Document:

Exhibit 10(a) to The Valspar Corporation Form 10-Q dated July 30, 1994

Exhibit 10(a) 

364-DAY 

REVOLVING CREDIT AGREEMENT

dated as of 

May 21, 2004

between 

THE VALSPAR CORPORATION 

and 

BARCLAYS BANK PLC 

€28,000,000 

TABLE OF CONTENTS 

			Page

	ARTICLE I
DEFINITIONS 
	 
	SECTION 1.01.	 	Defined Terms	 	1	 
	SECTION 1.02.	 	Terms Generally	 	9 
	SECTION 1.03. 		Accounting Terms; GAAP 		10	 
	 
	ARTICLE II
THE CREDITS 
	 
	SECTION 2.01. 		Commitment 		10 
	SECTION 2.02. 		Loans and Borrowings 		10 
	SECTION 2.03. 		Requests for Borrowings 		10 
	SECTION 2.04. 		Funding of Borrowings 		11 
	SECTION 2.05. 		Termination and Reduction of Commitment 		11 
	SECTION 2.06. 		Repayment of Loans; Evidence of Debt 		11 
	SECTION 2.07. 		Prepayment of Loans 		11 
	SECTION 2.08. 		Fee 		12 
	SECTION 2.09. 		Interest 		12 
	SECTION 2.10. 		Increased Costs 		13 
	SECTION 2.11. 		Break Funding Payments 		14 
	SECTION 2.12. 		Taxes 		14 
	SECTION 2.13. 		Payments 		15 
	SECTION 2.14. 		Illegality 		15 
	 
	ARTICLE III
REPRESENTATIONS AND WARRANTIES 
	 
	SECTION 3.01. 		Corporate Existence and Power 		15 
	SECTION 3.02. 		Corporate and Governmental Authorization; No Contravention 		16 
	SECTION 3.03. 		Binding Effect 		16 
	SECTION 3.04. 		Financial Information 		16 
	SECTION 3.05. 		No Litigation 		16 
	SECTION 3.06. 		Compliance with ERISA 		16 
	SECTION 3.07. 		Compliance with Laws; Payment of Taxes 		17 
	SECTION 3.08. 		Subsidiaries 		17 
	SECTION 3.09. 		Investment Company Act		17 
	SECTION 3.10. 		Public Utility Holding Company Act		17 
	SECTION 3.11. 		Ownership of Property; Liens		17 
	SECTION 3.12. 		No Default		17 
	SECTION 3.13. 		Full Disclosure		17 
	SECTION 3.14. 		Environmental Matters		18 
	SECTION 3.15. 		Capital Stock		18 
	SECTION 3.16. 		Margin Stock		18 
	SECTION 3.17. 		Insolvency		18 

i 

TABLE OF CONTENTS 

			Page

	SECTION 3.18.	 	Pari Passu	 	19	 
	 
	ARTICLE IV
CONDITIONS 
	 
	SECTION 4.01. 		Effective Date		19 
	SECTION 4.02. 		Each Credit Event		20 
	 
	ARTICLE V
COVENANTS 
	 
	SECTION 5.01. 		Information		20 
	SECTION 5.02. 		Inspection of Property, Books and Records		21 
	SECTION 5.03. 		Ratio of Consolidated Debt to Consolidated EBITDA		22 
	SECTION 5.04. 		Minimum Shareholders’ Equity		22 
	SECTION 5.05. 		Restricted Payments		22 
	SECTION 5.06. 		Loans or Advances		22 
	SECTION 5.07. 		Acquisitions		22 
	SECTION 5.08. 		Negative Pledge		22 
	SECTION 5.09. 		Maintenance of Existence		23 
	SECTION 5.10. 		Dissolution		23 
	SECTION 5.11. 		Consolidations, Mergers and Sales of Assets		23 
	SECTION 5.12. 		Use of Proceeds		24 
	SECTION 5.13. 		Compliance with Laws; Payment of Taxes		24 
	SECTION 5.14. 		Insurance		24 
	SECTION 5.15. 		Change in Fiscal Year		24 
	SECTION 5.16. 		Maintenance of Property		24 
	SECTION 5.17. 		Environmental Notices		24 
	SECTION 5.18. 		Environmental Matters		24 
	SECTION 5.19. 		Environmental Release		25 
	SECTION 5.20. 		Transactions with Affiliates		25 
	SECTION 5.21. 		Limitation on Subsidiary Debt		25 
	SECTION 5.22. 		Pari Passu		25 
	 
	ARTICLE VI
EVENTS OF DEFAULT 
	 
	SECTION 6.01. 		Events of Default		25 
	 
	ARTICLE VII
MISCELLANEOUS 
	 
	SECTION 7.01. 		Notices		28 
	SECTION 7.02. 		Waivers; Amendments		28 
	SECTION 7.03. 		Expenses; Indemnity; Damage Waiver		28 
	SECTION 7.04. 		Successors and Assigns		29 
	SECTION 7.05. 		Survival		31 
	SECTION 7.06. 		Counterparts; Integration; Effectiveness		31 

ii 

TABLE OF CONTENTS 

			Page

	SECTION 7.07.	 	Severability	 	31 	 
	SECTION 7.08. 		Right of Setoff		31 
	SECTION 7.09. 		Governing Law; Jurisdiction; Consent to Service of Process		32 
	SECTION 7.10. 		WAIVER OF JURY TRIAL		32 
	SECTION 7.11. 		Headings		32 
	SECTION 7.12. 		Confidentiality		33 
	SECTION 7.13. 		Conversion of Currencies		33 
	SECTION 7.14. 		Interest Rate Limitation		33 
	 
	SCHEDULES: 
	 
	Schedule 3.14 		—   Environmental Matters 
	 
	EXHIBITS: 
	 
	Exhibit A 		—   Mandatory Costs 
	Exhibit B 		—   Form of Borrowing Notice 

iii 

        364-DAY REVOLVING CREDIT
AGREEMENT dated as of May 21, 2004, between THE VALSPAR CORPORATION, a Delaware corporation (the “Borrower”) and
BARCLAYS BANK PLC (the “Lender”). 

        The
Borrower has requested the Lender to extend a Commitment under which the Borrower may
obtain revolving loans in an aggregate principal amount at any time outstanding not
greater than €28,000,000. The proceeds of the Borrowings hereunder will be used for
general corporate purposes. 

        The
Lender is willing to establish the credit facility referred to in the preceding paragraph
upon 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 have the meanings
specified below:  

        “Acquisition”
means any transaction pursuant to which the Borrower or any of the Subsidiaries directly or indirectly, in its own name or by or
through a nominee or an agent (a) acquires equity Securities (or warrants, options or other rights to acquire such Securities) of
any Person other than the Borrower or a Person which is, prior to such acquisition, a Subsidiary of the Borrower, pursuant to a
solicitation of tenders therefor, or in one or more negotiated block, market or other transactions not involving a tender offer,
or a combination of any of the foregoing, or (b) makes any Person a Subsidiary of the Borrower, or causes any Person other
than a Subsidiary to be merged into the Borrower or any of its Subsidiaries, in any case pursuant to a merger, purchase of assets
or any reorganization providing for the delivery or issuance to the holders of such Person’s then outstanding Securities, in
exchange for such Securities, of cash or Securities of the Borrower or any of its Subsidiaries, or a combination thereof, or
(c) purchases all or substantially all of the business or assets of any Person or line of business or business unit (or
substantially all of the assets comprising a line of business or business unit) of any Person. 

        “Affiliate”
of any Person means (i) any other Person which directly, or indirectly through one or more intermediaries, controls such Person,
(ii) any other Person which directly, or indirectly through one or more intermediaries, is controlled by or is under common
control with such Person, or (iii) any other Person of which such Person owns, directly or indirectly, 20% or more of the common
stock or equivalent equity interests. As used herein, the term “control” means 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. 

        “Agreement
Currency” has the meaning assigned to such term in Section 7.13(b). 

        “Applicable
Creditor” has the meaning assigned to such term in Section 7.13(b). 

        “Availability
Period” means the period from and including the Effective Date to but excluding the earlier of the date falling 30 days
before the Termination Date and the date of termination of the Commitment. 

1 

        “Borrower”
has the meaning set out in the recitals hereto. 

        “Borrowing”
means Loans made or continued on the same date and to which a single Interest Period is in effect. 

        “Borrowing
Minimum” means €1,000,000.  

        “Borrowing
Multiple” means €1,000,000.  

        “Borrowing
Notice” means the notice substantially in the form of Exhibit B. 

        “Business
Day” means a day (other than a Saturday or Sunday) on which the Lender is ordinarily open to effect transactions of the
kind contemplated in this Agreement and, if a payment is to be made in Euro, on which such payment system as the Lender chooses is
operating for the transfer of funds for the same day value. 

        “Capital
Stock” means any capital stock (other than Redeemable Preferred Stock) of the Borrower or any Consolidated Subsidiary (to
the extent issued to a Person other than the Borrower), whether common or preferred. 

        “CERCLA”
means the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. §§ 9601 et seq.
and its implementing regulations and amendments. 

        “CERCLIS”
means the Comprehensive Environmental Response, Compensation and Liability Information System established pursuant to CERCLA.

        “Change in
Law” means (a) the adoption of any law, rule or regulation after the date of 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 (c) compliance by the Lender (or, for purposes of Section 2.10(b), by any lending office of the Lender or by the
Lender’s holding company, if any) with any request, guideline or directive (whether or not having the force of law) of any
Governmental Authority made or issued after the date of this Agreement. 

        “Code” means
the Internal Revenue Code of 1986, as amended, or any successor Federal tax code. Any reference to any provision of the Code shall
also be deemed to be a reference to any successor provision or provisions thereof. 

        “Commitment”
means the commitment of the Lender to make Loans pursuant to Section 2.01, as such commitment may be (a) reduced from time to
time pursuant to Section 2.05 and (b) reduced or increased from time to time pursuant to assignments by or to the Lender
pursuant to Section 7.04. The total amount of the Commitment on the date hereof is €28,000,000. 

        “Consolidated
Debt” means at any date the Debt of the Borrower and its Consolidated Subsidiaries, determined on a consolidated basis as
of such date. 

        “Consolidated
EBITDA” for any period means the sum of (i) Consolidated Net Income for such period; (ii) Consolidated Interest Expense
for such period, (iii) taxes on income of the Borrower and its Consolidated Subsidiaries for such period to the extent deducted in
determining Consolidated Net Income for such period, (iv) Depreciation for such period, (v) amortization of intangible assets of
the Borrower and its Consolidated Subsidiaries for such period and (vi) restructuring charges associated with the acquisition of
Lilly Industries Inc. by the Borrower, to the 

2 

extent such restructuring charges do not exceed an aggregate amount of
US$20,000,000. In determining Consolidated EBITDA for any period, any Consolidated Subsidiary acquired during such period by the
Borrower or any other Consolidated Subsidiary shall be included on a pro forma, historical basis as if it had been a Consolidated
Subsidiary during such entire period. 

        “Consolidated
Interest Expense” for any period means interest, whether expensed or capitalized, in respect of Debt of the Borrower or
any of its Consolidated Subsidiaries outstanding during such period. 

        “Consolidated
Net Income” means, for any period, Reported Net Income, excluding (i)
extraordinary items and (ii) any equity interests of the Borrower or any Subsidiary in the
unremitted earnings of any Person that is not a Subsidiary. 

        “Consolidated
Operating Profits” means, for any period, the Operating Profits of the Borrower
and its Consolidated Subsidiaries, determined on a consolidated basis in accordance with
GAAP. 

        “Consolidated
Subsidiary” means at any date any Subsidiary or other entity the accounts of
which, in accordance with GAAP, would be consolidated with those of the Borrower in its
consolidated financial statements as of such date. 

        “Consolidated
Total Assets” means, at any time, the Total Assets of the Borrower and its
Consolidated Subsidiaries, determined on a consolidated basis in accordance with GAAP. 

        “Controlled
Group” means all members of a controlled group of corporations and all trades or
businesses (whether or not incorporated) under common control which, together with the
Borrower, are treated as a single employer under Section 414 of the Code. 

        “Debt” of
any Person means at any date, without duplication, (i) all obligations of such Person for borrowed money, (ii) all obligations of
such Person evidenced by bonds, debentures, notes or other similar instruments, (iii) all obligations of such Person to pay the
deferred purchase price of property or services, except trade accounts payable arising in the ordinary course of business, but
only if such obligations are, in accordance with GAAP, recorded on such Person’s financial books as long-term debt, (iv) all
obligations of such Person as lessee under capital leases, (v) all obligations of such Person to reimburse any bank or other
Person in respect of amounts payable under a banker’s acceptance, (vi) all Redeemable Preferred Stock of such Person (in the
event such Person is a corporation), (vii) all obligations (absolute or contingent) of such Person to reimburse any bank or other
Person in respect of amounts paid under a letter of credit or similar instrument, (viii) all Debt of others secured by a Lien on
any asset of such Person, whether or not such Debt is assumed by such Person, (ix) all Debt of others Guaranteed by such Person,
and (x) the net obligation of such Person with respect to interest rate protection agreements, foreign currency exchange
agreements or other hedging agreements (and for purposes of this Agreement, the net amount which such Person is obligated to pay
under any such agreement upon termination of such agreement shall be deemed to constitute the principal amount of such net
obligation). 

        “Default”
means any condition or event which constitutes an Event of Default or which with the giving of notice or lapse of time or both
would, unless cured or waived in writing, become an Event of Default. 

3 

        “Depreciation”
means for any period the sum of all depreciation expenses of the Borrower and its Consolidated Subsidiaries for such period, as
determined in accordance with GAAP. 

        “Effective
Date” means the date on which the conditions specified in Section 4.01 are satisfied (or waived in accordance with
Section 7.02). 

        “EMU”
means the Economic and Monetary Union as contemplated in the Treaty establishing the European Community, as amended from time to
time. 

        “Environmental
Authority” means any Governmental Authority that exercises any form of jurisdiction or authority under any Environmental
Requirement. 

        “Environmental
Authorizations” means all licenses, permits, orders, approvals, notices,
registrations or other legal prerequisites for conducting the business of the Borrower or
any Subsidiary required by any Environmental Requirement. 

        “Environmental
Judgments and Orders” means all judgments, decrees or orders arising from or in
any way associated with any Environmental Requirement, whether or not entered upon consent
or written agreements with an Environmental Authority or other entity arising from or in
any way associated with any Environmental Requirement, whether or not incorporated in a
judgment, decree or order. 

        “Environmental
Liabilities” means any liabilities, whether accrued, contingent or otherwise,
arising from or in any way associated with any Environmental Requirement, Environmental
Judgments and Orders, Environmental Notices, Environmental Proceedings, or Environmental
Releases. 

        “Environmental
Notices” means notice from any Environmental Authority or by any other person or
entity, of alleged material noncompliance with or material liability under any
Environmental Requirement, including without limitation any complaints, citations, demands
or requests from any Environmental Authority or from any other person or entity for
correction of any violation of any Environmental Requirement or any investigations
concerning any violation of any Environmental Requirement. 

        “Environmental
Proceedings” means any judicial or administrative proceedings to which the
Borrower or any Subsidiary is a party or to which their respective properties are subject,
arising from or in any way associated with any Environmental Requirement. 

        “Environmental
Releases” means releases as defined in CERCLA or under any Environmental
Requirement. 

        “Environmental
Requirement” means any legal requirement relating to health, safety or the
environment, including but not limited to any such requirement under CERCLA or similar
state legislation and all federal, state and local laws, ordinances, regulations, orders,
writs, decrees, judgments, injunctions and common law. 

        “Equity
Interests” shall mean shares of Capital Stock, partnership interests, membership
interests in a limited liability company, beneficial interests in a trust or other equity
ownership interests in a person. 

4 

        “ERISA”
means the Employee Retirement Income Security Act of 1974, as amended from time to time,
or any successor law. Any reference to any provision of ERISA shall also be deemed to be a
reference to any successor provision or provisions thereof. 

        “Euro”
or “€” means the single currency of the participating Member States
adopted under Council Regulation (EC) No. 974/98. 

        “Event
of Default” has the meaning assigned to such term in Section 6.01. 

        “Excess
Margin Stock” means that portion, if any, of the Margin Stock owned by the
Borrower and the Subsidiaries that must be excluded from the restrictions imposed by
Section 5.08 and Section 5.11 in order for the value (determined in accordance with
Regulation U) of Margin Stock subject to such Section to account for less than 25% of the
aggregate value (as so determined) of all assets subject to such Section. 

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

        “Excluded Taxes”
means, with respect to the Lender or any other recipient of any payment to be made by or
on account of any obligation of the Borrower hereunder, (a) income or franchise taxes
(imposed in lieu of income taxes) imposed on (or measured by) its net income by the
jurisdiction under which such recipient is organized or in which its principal office is
located or in which its applicable lending office is located. 

        “Exposure”
means the aggregate principal amount of Loans. 

        “Facility
Office” means the office of the Lender set out in Section 7.01 of the Agreement
or such other office as the Lender may from time to time select. 

        “Federal
Funds Effective Rate” means, for any day, the weighted average (rounded upwards,
if necessary, to the next 1/100 of 1%) 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
(rounded upwards, if necessary, to the next 1/100 of 1%) of the quotations for such day
for such transactions received by the Lender from three Federal funds brokers of
recognized standing selected by it. 

        “Fiscal
Quarter” means any fiscal quarter of the Borrower. 

        “Fiscal Year”
means any fiscal year of the Borrower. 

        “GAAP”
means generally accepted accounting principles in the United States of America. 

        “Governmental
Authority” means the government of the United States of America or the UK, or any
nation or 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. 

5 

        “Guarantee”
by any Person means any obligation, contingent or otherwise, of such Person directly or indirectly guaranteeing any Debt or other
obligation of any other Person and, without limiting the generality of the foregoing, any obligation, direct or indirect,
contingent or otherwise, of such Person (i) to secure, purchase or pay (or advance or supply funds for the purchase or payment of)
such Debt or other obligation (whether arising by virtue of partnership arrangements, by agreement to keep-well, to purchase
assets, goods, securities or services, to provide collateral security, to take-or-pay, or to maintain financial statement
conditions or otherwise) or (ii) entered into for the purpose of assuring in any other manner the obligee of such Debt or other
obligation of the payment thereof or to protect such obligee against loss in respect thereof (in whole or in part), provided that
the term Guarantee shall not include endorsements for collection or deposit in the ordinary course of business. The term
“Guarantee” used as a verb has a corresponding meaning. 

        “Hazardous
Materials” includes, without limitation, (a) solid or hazardous waste, as defined in the Resource Conservation and
Recovery Act of 1980, 42 U.S.C. §§ 6901 et seq. and its implementing regulations and amendments, or in any
applicable state or local law or regulation, (b) any “hazardous substance”, “pollutant” or
“contaminant”, as defined in CERCLA, or in any applicable state or local law or regulation, (c) gasoline, or any
other petroleum product or by-product, including crude oil or any fraction thereof, (d) toxic substances, as defined in the Toxic
Substances Control Act of 1976, or in any applicable state or local law or regulation and (e) insecticides, fungicides, or
rodenticides, as defined in the Federal Insecticide, Fungicide, and Rodenticide Act of 1975, or in any applicable state or local
law or regulation, as each such Act, statute or regulation may be amended from time to time. 

        “Indemnified
Taxes” means Taxes other than Excluded Taxes. 

        “Interest Payment
Date” means the last day of the Interest Period applicable to the Borrowing of which such Loan is a part and, in the case
of a Borrowing with an Interest Period of more than six months’ duration, each day prior to the last day of such Interest
Period that occurs at intervals of six months’ duration after the first day of such Interest Period. 

        “Interest
Period” means the period commencing on the date of such Borrowing and ending on the numerically corresponding day in the
calendar month that is one, two, three, six, nine or twelve months (or such other duration as may be mutually agreed) thereafter,
as the Borrower may elect; provided, that (i) 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, (ii) any Interest Period
that commences on the last Business Day of a calendar month (or on a day for which there is no numerically corresponding day in
the last calendar month of such Interest Period) shall end on the last Business Day of the last calendar month of such Interest
Period and (iii) in no case shall any interest period for a Loan end after the Termination Date. 

        “Judgment
Currency” has the meaning assigned to such term in Section 7.13(b). 

        “Lien”
means, with respect to any asset, any mortgage, deed to secure debt, deed of trust, lien, pledge, charge, security interest,
security title, preferential arrangement which has the practical effect of constituting a security interest or encumbrance,
servitude or encumbrance of any kind in respect of such asset to secure or assure payment of a Debt or a Guarantee, whether by
consensual agreement or by operation of statute or other law, or by any agreement, contingent or otherwise, to provide any of the
foregoing. For the purposes of this Agreement, the Borrower or any Subsidiary shall be deemed to own subject to a Lien any asset
which it has acquired or holds subject to 

6 

the interest of a vendor or lessor under any conditional sale agreement,
capital lease (but not an operating lease) or other title retention agreement relating to such asset. 

        “Loan
Documents” means this Agreement and each promissory note delivered pursuant to this Agreement, as such documents may be
amended, modified, supplemented, or restated from time to time. 

        “Loans”
means the loans made by the Lender to the Borrower pursuant to Section 2.01 of this Agreement. 

        “Mandatory
Costs” means the percentage rate per annum calculated by the Lender in accordance with Exhibit A. 

        “Margin
Stock” means “margin stock” as defined in Regulation T, U or X of the Board of Governors of the Federal Reserve
System of the United States of America, as in effect from time to time, together with all official rulings and interpretations
issued thereunder. 

        “Material Adverse
Effect” means any event, act, condition or occurrence that, alone or in conjunction with one or more other events, acts,
conditions or occurrences, has resulted or is reasonably likely to result in a material adverse effect on (a) the financial
condition, operations, business or properties of the Borrower and the Consolidated Subsidiaries, taken as a whole, (b) the
rights and remedies of the Lender under the Loan Documents or the ability of the Borrower to perform its obligations under the
Loan Documents or (c) the legality, validity or enforceability of any Loan Document. 

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

        “Net Income”
means, as applied to any Person for any period, the aggregate amount of net income of such Person, for such period, as determined
in accordance with GAAP. 

        “Net
Proceeds of Capital Stock/Conversion of Debt” means any and all proceeds (whether
cash or non-cash) or other consideration received by the Borrower or a Consolidated
Subsidiary in respect of the issuance of Capital Stock (including, without limitation, the
aggregate amount of any and all Debt converted into Capital Stock), after deducting
therefrom all reasonable and customary costs and expenses incurred by the Borrower or such
Consolidated Subsidiary directly in connection with the issuance of such Capital Stock. 

        “Operating
Profits” means, as applied to any Person for any period, the operating income of
such Person for such period, as determined in accordance with GAAP. 

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

        “PBGC”
means the Pension Benefit Guaranty Corporation referred to and defined in ERISA and any
successor entity performing similar functions. 

