Document:

Agreement Between Unum Group and Deutsche Bank AG

 EXHIBIT 10.1 
 AGREEMENT DATED JULY 31, 2008 BETWEEN UNUM GROUP AND DEUTSCHE BANK AG, 
 LONDON BRANCH FOR AN
ACCELERATED SHARE REPURCHASE TRANSACTION 
  

					
	 	  	 	  	 

  

		  		  	 Deutsche Bank AG, London Branch
 Winchester
house
 1 Great Winchester St, London EC2N
 2DB
 Telephone: 44 20 7545 8000

		  		  	
		  		  	 c/o Deutsche Bank Securities Inc.
 60 Wall
Street
 New York, NY 10005
 Telephone: 212-250-5977
 Facsimile: 212-797-8826

		  		  	
		  		  	Internal Reference: [         ]

 July 31, 2008 
 Unum Group (the “Issuer”) 
 1 Fountain Square 
 Chattanooga, TN 37402 
 Fixed Dollar Accelerated Share Repurchase Transaction –DBSI Reference No.
[            ] 
 Dear Sir/Madam: 
 The purpose of this letter agreement (this “Confirmation”) is to confirm the terms and conditions of the Transaction entered into between Deutsche
Bank AG, London Branch, (“Deutsche”) and Issuer on the Trade Date specified below (the “Transaction”). This Confirmation constitutes a “Confirmation” as referred to in the ISDA Master Agreement
specified below. This Confirmation constitutes the entire agreement and understanding of the parties with respect to the subject matter and terms of the Transaction and supersedes all prior or contemporaneous written and oral communications with
respect thereto. 
 DEUTSCHE BANK AG IS NOT REGISTERED AS A BROKER DEALER UNDER THE U.S. SECURITIES EXCHANGE ACT OF 1934. DEUTSCHE BANK
SECURITIES INC. (“DBSI”) HAS ACTED SOLELY AS AGENT IN CONNECTION WITH THIS TRANSACTION AND HAS NO OBLIGATION, BY WAY OF ISSUANCE, ENDORSEMENT, GUARANTEE OR OTHERWISE WITH RESPECT TO THE PERFORMANCE OF EITHER PARTY UNDER THE TRANSACTION. AS
SUCH, ALL DELIVERY OF FUNDS, ASSETS, NOTICES, DEMANDS AND COMMUNICATIONS OF ANY KIND RELATING TO THIS TRANSACTION BETWEEN DEUTSCHE AND ISSUER SHALL BE TRANSMITTED EXCLUSIVELY THROUGH DBSI. DEUTSCHE BANK AG ACTING THROUGH ITS LONDON BRANCH IS NOT A
MEMBER OF THE SECURITIES INVESTOR PROTECTION CORPORATION (SIPC). 
 The definitions and provisions contained in the 2002 ISDA Equity
Derivatives Definitions (the “Equity Definitions”), as published by the International Swaps and Derivatives Association, Inc., are incorporated into this Confirmation. In the event of any inconsistency between the Equity Definitions
and this Confirmation, the terms of this Confirmation will govern. For purposes of the Equity Definitions, the Transaction shall be considered a Share Forward Transaction. Any reference to a currency shall have the meaning contained in Annex A to
the 1998 ISDA FX and Currency Option Definitions, as published by ISDA. 
 1. This Confirmation evidences a complete and binding agreement
between Deutsche and Issuer as to the terms of the Transaction to which this Confirmation relates. This Confirmation shall be subject to an agreement (the 

 
“Agreement”) in the form of the 2002 ISDA Master Agreement (the “ISDA Form”) as if Deutsche and Issuer had executed an
agreement in such form without any Schedule. For the avoidance of doubt, the Transaction shall be the only transaction under the Agreement. 
 2. The terms of the particular Transaction to which this Confirmation relates are as follows: 
 GENERAL TERMS:  
  

	 Trade Date: 
	As specified in Schedule I 

  

	 Buyer: 
	Issuer 

  

	 Seller: 
	Deutsche 

  

	 Shares: 
	Common Stock of Issuer (Ticker: UNM) 

  

	 Number of Shares: 
	The number of Shares delivered in accordance with Physical Settlement below. 

  

	 Forward Price: 
	A price per Share (as determined by the Calculation Agent) equal to (i) the sum of the 10b-18 VWAP for each Trading Day during the Calculation Period divided by (ii) the number of Trading Days in
the Calculation Period minus (iii) the Discount (as specified in Schedule I). 

  

	 10b-18 VWAP: 
	For each Trading Day during the Calculation Period, a price per share (as determined by the Calculation Agent) equal to the volume-weighted average price of the Rule 10b-18 eligible trades in the Shares for
the entirety of such Trading Day as determined by reference to the screen entitled “UNM.N <Equity> AQR SEC” or any successor page as reported by Bloomberg L.P. (without regard to pre-open or after hours trading outside of any regular
trading session for such Trading Day or block trades (as defined in Rule 10b-18(b)(5) of the Securities Exchange Act of 1934 as amended (the “Exchange Act”)) on such Trading Day). 

  

	 Calculation Period: 
	The period from and including the Prepayment Date to but excluding the relevant Valuation Date. 

  

	 Trading Day: 
	Any Exchange Business Day that is not a Disrupted Day. 

  

	 Initial Shares: 
	As specified in Schedule I 

  

	 Initial Share Delivery Date: 
	The Prepayment Date. On the Initial Share Delivery Date, Seller shall deliver a number of Shares equal to the Initial Shares to Buyer in accordance with Section 9.4 of the Equity Definitions, with the
Initial Share Delivery Date deemed to be a “Settlement Date” for purposes of such Section 9.4. 

  

	 Prepayment: 
	Applicable 

  

	 Prepayment Amount: 
	As specified in Schedule I 

  

	 Adjustment Amount: 
	As specified in Schedule I 

  

	 Prepayment Date: 
	August 4, 2008. On the Prepayment Date, Buyer shall pay to Seller the Prepayment Amount and the Adjustment Amount, if any. 

  

	 Exchange: 
	New York Stock Exchange 

  

	 Related Exchange: 
	The primary exchange on which options or futures on the relevant Shares are traded. 

  

	 Market Disruption Event: 
	The definition of “Market Disruption Event” in Section 6.3(a) of the Equity Definitions is hereby amended by inserting the words “at any time on any Scheduled Trading Day during the
Calculation Period or” after the word “material,” in the third line thereof. 

 Notwithstanding anything to the
contrary in the Equity Definitions, if any Scheduled Trading Day in the Calculation Period is a Disrupted Day, the Calculation Agent shall have the option in its sole discretion either (i) to determine the weighting of each Rule 10b-18 eligible
transaction in the Shares on the relevant Disrupted Day using its commercially reasonable judgment for purposes of calculating the Forward Price, as applicable, (ii) to elect to extend the Calculation Period by a number of Scheduled Trading
Days equal to the number of Disrupted Days during the Calculation Period or (iii) to suspend the Calculation Period, as appropriate, until the circumstances giving rise to such suspension have ceased. For the avoidance of doubt, if Calculation
Agent elects the option described in clause (i) above, then such Disrupted Day shall be deemed to be a Trading Day for purposes of calculating the Forward Price. 
 VALUATION:  
  

	 Valuation Time: 
	The Scheduled Closing Time on the relevant Exchange 

  

	 Valuation Date: 
	The earlier of (i) The Scheduled Valuation Date (as specified in Schedule I) and (ii) any date after the Lock-Out Date (as specified in Schedule I) specified by Deutsche to Issuer by 9:00pm EST on
such date as a Valuation Date, in each case, subject to extension in accordance with “Market Disruption Event” above or Section 9 or Section 10 below; provided, however, that if a Valuation Date occurs pursuant to clause
(ii) above, then (A) the Calculation Period for this Transaction (or portion thereof) shall be deemed to end as of the Trading Day immediately preceding the relevant Valuation Date and (B) Deutsche shall have the right to specify a
Valuation Date with respect to any portion of this Transaction as it selects (any such Valuation Date on a portion of this Transaction for less than the full Prepayment Amount, a “Partial Acceleration Date”); provided, however, that
Deutsche can elect no more than three Partial Acceleration Dates during the term of this Transaction. 

 In the case of a
Partial Acceleration Date, Deutsche shall specify in its notice to Issuer designating a Valuation Date in connection with a Partial Acceleration Date the percentage of the Prepayment Amount that is subject to such Valuation Date and Calculation
Agent shall adjust all terms of this Transaction as it deems reasonable in order to take into account the occurrence of any Partial Acceleration Date (including cumulative adjustments to take into account all Partial Acceleration Dates that occur
during the term of this Transaction). 
 On each Valuation Date, Calculation Agent shall calculate the Settlement Amount. 
 SETTLEMENT TERMS:  
  

	 Physical Settlement: 
	Applicable. 

 On the Settlement Date, Seller shall deliver to Buyer a number of
Shares equal to (a) (i) the Prepayment Amount divided by (ii) the Forward Price as determined on each Valuation Date, minus (b) the Initial Shares (such number of Shares, the “Settlement Amount”), rounded
to the nearest whole number of Shares; provided, however, that if the Settlement Amount is less than zero, then Buyer shall deliver to Seller a number of Shares equal to 100.25% of the absolute value of the Settlement Amount (such number of
Shares, the “Payment Shares”); provided 

 
further, however if the Buyer chooses to deliver Payment Shares to the Seller, then the conditions set forth in Annex A attached hereto must be
satisfied, delivery must be made pursuant to the provisions therein and the Buyer shall be deemed to have made the covenants and representations therein. 
 Notwithstanding the first proviso above, if the Settlement Amount is less than zero, Buyer may cash settle its obligation to deliver the Payment Shares by delivering to Seller a notice by no later than each Valuation
Date electing to cash settle its obligation to deliver the Payment Shares. Any such cash settlement shall be effected in accordance with “Cash Settlement of Payment Shares” below. 
 For the avoidance of doubt, upon the date that (i) Buyer satisfies its obligation to deliver the Payment Shares to Seller in accordance with the
terms of this provision or (ii) the Settlement Balance (as defined below) is reduced to zero in connection with cash settlement of Buyer’s obligation to deliver Payment Shares (as described under “Cash Settlement of Payment
Shares” below), then Buyer shall have no further delivery or payment obligations under the terms of this Transaction and this Transaction shall be deemed to have been settled as of such date. 
 Any such payment and/or delivery shall be made through the relevant Clearance System(s) to the account(s) specified herein. 
  

	 Settlement Currency: 
	USD 

  

	 Settlement Date: 
	Three Exchange Business Days after each Valuation Date, or if such date is not a Clearance System Business Day or if there is a Settlement Disruption Event on such day, the immediately succeeding Clearance
System Business Day on which there is no Settlement Disruption Event. 

  

	 Cash Settlement of Payment 
Shares: 
	If Buyer elects to cash settle its obligation to deliver Payment Shares, then on each Valuation Date a balance (the “Settlement Balance”) shall be created with an initial balance equal to
the absolute value of the Settlement Amount. On the Settlement Date, Buyer shall deliver to Seller a U.S. dollar amount equal to the Payment Shares multiplied by a price per Share as determined by the Calculation Agent in a commercially reasonable
manner (such cash amount, the “Initial Cash Settlement Amount”). On the Exchange Business Day immediately following the delivery of the Initial Cash Settlement Amount, Seller shall begin purchasing Shares in a commercially
reasonable manner (all such Shares purchased, “Cash Settlement Shares”). At the end of each Exchange Business Day on which Seller purchases Cash Settlement Shares, Seller shall reduce (i) the Settlement Balance by the number of Cash
Settlement Shares purchased on such Exchange Business Day and (ii) the Initial Cash Settlement Amount by the aggregate purchase price (including commissions) of the Cash Settlement Shares on such Exchange Business Day. If, on any Exchange
Business Day, the Initial Cash Settlement Amount is reduced to or below zero but the Settlement Balance is above zero, the Buyer shall (i) deliver to Seller or as directed by Seller on the next Exchange Business Day after such Exchange Business
Day an additional U.S. dollar amount (an “Additional Cash Settlement Amount”) equal to the Settlement Balance as of such Exchange Business Day multiplied by a price per Share as determined by the Calculation Agent in a commercially
reasonable manner. This provision shall be applied successively until the Settlement Balance is reduced to zero. On the Exchange Business Day that the Settlement Balance is reduced to zero, Seller shall return to Buyer any unused portion of the
Initial Cash Settlement Amount or the Additional Cash Settlement Amount, as the case may be. For the avoidance of doubt, any purchases of Cash Settlement Shares contemplated by this paragraph shall be subject to Seller’s covenants in
Section 11(b). 

 SHARE ADJUSTMENTS: 
  

	 Potential Adjustment Event: 
	Notwithstanding anything to the contrary in Section 11.2(e) of the Equity Definitions, an Extraordinary Dividend shall not constitute a Potential Adjustment Event 

  

	 Extraordinary Dividend: 
	For any fiscal quarter occurring (in whole or in part) during the period from and including the first day of the Calculation Period to and including the final Valuation Date, any dividend or distribution on
the Shares with an ex-dividend date occurring during such fiscal quarter (other than any dividend or distribution of the type described in Section 11.2(e)(i) or Section 11.2(e)(ii)(A) or (B) of the Equity Definitions) (a
“Dividend”) that is either (i) a non-regularly scheduled Dividend or (ii) the amount or value of which (as determined by the Calculation Agent) exceeds the Ordinary Dividend Amount. 

  

	 Ordinary Dividend Amount: 
	For any calendar quarter, USD 0.075 

  

	 Method of Adjustment: 
	Calculation Agent Adjustment; provided that if Seller suspends trading in the Shares for all or any portion of a Trading Day within the Calculation Period, the suspension shall be treated as a
Potential Adjustment Event subject to Calculation Agent Adjustment. In the case of a suspension pursuant to Section 10, the Calculation Agent shall make such adjustments prior to the period of suspension, if it is practical to do so. Otherwise,
and in all cases of a suspension as contemplated under “Market Disruption Event” above, the Calculation Agent shall make such adjustments promptly following the period of suspension. 

 EXTRAORDINARY EVENTS:  
 Consequences of Merger Events: 
  

	 Share-for-Share: 
	Modified Calculation Agent Adjustment 

  

	 Share-for-Other: 
	Cancellation and Payment on that portion of the Other Consideration that consists of cash; Modified Calculation Agent Adjustment on the remainder of the Other Consideration 

  

	 Share-for-Combined: 
	Modified Calculation Agent Adjustment 

  

	 Tender Offer: 
	Applicable 

 Consequences of Tender Offers: 
  

	 Share-for-Share: 
	Modified Calculation Agent Adjustment 

  

	 Share-for-Other: 
	Modified Calculation Agent Adjustment 

  

	 Share-for-Combined: 
	Modified Calculation Agent Adjustment 

  

	 Composition of 
Combined Consideration: 
	Applicable 

  
  

	 Consequences of Announcement 
Events: 
	Modified Calculation Agent Adjustment as set forth in Section 12.3(d) of the Equity Definitions; provided that references to “Tender Offer” shall be replaced by references to
“Announcement Event” and references to “Tender Offer Date” shall be replaced by references to “Announcement Date.” An Announcement Event shall be an “Extraordinary Event” for purposes of the Equity
Definitions, to which Article 12 of the Equity Definitions is applicable. 

	 Announcement Event: 
	The occurrence of an Announcement Date in respect of a potential Merger Event or potential Tender Offer. 

  

	 Announcement Date: 
	The date of the first public announcement in relation to a potential Merger Event or potential Tender Offer. 

  

	 Provisions applicable to Merger 
Events and Tender Offers: 
	The consequences set forth opposite “Consequences of Merger Events” and “Consequences of Tender Offers” above shall apply regardless of whether a particular Merger Event or Tender Offer
relates to an Announcement Date for which an adjustment has been made pursuant to Consequences of Announcement Events, without duplication of any such adjustment. 

  

	 Nationalization, 
Insolvency or Delisting: 
	Cancellation and Payment provided that in addition to the provisions of Section 12.6(a)(iii) of the Equity Definitions, it shall also constitute a Delisting if the Exchange is located in the
United States and the Shares are not immediately re-listed or re-traded on any of the New York Stock Exchange, the American Stock Exchange, the NASDAQ Global Select Market or the NASDAQ Global Market (or their respective successors); if the Shares
are immediately re-listed or re-traded on any such exchange, such exchange shall thereafter be deemed to be the Exchange. 

 Additional
Disruption Events: 
  

	 Change in Law: 
	Applicable provided that Section 12.9(a)(ii) of the Equity Definitions is hereby amended by (i) replacing the phrase “the interpretation” in the third line thereof with the phrase
“or announcement or statement of the formal or informal interpretation” and (ii) immediately following the word “Transaction” in clause (X) thereof, adding the phrase “in the manner contemplated by the Hedging
Party on the Trade Date”.

  

	 Failure to Deliver: 
	Applicable 

  

	 Insolvency Filing: 
	Applicable 

  

	 Hedging Disruption: 
	Applicable 

  

	 Increased Cost of Hedging: 
	Applicable 

  

	 Loss of Stock Borrow: 
	Applicable 

  

	 Maximum Stock Loan Rate: 
	100bps 

  

	 Increased Cost of Stock Borrow: 
	Applicable 

  

	 Initial Stock Loan Rate: 
	25bps 

  

	 Determining Party: 
	For all Extraordinary Events, Deutsche 

  

	 Hedging Party: 
	For all Additional Disruption Events, Deutsche 

  

	 Non-Reliance: 
	Applicable 

 AGREEMENTS AND ACKNOWLEDGMENTS: 
  

	 Regarding Hedging Activities: 
	Applicable 

 Additional Acknowledgments:
                         Applicable 
 3. Calculation Agent:                                Deutsche

 4. Account Details: 
 Account
for Payments to Deutsche:
                                      To be provided
separately 
 Account for Payments to Issuer:
                                         
  To be provided by Issuer 
 5. Certain Amendments 
 (a) Nationalization or Insolvency. The words “the Transaction will be cancelled,” in the first line of Section 12.6(c)(ii) are
replaced with the words “Deutsche will have the right to cancel this Transaction,”. 
 (b) Additional Termination Event. The
declaration of any Extraordinary Dividend by Issuer during the period from and including the Trade Date to but excluding the final Valuation Date shall constitute an Additional Termination Event with this Transaction as the only “Affected
Transaction” and Issuer as the sole “Affected Party”. For the avoidance of doubt, the Early Settlement Payment or Deutsche Payment Amount (each as defined below) pursuant to an Early Termination of this Transaction occurring as a
result of an Extraordinary Dividend shall not include the effect of such Extraordinary Dividend. 
 (c) For the avoidance of doubt, this
Transaction shall be deemed to be a “Forward Transaction” for purposes of the Equity Definitions; provided, however, that Section 9.2 of the Equity Definitions shall be replaced in its entirety by the provisions under
“Physical Settlement” above. 
 6. Certain Payments and Deliveries by Deutsche. Notwithstanding anything to the contrary
herein, or in the Equity Definitions, if at any time (i) an Early Termination Date occurs and Deutsche would be required to make a payment pursuant to Sections 6(d) and 6(e) of the Agreement, (ii) a Tender Offer occurs and Deutsche would
be required to make a payment pursuant to Sections 12.3 and 12.7 of the Equity Definitions, (iii) a Merger Event occurs and Deutsche would be required to make a payment pursuant to Sections 12.2 and 12.7 of the Equity Definitions, (iv) an
Announcement Event occurs and Deutsche would be required to make a payment pursuant to Sections 12.3 of the Equity Definitions, (v) a Delisting or Insolvency occurs (except an Insolvency in which the proceeds to be paid to holders of Shares
consist solely of cash) and Deutsche would be required to make a payment pursuant to Sections 12.6 and 12.7 of the Equity Definitions, or (vi) an Additional Disruption Event occurs and Deutsche would be required to make a payment pursuant to
Sections 12.8 and 12.9 of the Equity Definitions, then Issuer shall have the option to require Deutsche to make such payment in cash or to settle such payment amount in Shares (any such payment described in Sections 6(i), (ii), (iii), (iv),
(v) or (vi) above, an “Deutsche Payment Amount”). If Issuer elects for Deutsche to settle a Deutsche Payment Amount in Shares, then on the date such Deutsche Payment Amount is due, a Settlement Balance shall be established
with an initial balance equal to the Deutsche Payment Amount. On such date, Deutsche shall in its discretion commence purchasing Shares for delivery to Issuer. At the end of each Trading Day on which Deutsche purchases Shares pursuant to this
Section 6, Deutsche shall reduce the Settlement Balance by the amount paid by Deutsche to purchase the Shares purchased on such Trading Day. Deutsche shall deliver any Shares purchased on a Trading Day to Issuer on the third Exchange Business
Day following the relevant Trading Day. Deutsche shall continue purchasing Shares until the Settlement Balance has been reduced to zero. 
 7. Certain Payments and Deliveries by Issuer. Notwithstanding anything to the contrary herein, or in the Equity Definitions, if at any time (i) an Early Termination Date occurs and Issuer would be required to make a payment
pursuant to Sections 6(d) and 6(e) of the Agreement, (ii) a Tender Offer occurs and Issuer would be required to make a payment pursuant to Sections 12.3 and 12.7 of the Equity Definitions, (iii) a Merger Event occurs and Issuer would be
required to make a payment pursuant to Sections 12.2 and 12.7 of the Equity Definitions, (iv) an Announcement Event occurs and Issuer would be required to make a payment pursuant to Sections 12.3 of the Equity Definitions, (v) a Delisting
or Insolvency occurs (except an Insolvency in which the proceeds to be paid to holders of Shares consist solely of cash) and Issuer would be required to make a payment pursuant to Sections 12.6 and 12.7 of the Equity Definitions, or (vi) an
Additional Disruption Event occurs and Issuer would be required to make a payment pursuant to Sections 12.8 and 12.9 of the Equity Definitions (any such payment described in Sections 7(i), (ii), (iii), (iv), (v) or (vi) above, an
“Early Settlement Payment”), then Issuer shall have the option, in 

 
lieu of making such cash payment, to settle its payment obligations under Sections 7(i), (ii), (iii), (iv), (v) or (vi) above in Shares (such
Shares, the “Early Settlement Shares”). In order to elect to deliver Early Settlement Shares, (i) Issuer must notify Deutsche of its election by no later than 4 p.m. EST on the date that is three Exchange Business Days before
the date that the Early Settlement Payment is due, (ii) must specify whether such Early Settlement Shares are to be sold by means of a registered offering or by means of a private placement and (iii) the conditions described in
Section 8 below must be satisfied on each day Early Settlement Shares are to be sold by Seller in connection with Buyer’s election to deliver Early Settlement Shares in connection with the settlement of an Early Settlement Payment.

 8. Conditions to Delivery of Early Settlement Shares. 
 Issuer may only deliver Early Settlement Shares and Make-Whole Shares (as defined below) subject to satisfaction of the following conditions:

 (a) If Issuer timely elects to deliver Early Settlement Shares and Make-Whole Shares by means of a registered offering, the following
provisions shall apply: 
 (i) On the later of (A) the Trading Day following the Issuer’s election to deliver Early Settlement
Shares and any Make-Whole Shares by means of a registered offering (the “Registration Notice Date”), and (B) the date on which the Registration Statement is declared effective by the SEC or becomes effective (the
“Registered Share Delivery Date”), the Issuer shall deliver to Deutsche a number of Early Settlement Shares equal to the quotient of (I) the relevant Early Settlement Payment divided by (II) a price per Share as
reasonably determined by the Calculation Agent. 
 (ii) Promptly following the Registration Notice Date, the Issuer shall file with the SEC a
registration statement (“Registration Statement”) covering the public resale by Deutsche of the Early Settlement Shares and any Make-Whole Shares (collectively, the “Registered Securities”) on a continuous or
delayed basis pursuant to Rule 415 (or any similar or successor rule), if available, under the Securities Act; provided that no such filing shall be required pursuant to this paragraph (ii) if the Issuer shall have filed a similar
registration statement with unused capacity at least equal to the relevant Early Settlement Payment and such registration statement has become effective or been declared effective by the SEC on or prior to the Registration Notice Date and no stop
order is in effect with respect to such registration statement as of the Registration Notice Date. The Issuer shall use its best efforts to file an automatic shelf registration statement or have the Registration Statement declared effective by
the SEC as promptly as possible. The Issuer will use its best efforts to cover the resale of the Payment Shares in accordance with customary resale registration procedures, including covenants, conditions, representations, underwriting discounts (if
applicable), commissions (if applicable), indemnities, due diligence rights, opinions and certificates and such other documentation as is customary for equity resale underwriting agreements, all reasonably acceptable to Deutsche. 
 (iii) Promptly following the Registration Notice Date, the Issuer shall afford Deutsche a reasonable opportunity to conduct a due diligence investigation
with respect to the Issuer customary in scope for underwritten offerings of equity securities (including, without limitation, the availability of senior management to respond to questions regarding the business and financial condition of the Issuer
and the right to have made available to Deutsche for inspection all financial and other records, pertinent corporate documents and other information reasonably requested by Deutsche), and Deutsche shall be satisfied in all material respects with the
results of such due diligence investigation of the Issuer. For the avoidance of doubt, the Issuer shall not have the right to deliver Shares pursuant to this Section 8(a) (and the conditions to delivery of Early Settlement Shares specified in
this Section 8(a) shall not be satisfied) until Deutsche is satisfied in all material respects with the results of such due diligence investigation of the Issuer. 
 (iv) From the effectiveness of the Registration Statement until all Registered Securities have been sold by Deutsche, the Issuer shall, at the request of Deutsche, make available to Deutsche a printed prospectus
relating to the Registered Securities in form and substance (including, without limitation, any sections describing the plan of distribution) satisfactory to Deutsche (a “Prospectus”, which term shall include any prospectus
supplement thereto), in such quantities as Morgan shall reasonably request. 
 (v) The Issuer shall use its best efforts to prevent the
issuance of any stop order suspending the effectiveness of the Registration Statement or of any order preventing or suspending the use of any Prospectus and, if any such order is issued, to obtain the lifting thereof as soon thereafter as is
possible. If the Registration Statement, the Prospectus or any document incorporated therein by reference contains a 

 
misstatement of a material fact or omits to state a material fact required to be stated therein or necessary to make any statement therein not misleading,
the Issuer shall as promptly as practicable file any required document and prepare and furnish to Deutsche a reasonable number of copies of such supplement or amendment thereto as may be necessary so that the Prospectus, as thereafter delivered to
the purchasers of the Registered Securities will not contain a misstatement of a material fact or omit to state a material fact required to be stated therein or necessary to make any statement therein not misleading. 
 (vi) On or prior to the Registered Share Delivery Date, the Issuer shall enter into an agreement (a “Transfer Agreement”) with Deutsche
(or any affiliate of Deutsche designated by Deutsche) in connection with the public resale of the Registered Securities, substantially similar to underwriting agreements customary for underwritten offerings of equity securities, in form and
substance satisfactory to Deutsche (or such affiliate), which Transfer Agreement shall (without limitation of the foregoing): 
 (A) contain
provisions substantially similar to those contained in such underwriting agreements relating to the indemnification of, and contribution in connection with the liability of, Deutsche and its affiliates, 
 (B) provide for delivery to Deutsche (or such affiliate) of customary opinions (including, without limitation, accounting comfort letters, opinions
relating to the due authorization, valid issuance and fully paid and non-assessable nature of the Registered Securities and the lack of material misstatements and omissions in the Registration Statement, the Prospectus and the Issuer’s filings
under the Exchange Act of 1934, as amended and modified (the “Exchange Act”)); and 
 (C) provide for the payment by the
Issuer of all fees and expenses in connection with such resale, including all registration costs and all fees and expenses of counsel for Deutsche (or such affiliate). 
 (vii) On the Registered Share Delivery Date, a balance (the “Settlement Balance”) shall be established with an initial balance equal to the applicable amount of the relevant Early Settlement
Payment. Following the delivery of Early Settlement Shares or any Make-Whole Shares, Seller shall sell all such Early Settlement Shares or Make-Whole Shares in a commercially reasonable manner. 
 (viii) At the end of each day upon which sales have been made, the Settlement Balance shall be (A) reduced by an amount equal to the aggregate
proceeds received by Deutsche upon settlement of the sale of such Share, and (B) increased by an amount (as determined by the Calculation Agent in a commercially reasonable manner) equal to Deutsche’s funding cost with respect to the
then-current Settlement Balance as of the close of business on such day. 
 (ix) If, on any date, the Settlement Balance has been reduced to
zero but not all of the Early Settlement Shares have been sold, no additional Early Settlement Shares shall be sold and Deutsche shall promptly deliver to the Issuer (A) any remaining Early Settlement Shares and (B) if the Settlement
Balance has been reduced to an amount less than zero, an amount in cash equal to the absolute value of the then-current Settlement Balance. 
 (x) If, on any date, all of the Early Settlement Shares have been sold and the Settlement Balance has not been reduced to zero, the Issuer shall promptly deliver to Deutsche an additional number of Shares (“Make-Whole
Shares”) equal to (A) the Settlement Balance as of such date divided by (B) the price per Share as determined by the Calculation Agent in a commercially reasonable manner. This clause (x) shall be applied successively until
the Settlement Balance is reduced to zero. 
 (xi) If at any time the number of Shares covered by the Registration Statement is less than the
number of Registered Securities required to be delivered pursuant to this Section 8(a), the Issuer shall, at the request of Deutsche, file additional registration statement(s) to register the sale of all Registered Securities required to be
delivered to Deutsche. 
 (xii) The Issuer shall cooperate with Deutsche and use its reasonable best efforts to take any other action
necessary to effect the intent of the provisions set forth in this Section 8(a). 
 (b) If Issuer timely elects to deliver Early
Settlement Shares and Make-Whole Shares by means of a private placement, the following provisions shall apply: 
 (i) all Early Settlement
Shares and Make-Whole Shares shall be delivered to the Seller (or any affiliate of the Seller designated by the Seller) pursuant to the exemption from the registration requirements of the Securities Act provided by Section 4(2) thereof;

