Document:

Exhibit 4.2

Exhibit 4.2

EXECUTION COPY

REAL MEX RESTAURANTS, INC.

AND EACH OF THE GUARANTORS PARTY HERETO

14% SENIOR SECURED NOTES DUE 2013

 

INDENTURE

Dated as of July 7, 2009

 

Wells Fargo Bank, National Association

Trustee

 

 

 

 

CROSS-REFERENCE TABLE*

	 	 	 
	Trust Indenture Act Section	 	Indenture Section
	310(a)(1)
	 	7.10
	(a)(2)
	 	7.10
	(a)(3)
	 	N.A.
	(a)(4)
	 	N.A.
	(a)(5)
	 	7.10
	(b)
	 	7.10
	(c)
	 	N.A.
	311(a)
	 	7.11
	(b)
	 	7.11
	(c)
	 	N.A.
	312(a)
	 	2.05
	(b)
	 	13.03
	(c)
	 	13.03
	313(a)
	 	7.06
	(b)(1)
	 	10.07
	(b)(2)
	 	7.06; 7.07
	(c)
	 	7.06; 13.02
	(d)
	 	7.06
	314(a)
	 	4.03;13.02; 13.05
	(b)
	 	10.07
	(c)(1)
	 	13.04
	(c)(2)
	 	13.04
	(c)(3)
	 	N.A.
	(d)
	 	10.07; 10.08; 10.09
	(e)
	 	13.05
	(f)
	 	N.A.
	315(a)
	 	7.01
	(b)
	 	7.05; 13.02
	(c)
	 	7.01
	(d)
	 	7.01
	(e)
	 	6.11
	316(a) (last sentence)
	 	2.09
	(a)(1)(A)
	 	6.05
	(a)(1)(B)
	 	6.04
	(a)(2)
	 	N.A.
	(b)
	 	6.07
	(c)
	 	2.12
	317(a)(1)
	 	6.08
	(a)(2)
	 	6.09
	(b)
	 	2.04
	318(a)
	 	13.01
	(b)
	 	N.A.
	(c)
	 	13.01

N.A. means not applicable.

	 	 	 
	*	 	This Cross Reference Table is not part of the Indenture.

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page	 
	 
	 	 	 	 
	ARTICLE 1.

DEFINITIONS AND INCORPORATION BY REFERENCE

	 
	 	 	 	 
	Section 1.01 Definitions
	 	 	1	 
	Section 1.02 Other Definitions
	 	 	25	 
	Section 1.03 Incorporation by Reference of Trust Indenture Act
	 	 	26	 
	Section 1.04 Rules of Construction
	 	 	26	 
	 
	 	 	 	 
	ARTICLE 2.

THE NOTES

	 
	 	 	 	 
	Section 2.01 Form and Dating
	 	 	26	 
	Section 2.02 Execution and Authentication
	 	 	27	 
	Section 2.03 Registrar and Paying Agent
	 	 	28	 
	Section 2.04 Paying Agent to Hold Money in Trust
	 	 	28	 
	Section 2.05 Holder Lists
	 	 	28	 
	Section 2.06 Transfer and Exchange
	 	 	29	 
	Section 2.07 Replacement Notes
	 	 	39	 
	Section 2.08 Outstanding Notes
	 	 	39	 
	Section 2.09 Treasury Notes
	 	 	40	 
	Section 2.10 Temporary Notes
	 	 	40	 
	Section 2.11 Cancellation
	 	 	40	 
	Section 2.12 Defaulted Interest
	 	 	40	 
	Section 2.13 CUSIP Numbers
	 	 	41	 
	 
	 	 	 	 
	ARTICLE 3.

REDEMPTION AND PREPAYMENT

	 
	 	 	 	 
	Section 3.01 Notices to Trustee
	 	 	41	 
	Section 3.02 Selection of Notes to Be Redeemed or Purchased
	 	 	41	 
	Section 3.03 Notice of Redemption
	 	 	41	 
	Section 3.04 Effect of Notice of Redemption
	 	 	42	 
	Section 3.05 Deposit of Redemption or Purchase Price
	 	 	42	 
	Section 3.06 Notes Redeemed or Purchased in Part
	 	 	43	 
	Section 3.07 Optional Redemption
	 	 	43	 
	Section 3.08 Mandatory Redemption
	 	 	43	 
	Section 3.09 Offer to Purchase by Application of Excess Proceeds or Excess Cash Flow
	 	 	44	 
	 
	 	 	 	 
	ARTICLE 4.

COVENANTS

	 
	 	 	 	 
	Section 4.01 Payment of Notes
	 	 	45	 
	Section 4.02 Maintenance of Office or Agency
	 	 	45	 
	Section 4.03 Reports
	 	 	46	 
	Section 4.04 Compliance Certificate
	 	 	47	 
	Section 4.05 Taxes
	 	 	47	 
	Section 4.06 Stay, Extension and Usury Laws
	 	 	47	 
	Section 4.07 Restricted Payments
	 	 	47	 
	Section 4.08 Dividend and Other Payment Restrictions Affecting Subsidiaries
	 	 	50	 
	Section 4.09 Incurrence of Indebtedness and Issuance of Preferred Stock
	 	 	51	 
	Section 4.10 Asset Sales
	 	 	52	 
	Section 4.11 Transactions with Affiliates
	 	 	54	 

 

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	 	 	Page	 
	 
	 	 	 	 
	Section 4.12 Liens
	 	 	56	 
	Section 4.13 Business Activities
	 	 	56	 
	Section 4.14 Corporate Existence
	 	 	56	 
	Section 4.15 Offer to Repurchase Upon Change of Control
	 	 	57	 
	Section 4.16 Limitation on Issuances and Sales of Equity Interests in Wholly-Owned Subsidiaries
	 	 	58	 
	Section 4.17 Payments for Consent
	 	 	58	 
	Section 4.18 Additional Note Guarantees
	 	 	58	 
	Section 4.19 Further Assurances; Insurance
	 	 	58	 
	Section 4.20 Designation of Restricted and Unrestricted Subsidiaries
	 	 	60	 
	Section 4.21 Limitation on Capital Expenditures
	 	 	60	 
	Section 4.22 Excess Cash Flow Offer
	 	 	61	 
	Section 4.23 Minimum Consolidated Cash Flow
	 	 	62	 
	 
	 	 	 	 
	ARTICLE 5.

SUCCESSORS

	 
	 	 	 	 
	Section 5.01 Merger, Consolidation, or Sale of Assets
	 	 	62	 
	Section 5.02 Successor Corporation Substituted
	 	 	63	 
	 
	 	 	 	 
	ARTICLE 6.

DEFAULTS AND REMEDIES

	 
	 	 	 	 
	Section 6.01 Events of Default
	 	 	63	 
	Section 6.02 Acceleration
	 	 	65	 
	Section 6.03 Other Remedies
	 	 	65	 
	Section 6.04 Waiver of Past Defaults
	 	 	65	 
	Section 6.05 Control by Majority
	 	 	66	 
	Section 6.06 Limitation on Suits
	 	 	66	 
	Section 6.07 Rights of Holders of Notes to Receive Payment
	 	 	66	 
	Section 6.08 Collection Suit by Trustee
	 	 	66	 
	Section 6.09 Trustee May File Proofs of Claim
	 	 	67	 
	Section 6.10 Priorities
	 	 	67	 
	Section 6.11 Undertaking for Costs
	 	 	67	 
	 
	 	 	 	 
	ARTICLE 7.

TRUSTEE

	 
	 	 	 	 
	Section 7.01 Duties of Trustee
	 	 	68	 
	Section 7.02 Rights of Trustee
	 	 	68	 
	Section 7.03 Individual Rights of Trustee
	 	 	69	 
	Section 7.04 Trustee’s Disclaimer
	 	 	69	 
	Section 7.05 Notice of Defaults
	 	 	69	 
	Section 7.06 Reports by Trustee to Holders of the Notes
	 	 	69	 
	Section 7.07 Compensation and Indemnity
	 	 	70	 
	Section 7.08 Replacement of Trustee
	 	 	70	 
	Section 7.09 Successor Trustee by Merger, etc.
	 	 	71	 
	Section 7.10 Eligibility; Disqualification
	 	 	71	 
	Section 7.11 Preferential Collection of Claims Against Company
	 	 	71	 

 

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	 	 	Page	 
	 
	 	 	 	 
	ARTICLE 8.

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

	 
	 	 	 	 
	Section 8.01 Option to Effect Legal Defeasance or Covenant Defeasance
	 	 	71	 
	Section 8.02 Legal Defeasance and Discharge
	 	 	72	 
	Section 8.03 Covenant Defeasance
	 	 	72	 
	Section 8.04 Conditions to Legal or Covenant Defeasance
	 	 	73	 
	Section 8.05 Deposited Money and Government Securities to be Held in Trust;
Other Miscellaneous Provisions
	 	 	74	 
	Section 8.06 Repayment to Company
	 	 	74	 
	Section 8.07 Reinstatement
	 	 	74	 
	 
	 	 	 	 
	ARTICLE 9.

AMENDMENT, SUPPLEMENT AND WAIVER

	 
	 	 	 	 
	Section 9.01 Without Consent of Holders of Notes
	 	 	75	 
	Section 9.02 With Consent of Holders of Notes
	 	 	75	 
	Section 9.03 Compliance with Trust Indenture Act
	 	 	77	 
	Section 9.04 Revocation and Effect of Consents
	 	 	77	 
	Section 9.05 Notation on or Exchange of Notes
	 	 	77	 
	Section 9.06 Trustee to Sign Amendments, etc.
	 	 	77	 
	 
	 	 	 	 
	ARTICLE 10.

COLLATERAL AND SECURITY

	 
	 	 	 	 
	Section 10.01 Security Documents
	 	 	77	 
	Section 10.02 Ranking of Note Liens
	 	 	78	 
	Section 10.03 Order of Application
	 	 	78	 
	Section 10.04 Collateral Agent
	 	 	79	 
	Section 10.05 Authorization of Actions to Be Taken
	 	 	80	 
	Section 10.06 Release of Note Liens
	 	 	81	 
	Section 10.07 Recording and Opinions
	 	 	82	 
	Section 10.08 Certificates of the Company
	 	 	82	 
	Section 10.09 Certificates of the Trustee
	 	 	83	 
	Section 10.10 Amendment of Security Documents
	 	 	83	 
	Section 10.11 Appointment of Co-Collateral Agent
	 	 	84	 
	 
	 	 	 	 
	ARTICLE 11.

NOTE GUARANTEES

	 
	 	 	 	 
	Section 11.01 Guarantee
	 	 	85	 
	Section 11.02 Limitation on Guarantor Liability
	 	 	85	 
	Section 11.03 Execution and Delivery of Note Guarantee
	 	 	86	 
	Section 11.04 Guarantors May Consolidate, etc., on Certain Terms
	 	 	86	 
	Section 11.05 Releases
	 	 	87	 
	 
	 	 	 	 
	ARTICLE 12.

SATISFACTION AND DISCHARGE

 
	Section 12.01 Satisfaction and Discharge
	 	 	88	 
	Section 12.02 Application of Trust Money
	 	 	88	 

 

iii

 

	 	 	 	 	 
	 	 	Page	 
	 
	 	 	 	 
	ARTICLE 13.

MISCELLANEOUS

	 
	 	 	 	 
	Section 13.01 Trust Indenture Act Controls
	 	 	89	 
	Section 13.02 Notices
	 	 	89	 
	Section 13.03 Communication by Holders of Notes with Other Holders of Notes
	 	 	90	 
	Section 13.04 Certificate and Opinion as to Conditions Precedent
	 	 	90	 
	Section 13.05 Statements Required in Certificate or Opinion
	 	 	90	 
	Section 13.06 Rules by Trustee and Agents
	 	 	91	 
	Section 13.07 No Personal Liability of Directors, Officers, Employees and Stockholders
	 	 	91	 
	Section 13.08 Governing Law
	 	 	91	 
	Section 13.09 No Adverse Interpretation of Other Agreements
	 	 	91	 
	Section 13.10 Successors
	 	 	91	 
	Section 13.11 Severability
	 	 	91	 
	Section 13.12 Counterpart Originals
	 	 	91	 
	Section 13.13 Table of Contents, Headings, etc.
	 	 	91	 

EXHIBITS

	 	 	 
	Exhibit A1
	 	FORM OF NOTE
	Exhibit A2
	 	FORM OF REGULATION S TEMPORARY GLOBAL NOTE
	Exhibit B
	 	FORM OF CERTIFICATE OF TRANSFER
	Exhibit C
	 	FORM OF CERTIFICATE OF EXCHANGE
	Exhibit D
	 	FORM OF CERTIFICATE OF ACQUIRING INSTITUTIONAL ACCREDITED INVESTOR
	Exhibit E
	 	FORM OF NOTATION OF GUARANTEE
	Exhibit F
	 	FORM OF SUPPLEMENTAL INDENTURE

 

iv

 

INDENTURE dated as of July 7, 2009 among Real Mex Restaurants, Inc., a Delaware corporation,
the Guarantors (as defined) and Wells Fargo Bank, National Association, as Trustee.

The Company, the Guarantors and the Trustee agree as follows for the benefit of each other and
for the equal and ratable benefit of the Holders (as defined) of the 14% Senior Secured Notes due
2013 (the “Notes”):

ARTICLE 1.

DEFINITIONS AND INCORPORATION

BY REFERENCE

Section 1.01 Definitions.

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

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

(1) Indebtedness of any other Person existing at the time such other Person is merged
with or into or became a Subsidiary of such specified Person, whether or not such
Indebtedness is incurred in connection with, or in contemplation of, such other Person
merging with or into, or becoming a Restricted Subsidiary of, such specified Person;
provided, however, that Indebtedness of such acquired Person which is redeemed, defeased,
retired or otherwise repaid at the time of or immediately upon consummation of the
transactions by which such Person merges with or into or becomes a Subsidiary of such Person
shall not be Acquired Debt; and

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

“Act of Required Noteholders” means, as to any matter at any time, a direction in writing
delivered to the Collateral Agent by or with the written consent of the Holders of a majority in
aggregate outstanding principal amount of Notes then outstanding, voting together as a single
class. For this purpose, Note Debt registered in the name of, or Beneficially Owned by, the Company
or any of its Affiliates will be deemed not to be outstanding.

“Adjusted Leverage Ratio” means for any period, the ratio of (A) (i) Consolidated Indebtedness
as of the end of such period plus (ii) eight times Consolidated Rental Expense for such period to
(B) (i) Consolidated Cash Flow for such period plus (ii) Consolidated Rental Expense for such
period. In the event that the Company or any of its Restricted Subsidiaries incurs, assumes,
guarantees, repays, repurchases, redeems, defeases or otherwise discharges any Indebtedness (other
than ordinary working capital borrowings) or issues, repurchases or redeems preferred stock
subsequent to the commencement of the period for which the Adjusted Leverage Ratio is being
calculated and on or prior to the date on which the event for which the calculation of the Adjusted
Leverage Ratio is made (the “Calculation Date”), then the Adjusted Leverage Ratio will be
calculated giving pro forma effect to such incurrence, assumption, Guarantee, repayment,
repurchase, redemption, defeasance or other discharge of Indebtedness, or such issuance, repurchase
or redemption of preferred stock, and the use of the proceeds therefrom, as if the same had
occurred at the beginning of the applicable reference period.

In addition, for purposes of calculating the Adjusted Leverage Ratio:

(1) acquisitions and dispositions that have been made by the specified Person or any of
its Restricted Subsidiaries, including through mergers or consolidations, or any Person or
any of its Restricted Subsidiaries acquired or disposed of by the specified Person or any of
its Restricted Subsidiaries, and including any related financing transactions and including
increases or decreases in ownership of Restricted Subsidiaries, during the four-quarter
reference period or subsequent to such reference period and on or prior to the Calculation
Date will be given pro forma effect (in accordance with Regulation S-X under the Securities
Act) as if they had occurred on the first day of the four-quarter reference period;
provided, that if any assets (including Capital Stock) acquired in such acquisitions
are disposed of during the same four-
quarter reference period (or vice versa), such acquisitions (and the related
dispositions) shall be disregarded for purposes of this clause (1);

 

 

 

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

(3) any Person that is a Restricted Subsidiary on the Calculation Date (or would become
a Restricted Subsidiary on such Calculation Date in connection with the transaction
requiring determination of such Consolidated Cash Flow) will be deemed to have been a
Restricted Subsidiary at all times during such period;

(4) any Person that is not a Restricted Subsidiary on the Calculation Date (or would
cease to be a Restricted Subsidiary on such Calculation Date in connection with the
transaction requiring determination of such Consolidated Cash Flow) will be deemed not to
have been a Restricted Subsidiary at any time during such period; and

(5) cash on the balance sheet (and, to the extent not included on the balance sheet,
any Excess Cash Flow Offer Amount held in the escrow account pursuant to the covenant
entitled “Excess Cash Flow”) at the end of such period shall be deducted from Consolidated
Indebtedness.

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

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

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

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

(2) the excess of:

(a) the present value at such redemption date of (i) the redemption price of
the Note at July 1, 2011 (such redemption price being set forth in the table
appearing in Section 3.07) plus (ii) all required interest payments due on the Note
through July 1, 2011 (excluding accrued but unpaid interest and Liquidated Damages,
if any, to the redemption date), computed using a discount rate equal to the
Treasury Rate as of such redemption date plus 50 basis points; over

(b) the principal amount of the Note.

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

“Asset Sale” means:

(1) the sale, lease, conveyance or other disposition of any assets or rights; provided
that the sale, lease, conveyance or other disposition of all or substantially all of the
assets of the Company and its Subsidiaries taken as a whole will be governed by the
provisions of Section 4.15 hereof and/or the provisions of Section 5.01 hereof and not by
the provisions of Section 4.10 hereof; and

 

2

 

(2) the issuance or sale of Equity Interests in any of the Company’s Restricted
Subsidiaries (other than directors’ qualifying shares or shares required by applicable law
to be held by a Person other than the Company or a Restricted Subsidiary).

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

(1) any single transaction or series of related transactions that involves assets
having a Fair Market Value of less than $1.0 million;

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

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

(4) the sale or lease of products, services or accounts receivable in the ordinary
course of business and any sale or other disposition of damaged, worn-out or obsolete assets
in the ordinary course of business;

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

(6) a Restricted Payment that does not violate Section 4.07 hereof or a Permitted
Investment;

(7) dispositions of Investments or receivables in connection with the compromise,
settlement or collection thereof in the ordinary course of business or in bankruptcy or
similar proceeds and exclusive of factoring or similar arrangements;

(8) the licensing or sublicensing of intellectual property or other general intangibles
and licenses, leases or subleases of other property in the ordinary course of business which
do not materially interfere with the business of the Company and its Restricted
Subsidiaries;

(9) the sale or other disposition of restaurants in the ordinary course of business
consistent with past practice; and

(10) the sale of an Unrestricted Subsidiary.

“Bankruptcy Law” means Title 11, U.S. Code or any similar federal or state law for the relief
of debtors.

“Beneficial Owner” has the meaning assigned to such term in Rule 13d-3 and Rule 13d-5 under
the Exchange Act, except that in calculating the beneficial ownership of any particular “person”
(as that term is used in Section 13(d)(3) of the Exchange Act), such “person” will be deemed to
have beneficial ownership of all securities that such “person” has the right to acquire by
conversion or exercise of other securities, whether such right is currently exercisable or is
exercisable only after the passage of time. The terms “Beneficially Owned” and “Beneficial
Ownership” have corresponding meanings.

“Board of Directors” means:

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

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

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

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

 

3

 

“Broker-Dealer” has the meaning set forth in the Registration Rights Agreement.

“Business Day” means any day that is not a Saturday, a Sunday or a day on which commercial
banking institutions in the State of New York or at a place of payment are authorized by law,
regulation or executive order to remain closed.

“Capital Expenditures” means for any period all direct or indirect (by way of acquisition of
Capital Stock of a Person or the expenditure of cash or the transfer of property or the incurrence
of Indebtedness) expenditures in respect of the purchase or other acquisition of fixed or capital
assets that would be required to be capitalized in conformity with GAAP, excluding (i) normal
replacement and maintenance programs properly charged to current operations, (ii) the purchase
price of equipment to the extent that the consideration therefor consists of used, worn out,
damaged, obsolete or surplus equipment being traded in at such time or the proceeds of a concurrent
sale of such used, worn out, damaged, obsolete or surplus equipment, (iii) the acquisition of all
or substantially all of the assets of, or any Capital Stock of, another entity or business unit
(such as a division) as permitted by the terms of this Indenture, (iv) the amount of any
expenditures used to replace assets that have suffered a casualty for which insurance proceeds have
been received or have been properly recorded as receivable and (v) any item customarily charged
directly to expenses or depreciated over a useful life of twelve (12) months or less in accordance
with GAAP.

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

“Capital Stock” means:

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

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

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

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

“Cash Amount” means, with respect to any period, the greater of (a) $0 and (b) the excess of
(i) the Cash Equivalents of the Company and its Subsidiaries as of the last day of such period over
(ii) the sum of (A) the outstanding revolving credit borrowings under the Credit Agreement as of
the last day of such period and (B) $5 million.

“Cash Equivalents” means:

(1) United States dollars;

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

(3) certificates of deposit and eurodollar time deposits with maturities of six months
or less from the date of acquisition, bankers’ acceptances with maturities not exceeding six
months and overnight bank deposits, in each case, with any lender party to a Credit Facility
or with any U.S. commercial bank having capital and surplus in excess of $500.0 million and
a Thomson Bank Watch Rating of “B” or better;

 

4

 

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

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

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

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

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

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

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

(4) after an initial public offering of the Company or any direct or indirect parent of
the Company, the first day on which a majority of the members of the Board of Directors of
the Company are not Continuing Directors.

“Clearstream” means Clearstream Banking, S.A.

“Collateral” means all properties and assets at any time owned or acquired by the Company or
any of the Guarantors, other than Excluded Assets.

“Collateral Agent” means Wells Fargo Bank, National Association, in its capacity as collateral
agent under the Security Documents and the Intercreditor Agreement, together with its successors in
such capacity.

“Company” means Real Mex Restaurants, Inc., and any and all successors thereto.

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

(1) an amount equal to (a) any extraordinary loss plus (b) any net loss realized by
such Person or any of its Restricted Subsidiaries in connection with an Asset Sale, in each
case to the extent such losses were deducted in computing such Consolidated Net Income; plus

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

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

(4) (a) customary fees and expenses of the Company and its Restricted Subsidiaries
payable in connection with (i) the issuance and maintenance of the Notes and the related
borrowing under the Credit Agreement, (ii) any Equity Offering, (iii) the incurrence,
maintenance, termination or repayment of Indebtedness permitted by Section 4.09 hereof or
(iv) any acquisition permitted under this Indenture and (b) restructuring charges, in each case to the extent that such items were deducted in
computing such Consolidated Net Income; plus

 

5

 

(5) depreciation, amortization (including amortization of deferred financing fees and
intangibles but excluding amortization of prepaid cash expenses that were paid in a prior
period), the GAAP rental expense associated with operating leases less the actual cash
rental expense associated with such operating leases and other non-cash expenses (including
charges related to the writeoff of goodwill or intangibles or assets as a result of
impairment, in each case, as required by SFAS No. 142 or SFAS No. 144 but excluding any such
non-cash expense to the extent that it represents an accrual of or reserve for cash expenses
in any future period or amortization of a prepaid cash expense that was paid in a prior
period) of such Person and its Restricted Subsidiaries for such period to the extent that
such depreciation, amortization, GAAP rental expense and other non-cash expenses were
deducted in computing such Consolidated Net Income; minus

(6) non-cash items increasing such Consolidated Net Income for such period, other than
the accrual of revenue in the ordinary course of business; in each case, on a consolidated
basis and determined in accordance with GAAP.

“Consolidated Indebtedness” means, as at any date of determination, without duplication, the
aggregate amount of all Indebtedness (excluding any Indebtedness attributable to undrawn letters of
credit) of the Company and its Restricted Subsidiaries, determined on a consolidated basis in
accordance with GAAP.

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

(1) the Net Income (if positive) of any Person that is not a Restricted Subsidiary or
that is accounted for by the equity method of accounting will be included only to the extent
of the amount of dividends or similar distributions paid in cash to the specified Person or
a Restricted Subsidiary of the Person;

(2) the Net Income (but not loss) of any Restricted Subsidiary will be excluded to the
extent that the declaration or payment of dividends or similar distributions by that
Restricted Subsidiary of that Net Income is not at the date of determination permitted
without any prior governmental approval (that has not been obtained) or, directly or
indirectly, by operation of the terms of its charter or any agreement, instrument, judgment,
decree, order, statute, rule or governmental regulation applicable to that Restricted
Subsidiary or its stockholders;

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

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

“Consolidated Rental Expense” means, for any period, the aggregate amount of fixed and
contingent rentals payable by the Company and its Restricted Subsidiaries for such period with
respect to leases of real and personal property, determined on a consolidated basis in accordance
with GAAP.

“Continuing Directors” means, as of any date of determination, any member of the Board of
Directors of the Company who:

(1) was a member of such Board of Directors on the date of this Indenture; or

(2) was nominated for election or elected to such Board of Directors with the approval
of a majority of the Continuing Directors who were members of such Board of Directors at the
time of such nomination or election.

“Corporate Trust Office of the Trustee” will be at the address of the Trustee specified in
Section 13.02 hereof or such other address as to which the Trustee may give notice to the Company.

 

6

 

“Credit Agreement” means that certain Second Amended and Restated Credit Agreement, dated
January 29, 2007, as amended as of the date hereof, by and among the Company, General Electric
Capital Corporation, as administrative agent and as lender, and the other lenders party thereto
from time to time, providing for (1) up to $15.0 million of revolving credit borrowings and (2) a
separate facility for up to $25.0 million of letters of credit, in each case, including any related
notes, guarantees, collateral documents, instruments and agreements executed in connection
therewith, and in each case as amended, restated, modified, renewed, refunded, replaced (whether
upon or after termination or otherwise) or refinanced (including by means of sales of debt
securities to institutional investors) in whole or in part from time to time.

“Credit Agreement Agent” means General Electric Capital Corporation, in its capacity as
collateral agent under the Priority Lien Security Documents, and any successor thereto in such
capacity.

“Credit Facilities” means, one or more debt facilities (including, without limitation, the
Credit Agreement, but excluding the Term Loan Credit Agreement) or commercial paper facilities, in
each case with banks or other institutional lenders providing for revolving credit loans, term
loans, receivables financing (including through the sale of receivables to such lenders or to
special purpose entities formed to borrow from such lenders against such receivables) or letters of
credit, in each case, as amended, restated, modified, renewed, refunded, replaced (whether upon or
after termination or otherwise) or refinanced (including by means of sales of debt securities to
institutional investors) in whole or in part from time to time.

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

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

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

“Depositary” means, with respect to the Notes issuable or issued in whole or in part in global
form, the Person specified in Section 2.03 hereof as the Depositary with respect to the Notes, and
any and all successors thereto appointed as depositary hereunder and having become such pursuant to
the applicable provision of this Indenture.

“Disqualified Stock” means any Capital Stock that, by its terms (or by the terms of any
security into which it is convertible, or for which it is exchangeable, in each case at the option
of the holder of the Capital Stock), or upon the happening of any event, matures or is mandatorily
redeemable, pursuant to a sinking fund obligation or otherwise, or redeemable at the option of the
holder of the Capital Stock, in whole or in part, on or prior to the date that is 91 days after the
date on which the Notes mature. Notwithstanding the preceding sentence, any Capital Stock that
would constitute Disqualified Stock solely because the holders of the Capital Stock have the right
to require the Company to repurchase such Capital Stock upon the occurrence of a change of control
or an asset sale will not constitute Disqualified Stock if (x) the asset sale or change of control
provisions applicable to such Capital Stock are not more favorable to the holders of such Capital
Stock than the provisions of Sections 4.10 and 4.15 hereof or (y) the terms of such Capital Stock
provide that the Company may not repurchase or redeem any such Capital Stock prior to the Company’s
purchase of the Notes as is required to be purchased pursuant to the provisions of this Indenture
at a price not greater than 101% of the liquidation value thereof. The amount of Disqualified Stock
deemed to be outstanding at any time for purposes of this Indenture will be the maximum amount that
the Company and its Restricted Subsidiaries may become obligated to pay upon the maturity of, or
pursuant to any mandatory redemption provisions of, such Disqualified Stock, exclusive of accrued
dividends.

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

“Escrow Account” means a securities account maintained with the Collateral Agent.

 

7

 

“Escrow Agreement” means a control and blocked account agreement prepared by the Company
reasonably acceptable to the Collateral Agent and the Credit Agreement Agent.

“Escrowed Funds” means any funds, investment property, financial assets or other property held
in, or credited to, the Escrow Account.

“equally and ratably” means, in reference to any sharing of Liens or proceeds from the
enforcement of the Collateral Agent’s security interests in the Collateral as among the holders of
Note Obligations, that such Liens or proceeds:

(1) shall be allocated and distributed first to the Trustee, for account of the Holders
of Notes, ratably in proportion to the principal of and interest and premium (if any)
outstanding when the allocation or distribution is made, and thereafter; and

(2) shall be allocated and distributed (if any such proceeds remain after payment in
full of all of the principal of and interest and premium (if any) on all outstanding Note
Debt) to the Trustee, for account of the holders of any remaining Note Obligations with
respect to the Notes, ratably in proportion to the aggregate unpaid amount of such remaining
Note Obligations due and demanded (with written notice to the Trustee and the Collateral
Agent) prior to the date such distribution is made.

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

“Equity Offering” means an offer and sale of common stock of the Company or any direct or
indirect parent of the Company pursuant to a registration statement that has been declared
effective by the SEC pursuant to the Securities Act (other than a registration statement on Form
S-8 or otherwise relating to equity securities issuable under any employee benefit plan of the
Company).

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

“Excess Cash Flow” means, for any period, Consolidated Cash Flow of the Company for such
period, adjusted as follows:

(1) minus the cash portion of Fixed Charges (net of interest income) of the Company ;

(2) minus Capital Expenditures permitted to be made in accordance with the Indenture
for such period; and

(3) minus the cash portion of any taxes described in clause (2) of the definition of
Consolidated Cash Flow with respect to such period.

“Excess Cash Flow Offer Amount” means, with respect to any period, the lesser of (A) 75% of
Excess Cash Flow for such period and (B) the Cash Amount for such period (in either case, less the
amount of any open market purchases and any redemptions of Notes pursuant to this Indenture made by
the Company during such period).

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

“Exchange Offer” has the meaning set forth in the Registration Rights Agreement.

“Exchange Offer Registration Statement” has the meaning set forth in the Registration Rights
Agreement.

 

8

 

“Excluded Assets” means:

(1) any lease, license, contract, property right or agreement to which the Company or
any Guarantor is a party or any of its rights or interests thereunder if and only for so
long as the grant of a security interest therein under the Security Documents (i) is
prohibited by law or would constitute or result
in the abandonment, invalidation or unenforceability of any right, title or interest of
the grantor of such security interest therein pursuant to applicable law, or (ii) would
require the consent of third parties that are not Affiliates of the Company or any Guarantor
and such consent has not been obtained or waived (other than in the case of real property or
equipment leases in respect of property or equipment leased by the Company or any Guarantor,
for which no additional efforts need to be made) after the Company, or the applicable
Guarantor, as the case may be, has used commercially reasonable efforts to try to obtain
such consent or a waiver thereof, or (iii) other than as a result of a breach of the
provisions thereof, would constitute a default under or result in a termination of such
lease, permit, license, contract, property right or agreement, in each case, (other than to
the extent that any such provisions thereof would be rendered ineffective pursuant to
Sections 9-406, 9-407, 9-408 or 9-409 of the Uniform Commercial Code (or any successor
provision or provisions) of any relevant jurisdiction or any other applicable law); provided
that, immediately upon (a) the unenforceability, ineffectiveness, lapse or termination of
(i) such prohibition, (ii) the provisions that would be so breached or (iii) such breach,
default or termination or (b) the obtaining of any such consent or waiver, if any Priority
Lien Obligations exist that have not been repaid in full and the Priority Lien Collateral
Agent holds or is granted, substantially concurrently, a security interest therein, the
Excluded Assets shall not include, and the Company or applicable Guarantor, as the case may
be, shall be deemed immediately and automatically to have granted a security interest in,
all such leases, licenses, contracts, property rights and agreements and such other rights
and interests thereunder as if such prohibition, the provisions that would be so breached or
such breach, default or termination had never been in effect and as if such consent had not
been required;

(2) money, deposit accounts and letter-of-credit rights that are not supporting
obligations, all as defined in Article 9 of the New York Uniform Commercial Code (except
that the exclusion of money, deposit accounts and letter-of-credit rights that are not
supporting obligations from the Collateral will not affect, limit or impair any security
interest of the Collateral Agent in any proceeds of Collateral at any time held as money,
held on deposit in any deposit account or constituting letter-of-credit rights); provided
that (i) in the event, and to the extent, that, after the date of this Indenture, the
security interest granted therein may be perfected by the filing of a financing statement
under the Uniform Commercial Code of the relevant jurisdiction, money, deposit accounts and
letter-of-credit rights that are not supporting obligations shall cease to be Excluded
Assets, and (ii) (x) the Company and each Guarantor, as the case may be, shall have used
commercially reasonable efforts to cause the Collateral Agent to have a security interest
perfected by control (as defined in Article 9 of the Uniform Commercial Code) to secure the
Note Obligations in any deposit account in which the Priority Lien Collateral Agent or any
holder of Priority Lien Obligations holds a security interest perfected by control, and (y)
such commercially reasonable efforts shall have been unsuccessful;

(3) (i) any foreign intellectual property of the Company or any of its Restricted
Subsidiaries, or (ii) any automobiles, trailers, vehicles or the like of the Company or any
of its Restricted Subsidiaries subject to a certificate-of-title statute (within the meaning
of Article 9 of the New York Uniform Commercial Code), in each case, in which a security
interest may not be perfected by the filing of a financing statement under the Uniform
Commercial Code of the relevant jurisdiction;

(4) any other property or assets in which a security interest cannot be perfected by
the filing of a financing statement under the Uniform Commercial Code of the relevant
jurisdiction, so long as the aggregate Fair Market Value of all such property excluded under
this clause (4) does not at any time exceed $1.0 million (except that the exclusion of such
property from the Collateral will not affect, limit or impair any security interest of the
Collateral Agent in any proceeds of Collateral at any time held as personal property of a
type in which a security interest cannot be perfected by the filing of a financing statement
under the Uniform Commercial Code of the relevant jurisdiction);

(5) Subject to the proviso to clause (1) of this definition, any real property leased
by the Company or any Guarantor;

(6) at any time, any real property interest acquired by the Company or any of its
Restricted Subsidiaries after the date of this Indenture in which the Collateral Agent does
not have a perfected security interest on such acquisition date, solely to the extent the
Company or such Restricted Subsidiary was not then required to grant the Collateral Agent a
perfected security interest therein under Section 4.19 hereof;

 

9

 

(7) any assets or properties in which the Collateral Agent is required to release its
Note Liens securing Note Obligations pursuant to Section 10.06 hereof; provided that if such
Liens are required to be released as a result of the sale, transfer or other disposition of
any assets or properties of the Company or any Guarantor, such assets or properties shall
cease to be “Excluded Assets” under this clause (7) if the Company or any Guarantor
thereafter acquires or reacquires such assets or properties;

(8) the Voting Stock of any Foreign Subsidiary in excess of 65% of the outstanding
Voting Stock of such Foreign Subsidiary; and

(9) at any time Priority Lien Obligations exist that have not been repaid in full, any
properties or assets (other than those specified in clauses (1) through (8) above) acquired
by the Company or any Guarantor after the date of this Indenture in which the Priority Lien
Collateral Agent or the holders of the requisite percentage of Priority Lien Debt do not
obtain a security interest to secure Priority Lien Debt; provided that the aggregate Fair
Market Value of all such property and assets does not exceed $500,000;

provided that (1) solely for the purposes of the Intercreditor Agreement, no asset or property will
constitute an Excluded Asset for so long as it is subject to a Priority Lien, and (2) for all other
purposes, including the Security Documents (and the Collateral that will secure the obligations in
respect of the Notes and the Note Guarantees), no asset will constitute an Excluded Asset for so
long as it is subject to a Priority Lien, other than (i) any leased real property held by the
Company or any Guarantor from time to time to the extent such leased real property would otherwise
be an “Excluded Asset” under clause (5) of this definition or (ii) any deposit account to the
extent such deposit account would otherwise be an “Excluded Asset” under clause (2) of this
definition. For the avoidance of doubt, in no event shall the term Collateral include any
securities or Equity Interests of any of the Company’s Affiliates if such securities or Equity
Interests are not owned by the Company or any of the Guarantors.

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

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

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

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

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

(3) any interest on Indebtedness of another Person that is guaranteed by such Person or
one of its Restricted Subsidiaries or secured by a Lien on assets of such Person or one of
its Restricted Subsidiaries, whether or not such Guarantee or Lien is called upon; plus

(4) the product of (a) all cash dividends paid on any series of preferred stock of such
Person or any of its Restricted Subsidiaries, other than dividends on Equity Interests
payable solely in Equity Interests of the Company (other than Disqualified Stock) or to the
Company or a Restricted Subsidiary of the Company, times (b) a fraction, the numerator of
which is one and the denominator of which is one minus the then current combined federal,
state and local statutory tax rate of such Person, expressed as a decimal, in each case,
determined on a consolidated basis in accordance with GAAP.

 

10

 

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

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

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

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

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

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

“Guarantors” means Parent and the Subsidiary Guarantors.

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

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

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

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

“Holder” means a Person in whose name a Note is registered.

“IAI Global Note” means a Global Note substantially in the form of Exhibit Al hereto bearing
the Global Note Legend and the Private Placement Legend and deposited with or on behalf of and
registered in the name of the Depositary or its nominee that will be issued in a denomination equal
to the outstanding principal amount of the Notes sold to Institutional Accredited Investors.

“Indebtedness” means, with respect to any specified Person, any indebtedness of such Person
(excluding accrued expenses and trade payables), whether or not contingent:

(1) in respect of borrowed money;

(2) evidenced by bonds, notes, debentures or similar instruments or letters of credit
(or reimbursement agreements in respect thereof);

(3) in respect of banker’s acceptances;

(4) representing Capital Lease Obligations;

 

11

 

(5) representing the balance deferred and unpaid of the purchase price of any property
or services due more than six months after such property is acquired or such services are
completed; or

(6) representing any Hedging Obligations;

if and to the extent any of the preceding items (other than letters of credit and Hedging
Obligations) would appear as a liability upon a balance sheet of the specified Person prepared in
accordance with GAAP. In addition, the term “Indebtedness” includes (a) all Indebtedness of others
secured by a Lien on any asset of the specified Person (whether or not such Indebtedness is assumed
by the specified Person) and (b) to the extent not otherwise included, the Guarantee by the
specified Person of any Indebtedness of any other Person.

“Indenture” means this Indenture, as amended, supplemented or otherwise modified from time to
time.

“Indirect Participant” means a Person who holds a beneficial interest in a Global Note through
a Participant.

“Initial Purchaser” means Jefferies & Company, Inc.

“Insolvency or Liquidation Proceeding” means:

(1) any case commenced by or against the Company or any other Obligor under any
Bankruptcy Law, any other proceeding for the reorganization, recapitalization or adjustment
or marshalling of the assets or liabilities of the Company or any other Obligor, any
receivership or assignment for the benefit of creditors relating to the Company or any other
Obligor or any similar case or proceeding relative to the Company or any other Obligor or
its creditors, as such, in each case whether or not voluntary;

(2) any liquidation, dissolution, marshalling of assets or liabilities or other winding
up of or relating to the Company or any other Obligor, in each case whether or not voluntary
and whether or not involving bankruptcy or insolvency; or

(3) any other proceeding of any type or nature in which substantially all claims of
creditors of the Company or any other Obligor are determined and any payment or distribution
is or may be made on account of such claims.

“Institutional Accredited Investor” means an institution that is an “accredited investor” as
defined in Rule 501(a)(1), (2), (3) or (7) under the Securities Act, who are not also QIBs.

“Intercreditor Agreement” means the Intercreditor Agreement, dated as of the date of this
Indenture, among the Trustee, the Collateral Agent and the Priority Lien Collateral Agent, as
amended, supplemented or otherwise modified from time to time.

“Investments” means, with respect to any Person, all direct or indirect investments by such
Person in other Persons (including Affiliates) in the forms of loans (including Guarantees or other
obligations), advances or capital contributions (excluding commission, travel and similar advances
to officers and employees made in the ordinary course of business and advances to customers in the
ordinary course of business that are recorded as accounts receivable), purchases or other
acquisitions for consideration of Indebtedness, Equity Interests or other securities, together with
all items that are or would be classified as investments on a balance sheet prepared in accordance
with GAAP. If the Company or any Subsidiary of the Company sells or otherwise disposes of any
Equity Interests of any Restricted Subsidiary of the Company such that, after giving effect to any
such sale or disposition, such Person is no longer a Restricted Subsidiary of the Company, the
Company will be deemed to have made an Investment on the date of any such sale or disposition equal
to the Fair Market Value of the Company’s Investments in such Restricted Subsidiary that were not
sold or disposed of in an amount determined as provided in Section 4.07(c) hereof. The acquisition
by the Company or any Subsidiary of the Company of a Person that holds an Investment in a third
Person will be deemed to be an Investment by the Company or such Subsidiary in such third Person in
an amount equal to the Fair Market Value of the Investments held by the acquired Person in such
third Person in an amount determined as provided in Section 4.07(c) hereof. Except as otherwise
provided in this Indenture, the amount of an
Investment will be determined at the time the Investment is made and without giving effect to
subsequent changes in value.

 

12

 

“Letter of Transmittal” means the letter of transmittal to be prepared by the Company and sent
to all Holders of the Notes for use by such Holders in connection with the Exchange Offer.

“Lien” means, with respect to any asset, any mortgage, lien, pledge, charge, security interest
or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise
perfected under applicable law, including any conditional sale or other title retention agreement,
any lease in the nature thereof, any option or other agreement to sell give a security interest in
and any filing of or agreement to give any financing statement relating to a lien on an asset under
the Uniform Commercial Code (or equivalent statutes) of any jurisdiction.

“Liquidated Damages” means all liquidated damages then owing pursuant to the Registration
Rights Agreement.

“Net Income” means, with respect to any specified Person, the net income (loss) of such
Person, determined in accordance with GAAP and before any reduction in respect of preferred stock
dividends, excluding, however:

(1) any gain (but not loss), together with any related provision for taxes on such gain
(but not loss), realized in connection with: (a) any Asset Sale; or (b) the disposition of
any securities by such Person or any of its Restricted Subsidiaries or the extinguishment of
any Indebtedness of such Person or any of its Restricted Subsidiaries; and

(2) any extraordinary gain (but not loss), together with any related provision for
taxes on such extraordinary gain (but not loss).

“Net Proceeds” means the aggregate cash proceeds received by the Company or any of its
Restricted Subsidiaries in respect of any Asset Sale (including, without limitation, any cash
received upon the sale or other disposition of any non-cash consideration received in any Asset
Sale), net of the direct costs relating to such Asset Sale, including, without limitation, legal,
accounting and investment banking fees and discounts, and sales commissions, and any other fees and
expenses, including without limitation relocation expenses incurred as a result of the Asset Sale,
taxes paid or payable as a result of the Asset Sale, in each case, after taking into account any
available tax credits or deductions and any tax sharing arrangements, amounts required to be
applied to the repayment of Indebtedness, other than Indebtedness under a Credit Facility, secured
by a Lien on the asset or assets that were the subject of such Asset Sale and any reserve for
adjustment in respect of the sale price of such asset or assets established in accordance with
GAAP.

“Non-Recourse Debt” means Indebtedness:

(1) as to which neither the Company nor any of its Restricted Subsidiaries (a) provides
credit support of any kind (including any undertaking, agreement or instrument that would
constitute Indebtedness), (b) is directly or indirectly liable as a guarantor or otherwise,
or (c) constitutes the lender;

(2) no default with respect to which (including any rights that the holders of the
Indebtedness may have to take enforcement action against an Unrestricted Subsidiary) would
permit upon notice, lapse of time or both any holder of any other Indebtedness of the
Company or any of its Restricted Subsidiaries to declare a default on such other
Indebtedness or cause the payment of the Indebtedness to be accelerated or payable prior to
its Stated Maturity; and

(3) as to which the lenders have been notified in writing that they will not have any
recourse to the stock or assets of the Company or any of its Restricted Subsidiaries.

“Non-U.S. Person” means a Person who is not a U.S. Person.

 

13

 

“Note Debt” means the Notes.

“Note Documents” means, collectively, this Indenture, the Notes, the Note Guarantees, the
Security Documents, the Intercreditor Agreement and all agreements governing, securing or relating
to any Note Obligations.

“Note Guarantee” means the Guarantee by each Guarantor of the Company’s Obligations under this
Indenture and the Notes, executed pursuant to the provisions of this Indenture.

“Note Lien” means a Lien granted by the Company or any other Obligor to the Collateral Agent
(or any other holder, or representative of holders, of Note Obligations) upon any property or
assets of the Company or such Obligor to secure Note Obligations.

“Note Obligations” means Note Debt and all other Obligations in respect thereof.

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

“Obligations” means:

(1) any principal (including reimbursement obligations with respect to letters of
credit whether or not drawings have been made thereon), interest (including any interest
accruing at the then applicable rate provided in any applicable Secured Debt Document after
the maturity of the Indebtedness thereunder and any reimbursement obligations therein and
interest accruing at the then applicable rate provided in any applicable Secured Debt
Document after the filing of any petition in bankruptcy, or the commencement of any
insolvency, reorganization or like proceeding, whether or not a claim for post-filing or
post-petition interest is allowed in such proceeding), penalties, fees, indemnifications,
reimbursements, damages and other liabilities payable under the documentation governing any
Indebtedness;

(2) the obligation to pay an amount equal to all damages that a court shall determine
any holder of the applicable Secured Debt has suffered by reason of a breach by the
applicable obligor thereunder of any obligation, covenant or undertaking with respect to any
applicable Secured Debt Document; and

(3) any net obligations of the obligor under any applicable Secured Debt Document to
any holder of Secured Debt (or any representative on its behalf) or any Affiliate thereof
under any Hedging Obligations in respect of interest rates or currency exchange rates.

“Obligor” means Parent, the Company and each Restricted Subsidiary of the Company (if any)
that at any time guarantees or provides collateral security or credit support for any Note
Obligations.

“Officers’ Certificate” means, with respect to any Person, an officers’ certificate to be
delivered upon the occurrence of certain events as set forth in this Indenture, and to be executed
by two officers of such Person, one of whom shall be the principal executive officer, the principal
financial officer, the Treasurer or a Vice President of such Person, and in the case of an
officer’s certificate of the Company, meeting the requirements of Section 13.05 hereof. Unless
otherwise provided in this Indenture or the context otherwise requires, references to an Officers’
Certificate shall be to an Officers’ Certificate of the Company.

“Opinion of Counsel” means the opinion of counsel (subject to certain customary exceptions and
assumptions) to be delivered upon the occurrence of certain events set forth in this Indenture
(which Opinion of Counsel shall be reasonably acceptable to the Trustee and shall meet the
requirements of Section 13.05 hereof). The counsel may be an employee of or counsel to the
Company.

“Parent” means RM Restaurant Holding Corp., a Delaware corporation.

“Participant” means, with respect to the Depositary, Euroclear or Clearstream, a Person who
has an account with the Depositary, Euroclear or Clearstream, respectively (and, with respect to
DTC, shall include Euroclear and Clearstream).

 

14

 

“Permitted Business” means the ownership and, operation or franchising of restaurants,
including a single restaurant, and the production, packaging or distribution of food, and any
business that is similar or reasonably related, ancillary or complementary thereto and any
reasonable extension thereof.

“Permitted Debt” means:

(1) the incurrence by the Company and any Subsidiary Guarantor of Indebtedness and
obligations in respect of letters of credit under Credit Facilities; provided that, the
aggregate principal amount at any one time outstanding under such Credit Facilities shall
not exceed (a) $15 million outstanding at any time under this clause (1) for revolving loans
and letters of credit and (b) $25 million outstanding at any time under this clause (1) with
respect to letters of credit only (with letters of credit being deemed to have a principal
amount equal to the maximum potential liability of the Company and its Restricted
Subsidiaries thereunder);

(2) the incurrence by the Company and its Restricted Subsidiaries of the Existing
Indebtedness;

(3) the incurrence by the Company and the Subsidiary Guarantors of Indebtedness
represented by the Notes and the related Note Guarantees to be issued on the date of this
Indenture and the exchange Notes and the related Note Guarantees to be issued pursuant to
the Registration Rights Agreement;

(4) the incurrence by the Company or any of its Restricted Subsidiaries of Indebtedness
represented by Capital Lease Obligations, mortgage financings or purchase money obligations,
in each case, incurred for the purpose of financing, whether or not incurred at the time of
such cost or acquisition, all or any part of the purchase price or cost of design,
construction, installation or improvement of property, plant or equipment or intellectual
property rights used in the business of the Company or any of its Restricted Subsidiaries,
in an aggregate principal amount, including all Permitted Refinancing Indebtedness incurred
to renew, refund, refinance, replace, defease or discharge any Indebtedness incurred
pursuant to this clause (4), not to exceed $5,000,000 at any time outstanding;

(5) the incurrence by the Company or any of its Restricted Subsidiaries of Permitted
Refinancing Indebtedness in exchange for, or the net proceeds of which are used to renew,
refund, refinance, replace, defease or discharge any Indebtedness (other than intercompany
Indebtedness) that was permitted by this Indenture to be incurred under the Adjusted
Leverage Ratio test set forth in Section 4.09(a) hereof or clauses (2), (3), (4), (5) or
(15) of this definition;

(6) the incurrence by the Company or any of its Restricted Subsidiaries of intercompany
Indebtedness between or among the Company and any of its Restricted Subsidiaries; provided,
however, that:

(a) if the Company or any Subsidiary Guarantor is the obligor on such
Indebtedness and the payee is not the Company or a Subsidiary Guarantor, such
Indebtedness must be expressly subordinated to the prior payment in full in cash of
all Obligations then due with respect to the Notes, in the case of the Company, or
the Note Guarantee, in the case of a Subsidiary Guarantor; and

(b) (i) any subsequent issuance or transfer of Equity Interests that results in
any such Indebtedness being held by a Person other than the Company or a Restricted
Subsidiary of the Company and (ii) any sale or other transfer of any such
Indebtedness to a Person that is not either the Company or a Restricted Subsidiary
of the Company;

will be deemed, in each case, to constitute an incurrence of such Indebtedness by the
Company or such Restricted Subsidiary, as the case may be, that was not permitted by this
clause (6);

 

15

 

(7) the issuance by any of the Company’s Restricted Subsidiaries to the Company or to
any of its Restricted Subsidiaries of shares of preferred stock; provided, however, that:

(a) any subsequent issuance or transfer of Equity Interests that results in any
such preferred stock being held by a Person other than the Company or a Subsidiary
of the Company; and

(b) any sale or other transfer of any such preferred stock to a Person that is
not either the Company or a Restricted Subsidiary of the Company;

will be deemed, in each case, to constitute an issuance of such preferred stock by such
Restricted Subsidiary that was not permitted by this clause (7);

(8) the incurrence by the Company or any of its Restricted Subsidiaries of Hedging
Obligations that are incurred for the purpose of fixing or hedging (a) interest rate risk
with respect to any floating rate Indebtedness that is permitted by the terms of this
Indenture to be outstanding or (b) currency values or commodity prices with respect to
transactions entered into by the Company or any of its Restricted Subsidiaries in the
ordinary course of business;

(9) the guarantee by the Company or any of the Subsidiary Guarantors of Indebtedness of
the Company or a Restricted Subsidiary of the Company that was permitted to be incurred by
another clause of this definition; provided that if the Indebtedness being guaranteed is
subordinated to or pari passu with the Notes, then the guarantee shall be subordinated or
pari passu, as applicable, to at least the same extent as the Indebtedness guaranteed;

(10) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness in respect of workers’ compensation claims, self-insurance obligations,
bankers’ acceptances, performance and surety bonds in the ordinary course of business;

(11) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness arising from the honoring by a bank or other financial institution of a check,
draft or similar instrument inadvertently drawn against insufficient funds, so long as such
Indebtedness is covered within five Business Days;

(12) Indebtedness arising from agreements of the Company or a Restricted Subsidiary
providing for indemnification, adjustment or purchase price or similar obligations, in each
case, incurred or assumed in connection with the disposition of any business, assets or a
Subsidiary, other than guarantees of Indebtedness incurred by any Person acquiring all or
any portion of such business, assets or a Subsidiary for the purpose of financing such
acquisition;

(13) letters of credit and reimbursement obligations in respect thereof incurred in
connection with self-insurance and voluntary disability insurance programs and purchases of
supplies in the ordinary course of business (under Credit Facilities or otherwise);

(14) the incurrence by the Company or any Subsidiary Guarantor of additional
Indebtedness in an aggregate principal amount (or accreted value, as applicable) at any time
outstanding, including all Permitted Refinancing Indebtedness incurred to renew, refund,
refinance, replace, defease or discharge any Indebtedness incurred pursuant to this clause
(14), not to exceed $5.0 million; and

(15) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness of any other Person existing at the time such other Person is merged with or
into or became a Restricted Subsidiary; provided, that (i) such Indebtedness is not
incurred in connection with, or in contemplation of, such other Person merging with or into,
or becoming a Restricted Subsidiary, and (ii) after giving pro forma effect to the
incurrence of such Indebtedness (and to the acquisition of such other Person) the Adjusted
Leverage Ratio for the four fiscal quarters most recently completed prior to the date of
such incurrence for which internal financial statements are available would be at least 0.25
less than the Adjusted Leverage Ratio for such period had such Indebtedness not been
incurred.