        “Permitted
Acquisition” means any Acquisition (a) which is of a Person engaged in or assets
used in the same or similar line or lines of business as the Borrower or any Consolidated 

7 

Subsidiaries, and (b) if the aggregate consideration to be paid by the
Borrower or any Subsidiary in connection with such Acquisition exceeds US$100,000,000, as to which the Borrower has delivered to
the Lender a certificate of the chief financial officer, treasurer or chief accounting officer of the Borrower certifying (and, in
the case of Sections 5.03, 5.04, 5.08 and 5.11(c), including calculations evidencing) pro-forma compliance with the terms of this
Agreement after giving effect to such Acquisition. 

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

        “Plan”
means at any time an employee pension benefit plan which is covered by Title IV of ERISA
or subject to the minimum funding standards under Section 412 of the Code and which
currently is, or within the preceding five years has been, maintained or contributed to,
or to which there is or has been during such period an obligation to contribute, by the
Borrower or any member of the Controlled Group. 

        “Prepaid
Rebates” means any payment made to or credit allowed to a customer or prospective
customer of the Borrower or any Subsidiary, or to any affiliate of the customer or
prospective customer, in each case in the ordinary course of the Borrower’s or such
Subsidiary’s business and pursuant to a written agreement or purchase order, which
represents the prepayment of a rebate, price discount or price reduction on products sold
or to be sold by the Borrower or such Subsidiary to one or more customers or prospective
customers. 

        “Properties”
means all real property owned, leased or otherwise used or occupied by the Borrower or any
Subsidiary, wherever located. 

        “Quotation
Day” means, with respect to any Borrowing and any Interest Period, the day on
which quotations would ordinarily be given by the Lender in the London Interbank Market
for deposits in the currency of such Borrowing for delivery on the first day of such
Interest Period. If such quotations would ordinarily be given on more than one day, the
Quotation Day will be the last of such days. 

        “Redeemable
Preferred Stock” of any Person means any preferred stock issued by such Person
which is at any time prior to the Termination Date either (i) mandatorily redeemable (by
sinking fund or similar payments or otherwise) or (ii) redeemable at the option of the
holder thereof. 

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

        “Reported
Net Income” means, for any period, the Net Income of the Borrower and its
Consolidated Subsidiaries determined on a consolidated basis. 

        “Restricted
Payment” means (i) any dividend or other distribution on any shares of the
Borrower’s capital stock (except dividends payable solely in shares of its capital
stock) or (ii) any payment on account of the purchase, redemption, retirement or
acquisition of any shares of the Borrower’s capital stock (except shares acquired
upon the conversion thereof into other shares of its capital stock). 

8 

        “Security”
has the meaning assigned to such term in Section 2(l) of the Securities Act of 1933, as
amended. 

        “Shareholders’
Equity” means, at any time, the shareholders’ equity of the Borrower and its Consolidated Subsidiaries, as set forth
or reflected on the most recent consolidated balance sheet of the Borrower and its Consolidated Subsidiaries prepared in
accordance with GAAP, but excluding any Redeemable Preferred Stock of the Borrower or any of its Consolidated Subsidiaries.
Shareholders’ equity generally would include, but not be limited to (i) the par or stated value of all outstanding Capital
Stock, (ii) capital surplus, (iii) retained earnings, and (iv) various deductions such as (A) purchases of treasury stock, (B)
valuation allowances, (C) receivables due from an employee stock ownership plan, (D) employee stock ownership plan debt
guarantees, and (E) translation adjustments for foreign currency transactions. 

        “Sterling”
and “£” means the lawful currency of the UK. 

        “subsidiary”
means, with respect to any Person (the “parent”) at any date, any
corporation or other entity of which equity securities or other ownership interests having
ordinary voting power to elect a majority of the board of directors or other persons
performing similar functions are at the time directly or indirectly owned by the parent. 

        “Subsidiary”
means any subsidiary of the Borrower. 

        “Taxes”
means any and all present or future taxes (including any value added tax), levies,
imposts, duties, assessments, deductions, charges or withholdings of whatever nature
imposed by any Governmental Authority. 

        “Termination
Date” means the date falling 364 days from the date of this Agreement. 

        “Third
Parties” means all lessees, sublessees, licensees and other users of the
Properties, excluding those users of the Properties in the ordinary course of the
Borrower’s or any Subsidiary’s business and on a temporary basis. 

        “Total
Assets” of any Person means, at any time, the total assets of such Person, as set
forth or reflected or as should be set forth or reflected on the most recent balance sheet
of such Person, prepared in accordance with GAAP. 

        “Transactions”
means the execution, delivery and performance by the Borrower of the Loan Documents and
the borrowing of Loans. 

        “UK”
means the United Kingdom of Great Britain and Northern Ireland. 

        “US$”
means the lawful currency of the United States of America. 

        “Wholly
Owned Subsidiary” means any Subsidiary all of the shares of capital stock or
other ownership interests of which (except directors’ qualifying shares) are at the
time directly or indirectly owned by the Borrower. 

        SECTION 1.02.   Terms
Generally.   The definitions of terms herein shall apply equally to 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 

9 

word “will” shall be construed to have the same meaning and effect
as the word “shall”. Unless the context requires otherwise (a) any definition of or reference to any agreement,
instrument or other document herein shall be construed as referring to such agreement, instrument or other document as from time
to time amended, supplemented or otherwise modified (subject to any restrictions on such amendments, supplements or modifications
set forth herein), (b) any reference herein to any Person shall be construed to include such Person’s successors and
assigns, (c) the words “herein”, “hereof” and “hereunder”, and words of similar import, shall
be construed to refer to this Agreement in its entirety and not to any particular provision hereof, (d) all references herein to
Articles, Sections and Exhibits shall be construed to refer to Articles and Sections of, and Exhibits to, this Agreement, (e) the
words “asset” and “property” shall be construed to have the same meaning and effect and to refer to any and
all tangible and intangible assets and properties, including cash, securities, accounts and contract rights and (f) all references
herein to a time of the day are references to the time in London, UK. 

        SECTION
1.03.   Accounting Terms; GAAP.   Except as otherwise expressly provided herein, all terms of
an accounting or financial nature shall be construed in accordance with GAAP, as in effect from time to time; provided
that, if the Borrower notifies the Lender that the Borrower requests an amendment to any provision hereof to eliminate the effect
of any change occurring after the date hereof in GAAP or in the application thereof on the operation of such provision (or if the
Lender notifies the Borrower that it requests an amendment to any provision hereof for such purpose), regardless of whether any
such notice is given before or after such change in GAAP or in the application thereof, then such provision shall be interpreted
on the basis of GAAP as in effect and applied immediately before such change shall have become effective until such notice shall
have been withdrawn or such provision amended in accordance herewith. 

ARTICLE II 

THE CREDITS 

        SECTION
2.01.   Commitment.   (a)    Subject to the terms and conditions set forth herein,
the Lender agrees to make Loans to the Borrower from time to time during the Availability Period in Euro in amounts that will not
result in the Exposure exceeding the Commitment. 

                (b)       Within
the foregoing limits, and subject to the terms and conditions set forth herein, the Borrower may borrow, prepay and reborrow
Loans. 

        SECTION
2.02.   Loans and Borrowings.   Each Loan shall be made as part of a Borrowing. At the
commencement of each Interest Period for any Borrowing, such Borrowing shall be in an aggregate amount that is at least equal to
the Borrowing Minimum and an integral multiple of the Borrowing Multiple, except for the first Borrowing hereunder and for
subsequent Borrowings used solely to pay maturing Loans. Notwithstanding any other provision of this Agreement, the Borrower shall
not be entitled to request any Borrowing if the Interest Period requested with respect thereto would end after the Termination
Date. 

        SECTION
2.03.   Requests for Borrowings.   To request a Borrowing, the Borrower shall deliver, to
such officer of the Facility Office as the Lender may designate, a Borrowing Notice not later than 10:00 a.m., London time, three
Business Days before the date of the proposed Borrowing. Each such Borrowing Notice shall specify the information requested in
Exhibit B. If no Interest Period is specified in the Borrowing Notice with respect to any requested Borrowing, then the Borrower
shall be deemed to have selected an Interest Period of one month’s duration. 

10 

        SECTION
2.04.   Funding of Borrowings.   The Lender shall make each Loan to be made hereunder on the
proposed date thereof by crediting the amount of such Loan, to the account of the Borrower designated in the Borrowing Notice.

        SECTION
2.05.   Termination and Reduction of Commitment.   (a)   Unless previously
terminated, the Commitment shall terminate on the Termination Date. 

                (b)       The
Borrower may at any time terminate, or from time to time reduce, the Commitment; provided that (i) each reduction of
the Commitment shall be in minimal amount and in integral multiples of €1,000,000 and (ii) the Borrower shall not
terminate or reduce the Commitment if, after giving effect to any concurrent prepayment of Loans in accordance with this
Agreement, the aggregate Exposure would exceed the Commitment. 

                (c)       The
Borrower shall notify the Lender in writing of any election to terminate or reduce the Commitment under paragraph (b) of this
Section at least three Business Days prior to the effective date of such termination or reduction, specifying such election and
the effective date thereof. Each notice delivered by the Borrower pursuant to this Section shall be irrevocable. Any termination
or reduction of the Commitment shall be permanent. 

        SECTION
2.06.   Repayment of Loans; Evidence of Debt.   (a)    The Borrower hereby
unconditionally promises to pay to the Lender the then unpaid principal amount of each Loan on the last day of the Interest Period
applicable to such Loan. 

                (b)       The
Lender shall maintain, in accordance with its usual practice, an account or accounts evidencing the indebtedness of the Borrower
to the Lender resulting from each Loan made hereunder, including the amounts of principal and interest payable and paid to the
Lender from time to time hereunder and the Interest Period applicable to such Loan. 

                (c)       The
entries made in the accounts maintained pursuant to paragraph (b) of this Section shall be prima facie evidence of the existence
and amounts of the obligations recorded therein; provided that the failure of the Lender to maintain such accounts or any
error therein shall not in any manner affect the obligation of the Borrower to repay the Loans in accordance with the terms of
this Agreement. 

                (d)       The
Lender may request that Loans made by it be evidenced by a promissory note. In such event, the Borrower shall prepare, execute and
deliver to the Lender a promissory note payable to the order of the Lender (or, if requested by the Lender, to the Lender and its
assigns) and in a form approved by the Lender. Thereafter, the Loans evidenced by such promissory note and interest thereon shall
at all times (including after assignment pursuant to Section 7.04) be represented by one or more promissory notes in such form and
payable to the order of the payee named therein (or, if such promissory note is a registered note, to such payee and its
registered assigns). 

        SECTION
2.07.   Prepayment of Loans.   (a)    The Borrower shall have the right
at any time and from time to time to prepay any Borrowing in whole or in part, subject to (i) prior notice in accordance with
paragraph (c) of this Section and (ii) reimbursement of any breakage costs if prepayment occurs other than at the end of an
Interest Period. 

                (b)       In
the event and on each occasion that (i) the aggregate Exposures exceed the Commitment, the Borrower shall promptly prepay
Borrowings in an aggregate amount sufficient to eliminate such excess. 

11 

                (c)       The
Borrower shall notify the Lender by telephone (confirmed by telecopy) of any prepayment hereunder not later than 10:00 a.m.,
London time, one Business Day before the date of prepayment. Each such notice shall be irrevocable and shall specify the
prepayment date and the principal amount of each Borrowing or portion thereof to be prepaid. Each partial prepayment of any
Borrowing shall be in an amount that would be permitted in the case of an advance of a Borrowing as provided in Section 2.02. Each
prepayment of a Borrowing shall be applied ratably to the Loans included in the prepaid Borrowing. Prepayments shall be
accompanied by accrued interest to the extent required by Section 2.09. 

        SECTION
2.08.   Fee.   (a)    A non-utilization fee at the percentage rate per
annum detailed below calculated on a daily basis from the date of this Agreement on the undrawn portion of the Commitment, will be
payable by the Borrower to the Lender quarterly in arrears and on the Termination Date. All non-utilization fees shall be computed
on the basis of a year of 360 days. 

	Percentage of Loans outstanding 	 	Non-utilization percentage	 
	25% or less	 	0.165%	 
	26% – 50%	 	0.125%	 
	51% – 75%	 	0.075%	 
	› 75%	 	Nil	 

                (b)       Any
fee payable hereunder shall be paid on the dates due, in immediately available funds, to the Lender. Fees paid shall not be
refundable under any circumstances. 

        SECTION
2.09.   Interest.   (a)    Interest will accrue during each Interest
Period for a Loan at the rate determined by the Lender to be the aggregate of (i) the Lender’s margin of 0.50% per annum,
(ii) the cost to the Lender of Euro deposits (being the annual percentage rate at which Euro deposits are offered by the Lender in
the London Interbank Market on the relevant Quotation Day in an amount and for a period comparable to such Loan and such Interest
Period) and (iii) the Mandatory Costs. 

                (b)       Notwithstanding
the foregoing, if any principal of or interest on any Loan or any fee or other amount payable by any Borrower hereunder is not
paid when due, whether at stated maturity, upon acceleration or otherwise, such overdue amount shall bear interest, after as well
as before judgment, at a rate per annum equal to 1% per annum above the rate applicable under Section 2.09(a). Such interest shall
be calculated by reference to such successive default Interest Periods as the Lender may from time to time select. 

                (c)       Accrued
interest on each Loan shall be payable in arrears on each Interest Payment Date for such Loan and upon termination of the
Commitment; provided that (i) in the event of any repayment or prepayment of any Loan, accrued interest on the principal
amount repaid or prepaid shall be payable on the date of such repayment or prepayment and (ii) interest accrued pursuant to
paragraph (b) of this Section shall be payable on demand or, in the absence of demand, on the last day of the default Interest
Period in which it accrued and, if unpaid shall be compounded on the last day of that and each successive Interest Period.
Interest shall be charged and compounded on the basis set out in Section 2.09(c)(ii) both before and after any judgment obtained
under the Agreement. 

                (d)       All
interest hereunder shall be computed on the basis of a year of 360 days (or on such other basis as the Lender reasonably considers
consistent with the then applicable 

12 

market practice for facilities of this kind) and shall be payable for the
actual number of days elapsed (including the first day but excluding the last day). 

                (e)       Reference
to the cost of deposits and to the London Interbank Market shall, if such cost ceases to be market practice/ordinarily used by the
Lender for the purpose of calculating interest on facilities of this kind or such market no longer exists in comparable form, be
construed as meaning the appropriate alternative cost or source of funds as the case may be, as determined by the Lender.

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

		                (i)       impose
on or subject the Lender to any tax or mandatory contribution, or change the basis of taxation of payment to the Lender in respect
of this Agreement; or 

		                (ii)       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, the Lender; or  

		                (iii)       impose
on the Lender or the London interbank market any other condition affecting this Agreement
or Loans made by the Lender;  

and the result of any of the foregoing shall be to increase the cost to the
Lender of making or maintaining any Loan (or of maintaining its obligation to make any such Loan) or to reduce the amount of any
sum received or receivable by the Lender hereunder (whether of principal, interest or otherwise), then the Borrower will pay to
the Lender such additional amount or amounts as will compensate the Lender for such additional costs incurred or reduction
suffered. 

                (b)       If
the Lender determines that any Change in Law regarding capital requirements has or would have the effect of reducing the rate of
return on the Lender’s capital or on the capital of the Lender’s holding company, if any, as a consequence of this
Agreement or the Loans made by the Lender, to a level below that which the Lender or the Lender’s holding company could have
achieved but for such Change in Law (taking into consideration the Lender’s policies and the policies of the Lender’s
holding company with respect to capital adequacy), then from time to time the Borrower will pay to the Lender such additional
amount or amounts as will compensate the Lender or the Lender’s holding company for any such reduction suffered. In the event
Lender shall be advised by any Governmental Authority or shall otherwise determine on the basis of pronouncements of any
Governmental Authority that the Lender will be required to maintain capital against their Commitment under currently applicable
laws, regulations and regulatory guidelines, it is agreed that a Change in Law will be deemed to have occurred and the Lender will
be entitled to make claims under this paragraph based upon market requirements prevailing on the date hereof for commitments under
comparable credit facilities against which capital is required to be maintained. 

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

13 

                (d)       Failure
or delay on the part of the Lender to demand compensation pursuant to this Section shall not constitute a waiver of the
Lender’s right to demand such compensation; provided that the Borrower shall not be required to compensate the Lender
pursuant to this Section 2.10 for any increased costs or reductions incurred more than 270 days prior to the date that the Lender
notifies the Borrower of the Change in Law giving rise to such increased costs or reductions and of the Lender’s intention to
claim compensation therefore; provided further that, if the Change in Law giving rise to such increased costs or
reductions is retroactive, then the 270-day period referred to above shall be extended to include the period of retroactive effect
thereof. 

        SECTION
2.11.   Break Funding Payments.   In the event of (a) the payment of any principal of any
Loan other than on the last day of an Interest Period applicable thereto (including as a result of an Event of Default) or (b) the
failure to borrow or prepay any Loan on the date specified in any notice delivered pursuant hereto, then, in any such event, the
Borrower shall compensate the Lender for the loss, cost and expense attributable to such event including, without limitation, any
loss, cost or expense sustained or incurred by the Lender in any such event in liquidating or re-deploying funds acquired or
committed to fund, make available or maintain the Loan (or any part of it). A certificate of the Lender setting forth any amount
or amounts that the Lender is entitled to receive pursuant to this Section shall be delivered to the Borrower and shall be
conclusive absent manifest error. The Borrower shall pay the Lender the amount shown as due on any such certificate within 10 days
after receipt thereof. 

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

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

                (c)       The
Borrower shall indemnify the Lender, within 10 days after written demand therefor, for the full amount of any Indemnified
Taxes or Other Taxes paid by the Lender on or with respect to any payment by or on account of any obligation of the Borrower
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, charges, penalties and expenses arising therefrom or with respect
thereto, whether or not such Indemnified Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant
Governmental Authority. A certificate as to the amount of such payment or liability delivered to the Borrower by the Lender shall
be conclusive absent manifest error. 

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

14 

        SECTION
2.13.   Payments.   (a)    The Borrower shall make each payment required
to be made by it hereunder or under any other Loan Document (whether of principal, interest, fees, or of amounts payable under
Section 2.10, 2.11 or 2.12 or otherwise) by the end of the Facility Office’s normal operating hours and in such funds as the
Lender may specify as being customary at the time for settlement of transactions in the relevant currency in the place of payment,
on the date when due, in immediately available funds, without set-off or counterclaim. Any amounts received after such time on any
date may, in the discretion of the Lender, be deemed to have been received on the next succeeding Business Day. All such payments
shall be made to the Lender (or such other Person as the Lender may specify from time to time) to such account as it shall from
time to time specify or at such other address as the Lender shall from time to time specify in a notice delivered to the Borrower.
If any payment hereunder shall be due on a day that is not a Business Day, the date for payment shall be extended to the next
succeeding Business Day, and, in the case of any payment accruing interest, interest thereon shall be payable for the period of
such extension. Unless otherwise specified by the Lender, all payments hereunder and under each other Loan Document shall be made
in Euro. 

                (b)       If
at any time insufficient funds are received by and available to the Lender to pay fully all amounts of principal, interest and
fees then due hereunder, such funds shall be applied (i) first, towards payment of interest and fees then due hereunder, and (ii)
second, towards payment of principal then due hereunder. 

                (c)       Notwithstanding
anything to the contrary in this Agreement, the Lender, in its reasonable discretion and after consultation with the Borrower,
shall be entitled to adjust the dates for the making of payments hereunder, and the duration of Interest Periods, where in the
Lender’s opinion it is necessary to do so in order to comply with the practice from time to time prevailing in the London
Interbank Market or any other financial market relevant for the purposes of this Agreement. 

        SECTION
2.14.   Illegality.   Notwithstanding any other provision of this Agreement, in the event
that, on or after the date of this Agreement, it becomes unlawful for the Lender to honor its obligation to make, maintain or fund
its Loan hereunder, then the Lender shall promptly notify the Borrower thereof and the Lender’s obligation to make, maintain
or fund its Loan shall be suspended until the Lender shall so notify the Borrower that the circumstances giving rise to such
suspension no longer exist. If the Lender shall determine in good faith that it may not lawfully continue to make, maintain or
fund its Loan, the Borrower shall, upon the request of the Lender, prepay the outstanding amount of such Lender’s Loan,
together with accrued interest thereon, on the date so specified by such Lender. Notwithstanding Section 2.08 of this Agreement,
upon the Lender’s suspension of its obligation to make Loans hereunder pursuant to this Section 2.14, and for the duration of
such suspension, the Borrower’s obligation to pay the portion of the non-utilization fee corresponding to the portion of the
undrawn Commitment so suspended shall also be suspended. 

ARTICLE III 

REPRESENTATIONS AND
WARRANTIES 

        The
Borrower represents and warrants to the Lender that: 

        SECTION
3.01.   Corporate Existence and Power.   The Borrower is a corporation duly organized,
validly existing and in good standing under the laws of the State of Delaware, is duly qualified to transact business in every
jurisdiction where, by the nature of its business, the failure to be so qualified could have or cause a Material Adverse Effect,
and has all corporate powers and all 

15 

governmental licenses, authorizations, consents and approvals required to
carry on its business as now conducted. 

        SECTION
3.02.   Corporate and Governmental Authorization; No Contravention.   The execution, delivery
and performance by the Borrower of this Agreement and the other Loan Documents (i) are within the Borrower’s corporate
powers, (ii) have been duly authorized by all necessary corporate action, (iii) require no action by or in respect of or filing
with any governmental body, agency or official, (iv) do not contravene, or constitute a default under, any provision of applicable
law or regulation or of the certificate of incorporation or by-laws of the Borrower or any Subsidiary or of any agreement,
judgment, injunction, order, decree or other instrument binding upon the Borrower or any of its Subsidiaries, and (v) do not
result in the creation or imposition of any Lien on any asset of the Borrower or any of its Subsidiaries. 

        SECTION
3.03.   Binding Effect.   This Agreement has been duly executed and delivered and constitutes
a valid and binding agreement of the Borrower enforceable in accordance with its terms, and the other Loan Documents, when
executed and delivered in accordance with this Agreement, will constitute valid and binding obligations of the Borrower,
enforceable in accordance with their respective terms, provided that the enforceability hereof and thereof is subject in
each case to general principles of equity and to bankruptcy, insolvency and similar laws affecting the enforcement of
creditors’ rights generally. 

