Document:

Exhibit 4.5(a)

 

EXECUTION
COPY

 

 

 

CREDIT AGREEMENT

dated as of

June 29, 2007,

among

VARIETAL DISTRIBUTION MERGER SUB, INC.

(to be merged with and into CDRV INVESTORS, INC.

and renamed VWR FUNDING, INC.),

as the Parent Borrower,

THE FOREIGN SUBSIDIARY BORROWERS PARTY FROM TIME TO TIME HERETO,

THE LENDERS PARTY HERETO

and

BANK OF AMERICA, N.A.,

as Administrative Agent and Collateral Agent

 

BANC OF AMERICA SECURITIES LLC,

GOLDMAN SACHS CREDIT PARTNERS L.P.

and

J.P. MORGAN SECURITIES INC.,

as Joint Lead Arrangers and Joint Bookrunners,

GOLDMAN SACHS CREDIT PARTNERS L.P.,

as Syndication Agent,

and

JPMORGAN CHASE BANK, N.A.,

DEUTSCHE BANK SECURITIES INC.

and

PNC BANK, NATIONAL ASSOCIATION,

as Co-Documentation Agents

 

 

 

 

TABLE OF
CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  ARTICLE I

  	
   

  
	
   

  	
   

  
	
  DEFINITIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 1.01.

  	
  Defined Terms

  	
  2

  
	
  SECTION 1.02.

  	
  Terms Generally

  	
  45

  
	
  SECTION 1.03.

  	
  Classification of Loans and
  Borrowings

  	
  45

  
	
  SECTION 1.04.

  	
  Rounding

  	
  45

  
	
  SECTION 1.05.

  	
  References to Agreements and Laws

  	
  46

  
	
  SECTION 1.06.

  	
  Times of Day

  	
  46

  
	
  SECTION 1.07.

  	
  Timing of Payment or Performance

  	
  46

  
	
  SECTION 1.08.

  	
  Letter of Credit Amounts

  	
  46

  
	
  SECTION 1.09.

  	
  Exchange Rate; Currency
  Equivalents Generally

  	
  46

  
	
  SECTION 1.10.

  	
  Alternative Currencies

  	
  46

  
	
  SECTION 1.11.

  	
  Pro Forma Calculations

  	
  46

  
	
   

  	
   

  	
   

  
	
  ARTICLE II

  	
   

  
	
   

  	
   

  
	
  THE CREDITS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 2.01.

  	
  Commitments

  	
  47

  
	
  SECTION 2.02.

  	
  Loans

  	
  48

  
	
  SECTION 2.03.

  	
  Borrowing Procedure

  	
  49

  
	
  SECTION 2.04.

  	
  Evidence of Debt;
  Repayment of Loans

  	
  50

  
	
  SECTION 2.05.

  	
  Fees

  	
  50

  
	
  SECTION 2.06.

  	
  Interest on Loans

  	
  51

  
	
  SECTION 2.07.

  	
  Default Interest

  	
  52

  
	
  SECTION 2.08.

  	
  Alternate Rate of Interest

  	
  52

  
	
  SECTION 2.09.

  	
  Termination and Reduction of
  Commitments

  	
  53

  
	
  SECTION 2.10.

  	
  Conversion and Continuation of
  Borrowings

  	
  53

  
	
  SECTION 2.11.

  	
  Repayment of Term Borrowings

  	
  54

  
	
  SECTION 2.12.

  	
  Optional Prepayment

  	
  55

  
	
  SECTION 2.13.

  	
  Mandatory Prepayments

  	
  56

  
	
  SECTION 2.14.

  	
  Reserve Requirements; Change in
  Circumstances

  	
  58

  
	
  SECTION 2.15.

  	
  Change in Legality

  	
  59

  
	
  SECTION 2.16.

  	
  Indemnity

  	
  59

  
	
  SECTION 2.17.

  	
  Pro Rata Treatment; Intercreditor
  Agreements

  	
  60

  
	
  SECTION 2.18.

  	
  Sharing of Setoffs

  	
  61

  
	
  SECTION 2.19.

  	
  Payments

  	
  61

  
	
  SECTION 2.20.

  	
  Taxes

  	
  62

  
	
  SECTION 2.21.

  	
  Assignment of Commitments Under
  Certain Circumstances; Duty to Mitigate

  	
  63

  
	
  SECTION 2.22.

  	
  Swingline Loans

  	
  65

  
	
  SECTION 2.23.

  	
  Letters of Credit

  	
  66

  
	
  SECTION 2.24.

  	
  Incremental Credit Extensions

  	
  69

  
	
   

  	
   

  	
   

  
	
  ARTICLE III

  	
   

  
	
   

  	
   

  	
   

  
	
  REPRESENTATIONS AND WARRANTIES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 3.01.

  	
  Organization; Powers

  	
  70

  
	
  SECTION 3.02.

  	
  Authorization

  	
  71

  

 

i

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  SECTION 3.03.

  	
  Enforceability

  	
  71

  
	
  SECTION 3.04.

  	
  Governmental Approvals

  	
  71

  
	
  SECTION 3.05.

  	
  Financial Statements

  	
  71

  
	
  SECTION 3.06.

  	
  No Material Adverse Change

  	
  72

  
	
  SECTION 3.07.

  	
  Title to Properties

  	
  72

  
	
  SECTION 3.08.

  	
  Subsidiaries

  	
  72

  
	
  SECTION 3.09.

  	
  Litigation; Compliance with Laws

  	
  72

  
	
  SECTION 3.10.

  	
  Federal Reserve Regulations

  	
  72

  
	
  SECTION 3.11.

  	
  Investment Company Act

  	
  72

  
	
  SECTION 3.12.

  	
  Taxes

  	
  72

  
	
  SECTION 3.13.

  	
  No Material Misstatements

  	
  72

  
	
  SECTION 3.14.

  	
  Employee Benefit Plans

  	
  73

  
	
  SECTION 3.15.

  	
  Environmental Matters

  	
  73

  
	
  SECTION 3.16.

  	
  Security Documents

  	
  73

  
	
  SECTION 3.17.

  	
  Location of Real Property and
  Leased Premises

  	
  73

  
	
  SECTION 3.18.

  	
  Labor Matters

  	
  74

  
	
  SECTION 3.19.

  	
  Solvency

  	
  74

  
	
  SECTION 3.20.

  	
  Intellectual Property

  	
  74

  
	
  SECTION 3.21.

  	
  Subordination of Junior Financing

  	
  74

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV

  	
   

  
	
   

  	
   

  	
   

  
	
  CONDITIONS OF LENDING

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.01.

  	
  All Credit Events

  	
  74

  
	
  SECTION 4.02.

  	
  First Credit Event

  	
  75

  
	
  SECTION 4.03.

  	
  Additional Conditions Applicable
  to Foreign Subsidiary Borrowers

  	
  76

  
	
   

  	
   

  	
   

  
	
  ARTICLE V

  	
   

  
	
   

  	
   

  	
   

  
	
  AFFIRMATIVE COVENANTS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 5.01.

  	
  Existence; Compliance with Laws;
  Businesses and Properties

  	
  77

  
	
  SECTION 5.02.

  	
  Insurance

  	
  78

  
	
  SECTION 5.03.

  	
  Taxes

  	
  78

  
	
  SECTION 5.04.

  	
  Financial Statements, Reports, etc

  	
  78

  
	
  SECTION 5.05.

  	
  Notices

  	
  80

  
	
  SECTION 5.06.

  	
  Information Regarding Collateral

  	
  80

  
	
  SECTION 5.07.

  	
  Maintaining Records; Access to
  Properties and Inspections

  	
  80

  
	
  SECTION 5.08.

  	
  Use of Proceeds

  	
  81

  
	
  SECTION 5.09.

  	
  Further Assurances

  	
  81

  
	
  SECTION 5.10.

  	
  Post-Closing Obligations

  	
  83

  
	
  SECTION 5.11.

  	
  Designation of Subsidiaries

  	
  84

  
	
  SECTION 5.12.

  	
  Maintenance of New York Process
  Agent

  	
  85

  
	
  SECTION 5.13.

  	
  Existing Notes

  	
  85

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI

  	
   

  
	
   

  	
   

  	
   

  
	
  NEGATIVE COVENANTS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 6.01.

  	
  Limitation on Incurrence of
  Indebtedness and Issuance of Disqualified Stock and Preferred Stock

  	
  85

  
	
  SECTION 6.02.

  	
  Liens

  	
  91

  
	
  SECTION 6.03.

  	
  Restricted Payments

  	
  91

  
	
  SECTION 6.04.

  	
  Fundamental Changes

  	
  96

  

 

ii

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  SECTION 6.05.

  	
  Dispositions

  	
  98

  
	
  SECTION 6.06.

  	
  Transactions with Affiliates

  	
  100

  
	
  SECTION 6.07.

  	
  Restrictive Agreements

  	
  103

  
	
  SECTION 6.08.

  	
  Business of the Parent Borrower
  and Its Restricted Subsidiaries

  	
  103

  
	
  SECTION 6.09.

  	
  Modification of Junior Financing
  Documentation

  	
  103

  
	
  SECTION 6.10.

  	
  Changes in Fiscal Year

  	
  103

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII

  	
   

  
	
   

  	
   

  
	
  EVENTS OF DEFAULT

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.01.

  	
  Events of Default

  	
  103

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII

  	
   

  
	
   

  	
   

  	
   

  
	
  THE ADMINISTRATIVE AGENT AND THE COLLATERAL AGENT

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX

  	
   

  
	
   

  	
   

  	
   

  
	
  MISCELLANEOUS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 9.01.

  	
  Notices

  	
  108

  
	
  SECTION 9.02.

  	
  Survival of Agreement

  	
  110

  
	
  SECTION 9.03.

  	
  Binding Effect

  	
  110

  
	
  SECTION 9.04.

  	
  Successors and Assigns

  	
  110

  
	
  SECTION 9.05.

  	
  Expenses; Indemnity

  	
  114

  
	
  SECTION 9.06.

  	
  Right of Setoff; Payments Set
  Aside

  	
  115

  
	
  SECTION 9.07.

  	
  Applicable Law

  	
  115

  
	
  SECTION 9.08.

  	
  Waivers; Amendment

  	
  116

  
	
  SECTION 9.09.

  	
  Interest Rate Limitation

  	
  120

  
	
  SECTION 9.10.

  	
  Entire Agreement

  	
  120

  
	
  SECTION 9.11.

  	
  WAIVER OF JURY TRIAL

  	
  120

  
	
  SECTION 9.12.

  	
  Severability

  	
  120

  
	
  SECTION 9.13.

  	
  Counterparts

  	
  120

  
	
  SECTION 9.14.

  	
  Headings

  	
  121

  
	
  SECTION 9.15.

  	
  Jurisdiction; Consent to Service
  of Process

  	
  121

  
	
  SECTION 9.16.

  	
  Confidentiality

  	
  122

  
	
  SECTION 9.17.

  	
  No Advisory or Fiduciary
  Responsibility

  	
  123

  
	
  SECTION 9.18.

  	
  Release of Collateral

  	
  123

  
	
  SECTION 9.19.

  	
  USA PATRIOT Act Notice

  	
  124

  
	
  SECTION 9.20.

  	
  Lender Action

  	
  124

  
	
  SECTION 9.21.

  	
  Effectiveness of Merger

  	
  124

  
	
  SECTION 9.22.

  	
  Obligations of the Foreign
  Subsidiary Borrowers

  	
  124

  

 

iii

 

	
  SCHEDULES

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Schedule A

  	
  —

  	
  Additional Alternative Currencies

  
	
  Schedule B

  	
  —

  	
  Foreign Subsidiary Borrowers

  
	
  Schedule 1.01(a)

  	
  —

  	
  Subsidiary Guarantors

  
	
  Schedule 1.01(b)

  	
  —

  	
  Disqualified Institutions

  
	
  Schedule 1.01(c)

  	
  —

  	
  Existing Letters of Credit

  
	
  Schedule 1.01(d)

  	
  —

  	
  Immaterial Subsidiaries

  
	
  Schedule 2.01

  	
  —

  	
  Lenders and Commitments

  
	
  Schedule 3.08

  	
  —

  	
  Subsidiaries

  
	
  Schedule 3.09

  	
  —

  	
  Litigation

  
	
  Schedule 3.15

  	
  —

  	
  Environmental Matters

  
	
  Schedule 3.17(a)

  	
  —

  	
  Owned Real Property

  
	
  Schedule 3.17(b)

  	
  —

  	
  Leased Real Property

  
	
  Schedule 3.18

  	
  —

  	
  Labor Matters

  
	
  Schedule 3.20

  	
  —

  	
  Intellectual Property

  
	
  Schedule 6.01

  	
  —

  	
  Existing Indebtedness

  
	
  Schedule 6.02

  	
  —

  	
  Existing Liens

  
	
   

  	
   

  	
   

  
	
  EXHIBITS

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Exhibit A

  	
  —

  	
  Form of Administrative Questionnaire

  
	
  Exhibit B

  	
  —

  	
  Form of Assignment and Acceptance

  
	
  Exhibit C

  	
  —

  	
  Form of Borrowing Request

  
	
  Exhibit D

  	
  —

  	
  Form of Guarantee and Collateral Agreement

  
	
  Exhibit E

  	
  —

  	
  Form of Non-Bank Certificate

  
	
  Exhibit F-1

  	
  —

  	
  Form of Trademark Security Agreement

  
	
  Exhibit F-2

  	
  —

  	
  Form of Patent Security Agreement

  
	
  Exhibit F-3

  	
  —

  	
  Form of Copyright Security Agreement

  
	
  Exhibit G-1

  	
  —

  	
  Form of Revolving Credit Note

  
	
  Exhibit G-2

  	
  —

  	
  Form of Term Loan Note

  
	
  Exhibit H

  	
  —

  	
  Form of Joinder Agreement

  

 

iv

 

CREDIT AGREEMENT dated as of June 29, 2007
(this “Agreement”), among VARIETAL DISTRIBUTION MERGER SUB, INC., a
Delaware corporation (“Merger Sub”), to be merged with and into CDRV
INVESTORS, INC., a Delaware corporation, and renamed VWR FUNDING, INC. (the “Company”),
each of the Foreign Subsidiary Borrowers (as defined herein) party from time to
time hereto (the Foreign Subsidiary Borrowers, together with the Parent
Borrower (as defined herein), collectively, the “Borrowers” and each, a
“Borrower”), the Lenders (as defined herein), BANK OF AMERICA, N.A. (“Bank
of America”), as Administrative Agent and Collateral Agent (in each case,
as defined herein) for the Lenders (as defined herein), BANC OF AMERICA
SECURITIES LLC, GOLDMAN SACHS CREDIT PARTNERS L.P. AND J.P. MORGAN SECURITIES
INC., as joint lead arrangers (the “Arrangers”) for the Credit
Facilities (as defined herein), GOLDMAN SACHS CREDIT PARTNERS L.P., as
syndication agent, and JPMORGAN CHASE BANK, N.A., DEUTSCHE BANK SECURITIES INC.
and PNC BANK, NATIONAL ASSOCIATION, as co-documentation agents.  Capitalized terms used herein shall have the
meanings set forth in Article I.

 

RECITALS

 

A.            The
Sponsor has formed Varietal Distribution Holdings, LLC, a Delaware corporation
(“Holdings”), which owns all of the Equity Interests of VWR
Investors, Inc., a Delaware corporation (“Intermediate  Holdco”),
which in turn owns all of the Equity Interests of Merger Sub.  Pursuant to the terms of the Merger
Agreement, Merger Sub will merge with and into the Company, with the Company
surviving the Merger.  As a result of the
Merger, the Company will become a direct wholly-owned subsidiary of
Intermediate Holdco.

 

B.            To
fund a portion of the Merger, the Sponsor and certain other investors
(including certain members of management) will contribute an amount in cash to
Holdings in exchange for Equity Interests (which cash will be contributed to
Merger Sub in exchange for Equity Interests in Merger Sub), which together with
the amount of any rollover equity issued to existing shareholders of the
Company, shall be no less than 25.0% of the pro forma total consolidated
capitalization of Holdings (such contribution and rollover, collectively, the “Equity
Investment”).

 

C.            The
Parent Borrower will consummate an offer to purchase the Existing Notes
pursuant to a tender offer (the “Tender Offer”), with any remaining
outstanding Existing Notes either (i) not being entitled to the benefit of
substantially all of the restrictive covenants and certain events of default
contained in the indentures applicable to such Existing Notes,
(ii) defeased within 30 days after the Closing Date or (iii) redeemed
within 30 days after the Closing Date.

 

D.            To
consummate the transactions contemplated by the Merger Agreement, Merger Sub
will issue (i) $675,000,000 in original aggregate principal amount of its
10.25%/11.25% senior PIK toggle notes due 2015 and (ii) the Dollar
Equivalent of approximately $520,000,000 in original aggregate principal amount
of its 10.75% senior subordinated notes due 2017.

 

E.             The
Borrowers have requested (a) the Lenders to extend credit in the form of
(i) Dollar Term Loans on the Closing Date in an aggregate principal amount
not in excess of $615,000,000, (ii) Euro Term Loans on the Closing Date in
an aggregate principal amount not in excess of 
€600,000,000 and (iii) Revolving Loans at any time and from time to
time prior to the Revolving Credit Maturity Date, in an aggregate principal
amount at any time outstanding not in excess of $250,000,000, (b) the
Swingline Lender to extend credit in the form of Swingline Loans, in an
aggregate principal amount at any time outstanding not in excess of $25,000,000
and (c) the Issuing Bank to issue Letters of Credit, in an aggregate face
amount at any time outstanding not in excess of $70,000,000.

 

F.             The
Lenders are willing to extend such credit to the Borrowers and the Issuing Bank
is willing to issue Letters of Credit for the joint and several  account of the Borrowers, in each case, on
the terms and subject to the conditions set forth herein.  Accordingly, the parties hereto agree as
follows:

 

 

 

ARTICLE I

 

Definitions

 

SECTION 1.01.      Defined Terms.  As used in this Agreement, the following
terms shall have the meanings specified below:

 

“ABR”, when used in reference to any Loan or
Borrowing, refers to whether such Loan, or the Loans comprising such Borrowing,
are bearing interest at a rate determined by reference to the Alternate Base
Rate.

 

“Acquired Indebtedness” shall mean, with
respect to any specified Person,

 

(a)           Indebtedness
of any other Person existing at the time such other Person is merged with or
into or became a Restricted Subsidiary of such specified Person, including
Indebtedness incurred in connection with, or in contemplation of, such other
Person merging with or into or becoming a Restricted Subsidiary of such
specified Person, and

 

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

 

“Additional Lender” shall have the meaning
assigned to such term in Section 2.24(a).

 

“Adjusted LIBO Rate” shall mean, (a) with
respect to any Eurodollar Borrowing for any Interest Period (other than a
Borrowing of Euro Term Loans), an interest rate per annum equal to the product
of (i) the LIBO Rate in effect for such Interest Period and
(ii) Statutory Reserves and (b) with respect to any Eurodollar
Borrowing of Euro Term Loans for any Interest Period, an interest rate per
annum equal to the product of (i) the EURIBOR Rate in effect for such
Interest Period and (ii) Statutory Reserves.

 

“Administration Fee” shall have the meaning
assigned to such term in Section 2.05(b).

 

“Administrative Agent” shall mean Bank of
America, N.A., in its capacity as administrative agent for the Lenders, and
shall include any successor administrative agent appointed pursuant to Article VIII.

 

“Administrative Questionnaire” shall mean an
Administrative Questionnaire substantially in the form of Exhibit A,
or such other form as may be supplied from time to time by the Administrative
Agent.

 

“Affiliate” shall mean, when used with respect
to a specified Person, another Person that directly, or indirectly through one
or more intermediaries, Controls, is Controlled by or is under common Control
with the Person specified; provided, however, that no Lender (nor
any of its Affiliates) shall be deemed to be an Affiliate of the Parent
Borrower or any of its subsidiaries by virtue of its capacity as a Lender
hereunder.

 

“Agents” shall have the meaning assigned to
such term in Article VIII.

 

“Agreement Currency”
has the meaning specified in Section 9.15(d).

 

“Aggregate Revolving Credit Exposure” shall
mean, at any time, the aggregate amount of the Lenders’ Revolving Credit
Exposures at such time.

 

“Agreement” shall have the meaning assigned to
such term in the preamble.

 

“Alternate Base Rate” shall mean, for any day,
a rate per annum equal to the greater of (a) the Prime Rate in effect on
such day and (b) the Federal Funds Effective Rate in effect on such day
plus 1/2 of 1%.  Any change in the
Alternate Base Rate due to a change in the Prime Rate or the Federal Funds
Effective Rate shall be effective on the effective date of such change in the
Prime Rate or the Federal Funds Effective Rate, as the case may be.

 

2

 

“Alternative Currency” shall mean euro, Sterling,
Canadian Dollars or any other foreign currency approved under Section 9.08(g).

 

“Alternative Currency Sublimit” shall have the
meaning assigned to such term in Section 2.01(c).

 

“Applicable Percentage” shall mean, for any
day, (a) with respect to any Eurodollar Loan that is a Term Loan, 2.50%
and with respect to any ABR Loan that is Term Loan, 1.50% and
(b) (i) with respect to any Swingline Loan, the applicable percentage
per annum set forth below under the caption “ABR and Canadian Base Rate
Spread”, (ii) with respect to any Eurodollar Revolving Loan, ABR Revolving
Loan, BA Rate Revolving Loan or Canadian Base Rate Revolving Loan, the
applicable percentage per annum set forth below under the caption “Eurodollar
and BA Rate Spread” or “ABR and Canadian Base Rate Spread” and (iii) with
respect to the Commitment Fee, the applicable percentage per annum set forth
below under the caption “Fee Percentage”, as the case may be (based upon the
Total Net Leverage Ratio as of the relevant date of determination):

 

	
  Total Net

  Leverage Ratio

  	
   

  	
  Eurodollar and 

  BA Rate Spread

  	
   

  	
  ABR and

  Canadian

  Base Rate Spread

  	
   

  	
  Fee Percentage

  	
   

  
	
  Category
  1
 Greater than 7.50 to 1.00

  	
   

  	
  2.50

  	
  %

  	
  1.50

  	
  %

  	
  0.500

  	
  %

  
	
  Category
  2
 Less than or equal to 7.50 to 1.00 but greater than
  6.00 to 1.00

  	
   

  	
  2.25

  	
  %

  	
  1.25

  	
  %

  	
  0.375

  	
  %

  
	
  Category
  3
 Less than or equal to 6.00 to 1.00

  	
   

  	
  2.00

  	
  %

  	
  1.00

  	
  %

  	
  0.250

  	
  %

  

 

In respect of clauses (a) and (b) of
this definition, each change in the Applicable Percentage resulting from a
change in the Total Net Leverage Ratio shall be effective on and after the date
of delivery to the Administrative Agent of the Section 5.04 Financials and
a Pricing Certificate indicating such change until and including the date
immediately preceding the next date of delivery of such financial statements
and the related Pricing Certificate indicating another such change.
Notwithstanding the foregoing, until the Parent Borrower shall have delivered
the Section 5.04 Financials and the related Pricing Certificate covering a
period that includes the first fiscal quarter of the Parent Borrower ended
after the Closing Date, the Total Net Leverage Ratio shall be deemed to be in
Category 1 for purposes of determining the Applicable Percentage.  In addition, at the option of the
Administrative Agent and the Required Lenders, (x) at any time during
which the Parent Borrower has failed to deliver the Section 5.04
Financials or the related Pricing Certificate by the date required thereunder
or (y) at any time after the occurrence and during the continuance of an
Event of Default, then the Total Net Leverage Ratio shall be deemed to be in
the then-existing Category for the purposes of determining the Applicable
Percentage (but only for so long as such failure or Event of Default continues,
after which the Category shall be otherwise as determined as set forth above).

 

“Arrangers” shall have the meaning assigned to
such term in the preamble.

 

“Assignment and Acceptance” shall mean an
assignment and acceptance entered into by a Lender and an assignee, and
accepted by the Administrative Agent and, to the extent required by Section 9.04(b),
consented to by the Parent Borrower, substantially in the form of Exhibit B
or such other form as shall be reasonably approved by the Administrative Agent.

 

“Auto-Renewal Letter of Credit” shall have the
meaning assigned to such term in Section 2.23(c).

 

“BA Interest Period”
means, relative to any BA Rate Loan, the period beginning on (and including)
the date on which such BA Rate Loan is made or continued to (but excluding) the
date which is one, two or three months thereafter, as selected by the Parent
Borrower; provided, that if any BA Interest Period would end on a day

 

3

 

other
than a Business Day, such BA Interest Period shall be extended to the next
succeeding Business Day unless such next succeeding Business Day would fall in
the next calendar month, in which case such BA Interest Period shall end on the
next preceding Business Day.

 

“BA Rate”
means, with respect to any BA Interest Period for any BA Rate Loan, (a) in
the case of any Revolving Lender named in Schedule I of the Bank Act
(Canada), the rate determined by the Administrative Agent to be the average
offered rate for bankers’ acceptances for the applicable BA Interest Period
appearing on Reuters Screen CDOR (Certificate of Deposit Offered Rate)
page as of 10:00 a.m. (New York City time) on the second full
Business Day next preceding the first day of each BA Interest Period and
(b) in the case of any other Revolving Lender, (i) the rate per annum set forth in clause (a) above plus (ii) 0.10%.  In the
event that such rate does not appear on the Reuters Screen CDOR (Certificate of
Deposit Offered Rate) page (or otherwise on the Reuters screen), the BA
Rate for the purposes of this definition shall be determined by reference to
such other comparable publicly available service for displaying bankers’ acceptance
rates as may be selected by the Administrative Agent and, in the event that the
CDOR rate is not available for any Business Day, the CDOR rate for the
immediately previous Business Day for which a CDOR rate is available shall be
used.

 

“Board” shall mean the Board of Governors of
the Federal Reserve System of the United States of America.

 

“Borrower Materials” shall have the meaning
assigned to such term in Section 5.04.

 

“Borrowers” shall have the meaning assigned to
such term in the preamble.

 

“Borrowing” shall mean (a) Loans of the
same Class and Type made, converted or continued on the same date and, in
the case of Eurodollar Loans or BA Rate Loans, as to which a single Interest
Period is in effect, or (b) a Swingline Loan.

 

“Borrowing Request” shall mean a request by a
Borrower in accordance with the terms of Section 2.03 and
substantially in the form of Exhibit C, or such other form as shall
be approved by the Administrative Agent.

 

“Business
Day” shall
mean any day other than a Saturday, Sunday or day on which banks in New York
City are generally authorized or required by law to close; provided, however,

 

(a)           if
such day relates to any interest rate settings as to a Eurodollar Loan
denominated in dollars, any fundings, disbursements, settlements and payments
in dollars in respect of any such Eurodollar Loan, or any other dealings in
dollars to be carried out pursuant to this Agreement in respect of any such
Eurodollar Loan, such day shall be a day on which dealings in deposits in
dollars are conducted by and between banks in the London interbank eurodollar
market;

 

(b)           if
such day relates to any interest rate settings as to a Eurodollar Loan
denominated in euro, any fundings, disbursements, settlements and payments in
euro in respect of any such Eurodollar Loan, or any other dealings in euro to
be carried out pursuant to this Agreement in respect of any such Eurodollar
Loan, such day shall be a TARGET Day;

 

(c)           if
such day relates to any interest rate settings as to a Eurodollar Loan
denominated in Sterling, such day shall be a day on which dealings in deposits
in Sterling are conducted by and between banks in the London interbank market;

 

(d)           if
such day relates to any fundings, disbursements, settlements and payments in
Sterling in respect of a Eurodollar Loan denominated in Sterling, or any other
dealings in Sterling to be carried out pursuant to this Agreement in respect of
any such Eurodollar Loan (other than any interest rate settings), such day
shall be a day on which banks are open for foreign exchange business in London;

 

(e)           if
such day relates to any setting of the BA Rate or the Canadian Base Rate, such
day shall be a day on which banks are open for business in Toronto; and

 

4

 

(f)            if
such day relates to any fundings, disbursements, settlements and payments in an
Alternative Currency (other than those specified above) in respect of a Eurodollar
Loan denominated in such Alternative Currency, or any other dealings in such
Alternative Currency to be carried out pursuant to this Agreement in respect of
any such Eurodollar Loan (other than any interest rate settings), such day
shall be a day on which banks are open for foreign exchange business in London,
New York and the principal financial center of such Alternative Currency as set
forth on Schedule A.

 

“Canadian Base Rate”
means the rate determined by the Administrative Agent as the rate displayed at
or about 10:30 a.m. (New York City time) on display page CAPRIME of
the Reuters Screen as the prime rate for loans denominated in Canadian Dollars
by Canadian banks to borrowers in Canada; provided, however,
that, in the event that such rate does not appear on the Reuters Screen on such
day or if the basis of calculation of such rate is changed after the date
hereof and, in the reasonable judgment of the Administrative Agent, such rate
ceases to reflect each Revolving Lender’s cost of funding to the same extent as
on the date hereof, then the “Canadian
Base Rate” shall be the average of the floating rate of interest per annum established (or commercially
known) as “prime rate” for
loans denominated in Canadian Dollars on such day by three major Canadian banks
selected by the Administrative Agent.

 

“Canadian Dollar”
and “C$” each mean the
lawful currency of Canada.

 

“Capital Expenditures” shall mean, as to any Person for any
period, the additions to property, plant and equipment and other capital expenditures
of such Person and its subsidiaries that are (or should be) set forth in a
consolidated statement of cash flows of the such Person.

 

“Capital Stock” shall mean:

 

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

 

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

 

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

 

(d)           any
other interest or participation that confers on a Person the right to receive a
share of the profits and losses of, or distributions of assets of, the issuing
Person.

 

“Capitalized Lease Obligations” shall mean, as
to any Person, at the time any determination thereof is to be made, the amount
of the liability in respect of a capital lease that would at such time be
required to be capitalized and reflected as a liability on a balance sheet
(excluding the footnotes thereto) of such Person in accordance with GAAP.

 

“Cash Equivalents” shall mean:

 

(a)           dollars;

 

(b)           (i) 
Sterling, Canadian Dollars, euro, or any national currency of any participating
member state of the EMU; or

 

(ii)           in
the case of the Parent Borrower or a Restricted Subsidiary, such local currencies
held by them from time to time in the ordinary course of business;

 

(c)           securities
issued or directly and fully and unconditionally guaranteed or insured by the
U.S. government or any agency or instrumentality thereof the securities of
which are unconditionally guaranteed as a full faith and credit obligation of
such government with maturities of 24 months or less from the date of
acquisition;

 

5

 

(d)           certificates
of deposit, time deposits and eurodollar time deposits with maturities of one
year or less from the date of acquisition, bankers’ acceptances with maturities
not exceeding one year and overnight bank deposits, in each case with
(i) any Revolving Credit Lender or an Affiliate thereof or (ii) any
commercial bank having capital and surplus of not less than $250,000,000 in the
case of U.S. banks and $100,000,000 (or the U.S. dollar equivalent as of the
date of determination) in the case of non-U.S. banks;

 

(e)           repurchase
obligations for underlying securities of the types described in clauses
(c) and (d) entered into with any financial institution
meeting the qualifications specified in clause (d) above;

 

(f)            commercial
paper rated at least P-2 by Moody’s or at least A-2 by S&P and in each case
maturing within 24 months after the date of creation thereof;

 

(g)           marketable
short-term money market and similar securities having a rating of at least P-2
or A-2 from either Moody’s or S&P, respectively (or, if at any time neither
Moody’s nor S&P shall be rating such obligations, an equivalent rating from
another Rating Agency) and in each case maturing within 24 months after the
date of creation thereof;

 

(h)           investment
funds investing 95% of their assets in securities of the types described in clauses
(a) through (g) above;

 

(i)            readily
marketable direct obligations issued by any state, commonwealth or territory of
the United States or any political subdivision or taxing authority thereof
having an Investment Grade Rating from either Moody’s or S&P with
maturities of 24 months or less from the date of acquisition;

 

(j)            Indebtedness
or Preferred Stock issued by Persons with a rating of “A” or higher from
S&P or “A2” or higher from Moody’s with maturities of 24 months or less
from the date of acquisition;

 

(k)           Investments
with average maturities of 12 months or less from the date of acquisition in
money market funds rated A- (or the equivalent thereof) or better by S&P or
A3 (or the equivalent thereof) or better by Moody’s;

 

(l)            shares
of investment companies that are registered under the Investment Company Act of
1940 and substantially all the investments of which are one or more of the
types of securities described in clauses (a) through (k)
above; and

 

(m)          in
the case of any Foreign Subsidiary, investments of comparable tenure and credit
quality to those described in the foregoing clauses (a) through (l)
or other high quality short term in-vestments, in each case, customarily
utilized in countries in which such Foreign Subsidiary operates for short term
cash management purposes.

 

Notwithstanding the foregoing, Cash Equivalents shall
include amounts denominated in currencies other than those set forth in clauses
(a) and (b) above, provided that such amounts are
converted into any currency listed in clauses (a) and (b) as
promptly as practicable and in any event within ten Business Days following the
receipt of such amounts.

 

“Cash Pooling Arrangements” means a deposit
account arrangement among a single depository institution, the Parent Borrower
and one or more Foreign Subsidiaries involving the pooling of cash deposits in
and overdrafts in respect of one or more deposit accounts (each located outside
of the United States and any States and territories thereof) with such
institution by the Parent Borrower and such Foreign Subsidiaries for cash
management purposes.

 

“Change in Law” shall mean (a) the
adoption of any law, rule or regulation after the date of this Agreement
or, in the case of an assignee, an adoption after the date such Person became a
party to this Agreement, (b) any change in any law, rule or
regulation or in the interpretation or application thereof by any Governmental
Authority after the date of this Agreement or, in the case of an assignee, a
change after the date such Person became a party to

 

6

 

this
Agreement, or (c) compliance by any Lender or the Issuing Bank (or, for
purposes of Section 2.14, by any lending office of such Lender or
by such Lender’s or Issuing Bank’s holding company, if any) with any request,
guideline or directive of any Governmental Authority made or issued after the
date the relevant Lender or Issuing Bank becomes a party to this Agreement.

 

A “Change of Control” shall be deemed to have
occurred if:

 

(a)           the
Permitted Investors cease to have the power, directly or indirectly, to vote or
direct the voting of Equity Interests of the Parent Borrower representing a
majority of the ordinary voting power for the election of directors (or
equivalent governing body) of the Parent Borrower; provided that the
occurrence of the foregoing event shall not be deemed a Change of Control if,

 

(i)            any time prior to the consummation
of a Qualified Public Offering, and for any reason whatsoever, (A) the
Permitted Investors otherwise have the right, directly or indirectly, to
designate (and do so designate) a majority of the board of directors of the
Parent Borrower or (B) the Permitted Investors own, directly or
indirectly, of record and beneficially an amount of Equity Interests of the
Parent Borrower having ordinary voting power that is equal to or more than 50%
of the amount of Equity Interests of the Parent Borrower having ordinary voting
power owned, directly or indirectly, by the Permitted Investors of record and
beneficially as of the Closing Date (determined by taking into account any
stock splits, stock dividends or other events subsequent to the Closing Date
that changed the amount of Equity Interests, but not the percentage of Equity
Interests, held by the Permitted Investors) and such ownership by the Permitted
Investors represents the largest single block of Equity Interests of the Parent
Borrower having ordinary voting power held by any person or related group for
purposes of Section 13(d) of the Securities Exchange Act of 1934, or

 

(ii)           at any time after the consummation of
a Qualified Public Offering, and for any reason whatsoever, (A) no
“person” or “group” (as such terms are used in Sections 13(d) and
14(d) of the Securities Exchange Act of 1934 as in effect on the date
hereof, but excluding any employee benefit plan of such Person and its
subsidiaries, and any Person or entity acting in its capacity as trustee, agent
or other fiduciary or administrator of any such plan), excluding the Permitted
Investors, shall become the “beneficial owner” (as defined in
Rules 13(d)-3 and 13(d)-5 under such Act), directly or indirectly, of more
than the greater of (x) 35% of outstanding Equity Interests of the Parent
Borrower having ordinary voting power and (y) the percentage of the then outstanding
Equity Interests of the Parent Borrower having ordinary voting power owned,
directly or indirectly, beneficially and of record by the Permitted Investors,
and (B) during each period of 12 consecutive months, a majority of the
board of directors of the Parent Borrower shall consist of the Continuing
Directors; or

 

(b)           any
change in control (or similar event, however denominated) with respect to the
Parent Borrower or any Restricted Subsidiary shall occur under and as defined
in (i) the New Senior Notes Documentation to the extent the New Senior
Notes constitute Material Indebtedness of the Parent Borrower or any Restricted
Subsidiary or (ii) the New Mezzanine Notes Documentation to the extent the
New Mezzanine Notes constitute Material Indebtedness of the Parent Borrower or
any Restricted Subsidiary; or

 

(c)           at
any time prior to the consummation of a Qualified Public Offering, Holdings
shall directly or indirectly own, beneficially and of record, less than 100% of
the issued and outstanding Equity Interests of the Parent Borrower; or

 

(d)           at
any time when any Obligations (other than contingent obligations for unasserted
claims) of a Foreign Subsidiary Borrower remain outstanding, such Foreign
Subsidiary Borrower ceasing to be a direct or indirect Restricted Subsidiary of
the Parent Borrower (unless a Borrower or a Guarantor shall expressly have
assumed all the Obligations of such Foreign Subsidiary Borrower under this
Agreement and the other Loan Documents to which such Foreign Subsidiary Borrower
is a party).

 

7

 

“Charges” shall have the meaning assigned to
such term in Section 9.09.

 

“Class”, when used in reference to any Loan or
Borrowing, refers to whether such Loan, or the Loans comprising such Borrowing,
are Revolving Loans, Dollar Term Loans, Euro Term Loans or Swingline Loans,
and, when used in reference to any Commitment, refers to whether such
Commitment is a Revolving Credit Commitment, Dollar Term Loan Commitment, Euro
Term Loan Commitment or Swingline Commitment.

 

“Closing Date” shall mean June 29, 2007.

 

“Code” shall mean the Internal Revenue Code of
1986, as amended from time to time, or any legislation successor thereto.

 

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

 

“Collateral Agent” shall mean Bank of America,
N.A., in its capacity as collateral agent for the Secured Parties, and shall
include any successor collateral agent appointed pursuant to Article VIII.

 

“Commitment Fee” shall have the meaning
assigned to such term in Section 2.05(a).

 

“Commitments” shall mean the Revolving Credit
Commitments, Dollar Term Loan Commitments, Euro Term Loan Commitment and
Swingline Commitment.

 

“Company” shall have the meaning assigned to
such term in the preamble.

 

“Confidential Information Memorandum” shall
mean the Confidential Information Memorandum dated June 2007, relating to
the syndication of the Credit Facilities.

 

“Consolidated” or “consolidated” with
respect to any Person, unless otherwise specifically indicated, refers to such
Person consolidated with the Parent Borrower and its Restricted Subsidiaries,
and excludes from such consolidation any Unrestricted Subsidiary as if such
Unrestricted Subsidiary were not an Affiliate of such Person.

 

“Consolidated Depreciation and Amortization Expense”
shall mean, with respect to any Person, for any period, the total amount of
depreciation and amortization expense, including the amortization of deferred
financing fees and amortization of unrecognized prior service costs and actuarial
gains and losses related to pensions and other post-employment benefits, of
such Person and its Restricted Subsidiaries for such period on a consolidated
basis and otherwise determined in accordance with GAAP.

 

“Consolidated Indebtedness” shall mean, as of
any date of determination, the sum, without duplication, of (a) the total
amount of Indebtedness under clauses (a)(i), (a)(ii), (a)(iii) (but,
in the case of clause (iii), only to the extent of any unreimbursed
drawings thereunder) and (a)(iv) of the definition thereof of the
Parent Borrower and its Restricted Subsidiaries, plus (b) the greater of
the aggregate liquidation value and maximum fixed repurchase price without
regard to any change of control or redemption premiums of all Disqualified
Stock of the Parent Borrower and the Restricted Guarantors and all Preferred
Stock of its Restricted Subsidiaries that are not Guarantors, in each case, as
determined on a consolidated basis in accordance with GAAP.

 

“Consolidated Interest Expense” shall mean,
with respect to any Person for any period, without duplication, the sum of:

 

(a)           consolidated
interest expense of such Person and its Restricted Subsidiaries for such period,
to the extent such expense was deducted (and not added back) in computing
Consolidated Net Income (including (i) amortization of original issue
discount resulting from the issuance of Indebtedness at less than par,
(ii) all commissions, discounts and other fees and charges owed with
respect to letters of credit or bankers acceptances, (iii) non-cash
interest expense (but excluding any non-cash interest expense attributable to
the movement in the mark to market valuation of Hedging Obligations or other
derivative

 

8

 

instruments pursuant to GAAP), (iv) the interest component of
Capitalized Lease Obligations, (v) net payments, if any, pursuant to
interest rate Hedging Obligations with respect to Indebtedness, (vi) net
losses on Hedging Obligations or other derivative instruments entered into for
the purpose of hedging interest rate risk and (vii) costs of surety bonds
in connection with financing activities and excluding (x) amortization of
deferred financing fees, debt issuance costs, commissions, fees and expenses,
(y) any expensing of bridge, commitment and other financing fees and (z)
commissions, discounts, yield and other fees and charges (including any
interest expense) related to any Receivables Facility); plus

 

(b)           consolidated
capitalized interest of such Person and its Restricted Subsidiaries for such
period, whether paid or accrued; less

 

(c)           interest
income of such Person and its Restricted Subsidiaries for such period.

 

For purposes of this definition, interest on a
Capitalized Lease Obligation shall be deemed to accrue at an interest rate
reasonably determined by the Parent Borrower to be the rate of interest
implicit in such Capitalized Lease Obligation in accordance with GAAP.

 

“Consolidated Net
Income” shall mean, with respect to any Person for any
period, the net income (loss) of such Person and its subsidiaries that are
Restricted Subsidiaries for such period, determined on a consolidated basis in
accordance with GAAP and before any reduction in respect of Preferred Stock
dividends; provided, however, that (without duplication),

 

(a)           the
net income for such period of any Person that is not a subsidiary, or is an Unrestricted
Subsidiary, or that is accounted for by the equity method of accounting, shall
be excluded; provided, that Consolidated Net Income of such Person shall
be increased by the amount of dividends or distributions or other payments that
are actually paid in cash (or to the extent converted into cash) to such Person
or a subsidiary thereof that is the Parent Borrower or a Restricted Subsidiary
in respect of such period, and

 

(b)           solely
for the purpose of determining the amount available under clause (b) of
the definition of Restricted Payment Applicable Amount, the net income for such
period of any Restricted Subsidiary (other than any Guarantor) shall be
excluded if the declaration or payment of dividends or similar distributions by
that Restricted Subsidiary of its net income is not at the date of determination
wholly permitted without any prior governmental approval (which has not been
obtained) or, directly or indirectly, by the operation of the terms of its
charter or any agreement, instrument, judgment, decree, order, statute, rule,
or governmental regulation applicable to that Restricted Subsidiary or its
stockholders, unless such restriction with respect to the payment of dividends
or similar distributions has been legally waived, provided, that
Consolidated Net Income of the Parent Borrower will be increased by the amount
of dividends or other distributions or other payments actually paid in cash (or
to the extent converted into cash) to the Parent Borrower or a Restricted
Subsidiary thereof in respect of such period, to the extent not already included
therein.

 

Notwithstanding the foregoing, for the purpose of Section 6.03
only (other than paragraph (c) of the definition of Restricted
Payment Applicable Amount), there shall be excluded from Consolidated Net
Income any income arising from any sale or other disposition of Restricted
Investments made by the Parent Borrower and its Restricted Subsidiaries, any
repurchases and redemptions of Restricted Investments from the Parent Borrower
and its Restricted Subsidiaries, any repayments of loans and advances which
constitute Restricted Investments by the Parent Borrower or any of its
Restricted Subsidiaries, any sale of the stock of an Unrestricted Subsidiary or
any distribution or dividend from an Unrestricted Subsidiary, in each case only
to the extent such amounts increase the amount of Restricted Payments permitted
under paragraph (d) of the definition of Restricted Payment
Applicable Amount.

 

“Contingent Obligations” shall mean, with
respect to any Person, any obligation of such Person guaranteeing or having the
economic effect of guaranteeing any leases, dividends or other obligations
that, in each case, do not constitute Indebtedness (“primary obligations”)
of any other Person (the “primary obligor”) in any

 

9

 

manner,
whether directly or indirectly, including, without limitation, any obligation
of such Person, whether or not contingent,

 

(a)           to purchase any such primary
obligation or any property constituting direct or indirect security therefor,
or

 

(b)           to advance or supply funds

 

(i)      for the purchase of payment of any such
primary obligation, or

 

(ii)     to maintain working capital or equity
capital of the primary obligor or otherwise to maintain the net worth or
solvency of the primary obligor, or

 

(c)           to purchase property, securities or
services primarily for the purpose of assuring the owner of any such primary
obligation of the ability of the primarily obligor to make payment of such
primary obligation against loss in respect thereof, or

 

(d)           as
an account party in respect of any letter of credit, letter of guaranty or
bankers’ acceptance.

 

“Continuing Directors” shall mean the directors
of the Parent Borrower on the Closing Date, as elected or appointed after
giving effect to the Merger and the other transactions contemplated hereby, and
each other director, if, in each case, such other director’s nomination for
election to the board of directors of the Parent Borrower is approved by a
majority of the then Continuing Directors, such other director is appointed,
approved or recommended by a majority of the then Continuing Directors or such
other director receives the vote of the Permitted Investors or is designated or
appointed by the Permitted Investors in his or her election by the stockholders
of the Parent Borrower.

 

“Control” shall mean the possession, directly
or indirectly, of the power to direct or cause the direction of the management
or policies of a Person, whether through the ownership of voting securities, by
contract or otherwise, and the terms “Controlling” and “Controlled”
shall have meanings correlative thereto.

 

“Credit Event” shall have the meaning assigned
to such term in Section 4.01.

 

“Credit Facilities” shall mean the revolving
credit, swingline and letter of credit facilities, the dollar term loan
facility and the euro term loan facility, in each case contemplated by Section 2.01
and the incremental facilities, if any, contemplated by Section 2.24.

 

“Credit Increase” shall have the meaning
assigned to such term in Section 2.24(a).

 

“Current Assets” shall mean, at any time, (a) the
consolidated current assets (other than cash and Cash Equivalents) of the
Parent Borrower and its Restricted Subsidiaries that would, in
accordance with GAAP, be classified on a consolidated balance sheet of the
Parent Borrower and its Restricted Subsidiaries as current assets at such date
of determination, other than amounts related to current or deferred Taxes based
on income or profits (but excluding assets held for sale, loans (permitted) to
third parties, pension assets, deferred bank fees and derivative financial instruments)
and (b) in the event that a Receivables Facility is accounted for
off-balance sheet, (x) gross accounts receivable comprising part of the
assets subject to such Receivables Facility less (y) collections against
the amounts sold pursuant to clause (x).

 

“Current
Liabilities” shall mean, at any time, the consolidated current
liabilities of the Parent Borrower and its Restricted Subsidiaries that would,
in accordance with GAAP, be classified on a consolidated balance sheet
of the Parent Borrower and its Restricted Subsidiaries as current liabilities
at such date of determination, but excluding, without duplication, (a) the
current portion of any long-term Indebtedness, (b) outstanding Revolving
Loans, L/C Exposure and Swingline Loans, (c) accruals of
consolidated interest expense (excluding consolidated interest expense that is
due and unpaid), (d) accruals for current or deferred Taxes based on
income or profits, (e) accruals of

 

10

 

any
costs or expenses related to restructuring reserves to the extent permitted to
be included in the calculation of EBITDA pursuant to clause (a)(v) thereof
and (f) the current portion of pension liabilities.

 

“Default”
shall mean any event or condition which constitutes an Event of Default or
which upon notice, lapse of time or both would constitute an Event of Default.

 

“Defaulting Lender” shall mean any Lender that
(a) has failed (which failure has not been cured) to fund any portion of
the Revolving Loans, Term Loans or participations in the L/C Exposure required
to be funded by it hereunder on the date required to be funded by it hereunder,
(b) has otherwise failed (which failure has not been cured) to pay to the
Administrative Agent or any other Lender any other amount required to be paid
by it hereunder on the date when due, unless the subject of a good faith
dispute, (c) has notified the Administrative Agent and/or the Parent
Borrower that it does not intend to comply with the obligations under Sections 2.02,
2.22 or 2.23 or (d) is insolvent or is the subject of a
bankruptcy or insolvency proceeding.

 

“Designated Non-Cash Consideration” shall mean
the fair market value of non-cash consideration received by the Parent Borrower
or a Restricted Subsidiary in connection with a Disposition that is so
designated as Designated Non-Cash Consideration pursuant to an Officer’s
Certificate, setting forth the basis of such valuation, executed by a
Responsible Officer of the Parent Borrower, less the amount of cash or Cash
Equivalents received in connection with a subsequent sale of or collection on
such Designated Non-Cash Consideration.

 

“Designated Preferred Stock” shall mean
Preferred Stock of the Parent Borrower, a Restricted Subsidiary or any direct
or indirect parent corporation thereof (in each case other than Disqualified
Stock) that is issued for cash (other than to the Parent Borrower or a
Restricted Subsidiary or an employee stock ownership plan or trust established
by the Parent Borrower or its Subsidiaries) and is so designated as Designated
Preferred Stock, pursuant to an Officer’s Certificate executed by a Responsible
Officer of the Parent Borrower, on the issuance date thereof, the cash proceeds
of which are excluded from the calculation set forth in the definition of
Restricted Payment Applicable Amount.

 

“Disgorged Recovery” shall mean,  the portion, if any, of any payment or other
distribution received by a Lender in satisfaction of Obligations of a Loan Party
to such Lender, that is required in any Insolvency Proceedings or otherwise to
be disgorged, turned over or otherwise paid to such Loan Party, such Loan
Party’s estate or creditors of such Loan Party, whether because the transfer of
such payment or other property is avoided or otherwise, including, without
limitation, because it was determined to be a fraudulent or preferential
transfer.

 

“Disposition” shall mean:

 

(a)           the
sale, conveyance, transfer or other disposition, whether in a single
transaction or a series of related transactions, of property or assets
(including by way of a Sale and Lease-Back Transaction) of the Parent Borrower
or any of its Restricted Subsidiaries; or

 

(b)           the
issuance or sale of Equity Interests of any Restricted Subsidiary, whether in a
single transaction or a series of related transactions.

 

“Disqualified Institutions” shall mean
(a) those institutions set forth on Schedule 1.01(b) hereto
or otherwise identified in writing to the Administrative Agent from time to
time or (b) any Persons who are competitors of the Parent Borrower and its
subsidiaries as identified to the Administrative Agent in writing from time to
time.

 

“Disqualified Stock” shall mean, with respect
to any Person, any Capital Stock of such Person which, by its terms, or by the
terms of any security into which it is convertible or for which it is putable
or exchangeable, or upon the happening of any event, matures or is mandatorily
redeemable (other than solely for Capital Stock which is not Disqualified Stock)
pursuant to a sinking fund obligation or otherwise, or is redeemable at the
option of the holder thereof (in each case, other than solely as a result of a
change of control or asset sale, so long as any rights of the holders thereof
upon the occurrence of a change of control or asset sale shall be subject to
the occurrence of the Termination Date or such repurchase or redemption is
otherwise permitted by this Agreement (including as a result

 

11

 

of a
waiver or amendment hereunder)), in whole or in part, in each case prior to the
date 91 days after the Term Loan Maturity Date; provided,  however,  that if such
Capital Stock is issued to any plan for the benefit of employees of the Parent
Borrower or its subsidiaries or by any such plan to such employees, such
Capital Stock shall not constitute Disqualified Stock solely because it may be
required to be repurchased in order to satisfy applicable statutory or
regulatory obligations.

 

“Dollar Equivalent” shall mean, at any time,
(a) with respect to any amount denominated in dollars, such amount and
(b) with respect to any amount denominated in any Alternative Currency,
the equivalent amount thereof in dollars as determined by the Issuing Bank at
such time on the basis of the rate (as determined in accordance with Section 1.09
as of the date of the relevant determination) for the purchase of dollars with
such Alternative Currency.

 

“dollars” or “$” shall mean lawful money
of the United States of America.

 

“Dollar Term Loan” shall mean the dollar term
loans made by the Lenders to the Parent Borrower pursuant to Section 2.01(a).

 

“Dollar Term Loan Borrowing” shall mean a
Borrowing comprised of Dollar Term Loans.

 

“Dollar Term Loan Commitment” shall mean, with
respect to each Lender, the commitment of such Lender to make Dollar Term Loans
hereunder as set forth on Schedule 2.01, or in the Assignment and
Acceptance pursuant to which such Lender assumed its Dollar Term Loan
Commitment or Dollar Term Loans, as applicable, as the same may be
(a) reduced from time to time pursuant to Section 2.09 and
(b) reduced or increased from time to time pursuant to assignments by or
to such Lender pursuant to Section 9.04.

 

“Dollar Term Loan Lender” shall mean a Lender
with a Dollar Term Loan Commitment or an outstanding Dollar Term Loan.

 

“Domestic Obligations” shall mean the unpaid
principal of and interest on the Loans and all other obligations and
liabilities of the Parent Borrower or any other Loan Party (other than a
Foreign Subsidiary Borrower) to the Administrative Agent or any Lender, whether
direct or indirect, absolute or contingent, due or to become due, or now
existing or hereafter incurred, which may arise under, out of, or in connection
with, this Agreement, any other Loan Document and the Letters of Credit and
whether on account of principal, interest, reimbursement obligations, fees, indemnities,
costs, expenses (including all fees, charges and disbursements of counsel to
the Administrative Agent or any Lender that are required to be paid pursuant
hereto or any other Loan Document and including interest accruing after the
maturity of the Loans and L/C Disbursements and interest accruing after the
filing of any petition in bankruptcy, or the commencement of any insolvency,
reorganization or like proceeding, relating to a Loan Party, whether or not a
claim for post-filing or post-petition interest is allowed in such proceeding)
or otherwise.

 

“Domestic Subsidiaries” shall mean, with
respect to any Person, any subsidiary of such Person other than a Foreign
Subsidiary.

 

“EBITDA” shall mean, with respect to any Person for any
period, the Consolidated Net Income of such Person and its Restricted
Subsidiaries for such period

 

(a)           increased
(without duplication) by:

 

(i)            provision for taxes based on income
or profits or capital (or any alternative tax in lieu thereof), including,
without limitation, foreign, state, franchise and similar taxes and foreign
withholding taxes of such Person and such subsidiaries paid or accrued during
such period deducted (and not added back) in computing Consolidated Net Income,
including payments made pursuant to any tax sharing agreements or arrangements
among the Parent Borrower, its Restricted Subsidiaries and any direct or
indirect parent company of the Parent Borrower (so long as such tax sharing
payments are attributable to the operations of the Parent Borrower and its
Restricted Subsidiaries); plus

 

12

 

(ii)           Fixed Charges of such Person and such
subsidiaries for such period to the extent the same was deducted (and not added
back) in calculating such Consolidated Net Income; plus

 

(iii)          Consolidated Depreciation and
Amortization Expense of such Person and such subsidiaries for such period to
the extent the same were deducted (and not added back) in computing
Consolidated Net Income; plus

 

(iv)          any fees, costs, commissions, expenses
or other charges (other than Consolidated Depreciation or Amortization Expense
but including the effects of purchase accounting adjustments) related to the
Transactions, any issuance of Equity Interests, Investment, acquisition, disposition,
dividend or similar Restricted Payment, recapitalization or the incurrence,
repayment, amendment or modification of Indebtedness permitted to be incurred
under this Agreement (including a refinancing thereof) and any changes or
non-recurring merger costs incurred during such period (in each case whether or
not successful), including (w) any expensing of bridge, commitment or
other financing fees, (x) such fees, costs, commissions, expenses or other
charges related to the offering of the New Senior Notes, the New Mezzanine
Notes and the Credit Facilities, (y) any such fees, costs (including call
premium), commissions, expenses or other charges related to any amendment or
other modification of the Existing Notes, the New Senior Notes, the New
Mezzanine Notes and the Credit Facilities and (z) commissions, discounts,
yield and other fees and charges (including any interest expense) related to
any Receivables Facility, and, in each case, deducted (and not added back) in
computing Consolidated Net Income; plus

 

(v)           the amount of any business
optimization expense and restructuring charge or reserve deducted (and not
added back) in such period in computing Consolidated Net Income, including any
restructuring costs incurred in connection with acquisitions after the Closing
Date, costs related to the closure and/or consolidation of facilities,
retention charges, contract termination costs, future lease commitments,
systems establishment costs, conversion costs and excess pension charges,
consulting fees and any one-time expense relating to enhanced accounting function,
or costs associated with becoming a standalone entity or public company
incurred in connection with any of the foregoing; provided that the
aggregate amount of expenses added pursuant to this clause (v) shall
not exceed an amount equal to 10% of EBITDA of the Parent Borrower for the
period of four consecutive fiscal quarters most recently ended prior to the
determination date (without giving effect to any adjustments pursuant to this clause
(v) or clause (xii) below); plus

 

(vi)          any other non-cash charges, expenses
or losses including any write offs or write downs and any non-cash expense
relating to the vesting of warrants, reducing Consolidated Net Income for such
period (provided that if any such non-cash charges represent an accrual
or reserve for potential cash items in any future period, the cash payment in
respect thereof in such future period shall be subtracted from EBITDA in such
future period to the extent paid, and excluding amortization of a prepaid cash
item that was paid in a prior period); plus

 

(vii)         the amount of any minority interest
expense consisting of subsidiary income attributable to minority equity
interests of third parties in any non-Wholly-Owned Subsidiary deducted (and not
added back) in such period in calculating Consolidated Net Income; plus

 

(viii)        other than for the purpose of
determining the amount available for Restricted Payments under paragraph
(b) of the definition of Restricted Payment Applicable Amount, the
amount of management, monitoring, consulting, transaction and advisory fees and
related expenses paid in such period to the Sponsor to the extent otherwise permitted
under Section 6.06 deducted (and not added back) in computing
Consolidated Net Income; plus

 

13

 

(ix)           the amount of loss on sale of
receivables and related assets to the Receivables Subsidiary in connection with
a Receivables Facility deducted (and not added back) in computing Consolidated
Net Income; plus

 

(x)            (A) non-cash compensation
expense recorded from grants of stock appreciation or similar rights, stock
options, restricted stock or other rights and (B) other costs or expense
deducted (and not added back) in computing Consolidated Net Income pursuant to
any management equity plan or stock option plan or any other management or
employee benefit plan or agreement or any stock subscription or shareholder
agreement, to the extent that such cost or expenses are funded with cash
proceeds contributed to the capital of the Parent Borrower or net cash proceeds
of an issuance of Equity Interest of the Parent Borrower (other than
Disqualified Stock) solely to the extent that such net cash proceeds are
excluded from the calculation set forth in the definition of Restricted Payment
Applicable Amount; plus

 

(xi)           for the year ended December 31,
2006, $11,500,000 relating to prior cost-reduction actions, acquisitions and
signed agreements, recorded on a quarterly basis; plus

 

(xii)          the amount of net cost savings and
acquisition synergies projected by the Parent Borrower in good faith to be
realized during such period (calculated on a pro forma basis as though such
cost savings had been realized on the first day of such period) as a result of
actions taken or to be taken in connection with the Transactions or any
acquisition or disposition by the Parent Borrower or any Restricted Subsidiary,
net of the amount of actual benefits realized during such period that are
otherwise included in the calculation of EBITDA from such actions; provided
that (A) such cost savings are reasonably identifiable and factually
supportable and (B) such actions are taken within 18 months after the
Closing Date or the date of such acquisition or disposition and (C) the
aggregate amount of cost savings added pursuant to this clause (xii) shall not
exceed an amount equal to the greater of (x) $35,000,000 and (y) 10% of EBITDA
of the Parent Borrower for the period of four consecutive fiscal quarters most
recently ended prior to the determination date (without giving effect to any
adjustments pursuant to clause (v) above or this clause (xii));
plus

 

(xiii)         any net after-tax non-recurring,
extraordinary or unusual gains or losses (less all fees and expenses relating
thereto) or expenses; plus

 

(xiv)        to the extent covered by insurance and
actually reimbursed or otherwise paid, or, so long as the Parent Borrower has
made a determination that there exists reasonable evidence that such amount
will in fact be reimbursed or otherwise paid by the insurer and only to the
extent that such amount is (A) not denied by the applicable carrier in
writing within 180 days and (B) in fact reimbursed or otherwise paid
within 365 days of the date of such evidence (with a deduction for any amount
so added back to the extent not so reimbursed or otherwise paid within such 365
days), expenses with respect to liability or casualty events and expenses or
losses relating to business interruption; plus

 

(xv)         expenses to the extent covered by
contractual indemnification or refunding provisions in favor of the Parent
Borrower or a Restricted Subsidiary and actually paid or refunded, or, so long
as the Parent Borrower has made a determination that there exists reasonable
evidence that such amount will in fact be paid or refunded by the indemnifying
party or other obligor and only to the extent that such amount is (A) not
denied by the applicable indemnifying party or obligor in writing within 90
days and (B) in fact reimbursed within 180 days of the date of such
evidence (with a deduction for any amount so added back to the extent not so
reimbursed within such 180 days); plus

 

(xvi)        any non-cash increase in expenses
(A) resulting from the reevaluation of inventory (including any impact of
changes to inventory valuation policy methods including

 

14

 

changes in capitalization of variances) or
(B) due to purchase accounting associated with the Transactions; plus

 

(xvii)       the amount of loss from the early
extinguishment of Indebtedness or Hedging Obligations or other derivative instruments

 

(b)           decreased
by (without duplication) (i) non-cash gains increasing Consolidated Net Income
of such Person and such subsidiaries for such period, excluding any non-cash
gains to the extent they represent the reversal of an accrual or reserve for a
potential cash item that reduced EBITDA in any prior period and (ii) the
minority interest income consisting of subsidiary losses attributable to
minority equity interests of third parties in any non-Wholly-Owned Subsidiary
to the extent such minority interest income is included in Consolidated Net
Income; and

 

(c)           increased
or decreased by (without duplication):

 

(i)            any net gain or loss resulting in
such period from Hedging Obligations and the application of Statement of
Financial Accounting Standards No. 133 and International Accounting
Standards No. 39 and their respective related pronouncements and interpretations;
plus or minus, as applicable,

 

(ii)           any net gain or loss included in
calculating Consolidated Net Income resulting in such period from currency
translation gains or losses related to currency remeasurements of indebtedness
(including any net loss or gain resulting from hedge agreements for currency
exchange risk), plus or minus, as applicable,

 

(iii)           the cumulative effect of a change in
accounting principles during such period, plus or minus, as applicable,

 

(iv)           any net gain or loss from disposed or
discontinued operations and any net gains or losses on disposal of disposed,
abandoned or discontinued operations, plus or minus, as applicable,

 

(v)            the amount of gains or losses (less
all accrued fees and expenses relating thereto) attributable to asset
dispositions other than in the ordinary course of business, plus or minus, as
applicable,

 

(vi)           accruals and reserves that are
established within twelve months after the Closing Date that are so required to
be established as a result of the Transactions in accordance with GAAP.

 

“ECF Percentage” shall mean, with respect to
any fiscal year, 50%; provided, however, if the Total Net
Leverage Ratio as of the end of a fiscal year is (a) less than or equal to
5.50 to 1.00 but greater than 4.00 to 1.00, then the ECF Percentage with
respect to such fiscal year shall mean 25% and (b) less than or equal to
4.00 to 1.00, then the ECF Percentage with respect to such fiscal year shall
mean 0%.

 

“Eligible Assignee” shall have the meaning
assigned to such term in Section 9.04(b).

 

“EMU” shall mean economic and monetary union as
contemplated in the Treaty on European Union.

 

“Environmental Laws” shall mean all applicable
Federal, state, local and foreign laws (including common law), treaties,
regulations, rules, ordinances, codes, decrees, judgments, directives and
orders (including consent orders), having the force and effect of law, in each
case, relating to protection of the environment or natural resources, or to
human health and safety as it relates to environmental protection.

 

15

 

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

 

“Equity Investment” shall have the meaning
assigned to such term in the recitals.

 

“Equity Offering” shall mean any public or
private sale of common stock or Preferred Stock of the Parent Borrower or of a
direct or indirect parent of the Parent Borrower (excluding Disqualified
Stock), other than:

 

(a)           public
offerings with respect to any such Person’s common stock registered on
Form S-4 or S-8;

 

(b)           issuances
to the Parent Borrower or any subsidiary of the Parent Borrower; and

 

(c)           any
such public or private sale that constitutes an Excluded Contribution.

 

“ERISA” shall mean the Employee Retirement
Income Security Act of 1974, as the same may be amended from time to time.

 

“ERISA Affiliate” shall mean any trade or
business (whether or not incorporated) that is under common control with any
Loan Party under Section 414 of the Code or Section 4001 of ERISA.

 

“ERISA Event” shall mean (a) any
“reportable event”, as defined in Section 4043 of ERISA or the regulations
issued thereunder, but excluding any event for which the 30-day notice period
is waived, with respect to a Pension Plan, (b) any “accumulated funding
deficiency” (as defined in Section 412 of the Code or Section 302 of
ERISA), whether or not waived, or the failure to satisfy any statutory funding
requirement that results in a Lien, with respect to a Pension Plan,
(c) the incurrence by any Loan Party or an ERISA Affiliate of any
liability under Title IV of ERISA with respect to the termination of any
Pension Plan or the withdrawal or partial withdrawal of any Loan Party or an
ERISA Affiliate from any Pension Plan or Multiemployer Plan, (d) the
filing or a notice of intent to terminate, the treatment of a Pension Plan
amendment as a termination under Sections 4041 or 4041A of ERISA, or the receipt
by any Loan Party or any ERISA Affiliate from the PBGC or a plan administrator
of any notice of intent to terminate any Pension Plan or Multiemployer Plan or
to appoint a trustee to administer any Pension Plan, (e) the adoption of
any amendment to a Pension Plan that would require the provision of security
pursuant to the Code, ERISA or other applicable law, (f) the receipt by
any Loan Party or any ERISA Affiliate of any notice concerning statutory
liability arising from the withdrawal or partial withdrawal of any Loan Party
or any ERISA Affiliate from a Multiemployer Plan or a determination that a
Multiemployer Plan is, or is expected to be, insolvent or in reorganization,
within the meaning of Title IV of ERISA, (g) the occurrence of a
“prohibited transaction” (within the meaning of Section 4975 of the Code)
with respect to which the Parent Borrower or any Restricted Subsidiary is a
“disqualified person” (within the meaning of Section 4975 of the Code) or
with respect to which the Parent Borrower or any Restricted Subsidiary could
reasonably be expected to have any liability, (h) any event or condition
which constitutes grounds under Section 4042 of ERISA for the termination
of any Pension Plan or Multiemployer Plan or the appointment of a trustee to administer
any Pension Plan or (i) any other extraordinary event or condition with respect
to a Pension Plan or Multiemployer Plan which could reasonably be expected to
result in a Lien or any acceleration of any statutory requirement to fund all
or a substantial portion of the unfunded accrued benefit liabilities of such
plan.

 

“EURIBOR Rate” shall mean, with respect to any
Eurodollar Borrowing of Euro Term Loans for any Interest Period, the rate per
annum determined
by the Banking Federation of the European Union for the relevant Interest
Period, in each case displayed on the appropriate page of the Telerate
screen on the date that is 2 Business Days prior to the commencement of
such Interest Period for a period equal to such Interest Period; provided
that to the extent that an interest rate is not ascertainable pursuant to the
foregoing provisions of this definition, the “EURIBOR Rate” shall be the arithmetic mean of the rates
(rounded upwards to four decimal places) as supplied to the Administrative
Agent at its request quoted by three major banks selected by the Administrative
Agent to leading banks in the European interbank market, at or about
11 a.m. Brussels time on the date that is 2 Business Days prior to
the beginning of such Interest Period.

 

16

 

“euro” and “€” shall mean the single
currency of participating member states of the EMU.

 

“Eurodollar”, when used in reference to any
Loan or Borrowing, refers to whether such Loan, or the Loans comprising such
Borrowing, are bearing interest at a rate determined by reference to the
Adjusted LIBO Rate.

 

“Euro Term Loan” shall mean the euro term loans
made by the Lenders to the Parent Borrower pursuant to Section 2.01(b).

 

“Euro Term Loan Borrowing” shall mean a
Borrowing comprised of Euro Term Loans.

 

“Euro Term Loan Commitment” shall mean, with
respect to each Lender, the commitment of such Lender to make Euro Term Loans
hereunder as set forth on Schedule 2.01, or in the Assignment and
Acceptance pursuant to which such Lender assumed its Euro Term Loan Commitment
or Euro Term Loans, as applicable, as the same may be (a) reduced from
time to time pursuant to Section 2.09 and (b) reduced or
increased from time to time pursuant to assignments by or to such Lender
pursuant to Section 9.04.

 

“Euro Term Loan Lender” shall mean a Lender
with a Euro Term Loan Commitment or an outstanding Euro Term Loan.

 

“Event of Default” shall have the meaning
assigned to such term in Article VII.