 

16

 

“Permitted Investments” means:

(1) any Investment in the Company or in a Restricted Subsidiary of the Company that is
a Guarantor;

(2) any Investment in Cash Equivalents;

(3) any Investment by the Company or any Restricted Subsidiary of the Company in a
Person, if as a result of such Investment:

(a) such Person becomes a Restricted Subsidiary of the Company and a Guarantor;
or

(b) such Person is merged, consolidated or amalgamated with or into, or
transfers or conveys substantially all of its assets to, or is liquidated into, the
Company or a Restricted Subsidiary of the Company that is a Guarantor;

(4) any Investment made prior to the date of this Indenture;

(5) any Investment made as a result of the receipt of non-cash consideration from an
Asset Sale that was made pursuant to and in compliance with Section 4.10 hereof;

(6) any acquisition of assets or Capital Stock solely in exchange for, or out of the
net cash proceeds received from, the issuance of Equity Interests (other than Disqualified
Stock) of the Company; provided that the amount of any such net cash proceeds that are
utilized for any such Investment pursuant to this clause (6) will be excluded from clause
(3)(B) of the second paragraph of Section 4.07(a) hereof;

(7) any Investments received in compromise or resolution of (A) obligations of trade
creditors, franchisees or customers that are accounts receivable of the Company or any of
its Restricted Subsidiaries, including pursuant to any plan of reorganization or similar
arrangement upon the bankruptcy or insolvency of any trade creditor, franchisee or customer;
or (B) litigation, arbitration or other disputes with Persons who are not Affiliates;

(8) Investments represented by Hedging Obligations;

(9) endorsements of negotiable instruments and documents in the ordinary course of
business;

(10) pledges or deposits permitted under clause (9) of the definition of “Permitted
Liens”;

(11) repurchases of the Notes;

(12) payroll, travel and similar advances to cover matters that are expected at the
time of such advances ultimately to be treated as expenses for accounting purposes and that
are made in the ordinary course of business;

(13) loans or advances to employees made in the ordinary course of business of the
Company or such Restricted Subsidiary;

(14) receivables owing to the Company or any Restricted Subsidiary if created or
acquired in the ordinary course of business and payable or dischargeable in accordance with
customary trade terms as the Company or such Restricted Subsidiary deems reasonable under
the circumstances; and

(15) other Investments in any Person other than an Affiliate of the Company having an
aggregate Fair Market Value (measured on the date each such Investment was made and without
giving effect to subsequent changes in value), when taken together with all other
Investments made pursuant to this clause (15) that are at the time outstanding and all
Capital Expenditures made pursuant to clause (iv) of Section 4.21(a) hereof not to exceed
$5.0 million; provided that (A) if an Investment made pursuant to this clause (15) is made
in any Person that is not a Restricted Subsidiary of the Company at the date of the making
of the Investment and such Person becomes a Restricted Subsidiary after such date, such
Investment will thereafter be deemed to have been made pursuant to clause (1) above and
shall cease to have been made pursuant to this clause (15) and (B) the Company will be
permitted, in its sole discretion, to later reclassify all or a portion of a Capital
Expenditure in any manner that complies with Section 4.21 hereof.

 

17

 

“Permitted Liens” means:

(1) Liens on assets of the Parent or any of its Restricted Subsidiaries securing
Indebtedness and other Obligations under Credit Facilities that were incurred pursuant to
clause (1) of the definition of “Permitted Debt”;

(2) Liens in favor of the Company or the Subsidiary Guarantors;

(3) Liens on property or shares of Capital Stock of a Person existing at the time such
Person is merged with or into or consolidated with Parent, the Company or any Subsidiary of
the Company; provided that such Liens were in existence prior to the contemplation of such
merger or consolidation and do not extend to any assets other than those of the Person
merged into or consolidated with Parent, the Company or the Subsidiary;

(4) Liens on property (including Capital Stock) existing at the time of acquisition of
the property by Parent, the Company or any Subsidiary of the Company; provided that such
Liens were in existence prior to such acquisition and not incurred in contemplation of such
acquisition;

(5) Liens to secure the performance of statutory obligations, surety or appeal bonds,
performance bonds or other obligations of a like nature, in each case, other than for the
payment of Indebtedness incurred in the ordinary course of business (including, without
limitation, rights of offset and set-off);

(6) Liens to secure Indebtedness permitted by clause (4) of the definition of
“Permitted Debt,” in each case covering only the assets acquired with or financed by such
Indebtedness;

(7) Liens existing on the date of this Indenture;

(8) Liens for taxes, assessments or governmental charges or claims that are not yet
delinquent or that are being contested in good faith by appropriate proceedings promptly
instituted and diligently concluded; provided that any reserve or other appropriate
provision as is required in conformity with GAAP has been made therefor;

(9) pledges or deposits by a Person under worker’s compensation laws, unemployment
insurance laws or similar legislation, or good faith deposits in connection with bids,
tenders, contracts (other than for the payment of Indebtedness) or leases or licenses to
which such Person is a party, or deposits as security for contested taxes or import duties
or for the payment of rent, in each case incurred in the ordinary course of business;

(10) Liens imposed by law, such as carriers’, warehousemen’s, landlord’s and mechanics’
Liens, in each case, incurred in the ordinary course of business;

(11) judgment Liens not giving rise to an Event of Default so long as such Lien is
adequately bonded and any appropriate legal proceedings which may have been duly initiated
for the review of such judgment shall not have been finally terminated or the period within
which such proceedings may be initiated shall not have expired;

(12) Liens arising solely by virtue of any statutory or common law provision relating
to banker’s Liens, rights of set-off or similar rights and remedies as to deposit accounts
or other funds maintained with a creditor depository institution; provided, however, that
(a) such deposit account is not a dedicated cash collateral account and is not subject to
restrictions against access by Parent, the Company or any of its Restricted Subsidiaries in
excess of those set forth by regulations promulgated by the Federal Reserve
Board and (b) such deposit account is not intended by Parent, the Company or any
Restricted Subsidiary to provide collateral to the depository institution;

 

18

 

(13) with respect to Parent, the Company or any of its Restricted Subsidiaries, survey
exceptions, easements or reservations of, or rights of others for, licenses, rights-of-way,
sewers, electric lines, telegraph and telephone lines and other similar purposes, or zoning
or other similar restrictions as to the use of real property that were not incurred in
connection with Indebtedness and that do not in the aggregate materially adversely affect
the value of said properties or materially impair their use in the operation of the business
of Parent, the Company or such Restricted Subsidiary, as the case may be;

(14) Liens securing Hedging Obligations so long as such Hedging Obligations relate to
Indebtedness that is permitted to be incurred under this Indenture;

(15) Note Liens;

(16) leases or subleases granted to Persons other than Parent, the Company or any of
its Restricted Subsidiaries in the ordinary course of business, and not materially
interfering with the ordinary course of business of Parent, the Company or any of its
Restricted Subsidiaries;

(17) Liens under licensing agreements entered into by Parent, the Company or any of its
Restricted Subsidiaries for use of intellectual property entered into in the ordinary course
of business;

(18) Liens arising out of conditional sale, title retention, consignment or similar
arrangements for the sale of goods entered into by Parent, the Company or any of its
Restricted Subsidiaries in the ordinary course of business;

(19) Liens to secure insurance policies arising out of insurance premium financing
arrangements;

(20) Liens to secure any Permitted Refinancing Indebtedness permitted to be incurred
under this Indenture; provided, however, that:

(a) the new Lien shall be limited to all or part of the same property and
assets that secured or, under the written agreements pursuant to which the original
Lien arose, could secure the original Lien (plus improvements and accessions to,
such property or proceeds or distributions thereof); and

(b) the Indebtedness secured by the new Lien is not increased to any amount
greater than the sum of (x) the outstanding principal amount, or, if greater,
committed amount, of the Permitted Refinancing Indebtedness and (y) an amount
necessary to pay any fees and expenses, including premiums, related to such renewal,
refunding, refinancing, replacement, defeasance or discharge;

(21) Liens securing reimbursement obligations with respect to letters of credit
permitted under clause (13) of the definition of “Permitted Debt” which encumber documents
and other property relating to such letters of credit and products and proceeds thereof; and

(22) exceptions to title approved by the Collateral Agent pursuant to Section 4.19(c)
hereof.

“Permitted Payments to Parent” means, without duplication as to amounts:

(1) payments made to Parent to permit Parent to pay reasonable out of pocket expenses
associated with the Refinancing Transactions as disclosed in the subsections of the
Company’s Offering Circular dated July 1, 2009, relating to the initial offering of the
Notes entitled “Offering Summary — Refinancing Transactions,” and “Use of Proceeds” or in a
supplemental pricing sheet delivered in connection with the purchase of the Notes;

 

19

 

(2) payments to Parent or any direct or indirect parent of Parent to permit Parent or
any direct or indirect parent of Parent to pay franchise taxes, directors fees and
reasonable accounting, legal and administrative expenses of Parent when due, in an aggregate
amount not to exceed $500,000 per annum;

(3) for so long as the Company is a member of a group filing a consolidated or combined
tax return with Parent or any direct or indirect parent of Parent, payments to Parent or any
direct or indirect parent of Parent in respect of an allocable portion of the tax
liabilities of such group that is attributable to the Company and its Subsidiaries (“Tax
Payments”). The Tax Payments shall not exceed the lesser of (i) the amount of the relevant
tax (including any penalties and interest) that the Company would owe if the Company were
filing a separate tax return (or a separate consolidated or combined return with its
Subsidiaries that are members of the consolidated or combined group), taking into account
any carryovers and carrybacks of tax attributes (such as net operating losses) of the
Company and such Subsidiaries from other taxable years and (ii) the net amount of the
relevant tax that Parent actually owes to the appropriate taxing authority. Any Tax Payments
received from the Company shall be paid over to the appropriate taxing authority within 30
days of Parent’s or any direct or indirect parent of Parent’s receipt of such Tax Payments
or refunded to the Company.

“Permitted Prior Liens” means:

(1) Liens described in clauses (1), (3), (4), (6), (7), (20) (but only to the extent
the Indebtedness being refinanced thereunder is, at the time of such refinancing, secured by
a Permitted Prior Lien), and (21) of the definition of “Permitted Liens”;

(2) Liens described in clauses (5) and (9) of the definition of “Permitted Liens”;
provided, that, in each case:

(a) such Lien consists of cash collateralization of an amount not to exceed the
lower of (i) 105% of the aggregate amount of the underlying obligation, and (ii) the
percentage of the aggregate amount of the underlying obligation required to be
subject to such Lien under the terms of the agreement with the holder of such Lien
that provides for the grant of such Lien;

(b) such Lien is customarily required under the terms of like agreements
entered into by similarly situated Persons to have priority over the security
interests granted to secure the Note Obligations; and

(c) for so long as any Priority Lien Obligations exist that have not been
repaid in full, pursuant to the Credit Agreement and the related Priority Lien
Security Documents, such Lien is permitted to rank, and in fact ranks, prior to the
security interest granted on such cash collateral to secure Indebtedness under the
Credit Agreement;

(3) Liens described in clause (14) of the definition of “Permitted Liens”; provided
that, pursuant to the Credit Agreement, the Hedging Obligations secured thereby are secured
by any and all Liens securing Indebtedness incurred under each Credit Facility then in
effect;

(4) Liens that arise by operation of law and are not voluntarily granted, to the extent
such Liens are entitled by operation of law to priority over the security interests created
by the Security Documents (including, without limitation, any such Liens satisfying the
requirements of this clause (4) and arising under clauses (8), (10) or (13) of the
definition of “Permitted Liens”); and

(5) Liens described in clauses (12) or (18) of the definition of “Permitted Liens,” to
the extent such Liens are entitled by operation of law to priority over the security
interests created by the Security Documents.

“Permitted Refinancing Indebtedness” means any Indebtedness of the Company or any of its
Restricted Subsidiaries issued in exchange for, or the net proceeds of which are used to refund,
refinance, replace, defease or discharge other Indebtedness of the Company or any of its Restricted
Subsidiaries (other than intercompany
Indebtedness), including Indebtedness of the Company or any Restricted Subsidiary used to
refinance Permitted Refinancing Indebtedness; provided that:

 

20

 

(1) the principal amount (or accreted value, if applicable) of such Permitted
Refinancing Indebtedness does not exceed the principal amount (or accreted value, if
applicable) of the Indebtedness renewed, refunded, refinanced, replaced, defeased or
discharged (plus all accrued interest on the Indebtedness and the amount of all fees and
expenses, including premiums, incurred in connection therewith);

(2) such Permitted Refinancing Indebtedness has a final maturity date later than the
final maturity date of, and has a Weighted Average Life to Maturity equal to or greater than
the Weighted Average Life to Maturity of, the Indebtedness being renewed, refunded,
refinanced, replaced, defeased or discharged;

(3) if the Indebtedness being renewed, refunded, refinanced, replaced, defeased or
discharged is subordinated in right of payment to the Notes, such Permitted Refinancing
Indebtedness has a final maturity date later than the final maturity date of, and is
subordinated in right of payment to, the Notes on terms at least as favorable to the Holders
of Notes as those contained in the documentation governing the Indebtedness being renewed,
refunded, refinanced, replaced, defeased or discharged; and

(4) such Indebtedness is incurred either by the Company or by the Restricted Subsidiary
who is the obligor on the Indebtedness being renewed, refunded, refinanced, replaced,
defeased or discharged.

“Person” means any individual, corporation, partnership, joint venture, association,
joint-stock company, trust, unincorporated organization, limited liability company or government or
other entity.

“Preferred Stock” means any Equity Interest with preferential right of payment (i) of
dividends, or (ii) upon liquidation, dissolution or winding up of the issuer of such Equity
Interest.

“Principal” means (i) Farallon Capital Management, LLC, (ii) Kohlberg Kravis Roberts & Co. and
(iii) any investment vehicle that is managed (whether through ownership of securities having a
majority of the voting power or through management of investments) by any of the Persons listed in
clause (i) or (ii) or an Affiliate of any of the Persons listed in clause (i) or (ii), but
excluding any portfolio companies of any Person listed in clauses (i), (ii) or (iii).

“Priority Lien” means a Lien by the Company or any other Obligor to the Priority Lien
Collateral Agent (or any other holder, or representative of holders, of Priority Lien Obligations)
upon any property or assets of the Company or such Obligor to secure Priority Lien Obligations.

“Priority Lien Collateral Agent” means the Credit Agreement Agent or, after all Priority Lien
Obligations in respect of the Credit Agreement have been repaid in full, a single representative of
all holders of Priority Liens most recently designated by the Company in an Officers’ Certificate
delivered to the Trustee and Collateral Agent or the successor of such representative in its
capacity as such.

“Priority Lien Debt” means:

(1) the principal amount of any Indebtedness which, when incurred (or, in the case of
any reimbursement obligation for a letter of credit issued under any Credit Facility, when
such letter of credit was issued), either (a) was permitted to be secured by Liens permitted
by clause (1) or (21) of the definition of “Permitted Liens” or (b) was incurred (or, in the
case of any such reimbursement obligation, relates to a letter of credit that was issued)
upon delivery to the Priority Lien Collateral Agent, the Trustee and the Collateral Agent of
an Officers’ Certificate to the effect that, at the time of such incurrence, such
Indebtedness was permitted to be secured by Liens permitted by clause (1) or (21) of the
definition of “Permitted Liens,” including without limitation any such Indebtedness incurred
in any Insolvency or Liquidation Proceeding to the extent constituting Indebtedness
permitted to be secured by Liens permitted by clause (1) or (21) of the definition of
“Permitted Liens” (it being agreed that, for purposes of qualifying as “Priority Lien Debt,”
any loan advanced or letter of credit issued under a line of credit will be deemed
“incurred” at the time the Credit Facility governing such Indebtedness is entered
into); provided that any holder of Priority Lien Debt and the Priority Lien Collateral Agent
shall be conclusively entitled to rely on an Officers’ Certificate from the Company
addressed to any such holder or the Priority Lien Collateral Agent (a copy of which
Officers’ Certificate is provided substantially concurrently to the Collateral Agent and the
Trustee) that any borrowings, issuances of letters of credit or other extensions of credit
under any Credit Facility were incurred, and are permitted to be incurred, under the terms
of this Indenture; and

 

21

 

(2) Hedging Obligations permitted to be secured by Liens permitted by clause (14) of
the definition of “Permitted Liens”; provided that, pursuant to the Credit Agreement, the
Hedging Obligations secured thereby are secured by the Liens securing Indebtedness incurred
under the Credit Agreement.

“Priority Lien Documents” means the Credit Agreement, the Priority Lien Security Documents and
all other agreements governing, securing or relating to any Priority Lien Obligations (other than
the Intercreditor Agreement).

“Priority Lien Obligations” means the Priority Lien Debt and all other Obligations of the
Company or any Obligor under the Priority Lien Documents.

“Priority Lien Security Documents” means one or more security agreements, pledge agreements,
collateral assignments, mortgages, deeds of trust or other grants or transfers for security
executed and delivered by the Company or any other Obligor creating (or purporting to create) a
Priority Lien upon property owned or to be acquired by the Company or any other Obligor in favor of
any holder or holders of Priority Lien Obligations, or any Trustee, agent or representative acting
for any such holders, as security for any Priority Lien Obligations, in each case, as amended,
modified, renewed, restated or replaced, in whole or in part, from time to time, in accordance with
its terms.

“Private Placement Legend” means the legend set forth in Section 2.06(g)(1) hereof to be
placed on all Notes issued under this Indenture except where otherwise permitted by the provisions
of this Indenture.

“QIB” means a “qualified institutional buyer” as defined in Rule 144A.

“Registration Rights Agreement” means the Registration Rights Agreement, dated as of July 7,
2009, among the Company, the Guarantors and the other parties named on the signature pages thereof,
as such agreement may be amended, modified or supplemented from time to time.

“Regulation S” means Regulation S promulgated under the Securities Act.

“Regulation S Global Note” means a Regulation S Temporary Global Note or Regulation S
Permanent Global Note, as appropriate.

“Regulation S Permanent Global Note” means a permanent Global Note in the form of Exhibit Al
hereto bearing the Global Note Legend and the Private Placement Legend and deposited with or on
behalf of and registered in the name of the Depositary or its nominee, issued in a denomination
equal to the outstanding principal amount of the Regulation S Temporary Global Note upon expiration
of the Restricted Period.

“Regulation S Temporary Global Note” means a temporary Global Note in the form of Exhibit A2
hereto deposited with or on behalf of and registered in the name of the Depositary or its nominee,
issued in a denomination equal to the outstanding principal amount of the Notes initially sold in
reliance on Rule 903 of Regulation S.

“Related Party” means:

(1) any controlling equity holder or more than 662⁄3% owned Subsidiary of any Principal;
or

(2) any trust, corporation, partnership, limited liability company or other entity, the
beneficiaries, stockholders, partners, members, owners or Persons beneficially holding a
more than 66 2/3% controlling interest of which consist of the Principal and/or such other
Persons referred to in the immediately preceding clause (1).

 

22

 

“repaid in full” means termination of all commitments to extend credit that would constitute
Priority Lien Debt, payment in full in cash of the principal of and interest and premium (if any)
on all Priority Lien Debt (except undrawn letters of credit), discharge or cash collateralization
(at the lower of (1) 105% of the aggregate undrawn amount and (2) the percentage of the aggregate
undrawn amount required for release of liens under the terms of the applicable Priority Lien
Document) of all letters of credit outstanding under any Priority Lien Debt, and payment in full in
cash of all other Priority Lien Obligations (except Unasserted Contingent Obligations) that are
outstanding and unpaid at the time the Priority Lien Debt is repaid in full in cash. “paid in full”
shall have the correlative meaning.

“Responsible Officer,” when used with respect to the Trustee, means any officer within the
Corporate Trust Administration of the Trustee (or any successor group of the Trustee) or any other
officer of the Trustee customarily performing functions similar to those performed by any of the
above designated officers and also means, with respect to a particular corporate trust matter, any
other officer to whom such matter is referred because of his knowledge of and familiarity with the
particular subject.

“Restricted Definitive Note” means a Definitive Note bearing the Private Placement Legend.

“Restricted Global Note” means a Global Note bearing the Private Placement Legend.

“Restricted Investment” means an Investment other than a Permitted Investment.

“Restricted Period” means the 40-day distribution compliance period as defined in Regulation
S.

“Restricted Subsidiary” of a Person means any Subsidiary of the referent Person that is not an
Unrestricted Subsidiary.

“Rule 144” means Rule 144 promulgated under the Securities Act.

“Rule 144A” means Rule 144A promulgated under the Securities Act.

“Rule 903” means Rule 903 promulgated under the Securities Act.

“Rule 904” means Rule 904 promulgated under the Securities Act.

“Sale of Collateral” means any Asset Sale involving a sale or other disposition of Collateral.

“SEC” means the Securities and Exchange Commission.

“Secured Debt” means Note Debt and Priority Lien Debt.

“Secured Debt Documents” means the Note Documents and the Priority Lien Documents.

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

“Security Documents” means one or more security agreements, pledge agreements, collateral
assignments, mortgages, collateral agency agreements, control agreements, deeds of trust or other
grants or transfers for security executed and delivered by the Company or any other Obligor
creating (or purporting to create) a Note Lien upon Collateral, in each case, as amended, modified,
renewed, restated or replaced, in whole or in part, from time to time, in accordance with its
terms.

“Shelf Registration Statement” means the Shelf Registration Statement as defined in the
Registration Rights Agreement.

“Significant Subsidiary” means any Subsidiary that would be a “significant subsidiary” as
defined in Article 1, Rule 1-02 of Regulation S-X, promulgated pursuant to the Securities Act, as
such Regulation is in effect on the date of this Indenture.

 

23

 

“Stated Maturity” means, with respect to any installment of interest or principal on any
series of Indebtedness, the date on which the payment of interest or principal was scheduled to be
paid in the documentation governing such Indebtedness as of the date of this Indenture, and will
not include any contingent obligations to repay, redeem or repurchase any such interest or
principal prior to the date originally scheduled for the payment thereof.

“Subsidiary” means, with respect to any specified Person:

(1) any corporation, association or other business entity of which more than 50% of the
total voting power of shares of Capital Stock entitled (without regard to the occurrence of
any contingency and after giving effect to any voting agreement or stockholders’ agreement
that effectively transfers voting power) to vote in the election of directors, managers or
trustees of the corporation, association or other business entity is at the time owned or
controlled, directly or indirectly, by that Person or one or more of the other Subsidiaries
of that Person (or a combination thereof); and

(2) any partnership (a) the sole general partner or the managing general partner of
which is such Person or a Subsidiary of such Person or (b) the only general partners of
which are that Person or one or more Subsidiaries of that Person (or any combination
thereof).

“Subsidiary Guarantor” means any Subsidiary of the Company that executes a Note Guarantee in
accordance with the provisions of this Indenture and its successors and assigns, in each case,
until the Note Guarantee of such Person has been released in accordance with the provisions of this
Indenture.

“Term Loan Credit Agreement” means that certain Second Amended and Restated Credit Agreement,
dated as of the date hereof, by and among the Company, the Parent, Credit Suisse, Cayman Islands
Branch, as administrative agent, and the lenders party thereto from time to time, providing for a
$25.0 million unsecured term loan, including any related guarantees, instruments and agreements
executed in connection therewith, and in each case as amended, restated, modified, renewed,
refunded, replaced (whether upon or after termination or otherwise) or refinanced (including by
means of sales of debt securities to institutional investors) in whole or in part from time to
time.

“Treasury Rate” means, as of any redemption date, the yield to maturity as of such redemption
date of United States Treasury securities with a constant maturity (as compiled and published in
the most recent Federal Reserve Statistical Release H.15 (519) that has become publicly available
at least two Business Days prior to the redemption date (or, if such Statistical Release is no
longer published, any publicly available source or similar market data)) most nearly equal to the
period from the redemption date to July 1, 2011; provided, however, that if the period from the
redemption date to July 1, 2011 is less than one year, the weekly average yield on actually traded
United States Treasury securities adjusted to a constant maturity of one year will be used.

“TIA” means the Trust Indenture Act of 1939, as amended (15 U.S.C. §§ 77aaa-77bbbb).

“Trustee” means Wells Fargo Bank, National Association until a successor replaces it in
accordance with the applicable provisions of this Indenture and thereafter means the successor
serving hereunder.

“Unasserted Contingent Obligations” means, at any time, Obligations for taxes, costs,
indemnifications, reimbursements, damages and other liabilities in respect of which no claim or
demand for payment has been made at such time (except (i) the principal of and interest and premium
(if any) on, and fees relating to, any Indebtedness, (ii) contingent obligations to reimburse the
issuer of an outstanding letter of credit for amounts that may be drawn or paid thereunder and
(iii) any such contingent claims or demands as to which the Priority Lien Collateral Agent or any
holder of Priority Lien Obligations has then notified the Company).

“Unrestricted Definitive Note” means a Definitive Note that does not bear and is not required
to bear the Private Placement Legend.

“Unrestricted Global Note” means a Global Note that does not bear and is not required to bear
the Private Placement Legend.

 

24

 

“Unrestricted Subsidiary” means any Subsidiary of the Company that is designated by the Board
of Directors of the Company as an Unrestricted Subsidiary pursuant to a resolution of the Board of
Directors, and any Subsidiary of such Unrestricted Subsidiary, but only to the extent that such
Subsidiary:

(1) has no Indebtedness other than Non-Recourse Debt;

(2) except as permitted by Section 4.11 hereof is not party to any agreement, contract,
arrangement or understanding with the Company or any Restricted Subsidiary of the Company
unless the terms of any such agreement, contract, arrangement or understanding are no less
favorable to the Company or such Restricted Subsidiary than those that might be obtained at
the time from Persons who are not Affiliates of the Company;

(3) is a Person with respect to which neither the Company nor any of its Restricted
Subsidiaries has any direct or indirect obligation (a) to subscribe for additional Equity
Interests or (b) to maintain or preserve such Person’s financial condition or to cause such
Person to achieve any specified levels of operating results; and

(4) has not guaranteed or otherwise directly or indirectly provided credit support for
any Indebtedness of the Company or any of its Restricted Subsidiaries.

“U.S. Person” means a U.S. Person as defined in Rule 902(k) promulgated under the Securities
Act.

“Voting Stock” of any specified Person as of any date means the Capital Stock of such Person
that is at the time entitled to vote in the election of the Board of Directors of such Person.

“Weighted Average Life to Maturity” means, when applied to any Indebtedness at any date, the
number of years obtained by dividing:

(1) the sum of the products obtained by multiplying (a) the amount of each then
remaining installment, sinking fund, serial maturity or other required payments of
principal, including payment at final maturity, in respect of the Indebtedness, by (b) the
number of years (calculated to the nearest one-twelfth) that will elapse between such date
and the making of such payment; by

(2) the then outstanding principal amount of such Indebtedness.

“Wholly-Owned Restricted Subsidiary” of any specified Person means a Subsidiary of such Person
all of the outstanding Capital Stock or other ownership interests of which (other than directors’
qualifying shares) will at the time be owned by such Person or by one or more Wholly-Owned
Restricted Subsidiaries of such Person and one or more Wholly-Owned Restricted Subsidiaries of such
Person.

Section 1.02 Other Definitions.

	 	 	 	 	 
	 	 	Defined in	 
	Term	 	Section	 
	 
	 	 	 	 
	“Affiliate Transaction”
	 	 	4.11	 
	“Allowable Capital Expenditures”
	 	 	4.21	 
	“Asset Sale Offer”
	 	 	3.09	 
	“Authentication Order”
	 	 	2.02	 
	“Capital Expenditure Event”
	 	 	4.21	 
	“Carryover Amount”
	 	 	4.21	 
	“Change of Control Offer”
	 	 	4.15	 
	“Change of Control Payment”
	 	 	4.15	 
	“Change of Control Payment Date”
	 	 	4.15	 
	“Covenant Defeasance”
	 	 	8.03	 
	“DTC”
	 	 	2.03	 
	“Event of Default”
	 	 	6.01	 
	“Excess Cash Flow Offer”
	 	 	4.22	 

 

25

 

	 	 	 	 	 
	 	 	Defined in	 
	Term	 	Section	 
	 
	 	 	 	 
	“Excess Proceeds”
	 	 	4.10	 
	“incur”
	 	 	4.09	 
	“IPO Proceeds Capital Expenditures”
	 	 	4.21	 
	“Legal Defeasance”
	 	 	8.02	 
	“Offer Amount”
	 	 	3.09	 
	“Offer Period”
	 	 	3.09	 
	“Paying Agent”
	 	 	2.03	 
	“Payment Default”
	 	 	6.01	 
	“Purchase Date”
	 	 	3.09	 
	“Qualified IPO”
	 	 	4.21	 
	“Registrar”
	 	 	2.03	 
	“Repurchase Offer”
	 	 	3.09	 
	“Restricted Payments”
	 	 	4.07	 

Section 1.03 Incorporation by Reference of Trust Indenture Act.

Whenever this Indenture refers to a provision of the TIA, the provision is incorporated by
reference in and made a part of this Indenture.

All other terms used in this Indenture that are defined by the TIA, defined by TIA reference
to another statute or defined by SEC rule under the TIA have the meanings so assigned to them.

Section 1.04 Rules of Construction.

Unless the context otherwise requires:

(1) a term has the meaning assigned to it;

(2) an accounting term not otherwise defined has the meaning assigned to it in
accordance with GAAP;

(3) “or” is not exclusive;

(4) words in the singular include the plural, and in the plural include the singular;

(5) “will” shall be interpreted to express a command;

(6) provisions apply to successive events and transactions; and

(7) references to sections of or rules under the Securities Act will be deemed to
include substitute, replacement of successor sections or rules adopted by the SEC from time
to time.

ARTICLE 2.

THE NOTES

Section 2.01 Form and Dating.

(a) General. The Notes and the Trustee’s certificate of authentication will be substantially
in the form of Exhibits Al and A2 hereto. The Notes may have notations, legends or endorsements
required by law, stock exchange rule or usage. Each Note will be dated the date of its
authentication. The Notes shall be in denominations of $1,000 and integral multiples thereof.

 

26

 

The terms and provisions contained in the Notes will constitute, and are hereby expressly
made, a part of this Indenture and the Company, the Guarantors and the Trustee, by their execution
and delivery of this Indenture, expressly agree to such terms and provisions and to be bound
thereby. However, to the extent any provision of any Note conflicts with the express provisions of
this Indenture, the provisions of this Indenture shall govern and be controlling.

(b) Global Notes. Notes issued in global form will be substantially in the form of Exhibits A1
or A2 hereto (including the Global Note Legend thereon and the “Schedule of Exchanges of Interests
in the Global Note” attached thereto). Notes issued in definitive form will be substantially in the
form of Exhibit Al hereto (but without the Global Note Legend thereon and without the “Schedule of
Exchanges of Interests in the Global Note” attached thereto). Each Global Note will represent such
of the outstanding Notes as will be specified therein and each shall provide that it represents the
aggregate principal amount of outstanding Notes from time to time endorsed thereon and that the
aggregate principal amount of outstanding Notes represented thereby may from time to time be
reduced or increased, as appropriate, to reflect exchanges and redemptions. Any endorsement of a
Global Note to reflect the amount of any increase or decrease in the aggregate principal amount of
outstanding Notes represented thereby will be made by the Trustee or the Custodian, at the
direction of the Trustee, in accordance with instructions given by the Holder thereof as required
by Section 2.06 hereof.

(c) Temporary Global Notes. Notes offered and sold in reliance on Regulation S will be issued
initially in the form of the Regulation S Temporary Global Note, which will be deposited on behalf
of the purchasers of the Notes represented thereby with the Trustee, at its New York office, as
custodian for the Depositary, and registered in the name of the Depositary or the nominee of the
Depositary for the accounts of designated agents holding on behalf of Euroclear or Clearstream,
duly executed by the Company and authenticated by the Trustee as hereinafter provided. The
Restricted Period will be terminated upon the receipt by the Trustee of:

(1) a written certificate from the Depositary, together with copies of certificates
from Euroclear and Clearstream certifying that they have received certification of
non-United States Beneficial Ownership of 100% of the aggregate principal amount of the
Regulation S Temporary Global Note (except to the extent of any Beneficial Owners thereof
who acquired an interest therein during the Restricted Period pursuant to another exemption
from registration under the Securities Act and who will take delivery of a Beneficial
Ownership interest in a 144A Global Note or an IAI Global Note bearing a Private Placement
Legend, all as contemplated by Section 2.06(b) hereof); and

(2) an Officers’ Certificate from the Company.

Following the termination of the Restricted Period, beneficial interests in the Regulation S
Temporary Global Note will be exchanged for beneficial interests in the Regulation S Permanent
Global Note pursuant to the Applicable Procedures. Simultaneously with the authentication of the
Regulation S Permanent Global Note, the Trustee will cancel the Regulation S Temporary Global Note.
The aggregate principal amount of the Regulation S Temporary Global Note and the Regulation S
Permanent Global Note may from time to time be increased or decreased by adjustments made on the
records of the Trustee and the Depositary or its nominee, as the case may be, in connection with
transfers of interest as hereinafter provided.

(3) Euroclear and Clearstream Procedures Applicable. The provisions of the “Operating
Procedures of the Euroclear System” and “Terms and Conditions Governing Use of Euroclear”
and the “General Terms and Conditions of Clearstream Banking” and “Customer Handbook” of
Clearstream will be applicable to transfers of beneficial interests in the Regulation S
Temporary Global Note and the Regulation S Permanent Global Note that are held by
Participants through Euroclear or Clearstream.

Section 2.02 Execution and Authentication.

At least one Officer must sign the Notes for the Company by manual or facsimile signature.

If an Officer whose signature is on a Note no longer holds that office at the time a Note is
authenticated, the Note will nevertheless be valid.

 

27

 

A Note will not be valid until authenticated by the manual signature of the Trustee. The
signature will be conclusive evidence that the Note has been authenticated under this Indenture.

The Trustee shall authenticate and deliver: (i) on the Issue Date, an aggregate principal
amount of $130.0 million 14% Senior Secured Notes due 2013 and (ii) Exchange Notes for issue only
in an Exchange Offer pursuant to a Registration Rights Agreement, for a like principal amount of
Notes, in each case upon a written order of the Issuers signed by one Officer (an “Authentication
Order”). Such Authentication Order shall specify the amount of the Notes to be authenticated and
the date on which the original issue of the Notes is to be authenticated.

The Trustee may appoint an authenticating agent reasonably acceptable to the Company to
authenticate Notes. An authenticating agent may authenticate Notes whenever the Trustee may do so.
Each reference in this Indenture to authentication by the Trustee includes authentication by such
agent. An authenticating agent has the same rights as an Agent to deal with Holders or an Affiliate
of the Company.

Section 2.03 Registrar and Paying Agent.

The Company will maintain an office or agency where Notes may be presented for registration of
transfer or for exchange (“Registrar”) and an office or agency where Notes may be presented for
payment (“Paying Agent”). The Registrar will keep a register of the Notes and of their transfer and
exchange. The Company may appoint one or more co-registrars and one or more additional paying
agents. The term “Registrar” includes any co-registrar and the term “Paying Agent” includes any
additional paying agent. The Company may change any Paying Agent or Registrar without notice to any
Holder. The Company will notify the Trustee in writing of the name and address of any Agent not a
party to this Indenture. If the Company fails to appoint or maintain another entity as Registrar or
Paying Agent, the Trustee shall act as such. The Company or any of its Subsidiaries may act as
Paying Agent or Registrar.

The Company initially appoints The Depository Trust Company (“DTC‘) to act as Depositary with
respect to the Global Notes.

The Company initially appoints the Trustee to act as the Registrar and Paying Agent and to act
as Custodian with respect to the Global Notes.

Section 2.04 Paying Agent to Hold Money in Trust.

The Company will require each Paying Agent other than the Trustee to agree in writing that the
Paying Agent will hold in trust for the benefit of Holders or the Trustee all money held by the
Paying Agent for the payment of principal, premium or Liquidated Damages, if any, or interest on
the Notes, and will notify the Trustee of any Default by the Company in making any such payment.
While any such Default continues, the Trustee may require a Paying Agent to pay all money held by
it to the Trustee. The Company at any time may require a Paying Agent to pay all money held by it
to the Trustee. Upon payment over to the Trustee, the Paying Agent (if other than the Company or a
Subsidiary) will have no further liability for the money. If the Company or a Subsidiary acts as
Paying Agent, it will segregate and hold in a separate trust fund for the benefit of’ the Holders
all money held by it as Paying Agent. Upon any bankruptcy or reorganization proceedings relating to
the Company, the Trustee will serve as Paying Agent for the Notes.

Section 2.05 Holder Lists.

The Trustee will preserve in as current a form as is reasonably practicable the most recent
list available to it of the names and addresses of all Holders and shall otherwise comply with TIA
§ 312(a). If the Trustee is not the Registrar, the Company will furnish to the Trustee at least
seven Business Days before each interest payment date and at such other times as the Trustee may
request in writing, a list in such form and as of such date as the Trustee may reasonably require
of the names and addresses of the Holders of Notes and the Company shall otherwise comply with TIA
§ 312(a).

 

28

 

Section 2.06 Transfer and Exchange.

(a) Transfer and Exchange of Global Notes. A Global Note may not be transferred except as a
whole by the Depositary to a nominee of the Depositary, by a nominee of the Depositary to the
Depositary or to another nominee of the Depositary, or by the Depositary or any such nominee to a
successor Depositary or a nominee of such successor Depositary. All Global Notes will be exchanged
by the Company for Definitive Notes if:

(1) the Company delivers to the Trustee notice from the Depositary that it is unwilling
or unable to continue to act as Depositary or that it is no longer a clearing agency
registered under the Exchange Act and, in either case, a successor Depositary is not
appointed by the Company within 120 days after the date of such notice from the Depositary;

(2) the Company in its sole discretion determines that the Global Notes (in whole but
not in part) should be exchanged for Definitive Notes and delivers a written notice to such
effect to the Trustee; provided, that in no event shall the Regulation S Temporary Global
Note be exchanged by the Company for Definitive Notes prior to (A) the expiration of the
Restricted Period and (B) the receipt by the Registrar of any certificates required pursuant
to Rule 903(b)(3)(ii)(B) under the Securities Act; or

(3) there has occurred and is continuing a Default or Event of Default with respect to
the Notes.

Upon the occurrence of any of the preceding events in (1), (2) or (3) above, Definitive Notes
shall be issued in such names as the Depositary shall instruct the Trustee. Global Notes also may
be exchanged or replaced, in whole or in part, as provided in Sections 2.07 and 2.10 hereof. Every
Note authenticated and delivered in exchange for, or in lieu of, a Global Note or any portion
thereof, pursuant to this Section 2.06 or Section 2.07 or 2.10 hereof, shall be authenticated and
delivered in the form of, and shall be, a Global Note. A Global Note may not be exchanged for
another Note other than as provided in this Section 2.06(a), however, beneficial interests in a
Global Note may be transferred and exchanged as provided in Section 2.06(b), (c) or (f) hereof.

(b) Transfer and Exchange of Beneficial Interests in the Global Notes. The transfer and
exchange of beneficial interests in the Global Notes will be effected through the Depositary, in
accordance with the provisions of this Indenture and the Applicable Procedures. Beneficial
interests in the Restricted Global Notes will be subject to restrictions on transfer comparable to
those set forth herein to the extent required by the Securities Act. Transfers of beneficial
interests in the Global Notes also will require compliance with either subparagraph (1) or (2)
below, as applicable, as well as one or more of the other following subparagraphs, as applicable:

(1) Transfer of Beneficial Interests in the Same Global Note. Beneficial interests in
any Restricted Global Note may be transferred to Persons who take delivery thereof in the
form of a beneficial interest in the same Restricted Global Note in accordance with the
transfer restrictions set forth in the Private Placement Legend; provided, however, that
prior to the expiration of the Restricted Period, transfers of beneficial interests in the
Regulation S Temporary Global Note may not be made to a U.S. Person or for the account or
benefit of a U.S. Person (other than the Initial Purchaser). Beneficial interests in any
Unrestricted Global Note may be transferred to Persons who take delivery thereof in the form
of a beneficial interest in an Unrestricted Global Note. No written orders or instructions
shall be required to be delivered to the Registrar to effect the transfers described in this
Section 2.06(b)(1).

(2) All Other Transfers and Exchanges of Beneficial Interests in Global Notes. In
connection with all transfers and exchanges of beneficial interests that are not subject to
Section 2.06(b)(1) above, the transferor of such beneficial interest must deliver to the
Registrar either:

(A) both:

(i) a written order from a Participant or an Indirect Participant given
to the Depositary in accordance with the Applicable Procedures directing the
Depositary to
credit or cause to be credited a beneficial interest in another Global
Note in an amount equal to the beneficial interest to be transferred or
exchanged; and

(ii) instructions given in accordance with the Applicable Procedures
containing information regarding the Participant account to be credited with
such increase; or

 

29

 

(B) both:

(i) a written order from a Participant or an Indirect Participant given
to the Depositary in accordance with the Applicable Procedures directing the
Depositary to cause to be issued a Definitive Note in an amount equal to the
beneficial interest to be transferred or exchanged; and

(ii) instructions given by the Depositary to the Registrar containing
information regarding the Person in whose name such Definitive Note shall be
registered to effect the transfer or exchange referred to in (1) above;

provided that in no event shall Definitive Notes be issued upon the transfer
or exchange of beneficial interests in the Regulation S Temporary Global
Note prior to (A) the expiration of the Restricted Period and (B) the
receipt by the Registrar of any certificates required pursuant to Rule 903
or Rule 904 under the Securities Act.

Upon consummation of an Exchange Offer by the Company in accordance with Section 2.06(f) hereof,
the requirements of this Section 2.06(b)(2) shall be deemed to have been satisfied upon receipt by
the Registrar of the instructions contained in the Letter of Transmittal delivered by the holder of
such beneficial interests in the Restricted Global Notes. Upon satisfaction of all of the
requirements for transfer or exchange of beneficial interests in Global Notes contained in this
Indenture and the Notes or otherwise applicable under the Securities Act, the Trustee shall adjust
the principal amount of the relevant Global Note(s) pursuant to Section 2.06(h) hereof.

(3) Transfer of Beneficial Interests to Another Restricted Global Note. A beneficial
interest in any Restricted Global Note may be transferred to a Person who takes delivery
thereof in the form of a beneficial interest in another Restricted Global Note if the
transfer complies with the requirements of Section 2.06(b)(2) above and the Registrar
receives the following:

(A) if the transferee will take delivery in the form of a beneficial interest
in the 144A Global Note, then the transferor must deliver a certificate in the form
of Exhibit B hereto, including the certifications in item (1) thereof;

(B) if the transferee will take delivery in the form of a beneficial interest
in the Regulation S Temporary Global Note or the Regulation S Permanent Global Note,
then the transferor must deliver a certificate in the form of Exhibit B hereto,
including the certifications in item (2) thereof; and

(C) if the transferee will take delivery in the form of a beneficial interest
in the IAI Global Note, then the transferor must deliver a certificate in the form
of Exhibit B hereto, including the certifications, certificates and Opinion of
Counsel required by item thereof, if applicable.

(4) Transfer and Exchange of Beneficial Interests in a Restricted Global Note for
Beneficial Interests in an Unrestricted Global Note. A beneficial interest in any Restricted
Global Note may be exchanged by any holder thereof for a beneficial interest in an
Unrestricted Global Note or transferred to a Person who takes delivery thereof in the form
of a beneficial interest in an Unrestricted Global Note if the exchange or transfer complies
with the requirements of Section 2.06(b)(2) above and:

 

30

 

(A) such exchange or transfer is effected pursuant to the Exchange Offer in
accordance with the Registration Rights Agreement and Section 2.06(f) hereof and the
holder of the beneficial interest to be transferred, in the case of an exchange, or
the transferee, in the case of a transfer, certifies in the applicable Letter of
Transmittal that it is not (i) a Broker-Dealer, (ii) a Person participating in the
distribution of the Exchange Notes or (iii) a Person who is an affiliate (as defined
in Rule 144) of the Company;

(B) such transfer is effected pursuant to the Shelf Registration Statement in
accordance with the Registration Rights Agreement;

(C) such transfer is effected by a Broker-Dealer pursuant to the Exchange Offer
Registration Statement in accordance with the Registration Rights Agreement; or

(D) the Registrar receives the following:

(i) if the holder of such beneficial interest in a Restricted Global
Note proposes to exchange such beneficial interest for a beneficial interest
in an Unrestricted Global Note, a certificate from such holder in the form
of Exhibit C hereto, including the certifications in item (1)(a) thereof; or

(ii) if the holder of such beneficial interest in a Restricted Global
Note proposes to transfer such beneficial interest to a Person who shall
take delivery thereof in the form of a beneficial interest in an
Unrestricted Global Note, a certificate from such Holder in the form of
Exhibit B hereto, including the certifications in item (4) thereof; and, in
each such case set forth in this subparagraph (D), if the Registrar so
requests or if the Applicable Procedures so require, an Opinion of Counsel
in form reasonably acceptable to the Registrar and the Company to the effect
that such exchange or transfer is in compliance with the Securities Act and
that the restrictions on transfer contained herein and in the Private
Placement Legend are no longer required in order to maintain compliance with
the Securities Act.

If any such transfer is effected pursuant to subparagraph (B) or (D) above at a time when an
Unrestricted Global Note has not yet been issued, the Company shall issue and, upon receipt of an
Authentication Order in accordance with Section 2.02 hereof, the Trustee shall authenticate one or
more Unrestricted Global Notes in an aggregate principal amount equal to the aggregate principal
amount of beneficial interests transferred pursuant to subparagraph (B) or (D) above.

Beneficial interests in an Unrestricted Global Note cannot be exchanged for, or transferred to
Persons who take delivery thereof in the form of, a beneficial interest in a Restricted Global
Note.

(c) Transfer or Exchange of Beneficial Interests for Definitive Notes.

(1) Beneficial Interests in Restricted Global Notes to Restricted Definitive Notes. If
any holder of a beneficial interest in a Restricted Global Note proposes to exchange such
beneficial interest for a Restricted Definitive Note or to transfer such beneficial interest
to a Person who takes delivery thereof in the form of a Restricted Definitive Note, then,
upon receipt by the Registrar of the following documentation:

(A) if the holder of such beneficial interest in a Restricted Global Note
proposes to exchange such beneficial interest for a Restricted Definitive Note, a
certificate from such Holder in the form of Exhibit C hereto, including the
certifications in item (2)(a) thereof;

(B) if such beneficial interest is being transferred to a QIB in accordance
with Rule 144A, a certificate to the effect set forth in Exhibit B hereto, including
the certifications in item (1) thereof;

 

31

 

(C) if such beneficial interest is being transferred to a Non-U.S. Person in an
offshore transaction in accordance with Rule 903 or Rule 904, a certificate to the
effect set forth in Exhibit B hereto, including the certifications in item (2)
thereof;

(D) if such beneficial interest is being transferred pursuant to an exemption
from the registration requirements of the Securities Act in accordance with Rule
144, a certificate to the effect set forth in Exhibit B hereto, including the
certifications in item (3)(a) thereof;

(E) if such beneficial interest is being transferred to an Institutional
Accredited Investor in reliance on an exemption from the registration requirements
of the Securities Act other than those listed in subparagraphs (B) through (D)
above, a certificate to the effect set forth in Exhibit B hereto, including the
certifications, certificates and Opinion of Counsel required by item (3) thereof, if
applicable;

(F) if such beneficial interest is being transferred to the Company or any of
its Subsidiaries, a certificate to the effect set forth in Exhibit B hereto,
including the certifications in item (3)(b) thereof; or

(G) if such beneficial interest is being transferred pursuant to an effective
registration statement under the Securities Act, a certificate to the effect set
forth in Exhibit B hereto, including the certifications in item (3)(c) thereof,

the Trustee shall cause the aggregate principal amount of the applicable Global Note to be reduced
accordingly pursuant to Section 2.06(h) hereof, and the Company shall execute and the Trustee shall
authenticate and deliver to the Person designated in the instructions a Definitive Note in the
appropriate principal amount. Any Definitive Note issued in exchange for a beneficial interest in a
Restricted Global Note pursuant to this Section 2.06(c) shall be registered in such name or names
and in such authorized denomination or denominations as the holder of such beneficial interest
shall instruct the Registrar through instructions from the Depositary and the Participant or
Indirect Participant. The Trustee shall deliver such Definitive Notes to the Persons in whose names
such Notes are so registered. Any Definitive Note issued in exchange for a beneficial interest in a
Restricted Global Note pursuant to this Section 2.06(c)(1) shall bear the Private Placement Legend
and shall be subject to all restrictions on transfer contained therein.

(2) Beneficial Interests in Regulation S Temporary Global Note to Definitive Notes.
Notwithstanding Sections 2.06(c)(1)(A) and (C) hereof, a beneficial interest in the
Regulation S Temporary Global Note may not be exchanged for a Definitive Note or transferred
to a Person who takes delivery thereof in the form of a Definitive Note prior to (A) the
expiration of the Restricted Period and (B) the receipt by the Registrar of any certificates
required pursuant to Rule 903(b)(3)(ii)(B) .under the Securities Act, except in the case of
a transfer pursuant to an exemption from the registration requirements of the Securities Act
other than Rule 903 or Rule 904.

(3) Beneficial Interests in Restricted Global Notes to Unrestricted Definitive Notes. A
holder of a beneficial interest in a Restricted Global Note may exchange such beneficial
interest for an Unrestricted Definitive Note or may transfer such beneficial interest to a
Person who takes delivery thereof in the form of an Unrestricted Definitive Note only if:

(A) such exchange or transfer is effected pursuant to the Exchange Offer in
accordance with the Registration Rights Agreement and Section 2.06(f) hereof, and
the holder of such beneficial interest, in the case of an exchange, or the
transferee, in the case of a transfer, certifies in the applicable Letter of
Transmittal that it is not (i) a Broker-Dealer, (ii) a Person participating in the
distribution of the Exchange Notes or (iii) a Person who is an affiliate (as defined
in Rule 144) of the Company;

(B) such transfer is effected pursuant to the Shelf Registration Statement in
accordance with the Registration Rights Agreement;

 

32

 

(C) such transfer is effected by a Broker-Dealer pursuant to the Exchange Offer
Registration Statement in accordance with the Registration Rights Agreement; or

(D) the Registrar receives the following:

(i) if the holder of such beneficial interest in a Restricted Global
Note proposes to exchange such beneficial interest for an Unrestricted
Definitive Note, a certificate from such Holder in the form of Exhibit C
hereto, including the certifications in item (1)(b) thereof; or

(ii) if the holder of such beneficial interest in a Restricted Global
Note proposes to transfer such beneficial interest to a Person who shall
take delivery thereof in the form of an Unrestricted Definitive Note, a
certificate from such Holder in the form of Exhibit B hereto, including the
certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (D), if the Registrar
so requests or if the Applicable Procedures so require, an Opinion of
Counsel in form reasonably acceptable to the Registrar and the Company to
the effect that such exchange or transfer is in compliance with the
Securities Act and that the restrictions on transfer contained herein and in
the Private Placement Legend are no longer required in order to maintain
compliance with the Securities Act.

(4) Beneficial Interests in Unrestricted Global Notes to Unrestricted Definitive Notes.
If any holder of a beneficial interest in an Unrestricted Global Note proposes to exchange
such beneficial interest for a Definitive Note or to transfer such beneficial interest to a
Person who takes delivery thereof in the form of a Definitive Note, then, upon satisfaction
of the conditions set forth in Section 2.06(b)(2) hereof, the Trustee will cause the
aggregate principal amount of the applicable Global Note to be reduced accordingly pursuant
to Section 2.06(h) hereof, and the Company will execute and the Trustee will authenticate
and deliver to the Person designated in the instructions a Definitive Note in the
appropriate principal amount. Any Definitive Note issued in exchange for a beneficial
interest pursuant to this Section 2.06(c)(4) will be registered in such name or names and in
such authorized denomination or denominations as the holder of such beneficial interest
requests through instructions to the Registrar from or through the Depositary and the
Participant or Indirect Participant. The Trustee will deliver such Definitive Notes to the
Persons in whose names such Notes are so registered. Any Definitive Note issued in exchange
for a beneficial interest pursuant to this Section 2.06(c)(4) will not bear the Private
Placement Legend.

(d) Transfer and Exchange of Definitive Notes for Beneficial Interests.

