Closing Date through, but not including, the
Swingline Termination Date; provided, that the aggregate principal
amount of all outstanding Swingline Loans (after giving effect to any amount
requested), shall not exceed the lesser of (i) an amount equal to the Revolving
Credit Commitment less the sum of all outstanding Revolving Credit Loans
and the L/C Obligations and (ii) the Swingline Commitment.

(b)           Refunding.

(i)            Swingline
Loans shall be refunded by the Revolving Credit Lenders on demand by the
Swingline Lender.  Such refundings shall
be made by the Revolving Credit Lenders in accordance with their respective
Revolving Credit Commitment Percentages and shall thereafter be reflected as
Revolving Credit Loans of the Revolving Credit Lenders on the Register.  Each Revolving Credit Lender shall fund its
respective Revolving Credit Commitment Percentage of Revolving Credit Loans as
required to repay Swingline Loans outstanding to the Swingline Lender upon
demand by the Swingline Lender but in no event later than 1:00 p.m. on the next
succeeding Business Day after such demand is made.  No Revolving Credit Lender’s obligation to
fund its respective Revolving Credit Commitment Percentage of a Swingline Loan
shall be affected by any other Revolving Credit Lender’s failure to fund its
Revolving Credit Commitment Percentage of a Swingline Loan, nor shall any
Revolving Credit Lender’s Revolving Credit Commitment Percentage be increased
as a result of any such failure of any other Revolving Credit Lender to fund
its Revolving Credit Commitment Percentage of a Swingline Loan.

(ii)           The
Borrower shall pay to the Swingline Lender on demand the amount of such
Swingline Loans to the extent amounts received from the Revolving Credit
Lenders are not sufficient to repay in full the outstanding Swingline Loans
requested or required to be refunded.  In
addition, the Borrower hereby authorizes the Administrative Agent to charge any
account maintained by the Borrower with the Swingline Lender (up to the amount
available therein) in order to immediately pay the Swingline Lender the amount
of such Swingline Loans to the extent amounts received from the Revolving
Credit Lenders are not sufficient to repay in full the outstanding Swingline
Loans requested or required to be refunded. 
If any portion of any such amount paid to the Swingline Lender shall be
recovered by or on behalf of the Borrower from the Swingline Lender in
bankruptcy or otherwise, the loss of the amount so recovered shall be ratably
shared among all the Revolving Credit Lenders in accordance with their
respective Revolving Credit Commitment Percentages (unless the amounts so
recovered by or on behalf of the Borrower pertain to a Swingline Loan extended
after the occurrence and during the continuance of an Event of Default of which
the Administrative Agent has received notice in the manner required pursuant to
Section 12.3 and which such Event of Default has not been waived in
accordance with Section 13.2). 
If, at any time after the Swingline Lender has received from any
Revolving Credit Lender such Revolving Credit Lender’s Revolving Credit Commitment
Percentage of any amount recovered from the Swingline Lender as provided in the
preceding sentence, the Swingline Lender receives any payment on account
thereof, the Swingline Lender 

 23
 

will distribute to such Revolving Credit Lender its Revolving Credit
Commitment Percentage of such payment.

(iii)          Each
Revolving Credit Lender acknowledges and agrees that its obligation to refund
Swingline Loans in accordance with the terms of this Section is absolute and
unconditional and shall not be affected by any circumstance whatsoever,
including, without limitation, non-satisfaction of the conditions set forth in Article
V.  Further, each Revolving Credit
Lender agrees and acknowledges that if prior to the refunding of any
outstanding Swingline Loans pursuant to this Section, one of the events
described in Section 11.1(i) or (j) shall have occurred, each
Revolving Credit Lender will, immediately upon demand, purchase an undivided
participating interest in the Swingline Loan to be refunded in an amount equal
to its Revolving Credit Commitment Percentage of the aggregate amount of such
Swingline Loan.  Each Revolving Credit
Lender will immediately transfer to the Swingline Lender, in immediately
available funds, the amount of its participation and upon receipt thereof the
Swingline Lender will deliver to such Revolving Credit Lender a certificate
evidencing such participation dated the date of receipt of such funds and for
such amount.  Whenever, at any time after
the Swingline Lender has received from any Revolving Credit Lender such
Revolving Credit Lender’s participating interest in a Swingline Loan, the
Swingline Lender receives any payment on account thereof, the Swingline Lender
will distribute to such Revolving Credit Lender its participating interest in
such amount (appropriately adjusted, in the case of interest payments, to
reflect the period of time during which such Revolving Credit Lender’s
participating interest was outstanding and funded).

SECTION 2.3         Procedure for Advances of Revolving
Credit Loans and Swingline Loans.

(a)           Requests
for Borrowing.  The Borrower shall
give the Administrative Agent irrevocable prior written notice substantially in
the form of Exhibit B (a “Notice
of Borrowing”) not later than 11:00 a.m. (i) on the same Business Day as
each Base Rate Loan and each Swingline Loan and (ii) at least three (3)
Business Days before each LIBOR Rate Loan, of its intention to borrow,
specifying (A) the date of such borrowing, which shall be a Business Day, (B)
the amount of such borrowing, which shall be, (x) with respect to Base Rate
Loans (other than Swingline Loans) in an aggregate principal amount of
$3,000,000 or a whole multiple of $1,000,000 in excess thereof, (y) with
respect to LIBOR Rate Loans in an aggregate principal amount of $5,000,000 or a
whole multiple of $1,000,000 in excess thereof and (z) with respect to
Swingline Loans in an aggregate principal amount of $100,000 or a whole
multiple of $100,000 in excess thereof, (C) whether such Loan is to be a
Revolving Credit Loan or Swingline Loan, (D) in the case of a Revolving Credit
Loan whether the Loans are to be LIBOR Rate Loans or Base Rate Loans, and (E)
in the case of a LIBOR Rate Loan, the duration of the Interest Period
applicable thereto.  A Notice of
Borrowing received after 11:00 a.m. shall be deemed received on the next
Business Day.  The Administrative Agent
shall promptly notify the Revolving Credit Lenders of each Notice of Borrowing.

(b)           Disbursement
of Revolving Credit Loans and Swingline Loans.  Not later than 1:00 p.m. on the proposed
borrowing date, (i) each Revolving Credit Lender will make available to the
Administrative Agent, for the account of the Borrower, at the Administrative
Agent’s Office in funds immediately available to the Administrative Agent, such
Revolving Credit Lender’s Revolving Credit Commitment Percentage of the
Revolving Credit Loans to be made 

 24
 

on such borrowing date and (ii) the Swingline Lender will make
available to the Administrative Agent, for the account of the Borrower, at the
Administrative Agent’s Office in funds immediately available to the
Administrative Agent, the Swingline Loans to be made on such borrowing
date.  The Borrower hereby irrevocably
authorizes the Administrative Agent to disburse the proceeds of each borrowing
requested pursuant to this Section in immediately available funds by crediting
or wiring such proceeds to the deposit account of the Borrower identified in
the most recent notice substantially in the form of Exhibit C (a “Notice of Account Designation”)
delivered by the Borrower to the Administrative Agent or as may be otherwise
agreed upon by the Borrower and the Administrative Agent from time to
time.  Subject to Section 4.7
hereof, the Administrative Agent shall not be obligated to disburse the portion
of the proceeds of any Revolving Credit Loan requested pursuant to this Section
to the extent that any Revolving Credit Lender has not made available to the
Administrative Agent its Revolving Credit Commitment Percentage of such
Revolving Credit Loan.  Revolving Credit
Loans to be made for the purpose of refunding Swingline Loans shall be made by
the Revolving Credit Lenders as provided in Section 2.2(b).

SECTION 2.4         Repayment and Prepayment of
Revolving Credit Loans and Swingline Loans.

(a)           Repayment
on Revolving Credit Maturity Date. 
The Borrower hereby agrees to repay the outstanding principal amount of
(i) all Revolving Credit Loans in full on the Revolving Credit Maturity Date,
and (ii) all Swingline Loans in accordance with Section 2.2(b),
together, in each case, with all accrued but unpaid interest thereon.

(b)           Mandatory
Prepayments.  If at any time the
outstanding principal amount of all Revolving Credit Loans plus the sum
of all outstanding Swingline Loans and L/C Obligations exceeds an amount equal
to the Revolving Credit Commitment, the Borrower agrees to repay immediately
upon notice from the Administrative Agent, by payment to the Administrative
Agent for the account of the Revolving Credit Lenders, Extensions of Credit in
an amount equal to such excess with each such repayment applied first to
the principal amount of outstanding Swingline Loans, second to the
principal amount of outstanding Revolving Credit Loans and third, with
respect to any Letters of Credit then outstanding, a payment of cash collateral
into a cash collateral account opened by the Administrative Agent, for the
benefit of the Revolving Credit Lenders in an amount equal to the aggregate
then undrawn and unexpired amount of such Letters of Credit (such cash
collateral to be applied in accordance with Section 11.2(b)).  The application of any prepayment of
Revolving Credit Loans pursuant to this Section 2.4(b) shall be made first
to Base Rate Loans and second, to LIBOR Rate Loans.

(c)           Optional
Prepayments.  The Borrower may at any
time and from time to time prepay Revolving Credit Loans and Swingline Loans,
in whole or in part, with irrevocable prior written notice to the
Administrative Agent substantially in the form of Exhibit D (a “Notice of Prepayment”) given
not later than 11:00 a.m. (i) on the same Business Day as each Base Rate
Loan and each Swingline Loan and (ii) at least three (3) Business Days
before each LIBOR Rate Loan, specifying the date and amount of prepayment and
whether the prepayment is of LIBOR Rate Loans, Base Rate Loans, Swingline Loans
or a combination thereof, and, if of a combination thereof, the amount
allocable to each.  Upon receipt of such
notice, the Administrative Agent shall promptly notify each Revolving Credit
Lender.  If any such notice is 

 25
 

given, the amount specified in such notice shall be due and payable on
the date set forth in such notice. 
Partial prepayments shall be in an aggregate amount of $3,000,000 or a
whole multiple of $1,000,000 in excess thereof with respect to Base Rate Loans
(other than Swingline Loans), $5,000,000 or a whole multiple of $1,000,000 in
excess thereof with respect to LIBOR Rate Loans and $100,000 or a whole
multiple of $100,000 in excess thereof with respect to Swingline Loans.  A Notice of Prepayment received after 11:00
a.m. shall be deemed received on the next Business Day.  Each such repayment shall be accompanied by
any amount required to be paid pursuant to Section 4.9 hereof.

(d)           Limitation
on Prepayment of LIBOR Rate Loans. 
The Borrower may not prepay any LIBOR Rate Loan on any day other than on
the last day of the Interest Period applicable thereto unless such prepayment
is accompanied by any amount required to be paid pursuant to Section 4.9
hereof.

(e)           Hedging
Agreements.  No repayment or
prepayment pursuant to this Section shall affect any of the Borrower’s
obligations under any Hedging Agreement.

SECTION 2.5         Permanent Reduction of the
Commitments.

(a)           Voluntary
Reduction.  The Borrower shall have
the right at any time and from time to time, upon at least five (5) Business
Days’ prior written notice to the Administrative Agent, to permanently reduce,
without premium or penalty, (i) the entire Revolving Credit Commitment at any
time or (ii) portions of the Revolving Credit Commitment, from time to time, in
an aggregate principal amount not less than $3,000,000 or any whole multiple of
$1,000,000 in excess thereof.  Any
reduction of the Revolving Credit Commitment shall be applied to the Revolving
Credit Commitment of each Revolving Credit Lender according to its Revolving
Credit Commitment Percentage.

(b)           Corresponding
Payment.  Each permanent reduction
permitted pursuant to this Section shall be accompanied by a payment of
principal sufficient to reduce the aggregate outstanding Revolving Credit
Loans, Swingline Loans and L/C Obligations, as applicable, after such reduction
to the Revolving Credit Commitment as so reduced and if the Revolving Credit
Commitment as so reduced is less than the aggregate amount of all outstanding
Letters of Credit, the Borrower shall be required to deposit cash collateral in
a cash collateral account opened by the Administrative Agent in an amount equal
to the aggregate then undrawn and unexpired amount of such Letters of
Credit.  Such cash collateral shall be
applied in accordance with Section 11.2(b).  Any reduction of the Revolving Credit
Commitment to zero shall be accompanied by payment of all outstanding Revolving
Credit Loans and Swingline Loans (and furnishing of cash collateral
satisfactory to the Administrative Agent for all L/C Obligations) and shall
result in the termination of the Revolving Credit Commitment, the Swingline
Commitment, the Swingline Facility, the L/C Facility and the Revolving Credit
Facility.  Such cash collateral shall be
applied in accordance with Section 11.2(b).  All commitment fees accrued until the
effective date of any termination of the Revolving Credit Commitments shall be
paid on the effective date of such termination. 
If the reduction of the Revolving Credit Commitment requires the
repayment of any LIBOR Rate Loan, such repayment shall be accompanied by any
amount required to be paid pursuant to Section 4.9 hereof.

 26

SECTION 2.6         Termination of Revolving Credit
Facility.  The Revolving Credit Facility shall terminate
on the Revolving Credit Maturity Date.

SECTION 2.7         Increase of Revolving Credit
Commitment.

(a)           As
an alternative to, or in addition to, Section 2.8 below, subject to the
conditions set forth below, at any
time prior to the Revolving Credit Maturity Date, the Borrower shall have the
right upon not less than thirty (30) days’ (or such shorter period as may be
agreed to by the Administrative Agent) prior written notice to the
Administrative Agent pursuant to a Revolving Credit Increase Notification, to
request an increase in the Revolving Credit Commitment in an aggregate
principal amount as may be specified by the Borrower.  Such Revolving Credit Increase Notification
shall specify the applicable Revolving Credit Increase Effective Date.

(b)           Increases in the Revolving Credit
Commitment shall be obtained from existing Revolving Credit Lenders or
New Lenders that qualify as Eligible Assignees (each such New Lender,
collectively with the existing Revolving Credit Lenders providing increased
Revolving Credit Commitments, the “Increasing Revolving Lenders”), in
each case in accordance with this Section 2.7; provided that no
Lender shall have any obligation to provide any portion of such increase.

(c)           The following terms and conditions shall apply to each
increase in the Revolving Credit Commitment:

(i)            such increase in the Revolving Credit Commitment pursuant to this Section 2.7  (and any Extensions of
Credit made thereunder) shall constitute Obligations of the Borrower and shall
be guaranteed and, if applicable, secured with the other Extensions of Credit
on a pari  passu basis;

(ii)           the Administrative Agent shall have received from the
Borrower, updated financial projections and an Officer’s Compliance
Certificate, in each case in form and substance reasonably satisfactory to the
Administrative Agent, demonstrating that, as of the Revolving Credit Increase
Effective Date and after giving effect to any such increase in the Revolving
Credit Commitment (and, if applicable, any simultaneous Incremental Term Loan
made pursuant to Section 2.8) and any Extensions of Credit made or to be
made in connection therewith (it being understood that the full principal
amount of such increase shall be deemed to be an Extension of Credit to be made
in connection therewith), the Borrower will be in pro  forma  compliance
with the financial covenants set forth in Article IX;

(iii)          no Default or Event of Default shall have occurred and be
continuing as of the applicable Revolving Credit Increase Effective Date and
after giving effect to such increase in the Revolving Credit Commitment
pursuant to this Section 2.7 (and, if applicable, any simultaneous
Incremental Term Loan made pursuant to Section 2.8) and any Extensions
of Credit made in connection therewith;

(iv)          the representations and warranties made by each Credit
Party in this Agreement and the other Loan Documents shall be true and correct
on and as of the Revolving Credit Increase Effective Date with the same effect
as if made on and as of such date (other than 

 27
 

those representations and warranties that by their
terms speak as of a particular date, which representations and warranties shall
be true and correct as of such particular date);

(v)           in no event shall the aggregate amount of all increases in
the Revolving Credit Commitment pursuant to this Section
2.7 (including the requested increase)  plus the aggregate
amount of all Incremental Term Loans made pursuant to Section
2.8, exceed $50,000,000;

(vi)          the amount of such increase in the Revolving Credit
Commitment pursuant to this Section 2.7 shall not be less than a minimum
principal amount of $10,000,000, or, if less, the remaining amount permitted
pursuant to clause (v) above;

(vii)         unless previously
provided, the Administrative Agent shall have received a resolution duly
adopted by the board of directors of each Credit Party authorizing such increase
in the Revolving Credit Commitment;

(viii)        the Borrower and each Increasing Revolving Lender shall
execute and deliver a Lender Addition and Acknowledgement Agreement to the
Administrative Agent, for its acceptance and recording in the Register;

(ix)           the Administrative Agent shall have received any documents
or information, including any joinder agreements, in connection with such
increase in the Revolving Credit Commitment as it may request in its reasonable
discretion; and

(x)            the outstanding Revolving Credit Loans and Revolving
Credit Commitment Percentages of L/C Obligations will be reallocated by the
Administrative Agent on the applicable Revolving Credit Increase Effective Date
among the Revolving Credit Lenders in accordance with their revised Revolving
Credit Commitment Percentages (and the Revolving Credit Lenders agree to make
all payments and adjustments necessary to effect such reallocation and the
Borrower shall pay any and all costs required pursuant to Section 4.9 in
connection with such reallocation as if such reallocation were a repayment).

(d)           Notwithstanding the provisions of Section 13.2 to
the contrary, the Administrative Agent is hereby authorized to execute and
deliver amendment documentation evidencing any amendments necessary to
effectuate the proposed increase in the Revolving Credit Commitment pursuant to
this Section 2.7 on behalf of the Lenders; provided that such
amendment shall not modify this Agreement or any other Loan Document in any
manner materially adverse to any Lender without the consent of such Lenders
adversely affected thereby in accordance with Section 13.2 hereof.

(e)           Upon the execution, delivery, acceptance and recording of
the applicable Lender Addition and Acknowledgment Agreement, from and after the
applicable Revolving Credit Increase Effective Date, (i) each Increasing
Revolving Lender shall have a Revolving Credit Commitment as set forth in the
Register and all the rights and obligations of a Revolving Credit Lender with a
Revolving Credit Commitment hereunder and (ii) all Revolving Credit Loans made
on account of any increase in the Revolving Credit Commitment pursuant to this Section
2.7 shall bear interest at the rate applicable to the Revolving Credit
Loans immediately prior to giving effect to such increase in the Revolving
Credit Commitment pursuant to this Section 2.7.

 28
 

(f)            The Administrative Agent shall maintain a copy of each
Lender Addition and Acknowledgment Agreement delivered to it in accordance with
Section 13.10(c).

(g)           Upon the request of any Increasing Revolving Lender, the
Borrower shall execute and deliver to the Administrative Agent, in exchange for
any surrendered Revolving Credit Note or Revolving Credit Notes of any existing
Revolving Credit Lender or with respect to any New Lender, a new Revolving
Credit Note or Revolving Credit Notes to the order of the applicable Revolving
Credit Lenders in amounts equal to the Revolving Credit Commitment of such
Revolving Credit Lenders as set forth in the Register.  Such new Revolving Credit Note or Revolving
Credit Notes shall be in an aggregate principal amount equal to the aggregate
principal amount of such Revolving Credit Commitments, shall be dated as of the
Revolving Credit Increase Effective Date and shall otherwise be in
substantially the form of the existing Revolving Credit Notes.  Each surrendered Revolving Credit Note and/or
Revolving Credit Notes shall be canceled and returned to the Borrower.

SECTION 2.8         Optional Incremental Term Loans.

(a)           As an alternative to, or in addition to, Section 2.7
above, subject to the conditions set forth below, at any time prior to the Revolving Credit Maturity Date, the
Borrower shall have the right upon not less than thirty (30) days’ (or such
shorter period as may be agreed to by the Administrative Agent) prior written
notice to the Administrative Agent pursuant to an Incremental Term Loan Notification,
to request term loans in an aggregate principal amount as may be specified by
the Borrower (such term loans, the “Incremental Term Loans”).  Such Incremental Term Loan Notification shall
specify the applicable Incremental Term Loan Effective Date, and on or prior to
such date, the Borrower shall deliver a Notice of Borrowing with respect to
such Incremental Term Loan.

(b)           Each Incremental Term Loan shall
be obtained from existing Lenders or from New Lenders that qualify as Eligible
Assignees (each such New Lender, collectively with the existing Lenders
providing Incremental Term Loans, the “Incremental Term Lenders”), in
each case in accordance with this Section 2.8; provided that no
Lender shall have any obligation to provide any portion of such Incremental
Term Loans.

(c)           The following terms and conditions shall apply to each
Incremental Term Loan:

(i)            such Incremental Term Loan made pursuant to this Section
2.8 shall constitute an Obligation of the Borrower and shall be guaranteed
and, if applicable, secured with the other Extensions of Credit on a pari
passu basis;

(ii)           the Administrative Agent shall have received from the
Borrower, updated financial projections and an Officer’s Compliance
Certificate, in each case in form and substance reasonably satisfactory to the
Administrative Agent, demonstrating that, as of the Incremental Term Loan
Effective Date and after giving effect to any such Incremental Term Loan (and,
if applicable, any simultaneous increase in the Revolving Credit Commitment
pursuant to Section 2.7), the Borrower will be in pro  forma
compliance with the financial covenants set forth in Article IX;

 29
 

(iii)          no Default or Event of Default shall have occurred and be
continuing as of the applicable Incremental Term Loan Effective Date and after
giving effect to the making of any such Incremental Term Loans (and, if
applicable, any simultaneous increase in the Revolving Credit Commitment
pursuant to Section 2.7);

(iv)          the representations and warranties made by each Credit
Party in this Agreement and in the other Loan Documents shall be true and
correct on and as of the Incremental Term Loan Effective Date with the same
effect as if made on and as of such date (other than those representations and
warranties that by their terms speak as of a particular date, which
representations and warranties shall be true and correct as of such particular
date);

(v)           in no event shall the aggregate principal amount of all
Incremental Term Loans made pursuant to this Section 2.8
(including the requested Incremental Term Loan)  plus the
aggregate amount of all increases in the Revolving Credit Commitment pursuant
to Section 2.7, exceed $50,000,000;

(vi)          the amount of such Incremental Term Loan obtained hereunder
shall not be less than a minimum principal amount of $25,000,000, or, if less,
the remaining amount permitted pursuant to clause (v) above;

(vii)         unless previously
provided, the Administrative Agent shall have received a resolution duly
adopted by the board of directors of each Credit Party authorizing such
Incremental Term Loan;

(viii)        each Incremental Term Loan shall be made on the applicable
Incremental Term Loan Effective Date specified in the Incremental Term Loan
Notification and will mature and amortize in a manner reasonably acceptable to
the Administrative Agent, the Incremental Term Lenders making such Incremental
Term Loan and the Borrower, but such Incremental Term Loan will not in any
event have a maturity date earlier than the Revolving Credit Maturity Date;

(ix)           the Borrower and each Incremental Term Lender shall
execute and deliver a Lender Addition and Acknowledgment Agreement to the
Administrative Agent, for its acceptance and recording in the Register; and

(x)            the Administrative Agent shall have received any
documents or information, including any joinder agreements, in connection with
such Incremental Term Loan as it may request in its reasonable discretion.

(d)           Notwithstanding the provisions of Section 13.2 to
the contrary, the Administrative Agent is hereby authorized to execute and
deliver amendment documentation evidencing any amendments necessary to
effectuate the Incremental Term Loan pursuant to this Section 2.8 on
behalf of the Lenders; provided that such amendment shall not modify
this Agreement or any other Loan Document in any manner materially adverse to
any Lender without the consent of such Lenders adversely affected thereby in
accordance with Section 13.2 hereof.

(e)           Upon the execution, delivery, acceptance and recording of
the applicable Lender Addition and Acknowledgement Agreement, from and after
the applicable Incremental Term 

 30
 

Loan Effective Date, each Incremental Term Lender
shall have an Incremental Term Loan Commitment as set forth in the Register and
all the rights and obligations of a Lender with such an Incremental Term Loan
Commitment hereunder.  The applicable
Incremental Term Lenders shall make the Incremental Term Loans to the Borrower
on the applicable Incremental Term Loan Effective Date in an amount equal to
the Incremental Term Loan Commitment of each Incremental Term Lender with
respect to such Incremental Term Loan as agreed upon pursuant to subsection (b)
above.