 

“Excess Cash Flow”
shall mean, for any fiscal year of the Parent Borrower, an amount, derived solely
from the U.S. operations of the Parent Borrower and its domestic subsidiaries,
repayments (net of all Taxes payable upon the repatriation of any such amounts)
under the Existing Intercompany Debt (excluding repayments of the proceeds of
which are used to repay Revolving Loans made on the Closing Date) and dividends
(net of all Taxes payable upon the repatriation of any such amounts) from
Foreign Subsidiaries, equal to:

 

(a)           the sum, without duplication, of

 

(i)            EBITDA;

 

(ii)           reductions to
working capital of the Parent Borrower and its Restricted Subsidiaries (i.e.,
the decrease, if any, in Current Assets minus Current Liabilities from the
beginning to the end of such fiscal year), but excluding any such reductions in
working capital arising from the acquisition of any Person by the Parent
Borrower and/or the Restricted Subsidiaries;

 

(iii)          foreign currency
translation gains received in cash related to currency remeasurements of
indebtedness (including any net cash gain resulting from hedge agreements for
currency exchange risk), to the extent not otherwise included in calculating
EBITDA;

 

(iv)          net cash gains
resulting in such period from Hedging Obligations and the application of Statement
of Financial Accounting Standards No. 133 and International Accounting
Standards No. 39 and their respective pronouncements and interpretations;

 

(v)           extraordinary,
unusual or nonrecurring cash gains (other than gains on Dispositions), to the
extent not otherwise included in calculating EBITDA; and

 

(vi)          to the extent not
otherwise included in calculating EBITDA, cash gains from any sale or disposition
outside the ordinary course of business;

 

minus

 

(b)           the sum, without duplication, of

 

17

 

(i)            the amount of any
Taxes, including Taxes based on income, profits or capital, (or alternative tax
in lieu thereof), foreign, state, franchise and similar Taxes, foreign
withholding Taxes and foreign unreimbursed value added Taxes (to the extent
added in calculating EBITDA), and including penalties and interest on any of
the foregoing, in each case, paid in cash by the Parent Borrower and its
Restricted Subsidiaries (to the extent not otherwise deducted in calculating
EBITDA), including payments made pursuant to any tax sharing agreements or
arrangements among the Parent Borrower, its Restricted Subsidiaries and any
direct or indirect parent company of the Parent Borrower (so long as such tax
sharing payments are attributable to the operations of the Parent Borrower and
its Restricted Subsidiaries);

 

(ii)           Consolidated
Interest Expense, to the extent payable in cash and not otherwise deducted in
calculating EBITDA;

 

(iii)          foreign currency
translation losses payable in cash related to currency remeasurements of
indebtedness (including any net cash loss resulting from hedge agreements for
currency risk), to the extent not otherwise deducted in calculating EBITDA;

 

(iv)          without duplication
of amounts deducted pursuant to clause (xviii) below in a prior fiscal
year, Capital Expenditures of the Parent Borrower and its subsidiaries made in
cash, to the extent financed with Internally Generated Cash;

 

(v)           repayments of
long-term Indebtedness (including (A) the principal component of
Capitalized Lease Obligations and (B) the amount of repayment of Loans
pursuant to Section 2.11 and, to the extent made with the Net Cash
Proceeds of a Prepayment Asset Sale that resulted in an increase to
Consolidated Net Income and not in excess of the amount of such increase, Section 2.13(b),
but excluding all other prepayments of the Loans), made by the Parent Borrower
and its Restricted Subsidiaries, but only to the extent that such repayments
(x) by their terms cannot be reborrowed or redrawn and (y) are not
financed with the proceeds of long-term Indebtedness (other than revolving
Indebtedness);

 

(vi)          additions to working
capital (i.e., the increase, if any, in Current Assets minus Current
Liabilities from the beginning to the end of such fiscal year), but excluding
any such additions to working capital arising from the acquisition of any
Person by the Parent Borrower and/or the Restricted Subsidiaries;

 

(vii)         without duplication
of amounts deducted pursuant to clause (xviii) below in a prior fiscal
year, the amount of Investments made by the Parent Borrower and its Restricted
Subsidiaries pursuant to Section 6.03 (other than Permitted
Investments in (x) Cash Equivalents and Government Securities and
(y) the Parent Borrower or any of its Restricted Subsidiaries), in cash, to the extent such
Investments were financed with Internally Generated Cash;

 

(viii)        letter of credit
fees paid in cash, to the extent not otherwise deducted in calculating EBITDA;

 

(ix)           extraordinary,
unusual or nonrecurring cash charges, to the extent not otherwise deducted in
calculating EBITDA;

 

(x)            cash fees and
expenses incurred in connection with the Transactions, any Investment permitted
under Section 6.03, any disposition not prohibited under Section 6.05,
any recapitalization, any Equity Offering, the issuance of any Indebtedness or
any exchange, refinancing or other early extinguishment of Indebtedness
permitted by this Agreement (in each case, whether or not consummated);

 

(xi)           cash charges,
expenses or losses added to EBITDA pursuant to clauses (a)(v), (ix),
(x), (xi) and (xii) thereof;

 

18

 

(xii)          the amount of management, monitoring,
consulting, transactional and advisory fees and related expenses paid to the
Sponsor permitted by Section 6.06, to the extent not otherwise deducted in
calculating EBITDA;

 

(xiii)         the amount of
Restricted Payments made by the Parent Borrower to the extent permitted by clauses
(iv), (xv) (but, with respect to Section 6.03(b)(xv)(H),
only to the extent such amounts would have been permitted to be deducted under clause (b) of
this definition if the Parent Borrower or Restricted Subsidiary had instead
made such Investment) and (xx) of Section 6.03(b) to
the extent that such Restricted Payments were financed with Internally
Generated Cash;

 

(xiv)        cash expenditures in
respect of Hedging Obligations (including net cash losses resulting in such
period from Hedging Obligations and the application of Statement of Financial
Accounting Standards No. 133 and International Accounting Standards
No. 39 and their respective pronouncements and interpretations), to the
extent not otherwise deducted in calculating EBITDA;

 

(xv)         to the extent added
to Consolidated Net Income, cash losses from any sale or disposition outside
the ordinary course of business;

 

(xvi)        cash payments by the
Parent Borrower and its Restricted Subsidiaries in respect of long-term
liabilities (other than Indebtedness) of the Parent Borrower and its Restricted
Subsidiaries;

 

(xvii)       the aggregate amount
of expenditures actually made by the Parent Borrower and its Restricted
Subsidiaries in cash (including expenditures for the payment of financing fees)
to the extent that such expenditures are not expensed; and

 

(xviii)      without duplication
of amounts deducted from Excess Cash Flow in a prior fiscal year, the aggregate
consideration required to be paid in cash by the Parent Borrower and its
Restricted Subsidiaries pursuant to binding contracts (the “Contract
Consideration”) entered into prior to or during such fiscal year relating
to Investments permitted under Section 6.03  (other than
Investments in (x) Cash Equivalents and Government Securities and (y) the
Parent Borrower or any of its Restricted Subsidiaries) or Capital Expenditures to be
consummated or made during the period of 4 consecutive fiscal quarters of the
Parent Borrower following the end of such fiscal year provided
that to the extent the aggregate amount of Internally Generated Cash actually
utilized to finance such Capital Expenditures or Investments during such period
of 4 consecutive fiscal quarters is less than the Contract Consideration, the
amount of such shortfall shall be added to the calculation of Excess Cash Flow
at the end of such period of 4 consecutive fiscal quarters.

 

“Excluded
Contributions” shall mean net cash proceeds, marketable securities or
Qualified Proceeds received by or contributed to the Parent Borrower from,

 

(a)           contributions
to its common equity capital, and

 

(b)           the
sale (other than to the Parent Borrower or a Subsidiary of the Parent Borrower
or to any management equity plan or stock option plan or any other management
or employee benefit plan or agreement of the Parent Borrower or a Subsidiary of
the Parent Borrower) of Capital Stock (other than Disqualified Stock and Designated
Preferred Stock) of the Parent Borrower,

 

in each case, designated as Excluded Contributions
pursuant to an Officer’s Certificate on the date such capital contributions are
made or the date such Equity Interests are sold, as the case may be, which are
excluded from the calculation of the Restricted Payment Applicable Amount.

 

“Excluded Parties”
shall have the meaning assigned to such term in Section 9.16.

 

19

 

 “Excluded Subsidiary” shall mean
(a) any subsidiary that is not a Wholly-Owned Subsidiary, (b) any Immaterial
Subsidiary, (c) any subsidiary that is prohibited by applicable law or
contractual obligations from guaranteeing the Obligations, (d) any
Restricted Subsidiary acquired pursuant to an acquisition permitted by Section 6.03
financed with secured Indebtedness permitted to be incurred pursuant to Section 6.01(b)(xi)
(but only to the extent such Indebtedness is otherwise permitted to be secured
under clause (ff) of the definition of Permitted Liens) and Section 6.01(b)(xviii)
and each Restricted Subsidiary thereof that guarantees such Indebtedness; provided
that each such Restricted Subsidiary shall cease to be an Excluded Subsidiary
under this clause (d) if such secured Indebtedness is repaid or
becomes unsecured or if such Restricted Subsidiary ceases to guarantee such
secured Indebtedness, as applicable, (e) any Unrestricted Subsidiary,
(f) any direct or indirect Domestic Subsidiary of a direct or indirect
Foreign Subsidiary, (g) any captive insurance subsidiary, (h) any
not-for-profit subsidiary, (i) any other subsidiary with respect to which
in the reasonable judgment of the Administrative Agent and the Parent Borrower,
the cost or other consequences of providing a guarantee of the Obligations
shall be excessive in view of the benefits to be obtained by the Lenders
therefrom (it being agreed that the cost and other consequences of a Foreign
Subsidiary providing a guarantee are excessive in view of the benefits), (j)
any Receivables Subsidiary, (k) any subsidiary that is a special purpose
entity, (l) CDRV Holdings, Inc. and (m) CDRV Investment Holdings
Corporation.

 

“Excluded Taxes” shall mean, with respect to
the Administrative Agent, any Lender, the Issuing Bank or any other recipient
of any payment to be made by or on account of any obligation of the Borrowers
hereunder, (a) income Taxes imposed on (or measured by) its income and
franchise (and similar) Taxes imposed on it in lieu of income Taxes pursuant to
the laws of the United States of America, or by the jurisdiction in which such
recipient is organized or in which the principal office or applicable lending
office of such recipient is located (or any political subdivision thereof),
(b) any branch profits Taxes imposed by the United States of America or
any similar Tax imposed by any other jurisdiction described in clause (a) above
and (c) in the case of a recipient (other than an assignee pursuant to a
request by the Parent Borrower under Section 2.21(a)), any
withholding Tax that (i) is imposed on amounts payable to such recipient
at the time such recipient becomes a party to this Agreement (or designates a
new lending office) or (ii) is attributable to such recipient’s failure to
comply with Section 2.20(e), (f) or (g), as
applicable, except in the case of clause (i) to the extent
that such recipient (or its assignor, if any) was entitled, at the time of
designation of a new lending office (or assignment), to receive additional
amounts from the Borrowers with respect to such withholding tax pursuant to Section 2.20(a).

 

“Existing Debt” shall mean Indebtedness (other
than letters of credit which constitute Existing Letters of Credit) outstanding
under that certain Credit Agreement dated as of April 7, 2004, as amended,
by and among VWR International, Inc. and the foreign subsidiary borrowers
from time to time party thereto, as borrowers thereunder, the lenders from time
to time party thereto, Deutsche Bank AG, New York Branch, as administrative
agent and L/C issuer, and the other agents party thereto.

 

“Existing Intercompany Debt” shall mean the
intercompany Indebtedness among the Company and its Foreign Subsidiaries
outstanding on the Closing Date and identified as such on Schedule 6.01.

 

“Existing Letters of Credit” shall mean all
letters of credit outstanding on the Closing Date as more fully described on Schedule 1.01(c).

 

“Existing Notes” shall mean VWR International, Inc.’s
67⁄8% Senior Notes due 2012, VWR International, Inc.’s 8% Senior
Subordinated Notes due 2014, CDRV Investment Holdings Corporation’s 95⁄8%
Senior Discount Notes due 2015 and the Parent Borrower’s Senior Floating Rate
Notes due 2011.

 

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

 

“Fee Letter” shall mean the Fee Letter, dated
the Closing Date, among the Parent Borrower and the Arrangers.

 

20

 

“Fees” shall mean the Commitment Fee, the
Administration Fee, the L/C Participation Fee and the Issuing Bank Fee.

 

“Financial Officer” of any Person shall mean
the chief executive officer, the president, chief financial officer, principal
accounting officer, treasurer, assistant treasurer or controller of such
Person.

 

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

 

(a)           Consolidated
Interest Expense of such Person and Restricted Subsidiaries for such period;
plus

 

(b)           all
cash dividends or other distributions paid to any Person other than such Person
or any such Subsidiary (excluding items eliminated in consolidation) on any
series of Preferred Stock of the Parent Borrower or a Restricted Subsidiary
during such period; plus

 

(c)           all
cash dividends or other distributions paid to any Person other than such Person
or any such Subsidiary (excluding items eliminated in consolidation) on any
series of Disqualified Stock of the Parent Borrower or a Restricted Subsidiary
during such period.

 

“Foreign Lender” shall mean any Lender or
Issuing Bank that is organized under the laws of a jurisdiction other than that
in which the Parent Borrower is located, unless such Lender or Issuing Bank is
a disregarded entity for U.S. federal income tax purposes owned by a non-disregarded
U.S. entity.  For purposes of this
definition, the United States of America, each State thereof and the District
of Columbia shall be deemed to constitute a single jurisdiction.

 

“Foreign Obligations” shall mean the unpaid
principal of and interest on the Loans and all other obligations and
liabilities of any Foreign Subsidiary Borrower to the Administrative Agent or
any Lender, whether direct or indirect, absolute or contingent, due or to become
due, or now existing or hereafter incurred, which may arise under, out of, or
in connection with, this Agreement, any other Loan Document and the Letters of
Credit and whether on account of principal, interest, reimbursement
obligations, fees, indemnities, costs, expenses (including all fees, charges and
disbursements of counsel to the Administrative Agent or any Lender that are
required to be paid pursuant hereto or any other Loan Document and including
interest accruing after the maturity of the Loans and L/C Disbursements and
interest accruing after the filing of any petition in bankruptcy, or the
commencement of any insolvency, reorganization or like proceeding, relating to
a Loan Party, whether or not a claim for post-filing or post-petition interest
is allowed in such proceeding) or otherwise.

 

“Foreign Plan” shall mean any pension plan,
fund or other similar program (other than a government-sponsored plan) that
(a) primarily covers employees of any Loan Party and/or any of its
Restricted Subsidiaries who are employed outside of the United States and
(b) is subject to any statutory funding requirement as to which the
failure to satisfy results in a Lien or other statutory requirement permitting
any governmental authority to accelerate the obligation of the Parent Borrower
or any Restricted Subsidiary to fund all or a substantial portion of the unfunded,
accrued benefit liabilities of such plan.

 

“Foreign Subsidiary” shall mean, with respect
to any Person, (a) any subsidiary of such Person that is organized and
existing under the laws of any jurisdiction outside the United States of
America or (b) any subsidiary of such Person that has no material assets
other than the Capital Stock of one or more subsidiaries described in clause
(a) and other assets relating to an ownership interest in any such Capital
Stock or subsidiaries.

 

“Foreign Subsidiary Borrower” shall mean any
Foreign Subsidiary which is listed as a Foreign Subsidiary Borrower on Schedule B,
as such schedule may be amended from time to time pursuant to Section 9.08(g) (including,
without limitation, the delivery of the documents required by Section 9.08(g));
provided that, with respect to each such listed Foreign Subsidiary, its
status as a Foreign Subsidiary Borrower hereunder shall not be effective until
such Foreign Subsidiary and its subsidiaries shall have become a Grantor, to
the extent applicable, under and as defined in the Guarantee and Collateral
Agreement or shall otherwise have entered into collateral and security
documents reasonably satisfactory to the Administrative Agent and providing, to
the extent reasonably

 

21

 

practicable
under relevant law, substantially the equivalent of the lien and security
interests contemplated to be provided by Grantors under the Guarantee and
Collateral Agreement.

 

“Foreign Subsidiary Borrower Sublimit” shall
have the meaning assigned to such term in Section 2.01(c).

 

 “Foreign Subsidiary Reorganization”
shall mean the reorganization of
the Parent Borrower’s Foreign Subsidiaries (including the creation of a new
holding company subsidiary to hold substantially all of the capital stock of the
Parent Borrower’s Foreign Subsidiaries).

 

“GAAP” shall mean United States generally
accepted accounting principles.

 

“Government Securities”  shall
mean securities that are:

 

(a)           direct
obligations of the United States of America for the timely payment of which its
full faith and credit is pledged; or

 

(b)           obligations
of a Person controlled or supervised by and acting as an agency or instrumentality
of the United States of America the timely payment of which is unconditionally
guaranteed as a full faith and credit obligation by the United States of
America, which, in either case, are not callable or redeemable at the option of
the issuer thereof, and shall also include a depository receipt issued by a
bank (as defined in Section 3(a)(2) of the Securities Act), as
custodian with respect to any such Government Securities or a specific payment
of principal of or interest on any such Government Securities held by such custodian
for the account of the holder of such depository receipt; provided that
(except as required by law) such custodian is not authorized to make any
deduction from the amount payable to the holder of such depository receipt from
any amount received by the custodian in respect of the Government Securities or
the specific payment of principal of or interest on the Government Securities
evidenced by such depository receipt.

 

“Governmental Authority” shall mean the
government of the United States of America or any other nation, any political
subdivision thereof, whether state or local, and any agency, authority,
instrumentality, regulatory body, court, central bank or other entity
exercising executive, legislative, judicial, taxing, regulatory or
administrative powers or functions of or pertaining to government.

 

“Granting Lender” shall have the meaning
assigned to such term in Section 9.04(i).

 

“Guarantee and Collateral Agreement” shall mean
the Guarantee and Collateral Agreement, substantially in the form of Exhibit D,
among the Loan Parties party thereto and the Collateral Agent for the benefit of
the Secured Parties.

 

“Guarantors” shall mean Intermediate Holdco and
the Subsidiary Guarantors.

 

“Hazardous Materials” shall mean any material,
substance or waste classified, characterized or regulated as “hazardous,”
“toxic,” “pollutant” or “contaminant” under any Environmental Laws.

 

“Hedging Obligations” shall mean, with respect
to any Person, the obligations of such Person under any interest rate swap
agreement, interest rate cap agreement, interest rate collar agreement,
commodity swap agreement, commodity cap agreement, commodity collar agreement,
foreign exchange contract, currency swap agreement or similar agreement
providing for the transfer of mitigation of interest rate or currency risks
either generally or under specific contingencies.

 

“Holdings” shall have the meaning assigned to
such term in the recitals and shall include any successors to such Person or
assigns.

 

“Immaterial Subsidiary” shall mean all
Restricted Subsidiaries of the Parent Borrower (other than any Foreign
Subsidiary Borrower) for which (a) (i) the assets of such Restricted
Subsidiary constitute less than 2.5% of

 

22

 

the
total assets of the Parent Borrower and its Restricted Subsidiaries on a
consolidated basis and (ii) the EBITDA of such Restricted Subsidiary
accounts for less than 2.5% of the EBITDA of the Parent Borrower and its
Restricted Subsidiaries on a consolidated basis and (b) thereafter,
(i) the assets of all relevant Restricted Subsidiaries constitute 5.0% or
less than the total assets of the Parent Borrower and its Restricted
Subsidiaries on a consolidated basis, and (ii) the EBITDA of all relevant
Restricted Subsidiaries accounts for less than 5.0% of the EBITDA of the Parent
Borrower and its Restricted Subsidiaries on a consolidated basis.  The Immaterial Subsidiaries as of the Closing
Date are listed on Schedule 1.01(d).

 

“Incremental
Amendment” shall have the meaning assigned to such term in Section 2.24(b).

 

“Incremental Facility Closing Date” shall have
the meaning assigned to such term in Section 2.24(b).

 

“Incremental
Term Loans” shall have the meaning assigned to such term in Section 2.24(a).

 

“Indebtedness” shall mean, with respect to any
Person, without duplication:

 

(a)           any
indebtedness (including principal and premium) of such Person, whether or not
contingent

 

(i)            in respect of borrowed money;

 

(ii)           evidenced by bonds, notes, debentures
or similar instruments;

 

(iii)          evidenced by letters of credit or
bankers’ acceptances (or, without duplication, reimbursement agreements in respect
thereof);

 

(iv)          Capitalized Lease Obligations;

 

(v)           representing the balance deferred and
unpaid of the purchase price of any property (other than Capitalized Lease
Obligations), except (A) any such balance that constitutes a trade payable
or similar obligation to a trade creditor, in each case accrued in the ordinary
course of business, (B) liabilities accrued in the ordinary course of
business and (C) earn-outs and other contingent payments in respect of
acquisitions except to the extent that the liability on account of any such
earn-outs or contingent payment becomes fixed; or

 

(vi)          representing any Hedging Obligations;

 

if and
to the extent that any of the foregoing Indebtedness (other than letters of
credit, bankers’ acceptances and Hedging Obligations) would appear as a
liability upon a balance sheet (excluding the footnotes thereto) of such Person
prepared in accordance with GAAP;

 

(b)           to
the extent not otherwise included, any obligation by such Person to be liable
for, or to pay, as obligor, guarantor or otherwise, on the obligations of the
type referred to in clause (a) of a third Person (whether or not
such items would appear upon the balance sheet of such obligor or guarantor),
other than by endorsement of negotiable instruments for collection in the
ordinary course of business; and

 

(c)           to
the extent not otherwise included, the obligations of the type referred to in clause (a) of
a third Person secured by a Lien on any asset owned by such first Person,
whether or not such Indebtedness is assumed by such first Person;

 

provided, however, that
notwithstanding the foregoing, Indebtedness shall be deemed not to include
(x) Contingent Obligations incurred in the ordinary course of business and
(y) obligations under or in respect of Receivables Facilities.  The amount of Indebtedness of any person
under clause (c) above shall be deemed to equal the lesser of (x) the
aggregate unpaid amount of such Indebtedness secured by such Lien and (y) the
fair market value of the property encumbered thereby as determined by such
person in good faith.

 

23

 

“Indemnified Taxes” shall mean Taxes other than
Excluded Taxes and Other Taxes.

 

“Indemnitee” shall have the meaning assigned to
such term in Section 9.05(b).

 

“Independent Financial Advisor” shall mean an
accounting, appraisal, investment banking firm or consultant to Persons engaged
in Similar Businesses of nationally recognized standing that is, in the good
faith judgment of the Parent Borrower, qualified to perform the task for which
it has been engaged.

 

“Insolvency Proceedings” shall mean, with
respect to any Person, any case or proceeding with respect to such Person under
U. S. federal bankruptcy laws or any other state, federal or foreign
bankruptcy, insolvency, reorganization, liquidation, receivership, or other
similar law, or the appointment, whether at common law, in equity or otherwise,
of any trustee, custodian, receiver, liquidator or the like for all or any
material portion of the property of such Person.

 

“Intellectual Property Security Agreement”
shall mean any of the following agreements executed on or after the Closing
Date (a) a Trademark Security Agreement substantially in the form of Exhibit F-1,
(b) a Patent Security Agreement substantially in the form of Exhibit F-2
or (c) a Copyright Security Agreement substantially in the form of Exhibit F-3.

 

“Intermediate Holdco” shall have the meaning
assigned to such term in the recitals and shall include any successors to such
Person or assigns.

 

“Interest Payment Date” shall mean
(a) with respect to any ABR Loan (including any Swingline Loan), the last
day of each March, June, September and December, commencing
September 30, 2007 and (b) with respect to any Eurodollar Loan,
the last day of the Interest Period applicable to such Loan and, in the case of
a Eurodollar Borrowing with an Interest Period of more than 3 months’ duration,
each day that would have been an Interest Payment Date had successive Interest
Periods of 3 months’ duration been applicable to such Borrowing.

 

“Interest Period” shall mean (a) with
respect to any Eurodollar Borrowing, the period commencing on the date of such
Borrowing and ending on the numerically corresponding day (or, if there is no
numerically corresponding day, on the last day) in the calendar month that is
1, 2, 3 or 6 (or 9 or 12, with the consent of all of the
relevant Lenders) months (or such other periods acceptable to the Lenders)
thereafter, as the relevant Borrower may elect; provided, however,
that if any Interest Period would end on a day other than a Business Day, such
Interest Period shall be extended to the next succeeding Business Day unless
such next succeeding Business Day would fall in the next calendar month, in
which case such Interest Period shall end on the next preceding Business Day
and (b) with respect to any BA Rate Loan, the applicable BA Interest
Period. Interest shall accrue from and including the first day of an Interest
Period to but excluding the last day of such Interest Period. For purposes
hereof, the date of a Borrowing initially shall be the date on which such
Borrowing is made and thereafter shall be the effective date of the most recent
conversion or continuation of such Borrowing.

 

“Internally Generated Cash” shall mean any
amount expended by the Parent Borrower and its Restricted Subsidiaries and not
representing (a) a reinvestment by the Parent Borrower or any Restricted
Subsidiaries of the Net Cash Proceeds of any Prepayment Asset Sale outside the
ordinary course of business or Property Loss Event, (b) the proceeds of
any issuance of any Disqualified Stock, Preferred Stock or long-term
Indebtedness of the Parent Borrower or any Restricted Subsidiary (other than
Indebtedness under any revolving credit facility) or (c) any credit
received by the Parent Borrower or any Restricted Subsidiary with respect to
any trade in of property for substantially similar property or any “like kind
exchange” of assets.

 

“Investment Grade Rating” shall mean a rating
equal to or higher than Baa3 (or the equivalent) by Moody’s and BBB- (or the
equivalent) by S&P, or an equivalent rating by any other Rating Agency.

 

“Investment Grade Securities” shall mean:

 

(a)           securities
issued or directly and fully guaranteed or insured by the United States government
or any agency or instrumentality thereof (other than Cash Equivalents);

 

24

 

(b)           debt
securities or debt instruments with an Investment Grade Rating, but excluding
any debt securities or instruments constituting loans or advances among the
Parent Borrower and its subsidiaries;

 

(c)           investments
in any fund that invests exclusively in investments of the type described in clauses
(a) and (b) which fund may also hold immaterial amounts of
cash pending investment or distribution; and

 

(d)           corresponding
instruments in countries other than the United States customarily utilized for
high quality investments.

 

“Investments” shall mean, with respect to any
Person, all investments by such Person in other Persons (including Affiliates)
in the form of loans (including guarantees), advances, issuances of letters of
credit or similar financial accommodations or capital contributions (excluding
accounts receivable, trade credit, management fees, advances to customers,
commission, travel, entertainment, relocation, payroll and similar advances to
directors, officers and employees, in each case made in the ordinary course of
business), purchases or other acquisitions for consideration of Indebtedness,
Equity Interests or other securities issued by any other Person and investments
that are required by GAAP to be classified on the balance sheet (excluding the
footnotes) of such Person in the same manner as the other investments included
in this definition to the extent such transactions involve the transfer of cash
or other property.  The amount of any
Investment shall be deemed to be the amount actually invested, without adjustment
for subsequent increases or decreases in value but giving effect to any returns
or distributions received by such Person with respect thereto.  For purposes of the definition of
“Unrestricted Subsidiary” and Section 6.03:

 

(a)           “Investments”
shall include the portion (proportionate to the Parent Borrower’s direct or
indirect equity interest in such subsidiary) of the fair market value of the
net assets of a subsidiary of the Parent Borrower at the time that such
subsidiary is designated an Unrestricted Subsidiary; provided, however,
that upon a redesignation of such subsidiary as a Restricted Subsidiary, the
Parent Borrower or applicable Restricted Subsidiary shall be deemed to continue
to have a permanent “Investment” in an Unrestricted Subsidiary in an amount (if
positive) equal to:

 

(i)            the Parent Borrower’s direct or
indirect “Investment” in such subsidiary at the time of such redesignation;
less

 

(ii)           the portion (proportionate to the
Parent Borrower’s direct or indirect equity interest in such subsidiary) of the
fair market value of the net assets of such Subsidiary at the time of such redesignation;
and

 

(b)           any
property transferred to or from an Unrestricted Subsidiary shall be valued at
its fair market value at the time of such transfer, in each case as determined
in good faith by the Parent Borrower.

 

“Issuing Bank” shall mean, as the context may
require, (a) Bank of America, N.A., acting through any of its Affiliates
or branches, in its capacity as the issuer of Letters of Credit hereunder,
(b) Deutsche Bank AG, New York Branch, in respect of the Existing Letters
of Credit and (c) any other Person that may become an Issuing Bank pursuant
to Section 2.23(i) or 2.23(k), with respect to Letters
of Credit issued at the time such Person was a Lender. The Issuing Bank may, in
its discretion, arrange for one or more Letters of Credit to be issued by
Affiliates or branches of the Issuing Bank, in which case the term “Issuing
Bank” shall include any such Affiliate or branch with respect to Letters of
Credit issued by such Affiliate or branch.

 

“Issuing Bank Fees” shall have the meaning
assigned to such term in Section 2.05(c).

 

“Judgment Currency”
has the meaning specified in Section 9.15(d).

 

“Junior Financing” shall mean any Subordinated
Indebtedness which is Material Indebtedness.

 

25

 

“Junior Financing Documentation” shall mean any
indenture and/or other agreement pertaining to Junior Financing and all
documentation delivered pursuant thereto.

 

“L/C Backstop” shall mean, in respect of any
Letter of Credit, (a) a letter of credit delivered to the Issuing Bank
which may be drawn by the Issuing Bank to satisfy any obligations of the
Borrowers in respect of such Letter of Credit or (b) cash or Cash
Equivalents deposited with the Issuing Bank to satisfy any obligation of the Borrowers
in respect of such Letter of Credit, in each case, in an amount equal to the
Dollar Equivalent of the undrawn face amount of such Letter of Credit and
otherwise on terms and pursuant to arrangements (including, if applicable, any
appropriate reimbursement agreement) reasonably satisfactory to the respective
Issuing Bank.

 

“L/C Commitment” shall mean the commitment of
an Issuing Bank to issue Letters of Credit pursuant to Section 2.23.

 

“L/C Disbursement” shall mean a payment or
disbursement made by an Issuing Bank pursuant to a Letter of Credit.

 

“L/C Exposure” shall mean, at any time, the sum
of (a) the aggregate undrawn amount of all outstanding Letters of Credit
at such time and (b) the aggregate principal amount of all L/C
Disbursements that have not yet been reimbursed at such time, in each case,
calculated using the Dollar Equivalent at such time of all outstanding Letters
of Credit denominated in an Alternative Currency.  The L/C Exposure of any Revolving Credit
Lender at any time shall equal its Pro Rata Percentage of the aggregate L/C
Exposure at such time.

 

“L/C Participation Fee” shall have the meaning
assigned to such term in Section 2.05(c).

 

“Lenders” shall mean (a) the Persons
listed on Schedule 2.01 under the heading “Credit Facilities”
(other than any such Person that has ceased to be a party hereto pursuant to an
Assignment and Acceptance or pursuant to Section 2.21(a)) and
(b) any Person that has become a party hereto pursuant to an Assignment
and Acceptance in respect of the Credit Facilities.  Unless the context indicates otherwise, the
term “Lenders” shall include the Swingline Lender.

 

“Letter of Credit” shall mean any letter of
credit issued (or, in the case of an Existing Letter of Credit, deemed issued)
pursuant to Section 2.23.

 

“Letter of Credit Application” shall have the
meaning assigned to such term in Section 2.23(b).

 

“Letter of Credit Expiration Date” shall have
the meaning assigned to such term in Section 2.23(c).

 

“LIBO Rate” shall mean, with respect to any
Eurodollar Borrowing of any currency (other than any Eurodollar Borrowing of
Euro Term Loans) for any Interest Period, the rate per annum equal to the
British Bankers Association LIBOR Rate (“BBA LIBOR”), as published by
Reuters (or other commercially available source providing quotations of BBA
LIBOR as designated by the Administrative Agent from time to time) at
approximately 11:00 a.m. (London time) on the date that is 2 Business Days
prior to the commencement of such Interest Period for a period equal to such
Interest Period (or on the first day of such Interest Period in the case of any
LIBO Rate Loan denominated in Sterling); provided that to the extent
that an interest rate is not ascertainable pursuant to the foregoing provisions
of this definition, the “LIBO Rate” shall be the interest rate per annum determined
by the Administrative Agent to be the average of the rates per annum at which
deposits in dollars, euro or Sterling or any other Alternative Currency, as
applicable, are offered for such relevant Interest Period to major banks in the
London interbank market in London, England by the Administrative Agent at
approximately 11:00 a.m. (London time) on the date that is 2 Business Days
prior to the beginning of such Interest Period (or on the first day of such
Interest Period in the case of any LIBO Rate Loan denominated in Sterling).

 

“Lien” shall mean, with respect to any asset,
any mortgage, lien (statutory or otherwise), pledge, hypothecation, charge,
security interest, preference, priority or encumbrance of any kind in respect
of such asset, whether or not filed, recorded or otherwise perfected under applicable
law, including any conditional sale or other

 

26

 

title
retention agreement, any lease in the nature thereof and any other agreement to
give a security interest in such asset; provided that in no event shall
an operating lease be deemed to constitute a Lien.

 

“Limited Non-Guarantor Debt Exceptions” shall
have the meaning assigned to such term in Section 6.01(g).

 

“Loan Documents” shall mean this Agreement, the
Security Documents, the Notes, if any, executed and delivered pursuant to Section 2.04(e).

 

“Loan Parties” shall mean the Borrowers and the
Guarantors.

 

“Loans” shall mean the Revolving Loans, the
Term Loans and the Swingline Loans.

 

 “Margin
Stock” shall have the meaning assigned to such term in Regulation U.

 

“Material Adverse Effect” shall mean
(a) on or prior to the Closing Date, a Target Material Adverse Effect and
(b) after the Closing Date a material adverse effect (i) on the business,
operations, assets, financial condition or results of operations of the Parent
Borrower and its Restricted Subsidiaries, taken as a whole or (ii) on any
material rights and remedies of the Administrative Agent and the Lenders under
the Loan Documents, taken as a whole.

 

“Material Indebtedness” shall mean Indebtedness
(other than the Loans and Letters of Credit), or Hedging Obligations, of any
one or more of the Parent Borrower and its Restricted Subsidiaries in an
aggregate principal amount greater than or equal to $35,000,000.  For purposes of determining “Material
Indebtedness”, the “principal amount” of the obligations of the Parent Borrower
or any Restricted Subsidiary in respect of any Hedging Obligation at any time
shall be the maximum aggregate amount (giving effect to any netting agreements)
that the Parent Borrower or such Restricted Subsidiary would be required to pay
if the relevant hedging agreement  were
terminated at such time.

 

“Maximum Rate” shall have the meaning assigned
to such term in Section 9.09.

 

“MDP Unit Purchase Agreement” shall mean the
MDP Unit Purchase Agreement, dated as of the date hereof, by and between
Varietal Distribution Holdings, LLC, Madison Dearborn Capital Partners V-A,
L.P., a Delaware limited partnership, Madison Dearborn Capital Partners V-C,
L.P., a Delaware limited partnership, and Madison Dearborn Partners V
Executive-A, L.P., a Delaware limited partnership.

 

“Merger” shall mean the merger of Merger Sub
with and into the Company, with the Company as the surviving entity of such
merger, as contemplated by the Merger Agreement.

 

“Merger Agreement” shall mean that certain
Agreement and Plan of Merger dated as of May 2, 2007, as amended by that
certain First Amendment to Agreement and Plan of Merger dated as of May 7,
2007 and that certain Second Amendment to Agreement and Plan of Merger dated as
of May 30, 2007, in each case, by and among Varietal Distribution Holdings,
LLC, Merger Sub and the Company.

 

“Merger Sub” shall have the meaning assigned to
such term in the preamble.

 

“Minimum Currency
Threshold” means (a) in the case of ABR Loans, $2,000,000 or an
integral multiple of $1,000,000 in excess thereof, (b) in the case of
Eurodollar Loans denominated in Dollars, $5,000,000 or an integral multiple of
$1,000,000 in excess thereof, (c) in the case of Revolving Loans
denominated in euro, €1,000,000 or an integral multiple of €1,000,000 in excess
thereof, (d) in the case of Term Loans denominated in euro, €2,500,000 or
an integral multiple of €500,000 in excess thereof, (e) in the case of
Loans denominated in Sterling, £1,000,000 or an integral multiple of £500,000
in excess thereof, (f) in the case of Loans denominated in Canadian
Dollars, C$1,000,000 or an integral multiple of C$1,000,000 in excess thereof and
(g) in the case of Loans denominated in any other Alternative Currency,
such Alternative Currency equivalent of $1,000,000 or an integral multiple of
such Alternative Currency equivalent of $1,000,000 in excess thereof.

 

27

 

“Moody’s” shall mean Moody’s Investors
Service, Inc., or any successor thereto.

 

“Mortgaged Properties” shall mean each parcel
of fee owned real property located in the United States with a book value in
excess of $5,000,000 and improvements thereto with respect to which a Mortgage
is granted pursuant to Section 5.09 or Section 5.10 to
secure the Obligations.

 

“Mortgages” shall mean the mortgages, deeds of
trust and other security documents granting a Lien on any fee owned real
property or interest therein to secure the Secured Obligations, each in a form
reasonably satisfactory to the Collateral Agent.

 

“Multiemployer Plan” shall mean a multiemployer
plan as defined in Section 4001(a)(3) of ERISA under which the Parent
Borrower, any Restricted Subsidiary or any of their respective ERISA Affiliates
has any obligation or liability (contingent or otherwise).

 

“Net Cash Proceeds” shall mean (a) with
respect to any Disposition or Property Loss Event, the proceeds thereof in the
form of cash and Cash Equivalents (including any such proceeds subsequently
received (as and when received) in respect of deferred payments or noncash
consideration initially received, net of any costs relating to the disposition
thereof), net of (i) out-of-pocket expenses incurred (including reasonable
and customary broker’s fees or commissions, investment banking, consultant,
legal, accounting or similar fees, survey costs, title insurance premiums, and
related search and recording charges, transfer, deed, recording and similar
taxes incurred by the Parent Borrower and its Restricted Subsidiaries in
connection therewith), and the Parent Borrower’s good faith estimate of Taxes
paid or payable (including payments under any tax sharing agreement or
arrangement of the type described in clause (b)(i) of the definition of
Excess Cash Flow), in connection with such Disposition or such Property Loss
Event (including, in the case of any such Disposition or Property Loss Event in
respect of property of any Foreign Subsidiary, Taxes payable upon the
repatriation of any such proceeds), (ii) amounts provided as a reserve, in
accordance with GAAP, against any (x) liabilities under any
indemnification obligations or purchase price adjustment associated with such
Disposition and (y) other liabilities associated with the asset disposed
of and retained by the Parent Borrower or any of its Restricted Subsidiaries
after such disposition, including pension and other post-employment benefit
liabilities and liabilities related to environmental matters (provided
that to the extent and at the time any such amounts are released from such
reserve, such amounts shall constitute Net Cash Proceeds), (iii) the
principal amount, premium or penalty, if any, interest and other amounts on any
Indebtedness or other obligation which is secured by a Lien on the asset sold
that (A) has priority over the Lien securing the Obligations and which is
repaid (other than Indebtedness hereunder) or (B) is required to be repaid
and is repaid pursuant to intercreditor arrangements entered into by the
Administrative Agent or the Collateral Agent and (iv) in the case of any
such Disposition or Property Loss Event by a non-Wholly-Owned Restricted
Subsidiary, the pro rata portion of the Net Cash Proceeds thereof (calculated
without regard to this clause (iv)) attributable to minority interests
and not available for distribution to or for the account of the Parent Borrower
or a wholly owned Restricted Subsidiary as a result thereof and (b) with respect
to any incurrence of Indebtedness, the cash proceeds thereof, net of all Taxes
(including, in the case of such Indebtedness incurred by a Foreign Subsidiary,
Taxes payable upon the repatriation of any such proceeds) and customary fees,
commissions, costs and other expenses incurred by the Parent Borrower and its Restricted
Subsidiaries in connection therewith.

 

“New Mezzanine Notes” shall mean the Parent
Borrower’s 10.75% Senior Subordinated Notes due 2017 in the original principal
amount of the Dollar Equivalent of approximately $520,000,000, as such amount
may be increased from time to time in respect of the payment of interest
thereunder and any additional notes issued pursuant to the terms of the New
Mezzanine Notes Documentation representing the payment of interest (and
includes any Refinancing Indebtedness in respect thereof permitted by Section 6.01
(but without duplication of any amounts otherwise permitted by clause (b)(ii) thereof)
and any notes issued in exchange or replacement of any of the foregoing on
substantially identical terms).

 

“New Mezzanine Notes Documentation” shall mean
any indenture and/or other agreement governing the New Mezzanine Notes and all
documentation delivered pursuant thereto.

 

“New Senior Notes” shall mean the Parent
Borrower’s 10.25%/11.25% Senior PIK Toggle Notes due 2015 in the original principal
amount of $675,000,000, as such amount may be increased from time to time in
respect of

 

28

 

the
payment of interest thereunder and any additional notes issued pursuant to the
terms of the New Senior Notes Documentation representing the payment of
interest (and includes any Refinancing Indebtedness in respect thereof
permitted by Section 6.01 (but without duplication of any amounts
otherwise permitted by clause (b)(ii) thereof) and any notes
issued in exchange or replacement of any of the foregoing on substantially
identical terms).

 

“New Senior Notes Documentation” shall mean any
indenture and/or other agreement governing the New Senior Notes and all
documentation delivered pursuant thereto.

 

“Non-Consenting Lenders” shall have the meaning
assigned to such term in Section 2.21.

 

“Nonpriority Hedging Obligations” means all
Hedging Obligations other than Priority Hedging Obligations.

 

“Note” has
the meaning specified in Section 2.04(e).

 

“Obligations” means the Domestic Obligations
and the Foreign Obligations.

 

“Officer’s Certificate” shall mean a
certificate signed on behalf of the Parent Borrower by a Responsible Officer of
the Parent Borrower.

 

“Opinion of Counsel” shall mean a written
opinion from legal counsel who is reasonably acceptable to the Administrative
Agent.  The counsel may be an employee of
or counsel to the Borrowers or the relevant Agent.

 

“Other Closing Date Representations” shall mean
those representations and warranties made by the Company in the Merger
Agreement that (a) are material to the interests of the Lenders and
(b) a breach of any of which would permit Holdings and/or Merger Sub to
terminate their respective obligations under the Merger Agreement.

 

“Other Taxes” shall mean any and all present or
future stamp or documentary taxes arising from the execution, delivery or
enforcement of any Loan Document.

 

“Parent” shall mean a Person formed for the
purpose of owning all of the Equity Interests, directly or indirectly, of
Holdings.

 

“Parent Borrower” shall mean (a) prior to
the consummation of the Merger, Merger Sub and (b) upon and after
consummation of the Merger, the Company.

 

“PBGC” shall mean the Pension Benefit Guaranty
Corporation referred to and defined in ERISA.

 

“Pension Event” shall mean (a) the whole
or partial withdrawal of a Loan Party or any Restricted Subsidiary from a
Foreign Plan during a Foreign Plan year, (b) the filing or a notice of
interest to terminate in whole or in part a Foreign Plan or the treatment of a
Foreign Plan amendment as a termination or partial termination, (c) the
institution of proceedings by any Governmental Authority to terminate in whole
or in part or have a trustee appointed to administer a Foreign Plan,
(d) any other event or condition which might constitute grounds for the
termination of, winding up or partial termination or winding up or the
appointment of a trustee to administer, any Foreign Plan, (e) the failure
to satisfy any statutory funding requirement, (f) the adoption of any
amendment to a Foreign Plan that would require the provision of security
pursuant to applicable law or (g) any other extraordinary event or
condition with respect to a Foreign Plan which, with respect to each of the
foregoing clauses, could reasonably be expected to result in a Lien or any
acceleration of any statutory requirement to fund all or a substantial portion
of the unfunded accrued benefit liabilities of such plan.

 

“Pension Plan” shall mean any employee pension
benefit plan as defined in Section 3(2) of ERISA (other than a
Multiemployer Plan or Foreign Plan) that is subject to Title IV of ERISA and/or
Section 412 of the Code or Section 302 of ERISA and is sponsored or
maintained by any Loan Party or any ERISA Affiliate or to which any Loan Party
or any ERISA Affiliate contributes or has any obligation or liability
(contingent or otherwise).

 

29

 

“Perfection Certificate” means a perfection
certificate executed by the Loan Parties in a form reasonably approved by the
Collateral Agent, as the same shall be supplemented from time to time.

 

“Permitted Asset Swap” shall mean, to the
extent allowable under Section 1031 of the Code, the concurrent purchase
and sale or exchange of Related Business Assets or a combination of Related
Business Assets (excluding any boot thereon) between the Parent Borrower or any
of its Restricted Subsidiaries and another Person.

 

“Permitted Investments” shall mean:

 

(a)           any
Investment in the Parent Borrower or any of its Restricted Subsidiaries; provided
that the fair market value of all Investments made by Loan Parties in
Restricted Subsidiaries that are not Loan Parties made pursuant to this clause
(a) shall not exceed the sum of (i) $100,000,000 and
(ii) the Net Cash Proceeds from any Disposition or Property Loss Event
which are not required to be used prior to such time to prepay Term Loans or
reinvested (other than in reliance on this clause (a)) pursuant to Section 2.13(b) and
which are not used for purposes of clause (m) below (with the fair market
value of each Investment being measured at the time made and without giving
effect to subsequent changes in value);

 

(b)           any
Investment in cash and Cash Equivalents or Investment Grade Securities;

 

(c)           any
Investment by the Parent Borrower or any of its Restricted Subsidiaries in a
Person that is engaged in a Similar Business if as a result of such Investment:

 

(i)            such Person becomes a Loan Party; or

 

(ii)           such Person, in one transaction or a
series of related transactions, is merged or consolidated with or into, or
transfers or conveys substantially all of its assets to, or is liquidated into,
a Loan Party,

 

and, in each case, any Investment held by such Person;
provided that such Investment was not acquired by such Person in
contemplation of such acquisition, merger, consolidation or transfer;

 

(d)           any
Investment in securities or other assets not constituting cash, Cash
Equivalents or Investment Grade Securities and received in connection with a
Disposition made pursuant to Section 6.05;

 

(e)           any
Investment existing on the Closing Date or made pursuant to binding commitments
in effect on the Closing Date, or an Investment consisting of any extension,
modification or renewal of any Investment existing on the Closing Date; provided
that the amount of any such Investment may be increased (i) as required by
the terms of such Investment as in existence on the Closing Date or
(ii) as otherwise permitted under this Agreement;

 

(f)            any
Investment acquired by the Parent Borrower or any of its Restricted
Subsidiaries:

 

(i)            in exchange for any other Investment
or accounts receivable held by the Parent Borrower or any such Restricted
Subsidiary in connection with or as a result of a bankruptcy workout,
reorganization or recapitalization of the issuer of such other Investment or
accounts receivable; or

 

(ii)           as a result of a foreclosure by the
Parent Borrower or any of its Restricted Subsidiaries with respect to any
secured Investment or other transfer of title with respect to any secured
Investment in default;

 

(g)           Hedging
Obligations permitted under Section 6.01(b)(ix);

 

(h)           [intentionally
omitted];

 

30

 

(i)            Investments
the payment for which consists of Equity Interests (exclusive of Disqualified
Stock) of the Parent Borrower or any of its direct or indirect parent
companies; provided,  however,  that such Equity Interests will not increase the Restricted
Payment Applicable Amount;

 

(j)            Indebtedness
permitted under Section 6.01;

 

(k)           any
transaction to the extent it constitutes an Investment that is permitted and
made in accordance with Section 6.06;

 

(l)            Investments
consisting of purchases and acquisitions of inventory, supplies, material or
equipment;

 

(m)          additional
Investments having an aggregate fair market value, taken together with all
other Investments made pursuant to this clause (m) that are at the time
outstanding (without giving effect to the sale of an Unrestricted Subsidiary to
the extent the proceeds of such sale do not consist of cash or marketable
securities), not to exceed (i) on or before the first anniversary of the
Closing Date, the sum of (A) the greater of $100,000,000 or 2.0% of Total
Assets at the time of such Investment, plus (B) the Net Cash Proceeds from
any Disposition or Property Loss Event which are not required to be used prior
to such time to prepay Term Loans or reinvested (other than in reliance on this
clause (m)) pursuant to Section 2.13(b) and which are
not used for purposes of clause (a) above, (ii) after the
first anniversary of the Closing Date but on or before the second anniversary
of the Closing Date, the sum of (A) the greater of $100,000,000 or 2.0% of
Total Assets at the time of such Investment, plus (B) the Net Cash
Proceeds from any Disposition or Property Loss Event which are not required to
be used prior to such time to prepay Term Loans or reinvested (other than in
reliance on this clause (m)) pursuant to Section 2.13(b) and
which are not used for purposes of clause (a) above, plus
(C) without duplication of amounts included in subclause (ii)(B),
100% of the unutilized portion of the amount of Investments permitted by sublcause
(i) above and (iii) thereafter, (A) the greater of
$100,000,000 or 2.0% of Total Assets at the time of such Investment, plus
(B) the Net Cash Proceeds from any Disposition or Property Loss Event
which are not required to be used prior to such time to prepay Term Loans or
reinvested (other than in reliance on this clause (m)) pursuant to Section 2.13(b) and
which are not used for purposes of clause (a) above, plus
(C) without duplication of amounts included in subclause (iii)(B),
100% of the unutilized portion of the amount of Investments permitted by subclause
(ii) above, so long as, in the case of each of clauses (i),
(ii) and (iii) above, after giving pro forma effect to such
Investment and any Indebtedness, Disqualified Stock or Preferred Stock assumed
or incurred in connection therewith, the Total Net Leverage Ratio is less than
the Total Net Leverage Ratio immediately prior to the making of such
Investment; provided  however, the fair market value of
Investments in Unrestricted Subsidiaries made pursuant to this clause (m)
shall not exceed the greater of $50,000,000 or 1.0% of Total Assets (with the
fair market value of each Investment being measured at the time made and
without giving effect to subsequent changes in value); provided  further,
if immediately after giving effect to any Investment that would otherwise be
subject to this clause (m), the Parent Borrower could incur $1.00 of
additional Indebtedness pursuant to the Total Net Leverage Ratio test described
in Section 6.01(a) on a pro
forma basis taking into account such Investment and any
Indebtedness, Disqualified Stock or Preferred Stock assumed or incurred in
connection therewith, such additional Investments shall not be subject to any
aggregate thresholds;

 

(n)           Investments
relating to a Receivables Subsidiary that, in the good faith determination of
the Parent Borrower, are necessary or advisable to effect any Receivables
Facility;

 

(o)           advances
to, or guarantees of Indebtedness of, directors, employees, officers and consultants
not in excess of $15,000,000 outstanding at any one time, in the aggregate;

 

(p)           loans
and advances to officers, directors and employees for moving or relocation expenses
and other similar expenses, in each case incurred in the ordinary course of
business or to fund such Person’s purchase of Equity Interests of the Parent
Borrower or any direct or indirect parent company thereof;

 

31

 

(q)           Investments
in the ordinary course of business consisting of endorsements for collection or
deposit;

 

(r)            additional
Investments in joint ventures in an aggregate amount not to exceed $20,000,000
at any time outstanding;

 

(s)           loans
and advances relating to indemnification or reimbursement of any officers, directors
or employees in respect of liabilities relating to their serving in any such
capacity or as otherwise specified in Section 6.06;

 

(t)            Investments
in the nature of pledges or deposits with respect to leases or utilities
provided to third parties in the ordinary course of business;

 

(u)           Investments
in industrial development or revenue bonds or similar obligations secured by
assets leased to and operated by the Parent Borrower or any of its subsidiaries
that were issued in connection with the financing of such assets, so long as
the Parent Borrower or any such subsidiary may obtain title to such assets at
any time by optionally canceling such bonds or obligations, paying a nominal
fee and terminating such financing transaction;

 

(v)           deposits
made by the Parent Borrower and Foreign Subsidiaries in Cash Pooling Arrangements;

 

(w)          Investments
made in connection with the Foreign Subsidiary Reorganization;

 

(x)            Investments
in (i) new offshore finance companies, including, without limitation,
non-Wholly-Owned Subsidiaries and (ii) new Foreign Subsidiaries that would
engage in transactions with other Foreign Subsidiaries to maximize tax
efficiency and dividend capacity; and

 

(y)           extensions
of trade credit in the ordinary course of business.

 

“Permitted Investors” shall mean (a) the
Sponsor, (b) any Person making an Investment in Parent concurrently with
the Sponsor on or following the Closing Date, (c) any Person who is an
officer or otherwise a member of management of the Parent or any of its
subsidiaries on the Closing Date; provided that if such officers and
members of management beneficially own more shares of voting stock of Parent
Borrower or its direct or indirect parent than the number of shares
beneficially owned by all the officers on the Closing Date or issued within 90
days thereafter, such excess shall be deemed not to be beneficially owned by
the Permitted Investors, (d) any Related Entity of any of the foregoing
Persons and (e) any “group” (within the meaning of
Section 13(d)(3) or Section 14(d)(2) of the Exchange Act or
any successor provision) of which any of the foregoing are members; provided
that in the case of such “group” and without giving effect to the existence of
such “group” or any other “group,” such Persons specified in clauses (a), (b),
(c) or (d) above (subject, in the case of officers, to the foregoing
limitation), collectively, have beneficial ownership, directly or indirectly,
of more than 50% of the total voting power of the voting stock of the Parent or
any of its direct or indirect parent entities held by such “group,” and provided
further, that, in no event shall the Sponsor own a lesser percentage of
voting stock than any other person or group referred to in clauses (b), (c) or
(d).

 

“Permitted Liens” shall mean, with respect to
any Person:

 

(a)           pledges
or deposits by such Person under workmen’s compensation laws, unemployment insurance
laws or similar legislation, or good faith deposits in connection with bids,
tenders, contracts (other than for the payment of Indebtedness) or leases to
which such Person is a party, or deposits to secure public or statutory
obligations of such Person or deposits of cash or U.S. government bonds to
secure surety or appeal bonds to which such Person is a party, or deposits as
security for contested taxes or import duties or for the payment of rent, in
each case incurred in the ordinary course of business;

 

32

 

(b)           Liens
imposed by law, such as carriers’, warehousemen’s and mechanics’ Liens, in each
case for sums not yet overdue for a period of more than 60 days or being
contested in good faith by appropriate proceedings or other Liens arising out
of judgments or awards against such Person with respect to which such Person
shall then be proceeding with an appeal or other proceedings for review if
adequate reserves with respect thereto are maintained on the books of such
Person in accordance with GAAP;

 

(c)           Liens
for taxes, assessments or other governmental charges not yet overdue for a
period of more than 45 days or subject to penalties for nonpayment or which are
being contested in good faith by appropriate proceedings diligently conducted,
if adequate reserves with respect thereto are maintained on the books of such
Person in accordance with GAAP;

 

(d)           Liens
in favor of the issuer of stay, customs, appeal, performance and surety bonds
or bid bonds or with respect to other regulatory requirements or letters of
credit issued pursuant to the request of and for the account of such Person in
the ordinary course of its business;

 

(e)           minor
survey exceptions, minor encumbrances, easements or reservations of, or rights
of others for, licenses, rights-of-way, sewers, electric lines, telegraph and
telephone lines and other similar purposes, or zoning or other restrictions as
to the use of real properties or Liens incidental to the conduct of the business
of such Person or to the ownership of its properties which were not incurred in
connection with Indebtedness and which do not in the aggregate materially
adversely affect the value of said properties or materially impair their use in
the operation of the business of such Person;

 

(f)            Liens
securing Indebtedness permitted to be incurred pursuant to Section 6.01(b)(iv),
(xvii), (xviii), (xxii) and (xxvi); provided,  that Liens securing Indebtedness permitted to be incurred
pursuant to clause (xvii) shall extend only to the assets of Foreign
Subsidiaries and Liens securing Indebtedness permitted to be incurred pursuant
to paragraphs (b)(iv) and (b)(xviii) are solely on the
assets financed, purchased, constructed, improved, acquired or assets of the
acquired entity, as the case may be;

 

(g)           Liens
existing on the Closing Date and described in all material respects on Schedule 6.02;

 

(h)           [intentionally
omitted];

 

(i)            Liens
on property or shares of stock of a Person at the time such Person becomes a Subsidiary;
provided,  however, such Liens are
not created or incurred in connection with, or in contemplation of, such other
Person becoming such a Subsidiary; provided,  further,  that such Liens may not extend to any other property owned
by the Parent Borrower or any of its Restricted Subsidiaries;

 

(j)            Liens
on property at the time the Parent Borrower or a Restricted Subsidiary acquired
the property, including any acquisition by means of a merger or consolidation
with or into the Parent Borrower or any of its Restricted Subsidiaries; provided,  however, that such Liens are not created or incurred
in connection with, or in contemplation of, such acquisition; provided,  further,  that the Liens
may not extend to any other property owned by the Parent Borrower or any of its
Restricted Subsidiaries;

 

(k)           Liens
securing Indebtedness or other obligations of the Parent Borrower or a
Restricted Subsidiary owing to the Parent Borrower or another Restricted
Subsidiary permitted to be incurred in accordance with Section 6.01(b)(vii);

 

(l)            Liens
securing Hedging Obligations so long as, in the case of Hedging Obligations related
to interest, the related Indebtedness is secured by a Lien on the same property
securing such Hedging Obligations;

 

(m)          Liens
on specific items of inventory or other goods and proceeds of any Person
securing such Person’s obligations in respect of bankers’ acceptances issued or
created for the account of such

 

33

 

Person to facilitate the
purchase, shipment or storage of such inventory or other goods, and pledges or
deposits in the ordinary course of business securing inventory purchases from
vendors;

 

(n)           leases,
subleases, licenses or sublicenses (including, without limitation, licenses and
sublicenses of intellectual property) granted to others in the ordinary course
of business which do not materially interfere with the ordinary conduct of the
business of the Parent Borrower or any of its Restricted Subsidiaries or which
do not by their own terms secure any Indebtedness;

 

(o)           Liens
arising from UCC financing statement filings regarding operating leases entered
into by the Parent Borrower and its Restricted Subsidiaries in the ordinary
course of business;

 

(p)           Liens
in favor of any Borrower or any Restricted Guarantor;

 

(q)           Liens
on inventory or equipment of the Parent Borrower or any of its Restricted
Subsidiaries granted in the ordinary course of business to the Parent
Borrower’s or such Restricted Subsidiary’s clients or customers at which such
inventory or equipment is located;

 

(r)            Liens
on accounts receivable and related assets incurred in connection with a
Receivables Facility;

 

(s)           Liens
to secure any refinancing, refunding, extension, renewal or replacement (or
successive refinancing, refunding, extensions, renewals or replacements) as a
whole, or in part, of any Indebtedness permitted by Section 6.01
and secured by any Lien referred to in the foregoing clauses (f), (g),
(i) and (j); provided,  however,
that (i) such new Lien shall be limited to all or part of the same
property that secured the original Lien (plus improvements on such property),
and (ii) the Indebtedness secured by such Lien at such time is not
increased to any amount greater than the sum of (A) the outstanding
principal amount or, if greater, committed amount of the Indebtedness described
under clauses (f), (g), (i) and (j) at the
time the original Lien became a Permitted Lien hereunder, and (B) an
amount necessary to pay any fees and expenses, including premiums, related to
such refinancing, refunding, extension, renewal or replacement;

 

(t)            pledges
or deposits made in the ordinary course of business to secure liability to insurance
carriers and Liens on insurance policies and the proceeds thereof (whether
accrued or not), rights or claims against an insurer or other similar asset
securing insurance premium financings permitted under Section 6.01(b)(xxiv);

 

(u)           Liens
securing judgments for the payment of money not constituting an Event of
Default so long as such Liens are adequately bonded and any appropriate legal
proceedings that may have been duly initiated for the review of such judgment
have not been finally terminated or the period within which such proceedings
may be initiated has not expired;

 

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

 

(w)          Liens
(i) of a collection bank arising under Section 4-210 of the UCC on
items in the course of collection, (ii) attaching to commodity trading
accounts or other commodity brokerage accounts incurred in the ordinary course
of business, and (iii) in favor of banking institutions arising as a
matter of law encumbering deposits (including the right of set-off) and which
are within the general parameters customary in the banking industry;

 

(x)            Liens
deemed to exist in connection with Investments in repurchase agreements permitted
under Section 6.01; provided that such Liens do not extend
to any assets other than those that are the subject of such repurchase agreement;

 

34

 

(y)           Liens
encumbering reasonable customary initial deposits and margin deposits and
similar Liens attaching to commodity trading accounts or other brokerage
accounts incurred in the ordinary course of business and not for speculative
purposes;

 

(z)            Liens
that are contractual rights of set-off (i) relating to the establishment
of depository relations with banks not given in connection with the issuance of
Indebtedness, (ii) relating to pooled deposit or sweep accounts of the
Parent Borrower or any of its Restricted Subsidiaries to permit satisfaction of
overdraft or similar obligations incurred in the ordinary course of business of
the Parent Borrower and its Restricted Subsidiaries or (iii) relating to
purchase orders and other agreements entered into with customers of the Parent
Borrower or any of its Restricted Subsidiaries in the ordinary course of
business;

 

(aa)         Liens
securing the Obligations and the Secured Obligations;

 

(bb)         Liens
on cash deposits of the Parent Borrower and Foreign Subsidiaries subject to a
Cash Pooling Arrangement or otherwise over bank accounts of the Parent Borrower
and Foreign Subsidiaries maintained as part of the Cash Pooling Arrangement, in
each case securing liabilities for overdrafts of the Parents Borrower and
Foreign Subsidiaries participating in such Cash Pooling Arrangements;

 

(cc)         any
encumbrance or retention (including put and call agreements and rights of first
refusal) with respect to the Equity Interests of any joint venture or similar
arrangement pursuant to the joint venture or similar agreement with respect to
such joint venture or similar arrangement, provided that no such
encumbrance or restriction affects in any way the ability of the Parent
Borrower or any Restricted Subsidiary to comply with Section 5.09;

 

(dd)         Liens
on property subject to Sale and Lease-Back Transactions permitted hereunder and
general intangibles related thereto;

 

(ee)         Liens
consisting of contractual restrictions of the type described in the definition
of Restricted Cash; and

 

(ff)           other
Liens securing obligations incurred in the ordinary course of business which
obligations do not exceed $35,000,000 at any one time outstanding;

 

provided that in no event may
property of any Foreign Subsidiary Borrower (or its Subsidiaries) secure
Indebtedness (other than Indebtedness under this Agreement and the other Loan
Documents) having an aggregate principal amount (as to such Foreign Subsidiary
Borrower and all of its Subsidiaries) in excess of $5,000,000 (other than
Permitted Liens that are permitted pursuant to clauses (d), (f) (only
with respect to Section 6.01(b)(iv) as it relates to
Capitalized Lease Obligations or purchase money indebtedness and Section 6.01(b)(xxii)),
(g), (m), (p), (q), (w)(iii) and (bb)
above).

 

“Person” shall mean any natural person,
corporation, business trust, joint venture, association, company, limited
liability company, partnership, Governmental Authority or other entity.

 

“Platform” shall have the meaning assigned to
such term in Section 5.04

 

“Pledged Collateral” shall have the meaning
assigned to such term in the Guarantee and Collateral Agreement.

 

“Potentially Restricted Revolving Credit Lender”
shall mean each Revolving Credit Lender party to this Agreement which notifies
the Administrative Agent at any time from time to time that it is unwilling to
make extensions of credit pursuant to its Revolving Credit Commitment to
Foreign Subsidiary Borrowers in certain jurisdictions.

 

“Preferred Stock” shall mean any Equity
Interest with preferential rights of payment of dividends or upon liquidation,
dissolution, or winding up.

 

35

 

“Prepayment Asset Sale” shall mean any
Disposition, to the extent that (a) the aggregate Net Cash Proceeds of all
such Dispositions during any fiscal year exceed $25,000,000 and (b) the
aggregate Net Cash Proceeds of all such Dispositions during any five fiscal
year period exceed $50,000,000; provided, however, that the term “Prepayment
Asset Sale” shall not include any transaction permitted (or not expressly
prohibited) by Section 6.05 (other than transactions consummated in
reliance on Section 6.05(o) and (p)).

 

“Pricing Certificate” shall mean a certificate
delivered pursuant to Section 5.04(c).

 

“Prime Rate” shall mean the rate of interest
per annum announced from time to time by Bank of America, N.A. as its prime
rate in effect at its principal office in New York City; each change in the
Prime Rate shall be effective as of the opening of business on the date such
change is announced as being effective. 
The Prime Rate is a reference rate and does not necessarily represent
the lowest or best rate actually available.

 

“Priority Hedging Obligations” means bona fide
non-speculative Hedging Obligations (i) incurred before or within 90 days
following the Closing Date for the purpose of fixing the rate of interest with
respect to Indebtedness incurred under this Agreement in
connection with the Transactions or (ii) incurred for the purpose of
renewing or extending such fixed interest rates for a period not to exceed, on
a weighted average basis, the weighted average life to maturity of the
underlying Indebtedness.

 

“Property Loss Event”
shall mean any event that gives rise to the receipt by the Parent Borrower or
any of its Restricted Subsidiaries of any insurance proceeds or condemnation
awards in respect of any equipment, fixed assets or real property (including
any improvements thereon) to replace or repair such equipment, fixed assets or
real property; provided, however, for purposes of determining
whether a prepayment under Section 2.13(b) would be required,
a Property Loss Event shall be deemed to have occurred only to the extent that
the aggregate Net Cash Proceeds (a) of all such events during any fiscal
year exceed $25,000,000 and (b) of all such events during any five-fiscal
year period exceed $50,000,000.

 

“Pro Rata Percentage” of any Revolving Credit
Lender at any time shall mean the percentage of the Total Revolving Credit
Commitment represented by such Lender’s Revolving Credit Commitment. In the
event the Revolving Credit Commitments shall have expired or been terminated,
the Pro Rata Percentages of any Revolving Credit Lender shall be determined on
the basis of the Revolving Credit Commitments most recently in effect, giving
effect to any subsequent assignments.

 

“Public Lender” shall have the meaning assigned
to such term in Section 5.04.

 

“Qualified Capital Stock” of any Person shall
mean any Equity Interest of such Person that is not Disqualified Stock.

 

“Qualified Proceeds” shall mean assets that are
used or useful in, or Capital Stock of any Person engaged in, a Similar
Business; provided that the fair market value of any such assets or
Capital Stock shall be determined by the Parent Borrower in good faith.

 

“Qualified Public Offering” shall mean the
issuance by the Parent Borrower or any direct or indirect parent of the Parent
Borrower of its common Equity Interests in an underwritten primary public
offering (other than a public offering pursuant to a registration statement on
Form S-8) pursuant to an effective registration statement filed with the
U.S. Securities and Exchange Commission in accordance with the Securities Act
of 1933, as amended.

 

“Rating Agencies” shall mean Moody’s and
S&P or if Moody’s or S&P or both shall not make a rating on the New
Senior Notes publicly available, a nationally recognized statistical rating
agency or agencies, as the case may be, selected by the Parent Borrower which
shall be substituted for Moody’s or S&P or both, as the case may be.

 

“Receivables Facility” shall mean any of one or
more receivables financing facilities as amended, supplemented, modified,
extended, renewed, restated or refunded from time to time, the obligations of
which are non-recourse (except for customary representations, warranties,
covenants and indemnities made in connection with such facilities) to the
Parent Borrower or any of its Restricted Subsidiaries (other than a Receivables
Subsidiary)

 

36

 

pursuant
to which the Parent Borrower or any of its Restricted Subsidiaries sells their
accounts receivable to either (A) a Person that is not a Restricted
Subsidiary or (B) a Receivables Subsidiary that in turn sells its accounts
receivable to a Person that is not a Restricted Subsidiary.

 

“Receivables Fees” shall mean distributions or
payments made directly or by means of discounts with respect to any accounts
receivable or participation interest therein issued or sold in connection with,
and other fees paid to a Person that is not a Restricted Subsidiary in
connection with, any Receivables Facility.

 

“Receivables Subsidiary” shall mean any
subsidiary formed for the purpose of, and that solely engages only in one or
more Receivables Facilities and other activities reasonably related thereto.

 

“Refinanced Term Loans” shall have the meaning
assigned to such term in Section 9.08(d).

 

“Refinancing Indebtedness” shall have the
meaning assigned to such term in Section 6.01(b)(xii).

 

“Refunding Capital Stock” shall have the
meaning set forth in Section 6.03(b)(ii).

 

“Register” shall have the meaning assigned to
such term in Section 9.04(d).

 

“Regulation T” shall mean Regulation T of
the Board as from time to time in effect and all official rulings and interpretations
thereunder or thereof.

 

“Regulation U” shall mean Regulation U of
the Board as from time to time in effect and all official rulings and
interpretations thereunder or thereof.

 

“Regulation X” shall mean
Regulation X of the Board as from time to time in effect and all official
rulings and interpretations thereunder or thereof.

 

“Related Business Assets” shall mean assets
(other than cash or Cash Equivalents) used or useful in a Similar Business, provided
that any assets received by the Parent Borrower or a Restricted Subsidiary in
exchange for assets transferred by the Parent Borrower or a Restricted
Subsidiary shall not be deemed to be Related Business Assets if they consist of
securities of a Person, unless upon receipt of the securities of such Person,
such Person would become a Restricted Subsidiary.

 

“Related
Entity” means (a) with respect to Madison Dearborn Partners,
LLC, (i) any investment fund controlled by or under common control with
Madison Dearborn Partners, LLC, any officer, director or person performing an
equivalent function of the foregoing persons, or any entity controlled by any
of the foregoing Persons and (ii) any spouse or lineal descendant
(including by adoption and stepchildren) of the officers and directors referred
to clause (a)(i); and (b) with respect to any officer of the Parent
Borrower or its subsidiaries, (i) any spouse or lineal descendant
(including by adoption and stepchildren) of the officer and (ii) any
trust, corporation or partnership or other entity, in each case to the extent
not an operating company, of which an 80% or more controlling interest is held
by the beneficiaries, stockholders, partners or owners who are the officer, any
of the persons described in clause (b)(i) above or any combination of these
identified relationships.

 

“Related Fund”
shall mean, with respect to any Lender that is a fund or commingled investment
vehicle that invests in bank loans or similar extensions of credit, any other
fund that invests in bank loans or similar extensions of credit and is managed
or advised by the same investment advisor as such Lender or by an Affiliate of
such investment advisor.

 

“Related Parties” shall mean, with respect to
any specified Person, such Person’s Affiliates and the respective directors,
officers, employees, trustees, agents and advisors of such Person and such
Person’s Affiliates.

 

“Release” shall mean any release, spill,
emission, leaking, dumping, injection, pouring, deposit, disposal, discharge,
dispersal, leaching or migration into or through the environment.

 

37

 

“Replacement Term Loans” shall have the meaning
assigned to such term in Section 9.08(d).

 

“Required Lenders” shall mean, at any time,
Lenders having Revolving Credit Exposure, unused Revolving Credit Commitments,
Term Loans and Term Loan Commitments representing more than 50% of the sum of
all Revolving Credit Exposure, unused Revolving Credit Commitments, Term Loans
and Term Loan Commitments at such time; provided that any Defaulting Lender
shall be excluded for purposes of making a determination of Required Lenders.

 

“Required Class Lenders” shall mean
(a) with respect to any Term Loan Facility, Lenders holding more than 50%
of the Term Commitments and Term Loans under such Term Loan Facility and
(b) with respect to the Revolving Credit Facility, the Required Revolving
Lenders.

 

“Required Revolving Lenders” shall mean, at any
time, Lenders having Revolving Credit Exposure and unused Revolving Commitments
representing more than 50% of the sum of all Revolving Credit Exposure and unused
Revolving Credit Commitments at such time; provided that any Defaulting
Lender shall be excluded for purposes of making a determination of Required
Revolving Lenders.

 

“Responsible Officer” of any Person shall mean
any Financial Officer or any executive vice president, senior vice president,
vice president, secretary or assistant secretary of such Person and any other
officer or similar official thereof responsible for the administration of the
obligations of such Person in respect of this Agreement and, as to any document
delivered on the Closing Date, any secretary or assistant secretary of such
Person.

 

“Restricted Cash” shall mean cash and Cash
Equivalents held by the Parent Borrower and its Restricted Subsidiaries that
are contractually restricted from being distributed to the Parent Borrower,
except for such restrictions that are contained in agreements governing
Indebtedness permitted under Section 6.01 and that is secured by
such cash or Cash Equivalents, or that are classified as “restricted cash” on
the consolidated balance sheet of the Parent Borrower prepared in accordance
with GAAP.

 

“Restricted Guarantor” shall mean a Guarantor
that is a Restricted Subsidiary.

 

“Restricted Investment” shall mean an
Investment other than a Permitted Investment.

 

“Restricted Payment” shall mean:

 

(a)           the
declaration or payment of any dividend or the making of any payment or
distribution on account of the Parent Borrower’s or any Restricted Subsidiary’s
Equity Interests, including any dividend or distribution payable in connection
with any merger or consolidation other than:

 

(i)            dividends or distributions payable
solely in Equity Interests (other than Disqualified Stock) of the Parent
Borrower; or

 

(ii)           dividends or distributions by a
Restricted Subsidiary so long as, in the case of any dividend or distribution
payable on or in respect of any class or series of securities issued by a
Restricted Subsidiary other than a Wholly-Owned Subsidiary, the Parent Borrower
or a Restricted Subsidiary receives at least its pro rata share of such
dividend or distribution in accordance with its Equity Interests in such class
or series of securities;

 

(b)           the
purchase, redemption, defeasance or other acquisition or retirement for value
of any Equity Interests of the Parent Borrower or any direct or indirect parent
of the Parent Borrower, including in connection with any merger or
consolidation;

 

(c)           the
making of any principal payment on, or redemption, repurchase, defeasance or
other acquisition or retirement for value in each case, prior to any scheduled
repayment, sinking fund payment or maturity, of any New Senior Notes or any
Subordinated Indebtedness other than:

 

38

 

(i)            Indebtedness permitted under Section 6.01(b)(vii);
or

 

(ii)           the purchase, repurchase or other
acquisition of any New Senior Notes or Subordinated Indebtedness purchased in
anticipation of satisfying a sinking fund obligation, principal installment or
final maturity, in each case due within one year (or, in the case of the New
Senior Notes, 9 months) of the date of purchase, repurchase or acquisition; or

 

(d)           the
making of any Restricted Investment.