        SECTION
3.04.   Financial Information.   (a)    The audited balance sheet of the
Borrower and the Consolidated Subsidiaries as of October 31, 2003, and the related statements of income, shareholders’ equity
and cash flows for the Fiscal Year then ended, reported on by Ernst & Young LLP, and the unaudited balance sheets of the
Borrower and the Consolidated Subsidiaries as of January 30, 2004 and the related statements of income, shareholders’ equity
and cash flows for such Fiscal Quarter and portion of the Fiscal Year then ended, copies of all of which have been delivered to
the Lender, fairly present, in conformity with GAAP, the consolidated financial position of the Borrower and the Consolidated
Subsidiaries as of such dates and their results of operations and cash flows for such periods. 

                (b)       Since
October 31, 2003, there has been no Material Adverse Effect. 

        SECTION
3.05.   No Litigation.   There is no action, suit or proceeding pending, or to the knowledge
of the Borrower threatened, against or affecting the Borrower or any of its Subsidiaries before any court or arbitrator or any
governmental body, agency or official which could have, individually or in the aggregate, a Material Adverse Effect or which in
any manner draws into question the validity of or could impair the ability of the Borrower to perform its obligations under this
Agreement or any of the other Loan Documents. 

        SECTION
3.06.   Compliance with ERISA.   (a)    The Borrower and each member of
the Controlled Group have fulfilled their minimum funding and contribution obligations under ERISA and the Code with respect to
each Plan and are in compliance in all material respects with the presently applicable provisions of ERISA and the Code, and have
not incurred any liability to the PBGC or a Plan under Title IV of ERISA. No “reportable event” (as defined in Section
4043 of ERISA) has occurred or is expected to occur with respect to a Plan, and no other event or condition exists or is expected
to occur with respect to a Plan or an “employee benefit plan” (as defined in Section 3(3) of ERISA), which could be
expected to have a Material Adverse Effect. 

16 

                (b)       Neither
the Borrower nor any member of the Controlled Group has incurred any withdrawal liability with respect to any Multiemployer Plan
under Title IV of ERISA, and no such liability is expected to be incurred. 

        SECTION
3.07.   Compliance with Laws; Payment of Taxes.   The Borrower and the Subsidiaries are in
compliance in all material respects with all applicable laws, regulations and similar requirements of Governmental Authorities,
except where such compliance is being contested in good faith through appropriate proceedings, and where the failure to comply
would not have or cause, individually or in the aggregate, a Material Adverse Effect. There have been filed on behalf of the
Borrower and its Subsidiaries all Federal, state and local income, excise, property and other tax returns which are required to be
filed by them and all taxes due pursuant to such returns or pursuant to any assessment received by or on behalf of the Borrower or
any Subsidiary have been paid or are being contested in good faith by appropriate proceedings. The charges, accruals and reserves
on the books of the Borrower and the Subsidiaries in respect of taxes or other governmental charges are, in the opinion of the
Borrower, adequate. United States income tax returns of the Borrower and the Subsidiaries have been examined and closed through
the Fiscal Year ended October 29, 1999. 

        SECTION
3.08.   Subsidiaries.   Each of the Subsidiaries is a corporation duly organized, validly
existing and in good standing under the laws of its jurisdiction of incorporation, is duly qualified to transact business in every
jurisdiction where, by the nature of its business, such qualification is necessary, and has all corporate powers and all
governmental licenses, authorizations, consents and approvals required to carry on its business as now conducted, except where the
failure to qualify or have any such license, authorization, consent or approval would not have or cause, individually or in the
aggregate, a Material Adverse Effect. 

        SECTION
3.09.   Investment Company Act.   Neither the Borrower nor any of its Subsidiaries is an
“investment company” within the meaning of the Investment Company Act of 1940, as amended. 

        SECTION
3.10.   Public Utility Holding Company Act.   Neither the Borrower nor any of its
Subsidiaries is a “holding company”, or a “subsidiary company” of a “holding company”, or an
“affiliate” of a “holding company” or of a “subsidiary company” of a “holding company”, as
such terms are defined in the Public Utility Holding Company Act of 1935, as amended. 

        SECTION
3.11.   Ownership of Property; Liens.   Each of the Borrower and its Consolidated
Subsidiaries has title to its properties sufficient for the conduct of its business, and none of such property is subject to any
Lien except as permitted in Section 5.08. 

        SECTION
3.12.   No Default.   Neither the Borrower nor any of the Consolidated Subsidiaries is in
default under or with respect to any agreement, instrument or undertaking to which it is a party or by which it or any of its
property is bound which could have or cause, individually or in the aggregate, a Material Adverse Effect. No Default has occurred
and is continuing. 

        SECTION
3.13.   Full Disclosure.   All information heretofore furnished by the Borrower or any
Subsidiary to the Lender for purposes of or in connection with this Agreement or any transaction contemplated hereby is, and all
such information hereafter furnished by the Borrower or any Subsidiary to the Lender will be, true, accurate and complete in every
material respect or based on reasonable estimates on the date as of which such information is stated or certified. 

17 

        SECTION
3.14.   Environmental Matters.   (a)    Neither the Borrower nor any
Subsidiary is subject to, or knows any basis for, any Environmental Liability which could have or cause, individually or in the
aggregate, a Material Adverse Effect, and neither the Borrower nor any Subsidiary is, or is alleged to be, a potentially
responsible party under CERCLA or under any state statute similar to CERCLA which could have or cause, individually or in the
aggregate, a Material Adverse Effect. To the best knowledge of the Borrower, except for the matters disclosed in Schedule
3.14, none of the Properties has been identified on any current or proposed (i) National Priorities List under
40 C.F.R. § 300, (ii) CERCLIS list or (iii) any list arising from a state statute similar to CERCLA.

                (b)       Except
for the matters disclosed in Schedule 3.14, no Hazardous Materials have been or are being used, produced, manufactured,
processed, treated, recycled, generated, stored, disposed of, managed or otherwise handled at, or shipped or transported to or
from the Properties or are otherwise present at, on, in or under the Properties, or, to the best of the knowledge of the Borrower,
at or from any adjacent site or facility, except for Hazardous Materials used or otherwise handled, to the best knowledge of the
Borrower, in the ordinary course of business in compliance with all applicable Environmental Requirements, except where the
failure to comply would not have or cause, individually or in the aggregate, a Material Adverse Effect. 

                (c)       Except
for the matters disclosed in Schedule 3.14, the Borrower, and each of its Affiliates, has procured all Environmental
Authorizations necessary for the conduct of its business, and, to the best knowledge of the Borrower, is in compliance with all
Environmental Requirements, Environmental Authorizations and Environmental Judgments and Orders in connection with the operation
of the Properties and the Borrower’s, and its Affiliate’s, businesses, except where the failure to comply could not have
or cause, individually or in the aggregate, a Material Adverse Effect. 

        SECTION
3.15.   Capital Stock.   All Capital Stock, debentures, bonds, notes and all other securities
of the Borrower and its Subsidiaries presently issued and outstanding are validly and properly issued. All outstanding securities
(whether debt or equity) of the Borrower and its Subsidiaries were registered under the federal and any applicable state
securities laws or were issued in transactions which were exempt from registration under such laws; provided, that as to
any Subsidiary acquired but not created by the Borrower, the foregoing representation is made to the best of the Borrower’s
knowledge. The issued shares of Capital Stock of the Borrower’s Wholly Owned Subsidiaries are owned by the Borrower free and
clear of any Lien or adverse claim. At least a majority of the issued shares of capital stock of each of the other Subsidiaries
(other than Wholly Owned Subsidiaries) is owned by the Borrower, and all such shares owned by the Borrower are free and clear of
any Lien or adverse claim. 

        SECTION
3.16.   Margin Stock.   Neither the Borrower nor any of its Subsidiaries is engaged
principally, or as one of its important activities, in the business of purchasing or carrying any Margin Stock, and no part of the
proceeds of any Loan will be used to purchase or carry any Margin Stock or to extend credit to others for the purpose of
purchasing or carrying any Margin Stock, or be used for any purpose which violates, or which is inconsistent with, the provisions
of Regulations U or X. 

        SECTION
3.17.   Insolvency.   After giving effect to the execution and delivery of the Loan Documents
and the making of the Loans under this Agreement, the Borrower will not be “insolvent,” within the meaning of such term
as defined in Section 101 of Title 11 of the United States Code or Section 2 of the Uniform Fraudulent Transfer Act, or any other
applicable law pertaining to 

18 

fraudulent transfers, as each may be amended from time to time, or be unable
to pay its debts generally as such debts become due, or have an unreasonably small capital to engage in any business or
transaction, whether current or contemplated. 

        SECTION
3.18.   Pari Passu.   The Borrower’s payment obligations under this Agreement rank at
least pari passu with the claims of all its other unsecured and unsubordinated creditors, except for obligations mandatorily
preferred by law applying to companies generally. 

ARTICLE IV 

CONDITIONS 

        SECTION
4.01.   Effective Date.   The obligations of the Lender to make Loans hereunder shall not
become effective until the date (the “Effective Date”) on which each of the following conditions is satisfied (or
waived in accordance with Section 7.02): 

		                (a)       The
Lender (or its counsel) shall have received from either (i) a counterpart of this Agreement signed on behalf of the Borrower or
(ii) written evidence satisfactory to the Lender (which may include telecopy transmission of a signed signature page of this
Agreement) that the Borrower has signed a counterpart of this Agreement. 

		                (b)       The
Lender shall have received the favorable written opinion (addressed to the Lender and dated the Effective Date) of Lindquist &
Vennum P.L.L.P., special counsel for the Borrower, covering such other matters relating to the Borrower, this Agreement, the other
Loan Documents or the Transactions as the Lender shall reasonably request. The Borrower hereby requests such counsel to deliver
such opinion. 

		                (c)       The
Lender shall have received such documents and certificates as the Lender or its counsel may reasonably request relating to the
organization, existence and good standing of the Borrower, the authorization of the Transactions and any other legal matters
relating to the Borrower, this Agreement, the other Loan Documents or the Transactions, all in form and substance satisfactory to
the Lender and its counsel. 

		                (d)       The
Lender shall have received a certificate dated as of the Effective Date and signed by a principal financial officer of the
Borrower, as to the satisfaction on the Effective Date of the conditions set forth in clauses (a) and (b) of Section 4.02.

		                (e)       The
Lender shall have received all fees and other amounts due and payable on or prior to the Effective Date, including, to the extent
invoiced, reimbursement or payment of all out-of-pocket expenses (including fees, charges and disbursements of counsel) required
to be reimbursed or paid by the Borrower or any Subsidiary hereunder or under any other Loan Document. 

		                (f)       After
giving effect to the Transactions occurring on or prior to the Effective Date, the assets and liabilities of the Borrower and its
Subsidiaries shall be consistent in all material respects with the pro forma financial statements and projections delivered to the
Lender prior to the date hereof. 

The Lender shall notify the Borrower of the Effective Date, and such notice
shall be conclusive and binding. Notwithstanding the foregoing, the obligations of the Lender to make Loans hereunder
shall 

19 

not become effective unless each of the foregoing conditions is satisfied (or
waived pursuant to Section 7.02) on or prior to May 28, 2004 (and, in the event such conditions are not so satisfied or waived,
the Commitment shall terminate at such time). 

        SECTION
4.02.   Each Credit Event.   The obligation of the Lender to make a Loan on the occasion of
any Borrowing is subject to the satisfaction of the following conditions: 

		                (a)       The
representations and warranties of the Borrower set forth in this Agreement shall be true and correct on and as of the date of such
Borrowing. 

		                (b)       At
the time of and immediately after giving effect to such Borrowing, no Default shall have occurred and be continuing.

Each Borrowing shall be deemed to constitute a representation and warranty by
the Borrower on the date thereof as to the matters specified in paragraphs (a) and (b) of this Section. 

ARTICLE V 

COVENANTS 

        Until the Commitment has
expired or been terminated and the principal of and interest on each Loan and all fees and other amounts payable hereunder shall
have been paid in full, the Borrower covenants and agrees with the Lender that: 

        SECTION
5.01.   Information.   The Borrower will deliver to the Lender:  

		                (a)       as
soon as available and in any event within 90 days after the end of each Fiscal Year, a consolidated balance sheet of the Borrower
and its Consolidated Subsidiaries as of the end of such Fiscal Year and the related consolidated statements of income,
shareholders’ equity and cash flows for such Fiscal Year, setting forth in each case in comparative form the figures for the
previous fiscal year, all certified by Ernst & Young LLP or other independent public accountants of nationally recognized
standing, with such certification to be free of exceptions and qualifications not acceptable to the Lender; 

		                (b)       as
soon as available and in any event within 45 days after the end of each of the first three Fiscal Quarters of each Fiscal Year, a
consolidated balance sheet of the Borrower and its Consolidated Subsidiaries as of the end of such Fiscal Quarter and the related
statements of income and cash flows for such Fiscal Quarter and for the portion of the Fiscal Year ended at the end of such Fiscal
Quarter, setting forth in each case in comparative form the figures for the corresponding Fiscal Quarter and the corresponding
portion of the previous Fiscal Year, all certified (subject to normal year-end adjustments) as to fairness of presentation, GAAP
and consistency by the chief financial officer, the treasurer or the chief accounting officer of the Borrower; 

		                (c)       simultaneously
with the delivery of each set of financial statements referred to in clauses (a) and (b) above, a certificate of the chief
financial officer, the treasurer or the chief accounting officer of the Borrower in form acceptable to the Lender (a
“Compliance Certificate”) (i) setting forth in reasonable detail the calculations required to establish whether the
Borrower was in compliance with the requirements of Sections 5.03, 5.04, 5.06, 5.08, 5.11(c) and 5.21 on the date of such
financial statements, (ii) stating whether any 

20 

	  	Default exists on the date of such certificate and, if any Default
then exists, setting forth the details thereof and the action which the Borrower is taking or proposes to take with respect
thereto, (iii) containing the certification required by Section 5.01(b), and (iv) listing any new Subsidiaries not listed in
any prior Compliance Certificate; 

		                (d)       simultaneously
with the delivery of each set of annual financial statements referred to in clause (a) above, a statement of the firm of
independent public accountants which reported on such statements to the effect that nothing has come to their attention to cause
them to believe that any Default under any of Sections 5.03, 5.04 and 5.11(c) existed on the date of such financial statements;

		                (e)       within
five Business Days after the chief executive officer, chief operating officer, chief financial officer, chief accounting officer
or treasurer of the Borrower becomes aware of the occurrence of any Default, a certificate of the chief financial officer,
treasurer or the chief accounting officer of the Borrower setting forth the details thereof and the action which the Borrower is
taking or proposes to take with respect thereto; 

		                (f)       promptly
upon the mailing thereof to the shareholders of the Borrower generally, copies of all financial statements, reports and proxy
statements so mailed; 

		                (g)       promptly
upon the filing thereof, copies of all registration statements (other than the exhibits thereto and any registration statements on
Form S-8 or its equivalent) and annual, quarterly or monthly reports which the Borrower shall have filed with the Securities and
Exchange Commission; 

		                (h)       if
and when the Borrower or any member of the Controlled Group (i) gives or is required to give notice to the PBGC of any
“reportable event” (as defined in Section 4043 of ERISA) with respect to any Plan which might constitute grounds for a
termination of such Plan under Title IV of ERISA, or knows that the plan administrator of any Plan has given or is required to
give notice of any such reportable event, a copy of the notice of such reportable event given or required to be given to the PBGC;
(ii) receives notice of complete or partial withdrawal liability under Title IV of ERISA, a copy of such notice; or
(iii) receives notice from the PBGC under Title IV of ERISA of an intent to terminate or appoint a trustee to administer any
Plan, a copy of such notice; 

		                (i)       promptly
after the Borrower knows of the commencement thereof, notice of any litigation or other legal proceeding involving a claim against
the Borrower and/or any Subsidiary for US$10,000,000 (or its equivalent in any other currency) or more in excess of amounts
covered in full by applicable insurance; and 

		                (j)       from
time to time such additional information regarding the financial position or business of the Borrower and its Subsidiaries as the
Lender may reasonably request. 

        SECTION
5.02.   Inspection of Property, Books and Records.   The Borrower will (i) keep, and
will cause each Subsidiary to keep, proper books of record and account in which full, true and correct entries in conformity with
GAAP shall be made of all dealings and transactions in relation to its business and activities; and (ii) permit, and will cause
each Subsidiary to permit, representatives of any Lender at such Lender’s expense prior to the occurrence of an Event of
Default and at the Borrower’s expense after the occurrence of an Event of Default to visit and inspect any of their
respective properties, to examine and make abstracts from any of their respective books and records 

21 

and to discuss their respective affairs, finances and accounts with their
respective officers, employees and independent public accountants. The Borrower agrees to cooperate and assist in such visits and
inspections, in each case at such reasonable times and as often as may reasonably be desired. 

        SECTION
5.03.   Ratio of Consolidated Debt to Consolidated EBITDA.   The ratio of Consolidated Debt
at any date to Consolidated EBITDA for the period of four consecutive Fiscal Quarters ended on or most recently prior to such date
will not exceed the ratio 3:1. 

        SECTION
5.04.   Minimum Shareholders’ Equity.   Shareholders’ Equity will at no time be
less than US$373,500,000 plus the sum of (i) 50% of the cumulative Reported Net Income of the Borrower and its Consolidated
Subsidiaries during any period after October 31, 2000 (taken as one accounting period), calculated quarterly but excluding from
such calculations of Reported Net Income for purposes of this clause (i) any quarter in which the Consolidated Net Income of the
Borrower and its Consolidated Subsidiaries is negative, and (ii) 100% of the cumulative Net Proceeds of Capital Stock/Conversion
of Debt received during any period after the date hereof, calculated quarterly. 

        SECTION
5.05.   Restricted Payments.   The Borrower will not declare or make any Restricted Payment
during any Fiscal Year, except for stock repurchases and dividends approved by the Board of Directors of the Borrower. 

        SECTION
5.06.   Loans or Advances.   Neither the Borrower nor any of its Subsidiaries shall make
loans or advances to any Person except: (i) loans or advances to employees not exceeding US$10,000,000 (or its equivalent in any
other currency) in the aggregate at any time outstanding made in the ordinary course of business; (ii) deposits required by
government agencies or public utilities; (iii) Prepaid Rebates; and (iv) loans, advances or deposits other than those permitted by
clauses (i) through (iii) of this Section not exceeding 10% of Consolidated Total Assets in the aggregate at any time outstanding,
provided that after giving effect to the making of any loans, advances or deposits permitted by clause (i), (ii), (iii) or (iv) of
this Section, no Default shall have occurred and be continuing. 

        SECTION
5.07.   Acquisitions.   Neither the Borrower nor any of its Subsidiaries shall make any
Acquisitions, provided, that Permitted Acquisitions may be made if, after giving effect thereto, no Default or Event of Default
would be caused thereby (giving effect to such Permitted Acquisitions on a pro forma basis as to financial covenants as if they
had occurred on each relevant date or at the beginning of each relevant period). 

        SECTION
5.08. Negative Pledge. Neither the Borrower nor any Consolidated Subsidiary will
create, assume or suffer to exist any Lien on any asset now owned or hereafter acquired by
it, except: 

		                (a)       Liens
existing on the date of this Agreement securing Debt outstanding on the date of this Agreement in an aggregate principal amount
not exceeding US$10,000,000 (or its equivalent in any other currency); 

		                (b)       any
Lien existing on any asset of any corporation at the time such corporation becomes a Consolidated Subsidiary and not created in
contemplation of such event; 

		                (c)       any
Lien on any asset (other than Equity Interests, indebtedness or inventory) securing Debt incurred or assumed for the purpose of
financing all or any part of the cost of acquiring or constructing such asset, provided that such Lien attaches to such asset 

22 

	  	concurrently with or within 18 months after the acquisition or
completion of construction thereof; 

		                (d)       any
Lien on any asset of any corporation existing at the time such corporation is merged or consolidated with or into the Borrower or
a Consolidated Subsidiary and not created in contemplation of such event; 

		                (e)       any
Lien existing on any asset prior to the acquisition thereof by the Borrower or a Consolidated Subsidiary and not created in
contemplation of such acquisition; 

		                (f)       Liens
securing Debt owing by any Subsidiary to the Borrower; 

		                (g)       any
Lien arising out of the refinancing, extension, renewal or refunding of any Debt secured by any Lien permitted by any of the
foregoing clauses of this Section, provided that (i) such Debt is not secured by any additional assets, and (ii) the amount of
such Debt secured by any such Lien is not increased; 

		                (h)       Liens
incidental to the conduct of its business or the ownership of its assets which (i) do not secure Debt and (ii) do not in the
aggregate materially detract from the value of its assets or materially impair the use thereof in the operation of its business;

		                (i)       any
Lien on Excess Margin Stock; and 

		                (j)       Liens
not otherwise permitted by the foregoing clauses of this Section securing Debt (other than Loans) in an aggregate principal amount
at any time outstanding which, together with the amount of Debt secured by Liens permitted by the foregoing paragraphs (a) through
(i), does not exceed 10% of Consolidated Total Assets. 

        SECTION
5.09.   Maintenance of Existence.   The Borrower shall maintain its corporate existence and
carry on its business in substantially the same manner and in substantially the same fields in which such business is now carried
on, except as permitted by Section 5.11. 

        SECTION
5.10.   Dissolution.   The Borrower shall not suffer or permit dissolution or liquidation
either in whole or in part or redeem or retire any shares of its own stock or that of any Subsidiary, except (i) through a
corporate reorganization permitted by Section 5.11 or (ii) Restricted Payments permitted by Section 5.05. 

        SECTION
5.11.   Consolidations, Mergers and Sales of Assets.   The Borrower will not, nor will it
permit any Subsidiary to, consolidate or merge with or into, or sell, lease or otherwise transfer all or any substantial part of
its assets (other than Excess Margin Stock) to, any other Person, or discontinue or eliminate any business line or segment,
provided that (a) the Borrower may merge with another Person if (i) such Person was organized under the laws of the United
States of America or one of its states, (ii) the Borrower is the corporation surviving such merger and (iii) immediately after
giving effect to such merger, no Default shall have occurred and be continuing, (b) Subsidiaries of the Borrower may merge
with one another, or with and into the Borrower where the Borrower is the corporation surviving such merger, (c) the
foregoing limitation on the sale, lease or other transfer of assets and on the discontinuation or elimination of a business line
or segment shall not apply to loans or advances permitted by Section 5.06 or prohibit, during any Fiscal Quarter, a transfer of
assets or the discontinuance or elimination of a business line or segment (in a single transaction or in a series of related
transactions) unless the aggregate assets to be so transferred or utilized in a business line or  

23 

segment to be so discontinued, when combined with all other assets transferred (other
than inventory sold in the ordinary course of business), and all other assets utilized in all other business lines or segments
discontinued, during such Fiscal Quarter and the immediately preceding three Fiscal Quarters contributed more than 20% of
Consolidated Operating Profits during the four consecutive Fiscal Quarters immediately preceding such Fiscal Quarter and (d) the
Borrower and any Subsidiary may sell inventory in the ordinary course of business. 