(f)            The Administrative Agent shall maintain a copy of each
Lender Addition and Acknowledgment Agreement delivered to it in accordance with
Section 13.10(c).

(g)           Upon the request of any Incremental Term Lender, the
Borrower shall execute and deliver to the Administrative Agent Incremental Term
Loan Notes to the order of such applicable Incremental Term Lenders in amounts
equal to the Incremental Term Loans of such Incremental Term Lenders as set
forth in the Register.  Such Incremental
Term Loan Note or Incremental Term Loan Notes shall be in an aggregate
principal amount equal to the aggregate principal amount of such Incremental
Term Loans and shall be dated as of the Incremental Term Loan Effective Date.

(h)           The Applicable Margin and pricing grid, if applicable, for
the Incremental Term Loans shall be determined on the applicable Incremental
Term Loan Effective Date.

ARTICLE
III

LETTER
OF CREDIT FACILITY

SECTION 3.1         L/C Commitment.  Subject
to the terms and conditions hereof, the Issuing Lender, in reliance on the
agreements of the other Revolving Credit Lenders set forth in Section 3.4(a),
agrees to issue standby letters of credit (“Letters of Credit”) for the
account of the Borrower on any Business Day from the Closing Date to but not
including the fifth (5th)
Business Day prior to the Revolving Credit Maturity Date in such form as may be
approved from time to time by the Issuing Lender; provided, that after
giving effect to such issuance, (a) the L/C Obligations shall not exceed the
L/C Commitment and (b) the aggregate principal amount of outstanding Revolving
Credit Loans, plus the aggregate principal amount of outstanding
Swingline Loans, plus the aggregate amount of L/C Obligations shall not
exceed an amount equal to the Revolving Credit Commitment.  Each Letter of Credit shall (i) be
denominated in Dollars in a minimum amount of $100,000 or such other amount agreed
to by the Administrative Agent and the Issuing Lender, (ii) be a standby letter
of credit issued to support obligations of the Borrower or any of its
Subsidiaries, contingent or otherwise, incurred in the ordinary course of
business, (iii) expire on a date no more than twelve (12) months after the date
of issuance or last renewal of such Letter of Credit, which date shall be no
later than the fifth (5th)
Business Day prior to the Revolving Credit Maturity Date and (iv) be subject to
ISP98, as set forth in the Letter of Credit Application or as determined by the
Issuing Lender and, to the extent not inconsistent therewith, the laws of the
State of New York.  The Issuing Lender
shall not at any time be obligated to issue any Letter of Credit hereunder if
such issuance would conflict with, or cause the Issuing Lender or any L/C
Participant to exceed any limits imposed by, any Applicable Law.  

 31
 

References herein to “issue” and derivations thereof
with respect to Letters of Credit shall also include extensions or
modifications of any outstanding Letters of Credit, unless the context
otherwise requires.

SECTION 3.2         Procedure for Issuance of Letters 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 the Administrative Agent’s Office a Letter of Credit Application
therefor, completed to the satisfaction of the Issuing Lender, and such other
certificates, documents and other papers and information as the Issuing Lender
may request.  Upon receipt of any Letter
of Credit Application, the Issuing Lender shall process such Letter of Credit
Application and the certificates, documents and other papers and information
delivered to it in connection therewith in accordance with its customary
procedures and shall, subject to Section 3.1 and Article V,
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
(3) Business Days after its receipt of the Letter of Credit Application
therefor and all such other certificates, documents and other papers and
information relating thereto) by issuing the original of such Letter of Credit
to the beneficiary thereof or as otherwise may be agreed by the Issuing Lender
and the Borrower.  The Issuing Lender
shall promptly furnish to the Borrower a copy of such Letter of Credit and
promptly notify each L/C Participant of the issuance and upon request by any
L/C Participant, furnish to such L/C Participant a copy of such Letter of
Credit and the amount of such L/C Participant’s participation therein.

SECTION 3.3         Commissions and Other Charges.

(a)           Letter of Credit Commissions.  The Borrower shall pay to the Administrative
Agent, for the account of the Issuing Lender and the L/C Participants, a letter
of credit commission with respect to each Letter of Credit in an amount equal
to the face amount of such Letter of Credit multiplied by the Applicable
Margin with respect to Revolving Credit Loans that are LIBOR Rate Loans
(determined on a per annum basis).  Such
commission shall be payable quarterly in arrears on the last Business Day of
each calendar quarter, on the Revolving Credit Maturity Date and thereafter on
demand of the Administrative Agent.  The
Administrative Agent shall, promptly following its receipt thereof, distribute
to the Issuing Lender and the L/C Participants all commissions received
pursuant to this Section in accordance with their respective Revolving Credit
Commitment Percentages.

(b)           Issuance Fee. 
In addition to the foregoing commission, the Borrower shall pay to the
Administrative Agent, for the account of the Issuing Lender, an issuance fee
with respect to each Letter of Credit in an amount equal to the face amount of
such Letter of Credit multiplied by one-eighth of one percent (0.125%)
per annum.  Such issuance fee shall be
payable quarterly in arrears on the last Business Day of each calendar quarter
commencing with the first such date to occur after the issuance of such Letter
of Credit, on the Revolving Credit Maturity Date and thereafter on demand of
the Administrative Agent.

(c)           Other Costs. 
In addition to the foregoing fees and commissions, 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, effecting
payment under, amending or otherwise administering any Letter of Credit.

 32
 

SECTION 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 hereunder, each L/C Participant irrevocably agrees to accept
and purchase and hereby accepts and purchases from the Issuing Lender, on the
terms and conditions hereinafter stated, for such L/C Participant’s own account
and risk an undivided interest equal to such L/C Participant’s Revolving Credit
Commitment Percentage in the Issuing Lender’s obligations and rights under and
in respect of each Letter of Credit issued hereunder and the amount of each
draft paid by the Issuing Lender thereunder. 
Each L/C Participant unconditionally and irrevocably 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 through a Revolving
Credit Loan or otherwise 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 Credit Commitment Percentage of the amount of such
draft, or any part thereof, which is not so reimbursed.

(b)           Upon becoming aware of 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, the Issuing Lender shall notify each L/C
Participant of the amount and due date of such required payment and such L/C
Participant shall pay to the Issuing Lender the amount specified on the
applicable due date.  If any such amount
is paid to the Issuing Lender after the date such payment is due, such L/C
Participant shall pay to the Issuing Lender on demand, in addition to such
amount, the product of (i) such amount, times (ii) the daily average
Federal Funds Rate as determined by the Administrative Agent during the period
from and including the date such payment is due 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. 
A certificate of the Issuing Lender with respect to any amounts owing
under this Section shall be conclusive in the absence of manifest error.  With respect to payment to the Issuing Lender
of the unreimbursed amounts described in this Section, if the L/C Participants
receive notice that any such payment is due (A) prior to 1:00 p.m. on any
Business Day, such payment shall be due that Business Day, and (B) after 1:00
p.m. on any Business Day, such payment shall be due on the following Business
Day.

(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 Revolving Credit Commitment Percentage of such payment in accordance with
this Section, the Issuing Lender receives any payment related to such Letter of
Credit (whether directly from the Borrower or otherwise), or any payment of
interest on account thereof, the Issuing Lender will distribute to such L/C
Participant its pro  rata share thereof; provided, 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.

SECTION 3.5         Reimbursement Obligation of the
Borrower.  In the event of any drawing under any Letter
of Credit, the Borrower agrees to reimburse (either with the proceeds of a 

 33
 

Revolving Credit Loan as provided for in this Section
or with funds from other sources), in same day funds, the Issuing Lender on
each date on which the Issuing Lender notifies the Borrower of the date and
amount of a draft paid under any Letter of Credit for the amount of the sum of:
(a) such draft so paid and (b) any amounts referred to in Section 3.3(c)
incurred by the Issuing Lender in connection with such payment.  Unless the Borrower shall immediately notify
the Issuing Lender that the Borrower intends to reimburse the Issuing Lender
for such drawing from other sources or funds, the Borrower shall be deemed to
have timely given a Notice of Borrowing to the Administrative Agent requesting
that the Revolving Credit Lenders make a Revolving Credit Loan bearing interest
at the Base Rate on such date in the amount of the sum of: (a) such draft so
paid and (b) any amounts referred to in Section 3.3(c) incurred by the
Issuing Lender in connection with such payment, and the Revolving Credit Lenders
shall make a Revolving Credit Loan bearing interest at the Base Rate in such
amount, the proceeds of which shall be applied to reimburse the Issuing Lender
for the amount of the related drawing and costs and expenses.  Each Revolving Credit Lender acknowledges and
agrees that its obligation to fund a Revolving Credit Loan in accordance with
this Section to reimburse the Issuing Lender for any draft paid under a Letter
of Credit is absolute and unconditional and shall not be affected by any
circumstance whatsoever, including, without limitation, non-satisfaction of the
conditions set forth in Section 2.3(a) or Article V.  If the Borrower has elected to pay the amount
of such drawing with funds from other sources and shall fail to reimburse the
Issuing Lender as provided above, the unreimbursed amount of such drawing shall
bear interest at the rate which would be payable on any outstanding Revolving
Credit Loans which are Base Rate Loans which were then overdue from the date
such amounts become payable (whether at stated maturity, by acceleration or
otherwise) until payment in full.

SECTION 3.6         Obligations Absolute.  The Borrower’s obligations
under this Article III (including, without limitation, the Reimbursement
Obligation) shall be absolute and unconditional under any and all circumstances
and irrespective of any setoff, counterclaim or defense to payment which the
Borrower may have or have had against the Issuing Lender or any beneficiary of
a Letter of Credit or any other Person. 
The Borrower also agrees that the Issuing Lender and the L/C
Participants shall not be responsible for, and the Borrower’s Reimbursement
Obligation under Section 3.5 shall not be affected by, among other
things, the validity or genuineness of documents or of any endorsements thereon,
even though such documents shall in fact prove to be invalid, fraudulent or
forged, or any dispute between or among the 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 caused by the Issuing Lender’s gross negligence or
willful misconduct, as determined by a court of competent jurisdiction by final
nonappealable judgment.  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 or
any L/C Participant to the Borrower.  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 

 34
 

that the documents (including each draft) delivered
under such Letter of Credit in connection with such presentment are in
conformity with such Letter of Credit.

SECTION 3.7         Effect of Letter of Credit
Application.  To the extent that any
provision of any Letter of Credit Application related to any Letter of Credit
is inconsistent with the provisions of this Article III, the provisions
of this Article III shall apply.

ARTICLE
IV

GENERAL
LOAN PROVISIONS

SECTION 4.1         Interest.

(a)           Interest Rate Options.  Subject to the provisions of this Section, at
the election of the Borrower, (i) Revolving Credit Loans and Incremental Term
Loans, if any, shall bear interest at (A) the Base Rate plus the
Applicable Margin or (B) the LIBOR Rate plus the Applicable Margin (provided
that the LIBOR Rate shall not be available until three (3) Business Days after
the Closing Date) and (ii) any Swingline Loan shall bear interest at the Base
Rate plus the Applicable Margin. 
The Borrower shall select the rate of interest and Interest Period, if
any, applicable to any Revolving Credit Loan or Incremental Term Loan at the
time a Notice of Borrowing is given or at the time a Notice of Conversion/Continuation
is given pursuant to Section 4.2. 
Any Revolving Credit Loan, Incremental Term Loan or any portion thereof
as to which the Borrower has not duly specified an interest rate as provided
herein shall be deemed a Base Rate Loan.

(b)           Interest Periods. 
In connection with each LIBOR Rate Loan, the Borrower, by giving notice
at the times described in Section 2.3, 2.8 or 4.2, as
applicable, shall elect an interest period (each, an “Interest Period”)
to be applicable to such Loan, which Interest Period shall be a period of one
(1), two (2), three (3) or six (6) months; provided that:

(i)            the Interest Period shall commence on the date of advance
of or conversion to any LIBOR Rate Loan and, in the case of immediately
successive Interest Periods, each successive Interest Period shall commence on
the date on which the immediately preceding Interest Period expires;

(ii)           if any Interest Period would otherwise expire on a day
that is not a Business Day, such Interest Period shall expire on the next
succeeding Business Day; provided, that if any Interest Period with
respect to a LIBOR Rate Loan would otherwise expire on a day that is not a
Business Day but is a day of the month after which no further Business Day
occurs in such month, such Interest Period shall expire on the immediately
preceding Business Day;

(iii)          any Interest Period with respect to a LIBOR Rate Loan that
begins on the last Business Day of a calendar month (or on a day for which
there is no numerically corresponding day in the calendar month at the end of
such Interest Period) shall end on the last Business Day of the relevant
calendar month at the end of such Interest Period; and

(iv)          there shall be no more than eight (8) Interest Periods in
effect at any time.

 35
 

(c)           Default Rate. 
Subject to Section 11.3, (i) immediately upon the occurrence and
during the continuance of an Event of Default under Section 11.1(a), (b),
(i) or (j), or (ii) at the election of the Required Lenders, upon
the occurrence and during the continuance of any other Event of Default, (A)
the Borrower shall no longer have the option to request LIBOR Rate Loans,
Swingline Loans or Letters of Credit, (B) all outstanding LIBOR Rate Loans
shall bear interest at a rate per annum of two percent (2%) in excess of the
rate then applicable to LIBOR Rate Loans until the end of the applicable
Interest Period and thereafter at a rate equal to two percent (2%) in excess of
the rate then applicable to Base Rate Loans, and (C) all outstanding Base Rate
Loans and other Obligations arising hereunder or under any other Loan Document
shall bear interest at a rate per annum equal to two percent (2%) in excess of
the rate then applicable to Base Rate Loans or such other Obligations arising
hereunder or under any other Loan Document. 
Interest shall continue to accrue on the Obligations after the filing by
or against the Borrower of any petition seeking any relief in bankruptcy or
under any act or law pertaining to insolvency or debtor relief, whether state,
federal or foreign.

(d)           Interest Payment and Computation.  Interest on each Base Rate Loan shall be due
and payable in arrears on the last Business Day of each calendar quarter
commencing December 31, 2006; and interest on each LIBOR Rate Loan shall be due
and payable on the last day of each Interest Period applicable thereto, and if
such Interest Period extends over three (3) months, at the end of each three
(3) month interval during such Interest Period. 
Interest on LIBOR Rate Loans and all fees payable hereunder shall be
computed on the basis of a 360-day year and assessed for the actual number of
days elapsed and interest on Base Rate Loans shall be computed on the basis of
a 365/366-day year and assessed for the actual number of days elapsed.

(e)           Maximum Rate. 
In no contingency or event whatsoever shall the aggregate of all amounts
deemed interest under this Agreement charged or collected pursuant to the terms
of this Agreement exceed the highest rate permissible under any Applicable Law
which a court of competent jurisdiction shall, in a final determination, deem
applicable hereto.  In the event that
such a court determines that the Lenders have charged or received interest
hereunder in excess of the highest applicable rate, the rate in effect
hereunder shall automatically be reduced to the maximum rate permitted by
Applicable Law and the Lenders shall at the Administrative Agent’s option (i)
promptly refund to the Borrower any interest received by the Lenders in excess
of the maximum lawful rate or (ii) apply such excess to the principal balance
of the Obligations on a pro rata
basis.  It is the intent hereof that the
Borrower not pay or contract to pay, and that neither the Administrative Agent
nor any Lender receive or contract to receive, directly or indirectly in any
manner whatsoever, interest in excess of that which may be paid by the Borrower
under Applicable Law.

SECTION 4.2         Notice and Manner of Conversion or
Continuation of Loans.  Provided that no Default or
Event of Default has occurred and is then continuing, the Borrower shall have
the option to (a) convert at any time following the third Business Day after
the Closing Date all or any portion of any outstanding Base Rate Loans (other
than Swingline Loans) in a principal amount equal to $5,000,000 or any whole
multiple of $1,000,000 in excess thereof into one or more LIBOR Rate Loans and
(b) upon the expiration of any Interest Period, (i) convert all or any part of
its outstanding LIBOR Rate Loans in a principal amount equal to $3,000,000 or a
whole multiple of $1,000,000 in excess thereof into Base Rate Loans (other than
Swingline Loans) or (ii) continue such LIBOR Rate Loans as LIBOR Rate
Loans.  Whenever the Borrower desires to 

 36
 

convert or continue Loans as provided above, the
Borrower shall give the Administrative Agent irrevocable prior written notice
in the form attached as Exhibit E
(a “Notice of Conversion/Continuation”) not later than 11:00 a.m. three
(3) Business Days before the day on which a proposed conversion or continuation
of such Loan is to be effective specifying (A) the Loans to be converted or
continued, and, in the case of any LIBOR Rate Loan to be converted or
continued, the last day of the Interest Period therefor, (B) the effective date
of such conversion or continuation (which shall be a Business Day), (C) the principal
amount of such Loans to be converted or continued, and (D) the Interest Period
to be applicable to such converted or continued LIBOR Rate Loan.  The Administrative Agent shall promptly
notify the Lenders of such Notice of Conversion/Continuation.

SECTION 4.3         Fees.

(a)           Commitment Fee. 
Commencing on the Closing Date, the Borrower shall pay to the
Administrative Agent, for the account of the Revolving Credit Lenders, a
non-refundable commitment fee at a rate per annum equal to the Applicable Margin
on the average daily unused portion of the Revolving Credit Commitment; provided,
that the amount of outstanding Swingline Loans shall not be considered usage of
the Revolving Credit Commitment for the purpose of calculating such commitment
fee.  The commitment fee shall be payable
in arrears on the last Business Day of each calendar quarter during the term of
this Agreement commencing March 31, 2007 and ending on the Revolving Credit
Maturity Date.  Such commitment fee shall
be distributed by the Administrative Agent to the Revolving Credit Lenders pro
rata in accordance with the Revolving Credit Lenders’ respective
Revolving Credit Commitment Percentages.

(b)           Administrative Agent’s and Other Fees.  The Borrower agrees to pay any fees set forth
in the Fee Letter.

SECTION 4.4         Manner of Payment.  Each
payment by the Borrower on account of the principal of or interest on the Loans
or of any fee, commission or other amounts (including the Reimbursement
Obligation) payable to the Lenders under this Agreement shall be made not later
than 1:00 p.m. on the date specified for payment under this Agreement to the
Administrative Agent at the Administrative Agent’s Office for the account of
the Lenders (other than as set forth below) pro  rata in
accordance with their respective Commitment Percentages, (except as specified
below), in Dollars, in immediately available funds and shall be made without
any setoff, counterclaim or deduction whatsoever.  Any payment received after such time but
before 2:00 p.m. on such day shall be deemed a payment on such date for the
purposes of Section 11.1, but for all other purposes shall be deemed to
have been made on the next succeeding Business Day.  Any payment received after 2:00 p.m. shall be
deemed to have been made on the next succeeding Business Day for all
purposes.  Upon receipt by the
Administrative Agent of each such payment, the Administrative Agent shall
distribute to each Lender at its address for notices set forth herein its pro
rata share of such payment in accordance with such Lender’s Commitment
Percentage, (except as specified below) and shall wire advice of the amount of
such credit to each Lender.  Each payment
to the Administrative Agent of the Issuing Lender’s fees or L/C Participants’
commissions shall be made in like manner, but for the account of the Issuing
Lender or the L/C Participants, as the case may be.  Each payment to the Administrative Agent of
Administrative Agent’s fees or expenses shall be made for the account of the 

 37
 

Administrative Agent and any amount payable to any
Lender under Sections 4.9, 4.10, 4.11 or 13.3 shall
be paid to the Administrative Agent for the account of the applicable
Lender.  Subject to Section 4.1(b)(ii)
if any payment under this Agreement shall be specified to be made upon a day
which is not a Business Day, it shall be made on the next succeeding day which
is a Business Day and such extension of time shall in such case be included in
computing any interest if payable along with such payment.

SECTION 4.5         Evidence of Indebtedness.

(a)           Extensions of Credit.  The Extensions of Credit made by each Lender
shall be evidenced by one or more accounts or records maintained by such Lender
and by the Administrative Agent in the ordinary course of business.  The accounts or records maintained by the
Administrative Agent and each Lender shall be conclusive absent manifest error
of the amount of the Extensions of Credit made by the Lenders to the Borrower
and the interest and payments thereon. 
Any failure to so record or any error in doing so shall not, however,
limit or otherwise affect the obligation of the Borrower hereunder to pay any
amount owing with respect to the Obligations. 
In the event of any conflict between the accounts and records maintained
by any Lender and the accounts and records of the Administrative Agent in
respect of such matters, the accounts and records of the Administrative Agent
shall control in the absence of manifest error. 
Upon the request of any Lender made through the Administrative Agent,
the Borrower shall execute and deliver to such Lender (through the
Administrative Agent) a Revolving Credit Note, Swingline Note and/or
Incremental Term Loan Note, as applicable, which shall evidence such Lender’s
Revolving Credit Loans, Swingline Loan and/or Incremental Term Loan, as applicable,
in addition to such accounts or records. 
Each Lender may attach schedules to its Notes and endorse thereon the
date, amount and maturity of its Loans and payments with respect thereto.

(b)           Participations. 
In addition to the accounts and records referred to in subsection (a),
each Revolving Credit Lender and the Administrative Agent shall maintain in
accordance with its usual practice accounts or records evidencing the purchases
and sales by such Revolving Credit Lender of participations in Letters of
Credit and Swingline Loans.  In the event
of any conflict between the accounts and records maintained by the
Administrative Agent and the accounts and records of any Revolving Credit
Lender in respect of such matters, the accounts and records of the
Administrative Agent shall control in the absence of manifest error.

SECTION 4.6         Adjustments.  If any Lender shall, by exercising any right of
setoff or counterclaim or otherwise, obtain payment in respect of any principal
of or interest on any of its Loans or other obligations hereunder resulting in
such Lender’s receiving payment of a proportion of the aggregate amount of its
Loans and accrued interest thereon or other such obligations (other than
pursuant to Sections 4.9, 4.10, 4.11 or 13.3
hereof) greater than its pro  rata
share thereof as provided herein, then the Lender receiving such greater
proportion shall (a) notify the Administrative Agent of such fact, and (b)
purchase (for cash at face value) participations in the Loans and such other
obligations of the other Lenders, or make such other adjustments as shall be
equitable, so that the benefit of all such payments shall be shared by the
Lenders ratably in accordance with the aggregate amount of principal of and
accrued interest on their respective Loans and other amounts owing them; provided
that

 38
 

(a)           if any such participations are purchased and all or any
portion of the payment giving rise thereto is recovered, such participations
shall be rescinded and the purchase price restored to the extent of such
recovery, without interest, and

(b)           the provisions of this paragraph shall not be construed to
apply to (x) any payment made by the Borrower pursuant to and in accordance
with the express terms of this Agreement or (y) any payment obtained by a
Lender as consideration for the assignment of or sale of a participation in any
of its Loans or participations in Swingline Loans and Letters of Credit to any
assignee or participant, other than to the Borrower or any of its Subsidiaries
(as to which the provisions of this paragraph shall apply).

Each Credit Party consents to
the foregoing and agrees, to the extent it may effectively do so under
Applicable Law, that any Lender acquiring a participation pursuant to the
foregoing arrangements may exercise against such Credit Party rights of setoff
and counterclaim with respect to such participation as fully as if such Lender
were a direct creditor of such Credit Party in the amount of such
participation.