 

“Restricted Payment Applicable Amount” shall
mean, at any time (the “Reference Time”), an amount equal to the sum
(without duplication) of:

 

(a)            $75,000,000;

 

(b)           an
amount, not less than zero, determined on a cumulative basis equal to that
portion of Excess Cash Flow for each fiscal year of the Parent Borrower ended
prior to the Reference Time, if any, not used or required to be used to prepay
the Term Loans; plus

 

(c)           100% of the aggregate net cash
proceeds and the fair market value, as determined in good faith by the Parent
Borrower, of marketable securities or other property received by the Parent
Borrower or a Restricted Subsidiary (without the issuance of additional Equity
Interests in such Restricted Subsidiary) since immediately after the Closing
Date (other than (i) to the extent used to fund the Transactions and (ii) net
cash proceeds to the extent such net cash proceeds have been used pursuant to Section 6.01(b)(xi)(A))
from the issue or sale of:

 

(i)      (A)          Equity
Interests of the Parent Borrower, including Treasury Capital Stock, but
excluding cash proceeds and the fair market value, as determined in good faith
by the Parent Borrower, of marketable securities or other property received
from the sale of:

 

(x)           Equity
Interests to members of management, directors or consultants of the Parent
Borrower, Restricted Subsidiaries and any direct or indirect parent company of
the Parent Borrower, after the Closing Date to the extent such amounts have
been applied to Restricted Payments made in accordance with Section 6.03(b)(iv);
and

 

(y)           Designated
Preferred Stock; and

 

(B)          to the
extent such net cash proceeds or other property are actually contributed to the
capital of the Parent Borrower or any Restricted Subsidiary (without the issuance
of additional Equity Interests of such Restricted Subsidiary), Equity Interests
of the Parent Borrower’s direct or indirect parent companies (excluding
contributions of the proceeds from the sale of Designated Preferred Stock of
such companies or contributions to the extent such amounts have been applied to
Restricted Payments made in accordance with Section 6.03(b)(iv));
or

 

(ii)     debt of the Parent Borrower or any
Restricted Subsidiary that has been converted into or exchanged for such Equity
Interests of the Parent Borrower or a direct or indirect parent company of the
Parent Borrower; or

 

(iii)    Disqualified Stock of the Parent Borrower or
any Restricted Subsidiary that has been converted into or exchanged for
Qualified Capital Stock of the Parent Borrower;

 

provided,  however,  that this paragraph
(c) shall not include the proceeds from (w) Refunding Capital
Stock, (x) Equity Interests or convertible debt securities sold to the
Parent Borrower or a Restricted Subsidiary, as the case may be,
(y) Disqualified Stock or debt securities that have been converted into Disqualified
Stock or (z) Excluded Contributions; plus

 

39

 

(d)           100% of the aggregate amount of cash
and the fair market value, as determined in good faith by the Parent Borrower,
of marketable securities or other property contributed to the capital of the
Parent Borrower following the Closing Date (other than (i) net cash
proceeds to the extent utilized pursuant to Section 6.01(b)(xi),
(ii) to the extent applied to fund the Transactions, (iii) by a
Restricted Subsidiary and (iv) any Excluded Contributions); plus

 

(e)           100% of the aggregate amount received
in cash and the fair market value, as determined in good faith by the Parent
Borrower, of marketable securities or other property received by the Parent Borrower
or a Restricted Subsidiary by means of:

 

(i)            the sale or other disposition (other
than to the Parent Borrower or a Restricted Subsidiary) of, or interest,
returns, profits, distribution, income or similar amounts in respect of,
Restricted Investments made by the Parent Borrower or its Restricted
Subsidiaries and repurchases and redemptions of such Restricted Investments
from the Parent Borrower or its Restricted Subsidiaries and repayments of loans
or advances, and releases of guarantees, which constitute Restricted
Investments by the Parent Borrower or its Restricted Subsidiaries, in each case
after the Closing Date; or

 

(ii)           the sale or other disposition (other
than to the Parent Borrower or a Restricted Subsidiary) of the stock of an
Unrestricted Subsidiary (other than to the extent the Investment in such
Unrestricted Subsidiary was made by the Parent Borrower or a Restricted
Subsidiary pursuant to Section 6.03(b)(vii) or to the extent
such Investment constituted a Permitted Investment) or a dividend or
distribution from an Unrestricted Subsidiary after the Closing Date; plus

 

(f)            in the case of the redesignation of
an Unrestricted Subsidiary as a Restricted Subsidiary after the Closing Date,
the fair market value of the Investment in such Unrestricted Subsidiary, as
determined by the Parent Borrower in good faith or if such fair market value
may exceed $35,000,000, in writing by an Independent Financial Advisor, at the
time of the redesignation of such Unrestricted Subsidiary as a Restricted
Subsidiary, other than an Unrestricted Subsidiary to the extent the Investment
in such Unrestricted Subsidiary was made by the Parent Borrower or a Restricted
Subsidiary pursuant to Section 6.03(b)(vii) or to the extent
such Investment constituted a Permitted Investment.

 

“Restricted Subsidiary” shall mean, at any
time, each direct and indirect subsidiary of the Parent Borrower (including any
Foreign Subsidiary) that is not then an Unrestricted Subsidiary; provided,
however, that upon the occurrence of an Unrestricted Subsidiary ceasing
to be an Unrestricted Subsidiary, such subsidiary shall be included in the
definition of “Restricted Subsidiary”.

 

“Revolving Commitment Increase” shall have the
meaning assigned to such term in Section 2.24(a).

 

“Revolving Commitment Increase Lender” shall
have the meaning assigned to such term in Section 2.24(b).

 

“Revolving Credit Borrowing” shall mean a
Borrowing comprised of Revolving Loans.

 

“Revolving Credit Commitment” shall mean, with
respect to each Lender, the commitment of such Lender to make Revolving Loans
(and acquire participations in Letters of Credit and Swingline Loans) hereunder
as set forth on Schedule 2.01, or in the Assignment and Acceptance
pursuant to which such Lender assumed its Revolving Credit Commitment, as
applicable, as the same may be (a) reduced from time to time pursuant to Section 2.09
or 2.21(a) and (b) reduced or increased from time to time
pursuant to assignments by or to such Lender pursuant to Section 9.04.

 

“Revolving Credit Exposure” shall mean, with
respect to any Lender at any time, the aggregate principal amount at such time
of all outstanding Revolving Loans of such Lender, plus the aggregate
amount at such time of such Lender’s L/C Exposure, plus the aggregate
amount at such time of such Lender’s Swingline Exposure.

 

40

 

“Revolving Credit Lender” shall mean a Lender
with a Revolving Credit Commitment or any Revolving Credit Exposure.

 

“Revolving Credit Maturity Date” shall mean
June 29, 2013.

 

“Revolving Loans” shall mean the revolving
loans made by the Lenders to the Borrowers pursuant to Section 2.01(c).

 

“S&P” shall mean Standard &
Poor’s, a division of The McGraw-Hill Companies, Inc., and any successor
thereto.

 

“Sale and Lease-Back Transaction” shall mean
any arrangement providing for the leasing by the Parent Borrower or any of its
Restricted Subsidiaries of any real or tangible personal property, which
property has been or is to be sold or transferred by the Parent Borrower or
such Restricted Subsidiary to a third Person in contemplation of such leasing.

 

“SEC “ shall mean the U.S. Securities and
Exchange Commission.

 

“Section 5.04 Financials” shall mean the
financial statements delivered, or required to be delivered, pursuant to Sections 5.04(a) and
(b).

 

“Secured Indebtedness” shall mean any
Indebtedness of the Parent Borrower or any of its Restricted Subsidiaries
secured by a Lien.

 

“Secured Obligations” shall mean all
obligations defined as “Obligations” in the Guarantee and Collateral Agreement
and the other Security Documents.

 

“Secured Parties” shall mean the “Secured
Parties” as defined in the Guarantee and Collateral Agreement.

 

“Securities Act” shall mean the Securities Act
of 1933, as amended, and the rules and regulations of the SEC promulgated
thereunder.

 

“Security Documents” shall mean the Mortgages,
Guarantee and Collateral Agreement, the Intellectual Property Security
Agreements and the Perfection Certificate and each of the other instruments and
documents executed and delivered with respect to the Collateral pursuant to Section 5.09,
5.10 or 9.08(g).

 

“Similar Business” shall mean any business and
any services, activities or businesses incidental, or directly related or
similar to, or complementary to any line of business engaged in by the Company
and its subsidiaries on the Closing Date or any business activity that is a
reasonable extension, development or expansion thereof or ancillary thereto.

 

 “Solvent”
shall mean, with respect to any Person, (a) on a going concern basis the
consolidated fair value of the assets of such Person and its subsidiaries, at a
fair valuation, will exceed their consolidated debts and liabilities, subordinated,
contingent or otherwise; (b) the consolidated present fair saleable value
of the property of such Person and its subsidiaries will be greater than the
amount that will be required to pay the probable liability of their
consolidated debts and other liabilities, subordinated, contingent or
otherwise, as such debts and other liabilities become absolute and matured;
(c) such Person and its subsidiaries will be able to pay their
consolidated debts and liabilities, subordinated, contingent or otherwise, as
such debts and liabilities become absolute and matured; and (d) such
Person and its subsidiaries, taken as a whole, will not have unreasonably small
capital with which to conduct the business in which they are engaged.  The amount of contingent liabilities at any
time shall be computed as the amount that, in the 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.

 

“SPC” shall have the meaning assigned to such
term in Section 9.04(i).

 

41

 

“Special Notice Currency” means at any time an
Alternative Currency, other than the currency of a country that is a member of
the Organization for Economic Cooperation and Development at such time located
in North America or Europe.

 

“Specified Default” shall have the meaning
assigned to such term in Section 2.13(b).

 

“Sponsor” shall mean Madison Dearborn Partners,
LLC and each of its Affiliates but not including, however, any operating
portfolio companies of any of the foregoing.

 

“Sponsor Management Agreement” shall mean
collectively (a) the management agreement between certain management
companies associated with the Sponsor and the Parent Borrower and any direct or
indirect parent company, and (b) the MDP Unit Purchase Agreement, in each
case, as in effect on the Closing Date.

 

“Statutory Reserves” shall mean a fraction
(expressed as a decimal), the numerator of which is the number one and the
denominator of which is the number one minus the aggregate of the maximum
reserve percentages (including any marginal, special, emergency or supplemental
reserves) applicable on the interest rate determination date (expressed as a
decimal) established by the Board and applicable to any member of bank of the
Federal Reserve System in respect of Eurocurrency Liabilities (as defined in
Regulation D of the Board).

 

“Sterling”
and the sign “£”each
means the lawful money of United Kingdom.

 

“Subordinated Indebtedness” shall mean any
Indebtedness of either Borrower and the Guarantors which is by its terms
subordinated in right of payment to the Obligations of the Parent Borrower or
such Guarantor, as applicable.

 

“subsidiary” shall mean, with respect to any
Person (herein referred to as the “parent”), any corporation,
partnership, limited liability company, association or other business entity of
which securities or other ownership interests representing more than 50% of the
ordinary voting power or more than 50% of the general partnership interests
are, at the time any determination is being made, owned or held by the parent,
one or more subsidiaries of the parent or a combination thereof.  Unless otherwise specified, “subsidiary”
shall mean any subsidiary of the Parent Borrower.

 

“Subsidiary Guarantor” shall mean each
subsidiary listed on Schedule 1.01(a), and each other subsidiary
that is or becomes a party to the Guarantee and Collateral Agreement pursuant
to Section 5.09 or otherwise, excluding (a) any Excluded
Subsidiary and (b) any Foreign Subsidiary.

 

“Successor Company” shall have the meaning
assigned to such term in Section 6.04(a)(i).

 

“Successor Person” shall have the meaning
assigned to such term in Section 6.04(c)(i).

 

“Survey” shall mean a survey of any Mortgaged
Property (and all improvements thereon) which is (a) (i) prepared by
a surveyor or engineer licensed to perform surveys in the jurisdiction where
such Mortgaged Property is located, (ii) dated (or redated) not earlier
than six months prior to the date of delivery thereof unless there shall have
occurred within six months prior to such date of delivery any material exterior
construction on the site of such Mortgaged Property or any material easement,
right of way or other interest in the Mortgaged Property has been granted or
become effective through operation of law or otherwise with respect to such
Mortgaged Property which, in either case, can be depicted on a survey, in which
events, as applicable, such survey shall be dated (or redated) within a
reasonable period after the completion of such construction or if such
construction shall not have been completed as of such date of delivery, not
earlier than 20 days prior to such date of delivery, or after the grant or
effectiveness of any such easement, right of way or other interest in the
Mortgaged Property, (iii) certified by the surveyor (in a manner
reasonably acceptable to the Administrative Agent) to the Administrative Agent,
the Collateral Agent and the Title Company, (iv) complying in all respects
with the minimum detail requirements of the American Land Title Association as
such requirements are in effect on the date of preparation of such survey and
(v) sufficient for the Title Company to remove all standard survey
exceptions from the title insurance policy (or

 

42

 

commitment)
relating to such Mortgaged Property and issue the endorsements of the type
required by Section 5.10 or (b) otherwise reasonably
acceptable to the Collateral Agent.

 

 “Swingline
Commitment” shall mean the commitment of the Swingline Lender to make loans
pursuant to Section 2.22, as the same may be reduced from time to
time pursuant to Section 2.09.

 

“Swingline Exposure” shall mean, at any time,
the aggregate principal amount at such time of all outstanding Swingline
Loans.  The Swingline Exposure of any
Revolving Credit Lender at any time shall equal its Pro Rata Percentage of the
aggregate Swingline Exposure at such time.

 

“Swingline Lender” shall mean Bank of America,
N.A., acting through any of its Affiliates or branches, in its capacity as
lender of Swingline Loans hereunder.

 

“Swingline Loan” shall mean any loan made by
the Swingline Lender pursuant to Section 2.22.

 

“TARGET Day” shall mean any day on which the
Trans-European Automated Real-time Gross Settlement Express Transfer (TARGET)
payment system (or, if such payment system ceases to be operative, such other
payment system (if any) determined by the Administrative Agent to be a suitable
replacement) is open for the settlement of payments in Euro.

 

“Target Material Adverse Effect” shall mean
means any  event, change or
effect that is materially adverse to the business, properties, assets,
financial condition or results of operations of the Company and its
subsidiaries taken as a whole; provided, however, that to the extent any event, change or
effect is caused by or results from any of the following, it shall not be taken
into account in determining whether there has been or will be a “Target
Material Adverse Effect”:  (i) any
announcement relating to the sale of the Company (including losses or
threatened losses of the relationships of the Company or any of its
subsidiaries with customers, distributors or suppliers), actions contemplated
by the Merger Agreement or the performance of obligations thereunder,
(ii) the identity of Holdings or any of its Affiliates as the acquirer of
the Company, (iii) changes affecting the United States or European economy
or financial or securities markets as a whole or changes that are the result of
factors generally affecting the industries in which the Company and its
subsidiaries conduct their business, (iv) any change in any applicable
Laws or accounting standards or principles or interpretation thereof after the
date hereof, (v) the availability or cost of financing to Holdings or
Merger Sub and (vi) the commencement, occurrence or continuation of any
war, armed hostilities or acts of terrorism involving or affecting the United
States of America or any part thereof, except, in the case of the foregoing clause
(iii) only, to the extent such changes do not materially
disproportionately impact the Company and its subsidiaries, taken as a whole, relative
to other companies in the industries in which the Company and its subsidiaries
conduct their business.

 

“Taxes” shall mean any and all present or
future taxes, levies, imposts, duties, deductions, charges, liabilities or
withholdings imposed by any Governmental Authority.

 

“Tender Offer” shall have the meaning assigned
to such term in the preamble.

 

“Term Loan” shall mean each of the Dollar Term
Loan, the Euro Term Loans and, if applicable, any Incremental Term Loans.

 

“Term Loan Borrowing” shall mean a Dollar Term
Loan Borrowing or a Euro Term Loan Borrowing.

 

“Term Loan Commitment” shall mean each of the
Dollar Term Loan Commitments and the Euro Term Loan Commitments.

 

“Term Loan Lender” shall mean a Lender with a
Term Loan Commitment or an outstanding Term Loan.

 

“Term Loan Maturity Date” shall mean
June 29, 2014.

 

43

 

“Termination Date” shall mean the date upon which
all Commitments have terminated, no Letters of Credit are outstanding (or if
Letters of Credit remain outstanding, as to which an L/C Backstop exists), and
the Loans and L/C Exposure, together with all interest, Fees and other
non-contingent Obligations, have been paid in full in cash.

 

“Title Company” shall mean any title insurance
company as shall be retained by the Parent Borrower and reasonably acceptable
to the Administrative Agent.

 

“Total Assets” shall mean total assets of the
Parent Borrower and its Restricted Subsidiaries on a consolidated basis
prepared in accordance with GAAP, shown on the most recent balance sheet of the
Parent Borrower and its Restricted Subsidiaries as may be expressly stated.

 

“Total Revolving Credit Commitment” shall mean,
at any time, the aggregate amount of the Revolving Credit Commitments, as in
effect at such time. The Total Revolving Credit Commitment as of the Closing
Date is $250,000,000.

 

“Total Net Leverage Ratio”
shall mean the ratio of (i) (A) Consolidated Indebtedness of the Parent Borrower and its
Restricted Subsidiaries on such date minus (B) the amount of cash and Cash
Equivalents in excess of any Restricted Cash that would be stated on the
balance sheet of the Parent Borrower and its Restricted Subsidiaries (other
than Foreign Subsidiaries) and held by the Parent Borrower and its Restricted
Subsidiaries (other than Foreign Subsidiaries) as of such date of
determination, as determined in accordance with GAAP, minus (C) cash of Foreign Subsidiaries of the Parent
Borrower in an amount equal to the greater of (x) the aggregate amount of
Consolidated Indebtedness of Foreign Subsidiaries and (y) 60% of the cash
and Cash Equivalents reflected on the consolidated balance sheet of the Parent
Borrower delivered to the Administrative Agent as of the last day of the
relevant determination period to (ii) EBITDA
of the Parent Borrower and its Restricted Subsidiaries for the most recently
ended four fiscal quarters ending immediately prior to such date for which
Section 5.04 Financials have been delivered to the Administrative Agent.

 

“Transaction Expenses” shall mean any fees,
costs or expenses incurred or paid by the Sponsor, the Parent Borrower (or any
direct or indirect parent of the Parent Borrower) or any of its subsidiaries in
connection with the Transactions (including expenses in connection with hedging
transactions), the Sponsor Management Agreement, this Agreement and the other
Loan Documents and the transactions contemplated hereby and thereby.

 

“Transactions” shall mean, collectively,
(a) the Merger, (b) the Equity Investment, (c) the issuance of
the New Senior Notes, (d) the issuance of the New Mezzanine Notes,
(e) the funding of the Loans and the other transactions contemplated by
this Agreement and the other Loan Documents, (f) the consummation of the
refinancing of the Existing Debt as contemplated by Sections 4.02(l),
(g) the Tender Offer, and (h) the payment of Transaction Expenses.

 

“Treasury Capital Stock” shall have the meaning
set forth in Section 6.03(b)(ii).

 

“Type”, when used in respect of any Loan or
Borrowing, shall refer to the Rate by reference to which interest on such Loan
or on the Loans comprising such Borrowing is determined. For purposes hereof,
the term “Rate” shall mean the Adjusted LIBO Rate, the Alternate Base
Rate, the BA Rate and the Canadian Base Rate.

 

“Uniform Commercial Code” or “UCC” means
the Uniform Commercial Code as in effect in any applicable jurisdiction from
time to time.

 

“Unrestricted Subsidiary” shall mean:

 

(a)           any
subsidiary of the Parent Borrower which at the time of determination is an Unrestricted
Subsidiary (as designated by the Parent Borrower, as provided in Section 5.11);
and

 

(b)           any
subsidiary of an Unrestricted Subsidiary.

 

44

 

“USA PATRIOT Act” shall mean The Uniting and
Strengthening America by Providing Appropriate Tools Required to Intercept and
Obstruct Terrorism Act of 2001 (Title III of Pub. L. No. 107-56
(signed into law October 26, 2001)).

 

“Weighted Average Life to Maturity” shall mean,
when applied to any Indebtedness, Disqualified Stock or Preferred Stock, as the
case may be, at any date, the quotient obtained by dividing:

 

(a)           the
sum of the products of the number of years from the date of determination to
the date of each successive scheduled principal payment of such Indebtedness or
redemption or similar payment with respect to such Disqualified Stock or
Preferred Stock multiplied by the amount of such payment; by

 

(b)           the
sum of all such payments.

 

“Wholly-Owned Subsidiary” of any Person shall
mean a subsidiary of such Person, 100% of the Equity Interests of which (other
than directors’ qualifying shares) shall be owned by such Person or by one or
more Wholly-Owned Subsidiaries of such Person.

 

“Withdrawal Liability” shall mean liability to
a Multiemployer Plan as a result of a complete or partial withdrawal from such
Multiemployer Plan, as such terms are defined in Part I of Subtitle E of
Title IV of ERISA.

 

SECTION 1.02.      Terms Generally.  The definitions in Section 1.01
shall apply equally to both the singular and plural forms of the terms defined.  Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and neuter forms.  The words “include”, “includes” and
“including” shall be deemed to be followed by the phrase “without limitation”.
The word “will” shall be construed to have the same meaning and effect as the
word “shall”; and the words “asset” and “property” shall be construed as having
the same meaning and effect and to refer to any and all tangible and intangible
assets and properties, including cash, securities, accounts and contract
rights.  The words “herein”, “hereof” and
“hereunder”, and words of similar import, shall be construed to refer to this
Agreement in its entirety and not to any particular provision of this Agreement
unless the context shall otherwise require. 
All references herein to Articles, Sections, paragraphs, clauses,
subclauses, Exhibits and Schedules shall be deemed references to Articles,
Sections, paragraphs, clauses and subclauses of, and Exhibits and Schedules to,
this Agreement unless the context shall otherwise require.  Except as otherwise expressly provided
herein, the Total Net Leverage Ratio (and the financial definitions used
therein) shall be construed in accordance with GAAP, as in effect on the
Closing Date; provided, however, that if the Parent Borrower
notifies the Administrative Agent that the Parent Borrower wishes to amend the
Total Net Leverage Ratio or any financial definition used therein to implement
the effect of any change in GAAP or the application thereof occurring after the
Closing Date on the operation thereof (or if the Administrative Agent notifies
the Parent Borrower that the Required Lenders wish to amend the Total Net
Leverage Ratio or any financial definition used therein for such purpose), then
the Parent Borrower and the Administrative Agent shall negotiate in good faith
to amend the Total Net Leverage Ratio or the definitions used therein (subject
to the approval of the Required Lenders) to preserve the original intent
thereof in light of such changes in GAAP; provided that all
determinations made pursuant to the Total Net Leverage Ratio or any financial
definition used therein shall be determined on the basis of GAAP as applied and
in effect immediately before the relevant change in GAAP or the application
thereof became effective, until the Total Net Leverage Ratio or such financial
definition is amended.  All accounting
terms not specifically or completely defined herein shall be construed in
conformity with, and all financial data required to be submitted pursuant to
this Agreement shall be prepared in conformity with, GAAP, as in effect from
time to time.

 

SECTION 1.03.      Classification of Loans and Borrowings.  For purposes of this Agreement, Loans may be
classified and referred to by Class (e.g., a “Revolving Loan”) or
by Type (e.g., a “Eurodollar Loan”) or by Class and Type (e.g.,
a “Eurodollar Revolving Loan”). Borrowings also may be classified and referred
to by Class (e.g., a “Revolving Credit Borrowing”) or by Type (e.g.,
a “Eurodollar Borrowing”) or by Class and Type (e.g., a “Eurodollar
Revolving Credit Borrowing”).

 

SECTION 1.04.      Rounding.  The calculation of any financial ratios under
this Agreement shall be calculated by dividing the appropriate component by the
other component, carrying the result to one place more than

 

45

 

the
number of places by which such ratio is expressed herein and rounding the
result up or down to the nearest number (with a rounding-down if there is no
nearest number).

 

SECTION 1.05.      References to Agreements and Laws.  Unless otherwise expressly provided herein,
(a) all references to documents, instruments and other agreements
(including the Loan Documents and organizational documents) shall be deemed to
include all subsequent amendments, restatements, amendments and restatements,
supplements and other modifications thereto, but only to the extent that such
amendments, restatements, amendments and restatements, supplements and other
modifications are not prohibited by any Loan Document and (b) references
to any law, statute, rule or regulation shall include all statutory and
regulatory provisions consolidating, amending, replacing, supplementing or
interpreting such law.

 

SECTION 1.06.      Times of Day.  Unless otherwise specified, all references
herein to times of day shall be references to Eastern time (daylight or
standard, as applicable).

 

SECTION 1.07.      Timing of Payment or Performance.  When the payment of any obligation or the performance
of any covenant, duty or obligation is stated to be due or performance required
on a day which is not a Business Day, the date of such payment or performance
shall extend to the immediately succeeding Business Day and such extension of
time shall be reflected in computing interest or fees, as the case may be; provided
that with respect to any payment of interest on or principal of Eurodollar
Loans, if such extension would cause any such payment to be made in the next
succeeding calendar month, such payment shall be made on the immediately
preceding Business Day.

 

SECTION 1.08.      Letter of Credit Amounts.  Unless otherwise specified herein, the amount
of a Letter of Credit at any time shall be deemed to be the Dollar Equivalent
of the stated amount of such Letter of Credit in effect at such time.

 

SECTION 1.09.      Exchange Rate; Currency Equivalents Generally.  For purposes of determining compliance with
the provisions of this Agreement on any date of determination (including the
issuance, amendment or extension of a Letter of Credit), any Alternative
Currency will be converted to dollars on the basis of the Spot Rate (as defined
below) as determined by the Administrative Agent at such time.  Notwithstanding the foregoing, for purposes
of determining compliance with Article II and Sections 6.01,
6.02 and 6.03 of this Agreement with respect to any amount of
Indebtedness or Investment denominated in an Alternative Currency, no Default
shall be deemed to have occurred solely as a result of changes in rates of
exchange occurring after the time such Indebtedness or Investment is incurred
or made; provided that, for the avoidance of doubt, the foregoing
provisions of this Section 1.09 shall otherwise apply to such
Article and such Sections, including with respect to determining whether
any Indebtedness or Investment (not previously incurred or made on any date)
may be incurred or made under such Article and such Sections.  For purposes of this Section 1.09,
the “Spot Rate” for a currency means the rate determined by the Administrative
Agent to be the rate quoted by the Person acting in such capacity as the spot
rate for the purchase by such Person of such currency with another currency
through its principal foreign exchange trading office at approximately
11:00 a.m. on the date two Business Days prior to the date of such
determination; provided that the Administrative Agent may obtain such
spot rate from another financial institution designated by the Administrative
Agent if the Person acting in such capacity does not have as of the date of
determination a spot buying rate for any such currency.

 

SECTION 1.10.      Alternative Currencies.  Each provision of this Agreement shall be
subject to such reasonable changes of construction as the Administrative Agent
may from time to time specify with the Parent Borrower’s consent to
appropriately reflect a change in currency of any country and any relevant
market conventions or practices relating to such change in currency.

 

SECTION 1.11.      Pro Forma Calculations.  For purposes of determining whether any
action is otherwise permitted to be taken hereunder, the Total Net Leverage
Ratio shall be calculated as follows:

 

(a)           In the event that the Parent Borrower
or any Restricted Subsidiary (i) incurs, redeems, retires or extinguishes
any Indebtedness or (ii) issues or redeems Disqualified Stock or Preferred
Stock subsequent to the commencement of the period for which such ratio is
being calculated but prior to or

 

46

 

simultaneously
with the event for which the calculation of such ratio is made (a “Ratio
Calculation Date”), then such ratio shall be calculated giving pro forma
effect to such incurrence, redemption, retirement or extinguishment of
Indebtedness, or such issuance or redemption of Disqualified Stock or Preferred
Stock, as if the same had occurred at the beginning of the applicable
four-quarter period.

 

(b)           For purposes of making the
computation referred to above, Investments, acquisitions, dispositions, mergers,
amalgamations, consolidations and discontinued operations (as determined in
accordance with GAAP), in each case with respect to an operating unit of a
business made (or committed to be made pursuant to a definitive agreement)
during the four-quarter reference period or subsequent to such reference period
and on or prior to or simultaneously with the relevant Ratio Calculation Date,
and other operational changes that the Parent Borrower or any of its Restricted
Subsidiaries has determined to make and/or made during the four-quarter
reference period or subsequent to such reference period and on or prior to or
simultaneously with such Ratio Calculation Date shall be calculated on a pro
forma basis in accordance with GAAP assuming that all such Investments,
acquisitions, dispositions, mergers, amalgamations, consolidations,
discontinued operations and other operational changes had occurred on the first
day of the four-quarter reference period. If since the beginning of such period
any Person that subsequently became a Restricted Subsidiary or was merged with
or into the Parent Borrower or any of its Restricted Subsidiaries since the
beginning of such period shall have made any Investment, acquisition,
disposition, merger, amalgamation, consolidation, discontinued operation or
operational change, in each case with respect to an operating unit of a business,
that would have required adjustment pursuant to this definition, then such
ratio shall be calculated giving pro forma effect thereto for such period as if
such Investment, acquisition, disposition, merger, consolidation, discontinued
operation or operational change had occurred at the beginning of the applicable
four-quarter period.

 

(c)           For purposes of this Section 1.11,
whenever pro forma effect is to be given to any Investment, acquisition,
disposition, merger, amalgamation, consolidation, discontinued operation or
operational change, the pro forma calculations shall be made in good faith by a
responsible financial or accounting officer of the Parent Borrower. Any such
pro forma calculation may include adjustments appropriate, in the reasonable
determination of the Parent Borrower as set forth in an Officer’s Certificate,
to reflect (i) operating expense reductions and other operating
improvements or synergies reasonably expected to result from any acquisition,
amalgamation, merger or operational change (including, to the extent
applicable, from the Transactions) and (ii) all adjustments of the nature
used in connection with the calculation of “Adjusted EBITDA” as set forth in
footnote (5) to the “Summary Historical and Pro Forma Financial Data”
under “Offering Circular Summary” in the offering circular for the New Senior
Notes to the extent such adjustments, without duplication, continue to be
applicable to such four-quarter period; provided that such operating
expense reductions and other operating improvements or synergies are reasonably
identifiable and factually supportable and otherwise comply with the
limitations set forth in the definition of “EBITDA”.

 

ARTICLE II

 

The Credits

 

SECTION 2.01.      Commitments.  Subject to the terms and conditions herein
set forth, each Lender agrees, severally and not jointly, (a) to make a
Dollar Term Loan to the Parent Borrower on the Closing Date in a principal
amount not to exceed its Dollar Term Loan Commitment, (b) to make a Euro
Term Loan to the Parent Borrower on the Closing Date in a principal amount
not to exceed its Euro Term Loan Commitment and (c) to make Revolving
Loans to the Borrowers, at any time and from time to time on and after the
Closing Date, and until the earlier of the Revolving Credit Maturity Date and
the termination of the Revolving Credit Commitment of such Lender in accordance
with the terms hereof, in an aggregate principal amount at any time outstanding
that will not result in such Lender’s Revolving Credit Exposure exceeding
such Lender’s Revolving Credit Commitment; provided that (x) no
Revolving Credit Lender shall make any Revolving Loans in any Alternative
Currency if, after giving effect to the making of such Revolving Loan, the sum
of the Dollar Equivalent of the then outstanding Revolving Loans in Alternative
Currencies and the then outstanding L/C Exposure in Alternative Currencies
would exceed $85,000,000  (the “Alternative
Currency Sublimit”) and (y) the aggregate amount of Revolving Loans (the “Foreign
Subsidiary

 

47

 

Borrower Sublimit”)
made to Foreign Subsidiary Borrowers shall at no time exceed $50,000,000 (it
being understood that the Administrative Agent shall calculate the Dollar
Equivalent of the then outstanding Revolving Credit Loans in any Alternative
Currency and the then outstanding L/C Exposure with respect to any Letters of
Credit issued in an Alternative Currency on the date on which the Parent
Borrower has given the Administrative Agent a Borrowing Request with respect to
any Revolving Loan for purposes of determining compliance with this clause
(c)); and provided, further, that the aggregate principal
amount of Revolving Loans and Swingline Loans made on the Closing Date shall
not exceed $30,000,000. Within the limits set forth in clause (c) of
the preceding sentence and subject to the terms, conditions and limitations set
forth herein, the Borrowers may borrow, pay or prepay and reborrow Revolving
Loans.  Amounts paid or prepaid in
respect of Term Loans may not be reborrowed.

 

SECTION 2.02.      Loans.

 

(a)           Each Loan (other
than Swingline Loans) shall be made as part of a Borrowing consisting of Loans
made by the Lenders ratably in accordance with their applicable Commitments; provided,
however, that the failure of any Lender to make any Loan shall not
relieve any other Lender of its obligation to lend hereunder (it being understood,
however, that no Lender shall be responsible for the failure of any other
Lender to make any Loan required to be made by such other Lender).  Except for Loans deemed made pursuant to Section 2.02(f) and
subject to Section 2.22, the Loans comprising any Borrowing shall
be in an aggregate principal amount that is not less than the lesser of
(i)  the Minimum Currency Threshold or (ii) equal to the remaining
available balance of the applicable Commitments.

 

(b)           Subject to Sections 2.02(e),
2.08 and 2.15, (i) all Loans denominated in dollars (other
than Swingline Loans) shall be made as ABR Loans or Eurodollar Loans,
(ii) all Loans denominated in Canadian Dollars shall be made as Canadian
Base Rate Loans or BA Rate Loans; provided,
however, that all such
Loans pursuant to the foregoing subclauses (i) and (ii) shall be
made as ABR Loans or Canadian Base Rate Loans, as applicable, unless, subject
to Section 2.15, the Borrowing Request specifies that all or a
portion thereof shall be Eurodollar Loans or BA Rate Loans, as applicable,
(iii) all Swingline Loans shall be dollar denominated and shall be made as
ABR Loans, and (iv) all Loans denominated in any currency other than dollars
or Canadian Dollars shall be made as Eurodollar Loans, as the Parent Borrower
may request pursuant to Section 2.03.  Each Lender may at its option make any
Eurodollar Loan or BA Rate Loan by causing any domestic or foreign branch or
Affiliate of such Lender to make such Loan; provided that any exercise
of such option shall not affect the obligation of the relevant Borrower to
repay such Loan in accordance with the terms of this Agreement.  Borrowings of more than one Type may be
outstanding at the same time; provided, however, that the
Borrowers shall not be entitled to request any Borrowing that, if made, would
result in more than fifteen Eurodollar Borrowings outstanding hereunder at any
time.

 

(c)           Except with respect
to Loans deemed made pursuant to Section 2.02(f) and subject
to Sections 2.03 and 2.22, each Lender shall make each Loan
to be made by it hereunder on the proposed date thereof by wire transfer of
immediately available funds to such account in New York City as the
Administrative Agent may designate not later than 11:00 a.m. and the Administrative
Agent shall promptly wire transfer the amounts so received to an account designated
by the relevant Borrower in the applicable Borrowing Request or, if a Borrowing
shall not occur on such date because any condition precedent herein specified
shall not have been met, return the amounts so received to the respective
Lenders.

 

(d)           Unless the
Administrative Agent shall have received notice from a Lender prior to the date
of any Borrowing that such Lender will not make available to the Administrative
Agent such Lender’s portion of such Borrowing, the Administrative Agent may
assume that such Lender has made such portion available to the Administrative
Agent on the date of such Borrowing in accordance with paragraph (c) above
and the Administrative Agent may, in reliance upon such assumption, make
available to the relevant Borrower on such date a corresponding amount. If the
Administrative Agent shall have so made funds available then, to the extent
that such Lender shall not have made such portion available to the
Administrative Agent, such Lender and the relevant Borrower severally agree to
repay to the Administrative Agent forthwith on demand such corresponding amount
together with interest thereon, for each day from the date such amount is made
available to the relevant Borrower to but excluding the date such amount is repaid
to the Administrative Agent at (i) in the case of the Borrowers, a rate
per annum equal to the interest rate applicable to the Loans comprising such
Borrowing at the time and (ii) in the case of such Lender, for the first
such day, the Federal Funds Effective Rate, and for each day thereafter, the
Alternate Base Rate plus the

 

48

 

Applicable Percentage for ABR Revolving Loans.  If such Lender shall repay to the
Administrative Agent such corresponding amount, such amount shall constitute
such Lender’s Loan as part of such Borrowing for purposes of this Agreement and
(x) the relevant Borrower’s obligation to repay the Administrative Agent
such corresponding amount pursuant to this Section 2.02(d) shall
cease and (y) if the relevant Borrower pays such amount to the Administrative
Agent, the amount so paid shall constitute a repayment of such Borrowing by
such amount.

 

(e)           Notwithstanding any
other provision of this Agreement, the Borrowers shall not be entitled to request
any Eurodollar Borrowing or BA Rate Borrowing if the Interest Period requested
with respect thereto would end after the Revolving Credit Maturity Date or the
Term Loan Maturity Date, as applicable.

 

(f)            If the relevant
Issuing Bank shall not have received from the relevant Borrower the payment required
to be made by Section 2.23(e) within the time specified in
such Section, such Issuing Bank will promptly notify the Administrative Agent
of the L/C Disbursement and the Administrative Agent will promptly notify each
Revolving Credit Lender of such L/C Disbursement and its Pro Rata Percentage
thereof (and, in the case of any L/C Disbursement made in an Alternative
Currency, calculated using the Dollar Equivalent of such L/C Disbursement, as
determined on the date on which such L/C Disbursement was made by the relevant
Issuing Bank).  Each Revolving Credit
Lender shall pay by wire transfer of immediately available funds in dollars to
the Administrative Agent not later than 2:00 p.m. on such date (or, if
such Revolving Credit Lender shall have received such notice later than 12:00
(noon) on any day, not later than 10:00 a.m. on the immediately following
Business Day), an amount equal to such Lender’s Pro Rata Percentage of such L/C
Disbursement as determined above  (it being
understood that such amount shall be deemed to constitute an ABR Revolving Loan
of such Lender and such payment shall be deemed to have reduced the L/C
Exposure), and the Administrative Agent will promptly pay to the relevant
Issuing Bank amounts so received by it from the Revolving Credit Lenders.  The Administrative Agent will promptly pay to
the Issuing Bank any amounts received by it from the relevant Borrower pursuant
to Section 2.23(e) prior to the time that any Revolving Credit
Lender makes any payment pursuant to this paragraph (f); any such
amounts received by the Administrative Agent thereafter will be promptly
remitted by the Administrative Agent to the Revolving Credit Lenders that shall
have made such payments and to such Issuing Bank, as their interests may
appear. If any Revolving Credit Lender shall not have made its Pro Rata
Percentage of such L/C Disbursement available to the Administrative Agent as
provided above, such Lender and the relevant Borrower severally agrees to pay
interest on such amount, for each day from and including the date such amount
is required to be paid in accordance with this paragraph to but excluding the
date such amount is paid, to the Administrative Agent for the account of the
relevant Issuing Bank at (i) in the case of the relevant Borrower, a rate
per annum equal to the interest rate applicable to Revolving Loans pursuant to Section 2.06(a),
and (ii) in the case of such Lender, for the first such day, the Federal
Funds Effective Rate  (or, in the
case of amounts owed in an Alternative Currency, at the respective Issuing
Bank’s customary rate for interbank advances denominated in such Alternative
Currency), and for each day thereafter, the interest rate applicable to ABR
Revolving Loans.

 

SECTION 2.03.      Borrowing Procedure.  In order to request a Borrowing (other than a
Swingline Loan  or a deemed Borrowing
pursuant to Section 2.02(f), as to which this Section 2.03
shall not apply), the relevant Borrower shall notify the Administrative Agent
of such request by telephone (a) in the case of a Eurodollar Borrowing or
a BA Rate Borrowing, not later than 12:30 p.m. 3 Business Days (or 4
Business Days in the case of a Special Notice Currency) before a proposed
Borrowing and (b) in the case of an ABR Borrowing or Canadian Base Rate
Borrowing, not later than 12:30 p.m. 1 Business Day before a proposed
Borrowing.  Each such telephonic request
shall be irrevocable, shall be confirmed promptly by hand delivery or fax to
the Administrative Agent of a written Borrowing Request and shall specify the
following information:  (i) whether
the Borrowing then being requested is to be a Dollar Term Loan Borrowing, Euro
Term Loan Borrowing or a Revolving Credit Borrowing, and whether such Borrowing
is to be a Eurodollar Borrowing or an ABR Borrowing or, in the case of a
Borrowing in Canadian Dollars, whether such Borrowing is to be a BA Rate Borrowing
or a Canadian Base Rate Borrowing; (ii) the date of such Borrowing (which
shall be a Business Day); (iii) the number and location of the account to
which funds are to be disbursed; (iv) the amount and currency of such Borrowing;
and (v) if such Borrowing is to be a Eurodollar Borrowing or a BA Rate
Borrowing, the initial Interest Period or Interest Periods with respect thereto
and (vi) the Revolving Credit Exposure (after giving effect to the proposed
Borrowing); provided, however, that notwithstanding any contrary
specification in any Borrowing Request, each requested Borrowing shall comply
with the requirements set forth in Section 2.02. If no election as
to the Type of Borrowing is specified in any such notice, then the requested
Borrowing shall be an ABR Borrowing or, in the case of a Borrowing in Canadian
Dollars, a

 

49

 

Canadian
Base Rate Borrowing. If no Interest Period with respect to any Eurodollar
Borrowing is specified in any such notice, then the relevant Borrower shall be
deemed to have selected an Interest Period of 1 month’s duration. The Administrative
Agent shall promptly advise the applicable Lenders of any notice given pursuant
to this Section 2.03 (and the contents thereof), and of each
Lender’s portion of the requested Borrowing.

 

SECTION 2.04.      Evidence of Debt; Repayment of Loans.

 

(a)           (i) The Parent
Borrower hereby unconditionally promises to pay to the Administrative Agent for
the account of each Lender, (x)  the principal amount of each Term Loan of
such Lender as provided in Section 2.11 and (y) on the
Revolving Credit Maturity Date, the then unpaid principal amount of each
Revolving Loan of such Lender made to the Parent Borrower and (ii) each
Foreign Subsidiary Borrower hereby unconditionally promises to pay to the
Administrative Agent for the account of each Lender on the Revolving Credit
Maturity Date, the then unpaid principal amount of each Revolving Loan made by
such Lender to such Foreign Subsidiary Borrower. Each Borrower hereby promises
to pay to the Swingline Lender on the Revolving Credit Maturity Date the then
unpaid principal amount of each Swingline Loan made to such Borrower.

 

(b)           Each Lender shall
maintain in accordance with its usual practice an account or accounts evidencing
the indebtedness of the relevant Borrower to such Lender resulting from each
Loan made by such Lender from time to time, including the amounts of principal
and interest payable and paid to such Lender from time to time under this
Agreement.

 

(c)           The Administrative
Agent shall maintain accounts in which it will record (i) the relevant Borrower,
(ii) the amount of each Loan made hereunder, the Class and Type
thereof and, if applicable, the Interest Period applicable thereto,
(iii) the amount of any principal or interest due and payable or to become
due and payable from the relevant Borrower to each Lender hereunder and
(iv) the amount of any sum received by the Administrative Agent hereunder
from the Borrowers or any Guarantor and each Lender’s share thereof.

 

(d)           The entries made in
the accounts maintained pursuant to paragraphs (b) and (c) above
shall be prima  facie evidence of the
existence and amounts of the obligations therein recorded; provided, however, that the failure of any
Lender or the Administrative Agent to maintain such accounts or any error
therein shall not in any manner affect the obligations of the Borrowers to
repay the Loans in accordance with the terms of this Agreement.

 

(e)           Any Lender may
request that Loans made by it hereunder be evidenced by a promissory note in
substantially the form of Exhibit G-1 or Exhibit G-2,
as applicable, with appropriate insertions and deletions (each, a “Note”).  In such event, the relevant Borrower shall
execute and deliver to such Lender a Note payable to such Lender and its
permitted registered assigns. 
Notwithstanding any other provision of this Agreement, in the event any
Lender shall request and receive such a Note, the interests represented by such
Note shall at all times (including after any assignment of all or part of such
interests pursuant to Section 9.04) be represented by one or more
Notes payable to the payee named therein or its registered assigns.

 

SECTION 2.05.      Fees.

 

(a)           The Parent Borrower
agrees to pay to each Revolving Credit Lender, through the Administrative
Agent, on the last Business Day of March, June, September and
December of each year, commencing September 30, 2007, and on
each date on which the Revolving Credit Commitment of such Lender shall expire
or be terminated as provided herein, a commitment fee (a “Commitment Fee”)
equal to the Applicable Percentage per annum on the daily unused amount of the
Revolving Credit Commitment of such Lender during the preceding quarter (or
other period commencing with the Closing Date or ending with the Revolving
Credit Maturity Date or the date on which the Revolving Credit Commitment of
such Lender shall be terminated); provided any Commitment Fee accrued
with respect to the Revolving Credit Commitment of a Defaulting Lender during
the period prior to the time such Lender became a Defaulting Lender and unpaid
at such time shall not be payable by the Parent Borrower so long as such Lender
shall be a Defaulting Lender, except to the extent that such Commitment Fee
shall otherwise have been due and payable by the Parent Borrower prior to such
time; and provided, further, that no Commitment Fee shall accrue
on the Revolving Credit Commitment of a Defaulting Lender so long as such
Lender shall be a Defaulting Lender.

 

50

 

(b)           The Parent Borrower
agrees to pay to the Administrative Agent, for its own account, the administrative
fees set forth in the Fee Letter at the times and in the amounts specified
therein (the “Administration Fee”).

 

(c)           The relevant
Borrower agrees to pay (i) to each Revolving Credit Lender, through the
Administrative Agent, on the last Business Day of March, June, September and
December of each year, commencing September 30, 2007, and on the
date on which the Revolving Credit Commitment of such Lender shall be
terminated as provided herein, a fee (an “L/C Participation Fee”)
calculated on such Lender’s Pro Rata Percentage of the daily aggregate undrawn
amounts of all outstanding Letters of Credit) during the preceding quarter (or
shorter period commencing with the Closing Date or ending with the Revolving
Credit Maturity Date or the date on which all Letters of Credit have been
canceled or have expired and the Revolving Credit Commitments of all Lenders
shall have been terminated) at a rate per annum equal to the Applicable
Percentage from time to time used to determine the interest rate on Eurodollar
Revolving Credit Borrowings minus the Issuing Bank Fees referred to in clause (ii)(A) below,
and (ii) to the Issuing Bank (A) with respect to each outstanding
Letter of Credit a fronting fee that shall accrue at a rate of 0.125% per annum
(or such lesser rate as shall be separately agreed upon between the relevant
Borrower and the Issuing Bank) on the undrawn amount of such Letter of Credit,
payable quarterly in arrears on the last day of March, June, September and
December of each year, commencing September 30, 2007, and upon
expiration of the applicable Letter of Credit or any earlier termination of the
Revolving Credit Commitment and (B) within 30 days after demand therefor
the Issuing Bank’s standard fees with respect to the issuance, amendment,
renewal or extension of any Letter of Credit issued by such Issuing Bank or
processing of drawings thereunder (the fees in this clause (ii) being
collectively the “Issuing Bank Fees”).

 

(d)           All Fees shall be
computed on the basis of the actual number of days elapsed in a year of 360 days,
and shall be paid, in immediately available funds, to the Administrative Agent
for distribution, if and as appropriate, among the Lenders and the Issuing
Bank, except that the Issuing Bank Fees shall be paid directly to the Issuing
Bank.  Once paid, none of the Fees shall
be refundable under any circumstances absent manifest error.

 

SECTION 2.06.      Interest on Loans.

 

(a)           Subject to the
provisions of Section 2.07, the Loans comprising each
ABR Borrowing, including each Swingline Loan, shall bear interest at a
rate per annum equal to the Alternate Base Rate plus the Applicable Percentage
in effect from time to time.

 

(b)           Subject to the
provisions of Section 2.07, the Loans comprising each Canadian Base
Rate Borrowing shall bear interest at a rate per annum equal to the Canadian
Base Rate plus the Applicable Percentage in effect from time to time.

 

(c)           Subject to the
provisions of Section 2.07, Loans comprising a Eurodollar Borrowing
shall bear interest at a rate per annum equal to the Adjusted LIBO Rate for the
Interest Period in effect for such Borrowing plus the Applicable Percentage in
effect from time to time.

 

(d)           Subject to the
provisions of Section 2.07, Loans comprising a BA Rate Borrowing
shall bear interest at a rate per annum equal to the BA Rate for the Interest
Period in effect for such Borrowing plus the Applicable Percentage in effect
from time to time.

 

(e)           Interest, including
interest payable pursuant to Section 2.07, shall be computed on the
basis of the actual number of days elapsed over a year of 360 days (other than
computations of interest for ABR Loans, Canadian Base Rate Loans and Loans
denominated in Sterling which shall be made by the Administrative Agent on the basis of the actual number of days
elapsed over a year of 365 or 366 day, as applicable) and shall be calculated
from and including the date of the relevant Borrowing to, but excluding, the
date of repayment thereof.  Interest on
each Loan shall be payable on the Interest Payment Dates applicable to such
Loan, except as otherwise provided in this Agreement. The applicable Alternate
Base Rate, Adjusted LIBO Rate, Canadian Base Rate or BA Rate for each Interest
Period or day within an Interest Period, as the case may be, shall be determined
by the Administrative Agent, and such determination shall be conclusive absent
manifest error.

 

51

 

SECTION 2.07.      Default Interest.  If an Event of Default under
Section 7.01(b) or (c) shall have occurred and shall be
continuing, by acceleration or otherwise, then, upon the request of the
Required Lenders until the related defaulted amount shall have been paid in
full, to the extent permitted by law, such overdue amount shall bear interest
(after as well as before judgment), payable on demand, (a) in the case of
principal of a Loan, at the rate otherwise applicable to such Loan pursuant to Section 2.06
plus 2.00% per annum and (b) in all other cases, at a rate per annum equal
to the rate that would be applicable to an ABR Revolving Loan plus 2.00% per
annum.

 

SECTION 2.08.      Alternate Rate of Interest

 

(a)           .  In the event, and on each occasion, that
(i) the Administrative Agent shall have reasonably determined that
deposits in the principal amounts and denominations of the Loans comprising
such Borrowing are not generally available in the London interbank market, or
that the rates at which such deposits are being offered in the London interbank
market will not adequately and fairly reflect the cost to any participating
Lender of making or maintaining its Eurodollar Loan during such Interest
Period, or that reasonable means do not exist for ascertaining the Adjusted
LIBO Rate or BA Rate, as applicable, for such Interest Period or (ii) the
Required Lenders of any Class of Loans notify the Administrative Agent that the Adjusted LIBO
Rate or the BA Rate for any Interest Period will not adequately reflect the
cost to the Lenders in such Class of making or maintaining such Loans in
the applicable currency for such Interest Period, the Administrative Agent
shall, as soon as practicable thereafter, give written or fax notice of such
determination to the Parent Borrower and the Lenders. In the event of any such
determination, until the Administrative Agent shall have advised the Parent
Borrower and the participating Lenders that the circumstances giving rise to
such notice no longer exist (which the Administrative Agent agrees to give
promptly after such circumstances no longer exist), (x) each affected
Eurodollar Loan denominated in dollars shall automatically, on the last day of
the current Interest Period for such Loan, convert into a ABR Loan and the
obligations of the Lenders to make Adjusted LIBO Rate Loans denominated in
dollars or to convert Alternate Base Rate Loans into Adjusted LIBO Rate Loans
shall be suspended until the Administrative
Agent shall notify the Parent Borrower that the Required Lenders of
such affected Class of Loans have determined that the circumstances causing
such suspension no longer exist, (y) each BA Rate Loan shall automatically, on
the last day of the current Interest Period for such Loan, convert into a
Canadian Base Rate Loan and the obligations of the Revolving Lenders to make BA
Rate Loans or to convert Canadian Base Rate Loans into BA Rate Loans shall be
suspended until the Administrative Agent shall notify the Parent Borrower that
the Required Revolving Lenders have determined that the circumstances causing
such suspension no longer exist and (z) each Eurodollar Loan that is
denominated in a currency other than dollars, the affected Eurodollar Loans
shall be made or continued, as the case may be, as Eurodollar Loans with an
Interest Period of one month and the amount of interest payable in respect of
any such Eurodollar Loan shall be determined in accordance with the following provisions:

 

(i)           if
the Administrative Agent so requires, within five days of such notification the
Administrative Agent and the applicable
Borrower, as applicable, shall enter into negotiations with a view to agreeing
on a substitute basis for determining the rate of interest (a “Substitute Interest
Rate”) which may be applicable to affected Eurodollar Loans of such
Borrower in the future and any such Substitute Interest Rate that is agreed
shall take effect in accordance with its terms and be binding on each party
hereto; provided that the Administrative Agent may not agree on any such
Substitute Interest Rate without the prior consent of the Required Lenders of
the affected Class of Loans;

 

(ii)          if
no Substitute Interest Rate is agreed pursuant to clause (i) above, any
affected Eurodollar Loan shall bear interest during the subsequent Interest
Period at the rate per annum otherwise applicable to Eurodollar Loans under
such Credit Facility, except that in the place of the Adjusted LIBO Rate, the
Administrative Agent shall use the cost to the applicable Lender (as conclusively
certified by such Lender in a certificate to the Administrative Agent and the
applicable Borrower and expressed as a rate per annum) and containing a general
description of the source selected of funding such Loan from whatever source it
shall reasonably select; and

 

(iii)         if
the Administrative Agent has required a Borrower to enter into negotiations
pursuant to clause (i) above, the Administrative Agent may (acting on the
instructions of the Required Lenders of the affected Class of Loans)
declare that no further Eurodollar Loans in the applicable currency shall be
converted, continued or made unless a Substitute Interest Rate has been agreed
by the applicable Borrower and the Administrative Agent within 30 days of the
Administrative Agent having so required negotiations.

 

52

 

Each determination by the Administrative Agent under
this Section 2.08 shall be conclusive absent manifest error.

 

SECTION 2.09.      Termination and Reduction of Commitments.

 

(a)           The Term Loan
Commitments shall automatically terminate upon the making of the Term Loans on
the Closing Date.  The Revolving Credit
Commitments and the Swingline Commitment shall automatically terminate on the
Revolving Credit Maturity Date.  The L/C
Commitment shall automatically terminate on the earlier to occur of
(i) the termination of the Revolving Credit Commitments and (ii) the
date 5 days prior to the Revolving Credit Maturity Date, unless otherwise
agreed by each Issuing Bank and the Parent Borrower.

 

(b)           Upon at least 3
Business Days’ prior written or fax notice to the Administrative Agent, the
Parent Borrower may at any time in whole permanently terminate, or from time to
time in part permanently reduce, the Revolving Credit Commitments or the
Swingline Commitment; provided, however, that (i) each
partial reduction of the Revolving Credit Commitments shall be in an aggregate
amount of not less than the Minimum Currency Threshold and (ii) the Total
Revolving Credit Commitment shall not be reduced to an amount that is less than
the Aggregate Revolving Credit Exposure then in effect (after giving effect to
any repayment or prepayment effected simultaneously therewith).  Any notice given by the Parent Borrower
pursuant to this Section 2.09(b) shall be irrevocable; provided
that any such notice delivered by the Parent Borrower may state that such
notice is conditioned upon the effectiveness of other financing arrangements,
in which case such notice may be revoked by the Parent Borrower (by notice to
the Administrative Agent on or prior to the specified effective date) if such
condition is not satisfied.

 

(c)           Each reduction in
the Revolving Credit Commitments hereunder shall be made ratably among the
Lenders in accordance with their respective applicable Commitments; provided
that none of the Swingline Commitment, the L/C Commitment, the Alternative
Currency Sublimit or the Foreign Subsidiary Borrower Sublimit shall be reduced
unless the Revolving Commitment is reduced to an amount less than the Swingline
Commitment, the Letter of Credit Commitment, the Alternative Currency Sublimit
or the Foreign Subsidiary Borrower Sublimit, as applicable, then in effect (and
then only to the extent of such deficit). 
The Borrowers shall pay to the Administrative Agent for the account of
the Revolving Credit Lenders, on the date of each termination or reduction of
the Revolving Credit Commitments, the Commitment Fees on the amount of the
Revolving Credit Commitments so terminated or reduced accrued to but excluding
the date of such termination or reduction.

 

SECTION 2.10.      Conversion and Continuation of Borrowings.

 

The Borrowers shall have the right at any time upon
prior written or fax notice (or telephone notice promptly confirmed by written
or fax notice) to the Administrative Agent (i) not later than
12:30 p.m., 1 Business Day prior to conversion, to convert any dollar
denominated Eurodollar Borrowing into an ABR Borrowing or any BA Rate Borrowing
into a Canadian Base Rate Borrowing and (ii) not later than
12:30 p.m., 3 Business Days prior to conversion or continuation, to
convert any ABR Borrowing into a Eurodollar Borrowing, to convert any Canadian
Base Rate Borrowing into a BA Rate Borrowing, to continue any Eurodollar Borrowing
as a Eurodollar Borrowing for an additional Interest Period or to continue any
BA Rate Borrowing as a BA Rate Borrowing, subject in each case to the following:

 

(w)          each
conversion or continuation shall be made pro rata among the Lenders in
accordance with the respective principal amounts of the Loans comprising the
converted or continued Borrowing;

 

(x)            if
less than all of the outstanding principal amount of any Borrowing shall be
converted or continued, then each resulting Borrowing shall satisfy the
limitations specified in Sections 2.02(a) and 2.02(b) regarding
the principal amount and maximum number of Borrowings of the relevant Type;

 

(y)           each
conversion shall be effected by each Lender and the Administrative Agent recording,
for the account of such Lender, the Type of such Loan resulting from such
conversion and reducing the Loan (or portion thereof) of such Lender being
converted by an equivalent principal amount; accrued interest on any Eurodollar
Loan or BA Rate Loan (or portion thereof) being converted shall be paid by the
relevant Borrower at the time of conversion; and

 

53

 

(z)            if
any Eurodollar Borrowing or BA Rate Borrowing is converted at a time other than
the end of the Interest Period applicable thereto, the relevant Borrower shall
pay, upon demand, any amounts due to the Lenders pursuant to Section 2.16.

 

Each notice pursuant to this Section 2.10
shall be irrevocable (subject to Sections 2.08 and 2.15) and
shall refer to this Agreement and specify (i) the identity and amount of
the Borrowing that the relevant Borrower requests be converted or continued,
(ii) whether such Borrowing is to be converted to or continued as a
Eurodollar Borrowing, an Alternate Base Rate Borrowing, a BA Rate Borrowing or
a Canadian Base Rate Borrowing, (iii) if such notice requests a
conversion, the date of such conversion (which shall be a Business Day) and
(iv) if such Borrowing is to be converted to or continued as a Eurodollar
Borrowing or a BA Rate Borrowing, the Interest Period with respect thereto. If
no Interest Period is specified in any such notice with respect to any
conversion to or continuation as a Eurodollar Borrowing or BA Rate Borrowing,
the relevant Borrower shall be deemed to have selected an Interest Period of 1
month’s duration. The Administrative Agent shall advise the Lenders of any
notice given pursuant to this Section 2.10 and of each Lender’s
portion of any converted or continued Borrowing. If the relevant Borrower shall
not have given notice in accordance with this Section 2.10 to
continue any Borrowing into a subsequent Interest Period (and shall not otherwise
have given notice in accordance with this Section 2.10 to convert
such Borrowing), such Borrowing shall, at the end of the Interest Period
applicable thereto (unless repaid pursuant to the terms hereof), automatically
be converted into an Alternative Base Rate Borrowing or Canadian Base Rate
Borrowing.  This Section  2.10
shall not apply to Swingline Loans.

 

SECTION 2.11.      Repayment of Term Borrowings.

 

(a)           The Parent Borrower
shall repay to the Administrative Agent in dollars for the ratable account of
the Dollar Term Loan Lenders on the dates and in the amounts set forth below:

 

	
  Date

  	
   

  	
  Amount

  	
   

  
	
  09/30/09

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  12/31/09

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  03/31/10

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  06/30/10

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  09/30/10

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  12/31/10

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  03/31/11

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  06/30/11

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  09/30/11

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  12/30/11

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  03/30/12

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  06/29/12

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  09/28/12

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  12/31/12

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  03/28/13

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  06/28/13

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  9/30/13

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  12/31/13

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  03/31/14

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  06/30/14

  	
   

  	
  $

  	
  1,537,500

  	
   

  
	
  Term Loan
  Maturity Date

  	
   

  	
  $

  	
  584,250,000

  	
   

  

 

54

 

(b)           The Parent Borrower
shall repay to the Administrative Agent in dollars for the ratable account of
the Euro Term Loan Lenders on the dates and in the amounts set forth below:

 

	
  Date

  	
   

  	
  Amount

  	
   

  
	
  09/30/09

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  12/31/09

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  03/31/10

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  06/30/10

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  09/30/10

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  12/31/10

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  03/31/11

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  06/30/11

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  09/30/11

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  12/30/11

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  03/30/12

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  06/29/12

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  09/28/12

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  12/31/12

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  03/28/13

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  06/28/13

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  9/30/13

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  12/31/13

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  03/31/14

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  06/30/14

  	
   

  	
  €

  	
  1,500,000

  	
   

  
	
  Term Loan
  Maturity Date

  	
   

  	
  €

  	
  570,000,000

  	
   

  

 

(c)           To the extent not
previously paid, all Term Loans shall be due and payable on the Term Loan Maturity
Date, together with accrued and unpaid interest on the principal amount to be
paid to but excluding the date of payment.

 

(d)           All repayments
pursuant to this Section 2.11 shall be subject to Section 2.16,
but shall otherwise be without premium or penalty.

 

SECTION 2.12.      Optional Prepayment.

 

(a)           The Borrowers shall
have the right at any time and from time to time to prepay any Borrowing, in
whole or in part upon prior written or fax notice by the Parent Borrower (or
telephone notice promptly confirmed by written or fax notice) to the
Administrative Agent, not later than 12:30 p.m., 3 Business Days prior to
such prepayment in the case of Eurodollar Loans or BA Rate Loans and not later
than 12:30 p.m., 1 Business Day prior to such prepayment in the case of
ABR Loans or Canadian Base Rate Loans; provided, however, that
each partial prepayment shall be in an aggregate amount of not less than the
Minimum Currency Threshold.

 

(b)           Optional prepayments
of Dollar Term Loans shall be applied against the remaining scheduled installments
of principal due in respect of the Dollar Term Loans under Section 2.11(a) in
the manner specified by the Parent Borrower or, if not so specified on or prior
to the date of such optional prepayment, in direct order of maturity.  Optional prepayments of Dollar Term Loans and
any dollar denominated Incremental Term Loans shall be applied ratably among
the outstanding Dollar Term Loans and dollar denominated Incremental Term
Loans.

 

(c)           Optional prepayments
of Euro Term Loans shall be applied against the remaining scheduled installments
of principal due in respect of the Euro Term Loans under Section 2.11
in the manner specified by the Parent Borrower or, if not so specified on or
prior to the date of such optional prepayment, in direct order of
maturity.  Optional prepayments of Euro
Term Loans and any euro denominated Incremental Term Loans shall be applied
ratably among the outstanding Euro Term Loans and euro denominated Incremental
Term Loans.

 

(d)           Each notice of
prepayment shall specify the prepayment date and the principal amount of each
Borrowing (or portion thereof) to be prepaid, shall be irrevocable and shall commit
the relevant Borrower to prepay such Borrowing by the amount stated therein on
the date stated therein; provided that if a notice of optional prepayment
is given in connection with a conditional notice of termination of the
Commitments as contemplated by

 

55

 

Section 2.09, then such notice of
prepayment may be revoked if such notice of termination is revoked in
accordance with Section 2.09. 
All prepayments under this Section 2.12 shall be subject to Section 2.16
but otherwise without premium or penalty. 
All Eurodollar Loan and BA Rate Loan prepayments under this Section 2.12
shall be accompanied by accrued and unpaid interest on the principal amount to
be prepaid to but excluding the date of payment.

 

SECTION 2.13.      Mandatory Prepayments.

 

(a)           Each Borrower shall,
on the date of termination of all Revolving Credit Commitments, repay or prepay
all of its outstanding Revolving Credit Borrowings and all outstanding
Swingline Loans and replace or cause to be canceled (or provide an L/C Backstop
or make other arrangements reasonably satisfactory to the relevant Issuing Bank
with respect to) all of its outstanding Letters of Credit.  If, after giving effect to any partial reduction
of the Revolving Credit Commitments, the Aggregate Revolving Credit Exposure
would exceed the Total Revolving Credit Commitment, then the Parent Borrower
shall (and to the extent the Foreign Subsidiary Borrower Sublimit would exceed
the Total Revolving Credit Commitment, then such Foreign Subsidiary Borrower
shall), on the date of such reduction, repay or prepay Revolving Credit
Borrowings or Swingline Loans (or a combination thereof) and, after the Revolving
Credit Borrowings and Swingline Loans shall have been repaid or prepaid in full,
replace or cause to be canceled (or provide an L/C Backstop or make other
arrangements reasonably satisfactory to the relevant Issuing Bank with respect
to) Letters of Credit in an amount sufficient to eliminate such excess.

 

(b)           Not later than the
tenth Business Day following the receipt by the Parent Borrower or any of its
Restricted Subsidiaries of Net Cash Proceeds in respect of any Prepayment Asset
Sale or Property Loss Event, the Parent Borrower shall apply an amount equal to
100% of the Net Cash Proceeds received by the Parent Borrower or any of its
Restricted Subsidiaries with respect thereto (subject to the restrictions set
forth herein) to prepay outstanding Term Loans in accordance with Section 2.13(e);
provided, however, that, the foregoing percentage shall be
reduced to (i) 50% if the Total Net Leverage Ratio is less than or equal
to 5.50 to 1.00 but greater than 4.0 to 1.00 and (ii) 0% if the Total Net
Leverage Ratio is less than or equal to 4.0 to 1.00, in each case, determined
by reference to the most recently delivered Pricing Certificate at the time of
receipt of such Net Cash Proceeds; and provided, further, that
(x) if (A) prior to the date any such prepayment is required to be made,
the Parent Borrower notifies the Administrative Agent of its intent to reinvest
such Net Cash Proceeds in assets of a kind then used or usable in the business
of the Parent Borrower and its Restricted Subsidiaries (including any Related
Business Assets) and (B) no Event of Default shall have occurred and be continuing
at the time of such notice, and no Event of Default under clause (b), (c),
(g) or (h) of Section 7.01 (each, a “Specified
Default”) shall have occurred and shall be continuing at the time of
proposed reinvestment (unless, in the case of such Specified Default, such
reinvestment is made pursuant to a binding commitment entered into at a time
when no Specified Default was continuing), then the Parent Borrower shall not
be required to prepay Term Loans hereunder in respect of such Net Cash Proceeds
to the extent that such Net Cash Proceeds are so reinvested within 365 days
after the date of receipt of such Net Cash Proceeds (or, within such 365 day period,
the Parent Borrower or any of its Restricted Subsidiaries enters into a binding
commitment to so reinvest in such Net Cash Proceeds, and such Net Cash Proceeds
are so reinvested within 180 days after such binding commitment is so entered
into) and (y) the Parent Borrower shall not be required to prepay Term
Loans hereunder in respect of any such Net Cash Proceeds from any Prepayment
Asset Sale or Property Loss Event of any Foreign Subsidiary if the declaration
or payment of dividends or similar distributions by that Foreign Subsidiary of
such Net Cash Proceeds is not at the date of determination wholly permitted
without any prior governmental approval (which has not been obtained) or,
directly or indirectly, by the operation of the terms of its charter or any
agreement, instrument, judgment, decree, order, statute, rule or
governmental regulation applicable to that Foreign Subsidiary or its
stockholders, unless such restriction with respect to the payment of dividends
or similar distributions has been legally waived or would otherwise result in
materially adverse tax consequences; provided, however, that (I)
if any Net Cash Proceeds are not reinvested or applied as a repayment on or
prior to the last day of the applicable application period, such Net Cash
Proceeds shall be applied within 5 Business Days to the prepayment of the Term
Loans as set forth above (without regard to the immediately preceding proviso)
and (II) if, as a result of any Prepayment Asset Sale or Property Loss Event,
the Parent Borrower would be required to make an “offer to purchase” the New
Senior Notes pursuant to the terms of the New Senior Notes Documentation or any
other Material Indebtedness, in any such case prior to the expiry of the
foregoing reinvestment or repayment periods, the Parent Borrower shall apply
the relevant percentage of such Net Cash Proceeds as required above by this

 

56

 

paragraph (b) to prepay Term Loans in
accordance with Section 2.13(e) on the day immediately
preceding the date of such required “offer to purchase” (without regard to the
immediately preceding proviso).

 

(c)           No later than the
tenth Business Day following the delivery of the Section 5.04 Financials
under Section 5.04(a) (commencing with the fiscal year ended
December 31, 2008), the Parent Borrower shall prepay outstanding Term
Loans in accordance with Section 2.13(e) in an aggregate
principal amount equal to the excess, if any, of (i) the applicable ECF
Percentage of Excess Cash Flow for the fiscal year then ended over
(ii) the aggregate principal amount of Term Loans and Revolving Loans (to
the extent accompanied by a permanent reduction of the Revolving Credit Commitments)
prepaid pursuant to Section 2.12 during such fiscal year or on or
prior to the date such payment is required to be made (without duplication), in
each case to the extent such prepayments are not funded with the proceeds of
long-term Indebtedness (other than revolving Indebtedness).

 

(d)           In the event that
the Parent Borrower or any of its Restricted Subsidiaries shall receive Net
Cash Proceeds from the issuance or incurrence of Indebtedness (other than any
cash proceeds from the issuance or incurrence of Indebtedness permitted
pursuant to Section 6.01), the Parent Borrower shall no later than
the third Business Day next following the receipt of such Net Cash Proceeds,
apply an amount equal to 100% of such Net Cash Proceeds to prepay outstanding
Term Loans in accordance with Section 2.13(e).

 

(e)           Prior to the
repayment in full of all Term Loans and all Obligations (other than contingent
obligations) relating thereto, all other prepayments required by this Section 2.13
shall be applied pro rata to the repayment of the Term Loans under each Term
Loan Facility until paid in full (based on the Dollar Equivalent amount of Term
Loans under each Term Loan Facility on the date of prepayment and applied
against the remaining scheduled installments of principal due in respect of the
Term Loans in the direct order of maturity); provided that to the extent
an Event of Default then exists, such prepayment shall instead be applied in
accordance with Section 2.17(b).