 (ii) Seller and any potential purchaser of any such Shares from the Seller (or any affiliate of the Seller designated by the Seller)
identified by Seller shall have been afforded a commercially reasonable 

 
opportunity to conduct a due diligence investigation with respect to Issuer customary in scope for private placements of equity securities (including,
without limitation, the right to have made available to them for inspection all financial and other records, pertinent corporate documents and other information reasonably requested by them) and Buyer shall not disclose material non-public
information in connection with such due diligence investigation; and 
 (iii) an agreement (a “Private Placement Agreement”)
shall have been entered into between Issuer and the Seller (or any affiliate of the Seller designated by the Seller) in connection with the private placement of such Shares by Issuer to the Seller (or any such affiliate) and the private resale of
such Shares by the Seller (or any such affiliate), substantially similar to private placement purchase agreements customary for private placements of equity securities, in form and substance commercially reasonably satisfactory to the Seller and the
Issuer, which Private Placement Agreement shall include, without limitation, provisions substantially similar to those contained in such private placement purchase agreements relating to the indemnification of, and contribution in connection with
the liability of, the Seller and its affiliates, and shall provide for the payment by Issuer of all fees and expenses in connection with such resale, including all reasonable fees and expenses of one counsel for the Seller but not including any
underwriter or broker discounts and commissions, and shall contain representations, warranties and agreements of Issuer and Seller reasonably necessary or advisable to establish and maintain the availability of an exemption from the registration
requirements of the Securities Act for such resales. 
 (iv) If Issuer elects to deliver Early Settlement Shares to satisfy its payment
obligation of an Early Settlement Payment, neither Issuer nor Seller shall take or cause to be taken any action that would make unavailable either (i) the exemption set forth in Section 4(2) of the Securities Act for the sale of any
Early Settlement Shares or Make-Whole Shares by Issuer to the Seller or (ii) an exemption from the registration requirements of the Securities Act reasonably acceptable to the Seller for resales of Early Settlement Shares and Make-Whole Shares
by the Seller. 
 (v) On the date requested by Deutsche, (A) Issuer shall deliver a number of Early Settlement Shares equal to the
quotient of (I) the relevant Early Settlement Payment divided by (II) a per share value, determined by Deutsche in a commercially reasonable manner and which may be based on indicative bids from institutional “accredited investors”
(as defined in Rule 501 under the Securities Act of 1933, as amended (the “Securities Act”)) and (B) the provisions of Sections 8(a)(vii) –(x) shall apply to the Early Settlement Shares delivered pursuant to this
Section 8(b)(v). For purposes of applying the foregoing, the Registered Share Delivery Date referred to in 8(a)(vii) shall be the date on which Issuer delivers the Early Settlement Shares. 
 (c) The provisions of Section 8(b) shall apply to any then-current Settlement Balance if (i) on any given day, Issuer cannot satisfy any of the
conditions of Section 8(a) or (ii) for a period of at least ten (10) consecutive Exchange Business Days, Deutsche has determined that it is inadvisable to effect sales of Registered Securities. 
 (d) If Issuer elects to deliver Early Settlement Shares to satisfy its payment obligation of an Early Settlement Payment, then, if necessary, Issuer
shall use its best efforts to cause the number of authorized but unissued Shares of Common Stock to be increased to an amount sufficient to permit Issuer to fulfill its obligations to satisfy its payment obligation of an Early Settlement Payment by
delivering Early Settlement Shares. 
 9. Special Provisions for Merger Events. 
 Notwithstanding anything to the contrary herein or in the Equity Definitions, to the extent that an Announcement Date for a potential Merger Transaction
occurs during the term of this Transaction and such Announcement Date does not cause this Transaction to terminate in whole under the provisions of “Extraordinary Event” in paragraph 2 above: 
 (a) As soon as practicable following the public announcement of such potential Merger Transaction, Issuer shall provide Deutsche with written notice of
such announcement; 
 (b) Promptly after request from Deutsche, Issuer shall provide Deutsche with written notice specifying
(i) Issuer’s average daily Rule 10b-18 Purchases (as defined in Rule 10b-18) during the three full calendar months immediately preceding the Announcement Date that were not effected through Deutsche or its affiliates and (ii) the
number of Shares purchased pursuant to the block purchase proviso in Rule 10b-18(b)(4) under the Exchange Act for the three full calendar months preceding the Announcement Date. Such written notice shall be deemed to be a certification by Issuer to
Deutsche that such information is true and correct. Issuer understands that Deutsche will 

 
use this information in calculating the trading volume for purposes of Rule 10b-18. In addition, to the extent any of the following activities occur, Issuer
shall promptly notify Deutsche of the earlier to occur of the completion such potential Merger Transaction and the completion of the vote by target shareholders; and 
 (c) Deutsche in its sole commercially reasonable discretion may extend the Calculation Period to account for any reduction in the number of Shares that could be purchased on each day during the Calculation Period in
compliance with Rule 10b-18 following the Announcement Date. 
 “Merger Transaction” means any merger, acquisition or similar transaction
involving a recapitalization of Issuer as contemplated by Rule 10b-18(a)(13)(iv) under the Exchange Act. 
 10. Seller Adjustments.

 In the event that Seller reasonably determines that it is appropriate with regard to any legal, regulatory or self-regulatory requirements
or related policies and procedures (whether or not such requirements, policies or procedures are imposed by law or have been voluntarily adopted by Seller, and including, without limitation, Rule 10b-18, Rule 10b-5, Regulation 13D-G and Regulation
14E, “Requirements”), for Seller to refrain from purchasing Shares or to purchase fewer than the number of Shares Seller would otherwise purchase on any Trading Day during the duration of this Transaction (it being acknowledged by
Buyer that Seller may effect hedging transactions as a result of which the counterparty of such hedging transaction may purchase Shares in lieu of Seller, and that such counterparty may reduce or refrain from purchases under like circumstances),
then Seller may, in its discretion, elect that Calculation Period be suspended and, if appropriate, extended with regard to any Requirements. Seller shall notify the Issuer upon the exercise of Seller’s rights pursuant to this Section 10
and shall subsequently notify the Issuer on the day Seller believes that the circumstances giving rise to such exercise have changed. If the Calculation Period is suspended pursuant to this Section 10, at the end of such suspension Seller shall
determine the number of Trading Days remaining in the Calculation Period, as appropriate, and the terms of this Transaction shall be adjusted as set forth above under “Physical Settlement.” 
 11. Covenants. The Buyer covenants and agrees: 
 (i)(A) that it will not treat this Transaction, any portion hereof, or any obligation hereunder as giving rise to any interest income or other inclusions of ordinary income; (B) it will not treat the delivery of
any portion of the Shares or cash to be delivered pursuant to this Transaction as the payment of interest or ordinary income; (C) it will treat this Transaction in its entirety as a forward contract for the delivery of such Shares or cash; and
(D) it will not take any action (including filing any tax return or form or taking any position in any tax proceeding) that is inconsistent with the obligations contained in (A) through (C). Notwithstanding the preceding sentence, Buyer
may take any action or position required by law, provided that Buyer delivers to Seller an unqualified opinion of counsel, nationally recognized as expert in Federal tax matters and acceptable to Buyer, to the effect that such action or position is
required by a statutory change or a Treasury regulation or applicable court decision published after the Trade Date; 
 (ii) that during the
term of this Agreement, neither it nor any of its affiliates or affiliated purchasers (each as defined in Rule 10b-18 under the Exchange Act) shall directly or indirectly take any action that would cause the purchase by Seller (or by any
counterparty of Deutsche engaging in purchases of Shares under a hedging transaction in connection with the Transaction) of any Shares in connection with this Agreement not to comply with Rule 10b-18 under the Exchange Act (assuming for the purposes
of this paragraph that such Rule were otherwise applicable to such purchases); 
 (iii) to comply with all laws, rules and regulations
applicable to it (including, without limitation, the Securities Act of 1933, as amended (the “Securities Act”) and the Exchange Act) in connection with the transactions contemplated by this Confirmation; 
 (iv) that it is not relying, and has not relied, upon Seller or any of its representatives or advisors with respect to the legal, accounting, tax or other
implications of this Agreement and that it has conducted its own analyses of the legal, accounting, tax and other implications of this Agreement, and that Seller and its affiliates may from time to time effect transactions for their own account or
the account of customers and hold positions in securities or options on securities of the Buyer and that Seller and its affiliates may continue to conduct such transactions during the term of this Agreement; 

 (v) that neither it nor any affiliates shall take any action that would cause Regulation M under the
Exchange Act (“Regulation M”), to be applicable to any purchases of Shares, or any security for which Shares is a reference security (as defined in Regulation M), by Buyer or any affiliated purchasers (as defined in Regulation M) (or by
any counterparty of Deutsche engaging in purchases of Shares under a hedging transaction in connection with the Transaction, or its affiliated purchasers) during the Calculation Period; and 
 (vi) that it shall announce any Extraordinary Dividend at least 30 calendar days prior to the record date for such Extraordinary Dividend. 
 12. Representations, Warranties and Acknowledgments. 
 (a) Each of Deutsche and Issuer represents and warrants to the other party that: 
 (i) Commodity Exchange
Act. It is an “eligible contract participant” within the meaning of Section 1a(12) of the U.S. Commodity Exchange Act, as amended (the “CEA”), this Transaction has been subject to individual negotiation by the
parties, and this Transaction has been executed or traded on a “trading facility” as defined in Section 1a(33) of the CEA; 
 (ii) Securities Act. It is a “qualified institutional buyer” as defined in Rule 144A under the U.S. Securities Act of 1933, as amended (the “Securities Act”); and 
 (iii) ERISA. The assets used in the Transaction (1) are not assets of any “plan” (as such term is defined in Section 4975 of
the Internal Revenue Code (the “Code”)) subject to Section 4975 of the Code or any “employee benefit plan” (as such term is defined in Section 3(3) of the Employee Retirement Income Security Act of 1974, as
amended (“ERISA”)) subject to Title I of ERISA, and (2) do not constitute “plan assets” within the meaning of Department of Labor Regulation 2510.3-101, 29 CFR Section 2510-3-101. 
 (b) The parties intend that this Transaction constitute a binding contract for the purchase of Shares by Buyer within the meaning of Rule
10b5-1(c)(1)(i)(A)(1) under the Exchange Act. This Confirmation shall be interpreted to comply with the requirements of Rule 10b5-1(c)(1)(i)(B) and Buyer shall take no action that results in this Transaction not so complying with such requirements.
Accordingly: 
 (i) Buyer acknowledges and agrees that (x) any purchases or sales made by Deutsche in respect of this Transaction shall
be made at Deutsche’s sole discretion and for Deutsche’s own account and (y) Buyer does not have, and shall not attempt to exercise, any influence over how, when or whether to make such purchases or sales, including, without
limitation, the price paid or received per Share pursuant to such purchases or sales or whether such purchases or sales are made on any securities exchange or privately. 
 (ii) Buyer acknowledges and agrees that it is entering into the Agreement and this Confirmation in good faith and not as part of a plan or scheme to evade compliance with federal securities laws including, without
limitation, Rule 10b-5 promulgated under the Exchange Act. Buyer also acknowledges and agrees that any amendment, modification, waiver or termination of this Confirmation must be effected in accordance with the requirements for the amendment or
termination of a “plan” as defined in Rule 10b5-1(c) under the Exchange Act. Without limiting the generality of the foregoing, any such amendment, modification, waiver or termination shall be made in good faith and not as part of a plan or
scheme to evade the prohibitions of Rule 10b-5 under the Exchange Act, and no amendment, modification or waiver shall be made at any time at which Buyer or any officer or director of Buyer is aware of any material nonpublic information regarding
Buyer or the Shares. 
 (iii) Buyer agrees not to alter or deviate from the terms of this Agreement or enter into or alter a corresponding or
hedging transaction or position with respect to the Shares (including, without limitation, with respect to any securities convertible or exchangeable into the Shares) during the term of this Agreement 
 (c) The Buyer hereby represents and warrants to Seller that: 
 (i) as of the date hereof, the Buyer is not in possession of any material, non-public information with respect to the Buyer or any of its securities, and is entering into this Agreement in good faith and not as part
of a plan or scheme to evade the prohibitions of Rule 10b5-1 of the Exchange Act; 
 (ii) the Transaction is consistent with, and has been
entered into by it pursuant to, appropriate board resolutions (or its equivalent), which authorize it to engage in a stock repurchase program (which 

 
encompasses engaging in accelerated share repurchase transactions) in respect of the Shares, which stock repurchase program has been publicly announced prior
to the Trade Date. Prior to the date hereof, Issuer has delivered to Deutsche a resolution of Issuer’s board of directors authorizing the Transaction and such other certificate or certificates as Deutsche has reasonably requested. 

(iii) the Buyer is not entering into this Agreement to facilitate a distribution of the Shares (or any security convertible into or exchangeable for
Shares) or in connection with a future issuance of securities except pursuant to the Buyer’s employee benefit plans and dividend reinvestment plan or other publicly disclosed transaction; 
 (iv) the Buyer is not entering into this Agreement to create actual or apparent trading activity in the Shares (or any security convertible into or
exchangeable for Shares) or to raise or depress the price of the Shares (or any security convertible into or exchangeable for Shares); and 
 (v) the Buyer is as of the date hereof, and after giving effect to the transactions contemplated hereby will be, Solvent. As used in this paragraph, the term “Solvent” means, with respect to a particular date, that on such date
(A) the present fair market value (or present fair saleable value) of the assets of the Buyer is not less than the total amount required to pay the liabilities of the Buyer on its total existing debts and liabilities (including contingent
liabilities) as they become absolute and matured, (B) the Buyer is able to realize upon its assets and pay its debts and other liabilities, contingent obligations and commitments as they mature and become due in the normal course of business,
(C) assuming consummation of the transactions as contemplated by this Agreement, the Buyer is not incurring debts or liabilities beyond its ability to pay as such debts and liabilities mature, (D) the Buyer is not engaged in any business
or transaction, and does not propose to engage in any business or transaction, for which its property would constitute unreasonably small capital after giving due consideration to the prevailing practice in the industry in which the Buyer is engaged
and (E) the Buyer is not a defendant in any civil action that could reasonably be expected to result in a judgment that Buyer is or would become unable to satisfy. 
 (vi) the Buyer is not and, after giving effect to this Transaction, will not be an “investment company” as such term is defined in the Investment Company Act of 1940, as amended. 
 (vii) the Buyer’s filings with the Securities and Exchange Commission pursuant to the 1934 Act, as such filings are amended and supplemented to the
Trade Date, do not, as of the Trade Date, contain any untrue statement of a material fact required to be stated therein or omit to state any material fact necessary to make the statements therein not misleading, and the Buyer acknowledges and agrees
that it has not provided Deutsche with any material nonpublic information in connection with this Transaction. 
 (d) Seller and the Buyer
each hereby acknowledges that any transactions by Seller in the Shares will be undertaken by Seller, as the case may be, as principal for its own account. All of the actions to be taken by Seller in connection with this Agreement, shall be taken by
Seller independently and without any advance or subsequent consultation with the Buyer. 
 13. Acknowledgements of Buyer Regarding Hedging
and Market Activity. Buyer agrees, understands and acknowledges that: 
 (a) during the period from (and including) the Trade Date to (and
including) the Settlement Date, Seller and its affiliates may buy or sell Shares or other securities or buy or sell options or futures contracts or enter into swaps or other derivative securities in order to adjust its hedge position with respect to
the transactions contemplated by this Transaction; 
 (b) Seller and its affiliates also may be active in the market for the Shares other
than in connection with hedging activities in relation to the transactions contemplated by this Transaction; 
 (c) Seller shall make its own
determination as to whether, when and in what manner any hedging or market activities in the Issuer’s securities shall be conducted and shall do so in a manner that it deems appropriate to hedge its price and market risk with respect to 10b-18
VWAP; and 
 (d) any market activities of Seller and its affiliates with respect to the Shares may affect the market price and volatility of
the Shares, as well as the 10b-18 VWAP, each in a manner that may be adverse to Buyer. 

 14. Indemnification. 
 (a) In the event that Seller becomes involved in any capacity in any action, proceeding or investigation brought by or against any person in connection
with any matter referred to in this Agreement, the Buyer will reimburse Seller for its reasonable legal and other expenses (including the cost of any investigation and preparation) incurred in connection therewith. The Buyer also will indemnify and
hold Seller harmless against any losses, claims, damages or liabilities to which it may become subject in connection with any matter referred to in this Agreement, except to the extent that any such loss, claim, damage or liability results from the
gross negligence or bad faith of Seller in effecting the transactions which are the subject of this Agreement; provided, however, that if it is determined by a court of competent jurisdiction in a final judgment that Seller is not entitled to
be indemnified hereunder in connection with such matter, then Seller shall reimburse the Buyer for any expenses paid pursuant to the first sentence of this Section 14. If for any reason the foregoing indemnification is unavailable to Seller or
insufficient to hold it harmless, then the Buyer shall contribute to the amount paid or payable by Seller as a result of such loss, claim, damage or liability in such proportion as is appropriate to reflect the relative fault of the Buyer on one
hand and Seller on the other hand with respect to such loss, claim, damage, or liability and any other relevant equitable considerations. The reimbursement, indemnity and contribution obligations of the Buyer under this Section 14 shall be in
addition to any liability which the Buyer may otherwise have, shall extend upon the same terms and conditions to any affiliate of Seller and the partners, directors, officers, agents, employees and controlling persons (if any), as the case may be,
of Seller and any such affiliate and shall be binding upon and inure to the benefit of any successors, assigns, heirs and personal representatives of the Buyer, Seller, any such affiliate and any such person. The Buyer also agrees that neither
Seller nor any of such affiliates, partners, directors, officers, agents, employees or controlling persons shall have any liability to the Buyer for or in connection with any matter referred to in this Agreement except to the extent that any losses,
claims, damages, liabilities or expenses incurred by the Buyer result from the gross negligence or bad faith of Seller in effecting the transactions that are the subject of this Agreement. The foregoing provisions shall survive any termination or
completion of this Agreement. For the purposes of this Section 14, the term “Seller” shall include Deutsche and its affiliates. 
 (b) Subject to Section 14(c), the reimbursement, indemnity and contribution obligations of the Buyer under Section 14(a) (each, an “Obligation”) shall be paid promptly in cash. 
 (c) In connection with any Obligation under Section 14(b) above, the Buyer, in lieu of making any cash payment as contemplated by that section, may
elect to satisfy such Obligation by delivering Shares to Seller (such Shares, the “Indemnity Shares”) by notifying Seller of such election within one Trading Day of being informed by Seller that such Obligation is due and payable.
The provisions of “Certain Payments and Deliveries by Issuer” in Section 7 above shall apply to such a share settlement of an Obligation as if the relevant Obligation was the “Early Settlement Payment” and the Indemnity
Shares were “Early Settlement Shares”. In order to elect to deliver Indemnity Shares, Issuer must (i) specify whether such Indemnity Shares are to be sold by means of a registered offering or by means of a private placement and
(ii) the conditions described in Section 8 above must be satisfied as if the Indemnity Shares were “Early Settlement Shares” and any additional Shares Issuer delivers to reduce the settlement balance to zero in connection with
this Section 14 were “Make-Whole Shares”. 
 15. The parties hereto intend as follows: (A) Deutsche is a “financial
institution,” a “swap participant” and a “financial participant” within the meaning of Sections 101(22), 101(53C) and 101(22A) of the United States Bankruptcy Code (the “Bankruptcy Code”) and (B) this
Confirmation is (i) a “securities contract” as such term is defined in Section 741(7) of the Bankruptcy Code, with respect to which each payment and delivery hereunder or in connection herewith is a “settlement payment”
within the meaning of Sections 362 and 546 of the Bankruptcy Code and any cash, securities or other property provided as performance assurance, credit support or collateral with respect to the Transaction is a “margin payment” within the
meaning of Sections 362 and 546 of the Bankruptcy Code, and (ii) a “swap agreement,” as such term is defined in Section 101(53B) of the Bankruptcy Code, with respect to which each payment and delivery hereunder or in connection
herewith is a “transfer” and a “payment or other transfer of property” within the meaning of Sections 362 and 546 of the Bankruptcy Code. Deutsche is entitled to the protections afforded by, among other sections, Sections
362(b)(6), 362(b)(17), 362(o), 546(e), 546(g), 555, 560 and 561 of the Bankruptcy Code. 
 16. Seller and Issuer hereby agree and acknowledge
that Seller has authorized the Issuer to disclose this Transaction to any and all persons, and there are no express or implied agreements, arrangements or understandings to the contrary, and authorizes the Issuer to use any information that the
Issuer receives or has received with respect to this Transaction in any manner. 

 17. Treatment in Bankruptcy; No Setoff; No Collateral. 
 (a) In the event the Buyer becomes the subject of proceedings (“Bankruptcy Proceedings”) under the U.S. Bankruptcy Code or any other
applicable bankruptcy or insolvency statute from time to time in effect, any rights or claims of Seller hereunder in respect of this transaction shall rank for all purposes no higher than, but on a parity with, the rights or claims of holders of
Shares, and Seller hereby agrees that its rights and claims hereunder shall be subordinated to those of all parties with claims or rights against the Buyer (other than common stockholders) to the extent necessary to assure such ranking. Without
limiting the generality of the foregoing, after the commencement of Bankruptcy Proceedings, the claims of Seller hereunder shall for all purposes have rights equivalent to the rights of a holder of a percentage of the Shares equal to the aggregate
amount of such claims (the “Claim Amount”) taken as a percentage of the sum of (i) the Claim Amount and (ii) the aggregate fair market value of all outstanding Shares on the record date for distributions made to the
holders of such Shares in the related Bankruptcy Proceedings. Notwithstanding any right it might otherwise have to assert a higher priority claim in any such Bankruptcy Proceedings, Seller shall be entitled to receive a distribution solely to the
extent and only in the form that a holder of such percentage of the Shares would be entitled to receive in such Bankruptcy Proceedings, and, from and after the commencement of such Bankruptcy Proceedings, Seller expressly waives (i) any other
rights or distributions to which it might otherwise be entitled in such Bankruptcy Proceedings in respect of its rights and claims hereunder and (ii) any rights of setoff it might otherwise be entitled to assert in respect of such rights and
claims. 
 (b) Notwithstanding any provision of this Agreement or any other agreement between the parties to the contrary, neither the
obligations of the Buyer nor the obligations of Seller hereunder are secured by any collateral, security interest, pledge or lien. 
 (c)
Notwithstanding any provision of this Agreement or any other agreement between the parties to the contrary, the contract shall not be netted with or against any other contract between Buyer and Seller unless such contract is classified in
shareholder’s equity under U.S. GAAP. 
 18. Share Cap. Notwithstanding any other provision of this Agreement to the contrary, in
no event shall the Buyer be required to deliver to Seller a number of Shares that exceeds the Share Cap (as specified in Schedule I), subject to reduction by the number of Shares delivered hereunder by the Buyer on any prior date. 
 19. If Issuer would be obligated to pay cash (other than in respect of the Prepayment Amount to be paid on the Prepayment Date) to Deutsche (a
“General Obligation”) or receive cash from Deutsche pursuant to the terms of this Confirmation or the Agreement for any reason (including any Extraordinary Event or any condition giving rise to an Early Termination Date under the
Agreement) (unless the consideration or proceeds received by holders of Shares in such event or condition consists solely of cash) without having had the right (other than pursuant to this paragraph) to elect to deliver Shares or receive Shares, as
the case may be, in satisfaction of such payment obligation or right, then Issuer may elect that Issuer deliver to Deutsche or receive from Deutsche, as the case may be, a number of Shares (such Shares “General Obligation Shares”)
having an equivalent value (such number of Shares to be delivered to be determined by the Calculation Agent acting in a commercially reasonably manner and taking into account relevant factors, including whether or not the Shares are subject to legal
or other restrictions on transfer or acquisition and the costs and expenses associated with disposing of or acquiring such Shares). Settlement relating to any delivery of Shares pursuant to this paragraph shall occur within a reasonable period of
time. To the extent the Issuer elects to deliver Shares to Deutsche pursuant to this provision, the provisions of “Certain Payments and Deliveries by Issuer” in Section 7 above shall apply to such a share settlement of a General
Obligation as if the relevant General Obligation was the “Early Settlement Payment” and the General Obligation Shares were “Early Settlement Shares”. In order to elect to deliver Shares pursuant to this provision, Issuer must
(i) specify whether such Shares are to be sold by means of a registered offering or by means of a private placement and (ii) the conditions described in Section 8 above must be satisfied as if the Shares were “Early Settlement
Shares” and any additional Shares Issuer delivers to reduce the settlement balance to zero in connection with this Section 14 were “Make-Whole Shares”. 
 20. Designation by Deutsche. Notwithstanding any other provision in this Confirmation to the contrary requiring or allowing Deutsche to purchase,
sell, receive or deliver any Shares or other securities to or from Buyer, Deutsche may designate any of its affiliates to purchase, sell, receive or deliver such Shares or other securities and otherwise to perform Deutsche’s obligations in
respect of the Transaction and any such designee may assume such obligations. Deutsche shall be discharged of its obligations to Buyer to the extent of any such performance. 
 21. Recording. Each party (x) consents to the recording of the telephone conversations of trading and 

 
marketing and/or other personnel of the parties and their Affiliates in connection with this Confirmation, the Agreement or any potential Transaction;
(y) agrees to obtain any necessary consent of and give notice of such recording to such personnel of such party and such party’s Affiliates; and (z) agrees that recordings may be submitted in evidence in any proceedings relating to
this Confirmation or the Agreement. 
 22. Waiver of Trial by Jury. EACH OF THE PARTIES HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO
A TRIAL BY JURY WITH RESPECT TO ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS CONFIRMATION, THE SUPPLEMENTAL CONFIRMATION, THE AGREEMENT OR ANY TRANSACTION. 
 23. Governing Law. THE AGREEMENT, THIS CONFIRMATION AND THE SUPPLEMENTAL CONFIRMATION SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK. THE PARTIES HERETO IRREVOCABLY SUBMIT TO THE EXCLUSIVE JURISDICTION
OF THE COURTS OF THE STATE OF NEW YORK AND THE UNITED STATES COURT FOR THE SOUTHERN DISTRICT OF NEW YORK IN CONNECTION WITH ALL MATTERS RELATING HERETO AND WAIVE ANY OBJECTION TO THE LAYING OF VENUE IN, AND ANY CLAIM OF INCONVENIENT FORUM WITH
RESPECT TO, THESE COURTS. 
 THIS MESSAGE WILL BE THE ONLY FORM OF CONFIRMATION DISPATCHED BY US. PLEASE EXECUTE AND RETURN IT BY FACSIMILE IMMEDIATELY TO
FAX NUMBER +44 207 541 4913. IF YOU WISH TO EXCHANGE HARD COPY FORMS OF THIS CONFIRMATION PLEASE CONTACT US. 
 [SIGNATURES ON NEXT PAGE]

 Please confirm that the foregoing correctly sets forth the terms of our agreement by sending to us a
letter or telex substantially similar to this facsimile, which letter or telex sets forth the material terms of the Transaction to which this Confirmation relates and indicates your agreement to those terms. Deutsche will make the time of execution
of the Transaction available upon request. 
 Deutsche is regulated by the Financial Services Authority. 
  

			
	DEUTSCHE BANK AG, LONDON BRANCH
		
	By:	 	/s/ Lars Kestner
	 Name:
 Title:
	 	 Lars Kestner
 Attorney-in-Fact

  

			
	
		
	By:	 	/s/ Ignacio Arnaubru
	 Name:
 Title:
	 	 Ignacio Arnaubru
 Attorney-in-Fact

  

			
	 DEUTSCHE BANK SECURITIES INC.,
 acting solely as Agent in connection with the Transaction

		
	By:	 	/s/ Paul Maley
	 Name:
 Title:
	 	 Paul Maley
 Director

  

			
	
		
	By:	 	/s/ John Ripley
	 Name:
 Title:
	 	 John Ripley
 Managing Director

 Confirmed and Acknowledged as of the date first above written:  

			
	UNUM GROUP
		
	By:	 	/s/ Kevin A. McMahon
	 Name:
 Title:
	 	 Kevin A. McMahon
 Treasurer

 Schedule I 
 This Schedule I, dated July 31, 2008 may be amended and/or superseded from time to time by mutual agreement of both parties. For the purposes of this Transaction, the following terms shall have the following
values/meanings: 
 1. The Trade Date shall be July 31, 2008 
 2. The Discount equals ***. 
 3. The Initial Shares equal 12,500,000. 
 4. The Prepayment Amount equals USD 350,000,000.