        SECTION
5.12.   Use of Proceeds.   The proceeds of the Loans will be used only for the purposes
referred to in the preamble to this Agreement. No portion of the proceeds of the Loans will be used by the Borrower or any
Subsidiary (i) directly or indirectly, for the purpose, whether immediate, incidental or ultimate, of purchasing or carrying any
Margin Stock, or (ii) for any purpose in violation of any applicable law or regulation. 

        SECTION
5.13.   Compliance with Laws; Payment of Taxes.   (a)  The Borrower will, and will
cause each of its Subsidiaries and each member of the Controlled Group to, comply with applicable laws (including but not limited
to ERISA and Environmental Requirements), regulations and similar requirements of Governmental Authorities (including but not
limited to PBGC), except where the necessity of such compliance is being contested in good faith through appropriate proceedings
diligently pursued. The Borrower will, and will cause each of its Subsidiaries to, pay promptly when due all taxes, assessments,
governmental charges, claims for labor, supplies, rent and other obligations which, if unpaid, might become a lien against the
property of the Borrower or any Subsidiary, except liabilities being contested in good faith by appropriate proceedings diligently
pursued and against which the Borrower shall have set up reserves in accordance with GAAP. 

                (b)       The
Borrower shall not permit the complete or partial withdrawal liability with respect to Multiemployer Plans, or any termination
liability under Title IV of ERISA with respect to other Plans, incurred by the Borrower, any Subsidiary and members of the
Controlled Group to exceed, in the aggregate, US$10,000,000 at any time. 

        SECTION
5.14.   Insurance.   The Borrower will maintain, and will cause each of its Subsidiaries to
maintain (either in the name of the Borrower or in such Subsidiary’s own name), with financially sound and reputable
insurance companies, insurance on all its Property in at least such amounts and against at least such risks as are usually insured
against in the same general area by companies of established repute engaged in the same or similar business. 

        SECTION
5.15.   Change in Fiscal Year.   The Borrower will not change its Fiscal Year without the
consent of the Lender. 

        SECTION
5.16.   Maintenance of Property.   The Borrower shall, and shall cause each Subsidiary to,
maintain all of its material properties and assets in good condition, repair and working order, ordinary wear and tear excepted.

        SECTION
5.17.   Environmental Notices.   The Borrower shall furnish to the Lender prompt written
notice of all material Environmental Liabilities, Environmental Notices and Environmental Judgments and Orders and pending,
threatened or anticipated Environmental Proceedings relating to the Borrower, any of its Subsidiaries or the Properties.

        SECTION
5.18.   Environmental Matters.   The Borrower and its Subsidiaries will not, and will not
permit any Third Party to, use, produce, manufacture, process, treat, recycle, generate, store, dispose of, manage at, or
otherwise handle or ship or transport to or from the Properties any 

24 

Hazardous Materials except for Hazardous Materials used, produced,
manufactured, processed, treated, recycled, generated, stored, disposed, managed or otherwise handled, to the best knowledge of
the Borrower, in compliance with all applicable Environmental Requirements, except where the failure to comply could not
reasonably be expected to have or cause, individually or in the aggregate, a Material Adverse Effect. 

        SECTION
5.19.   Environmental Release.   The Borrower agrees that upon the occurrence of an
Environmental Release at or on any of the Properties it will act immediately to investigate the extent of, and to take appropriate
remedial action with respect to, such Environmental Release, whether or not ordered or otherwise directed to do so by any
Environmental Authority. 

        SECTION
5.20.   Transactions with Affiliates.   Neither the Borrower nor any of its Subsidiaries
shall enter into, or be a party to, any material transaction with any Affiliate of the Borrower or such Subsidiary, except as
permitted by law and in the ordinary course of business and pursuant to reasonable terms no less favorable to the Borrower or such
Subsidiary than would be obtained in a comparable arm’s length transaction with a Person which is not an Affiliate.

        SECTION
5.21.   Limitation on Subsidiary Debt.   The Borrower shall not permit the outstanding
principal amount of Debt of the Subsidiaries (other than (i) Debt owed under this
Agreement or any other Loan Document and (ii) Debt owed under the 5 year Syndicated Credit
Agreement dated November 17, 2000 or any finance document related thereto) at any time to
exceed, in the aggregate, 10% of Consolidated Total Assets. 

        SECTION
5.22.   Pari Passu.   The Borrower’s obligations under the Agreement shall at all times
rank at least pari passu with the claims of all its other unsecured and unsubordinated creditors, except for obligations
mandatorily preferred by law applying to companies generally. 

ARTICLE VI 

EVENTS OF DEFAULT 

        SECTION
6.01.   Events of Default.   If one or more of the following events (“Events of
Default”) shall have occurred and be continuing:  

		                (a)       the
Borrower shall fail to pay when due any principal of any Loan or shall fail to pay any interest on any Loan within five Business
Days after such interest shall become due, or shall fail to pay any fee or other amount payable hereunder within five Business
Days after such fee or other amount becomes due; or 

		                (b)       the
Borrower shall fail to observe or perform any covenant contained in Section 5.01(e), 5.02(ii), 5.03, 5.04, 5.08, 5.09, 5.10, 5.11
or 5.22; or 

		                (c)       the
Borrower shall fail to observe or perform any covenant or agreement contained or incorporated by reference in this Agreement
(other than those covered by clause (a) or (b) above) or any other Loan Document for thirty days after the earlier of (i) the
first day on which the Borrower has knowledge of such failure or (ii) written notice thereof has been given to the Borrower
by the Lender; or 

		                (d)       any
representation, warranty, certification or statement made or deemed made by the Borrower in Article III of this Agreement or in
any certificate, financial statement 

25 

	  	or other document delivered pursuant to this Agreement or any Loan
Document shall prove to have been incorrect or misleading in any material respect when made (or deemed made); or 

		                (e)       the
Borrower or any Subsidiary shall fail to make any payment in respect of Debt outstanding (other than the Loans) in an aggregate
principal amount in excess of US$10,000,000 (or its equivalent in any other currency) when due or within any applicable grace
period; or 

		                (f)       any
event or condition shall occur which results in the acceleration of the maturity of Debt of the Borrower or any Subsidiary in an
aggregate principal amount in excess of US$10,000,000 (or its equivalent in any other currency) or the mandatory prepayment or
purchase of such Debt by the Borrower (or its designee) or such Subsidiary (or its designee) prior to the scheduled maturity
thereof, or enables (or, with the giving of notice or lapse of time or both, would enable) the holders of such Debt or any Person
acting on such holders’ behalf to accelerate the maturity thereof or require the mandatory prepayment or purchase thereof
prior to the scheduled maturity thereof, without regard to whether such holders or other Person shall have exercised or waived
their right to do so; or 

		                (g)       the
Borrower or any Subsidiary shall commence a voluntary case or other proceeding seeking liquidation, reorganization or other relief
with respect to itself or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect or seeking
the appointment of a trustee, receiver, liquidator, custodian or other similar official of it or any substantial part of its
property, or shall consent to any such relief or to the appointment of or taking possession by any such official in an involuntary
case or other proceeding commenced against it, or shall make a general assignment for the benefit of creditors, or shall fail
generally, or shall admit in writing its inability, to pay its debts as they become due, or shall take any corporate action to
authorize any of the foregoing; or 

		                (h)       an
involuntary case or other proceeding shall be commenced against the Borrower or any Subsidiary seeking liquidation, reorganization
or other relief with respect to it or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect
or seeking the appointment of a trustee, receiver, liquidator, administrator, custodian or other similar official of it or any
substantial part of its property, and such involuntary case or other proceeding shall remain undismissed and unstayed for a period
of 60 days; or an order for relief shall be entered against the Borrower or any Subsidiary under the federal bankruptcy laws,
or any equivalent law in any other jurisdiction, as now or hereafter in effect; or 

		                (i)       the
Borrower or any member of the Controlled Group shall fail to pay when due any material amount which it shall have become liable to
pay to the PBGC or to a Plan under Title IV of ERISA or Section 412 of the Code; or notice of intent to terminate a Plan or Plans
shall be filed under Title IV of ERISA by the Borrower, any member of the Controlled Group, any plan administrator or any
combination of the foregoing; or the PBGC shall institute proceedings under Title IV of ERISA to terminate or to cause a trustee
to be appointed to administer any such Plan or Plans or a proceeding shall be instituted by a fiduciary of any such Plan or Plans
to enforce Section 515 or 4219(c)(5) of ERISA and such proceeding shall not have been dismissed within 30 days thereafter; or a
condition shall exist by reason of which PBGC would be entitled to obtain a decree adjudicating that any such Plan or Plans must
be terminated; or 

26 

		                (j)       one
or more judgments or orders for the payment of money in an aggregate amount in excess of US$10,000,000 (or its equivalent in any
other currency) shall be rendered against the Borrower or any Subsidiary and the Borrower or such Subsidiary shall not discharge
the same in accordance with its terms or procure a stay of execution thereof within 30 days from the date of entry thereof, and
within such period of 30 days, or such longer period during which execution of such judgment shall have been stayed, appeal
therefrom and cause the execution thereof to be stayed during such appeal; or 

		                (k)       a
federal tax lien shall be filed against the Borrower or any Subsidiary under Section 6323 of the Code, or a lien shall arise under
ERISA or the Code in favor of a Plan or the PBGC against the Borrower, any Subsidiary or any member of the Controlled Group, and
in each case such lien shall remain undischarged for a period of 25 days; or 

		                (l)       (i) any
Person or two or more Persons acting in concert shall have acquired beneficial ownership (within the meaning of Rule 13d-3 of the
Securities and Exchange Commission under the Exchange Act) of 30% or more of the outstanding shares of the voting stock of the
Borrower; or (ii) as of any date a majority of the Board of Directors of the Borrower shall consist of individuals who were not
either (A) directors of the Borrower as of the corresponding date of the previous year, (B) selected or nominated to become
directors by the Board of Directors of the Borrower of which a majority consisted of individuals described in clause (A), or (C)
selected or nominated to become directors by the Board of Directors of the Borrower of which a majority consisted of individuals
described in clause (A) or individuals described in clause (B); 

then, and in every such event, the Lender shall (i) by notice to the Borrower
terminate the Commitment and it shall thereupon terminate, and (ii) by notice to the Borrower declare the Loans (together with
accrued interest thereon) and all other amounts payable hereunder and under the other Loan Documents to be, and the Loans
(together with all accrued interest thereon) and all other amounts payable hereunder and under the other Loan Documents shall
thereupon become, immediately due and payable without presentment, demand, protest or other notice of any kind, all of which are
hereby waived by the Borrower; provided that if any Event of Default specified in clause (g) or (h) above occurs with
respect to the Borrower, without any notice to the Borrower or any other act by the Lender, the Commitment shall thereupon
automatically terminate and the Loans (together with accrued interest thereon) and all other amounts payable hereunder and under
the other Loan Documents shall automatically become immediately due and payable without presentment, demand, protest or other
notice of any kind, all of which are hereby waived by the Borrower. Notwithstanding the foregoing, the Lender shall have available
to it all other remedies at law or equity. 

The Lender shall have the right, at any time upon the occurrence of an Event
of Default, to convert any amounts due under the Agreement and the other Loan Documents which are denominated in Euro into
Sterling. Interest will thereafter accrue on such amount in Sterling in accordance with Section 2.09(b) except that reference in
Section 2.09 to Euro deposits shall instead be reference to Sterling deposits and such interest shall be calculated on the basis
of a 365 day year (or if market practice differs, in accordance with the normal market practice) and the aggregate interest cost
will also include the Mandatory Cost. 

27 

ARTICLE VII 

MISCELLANEOUS 

        SECTION
7.01.   Notices.   Except in the case of notices and other communications expressly permitted
to be given by telephone, all notices and other communications provided for herein shall be in writing and shall be delivered by
hand or overnight courier service, mailed by certified or registered mail or sent by telecopy, as follows: 

		                (a)       if
to the Borrower, to it at 1101 South Third Street, Minneapolis, MN 55415, Attention of Deborah Weiss, Treasurer (Telecopy No.
(612) 375-7750); and 

		                (b)       if
to the Lender, to it at PO BOX 2481 Napier Court, Napier Road, Reading, Berks, RG1 8FD, UK, Attention of Tony Milman, Relationship
Director (Telecopy No. 44-118-955-3111). 

Any party hereto may change its address or telecopy number for notices and
other communications hereunder by notice to the other parties 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. 

        SECTION
7.02.   Waivers; Amendments.   (a)    No failure or delay by the Lender
in exercising any right or power 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
Lender 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 any Loan Document or consent to any departure by the Borrower therefrom shall in any
event be effective unless the same shall be permitted by paragraph (b) of this Section, 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 shall not be construed as a waiver of any Default, regardless of whether the Lender may have had notice or
knowledge of such Default at the time. 

                (b)       Neither
this Agreement nor any of the Loan Documents 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 Borrower and the Lender. 

        SECTION
7.03.   Expenses; Indemnity; Damage Waiver.   (a) The Borrower shall pay (i) all reasonable
out-of-pocket expenses incurred by the Lender and each of their Affiliates, including the reasonable fees, charges and
disbursements of Hughes Hubbard & Reed LLP, counsel for the Lender, in connection with the preparation and administration of
this Agreement or the other Loan Documents or any amendments, modifications or waivers of the provisions hereof (whether or not
the transactions contemplated hereby or thereby shall be consummated) and (ii) all out-of-pocket expenses incurred by the Lender,
including the reasonable fees, charges and disbursements of any counsel for the Lender, in connection with the enforcement or
protection of its rights in connection with any Loan Document, including its rights under this Section, or in connection with the
Loans made hereunder, including all such out-of-pocket expenses incurred during any workout, restructuring or negotiations in
respect of such Loans. 

28 

                (b)       The
Borrower agrees to indemnify the Lender, and each Related Party of any of the foregoing Persons (each such Person being called an
“Indemnitee”) against, and hold each Indemnitee harmless from, any and all losses, claims, damages, liabilities
and related expenses, including the reasonable fees, charges and disbursements of any counsel for any Indemnitee, incurred by or
asserted against any Indemnitee arising out of, in connection with, or as a result of (i) the Lender converting sums from Euro to
Sterling in accordance with Article 6 or (ii)(1) the execution or delivery of this Agreement or any other Loan Document, or any
agreement or instrument contemplated hereby or thereby, the performance by the parties hereto of their respective obligations
hereunder or the consummation of the Transactions or any other transactions contemplated hereby, (2) any Loan or the use of the
proceeds therefrom or any transaction in which such proceeds are used, (3) any actual or alleged presence or Environmental Release
of Hazardous Materials on or from any property currently or formerly owned or operated by the Borrower or any of its Subsidiaries
or Affiliates, or any Environmental Liability related in any way to the Borrower or any of its Subsidiaries or Affiliates or their
respective predecessors, or (4) any actual or prospective claim, litigation, investigation or proceeding relating to any of the
foregoing, whether based on contract, tort or any other theory and regardless of whether any Indemnitee is a party thereto;
provided, solely in respect of Section 7.03(b)(ii), that such indemnity shall not, as to any Indemnitee, be available to
the extent that such losses, claims, damages, liabilities or related expenses are finally determined by a court of competent
jurisdiction to have resulted from the gross negligence or wilful misconduct of such Indemnitee. 

                (c)       To
the extent permitted by applicable law, the Borrower shall not assert, and the Borrower hereby waives, any claim against any
Indemnitee, on any theory of liability, for special, indirect, consequential or punitive damages (as opposed to direct or actual
damages) arising out of, in connection with, or as a result of, this Agreement, any other Loan Document or any agreement or
instrument contemplated hereby, the Transactions, any Loan or the use of the proceeds thereof. 

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

        SECTION
7.04.   Successors and Assigns.   (a)    The provisions of this Agreement
shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns, except
that the Borrower may not assign or otherwise transfer any of its rights or obligations hereunder without the prior written
consent of the Lender (and any attempted assignment or transfer by the Borrower without such consent shall be null and void).
Nothing in this Agreement, expressed or implied, shall be construed to confer upon any Person (other than the parties hereto,
their respective successors and assigns permitted hereby and, to the extent expressly contemplated hereby, the Related Parties of
the Lender) any legal or equitable right, remedy or claim under or by reason of this Agreement. 

                (b)       The
Lender may, at any time, assign, transfer or novate to one or more assignees any of its rights, benefits and/or obligations in
respect of this Agreement and the other Loan Documents, in whole or in part, provided that no such assignment, transfer or
novation may be made without the prior consent of the Borrower (which consent shall not be unreasonably withheld or delayed and
which consent is hereby given by the Borrower in respect of any transfer, novation or assignment made by the Lender to an
Affiliate of the Lender or following a Default or Event of Default and shall also be deemed to be given five Business Days after
the Lender has requested it unless the consent is expressly refused by the Borrower within that time). 

29 

                (c)       A
transfer, assignment or novation by the Lender of any of its obligations hereunder will only be effective if the person to which
the Lender transfers, novates or assigns all or any part of its obligations hereunder shall first confirm to the Borrower and the
Lender, in a form and substance satisfactory thereto, that it agrees to be bound by the terms of this Agreement and the other Loan
Documents in respect of such obligations, whereupon, to the extent that the Lender seeks to transfer, assign or novate its
obligations hereunder: 

		                (i)       the
Lender and the Borrower shall be released from further obligations towards each other hereunder (the “discharged
obligations”) and their respective rights against each other shall be cancelled (the “discharged rights”), in each
case, to the extent of such transfer, assignment or novation; and 

		                (ii)       the
Borrower and the proposed transferee or assignee shall:  

		                (a)       assume
obligations towards each other which differ from the discharged obligations only insofar as they are owed to or assumed by the
proposed transferee or assignee and not the Lender; and 

		                (b)       acquire
rights against each other which differ from the discharged rights only insofar as they are exercisable by or against the proposed
transferee or assignee and not the Lender. 

In the case of a transfer, assignment or novation covering all of the
assigning Lender’s rights and obligations under this Agreement and the Loan Documents, such Lender shall cease to be a party
hereto but shall continue to be entitled to the benefits of Sections 2.10, 2.11, 2.12 and 7.03. 

                (d)       The
Borrower acknowledges that any person to which the rights, benefits and/or obligations of the Bank may from time to time be so
assigned, transferred or novated, shall be entitled to share the benefit of this Agreement as if such person had constituted an
original lender under this Agreement to the extent of such assignment, transfer or novation. 

                (e)       The
Lender may, without the consent of any Borrower sell participations to one or more banks or other entities (a
“Participant”) in all or a portion of such Lender’s rights and obligations under this Agreement and the other Loan
Documents (including all or a portion of its Commitment and the Loans owing to it). The Borrower agrees that each Participant
shall be entitled to the benefits of Sections 2.10, 2.11 and 2.12 to the same extent as if it were a Lender and had acquired its
interest by assignment pursuant to this Section. Notwithstanding the foregoing sentence, a Participant shall not be entitled to
receive any greater payment under Section 2.10, 2.11 or 2.12 than the applicable Lender would have been entitled to receive with
respect to the participation sold to such Participant, unless the sale of the participation to such Participant is made with the
Borrower’s prior written consent. 

                (f)       The
Borrower irrevocably authorizes the Lender, at its discretion, at any time or from time to time, to disclose any information
concerning the Borrower, its Subsidiaries and the Loan Documents to (i) any associated company of the Lender, (ii) any actual or
prospective assignee or transferee referred to in this Section 7.04, (iii) any actual or prospective participant and (iv) any
other person who, in the Lender’s opinion, requires such information in connection with any arrangements relating to a
transaction contemplated in this Section 7.04. The above authority is 

30 

without prejudice to the Lender’s right or duty of disclosure implied or
required by under the Loan Documents, by law or otherwise. 

                (g)       The
Borrower agrees to execute and deliver, or to procure the execution and delivery of, such document(s), and/or shall accept or
procure the acceptance of such amendments to this Agreement, as may in each case be reasonably requested by the Lender in
connection with such assignment, transfer, novation or participation. 

        SECTION
7.05.   Survival.   All covenants, agreements, representations and warranties made by the
Borrower herein or in any other Loan Document and in the certificates or other instruments delivered in connection with or
pursuant to this Agreement or any other Loan Document shall be considered to have been relied upon by the other parties hereto and
thereto and shall survive the execution and delivery of this Agreement and any other Loan Document and the making of any Loans,
regardless of any investigation made by any such other party or on its behalf and notwithstanding that the Lender may have had
notice or knowledge of any Default or incorrect representation or warranty at the time any credit is extended hereunder, and shall
continue in full force and effect as long as the principal of or any accrued interest on any Loan or any fee or any other amount
payable under this Agreement or any other Loan Document is outstanding and unpaid and so long as the Commitment has not expired or
terminated. The provisions of Sections 2.10, 2.11, 2.12 and 7.03 shall survive and remain in full force and effect regardless of
the consummation of the transactions contemplated hereby, the repayment of the Loans, the expiration or termination of the
Commitments or the termination of this Agreement or any other Loan Document or any provision hereof or thereof. 

        SECTION
7.06.   Counterparts; Integration; Effectiveness.   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. This Agreement, the other Loan Documents constitute the entire
contract among the parties relating to the subject matter hereof and supersede any and all previous agreements and understandings,
oral or written, relating to the subject matter hereof. Except as provided in Section 4.01, this Agreement shall become effective
when it shall have been executed by the Lender and when the Lender shall have received counterparts hereof which, when taken
together, bear the signatures of each of the other parties hereto, and thereafter shall be binding upon and inure to the benefit
of the parties hereto and their respective successors and assigns. Delivery of an executed counterpart of a signature page of this
Agreement by telecopy shall be effective as delivery of a manually executed counterpart of this Agreement. 

        SECTION
7.07.   Severability.   Any provision of this Agreement held to be invalid, illegal or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or
unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof; and the
invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction.

        SECTION
7.08.   Right of Setoff.   If an Event of Default shall have occurred and be continuing, the
Lender and each of its Affiliates are hereby authorized at any time and from time to time, to the fullest extent permitted by law,
to set off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other
obligations at any time owing by the Lender or Affiliate to or for the credit or the account of the Borrower against any of and
all the obligations of the Borrower now or hereafter existing under this Agreement held by the Lender, irrespective of whether or
not the Lender shall have made any demand under this Agreement and 

31 

although such obligations may be unmatured. The rights of the Lender under
this Section are in addition to other rights and remedies (including other rights of setoff) which the Lender may have.

        SECTION
7.09.   Governing Law; Jurisdiction; Consent to Service of Process.  

                (a)       This
Agreement shall be construed in accordance with and governed by the law of the State of New York. 

                (b)       The
Borrower hereby irrevocably and unconditionally submits, for itself and its property, to the nonexclusive jurisdiction of the
Supreme Court of the State of New York sitting in New York County and of the United States District Court of the Southern District
of New York, and any appellate court from any thereof, in any action or proceeding arising out of or relating to any Loan
Document, 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 Lender may otherwise have to bring any action or proceeding
relating to this Agreement or any other Loan Document against any Borrower or its properties in the courts of any jurisdiction.