 

(f)            Notwithstanding
anything to the contrary contained in this Section 2.13 or
elsewhere in this Agreement including without limitation in Section 9.08,
the Parent Borrower shall have the option in its sole discretion to give the
Lenders with outstanding Term Loans the option to waive their pro rata share of
a mandatory prepayment of Term Loans which is to be made pursuant to Section 2.13(b),
(c) or (d) (each such repayment a “Waivable Mandatory
Prepayment”) upon the terms and provisions set forth in this Section 2.13(f).  If the Parent Borrower elects to exercise the
option referred to in the immediately preceding sentence the Parent Borrower
shall give to the Administrative Agent written notice of its intention to give
the Lenders the right to waive a Waivable Mandatory Prepayment including in
such notice the aggregate amount of such proposed prepayment not later than
12:30 p.m. five Business Days prior to the date of the proposed prepayment
which notice the Administrative Agent shall promptly forward to all Term Loan
Lenders indicating in such notice the amount of such prepayment to be applied
to each such Lender’s outstanding Term Loans. 
The Parent Borrower’s offer to permit the Term Loan Lenders to waive any
such Waivable Mandatory Prepayment may apply to all or part of such prepayment,
provided that any offer to waive part of such prepayment must be made ratably
to the Term Loan Lenders (based on the Dollar Equivalent amount of Term Loans
under each Term Loan Facility on the date of prepayment).  In the event that any such Term Loan Lender
desires to waive its pro rata share of such Lender’s right to receive any such
Waivable Mandatory Prepayment in whole or in part such Lender shall so advise
the Administrative Agent no later than 4:00 p.m. on the date which is two
Business Days after the date of such notice from the Administrative Agent and
the Administrative Agent shall promptly thereafter notify the Parent Borrower
thereof which notice shall also include the amount such Lender desires to
receive in respect of such prepayment. 
If any Term Loan Lender does not reply to the Administrative Agent
within such two Business Day period such Lender will be deemed not to have
waived any part of such prepayment.  If
any Term Loan Lender does not specify an amount it wishes to receive such
Lender will be deemed to have accepted 100% of its share of such
prepayment.  In the event that any such
Lender waives all or part of its share of any such Waivable Mandatory
Prepayment the Parent Borrower shall retain 100% of the amount so waived by
such Lender.  Notwithstanding anything to
the contrary contained above if one or more Term Loan Lenders waives its right
to receive all or any part of any Waivable Mandatory Prepayment but less than
all the Lenders with outstanding Term Loans waive in full their right to
receive 100% of the total Waivable Mandatory Prepayment otherwise required with
respect to the Term Loans, then the amount actually applied to the repayment of
Term Loans of Lenders which have waived all or any part of their right to
receive 100% of such prepayment shall be applied to each then outstanding
Borrowing of Term Loans on a pro rata basis so that each

 

57

 

Lender with outstanding Term Loans shall after
giving effect to the application of the respective repayment maintain the same
percentage as determined for such Lender but not the same percentage that the
other Term Loan Lenders hold and not the same percentage held by such Lender
prior to prepayment of each Borrowing of Term Loans which remains outstanding
after giving effect to such application. 
Notwithstanding anything to the contrary Term Loan Lenders shall not
have the right to waive mandatory prepayments under this Section 2.13
except as set forth in this Section 2.13(f).

 

SECTION 2.14.      Reserve Requirements; Change in Circumstances.

 

(a)           Notwithstanding any
other provision of this Agreement, if any Change in Law shall impose, modify or
deem applicable any reserve, special deposit or similar requirement against
assets of, deposits with or for the account of or credit extended by any Lender
or any Issuing Bank (except any such reserve requirement which is reflected in
the Adjusted LIBO Rate) or shall impose on such Lender or such Issuing Bank or
the London interbank market any other condition affecting this Agreement or Eurodollar
Loans made by such Lender or any Letter of Credit or participation therein, and
the result of any of the foregoing shall be to increase the cost to such Lender
or such Issuing Bank of making or maintaining any Eurodollar Loan or increase
the cost to any Lender of issuing or maintaining any Letter of Credit or
purchasing or maintaining a participation therein or to reduce the amount of
any sum received or receivable by such Lender or such Issuing Bank hereunder
(whether of principal, interest or otherwise) by an amount deemed by such
Lender or such Issuing Bank to be material, then the relevant Borrower will pay
to such Lender or such Issuing Bank, as the case may be, upon demand such
additional amount or amounts as will compensate such Lender or such Issuing
Bank, as the case may be, for such additional costs incurred or reduction
suffered.

 

(b)           If any Lender or any
Issuing Bank shall have determined that any Change in Law regarding capital
adequacy has or would have the effect of reducing the rate of return on such
Lender’s or such Issuing Bank’s capital or on the capital of such Lender’s or
such Issuing Bank’s holding company, if any, as a consequence of this Agreement
or the Loans made or participations in Loans purchased by such Lender pursuant
hereto or the Letters of Credit issued by such Issuing Bank pursuant hereto to
a level below that which such Lender or such Issuing Bank or such Lender’s or
such Issuing Bank’s holding company could have achieved but for such Change in
Law (taking into consideration such Lender’s or such Issuing Bank’s policies
and the policies of such Lender’s or such Issuing Bank’s holding company with
respect to capital adequacy) by an amount deemed by such Lender or such Issuing
Bank to be material, then the relevant Borrower shall pay to such Lender or
such Issuing Bank, as the case may be, such additional amount or amounts as
will compensate such Lender or such Issuing Bank or such Lender’s or such Issuing
Bank’s holding company for any such reduction suffered.

 

(c)           A certificate of a
Lender or an Issuing Bank setting forth the amount or amounts necessary to
compensate such Lender or such Issuing Bank or its holding company, as applicable,
as specified in paragraph (a) or (b) above shall
be delivered to the Parent Borrower, shall describe the applicable Change in
Law, the resulting costs incurred or reduction suffered (including a
calculation thereof), certifying that such Lender is generally charging such
amounts to similarly situated borrowers and shall be conclusive absent manifest
error. The relevant Borrower shall pay such Lender or such Issuing Bank, as
applicable, the amount shown as due on any such certificate delivered by it
within 30 days after its receipt of the same.

 

(d)           Failure or delay on
the part of any Lender or any Issuing Bank to demand compensation for any
increased costs or reduction in amounts received or receivable or reduction in
return on capital shall not constitute a waiver of such Lender’s or such
Issuing Bank’s right to demand such compensation; provided that the
relevant Borrower shall not be under any obligation to compensate any Lender or
any Issuing Bank under paragraph (a) or (b) above
with respect to increased costs or reductions with respect to any period prior
to the date that is 180 days prior to such request; provided  further,
that the foregoing limitation shall not apply to any increased costs or reductions
arising out of the retroactive application of any Change in Law within such
180-day period.  The protection of this
Section shall be available to each Lender and the respective Issuing Bank
regardless of any possible contention of the invalidity or inapplicability of
the Change in Law that shall have occurred or been imposed; provided
that if, after the payment of any amounts by the Borrowers under this Section,
any Change in Law in respect of which a payment was made is thereafter
determined to be invalid or inapplicable to the relevant

 

58

 

Lender or Issuing Bank, then such Lender or Issuing
Bank shall, within 30 days after such determination, repay any amounts paid to
it by the Borrowers hereunder in respect of such Change in Law.

 

(e)           Notwithstanding
anything in this Section 2.14 to the contrary, this Section 2.14
shall not apply to any Change in Law with respect to Taxes, which shall be
governed exclusively by Section 2.20.

 

SECTION 2.15.      Change in Legality.

 

(a)           Notwithstanding any
other provision of this Agreement, if any Change in Law shall make it
unlawful for any Lender to make or maintain any Eurodollar Loan or BA Rate Loan
or to give effect to its obligations as contemplated hereby with respect to any
Eurodollar Loan or BA Rate Loan, then, by written notice to the Parent Borrower
and to the Administrative Agent:

 

(i)           such
Lender may declare that dollar denominated Eurodollar Loans will not thereafter
(for the duration of such unlawfulness) be made by such Lender hereunder (or be
continued for additional Interest Periods) and ABR Loans will not thereafter
(for such duration) be converted into Eurodollar Loans, whereupon any request
for a Eurodollar Borrowing (or to convert an ABR Borrowing to a Eurodollar
Borrowing or to continue a Eurodollar Borrowing for an additional Interest
Period) shall, as to such Lender only, be deemed a request for an ABR Loan (or
a request to continue an ABR Loan as such for an additional Interest Period or
to convert a Eurodollar Loan into an ABR Loan, as the case may be), unless such
declaration shall be subsequently withdrawn; and

 

(ii)          such
Lender may require that all outstanding Eurodollar Loans made by such Lender
shall be converted to ABR Loans, in which event all such Eurodollar Loans shall
be automatically converted to ABR Loans as of the effective date of such notice
as provided in paragraph (b) below.

 

In the event any Lender shall exercise its rights
under clause (i) or (ii) above, all payments and
prepayments of principal that would otherwise have been applied to repay the
Eurodollar Loans that would have been made by such Lender or the converted
Eurodollar Loans of such Lender shall instead be applied to repay the ABR Loans
made by such Lender in lieu of, or resulting from the conversion of, such
Eurodollar Loans.

 

(b)           For purposes of this
Section 2.15, a notice to the Parent Borrower by any Lender shall
be effective as to each Eurodollar Loan made by such Lender, if lawful, on the
last day of the Interest Period then applicable to such Eurodollar Loan; in all
other cases such notice shall be effective on the date of receipt by the Parent
Borrower.  Such Lender shall withdraw
such notice promptly following any date on which it becomes lawful for such
Lender to make and maintain Eurodollar Loans or give effect to its obligations
as contemplated hereby with respect to any Eurodollar Loan.

 

SECTION 2.16.      Indemnity.  The relevant Borrower shall indemnify each
Lender against any loss or expense that such Lender may sustain or incur as a
consequence of (a) any event, other than a default by such Lender in the
performance of its obligations hereunder, which results in (i) such Lender
receiving or being deemed to receive any amount on account of the principal of
any Eurodollar Loan or BA Rate Loan prior to the end of the Interest Period in
effect therefor, (ii) the conversion of any Eurodollar Loan to an ABR
Loan, any BA Rate Loan to a Canadian Base Rate Loan or the conversion of the
Interest Period with respect to any Eurodollar Loan or any BA Rate Loan, in
each case other than on the last day of the Interest Period in effect therefor,
or (iii) any Eurodollar Loan to be made by such Lender (including any
Eurodollar Loan or any BA Rate Loan to be made pursuant to a conversion or
continuation under Section 2.10) not being made after notice of
such Loan shall have been given by the relevant Borrower hereunder other than
by operation of Section 2.08 (any of the events referred to in this clause (a) being
called a “Breakage Event”) or (b) any default in the making of any
payment or prepayment required to be made hereunder.  In the case of any Breakage Event, such loss
shall include an amount equal to the excess, as reasonably determined by such
Lender, of (i) its cost of obtaining funds for the Eurodollar Loan or BA
Rate Loan that is the subject of such Breakage Event for the period from the
date of such Breakage Event to the last day of the Interest Period in effect
(or that would have been in effect) for such Loan over (ii) the amount of
interest likely to be realized by such Lender in redeploying the funds released
or not utilized by reason of such Breakage Event for such period (exclusive of
any loss of anticipated profits).  A
certificate of any Lender setting forth any amount or amounts

 

59

 

which
such Lender is entitled to receive pursuant to this Section 2.16
shall be delivered to the Parent Borrower and shall be conclusive absent manifest
error.

 

SECTION 2.17.      Pro Rata Treatment; Intercreditor Agreements.

 

(a)           Except as provided below in
this Section 2.17 and as required under Section 2.13, 2.14,
2.15, 2.16, 2.20 or 2.21, each Borrowing, each
payment or prepayment of principal of any Borrowing, each payment of interest
on the Loans, each payment of the Commitment Fee and the L/C Participation Fee,
each reduction of the Revolving Credit Commitments and each conversion of any
Borrowing to or continuation of any Borrowing as a Borrowing of any Type shall
be allocated pro rata among the Lenders in accordance with their respective
applicable Commitments (or, if such Commitments shall have expired or been
terminated, in accordance with the respective principal amounts of their
respective applicable outstanding Loans). 
For purposes of determining the available Revolving Credit Commitments
of the Lenders at any time (but subject to the last sentence of
Section 2.05(a)), each outstanding Swingline Loan shall be deemed to have
utilized the Revolving Credit Commitments of the Lenders (including those
Lenders which shall not have made Swingline Loans) pro rata in accordance with
such respective Revolving Credit Commitments. 
In addition, in computing such Lender’s portion of any Borrowing to be
made hereunder, the Administrative Agent may, in its discretion, round each
Lender’s percentage of such Borrowing to the next higher or lower whole dollar
amount.

 

(b)           Notwithstanding
anything to the contrary contained in this Agreement, any payment or other
distribution (whether from proceeds of collateral or any other source, whether
in the form of cash, securities or otherwise, and whether made by any Loan
Party or in connection with any exercise of remedies by the Administrative
Agent or any Lender) made or applied in respect of any of the Obligations
during the existence of an Event of Default or during or in connection with
Insolvency Proceedings involving any Loan Party (or any plan of liquidation,
distribution or reorganization in connection therewith), shall be made or
applied, as the case may be, in the following order of priority (with
higher priority Obligations to be paid in full prior to any payment or
other distribution in respect of lower priority Obligations):
 (i) first, to payment of that portion
of the Obligations constituting fees, indemnities, expenses and other amounts,
including attorney fees, payable to the Administrative Agent in its capacity as
such and the Issuing Banks in their capacity as such (ratably among the
Administrative Agent and the Issuing Banks in proportion to the respective
amounts described in this clause first payable
to them); (ii) second, to
payment of that portion of the Obligations constituting fees, indemnities and
other amounts (other than principal and interest) payable to the Lenders,
including attorney fees (ratably among such Lenders in proportion to the
respective amounts described in this clause second
payable to them); (iii) third, to
payment of that portion of the Obligations constituting accrued and unpaid
interest (including any default interest) on the Revolving Loans,
Swingline Loans and L/C Exposure (ratably among such Lenders in proportion to
the respective amounts described in this clause third
payable to them), including interest accruing after the filing or commencement
of Insolvency Proceedings in respect of any Loan Party, whether or not any
claim for post-filing or post-petition interest is or would be allowed,
allowable or otherwise enforceable in any such Insolvency Proceedings;
(iv) fourth, to the Administrative Agent for
the account of the Issuing Banks, to cash collateralize any L/C Exposure then
outstanding; (v) fifth, to
payment of that portion of the Obligations constituting unpaid principal of the
Revolving Loans, Swingline Loans and L/C Exposure (including any termination
payments and any accrued and unpaid interest thereon) (ratably among such
Lenders in proportion to the respective amounts described in this clause fifth held by them) and amounts constituting Priority
Hedging Obligations; (vi) sixth, to
payment of that portion of the Obligations constituting accrued and unpaid
interest (including any default interest) on the Term Loans (ratably among
such Lenders in proportion to the respective amounts described in this clause sixth payable to them), including interest accruing after the
filing or commencement of any Insolvency Proceedings in respect of any Loan
Party, whether or not any claim for post-filing or post-petition interest
is or would be allowed, allowable or otherwise enforceable in
any such Insolvency Proceedings; (vii) seventh,
to payment of that portion of the Obligations constituting unpaid principal of
the Term Loans (ratably among such Lenders in proportion to the respective
amounts described in this clause seventh held by
them) and amounts constituting Nonpriority Hedging Obligations; and
(viii) last,  in the case of proceeds of collateral, the balance,
if any, thereof, after all of the Obligations (including, without limitation,
all Obligations in respect of LC Exposure but excluding any
contingent obligations) have been paid in full, to the Borrower or as otherwise required by
Applicable Law.  Each Lender agrees that
the provisions of this Section 2.17 (including, without limitation,
the priority of the Obligations as set forth herein) constitute an
intercreditor agreement among them for value received that is independent of any
value

 

60

 

received from the Loan Parties,
and that such agreement shall be enforceable as against each Lender, including,
without limitation, in any Insolvency Proceedings in respect of any Loan Party,
to the same extent that such agreement is enforceable under applicable
non-bankruptcy law (including, without limitation, pursuant to
Section 510(a) of the U.S. federal Bankruptcy Code or any comparable
provision of applicable insolvency law), and that, if any Lender receives any
payment or distribution in respect of any Obligation (including, without
limitation, in connection with any Insolvency Proceedings or any plan of
liquidation, distribution or reorganization therein) to which such Lender is
not entitled in accordance with the priorities set forth in this Section 2.17,
such amount shall be held in trust by such Lender for the benefit of the Person
or Persons entitled to such payment or distribution hereunder, and promptly
shall be turned over by such Lender to the Administrative Agent for
distribution to the Person or Persons entitled to such payment or distribution
in accordance with this Section 2.17.

 

(c)           Each Lender and Loan
Party acknowledges that, because of, among other things, their differing rights
and priorities established pursuant to this Section 2.17, the
Obligations in respect of the Revolving Loans, Swingline Loans and L/C Exposure
are materially different from the those in respect of the Term Loans and must
be separately classified in for voting and other purposes in any Insolvency
Proceedings with respect to any Loan Party. In addition, in the event there is
any Disgorged Recovery in respect of any Lender’s Revolving Loans, Swingline
Loans or L/C Exposure in any Insolvency Proceedings of any Loan Party, such
Revolving Loans, Swingline Loans and L/C Exposure shall be deemed to be
outstanding as if such Disgorged Recovery had never been received by such
Lender, and each Lender agree that the intercreditor agreements and priorities
set forth in this Section 2.17 shall be enforced in accordance with
their terms in respect of such Revolving Loans, Swingline Loans or L/C
Exposure, including, without limitation, for purposes of the allocation of
payments and distributions made or applied in respect of the Obligations
(whether from proceeds of Collateral or otherwise), as well as for purposes of
determining whether such other Lender must turn over all or any portion of any
payment or other distribution received by such other Lender (whether before or
after occurrence of such Disgorged Recovery) to the Administrative Agent for
redistribution in accordance with the last sentence of Section 2.17(b).

 

SECTION 2.18.      Sharing of Setoffs.  Each Lender agrees that if it shall, through
the exercise of a right of banker’s lien, setoff or counterclaim against either
Borrower or any other Loan Party, or pursuant to a secured claim under
Section 506 of Title 11 of the United States Code or other security
or interest arising from, or in lieu of, such secured claim received by such
Lender under any applicable bankruptcy, insolvency or other similar law or otherwise,
or by any other means, obtain payment (voluntary or involuntary) in respect of
any Loan or L/C Disbursement as a result of which the unpaid principal portion
of its Loans and participations in L/C Disbursements shall be proportionately
less than the unpaid principal portion of the Loans and participations in L/C
Disbursements of any other Lender, it shall be deemed simultaneously to have purchased
from such other Lender at face value, and shall promptly pay to such other
Lender the purchase price for, a participation in the Loans and L/C Exposure of
such other Lender, so that the aggregate unpaid principal amount of the Loans
and L/C Exposure and participations in Loans and L/C Exposure held by each
Lender shall be in the same proportion to the aggregate unpaid principal amount
of all Loans and L/C Exposure then outstanding as the principal amount of its
Loans and L/C Exposure prior to such exercise of banker’s lien, setoff or
counterclaim or other event was to the principal amount of all Loans and L/C
Exposure outstanding prior to such exercise of banker’s lien, setoff or
counterclaim or other event; provided, however, that (i) if
any such purchase or purchases or adjustments shall be made pursuant to this Section 2.18
and the payment giving rise thereto shall thereafter be recovered, such
purchase or purchases or adjustments shall be rescinded to the extent of such
recovery and the purchase price or prices or adjustment restored without
interest and (ii) the provisions of this Section 2.18 shall
not be construed to apply to any payment made by the Borrowers pursuant to and
in accordance with the express terms of this Agreement or any payment obtained
by a Lender as consideration for the assignment of or sale of a participation
in any of its Loans to any assignee or participant.  The Borrowers expressly consent to the foregoing
arrangements and agrees that any Lender holding a participation in a Loan or
L/C Disbursement deemed to have been so purchased may exercise any and all
rights of banker’s lien, setoff or counterclaim with respect to any and all
moneys owing by the Borrowers to such Lender by reason thereof as fully as if
such Lender had made a Loan directly to the Borrowers in the amount of such
participation.

 

SECTION 2.19.      Payments.  The Borrowers shall make each payment
(including principal of or interest on any Borrowing or any L/C Disbursement or
any Fees or other amounts) hereunder and under any other Loan Document not
later than 2:00 p.m. on the date when due in immediately available
funds.  Except as otherwise provided
herein, each payment by a Borrower with respect to any Loan or Letter of Credit
and each reimbursement

 

61

 

of
reimbursable expenses or indemnified liabilities shall be made in the currency
in which such Loan was made, such Letter of Credit issued or such expense or
liability was incurred.  Each such
payment (other than (i) Issuing Bank Fees, which shall be paid directly to
the relevant Issuing Bank and (ii) principal of and interest on Swingline
Loans, which shall be paid directly to the Swingline Lender, except as
otherwise provided in Section 2.22(e)) shall be made to the
Administrative Agent at its offices at Bank of America, N.A., 101 North Tryon
Street, Mail Code:  NC1-001-04-39,
Charlotte, NC  28255, Attn: Monika Patel,
Tel:  (704) 386-5094, Fax:  (704) 409-01579674, Email:  monika.patel@bankofamerica.com.  The Administrative Agent shall distribute any
such payments received by it for the account of any other Person to the
appropriate recipient promptly following receipt thereof.

 

SECTION 2.20.      Taxes.

 

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

 

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

 

(c)           The Borrowers shall
indemnify the Administrative Agent, each Lender and each Issuing Bank, within
30 days after written demand therefor, for the full amount of any Indemnified
Taxes or Other Taxes paid by the Administrative Agent, such Lender or such
Issuing Bank, as the case may be, on or with respect to any payment by or on
account of any obligation of the Borrowers or any other Loan Party hereunder or
under any other Loan Document (including Indemnified Taxes or Other Taxes
imposed or asserted on or attributable to amounts payable under this Section)
and any penalties, interest and reasonable expenses arising therefrom or with respect
thereto, in each case, whether or not such Indemnified Taxes (but not Other
Taxes) were correctly or legally imposed or asserted by the relevant
Governmental Authority; provided that if, after the payment of any
amounts by the Borrowers under this Section, any such Indemnified Taxes in
respect of which a payment was made are thereafter determined to have been incorrectly
or illegally imposed, then the relevant recipient of such payment shall, within
30 days after such determination, repay any amounts paid to it by the Borrowers
hereunder in respect of such Indemnified Taxes; provided, further,
that the Borrowers shall not be required to indemnify the Administrative Agent,
any Lender or any Issuing Bank pursuant to this Section 2.20(c) for
any amounts incurred more than six months prior to the date such Administrative
Agent, Lender or Issuing Bank, as applicable, notifies the Borrowers of its
intention to claim compensation therefor. 
A certificate as to the amount of such payment or liability delivered to
the Parent Borrower by a Lender or an Issuing Bank, or by the Administrative
Agent on behalf of itself, a Lender or an Issuing Bank, shall be conclusive
absent manifest error.

 

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

 

(e)           Each Foreign Lender
shall (a) furnish to the Borrowers (with a copy to the Administrative
Agent) on or before the date it becomes a party to the Agreement either
(i) 2 accurate and complete originally executed copies of U.S. Internal
Revenue Service (“IRS”) Form W-8BEN (or successor form),
(ii) 2 accurate and complete originally executed copies of IRS
Form W-8ECI (or successor form) or (iii) 2 accurate and complete
originally executed copies of IRS Form W-8IMY (or successor form) together
with any required attachments, certifying, in any  case, to such Foreign Lender’s legal
entitlement to an exemption or reduction from U.S. federal withholding tax 

 

62

 

with
respect to all payments hereunder and (b) provide to the Borrowers (with a
copy to the Administrative Agent) a new Form W-8BEN (or successor form),
Form W-8ECI (or successor form) or Form W-8IMY (or successor form)
together with any required attachments upon (i) the expiration or
obsolescence of any previously delivered form to reconfirm any complete
exemption from, or any entitlement to a reduction in, U.S. federal withholding
tax with respect to any payment hereunder, (ii) the occurrence of any
event requiring a change in the most recent form previously delivered by it and
(iii) from time to time if requested by the Borrowers or the
Administrative Agent; provided that any Foreign Lender that is relying
on the so-called “portfolio interest exemption” shall also furnish a “Non-Bank
Certificate” in the form of Exhibit E together with a
Form W-8BEN.  Notwithstanding any
other provision of this paragraph, a Foreign Lender shall not be required to
deliver any form pursuant to this paragraph that such Foreign Lender is not
legally able to deliver.

 

(f)            Any Lender or
Issuing Bank that is a United States Person, as defined in
Section 7701(a)(30) of the Code, shall (unless such Lender or Issuing Bank
may be treated as an exempt recipient based on the indicators described in
Treasury Regulation Section 1.6049-4(c)(1)(ii)(A)(1)) deliver to the
Borrowers (with a copy to the Administrative Agent), at the times specified in Section 2.20(e),
2 accurate and complete original signed copies of IRS Form W-9, or any
successor form that such Person is entitled to provide at such time, in order
to qualify for an exemption from United States back-up withholding
requirements.

 

(g)           In the event that a
Borrower is resident in or conducts business in Puerto Rico, each Lender or Issuing
Bank that is not a resident of Puerto Rico for Puerto Rican Tax purposes shall
file any certificate or document reasonably requested by such Borrower and,
when prescribed by applicable law and reasonably requested by such Borrower,
update or renew any such certificate or document, pursuant to any applicable
law or regulation, if such filing (i) would eliminate or reduce the amount
of withholding Taxes imposed by Puerto Rico with respect to any payment
hereunder and (ii) would not, in the sole discretion of such Lender,
result in a legal, economic or regulatory disadvantage to such Lender.

 

(h)           If the
Administrative Agent, a Lender or an Issuing Bank determines, in its sole
discretion, that it has received a refund of any Indemnified Taxes or Other
Taxes as to which it has been indemnified by a Borrower or with respect to
which a Borrower has paid additional amounts pursuant to this Section, it shall
pay to the relevant Borrower an amount equal to such refund (but only to the
extent of indemnity payments made, or additional amounts paid, by such Borrower
under this Section with respect to the Indemnified Taxes or Other Taxes
giving rise to such refund), net of all reasonable out-of-pocket expenses of
the Administrative Agent, such Lender or such Issuing Bank, as the case may be,
and without interest (other than any interest paid by the relevant Governmental
Authority with respect to such refund), provided that
(i) the relevant Borrower, upon the request of the Administrative Agent,
such Lender or such Issuing Bank, agrees to repay the amount paid over to such
Borrower (plus any penalties, interest or other charges imposed by the relevant
Governmental Authority) to the Administrative Agent, such Lender or such
Issuing Bank in the event the Administrative Agent, such Lender or such Issuing
Bank is required to repay such refund to such Governmental Authority and
(ii) nothing herein contained shall interfere with the right of a Lender
or Administrative Agent to arrange its tax affairs in whatever manner it thinks
fit nor oblige any Lender or Agent to claim any tax refund or to make available
its tax returns or disclose any information relating to its tax affairs or any
computations in respect thereof or require any Lender or Administrative Agent
to do anything that would prejudice its ability to benefit from any other
refunds, credits, reliefs, remissions or repayments to which it may be
entitled.

 

SECTION 2.21.      Assignment of Commitments Under Certain
Circumstances; Duty to Mitigate.

 

(a)           In the event
(i) any Lender or any Issuing Bank requests compensation pursuant to Section 2.14,
(ii) any Lender or any Issuing Bank delivers a notice described in Section 2.15,
(iii) any Borrower is required to pay any additional amount to any Lender
or the Issuing Bank or any Governmental Authority on account of any Lender or
any Issuing Bank pursuant to Section 2.20, (iv) any Lender
shall become a Defaulting Lender or (v) any Lender refuses to consent to
any amendment, waiver or other modification of any Loan Document requested by
the Parent Borrower that requires the consent of all affected Lenders in
accordance with the terms of Section 9.08 or all the Lenders with
respect to a certain Class of Loans and such amendment, waiver or other
modification is consented to by the Required Lenders or the Required
Class Lenders for such Class, as applicable (any such Lender, a “Non-Consenting
Lender”), the Parent Borrower may, at its sole cost and expense, upon
notice to such Lender or such 

 

63

 

Issuing
Bank, as the case may be, and upon the consent of the Administrative Agent,
which shall not be unreasonably withheld, either:

 

(x)            replace
such Lender or Issuing Bank, as the case may be, by causing such Lender or Issuing
Bank to (and such Lender or Issuing Bank shall be obligated to) assign at par
100% of its relevant Commitments and the principal of its relevant outstanding
Loans plus any accrued and unpaid interest and fees pursuant to Section 9.04
(with the assignment fee to be waived in such instance) all of its relevant
rights and obligations under this Agreement to one or more Persons (which
Persons shall otherwise be subject to the approval rights set forth in Section 9.04(b));
provided that (A) the replacement Lender shall agree to the
consent, waiver or amendment to which the Non-Consenting Lender did not agree,
(B) neither the Administrative Agent nor any Lender shall have any
obligation to the Borrowers to find a replacement Lender or other such Person
and (C) in the case of any such assignment resulting from a claim for
compensation under Section 2.14 or payments required to be made
pursuant to Section 2.20, such assignment will result in a
reduction in such compensation or payments; or

 

(y)           terminate
the Commitment of such Lender or Issuing Bank, as the case may be, and
(1) in the case of a Lender (other than an Issuing Bank), repay all
Obligations (other than contingent obligations) of each Borrower owing to such
Lender relating to the Loans and participations held by such Lender as of such
termination date and (2) in the case of an Issuing Bank, repay all
Obligations of each Borrower owing to such Issuing Bank relating to the Loans
and participations held by the Issuing Bank as of such termination date other
than any Obligations pertaining to any Subject Letters of Credit.

 

Notwithstanding anything to the contrary contained
above in this Section 2.21, unless an Issuing Bank is removed and
replaced with a successor Issuing Bank at the time the Parent Borrower exercises
its rights under this Section 2.21 (in which case the provisions of
Section 2.23(i) shall apply), any Issuing Bank having undrawn
Letters of Credit issued by it (the “Subject Letters of Credit”) whose
Commitments and Obligations are to be repaid or terminated pursuant to the
foregoing provisions of this Section 2.21 shall (x) remain a party
hereto until the expiration or termination of the Subject Letters of Credit,
(y) not issue (or be required to issue) any further Letters of Credit hereunder
and (z) continue to have all rights and obligations of an Issuing Bank under
this Agreement and the other Loan Documents solely with respect to the Subject
Letters of Credit until all of the Subject Letters of Credit have expired, been
terminated or become subject to an L/C Backstop (including all rights of
reimbursement pursuant to Sections 2.23(d), (e), (f) and
(h) for any L/C Disbursement made by such Issuing Bank and all
voting rights of an Issuing Bank (but such voting rights shall be limited to
pertain solely to L/C Disbursements in respect of the Subject Letters of
Credit, any Fee payable to the Issuing Bank in respect of the Subject Letters
of Credit, and the rights or duties of the Issuing Bank in respect of the
Subject Letters of Credit), but excluding any consent rights as an Issuing Bank
under Section 9.04(b)).

 

Each Lender hereby grants to the Administrative Agent
an irrevocable power of attorney (which power is coupled with an interest) to
execute and deliver, on behalf of such Lender as assignor, any Assignment and
Acceptance necessary to effectuate any assignment of such Lender’s interests
hereunder in respect of the circumstances contemplated by this Section 2.21.

 

(b)           If (i) any
Lender or any Issuing Bank requests compensation under Section 2.14,
(ii) any Lender or any Issuing Bank delivers a notice described in Section 2.15
or (iii) any Borrower is required to pay any additional amount to any
Lender or any Issuing Bank or any Governmental Authority on account of any
Lender or any Issuing Bank, pursuant to Section 2.20, then such
Lender or such Issuing Bank shall use reasonable efforts (which shall not
require such Lender or such Issuing Bank to take any action inconsistent with
its internal policies or legal or regulatory restrictions or suffer any
disadvantage or burden deemed by it to be material) (x) to file any certificate
or document reasonably requested by the Parent Borrower or (y) to assign
its rights and delegate and transfer its obligations hereunder to another of
its offices, branches or affiliates, if such filing or assignment would reduce
its claims for compensation under Section 2.14 or enable it to
withdraw its notice pursuant to Section 2.15 or would reduce
amounts payable pursuant to Section 2.20, as the case may be, in
the future.

 

64

 

SECTION 2.22.      Swingline Loans.

 

(a)           Subject to the terms
and conditions herein set forth, the Swingline Lender agrees to make loans to
the Borrowers at any time and from time to time on or after the Closing Date
and until the earlier of the Revolving Credit Maturity Date and the termination
of the Revolving Credit Commitments, in an aggregate principal amount at any
time outstanding that will not result in (i) the principal amount of all
Swingline Loans exceeding $25,000,000 in the aggregate or  (ii) the Aggregate Revolving Credit
Exposure exceeding the Total Revolving Credit Commitment; provided that
notwithstanding the foregoing, the Swingline Lender shall not be obligated to
make any Swingline Loans at a time when a Revolving Credit Lender is a
Defaulting Lender, unless the Swingline Lender has entered into arrangements
reasonably satisfactory to it and the Parent Borrower to eliminate the
Swingline Lender’s risk with respect to the Defaulting Lender’s participation
in such Swingline Loans, including by cash collateralizing such Defaulting
Lender’s Pro Rata Percentage of the outstanding amount of Swingline Loans.  Each Swingline Loan shall be denominated in
dollars and shall be in a principal amount that is a minimum amount of $500,000
and integral multiple of $100,000 in excess thereof.  The Swingline Commitment may be terminated or
reduced from time to time as provided herein. Within the foregoing limits, the
Borrowers may borrow, pay or prepay and reborrow Swingline Loans hereunder,
subject to the terms, conditions and limitations set forth herein.

 

(b)           The relevant
Borrower shall notify the Swingline Lender by fax, or by telephone (promptly confirmed
by fax), not later than 12:30 p.m. on the day of a proposed Swingline
Loan.  Such notice shall be delivered on
a Business Day, shall be irrevocable and shall refer to this Agreement and
shall specify the requested date (which shall be a Business Day) and amount of
such Swingline Loan.  The Swingline
Lender shall make each Swingline Loan available to such requesting Borrower by
means of a credit to an account designated by the relevant Borrower promptly on
the date such Swingline Loan is so requested.

 

(c)           Each Borrower shall
have the right at any time and from time to time to prepay any Swingline Loan,
in whole or in part, upon giving written or fax notice by such Borrower (or
telephone notice promptly confirmed by written, or fax notice) to the Swingline
Lender before 12:30 p.m. on the date of prepayment at the Swingline
Lender’s address for notices specified in Section 9.01; provided
that any such notice delivered by a Borrower may state that such notice is
conditioned upon the effectiveness of other financing arrangements, in which
case such notice may be revoked by such Borrower (by notice to the
Administrative Agent on or prior to the specified effective date) if such
condition is not satisfied.

 

(d)           Each Swingline Loan
shall be an ABR Loan and, subject to the provisions of Section 2.07,
shall bear interest as provided in Section 2.06(a).

 

(e)           The Swingline Lender
may by written notice given to the Administrative Agent not later than
11:00 a.m. on any Business Day require the Revolving Credit Lenders to
acquire participations on such Business Day in all or a portion of the
Swingline Loans outstanding. Such notice shall specify the aggregate amount of
Swingline Loans in which Revolving Credit Lenders will participate. The
Administrative Agent will, promptly upon receipt of such notice, give notice to
each Revolving Credit Lender, specifying in such notice such Lender’s Pro Rata
Percentage of such Swingline Loan. In furtherance of the foregoing, each
Revolving Credit Lender hereby absolutely and unconditionally agrees, upon
receipt of notice as provided above, to pay to the Administrative Agent, for
the account of the Swingline Lender, such Revolving Credit Lender’s Pro Rata
Percentage of such Swingline Loan. Each Revolving Credit Lender acknowledges
and agrees that its obligation to acquire participations in Swingline Loans
pursuant to this paragraph is absolute and unconditional and shall not be
affected by any circumstance whatsoever, including the occurrence and
continuance of a Default or an Event of Default, and that each such payment
shall be made without any offset, abatement, withholding or reduction
whatsoever. Each Revolving Credit Lender shall comply with its obligation under
this paragraph by wire transfer of immediately available funds, in the same
manner as provided in Section 2.02(c) with respect to Loans
made by such Lender (and Section 2.02(c) shall apply, mutatis
mutandis, to the payment obligations of the Lenders) and the
Administrative Agent shall promptly pay to the Swingline Lender the amounts so
received by it from the Revolving Credit Lenders. The Administrative Agent
shall notify the Parent Borrower of any participations in any Swingline Loan
acquired pursuant to this paragraph and thereafter payments in respect of such
Swingline Loan shall be made to the Administrative Agent and not to the
Swingline Lender. Any amounts received by the Swingline Lender from the relevant
Borrower (or other party on behalf of the Borrowers) in respect of a Swingline
Loan after receipt by the 

 

65

 

Swingline
Lender of the proceeds of a sale of participations therein shall be promptly
remitted to the Administrative Agent and be distributed by the Administrative
Agent to the Lenders that shall have made their payments pursuant to this
paragraph and to the Swingline Lender, as their interests may appear. The
purchase of participations in a Swingline Loan pursuant to this paragraph shall
not relieve the relevant Borrower (or other party liable for obligations of the
Borrowers) of any default in the payment thereof.

 

SECTION 2.23.      Letters of Credit.

 

(a)           Each Borrower may
request the issuance of a Letter of Credit on a sight basis for its own account
or for the account of any of its subsidiaries, in a form reasonably acceptable
to the Administrative Agent and the relevant Issuing Bank, at any time and from
time to time on or after the Closing Date and prior to the earlier to occur of
(i) the termination of the Revolving Credit Commitments and (ii) the
date that is 5 Business Days prior to the Revolving Credit Maturity Date.
This Section shall not be construed to impose an obligation upon any
Issuing Bank to issue any Letter of Credit that is inconsistent with the terms
and conditions of this Agreement. 
Letters of Credit may be denominated in dollars or in one or more
Alternative Currencies.  On and as of the
Closing Date each Existing Letter of Credit shall be deemed to constitute a
Letter of Credit issued hereunder on the Closing Date.

 

(b)           In order to request
the issuance of a Letter of Credit (or to amend, renew or extend an existing Letter
of Credit), the relevant Borrower shall deliver a notice (a “Letter of
Credit Application”) to the relevant Issuing Bank and the Administrative
Agent (reasonably, and in any event, unless waived by the relevant Issuing
Bank, no later than 2 Business Days in advance of the requested date of
issuance, amendment, renewal or extension) requesting the issuance of a Letter
of Credit, or identifying the Letter of Credit to be amended, renewed or
extended and specifying (i) the date of issuance, amendment, renewal or
extension, (ii) the date on which such Letter of Credit is to expire
(which shall comply with paragraph (c) below), (iii) the
amount of such Letter of Credit, (iv) the currency in which such Letter of
Credit is requested to be denominated, (v) the name and address of the
beneficiary thereof and (vi) such other information as the relevant
Issuing Bank may request with respect to such Letter of Credit. A Letter of
Credit shall be issued, amended, renewed or extended only if, and upon
issuance, amendment, renewal or extension of each Letter of Credit the relevant
Borrower shall be deemed to represent and warrant that, after giving effect to
such issuance, amendment, renewal or extension (i) the L/C Exposure shall
not exceed $70,000,000, (ii) the Aggregate Revolving Credit Exposure shall
not exceed the Total Revolving Credit Commitment and (iii) the Revolving
Credit Exposure attributable to the Foreign Subsidiary Borrowers shall not
exceed the Foreign Subsidiary Borrower Sublimit.  Promptly after receipt of any Letter of
Credit Application, the relevant Issuing Bank will confirm with the Administrative
Agent (by telephone or in writing) that the Administrative Agent has received a
copy of such Letter of Credit Application from the relevant Borrower and, if
not, such Issuing Bank will provide the Administrative Agent with a copy
thereof.  Subject to the terms and
conditions hereof, such Issuing Bank shall, on the requested date, issue a
Letter of Credit for the account of the relevant Borrower or enter into the
applicable amendment, as the case may be. 
Promptly after its delivery of any Letter of Credit or any amendment to
a Letter of Credit to an advising bank with respect thereto or to the
beneficiary thereof, the relevant Issuing Bank will also deliver to the
relevant Borrower and the Administrative Agent a true and complete copy of such
Letter of Credit or amendment.

 

(c)           Each Letter of
Credit shall expire at the close of business on the earlier of the date 1 year
after the date of the issuance of such Letter of Credit and the date that is 5
days prior to the Revolving Credit Maturity Date, unless such Letter of Credit
expires by its terms on an earlier date or an L/C Backstop exists (the “Letter
of Credit Expiration Date”); provided, however, that a Letter
of Credit may, upon the request of the relevant Borrower, include a provision
whereby such Letter of Credit (an “Auto-Renewal Letter of Credit”) shall
be renewed automatically for additional consecutive periods of 12 months or
less (but not beyond the date that is 5 days prior to the Revolving Credit
Maturity Date unless an L/C Backstop exists) unless the relevant Issuing Bank
notifies the beneficiary thereof at least 30 days (or such longer period
as may be specified in such Letter of Credit) prior to the then-applicable
Letter of Credit Expiration Date that such Letter of Credit will not be renewed.  Once an Auto-Renewal Letter of Credit has
been issued, the Revolving Credit Lenders shall be deemed to have authorized
(but may not require) the relevant Issuing Bank to permit the renewal of such
Letter of Credit at any time to an expiry date not later than the Letter of
Credit Expiration Date; provided that the relevant Issuing Bank shall
not permit any such renewal if (i) the relevant Issuing Bank has determined
that it would have no obligation at such time to issue such Letter of Credit in
its renewed form under the terms hereof (by reason of the provisions of Section 2.23(l)
or 

 

66

 

otherwise)
or (ii) it has received notice (which may be by telephone or in writing) 5
Business Days prior to the day that is 30 days (or such longer period as may be
specified in such Letter of Credit) prior to the then-applicable Letter of
Credit Expiration Date from the Administrative Agent, any Revolving Credit
Lender or the relevant Borrower that one or more of the applicable conditions
specified in Section 4.01 is not then satisfied.

 

(d)           By the issuance of a
Letter of Credit and without any further action on the part of an Issuing Bank
or the Lenders, such Issuing Bank hereby grants to each Revolving Credit
Lender, and each such Lender hereby acquires from such Issuing Bank, a
participation in such Letter of Credit equal to such Lender’s Pro Rata
Percentage of the aggregate amount available to be drawn under such Letter of
Credit, effective upon the issuance of such Letter of Credit. In consideration
and in furtherance of the foregoing, each Revolving Credit Lender hereby absolutely
and unconditionally agrees to pay to the Administrative Agent, for the account
of such Issuing Bank, such Lender’s Pro Rata Percentage of each L/C
Disbursement made by such Issuing Bank and not reimbursed by the relevant
Borrower (or, if applicable, another party pursuant to its obligations under
any other Loan Document) forthwith on the date due as provided in Section 2.02(f).
Each Revolving Credit Lender acknowledges and agrees that its obligation to
acquire participations pursuant to this paragraph in respect of Letters of
Credit is absolute and unconditional and shall not be affected by any
circumstance whatsoever, including the occurrence and continuance of a Default
or an Event of Default, and that each such payment shall be made without any
offset, abatement, withholding or reduction whatsoever.  Upon any change in the Revolving Credit
Commitments or Pro Rata Percentages of the Revolving Credit Lenders pursuant to
Section 2.21 or 9.04(b), it is hereby agreed that, with
respect to all outstanding Letters of Credit and unreimbursed L/C Disbursements
relating thereto, there shall be an automatic adjustment to the participations
pursuant to this Section 2.23(d) to reflect the new Pro Rata
Percentages of each Revolving Credit Lender.

 

(e)           If an Issuing Bank
shall make any L/C Disbursement in respect of a Letter of Credit, the relevant
Borrower shall pay to the Administrative Agent an amount equal to such L/C
Disbursement not later than 12:00 noon on the immediately following
Business Day.  In the case of a Letter of
Credit denominated in an Alternative Currency, the relevant Borrower shall reimburse
the relevant Issuing Bank in the currency in which such L/C Disbursement shall
have been made.

 

(f)            (i)  Each
Borrower’s obligations to reimburse L/C Disbursements as provided in paragraph (e) above
shall be absolute, unconditional and irrevocable, and shall be performed
strictly in accordance with the terms of this Agreement, under any and all
circumstances whatsoever, and irrespective of the existence of any claim,
setoff, defense or other right that the Borrowers or any other Person may at
any time have against the beneficiary under any Letter of Credit, the Issuing
Bank, the Administrative Agent or any Lender or any other Person, including any
defense based on the failure of any draft or other document presented under a
Letter of Credit to comply with the terms of such Letter of Credit; provided
that the Borrowers shall not be obligated to reimburse the Issuing Bank for any
wrongful payment made by the Issuing Bank as a result of the Issuing Bank’s
gross negligence, bad faith, willful misconduct or breach of its obligations in
determining whether drafts and other documents presented under a Letter of
Credit comply with the terms thereof.

 

(ii)     Each Lender and each
Borrower agree that, in paying any drawing under a Letter of Credit, the
relevant Issuing Bank shall not have any responsibility to obtain any document
(other than any draft, demand, certificate or other document expressly required
by the Letter of Credit) or to ascertain or inquire as to the validity or
accuracy of any such document or the authority of the Person executing or delivering
any such document.  None of the Issuing
Banks, the Agents nor any of the respective correspondents, participants or assignees
of any Issuing Bank shall be liable to any Lender for (x) any action taken
or omitted in connection herewith at the request or with the approval of the
Lenders or the Required Lenders, as applicable, (y) any action taken or
omitted in the absence of gross negligence or willful misconduct or
(z) the due execution, effectiveness, validity or enforceability of any
document or instrument related to any Letter of Credit or Letter of Credit
Application.  Each Borrower hereby
assumes all risks of the acts or omissions of any beneficiary or transferee
with respect to its use of any Letter of Credit; provided that this
assumption is not intended to, and shall not, preclude either Borrower from
pursuing such rights and remedies as it may have against the beneficiary or
transferee at law or under any other agreement.

 

(g)           The relevant Issuing
Bank shall, promptly following its receipt thereof, examine all documents
purporting to represent a demand for payment under a Letter of Credit.  The relevant Issuing Bank shall as promptly 

 

67

 

as
possible give telephonic notification, confirmed by fax, to the Administrative
Agent and the relevant Borrower of such demand for payment and whether such
Issuing Bank has made or will make an L/C Disbursement thereunder; provided
that any failure to give or delay in giving such notice shall not relieve the
relevant Borrower of its obligations to reimburse such Issuing Bank and the
Revolving Credit Lenders with respect to any such L/C Disbursement.

 

(h)           If an Issuing Bank
shall make any L/C Disbursement in respect of a Letter of Credit, then, unless
the relevant Borrower shall reimburse such L/C Disbursement in full on the same
day that such LC Disbursement is made, the unpaid amount thereof shall bear
interest for the account of an Issuing Bank, for each day from and including
the date of such L/C Disbursement, to but excluding the earlier of the date of
payment by the relevant Borrower or the date on which interest shall commence
to accrue thereon as provided in Section 2.02(f), at the rate per
annum that would apply to such amount if such amount were an ABR Revolving
Loan.

 

(i)            An Issuing Bank may
be removed at any time by the Borrowers by notice from the Parent Borrower to
such Issuing Bank, the Administrative Agent and the Lenders.  Upon the acceptance of any appointment as an
Issuing Bank hereunder by a Lender that shall agree to serve as successor
Issuing Bank (which Lender shall be reasonably acceptable to the Administrative
Agent), such successor shall succeed to and become vested with all the
interests, rights and obligations of the retiring Issuing Bank. At the time
such removal shall become effective, the Borrowers shall pay all accrued and
unpaid fees pursuant to Section 2.05(c)(ii). The acceptance of any
appointment as an Issuing Bank hereunder by a successor Lender shall be evidenced
by an agreement entered into by such successor, in a form reasonably
satisfactory to the Parent Borrower and the Administrative Agent, and, from and
after the effective date of such agreement, (i) such successor Lender
shall have all the rights and obligations of the previous Issuing Bank under
this Agreement and the other Loan Documents and (ii) references herein and
in the other Loan Documents to the term “Issuing Bank” shall be deemed to refer
to such successor or to any previous Issuing Bank, or to such successor and all
previous Issuing Banks, as the context shall require. After the resignation or
removal of an Issuing Bank hereunder, the retiring Issuing Bank shall remain a
party hereto and shall continue to have all the rights and obligations of an
Issuing Bank under this Agreement and the other Loan Documents with respect to
Letters of Credit issued by it prior to such removal, but shall not be required
to issue additional Letters of Credit.

 

(j)            If the maturity of
any of the Loans under the Credit Facilities has been accelerated and the Borrowers
shall have received notice from the Administrative Agent or the Required
Revolving Lenders, the Borrowers shall deposit in an account with the Collateral
Agent, for the benefit of the Revolving Credit Lenders, an amount in cash equal
to the L/C Exposure as of such date. Such deposit shall be held by the
Collateral Agent as collateral for the payment and performance of the
Obligations. The Collateral Agent shall have exclusive dominion and control,
including the exclusive right of withdrawal, over such account.  Other than any interest earned on the investment
of such deposits in Cash Equivalents, which investments shall be made at the
option and sole discretion of the Collateral Agent, such deposits shall not
bear interest. Interest or profits, if any, on such investments shall accumulate
in such account. Moneys in such account shall (i) automatically be applied
by the Administrative Agent to reimburse each Issuing Bank for L/C
Disbursements for which it has not been reimbursed, (ii) be held for the
satisfaction of the reimbursement obligations of the Borrowers for the L/C Exposure
at such time and (iii) subject to the consent of the Required Revolving
Lenders, be applied to satisfy the Obligations. If the Borrowers are required
to provide an amount of cash collateral hereunder as a result of the
acceleration of the Loans under the Credit Facilities, such amount (to the
extent not applied as aforesaid) shall be returned to the Borrowers within 3
Business Days to the extent any such acceleration has been rescinded.

 

(k)           The Parent Borrower
may, at any time and from time to time with the consent of the Administrative
Agent (which consent shall not be unreasonably withheld or delayed) and such
Lender, designate one or more additional Lenders to act as an issuing bank
under the terms of this Agreement. Any Lender designated as an issuing bank
pursuant to this paragraph (k) shall be deemed to be an “Issuing Bank”
(in addition to being a Lender) in respect of Letters of Credit issued or to be
issued by such Lender, and, with respect to such Letters of Credit, such term
shall thereafter apply to the other Issuing Bank and such Lender.

 

(l)            An Issuing Bank
shall be under no obligation to issue any Letter of Credit if:

 

68

 

(i)           any
order, judgment or decree of any Governmental Authority or arbitrator shall by
its terms purport to enjoin or restrain such Issuing Bank from issuing such
Letter of Credit, or any law applicable to such Issuing Bank or any directive
(whether or not having the force of law) from any Governmental Authority with
jurisdiction over such Issuing Bank shall prohibit, or direct that such Issuing
Bank refrain from, the issuance of letters of credit generally or such Letter
of Credit in particular;

 

(ii)          the
issuance of such Letter of Credit would violate any applicable laws binding
upon such Issuing Bank; and

 

(iii)         any
Revolving Credit Lender is a Defaulting Lender at such time, unless such
Issuing Bank has entered into arrangements reasonably satisfactory to it and
the Parent Borrower to eliminate such Issuing Bank’s risk with respect to the
participation in Letters of Credit by such Defaulting Lender, including by cash
collateralizing such Defaulting Lender’s Pro Rata Percentage of the L/C Exposure.

 

(m)          Notwithstanding
anything else to the contrary in this Agreement, in the event of any conflict
or inconsistency between the terms hereof and the terms of any Letter of Credit
Applications, reimbursement agreements or similar agreements, the terms hereof
shall control.

 

SECTION 2.24.      Incremental Credit Extensions.

 

(a)           The Parent Borrower
may at any time or from time to time after the Closing Date, by notice to the
Administrative Agent (whereupon the Administrative Agent shall promptly deliver
a copy to each of the Lenders), request (i) one or more additional
tranches of term loans (the “Incremental Term Loans”) or (ii) one
or more increases in the amount of the Revolving Credit Commitments (each such
increase, a “Revolving Commitment Increase” and, together with any
Incremental Term Loans, a “Credit Increase”); provided that both
at the time of any such request and upon the effectiveness of any Incremental
Amendment referred to below, no Event of Default shall exist.  Each Credit Increase shall be in an aggregate
principal amount that is not less than $25,000,000 (or such lower amount that
either (A) represents all remaining availability under the limit set forth
in the next sentence or (B) is acceptable to the Administrative
Agent).  Notwithstanding anything to the
contrary herein, (i) the aggregate amount of the Credit Increases shall
not exceed the lesser of (x) $300,000,000 and (y) the maximum amount at the
time of such proposed Credit Increase that could be incurred such that after
giving pro forma effect to such Credit Increase, the Total Net Leverage Ratio
does not exceed 9.50:1.00 as of the last date for which Section 5.04
Financials have been delivered to the Administrative Agent and (ii) in the
case of any proposed Revolving Commitment Increase, after giving pro forma
effect to such Revolving Credit Increase, the total outstanding Revolving
Credit Commitments shall not exceed 1.00x of the Parent Borrower’s EBITDA as of
the last date for which Section 5.04 Financials have been delivered to the
Administrative Agent.  Each Incremental
Term Loan (1) shall rank pari  passu in right of payment and
of security with the Revolving Credit Loans (subject to Section 2.17)
and the then-existing Term Loans, (2) shall not mature earlier than the
Term Loan Maturity Date, (3) shall have a Weighted Average Life to
Maturity not shorter than the remaining Weighted Average Life to Maturity of
the then-existing Term Loans (without giving effect to annual amortization on
any Incremental Term Loan Facility not in excess of 1% of the principal amount
thereof) and (4) shall be treated in the same manner as the Term Loans for
purposes of Section 2.13(e) and Section 2.17(b).  Each notice from the Parent Borrower pursuant
to this Section 2.24 shall set forth the requested amount and
proposed terms of the relevant Credit Increases.  Incremental Term Loans may be made, and
Revolving Commitment Increases may be provided, by any existing Lender or by
any other bank or other financial institution (any such other bank or other
financial institution being called an “Additional Lender”); provided
that the relevant Persons under Section 9.04(b) shall have
consented (in each case, not to be unreasonably withheld or delayed) to such
Lender’s or Additional Lender’s making such Incremental Term Loans or providing
such Revolving Commitment Increases, if such consent would be required under Section 9.04(b) for
an assignment of Loans or Revolving Credit Commitments, as applicable, to such
Lender or Additional Lender.  The
Arrangers agree, upon the request of the Parent Borrower and pursuant to
mutually satisfactory engagement and compensation arrangements, to use their
commercially reasonable efforts to obtain any Additional Lenders to make any
such requested Incremental Term Loans or Revolving Commitment Increases;
provided that the Arrangers’ agreement to use such efforts does not constitute
a commitment to provide any such requested Incremental Term Loans or Revolving
Commitment Increases.

 

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(b)           Commitments in
respect of Credit Increases shall become Commitments (or in the case of a Revolving
Commitment Increase to be provided by an existing Revolving Credit Lender, an
increase in such Lender’s applicable Revolving Credit Commitment) under this
Agreement pursuant to an amendment (an “Incremental Amendment”) to this
Agreement and, as appropriate, the other Loan Documents, executed by each
Borrower, each Lender agreeing to provide such Commitment, if any, each
Additional Lender, if any, and the Administrative Agent.  The Incremental Amendment may, without the
consent of any other Lenders, effect such amendments to this Agreement and the
other Loan Documents as may be necessary or appropriate, in the reasonable
opinion of the Administrative Agent and the Parent Borrower, to effect the
provisions of this Section 2.24. 
The effectiveness of any Incremental Amendment shall be subject to the
satisfaction on the date thereof (each, an “Incremental Facility Closing Date”)
of each of the conditions set forth in Section 4.01 (it being
understood that all references to “the date of such Credit Event” or similar
language in such Section 4.01 shall be deemed to refer to the
effective date of such Incremental Amendment). 
The Parent Borrower may use the proceeds of Incremental Term Loans for
any purpose not prohibited by this Agreement. 
No Lender shall be obligated to provide any Credit Increases unless it
so agrees in its sole discretion.  Upon
each increase in the Revolving Credit Commitments pursuant to this Section,
(a) each Revolving Credit Lender immediately prior to such increase will
automatically and without further act be deemed to have assigned to each Lender
providing a portion of the Revolving Commitment Increase (each a “Revolving
Commitment Increase Lender”) in respect of such increase, and each such
Revolving Commitment Increase Lender will automatically and without further act
be deemed to have assumed, a portion of such Revolving Credit Lender’s participations
hereunder in outstanding Letters of Credit and Swingline Loans such that, after
giving effect to each such deemed assignment and assumption of participations,
the percentage of the aggregate outstanding (i) participations hereunder
in Letters of Credit and (ii) participations hereunder in Swingline Loans
held by each Revolving Credit Lender (including each such Revolving Commitment
Increase Lender) will equal the percentage of the aggregate Revolving Credit
Commitments of all Revolving Credit Lenders represented by such Revolving
Credit Lender’s Revolving Credit Commitment and (b) if, on the date of
such increase, there are any Revolving Loans outstanding, such Revolving Loans
shall on or prior to the effectiveness of such Revolving Commitment Increase be
prepaid from the proceeds of additional Revolving Loans made hereunder
(reflecting such increase in Revolving Credit Commitments), which prepayment
shall be accompanied by accrued interest on the Revolving Loans being prepaid
and any costs incurred by any Lender in accordance with Section 2.16.

 

(c)           The Loans and
Commitments established pursuant to this paragraph shall constitute Loans and
Commitments under, and shall be entitled to all the benefits afforded by, this
Agreement and the other Loan Documents, and shall, without limiting the
foregoing, benefit equally and ratably from the Guarantees and security interests
created by the Security Documents.  The
Loan Parties shall take any actions reasonably required by the Administrative
Agent to ensure and/or demonstrate that the Lien and security interests granted
by the Security Documents continue to be perfected under the UCC or otherwise
after giving effect to the establishment of any such Class of Term Loans
or any such new Commitments.

 

(d)           This Section 2.24
shall supersede any provisions in Section 2.18 or 9.08 to
the contrary.

 

ARTICLE III

 

Representations and Warranties

 

Each Borrower represents and warrants (it being
understood that, for purposes of the representations and warranties made in the
Loan Documents on the Closing Date, such representations and warranties shall
be construed as though the Transactions have been consummated) to the
Administrative Agent, the Collateral Agent, each Issuing Bank and each of the
Lenders that:

 

SECTION 3.01.      Organization; Powers.  Each Loan Party and each Restricted
Subsidiary (a) is duly organized or formed, validly existing and in good
standing (where relevant) under the laws of the jurisdiction of its organization,
except where the failure to exist (other than in the case of each Borrower) or
be in good standing could not reasonably be expected to result in a Material
Adverse Effect, (b) has all requisite power and authority to own its
property and assets and to carry on its business as now conducted, except where
the failure to have such power and authority could not reasonably be expected
to result in a Material Adverse Effect, (c) is qualified to do business
in, and is in good standing (where relevant) in, every jurisdiction where its
ownership, lease or operation of properties 

 

70

 

or the conduct of its business requires such qualification,
except where the failure to so qualify could not reasonably be expected to
result in a Material Adverse Effect, and (d) has the requisite power and
authority to execute, deliver and perform its obligations under each of the
Loan Documents to which it is a party.

 

SECTION 3.02.      Authorization.  The execution, delivery and performance of
the Loan Documents (a) have been duly authorized by all requisite
corporate or other organizational and, if required, stockholder or member action
and (b) will not (i) violate (A) any provision (x) of any
applicable law, statute, rule or regulation, or (y) of the
certificate or articles of incorporation, bylaws or other constitutive
documents of any Loan Party, (B) any applicable order of any Governmental
Authority, (C) any provision of the New Senior Notes Documentation or the
New Mezzanine Notes Documentation or (D) any provision of any other
material indenture, agreement or other instrument to which any Loan Party or
any Restricted Subsidiary is a party or by which any of them or any of their
property is bound, (ii) be in conflict with, result in a breach of or
constitute (alone or with notice or lapse of time or both) a default under or
give rise to any right to require the prepayment, repurchase or redemption of
any obligation under (x) the New Senior Notes Documentation or the New
Mezzanine Notes Documentation or (y) any other such material indenture,
agreement or other instrument or (iii) result in the creation or
imposition of any Lien upon or with respect to any property or assets now owned
or hereafter acquired by any Loan Party or any Restricted Subsidiary (other
than Liens created or permitted hereunder or under the Security Documents);
except with respect to clauses (b)(i) through (b)(iii) (other
than clauses (b)(i)(A)(y), (b)(i)(C) and (b)(ii)(x)),
to the extent that such violation, conflict, breach, default, or creation or
imposition of Lien could not reasonably be expected to result in a Material
Adverse Effect.

 

SECTION 3.03.      Enforceability.  This Agreement and each other Loan Document
(when delivered) have been duly executed and delivered by each Loan Party which
is a party thereto.  This Agreement and
each other Loan Document delivered on the Closing Date constitutes, and each
other Loan Document when executed and delivered by each Loan Party which is a
party thereto will constitute, a legal, valid and binding obligation of such
Loan Party enforceable against such Loan Party in accordance with its terms,
except as may be limited by bankruptcy, insolvency, fraudulent transfer, reorganization,
receivership, moratorium or similar laws of general applicability relating to
or limiting creditors’ rights generally or by general equity principles.

 

SECTION 3.04.      Governmental Approvals.  Except to the extent the failure to obtain or
make the same could not reasonably be expected to result in a Material Adverse
Effect, no action, consent or approval of, registration or filing with or any
other action by any Governmental Authority is necessary or will be required in
connection with the Loan Documents, except for (a) filings and
registrations necessary to perfect the Liens on the Collateral granted by the
Loan Parties in favor of the Collateral Agent and (b) such as have been
made or obtained and are in full force and effect.

 

SECTION 3.05.      Financial Statements.

 

(a)           The Company’s
consolidated balance sheets and related statements of income, stockholder’s equity
and cash flows as of and for the fiscal years ended December 31, 2005 and
December 31, 2006, audited by and accompanied by the report of KPMG LLP
present fairly in all material respects the financial condition and results of
operations and cash flows of the Company and its consolidated subsidiaries as
of such dates and for such periods.  Such
financial statements were prepared in accordance with GAAP consistently applied
throughout the period covered thereby, except as otherwise noted therein.

 

(b)           The Company has
heretofore delivered to the Administrative Agent its unaudited pro forma consolidated
balance sheet and related pro forma statements of income and cash flows as of
the fiscal quarter ended March 31, 2007, prepared giving effect to the
Transactions as if they had occurred, with respect to such balance sheet, on
such date and, with respect to such other financial statements, on the first
day of the four-fiscal quarter period ending on such date. Such pro forma
financial statements have been prepared in good faith by the Parent Borrower,
based on the assumptions believed by the Parent Borrower on the date of
delivery thereof to be reasonable, are based in all material respects on the
information reasonably available to the Parent Borrower as of the date of
delivery thereof, reflect in all material respects the adjustments required to
be made to give effect to the Transactions, it being understood that actual
adjustments may vary from the pro forma adjustments and actual results may vary
from such projected results and, in each case, such variations may be material.

 

71

 

SECTION 3.06.      No Material Adverse Change.  Since the Closing Date, no event, change or
condition has occurred that (individually or in the aggregate) has had, or
could reasonably be expected to have, a Material Adverse Effect.

 

SECTION 3.07.      Title to Properties.  Each Loan Party and each Restricted
Subsidiary has good and indefeasible title in fee simple to, or valid leasehold
interests in, all its material properties and assets other than (i) minor
defects in title that do not materially interfere with its ability to conduct
its business or to utilize such assets for their intended purposes,
(ii) except where the failure to have such title or other property
interests described above could not reasonably be expected to have,
individually or in the aggregate, a Material Adverse Effect, and (iii) all
such material properties and assets are free and clear of Liens, other than
Permitted Liens.

 

SECTION 3.08.      Subsidiaries.  Schedule 3.08 sets forth as of
the Closing Date a list of all subsidiaries of Intermediate Holdco, the
jurisdiction of their formation or organization, as the case may be, and the
percentage ownership interest of such subsidiary’s parent company therein, and
such Schedule shall denote which subsidiaries as of the Closing Date are
not Subsidiary Guarantors.

 

SECTION 3.09.      Litigation; Compliance with Laws.

 

(a)           Except as set forth
on Schedule 3.09, there are no actions, suits or proceedings at law or in
equity or by or before any Governmental Authority now pending or, to the
knowledge of the Borrowers, threatened in writing against any Loan Party or any
Restricted Subsidiary or any business, property or rights of any such Person
that could reasonably be expected, individually or in the aggregate, to result
in a Material Adverse Effect.

 

(b)           None of the Loan
Parties or any Restricted Subsidiary or any of their respective material properties
is in violation of any applicable law, rule or regulation, or is in
default with respect to any judgment, writ, injunction, decree or order of any
Governmental Authority, where any such violation or default could reasonably be
expected to result in a Material Adverse Effect.

 

SECTION 3.10.      Federal Reserve Regulations.

 

(a)           None of the Loan
Parties or any Restricted Subsidiary is engaged principally, or as one of its important
activities, in the business of purchasing or carrying Margin Stock or extending
credit for the purpose of purchasing or carrying Margin Stock.

 

(b)           No part of the
proceeds of any Loan or any Letter of Credit will be used (i) to purchase
or carry any Margin Stock or to extend credit to others for the purpose of
purchasing or carrying any Margin Stock or (ii) for a purpose in violation
of Regulation T, U or X issued by the Board.

 

SECTION 3.11.      Investment Company Act.  None of the Loan Parties or any Restricted
Subsidiary is an “investment company” as defined in, or subject to regulation
under, the Investment Company Act of 1940.

 

SECTION 3.12.      Taxes.  Each of the Loan Parties and each Restricted
Subsidiary has, except where the failure to so file or pay could not be
reasonably expected to have a Material Adverse Effect, filed or caused to be
filed all Federal, state and other Tax returns required to have been filed by
it and has paid, caused to be paid, or made provisions for the payment of all Taxes
due and payable by it and all material assessments received by it, except such
Taxes and assessments that are not overdue by more than 45 days or the amount
or validity of which are being contested in good faith by appropriate
proceedings and for which such Loan Party or such Restricted Subsidiary, as applicable,
shall have set aside on its books adequate reserves in accordance with GAAP.

 

SECTION 3.13.      No Material Misstatements.  As of the Closing Date, to the knowledge of
the Parent Borrower, the Confidential Information Memorandum and other written
information, reports, financial statements, exhibits and schedules furnished by
(as modified or supplemented by other information so furnished prior to the
Closing Date) or on behalf of the Parent Borrower to the Administrative Agent
or the Lenders (other than projections and other forward looking information
and information of a general economic or industry specific nature) on or prior
to the Closing Date in connection with the transactions contemplated hereby
(taken as a whole) 

 

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did not and, as of the Closing Date, does not contain
any material misstatement of fact or omit to state any material fact necessary
to make the statements therein, in the light of the circumstances under which
they were made, not materially misleading. 
The projections contained in the Confidential Information Memorandum
were prepared in good faith on the basis of assumptions believed by the Parent
Borrower to be reasonable in light of the conditions existing at the time of
delivery of such projections, and represented, at the time of delivery thereof,
a reasonable good faith estimate of future financial performance by the Parent
Borrower (it being understood that such projections are not to be viewed as
facts and are subject to significant uncertainties and contingencies, many of
which are beyond the control of the Parent Borrower, that actual results may
vary from projected results and such variances may be material and that the
Parent Borrower makes no representation as to the attainability of such
projections or as to whether such projections will be achieved or will
materialize).

 

SECTION 3.14.      Employee Benefit Plans.  No ERISA Event has occurred or could
reasonably be expected to occur, that could reasonably be expected to result in
a Material Adverse Effect.  Each Pension
Plan and/or Foreign Plan is in compliance with the applicable provisions of
ERISA, the Code and/or applicable law, except for such non-compliance that could
not reasonably be expected to have a Material Adverse Effect.  No Pension Event has occurred or could
reasonably be expected to occur, which could reasonably be expected to result
in a Material Adverse Effect.

 

SECTION 3.15.      Environmental Matters.  Except as otherwise provided in Schedule 3.15,
or except with respect to any matters that, individually or in the aggregate,
could not reasonably be expected to result in a Material Adverse Effect,
(i) each Loan Party and each of their respective subsidiaries are in
compliance with all applicable Environmental Laws, and have obtained, and are
in compliance with, all permits required of them under applicable Environmental
Laws, (ii) there are no claims, proceedings, investigations or actions by
any Governmental Authority or other Person pending, or to the knowledge of the
Borrowers, threatened against any Loan Party or any of their respective
subsidiaries under any Environmental Law, (iii) none of the Loan Parties
or any of their respective subsidiaries has agreed to assume or accept
responsibility, by contract, for any liability of any other Person under
Environmental Laws and (iv) there are no facts, circumstances or
conditions relating to the past or present business or operations of any Loan
Party, any of their respective subsidiaries, or any of their respective
predecessors (including the disposal of any wastes, hazardous substances or
other materials), or to any past or present assets of any Loan Party or any of
their respective subsidiaries, that could reasonably be expected to result in
any Loan Party or any subsidiary incurring any claim or liability under any Environmental
Law.

 

SECTION 3.16.      Security Documents.  All filings and other actions necessary to
perfect the Liens on the Collateral created under, and in the manner
contemplated by, this Agreement and the Security Documents have been duly made
or taken or otherwise provided for in a manner reasonably acceptable to the
Collateral Agent to the extent required by the terms of this Agreement or such
Security Documents and the Security Documents create in favor of the Collateral
Agent, for the benefit of the Secured Parties, a valid, and together with such
filings and other actions required by this Agreement or the Security Documents,
perfected first priority Lien in the Collateral (to the extent that, with
respect to Collateral that is intellectual property, a valid, perfected Lien in
such Collateral is possible through such filings and other actions), securing
the payment of the Secured Obligations, subject only to Permitted Liens, to the
extent any such Permitted Liens would have priority over the Liens in favor of
the Administrative Agent pursuant to any applicable law; provided, however,
the representation and warranty set forth in this Section 3.16 as it
relates to the effects of perfection or non-perfection, the priority or the
enforceability of any pledge of or security interest in any Equity Interests of
any Foreign Subsidiary, or as to the rights and remedies of the Collateral
Agent or any Lender with respect thereto shall be made only to the extent of
comparable representations and warranties applicable to such Equity Interests
or Collateral set forth in the Security Documents pursuant to which Liens on
such Equity Interests or Collateral are purported to be granted.

 

SECTION 3.17.      Location of Real Property and Leased Premises.

 

(a)           Schedule 3.17(a) lists
completely and correctly (in all material respects) as of the Closing Date all
real property owned by the Loan Parties and the Restricted Subsidiaries and the
addresses thereof, to the extent reasonably available.  Except as otherwise provided in Schedule 3.17(a),
the Parent Borrower and its Restricted Subsidiaries own in fee all the real
property set forth on such schedule, except to the extent the failure to have
such title could not reasonably be expected to result in a Material Adverse
Effect.

 

73

 

(b)           Schedule 3.17(b) lists
completely and correctly (in all material respects) as of the Closing Date all
real property leased by the Loan Parties and the Restricted Subsidiaries and
the addresses thereof. Except as otherwise provided on Schedule 3.17(b),
the Loan Parties and the Restricted Subsidiaries have valid leasehold interests
in all the real property set forth on such schedule, except to the extent the
failure to have such valid leasehold interest could not reasonably be expected
to have a Material Adverse Effect.

 

SECTION 3.18.      Labor Matters.  Except as set forth in Schedule 3.18
and except in the aggregate to the extent the same has not had and could not be
reasonably expected to have a Material Adverse Effect, (a) there are no
strikes, lockouts, slowdowns or other labor disputes against any Loan Party or
any Restricted Subsidiary pending or, to the knowledge of the Borrowers,
threatened in writing, and (b) the hours worked by and payments made to
employees of the Loan Parties and the Restricted Subsidiaries have not been in
violation of the Fair Labor Standards Act or any other applicable Federal, state,
local or foreign law dealing with such matters.