 5. The Adjustment Amount equals ***. 
 6. The Scheduled Valuation Date shall mean December 12, 2008. 
 7. The Lock-Out Date shall mean September 30, 2008. 
 8. The Share Cap shall equal the lesser of (i) 34,000,000 million Shares and (ii) 20% of the total number of Shares that Issuer has outstanding as of any day. 
 AGREED AND ACKNOWLEDGED (as of the date listed above) 
  

			
	UNUM GROUP
		
	By:	 	/s/ Kevin A. McMahon
	 Name:
 Title:
	 	 Kevin A. McMahon
 Treasurer

  

			
	DEUTSCHE BANK AG, LONDON BRANCH
		
	By:	 	/s/ Lars Kestner
	 Name:
 Title:
	 	 Lars Kestner
 Attorney-in-Fact

  

			
	
		
	By:	 	/s/ Ignacio Arnaubru
	 Name:
 Title:
	 	 Ignacio Arnaubru
 Attorney-in-Fact

  

			
	 DEUTSCHE BANK SECURITIES INC.,
 acting solely as Agent in connection with the Transaction

		
	By:	 	/s/ Paul Maley
	 Name:
 Title:
	 	 Paul Maley
 Director

  

			
	
		
	By:	 	/s/ John Ripley
	 Name:
 Title:
	 	 John Ripley
 Managing Director

 Annex A 
 If the Issuer chooses to deliver Payment Shares pursuant to the terms of Physical Settlement in the Confirmation (i) Issuer must notify Deutsche of its election by no later than 4 p.m. EST on the date that is two
Exchange Business Days before the Settlement Date, and (ii) the conditions described below must be satisfied on each day Payment Shares are to be sold by Seller in connection with Buyer’s election to deliver Payment Shares in connection
with the terms of Physical Settlement. The parties agree that the Settlement Date may be postponed as necessary to accommodate the conditions below. 
 Issuer may only deliver Payment Shares and Settlement Make-Whole Shares (as defined below) subject to satisfaction of the following conditions: 
 Issuer shall use its best efforts to cause the number of authorized but unissued Shares of Common Stock to be increased to an amount sufficient to permit
Issuer to fulfill its obligations to deliver Payment Shares or satisfy its payment obligation of a Private Settlement Balance, as applicable. 
 Registered Settlement 
 If Issuer timely elects to deliver Payment Shares by means of a registered offering, the
following provisions shall apply: 
 (i) On the later of (A) the Trading Day following the Issuer’s election to deliver Payment
Shares by means of a registered offering (the “Registration Settlement Notice Date”), and (B) the date on which the Settlement Registration Statement is declared effective by the SEC or becomes effective (the
“Registered Settlement Share Delivery Date”), the Issuer shall deliver to Deutsche a number of Payment Shares determined pursuant to the Physical Settlement provision in the Confirmation, subject to the other requirements of this
Registration Settlement provision. 
 (ii) Promptly following the Registration Settlement Notice Date, the Issuer shall file with the SEC a
registration statement (“Settlement Registration Statement”) covering the public resale by Deutsche of the Payment Shares on a continuous or delayed basis pursuant to Rule 415 (or any similar or successor rule), if available, under
the Securities Act of 1933, as amended (the “Securities Act”); provided that no such filing shall be required pursuant to this paragraph (ii) if the Issuer shall have filed a similar registration statement with unused
capacity at least equal to the number of Payment Shares and such registration statement has become effective or been declared effective by the SEC on or prior to the Registration Settlement Notice Date and no stop order is in effect with respect to
such registration statement as of the Registration Settlement Notice Date. The Issuer shall use its best efforts to file an automatic shelf registration statement or have the Settlement Registration Statement declared effective by the SEC as
promptly as possible. The Issuer will use its best efforts to cover the resale of the Payment Shares in accordance with customary resale registration procedures, including covenants, conditions, representations, underwriting discounts (if
applicable), commissions (if applicable), indemnities, due diligence rights, opinions and certificates and such other documentation as is customary for equity resale underwriting agreements, all reasonably acceptable to Deutsche. 
 (iii) Promptly following the Registration Settlement Notice Date, the Issuer shall afford Deutsche a reasonable opportunity to conduct a due diligence
investigation with respect to the Issuer customary in scope for underwritten offerings of equity securities (including, without limitation, the availability of senior management to respond to questions regarding the business and financial condition
of the Issuer and the right to have made available to Deutsche for inspection all financial and other records, pertinent corporate documents and other information reasonably requested by Deutsche), and Deutsche shall be satisfied in all material
respects with the results of such due diligence investigation of the Issuer. For the avoidance of doubt, the Issuer shall not have the right to deliver Shares pursuant to this Annex A (and the conditions to delivery of Payment Shares specified in
this Registration Settlement section shall not be satisfied) until Deutsche is satisfied in all material respects with the results of such due diligence investigation of the Issuer. 
 (iv) From the effectiveness of the Settlement Registration Statement until all Payment Shares have been sold by Deutsche, the Issuer shall, at the request
of Deutsche, make available to Deutsche a printed prospectus relating to the Payment Shares in form and substance (including, without limitation, any sections describing the plan of distribution) satisfactory to Deutsche (a “Settlement
Prospectus”, which 

 
term shall include any prospectus supplement thereto), in such quantities as Deutsche shall reasonably request. 
 (v) The Issuer shall use its best efforts to prevent the issuance of any stop order suspending the effectiveness of the Settlement Registration Statement
or of any order preventing or suspending the use of any Settlement Prospectus and, if any such order is issued, to obtain the lifting thereof as soon thereafter as is possible. If the Settlement Registration Statement, the Settlement Prospectus
or any document incorporated therein by reference contains a misstatement of a material fact or omits to state a material fact required to be stated therein or necessary to make any statement therein not misleading, the Issuer shall as promptly as
practicable file any required document and prepare and furnish to Deutsche a reasonable number of copies of such supplement or amendment thereto as may be necessary so that the Settlement Prospectus, as thereafter delivered to the purchasers of the
Payment Shares will not contain a misstatement of a material fact or omit to state a material fact required to be stated therein or necessary to make any statement therein not misleading. 
 (vi) On or prior to the Registered Settlement Share Delivery Date, the Issuer shall enter into an agreement (a “Settlement Transfer
Agreement”) with Deutsche (or any affiliate of Deutsche designated by Deutsche) in connection with the public resale of the Payment Shares, substantially similar to underwriting agreements customary for underwritten offerings of equity
securities, in form and substance satisfactory to Deutsche (or such affiliate), which Settlement Transfer Agreement shall (without limitation of the foregoing): 
 (A) contain provisions substantially similar to those contained in such underwriting agreements relating to the indemnification of, and contribution in connection with the liability of, Deutsche and its affiliates,

 (B) provide for delivery to Deutsche (or such affiliate) of customary opinions (including, without limitation, accounting comfort letters,
opinions relating to the due authorization, valid issuance and fully paid and non-assessable nature of the Payment Shares and the lack of material misstatements and omissions in the Settlement Registration Statement, the Prospectus and the
Issuer’s filings under the Exchange Act of 1934, as amended and modified (the “Exchange Act”)); and 
 (C) provide for
the payment by the Issuer of all fees and expenses in connection with such resale, including all registration costs and all fees and expenses of counsel for Deutsche (or such affiliate). 
 (vii) On the Registered Settlement Share Delivery Date and following the delivery of Payment Shares, Seller shall sell all such Payment Shares in a
commercially reasonable manner. 
 (xi) If at any time the number of Shares covered by the Registration Statement is less than the number of
Registered Securities required to be delivered pursuant to the terms of Physical Settlement, the Issuer shall, at the request of Deutsche, file additional registration statement(s) to register the sale of all Payment Shares required to be delivered
to Deutsche. 
 (xii) The Issuer shall cooperate with Deutsche and use its reasonable best efforts to take any other action necessary to
effect the intent of the provisions set forth in the Physical Settlement provision and this Annex A. 
 (iv) (a) If Deutsche is not
satisfied in all material respects with the results of any due diligence investigation of the Issuer, (b) on any given day, Issuer cannot satisfy any of the conditions of this Registered Settlement section or (c) for a period of at least
ten (10) consecutive Exchange Business Days, Deutsche has determined that it is inadvisable to effect sales of Registered Securities, upon Deutsche’s request the terms of Private Placement Settlement below shall apply. 
 Private Placement Settlement 
 If the Issuer
elects to deliver Payment Shares and Private Make-Whole Shares (as defined below) by means of a private placement, the following provisions shall apply: 
 (i) all Payment Shares and Private Make-Whole Shares shall be delivered to the Seller (or any affiliate of the Seller designated by the Seller) pursuant to the exemption from the registration requirements of the
Securities Act provided by Section
 4(2) thereof; 
 (ii) Seller and any potential purchaser of any such Shares from the Seller
(or any affiliate of the Seller designated by the Seller) identified by Seller shall have been afforded a commercially reasonable opportunity to conduct a due diligence investigation with respect to Issuer customary in scope for private 

 
placements of equity securities (including, without limitation, the right to have made available to them for inspection all financial and other records,
pertinent corporate documents and other information reasonably requested by them) and Buyer shall not disclose material non-public information in connection with such due diligence investigation; and 
 (iii) an agreement (a “Private Placement Agreement”) shall have been entered into between Issuer and the Seller (or any affiliate of the
Seller designated by the Seller) in connection with the private placement of such Shares by Issuer to the Seller (or any such affiliate) and the private resale of such Shares by the Seller (or any such affiliate), substantially similar to private
placement purchase agreements customary for private placements of equity securities, in form and substance commercially reasonably satisfactory to the Seller and the Issuer, which Private Placement Agreement shall include, without limitation,
provisions substantially similar to those contained in such private placement purchase agreements relating to the indemnification of, and contribution in connection with the liability of, the Seller and its affiliates, and shall provide for the
payment by Issuer of all fees and expenses in connection with such resale, including all reasonable fees and expenses of one counsel for the Seller but not including any underwriter or broker discounts and commissions, and shall contain
representations, warranties and agreements of Issuer and Seller reasonably necessary or advisable to establish and maintain the availability of an exemption from the registration requirements of the Securities Act for such resales. 
 (iv) If Issuer elects to deliver Payment Shares, neither Issuer nor Seller shall take or cause to be taken any action that would make unavailable either
(i) the exemption set forth in Section 4(2) of the Securities Act for the sale of any Payment Shares or Private Make-Whole Shares by Issuer to the Seller or (ii) an exemption from the registration requirements of the Securities
Act reasonably acceptable to the Seller for resales of Payment Shares and Private Make-Whole Shares by the Seller. 
 (v) If Issuer elects that the Private Placement Settlement provisions apply, the Calculation Agent shall calculate an amount (the “Private Settlement Balance”) equal to (i) the number of Payment
Shares multiplied by (ii) (A) the sum of the 10b-18 VWAP (as defined in the Confirmation) for each Trading Day for the period from and including the Trading Day after Deutsche requests that Private Placement Settlement apply to and
including the fifth (5th) Trading Day after such initial day (the “Settlement Calculation Period”), divided by (B) the
number of Trading Days in such Settlement Calculation Period; provided however, the Calculation Agent may extend such Settlement Calculation Period in its commercially reasonable discretion by up fifteen (15) additional Trading Days
after the initial day of such Settlement Calculation Period. 
 (vi) On the date requested by Deutsche the Issuer shall deliver the Payment
Shares. Following the delivery of Payment Shares or any Private Make-Whole Shares once clauses (i) through (v) have been satisfied, Seller shall sell all such Payment Shares or Private Make-Whole Shares in a commercially reasonable manner.

 (vii) At the end of each day upon which sales have been made, the Private Settlement Balance shall be (A) reduced by an amount equal
to the aggregate proceeds received by Deutsche upon settlement of the sale of such Share, and (B) increased by an amount (as reasonably determined by the Calculation Agent in a commercially reasonable manner) equal to the Federal Funds Rate
with respect to the then-current Private Settlement Balance as of the close of business on such day. “Federal Funds Rate” means, for any day, the rate on such day for Federal Funds, as published by Bloomberg and found by pressing
the following letters “FEDSOPEN” followed by pressing the <Index> key and pressing the following letters “HP” followed by pressing the <Go> key; provided that if any such day is not a New York Banking Day, the Federal
Funds Rate for such day shall be the Federal Funds Rate for the immediately preceding New York Banking Day. 
 (viii) If, on any date, the
Private Settlement Balance has been reduced to zero but not all of the Payment Shares have been sold, no additional Payment Shares shall be sold and Deutsche shall promptly deliver to the Issuer (A) any remaining Payment Shares and (B) if
the Private Settlement Balance has been reduced to an amount less than zero, an amount in cash equal to the absolute value of the then-current Private Settlement Balance. 
 (ix) If, on any date, all of the Payment Shares have been sold and the Private Settlement Balance has not been reduced to zero, the Issuer shall promptly deliver to Deutsche an additional number of Shares
(“Private Make-Whole Shares”) equal to (A) the Private Settlement Balance as of such date divided by (B) the price per Share as reasonably determined by the Calculation Agent. This clause (ix) shall be applied
successively until the Private Settlement Balance is reduced to zero.Credit Agreement dated as of September 12, 2008

Table of Contents

 Exhibit 10.1 
 $1,151,500,000 
 BRIDGE CREDIT AGREEMENT 
 by and among 
 CVS CAREMARK CORPORATION, 
 THE LENDERS PARTY HERETO, 
 LEHMAN COMMERCIAL
PAPER INC., 
 as Administrative Agent, 
 DEUTSCHE BANK SECURITIES INC., 
 as Syndication Agent, 
 and 
 BANK OF AMERICA, N.A., MORGAN STANLEY BANK, and WACHOVIA BANK, 
 NATIONAL ASSOCIATION, 
 as Co-Documentation
Agents 
  
  
 Dated as of September 12, 2008 
  
  
 LEHMAN BROTHERS INC.,

 and DEUTSCHE BANK SECURITIES INC., 
 as Joint Lead Arrangers and Joint Bookrunners, 

Table of Contents

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page
		  	 Article 1
  
 DEFINITIONS AND PRINCIPLES OF CONSTRUCTION
	  	
			
	 Section 1.1
	  	Definitions	  	1
			
	 Section 1.2
	  	Principles of Construction	  	16
			
		  	Article 2	  	
			
		  	AMOUNT AND TERMS OF LOANS	  	
			
	 Section 2.1
	  	Loans	  	17
			
	 Section 2.2
	  	Notice of Borrowing Loans	  	17
			
	 Section 2.3
	  	[Intentionally Omitted]	  	18
			
	 Section 2.4
	  	Use of Proceeds	  	18
			
	 Section 2.5
	  	Termination or Reduction of Commitments	  	18
			
	 Section 2.6
	  	Prepayments of Loans	  	19
			
	 Section 2.7
	  	Notes	  	19
			
		  	Article 3	  	
			
		  	 PROCEEDS, PAYMENTS, CONVERSIONS,
 INTEREST, YIELD PROTECTION AND FEES
	  	
			
	 Section 3.1
	  	Disbursement of the Proceeds of Loans	  	20
			
	 Section 3.2
	  	Payments	  	20
			
	 Section 3.3
	  	Conversions; Other Matters	  	21
			
	 Section 3.4
	  	Interest Rates and Payment Dates	  	22
			
	 Section 3.5
	  	Indemnification for Loss	  	24

  

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Table of Contents

					
	 	  	 	  	Page
			
	 Section 3.6
	  	Reimbursement for Costs, Etc.	  	24
			
	 Section 3.7
	  	Illegality of Funding	  	25
			
	 Section 3.8
	  	Option to Fund; Substituted Interest Rate	  	25
			
	 Section 3.9
	  	Certificates of Payment and Reimbursement	  	26
			
	 Section 3.10
	  	Taxes; Net Payments	  	27
			
	 Section 3.11
	  	Unused Fee	  	28
			
	 Section 3.12
	  	Duration Fee	  	28
			
	 Section 3.13
	  	Replacement of Lender	  	28
			
		  	Article 4	  	
			
		  	REPRESENTATIONS AND WARRANTIES	  	
			
	 Section 4.1
	  	Existence and Power	  	29
			
	 Section 4.2
	  	Authority	  	29
			
	 Section 4.3
	  	Binding Agreement	  	29
			
	 Section 4.4
	  	Litigation	  	29
			
	 Section 4.5
	  	No Conflicting Agreements	  	30
			
	 Section 4.6
	  	Taxes	  	30
			
	 Section 4.7
	  	Compliance with Applicable Laws; Filings	  	31
			
	 Section 4.8
	  	Governmental Regulations	  	31
			
	 Section 4.9
	  	Federal Reserve Regulations; Use of Proceeds	  	31
			
	 Section 4.10
	  	No Misrepresentation	  	31
			
	 Section 4.11
	  	Plans	  	32
			
	 Section 4.12
	  	Environmental Matters	  	32
			
	 Section 4.13
	  	Financial Statements	  	33

  

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Table of Contents

					
	 	  	 	  	Page
			
	 	  	Article 5	  	 
			
		  	 CONDITIONS OF LENDING —
 LOANS ON THE FIRST BORROWING DATE
	  	
			
	 Section 5.1
	  	Evidence of Corporate Action	  	33
			
	 Section 5.2
	  	Notes	  	33
			
	 Section 5.3
	  	Opinion of Counsel to the Borrower	  	34
			
	 Section 5.4
	  	Longs Acquisition	  	34
			
		  	Article 6	  	
			
		  	 CONDITIONS TO LENDING —
 LOANS ON EACH BORROWING DATE
	  	
			
	 Section 6.1
	  	Compliance	  	34
			
	 Section 6.2
	  	Requests	  	34
			
	 Section 6.3
	  	Loan Closings	  	35
			
		  	Article 7	  	
			
		  	AFFIRMATIVE COVENANTS	  	
			
	 Section 7.1
	  	Legal Existence	  	35
			
	 Section 7.2
	  	Taxes	  	35
			
	 Section 7.3
	  	Insurance	  	35
			
	 Section 7.4
	  	Performance of Obligations	  	35
			
	 Section 7.5
	  	Condition of Property	  	36
			
	 Section 7.6
	  	Observance of Legal Requirements	  	36
			
	 Section 7.7
	  	Financial Statements and Other Information	  	36
			
	 Section 7.8
	  	Records	  	37
			
	 Section 7.9
	  	Authorizations	  	38

  

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Table of Contents

					
	 	  	 	  	Page
			
	 	  	Article 8	  	 
			
		  	NEGATIVE COVENANTS	  	
			
	 Section 8.1
	  	Subsidiary Indebtedness	  	38
			
	 Section 8.2
	  	Liens	  	38
			
	 Section 8.3
	  	Dispositions	  	39
			
	 Section 8.4
	  	Merger or Consolidation, Etc.	  	39
			
	 Section 8.5
	  	Acquisitions	  	39
			
	 Section 8.6
	  	Restricted Payments	  	40
			
	 Section 8.7
	  	Limitation on Upstream Dividends by Subsidiaries	  	40
			
	 Section 8.8
	  	Limitation on Negative Pledges	  	41
			
	 Section 8.9
	  	Ratio of Consolidated Indebtedness to Total Capitalization	  	41
			
	 Section 8.10
	  	Longs Acquisition	  	41
			
	 	  	Article 9	  	 
			
	 	  	DEFAULT	  	 
			
	 Section 9.1
	  	Events of Default	  	41
			
	 Section 9.2
	  	Remedies	  	43
			
	 	  	Article 10	  	 
			
	 	  	AGENT	  	 
			
	 Section 10.1
	  	Appointment	  	44
			
	 Section 10.2
	  	Delegation of Duties	  	45
			
	 Section 10.3
	  	Exculpatory Provisions	  	45
			
	 Section 10.4
	  	Reliance by Administrative Agent	  	45
			
	 Section 10.5
	  	Notice of Default	  	46
			
	 Section 10.6
	  	Non-Reliance	  	46

  

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Table of Contents

					
	 	  	 	  	Page
			
	 Section 10.7
	  	The Administrative Agent in Its Individual Capacity	  	47
			
	 Section 10.8
	  	Successor Administrative Agent	  	47
			
	 Section 10.9
	  	Arrangers, Co-Documentation Agents and Syndication Agent	  	48
			
		  	Article 11	  	
			
		  	OTHER PROVISIONS	  	
			
	 Section 11.1
	  	Amendments, Waivers, Etc.	  	48
			
	 Section 11.2
	  	Notices	  	49
			
	 Section 11.3
	  	No Waiver; Cumulative Remedies	  	50
			
	 Section 11.4
	  	Survival of Representations and Warranties	  	50
			
	 Section 11.5
	  	Payment of Expenses and Taxes; Indemnified Liabilities	  	50
			
	 Section 11.6
	  	Lending Offices	  	51
			
	 Section 11.7
	  	Successors and Assigns	  	51
			
	 Section 11.8
	  	Counterparts	  	54
			
	 Section 11.9
	  	Set-off and Sharing of Payments	  	55
			
	 Section 11.10
	  	Indemnity	  	55
			
	 Section 11.11
	  	Governing Law	  	57
			
	 Section 11.12
	  	Severability	  	57
			
	 Section 11.13
	  	Integration	  	57
			
	 Section 11.14
	  	Treatment of Certain Information	  	57
			
	 Section 11.15
	  	Acknowledgments	  	58
			
	 Section 11.16
	  	Consent to Jurisdiction	  	58
			
	 Section 11.17
	  	Service of Process	  	59
			
	 Section 11.18
	  	No Limitation on Service or Suit	  	59
			
	 Section 11.19
	  	WAIVER OF TRIAL BY JURY	  	59

  

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Table of Contents

					
	 	  	 	  	Page
			
	 Section 11.20
	  	Effective Date	  	59
			
	 Section 11.21
	  	PATRIOT Act Notice	  	59

 EXHIBITS 
  

					
	 Exhibit
	  	A	  	List of Commitments
			
	 Exhibit
	  	B	  	Form of Note
			
	 Exhibit
	  	C	  	Form of Borrowing Request
			
	 Exhibit
	  	D-1	  	Form of Opinion of Counsel to the Borrower
			
	 Exhibit
	  	D-2	  	Form of Opinion of Special Counsel to the Borrower
			
	 Exhibit
	  	E	  	Form of Assignment and Acceptance Agreement

  

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Table of Contents

 BRIDGE CREDIT AGREEMENT, dated as of September 12, 2008, by and among CVS
CAREMARK CORPORATION, a Delaware corporation (the “Borrower”), the banks and other financial institutions party hereto from time to time (each a “Lender” and, collectively, the “Lenders”),
LEHMAN BROTHERS INC. and DEUTSCHE BANK SECURITIES INC., as joint lead arrangers and joint bookrunners (in such capacity, the “Arrangers”), LEHMAN COMMERCIAL PAPER INC., as administrative
agent for the Lenders (in such capacity, the “Administrative Agent”), DEUTSCHE BANK SECURITIES INC., as syndication agent (in such capacity, the “Syndication Agent”), and BANK OF AMERICA,
N.A., MORGAN STANLEY BANK, and WACHOVIA BANK, NATIONAL ASSOCIATION, as co-documentation agents (in such capacity, the “Co-Documentation Agents”). 
 ARTICLE 1 
 DEFINITIONS AND PRINCIPLES OF
CONSTRUCTION 
 SECTION 1.1 Definitions 
 When used in any Loan Document (as defined below), each of the following terms shall have the meaning ascribed thereto unless the context otherwise
specifically requires: 
 “ABR Advances”: the Loans (or any portions thereof) at such time as they (or such portions) are
made or are being maintained at a rate of interest based upon the Alternate Base Rate. 
 “Accumulated Funding Deficiency”:
as defined in Section 302 of ERISA. 
 “Acquisition”: with respect to any Person, the purchase or other acquisition by
such Person, by any means whatsoever (including by devise, bequest, gift, through a dividend or otherwise), of (a) stock of, or other equity securities of, any other Person if, immediately thereafter, such other Person would be either a
consolidated subsidiary of such Person or otherwise under the control of such Person, (b) any business, going concern or division or segment thereof, or (c) the Property of any other Person other than in the ordinary course of business,
provided that (i) no acquisition of substantially all of the assets, or any division or segment, of such other Person shall be deemed to be in the ordinary course of business and (ii) no redemption, retirement, purchase or
acquisition by any Person of the stock or other equity securities of such Person shall be deemed to constitute an Acquisition. 
 “Administrative Agent”: as defined in the preamble. 
 “Administrative Questionnaire”: an
Administrative Questionnaire in a form supplied by the Administrative Agent. 
 “Affected Advance”: as defined in
Section 3.8(b). 

Table of Contents

 “Affiliate”: with respect to any Person at any time and from time to time, any other
Person (other than a wholly-owned subsidiary of such Person) which, at such time (a) controls such Person, (b) is controlled by such Person or (c) is under common control with such Person. The term “control”, as used in this
definition with respect to any Person, means the power, whether direct or indirect through one or more intermediaries, to direct or cause the direction of the management and policies of such Person, whether through the ownership of voting securities
or other interests, by contract or otherwise. 
 “Agents”: the collective reference to the Co-Documentation Agents, the
Syndication Agent and the Administrative Agent. 
 “Aggregate Available Commitments”: at any time, the sum of the Available
Commitments of the Lenders at such time under this Agreement. 
 “Aggregate Commitment Amount”: at any time, the sum of the
Commitment Amounts of the Lenders at such time under this Agreement. 
 “Aggregate Credit Exposure”: at any time, the sum at
such time of the aggregate Credit Exposure of the Lenders at such time under this Agreement. 
 “Agreement”: this Bridge
Credit Agreement, as the same may be amended, supplemented or otherwise modified from time to time. 
 “Alternate Base Rate”: for any day, a rate per annum (rounded, if necessary, to the nearest l/100th of 1% or, if there is no nearest 1/100 of 1%, then to the next higher 1/100 of 1%) equal to the
greater of (a) the Prime Rate in effect on such day, and (b)  1/2 of 1% plus the Federal Funds Effective Rate in
effect on such day. Any change in the Alternate Base Rate due to a change in the Prime Rate or the Federal Funds Effective Rate shall be effective as of the opening of business on the effective day of such change in the Prime Rate or the Federal
Funds Effective Rate, respectively. 
 “Applicable Margin”: (i) with respect to the unpaid principal balance of
ABR Advances, the applicable percentage set forth below in the column entitled “ABR Advances”, (ii) with respect to the unpaid principal balance of Eurodollar Advances, the applicable percentage set forth below in the column entitled
“Eurodollar Advances” and (iii) with respect to the Unused Fee, the applicable percentage set forth below in the column entitled “Unused Fee Rate”: 
  

							
	 Pricing Level
	  	ABR
Advances	 	Eurodollar
Advances	 	Unused Fee
Rate
	 Pricing Level I
	  	0%	 	1.00%	 	0.100%
	 Pricing Level II
	  	0%	 	1.25%	 	0.125%
	 Pricing Level III
	  	0%	 	1.50%	 	0.150%
	 Pricing Level IV
	  	0%	 	2.00%	 	0.200%

  

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Table of Contents

 Decreases in the Applicable Margin resulting from a change in Pricing Level shall become effective upon the delivery by
the Borrower to the Administrative Agent of a notice pursuant to Section 7.7(d). Increases in the Applicable Margin resulting from a change in Pricing Level shall become effective on the effective date of any downgrade or withdrawal in the
rating by Moody’s or S&P of the senior unsecured long term debt rating of the Borrower. Notwithstanding each definition of Pricing Level set forth above, if at any time the senior unsecured long term debt ratings of the Borrower by S&P
and Moody’s differ by more than one equivalent rating level, then the applicable Pricing Level shall be determined based upon the higher such rating adjusted downwards to the next lower rating level. 
 “Approved Fund”: with respect to any Lender that is a fund that invests in commercial loans, any other fund that invests in commercial
loans and is managed or advised by the same investment advisor as such Lender or by an Affiliate of such investment advisor. 
 “Arrangers”: as defined in the preamble. 
 “Assignment and Acceptance Agreement”: an assignment
and acceptance agreement executed by an assignor and an assignee pursuant to which, subject to the terms and conditions hereof and thereof, the assignor assigns to the assignee all or any portion of such assignor’s Loans, Notes and Commitment,
substantially in the form of Exhibit E. 
 “Available Commitment”: with respect to any Lender at any time, an amount
equal to the excess, if any, of (a) such Lender’s Commitment then in effect over (b) such Lender’s Credit Exposure at such time. 
 “Benefited Lender”: as defined in Section 11.9(b). 
 “BMC”: Blue
MergerSub Corp., a Maryland corporation. 
 “Borrower”: as defined in the preamble. 
 “Borrowing Date”: each Domestic Business Day or Eurodollar Business Day, as the case may be, during the Commitment Period on which the
Lenders shall make Loans pursuant to Section 2.1(a) and a Borrowing Request; provided, however, that for avoidance of doubt, there shall be no more than three Borrowing Dates. 
 “Borrowing Request”: a request for Loans in the form of Exhibit C. 
 “Change of Control”: any of the following: 
 (i) any Person or group (as such term is used in Section 13(d)(3) of the Securities Exchange Act of 1934, as amended), (a) shall have or acquire 

  

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Table of Contents

 
beneficial ownership of securities having 30% or more of the ordinary voting power of the Borrower or (b) shall possess, directly or indirectly, the
power to direct or cause the direction of the management and policies of the Borrower, whether through the ownership of voting securities, by contract or otherwise; or 
 (ii) the Continuing Directors shall cease for any reason to constitute a majority of the board of directors of the Borrower then in
office. 
 “Co-Documentation Agents”: as defined in the preamble. 
 “Commitment”: in respect of any Lender, such Lender’s obligation, if any, to make a Loan to the Borrower on each Borrowing Date,
subject to the terms and conditions hereof, in an aggregate outstanding principal amount not to exceed the Commitment Amount of such Lender. 
 “Commitment Amount”: at any time and with respect to any Lender, the amount set forth adjacent to such Lender’s name under the heading “Commitment Amount” in Exhibit A at such time or, in the event that
such Lender is not listed on Exhibit A, the “Commitment Amount” which such Lender shall have assumed from another Lender in accordance with Section 11.7 on or prior to such time, as the same may be adjusted from time to time
pursuant to Section 2.5 and Section 11.7(c). The aggregate amount of the Lenders’ Commitment Amounts on the Effective Date is $1,151,500,000. 
 “Commitment Percentage”: at any time and with respect to any Lender, a fraction the numerator of which is such Lender’s Commitment Amount at such time, and the denominator of which is the
Aggregate Commitment Amount at such time. 
 “Commitment Period”: the period from and including the Effective Date to the
Commitment Termination Date. 
 “Commitment Termination Date”: the date that is 90 Domestic Business Days after the first
Borrowing Date, or on such earlier date as all of the Commitments shall have been terminated in accordance with the terms hereof. 
 “Compensatory Interest Payment”: as defined in Section 3.4(c). 
 “Consolidated”: the
Borrower and the Subsidiaries on a consolidated basis in accordance with GAAP. 
 “Contingent Obligation”: as to any Person
(the “secondary obligor”), any obligation of such secondary obligor (a) guaranteeing or in effect guaranteeing any return on any investment made by another Person, or (b) guaranteeing or in effect guaranteeing any
Indebtedness, lease, dividend or other obligation (“primary obligation”) of any other Person (the “primary obligor”) in any manner, whether directly or indirectly, including any obligation of such secondary obligor,
whether or not contingent, (i) to purchase any such primary obligation or any Property constituting direct or indirect security therefor, (ii) to advance or supply funds (A) for the purchase or payment of any such primary obligation
or (B) to maintain working 

  

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capital or equity capital of the primary obligor or otherwise to maintain the net worth or solvency of the primary obligor, (iii) to purchase Property,
securities or services primarily for the purpose of assuring the beneficiary of any such primary obligation of the ability of the primary obligor to make payment of such primary obligation, (iv) otherwise to assure or hold harmless the
beneficiary of such primary obligation against loss in respect thereof, and (v) in respect of the Indebtedness of any partnership in which such secondary obligor is a general partner, except to the extent that such Indebtedness of such
partnership is nonrecourse to such secondary obligor and its separate Property, provided that the term “Contingent Obligation” shall not include the endorsement of instruments for deposit or collection in the ordinary course of
business. 
 “Continuing Director”: any member of the board of directors of the Borrower who (i) is a member of that
board of directors on the Effective Date or (ii) was nominated for election by the board of directors a majority of whom were directors on the Effective Date or whose election or nomination for election was previously approved by one or more of
such directors. 
 “Control Person”: as defined in Section 3.6. 
 “Convert”, “Conversion” and “Converted”: each, a reference to a conversion pursuant to
Section 3.3 of one Type of Loan into another Type of Loan. 
 “Costs”: as defined in Section 3.6. 
 “Credit Exposure”: with respect to any Lender at any time, the outstanding principal balance of all Loans of such Lender at such time
under this Agreement. 
 “Credit Parties”: a collective reference to the Agents, the Arrangers and the Lenders. 