SECTION 4.7         Nature
of Obligations of Lenders Regarding Extensions of Credit; Assumption by the
Administrative Agent.  The
obligations of the Lenders under this Agreement to make the Loans and issue or
participate in Letters of Credit are several and are not joint or joint and
several.  Unless the Administrative Agent
shall have received notice from a Lender prior to a proposed borrowing date
that such Lender will not make available to the Administrative Agent such
Lender’s ratable portion of the amount to be borrowed on such date (which
notice shall not release such Lender of its obligations hereunder), the
Administrative Agent may assume that such Lender has made such portion
available to the Administrative Agent on the proposed borrowing date in
accordance with Section 2.3(b), and the Administrative Agent may, in reliance
upon such assumption, make available to the Borrower on such date a
corresponding amount.  If such amount is
made available to the Administrative Agent on a date after such borrowing date,
such Lender shall pay to the Administrative Agent on demand an amount, until
paid, equal to the product of (a) the amount not made available by such Lender
in accordance with the terms hereof, times (b) the daily average Federal
Funds Rate during such period as determined by the Administrative Agent, times
(c) a fraction the numerator of which is the number of days that elapse from
and including such borrowing date to the date on which such amount not made
available by such Lender in accordance with the terms hereof shall have become
immediately available to the Administrative Agent and the denominator of which
is 360.  A certificate of the
Administrative Agent with respect to any amounts owing under this Section shall
be conclusive, absent manifest error.  If
such Lender’s Commitment Percentage of such borrowing is not made available to
the Administrative Agent by such Lender within three (3) Business Days after
such borrowing date, the Administrative Agent shall be entitled to recover such
amount made available by the Administrative Agent with interest thereon at the
rate per annum applicable to Base Rate Loans hereunder, on demand, from the
Borrower.  The failure of any Lender to
make available its Commitment Percentage of any Loan requested by the Borrower
shall not relieve it or any other Lender of its obligation, if any, hereunder
to make its Commitment Percentage of such Loan available on the borrowing date,
but no Lender shall be responsible for the failure of any other Lender to make
its Commitment Percentage of such Loan available on the borrowing date.

 

 39

SECTION 4.8         Changed Circumstances.

(a)           Circumstances
Affecting LIBOR Rate Availability. 
If with respect to any Interest Period the Administrative Agent or any
Lender (after consultation with the Administrative Agent) shall determine that,
by reason of circumstances affecting the foreign exchange and interbank markets
generally, deposits in eurodollars, in the applicable amounts are not being
quoted via the Telerate Page 3750 or offered to the Administrative Agent or
such Lender for such Interest Period, then the Administrative Agent shall
forthwith give notice thereof to the Borrower. 
Thereafter, until the Administrative Agent notifies the Borrower that
such circumstances no longer exist, the obligation of the Lenders to make LIBOR
Rate Loans and the right of the Borrower to convert any Loan to or continue any
Loan as a LIBOR Rate Loan shall be suspended, and the Borrower shall repay in
full (or cause to be repaid in full) the then outstanding principal amount of
each such LIBOR Rate Loan together with accrued interest thereon, on the last
day of the then current Interest Period applicable to such LIBOR Rate Loan or
convert the then outstanding principal amount of each such LIBOR Rate Loan to a
Base Rate Loan as of the last day of such Interest Period.

(b)           Laws
Affecting LIBOR Rate Availability. 
If, after the date hereof, the introduction of, or any change in, any
Applicable Law or any change in the interpretation or administration thereof by
any Governmental Authority, central bank or comparable agency charged with the
interpretation or administration thereof, or compliance by any of the Lenders
(or any of their respective Lending Offices) with any request or directive
(whether or not having the force of law) of any such Governmental Authority,
central bank or comparable agency, shall make it unlawful or impossible for any
of the Lenders (or any of their respective Lending Offices) to honor its
obligations hereunder to make or maintain any LIBOR Rate Loan, such Lender
shall promptly give notice thereof to the Administrative Agent and the
Administrative Agent shall promptly give notice to the Borrower and the other
Lenders.  Thereafter, until the
Administrative Agent notifies the Borrower that such circumstances no longer
exist, (i) the obligations of the Lenders to make LIBOR Rate Loans and the
right of the Borrower to convert any Loan or continue any Loan as a LIBOR Rate
Loan shall be suspended and thereafter the Borrower may select only Base Rate
Loans hereunder, and (ii) if any of the Lenders may not lawfully continue to
maintain a LIBOR Rate Loan to the end of the then current Interest Period
applicable thereto as a LIBOR Rate Loan, the applicable LIBOR Rate Loan shall
immediately be converted to a Base Rate Loan for the remainder of such Interest
Period.

SECTION 4.9         Indemnity.  The
Borrower hereby indemnifies each of the Lenders against any loss or expense
which may arise or be attributable to each Lender’s obtaining, liquidating or
employing deposits or other funds acquired to effect, fund or maintain any Loan
(a) as a consequence of any failure by the Borrower to make any payment when
due of any amount due hereunder in connection with a LIBOR Rate Loan, (b) due
to any failure of the Borrower to borrow, continue or convert on a date
specified therefor in a Notice of Borrowing or Notice of
Conversion/Continuation or (c) due to any payment, prepayment or
conversion of any LIBOR Rate Loan on a date other than the last day of the
Interest Period therefor.  The amount of
such loss or expense shall be determined, in the applicable Lender’s sole
discretion, based upon the assumption that such Lender funded its Commitment
Percentage of the LIBOR Rate Loans in the London interbank market and using any
reasonable attribution or averaging methods which such Lender deems appropriate
and practical.  A certificate of such Lender
setting forth the basis for

 40
 

determining such amount
or amounts necessary to compensate such Lender shall be forwarded to the
Borrower through the Administrative Agent and shall be conclusively presumed to
be correct save for manifest error.

SECTION 4.10       Increased Costs.

(a)           Increased Costs Generally.  If any Change in Law shall:

(i)            impose, modify or deem applicable any reserve, special
deposit, compulsory loan, insurance charge or similar requirement against
assets of, deposits with or for the account of, or advances, loans or other
credit extended or participated in by, any Lender (except any reserve
requirement reflected in the LIBOR Rate) or the Issuing Lender;

(ii)           subject
any Lender or the Issuing Lender to any tax of any kind whatsoever with respect
to this Agreement, any Letter of Credit, any participation in a Letter of
Credit or any LIBOR Rate Loan made by it, or change the basis of taxation of
payments to such Lender or the Issuing Lender in respect thereof (except for
Indemnified Taxes or Other Taxes covered by Section 4.11 and the
imposition of, or any change in the rate of any Excluded Tax payable by such
Lender or the Issuing Lender); or

(iii)          impose on any Lender or the Issuing Lender or the London
interbank market any other condition, cost or expense affecting this Agreement
or LIBOR Rate Loans made by such Lender or any Letter of Credit or
participation therein;

and the result of any of the
foregoing shall be to increase the cost to such Lender of making, converting
into or maintaining any LIBOR Rate Loan (or of maintaining its obligation to
make any such Loan), or to increase the cost to such Lender or the Issuing
Lender of participating in, issuing or maintaining any Letter of Credit (or of
maintaining its obligation to participate in or to issue any Letter of Credit),
or to reduce the amount of any sum received or receivable by such Lender or the
Issuing Lender hereunder (whether of principal, interest or any other amount)
then, upon written request of such Lender or the Issuing Lender, the Borrower
shall promptly pay to any such Lender or the Issuing Lender, as the case may
be, such additional amount or amounts as will compensate such Lender or the
Issuing Lender, as the case may be, for such additional costs incurred or
reduction suffered.

(b)           Capital Requirements.  If any Lender or the Issuing Lender
determines that any Change in Law affecting such Lender or the Issuing Lender
or any lending office of such Lender or such Lender’s or the Issuing Lender’s
holding company, if any, regarding capital requirements has or would have the
effect of reducing the rate of return on such Lender’s or the Issuing Lender’s
capital or on the capital of such Lender’s or the Issuing Lender’s holding company,
if any, as a consequence of this Agreement, the Commitments of such Lender or
the Loans made by, or participations in Letters of Credit held by, such Lender,
or the Letters of Credit issued by the Issuing Lender, to a level below that
which such Lender or the Issuing Lender or such Lender’s or the Issuing Lender’s
holding company could have achieved but for such Change in Law (taking into
consideration such Lender’s or the Issuing Lender’s policies and the policies
of such Lender’s or the Issuing Lender’s holding company with respect to
capital adequacy), then from time to time upon written request of such Lender
or such Issuing Lender the Borrower shall

 41
 

promptly pay to such Lender or the Issuing
Lender, as the case may be, such additional amount or amounts as will
compensate such Lender or the Issuing Lender or such Lender’s or the Issuing
Lender’s holding company for any such reduction suffered.

(c)           Certificates for Reimbursement.  A certificate of a Lender or the Issuing
Lender setting forth the amount or amounts necessary to compensate such Lender
or the Issuing Lender or its holding company, as the case may be, as specified
in paragraph (a) or (b) of this Section and delivered to the Borrower shall be
conclusive absent manifest error.  The
Borrower shall pay such Lender or the Issuing Lender, as the case may be, the
amount shown as due on any such certificate within ten (10) days after receipt
thereof.

(d)           Delay in Requests.  Failure
or delay on the part of any Lender or the Issuing Lender to demand compensation
pursuant to this Section shall not constitute a waiver of such Lender’s or the
Issuing Lender’s right to demand such compensation; provided that the
Borrower shall not be required to compensate a Lender or the Issuing Lender
pursuant to this Section for any increased costs incurred or reductions
suffered more than nine (9) months prior to the date that such Lender or the
Issuing Lender, as the case may be, notifies the Borrower of the Change in Law
giving rise to such increased costs or reductions and of such Lender’s or the
Issuing Lender’s intention to claim compensation therefor (except that, if the
Change in Law giving rise to such increased costs or reductions is retroactive,
then the nine-month period referred to above shall be extended to include the
period of retroactive effect thereof).

SECTION 4.11       Taxes.

(a)           Payments Free of Taxes.  Any and all payments by or on account of any
obligation of the Borrower hereunder or under any other Loan Document shall be
made free and clear of and without reduction or withholding for any Indemnified
Taxes or Other Taxes; provided that if the Borrower shall be required by
Applicable Law to deduct any Indemnified Taxes (including any Other Taxes) from
such payments, then (i) the sum payable shall be increased as necessary so that
after making all required deductions (including deductions applicable to
additional sums payable under this Section) the Administrative Agent, Lender or
Issuing Lender, as the case may be, receives an amount equal to the sum it would
have received had no such deductions been made, (ii) the Borrower shall make
such deductions and (iii) the Borrower shall timely pay the full amount
deducted to the relevant Governmental Authority in accordance with Applicable
Law.

(b)           Payment of Other Taxes by the Borrower. Without
limiting the provisions of paragraph (a) above, the Borrower shall timely pay
any Other Taxes to the relevant Governmental Authority in accordance with
Applicable Law.

(c)           Indemnification by the Borrower. The Borrower shall
indemnify the Administrative Agent, each Lender and the Issuing Lender, within
ten (10) days after demand therefor, for the full amount of any Indemnified
Taxes or Other Taxes (including Indemnified Taxes or Other Taxes imposed or
asserted on or attributable to amounts payable under this Section) paid by the
Administrative Agent, such Lender or the Issuing Lender, as the case may be,
and any penalties, interest and reasonable expenses arising therefrom or with
respect thereto, whether or not such Indemnified Taxes or Other Taxes were
correctly or legally imposed or

 42
 

asserted by the relevant Governmental
Authority.  A certificate as to the
amount of such payment or liability delivered to the Borrower by a Lender or
the Issuing Lender (with a copy to the Administrative Agent), or by the
Administrative Agent on its own behalf or on behalf of a Lender or the Issuing
Lender, shall be conclusive absent manifest error.

(d)           Evidence of Payments. As soon as practicable after
any payment of Indemnified Taxes or Other Taxes by the Borrower to a
Governmental Authority, the Borrower shall deliver to the Administrative Agent
the original or a certified copy of a receipt issued by such Governmental
Authority evidencing such payment, a copy of the return reporting such payment
or other evidence of such payment reasonably satisfactory to the Administrative
Agent.

(e)           Status of Lenders. Any Foreign Lender that is
entitled to an exemption from or reduction of withholding tax under the law of
the jurisdiction in which the Borrower is resident for tax purposes, or any
treaty to which such jurisdiction is a party, with respect to payments
hereunder or under any other Loan Document 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 or the Administrative
Agent, 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 of withholding.  In
addition, any Lender, if requested by the Borrower or the Administrative Agent,
shall deliver such other documentation prescribed by Applicable Law or
reasonably requested by the Borrower or the Administrative Agent as will enable
the Borrower or the Administrative Agent to determine whether or not such
Lender is subject to backup withholding or information reporting
requirements.  Without limiting the
generality of the foregoing, in the event that the Borrower is a resident for
tax purposes in the United States, any Foreign Lender shall deliver to the
Borrower and the Administrative Agent (in such number of copies as shall be
requested by the recipient) on or prior to the date on which such Foreign
Lender becomes a Lender under this Agreement (and from time to time thereafter
upon the request of the Borrower or the Administrative Agent, but only if such
Foreign Lender is legally entitled to do so), whichever of the following is
applicable:

(i)            duly completed copies of Internal Revenue Service Form
W-8BEN claiming eligibility for benefits of an income tax treaty to which the
United States is a party,

(ii)           duly completed copies of Internal Revenue Service Form
W-8ECI,

(iii)          in the case of a Foreign Lender claiming the benefits of
the exemption for portfolio interest under section 881(c) of the Code, (x) a
certificate to the effect that such Foreign Lender is not (A) a “bank” within
the meaning of section 881(c)(3)(A) of the Code, (B) a “10 percent shareholder”
of the Borrower within the meaning of section 881(c)(3)(B) of the Code, or (C)
a “controlled foreign corporation” described in section 881(c)(3)(C) of the
Code and (y) duly completed copies of Internal Revenue Service Form W-8BEN, or

(iv)          any other form prescribed by Applicable Law as a basis for
claiming exemption from or a reduction in United States Federal withholding tax
duly completed together with such supplementary documentation as may be
prescribed by Applicable Law to permit the Borrower to determine the
withholding or deduction required to be made.

 43
 

(f)            Treatment of Certain Refunds.  If the Administrative Agent, a Lender or the
Issuing Lender determines, in its sole discretion, that it has received a
refund of any 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, it shall pay to the Borrower an amount equal to such
refund (but only to the extent of indemnity payments made, or additional
amounts paid, by the Borrower under this Section with respect to the Taxes or
Other Taxes giving rise to such refund), net of all out-of-pocket expenses of
the Administrative Agent, such Lender or the Issuing Lender, as the case may
be, 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, such Lender or the
Issuing Lender, agrees to repay the amount paid over to the Borrower (plus any
penalties, interest or other charges imposed by the relevant Governmental
Authority) to the Administrative Agent, such Lender or the Issuing Lender in
the event the Administrative Agent, such Lender or the Issuing Lender is
required to repay such refund to such Governmental Authority.  This paragraph shall not be construed to
require the Administrative Agent, any Lender or the Issuing 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.

(g)           Survival.  Without prejudice to the survival of any
other agreement of the Borrower hereunder, the agreements and obligations of
the Borrower contained in this Section shall survive the payment in full of the
Obligations and the termination of the Commitments.

SECTION 4.12       Mitigation Obligations; Replacement of
Lenders.

(a)           Designation of a Different Lending Office. If any
Lender requests compensation under Section 4.10, or requires the
Borrower to pay any additional amount to any Lender or any Governmental
Authority for the account of any Lender pursuant to Section 4.11, then
such Lender shall use reasonable efforts to designate a different lending
office for funding or booking its Loans hereunder or to assign its rights and
obligations hereunder to another of its offices, branches or affiliates, if, in
the judgment of such Lender, such designation or assignment (i) would eliminate
or reduce amounts payable pursuant to Section 4.10 or Section 4.11,
as the case may be, in the future and (ii) would not subject such Lender to any
unreimbursed cost or expense and would not otherwise be disadvantageous to such
Lender. The Borrower hereby agrees to pay all reasonable costs and expenses
incurred by any Lender in connection with any such designation or assignment.

(b)           Replacement of Lenders.  If any Lender requests compensation under Section
4.10, or if the Borrower is required to pay any additional amount to any
Lender or any Governmental Authority for the account of any Lender pursuant to Section
4.11, or if any Lender defaults in its obligation to fund Loans hereunder,
then the Borrower may, at its sole expense and effort, upon notice to such
Lender and the Administrative Agent, require such Lender to assign and
delegate, without recourse (in accordance with and subject to the restrictions
contained in, and consents required by, Section 13.10), all of its
interests, rights and obligations under this Agreement and the related Loan
Documents to an assignee that shall assume such obligations (which assignee may
be another Lender, if a Lender accepts such assignment); provided that

 44
 

(i)            the Borrower (or in the case of an assignment resulting
from a Lender defaulting in its obligation to fund Loans hereunder, such
defaulting Lender) shall have paid to the Administrative Agent the assignment
fee specified in Section 13.10,

(ii)           such Lender shall have received payment of an amount equal
to the outstanding principal of its Loans and participations in Letters of
Credit, accrued interest thereon, accrued fees and all other amounts payable to
it hereunder and under the other Loan Documents (including any amounts under Section
4.9) from the assignee (to the extent of such outstanding principal and
accrued interest and fees) or the Borrower (in the case of all other amounts),

(iii)          in the case of any such assignment resulting from a claim
for compensation under Section 4.10 or payments required to be made
pursuant to Section 4.11, such assignment will result in a reduction in
such compensation or payments thereafter, and

(iv)          such assignment does not conflict with Applicable Law.

A Lender shall not be required
to make any such assignment or delegation if, prior thereto, as a result of a
waiver by such Lender or otherwise, the circumstances entitling the Borrower to
require such assignment and delegation cease to apply.

ARTICLE V

CLOSING;
CONDITIONS OF CLOSING AND BORROWING

SECTION 5.1         Closing.  The
closing shall take place at the offices of Kennedy Covington Lobdell &
Hickman, L.L.P. at 10:00 a.m. on September 29, 2006, or on such other place,
date and time as the parties hereto shall mutually agree.

SECTION 5.2         Conditions to Closing and Initial
Extensions of Credit.  The obligation of the
Lenders to close this Agreement and to make the initial Loan or issue or
participate in the initial Letter of Credit, if any, is subject to the
satisfaction of each of the following conditions:

(a)           Executed
Loan Documents.  This Agreement, a
Revolving Credit Note in favor of each Revolving Credit Lender requesting a
Revolving Credit Note, a Swingline Note in favor of the Swingline Lender (if
requested thereby), together with any other applicable Loan Documents, shall
have been duly authorized, executed and delivered to the Administrative Agent
by the parties thereto, shall be in full force and effect and no Default or
Event of Default shall exist hereunder or thereunder.

(b)           Closing
Certificates; Etc.  The
Administrative Agent shall have received each of the following in form and
substance reasonably satisfactory to the Administrative Agent:

(i)            Officer’s
Certificate of the Borrower.  A
certificate from a Responsible Officer of the Borrower to the effect that (A)
all representations and warranties of the Borrower and its Subsidiaries
contained in this Agreement and the other Loan Documents are true, correct and
complete; (B) neither the Borrower nor any of its Subsidiaries is in violation
of any of the covenants contained in this Agreement and the other Loan Documents;
(C) after giving effect to

 45
 

the transactions contemplated by this Agreement, no Default or Event of
Default has occurred and is continuing; (D) each Credit Party has satisfied
each of the conditions set forth in Section 5.2 and Section 5.3;
(E) the Borrower and each of its Subsidiaries are each Solvent; (F) the
Borrower’s payables are current and not past due; (G) the financial projections
previously delivered to the Administrative Agent represent good faith estimates
(utilizing reasonable assumptions) of the financial condition and operations of
the Borrower and its Subsidiaries; and (H) attached thereto are calculations
evidencing compliance on a pro  forma basis with the covenants
contained in Article IX.

(ii)           Certificate
of Secretary of each Credit Party.  A
certificate of a Responsible Officer of each Credit Party certifying as to the
incumbency and genuineness of the signature of each officer of such Credit
Party executing Loan Documents to which it is a party and certifying that
attached thereto is a true, correct and complete copy of (A) the articles or
certificate of incorporation or formation of such Credit Party and all
amendments thereto, certified as of a recent date by the appropriate
Governmental Authority in its jurisdiction of incorporation or formation, (B)
the bylaws or other governing document of such Credit Party as in effect on the
Closing Date, (C) resolutions duly adopted by the board of directors or other
governing body of such Credit Party authorizing the transactions contemplated
hereunder and the execution, delivery and performance of this Agreement and the
other Loan Documents to which it is a party, and (D) each certificate required
to be delivered pursuant to Section 5.2(b)(iii).

(iii)          Certificates
of Good Standing.  Certificates as of
a recent date of the good standing of each Credit Party under the laws of its
jurisdiction of organization and, to the extent requested by the Administrative
Agent, each other jurisdiction where such Credit Party is qualified to do
business and, to the extent available, a certificate of the relevant taxing
authorities of such jurisdictions certifying that such Credit Party has filed
required tax returns and owes no delinquent taxes.

(iv)          Opinions
of Counsel.  Favorable opinions of
counsel to the Credit Parties addressed to the Administrative Agent and the
Lenders with respect to the Credit Parties, the Loan Documents and such other
matters as the Lenders shall request.

(v)           Tax
Forms.  Copies of the United States
Internal Revenue Service forms required by Section 4.11(e).

(c)           P&H
Acquisition.

(i)            P&H
Purchase Agreement.  The Administrative
Agent shall have received the P&H Purchase Agreement and such additional documents and information
relating to the P&H Acquisition as
the Administrative Agent shall reasonably request, each of which shall be in
form and substance reasonably satisfactory to the Administrative Agent.

(ii)           P&H
Acquisition.  The P&H Acquisition
shall have been consummated (or will be consummated simultaneously with the
execution and delivery of this Agreement) in accordance with the terms and
conditions of the P&H Purchase Agreement and no provision of the P&H
Purchase Agreement shall have been amended or waived by any party thereto
without the prior written consent of the Administrative Agent.

 46
 

(iii)          Governmental and Third Party Approvals.  The Administrative Agent shall have received
evidence satisfactory thereto that all governmental, shareholder and third
party consents and approvals necessary in connection with the P&H
Acquisition (including, without limitation, any approvals required under the
Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended) shall have
been obtained and remain in effect.

(d)           Consents;
Defaults.

(i)            Governmental
and Third Party Approvals.  The
Credit Parties shall have received all material governmental, shareholder and
third party consents and approvals necessary (or any other material consents as
determined in the reasonable discretion of the Administrative Agent) in
connection with the transactions contemplated by this Agreement and the other
Loan Documents and the other transactions contemplated hereby and all
applicable waiting periods shall have expired without any action being taken by
any Person that could reasonably be expected to restrain, prevent or impose any
material adverse conditions on any of the Credit Parties or such other
transactions or that could seek or threaten any of the foregoing, and no law or
regulation shall be applicable which in the reasonable judgment of the
Administrative Agent could reasonably be expected to have such effect.

(ii)           No
Injunction, Etc.  No action,
proceeding, investigation, regulation or legislation shall have been
instituted, threatened or proposed before any Governmental Authority to enjoin,
restrain, or prohibit, or to obtain substantial damages in respect of, or which
is related to or arises out of this Agreement or the other Loan Documents or
the consummation of the transactions contemplated hereby or thereby, or which,
in the Administrative Agent’s sole discretion, would make it inadvisable to
consummate the transactions contemplated by this Agreement or the other Loan
Documents or the consummation of the transactions contemplated hereby or
thereby.

(e)           Financial
Matters.

(i)            Financial
Statements.  The Administrative Agent
shall have received (A) the audited Consolidated balance sheet of the Borrower
and its Subsidiaries as of September 30, 2005 and the related audited
statements of income and retained earnings and cash flows for the Fiscal Year
then ended and (B) unaudited Consolidated balance sheets of the Borrower and
its Subsidiaries and related unaudited interim statements of income and
retained earnings for each fiscal quarter ended after the most recent audited
financial statements delivered pursuant to clause (A) above and more than
forty-five (45) days prior to the date hereof.

(ii)           Financial
Projections.  Pro forma Consolidated
financial statements for the Borrower and its Subsidiaries, and forecasts
prepared by management of the Borrower, of balance sheets, income statements
and cash flow statements on a quarterly basis for the first year following the
Closing Date and on an annual basis for each year thereafter during the term of
the Credit Facility.