 

SECTION 3.19.      Solvency.  On the Closing Date after giving effect to
the Transactions, the Loan Parties, on a consolidated basis, are Solvent.

 

SECTION 3.20.      Intellectual Property.  Except as set forth in Schedule 3.20,
the Parent Borrower and each of its Restricted Subsidiaries own, license or
possess the right to use all intellectual property, free from burdensome
restrictions, that are necessary for the operation of their respective
businesses as currently conducted and as proposed to be conducted, except where
the failure to obtain any such rights or the imposition of such restrictions
could not reasonably be expected to have a Material Adverse Effect.

 

SECTION 3.21.      Subordination of Junior Financing.  The Obligations constitute “Senior Debt,”
“Senior Indebtedness,” “Guarantor Senior Debt” or “Senior Secured Financing”
(or any comparable term) under, and as defined in, any Junior Financing
Documentation.

 

ARTICLE IV

 

Conditions of Lending

 

The obligations of the Lenders to make Loans and of
each Issuing Bank to issue Letters of Credit hereunder are subject to the
satisfaction (or waiver by the Arrangers on or prior to the Closing Date and in
accordance with Section 9.08 thereafter) of the following conditions:

 

SECTION 4.01.      All Credit Events.  On the date of the making of each Loan,
including the making of a Swingline Loan and on the date of each issuance or
amendment of a Letter of Credit (each such event being called a “Credit
Event”; it being understood that the conversion into a Eurodollar Loan, an
ABR Loan, a BA Rate Loan or a Canadian Base Rate Loan or continuation of a
Eurodollar Loan or BA Rate Loan does not constitute a Credit Event):

 

(a)           The Administrative Agent shall have
received a notice of such Loan as required by Section 2.03 (or such
notice shall have been deemed given in accordance with Section 2.02)
or, in the case of the issuance, amendment, extension or renewal of a Letter of
Credit, the relevant Issuing Bank and the Administrative Agent shall have
received a notice requesting the issuance, amendment, extension or renewal of
such Letter of Credit as required by Section 2.23(b) or, in
the case of the Borrowing of a Swingline Loan, the Swingline Lender and the
Administrative Agent shall have received a notice requesting such Swingline
Loan as required by Section 2.22(b).

 

(b)           The representations and warranties
set forth in Article III and in each other Loan Document shall be
true and correct in all material respects on and as of the date of such Credit
Event with the same effect as though made on and as of such date, except to the
extent such representations and warranties expressly relate to an earlier date,
in which case they shall be true and correct in all material respects as of such
earlier date; provided, however, that solely for purposes of
representations and warranties made on the Closing Date, such representations
and warranties shall be limited in all respects to the representations and
warranties in Sections 3.01(d), 3.02(a), 3.03, 3.10,
3.11 and 3.21 and the Other Closing Date Representations.

 

74

 

(c)           At the time of and immediately after
such Credit Event (other than any Credit Event occurring on the Closing Date),
no Default or Event of Default shall have occurred and be continuing.

 

Each Credit Event shall be deemed to constitute a
representation and warranty by the Borrowers to the relevant Lenders and/or
Issuing Banks on the date of such Credit Event as to the matters specified in paragraphs (b) and
(c) of this Section 4.01.

 

SECTION 4.02.      First Credit Event.  On the Closing Date:

 

(a)           This Agreement shall have been duly
executed and delivered by the Borrowers.

 

(b)           The Administrative Agent shall have
received, on behalf of itself, the Lenders and each Issuing Bank, an opinion of
Kirkland & Ellis LLP, special counsel for the Loan Parties, addressed
to each Issuing Bank, the Administrative Agent and the Lenders, in form and
substance reasonably satisfactory to the Administrative Agent.

 

(c)           The Administrative Agent shall have
received (i) a copy of the certificate or articles of incorporation or
organization, including all amendments thereto, of each Loan Party, certified
as of a recent date by the Secretary of State of the state of its organization,
and a certificate as to the good standing (where relevant) of each Loan Party
as of a recent date, from such Secretary of State or similar Governmental
Authority and (ii) a certificate of the Secretary or Assistant Secretary
of each Loan Party dated the Closing Date and certifying (A) that attached
thereto is a true and complete copy of the by-laws or operating (or limited
liability company) agreement of such Loan Party as in effect on the Closing
Date, (B) that attached thereto is a true and complete copy of resolutions
duly adopted by the Board of Directors (or equivalent body) of such Loan Party
authorizing the execution, delivery and performance of the Loan Documents to
which such Person is a party and, in the case of the Borrowers, the borrowings
hereunder, and that such resolutions have not been modified, rescinded or
amended and are in full force and effect, (C) that (except in connection
with the Merger) the certificate or articles of incorporation or organization
of such Loan Party have not been amended since the date of the last amendment
thereto shown on the certificate of good standing furnished pursuant to clause (i) above,
and (D) as to the incumbency and specimen signature of each officer
executing any Loan Document on behalf of such Loan Party and countersigned by
another officer as to the incumbency and specimen signature of the Secretary or
Assistant Secretary executing the certificate pursuant to clause (ii) above.

 

(d)           The Administrative Agent shall have
received a certificate, dated the Closing Date and signed by a Financial
Officer of the Company, certifying compliance with the conditions precedent set
forth in Sections 4.01(b) and 4.02(i).

 

(e)           The Administrative Agent shall have
received all fees and other amounts due and payable on or prior to the Closing
Date, including, to the extent invoiced at least 3 Business Days prior to the
Closing Date, reimbursement or payment of all reasonable out-of-pocket expenses
required to be reimbursed or paid by Merger Sub hereunder or under any other
Loan Document.

 

(f)            The Parent Borrower shall have
delivered or caused to be delivered to the Administrative Agent a solvency
certificate from a Responsible Officer of the Parent Borrower setting forth the
conclusions that, after giving effect to the Transactions, the Loan Parties (on
a consolidated basis) are Solvent.

 

(g)           The Security Documents (other than
any Mortgages) shall have been duly executed by each Loan Party that is to be a
party thereto and shall be in full force and effect.  All actions necessary to establish that the
Collateral Agent will have a perfected first priority Lien on the Collateral
(subject to Permitted Liens, to the extent any such Permitted Liens would have
priority over the Liens in favor of the Administrative Agent pursuant to any
applicable law) shall have been taken.

 

75

 

(h)           The Administrative Agent shall have
received the results of (i) searches of the Uniform Commercial Code
filings (or equivalent filings) and (ii) bankruptcy, judgment and tax lien
searches, made with respect to the Loan Parties in the states (or other
jurisdictions) of formation of such Person, together with (in the case of
clause (i)) copies of the financing statements (or similar documents) disclosed
by such search.

 

(i)            From May 2, 2007, no event,
change or effect shall have occurred which, individually or in the aggregate,
has resulted in or would reasonably be expected to result in a Material Adverse
Effect.

 

(j)            The Administrative Agent shall have
received a certificate as to coverage under the insurance policies required by Section 5.02.

 

(k)           The Administrative Agent shall have
received a certified copy of the Merger Agreement, duly executed by the parties
thereto (together with all exhibits and schedules thereto).  The Merger shall be consummated substantially
concurrently with the initial funding of Loans on the Closing Date in
accordance with and on the terms described in the Merger Agreement, and no
material provision of the Merger Agreement shall have been amended or waived in
any respect materially adverse to the interests of the Lenders without the
prior written consent of the Arrangers, not to be unreasonably withheld or
delayed.

 

(l)            Substantially simultaneously with
the initial funding of Loans on the Closing Date (i) the Equity Investment
shall have been made and (ii) Merger Sub shall have received gross cash
proceeds of (x) not less than $675,000,000 from the issuance of the New Senior
Notes and (y) not less than the Dollar Equivalent of approximately $520,000,000
from the issuance of the New Mezzanine Notes.

 

(m)          All amounts due or outstanding in
respect of the Existing Debt (other than Existing Letters of Credit and
contingent obligations) shall have been (or substantially simultaneously with
the initial funding of the Loans on the Closing Date shall be) paid in full,
all commitments (if any) respect thereof terminated and all guarantees (if any)
thereof discharged and released.  After
giving effect to the Transactions, substantially all of the Indebtedness of the
Borrowers and their subsidiaries shall have been repaid other than
(i) Indebtedness under the Loan Documents, (ii) the New Senior Notes,
(iii) the New Mezzanine Notes, (iv) any Existing Notes which have not
been repurchased pursuant to the Tender Offer and (v) other Indebtedness
permitted by Section 6.01.

 

(n)           The Lenders shall have received from
the Loan Parties, to the extent requested at least 10 days prior to the Closing
Date, all documentation and other information required by regulatory
authorities under applicable “know your customer” and anti-money laundering
rules and regulations, including the USA PATRIOT Act.

 

SECTION 4.03.      Additional Conditions Applicable to Foreign
Subsidiary Borrowers.  The
obligations of each Lender to make Loans and of each Issuing Bank to issue
Letters of Credit requested to be made by it to any Foreign Subsidiary Borrower
on any date is subject to satisfaction or waiver of, in addition to the
conditions precedent set forth in Section 4.01, the following
conditions precedent:  (a) in the
case of the making of any extension of credit to any Foreign Subsidiary
Borrower for the first time, the delivery to the Administrative Agent of
(i) the executed legal opinion of counsel to such Foreign Subsidiary
Borrower, in form and substance reasonably satisfactory to the Administrative
Agent, and (ii) the collateral and security documents, in form and
substance reasonably satisfactory to the Administrative Agent, executed and
delivered by a duly authorized officer of such Foreign Subsidiary Borrower and
each of its subsidiaries, and such other documents, instruments and agreements
as may be reasonably requested by the Administrative Agent and (b) the
truthfulness and correctness in all material respects on and as of such date of
the following additional representations and warranties:

 

(a)           The obligations of such Foreign
Subsidiary Borrower under this Agreement and any Note, when executed and
delivered by such Foreign Subsidiary Borrower, will rank at least pari  passu
with all other secured Indebtedness of such Foreign Subsidiary Borrower.

 

76

 

(b)           Such Foreign Subsidiary Borrower is
subject to civil and commercial law with respect to its obligations under this
Agreement and any Note, and the execution, delivery and performance by such
Foreign Subsidiary Borrower of this Agreement constitute and will constitute
private and commercial acts and not public or governmental acts.  Neither such Foreign Subsidiary Borrower nor
any of its property, whether or not held for its own account, has any immunity
(sovereign or other similar immunity) from any suit or proceeding, from
jurisdiction of any court or from set-off or any legal process (whether service
or notice, attachment prior to judgment, attachment in aid of execution of
judgment, execution of judgment or other similar immunity) under the laws of
the jurisdiction in which such Foreign Subsidiary Borrower is organized and
existing in respect of its obligations under this Agreement or any Note.  Such Foreign Subsidiary Borrower has,
pursuant to Section 9.15(e), waived every immunity (sovereign or
otherwise) to which it or any of its properties would otherwise be entitled
from any legal action, suit or proceeding, from jurisdiction of any court or
from set-off or any legal process (whether service or notice, attachment prior
to judgment, attachment in aid of execution of judgment, execution of judgment
or otherwise) under the laws of the jurisdiction in which such Foreign
Subsidiary Borrower is organized and existing in respect of its obligations
under this Agreement and any Note.  The
waiver by such Foreign Subsidiary Borrower described in the immediately
preceding sentence is the legal, valid and binding obligation of such Foreign
Subsidiary Borrower.

 

(c)           This Agreement and each Note, if any,
is in proper legal form under the laws of the jurisdiction in which such
Foreign Subsidiary Borrower is organized and existing for the enforcement
hereof or thereof against such Foreign Subsidiary Borrower under the laws of
such jurisdiction, and to ensure the legality, validity, enforceability,
priority or admissibility in evidence of this Agreement and any such Note.  It is not necessary to ensure the legality,
validity, enforceability, priority or admissibility in evidence of this
Agreement and any such Note that this Agreement, any Note or any other document
be filed, registered or recorded with, or executed or notarized before, any
court or other authority in the jurisdiction in which such Foreign Subsidiary
Borrower is organized and existing or that any registration charge or stamp or
similar tax be paid on or in respect of this Agreement, any Note or any other
document, except for any such filing, registration or recording, or execution
or notarization, as has been made or is not required to be made until this
Agreement, any Note or any other document is sought to be enforced and for any
charge or tax as has been timely paid.

 

(d)           The execution, delivery and
performance by such Foreign Subsidiary Borrower of this Agreement, any Note or
the other Loan Documents is, under applicable foreign exchange control
regulations of the jurisdiction in which such Foreign Subsidiary Borrower is
organized and existing, not subject to any notification or authorization except
such as have been made or obtained or cannot be made or obtained until a later
date.

 

Each borrowing by any Foreign Subsidiary Borrower
hereunder shall constitute a representation and warranty by each of the Parent
Borrower and such Foreign Subsidiary Borrower as of the date of such borrowings
that the conditions contained in this Section 4.03 have been
satisfied.

 

ARTICLE V

 

Affirmative Covenants

 

Each Borrower covenants and agrees with each Lender
that until the Termination Date such Borrower will, and will cause each of the
Restricted Subsidiaries to:

 

SECTION 5.01.      Existence; Compliance with
Laws; Businesses and Properties.

 

(a)           Do or cause to be
done all things reasonably necessary to preserve, renew and keep in full force
and effect its legal existence under the laws of its jurisdiction of
organization, except (i) to the extent that failure to do so could not
reasonably be expected to have a Material Adverse Effect or (ii) as
otherwise expressly permitted under Section 6.04 or Section 6.05.

 

77

 

(b)           Other than as could
not reasonably be expected to have a Material Adverse Effect, (i) do or
cause to be done all things reasonably necessary to obtain, preserve, renew,
extend and keep in full force and effect the material rights, licenses,
permits, franchises, authorizations, patents, copyrights, trademarks and trade
names necessary to the conduct of its business, (ii) comply in all
material respects with applicable laws, rules, regulations and decrees and
orders of any Governmental Authority (including Environmental Laws and ERISA),
whether now in effect or hereafter enacted and (iii) maintain and preserve
all property necessary to the conduct of such business and keep such property
in good repair, working order and condition 
(ordinary wear and tear, casualty and condemnation excepted) and from
time to time make, or cause to be made, all needed repairs, renewals,
additions, improvements and replacements thereto necessary in the reasonable
judgment of management to the conduct of its business.

 

SECTION 5.02.      Insurance.

 

(a)           Keep its material
insurable properties adequately insured in all material respects at all times
by financially sound and reputable insurers to such extent and against such
risks, including fire and other risks insured against by extended coverage, as
is customary with companies in the same or similar businesses operating in the
same or similar locations.

 

(b)           Cause all such
policies covering any Collateral to be endorsed or otherwise amended to include
a customary lender’s loss payable endorsement and, to the extent available on
commercially reasonable terms, cause each such policy to provide that it shall
not be canceled, modified or not renewed (i) by reason of nonpayment of
premium unless not less than 10 days’ prior written notice thereof is given by
the insurer to the Administrative Agent and the Collateral Agent (giving the
Administrative Agent and the Collateral Agent the right to cure defaults in the
payment of premiums) or (ii) for any other reason unless not less than 30
days’ prior written notice thereof is given by the insurer to the
Administrative Agent and the Collateral Agent.

 

(c)           With respect to each
Mortgaged Property, obtain flood insurance in such total amount as the Administrative
Agent or the Required Lenders may from time to time require and is considered
normal and customary and at reasonable cost, if at any time the area in which
any improvements located on any Mortgaged Property is designated a “flood
hazard area” in any Flood Insurance Rate Map published by the Federal Emergency
Management Agency (or any successor agency), and otherwise comply with the
National Flood Insurance Program as set forth in the Flood Disaster Protection
Act of 1973, as amended from time to time.

 

SECTION 5.03.      Taxes.  Pay and discharge when due all Taxes imposed
upon it or upon its income or profits or in respect of its property, before the
same shall become overdue by more than 45 days; provided, however,
that such payment and discharge shall not be required with respect to any such
Tax (i) so long as the validity or amount thereof is being contested in
good faith by appropriate proceedings diligently conducted and with respect to
which adequate reserves in accordance with GAAP have been established or
(ii) with respect to which the failure to pay or discharge could not
reasonably be expected to have a Material Adverse Effect.

 

SECTION 5.04.      Financial Statements, Reports, etc.  Furnish to the Administrative Agent (who will
distribute to each Lender):

 

(a)           as soon as available, but in any
event not later than the fifth Business Day after the 90th day following the
end of each fiscal year of the Parent Borrower, (i) its consolidated
balance sheet and related statements of income, stockholders’ equity and cash
flows showing the financial condition of the Parent Borrower and its
consolidated subsidiaries as of the close of such fiscal year and the results
of its operations and the operations of such Persons during such year, together
with comparative figures for the immediately preceding fiscal year, all in
reasonable detail and prepared in accordance with GAAP, all audited by KPMG LLP
or other independent public accountants of recognized national standing and
(ii) an opinion of such accountants (which opinion shall be without a
“going concern” or like qualification or exception and without any
qualification or exception as to the scope of such audit) to the effect that
such consolidated financial statements fairly present the financial condition
and results of operations of the Parent Borrower and its consolidated
subsidiaries on a consolidated basis in accordance with GAAP (it 

 

78

 

being
agreed that the furnishing of the Parent Borrower’s annual report on
Form 10-K for such year, as filed with the SEC, will satisfy the Parent
Borrower’s obligation under this Section 5.04(a)(i));

 

(b)           as soon as available, but in any
event not later than the fifth Business Day after the 45th day following the
end of each of the first 3 fiscal quarters of each fiscal year of the Parent
Borrower, its consolidated balance sheet and related statements of income,
stockholders’ equity and cash flows showing the financial condition of the
Parent Borrower and its consolidated subsidiaries as of the close of such
fiscal quarter and the results of its operations and the operations of such
Persons during such fiscal quarter and the then elapsed portion of the fiscal
year, and for each fiscal quarter occurring after the first anniversary of the
Closing Date, comparative figures for the same periods in the immediately
preceding fiscal year, all certified by one of its Financial Officers as fairly
presenting in all material respects the financial condition and results of
operations of the Parent Borrower and its consolidated subsidiaries on a
consolidated basis in accordance with GAAP, subject to normal year-end audit
adjustments and the absence of footnotes (it being agreed that the furnishing
of the Parent Borrower’s quarterly report on Form 10-Q for such quarter,
as filed with the SEC will satisfy the Parent Borrower’s obligation under this Section 5.04(b) with
respect to such quarter);

 

(c)           concurrently with any delivery of
Section 5.04 Financials, a certificate of a Financial Officer of the
Parent Borrower (i) certifying that to such Financial Officer’s knowledge,
no Event of Default or Default has occurred and is continuing or, if such an
Event of Default or Default has occurred and is continuing, reasonably
specifying the nature thereof, (ii) setting forth (x) to the extent
applicable, computations in reasonable detail demonstrating the Total Net
Leverage Ratio as of the date of such financial statements and (y)  in the
case of a certificate delivered with the financial statements required by paragraph (a) above
(commencing with the fiscal year ended December 31, 2008), setting forth
the Parent Borrower’s calculation of Excess Cash Flow;

 

(d)           as soon as available, but in any
event not later than the fifth Business Day after the 90th day after the
commencement of each fiscal year of the Parent Borrower, copy of the
projections by the Parent Borrower of the operating budget and cash flow budget
of the Parent Borrower and its subsidiaries for such fiscal year, such
projections to be accompanied by a certificate of a Financial Officer of the
Parent Borrower to the effect that such Financial Officer believes such
projections to have been prepared on the basis of reasonable assumptions;

 

(e)           simultaneously with the delivery of
any Section 5.04 Financials, the related consolidating financial
statements reflecting the adjustments necessary to eliminate the accounts of
Unrestricted Subsidiaries from such consolidated financial statements (but only
to the extent such Unrestricted Subsidiaries would not be considered “minor”
under Rule 3-10 of Regulation S-X under the Securities Act);

 

(f)            simultaneously with the delivery of
any Section 5.04 Financials, management’s discussion and analysis of the
important operational and financial developments of the Parent Borrower and its
Restricted Subsidiaries during the respect fiscal year or fiscal quarter, as
the case may be; it being agreed that the furnishing of the Parent Borrower’s
annual report on Form 10-K or quarterly report on Form 10-Q, as filed
with the SEC, will satisfy the Parent Borrower’s obligations under this Section 5.04(f);

 

(g)           after the request by any Lender
(through the Administrative Agent), all documentation and other information
that such Lender reasonably requests in order to comply with its ongoing
obligations under applicable “know your customer” and anti-money laundering
rules and regulations, including the USA PATRIOT Act; and

 

(h)           promptly, from time to time, such
other information regarding the operations, business, legal or corporate
affairs and financial condition of any Loan Party or any Restricted Subsidiary,
or compliance with the terms of any Loan Document, as the Administrative Agent
or any Lender (through the Administrative Agent) may reasonably request.

 

79

 

Information required to be delivered pursuant to this Section 5.04
shall be deemed to have been delivered if such information, or one or more
annual or quarterly reports containing such information, shall have been posted
by the Administrative Agent on a SyndTrak, IntraLinks or similar site to which
the Lenders have been granted access or shall be available (the “Platform”)
on the website of the Securities and Exchange Commission at http://www.sec.gov
or on the website of the Parent Borrower. 
Information required to be delivered pursuant to this Section may
also be delivered by electronic communications pursuant to procedures approved
by the Administrative Agent.  Each Lender
shall be solely responsible for timely accessing posted documents and
maintaining its copies of such documents.

 

The Parent Borrower hereby acknowledges that
(a) the Administrative Agent will make available to the Issuing Banks and
the Lenders materials and/or information provided by or on behalf of the Parent
Borrower hereunder (collectively, “Borrower Materials”) by posting the
Borrower Materials on the Platform and (b) certain of the Lenders (each, a
“Public Lender”) may have personnel who do not wish to receive material
non-public information with respect to the Parent Borrower or its Affiliates,
or the respective securities of any of the foregoing, and who may be engaged in
investment and other market-related activities with respect to such Persons’
securities.  The Parent Borrower hereby
agrees that it will use commercially reasonable efforts to identify that
portion of the Borrower Materials that may be distributed to the Public Lenders
and that (w) all such Borrower Materials shall be clearly and conspicuously
marked “PUBLIC” which, at a minimum, shall mean that the word “PUBLIC” shall
appear prominently on the first page thereof; (x) by marking Borrower
Materials “PUBLIC,” the Parent Borrower shall be deemed to have authorized the
Administrative Agent, the Issuing Banks and the Lenders to treat such Borrower
Materials as not containing any material non-public information (although it
may be sensitive and proprietary) with respect to the Parent Borrower or its
securities for purposes of United States Federal and state securities laws (provided,
however, that to the extent such Borrower Materials constitute
Information, they shall be treated as set forth in Section 11.07);
(y) all Borrower Materials marked “PUBLIC” are permitted to be made available
through a portion of the Platform designated “Public Investor”; and (z) the
Administrative Agent shall be entitled to treat any Borrower Materials that are
not marked “PUBLIC” as being suitable only for posting on a portion of the
Platform not designated “Public Investor.”

 

SECTION 5.05.      Notices.  Promptly upon any Responsible Officer of the
Parent Borrower becoming aware thereof, furnish to the Administrative Agent
notice of the following:

 

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

 

(b)           the occurrence of any event that has
had, or could reasonably be expected to have, a Material Adverse Effect.

 

SECTION 5.06.      Information Regarding Collateral.  Furnish to the Administrative Agent notice of
any change on or prior to the later to occur of (a) 30 days following the
occurrence of such change and (b) the earlier of the date of the required
delivery of the Pricing Certificate following such change and the date which is
45 days after the end of the most recently ended fiscal quarter following such
change (i) in any Loan Party’s legal name, (ii) in the jurisdiction
of organization or formation of any Loan Party or (iii) in any Loan
Party’s identity or corporate structure; provided that no such notice
shall be required in connection with (A) the name change of CDRV
Investors, Inc. to VWR Funding, Inc. and (B) the conversion of
VWR International, Inc. from a corporation to a limited liability company.

 

SECTION 5.07.      Maintaining Records; Access to Properties and
Inspections.  Keep proper
books of record and account in which full, true and correct entries in
conformity with GAAP are made.  Permit
any representatives designated by the Administrative Agent or any Lender to
visit and inspect during normal business hours the corporate, financial and
operating records and the properties of the Parent Borrower or the Restricted
Subsidiaries upon reasonable advance notice, and to make extracts from and
copies of such records, and permit any such representatives to discuss the
affairs, finances and condition of such Person with the officers thereof and
independent accountants therefor; provided that the Administrative Agent
shall give the Parent Borrower an opportunity to participate in any discussions
with its accountants; provided, further, that in the absence of
the existence of an Event of Default, (i) only the Administrative Agent on
behalf of the Lenders may exercise the rights of the Administrative Agent and
the Lenders under this Section 5.07 and (ii) the
Administrative Agent shall not 

 

80

 

exercise its rights under this Section 5.07
more often than two times during any fiscal year and only one such time shall
be at the Parent Borrower’s expense; provided,  further, that when
an Event of Default exists, the Administrative Agent or any Lender and their
respective designees may do any of the foregoing at the expense of the Parent
Borrower at any time during normal business hours and upon reasonable advance
notice.

 

SECTION 5.08.      Use of Proceeds.  The proceeds of the Term Loans, together with
the Equity Investment, the New Senior Notes and New Mezzanine Notes, shall be
used solely to pay the cash consideration for the Merger, to repay the Existing
Debt and to pay Transaction Expenses. 
The proceeds of the Revolving Loans and Swingline Loans, shall be used
for working capital, general corporate purposes and any other purpose not
prohibited by this Agreement; provided, however, that up to
$30,000,000 of the Revolving Loans may be drawn on the Closing Date and used
to  pay a portion of the cash consideration
for the Merger, repay a portion of the Existing Debt and to pay a portion of
the Transaction Expenses.  The Letters of
Credit shall be used solely to support obligations of the Parent Borrower and
its subsidiaries incurred for working capital, general corporate purposes and
any other purpose not prohibited by this Agreement.

 

SECTION 5.09.      Further Assurances.

 

(a)           From time to time
duly authorize, execute and deliver, or cause to be duly authorized, executed
and delivered, such additional instruments, certificates, financing statements,
agreements or documents, and take all reasonable actions (including filing UCC
and other financing statements but subject to the limitations set forth in the
Security Documents), as the Administrative Agent or the Collateral Agent may
reasonably request, for the purposes of perfecting the rights of the
Administrative Agent, the Collateral Agent and the Secured Parties with respect
to the Collateral (or with respect to any additions thereto or replacements or
proceeds or products thereof or with respect to any other property or assets
hereafter acquired by the Parent Borrower or any other Loan Party which may be
deemed to be part of the Collateral) pursuant hereto or thereto.

 

(b)           With respect to any
assets acquired by any Loan Party after the Closing Date of the type constituting
Collateral under the Guarantee and Collateral Agreement and as to which the
Collateral Agent, for the benefit of the Secured Parties, does not have a
perfected first priority (subject only to Permitted Liens, to the extent any
such Permitted Liens would have priority over the Liens in favor of the
Administrative Agent pursuant to any applicable law) security interest, on or
prior to the later to occur of (i) 30 days following such acquisition and
(ii) the earlier of the date of the required delivery of the Pricing
Certificate following the date of such acquisition and the date which is 45
days after the end of the most recently ended fiscal quarter (or such longer
period as to which the Administrative Agent may consent), (x) execute and
deliver to the Administrative Agent and the Collateral Agent such amendments to
the Guarantee and Collateral Agreement or such other Security Documents as the
Administrative Agent deems necessary to grant to the Collateral Agent, for the
benefit of the Secured Parties, a security interest in such assets and (y) take
all commercially reasonable actions necessary to grant to, or continue on
behalf of, the Collateral Agent, for the benefit of the Secured Parties, a perfected
first priority security interest in such assets (subject only to Permitted
Liens, to the extent any such Permitted Liens would have priority over the
Liens in favor of the Administrative Agent pursuant to any applicable law),
including the filing of UCC financing statements in such jurisdictions as may
be required by the Guarantee and Collateral Agreement or as may be reasonably
requested by the Administrative Agent or the Collateral Agent.

 

(c)           With respect to any
wholly owned Restricted Subsidiary (other than a Foreign Subsidiary or an
Excluded Subsidiary or a Domestic Subsidiary that is a disregarded entity for
U.S. federal income tax purposes owned by a non-disregarded non-U.S. entity)
created or acquired after the Closing Date, on or prior to the later to occur
of (i) 30 days following the date of such creation or acquisition and
(ii) the earlier of the date of the required delivery of the Pricing
Certificate following such creation or acquisition and the date which is 45
days after the end of the most recently ended fiscal quarter (or such longer
period as to which the Administrative Agent may consent), (x) execute and
deliver to the Administrative Agent and the Collateral Agent such amendments to
the Guarantee and Collateral Agreement as the Administrative Agent deems
necessary to grant to the Collateral Agent, for the benefit of the relevant
Secured Parties, a valid, perfected first priority (subject only to Permitted
Liens, to the extent any such Permitted Liens would have priority over the Liens
in favor of the Administrative Agent pursuant to any applicable law) security
interest in the Equity Interests in such new subsidiary that are owned by any
of the Loan Parties to the extent the same constitute Collateral under the
terms of the Guarantee and Collateral Agreement, 

 

81

 

(y) deliver
to the Collateral Agent the certificates, if any, representing any of such
Equity Interests that constitute certificated securities, together with undated
stock powers, in blank, executed and delivered by a duly authorized officer of
the pledgor and (z) cause such Restricted Subsidiary (A) to become a
party to the Guarantee and Collateral Agreement, to the extent applicable, each
Intellectual Property Security Agreement and (B) to take such actions
necessary to grant to the Collateral Agent, for the benefit of the Secured
Parties, a perfected first priority (subject only to Permitted Liens, to the extent
any such Permitted Liens would have priority over the Liens in favor of the
Administrative Agent pursuant to any applicable law) security interest in any
assets required to be Collateral pursuant to the Guarantee and Collateral
Agreement and each Intellectual Property Security Agreement with respect to
such Restricted Subsidiary, including, if applicable, the recording of
instruments in the United States Patent and Trademark Office and the United
States Copyright Office and the filing of UCC financing statements in such
jurisdictions as may be required by the Guarantee and Collateral Agreement, any
applicable Intellectual Property Security Agreement or as may be reasonably
requested by the Administrative Agent or the Collateral Agent.

 

(d)           With respect to any
Equity Interests in any Foreign Subsidiary (other than any Foreign Subsidiary
Borrower) that are acquired after the Closing Date by any Loan Party (including
as a result of formation of a new Foreign Subsidiary), on or prior to the later
to occur of (i) 30 days following the date of such acquisition and (ii) the
earlier of the date of the required delivery of the Pricing Certificate
following the date of such acquisition and the date which is 45 days after the
end of the most recently ended fiscal quarter (or such longer period as to
which the Administrative Agent may consent), (x) execute and deliver to
the Administrative Agent and the Collateral Agent such amendments to the
Guarantee and Collateral Agreement as the Administrative Agent reasonably deems
necessary in order to grant to the Collateral Agent, for the benefit of the
relevant Secured Parties, a perfected first priority security interest (subject
only to Permitted Liens, to the extent any such Permitted Liens would have
priority over the Liens in favor of the Administrative Agent pursuant to any
applicable law) in the Equity Interests in such Foreign Subsidiary that are
owned by the Loan Parties to the extent the same constitutes Collateral under
the terms of the Guarantee and Collateral Agreement (provided that
(A) only first-tier Foreign Subsidiaries owned directly by such Loan Party
shall be pledged by such Loan Party, (B) 100% of the Equity Interests of
such Foreign Subsidiary shall be pledged by such Loan Party  (provided that only 65% of such Equity
Interests shall secure the Domestic Obligations) and (C)  in the case of
any Equity Interests of any Foreign Subsidiaries owned by a Borrower that is a
Foreign Subsidiary, only first-tier Foreign Subsidiaries owned directly by such
Borrower shall be pledged and such Equity Interests shall secure only such Borrower’s
Obligations) and (y) deliver to the Collateral Agent any certificates representing
any such Equity Interests that constitute certificated securities, together
with undated stock powers, in blank, executed and delivered by a duly
authorized officer of the pledgor, as the case may be, and take such other
action as may be reasonably requested by the Administrative Agent or the
Collateral Agent to perfect the security interest of the Collateral Agent
thereon (but subject to the limitations set forth in the Security Documents).

 

(e)           With respect to any
Foreign Subsidiary designated as a Foreign Subsidiary Borrower, the Parent
Borrower shall cause such Foreign Subsidiary to take all actions contemplated
by Section 9.08(g).

 

(f)            If, at any time and
from time to time after the Closing Date, any wholly-owned Domestic Subsidiary
that is not a disregarded entity for U.S. federal income tax purposes owned by
a non-disregarded non-U.S. entity ceases to constitute an Immaterial Subsidiary
in accordance with the definition of “Immaterial Subsidiary”, then the Parent
Borrower shall cause such subsidiary to become an additional Loan Party and
take all the actions contemplated by Section 5.09(c) as if
such subsidiary were a newly-formed wholly-owned Domestic Subsidiary of the Parent
Borrower.

 

(g)           With respect to any
fee interest in any real property located in the United States with a book
value in excess of $5,000,000 (as reasonably estimated by the Parent Borrower)
acquired after the Closing Date by any Loan Party, within 90 days following the
date of such acquisition (or such longer period as to which the Administrative
Agent may consent) (i) execute and deliver Mortgages in favor of the
Collateral Agent, for the benefit of the Secured Parties, covering such real
property and complying with the provisions herein and in the Security Documents
and (ii) comply with the requirements of Section 5.10 with
respect to any Mortgages to be provided after the Closing Date pursuant to such
Schedule.

 

(h)           Furthermore, to the
extent Indebtedness outstanding under the Loans shall at any time be less than
the amount originally set forth in any Mortgage on any Mortgaged Property
located in the State of New York or to 

 

82

 

the
extent otherwise required by law to grant, preserve, protect or perfect the
Liens created by such Mortgage and the validity or priority thereof, the Parent
Borrower will, and will cause each of its applicable subsidiaries to, promptly
take all such further actions including the payment of any additional mortgage
recording taxes, fees, charges, costs and expenses required so to grant,
preserve, protect or perfect the Liens created by such Mortgage to the maximum
amount of Indebtedness by its terms secured thereby and the validity or
priority of any such Lien.

 

Notwithstanding anything to the contrary in this Section 5.09
or any other Security Document (1) the Collateral Agent shall not require
the taking of a Lien on, or require the perfection of any Lien granted in, those
assets as to which the cost of obtaining or perfecting such Lien (including any
mortgage, stamp, intangibles or other tax or expenses relating to such Lien) is
excessive in relation to the benefit to the Lenders of the security afforded
thereby as reasonably determined by the Parent Borrower and the Administrative
Agent and (2) Liens required to be granted pursuant to this Section 5.09
shall be subject to exceptions and limitations consistent with those set forth
in the Security Documents as in effect on the Closing Date (to the extent
appropriate in the applicable jurisdiction).

 

SECTION 5.10.      Post-Closing Obligations.

 

(a)           The Collateral Agent
shall have received not later than 10 days after the Closing Date (unless
extended by the Administrative Agent in its sole discretion) an endorsement to
the general liability insurance certificate in form and substance reasonably
satisfactory to it.

 

(b)           The Collateral Agent
shall have received not later than 60 days after the Closing Date (unless
extended by the Administrative Agent in its sole discretion):

 

(i)           a
Mortgage encumbering each Mortgaged Property in favor of the Collateral Agent,
for the benefit of the Secured Parties, duly executed and acknowledged by each
Loan Party that is the owner of or holder of any interest in such Mortgaged
Property, and otherwise in form for recording in the recording office of each
applicable political subdivision where each such Mortgaged Property is
situated, together with such certificates, affidavits, questionnaires or returns
as shall be required in connection with the recording or filing thereof to
create a lien under applicable Requirements of Law, and such financing
statements and any other instruments necessary to grant a mortgage lien under
the laws of any applicable jurisdiction, all of which shall be in form and
substance reasonably satisfactory to the Collateral Agent:

 

(ii)          with
respect to each Mortgaged Property, such consents, approvals, amendments,
supplements, estoppels, tenant subordination agreements or other instruments as
necessary to consummate the Transactions or as shall reasonably be deemed
necessary by the Collateral Agent in order for the owner or holder of the fee
interest constituting such Mortgaged Property to grant the Lien contemplated by
the Morgage with respect to such Mortgaged Property;

 

(iii)         with
respect to each Mortgage, a policy of title insurance (or marked up title
insurance commitment having the effect of a policy of title insurance) insuring
the Lien of such Mortgage as a valid first mortgage Lien on the Mortgaged
Property and fixtures described therein in the amount reasonably acceptable to
the Collateral Agent, which policy (or such marked-up commitment) (each, a “Title
Policy”) shall (A) be issued by the Title Company reasonably requested
by the Collateral Agent, (B) to the extent necessary and available,
include such reinsurance arrangements (with provisions for direct access, if
necessary) as shall be reasonably acceptable to the Collateral Agent,
(C) contain a “tie-in” or “cluster” endorsement, if available under
applicable law (i.e., policies which insure against losses regardless of
location or allocated value of the insured property up to a stated maximum
coverage amount), (D) have been supplemented by such endorsements (or
where such endorsements are not available, opinions of special counsel,
architects or other professionals reasonably acceptable to the Collateral
Agent) as shall be reasonably requested by the Collateral Agent (including
endorsements on matters relating to usury, first loss, last dollar, zoning,
contiguity, revolving credit, doing business, non-imputation, public road
access, survey, variable rate, environmental lien, subdivision, mortgage
recording tax, separate tax lot, revolving credit, and so-called comprehensive
coverage over covenants and restrictions), and (E) contain no exceptions
to title other than exceptions reasonably acceptable to the Collateral Agent;

 

83

 

(iv)         with
respect to each Mortgaged Property, such affidavits, certificates, information
(including financial data) and instruments of indemnification (including a
so-called “gap” indemnification) as shall be required to induce the Title
Company to issue the title policy/ies and endorsements contemplated above;

 

(v)          evidence
reasonably acceptable to the Collateral Agent of payment by the Parent Borrower
of all title policy premiums, search and examination charges, escrow charges
and related charges, mortgage recording taxes, fees, charges, costs and expenses
required for the recording of the Mortgages and issuance of the title policies
referred to above;

 

(vi)         with
respect to each Mortgaged Property, copies of all leases in which the Parent
Borrower or any Subsidiary holds the lessor’s interest or other agreements
relating to possessory interests if any. 
To the extent any of the foregoing affect any Mortgaged Property, such
agreements shall (x) be subordinate to the Lien of the Mortgage to be recorded
against such Mortgaged Property, either expressly by its terms or pursuant to a
subordination, non-disturbance and attornment agreement in form and substance
reasonably acceptable to the Collateral Agent, with respect to which the
applicable Loan Party shall have used its commercially reasonable efforts to obtain
and (y) shall otherwise be reasonably acceptable to the Collateral Agent;

 

(vii)        Surveys
with respect to each Mortgaged Property; provided that, if the Parent
Borrower is able to obtain a “no change” affidavit acceptable to the Title
Company to enable it to issue a Title Policy removing all survey exceptions and
issuing all survey related endorsements, then a new Survey shall not be
requested; and

 

(viii)       a
completed Federal Emergency Management Agency Standard Flood Hazard
Determination with respect to each Mortgaged Property.

 

SECTION 5.11.      Designation of Subsidiaries.

 

(a)           The Parent Borrower
may designate any subsidiary (including any existing subsidiary and any newly
acquired or newly formed subsidiary) to be an Unrestricted Subsidiary unless
such subsidiary or any of its subsidiaries owns any Equity Interests or
Indebtedness of, or owns or holds any Lien on, any property of, the Parent
Borrower or any Restricted Subsidiary (other than solely any Unrestricted
Subsidiary of the subsidiary to be so designated); provided that

 

(i)           any
Unrestricted Subsidiary must be an entity of which the Equity Interests
entitled to cast at least a majority of the votes that may be cast by all
Equity Interests having ordinary voting power for the election of directors or
Persons performing a similar function are owned, directly or indirectly, by the
Parent Borrower;

 

(ii)          such
designation complies with the covenants described in Section 6.03(c);

 

(iii)         no
Default or Event of Default shall have occurred and be continuing;

 

(iv)         either:

 

(A)          the Parent Borrower could incur at
least $1.00 of additional Indebtedness pursuant to the Total Net Leverage Ratio
test described in Section 6.01; or

 

(B)           the Total Net Leverage Ratio for the
Parent Borrower and its Restricted Subsidiaries would be less than or equal to
such ratio immediately prior to such designation,

 

in each case on a pro
forma basis taking into account such designation; and

 

(v)          each
of:

 

84

 

(A)          the subsidiary to be so designated;
and

 

(B)           its subsidiaries

 

has not at the time of
designation, and does not thereafter, incur any Indebtedness pursuant to which
the lender has recourse to any of the assets of the Parent Borrower or any
Restricted Subsidiary.  Furthermore, no
subsidiary may be designated as an Unrestricted Subsidiary hereunder unless it
is also designated as an “Unrestricted Subsidiary” for purposes of the New
Senior Notes, the New Mezzanine Notes or any Junior Financing.

 

(b)           The Parent Borrower
may designate any Unrestricted Subsidiary to be a Restricted Subsidiary; provided
that, immediately after giving effect to such designation, no Default or Event
of Default shall have occurred and be continuing and either:

 

(i)           the
Parent Borrower could incur at least $1.00 of additional Indebtedness pursuant
to the Total Net Leverage Ratio test described in Section 6.01; or

 

(ii)          the
Total Net Leverage Ratio for the Parent Borrower and its Restricted
Subsidiaries would be less than or equal to such ratio immediately prior to
such designation,

 

in each case on a pro
forma basis taking into account such designation.

 

Any such designation by the Parent Borrower shall be
notified by the Parent Borrower to the Administrative Agent by promptly filing
with the Administrative Agent a copy of the resolution of the board of
directors of the Parent Borrower or any committee thereof giving effect to such
designation and an Officer’s Certificate certifying that such designation
complied with the foregoing provisions.

 

SECTION 5.12.      Maintenance of New York Process Agent.  In the case of any Foreign Subsidiary
Borrower, maintain in New York, New York or at such other location in
the United States of America as may be reasonably satisfactory to the
Administrative Agent a Person acting as agent to receive on its behalf and on
behalf of its property service of process and capable of discharging the
functions of the New York Process Agent set forth in Section 9.15(e).

 

SECTION 5.13.      Existing Notes.  The Parent Borrower shall have caused any
Existing Notes not validly tendered in the Tender Offer (i) to cease, on
or before the Closing Date, to be entitled to the benefit of substantially all
of the restrictive covenants and certain events of default contained in the
indenture applicable to such Existing Notes, (ii) defeased within
30 days after the Closing Date or (iii) redeemed within 30 days
after the Closing Date.

 

ARTICLE VI

 

Negative Covenants

 

The Borrowers covenant and agree that, until the
Termination Date, the Borrowers will not, nor will they cause or permit any of
the Restricted Subsidiaries to:

 

SECTION 6.01.      Limitation on Incurrence of Indebtedness and
Issuance of Disqualified Stock and Preferred Stock.

 

(a)           Directly or
indirectly, create, incur, issue, assume, guarantee or otherwise become
directly or indirectly liable, contingently or otherwise (collectively, “incur”
and collectively, an “incurrence”) with respect to any Indebtedness
(including Acquired Indebtedness) and the Parent Borrower and the Restricted
Guarantors will not issue any shares of Disqualified Stock and will not permit
any Restricted Subsidiary that is not a Guarantor to issue any shares of
Disqualified Stock or Preferred Stock; provided,  however,  that the Parent Borrower and the Restricted Guarantors may
incur Indebtedness (including Acquired Indebtedness) or issue shares of
Disqualified Stock, and any Restricted Subsidiary that is not a Guarantor may
incur Indebtedness (including Acquired Indebtedness), issue 

 

85

 

shares
of Disqualified Stock and issue shares of Preferred Stock, if the Total Net
Leverage Ratio at the time such additional Indebtedness is incurred or such
Disqualified Stock or Preferred Stock is issued would have been no greater than
6.75 to 1.0, determined on a pro forma basis (including a pro forma application
of the net proceeds therefrom), as if the additional Indebtedness had been
incurred, or the Disqualified Stock or Preferred Stock had been issued, as the
case may be, and the application of proceeds therefrom had occurred at the
beginning of the most recently ended four fiscal quarters for which
Section 5.04 Financials have been delivered to the Administrative
Agent;  provided, further,
that any incurrence of Indebtedness or issuance of Disqualified Stock or
Preferred Stock by a Restricted Subsidiary that is not a Guarantor pursuant to
this paragraph (a) is subject to the limitations of paragraph (g) below.

 

(b)           The limitations set
forth in clause (a) will not apply to the following items:

 

(i)           the
Indebtedness under the Loan Documents (including any Incremental Term Loans or
increase in the Revolving Credit Commitments under Section 2.24) of
the Parent Borrower or any of its Restricted Subsidiaries (including letters of
credit and bankers’ acceptances thereunder);

 

(ii)          the
incurrence by the Parent Borrower and any Restricted Guarantor of Indebtedness
represented by the New Senior Notes;

 

(iii)         Indebtedness
of the Parent Borrower and its Restricted Subsidiaries in existence on the Closing
Date (other than Indebtedness described in clauses (b)(i), (ii) and
(xx) of this Section 6.01) and set forth in all material
respects on Schedule 6.01 (including the Existing Intercompany
Debt);

 

(iv)         Indebtedness
(including Capitalized Lease Obligations), Disqualified Stock and Preferred
Stock incurred by the Parent Borrower or any of its Restricted Subsidiaries, to
finance the purchase, lease or improvement of property (real or personal) or
equipment that is used or useful in the business of the Parent Borrower and its
Restricted Subsidiaries, whether through the direct purchase of assets or the
Capital Stock of any Person owning such assets in an aggregate principal
amount, together with any Refinancing Indebtedness in respect thereof and all
other Indebtedness, Disqualified Stock and/or Preferred Stock incurred and
outstanding under this clause (iv), not to exceed $50,000,000 at any
time outstanding; so long as such Indebtedness exists at the date of such purchase,
lease or improvement, or is created within 270 days thereafter;

 

(v)          Indebtedness
incurred by the Parent Borrower or any Restricted Subsidiary constituting reimbursement
obligations with respect to bankers’ acceptances and letters of credit issued
in the ordinary course of business, including letters of credit in respect of
workers’ compensation claims, or other Indebtedness with respect to
reimbursement type obligations regarding workers’ compensation claims; provided,  however,  that upon the
drawing of such bankers’ acceptances and letters of credit or the incurrence of
such Indebtedness, such obligations are reimbursed within 45 days following
such drawing or incurrence;

 

(vi)         Indebtedness
arising from agreements of the Parent Borrower or a Restricted Subsidiary
providing for indemnification, adjustment of purchase price or similar
obligations, in each case, incurred or assumed in connection with the
disposition of any business, assets or a Subsidiary, other than guarantees of
Indebtedness incurred by any Person acquiring all or any portion of such business,
assets or a Subsidiary for the purpose of financing such acquisition; provided,  however, that such Indebtedness is not reflected on
the balance sheet (other than by application of FIN 45 as a result of an
amendment to an obligation in existence on the Closing Date) of the Parent
Borrower or any Restricted Subsidiary (contingent obligations referred to in a
footnote to financial statements and not otherwise reflected on the balance
sheet will not be deemed to be reflected on such balance sheet for purposes of
this clause (vi));

 

(vii)        Indebtedness
of (A) the Parent Borrower to any Restricted Subsidiary and (B) any
Restricted Subsidiary to the Parent Borrower or to any other Restricted
Subsidiary; provided that any such Indebtedness owing by the Parent Borrower
or a Guarantor to a Restricted Subsidiary that is not a Guarantor is expressly
subordinated in right of payment to the Obligations; provided,  further,  that any
subsequent issuance or transfer of any Capital Stock or any other event which
results in any Restricted Subsidiary ceasing to be a Restricted 

 

86

 

Subsidiary or any other subsequent transfer of any such Indebtedness
(except to the Parent Borrower or another Restricted Subsidiary or any pledge
of such Indebtedness constituting a Permitted Lien) shall be deemed, in each
case, to be an incurrence of such Indebtedness not permitted by this clause
(vii);

 

(viii)       shares
of Preferred Stock of a Restricted Subsidiary issued to the Parent Borrower or
another Restricted Subsidiary, provided, that any subsequent issuance or
transfer of any Capital Stock or any other event which results in any such
Restricted Subsidiary ceasing to be a Restricted Subsidiary or any other
subsequent transfer of any such shares of Preferred Stock (except to the Parent
Borrower or a Restricted Subsidiary) shall be deemed in each case to be an
issuance of such shares of Preferred Stock not permitted by this clause
(viii);

 

(ix)         Hedging
Obligations (excluding Hedging Obligations entered into for speculative purposes)
for the purpose of limiting interest rate risk with respect to any Indebtedness
permitted under this Section 6.01, exchange rate risk or commodity
pricing risk;

 

(x)          obligations
in respect of customs, stay, performance, bid, appeal and surety bonds and completion
guarantees and other obligations of a like nature provided by the Parent
Borrower or any of its Restricted Subsidiaries in the ordinary course of
business;

 

(xi)         (A) Indebtedness
or Disqualified Stock of the Parent Borrower or any Restricted Guarantor and
Indebtedness, Disqualified Stock or Preferred Stock of any Restricted
Subsidiary that is not a Guarantor in an aggregate principal amount or
liquidation preference equal to 200.0% of the net cash proceeds received by the
Parent Borrower and its Restricted Subsidiaries since immediately after the
Closing Date from the issue or sale of Equity Interests of the Parent Borrower
or cash contributed to the capital of the Parent Borrower (in each case, other
than Equity Interests the proceeds of which are used to fund the Transactions
and proceeds of Disqualified Stock or sales of Equity Interests to, or
contributions received from, the Parent Borrower or any of its Subsidiaries) as
determined in accordance with paragraphs (c) and (d) of the
definition of Restricted Payment Applicable Amount (to the extent such net cash
proceeds or cash have not been applied pursuant to such clauses to make
Restricted Payments or other Investments, payments or exchanges pursuant to of Section 6.03(b) or
to make Permitted Investments (other than Permitted Investments specified in clauses
(a) and (c) of the definition thereof); provided
that any amounts incurred in excess of the aggregate amount of such net cash
proceeds shall be Subordinated Indebtedness not subject to scheduled
amortization and with a final maturity not prior to the date occurring 180 days
following the Term Loan Maturity Date; and (B) Indebtedness or
Disqualified Stock of the Parent Borrower or a Guarantor and Indebtedness, Disqualified
Stock or Preferred Stock of any Restricted Subsidiary that is not a Guarantor
not otherwise permitted hereunder in an aggregate principal amount or
liquidation preference, which when aggregated with the principal amount and
liquidation preference of all other Indebtedness, Disqualified Stock and
Preferred Stock then outstanding and incurred pursuant to this clause (xi)(B),
does not at any one time outstanding exceed $150,000,000 (it being understood
that any Indebtedness, Disqualified Stock or Preferred Stock incurred pursuant
to this clause (xi)(B) shall cease to be deemed incurred or
outstanding for purposes of this clause (xi)(B) but shall be
deemed incurred for the purposes of Section 6.01(a) from and
after the first date on which the Parent Borrower or such Restricted Subsidiary
could have incurred such Indebtedness, Disqualified Stock or Preferred Stock
under Section 6.01(a) without reliance on this clause (xi)(B);

 

(xii)        the
incurrence by the Parent Borrower or any Restricted Subsidiary of Indebtedness,
Disqualified Stock or Preferred Stock which serves to refund or refinance any
Indebtedness, Disqualified Stock or Preferred Stock permitted under Section 6.01(a) and
clauses (ii), (iii), (iv), (xi)(A), (xiii), (xviii)
and (xx) of this Section 6.01(b) or any Indebtedness,
Disqualified Stock or Preferred Stock issued to so refund or refinance such
Indebtedness, Disqualified Stock or Preferred Stock, including, in each case,
additional Indebtedness, Disqualified Stock or Preferred Stock incurred to pay
premiums (including tender premiums), defeasance costs and fees and expenses in
connection therewith (collectively, the “Refinancing Indebtedness”)
prior to its respective maturity; provided,  however,
that such Refinancing Indebtedness:

 

87

 

(A)          has a Weighted Average Life to
Maturity at the time such Refinancing Indebtedness is incurred which is not
less than the remaining Weighted Average Life to Maturity of the Indebtedness,
Disqualified Stock or Preferred Stock being refunded or refinanced,

 

(B)           to the extent such Refinancing
Indebtedness refinances (1) Indebtedness subordinated or pari  passu
to the Obligations, such Refinancing Indebtedness is subordinated or pari passu to the Obligations at least to the
same extent as the Indebtedness being refinanced or refunded or
(2) Disqualified Stock or Preferred Stock, such Refinancing Indebtedness
must be Disqualified Stock or Preferred Stock, respectively, and

 

(C)           shall not include:

 

(1)          Indebtedness,
Disqualified Stock or Preferred Stock of a Restricted Subsidiary that is not a
Guarantor that refinances Indebtedness, Disqualified Stock or Preferred Stock
of the Parent Borrower;

 

(2)          Indebtedness,
Disqualified Stock or Preferred Stock of a Restricted Subsidiary that is not a
Guarantor that refinances Indebtedness, Disqualified Stock or Preferred Stock
of a Restricted Guarantor; or

 

(3)          Indebtedness,
Disqualified Stock or Preferred Stock of the Parent Borrower or a Restricted
Subsidiary that refinances Indebtedness, Disqualified Stock or Preferred Stock
of an Unrestricted Subsidiary;

 

provided, further, that any
incurrence of Indebtedness or issuance of Disqualified Stock or Preferred Stock
by any Restricted Subsidiary that is not a Subsidiary Guarantor pursuant to
this clause (xii) (solely as it relates to Indebtedness under clause
(xiii) and Section 6.01(a)) shall be subject to the limitations
set forth in Section 6.01(g) to the same extent as the
Indebtedness refinanced;

 

(xiii)       Indebtedness,
Disqualified Stock or Preferred Stock (x) of the Parent Borrower or a Restricted
Subsidiary (other than a Foreign Subsidiary) incurred to finance an
acquisition, (y) of Persons (other than foreign Persons) that are acquired
by the Parent Borrower or any Restricted Subsidiary or Persons merged into the
Parent Borrower or a Restricted Subsidiary (other than a Foreign Subsidiary) in
accordance with the terms of this Agreement or (z) that is assumed by the
Parent Borrower or any Restricted Subsidiary (other than a Foreign Subsidiary)
in connection with such acquisition so long as:

 

(A)          no Default exists or shall result
therefrom;

 

(B)           any Indebtedness, Disqualified Stock
or Preferred Stock incurred in reliance on clause (x) above shall not be
Secured Indebtedness and shall not mature (and shall not be mandatorily
redeemable in the case of Disqualified Stock of Preferred Stock) or require any
payment of principal (other than in a manner consistent with the terms of the
New Senior Notes Documentation), in each case, prior to the date which is 91
days after the Term Loan Maturity Date;

 

(C)           any Indebtedness, Disqualified Stock
or Preferred Stock incurred in reliance on clause (y) or (z)
above shall not have been incurred in contemplation of such acquisition and
either (1) the aggregate principal amount of such Indebtedness
constituting Secured Indebtedness, together with all Refinancing Indebtedness
in respect thereof, shall not exceed $100,000,000 or (2) after giving pro
forma effect to such acquisition or merger, the Total Net Leverage Ratio is
less than the Total Net Leverage Ratio immediately prior to such acquisition or
merger;

 

(D)          after giving pro forma effect to such
acquisition or merger either (1) the Total Net Leverage Ratio is less than
the Total Net Leverage Ratio test immediately prior to such 

 

88

 

acquisition or merger or
(2) the Parent Borrower would be permitted to incur at least $1.00 of
additional Indebtedness pursuant to the Total Net Leverage Ratio test described
in Section 6.01(a);

 

provided that any incurrence of
Indebtedness or issuance of Disqualified Stock or Preferred Stock by a
Restricted Subsidiary that is not a Guarantor pursuant to this clause (xiii)
is subject to the limitations of paragraph (g) below;

 

(xiv)       Indebtedness
arising from the honoring by a bank or other financial institution of a check,
draft or similar instrument drawn against insufficient funds in the ordinary
course of business, provided that such Indebtedness is extinguished
within two Business Days of its incurrence;

 

(xv)        Indebtedness
of the Parent Borrower or any of its Restricted Subsidiaries supported by a
Letter of Credit in a principal amount not to exceed the face amount of such
Letter of Credit;

 

(xvi)       (A) any
guarantee by the Parent Borrower or a Restricted Subsidiary of Indebtedness or
other obligations of any Restricted Subsidiary so long as such Indebtedness is
permitted under this Agreement, or (B) any guarantee by a Restricted
Subsidiary of Indebtedness of the Parent Borrower; provided that, in
each case, (x) such Restricted Subsidiary shall comply with its obligations
under Section 5.09 and (y) in the case of any guarantee of
Indebtedness of the Parent Borrower or any Subsidiary Guarantor by any
Restricted Subsidiary that is not a Subsidiary Guarantor, such Restricted
Subsidiary becomes a Subsidiary Guarantor under this Agreement;

 

(xvii)      Indebtedness,
Disqualified Stock or Preferred Stock of any Foreign Subsidiary
(A) incurred under local credit facilities for general corporate purposes
not exceeding, as to all such Foreign Subsidiaries, $50,000,000 in the
aggregate at any one time outstanding, (B) incurred to finance or assumed
in connection with the Foreign Subsidiary Reorganization or (C) which
serves to refund or refinance any Indebtedness under clauses (i), (ii) or
(xx) hereof or the payment of any dividend to the Parent Borrower or any
Restricted Subsidiary in a principal amount not to exceed $200,000,000 in the
aggregate at any one time outstanding;  provided
that any incurrence of Indebtedness or issuance of Disqualified Stock or
Preferred Stock by a Restricted Subsidiary that is not a Guarantor pursuant to clause (xvii)(B) is
subject to the limitations of paragraph (g) below;

 

(xviii)     Indebtedness,
Disqualified Stock or Preferred Stock (x) of a Restricted Subsidiary that is a
Foreign Subsidiary incurred to finance an acquisition, (y) of foreign
Persons that are acquired by the Parent Borrower or any Restricted Subsidiary
or merged into a Restricted Subsidiary that is a Foreign Subsidiary in accordance
with the terms of this Agreement or (z) that is assumed by a Restricted
Subsidiary that is a Foreign Subsidiary in connection with such acquisition so
long as:

 

(A)          no Default exists or shall result
therefrom;

 

(B)           any Indebtedness, Disqualified Stock
or Preferred Stock incurred in reliance on clause (x) above shall not
exceed the fair market value of the assets or Person being acquired (as
determined in good faith by the Parent Borrower; provided that with respect to
any acquisition with a fair market value in excess of $20,000,000, such
determination shall be made in good faith by the Board of Directors of the
Parent Borrower);

 

(C)           any Indebtedness, Disqualified Stock
or Preferred Stock incurred in reliance on clause (y) or (z)
above shall not have been incurred in contemplation of such acquisition;

 

(D)          after giving pro forma
effect to such acquisition or merger the Total Net Leverage Ratio is less than
the Total Net Leverage Ratio immediately prior to such acquisition or merger;

 

(xix)        Indebtedness
issued by the Parent Borrower or any of its Restricted Subsidiaries to future,
current or former officers, directors, employees and consultants thereof or any
direct or indirect parent thereof, their respective estates, heirs, family
members, spouses or former spouses, in each case to finance the 

 

89

 

purchase or redemption of Equity Interests of the Parent Borrower, a
Restricted Subsidiary or any of their respective direct or indirect parent
companies to the extent described in Section 6.03(b)(iv);

 

(xx)         the
incurrence by the Parent Borrower and any Restricted Guarantor of Indebtedness
represented by the New Senior Notes and the New Mezzanine Notes and, in each
case, any refinancing thereof;

 

(xxi)        Indebtedness
evidenced by Existing Notes not tendered pursuant to the Tender Offer;

 

(xxii)       cash
management obligations and Indebtedness in respect of netting services,
overdraft facilities, employee credit card programs, Cash Pooling Arrangements
or similar arrangements in connection with cash management and deposit
accounts; provided that, with respect to any Cash Pooling Arrangements,
the total amount of all deposits subject to any such Cash Pooling Arrangement
at all times equals or exceeds the total amount of overdrafts that may be
subject to such Cash Pooling Arrangements;

 

(xxiii)      Indebtedness
of the Parent Borrower or any of its subsidiaries in respect of Sale and
Lease-Back Transactions;

 

(xxiv)     Indebtedness
of the Parent Borrower or any of its subsidiaries incurred to finance insurance
premiums in the ordinary course of business;

 

(xxv)      Indebtedness
representing deferred compensation to employees of any Borrower or any
Restricted Subsidiary incurred in the ordinary course of business; and

 

(xxvi)     Indebtedness,
Disqualified Stock or Preferred Stock of the Parent Borrower or a Restricted
Subsidiary incurred to finance or assumed in connection with an acquisition in
a principal amount not to exceed $75,000,000 in the aggregate at any one time
outstanding together with all other Indebtedness, Disqualified Stock and/or
Preferred Stock issued under this clause (xviii); provided that
any incurrence of Indebtedness or issuance of Disqualified Stock or Preferred
Stock by a Restricted Subsidiary that is not a Guarantor pursuant to this clauses
(xviii) is subject to the limitations of paragraph (g) below.

 

(c)           For purposes of
determining compliance with this Section 6.01:

 

(i)           in
the event that an item of Indebtedness, Disqualified Stock or Preferred Stock
(or any portion thereof) meets the criteria of more than one of the categories
of permitted Indebtedness, Disqualified Stock or Preferred Stock described in Section 6.01(b) or
is entitled to be incurred pursuant to Section 6.01(a), the Parent
Borrower, in its sole discretion, may classify or reclassify such item (other
than amounts described in clauses (xvii) and (xviii) of clause
(b) above, in the case of a reclassification as an incurrence pursuant
to Section 6.01(a)) of Indebtedness, Disqualified Stock or
Preferred Stock (or any portion thereof) and will only be required to include
the amount and type of such Indebtedness, Disqualified Stock or Preferred Stock
in one of the above permitted clauses; and

 

(ii)          at
the time of incurrence or permitted reclassification, the Parent Borrower will
be entitled to divide and classify an item of Indebtedness in one or more types
of Indebtedness, Disqualified Stock or Preferred Stock described in Section 6.01(a) or
(b).

 

(d)           The accrual of
interest, the accretion of accreted value and the payment of interest or
dividends in the form of additional Indebtedness, Disqualified Stock or
Preferred Stock, as applicable, will not be deemed to be an incurrence of
Indebtedness, Disqualified Stock or Preferred Stock for purposes of this Section 6.01.

 

(e)           For purposes of
determining compliance with any dollar-denominated restriction on the
incurrence of Indebtedness, the dollar-equivalent principal amount of
Indebtedness denominated in a foreign currency shall be calculated based on the
relevant currency exchange rate in effect on the date such Indebtedness was
incurred, in the case of term debt, or first committed, in the case of
revolving credit debt; provided that if such Indebtedness is incurred to
refinance other Indebtedness denominated in a foreign currency, and such
refinancing would cause the 

 

90

 

applicable
dollar-denominated restriction to be exceeded if calculated at the relevant
currency exchange rate in effect on the date of such refinancing, such
dollar-denominated restriction shall be deemed not to have been exceeded so
long as the principal amount of such refinancing Indebtedness does not exceed
the principal amount of such Indebtedness being refinanced.

 

(f)            The principal
amount of any Indebtedness incurred to refinance other Indebtedness, if
incurred in a different currency from the Indebtedness being refinanced, shall
be calculated based on the currency exchange rate applicable to the currencies
in which such respective Indebtedness is denominated that is in effect on the
date of such refinancing.

 

(g)           Notwithstanding
anything to the contrary contained in Section 6.01(a) or (b),
no Restricted Subsidiary of the Parent Borrower that is not a Subsidiary
Guarantor shall incur any Indebtedness or issue any Disqualified Stock or
Preferred Stock in reliance on Section 6.01(a) or (b)(xiii),
(b)(xvii)(B), or (b)(xxvi) (the “Limited Non-Guarantor Debt
Exceptions”) if the amount of such Indebtedness, Disqualified Stock or Preferred
Stock, when aggregated with the amount of all other Indebtedness, Disqualified
Stock or Preferred Stock outstanding under such Limited Non-Guarantor Debt
Exceptions, together with any Refinancing Indebtedness in respect thereof,
would exceed $100,000,000; provided that in no event shall any Indebtedness,
Disqualified Stock or Preferred Stock of any Restricted Subsidiary that is not
a Subsidiary Guarantor (i) existing at the time it became a Restricted
Subsidiary or (ii) assumed in connection with any acquisition, merger or
acquisition of minority interests of a non-Wholly-Owned Subsidiary (and in the
case of clauses (i) and (ii), not created in contemplation
of such Person becoming a Restricted Subsidiary or such acquisition, merger or
acquisition of minority interests) be deemed to be Indebtedness outstanding
under the Limited Non-Guarantor Debt Exceptions for purposes of this Section 6.01(g).

 

SECTION 6.02.      Liens.  Directly or indirectly, create, incur, assume
or suffer to exist any Lien (except Permitted Liens) on any asset or property
of the Parent Borrower or any Restricted Subsidiary, or any income or profits
therefrom, or assign or convey any right to receive income therefrom.

 

SECTION 6.03.      Restricted Payments.  Directly or indirectly, make any Restricted
Payment, other than:

 

(a)           Restricted Payments in an amount,
together with the aggregate amount of all other Restricted Payments made by the
Parent Borrower and its Restricted Subsidiaries after the Closing Date (including
Restricted Payments permitted by clauses (i), (ii) (with
respect to the payment of dividends on Refunding Capital Stock pursuant to clause (C) thereof
only), (vi)(C) and (ix) of Section 6.03(b),
but excluding all other Restricted Payments permitted by Section 6.03(b))
not to exceed the Restricted Payment Applicable Amount; provided that
(i) no Default shall have occurred and be continuing or would occur as a
consequence thereof; and (ii) immediately after giving effect to such
transaction on a pro forma  basis, the
Parent Borrower could incur $1.00 of additional Indebtedness pursuant to the
Total Net Leverage Ratio test described in Section 6.01(a).