(1) Restricted Definitive Notes to Beneficial Interests in Restricted Global Notes. If
any holder of a Restricted Definitive Note proposes to exchange such Note for a beneficial
interest in a Restricted Global Note or to transfer such Restricted Definitive Notes to a
Person who takes delivery thereof in the form of a beneficial interest in a Restricted
Global Note, then, upon receipt by the Registrar of the following documentation:

(A) if the holder of such Restricted Definitive Note proposes to exchange such
Note for a beneficial interest in a Restricted Global Note, a certificate from such
Holder in the form of Exhibit C hereto, including the certifications in item (2)(b)
thereof;

(B) if such Restricted Definitive Note is being transferred to a QIB in
accordance with Rule 144A, a certificate to the effect set forth in Exhibit B
hereto, including the certifications in item (1) thereof;

(C) if such Restricted Definitive Note is being transferred to a Non-U.S.
Person in an offshore transaction in accordance with Rule 903 or Rule 904, a
certificate to the effect set forth in Exhibit B hereto, including the
certifications in item (2) thereof;

 

33

 

(D) if such Restricted Definitive Note is being transferred pursuant to an
exemption from the registration requirements of the Securities Act in accordance
with Rule 144, a certificate to the effect set forth in Exhibit B hereto, including
the certifications in item (3)(a) thereof;

(E) if such Restricted Definitive Note is being transferred to an Institutional
Accredited Investor in reliance on an exemption from the registration requirements
of the Securities Act other than those listed in subparagraphs (B) through (D)
above, a certificate to the effect set forth in Exhibit B hereto, including the
certifications, certificates and Opinion of Counsel required by item (3) thereof, if
applicable;

(F) if such Restricted Definitive Note is being transferred to the Company or
any of its Subsidiaries, a certificate to the effect set forth in Exhibit B hereto,
including the certifications in item (3)(b) thereof; or

(G) if such Restricted Definitive Note is being transferred pursuant to an
effective registration statement under the Securities Act, a certificate to the
effect set forth in Exhibit B hereto, including the certifications in item (3)(c)
thereof,

the Trustee will cancel the Restricted Definitive Note, increase or cause to be
increased the aggregate principal amount of, in the case of clause (A) above, the
appropriate Restricted Global Note, in the case of clause (B) above, the 144A Global
Note, in the case of clause (C) above, the Regulation S Global Note, and in all
other cases, the IAI Global Note.

(2) Restricted Definitive Notes to Beneficial Interests in Unrestricted Global Notes. A
holder of a Restricted Definitive Note may exchange such Note for a beneficial interest in
an Unrestricted Global Note or transfer such Restricted Definitive Note to a Person who
takes delivery thereof in the form of a beneficial interest in an Unrestricted Global Note
only if:

(A) such exchange or transfer is effected pursuant to the Exchange Offer in
accordance with the Registration Rights Agreement and Section 2.06(f) hereof and the
Holder, in the case of an exchange, or the transferee, in the case of a transfer,
certifies in the applicable Letter of Transmittal that it is not (i) a
Broker-Dealer, (ii) a Person participating in the distribution of the Exchange Notes
or (iii) a Person who is an affiliate (as defined in Rule 144) of the Company;

(B) such transfer is effected pursuant to the Shelf Registration Statement in
accordance with the Registration Rights Agreement;

(C) such transfer is effected by a Broker-Dealer pursuant to the Exchange Offer
Registration Statement in accordance with the Registration Rights Agreement; or

(D) the Registrar receives the following:

(i) if the holder of such Definitive Notes proposes to exchange such
Notes for a beneficial interest in the Unrestricted Global Note, a
certificate from such Holder in the form of Exhibit C hereto, including the
certifications in item (1)(c) thereof; or

(ii) if the holder of such Definitive Notes proposes to transfer such
Notes to a Person who shall take delivery thereof in the form of a
beneficial interest in the Unrestricted Global Note, a certificate from such
Holder in the form of Exhibit B hereto, including the certifications in item
(4) thereof;

and, in each such case set forth in this subparagraph (D), if the Registrar
so requests or if the Applicable Procedures so require, an Opinion of
Counsel in form reasonably acceptable to the Registrar to the effect that
such exchange or transfer is in compliance with the Securities Act and that
the restrictions on transfer contained herein and in the
Private Placement Legend are no longer required in order to maintain
compliance with the Securities Act.

 

34

 

Upon satisfaction of the conditions of any of the subparagraphs in this Section
2.06(d)(2), the Trustee will cancel the Definitive Notes and increase or cause to be
increased the aggregate principal amount of the Unrestricted Global Note.

(3) Unrestricted Definitive Notes to Beneficial Interests in Unrestricted Global Notes.
A holder of an Unrestricted Definitive Note may exchange such Note for a beneficial interest
in an Unrestricted Global Note or transfer such Definitive Notes to a Person who takes
delivery thereof in the form of a beneficial interest in an Unrestricted Global Note at any
time. Upon receipt of a request for such an exchange or transfer, the Trustee will cancel
the applicable Unrestricted Definitive Note and increase or cause to be increased the
aggregate principal amount of one of the Unrestricted Global Notes.

If any such exchange or transfer from a Definitive Note to a beneficial interest is
effected pursuant to subparagraphs (2)(B), (2)(D) or (3) above at a time when an
Unrestricted Global Note has not yet been issued, the Company will issue and, upon receipt
of an Authentication Order in accordance with Section 2.02 hereof, the Trustee will
authenticate one or more Unrestricted Global Notes in an aggregate principal amount equal to
the principal amount of Definitive Notes so transferred.

(e) Transfer and Exchange of Definitive Notes for Definitive Notes. Upon request by a holder
of Definitive Notes and such Holder’s compliance with the provisions of this Section 2.06(e), the
Registrar will register the transfer or exchange of Definitive Notes. Prior to such registration of
transfer or exchange, the requesting Holder must present or surrender to the Registrar the
Definitive Notes duly endorsed or accompanied by a written instruction of transfer in form
satisfactory to the Registrar duly executed by such Holder or by its attorney, duly authorized in
writing. In addition, the requesting Holder must provide any additional certifications, documents
and information, as applicable, required pursuant to the following provisions of this Section
2.06(e).

(1) Restricted Definitive Notes to Restricted Definitive Notes. Any Restricted
Definitive Note may be transferred to and registered in the name of Persons who take
delivery thereof in the form of a Restricted Definitive Note if the Registrar receives the
following:

(A) if the transfer will be made pursuant to Rule 144A, then the transferor
must deliver a certificate in the form of Exhibit B hereto, including the
certifications in item (l) thereof;

(B) if the transfer will be made pursuant to Rule 903 or Rule 904, then the
transferor must deliver a certificate in the form of Exhibit B hereto, including the
certifications in item (2) thereof; and

(C) if the transfer will be made pursuant to any other exemption from the
registration requirements of the Securities Act, then the transferor must deliver a
certificate in the form of Exhibit B hereto, including the certifications,
certificates and Opinion of Counsel required by item (3) thereof, if applicable.

(2) Restricted Definitive Notes to Unrestricted Definitive Notes. Any Restricted
Definitive Note may be exchanged by the Holder thereof for an Unrestricted Definitive Note
or transferred to a Person or Persons who take delivery thereof in the form of an
Unrestricted Definitive Note if:

(A) such exchange or transfer is effected pursuant to the Exchange Offer in
accordance with the Registration Rights Agreement and the Holder, in the case of an
exchange, or the transferee, in the case of a transfer, certifies in the applicable
Letter of Transmittal that it is not (i) a Broker-Dealer, (ii) a Person
participating in the distribution of the Exchange Notes or (iii) a Person who is an
affiliate (as defined in Rule 144) of the Company;

 

35

 

(B) any such transfer is effected pursuant to the Shelf Registration Statement
in accordance with the Registration Rights Agreement;

(C) any such transfer is effected by a Broker-Dealer pursuant to the Exchange
Offer Registration Statement in accordance with the Registration Rights Agreement;
or

(D) the Registrar receives the following:

(i) if the holder of such Restricted Definitive Notes proposes to
exchange such Notes for an Unrestricted Definitive Note, a certificate from
such Holder in the form of Exhibit C hereto, including the certifications in
item (1)(d) thereof; or

(ii) if the holder of such Restricted Definitive Notes proposes to
transfer such Notes to a Person who shall take delivery thereof in the form
of an Unrestricted Definitive Note, a certificate from such Holder in the
form of Exhibit B hereto, including the certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (D), if the Registrar so
requests, an Opinion of Counsel in form reasonably acceptable to the Registrar to
the effect that such exchange or transfer is in compliance with the Securities Act
and that the restrictions on transfer contained herein and in the Private Placement
Legend are no longer required in order to maintain compliance with the Securities
Act.

(3) Unrestricted Definitive Notes to Unrestricted Definitive Notes. A holder of
Unrestricted Definitive Notes may transfer such Notes to a Person who takes delivery thereof
in the form of an Unrestricted Definitive Note. Upon receipt of a request to register such a
transfer, the Registrar shall register the Unrestricted Definitive Notes pursuant to the
instructions from the Holder thereof.

(f) Exchange Offer. Upon the occurrence of the Exchange Offer in accordance with the
Registration Rights Agreement, the Company will issue and, upon receipt of an Authentication Order
in accordance with Section 2.02 hereof, the Trustee will authenticate:

(1) one or more Unrestricted Global Notes in an aggregate principal amount equal to the
principal amount of the beneficial interests in the Restricted Global Notes accepted for
exchange in the Exchange Offer by Persons that certify in the applicable Letters of
Transmittal that (A) they are not Broker-Dealers, (B) they are not participating in a
distribution of the Exchange Notes and (C) they are not affiliates (as defined in Rule 144)
of the Company; and

(2) Unrestricted Definitive Notes in an aggregate principal amount equal to the
principal amount of the Restricted Definitive Notes accepted for exchange in the Exchange
Offer by Persons that certify in the applicable Letters of Transmittal that (A) they are not
Broker-Dealers, (B) they are not participating in a distribution of the Exchange Notes and
(C) they are not affiliates (as defined in Rule 144) of the Company.

Concurrently with the issuance of such Notes, the Trustee will cause the aggregate principal
amount of the applicable Restricted Global Notes to be reduced accordingly, and the Company will
execute and the Trustee will authenticate and deliver to the Persons designated by the Holders of
Definitive Notes so accepted Unrestricted Definitive Notes in the appropriate principal amount.

(g) Legends. The following legends will appear on the face of all Global Notes and Definitive
Notes issued under this Indenture unless specifically stated otherwise in the applicable provisions
of this Indenture.

(1) Private Placement Legend.

 

36

 

(A) Except as permitted by subparagraph (B) below, each Global Note and each
Definitive Note (and all Notes issued in exchange therefor or substitution thereof)
shall bear the legend in substantially the following form:

“THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR
PARTICIPATION HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR
OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT
FROM, OR NOT SUBJECT TO, REGISTRATION.

THE HOLDER OF THIS SECURITY BY ITS ACCEPTANCE HEREOF (1) REPRESENTS THAT (A) IT IS A “QUALIFIED
INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT), (B) IT IS A NON-U.S.
PURCHASER AND IS ACQUIRING THIS SECURITY IN AN OFFSHORE TRANSACTION WITHIN THE MEANING OF
REGULATION S UNDER THE SECURITIES ACT; OR (C) IT IS AN INSTITUTIONAL “ACCREDITED INVESTOR” WITHIN
THE MEANING OF SUBPARAGRAPH (a)(1), (2), (3) OR (7) OF RULE 501 UNDER THE SECURITIES ACT, AND (2)
AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE
RESTRICTION TERMINATION DATE”) WHICH IS ONE YEAR AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF
AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS
SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY), ONLY (A) TO THE COMPANY OR ANY OF ITS SUBSIDIARIES,
(B) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
ACT, (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT
REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE
SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL
BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D)
PURSUANT TO OFFERS AND SALES TO NON-U.S. PURCHASERS THAT OCCUR OUTSIDE THE UNITED STATES WITHIN THE
MEANING OF REGULATION S UNDER THE SECURITIES ACT, (E) TO AN INSTITUTIONAL “ACCREDITED INVESTOR”
WITHIN THE MEANING OF SUBPARAGRAPH (a)(1), (2), (3) OR (7) OF RULE 501 UNDER THE SECURITIES ACT
THAT IS ACQUIRING THE SECURITY FOR ITS OWN ACCOUNT, OR FOR THE ACCOUNT OF SUCH AN INSTITUTIONAL
ACCREDITED INVESTOR, FOR INVESTMENT PURPOSES AND NOT WITH A VIEW TO, OR FOR OFFER OR SALE IN
CONNECTION WITH, ANY DISTRIBUTION IN VIOLATION OF THE SECURITIES ACT OR (F) PURSUANT TO ANOTHER
AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT, SUBJECT TO THE
COMPANY’S AND THE TRUSTEE’S, OR TRANSFER AGENT’S, AS APPLICABLE, RIGHT PRIOR TO ANY SUCH OFFER,
SALE OR TRANSFER PURSUANT TO CLAUSES (D), (E), OR (F) TO REQUIRE THE DELIVERY OF AN OPINION OF
COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN EACH OF THE
FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF THIS SECURITY
IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE OR TRANSFER AGENT, AND IN EACH CASE IN
ACCORDANCE WITH APPLICABLE SECURITIES LAWS OF ANY U.S. STATE OR ANY OTHER APPLICABLE JURISDICTION.
THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE RESTRICTION TERMINATION
DATE.”

(B) Notwithstanding the foregoing, any Global Note or Definitive Note issued
pursuant to subparagraphs (b)(4), (c)(3), (c)(4), (d)(2), (d)(3), (e)(2), (e)(3) or
(f) of this Section 2.06 (and all Notes issued in exchange therefor or substitution
thereof) will not bear the Private Placement Legend.

(2) Global Note Legend. Each Global Note will bear a legend in substantially the
following form:

“THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING THIS NOTE) OR
ITS NOMINEE IN CUSTODY FOR THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO
ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT
THAT (1) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS MAY BE REQUIRED PURSUANT TO SECTION 2.06 OF
THE INDENTURE, (2) THIS GLOBAL NOTE MAY BE EXCHANGED IN WHOLE BUT NOT IN PART PURSUANT TO SECTION
2.06(a) OF THE INDENTURE, (3) THIS GLOBAL NOTE MAY BE DELIVERED TO THE TRUSTEE FOR CANCELLATION
PURSUANT TO SECTION 2.11 OF THE INDENTURE AND (4) THIS GLOBAL NOTE MAY BE TRANSFERRED TO A
SUCCESSOR DEPOSITARY WITH THE PRIOR WRITTEN CONSENT OF REAL MEX RESTAURANTS, INC.

 

37

 

UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY
NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A
NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE
DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY.
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY (55 WATER STREET, NEW YORK, NEW YORK) (“DTC”), TO THE COMPANY OR ITS AGENT FOR REGISTRATION
OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE &
CO. OR SUCH OTHER NAME AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT
IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF
DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS
WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.”

(3) Regulation S Temporary Global Note Legend. The Regulation S Temporary Global Note
will bear a legend in substantially the following form:

“THE RIGHTS ATTACHING TO THIS REGULATION S TEMPORARY GLOBAL NOTE, AND THE CONDITIONS AND PROCEDURES
GOVERNING ITS EXCHANGE FOR CERTIFICATED NOTES, ARE AS SPECIFIED IN THE INDENTURE (AS DEFINED
HEREIN). NEITHER THE HOLDER NOR THE BENEFICIAL OWNERS OF THIS REGULATION S TEMPORARY GLOBAL NOTE
SHALL BE ENTITLED TO RECEIVE PAYMENT OF INTEREST HEREON.”

(h) Cancellation and/or Adjustment of Global Notes. At such time as all beneficial interests
in a particular Global Note have been exchanged for Definitive Notes or a particular Global Note
has been redeemed, repurchased or canceled in whole and not in part, each such Global Note will be
returned to or retained and canceled by the Trustee in accordance with Section 2.11 hereof. At any
time prior to such cancellation, if any beneficial interest in a Global Note is exchanged for or
transferred to a Person who will take delivery thereof in the form of a beneficial interest in
another Global Note or for Definitive Notes, the principal amount of Notes represented by such
Global Note will be reduced accordingly and an endorsement will be made on such Global Note by the
Trustee or by the Depositary at the direction of the Trustee to reflect such reduction; and if the
beneficial interest is being exchanged for or transferred to a Person who will take delivery
thereof in the form of a beneficial interest in another Global Note, such other Global Note will be
increased accordingly and an endorsement will be made on such Global Note by the Trustee or by the
Depositary at the direction of the Trustee to reflect such increase.

(i) General Provisions Relating to Transfers and Exchanges.

(1) To permit registrations of transfers and exchanges, the Company will execute and
the Trustee will authenticate Global Notes and Definitive Notes upon receipt of an
Authentication Order in accordance with Section 2.02 hereof or at the Registrar’s request.

(2) No service charge will be made to a holder of a beneficial interest in a Global
Note or to a holder of a Definitive Note for any registration of transfer or exchange, but
the Company may require payment of a sum sufficient to cover any transfer tax or similar
governmental charge payable in connection therewith (other than any such transfer taxes or
similar governmental charge payable upon exchange or transfer pursuant to Sections 2.10,
3.06, 3.09, 4.10, 4.15 and 9.05 hereof).

 

38

 

(3) The Registrar will not be required to register the transfer of or exchange of any
Note selected for redemption in whole or in part, except the unredeemed portion of any Note
being redeemed in part.

(4) All Global Notes and Definitive Notes issued upon any registration of transfer or
exchange of Global Notes or Definitive Notes will be the valid obligations of the Company,
evidencing the same debt, and entitled to the same benefits under this Indenture, as the
Global Notes or Definitive Notes surrendered upon such registration of transfer or exchange.

(5) Neither the Registrar nor the Company will be required:

(A) to issue, to register the transfer of or to exchange any Notes during a
period beginning at the opening of business 15 days before the day of any selection
of Notes for redemption under Section 3.02 hereof and ending at the close of
business on the day of selection;

(B) to register the transfer of or to exchange any Note selected for redemption
in whole or in part, except the unredeemed portion of any Note being redeemed in
part; or

(C) to register the transfer of or to exchange a Note between a record date and
the next succeeding interest payment date.

(6) Prior to due presentment for the registration of a transfer of any Note, the
Trustee, any Agent and the Company may deem and treat the Person in whose name any Note is
registered as the absolute owner of such Note for the purpose of receiving payment of
principal of and interest on such Notes and for all other purposes, and none of the Trustee,
any Agent or the Company shall be affected by notice to the contrary.

(7) The Trustee will authenticate Global Notes and Definitive Notes in accordance with
the provisions of Section 2.02 hereof.

(8) All certifications, certificates and Opinions of Counsel required to be submitted
to the Registrar pursuant to this Section 2.06 to effect a registration of transfer or
exchange may be submitted by facsimile.

Section 2.07 Replacement Notes.

If any mutilated Note is surrendered to the Trustee or the Company and the Trustee receives
evidence to its satisfaction of the destruction, loss or theft of any Note, the Company will issue
and the Trustee, upon receipt of an Authentication Order, will authenticate a replacement Note if
the Trustee’s requirements are met. If required by the Trustee or the Company, an indemnity bond
must be supplied by the Holder that is sufficient in the judgment of the Trustee and the Company to
protect the Company, the Trustee, any Agent and any authenticating agent from any loss that any of
them may suffer if a Note is replaced. The Company may charge for its expenses in replacing a Note,
including reasonable fees and expenses of counsel and of the Trustee and its counsel.

Every replacement Note is an additional obligation of the Company and will be entitled to all
of the benefits of this Indenture equally and proportionately with all other Notes duly issued
hereunder.

Section 2.08 Outstanding Notes.

The Notes outstanding at any time are all the Notes authenticated by the Trustee except for
those canceled by it, those delivered to it for cancellation, those reductions in the interest in a
Global Note effected by the Trustee in accordance with the provisions hereof, and those described
in this Section 2.08 as not outstanding. Except as set forth in Section 2.09 hereof, a Note does
not cease to be outstanding because the Company or an Affiliate of the Company holds the Note;
however, Notes held by the Company or a Subsidiary of the Company shall not be deemed to be
outstanding for purposes of Section 3.07(a) hereof.

 

39

 

If a Note is replaced pursuant to Section 2.07 hereof, it ceases to be outstanding unless the
Trustee receives proof satisfactory to it that the replaced Note is held by a protected purchaser.

If the principal amount of any Note is considered paid under Section 4.01 hereof, it ceases to
be outstanding and interest on it ceases to accrue.

If the Paying Agent (other than the Company, a Subsidiary or an Affiliate of any thereof)
holds, on a redemption date or maturity date, money sufficient to pay Notes payable on that date,
then on and after that date such Notes will be deemed to be no longer outstanding and will cease to
accrue interest.

Section 2.09 Treasury Notes.

In determining whether the Holders of the required principal amount of Notes have concurred in
any direction, waiver or consent, Notes owned by the Company or any Guarantor, or by any Person
directly or indirectly controlling or controlled by or under direct or indirect common control with
the Company or any Guarantor, will be considered as though not outstanding, except that for the
purposes of determining whether the Trustee will be protected in relying on any such direction,
waiver or consent, only Notes that the Trustee knows are so owned will be so disregarded.

Section 2.10 Temporary Notes.

Until certificates representing Notes are ready for delivery, the Company may prepare and the
Trustee, upon receipt of an Authentication Order, will authenticate temporary Notes. Temporary
Notes will be substantially in the form of certificated Notes but may have variations that the
Company considers appropriate for temporary Notes and as may be reasonably acceptable to the
Trustee. Without unreasonable delay, the Company will prepare and the Trustee will authenticate
Definitive Notes in exchange for temporary Notes.

Holders of temporary Notes will be entitled to all of the benefits of this Indenture.

Section 2.11 Cancellation.

The Company at any time may deliver Notes to the Trustee for cancellation. The Registrar and
Paying Agent will forward to the Trustee any Notes surrendered to them for registration of
transfer, exchange or payment. The Trustee and no one else will cancel all Notes surrendered for
registration of transfer, exchange, payment, replacement or cancellation and will destroy canceled
Notes (subject to the record retention requirement of the Exchange Act). Certification of the
destruction of all canceled Notes will be delivered to the Company. The Company may not issue new
Notes to replace Notes that it has paid or that have been delivered to the Trustee for
cancellation.

Section 2.12 Defaulted Interest.

If the Company defaults in a payment of interest on the Notes, it will pay the defaulted
interest in any lawful manner plus, to the extent lawful, interest payable on the defaulted
interest, to the Persons who are Holders on a subsequent special record date, in each case at the
rate provided in the Notes and in Section 4.01 hereof. The Company will notify the Trustee in
writing of the amount of defaulted interest proposed to be paid on each Note and the date of the
proposed payment. The Company will fix or cause to be fixed each such special record date and
payment date; provided that no such special record date may be less than 10 days prior to the
related payment date for such defaulted interest. At least 15 days before the special record date,
the Company (or, upon the written request of the Company, the Trustee in the name and at the
expense of the Company) will mail or cause to be mailed to Holders a notice that states the special
record date, the related payment date and the amount of such interest to be paid.

 

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Section 2.13 CUSIP Numbers.

The Company in issuing the Notes may use CUSIP, ISIN or other such numbers (if then generally
in use), and, if so, the Trustee shall use CUSIP, ISIN or other such numbers in notices of
redemption as a convenience to Holders; provided that any such notice may state that no
representation is made as to the correctness of such numbers either as printed on the Notes or as
contained in any notice of a redemption and that reliance may be placed only on the other
identification numbers printed on the Notes, and any such redemption shall not be affected by any
defect in or omission of such numbers. The Company shall promptly notify the Trustee of any change
in the CUSIP, ISIN or other numbers.

ARTICLE 3.

REDEMPTION AND PREPAYMENT

Section 3.01 Notices to Trustee.

If the Company elects to redeem Notes pursuant to the optional redemption provisions of
Section 3.07 hereof, it must furnish to the Trustee, at least 45 days but not more than 60 days
before a redemption date, an Officers’ Certificate setting forth:

(1) the clause of this Indenture pursuant to which the redemption shall occur;

(2) the redemption date;

(3) the principal amount of Notes to be redeemed; and

(4) the redemption price.

Section 3.02 Selection of Notes to Be Redeemed or Purchased.

If less than all of the Notes are to be redeemed or purchased in an offer to purchase at any
time, the Trustee will select Notes for redemption as follows:

(1) if the Notes are listed on any national securities exchange, in compliance with the
requirements of the principal national securities exchange on which the Notes are listed; or

(2) if the Notes are not listed on any national securities exchange, on a pro rata
basis, by lot or by such method as the Trustee deems fair and appropriate.

In the event of partial redemption or purchase by lot, the particular Notes to be redeemed or
purchased will be selected, unless otherwise provided herein, not less than 30 nor more than 60
days prior to the redemption or purchase date by the Trustee from the outstanding Notes not
previously called for redemption or purchase.

The Trustee will promptly notify the Company in writing of the Notes selected for redemption
or purchase and, in the case of any Note selected for partial redemption or purchase, the principal
amount thereof to be redeemed or purchased. Notes and portions of Notes selected will be in amounts
of $1,000 or whole multiples of $1,000; except that if all of the Notes of a Holder are to be
redeemed or purchased, the entire outstanding amount of Notes held by such Holder, even if not a
multiple of $1,000, shall be redeemed or purchased. Except as provided in the preceding sentence,
provisions of this Indenture that apply to Notes called for redemption or purchase also apply to
portions of Notes called for redemption or purchase.

Section 3.03 Notice of Redemption.

Subject to the provisions of Section 3.09 hereof, at least 30 days but not more than 60 days
before a redemption date, the Company will mail or cause to be mailed, by first class mail (or in
the case of Notes held in book entry form, by electronic transmission), a notice of redemption to
each Holder whose Notes are to be redeemed
at its registered address, except that redemption notices may be mailed more than 60 days
prior to a redemption date if the notice is issued in connection with a defeasance of the Notes or
a satisfaction and discharge of this Indenture pursuant to Articles 8 or 12 hereof.

 

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The notice will identify the Notes to be redeemed and will state:

(1) the redemption date;

(2) the redemption price;

(3) if any Note is being redeemed in part, the portion of the principal amount of such
Note to be redeemed and that, after the redemption date upon surrender of such Note, a new
Note or Notes in principal amount equal to the unredeemed portion will be issued upon
cancellation of the original Note;

(4) the name and address of the Paying Agent;

(5) that Notes called for redemption must be surrendered to the Paying Agent to collect
the redemption price;

(6) that, unless the Company defaults in making such redemption payment, interest on
Notes called for redemption ceases to accrue on and after the redemption date;

(7) the paragraph of the Notes and/or Section of this Indenture pursuant to which the
Notes called for redemption are being redeemed; and

(8) that no representation is made as to the correctness or accuracy of the CUSIP
number, if any, listed in such notice or printed on the Notes.

At the Company’s request, the Trustee will give the notice of redemption in the Company’s name
and at its expense; provided, however, that the Company has delivered to the Trustee, at least 45
days prior to the redemption date, an Officers’ Certificate requesting that the Trustee give such
notice and setting forth the information to be stated in such notice as provided in the preceding
paragraph.

Section 3.04 Effect of Notice of Redemption.

Once notice of redemption is mailed in accordance with Section 3.03 hereof, Notes called for
redemption become irrevocably due and payable on the redemption date at the redemption price. A
notice of redemption may not be conditional.

Section 3.05 Deposit of Redemption or Purchase Price.

One Business Day prior to the redemption or purchase date, the Company will deposit with the
Trustee or with the Paying Agent money sufficient to pay the redemption or purchase price of and
accrued interest and Liquidated Damages, if any, on all Notes to be redeemed or purchased on that
date. The Trustee or the Paying Agent will promptly return to the Company any money deposited with
the Trustee or the Paying Agent by the Company in excess of the amounts necessary to pay the
redemption or purchase price of, and accrued interest and Liquidated Damages, if any, on, all Notes
to be redeemed or purchased.

If the Company complies with the provisions of the preceding paragraph, on and after the
redemption or purchase date, interest will cease to accrue on the Notes or the portions of Notes
called for redemption or purchase. If a Note is redeemed or purchased on or after an interest
record date but on or prior to the related interest payment date, then any accrued and unpaid
interest shall be paid to the Person in whose name such Note was registered at the close of
business on such record date. If any Note called for redemption or purchase is not so paid upon
surrender for redemption or purchase because of the failure of the Company to comply with the
preceding paragraph, interest shall be paid on the unpaid principal, from the redemption or
purchase date until such principal is paid, and to the
extent lawful on any interest not paid on such unpaid principal, in each case at the rate
provided in the Notes and in Section 4.01 hereof.

 

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Section 3.06 Notes Redeemed or Purchased in Part.

Upon surrender of a Note that is redeemed or purchased in part, the Company will issue and,
upon receipt of an Authentication Order, the Trustee will authenticate for the Holder at the
expense of the Company a new Note equal in principal amount to the unredeemed or unpurchased
portion of the Note surrendered.

Section 3.07 Optional Redemption.

(a) At any time prior to July 1, 2011, the Company may on any one or more occasions redeem up
to 35% of the aggregate principal amount of Notes originally issued under this Indenture at a
redemption price of 114.0% of the principal amount thereof, plus accrued and unpaid interest and
Liquidated Damages, if any, to the redemption date, with the net cash proceeds of a sale of Equity
Interests (other than Disqualified Stock) of the Company or a contribution to the Company’s common
equity capital made with the net cash proceeds of an offering of Equity Interests of any other
direct or indirect parent of the Company; provided that:

(1) at least 65% of the aggregate principal amount of Notes originally issued under
this Indenture (excluding Notes held by the Company and its Subsidiaries) remains
outstanding immediately after the occurrence of such redemption; and

(2) the redemption occurs within 90 days of the date of the closing of such sale of
Equity Interests.

(b) On or after July 1, 2011, the Company may redeem all or a part of the Notes upon not less
than 30 nor more than 60 days’ notice, at the redemption price (expressed as a percentage of the
principal amount) set forth below plus accrued and unpaid interest and Liquidated Damages, if any,
on the Notes redeemed to the applicable redemption date, subject to the rights of Holders on the
relevant record date to receive interest on the interest payment date that is immediately prior to
the applicable redemption date.

	 	 	 	 	 
	Year	 	Percentage	 
	July 1, 2011 and thereafter
	 	 	100.000	%

(c) At any time prior to July 1, 2011, the Company may also redeem all or a part of the Notes,
upon not less than 30 nor more than 60 days notice, at a redemption price equal to 100% of the
principal amount of Notes redeemed plus the Applicable Premium as of, and accrued and unpaid
interest and Liquidated Damages, if any, on the Notes redeemed, to, the applicable date of
redemption, subject to the rights of Holders on the relevant record date to receive interest due on
the relevant interest payment date.

Except pursuant to Sections 3.07(a) and 3.07(c), the Notes will not be redeemable at the
Company’s option prior to July 1, 2011.

Unless the Company defaults in the payment of the redemption price, interest will cease to
accrue on the Notes or portions thereof called for redemption on the applicable redemption date.

(d) Any redemption pursuant to this Section 3.07 shall be made pursuant to the provisions of
Sections 3.01 through 3.06 hereof.

Section 3.08 Mandatory Redemption.

The Company is not required to make mandatory redemption or sinking fund payments with respect
to the Notes.

 

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Section 3.09 Offer to Purchase by Application of Excess Proceeds or Excess Cash Flow.

In the event that, pursuant to Section 4.10 hereof, the Company is required to commence an
offer to all Holders to purchase Notes (an “Asset Sale Offer”) or, pursuant to Section 4.22 hereof,
the Company is required to commence an Excess Cash Flow Offer (an Asset Sale Offer and an Excess
Cash Flow Offer, each, a “Repurchase Offer”), it will follow the procedures specified below.

The Repurchase Offer shall be made by the Company to all Holders and all holders of other
Indebtedness that is pari passu with the Notes containing provisions similar to those set forth in
this Indenture with respect to offers to purchase or redeem with the proceeds of sales of assets or
with excess cash flow, as applicable. The Repurchase Offer will remain open for a period of at
least 20 Business Days following its commencement and not more than 30 Business Days, except to the
extent that a longer period is required by applicable law (the “Offer Period”). No later than three
Business Days after the termination of the Offer Period (the “Purchase Date”), the Company will
apply all Excess Proceeds or Excess Cash Flow Offer Amount, as applicable) (the “Offer Amount”) to
the purchase of Notes and such other pari passu Indebtedness (on a pro rata basis, if applicable)
or, if less than the Offer Amount has been tendered, all Notes and other Indebtedness tendered in
response to the Repurchase Offer. Payment for any Notes so purchased will be made in the same
manner as interest payments are made.

If the Purchase Date is on or after an interest record date and on or before the related
interest payment date, any accrued and unpaid interest and Liquidated Damages, if any, will be paid
to the Person in whose name a Note is registered at the close of business on such record date, and
no additional interest will be payable to Holders who tender Notes pursuant to the Repurchase
Offer.

Upon the commencement of a Repurchase Offer, the Company will send, by first class mail (or in
the case of Notes held in book entry form, by electronic transmission), a notice to the Trustee and
each of the Holders, with a copy to the Trustee. The notice will contain all instructions and
materials necessary to enable such Holders to tender Notes pursuant to the Repurchase Offer. The
notice, which will govern the terms of the Repurchase Offer, will state:

(1) that the Repurchase Offer is being made pursuant to this Section 3.09 and either
Section 4.10 or 4.22 hereof, as applicable, and the length of time the Repurchase Offer will
remain open;

(2) the Offer Amount, the portion of the Offer Amount to be applied to the purchase of
Notes, the purchase price and the Purchase Date;

(3) that any Note not tendered or accepted for payment will continue to accrue
interest;

(4) that, unless the Company defaults in making such payment, any Note accepted for
payment pursuant to the Repurchase Offer will cease to accrue interest after the Purchase
Date;

(5) that Holders electing to have a Note purchased pursuant to a Repurchase Offer may
elect to have Notes purchased in integral multiples of $1,000 only;

(6) that Holders electing to have Notes purchased pursuant to any Repurchase Offer will
be required to surrender the Note, with the form entitled “Option of Holder to Elect
Purchase” attached to the Notes completed, or transfer by book-entry transfer, to the
Company, a Depositary, if appointed by the Company, or a Paying Agent at the address
specified in the notice at least three days before the Purchase Date;

(7) that Holders will be entitled to withdraw their election if the Company, the
Depositary or the Paying Agent, as the case may be, receives, not later than the expiration
of the Offer Period, a telegram, telex, facsimile transmission or letter setting forth the
name of the Holder, the principal amount of the Note the Holder delivered for purchase and a
statement that such Holder is withdrawing his election to have such Note purchased;

 

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(8) that, if the aggregate principal amount of Notes and other pari passu Indebtedness
surrendered by holders thereof exceeds the aggregate Offer Amount, the Notes and other pari
passu Indebtedness to be purchased will be selected by the Company on a pro rata basis based
on the principal amount of Notes and such other pari passu Indebtedness surrendered (with
such adjustments as may be deemed appropriate by the Company so that only Notes in
denominations of $1,000, or integral multiples thereof, will be purchased); and

(9) that Holders whose Notes were purchased only in part will be issued new Notes equal
in principal amount to the unpurchased portion of the Notes surrendered (or transferred by
book-entry transfer).

On or before the Purchase Date, the Company will, to the extent lawful, accept for payment, on
a pro rata basis to the extent necessary, the Offer Amount of Notes or portions thereof tendered
pursuant to the Repurchase Offer, or if less than the Offer Amount has been tendered, all Notes
tendered, and will deliver or cause to be delivered to the Trustee the Notes properly accepted
together with an Officers’ Certificate stating that such Notes or portions thereof were accepted
for payment by the Company in accordance with the terms of this Section 3.09. The Company, the
Depositary or the Paying Agent, as the case may be, will promptly (but in any case not later than
five days after the Purchase Date) mail or deliver to each tendering Holder an amount equal to the
purchase price of the Notes tendered by such Holder and accepted by the Company for purchase, and
the Company will promptly issue a new Note, and the Trustee, upon written request from the Company,
will authenticate and mail or deliver (or cause to be transferred by book entry) such new Note to
such Holder, in a principal amount equal to any unpurchased portion of the Note surrendered. Any
Note not so accepted shall be promptly mailed or delivered by the Company to the Holder thereof.
The Company will publicly announce the results of the Repurchase Offer on the Purchase Date.

Other than as specifically provided in this Section 3.09, any purchase pursuant to this
Section 3.09 shall be made pursuant to the provisions of Sections 3.01 through 3.06 hereof.

ARTICLE 4.

COVENANTS

Section 4.01 Payment of Notes.

The Company will pay or cause to be paid the principal of, premium, if any, and interest and
Liquidated Damages, if any, on, the Notes on the dates and in the manner provided in the Notes.
Principal, premium, if any, and interest and Liquidated Damages, if any will be considered paid on
the date due if the Paying Agent, if other than the Company or a Subsidiary thereof, holds as of
10:00 a.m. Eastern Time on the due date money deposited by the Company in immediately available
funds and designated for and sufficient to pay all principal, premium, if any, and interest then
due. If there is a Capital Expenditure Event as described under Section 4.21 below, the Company
will pay interest (including post-petition interest in any proceeding under any Bankruptcy Law) on
the Notes at a rate equal to 1% per annum in excess of the then applicable interest rate on the
Notes for the specified period in Section 4.21. The Company will pay all Liquidated Damages, if
any, in the same manner on the dates and in the amounts set forth in the Registration Rights
Agreement.

The Company will pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue principal at the rate equal to 1% per annum in excess of the then
applicable interest rate on the Notes to the extent lawful; it will pay interest (including
post-petition interest in any proceeding under any Bankruptcy Law) on overdue installments of
interest and Liquidated Damages (without regard to any applicable grace period) at the same rate to
the extent lawful.

Section 4.02 Maintenance of Office or Agency.

The Company will maintain an office or agency (which may be an office of the Trustee or an
Affiliate of the Trustee, Registrar or co-registrar) where Notes may be surrendered for
registration of transfer or for exchange and where notices and demands to or upon the Company in
respect of the Notes and this Indenture may be served. The Company will give prompt written notice
to the Trustee of the location, and any change in the location, of such office or agency. If at any
time the Company fails to maintain any such required office or agency or fails to furnish
the Trustee with the address thereof, such presentations, surrenders, notices and demands may
be made or served at the Corporate Trust Office of the Trustee.

 

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The Company may also from time to time designate one or more other offices or agencies where
the Notes may be presented or surrendered for any or all such purposes and may from time to time
rescind such designations; provided, however, that no such designation or rescission will in any
manner relieve the Company of its obligation to maintain an office or agency in the Borough of
Manhattan, the City of New York for such purposes. The Company will give prompt written notice to
the Trustee of any such designation or rescission and of any change in the location of any such
other office or agency.

The Company hereby designates the Corporate Trust Office of the Trustee as one such office or
agency of the Company in accordance with Section 2.03 hereof.

Section 4.03 Reports.

(a) Whether or not required by the rules and regulations of the SEC, so long as any Notes are
outstanding, the Company will furnish to the Holders of Notes (with a copy furnished to the Trustee
substantially concurrently), within the time periods specified in the SEC’s rules and regulations:

(1) all quarterly and annual reports that would be required to be filed with the SEC on
Forms 10-Q and 10-K if the Company were required to file reports; and

(2) all current reports that would be required to be filed with the SEC on Form 8-K if
the Company were required to file such reports.

The availability of the foregoing materials on the SEC’s EDGAR service shall be deemed to
satisfy the Company’s delivery obligation.

(b) All such reports will be prepared in all material respects in accordance with all of the
rules and regulations applicable to such reports. Each annual report on Form 10-K will include a
report on the Company’s consolidated financial statements by the Company’s certified independent
accountants. The Company will file a copy of each of the reports referred to in clauses (1) and (2)
of Section 4.03(a) above with the SEC for public availability within the time periods specified in
the rules and regulations applicable to such reports (unless the SEC will not accept such a
filing).

(c) If, at any time after consummation of the Exchange Offer contemplated by the Registration
Rights Agreement, the Company is no longer subject to the periodic reporting requirements of the
Exchange Act for any reason, the Company will nevertheless continue filing the reports specified in
Section 4.03(a) with the SEC within the time periods specified in Section 4.03(a) unless the SEC
will not accept such a filing. The Company will not take any action for the purpose of causing the
SEC not to accept any such filings. If, notwithstanding the foregoing, the SEC will not accept the
Company’s filings for any reason, the Company will post the reports referred to in Section 4.03(a)
on its website within the time periods that would apply if the Company were required to file those
reports with the SEC.

(d) If the Company has designated any of its Subsidiaries as Unrestricted Subsidiaries, then
the quarterly and annual financial information required by Section 4.03(a) will include a
reasonably detailed presentation, either on the face of the consolidated financial statements or in
the footnotes thereto, and in Management’s Discussion and Analysis of Financial Condition and
Results of Operations, of the financial condition and results of operations of the Company and its
Restricted Subsidiaries separate from the financial condition and results of operations of the
Unrestricted Subsidiaries of the Company.

(e) For so long as any Notes remain outstanding, if at any time it is not required to file
with the SEC the reports required by Sections 4.03(a) and 4.03(b), the Company and the Guarantors
will furnish to the Holders and to securities analysts and prospective investors, upon their
request, the information required to be delivered pursuant to Rule 144A(d)(4) under the Securities
Act.

 

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Section 4.04 Compliance Certificate.

(a) The Company and each Guarantor (to the extent that such Guarantor is so required under the
TIA) shall deliver to the Trustee, within 90 days after the end of each fiscal year, an Officers’
Certificate stating that a review of the activities of the Company and its Subsidiaries during the
preceding fiscal year has been made under the supervision of the signing Officers with a view to
determining whether the Company has kept, observed, performed and fulfilled its obligations under
this Indenture and the Security Documents, and further stating, as to each such Officer signing
such certificate, that to the best of his or her knowledge the Company has kept, observed,
performed and fulfilled each and every covenant contained in this Indenture and the Security
Documents and is not in default in the performance or observance of any of the terms, provisions
and conditions of this Indenture or the Security Documents (or, if a Default or Event of Default
has occurred, describing all such Defaults or Events of Default of which he or she may have
knowledge and what action the Company is taking or proposes to take with respect thereto) and that
to the best of his or her knowledge no event has occurred and remains in existence by reason of
which payments on account of the principal of or interest, if any, on the Notes is prohibited or if
such event has occurred, a description of the event and what action the Company is taking or
proposes to take with respect thereto. Such Officers’ Certificate shall also state the information
required by Section 4.21 hereof.

(b) So long as not contrary to the then current recommendations of the American Institute of
Certified Public Accountants, the year-end financial statements delivered pursuant to Section 4.03
above shall be accompanied by a separate written statement of the Company’s independent public
accountants (who shall be a firm of established national reputation) that in making the examination
necessary for certification of such financial statements, nothing has come to their attention that
would lead them to believe that the Company has violated any provisions of Article 4 or Article 5
hereof or, if any such violation has occurred, specifying the nature and period of existence
thereof, it being understood that such accountants shall not be liable directly or indirectly to
any Person for any failure to obtain knowledge of any such violation.

(c) So long as any of the Notes are outstanding, the Company will deliver to the Trustee,
forthwith upon any Officer becoming aware of any Default or Event of Default, an Officers’
Certificate specifying such Default or Event of Default and what action the Company is taking or
proposes to take with respect thereto.

Section 4.05 Taxes.

The Company will pay, and will cause each of its Subsidiaries to pay, prior to delinquency,
all material taxes, assessments, and governmental levies except such as are contested in good faith
and by appropriate proceedings or where the failure to effect such payment is not adverse in any
material respect to the Holders of the Notes, the Trustee or the Collateral Agent.

Section 4.06 Stay, Extension and Usury Laws.

The Company and each of the Guarantors covenants (to the extent that it may lawfully do so)
that it will not at any time insist upon, plead, or in any manner whatsoever claim or take the
benefit or advantage of, any stay, extension or usury law wherever enacted, now or at any time
hereafter in force, that may affect the covenants or the performance of this Indenture; and the
Company and each of the Guarantors (to the extent that it may lawfully do so) hereby expressly
waives all benefit or advantage of any such law, and covenants that it will not, by resort to any
such law, hinder, delay or impede the execution of any power herein granted to the Trustee, but
will suffer and permit the execution of every such power as though no such law has been enacted.

Section 4.07 Restricted Payments.

(a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly:

(1) declare or pay any dividend or make any other payment or distribution on account of
the Company’s or any of its Restricted Subsidiaries’ Equity Interests (including, without
limitation, any payment in connection with any merger or consolidation involving the Company
or any of its Restricted
Subsidiaries) or to the direct or indirect holders of the Company’s or any of its
Restricted Subsidiaries’ Equity Interests in their capacity as such (other than dividends or
distributions payable in Equity Interests (other than Disqualified Stock) of the Company and
other than dividends or distributions payable to the Company or a Restricted Subsidiary of
the Company);

 

47

 

(2) purchase, redeem or otherwise acquire or retire for value (including without
limitation, in connection with any merger or consolidation involving the Company) any Equity
Interests of the Company or any direct or indirect parent of the Company;

(3) make any payment on or with respect to, or purchase, redeem, defease or otherwise
acquire or retire for value any Indebtedness of the Company or any Guarantor that is
unsecured or contractually subordinated to the Notes or to any Note Guarantee (excluding any
intercompany Indebtedness between or among the Company and any of its Restricted
Subsidiaries), except (x) a payment of interest or principal at the Stated Maturity thereof;
or (y) a payment, purchase, redemption, defeasance or other acquisition or retirement for
value of any such Indebtedness in anticipation of satisfying a sinking fund obligation,
principal installment or final maturity, in each case due within one year of the date of
payment, purchase, redemption, defeasance, acquisition or retirement; or

(4) make any Restricted Investment,

(all such payments and other actions set forth in these clauses (1) through (4) above being
collectively referred to as “Restricted Payments”), unless, at the time of and after giving effect
to such Restricted Payment;

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

(2) the Company would, at the time of such Restricted Payment and after giving pro
forma effect thereto as if such Restricted Payment had been made at the beginning of the
applicable four-quarter period, have been permitted to incur at least $1.00 of additional
Indebtedness pursuant to the Adjusted Leverage Ratio test set forth in Section 4.09(a)
hereof; and

(3) such Restricted Payment, together with the aggregate amount of all other Restricted
Payments made by the Company and its Restricted Subsidiaries since the date of this
Indenture (excluding Restricted Payments permitted by clauses (2), (3), (4), (6), (8) and
(9) of paragraph (b) of this Section 4.07), is less than the sum, without duplication of:

(A) 50% of (i) the Consolidated Net Income of the Company for the period (taken
as one accounting period) from the date of this Indenture to the end of the
Company’s most recently ended fiscal quarter for which internal financial statements
are available at the time of such Restricted Payment (or, if such Consolidated Net
Income for such period is a deficit, less 100% of such deficit) and (ii) any
dividends received by the Company or a Wholly-Owned Restricted Subsidiary of the
Company that is a Subsidiary Guarantor after the date of this Indenture from an
Unrestricted Subsidiary of the Company, to the extent that such dividends were not
otherwise included in Consolidated Net Income of the Company for such period; plus

(B) 100% of the aggregate net cash proceeds received by the Company since the
date of this Indenture as a contribution to its common equity capital (other than
amounts received and used to make Capital Expenditures in accordance with this
Indenture) or from the issue or sale of Equity Interests of the Company (other than
Disqualified Stock) or from the issue or sale of convertible or exchangeable
Disqualified Stock or convertible or exchangeable debt securities of the Company
that have been converted into or exchanged for such Equity Interests (other than
Equity Interests (or Disqualified Stock or debt securities) sold to a Subsidiary of
the Company); plus

 

48

 

(C) to the extent that any Restricted Investment that was made after the date
of this Indenture is sold for cash or otherwise liquidated, repaid, repurchased or
redeemed for cash or any
Unrestricted Subsidiary of the Company designated as such after the date of
this Indenture is redesignated as a Restricted Subsidiary after the date of this
Indenture, the lesser of (i) the cash return of capital with respect to such
Restricted Investment (less the cost of disposition, if any) or the Fair Market
Value of the Company’s Investment in such Subsidiary as of the date of such
redesignation, as the case may be, and (ii) the initial amount of such Restricted
Investment or the Fair Market Value of the Company’s Investment in such Subsidiary
as of the date on which such Subsidiary was originally designated as an Unrestricted
Subsidiary, as the case may be; plus

(D) 100% of the Fair Market Value as of the date of issuance of any Equity
Interests (other than Disqualified Stock) issued by the Company as consideration for
the purchase by the Company or any of its Restricted Subsidiaries of all or
substantially all of the assets of, or a majority of the Voting Stock of, another
Permitted Business (including by means of a merger, consolidation or other business
combination permitted under this Indenture).

(b) So long as no Default has occurred and is continuing or would be caused thereby, the
provisions of Section 4.07(a) hereof will not prohibit:

(1) the payment of any dividend or the consummation of any irrevocable redemption
within 60 days after the date of declaration of the dividend or giving of the redemption
notice, as the case may be, if at the date of declaration or notice, the dividend or
redemption payment would have complied with the provisions of this Indenture;

(2) the making of any Restricted Payment in exchange for Equity Interests of the
Company (other than Disqualified Stock) or out of the net cash proceeds received by the
Company (other than amounts received and used to make Capital Expenditures in accordance
with this Indenture) within ten Business Days of the sale (other than to a Subsidiary of the
Company) of Equity Interests of the Company (other than Disqualified Stock) or within ten
Business Days of the contribution of common equity capital to the Company; provided that the
amount of any such net cash proceeds that are utilized for any such Restricted Payment will
be excluded from clause (3)(B) of the second paragraph of Section 4.07(a) hereof;

(3) the repurchase, redemption, defeasance or other acquisition or retirement for value
of Indebtedness of the Company or any Subsidiary Guarantor that is unsecured or
contractually subordinated to the Notes or to any Note Guarantee with the net cash proceeds
from an incurrence of Permitted Refinancing Indebtedness within 60 days of such repurchase,
redemption, defeasance or other acquisition or retirement for value;

(4) the payment of any dividend (or, in the case of any partnership or limited
liability company, any similar distribution) by a Restricted Subsidiary of the Company to
the holders of its Equity Interests on a pro rata basis;

(5) the repurchase, redemption or other acquisition or retirement for value of any
Equity Interests of the Company or any Restricted Subsidiary of the Company held by any
current or former officer, director or employee of the Company or any of its Restricted
Subsidiaries pursuant to any equity subscription agreement, stock option plan or any other
management or employee benefit plan or agreement, shareholders’ agreement or similar
agreement:

(A) upon the death or disability of such officer, director or employee; or

(B) upon the resignation or other termination of employment of such officer,
director or employee; provided that the aggregate price paid for all such
repurchased, redeemed, acquired or retired Equity Interests pursuant to this clause
(B) may not exceed $1.0 million in any twelve-month period (with unused amounts in
any immediately preceding twelve-month period being carried over to the next
succeeding twelve month period subject to a maximum carry-over amount of $1.0
million in any twelve-month period) plus the aggregate net cash proceeds received by
the Company after the date of this Indenture from the issuance of such Equity
Interests to, or the exercise of options to purchase such Equity Interests by, any
current or former director, officer
or employee of the Company or any Restricted Subsidiary (provided that the
amount of such net cash proceeds received by the Company and utilized pursuant to
this clause (B) for any such repurchase, redemption, acquisition or retirement will
be excluded from clause (3)(B) of Section 4.07(a);

 

49

 

(6) the repurchase of Equity Interests deemed to occur upon the exercise of stock
options to the extent such Equity Interests represent a portion of the exercise price of
those stock options;

(7) the declaration and payment of regularly scheduled or accrued dividends to holders
of any class or series of Disqualified Stock of the Company or any Restricted Subsidiary of
the Company issued on or after the date of this Indenture in accordance with the Adjusted
Leverage Ratio test described in Section 4.09 hereof;

(8) any repricing or issuance of employee stock options or the adoption of bonus
arrangements, in each case in connection with the issuance of the Notes, and payments
pursuant to such arrangements;

(9) the acquisition of any shares of Disqualified Stock of the Company in exchange for
other shares of Disqualified Stock of the Company or with the net cash proceeds from an
issuance of Disqualified Stock by the Company within 45 days of such issuance, in each case
that is permitted to be issued under Section 4.09 below; or

(10) Permitted Payments to Parent.

(c) The amount of all Restricted Payments (other than cash) will be the Fair Market Value on
the date of the Restricted Payment of the asset(s) or securities proposed to be transferred or
issued by the Company or such Restricted Subsidiary, as the case may be, pursuant to the Restricted
Payment. The Fair Market Value of any assets or securities that are required to be valued by this
Section 4.07 will be determined by the Board of Directors of the Company whose resolution with
respect thereto shall be delivered to the Trustee. The Board of Directors’ determination must be
based upon an opinion or appraisal issued by an accounting, appraisal or investment banking firm of
national standing if the Fair Market Value exceeds $3.0 million.

(d) For purposes of determining compliance with this Section 4.07, if a Restricted Payment
meets the criteria of more than one of the exceptions described in clauses (1) through (10) of
Section 4.07(b) or is entitled to be made according to Section 4.07(a), the Company may, in its
sole discretion, classify the Restricted Payment in any manner that complies with this Section
4.07.

Section 4.08 Dividend and Other Payment Restrictions Affecting Subsidiaries.

(a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly, create or permit to exist or become effective any consensual encumbrance or
restriction on the ability of any Restricted Subsidiary to:

(1) pay dividends or make any other distributions on its Capital Stock to the Company
or any of its Restricted Subsidiaries or with respect to any other interest or participation
in, or measured by, its profits, or pay any indebtedness owed to the Company or any of its
Restricted Subsidiaries;

(2) make loans or advances to the Company or any of its Restricted Subsidiaries; or

 

50

 

(3) sell, lease or transfer any of its properties or assets to the Company or any of
its Restricted Subsidiaries.