(iii)          Payment
at Closing; Fee Letters. The Borrower shall have paid to the Administrative
Agent and the Lenders the fees set forth or referenced in Section 4.3
and any other accrued and unpaid fees or commissions due hereunder (including,
without limitation, legal

 47
 

fees and expenses) and to any other Person such amount as may be due
thereto in connection with the transactions contemplated hereby, including all
taxes, fees and other charges in connection with the execution, delivery,
recording, filing and registration of any of the Loan Documents.

(f)            Notice
of Borrowing.  The Administrative
Agent shall have received a Notice of Borrowing from the Borrower in accordance
with Section 2.3(a) with respect to any amounts to be borrowed on the
Closing Date, and a Notice of Account Designation specifying the account or
accounts to which the proceeds of any Loans made after the Closing Date are to
be disbursed.

SECTION 5.3         Conditions to All Extensions of
Credit.  The obligations of the
Lenders to make any Extensions of Credit (including the initial Extension of
Credit), convert or continue any Loan and/or the Issuing Lender to issue or
extend any Letter of Credit are subject to the satisfaction of the following
conditions precedent on the relevant borrowing, continuation, conversion,
issuance or extension date:

(a)           Continuation
of Representations and Warranties. 
The representations and warranties contained in Article VI shall
be true and correct on and as of such borrowing, continuation, conversion,
issuance or extension date with the same effect as if made on and as of such
date, except for any representation and warranty made as of an earlier date,
which representation and warranty shall remain true and correct as of such
earlier date.

(b)           No
Existing Default.  No Default or
Event of Default shall have occurred and be continuing (i) on the borrowing,
continuation or conversion date with respect to such Loan or after giving
effect to the Loans to be made, continued or converted on such date or (ii) on
the issuance or extension date with respect to such Letter of Credit or after
giving effect to the issuance or extension of such Letter of Credit on such
date.

(c)           Notices.  The Administrative Agent shall have received
a Notice of Borrowing or Notice of Conversion/Continuation, as applicable, from
the Borrower in accordance with Section 2.3(a), 2.8 or Section 4.2.

ARTICLE VI

REPRESENTATIONS
AND WARRANTIES OF THE BORROWER

SECTION 6.1         Representations and Warranties.  To induce the
Administrative Agent and Lenders to enter into this Agreement and to induce the
Lenders to make Extensions of Credit, the Borrower hereby represents and
warrants to the Administrative Agent and Lenders both before and after giving
effect to the transactions contemplated hereunder that:

(a)           Organization;
Power; Qualification.  Each of the
Borrower and its Subsidiaries is duly organized, validly existing and in good
standing under the laws of the jurisdiction of its incorporation or formation,
has the power and authority to own its properties and to carry on its business
as now being and hereafter proposed to be conducted and is duly qualified and
authorized to do business in each jurisdiction in which the character of its
properties or the nature of its business requires such qualification and
authorization except in jurisdictions where the 

 48
 

failure to be so
qualified or in good standing could not reasonably be expected to result in a
Material Adverse Effect.  The
jurisdictions in which the Borrower and its Subsidiaries are organized and
qualified to do business as of the Closing Date are described on Schedule
6.1(a).

(b)           Ownership.  Each Subsidiary of the Borrower as of the Closing
Date is listed on Schedule 6.1(b). 
As of the Closing Date, the capitalization of the Borrower and its
Subsidiaries consists of the number of shares, authorized, issued and
outstanding, of such classes and series, with or without par value, described
on Schedule 6.1(b).  All
outstanding shares have been duly authorized and validly issued and are fully
paid and nonassessable, with no personal liability attaching to the ownership
thereof, and not subject to any preemptive or similar rights, except as described
in Schedule 6.1(b).  The
shareholders or other owners, as applicable, of Borrower and its Subsidiaries
and the number of shares or other ownership interests owned by each as of the
Closing Date are described on Schedule 6.1(b).  As of the Closing Date, there are no
outstanding stock purchase warrants, subscriptions, options, securities,
instruments or other rights of any type or nature whatsoever, which are
convertible into, exchangeable for or otherwise provide for or permit the
issuance of Capital Stock of the Borrower or its Subsidiaries, except as
described on Schedule 6.1(b).

(c)           Authorization
of Agreement, Loan Documents and Borrowing. Each of the Borrower and its
Subsidiaries has the right, power and authority and has taken all necessary
corporate and other action to authorize the execution, delivery and performance
of this Agreement and each of the other Loan Documents to which it is a party
in accordance with their respective terms. 
This Agreement and each of the other Loan Documents have been duly
executed and delivered by the duly authorized officers of the Borrower and each
of its Subsidiaries party thereto, and each such document constitutes the
legal, valid and binding obligation of the Borrower or its Subsidiary party
thereto, enforceable in accordance with its terms, except as such
enforceability may be limited by bankruptcy, insolvency, reorganization,
moratorium or similar state or federal debtor relief laws from time to time in
effect which affect the enforcement of creditors’ rights in general and the
availability of equitable remedies.

(d)           Compliance
of Agreement, Loan Documents and Borrowing with Laws, Etc.  The execution, delivery and performance by
the Borrower and its Subsidiaries of the Loan Documents to which each such
Person is a party, in accordance with their respective terms, the Extensions of
Credit hereunder and the transactions contemplated hereby or thereby do not and
will not, by the passage of time, the giving of notice or otherwise, (i)
require any material Governmental Approval relating to the Borrower or any of
its Subsidiaries, (ii) violate any material provision of Applicable Law
relating to the Borrower or any of its Subsidiaries, (iii) conflict with,
result in a breach of or constitute a default under the articles of
incorporation, bylaws or other organizational documents of the Borrower or any
of its Subsidiaries, (iv) conflict with, result in a breach of or constitute a
default under any indenture, agreement or other instrument to which such Person
is a party or by which any of its properties may be bound or any Governmental
Approval relating to such Person, which could reasonably be expected to have a
Material Adverse Effect, (v) result in or require the creation or imposition of
any Lien upon or with respect to any property now owned or hereafter acquired
by such Person other than Liens arising under the Loan Documents or (vi)
require any consent or authorization of, filing with, or other act in respect
of, an arbitrator or Governmental Authority and no consent of any other Person
is required in connection with the execution, delivery, performance, validity
or 

 49
 

enforceability of
this Agreement other than (A) consents, authorizations, filings or other acts
or consents for which the failure to obtain or make could not reasonably be
expected to have a Material Adverse Effect and (B) consents or filings, if any,
under the UCC.

(e)           Compliance
with Law; Governmental Approvals. 
Each of the Borrower and its Subsidiaries (i) has all Governmental
Approvals required by any Applicable Law for it to conduct its business, each
of which is in full force and effect, is final and not subject to review on
appeal and is not the subject of any pending or, to its knowledge after due
inquiry, threatened attack by direct or collateral proceeding, (ii) is in
compliance with each Governmental Approval applicable to it and in compliance
with all other Applicable Laws relating to it or any of its respective
properties and (iii) has timely filed all material reports, documents and other
materials required to be filed by it under all Applicable Laws with any
Governmental Authority and has retained all material records and documents
required to be retained by it under Applicable Law, except in each such case
set forth in clauses (i), (ii) or (iii) where the failure to have, comply, file
or retain could not reasonably be expected to have a Material Adverse
Effect.  Neither the Borrower nor any of
its Subsidiaries (x) is engaged principally or as one of its activities in the
business of extending credit for the purpose of “purchasing” or “carrying” any “margin
stock” (as each such term is defined or used, directly or indirectly, in
Regulation U of the Board of Governors of the Federal Reserve System), (y) is
an “investment company” or a company “controlled” by an “investment company”
(as each such term is defined or used in the Investment Company Act of 1940, as
amended) or (z) is, or after giving effect to any Extension of Credit will be,
subject to regulation under the Interstate Commerce Act, as amended, or any
other Applicable Law which limits its ability to incur or consummate the
transactions contemplated hereby or by the other Loan Documents to which it is
a party.  No part of the proceeds of any
of the Loans or Letters of Credit will be used (A) for purchasing or carrying
margin stock (other than the purchase by the Borrower of its Capital Stock
pursuant to the stock buyback program of the Borrower; provided that, to
the extent reasonably requested by the Administrative Agent or any Lender at
any time, the Borrower shall provide to the Administrative Agent or such Lender
a Federal Reserve Form U-1 statement of purpose in connection with any such
purchase) or (B) for any purpose which violates, or which would be inconsistent
with, the provisions of Regulation T, U or X of such Board of Governors.

(f)            Tax
Returns and Payments.  Each of the
Borrower and each of its Subsidiaries has duly filed or caused to be filed all
federal, state, local and other material tax returns required by Applicable Law
to be filed, and has paid, or made adequate provision for the payment of, all
federal, state, local and other material taxes, assessments and governmental
charges or levies upon it and its property, income, profits and assets which
are due and payable (other than any amount the validity of which is currently
being contested in good faith by appropriate proceedings and with respect to
which reserves in conformity with GAAP have been provided for on the books of
such Person).  Such returns accurately
reflect in all material respects all liability for taxes of the Borrower and
its Subsidiaries for the periods covered thereby.  There is no ongoing audit or examination or,
to the knowledge of the Borrower, other investigation by any Governmental
Authority of the tax liability of the Borrower or any of its Subsidiaries
except as could not reasonably be expected to have a Material Adverse
Effect.  No Governmental Authority has
asserted any Lien or other claim against the Borrower or any of its
Subsidiaries with respect to unpaid taxes which has not been discharged or
resolved other than (i) any amount the validity of which is currently being
contested in good faith by appropriate proceedings and 

 50
 

with respect to which reserves in conformity with GAAP have been provided
for on the books of such Person and (ii) Permitted Liens.  The charges, accruals and reserves on the
books of the Borrower or any of its Subsidiaries in respect of federal, state,
local and other material taxes for all Fiscal Years and portions thereof since
the organization of the Borrower or such Subsidiary are in the judgment of the
Borrower adequate, and the Borrower does not anticipate any material amount of
additional taxes or assessments for any of such years.

(g)           Environmental
Matters.  Except as could not
reasonably be expected, individually or in the aggregate, to have a Material
Adverse Effect,

(i)            the
properties owned, leased or operated by the Borrower and its Subsidiaries now
or in the past do not contain, and to their knowledge have not previously
contained, any Hazardous Materials in amounts or concentrations which (A)
constitute or constituted a violation of applicable Environmental Laws or (B)
could give rise to liability under applicable Environmental Laws;

(ii)           the
Borrower, each of its Subsidiaries and such properties and all operations
conducted in connection therewith are in compliance, and have been in
compliance, with all applicable Environmental Laws, and there is no
contamination at, under or about such properties or such operations which could
interfere with the continued operation of such properties or impair the fair
saleable value thereof;

(iii)          neither
the Borrower nor any of its Subsidiaries has received any written notice of
violation, alleged violation, non-compliance, liability or potential liability
regarding Environmental Claims, Hazardous Materials, or compliance with
Environmental Laws, nor does the Borrower or any of its Subsidiaries have
knowledge or reason to believe that any such notice will be received or is being
threatened;

(iv)          Hazardous
Materials have not been transported or disposed of to or from the properties
owned, leased or operated by the Borrower and its Subsidiaries in violation of,
or in a manner or to a location which could give rise to liability under,
Environmental Laws, nor have any Hazardous Materials been generated, treated,
stored or disposed of at, on or under any of such properties in violation of,
or in a manner that could give rise to liability under, any applicable
Environmental Laws;

(v)           no
judicial proceedings or governmental or administrative action is pending, or,
to the knowledge of the Borrower, threatened, under any Environmental Law to
which the Borrower or any of its Subsidiaries is or will be named as a
potentially responsible party with respect to such properties or operations
conducted in connection therewith, 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 Borrower, any Subsidiary or such properties or such operations;
and

(vi)          there
has been no release, or to the Borrower’s knowledge after due inquiry, threat
of release, of Hazardous Materials at or from properties owned, leased or
operated by the Borrower or any Subsidiary, now or in the past, in violation of
or in amounts or in a manner that could give rise to liability under
Environmental Laws.

 

 51

(h)           ERISA.

(i)            As
of the Closing Date, no Credit Party and no ERISA Affiliate maintains or
contributes to, or has any obligation under, any Employee Benefit Plans or
Multiemployer Plans other than those identified on Schedule 6.1(h);

(ii)           Each
Credit Party and each ERISA Affiliate is in compliance with all applicable
provisions of ERISA with respect to all Employee Benefit Plans or Multiemployer
Plans, except for any required amendments for which the remedial amendment
period as defined in Section 401(b) of the Code has not yet expired and except
where a failure to so comply could not reasonably be expected to have a
Material Adverse Effect.  Each Employee
Benefit Plan that is intended to be qualified under Section 401(a) of the Code
has been determined by the Internal Revenue Service to be so qualified, and
each trust related to such plan has been determined to be exempt under Section
501(a) of the Code, except for such plans that have not yet received
determination letters but for which the remedial amendment period for
submitting a determination letter application has not yet expired.  No liability has been incurred by any Credit
Party or any ERISA Affiliate which remains unsatisfied for any taxes or
penalties with respect to any Employee Benefit Plan or any Multiemployer Plan
except for a liability that could not reasonably be expected to have a Material
Adverse Effect;

(iii)          As
of the Closing Date, no Pension Plan has been terminated, nor has any
accumulated funding deficiency (as defined in Section 412 of the Code) been
incurred (without regard to any waiver granted under Section 412 of the Code),
nor has any funding waiver from the Internal Revenue Service been received or
requested with respect to any Pension Plan, nor has any Credit Party or any
ERISA Affiliate failed to make any contributions or to pay any amounts due and
owing as required by Section 412 of the Code, Section 302 of ERISA or the terms
of any Pension Plan prior to the due dates of such contributions under Section
412 of the Code or Section 302 of ERISA, nor has there been any event requiring
any disclosure under Section 4041(c)(3)(C) or 4063(a) of ERISA with respect to
any Pension Plan;

(iv)          Except
where the failure of any of the following representations to be correct in all
material respects could not reasonably be expected to have a Material Adverse
Effect, no Credit Party and no ERISA Affiliate has:  (A) engaged in a nonexempt prohibited
transaction described in Section 406 of the ERISA or Section 4975 of the Code,
(B) incurred any liability to the PBGC which remains outstanding other than the
payment of premiums and there are no premium payments which are due and unpaid,
(C) failed to make a required contribution or payment to a Multiemployer Plan
or (D) failed to make a required installment or other required payment under
Section 412 of the Code;

(v)           No
Termination Event has occurred or is reasonably expected to occur; and

(vi)          Except
where the failure of any of the following representations to be correct in all
material respects could not reasonably be expected to have a Material Adverse
Effect, no proceeding before any court, arbitrator or Governmental Authority,
claim (other than a benefits claim in the ordinary course of business), lawsuit
and/or investigation by any Governmental Authority is existing or, to the
knowledge of the Borrower after due inquiry, 

 52
 

threatened concerning or involving any (A) employee welfare benefit
plan (as defined in Section 3(1) of ERISA) currently maintained or contributed
to by any Credit Party or any ERISA Affiliate, (B) Pension Plan or (C)
Multiemployer Plan.

(i)            Employee
Relations. Neither the Borrower nor any of its Subsidiaries is, as of the
Closing Date, party to any collective bargaining agreement or has any labor
union been recognized as the representative of its employees except as set
forth on Schedule 6.1(i).  The
Borrower knows of no pending, threatened or contemplated strikes, work stoppage
or other collective labor disputes involving its employees or those of its
Subsidiaries that could reasonably be expected to have a Material Adverse
Effect.

(j)            Burdensome
Provisions.  Neither the Borrower nor
any of its Subsidiaries is a party to any indenture, agreement, lease or other
instrument, or subject to any corporate or partnership restriction, Governmental
Approval or Applicable Law which is so unusual or burdensome as in the
foreseeable future could be reasonably expected to have a Material Adverse
Effect.  The Borrower and its
Subsidiaries do not presently anticipate that future expenditures needed to
meet the provisions of any statutes, orders, rules or regulations of a
Governmental Authority will be so burdensome as to have a Material Adverse
Effect.  No Subsidiary is party to any
agreement or instrument or otherwise subject to any restriction or encumbrance
that restricts or limits its ability to make dividend payments or other
distributions in respect of its Capital Stock to the Borrower or any Subsidiary
or to transfer any of its assets or properties to the Borrower or any other
Subsidiary in each case other than existing under or by reason of the Loan
Documents or Applicable Law.

(k)           Financial
Statements.  The (i) audited
financial statements delivered pursuant to Section 5.2(e)(i)(A), (ii)
unaudited financial statements delivered pursuant to Section 5.2(e)(i)(B),
are complete and correct and fairly present on a Consolidated basis the assets,
liabilities and financial position of the Borrower and its Subsidiaries as at
such dates, and the results of the operations and changes of financial position
for the periods then ended (other than (A) customary year-end adjustments for
unaudited financial statements and (B) the potential non-cash restatement of
retained earnings (to the extent such restatement impacts retained earnings as
shown on the balance sheets delivered pursuant to Section 5.2(e)(i)(A)
and Section 5.2(e)(i)(B)) as specifically disclosed in writing to the
Administrative Agent and the Lenders prior to the date hereof).  All such financial statements, including the
related schedules and notes thereto, have been prepared in accordance with
GAAP.  Such financial statements show all
material indebtedness and other material liabilities, direct or contingent, of
the Borrower and its Subsidiaries as of the date thereof, including material
liabilities for taxes, material commitments, and Indebtedness, in each case, to
the extent required to be disclosed under GAAP. 
The pro  forma financial statements and forecasts delivered
pursuant to Section 5.2(e)(ii) were prepared in good faith on the basis
of the assumptions stated therein, which assumptions are reasonable in light of
then existing conditions except that such financial statements and forecasts
shall be subject to normal year end closing and audit adjustments.

(l)            No
Material Adverse Change.  Since
September 30, 2005, there has been no material adverse change in the business,
assets, liabilities (contingent or otherwise), operations or condition
(financial or otherwise) of the Borrower and its Subsidiaries, taken as a
whole, and no 

 53
 

event has occurred or condition arisen that could reasonably be
expected to have a Material Adverse Effect.

(m)          Solvency.  As of the Closing Date and after giving
effect to each Extension of Credit made hereunder, the Borrower and each of its
Subsidiaries, taken as a whole, will be Solvent.

(n)           Titles
to Assets.  Each of the Borrower and
each of its Subsidiaries has (i) such title to the real property owned or
leased by it as is necessary or desirable to the conduct of its business and
(ii) valid and legal title to all of its personal property and assets,
including, but not limited to, (A) all material franchises, licenses,
copyrights, copyright applications, patents, patent rights or licenses, patent
applications, trademarks, trademark rights, service marks, service mark rights,
trade names, trade name rights and other rights with respect to the foregoing
which are reasonably necessary to conduct its business and (B) those reflected
on the balance sheets of the Borrower and its Subsidiaries delivered pursuant
to Section 5.2(e), except those properties and/or assets reflected on
such balance sheet which have been disposed of by the Borrower or its
Subsidiaries subsequent to such date which dispositions have been in the
ordinary course of business or as otherwise expressly permitted hereunder.  No event has occurred which permits, or after
notice or lapse of time or both would permit, the revocation or termination of
any rights set forth in clause (ii)(A) above, and neither the Borrower nor any
of its Subsidiaries is liable to any Person for infringement under Applicable
Law with respect to any such rights as a result of its business operations,
except as could not reasonably be expected to have a Material Adverse Effect.

(o)           Insurance.  The properties of the Borrower and its
Subsidiaries are insured with financially sound and reputable insurance
companies not Affiliates of the Borrower, in such amounts, with such
deductibles and covering such risks as are customarily carried by companies
engaged in similar businesses and owning similar properties in locations where
the Borrower or the applicable Subsidiary operates.

(p)           Liens.  None of the properties and assets of the
Borrower or any of its Subsidiaries is subject to any Lien, except Permitted
Liens.  Neither the Borrower nor any of
its Subsidiaries has signed any financing statement or any security agreement
authorizing any secured party thereunder to file any financing statement,
except to perfect those Permitted Liens.

(q)           Indebtedness
and Guaranty Obligations.  Schedule
6.1(q) is a complete and correct listing of all Indebtedness and Guaranty
Obligations of the Borrower and its Subsidiaries as of the Closing Date.  The Borrower and its Subsidiaries have
performed and are in compliance with all of the material terms of such
Indebtedness and Guaranty Obligations and all instruments and agreements
relating thereto, and no default or event of default, or event or condition
which with notice or lapse of time or both would constitute such a default or
event of default on the part of the Borrower or any of its Subsidiaries exists
with respect to any such Indebtedness or Guaranty Obligation.

(r)            Litigation.  Except for (i) the Class Action Suit and (ii)
any other matter that could not reasonably be expected to have a Material
Adverse Effect, there are no actions, suits or proceedings pending nor, to the
knowledge of the Borrower, threatened against or in any other 

 54
 

way relating adversely to or affecting the Borrower or any of its
Subsidiaries or any of their respective properties in any court or before any
arbitrator of any kind or before or by any Governmental Authority.

(s)           Absence
of Defaults.  No event has occurred
or is continuing (i) which constitutes a Default or an Event of Default, or
(ii) which constitutes, or which with the passage of time or giving of notice
or both would constitute, a default or event of default by the Borrower or any
of its Subsidiaries under any Material Contract or judgment, decree or order to
which the Borrower or its Subsidiaries is a party or by which the Borrower or
its Subsidiaries or any of their respective properties may be bound or which
would require the Borrower or its Subsidiaries to make any payment thereunder
prior to the scheduled maturity date therefor that, in any case under clause
(ii) could, either individually or in the aggregate, reasonably be expected to
have a Material Adverse Effect.

(t)            OFAC.  None of the Borrower, any Subsidiary of the
Borrower or any Affiliate of the Borrower or any Subsidiary Guarantor: (i) is a
Sanctioned Person, (ii) has more than 10% of its assets in Sanctioned Entities,
or (iii) derives more than 10% of its operating income from investments in, or
transactions with Sanctioned Persons or Sanctioned Entities.  The proceeds of any Loan will not be used and
have not been used to fund any operations in, finance any investments or
activities in, or make any payments to, a Sanctioned Person or a Sanctioned
Entity.

(u)           Disclosure.  The Borrower and/or its Subsidiaries have
disclosed to the Administrative Agent and the Lenders all agreements,
instruments and corporate or other restrictions to which the Borrower or any of
its Subsidiaries are subject, and all other matters known to it, that,
individually or in the aggregate, could reasonably be expected to result in a Material
Adverse Effect.  No financial statement,
material report, material certificate or other material information furnished
(whether in writing or orally), taken together as a whole, by or on behalf of
any of the Borrower or any of its Subsidiaries to the Administrative Agent or
any Lender in connection with the transactions contemplated hereby and the
negotiation of this Agreement or delivered hereunder (as modified or
supplemented by other information so furnished) contains any material
misstatement of fact or omits to state any material fact necessary to make the
statements therein, in the light of the circumstances under which they were
made, not misleading; provided that, with respect to projected financial
information, pro forma financial information, estimated financial information
and other projected or estimated information, such information was prepared in
good faith based upon assumptions believed to be reasonable at the time.

SECTION 6.2         Survival of Representations and
Warranties, Etc.  All representations and
warranties set forth in this Article VI and all representations and
warranties contained in any certificate, or any of the Loan Documents
(including, but not limited to, any such representation or warranty made in or
in connection with any amendment thereto) shall constitute representations and
warranties made under this Agreement. 
All representations and warranties made under this Agreement shall be
made or deemed to be made at and as of the Closing Date (except those that are
expressly made as of a specific date), shall survive the Closing Date and shall
not be waived by the execution and delivery of this Agreement, any
investigation made by or on behalf of the Lenders or any borrowing hereunder.