“Default”: any of the events specified in Section 9.1, whether any requirement for the giving of notice, the lapse of time, or
both, or any other condition, has been satisfied. 
 “Disposition”: with respect to any Person, any sale, assignment,
transfer or other disposition by such Person by any means, of: 
 (a) the Stock of, or other equity interests of, any other
Person, 
 (b) any business, operating entity, division or segment thereof, or 
 (c) any other Property of such Person, other than (i) the sale of inventory (other than in connection with bulk transfers),
(ii) the disposition of equipment and (iii) the sale of cash investments. 
 “Dividend Restrictions”: as defined
in Section 8.7. 
 “Dollar” or “$”: lawful currency of the United States of America.

  

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 “Domestic Business Day”: any day (other than a Saturday, Sunday or legal holiday in the
State of New York) on which banks are open for business in New York City. 
 “Duration Fee”: as defined in
Section 3.12. 
 “Effective Date”: as defined in Section 11.20. 
 “Eligible Assignee”: (i) any commercial bank, investment bank, trust company, banking association, financial institution, mutual
fund, pension fund or any Approved Fund or (ii) any Lender or any Affiliate or any Approved Fund of such Lender. 
 “Eligible
SPC”: a special purpose corporation that (i) is organized under the laws of the United States or any state thereof, (ii) is engaged in making, purchasing or otherwise investing in commercial loans in the ordinary course of its
business and (iii) issues (or the parent of which issues) commercial paper rated at least A-1 or the equivalent thereof by S&P or at least P-1 or the equivalent thereof by Moody’s. 
 “Employee Benefit Plan”: an employee benefit plan, within the meaning of Section 3(3) of ERISA, maintained, sponsored or
contributed to by the Borrower, any Subsidiary or any ERISA Affiliate. 
 “Environmental Laws”: all laws, rules,
regulations, codes, ordinances, orders, decrees, judgments, injunctions, notices or binding agreements issued, promulgated or entered into by any Governmental Authority, relating in any way to the environment, preservation or reclamation of natural
resources, the management, release or threatened release of any Hazardous Material or to health and safety matters. 
 “Environmental
Liability”: as to any Person, any liability, contingent or otherwise (including any liability for damages, costs of environmental remediation, fines, penalties or indemnities), of such Person directly or indirectly resulting from or based
upon (i) violation of any Environmental Law, (ii) the generation, use, handling, transportation, storage, treatment or disposal of any Hazardous Materials, (iii) exposure to any Hazardous Materials, (iv) the release or threatened
release of any Hazardous Materials into the environment or (v) any contract, agreement or other consensual arrangement pursuant to which liability is assumed or imposed with respect to any of the foregoing. 
 “ERISA”: the Employee Retirement Income Security Act of 1974, as amended from time to time, or any successor thereto, and the rules and
regulations issued thereunder, as from time to time in effect. 
 “ERISA Affiliate”: when used with respect to an Employee
Benefit Plan, ERISA, the PBGC or a provision of the Internal Revenue Code pertaining to employee benefit plans, any Person that is a member of any group of organizations within the meaning of Sections 414(b) or (c) of the Internal Revenue
Code or, solely with respect to the applicable provisions of the Internal Revenue Code, Sections 414(m) or (o) of the Internal Revenue Code, of which the Borrower or any Subsidiary is a member. 
  

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 “ESOP Guaranty”: the guaranty of the 8.52% ESOP Note maturing 2008 in the aggregate
unpaid principal amount, as of December 29, 2007, of $44,500,000. 
 “Eurodollar Advance”: a portion of the Loans
selected by the Borrower to bear interest during a Eurodollar Interest Period selected by the Borrower at a rate per annum based upon a Eurodollar Rate determined with reference to such Eurodollar Interest Period, all pursuant to and in accordance
with Section 2.2 or Section 3.3. 
 “Eurodollar Base Rate”: with respect to each day during each Eurodollar
Interest Period in effect for each Eurodollar Advance and as determined by the Administrative Agent, the rate per annum determined on the basis of the rate for deposits in Dollars for a period equal to such Eurodollar Interest Period
commencing on the first day of such Eurodollar Interest Period appearing the Reuters Screen LIBORO1 Page as of 11:00 A.M., London time, two Eurodollar Business Days prior to the beginning of such Eurodollar Interest Period. In the event that
such rate does not appear on the Reuters Screen LIBORO1 Page (or otherwise on such screen), the “Eurodollar Base Rate” for purposes of this definition shall be determined by reference to such other comparable publicly available service for
displaying eurodollar rates as may be selected by the Administrative Agent. 
 “Eurodollar Business Day”: any Domestic
Business Day, other than a Domestic Business Day on which banks are not open for dealings in Dollar deposits in the interbank eurodollar market. 
 “Eurodollar Interest Period”: the period commencing on any Eurodollar Business Day selected by the Borrower in accordance with Section 2.2 or Section 3.3 and ending (A) one, two, three or six months or
(B) a certain number of days (such number of days referred to in this clause (B) referred to herein as the “Shorter Period”) in each case thereafter, as selected by the Borrower in accordance with either such Sections,
subject to the following: 
 (i) if any Eurodollar Interest Period would otherwise end on a day which is not a Eurodollar
Business Day, such Eurodollar Interest Period shall be extended to the immediately succeeding Eurodollar Business Day unless the result of such extension would be to carry the end of such Eurodollar Interest Period into another calendar month, in
which event such Eurodollar Interest Period shall end on the Eurodollar Business Day immediately preceding such day; 
 (ii)
if any Eurodollar Interest Period shall begin on the last Eurodollar Business Day of a calendar month (or on a day for which there is no numerically corresponding day in the calendar month at the end of such Eurodollar Interest Period), such
Eurodollar Interest Period shall end on the last Eurodollar Business Day of such latter calendar month, except as otherwise provided in clause (iii) below; and 
 (iii) notwithstanding anything contained in the foregoing to the contrary, in the case of clause (B) above in this definition only,
the number of days selected may only be that number of days to (and including) the Maturity Date; provided that the number of days selected shall not exceed 30 days, and to 

  

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the extent that the Borrower has selected a Eurodollar Interest Period under such clause (B) in accordance with the provisions of this definition, then
such Eurodollar Interest Period shall end on the Maturity Date. 
 “Eurodollar Rate”: with respect to each day during each
Eurodollar Interest Period in effect for each Eurodollar Advance and as determined by the Administrative Agent, a rate per annum determined for such day in accordance with the following formula (rounded, if necessary, to the nearest l/100 of 1% or,
if there is no nearest 1/100 of 1%, then to the next higher 1/100 of 1%): 
 Eurodollar Base Rate 
 1.00 minus Eurocurrency Reserve Requirements 
 “Eurocurrency Reserve Requirements”: for any day, the aggregate (without duplication) of the maximum rates (expressed as a decimal or a fraction) of reserve requirements in effect on such day (including, without limitation,
basic, supplemental, marginal and emergency reserves) under any regulations of the Board of Governors of the Federal Reserve System, or other Governmental Authority having jurisdiction with respect thereto dealing with reserve requirements
prescribed for eurocurrency funding (currently referred to as “Eurocurrency Liabilities” in Regulation D of the Board of Governors of the Federal Reserve System, as amended) maintained by a member bank of the Federal Reserve System with
deposits exceeding $1,000,000,000 with respect to liabilities or assets consisting of or including Eurocurrency Liabilities having a term equal to such Eurodollar Interest Period. 
 “Event of Default”: any of the events specified in Section 9.1, provided that any requirement for the giving of notice, the
lapse of time, or both, or any other condition has been satisfied. 
 “Excluded Debt”: any Indebtedness of the Borrower
under (x) the Existing Credit Agreements and (y) any indebtedness under any bank credit facility of the Borrower to the extent the proceeds thereof are used to repay Indebtedness under (i) any bank credit facility of the Borrower
existing on the Effective Date or (ii) the Existing Credit Agreements. 
 “Existing 2004 Five Year Credit Agreement”:
the Five Year Credit Agreement, dated as of June 11, 2004, by and among the Borrower, the lenders party thereto, Bank of America, N.A., Credit Suisse First Boston, and Wachovia Securities, Inc., as co-syndication agents, ABN AMRO Bank N.V., as
documentation agent, and The Bank of New York, as administrative agent, as the same may be amended, supplemented, replaced or otherwise modified from time to time. 
 “Existing 2005 Five Year Credit Agreement”: the Five Year Credit Agreement, dated as of June 3, 2005, by and among the Borrower, the lenders party thereto, Bank of America, N.A., Credit Suisse
First Boston, and Wachovia Bank, National Association, as co-syndication agents, SunTrust Bank, as documentation agent, and The Bank of New York, as administrative agent, as the same may be amended, supplemented, replaced or otherwise modified from
time to time. 
  

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 “Existing 2006 Five Year Credit Agreement”: the Five Year Credit Agreement, dated as of
May 12, 2006, by and among the Borrower, the lenders party thereto, Bank of America, N.A., Lehman Brothers Inc. and Wachovia Bank, National Association, as co-syndication agents, KeyBank National Association, as documentation agent, and The
Bank of New York, as administrative agent, as the same may be amended, supplemented, replaced or otherwise modified from time to time. 
 “Existing 2007 Five Year Credit Agreement”: the Five Year Credit Agreement, dated as of March 12, 2007, by and among the Borrower, the lenders party thereto, Lehman Commercial Paper Inc. and Wachovia Bank, National
Association, as co-syndication agents, Morgan Stanley Senior Funding, Inc., as documentation agent, and The Bank of New York, as administrative agent, as the same may be amended, supplemented, replaced or otherwise modified from time to time.

 “Existing Credit Agreements”: collectively, the Existing 2004 Five Year Credit Agreement, the Existing 2005 Five Year
Credit Agreement, the Existing 2006 Five Year Credit Agreement and the Existing 2007 Five Year Credit Agreement. 
 “Expiration
Date”: the earlier of (a) the Maturity Date and (b) the date on which the Loans shall become due and payable, whether by acceleration, notice of intention to prepay or otherwise. 
 “Federal Funds Effective Rate”: for any period, a fluctuating interest rate per annum equal for each day during such period to the
weighted average of the rates on overnight Federal funds transactions with members of the Federal Reserve System arranged by Federal funds brokers, as published for such day (or, if such day is not a Domestic Business Day, for the next preceding
Domestic Business Day) by the Federal Reserve Bank of New York, or, if such rate is not so published for any day which is a Domestic Business Day, the average (rounded, if necessary, to the nearest 1/100 of 1% or, if there is no nearest 1/100 of 1%,
then to the next higher 1/100 of 1%) of the quotations for such day on such transactions received by the Administrative Agent from three Federal funds brokers of recognized standing selected by the Administrative Agent. 
 “Fees”: as defined in Section 3.2(a). 
 “Financial Statements”: as defined in Section 4.13. 
 “Foreign
Lender”: any Lender that is organized under the laws of a jurisdiction other than the United States of America, any State thereof or the District of Columbia. 
 “GAAP”: generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting Principles Board and the American Institute of Certified Public Accountants and
statements and pronouncements of the Financial Accounting Standards Board or such other principles as may be approved by a significant segment of the accounting profession, which are applicable to the circumstances as of the date of determination,
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 “Governmental Authority”: any foreign, federal, state, municipal or other government, or
any department, commission, board, bureau, agency, public authority or instrumentality thereof, or any court or arbitrator. 
 “Granting Lender”: as defined in Section 11.7(h). 
 “Hazardous Materials”: all explosive or
radioactive substances or wastes and all hazardous or toxic substances, wastes or other pollutants, including petroleum or petroleum distillates, asbestos or asbestos containing materials, polychlorinated biphenyls, radon gas, infectious or medical
wastes and all other substances or wastes of any nature regulated pursuant to any Environmental Law. 
 “Highest Lawful
Rate”: as to any Lender, the maximum rate of interest, if any, which at any time or from time to time may be contracted for, taken, charged or received on the Loans or the Notes or which may be owing to such Lender pursuant to this
Agreement under the laws applicable to such Lender and this Agreement. 
 “Indebtedness”: as to any Person at a particular
time, all items of such Person which constitute, without duplication, (a) indebtedness for borrowed money or the deferred purchase price of Property (other than trade payables and accrued expenses incurred in the ordinary course of business),
(b) indebtedness evidenced by notes, bonds, debentures or similar instruments, (c) indebtedness with respect to any conditional sale or other title retention agreement, (d) indebtedness arising under acceptance facilities and the
amount available to be drawn under all letters of credit (excluding for purposes of Section 8.1 and Section 8.9 letters of credit obtained in the ordinary course of business by the Borrower or any Subsidiary) issued for the account of such
Person and, without duplication, all drafts drawn thereunder to the extent such Person shall not have reimbursed the issuer in respect of the issuer’s payment of such drafts, (e) that portion of any obligation of such Person, as lessee,
which in accordance with GAAP is required to be capitalized on a balance sheet of such Person, (f) all indebtedness described in clauses (a) through and including (e) above secured by any Lien on any Property owned by such Person even
though such Person shall not have assumed or otherwise become liable for the payment thereof (other than carriers’, warehousemen’s, mechanics’, repairmen’s or other like non-consensual Liens arising in the ordinary course of
business), and (g) Contingent Obligations in respect of any indebtedness described in clauses (a) through and including (f) above; provided that, for purposes of this definition, Indebtedness shall not include Intercompany Debt
and obligations in respect of interest rate caps, collars, exchanges, swaps or other, similar agreements. 
 “Indemnified
Liabilities”: as defined in Section 11.5. 
 “Indemnified Person”: as defined in Section 11.10.

 “Intercompany Debt”: (i) Indebtedness of the Borrower to one or more of the Subsidiaries of the Borrower and
(ii) Indebtedness of one or more of the Subsidiaries of the Borrower to the Borrower or any one or more of the other Subsidiaries of the Borrower. 
  

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 “Intercompany Disposition”: a Disposition by the Borrower or any of the Subsidiaries of
the Borrower to the Borrower or to any of the other Subsidiaries of the Borrower. 
 “Interest Payment Date”: (i) as to
any ABR Advance, the last day of each March, June, September and December, commencing on the first of such days to occur after such ABR Advance is made or any Eurodollar Advance is Converted to an ABR Advance, (ii) as to any Eurodollar Advance
in respect of which the Borrower has selected a Eurodollar Interest Period of the Shorter Period, the last day of such Eurodollar Interest Period, (iii) as to any Eurodollar Advance in respect of which the Borrower has selected a Eurodollar
Interest Period of one, two or three months, the last day of such Eurodollar Interest Period, and (iv) as to any Eurodollar Advance in respect of which the Borrower has selected a Eurodollar Interest Period greater than three months, the last
day of the third month of such Eurodollar Interest Period and the last day of such Eurodollar Interest Period. 
 “Internal Revenue
Code”: the Internal Revenue Code of 1986, as amended from time to time, or any successor thereto, and the rules and regulations issued thereunder, as from time to time in effect. 
 “LCPI”: Lehman Commercial Paper Inc. 
 “Lender”: as defined in the preamble. 
 “Lien”: any mortgage, pledge,
hypothecation, assignment, lien, deposit arrangement, charge, encumbrance or other security arrangement or security interest of any kind, or the interest of a vendor or lessor under any conditional sale agreement, capital lease or other title
retention agreement. 
 “Loan” or “Loans”: as defined in Section 2.1(a). 
 “Loan Documents”: this Agreement and, upon the execution and delivery thereof, the Notes, if any. 
 “Longs”: Longs Drug Store Corporation, a Maryland corporation. 
 “Longs Acquisition”: the acquisition by BMC of all outstanding capital stock of Longs (including pursuant to the Tender Offer) and
merger of BMC with and into Longs as described in the Longs Merger Agreement. 
 “Longs Merger Agreement”: the Agreement and
Plan of Merger, dated as of August 12, 2008, among the Borrower, Longs and BMC (as amended, supplemented or otherwise modified from time to time in accordance with Section 8.10). 
 “Margin Stock”: any “margin stock”, as said term is defined in Regulation U of the Board of Governors of the Federal
Reserve System, as the same may be amended or supplemented from time to time. 
  

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 “Material Adverse”: with respect to any change or effect, a material adverse change in,
or effect on, as the case may be, (i) the financial condition, operations, business, or Property of the Borrower and the Subsidiaries taken as a whole, (ii) the ability of the Borrower to perform its obligations under the Loan Documents,
or (iii) the ability of the Administrative Agent or any Lender to enforce the Loan Documents. 
 “Maturity Date”: the
date that is 364 days after the first Borrowing Date. 
 “Moody’s”: Moody’s Investors Service, Inc.

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

 “Net Proceeds”: with respect to any Prepayment Event, an amount equal to the cash proceeds of such Prepayment
Event, less (at the option of the Borrower) the sum of (i) all fees, costs, discounts, commissions and out-of-pocket expenses paid by the Borrower or its Subsidiaries in connection with such Prepayment Event, and (ii) with respect to any
sale leaseback transaction, the amount of all taxes paid (or reasonably estimated to be payable) by the Borrower or its Subsidiaries in connection with such Prepayment Event. 
 “Net Worth”: at any date of determination, the sum of all amounts which would be included under shareholders’ equity on a
Consolidated balance sheet of the Borrower and the Subsidiaries determined in accordance with GAAP as at such date. 
 “Note”: with respect to each Lender that has requested one, a promissory note evidencing such Lender’s Loans payable to the order of such Lender (or, if required by such Lender, to such Lender and its registered
assigns), substantially in the form of Exhibit B. 
 “Participant”: as defined in Section 11.7(e). 
 “PATRIOT Act”: as defined in Section 11.21. 
 “PBGC”: the Pension Benefit Guaranty Corporation established pursuant to Subtitle A of Title IV of ERISA, or any Governmental Authority succeeding to the functions thereof. 
 “Pension Plan”: at any time, any Employee Benefit Plan (including a Multiemployer Plan) subject to Section 302 of ERISA or
Section 412 of the Internal Revenue Code, the funding requirements of which are, or at any time within the six years immediately preceding the time in question, were in whole or in part, the responsibility of the Borrower, any Subsidiary or an
ERISA Affiliate. 
 “Person”: any individual, firm, partnership, limited liability company, joint venture, corporation,
association, business trust, joint stock company, unincorporated association, trust, Governmental Authority or any other entity, whether acting in an individual, fiduciary, or other capacity, and for the purpose of the definition of “ERISA
Affiliate”, a trade or business. 
  

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 “Prepayment Event”: (a) the issuance of any equity securities or hybrid
securities by the Borrower or any of its Subsidiaries in a registered public offering or private placement, (b) the issuance of long-term Indebtedness by the Borrower or any of its Subsidiaries in a registered public offering or a private
placement or under any new bank credit facility (excluding any Excluded Debt), (c) any sale leaseback transaction, including any pass-through certificate transaction, and/or (d) the issuance of any other Indebtedness for borrowed money
(other than Excluded Debt and commercial paper) the proceeds of which are used to acquire all or substantially all of the stock or assets of Longs prior to the first Borrowing Date. 
 “Pricing Level”: Pricing Level I, Pricing Level II, Pricing Level III or Pricing Level IV, as the case may be.

 “Pricing Level I”: any time when the senior unsecured long term debt rating of the Borrower by (x) S&P is
A- or higher or (y) Moody’s is A3 or higher. 
 “Pricing Level II”: any time when (i) the senior
unsecured long term debt rating of the Borrower by (x) S&P is BBB+ or higher or (y) Moody’s is Baa1 or higher and (ii) Pricing Level I does not apply. 
 “Pricing Level III”: any time when (i) the senior unsecured long term debt rating of the Borrower by (x) S&P is BBB
or higher or (y) Moody’s is Baa2 or higher and (ii) neither Pricing Level I nor II applies. 
 “Pricing
Level IV”: any time when none of Pricing Level I, II or III applies. 
 “Prime Rate”: the prime lending
rate as set forth on the British Banking Association Reuters Screen RTRTSY1 page (or such other comparable page as may, in the opinion of the Administrative Agent, replace such page for the purpose of displaying such rate), as in effect from time to
time. 
 “Pro Rata Percentage”: with respect to any Lender, at any time of determination (a) at any time prior to the
earlier of (x) the third Borrowing Date or (y) the last day of the Commitment Period, such Lender’s Commitment Percentage, and (b) at any time thereafter, a fraction (expressed as a percentage), the numerator of which shall be
the amount of such Lender’s Credit Exposure at such time and the denominator of which shall be the Aggregate Credit Exposure of all Lenders. 
 “Prohibited Transaction”: a transaction that is prohibited under Section 4975 of the Internal Revenue Code or Section 406 of ERISA and not exempt under Section 4975 of the Internal Revenue Code or
Section 408 of ERISA. 
 “Property”: in respect of any Person, all types of real, personal or mixed property and all
types of tangible or intangible property owned or leased by such Person. 
 “Regulatory Change”: (a) the introduction
or phasing in of any law, rule or regulation after the date hereof, (b) the issuance or promulgation after the date hereof of any directive, guideline or request from any central bank or United States or foreign Governmental 

  

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Authority (whether or not having the force of law), or (c) any change after the date hereof in the interpretation of any existing law, rule, regulation,
directive, guideline or request by any central bank or United States or foreign Governmental Authority charged with the administration thereof, in each case applicable to the transactions contemplated by this Agreement. 
 “Related Parties”: with respect to any specified Person, such Person’s Affiliates and the respective directors, officers,
employees, agents and advisors of such Person and such Person’s Affiliates. 
 “Replaced Lender”: as defined in
Section 3.13. 
 “Replacement Lender”: as defined in Section 3.13. 
 “Reportable Event”: with respect to any Pension Plan, (a) any event set forth in Sections 4043(c) (other than a Reportable
Event as to which the 30 day notice requirement is waived by the PBGC under applicable regulations), 4062(e) or 4063(a) of ERISA, or the regulations thereunder, (b) an event requiring the Borrower, any Subsidiary or any ERISA Affiliate to
provide security to a Pension Plan under Section 401(a)(29) of the Internal Revenue Code, or (c) the failure to make any payment required by Section 412(m) of the Internal Revenue Code. 
 “Required Lenders”: (a) at any time during the Commitment Period, Lenders having Commitments and Credit Exposure equal to or more
than 51% of the Aggregate Available Commitments plus the Aggregate Credit Exposure, and (b) at all other times, Lenders having Credit Exposure equal to or more than 51% of the Aggregate Credit Exposure. 
 “Restricted Payment”: with respect to any Person, any of the following, whether direct or indirect: (a) the declaration or payment
by such Person of any dividend or distribution on any class of Stock of such Person, other than a dividend payable solely in shares of that class of Stock to the holders of such class, (b) the declaration or payment by such Person of any
distribution on any other type or class of equity interest or equity investment in such Person, and (c) any redemption, retirement, purchase or acquisition of, or sinking fund or other similar payment in respect of, any class of Stock of, or
other type or class of equity interest or equity investment in, such Person. 
 “Restrictive Agreement”: as defined in
Section 8.7. 
 “S&P”: Standard & Poor’s, a division of The McGraw-Hill Companies. 
 “Shorter Period”: as defined in the definition of Eurodollar Interest Period. 
 “Solvent”: with respect to any Person on a particular date, the condition that on such date, (i) the fair value of the Property of
such Person is greater than the total amount of liabilities, including, without limitation, contingent liabilities, of such Person, (ii) the present fair salable value of the assets of such Person is not less than the amount that will be
required to pay the probable liability of such Person on its debts as they become absolute and matured, (iii) such Person does not intend to, and does not believe that it will, incur debts or liabilities beyond such 

  

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Person’s ability to pay as such debts and liabilities mature, and (iv) such Person is not engaged in business or a transaction, and is not about to
engage in business or a transaction, for which such Person’s Property would constitute an unreasonably small amount of capital. For purposes of this definition, the amount of any contingent liability at any time shall be computed as the amount
that, in light of all the facts and circumstances existing at such time, represents the amount that can reasonably be expected to become an actual or matured liability after taking into account probable payments by co-obligors. 
 “Special Counsel”: such counsel as the Administrative Agent may engage from time to time. 
 “Specified Representations”: the representations and warranties set forth in Section 4.1 (as it relates to the existence of the
Borrower), Section 4.2, Section 4.3, Section 4.5, Section 4.8 and Section 4.9. 
 “Stock”: any and
all shares, interests, participations or other equivalents (however designated) of capital stock of a corporation, any and all equivalent ownership interests in a Person (other than a corporation) and any and all warrants, rights or options to
purchase any of the foregoing. 
 “Subsidiary”: at any time and from time to time, any corporation, association,
partnership, limited liability company, joint venture or other business entity of which the Borrower and/or any Subsidiary of the Borrower, directly or indirectly at such time, either (a) in respect of a corporation, owns or controls more than
50% of the outstanding stock having ordinary voting power to elect a majority of the board of directors or similar managing body, irrespective of whether a class or classes shall or might have voting power by reason of the happening of any
contingency, or (b) in respect of an association, partnership, limited liability company, joint venture or other business entity, is entitled to share in more than 50% of the profits and losses, however determined. 
 “Tangible Net Worth”: at any date of determination, Net Worth less all assets of the Borrower and its Subsidiaries included in
such Net Worth, determined on a Consolidated basis at such date, that would be classified as intangible assets in accordance with GAAP. 
 “Tender Offer”: the tender offer by BMC for all the outstanding shares of capital stock of Longs as described in the Longs Merger Agreement. 
 “Termination Event”: with respect to any Pension Plan, (a) a Reportable Event, (b) the termination of a Pension Plan under Section 4041(c) of ERISA, or the filing of a notice of intent
to terminate a Pension Plan under Section 4041(c) of ERISA, or the treatment of a Pension Plan amendment as a termination under Section 4041(e) of ERISA (except an amendment made after such Pension Plan satisfies the requirement for a
standard termination under Section 4041(b) of ERISA), (c) the institution of proceedings by the PBGC to terminate a Pension Plan under Section 4042 of ERISA, or (d) the appointment of a trustee to administer any Pension Plan
under Section 4042 of ERISA. 
  