 

(b)           Section 6.03(a) will
not prohibit:

 

(i)           the
payment of any dividend within 60 days after the date of declaration thereof,
if at the date of declaration such payment would have complied with the
provisions of this Agreement;

 

(ii)          (A)          the redemption, repurchase, retirement
or other acquisition of any (1) Equity Interests (“Treasury Capital
Stock”) of the Parent Borrower or any Restricted Subsidiary or Subordinated
Indebtedness of the Parent Borrower or any Guarantor or (2) Equity
Interests of any direct or indirect parent company of the Parent Borrower, in
the case of each of clause (1) and (2), in exchange for, or
out of the proceeds of the substantially concurrent sale (other than to the
Parent Borrower or a Restricted Subsidiary) of, Equity Interests of the Parent
Borrower, or any direct or indirect parent company of the Parent Borrower to
the extent contributed to the capital of the Parent Borrower or any Restricted
Subsidiary (in each case, other than any Disqualified Stock) (“Refunding
Capital Stock”), (B) the declaration and payment of dividends on the
Treasury Capital Stock out of the proceeds of the substantially concurrent sale
(other than to the Parent Borrower or a Restricted Subsidiary) of the Refunding
Capital Stock, and (C) if immediately prior to the 

 

91

 

retirement of Treasury Capital Stock, the declaration and payment of
dividends thereon was permitted under clauses (vi)(A) or (B) of
this Section 6.03(b), the declaration and payment of dividends on
the Refunding Capital Stock (other than Refunding Capital Stock the proceeds of
which were used to redeem, repurchase, retire or otherwise acquire any Equity
Interests of any direct or indirect parent company of the Parent Borrower) in
an aggregate amount per year no greater than the aggregate amount of dividends
per annum that were declarable and payable on such Treasury Capital Stock
immediately prior to such retirement;

 

(iii)         the
redemption, repurchase or other acquisition or retirement of (A) the New
Senior Notes in an amount equal to the aggregate principal amount of
prepayments of Term Loans made by the Administrative Borrower pursuant to Section 2.12,
2.13(b) or 2.13(c) on a dollar for dollar basis (or in
the case of any prepayment of Euro Term Loans, the Dollar Equivalent as
calculated on the date of such prepayment) or (B) the New Senior Notes or
Subordinated Indebtedness of the Parent Borrower or a Restricted Guarantor made
by exchange for, or out of the proceeds of the substantially concurrent sale
of, new Indebtedness of the Parent Borrower or a Restricted Guarantor, as the
case may be, which is incurred in compliance with Section 6.01 so
long as in the case of the clause (B):

 

(I)                                    the
principal amount (or accreted value, if applicable) of such new Indebtedness
does not exceed the principal amount of (or accreted value, if applicable),
plus any accrued and unpaid interest on, the Indebtedness being so redeemed,
repurchased, acquired or retired for value, plus the amount of any premium
required to be paid under the terms of the instrument governing the
Indebtedness being so redeemed, repurchased, acquired or retired and any fees
and expenses incurred in connection with the issuance of such new Indebtedness;

 

(II)                                solely
in the case of Subordinated Indebtedness, such new Indebtedness is subordinated
to the Obligations at least to the same extent as such Subordinated Indebtedness
so purchased, exchanged, redeemed, repurchased, acquired or retired for value;

 

(III)                            such
new Indebtedness has a final scheduled maturity date equal to or later than the
final scheduled maturity date of the Indebtedness being so redeemed, repurchased,
acquired or retired; and

 

(IV)                            such
new Indebtedness has a Weighted Average Life to Maturity equal to or greater
than the remaining Weighted Average Life to Maturity of the Indebtedness being
so redeemed, repurchased, acquired or retired;

 

(iv)         a
Restricted Payment to pay for the repurchase, retirement, redemption or other
acquisition or retirement for value of Equity Interests (other than
Disqualified Stock) of the Parent Borrower or any of its direct or indirect
parent companies held by any future, present or former employee, director or
consultant (or any of their successors, heirs, estates or assigns) of the
Parent Borrower, any of its Subsidiaries or any of their respective direct or
indirect parent companies pursuant to any management unit purchase agreement,
management equity plan or stock option plan or any other management or employee
benefit plan or agreement; provided, however, that the aggregate Restricted Payments made under this clause (iv) do
not exceed in any calendar year $25,000,000 (with unused amounts in any
calendar year being carried over to succeeding calendar years subject to a
maximum of $50,000,000 in any calendar year); provided,  further, that such amount in any calendar year may
be increased by an amount not to exceed:

 

(A)          the cash proceeds from the sale of
Equity Interests (other than Disqualified Stock) of the Parent Borrower and, to
the extent contributed to the capital of the Parent Borrower, Equity Interests
of any of the direct or indirect parent companies of the Parent Borrower, in
each case to members of management, directors or consultants of the Parent
Borrower, any of its subsidiaries or any of their respective direct or indirect
parent companies that occurs after the Closing Date (other than Equity
Interests the proceeds of which are used to fund the Transactions), to the
extent the cash proceeds from the sale of such Equity Interests have not
otherwise been applied to the payment of Restricted Payments by virtue of Section 6.03(a);
plus

 

92

 

(B)           the cash proceeds of key man life
insurance policies received by the Parent Borrower or any of its Restricted
Subsidiaries after the Closing Date; less

 

(C)           the amount of any Restricted Payments
previously made with the cash proceeds described in clauses (A) and
(B) of this clause (iv);

 

and provided,  further,  that cancellation of Indebtedness owing to the Parent
Borrower from members of management of the Parent Borrower, any of its
subsidiaries or its direct or indirect parent companies in connection with a
repurchase of Equity Interests of the Parent Borrower or any of the Parent
Borrower’s direct or indirect parent companies will not be deemed to constitute
a Restricted Payment for purposes of this Agreement;

 

(v)          the
declaration and payment of dividends to holders of any class or series of
Disqualified Stock of the Parent Borrower or any of its Restricted Subsidiaries
issued in accordance with Section 6.01;

 

(vi)         (A) 
the declaration and payment of dividends to holders of any class or series of
Designated Preferred Stock (other than Disqualified Stock) issued by the Parent
Borrower or any of its Restricted Subsidiaries after the Closing Date, provided
that the amount of dividends paid pursuant to this clause (A) shall
not exceed the aggregate amount of cash actually received by the Parent
Borrower or a Restricted Subsidiary from the issuance of such Designated
Preferred Stock;

 

(B)            a Restricted Payment to a direct or
indirect parent company of the Parent Borrower, the proceeds of which will be
used to fund the payment of dividends to holders of any class or series of
Designated Preferred Stock (other than Disqualified Stock) of such parent
corporation issued after the Closing Date, provided that the amount of
Restricted Payments paid pursuant to this clause (B) shall not
exceed the aggregate amount of cash actually contributed to the capital of the
Parent Borrower from the sale of such Designated Preferred Stock; or

 

(C)            the declaration and payment of
dividends on Refunding Capital Stock that is Preferred Stock in excess of the
dividends declarable and payable thereon pursuant to clause (ii) of
this Section 6.03(b);

 

provided,  however,  in the case of each of clause (A), (B) and
(C) of this clause (vi), that for the most recently
ended four full fiscal quarters for which internal financial statements are
available immediately preceding the date of issuance of such Designated
Preferred Stock or the declaration of such dividends on Refunding Capital Stock
that is Preferred Stock, after giving effect to such issuance or declaration on
a pro forma basis, the Parent Borrower could incur $1.00 of additional
Indebtedness pursuant to the Total Net Leverage Test described in Section 6.01(a);

 

(vii)        Investments
in Unrestricted Subsidiaries having an aggregate fair market value, taken together
with all other Investments made pursuant to this clause (vii) that
are at the time outstanding, without giving effect to any distribution pursuant
to clause (xvi) of this Section 6.03(b) or the
sale of an Unrestricted Subsidiary to the extent the proceeds of such sale do
not consist of cash or marketable securities, not to exceed 1.5% of Total
Assets at the time of such Investment (with the fair market value of each Investment
being measured at the time made and without giving effect to subsequent changes
in value);

 

(viii)       repurchases
of Equity Interests deemed to occur upon exercise of stock options or warrants
if such Equity Interests represent a portion of the exercise price of such
options or warrants;

 

(ix)         the
declaration and payment of dividends on the Parent Borrower’s common stock (or
a Restricted Payment to any direct or indirect parent entity to fund a payment
of dividends on such entity’s common stock), following the first public Equity
Offering of such common stock after the Closing Date, of up to 6% per annum of
the net cash proceeds received by (or, in the case of a Restricted Payment to a
direct or indirect parent entity, contributed to the capital of) the Parent
Borrower in or from any such public Equity Offering;

 

(x)          Restricted
Payments that are made with Excluded Contributions;

 

93

 

(xi)         other
Restricted Payments in an aggregate amount taken together with all other
Restricted Payments made pursuant to this clause (xi) not to exceed
$25,000,000;

 

(xii)        distributions
or payments of Receivables Fees;

 

(xiii)       any
Restricted Payment used to fund the Transactions and the fees and expenses
related thereto or owed to Affiliates, in each case to the extent permitted
under Section 6.06;

 

(xiv)       the
repurchase, redemption or other acquisition or retirement for value of any New
Senior Notes or New Mezzanine Notes or other Subordinated Indebtedness upon the
occurrence of a Change of Control (so long as such Change of Control has been
waived by the Required Lenders);

 

(xv)        the
declaration and payment of dividends or the payment of other distributions by
the Parent Borrower to, or the making of loans or advances to, any of their
respective direct or indirect parents or the equity interest holders thereof in
amounts required for any direct or indirect parent companies or the equity
interest holders thereof to pay, in each case without duplication,

 

(A)          franchise taxes and other fees, taxes
and expenses required to maintain their corporate existence;

 

(B)           federal, foreign, state and local
income or franchise taxes (or any alternative tax in lieu thereof); provided
that, in each fiscal year, the amount of such payments shall be equal to the
amount that the Parent Borrower and its Restricted Subsidiaries would be
required to pay in respect of federal, foreign, state and local income or
franchise taxes if such entities were corporations paying taxes separately from
any parent entity at the highest combined applicable federal, foreign, state,
local or franchise tax rate for such fiscal year;

 

(C)           customary salary, bonus and other
benefits payable to officers and employees of any direct or indirect parent
company of the Parent Borrower to the extent such salaries, bonuses and other
benefits are reasonably attributable to the ownership or operation of the
Parent Borrower and its Restricted Subsidiaries;

 

(D)          general corporate operating and
overhead costs and expenses of any direct or indirect parent company of the
Parent Borrower to the extent such costs and expenses are reasonably attributable
to the ownership or operation of the Parent Borrower and its Restricted
Subsidiaries;

 

(E)           amounts payable to the Sponsor
pursuant to the Sponsor Management Agreement as in effect on the Closing Date;

 

(F)           fees and expenses other than to
Affiliates of the Parent Borrower related to (1) any equity or debt
offering of such parent entity (whether or not successful), (2) any Investment
otherwise permitted under this covenant (whether or not successful) and
(3) any transaction of the type described in Section 6.04;

 

(G)           cash payments in lieu of issuing
fractional shares in connection with the exercise of warrants, options or other
securities convertible into or exchangeable for Equity Interests of the Parent
Borrower or any direct or indirect parent;

 

(H)          amounts to finance Investments
otherwise permitted to be made pursuant to this Section 6.03; provided
that (1) such Restricted Payment shall be made substantially concurrently
with the closing of such Investment and (2) such direct or indirect parent
company shall, immediately following the closing thereof, cause (x) all
property acquired (whether assets or Equity Interests) to be contributed to the
capital of the Parent Borrower or one of its Restricted Subsidiaries or
(y) the merger of the Person formed or acquired into the Parent Borrower
or one of 

 

94

 

its Restricted
Subsidiaries (to the extent not prohibited by Section 6.04) in
order to consummate such Investment, in each case, subject to the limitations
set forth in clause  (m) of, and the proviso set forth at the end
of, the definition of Permitted Investment; (3) such direct or indirect
parent company and its Affiliates (other than the Parent Borrower or a
Restricted Subsidiary) receives no consideration or other payment in connection
with such transaction, (4) any property received by the Parent Borrower
shall not increase amounts available for Restricted Payments pursuant to Section 6.03(a) and
(5) such Investment shall be deemed to be made by the Parent Borrower or
such Restricted Subsidiary by another paragraph of this Section 6.03
(other than pursuant to clause (x) hereof) or pursuant to the definition
of “Permitted Investments” (other than clause (i) thereof);

 

(I)            [reserved];

 

(J)            reasonable and customary fees
payable to any directors of any direct or indirect parent of the Parent
Borrower and reimbursement of reasonable out-of-pocket costs of the directors
of any direct or indirect parent of the Parent Borrower in the ordinary course
of business, to the extent reasonably attributable to the ownership or
operation of the Parent Borrower and its Restricted Subsidiaries; and

 

(K)          reasonable and customary indemnities
to directors, officers and employee of any direct or indirect parent of the
Parent Borrower in the ordinary course of business, to the extent reasonably
attributable to the ownership or operation of the Parent Borrower and its
Restricted Subsidiaries;

 

(xvi)       the
distribution, by dividend or otherwise, of shares of Capital Stock of, or
Indebtedness owed to the Parent Borrower or a Restricted Subsidiary by,
Unrestricted Subsidiaries (other than Unrestricted Subsidiaries, the primary
assets of which are cash and/or Cash Equivalents that were contributed to such
Unrestricted Subsidiaries as an Investment pursuant to clause (vii) of
this Section 6.03(b));

 

(xvii)      payments
or distributions to dissenting stockholders pursuant to applicable law,
pursuant to or in connection with a consolidation, merger or transfer of all or
substantially all of the assets of the Parent Borrower and its Restricted
Subsidiaries, taken as a whole, that complies with Section 6.04; provided
that if as a result of such consolidation, merger or transfer of assets, a
Change of Control has occurred, such Change of Control has been consented to or
waived by the Required Lenders;

 

(xviii)     Restricted
Payments by (A) a non-Subsidiary Guarantor, (B) a Foreign Subsidiary
or (C) any other subsidiary to any Borrower or any Guarantor;

 

(xix)        payments
or distributions in connection with an AHYDO “catch-up” payment with respect to
the New Senior Notes and the New Mezzanine Notes;

 

(xx)         purchases
of minority interests in non-Wholly-Owned Subsidiaries by the Parent Borrower
and the Guarantors;

 

(xxi)        the
Foreign Subsidiary Reorganization and payments or distributions in connection
therewith;

 

(xxii)       the
payment of any dividend from the Parent Borrower to Intermediate Holdco for the
redemption, repurchase, retirement or other acquisition of Equity Interest of
Intermediate Holdco held by employees of Holdings and subsidiaries; and

 

(xxiii)      any
payment of any dividend from the Parent Borrower to Intermediate Holdco or
Holding in connection with the payment of social security or other payroll
taxes based on the issuance of Equity Interests to employees or other service
providers;

 

95

 

provided,  however,  that at the time of, and after giving effect to, any
Restricted Payment permitted under clauses (ix) (as determined at
the time of the declaration of such dividend), (xi) and (xvi), no
Default shall have occurred and be continuing or would occur as a consequence
thereof.

 

(c)           As of the Closing
Date, all of the subsidiaries of the Parent Borrower will be Restricted
Subsidiaries. The Parent Borrower will not permit any Unrestricted Subsidiary
to become a Restricted Subsidiary except pursuant to Section 5.11(b).  For purposes of designating any Restricted
Subsidiary as an Unrestricted Subsidiary, all outstanding Investments by the
Parent Borrower and its Restricted Subsidiaries (except to the extent repaid)
in the subsidiary so designated will be deemed to be Restricted Payments in an
amount determined as set forth in the last sentence of the definition of
“Investments.” Such designation will be permitted only if a Restricted Payment
in such amount would be permitted at such time, whether pursuant to Section 6.03(a) or
(b)(vii), (x) or (xi), or pursuant to the definition of
“Permitted Investments,” and if such subsidiary otherwise meets the definition
of an Unrestricted Subsidiary. Unrestricted Subsidiaries will not be subject to
any of the restrictive covenants set forth in the Loan Documents.

 

SECTION 6.04.      Fundamental Changes.

 

(a)           The Parent Borrower
may not consolidate or merge with or into or wind up into (whether or not the
Parent Borrower is the surviving corporation), and may not sell, assign,
transfer, lease, convey or otherwise dispose of all or substantially all of the
properties or assets of the Parent Borrower and its Restricted Subsidiaries,
taken as a whole, in one or more related transactions, to any Person unless:

 

(i)           the
Parent Borrower is the surviving corporation or the Person formed by or
surviving any such consolidation or merger (if other than the Parent Borrower)
or the Person to whom such sale, assignment, transfer, lease, conveyance or
other disposition will have been made is organized or existing under the laws
of the United States, any state thereof, the District of Columbia, or any
territory thereof (such Person, the “Successor Company”);

 

(ii)          the
Successor Company, if other than the Parent Borrower, expressly assumes all the
Obligations of the Parent Borrower pursuant to documentation reasonably
satisfactory to the Administrative Agent;

 

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

 

(iv)         immediately
after giving pro forma effect to such transaction and any related financing
transactions, as if such transactions had occurred at the beginning of the applicable
four-quarter period,

 

(A)          the Successor Company would be
permitted to incur at least $1.00 of additional Indebtedness pursuant to the
Total Net Leverage Test described in Section 6.01(a); or

 

(B)           the Total Net Leverage Ratio for the
Parent Borrower and its Restricted Subsidiaries would be equal to or less than
the each ratio immediately prior to such transaction; and

 

in each case made or effected substantially
simultaneously with such transaction or related financing;

 

(v)          each
Guarantor, unless it is the other party to the transactions described above, in
which case Section 6.04(c)(i)(B) shall apply, shall have
confirmed that its Obligations under the Loan Documents to which it is a party
pursuant to documentation reasonably satisfactory to the Administrative Agent;
and

 

(vi)         the
Parent Borrower shall have delivered to the Administrative Agent an Officer’s
Certificate and an Opinion of Counsel, each stating that such consolidation,
merger or transfer and such documentation relating to the Loan Documents, if
any, comply with this Agreement;

 

96

 

provided that the Parent Borrower
shall promptly notify the Administrative Agent of any such transaction and
shall take all required actions either prior to or upon the later to occur of
30 days following such transaction (or the earlier of the date of the
required delivery of the next Pricing Certificate and the date which is 45 days
after the end of the most recently ended fiscal quarter (or such longer period
as to which the Administrative Agent may consent) in order to preserve and
protect the Liens on the Collateral securing the Secured Obligations.

 

The Successor Company will succeed to, and be
substituted for the Parent Borrower under the Loan Documents.  Notwithstanding the foregoing, clause
(iv) shall not apply to the Transactions (including the Merger).

 

(b)           Notwithstanding the
foregoing paragraphs (a)(iii) and (a)(iv),

 

(i)           the
Parent Borrower or a Restricted Subsidiary may consolidate with or merge into
or transfer all or part of its properties and assets to the Parent Borrower or
a Restricted Guarantor;

 

(ii)          the
Parent Borrower may merge with an Affiliate of the Parent Borrower solely for
the purpose of reorganizing the Parent Borrower in a State of the United States
so long as the amount of Indebtedness of the Parent Borrower and its Restricted
Subsidiaries is not increased thereby;

 

(iii)         any
Foreign Subsidiary may consolidate with or merge into or transfer all or part
of its properties and assets to any other Foreign Subsidiary; provided
that if the Foreign Subsidiary so consolidating, merging or transferring all or
part of its properties and assets is a Foreign Subsidiary Borrower, such
Foreign Subsidiary Borrower shall, substantially simultaneously with such
merger, transfer or disposition, repay in full all its Obligations and
terminate its rights to borrow hereunder;

 

(iv)         the
Foreign Subsidiary Reorganization may be effected;

 

(v)          CDRV
Holdings, Inc. may consolidate or merge with or into or wind up into CDRV
Investment Holdings Corporation; and

 

(vi)         CDRV
Investment Holdings Corporation may consolidate or merge with or into or wind
up into the Parent Borrower.

 

(c)           No Restricted
Guarantor will, and the Parent Borrower will not permit any Restricted
Guarantor to, consolidate or merge with or into or wind up into (whether or not
the Parent Borrower or Restricted Guarantor is the surviving corporation), or
sell, assign, transfer, lease, convey or otherwise dispose of all or
substantially all of its properties or assets, in one or more related
transactions, to any Person unless:

 

(i)           (A) 
such Restricted Guarantor is the surviving corporation or the Person formed by
or surviving any such consolidation or merger (if other than such Restricted
Guarantor) or to which such sale, assignment, transfer, lease, conveyance or
other disposition will have been made is organized or existing under the laws
of the jurisdiction of organization of such Restricted Guarantor, as the case
may be, or the laws of the United States, any state thereof, the District of
Columbia, or any territory thereof (such Restricted Guarantor or Person, the “Successor
Person”);

 

(B)            the Successor Person, if other than
such Restricted Guarantor, expressly assumes all the Obligations of such
Restricted Guarantor pursuant to documentation reasonably satisfactory to the
Administrative Agent;

 

(C)            immediately after such transaction,
no Event of  Default exists; and

 

(D)           the Borrowers shall have delivered to
the Administrative Agent an Officer’s Certificate and an Opinion of Counsel,
each stating that such consolidation, merger or transfer and such documentation
relating to the Loan Documents, if any, comply with this Agreement;

 

(ii)          the
transaction does not violate Section 6.05;

 

97

 

provided that the Parent Borrower
shall promptly notify the Administrative Agent of any such transaction and
shall take all required actions either prior to or upon the later to occur of
30 days following such transaction (or the earlier of the date of the
required delivery of the next Pricing Certificate and the date which is 45 days
after the end of the most recently ended fiscal quarter (or such longer period
as to which the Administrative Agent may consent) in order to preserve and
protect the Liens on the Collateral securing the Secured Obligations.

 

In the case of clause (i)(A) above, the
Successor Person will succeed to, and be substituted for, such Restricted
Guarantor under the Loan Documents. 
Notwithstanding the foregoing, any Restricted Guarantor (x) may
merge into or transfer all or part of its properties and assets to another
Restricted Guarantor or either Borrower or (y) dissolve, liquidate or wind
up its affairs if such dissolution, liquidation or winding up could not
reasonably be expected to have a Material Adverse Effect.

 

SECTION 6.05.      Dispositions.  Cause, make or suffer to exist a Disposition,
except:

 

(a)           any Disposition of Cash Equivalents
or Investment Grade Securities or obsolete or worn out equipment in the
ordinary course of business or any disposition of inventory or goods (or other
assets) held for sale in the ordinary course of business;

 

(b)           the Disposition of all or
substantially all of the assets of the Parent Borrower and its Restricted
Subsidiaries in a manner permitted pursuant to the provisions described above
under Section 6.04 or any disposition that constitutes a Change of
Control;

 

(c)           the making of any Restricted Payment
or Permitted Investment that is permitted to be made, and is made, under Section 6.03;

 

(d)           any Disposition of property or assets
or issuance of Equity Interests (A) by a Restricted Subsidiary of the
Parent Borrower to the Parent Borrower or (B) by the Parent Borrower or a
Restricted Subsidiary of the Parent Borrower to another Restricted Subsidiary
of the Parent Borrower; provided that in the case of any event described
in clause (B) where the transferee or purchaser is not a Guarantor, then
at the option of the Parent Borrower, either (1) such disposition shall
constitute a Disposition for purposes of the definition of Prepayment Asset
Sale or (2) the Net Cash Proceeds thereof, when aggregated with the amount
of Permitted Investments made pursuant to clauses (a) and (c) of
the definition thereof, shall not exceed the dollar amount set forth in the
final proviso of such definition; provided  further that if the
Restricted Subsidiary which makes a Disposition of its assets is a Foreign
Subsidiary Borrower, such Foreign Subsidiary Borrower shall, substantially
simultaneously with such disposition, repay in full all outstanding Loans made
to it and terminate its right to borrow hereunder;

 

(e)           any Permitted Asset Swap;

 

(f)            the sale, lease, assignment or
sub-lease of any real or personal property in the ordinary course of business;

 

(g)           any issuance or sale of Equity
Interests in, or Indebtedness or other securities of, an Unrestricted
Subsidiary;

 

(h)           sales of accounts receivable, or
participations therein, in connection with any Receivables Facility;

 

(i)            any financing transaction with
respect to property built or acquired by the Parent Borrower or any Restricted
Subsidiary after the Closing Date, including Sale and Lease-Back Transactions
and asset securitizations permitted under this Agreement;

 

(j)            sales of accounts receivable in
connection with the collection or compromise thereof;

 

98

 

(k)           transfers of property subject to
casualty or condemnation proceedings (including in lieu thereof) upon the
receipt of the net cash proceeds therefor;  provided
such transfer shall constitute a Property Loss Event;

 

(l)            the abandonment of intellectual
property rights in the ordinary course of business, which in the reasonable
good faith determination of the Parent Borrower or a Restricted Subsidiary are
not material to the conduct of the business of the Parent Borrower and its
Restricted Subsidiaries taken as a whole;

 

(m)          voluntary terminations of Hedging
Obligations;

 

(n)           Dispositions (including Sale and
Lease-Back Transactions) by a Foreign Subsidiary designed to generate foreign
distributable reserves;

 

(o)           any Disposition to the extent not
involving property (when taken together with any related Disposition or series
of Dispositions) with a fair market value in excess of $25,000,000; and

 

(p)           Dispositions not otherwise permitted
under this Section 6.05, provided that:

 

(i)      at least 75% of the consideration therefor
received by the Parent Borrower or such Restricted Subsidiary, as the case may
be, is in the form of cash or Cash Equivalents; provided that the amount
of (A) any liabilities (as shown on the Parent Borrower’s or such Restricted
Subsidiary’s most recent balance sheet or in the footnotes thereto) of the
Parent Borrower or such Restricted Subsidiary, other than liabilities that are
by their terms subordinated to the Obligations or that are owed to the Parent
Borrower or a Restricted Subsidiary, that are assumed by the transferee of any
such assets and for which the Parent Borrower and all of its Restricted
Subsidiaries have been validly released by all creditors in writing,
(B) any securities received by the Parent Borrower or such Restricted
Subsidiary from such transferee that are converted by the Parent Borrower or
such Restricted Subsidiary into cash (to the extent of the cash received)
within 180 days following the closing of such Disposition, and (C) any
Designated Non-Cash Consideration received by the Parent Borrower or such
Restricted Subsidiary in such Disposition having an aggregate fair market
value, taken together with all other Designated Non-Cash Consideration received
pursuant to this clause (C) that is at that time outstanding, not
to exceed the greater of $75,000,000 and 2.0% of Total Assets at the time of
the receipt of such Designated Non-Cash Consideration, with the fair market
value of each item of Designated Non-Cash Consideration being measured at the time
received and without giving effect to subsequent changes in value, shall be
deemed to be cash for purposes of this provision and for no other purpose; or

 

(ii)     any Disposition of assets or issuance or
sale of Equity Interests of a Restricted Subsidiary in any transaction or
series of related transactions, when taken together with all other dispositions
made in reliance on this clause (ii), does not have a fair market value
in excess of 5.0% of Total Assets of the Parent Borrower on the Closing Date;

 

(q)           foreclosures; and

 

(r)            Sale and Lease-Back Transactions
involving (i) real property owned on the Closing Date (other than any
Mortgaged Property), (ii) property acquired not more than 180 days prior
to such Sale and Lease Back Transaction for cash in an amount at least equal to
the cost of such property and (iii) other property for cash consideration
if the sale is treated as a Prepayment Asset Sale;

 

provided that the consideration
received by the Parent Borrower or such Restricted Subsidiary, as the case may
be, with respect to any Disposition of any property with a fair market value in
excess of $25,000,000 must be at least equal to the fair market value (as
determined in good faith by the Parent Borrower) of the assets sold or
otherwise disposed of.  To the extent any
Collateral is disposed of as expressly permitted by this Section 6.05
to any Person 

 

99

 

other than a Loan Party, such Collateral shall be sold
free and clear of the Liens created by the Loan Documents, and the
Administrative Agent or the Collateral Agent, as applicable, shall be
authorized to take any actions deemed appropriate in order to effect the
foregoing.

 

SECTION 6.06.      Transactions with Affiliates.  Except for transactions by or among Loan
Parties (or by and among the Parent Borrower and its Restricted Subsidiaries),
sell or transfer any property or assets to, or purchase or acquire any property
or assets from, or otherwise engage in any other transactions with, any of its
Affiliates, in each case, involving aggregate payments or consideration in
excess of $10,000,000 unless:

 

(a)         such transaction is on terms that are
not materially less favorable to the Parent Borrower or the relevant Restricted
Subsidiary than those that would have been obtained in a comparable transaction
by the Parent Borrower or such Restricted Subsidiary with an unrelated Person
on an arm’s-length basis; and

 

(b)        the Parent Borrower delivers to the
Administrative Agent with respect to any such transaction or series of related
transactions involving aggregate payments or consideration in excess of
$25,000,000, a resolution adopted by the majority of the board of directors of
the Parent Borrower approving such transaction and set forth in an Officer’s
Certificate certifying that such transaction complies with clause (a) above.

 

(c)         The foregoing provisions will not apply
to the following:

 

(i)           the
Parent Borrower or any Restricted Subsidiary may engage in any of the foregoing
transactions at prices and on terms and conditions not less favorable to the
Parent Borrower or such Restricted Subsidiary than could be obtained on an
arm’s-length basis from unrelated third parties;

 

(ii)          the
Parent Borrower and its Restricted Subsidiaries may pay fees, expenses and make
indemnification payments directly or indirectly to the Sponsor pursuant to and
in accordance with the Sponsor Management Agreement (as in effect on the
Closing Date);

 

(iii)         the
Transactions and the payment of the Transaction Expenses;

 

(iv)         issuances
by the Parent Borrower and its Restricted Subsidiaries of Equity Interests not
prohibited under this Agreement;

 

(v)          reasonable
and customary fees payable to any directors of the Parent Borrower and its Restricted
Subsidiaries (or any direct or indirect parent of the Parent Borrower) and
reimbursement of reasonable out-of-pocket costs of the directors of the Parent
Borrower and its subsidiaries (or any direct or indirect parent of the Parent
Borrower) in the ordinary course of business, in the case of any direct or indirect
parent to the extent reasonably attributable to the ownership or operations of
the Parent Borrower and its Restricted Subsidiaries);

 

(vi)         expense
reimbursement and employment, severance and compensation arrangements entered
into by the Parent Borrower and its Restricted Subsidiaries with their
officers, employees and consultants in the ordinary course of business,
including, without limitation, the payment of stay bonuses and incentive
compensation and/or such officer’s, employee’s or consultant’s equity
investment in certain Restricted Subsidiaries;

 

(vii)        payments
by the Parent Borrower and its Restricted Subsidiaries to each other pursuant
to tax sharing agreements or arrangements among Parent and its subsidiaries on
customary terms (including, without limitation, transfer pricing initiatives);

 

(viii)       the
payment of reasonable and customary indemnities to directors, officers and
employees of the Parent Borrower and its Restricted Subsidiaries (or any direct
or indirect parent of the Parent Borrower) 

 

100

 

in the ordinary course of business, in the case of any direct or
indirect parent to the extent attributable to the operations of the Parent
Borrower and its Restricted Subsidiaries;

 

(ix)         transactions
pursuant to permitted agreements in existence on the Closing Date (other than
the Sponsor Management Agreement) and any amendment thereto to the extent such
an amendment is not adverse to the interests of the Lenders in any material
respect;

 

(x)          Restricted
Payments permitted under Section 6.03;

 

(xi)         payments
by the Parent Borrower and its Restricted Subsidiaries to the Sponsor made for
any financial advisory, financing, underwriting or placement services or in
respect of other investment banking activities, including in connection with
acquisitions or divestitures, which payments are approved by a majority of the
board of directors of the Parent Borrower, in good faith;

 

(xii)        loans
and other transactions among the Parent Borrower and its subsidiaries (and any
direct and indirect parent company of the Parent Borrower) to the extent
permitted under this Article VI; provided that any
Indebtedness of any Loan Party owed to a Restricted Subsidiary that is not a
Loan Party shall be subject to subordination provisions no less favorable to
the Lenders than the subordination provisions reasonably acceptable to the
Administrative Agent;

 

(xiii)       the
existence of, or the performance by the Parent Borrower or any of its
Restricted Subsidiaries of its obligations under the terms of, any stockholders
agreement, principal investors agreement (including any registration rights
agreement or purchase agreement related thereto) to which it is a party as of
the Closing Date and any similar agreements which it may enter into thereafter;
provided, however, that the existence
of, or the performance by the Parent Borrower or any of its Restricted
Subsidiaries of obligations under any future amendment to any such existing
agreement or under any similar agreement entered into after the Closing Date
shall only be permitted by this clause (m) to the extent that the terms
of any such amendment or new agreement are not otherwise disadvantageous to the
Lenders when taken as a whole;

 

(xiv)       transactions
with customers, clients, suppliers, or purchasers or sellers of goods or
services, in each case in the ordinary course of business which are fair to the
Parent Borrower and its Restricted Subsidiaries, in the reasonable
determination of the board of directors of the Parent Borrower or the senior management
thereof, or are on terms at least as favorable as might reasonably have been
obtained at such time from an unaffiliated party;

 

(xv)        sales
of accounts receivable, or participations therein, in connection with any
Receivables Facility;

 

(xvi)       payments
or loans (or cancellation of loans) to employees or consultants of the Parent
Borrower, any of its direct or indirect parent companies or any of its
Restricted Subsidiaries which are approved by a majority of the board of
directors of the Parent Borrower in good faith; and

 

(xvii)      transactions
among Foreign Subsidiaries for tax planning and tax efficiency purposes.

 

SECTION 6.07.      Restrictive Agreements.  Enter into, incur or permit to exist any
agreement or other arrangement that prohibits, restricts or imposes any
condition upon:

 

(a)           the ability of the Parent Borrower or
any Restricted Subsidiary to create, incur or permit to exist any Lien upon any
of its property or assets to secure the Obligations;

 

(b)           the ability of any Restricted
Subsidiary to pay dividends or other distributions with respect to any of its
Equity Interests or to make or repay loans or advances to the Parent Borrower
or any other Restricted Subsidiary or to guarantee Indebtedness of the Parent
Borrower or any other Restricted Subsidiary; or

 

101

 

(c)           the ability of any Restricted
Subsidiary to sell, lease or transfer any of its properties or assets to the
Parent Borrower or any of its Restricted Subsidiaries;

 

provided that the foregoing shall
not apply to:

 

(i)           restrictions
and conditions imposed by law, by any Loan Document or which (x) exist on the
date hereof and (y) to the extent contractual obligations permitted by clause
(x) are set forth in an agreement evidencing Indebtedness, are set forth in
any agreement evidencing any permitted renewal, extension or refinancing of
such Indebtedness so long as such renewal, extension or refinancing does not
expand the scope of such contractual obligation;

 

(ii)          customary
restrictions and conditions contained in agreements relating to any sale of assets
pending such sale, provided such restrictions and conditions apply only
to the Person or property that is to be sold;

 

(iii)         restrictions
and conditions (x) on any Foreign Subsidiary by the terms of any
Indebtedness of such Foreign Subsidiary permitted to be incurred hereunder or
(y) by the terms of the documentation governing any Receivables Facility that
in the good faith determination of the Parent Borrower are necessary or
advisable to effect such Receivables Facility;

 

(iv)         restrictions
or conditions imposed by any agreement relating to Secured Indebtedness permitted
by this Agreement if such restrictions or conditions apply only to the Person
obligated under such Indebtedness and its subsidiaries or the property or
assets intended to secure such Indebtedness;

 

(v)          contractual
obligations binding on a Restricted Subsidiary at the time such Restricted Subsidiary
first becomes a Restricted Subsidiary, so long as such contractual obligations
were not entered into solely in contemplation of such Person becoming a
Restricted Subsidiary;

 

(vi)         restrictions
and conditions imposed by the terms of the documentation governing any Indebtedness,
Disqualified Stock or Preferred Stock of a Restricted Subsidiary of the Parent
Borrower that is not a Loan Party, which Indebtedness, Disqualified Stock or
Preferred Stock is permitted by Section 6.01;

 

(vii)        customary
provisions in joint venture agreements and other similar agreements applicable
to joint ventures permitted under Section 6.03 and applicable
solely to such joint venture entered into in the ordinary course of business;

 

(viii)       negative
pledges and restrictions on Liens in favor of any holder of Indebtedness permitted
under Section 6.01 but only if such negative pledge or restriction
expressly permits Liens for the benefit of the Administrative Agent and/or the
Collateral Agent and the Lenders with respect to the credit facilities established
hereunder and the Obligations under the Loan Documents on a senior basis and
without a requirement that such holders of such Indebtedness be secured by such
Liens equally and ratably or on a junior basis;

 

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

 

(x)          Secured
Indebtedness otherwise permitted to be incurred under Sections 6.01
and 6.02 that limit the right of the obligor to dispose of the assets
securing such Indebtedness;

 

(xi)         any
encumbrances or restrictions of the type referred to in clauses (a) and
(b) above imposed by any amendments, modifications, restatements,
renewals, increases, supplements, refundings, replacements or refinancings of
the contracts, instruments or obligations referred to in clauses (i) through
(x) above; provided that such amendments, modifications, restatements,
renewals, increases, supplements, refundings, replacements or refinancings are,
in the good faith judgment of the Parent Borrower, no more restrictive with 

 

102

 

respect to such encumbrance and other restrictions taken as a whole
than those prior to such amendment, modification, restatement, renewal,
increase, supplement, refunding, replacement or refinancing; and

 

(d)           clause (a) of
the foregoing shall not apply to customary provisions in leases, subleases,
licenses, sublicenses and other contracts restricting the assignment thereof,
in each case entered into in the ordinary course of business.

 

SECTION 6.08.      Business of the Parent Borrower and Its Restricted
Subsidiaries.  Engage in
any line of business material to the Parent Borrower and its subsidiaries taken
as a whole other than (a) those lines of business conducted by the Parent
Borrower or any Restricted Subsidiary on the Closing Date or (b) any
Similar Business.

 

SECTION 6.09.      Modification of Junior Financing Documentation.  Directly or indirectly, amend, modify or
change (a) the subordination provisions of any Junior Financing
Documentation (and the component definitions used therein), including the New
Mezzanine Notes Documentation or (b) any other term or condition of the
New Senior Notes Documentation, the New Mezzanine Notes Documentation or any
Junior Financing Documentation, in the case of this clause (b), in any
manner materially adverse to the interests of the Lenders and, in each case,
without the consent of the Administrative Agent (which consent shall not be
unreasonably withheld).

 

SECTION 6.10.      Changes in Fiscal Year.  Make any change in its fiscal year; provided,
however, that the Parent Borrower may, upon written notice to the
Administrative Agent, change its fiscal year to any other fiscal year reasonably
acceptable to the Administrative Agent, in which case, the Parent Borrower and
the Administrative Agent will, and are hereby authorized by Lenders to, make
any adjustments to this Agreement that are necessary to reflect such change in
fiscal year.

 

ARTICLE VII

 

Events of Default

 

SECTION 7.01.      Events of Default.  In case of the happening of any of the
following events (“Events of Default”):

 

(a)           any representation or warranty made
or deemed made in any Loan Document or any representation, warranty, statement
or information contained in any certificate required to be furnished pursuant
to any Loan Document, shall prove to have been false or misleading in any
material respect when so made, deemed made or furnished;

 

(b)           default shall be made in the payment
of any principal of any Loan when and as the same shall become due and payable,
whether at the due date thereof or at a date fixed for mandatory prepayment
thereof or by acceleration thereof or otherwise;

 

(c)           default shall be made in the payment
of any reimbursement with respect to any L/C Disbursement, interest on any Loan
or L/C Disbursement or any Fee or other amount (other than an amount referred
to in clause (b) above) due under any Loan Document, when and
as the same shall become due and payable, and such default shall continue
unremedied for a period of 5 Business Days;

 

(d)           default shall be made in the due observance
or performance by the Borrowers or any Restricted Subsidiary of any covenant,
condition or agreement contained in Section 5.01(a) (with
respect to any Borrower), 5.05(a) or in Article VI;

 

(e)           default shall be made in the due
observance or performance by any Loan Party or its Restricted Subsidiaries of
any covenant, condition or agreement contained in any Loan Document (other than
those specified in clause (b), (c) or (d) above)
and such default shall continue unremedied for a period of 30 days after
written notice thereof from the Administrative Agent to the Parent Borrower;

 

103

 

(f)            (i) the Borrowers or any
Restricted Subsidiary shall fail to pay any principal or interest, regardless
of amount, due in respect of any Material Indebtedness, when and as the same
shall become due and payable (after giving effect to an applicable grace
period), which failure enables or permits (with or without the giving of
notice, the lapse of time or both) the holder or holders of such Material
Indebtedness or any trustee or agent on its or their behalf to cause any
Material Indebtedness to become due, or to require the prepayment, repurchase,
redemption or defeasance thereof, prior to its scheduled maturity or that is a
failure to pay such Material Indebtedness at its maturity or (ii) any
other event or condition occurs that results in any Material Indebtedness
becoming due prior to its scheduled maturity or that enables or permits (with
or without the giving of notice, the lapse of time or both) the holder or
holders of any Material Indebtedness or any trustee or agent on its or their
behalf to cause any Material Indebtedness to become due, or to require the
prepayment, repurchase, redemption or defeasance thereof, prior to its
scheduled maturity; provided that clause (ii) shall not
apply to secured Material Indebtedness that becomes due as a result of the
voluntary sale or transfer of the property or assets securing such Material
Indebtedness if such sale or transfer is otherwise permitted hereunder;

 

(g)           an involuntary proceeding shall be
commenced or an involuntary petition shall be filed in a court of competent
jurisdiction seeking (i) relief in respect of either Borrower or any
Restricted Subsidiary (other than an Immaterial Subsidiary), or of a
substantial part of the property or assets of either Borrower or a Restricted
Subsidiary (other than an Immaterial Subsidiary), under Title 11 of the
United States Code, as now constituted or hereafter amended, or any other Federal,
state or foreign bankruptcy, insolvency, receivership or similar law,
(ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator
or similar official for either Borrower or any Restricted Subsidiary (other
than an Immaterial Subsidiary) or for a substantial part of the property or
assets of either Borrower or a Restricted Subsidiary (other than an Immaterial
Subsidiary) or (iii) the winding-up or liquidation of either Borrower or
any Restricted Subsidiary (other than an Immaterial Subsidiary); and 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;

 

(h)           either Borrower or any Restricted
Subsidiary (other than an Immaterial Subsidiary) shall (i) voluntarily
commence any proceeding or file any petition seeking relief under Title 11
of the United States Code, as now constituted or hereafter amended, or any
other Federal, state or foreign bankruptcy, insolvency, receivership or similar
law, (ii) consent to the institution of any proceeding or the filing of
any petition described in clause (g) above, (iii) apply for or
consent to the appointment of a receiver, trustee, custodian, sequestrator,
conservator or similar official for either Borrower or any Restricted
Subsidiary (other than an Immaterial Subsidiary) or for a substantial part of
the property or assets of either Borrower or any Restricted Subsidiary (other
than an Immaterial Subsidiary), (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) become unable, admit in writing its general inability or fail
generally to pay its debts as they become due;

 

(i)            one or more judgments for the
payment of money in an aggregate amount exceeding $35,000,000 (to the extent
not covered by insurance as to which an insurance company has not denied coverage
or by an indemnification agreement as to which the indemnifying party has not
denied liability) shall be rendered against either Borrower and/or any
Restricted Subsidiary (other than an Immaterial Subsidiary) and the same shall
remain undischarged for a period of 60 consecutive days during which execution
shall not be effectively stayed;

 

(j)            (i) an ERISA Event occurs with
respect to a Pension Plan or Multiemployer Plan which has resulted or could
reasonably be expected to result in a Material Adverse Effect or (ii) a
Pension Event occurs with respect to a Foreign Plan which has resulted or could
reasonably be expected to result in a Material Adverse Effect;

 

(k)           any material provision of any Loan
Document, at any time after its execution and delivery, shall for any reason
cease to be in full force and effect (other than in accordance with its terms
or in accordance with the terms of the other Loan Documents), or any Loan Party
contests in writing the validity or enforceability of any material provision of
any Loan Document; or any Loan Party denies in 

 

104

 

writing
that it has any or further liability thereunder (other than as a result of the
discharge of such Loan Party in accordance with the terms of the Loan Documents);

 

(l)            other than with respect to de
minimis items of Collateral not exceeding $5,000,000 in the aggregate,
any Lien purported to be created by any Security Document shall cease to be, or
shall be asserted in writing by any Loan Party not to be, a valid, perfected
first priority Lien (subject only to Permitted Liens, to the extent any such
Permitted Liens would have priority over the Liens in favor of the
Administrative Agent pursuant to any applicable law) having the priority contemplated
thereby (except as otherwise expressly provided in this Agreement or such
Security Document) on the securities, assets or properties purported to be
covered thereby, except to the extent that any lack of validity, perfection or
priority results from any act or omission of any Collateral Agent, the Administrative
Agent, or any Lender (so long as such act or omission does not result from the
breach or non-compliance by a Loan Party with the Loan Documents); or

 

(m)          there shall have occurred a Change of
Control;

 

then, and in every such event (other than an event
with respect to the Borrowers described in paragraph (g) or (h) above),
and at any time thereafter during the continuance of such event, the
Administrative Agent may, and at the request of the Required Lenders shall, by
notice to the Borrowers, take either or both of the following actions, at the
same or different times:  (i) terminate forthwith the Commitments
and (ii) declare the Loans then outstanding to be forthwith due and
payable in whole or in part, whereupon the principal of the Loans so declared
to be due and payable, together with accrued interest thereon and any unpaid
accrued Fees and all other liabilities of the Borrowers accrued hereunder and
under any other Loan Document, shall become forthwith due and payable, without
presentment, demand, protest or any other notice of any kind, all of which are
hereby expressly waived by the Borrowers, anything contained herein or in any
other Loan Document to the contrary notwithstanding; and in any event with
respect to the Borrowers described in paragraph (g) or (h) above,
the Commitments shall automatically terminate and the principal of the Loans
then outstanding, together with accrued interest thereon and any unpaid accrued
Fees and all other liabilities of the Borrowers accrued hereunder and under any
other Loan Document, shall automatically become due and payable, without
presentment, demand, protest or any other notice of any kind, all of which are
hereby expressly waived by the Borrowers, anything contained herein or in any
other Loan Document to the contrary notwithstanding.

 

ARTICLE VIII

 

The Administrative Agent and the Collateral Agent

 

Each of the Lenders and each Issuing Bank hereby
irrevocably appoints the Administrative Agent and the Collateral Agent (the
Administrative Agent and the Collateral Agent are referred to collectively as
the “Agents”) its agent and authorizes the Agents to take such actions
on its behalf and to exercise such powers as are delegated to such Agent by the
terms of the Loan Documents, together with such actions and powers as are
reasonably incidental thereto.  Without
limiting the generality of the foregoing, the Agents are hereby expressly
authorized to execute any and all documents (including releases) with respect
to the Collateral and the rights of the Secured Parties with respect thereto,
as contemplated by and in accordance with the provisions of this Agreement and
the Security Documents.

 

The bank serving as the Administrative Agent and/or
the Collateral Agent hereunder shall have the same rights and powers in its
capacity as a Lender as any other Lender and may exercise the same as though it
were not an Agent, and such bank and its Affiliates may accept deposits from,
lend money to and generally engage in any kind of business with the Borrowers
or any subsidiary or other Affiliate thereof as if it were not an Agent
hereunder.

 

Neither Agent shall have any duties or obligations
except those expressly set forth in the Loan Documents.  Without limiting the generality of the
foregoing, (a) neither Agent shall be subject to any fiduciary or other
implied duties, regardless of whether a Default or Event of Default has
occurred and is continuing, (b) neither Agent shall have any duty to take
any discretionary action or exercise any discretionary powers, except
discretionary rights and powers expressly contemplated hereby that such Agent
is instructed in writing to exercise by the Required Lenders 

 

105

 

(or such other number or percentage of the Lenders as
shall be necessary under the circumstances as provided in Section 9.08),
(c) each Agent shall be fully justified in failing or refusing to take any
action under any Loan Document unless it shall first receive such advice or
concurrence of the relevant Required Lenders as it deems appropriate and, if it
so requests, it shall first be indemnified to its satisfaction by the relevant
Lenders against any and all liability and expense which may be incurred by it
by reason of taking or continuing to take any such action and (d) except
as expressly set forth in the Loan Documents, neither Agent shall have any duty
to disclose, nor shall it be liable for the failure to disclose, any
information relating to Holdings, the Borrowers or any of the subsidiaries
thereof that is communicated to or obtained by the bank serving as
Administrative Agent and/or Collateral Agent or any of its Affiliates in any
capacity. Neither Agent shall be liable for any action taken or not taken by it
with the consent or at the request of the Required Lenders (or such other
number or percentage of the Lenders as shall be necessary under the
circumstances as provided in Section 9.08) or in the absence of its
own gross negligence, bad faith or willful misconduct or material breach of the
Loan Documents (as determined by a court of competent jurisdiction in a final
and non-appealable judgment). Neither Agent shall be deemed to have knowledge
of any Default or Event of Default unless and until written notice thereof is
given to such Agent by the Parent Borrower or a Lender, and neither Agent shall
be responsible for or have any duty to ascertain or inquire into (i) any
statement, warranty or representation made in or in connection with any Loan
Document, (ii) the contents of any certificate, report or other document delivered
thereunder or in connection therewith, (iii) the performance or observance
of any of the covenants, agreements or other terms or conditions set forth in
any Loan Document, (iv) the validity, enforceability, effectiveness or
genuineness of any Loan Document or any other agreement, instrument or
document, (v) the perfection or priority of any Lien or security interest
created or purported to be created under the Collateral Documents or
(vi) the satisfaction of any condition set forth in Article IV
or elsewhere in any Loan Document, other than to confirm receipt of items
expressly required to be delivered to such Agent.

 

Each Agent shall be entitled to rely upon, and shall
not incur any liability for relying upon, any notice, request, certificate,
consent, statement, instrument, document or other writing believed by it to be
genuine and to have been signed or sent by the proper Person. Each Agent may
also rely upon any statement made to it orally or by telephone and believed by
it to have been made by the proper Person, and shall not incur any liability
for relying thereon.  Each Agent may
consult with legal counsel (who may be counsel for the Borrowers or any
Affiliate thereof), independent accountants and other experts selected by it,
and shall not be liable for any action taken or not taken by it in good faith
and in accordance with the advice of any such counsel, accountants or experts.

 

For purposes of determining compliance with the
conditions specified in Section 4.02, each Lender that has signed
this Agreement shall be deemed to have consented to, approved or accepted or to
be satisfied with, each document or other matter required thereunder to be
consented to or approved by or acceptable or satisfactory to a Lender unless
the Administrative Agent shall have received notice from such Lender prior to
the proposed Closing Date specifying its objection thereto.

 

Each Agent may perform any and all its duties and
exercise its rights and powers by or through any one or more sub-agents
appointed by it.  Each Agent and any such
sub-agent may perform any and all its duties and exercise its rights and powers
by or through their respective Related Parties. 
The exculpatory provisions of the preceding paragraphs shall apply to
any such sub-agent and to the Related Parties of each Agent and any such
sub-agent, and shall apply to their respective activities in connection with
the syndication of the credit facilities provided for herein as well as
activities as Agent.

 

Subject to the appointment and acceptance of a
successor Agent as provided below, any Agent may resign at any time by
notifying in writing the relevant Lenders, each Issuing Bank (if applicable)
and the Parent Borrower.  Upon receipt of
any such notice of resignation of the Administrative Agent or the Collateral
Agent, the Required Lenders shall have the right, with the consent of the
Parent Borrower (such consent not to be unreasonably withheld, and provided
that no such consent of the Parent Borrower shall be required if an Event of
Default has occurred and is continuing under paragraphs (g)(i) or (h) of
Article VII), to appoint a successor (other than a Disqualified
Institution) which shall be a commercial banking institution organized under
the laws of the United States or any State or a United States branch or agency
of a commercial banking institution, in each case having a combined capital and
surplus of at least $500,000,000.

 

106

 

If no successor agent is appointed prior to the
effective date of resignation of the relevant Agent specified by such Agent in
its notice, the resigning Agent may appoint, after consulting with the relevant
Lenders and the Parent Borrower, a successor agent from among the relevant
Lenders.  If no successor agent has
accepted appointment as the successor agent by the date which is 60 days
following the retiring Agent’s notice of resignation, the retiring Agent’s
resignation shall nevertheless thereupon become effective and the relevant
Lenders shall perform all of the duties of such Agent hereunder until such time,
if any, as the Required Lenders, appoint a successor agent as provided for
above (except in the case of the Collateral Agent holding collateral security
on behalf of any Secured Parties, the resigning Collateral Agent shall continue
to hold such collateral security as nominee until such time as a successor
Collateral Agent is appointed).  Upon the
acceptance of any appointment as an Agent hereunder by a successor and upon the
execution and filing or recording of such financing statements, or amendments
thereto, and such amendments or supplements to the Security Documents, and such
other instruments or notices, as may be necessary or desirable, or as the
Required Lenders may request, in order to (a) continue the perfection of
the Liens granted or purported to be granted by the Security Documents or
(b) otherwise ensure that the obligations under Section 5.09
are satisfied, the successor Agent shall thereupon succeed to and become vested
with all the rights, powers, discretion, privileges, and duties of the retiring
Agent, and the retiring Agent shall be discharged from its duties and obligations
under the Loan Documents.  The fees
payable by the Parent Borrower to a successor Agent shall be the same as those
payable to its predecessor unless otherwise agreed between the Parent Borrower
and such successor.  After an Agent’s
resignation hereunder, the provisions of this Article and Section 9.05
shall continue in effect for the benefit of such retiring Agent, its sub-agents
and their respective Related Parties in respect of any actions taken or omitted
to be taken by any of them while acting as Agent.

 

None of Lenders or other Persons identified on the
cover page or signature pages of this Agreement as a “syndication
agent,” “documentation agent,” “bookrunner” or “arranger” shall have any right,
power, obligation, liability, responsibility or duty under this Agreement other
than those applicable to all Lenders as such. 
Without limiting the foregoing, none of the Lenders or other Persons so
identified shall have or be deemed to have any fiduciary relationship with any
Lender.

 

Each Lender acknowledges that it has, independently
and without reliance upon the Agents, the Arrangers or any other Lender and
based on such documents and information as it has deemed appropriate, made its
own credit analysis and decision to enter into this Agreement. Each Lender also
acknowledges that it will, independently and without reliance upon the Agents,
the Arrangers or any other Lender and based on such documents and information as
it shall from time to time deem appropriate, continue to make its own decisions
in taking or not taking action under or based upon this Agreement or any other
Loan Document, any related agreement or any document furnished hereunder or
thereunder.

 

To the extent required by any applicable law, the
Administrative Agent may withhold from any interest payment to any Lender an
amount equivalent to any applicable withholding tax.  If the Internal Revenue Service or any other
Governmental Authority asserts a claim that the Administrative Agent did not
properly withhold tax from amounts paid to or for the account of any Lender
because the appropriate form was not delivered or was not properly executed or
because such Lender failed to notify the Administrative Agent of a change in
circumstance which rendered the exemption from, or reduction of, withholding
tax ineffective or for any other reason, such Lender shall indemnify the
Administrative Agent fully for all amounts paid, directly or indirectly, by the
Administrative Agent as tax or otherwise, including any penalties or interest
and together with all expenses (including legal expenses, allocated internal
costs and out-of-pocket expenses) incurred.

 

In case of the pendency of any receivership,
insolvency, liquidation, bankruptcy, reorganization, arrangement, adjustment,
composition or other judicial proceeding relative to any Loan Party, the
Administrative Agent and the Collateral Agent (irrespective of whether the
Obligations shall then be due and payable as herein expressed or by declaration
or otherwise and irrespective of whether such Agent shall have made any demand
on the Borrowers) shall be entitled and empowered, by intervention in such
proceeding or otherwise;

 

(a)           to file and prove a claim for the
whole amount of the Obligations and to file such other documents as may be
necessary or advisable in order to have the claims of the Lenders and each
Agent or (including any claim for the reasonable compensation, expenses,
disbursements and advances of the 

 

107

 

Lenders
and each Agent and their respective agents and counsel and all other amounts
due such Lenders and the Administrative Agent under Section 2.05
and 9.05) allowed in such judicial proceeding; and

 

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

 

and any custodian, receiver, assignee, trustee,
liquidator, sequestrator or other similar official in any such judicial
proceeding is hereby authorized by each Lender to make such payments to such
Agent and, in the event such Agent shall consent to the making of such payments
directly to the Lenders, to pay to the Administrative Agent any amount due for
the reasonable compensation, expenses, disbursements and advances of the Agents
and their respective agents and counsel, and any other amounts due the
Administrative Agent under Sections 2.05 and 9.05.

 

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

 

Each Issuing Bank shall act on behalf of the Lenders
with respect to any Letters of Credit issued by it and the documents associated
therewith, and each Issuing Bank shall have all of the benefits and immunities
(i) provided to the Agents in this Article VIII with respect
to any acts taken or omissions suffered by such Issuing Bank in connection with
Letters of Credit issued by it or proposed to be issued by it and the
applications and agreements for letters of credit pertaining to such Letters of
Credit as fully as if the term “Agent” as used in this Article VIII
included such Issuing Bank with respect to such acts or omissions and
(ii) as additionally provided herein with respect to such Issuing Bank.

 

ARTICLE IX

 

Miscellaneous

 

SECTION 9.01.      Notices.  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 fax, as follows:

 

(a)           if to the Borrowers,
to them at:

 

c/o VWR
International, Inc.

1310 Goshen Parkway

West Chester, Pennsylvania 19380

Attention of:  Scott Smith, Vice
President and Corporate Treasurer, and George Van Kula, Senior Vice President,
General Counsel and Secretary

(Fax No. (610) 436-1760 and (610) 701-9896)

Email address: scott_g_smith@vwr.com and george_vankula@vwr.com

 

108

 

with a copy to (which
shall not constitute notice):

 

Madison Dearborn
Partners, LLC

Three First National Plaza

Suite 3800

Chicago, Illinois  60602

Attention of: Nicholas Alexos and Timothy Sheehan

(Fax No. (312) 895-1256)

Email address:  nalexos@mdcp.com and
tsheehan@mdcp.com

 

and

 

Kirkland & Ellis
LLP

200 East Randolph Drive

Chicago, Illinois  60601

Attention of: Sanford E. Perl, P.C. and Michael D. Wright

(Fax No. (312) 861-2200)

Email address:  sperl@kirkland.com and
mwright@kirkland.com

 

(b)           if to Bank of America, N.A. as an
Agent or Swingline Lender, to:

 

Bank of America, N.A.

101 North Tryon Street

Mail Code:  NC1-001-04-39

Charlotte, NC  28255

Attention: Monika Patel

Telephone:  (704) 386-5094

Telecopier:  (704) 409-01579674

Electronic Mail: 
monika.patel@bankofamerica.com;

 

and

 

Bank of America, N.A.

Agency Management

1455 Market Street, 5th Floor

Mail Code:  CA5-701-05-19

San Francisco, CA  94103

Attention:  Robert Rittelmeyer

Telephone:  (415) 436-2616

Telecopier:  (415) 503-5099

Electronic Mail: robert.j.rittelmeyer@bankofamerica.com

 

(c)           if to Bank of America, N.A. as
Issuing Bank, to:

 

Bank of America, N.A.

Trade Operations

1 Fleet Way

Mail Code:  PA6-580-02-30

Scranton, PA  18507

Attention:  John Yzeik

Telephone:  (570) 330-4315

Telecopier:  (570) 330-4186

Electronic Mail: 
john.p.yzeik@bankofamerica.com; and

 

109

 

(d)           if to a Lender, to it at its address
(or fax number) set forth on Schedule 2.01 or in the Assignment and
Acceptance pursuant to which such Lender shall have become a party hereto.

 

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 if delivered by hand or
overnight courier service or sent by fax or on the date 3 Business Days after
dispatch by certified or registered mail if mailed, in each case, delivered,
sent or mailed (properly addressed) to such party as provided in this Section 9.01
or in accordance with the latest unrevoked direction from such party given in
accordance with this Section 9.01. As agreed to among the Parent
Borrower, the Administrative Agent and the applicable Lenders from time to time
in writing, notices and other communications may also be delivered or furnished
by e-mail; provided that approval of such procedures may be limited to
particular notices or communications. All such notices and other communications
sent to an e-mail address shall be deemed received upon the sender’s receipt of
an acknowledgement from the intended recipient (such as by the “return receipt
requested” function, as available, return e-mail or other written
acknowledgement), provided that if not given during the normal business
hours of the recipient, such notice or communication shall be deemed to have
been given at the opening of business on the next Business Day for the
recipient.

 

SECTION 9.02.      Survival of Agreement.  All covenants, agreements, representations
and warranties made by the Borrowers herein or any other Loan Document, shall
be considered to have been relied upon by the Agents, the Lenders and the
Issuing Banks and shall survive the making by the Lenders of the Loans and the
issuance of Letters of Credit by each Issuing Bank, regardless of any
investigation made by the Agents, the Lenders or such Issuing Bank or on their
behalf, and notwithstanding that any Agent, any Lender or any Issuing Bank may
have had notice or actual knowledge of any Default at the time of any Credit
Event shall continue in full force and effect until the Termination Date.  The provisions of Sections 2.14, 2.16,
2.20 and 9.05 shall remain operative and in full force and effect
regardless of the expiration of the term of this Agreement, the consummation of
the transactions contemplated hereby, the repayment of any of the Loans, the
expiration of the Commitments, the expiration of any Letter of Credit, the
invalidity or unenforceability of any term or provision of this Agreement or
any other Loan Document, or any investigation made by or on behalf of the
Administrative Agent, the Collateral Agent, any Lender or any Issuing Bank.

 

SECTION 9.03.      Binding Effect.  This Agreement shall become effective when it
shall have been executed by the Borrowers and the Administrative Agent and when
the Administrative Agent shall have received counterparts hereof which, when
taken together, bear the signatures of each of the other parties hereto.

 

SECTION 9.04.      Successors and Assigns.

 

(a)           Whenever in this
Agreement any of the parties hereto is referred to, such reference shall be
deemed to include the permitted successors and assigns of such party; and all
covenants, promises and agreements by or on behalf of the Borrowers, the
Administrative Agent, the Collateral Agent, any Issuing Bank or the Lenders
that are contained in this Agreement shall bind and inure to the benefit of
their respective successors and assigns.

 

(b)           Each Lender may
assign to one or more assignees (in each case, other than to Disqualified
Institutions) all or a portion of its interests, rights and obligations under
this Agreement (including all or a portion of its Commitment and the Loans at
the time owing to it); provided, however, that (i) each of
the Administrative Agent and the Parent Borrower must give its prior written consent
to such assignment (which consent shall not be unreasonably withheld or
delayed); provided that no such consent shall be required to any such
assignment made to a Lender or an Affiliate or Related Fund of a Lender (in
each case, other than to Disqualified Institutions) (each, an “Eligible
Assignee”) and the consent of the Parent Borrower shall not be required
during the continuance of any Event of Default arising under clause (b),
(c), (g)(i) or (h) of Article VII,
(ii) in the case of any assignment of a Revolving Credit Commitment, each
Issuing Bank (to the extent its L/C Exposure equals or exceeds $5,000,000) and
the Swingline Lender must give its prior written consent (which consent shall
not be unreasonably withheld or delayed), (iii) (A) in the case of
any assignment, other than assignments to any Eligible Assignee, the amount of
the Revolving Credit Commitment of the assigning Lender (or, in the case of an
assignment of Loans after the Revolving Credit Commitment has expired or been
terminated, the aggregate principal amount of the loans of the assigning
Lenders) subject to each such assignment (determined as of the date of the
Assignment and Acceptance with respect to such assignment is delivered to the
Administrative Agent) shall not be less than $5,000,000 (or, if 

 

110

 

less,
the entire remaining amount of such Lender’s Revolving Credit Commitment (or
Loans) and shall be in an amount that is an integral multiple of $1,000,000 (or
the entire remaining amount of such Lender’s Revolving Credit Commitment (or
Loans) of the applicable Class), the amount of the Dollar Term Loan Commitment
or Dollar Term Loans of the assigning Lender subject to each such assignment
(determined as of the date of the Assignment and Acceptance with respect to
such assignment is delivered to the Administrative Agent) shall not be less
than $1,000,000 (or if less, the entire remaining amount of such Lender’s
Dollar Term Loan Commitment or Dollar Term Loans) and shall be in an amount
that is an integral multiple of $1,000,000 (or the entire remaining amount of
such Lender’s Dollar Term Loan Commitment or Dollar Term Loans of the applicable
Class) and the amount of the Euro Term Loan Commitment or Euro Term Loans of
the assigning Lender subject to each such assignment (determined as of the date
of the Assignment and Acceptance with respect to such assignment is delivered
to the Administrative Agent) shall not be less than €1,000,000 (or if less, the
entire remaining amount of such Lender’s Euro Term Loan Commitment or Euro Term
Loans) and shall be in an amount that is an integral multiple of €500,000 (or
the entire remaining amount of such Lender’s Euro Term Loan Commitment or Euro
Term Loans of the applicable Class), provided, however, that
simultaneous assignments by or to two or more Related Funds shall be combined
for purposes of determining whether the minimum assignment requirement is met,
and (B) in the case of any assignment to any Eligible Assignee, after giving
effect to such assignment, the aggregate Revolving Credit Commitments (or
Loans), Term Loan Commitments or Term Loans of the assigning Lender and its
Affiliates and Related Funds shall be zero or not less than $1,000,000 and the
aggregate Revolving Credit Commitments (or Loans) or Term Loan Commitments or
Term Loans of the assignee Lenders and their Affiliates and Related Funds shall
be not less than $1,000,000, (iv) the parties to each such assignment
shall execute and deliver to the Administrative Agent an Assignment and
Acceptance (such Assignment and Acceptance to be (A) electronically
executed and delivered to the Administrative Agent via an electronic settlement
system then acceptable to the Administrative Agent (or, if previously agreed
with the Administrative Agent, manually), and (B) delivered together with
a processing and recordation fee of $3,500, unless waived or reduced by the
Administrative Agent in its sole discretion; provided that only one such
fee shall be payable in connection with simultaneous assignments by or to two
or more Related Funds) and (v) the assignee, if it shall not be a Lender
immediately prior to the assignment, shall deliver to the Administrative Agent
an Administrative Questionnaire and the tax forms required under Section 2.20(e),
(f) or (g), as applicable. 
Upon acceptance and recording pursuant to paragraph (e) of
this Section 9.04, from and after the effective date specified in
each Assignment and Acceptance, (A) the assignee thereunder shall be a
party hereto and, to the extent of the interest assigned by such Assignment and
Acceptance, have the rights and obligations of a Lender under this Agreement and
(B) the assigning Lender thereunder shall, to the extent of the interest
assigned by such Assignment and Acceptance, be released from its obligations
under this Agreement (and, in the case of an Assignment and Acceptance covering
all or the remaining portion of an assigning Lender’s rights and obligations under
this Agreement, such Lender shall cease to be a party hereto but shall continue
to be entitled to the benefits of Sections 2.14, 2.16, 2.20
and 9.05 with respect to facts and circumstances occurring prior to the
effective date of such assignment, as well as to any Fees accrued for its
account and not yet paid).  Any
assignment or transfer that does not comply with this paragraph shall be
treated for purposes of this Agreement as a sale by such Lender of a
participation in such rights and obligations in accordance with paragraph
(f) of this Section 9.04.

 

(c)           By executing and
delivering an Assignment and Acceptance, the assigning Lender thereunder and
the assignee thereunder shall be deemed to confirm to and agree with each other
and the other parties hereto as follows:  (i) such assigning
Lender warrants that it is the legal and beneficial owner of the interest being
assigned thereby free and clear of any adverse claim and that its Term Loan
Commitment and Revolving Credit Commitment, and the outstanding balances of its
Term Loans and Revolving Loans, in each case without giving effect to assignments
thereof which have not become effective, are as set forth in such Assignment
and Acceptance, (ii) except as set forth in (i) above, such assigning
Lender makes no representation or warranty and assumes no responsibility with
respect to any statements, warranties or representations made in or in
connection with this Agreement, or the execution, legality, validity,
enforceability, genuineness, sufficiency or value of this Agreement, any other
Loan Document or any other instrument or document furnished pursuant hereto, or
the financial condition of Holdings, the Borrowers or any subsidiary or the
performance or observance by Holdings, the Borrowers or any subsidiary of any
of its obligations under this Agreement, any other Loan Document or any other
instrument or document furnished pursuant hereto, (iii) such assignee
represents and warrants that it is legally authorized to enter into such
Assignment and Acceptance, (iv) such assignee confirms that it has
received a copy of this Agreement, together with copies of the most recent
financial statements referred to in Section 3.05(a) or
delivered pursuant to 

 

111

 

Section 5.04 and such other
documents and information as it has deemed appropriate to make its own credit
analysis and decision to enter into such Assignment and Acceptance,
(v) such assignee will independently and without reliance upon the Administrative
Agent, the Collateral Agent, such assigning Lender 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 decisions in taking or not taking action
under this Agreement, (vi) such assignee appoints and authorizes the
Administrative Agent and the Collateral Agent to take such action as agent on
its behalf and to exercise such powers under this Agreement as are delegated to
the Administrative Agent and the Collateral Agent, respectively, by the terms
hereof, together with such powers as are reasonably incidental thereto and
(vii) such assignee agrees that it will perform in accordance with their
terms all the obligations which by the terms of this Agreement are required to
be performed by it as a Lender.

 

(d)           The Administrative
Agent, acting solely for this purpose as an agent of the Borrowers, shall maintain
at one of its offices a copy of each Assignment and Acceptance delivered to it
and a register for the recordation of the names and addresses of the Lenders
and any changes thereto, whether by assignment or otherwise, and the Commitment
of, and principal amount of the Loans (and related interest amount and fees
with respect to such Loan) owing and paid to, each Lender pursuant to the terms
hereof from time to time (the “Register”).  The entries in the Register shall be
conclusive and the Borrowers, the Administrative Agent, each Issuing Bank, the
Collateral Agent and the Lenders may treat each Person whose name is recorded
in the Register pursuant to the terms hereof as a Lender hereunder for all
purposes of this Agreement, notwithstanding notice to the contrary.  The Register shall be available for inspection
by the Borrowers and Lenders at any reasonable time and from time to time upon
reasonable prior notice.

 

(e)           Upon its receipt of,
and consent to, a duly completed Assignment and Acceptance executed by an
assigning Lender and an assignee, an Administrative Questionnaire completed in
respect of the assignee (unless the assignee shall already be a Lender
hereunder), the processing and recordation fee referred to in paragraph (b) above,
if applicable, and the written consent of the Administrative Agent, the
Borrowers and the Issuing Banks to such assignment (in each case to the extent
required pursuant to paragraph (b) above) and any applicable
tax forms required by Section 2.20(e), (f) or (g),
as applicable, the Administrative Agent shall (i) accept such Assignment
and Acceptance and (ii) promptly record the information contained therein
in the Register. No assignment shall be effective unless it has been recorded
in the Register as provided in this paragraph (e).

 

(f)            Each Lender may
without the consent of the Borrowers, the Swingline Lender, any Issuing Bank or
the Administrative Agent sell participations to one or more banks or other
Persons (other than to Disqualified Institutions) in all or a portion of its
rights and obligations under this Agreement (including all or a portion of its
Commitment and the Loans owing to it and its participations in the L/C Exposure
and/or Swingline Loans); provided, that (i) such Lender’s
obligations under this Agreement shall remain unchanged, (ii) such Lender
shall remain solely responsible to the other parties hereto for the performance
of such obligations, (iii) the participating banks or other Persons shall
be entitled to the benefit of the cost protection provisions contained in Sections 2.14,
2.16 and 2.20 to the same extent as if they were Lenders (but,
with respect to any particular participant, to no greater extent than the
Lender that sold the participation to such participant and in the case of Section 2.20,
only if such participant shall have provided any form of information that it
would have been required to provide under such Section if it were a
Lender), (iv) to the extent permitted by applicable law, each participant
also shall be entitled to the benefits of Section 9.06 as though it
were a Lender, so long as such participant agrees to be subject to Section 2.18
as though it were a Lender and (v) the Borrowers, the Administrative
Agent, each Issuing Bank, the Swingline Lender and the Lenders shall continue
to deal solely and directly with such Lender in connection with such Lender’s
rights and obligations under this Agreement, and such Lender shall retain the
sole right to enforce the obligations of the Borrowers relating to the Loans or
L/C Disbursements and to approve any amendment, modification or waiver of any
provision of this Agreement (other than amendments, modifications or waivers
described in clauses (i), (ii) and (iii) of Section 9.08(b) as
it pertains to the Loans or Commitments in which such participant has an
interest).  Each Lender selling a
participation to a participant (i) shall keep a register, meeting the
requirements of Treasury Regulation Section 5f.103-1(c), of each such
participation, specifying such participant’s entitlement to payments of
principal and interest with respect to such participation, and (ii) shall
provide the Administrative Agent and the Borrowers with the applicable forms,
certificates and statements described in Section 2.20(e) or (f) hereof,
as applicable, as if such participant was a Lender hereunder.  Notwithstanding anything in clause
(ii) of the immediately preceding sentence to the contrary, each Lender
shall have the right to sell one or 

 

112

 

more
participations to one or more lenders or other Persons that provide financing
to such Lender in the form of sales and repurchases of participations without
having to satisfy the requirements set forth therein.

 

(g)           Any Lender or
participant may, in connection with any assignment or participation or proposed
assignment or participation pursuant to this Section 9.04, disclose
to the assignee or participant or proposed assignee or participant any
non-public information relating to the Borrowers furnished to such Lender by or
on behalf of the Borrowers; provided that prior to any such disclosure,
each such assignee or participant or proposed assignee or participant shall
execute an agreement whereby such assignee or participant shall agree (subject
to customary exceptions) to preserve the confidentiality of such non-public
information on terms no less restrictive than those applicable to the Lenders
pursuant to Section 9.16.

 

(h)           Any Lender may,
without the consent of the Borrowers or the Administrative Agent, at any time
assign all or any portion of its rights under this Agreement to secure
extensions of credit to such Lender or in support of obligations owed by such
Lender; provided that (i) such assignment shall not increase the
costs or expenses or otherwise increase or change the obligations of the
Borrowers hereunder and (ii) no such assignment shall release a Lender
from any of its obligations hereunder or substitute any such assignee for such
Lender as a party hereto.

 

(i)            Notwithstanding
anything to the contrary contained herein, any Lender (a “Granting Lender”)
may grant to a special purpose funding vehicle (an “SPC”), identified as
such in writing from time to time by the Granting Lender to the Administrative
Agent and the Borrowers, the option to provide to the Borrowers all or any part
of any Loan that such Granting Lender would otherwise be obligated to make to
the Borrowers pursuant to this Agreement; provided
that (i) nothing herein shall constitute a commitment by any SPC to
make any Loan and (ii) if an SPC elects not to exercise such option or
otherwise fails to provide all or any part of such Loan, the Granting Lender
shall be obligated to make such Loan pursuant to the terms hereof.  The making of a Loan by an SPC hereunder
shall utilize the Commitment of the Granting Lender to the same extent, and as
if, such Loan were made by such Granting Lender.  Each party hereto hereby agrees that (x)
neither the grant to any SPC nor the exercise by any SPC of such option shall
increase the costs or expenses or otherwise increase or change the obligations
of the Borrowers hereunder, (y) no SPC shall be liable for any indemnity or
similar payment obligation under this Agreement (all liability for which shall
remain with the Granting Lender) and (z) the Granting Lender shall for all
purposes remain the Lender of record hereunder. 
In addition, notwithstanding anything to the contrary contained in this Section 9.04,
any SPC may (A) with notice to, but without the prior written consent of,
the Parent Borrower and the Administrative Agent and without paying any
processing fee therefor, assign all or a portion of its interests in any Loans
to the Granting Lender and (B) 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, guarantee or credit or
liquidity enhancement to such SPC.

 

(j)            Neither the Parent
Borrower nor any Foreign Subsidiary Borrower (unless the Parent Borrower has assumed
in writing all Obligations of any Foreign Subsidiary Borrower hereunder) shall
assign or delegate any of its rights or duties hereunder (other than in a
transaction permitted by Section 6.04) without the prior written
consent of the Administrative Agent, each Issuing Bank and each Lender, and any
attempted assignment without such consent shall be null and void.