 55
 

ARTICLE VII

FINANCIAL
INFORMATION AND NOTICES

Until all the Obligations have been paid and satisfied in full and the
Commitments terminated, unless consent has been obtained in the manner set
forth in Section 13.2, the Borrower will furnish or cause to be
furnished to the Administrative Agent at the Administrative Agent’s Office at
the address set forth in Section 13.1 and to the Lenders at their
respective addresses as set forth on the Register, or such other office as may
be designated by the Administrative Agent and Lenders from time to time:

SECTION 7.1         Financial Statements and Projections.

(a)           Quarterly
Financial Statements.  As soon as
practicable and in any event within forty-five (45) days (or, if earlier, on
the date of any required public filing thereof) after the end of each of the
first three (3) fiscal quarters of each Fiscal Year, an unaudited Consolidated
balance sheet of the Borrower and its Subsidiaries as of the close of such
fiscal quarter and unaudited Consolidated statements of income and cash flows
and a report containing management’s discussion and analysis of such financial
statements for the fiscal quarter then ended and that portion of the Fiscal
Year then ended, including the notes thereto, all in reasonable detail setting
forth in comparative form the corresponding figures as of the end of and for
the corresponding period in the preceding Fiscal Year and prepared by the
Borrower in accordance with GAAP and, if applicable, containing disclosure of
the effect on the financial position or results of operations of any change in
the application of accounting principles and practices during the period, and
certified by the chief financial officer of the Borrower to present fairly in
all material respects the financial condition of the Borrower and its
Subsidiaries on a Consolidated basis as of their respective dates and the
results of operations of the Borrower and its Subsidiaries for the respective
periods then ended, subject to normal year end adjustments.  Delivery by the Borrower to the Administrative
Agent and the Lenders of the Borrower’s quarterly report to the SEC on Form
10-Q with respect to any fiscal quarter, or the availability of such report on
EDGAR Online, within the period specified above shall be deemed to be
compliance by the Borrower with this Section 7.1(a).

(b)           Annual
Financial Statements.  As soon as
practicable and in any event within eighty-five (85) days (or, if earlier, on
the date of any required public filing thereof) after the end of each Fiscal
Year, an audited Consolidated balance sheet of the Borrower and its
Subsidiaries as of the close of such Fiscal Year and audited Consolidated
statements of income, retained earnings and cash flows and a report containing
management’s discussion and analysis of such financial statements for the
Fiscal Year then ended, including the notes thereto, all in reasonable detail
setting forth in comparative form the corresponding figures as of the end of
and for the preceding Fiscal Year and prepared in accordance with GAAP and, if
applicable, containing disclosure of the effect on the financial position or
results of operations of any change in the application of accounting principles
and practices during the year.  Such
annual financial statements shall be audited by an independent certified public
accounting firm acceptable to the Administrative Agent, and accompanied by a
report thereon by such certified public accountants that is not qualified with
respect to scope limitations imposed by the Borrower or any of its Subsidiaries
or with respect to accounting principles followed by the Borrower or any of its

 56
 

Subsidiaries not in accordance with GAAP.  Delivery by the Borrower to the
Administrative Agent and the Lenders of the Borrower’s annual report to the SEC
on Form 10-K with respect to any fiscal quarter, or the availability of such
report on EDGAR Online, within the period specified above shall be deemed to be
compliance by the Borrower with this Section 7.1(b).

(c)           Annual
Business Plan and Financial Projections. 
As soon as practicable and in any event within ninety (90) days after
the beginning of each Fiscal Year, a business plan of the Borrower and its
Subsidiaries for such Fiscal Year, such plan to be prepared in accordance with
GAAP and to include, on a quarterly basis, the following:  a quarterly operating and capital budget, a
projected income statement, statement of cash flows and balance sheet,
accompanied by a certificate from a Responsible Officer of the Borrower to the
effect that, to the best of such officer’s knowledge, such projections are good
faith estimates (utilizing reasonable assumptions) of the financial condition
and operations of the Borrower and its Subsidiaries for such four (4) fiscal
quarter period.

SECTION 7.2         Officer’s Compliance Certificate.  At each time financial
statements are delivered pursuant to Sections 7.1(a) or (b) and
at such other times as the Administrative Agent shall reasonably request, an
Officer’s Compliance Certificate.

SECTION 7.3         Intentionally Omitted.

SECTION 7.4         Other Reports.  Promptly
upon receipt thereof, copies of all reports, if any, submitted to the Borrower
or its Board of Directors by its independent public accountants in connection
with their auditing function, including, without limitation, any management
report and any management responses thereto.

SECTION 7.5         Notice of Litigation and Other
Matters.  Prompt (but in no event
later than ten (10) days after an officer of the Borrower obtains knowledge
thereof) telephonic and written notice of:

(a)           the
commencement of all proceedings and investigations by or before any
Governmental Authority and all actions and proceedings in any court or before
any arbitrator against or involving the Borrower or any of its Subsidiaries or
any of their respective properties, assets or businesses that if adversely
determined could reasonably be expected to result in material liability to the
Borrower and its Subsidiaries;

(b)           any
notice of any violation received by the Borrower or any of its Subsidiaries
from any Governmental Authority including, without limitation, any notice of
violation of Environmental Laws which in any such case could reasonably be
expected to have a Material Adverse Effect;

(c)           any
attachment, judgment, lien, levy or order exceeding $2,000,000 that may be
assessed against or threatened against the Borrower or any of its Subsidiaries;

(d)           (i)
any Default or Event of Default or (ii) any event which constitutes or
which with the passage of time or giving of notice or both would constitute a
default or event of default under any Material Contract to which the Borrower or
any of its Subsidiaries is a party or by 

 57
 

which the Borrower or any of its Subsidiaries or any of their
respective properties may be bound which, in the case of clause (ii), could
reasonably be expected to have a Material Adverse Effect;

(e)           except
for any such event or condition that could not reasonably be expected to have a
Material Adverse Effect, (i) any unfavorable determination letter from the
Internal Revenue Service regarding the qualification of an Employee Benefit
Plan under Section 401(a) of the Code (along with a copy thereof), (ii) all
notices received by any Credit Party or any ERISA Affiliate of the PBGC’s
intent to terminate any Pension Plan or to have a trustee appointed to
administer any Pension Plan, (iii) all notices received by any Credit Party or
any ERISA Affiliate from a Multiemployer Plan sponsor concerning the imposition
or amount of withdrawal liability imposed pursuant to Section 4202 of ERISA and
(iv) the Borrower obtaining knowledge or reason to know that any Credit Party or
any ERISA Affiliate has filed a notice of intent to terminate any Pension Plan
under a distress termination within the meaning of Section 4041(c) of ERISA;

(f)            any
event which makes any of the representations set forth in Section 6.1
that is subject to materiality or Material Adverse Effect qualifications
inaccurate in any respect or any event which makes any of the representations
set forth in Section 6.1 that is not subject to materiality or Material
Adverse Effect qualifications inaccurate in any material respect; and

(g)           any
material adverse development in the Class Action Suit.

SECTION 7.6         Accuracy of Information.  All written information,
reports, statements and other papers and data furnished by or on behalf of the
Borrower to the Administrative Agent or any Lender whether pursuant to this
Article VII or any other provision of this Agreement or any other Loan Document
shall, at the time the same is so furnished, comply with the representations
and warranties set forth in Section 6.1(u).

ARTICLE VIII

AFFIRMATIVE
COVENANTS

Until all of the Obligations have been paid and satisfied in full and
the Commitments terminated, unless consent has been obtained in the manner
provided for in Section 13.2, the Borrower will, and will cause each of
its Subsidiaries to:

SECTION 8.1         Preservation of Corporate Existence
and Related Matters.  Except as permitted by Section 10.4,
preserve and maintain its separate corporate existence and all rights,
franchises, licenses and privileges necessary to the conduct of its business,
and qualify and remain qualified as a foreign corporation and authorized to do
business in each jurisdiction in which the failure to so qualify could
reasonably be expected to have a Material Adverse Effect.

SECTION 8.2         Maintenance of Property.  Protect and preserve all properties necessary
in and material to its business, including copyrights, patents, trade names,
service marks and trademarks; maintain in good working order and condition,
ordinary wear and tear excepted, all buildings, equipment and other tangible
real and personal property necessary in and material to its business; and from
time to time make or cause to be made all repairs, renewals and 

 58
 

replacements thereof and
additions to such property necessary for the conduct of its business, so that
the business carried on in connection therewith may be conducted in a
commercially reasonable manner; except where the failure to do so could not
reasonably be expected to have a Material Adverse Effect.

SECTION 8.3         Insurance. 
Maintain insurance with financially sound and reputable insurance
companies against such risks and in such amounts as are customarily maintained
by similar businesses and as may be required by Applicable Law (including,
without limitation, hazard and business interruption insurance), and on the
Closing Date and from time to time thereafter deliver to the Administrative
Agent upon its request information in reasonable detail as to the insurance
then in effect, stating the names of the insurance companies, the amounts and
rates of the insurance, the dates of the expiration thereof and the properties
and risks covered thereby.

SECTION 8.4         Accounting Methods and Financial
Records.  Maintain a system of
accounting, and keep proper books, records and accounts (which shall be true
and complete in all material respects) as may be required or as may be
necessary to permit the preparation of financial statements in accordance with
GAAP and in compliance with the regulations of any Governmental Authority
having jurisdiction over it or any of its properties.

SECTION 8.5         Payment and Performance of
Obligations.  Pay and perform all
Obligations under this Agreement and the other Loan Documents, and pay or
perform (a) all taxes, assessments and other governmental charges that may be
levied or assessed upon it or any of its property, and (b) all other material
indebtedness, obligations and liabilities in accordance with customary trade
practices; provided, that the Borrower or such Subsidiary may contest
any item described in clauses (a) or (b) of this Section in good faith so long
as adequate reserves are maintained with respect thereto in accordance with
GAAP.

SECTION 8.6         Compliance With Laws and Approvals.  Observe and remain in
compliance in all respects with all Applicable Laws and maintain in full force
and effect all Governmental Approvals, in each case applicable to the conduct
of its business except where the failure to do so could not reasonably be
expected, individually or in the aggregate, to have a Material Adverse Effect.

SECTION 8.7         Environmental Laws.  In
addition to and without limiting the generality of Section 8.6,
(a) comply with, and ensure such compliance by all tenants and subtenants
with all applicable Environmental Laws and obtain and comply with and maintain,
and ensure that all tenants and subtenants, if any, obtain and comply with and
maintain, any and all licenses, approvals, notifications, registrations or
permits required by applicable Environmental Laws, except where the failure to
do so could not reasonably be expected, individually or in the aggregate, to
have a Material Adverse Effect and (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 any Governmental Authority regarding Environmental Laws,
except where the failure to do so could not reasonably be expected to have a
Material Adverse Effect.

 59
 

SECTION 8.8         Compliance with ERISA. In addition to and without
limiting the generality of Section 8.6, (a) except where the failure to
so comply could not, individually or in the aggregate, reasonably be expected
to have a Material Adverse Effect, (i) comply with all material applicable
provisions of ERISA with respect to all Employee Benefit Plans or Multiemployer
Plans, (ii) not take any action or fail to take action the result of which
could be a liability under Title IV of ERISA to the PBGC (other than the
payment of premiums) or to a Multiemployer Plan, (iii) not participate in any
prohibited transaction that could result in any civil penalty under Section
502(i) of ERISA or tax under Section 4975 of the Code and (iv) operate each
Employee Benefit Plan in such a manner that will not incur any tax liability
under Section 4980B of the Code or any penalty liability to any qualified
beneficiary as defined in Section 4980B of the Code and (b) furnish to the
Administrative Agent upon the Administrative Agent’s request such additional
information about any Employee Benefit Plan as may be reasonably requested by
the Administrative Agent.

SECTION 8.9         Visits and Inspections.  Permit representatives of the Administrative
Agent or any Lender from time to time (no more frequently than twice during any
year unless a Default or Event of Default shall have occurred and be
continuing) upon prior reasonable notice and at such times during normal
business hours, at the Borrower’s expense, to visit and inspect its properties;
inspect, audit and make extracts from its books, records and files, including,
but not limited to, management letters prepared by independent accountants; and
discuss with its principal officers, and its independent accountants, its
business, assets, liabilities, financial condition, results of operations and
business prospects.  Upon the occurrence
and during the continuance of an Event of Default, the Administrative Agent or
any Lender may do any of the foregoing at any time without advance notice.

SECTION 8.10       Additional Subsidiaries.       Notify the
Administrative Agent of the creation or acquisition of any (a) Domestic
Subsidiary and (b) Disregarded Foreign Entity and, provided that such entities
are not owned, directly or indirectly, by a Foreign Subsidiary that is not a
Disregarded Foreign Entity, (i) in the case of any Domestic Subsidiary,
promptly after such creation or acquisition (and in any event within thirty
(30) days after such creation or acquisition), cause such Domestic Subsidiary
to, or (ii) in the case of any Disregarded Foreign Entity, promptly upon the request
of the Administrative Agent (and in any event within thirty (30) days after
such request, or such longer period as may be agreed to by the Administrative
Agent in its sole discretion), cause such Person to (A) become a Subsidiary
Guarantor by delivering to the Administrative Agent a duly executed supplement
to the Subsidiary Guaranty Agreement or such other document as the
Administrative Agent shall deem appropriate for such purpose, (B) deliver to
the Administrative Agent such documents and certificates (including, without
limitation, legal opinions and, in the case of a Disregarded Foreign Entity,
legal opinions of local counsel) referred to in Section 5.2 as may be
reasonably requested by the Administrative Agent, (C) deliver to the
Administrative Agent such updated Schedules to the Loan Documents as requested
by the Administrative Agent with respect to such Person and (D) deliver to the
Administrative Agent such other documents as may be reasonably requested by the
Administrative Agent or required by the other Loan Documents, all in form,
content and scope reasonably satisfactory to the Administrative Agent.

SECTION 8.11       Use of Proceeds.  The
Borrower shall use the proceeds of the Extensions of Credit (a) to finance the
consummation of the P&H Acquisition, (b) for general 

 60
 

corporate purposes of the Borrower and its Subsidiaries, including,
without limitation, working capital, capital expenditures in the ordinary
course of business and Permitted Acquisitions and (c) the payment of certain
fees and expenses incurred in connection with the Credit Facility and the
P&H Acquisition.

SECTION 8.12       Further Assurances.  Make,
execute and deliver all such additional and further acts, things, deeds and
instruments as the Administrative Agent or the Required Lenders (through the
Administrative Agent) may reasonably require to document and consummate the
transactions contemplated hereby and to vest completely in and insure the
Administrative Agent and the Lenders their respective rights under this
Agreement, the Letters of Credit and the other Loan Documents.

ARTICLE IX

FINANCIAL
COVENANTS

Until all of the Obligations have been paid and satisfied in full and
the Commitments terminated, unless consent has been obtained in the manner set
forth in Section 13.2, the Borrower and its Subsidiaries on a
Consolidated basis will not:

SECTION 9.1         Total Leverage Ratio:  As
of any fiscal quarter end, permit the Consolidated Total Leverage Ratio to be
greater than or equal to 2.75 to 1.00.

SECTION 9.2         Interest Coverage Ratio:  As of any fiscal quarter end,
permit the Consolidated Interest Coverage Ratio to be less than or equal to
3.00 to 1.00.

ARTICLE X

NEGATIVE COVENANTS

Until all of the Obligations have been paid and satisfied in full and
the Commitments terminated, unless consent has been obtained in the manner set
forth in Section 13.2, the Borrower has not and will not and will not
permit any of its Subsidiaries to:

SECTION 10.1       Limitations
on Indebtedness.  Create, incur,
assume or suffer to exist any Indebtedness except:

(a)           the
Obligations (excluding Hedging Obligations permitted pursuant to Section
10.1(b));

(b)           Indebtedness
incurred in connection with a Hedging Agreement with a counterparty and upon
terms and conditions (including interest rate) reasonably satisfactory to the
Administrative Agent; provided, that any counterparty that is a Lender
shall be deemed satisfactory to the Administrative Agent;

(c)           Indebtedness
existing on the Closing Date and not otherwise permitted under this Section and
listed on Schedule 10.1, and the renewal, refinancing, extension and
replacement (but not the increase in the aggregate principal amount) thereof;

 61
 

(d)           purchase
money Indebtedness and Indebtedness incurred in connection with Capital Leases
in an aggregate amount not to exceed $10,000,000 on any date of determination;

(e)           Guaranty
Obligations of any Subsidiary in favor of the Administrative Agent for the
benefit of the Administrative Agent and the Lenders;

(f)            Guaranty
Obligations of any Subsidiary with respect to Indebtedness permitted pursuant
to subsections (a) through (d) of this Section;

(g)           Indebtedness
(i) of a Person that becomes a Subsidiary of the Borrower after the Closing
Date in connection with any Permitted Acquisition or (ii) assumed in connection
with any assets acquired in connection with any Permitted Acquisition, and the
refinancing, refunding, renewal and extension (but not the increase in the
aggregate principal amount) thereof; provided, that such Indebtedness
(x) exists at the time such Person becomes a Subsidiary or such assets are
acquired and is not created in contemplation of, or in connection with, such
Person becoming a Subsidiary or such assets being acquired and (y) shall not
exceed $10,000,000 in the aggregate on any date of determination;

(h)           Indebtedness
owed by any Subsidiary Guarantor to another Credit Party;

(i)            Subordinated
Indebtedness; provided that in the case of each issuance of Subordinated
Indebtedness, (i) no Default or Event of Default shall have occurred and be
continuing or would be caused by the issuance of such Subordinated Indebtedness
and (ii) the Administrative Agent shall have received satisfactory written
evidence that the Borrower would be in compliance with all covenants contained
in this Agreement on a pro  forma basis after giving effect to the
issuance of any such Subordinated Indebtedness;

(j)            Indebtedness
in respect of performance bonds, bid bonds, appeal bonds, bankers acceptances,
letters of credit, surety bonds or other similar obligations arising in the
ordinary course of business, and any refinancings thereof to the extent not
provided to secure the repayment of other Indebtedness;

(k)           Indebtedness
owed by any Subsidiary that is not a Credit Party to any other Subsidiary that
is not a Credit Party;

(l)            Indebtedness
owed by (i) any Credit Party to any Subsidiary which is not a Credit Party; provided
that such Indebtedness shall be subordinated to the Obligations in a manner
reasonably satisfactory to the Administrative Agent and (ii) any Subsidiary
which is not a Credit Party to any Credit Party; provided, that, if
requested by the Administrative Agent, such Indebtedness shall be payable on
demand; provided  further that the aggregate amount of all such
intercompany Indebtedness permitted pursuant to the foregoing clauses (i) and
(ii) and equity or capital investments permitted pursuant to Section 10.3(h),
in each case incurred or made after the Closing Date, shall not exceed
$50,000,000 outstanding on any date of determination (which amount shall be
calculated as the net balance of such loans, advances and equity and capital
investments as reduced by any repayments or distributions made with respect
thereto);

 62
 

(m)          so
long as no Default or Event of Default has occurred and is continuing or would
result therefrom, unsecured Indebtedness of the Borrower; provided, that
such Indebtedness shall be pari  passu with the Obligations; and

(n)           additional
Indebtedness of the Subsidiaries not otherwise permitted pursuant to this
Section in an aggregate amount outstanding not to exceed $5,000,000.

SECTION 10.2       Limitations on Liens.  Create, incur, assume or
suffer to exist, any Lien on or with respect to any of its assets or properties
(including, without limitation, shares of Capital Stock), real or personal,
whether now owned or hereafter acquired, except:

(a)           Liens
for taxes, assessments and other governmental charges or levies (excluding any
Lien imposed pursuant to any of the provisions of ERISA or Environmental Laws)
not yet due or as to which the period of grace (not to exceed sixty (60) days),
if any, related thereto has not expired or which are being contested in good
faith and by appropriate proceedings if adequate reserves are maintained to the
extent required by GAAP;

(b)           the
claims of materialmen, mechanics, carriers, warehousemen, processors or
landlords for labor, materials, supplies or rentals incurred in the ordinary
course of business, (i) which are not overdue for a period of more than thirty
(30) days or (ii) which are being contested in good faith and by appropriate
proceedings if adequate reserves are maintained to the extent required by GAAP;

(c)           Liens
consisting of deposits or pledges made in the ordinary course of business in
connection with, or to secure payment of, obligations under workers’
compensation, unemployment insurance or similar legislation, or deposits to
secure the performance of bids, tenders, trade contracts, liability to
insurance carriers and leases (other than Indebtedness), statutory obligations,
surety bonds (other than bonds related to judgments or litigation), performance
bonds, contractual or warranty obligations and other obligations of a like
nature incurred in the ordinary course of business;

(d)           Liens
constituting encumbrances in the nature of zoning restrictions, easements and
rights or restrictions of record on the use of real property, which in the
aggregate are not substantial in amount and which do not, in any case,
materially detract from the value of such property or impair the use thereof in
the ordinary conduct of business;

(e)           Liens,
if any, securing the Obligations;

(f)            Liens
on assets of any Subsidiary acquired pursuant to a Permitted Acquisition, or on
assets of any Subsidiary which are in existence at the time that such
Subsidiary is acquired pursuant to a Permitted Acquisition (provided that
such Liens (i) are not incurred in connection with, or in anticipation of, such
Permitted Acquisition, (ii) are applicable only to specific assets, (iii) are
not “blanket” or all asset Liens and (iv) do not attach to any other property
or assets of any Credit Party);

(g)           Liens
not otherwise permitted by this Section and in existence on the Closing Date
and described on Schedule 10.2;

 63
 

(h)           Liens
securing Indebtedness permitted under Section 10.1(d); provided
that (i) such Liens shall be created substantially simultaneously with the
acquisition or lease of the related asset, (ii) such Liens do not at any time
encumber any property other than the property financed by such Indebtedness,
(iii) the amount of Indebtedness secured thereby is not increased and (iv) the
principal amount of Indebtedness secured by any such Lien shall at no time
exceed one hundred percent (100%) of the original purchase price or lease
payment amount of such property at the time it was acquired;

(i)            (i)
Liens of a collecting bank arising in the ordinary course of business under
Section 4-208 of the Uniform Commercial Code in effect in the relevant
jurisdiction and (ii) Liens of any depositary bank in connection with
statutory, common law and contractual rights of set-off and recoupment with
respect to any deposit account of the Borrower or any of its Subsidiaries;

(j)            Liens
securing judgments for the payment of money not constituting an Event of
Default under Section 11.1(m) or securing appeal or other surety bonds
related to such judgments;

(k)           any
extension, renewal or replacement of any Lien permitted by clauses (a) through
(j); provided that (i) the Liens permitted under this clause (k) shall
not (A) secure any Indebtedness other than the Indebtedness that was secured by
the Lien being extended, renewed or replaced and (B) be extended to cover any
property that was not encumbered by the Lien being extended, renewed or
replaced; (ii) the principal amount of Indebtedness secured by the Lien
permitted by this clause (k) shall not be increased over the principal amount
of such Indebtedness immediately prior to such extension, renewal or
replacement and (iii) both before and after giving effect to such extension,
renewal or replacement, no Default or Event of Default shall occur and be continuing
or would result therefrom; and

(l)            Liens
not otherwise permitted hereunder securing obligations not at any time
exceeding in the aggregate $5,000,000.