                (c)       The
Borrower 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 any other Loan Document in any court referred to in paragraph (b) of this Section. Each of the parties hereto hereby
irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient forum to the maintenance of such action
or proceeding in any such court. 

                (d)       The
Borrower hereby irrevocably consents to the service of process in any suit, action or proceeding in the manner provided for
notices in Section 7.01. Nothing in this Agreement or any other Loan Document will affect the right of the Lender to serve process
in any other manner permitted by law. 

        SECTION
7.10.   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 ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY
ARISING OUT OF OR RELATING TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON
CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF THE 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 PARTY HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG
OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION. 

        SECTION
7.11.   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 shall not affect the construction of, or be taken into
consideration in interpreting, this Agreement. 

32 

        SECTION
7.12.   Confidentiality.   The Lender agrees to maintain the confidentiality of the
Information (as defined below), except that Information may be disclosed (a) to its and its Affiliates’ directors,
officers, employees and agents, including accountants, legal counsel and other advisors (it being understood that the Persons to
whom such disclosure is made will be informed of the confidential nature of such Information and instructed to keep such
Information confidential), (b) to the extent requested by any regulatory authority, (c) to the extent required by
applicable laws or regulations or by any subpoena or similar legal process, (d) to any other party to this Agreement, (e) in
connection with the exercise of any remedies hereunder or any suit, action or proceeding relating to this Agreement or any other
Loan Document or the enforcement of rights hereunder or thereunder, (f) subject to an agreement containing provisions
substantially the same as those of this Section, to (i) any assignee of or participant in, or any prospective assignee of or
participant in, any of its rights or obligations under this Agreement or (ii) any actual or prospective counterparty to any swap
or derivative transaction relating to the Borrower and its obligations, or any advisor of any such counterparty, (g) with the
consent of the Borrower or (h) to the extent such Information (i) becomes publicly available other than as a result of a
breach of this Section or (ii) becomes available to the Lender on a nonconfidential basis from a source other than the Borrower.
For the purposes of this Section, “Information” means all information received from the Borrower relating to the
Borrower or its business, other than any such information that is available to the Lender on a nonconfidential basis prior to
disclosure by the Borrower; provided that, in the case of information received from the Borrower after the date hereof,
such information is clearly identified at the time of delivery as confidential. Any Person required to maintain the
confidentiality of Information as provided in this Section shall be considered to have complied with its obligation to do so if
such Person has exercised the same degree of care to maintain the confidentiality of such Information as such Person would accord
to its own confidential information. 

        SECTION
7.13.   Conversion of Currencies.   (a)    If, for the purpose of
obtaining judgment in any court, it is necessary to convert a sum owing hereunder in one currency into another currency, each
party hereto agrees, to the fullest extent that it may effectively do so, that the rate of exchange used shall be that at which in
accordance with normal banking procedures in the relevant jurisdiction the first currency could be purchased with such other
currency on the Business Day immediately preceding the day on which final judgment is given. 

                (b)       The
obligations of the Borrower in respect of any sum due to any party hereto or any holder of the obligations owing hereunder (the
“Applicable Creditor”) shall, notwithstanding any judgment in a currency (the “Judgment
Currency”) other than the currency in which such sum is stated to be due hereunder (the “Agreement
Currency”), be discharged only to the extent that, on the Business Day following receipt by the Applicable Creditor of
any sum adjudged to be so due in the Judgment Currency, the Applicable Creditor may in accordance with normal banking procedures
in the relevant jurisdiction 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 Applicable Creditor in the Agreement Currency, the Borrower agrees, as a
separate obligation and notwithstanding any such judgment, to indemnify the Applicable Creditor against such loss. The obligations
of the Borrower contained in this Section 7.13 shall survive the termination of this Agreement and the payment of all other
amounts owing hereunder. 

        SECTION
7.14.   Interest Rate Limitation.   Notwithstanding anything herein to the contrary, if at
any time the interest rate applicable to any Loan, together with all fees, charges and other amounts which are treated as interest
on such Loan under applicable law (collectively the “Charges”), shall exceed the maximum lawful rate (the
“Maximum Rate”) which may be contracted for, charged, 

33 

taken, received or reserved by the
Lender in accordance with applicable law, the rate of interest payable in respect of such
Loan 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 but were not payable as a result of the operation of this
Section shall be cumulated and the interest and Charges payable to the Lender in respect
of other Loans or periods shall be increased (but not above the Maximum Rate therefor)
until such cumulated amount, together with interest thereon at the Federal Funds
Effective Rate to the date of repayment, shall have been received by such Lender.  

34 

        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. 

	 	 	 	 	 	 
	 	 	THE VALSPAR CORPORATION,
as Borrower 
	

   		

by  	 	

   	 
	 	

		Name:
Title: 	 
	 	 	

BARCLAYS BANK PLC,
as Lender 
	

   		

by  	 	

   	 
	 	

		Name:
Title: 	 

35 

Schedule 3.14  

Environmental Matters  

Borrower is a potentially responsible party under CERCLA or state law at
several superfund sites, some of which matters have now been closed and of the open matters, none of them has caused or is
reasonably expected to cause, individually or in the aggregate, a Material Adverse Effect. 

Remedial activities are underway at several of Borrower’s plants. 

While Borrower’s policy is to comply with Environmental Requirements as
soon as practical, there have been and may be occasions where compliance is delayed by such factors as scheduling requirements of
disposal companies, weather or uncertainty as to specific compliance requirements. From time to time, Borrower contests in good
faith the specific procedures or requirements for compliance with Environmental Requirements. 

  

EXHIBIT A  

Calculation of the Mandatory Cost 

	1 	  	
The Mandatory Cost is an addition to the interest rate to compensate the Lender for the
cost of compliance with (a) the requirements of the Bank of England and/or the Financial
Services Authority (or, in either case, any other authority which replaces all or any of
its functions) or (b) the requirements of the European Central Bank. 

	2 	  	
On the first day of each Interest Period (or as soon as possible thereafter) the Lender
shall calculate, as a percentage rate, a rate per annum (the “Additional Cost
Rate”) in accordance with the paragraphs set out below. 

	3 	  	
The Additional Cost Rate for the Lender if lending from a Facility Office in a
Participating Member State will be the percentage notified by the Lender to the Borrower
as being its reasonable determination of the cost of complying with the minimum reserve
requirements of the European Central Bank in respect of Advances made from that Facility
Office. 

	4 	  	
The Additional Cost Rate for the Lender if lending from a Facility Office in the United
Kingdom will be calculated as follows: 

		E  x  0.01
    300 		per cent. per annum 

Where: 

	E 	  	is designed to compensate the Lender for amounts payable under the
Fees Rules and is calculated as the rate of charge payable by the Lender to the Financial Services Authority pursuant to the Fees
Rules in respect of the relevant financial year of the Financial Services Authority (calculated for this purpose by the Lender as
being the average of the Fee Tariffs applicable to the Lender for that financial year) and expressed in pounds per
£1,000,000 of the Tariff Base of the Lender. 

	5  	  	For the purposes of this Exhibit: 

	(a)  	  	“Fees Rules” means the rules on periodic fees
contained in the FSA Supervision Manual or such other law or regulation as may be in force from time to time in respect of the
payment of fees for the acceptance of deposits; 

	(b)  	  	“Fee Tariffs” means the fee tariffs specified in
the Fees Rules under the activity group A.1 Deposit acceptors (ignoring any minimum fee or zero rated fee required pursuant to the
Fees Rules but taking into account any applicable discount rate); and 

	(c)  	  	“Tariff Base” has the meaning given to it in, and
will be calculated in accordance with, the Fees Rules. 

A-1 

	6  	  	Any determination by the Lender pursuant to this Exhibit in
relation to a formula, the Mandatory Cost, an Additional Cost Rate or any amount payable to the Lender shall, in the absence of
manifest error, be conclusive and binding on the parties hereto. 

	7 	  	The Lender may from time to time, after consultation with the
Borrower, determine and notify to the Borrower any amendments which are required to be made to this Exhibit in order to comply
with any change in law, regulation or any requirements from time to time imposed by the Bank of England, the Financial Services
Authority or the European Central Bank (or, in any case, any other authority which replaces all or any of its functions) and any
such determination shall, in the absence of manifest error, be conclusive and binding on the parties hereto. 

A-2 

EXHIBIT B
BORROWING NOTICE 

	To:  	  	Barclays Bank PLC 

	From:  	  	THE VALSPAR CORPORATION 

	Dated:  	  	[_______] 

Dear Sirs 

THE VALSPAR CORPORATION – Euro Revolving Credit Agreement DATED
May 21, 2004 (the “Agreement”). 

1.       We refer to the Agreement. This is a Borrowing
Notice. Terms defined in the Agreement have the same meaning in this Borrowing Notice unless given a different meaning in this
Borrowing Request. 

2.       We wish to borrow a Loan on the following terms:

	  	Proposed date of Borrowing:   [________,_____] (or, if that is not a Business Day, the next Business Day)

Currency of Loan:   Euro

Amount:   [_______] or, if less, the available amount of the Commitment

Interest Period:   [____] 

3.       We confirm that each condition specified in Article 4 is satisfied on the date of this Borrowing Notice. 

4.       The proceeds of this Loan should be credited to [account]. 

5.       This Borrowing Notice is irrevocable. 

Yours faithfully 

............................................................................

authorised signatory for

THE VALSPAR CORPORATION 

B-1Exhibit 10(b) to The Valspar Corporation Form 10-Q dated July 30, 1994

Exhibit 10(b) 

364-DAY 

REVOLVING CREDIT AGREEMENT

dated as of 

May 21, 2004

between 

THE VALSPAR CORPORATION 

and 

BARCLAYS BANK PLC 

£14,000,000 

TABLE OF CONTENTS 

			Page

	ARTICLE I
DEFINITIONS 
	 
	SECTION 1.01.	 	Defined Terms	 	1	 
	SECTION 1.02.	 	Terms Generally	 	9 
	SECTION 1.03. 		Accounting Terms; GAAP 		10	 
	 
	ARTICLE II
THE CREDITS 
	 
	SECTION 2.01. 		Commitment 		10 
	SECTION 2.02. 		Loans and Borrowings 		10 
	SECTION 2.03. 		Requests for Borrowings 		10 
	SECTION 2.04. 		Funding of Borrowings 		11 
	SECTION 2.05. 		Termination and Reduction of Commitment 		11 
	SECTION 2.06. 		Repayment of Loans; Evidence of Debt 		11 
	SECTION 2.07. 		Prepayment of Loans 		11 
	SECTION 2.08. 		Fee 		12 
	SECTION 2.09. 		Interest 		12 
	SECTION 2.10. 		Increased Costs 		13 
	SECTION 2.11. 		Break Funding Payments 		14 
	SECTION 2.12. 		Taxes 		14 
	SECTION 2.13. 		Payments 		15 
	SECTION 2.14. 		Illegality 		15 
	 
	ARTICLE III
REPRESENTATIONS AND WARRANTIES 
	 
	SECTION 3.01. 		Corporate Existence and Power 		16 
	SECTION 3.02. 		Corporate and Governmental Authorization; No Contravention 		16 
	SECTION 3.03. 		Binding Effect 		16 
	SECTION 3.04. 		Financial Information 		16 
	SECTION 3.05. 		No Litigation 		16 
	SECTION 3.06. 		Compliance with ERISA 		17 
	SECTION 3.07. 		Compliance with Laws; Payment of Taxes 		17 
	SECTION 3.08. 		Subsidiaries 		17 
	SECTION 3.09. 		Investment Company Act		17 
	SECTION 3.10. 		Public Utility Holding Company Act		17 
	SECTION 3.11. 		Ownership of Property; Liens		17 
	SECTION 3.12. 		No Default		17 
	SECTION 3.13. 		Full Disclosure		18 
	SECTION 3.14. 		Environmental Matters		18 
	SECTION 3.15. 		Capital Stock		18 
	SECTION 3.16. 		Margin Stock		19 
	SECTION 3.17. 		Insolvency		19 

i 

TABLE OF CONTENTS 

			Page

	SECTION 3.18.	 	Pari Passu	 	19	 
	 
	ARTICLE IV
CONDITIONS 
	 
	SECTION 4.01. 		Effective Date		19 
	SECTION 4.02. 		Each Credit Event		20 
	 
	ARTICLE V
COVENANTS 
	 
	SECTION 5.01. 		Information		20 
	SECTION 5.02. 		Inspection of Property, Books and Records		22 
	SECTION 5.03. 		Ratio of Consolidated Debt to Consolidated EBITDA		22 
	SECTION 5.04. 		Minimum Shareholders’ Equity		22 
	SECTION 5.05. 		Restricted Payments		22 
	SECTION 5.06. 		Loans or Advances		22 
	SECTION 5.07. 		Acquisitions		22 
	SECTION 5.08. 		Negative Pledge		23 
	SECTION 5.09. 		Maintenance of Existence		23 
	SECTION 5.10. 		Dissolution		24 
	SECTION 5.11. 		Consolidations, Mergers and Sales of Assets		24 
	SECTION 5.12. 		Use of Proceeds		24 
	SECTION 5.13. 		Compliance with Laws; Payment of Taxes		24 
	SECTION 5.14. 		Insurance		24 
	SECTION 5.15. 		Change in Fiscal Year		25 
	SECTION 5.16. 		Maintenance of Property		25 
	SECTION 5.17. 		Environmental Notices		25 
	SECTION 5.18. 		Environmental Matters		25 
	SECTION 5.19. 		Environmental Release		25 
	SECTION 5.20. 		Transactions with Affiliates		25 
	SECTION 5.21. 		Limitation on Subsidiary Debt		25 
	SECTION 5.22. 		Pari Passu		25 
	 
	ARTICLE VI
EVENTS OF DEFAULT 
	 
	SECTION 6.01. 		Events of Default		26 
	 
	ARTICLE VII
MISCELLANEOUS 
	 
	SECTION 7.01. 		Notices		28 
	SECTION 7.02. 		Waivers; Amendments		28 
	SECTION 7.03. 		Expenses; Indemnity; Damage Waiver		29 
	SECTION 7.04. 		Successors and Assigns		30 
	SECTION 7.05. 		Survival		31 
	SECTION 7.06. 		Counterparts; Integration; Effectiveness		31 

ii 

TABLE OF CONTENTS 

			Page

	SECTION 7.07.	 	Severability	 	32 	 
	SECTION 7.08. 		Right of Setoff		32 
	SECTION 7.09. 		Governing Law; Jurisdiction; Consent to Service of Process		32 
	SECTION 7.10. 		WAIVER OF JURY TRIAL		33 
	SECTION 7.11. 		Headings		33 
	SECTION 7.12. 		Confidentiality		33 
	SECTION 7.13. 		Conversion of Currencies		34 
	SECTION 7.14. 		Interest Rate Limitation		34 
	 
	SCHEDULES: 
	 
	Schedule 3.14 		—   Environmental Matters 
	 
	EXHIBITS: 
	 
	Exhibit A 		—   Mandatory Costs 
	Exhibit B 		—   Form of Borrowing Notice 

iii 

        364-DAY REVOLVING CREDIT
AGREEMENT dated as of May 21, 2004, between THE VALSPAR CORPORATION, a Delaware corporation (the “Borrower”) and
BARCLAYS BANK PLC (the “Lender”). 

        The Borrower has requested
the Lender to extend a Commitment under which the Borrower may obtain revolving loans in an aggregate principal amount at any time
outstanding not greater than £14,000,000. The proceeds of the Borrowings hereunder will be used for general corporate
purposes. 

        The Lender is willing to
establish the credit facility referred to in the preceding paragraph upon 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 have the meanings
specified below:  

        “Acquisition”
means any transaction pursuant to which the Borrower or any of the Subsidiaries directly or indirectly, in its own name or by or
through a nominee or an agent (a) acquires equity Securities (or warrants, options or other rights to acquire such Securities) of
any Person other than the Borrower or a Person which is, prior to such acquisition, a Subsidiary of the Borrower, pursuant to a
solicitation of tenders therefor, or in one or more negotiated block, market or other transactions not involving a tender offer,
or a combination of any of the foregoing, or (b) makes any Person a Subsidiary of the Borrower, or causes any Person other
than a Subsidiary to be merged into the Borrower or any of its Subsidiaries, in any case pursuant to a merger, purchase of assets
or any reorganization providing for the delivery or issuance to the holders of such Person’s then outstanding Securities, in
exchange for such Securities, of cash or Securities of the Borrower or any of its Subsidiaries, or a combination thereof, or
(c) purchases all or substantially all of the business or assets of any Person or line of business or business unit (or
substantially all of the assets comprising a line of business or business unit) of any Person. 

        “Affiliate”
of any Person means (i) any other Person which directly, or indirectly through one or more intermediaries, controls such Person,
(ii) any other Person which directly, or indirectly through one or more intermediaries, is controlled by or is under common
control with such Person, or (iii) any other Person of which such Person owns, directly or indirectly, 20% or more of the common
stock or equivalent equity interests. As used herein, the term “control” means 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. 

        “Agreement
Currency” has the meaning assigned to such term in Section 7.13(b). 

        “Applicable
Creditor” has the meaning assigned to such term in Section 7.13(b). 

        “Availability
Period” means the period from and including the Effective Date to but excluding
the earlier of the date falling 30 days before the Termination Date and the date of
termination of the Commitment. 

1 

        “Borrower”
has the meaning set out in the recitals hereto. 

        “Borrowing”
means Loans made or continued on the same date and to which a single Interest Period is in
effect. 

        “Borrowing
Minimum” means £1,000,000. 

        “Borrowing
Multiple” means £1,000,000. 

        “Borrowing
Notice” means the notice substantially in the form of Exhibit B. 

        “Business
Day” means a day (other than a Saturday or Sunday) on which the Lender is ordinarily open to effect transactions of the
kind contemplated in this Agreement and, if a payment is to be made in Euro, on which such payment system as the Lender chooses is
operating for the transfer of funds for the same day value. 

        “Capital
Stock” means any capital stock (other than Redeemable Preferred Stock) of the Borrower or any Consolidated Subsidiary (to
the extent issued to a Person other than the Borrower), whether common or preferred. 

        “CERCLA”
means the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. §§
9601   et   seq.   and its implementing regulations and amendments.

        “CERCLIS”
means the Comprehensive Environmental Response, Compensation and Liability Information System established pursuant to CERCLA.

        “Change in
Law” means (a) the adoption of any law, rule or regulation after the date of 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 (c) compliance by the Lender (or, for purposes of Section 2.10(b), by any lending office of the Lender or by the
Lender’s holding company, if any) with any request, guideline or directive (whether or not having the force of law) of any
Governmental Authority made or issued after the date of this Agreement. 

        “Code” means
the Internal Revenue Code of 1986, as amended, or any successor Federal tax code. Any reference to any provision of the Code shall
also be deemed to be a reference to any successor provision or provisions thereof. 

        “Commitment”
means the commitment of the Lender to make Loans pursuant to Section 2.01, as such commitment may be (a) reduced from time to
time pursuant to Section 2.05 and (b) reduced or increased from time to time pursuant to assignments by or to the Lender
pursuant to Section 7.04. The total amount of the Commitment on the date hereof is £14,000,000. 

        “Consolidated
Debt” means at any date the Debt of the Borrower and its Consolidated Subsidiaries, determined on a consolidated basis as
of such date. 

        “Consolidated
EBITDA” for any period means the sum of (i) Consolidated Net Income for such period; (ii) Consolidated Interest Expense
for such period, (iii) taxes on income of the Borrower and its Consolidated Subsidiaries for such period to the extent deducted in
determining Consolidated Net Income for such period, (iv) Depreciation for such period, (v) amortization of intangible assets of
the Borrower and its Consolidated Subsidiaries for such period and (vi) 

2 

restructuring charges associated with the acquisition of Lilly Industries
Inc. by the Borrower, to the extent such restructuring charges do not exceed an aggregate amount of US$20,000,000. In determining
Consolidated EBITDA for any period, any Consolidated Subsidiary acquired during such period by the Borrower or any other
Consolidated Subsidiary shall be included on a pro forma, historical basis as if it had been a Consolidated Subsidiary during such
entire period. 

        “Consolidated
Interest Expense” for any period means interest, whether expensed or capitalized, in respect of Debt of the Borrower or
any of its Consolidated Subsidiaries outstanding during such period. 

        “Consolidated Net
Income” means, for any period, Reported Net Income, excluding (i) extraordinary items and (ii) any equity interests of
the Borrower or any Subsidiary in the unremitted earnings of any Person that is not a Subsidiary. 

        “Consolidated
Operating Profits” means, for any period, the Operating Profits of the Borrower and its Consolidated Subsidiaries,
determined on a consolidated basis in accordance with GAAP. 

        “Consolidated
Subsidiary” means at any date any Subsidiary or other entity the accounts of which, in accordance with GAAP, would be
consolidated with those of the Borrower in its consolidated financial statements as of such date. 

        “Consolidated Total
Assets” means, at any time, the Total Assets of the Borrower and its Consolidated Subsidiaries, determined on a
consolidated basis in accordance with GAAP. 

        “Controlled
Group” means all members of a controlled group of corporations and all trades or businesses (whether or not incorporated)
under common control which, together with the Borrower, are treated as a single employer under Section 414 of the Code.

        “Debt” of
any Person means at any date, without duplication, (i) all obligations of such Person for borrowed money, (ii) all obligations of
such Person evidenced by bonds, debentures, notes or other similar instruments, (iii) all obligations of such Person to pay the
deferred purchase price of property or services, except trade accounts payable arising in the ordinary course of business, but
only if such obligations are, in accordance with GAAP, recorded on such Person’s financial books as long-term debt, (iv) all
obligations of such Person as lessee under capital leases, (v) all obligations of such Person to reimburse any bank or other
Person in respect of amounts payable under a banker’s acceptance, (vi) all Redeemable Preferred Stock of such Person (in the
event such Person is a corporation), (vii) all obligations (absolute or contingent) of such Person to reimburse any bank or other
Person in respect of amounts paid under a letter of credit or similar instrument, (viii) all Debt of others secured by a Lien on
any asset of such Person, whether or not such Debt is assumed by such Person, (ix) all Debt of others Guaranteed by such Person,
and (x) the net obligation of such Person with respect to interest rate protection agreements, foreign currency exchange
agreements or other hedging agreements (and for purposes of this Agreement, the net amount which such Person is obligated to pay
under any such agreement upon termination of such agreement shall be deemed to constitute the principal amount of such net
obligation). 

        “Default”
means any condition or event which constitutes an Event of Default or which with the giving of notice or lapse of time or both
would, unless cured or waived in writing, become an Event of Default. 