(b) The restrictions in Section 4.08(a) hereof will not apply to encumbrances or restrictions
existing under or by reason of:

(1) agreements governing Existing Indebtedness and the Credit Agreement as in effect on
the date of this Indenture and any amendments, restatements, modifications, renewals,
supplements, refundings, replacements or refinancings of those agreements; provided that the
amendments, restatements, modifications, renewals, supplements, refundings, replacements or
refinancings are not materially more restrictive, taken as a whole, with respect to such
dividend and other payment restrictions than those contained in those agreements on the date
of this Indenture;

(2) this Indenture, the Notes, the Note Guarantees, the Security Documents and the
Intercreditor Agreement;

(3) applicable law, rule, regulation or order;

(4) any instrument governing Indebtedness or Capital Stock of a Person acquired by the
Company or any of its Restricted Subsidiaries as in effect at the time of such acquisition
(except to the extent such Indebtedness or Capital Stock was incurred in connection with or
in contemplation of such acquisition), which encumbrance or restriction is not applicable to
any Person, or the properties or assets of any Person, other than the Person, or the
property or assets of the Person, so acquired; provided that, in the case of Indebtedness,
such Indebtedness was permitted by the terms of this Indenture to be incurred;

(5) customary non-assignment provisions in contracts, leases and licenses entered into
in the ordinary course of business;

(6) purchase money obligations for property acquired in the ordinary course of business
and Capital Lease Obligations that impose restrictions on the property purchased or leased
of the nature described in clause (3) of Section 4.08(a) hereof;

(7) any agreement for the sale or other disposition of a Restricted Subsidiary that
restricts distributions by that Restricted Subsidiary pending the sale or other disposition;

(8) Permitted Refinancing Indebtedness; provided that the restrictions contained in the
agreements governing such Permitted Refinancing Indebtedness are not materially more
restrictive, taken as a whole, than those contained in the agreements governing the
Indebtedness being refinanced;

(9) Permitted Liens that limit the right of the debtor to dispose of the assets subject
to such Liens;

(10) provisions limiting the disposition or distribution of assets or property in joint
venture agreements, asset sale agreements, sale-leaseback agreements, stock sale agreements
and other similar agreements entered into with the approval of the Company’s Board of
Directors, which limitation is applicable only to the assets that are the subject of such
agreements; and

(11) restrictions on cash or other deposits or net worth imposed by customers under
contracts entered into in the ordinary course of business.

Section 4.09 Incurrence of Indebtedness and Issuance of Preferred Stock.

(a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly, create, incur, issue, assume, guarantee or otherwise become directly or indirectly
liable, contingently or otherwise, with respect to (collectively, “incur”) any Indebtedness
(including Acquired Debt) other than Permitted Debt, and the Company will not issue any
Disqualified Stock and will not permit any of its Restricted Subsidiaries to issue any shares of
preferred stock; provided, however, that the Company may incur Indebtedness that is not secured by
any Lien (including Acquired Debt) or issue Disqualified Stock, and the Subsidiary Guarantors may
incur Indebtedness that is not secured by any Lien (including Acquired Debt) or issue preferred
stock, if the Adjusted Leverage Ratio for the Company’s most recently ended four full fiscal
quarters for which internal financial statements are available immediately preceding the date on
which such additional Indebtedness is incurred or such
Disqualified Stock or preferred stock is issued, as the case may be, would have been no more
than 5.00 to 1 determined on a pro forma basis, (including a pro forma application of the net
proceeds therefrom), as if the additional Indebtedness had been incurred or the Disqualified Stock
or the preferred stock had been issued, as the case may be, at the beginning of such four-quarter
period.

 

51

 

(b) The Company will not incur, and will not permit any of its Restricted Subsidiaries to
incur, any Indebtedness (including Permitted Debt) that is contractually subordinated in right of
payment to any other Indebtedness of the Company or such Restricted Subsidiary unless such
Indebtedness is also contractually subordinated in right of payment to the Notes and the Note
Guarantee of such Restricted Subsidiary on substantially identical terms; provided, however, that
no Indebtedness will be deemed to be contractually subordinated in right of payment to any other
Indebtedness of the Company or a Restricted Subsidiary solely by virtue of being (i) unsecured,
(ii) secured on a first or junior Lien basis or (iii) junior in right of distribution of collateral
proceeds.

(c) For purposes of determining compliance with this Section 4.09, in the event that an item
of proposed Indebtedness meets the criteria of more than one of the categories of Permitted Debt
described in clauses (1) through (15) of the definition of Permitted Debt, or is entitled to be
incurred pursuant to Section 4.09(a), the Company will be permitted, in its sole discretion, to
classify such item of Indebtedness on the date of its incurrence, or later reclassify all or a
portion of such item of Indebtedness, in any manner that complies with this Section 4.09.
Indebtedness under the Credit Agreement relating to revolving credit borrowings outstanding on the
date on which Notes are first issued and authenticated under this Indenture will initially be
deemed to have been incurred on such date in reliance on the exception provided by clause (1) of
the definition of Permitted Debt. The accrual of interest, accrual of dividends on Disqualified
Stock, the accretion or amortization of original issue discount, the payment of interest on any
Indebtedness in the form of additional Indebtedness with the same terms, the reclassification of
preferred stock as Indebtedness due to a change in accounting principles, and the payment of
dividends on Disqualified Stock in the form of additional shares of the same class of Disqualified
Stock will not be deemed to be an incurrence of Indebtedness or an issuance of Disqualified Stock
for purposes of this Section 4.09; provided, in each such case (other than any reclassification of
preferred stock as indebtedness due to a change in accounting principles), that the amount of any
such accrual, accretion or payment is included in Fixed Charges of the Company as accrued and will
constitute Consolidated Indebtedness once incurred. Notwithstanding any other provision of this
Section 4.09, the maximum amount of Indebtedness that the Company or any Restricted Subsidiary may
incur pursuant to this Section 4.09 shall not be deemed to be exceeded solely as a result of
fluctuations in exchange rates or currency values.

(d) The amount of any Indebtedness outstanding as of any date will be:

(1) the accreted value of the Indebtedness, in the case of any Indebtedness issued with
original issue discount;

(2) the principal amount of the Indebtedness, in the case of any other Indebtedness;
and

(3) in respect of Indebtedness of another Person secured by a Lien on the assets of the
specified Person, the lesser of:

(a) the Fair Market Value of such assets at the date of determination; and

(b) the amount of the Indebtedness of the other Person.

Section 4.10 Asset Sales.

(a) The Company will not, and will not permit any of its Restricted Subsidiaries to,
consummate an Asset Sale unless:

(1) the Company (or the Restricted Subsidiary, as the case may be) receives
consideration at the time of the Asset Sale at least equal to the Fair Market Value of the
assets or Equity Interests issued or sold or otherwise disposed of; and

 

52

 

(2) at least 75% of the consideration received in the Asset Sale by the Company or such
Restricted Subsidiary is in the form of cash or Cash Equivalents. For purposes of this
provision, each of the following shall be deemed to be cash:

(A) any liabilities, as shown on the Company’s most recent consolidated balance
sheet, of the Company or any Restricted Subsidiary (other than contingent
liabilities and liabilities that are by their terms subordinated to the Notes or any
Note Guarantee) that are assumed by the transferee of any such assets pursuant to a
customary novation agreement that releases the Company or such Restricted Subsidiary
from further liability;

(B) any securities, notes or other obligations received by the Company or any
such Restricted Subsidiary from such transferee that are converted by the Company or
such Restricted Subsidiary into cash within 180 days after such Asset Sale, to the
extent of the cash received in that conversion; and

(C) any stock or assets of the kind referred to in clauses (2) or (4) of
Section 4.10(b); and

(3) the Consolidated Cash Flow for the most recent four fiscal quarter period
attributable to the assets or Equity Interests issued or sold or otherwise disposed of in
any single transaction or series of related transactions does not exceed 33 1/3% of the
Company’s Consolidated Cash Flow for the most recent four fiscal quarter period.

(b) Any Asset Sale pursuant to a to a condemnation, appropriation or other similar taking,
including by deed in lieu of condemnation, or pursuant to the foreclosure or other enforcement of a
Permitted Lien or exercise by the related lienholder of rights with respect to any of the
foregoing, including by deed or assignment in lieu of foreclosure, will not be required to satisfy
the conditions set forth in Section 4.10(a). Within 365 days after the receipt of any Net Proceeds
from an Asset Sale, other than a Sale of Collateral, the Company (or the applicable Restricted
Subsidiary, as the case may be) may apply such Net Proceeds at its option:

(1) to repay Priority Lien Debt and, if such Priority Lien Debt is revolving credit
Indebtedness, such repayments shall correspondingly reduce commitments with respect thereto;

(2) to acquire all or substantially all of the assets of, or any Capital Stock of,
another Permitted Business, if, after giving effect to any such acquisition of Capital
Stock, the Permitted Business is or becomes a Restricted Subsidiary of the Company;

(3) to make a Capital Expenditure;

(4) to acquire other assets that are not classified as current assets under GAAP and
that are used or useful in a Permitted Business; or

(5) any combination of clauses (1) through (4) above.

(c) Within 365 days after the receipt of any Net Proceeds from an Asset Sale that constitutes
a Sale of Collateral, the Company (or the Restricted Subsidiary that owned those assets, as the
case may be) may apply those Net Proceeds to purchase other assets that will constitute Collateral
or to repay Priority Lien Debt and, if such Priority Lien Debt is revolving credit Indebtedness, to
correspondingly reduce permanently the commitments with respect thereto.

(d) In the case of clause (2) or (4) of Section 4.10(b) above or a Sale of Collateral, the
Company will be deemed to have complied with its obligations in this Section 4.10 if it enters into
a binding commitment to acquire such assets or Capital Stock prior to 360 days after the receipt of
the applicable Net Proceeds; provided that such binding commitment will be subject only to
customary conditions and such acquisition is completed within 180 days following the expiration of
the aforementioned 360 day period. If the acquisition contemplated by such binding
commitment is not consummated on or before such 180th day, and the Company has not applied the
applicable Net Proceeds for another purpose permitted by the applicable preceding paragraph on or
before such 180th day, such commitment shall be deemed not have been a permitted application of Net
Proceeds. Pending the final application of any Net Proceeds, the Company may temporarily reduce
revolving credit borrowings or otherwise invest the Net Proceeds in any manner that is not
prohibited by this Indenture.

 

53

 

(e) Notwithstanding anything to the contrary herein, if an Asset Sale (in any single
transaction or series of related transactions) results in the sale of the Equity Interests of Real
Mex Foods, Inc. or the Real Mex Foods Business, the Company (or the applicable Restricted
Subsidiary, as the case may be) must apply such Net Proceeds within 15 days of receipt:

(1) to repay Priority Lien Debt, which repayments shall correspondingly reduce permanently
the amounts that would have otherwise been available for revolver or letter of credit
borrowing, as applicable, under the Credit Agreement (including pursuant to clause (1) of
the definition of “Permitted Debt”); and

(2) after all Priority Lien Debt has been repaid, to make an Asset Sale Offer for the Notes
to purchase the maximum principal amount of Notes that may be purchased out of such Net
Proceeds at an offer price of 100% of the principal amount plus accrued and unpaid interest
and Liquidated Damages, if any, to the date of purchase, payable in cash.

As used herein, “Real Mex Foods Business” means the business of purchasing and distribution
services for restaurant operators and manufacturing specialty products for sales to outside
customers that is currently operated by the Company’s Subsidiary, Real Mex Foods, Inc.

(f) Any Net Proceeds from Asset Sales that are not applied or invested as provided in Section
4.10(b) or 4.10(c), as applicable, will constitute “Excess Proceeds.” The Company will make an
Asset Sale Offer to all Holders of Notes and all holders of other Indebtedness that is pari passu
with the Notes containing provisions similar to those set forth in this Indenture with respect to
offers to purchase or redeem with the proceeds of sales of assets in accordance with Section 3.09
hereof to purchase the maximum principal amount of Notes and such other pari passu Indebtedness
that may be purchased out of the Excess Proceeds. The offer price in any Asset Sale Offer will be
equal to 100% of the principal amount plus accrued and unpaid interest and Liquidated Damages, if
any, to the date of purchase, and will be payable in cash. If any Excess Proceeds remain after
consummation of an Asset Sale Offer, the Company may use those Excess Proceeds for any purpose not
otherwise prohibited by this Indenture. If the aggregate principal amount of Notes and other pari
passu Indebtedness tendered into such Asset Sale Offer exceeds the amount of Excess Proceeds, the
Notes and such other pari passu Indebtedness to be purchased will be selected by the Company on a
pro rata basis. Upon completion of each Asset Sale Offer, the amount of Excess Proceeds will be
reset at zero. The Company will be required to make the Asset Sale Offer contemplated by this
Section 4.10 within 30 days after the aggregate amount of Excess Proceeds exceeds $5.0 million.

(g) The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent such laws and regulations are
applicable in connection with each repurchase of Notes pursuant to an Asset Sale Offer. To the
extent that the provisions of any securities laws or regulations conflict with the provisions of
Section 3.09 hereof or this Section 4.10, the Company will comply with the applicable securities
laws and regulations and will not be deemed to have breached its obligations under Section 3.09
hereof or this Section 4.10 by virtue of such compliance.

Section 4.11 Transactions with Affiliates.

(a) The Company will not, and will not permit any of its Restricted Subsidiaries to, make any
payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or
purchase any property or assets from, or enter into or make or amend any transaction, contract,
agreement, understanding, loan, advance or guarantee with, or for the benefit of, any Affiliate of
the Company (each an “Affiliate Transaction”), unless:

(1) the Affiliate Transaction is on terms that are no less favorable to the Company or
the relevant Restricted Subsidiary than those that would have been obtained in a comparable
transaction by the Company or such Restricted Subsidiary with an unrelated Person; and

 

54

 

(2) the Company delivers to the Trustee:

(A) with respect to any Affiliate Transaction or series of related Affiliate
Transactions involving aggregate consideration in excess of $2.5 million, a
resolution of the Board of Directors of the Company set forth in an Officers’
Certificate certifying that such Affiliate Transaction complies with clause (1) of
this Section 4.11(a) and that such Affiliate Transaction has been approved by a
majority of the disinterested members of the Board of Directors of the Company; and

(B) with respect to any Affiliate Transaction or series of related Affiliate
Transactions involving aggregate consideration in excess of $5.0 million, an opinion
as to the fairness to the Company or such Subsidiary of such Affiliate Transaction
from a financial point of view issued by an accounting, appraisal or investment
banking firm of national standing.

(b) The following items, or any amendment thereto or replacement thereof, so long as any such
amendment or replacement is not more disadvantageous to the Company in any material respect than
the original agreement or plan as in effect on the date of this Indenture, as reasonably determined
by the Board of Directors or senior management of the Company, and payments pursuant thereto, will
not be deemed to be Affiliate Transactions and, therefore, will not be subject to the provisions of
Section 4.11(a) hereof:

(1) any employment or consulting agreement, employee benefit plan, officer or director
indemnification agreement or any similar arrangement entered into by the Company or any of
its Restricted Subsidiaries in the ordinary course of business and payments pursuant thereto
and the issuance of Equity Interests of the Company (other than Disqualified Stock) to
directors and employees pursuant to stock option or stock ownership plans, in each case,
approved in good faith by the Board of Directors of the Company;

(2) transactions between or among the Company and/or its Restricted Subsidiaries;

(3) transactions with a Person (other than an Unrestricted Subsidiary of the Company)
that is an Affiliate of the Company solely because the Company owns, directly or through a
Restricted Subsidiary, an Equity Interest in, or controls, such Person;

(4) payment of reasonable directors’ fees to Persons who are not otherwise Affiliates
of the Company and indemnification of officers and directors in their capacity as such;

(5) any issuance of Equity Interests (other than Disqualified Stock) of the Company to
Affiliates of the Company;

(6) Restricted Payments that do not violate Section 4.07 hereof and Permitted Liens;

(7) loans or advances to employees made in the ordinary course of business; and

(8) any transaction with suppliers in the ordinary course of business that are on
substantially similar terms to those contained in similar transactions by the Company or any
of its Restricted Subsidiaries with unaffiliated suppliers consistent with past practice.

 

55

 

Section 4.12 Liens.

Parent and the Company will not, and the Company will not permit any of its Restricted
Subsidiaries to, directly or indirectly, create, incur, assume or suffer to exist any Lien of any
kind on any asset now owned or
hereafter acquired by Parent, the Company or any of its Restricted Subsidiaries or any
proceeds, income or profits therefrom, or assign or convey any right to receive income therefrom
(whether then held by it or to be acquired by it at a future time), except Permitted Liens;
provided that no such Permitted Lien shall rank prior to the Note Liens other than a Permitted
Prior Lien.

Parent and the Company will not, and the Company will not permit any of its Restricted
Subsidiaries to, directly or indirectly, create, incur, assume or suffer to exist a Lien upon any
asset or property, or any proceeds, income or profits therefrom (whether then held by it or to be
acquired by it at a future time), or assign or convey any right to receive income therefrom, as
security for any Priority Lien Obligations, if:

(1) the Lien is junior or subordinated in any respect to any other Lien securing any
Priority Lien Obligations, other than solely as a result of the priority afforded by
operation of law to “purchase money security interests” under, and as such term is defined
in, Article 9 of the Uniform Commercial Code; or

(2) any Priority Lien Obligations are contractually subordinated in any respect to any
other Priority Lien Obligations.

Section 4.13 Business Activities.

(a) The Company will not, and will not permit any of its Restricted Subsidiaries to, engage in
any business other than Permitted Businesses, except to such extent as would not be material to the
Company and its Restricted Subsidiaries taken as a whole.

(b) The Company will not (1) hold any material assets, other than the Capital Stock of its
Subsidiaries, cash, any Investments permitted under this Indenture and the Net Proceeds of any
Asset Sale pending application of such Net Proceeds in accordance with Section 4.10, (2) engage in
any businesses other than incidental to its ownership of the Capital Stock of its Subsidiaries and
any Investments permitted under this Indenture or (3) create, incur, assume, or guarantee any
material obligations or liabilities owed to trade creditors of any Person except in connection with
its operation as a holding company. The Company will maintain El Torito Restaurants, Inc. and
Acapulco Restaurants, Inc. as direct wholly owned Subsidiaries of the Company, subject to the
Company’s right to sell, transfer or otherwise dispose of any or all of the Capital Stock, or all
or substantially all of the assets and properties, of El Torito Restaurants, Inc. or Acapulco
Restaurants, Inc., as the case may be, to any Person (other than any of the Company’s Subsidiaries)
in accordance with this Indenture and the Security Documents; provided, however that the Company
may sell or otherwise transfer such Subsidiaries to any Restricted Subsidiary that complies with
the requirements of this Section 4.13; provided, further that El Torito Restaurants, Inc. and
Acapulco Restaurants, Inc. may be merged with and into any other direct wholly owned Subsidiary of
the Company (or Subsidiary of any such Restricted Subsidiary described in the immediately preceding
proviso).

Section 4.14 Corporate Existence.

Subject to Article 5 hereof, the Company shall do or cause to be done all things necessary to
preserve and keep in full force and effect:

(1) its corporate existence, and the corporate, partnership or other existence of each
of its Subsidiaries, in accordance with the respective organizational documents (as the same
may be amended from time to time) of the Company or any such Subsidiary; and

(2) the rights (charter and statutory), licenses and franchises of the Company and its
Subsidiaries; provided, however, that the Company shall not be required to preserve any such
right, license or franchise, or the corporate, partnership or other existence of any of its
Subsidiaries, if the Board of Directors shall determine that the preservation thereof is no
longer desirable in the conduct of the business of the Company and its Subsidiaries, taken
as a whole, and that the loss thereof is not adverse in any material respect to the Holders
of the Notes.

 

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Section 4.15 Offer to Repurchase Upon Change of Control.

(a) Upon the occurrence of a Change of Control, each Holder shall have the right to require
the Company to make an offer (a “Change of Control Offer”) to each Holder to repurchase all or any
part (equal to $1,000 or an integral multiple of $1,000) of that Holder’s Notes at a purchase price
in cash equal to 101% of the aggregate principal amount of Notes repurchased plus accrued and
unpaid interest and Liquidated Damages, if any, on the Notes repurchased to the date of purchase,
subject to the rights of Holders on the relevant record date to receive interest due on an interest
payment date that is prior to the purchase date (the “Change of Control Payment”). Within 30 days
following any Change of Control, the Company will mail a notice to each Holder describing the
transaction or transactions that constitute the Change of Control and stating:

(1) that the Change of Control Offer is being made pursuant to this Section 4.15 and
that all Notes tendered will be accepted for payment;

(2) the purchase price and the purchase date, which shall be no earlier than 30 days
and no later than 60 days from the date such notice is mailed (the “Change of Control
Payment Date”);

(3) that any Note not tendered will continue to accrue interest;

(4) that, unless the Company defaults in the payment of the Change of Control Payment,
all Notes accepted for payment pursuant to the Change of Control Offer will cease to accrue
interest after the Change of Control Payment Date;

(5) that Holders electing to have any Notes purchased pursuant to a Change of Control
Offer will be required to surrender the Notes, with the form entitled “Option of Holder to
Elect Purchase” attached to the Notes completed, or transfer by book-entry transfer, to the
Paying Agent at the address specified in the notice prior to the close of business on the
third Business Day preceding the Change of Control Payment Date;

(6) that Holders will be entitled to withdraw their election if the Paying Agent
receives, not later than the close of business on the second Business Day preceding the
Change of Control Payment Date, a telegram, telex, facsimile transmission or letter setting
forth the name of the Holder, the principal amount of Notes delivered for purchase, and a
statement that such Holder is withdrawing his election to have the Notes purchased; and

(7) that Holders whose Notes are being purchased only in part will be issued new Notes
equal in principal amount to the unpurchased portion of the Notes surrendered, which
unpurchased portion must be equal to $1,000 in principal amount or an integral multiple
thereof.

The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent those laws and regulations are
applicable in connection with the repurchase of the Notes as a result of a Change in Control. To
the extent that the provisions of any securities laws or regulations conflict with the provisions
of Sections 3.09 or 4.15 hereof, the Company will comply with the applicable securities laws and
regulations and will not be deemed to have breached its obligations under Section 3.09 hereof or
this Section 4.15 by virtue of such compliance.

(b) On the Change of Control Payment Date, the Company will, to the extent lawful:

(1) accept for payment all Notes or portions of Notes properly tendered pursuant to the
Change of Control Offer;

(2) deposit with the Paying Agent an amount equal to the Change of Control Payment in
respect of all Notes or portions of Notes properly tendered; and

 

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(3) deliver or cause to be delivered to the Trustee the Notes properly accepted
together with an Officers’ Certificate stating the aggregate principal amount of Notes or
portions of Notes being purchased by the Company.

The Paying Agent will promptly mail (but in any case not later than five days after the Change
of Control Payment Date) to each Holder of Notes properly tendered the Change of Control Payment
for such Notes, and the Trustee will promptly authenticate and mail (or cause to be transferred by
book entry) to each Holder a new Note equal in principal amount to any unpurchased portion of the
Notes surrendered, if any. The Company will publicly announce the results of the Change of Control
Offer on or as soon as practicable after the Change of Control Payment Date.

(c) Notwithstanding anything to the contrary in this Section 4.15, the Company will not be
required to make a Change of Control Offer upon a Change of Control if (1) a third party makes the
Change of Control Offer in the manner, at the times and otherwise in compliance with the
requirements set forth in this Section 4.15 and Section 3.09 hereof and purchases all Notes
properly tendered and not withdrawn under the Change of Control Offer, or (2) notice of redemption
has been given pursuant to Section 3.07 hereof, unless and until there is a default in payment of
the applicable redemption price.

Section 4.16 Limitation on Issuances and Sales of Equity Interests in Wholly-Owned Subsidiaries.

The Company will not, and will not permit any of its Restricted Subsidiaries to, transfer,
convey, sell, lease or otherwise dispose of any Equity Interests in any Wholly-Owned Restricted
Subsidiary of the Company to any Person (other than the Company or a Wholly-Owned Subsidiary of the
Company), unless:

(1) such transfer, conveyance, sale, lease or other disposition is of all the Equity
Interests in such Wholly-Owned Restricted Subsidiary; and

(2) the Net Proceeds from such transfer, conveyance, sale, lease or other disposition
are applied in accordance with Section 4.10 hereof.

In addition, the Company will not permit any Wholly-Owned Restricted Subsidiary of the Company
to issue any of its Equity Interests (other than, if necessary, shares of its Capital Stock
constituting directors’ qualifying shares) to any Person other than to the Company or a
Wholly-Owned Restricted Subsidiary of the Company.

Section 4.17 Payments for Consent.

The Company will not, and will not permit any of its Restricted Subsidiaries to, directly or
indirectly, pay or cause to be paid any consideration to or for the benefit of any Holder of Notes
for or as an inducement to any consent, waiver or amendment of any of the terms or provisions of
this Indenture or the Notes unless such consideration is offered to be paid and is paid to all
Holders of the Notes that consent, waive or agree to amend in the time frame set forth in the
solicitation documents relating to such consent, waiver or agreement.

Section 4.18 Additional Note Guarantees.

If the Company or any of its Restricted Subsidiaries acquires or creates another Domestic
Subsidiary or if any Restricted Subsidiary otherwise becomes a Domestic Subsidiary after the date
of this Indenture, then that newly acquired or created Domestic Subsidiary or new Domestic
Subsidiary will become a Guarantor and execute a supplemental indenture and deliver an Opinion of
Counsel within ten Business Days of the date on which it was acquired or created. The form of such
Note Guarantee is attached as Exhibit E hereto.

Section 4.19 Further Assurances; Insurance.

(a) Parent and the Company will, and the Company will cause each Subsidiary Guarantor to, do
or cause to be done all acts and things which may be required, or which the Collateral Agent from
time to time may reasonably request, to assure and confirm that the Collateral Agent holds, for the
benefit of the holders of Note
Obligations, duly created, enforceable and perfected security interests upon all Collateral,
including any property or assets that are acquired or otherwise become Collateral after the Notes
are issued, subject only to Priority Liens and other Permitted Prior Liens, in each case, as
contemplated by the Note Documents.

 

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(b) Upon the reasonable request of the Collateral Agent, at any time or from time to time,
Parent and the Company will, and the Company will cause each Guarantor to, will promptly execute,
acknowledge and deliver such Security Documents, instruments, certificates, notices and other
documents, and take such other actions, as may reasonably be required, or which the Collateral
Agent may reasonably request, to create, perfect, ensure the priority of, protect, assure or
enforce the security interests and benefits intended to be conferred upon the Collateral Agent and
the holders of the Note Obligations by such Guarantor as contemplated by the Note Documents.

(c) If the Company or any of the Subsidiary Guarantors at any time acquires (or, in the case
of any Restricted Subsidiary that becomes a Subsidiary Guarantor pursuant to clause (ii) of the
definition of Domestic Subsidiary, acquires or holds) any real property (other than any Excluded
Asset) that is not covered by the mortgages in favor of the Collateral Agent that are executed in
connection with the issuance of the Notes, then within 45 days following such acquisition, or the
date a Restricted Subsidiary becomes a Subsidiary Guarantor pursuant to clause (ii) of the
definition of Domestic Subsidiary, the Company or such Subsidiary Guarantor will execute, deliver
and record an additional mortgage or a supplement to such mortgages, reasonably satisfactory in
form and substance to the Collateral Agent, subjecting such real property to the Lien created by
such mortgages or, if an additional mortgage, creating a Lien in favor of the Collateral Agent to
secure the Note Obligations. The Company will, or will cause such Subsidiary Guarantor to, obtain
an appropriate title policy or endorsement or supplement to the title policy insuring the
Collateral Agent’s Liens in such additional or existing interests in real property, subject only to
exceptions to title approved by the Collateral Agent and other Permitted Liens (subject, in each
case of priority over the Note Liens, only to Permitted Prior Liens); provided, that no such
additional title policy or endorsement or supplement to the title policy will be required in
respect of any additional or existing real property having an aggregate Fair Market Value of less
than $1.0 million.

(d) Parent and the Company will, and the Company will cause the Subsidiary Guarantors to:

(1) keep their properties adequately insured at all times by financially sound and
reputable insurers;

(2) maintain such other insurance, to such extent and against such risks (and with such
deductibles, retentions and exclusions), including fire and other risks insured against by
extended coverage and coverage for acts of terrorism, as is customary with companies in the
same or similar businesses operating in the same or similar locations, including public
liability insurance against claims for personal injury or death or property damage occurring
upon, in, about or in connection with the use of any properties owned, occupied or
controlled by them;

(3) maintain such other insurance as may be required by law; and

(4) maintain such other insurance as is otherwise required by the Security Documents.

(e) Upon the request of the Collateral Agent, Parent and the Company will, and the Company
will cause the Subsidiary Guarantors to, furnish to the Collateral Agent full information as to
their property and liability insurers. Holders of Note Obligations, as a class, will be named as
additional insureds (as a second priority lienholder) on all liability insurance policies of the
Company and the Guarantors and the Collateral Agent will be named as loss payee (as a
second-priority lienholder) on all property and casualty insurance policies of the Company and the
Subsidiary Guarantors.

(f) Upon the request of the Collateral Agent, the Company and the Guarantors will permit the
Collateral Agent to visit and inspect any of the Collateral and examine and, at the Company’s
expense, make abstracts from any of its books and records relating to any of the Collateral at any
reasonable time and as often as may reasonably be requested.

 

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Section 4.20 Designation of Restricted and Unrestricted Subsidiaries.

The Board of Directors of the Company may designate any Restricted Subsidiary to be an
Unrestricted Subsidiary if that designation would not cause a Default or Event of Default. If a
Restricted Subsidiary is designated as an Unrestricted Subsidiary, the aggregate Fair Market Value
of all outstanding Investments owned by the Company and its Restricted Subsidiaries in the
Subsidiary designated as Unrestricted will be deemed to be an Investment made as of the time of the
designation and will reduce the amount available for Restricted Payments under Section 4.07 hereof
or under one or more clauses of the definition of Permitted Investments, as determined by the
Company. That designation will only be permitted if the Investment would be permitted at that time
and if the Restricted Subsidiary otherwise meets the definition of an Unrestricted Subsidiary.

Any designation of a Subsidiary of the Company as an Unrestricted Subsidiary will be evidenced
to the Trustee by delivery to the Trustee of a certified copy of a resolution of the Board of
Directors giving effect to such designation and an Officers’ Certificate certifying that such
designation complied with the preceding conditions and was permitted by Section 4.07 hereof. If, at
any time, any Unrestricted Subsidiary would fail to meet the preceding requirements as an
Unrestricted Subsidiary, it will thereafter cease to be an Unrestricted Subsidiary for purposes of
this Indenture and any Indebtedness of such Subsidiary will be deemed to be incurred by a
Restricted Subsidiary of the Company as of such date and, if such Indebtedness is not permitted to
be incurred as of such date by Section 4.09 hereof, the Company will be in default of such
covenant. The Board of Directors of the Company may at any time designate any Unrestricted
Subsidiary to be a Restricted Subsidiary of the Company; provided that such designation will be
deemed to be an incurrence of Indebtedness by a Restricted Subsidiary of the Company of any
outstanding Indebtedness of such Unrestricted Subsidiary and such designation will only be
permitted if (1) such Indebtedness is permitted by Section 4.09 hereof, calculated on a pro forma
basis as if such designation had occurred at the beginning of the four-quarter reference period;
and (2) no Default or Event of Default would be in existence following such designation. Any
Unrestricted Subsidiary shall become a Restricted Subsidiary for all purposes of this Indenture and
the other Note Documents upon the delivery to the Trustee of a certified copy of resolutions of the
Board of Directors giving effect to such designation and an Officers’ Certificate of the Company
certifying that such designation complied with the preceding conditions.

Section 4.21 Limitation on Capital Expenditures.

(a) The Company will not, and will cause its Restricted Subsidiaries not to, incur Capital
Expenditures in any fiscal year in excess of (i) $10.0 million plus (ii) 50% of the amount by which
the Company’s Consolidated Cash Flow for the immediately preceding fiscal year exceeds $40.0
million (collectively, the “Allowable Capital Expenditures”), plus (iii) the Carryover Amount
applicable to such fiscal year, plus (iv) any unused amount permitted to be used for Investments
pursuant to clause (15) of the definition of “Permitted Investments” plus (v) aggregate net cash
proceeds actually received by the Company as a contribution to its common equity capital for that
purpose and actually used by the Company to make such Capital Expenditures. The “Carryover Amount”
in respect of any fiscal year shall be the Allowable Capital Expenditures of the immediately
preceding fiscal year minus all Capital Expenditures for such preceding fiscal year, provided that
in no event shall the Carryover Amount exceed $5.0 million. The Company and its Restricted
Subsidiaries may also use up to 50% of the net proceeds of a Qualified IPO to incur Capital
Expenditures (the “IPO Proceeds Capital Expenditures”). A “Qualified IPO” is an initial public
offering of the common stock of the Company or any of its direct or indirect Subsidiaries with
gross proceeds of at least $50.0 million.

(b) Notwithstanding anything to the contrary above, incurrence by the Company or any of its
Restricted Subsidiaries of Capital Expenditures in excess of the amounts set forth in the previous
paragraph (a “Capital Expenditure Event”) shall only constitute a Default or breach of this
Indenture to the extent such additional Capital Expenditures exceed $5.0 million and has not
otherwise been funded by the aggregate net cash proceeds actually received by the Company as a
contribution to its common equity capital and designated for the purpose of the Company making such
Capital Expenditure no later than 30 days after the Company has made such Capital Expenditure.
Upon the occurrence of a Capital Expenditure Event, the interest on the Notes will accrue at a rate
that is 1.0% higher than the then applicable interest rate on the Notes from July 1 of such fiscal
year through but including June 30 of the following fiscal year.

 

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(c) The Company’s annual compliance certificate delivered to the Trustee under this Indenture
shall specify (i) the Carryover Amount applicable to the then current fiscal year, (ii) the
Allowable Capital Expenditures and IPO Proceeds Capital Expenditures applicable to the then current
fiscal year, (iii) the amount of Capital Expenditures for the fiscal year addressed by such
certificate and (iv) whether the additional interest on the Notes provided for in the previous
paragraph will be applicable for the upcoming twelve month period.

Section 4.22 Excess Cash Flow Offer.

(a) Within 90 days after the end of each four fiscal quarter period ending on or near December
31, beginning in 2009, for which the Excess Cash Flow Offer Amount exceeds $1.0 million, the
Company will send a notice to each Holder and the Trustee (the “Excess Cash Flow Offer”) offering
to purchase Notes on the date specified in the notice, which date will be no earlier than 30 days
and no later than 60 days from the date such notice is sent. The Company will be required to
purchase Notes validly tendered in response to an Excess Cash Flow Offer in accordance with the
procedures set forth in this Indenture and such notice. The offer price will be equal to 100% of
principal amount plus accrued and unpaid interest and Liquidated Damages, if any, to the date of
purchase, and will be payable in cash. If the aggregate principal amount of Notes tendered into
such Excess Cash Flow Offer exceeds the Excess Cash Flow Offer Amount, the Trustee will select the
Notes to be purchased on a pro rata basis, by lot or by such other method as the Trustee deems fair
and appropriate.

(b) The Company will not be required to make an Excess Cash Flow Offer if the Excess Cash Flow
Offer Amount for the relevant period does not exceed $1.0 million; provided that the amount not so
used, if positive, shall be added to the Excess Cash Flow Amount for the next Excess Cash Flow
Offer measurement period.

(c) The Company will comply with the requirements of Rule 14a-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent those laws and regulations are
applicable in connection with each repurchase of Notes pursuant to an Excess Cash Flow Offer. To
the extent that the provisions of any securities laws or regulations conflict with these provisions
of this Indenture, the Company will comply with the applicable securities laws and regulations and
will not be deemed to have breached their obligations under these provisions of the Indenture by
virtue of such compliance.

(d) Notwithstanding the foregoing, if the Credit Agreement prohibits the Company from
repurchasing Notes in an Excess Cash Flow Offer, in lieu of making a required Excess Cash Flow
Offer, the Company will deposit the Excess Cash Flow Offer Amount into the Escrow Account. The
Notes will be secured on a second priority basis by the Escrowed Funds pursuant to an Escrow
Agreement and the Credit Agreement will be secured on a first priority basis by the Escrowed Funds
pursuant to an Escrow Agreement. The Escrowed Funds will be disbursed by the Collateral Agent, in
accordance with an Escrow Agreement which shall provide, among other things, that:

(1) the Escrowed Funds may only be released to the Company upon the receipt by the
Collateral Agent of an Officers’ Certificate certifying that (i) such release of funds, and
the use thereof as contemplated by this paragraph, are permitted under the Credit Agreement
and the funds being released will be used solely and immediately to (A) repay borrowings
under the Credit Agreement, which repayment will correspondingly permanently reduce the
commitments with respect thereto and/or (B) to make an Excess Cash Flow Offer or (ii) the
Note Obligations have been repaid in full and discharged, and

(2) the Escrowed Funds will be invested in readily accessible, unrestricted money
market funds that are solely invested in Government Securities.

The Company will not use the Excess Cash Flow Offer Amount for any purpose other than funding
an Excess Cash Flow Offer or repaying borrowings under (or cash collateralizing letters of credit,
to the extent a sufficient amount of availability for other letters of credit is correspondingly
reduced, under) the Credit Agreement. Any repayment of borrowings or cash collateralizations of
letters of credit under the Credit Agreement made with Excess Cash Flow Offer Amount funds will
permanently reduce the amounts that would have otherwise been available for revolver or letter of
credit borrowing, as applicable, under the Credit Agreement (including pursuant to clause (1) of
the definition of “Permitted Debt”).

 

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Section 4.23 Minimum Consolidated Cash Flow.

The Company will have, beginning on June 30, 2009, and as tested at the end of each fiscal
quarter thereafter, Consolidated Cash Flow for the 12-month period then ended of not less than
$32.0 million.

ARTICLE 5.

SUCCESSORS

Section 5.01 Merger, Consolidation, or Sale of Assets.

The Company shall not, directly or indirectly: (1) consolidate or merge with or into another
Person (whether or not the Company is the surviving corporation); or (2) sell, assign, transfer,
convey, lease or otherwise dispose of all or substantially all of the properties or assets of the
Company and its Restricted Subsidiaries taken as a whole, in one or more related transactions, to
another Person, unless:

(1) either:

(A) the Company is the surviving corporation; or

(B) the Person formed by or surviving any such consolidation or merger (if
other than the Company) or to which such sale, assignment, transfer, conveyance or
other disposition has been made is either (i) a corporation organized or existing
under the laws of the United States, any state of the United States or the District
of Columbia or (ii) a partnership or limited liability company organized or existing
under the laws of the United States, any state of the United States or the District
of Columbia that has at least one Restricted Subsidiary that is a corporation
organized or existing under the laws of the United States, any state of the United
States or the District of Columbia, which corporation becomes the co-issuer of the
Notes pursuant to a supplemental indenture reasonably satisfactory to the Trustee;

(2) the Person formed by or surviving any such consolidation or merger (if other than
the Company) or the Person to which such sale, assignment, transfer, conveyance, lease or
other disposition has been made assumes all the obligations of the Company under the Notes,
this Indenture and the Registration Rights Agreement, the Intercreditor Agreement and the
Security Documents, pursuant to a supplemental indenture and other agreements reasonably
satisfactory to the Trustee;

(3) immediately after such transaction, no Default or Event of Default exists;

(4) the Company or the Person formed by or surviving any such consolidation or merger
(if other than the Company), or to which such sale, assignment, transfer, conveyance, lease
or other disposition has been made, would, on the date of such transaction after giving pro
forma effect thereto and any related financing transactions as if the same had occurred at
the beginning of the applicable four-quarter period, either:

(a) be permitted to incur at least $1.00 of additional Indebtedness pursuant to the
Adjusted Leverage Ratio test set forth in Section 4.09(a) hereof; or

(b) have an Adjusted Leverage Ratio that is equal to or less than the Adjusted Leverage
Ratio of the Company immediately prior to such consolidation, merger, sale, assignment,
transfer, conveyance or other disposition; and

(c) the Company shall have provided to the Trustee and the Collateral Agent an
Officers’ Certificate and an Opinion of Counsel stating that the applicable transaction
complies with the provisions of this Indenture, the other Note Documents and the
Intercreditor Agreement.

 

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This Section 5.01 will not apply to:

(1) a merger of the Company with an Affiliate solely for the purpose of reincorporating
the Company in another jurisdiction; or

(2) any consolidation or merger, or any sale, assignment, transfer, conveyance, lease
or other disposition of assets between or among the Company and its Wholly Owned Restricted
Subsidiaries that are Subsidiary Guarantors.

Section 5.02 Successor Corporation Substituted.

Upon any consolidation or merger, or any sale, assignment, transfer, lease, conveyance or
other disposition of all or substantially all of the properties or assets of the Company in a
transaction that is subject to, and that complies with the provisions of, Section 5.01 hereof, the
successor Person formed by such consolidation or into or with which the Company is merged or to
which such sale, assignment, transfer, lease, conveyance or other disposition is made shall succeed
to, and be substituted for (so that from and after the date of such consolidation, merger, sale,
assignment, transfer, lease, conveyance or other disposition, the provisions of this Indenture
referring to the “Company” shall refer instead to the successor Person and not to the Company), and
may exercise every right and power of the Company under this Indenture with the same effect as if
such successor Person had been named as the Company herein; provided, however, that the predecessor
Company shall not be relieved from the obligation to pay the principal of and interest on the Notes
except in the case of a sale of all of the Company’s assets in a transaction that is subject to,
and that complies with the provisions of, Section 5.01 hereof.

ARTICLE 6.

DEFAULTS AND REMEDIES

Section 6.01 Events of Default.

Each of the following is an “Event of Default”:

(1) default by the Company for 30 days in the payment when due of interest on, or
Liquidated Damages, if any, with respect to, the Notes;

(2) default by the Company in the payment when due (at maturity, upon redemption or
otherwise) of the principal of, or premium, if any, on, the Notes;

(3) failure by the Company or any of its Restricted Subsidiaries to comply with the
provisions of Sections 4.10, 4.15, 4.22, or 5.01 hereof;

(4) failure by the Company or any of its Restricted Subsidiaries for 45 days after
notice to the Company by the Trustee or the Holders of at least 25% in aggregate principal
amount of the Notes then outstanding to comply with the provisions of Sections 4.07 or 4.09
hereof;

(5) failure by the Company or any of its Restricted Subsidiaries for 60 days after
notice to the Company by the Trustee or the Holders of at least 25% in aggregate principal
amount of the Notes then outstanding to comply with any of the other agreements in this
Indenture or the Security Documents;

(6) default under any mortgage, indenture or instrument under which there may be issued
or by which there may be secured or evidenced any Indebtedness for money borrowed by the
Company or any of its Restricted Subsidiaries (or the payment of which is guaranteed by the
Company or any of its Restricted Subsidiaries), whether such Indebtedness or guarantee now
exists, or is created after the date of this Indenture, if that default:

(A) is caused by a failure to pay principal of such Indebtedness prior to the
expiration of the grace period provided in such Indebtedness on the date of such
default (a “Payment Default”); or

 

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(B) results in the acceleration of such Indebtedness prior to its express
maturity, and, in each case, the principal amount of any such Indebtedness, together
with the principal amount of any other such Indebtedness under which there has been
a Payment Default or the maturity of which has been so accelerated, aggregates $5.0
million or more;

(7) failure by the Company or any of its Restricted Subsidiaries to pay final and
non-appealable judgments entered by a court or courts of competent jurisdiction aggregating
in excess of $5.0 million, which judgments are not paid, discharged or stayed for a period
of 60 days;

(8) the occurrence of any of the following:

(a) except as permitted by this Indenture, any Security Document ceases for any reason
to be fully enforceable; provided, that it shall not be an Event of Default under this
clause (8)(a) if the sole result of the failure of one or more Security Documents to be
fully enforceable is that any Note Lien purported to be granted under such Security
Documents on Collateral, individually or in the aggregate, having a Fair Market Value of not
more than $5.0 million ceases to be an enforceable and perfected security interest, subject
to no Liens prior to the Note Liens other than Permitted Prior Liens;

(b) any Note Lien purported to be granted under any Security Document on Collateral,
individually or in the aggregate, having a Fair Market Value in excess of $5.0 million
ceases to be an enforceable and perfected security interest, subject to no Liens prior to
the Note Liens other than Permitted Prior Liens; or

(c) the Company or any other Obligor, or any Person acting on behalf of any of them,
denies or disaffirms, in writing, any obligation of the Company or any other Obligor set
forth in or arising under any Security Document.

(9) the Company or any of its Restricted Subsidiaries that is a Significant Subsidiary
or any group of Restricted Subsidiaries of the Company that, taken together, would
constitute a Significant Subsidiary pursuant to or within the meaning of Bankruptcy Law:

(A) commences a voluntary case,

(B) consents to the entry of an order for relief against it in an involuntary
case,

(C) consents to the appointment of a custodian of it or for all or
substantially all of its property,

(D) makes a general assignment for the benefit of its creditors, or

(E) generally is not paying its debts as they become due.

(10) a court of competent jurisdiction enters an order or decree under any Bankruptcy
Law that:

(A) is for relief against the Company or any of its Restricted Subsidiaries
that is a Significant Subsidiary or any group of Restricted Subsidiaries of the
Company that, taken together, would constitute a Significant Subsidiary in an
involuntary case;

(B) appoints a custodian of the Company or any of its Restricted Subsidiaries
that is a Significant Subsidiary or any group of Restricted Subsidiaries of the
Company that, taken together, would constitute a Significant Subsidiary or for all
or substantially all of the property of the Company or any of its Restricted
Subsidiaries that is a Significant Subsidiary or any group of Restricted
Subsidiaries of the Company that, taken together, would constitute a Significant
Subsidiary; or

 

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(C) orders the liquidation of the Company or any of its Restricted Subsidiaries
that is a Significant Subsidiary or any group of Restricted Subsidiaries of the
Company that, taken together, would constitute a Significant Subsidiary; and the
order or decree remains unstayed and in effect for 60 consecutive days; or

(11) except as permitted by this Indenture, any Note Guarantee is held in any judicial
proceeding to be unenforceable or invalid or ceases for any reason to be in full force and
effect, or any Guarantor, or any Person acting on behalf of any Guarantor, denies or
disaffirms its obligations under its Note Guarantee.

Section 6.02 Acceleration.

In the case of an Event of Default specified in clause (9) or (10) of Section 6.01 hereof,
with respect to the Company, any Restricted Subsidiary of the Company that is a Significant
Subsidiary or any group of Restricted Subsidiaries of the Company that, taken together, would
constitute a Significant Subsidiary, all outstanding Notes will become due and payable immediately
without further action or notice. If any other Event of Default occurs and is continuing, the
Trustee or the Holders of at least 25% in aggregate principal amount of the then outstanding Notes
may declare all the Notes to be due and payable immediately.

Upon any such declaration, the Notes shall become due and payable immediately.

In the event of a declaration of acceleration of the Notes because an Event of Default has
occurred and is continuing as a result of the acceleration of any Indebtedness described in clause
(6) of Section 6.01 hereof, the declaration of acceleration of the Notes shall be automatically
annulled if the holders of any Indebtedness described in clause (6) of Section 6.01 hereof have
rescinded the declaration of acceleration in respect of such Indebtedness within 30 days of the
date of such declaration and if (a) the annulment of the acceleration of the Notes would not
conflict with any judgment or decree of a court of competent jurisdiction and (b) all existing
Events of Default, except nonpayment of principal or interest on the Notes that became due solely
because of the acceleration of the Notes, have been cured or waived.

Section 6.03 Other Remedies.

If an Event of Default occurs and is continuing, subject to the terms of the Intercreditor
Agreement, the Trustee may pursue any available remedy to collect the payment of principal, premium
and Liquidated Damages, if any, and interest on the Notes or to enforce the performance of any
provision of the Notes or this Indenture.

The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not
produce any of them in the proceeding. A delay or omission by the Trustee or any Holder of a Note
in exercising any right or remedy accruing upon an Event of Default shall not impair the right or
remedy or constitute a waiver of or acquiescence in the Event of Default. All remedies are
cumulative to the extent permitted by law.

Section 6.04 Waiver of Past Defaults.

Holders of not less than a majority in aggregate principal amount of the then outstanding
Notes by notice to the Trustee may on behalf of the Holders of all of the Notes waive an existing
Default or Event of Default and its consequences hereunder, except a continuing Default or Event of
Default in the payment of the principal of, premium and Liquidated Damages, if any, or interest on,
the Notes (including in connection with an offer to purchase); provided, however, that the Holders
of a majority in aggregate principal amount of the then outstanding Notes by written notice to the
Trustee may, rescind an acceleration or waive any existing Default or Event of Default and its
consequences, including any related Payment Default that resulted from such acceleration if the
rescission would not conflict with any judgment or decree and if all existing Events of Default
(except nonpayment of principal, interest or premium or Liquidated Damages, if any, that has become
due solely because of the acceleration) have been cured or waived. Upon any such waiver, such
Default shall cease to exist, and any Event of Default arising therefrom shall be deemed to have
been cured for every purpose of this Indenture; but no such waiver shall extend to any subsequent
or other Default or impair any right consequent thereon.

 

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Section 6.05 Control by Majority.

Holders of a majority in aggregate principal amount of the then outstanding Notes may direct
the time, method and place of conducting any proceeding for exercising any remedy available to the
Trustee or exercising any trust or power conferred on it. However, the Trustee may refuse to follow
any direction that conflicts with law or this Indenture that the Trustee determines may be unduly
prejudicial to the rights of other Holders of Notes or that may involve the Trustee in personal
liability.

Section 6.06 Limitation on Suits.

A Holder may pursue a remedy with respect to this Indenture or the Notes only if:

(1) such Holder gives to the Trustee written notice that an Event of Default is
continuing;

(2) Holders of at least 25% in aggregate principal amount of the then outstanding Notes
make a written request to the Trustee to pursue the remedy;

(3) such Holder or Holders offer and provide to the Trustee security or indemnity
reasonably satisfactory to the Trustee against any loss, liability or expense;

(4) the Trustee does not comply with the request within 60 days after receipt of the
request and the offer of security or indemnity; and

(5) during such 60-day period, Holders of a majority in aggregate principal amount of
the then outstanding Notes do not give the Trustee a direction inconsistent with such
request.

A Holder of a Note may not use this Indenture to prejudice the rights of another Holder of a
Note or to obtain a preference or priority over another Holder of a Note.

Section 6.07 Rights of Holders of Notes to Receive Payment.

Notwithstanding any other provision of this Indenture, the right of any Holder of a Note to
receive payment of principal, premium and Liquidated Damages, if any, and interest on the Note, on
or after the respective due dates expressed in the Note (including in connection with an offer to
purchase), or to bring suit for the enforcement of any such payment on or after such respective
dates, shall not be impaired or affected without the consent of such Holder; provided that a Holder
shall not have the right to institute any such suit for the enforcement of payment if and to the
extent that the institution or prosecution thereof or the entry of judgment therein would, under
applicable law, result in the surrender, impairment, waiver or loss of the Lien of this Indenture
upon any property subject to such Lien.

Section 6.08 Collection Suit by Trustee.

If an Event of Default specified in Section 6.01(1) or (2) hereof occurs and is continuing,
the Trustee is authorized to recover judgment in its own name and as Trustee of an express trust
against the Company for the whole amount of principal of, premium and Liquidated Damages, if any,
and interest remaining unpaid on, the Notes and interest on overdue principal and, to the extent
lawful, interest and such further amount as shall be sufficient to cover the costs and expenses of
collection, including the reasonable compensation, expenses, disbursements and advances of the
Trustee, its agents and counsel.

 

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Section 6.09 Trustee May File Proofs of Claim.

The Trustee is authorized to file such proofs of claim and other papers or documents as may be
necessary or advisable in order to have the claims of the Trustee (including any claim for the
reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and
counsel) and the Holders of the Notes allowed in any judicial proceedings relative to the Company
(or any other Obligor), its creditors or its property and shall be entitled and empowered to
collect, receive and distribute any money or other property payable or deliverable on any
such claims and any custodian in any such judicial proceeding is hereby authorized by each
Holder to make such payments to the Trustee, and in the event that the Trustee shall consent to the
making of such payments directly to the Holders, to pay to the Trustee any amount due to it for the
reasonable compensation, expenses, disbursements and advances of the
Trustee, its agents and counsel, and any other amounts due the Trustee under Section 7.07 hereof. To the extent that the
payment of any such compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel, and any other amounts due the Trustee under Section 7.07 hereof out of the estate in
any such proceeding, shall be denied for any reason, payment of the same shall be secured by a Lien
on, and shall be paid out of, any and all distributions, dividends, money, securities and other
properties that the Holders may be entitled to receive in such proceeding whether in liquidation or
under any plan of reorganization or arrangement or otherwise. Nothing herein contained shall be
deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arrangement, adjustment or composition affecting the Notes or
the rights of any Holder, or to authorize the Trustee to vote in respect of the claim of any Holder
in any such proceeding.

Section 6.10 Priorities.