SECTION 10.3       Limitations on Loans, Advances,
Investments and Acquisitions.  Purchase, own, invest in or
otherwise acquire, directly or indirectly, any Capital Stock, interests in any
partnership or joint venture (including, without limitation, the creation or
capitalization of any Subsidiary), evidence of Indebtedness or other obligation
or security, substantially all or a portion of the business or assets of any
other Person or any other investment or interest whatsoever in any other
Person, or make or permit to exist, directly or indirectly, any loans, advances
or extensions of credit to, or any investment in cash or by delivery of
property in, any Person except:

(a)           (i)
investments existing on the Closing Date in Subsidiaries existing on the
Closing Date, (ii) investments in Domestic Subsidiaries (other than investments
existing on the Closing Date) so long as the Borrower and its Subsidiaries
comply with the applicable provisions of Section 8.10 and (iii) the
other loans, advances and investments described on Schedule 10.3
existing on the Closing Date;

 64
 

(b)           (i)
investments in (A) marketable direct obligations issued or unconditionally
guaranteed by the United States or any agency thereof maturing within one
hundred twenty (120) days from the date of acquisition thereof,
(B) commercial paper maturing no more than one hundred twenty (120) days
from the date of creation thereof and currently having the highest rating
obtainable from either Standard & Poor’s Ratings Services, a division
of The McGraw-Hill Companies, Inc. or Moody’s Investors Service, Inc.,
(C) certificates of deposit maturing no more than one hundred twenty (120)
days from the date of creation thereof issued by commercial banks incorporated
under the laws of the United States, each having combined capital, surplus and
undivided profits of not less than $500,000,000 and having a rating of “A” or
better by a nationally recognized rating agency; provided, that the
aggregate amount invested in such certificates of deposit shall not at any time
exceed $5,000,000 for any one such certificate of deposit and $10,000,000 for
any one such bank, (D) time deposits maturing no more than thirty (30)
days from the date of creation thereof with commercial banks or savings banks
or savings and loan associations each having membership either in the FDIC or
the deposits of which are insured by the FDIC and in amounts not exceeding the
maximum amounts of insurance thereunder, or (E) money market funds that invest
in any investments described in items (A) through (D) above  and (ii) investments permitted pursuant to
that certain investment policy of the Borrower in effect as of the Closing Date
and previously provided to the Administrative Agent (such investments described
in items (i) and (ii) above, “Cash Equivalents”);

(c)           investments
by the Borrower or any of its Subsidiaries in the form of Permitted Acquisitions;

(d)           Hedging
Agreements not prohibited by Section 10.1;

(e)           purchases
of assets in the ordinary course of business;

(f)            investments
in the form of loans and advances to employees in the ordinary course of
business, which, in the aggregate, do not exceed at any time $5,000,000;

(g)           investments
in the form of (i) intercompany loans and advances permitted pursuant to Section
10.1(h) and (k) and (ii) equity or capital investments made by (A)
the Borrower or any of its Subsidiaries in any Credit Party or (B) any
Subsidiary that is not a Credit Party in any other Subsidiary that is not a
Credit Party;

(h)           investments
in the form of (i) intercompany loans and advances permitted pursuant to Section
10.1(l) and (ii) equity or capital investments made by any Credit Party in
any Subsidiary which is not a Credit Party; provided that the aggregate
amount of such intercompany Indebtedness and equity or capital investments,
incurred or made after the Closing Date, shall not exceed $50,000,000
outstanding on any date of determination (which amount shall be calculated as
the net balance of such loans, advances and equity or capital investments as
reduced by any repayments or distributions made with respect thereto);

(i)            so
long as no Default or Event of Default (including, without limitation, a Change
of Control) shall have occurred and be continuing or would result therefrom,
investments by the Borrower or any of its Subsidiaries (other than any
investment by the Borrower or any of its Subsidiaries in the form of acquisitions
of all or substantially all of the business or a line of 

 65
 

business (whether by the acquisition of Capital Stock, assets or any
combination thereof) of any other Person) not otherwise permitted hereunder
paid solely with proceeds from the issuance of Capital Stock of the Borrower;
and

(j)            other
additional investments not otherwise permitted pursuant to this Section not
exceeding $10,000,000 in the aggregate in any Fiscal Year.

SECTION 10.4       Limitations on Mergers and Liquidation.  Merge, consolidate or enter into any similar
combination with any other Person or liquidate, wind-up or dissolve itself (or
suffer any liquidation or dissolution) except:

(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 Person) or with or into any Subsidiary Guarantor (provided
that the Subsidiary Guarantor shall be the continuing or surviving Person);

(b)           any
Subsidiary may sell, lease, transfer or otherwise dispose of all or
substantially all of its assets (upon voluntary liquidation or otherwise) to
the Borrower or any Wholly-Owned Subsidiary; provided that if the
transferor in such a transaction is a Subsidiary Guarantor, then the transferee
must either be the Borrower or a Subsidiary Guarantor; provided, further
that if the transferee in such transaction is the Borrower or a Subsidiary
Guarantor, the consideration paid or payable in connection with such
transaction shall be no more than the fair market value of the assets sold,
leased, transferred or otherwise disposed of in connection therewith;

(c)           any
Wholly-Owned Subsidiary of the Borrower may merge into the Person such
Wholly-Owned Subsidiary was formed to acquire in connection with a Permitted
Acquisition; and

(d)           any
Subsidiary of the Borrower may wind-up into the Borrower or any Subsidiary
Guarantor.

SECTION 10.5       Limitations on Sales of Assets.  Convey, sell, lease, assign transfer or
otherwise dispose of its property, business or assets (including, without
limitation, the sale of any receivables and leasehold interests and any
sale-leaseback or similar transaction) whether now owned or hereafter acquired
except:

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

(b)           the
sale of obsolete, worn-out or surplus assets no longer used or usable in the
business of the Borrower or any of its Subsidiaries;

(c)           the
transfer of assets to the Borrower or any Subsidiary Guarantor pursuant to Section
10.4;

(d)           the
sale or discount without recourse of accounts receivable arising in the
ordinary course of business in connection with the compromise or collection
thereof;

(e)           the
disposition of any Hedging Agreement;

 66
 

(f)            dispositions
of investments in cash and Cash Equivalents;

(g)           conveyances,
sales, leases, assignments, transfers or other dispositions of assets by any
Subsidiary that is not a Credit Party as required at any time by Applicable
Law; and

(h)           additional
conveyances, sales, leases, assignments, transfers or other dispositions of
assets not otherwise permitted pursuant to this Section in an aggregate amount
not to exceed $10,000,000 in any Fiscal Year.

SECTION 10.6       Restricted
Payments.  (a) Other than as permitted
pursuant to clause (b) below, (i) make any change in its capital structure
which such change in its capital structure could reasonably be expected to have
a Material Adverse Effect, (ii) declare or pay any dividend or make any other
payment or distribution of cash, property or assets on account of the Borrower’s,
or any Subsidiary’s, Capital Stock, (iii) purchase, redeem or otherwise acquire
or retire for value any Capital Stock of the Borrower, or (iv) cancel, forgive,
make any payment or prepayment on or with respect to, or purchase, redeem,
defease or otherwise acquire or retire for value (including, without
limitation, (A) by way of depositing with any trustee with respect thereto
money or securities before due for the purpose of paying when due and (B) at
the maturity thereof) any Subordinated Indebtedness, except a payment of
principal or interest on Indebtedness owed to a Credit Party by a Person other
than the Borrower (all such payments and other actions set forth in clauses
(ii) through (iv) above being collectively referred to as “Restricted
Payments”); unless:

(1)           no
Default or Event of Default has occurred and is continuing at the time of such
Restricted Payment or would occur as a consequence of such Restricted Payment;

(2)           the
Borrower and its Subsidiaries are, at the time of such Restricted Payment and
after giving pro  forma effect thereto, in compliance with each
covenant set forth in Article IX; and

(3)           after
giving effect to such Restricted Payment and any Extension of Credit made in
connection with such Restricted Payment, the Liquidity Amount shall be greater
than or equal to $15,000,000.

(b)           Notwithstanding
clause (a) above, (i) the Borrower or any Subsidiary may pay dividends in
shares of its own Capital Stock, (ii) any Subsidiary may pay cash dividends to
the Borrower and (iii) the Borrower may purchase, redeem or otherwise acquire
Capital Stock of the Borrower or warrants or options to acquire any such
Capital Stock with the proceeds received from the substantially concurrent
issue of new shares of Capital Stock of the Borrower.

SECTION 10.7       Limitations on Exchange and Issuance
of Capital Stock.  Issue, sell or otherwise dispose of any class
or series of Capital Stock that, by its terms or by the terms of any security
into which it is convertible or exchangeable, is, or upon the happening of an
event or passage of time would be, (a) convertible or exchangeable into
Indebtedness or (b) required to be redeemed or repurchased, including at the
option of the holder, in whole or in part, or has, or upon the happening of an
event or passage of time would have, a redemption or similar payment due.

 

 67

SECTION 10.8       Transactions with Affiliates.  Directly or indirectly (a)
make any loan or advance to, or purchase or assume any note or other obligation
to or from, any of its officers, directors, shareholders or other Affiliates,
or to or from any member of the immediate family of any of its officers,
directors, shareholders or other Affiliates, or subcontract any operations to
any of its Affiliates or (b) enter into, or be a party to, any other
transaction not described in clause (a) above with any of its Affiliates other
than:

(i)            transactions permitted by Section 10.3, 10.4,
10.6 and 10.7;

(ii)           transactions existing on the Closing Date and described on
Schedule 10.8;

(iii)          normal compensation, indemnity and reimbursement of
reasonable expenses of officers and directors; and

(iv)          other transactions in the ordinary course of business on
terms as favorable as would be obtained by it on a comparable arms-length
transaction with an independent, unrelated third party as determined in good
faith by the board of directors of the Borrower.

SECTION 10.9       Certain Accounting Changes;
Organizational Documents.  (a) Change its Fiscal Year end, or make any
change in its accounting treatment and reporting practices except as required
by GAAP or (b) amend, modify or change its articles of incorporation (or
corporate charter or other similar organizational documents) or amend, modify
or change its bylaws (or other similar documents) in any manner adverse in any
respect to the rights or interests of the Lenders.

SECTION 10.10      Amendments of Subordinated Indebtedness. Amend or modify (or
permit the modification or amendment of) any of the terms or provisions of any
Subordinated Indebtedness in any respect which would materially adversely
affect the rights or interests of the Administrative Agent and Lenders
hereunder.

SECTION 10.11       Restrictive Agreements.

(a)           Enter into any Indebtedness which contains any negative
pledge on assets or any covenants more restrictive than the provisions of Articles
VIII, IX, and X hereof, or which restricts, limits or otherwise
encumbers its ability to incur Liens on or with respect to any of its assets or
properties other than the assets or properties securing such Indebtedness.

(b)           Enter into or permit to exist any agreement or instrument
which impairs, restricts, limits or otherwise encumbers (by covenant or
otherwise) the ability of any Subsidiary of the Borrower to make any payment to
the Borrower or any of its Subsidiaries (in the form of dividends, intercompany
advances or otherwise) for the purpose of enabling the Borrower to pay the
Obligations except for (i) such impairments, restrictions, limitations or
encumbrances existing under the Loan Documents and (ii) such impairments,
restrictions, limitations or encumbrances existing under the Indebtedness
permitted pursuant to Section 10.1(d) with respect to the asset which is
the subject of such Indebtedness.

SECTION 10.12     Nature of Business.  Alter
in any material respect the character or conduct of the business conducted by
the Borrower and its Subsidiaries as of the Closing Date.

 68
 

ARTICLE XI

DEFAULT AND REMEDIES

SECTION 11.1       Events of Default.  Each
of the following shall constitute an Event of Default, whatever the reason for
such event and whether it shall be voluntary or involuntary or be effected by
operation of law or pursuant to any judgment or order of any court or any
order, rule or regulation of any Governmental Authority or otherwise:

(a)           Default in Payment of Principal of Loans and
Reimbursement Obligations.  The
Borrower shall default in any payment of principal of any Loan or Reimbursement
Obligation when and as due (whether at maturity, by reason of acceleration or
otherwise).

(b)           Other Payment Default.  The Borrower or any other Credit Party shall
default in the payment when and as due (whether at maturity, by reason of
acceleration or otherwise) of interest on any Loan or Reimbursement Obligation
or the payment of any other Obligation, and such default shall continue for a
period of five (5) Business Days.

(c)           Misrepresentation. 
Any representation, warranty, certification or statement of fact made or
deemed made by or on behalf of the Borrower or any other Credit Party herein,
in any other Loan Document, or in any document delivered in connection herewith
or therewith that is subject to materiality or Material Adverse Effect
qualifications, shall be incorrect or misleading in any respect when made or
deemed made or any representation, warranty, certification or statement of fact
made or deemed made by or on behalf of the Borrower or any other Credit Party
herein, any other Loan Document, or in any document delivered in connection
herewith or therewith that is not subject to materiality or Material Adverse
Effect qualifications, shall be incorrect or misleading in any material respect
when made or deemed made

(d)           Default in Performance of Certain Covenants.  The Borrower or any other Credit Party shall
default in the performance or observance of any covenant or agreement contained
in Sections 7.1, 7.2 or 7.5(d)(i) or Articles IX or
X.

(e)           Default in Performance of Other Covenants and
Conditions.  The Borrower or any
other Credit Party shall default in the performance or observance of any term,
covenant, condition or agreement contained in this Agreement (other than as
specifically provided for otherwise in this Section) or any other Loan Document
and such default shall continue for a period of thirty (30) days after written
notice thereof has been given to the Borrower by the Administrative Agent.

(f)            Indebtedness Cross-Default.  The Borrower or any other Credit Party shall:

(i)            default in the payment of any Indebtedness (other than
the Loans or any Reimbursement Obligation) the aggregate outstanding amount of
which Indebtedness is in excess of $5,000,000 beyond the period of grace if
any, provided in the instrument or agreement under which such Indebtedness was
created, or

(ii)           default in the observance or performance of any other
agreement or condition relating to any Indebtedness (other than the Loans or
any Reimbursement Obligation)

 69
 

the aggregate outstanding amount of which
Indebtedness is in excess of $5,000,000 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 holders of such Indebtedness
(or a trustee or agent on behalf of such holder or holders) to cause, with the
giving of notice if required, any such Indebtedness to become due prior to its
stated maturity (any applicable grace period having expired).

(g)           Other Cross-Defaults.  The Borrower or any other Credit Party shall
default in the payment when due, or in the performance or observance, of any
obligation or condition of any Material Contract unless, but only as long as,
the existence of any such default is being contested by the Borrower or any
such Subsidiary in good faith by appropriate proceedings and adequate reserves
in respect thereof have been established on the books of the Borrower or such
Credit Party to the extent required by GAAP.

(h)           Change in Control. 
Any Change in Control shall occur.

(i)            Voluntary Bankruptcy Proceeding.  The Borrower or any Credit Party thereof
shall (i) commence a voluntary case under the federal bankruptcy laws (as now
or hereafter in effect), (ii) file a petition seeking to take advantage of any
other laws, domestic or foreign, relating to bankruptcy, insolvency,
reorganization, winding up or composition for adjustment of debts, (iii)
consent to or fail to contest in a timely and appropriate manner any petition
filed against it in an involuntary case under such bankruptcy laws or other
laws, (iv) apply for or consent to, or fail to contest in a timely and
appropriate manner, the appointment of, or the taking of possession by, a
receiver, custodian, trustee, or liquidator of itself or of a substantial part
of its property, domestic or foreign, (v) admit in writing its inability to pay
its debts as they become due, (vi) make a general assignment for the benefit of
creditors, or (vii) take any corporate or other company action for the purpose
of authorizing any of the foregoing.

(j)            Involuntary Bankruptcy Proceeding.  A case or other proceeding shall be commenced
against the Borrower or any Credit Party thereof in any court of competent
jurisdiction seeking (i) relief under the federal bankruptcy laws (as now or
hereafter in effect) or under any other laws, domestic or foreign, relating to
bankruptcy, insolvency, reorganization, winding up or adjustment of debts, or
(ii) the appointment of a trustee, receiver, custodian, liquidator or the like
for the Borrower or any Credit Party thereof or for all or any substantial part
of their respective assets, domestic or foreign, and such case or proceeding
shall continue without dismissal or stay for a period of sixty (60) consecutive
days, or an order granting the relief requested in such case or proceeding
(including, but not limited to, an order for relief under such federal
bankruptcy laws) shall be entered.

(k)           Failure of Agreements.  Any provision of this Agreement or any
provision of any other Loan Document shall for any reason cease to be valid and
binding on the Borrower or any other Credit Party party thereto or any such
Person shall so state in writing or, if applicable, any Loan Document shall for
any reason cease to create a valid and perfected first priority Lien on, or
security interest in, any of the assets or properties purported to be covered
thereby.

(l)            Termination Event. 
The occurrence of any of the following events: (i) any Credit Party or
any ERISA Affiliate fails to make full payment when due of all amounts which,
under

 70
 

the provisions of any Pension Plan or Section
412 of the Code, any Credit Party or any ERISA Affiliate is required to pay as
contributions thereto and such failure could reasonably be likely, individually
or in the aggregate, to have a Material Adverse Effect or (ii) a Termination
Event.

(m)          Judgment.

(i)            A judgment in connection with the Class Action Suit in an
aggregate amount in excess of $50,000,000 (to the extent not covered by
independent third-party insurance as to which the insurer does not dispute
coverage) shall be entered against the Borrower or any Credit Party by any
court and such judgment shall continue without having been discharged, vacated
or stayed for a period of thirty (30) days after the entry thereof, or

(ii)           any other judgment or order for the payment of money not
referred to in the foregoing clause (i), which causes the aggregate amount of
all such judgments under this clause (ii) to exceed $10,000,000 in any Fiscal
Year (to the extent not covered by independent third-party insurance as to
which the insurer does not dispute coverage) shall be entered against the
Borrower or any Credit Party by any court and such judgment or order shall
continue without having been discharged, vacated or stayed for a period of
thirty (30) days after the entry thereof.

(n)           Environmental. 
Any one or more Environmental Claims shall have been asserted against
the Borrower or any Credit Party; the Borrower and any Credit Party would be
reasonable likely to incur liability as a result thereof; and such liability
would be reasonably likely, individually or in the aggregate, to have a
Material Adverse Effect.

SECTION 11.2       Remedies.  Upon
the occurrence of an Event of Default, 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:

(a)           Acceleration; Termination of Facilities.  Terminate the Commitments and declare the
principal of and interest on the Loans and the Reimbursement Obligations at the
time outstanding, and all other amounts owed to the Lenders and to the
Administrative Agent under this Agreement or any of the other Loan Documents (including,
without limitation, all L/C Obligations, whether or not the beneficiaries of
the then outstanding Letters of Credit shall have presented or shall be
entitled to present the documents required thereunder) and all other
Obligations, to be forthwith due and payable, whereupon the same shall
immediately become due and payable without presentment, demand, protest or
other notice of any kind, all of which are expressly waived by each Credit
Party, anything in this Agreement or the other Loan Documents to the contrary
notwithstanding, and terminate the Credit Facility and any right of the
Borrower to request borrowings or Letters of Credit thereunder; provided,
that upon the occurrence of an Event of Default specified in Section 11.1(i)
or (j), the Credit Facility shall be automatically terminated and all
Obligations shall automatically become due and payable without presentment,
demand, protest or other notice of any kind, all of which are expressly waived
by each Credit Party, anything in this Agreement or in any other Loan Document
to the contrary notwithstanding.

(b)           Letters of Credit. 
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
the

 71
 

preceding 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 the other Obligations on a pro rata basis.  After all such Letters of Credit shall have
expired or been fully drawn upon, the Reimbursement Obligation shall have been
satisfied and all other Obligations shall have been paid in full, the balance,
if any, in such cash collateral account shall be returned to the Borrower.

(c)           Rights of Collection.  Exercise on behalf of the Lenders all of its
other rights and remedies under this Agreement, the other Loan Documents and
Applicable Law, in order to satisfy all of the Borrower’s Obligations.

SECTION 11.3       Rights and Remedies Cumulative;
Non-Waiver; etc.  The enumeration of the
rights and remedies of the Administrative Agent and the Lenders set forth in
this Agreement is not intended to be exhaustive and the exercise by the Administrative
Agent and the Lenders of any right or remedy shall not preclude the exercise of
any other rights or remedies, all of which shall be cumulative, and shall be in
addition to any other right or remedy given hereunder or under the other Loan
Documents or that may now or hereafter exist at law or in equity or by suit or
otherwise.  No delay or failure to take
action on the part of the Administrative Agent or any Lender in exercising any
right, power or privilege shall operate as a waiver thereof, nor shall any
single or partial exercise of any such right, power or privilege preclude any
other or further exercise thereof or the exercise of any other right, power or
privilege or shall be construed to be a waiver of any Event of Default.  No course of dealing between the  Borrower, the Administrative Agent and the
Lenders or their respective agents or employees shall be effective to change,
modify or discharge any provision of this Agreement or any of the other Loan
Documents or to constitute a waiver of any Event of Default.

SECTION 11.4       Crediting of Payments and Proceeds.  In the event that the Borrower shall fail to
pay any of the Obligations when due and the Obligations have been accelerated
pursuant to Section 11.2, all payments received by the Lenders upon the
Obligations and all net proceeds from the enforcement of the Obligations shall
be applied:

First, to payment of that portion of
the Obligations constituting fees, indemnities, expenses and other amounts,
including attorney fees, payable to the Administrative Agent in its capacity as
such and the Issuing Lender in its capacity as such (ratably among the
Administrative Agent and the Issuing Lender in proportion to the respective
amounts described in this clause First payable to them);

Second, to payment of that portion
of the Obligations constituting fees, indemnities and other amounts (other than
principal and interest) payable to the Lenders, including attorney fees
(ratably among the Lenders in proportion to the respective amounts described in
this clause Second payable to them);

Third, to payment of that portion of
the Obligations constituting accrued and unpaid interest on the Loans and
Reimbursement Obligations and any Hedging Obligations (including

 72
 

any accrued and unpaid interest thereon and any
periodic payments in respect of Interest Rate Contracts, but excluding any
termination payments paid pursuant to clause Fourth) (ratably among the Lenders
in proportion to the respective amounts described in this clause Third
payable to them);

Fourth, to payment of that portion
of the Obligations constituting unpaid principal of the Loans and Reimbursement
Obligations (including any termination payments then due in connection with
Hedging Obligations) (ratably among the Lenders in proportion to the respective
amounts described in this clause Fourth held by them);

Fifth, to the Administrative Agent
for the account of the Issuing Lender, to cash collateralize any L/C
Obligations then outstanding; and

Last, the balance, if any, after all
of the Obligations have been indefeasibly paid in full, to the Borrower or as
otherwise required by Applicable Law.

SECTION 11.5       Administrative Agent May File Proofs
of Claim.  In case of the pendency of any receivership,
insolvency, liquidation, bankruptcy, reorganization, arrangement, adjustment,
composition or other judicial proceeding relative to any Credit Party, the
Administrative Agent (irrespective of whether the principal of any Loan or L/C
Obligation shall then be due and payable as herein expressed or by declaration
or otherwise and irrespective of whether the Administrative Agent shall have
made any demand on the Borrower) shall be entitled and empowered, by
intervention in such proceeding or otherwise:

(a)           to file and prove a claim for the whole amount of the principal
and interest owing and unpaid in respect of the Loans, L/C Obligations and all
other Obligations that are owing and unpaid and to file such other documents as
may be necessary or advisable in order to have the claims of the Lenders and
the Administrative Agent (including any claim for the reasonable compensation,
expenses, disbursements and advances of the Lenders and the Administrative
Agent and their respective agents and counsel and all other amounts due the
Lenders and the Administrative Agent under Sections 3.3, 4.3 and 13.3)
allowed in such judicial proceeding; and

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

and any custodian, receiver, assignee, trustee,
liquidator, sequestrator or other similar official in any such judicial
proceeding is hereby authorized by each Lender to make such payments to the
Administrative Agent and, in the event that the Administrative Agent shall
consent to the making of such payments directly to the Lenders, to pay to the
Administrative Agent any amount due for the reasonable compensation, expenses,
disbursements and advances of the Administrative Agent and its agents and
counsel, and any other amounts due the Administrative Agent under Sections
4.3 and 13.3.

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

 73
 

ARTICLE
XII

THE
ADMINISTRATIVE AGENT

SECTION 12.1       Appointment and Authority.  Each of the Lenders and the Issuing Lender
hereby irrevocably appoints Wachovia to act on its behalf as the Administrative
Agent hereunder and under the other Loan Documents and authorizes the
Administrative Agent to take such actions on its behalf and to exercise such
powers as are delegated to the Administrative Agent by the terms hereof or
thereof, together with such actions and powers as are reasonably incidental
thereto.  The provisions of this Article
are solely for the benefit of the Administrative Agent, the Lenders and the
Issuing Lender, and neither the Borrower nor any of its Subsidiaries shall have
rights as a third party beneficiary of any of such provisions.