3 

        “Depreciation”
means for any period the sum of all depreciation expenses of the Borrower and its Consolidated Subsidiaries for such period, as
determined in accordance with GAAP.

        “Effective
Date” means the date on which the conditions specified in Section 4.01 are satisfied (or waived in accordance with
Section 7.02). 

        “EMU” means
the Economic and Monetary Union as contemplated in the Treaty establishing the European Community, as amended from time to time.

        “Environmental
Authority” means any Governmental Authority that exercises any form of jurisdiction or authority under any Environmental
Requirement. 

        “Environmental
Authorizations” means all licenses, permits, orders, approvals, notices, registrations or other legal prerequisites for
conducting the business of the Borrower or any Subsidiary required by any Environmental Requirement. 

        “Environmental
Judgments and Orders” means all judgments, decrees or orders arising from or in any way associated with any Environmental
Requirement, whether or not entered upon consent or written agreements with an Environmental Authority or other entity arising
from or in any way associated with any Environmental Requirement, whether or not incorporated in a judgment, decree or order.

        “Environmental
Liabilities” means any liabilities, whether accrued, contingent or otherwise, arising from or in any way associated with
any Environmental Requirement, Environmental Judgments and Orders, Environmental Notices, Environmental Proceedings, or
Environmental Releases. 

        “Environmental
Notices” means notice from any Environmental Authority or by any other person or entity, of alleged material
noncompliance with or material liability under any Environmental Requirement, including without limitation any complaints,
citations, demands or requests from any Environmental Authority or from any other person or entity for correction of any violation
of any Environmental Requirement or any investigations concerning any violation of any Environmental Requirement. 

        “Environmental
Proceedings” means any judicial or administrative proceedings to which the Borrower or any Subsidiary is a party or to
which their respective properties are subject, arising from or in any way associated with any Environmental Requirement.

        “Environmental
Releases” means releases as defined in CERCLA or under any Environmental Requirement. 

        “Environmental
Requirement” means any legal requirement relating to health, safety or the environment, including but not limited to any
such requirement under CERCLA or similar state legislation and all federal, state and local laws, ordinances, regulations, orders,
writs, decrees, judgments, injunctions and common law. 

        “Equity
Interests” shall mean shares of Capital Stock, partnership interests, membership interests in a limited liability
company, beneficial interests in a trust or other equity ownership interests in a person. 

4 

        “ERISA”
means the Employee Retirement Income Security Act of 1974, as amended from time to time, or any successor law. Any reference to
any provision of ERISA shall also be deemed to be a reference to any successor provision or provisions thereof. 

        “Euro” or
“€” means the single currency of the participating Member States adopted under Council Regulation (EC) No.
974/98. 

        “Event of
Default” has the meaning assigned to such term in Section 6.01. 

        “Excess Margin
Stock” means that portion, if any, of the Margin Stock owned by the Borrower and the Subsidiaries that must be excluded
from the restrictions imposed by Section 5.08 and Section 5.11 in order for the value (determined in accordance with Regulation U)
of Margin Stock subject to such Section to account for less than 25% of the aggregate value (as so determined) of all assets
subject to such Section. 

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

        “Excluded Taxes”
means, with respect to the Lender or any other recipient of any payment to be made by or
on account of any obligation of the Borrower hereunder, (a) income or franchise taxes
(imposed in lieu of income taxes) imposed on (or measured by) its net income by the
jurisdiction under which such recipient is organized or in which its principal office is
located or in which its applicable lending office is located. 

        “Exposure”
means the aggregate principal amount of Loans. 

        “Facility
Office” means the office of the Lender set out in Section 7.01 of the Agreement
or such other office as the Lender may from time to time select. 

        “Federal
Funds Effective Rate” means, for any day, the weighted average (rounded upwards,
if necessary, to the next 1/100 of 1%) 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
(rounded upwards, if necessary, to the next 1/100 of 1%) of the quotations for such day
for such transactions received by the Lender from three Federal funds brokers of
recognized standing selected by it. 

        “Fiscal
Quarter” means any fiscal quarter of the Borrower. 

        “Fiscal Year”
means any fiscal year of the Borrower. 

        “GAAP”
means generally accepted accounting principles in the United States of America. 

        “Governmental
Authority” means the government of the United States of America or the UK, or any nation or 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. 

5 

        “Guarantee”
by any Person means any obligation, contingent or otherwise, of such Person directly or indirectly guaranteeing any Debt or other
obligation of any other Person and, without limiting the generality of the foregoing, any obligation, direct or indirect,
contingent or otherwise, of such Person (i) to secure, purchase or pay (or advance or supply funds for the purchase or payment of)
such Debt or other obligation (whether arising by virtue of partnership arrangements, by agreement to keep-well, to purchase
assets, goods, securities or services, to provide collateral security, to take-or-pay, or to maintain financial statement
conditions or otherwise) or (ii) entered into for the purpose of assuring in any other manner the obligee of such Debt or other
obligation of the payment thereof or to protect such obligee against loss in respect thereof (in whole or in part), provided that
the term Guarantee shall not include endorsements for collection or deposit in the ordinary course of business. The term
“Guarantee” used as a verb has a corresponding meaning. 

        “Hazardous
Materials” includes, without limitation, (a) solid or hazardous waste, as defined in the Resource Conservation and
Recovery Act of 1980, 42 U.S.C. §§ 6901 et seq. and its implementing regulations and amendments, or
in any applicable state or local law or regulation, (b) any “hazardous substance”, “pollutant” or
“contaminant”, as defined in CERCLA, or in any applicable state or local law or regulation, (c) gasoline, or any
other petroleum product or by-product, including crude oil or any fraction thereof, (d) toxic substances, as defined in the Toxic
Substances Control Act of 1976, or in any applicable state or local law or regulation and (e) insecticides, fungicides, or
rodenticides, as defined in the Federal Insecticide, Fungicide, and Rodenticide Act of 1975, or in any applicable state or local
law or regulation, as each such Act, statute or regulation may be amended from time to time.

        “Indemnified
Taxes” means Taxes other than Excluded Taxes. 

        “Interest Payment
Date” means the last day of the Interest Period applicable to the Borrowing of which such Loan is a part and, in the case
of a Borrowing with an Interest Period of more than six months’ duration, each day prior to the last day of such Interest
Period that occurs at intervals of six months’ duration after the first day of such Interest Period. 

        “Interest
Period” means the period commencing on the date of such Borrowing and ending on the numerically corresponding day in the
calendar month that is one, two, three, six, nine or twelve months (or such other duration as may be mutually agreed) thereafter,
as the Borrower may elect; provided, that (i) 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, (ii) any Interest Period
that commences on the last Business Day of a calendar month (or on a day for which there is no numerically corresponding day in
the last calendar month of such Interest Period) shall end on the last Business Day of the last calendar month of such Interest
Period and (iii) in no case shall any interest period for a Loan end after the Termination Date. 

        “Judgment
Currency” has the meaning assigned to such term in Section 7.13(b). 

        “Lien”
means, with respect to any asset, any mortgage, deed to secure debt, deed of trust, lien, pledge, charge, security interest,
security title, preferential arrangement which has the practical effect of constituting a security interest or encumbrance,
servitude or encumbrance of any kind in respect of such asset to secure or assure payment of a Debt or a Guarantee, whether by
consensual agreement or by operation of statute or other law, or by any agreement, contingent or otherwise, to provide any of the
foregoing. For the purposes of this Agreement, the Borrower or any 

6 

Subsidiary shall be deemed to own subject to a Lien any asset which it has
acquired or holds subject to the interest of a vendor or lessor under any conditional sale agreement, capital lease (but not an
operating lease) or other title retention agreement relating to such asset. 

        “Loan
Documents” means this Agreement and each promissory note delivered pursuant to this Agreement, as such documents may be
amended, modified, supplemented, or restated from time to time. 

        “Loans”
means the loans made by the Lender to the Borrower pursuant to Section 2.01 of this Agreement. 

        “Mandatory
Costs” means the percentage rate per annum calculated by the Lender in accordance with Exhibit A. 

        “Margin
Stock” means “margin stock” as defined in Regulation T, U or X of the Board of Governors of the Federal Reserve
System of the United States of America, as in effect from time to time, together with all official rulings and interpretations
issued thereunder. 

        “Material Adverse
Effect” means any event, act, condition or occurrence that, alone or in conjunction with one or more other events, acts,
conditions or occurrences, has resulted or is reasonably likely to result in a material adverse effect on (a) the financial
condition, operations, business or properties of the Borrower and the Consolidated Subsidiaries, taken as a whole, (b) the
rights and remedies of the Lender under the Loan Documents or the ability of the Borrower to perform its obligations under the
Loan Documents or (c) the legality, validity or enforceability of any Loan Document. 

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

        “Net Income”
means, as applied to any Person for any period, the aggregate amount of net income of such Person, for such period, as determined
in accordance with GAAP. 

        “Net Proceeds of
Capital Stock/Conversion of Debt” means any and all proceeds (whether cash or non-cash) or other consideration received
by the Borrower or a Consolidated Subsidiary in respect of the issuance of Capital Stock (including, without limitation, the
aggregate amount of any and all Debt converted into Capital Stock), after deducting therefrom all reasonable and customary costs
and expenses incurred by the Borrower or such Consolidated Subsidiary directly in connection with the issuance of such Capital
Stock. 

        “Operating
Profits” means, as applied to any Person for any period, the operating income of such Person for such period, as
determined in accordance with GAAP. 

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

        “PBGC” means
the Pension Benefit Guaranty Corporation referred to and defined in ERISA and any successor entity performing similar functions.

7 

        “Permitted
Acquisition” means any Acquisition (a) which is of a Person engaged in or assets used in the same or similar line or
lines of business as the Borrower or any Consolidated Subsidiaries, and (b) if the aggregate consideration to be paid by the
Borrower or any Subsidiary in connection with such Acquisition exceeds US$100,000,000, as to which the Borrower has delivered to
the Lender a certificate of the chief financial officer, treasurer or chief accounting officer of the Borrower certifying (and, in
the case of Sections 5.03, 5.04, 5.08 and 5.11(c), including calculations evidencing) pro-forma compliance with the terms of this
Agreement after giving effect to such Acquisition. 

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

        “Plan” means
at any time an employee pension benefit plan which is covered by Title IV of ERISA or subject to the minimum funding standards
under Section 412 of the Code and which currently is, or within the preceding five years has been, maintained or contributed to,
or to which there is or has been during such period an obligation to contribute, by the Borrower or any member of the Controlled
Group. 

        “Prepaid
Rebates” means any payment made to or credit allowed to a customer or prospective customer of the Borrower or any
Subsidiary, or to any affiliate of the customer or prospective customer, in each case in the ordinary course of the
Borrower’s or such Subsidiary’s business and pursuant to a written agreement or purchase order, which represents the
prepayment of a rebate, price discount or price reduction on products sold or to be sold by the Borrower or such Subsidiary to one
or more customers or prospective customers. 

        “Properties”
means all real property owned, leased or otherwise used or occupied by the Borrower or any Subsidiary, wherever located.

        “Redeemable Preferred
Stock” of any Person means any preferred stock issued by such Person which is at any time prior to the Termination Date
either (i) mandatorily redeemable (by sinking fund or similar payments or otherwise) or (ii) redeemable at the option of the
holder thereof. 

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

        “Reported Net
Income” means, for any period, the Net Income of the Borrower and its Consolidated Subsidiaries determined on a
consolidated basis. 

        “Restricted
Payment” means (i) any dividend or other distribution on any shares of the Borrower’s capital stock (except
dividends payable solely in shares of its capital stock) or (ii) any payment on account of the purchase, redemption, retirement or
acquisition of any shares of the Borrower’s capital stock (except shares acquired upon the conversion thereof into other
shares of its capital stock). 

        “Security”
has the meaning assigned to such term in Section 2(l) of the Securities Act of 1933, as amended. 

        “Shareholders’
Equity” means, at any time, the shareholders’ equity of the Borrower and its Consolidated Subsidiaries, as set forth
or reflected on the most recent consolidated balance sheet of 

8 

the Borrower and its Consolidated Subsidiaries prepared in accordance with
GAAP, but excluding any Redeemable Preferred Stock of the Borrower or any of its Consolidated Subsidiaries. Shareholders’
equity generally would include, but not be limited to (i) the par or stated value of all outstanding Capital Stock, (ii) capital
surplus, (iii) retained earnings, and (iv) various deductions such as (A) purchases of treasury stock, (B) valuation allowances,
(C) receivables due from an employee stock ownership plan, (D) employee stock ownership plan debt guarantees, and (E) translation
adjustments for foreign currency transactions. 

        “Sterling”
and “£” means the lawful currency of the UK. 

        “subsidiary”
means, with respect to any Person (the “parent”) at any date, any corporation or other entity of which equity
securities or other ownership interests having ordinary voting power to elect a majority of the board of directors or other
persons performing similar functions are at the time directly or indirectly owned by the parent. 

        “Subsidiary”
means any subsidiary of the Borrower. 

        “Taxes”
means any and all present or future taxes (including any value added tax), levies, imposts, duties, assessments, deductions,
charges or withholdings of whatever nature imposed by any Governmental Authority. 

        “Termination
Date” means the date falling 364 days from the date of this Agreement. 

        “Third
Parties” means all lessees, sublessees, licensees and other users of the Properties, excluding those users of the
Properties in the ordinary course of the Borrower’s or any Subsidiary’s business and on a temporary basis. 

        “Total
Assets” of any Person means, at any time, the total assets of such Person, as set
forth or reflected or as should be set forth or reflected on the most recent balance sheet
of such Person, prepared in accordance with GAAP. 

        “Transactions”
means the execution, delivery and performance by the Borrower of the Loan Documents and
the borrowing of Loans. 

        “UK”
means the United Kingdom of Great Britain and Northern Ireland. 

        “US$”
means the lawful currency of the United States of America. 

        “Wholly
Owned Subsidiary” means any Subsidiary all of the shares of capital stock or other ownership interests of which (except
directors’ qualifying shares) are at the time directly or indirectly owned by the Borrower. 

        SECTION
1.02.   Terms Generally.   The definitions of terms herein shall apply equally to 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”. Unless the context requires otherwise (a) any definition of or reference to
any agreement, instrument or other document herein shall be construed as referring to such agreement, instrument or other document
as from time to time amended, supplemented or otherwise modified (subject to any restrictions on such 

9 

amendments, supplements or modifications set forth herein), (b) any
reference herein to any Person shall be construed to include such Person’s successors and assigns, (c) the words
“herein”, “hereof” and “hereunder”, and words of similar import, shall be construed to refer to this
Agreement in its entirety and not to any particular provision hereof, (d) all references herein to Articles, Sections and Exhibits
shall be construed to refer to Articles and Sections of, and Exhibits to, this Agreement, (e) the words “asset” and
“property” shall be construed to have the same meaning and effect and to refer to any and all tangible and intangible
assets and properties, including cash, securities, accounts and contract rights and (f) all references herein to a time of the day
are references to the time in London, UK. 

        SECTION
1.03.   Accounting Terms; GAAP.   Except as otherwise expressly provided herein, all terms of
an accounting or financial nature shall be construed in accordance with GAAP, as in effect from time to time; provided
that, if the Borrower notifies the Lender that the Borrower requests an amendment to any provision hereof to eliminate the effect
of any change occurring after the date hereof in GAAP or in the application thereof on the operation of such provision (or if the
Lender notifies the Borrower that it requests an amendment to any provision hereof for such purpose), regardless of whether any
such notice is given before or after such change in GAAP or in the application thereof, then such provision shall be interpreted
on the basis of GAAP as in effect and applied immediately before such change shall have become effective until such notice shall
have been withdrawn or such provision amended in accordance herewith. 

ARTICLE II 

THE CREDITS 

        SECTION
2.01.   Commitment.   (a) Subject to the terms and conditions set forth herein, the Lender
agrees to make Loans to the Borrower from time to time during the Availability Period in Sterling in amounts that will not result
in the Exposure exceeding the Commitment. 

                (b)       Within
the foregoing limits, and subject to the terms and conditions set forth herein, the Borrower may borrow, prepay and reborrow
Loans. 

        SECTION
2.02.   Loans and Borrowings.   Each Loan shall be made as part of a Borrowing. At the
commencement of each Interest Period for any Borrowing, such Borrowing shall be in an aggregate amount that is at least equal to
the Borrowing Minimum and an integral multiple of the Borrowing Multiple, except for the first Borrowing hereunder and for
subsequent Borrowings used solely to pay maturing Loans. Notwithstanding any other provision of this Agreement, the Borrower shall
not be entitled to request any Borrowing if the Interest Period requested with respect thereto would end after the Termination
Date. 

        SECTION
2.03.   Requests for Borrowings.   To request a Borrowing, the Borrower shall deliver, to
such officer of the Facility Office as the Lender may designate, a Borrowing Notice not later than 12:00 noon, London time, on the
first day of the Interest Period for the proposed Borrowing. Each such Borrowing Notice shall specify the information requested in
Exhibit B. If no Interest Period is specified in the Borrowing Notice with respect to any requested Borrowing, then the Borrower
shall be deemed to have selected an Interest Period of one month’s duration. 

10 

        SECTION
2.04.   Funding of Borrowings.   The Lender shall make each Loan to be made hereunder
on the proposed date thereof by crediting the amount of such Loan, to the account of the
Borrower designated in the Borrowing Notice. 

        SECTION
2.05.   Termination and Reduction of Commitment.   (a)    Unless previously
terminated, the Commitment shall terminate on the Termination Date. 

                (b)       The
Borrower may at any time terminate, or from time to time reduce, the Commitment; provided that (i) each reduction of the
Commitment shall be in minimal amount and in integral multiples of £1,000,000 and (ii) the Borrower shall not terminate or
reduce the Commitment if, after giving effect to any concurrent prepayment of Loans in accordance with this Agreement, the
aggregate Exposure would exceed the Commitment. 

                (c)       The
Borrower shall notify the Lender in writing of any election to terminate or reduce the Commitment under paragraph (b) of this
Section at least three Business Days prior to the effective date of such termination or reduction, specifying such election and
the effective date thereof. Each notice delivered by the Borrower pursuant to this Section shall be irrevocable. Any termination
or reduction of the Commitment shall be permanent. 

        SECTION
2.06.   Repayment of Loans; Evidence of Debt.   (a)    The Borrower hereby unconditionally
promises to pay to the Lender the then unpaid principal amount of each Loan on the last
day of the Interest Period applicable to such Loan. 

                (b)       The
Lender shall maintain, in accordance with its usual practice, an account or accounts evidencing the indebtedness of the Borrower
to the Lender resulting from each Loan made hereunder, including the amounts of principal and interest payable and paid to the
Lender from time to time hereunder and the Interest Period applicable to such Loan. 

                (c)       The
entries made in the accounts maintained pursuant to paragraph (b) of this Section shall be prima facie evidence of the existence
and amounts of the obligations recorded therein; provided that the failure of the Lender to maintain such accounts or any
error therein shall not in any manner affect the obligation of the Borrower to repay the Loans in accordance with the terms of
this Agreement. 

                (d)       The
Lender may request that Loans made by it be evidenced by a promissory note. In such event, the Borrower shall prepare, execute and
deliver to the Lender a promissory note payable to the order of the Lender (or, if requested by the Lender, to the Lender and its
assigns) and in a form approved by the Lender. Thereafter, the Loans evidenced by such promissory note and interest thereon shall
at all times (including after assignment pursuant to Section 7.04) be represented by one or more promissory notes in such form and
payable to the order of the payee named therein (or, if such promissory note is a registered note, to such payee and its
registered assigns). 

        SECTION
2.07.   Prepayment of Loans.   (a)    The Borrower shall have the right
at any time and from time to time to prepay any Borrowing in whole or in part, subject to (i) prior notice in accordance with
paragraph (c) of this Section and (ii) reimbursement of any breakage costs if prepayment occurs other than at the end of an
Interest Period.

11 

                (b)       In
the event and on each occasion that (i) the aggregate Exposures exceed the Commitment, the Borrower shall promptly prepay
Borrowings in an aggregate amount sufficient to eliminate such excess. 

                (c)       The
Borrower shall notify the Lender by telephone (confirmed by telecopy) of any prepayment hereunder not later than 10:00 a.m.,
London time, one Business Day before the date of prepayment. Each such notice shall be irrevocable and shall specify the
prepayment date and the principal amount of each Borrowing or portion thereof to be prepaid. Each partial prepayment of any
Borrowing shall be in an amount that would be permitted in the case of an advance of a Borrowing as provided in Section 2.02. Each
prepayment of a Borrowing shall be applied ratably to the Loans included in the prepaid Borrowing. Prepayments shall be
accompanied by accrued interest to the extent required by Section 2.09. 

        SECTION
2.08.   Fee.   (a) A non-utilization fee at the percentage rate per annum detailed below
calculated on a daily basis from the date of this Agreement on the undrawn portion of the Commitment, will be payable by the
Borrower to the Lender quarterly in arrears and on the Termination Date. All non-utilization fees shall be computed on the basis
of a year of 360 days. 

	Percentage of Loans outstanding 	 	Non-utilization percentage	 
	25% or less	 	0.165%	 
	26% – 50%	 	0.125%	 
	51% – 75%	 	0.075%	 
	› 75%	 	Nil	 

                (b)       Any
fee payable hereunder shall be paid on the dates due, in immediately available funds, to the Lender. Fees paid shall not be
refundable under any circumstances. 

        SECTION
2.09.   Interest.   (a) Interest will accrue during each Interest Period for a Loan at the
rate determined by the Lender to be the aggregate of (i) the Lender’s margin of 0.50% per annum, (ii) the cost to the Lender
of Sterling deposits (being the annual percentage rate at which Sterling deposits are offered by the Lender in the London
Interbank Market for the first day of that Interest Period in an amount and for a period comparable to such Loan and such Interest
Period) and (iii) the Mandatory Costs. 

                (b)       Notwithstanding
the foregoing, if any principal of or interest on any Loan or any fee or other amount payable by any Borrower hereunder is not
paid when due, whether at stated maturity, upon acceleration or otherwise, such overdue amount shall bear interest, after as well
as before judgment, at a rate per annum equal to 1% per annum above the rate applicable under Section 2.09(a). Such interest shall
be calculated by reference to such successive default Interest Periods as the Lender may from time to time select. 

                (c)       Accrued
interest on each Loan shall be payable in arrears on each Interest Payment Date for such Loan and upon termination of the
Commitment; provided that (i) in the event of any repayment or prepayment of any Loan, accrued interest on the principal
amount repaid or prepaid shall be payable on the date of such repayment or prepayment and (ii) interest accrued pursuant to
paragraph (b) of this Section shall be payable on demand or, in the absence of demand, on the last day of the default Interest
Period in which it accrued and, if unpaid shall be compounded on the last day of 

12 

that and each successive Interest Period. Interest shall be charged and
compounded on the basis set out in Section 2.09(c)(ii) both before and after any judgment obtained under the Agreement.