Subject to the terms of the Intercreditor Agreement, any money or other property collected by
the Trustee pursuant to this Article 6, including pursuant to the Security Documents, or otherwise
distributable in respect of the Company’s or any other Obligor’s obligations under this Indenture
and the other Note Documents shall be paid in the following order:

First: to the Trustee and the Collateral Agent and their respective agents and
attorneys for amounts due the Trustee and Collateral Agent under Section 7.07 and Article 10
hereof, including payment of all compensation, expenses and liabilities incurred, and all
advances made, by the Trustee and the Collateral Agent and the costs and expenses of
collection;

Second: to Holders of Notes for amounts due and unpaid on the Notes for principal,
premium and Liquidated Damages, if any, and interest, ratably, without preference or
priority of any kind, according to the amounts due and payable on the Notes for principal,
premium and Liquidated Damages, if any and interest, respectively; and

Third: any surplus remaining after the payment in full in cash of all of the Note
Obligations shall be paid to the Company or the applicable Guarantor, as the case may be,
its successors or assigns, or to whomsoever may be lawfully entitled to receive the same, or
as a court of competent jurisdiction may direct.

The Trustee may fix a record date and payment date for any payment to Holders of Notes
pursuant to this Section 6.10.

Section 6.11 Undertaking for Costs.

In any suit for the enforcement of any right or remedy under any Note Documents or in any suit
against the Trustee for any action taken or omitted by it as a Trustee, a court in its discretion
may require the filing by any party litigant in the suit of an undertaking to pay the costs of the
suit, and the court in its discretion may assess reasonable costs, including reasonable attorneys’
fees, against any party litigant in the suit, having due regard to the merits and good faith of the
claims or defenses made by the party litigant. This Section 6.11 does not apply to a suit by the
Trustee, a suit by a Holder of a Note pursuant to Section 6.07 hereof, or a suit by Holders of more
than 10% in aggregate principal amount of the then outstanding Notes.

 

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ARTICLE 7.

TRUSTEE

Section 7.01 Duties of Trustee.

(a) If an Event of Default has occurred and is continuing, the Trustee will exercise such of
the rights and powers vested in it by this Indenture, and use the same degree of care and skill in
its exercise, as a prudent Person would exercise or use under the circumstances in the conduct of
such Person’s own affairs.

(b) Except during the continuance of an Event of Default:

(1) the duties of the Trustee will be determined solely by the express provisions of
this Indenture and the Trustee need perform only those duties that are specifically set
forth in this Indenture and no others, and no implied covenants or obligations shall be read
into this Indenture against the Trustee; and

(2) in the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed therein, upon
certificates or opinions furnished to the Trustee and conforming to the requirements of this
Indenture. However, the Trustee will examine the certificates and opinions to determine
whether or not they conform to the requirements of this Indenture.

(c) The Trustee may not be relieved from liabilities for its own negligent action, its own
negligent failure to act, or its own willful misconduct, except that:

(1) this paragraph does not limit the effect of paragraph (b) of this Section 7.01;

(2) the Trustee will not be liable for any error of judgment made in good faith by a
Responsible Officer, unless it is proved that the Trustee was negligent in ascertaining the
pertinent facts; and

(3) the Trustee will not be liable with respect to any action it takes or omits to take
in good faith in accordance with a direction received by it pursuant to Section 6.05 hereof.

(d) Whether or not therein expressly so provided, every provision of this Indenture that in
any way relates to the Trustee is subject to paragraphs (a), (b), and (c) of this Section 7.01.

(e) No provision of this Indenture will require the Trustee to expend or risk its own funds or
incur any liability. The Trustee will be under no obligation to exercise any of its rights and
powers under this Indenture at the request of any Holders, unless such Holder has offered to the
Trustee security and indemnity satisfactory to it against any loss, liability or expense.

(f) The Trustee will not be liable for interest on any money received by it except as the
Trustee may agree in writing with the Company. Money held in trust by the Trustee need not be
segregated from other funds except to the extent required by law.

Section 7.02 Rights of Trustee.

(a) The Trustee may conclusively rely upon any document believed by it to be genuine and to
have been signed or presented by the proper Person. The Trustee need not investigate any fact or
matter stated in the document.

(b) Before the Trustee acts or refrains from acting, it may require an Officers’ Certificate
and an Opinion of Counsel. The Trustee will not be liable for any action it takes or omits to take
in good faith in reliance on such Officers’ Certificate and Opinion of Counsel. The Trustee may
consult with counsel and the written advice of such counsel or any Opinion of Counsel will be full
and complete authorization and protection from liability in respect of any action taken, suffered
or omitted by it hereunder in good faith and in reliance thereon.

 

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(c) The Trustee may act through its attorneys and agents and will not be responsible for the
misconduct or negligence of any agent appointed with due care.

(d) The Trustee will not be liable for any action it takes or omits to take in good faith that
it believes to be authorized or within the rights or powers conferred upon it by this Indenture.

(e) Unless otherwise specifically provided in this Indenture, any demand, request, direction
or notice from the Company will be sufficient if signed by an Officer of the Company.

(f) The Trustee will be under no obligation to exercise any of the rights or powers vested in
it by this Indenture at the request or direction of any of the Holders unless such Holders have
offered to the Trustee reasonable indemnity or security against the losses, liabilities and
expenses that might be incurred by it in compliance with such request or direction.

Section 7.03 Individual Rights of Trustee.

The Trustee in its individual or any other capacity may become the owner or pledgee of Notes
and may otherwise deal with the Company or any Affiliate of the Company with the same rights it
would have if it were not Trustee. However, in the event that the Trustee acquires any conflicting
interest it must eliminate such conflict within 90 days, apply to the SEC for permission to
continue as Trustee (if this Indenture has been qualified under the TIA) or resign. Any Agent may
do the same with like rights and duties. The Trustee is also subject to Sections 7.10 and 7.11
hereof.

Section 7.04 Trustee’s Disclaimer.

The Trustee will not be responsible for and makes no representation as to the validity or
adequacy of this Indenture, the Notes or any other Note Document, it shall not be accountable for
the Company’s use of the proceeds from the Notes or any money paid to the Company or upon the
Company’s direction under any provision of this Indenture, it will not be responsible for the use
or application of any money received by any Paying Agent other than the Trustee, and it will not be
responsible for any statement or recital herein or any statement in the Notes or any other document
in connection with the sale of the Notes or pursuant to this Indenture other than its certificate
of authentication.

Section 7.05 Notice of Defaults.

If a Default or Event of Default occurs and is continuing and if it is known to the Trustee,
the Trustee will mail to Holders of Notes a notice of the Default or Event of Default within 90
days after it occurs. Except in the case of a Default or Event of Default in payment of principal
of, premium or Liquidated Damages, if any, or interest on, any Note, the Trustee may withhold the
notice if and so long as a committee of its Responsible Officers in good faith determines that
withholding the notice is in the interests of the Holders of the Notes.

Section 7.06 Reports by Trustee to Holders of the Notes.

(a) Within 60 days after each January 1 beginning with the January 1 following the date of
this Indenture, and for so long as Notes remain outstanding, the Trustee will mail to the Holders
of the Notes a brief report dated as of such reporting date that complies with TIA § 313(a) (but if
no event described in TIA § 313(a) has occurred within the twelve months preceding the reporting
date, no report need be transmitted). The Trustee also will comply with TIA § 313(b)(2). The
Trustee will also transmit by mail all reports as required by TIA § 313(c).

(b) A copy of each report at the time of its mailing to the Holders of Notes will be mailed by
the Trustee to the Company and filed by the Trustee with the SEC and each stock exchange on which
the Notes are listed in accordance with TIA § 313(d). The Company will promptly notify the Trustee
when the Notes are listed on any stock exchange.

 

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Section 7.07 Compensation and Indemnity.

(a) The Company will pay to the Trustee from time to time reasonable compensation as the
parties shall agree in writing for its acceptance of this Indenture and services hereunder. The
Trustee’s compensation will not be limited by any law on compensation of a trustee of an express
trust. The Company will reimburse the Trustee promptly upon request for all reasonable
disbursements, advances and expenses incurred or made by it in addition to the compensation for its
services. Such expenses will include the reasonable compensation, disbursements and expenses of the
Trustee’s agents and counsel.

(b) The Company and the Guarantors will indemnify the Trustee against any and all losses,
liabilities or expenses incurred by it arising out of or in connection with the acceptance or
administration of its duties under this Indenture, including the costs and expenses of enforcing
this Indenture against the Company and the Guarantors (including this Section 7.07) and defending
itself against any claim (whether asserted by the Company, the Guarantors, any Holder or any other
Person) or liability in connection with the exercise or performance of any of its powers or duties
hereunder, except to the extent any such loss, liability or expense may be attributable to its
negligence, bad faith or willful misconduct. The Trustee will notify the Company promptly of any
claim for which it may seek indemnity. Failure by the Trustee to so notify the Company will not
relieve the Company or any of the Guarantors of their obligations hereunder. The Company or such
Guarantor will defend the claim and the Trustee will cooperate in the defense. The Trustee may have
separate counsel and the Company will pay the reasonable fees and expenses of such counsel. Neither
the Company nor any Guarantor need pay for any settlement made without its consent, which consent
will not be unreasonably withheld.

(c) The obligations of the Company and the Guarantors under this Section 7.07 will survive the
satisfaction and discharge of this Indenture.

(d) To secure the Company’s and the Guarantors’ payment obligations in this Section 7.07, the
Trustee will have a Lien prior to the Notes on the Collateral and all money or property held or
collected by the Trustee, except that held in trust to pay principal and interest on particular
Notes. Such Lien will survive the satisfaction and discharge of this Indenture.

(e) When the Trustee incurs expenses or renders services after an Event of Default specified
in Section 6.01(9) or (10) hereof occurs, the expenses and the compensation for the services
(including the fees and expenses of its agents and counsel) are intended to constitute expenses of
administration under any Bankruptcy Law.

(f) The Trustee will comply with the provisions of TIA § 313(b)(2) to the extent applicable.

Section 7.08 Replacement of Trustee.

(a) A resignation or removal of the Trustee and appointment of a successor Trustee will become
effective only upon the successor Trustee’s acceptance of appointment as provided in this Section
7.08.

(b) The Trustee may, upon 20 days’ written notice to the Company, resign in writing at any
time and be discharged from the trust hereby created by so notifying the Company. The Holders of a
majority in aggregate principal amount of the then outstanding Notes may remove the Trustee by so
notifying the Trustee and the Company in writing. The Company may remove the Trustee if

(1) the Trustee fails to comply with Section 7.10 hereof;

(2) the Trustee is adjudged a bankrupt or an insolvent or an order for relief is
entered with respect to the Trustee under any Bankruptcy Law;

(3) a custodian or public officer takes charge of the Trustee or its property; or

(4) the Trustee becomes incapable of acting.

 

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(c) If the Trustee resigns or is removed or if a vacancy exists in the office of Trustee for
any reason, the Company will promptly appoint a successor Trustee. Within one year after the
successor Trustee takes office, the Holders of a majority in aggregate principal amount of the then
outstanding Notes may appoint a successor Trustee to replace the successor Trustee appointed by the
Company.

(d) If a successor Trustee does not take office within 60 days after the retiring Trustee
resigns or is removed, the retiring Trustee, the Company, or the Holders of at least 10% in
aggregate principal amount of the then outstanding Notes may petition any court of competent
jurisdiction for the appointment of a successor Trustee.

(e) If the Trustee, after written request by any Holder who has been a Holder for at least six
months, fails to comply with Section 7.10 hereof, such Holder may petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor Trustee.

(f) A successor Trustee will deliver a written acceptance of its appointment to the retiring
Trustee and to the Company. Thereupon, the resignation or removal of the retiring Trustee will
become effective, and the successor Trustee will have all the rights, powers and duties of the
Trustee under this Indenture. The successor Trustee will mail a notice of its succession to
Holders. The retiring Trustee will promptly transfer all property held by it as Trustee to the
successor Trustee; provided all sums owing to the Trustee hereunder have been paid and subject to
the Lien provided for in Section 7.07 hereof. Notwithstanding replacement of the Trustee pursuant
to this Section 7.08, the Company’s obligations under Section 7.07 hereof will continue for the
benefit of the retiring Trustee.

Section 7.09 Successor Trustee by Merger, etc.

If the Trustee consolidates, merges or converts into, or transfers all or substantially all of
its corporate trust business to, another corporation, the successor corporation without any further
act will be the successor Trustee.

Section 7.10 Eligibility; Disqualification.

There will at all times be a Trustee hereunder that is a corporation organized and doing
business under the laws of the United States of America or of any state thereof that is authorized
under such laws to exercise corporate Trustee power, that is subject to supervision or examination
by federal or state authorities and that has a combined capital and surplus of at least $50.0
million as set forth in its most recent published annual report of condition.

This Indenture will always have a Trustee who satisfies the requirements of TIA § 310(a)(1),
(2) and (5). The Trustee is subject to TIA § 310(b).

Section 7.11 Preferential Collection of Claims Against Company.

The Trustee is subject to TIA § 311(a), excluding any creditor relationship listed in TIA §
311(b). A Trustee who has resigned or been removed shall be subject to TIA § 311(a) to the extent
indicated therein.

ARTICLE 8.

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

Section 8.01 Option to Effect Legal Defeasance or Covenant Defeasance.

The Company may at any time, at the option of its Board of Directors evidenced by a resolution
set forth in an Officers’ Certificate, elect to have either Section 8.02 or 8.03 hereof be applied
to all outstanding Notes upon compliance with the conditions set forth below in this Article 8.

 

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Section 8.02 Legal Defeasance and Discharge.

Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section
8.02, the Company and each of the Guarantors will, subject to the satisfaction of the conditions
set forth in Section 8.04
hereof, be deemed to have been discharged from their obligations with respect to all
outstanding Notes (including the Note Guarantees) on the date the conditions set forth below are
satisfied (hereinafter, “Legal Defeasance”). For this purpose, Legal Defeasance means that the
Company and the Guarantors will be deemed to have paid and discharged the entire Indebtedness
represented by the outstanding Notes (including the Note Guarantees), which will thereafter be
deemed to be “outstanding” only for the purposes of Section 8.05 hereof and the other Sections of
this Indenture referred to in clauses (1) and (2) below, and to have satisfied all their other
obligations under such Notes, the Note Guarantees and this Indenture (and the Trustee, on demand of
and at the expense of the Company, shall execute proper instruments acknowledging the same), except
for the following provisions which will survive until otherwise terminated or discharged hereunder:

(1) the rights of Holders of outstanding Notes to receive payments in respect of the
principal of, or interest or premium and Liquidated Damages, if any, on, such Notes when
such payments are due from the trust referred to in Section 8.04 hereof;

(2) the Company’s obligations with respect to such Notes under Article 2 and Section
4.02 hereof;

(3) the rights, powers, trusts, duties and immunities of the Trustee hereunder and the
Company’s and the Guarantors’ obligations in connection therewith; and

(4) this Article 8.

Subject to compliance with this Article 8, the Company may exercise its option under this
Section 8.02 notwithstanding the prior exercise of its option under Section 8.03 hereof.

Section 8.03 Covenant Defeasance.

Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section
8.03, the Company and each of the Guarantors will, subject to the satisfaction of the conditions
set forth in Section 8.04 hereof, be released from each of their obligations under the covenants
contained in Sections 4.03, 4.05, 4.07, 4.08, 4.09, 4.10, 4.11, 4.12, 4.13, 4.15, 4.16, 4.17, 4.18,
4.19, 4.20, 4.21, 4.22 and 4.23 hereof and clause (4) of Section 5.01 hereof with respect to the
outstanding Notes on and after the date the conditions set forth in Section 8.04 hereof are
satisfied (hereinafter, “Covenant Defeasance”), and the Notes will thereafter be deemed not
“outstanding” for the purposes of any direction, waiver, consent or declaration or act of Holders
(and the consequences of any thereof) in connection with such covenants, but will continue to be
deemed “outstanding” for all other purposes hereunder (it being understood that such Notes will not
be deemed outstanding for accounting purposes). For this purpose, Covenant Defeasance means that,
with respect to the outstanding Notes, Note Guarantees and Security Documents, the Company and the
Guarantors may omit to comply with and will have no liability in respect of any term, condition or
limitation set forth in any such covenant, whether directly or indirectly, by reason of any
reference elsewhere herein to any such covenant or by reason of any reference in any such covenant
to any other provision herein or in any other document and such omission to comply will not
constitute a Default or an Event of Default under Section 6.01 hereof, but, except as specified
above, the remainder of this Indenture and such Notes, Note Guarantees and Security Documents will
be unaffected thereby. In addition, upon the Company’s exercise under Section 8.01 hereof of the
option applicable to this Section 8.03, subject to the satisfaction of the conditions set forth in
Section 8.04 hereof, (x) Sections 6.01(3) through 6.01(7) hereof will not constitute Events of
Default and (y) Sections 6.01(9) and 6.01(10) hereto shall not constitute an Event of Default to
the extent they occur at the 367th day following the occurrence of the Company’s exercise of
Covenant Defeasance; provided, however that for all other purposes as set forth herein, such
Covenant Defeasance provisions shall be effective.

 

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Section 8.04 Conditions to Legal or Covenant Defeasance.

In order to exercise either Legal Defeasance or Covenant Defeasance under either Section 8.02
or 8.03 hereof:

(1) the Company must irrevocably deposit with the Trustee, in trust, for the benefit of
the Holders of the Notes, cash in U.S. dollars, non-callable Government Securities, or a
combination of cash in U.S. dollars and non-callable Government Securities, in amounts as
will be sufficient, in the opinion of a nationally recognized investment bank, appraisal
firm, or firm of independent public accountants, to pay the principal of, or interest and
premium and Liquidated Damages, if any, on the outstanding Notes on the stated date for
payment thereof or on the applicable redemption date, as the case may be, and the Company
must specify whether the Notes are being defeased to such stated date for payment or to a
particular redemption date;

(2) in the case of an election under Section 8.02 hereof, the Company must deliver to
the Trustee an Opinion of Counsel reasonably acceptable to the Trustee confirming that:

(A) the Company has received from, or there has been published by, the Internal
Revenue Service a ruling; or

(B) since the date of this Indenture, there has been a change in the applicable
federal income tax law,

in either case to the effect that, and based thereon such Opinion of Counsel
shall confirm that, the Holders of the outstanding Notes will not recognize
income, gain or loss for federal income tax purposes as a result of such
Legal Defeasance and will be subject to federal income tax on the same
amounts, in the same manner and at the same times as would have been the
case if such Legal Defeasance had not occurred;

(3) in the case of an election under Section 8.03 hereof, the Company must deliver to
the Trustee an Opinion of Counsel reasonably acceptable to the Trustee confirming that the
Holders of the outstanding Notes will not recognize income, gain or loss for federal income
tax purposes as a result of such Covenant Defeasance and will be subject to federal income
tax on the same amounts, in the same manner and at the same times as would have been the
case if such Covenant Defeasance had not occurred;

(4) no Default or Event of Default shall have occurred and be continuing on the date of
such deposit (other than a Default or Event of Default resulting from the borrowing of funds
to be applied to such deposit) and the deposit will not result in a breach or violation of,
or constitute a default under, any other instrument to which the Company or any Guarantor is
a party or by which the Company or any Guarantor is bound;

(5) such Legal Defeasance or Covenant Defeasance will not result in a breach or
violation of, or constitute a default under, any material agreement or instrument (other
than this Indenture) to which the Company or any of its Subsidiaries is a party or by which
the Company or any of its Subsidiaries is bound;

(6) the Company must deliver to the Trustee an Officers’ Certificate stating that the
deposit was not made by the Company with the intent of preferring the Holders of Notes over
the other creditors of the Company with the intent of defeating, hindering, delaying or
defrauding any creditors of the Company or others; and

(7) the Company must deliver to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that all conditions precedent relating to the Legal Defeasance or the
Covenant Defeasance have been complied with.

The Collateral will be released in whole from the Note Liens, as provided under Section 10.06
hereof in accordance with the provisions described in this Section 8.04.

 

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

Subject to Section 8.06 hereof, all money and non-callable Government Securities (including
the proceeds thereof) deposited with the Trustee (or other qualifying trustee, collectively for
purposes of this Section 8.05, the “Trustee”) pursuant to Section 8.04 hereof in respect of the
outstanding Notes will be held in trust and applied by the Trustee, in accordance with the
provisions of such Notes and this Indenture, to the payment, either directly or through any Paying
Agent (including the Company acting as Paying Agent) as the Trustee may determine, to the Holders
of such Notes of all sums due and to become due thereon in respect of principal, premium and
Liquidated Damages, if any, and interest, but such money need not be segregated from other funds
except to the extent required by law; provided, however, that any trust account established
pursuant to this Article VIII shall not constitute Collateral.

The Company will pay and indemnify the Trustee against any tax, fee or other charge imposed on
or assessed against the cash or non-callable Government Securities deposited pursuant to Section
8.04 hereof or the principal and interest received in respect thereof other than any such tax, fee
or other charge which by law is for the account of the Holders of the outstanding Notes.

Notwithstanding anything in this Article 8 to the contrary, the Trustee will deliver or pay to
the Company from time to time upon the request of the Company any money or non-callable Government
Securities held by it as provided in Section 8.04 hereof which, in the opinion of a nationally
recognized firm of independent public accountants expressed in a written certification thereof
delivered to the Trustee (which may be the opinion delivered under Section 8.04(1) hereof), are in
excess of the amount thereof that would then be required to be deposited to effect an equivalent
Legal Defeasance or Covenant Defeasance.

Section 8.06 Repayment to Company.

Any money deposited with the Trustee or any Paying Agent, or then held by the Company, in
trust for the payment of the principal of, premium or Liquidated Damages, if any, or interest on,
any Note and remaining unclaimed for two years after such principal, premium or Liquidated Damages,
if any, or interest has become due and payable shall be paid to the Company on its request or (if
then held by the Company) will be discharged from such trust; and the Holder of such Note will
thereafter be permitted to look only to the Company for payment thereof, and all liability of the
Trustee or such Paying Agent with respect to such trust money, and all liability of the Company as
trustee thereof, will thereupon cease; provided, however, that the Trustee or such Paying Agent,
before being required to make any such repayment, may at the expense of the Company cause to be
published once, in the New York Times and The Wall Street Journal (national edition), notice that
such money remains unclaimed and that, after a date specified therein, which will not be less than
30 days from the date of such notification or publication, any unclaimed balance of such money then
remaining will be repaid to the Company.

Section 8.07 Reinstatement.

If the Trustee or Paying Agent is unable to apply any U.S. dollars or non-callable Government
Securities in accordance with Section 8.02 or 8.03 hereof, as the case may be, by reason of any
order or judgment of any court or governmental authority enjoining, restraining or otherwise
prohibiting such application, then the Company’s and the Guarantors’ obligations under this
Indenture and the Notes and the Note Guarantees will be revived and reinstated as though no deposit
had occurred pursuant to Section 8.02 or 8.03 hereof until such time as the Trustee or Paying Agent
is permitted to apply all such money in accordance with Section 8.02 or 8.03 hereof, as the case
may be; provided, however, that, if the Company makes any payment of principal of, premium or
Liquidated Damages, if any, or interest on, any Note following the reinstatement of its
obligations, the Company will be subrogated to the rights of the Holders of such Notes to receive
such payment from the money held by the Trustee or Paying Agent.

 

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ARTICLE 9.

AMENDMENT, SUPPLEMENT AND WAIVER

Section 9.01 Without Consent of Holders of Notes.

Notwithstanding Section 9.02 of this Indenture, the Company, the Guarantors and the Trustee
may amend, supplement or otherwise modify this Indenture or the Notes or the Note Guarantees or,
subject to the Intercreditor Agreement, the Security Documents without the consent of any Holder of
Note:

(1) to cure any ambiguity, defect or inconsistency;

(2) to provide for uncertificated Notes in addition to or in place of certificated
Notes;

(3) to provide for the assumption of the Company’s or a Guarantor’s obligations to the
Holders of the Notes and Note Guarantees by a successor to the Company or such Guarantor
pursuant to Article 5 or Article 10 hereof;

(4) to make any change that would provide any additional rights or benefits to the
Holders of the Notes or that does not adversely affect the legal rights hereunder of any
Holder;

(5) to comply with requirements of the SEC in order to effect or maintain the
qualification of this Indenture under the TIA;

(6) to conform the text of this Indenture, the Notes, the Note Guarantees or the
Security Documents to any provision of the “Description of the Notes” section of the
Company’s Offering Circular dated July 1, 2009, relating to the initial offering of the
Notes, to the extent that such provision in that “Description of the Notes” was intended to
be a verbatim recitation of a provision of this Indenture, the Notes, the Note Guarantees or
the Security Documents;

(7) to allow any Guarantor to execute a supplemental indenture and/or a Note Guarantee
with respect to the Notes; or

(8) to make, complete or confirm any grant of Collateral permitted or required by this
Indenture or any of the Security Documents or any release of Collateral that becomes
effective as set forth in this Indenture or any of the Security Documents.

Upon the request of the Company accompanied by a resolution of its Board of Directors
authorizing the execution of any such amended or supplemental indenture, and upon receipt by the
Trustee of the documents described in Section 7.02 hereof, the Trustee will join with the Company
and the Guarantors in the execution of any amended or supplemental indenture authorized or
permitted by the terms of this Indenture and to make any further appropriate agreements and
stipulations that may be therein contained, but the Trustee will not be obligated to enter into
such amended or supplemental indenture that affects its own rights, duties or immunities under this
Indenture or otherwise.

Section 9.02 With Consent of Holders of Notes.

Except as provided below in this Section 9.02 and in Section 10.10 hereof, the Company and the
Trustee may amend, supplement or otherwise modify this Indenture (including, without limitation,
Section 3.09, 4.10 and 4.15 hereof) and the Notes, the Note Guarantees and the Security Documents
with the consent of the Holders of at least a majority in aggregate principal amount of the then
outstanding Notes (including, without limitation, consents obtained in connection with a tender
offer or exchange offer for, or purchase of, the Notes), and, subject to Sections 6.04 and 6.07
hereof, any existing Default or Event of Default (other than a Default or Event of Default in the
payment of the principal of, premium or Liquidated Damages, if any, or interest on, the Notes,
except a Payment Default resulting from an acceleration that has been rescinded) or compliance
with-any provision of this Indenture or the Notes, the Note Guarantees or the Security Documents
may be waived with the consent of the Holders of a
majority in aggregate principal amount of the then outstanding Notes (including, without
limitation, consents obtained in connection with a tender offer or exchange offer for, or purchase
of, the Notes). Section 2.08 hereof shall determine which Notes are considered to be “outstanding”
for purposes of this Section 9.02.

 

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Upon the request of the Company accompanied by a resolution of its Board of Directors
authorizing the execution of any such amended or supplemental indenture, and upon the filing with
the Trustee of evidence satisfactory to the Trustee of the consent of the Holders of Notes as
aforesaid, and upon receipt by the Trustee of the documents described in Section 7.02 hereof, the
Trustee will join with the Company and the Guarantors in the execution of such amended or
supplemental indenture unless such amended or supplemental indenture affects the Trustee’s own
rights, duties or immunities under this Indenture or otherwise, in which case the Trustee may in
its discretion, but will not be obligated to, enter into such amended or supplemental Indenture.

It shall not be necessary for the consent of the Holders of Notes under this Section 9.02 to
approve the particular form of any proposed amendment, supplement or waiver, but it is sufficient
if such consent approves the substance thereof.

After an amendment, supplement or waiver under this Section 9.02 becomes effective, the
Company will mail to the Holders of Notes affected thereby a notice briefly describing the
amendment, supplement or waiver. Any failure of the Company to mail such notice, or any defect
therein, will not, however, in any way impair or affect the validity of any such amended or
supplemental indenture or waiver. Subject to Sections 6.04 and 6.07 hereof, the Holders of a
majority in aggregate principal amount of the Notes then outstanding may waive compliance in a
particular instance by the Company with any provision of this Indenture, the Notes, the Note
Guarantees or the Security Documents. However, without the consent of each Holder affected, an
amendment, supplement or waiver under this Section 9.02 may not (with respect to any Notes held by
a non-consenting Holder):

(1) reduce the principal amount of Notes whose Holders must consent to an amendment,
supplement or waiver;

(2) reduce the principal of or change the fixed maturity of any Note or alter or waive
any of the provisions with respect to the redemption of the Notes (except as provided above
with respect to Sections 3.09, 4.10 and 4.15 hereof);

(3) reduce the rate of or change the time for payment of interest, including default
interest, on any Note;

(4) waive a Default or Event of Default in the payment of principal of, or premium or
Liquidated Damages, if any, or interest on, the Notes (except a rescission of acceleration
of the Notes by the Holders of at least a majority in aggregate principal amount of the then
outstanding Notes and a waiver of the Payment Default that resulted from such acceleration);

(5) make any Note payable in money other than that stated in the Notes;

(6) make any change in the provisions of this Indenture relating to waivers of past
Defaults or the rights of Holders of Notes to receive payments of principal of, or interest
or premium or Liquidated Damages, if any, on, the Notes;

(7) waive a redemption payment with respect to any Note (other than a payment required
by Sections 3.09, 4.10 or 4.15 hereof);

(8) release any Guarantor from any of its obligations under its Note Guarantee or this
Indenture, except in accordance with the terms of this Indenture; or

(9) make any change in the preceding amendment and waiver provisions.

 

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Without the consent of the Holders of at least 66 2/3% in aggregate principal amount of the
Notes then outstanding, an amendment, supplement or waiver may not (with respect to any Notes held
by a non-consenting Holder), amend, supplement or modify any of the terms of this Indenture
providing for the release of any Guarantor from its obligations under its Note Guarantee or this
Indenture.

Without the consent of the Holders of at least 66%% in the aggregate outstanding principal
amount of the Notes then outstanding, an amendment, supplement or waiver may not (with respect to
any Notes held by a non-consenting Holder) release all or substantially all of the Collateral from
the Liens created by the Security Documents, except as specifically provided for in the Note
Documents.

Section 9.03 Compliance with Trust Indenture Act.

Every amendment or supplement to this Indenture or the Notes will be set forth in a amended or
supplemental indenture that complies with the TIA as then in effect.

Section 9.04 Revocation and Effect of Consents.

Until an amendment, supplement or waiver becomes effective, a consent to it by a Holder of a
Note is a continuing consent by the Holder of a Note and every subsequent Holder of a Note or
portion of a Note that evidences the same debt as the consenting Holder’s Note, even if notation of
the consent is not made on any Note. However, any such Holder of a Note or subsequent Holder of a
Note may revoke the consent as to its Note if the Trustee receives written notice of revocation
before the date the amendment, supplement or waiver becomes effective. An amendment, supplement or
waiver becomes effective in accordance with its terms and thereafter binds every Holder.

Section 9.05 Notation on or Exchange of Notes.

The Trustee may place an appropriate notation about an amendment, supplement or waiver on any
Note thereafter authenticated. The Company in exchange for all Notes may issue and the Trustee
shall, upon receipt of an Authentication Order, authenticate new Notes that reflect the amendment,
supplement or waiver.

Failure to make the appropriate notation or issue a new Note will not affect the validity and
effect of such amendment, supplement or waiver.

Section 9.06 Trustee to Sign Amendments, etc.

The Trustee will sign any amended or supplemental indenture authorized pursuant to this
Article 9 if the amendment or supplement does not adversely affect the rights, duties, liabilities
or immunities of the Trustee. The Company may not sign an amended or supplemental indenture until
the Board of Directors of the Company approves it. In executing any amended or supplemental
indenture, the Trustee will be entitled to receive and (subject to Section 7.01 hereof) will be
fully protected in relying upon, in addition to the documents required by Section 13.04 hereof, an
Officers’ Certificate of the Company and an Opinion of Counsel stating that the execution of such
amended or supplemental indenture is authorized or permitted by this Indenture.

ARTICLE 10.

COLLATERAL AND SECURITY

Section 10.01 Security Documents.

The payment of principal of and interest and premium and Liquidated Damages, if any, on the
Notes, and the payment and performance of all other Note Obligations will be secured, equally and
ratably, by a first-priority security interest in the Collateral (subject, as to priority, only to
Permitted Prior Liens) as provided in the Security Documents.

 

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Section 10.02 Ranking of Note Liens.

Notwithstanding:

(1) anything to the contrary contained in the Security Documents;

(2) the time of incurrence of any Secured Debt;

(3) the time, order or method of attachment of the Note Liens or the Priority Liens;

(4) the time or order of filing or recording of financing statements or other documents
filed or recorded to perfect any Lien upon any Collateral;

(5) the time of taking possession or control over any Collateral;

(6) the rules for determining priority under the Uniform Commercial Code or any other
law governing relative priorities of secured creditors,

(7) that any Priority Lien may not have been perfected;

(8) that any Priority Lien may be or have become subordinated, by equitable
subordination or otherwise, to any other Lien; or

(9) any other circumstance of any kind or nature whatsoever, whether similar or
dissimilar to any of the foregoing,

subject to the terms of the Intercreditor Agreement, the Note Liens will in all circumstances be
junior and subordinate in ranking to all Priority Liens, whenever granted, upon any present or
future Collateral, and the Priority Liens, whenever granted, upon any present or future Collateral
will be prior and superior to the Note Liens.

This Section 10.02 is intended for the benefit of, and will be enforceable as a third party
beneficiary by, each present and future holder of Priority Lien Obligations, and the Priority Lien
Collateral Agent as holder of Priority Lien Obligations. No other Person will be entitled to rely
on, have the benefit of or enforce this provision.

This Section 10.02 is intended solely to set forth the relative ranking, as security
interests, of the security interests securing the Notes as against Priority Lien Obligations.
Neither the Notes nor the exercise or enforcement of any right or remedy for the payment or
collection thereof are intended to be, or will ever be by reason of the foregoing provision, in any
respect subordinated, deferred, postponed, restricted or prejudiced.

Section 10.03 Order of Application

Subject to the terms of the Intercreditor Agreement and the application of the enforcement
proceeds to the payment of amounts required to be applied to the repayment of indebtedness secured
by a prior Lien on such Collateral, if, upon the enforcement by the Collateral Agent of any default
remedy set forth in any Security Document, any Collateral is sold in foreclosure of such security
interest or is otherwise collected or realized upon by the Collateral Agent, the proceeds received
by the Collateral Agent from such enforcement will be distributed by the Collateral Agent in the
following order of application:

FIRST, to the payment of all amounts payable under the Security Documents securing the Note
Obligations on account of the Collateral Agent’s and the Trustee’s fees and any reasonable legal
fees, costs and expenses or other liabilities of any kind incurred by the Collateral Agent or any
co-trustee or agent of the Collateral Agent in connection with any such Security Document,
including amounts reasonably necessary to provide for the expenses of the Collateral Agent in
maintaining and disposing of the Collateral;

 

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SECOND, to the Trustee for application, in accordance with clauses “first” and “second” of
Section 6.10 hereof, to the payment of all Note Obligations until all Note Obligations have been
paid in full; and

THIRD, any surplus remaining after the payment in full in cash of all of the Note Obligations
shall be paid to the Company or the applicable Guarantor, as the case may be, its successors or
assigns, or to whomsoever may be lawfully entitled to receive the same, or as a court of competent
jurisdiction may direct.

Nothing in this Section 10.03 is intended to, or will, permit the existence or incurrence of
any Lien (including any Prior Lien) that is not otherwise a Permitted Lien under this Indenture.

Section 10.04 Collateral Agent.

(a) The Trustee will also serve as Collateral Agent for the benefit of the Holders of the
Notes and other Note Obligations.

(b) The Collateral Agent is authorized and empowered to appoint one or more co-collateral
agents as it deems necessary or appropriate.

(c) Neither the Trustee nor the Collateral Agent nor any of their respective officers,
directors, employees, attorneys or agents will be responsible for the existence, genuineness, value
or protection of any Collateral, for the legality, enforceability, effectiveness or sufficiency of
the Security Documents, for the creation, perfection, priority, sufficiency or protection of any
Lien securing Note Obligations, or for any failure to demand, collect, foreclose or realize upon or
otherwise enforce any of the Liens securing Note Obligations or for any delay in doing so. Beyond
the exercise of reasonable care in the custody of Collateral in its possession, the Collateral
Agent will have no duty as to any Collateral in its possession or control or in the possession or
control of any agent or bailee or any income thereon or as to preservation of rights against prior
parties or any other rights pertaining thereto and the Collateral Agent will not be responsible for
filing any financing or continuation statements or recording any documents or instruments in any
public office at any time or times or otherwise perfecting or maintaining the perfection of any
Liens on the Collateral. The Collateral Agent will be deemed to have exercised reasonable care in
the custody of the Collateral in its possession if the Collateral is accorded treatment
substantially equal to that which it accords its own property, and the Collateral Agent will not be
liable or responsible for any loss or diminution in the value of any of the Collateral by reason of
the act or omission of any carrier, forwarding agency or other agent or bailee selected by the
Collateral Agent in good faith.

(d) The Collateral Agent will be subject to such directions as may be given it by the Trustee
from time to time as required or permitted by this Indenture. Except as directed by the Trustee and
as required or permitted by this Indenture, at any time there are Priority Lien Obligations which
have not been paid in full, the Collateral Agent will not be obligated to:

(1) act upon directions purported to be delivered to it by any Person;

(2) foreclose upon or otherwise enforce any Lien; or

(3) take any other action whatsoever with regard to any or all of the Liens, Security
Documents or the Collateral.

The Company will deliver to the Trustee copies of all Security Documents delivered to the
Collateral Agent.

(e) The Collateral Agent will be accountable only for amounts that it actually receives as a
result of the enforcement of Liens securing Note Obligations.

(f) In acting as Collateral Agent, the Collateral Agent may rely upon and enforce each and all
of the rights, powers, protections, immunities, indemnities and benefits of the Trustee under
Article 7 (other than Section 7.06, which shall apply solely to the Trustee) mutatis mutandis, and,
in connection therewith, references to the
Trustee shall be deemed to include the Collateral Agent and references to this Indenture shall
be deemed to include the Security Documents and the Intercreditor Agreement.

 

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(g) Each successor Trustee will become the successor Collateral Agent as and when the
successor Trustee becomes the Trustee.

(h) Each successor Trustee will become the successor Collateral Agent as and when the
successor Trustee becomes the Trustee. Section 7.08 shall be read as applying to the Collateral
Agent, mutatis mutandis; provided that any notice of resignation shall also be provided to the
Priority Lien Collateral Agent if the Collateral Agent shall not have previously received a
Priority Lien Obligations Discharge Notice (as defined in the Intercreditor Agreement) from the
Priority Lien Collateral Agent.

(i) In the event that the Collateral Agent is required to acquire title to an asset for any
reason, or take any managerial action of any kind in regard thereto, in order to carry out any
fiduciary or trust obligation for the benefit of another, which in the Collateral Agent’s sole
discretion may cause the Collateral Agent to be considered an “owner or operator” under any
environmental laws or otherwise cause the Collateral Agent to incur, or be exposed to, any
environmental liability or any liability under any other federal, state or local law, the
Collateral Agent reserves the right, instead of taking such action, either to resign as Collateral
Agent in accordance with Section 7.08 hereof or to arrange for the transfer of the title or control
of the asset to a court appointed receiver. The Collateral Agent will not be liable to any Person
for any environmental liability or any environmental claims or contribution actions under any
federal, state or local law, rule or regulation by reason of the Collateral Agent’s actions and
conduct as authorized, empowered and directed hereunder or relating to any kind of discharge or
release or threatened discharge or release of any hazardous materials into the environment.

(j) The Company and the Guarantors will indemnify the Collateral Agent against, and will
promptly pay upon demand, all costs and expenses incurred by the Collateral Agent and its agents in
creating, perfecting, preserving, releasing or enforcing the Collateral Agent’s Liens on the
Collateral, including filing and recording fees, expenses and taxes, stamp or documentary taxes,
search fees and title insurance premiums, as well as, after the occurrence of any Default or Event
of Default, all costs and expenses incurred by the Collateral Agent, its agents and the Trustee in
connection with the preservation, collection, foreclosure or enforcement of the Collateral.

Section 10.05 Authorization of Actions to Be Taken.

(a) Each Holder of Notes, by its acceptance thereof, consents and agrees to the terms of each
Security Document and the Intercreditor Agreement, as originally in effect and as amended,
supplemented or replaced from time to time in accordance with its terms or the terms of this
Indenture, authorizes and directs the Trustee and the Collateral Agent to enter into the Security
Documents, authorizes and empowers the Trustee and the Collateral Agent to execute and deliver the
Intercreditor Agreement, and authorizes and empowers each of the Trustee and the Collateral Agent
to bind the Holders of Notes as set forth in the Security Documents and the Intercreditor Agreement
and to perform its obligations and exercise its rights and powers thereunder.

(b) The Collateral Agent and the Trustee are authorized and empowered to receive for the
benefit of the holders of Note Obligations any funds collected or distributed under the Security
Documents and to make further distributions of such funds to the holders of Note Obligations
according to the provisions of this Indenture.

(c) Subject to the provisions of Sections 7.01, 7.02 and 10.02 hereof and the terms of the
Intercreditor Agreement, the Trustee may, upon an Event of Default, in its sole discretion and
without the consent of the Holders of Notes, direct, on behalf of the holders of Note Obligations,
the Collateral Agent to take all actions it deems necessary or appropriate in order to:

(1) foreclose upon or otherwise enforce any or all of the Note Liens;

(2) enforce any of the terms of the Security Documents; or

(3) collect and receive payment of any and all Note Obligations.

 

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The Trustee will have power to (and to instruct the Collateral Agent to) institute and
maintain such suits and proceedings as it may deem expedient to prevent any impairment of the
Collateral by any acts that may be unlawful or in violation of the Security Documents or this
Indenture, and such suits and proceedings as the Trustee may deem expedient to preserve or protect
its interests and the interests of the holders of Note Obligations in the Collateral (including
power to (and to instruct the Collateral Agent to) institute and maintain suits or proceedings to
restrain the enforcement of or compliance with any legislative or other governmental enactment,
rule or order that may be unconstitutional or otherwise invalid if the enforcement of, or
compliance with, such enactment, rule or order would impair the security interest hereunder or be
prejudicial to the interests of the holders of Note Obligations, the Trustee or the Collateral
Agent).

Section 10.06 Release of Note Liens.

(a) The Note Liens will be released in whole (whether or not any Insolvency or Liquidation
Proceeding is pending at the time) upon:

(1) payment in full and discharge of all outstanding Note Debt and all other Note
Obligations that are then outstanding, due and payable at the time all of the Note Debt is
paid in full and discharged;

(2) satisfaction and discharge of this Indenture in accordance with the provisions of
Article 12 hereof; or

(3) a Legal Defeasance or Covenant Defeasance in accordance with the provisions of
Article 8 hereof;

provided, that, in each case, the Trustee and Collateral Agent shall have received an Officers’
Certificate of the Company and an Opinion of Counsel, each stating that all conditions to such
release of the Note Liens have been satisfied.

(b) The Note Liens will be automatically released in part with respect to any asset
constituting Collateral (whether or not any Insolvency or Liquidation Proceeding is pending at the
time):

(1) upon delivery by the Company or, the Priority Lien Collateral Agent to the Trustee
and the Collateral Agent of an Officers’ Certificate certifying that the asset has been (or
concurrently with the release of the Note Liens thereon will be) sold, transferred or
otherwise disposed of by the Company or a Guarantor to a Person other than the Company, any
of the Company’s Restricted Subsidiaries or any other Obligor in a transaction permitted by
each of the Note Documents, at the time of sale or disposition; provided that neither the
Company nor the Priority Lien Collateral Agent shall deliver any such Officers’ Certificate
if the sale, transfer or other disposition is subject to Section 5.01 hereof;

(2) upon delivery by the Company or the Priority Lien Collateral Agent to the Trustee
and the Collateral Agent of an Officers’ Certificate certifying that the asset is owned by a
Guarantor that has been released from its Note Guarantee (including by virtue of a
Subsidiary Guarantor becoming an Unrestricted Subsidiary) pursuant to Section 11.05 hereof;
provided that any subsequent guarantee or reinstated guarantee made by such Guarantor shall
be subject to Section 4.18; and

(3) upon delivery by the Company or the Priority Lien Collateral Agent to the Trustee
and the Collateral Agent of an Officers’ Certificate certifying that the asset has been (or
concurrently with the release of the Note Liens thereon will be) sold, transferred or
otherwise disposed of by the Priority Lien Collateral Agent in a foreclosure or other
enforcement proceeding or by an Obligor in lieu of a sale by the holders of the Priority
Lien Obligations in a foreclosure or enforcement proceeding.

(c) Notwithstanding the foregoing, the Note Liens on the proceeds of such Collateral paid or
payable in connection with any sale or other disposition of an asset described in Section 10.06(b)
hereof shall not be released.

 

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Section 10.07 Recording and Opinions.

(a) The Company will furnish to the Collateral Agent and the Trustee on January 1 in each year
beginning with January 1, 2010, an Opinion of Counsel, dated as of such date, either:

(1) (A) stating that, in the opinion of such counsel, action has been taken with
respect to the recording, registering, filing, re-recording, re-registering and re-filing of
all supplemental indentures, financing statements, continuation statements or other
instruments of further assurance as is necessary to maintain the Lien of the Security
Documents and reciting with respect to the security interests in the Collateral the details
of such action or referring to prior Opinions of Counsel in which such details are given,
and (B) stating that, in the opinion of such counsel, based on relevant laws as in effect on
the date of such Opinion of Counsel, all financing statements and continuation statements
have been executed and filed that are necessary as of such date and during the succeeding 12
months fully to preserve and protect, to the extent such protection and preservation are
possible by filing, the rights of the Holders of Notes and the Collateral Agent and the
Trustee hereunder and under the Security Documents with respect to the security interests in
the Collateral; or

(2) stating that, in the opinion of such counsel, no such action is necessary to
maintain such Lien and assignment.

(b) Immediately prior to the issuance of the Exchange Notes and annually thereafter, the
Company will furnish to the Trustee and the Collateral Agent an Opinion of Counsel, in the form
specified in Section 10.07(a) hereof for that opinion, with respect to the effectiveness and
perfection of the Liens intended to be created by the Security Documents. The Company will
otherwise comply with the provisions of TIA Section 314(b).

(c) To the extent applicable, the Company will cause TIA §313(b), relating to reports, and TIA
§314(d), relating to the release of property or securities or relating to the substitution
therefore of any property or securities to be subjected to the Note Liens of the Security
Documents, to be complied with. Any certificate or opinion required by TIA §314(d) may be made by
an officer of the Company except in cases where TIA §314(d) requires that such certificate or
opinion be made by an independent Person, which Person will be an independent engineer, appraiser
or other expert that the Company, in an Officers’ Certificate delivered to the Trustee, certifies
is an independent Person under TIA §314(d). Notwithstanding anything to the contrary in this
Section 10.07(c), the Company will not be required to comply with all or any portion of TIA §314(d)
if it determines, in good faith based on advice of counsel, that under the terms of TIA §314(d)
and/or any interpretation or guidance as to the meaning thereof of the SEC and its staff, including
“no action” letters or exemptive orders, all or any portion of TIA §314(d) is inapplicable to one
or a series of released Collateral.

Section 10.08 Certificates of the Company.

The Company will furnish to the Trustee and the Collateral Agent, prior to each proposed
release of Collateral pursuant to the Security Documents:

(1) all documents required by TIA §314(d);

(2) an Officers’ Certificate certifying that all terms for release under this Indenture
and any applicable Security Documents have been satisfied and specifying (a) the identity of
the Collateral to be released and (b) the applicable provisions of this Indenture and the
Security Documents which authorize that release; and

(3) an Opinion of Counsel which may be rendered by internal counsel to the Company, to
the effect that such accompanying documents constitute all documents required by TIA
§314(d).

The Trustee and the Collateral Agent may, to the extent permitted by Sections 7.01 and 7.02
hereof, accept as conclusive evidence of compliance with the foregoing provisions the appropriate
statements contained in such documents, Officers’ Certificate and such Opinion of Counsel.

 

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Section 10.09 Certificates of the Trustee.

In the event that the Company wishes to release Collateral in accordance with this Indenture
and the Security Documents and has delivered the certificates and documents required by this
Indenture and the Security Documents and Sections 10.06, 10.07 and 10.08 hereof, the Trustee will
determine whether it has received all documentation required by TIA § 314(d) in connection with
such release and, based on such determination and the Opinion of Counsel delivered pursuant to
clause (3) of Section 10.08, will deliver a written acknowledgement to the Collateral Agent setting
forth such determination.

Section 10.10 Amendment of Security Documents.

(a) At any time prior to the Trustee’s receipt of a Priority Lien Obligations Discharge Notice
(as defined in the Intercreditor Agreement), the Collateral Agent will not enter into, and the
Trustee and the Holders of Notes will not authorize or direct, any amendment of or supplement to
any Security Document relating to any Collateral that would make such Security Document
inconsistent in any material respect with the comparable provisions of the Priority Lien Security
Documents upon such Collateral and no such amendment or supplement will be enforceable; provided,
that for purposes of this Section 10.10, (1) no inconsistency reflected in the Security Documents
delivered in connection with the issuance of the Notes on the date of this Indenture, as compared
with the comparable provisions of the applicable Priority Lien Security Documents then in effect,
will be subject to the provisions of this Section 10.10, and (2) subject to clause (1), any
provision granting rights or powers to the Collateral Agent that are not granted to the holders of
Priority Liens securing Priority Lien Debt will constitute a material inconsistency, except to the
extent resulting solely from the failure by the holders of Priority Lien Obligations or the
Priority Lien Collateral Agent to obtain a lien on any asset or property of the Company or any of
its Subsidiaries to which they or it would otherwise be entitled under the applicable Priority Lien
Documents.

(b) Notwithstanding anything to the contrary in this Agreement or any Security Documents, no
amendment or supplement to the provisions of any Security Document will be effective without the
approval of the Collateral Agent acting as directed by an Act of Required Noteholders, except that:

(1) any amendment or supplement that has the effect solely of adding or maintaining
Collateral, securing additional Note Obligations that were otherwise permitted by the terms
of the Note Documents to be secured by the Collateral or preserving or perfecting the Liens
thereon or the rights of the Collateral Agent therein, or adding or maintaining any
guarantee, will become effective when executed and delivered by the Company or any other
applicable Obligor party thereto and the Collateral Agent;

(2) no amendment or supplement that reduces, impairs or adversely affects the right of
any holder of Note Debt to:

(A) vote its outstanding Note Debt as to any matter described as subject to an
Act of Required Noteholders (or amends the provisions of this clause (2) or the
definition of “Act of Required Noteholders”); or

(B) share in the order of application described in Section 10.02 hereof in the
proceeds of enforcement of the Collateral Agent’s security interests in any and all
Collateral that has not been released in accordance with the provisions of Section
10.06, will become effective without the additional consent of such holder; and

(3) no amendment or supplement that imposes any obligation upon the Collateral Agent or
adversely affects the rights of the Collateral Agent in its individual capacity as such will
become effective without the consent of the Collateral Agent.

(c) Any amendment or supplement to the provisions of the Security Documents that releases
Collateral will be effective only in accordance with the requirements set forth in Section 10.06
hereof.

 

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Section 10.11 Appointment of Co-Collateral Agent.

(a) Notwithstanding any other provisions of this Indenture or any other Note Document, at any
time, for the purpose of meeting any legal requirement of any jurisdiction in which any part of the
Collateral may at the time be located, the Collateral Agent shall have the power and may execute
and deliver all instruments necessary to appoint one or more Persons to act as a co-collateral
agent or co-collateral agents, or separate collateral agent or separate collateral agents, of all
or any part of the Collateral, and to vest in such Person or Persons, in such capacity and for the
benefit of the holders of Note Obligations, such title to the Collateral, or any part thereof, and
subject to the other provisions of this Section, such powers, duties, obligations, rights and
trusts as the Collateral Agent may reasonably consider necessary or desirable for such purpose. No
co-collateral agent or separate collateral agent shall be required to meet the terms of eligibility
as a successor Trustee under Section 7.10 hereof and no notice to holders of Note Obligations of
the appointment of any co-collateral agent or separate collateral agent shall be required under
Section 7.08 hereof.

(b) Every co-collateral agent or separate collateral agent shall, to the extent permitted by
law, be appointed and act subject to the following provisions and conditions:

(1) all rights, powers, duties and obligations conferred or imposed upon the Collateral
Agent shall be conferred or imposed upon and exercised or performed by the Collateral Agent
and such co-collateral agent or separate collateral agent jointly (it being understood that
such separate co-collateral agent or separate collateral agent is not authorized to act
separately without the Collateral Agent joining in such act), except to the extent that
under any law of any jurisdiction in which any particular act or acts are to be performed
the Collateral Agent shall be incompetent or unqualified to perform such act or acts, in
which event such rights, powers, duties and obligations (including the holding of title to
Collateral or any portion thereof in any such jurisdiction) shall be exercised and performed
singly by such co-collateral agent or separate collateral agent, but solely at the direction
of the Collateral Agent; and

(2) the Collateral Agent may at any time accept the resignation of or remove any
co-collateral agent or separate collateral agent.

(c) Any notice, request or other writing given to the Collateral Agent shall be deemed to have
been given to each of the then co-collateral agents or separate collateral agents, as effectively
as if given to each of them. Every instrument appointing any co-collateral agent or separate
collateral agent shall refer to this Indenture and the conditions of this Section 10.11. Each
co-collateral agent or separate collateral agent, upon its acceptance of the trusts conferred,
shall be vested with the estates or property specified in its instrument of appointment, either
jointly with the Collateral Agent or separately, as may be provided therein, subject to all the
provisions of this Indenture, specifically including every provision of this Indenture relating to
the conduct of, affecting the liability of, or affording protection or rights (including the rights
to compensation, reimbursement and indemnification hereunder) to, the Collateral Agent. Every such
instrument shall be filed with the Collateral Agent.