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 “Total Capitalization”: at any date, the sum of the Borrower’s Consolidated
Indebtedness and shareholders’ equity on such date, determined in accordance with GAAP. 
 “Type”: with respect to any
Loan, the characteristic of such Loan as an ABR Advance or a Eurodollar Advance, each of which constitutes a Type of Loan. 
 “Unqualified Amount”: as defined in Section 3.4(c). 
 “Upstream Dividends”: as defined in
Section 8.7. 
 “Unused Fee”: as defined in Section 3.11. 
 Section 1.2 Principles of Construction 
 (a) All capitalized terms defined in this Agreement shall have the meanings given such capitalized terms herein when used in the other Loan Documents or
in any certificate, opinion or other document made or delivered pursuant hereto or thereto, unless otherwise expressly provided therein. 
 (b) Unless otherwise expressly provided herein, the word “fiscal” when used herein shall refer to the relevant fiscal period of the Borrower. As used in the Loan Documents and in any certificate, opinion or other document
made or delivered pursuant thereto, accounting terms not defined in Section 1.1, and accounting terms partly defined in Section 1.1, to the extent not defined, shall have the respective meanings given to them under GAAP. 
 (c) The words “hereof”, “herein”, “hereto” and “hereunder” and similar words when
used in each Loan Document shall refer to such Loan Document as a whole and not to any particular provision of such Loan Document, and Section, schedule and exhibit references contained therein shall refer to Sections thereof or schedules or
exhibits thereto unless otherwise expressly provided therein. 
 (d) All references herein to a time of day shall mean the then applicable
time in New York, New York, unless otherwise expressly provided herein. 
 (e) Section headings have been inserted in the Loan Documents for
convenience only and shall not be construed to be a part thereof. Unless the context otherwise requires, words in the singular number include the plural, and words in the plural include the singular. 
 (f) Whenever in any Loan Document or in any certificate or other document made or delivered pursuant thereto, the terms thereof require that a Person
sign or execute the same or refer to the same as having been so signed or executed, such terms shall mean that the same shall be, or was, duly signed or executed by (i) in respect of any Person that is a corporation, any duly authorized officer
thereof, and (ii) in respect of any other Person (other than an individual), any analogous counterpart thereof. 
  

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 (g) The words “include” and “including”, when used in each Loan
Document, shall mean that the same shall be included “without limitation”, unless otherwise specifically provided. 
 ARTICLE 2

 AMOUNT AND TERMS OF LOANS 
 
SECTION 2.1 Loans 
 (a) Subject to the terms and conditions hereof (including the satisfaction of the conditions set forth
in Article 5 and Article 6), each Lender severally (and not jointly) agrees to make loans under this Agreement (each a “Loan” and, collectively with each other Loan of such Lender and/or with each Loan of each other
Lender, the “Loans”) at any time and from time to time during the Commitment Period to the Borrower in an aggregate amount which does not exceed the amount of such Lender’s Commitment, provided that any remaining
Commitment that is not borrowed shall automatically expire on the date that is the earlier of (x) the third Borrowing Date and (y) the Commitment Termination Date. Once repaid, no Loan may be reborrowed. At the option of the Borrower,
indicated in a Borrowing Request, Loans may be made as ABR Advances or Eurodollar Advances. 
 (b) The aggregate outstanding principal
balance of all Loans shall be due and payable on the Expiration Date. 
 (c) The Borrower hereby unconditionally promises to pay to the
Administrative Agent for the account of each Lender holding a Loan or Loans the then unpaid principal amount of such Loan or Loans on the Expiration Date, together with all accrued and unpaid interest, if any, and any and all amounts due and payable
hereunder. 
 SECTION 2.2 Notice of Borrowing Loans 
 The Borrower agrees to notify the Administrative Agent in writing, which notification shall be irrevocable, no later than (a) 10:00 A.M. on the
proposed Borrowing Date if the Loans made on such Borrowing Date will consist of ABR Advances and (b) 10:00 A.M. at least two Eurodollar Business Days prior to the proposed Borrowing Date if the Loans made on such Borrowing Date will
consist of Eurodollar Advances. Each such notice shall specify (i) the aggregate amount requested to be borrowed under the Commitments, (ii) the proposed Borrowing Date, (iii) whether the borrowing of Loans is to be of ABR Advances or
Eurodollar Advances, and the amount of each thereof and (iv) if applicable, the Eurodollar Interest Period for such Eurodollar Advances. Each such notice shall be made by delivery to the Administrative Agent of a Borrowing Request. Any
Eurodollar Advance made on a Borrowing Date shall equal no less than $10,000,000, or an integral multiple of $1,000,000 in excess thereof. Any ABR Advance made on a Borrowing Date shall equal no less than $1,000,000 or an integral multiple of
$500,000 in excess thereof. The Administrative Agent shall promptly notify each Lender (by fax or other writing) of such Borrowing Request. Subject to its receipt of each such notice from the Administrative Agent and subject to the terms and
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immediately available funds available to the Administrative Agent at the address therefor set forth in Section 11.2 not later than 1:00 P.M. on
each Borrowing Date in an amount equal to such Lender’s Commitment Percentage of Loans requested by the Borrower on such Borrowing Date. 
 SECTION 2.3 [Intentionally Omitted] 
 SECTION 2.4 Use of
Proceeds 
 The Borrower agrees that the proceeds of the Loans shall be used solely to (i) pay the share consideration payable by
BMC in respect of shares of Longs accepted for payment pursuant to the Tender Offer (including following any “Subsequent Offering Period” as defined in the Longs Merger Agreement), (ii) pay the merger consideration payable in the
merger of BMC with and into Longs as described in the Longs Merger Agreement, (iii) refinance senior secured credit facilities of Longs, and (iv) pay the transaction costs related to the Longs Acquisition. Notwithstanding anything to the
contrary contained in any Loan Document, the Borrower further agrees that no part of the proceeds of any Loan will be used, directly or indirectly, and whether immediately, incidentally or ultimately (i) for a purpose which violates any law,
rule or regulation of any Governmental Authority, including the provisions of Regulations U or X of the Board of Governors of the Federal Reserve System, as amended, or any provision of this Agreement, including, without limitation, the
provisions of Section 4.9 or (ii) 
to make a loan to any director or executive officer of the Borrower or any Subsidiary. 
 SECTION 2.5
Termination or Reduction of Commitments 
 (a) Voluntary Termination or Reductions. At the Borrower’s option and upon at
least three Domestic Business Days’ prior irrevocable notice to the Administrative Agent, the Borrower may (i) terminate the Commitments at any time, or (ii) permanently reduce the Aggregate Commitment Amount in part at any time and
from time to time, provided that each such partial reduction shall be in an amount equal to at least $10,000,000 or an integral multiple of $1,000,000 in excess thereof, and provided further that a notice of termination of the
Commitments delivered by the Borrower may state that such notice is conditioned upon the effectiveness of other credit facilities or the consummation of the issuance of long term Indebtedness, equity securities or hybrid securities (such notice to
specify the proposed effective date), in which case such notice may be revoked by the Borrower (by notice to the Administrative Agent on or prior to such specified effective date) if such condition is not satisfied, and the Borrower shall indemnify
the Lenders in accordance with Section 3.5. 
 (b) Scheduled Reductions. The Aggregate Commitment Amount shall be automatically
and permanently reduced to (i) $900,000,000 on November 28, 2008, and (ii) $500,000,000 on December 31, 2008 (in each case unless reduced to or below such amounts prior to such dates as otherwise provided herein). 
 (c) Mandatory Reductions. The Aggregate Commitment Amount shall be automatically and permanently reduced by an amount equal to the Net Proceeds
(if any) received by or on behalf of the Borrower or any Subsidiary; and such reduction shall be effective upon receipt by the Borrower or any Subsidiary of such Net Proceeds. 
  

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 (d) In General. Each reduction of the Aggregate Commitment Amount shall be made by reducing each
Lender’s Commitment Amount by a sum equal to such Lender’s Commitment Percentage of the amount of such reduction. 
 (e)
Termination. In addition to any termination or reduction of the Commitments as otherwise provided herein, the Commitments shall terminate immediately on the date that is the earlier of (x) the third Borrowing Date and (y) the
Commitment Termination Date. 
 SECTION 2.6 Prepayments of Loans 
 (a) Voluntary Prepayments. The Borrower may prepay Loans, in whole or in part, without premium or penalty, but subject to Section 3.5, at any
time and from time to time, by notifying the Administrative Agent, which notification shall be irrevocable, at least two Eurodollar Business Days, in the case of a prepayment of Eurodollar Advances, or one Domestic Business Day, in the case of a
prepayment of ABR Advances, prior to the proposed prepayment date specifying (i) the Loans to be prepaid, (ii) the amount to be prepaid, and (iii) the date of prepayment. Upon receipt of each such notice, the Administrative Agent
shall promptly notify each Lender thereof. Each such notice given by the Borrower pursuant to this Section shall be irrevocable; provided that, a notice of prepayment delivered by the Borrower may state that such notice is conditioned upon
the effectiveness of other credit facilities or the consummation of the issuance of long term Indebtedness, equity securities or hybrid securities (such notice to specify the proposed effective date), in which case such notice of prepayment may be
revoked by the Borrower (by notice to the Administrative Agent on or prior to such specified effective date) if such condition is not satisfied, and the Borrower shall indemnify the Lenders in accordance with Section 3.5. Each partial
prepayment under this Section shall be in a minimum amount of $1,000,000 ($500,000 in the case of ABR Advances) or an integral multiple of $1,000,000 ($100,000 in the case of ABR Advances) in excess thereof. 
 (b) Mandatory Prepayments. Not later than three Domestic Business Days following any reduction in the Aggregate Commitment Amount pursuant to
Section 2.5(b) or (c), the Borrower shall prepay the Loans in an aggregate amount equal to the amount (if any) by which the amount of such reduction in the Aggregate Commitment Amount exceeds the Aggregate Available Commitments immediately
before such reduction. 
 (c) [Intentionally Omitted]. 
 (d) In General. Simultaneously with each prepayment hereunder, the Borrower shall prepay all accrued interest on the amount prepaid through the date of prepayment and indemnify the Lenders in accordance with
Section 3.5. 
 SECTION 2.7 Notes 
 Any Lender may request that the Loans made by it be evidenced by a Note. In such event, the Borrower shall prepare, execute and deliver to such
Lender a Note payable to the order of such Person or, if requested by such Person, such Person and its registered assigns. Thereafter, all Loans evidenced by such Note and interest thereon shall at all times (including 

  

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after assignment pursuant to Section 11.7) be represented by a Note in like form payable to the order of the payee named therein and its registered
assigns. 
 ARTICLE 3 
 PROCEEDS, PAYMENTS, CONVERSIONS, 
 INTEREST, YIELD PROTECTION AND FEES 
 SECTION 3.1 Disbursement of the Proceeds of Loans 
 The Administrative Agent shall disburse the proceeds of Loans by wire transfer of the funds received from each Lender to the account of the Borrower
designated by the Borrower in writing to the Administrative Agent. Unless the Administrative Agent shall have received prior notice from a Lender (by fax or other writing) that such Lender will not make available to the Administrative Agent such
Lender’s Commitment Percentage of the Loan to be made by it on a Borrowing Date, the Administrative Agent may assume that such Lender has made such amount available to the Administrative Agent on such Borrowing Date in accordance with this
Section, provided that such Lender received notice thereof from the Administrative Agent in accordance with the terms hereof, and the Administrative Agent may, in reliance upon such assumption, make available to the Borrower on such Borrowing
Date a corresponding amount. If and to the extent such Lender shall not have so made such amount available to the Administrative Agent, such Lender and the Borrower severally agree to pay to the Administrative Agent, forthwith on demand, such
corresponding amount (to the extent not previously paid by the other), together with interest thereon for each day from the date such amount is made available to the Borrower until the date such amount is paid to the Administrative Agent, at a rate
per annum equal to, in the case of the Borrower, the applicable interest rate set forth in Section 3.4(a) and, in the case of such Lender, the Federal Funds Effective Rate from the date such payment is due until the third day after such date
and, thereafter, at the Federal Funds Effective Rate plus 2%. Any such payment by the Borrower shall be without prejudice to its rights against such Lender. If such Lender shall pay to the Administrative Agent such corresponding
amount, such amount so paid shall constitute such Lender’s Loan as part of such Loans for purposes of this Agreement, which Loan shall be deemed to have been made by such Lender on the Borrowing Date applicable to such Loans. 
 SECTION 3.2 Payments 
 (a) Each payment, including each prepayment, of principal and interest on the Loans and of the Unused Fee and the Duration Fee (collectively, together with all of the other fees to be paid to the Administrative Agent
and the Lenders in connection with the Loan Documents, the “Fees”), and of all of the other amounts to be paid to the Administrative Agent and the Lenders in connection with the Loan Documents shall be made by the Borrower to the
Administrative Agent at its office specified in Section 11.2 without setoff, deduction or counterclaim in funds immediately available in New York by 3:00 P.M. on the due date for such payment. The failure of the Borrower to make any such
payment by such time shall not constitute a default hereunder, provided that such payment is made on such due date, but any such payment made after 3:00 P.M. on such due date shall be deemed to have been made on the 

  

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next Domestic Business Day or Eurodollar Business Day, as the case may be, for the purpose of calculating interest on amounts outstanding on the Loans. If
the Borrower has not made any such payment prior to 3:00 P.M., the Borrower hereby authorizes the Administrative Agent to deduct the amount of any such payment from such account(s) as the Borrower may from time to time designate in writing to
the Administrative Agent, upon which the Administrative Agent shall apply the amount of such deduction to such payment. Promptly upon receipt thereof by the Administrative Agent, each payment of principal and interest on the Loans shall be
remitted by the Administrative Agent in like funds as received to each Lender (a) first, pro rata according to the amount of interest which is then due and payable to the Lenders, and (b) second, pro rata
according to the amount of principal which is then due and payable to the Lenders. Each payment of the Fees payable to the Lenders shall be promptly transmitted by the Administrative Agent in like funds as received to each Lender pro rata according
to such Lender’s Commitment Amount or, if the Commitments shall have terminated or been terminated, according to the outstanding principal amount of such Lender’s Loans. 
 (b) If any payment hereunder or under the Loans shall be due and payable on a day which is not a Domestic Business Day or Eurodollar Business Day, as the
case may be, the due date thereof (except as otherwise provided in the definition of Eurodollar Interest Period) shall be extended to the next Domestic Business Day or Eurodollar Business Day, as the case may be, and (except with respect to payments
of the Unused Fee and the Duration Fee) interest shall be payable at the applicable rate specified herein during such extension. 
 
SECTION 3.3 Conversions; Other Matters 
 (a) The Borrower may elect at any time and from time to time to Convert one or more
Eurodollar Advances to an ABR Advance by giving the Administrative Agent at least one Domestic Business Day’s prior irrevocable notice of such election, specifying the amount to be so Converted. In addition, the Borrower may elect at any
time and from time to time to Convert an ABR Advance to any one or more new Eurodollar Advances or to Convert any one or more existing Eurodollar Advances to any one or more new Eurodollar Advances by giving the Administrative Agent no later than
10:00 A.M. at least two Eurodollar Business Days’ prior irrevocable notice, in the case of a Conversion to Eurodollar Advances, of such election, specifying the amount to be so Converted and the initial Eurodollar Interest Period relating
thereto, provided that any Conversion of an ABR Advance to Eurodollar Advances shall only be made on a Eurodollar Business Day. The Administrative Agent shall promptly provide the Lenders with notice of each such election. Each Conversion of
Loans from one Type to another shall be made pro rata according to the outstanding principal amount of the Loans of each Lender. ABR Advances and Eurodollar Advances may be Converted pursuant to this Section in whole or in part, provided that
the amount to be Converted to each Eurodollar Advance, when aggregated with any Eurodollar Advance to be made on such date in accordance with Section 2.1 and having the same Eurodollar Interest Period as such first Eurodollar Advance, shall
equal no less than $10,000,000 or an integral multiple of $1,000,000 in excess thereof. 
 (b) Notwithstanding anything in this Agreement to
the contrary, upon the occurrence and during the continuance of a Default or an Event of Default, the Borrower shall have no right to elect to Convert any existing ABR Advance to a new Eurodollar Advance or to 

  

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Convert any existing Eurodollar Advance to a new Eurodollar Advance. In such event, such ABR Advance shall be automatically continued as an ABR
Advance or such Eurodollar Advance shall be automatically Converted to an ABR Advance on the last day of the Eurodollar Interest Period applicable to such Eurodollar Advance. The foregoing shall not affect any other rights or remedies that
the Administrative Agent or any Lender may have under this Agreement or any other Loan Document. 
 (c) Each Conversion shall be effected by
each Lender by applying the proceeds of each new ABR Advance or Eurodollar Advance, as the case may be, to the existing Advance (or portion thereof) being Converted (it being understood that such Conversion shall not constitute a borrowing for
purposes of Article 4, Article 5 or Article 6). 
 (d) Notwithstanding any other provision of any Loan Document: 

(i) if the Borrower shall have failed to elect a Eurodollar Advance under Section 2.2 or this Section 3.3, as the case may
be, in connection with any borrowing of new Loans or expiration of an Eurodollar Interest Period with respect to any existing Eurodollar Advance, the amount of the Loans subject to such borrowing or such existing Eurodollar Advance shall thereafter
be an ABR Advance until such time, if any, as the Borrower shall elect a new Eurodollar Advance pursuant to this Section 3.3, 
 (ii) the Borrower shall not be permitted to select a Eurodollar Advance the Eurodollar Interest Period in respect of which ends later than the Maturity Date, and 
 (iii) the Borrower shall not be permitted to have more than ten Eurodollar Advances outstanding at any one time, it being understood and
agreed that each borrowing of Eurodollar Advances pursuant to a single Borrowing Request shall constitute the making of one Eurodollar Advance for the purpose of calculating such limitation. 
 SECTION 3.4 Interest Rates and Payment Dates 
 (a) Prior to Maturity. Except as otherwise provided in Section 3.4(b) and Section 3.4(c), the Loans shall bear interest on the unpaid
principal balance thereof at the applicable interest rate or rates per annum set forth below: 
  

			
	                                LOANS	  	 RATE

	 Loans constituting ABR Advances
	  	Alternate Base Rate applicable thereto plus the Applicable Margin.
		
	 Loans constituting Eurodollar Advances
	  	Eurodollar Rate applicable thereto plus the Applicable Margin.

  

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 (b) After Maturity, Late Payment Rate. After maturity, whether by acceleration, notice of
intention to prepay or otherwise, the outstanding principal balance of the Loans shall bear interest at the Alternate Base Rate plus 2% per annum until paid (whether before or after the entry of any judgment thereon). Any payment
of principal, interest or any Fees not paid on the date when due and payable shall bear interest at the Alternate Base Rate plus 2% per annum from the due date thereof until the date such payment is made (whether before or after the
entry of any judgment thereon). 
 (c) Highest Lawful Rate. Notwithstanding anything to the contrary contained in this Agreement, at
no time shall the interest rate payable to any Lender on any of its Loans, together with any Fees and all other amounts payable hereunder to such Lender to the extent the same constitute or are deemed to constitute interest, exceed the Highest
Lawful Rate. If in respect of any period during the term of this Agreement, any amount paid to any Lender hereunder, to the extent the same shall (but for the provisions of this Section 3.4) constitute or be deemed to constitute
interest, would exceed the maximum amount of interest permitted by the Highest Lawful Rate during such period (such amount being hereinafter referred to as an “Unqualified Amount”), then (i) such Unqualified Amount shall be
applied or shall be deemed to have been applied as a prepayment of the Loans of such Lender, and (ii) if, in any subsequent period during the term of this Agreement, all amounts payable hereunder to such Lender in respect of such period which
constitute or shall be deemed to constitute interest shall be less than the maximum amount of interest permitted by the Highest Lawful Rate during such period, then the Borrower shall pay to such Lender in respect of such period an amount (each a
“Compensatory Interest Payment”) equal to the lesser of (x) a sum which, when added to all such amounts, would equal the maximum amount of interest permitted by the Highest Lawful Rate during such period, and (y) an amount
equal to the aggregate sum of all Unqualified Amounts less all other Compensatory Interest Payments. 
 (d) General. Interest
shall be payable in arrears on each Interest Payment Date, on the Expiration Date and, to the extent provided pursuant to Section 2.6(d), upon each prepayment of the Loans. Any change in the interest rate on the Loans resulting from an
increase or a decrease in the Alternate Base Rate or any reserve requirement shall become effective as of the opening of business on the day on which such change shall become effective. The Administrative Agent shall (i) in accordance
with its customary practice, provide notice to the Borrower when interest payments are due, and (ii) as soon as practicable, notify the Borrower and the Lenders of the effective date and the amount of each change in the Prime Rate, but any
failure to so notify shall not in any manner affect the obligation of the Borrower to pay interest on the Loans in the amounts and on the dates set forth herein. Each determination by the Administrative Agent of the Alternate Base Rate and the
Eurodollar Rate pursuant to this Agreement shall be conclusive and binding on the Borrower absent manifest error. The Borrower acknowledges that to the extent interest payable on the Loans is based on the Alternate Base Rate, such rate is
only one of the bases for computing interest on loans made by the Lenders, and by basing interest payable on ABR Advances on the Alternate Base Rate, the Lenders have not committed to charge, and the Borrower has not in any way bargained for,
interest based on a lower or the lowest rate at which the Lenders may now or in the future make extensions of credit to other Persons. All interest (other than interest calculated with reference to the Prime Rate) shall be calculated on the
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elapsed, and all interest determined with reference to the Prime Rate shall be calculated on the basis of a 365/366-day year for the actual number of days
elapsed. 
 SECTION 3.5 Indemnification for Loss 
 Notwithstanding anything contained herein to the contrary, if: (i) the Borrower shall fail to borrow a Eurodollar Advance or if the Borrower shall
fail to Convert a Eurodollar Advance after it shall have given notice to do so in which it shall have requested a Eurodollar Advance pursuant to Section 2.2 or Section 3.3, as the case may be, (ii) a Eurodollar Advance shall be
terminated for any reason prior to the last day of the Eurodollar Interest Period applicable thereto, (iii) any repayment or prepayment of the principal amount of a Eurodollar Advance is made for any reason on a date which is prior to the last
day of the Eurodollar Interest Period applicable thereto, or (iv) the Borrower shall have revoked a notice of prepayment or notice of termination of the Commitments that was conditioned upon the effectiveness of other credit facilities or the
consummation of the issuance of long term Indebtedness or equity securities pursuant to Section 2.5 or Section 2.6, the Borrower agrees to indemnify each Lender against, and to pay on demand directly to such Lender the amount (calculated
by such Lender using any method chosen by such Lender which is customarily used by such Lender for such purpose) equal to any loss or expense suffered by such Lender as a result of such failure to borrow or Convert, or such termination, repayment,
prepayment or revocation, including any loss, cost or expense suffered by such Lender in liquidating or employing deposits acquired to fund or maintain the funding of such Eurodollar Advance or redeploying funds prepaid or repaid, in amounts which
correspond to such Eurodollar Advance and any reasonable internal processing charge customarily charged by such Lender in connection therewith. 
 SECTION 3.6 Reimbursement for Costs, Etc. 
 If at any time or from time to time there
shall occur a Regulatory Change and any Lender shall have reasonably determined that such Regulatory Change (i) shall have had or will thereafter have the effect of reducing (A) the rate of return on such Lender’s capital or the
capital of any Person directly or indirectly owning or controlling such Lender (each a “Control Person”), or (B) the asset value (for capital purposes) to such Lender or such Control Person, as applicable, of the Loans, or any
participation therein, in any case to a level below that which such Lender or such Control Person could have achieved or would thereafter be able to achieve but for such Regulatory Change (after taking into account such Lender’s or such Control
Person’s policies regarding capital), (ii) will impose, modify or deem applicable any reserve, asset, special deposit or special assessment requirements on deposits obtained in the interbank eurodollar market in connection with the Loan
Documents (excluding, with respect to any Eurodollar Advance, any such requirement which is included in the determination of the rate applicable thereto), (iii) will subject such Lender or such Control Person, as applicable, to any tax
(documentary, stamp or otherwise) with respect to this Agreement or any Note, or (iv) will change the basis of taxation of payments to such Lender or such Control Person, as applicable, of principal, interest or fees payable under the Loan
Documents (except, in the case of clauses (iii) and (iv) above, for any tax or changes in the rate of tax on such Lender’s or such Control Person’s net income) then, in each such case, within ten days after demand by such Lender,
the Borrower shall pay to such Lender or such Control Person, as the case may be, such additional 

  

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amount or amounts as shall be sufficient to compensate such Lender or such Control Person, as the case may be, for any such reduction, reserve or other
requirement, tax, loss, cost or expense (excluding general administrative and overhead costs) (collectively, “Costs”) attributable to such Lender’s or such Control Person’s compliance during the term hereof with such
Regulatory Change. Each Lender may make multiple requests for compensation under this Section. 
 Notwithstanding the foregoing, the
Borrower will not be required to compensate any Lender for any Costs under this Section 3.6 arising prior to 45 days preceding the date of demand, unless the applicable Regulatory Change giving rise to such Costs is imposed
retroactively. In the case of retroactivity, such notice shall be provided to the Borrower not later than 45 days from the date that such Lender learned of such Regulatory Change. The Borrower’s obligation to compensate such
Lender shall be contingent upon the provision of such timely notice (but any failure by such Lender to provide such timely notice shall not affect the Borrower’s obligations with respect to (i) Costs incurred from the date as of which such
Regulatory Change became effective to the date that is 45 days after the date such Lender reasonably should have learned of such Regulatory Change and (ii) Costs incurred following the provision of such notice). 
 SECTION 3.7 Illegality of Funding 
 Notwithstanding any other provision hereof, if any Lender shall reasonably determine that any law, regulation, treaty or directive, or any change therein or in the interpretation or application thereof, shall make it
unlawful for such Lender to make or maintain any Eurodollar Advance as contemplated by this Agreement, such Lender shall promptly notify the Borrower and the Administrative Agent thereof, and (a) the commitment of such Lender to make such
Eurodollar Advances or Convert ABR Advances to such Eurodollar Advances shall forthwith be suspended, (b) such Lender shall fund its portion of each requested Eurodollar Advance as an ABR Advance and (c) such Lender’s Loans then
outstanding as such Eurodollar Advances, if any, shall be Converted automatically to an ABR Advance on the last day of the then current Eurodollar Interest Period applicable thereto or at such earlier time as may be required. If the
commitment of any Lender with respect to Eurodollar Advances is suspended pursuant to this Section and such Lender shall have obtained actual knowledge that it is once again legal for such Lender to make or maintain Eurodollar Advances, such Lender
shall promptly notify the Administrative Agent and the Borrower thereof and, upon receipt of such notice by each of the Administrative Agent and the Borrower, such Lender’s commitment to make or maintain Eurodollar Advances shall be
reinstated. If the commitment of any Lender with respect to Eurodollar Advances is suspended pursuant to this Section, such suspension shall not otherwise affect such Lender’s Commitment. 
 SECTION 3.8 Option to Fund; Substituted Interest Rate 
 (a) Each Lender has indicated that, if the Borrower requests a Eurodollar Advance, such Lender may wish to purchase one or more deposits in order to fund
or maintain its funding of its Pro Rata Percentage of such Eurodollar Advance during the Eurodollar Interest Period with respect thereto; it being understood that the provisions of this Agreement relating to such funding are included only for the
purpose of determining the rate of interest to be paid in respect of such Eurodollar Advance and any amounts owing under Section 3.5 and Section 3.6.  