SECTION 12.2       Rights as a Lender.  The
Person serving as the Administrative Agent hereunder shall have the same rights
and powers in its capacity as a Lender as any other Lender and may exercise the
same as though it were not the Administrative Agent and the term “Lender” or “Lenders”
shall, unless otherwise expressly indicated or unless the context otherwise
requires, include the Person serving as the Administrative Agent hereunder in
its individual capacity.  Such Person and
its Affiliates may accept deposits from, lend money to, act as the financial
advisor or in any other advisory capacity for and generally engage in any kind
of business with the Borrower or any Subsidiary or other Affiliate thereof as
if such Person were not the Administrative Agent hereunder and without any duty
to account therefor to the Lenders.

SECTION 12.3       Exculpatory Provisions.  The Administrative Agent
shall not have any duties or obligations except those expressly set forth
herein and in the other Loan Documents. 
Without limiting the generality of the foregoing, the Administrative
Agent:

(a)           shall not be subject to any fiduciary or other implied
duties, regardless of whether a Default has occurred and is continuing;

(b)           shall not have any duty to take any discretionary action
or exercise any discretionary powers, except discretionary rights and powers
expressly contemplated hereby or by the other Loan Documents that the
Administrative Agent is required to exercise as directed in writing by the
Required Lenders (or such other number or percentage of the Lenders as shall be
expressly provided for herein or in the other Loan Documents), provided
that the Administrative Agent shall not be required to take any action that, in
its opinion or the opinion of its counsel, may expose the Administrative Agent
to liability or that is contrary to any Loan Document or Applicable Law; and

(c)           shall not, except as expressly set forth herein and in the
other Loan Documents, have any duty to disclose, and shall not be liable for
the failure to disclose, any information relating to the Borrower or any of its
Affiliates that is communicated to or obtained by the Person serving as the
Administrative Agent or any of its Affiliates in any capacity.

The Administrative Agent shall not be liable for any
action taken or not taken by it (i) with the consent or at the request of
the Required Lenders (or such other number or percentage of the Lenders as
shall be necessary, or as the Administrative Agent shall believe in good faith
shall be

 74
 

necessary, under the circumstances as provided in Section 11.2
and Section 13.2) or (ii) in the absence of its own gross
negligence or willful misconduct as determined by a court of competent
jurisdiction by final nonappealable judgment. 
The Administrative Agent shall be deemed not to have knowledge of any
Default unless and until notice describing such Default is given to the
Administrative Agent by the Borrower, a Lender or the Issuing Lender.

The Administrative Agent shall not be responsible for
or have any duty to ascertain or inquire into (i) any statement, warranty
or representation made in or in connection with this Agreement or any other
Loan Document, (ii) the contents of any certificate, report or other
document delivered hereunder or thereunder or in connection herewith or
therewith, (iii) the performance or observance of any of the covenants,
agreements or other terms or conditions set forth herein or therein or the
occurrence of any Default, (iv) the validity, enforceability,
effectiveness or genuineness of this Agreement, any other Loan Document or any
other agreement, instrument or document or (v) the satisfaction of any
condition set forth in Article V or elsewhere herein, other than to
confirm receipt of items expressly required to be delivered to the
Administrative Agent.

SECTION 12.4       Reliance by the Administrative Agent.  The Administrative Agent
shall be entitled to rely upon, and shall not incur any liability for relying
upon, any notice, request, certificate, consent, statement, instrument,
document or other writing (including any electronic message, Internet or
intranet website posting or other distribution) believed by it to be genuine
and to have been signed, sent or otherwise authenticated by the proper
Person.  The Administrative Agent also
may rely upon any statement made to it orally or by telephone and believed by
it to have been made by the proper Person, and shall not incur any liability
for relying thereon.  In determining
compliance with any condition hereunder to the making of a Loan, or the
issuance of a Letter of Credit, that by its terms must be fulfilled to the
satisfaction of a Lender or the Issuing Lender, the Administrative Agent may
presume that such condition is satisfactory to such Lender or the Issuing
Lender unless the Administrative Agent shall have received notice to the
contrary from such Lender or the Issuing Lender prior to the making of such
Loan or the issuance of such Letter of Credit. 
The Administrative Agent may consult with legal counsel (who may be
counsel for the Borrower), independent accountants and other experts selected
by it, and shall not be liable for any action taken or not taken by it in
accordance with the advice of any such counsel, accountants or experts.

SECTION 12.5       Delegation of Duties.  The Administrative Agent may
perform any and all of its duties and exercise its rights and powers hereunder
or under any other Loan Document by or through any one or more sub-agents
appointed by the Administrative Agent. 
The Administrative Agent and any such sub-agent may perform any
and all of its duties and exercise its rights and powers by or through their
respective Related Parties.  The exculpatory
provisions of this Article shall apply to any such sub-agent and to the
Related Parties of the Administrative Agent and any such sub-agent, and
shall apply to their respective activities in connection with the syndication
of the credit facilities provided for herein as well as activities as
Administrative Agent.

SECTION 12.6       Resignation of Administrative Agent.

(a)           The Administrative Agent may at any time give notice of
its resignation to the Lenders, the Issuing Lender and the Borrower.  Upon receipt of any such notice of
resignation,

 75
 

the Required Lenders shall have the right, in
consultation with the Borrower, to appoint a successor, which shall be a bank
with an office in the United States, or an Affiliate of any such bank with an
office in the United States.  If no such
successor shall have been so appointed by the Required Lenders and shall have
accepted such appointment within thirty (30) days after the retiring
Administrative Agent gives notice of its resignation, then the retiring
Administrative Agent may, on behalf of the Lenders and the Issuing Lender,
appoint a successor Administrative Agent meeting the qualifications set forth
above; provided that if the Administrative Agent shall notify the
Borrower and the Lenders that no qualifying Person has accepted such
appointment, then such resignation shall nonetheless become effective in
accordance with such notice and (i) the retiring Administrative Agent
shall be discharged from its duties and obligations hereunder and under the
other Loan Documents (except that in the case of any collateral security held
by the Administrative Agent on behalf of the Lenders or the Issuing Lender
under any of the Loan Documents, the retiring Administrative Agent shall
continue to hold such collateral security until such time as a successor
Administrative Agent is appointed) and (ii) all payments, communications
and determinations provided to be made by, to or through the Administrative
Agent shall instead be made by or to each Lender and the Issuing Lender directly,
until such time as the Required Lenders appoint a successor Administrative
Agent as provided for above in this paragraph. 
Upon the acceptance of a successor’s appointment as Administrative Agent
hereunder, such successor shall succeed to and become vested with all of the
rights, powers, privileges and duties of the retiring (or retired)
Administrative Agent, and the retiring (or retired) Administrative Agent shall
be discharged from all of its duties and obligations hereunder or under the
other Loan Documents (if not already discharged therefrom as provided above in
this paragraph).  The fees payable by the
Borrower to a successor Administrative Agent shall be the same as those payable
to its predecessor unless otherwise agreed between the Borrower and such
successor.  After the retiring
Administrative Agent’s resignation hereunder and under the other Loan
Documents, the provisions of this Article and Section 13.3 shall
continue in effect for the benefit of such retiring Administrative Agent, its
sub-agents and their respective Related Parties in respect of any actions
taken or omitted to be taken by any of them while the retiring Administrative
Agent was acting as Administrative Agent.

(b)           Any resignation by Wachovia as Administrative Agent
pursuant to this Section shall also constitute its resignation as Issuing
Lender and Swingline Lender.  Upon the
acceptance of a successor’s appointment as Administrative Agent hereunder, (a)
such successor shall succeed to and become vested with all of the rights, powers,
privileges and duties of the retiring Issuing Lender and Swingline Lender, (b)
the retiring Issuing Lender and Swingline Lender shall be discharged from all
of their respective duties and obligations hereunder or under the other Loan
Documents, and (c) the successor Issuing Lender shall issue letters of credit
in substitution for the Letters of Credit, if any, outstanding at the time of
such succession or make other arrangement satisfactory to the retiring Issuing
Lender to effectively assume the obligations of the retiring Issuing Lender
with respect to such Letters of Credit.

SECTION 12.7       Non-Reliance on Administrative Agent
and Other Lenders.  Each Lender and the Issuing
Lender acknowledges that it has, independently and without reliance upon the
Administrative Agent or any other Lender or any of their Related Parties and
based on such documents and information as it has deemed appropriate, made its
own credit analysis and decision to enter into this Agreement.  Each Lender and the Issuing Lender also acknowledges
that it will, independently and without reliance upon the Administrative Agent
or any other

 76
 

Lender or any of their Related Parties and
based on such documents and information as it shall from time to time deem
appropriate, continue to make its own decisions in taking or not taking action
under or based upon this Agreement, any other Loan Document or any related
agreement or any document furnished hereunder or thereunder.

SECTION 12.8       No Other Duties, etc.  Anything
herein to the contrary notwithstanding, none of the syndication agents,
documentation agents, co-agents, book manager, lead manager, arranger, lead
arranger or co-arranger listed on the cover page or signature pages hereof
shall have any powers, duties or responsibilities under this Agreement or any
of the other Loan Documents, except in its capacity, as applicable, as the
Administrative Agent, a Lender or the Issuing Lender hereunder.

SECTION 12.9       Collateral and Guaranty Matters.  The Lenders irrevocably
authorize the Administrative Agent, at its option and in its discretion,

(a)           to release any Lien on any collateral granted to or held
by the Administrative Agent, for the ratable benefit of itself and the Lenders,
under any Loan Document (i) upon repayment of the outstanding principal of and
all accrued interest on the Loans, payment of all outstanding fees and expenses
hereunder, the termination of the Lenders’ Commitments and the expiration,
termination, cash collateralization in full or other defeasance in full of all
Letters of Credit, (ii) that is sold or to be sold as part of or in connection
with any sale permitted hereunder or under any other Loan Document, or (iii)
subject to Section 13.2, if approved, authorized or ratified in writing
by the Required Lenders;

(b)           to subordinate or release any Lien on any collateral
granted to or held by the Administrative Agent under any Loan Document to the
holder of any Permitted Lien; and

(c)           to release any Subsidiary Guarantor from its obligations
under the Subsidiary Guaranty Agreement and any other Loan Documents if such
Person ceases to be a Subsidiary as a result of a transaction permitted
hereunder.

Upon request by the Administrative Agent at any time, the Required
Lenders will confirm in writing the Administrative Agent’s authority to release
or subordinate its interest in particular types or items of property, or to
release any Subsidiary Guarantor from its obligations under the Subsidiary
Guaranty Agreement pursuant to this Section.

ARTICLE
XIII

MISCELLANEOUS

SECTION 13.1       Notices.

(a)           Method of Communication.  Except as otherwise provided in this
Agreement, all notices and communications hereunder shall be in writing (for
purposes hereof, the term “writing” shall include information in electronic
format such as electronic mail and internet web pages), or by telephone
subsequently confirmed in writing.  Any
notice shall be effective if delivered by hand delivery or sent via electronic
mail, posting on an internet web page, telecopy, recognized overnight courier
service or certified mail, return receipt requested, and shall be

 77
 

presumed to be received by a party hereto (i)
on the date of delivery if delivered by hand or sent by electronic mail or
telecopy, (ii) on the next Business Day if sent by recognized overnight courier
service, (iii) on the third Business Day following the date sent by certified
mail, return receipt requested and (iv) upon the deemed receipt pursuant to
clause (i) above by the intended recipient at its electronic mail address of
notification that any notice or communication that has been posted to an
internet webpage is available and identifying the website address
therefor.  A telephonic notice to the
Administrative Agent as understood by the Administrative Agent will be deemed to
be the controlling and proper notice in the event of a discrepancy with or
failure to receive a confirming written notice.

(b)           Addresses for Notices.  Notices to any party shall be sent to it at
the following addresses, or any other address as to which all the other parties
are notified in writing.

	
  

  	
  If to the Borrower:

  	
  Transaction Systems Architects, Inc.

  
	
   

  	
   

  	
  224 South 108th Avenue

  
	
   

  	
   

  	
  Omaha, Nebraska
  68154

  
	
   

  	
   

  	
  Attention: Henry C. Lyons, Chief Financial
  Officer

  
	
   

  	
   

  	
  Telephone No.:
  (646) 348-6704

  
	
   

  	
   

  	
  Telecopy No.:
  (402) 390-8077

  
	
   

  	
   

  	
   

  
	
   

  	
  With copies to:

  	
  Jones Day

  
	
   

  	
   

  	
  77 West Wacker

  
	
   

  	
   

  	
  Chicago,
  Illinois 60601

  
	
   

  	
   

  	
  Attention:
  Robert J. Graves

  
	
   

  	
   

  	
  Telephone No.:
  (312) 269-4356

  
	
   

  	
   

  	
  Telecopy No.:
  (312) 782-8585

  
	
   

  	
   

  	
   

  
	
   

  	
  If to Wachovia
  as

  	
  Wachovia Bank, National Association

  
	
   

  	
  Administrative Agent:

  	
  Charlotte Plaza, CP-8

  
	
   

  	
   

  	
  201 South
  College Street

  
	
   

  	
   

  	
  Charlotte, North
  Carolina 28288-0680

  
	
   

  	
   

  	
  Attention:
  Syndication Agency Services

  
	
   

  	
   

  	
  Telephone No.:
  (704) 374-2698

  
	
   

  	
   

  	
  Telecopy No.:
  (704) 383-0288

  
	
   

  	
   

  	
   

  
	
   

  	
  With copies to:

  	
  Wachovia Bank, National Association

  
	
   

  	
   

  	
  301 South
  College Street, NC5562

  
	
   

  	
   

  	
  Charlotte, North
  Carolina 28288

  
	
   

  	
   

  	
  Attention: Rob
  Sevin, Director

  
	
   

  	
   

  	
  Telephone No.:
  (704) 383-7546

  
	
   

  	
   

  	
  Telecopy No.:
  (704) 383-1625

  
	
   

  	
   

  	
   

  
	
   

  	
  If to any
  Lender:

  	
  To the address set forth on the Register

  

 

(c)           Administrative Agent’s Office.  The Administrative Agent hereby designates
its office located at the address set forth above, or any subsequent office
which shall have been specified for such purpose by written notice to the
Borrower and Lenders, as the Administrative

 78
 

Agent’s Office referred to herein, to which
payments due are to be made and at which Loans will be disbursed and Letters of
Credit requested.

SECTION 13.2       Amendments, Waivers and Consents.  Except as set forth below or as specifically
provided in any Loan Document, any term, covenant, agreement or condition of
this Agreement or any of the other Loan Documents may be amended or waived by
the Lenders, and any consent given by the Lenders, if, but only if, such
amendment, waiver or consent is in writing signed by the Required Lenders (or
by the Administrative Agent with the consent of the Required Lenders) and
delivered to the Administrative Agent and, in the case of an amendment, signed
by the Borrower; provided, that no amendment, waiver or consent shall:

(a)           waive any condition set forth in Section 5.2
without the written consent of each Lender;

(b)           extend or increase the Commitment of any Lender (or
reinstate any Commitment terminated pursuant to Section 11.2) or the
amount of Loans of any Lender without the written consent of such Lender;

(c)           postpone any date fixed by this Agreement or any other
Loan Document for any payment or mandatory prepayment of principal, interest,
fees or other amounts due to the Lenders (or any of them) hereunder or under
any other Loan Document without the written consent of each Lender directly
affected thereby;

(d)           reduce the principal of, or the rate of interest specified
herein on, any Loan or Reimbursement Obligation, or (subject to clause (iv) of
the second proviso to this Section) any fees or other amounts payable hereunder
or under any other Loan Document without the written consent of each Lender
directly affected thereby; provided that only the consent of the
Required Lenders shall be necessary (i) to waive any obligation of the Borrower
to pay interest at the rate set forth in Section 4.1(c) during the
continuance of an Event of Default, or (ii) to amend any financial covenant
hereunder (or any defined term used therein) even if the effect of such
amendment would be to reduce the rate of interest on any Loan or L/C Obligation
or to reduce any fee payable hereunder;

(e)           (i) change Section 4.4 or Section 11.4 in a
manner that would alter the pro  rata sharing of payments required
thereby or (ii) change Section 11.4 in a manner that would alter the
order in which payments and proceeds received by the Lenders are applied to
repay the Obligations, in either case without the written consent of each
Lender directly affected thereby;

(f)            change any provision of this Section or the definition of
“Required Lenders” or any other provision hereof specifying the number or
percentage of Lenders required to amend, waive or otherwise modify any rights
hereunder or make any determination or grant any consent hereunder, without the
written consent of each Lender;

(g)           release any Subsidiary Guarantor from the Subsidiary
Guaranty Agreement (other than as authorized in Section 12.9), without
the written consent of each Lender; or

(h)           release all or substantially all of the collateral, if
any, or release any Security Document (other than as authorized in Section
12.9 or as otherwise specifically permitted or

 79
 

contemplated in this Agreement or the
applicable Security Document) without the written consent of each Lender;

provided  further, that (i) no
amendment, waiver or consent shall, unless in writing and signed by the Issuing
Lender in addition to the Lenders required above, affect the rights or duties
of the Issuing Lender under this Agreement or any Letter of Credit Application
relating to any Letter of Credit issued or to be issued by it; (ii) no
amendment, waiver or consent shall, unless in writing and signed by the
Swingline Lender in addition to the Lenders required above, affect the rights
or duties of the Swingline Lender under this Agreement; (iii) no amendment,
waiver or consent shall, unless in writing and signed by the Administrative
Agent in addition to the Lenders required above, affect the rights or duties of
the Administrative Agent under this Agreement or any other Loan Document; (iv)
the Fee Letter may be amended, or rights or privileges thereunder waived, in a
writing executed only by the parties thereto and (v) solely for the purposes of
Section 5.3(b), no waiver of a Default or Event of Default shall be effective
without the consent of Lenders holding more than fifty percent (50%) of the
Revolving Credit Commitments (or if the Revolving Credit Facility has been
terminated, Lenders holding more than fifty percent (50%) of the aggregate
Extensions of Credit thereunder). 
Notwithstanding anything to the contrary herein, no Defaulting Lender
shall have any right to approve or disapprove any amendment, waiver or consent
hereunder, except that the Commitment of such Lender may not be increased or
extended without the consent of such Lender.

In addition, notwithstanding anything to the contrary
contained herein, each Lender hereby authorizes the Administrative Agent on its
behalf, and without its further consent, to enter into amendments to this
Agreement and the other Loan Documents as the Administrative Agent may
reasonably deem appropriate in order to effectuate any increase in the
Revolving Credit Commitment pursuant to Section 2.7 or any Incremental
Term Loans pursuant to Section 2.8, including, without limitation,
amendments to permit such increases in the Revolving Credit Commitment and any
Incremental Term Loans to share ratably in the benefits of this Agreement and
the other Loan Documents and to include appropriately any Lenders under such
increases in the Revolving Credit Commitment and any Incremental Term Loans in
any determination of Required Lenders; provided that no such amendment
shall adversely affect in any material respect the rights of any Lender, in
each case, without the written consent of such Lender.

SECTION 13.3       Expenses; Indemnity.

(a)           Costs and Expenses. 
The Borrower and any other Credit Party, jointly and severally, shall
pay (i) all reasonable out-of-pocket expenses incurred by the
Administrative Agent and its Affiliates (including the reasonable fees, charges
and disbursements of counsel for the Administrative Agent), in connection with
the syndication of the credit facilities provided for herein, the preparation,
negotiation, execution, delivery and administration of this Agreement and the
other Loan Documents or any amendments, modifications or waivers of the
provisions hereof or thereof (whether or not the transactions contemplated
hereby or thereby shall be consummated), (ii) all reasonable out-of-pocket
expenses incurred by the Issuing Lender in connection with the issuance,
amendment, renewal or extension of any Letter of Credit or any demand for
payment thereunder and (iii) all out-of-pocket expenses
incurred by the Administrative Agent, any Lender or the Issuing Lender
(including the fees, charges and disbursements of any counsel for the
Administrative Agent, any Lender or the Issuing Lender) in

 80
 

connection with the enforcement or protection
of its rights (A) in connection with this Agreement and the other Loan
Documents, including its rights under this Section, or (B) in connection
with the Loans made or Letters of Credit issued hereunder, including all such
out-of-pocket expenses incurred during any workout, restructuring
or negotiations in respect of such Loans or Letters of Credit.

(b)           Indemnification by the Borrower.  The Borrower shall indemnify the
Administrative Agent (and any sub-agent thereof), each Lender and the Issuing
Lender, and each Related Party of any of the foregoing Persons (each such
Person being called an “Indemnitee”) against, and hold each Indemnitee
harmless from, any and all losses, claims (including, without limitation, any
Environmental Claims or civil penalties or fines assessed by OFAC), damages,
liabilities and related expenses (including the fees, charges and disbursements
of any counsel for any Indemnitee), incurred by any Indemnitee or asserted
against any Indemnitee by any third party or by the Borrower or any other
Credit Party arising out of, in connection with, or as a result of (i) the
execution or delivery of this Agreement, any other Loan Document or any
agreement or instrument contemplated hereby or thereby, the performance by the
parties hereto of their respective obligations hereunder or thereunder or the
consummation of the transactions contemplated hereby or thereby, (ii) any
Loan or Letter of Credit or the use or proposed use of the proceeds therefrom
(including any refusal by the Issuing Lender to honor a demand for payment
under a Letter of Credit if the documents presented in connection with such
demand do not strictly comply with the terms of such Letter of Credit),
(iii) any actual or alleged presence or Release of Hazardous Materials on
or from any property owned or operated by the Borrower or any of its
Subsidiaries, or any Environmental Claim related in any way to the Borrower or
any of its Subsidiaries, (iv) any actual or prospective claim, litigation,
investigation or proceeding relating to any of the foregoing, whether based on
contract, tort or any other theory, whether brought by a third party or by the
Borrower or any other Credit Party, and regardless of whether any Indemnitee is
a party thereto, or (v) any claim (including, without limitation, any
Environmental Claims or civil penalties or fines assessed by OFAC),
investigation, litigation or other proceeding (whether or not the
Administrative Agent or any Lender is a party thereto) and the prosecution and
defense thereof, arising out of or in any way connected with the Loans, this
Agreement, any other Loan Document, or any documents contemplated by or
referred to herein or therein or the transactions contemplated hereby or
thereby, including without limitation, reasonable attorneys and consultant’s
fees, provided that such indemnity shall not, as to any Indemnitee, be
available to the extent that such losses, claims, damages, liabilities or
related expenses (x) are determined by a court of competent jurisdiction
by final and nonappealable judgment to have resulted from the gross negligence
or willful misconduct of such Indemnitee or (y) result from a claim
brought by the Borrower or any other Credit Party against an Indemnitee for
breach in bad faith of such Indemnitee’s obligations hereunder or under any
other Loan Document, if the Borrower or such Credit Party has obtained a final and
nonappealable judgment in its favor on such claim as determined by a court of
competent jurisdiction.

(c)           Reimbursement by Lenders.  To the extent that the Borrower for any
reason fails to indefeasibly pay any amount required under clause (a)
or (b) of this Section to be paid by it to the Administrative Agent (or
any sub-agent thereof), the Issuing Lender or any Related Party of any of the
foregoing, each Lender severally agrees to pay to the Administrative Agent (or
any such sub-agent), the Issuing Lender or such Related Party, as the case may
be, such Lender’s Commitment Percentage (determined as of the time that the
applicable unreimbursed expense or

 81
 

indemnity payment is sought) of such unpaid
amount, provided that the unreimbursed expense or indemnified loss,
claim, damage, liability or related expense, as the case may be, was incurred
by or asserted against the Administrative Agent (or any such sub-agent) or the
Issuing Lender in its capacity as such, or against any Related Party of any of
the foregoing acting for the Administrative Agent (or any such sub-agent) or
Issuing Lender in connection with such capacity.  The obligations of the Lenders under this
clause (c) are subject to the provisions of Section 4.7.