(d) Any co-collateral agent or separate collateral agent may at any time constitute the
Collateral Agent, its agent or attorney-in-fact with full power and authority, to the extent not
prohibited by law, to do any lawful act under or in respect of this Indenture, the Security
Documents and the Intercreditor Agreement on its behalf and in its name. If any co-collateral agent
or separate collateral agent shall die, become incapable of acting, resign or be removed, all of
its estates, properties, rights, remedies and trusts shall vest in and be exercised by the
Collateral Agent, to the extent permitted by law, without the appointment of a new or successor
co-collateral agent or separate collateral agent.

 

84

 

ARTICLE 11.

NOTE GUARANTEES

Section 11.01 Guarantee.

(a) Subject to this Article 11, each of the Guarantors hereby, jointly and severally,
unconditionally guarantees to each Holder of a Note authenticated and delivered by the Trustee and
to the Trustee and its successors
and assigns, irrespective of the validity and enforceability of this Indenture, the Notes or
the obligations of the Company hereunder or thereunder, that:

(1) the principal of, premium, if any, and Liquidated Damages, if any, and interest on,
the Notes will be promptly paid in full when due, whether at maturity, by acceleration,
redemption or otherwise, and interest on the overdue principal of and interest on the Notes,
if any, if lawful, and all other obligations of the Company to the Holders, the Trustee or
the Collateral Agent or under the Note Documents will be promptly paid in full or performed,
all in accordance with the terms hereof and thereof; and

(2) in case of any extension of time of payment or renewal of any Notes or any of such
other obligations, that same will be promptly paid in full when due or performed in
accordance with the terms of the extension or renewal, whether at Stated Maturity, by
acceleration or otherwise.

Failing payment when due of any amount so guaranteed or any performance so guaranteed for
whatever reason, the Guarantors will be jointly and severally obligated to pay the same
immediately. Each Guarantor agrees that this is a guarantee of payment and not a guarantee of
collection.

(b) The Guarantors hereby agree that their obligations hereunder are unconditional,
irrespective of the validity, regularity or enforceability of the Notes or this Indenture, the
absence of any action to enforce the same, any waiver or consent by any Holder of the Notes with
respect to any provisions hereof or thereof, the recovery of any judgment against the Company, any
action to enforce the same or any other circumstance which might otherwise constitute a legal or
equitable discharge or defense of a guarantor. Each Guarantor hereby waives diligence, presentment,
demand of payment, filing of claims with a court in the event of insolvency or bankruptcy of the
Company, any right to require a proceeding first against the Company, protest, notice and all
demands whatsoever and covenant that this Note Guarantee will not be discharged except by complete
performance of the obligations contained in the Notes and this Indenture.

(c) If any Holder or the Trustee is required by any court or otherwise to return to the
Company, the Guarantors or any custodian, trustee, liquidator or other similar official acting in
relation to either the Company or the Guarantors, any amount paid by either to the Trustee or such
Holder, this Note Guarantee, to the extent theretofore discharged, will be reinstated in full force
and effect.

(d) Each Guarantor agrees that it will not be entitled to any right of subrogation in relation
to the Holders in respect of any obligations guaranteed hereby until payment in full of all
obligations guaranteed hereby. Each Guarantor further agrees that, as between the Guarantors, on
the one hand, and the Holders and the Trustee, on the other hand, (1) the maturity of the
obligations guaranteed hereby may be accelerated as provided in Article 6 hereof for the purposes
of this Note Guarantee, notwithstanding any stay, injunction or other prohibition preventing such
acceleration in respect of the obligations guaranteed hereby, and (2) in the event of any
declaration of acceleration of such obligations as provided in Article 6 hereof, such obligations
(whether or not due and payable) will forthwith become due and payable by the Guarantors for the
purpose of this Note Guarantee. The Guarantors will have the right to seek contribution from any
non-paying Guarantor so long as the exercise of such right does not impair the rights of the
Holders under the Note Guarantee.

Section 11.02 Limitation on Guarantor Liability.

Each Guarantor, and by its acceptance of Notes, each Holder, hereby confirms that it is the
intention of all such parties that the Note Guarantee of such Guarantor not constitute a fraudulent
transfer or conveyance for purposes of Bankruptcy Law, the Uniform Fraudulent Conveyance Act, the
Uniform Fraudulent Transfer Act or any similar federal or state law to the extent applicable to any
Note Guarantee. To effectuate the foregoing intention, the Trustee, the Holders and the Guarantors
hereby irrevocably agree that the obligations of such Guarantor will be limited to the maximum
amount that will, after giving effect to such maximum amount and all other contingent and fixed
liabilities of such Guarantor that are relevant under such laws, and after giving effect to any
collections from, rights to receive contribution from or payments made by or on behalf of any other
Guarantor in respect of the obligations of such other Guarantor under this Article 11, result in
the obligations of such Guarantor under its Note Guarantee not constituting a fraudulent transfer
or conveyance.

 

85

 

Section 11.03 Execution and Delivery of Note Guarantee.

To evidence its Note Guarantee set forth in Section 11.01 hereof, each Guarantor hereby agrees
that a notation of such Note Guarantee substantially in the form attached as Exhibit E hereto will
be endorsed by an Officer of such Guarantor on each Note authenticated and delivered by the Trustee
and that this Indenture will be executed on behalf of such Guarantor by one of its Officers.

Each Guarantor hereby agrees that its Note Guarantee set forth in Section 11.01 hereof will
remain in full force and effect notwithstanding any failure to endorse on each Note a notation of
such Note Guarantee.

If an Officer whose signature is on this Indenture or on the Note Guarantee no longer holds
that office at the time the Trustee authenticates the Note on which a Note Guarantee is endorsed,
the Note Guarantee will be valid nevertheless.

The delivery of any Note by the Trustee, after the authentication thereof hereunder, will
constitute due delivery of the Note Guarantee set forth in this Indenture on behalf of the
Guarantors.

In the event that the Company or any of its Restricted Subsidiaries creates or acquires any
Domestic Subsidiary after the date of this Indenture, if required by Section 4.24 hereof, the
Company will cause such Domestic Subsidiary to comply with the provisions of Section 4.24 hereof
and this Article 11, to the extent applicable.

Section 11.04 Guarantors May Consolidate, etc., on Certain Terms.

Except as otherwise provided in Section 11.05 hereof, no Guarantor may sell or otherwise
dispose of all or substantially all of its assets to, or consolidate with or merge with or into
(whether or not such Guarantor is the surviving Person) another Person, other than the Company or a
Subsidiary Guarantor, unless:

(1) immediately after giving effect to such transaction on a pro forma basis, no
Default or Event of Default exists; and

(2) either:

(a) subject to Section 11.05 hereof, the Person acquiring the property in any such sale
or disposition or the Person formed by or surviving any such consolidation or merger
unconditionally assumes all the obligations of that Guarantor (1) under this Indenture, its
Note Guarantee and the Registration Rights Agreement on the terms set forth herein or
therein, pursuant to a supplemental indenture in form and substance reasonably satisfactory
to the Trustee and (2) under the Security Documents pursuant to customary security
documents; or

(b) the Net Proceeds of such sale or other disposition are applied in accordance with
the applicable provisions of this Indenture, including without limitation, Section 4.10
hereof.

In case of any such consolidation, merger, sale or conveyance and upon the assumption by the
successor Person, by supplemental indenture, executed and delivered to the Trustee and satisfactory
in form to the Trustee, of the Note Guarantee endorsed upon the Notes and the due and punctual
performance of all of the covenants and conditions of this Indenture to be performed by the
Guarantor, such successor Person will succeed to and be substituted for the Guarantor with the same
effect as if it had been named herein as a Guarantor. Such successor Person thereupon may cause to
be signed any or all of the Note Guarantees to be endorsed upon all of the Notes issuable hereunder
which theretofore shall not have been signed by the Company and delivered to the Trustee. All the
Note Guarantees so issued will in all respects have the same legal rank and benefit under this
Indenture as the Note Guarantees theretofore and thereafter issued in accordance with the terms of
this Indenture as though all of such Note Guarantees had been issued at the date of the execution
hereof.

 

86

 

Except as set forth in Articles 4 and 5 hereof, and notwithstanding clauses 2(a) and (b)
above, nothing contained in this Indenture or in any of the Notes will prevent any consolidation or
merger of a Guarantor with or into the Company or another Guarantor, or will prevent any sale or
conveyance of the property of a Guarantor as an entirety or substantially as an entirety to the
Company or another Guarantor.

Section 11.05 Releases.

(a) The Note Guarantee of a Subsidiary Guarantor will be released and such Subsidiary
Guarantor will be released and relieved of any obligations under its Note Guarantee (whether or not
a Insolvency or Liquidation Proceeding is then pending):

(1) in connection with any sale or other disposition of all or substantially all of the
assets of that Subsidiary Guarantor (including by way of merger or consolidation) to a
Person that is not (either before or after giving effect to such transaction) the Company or
a Restricted Subsidiary of the Company, if the sale or other disposition does not violate
Section 4.10 hereof; provided that such Subsidiary Guarantor’s Note Guarantee will not be
released if the sale or disposition is subject to Section 5.01 hereof;

(2) in connection with any sale or other disposition of all of the Capital Stock of
that Subsidiary Guarantor (whether directly by transfer of Capital Stock issued by that
Subsidiary Guarantor or indirectly by transfer of Capital Stock of other Subsidiaries that,
directly or indirectly, own Capital Stock issued by that Subsidiary Guarantor) to a Person
that is not (either before or after giving effect to such transaction) the Company or a
Restricted Subsidiary of the Company, if the sale or other disposition does not violate
Section 4.10 hereof; provided that such Subsidiary Guarantor’s Note Guarantee will not be
released if the sale or disposition is subject to Section 5.01 hereof;

(3) in connection with any sale or other disposition of less than all of the Capital
Stock of that Subsidiary Guarantor (including by way of merger or consolidation) to a Person
that is not (either before or after giving effect to such transaction) the Company or a
Restricted Subsidiary of the Company, if (a) the sale or other disposition does not violate
Section 4.10 hereof; and (b) immediately after giving effect to such sale or disposition,
that Guarantor ceases to be a Subsidiary of the Company; provided that the Guarantor’s Note
Guarantee will not be released if the sale or disposition is subject to Section 5.01 hereof;

(4) if such Subsidiary Guarantor is designated by the Company to be an Unrestricted
Subsidiary in accordance with the applicable provisions of this Indenture and such
Subsidiary Guarantor has not ceased to be an Unrestricted Subsidiary pursuant to the
applicable provisions of this Indenture; or

(5) upon Legal Defeasance or Covenant Defeasance in accordance with Article 8 hereof or
satisfaction and discharge of this Indenture in accordance with Article 12 hereof.

(b) The Guarantee of Parent will be released without further action required on the part of
the Trustee or any Holder upon (i) payment in full in cash of the principal of, premium, if any,
accrued and unpaid interest, and Liquidated Damages on the Notes and all other Obligations
hereunder and under the other Note Documents that are then due and payable, (ii) a satisfaction and
discharge of this Indenture pursuant to Article 12 hereof or (iii) the occurrence of a Legal
Defeasance or Covenant Defeasance pursuant to Article 8 hereof.

Any Guarantor not released from its obligations under its Note Guarantee as provided in this
Section 11.05 will remain liable for the full amount of principal of and interest and premium and
Liquidated .Damages, if any, on the Notes and for the other obligations of any Guarantor under this
Indenture and the other Note Documents as provided in this Article 11.

 

87

 

ARTICLE 12.

SATISFACTION AND DISCHARGE

Section 12.01 Satisfaction and Discharge.

This Indenture will be discharged and will cease to be of further effect as to all Notes
issued hereunder, when:

(1) either:

(a) all Notes that have been authenticated, except lost, stolen or destroyed Notes that
have been replaced or paid and Notes for whose payment money has theretofore been deposited
in trust and thereafter repaid to the Company, have been delivered to the Trustee for
cancellation; or

(b) all Notes that have not been delivered to the Trustee for cancellation have become
due and payable by reason of the mailing of a notice of redemption or otherwise or will
become due and payable within one year and the Company or any Guarantor has irrevocably
deposited or caused to be deposited with the Trustee as trust funds in trust solely for the
benefit of the Holders, cash in U.S. dollars, non-callable Government Securities, or a
combination of cash in U.S. dollars and non-callable Government Securities, in amounts as
will be sufficient, without consideration of any reinvestment of interest, to pay and
discharge the entire Indebtedness on the Notes not delivered to the Trustee for cancellation
for principal, premium and Liquidated Damages, if any, and accrued interest to the date of
maturity or redemption;

(2) no Default or Event of Default has occurred and is continuing on the date of the
deposit (other than a Default or Event of Default resulting from the borrowing of funds to
be applied to such deposit) and the deposit will not result in a breach or violation of, or
constitute a default under, any other instrument to which the Company or any Guarantor is a
party or by which the Company or any Guarantor is bound;

(3) the Company or any Guarantor has paid or caused to be paid all sums payable by it
under this Indenture and the other Note Documents; and

(4) the Company has delivered irrevocable instructions to the Trustee under this
Indenture to apply the deposited money toward the payment of the Notes at maturity or on the
redemption date, as the case may be.

In addition, the Company must deliver an Officers’ Certificate and an Opinion of Counsel to the
Trustee stating that all conditions precedent to satisfaction and discharge have been satisfied.

The Collateral will be released as provided in Section 10.08 hereof upon a satisfaction and
discharge in accordance with the provisions described above.

Notwithstanding the satisfaction and discharge of this Indenture, if money has been deposited
with the Trustee pursuant to subclause (b) of clause (1) of this Section 12.01, the provisions of
Sections 12.02 and 8.06 hereof will survive. In addition, nothing in this Section 12.01 will be
deemed to discharge those provisions of Section 7.07 hereof, that, by their terms, survive the
satisfaction and discharge of this Indenture.

Section 12.02 Application of Trust Money.

Subject to the provisions of Section 8.06 hereof, all money deposited with the Trustee
pursuant to Section 12.01 hereof shall be held in trust and applied by it, in accordance with the
provisions of the Notes and this Indenture, to the payment, either directly or through any Paying
Agent (including the Company acting as its own Paying Agent) as the Trustee may determine, to the
Persons entitled thereto, of the principal (and premium and
Liquidated Damages, if any) and interest for whose payment such money has been deposited with
the Trustee; but such money need not be segregated from other funds except to the extent required
by law.

 

88

 

If the Trustee or Paying Agent is unable to apply any money or Government Securities in
accordance with Section 12.01 hereof by reason of any legal proceeding or by reason of any order or
judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting
such application, the Company’s and any Guarantor’s obligations under this Indenture and the Notes
shall be revived and reinstated as though no deposit had occurred pursuant to Section 12.01 hereof;
provided that if the Company has made any payment of principal of, premium, if any, or Liquidated
Damages, if any, or interest on, any Notes because of the reinstatement of its obligations, the
Company shall be subrogated to the rights of the Holders of such Notes to receive such payment from
the money or Government Securities held by the Trustee or Paying Agent.

ARTICLE 13.

MISCELLANEOUS

Section 13.01 Trust Indenture Act Controls.

If any provision of this Indenture limits, qualifies or conflicts with the duties imposed by
TIA §318(c), the imposed duties will control.

Section 13.02 Notices.

Any notice or communication by the Company, any Guarantor or the Trustee to the others is duly
given if in writing and delivered in Person or by first class mail (registered or certified, return
receipt requested), facsimile transmission or overnight air courier guaranteeing next day delivery,
to the others’ address:

If to the Company and/or any Guarantor:

Real Mex Restaurants, Inc.

5660 Katella Avenue, Suite 100

Cypress, CA 90630

Facsimile No.: (310) 834-2762

Attention: Chief Financial Officer

With a copy to:

Loeb & Loeb LLP

10100 Santa Monica Blvd., Suite 2200

Los Angeles, CA 90067

Facsimile No.: (310) 919-3970

Attention: Gerald Chizever

If to the Trustee:

Wells Fargo Bank, National Association

Corporate Trust and Escrow Services

MAC: E2818-176

707 Wilshire Boulevard, 17th Floor

Los Angeles, CA 90017

Facsimile No.: (213) 614-3355

Attention: Maddy Hall

The Company, any Guarantor or the Trustee, by notice to the others, may designate additional
or different addresses for subsequent notices or communications.

 

89

 

All notices and communications (other than those sent to Holders) will be deemed to have been
duly given: at the time delivered by hand, if personally delivered; five Business Days after being
deposited in the mail, postage prepaid, if mailed; when receipt acknowledged, if transmitted by
facsimile; and the next Business Day after timely delivery to the courier, if sent by overnight air
courier guaranteeing next day delivery.

Any notice or communication to a Holder will be mailed by first class mail, certified or
registered, return receipt requested, or by overnight air courier guaranteeing next day delivery to
its address shown on the register kept by the Registrar. Any notice or communication will also be
so mailed to any Person described in TIA § 313(c), to the extent required by the TIA. Failure to
mail a notice or communication to a Holder or any defect in it will not affect its sufficiency with
respect to other Holders.

If a notice or communication is mailed in the manner provided above within the time
prescribed, it is duly given, whether or not the addressee receives it.

If the Company mails a notice or communication to Holders, it will mail a copy to the Trustee
and each Agent at the same time.

Section 13.03 Communication by Holders of Notes with Other Holders of Notes.

Holders may communicate pursuant to TIA § 312(b) with other Holders with respect to their
rights under this Indenture or the Notes. The Company, the Trustee, the Registrar and anyone else
shall have the protection of TIA § 312(c).

Section 13.04 Certificate and Opinion as to Conditions Precedent.

Upon any request or application by the Company to the Trustee to take any action under this
Indenture, the Company shall furnish to the Trustee:

(1) an Officers’ Certificate in form and substance reasonably satisfactory to the
Trustee (which must include the statements set forth in Section 13.05 hereof) stating that,
in the opinion of the signers, all conditions precedent and covenants, if any, provided for
in this Indenture relating to the proposed action have been satisfied; and

(2) an Opinion of Counsel in form and substance reasonably satisfactory to the Trustee
(which must include the statements set forth in Section 13.05 hereof) stating that, in the
opinion of such counsel, all such conditions precedent and covenants have been satisfied.

Section 13.05 Statements Required in Certificate or Opinion.

Each certificate or opinion with respect to compliance with a condition or covenant provided
for in this Indenture (other than a certificate provided pursuant to TIA § 314(a)(4)) must comply
with the provisions of TIA § 314(e) and must include:

(1) a statement that the Person making such certificate or opinion has read such
covenant or condition;

(2) a brief statement as to the nature and scope of the examination or investigation
upon which the statements or opinions contained in such certificate or opinion are based;

(3) a statement that, in the opinion of such Person, he or she has made such
examination or investigation as is necessary to enable him or her to express an informed
opinion as to whether or not such covenant or condition has been satisfied; and

(4) a statement as to whether or not, in the opinion of such Person, such condition or
covenant has been satisfied.

 

90

 

Section 13.06 Rules by Trustee and Agents.

The Trustee may make reasonable rules for action by or at a meeting of Holders. The Registrar
or Paying Agent may make reasonable rules and set reasonable requirements for its functions.

Section 13.07 No Personal Liability of Directors, Officers, Employees and Stockholders.

No director, officer, employee, incorporator or stockholder of the Company or any Guarantor,
as such, will have any liability for any obligations of the Company or the Guarantors under the
Notes, this Indenture, the Note Guarantees, the Security Documents or the Intercreditor Agreement
or for any claim based on, in respect of, or by reason of, such obligations or their creation. Each
Holder of Notes by accepting a Note waives and releases all such liability. The waiver and release
are part of the consideration for issuance of the Notes.

Section 13.08 Governing Law.

THE INTERNAL LAW OF THE STATE OF NEW YORK WILL GOVERN AND BE USED TO CONSTRUE THIS INDENTURE,
THE NOTES AND THE NOTE GUARANTEES WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF
LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED
THEREBY.

Section 13.09 No Adverse Interpretation of Other Agreements.

This Indenture may not be used to interpret any other indenture, loan or debt agreement of the
Company or its Subsidiaries or of any other Person. Any such indenture, loan or debt agreement may
not be used to interpret this Indenture.

Section 13.10 Successors.

All agreements of the Company in this Indenture and the Notes will bind its successors. All
agreements of the Trustee in this Indenture will bind its successors. All agreements of each
Guarantor in this Indenture will bind its successors, except as otherwise provided in Section 11.05
hereof.

Section 13.11 Severability.

In case any provision in this Indenture or in the Notes is invalid, illegal or unenforceable,
the validity, legality and enforceability of the remaining provisions will not in any way be
affected or impaired thereby.

Section 13.12 Counterpart Originals.

The parties may sign any number of copies of this Indenture. Each signed copy will be an
original, but all of them together represent the same agreement.

Section 13.13 Table of Contents, Headings, etc.

The Table of Contents, Cross-Reference Table and Headings of the Articles and Sections of this
Indenture have been inserted for convenience of reference only, are not to be considered a part of
this Indenture and will in no way modify or restrict any of the terms or provisions hereof.

[Signatures on following pages]

 

91

 

SIGNATURES

Dated as of July 7, 2009

	 	 	 	 	 
	 	Real Mex Restaurants, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	RM Restaurant Holding Corp.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Acapulco Mark Corp.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Acapulco Restaurant of Downey, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Acapulco Restaurant of Moreno Valley, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 

Signature page to the Indenture

 

 

 

	 	 	 	 	 
	 	Acapulco Restaurant of Ventura, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Acapulco Restaurant of Westwood, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Acapulco Restaurants, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	ALA Design, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Chevys Restaurants, LLC

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	CKR Acquisition Corp.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 

Signature page to the Indenture

 

 

 

	 	 	 	 	 
	 	El Paso Cantina, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	El Torito Franchising Company

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	El Torito Restaurants, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Murray Pacific

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	Real Mex Foods, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	TARV, Inc.

 	 
	 	By:  	
 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 

Signature page to the Indenture

 

 

 

	 	 	 	 	 
	 	Wells Fargo Bank, National Association,
as Trustee

 	 
	 	By:  	
 	 
	 	 	Name:  	Maddy Hall 	 
	 	 	Title:  	Vice President 	 

Signature page to the Indenture

 

 

 

[Face of Note]

CUSIP/CINS                    

14% Senior Secured Notes due 2013

			
	 	 	 
	No.                    
	 	$                    

REAL MEX RESTAURANTS, INC.

promises to pay to CEDE & CO. or registered assigns,

the principal sum of     
                                                                               
                DOLLARS on                            , 20___.

Interest Payment Dates: January 1 and July 1

Record Dates: December 15 and June 15

Dated:                     , 200___

	 	 	 	 	 
	 	REAL MEX RESTAURANTS, INC.

 	 
	 	By: 	
 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 

	 	 	 	 	 
	This is one of the Notes referred to
in the within-mentioned Indenture:	 	 
	 
	 	 	 	 
	WELLS FARGO BANK, NATIONAL ASSOCIATION, 

as Trustee	 	 
	 
	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Authorized Signatory
	 	 

 

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[Back of Note]

14% Senior Secured Notes due 2013

[Insert the Global Note Legend, if applicable pursuant to the provisions of the Indenture]

[Insert the Private Placement Legend, if applicable pursuant to the provisions of the Indenture]

Capitalized terms used herein have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated.

(1) Interest. Real Mex Restaurants, Inc., a Delaware corporation (the
“Company”), promises to pay interest on the principal amount of this Note at 14% per annum
from
 _____ 
until maturity and shall pay the Liquidated Damages, if any, payable
pursuant to Section 5 of the Registration Rights Agreement referred to below. The Company
will pay interest and Liquidated Damages, if any, semi-annually in arrears on January 1 and
July 1 of each year, or if any such day is not a Business Day, on the next succeeding
Business Day (each, an “Interest Payment Date”). Interest on the Notes will accrue from the
most recent date to which interest has been paid or, if no interest has been paid, from the
date of issuance; provided that if there is no existing Default in the payment of interest,
and if this Note is authenticated between a record date referred to on the face hereof and
the next succeeding Interest Payment Date, interest shall accrue from such next succeeding
Interest Payment Date; provided further that the first Interest Payment Date shall be

 _____. Upon the occurrence of a Capital Expenditure Event as described under Section
4.21 of the Indenture, the Company will pay interest (including post-petition interest in
any proceeding under any Bankruptcy Law) on the Notes at a rate equal to 1% per annum in
excess of the then applicable interest rate on the Notes for the period specified in the
Indenture. The Company will pay interest (including post-petition interest in any proceeding
under any Bankruptcy Law) on overdue principal and premium, if any, from time to time on
demand at a rate that is 1% per annum in excess of the rate then in effect to the extent
lawful; it will pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue installments of interest and Liquidated Damages, if any, (without
regard to any applicable grace periods) from time to time on demand at the same rate to the
extent lawful. Interest will be computed on the basis of a 360-day year of twelve 30-day
months.

(2) Method of Payment. The Company will pay interest on the Notes
(except defaulted interest) and Liquidated Damages, if any, to the Persons who are
registered Holders of Notes at the close of business on the December 15 or June 15 next
preceding the Interest Payment Date, even if such Notes are canceled after such record date
and on or before such Interest Payment Date, except as provided in Section 2.12 of the
Indenture with respect to defaulted interest. The Notes will be payable as to principal,
premium and Liquidated Damages, if any, and interest at the office or agency of the Company
maintained for such purpose within or without the City and State of New York, or, at the
option of the Company, payment of interest and Liquidated Damages, if any, may be made by
check mailed to the Holders at their addresses set forth in the register of Holders;
provided that payment by wire transfer of immediately available funds will be required with
respect to principal of and interest, premium and Liquidated Damages, if any, on, all Global
Notes and all other Notes the Holders of which will have provided wire transfer instructions
to the Company or the Paying Agent. Such payment will be in such coin or currency of the
United States of America as at the time of payment is legal tender for payment of public and
private debts.

(3) Paying Agent and Registrar. Initially, Wells Fargo Bank, National
Association, the Trustee under the Indenture, will act as Paying Agent and Registrar. The
Company may change any Paying Agent or Registrar without notice to any Holder. The Company
or any of its Subsidiaries may act in any such capacity.

(4) Indenture and Security Documents. The Company issued the Notes
under an Indenture dated as of July 7, 2009 (the “Indenture”) among the Company, the
Guarantors and the Trustee. The terms of the Notes include those stated in the Indenture and
those made part of the Indenture by reference to the TIA. The Notes are subject to all such
terms, and Holders are referred to the Indenture and such Act for a statement of such terms.
To the extent any provision of this Note conflicts with the express
provisions of the Indenture, the provisions of the Indenture shall govern and be
controlling. The Notes are secured on a first-priority basis (subject, as to priority, only
to Permitted Prior Liens) by the Lien created by the Security Documents and subject to the
terms of the Indenture and the Intercreditor Agreement.

 

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(5) Optional Redemption.

(a) Except as set forth in subparagraphs (b) and (c) of this Paragraph 5, the Company
will not have the option to redeem the Notes prior to July 1, 2011. On or after July 1,
2011, the Company will have the option to redeem all or part of the Notes upon not less than
30 nor more than 60 days’ notice, at the redemption price (expressed as a percentage of the
principal amount) set forth below, plus accrued and unpaid interest and Liquidated Damages,
if any, on the Notes redeemed to the applicable redemption date, subject to the rights of
Holders on the relevant record date to receive interest on the interest payment date that is
immediately prior to the applicable redemption date.

	 	 	 	 	 
	Year	 	Percentage	 
	July 1, 2011 and thereafter
	 	 	100.000	%

Unless the Company defaults in the payment of the redemption price, interest will cease
to accrue on the Notes or portions thereof called for redemption on the applicable
redemption date.

(b) Notwithstanding the provisions of subparagraph (a) of this Paragraph 5, at any time
prior to July 1, 2011, the Company may on any one or more occasions redeem up to 35% of the
aggregate principal amount of Notes originally issued under the Indenture at a redemption
price of 114.0% of the principal amount, plus accrued and unpaid interest and Liquidated
Damages, if any, to the redemption date, with the net cash proceeds of a sale of Equity
Interests (other than Disqualified Stock) of the Company or a contribution to the Company’s
common equity capital made with the net cash proceeds of an offering of Equity Interests of
any other direct or indirect parent of the Company; provided that:

(1) at least 65% of the aggregate principal amount of Notes originally issued
under the Indenture (excluding Notes held by the Company and its Subsidiaries)
remains outstanding immediately after the occurrence of such redemption; and

(2) the redemption occurs within 90 days of the date of the closing of such
sale of Equity Interests.

(c) At any time prior to July 1, 2011, the Company may also redeem all or a part of the
Notes, upon not less than 30 nor more than 60 days notice, at a redemption price equal to
100% of the principal amount of Notes redeemed plus the Applicable Premium as of, and
accrued and unpaid interest and Liquidated Damages, if any, on the Notes redeemed, to, the
applicable date of redemption, subject to the rights of Holders on the relevant record date
to receive interest due on the relevant interest payment date.

(6) Mandatory Redemption. The Company is not be required to make
mandatory redemption or sinking fund payments with respect to the Notes.

(7) Repurchase at the Option of Holder.

(a) If there is a Change of Control, the Company will be required to make an offer (a
“Change of Control Offer”) to each Holder to repurchase all or any part (equal to $1,000 or
an integral multiple thereof) of each Holder’s Notes at a purchase price in cash equal to
101% of the aggregate principal amount thereof plus accrued and unpaid interest and
Liquidated Damages, if any, thereon to the date of purchase, subject to the rights of
Holders on the relevant record date to receive interest due on the relevant interest payment
date (the “Change of Control Payment”). Within 30 days following any Change of Control, the
Company will mail a notice to each Holder setting forth the procedures governing the Change
of Control Offer as required by the Indenture.

 

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(b) If the Company or a Restricted Subsidiary of the Company does not apply or invest
the Net Proceeds of any Asset Sales as provided in Section 4.10(b), such Net Proceeds will
constitute “Excess Proceeds.” The Company will commence an offer to all Holders of Notes and
all holders of other Indebtedness that is pari passu with the Notes containing provisions
similar to those set forth in the Indenture with respect to offers to purchase or redeem
with the proceeds of sales of assets (an “Asset Sale Offer”) pursuant to Section 3.09 of the
Indenture to purchase the maximum principal amount of Notes and such other pari passu
Indebtedness that may be purchased out of the Excess Proceeds at an offer price in cash in
an amount equal to 100% of the principal amount thereof plus accrued and unpaid interest and
Liquidated Damages, if any, thereon to the date of purchase, in accordance with the
procedures set forth in the Indenture. To the extent that the aggregate amount of Notes and
other pari passu Indebtedness tendered pursuant to an Asset Sale Offer is less than the
Excess Proceeds, the Company (or such Restricted Subsidiary) may use such deficiency for any
purpose not otherwise prohibited by the Indenture. If the aggregate principal amount of
Notes and other pari passu Indebtedness tendered into such Asset Sale Offer exceeds the
amount of Excess Proceeds, the Company shall select the Notes and such other pari passu
Indebtedness to be purchased on a pro rata basis. Holders of Notes that are the subject of
an offer to purchase will receive an Asset Sale Offer from the Company prior to any related
purchase date and may elect to have such Notes purchased by completing the form entitled
“Option of Holder to Elect Purchase” attached to the Notes. The Company will be required to
make the Asset Sale Offer within 30 days after the aggregate amount of Excess Proceeds
exceeds $5.0 million.

(c) Within 90 days after the end of each four fiscal quarter period ending on or near
December 31, beginning in 2009, for which the Excess Cash Flow Offer Amount exceeds $1.0
million as provided in Section 4.22, the Company will send a notice to each holder and the
Trustee (the “Excess Cash Flow Offer”) offering to purchase Notes on the date specified in
the notice, which date will be no earlier than 30 days and no later than 60 days from the
date such notice is sent. The Company will be required to purchase Notes validly tendered in
response to an Excess Cash Flow Offer in accordance with the procedures set forth in the
Indenture and such notice. The offer price will be equal to 100% of principal amount plus
accrued and unpaid interest and Liquidated Damages, if any, to the date of purchase, and
will be payable in cash. If the aggregate principal amount of Notes tendered into such
Excess Cash Flow Offer exceeds the Excess Cash Flow Offer Amount applicable to the Notes,
the Trustee will select the Notes to be purchased on a pro rata basis, by lot or by such
other method as the Trustee deems fair and appropriate. Holders of Notes that are the
subject of an offer to purchase will receive an Excess Cash Flow Offer from the Company
prior to any related purchase date and may elect to have such Notes purchased by completing
the form entitled “Option of Holder to Elect Purchase” attached to the Notes. The Company
will not be required to make an Excess Cash Flow Offer if the Excess Cash Flow Offer Amount
for the relevant period does not exceed $1.0 million; provided that the amount not so used,
if positive, shall be added to the Excess Cash Flow Amount for the next Excess Cash Flow
Offer measurement period. Notwithstanding the foregoing, if the Credit Agreement prohibits
the Company from repurchasing Notes in an Excess Cash Flow Offer, in lieu of making a
required Excess Cash Flow Offer, the Company will deposit and distribute the Excess Cash
Flow Offer Amount in accordance with the terms of the Indenture.

(8) Notice of Redemption. Notice of redemption will be mailed at
least 30 days but not more than 60 days before the redemption date to each Holder whose
Notes are to be redeemed at its registered address, except that redemption notices may be
mailed more than 60 days prior to a redemption date if the notice is issued in connection
with a defeasance of the Notes or a satisfaction or discharge of the Indenture. Notes in
denominations larger than $1,000 may be redeemed in part but only in whole multiples of
$1,000, unless all of the Notes held by a Holder are to be redeemed.

(9) Denominations, Transfer, Exchange. The Notes are in registered
form without coupons in denominations of $1,000 and integral multiples of $1,000. The
transfer of Notes may be registered and Notes may be exchanged as provided in the Indenture.
The Registrar and the Trustee may require a Holder, among other things, to furnish
appropriate endorsements and transfer documents and the Company may require a Holder to pay
any taxes and fees required by law or permitted by the Indenture. The Company need not
exchange or register the transfer of any Note or portion of a Note selected for redemption,
except for the unredeemed portion of any Note being redeemed in part. Also, the Company
need not exchange or register the transfer of any Notes for a period of 15 days before
a selection of Notes to be redeemed or during the period between a record date and the
corresponding Interest Payment Date.

 

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(10) Persons Deemed Owners. The registered Holder of a Note may be
treated as its owner for all purposes.

(11) Amendment, Supplement and Waiver. Subject to certain exceptions,
the Indenture or the Notes or the Note Guarantees may be amended or supplemented with the
consent of the Holders of at least a majority in aggregate principal amount of the then
outstanding Notes, and any existing Default or Event or Default or compliance with any
provision of the Indenture or the Notes or the Note Guarantees may be waived with the
consent of the Holders of a majority in aggregate principal amount of the then outstanding
Notes. Without the consent of any Holder of a Note, the Indenture or the Notes or the Note
Guarantees may be amended or supplemented to cure any ambiguity, defect or inconsistency, to
provide for uncertificated Notes in addition to or in place of certificated Notes, to
provide for the assumption of the Company’s or a Guarantor’s obligations to Holders of the
Notes and Note Guarantees in case of a merger or consolidation or sale of all or
substantially all of the Company’s or such Guarantor’s assets, as applicable, to make any
change that would provide any additional rights or benefits to the Holders of the Notes or
that does not adversely affect the legal rights under the Indenture of any such Holder, to
comply with the requirements of the SEC in order to effect or maintain the qualification of
the Indenture under the TIA, to conform the text of the Indenture, the Security Documents,
the Notes to any provision of the “Description of the Notes” section of the Company’s
Offering Circular dated July 1, 2009, relating to the initial offering of the Notes, to the
extent that such provision in that “Description of the Notes” was intended to be a verbatim
recitation of a provision of the Indenture, the Note Guarantees, the Security Documents or
the Notes, or to allow any Guarantor to execute a supplemental indenture to the Indenture
and/or a Note Guarantee with respect to the Notes or to make, complete or confirm any grant
of Collateral permitted or required by the Indenture or any of the Security Documents or any
release of Collateral that becomes effective as set forth in the Indenture or any of the
Security Documents.

(12) Defaults and Remedies. Events of Default include: (i) default
for 30 days in the payment when due of interest on, or Liquidated Damages, if any, with
respect to the Notes; (ii) default in the payment when due (at maturity, upon redemption or
otherwise) of the principal of, or premium, if any, on, the Notes, (iii) failure by the
Company or any of its Restricted Subsidiaries to comply with Section 4.10, 4.15, 4.22, or
5.01 of the Indenture; (iv) failure by the Company or any of its Restricted Subsidiaries for
45 days after notice to the Company by the Trustee or the Holders of at least 25% in
aggregate principal amount of the Notes then outstanding to comply with the provisions of
Section 4.07 or 4.09 of the Indenture, (v) failure by the Company or any of its Restricted
Subsidiaries for 60 days after notice to the Company by the Trustee or the Holders of at
least 25% in aggregate principal amount of the Notes then outstanding to comply with any of
the other agreements in the Indenture or the Notes or the Security Documents; (vi) defaults
under any mortgage, indenture or instrument under which there may be issued or by which
there may be secured or evidenced any Indebtedness for money borrowed by the Company or any
of its Restricted Subsidiaries (or the payment of which is guaranteed by the Company or any
of its Restricted Subsidiaries), whether such Indebtedness or guarantee exists as of, or is
created after, the date of the Indenture, if that default (A) is caused by a failure to pay
principal of such Indebtedness prior to the expiration of the grace period provided in such
Indebtedness on the date of such default (a “Payment Default”); or (B) results in the
acceleration of such Indebtedness prior to its express maturity, and, in each case, the
principal amount of any such Indebtedness, together with the principal amount of any other
such Indebtedness under which there has been a Payment Default or the maturity of which has
been so accelerated, aggregates $5.0 million or more; (vii) failure by the Company or any of
its Restricted Subsidiaries to pay final and non-appealable judgments entered by a court or
courts of competent jurisdiction aggregating in excess of $5.0 million, which judgments are
not paid, discharged or stayed for a period of 60 days; (viii) certain events of bankruptcy
or insolvency with respect to the Company or any of its Restricted Subsidiaries that is a
Significant Subsidiary or any group of Restricted Subsidiaries that, taken together, would
constitute a Significant Subsidiary; (ix) the occurrence of any of the following: (a) except
as permitted by the Indenture, any Security Document ceases for any reason to be fully
enforceable; provided, that it shall not be an Event of Default if the sole result of the
failure of one or more Security

 

A1-5

 

Documents to be enforceable is that any Note Lien purported
to be granted under such Security Documents on Collateral, individually or in the aggregate, having a Fair Market Value of not more
than $5.0 million ceases to be an enforceable and perfected security interest, subject to no
Liens prior to the Note Liens other than Permitted Prior Liens; (b) any Note Lien purported
to be granted under any Security Document on Collateral, individually or in the aggregate,
having a Fair Market Value in excess of $5.0 million ceases to be an enforceable and
perfected security interest, subject to no Liens prior to the Note Liens other than
Permitted Prior Liens; or (c) the Company or any other Obligor, or any Person acting on
behalf of any of them, denies or disaffirms, in writing, any obligation of the Company or
any other Obligor set forth in or arising under any Security Document; and (x) except as
permitted by the Indenture, any Note Guarantee is held in any judicial proceeding to be
unenforceable or invalid or ceases for any reason to be in full force and effect or any
Guarantor or any Person acting on its behalf denies or disaffirms its obligations under such
Guarantor’s Note Guarantee. If any Event of Default occurs and is continuing, the Trustee or
the Holders of at least 25% in aggregate principal amount of the then outstanding Notes may
declare all the Notes to be due and payable immediately. Notwithstanding the foregoing, in
the case of an Event of Default arising from certain events of bankruptcy or insolvency, all
outstanding Notes will become due and payable immediately without further action or notice.
Holders may not enforce the Indenture or the Notes except as provided in the Indenture.
Subject to certain limitations, Holders of a majority in aggregate principal amount of the
then outstanding Notes may direct the Trustee in its exercise of any trust or power. The
Trustee may withhold from Holders of the Notes notice of any continuing Default or Event of
Default (except a Default or Event of Default relating to the payment of principal or
interest or premium or Liquidated Damages, if any,) if it determines that withholding notice
is in their interest. The Holders of a majority in aggregate principal amount of the then
outstanding Notes by written notice to the Trustee may, on behalf of the Holders of all of
the Notes, rescind an acceleration or waive any existing Default or Event of Default and its
consequences under the Indenture, including any related Payment Default that resulted from
such acceleration if the rescission would not conflict with any judgment or decree and if
all existing Events of Default (except nonpayment of principal, interest or premium or
Liquidated Damages, if any, that has become due solely because of the acceleration) have
been cured or waived. The Company is required to deliver to the Trustee annually a statement
regarding compliance with the Indenture, and the Company is required, upon becoming aware of
any Default or Event of Default, to deliver to the Trustee a statement specifying such
Default or Event of Default.

(13) Trustee Dealings with Company. The Trustee, in its individual or
any other capacity, may make loans to, accept deposits from, and perform services for the
Company or its Affiliates, and may otherwise deal with the Company or its Affiliates, as if
it were not the Trustee.

(14) No Recourse Against Others. A director, officer, employee,
incorporator or stockholder of the Company or any of the Guarantors, as such, will not have
any liability for any obligations of the Company or the Guarantors under the Notes, the Note
Guarantees, the Security Documents, the Intercreditor Agreement or the Indenture or for any
claim based on, in respect of, or by reason of, such obligations or their creation. Each
Holder by accepting a Note waives and releases all such liability. The waiver and release
are part of the consideration for the issuance of the Notes.

(15) Authentication. This Note will not be valid until authenticated
by the manual signature of the Trustee or an authenticating agent.

(16) Abbreviations. Customary abbreviations may be used in the name
of a Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by
the entireties), JT TEN (= joint tenants with right of survivorship and not as tenants in
common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

(17) Additional Rights of Holders of Restricted Global Notes and
Restricted Definitive Notes. In addition to the rights provided to Holders of Notes
under the Indenture, Holders of Restricted Global Notes and Restricted Definitive Notes will
have all the rights set forth in the Registration Rights Agreement dated as of July 7, 2009,
among the Company, the Guarantors and the other parties named on the signature pages thereof
(the “Registration Rights Agreement”).

 

A1-6

 

(18) Cusip Numbers. Pursuant to a recommendation promulgated by the
Committee on Uniform Security Identification Procedures, the Company has caused CUSIP
numbers to be printed on the Notes, and the Trustee may use CUSIP numbers in notices of
redemption as a convenience to Holders. No representation is made as to the accuracy of such
numbers either as printed on the Notes or as contained in any notice of redemption, and
reliance may be placed only on the other identification numbers placed thereon.

(19) GOVERNING LAW. THE INTERNAL LAW OF THE STATE OF NEW YORK WILL GOVERN AND BE USED
TO CONSTRUE THE INDENTURE, THIS NOTE AND THE NOTE GUARANTEES WITHOUT GIVING EFFECT TO
APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF
ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

The Company will furnish to any Holder upon written request and without charge a copy of the
Indenture and/or the Registration Rights Agreement. Requests may be made to:

Real Mex Restaurants, Inc.

5660 Katella Avenue, Suite 100

Cypress, California 90630

Attention: Steven Tanner

 

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Assignment Form

To assign this Note, fill in the form below:

	 	 	 
	(I) or (we) assign and transfer this Note to:
	 	 
	 

	 	 
	 

	 	(Insert assignee’s legal name)

 
 (Insert assignee’s soc. sec. or tax I.D. no.)

 

 

 

 
(Print or type assignee’s name, address and zip code)

	 	 	 
	and irrevocably appoint
	 	 
	 

	 	 
	to transfer this Note on the books of the Company. The agent may substitute another to act for him.

Date:                    

	 	 	 	 	 	 	 
	 

	 	Your Signature:	 	 	 	 
	 

	 	 	 	 

(Sign exactly as your name appears on the face of this Note)
	 	 

Signature Guarantee*:                                                            

	 	 	 
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

 

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Option Of Holder To Elect Purchase

If you want to elect to have this Note purchased by the Company pursuant to Section 4.10, 4.15
or 4.22 of the Indenture, check the appropriate box below:

	 	 	 	 	 
	o Section 4.10
	 	o Section 4.15
	 	o Section 4.22

If you want to elect to have only part of the Note purchased by the Company pursuant to
Section 4.10, 4.15 or 4.22 of the Indenture, state the amount you elect to have purchased:

$                    

Date:                    

	 	 	 	 	 	 	 
	 

	 	Your Signature:	 	 	 	 
	 

	 	 	 

(Sign exactly as your name appears on the face of this Note)
	 	 
	 
	 	 	 	 	 	 
	 

	 	Tax Identification No.: 	 	 	 
	 

	 	 	 	 

	 	 

Signature Guarantee*:                                                            

	 	 	 
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

 

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Schedule Of Exchanges Of Interests In The Global Note 

The following exchanges of a part of this Global Note for an interest in another Global Note
or for a Definitive Note, or exchanges of a part of another Global Note or Definitive Note for an
interest in this Global Note, have been made:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Principal Amount	 	 	 	 
	 	 	Amount of decrease in	 	 	Amount of increase in	 	 	[at maturity] of this	 	 	 	 
	 	 	Principal Amount	 	 	Principal Amount	 	 	Global Note following	 	 	Signature of authorized	 
	 	 	[at maturity] of	 	 	[at maturity] of	 	 	such decrease	 	 	officer of Trustee or	 
	Date of Exchange	 	this Global Note	 	 	this Global Note	 	 	(or increase)	 	 	Custodian	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

	 	 	 
	*	 	This schedule should be
included only if the Note is issued in global form.

 

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[Face of Regulation S Temporary Global Note]

CUSIP/CINS                    

14% Senior Secured Notes due 2013

			
	 	 	 
	No.                    
	 	$                    

REAL MEX RESTAURANTS, INC.

promises to pay to CEDE & CO. or registered assigns,

the principal sum of                                                          
                                   DOLLARS on
                                   , 20___.

Interest Payment Dates: January 1 and July 1

Record Dates: December 15 and June 15

Dated:                     , 200___

	 	 	 	 	 
	 	REAL MEX RESTAURANTS, INC.

 	 
	 	By: 	
 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 

	 	 	 	 	 
	This is one of the Notes referred to
in the within-mentioned Indenture:	 	 
	 
	 	 	 	 
	WELLS FARGO BANK, NATIONAL ASSOCIATION, 

as Trustee	 	 
	 
	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Authorized Signatory
	 	 

 

A2-1

 

[Back of Regulation S Temporary Global Note]

14% Senior Secured Notes due 2013

THE RIGHTS ATTACHING TO THIS REGULATION S TEMPORARY GLOBAL NOTE, AND THE CONDITIONS AND PROCEDURES
GOVERNING ITS EXCHANGE FOR CERTIFICATED NOTES, ARE AS SPECIFIED IN THE INDENTURE (AS DEFINED
HEREIN). NEITHER THE HOLDER NOR THE BENEFICIAL OWNERS OF THIS REGULATION S TEMPORARY GLOBAL NOTE
SHALL BE ENTITLED TO RECEIVE PAYMENT OF INTEREST HEREON.

THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING THIS NOTE) OR ITS
NOMINEE IN CUSTODY FOR THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY
PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (1) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS MAY BE
REQUIRED PURSUANT TO SECTION 2.06 OF THE INDENTURE, (2) THIS GLOBAL NOTE MAY BE EXCHANGED IN WHOLE
BUT NOT IN PART PURSUANT TO SECTION 2.06(a) OF THE INDENTURE, (3) THIS GLOBAL NOTE MAY BE DELIVERED
TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION 2.11 OF THE INDENTURE AND (4) THIS GLOBAL NOTE
MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITARY WITH THE PRIOR WRITTEN CONSENT OF REAL MEX
RESTAURANTS, INC.

UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY
NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A
NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE
DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY.
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY (55 WATER STREET, NEW YORK, NEW YORK) (“DTC”), TO THE COMPANY OR ITS AGENT FOR REGISTRATION
OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE &
CO. OR SUCH OTHER NAME AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT
IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF
DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS
WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR ANY STATE SECURITIES LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN
MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED OR OTHERWISE DISPOSED OF IN THE
ABSENCE OF SUCH REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT SUBJECT TO,
REGISTRATION.

THE HOLDER OF THIS SECURITY BY ITS ACCEPTANCE HEREOF (1) REPRESENTS THAT (A) IT IS A “QUALIFIED
INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT), (B) IT IS A NON-U.S.
PURCHASER AND IS ACQUIRING THIS SECURITY IN AN OFFSHORE TRANSACTION WITHIN THE MEANING OF
REGULATION S UNDER THE SECURITIES ACT, OR (C) IT IS AN INSTITUTIONAL “ACCREDITED INVESTOR” WITHIN
THE MEANING OF SUBPARAGRAPH (a)(1), (2), (3) OR (7) OF RULE 501 UNDER THE SECURITIES ACT, AND (2)
AGREES TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE DATE (THE “RESALE
RESTRICTION TERMINATION DATE”) WHICH IS ONE YEAR AFTER THE LATER OF THE ORIGINAL ISSUE DATE HEREOF
AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF THIS
SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY), ONLY (A) TO THE COMPANY OR ANY OF ITS SUBSIDIARIES,
(B) PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
ACT, (C) FOR SO LONG AS THE NOTES ARE ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, TO A PERSON IT
REASONABLY BELIEVES IS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A UNDER THE
SECURITIES ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL
BUYER TO WHOM NOTICE IS GIVEN

 

A2-2

 

THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND SALES TO NON-U.S. PURCHASERS THAT OCCUR
OUTSIDE THE UNITED STATES WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT, (E) TO AN
INSTITUTIONAL “ACCREDITED INVESTOR” WITHIN THE MEANING OF SUBPARAGRAPH (a)(1), (2), (3) OR (7) OF
RULE 501 UNDER THE SECURITIES ACT THAT IS ACQUIRING THE SECURITY FOR ITS OWN ACCOUNT, OR FOR THE
ACCOUNT OF SUCH AN INSTITUTIONAL ACCREDITED INVESTOR, FOR INVESTMENT PURPOSES AND NOT WITH A VIEW
TO, OR FOR OFFER OR SALE IN CONNECTION WITH, ANY DISTRIBUTION IN VIOLATION OF THE SECURITIES ACT OR
(F) PURSUANT TO ANOTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT, SUBJECT TO THE COMPANY’S AND THE TRUSTEE’S, OR TRANSFER AGENT’S, AS APPLICABLE, RIGHT PRIOR TO
ANY SUCH OFFER, SALE OR TRANSFER PURSUANT TO CLAUSES (D), (E), OR (F) TO REQUIRE THE DELIVERY OF AN
OPINION OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO EACH OF THEM, AND IN
EACH OF THE FOREGOING CASES, A CERTIFICATE OF TRANSFER IN THE FORM APPEARING ON THE OTHER SIDE OF
THIS SECURITY IS COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE OR TRANSFER AGENT, AND IN
EACH CASE IN ACCORDANCE WITH APPLICABLE SECURITIES LAWS OF ANY U.S. STATE OR ANY OTHER APPLICABLE
JURISDICTION. THIS LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER AFTER THE RESALE
RESTRICTION TERMINATION DATE.

Capitalized terms used herein have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated.

(1) Interest. Real Mex Restaurants, Inc., a Delaware corporation (the
“Company”), promises to pay interest on the principal amount of this Note at 14% per annum
from
 _____ 
until maturity and shall pay the Liquidated Damages, if any, payable
pursuant to Section 5 of the Registration Rights Agreement referred to below. The Company
will pay interest and Liquidated Damages, if any, semi-annually in arrears on January 1 and
July 1 of each year, or if any such day is not a Business Day, on the next succeeding
Business Day (each, an “Interest Payment Date”). Interest on the Notes will accrue from the
most recent date to which interest has been paid or, if no interest has been paid, from the
date of issuance; provided that if there is no existing Default in the payment of interest,
and if this Note is authenticated between a record date referred to on the face hereof and
the next succeeding Interest Payment Date, interest shall accrue from such next succeeding
Interest Payment Date; provided further that the first Interest Payment Date shall be
 _____. Upon the occurrence of a Capital Expenditure Event as described under Section
4.21 of the Indenture, the Company will pay interest (including post-petition interest in
any proceeding under any Bankruptcy Law) on the Notes at a rate equal to 1% per annum in
excess of the then applicable interest rate on the Notes for the period specified in the
Indenture. The Company will pay interest (including post-petition interest in any proceeding
under any Bankruptcy Law) on overdue principal and premium, if any, from time to time on
demand at a rate that is 1% per annum in excess of the rate then in effect to the extent
lawful; it will pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue installments of interest and Liquidated Damages, if any, (without
regard to any applicable grace periods) from time to time on demand at the same rate to the
extent lawful. Interest will be computed on the basis of a 360-day year of twelve 30-day
months.