  

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Each Lender shall be entitled to fund and maintain its funding of all or any part of each Eurodollar Advance in any manner it sees fit, but all such
determinations hereunder shall be made as if such Lender had actually funded and maintained its Pro Rata Percentage of each Eurodollar Advance during the applicable Eurodollar Interest Period through the purchase of deposits in an amount equal to
the amount of its Pro Rata Percentage of such Eurodollar Advance and having a maturity corresponding to such Eurodollar Interest Period. Each Lender may fund its Loans from or for the account of any branch or office of such Lender as such
Lender may choose from time to time, subject to Section 3.10. 
 (b) In the event that (i) the Administrative Agent shall have
determined in good faith (which determination shall be conclusive and binding upon the Borrower) that by reason of circumstances affecting the interbank eurodollar market adequate and reasonable means do not exist for ascertaining the Eurodollar
Rate applicable pursuant to Section 2.2 or Section 3.3, or (ii) the Required Lenders shall have notified the Administrative Agent that they have in good faith determined (which determination shall be conclusive and binding on the
Borrower) that the applicable Eurodollar Rate will not adequately and fairly reflect the cost to such Lenders of maintaining or funding loans bearing interest based on such Eurodollar Rate with respect to any portion of the Loans that the Borrower
has requested be made as Eurodollar Advances or any Eurodollar Advance that will result from the requested conversion of any portion of the Loans into Eurodollar Advances (each, an “Affected Advance”), the Administrative Agent shall
promptly notify the Borrower and the Lenders (by fax or other writing) of such determination on or, to the extent practicable, prior to the requested Borrowing Date or Conversion date for such Affected Advances. If the Administrative Agent
shall give such notice, (A) any Affected Advances shall be made as ABR Advances, (B) the Loans (or any portion thereof) that were to have been Converted to Affected Advances shall be Converted to or continued as ABR Advances, and
(C) any outstanding Affected Advances shall be Converted, on the last day of the then current Eurodollar Interest Period with respect thereto, to ABR Advances. Until any notice under clauses (i) or (ii), as the case may be, of this
Section 3.8(b) has been withdrawn by the Administrative Agent (by notice to the Borrower) promptly upon either (x) the Administrative Agent having determined that such circumstances affecting the relevant market no longer exist and that
adequate and reasonable means do exist for determining the Eurodollar Rate pursuant to Section 2.2 or Section 3.3, or (y) the Administrative Agent having been notified by such Required Lenders that circumstances no longer render the
Loans (or any portion thereof) Affected Advances, no further Eurodollar Advances shall be required to be made by the Lenders nor shall the Borrower have the right to Convert all or any portion of the Loans to Eurodollar Advances. 
 SECTION 3.9 Certificates of Payment and Reimbursement 
 Each Lender agrees, in connection with any request by it for payment or reimbursement pursuant to Section 3.5 or Section 3.6, to provide the
Borrower with a certificate, signed by an officer of such Lender, setting forth a description in reasonable detail of any such payment or reimbursement. Each determination by each Lender of such payment or reimbursement shall be conclusive absent
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 SECTION 3.10 Taxes; Net Payments 
 (a) All payments made by the Borrower under the Loan Documents shall be made free and clear of, and without reduction for or on account of, any taxes
required by law to be withheld from any amounts payable under the Loan Documents. In the event that the Borrower is prohibited by law from making such payments free of deductions or withholdings, then the Borrower shall pay such additional
amounts to the Administrative Agent, for the benefit of the Lenders, as may be necessary in order that the actual amounts received by the Lenders in respect of interest and any other amounts payable under the Loan Documents after deduction or
withholding (and after payment of any additional taxes or other charges due as a consequence of the payment of such additional amounts) shall equal the amount that would have been received if such deduction or withholding were not required.
In the event that any such deduction or withholding can be reduced or nullified as a result of the application of any relevant double taxation convention, the Lenders and the Administrative Agent will, at the expense of the Borrower, cooperate
with the Borrower in making application to the relevant taxing authorities seeking to obtain such reduction or nullification, provided that the Lenders and the Administrative Agent shall have no obligation to (i) engage in any
litigation, hearing or proceeding with respect thereto or (ii) disclose any tax return or other confidential information. If the Borrower shall make any payment under this Section or shall make any deduction or withholding from amounts
paid under any Loan Document, the Borrower shall forthwith forward to the Administrative Agent original or certified copies of official receipts or other evidence acceptable to the Administrative Agent establishing each such payment, deduction or
withholding, as the case may be, and the Administrative Agent in turn shall distribute copies thereof to each Lender. If any payment to any Lender under any Loan Document is or becomes subject to any withholding, such Lender shall (unless
otherwise required by a Governmental Authority or as a result of any law, rule, regulation, order or similar directive applicable to such Lender) designate a different office or branch to which such payment is to be made from that initially selected
thereby, if such designation would avoid such withholding and would not be otherwise disadvantageous to such Lender in any respect. In the event that any Lender determines that it received a refund or credit for taxes paid by the Borrower
under this Section, such Lender shall promptly notify the Administrative Agent and the Borrower of such fact and shall remit to the Borrower the amount of such refund or credit applicable to the payments made by the Borrower in respect of such
Lender under this Section. 
 (b) Any Foreign Lender that is entitled to an exemption from or reduction of withholding tax under the law of
the jurisdiction in which the Borrower is located, or any treaty to which such jurisdiction is a party, with respect to payments under the Loan Documents shall deliver to the Borrower (with a copy to the Administrative Agent), at the time or times
prescribed by applicable law, such properly completed and executed documentation prescribed by applicable law or reasonably requested by the Borrower as will permit such payments to be made without withholding or at a reduced rate.
Notwithstanding any provision herein to the contrary, the Borrower shall have no obligation to pay to any Lender any amount which the Borrower is liable to withhold due to the failure of such Lender to file any statement of exemption required by
the Internal Revenue Code. 
  

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 SECTION 3.11 Unused Fee 
 The Borrower agrees to pay to the Administrative Agent for the pro rata account of each Lender a fee (the “Unused Fee”) during the
period commencing on the Effective Date and ending on the Commitment Termination Date, payable quarterly in arrears on the last day of each March, June, September and December of each year, commencing on the last day of the calendar quarter in which
the Effective Date shall have occurred, and on the Commitment Termination Date, at a rate per annum equal to the Applicable Margin of the average daily Available Commitment of such Lender. The Unused Fee shall be computed on the basis of a 360-day
year for the actual number of days elapsed. 
 SECTION 3.12 Duration Fee 
 The Borrower agrees to pay to the Administrative Agent for the pro rata account of each Lender a fee (the “Duration Fee”) in an amount
equal to (a) on December 31, 2008, 0.25% of the then outstanding principal amount of the Loans on such date, (b) on the date that is 180 days after the first Borrowing Date, 0.50% of the then outstanding principal amount of the
Loans on such date, and (c) on the date that is 270 days after the first Borrowing Date, 0.75% of the then outstanding principal amount of the Loans on such date. 
 SECTION 3.13 Replacement of Lender 
 If the Borrower is obligated to pay to any Lender any amount under Section 3.6 or Section 3.10, the Borrower shall have the right within 90
days thereafter, in accordance with the requirements of Section 11.7(b), if no Default or Event of Default shall exist, to replace such Lender (the “Replaced Lender”) with one or more other assignees (each a
“Replacement Lender”), provided that (i) at the time of any replacement pursuant to this Section, the Replacement Lender shall enter into one or more Assignment and Acceptance Agreements pursuant to Section 11.7(b)
(with the processing and recordation fee referred to in Section 11.7(b) payable pursuant to said Section 11.7(b) to be paid by the Replacement Lender) pursuant to which the Replacement Lender shall acquire the Commitment (if any) and the
outstanding Loans of the Replaced Lender and, in connection therewith, shall pay the following: (a) to the Replaced Lender, an amount equal to the sum of (A) an amount equal to the principal of, and all accrued interest on, all outstanding
Loans of the Replaced Lender and (B) an amount equal to all accrued, but unpaid, fees owing to the Replaced Lender and (b) to the Administrative Agent, an amount equal to all amounts owed by such Replaced Lender to the Administrative Agent
under this Agreement, including, without limitation, an amount equal to the principal of, and all accrued interest on, all outstanding Loans of the Replaced Lender, a corresponding amount of which was made available by the Administrative Agent to
the Borrower pursuant to Section 3.1 and which has not been repaid to the Administrative Agent by such Replaced Lender or the Borrower, and (ii) all obligations of the Borrower owing to the Replaced Lender (other than those specifically
described in clause (i) above in respect of which the assignment purchase price has been, or is concurrently being, paid) shall be paid in full to such Replaced Lender concurrently with such replacement. Upon the execution of the
respective Assignment and Acceptance Agreements and the payment of amounts referred to in clauses (i) and (ii) of this Section 3.13, the Replacement Lender shall become a Lender hereunder and the Replaced Lender shall cease to
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provisions under this Agreement that are intended to survive the termination of the Commitments and the repayment of the Loans. 
 ARTICLE 4 
 REPRESENTATIONS AND WARRANTIES

 In order to induce the Administrative Agent and the Lenders to enter into this Agreement, and the Lenders to make Loans, the Borrower
hereby makes the following representations and warranties to the Administrative Agent and the Lenders: 
 Section 4.1 Existence and Power 
 Each of the Borrower and the Subsidiaries is duly
organized, validly existing and in good standing under the laws of the jurisdiction of its incorporation or formation (except, in the case of the Subsidiaries, where the failure to be in such good standing could not reasonably be expected to have a
Material Adverse effect), has all requisite corporate power and authority to own its Property and to carry on its business as now conducted, and is qualified to do business as a foreign corporation and is in good standing in each jurisdiction in
which it owns or leases real Property or in which the nature of its business requires it to be so qualified (except those jurisdictions where the failure to be so qualified or to be in good standing could not reasonably be expected to have a
Material Adverse effect). 
 Section 4.2 Authority 
 The Borrower has full corporate power and authority to enter into, execute, deliver and perform the terms of the Loan Documents, all of which have been
duly authorized by all proper and necessary corporate action and are not in contravention of any applicable law or the terms of its Certificate of Incorporation and By-Laws. No consent or approval of, or other action by, shareholders of the
Borrower, any Governmental Authority, or any other Person (which has not already been obtained) is required to authorize in respect of the Borrower, or is required in connection with the execution, delivery, and performance by the Borrower of the
Loan Documents or is required as a condition to the enforceability of the Loan Documents against the Borrower. 
 Section 4.3 Binding Agreement 
 The Loan Documents constitute the valid and legally
binding obligations of the Borrower, enforceable in accordance with their respective terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of
creditors’ rights generally and by equitable principles relating to the availability of specific performance as a remedy. 
 
Section 4.4 Litigation 
 As of August 12, 2008, there were no actions, suits, arbitration proceedings or claims
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to the knowledge of the Borrower, threatened against the Borrower or any Subsidiary or any of their respective Properties, or maintained by the Borrower or
any Subsidiary, at law or in equity, before any Governmental Authority which could reasonably be expected to have a Material Adverse effect. There are no proceedings pending or, to the knowledge of the Borrower, threatened against the Borrower or
any Subsidiary (a) which call into question the validity or enforceability of any Loan Document, or otherwise seek to invalidate, any Loan Document, or (b) which might, individually or in the aggregate, materially and adversely affect any
of the transactions contemplated by any Loan Document (it being understood that the Longs Acquisition is not a transaction contemplated by any Loan Document for the purposes of this clause (b)). 
 Section 4.5 No Conflicting Agreements 
 (a) Neither the Borrower nor any Subsidiary is in default under any agreement to which it is a party or by which it or any of its Property is bound the
effect of which could reasonably be expected to have a Material Adverse effect. No notice to, or filing with, any Governmental Authority is required for the due execution, delivery and performance by the Borrower of the Loan Documents.

 (b) No provision of any existing material mortgage, material indenture, material contract or material agreement or of any existing statute,
rule, regulation, judgment, decree or order binding on the Borrower or any Subsidiary or affecting the Property of the Borrower or any Subsidiary conflicts with, or requires any consent which has not already been obtained under, or would in any way
prevent the execution, delivery or performance by the Borrower of the terms of, any Loan Document. The execution, delivery or performance by the Borrower of the terms of each Loan Document will not constitute a default under, or result in the
creation or imposition of, or obligation to create, any Lien upon the Property of the Borrower or any Subsidiary pursuant to the terms of any such mortgage, indenture, contract or agreement. 
 Section 4.6 Taxes 
 The Borrower and each Subsidiary has filed or caused to be filed all tax returns, and has paid, or has made adequate provision for the payment of, all taxes shown to be due and payable on said returns or in any
assessments made against them, the failure of which to file or pay could reasonably be expected to have a Material Adverse effect, and no tax Liens (other than Liens permitted under Section 8.2) have been filed against the Borrower or any
Subsidiary and no claims are being asserted with respect to such taxes which are required by GAAP to be reflected in the Financial Statements and are not so reflected, except for taxes which have been assessed but which are not yet due and
payable. The charges, accruals and reserves on the books of the Borrower and each Subsidiary with respect to all federal, state, local and other taxes are considered by the management of the Borrower to be adequate, and the Borrower knows of
no unpaid assessment which (a) could reasonably be expected to have a Material Adverse effect, or (b) is or might be due and payable against it or any Subsidiary or any Property of the Borrower or any Subsidiary, except such thereof as are
being contested in good faith and by appropriate proceedings diligently conducted, and for which adequate reserves have been set aside in accordance with GAAP or which have been assessed but are not yet due and payable. 
  

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 Section 4.7 Compliance with Applicable Laws; Filings 

Neither the Borrower nor any Subsidiary is in default with respect to any judgment, order, writ, injunction, decree or decision of any Governmental
Authority which default could reasonably be expected to have a Material Adverse effect. The Borrower and each Subsidiary is complying with all applicable statutes, rules and regulations of all Governmental Authorities, a violation of which
could reasonably be expected to have a Material Adverse effect. The Borrower and each Subsidiary has filed or caused to be filed with all Governmental Authorities all reports, applications, documents, instruments and information required to
be filed pursuant to all applicable laws, rules, regulations and requests which, if not so filed, could reasonably be expected to have a Material Adverse effect. 
 Section 4.8 Governmental Regulations 
 Neither the Borrower nor any
Subsidiary nor any corporation controlling the Borrower or any Subsidiary or under common control with the Borrower or any Subsidiary is subject to regulation under the Investment Company Act of 1940, as amended, or is subject to any statute or
regulation which regulates the incurrence of Indebtedness. 
 Section 4.9 Federal Reserve Regulations;
Use of Proceeds 
 The Borrower is not engaged principally, or as one of its important activities, in the business of extending credit
for the purpose of purchasing or carrying any margin stock within the meaning of Regulation U of the Board of Governors of the Federal Reserve System, as amended. No part of the proceeds of the Loans has been or will be used, directly or
indirectly, and whether immediately, incidentally or ultimately, for a purpose which violates any law, rule or regulation of any Governmental Authority, including, without limitation, the provisions of Regulations T, U or X of the Board of
Governors of the Federal Reserve System, as amended. Anything in this Agreement to the contrary notwithstanding, no Lender shall be obligated to extend credit to or on behalf of the Borrower in violation of any limitation or prohibition
provided by any applicable law, regulation or statute, including said Regulation U. Following application of the proceeds of each Loan, not more than 25% (or such greater or lesser percentage as is provided in the exclusions from the
definition of “Indirectly Secured” contained in said Regulation U as in effect at the time of the making of such Loan) of the value of the assets of the Borrower and the Subsidiaries on a Consolidated basis that are subject to
Section 8.2 will be Margin Stock. In addition, no part of the proceeds of any Loan will be used, whether directly or indirectly, and whether immediately, incidentally or ultimately, to make a loan to any director or executive officer of
the Borrower or any Subsidiary. 
 Section 4.10 No Misrepresentation 
 No representation or warranty contained in any Loan Document and no certificate or written report furnished by the Borrower to the Administrative Agent
or any Lender pursuant to any Loan Document contains or will contain, as of its date, a misstatement of material fact, or omits or will omit to state, as of its date, a material fact required to be stated in order to make the statements therein
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(it being understood that the Borrower makes no representation or warranty hereunder with respect to any projections or other forward looking information).

 Section 4.11 Plans 
 Each Employee Benefit Plan of the Borrower, each Subsidiary and each ERISA Affiliate is in compliance with ERISA and the Internal Revenue Code, where applicable, except where the failure to so comply would not be
material. The Borrower, each Subsidiary and each ERISA Affiliate have complied with the material requirements of Section 515 of ERISA with respect to each Pension Plan which is a Multiemployer Plan, except where the failure to so comply
would not be material. The Borrower, each Subsidiary and each ERISA Affiliate has, as of the date hereof, made all contributions or payments to or under each Pension Plan required by law or the terms of such Pension Plan or any contract or
agreement. No liability to the PBGC has been, or is reasonably expected by the Borrower, any Subsidiary or any ERISA Affiliate to be, incurred by the Borrower, any Subsidiary or any ERISA Affiliate. Liability, as referred to in this
Section 4.11, includes any joint and several liability, but excludes any current or, to the extent it represents future liability in the ordinary course, any future liability for premiums under Section 4007 of ERISA. Each Employee
Benefit Plan which is a group health plan within the meaning of Section 5000(b)(1) of the Internal Revenue Code is in material compliance with the continuation of health care coverage requirements of Section 4980B of the Internal Revenue
Code and with the portability, nondiscrimination and other requirements of Sections 9801, 9802, 9803, 9811 and 9812 of the Internal Revenue Code. 
 Section 4.12 Environmental Matters 
 Neither the Borrower nor any
Subsidiary (a) has received written notice or otherwise learned of any claim, demand, action, event, condition, report or investigation indicating or concerning any potential or actual liability which individually or in the aggregate could
reasonably be expected to have a Material Adverse effect, arising in connection with (i) any non-compliance with or violation of the requirements of any applicable federal, state or local environmental health or safety statute or regulation, or
(ii) the release or threatened release of any toxic or hazardous waste, substance or constituent, or other substance into the environment, (b) to the best knowledge of the Borrower, has any threatened or actual liability in connection with
the release or threatened release of any toxic or hazardous waste, substance or constituent, or other substance into the environment which individually or in the aggregate could reasonably be expected to have a Material Adverse effect, (c) has
received notice of any federal or state investigation evaluating whether any remedial action is needed to respond to a release or threatened release of any toxic or hazardous waste, substance or constituent or other substance into the environment
for which the Borrower or any Subsidiary is or would be liable, which liability would reasonably be expected to have a Material Adverse effect, or (d) has received notice that the Borrower or any Subsidiary is or may be liable to any Person
under the Comprehensive Environmental Response, Compensation and Liability Act, as amended, 42 U.S.C. Section 9601 et seq., or any analogous state law, which liability would reasonably be expected to have a Material Adverse
effect. The Borrower and each Subsidiary is in compliance with the financial responsibility requirements of federal and state environmental laws to the extent applicable, including those contained in 40 C.F.R., parts 264 and 265,
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analogous state law, except in those cases in which the failure so to comply would not reasonably be expected to have a Material Adverse effect. 

Section 4.13 Financial Statements 
 The Borrower has heretofore delivered to the Lenders through the Administrative Agent copies of the audited Consolidated Balance Sheet of the Borrower
and its Subsidiaries as of December 29, 2007, and the related Consolidated Statements of Operations, Shareholders’ Equity and Cash Flows for the fiscal year then ended. The financial statements referred to immediately above,
including all related notes and schedules, are herein referred to collectively as the “Financial Statements.” The Financial Statements fairly present the Consolidated financial condition and results of the operations of the
Borrower and the Subsidiaries as of the date and for the period indicated therein and, except as noted therein, have been prepared in conformity with GAAP as then in effect. Neither the Borrower nor any of the Subsidiaries has any obligation
or liability of any kind (whether fixed, accrued, contingent, unmatured or otherwise) which, in accordance with GAAP as then in effect, should have been disclosed in the Financial Statements and was not. During the period from December 29, 2007
to and including August 12, 2008 there was no Material Adverse change, including as a result of any change in law or any change in the consolidated financial condition, operations, business or Property of the Borrower and its Subsidiaries taken
as a whole. 
 ARTICLE 5 
 CONDITIONS OF LENDING — 
 LOANS ON THE FIRST BORROWING DATE 
 In addition to the requirements set forth in Article 6, the obligation of each Lender on the first Borrowing Date to make a Loan is subject to the
fulfillment of the following conditions precedent prior to or simultaneously therewith: 
 Section 5.1
Evidence of Corporate Action 
 The Administrative Agent shall have received a certificate, dated the Effective Date, of the Secretary
or an Assistant Secretary of the Borrower (i) attaching a true and complete copy of the resolutions of its Board of Directors and of all documents evidencing all other necessary corporate action (in form and substance reasonably satisfactory to
the Administrative Agent) taken by the Borrower to authorize the Loan Documents and the transactions contemplated thereby, (ii) attaching a true and complete copy of its Certificate of Incorporation and By-Laws, (iii) setting forth the
incumbency of the officer or officers of the Borrower who may sign the Loan Documents and any other certificates, requests, notices or other documents now or in the future required thereunder, and (iv) attaching a long-form certificate of good
standing of the Secretary of State of the State of Delaware. 
 Section 5.2 Notes 
 The Administrative Agent shall have received a Note for each Lender that shall have requested one, executed by the Borrower. 
  

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 Section 5.3 Opinion of Counsel to the Borrower 
 The Administrative Agent shall have received: 
 (a) an opinion of Zenon Lankowsky, counsel to the Borrower, dated the Effective Date, and in the form of Exhibit D-1; and 
 (b)
an opinion of Davis Polk & Wardwell, special counsel to the Borrower, dated the Effective Date, and in the form of Exhibit D-2. 
 Section 5.4 Longs Acquisition 
 The
Administrative Agent shall have received a certificate of the Chief Financial Officer of the Borrower, dated as of the first Borrowing Date, certifying that (a) BMC has accepted for payment pursuant to the Tender Offer at least 66 2/3% of the total number of shares of Longs on a fully diluted basis, and (b) since August 12, 2008, there have been no
amendments or modifications to the Longs Merger Agreement in any respect that could reasonably be expected to have a material adverse effect on the interests of the Lenders without the consent of the Administrative Agent. 
 ARTICLE 6 
 CONDITIONS TO LENDING —

 LOANS ON EACH BORROWING DATE 
 The obligation of each Lender on any Borrowing Date to make each Loan is subject to the fulfillment of the following conditions precedent: 
 Section 6.1 Compliance 
 (a) On the first Borrowing Date, and after giving effect to the
Loans to be made on such Borrowing Date, (i) there shall exist no Default or Event of Default, and (ii) the representations and warranties contained in this Agreement shall be true and correct with the same effect as though such
representations and warranties had been made on such Borrowing Date, except those which are expressly specified to be made as of an earlier date. 
 (b) On each Borrowing Date after the first Borrowing Date, and after giving effect to the Loans to be made on such Borrowing Date, (i) there shall exist no Default or Event of Default under Section 9.1(a), (b), (h), (i) or
(j), and (ii) the Specified Representations shall be true and correct with the same effect as though such Specified Representations had been made on such Borrowing Date, except those which are expressly specified to be made as of an earlier
date. 
 Section 6.2 Requests 
 The Administrative Agent shall have received a Borrowing Request (which shall comply with the provisions of Section 2.2) from the Borrower.

  

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 SECTION 6.3 Loan Closings 
 All documents required by the provisions of this Agreement to have been executed or delivered by the Borrower to the Administrative Agent or any Lender
on or before the applicable Borrowing Date shall have been so executed or delivered on or before such Borrowing Date. 
 ARTICLE 7

 AFFIRMATIVE COVENANTS 
 The
Borrower covenants and agrees that on and after the Effective Date and until the payment in full of the Loans and all other sums and amounts payable under the Loan Documents, the Borrower will: 
 SECTION 7.1 Legal Existence 
 Except as may otherwise be permitted by Section 8.3 and Section 8.4, maintain, and cause each Subsidiary to maintain, its corporate existence in good standing in the jurisdiction of its incorporation or
formation and in each other jurisdiction in which the failure so to do could reasonably be expected to have a Material Adverse effect, except that the corporate existence of Subsidiaries operating closing or discontinued operations may be
terminated. 
 SECTION 7.2 Taxes 
 Pay and discharge when due, and cause each Subsidiary so to do, all taxes, assessments, governmental charges, license fees and levies upon or with
respect to the Borrower and such Subsidiary, and upon the income, profits and Property thereof unless, and only to the extent, that either (i)(a) such taxes, assessments, governmental charges, license fees and levies shall be contested in good
faith and by appropriate proceedings diligently conducted by the Borrower or such Subsidiary, and (b) such reserve or other appropriate provision as shall be required by GAAP shall have been made therefor, or (ii) the failure to pay or
discharge such taxes, assessments, governmental charges, license fees and levies could not reasonably be expected to have a Material Adverse effect. 
 SECTION 7.3 Insurance 
 Keep, and cause each Subsidiary to keep,
insurance with responsible insurance companies in such amounts and against such risks as is usually carried by the Borrower or such Subsidiary. 
 SECTION 7.4 Performance of Obligations 
 Pay and discharge promptly when due, and cause
each Subsidiary so to do, all lawful Indebtedness, obligations and claims for labor, materials and supplies or otherwise which, if unpaid, could reasonably be expected to (a) have a Material Adverse effect, or (b) become a Lien on the
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Section 8.2, provided that neither the Borrower nor such Subsidiary shall be required to pay or discharge or cause to be paid or discharged any
such Indebtedness, obligation or claim so long as (i) the validity thereof shall be contested in good faith and by appropriate proceedings diligently conducted by the Borrower or such Subsidiary, and (ii) such reserve or other appropriate
provision as shall be required by GAAP shall have been made therefor. 
 SECTION 7.5 Condition of
Property 
 Except for ordinary wear and tear, at all times, maintain, protect and keep in good repair, working order and condition, all
material Property necessary for the operation of its business (other than Property which is replaced with similar Property) as then being operated, and cause each Subsidiary so to do. 
 SECTION 7.6 Observance of Legal Requirements 
 Observe and comply in all material respects, and cause each Subsidiary so to do, with all laws, ordinances, orders, judgments, rules, regulations,
certifications, franchises, permits, licenses, directions and requirements of all Governmental Authorities, which now or at any time hereafter may be applicable to it or to such Subsidiary, a violation of which could reasonably be expected to have a
Material Adverse effect. 
 SECTION 7.7 Financial Statements and Other Information 
 Maintain, and cause each Subsidiary to maintain, a standard system of accounting in accordance with GAAP, and furnish to each Lender: 
 (a) As soon as available and, in any event, within 120 days after the close of each fiscal year, a copy of (x) the Borrower’s 10-K in
respect of such fiscal year, and (y)(i) the Borrower’s Consolidated Balance Sheet as of the end of such fiscal year, and (ii) the related Consolidated Statements of Operations, Shareholders’ Equity and Cash Flows, as of and
through the end of such fiscal year, setting forth in each case in comparative form the corresponding figures in respect of the previous fiscal year, all in reasonable detail, and accompanied by a report of the Borrower’s auditors, which report
shall state that (A) such auditors audited such financial statements, (B) such audit was made in accordance with generally accepted auditing standards in effect at the time and provides a reasonable basis for such opinion, and
(C) said financial statements have been prepared in accordance with GAAP; 
 (b) As soon as available, and in any event within
60 days after the end of each of the first three fiscal quarters of each fiscal year, a copy of (x) the Borrower’s 10-Q in respect of such fiscal quarter, and (y)(i) the Borrower’s Consolidated Balance Sheet as of the end of
such quarter and (ii) the related Consolidated Statements of Operations, Shareholders’ Equity and Cash Flows for (A) such quarter and (B) the period from the beginning of the then current fiscal year to the end of such quarter,
in each case in comparable form with the prior fiscal year, all in reasonable detail and prepared in accordance with GAAP (without footnotes and subject to year-end adjustments); 
  

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 (c) Simultaneously with the delivery of the financial statements required by clauses (a) and
(b) above, a certificate of the chief financial officer or treasurer of the Borrower certifying that no Default or Event of Default shall have occurred or be continuing or, if so, specifying in such certificate all such Defaults and Events of
Default, and setting forth computations in reasonable detail demonstrating compliance with Section 8.1 and Section 8.9; 
 (d)
Prompt notice upon the Borrower becoming aware of any change in a Pricing Level; 
 (e) Promptly upon becoming available, copies of all
regular or periodic reports (including current reports on Form 8-K) which the Borrower or any Subsidiary may now or hereafter be required to file with or deliver to the Securities and Exchange Commission, or any other Governmental Authority
succeeding to the functions thereof, and copies of all material news releases sent to all stockholders; 
 (f) Prompt written notice of:
(i) any citation, summons, subpoena, order to show cause or other order naming the Borrower or any Subsidiary a party to any proceeding before any Governmental Authority which could reasonably be expected to have a Material Adverse effect, and
include with such notice a copy of such citation, summons, subpoena, order to show cause or other order, (ii) any lapse or other termination of any license, permit, franchise or other authorization issued to the Borrower or any Subsidiary by
any Governmental Authority, (iii) any refusal by any Governmental Authority to renew or extend any license, permit, franchise or other authorization, and (iv) any dispute between the Borrower or any Subsidiary and any Governmental
Authority, which lapse, termination, refusal or dispute, referred to in clause (ii), (iii) or (iv) above, could reasonably be expected to have a Material Adverse effect; 
 (g) Prompt written notice of the occurrence of (i) each Default, (ii) each Event of Default and (iii) each Material Adverse change;

 (h) Promptly upon receipt thereof, copies of any audit reports delivered in connection with the statements referred to in
Section 7.7(a); 
 (i) From time to time, such other information regarding the financial position or business of the Borrower and the
Subsidiaries as the Administrative Agent, at the request of any Lender, may reasonably request; and 
 (j) Prompt written notice of such
other information with documentation required by bank regulatory authorities under applicable “know your customer” and Anti-Money Laundering rules and regulations (including, without limitation, the PATRIOT Act), as from time to time may
be reasonably requested by the Administrative Agent or any Lender. 
 SECTION 7.8 Records

 Upon reasonable notice and during normal business hours, permit representatives of the Administrative Agent and each Lender to visit the
offices of the Borrower and each Subsidiary, to examine the books and records (other than tax returns and work papers related to tax returns) thereof and auditors’ reports relating thereto, to discuss the affairs of the Borrower 

  

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and each Subsidiary with the respective officers thereof, and to meet and discuss the affairs of the Borrower and each Subsidiary with the Borrower’s
auditors. 
 SECTION 7.9 Authorizations 
 Maintain and cause each Subsidiary to maintain, in full force and effect, all copyrights, patents, trademarks, trade names, franchises, licenses,
permits, applications, reports, and other authorizations and rights, which, if not so maintained, would individually or in the aggregate have a Material Adverse effect. 
 ARTICLE 8 
 NEGATIVE COVENANTS 
 The Borrower covenants and agrees that on and after the Effective Date and until the payment in full of the Loans and all other sums and amounts which
are payable under the Loan Documents, the Borrower will not: 
 SECTION 8.1 Subsidiary Indebtedness

 Permit the Indebtedness of all Subsidiaries (excluding the ESOP Guaranty) to exceed (on a combined basis) 10% of Tangible Net Worth.