 

(k)           If the Parent Borrower
wishes to replace the Loans or Commitments under any Credit Facility with ones
having different terms, it shall have the option, with the consent of the
Administrative Agent and subject to at least three Business Days’ advance
notice to the Lenders under such Credit Facility, instead of prepaying the
Loans or reducing or terminating the Commitments to be replaced, to
(i) require the Lenders under such Credit Facility to assign such Loans or
Commitments to the Administrative Agent or its designees and (ii) amend
the terms thereof in accordance with Section 9.08 (with such
replacement, if applicable, being deemed to have been made pursuant to Section 9.08(d)).  Pursuant to any such assignment, all Loans
and Commitments to be replaced shall be purchased at par (allocated among the
Lenders under such Credit Facility in the same manner as would be required if
such Loans were being optionally prepaid or such Commitments were being
optionally reduced or terminated by the Borrowers), accompanied by payment of
any accrued interest and fees thereon and any amounts owing pursuant to Section 2.16.  By receiving such purchase price, the Lenders
under such Credit Facility shall automatically be deemed to have assigned the
Loans or Commitments under such Credit Facility pursuant to the terms of an 

 

113

 

Assignment
and Acceptance, and accordingly no other action by such Lenders shall be
required in connection therewith.  The
provisions of this paragraph are intended to facilitate the maintenance of the
perfection and priority of existing security interests in the Collateral during
any such replacement.

 

SECTION 9.05.      Expenses; Indemnity.

 

(a)           The Parent Borrower
agrees to pay (and , to the extent directly attributable to Revolving Loans
made to any Foreign Subsidiary Borrower hereunder, such Foreign Subsidiary
Borrower shall, jointly and severally with the Parent Borrower, agree to pay)
(i) all reasonable out-of-pocket expenses (but limited, as to legal fees
and expenses, to those of Cahill Gordon & Reindel LLP, counsel for the
Agents and the Arrangers taken as a whole, and, if reasonably necessary, of one
local counsel in any material jurisdiction) incurred by the Arrangers and the
Agents, in connection with the syndication of the Credit Facilities and the
preparation and administration of this Agreement and the other Loan Documents
or in connection with any amendments, modifications or waivers of the
provisions hereof or thereof (whether or not the transactions hereby or thereby
contemplated shall be consummated) and (ii) all reasonable out-of-pocket
expenses (but limited, as to legal fees and expenses, to one counsel for all
such Persons taken as a whole, and, if reasonably necessary, of one local
counsel to all such Persons taken as a whole in any material jurisdiction) incurred
by the Agents, any Issuing Bank, the Swingline Lender or any Lender in
connection with the enforcement or protection of its rights or remedies in connection
with this Agreement and the other Loan Documents or in connection with the
Loans made or Letters of Credit issued hereunder.

 

(b)           The relevant
Borrower agrees to indemnify each Arranger, the Administrative Agent, the
Collateral Agent, each Lender, each Issuing Bank, the Swingline Lender and each
of the foregoing Persons’ Affiliates and the respective directors, officers,
employees and agents of such Person and such Person’s Affiliates and their
successors and assigns (each such Person being called an “Indemnitee”)
against, and to hold each Indemnitee harmless from, any and all costs, expenses
(including reasonable fees, out-of-pocket disbursements and other charges of
one counsel to the Indemnitees, taken as a whole, and one local counsel to the
Indemnitees taken as a whole in each material jurisdiction; provided
that if (i) one or more Indemnitees shall have reasonably concluded that
there may be legal defenses available to it that are different from or in addition
to those available to one or more other Indemnitees or (ii) the
representation of the Indemnitees (or any portion thereof) by the same counsel
would be inappropriate due to actual or potential differing interests between
them, then such expenses shall include the reasonable fees, out-of-pocket
disbursements and other charges of one separate counsel to such Indemnitees,
taken as a whole, in each relevant jurisdiction), and liabilities of such
Indemnitee arising out of or in connection with (w) the execution or
delivery of this Agreement or any other Loan Document or any agreement or instrument
contemplated thereby, the performance by the parties thereto of their respective
obligations thereunder or the consummation of the Transactions and the other
transactions contemplated thereby (including the syndication of the Credit
Facilities), (x) the use of the proceeds of the Loans or issuance of
Letters of Credit, (y) any actual or prospective claim, litigation,
investigation or proceeding relating to any of the foregoing, whether or not
any Indemnitee is a party thereto (and regardless of whether such matter is
initiated by a third party or by the Borrowers, any other Loan Party or any of
their respective Affiliates), or (z) any actual or alleged presence or
Release of Hazardous Materials on any property currently or formerly owned or
operated by Holdings, the Borrowers or any of the subsidiaries, or any
liability under Environmental Laws related in any way to Holdings, the
Borrowers or the subsidiaries; provided that such indemnity shall not,
as to any Indemnitee, be available to the extent that such costs, expenses or
liabilities (x) resulted from the gross negligence, bad faith, fraud or
willful misconduct of such Indemnitee (or its Affiliates and the respective
directors, officers, employees and agents of such Indemnitee and such Indemnitee’s
Affiliates) (each, a “related party” of such Indemnitee) or material breach of
its (or any of its related parties’) obligations hereunder or under any of the
other Loan Documents or in connection with any transaction contemplated hereby
or thereby, (y) relate to the presence or Release of Hazardous Materials
that first occur at any property owned by Holdings or the Borrowers after such
property is transferred to any Indemnitee, any of its related parties or any of
their respective successors or assigns by foreclosure, deed-in-lieu of
foreclosure or similar transfer or (z) resulted from any dispute solely
among Indemnitees and (or their related parties) not involving the Borrowers,
the Sponsor or their respective Affiliates. 
The Parent Borrower shall have no obligation to reimburse any Indemnitee
for fees and expenses unless such Indemnitee provides the Parent Borrower with
an undertaking in which such Indemnitee agrees to refund and return any and all
amounts paid by the Parent Borrower to such Indemnitee to the extent any of the
foregoing items in clauses (x) through (z) occurs.  Notwithstanding the foregoing, this Section 9.05
shall not apply to Tax matters, which shall be governed exclusively by Section 2.20.

 

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(c)           To the extent that
any Borrower fails to pay any amount required to be paid by it to the Arrangers,
the Administrative Agent or any other Indemnitee related thereto under paragraph (a) or
(b) of this Section (and without limiting its obligation to do
so), each Lender severally agrees to pay to the Arrangers, such Indemnitee and
the Administrative Agent, such Lender’s pro rata share (determined as of the
time that the applicable unreimbursed expense or indemnity payment is sought)
of such unpaid amount; provided that the unreimbursed expense or indemnified
loss, claim, damage, liability or related expense, as the case may be, was
incurred by or asserted against the Arrangers, the Agents, the Issuing Banks,
the Swingline Lender or such Indemnitee in its capacity as such.  For purposes hereof, a Lender’s “pro rata
share” shall be determined based upon its share of the sum of the Aggregate
Revolving Credit Exposure, outstanding Term Loans and unused Commitments at the
time.

 

(d)           To the extent
permitted by applicable law, no party hereto shall assert, and each party
hereto hereby waives, any claim from (i) the use by others of information
or other materials obtained through electronic, telecommunications or other
information transmission systems, except to the extent such damages have
resulted from the willful misconduct, bad faith, fraud or gross negligence of
such party of any of its Affiliates or the respective directors, officers,
employees and agents of such party and such party’s Affiliates and (ii) on
any theory of liability, for special, indirect, consequential or punitive
damages (as opposed to direct or actual damages) arising out of, in connection
with, or as a result of, this Agreement or any agreement or instrument
contemplated hereby, the Transactions, any Loan or Letter of Credit or the use
of the proceeds thereof.

 

(e)           The provisions of
this Section 9.05 shall survive the expiration of the term of this
Agreement, the consummation of the transactions contemplated hereby, the
repayment of any of the Loans, the expiration of the Commitments, the
expiration of any Letter of Credit, the invalidity or unenforceability of any
term or provision of this Agreement or any other Loan Document, or any
investigation made by or on behalf of the Administrative Agent, the Collateral
Agent, any Lender or the Issuing Banks. 
All amounts due under this Section 9.05 shall be payable
within 30 days after receipt of an invoice relating thereto setting forth such
amounts in reasonable detail.

 

SECTION 9.06.      Right of Setoff; Payments Set Aside.

 

(a)           If an Event of
Default shall have occurred and be continuing, each Lender is hereby authorized
at any time and from time to time, except to the extent prohibited by law,
without prior notice to any Borrower or any other Loan Party, any such notice
being waived by each Borrower (on its own behalf and on behalf of each Loan
Party and its subsidiaries) to set off and apply any and all deposits (general
or special, time or demand, provisional or final) at any time held and other indebtedness
at any time owing by such Lender to or for the credit or the account of the
Borrowers against any of and all the obligations of the Borrowers now or
hereafter existing under this Agreement and other Loan Documents held by such
Lender, irrespective of whether or not such Lender shall have made any demand
under this Agreement or such other Loan Document and although such obligations
may be contingent or unmatured or denominated in a currency different from that
of the applicable deposit or indebtedness. 
The rights of each Lender under this Section 9.06 are in addition
to other rights and remedies (including other rights of setoff) which such
Lender may have.  Each Lender agrees
promptly to notify the Parent Borrower and the Administrative Agent after any
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)           To the extent that
any payment by or on behalf of any Borrower is made to any Agent or any Lender,
or any Agent or any Lender exercises its right of setoff, and such payment or
the proceeds of such setoff or any part thereof is subsequently invalidated,
declared to be fraudulent or preferential, set aside or required (including
pursuant to any settlement entered into by such Agent or such Lender in its
discretion) to be repaid to a trustee, receiver or any other party, then
(i) to the extent of such recovery the obligation or part thereof
originally intended to be satisfied shall be revived and continued in full
force and effect as if such payment had not been made or such setoff had not
occurred, and (ii) each Lender severally agrees to pay to the
Administrative Agent upon demand its applicable share of any amount so
recovered from or repaid by any Agent, plus interest thereon from the date of
such demand to the date such payment is made at a rate per annum equal to the
Federal Funds Effective Rate from time to time in effect.

 

SECTION 9.07.      Applicable Law.  THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS
(OTHER THAN LETTERS OF CREDIT AND AS EXPRESSLY SET FORTH IN OTHER LOAN
DOCUMENTS) 

 

115

 

SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY
THE LAWS OF THE STATE OF NEW YORK.  EACH
LETTER OF CREDIT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED IN ACCORDANCE
WITH, THE LAWS OR RULES DESIGNATED IN SUCH LETTER OF CREDIT, OR IF NO SUCH LAWS
OR RULES ARE DESIGNATED, THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY
CREDITS MOST RECENTLY PUBLISHED AND IN EFFECT, ON THE DATE SUCH LETTER OF
CREDIT WAS ISSUED, BY THE INTERNATIONAL CHAMBER OF COMMERCE (THE
“UNIFORM CUSTOMS”) AND, AS TO MATTERS NOT GOVERNED BY THE
UNIFORM CUSTOMS, THE LAWS OF THE STATE OF NEW YORK.

 

SECTION 9.08.      Waivers; Amendment.

 

(a)           No failure or delay
of the Administrative Agent, the Collateral Agent, any Lender or any Issuing
Bank in exercising any power or right hereunder or under any other Loan Document
shall operate as a waiver thereof, nor shall any single or partial exercise of
any such right or power, or any abandonment or discontinuance of steps to
enforce such a right or power, preclude any other or further exercise thereof
or the exercise of any other right or power. 
The rights and remedies of the Administrative Agent, the Collateral
Agent, each Issuing Bank and the Lenders hereunder and under the other Loan
Documents are cumulative and are not exclusive of any rights or remedies that
they would otherwise have.  No waiver of
any provision of this Agreement or any other Loan Document or consent to any
departure by the Borrowers or any other Loan Party therefrom shall in any event
be effective unless the same shall be permitted by clause (b) below,
and then such waiver or consent shall be effective only in the specific
instance and for the purpose for which given. 
No notice or demand on the Borrowers in any case shall entitle the
Borrowers to any other or further notice or demand in similar or other
circumstances.

 

(b)           Subject to Section 2.24
and clause (d) below, and except for those actions expressly
permitted to be taken by the Agents, neither this Agreement nor any other Loan
Document nor any provision hereof or thereof may be waived, amended or modified
except pursuant to an agreement or agreements in writing entered into by the Required
Lenders and the Loan Parties that are party thereto and are affected by such
waiver, amendment or modification and acknowledged by the Administrative Agent;
provided, however, that no such agreement shall (i) reduce
the principal amount of, or extend or waive any scheduled amortization payment
or the final scheduled maturity date of or date for the payment of any interest
on, any Loan or any date for reimbursement of an L/C Disbursement, forgive any
such payment or any part thereof, or decrease the rate of interest on any Loan
or L/C Disbursement, without the prior written consent of each Lender directly
and adversely affected thereby (it being understood that any change to the
component definitions of the Total Net Leverage Ratio affecting the determination
of interest and the waiver of a Default, Event of Default or default interest
shall only require the consent of the Parent Borrower and the Required
Lenders), (ii) increase or extend the Commitment or decrease or extend the
date for payment of any Fees of any Lender without the prior written consent of
such Lender (it being understood that any change to the component definitions
of the Total Net Leverage Ratio affecting the determination of any Fee and the
waiver of a Default, Event of Default or default fees shall only require the
consent of the Parent Borrower and the Required Lenders), (iii) amend or
modify the provisions of Section 2.17, the provisions of Section 2.18,
the provisions of Section 9.04(j) (it being understood that any
change to Section 6.04 shall only require approval of the Required
Lenders) or the provisions of this Section (except as set forth below) or
release all or substantially all of the Guarantors or all or substantially all
of the Collateral (except as permitted under Section 6.04 and the
Guarantee and Collateral Agreement), without the prior written consent of each
Lender, (iv) (A) engage in any transaction or series of related
transactions that would reduce the Total Assets to less than $2,000,000,000,
(B) amend Section 6.05(p)(ii) or (C) waive or amend
this Section 9.08(b)(iv), in each case without the prior written
consent of the Required Class Lenders, or (v) reduce the percentage
contained in the definition of the term “Required Lenders”, “Required
Class Lenders” or “Required Revolving Lenders” without the prior written
consent of each Lender, each Lender of the affected Class or each
Revolving Credit Lender, respectively (it being understood that with the consent
of the Required Lenders, the Required Class Lenders or the Required
Revolving Lenders, additional extensions of credit pursuant to this Agreement
may be included in the determination of the Required Lenders, Required
Revolving Lenders or Required Class Lenders on substantially the same
basis as the Commitments and extensions of credit thereunder on the date hereof
and this Section may be amended to reflect such extension of credit); provided,
further, that (w) no such agreement shall amend, modify or
otherwise affect the rights or duties of the Administrative Agent, the
Collateral Agent, any Issuing Bank or the Swingline Lender hereunder or under
any other Loan Document without the prior written consent of the Administrative
Agent, the Collateral Agent, such 

 

116

 

Issuing
Bank or the Swingline Lender, as the case may be, (x) no such agreement
shall make any change to the documents that by its terms affects the rights of
any Class of Lenders to receive payments in any manner different than any
other Class of Lenders without the written consent of the Required
Class Lenders of such Class; (y) Section 9.04(i) may
not be amended, waived or otherwise modified without the consent of each
Granting Lender all or any part of whose Loans are being funded by an SPC at
the time of such amendment, waiver or other modification and (z)
Schedule A may be amended, so long as no Default or Event of Default shall
have occurred and be continuing, to add additional Alternative Currencies upon
the execution and delivery by the Parent Borrower, each Revolving Credit Lender
and the Administrative Agent of a written instrument providing for such
amendment.

 

(c)           Notwithstanding the
foregoing, in addition to any credit extensions and related Incremental
Amendments effectuated without the consent of Lenders in accordance with Section 2.24,
this Agreement (including this Section 9.08 and Section 2.17)
may be amended (or amended and restated) with the written consent of the Required
Lenders, the Administrative Agent and the Borrowers (i) to add one or more
additional credit facilities to this Agreement and to permit the extensions of
credit from time to time outstanding thereunder and the accrued interest and
fees in respect thereof to share ratably in the benefits of this Agreement and
the other Loan Documents with the Term Loans and the Revolving Loans and the
accrued interest and Fees in respect thereof, (ii) to include appropriately
the Lenders holding such credit facilities in any determination of the Required
Lenders, the Required Revolving Lenders, the Required Class Lenders and
other definitions related to such new credit facilities and (iii) to
provide class protection for any additional credit facilities in a manner
consistent with those provided herein for the Classes of Lenders contemplated
by this Agreement as in effect on the Closing Date.

 

(d)           Notwithstanding the
foregoing, in addition, this Agreement may be amended with the written consent
of the Administrative Agent, the Parent Borrower and the Lenders providing the
relevant Replacement Term Loans (as defined below) to permit the refinancing in
whole, but not in part, of any Class of outstanding Term Loans or any then
outstanding Class of Replacement Term Loans (“Refinanced Term Loans”)
with a replacement term loan tranche hereunder (“Replacement Term Loans”),
provided that (i) the aggregate principal amount of such
Replacement Term Loans shall not exceed the aggregate principal amount of such
Refinanced Term Loans, (ii) the Applicable Margin for such Replacement
Term Loans shall not be higher than the Applicable Margin for such Refinanced
Term Loans, (iii) the Weighted Average Life to Maturity of such
Replacement Term Loans shall not be shorter than the weighted average life to
maturity of such Refinanced Term Loans at the time of such refinancing (without
giving effect to annual amortization on any Refinanced Term Loan Facility not
in excess of 1% of the principal amount thereof) and (iv) all other terms
applicable to such Replacement Term Loans shall be substantially identical to,
or less favorable to the Lenders providing such Replacement Term Loans than,
those applicable to such Refinanced Term Loans, except to the extent necessary
to provide for covenants and other terms applicable to any period after the
latest final maturity of the Term Loans in effect immediately prior to such
refinancing.

 

(e)           Notwithstanding the
foregoing, any amendment, modification or waiver of, or consent with respect to
Section 2.13(e) with respect to the application of any
mandatory prepayment that results in a Class of Lenders being allocated a
lesser repayment than such Class would otherwise have been entitled to in
the absence of such amendment, modification or waiver, shall require the
consent of the Required Class Lenders or the Required Revolving Lenders,
as applicable for such affected Class (except in the case where additional
extensions of terms loans are being afforded substantially the same treatment
afforded to the Term Loans pursuant to this Agreement on the Closing Date).

 

(f)            Each waiver, amendment,
modification, supplement or consent made or given pursuant to this Section 9.08
shall be effective only in the specific instance and for the specific purpose
for which given, and such waiver, amendment, modification or supplement shall
apply equally to each of the Lenders and shall be binding on the Loan Parties,
the Lenders, the Agents and all future holders of the Loans and Commitments.

 

(g)           Schedule B
may be amended (and this Agreement may be amended as provided for in clauses
(i)(A) and (ii) below), so long as no Default or Event of
Default shall have occurred and be continuing, as follows:

 

(i)           Schedule B
will be amended to add subsidiaries as additional Foreign Subsidiary Borrowers
(provided that any such Foreign Subsidiary Borrower and its jurisdiction
of organization (other than with 

 

117

 

respect to any of the following jurisdictions: United Kingdom, Canada,
Belgium and Germany) is reasonably satisfactory to the Administrative Agent):

 

(A)          if
the Parent Borrower shall have provided at least ten (10) Business Days
written notice to the Administrative Agent of its intention to amend Schedule B
to add a Foreign Subsidiary Borrower (which notice shall specify the name of
such Foreign Subsidiary Borrower and its jurisdiction of organization) (with
the Administrative Agent hereby agreeing to promptly furnish any such notice
received from the Parent Borrower to each Potentially Restricted Revolving
Credit Lender) and either:

 

(x)            the
Administrative Agent shall not have received from any Potentially Restricted
Revolving Credit Lender, prior to the date occurring ten (10) Business
Days after the Administrative Agent received the respective written notice from
the Parent Borrower, written notice to the effect that, in accordance with then
applicable credit policies of such Revolving Credit Lender, as applied
consistently, such Revolving Credit Lender does not generally provide
extensions of credit in the jurisdiction of organization of the proposed
Foreign Subsidiary Borrower (with each Potentially Restricted Revolving Credit
Lender, if any, which provides such notice with respect to any jurisdiction
being herein called a “Restricted Revolving Credit Lender” with respect
to such jurisdiction); or

 

(y)           there
is one or more Restricted Revolving Credit Lenders with respect to the relevant
jurisdiction, and:

 

(I)            the
Administrative Agent (or one or more of its Affiliates acting as the “fronting”
Revolving Credit Lender to the respective Foreign Subsidiary Borrower) provides
to such Restricted Revolving Credit Lenders “fronting” arrangements on terms
and conditions customary for Bank of America and reasonably satisfactory to
such Restricted Revolving Credit Lenders (including with respect to voting,
payment of fees and interest and indemnities by any applicable Restricted
Revolving Credit Lender; it being understood that no Borrower shall have any
greater liability or obligation by reason of such “fronting” arrangement than
in would in the absence of such arrangement), pursuant to which (a) Bank
of America or its relevant Affiliate (in its individual capacity) shall act as
the “fronting” Revolving Credit Lender for such Restricted Revolving Credit
Lender(s) in respect of extensions of credit otherwise required to be made to
the respective Foreign Subsidiary Borrower pursuant to the Revolving Loan
Commitments of the respective Restricted Revolving Credit Lender(s), and
(b) such Restricted Revolving Credit Lender(s) shall act as “indemnifying
lenders” in respect of Extensions of Credit made by Bank of America (in its
capacity as “fronting” Revolving Credit Lender) to such Foreign Subsidiary
Borrower, in each case, to the extent not prohibited by the laws of such
Foreign Subsidiary Borrower’s jurisdiction, and

 

(II) in order to implement the “fronting” and
“indemnity” arrangements described in immediately preceding clause (I),
each of the Borrowers and the Administrative Agent shall have entered into
either (a) amendments to this Agreement, the Exhibits hereto and any other
Loan Documents in form and substance reasonably satisfactory to the
Administrative Agent and the Borrowers or (b) at the option of the
Administrative Agent (in its reasonable discretion), ancillary documents in
form and substance reasonably satisfactory to the Administrative Agent and the
Borrowers (which documents shall be thereafter deemed, for all purposes, to be
“Loan Documents” hereunder) (it being hereby acknowledged and agreed by each
Lender that such Lender shall have no right to consent to any amendment to this
Agreement effected in accordance with this clause (II) effected by the
Administrative Agent and the 

 

118

 

Borrowers unless such Lender is materially adversely affected thereby);
provided that (i) the Administrative Agent hereby agrees to provide
to the applicable Restricted Revolving Credit Lender the “fronting”
arrangements described in the preceding clause (y) and
(ii) notwithstanding any provision herein to the contrary, in the event
preceding clause (y) of this Section 9.08(g)(i)(A) is
applicable, and any Restricted Revolving Credit Lender decides for any reason
not to agree to (or avail itself of) the “fronting” and “indemnity”
arrangements provided pursuant thereto, (1) such Restricted Revolving
Credit Lender shall remain obligated to directly fund all extensions of credit
pursuant to its Revolving Credit Commitment (including, without limitation, to
Foreign Subsidiary Borrowers) unless and until (and then to the extent) it
assigns such Revolving Credit Commitment to another Person in accordance with
the relevant requirements of Section 9.04, (2) the provisions
of this Section 9.08(g)(i)(A) shall not be applicable and
(3) Schedule B shall be amended in accordance with the remaining
provisions of Section 9.08(g)(i)(B) below; and

 

(B)           upon
(I) execution and delivery by the Parent Borrower, such additional Foreign
Subsidiary Borrowers and the Administrative Agent of a Joinder Agreement
substantially in the form of Exhibit H (a “Joinder Agreement”),
providing for such subsidiaries to become Foreign Subsidiary Borrowers
hereunder and Grantors under and as defined in the Guarantee and Collateral
Agreement (or shall otherwise enter into collateral and security documents
reasonably satisfactory to the Administrative Agent and providing, to the
extent reasonably practicable under relevant law, substantially the equivalent
of the lien and security interests contemplated to be provided by Grantors
under the Guarantee and Collateral Agreement), (II) delivery to the Administrative
Agent of (x) in the case of any Foreign Subsidiary Borrower the Capital Stock
of which is held by a Domestic Subsidiary, a stock pledge agreement (or, if the
parent corporation of such Foreign Subsidiary Borrower is a party to the Guarantee
and Collateral Agreement, a pledge pursuant to such agreement) covering 100% of
the Capital Stock of such Foreign Subsidiary Borrower, together with any
documents and instruments necessary to perfect the security interest to be
created thereby (provided that only 65% of the Capital Stock of such
Foreign Subsidiary Borrower shall secure the Domestic Obligations), (y)
corporate resolutions, other corporate documents, certificates and legal
opinions in respect of such additional Foreign Subsidiary Borrowers
substantially equivalent to comparable documents delivered on the Closing Date
in respect of the Loan Parties on the Closing Date and (z) such other documents
with respect thereto as the Administrative Agent shall reasonably request, and
(III) execution and delivery by the Parent Borrower, such Foreign Subsidiary
Borrower, all of the Revolving Credit Lenders and the Administrative Agent of a
written instrument providing for such amendment to Schedule B; provided
that the Parent Borrower and its Subsidiaries shall not be required to comply
with the requirements of the foregoing clauses (II)(x), (y) or (z)
if the Administrative Agent, in its sole discretion, determines that the cost
of such compliance is excessive in relation to the value of the collateral security
to be afforded thereby; provided, further, that no document
described in the foregoing clauses (II)(x), (y) or (z)
shall be required, or the form of such document shall be modified, to the
extent required to avoid (A) any violation of applicable law or
(B) any violation of the provisions of any joint venture or other material
agreement governing or binding such Domestic Subsidiary or other Subsidiary of
the Parent Borrower.  Any Domestic
Subsidiary or other Subsidiary of the Parent Borrower that cannot execute such
a document or whose document must be amended for the foregoing reasons shall
promptly upon any change of law or waiver or lapse of the applicable contractual
restriction enter into such document or amend the existing document to comply
with this Section 9.08(g)(i) in a manner reasonably satisfactory
to the Administrative Agent.

 

(ii)          This
Agreement may be amended with the written consent of the Parent Borrower and
the Administrative Agent to add or modify any provision with respect to the
extension of credit to any Foreign Subsidiary Borrower and the related
requirements hereunder if it is determined by the Parent Borrower and the
Administrative Agent that such addition or modification is reasonably necessary
to comply with any domestic 

 

119

 

or local law, rule or regulation (including without limitation,
any local tax authorities) or the advice of counsel.

 

(iii)         Schedule B
will be amended to remove any Subsidiary as a Foreign Subsidiary Borrower upon
execution and delivery by the Parent Borrower to the Administrative Agent of a
written notification to such effect and repayment in full of all Loans made to
such Foreign Subsidiary Borrower and repayment in full of all other amounts
(other than contingent obligations) owing by such Foreign Subsidiary Borrower
under this Agreement and the other Loan Documents.

 

SECTION 9.09.      Interest Rate Limitation.  Notwithstanding anything herein to the
contrary, if at any time the interest rate applicable to any Loan or
participation in any L/C Disbursement, together with all fees, charges and
other amounts which are treated as interest on such Loan or participation in
such L/C Disbursement under applicable law (collectively the “Charges”),
shall exceed the maximum lawful rate (the “Maximum Rate”) which may be
contracted for, charged, taken, received or reserved by the Lender holding such
Loan or participation in accordance with applicable law, the rate of interest
payable in respect of such Loan or participation hereunder, together with all
Charges payable in respect thereof, shall be limited to the Maximum Rate and,
to the extent lawful, the interest and Charges that would have been payable in
respect of such Loan or participation but were not payable as a result of the
operation of this Section 9.09 shall be cumulated and the interest
and Charges payable to such Lender in respect of other Loans or participations
or periods shall be increased (but not above the Maximum Rate therefor) until
such cumulated amount shall have been received by such Lender.

 

SECTION 9.10.      Entire Agreement.  This Agreement, the Fee Letter and the other
Loan Documents constitute the entire contract between the parties relative to
the subject matter hereof.  Any other
previous agreement among the parties with respect to the subject matter hereof
is superseded by this Agreement and the other Loan Documents.  Nothing in this Agreement or in the other
Loan Documents, expressed or implied, is intended to confer upon any Person
(other than the parties hereto and thereto, their respective successors and
assigns permitted hereunder (including any Affiliate of any Issuing Bank that
issues any Letter of Credit) and, to the extent expressly contemplated hereby,
the Indemnitees, the Arrangers, the Related Parties of each of the
Administrative Agent, the Collateral Agent, the Issuing Banks and the Lenders)
any rights, remedies, obligations or liabilities under or by reason of this
Agreement or the other Loan Documents.

 

SECTION 9.11.      WAIVER OF JURY TRIAL.  EACH PARTY HERETO HEREBY WAIVES, TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A
TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT
OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OF THE OTHER LOAN
DOCUMENTS.  EACH PARTY HERETO
(A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY
HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN
THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND
(B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO
ENTER INTO THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS, AS APPLICABLE, BY,
AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 9.11.

 

SECTION 9.12.      Severability.  In the event any one or more of the
provisions contained in this Agreement or in any other Loan Document should be
held invalid, illegal or unenforceable in any respect, the validity, legality
and enforceability of the remaining provisions contained herein and therein
shall not in any way be affected or impaired thereby (it being understood that
the invalidity of a particular provision in a particular jurisdiction shall not
in and of itself affect the validity of such provision in any other jurisdiction).  The parties shall endeavor in good-faith negotiations
to replace the invalid, illegal or unenforceable provisions with valid
provisions the economic effect of which comes as close as possible to that of
the invalid, illegal or unenforceable provisions.

 

SECTION 9.13.      Counterparts.  This Agreement may be executed in
counterparts (and by different parties hereto on different counterparts), each
of which shall constitute an original but all of which when taken together
shall constitute a single contract, and shall become effective as provided in Section 9.03.  Delivery of an executed signature
page to this Agreement by facsimile transmission shall be as effective as
delivery of a manually signed counterpart of this Agreement.

 

120

 

SECTION 9.14.      Headings.  Article and Section headings and
the Table of Contents used herein are for convenience of reference only, are
not part of this Agreement and are not to affect the construction of, or to be
taken into consideration in interpreting, this Agreement.

 

SECTION 9.15.      Jurisdiction; Consent to Service of Process.

 

(a)           Each of the parties
hereto hereby irrevocably and unconditionally submits, for itself and its property,
to the nonexclusive jurisdiction of any New York State court or Federal
court of the United States of America sitting in New York City, and any
appellate court from any thereof, in any action or proceeding arising out of or
relating to this Agreement or the other Loan Documents, or for recognition or
enforcement of any judgment, and each of the parties hereto hereby irrevocably
and unconditionally agrees that all claims in respect of any such action or
proceeding may be heard and determined in such New York State or, to the
extent permitted by law, in such Federal court. 
Each of the parties hereto agrees that a final judgment in any such
action or proceeding shall be conclusive and may be enforced in other
jurisdictions by suit on the judgment or in any other manner provided by
law.  Nothing in this Agreement shall
affect any right that the Administrative Agent, the Collateral Agent, the
Issuing Banks or any Lender may otherwise have to bring any action or
proceeding relating to this Agreement or the other Loan Documents against the
Borrowers, Holdings or their respective properties in the courts of any
jurisdiction.

 

(b)           Each of the parties
hereto hereby irrevocably and unconditionally waives, to the fullest extent it
may legally and effectively do so, any objection which it may now or hereafter
have to the laying of venue of any suit, action or proceeding arising out of or
relating to this Agreement or the other Loan Documents in any New York
State or Federal court.  Each of the
parties hereto hereby irrevocably waives, to the fullest extent permitted by
law, the defense of an inconvenient forum to the maintenance of such action or
proceeding in any such court.

 

(c)           Each party to this
Agreement irrevocably consents to service of process in the manner provided for
notices in Section 9.01. 
Nothing in this Agreement will affect the right of any party to this
Agreement to serve process in any other manner permitted by law.

 

(d)           If for the purposes
of obtaining judgment in any court it is necessary to convert a sum due
hereunder in dollars, Canadian Dollars, euros, Sterling or other Alternative
Currency into another currency, the parties hereto agree, to the fullest extent
that they may effectively do so, that the rate of exchange used shall be that
at which in accordance with normal banking procedures the Administrative Agent
could purchase dollars, Canadian Dollars, euros, Sterling or other Alternative
Currency, as the case may be, with such other currency at the spot rate of
exchange quoted by the Administrative Agent at 11:00 a.m. (New York City
time) on the Business Day preceding that on which final judgment is given, for
the purchase of dollars, Canadian Dollars, euros, Sterling or other Alternative
Currency, as the case may be, for delivery two Business Days thereafter.  The obligation of each Borrower in respect of
any such sum due from it to the Administrative Agent or the Lenders hereunder
or under the other Loan Documents shall, notwithstanding any judgment in a currency
(the “Judgment Currency”)
other than that in which sum is denominated in accordance with the applicable
provisions of this Agreement (the “Agreement
Currency”), be discharged only to the extent that on the Business
Day following receipt by the Administrative Agent of any sum adjudged to be so
due in the Judgment Currency, the Administrative Agent may in accordance with
normal banking procedures purchase the Agreement Currency with the Judgment
Currency.  If the amount of the Agreement
Currency so purchased is less than the sum originally due to the Administrative
Agent in the Agreement Currency, each Borrower agrees, as a separate obligation
and notwithstanding any such judgment, to indemnify the Administrative Agent or
the Person to whom such obligation was owing against such loss.

 

(e)           Upon any Foreign
Subsidiary becoming a Foreign Subsidiary Borrower in accordance with Section 9.08(g),
such Foreign Subsidiary Borrower hereby agrees to irrevocably and
unconditionally appoint an agent for service of process located in The City of
New York (the “New York Process Agent”), reasonably satisfactory to
the Administrative Agent, as its agent to receive on behalf of such Foreign
Subsidiary Borrower and its property service of copies of the summons and
complaint and any other process which may be served in any action or proceeding
in any such New York State or Federal court described in paragraph
(a) of this subsection and agrees promptly to appoint a successor
New York Process Agent in The City of New York (which successor
New York Process Agent shall accept such appointment in a writing reasonably
satisfactory to the Administrative 

 

121

 

Agent)
prior to the termination for any reason of the appointment of the initial
New York Process Agent.  In any such
action or proceeding in such New York State or Federal court, such service
may be made on such Foreign Subsidiary Borrower by delivering a copy of such
process to such Foreign Subsidiary Borrower in care of the New York
Process Agent at the New York Process Agent’s address and by depositing a
copy of such process in the mails by certified or registered air mail,
addressed to such Foreign Subsidiary Borrower at its address specified in Section 9.01
with (if applicable) a copy to the Parent Borrower (such service to be
effective upon such receipt by the New York Process Agent and the
depositing of such process in the mails as aforesaid).  Each of the Foreign Subsidiary Borrowers
hereby irrevocably and unconditionally authorizes and directs the New York
Process Agent to accept such service on its behalf. As an alternate method of
service, each of the Foreign Subsidiary Borrowers irrevocably and unconditionally
consents to the service of any and all process in any such action or proceeding
in such New York State or Federal court by mailing of copies of such
process to such Foreign Subsidiary Borrower by certified or registered air mail
at its address specified in Section 9.01.  Each of the Foreign Subsidiary Borrowers
agrees that, to the fullest extent permitted by applicable law, a final
judgment in any such action or proceeding shall be conclusive and may be enforced
in other jurisdictions by suit on the judgment or in any other manner provided
by law.

 

(f)            To the extent that
any Foreign Subsidiary Borrower has or hereafter may acquire any immunity
(sovereign or otherwise) from any legal action, suit or proceeding, from
jurisdiction of any court or from set-off or any legal process (whether service
or notice, attachment prior to judgment, attachment in aid of execution of
judgment, execution of judgment or otherwise) with respect to itself or any of
its property, such Foreign Subsidiary Borrower hereby irrevocably waives and
agrees not to plead or claim such immunity in respect of its obligations under
this Agreement and any Note.

 

SECTION 9.16.      Confidentiality.  Each of the Administrative Agent, the
Collateral Agent, the Arrangers, the Issuing Bank and the Lenders agrees to
maintain the confidentiality of the Information (as defined below), except that
Information may be disclosed (a) to its and its Affiliates’ (other than
Excluded Parties (as defined below)) trustees, officers, directors, employees
and agents, including accountants, legal counsel and other advisors (it being
understood that the Persons to whom such disclosure is made will be informed of
the confidential nature of such Information and instructed to keep such
Information confidential) in connection with the transactions contemplated or
permitted hereby, (b) to the extent requested by any Governmental
Authority having jurisdiction over such Person (including any Governmental
Authority regulating any Lender or its Affiliates), (c) to the extent
required by applicable laws or regulations or by any subpoena or similar legal
process (provided, that the Administrative Agent, the Collateral Agent,
such Arranger, such Issuing Bank or such Lender that discloses any Information
pursuant to this clause (c) shall provide the Parent Borrower
with prompt notice of such disclosure to the extent permitted by applicable
law), (d) to the extent reasonably necessary in connection with the
exercise of any remedies hereunder or under the other Loan Documents or any
suit, action or proceeding relating to the enforcement of its rights hereunder
or thereunder, (e) subject to an agreement containing provisions at least
as restrictive as those of this Section 9.16 (or as otherwise may
be acceptable to the Parent Borrower), to (i) any actual or prospective
assignee of or participant in any of its rights or obligations under this Agreement
and the other Loan Documents, (ii) any pledgee referred to in
Section 9.04(h) or (iii) any actual or prospective counterparty
(or its advisors) to any swap or derivative transaction relating to the
Borrowers, any subsidiary or any Affiliate thereof or any of their respective
obligations, (f) with the written consent of the Parent Borrower,
(g) to any Rating Agency when required by it (it being understood that,
prior to any such disclosure, such Rating Agency shall undertake to preserve
the confidentiality of any Information relating to the Loan Parties received by
it from such Person) or (h) to the extent such Information becomes publicly
available other than as a result of a breach of this Section 9.16; provided
that, no such disclosure shall be made by the Administrative Agent, the
Collateral Agent, the Arrangers, the Issuing Bank and the Lenders to any of its
affiliates that are engaged as principals primarily in private equity,
mezzanine financing or venture capital, which in the case of Bank of America,
N.A. and Banc of America Securities Inc. shall be limited to Bank of America
Capital Inc (the “Excluded Parties”). 
For the purposes of this Section, “Information” shall mean all
information received from the Parent Borrower or Holdings and related to the
Borrowers or their business, other than any such information that is publicly
available to the Administrative Agent, the Collateral Agent, any Arranger, any
Issuing Bank or any Lender, other than by reason of disclosure by Administrative
Agent, the Collateral Agent, any Arranger, any Issuing Bank or any Lender in
breach of this Section 9.16.

 

122

 

SECTION 9.17.      No Advisory or Fiduciary Responsibility.  In connection with all aspects of each transaction
contemplated hereby (including in connection with any amendment, waiver or
other modification hereof or of any other Loan Document), the Parent Borrower
acknowledges and agrees, and
acknowledges its Affiliates’ understanding,  that:  (i) (A) the arranging and other
services regarding this Agreement provided by the Administrative Agent and the
Arrangers are arm’s-length commercial transactions between the Parent Borrower
and its  Affiliates, on the one hand, and the Administrative
Agent and  the Arrangers on the other hand, (B) the Parent
Borrower has consulted its own legal, accounting, regulatory and tax advisors
to the extent it has deemed appropriate, and (C) the Parent Borrower is
capable of evaluating, and understands and accepts, the terms, risks and
conditions of the transactions contemplated hereby and by the other Loan
Documents; (ii) (A) the Administrative Agent and each Arranger is and
has been acting solely as a principal and, except as expressly agreed in
writing by the relevant parties, has not been, is not, and will not be acting
as an advisor, agent or fiduciary for the Parent Borrower or any of its  Affiliates,
or any other Person and (B) neither the Administrative Agent nor any
Arranger has any obligation to the Parent Borrower or any of its  Affiliates
with respect to the transactions contemplated hereby except those obligations
expressly set forth herein and in the other Loan Documents; and (iii) the
Administrative Agent and the Arrangers and their respective Affiliates may be
engaged in a broad range of transactions that involve interests that differ
from those of the Parent Borrower and its  Affiliates, and neither the Administrative
Agent nor any Arranger has any
obligation to disclose any of such interests to the Parent Borrower or its  Affiliates.  To the fullest extent permitted by law, the
Parent Borrower  hereby waives and releases any
claims that it may have against the Administrative Agent and the Arrangers with
respect to any breach or alleged breach of agency or fiduciary duty in
connection with any aspect of any transaction contemplated hereby.

 

SECTION 9.18.      Release of Collateral.  The Lenders irrevocably authorize the Agents
(and the Agents agree):

 

(a)           to release any Lien on any property
granted to or held by the Collateral Agent or the Administrative Agent under
any Loan Document (v) in the event of the Foreign Subsidiary
Reorganization (as defined below) to the extent that, after giving effect to
such reorganization, would be excluded from the Collateral pursuant to the Loan
Documents so long as any new property or assets that would be included in the
Collateral pursuant to the Loan Documents is pledged substantially concurrently
with such release, (w) upon the Termination Date (and, concurrently
therewith, to release all the Loan Parties from their obligations under the
Loan Documents (other than those that specifically survive the Termination
Date)), (x) that is sold or to be sold as part of or in connection with
any sale permitted hereunder or under any other Loan Document to any Person
other than a Loan Party, (y) subject to Section 9.08, if
approved, authorized or ratified in writing by the Required Lenders, or
(z) owned by a Subsidiary Guarantor upon release of such Guarantor from
its obligations under its Guaranty pursuant to clause (c) below;

 

(b)           at the request of the Parent
Borrower, to subordinate any Lien on any property granted to or held by the
Administrative Agent under any Loan Document to the holder of any Lien on such
property that is permitted by clauses  (f), (i) and (u)
of the definition of Permitted Liens; and

 

(c)           to release any Subsidiary Guarantor
from its obligations under any Loan Document to which it is a party if such
Person ceases to be a Subsidiary as a result of a transaction or designation
permitted hereunder; provided that no such release shall occur if such
Guarantor continues to be a guarantor in respect of the New Senior Notes, any
Junior Financing and any Refinancing Indebtedness in respect thereof unless and
until such Guarantor is (or is being simultaneously) released from its
guarantee with respect to the New Senior Notes, such Junior Financing and any
Refinancing Indebtedness in respect thereof.

 

Upon request by any Agent at any time, the Required
Lenders will confirm in writing such Agent’s authority to release its interest
in particular types or items of property, or to release any Subsidiary
Guarantor from its obligations under the Loan Documents pursuant to this Section 9.18.  In each case as specified in this Section 9.18,
the relevant Agent will, at the Parent Borrower’s expense, execute and deliver
to the applicable Loan Party such documents as such Loan Party may reasonably
request to evidence the release of such item of Collateral from the assignment
and security interest granted under the Loan Documents, or to release such Loan
Party from its 

 

123

 

obligations under the Loan Documents, in each case, in
accordance with the terms of the Loan Documents and this Section 9.18.

 

SECTION 9.19.      USA PATRIOT Act Notice.  Each Lender and the Administrative Agent (for
itself and not on behalf of any Lender) hereby notifies the Loan Parties that
pursuant to the requirements of the USA PATRIOT Act, it is required to obtain,
verify and record information that identifies the Loan Parties, which
information includes the name and address of the Loan Parties and other
information that will allow such Lender or the Administrative Agent, as applicable,
to identify the Loan Parties in accordance with the USA PATRIOT Act.

 

SECTION 9.20.      Lender Action.  Each Lender agrees that it shall not take or
institute any actions or proceedings, judicial or otherwise, for any right or
remedy against any Loan Party or any other obligor under any of the Loan
Documents or any Hedging Obligation (including the exercise of any right of
setoff, rights on account of any banker’s lien or similar claim or other rights
of self-help), or institute any actions or proceedings, or otherwise commence
any remedial procedures, with respect to any Collateral or any other property
of any such Loan Party, without the prior written consent of the Administrative
Agent.  The provision of this Section 9.20
are for the sole benefit of the Lenders and shall not afford any right to, or
constitute a defense available to, any Loan Party.

 

SECTION 9.21.      Effectiveness of Merger.  Upon the consummation of the Merger, the
Company shall succeed to all the rights and obligations of Merger Sub under
this Agreement, without any further action by any Person.

 

SECTION 9.22.      Obligations of the Foreign
Subsidiary Borrowers.

 

Notwithstanding anything contained herein or in the
other Loan Documents to the contrary, none of the Foreign Subsidiary Borrowers
shall be liable for any Domestic Obligations, and none of the Collateral
pledged by any Foreign Subsidiary Borrower shall secure any Domestic
Obligations.  In addition, any insurance
proceeds from any Collateral pledged by any Foreign Subsidiary Borrower shall
not be available to secure any Domestic Obligations.

 

124

 

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

 

	
   

  	
  VARIETAL
  DISTRIBUTION MERGER SUB, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
					

 

 

	
   

  	
  BANK
  OF AMERICA, N.A.,

  
	
   

  	
  as
  Administrative Agent and Collateral

  
	
   

  	
  Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  BANK
  OF AMERICA, N.A.,

  
	
   

  	
  individually
  and Swingline Lender and Issuing Bank,

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  [OTHER LENDERS]

  
					

 

2

 

CDRV INVESTORS, INC. HEREBY ABSOLUTELY, 

IRREVOCABLY AND UNCONDITIONALLY ASSUMES 

ALL PAYMENT AND PERFORMANCE OBLIGATION
  OF VARIETAL DISTRIBUTION MERGER SUB,
INC.
  UNDER THE LOAN DOCUMENTS

 

	
  CDRV
  INVESTORS, INC.

  
	
   

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
					

 

3Exhibit 4.5(b)

 

 

GUARANTEE AND COLLATERAL AGREEMENT

 

dated as of

 

June 29, 2007

 

among

 

VWR INVESTORS, INC.,

 

VARIETAL DISTRIBUTION MERGER SUB, INC.

(to be merged with and into CDRV INVESTORS, INC. 

and renamed VWR FUNDING, INC.),

 

the Subsidiaries of CDRV INVESTORS, INC.

from time to time party hereto

 

and

 

BANK OF AMERICA, N.A.,

as Collateral Agent

 

 

 

TABLE OF CONTENTS

 

	
   

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE I DEFINITIONS

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  1.01.

  	
  Credit
  Agreement

  	
   

  	
  1

  
	
   

  	
  SECTION
  1.02.

  	
  Other
  Defined Terms

  	
   

  	
  2

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE II GUARANTEE

  	
   

  	
  8

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  2.01.

  	
  Guarantee

  	
   

  	
  8

  
	
   

  	
  SECTION
  2.02.

  	
  Guarantee of
  Payment

  	
   

  	
  9

  
	
   

  	
  SECTION 2.03.

  	
  No Limitations, Etc.

  	
   

  	
  9

  
	
   

  	
  SECTION 2.04.

  	
  Reinstatement

  	
   

  	
  10

  
	
   

  	
  SECTION
  2.05.

  	
  Agreement To
  Pay; Subrogation

  	
   

  	
  10

  
	
   

  	
  SECTION
  2.06.

  	
  Information

  	
   

  	
  11

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE III SECURITY INTERESTS IN PERSONAL PROPERTY

  	
   

  	
  11

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  3.01.

  	
  Security
  Interest

  	
   

  	
  11

  
	
   

  	
  SECTION
  3.02.

  	
  Representations
  and Warranties

  	
   

  	
  13

  
	
   

  	
  SECTION
  3.03.

  	
  Covenants

  	
   

  	
  15

  
	
   

  	
  SECTION
  3.04.

  	
  Other
  Actions

  	
   

  	
  16

  
	
   

  	
  SECTION
  3.05.

  	
  Voting
  Rights; Dividends and Interest, Etc.

  	
   

  	
  16

  
	
   

  	
  SECTION
  3.06.

  	
  Additional
  Covenants Regarding Patent, Trademark and Copyright Collateral

  	
   

  	
  17

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IV REMEDIES

  	
   

  	
  18

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  4.01.

  	
  Pledged
  Collateral

  	
   

  	
  18

  
	
   

  	
  SECTION
  4.02.

  	
  Uniform
  Commercial Code and Other Remedies

  	
   

  	
  19

  
	
   

  	
  SECTION
  4.03.

  	
  Application
  of Proceeds

  	
   

  	
  21

  
	
   

  	
  SECTION
  4.04.

  	
  Grant of
  License to Use Intellectual Property

  	
   

  	
  21

  
	
   

  	
  SECTION
  4.05.

  	
  Securities
  Act, Etc.

  	
   

  	
  22

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE V INDEMNITY, SUBROGATION AND SUBORDINATION

  	
   

  	
  23

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  5.01.

  	
  Indemnity
  and Subrogation

  	
   

  	
  23

  
	
   

  	
  SECTION
  5.02.

  	
  Contribution
  and Subrogation

  	
   

  	
  23

  
	
   

  	
  SECTION
  5.03.

  	
  Subordination

  	
   

  	
  23

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VI [RESERVED]

  	
   

  	
  24

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VII MISCELLANEOUS

  	
   

  	
  24

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SECTION
  7.01.

  	
  Notices

  	
   

  	
  24

  
	
   

  	
  SECTION
  7.02.

  	
  Survival of
  Agreement

  	
   

  	
  24

  
						

 

i

 

	
   

  	
  SECTION
  7.03.

  	
  Binding
  Effect; Several Agreement

  	
   

  	
  24

  
	
   

  	
  SECTION
  7.04.

  	
  Successors
  and Assigns

  	
   

  	
  24

  
	
   

  	
  SECTION
  7.05.

  	
  Collateral
  Agent’s Expenses; Indemnity

  	
   

  	
  24

  
	
   

  	
  SECTION
  7.06.

  	
  Collateral
  Agent Appointed Attorney-in-Fact

  	
   

  	
  25

  
	
   

  	
  SECTION
  7.07.

  	
  Applicable
  Law

  	
   

  	
  25

  
	
   

  	
  SECTION
  7.08.

  	
  Waivers;
  Amendment

  	
   

  	
  26

  
	
   

  	
  SECTION
  7.09.

  	
  WAIVER OF
  JURY TRIAL

  	
   

  	
  26

  
	
   

  	
  SECTION
  7.10.

  	
  Severability

  	
   

  	
  26

  
	
   

  	
  SECTION
  7.11.

  	
  Counterparts

  	
   

  	
  27

  
	
   

  	
  SECTION
  7.12.

  	
  Headings

  	
   

  	
  27

  
	
   

  	
  SECTION
  7.13.

  	
  Jurisdiction;
  Consent to Service of Process

  	
   

  	
  27

  
	
   

  	
  SECTION
  7.14.

  	
  Termination
  or Release

  	
   

  	
  28

  
	
   

  	
  SECTION
  7.15.

  	
  [RESERVED]

  	
   

  	
  29

  
	
   

  	
  SECTION
  7.16.

  	
  Additional
  Subsidiaries

  	
   

  	
  29

  
	
   

  	
  SECTION
  7.17.

  	
  Security
  Interest and Obligations Absolute

  	
   

  	
  29

  
	
   

  	
  SECTION
  7.18.

  	
  Effectiveness
  of Merger

  	
   

  	
  29

  
	
   

  	
  SECTION 7.19.

  	
  Obligations
  of the Foreign Subsidiary Borrowers

  	
   

  	
  29

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedules

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Schedule I

  	
  Subsidiary
  Guarantors

  	
   

  	
   

  
	
   

  	
  Schedule II

  	
  Equity
  Interests; Pledged Debt Securities

  	
   

  	
   

  
	
   

  	
  Schedule III

  	
  Intellectual
  Property

  	
   

  	
   

  
	
   

  	
  Schedule IV

  	
  Offices for
  UCC Filings

  	
   

  	
   

  
	
   

  	
  Schedule V

  	
  UCC
  Information

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibits

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Exhibit A

  	
  Form of
  Supplement

  	
   

  	
   

  

 

ii

 

GUARANTEE AND COLLATERAL
AGREEMENT dated as of June 29, 2007 (this “Agreement”), among VWR INVESTORS,
INC., a Delaware corporation (“Intermediate Holdco”), VARIETAL
DISTRIBUTION MERGER SUB, INC., a Delaware corporation (“Merger Sub”) to
be merged with and into CDRV INVESTORS, INC. (the “Company”), the
subsidiaries of the Parent Borrower (such term and each other capitalized term
used but not defined in this introductory paragraph or the preliminary
statement below having the meaning given or ascribed to it in Article I)
from time to time party hereto and BANK OF AMERICA, N.A., as collateral agent
(in such capacity, the “Collateral Agent”).

 

PRELIMINARY STATEMENT

 

Reference is made to the Credit
Agreement dated as of June 29, 2007 (as amended, restated, amended and
restated, supplemented or otherwise modified from time to time, the “Credit
Agreement”), among the Borrowers, the lenders from time to time party
thereto (the “Lenders”) and Bank of America, N.A., as administrative
agent (in such capacity, the “Administrative Agent”) and the Collateral
Agent.

 

The Lenders and each Issuing
Bank have agreed to extend credit to the Borrowers, in each case pursuant to,
and upon the terms and conditions specified in, the Credit Agreement.  The Hedge Creditors have agreed (or may in
the future agree) to enter into Hedging Obligations with one or more Loan
Parties.  The Cash Management Creditors
have agreed (or may in the future agree) to enter into Cash Management
Obligations with one or more Loan Parties. 
The obligations of the Lenders and each Issuing Bank to extend credit to
the Borrowers, the agreement of the Hedge Creditors to enter into and maintain
Hedging Obligations with one or more Loan Parties and the agreement of the Cash
Management Creditors to enter into and maintain Cash Management Obligations
with one or more Loan Parties are, in each case, conditioned upon, among other
things, the execution and delivery of this Agreement by each Borrower and each
Guarantor.  Each Guarantor is an
affiliate of the Borrowers, will derive substantial benefits from the extension
of credit to the Borrowers pursuant to the Credit Agreement and from the entering
into and/or maintaining of such Hedging Obligations and/or maintaining of such
Cash Management Obligations and is willing to execute and deliver this
Agreement in order to induce the Lenders and the Issuing Banks to extend such
credit, the Hedge Creditors to enter into and maintain such Hedging Obligations
and the Cash Management Creditors to enter into and maintain such Cash
Management Obligations.  Accordingly, the
parties hereto agree as follows:

 

ARTICLE I

 

Definitions

 

SECTION
1.01.               Credit
Agreement

 

(a)           Capitalized terms used in this
Agreement and not otherwise defined herein have the meanings set forth in the
Credit Agreement.  All capitalized terms
defined in the New York UCC (as such term is defined herein) and not defined in
this Agreement have the meanings specified therein.  All references to the Uniform Commercial Code
shall mean the New York UCC unless the context requires otherwise; the term “Instrument”
shall have the meaning specified in Article 9 of the New York UCC.

 

 

(b)           The rules of construction specified
in Section 1.02 of the Credit Agreement also apply to this Agreement.

 

SECTION
1.02.               Other
Defined Terms.  As used in this Agreement, the following
terms have the meanings specified below:

 

“Account Debtor” means any
Person who is or who may become obligated to any Grantor under, with respect to
or on account of an Account.

 

“Administrative Agent”
shall have the meaning assigned to such term in the preliminary statement.

 

“After-Acquired Intellectual
Property” shall have the meaning assigned to such term in Section
3.06(e).

 

“Agreement” shall have
the meaning assigned to such term in the preamble.

 

“Bankruptcy Default”
shall mean an Event of Default of the type described in Sections 7.01(g) and
(h) of the Credit Agreement.

 

“Cash Collateral Account”
shall mean a non-interest bearing cash collateral account maintained with, and
in the sole dominion and control of, the Collateral Agent for the benefit of
the Secured Parties into which shall be deposited cash collateral in respect of
Letters of Credit.

 

“Cash Management Creditor”
shall mean, with respect to the Cash Management Obligations of a Loan Party, a
counterparty that is the Administrative Agent or a Lender or an Affiliate of
the Administrative Agent or a Lender as of the Closing Date or at the time such
Cash Management Obligation is entered into.

 

“Cash Management Obligations”
shall mean, with respect to any Person, the obligations of such Person under
any agreement or arrangement to provide cash management services, including
treasury, depository, overdraft, credit or debit card, electronic funds
transfer and other cash management arrangements; provided that any such
obligations of any Loan Party owing to the Administrative Agent or a Lender or
an Affiliate of the Administrative Agent or any Lender shall only constitute “Cash
Management Obligations” hereunder at the option of the Parent Borrower.

 

“Claiming Guarantor”
shall have the meaning assigned to such term in Section 5.02.

 

“Collateral” shall have
the meaning assigned to such term in Section 3.01.

 

“Collateral Agent” shall
have the meaning assigned to such term in the preamble.

 

“Company” shall have the
meaning assigned to such term in the preamble.

 

2

 

“Contributing Guarantor”
shall have the meaning assigned to such term in Section 5.02.

 

“Copyright License”
shall mean any written agreement, now or hereafter in effect, granting any
right to any third person (other than an agreement with any Person who is an
affiliate or a subsidiary of the Parent Borrower or such Grantor) under any
Copyright now or hereafter owned by any Grantor or that such Grantor otherwise
has the right to license, or granting any right to any Grantor under any
copyright now or hereafter owned by any third party, and all rights of such
Grantor under any such agreement.

 

“Copyrights” shall mean
all of the following now owned or hereafter acquired by any Grantor:  (a) all copyright rights in any work subject
to the copyright laws of the United States, whether as author, assignee,
transferee or otherwise, (b) all registrations and applications for
registration of any such copyright in the United States, including registrations,
recordings, supplemental registrations and pending applications for registration
in the United States Copyright Office (or any successor office), including
those copyrights listed on Schedule III, and (c) all causes of
action arising prior to or after the date hereof for infringement of any
Copyright or unfair competition regarding the same.

 

“Credit Agreement” shall
have the meaning assigned to such term in the preliminary statement.

 

“Domain Names” shall
mean all Internet domain names and associated URL addresses in or to which any
Grantor now owns or hereafter acquires.

 

“Excluded Collateral”
shall mean:

 

(a)           all vehicles the perfection of a
security interest in which is excluded from the New York UCC in the relevant
jurisdiction;

 

(b)           any General Intangible or other
rights arising under contracts, Instruments, licenses, license agreements
(including Licenses) or other documents, to the extent (and only to the extent)
that the grant of a security interest would (i) constitute a violation of a
restriction in favor of a third party on such grant, unless and until any
required consents shall have been obtained, (ii) give any other party the right
to terminate its obligations thereunder, or (iii) violate any law, provided,
however, that (1) any portion of any such General Intangible or other
right shall cease to constitute Excluded Collateral pursuant to this clause (b)
at the time and to the extent that the grant of a security interest therein
does not result in any of the consequences specified above and (2) the limitation
set forth in this clause (b) above shall not affect, limit, restrict or impair
the grant by a Grantor of a security interest pursuant to this Agreement in any
such General Intangible or other right, to the extent that an otherwise
applicable prohibition or restriction on such grant is rendered ineffective by any
applicable law, including the New York UCC;

 

(c)           any Letter of Credit Rights;

 

3

 

(d)           in the case of the Domestic
Obligations, the Hedging Obligations of each Loan Party (other than the Hedging
Obligations of any Foreign Subsidiary Borrower), the Cash Management
Obligations of each Loan Party (other than the Cash Management Obligations of
any Foreign Subsidiary Borrower), Investment Property consisting of voting
Equity Interests of any Foreign Subsidiary in excess of 65% of the Equity
Interests representing the total combined voting power of all classes of Equity
Interests of such Foreign Subsidiary entitled to vote;

 

(e)           as to which the Collateral Agent and
the Parent Borrower reasonably determine that the costs of obtaining a security
interest in any specifically identified assets or category of assets (or
perfecting the same) are excessive in relation to the benefit to the Secured
Parties of the security afforded thereby;

 

(f)            Equipment owned by any Grantor on
the date hereof or hereafter acquired that is subject to a Lien securing a purchase
money obligation or Capitalized Lease Obligation permitted to be incurred
pursuant to the Credit Agreement, for so long as the contract or other
agreement in which such Lien is granted (or the documentation providing for
such purchase money obligation or Capitalized Lease Obligation) validly
prohibits the creation of any other Lien on such Equipment;

 

(g)           any interest in joint ventures and
non-wholly owned subsidiaries which cannot be pledged without the consent of
one or more third parties;

 

(h)           applications filed in the United
States Patent and Trademark Office to register trademarks or service marks on
the basis of any Grantor’s “intent to use” such trademarks or service marks
unless and until the filing of a “Statement of Use” or “Amendment to Allege Use”
has been filed and accepted, whereupon such applications shall be automatically
subject to the Lien granted herein and deemed included in the Collateral;

 

(i)            all assets subject to a certificate
of title statute, Farm Products and As-Extracted Collateral;

 

(j)            any property to the extent that such
grant of a security interest is prohibited by any Requirements of Law of a
Governmental Authority, requires a consent not obtained of any Governmental
Authority pursuant to such Requirement of Law or is prohibited by, or
constitutes a breach of default under or results in the termination of or
requires any consent not obtained under, any contract, license, agreement,
instrument or other document evidencing or giving rise to such property or, in
the case of any Investment Property or any Pledged Security, any applicable
shareholder or similar agreement, except to the extent that such Requirement of
Law or the term in such contract, license, agreement, instrument or other
document or shareholder or similar agreement providing for such prohibition,
breach, default or termination or requiring such consent is ineffective under
applicable law;

 

(k)           any commercial tort claim;

 

4

 

(l)            any assets to the extent a security
interest in such assets would result in adverse tax consequences as reasonably
determined by the Parent Borrower;

 

(m)          Equity Interests in Unrestricted
Subsidiaries, Immaterial Subsidiaries and captive insurance companies; and

 

(n)           any direct Proceeds, substitutions or
replacements of any of the foregoing, but only to the extent such Proceeds,
substitutions or replacements would otherwise constitute Excluded Collateral.

 

Furthermore, no term used in
the definition of Collateral (or any component definition thereof) shall be
deemed to include any Excluded Collateral.

 

“Federal Securities Laws”
shall have the meaning assigned to such term in Section 4.05.

 

“Fraudulent Conveyance”
shall have the meaning assigned to such term in Section 2.01.

 

“Grantors” shall mean
the Borrowers and the Guarantors.

 

“Guarantors” shall mean
Intermediate Holdco, the Subsidiary Guarantors and, solely with respect to any
Parent Borrower Guaranteed Obligations, the Parent Borrower.

 

“Hedge Creditor” shall
mean, with respect to the Hedging Obligations of a Loan Party, a counterparty
that is the Administrative Agent or a Lender or an Affiliate of the Administrative
Agent or a Lender as of the Closing Date or at the time such Hedging Obligation
is entered into (including any Person who is a Lender (and any Affiliate
thereof) as of the Closing Date but subsequently, whether before or after
entering into any Hedging Obligations, ceases to be a Lender).

 

“Intellectual Property”
shall mean all intellectual and similar property of any Grantor of every kind
and nature now owned or hereafter acquired by such Grantor, including all of
the following that are owned or hereafter acquired by such Grantor (i) Patents,
Copyrights, Licenses, Trademarks, (ii) trade secrets, confidential or
proprietary technical and business information, know how and databases and all
other proprietary information, (iii) Domain Names, and (iv) all improvements to
any of the foregoing.

 

“Intermediate Holdco”
shall have the meaning assigned to such term in the preamble.

 

“Investment Property”
shall mean (a) all “investment property” as such term is defined in the New
York UCC (other than Excluded Collateral) and (b) whether or not constituting “investment
property” as so defined, all Pledged Debt Securities and Pledged Stock.

 

5

 

“License” shall mean any
Patent License, Trademark License, Copyright License or other license or
sublicense agreement relating to Intellectual Property to which any Grantor is
a party.

 

“Loan Document Obligations”
shall mean (a) the Domestic Obligations (as defined in the Credit Agreement),
and (b) the Foreign Obligations (as defined in the Credit Agreement).

 

“Loan Documents” shall
mean the Credit Agreement, each Security Document and each other Loan Document
that evidences or governs any Obligations.

 

“Loans” shall mean all
Loans under, and as defined in, the Credit Agreement.

 

“Merger Sub” shall have
the meaning assigned to such term in the preamble.

 

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

 

“Obligations” shall mean
(a) the Loan Document Obligations, (b) the due and punctual payment and
performance of all Hedging Obligations of each Loan Party owing to a Hedge
Creditor, and (c) the due and punctual payment and performance of all Cash
Management Obligations of each Loan Party owing to a Cash Management Creditor,
in each case, whether outstanding on the date hereof or arising from time to
time following the date of this Agreement.

 

“Parent Borrower” shall
mean (a) prior to the consummation of the Merger, Merger Sub and (b) upon and
after consummation of the Merger, the Company.

 

“Parent Borrower Guaranteed
Obligations” shall have the meaning assigned to such term in Section 2.01.

 

“Patent License” shall
mean any written agreement, now or hereafter in effect, granting to any third
person (other than an agreement with any Person who is an affiliate or a subsidiary
of the Borrower or such Grantor) any right to make, use or sell any invention
on which a Patent, now or hereafter owned by any Grantor or that any Grantor
otherwise has the right to license, is in existence, or granting to any Grantor
any right to make, use or sell any invention on which a patent, now or
hereafter owned by any third person, is in existence, and all rights of any
Grantor under any such agreement.

 

“Patents” shall mean all
of the following now owned or hereafter acquired by any Grantor:  (a) all letters patent of the United States,
all registrations and recordings thereof, and all applications for letters
patent of the United States, including registrations, recordings and pending
applications in the United States Patent and Trademark Office (or any
successor), including those listed on Schedule III, and (b) all
reissues, continuations, divisions, continuations-in-part, renewals or
extensions thereof, and the inventions disclosed or claimed therein, including
the right to make, use and/or sell the inventions disclosed or claimed therein.

 

6

 

“Permitted Liens” shall
mean with respect to the Obligations, all “Permitted Liens” as such term is
defined in the Credit Agreement.

 

“Pledged Collateral”
shall mean (a) the Pledged Stock, (b) the Pledged Debt Securities, (c) subject
to Section 3.05, all payments of principal or interest, dividends, cash,
instruments and other property from time to time received, receivable or otherwise
distributed in respect of, in exchange for or upon the conversion of, and all
other Proceeds received in respect of, the securities referred to in clauses
(a) and (b) above, (d) subject to Section 3.05, all rights of such
Grantor with respect to the securities and other property referred to in
clauses (a), (b) and (c) above and (e) all Proceeds of any of the foregoing.

 

“Pledged Debt Securities”
shall mean (a) the debt securities and promissory notes held by any Grantor on
the date hereof (including all such debt securities and promissory notes listed
opposite the name of such Grantor on Schedule II), (b) any debt securities or
promissory notes in the future issued to such Grantor and (c) any other
instruments evidencing the debt securities described above, if any.

 

“Pledged Securities”
shall mean any promissory notes, stock certificates or other securities now or
hereafter included in the Pledged Collateral, including all certificates, instruments
or other documents representing or evidencing any Pledged Collateral.

 

“Pledged Stock”
shall mean (a) (i) the Equity Interests owned by any Grantor on the date hereof
(including all such Equity Interests listed on Schedule II) and (ii)
thereafter, any other Equity Interest obtained in the future by such Grantor,
in the case of each of clauses (i) and (ii), to the extent that the same do not
constitute Excluded Collateral, and (b) the certificates, if any, representing
all such Equity Interests.

 

“SEC” shall mean the
United States Securities and Exchange Commission and any successor thereto.

 

“Secured Parties” shall
mean (a) the Lenders, (b) the Administrative Agent, (c) the Collateral Agent,
(d) the Issuing Banks, (e) each Hedge Creditor, (f) each Cash Management
Creditor, (g) the beneficiaries of each indemnification obligation undertaken
by any Loan Party under any Loan Document and (h) the permitted successors and
assigns of each of the foregoing.

 

“Security Interest”
shall have the meaning assigned to such term in Section 3.01.

 

“Subsidiary Guarantor”
shall mean any of the following:  (a) the
Subsidiaries identified on Schedule I hereto as Subsidiary Guarantors
and (b) each other subsidiary that becomes a party to this Agreement as a
Subsidiary Guarantor after the Closing Date, excluding (i) any Excluded
Subsidiary and (ii) any Foreign Subsidiary.

 

“Termination Date” shall
mean the date upon which all Commitments have terminated, no Letters of Credit
are outstanding (or if Letters of Credit remain outstanding, as to which an L/C
Backstop exists), and the Loans and L/C Exposure, together with all interest,
Fees and other non-contingent Obligations, have been paid in full in cash.

 

7

 

“Trademark License”
shall mean any written agreement, now or hereafter in effect, granting to any
third person (other than an agreement with any Person who is an affiliate or a
subsidiary of the Borrower or such Grantor) any right to use any trademark now
or hereafter owned by any Grantor or that any Grantor otherwise has the right
to license, or granting to any Grantor any right to use any trademark now or
hereafter owned by any third person, and all rights of any Grantor under any
such agreement.

 

“Trademarks” shall mean
all of the following now owned or hereafter acquired by any Grantor:  (a) all trademarks, service marks, trade
names, corporate names, company names, business names, fictitious business
names, trade styles, trade dress, logos, other source or business identifiers,
designs and general intangibles of like nature, now existing or hereafter
adopted or acquired, all registrations and recordings thereof, and all
registration and recording applications filed in connection therewith,
including registrations and registration applications in the United States
Patent and Trademark Office (or any successor office), and all extensions or renewals
thereof, including those registrations and applications listed on Schedule
III, (b) all goodwill associated therewith or symbolized thereby, (c) all
other assets, rights and interests that uniquely reflect or embody such
goodwill and (d) all causes of action arising prior to or after the date hereof
for infringement of any trademark or unfair competition regarding the same.

 

ARTICLE II

 

Guarantee

 

SECTION
2.01.               Guarantee. 
Each Guarantor absolutely, irrevocably and unconditionally guarantees to
the Secured Parties, jointly with the other Guarantors (other than the Parent
Borrower) and severally, as a primary obligor and not merely as a surety, the
due and punctual payment and performance of the Obligations.  Each Guarantor (other than the Parent
Borrower) further agrees that the Obligations may be extended or renewed, in
whole or in part, without notice to or further assent from it, and that it will
remain bound upon its guarantee notwithstanding any extension or renewal of any
Obligation.  Each Guarantor waives (to
the extent permitted by applicable law) presentment to, demand of payment from
and protest to the Borrowers or any other Loan Party of any Obligation, and
also waives notice of acceptance of its guarantee and notice of protest for
nonpayment.

 

The Parent Borrower hereby
agrees that it is jointly and severally liable for, and, as primary obligor and
not merely as surety, and absolutely and unconditionally guarantees to the
Secured Parties, the prompt payment when due and payable, whether at stated
maturity, upon acceleration or otherwise, and at all times thereafter (other
than Obligations that are expressly the obligations of the Parent Borrower
pursuant to the terms of any Loan Document, Hedge Agreement Obligations or Cash
Management Obligations, which Obligations shall continue to be the primary
obligations of the Parent Borrower) (collectively, the “Parent Borrower
Guaranteed Obligations”).  The Parent
Borrower further agrees that the Parent Borrower Guaranteed Obligations may be
extended or renewed in whole or in part without notice to or further assent
from it, and that it remains bound upon its guarantee notwithstanding any such
extension or renewal.  The provisions of
this Agreement shall apply equally to the Parent Borrower as guarantor of the
Parent Borrower Guaranteed Obligations as to the Guarantors as guarantors of
the Obligations.