(2) Method of Payment. The Company will pay interest on the Notes
(except defaulted interest) and Liquidated Damages, if any, to the Persons who are
registered Holders of Notes at the close of business on the December 15 or June 15 next
preceding the Interest Payment Date, even if such Notes are canceled after such record date
and on or before such Interest Payment Date, except as provided in Section 2.12 of the
Indenture with respect to defaulted interest. The Notes will be payable as to principal,
premium and Liquidated Damages, if any, and interest at the office or agency of the Company
maintained for such purpose within or without the City and State of New York, or, at the
option of the Company, payment of interest and Liquidated Damages, if any, may be made by
check mailed to the Holders at their addresses set forth in the register of Holders;
provided that payment by wire transfer of immediately available funds will be required with
respect to principal of and interest, premium and Liquidated Damages, if any, on, all Global
Notes and all other Notes the Holders of which will have provided wire transfer instructions
to the Company or the Paying Agent. Such payment will be in such coin or currency of the
United States of America as at the time of payment is legal tender for payment of public and
private debts.

 

A2-3

 

(3) Paying Agent and Registrar. Initially, Wells Fargo Bank, National
Association, the Trustee under the Indenture, will act as Paying Agent and Registrar. The
Company may change any Paying Agent or Registrar without notice to any Holder. The Company
or any of its Subsidiaries may act in any such capacity.

(4) Indenture and Security Documents. The Company issued the Notes
under an Indenture dated as of July 7, 2009 (the “Indenture”) among the Company, the
Guarantors and the Trustee. The terms of the Notes include those stated in the Indenture and
those made part of the Indenture by reference to the TIA. The Notes are subject to all such
terms, and Holders are referred to the Indenture and such Act for a statement of such terms.
To the extent any provision of this Note conflicts with the express provisions of the
Indenture, the provisions of the Indenture shall govern and be controlling. The Notes are
secured on a first-priority basis (subject, as to priority, only to Permitted Prior Liens)
by the Lien created by the Security Documents and subject to the terms of the Indenture and
the Intercreditor Agreement.

(5) Optional Redemption.

(a) Except as set forth in subparagraphs (b) and (c) of this Paragraph 5, the Company
will not have the option to redeem the Notes prior to July 1, 2011. On or after July 1,
2011, the Company will have the option to redeem all or part of the Notes upon not less than
30 nor more than 60 days’ notice, at the redemption price (expressed as a percentage of the
principal amount) set forth below, plus accrued and unpaid interest and Liquidated Damages,
if any, on the Notes redeemed to the applicable redemption date, subject to the rights of
Holders on the relevant record date to receive interest on the interest payment date that is
immediately prior to the applicable redemption date.

	 	 	 	 	 
	Year	 	Percentage	 
	July 1, 2011 and thereafter
	 	 	100.000	%

Unless the Company defaults in the payment of the redemption price, interest will cease
to accrue on the Notes or portions thereof called for redemption on the applicable
redemption date.

(b) Notwithstanding the provisions of subparagraph (a) of this Paragraph 5, at any time
prior to July 1, 2011, the Company may on any one or more occasions redeem up to 35% of the
aggregate principal amount of Notes originally issued under the Indenture at a redemption
price of 114.0% of the principal amount, plus accrued and unpaid interest and Liquidated
Damages, if any, to the redemption date, with the net cash proceeds of a sale of Equity
Interests (other than Disqualified Stock) of the Company or a contribution to the Company’s
common equity capital made with the net cash proceeds of an offering of Equity Interests of
any other direct or indirect parent of the Company; provided that:

(1) at least 65% of the aggregate principal amount of Notes originally issued
under the Indenture (excluding Notes held by the Company and its Subsidiaries)
remains outstanding immediately after the occurrence of such redemption; and

(2) the redemption occurs within 90 days of the date of the closing of such
sale of Equity Interests.

(c) At any time prior to July 1, 2011, the Company may also redeem all or a part of the
Notes, upon not less than 30 nor more than 60 days notice, at a redemption price equal to
100% of the principal amount of Notes redeemed plus the Applicable Premium as of, and
accrued and unpaid interest and Liquidated Damages, if any, on the Notes redeemed, to, the
applicable date of redemption, subject to the rights of Holders on the relevant record date
to receive interest due on the relevant interest payment date.

(6) Mandatory Redemption. The Company is not be required to make
mandatory redemption or sinking fund payments with respect to the Notes.

 

A2-4

 

(7) Repurchase at the Option of Holder.

(a) If there is a Change of Control, the Company will be required to make an offer (a
“Change of Control Offer”) to each Holder to repurchase all or any part (equal to $1,000 or
an integral multiple thereof) of each Holder’s Notes at a purchase price in cash equal to
101% of the aggregate principal amount thereof plus accrued and unpaid interest and
Liquidated Damages, if any, thereon to the date of purchase, subject to the rights of
Holders on the relevant record date to receive interest due on the relevant interest payment
date (the “Change of Control Payment”). Within 30 days following any Change of Control, the
Company will mail a notice to each Holder setting forth the procedures governing the Change
of Control Offer as required by the Indenture.

(b) If the Company or a Restricted Subsidiary of the Company does not apply or invest
the Net Proceeds of any Asset Sales as provided in Section 4.10(b), such Net Proceeds will
constitute “Excess Proceeds.” The Company will commence an offer to all Holders of Notes and
all holders of other Indebtedness that is pari passu with the Notes containing provisions
similar to those set forth in the Indenture with respect to offers to purchase or redeem
with the proceeds of sales of assets (an “Asset Sale Offer”) pursuant to Section 3.09 of the
Indenture to purchase the maximum principal amount of Notes and such other pari passu
Indebtedness that may be purchased out of the Excess Proceeds at an offer price in cash in
an amount equal to 100% of the principal amount thereof plus accrued and unpaid interest and
Liquidated Damages, if any, thereon to the date of purchase, in accordance with the
procedures set forth in the Indenture. To the extent that the aggregate amount of Notes and
other pari passu Indebtedness tendered pursuant to an Asset Sale Offer is less than the
Excess Proceeds, the Company (or such Restricted Subsidiary) may use such deficiency for any
purpose not otherwise prohibited by the Indenture. If the aggregate principal amount of
Notes and other pari passu Indebtedness tendered into such Asset Sale Offer exceeds the
amount of Excess Proceeds, the Company shall select the Notes and such other pari passu
Indebtedness to be purchased on a pro rata basis. Holders of Notes that are the subject of
an offer to purchase will receive an Asset Sale Offer from the Company prior to any related
purchase date and may elect to have such Notes purchased by completing the form entitled
“Option of Holder to Elect Purchase” attached to the Notes. The Company will be required to
make the Asset Sale Offer within 30 days after the aggregate amount of Excess Proceeds
exceeds $5.0 million.

(c) Within 90 days after the end of each four fiscal quarter period ending on or near
December 31, beginning in 2009, for which the Excess Cash Flow Offer Amount exceeds $1.0
million as provided in Section 4.22, the Company will send a notice to each holder and the
Trustee (the “Excess Cash Flow Offer”) offering to purchase Notes on the date specified in
the notice, which date will be no earlier than 30 days and no later than 60 days from the
date such notice is sent. The Company will be required to purchase Notes validly tendered in
response to an Excess Cash Flow Offer in accordance with the procedures set forth in the
Indenture and such notice. The offer price will be equal to 100% of principal amount plus
accrued and unpaid interest and Liquidated Damages, if any, to the date of purchase, and
will be payable in cash. If the aggregate principal amount of Notes tendered into such
Excess Cash Flow Offer exceeds the Excess Cash Flow Offer Amount applicable to the Notes,
the Trustee will select the Notes to be purchased on a pro rata basis, by lot or by such
other method as the Trustee deems fair and appropriate. Holders of Notes that are the
subject of an offer to purchase will receive an Excess Cash Flow Offer from the Company
prior to any related purchase date and may elect to have such Notes purchased by completing
the form entitled “Option of Holder to Elect Purchase” attached to the Notes. The Company
will not be required to make an Excess Cash Flow Offer if the Excess Cash Flow Offer Amount
for the relevant period does not exceed $1.0 million; provided that the amount not so used,
if positive, shall be added to the Excess Cash Flow Amount for the next Excess Cash Flow
Offer measurement period. Notwithstanding the foregoing, if the Credit Agreement prohibits
the Company from repurchasing Notes in an Excess Cash Flow Offer, in lieu of making a
required Excess Cash Flow Offer, the Company will deposit and distribute the Excess Cash
Flow Offer Amount in accordance with the terms of the Indenture.

(8) Notice of Redemption. Notice of redemption will be mailed at
least 30 days but not more than 60 days before the redemption date to each Holder whose
Notes are to be redeemed at its registered address, except that redemption notices may be
mailed more than 60 days prior to a redemption date if the notice is issued in connection
with a defeasance of the Notes or a satisfaction or discharge of the
Indenture. Notes in denominations larger than $1,000 may be redeemed in part but only
in whole multiples of $1,000, unless all of the Notes held by a Holder are to be redeemed.

 

A2-5

 

(9) Denominations, Transfer, Exchange. The Notes are in registered
form without coupons in denominations of $1,000 and integral multiples of $1,000. The
transfer of Notes may be registered and Notes may be exchanged as provided in the Indenture.
The Registrar and the Trustee may require a Holder, among other things, to furnish
appropriate endorsements and transfer documents and the Company may require a Holder to pay
any taxes and fees required by law or permitted by the Indenture. The Company need not
exchange or register the transfer of any Note or portion of a Note selected for redemption,
except for the unredeemed portion of any Note being redeemed in part. Also, the Company need
not exchange or register the transfer of any Notes for a period of 15 days before a
selection of Notes to be redeemed or during the period between a record date and the
corresponding Interest Payment Date.

(10) Persons Deemed Owners. The registered Holder of a Note may be
treated as its owner for all purposes.

(11) Amendment, Supplement and Waiver. Subject to certain exceptions,
the Indenture or the Notes or the Note Guarantees may be amended or supplemented with the
consent of the Holders of at least a majority in aggregate principal amount of the then
outstanding Notes, and any existing Default or Event or Default or compliance with any
provision of the Indenture or the Notes or the Note Guarantees may be waived with the
consent of the Holders of a majority in aggregate principal amount of the then outstanding
Notes. Without the consent of any Holder of a Note, the Indenture or the Notes or the Note
Guarantees may be amended or supplemented to cure any ambiguity, defect or inconsistency, to
provide for uncertificated Notes in addition to or in place of certificated Notes, to
provide for the assumption of the Company’s or a Guarantor’s obligations to Holders of the
Notes and Note Guarantees in case of a merger or consolidation or sale of all or
substantially all of the Company’s or such Guarantor’s assets, as applicable, to make any
change that would provide any additional rights or benefits to the Holders of the Notes or
that does not adversely affect the legal rights under the Indenture of any such Holder, to
comply with the requirements of the SEC in order to effect or maintain the qualification of
the Indenture under the TIA, to conform the text of the Indenture, the Security Documents,
the Notes to any provision of the “Description of the Notes” section of the Company’s
Offering Circular dated July 1, 2009, relating to the initial offering of the Notes, to the
extent that such provision in that “Description of the Notes” was intended to be a verbatim
recitation of a provision of the Indenture, the Note Guarantees, the Security Documents or
the Notes, or to allow any Guarantor to execute a supplemental indenture to the Indenture
and/or a Note Guarantee with respect to the Notes or to make, complete or confirm any grant
of Collateral permitted or required by the Indenture or any of the Security Documents or any
release of Collateral that becomes effective as set forth in the Indenture or any of the
Security Documents.

(12) Defaults and Remedies. Events of Default include: (i) default
for 30 days in the payment when due of interest on, or Liquidated Damages, if any, with
respect to the Notes; (ii) default in the payment when due (at maturity, upon redemption or
otherwise) of the principal of, or premium, if any, on, the Notes, (iii) failure by the
Company or any of its Restricted Subsidiaries to comply with Section 4.10, 4.15, 4.22, or
5.01 of the Indenture; (iv) failure by the Company or any of its Restricted Subsidiaries for
45 days after notice to the Company by the Trustee or the Holders of at least 25% in
aggregate principal amount of the Notes then outstanding to comply with the provisions of
Section 4.07 or 4.09 of the Indenture, (v) failure by the Company or any of its Restricted
Subsidiaries for 60 days after notice to the Company by the Trustee or the Holders of at
least 25% in aggregate principal amount of the Notes then outstanding to comply with any of
the other agreements in the Indenture or the Notes or the Security Documents; (vi) defaults
under any mortgage, indenture or instrument under which there may be issued or by which
there may be secured or evidenced any Indebtedness for money borrowed by the Company or any
of its Restricted Subsidiaries (or the payment of which is guaranteed by the Company or any
of its Restricted Subsidiaries), whether such Indebtedness or guarantee exists as of, or is
created after, the date of the Indenture, if that default (A) is caused by a failure to pay
principal of such Indebtedness prior to the expiration of the grace period provided in such
Indebtedness on the date of such default (a “Payment Default”); or (B) results in the
acceleration of such Indebtedness prior to its express maturity, and, in each case, the
principal amount of any such Indebtedness, together

 

A2-6

 

with the principal amount of any other
such Indebtedness under which there has been a Payment Default or the maturity of which has
been so accelerated, aggregates $5.0 million or more; (vii) failure by the Company or any of
its Restricted Subsidiaries to pay final and non-appealable judgments entered by a court or
courts of competent jurisdiction aggregating in excess of $5.0 million, which judgments are
not paid, discharged or stayed for a period of 60 days; (viii) certain events of bankruptcy
or insolvency with respect to the Company or any of its Restricted Subsidiaries that is a
Significant Subsidiary or any group of Restricted Subsidiaries that, taken together, would
constitute a Significant Subsidiary; (ix) the occurrence of any of the following: (a) except
as permitted by the Indenture, any Security Document ceases for any reason to be fully
enforceable; provided, that it shall not be an Event of Default if the sole result of the
failure of one or more Security Documents to be enforceable is that any Note Lien purported
to be granted under such Security Documents on Collateral, individually or in the aggregate,
having a Fair Market Value of not more than $5.0 million ceases to be an enforceable and
perfected security interest, subject to no Liens prior to the Note Liens other than
Permitted Prior Liens; (b) any Note Lien purported to be granted under any Security Document
on Collateral, individually or in the aggregate, having a Fair Market Value in excess of
$5.0 million ceases to be an enforceable and perfected security interest, subject to no
Liens prior to the Note Liens other than Permitted Prior Liens; or (c) the Company or any
other Obligor, or any Person acting on behalf of any of them, denies or disaffirms, in
writing, any obligation of the Company or any other Obligor set forth in or arising under
any Security Document; and (x) except as permitted by the Indenture, any Note Guarantee is
held in any judicial proceeding to be unenforceable or invalid or ceases for any reason to
be in full force and effect or any Guarantor or any Person acting on its behalf denies or
disaffirms its obligations under such Guarantor’s Note Guarantee. If any Event of Default
occurs and is continuing, the Trustee or the Holders of at least 25% in aggregate principal
amount of the then outstanding Notes may declare all the Notes to be due and payable
immediately. Notwithstanding the foregoing, in the case of an Event of Default arising from
certain events of bankruptcy or insolvency, all outstanding Notes will become due and
payable immediately without further action or notice. Holders may not enforce the Indenture
or the Notes except as provided in the Indenture. Subject to certain limitations, Holders of
a majority in aggregate principal amount of the then outstanding Notes may direct the
Trustee in its exercise of any trust or power. The Trustee may withhold from Holders of the
Notes notice of any continuing Default or Event of Default (except a Default or Event of
Default relating to the payment of principal or interest or premium or Liquidated Damages,
if any,) if it determines that withholding notice is in their interest. The Holders of a
majority in aggregate principal amount of the then outstanding Notes by written notice to
the Trustee may, on behalf of the Holders of all of the Notes, rescind an acceleration or
waive any existing Default or Event of Default and its consequences under the Indenture,
including any related Payment Default that resulted from such acceleration if the rescission
would not conflict with any judgment or decree and if all existing Events of Default (except
nonpayment of principal, interest or premium or Liquidated Damages, if any, that has become
due solely because of the acceleration) have been cured or waived. The Company is required
to deliver to the Trustee annually a statement regarding compliance with the Indenture, and
the Company is required, upon becoming aware of any Default or Event of Default, to deliver
to the Trustee a statement specifying such Default or Event of Default.

(13) Trustee Dealings with Company. The Trustee, in its individual or
any other capacity, may make loans to, accept deposits from, and perform services for the
Company or its Affiliates, and may otherwise deal with the Company or its Affiliates, as if
it were not the Trustee.

(14) No Recourse Against Others. A director, officer, employee,
incorporator or stockholder of the Company or any of the Guarantors, as such, will not have
any liability for any obligations of the Company or the Guarantors under the Notes, the Note
Guarantees, the Security Documents, the Intercreditor Agreement or the Indenture or for any
claim based on, in respect of, or by reason of, such obligations or their creation. Each
Holder by accepting a Note waives and releases all such liability. The waiver and release
are part of the consideration for the issuance of the Notes.

(15) Authentication. This Note will not be valid until authenticated
by the manual signature of the Trustee or an authenticating agent.

(16) Abbreviations. Customary abbreviations may be used in the name
of a Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by
the entireties), JT TEN (=
joint tenants with right of survivorship and not as tenants in common), CUST (=
Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

 

A2-7

 

(17) Additional Rights of Holders of Restricted Global Notes and
Restricted Definitive Notes. In addition to the rights provided to Holders of Notes
under the Indenture, Holders of Restricted Global Notes and Restricted Definitive Notes will
have all the rights set forth in the Registration Rights Agreement dated as of July 7, 2009,
among the Company, the Guarantors and the other parties named on the signature pages thereof
(the “Registration Rights Agreement”).

(18) Cusip Numbers. Pursuant to a recommendation promulgated by the
Committee on Uniform Security Identification Procedures, the Company has caused CUSIP
numbers to be printed on the Notes, and the Trustee may use CUSIP numbers in notices of
redemption as a convenience to Holders. No representation is made as to the accuracy of such
numbers either as printed on the Notes or as contained in any notice of redemption, and
reliance may be placed only on the other identification numbers placed thereon.

(19) GOVERNING LAW. THE INTERNAL LAW OF THE STATE OF NEW YORK WILL GOVERN AND BE USED
TO CONSTRUE THE INDENTURE, THIS NOTE AND THE NOTE GUARANTEES WITHOUT GIVING EFFECT TO
APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF
ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

The Company will furnish to any Holder upon written request and without charge a copy of the
Indenture and/or the Registration Rights Agreement. Requests may be made to:

Real Mex Restaurants, Inc.

5660 Katella Avenue, Suite 100

Cypress, California 90630

Attention: Steven Tanner

 

A2-8

 

Assignment Form

To assign this Note, fill in the form below:

	 	 	 
	(I) or (we) assign and transfer this Note to:
	 	 
	 

	 	 
	 

	 	(Insert assignee’s legal name)

 
(Insert assignee’s soc. sec. or tax I.D. no.)

 

 

 

 
(Print or type assignee’s name, address and zip code)

	 	 	 
	and irrevocably appoint
	 	 
	 

	 	 
	to transfer this Note on the books of the Company. The agent may substitute another to act for him.

Date:                    

	 	 	 	 	 	 	 
	 

	 	Your Signature:	 	 	 	 
	 

	 	 	 	 

(Sign exactly as your name appears on the face of this Note)
	 	 

Signature Guarantee*:                                                            

	 	 	 
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

 

A2-9

 

Option Of Holder To Elect Purchase

If you want to elect to have this Note purchased by the Company pursuant to Section 4.10, 4.15
or 4.22 of the Indenture, check the appropriate box below:

	 	 	 	 	 
	o Section 4.10
	 	o Section 4.15
	 	o Section 4.22

If you want to elect to have only part of the Note purchased by the Company pursuant to
Section 4.10, 4.15 or 4.22 of the Indenture, state the amount you elect to have purchased:

$                    

Date:                    

	 	 	 	 	 	 	 
	 

	 	Your Signature:	 	 	 	 
	 

	 	 	 

(Sign exactly as your name appears on the face of this Note)
	 	 
	 
	 	 	 	 	 	 
	 

	 	Tax Identification No.: 	 	 	 
	 

	 	 	 	 

	 	 

Signature Guarantee*:                                                            

	 	 	 
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor
acceptable to the Trustee).

 

A2-10

 

Schedule Of Exchanges Of Interests In The Regulation S Temporary

Global Note 

The following exchanges of a part of this Global Note for an interest in another Global Note
or for a Definitive Note, or exchanges of a part of another Global Note or Definitive Note for an
interest in this Global Note, have been made:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Principal Amount	 	 	 	 
	 	 	Amount of decrease in	 	 	Amount of increase in	 	 	[at maturity] of this	 	 	 	 
	 	 	Principal Amount	 	 	Principal Amount	 	 	Global Note following	 	 	Signature of authorized	 
	 	 	[at maturity] of	 	 	[at maturity] of	 	 	such decrease	 	 	officer of Trustee or	 
	Date of Exchange	 	this Global Note	 	 	this Global Note	 	 	(or increase)	 	 	Custodian	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

A2-11

 

EXHIBIT B

FORM OF CERTIFICATE OF TRANSFER

Real Mex Restaurants, Inc.

5660 Katella Avenue, Suite 100

Cypress, California 90630

Attention: Steven Tanner

Wells Fargo Bank, National Association

707 Wilshire Boulevard, 17th Floor

Los Angeles, CA 90017

Attention: Maddy Hall

Re: 14% Senior Secured Notes due 2013:

Reference is hereby made to the Indenture, dated as of July 7, 2009 (the “Indenture”), among
Real Mex Restaurants, Inc., as issuer (the “Company”), the Guarantors party thereto and Wells Fargo
Bank, National Association., as Trustee. Capitalized terms used but not defined herein shall have
the meanings given to them in the Indenture.

                    , (the “Transferor”) owns and proposes to transfer the
Note[s] or interest in such Note[s] specified in Annex A hereto, in the principal amount of $                     in
such Note[s] or interests (the
“Transfer”), to                      (the “Transferee”), as further specified in Annex A hereto. In connection with the
Transfer, the Transferor hereby certifies that:

[CHECK ALL THAT APPLY]

1. o Check if Transferee will take delivery of a beneficial interest in the 144A Global Note
or a Restricted Definitive Note pursuant to Rule 144A. The Transfer is being effected pursuant
to and in accordance with Rule 144A under the Securities Act of 1933, as amended (the “Securities
Act”), and, accordingly, the Transferor hereby further certifies that the beneficial interest or
Definitive Note is being transferred to a Person that the Transferor reasonably believes is
purchasing the beneficial interest or Definitive Note for its own account, or for one or more
accounts with respect to which such Person exercises sole investment discretion, and such Person
and each such account is a “qualified institutional buyer” within the meaning of Rule 144A in a
transaction meeting the requirements of Rule 144A, and such Transfer is in compliance with any
applicable blue sky securities laws of any state of the United States. Upon consummation of the
proposed Transfer in accordance with the terms of the Indenture, the transferred beneficial
interest or Definitive Note will be subject to the restrictions on transfer enumerated in the
Private Placement Legend printed on the 144A Global Note and/or the Restricted Definitive Note and
in the Indenture and the Securities Act.

2. o Check if Transferee will take delivery of a beneficial interest in the Regulation S
Temporary Global Note, the Regulation S Permanent Global Note or a Restricted Definitive Note
pursuant to Regulation S. The Transfer is being effected pursuant to and in accordance with
Rule 903 or Rule 904 under the Securities Act and, accordingly, the Transferor hereby further
certifies that (i) the Transfer is not being made to a Person in the United States and (x) at the
time the buy order was originated, the Transferee was outside the United States or such Transferor
and any Person acting on its behalf reasonably believed and believes that the Transferee was
outside the United States or (y) the transaction was executed in, on or through the facilities of a
designated offshore securities market and neither such Transferor nor any Person acting on its
behalf knows that the transaction was prearranged with a buyer in the United States, (ii) no
directed selling efforts have been made in contravention of the requirements of Rule 903(b) or Rule
904(b) of Regulation S under the Securities Act, (iii) the transaction is not part of a plan or
scheme to evade the registration requirements of the Securities Act and (iv) if the proposed
transfer is being made prior to the expiration of the Restricted Period, the transfer is not being
made to a U.S. Person or for the account or benefit of a U.S. Person (other than an Initial
Purchaser). Upon consummation of the proposed transfer in accordance with the terms of the
Indenture, the transferred beneficial interest or Definitive Note will be subject to
the restrictions on Transfer enumerated in the Private Placement Legend printed on the
Regulation S Permanent] Global Note, the Regulation S Temporary Global Note and/or the Restricted
Definitive Note and in the Indenture and the Securities Act.

 

B-1

 

3. o Check and complete if Transferee will take delivery of a beneficial interest in the IAI
Global Note or a Restricted Definitive Note pursuant to any provision of the Securities Act other
than Rule 144A or Regulation S. The Transfer is being effected in compliance with the transfer
restrictions applicable to beneficial interests in Restricted Global Notes and Restricted
Definitive Notes and pursuant to and in accordance with the Securities Act and any applicable blue
sky securities laws of any state of the United States, and accordingly the Transferor hereby
further certifies that (check one):

(a) o such Transfer is being effected pursuant to and in accordance with Rule 144 under the
Securities Act; or

(b) o such Transfer is being effected to the Company or a subsidiary thereof; or

(c) o such Transfer is being effected pursuant to an effective registration statement under the
Securities Act and in compliance with the prospectus delivery requirements of the Securities Act;
or

(d) o such Transfer is being effected to an Institutional Accredited Investor and pursuant to an
exemption from the registration requirements of the Securities Act other than Rule 144A, Rule 144,
Rule 903 or Rule 904, and the Transferor hereby further certifies that it has not engaged in any
general solicitation within the meaning of Regulation D under the Securities Act and the Transfer
complies with the transfer restrictions applicable to beneficial interests in a Restricted Global
Note or Restricted Definitive Notes and the requirements of the exemption claimed, which
certification is supported by (1) a certificate executed by the Transferee in the form of Exhibit D
to the Indenture and (2) [if such Transfer is in respect of a principal amount of Notes at the time
of transfer of less than $250,000,] an Opinion of Counsel provided by the Transferor or the
Transferee (a copy of which the Transferor has attached to this certification), to the effect that
such Transfer is in compliance with the Securities Act. Upon consummation of the proposed transfer
in accordance with the terms of the Indenture, the transferred beneficial interest or Definitive
Note will be subject to the restrictions on transfer enumerated in the Private Placement Legend
printed on the IAI Global Note and/or the Restricted Definitive Notes and in the Indenture and the
Securities Act.

4. o Check if Transferee will take delivery of a beneficial interest in an Unrestricted
Global Note or of an Unrestricted Definitive Note.

(a) o
Check if Transfer is pursuant to Rule 144. (i) The Transfer is being effected pursuant to
and in accordance with Rule 144 under the Securities Act and in compliance with the transfer
restrictions contained in the Indenture and any applicable blue sky securities laws of any state of
the United States and (ii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the Securities Act. Upon
consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Note will no longer be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes, on
Restricted Definitive Notes and in the Indenture.

(b) o Check if Transfer is Pursuant to Regulation S. (i) The Transfer is being effected pursuant
to and in accordance with Rule 903 or Rule 904 under the Securities Act and in compliance with the
transfer restrictions contained in the Indenture and any applicable blue sky securities laws of any
state of the United States and (ii) the restrictions on transfer contained in the Indenture and the
Private Placement Legend are not required in order to maintain compliance with the Securities Act.
Upon consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Note will no longer be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes, on
Restricted Definitive Notes and in the indenture.

 

B-2

 

(c) o Check if Transfer Is Pursuant to Other Exemption. (i) The Transfer is being effected
pursuant to and in compliance with an exemption from the registration requirements of the
Securities Act other than Rule 144, Rule 903 or Rule 904 and in compliance with the transfer
restrictions contained in the Indenture and any applicable blue sky securities laws of any State of
the United States and (ii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the Securities Act. Upon
consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Note will not be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the Restricted Global Notes or
Restricted Definitive Notes and in the Indenture.

This certificate and the statements contained herein are made for your benefit and the benefit
of the Company.

	 	 	 	 	 	 	 
	 	 	 
	 	 	[Insert Name of Transferor]
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Dated:                    

 

B-3

 

ANNEX A TO CERTIFICATE OF TRANSFER

1. The Transferor owns and proposes to transfer the following:

[CHECK ONE OF (a) OR (b)]

	 	(a)	 	o a beneficial interest in the:

	 	(i)	 	o 144A Global Note (CUSIP                     ), or

	 
	 	(ii)	 	o Regulation S Global Note (CUSIP                     ), or

	 
	 	(iii)	 	o IAI Global Note (CUSIP                     ); or

	 	(b)	 	o a Restricted Definitive Note.

2. After the Transfer the Transferee will hold:

[CHECK ONE]

	 	(a)	 	o a beneficial interest in the:

	 	(i)	 	o 144A Global Note (CUSIP                     ), or

	 
	 	(ii)	 	o Regulation S Global Note (CUSIP                     ), or

	 
	 	(iii)	 	o IAI Global Note (CUSIP                     ); or

	 
	 	(iv)	 	o Unrestricted Global Note (CUSIP                     ); or

	 	(b)	 	o a Restricted Definitive Note.

	 
	 	(c)	 	o an Unrestricted Definitive Note,

in accordance with the terms of the Indenture.

 

B-4

 

EXHIBIT C

FORM OF CERTIFICATE OF EXCHANGE

Real Mex Restaurants, Inc.

5660 Katella Avenue, Suite 100

Cypress, California 90630

Attention: Steven Tanner

Wells Fargo Bank, National Association

707 Wilshire Boulevard, 17th Floor

Los Angeles, CA 90017

Attention: Maddy Hall

Re: 14% Senior Secured Notes due 2013:

Reference is hereby made to the Indenture, dated as of July 7, 2009 (the “Indenture”), among
Real Mex Restaurants, Inc., as issuer (the “Company”), the Guarantors party thereto and Wells Fargo
Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have
the meanings given to them in the Indenture.

                    , (the “Owner”) owns and proposes
to exchange the Note[s] or interest in such Note[s] specified herein, in the principal amount of $                     in such Note[s] or interests (the “Exchange”). In connection with the Exchange, the Owner hereby
certifies that:

1. Exchange of Restricted Definitive Notes or Beneficial Interests in a Restricted Global
Note for Unrestricted Definitive Notes or Beneficial Interests in an Unrestricted Global Note

(a) o Check if Exchange is from beneficial interest in a Restricted Global Note to beneficial
interest in an Unrestricted Global Note. In connection with the Exchange of the Owner’s beneficial
interest in a Restricted Global Note for a beneficial interest in an Unrestricted Global Note in an
equal principal amount, the Owner hereby certifies (i) the beneficial interest is being acquired
for the Owner’s own account without transfer, (ii) such Exchange has been effected in compliance
with the transfer restrictions applicable to the Global Notes and pursuant to and in accordance
with the Securities Act of 1933, as amended (the “Securities Act”), (iii) the restrictions on
transfer contained in the Indenture and the Private Placement Legend are not required in order to
maintain compliance with the Securities Act and (iv) the beneficial interest in an Unrestricted
Global Note is being acquired in compliance with any applicable blue sky securities laws of any
state of the United States.

(b) o Check if Exchange is from beneficial interest in a Restricted Global Note to Unrestricted
Definitive Note. In connection with the Exchange of the Owner’s beneficial interest in a Restricted
Global Note for an Unrestricted Definitive Note, the Owner hereby certifies (i) the Definitive Note
is being acquired for the Owner’s own account without transfer, (ii) such Exchange has been
effected in compliance with the transfer restrictions applicable to the Restricted Global Notes and
pursuant to and in accordance with the Securities Act, (iii) the restrictions on transfer contained
in the Indenture and the Private Placement Legend are not required in order to maintain compliance
with the Securities Act and (iv) the Definitive Note is being acquired in compliance with any
applicable blue sky securities laws of any state of the United States.

(c) o Check if Exchange is from Restricted Definitive Note to beneficial interest in an
Unrestricted Global Note. In connection with the Owner’s Exchange of a Restricted Definitive Note
for a beneficial interest in an Unrestricted Global Note, the Owner hereby certifies (i) the
beneficial interest is being acquired for the Owner’s own account without transfer, (ii) such
Exchange has been effected in compliance with the transfer restrictions applicable to Restricted
Definitive Notes and pursuant to and in accordance with the Securities Act, (iii) the restrictions
on transfer contained in the Indenture and the Private Placement Legend are not required in order
to maintain compliance with the Securities Act and (iv) the beneficial interest is being acquired
in compliance with any applicable blue sky securities laws of any state of the United States.

 

C-1

 

(d) o Check if Exchange is from Restricted Definitive Note to Unrestricted Definitive Note. In
connection with the Owner’s Exchange of a Restricted Definitive Note for an Unrestricted Definitive
Note, the Owner hereby certifies (i) the Unrestricted Definitive Note is being acquired for the
Owner’s own account without transfer, (ii) such Exchange has been effected in compliance with the
transfer restrictions applicable to Restricted Definitive Notes and pursuant to and in accordance
with the Securities Act, (iii) the restrictions on transfer contained in the Indenture and the
Private Placement Legend are not required in order to maintain compliance with the Securities Act
and (iv) the Unrestricted Definitive Note is being acquired in compliance with any applicable blue
sky securities laws of any state of the United States.

2. Exchange of Restricted Definitive Notes or Beneficial Interests in Restricted Global
Notes for Restricted Definitive Notes or Beneficial Interests in Restricted Global Notes

(a) o Check if Exchange is from beneficial interest in a Restricted Global Note to Restricted
Definitive Note. In connection with the Exchange of the Owner’s beneficial interest in a Restricted
Global Note for a Restricted Definitive Note with an equal principal amount, the Owner hereby
certifies that the Restricted Definitive Note is being acquired for the Owner’s own account without
transfer. Upon consummation of the proposed Exchange in accordance with the terms of the Indenture,
the Restricted Definitive Note issued will continue to be subject to the restrictions on transfer
enumerated in the Private Placement Legend printed on the Restricted Definitive Note and in the
Indenture and the Securities Act.

(b) o Check if Exchange is from Restricted Definitive Note to beneficial interest in a
Restricted Global Note. In connection with the Exchange of the Owner’s Restricted Definitive Note
for a beneficial interest in the [CHECK ONE] o 144A Global Note, o Regulation S Global Note, o IAI
Global Note with an equal principal amount, the Owner hereby certifies (i) the beneficial interest
is being acquired for the Owner’s own account without transfer and (ii) such Exchange has been
effected in compliance with the transfer restrictions applicable to the Restricted Global Notes and
pursuant to and in accordance with the-Securities Act, and in compliance with any applicable blue
sky securities laws of any state of the United States. Upon consummation of the proposed Exchange
in accordance with the terms of the Indenture, the beneficial interest issued will be subject to
the restrictions on transfer enumerated in the Private Placement Legend printed on the relevant
Restricted Global Note and in the Indenture and the Securities Act.

This certificate and the statements contained herein are made for your benefit and the benefit
of the Company.

	 	 	 	 	 	 	 
	 	 	 
	 	 	[Insert Name of Transferor]
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Dated:                    

 

C-2

 

EXHIBIT D

FORM OF CERTIFICATE FROM

ACQUIRING INSTITUTIONAL ACCREDITED INVESTOR

Real Mex Restaurants, Inc.

5660 Katella Avenue, Suite 100

Cypress, California 90630

Attention: Steven Tanner

Wells Fargo Bank, National Association

707 Wilshire Boulevard, 17th Floor

Los Angeles, CA 90017

Attention: Maddy Hall

Re: 14% Senior Secured Notes due 2013:

Reference is hereby made to the Indenture, dated as of July 7, 2009 (the “Indenture”), among
Real Mex Restaurants, Inc., as issuer (the “Company”), the Guarantors party thereto and Wells Fargo
Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have
the meanings given to them in the Indenture.

In connection with our proposed purchase of $                    . aggregate principal amount of:

(a) o a beneficial interest in a Global Note, or

(b) o a Definitive Note,

we confirm that:

1. We understand that any subsequent transfer of the Notes or any interest therein is subject
to certain restrictions and conditions set forth in the Indenture and the undersigned agrees to be
bound by, and not to resell, pledge or otherwise transfer the Notes or any interest therein except
in compliance with, such restrictions and conditions and the Securities Act of 1933, as amended
(the “Securities Act”).

2. We understand that the offer and sale of the Notes have not been registered under the
Securities Act, and that the Notes and any interest therein may not be offered or sold except as
permitted in the following sentence. We agree, on our own behalf and on behalf of any accounts for
which we are acting as hereinafter stated, that if we should sell the Notes or any interest
therein, we will do so only (A) to the Company or any subsidiary thereof, (B) in accordance with
Rule 144A under the Securities Act to a “qualified institutional buyer” (as defined therein), (C)
to an institutional “accredited investor” (as defined below) that, prior to such transfer,
furnishes (or has furnished on its behalf by a U.S. broker-dealer) to you and to the Company a
signed letter substantially in the form of this letter and an Opinion of Counsel in form reasonably
acceptable to the Company to the effect that such transfer is in compliance with the Securities
Act, (D) outside the United States in accordance with Rule 904 of Regulation S under the Securities
Act, (E) pursuant to the provisions of Rule 144(k) under the Securities Act or (F) pursuant to an
effective registration statement under the Securities Act, and we further agree to provide to any
Person purchasing the Definitive Note or beneficial interest in a Global Note from us in a
transaction meeting the requirements of clauses (A) through (E) of this paragraph a notice advising
such purchaser that resales thereof are restricted as stated herein.

3. We understand that, on any proposed resale of the Notes or beneficial interest therein, we
will be required to furnish to you and the Company such certifications, legal opinions and other
information as you and the Company may reasonably require to confirm that the proposed sale
complies with the foregoing restrictions. We further understand that the Notes purchased by us will
bear a legend to the foregoing effect.

 

D-1

 

4. We are an institutional “accredited investor” (as defined in Rule 501(a)(1), (2), (3) or
(7) of Regulation D under the Securities Act) and have such knowledge and experience in financial
and business matters as to be capable of evaluating the merits and risks of our investment in the
Notes, and we and any accounts for which we are acting are each able to bear the economic risk of
our or its investment.

5. We are acquiring the Notes or beneficial interest therein purchased by us for our own
account or for one or more accounts (each of which is an institutional “accredited investor”) as to
each of which we exercise sole investment discretion.

You and the Company are entitled to rely upon this letter and are irrevocably authorized to
produce this letter or a copy hereof to any interested party in any administrative or legal
proceedings or official inquiry with respect to the matters covered hereby.

	 	 	 	 	 	 	 
	 	 	 
	 	 	[Insert Name of Accredited Investor]
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Dated:                    

 

D-2

 

EXHIBIT E

[FORM OF NOTATION OF GUARANTEE]

For value received, each Guarantor (which term includes any successor Person under the
Indenture) has, jointly and severally, unconditionally guaranteed, to the extent set forth in the
Indenture and subject to the provisions in the Indenture dated as of July 7, 2009 (the “Indenture”)
among Real Mex Restaurants, Inc., (the “Company”), the Guarantors party thereto and Wells Fargo
Bank, National Association, as Trustee (the “Trustee”), (a) the due and punctual payment of the
principal of, premium and Liquidated Damages, if any, and interest on, the Notes, whether at
maturity, by acceleration, redemption or otherwise, the due and punctual payment of interest on
overdue principal of and interest on the Notes, if any, if lawful, and the due and punctual
performance of all other obligations of the Company to the Holders or the Trustee all in accordance
with the terms of the Indenture and (b) in case of any extension of time of payment or renewal of
any Notes or any of such other obligations, that the same will be promptly paid in full when due or
performed in accordance with the terms of the extension or renewal, whether at stated maturity, by
acceleration or otherwise. The obligations of the Guarantors to the Holders of Notes and to the
Trustee pursuant to the Note Guarantee and the Indenture are expressly set forth in Article 11 of
the Indenture and reference is hereby made to the Indenture for the precise terms of the Note
Guarantee.

Capitalized terms used but not defined herein have the meanings given to them in the
Indenture.

	 	 	 	 	 
	 	[NAME OF GUARANTOR(S)]

 	 
	 	By:  	 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 

 

E-1

 

EXHIBIT F

[FORM OF SUPPLEMENTAL INDENTURE

TO BE DELIVERED BY SUBSEQUENT GUARANTORS]

SUPPLEMENTAL
INDENTURE (this “Supplemental Indenture”), dated as
of
                    ,
20     , among
                     (the “Guaranteeing
Subsidiary”), a subsidiary of Real Mex Restaurants, Inc. (or its permitted successor), a Delaware
corporation (the “Company”), the Company, the other Guarantors (as defined in the Indenture
referred to herein) and Wells Fargo Bank, National Association, as Trustee under the Indenture
referred to below (the “Trustee”).

W I T N E S S E T H

WHEREAS, the Company has heretofore executed and delivered to the Trustee an indenture (the
“Indenture”), dated as of July 7, 2009 providing for the issuance of 14% Senior Secured Notes due
2013 (the “Notes”);

WHEREAS, the Indenture provides that under certain circumstances the Guaranteeing Subsidiary
shall execute and deliver to the Trustee a supplemental indenture pursuant to which the
Guaranteeing Subsidiary shall unconditionally guarantee all of the Company’s Obligations under the
Notes and the Indenture on the terms and conditions set forth herein (the “Note Guarantee”); and

WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee is authorized to execute and
deliver this Supplemental Indenture.

NOW, THEREFORE, in consideration of the foregoing and for other good and valuable
consideration, the receipt of which is hereby acknowledged, the Guaranteeing Subsidiary and the
Trustee mutually covenant and agree for the equal and ratable benefit of the Holders of the Notes
as follows:

1.  Capitalized Terms. Capitalized terms used herein without definition
shall have the meanings assigned to them in the Indenture.

2.  Agreement To Guarantee. The Guaranteeing Subsidiary hereby agrees to
provide an unconditional Guarantee on the terms and subject to the conditions set forth in the Note
Guarantee and in the Indenture including but not limited to Article I 1 thereof.

3.  No Recourse Against Others. No past, present or future director,
officer, employee, incorporator, stockholder or agent of the Guaranteeing Subsidiary, as such,
shall have any liability for any obligations of the Company or any Guaranteeing Subsidiary under
the Notes, any Note Guarantees, the Indenture or this Supplemental Indenture or for any claim based
on, in respect of, or by reason of, such obligations or their creation. Each Holder of the Notes by
accepting a Note waives and releases all such liability. The waiver and release are part of the
consideration for issuance of the Notes. Such waiver may not be effective to waive liabilities
under the federal securities laws and it is the view of the SEC that such a waiver is against
public policy.

4. NEW YORK LAW TO GOVERN. THE INTERNAL LAW OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED
TO CONSTRUE THIS SUPPLEMENTAL INDENTURE WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS
OF LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED
THEREBY.

5.  Counterparts. The parties may sign any number of copies of this
Supplemental Indenture. Each signed copy shall be an original, but all of them together represent
the same agreement.

6.  Effect Of Headings. The Section headings herein are for convenience
only and shall not affect the construction hereof.

 

F-1

 

7.  The Trustee. The Trustee shall not be responsible in any manner
whatsoever for or in respect of the validity or sufficiency of this Supplemental Indenture or for
or in respect of the recitals contained herein, all of which recitals are made solely by the
Guaranteeing Subsidiary and the Company.

IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly
executed and attested, all as of the date first above written.

Dated:                    , 20__

	 	 	 	 	 
	 	[GUARANTEEING SUBSIDIARY]

 	 
	 	By:  	
 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 
	 
	 	[COMPANY]

 	 
	 	By: 	
 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 
	 
	 	[EXISTING GUARANTORS]

 	 
	 	By: 	
 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 
	 
	 	[TRUSTEE], as Trustee

 	 
	 	By: 	
 	 
	 	 	Authorized Signatory 	 

 

F-2Exhibit 10.1

Exhibit 10.1

REGISTRATION RIGHTS AGREEMENT

Dated as of July 7, 2009

by and among

Real Mex Restaurants, Inc.

Acapulco Restaurants, Inc.

El Torito Restaurants, Inc.

CKR Acquisition Corp.

Chevys Restaurants, LLC

El Torito Franchising Company

Acapulco Restaurant of Ventura, Inc.

Acapulco Restaurant of Westwood, Inc.

Acapulco Restaurants of Downey, Inc.

Murray Pacific

Acapulco Restaurant of Moreno Valley, Inc.

El Paso Cantina, Inc.

Real Mex Foods, Inc.

TARV, Inc.

ALA Design, Inc.

Acapulco Mark Corp.

RM Restaurant Holding Corp.

and

Jefferies & Company, Inc.

 

 

This Registration Rights Agreement (this “Agreement”) is made and entered into as of July 7,
2009, by and among Real Mex Restaurants, Inc., a Delaware corporation (the “Company”), Acapulco
Restaurants, Inc., a Delaware corporation, El Torito Restaurants, Inc., a Delaware corporation, CKR
Acquisition Corp., a Delaware corporation, Chevys Restaurants, LLC, a Delaware limited liability
company, El Torito Franchising Company, a Delaware corporation, Acapulco Restaurant of Ventura,
Inc., a California corporation, Acapulco Restaurant of Westwood, Inc., a California corporation,
Acapulco Restaurant of Downey, Inc., a California corporation, Murray Pacific, a California
corporation, Acapulco Restaurant of Moreno Valley, Inc., a California corporation, El Paso Cantina,
Inc., a California corporation, Real Mex Foods, Inc., a California corporation, TARV, Inc., a
California corporation, ALA Design, Inc., a California corporation, Acapulco Mark Corp., a Delaware
corporation, and RM Restaurant Holding Corp., a Delaware corporation (each a “Guarantor”, and,
collectively, the “Guarantors”), and Jefferies & Company, Inc. (the “Initial Purchaser”), who has
agreed to purchase the Company’s 14% Senior Secured Notes due 2013 (the “Series A Notes”) pursuant
to the Purchase Agreement (as defined below).

This Agreement is made pursuant to the Purchase Agreement, dated July 1, 2009, (the “Purchase
Agreement”), by and among the Company, the Guarantors and the Initial Purchaser. In order to
induce the Initial Purchaser to purchase the Series A Notes, the Company has agreed to provide the
registration rights set forth in this Agreement. The execution and delivery of this Agreement is a
condition to the obligations of the Initial Purchaser set forth in Section 8 of the Purchase
Agreement. Capitalized terms used herein and not otherwise defined shall have the meaning assigned
to them the Indenture, dated July 7, 2009, between the Company and Wells Fargo Bank, National
Association, as Trustee (the “Trustee”), relating to the Series A Notes and the Series B Notes (as
defined below) (the “Indenture”).

The parties hereby agree as follows:

SECTION 1. DEFINITIONS

As used in this Agreement, the following capitalized terms shall have the following meanings:

Act: The Securities Act of 1933, as amended.

Affiliate: As defined in Rule 144 of the Act.

Broker-Dealer: Any broker or dealer registered under the Exchange Act.

Business Day: Any day except a Saturday, Sunday or any other day on which banking
institutions in the City of New York, NY or in the city of the corporate trust office of the
Trustee, are authorized or obligated by law or regulation to close.

Closing Date: The date of this Agreement.

Commission: The Securities and Exchange Commission.

 

 

Consummate: An Exchange Offer shall be deemed “Consummated” for purposes of this Agreement
upon the occurrence of (a) the filing and effectiveness under the Act of the Exchange Offer
Registration Statement relating to the Series B Notes to be issued in the Exchange Offer, (b) the
maintenance of such Exchange Offer Registration Statement continuously effective and the keeping of
the Exchange Offer open for a period not less than the period required pursuant to Section 3(b)
hereof and (c) the delivery by the Company to the Registrar under the Indenture of Series B Notes
in the same aggregate principal amount as the aggregate principal amount of Series A Notes tendered
by Holders thereof pursuant to the Exchange Offer.

Consummation Deadline: As defined in Section 3(b) hereof.

Effectiveness Deadline: The Exchange Effectiveness Deadline or Shelf Effectiveness Deadline,
as applicable.

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

Exchange Effectiveness Deadline: As defined in Section 3(a) hereof.

Exchange Filing Deadline: As defined in Section 3(a) hereof.

Exchange Offer: The registration by the Company under the Act of the Series B Notes pursuant
to a Registration Statement pursuant to which the Company offers the Holders of all outstanding
Transfer Restricted Securities who are not prohibited by law or a policy of the Commission from
participating in such offer the opportunity to exchange all such outstanding Transfer Restricted
Securities held by such Holders for Series B Notes in an aggregate principal amount equal to the
aggregate principal amount of the Transfer Restricted Securities tendered in such exchange offer by
such Holders.

Exchange Offer Registration Statement: The Registration Statement relating to the Exchange
Offer, including the related Prospectus.

Filing Deadline: The Exchange Filing Deadline or Shelf Filing Deadline, as applicable.

Holders: As defined in Section 2 hereof.

Person: An individual, partnership, corporation, trust, limited liability company or
unincorporated organization, or a government or agency or political subdivision thereof or other
legal entity.

Prospectus: The prospectus included in a Registration Statement, as amended or supplemented
by any prospectus supplement and by all other amendments thereto, including post-effective
amendments, and all material incorporated by reference into such Prospectus.

Purchase Agreement: As defined in the preamble hereof.

Recommencement Date: As defined in Section 6(d) hereof.

Registration Default: As defined in Section 5 hereof.

 

2

 

Registration Statement: Any registration statement of the Company and the Guarantors relating
to (a) an offering of Series B Notes pursuant to an Exchange Offer or (b) the registration for
resale of Transfer Restricted Securities pursuant to the Shelf Registration Statement, in each
case, (i) that is filed pursuant to the provisions of this Agreement and (ii) including the
Prospectus included therein, all amendments and supplements thereto (including post-effective
amendments) and all exhibits and material incorporated by reference therein.

Regulation S-K: Regulation S-K promulgated under the Act.

Rule 144: Rule 144 promulgated under the Act.

Series A Notes: As defined in the preamble hereto.

Series B Notes: The Company’s 14% Series B Senior Notes due 2013 to be issued pursuant to the
Indenture: (i) in the Exchange Offer or (ii) as contemplated by Section 4 hereof.

Shelf Effectiveness Deadline: As defined in Section 4(a) hereof.

Shelf Filing Deadline: As defined in Section 4(a) hereof.

Shelf Registration Statement: As defined in Section 4(a) hereof.

Subsequent Registration Statement: As defined in Section 6(c) hereof.

Suspension Notice: As defined in Section 6(d) hereof.

TIA: The Trust Indenture Act of 1939 (15 U.S.C. Section 77aaa-77bbbb) as in effect on the
date of the Indenture.

Transactions: As defined in Section 6(d) hereof.

Transfer Restricted Securities: Each (A) Series A Note, until the earliest to occur of (i)
the date on which such Series A Note is exchanged in the Exchange Offer for a Series B Note which
is entitled to be resold to the public by the Holder thereof without complying with the prospectus
delivery requirements of the Act, (ii) the date on which such Series A Note has been disposed of in
accordance with a Shelf Registration Statement (and the purchasers thereof have been issued Series
B Notes), or (iii) the date on which such Series A Note is distributed to the public pursuant to
Rule 144 under the Act, (B) Series B Note held by a Broker-Dealer until the date on which such
Series B Note is disposed of by a Broker-Dealer pursuant to the “Plan of Distribution” contemplated
by the Exchange Offer Registration Statement (including the delivery of the Prospectus contained
therein) and (C) Private Series B Note.

SECTION 2. HOLDERS

A Person is deemed to be a holder of Transfer Restricted Securities (each, a “Holder”)
whenever such Person owns Transfer Restricted Securities, has a beneficial interest in Transfer
Restricted Securities issued in book-entry form or has the right to acquire such Transfer
Restricted Securities, whether or not such acquisition has actually been effected and
disregarding any legal restrictions upon the exercise of such right.

 

3

 

SECTION 3. REGISTERED EXCHANGE OFFER

(a) Unless the Exchange Offer shall not be permitted by applicable federal law (after the
procedures set forth in Section 6(a)(i) below have been complied with), the Company and the
Guarantors shall (i) cause the Exchange Offer Registration Statement to be filed with the
Commission no later than 90 days after the Closing Date (such 90th day being the “Exchange Filing
Deadline”), (ii) use all commercially reasonable efforts to cause such Exchange Offer Registration
Statement to become effective at the earliest possible time, but no later than 180 days after the
Closing Date (such 180th day being the “Exchange Effectiveness Deadline”), (iii) in connection with
the foregoing, (A) file all pre-effective amendments to such Exchange Offer Registration Statement
as may be necessary in order to cause it to become effective, (B) file, if applicable, a
post-effective amendment to such Exchange Offer Registration Statement pursuant to Rule 430A under
the Act and (C) cause all necessary filings, if any, in connection with the registration and
qualification of the Series B Notes to be made under the Blue Sky laws of such jurisdictions as are
necessary to permit Consummation of the Exchange Offer, and (iv) upon the effectiveness of such
Exchange Offer Registration Statement, commence and Consummate the Exchange Offer. The Exchange
Offer shall be on the appropriate form permitting (i) registration of the Series B Notes to be
offered in exchange for the Series A Notes that are Transfer Restricted Securities and (ii) resales
of Series B Notes by Broker-Dealers that tendered into the Exchange Offer Series A Notes that such
Broker-Dealer acquired for its own account as a result of market making activities or other trading
activities (other than Series A Notes acquired directly from the Company or any of its Affiliates)
as contemplated by Section 3(c) below.