(d)           Waiver of Consequential Damages, Etc.  To the fullest extent permitted by Applicable
Law, the Borrower shall not assert, and hereby waives, any claim against any
Indemnitee, on any theory of liability, for special, indirect, consequential or
punitive damages (as opposed to direct or actual damages) arising out of, in
connection with, or as a result of, this Agreement, any other Loan Document or
any agreement or instrument contemplated hereby, the transactions contemplated
hereby or thereby, any Loan or Letter of Credit or the use of the proceeds
thereof.  No Indemnitee referred to in
clause (b) above shall be liable for any damages arising from the use by
unintended recipients of any information or other materials distributed by it
through telecommunications, electronic or other information transmission
systems in connection with this Agreement or the other Loan Documents or the
transactions contemplated hereby or thereby.

(e)           Payments. 
All amounts due under this Section shall be payable promptly after
demand therefor.

SECTION 13.4       Right of Setoff.  If an Event of Default shall have occurred and be
continuing, each Lender, the Issuing Lender, the Swingline Lender and each of
their respective Affiliates is hereby authorized at any time and from time to
time, to the fullest extent permitted by Applicable Law, to set off and apply
any and all deposits (general or special, time or demand, provisional or final,
in whatever currency) at any time held and other obligations (in whatever
currency) at any time owing by such Lender, the Issuing Lender, the Swingline
Lender or any such Affiliate to or for the credit or the account of the
Borrower or any other Credit Party against any and all of the obligations of
the Borrower or such Credit Party now or hereafter existing under this
Agreement or any other Loan Document to such Lender, the Issuing Lender or the
Swingline Lender, irrespective of whether or not such Lender, the Issuing
Lender or the Swingline Lender shall have made any demand under this Agreement
or any other Loan Document and although such obligations of the Borrower or
such Credit Party may be contingent or unmatured or are owed to a branch or
office of such Lender, the Issuing Lender or the Swingline Lender different
from the branch or office holding such deposit or obligated on such indebtedness.  The rights of each Lender, the Issuing
Lender, the Swingline Lender and their respective Affiliates under this Section
are in addition to other rights and remedies (including other rights of setoff)
that such Lender, the Issuing Lender, the Swingline Lender or their respective
Affiliates may have.  Each Lender, the
Issuing Lender and the Swingline Lender agrees to notify the Borrower and the
Administrative Agent promptly after any such setoff and application; provided
that the failure to give such notice shall not affect the validity of such
setoff and application.

SECTION 13.5       Governing Law.

 82

(a)           Governing
Law.  This Agreement and the other
Loan Documents, unless expressly set forth therein, shall be governed by, and
construed in accordance with, the law of the State of New York, without
reference to the conflicts of law principles thereof.

(b)           Submission
to Jurisdiction.  The Borrower and
each other Credit Party irrevocably and unconditionally submits, for itself and
its property, to the nonexclusive jurisdiction of the courts of the State of
New York sitting in New York County and of the United States District Court for
the Southern District of New York, and any appellate court from any thereof, in
any action or proceeding arising out of or relating to this Agreement or any
other Loan Document, or for recognition or enforcement of any judgment, and
each of the parties hereto irrevocably and unconditionally agrees that all
claims in respect of any such action or proceeding may be heard and determined
in such New York State court or, to the fullest extent permitted by Applicable
Law, in such Federal court.  Each of the
parties hereto agrees that a final judgment in any such action or proceeding
shall be conclusive and may be enforced in other jurisdictions by suit on the
judgment or in any other manner provided by law.  Nothing in this Agreement or in any other
Loan Document shall affect any right that the Administrative Agent, any Lender
or the Issuing Lender may otherwise have to bring any action or proceeding
relating to this Agreement or any other Loan Document against the Borrower or
any other Credit Party or its properties in the courts of any jurisdiction.

(c)           Waiver
of Venue.  The Borrower and each
other Credit Party irrevocably and unconditionally waives, to the fullest
extent permitted by Applicable Law, any objection that it may now or hereafter
have to the laying of venue of any action or proceeding arising out of or
relating to this Agreement or any other Loan Document in any court referred to
in paragraph (b) of this Section. 
Each of the parties hereto hereby irrevocably waives, to the fullest
extent permitted by Applicable Law, the defense of an inconvenient forum to the
maintenance of such action or proceeding in any such court.

(d)           Service
of Process.  Each party hereto
irrevocably consents to service of process in the manner provided for notices
in Section 13.1.  Nothing in this
Agreement will affect the right of any party hereto to serve process in any
other manner permitted by Applicable Law.

 83
 

SECTION 13.6       Waiver of Jury Trial.  EACH PARTY HERETO HEREBY IRREVOCABLY WAIVES,
TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A
TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR
RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS
CONTEMPLATED HEREBY OR THEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER
THEORY).  EACH PARTY HERETO
(A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER
PERSON HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PERSON WOULD
NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND
(B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO
ENTER INTO THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS BY, AMONG OTHER THINGS,
THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

SECTION 13.7       Reversal of Payments.  To the extent the Borrower
makes a payment or payments to the Administrative Agent for the ratable benefit
of the Lenders or the Administrative Agent receives any payment or proceeds of
any collateral which payments or proceeds or any part thereof are subsequently
invalidated, declared to be fraudulent or preferential, set aside and/or
required to be repaid to a trustee, receiver or any other party under any
bankruptcy law, state or federal law, common law or equitable cause, then, to
the extent of such payment or proceeds repaid, the Obligations or part thereof
intended to be satisfied shall be revived and continued in full force and
effect as if such payment or proceeds had not been received by the
Administrative Agent.

SECTION 13.8       Injunctive Relief; Punitive Damages.

(a)           The
Borrower recognizes that, in the event the Borrower fails to perform, observe
or discharge any of its obligations or liabilities under this Agreement, any
remedy of law may prove to be inadequate relief to the Lenders. Therefore, the
Borrower agrees that the Lenders, at the Lenders’ option, shall be entitled to
temporary and permanent injunctive relief in any such case without the
necessity of proving actual damages.

(b)           The
Administrative Agent, the Lenders and the Borrower (on behalf of itself and the
Credit Parties) hereby agree that no such Person shall have a remedy of
punitive or exemplary damages against any other party to a Loan Document and
each such Person hereby waives any right or claim to punitive or exemplary
damages that they may now have or may arise in the future in connection with
any Dispute, whether such Dispute is resolved through arbitration or
judicially.

SECTION 13.9       Accounting Matters.  If at any time any change in GAAP would
affect the computation of any financial ratio or requirement set forth in any
Loan Document, and either the Borrower or the Required Lenders shall so
request, the Administrative Agent, the Lenders and the Borrower shall negotiate
in good faith to amend such ratio or requirement to preserve the original
intent thereof in light of such change in GAAP (subject to the approval of the
Required Lenders); provided that, until so amended, (i) such ratio or
requirement shall continue to be computed in accordance with GAAP prior to such
change therein and (ii) the

 84
 

Borrower shall provide to
the Administrative Agent and the Lenders financial statements and other
documents required under this Agreement or as reasonably requested hereunder
setting forth a reconciliation between calculations of such ratio or
requirement made before and after giving effect to such change in GAAP.

SECTION 13.10     Successors and Assigns; Participations.

(a)           Successors and Assigns Generally.  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, except that neither the
Borrower nor any other Credit Party may assign or otherwise transfer any of its
rights or obligations hereunder without the prior written consent of the
Administrative Agent and each Lender and no Lender may assign or otherwise
transfer any of its rights or obligations hereunder except (i) to an assignee
in accordance with the provisions of paragraph (b) of this Section, (ii) by way
of participation in accordance with the provisions of paragraph (d) of this
Section or (iii) by way of pledge or assignment of a security interest subject
to the restrictions of paragraph (f) of this Section (and any other attempted
assignment or transfer by any party hereto shall be null and void).  Nothing in this Agreement, expressed or
implied, shall be construed to confer upon any Person (other than the parties
hereto, their respective successors and assigns permitted hereby, Participants
to the extent provided in paragraph (d) of this Section, New Lenders pursuant
to Section 2.7 or Section 2.8 and, to the extent expressly
contemplated hereby, the Related Parties of each of the Administrative Agent
and the Lenders) any legal or equitable right, remedy or claim under or by
reason of this Agreement.

(b)           Assignments by Lenders.  Any Lender may at any time assign to one or
more assignees all or a portion of its rights and obligations under this
Agreement (including all or a portion of its Revolving Credit Commitment and the Loans at the time owing to
it); provided that any such assignment shall be subject to the following
conditions:

(i)            Minimum Amounts.

(A)          in the case of an
assignment of the entire remaining amount of the assigning Lender’s Revolving
Credit Commitment and the Loans at the time
owing to it or in the case of an assignment to a Lender, an Affiliate of a
Lender or an Approved Fund, no minimum amount need be assigned; and

(B)           in any case not
described in paragraph (b)(i)(A) of this Section, the aggregate amount of the Revolving
Credit Commitment (which for this purpose
includes Loans outstanding thereunder) or, if the applicable Revolving
Credit Commitment is not then in effect,
the principal outstanding balance of the 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 or, if “Trade Date” is specified in the Assignment and Assumption, as of
the Trade Date) shall not be less than $5,000,000, unless each of the Administrative Agent and, so long as
no Default or Event of Default has occurred and is continuing, the Borrower
otherwise consents (each such consent not to be unreasonably withheld or
delayed);

 85
 

(ii)           Proportionate
Amounts.  Each partial assignment
shall be made as an assignment of a proportionate part of all the assigning
Lender’s rights and obligations under this Agreement with respect to the Loan
or the Revolving Credit
Commitment assigned;

(iii)          Required Consents.  No consent shall be required
for any assignment except to the extent required by paragraph (b)(i)(B) of this
Section and, in addition:

(A)          the consent of the Borrower (such consent not to be
unreasonably withheld or delayed) shall be required unless (x) a Default or
Event of Default has occurred and is continuing at the time of such assignment,
(y) such assignment is to a Lender, an Affiliate of a Lender or an Approved
Fund or (z) such assignment is made during the period commencing on the
Closing Date and ending on the date that is ninety (90) days following the
Closing Date;

(B)           the consent of the Administrative Agent (such consent not
to be unreasonably withheld or delayed) shall be required for assignments in
respect of the Revolving Credit Facility if such assignment is to a Person that
is not a Lender with a Revolving Credit Commitment, an Affiliate of such Lender
or an Approved Fund with respect to such Lender; and

(C)           the consents of the Issuing Lender and the Swingline
Lender (such consents not to be unreasonably withheld or delayed) shall be
required for any assignment that increases the obligation of the assignee to
participate in exposure under one or more Letters of Credit (whether or not
then outstanding) or for any assignment in respect of the Revolving Credit
Facility.

(iv)          Assignment and
Assumption.  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 for
each assignment, and the assignee,
if it is not a Lender, shall deliver to the Administrative Agent an
Administrative Questionnaire.

(v)           No Assignment to Borrower.  No such assignment shall be made to the
Borrower or any of the Borrower’s Affiliates or Subsidiaries.

(vi)          No Assignment to Natural Persons.  No such assignment shall be made to a natural
person.

Subject to acceptance and
recording thereof by the Administrative Agent pursuant to paragraph (c) of this
Section, from and after the effective date specified in each Assignment and
Assumption, the assignee thereunder shall be a party to this Agreement 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 obligations 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
4.8, 4.9, 4.10, 4.11 and 13.3

 86
 

with respect to facts and
circumstances occurring prior to the effective date of such assignment.  Any assignment or transfer by a Lender of
rights or obligations under this Agreement that does not comply with this
paragraph 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 (d) of this Section.

(c)           Register. 
The Administrative Agent, acting solely for this purpose as an agent of
the Borrower, shall maintain at one of its offices in Charlotte, North
Carolina, 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 Credit Commitment
of, and principal amounts of the Loans 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 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. 
The Register shall be available for inspection by the Borrower and any
Lender, at any reasonable time and from time to time upon reasonable prior
notice.

(d)           Participations. 
Any Lender may at any time, without the consent of, or notice to, the
Borrower or the Administrative Agent, sell participations to any Person (other
than a natural person or the Borrower or any of the Borrower’s Affiliates or
Subsidiaries) (each, a “Participant”) in all or a portion of such Lender’s
rights and/or obligations under this Agreement (including all or a portion of
its Revolving Credit
Commitment and/or the Loans owing to it); provided that (i) such Lender’s
obligations under this Agreement shall remain unchanged, (ii) such Lender shall
remain solely responsible to the other parties hereto for the performance of
such obligations and (iii) the Borrower, the Administrative Agent, Issuing
Lender, Swingline 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 or instrument 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 or instrument may provide that such Lender will not, without the
consent of the Participant, agree to any amendment, modification or waiver or
modification described in Section 13.2 that directly affects such
Participant and could not be affected by a vote of the Required Lenders.  Subject to paragraph (e) of this Section, the
Borrower agrees that each Participant shall be entitled to the benefits of Sections
4.8, 4.9, 4.10 and 4.11 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
13.4 as though it were a Lender, provided such Participant agrees to be
subject to Section 4.6 as though it were a Lender.

(e)           Limitations upon Participant Rights.  A Participant shall not be entitled to
receive any greater payment under Sections 4.10 and 4.11  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.  A Participant that
would be a Foreign Lender if it were a Lender shall not be entitled to the
benefits of Section 4.11 unless the Borrower is notified of the
participation sold to such Participant and

 87
 

such Participant agrees, for the benefit of
the Borrower, to comply with Section 4.11(e) as though it were a Lender.

(f)            Certain Pledges. 
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 without limitation any pledge or assignment to secure
obligations to a Federal Reserve Bank; provided that no such pledge or
assignment shall release such Lender from any of its obligations hereunder or
substitute any such pledgee or assignee for such Lender as a party hereto.

SECTION 13.11     Confidentiality.  Each
of the Administrative Agent and the Lenders agrees to maintain the
confidentiality of the Information (as defined below), except that Information
may be disclosed (a) to its and its Affiliates’ directors, officers, employees
and agents, including accountants, legal counsel and other advisors (it being
understood that the Persons to whom such disclosure is made will be informed of
the confidential nature of such Information and instructed to keep such Information
confidential), (b) to the extent requested by, or required to be disclosed to,
any rating agency, or regulatory or similar authority (including any
self-regulatory authority, such as the National Association of Insurance
Commissioners), (c) to the extent required by Applicable Laws or regulations or
by any subpoena or similar legal process, (d) to any other party hereto, (e) in
connection with the exercise of any remedies under this Agreement or under any
other Loan Document (or any Hedging Agreement with a Lender or the
Administrative Agent) or any action or proceeding relating to this Agreement or
any other Loan Document (or any Hedging Agreement with a Lender or the
Administrative Agent) or the enforcement of rights hereunder or thereunder, (f)
subject to an agreement containing provisions substantially the same as those
of this Section, to (i) any purchasing Lender, proposed purchasing Lender,
Participant or proposed Participant, (ii) any actual or prospective
counterparty (or its advisors) to any swap or derivative transaction relating
to the Borrower and its obligations, (iii) to an investor or prospective
investor in an Approved Fund that also agrees that Information shall be used
solely for the purpose of evaluating an investment in such Approved Fund, (iv)
to a trustee, collateral manager, servicer, backup servicer, noteholder or
secured party in an Approved Fund in connection with the administration,
servicing and reporting on the assets serving as collateral for an Approved
Fund, or (v) to a nationally recognized rating agency that requires access to
information regarding the Borrower and its Subsidiaries, the Loans and Loan
Documents in connection with ratings issued with respect to an Approved Fund,
(g) with the consent of the Borrower, (h) to Gold Sheets and other
similar bank trade publications, such information to consist of deal terms and
other information customarily found in such publications, or (i) to the extent
such Information (x) becomes publicly available other than as a result of a
breach of this Section or (y) becomes available to the Administrative Agent or
any Lender on a nonconfidential basis from a source other than the Borrower or
(j) to governmental regulatory authorities in connection with any regulatory
examination of the Administrative Agent or any Lender or in accordance with the
Administrative Agent’s or any Lender’s regulatory compliance policy if the
Administrative Agent or such Lender deems necessary for the mitigation of
claims by those authorities against the Administrative Agent or such Lender or
any of its subsidiaries or affiliates. 
For purposes of this Section, “Information” means all information
received from any Credit Party relating to any Credit Party or any of its
respective businesses, other than any such information that is available to the
Administrative Agent or any Lender on a nonconfidential basis prior to
disclosure by any Credit Party; provided that, in the

 88
 

case of information
received from a Credit Party after the date hereof, such information is clearly
identified at the time of delivery as confidential.  Any Person required to maintain the
confidentiality of Information as provided in this Section shall be considered
to have complied with its obligation to do so if such Person has exercised the
same degree of care to maintain the confidentiality of such Information as such
Person would accord to its own confidential information.

SECTION 13.12     Performance of Duties.  Each of the Credit Party’s obligations under
this Agreement and each of the other Loan Documents shall be performed by such
Credit Party at its sole cost and expense.

SECTION 13.13     All Powers Coupled with Interest.  All powers of attorney and
other authorizations granted to the Lenders, the Administrative Agent and any
Persons designated by the Administrative Agent or any Lender pursuant to any
provisions of this Agreement or any of the other Loan Documents shall be deemed
coupled with an interest and shall be irrevocable so long as any of the
Obligations remain unpaid or unsatisfied, any of the Commitments remain in
effect or the Credit Facility has not been terminated.

SECTION 13.14     Survival of Indemnities.  Notwithstanding any termination of this
Agreement, the indemnities to which the Administrative Agent and the Lenders
are entitled under the provisions of this Article XIII and any other
provision of this Agreement and the other Loan Documents shall continue in full
force and effect and shall protect the Administrative Agent and the Lenders
against events arising after such termination as well as before.

SECTION 13.15     Titles and Captions.  Titles
and captions of Articles, Sections and subsections in, and the table of
contents of, this Agreement are for convenience only, and neither limit nor
amplify the provisions of this Agreement.

SECTION 13.16     Severability of Provisions.  Any provision of this
Agreement or any other Loan Document which is prohibited or unenforceable in
any jurisdiction shall, as to such jurisdiction, be ineffective only to the
extent of such prohibition or unenforceability without invalidating the
remainder of such provision or the remaining provisions hereof or thereof or
affecting the validity or enforceability of such provision in any other
jurisdiction.

SECTION 13.17     Counterparts.  This
Agreement may be executed in any number of counterparts and by different
parties hereto in separate counterparts, each of which when so executed shall
be deemed to be an original and shall be binding upon all parties, their
successors and assigns, and all of which taken together shall constitute one
and the same agreement.  Delivery of an
executed counterpart of a signature page to this Agreement or any document or
instrument delivered in connection herewith by facsimile or other electronic transmission
shall be effective as delivery of a manually executed counterpart of this
Agreement or such other document or instrument, as applicable.

SECTION 13.18     Integration.  This
Agreement, together with the other Loan Documents, comprises the complete and
integrated agreement of the parties on the subject matter hereof and thereof
and supersedes all prior agreements, written or oral, on such subject
matter.  In the event of any conflict
between the provisions of this Agreement and those of any other 

 89
 

Loan Document, the
provisions of this Agreement shall control; provided that the inclusion
of supplemental rights or remedies in favor of the Administrative Agent or the
Lenders in any other Loan Document shall not be deemed a conflict with this
Agreement.  Each Loan Document was drafted
with the joint participation of the respective parties thereto and shall be
construed neither against nor in favor of any party, but rather in accordance
with the fair meaning thereof.

SECTION 13.19     Term of Agreement.  This
Agreement shall remain in effect from the Closing Date through and including
the date upon which all Obligations arising hereunder or under any other Loan
Document shall have been indefeasibly and irrevocably paid and satisfied in
full and all Commitments have been terminated. 
No termination of this Agreement shall affect the rights and obligations
of the parties hereto arising prior to such termination or in respect of any
provision of this Agreement which survives such termination.

SECTION 13.20     Advice of Counsel, No Strict
Construction.  Each of the parties
represents to each other party hereto that it has discussed this Agreement with
its counsel.  The parties hereto have
participated jointly in the negotiation and drafting of this Agreement.  In the event an ambiguity or question of
intent or interpretation arises, this Agreement shall be construed as if
drafted jointly by the parties hereto and no presumption or burden of proof
shall arise favoring or disfavoring any party by virtue of the authorship of
any provisions of this Agreement.

SECTION 13.21     USA Patriot Act.  The
Administrative Agent and each Lender hereby notifies the Borrower that pursuant
to the requirements of the USA Patriot Act (Title III of Pub. L. 107-56 (signed
into law October 26, 2001)) (the “Act”), it is required to obtain,
verify and record information that identifies the Borrower and Subsidiary
Guarantors, which information includes the name and address of each Borrower
and Subsidiary Guarantor and other information that will allow such Lender to
identify such Borrower or Subsidiary Guarantor in accordance with the Act.

SECTION 13.22     Inconsistencies with Other Documents;
Independent Effect of Covenants.

(a)           In
the event there is a conflict or inconsistency between this Agreement and any
other Loan Document, the terms of this Agreement shall control; provided
that any provision of the other Loan Documents which imposes additional burdens
on the Borrower or its Subsidiaries or further restricts the rights of the
Borrower or its Subsidiaries or gives the Administrative Agent or Lenders
additional rights shall not be deemed to be in conflict or inconsistent with
this Agreement and shall be given full force and effect.

(b)           The
Borrower expressly acknowledges and agrees that each covenant contained in Articles
VIII, IX, or X hereof shall be given independent effect.  Accordingly, the Borrower shall not engage in
any transaction or other act otherwise permitted under any covenant contained
in Articles VIII, IX, or X if, before or after giving
effect to such transaction or act, the Borrower shall or would be in breach of
any other covenant contained in Articles VIII, IX, or X.

[Signature pages
to follow]

 90

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

TRANSACTION SYSTEMS
ARCHITECTS, INC., as Borrower

	
  

  	
  By:

  	
   /s/ David R.
  Bankhead

  
	
   

  	
   

  	
  Senior Vice President

  

 

AGENTS
AND LENDERS:

WACHOVIA BANK, NATIONAL
ASSOCIATION,

as Administrative Agent, Swingline Lender, Issuing
Lender and Lender

	
  

  	
  By:

  	
   /s/ Robert
  Sevin

  
	
   

  	
   

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  Bank of America, N.A., as Lender

  

 

	
  

  	
  By:

  	
   /s/ Aileen
  Supeña

  
	
   

  	
   

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  U.S. Bank National Association, as Lender

  

 

	
  

  	
  By:

  	
  /s/ Joseph T. Sullivan III

  
	
   

  	
   

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  LaSalle Bank National Association, as Lender 

  

 

	
  

  	
  By:

  	
   /s/ David
  Gardner

  
	
   

  	
   

  	
  First Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  Citizens Bank of Massachusetts, as Lender

  

 

	
  

  	
  By:

  	
   /s/ Victoria
  P. Lazzell

  
	
   

  	
   

  	
  Senior Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  Sovereign Bank, as Lender

  

 

 

 

	
  

  	
  By:

  	
   /s/ Gregory
  M. Batsevitsky

  
	
   

  	
   

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  Comerica Bank, as Lender

  

 

	
  

  	
  By:

  	
   /s/ Timothy
  O’Rourke

  
	
   

  	
   

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  Union Bank of California, N.A., as Lender

  

 

	
  

  	
  By:

  	
   /s/ Matthew
  R. Krajniak

  
	
   

  	
   

  	
  Assistant Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  Bank of the West, as Lender

  

 

	
  

  	
  By:

  	
   /s/ William
  Honke

  
	
   

  	
   

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  Fifth Third Bank, an Ohio Banking Corporation, as
  Lender

  

 

	
  

  	
  By:

  	
   /s/ Christopher
  D. Jones

  
	
   

  	
   

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  First National Bank of Omaha, as Lender

  

 

	
  

  	
  By:

  	
   /s/ Marc T.
  Wisdom

  
	
   

  	
   

  	
  Second Vice President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}]]