 

8

 

Notwithstanding any provision
of this Agreement to the contrary, it is intended that this Agreement, and any
Liens granted hereunder by each Guarantor to secure the obligations and
liabilities arising pursuant to this Agreement, not constitute a “Fraudulent
Conveyance” (as defined below). 
Consequently, each Guarantor agrees that if this Agreement, or any Liens
securing the obligations and liabilities arising pursuant to this Agreement,
would, but for the application of this sentence, constitute a Fraudulent
Conveyance, this Agreement and each such Lien shall be valid and enforceable
only to the maximum extent that would not cause this Agreement or such Lien to
constitute a Fraudulent Conveyance, and this Agreement shall automatically be
deemed to have been amended accordingly at all relevant times.  For purposes hereof, “Fraudulent
Conveyance” means a fraudulent conveyance or fraudulent transfer under
Section 548 of the Bankruptcy Code or a fraudulent conveyance or fraudulent
transfer under the provisions of any applicable fraudulent conveyance or
fraudulent transfer law or similar law of any state, nation or other governmental
unit, as in effect from time to time.

 

SECTION
2.02.               Guarantee of Payment. 
Each Guarantor further agrees that its guarantee hereunder constitutes a
guarantee of payment when due and payable and not of collection, and waives any
right (except such as shall be required by applicable law and cannot be waived)
to require that any resort be had by the Collateral Agent or any other Secured
Party to any security held for the payment of the Obligations or Parent Borrower
Guaranteed Obligations, as applicable, or to any balance of any Deposit Account
or credit on the books of the Collateral Agent or any other Secured Party in
favor of the Borrowers or any other person.

 

SECTION
2.03.               No
Limitations, Etc.

 

(a)           Except for termination of a Guarantor’s
obligations hereunder as expressly provided in Section 7.14, the obligations
of each Guarantor hereunder shall not be subject to any reduction, limitation,
impairment or termination for any reason, including any claim of waiver,
release, surrender, alteration or compromise, and shall not be subject to any
defense or setoff, counterclaim, recoupment or termination whatsoever by reason
of the invalidity, illegality or unenforceability of the Obligations or Parent
Borrower Guaranteed Obligations, as applicable, or otherwise.  Without limiting the generality of the
foregoing, the obligations of each Guarantor hereunder shall not be discharged
or impaired or otherwise affected by (i) the failure of the Collateral Agent or
any other Secured Party to assert any claim or demand or to enforce any right
or remedy under the provisions of any Loan Document or otherwise, (ii) any
rescission, waiver, amendment or modification of, or any release from any of
the terms or provisions of, any Loan Document (other than pursuant to the terms
of a waiver, amendment, modification or release of this Agreement in accordance
with the terms hereof) or any other agreement, including with respect to the
release of any other Guarantor under this Agreement and so long as any such
amendment, modification or waiver of any Loan Document is made in accordance
with Section 9.08 of the Credit Agreement, (iii) the release of, or any
impairment of or failure to perfect any Lien on or security interest in, any
security held by the Collateral Agent or any other Secured Party for the Obligations
or Parent Borrower Guaranteed Obligations, as applicable, or any of them, (iv)
any default, failure or delay, willful or otherwise, in the performance of the
Obligations or Parent Borrower Guaranteed Obligations, as applicable, or (v)
any other act or omission that may or might in any manner or to any extent vary
the risk of any Guarantor or otherwise operate as a discharge of any Guarantor
as a matter of law or equity (other than the occurrence of

 

9

 

the Termination Date).  Each Guarantor expressly authorizes the
Collateral Agent, in accordance with the Credit Agreement and applicable law,
to take and hold security for the payment and performance of the Obligations or
Parent Borrower Guaranteed Obligations, as applicable, to exchange, waive or
release any or all such security (with or without consideration), to enforce or
apply such security and direct the order and manner of any sale thereof in its
sole discretion or to release or substitute any one or more other guarantors or
obligors upon or in respect of the Obligations (other than the Parent Borrower
Guaranteed Obligations), all without affecting the obligations of any Guarantor
hereunder.

 

(b)           To the fullest extent permitted by
applicable law, each Guarantor waives any defense (other than payment of the
Obligations or Parent Borrower Guaranteed Obligations, as applicable (other
than contingent obligations), in full) based on or arising out of any defense
of either Borrower or any other Loan Party or the unenforceability of the
Obligations or Parent Borrower Guaranteed Obligations, as applicable, or any
part thereof from any cause, or the cessation from any cause of the liability
of the Borrowers or any other Loan Party, other than the occurrence of the
Termination Date.  The Collateral Agent
and the other Secured Parties may, in accordance with the Credit Agreement and
applicable law, at their election, foreclose on any security held by one or
more of them by one or more judicial or nonjudicial sales, accept an assignment
of any such security in lieu of foreclosure, compromise or adjust any part of
the Obligations or Parent Borrower Guaranteed Obligations, as applicable, make
any other accommodation with either Borrower or any other Loan Party or
exercise any other right or remedy available to them against either Borrower or
any other Loan Party, without affecting or impairing in any way the liability
of any Guarantor hereunder except to the extent the Termination Date has
occurred.  To the fullest extent
permitted by applicable law, each Guarantor waives any defense arising out of
any such election even though such election operates, pursuant to applicable
law, to impair or to extinguish any right of reimbursement or subrogation or
other right or remedy of such Guarantor against either Borrower or any other
Loan Party, as the case may be, or any security.

 

SECTION
2.04.               Reinstatement. 
Each Guarantor agrees that its guarantee hereunder shall continue to be
effective or be reinstated, as the case may be, if at any time payment, or any
part thereof, of any Obligation or Parent Borrower Guaranteed Obligations, as
applicable, is rescinded or must otherwise be restored by the Collateral Agent
or any other Secured Party upon the bankruptcy or reorganization of either
Borrower, any other Loan Party or otherwise, notwithstanding the occurrence of
the Termination Date.

 

SECTION
2.05.               Agreement
To Pay; Subrogation.  In furtherance of the foregoing and not in limitation of any
other right that the Collateral Agent or any other Secured Party has at law or
in equity against any Guarantor by virtue hereof, upon the failure of either
Borrower or any other Loan Party to pay any Obligation or Parent Borrower
Guaranteed Obligation, as applicable, when and as the same shall become due and
payable, whether at maturity, by acceleration, after notice of prepayment or otherwise,
each Guarantor hereby promises to and will promptly pay, or cause to be paid,
to the Collateral Agent for distribution to the Secured Parties in cash the
amount of such unpaid Obligation or Parent Borrower Guaranteed Obligation, as
applicable (in each case, other than payment of any contingent obligations).  Upon payment by any Guarantor of any sums to
the Collateral Agent as provided above, all rights of such Guarantor

 

10

 

against any Borrower
or any other Guarantor arising as a result thereof by way of right of
subrogation, contribution, reimbursement, indemnity or otherwise shall in all
respects be subject to Article VI.

 

SECTION
2.06.               Information. 
Each Guarantor assumes all responsibility for being and keeping itself
reasonably informed of each Borrower’s and each other Loan Party’s financial
condition and assets and of all other circumstances bearing upon the risk of
nonpayment of the Obligations or Parent Borrower Guaranteed Obligations, as
applicable, and the nature, scope and extent of the risks that such Guarantor
assumes and incurs hereunder, and agrees that neither the Collateral Agent nor
any other Secured Party will have any duty to advise such Guarantor of
information known to it or any of them regarding such circumstances or risks.

 

ARTICLE III

 

Security Interests in Personal Property

 

SECTION
3.01.               Security
Interest.

 

(a)           As security for the payment or
performance, as the case may be, in full of the Obligations (other than contingent
obligations), each Grantor hereby pledges to the Collateral Agent, its
successors and permitted assigns, for the ratable benefit of the Secured
Parties, and hereby grants to the Collateral Agent, its successors and
permitted assigns, for the ratable benefit of the Secured Parties, a security
interest (the “Security Interest”) in all right, title or interest in or
to any and all of the following assets and properties now owned or at any time
hereafter acquired by such Grantor or in which such Grantor now has or at any
time in the future may acquire any right, title or interest (but excluding any
Excluded Collateral, collectively, the “Collateral”):

 

(i)            all
Accounts;

 

(ii)           the Cash Collateral Account and all cash, securities,
Instruments and other property deposited or required to be deposited therein;

 

(iii)          all Chattel Paper;

 

(iv)          all Documents;

 

(v)           all Equipment;

 

(vi)          all General Intangibles;

 

(vii)         all Goods;

 

(viii)        all Instruments;

 

(ix)           all Inventory;

 

(x)            all Investment Property;

 

11

 

(xi)           all Intellectual Property;

 

(xii)          all Pledged Collateral;

 

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

 

(xiv)        all Supporting Obligations;

 

(xv)         all cash and cash equivalents and Deposit Accounts, and

 

(xvi)        to the extent not otherwise included, all Proceeds and
products of any and all of the foregoing and all collateral security and
guarantees given by any person with respect to any of the foregoing.

 

Notwithstanding the foregoing, in no event
shall any control agreements be required to be obtained in respect thereof.

 

(b)           Each Grantor hereby authorizes the
Collateral Agent at any time and from time to time to file in any relevant jurisdiction
any financing statements (including fixture filings) with respect to the
Collateral or any part thereof and amendments thereto that (i) indicate the
Collateral as “all assets” of such Grantor or words of similar effect, and (ii)
contain the information required by Article 9 of the Uniform Commercial Code of
each applicable jurisdiction for the filing of any financing statement or
amendment, including (x) whether such Grantor is an organization, the type of
organization and any organizational identification number issued to such
Grantor and (y) in the case of a financing statement filed as a fixture filing,
a sufficient description of the real property to which such Collateral
relates.  Each Grantor agrees to provide
such information to the Collateral Agent promptly upon written request.  The Collateral Agent agrees, upon request by
the Parent Borrower and at its expense, to promptly furnish copies of such filings
to the Parent Borrower.

 

(c)           The Collateral Agent is further
authorized to file with the United States Patent and Trademark Office or United
States Copyright Office (or any successor office) such documents as may be
necessary for the purpose of perfecting, confirming, continuing, enforcing or
protecting the Security Interest granted by each Grantor, without the signature
of any Grantor, and naming any Grantor or the Grantors as debtors and the
Collateral Agent as secured party.  The
Collateral Agent agrees, upon request by the Parent Borrower and at its
expense, to promptly furnish copies of such filings to the Parent Borrower.

 

(d)           The Security Interest is granted as
security only and, except as otherwise required by applicable law, shall not
subject the Collateral Agent or any other Secured Party to, or in any way alter
or modify, any obligation or liability of any Grantor with respect to or
arising out of the Collateral.  Nothing
contained in this Agreement shall be construed to make the Collateral Agent or
any other Secured Party liable as a member of any limited liability company or
as a partner of any partnership, neither the Collateral Agent nor any other
Secured Party by virtue of this Agreement or otherwise (except as referred to
in the following sentence) shall have any of the duties, obligations or
liabilities of a member of any limited liability company or as a partner in any
partnership.  The parties hereto
expressly agree that, unless the Collateral Agent

 

12

 

shall become the owner of
Pledged Collateral consisting of a limited liability company interest or a
partnership interest pursuant hereto, this Agreement shall not be construed as
creating a partnership or joint venture among the Collateral Agent, any other
Secured Party, any Grantor and/or any other Person.

 

SECTION
3.02.               Representations
and Warranties.  Each Grantor represents and warrants to the
Collateral Agent and the Secured Parties that:

 

(a)           Each Grantor has
good and valid rights in and title to the Collateral with respect to which it
has purported to grant a Security Interest hereunder and has full power and
authority to grant to the Collateral Agent, for the ratable benefit of the
Secured Parties, the Security Interest in such Collateral pursuant hereto and
to execute, deliver and perform its obligations in accordance with the terms of
this Agreement.

 

(b)           (i)Uniform
Commercial Code financing statements (including fixture filings, as applicable)
or other appropriate filings, recordings or registrations containing a
description of the Collateral have been prepared by the Collateral Agent based
upon the information provided to the Collateral Agent and the Secured Parties
by the Grantors for filing in each governmental, municipal or other office
specified on Schedule IV hereof (or specified by notice from the Parent
Borrower to the Collateral Agent after the Closing Date in the case of filings,
recordings or registrations required by Section 5.09 of the Credit Agreement),
which are all the filings, recordings and registrations (other than filings
required to be made in the United States Patent and Trademark Office and the
United States Copyright Office in order to perfect the Security Interest in the
Collateral consisting of United States Patents, Trademarks and Copyrights) that
are necessary as of the Closing Date (or after the Closing Date, in the case of
filings, recordings or registrations required by Section 5.09 of the Credit
Agreement) to publish notice of and protect the validity of and to establish a
legal, valid and perfected security interest in favor of the Collateral Agent
(for the ratable benefit of the Secured Parties) in respect of all Collateral
in which the Security Interest may be perfected by filing, recording or
registration in the United States (or any political subdivision thereof) and
its territories and possessions, and no further or subsequent filing, refiling,
recording, rerecording, registration or reregistration is necessary in any such
jurisdiction, except as provided under applicable law with respect to the
filing of continuation statements.  (ii)
Notwithstanding the foregoing, each Grantor represents and warrants that a
fully executed agreement in the form hereof or, alternatively, each applicable
short form security agreement in the form attached to the Credit Agreement as
Exhibits F-1, F-2 and F-3, and containing a description of all Collateral
consisting of Intellectual Property that is material to the conduct of such
Grantor’s business with respect to United States Patents and United States
federally registered Trademarks (and Trademarks for which United States federal
registration applications are pending) and United States federally registered
Copyrights has been or will be delivered to the Collateral Agent for recording
by the United States Patent and Trademark Office and the United States
Copyright Office pursuant to 35 U.S.C. § 261, 15 U.S.C. § 1060 or 17
U.S.C. § 205 and the regulations thereunder, as applicable to protect the
validity of and to establish a legal, valid and perfected security interest in
favor of the Collateral Agent) in respect of all such Collateral in which a
security interest may be perfected by 

 

13

 

filing, recording or registration in the
United States, and no further or subsequent filing, refiling, recording,
rerecording, registration or reregistration is necessary (other than filings
described in Section 3.02(b)(i), and other than such actions as are necessary
to perfect the Security Interest with respect to any Collateral consisting of
United States Patents, United States federally registered Trademarks and United
States federally registered Copyrights (and applications therefor) that are
material to the conduct of such Grantor’s business and that are acquired or
developed after the date hereof).

 

(c)           The Security
Interest constitutes (i) a legal and valid security interest in all Collateral
securing the payment and performance of the Obligations, (ii) subject to the filings
described in Section 3.02(b), a perfected security interest in all
Collateral in which a security interest may be perfected by filing, recording
or registering a financing statement or analogous document in the United States
(or any state thereof) pursuant to the Uniform Commercial Code and (iii)
subject to the filings described in Section 3.02(b), a security interest
that shall be perfected in all Collateral in which a security interest may be
perfected upon the receipt and recording of this Agreement (or the applicable
short form security agreement) with the United States Patent and Trademark
Office and the United States Copyright Office, as applicable, within the three
(3) month period (commencing as of the date hereof) pursuant to 35 U.S.C. § 261
or 15 U.S.C. § 1060 or the one month period (commencing as of the date hereof)
pursuant to 17 U.S.C. § 205.  The
Security Interest is and shall be prior to any other Lien on any of the
Collateral, other than Permitted Liens.

 

(d)           Schedule II
correctly sets forth as of the Closing Date the percentage of the issued and
outstanding shares or units of each class of the Equity Interests of the issuer
thereof represented by the Pledged Stock and includes all Equity Interests,
debt securities and promissory notes required to be pledged hereunder.

 

(e)           The Pledged Stock
and Pledged Debt Securities have been duly and validly authorized and issued by
the issuers thereof and (i) in the case of Pledged Stock issued by a
corporation, are fully paid and nonassessable and (ii) in the case of Pledged
Debt Securities, are legal, valid and binding obligations of the issuers
thereof, subject to applicable bankruptcy, insolvency, reorganization,
moratorium or other loss affecting creditors’ rights generally and general
principles of equity or at law.

 

(f)            Schedule V
correctly sets forth as of the Closing Date (i) the exact legal name of each
Grantor, as such name appears in its respective certificate or articles of incorporation
or formation, (ii) the jurisdiction of organization of each Grantor, (iii) the
mailing address of each Grantor, (iv) the organizational identification number,
if any, issued by the jurisdiction of organization of each Grantor, (v) the
identity or type of organization of each Grantor and (vi) the Federal Taxpayer
Identification Number, if any, of each Grantor which is a Loan Party.  The Parent Borrower agrees to update the information
required pursuant to the preceding sentence as provided in Section 5.06 of
the Credit Agreement.

 

(g)           The Collateral is
owned by the Grantors free and clear of any Lien, except for Permitted Liens.

 

14

 

(h)           Notwithstanding the
foregoing or anything else in this Agreement to the contrary, no
representation, warranty or covenant is made with respect to the creation or
perfection of a security interest in (i) Collateral consisting of Intellectual
Property that is not material to the conduct of the Grantor’s business, and
(ii) Collateral to the extent such creation or perfection would require
(A) any filing other than a filing in the United States or America, any
state thereof and the District of Columbia or (B) other action under the
laws of any jurisdiction other than the United States of America, any state
thereof and the District of Columbia.

 

(i)            Each Grantor
represents and warrants that the Trademarks, Patents and Copyrights listed on Schedule
III include all United States federal registrations and pending
applications for Trademarks, Patents and Copyrights, all as in effect as of the
date hereof, that such Grantor owns and that are material to the conduct of its
business as of the date hereof.

 

SECTION
3.03.               Covenants.

 

(a)           Subject to Section 3.02(h),
each Grantor shall, at its own expense, take all commercially reasonable
actions necessary to defend title to the Collateral against all persons and to
defend the Security Interest of the Collateral Agent in the Collateral and the
priority thereof against any Lien which does not constitute a Permitted Lien.

 

(b)           Subject to Section 3.02(h),
each Grantor agrees, upon written request by the Collateral Agent and at its
own expense, to execute, acknowledge, deliver and cause to be duly filed all
such further instruments and documents and take all such actions as the
Collateral Agent may from time to time reasonably deem necessary to obtain, preserve,
protect and perfect the Security Interest and the rights and remedies created
hereby, including the payment of any fees and Taxes required in connection with
the execution and delivery of this Agreement, the granting of the Security
Interest and the filing of any financing or continuation statements (including
fixture filings) or other documents in connection herewith or therewith; provided
that in no event shall any control agreements be required.

 

(c)           At its option, but only following 5
Business Days’ written notice to each Grantor of its intent to do so, the Collateral
Agent may discharge past due Taxes, assessments, charges, fees or Liens at any
time levied or placed on the Collateral which do not constitute a Permitted
Lien, and may pay for the maintenance and preservation of the Collateral to the
extent any Grantor fails to do so as required by the Credit Agreement, and each
Grantor agrees to reimburse the Collateral Agent within 30 days after written
demand for any reasonable out-of-pocket payment made or any reasonable
out-of-pocket expense incurred by the Collateral Agent pursuant to the
foregoing authorization; provided, however, that nothing in this
paragraph shall be interpreted as excusing any Grantor from the performance of,
or imposing any obligation on the Collateral Agent or any Secured Party to cure
or perform, any covenants or other promises of any Grantor with respect to
Taxes, assessments, charges, fees or Liens and maintenance as set forth herein
or in the other Loan Documents.

 

15

 

(d)           Each Grantor shall remain liable to
observe and perform all conditions and obligations to be observed and performed
by it under each contract, agreement or instrument relating to the Collateral,
all in accordance with the terms and conditions thereof.

 

SECTION
3.04.               Other
Actions.  In order to further ensure the attachment,
perfection and priority of, and the ability of the Collateral Agent to enforce,
the Security Interest in the Collateral, each Grantor agrees, in each case at
such Grantor’s own expense, to take the following actions with respect to the
following Collateral:

 

(a)           Instruments.  Upon the occurrence and during the
continuation of an Event of Default, if any Grantor shall at any time hold or
acquire any Instruments in excess of $3,000,000 individually, such Grantor
shall promptly endorse, assign and deliver the same to the Collateral Agent,
accompanied by such undated instruments of endorsement, transfer or assignment
duly executed in blank as the Collateral Agent may from time to time reasonably
specify.

 

(b)           Investment
Property.  Subject to the
terms hereof, if any Grantor shall at any time hold or acquire any Certificated
Securities, to the extent the same do not constitute Excluded Collateral, such
Grantor shall promptly endorse, assign and deliver the same to the Collateral
Agent, accompanied by such undated instruments of transfer or assignment duly
executed in blank as the Collateral Agent may from time to time reasonably
specify.  Each delivery of Pledged
Securities shall be accompanied by a schedule describing the securities, which
schedule shall be attached hereto as Schedule II and made a part hereof
and supplement any prior schedule so delivered; provided that failure to
attach any such schedule hereto shall not affect the validity of such pledge of
such Pledged Securities and shall not in and of itself result in any Default or
Event of Default.  Each certificate
representing an interest in any limited liability company or limited
partnership controlled by any Grantor and pledged under Section 3.01
shall be physically delivered to the Collateral Agent in accordance with the
terms of the Credit Agreement and endorsed to the Collateral Agent or endorsed
in blank.

 

(c)           Security
Interests in Property of Account Debtors.  If at any time any Grantor shall take a
security interest in any property of an Account Debtor or any other Person the
value of which equals or exceeds $5,000,000 to secure payment and performance
of an Account, such Grantor shall promptly assign such security interest to the
Collateral Agent for the benefit of the Secured Parties.  Such assignment need not be filed of public
record unless necessary to continue the perfected status of the security
interest against creditors of and transferees from the Account Debtor or other
Person granting the security interest.

 

SECTION
3.05.               Voting
Rights; Dividends and Interest, Etc.  Unless and until an Event of
Default shall have occurred and be continuing and, except in the case of a Bankruptcy
Default, the Collateral Agent shall have given the Grantors prior written
notice of its intent to exercise its rights under this Agreement:

 

(a)           Each Grantor shall
be entitled to exercise any and all voting and/or other consensual rights and
powers inuring to an owner of the Pledged Collateral or any part

 

16

 

thereof for any purpose consistent with the
terms of this Agreement, the Credit Agreement and the other Loan Documents and
applicable law and no notice of any such voting or exercise of any consensual
rights and powers need be given to the Collateral Agent.

 

(b)           The Collateral Agent
shall promptly execute and deliver to each Grantor, or cause to be executed and
delivered to each Grantor, all such proxies, powers of attorney and other
instruments as such Grantor may reasonably request for the purpose of enabling
such Grantor to exercise the voting and/or consensual rights and powers it is
entitled to exercise pursuant to paragraph (a) above.

 

(c)           Each Grantor shall
be entitled to receive and retain any and all dividends, interest, principal
and other distributions paid on or distributed in respect of the Pledged
Collateral to the extent and only to the extent that such dividends, interest,
principal and other distributions are not prohibited by, and otherwise paid or
distributed in accordance with, the terms and conditions of the Credit
Agreement, the other Loan Documents and applicable law; provided that
any noncash dividends, interest, principal or other distributions that would
constitute Pledged Collateral shall be and become part of the Pledged
Collateral, and, if received by any Grantor, shall be held in trust for the
benefit of the Collateral Agent and the Secured Parties and shall be delivered
to the Collateral Agent in the same form as so received (with any necessary
endorsement reasonably requested by the Collateral Agent) on or prior to the
later to occur of (i) 30 days following the receipt thereof and (ii) the
earlier of the date of the required delivery of the Pricing Certificate
following the receipt of such items and the date which is 45 days after the end
of the most recently ended fiscal quarter (or such longer period as to which
the Collateral Agent may consent).

 

SECTION
3.06.               Additional
Covenants Regarding Patent, Trademark and Copyright Collateral.

 

(a)           Except as could not reasonably be
expected to have a Material Adverse Effect, each Grantor agrees that it will
not do any act, or omit to do any act, whereby any Patent that is material to
the conduct of such Grantor’s business may become invalidated or dedicated to
the public, other than the expiration of such Patent at the end of its natural
term, subject to such Grantor’s reasonable business judgment.

 

(b)           Except as could not reasonably be
expected to have a Material Adverse Effect, each Grantor (either itself or
through its licensees or its sublicensees) will, for each registered Trademark
that is material to the conduct of such Grantor’s business, use commercially
reasonable efforts to maintain such Trademark registration in full force free
from any legally binding determination of abandonment or invalidity of such
Trademark registration due to nonuse, subject to such Grantor’s reasonable
business judgment.

 

(c)           Except to the extent failure to act
could not reasonably be expected to have a Material Adverse Effect, and subject
to each Grantor’s reasonable business judgment, each Grantor will take all
reasonable and necessary steps that are consistent with the practice in any
proceeding before the United States Patent and Trademark Office, and the United
States Copyright Office, to maintain and pursue each material application relating
to the Patents,

 

17

 

Trademarks and/or Copyrights
(and to obtain the relevant grant or registration) and to maintain each issued
Patent and each registration of the Trademarks and Copyrights that is material
to the conduct of any Grantor’s business, including timely filings of applications
for renewal, affidavits of use, affidavits of incontestability and payment of
maintenance fees, and, if consistent with good business judgment, to initiate
opposition, interference and cancellation proceedings against third parties.

 

(d)           Each Grantor agrees that, should it
obtain an ownership interest in any Intellectual Property (other than any Excluded
Collateral) after the Closing Date, to the extent that such Intellectual
Property would be a part of the Collateral under the terms of this Agreement
had it been owned by such Grantor as of the Closing Date, (“After-Acquired
Intellectual Property”), (i) the provisions of this Agreement shall
automatically apply thereto, and (ii) any such After-Acquired Intellectual
Property and, in the case of Trademarks, the goodwill symbolized thereby shall
automatically become part of the Collateral, subject to the terms and conditions
of this Agreement.  Within 90 days after
the end of each calendar year (or such longer period as to which the Collateral
Agent may consent), the relevant Grantor shall sign and deliver to the Collateral
Agent an appropriate Intellectual Property Security Agreement with respect to
all applicable United States federally registered (or application for United
States federally registered) After-Acquired Intellectual Property owned by it
as of the last day of applicable fiscal quarter, to the extent that such
Intellectual Property becomes part of the Collateral and to the extent that it
is not covered by any previous Intellectual Property Security Agreement so
signed and delivered by it.

 

ARTICLE IV

 

Remedies

 

SECTION
4.01.               Pledged
Collateral.

 

(a)           Upon the occurrence and during the
continuance of an Event of Default and with prior written notice to the Parent
Borrower, the Collateral Agent, on behalf of the Secured Parties, shall have
the right (in its sole and absolute discretion) to hold the Pledged Securities
in its own name as pledgee, the name of its nominee (as pledgee or as
sub-agent) or the name of the applicable Grantor, endorsed or assigned in blank
or in favor of the Collateral Agent. 
Upon the occurrence and during the continuance of an Event of Default
and with prior written notice to the relevant Grantor, the Collateral Agent
shall at all times have the right to exchange the certificates representing any
Pledged Securities for certificates of smaller or larger denominations for any
purpose consistent with this Agreement.

 

(b)           Upon the occurrence and during the
continuance of an Event of Default, after the Collateral Agent shall have notified
the Parent Borrower in writing of the suspension of their rights under
paragraph (c) of Section 3.05, then all rights of any Grantor to
dividends, interest, principal or other distributions that such Grantor is
authorized to receive pursuant to paragraph (c) of Section 3.05 shall
cease, and all such rights shall thereupon become vested in the Collateral
Agent, which shall have the sole and exclusive right and authority to receive
and retain such dividends, interest, principal or other distributions.  All dividends, interest, principal or other
distributions received by any Grantor contrary to the provisions of Section
3.05 shall be held in trust for the benefit of the Collateral Agent, shall
be segregated from other property or

 

18

 

funds of such Grantor and shall
be promptly delivered to the Collateral Agent upon written demand in the same
form as so received (with any necessary endorsement or instrument of assignment).  Any and all money and other property paid
over to or received by the Collateral Agent pursuant to the provisions of this
paragraph (b) shall be retained by the Collateral Agent in an account to be
established by the Collateral Agent upon receipt of such money or other property
and shall be applied in accordance with the provisions of Section 4.03.  After all Events of Default have been cured
or waived, the Collateral Agent shall promptly repay to each applicable Grantor
(without interest) all dividends, interest, principal or other distributions
that such Grantor would otherwise be permitted to retain pursuant to the terms
of paragraph (c) of Section 3.05 and that remain in such account.

 

(c)           Upon the occurrence and during the
continuance of an Event of Default and with prior written notice to the Parent
Borrower, all rights of any Grantor to exercise the voting and consensual
rights and powers it is entitled to exercise pursuant to paragraph (a) of Section
3.05, and the obligations of the Collateral Agent under paragraph (b) of Section
3.05, shall cease, and all such rights shall thereupon become vested in the
Collateral Agent, which shall have the sole and exclusive right and authority
to exercise such voting and consensual rights and powers; provided, however,
that, unless otherwise directed by the Required Lenders, the Collateral Agent
shall have the right from time to time following and during the continuance of
an Event of Default and the provision of the notice referred to above to permit
the Grantors to exercise such rights.  To
the extent the notice referred to in the first sentence of this paragraph (c)
has been given, after all Events of Default have been cured or waived, each
Grantor shall have the exclusive right to exercise the voting and/or consensual
rights and powers that such Grantor would otherwise be entitled to exercise
pursuant to the terms of paragraph (a) of Section 3.05, and the
Collateral Agent shall again have the obligations under paragraph (b) of Section
3.05.

 

(d)           Notwithstanding anything to the contrary
contained in this Section 4.01, if a Bankruptcy Default shall have occurred
and be continuing, the Collateral Agent shall not be required to give any
notice referred to in Section 3.05 or this Section 4.01 in order
to exercise any of its rights described in said Sections, and the suspension of
the rights of each of the Grantors under said Sections shall be automatic upon
the occurrence of such Bankruptcy Default.

 

SECTION
4.02.               Uniform
Commercial Code and Other Remedies.  Upon the occurrence and during the
continuance of an Event of Default, each Grantor agrees to deliver each item of
Collateral to the Collateral Agent on written demand, and it is agreed that the
Collateral Agent shall have the right to take any of or all the following
actions at the same or different times: 
(a) with respect to any Collateral consisting of Intellectual Property,
on written demand, to cause the Security Interest to become an assignment,
transfer and conveyance of any of or all such 
Collateral by the applicable Grantor to the Collateral Agent, or to
license or sublicense, whether general, special or otherwise, and whether on an
exclusive or nonexclusive basis, any such 
Collateral throughout the world on such terms and conditions and in such
manner as the Collateral Agent shall determine (other than in violation of any
then-existing licensing arrangements), (b) to withdraw any and all cash or
other Collateral from the Cash Collateral Account and to apply such cash and
other Collateral to the payment of any and all Obligations in the manner
provided in Section 4.03, (c) with or without legal process and with or
without prior notice or demand for performance, to take possession of the
Collateral without breach of the

 

19

 

peace, and subject
to the terms of any related lease agreement, to enter any premises where
the  Collateral may be located for the purpose
of taking possession of or removing the Collateral, and (d) generally, to
exercise any and all rights afforded to a secured party under the Uniform Commercial
Code or other applicable law.  Without
limiting the generality of the foregoing, each Grantor agrees that the
Collateral Agent shall have the right, subject to the mandatory requirements of
applicable law, to sell or otherwise dispose of all or any part of the Collateral
at a public or private sale or at any broker’s board or on any securities
exchange upon such commercially reasonable terms and conditions as it may deem
necessary, for cash, upon credit or for future delivery as the Collateral Agent
shall deem appropriate.  The Collateral
Agent shall be authorized at any such sale (if it deems it necessary to do so)
to restrict the prospective bidders or purchasers to persons who will represent
and agree that they are purchasing the Collateral for their own account for
investment and not with a view to the distribution or sale thereof, and upon
consummation of any such sale the Collateral Agent shall have the right to
assign, transfer and deliver to the purchaser or purchasers thereof the
Collateral so sold.  Each such purchaser
at any such sale shall hold the property sold absolutely, free from any claim
or right on the part of any Grantor, and each Grantor hereby waives (to the
extent permitted by law) all rights of redemption, stay and appraisal which
such Grantor now has or may at any time in the future have under any rule of
law or statute now existing or hereafter enacted.

 

The Collateral Agent shall give
each applicable Grantor 10 days’ written notice (which each Grantor agrees is
reasonable notice within the meaning of Section 9-611 of the New York UCC or
its equivalent in other jurisdictions) of the Collateral Agent’s intention to
make any sale of Collateral.  Such
notice, in the case of a public sale, shall state the time and place for such
sale and, in the case of a sale at a broker’s board or on a securities exchange,
shall state the board or exchange at which such sale is to be made and the day
on which the Collateral, or portion thereof, will first be offered for sale at
such board or exchange.  Any such public
sale shall be held at such time or times within ordinary business hours and at
such place or places as the Collateral Agent may fix and state in the notice
(if any) of such sale.  At any such sale,
the Collateral, or portion thereof, to be sold may be sold in one lot as an entirety
or in separate parcels, as the Collateral Agent may (in its sole and absolute
discretion) determine.  The Collateral
Agent shall not be obligated to make any sale of any Collateral if it shall
determine not to do so, regardless of the fact that notice of sale of such Collateral
shall have been given.  The Collateral
Agent may, without notice or publication, adjourn any public or private sale or
cause the same to be adjourned from time to time by announcement at the time
and place fixed for sale, and such sale may, without further notice, be made at
the time and place to which the same was so adjourned.  In case any sale of all or any part of the
Collateral is made on credit or for future delivery, the Collateral so sold may
be retained by the Collateral Agent until the sale price is paid by the purchaser
or purchasers thereof, but the Collateral Agent shall not incur any liability
in case any such purchaser or purchasers shall fail to take up and pay for the
Collateral so sold and, in case of any such failure, such Collateral may be
sold again upon like notice.  At any public
(or, to the extent permitted by law, private) sale made pursuant to this
Agreement, any Secured Party may bid for or purchase, free (to the extent
permitted by applicable law) from any right of redemption, stay, valuation or appraisal
on the part of any Grantor (all said rights being also hereby waived and
released to the extent permitted by applicable law), the Collateral or any part
thereof offered for sale and may make payment on account thereof by using any
claim then due and payable to such Secured Party from any Grantor as a credit
against the purchase price, and such Secured

 

20

 

Party may,
upon compliance with the terms of sale, hold, retain and dispose of such
property without further accountability to any Grantor therefor.  For purposes hereof, a written agreement to
purchase the Collateral or any portion thereof shall be treated as a sale
thereof; the Collateral Agent shall be free to carry out such sale pursuant to
such agreement and no Grantor shall be entitled to the return of the Collateral
or any portion thereof subject thereto, notwithstanding the fact that after the
Collateral Agent shall have entered into such an agreement all Events of
Default shall have been remedied and the Obligations (other than contingent
obligations) paid in full.  As an
alternative to exercising the power of sale herein conferred upon it, the
Collateral Agent may proceed by a suit or suits at law or in equity to
foreclose this Agreement and to sell the Collateral or any portion thereof
pursuant to a judgment or decree of a court or courts having competent jurisdiction
or pursuant to a proceeding by a court-appointed receiver.

 

Until the Termination Date,
each Grantor irrevocably makes, constitutes and appoints the Collateral Agent
(and all officers, employees or agents designated in writing by the Collateral
Agent) as such Grantor’s true and lawful agent (and attorney-in-fact) for the
purpose, upon the occurrence and during the continuance of an Event of Default,
of making, settling and adjusting claims in respect of Collateral under
policies of insurance, endorsing the name of such Grantor on any check, draft,
instrument or other item of payment for the proceeds of such policies of insurance
and for making all determinations and decisions with respect thereto.  Upon the occurrence and during the
continuance of an Event of Default, in the event that any Grantor at any time
or times shall fail to obtain or maintain any of the policies of insurance
required under the Credit Agreement or to pay any premium in whole or part
relating thereto, the Collateral Agent may upon prior written notice to such
Grantor, without waiving or releasing any obligation or liability of any
Grantor hereunder or any Default or Event of Default, in its sole discretion, obtain
and maintain such policies of insurance and pay such premium and take any other
actions with respect thereto as the Collateral Agent deems necessary.  All sums disbursed by the Collateral Agent in
connection with this paragraph, including attorneys’ fees, court costs, expenses
and other charges relating thereto, shall be payable, upon written demand as
provided in Section 9.05 of the Credit Agreement, by the Grantors to the
Collateral Agent and shall be additional Obligations secured hereby.

 

SECTION
4.03.               Application
of Proceeds.  If an Event of Default shall have occurred
and be continuing the Collateral Agent shall apply the proceeds of any collection,
sale, foreclosure or other realization upon any Collateral in accordance with
Section 2.17 of the Credit Agreement. 
Upon any sale of Collateral by the Collateral Agent (including pursuant
to a power of sale granted by statute or under a judicial proceeding), the
receipt of the Collateral Agent or of the officer making the sale shall be a
sufficient discharge to the purchaser or purchasers of the Collateral so sold
and such purchaser or purchasers shall not be obligated to see to the application
of any part of the purchase money paid over to the Collateral Agent or such
officer or be answerable in any way for the misapplication thereof.

 

SECTION
4.04.               Grant
of License to Use Intellectual Property.  For the purpose of
enabling the Collateral Agent to exercise its rights and remedies in this
Article IV at such time as the Collateral Agent shall be lawfully entitled to
exercise such rights and remedies, each Grantor hereby grants to the Collateral
Agent (until the termination of this Agreement and subject to Section 7.14) an
irrevocable nonexclusive license (exercisable without payment of royalty

 

21

 

or other
compensation to the Grantors), subject in all respects to any Licenses to use,
license or sublicense any of the Collateral consisting of know how, Patents,
Copyrights and Trademarks, now owned or hereafter acquired by such Grantor, and
wherever the same may be located, and including in such license access to all
media in which any of the licensed items may be recorded or stored and to all
computer software and programs used for the compilation or printout
thereof.  The use of such license by the
Collateral Agent may be exercised, at the option of the Collateral Agent, only
upon the occurrence and during the continuation of an Event of Default; provided,
however, that any license or sublicense entered into by the Collateral
Agent with a third party in accordance with this Section 4.04 shall be binding
upon each Grantor notwithstanding any subsequent cure of an Event of Default,
except to the extent that such license or sublicense would invalidate or render
unenforceable any such Grantor’s Intellectual Property.

 

SECTION
4.05.               Securities
Act, Etc.  In view of the position of the Grantors in
relation to the Pledged Collateral, or because of other current or future
circumstances, a question may arise under the U.S. Securities Act of 1933, as
now or hereafter in effect, or any similar statute hereafter enacted analogous
in purpose or effect (such Act and any such similar statute as from time to
time in effect being called the “Federal Securities Laws”) with respect
to any disposition of the Pledged Collateral permitted hereunder.  Each Grantor understands that compliance with
the Federal Securities Laws might very strictly limit the course of conduct of
the Collateral Agent if the Collateral Agent were to attempt to dispose of all
or any part of the Pledged Collateral, and might also limit the extent to which
or the manner in which any subsequent transferee of any Pledged Collateral
could dispose of the same.  Similarly,
there may be other legal restrictions or limitations affecting the Collateral
Agent in any attempt to dispose of all or part of the Pledged Collateral under
applicable “blue sky” or other state securities laws or similar laws analogous
in purpose or effect.  Each Grantor recognizes
that to the extent such restrictions and limitations apply to any proposed sale
of Pledged Collateral, the Collateral Agent may, with respect to any sale of
such Pledged Collateral, limit the purchasers to those who will agree, among
other things, to acquire such Pledged Collateral for their own account, for
investment, and not with a view to the distribution or resale thereof.  Each Grantor acknowledges and agrees that to
the extent such restrictions and limitations apply to any proposed sale of
Pledged Collateral, the Collateral Agent, in its sole and absolute discretion
(a) may proceed to make such a sale whether or not a registration statement for
the purpose of registering such Pledged Collateral or part thereof shall have
been filed under the Federal Securities Laws and (b) may approach and negotiate
with a limited number of potential purchasers (including a single potential
purchaser) to effect such sale.  Each
Grantor acknowledges and agrees that any such sale might result in prices and
other terms less favorable to the seller than if such sale were a public sale
without such restrictions. In the event of any such sale, the Collateral Agent
shall incur no responsibility or liability for selling all or any part of the
Pledged Collateral at a price that the Collateral Agent, in its sole and
absolute discretion, may in good faith deem reasonable under the circumstances,
notwithstanding the possibility that a substantially higher price might have
been realized if the sale were deferred until after registration as aforesaid
or if more than a limited number of purchasers (or a single purchaser) were approached.  The provisions of this Section 4.05
will apply notwithstanding the existence of a public or private market upon
which the quotations or sales prices may exceed substantially the price at
which the Collateral Agent sells.

 

22

 

ARTICLE V

 

Indemnity, Subrogation and Subordination

 

SECTION
5.01.               Indemnity
and Subrogation.  In addition to all such rights of indemnity
and subrogation as the Guarantors may have under applicable law (but subject to
Section 5.03), the applicable Borrowers agree that (a) in the event a
payment shall be made by any Guarantor under this Agreement, the applicable
Borrowers shall indemnify such Guarantor for the full amount of such payment
and such Guarantor shall be subrogated to the rights of the person to whom such
payment shall have been made to the extent of such payment and (b) in the event
any assets of any Guarantor shall be sold pursuant to this Agreement or any
other Security Document to satisfy in whole or in part a claim of any Secured Party,
the Borrowers shall indemnify such Guarantor in an amount equal to the greater
of the book value or the fair market value of the assets so sold.

 

SECTION
5.02.               Contribution
and Subrogation.  Each Guarantor (a “Contributing Guarantor”)
agrees (subject to Section 5.03) that, in the event a payment shall be
made by any other Guarantor hereunder in respect of any Obligation or Parent
Borrower Guaranteed Obligations, as applicable, or assets of any other
Guarantor shall be sold pursuant to any Security Document to satisfy any Obligation
or Parent Borrower Guaranteed Obligations, as applicable, owed to any Secured
Party, and such other Guarantor (the “Claiming Guarantor”) shall not
have been fully indemnified by a Borrower as provided in Section 5.01,
the Contributing Guarantor shall indemnify the Claiming Guarantor in an amount
equal to (i) the amount of such payment or (ii) the greater of the book value
or the fair market value of such assets, as the case may be, in each case
multiplied by a fraction of which the numerator shall be the net worth of the
Contributing Guarantor on the date hereof and the denominator shall be the
aggregate net worth of all the Guarantors on the date hereof (or, in the case
of any Guarantor becoming a party hereto pursuant to Section 7.16, the
date of the supplement hereto executed and delivered by such Guarantor).  Any Contributing Guarantor making any payment
to a Claiming Guarantor pursuant to this Section 5.02 shall be
subrogated to the rights of such Claiming Guarantor under Section 5.01
to the extent of such payment.

 

SECTION
5.03.               Subordination. 
Notwithstanding any provision of this Agreement to the contrary, all
rights of the Guarantors under Sections 5.01 and 5.02 and all
other rights of indemnity, contribution or subrogation under applicable law or
otherwise shall be fully subordinated to the Loan Document Obligations until
the Termination Date; provided, that if any amount shall be paid to such
Grantor on account of such subrogation rights at any time prior to the Termination
Date, such amount shall be held in trust for the benefit of the Secured Parties
and shall promptly be paid to the Collateral Agent to be credited and applied
against the Obligations or Parent Borrower Guaranteed Obligations, as
applicable, whether matured or unmatured, in accordance with Section 4.03.  No failure on the part of a Borrower or any
Guarantor to make the payments required by Sections 5.01 and 5.02
(or any other payments required under applicable law or otherwise) shall in any
respect limit the obligations and liabilities of any Guarantor with respect to
its obligations hereunder, and each Guarantor shall remain liable for the full
amount of its obligations hereunder.

 

23

 

ARTICLE VI

 

[RESERVED]

 

ARTICLE VII

 

Miscellaneous

 

SECTION
7.01.               Notices. 
All communications and notices hereunder shall (except as otherwise
expressly permitted herein) be in writing and given as provided in Section 9.01
of the Credit Agreement.  All communications
and notices hereunder to any Subsidiary Guarantor shall be given to it in care
of the Parent Borrower as provided in Section 9.01 of the Credit Agreement.

 

SECTION
7.02.               Survival
of Agreement.  All covenants, agreements, representations
and warranties made by the Loan Parties herein or any other Loan Document shall
be considered to have been relied upon by the Lenders and the Issuing Banks and
shall survive the making by the Lenders of any Loans and issuance of any
Letters of Credit by each Issuing Bank, regardless of any investigation made by
any Lender or Issuing Bank or on their behalf and notwithstanding that the
Collateral Agent, any Issuing Bank or any Lender may have had notice or actual
knowledge of any Default at the time of any Credit Event, and shall continue in
full force and effect until the Termination Date.

 

SECTION
7.03.               Binding
Effect; Several Agreement.  This Agreement shall become effective when it
shall have been executed by the Loan Parties and the Collateral Agent and when the
Collateral Agent shall have received counterparts hereof which, when taken
together, bear the signatures of each of the other parties hereto.  This Agreement shall be construed as a
separate agreement with respect to each Loan Party and may be amended,
modified, supplemented, waived or released with respect to any Loan Party
without the approval of any other Loan Party and without affecting the obligations
of any other Loan Party hereunder.

 

SECTION
7.04.               Successors
and Assigns.  Whenever in
this Agreement any of the parties hereto is referred to, such reference shall
be deemed to include the permitted successors and assigns of such party; and
all covenants, promises and agreements by or on behalf of any Grantor or the Collateral
Agent that are contained in this Agreement shall bind and inure to the benefit
of their respective successors and assigns.

 

SECTION
7.05.               Collateral
Agent’s Expenses; Indemnity.

 

(a)           The parties hereto agree that the
Collateral Agent shall be entitled to reimbursement of its reasonable
out-of-pocket expenses incurred hereunder as provided in Section 9.05 of
the Credit Agreement.

 

(b)           Without limitation of its
indemnification obligations under the other Loan Documents, each Grantor agrees
to indemnify the Collateral Agent and the other Indemnitees as provided in
Section 9.05 of the Credit Agreement.

 

24

 

(c)           Any such amounts payable as provided
hereunder shall be additional Obligations secured hereby and by the other
Security Documents.  The provisions of
this Section 7.05 shall survive the Termination Date.

 

SECTION
7.06.               Collateral
Agent Appointed Attorney-in-Fact.  Until the Termination Date,
each Grantor hereby appoints the Collateral Agent as the attorney-in-fact of
such Grantor for the purpose of, upon the occurrence and during the continuance
of an Event of Default, carrying out the provisions of this Agreement and
taking any action and executing any instrument that the Collateral Agent may
deem necessary to accomplish the purposes hereof, which appointment is
irrevocable and coupled with an interest. 
Without limiting the generality of the foregoing, the Collateral Agent
shall have the right, upon the occurrence and during the continuance of an
Event of Default, with full power of substitution either in the Collateral
Agent’s name or in the name of such Grantor (a) to receive, endorse, assign
and/or deliver any and all notes, acceptances, checks, drafts, money orders or
other evidences of payment relating to the Collateral or any part thereof, (b)
to demand, collect, receive payment of, give receipt for and give discharges
and releases of all or any of the Collateral, (c) to sign the name of any
Grantor on any invoice or bill of lading relating to any of the Collateral, (d)
to send verifications of Accounts to any Account Debtor, (e) to commence and
prosecute any and all suits, actions or proceedings at law or in equity in any
court of competent jurisdiction to collect or otherwise realize on all or any
of the Collateral or to enforce any rights in respect of any Collateral, (f) to
settle, compromise, compound, adjust or defend any actions, suits or
proceedings relating to all or any of the Collateral, (g) to notify, or to
require any Grantor to notify, Account Debtors to make payment directly to the
Collateral Agent or the Cash Collateral Account, and (h) to use, sell, assign,
transfer, pledge, make any agreement with respect to or otherwise deal with all
or any of the Collateral, and to do all other acts and things necessary to carry
out the purposes of this Agreement in accordance with its terms, as fully and
completely as though the Collateral Agent were the absolute owner of the Collateral
for all purposes; provided, however, that nothing herein
contained shall be construed as requiring or obligating the Collateral Agent to
make any commitment or to make any inquiry as to the nature or sufficiency of
any payment received by the Collateral Agent, or to present or file any claim
or notice, or to take any action with respect to the Collateral or any part
thereof or the moneys due or to become due in respect thereof or any property
covered thereby.  The Collateral Agent
and the Secured Parties shall be accountable only for amounts actually received
as a result of the exercise of the powers granted to them herein, and neither
they nor their officers, directors, employees or agents shall be responsible to
any Grantor for any act or failure to act hereunder, except for their own gross
negligence, willful misconduct, fraud or bad faith.  The foregoing powers of attorney being
coupled with an interest, are irrevocable until the Security Interest shall
have terminated in accordance with the terms hereof.

 

SECTION
7.07.               Applicable
Law.  THIS AGREEMENT (OTHER THAN LETTERS OF CREDIT
AND AS EXPRESSLY SET FORTH IN OTHER LOAN DOCUMENTS) SHALL BE CONSTRUED IN
ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.  EACH LETTER OF CREDIT SHALL BE GOVERNED BY,
AND SHALL BE CONSTRUED IN ACCORDANCE WITH, THE LAWS OR RULES DESIGNATED IN SUCH
LETTER OF CREDIT, OR IF NO SUCH LAWS OR RULES ARE DESIGNATED, THE UNIFORM
CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS MOST RECENTLY PUBLISHED AND IN EFFECT,
ON THE DATE

 

25

 

SUCH LETTER OF
CREDIT WAS ISSUED, BY THE INTERNATIONAL CHAMBER OF COMMERCE (THE “UNIFORM
CUSTOMS”) AND, AS TO MATTERS NOT GOVERNED BY THE UNIFORM CUSTOMS, THE LAWS
OF THE STATE OF NEW YORK.

 

SECTION 7.08.              Waivers; Amendment.

 

(a)           No failure or delay by the Collateral
Agent, the Administrative Agent, any Issuing Bank or any Lender in exercising
any right or power hereunder or under any other Loan Document shall operate as
a waiver hereof or thereof, nor shall any single or partial exercise of any
such right or power, or any abandonment or discontinuance of steps to enforce
such a right or power, preclude any other or further exercise thereof or the
exercise of any other right or power. 
The rights and remedies of the Collateral Agent, the Administrative
Agent, the Issuing Banks and the Lenders hereunder and under the other Loan
Documents are cumulative and are not exclusive of any rights or remedies that
they would otherwise have.  No waiver of
this Agreement or any other Loan Document or consent to any departure by any
Loan Party therefrom shall in any event be effective unless the same shall be
permitted by paragraph (b) of this Section 7.08, and then such waiver or
consent shall be effective only in the specific instance and for the purpose
for which given.  Without limiting the
generality of the foregoing, the making of a Loan or issuance of a Letter of
Credit shall not be construed as a waiver of any Default, regardless of whether
the Collateral Agent, any Lender or any Issuing Bank may have had notice or
knowledge of such Default at the time. 
Except as otherwise provided herein, no notice or demand on any Loan
Party in any case shall entitle any Loan Party to any other or further notice
or demand in similar or other circumstances.

 

(b)           Neither this Agreement nor any
provision hereof may be waived, amended or modified except pursuant to an
agreement or agreements in writing entered into by the Collateral Agent and the
Loan Parties that are party thereto and are affected by such waiver, amendment
or modification, subject to Section 9.08 of the Credit Agreement.

 

SECTION
7.09.               WAIVER
OF JURY TRIAL.  EACH PARTY HERETO (AND EACH OTHER SECURED
PARTY BY ITS ACCEPTANCE OF THE BENEFITS HEREOF) HEREBY WAIVES, TO THE FULLEST
EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN
RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN
CONNECTION WITH THIS AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS. EACH PARTY
HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER
PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT,
IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES
THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS
AGREEMENT AND THE OTHER LOAN DOCUMENTS, AS APPLICABLE, BY, AMONG OTHER THINGS,
THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 7.09.

 

SECTION
7.10.               Severability. 
In the event any one or more of the provisions contained in this
Agreement or in any other Loan Document should be held invalid, illegal or
unenforceable in any respect, the validity, legality and enforceability of the
remaining provisions contained herein and therein shall not in any way be
affected or impaired thereby (it being understood

 

26

 

that the invalidity
of a particular provision in a particular jurisdiction shall not in and of
itself affect the validity of such provision in any other jurisdiction). The
parties shall endeavor in good-faith negotiations to replace the invalid,
illegal or unenforceable provisions with valid provisions the economic effect
of which comes as close as possible to that of the invalid, illegal or
unenforceable provisions.

 

SECTION
7.11.               Counterparts. 
This Agreement may be executed in counterparts (and by different parties
hereto on different counterparts), each of which shall constitute an original
but all of which when taken together shall constitute a single contract, and
shall become effective as provided in Section 7.03.  Delivery of an executed signature page to
this Agreement by facsimile, pdf or other electronic transmission shall be as
effective as delivery of a manually signed counterpart of this Agreement.

 

SECTION
7.12.               Headings.  Article and
Section headings and the Table of Contents used herein are for convenience of
reference only, are not part of this Agreement and are not to affect the
construction of, or to be taken into consideration in interpreting, this Agreement.

 

SECTION 7.13.             Jurisdiction; Consent to Service of
Process.

 

(a)           Each of the parties and the Secured
Parties, by their acceptance of the benefits of this Agreement hereby irrevocably
and unconditionally submits, for itself and its property, to the nonexclusive
jurisdiction of any New York State court or Federal court of the United States
of America, sitting in New York City, and any appellate court from any thereof,
in any action or proceeding arising out of or relating to this Agreement or the
other Loan Documents, or for recognition or enforcement of any judgment, and each
of the parties hereto and the Secured Parties, by their acceptance of the
benefits of this Agreement hereby irrevocably and unconditionally agrees that
all claims in respect of any such action or proceeding may be heard and
determined in such New York State or, to the extent permitted by law, in such
Federal court.  Each of the parties
hereto and the Secured Parties, by their acceptance of the benefits of this
Agreement agrees that a final judgment in any such action or proceeding shall
be conclusive and may be enforced in other jurisdictions by suit on the
judgment or in any other manner provided by law.  Nothing in this Agreement shall affect any
right that the Collateral Agent, the Administrative Agent, the Issuing Banks or
any Lender may otherwise have to bring any action or proceeding relating to
this Agreement or the other Loan Documents against any Grantor or its
properties in the courts of any jurisdiction.

 

(b)           Each of the parties hereto and the
Secured Parties, by their acceptance of the benefits of this Agreement hereby
irrevocably and unconditionally waives, to the fullest extent it may legally
and effectively do so, any objection which it may now or hereafter have to the
laying of venue of any suit, action or proceeding arising out of or relating to
this Agreement or the other Loan Documents in any New York State or Federal
court.  Each of the parties hereto and
the Secured Parties, by their acceptance of the benefits of this Agreement
hereby irrevocably waives, to the fullest extent permitted by law, the defense
of an inconvenient forum to the maintenance of such action or proceeding in any
such court.

 

27

 

(c)           Each party hereto and the Secured
Parties, by their acceptance of the benefits of this Agreement irrevocably consents
to service of process in the manner provided for notices in Section 8.01.  Nothing in this Agreement will affect the
right of any party to this Agreement to serve process in any other manner
permitted by law.

 

SECTION
7.14.               Termination
or Release.

 

(a)           This Agreement, the Guarantees made
herein, the Security Interest, the pledge of the Pledged Collateral and all
other security interests granted hereby (including, without limitation, the
licenses granted by the Grantors and the Collateral Agents pursuant to Section
4.04) shall automatically terminate on the Termination Date (other than to the
extent any funds are on deposit in the Cash Collateral Account in respect of
any L/C Backstop, in which case, the Security Interest in such Cash Collateral
Account shall continue until released by the relevant Issuing Bank).

 

(b)           Any Guarantor shall automatically be
released from its obligations hereunder and the Security Interests created
hereunder in the Collateral of such Guarantor shall be automatically released
upon the consummation of any transaction permitted by the Credit Agreement
(including, without limitation, in connection with the Foreign Subsidiary
Reorganization) as a result of which such Guarantor ceases to be a Loan Party.

 

(c)           Upon any sale or other transfer by
any Grantor of any Collateral that is permitted under the Credit Agreement (including,
without limitation, in connection with the Foreign Subsidiary Reorganization)
to any person that is not a Borrower or a Grantor, or, upon the effectiveness
of any written consent to the release of the Security Interest granted hereby
in any Collateral pursuant to Section 9.08 of the Credit Agreement, the
Security Interest in such Collateral shall be automatically released, and the
licenses granted by the Grantors and the Collateral Agent pursuant to Section
4.04 shall be automatically terminated.

 

(d)           In connection with any termination or
release pursuant to paragraph (a), (b) or (c) above, the Collateral Agent shall
promptly execute and deliver to any Grantor, at such Grantor’s expense, all
Uniform Commercial Code termination statements and similar documents that such
Grantor shall reasonably request to evidence such termination or release.  Any execution and delivery of documents pursuant
to this Section 7.14 shall be without recourse to or representation or
warranty by the Collateral Agent (other than any representation and warranty
that the Collateral Agent has the authority to execute and deliver such documents)
or any Secured Party.  Without limiting
the provisions of Section 7.05, the Borrowers shall reimburse the
Collateral Agent upon written demand for all reasonable out-of-pocket costs and
expenses, including the fees, charges and expenses of counsel, incurred by it
in connection with any action contemplated by this Section 7.14 as
provided in Section 9.05 of the Credit Agreement.

 

(e)           At any time that the respective
Grantor desires that the Collateral Agent take any action described in preceding
paragraph (d) above, it shall, upon the reasonable request of the Collateral
Agent, deliver to the Collateral Agent an officer’s certificate certifying that
the release of the respective Collateral is permitted pursuant to paragraph
(a), (b) or (c).  The Collateral Agent
shall have no liability whatsoever to any Secured Party as the result of any
release of

 

28

 

Collateral by it as permitted
(or which the Collateral Agent in good faith believes to be permitted) by this Section
7.14.

 

SECTION
7.15.               [RESERVED].

 

SECTION
7.16.               Additional
Subsidiaries.  Pursuant to Section 5.09 of the Credit
Agreement, each wholly owned Restricted Subsidiary (other than a Foreign
Subsidiary, an Excluded Subsidiary, or a Domestic Subsidiary that is a
disregarded entity for United States federal income tax purposes owned by a
non-disregarded non-United States entity) that was not in existence or not a
subsidiary on the Closing Date is required to enter into this Agreement as a
Subsidiary Guarantor and a Grantor upon becoming such a subsidiary.  Upon execution and delivery by the Collateral
Agent and such subsidiary of a supplement in the form of Exhibit A
hereto, such subsidiary shall become a Subsidiary Guarantor and a Grantor
hereunder with the same force and effect as if originally named as a Subsidiary
Guarantor and a Grantor herein.  The
execution and delivery of any such instrument shall not require the consent of
any other Loan Party hereunder.  The
rights and obligations of each Loan Party hereunder shall remain in full force
and effect notwithstanding the addition of any new Loan Party as a party to
this Agreement.

 

SECTION
7.17.               Security
Interest and Obligations Absolute

 

.  Subject to Section 7.14 hereof, all
rights of the Collateral Agent hereunder, the Security Interest, the grant of a
security interest in the Pledged Collateral and all obligations of each Grantor
hereunder shall be absolute and unconditional irrespective of (a) any lack of
validity or enforceability of the Credit Agreement, any other Loan Document,
any agreement with respect to any of the Obligations or any other agreement or
instrument relating to any of the foregoing, (b) any change in the time, manner
or place of payment of, or in any other term of, all or any of the Obligations,
or any other amendment or waiver of or any consent to any departure from the
Credit Agreement, any other Loan Document, or any other agreement or instrument
(so long as the same are made in accordance with the terms of Section 9.08 of
the Credit Agreement), (c) any exchange, release or non-perfection of any Lien
on other collateral, or any release or amendment or waiver of or consent under
or departure from any guarantee, securing or guaranteeing all or any of the
Obligations or (d) any other circumstance that might otherwise constitute a
defense available to, or a discharge of, any Grantor in respect of the
Obligations or this Agreement.

 

SECTION
7.18.               Effectiveness
of Merger.  Upon the consummation of the Merger, the
Company shall succeed to all the rights and obligations of Merger Sub under
this Agreement, without any further action by any Person.

 

SECTION
7.19.               Obligations
of the Foreign Subsidiary Borrowers.  Notwithstanding anything
contained herein or in the other Loan Documents to the contrary, none of the
Foreign Subsidiary Borrowers shall be liable for any Domestic Obligations, and
none of the Collateral pledged by any Foreign Subsidiary Borrower shall secure
any Domestic Obligations.  In addition,
any insurance proceeds from any Collateral pledged by any Foreign Subsidiary
Borrower shall not be available to secure any Domestic Obligations.

 

[Remainder of page intentionally left blank]

 

29

 

IN WITNESS WHEREOF, the parties
hereto have duly executed this Agreement as of the day and year first above
written.

 

	
   

  	
  VWR INVESTORS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  VARIETAL DISTRIBUTION MERGER SUB,

  INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

 

CDRV INVESTORS, INC.

HEREBY ABSOLUTELY, IRREVOCABLY

AND UNCONDITIONALLY ASSUMES ALL

OBLIGATIONS OF VARIETAL

DISTRIBUTION MERGER SUB, INC.

UNDER THIS AGREEMENT.

 

	
  CDRV
  INVESTORS, INC.

  
	
   

  
	
   

  
	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  

 

[SIGNATURE PAGE TO GUARANTEE AND COLLATERAL AGREEMENT]

 

 

	
   

  	
  VWR INTERNATIONAL, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  VWR MANAGEMENT SERVICES LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  VWR International, Inc.

  	
   

  
	
   

  	
  Its: Sole Member

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  VWR, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  WARD’S NATURAL SCIENCE

  ESTABLISHMENT, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  SCIENCE KIT, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
					

 

 

	
   

  	
  BANK OF AMERICA, N.A., as Collateral Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

 

Schedule I to the

Guarantee and

Collateral Agreement

 

SUBSIDIARY GUARANTORS

 

 

Schedule II to the

Guarantee and

Collateral Agreement

 

EQUITY INTERESTS

 

	
  Issuer

  	
   

  	
  Number of

  Certificate

  	
   

  	
  Registered

  Owner

  	
   

  	
  Number and

  Class of

  Equity Interest

  	
   

  	
  Percentage

  of Equity

  Interests

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

PLEDGED DEBT SECURITIES

 

	
  Issuer

  	
   

  	
  Principal Amount

  	
   

  	
  Date of Note

  	
   

  	
  Maturity Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

Schedule III to the

Guarantee and

Collateral Agreement

 

U.S. COPYRIGHTS OWNED BY GRANTOR

 

U.S. Copyright Registrations

 

	
  Title

  	
   

  	
  Reg. No.

  	
   

  	
  Author

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

Pending U.S. Copyright Applications for Registration

 

	
  Title

  	
   

  	
  Author

  	
   

  	
  Class

  	
   

  	
  Date Filed

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

III-1

 

PATENTS OWNED BY GRANTORS

 

U.S. Patents

 

	
  Patent No.

  	
   

  	
  Issue Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  

 

U.S. Patent Applications

 

	
  Patent Application No.

  	
   

  	
  Filing Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  

 

III-2

 

TRADEMARK/TRADE NAMES OWNED BY GRANTORS

 

U.S. Trademark Registrations

 

	
  Mark

  	
   

  	
  Reg. Date

  	
   

  	
  Reg. No.

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

U.S. Trademark Applications

 

	
  Mark

  	
   

  	
  Filing Date

  	
   

  	
  Application No.

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

III-3

 

Schedule IV to the

Guarantee and

Collateral Agreement

 

UCC FILING OFFICES

 

 

Schedule V to the

Guarantee and

Collateral Agreement

 

SCHEDULE V

 

UCC INFORMATION

 

 

Exhibit A to the

Guarantee and

Collateral Agreement

 

SUPPLEMENT NO. [•] (this “Supplement”)
dated as of [•], to
the Guarantee and Collateral Agreement dated as of June 29, 2007 (the “Guarantee
and Collateral Agreement”), among VWR INVESTORS, INC., a Delaware corporation
(“Intermediate Holdco”), VARIETAL DISTRIBUTION MERGER SUB., INC., a
Delaware corporation (“Merger Sub”) to be merged with and into CDRV INVESTORS,
INC. (the “Company”), each subsidiary of the Parent Borrower from time
to time party thereto (each such subsidiary individually a “Subsidiary
Guarantor” and collectively, the “Subsidiary Guarantors”; the
Subsidiary Guarantors, the Borrowers and Intermediate Holdco are referred to
collectively herein as the “Grantors”) and BANK OF AMERICA, N.A., as
collateral agent (in such capacity, the “Collateral Agent”) for the
Secured Parties (as defined therein).

 

A.            Reference is made to the Credit Agreement dated as of
June 29, 2007 (as amended, restated, amended and restated, supplemented or
otherwise modified from time to time, the “Credit Agreement”), among the
Borrowers, the lenders from time to time party thereto (the “Lenders”),
and Bank of America, N.A., as administrative agent for the Lenders and as Collateral
Agent.

 

B.            Capitalized terms used herein and not otherwise defined
herein shall have the meanings assigned to such terms in the Credit Agreement
or the Guarantee and Collateral Agreement referred to therein, as applicable.

 

C.            The Grantors have entered into the Guarantee and
Collateral Agreement in order to induce the Lenders to make Loans and the
Issuing Banks to issue Letters of Credit. 
Section 7.16 of the Guarantee and Collateral Agreement provides
that certain additional Restricted Subsidiaries of the Borrowers may become
Subsidiary Guarantors and Grantors under the Guarantee and Collateral Agreement
by execution and delivery of an instrument in the form of this Supplement.  The undersigned subsidiary (the “New
Subsidiary”) is executing this Supplement in accordance with the
requirements of the Credit Agreement to become a Subsidiary Guarantor and a
Grantor under the Guarantee and Collateral Agreement in order to induce the
Lenders to make additional Loans and the Issuing Banks to issue additional
Letters of Credit as consideration for Loans previously made and Letters of
Credit previously issued, to induce the Hedge Creditors to enter into and/or
maintain Hedging Obligations and to induce the Cash Management Creditors to
enter into and/or maintain Cash Management Obligations with one or more Loan
Parties with one or more Loan Parties.

 

Accordingly, the Collateral
Agent and the New Subsidiary agree as follows:

 

 

SECTION 1.  In accordance with Section 7.16 of the
Guarantee and Collateral Agreement, the New Subsidiary by its signature below
becomes a Grantor and Subsidiary Guarantor under the Guarantee and Collateral
Agreement with the same force and effect as if originally named therein as a
Grantor and Subsidiary Guarantor and the New Subsidiary hereby (a) agrees to
all the terms and provisions of the Guarantee and Collateral Agreement
applicable to it as a Grantor and Subsidiary Guarantor thereunder and (b)
represents and warrants that the representations and warranties made by it as a
Grantor and Subsidiary Guarantor thereunder are true and correct in all
material respects on and as of the date hereof (for this purpose, as though
references therein to the Closing Date were to the date hereof).  In furtherance of the foregoing, the New
Subsidiary, as security for the payment and performance in full of the
Obligations (as defined in the Guarantee and Collateral Agreement), does hereby
create and grant to the Collateral Agent, its successors and permitted assigns,
for the ratable benefit of the Secured Parties, their successors and permitted
assigns, a security interest in and lien on all of the New Subsidiary’s right,
title and interest in and to the Collateral (as defined in the Guarantee and
Collateral Agreement) of the New Subsidiary. 
Each reference to a “Grantor” or a “Subsidiary Guarantor” in the
Guarantee and Collateral Agreement shall be deemed to include the New
Subsidiary.  The Guarantee and Collateral
Agreement is hereby incorporated herein by reference.

 

SECTION 2.  The New Subsidiary represents and warrants to
the Collateral Agent and the other Secured Parties that this Supplement has
been duly authorized, executed and delivered by it and constitutes its legal,
valid and binding obligation, enforceable against it in accordance with its
terms except as the enforceability thereof may be limited by bankruptcy, insolvency
or other similar laws relating to the enforcement of creditors’ rights
generally and by general equitable principles.

 

SECTION 3.  This Supplement may be executed in
counterparts (and by different parties hereto on different counterparts), each
of which shall constitute an original, but all of which when taken together
shall constitute a single contract. This Supplement shall become effective when
the Collateral Agent shall have received counterparts of this Supplement that,
when taken together, bear the signatures of the New Subsidiary and the
Collateral Agent.  Delivery of an
executed signature page to this Supplement by facsimile, pdf or other electronic
transmission shall be as effective as delivery of a manually signed counterpart
of this Supplement.

 

SECTION 4.  The New Subsidiary hereby represents and
warrants to the Collateral Agent and the Secured Parties that as of the date
hereof (a) Schedule I attached hereto correctly sets forth (i) any and
all Equity Interests and Pledged Debt Securities now owned by the New
Subsidiary and (ii) any and all Intellectual Property now owned by the New
Subsidiary and (b) set forth under its signature hereto, is the exact legal
name (as such name appears on its certificate or articles of incorporation or
formation) of the New Subsidiary and its jurisdiction of organization.

 

SECTION 5.  Except as expressly supplemented hereby, the
Guarantee and Collateral Agreement shall remain in full force and effect.

 

SECTION
6.  THIS SUPPLEMENT SHALL BE GOVERNED BY,
AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW

 

A-2

 

YORK (WITHOUT
GIVING EFFECT TO THE CONFLICTS OF LAWS PRINCIPLES THEREOF).

 

SECTION 7.  In case any one or more of the provisions
contained in this Supplement should be held invalid, illegal or unenforceable
in any respect, the validity, legality and enforceability of the remaining
provisions contained herein and in the Guarantee and Collateral Agreement shall
not in any way be affected or impaired thereby (it being understood that the
invalidity of a particular provision in a particular jurisdiction shall not in
and of itself affect the validity of such provision in any other jurisdiction).
The parties hereto shall endeavor in good-faith negotiations to replace the
invalid, illegal or unenforceable provisions with valid provisions the economic
effect of which comes as close as possible to that of the invalid, illegal or
unenforceable provisions.

 

SECTION 8.  All communications and notices hereunder
shall (except as otherwise expressly permitted by the Guarantee and Collateral
Agreement) be in writing and given as provided in Section 9.01 of the Credit
Agreement. All communications and notices hereunder to the New Subsidiary shall
be given to it in care of the Borrowers as provided in Section 9.01 of the
Credit Agreement.

 

SECTION 9.  The New Subsidiary agrees to reimburse the
Collateral Agent for its reasonable out-of-pocket expenses in connection with
this Supplement as provided in Section 9.05 of the Credit Agreement.

 

A-3

 

 

IN WITNESS WHEREOF, the New
Subsidiary and the Collateral Agent have duly executed this Supplement to the
Guarantee and Collateral Agreement as of the day and year first above written.

 

	
   

  	
  [NAME OF NEW SUBSIDIARY],

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
  Address:

  
	
   

  	
   

  	
  Legal Name:

  
	
   

  	
   

  	
  Jurisdiction of Formation:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  BANK OF AMERICA, N.A., as Collateral Agent,

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
					

 

A-4

 

Schedule I to the

Supplement to Guarantee 

and Collateral Agreement

 

Collateral of the New Subsidiary

 

EQUITY INTERESTS

	
  Issuer

  	
   

  	
  Number of

  Certificate

  	
   

  	
  Registered

  Owner

  	
   

  	
  Number and

  Class of

  Equity Interest

  	
   

  	
  Percentage

  of Equity

  Interests

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

PLEDGED DEBT SECURITIES

 

	
  Issuer

  	
   

  	
  Principal Amount

  	
   

  	
  Date of Note

  	
   

  	
  Maturity Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

PLEDGED DEBT SECURITIES

 

[Follow format of Schedule III to the

Guarantee and Collateral Agreement.]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}]]