                (d)       All
interest hereunder shall be computed on the basis of a year of 365 days (or on such other basis as the Lender reasonably considers
consistent with the then applicable market practice for facilities of this kind) and shall be payable for the actual number of
days elapsed (including the first day but excluding the last day). 

                (e)       Reference
to the cost of deposits and to the London Interbank Market shall, if such cost ceases to be market practice/ordinarily used by the
Lender for the purpose of calculating interest on facilities of this kind or such market no longer exists in comparable form, be
construed as meaning the appropriate alternative cost or source of funds as the case may be, as determined by the Lender.

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

		                (i)       impose
on or subject the Lender to any tax or mandatory contribution, or change the basis of taxation of payment to the Lender in respect
of this Agreement; or 

		                (ii)       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, the Lender; or 

		                (iii)       impose
on the Lender or the London interbank market any other condition affecting this Agreement or Loans made by the Lender;

and the result of any of the foregoing shall be to increase the cost to the
Lender of making or maintaining any Loan (or of maintaining its obligation to make any such Loan) or to reduce the amount of any
sum received or receivable by the Lender hereunder (whether of principal, interest or otherwise), then the Borrower will pay to
the Lender such additional amount or amounts as will compensate the Lender for such additional costs incurred or reduction
suffered. 

                (b)       If
the Lender determines that any Change in Law regarding capital requirements has or would have the effect of reducing the rate of
return on the Lender’s capital or on the capital of the Lender’s holding company, if any, as a consequence of this
Agreement or the Loans made by the Lender, to a level below that which the Lender or the Lender’s holding company could have
achieved but for such Change in Law (taking into consideration the Lender’s policies and the policies of the Lender’s
holding company with respect to capital adequacy), then from time to time the Borrower will pay to the Lender such additional
amount or amounts as will compensate the Lender or the Lender’s holding company for any such reduction suffered. In the event
Lender shall be advised by any Governmental Authority or shall otherwise determine on the basis of pronouncements of any
Governmental Authority that the Lender will be required to maintain capital against their Commitment under currently applicable
laws, regulations and regulatory guidelines, it is agreed that a Change in Law will be deemed to have occurred and the Lender will
be entitled to make claims under this paragraph based upon market requirements prevailing on the date hereof for commitments under
comparable credit facilities against which capital is required to be maintained. 

13 

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

                (d)       Failure
or delay on the part of the Lender to demand compensation pursuant to this Section shall not constitute a waiver of the
Lender’s right to demand such compensation;   provided that the Borrower shall not be required to
compensate the Lender pursuant to this Section 2.10 for any increased costs or reductions incurred more than 270 days prior to the
date that the Lender notifies the Borrower of the Change of Law giving rise to such increased costs or reductions and of the
Lender’s intention to claim compensation therefore;   provided further that, if
the Change in Law giving rise to such increased costs or reductions is retroactive, then the 270-day period referred to above
shall be extended to include the period of retroactive effect thereof. 

        SECTION
2.11.   Break Funding Payments.   In the event of (a) the payment of any principal of any
Loan other than on the last day of an Interest Period applicable thereto (including as a result of an Event of Default) or (b) the
failure to borrow or prepay any Loan on the date specified in any notice delivered pursuant hereto, then, in any such event, the
Borrower shall compensate the Lender for the loss, cost and expense attributable to such event including, without limitation, any
loss, cost or expense sustained or incurred by the Lender in any such event in liquidating or re-deploying funds acquired or
committed to fund, make available or maintain the Loan (or any part of it). A certificate of the Lender setting forth any amount
or amounts that the Lender is entitled to receive pursuant to this Section shall be delivered to the Borrower and shall be
conclusive absent manifest error. The Borrower shall pay the Lender the amount shown as due on any such certificate within 10 days
after receipt thereof. 

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

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

                (c)       The
Borrower shall indemnify the Lender, within 10 days after written demand therefor, for the full amount of any Indemnified
Taxes or Other Taxes paid by the Lender on or with respect to any payment by or on account of any obligation of the Borrower
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, charges, penalties and expenses arising therefrom or with respect
thereto, whether or not such Indemnified Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant
Governmental Authority. A 

14 

certificate as to the amount of such payment or liability delivered to the
Borrower by the Lender shall be conclusive absent manifest error. 

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

        SECTION
2.13.   Payments.   (a)    The Borrower shall make each payment required
to be made by it hereunder or under any other Loan Document (whether of principal, interest, fees, or of amounts payable under
Section 2.10, 2.11 or 2.12 or otherwise) by the end of the Facility Office’s normal operating hours (or as otherwise
expressly agreed to by the Lender) on the date when due, in immediately available funds, without set-off or counterclaim. Any
amounts received after such time on any date may, in the discretion of the Lender, be deemed to have been received on the next
succeeding Business Day. All such payments shall be made to the Lender to such account as it shall from time to time specify or at
such other address as the Lender shall from time to time specify in a notice delivered to the Borrower. If any payment hereunder
shall be due on a day that is not a Business Day, the date for payment shall be extended to the next succeeding Business Day, and,
in the case of any payment accruing interest, interest thereon shall be payable for the period of such extension. Unless otherwise
specified by the Lender, all payments hereunder and under each other Loan Document shall be made in Sterling. 

                (b)       If
at any time insufficient funds are received by and available to the Lender to pay fully all amounts of principal, interest and
fees then due hereunder, such funds shall be applied (i) first, towards payment of interest and fees then due hereunder, and (ii)
second, towards payment of principal then due hereunder. 

                (c)       Notwithstanding
anything to the contrary in this Agreement, the Lender, in its reasonable discretion and after consultation with the Borrower,
shall be entitled to adjust the dates for the making of payments hereunder, and the duration of Interest Periods, where in the
Lender’s opinion it is necessary to do so in order to comply with the practice from time to time prevailing in the London
Interbank Market or any other financial market relevant for the purposes of this Agreement. 

        SECTION
2.14.   Illegality.   Notwithstanding any other provision of this Agreement, in the event
that, on or after the date of this Agreement, it becomes unlawful for the Lender to honor its obligation to make, maintain or fund
its Loan hereunder, then the Lender shall promptly notify the Borrower thereof and the Lender’s obligation to make, maintain
or fund its Loan shall be suspended until the Lender shall so notify the Borrower that the circumstances giving rise to such
suspension no longer exist. If the Lender shall determine in good faith that it may not lawfully continue to make, maintain or
fund its Loan, the Borrower shall, upon the request of the Lender, prepay the outstanding amount of such Lender’s Loan,
together with accrued interest thereon, on the date so specified by such Lender. Notwithstanding Section 2.08 of this Agreement,
upon the Lender’s suspension of its obligation to make Loans hereunder pursuant to this Section 2.14, and for the duration of
such suspension, the Borrower’s obligation to pay the portion of the non-utilization fee corresponding to the portion of the
undrawn Commitment so suspended shall also be suspended. 

15 

ARTICLE III 

REPRESENTATIONS AND WARRANTIES 

        The Borrower represents and
warrants to the Lender that: 

        SECTION
3.01.   Corporate Existence and Power.   The Borrower is a corporation duly organized,
validly existing and in good standing under the laws of the State of Delaware, is duly qualified to transact business in every
jurisdiction where, by the nature of its business, the failure to be so qualified could have or cause a Material Adverse Effect,
and has all corporate powers and all governmental licenses, authorizations, consents and approvals required to carry on its
business as now conducted. 

        SECTION
3.02.   Corporate and Governmental Authorization; No Contravention.   The execution, delivery
and performance by the Borrower of this Agreement and the other Loan Documents (i) are within the Borrower’s corporate
powers, (ii) have been duly authorized by all necessary corporate action, (iii) require no action by or in respect of or filing
with any governmental body, agency or official, (iv) do not contravene, or constitute a default under, any provision of applicable
law or regulation or of the certificate of incorporation or by-laws of the Borrower or any Subsidiary or of any agreement,
judgment, injunction, order, decree or other instrument binding upon the Borrower or any of its Subsidiaries, and (v) do not
result in the creation or imposition of any Lien on any asset of the Borrower or any of its Subsidiaries. 

        SECTION
3.03.   Binding Effect.   This Agreement has been duly executed and delivered and constitutes
a valid and binding agreement of the Borrower enforceable in accordance with its terms, and the other Loan Documents, when
executed and delivered in accordance with this Agreement, will constitute valid and binding obligations of the Borrower,
enforceable in accordance with their respective terms, provided that the enforceability hereof and thereof is subject in
each case to general principles of equity and to bankruptcy, insolvency and similar laws affecting the enforcement of
creditors’ rights generally. 

        SECTION
3.04.   Financial Information.   (a)    The audited balance sheet of the
Borrower and the Consolidated Subsidiaries as of October 31, 2003, and the related statements of income, shareholders’ equity
and cash flows for the Fiscal Year then ended, reported on by Ernst & Young LLP, and the unaudited balance sheets of the
Borrower and the Consolidated Subsidiaries as of January 30, 2004 and the related statements of income, shareholders’ equity
and cash flows for such Fiscal Quarter and portion of the Fiscal Year then ended, copies of all of which have been delivered to
the Lender, fairly present, in conformity with GAAP, the consolidated financial position of the Borrower and the Consolidated
Subsidiaries as of such dates and their results of operations and cash flows for such periods. 

                (b)       Since
October 31, 2003, there has been no Material Adverse Effect. 

        SECTION
3.05.   No Litigation.   There is no action, suit or proceeding pending, or to the knowledge
of the Borrower threatened, against or affecting the Borrower or any of its Subsidiaries before any court or arbitrator or any
governmental body, agency or official which could have, individually or in the aggregate, a Material Adverse Effect or which in
any manner draws into question the validity of or could impair the ability of the Borrower to perform its obligations under this
Agreement or any of the other Loan Documents. 

16 

        SECTION
3.06.   Compliance with ERISA.   (a)    The Borrower and each member of
the Controlled Group have fulfilled their minimum funding and contribution obligations under ERISA and the Code with respect to
each Plan and are in compliance in all material respects with the presently applicable provisions of ERISA and the Code, and have
not incurred any liability to the PBGC or a Plan under Title IV of ERISA. No “reportable event” (as defined in Section
4043 of ERISA) has occurred or is expected to occur with respect to a Plan, and no other event or condition exists or is expected
to occur with respect to a Plan or an “employee benefit plan” (as defined in Section 3(3) of ERISA), which could be
expected to have a Material Adverse Effect. 

                (b)       Neither
the Borrower nor any member of the Controlled Group has incurred any withdrawal liability with respect to any Multiemployer Plan
under Title IV of ERISA, and no such liability is expected to be incurred. 

        SECTION
3.07.   Compliance with Laws; Payment of Taxes.   The Borrower and the Subsidiaries are in
compliance in all material respects with all applicable laws, regulations and similar requirements of Governmental Authorities,
except where such compliance is being contested in good faith through appropriate proceedings, and where the failure to comply
would not have or cause, individually or in the aggregate, a Material Adverse Effect. There have been filed on behalf of the
Borrower and its Subsidiaries all Federal, state and local income, excise, property and other tax returns which are required to be
filed by them and all taxes due pursuant to such returns or pursuant to any assessment received by or on behalf of the Borrower or
any Subsidiary have been paid or are being contested in good faith by appropriate proceedings. The charges, accruals and reserves
on the books of the Borrower and the Subsidiaries in respect of taxes or other governmental charges are, in the opinion of the
Borrower, adequate. United States income tax returns of the Borrower and the Subsidiaries have been examined and closed through
the Fiscal Year ended October 29, 1999. 

        SECTION
3.08.   Subsidiaries.   Each of the Subsidiaries is a corporation duly organized, validly
existing and in good standing under the laws of its jurisdiction of incorporation, is duly qualified to transact business in every
jurisdiction where, by the nature of its business, such qualification is necessary, and has all corporate powers and all
governmental licenses, authorizations, consents and approvals required to carry on its business as now conducted, except where the
failure to qualify or have any such license, authorization, consent or approval would not have or cause, individually or in the
aggregate, a Material Adverse Effect. 

        SECTION
3.09.   Investment Company Act.   Neither the Borrower nor any of its Subsidiaries is an
“investment company” within the meaning of the Investment Company Act of 1940, as amended. 

        SECTION
3.10.   Public Utility Holding Company Act.   Neither the Borrower nor any of its
Subsidiaries is a “holding company”, or a “subsidiary company” of a “holding company”, or an
“affiliate” of a “holding company” or of a “subsidiary company” of a “holding company”, as
such terms are defined in the Public Utility Holding Company Act of 1935, as amended. 

        SECTION
3.11.   Ownership of Property; Liens.   Each of the Borrower and its Consolidated
Subsidiaries has title to its properties sufficient for the conduct of its business, and none of such property is subject to any
Lien except as permitted in Section 5.08. 

        SECTION
3.12.   No Default.   Neither the Borrower nor any of the Consolidated Subsidiaries is in
default under or with respect to any agreement, instrument or undertaking to which it 

17 

is a party or by which it or any of its property is bound which could have or
cause, individually or in the aggregate, a Material Adverse Effect. No Default has occurred and is continuing. 

        SECTION
3.13.   Full Disclosure.   All information heretofore furnished by the Borrower or any
Subsidiary to the Lender for purposes of or in connection with this Agreement or any transaction contemplated hereby is, and all
such information hereafter furnished by the Borrower or any Subsidiary to the Lender will be, true, accurate and complete in every
material respect or based on reasonable estimates on the date as of which such information is stated or certified. 

        SECTION
3.14.   Environmental Matters.   (a) Neither the Borrower nor any Subsidiary is subject
to, or knows any basis for, any Environmental Liability which could have or cause, individually or in the aggregate, a Material
Adverse Effect, and neither the Borrower nor any Subsidiary is, or is alleged to be, a potentially responsible party under CERCLA
or under any state statute similar to CERCLA which could have or cause, individually or in the aggregate, a Material Adverse
Effect. To the best knowledge of the Borrower, except for the matters disclosed in   Schedule 3.14, none of
the Properties has been identified on any current or proposed (i) National Priorities List under 40 C.F.R.
§ 300, (ii) CERCLIS list or (iii) any list arising from a state statute similar to CERCLA. 

                (b)       Except
for the matters disclosed in   Schedule 3.14, no Hazardous Materials have been or are being used, produced,
manufactured, processed, treated, recycled, generated, stored, disposed of, managed or otherwise handled at, or shipped or
transported to or from the Properties or are otherwise present at, on, in or under the Properties, or, to the best of the
knowledge of the Borrower, at or from any adjacent site or facility, except for Hazardous Materials used or otherwise handled, to
the best knowledge of the Borrower, in the ordinary course of business in compliance with all applicable Environmental
Requirements, except where the failure to comply would not have or cause, individually or in the aggregate, a Material Adverse
Effect. 

                (c)       Except
for the matters disclosed in   Schedule 3.14, the Borrower, and each of its Affiliates, has procured all
Environmental Authorizations necessary for the conduct of its business, and, to the best knowledge of the Borrower, is in
compliance with all Environmental Requirements, Environmental Authorizations and Environmental Judgments and Orders in connection
with the operation of the Properties and the Borrower’s, and its Affiliate’s, businesses, except where the failure to
comply could not have or cause, individually or in the aggregate, a Material Adverse Effect. 

        SECTION
3.15.   Capital Stock.   All Capital Stock, debentures, bonds, notes and all other securities
of the Borrower and its Subsidiaries presently issued and outstanding are validly and properly issued. All outstanding securities
(whether debt or equity) of the Borrower and its Subsidiaries were registered under the federal and any applicable state
securities laws or were issued in transactions which were exempt from registration under such laws; provided, that as to
any Subsidiary acquired but not created by the Borrower, the foregoing representation is made to the best of the Borrower’s
knowledge. The issued shares of Capital Stock of the Borrower’s Wholly Owned Subsidiaries are owned by the Borrower free and
clear of any Lien or adverse claim. At least a majority of the issued shares of capital stock of each of the other Subsidiaries
(other than Wholly Owned Subsidiaries) is owned by the Borrower, and all such shares owned by the Borrower are free and clear of
any Lien or adverse claim. 

18 

        SECTION
3.16.   Margin Stock.   Neither the Borrower nor any of its Subsidiaries is engaged
principally, or as one of its important activities, in the business of purchasing or carrying any Margin Stock, and no part of the
proceeds of any Loan will be used to purchase or carry any Margin Stock or to extend credit to others for the purpose of
purchasing or carrying any Margin Stock, or be used for any purpose which violates, or which is inconsistent with, the provisions
of Regulations U or X. 

        SECTION
3.17.   Insolvency.   After giving effect to the execution and delivery of the Loan Documents
and the making of the Loans under this Agreement, the Borrower will not be “insolvent,” within the meaning of such term
as defined in Section 101 of Title 11 of the United States Code or Section 2 of the Uniform Fraudulent Transfer Act, or any other
applicable law pertaining to fraudulent transfers, as each may be amended from time to time, or be unable to pay its debts
generally as such debts become due, or have an unreasonably small capital to engage in any business or transaction, whether
current or contemplated. 

        SECTION
3.18.   Pari Passu.   The Borrower’s payment obligations under this Agreement rank at
least pari passu with the claims of all its other unsecured and unsubordinated creditors, except for obligations mandatorily
preferred by law applying to companies generally. 

ARTICLE IV 

CONDITIONS 

        SECTION
4.01.   Effective Date.   The obligations of the Lender to make Loans hereunder shall not
become effective until the date (the “Effective Date”) on which each of the following conditions is satisfied (or
waived in accordance with Section 7.02): 

		                (a)       The
Lender (or its counsel) shall have received from either (i) a counterpart of this Agreement signed on behalf of the Borrower or
(ii) written evidence satisfactory to the Lender (which may include telecopy transmission of a signed signature page of this
Agreement) that the Borrower has signed a counterpart of this Agreement. 

		                (b)       The
Lender shall have received the favorable written opinion (addressed to the Lender and dated the Effective Date) of Lindquist &
Vennum P.L.L.P., special counsel for the Borrower, covering such other matters relating to the Borrower, this Agreement, the other
Loan Documents or the Transactions as the Lender shall reasonably request. The Borrower hereby requests such counsel to deliver
such opinion. 

		                (c)       The
Lender shall have received such documents and certificates as the Lender or its counsel may reasonably request relating to the
organization, existence and good standing of the Borrower, the authorization of the Transactions and any other legal matters
relating to the Borrower, this Agreement, the other Loan Documents or the Transactions, all in form and substance satisfactory to
the Lender and its counsel. 

		                (d)       The
Lender shall have received a certificate dated as of the Effective Date and signed by a principal financial officer of the
Borrower, as to the satisfaction on the Effective Date of the conditions set forth in clauses (a) and (b) of Section 4.02.

19 

		                (e)       The
Lender shall have received all fees and other amounts due and payable on or prior to the Effective Date, including, to the extent
invoiced, reimbursement or payment of all out-of-pocket expenses (including fees, charges and disbursements of counsel) required
to be reimbursed or paid by the Borrower or any Subsidiary hereunder or under any other Loan Document. 

		                (f)       After
giving effect to the Transactions occurring on or prior to the Effective Date, the assets and liabilities of the Borrower and its
Subsidiaries shall be consistent in all material respects with the pro forma financial statements and projections delivered to the
Lender prior to the date hereof. 

The Lender shall notify the Borrower of the Effective Date, and such notice
shall be conclusive and binding. Notwithstanding the foregoing, the obligations of the Lender to make Loans hereunder shall not
become effective unless each of the foregoing conditions is satisfied (or waived pursuant to Section 7.02) on or prior to May 28,
2004 (and, in the event such conditions are not so satisfied or waived, the Commitment shall terminate at such time). 

        SECTION
4.02.   Each Credit Event.   The obligation of the Lender to make a Loan on the occasion of
any Borrowing is subject to the satisfaction of the following conditions: 

		                (a)       The
representations and warranties of the Borrower set forth in this Agreement shall be true and correct on and as of the date of such
Borrowing. 

		                (b)       At
the time of and immediately after giving effect to such Borrowing, no Default shall have occurred and be continuing.

Each Borrowing shall be deemed to constitute a representation and warranty by
the Borrower on the date thereof as to the matters specified in paragraphs (a) and (b) of this Section. 

ARTICLE V 

COVENANTS 

        Until the Commitment has
expired or been terminated and the principal of and interest on each Loan and all fees and other amounts payable hereunder shall
have been paid in full, the Borrower covenants and agrees with the Lender that: 

        SECTION
5.01.   Information.   The Borrower will deliver to the Lender:  

		                (a)       as
soon as available and in any event within 90 days after the end of each Fiscal Year, a consolidated balance sheet of the Borrower
and its Consolidated Subsidiaries as of the end of such Fiscal Year and the related consolidated statements of income,
shareholders’ equity and cash flows for such Fiscal Year, setting forth in each case in comparative form the figures for the
previous fiscal year, all certified by Ernst & Young LLP or other independent public accountants of nationally recognized
standing, with such certification to be free of exceptions and qualifications not acceptable to the Lender; 

		                (b)       as
soon as available and in any event within 45 days after the end of each of the first three Fiscal Quarters of each Fiscal Year, a
consolidated balance sheet of the Borrower and its Consolidated Subsidiaries as of the end of such Fiscal Quarter and the related 

20 

	  	statements of income and cash flows for such Fiscal Quarter and
for the portion of the Fiscal Year ended at the end of such Fiscal Quarter, setting forth in each case in comparative form the
figures for the corresponding Fiscal Quarter and the corresponding portion of the previous Fiscal Year, all certified (subject to
normal year-end adjustments) as to fairness of presentation, GAAP and consistency by the chief financial officer, the treasurer or
the chief accounting officer of the Borrower; 

		                (c)       simultaneously
with the delivery of each set of financial statements referred to in clauses (a) and (b) above, a certificate of the chief
financial officer, the treasurer or the chief accounting officer of the Borrower in form acceptable to the Lender (a
“Compliance Certificate”) (i) setting forth in reasonable detail the calculations required to establish whether the
Borrower was in compliance with the requirements of Sections 5.03, 5.04, 5.06, 5.08, 5.11(c) and 5.21 on the date of such
financial statements, (ii) stating whether any Default exists on the date of such certificate and, if any Default then
exists, setting forth the details thereof and the action which the Borrower is taking or proposes to take with respect thereto,
(iii) containing the certification required by Section 5.01(b), and (iv) listing any new Subsidiaries not listed in any prior
Compliance Certificate; 

		                (d)       simultaneously
with the delivery of each set of annual financial statements referred to in clause (a) above, a statement of the firm of
independent public accountants which reported on such statements to the effect that nothing has come to their attention to cause
them to believe that any Default under any of Sections 5.03, 5.04 and 5.11(c) existed on the date of such financial statements;

		                (e)       within
five Business Days after the chief executive officer, chief operating officer, chief financial officer, chief accounting officer
or treasurer of the Borrower becomes aware of the occurrence of any Default, a certificate of the chief financial officer,
treasurer or the chief accounting officer of the Borrower setting forth the details thereof and the action which the Borrower is
taking or proposes to take with respect thereto; 

		                (f)       promptly
upon the mailing thereof to the shareholders of the Borrower generally, copies of all financial statements, reports and proxy
statements so mailed; 

		                (g)       promptly
upon the filing thereof, copies of all registration statements (other than the exhibits thereto and any registration statements on
Form S-8 or its equivalent) and annual, quarterly or monthly reports which the Borrower shall have filed with the Securities and
Exchange Commission; 

		                (h)       if
and when the Borrower or any member of the Controlled Group (i) gives or is required to give notice to the PBGC of any
“reportable event” (as defined in Section 4043 of ERISA) with respect to any Plan which might constitute grounds for a
termination of such Plan under Title IV of ERISA, or knows that the plan administrator of any Plan has given or is required to
give notice of any such reportable event, a copy of the notice of such reportable event given or required to be given to the PBGC;
(ii) receives notice of complete or partial withdrawal liability under Title IV of ERISA, a copy of such notice; or
(iii) receives notice from the PBGC under Title IV of ERISA of an intent to terminate or appoint a trustee to administer any
Plan, a copy of such notice; 

21 

		                (i)       promptly
after the Borrower knows of the commencement thereof, notice of any litigation or other legal proceeding involving a claim against
the Borrower and/or any Subsidiary for US$10,000,000 (or its equivalent in any other currency) or more in excess of amounts
covered in full by applicable insurance; and 

		                (j)       from
time to time such additional information regarding the financial position or business of the Borrower and its Subsidiaries as the
Lender may reasonably request. 