 SECTION 8.2 Liens 
 Create, incur, assume or suffer to exist any Lien against or on any Property now owned or hereafter acquired by the Borrower or any of the Subsidiaries, or permit any of the Subsidiaries so to do, except any one or
more of the following types of Liens: (a) Liens in connection with workers’ compensation, unemployment insurance or other social security obligations (which phrase shall not be construed to refer to ERISA or the minimum funding obligations
under Section 412 of the Code), (b) Liens to secure the performance of bids, tenders, letters of credit, contracts (other than contracts for the payment of Indebtedness), leases, statutory obligations, surety, customs, appeal, performance
and payment bonds and other obligations of like nature, in each such case arising in the ordinary course of business, (c) mechanics’, workmen’s, carriers’, warehousemen’s, materialmen’s, landlords’ or other like
Liens arising in the ordinary course of business with respect to obligations which are not due or which are being contested in good faith and by appropriate proceedings diligently conducted, (d) Liens for taxes, assessments, fees or
governmental charges the payment of which is not required by Section 7.2, (e) easements, rights of way, restrictions, leases of Property to others, easements for installations of public utilities, title imperfections and restrictions,
zoning ordinances and other similar encumbrances affecting Property which in the aggregate do not materially impair its use for the operation of the business of the Borrower or such Subsidiary, (f) Liens on Property of the Subsidiaries under
capital leases and Liens on Property of the Subsidiaries acquired (whether as a result of purchase, capital lease, merger or other acquisition) and either existing on such Property when acquired, or created contemporaneously with or within
12 months of such acquisition to secure the payment or financing of the purchase price of such Property (including the construction, development, substantial repair, alteration or improvement thereof), and any 

  

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renewals thereof, provided that such Liens attach only to the Property so purchased or acquired (including any such construction, development,
substantial repair, alteration or improvement thereof) and provided further that the Indebtedness secured by such Liens is permitted by Section 8.1, (g) statutory Liens in favor of lessors arising in connection with Property leased
to the Borrower or any of the Subsidiaries, (h) Liens of attachments, judgments or awards against the Borrower or any of the Subsidiaries with respect to which an appeal or proceeding for review shall be pending or a stay of execution or bond
shall have been obtained, or which are otherwise being contested in good faith and by appropriate proceedings diligently conducted, and in respect of which adequate reserves shall have been established in accordance with GAAP on the books of the
Borrower or such Subsidiary, (i) Liens securing Indebtedness of a Subsidiary to the Borrower or another Subsidiary, (j) Liens (other than Liens permitted by any of the foregoing clauses) arising in the ordinary course of its business which
do not secure Indebtedness and do not, in the aggregate, materially detract from the value of the business of the Borrower and its Subsidiaries, taken as a whole, (k) Liens on Margin Stock if and to the extent all such Margin Stock exceeds 25%
of the value of total assets subject to the restriction on Liens set forth in this Section 8.2 and (k) additional Liens securing Indebtedness of the Borrower and the Subsidiaries in an aggregate outstanding Consolidated principal amount
not exceeding 10% of Tangible Net Worth. 
 SECTION 8.3 Dispositions 
 Make any Disposition, or permit any of its Subsidiaries so to do, of all or substantially all of the assets of the Borrower and the Subsidiaries on a
Consolidated basis. 
 SECTION 8.4 Merger or Consolidation, Etc. 
 The Borrower will not consolidate with, be acquired by, or merge into or with any Person unless (x) immediately after giving effect thereto no
Default or Event of Default shall or would exist and (y) either (i) the Borrower or (ii) a corporation organized and existing under the laws of one of the States of the United States of America shall be the survivor of such
consolidation or merger, provided that if the Borrower is not the survivor, the corporation which is the survivor shall expressly assume, pursuant to an instrument executed and delivered to the Administrative Agent, and in form and substance
satisfactory to the Administrative Agent, all obligations of the Borrower under the Loan Documents and the Administrative Agent shall have received such documents, opinions and certificates as it shall have reasonable requested in connection
therewith. 
 SECTION 8.5 Acquisitions 
 Make any Acquisition, or permit any of the Subsidiaries so to do, except any one or more of the following: (a) Intercompany Dispositions permitted
by Section 8.3 and (b) Acquisitions by the Borrower or any of the Subsidiaries (including the Longs Acquisition), provided that, with respect to any Acquisition other than the Longs Acquisition, immediately before and after giving
effect to each such Acquisition no Default or Event of Default shall or would exist. 
  

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 SECTION 8.6 Restricted Payments 
 Make any Restricted Payment or permit any of the Subsidiaries so to do, except any one or more of the following Restricted Payments: (a) any direct
or indirect Subsidiary may make dividends or other distributions to the Borrower or to any other direct or indirect Subsidiary, and (b) the Borrower may make Restricted Payments, provided that, in the case of this clause (b),
immediately before and after giving effect thereto, no Event of Default shall or would exist. Nothing in this Section 8.6 shall prohibit or restrict the declaration or payment of dividends in respect of the Series One ESOP Convertible
Preferred Stock of the Borrower.  
 SECTION 8.7 Limitation on Upstream Dividends by
Subsidiaries 
 Permit or cause any of the Subsidiaries to enter into or agree, or otherwise be or become subject, to any agreement,
contract or other arrangement (other than this Agreement) with any Person (each a “Restrictive Agreement”) pursuant to the terms of which (a) such Subsidiary is or would be prohibited from declaring or paying any cash dividends
on any class of its stock owned directly or indirectly by the Borrower or any of the other Subsidiaries or from making any other distribution on account of any class of any such stock (herein referred to as “Upstream Dividends”), or
(b) the declaration or payment of Upstream Dividends by a Subsidiary to the Borrower or another Subsidiary, on an annual or cumulative basis, is or would be otherwise limited or restricted (“Dividend Restrictions”).
Notwithstanding the foregoing, nothing in this Section 8.7 shall prohibit: 
 (i) Dividend Restrictions set forth in
any Restrictive Agreement in effect on the date hereof and any extensions, refinancings, renewals or replacements thereof, provided that the Dividend Restrictions in any such extensions, refinancings, renewals or replacements are no less
favorable in any material respect to the Lenders than those Dividend Restrictions that are then in effect and that are being extended, refinanced, renewed or replaced; 
 (ii) Dividend Restrictions existing with respect to any Person acquired by the Borrower or any Subsidiary and existing at the time of such
acquisition, which Dividend Restrictions are not applicable to any Person or the property or assets of any Person other than such Person or its property or assets acquired, and any extensions, refinancings, renewals or replacements of any of the
foregoing, provided that the Dividend Restrictions in any such extensions, refinancings, renewals or replacements are no less favorable in any material respect to the Lenders than those Dividend Restrictions that are then in effect and that
are being extended, refinanced, renewed or replaced; 
 (iii) Dividend Restrictions consisting of customary net worth,
leverage and other financial covenants, customary covenants regarding the merger of or sale of assets of a Subsidiary, customary restrictions on transactions with affiliates, and customary subordination provisions governing Indebtedness owed to the
Borrower or any Subsidiary, in each case contained in, or required by, any agreement governing Indebtedness incurred by a Subsidiary in accordance with Section 8.1; or 
  

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 (iv) Dividend Restrictions contained in any other credit agreement so long as such
Dividend Restrictions are no more restrictive than those contained in this Agreement (including Dividend Restrictions contained in the Existing Credit Agreements). 
 SECTION 8.8 Limitation on Negative Pledges 
 Enter into any
agreement, other than (i) this Agreement, (ii) the Existing Credit Agreements, (iii) any other credit agreement that is substantially similar to this Agreement, and (iv) purchase money mortgages or capital leases permitted by
this Agreement (in which cases, any prohibition or limitation shall only be effective against the assets financed thereby), or permit any Subsidiary so to do, which prohibits or limits the ability of the Borrower or such Subsidiary to create, incur,
assume or suffer to exist any Lien upon any of its Property or revenues, whether now owned or hereafter acquired to secure the obligations of the Borrower hereunder. 
 SECTION 8.9 Ratio of Consolidated Indebtedness to Total Capitalization 
 Permit its ratio of Consolidated Indebtedness to Total Capitalization at the end of any fiscal quarter to exceed 0.6:1.0. 
 
SECTION 8.10 Longs Acquisition 
 (a) Amend the Longs Merger Agreement, in any respect, if such amendment could reasonably be
expected to have a material adverse effect on the interests of the Lenders without the consent of the Administrative Agent. 
 (b) Waive any
material condition to the obligations of the Borrower under the Longs Merger Agreement to consummate the transactions contemplated by the Longs Merger Agreement, if such waiver could reasonably be expected to have a material adverse effect on the
interests of the Lenders, without the consent of the Administrative Agent. 
 ARTICLE 9 
 DEFAULT 
 SECTION 9.1 Events of Default 
 The following shall each constitute an “Event of
Default” hereunder: 
 (a) The failure of the Borrower to make any payment of principal on any Loan when due and payable; or

 (b) The failure of the Borrower to make any payment of interest on any Loan or of any Fee on any date when due and payable and such
default shall continue unremedied for a period of 5 Domestic Business Days after the same shall be due and payable; or 
  

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 (c) The failure of the Borrower to observe or perform any covenant or agreement contained in
Section 2.4, Section 2.6(b) or Section 7.1 or in Article 8; or 
 (d) The failure of the Borrower to observe or perform
any other covenant or agreement contained in this Agreement, and such failure shall have continued unremedied for a period of 30 days after the Borrower shall have become aware of such failure; or 
 (e) [Intentionally Omitted] 
 (f) Any
representation or warranty of the Borrower (or of any of its officers on its behalf) made in any Loan Document, or made in any certificate, report, opinion (other than an opinion of counsel) or other document delivered on or after the date hereof
shall in any such case prove to have been incorrect or misleading (whether because of misstatement or omission) in any material respect when made; or 
 (g) (i) Obligations in an aggregate Consolidated amount in excess of $25,000,000 of the Borrower (other than its obligations hereunder and under the Notes) and the Subsidiaries, whether as principal, guarantor,
surety or other obligor, for the payment of any Indebtedness or any net liability under interest rate swap, collar, exchange or cap agreements, (A) shall become or shall be declared to be due and payable prior to the expressed maturity thereof,
or (B) shall not be paid when due or within any grace period for the payment thereof, or (ii) any holder of any such obligations shall have the right to declare the Indebtedness evidenced thereby due and payable prior to its stated
maturity; or 
 (h) An involuntary proceeding shall be commenced or an involuntary petition shall be filed seeking (i) liquidation,
reorganization or other relief in respect of the Borrower or any Subsidiary or its debts, or of a substantial part of its assets, under any federal, state or foreign bankruptcy, insolvency, receivership or similar law now or hereafter in effect or
(ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Borrower or any Subsidiary or for a substantial part of its assets, and, in any such case, such proceeding or petition shall continue
undismissed for 60 days or an order or decree approving or ordering any of the foregoing shall be entered; or 
 (i) The Borrower or any
Subsidiary shall (i) voluntarily commence any proceeding or file any petition seeking liquidation, reorganization or other relief under any federal, state or foreign bankruptcy, insolvency, receivership or similar law now or hereafter in
effect, (ii) consent to the institution of, or fail to contest in a timely and appropriate manner, any proceeding or petition described in clause (h) of this Section 9.1, (iii) apply for or consent to the appointment of a
receiver, trustee, custodian, sequestrator, conservator or similar official for the Borrower or any Subsidiary or for a substantial part of its assets, (iv) file an answer admitting the material allegations of a petition filed against it in any
such proceeding, (v) make a general assignment for the benefit of creditors or (vi) take any action for the purpose of effecting any of the foregoing; or 
 (j) The Borrower or any Subsidiary shall (i) suspend or discontinue its business (except for store closings in the ordinary course of business and except in connection with a permitted Disposition under
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herein), or (ii) generally not be paying its debts as such debts become due, or (iii) admit in writing its inability to pay its debts as they
become due; or 
 (k) Judgments or decrees in an aggregate Consolidated amount in excess of $25,000,000 against the Borrower and the
Subsidiaries shall remain unpaid, unstayed on appeal, undischarged, unbonded or undismissed for a period of 60 days during which execution shall not be effectively stayed, or any action shall be legally taken by a judgment creditor to attach or
levy upon any assets of the Borrower or any Subsidiary to enforce any such judgment; or 
 (l) After the Effective Date a Change of Control
shall occur; or 
 (m) (i) Any Termination Event shall occur (x) with respect to any Pension Plan (other than a Multiemployer Plan)
or (y) with respect to any other retirement plan subject to Section 302 of ERISA or Section 412 of the Internal Revenue Code, which plan, during the five year period prior to such Termination Event, was the responsibility in whole or
in part of the Borrower, any Subsidiary or any ERISA Affiliate, provided that this clause (y) shall only apply if, in connection with such Termination Event, it is reasonably likely that liability in an aggregate Consolidated amount in
excess of $25,000,000 will be imposed upon the Borrower, any Subsidiary or any ERISA Affiliate; (ii) any Accumulated Funding Deficiency, whether or not waived, in an aggregate Consolidated amount in excess of $25,000,000 shall exist with
respect to any Pension Plan (other than that portion of a Multiemployer Plan’s Accumulated Funding Deficiency to the extent such Accumulated Funding Deficiency is attributable to employers other than Borrower, any Subsidiary or any ERISA
Affiliate); (iii) any Person shall engage in any Prohibited Transaction involving any Employee Benefit Plan; (iv) the Borrower, any Subsidiary or any ERISA Affiliate shall fail to pay when due an amount which is payable by it to the PBGC
or to a Pension Plan (including a Multiemployer Plan) under Title IV of ERISA; (v) the imposition of any tax under Section 4980(B)(a) of the Internal Revenue Code; or (vi) the assessment of a civil penalty with respect to any
Employee Benefit Plan under Section 502(c) of ERISA; in each case, to the extent such event or condition would have a Material Adverse effect. 
 SECTION 9.2 Remedies 
 (a) Upon the occurrence of an Event of Default or at any time
thereafter during the continuance of an Event of Default, the Administrative Agent, at the written request of the Required Lenders, shall notify the Borrower that the Commitments have been terminated and/or that all of the Loans and the Notes and
all accrued and unpaid interest on any thereof and all other amounts owing under the Loan Documents have been declared immediately due and payable, provided that upon the occurrence of an Event of Default under Section 9.1(h),
(i) or (j) with respect to the Borrower, the Commitments shall automatically terminate and all of the Loans and the Notes and all accrued and unpaid interest on any thereof and all other amounts owing under the Loan Documents shall become
immediately due and payable without declaration or notice to the Borrower. To the fullest extent not prohibited by law, except for the notice provided for in the preceding sentence, the Borrower expressly waives any presentment, demand,
protest, notice of protest or other notice of any kind in connection with the Loan Documents and its obligations thereunder. To the fullest extent not prohibited by law, the Borrower further expressly waives and covenants not to assert any
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extension, redemption or similar law, now or at any time hereafter in force which might delay, prevent or otherwise impede the performance or enforcement of
the Loan Documents. 
 (b) In the event that the Commitments shall have been terminated pursuant to the provisions of Section 9.2(a) or
all of the Loans and the Notes shall have been declared due and payable pursuant to the provisions of Section 9.2(a), the Administrative Agent and the Lenders agree, among themselves, that any funds received from or on behalf of the Borrower
under any Loan Document by any Lender (except funds received by any Lender as a result of a purchase from such Lender pursuant to the provisions of Section 11.9(b)) shall be remitted to the Administrative Agent, and shall be applied by the
Administrative Agent in payment of the Loans and the other obligations of the Borrower under the Loan Documents in the following manner and order: (1) first, to reimburse the Administrative Agent, in its capacity as such, and the
Lenders, in that order, for any expenses due from the Borrower pursuant to the provisions of Section 11.5, (2) second, to the payment of the Fees ratably, (3) third, to the payment of any expenses or amounts (other than
the principal of and interest on the Loans and the Notes) payable by the Borrower to the Administrative Agent or any of the Lenders under the Loan Documents ratably, (4) fourth, to the payment, pro rata according to the
outstanding principal balance of the Loans of each Lender, of interest due on the Loans, (5) fifth, to the payment, pro rata according to the outstanding principal balance of the Loans of each Lender, of the aggregate outstanding
principal balance of the Loans, and (6) sixth, any remaining funds shall be paid to whosoever shall be entitled thereto or as a court of competent jurisdiction shall direct. 
 (c) In the event that the Loans and the Notes shall have been declared due and payable pursuant to the provisions of this Section 9.2, the
Administrative Agent upon the written request of the Required Lenders, shall proceed to enforce the rights of the holders of the Loans and the Notes by suit in equity, action at law and/or other appropriate proceedings, whether for payment or the
specific performance of any covenant or agreement contained in the Loan Documents. In the event that the Administrative Agent shall fail or refuse so to proceed, each Lender shall be entitled to take such action as the Required Lenders shall
deem appropriate to enforce its rights under the Loan Documents. 
 ARTICLE 10 
 AGENT 
 SECTION 10.1 Appointment 

Each Lender hereby irrevocably designates and appoints LCPI as the Administrative Agent of such Lender under this Agreement and the other Loan
Documents and each Lender irrevocably authorizes the Administrative Agent, in such capacity, to take such action on its behalf under the provisions of this Agreement and the other Loan Documents and to exercise such powers and perform such duties as
are expressly delegated to the Administrative Agent by the terms of this Agreement and the other Loan Documents, together with such other powers as are reasonably incidental thereto. Notwithstanding any provision to the contrary contained in
this Agreement and the other Loan Documents, the Administrative Agent shall not have any duties or responsibilities except those expressly set forth in this Agreement and the 

  

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other Loan Documents, or any fiduciary relationship with any Lender, and no implied covenants, functions, responsibilities, duties, obligations or
liabilities shall be read into the Loan Documents or otherwise exist against the Administrative Agent. 
 SECTION 10.2 Delegation of Duties 
 The Administrative Agent may execute any of its duties
under this Agreement and the other Loan Documents by or through agents or attorneys-in-fact and shall be entitled to rely upon the advice of counsel concerning all matters pertaining to such duties, and shall not be liable for any action taken or
omitted to be taken in good faith upon the advice of such counsel. The Administrative Agent shall not be responsible for the negligence or misconduct of any agents or attorneys-in-fact selected by it with reasonable care. 
 SECTION 10.3 Exculpatory Provisions 
 Neither the Administrative Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or Affiliates shall be (i) liable for any
action lawfully taken or omitted to be taken by the Administrative Agent or such Person under or in connection with the Loan Documents (except the Administrative Agent for its own gross negligence or willful misconduct), or (ii) responsible in
any manner to any of the Lenders for any recitals, statements, representations or warranties made by any party contained in the Loan Documents or in any certificate, report, statement or other document referred to or provided for in, or received by
the Administrative Agent under or in connection with, the Loan Documents or for the value, validity, effectiveness, genuineness, enforceability or sufficiency of any of the Loan Documents or for any failure of the Borrower or any other Person to
perform its obligations thereunder. The Administrative Agent shall not be under any obligation to any Lender to ascertain or to inquire into the observance or performance of any of the covenants or agreements contained in, or conditions of,
the Loan Documents, or to inspect the Property, books or records of the Borrower or any Subsidiary. The Administrative Agent shall not be under any liability or responsibility to the Borrower or any other Person as a consequence of any
failure or delay in performance, or any breach, by any Lender of any of its obligations under any of the Loan Documents. The Lenders acknowledge that the Administrative Agent shall not be under any duty to take any discretionary action
permitted under the Loan Documents unless the Administrative Agent shall be requested in writing to do so by the Required Lenders. 
 
SECTION 10.4 Reliance by Administrative Agent 
 The Administrative Agent shall be entitled to rely, and shall be fully
protected in relying, upon any writing, resolution, notice, request, consent, certificate, affidavit, opinion, letter, cablegram, telegram, fax, telex or teletype message, statement, order or other document or conversation reasonably believed by it
to be genuine and correct and to have been signed, sent or made by the proper Person or Persons and upon advice and statements of legal counsel (including counsel to the Borrower), independent accountants and other experts selected by the
Administrative Agent. The Administrative Agent shall not be under any duty to examine or pass upon the validity, effectiveness or genuineness of the Loan Documents or any instrument, document or communication furnished pursuant thereto or in
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have been signed or sent by the proper parties and are what they purport to be. The Administrative Agent shall be fully justified in failing or
refusing to take any action not expressly required under the Loan Documents unless it shall first receive such advice or concurrence of the Required Lenders as it deems appropriate. The Administrative Agent shall in all cases be fully
protected in acting, or in refraining from acting, under the Loan Documents in accordance with a request of the Required Lenders or, if required by Section 11.1, all Lenders, and such request and any action taken or failure to act pursuant
thereto shall be binding upon the Borrower, all the Lenders and all future holders of the Notes. 
 SECTION 10.5 Notice of Default 
 The Administrative Agent shall not be deemed to have
knowledge or notice of the occurrence of any Default or Event of Default unless the Administrative Agent shall have received written notice thereof from a Lender or the Borrower referring to this Agreement, describing such Default or Event of
Default and stating such notice is a “Notice of Default.” In the event that the Administrative Agent receives such a notice, the Administrative Agent shall promptly give notice thereof to the Lenders. The Administrative Agent shall
take such action with respect to such Default or Event of Default as shall be reasonably directed by the Required Lenders, provided that unless and until the Administrative Agent shall have received such directions, the Administrative Agent
may (but shall not be obligated to) take such action or give such directions, or refrain from taking such action or giving such directions, with respect to such Default or Event of Default as it shall deem to be in the best interests of the Lenders.

 SECTION 10.6 Non-Reliance 
 Each Lender expressly acknowledges that neither the Administrative Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or
Affiliates has made any representations or warranties to such Lender and that no act by the Administrative Agent hereafter, including any review of the affairs of the Borrower or the Subsidiaries, shall be deemed to constitute any representation or
warranty by the Administrative Agent to any Lender. Each Lender represents to the Administrative Agent that such Lender has, independently and without reliance upon the Administrative Agent or any other Lender, and based on such documents and
information as it has deemed appropriate, made its own evaluation of and investigation into the business, operations, Property, financial and other condition and creditworthiness of the Borrower and the Subsidiaries and has made its own decision to
enter into this Agreement. Each Lender also represents that it will, independently and without reliance upon the Administrative Agent or any other Lender, and based on such documents and information as it shall deem appropriate at the time,
continue to make its own credit analysis, evaluations and decisions in taking or not taking action under the Loan Documents, and to make such investigation as it deems necessary to inform itself as to the business, operations, Property, financial
and other condition and creditworthiness of the Borrower and the Subsidiaries. Each Lender acknowledges that a copy of this Agreement and all exhibits and schedules hereto have been made available to it and its individual counsel for review,
and each Lender acknowledges that it is satisfied with the form and substance thereof. Except for notices, reports and other documents expressly required to be furnished to the Lenders by the Administrative Agent hereunder, the Administrative
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with any credit or other information concerning the business, operations, property, financial and other condition or creditworthiness of the Borrower or the
Subsidiaries which may come into the possession of the Administrative Agent or any of its officers, directors, employees, agents, attorneys-in-fact or Affiliates. 
 SECTION 10.7 The Administrative Agent in Its Individual Capacity 
 LCPI and each of the affiliates thereof, may make loans to, accept deposits from, issue letters of credit for the account of and generally engage in any kind of business with the Borrower and the Subsidiaries as though it were not the
Administrative Agent. With respect to the Commitment made by it and each Note issued to it (if any), the Administrative Agent shall have the same rights and powers under the Loan Documents as any Lender and may exercise the same as though it
were not the Administrative Agent, and the term “Lender” and “Lenders” shall include LCPI in its individual capacity. 
 
SECTION 10.8 Successor Administrative Agent 
 If at any time the Administrative Agent deems it advisable, in its sole
discretion, it may submit to each Lender a written notification of its resignation as Administrative Agent under the Loan Documents, such resignation to be effective on the earlier to occur of (a) the thirtieth day after the date of such
notice, and (b) the date upon which any successor to the Administrative Agent, in accordance with the provisions of this Section, shall have accepted in writing its appointment as successor Administrative Agent. Upon any such
resignation, the Required Lenders shall have the right to appoint from among the Lenders a successor Administrative Agent, which successor Administrative Agent, provided that no Default or Event of Default shall then exist, shall be
reasonably satisfactory to the Borrower. If no such successor Administrative Agent shall have been so appointed by the Required Lenders and accepted such appointment within 30 days after the retiring Administrative Agent’s giving of
notice of resignation, then the retiring Administrative Agent may, on behalf of the Lenders, appoint a successor Administrative Agent, which successor Administrative Agent shall be a commercial bank organized or licensed under the laws of the United
States of America or of any State thereof and having a combined capital and surplus of at least $500,000,000. Upon the written acceptance of any appointment as Administrative Agent hereunder by a successor Administrative Agent, such successor
Administrative Agent shall automatically become a party to this Agreement and shall thereupon succeed to and become vested with all the rights, powers, privileges and duties of the retiring Administrative Agent, and the retiring Administrative
Agent’s rights, powers, privileges and duties as Administrative Agent under the Loan Documents shall be terminated. The Borrower and the Lenders shall execute such documents as shall be necessary to effect such appointment. After
any retiring Administrative Agent’s resignation as Administrative Agent, the provisions of this Article 10 shall inure to its benefit as to any actions taken or omitted to be taken by it while it was the Administrative Agent. If at
any time there shall not be a duly appointed and acting Administrative Agent, upon notice duly given, the Borrower agrees to make each payment when due under the Loan Documents directly to the Lenders entitled thereto during such time. 

 

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 SECTION 10.9 Arrangers, Co-Documentation Agents and Syndication
Agent 
 None of the Arrangers, the Co-Documentation Agents or the Syndication Agent, in their respective capacities as such, shall have
any duties or responsibilities, nor shall any such Person incur any liability under this Agreement or the other Loan Documents. 
 ARTICLE 11 
 OTHER PROVISIONS 
 SECTION 11.1 Amendments, Waivers, Etc. 
 With the written consent
of the Required Lenders, the Administrative Agent and the Borrower may, from time to time, enter into written amendments, supplements or modifications of the Loan Documents and, with the written consent of the Required Lenders, the Administrative
Agent on behalf of the Lenders may execute and deliver to any such parties a written instrument waiving or consenting to the departure from, on such terms and conditions as the Administrative Agent may specify in such instrument, any of the
requirements of the Loan Documents or any Default or Event of Default and its consequences, provided that no such amendment, supplement, modification, waiver or consent shall (i) increase the Commitment Amount of any Lender without the
consent of such Lender (provided that no waiver of a Default or Event of Default shall be deemed to constitute such an increase), (ii) extend the Commitment Period without the consent of each Lender directly affected thereby,
(iii) reduce the amount, or extend the time of payment, of the Fees without the consent of each Lender directly affected thereby, (iv) reduce the rate, or extend the time of payment of, interest on any Loan or any Note (other than the
applicability of any post-default increase in such rate of interest) without the consent of each Lender directly affected thereby, (v) reduce the amount, or extend the time of payment of any payment of principal on any Loan or any Note without
the consent of each Lender directly affected thereby, (vi) decrease or forgive the principal amount of any Loan or any Note without the consent of each Lender directly affected thereby, (vii) consent to any assignment or delegation by the
Borrower of any of its rights or obligations under any Loan Document without the consent of each Lender, (viii) change the provisions of this Section 11.1 without the consent of each Lender, (ix) change the definition of Required
Lenders without the consent of each Lender, (x) change the several nature of the obligations of the Lenders without the consent of each Lender, or (xi) change the sharing provisions among Lenders without the consent of each Lender.
Notwithstanding the foregoing, no such amendment, supplement, modification, waiver or consent shall amend, modify or waive any provision of Article 10 or otherwise change any of the rights or obligations of the Administrative Agent under
any Loan Document without the written consent of the Administrative Agent. Any such amendment, supplement, modification, waiver or consent shall apply equally to each of the Lenders and shall be binding upon the parties to the applicable Loan
Document, the Lenders, the Administrative Agent and all future holders of the Loans and the Notes. In the case of any waiver, the Borrower, the Lenders and the Administrative Agent shall be restored to their former position and rights under
the Loan Documents, but any Default or Event of Default waived shall not extend to any subsequent or other Default or Event of Default, or impair any right consequent thereon. 
  