(b) The Company and the Guarantors shall use all commercially reasonable efforts to cause the
Exchange Offer Registration Statement to be effective continuously, and shall use all commercially
reasonable efforts to keep the Exchange Offer open for a period of not less than the minimum period
required under applicable federal and state securities laws to Consummate the Exchange Offer;
provided, however, that in no event shall such period be less than 20 Business
Days. The Company and the Guarantors shall cause the Exchange Offer to comply with all applicable
federal and state securities laws. No securities other than the Series B Notes (and related
guarantees) shall be included in the Exchange Offer Registration Statement. The Company and the
Guarantors shall use all commercially reasonable efforts to cause the Exchange Offer to be
Consummated on the earliest practicable date after the Exchange Offer Registration Statement has
become effective, but in no event later than 30 Business Days thereafter (such 30th day being the
“Consummation Deadline”), or such longer period as is required by federal securities laws.

(c) The Company shall include a “Plan of Distribution” section in the Prospectus contained in
the Exchange Offer Registration Statement and indicate therein that any Broker-Dealer who holds
Transfer Restricted Securities that were acquired for the account of such Broker-Dealer as a result
of market-making activities or other trading activities (other than Series A Notes acquired
directly from the Company or any Affiliate of the Company), may exchange such Transfer Restricted
Securities pursuant to the Exchange Offer. Such “Plan of Distribution” section shall also contain
all other information with respect to such sales by such Broker-Dealers
that the Commission may require in order to permit such sales pursuant thereto, but such “Plan
of Distribution” shall not name any such Broker-Dealer or disclose the amount of Transfer
Restricted Securities held by any such Broker-Dealer, except to the extent required by the
Commission. See the Shearman & Sterling no-action letter (available July 2, 1993).

 

4

 

Because such Broker-Dealer may be deemed to be an “underwriter” within the meaning of the Act
and must, therefore, deliver a prospectus meeting the requirements of the Act in connection with
its initial sale of any Series B Notes received by such Broker-Dealer in the Exchange Offer, the
Company and Guarantors shall permit the use of the Prospectus contained in the Exchange Offer
Registration Statement by such Broker-Dealer to satisfy such prospectus delivery requirement. To
the extent necessary to ensure that the Prospectus contained in the Exchange Offer Registration
Statement is available for sales of Series B Notes by Broker-Dealers, the Company and the
Guarantors agree to use all commercially reasonable efforts to keep the Exchange Offer Registration
Statement continuously effective, supplemented, amended and current as required by and subject to
the provisions of Section 6(a) and (c) hereof and in conformity with the requirements of this
Agreement, the Act and the policies, rules and regulations of the Commission as announced from time
to time, for a period of 180 days from the Consummation Deadline or such shorter period as will
terminate when all Transfer Restricted Securities covered by such Registration Statement have been
sold pursuant thereto. The Company and the Guarantors shall provide sufficient copies of the
latest version of such Prospectus to such Broker-Dealers, promptly upon request, and in no event
later than five Business Days after such request, at any time during such period.

(d) If, upon consummation of the Exchange Offer, any Holder who is not entitled to participate
in the Exchange Offer holds any Series A Notes, the Company (upon the written request from such
Holder) shall, simultaneously with the delivery of the Series B Notes pursuant to the Exchange
Offer, issue and deliver to such Holder in exchange (the “Private Exchange”) for the Series A Notes
held by such Holder, a like principal amount at maturity of debt securities of the Company,
including guarantees relating thereto (issued under the same Indenture as the Series B Notes) that
are identical in all material respects to the Series B Notes except for the existence of
restrictions on transfer thereof under the Securities Act and securities laws of the several states
of the United States (the “Private Series B Notes”). The Private Series B Notes shall bear the same
CUSIP number as the Series B Notes.

SECTION 4. SHELF REGISTRATION

(a) Shelf Registration. If (i) the Exchange Offer is not permitted by applicable law
(after the Company and the Guarantors have complied with the procedures set forth in Section
6(a)(i) below), (ii) subsequent to the consummation of the Private Exchange, any Holder of Private
Series B Notes so requests or (iii) if any Holder of Transfer Restricted Securities shall notify
the Company within 20 Business Days following the Consummation Deadline that (A) such Holder was
prohibited by law or Commission policy from participating in the Exchange Offer or (B) such Holder
may not resell the Series B Notes acquired by it in the Exchange Offer to the public without
delivering a prospectus and the Prospectus contained in the Exchange Offer Registration Statement
is not appropriate or available for such resales by such Holder or (C) such Holder is a
Broker-Dealer and holds Series A Notes acquired directly from the Company or any of its Affiliates,
then the Company and the Guarantors shall:

(x) use all commercially reasonable efforts to file, on or prior to 60 days after
the earlier of (i) the date on which the Company determines that the Exchange Offer
Registration Statement cannot be filed as a result of clause (a)(i) above and (ii)
the earliest date on which the Company receives the notice specified in clause
(a)(ii) or (a)(iii) above, (such earlier date, the “Shelf Filing Deadline”), a shelf
registration statement pursuant to Rule 415 under the Act (which may be an amendment
to the Exchange Offer Registration Statement (together with any Subsequent Shelf
Registration Statement, the “Shelf Registration Statement”)), relating to all
Transfer Restricted Securities (provided, however, that
notwithstanding this Section 4(a)(x), (A) the Company shall not be required to file
its Shelf Registration Statement prior to the Exchange Filing Deadline and (B) the
Company shall not be required to file more than one Shelf Registration Statement
pursuant to this Section 4 (other than any Subsequent Shelf Registration Statements
required under Section 6(c)(iii) hereof)), and

 

5

 

(y) shall use all commercially reasonable efforts to cause such Shelf Registration
Statement to become effective on or prior to 120 days after the Shelf Filing
Deadline (such 120th day the “Shelf Effectiveness Deadline”).

If, after the Company has filed an Exchange Offer Registration Statement that satisfies the
requirements of Section 3(a) above, the Company is required to file and make effective a Shelf
Registration Statement solely because the Exchange Offer is not permitted under applicable federal
law (i.e., clause (a)(i) above), then the filing of the Exchange Offer Registration Statement shall
be deemed to satisfy the requirements of clause (x) above; provided, that, in such event,
the Company shall remain obligated to file a Shelf Registration Statement under clause (x) and meet
the Shelf Effectiveness Deadline set forth in clause (y) of this Section 4(a) with respect to such
Shelf Registration Statement except that the Shelf Filing Deadline shall be 90 days after the
Company determines that the Exchange Offer is not so permitted.

To the extent necessary to ensure that the Shelf Registration Statement is available for sales
of Transfer Restricted Securities by the Holders thereof entitled to the benefit of this Section
4(a) and the other securities required to be registered therein pursuant to Section 6(b)(ii)
hereof, the Company and the Guarantor(s) shall use all commercially reasonable efforts to keep any
Shelf Registration Statement required by this Section 4(a) continuously effective, supplemented,
amended and current as required by and subject to the provisions of Sections 6(b) and (c) hereof
and in conformity with the requirements of this Agreement, the Act and the policies, rules and
regulations of the Commission as announced from time to time, for a period of at least two years
(as extended pursuant to Section 6(d)) following the Closing Date, or such shorter period as will
terminate when all Transfer Restricted Securities covered by such Shelf Registration Statement have
been sold pursuant thereto.

(b) Provision by Holders of Certain Information in Connection with the Shelf Registration
Statement. No Holder of Transfer Restricted Securities may include any of its Transfer
Restricted Securities in any Shelf Registration Statement pursuant to this Agreement unless and
until such Holder furnishes to the Company in writing, within 10 Business Days after receipt of a
request therefor, such information as the Company may reasonably request, including, without
limitation, the information specified in Item 507 or 508 of Regulation S-K, as
applicable, of the Act, for use in connection with any Shelf Registration Statement or
Prospectus or preliminary Prospectus included therein. No Holder of Transfer Restricted Securities
shall be entitled to liquidated damages pursuant to Section 5 hereof unless and until such Holder
shall have provided all such information. Each selling Holder agrees to promptly furnish
additional information required to be disclosed in order to make the information previously
furnished to the Company by such Holder not materially misleading.

 

6

 

SECTION 5. LIQUIDATED DAMAGES

The Company and the Guarantors acknowledge and agree that the Holders will suffer damages, and
that it would not be feasible to ascertain the extent of such damages with precision, if the
Company and the Guarantors fail to fulfill their respective obligations hereunder. Accordingly, in
the event of such failure, the Company and the Guarantors jointly and severally agree to pay
liquidated damages to each Holder under the circumstances and to the extent set forth below (each
of which shall be given independent effect).

If (i) any Registration Statement required by this Agreement is not filed with the Commission
on or prior to the applicable Filing Deadline, (ii) any such Registration Statement has not been
declared effective by the Commission on or prior to the applicable Effectiveness Deadline, (iii)
the Exchange Offer has not been Consummated on or prior to the Consummation Deadline or (iv) any
Registration Statement required by this Agreement is filed and declared effective but shall
thereafter cease to be effective or fail to be usable in connection with resales of Transfer
Restricted Securities during the period required by this Agreement without being succeeded within 2
Business Days by a post-effective amendment to such Registration Statement that cures such failure
and that is itself immediately declared effective (each such event referred to in clauses (i)
through (iv), a “Registration Default”), then the Company and the Guarantors hereby jointly and
severally agree to pay to each Holder of Transfer Restricted Securities affected thereby liquidated
damages in an amount equal to 0.25% per annum on the outstanding principal amount of Transfer
Restricted Securities held by such Holder for the first 90-day period immediately following the
occurrence of such Registration Default. The amount of the liquidated damages shall increase by an
additional 0.25% per annum on the outstanding principal amount of Transfer Restricted Securities
with respect to each subsequent 90-day period until all Registration Defaults have been cured, up
to a maximum amount of liquidated damages of 1.0% per annum on the outstanding principal amount of
Transfer Restricted Securities; provided, that the Company and the Guarantors shall in no
event be required to pay liquidated damages for more than one Registration Default at any given
time. Notwithstanding anything to the contrary set forth herein, upon the day of (1) filing of the
Exchange Offer Registration Statement (and/or, if applicable, the Shelf Registration Statement), in
the case of (i) above, (2) the effectiveness of the Exchange Offer Registration Statement (and/or,
if applicable, the Shelf Registration Statement), in the case of (ii) above, (3) the Consummation
of the Exchange Offer, in the case of (iii) above, or (4) the filing of a post-effective amendment
to the Registration Statement or an additional Registration Statement that causes the Exchange
Offer Registration Statement (and/or, if applicable, the Shelf Registration Statement) to again be
declared effective or made usable in the case of (iv) above, the liquidated damages payable with
respect to the Transfer Restricted Securities as a result of such clause (i), (ii), (iii) or (iv),
as applicable, shall cease.

 

7

 

The Company shall notify the Trustee within five Business Days after each Registration
Default. All accrued liquidated damages shall be paid to the Holders entitled thereto, in the
manner provided for the payment of interest in the Indenture, on each Interest Payment Date (as
such term is defined in the Indenture), as more fully set forth in the Indenture and the Notes.
Notwithstanding the fact that any securities for which liquidated damages are due cease to be
Transfer Restricted Securities, all obligations of the Company and the Guarantors to pay liquidated
damages with respect to securities shall survive until such time as such obligations with respect
to such securities shall have been satisfied in full. The liquidated damages set forth above shall
be the exclusive monetary remedy available to the Holders of Transfer Restricted Securities for
Registration Defaults.

SECTION 6. REGISTRATION PROCEDURES

(a) Exchange Offer Registration Statement. In connection with the Exchange Offer, the
Company and the Guarantors shall (x) comply with all applicable provisions of Section 6(c) below,
(y) use all commercially reasonable efforts to effect such exchange and to permit the resale of
Series B Notes by Broker-Dealers that tendered in the Exchange Offer Series A Notes that such
Broker-Dealer acquired for its own account as a result of its market making activities or other
trading activities (other than Series A Notes acquired directly from the Company or any of its
Affiliates) being sold in accordance with the intended method or methods of distribution thereof,
and (z) comply with all of the following provisions:

(i) If, following the date hereof there has been announced a change in Commission
policy with respect to exchange offers such as the Exchange Offer, that in the reasonable
opinion of the Company and counsel to the Company raises a substantial question as to
whether the Exchange Offer is permitted by applicable federal law, the Company and the
Guarantors hereby agree to seek a no-action letter or other favorable decision from the
Commission allowing the Company and the Guarantors to Consummate an Exchange Offer for such
Transfer Restricted Securities. The Company and the Guarantors hereby agree to pursue the
issuance of such a decision to the Commission staff level, but shall not be required to take
commercially unreasonable actions to effect a change in Commission policy. In connection
with the foregoing, the Company and the Guarantors hereby agree to take all such other
actions as may be requested by the Commission or otherwise required in connection with the
issuance of such decision, including without limitation (A) participating in telephonic
conferences with the Commission, (B) delivering to the Commission staff an analysis prepared
by counsel to the Company setting forth the legal bases, if any, upon which such counsel has
concluded that such an Exchange Offer should be permitted and (C) diligently pursuing a
resolution (which need not be favorable) by the Commission staff.

 

8

 

(ii) As a condition to its participation in the Exchange Offer, each Holder of Transfer
Restricted Securities (including, without limitation, any Holder who is a Broker-Dealer)
shall furnish, upon the request of the Company, prior to the Consummation of the Exchange
Offer, a written representation to the Company and the Guarantors (which may be contained in
the letter of transmittal contemplated by the Exchange Offer Registration Statement) to the
effect that at the time of the Consummation (A) it is not an Affiliate of the Company, (B)
it is not engaged in, and does not intend to engage in, and has no
arrangement or understanding with any Person to participate in, a distribution of the
Series B Notes to be issued in the Exchange Offer and (C) it is acquiring the Series B Notes
in its ordinary course of business. As a condition to its participation in the Exchange
Offer each Holder using the Exchange Offer to participate in a distribution of the Series B
Notes shall acknowledge and agree that, if the resales are of Series B Notes obtained by
such Holder in exchange for Series A Notes acquired directly from the Company or an
Affiliate thereof, it (1) could not, under Commission policy as in effect on the date of
this Agreement, rely on the position of the Commission enunciated in Morgan Stanley and Co.,
Inc. (available June 5, 1991) and Exxon Capital Holdings Corporation (available May 13,
1988), as interpreted in the Commission’s letter to Shearman & Sterling dated July 2, 1993,
and similar no-action letters (including, if applicable, any no-action letter obtained
pursuant to clause (i) above), and (2) must comply with the registration and prospectus
delivery requirements of the Act, to the extent applicable, in connection with a secondary
resale transaction and that such a secondary resale transaction must be covered by an
effective registration statement containing the selling security holder information required
by Item 507 or 508, as applicable, of Regulation S-K.

(iii) To the extent required by applicable federal law or Commission policy, prior to
effectiveness of the Exchange Offer Registration Statement, the Company and the Guarantors
shall provide a supplemental letter to the Commission (A) stating that the Company and the
Guarantors are registering the Exchange Offer in reliance on the position of the Commission
enunciated in Exxon Capital Holdings Corporation (available May 13, 1988), Morgan Stanley
and Co., Inc. (available June 5, 1991) as interpreted in the Commission’s letter to Shearman
& Sterling dated July 2, 1993, and, if applicable, any no-action letter obtained pursuant to
clause (i) above, (B) including a representation that neither the Company nor any Guarantor
has entered into any arrangement or understanding with any Person to distribute the Series B
Notes to be received in the Exchange Offer and that, to the best of the Company’s and each
Guarantor’s information and belief, each Holder participating in the Exchange Offer is
acquiring the Series B Notes in its ordinary course of business and has no arrangement or
understanding with any Person to participate in the distribution of the Series B Notes
received in the Exchange Offer and (C) any other undertaking or representation required by
the Commission as set forth in any no-action letter obtained pursuant to clause (i) above,
if applicable.

(b) Shelf Registration Statement. In connection with the Shelf Registration
Statement, the Company and the Guarantors shall:

(i) comply with all the provisions of Section 6(c) below and use all commercially
reasonable efforts to effect such registration to permit the sale of the Transfer Restricted
Securities being sold in accordance with the intended method or methods of distribution
thereof (as indicated in the information furnished to the Company pursuant to Section 4(b)
hereof), and pursuant thereto the Company and the Guarantors will prepare and file with the
Commission a Registration Statement relating to the registration on any appropriate form
under the Act, which form shall be available for the sale of the Transfer Restricted
Securities in accordance with the intended method or
methods of distribution thereof within the time periods and otherwise in accordance
with the provisions hereof, and

 

9

 

(ii) issue, upon the request of any Holder or purchaser of Series A Notes covered by
any Shelf Registration Statement contemplated by this Agreement, Series B Notes having an
aggregate principal amount equal to the aggregate principal amount of Series A Notes sold
pursuant to the Shelf Registration Statement and surrendered to the Company for
cancellation; the Company shall register Series B Notes on the Shelf Registration Statement
for this purpose and issue the Series B Notes to the purchaser(s) of securities subject to
the Shelf Registration Statement in the names as such purchaser(s) shall designate.

(c) General Provisions. In connection with any Registration Statement (or as
specified below only with respect to a Shelf Registration Statement) and any related Prospectus
required by this Agreement to permit the sale or resale of Transfer Restricted Securities
(including, without limitation, any Registration Statement and the related Prospectus required to
permit resales of Notes by Broker-Dealers), the Company and the Guarantors shall:

(i) use all commercially reasonable efforts to keep such Registration Statement
continuously effective and provide all requisite financial statements for the period
specified in Section 3 or 4 of this Agreement, as applicable. Upon the occurrence of any
event that would cause any such Registration Statement or the Prospectus contained therein
(in light of the circumstances under which they were made) (A) to contain an untrue
statement of material fact or omit to state any material fact necessary to make the
statements therein not misleading or (B) not to be effective and usable for resale of
Transfer Restricted Securities during the period required by this Agreement, the Company and
the Guarantors shall file promptly an appropriate amendment to such Registration Statement
curing such defect, and, if Commission review is required, use all commercially reasonable
efforts to cause such amendment to be declared effective as soon as practicable.

(ii) prepare and file with the Commission such amendments and post-effective amendments
to the applicable Registration Statement as may be necessary to keep such Registration
Statement effective for the applicable period set forth in Section 3 or 4 hereof, as the
case may be; cause the Prospectus to be supplemented by any required Prospectus supplement,
and as so supplemented to be filed pursuant to Rule 424 under the Act, and to comply fully
with Rules 424, 430A and 462, as applicable, under the Act in a timely manner; and comply
with the provisions of the Act with respect to the disposition of all securities covered by
such Registration Statement during the applicable period in accordance with the intended
method or methods of distribution by the sellers thereof set forth in such Registration
Statement or supplement to the Prospectus;

 

10

 

(iii) advise each Holder promptly and, if requested by such Holder, confirm such advice
in writing, (A) when the Prospectus or any Prospectus supplement or post-effective amendment
has been filed, and, with respect to any applicable Registration Statement or any
post-effective amendment thereto, when the same has become effective, (B) of any request by
the Commission for amendments to the Registration Statement or
amendments or supplements to the Prospectus or for additional information relating
thereto, (C) of the issuance by the Commission of any stop order suspending the
effectiveness of the Registration Statement under the Act or of the suspension by any state
securities commission of the qualification of the Transfer Restricted Securities for
offering or sale in any jurisdiction, or the initiation of any proceeding for any of the
preceding purposes, (D) of the existence of any fact or the happening of any event that
makes any statement of a material fact made in the Registration Statement, the Prospectus,
any amendment or supplement thereto or any document incorporated by reference therein
untrue, or that requires the making of any additions to or changes in the Registration
Statement in order to make the statements therein not misleading, or that requires the
making of any additions to or changes in the Prospectus in order to make the statements
therein, in the light of the circumstances under which they were made, not misleading. If
at any time the Commission shall issue any stop order suspending the effectiveness of the
Registration Statement, or any state securities commission or other regulatory authority
shall issue an order suspending the qualification or exemption from qualification of the
Transfer Restricted Securities under state securities or Blue Sky laws, the Company and the
Guarantors shall use all commercially reasonable efforts to obtain the withdrawal or lifting
of such order at the earliest possible time, or file an additional Shelf Registration
Statement pursuant to Rule 415 covering all of the Transfer Restricted Securities covered by
and not sold under the initial Shelf Registration Statement or any earlier Registration
Statement (a “Subsequent Shelf Registration Statement”). If a Subsequent Shelf Registration
Statement is filed, the Company shall use all commercially reasonable efforts to cause the
Subsequent Shelf Registration Statement to be declared effective as soon as practicable
after such filing.

(iv) subject to Section 6(c)(i), if any fact or event contemplated by Section
6(c)(iii)(D) above shall exist or have occurred, prepare a supplement or post-effective
amendment to the Registration Statement or related Prospectus or any document incorporated
therein by reference or file any other required document so that, as thereafter delivered to
the purchasers of Transfer Restricted Securities, the Prospectus will not contain an untrue
statement of a material fact or omit to state any material fact necessary to make the
statements therein, in the light of the circumstances under which they were made, not
misleading;

(v) furnish to each Holder in connection with such exchange or sale, if any, before
filing with the Commission, copies of any Registration Statement or any Prospectus included
therein or any amendments or supplements to any such Registration Statement or Prospectus
(including all documents incorporated by reference after the initial filing of such
Registration Statement), which documents will be subject to the review and comment of such
Holders in connection with such sale, if any, for a period of at least five Business Days,
and the Company will not file any such Registration Statement or Prospectus or any amendment
or supplement to any such Registration Statement or Prospectus (including all such documents
incorporated by reference) to which such Holders shall reasonably object within five
Business Days after the receipt thereof. A Holder shall be deemed to have reasonably
objected to such filing if such Registration Statement, amendment, Prospectus or supplement,
as applicable, as proposed to be filed, contains an untrue statement of a material fact or
omit to state any
material fact necessary to make the statements therein (in light of the circumstances
under which they were made) not misleading or fails to comply with the applicable
requirements of the Act;

 

11

 

(vi) promptly prior to the filing of any document that is to be incorporated by
reference into a Registration Statement or Prospectus, provide copies of such document to
each Holder in connection with such exchange or sale, if any, make the Company’s and the
Guarantors’ representatives available for discussion of such document and other customary
due diligence matters, and include such information in such document prior to the filing
thereof as such Holders may reasonably request;

(vii) with respect to a Shelf Registration Statement, make available, at reasonable
times, for inspection by each selling Holder, any underwriter(s) participating in any
disposition pursuant to a Shelf Registration Statement and any attorney or accountant
retained by such selling Holders, or any such underwriter(s), all financial and other
records, pertinent corporate documents of the Company and the Guarantors and cause the
Company’s and the Guarantors’ officers, directors and employees to supply all information
reasonably requested by any such Holder, attorney or accountant in connection with such
Registration Statement or any post-effective amendment thereto subsequent to the filing
thereof and prior to its effectiveness;

(viii) with respect to a Shelf Registration Statement, if requested by any selling
Holders in connection with such exchange or sale of the underwriter(s), if any, promptly
include in any Registration Statement or Prospectus, pursuant to a supplement or
post-effective amendment if necessary, such information as such selling Holders may
reasonably request to have included therein, including, without limitation, information
relating to the “Plan of Distribution” of the Transfer Restricted Securities; and make all
required filings of such Prospectus supplement or post-effective amendment as soon as
practicable after the Company is notified of the matters to be included in such Prospectus
supplement or post-effective amendment;

(ix) with respect to a Shelf Registration Statement, furnish to each selling Holder in
connection with such exchange or sale and each underwriter, if any, without charge, at least
one copy of the Registration Statement, as first filed with the Commission, and of each
amendment thereto, including all documents incorporated by reference therein and all
exhibits (including exhibits incorporated therein by reference);

(x) with respect to a Shelf Registration Statement, deliver to each selling Holder and
each underwriter, if any, without charge, as many copies of the Prospectus (including each
preliminary prospectus) and any amendment or supplement thereto as such Persons reasonably
may request; the Company and the Guarantors hereby consent to the use (in accordance with
law) of the Prospectus and any amendment or supplement thereto by each selling Holder and
each underwriter, if any, in connection with the offering and the sale of the Transfer
Restricted Securities covered by the Prospectus or any amendment or supplement thereto;

 

12

 

(xi) upon the request of any Holders or Holder of an aggregate principal amount of at
least 33% of the outstanding principal amount of Transfer Restricted Securities, enter into
such agreements (including underwriting agreements) and make such customary representations
and warranties and take all such other customary actions in connection therewith in order to
expedite or facilitate the disposition of the Transfer Restricted Securities pursuant to any
applicable Registration Statement contemplated by this Agreement as may be reasonably
requested by any Holders or Holder of an aggregate principal amount of at least 33% of the
outstanding principal amount of Transfer Restricted Securities, in connection with any sale
or resale pursuant to any applicable Registration Statement. In such connection, the
Company and the Guarantors shall:

(A) upon request of any Holders or Holder of an aggregate principal amount of
at least 33% of Transfer Restricted Securities, furnish (or in the case of
paragraphs (2) and (3), use all commercially reasonable efforts to cause to be
furnished) to each Holder, upon Consummation of the Exchange Offer or upon the
effectiveness of the Shelf Registration Statement, as the case may be:

(1) a certificate, dated such date, signed on behalf of the Company and
each Guarantor by (x) the President or any Vice President and (y) a
principal financial or accounting officer of the Company and such Guarantor,
confirming, as of the date thereof, the matters set forth in Sections 8(c),
8(d) and 8(e)(i) of the Purchase Agreement and such other similar matters as
such Holders may reasonably request;

(2) an opinion, dated the date of Consummation of the Exchange Offer or
the date of effectiveness of the Shelf Registration Statement, as the case
may be, of counsel for the Company and the Guarantors covering matters
similar to those set forth in Exhibit A to the Purchase Agreement and such
other matter as such Holders may reasonably request, and in any event
including a statement to the effect that such counsel has participated in
conferences with officers of the Company, representatives of the independent
certified public accountants of the Company, and representatives of the
Initial Purchaser and its counsel, at which conferences the contents of the
Registration Statement and related matters were discussed and, although we
have not independently verified and are not passing upon and assume no
responsibility for the accuracy, completeness or fairness of the statements
contained in the Registration Statement and any related Prospectus, on the
basis of the foregoing, nothing has come to our attention that causes us to
believe that, as of the date of its effectiveness, the Registration
Statement or any related Prospectus contained or contains, an untrue
statement of a material fact or omitted or omits to state a material fact
necessary to make the statements contained therein, in the light of the
circumstances under which they were made, not misleading (it being
understood that we express no view or opinion with respect to the financial
statements and notes thereto or other financial or accounting data included
in the Registration Statement or any related Prospectus); and

 

13

 

(3) a customary comfort letter, dated the date of Consummation of the
Exchange Offer, or as of the date of effectiveness of the Shelf Registration
Statement, as the case may be, from the Company’s independent accountants,
in the customary form and covering matters of the type customarily covered
in comfort letters to underwriters in connection with underwritten
offerings, and affirming the matters set forth in the comfort letters
delivered pursuant to Sections 8(h) and 8(i) of the Purchase Agreement; and

(B) deliver such other documents and certificates as may be reasonably
requested by the selling Holders to evidence compliance with the matters covered in
clause (A) above and with any customary conditions contained in the any agreement
entered into by the Company and the Guarantors pursuant to this clause (xi);

(xii) prior to any public offering of Transfer Restricted Securities, cooperate with
the selling Holders and their counsel in connection with the registration and qualification
of the Transfer Restricted Securities under the securities or Blue Sky laws of such
jurisdictions as the selling Holders may request and do any and all other acts or things
necessary or advisable to enable the disposition in such jurisdictions of the Transfer
Restricted Securities covered by the applicable Registration Statement; provided,
however, that neither the Company nor any Guarantor shall be required to register or
qualify as a foreign corporation where it is not now so qualified or to take any action that
would subject it to the service of process in suits or to taxation, other than as to matters
and transactions relating to the Registration Statement, in any jurisdiction where it is not
now so subject;

(xiii) in connection with any sale of Transfer Restricted Securities that will result
in such securities no longer being Transfer Restricted Securities, cooperate with the
Holders to facilitate the timely preparation and delivery of certificates representing
Transfer Restricted Securities to be sold and not bearing any restrictive legends; and to
register such Transfer Restricted Securities in such denominations and such names as the
selling Holders may request at least two Business Days prior to such sale of Transfer
Restricted Securities;

(xiv) shall issue, upon the request of any Holder of Series A Notes or Private Series B
Notes covered by the Shelf Registration Statement, Series B Notes, having an aggregate
principal amount equal to the aggregate principal amount of Series A Notes surrendered to
the Company by such Holder in exchange therefor or being sold by such Holder; such Series B
Notes to be registered in the name of such Holder or in the name of the purchaser(s) of such
Notes, as the case may be; in return, the Series A Notes held by such Holder shall be
surrendered to the Company for cancellation;

(xv) use all commercially reasonable efforts to cause the disposition of the Transfer
Restricted Securities covered by the Registration Statement to be registered with or
approved by such other governmental agencies or authorities as may be necessary to
enable the seller or sellers thereof to consummate the disposition of such Transfer
Restricted Securities, subject to the proviso contained in clause (xii) above;

 

14

 

(xvi) provide a CUSIP number for all Transfer Restricted Securities not later than the
effective date of a Registration Statement covering such Transfer Restricted Securities and
provide the Trustee under the Indenture with printed certificates for the Transfer
Restricted Securities which are in a form eligible for deposit with the Depository Trust
Company;

(xvii) cooperate and assist in any filings required to be made with the FINRA and in
the performance of any due diligence investigation by any underwriter (including any
“qualified independent underwriter”) that is required to be retained in accordance with the
rules and regulations of FINRA;

(xviii) otherwise use all commercially reasonable efforts to comply with all applicable
rules and regulations of the Commission, and make generally available to its security
holders with regard to any applicable Registration Statement, as soon as practicable, a
consolidated earnings statement meeting the requirements of Rule 158 (which need not be
audited) covering a twelve-month period (A) commencing at the end of any fiscal quarter in
which Transfer Restricted Securities are sold to underwriters in a firm or best efforts
Underwritten Offering or (B) if not sold to underwriters in such an offering, beginning with
the first month of the Company’s first fiscal quarter commencing after the effective date of
the Registration Statement;

(xix) cause the Indenture to be qualified under the TIA not later than the effective
date of the first Registration Statement required by this Agreement and, in connection
therewith, cooperate with the Trustee and the Holders to effect such changes to the
Indenture as may be required for such Indenture to be so qualified in accordance with the
terms of the TIA; and execute and use all commercially reasonable efforts to cause the
Trustee to execute, all documents that may be required to effect such changes and all other
forms and documents required to be filed with the Commission to enable such Indenture to be
so qualified in a timely manner;

(xx) provide promptly to each Holder, upon request, each document filed with the
Commission pursuant to the requirements of Section 13 or Section 15(d) of the Exchange Act;

(xxi) permit Holders to withdraw tendered Series A Notes at any time prior to the close
of business, New York time, on the last Business Day on which the Exchange Offer shall
remain open;

(xxii) utilize the services of a depositary for the Exchange Offer with an address in
the Borough of Manhattan, The City of New York, which may be the Trustee or an affiliate of
the Trustee; and

(xxiii) use all commercially reasonable efforts to cause the Transfer Restricted
Securities covered by a Registration Statement to be rated with such appropriate rating
agencies, if so requested in writing by the Holders of a majority in aggregate principal
amount of the Transfer Restricted Securities covered by such Registration Statement or
the managing underwriter or underwriters, if any.

 

15

 

(d) Restrictions on Holders. Each selling Holder agrees by acquisition of a Transfer
Restricted Security that, upon receipt of the notice referred to in Section 6(c)(iii)(C) or any
notice from the Company of the existence of any fact of the kind described in Section 6(c)(iii)(D)
hereof (in each case, a “Suspension Notice”), such selling Holder will forthwith discontinue
disposition of Transfer Restricted Securities pursuant to the applicable Registration Statement and
will use its commercially reasonably efforts to cause any underwriter to forthwith discontinue
disposition of Transfer Restricted Securities pursuant to the applicable Registration Statement
until (i) such selling Holder has received copies of the supplemented or amended Prospectus
contemplated by Section 6(c)(iv) hereof, or (ii) such selling Holder is advised in writing by the
Company that the use of the Prospectus may be resumed, and has received copies of any additional or
supplemental filings that are incorporated by reference in the Prospectus (in each case, the
“Recommencement Date”). Each selling Holder receiving a Suspension Notice hereby agrees that it
will either (i) destroy any Prospectuses, other than permanent file copies, then in such Holder’s
possession which have been replaced by the Company with more recently dated Prospectuses or (ii)
deliver to the Company (at the Company’s expense) all copies, other than permanent file copies,
then in such selling Holder’s possession of the Prospectus covering such Transfer Restricted
Securities that was current at the time of receipt of the Suspension Notice. The time period
regarding the effectiveness of such Registration Statement set forth in Section 3 or 4 hereof, as
applicable, shall be extended by a number of days equal to the number of days in the period from
and including the date of delivery of the Suspension Notice to and including the Recommencement
Date.

Notwithstanding anything herein to the contrary, any party to this Agreement (and any
employee, representative, or other agent of any party to this Agreement) may disclose to any and
all Persons, without limitation of any kind, the U.S. federal income tax treatment and tax
structure of the transactions contemplated by this Agreement (the “Transactions”) and all materials
of any kind (including opinions or other tax analyses) that are provided to it relating to such tax
treatment and tax structure; provided, however, that neither party (nor any
employee, representative or other agent thereof) shall disclose any information (a) that is not
relevant to an understanding of the U.S. federal income tax treatment or tax structure of the
Transactions or (b) to the extent such disclosure could result in a violation of any federal or
state securities laws.

SECTION 7. REGISTRATION EXPENSES

(a) All expenses incident to the Company’s and the Guarantors’ performance of or compliance
with this Agreement will be borne by the Company, regardless of whether a Registration Statement
becomes effective, including without limitation: (i) all registration and filing fees and
expenses; (ii) all fees and expenses of compliance with federal securities and state Blue Sky or
securities laws; (iii) all expenses of printing (including printing certificates for the Series B
Notes to be issued in the Exchange Offer and Private Series B Notes to be issued in the Private
Exchange, if any, and printing of Prospectuses), messenger and delivery services and telephone;
(iv) all fees and disbursements of counsel for the Company and the Guarantors; (v) all reasonable
fees and disbursements of one counsel (and in addition any local counsel) as selected by Holders of
a majority in aggregate principal amount of Transfer Restricted Securities; (vi) all
application and filing fees in connection with listing the Series B Notes on a national
securities exchange or automated quotation system pursuant to the requirements hereof; (vii) all
reasonable fees and disbursements of independent certified public accountants of the Company and
the Guarantors (including the expenses of any special audit and comfort letters required by or
incident to such performance), and (viii) rating agency fees.

 

16

 

The Company will, in any event, bear its and the Guarantors’ internal expenses (including,
without limitation, all salaries and expenses of its officers and employees performing legal or
accounting duties), the expenses of any annual audit and the fees and expenses of any Person,
including special experts, retained by the Company or the Guarantors.

(b) In connection with any Registration Statement required by this Agreement (including,
without limitation, the Exchange Offer Registration Statement and the Shelf Registration
Statement), the Company and the Guarantors will reimburse the Initial Purchaser and the Holders of
Transfer Restricted Securities who are tendering Series A Notes into in the Exchange Offer and/or
selling or reselling Series A Notes or Series B Notes pursuant to the “Plan of Distribution”
contained in the Exchange Offer Registration Statement or the Shelf Registration Statement, as
applicable, for the reasonable fees and disbursements of not more than one counsel, who shall be
Proskauer Rose LLP, unless another firm shall be chosen by the Holders of a majority in principal
amount of the Transfer Restricted Securities for whose benefit such Registration Statement is being
prepared.

SECTION 8. INDEMNIFICATION

(a) The Company and the Guarantors agree, jointly and severally, to indemnify and hold
harmless each Holder, its directors, officers and each Person, if any, who controls such Holder
(within the meaning of Section 15 of the Act or Section 20 of the Exchange Act), from and against
any and all losses, claims, damages, liabilities, judgments, (including without limitation, any
legal or other expenses incurred in connection with investigating or defending any matter,
including any action that could give rise to any such losses, claims, damages, liabilities or
judgments) caused by any untrue statement or alleged untrue statement of a material fact contained
in any Registration Statement, preliminary prospectus or Prospectus (or any amendment or supplement
thereto) provided by the Company to any Holder or any prospective purchaser of Series B Notes or
registered Series A Notes, or caused by any omission or alleged omission to state therein a
material fact required to be stated therein or necessary to make the statements therein (in light
of the circumstances under which they were made) not misleading, provided, however,
that the Company and the Guarantors shall not be liable in any such case to the extent that such
losses, claims, damages, liabilities or judgments are caused by an untrue statement or omission or
alleged untrue statement or omission that is based upon information relating to any of the Holders
furnished in writing to the Company by any of the Holders, provided, further, that
with respect to any untrue statement or alleged untrue statement of a material fact or omission or
alleged omission of material fact in the Registration Statement, the preliminary Prospectus or
Prospectus, the indemnity contained in this Section 8 shall not inure to the benefit of any Holder
to the extent that such loss, claim, damage, liability or judgment results solely from an untrue
statement of a material fact contained in, or the omission of a material fact from, any
Registration Statement, preliminary Prospectus or Prospectus, which untrue statement or omission
was completely corrected in the Prospectus as amended or supplemented if it shall
have been determined by a court of competent jurisdiction that (1) such Holder sold the Series
B Notes or registered Series A Notes to the Person alleging such loss, claim, damage or liability
and failed to send or give, at or prior to the written confirmation of such sale, a copy of the
Prospectus as amended or supplemented, if required by applicable law to have so delivered it, and
(2) the Company had previously furnished copies of the corrected Prospectus as amended or
supplemented to such Holder within a reasonable amount of time prior to such sale or such written
confirmation, and (3) the corrected Prospectus as amended or supplemented, if delivered would have
been a complete defense against the Person asserting such loss, claim, damage or liability.

 

17

 

(b) Each Holder of Transfer Restricted Securities agrees, severally and not jointly, to
indemnify and hold harmless the Company and the Guarantors, and their respective directors and
officers, and each Person, if any, who controls (within the meaning of Section 15 of the Act or
Section 20 of the Exchange Act) the Company, or the Guarantors to the same extent as the foregoing
indemnity from the Company and the Guarantors set forth in section (a) above, but only with
reference to information relating to such Holder furnished in writing to the Company by such Holder
expressly for use in any Registration Statement. In no event shall any Holder, its directors,
officers or any Person who controls such Holder be liable or responsible for any amount in excess
of the amount by which the total amount received by such Holder with respect to its sale of
Transfer Restricted Securities pursuant to a Registration Statement exceeds (i) the amount paid by
such Holder for such Transfer Restricted Securities and (ii) the amount of any damages that such
Holder, its directors, officers or any Person who controls such Holder has otherwise been required
to pay by reason of such untrue or alleged untrue statement or omission or alleged omission.

(c) In case any action shall be commenced involving any person in respect of which indemnity
may be sought pursuant to Section 8(a) or 8(b) (the “indemnified party”), the indemnified party
shall promptly notify the person against whom such indemnity may be sought (the “indemnifying
person”) in writing and the indemnifying party shall have the right, exercisable by giving written
notice to any indemnified party within 20 Business Days after receipt of such notice by such
indemnified party of such action, to assume, at their expense the defense of such action. Any
indemnified party shall have the right to employ separate counsel in any such action and
participate in the defense thereof, but the fees and expenses of such counsel shall be at the
expense of the indemnified party unless (i) the employment of such counsel shall have been
specifically authorized in writing by the indemnifying party, (ii) the indemnifying party shall
have failed to assume the defense of such action or employ counsel reasonably satisfactory to the
indemnified party or (iii) the named parties to any such action (including any impleaded parties)
include both the indemnified party and the indemnifying party, and the indemnified party shall have
been advised by such counsel that there may be one or more legal defenses available to it which are
different from or additional to those available to the indemnifying party (in which case the
indemnifying party shall not have the right to assume the defense of such action on behalf of the
indemnified party). In any such case, the indemnifying party shall not, in connection with any one
action or separate but substantially similar or related actions in the same jurisdiction arising
out of the same general allegations or circumstances, be liable for the fees and expenses of more
than one separate firm of attorneys (in addition to any local counsel) for all indemnified parties
and all such fees and expenses shall be reimbursed as they are incurred. Such firm shall be
designated in writing by a majority of the Holders, in the
case of the parties indemnified pursuant to Section 8(a), and by the Company and Guarantors,
in the case of parties indemnified pursuant to Section 8(b). The indemnifying party shall
indemnify and hold harmless the indemnified party from and against any and all losses, claims,
damages, liabilities and judgments by reason of any settlement of any action effected with its
written consent and no indemnifying party shall be liable for any settlement effected without its
written consent. No indemnifying party shall, without the prior written consent of the indemnified
party, effect any settlement or compromise of, or consent to the entry of judgment with respect to,
any pending or threatened action in respect of which the indemnified party is or could have been a
party and indemnity or contribution may be or could have been sought hereunder by the indemnified
party, unless such settlement, compromise or judgment (i) includes an unconditional release of the
indemnified party from all liability on claims that are or could have been the subject matter of
such action and (ii) does not include a statement as to or an admission of fault, culpability or a
failure to act, by or on behalf of the indemnified party.

 

18

 

(d) To the extent that the indemnification provided for in this Section 8 is unavailable to an
indemnified party in respect of any losses, claims, damages, liabilities or judgments referred to
therein, then each indemnifying party, in lieu of indemnifying such indemnified party, shall
contribute to the amount paid or payable by such indemnified party as a result of such losses,
claims, damages, liabilities or judgments (i) in such proportion as is appropriate to reflect the
relative benefits received by the Company and the Guarantors, on the one hand, and the Holders, on
the other hand, from their sale of Transfer Restricted Securities or (ii) if the allocation
provided by clause 8(d)(i) is not permitted by applicable law, in such proportion as is appropriate
to reflect not only the relative benefits referred to in clause 8(d)(i) above but also the relative
fault of the Company and the Guarantors, on the one hand, and of the Holder, on the other hand, in
connection with the statements or omissions which resulted in such losses, claims, damages,
liabilities or judgments, as well as any other relevant equitable considerations. The relative
fault of the Company and the Guarantors, on the one hand, and of the Holder, on the other hand,
shall be determined by reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission or alleged omission to state a material fact relates
to information supplied by the Company or such Guarantor, on the one hand, or by the Holder, on the
other hand, and the parties’ relative intent, knowledge, access to information and opportunity to
correct or prevent such statement or omission. The amount paid or payable by a party as a result
of the losses, claims, damages, liabilities and judgments referred to above shall be deemed to
include, subject to the limitations set forth in the second paragraph of Section 8(a), any legal or
other fees or expenses reasonably incurred by such party in connection with investigating or
defending any action or claim.

The Company, the Guarantors and each Holder agree that it would not be just and equitable if
contribution pursuant to this Section 8(d) were determined by pro rata allocation (even if the
Holders were treated as one entity for such purpose) or by any other method of allocation which
does not take account of the equitable considerations referred to in the immediately preceding
paragraph. The amount paid or payable by an indemnified party as a result of the losses, claims,
damages, liabilities or judgments referred to in the immediately preceding paragraph shall be
deemed to include, subject to the limitations set forth above, any legal or other expenses
reasonably incurred by such indemnified party in connection with investigating or defending any
matter, including any action that could have given rise to such losses, claims, damages,
liabilities or judgments. Notwithstanding the provisions of this Section
8, no Holder, its directors, its officers or any Person, if any, who controls such Holder
shall be required to contribute, in the aggregate, any amount in excess of the amount by which the
total received by such Holder with respect to the sale of Transfer Restricted Securities pursuant
to a Registration Statement exceeds (i) the amount paid by such Holder for such Transfer Restricted
Securities and (ii) the amount of any damages which such Holder has otherwise been required to pay
by reason of such untrue or alleged untrue statement or omission or alleged omission. No person
guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Act) shall be
entitled to contribution from any person who was not guilty of such fraudulent misrepresentation.
The Holders’ obligations to contribute pursuant to this Section 8(c) are several in proportion to
the respective principal amount of Transfer Restricted Securities held by each Holder hereunder and
not joint.

 

19

 

SECTION 9. RULE 144A AND RULE 144

The Company and each Guarantor agrees with each Holder, for so long as any Transfer Restricted
Securities remain outstanding and during any period in which the Company or such Guarantor (i) is
not subject to Section 13 or 15(d) of the Exchange Act, to make available, upon request of any
Holder, to such Holder or beneficial owner of Transfer Restricted Securities in connection with any
sale thereof and any prospective purchaser of such Transfer Restricted Securities designated by
such Holder or beneficial owner, the information required by Rule 144A(d)(4) under the Act in order
to permit resales of such Transfer Restricted Securities pursuant to Rule 144A, and (ii) is subject
to Section 13 or 15 (d) of the Exchange Act, to make all filings required thereby in a timely
manner in order to permit resales of such Transfer Restricted Securities pursuant to Rule 144.

SECTION 10. MISCELLANEOUS

(a) Remedies. The Company and the Guarantors acknowledge and agree that any failure
by the Company and/or the Guarantors to comply with their respective obligations under Sections 3
and 4 hereof may result in material irreparable injury to the Initial Purchaser or the Holders for
which there is no adequate remedy at law, that it will not be possible to measure damages for such
injuries precisely and that, in the event of any such failure, the Initial Purchaser or any Holder
may obtain such relief as may be required to specifically enforce the Company’s and the Guarantor’s
obligations under Sections 3 and 4 hereof. The Company and the Guarantors further agree to waive
the defense in any action for specific performance that a remedy at law would be adequate.

(b) No Inconsistent Agreements. Neither the Company nor any Guarantor will, on or
after the date of this Agreement, enter into any agreement with respect to its securities that is
inconsistent with the rights granted to the Holders in this Agreement or otherwise conflicts with
the provisions hereof. Neither the Company nor any Guarantor has previously entered into any
agreement granting any registration rights with respect to its securities to any Person other than
that certain Registration Rights Agreement, dated as of March 31, 2004, by and among the Company,
the guarantors party thereto, the Initial Purchaser and Deutsche Bank Securities Inc. The rights
granted to the Holders hereunder do not in any way conflict with and are not inconsistent with the
rights granted to the holders of the Company’s and the Guarantors’ securities under any agreement
in effect on the date hereof.

 

20

 

(c) Amendments and Waivers. The provisions of this Agreement may not be amended,
modified or supplemented, and waivers or consents to or departures from the provisions hereof may
not be given unless (i) in the case of Section 5 and 8 hereof and this Section 10(c)(i), the
Company has obtained the written consent of Holders of all outstanding Transfer Restricted
Securities and (ii) in the case of all other provisions hereof, the Company has obtained the
written consent of Holders of a majority of the outstanding principal amount of Transfer Restricted
Securities. Notwithstanding the foregoing, a waiver or consent to departure from the provisions
hereof that relates exclusively to the rights of Holders whose Transfer Restricted Securities are
being tendered pursuant to the Exchange Offer, and that does not affect directly or indirectly the
rights of other Holders whose Transfer Restricted Securities are not being tendered pursuant to
such Exchange Offer, may be given by the Holders of a majority of the outstanding principal amount
of Transfer Restricted Securities subject to such Exchange Offer.

(d) Third Party Beneficiary. The Holders shall be third party beneficiaries to the
agreements made hereunder between the Company and the Guarantors, on the one hand, and the Initial
Purchaser, on the other hand, and shall have the right to enforce such agreements directly to the
extent they may deem such enforcement necessary or advisable to protect its rights or the rights of
Holders hereunder.

(e) Notices. All notices and other communications provided for or permitted hereunder
shall be made in writing by hand-delivery, first-class mail (registered or certified, return
receipt requested), telex, telecopier, e-mail or air courier guaranteeing overnight delivery:

(i) if to a Holder, at the address set forth on the records of the Registrar under the
Indenture, with a copy to the Registrar under the Indenture and with a copy to:

Proskauer Rose LLP

2049 Century Park East

Los Angeles, CA 90067

Telecopier No.: (310) 557-2193

E-mail: mworonoff@proskauer.com and mshilling@proskauer.com

Attention: Michael Woronoff and Monica Shilling; and

(ii) if to the Company or the Guarantors:

Real Mex Restaurants, Inc.

5660 Katella Avenue, Suite 100

Cypress, CA 90630

Telecopier No.: (562) 346-1465

E-mail: steve.tanner@realmexrestaurants.com

Attention: Steven Tanner

 

21

 

With a copy to:

Loeb & Loeb LLP

10100 Santa Monica Blvd., Suite 2200

Los Angeles, CA 90067

Telecopier No.: (310) 919-3970

E-mail: gchizever@loeb.com

Attention: Jerry Chizever

All such notices and communications shall be deemed to have been duly given: at the time delivered by hand, if personally delivered; five Business Days
after being deposited in the mail, postage prepaid, if mailed; when receipt
acknowledged, if telecopied or e-mailed; and on the next Business Day, if
timely delivered to an air courier guaranteeing overnight delivery.

Copies of all such notices, demands or other communications shall be concurrently delivered by
the Person giving the same to the Trustee at the address specified in the Indenture.

(f) Successors and Assigns. This Agreement shall inure to the benefit of and be
binding upon the successors and assigns of each of the parties, including without limitation and
without the need for an express assignment, subsequent Holders; provided, that nothing
herein shall be deemed to permit any assignment, transfer or other disposition of Transfer
Restricted Securities in violation of the terms hereof or of the Purchase Agreement or the
Indenture. If any transferee of any Holder shall acquire Transfer Restricted Securities in any
manner, whether by operation of law or otherwise, such Transfer Restricted Securities shall be held
subject to all of the terms of this Agreement, and by taking and holding such Transfer Restricted
Securities such Person shall be conclusively deemed to have agreed to be bound by and to perform
all of the terms and provisions of this Agreement, including the restrictions on resale set forth
in this Agreement and, if applicable, the Purchase Agreement, and such Person shall be entitled to
receive the benefits hereof.

(g) Counterparts. This Agreement may be executed in any number of counterparts and by
the parties hereto in separate counterparts, each of which when so executed shall be deemed to be
an original and all of which taken together shall constitute one and the same agreement.

(h) Headings. The headings in this Agreement are for convenience of reference only
and shall not limit or otherwise affect the meaning hereof.

(i) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO THE CONFLICT OF LAW RULES THEREOF TO THE
EXTENT SUCH LAWS WOULD CAUSE THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION.

 

22

 

(j) Venue. EACH PARTY HERETO HEREBY EXPRESSLY AND IRREVOCABLY (I) SUBMITS TO THE
NON-EXCLUSIVE JURISDICTION OF THE
FEDERAL AND STATE COURTS SITTING IN THE BOROUGH OF MANHATTAN IN THE CITY OF NEW YORK IN ANY
SUIT OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY; AND (II) WAIVES (A) THEIR RESPECTIVE RIGHTS TO A TRIAL BY JURY IN ANY LEGAL ACTION OR
PROCEEDING RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, OR ANY COURSE OF
CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF THE INITIAL
PURCHASER AND FOR ANY COUNTERCLAIM RELATED TO ANY OF THE FOREGOING AND (B) ANY OBJECTION WHICH THEY
MAY HAVE OR HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT IN ANY SUCH
COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT
FORUM.

(j) Severability. In the event that any one or more of the provisions contained
herein, or the application thereof in any circumstance, is held invalid, illegal or unenforceable,
the validity, legality and enforceability of any such provision in every other respect and of the
remaining provisions contained herein shall not be affected or impaired thereby.

(k) Entire Agreement. This Agreement is intended by the parties as a final expression
of their agreement and intended to be a complete and exclusive statement of the agreement and
understanding of the parties hereto in respect of the subject matter contained herein. There are
no restrictions, promises, warranties or undertakings, other than those set forth or referred to
herein with respect to the registration rights granted with respect to the Transfer Restricted
Securities. This Agreement supersedes all prior agreements and understandings between the parties
with respect to such subject matter.

(l) Securities Held by the Company or Its Affiliates. Whenever the consent or
approval of Holders of a specified percentage of Transfer Restricted Securities is required
hereunder, Transfer Restricted Securities held by the Company or its Affiliates shall not be
counted in determining whether such consent or approval was given by the Holders of such required
percentage.

 

23

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written
above.

	 	 	 	 	 
	 	REAL MEX RESTAURANTS, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	RM RESTAURANT HOLDING CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	ACAPULCO MARK CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	ACAPULCO RESTAURANT OF DOWNEY, INC.

	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	ACAPULCO RESTAURANT OF MORENO VALLEY, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	ACAPULCO RESTAURANT OF VENTURA, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 

 

 

	 	 	 	 	 
	 	ACAPULCO RESTAURANT OF WESTWOOD, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	ACAPULCO RESTAURANTS, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	ALA DESIGN, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	CHEVYS RESTAURANTS, LLC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	CKR ACQUISITION CORP.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	EL PASO CANTINA, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	EL TORITO FRANCHISING COMPANY

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 

 

2

 

	 	 	 	 	 
	 	EL TORITO RESTAURANTS, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	MURRAY PACIFIC

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	REAL MEX FOODS, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	TARV, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Steven L. Tanner 	 
	 	 	Title:  	Chief Financial Officer 	 

 

3

 

	 	 	 	 	 
	 	JEFFERIES & COMPANY, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	Christian Morris 	 
	 	 	Title:  	Managing Director 	 

 

4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}]]