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 SECTION 11.2 Notices 
 Except in the case of notices and other communications expressly permitted to be given by telephone, all notices and other communications provided for
herein shall be in writing and shall be delivered by hand or overnight courier service, mailed by certified or registered mail or sent by facsimile, as follows: 
 If to the Borrower: 
 CVS Caremark Corporation 
 One CVS Drive 
 Woonsocket, Rhode Island
02895 
 Attention:         Carol A. DeNale Vice President and Treasurer 
 Facsimile:        (401) 770-5768 
 Telephone:       (401) 770-4407 
 with a copy, in the case of a notice of
Default or Event of Default, to: 
 CVS Caremark Corporation 
 One CVS Drive Woonsocket, Rhode Island 02895 
 Attention:
        Legal Department 
 Facsimile:        (401) 765-7887

 Telephone:       (401) 765-1500 
 If to the Administrative Agent: 
 in the case of each Borrowing Request and each notice of prepayment under Section 2.6: 
 Lehman Commercial Paper Inc.

 c/o Lehman Brothers Inc. 
 745 Seventh Avenue, 16th Floor 
 New York, New York 10019 
 Attention: Maritza Ospina 
 Facsimile:
(646) 758-4648 
 Telephone: (212) 526-6590 
 and in all other cases: 
 Lehman Commercial Paper Inc. 
 c/o Lehman Brothers Inc. 
 745 Seventh
Avenue, 5th Floor 
 New York, New York 10019 
 Attention: Ahuva Schwager 
  

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 Facsimile: (917) 522-0593 
 Telephone: (212) 526-7417 
 If to
the Syndication Agent: 
 Deutsche Bank Securities Inc. 
 100 Plaza One 
 Jersey City, New Jersey
07311-3901 
 Attention: Joe Cusmai 
 Facsimile: (201) 593-2313 
 Telephone: (201) 593-2202 
 If to any Lender: to it at its address (or facsimile number) set forth in its Administrative Questionnaire. 
 Any party hereto may change its address or facsimile number for notices and other communications hereunder by notice to the other parties hereto (or, in
the case of any Lender, by notice to the Administrative Agent and the Borrower). All notices and other communications given to any party hereto in accordance with the provisions of this Agreement shall be deemed to have been given on the date of
receipt. Any party to a Loan Document may rely on signatures of the parties thereto which are transmitted by fax or other electronic means as fully as if originally signed. 
 SECTION 11.3 No Waiver; Cumulative Remedies 
 No failure to exercise and no delay in exercising, on the part of the Administrative Agent or any Lender, any right, remedy, power or privilege under any
Loan Document shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or privilege under any Loan Document preclude any other or further exercise thereof or the exercise of any other right, remedy,
power or privilege. The rights, remedies, powers and privileges under the Loan Documents are cumulative and not exclusive of any rights, remedies, powers and privileges provided by law. 
 SECTION 11.4 Survival of Representations and Warranties 
 All representations and warranties made in the Loan Documents and in any document, certificate or statement delivered pursuant thereto or in connection
therewith shall survive the execution and delivery of the Loan Documents. 
 SECTION 11.5 Payment of
Expenses and Taxes; Indemnified Liabilities 
 The Borrower agrees, promptly upon presentation of a statement or invoice therefor setting
forth in reasonable detail the items thereof, and whether any Loan is made, (a) to pay or reimburse the Administrative Agent and its Affiliates for all its reasonable costs and expenses actually incurred in connection with the development,
syndication, preparation and execution of, and any amendment, waiver, consent, supplement or modification to, the Loan Documents, any documents prepared in connection therewith and the consummation of the 

  

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transactions contemplated thereby, whether such Loan Documents or any such amendment, waiver, consent, supplement or modification to the Loan Documents or
any documents prepared in connection therewith are executed and whether the transactions contemplated thereby are consummated, including the reasonable fees and disbursements of Special Counsel, (b) to pay, indemnify, and hold any Credit Party
harmless from any and all recording and filing fees and any and all liabilities and penalties with respect to, or resulting from any delay (other than penalties to the extent attributable to the negligence of the applicable Credit Party in failing
to pay such fees or other liabilities when due) in paying, stamp, excise and other similar taxes, if any, which may be payable or determined to be payable in connection with the execution and delivery of, or consummation of any of the transactions
contemplated by, or any amendment, supplement or modification of, or any waiver or consent under or in respect of, the Loan Documents and any such other documents, and (c) to pay, reimburse, indemnify and hold each Indemnified Person harmless
from and against any and all other liabilities, obligations, claims, losses, damages, penalties, actions, judgments, suits, costs, expenses and disbursements of any kind or nature whatsoever (including reasonable counsel fees and disbursements of
counsel (including the allocated costs of internal counsel) and such local counsel as may be required) actually incurred with respect to the enforcement, performance of, and preservation of rights under, the Loan Documents (all the foregoing,
collectively, the “Indemnified Liabilities”) and, if and to the extent that the foregoing indemnity may be unenforceable for any reason, the Borrower agrees to make the maximum payment permitted under applicable law, provided
that the Borrower shall have no obligation hereunder to pay Indemnified Liabilities to an Indemnified Person to the extent arising from its gross negligence or willful misconduct. The agreements in this Section shall survive the termination
of the Commitments and the payment of the Loans and the Notes and all other amounts payable under the Loan Documents. 
 
SECTION 11.6 Lending Offices 
 Each Lender shall have the right at any time and from time to time to transfer any Loan to a
different office of such Lender, subject to Section 3.10. 
 SECTION 11.7 Successors and
Assigns 
 (a) The provisions of the Loan Documents shall be binding upon and inure to the benefit of the parties hereto and their
respective successors and assigns permitted hereby, except that the Borrower may not assign or otherwise transfer any of its rights or obligations hereunder without the prior written consent of each Lender (and any attempted assignment or transfer
by the Borrower without such consent shall be null and void). Nothing in the Loan Documents, expressed or implied, shall be construed to confer upon any Person (other than the parties hereto, their respective successors and assigns permitted
hereby and, to the extent expressly contemplated hereby, the Related Parties of each Credit Party) any legal or equitable right, remedy or claim under or by reason of any Loan Document. 
 (b) Any Lender may assign all or a portion of its rights and obligations under the Loan Documents (including all or a portion of its Commitment and the
applicable Loans at the time owing to it), to an Eligible Assignee, provided that (i) except in the case of an assignment to a Lender or an Affiliate or an Approved Fund of a Lender, each of the Borrower and the Administrative Agent must
give its prior written consent to such assignment (which 

  

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consent shall not be unreasonably withheld or delayed), (ii) except in the case of an assignment to a Lender or an Affiliate or an Approved Fund of a
Lender or an assignment of the entire remaining amount of the assigning Lender’s Commitment or Loans, as the case may be, the amount of the Commitment or Loans, as the case may be, of the assigning Lender subject to each such assignment
(determined as of the date the Assignment and Acceptance Agreement with respect to such assignment is delivered to the Administrative Agent) shall not be less than $5,000,000, unless the Borrower and the Administrative Agent otherwise consent (which
consent shall not be unreasonably withheld or delayed) and shall be for a pro rata portion of such Lender’s then remaining Commitment, if any, and such Lender’s then outstanding Loans, (iii) no assignments to the Borrower or any of
its Affiliates shall be permitted (and any attempted assignment or transfer to the Borrower or any of its Affiliates shall be null and void), (iv) the parties to each assignment shall execute and deliver to the Administrative Agent an
Assignment and Acceptance Agreement together with, unless otherwise agreed by the Administrative Agent, a processing and recordation fee of $3,500, and (v) the assignee, if it shall not be a Lender, shall deliver to the Administrative Agent an
Administrative Questionnaire, and provided further that any consent of the Borrower otherwise required under this subsection shall not be required if an Event of Default has occurred and is continuing. Subject to acceptance and
recording thereof pursuant to subsection (d) of this Section, from and after the effective date specified in each Assignment and Acceptance Agreement, the assignee thereunder shall be a party hereto and, to the extent of the interest assigned
by such Assignment and Acceptance Agreement, have the rights and obligations of a Lender under the Loan Documents, and the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment and Acceptance Agreement, be
released from its obligations under the Loan Documents (and, in the case of an Assignment and Acceptance Agreement covering all of the assigning Lender’s rights and obligations under the Loan Documents, such Lender shall cease to be a party
hereto but shall continue to be entitled to the benefits of Section 3.5, Section 3.6, Section 3.7, Section 3.10 and Section 11.10). Except as otherwise provided under clause (iii) of this subsection, any
assignment or transfer by a Lender of rights or obligations under the Loan Documents that does not comply with this subsection shall be treated for purposes of the Loan Documents as a sale by such Lender of a participation in such rights and
obligations in accordance with subsection (e) of this Section. 
 (c) The Administrative Agent, acting for this purpose as an agent of
the Borrower, shall maintain a copy of each Assignment and Acceptance Agreement delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Commitments of, and principal amount of the Loans owing to, each
Lender pursuant to the terms hereof from time to time (the “Register”). The entries in the Register shall be conclusive absent clearly demonstrable error, and the Borrower and each Credit Party may treat each Person whose
name is recorded in the Register pursuant to the terms hereof as a Lender hereunder for all purposes of this Agreement, notwithstanding notice to the contrary. The Register shall be available for inspection by the Borrower and any Credit
Party, at any reasonable time and from time to time upon reasonable prior notice. 
 (d) Upon its receipt of a duly completed Assignment and
Acceptance Agreement executed by an assigning Lender and an assignee, the assignee’s completed Administrative Questionnaire (unless the assignee shall already be a Lender hereunder), the 

  

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processing and recordation fee referred to in subsection (b) of this Section and any written consent to such assignment required by subsection (b)
of this Section, the Administrative Agent shall accept such Assignment and Acceptance Agreement and record the information contained therein in the Register. No assignment shall be effective for purposes of this Agreement unless it has been recorded
in the Register as provided in this subsection. 
 (e) Any Lender may, without the consent of the Borrower or any Credit Party, sell
participations to Eligible Assignees (each a “Participant”) in all or a portion of such Lender’s rights and obligations under the Loan Documents (including all or a portion of its Commitments and outstanding Loans owing to it),
provided that (i) such Lender’s obligations under the Loan Documents shall remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations, (iii) the
Borrower and the Credit Parties shall continue to deal solely and directly with such Lender in connection with such Lender’s rights and obligations under the Loan Documents and (iv) no participations to the Borrower or any of its
Affiliates shall be permitted (and any attempted participation to the Borrower or any of its Affiliates shall be null and void). Any agreement or instrument pursuant to which a Lender sells such a participation shall provide that such Lender shall
retain the sole right to enforce the Loan Documents and to approve any amendment, modification or waiver of any provision of any Loan Documents, provided that such agreement or instrument may provide that such Lender will not, without the
consent of the Participant, agree to any amendment, modification or waiver described in the proviso to Section 11.1 that affects such Participant. Subject to subsection (f) of this Section, the Borrower agrees that each Participant shall
be entitled to the benefits of Section 3.5, Section 3.6, Section 3.7 and Section 3.10 to the same extent as if it were a Lender and had acquired its interest by assignment pursuant to subsection (b) of this Section.
To the extent permitted by law, each Participant also shall be entitled to the benefits of Section 11.9(a) as though it were a Lender, provided that such Participant agrees to be subject to Section 11.9(b) as though it were a
Lender. 
 (f) A Participant shall not be entitled to receive any greater payment under Section 3.6, Section 3.7 or
Section 3.10 than the Lender that sold the participation to such Participant would have been entitled to receive with respect to the interest in the Loan Documents subject to the participation sold to such Participant, unless the sale of the
participation to such Participant is made with the Borrower’s prior written consent. A Participant that would be a Foreign Lender if it were a Lender shall not be entitled to the benefits of Section 3.10 unless the Borrower is
notified of the participation sold to such Participant and such Participant agrees, for the benefit of the Borrower, to comply with Section 3.10(b) as though it were a Lender. 
 (g) Any Lender may at any time pledge or assign a security interest in all or any portion of its rights under the Loan Documents to secure obligations of
such Lender, including any pledge or assignment to secure obligations to a Federal Reserve Bank, and this Section shall not apply to any such pledge or assignment of a security interest, provided that no such pledge or assignment of a
security interest shall release a Lender from any of its obligations under the Loan Documents or substitute any such pledgee or assignee for such Lender as a party hereto. 
  

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 (h) Notwithstanding anything to the contrary contained herein, any Lender (a “Granting
Lender”) may grant to an Eligible SPC the option to fund all or any part of any Loan that such Granting Lender would otherwise be obligated to fund pursuant to this Agreement, provided that (i) such designation shall not be
effective unless the Borrower consents thereto (which consent shall not be unreasonably withheld), (ii) nothing herein shall constitute a commitment by any Eligible SPC to fund any Loan, and (iii) if an Eligible SPC elects not to exercise
such option or otherwise fails to fund all or any part of such Loan, the Granting Lender shall be obligated to fund such Loan pursuant to the terms hereof. The funding of a Loan by an Eligible SPC hereunder shall utilize the Commitment of the
Granting Lender to the same extent, and as if, such Loan were funded by such Granting Lender. As to any Loans or portion thereof made by it, each Eligible SPC shall have all the rights that a Lender making such Loans or portion thereof would
have had under this Agreement and otherwise, provided that (x) its voting rights under this Agreement shall be exercised solely by its Granting Lender and (y) its Granting Lender shall remain solely responsible to the other parties
hereto for the performance of such Granting Lender’s obligations under this Agreement, including its obligations in respect of the Loans or portion thereof made by it. Each Granting Lender shall act as administrative agent for its
Eligible SPC and give and receive notices and other communications on its behalf. Any payments for the account of any Eligible SPC shall be paid to its Granting Lender as administrative agent for such Eligible SPC and neither the Borrower nor
the Administrative Agent shall be responsible for any Granting Lender’s application of such payments. Each party hereto hereby agrees that no Eligible SPC shall be liable for any indemnity or payment under this Agreement for which a
Lender would otherwise be liable for so long as, and to the extent, the Granting Lender provides such indemnity or makes such payment. Notwithstanding anything to the contrary contained in this Agreement, any Eligible SPC may (i) at any
time, subject to payment of the processing and recordation fee referred to in Section 11.7(b), assign all or a portion of its interests in any Loans to its Granting Lender (but nothing contained herein shall be construed in derogation of the
obligation of the Granting Lender to make Loans hereunder) or to any financial institutions providing liquidity and/or credit support to or for the account of such Eligible SPC to support the funding or maintenance of Loans, and (ii) disclose
on a confidential basis any non-public information relating to its funding of Loans to any rating agency, commercial paper dealer or provider of any surety or guarantee or credit or liquidity enhancements to such Eligible SPC. This Section
may not be amended without the prior written consent of each Granting Lender, all or any part of whose Loans is being funded by an Eligible SPC at the time of such amendment. 
 SECTION 11.8 Counterparts 
 Each of the Loan Documents (other than the Notes) may be executed on any number of separate counterparts and all of said counterparts taken together shall be deemed to constitute one and the same agreement. It
shall not be necessary in making proof of any Loan Document to produce or account for more than one counterpart signed by the party to be charged. A set of the copies of this Agreement signed by all of the parties hereto shall be lodged with
each of the Borrower and the Administrative Agent. Any party to a Loan Document may rely upon the signatures of any other party thereto which are transmitted by fax or other electronic means to the same extent as if originally signed.

  

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 SECTION 11.9 Set-off and Sharing of Payments 
 (a) In addition to any rights and remedies of the Lenders provided by law, upon the occurrence of an Event of Default under Section 9.1(a) or
(b) or upon the acceleration of the Loans, to the extent permitted by applicable law, each Lender shall have the right, without prior notice to the Borrower, any such notice being expressly waived by the Borrower, to set-off and apply against
any indebtedness or other liability, whether matured or unmatured, of the Borrower to such Lender arising under the Loan Documents, any amount owing from such Lender to the Borrower. To the extent permitted by applicable law, the aforesaid
right of set-off may be exercised by such Lender against the Borrower or against any trustee in bankruptcy, custodian, debtor in possession, assignee for the benefit of creditors, receiver, or execution, judgment or attachment creditor of the
Borrower, or against anyone else claiming through or against the Borrower or such trustee in bankruptcy, custodian, debtor in possession, assignee for the benefit of creditors, receivers, or execution, judgment or attachment creditor,
notwithstanding the fact that such right of set-off shall not have been exercised by such Lender prior to the making, filing or issuance of, service upon such Lender of, or notice to such Lender of, any petition, assignment for the benefit of
creditors, appointment or application for the appointment of a receiver, or issuance of execution, subpoena, order or warrant. Each Lender agrees promptly to notify the Borrower and the Administrative Agent after each such set-off and
application made by such Lender, provided that the failure to give such notice shall not affect the validity of such set-off and application. 
 (b) If any Lender (each a “Benefited Lender”) shall obtain any payment (whether voluntary, involuntary, through the exercise of any right of set-off, or otherwise) on account of its Loans or its Notes
in excess of its pro rata share (in accordance with the outstanding principal balance of all Loans) of payments then due and payable on account of the Loans and Notes received by all the Lenders, such Lender shall forthwith purchase, without
recourse, for cash, from the other Lenders such participations in their Loans and Notes as shall be necessary to cause such purchasing Lender to share the excess payment with each of them according to their pro rata share (in accordance with the
outstanding principal balance of all Loans), provided that if all or any portion of such excess payment is thereafter recovered from such purchasing Lender, such purchase from each Lender shall be rescinded and each such Lender shall repay to
the purchasing Lender the purchase price to the extent of such recovery, together with an amount equal to such Lender’s pro rata share (according to the proportion of (i) the amount of such Lender’s required repayment to (ii) the
total amount so recovered from the purchasing Lender) of any interest or other amount paid or payable by the purchasing Lender in respect of the total amount so recovered. The Borrower agrees, to the fullest extent permitted by law, that any
Lender so purchasing a participation from another Lender pursuant to this Section may exercise such rights to payment (including the right of set-off) with respect to such participation as fully as if such Lender were the direct creditor of the
Borrower in the amount of such participation. 
 SECTION 11.10 Indemnity 
 (a) The Borrower shall indemnify each Credit Party and each Related Party thereof (each such Person being called an “Indemnified
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Indemnified Person harmless from, any and all losses, claims, damages, liabilities and related expenses, including the reasonable fees, charges and
disbursements of any counsel for any Indemnified Person, incurred by or asserted against any Indemnified Person arising out of, in connection with, or as a result of (i) the execution or delivery of any Loan Document or any agreement or
instrument contemplated thereby, the performance by the parties to the Loan Documents of their respective obligations thereunder or the consummation of the transactions contemplated hereby or any other transactions contemplated thereby (including
the Longs Acquisition), (ii) any Loan or the use of the proceeds thereof, (iii) any actual or alleged presence or release of Hazardous Materials on or from any property owned or operated by the Borrower or any of the Subsidiaries, or any
Environmental Liability related in any way to the Borrower or any of the Subsidiaries or (iv) any actual or prospective claim, litigation, investigation or proceeding relating to any of the foregoing, whether based on contract, tort or any
other theory and regardless of whether any Indemnified Person is a party thereto, provided that such indemnity shall not, as to any Indemnified Person, be available to the extent that such losses, claims, damages, liabilities or related
expenses are determined by a court of competent jurisdiction by final and nonappealable judgment to have resulted primarily from the gross negligence or willful misconduct of such Indemnified Person. Notwithstanding the above, the Borrower
shall have no liability under clause (i) of this Section to indemnify or hold harmless any Indemnified Person for any losses, claims, damages, liabilities and related expenses relating to income or withholding taxes or any tax in lieu of such
taxes. 
 (b) To the extent that the Borrower fails to promptly pay any amount required to be paid by it to the Administrative Agent under
subsection (a) of this Section, each Lender severally agrees to pay to the Administrative Agent an amount equal to the product of such unpaid amount multiplied by (i) at any time prior to the making of Loans pursuant to
Section 2.1(a) or at any time when Loans are outstanding, its Pro Rata Percentage and (ii) if the Loans have been repaid in full, its Pro Rata Percentage on the last day on which such Loans were outstanding (in each case with respect to
clause (ii) immediately above, determined as of the time that the applicable unreimbursed expense or indemnity payment is sought), provided that the unreimbursed expense or indemnified loss, claim, damage, liability or related expense,
as applicable, was incurred by or asserted against the Administrative Agent in its capacity as such. 
 (c) The obligations of the Borrower
and the Lenders under this Section 11.10 shall survive the termination of the Commitments and the payment or repayment of the Loans and the Notes and all other amounts payable under the Loan Documents. 
 (d) To the extent permitted by applicable law, the Borrower shall not assert, and hereby waives, any claim against any Indemnified Person, on any theory
of liability, for special, indirect, consequential or punitive damages (as opposed to direct and actual damages) arising out of, in connection with, or as a result of, any Loan Document or any agreement, instrument or other document contemplated
thereby, the transactions contemplated hereby or any Loan or the use of the proceeds thereof. 
  

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 SECTION 11.11 Governing Law 
 The Loan Documents and the rights and obligations of the parties thereto shall be governed by, and construed and interpreted in accordance with, the laws
of the State of New York. 
 SECTION 11.12 Severability 
 Every provision of the Loan Documents is intended to be severable, and if any term or provision thereof shall be invalid, illegal or unenforceable for
any reason, the validity, legality and enforceability of the remaining provisions thereof shall not be affected or impaired thereby, and any invalidity, illegality or unenforceability in any jurisdiction shall not affect the validity, legality or
enforceability of any such term or provision in any other jurisdiction. 
 SECTION 11.13 Integration

 All exhibits to the Loan Documents shall be deemed to be a part thereof. Each Loan Document embodies the entire agreement and
understanding between or among the parties thereto with respect to the subject matter thereof and supersedes all prior agreements and understandings between or among the parties thereto with respect to the subject matter thereof. 
 SECTION 11.14 Treatment of Certain Information 
 Each Credit Party agrees to maintain as confidential and not to disclose, publish or disseminate to any third parties any financial or other information
relating to the business, operations and condition, financial or otherwise, of the Borrower provided to it, except if and to the extent that: 
 (a) such information is in the public domain at the time of disclosure; 
 (b) such information is required to be disclosed by
subpoena or similar process or applicable law or regulations; 
 (c) such information is required or requested to be disclosed to any
regulatory or administrative body or commission to whose jurisdiction it may be subject; 
 (d) such information is disclosed to its counsel,
auditors or other professional advisors; 
 (e) such information is disclosed to (and, unless and until it receives written objection from
the Borrower, the Borrower shall be deemed to have consented to disclosure of such information to) its affiliates (and its affiliates’ officers, directors and employees), provided that such information shall be used in connection with this
Agreement and the transactions contemplated hereby; 
 (f) such information is disclosed to its officers, directors and employees;

  

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 (g) such information is disclosed with the prior written consent of the party furnishing the information;

 (h) such information is disclosed in connection with any litigation or dispute involving the Borrower and/or it; 
 (i) such information is disclosed in connection with the sale of a participation or other disposition by it of any of its interest in this Agreement,
provided that such information shall not be disclosed unless and until the party to whom it shall be disclosed shall have agreed to keep such information confidential as set forth herein; 
 (j) such information was in its possession or in its affiliate’s possession as shown by clear and convincing evidence prior to any of the Borrower
and/or any or the Borrower’s representatives or agents furnishing such information to it; or 
 (k) such information is received by it,
without restriction as to its disclosure or use, from a Person who, to its knowledge or reasonable belief, was not prohibited from disclosing such information by any duty of confidentiality. 
 Except to the extent prohibited or restricted by law or Governmental Authority, each Lender shall notify the Borrower promptly of any disclosures of
information made by it as permitted pursuant to (h) above. 
 SECTION 11.15 Acknowledgments

 The Borrower acknowledges that (a) it has been advised by counsel in the negotiation, execution and delivery of the Loan Documents,
(b) by virtue of the Loan Documents, neither the Administrative Agent nor any Lender has any fiduciary relationship to the Borrower, and the relationship between the Administrative Agent and the Lenders, on the one hand, and the Borrower, on
the other hand, is solely that of debtor and creditor, and (c) by virtue of the Loan Documents, no joint venture exists among the Lenders or among the Borrower and the Lenders. 
 SECTION 11.16 Consent to Jurisdiction 
 The Borrower irrevocably submits to the non-exclusive jurisdiction of any New York State or Federal Court sitting in the City of New York over any suit,
action or proceeding arising out of or relating to the Loan Documents. The Borrower irrevocably waives, to the fullest extent permitted by law, any objection which it may now or hereafter have to the laying of the venue of any such suit, action or
proceeding brought in such a court and any claim that any such suit, action or proceeding brought in such a court has been brought in an inconvenient forum. The Borrower agrees that a final judgment in any such suit, action or proceeding brought in
such a court, after all appropriate appeals, shall be conclusive and binding upon it. 
  

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 SECTION 11.17 Service of Process 
 The Borrower agrees that process may be served against it in any suit, action or proceeding referred to in Section 11.16 by sending the same by
first class mail, return receipt requested or by overnight courier service, with receipt acknowledged, to the address of the Borrower set forth in Section 11.2. The Borrower agrees that any such service (i) shall be deemed in every respect
effective service of process upon it in any such suit, action, or proceeding, and (ii) shall to the fullest extent enforceable by law, be taken and held to be valid personal service upon and personal delivery to it. 
 SECTION 11.18 No Limitation on Service or Suit 
 Nothing in the Loan Documents or any modification, waiver, or amendment thereto shall affect the right of the Administrative Agent or any Lender to serve
process in any manner permitted by law or limit the right of the Administrative Agent or any Lender to bring proceedings against the Borrower in the courts of any jurisdiction or jurisdictions. 
 SECTION 11.19 WAIVER OF TRIAL BY JURY 
 EACH CREDIT PARTY AND THE BORROWER KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE ANY RIGHT THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION
ARISING OUT OF, UNDER OR IN CONNECTION WITH THE LOAN DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED THEREBY. FURTHER, THE BORROWER HEREBY CERTIFIES THAT NO REPRESENTATIVE OR AGENT OF ANY CREDIT PARTY, OR COUNSEL TO ANY CREDIT PARTY, HAS
REPRESENTED, EXPRESSLY OR OTHERWISE, THAT ANY CREDIT PARTY WOULD NOT, IN THE EVENT OF SUCH LITIGATION, SEEK TO ENFORCE THIS WAIVER OF RIGHT TO JURY TRIAL PROVISION. THE BORROWER ACKNOWLEDGES THAT EACH CREDIT PARTY HAS BEEN INDUCED TO ENTER
INTO THIS AGREEMENT BY, INTER ALIA, THE PROVISIONS OF THIS SECTION. 
 SECTION 11.20 Effective
Date 
 This Agreement shall be effective at such time (the “Effective Date”) as the Administrative Agent shall have
received executed counterparts hereof by the Borrower, the Administrative Agent and each Lender and the conditions set forth in Section 5.1, Section 5.2 and Section 5.3 have been or simultaneously will be satisfied, provided
that this Agreement shall not become effective or be binding on any party hereto unless all of such conditions are satisfied not later than September 30, 2008. 
 SECTION 11.21 PATRIOT Act Notice 
 Each Lender and the
Administrative Agent (for itself and not on behalf of any Lender) hereby notifies the Borrower that pursuant to the requirements of the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the
“PATRIOT Act”), it is required to obtain, verify and record information that identifies the Borrower, which information includes the name and address of the Borrower and other information that will allow such Lender 

  

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or the Administrative Agent, as applicable, to identify the Borrower in accordance with the PATRIOT Act. 
 [Signature Pages Follow] 
  

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 IN WITNESS WHEREOF, the parties hereto, by their respective officers thereunto duly authorized, have
executed this Agreement on the date first above written. 
  

			
	CVS CAREMARK CORPORATION
		
	By:	 	/s/ Carol A. DeNale
		 	 Name:  Carol A. DeNale
 Title:    Vice-President and Treasurer

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	 LEHMAN BROTHERS INC.,
     as Arranger

		
	By:	 	/s/ Laurie Pepper
		 	 Name:  Laurie Pepper
 Title:    Managing Director

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	 LEHMAN COMMERCIAL PAPER INC.,
     as Administrative Agent and a Lender

		
	By:	 	/s/ Laurie Pepper
		 	 Name:  Laurie Pepper
 Title:    Managing Director

  

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	 DEUTSCHE BANK SECURITIES INC., as
     Arranger and Syndication Agent

		
	By:	 	/s/ Frederick W. Laird
		 	 Name:  Frederick W. Laird
 Title:    Managing Director

		
	By:	 	/s/ Heidi Sandquist
		 	 Name:  Heidi Sandquist
 Title:    Vice President

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	 BANK OF AMERICA, N.A., as Co-
     Documentation Agent and a Lender

		
	By:	 	/s/ Thomas J. Kane
		 	 Name:  Thomas J. Kane
 Title:    Senior Vice President

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	 MORGAN STANLEY BANK, as Co-
     Documentation Agent and a Lender

		
	By:	 	/s/ Daniel Twenge
		 	 Name:  Daniel Twenge
 Title:    Authorized Signatory

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	 WACHOVIA BANK, NATIONAL
     ASSOCIATION, as Co-Documentation
     Agent and a Lender

		
	By:	 	/s/ Kevin Lilly
		 	 Name:  Kevin Lilly
 Title:    Vice President

Table of Contents

			
	 DEUTSCHE BANK AG CAYMAN ISLANDS,
     as a Lender

		
	By:	 	/s/ Frederick W. Laird
		 	 Name:  Frederick W. Laird
 Title:    Managing Director

		
	By:	 	/s/ Heidi Sandquist
		 	 Name:  Heidi Sandquist
 Title:    Vice President

Table of Contents

			
	 THE BANK OF NEW YORK MELLON, as a
     Lender

		
	By:	 	/s/ David B. Whirl
		 	 Name:  David B. Whirl
 Title:    Vice President

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	 SUMITOMO MITSUI BANKING
     CORPORATION, as a Lender

		
	By:	 	/s/ Yoshihiro Hyakutome
		 	 Name:  Yoshihiro Hyakutome
 Title:    General Manager

Table of Contents

			
	SUNTRUST BANK, as a Lender
		
	By:	 	/s/ John Gregg
		 	 Name:  John Gregg
 Title:    Managing Director

Table of Contents

			
	US BANK, N.A., as a Lender
		
	By:	 	/s/ Conan Schleicher
		 	 Name:  Conan Schleicher
 Title:    Vice President

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	WELLS FARGO BANK, N.A., as a Lender
		
	By:	 	/s/ Megan Donnelly
		 	 Name:  Megan Donnelly
 Title:    Vice President

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