        SECTION
5.02.   Inspection of Property, Books and Records.   The Borrower will (i) keep, and
will cause each Subsidiary to keep, proper books of record and account in which full, true and correct entries in conformity with
GAAP shall be made of all dealings and transactions in relation to its business and activities; and (ii) permit, and will cause
each Subsidiary to permit, representatives of any Lender at such Lender’s expense prior to the occurrence of an Event of
Default and at the Borrower’s expense after the occurrence of an Event of Default to visit and inspect any of their
respective properties, to examine and make abstracts from any of their respective books and records and to discuss their
respective affairs, finances and accounts with their respective officers, employees and independent public accountants. The
Borrower agrees to cooperate and assist in such visits and inspections, in each case at such reasonable times and as often as may
reasonably be desired. 

        SECTION
5.03.   Ratio of Consolidated Debt to Consolidated EBITDA.   The ratio of Consolidated Debt
at any date to Consolidated EBITDA for the period of four consecutive Fiscal Quarters ended on or most recently prior to such date
will not exceed the ratio 3:1. 

        SECTION
5.04.   Minimum Shareholders’ Equity.   Shareholders’ Equity will at no time be
less than US$373,500,000 plus the sum of (i) 50% of the cumulative Reported Net Income of the Borrower and its Consolidated
Subsidiaries during any period after October 31, 2000 (taken as one accounting period), calculated quarterly but excluding from
such calculations of Reported Net Income for purposes of this clause (i) any quarter in which the Consolidated Net Income of the
Borrower and its Consolidated Subsidiaries is negative, and (ii) 100% of the cumulative Net Proceeds of Capital Stock/Conversion
of Debt received during any period after the date hereof, calculated quarterly. 

        SECTION
5.05.   Restricted Payments.   The Borrower will not declare or make any Restricted Payment
during any Fiscal Year, except for stock repurchases and dividends approved by the Board of Directors of the Borrower. 

        SECTION
5.06.   Loans or Advances.   Neither the Borrower nor any of its Subsidiaries shall make
loans or advances to any Person except: (i) loans or advances to employees not exceeding US$10,000,000 (or its equivalent in any
other currency) in the aggregate at any time outstanding made in the ordinary course of business; (ii) deposits required by
government agencies or public utilities; (iii) Prepaid Rebates; and (iv) loans, advances or deposits other than those permitted by
clauses (i) through (iii) of this Section not exceeding 10% of Consolidated Total Assets in the aggregate at any time outstanding,
provided that after giving effect to the making of any loans, advances or deposits permitted by clause (i), (ii), (iii) or (iv) of
this Section, no Default shall have occurred and be continuing. 

        SECTION
5.07.   Acquisitions.   Neither the Borrower nor any of its Subsidiaries shall make any
Acquisitions, provided, that Permitted Acquisitions may be made if, after giving effect thereto, no Default or Event of Default
would be caused thereby (giving effect to such Permitted 

22 

Acquisitions on a pro forma basis as to financial covenants as if they had
occurred on each relevant date or at the beginning of each relevant period). 

        SECTION
5.08.   Negative Pledge.   Neither the Borrower nor any Consolidated Subsidiary will create,
assume or suffer to exist any Lien on any asset now owned or hereafter acquired by it, except: 

		                (a)       Liens
existing on the date of this Agreement securing Debt outstanding on the date of this Agreement in an aggregate principal amount
not exceeding US$10,000,000 (or its equivalent in any other currency); 

		                (b)       any
Lien existing on any asset of any corporation at the time such corporation becomes a Consolidated Subsidiary and not created in
contemplation of such event; 

		                (c)       any
Lien on any asset (other than Equity Interests, indebtedness or inventory) securing Debt incurred or assumed for the purpose of
financing all or any part of the cost of acquiring or constructing such asset, provided that such Lien attaches to such asset
concurrently with or within 18 months after the acquisition or completion of construction thereof; 

		                (d)       any
Lien on any asset of any corporation existing at the time such corporation is merged or consolidated with or into the Borrower or
a Consolidated Subsidiary and not created in contemplation of such event; 

		                (e)       any
Lien existing on any asset prior to the acquisition thereof by the Borrower or a Consolidated Subsidiary and not created in
contemplation of such acquisition; 

		                (f)       Liens
securing Debt owing by any Subsidiary to the Borrower; 

		                (g)       any
Lien arising out of the refinancing, extension, renewal or refunding of any Debt secured by any Lien permitted by any of the
foregoing clauses of this Section, provided that (i) such Debt is not secured by any additional assets, and (ii) the amount of
such Debt secured by any such Lien is not increased; 

		                (h)       Liens
incidental to the conduct of its business or the ownership of its assets which (i) do not secure Debt and (ii) do not in the
aggregate materially detract from the value of its assets or materially impair the use thereof in the operation of its business;

		                (i)       any
Lien on Excess Margin Stock; and 

		                (j)       Liens
not otherwise permitted by the foregoing clauses of this Section securing Debt (other than Loans) in an aggregate principal amount
at any time outstanding which, together with the amount of Debt secured by Liens permitted by the foregoing paragraphs (a) through
(i), does not exceed 10% of Consolidated Total Assets. 

        SECTION
5.09.   Maintenance of Existence.   The Borrower shall maintain its corporate existence and
carry on its business in substantially the same manner and in substantially the same fields in which such business is now carried
on, except as permitted by Section 5.11. 

23 

        SECTION
5.10.   Dissolution.   The Borrower shall not suffer or permit dissolution or liquidation
either in whole or in part or redeem or retire any shares of its own stock or that of any Subsidiary, except (i) through a
corporate reorganization permitted by Section 5.11 or (ii) Restricted Payments permitted by Section 5.05. 

        SECTION
5.11.   Consolidations, Mergers and Sales of Assets.   The Borrower will not, nor will it
permit any Subsidiary to, consolidate or merge with or into, or sell, lease or otherwise transfer all or any substantial part of
its assets (other than Excess Margin Stock) to, any other Person, or discontinue or eliminate any business line or segment,
provided that (a) the Borrower may merge with another Person if (i) such Person was organized under the laws of the United
States of America or one of its states, (ii) the Borrower is the corporation surviving such merger and (iii) immediately after
giving effect to such merger, no Default shall have occurred and be continuing, (b) Subsidiaries of the Borrower may merge
with one another, or with and into the Borrower where the Borrower is the corporation surviving such merger, (c) the
foregoing limitation on the sale, lease or other transfer of assets and on the discontinuation or elimination of a business line
or segment shall not apply to loans or advances permitted by Section 5.06 or prohibit, during any Fiscal Quarter, a transfer of
assets or the discontinuance or elimination of a business line or segment (in a single transaction or in a series of related
transactions) unless the aggregate assets to be so transferred or utilized in a business line or segment to be so discontinued,
when combined with all other assets transferred (other than inventory sold in the ordinary course of business), and all other
assets utilized in all other business lines or segments discontinued, during such Fiscal Quarter and the immediately preceding
three Fiscal Quarters contributed more than 20% of Consolidated Operating Profits during the four consecutive Fiscal Quarters
immediately preceding such Fiscal Quarter and (d) the Borrower and any Subsidiary may sell inventory in the ordinary course of
business. 

        SECTION
5.12.   Use of Proceeds.   The proceeds of the Loans will be used only for the purposes
referred to in the preamble to this Agreement. No portion of the proceeds of the Loans will be used by the Borrower or any
Subsidiary (i) directly or indirectly, for the purpose, whether immediate, incidental or ultimate, of purchasing or carrying any
Margin Stock, or (ii) for any purpose in violation of any applicable law or regulation. 

        SECTION
5.13.   Compliance with Laws; Payment of Taxes.   (a)    The Borrower
will, and will cause each of its Subsidiaries and each member of the Controlled Group to, comply with applicable laws (including
but not limited to ERISA and Environmental Requirements), regulations and similar requirements of Governmental Authorities
(including but not limited to PBGC), except where the necessity of such compliance is being contested in good faith through
appropriate proceedings diligently pursued. The Borrower will, and will cause each of its Subsidiaries to, pay promptly when due
all taxes, assessments, governmental charges, claims for labor, supplies, rent and other obligations which, if unpaid, might
become a lien against the property of the Borrower or any Subsidiary, except liabilities being contested in good faith by
appropriate proceedings diligently pursued and against which the Borrower shall have set up reserves in accordance with GAAP.

                (b)       The
Borrower shall not permit the complete or partial withdrawal liability with respect to Multiemployer Plans, or any termination
liability under Title IV of ERISA with respect to other Plans, incurred by the Borrower, any Subsidiary and members of the
Controlled Group to exceed, in the aggregate, US$10,000,000 at any time. 

        SECTION
5.14.   Insurance.   The Borrower will maintain, and will cause each of its Subsidiaries to
maintain (either in the name of the Borrower or in such Subsidiary’s own name), with 

24 

financially sound and reputable insurance companies, insurance on all its
Property in at least such amounts and against at least such risks as are usually insured against in the same general area by
companies of established repute engaged in the same or similar business. 

        SECTION
5.15.   Change in Fiscal Year.   The Borrower will not change its Fiscal Year without
the consent of the Lender. 

        SECTION
5.16.   Maintenance of Property.   The Borrower shall, and shall cause each Subsidiary
to, maintain all of its material properties and assets in good condition, repair and
working order, ordinary wear and tear excepted. 

        SECTION
5.17.   Environmental Notices.   The Borrower shall furnish to the Lender prompt
written notice of all material Environmental Liabilities, Environmental Notices and
Environmental Judgments and Orders and pending, threatened or anticipated Environmental
Proceedings relating to the Borrower, any of its Subsidiaries or the Properties. 

        SECTION
5.18.   Environmental Matters.   The Borrower and its Subsidiaries will not, and will not
permit any Third Party to, use, produce, manufacture, process, treat, recycle, generate, store, dispose of, manage at, or
otherwise handle or ship or transport to or from the Properties any Hazardous Materials except for Hazardous Materials used,
produced, manufactured, processed, treated, recycled, generated, stored, disposed, managed or otherwise handled, to the best
knowledge of the Borrower, in compliance with all applicable Environmental Requirements, except where the failure to comply could
not reasonably be expected to have or cause, individually or in the aggregate, a Material Adverse Effect. 

        SECTION
5.19.   Environmental Release.   The Borrower agrees that upon the occurrence of an
Environmental Release at or on any of the Properties it will act immediately to investigate the extent of, and to take appropriate
remedial action with respect to, such Environmental Release, whether or not ordered or otherwise directed to do so by any
Environmental Authority. 

        SECTION
5.20.   Transactions with Affiliates.   Neither the Borrower nor any of its Subsidiaries
shall enter into, or be a party to, any material transaction with any Affiliate of the Borrower or such Subsidiary, except as
permitted by law and in the ordinary course of business and pursuant to reasonable terms no less favorable to the Borrower or such
Subsidiary than would be obtained in a comparable arm’s length transaction with a Person which is not an Affiliate.

        SECTION
5.21.   Limitation on Subsidiary Debt.   The Borrower shall not permit the outstanding
principal amount of Debt of the Subsidiaries (other than (i) Debt owed under this Agreement or any other Loan Document and (ii)
Debt owed under the 5 year Syndicated Credit Agreement dated November 17, 2000 or any finance document related thereto) at any
time to exceed, in the aggregate, 10% of Consolidated Total Assets. 

        SECTION
5.22.   Pari Passu.   The Borrower’s obligations under the Agreement shall at all times
rank at least pari passu with the claims of all its other unsecured and unsubordinated creditors, except for obligations
mandatorily preferred by law applying to companies generally. 

25 

ARTICLE VI 

EVENTS OF DEFAULT 

        SECTION
6.01.   Events of Default.   If one or more of the following events (“Events of
Default”) shall have occurred and be continuing:  

		                (a)       the
Borrower shall fail to pay when due any principal of any Loan or shall fail to pay any interest on any Loan within five Business
Days after such interest shall become due, or shall fail to pay any fee or other amount payable hereunder within five Business
Days after such fee or other amount becomes due; or 

		                (b)       the
Borrower shall fail to observe or perform any covenant contained in Section 5.01(e), 5.02(ii), 5.03, 5.04, 5.08, 5.09, 5.10, 5.11
or 5.22; or 

		                (c)       the
Borrower shall fail to observe or perform any covenant or agreement contained or incorporated by reference in this Agreement
(other than those covered by clause (a) or (b) above) or any other Loan Document for thirty days after the earlier of (i) the
first day on which the Borrower has knowledge of such failure or (ii) written notice thereof has been given to the Borrower
by the Lender; or 

		                (d)       any
representation, warranty, certification or statement made or deemed made by the Borrower in Article III of this Agreement or in
any certificate, financial statement or other document delivered pursuant to this Agreement or any Loan Document shall prove to
have been incorrect or misleading in any material respect when made (or deemed made); or 

		                (e)       the
Borrower or any Subsidiary shall fail to make any payment in respect of Debt outstanding (other than the Loans) in an aggregate
principal amount in excess of US$10,000,000 (or its equivalent in any other currency) when due or within any applicable grace
period; or 

		                (f)       any
event or condition shall occur which results in the acceleration of the maturity of Debt of the Borrower or any Subsidiary in an
aggregate principal amount in excess of US$10,000,000 (or its equivalent in any other currency) or the mandatory prepayment or
purchase of such Debt by the Borrower (or its designee) or such Subsidiary (or its designee) prior to the scheduled maturity
thereof, or enables (or, with the giving of notice or lapse of time or both, would enable) the holders of such Debt or any Person
acting on such holders’ behalf to accelerate the maturity thereof or require the mandatory prepayment or purchase thereof
prior to the scheduled maturity thereof, without regard to whether such holders or other Person shall have exercised or waived
their right to do so; or 

		                (g)       the
Borrower or any Subsidiary shall commence a voluntary case or other proceeding seeking liquidation, reorganization or other relief
with respect to itself or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect or seeking
the appointment of a trustee, receiver, liquidator, custodian or other similar official of it or any substantial part of its
property, or shall consent to any such relief or to the appointment of or taking possession by any such official in an involuntary
case or other proceeding commenced against it, or shall make a general assignment for the benefit of creditors, or shall fail
generally, 

26 

	  	or shall admit in writing its inability, to pay its debts as they
become due, or shall take any corporate action to authorize any of the foregoing; or 

		                (h)       an
involuntary case or other proceeding shall be commenced against the Borrower or any Subsidiary seeking liquidation, reorganization
or other relief with respect to it or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect
or seeking the appointment of a trustee, receiver, liquidator, administrator, custodian or other similar official of it or any
substantial part of its property, and such involuntary case or other proceeding shall remain undismissed and unstayed for a period
of 60 days; or an order for relief shall be entered against the Borrower or any Subsidiary under the federal bankruptcy laws,
or any equivalent law in any other jurisdiction, as now or hereafter in effect; or 

		                (i)       the
Borrower or any member of the Controlled Group shall fail to pay when due any material amount which it shall have become liable to
pay to the PBGC or to a Plan under Title IV of ERISA or Section 412 of the Code; or notice of intent to terminate a Plan or Plans
shall be filed under Title IV of ERISA by the Borrower, any member of the Controlled Group, any plan administrator or any
combination of the foregoing; or the PBGC shall institute proceedings under Title IV of ERISA to terminate or to cause a trustee
to be appointed to administer any such Plan or Plans or a proceeding shall be instituted by a fiduciary of any such Plan or Plans
to enforce Section 515 or 4219(c)(5) of ERISA and such proceeding shall not have been dismissed within 30 days thereafter; or a
condition shall exist by reason of which PBGC would be entitled to obtain a decree adjudicating that any such Plan or Plans must
be terminated; or 

		                (j)       one
or more judgments or orders for the payment of money in an aggregate amount in excess of US$10,000,000 (or its equivalent in any
other currency) shall be rendered against the Borrower or any Subsidiary and the Borrower or such Subsidiary shall not discharge
the same in accordance with its terms or procure a stay of execution thereof within 30 days from the date of entry thereof, and
within such period of 30 days, or such longer period during which execution of such judgment shall have been stayed, appeal
therefrom and cause the execution thereof to be stayed during such appeal; or 

		                (k)       a
federal tax lien shall be filed against the Borrower or any Subsidiary under Section 6323 of the Code, or a lien shall arise under
ERISA or the Code in favor of a Plan or the PBGC against the Borrower, any Subsidiary or any member of the Controlled Group, and
in each case such lien shall remain undischarged for a period of 25 days; or 

		                (l)       (i)    any
Person or two or more Persons acting in concert shall have acquired beneficial ownership (within the meaning of Rule 13d-3 of the
Securities and Exchange Commission under the Exchange Act) of 30% or more of the outstanding shares of the voting stock of the
Borrower; or (ii) as of any date a majority of the Board of Directors of the Borrower shall consist of individuals who were
not either (A) directors of the Borrower as of the corresponding date of the previous year, (B) selected or nominated to
become directors by the Board of Directors of the Borrower of which a majority consisted of individuals described in clause (A),
or (C) selected or nominated to become directors by the Board of Directors of the Borrower of which a majority consisted of
individuals described in clause (A) or individuals described in clause (B); 

27 

then, and in every such event, the Lender shall (i) by notice to the Borrower
terminate the Commitment and it shall thereupon terminate, and (ii) by notice to the Borrower declare the Loans (together with
accrued interest thereon) and all other amounts payable hereunder and under the other Loan Documents to be, and the Loans
(together with all accrued interest thereon) and all other amounts payable hereunder and under the other Loan Documents shall
thereupon become, immediately due and payable without presentment, demand, protest or other notice of any kind, all of which are
hereby waived by the Borrower; provided that if any Event of Default specified in clause (g) or (h) above occurs with
respect to the Borrower, without any notice to the Borrower or any other act by the Lender, the Commitment shall thereupon
automatically terminate and the Loans (together with accrued interest thereon) and all other amounts payable hereunder and under
the other Loan Documents shall automatically become immediately due and payable without presentment, demand, protest or other
notice of any kind, all of which are hereby waived by the Borrower. Notwithstanding the foregoing, the Lender shall have available
to it all other remedies at law or equity. 

ARTICLE VII 

MISCELLANEOUS 

        SECTION
7.01.   Notices.   Except in the case of notices and other communications expressly permitted
to be given by telephone, all notices and other communications provided for herein shall be in writing and shall be delivered by
hand or overnight courier service, mailed by certified or registered mail or sent by telecopy, as follows: 

		                (a)       if
to the Borrower, to it at 1101 South Third Street, Minneapolis, MN 55415, Attention of Deborah Weiss, Treasurer (Telecopy No.
(612) 375-7750); and 

		                (b)       if
to the Lender, to it at PO BOX 2481, Napier Court, Napier Road, Reading, Berks, RG1 8FD, UK, Attention of Tony Milman,
Relationship Director (Telecopy No. 44-118-955-3111). 

Any party hereto may change its address or telecopy number for notices and
other communications hereunder by notice to the other parties 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. 

        SECTION
7.02.   Waivers; Amendments.   (a)    No failure or delay by the Lender
in exercising any right or power 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
Lender 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 any Loan Document or consent to any departure by the Borrower therefrom shall in any
event be effective unless the same shall be permitted by paragraph (b) of this Section, 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 shall not be construed as a waiver of any Default, regardless of whether the Lender may have had notice or
knowledge of such Default at the time. 

28 

                (b)       Neither
this Agreement nor any of the Loan Documents 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 Borrower and the Lender. 

                (c)       Notwithstanding
anything to the contrary in this Agreement or the other Loan Documents, if the UK moves to the third stage of EMU, the Lender
shall be entitled to make such changes to the Agreement and the other Loan Documents as it reasonably considers are necessary to
reflect the changeover to Euro (including, without limitation, the rounding (up or down) of fixed monetary amounts to convenient
fixed amounts in Euro and amending any provisions to reflect the market conventions for a facility of the kind contemplated in
this Agreement and the other Loan Documents). 

        SECTION
7.03.   Expenses; Indemnity; Damage Waiver.   (a)    The Borrower shall
pay (i) all reasonable out-of-pocket expenses incurred by the Lender and each of their Affiliates, including the reasonable fees,
charges and disbursements of Hughes Hubbard & Reed LLP, counsel for the Lender, in connection with the preparation and
administration of this Agreement or the other Loan Documents or any amendments, modifications or waivers of the provisions hereof
(whether or not the transactions contemplated hereby or thereby shall be consummated) and (ii) all out-of-pocket expenses incurred
by the Lender, including the reasonable fees, charges and disbursements of any counsel for the Lender, in connection with the
enforcement or protection of its rights in connection with any Loan Document, including its rights under this Section, or in
connection with the Loans made hereunder, including all such out-of-pocket expenses incurred during any workout, restructuring or
negotiations in respect of such Loans. 

                (b)       The
Borrower agrees to indemnify the Lender, and each Related Party of any of the foregoing Persons (each such Person being called an
“Indemnitee”) against, and hold each Indemnitee harmless from, any and all losses, claims, damages, liabilities
and related expenses, including the reasonable fees, charges and disbursements of any counsel for any Indemnitee, incurred by or
asserted against any Indemnitee arising out of, in connection with, or as a result of (i) the execution or delivery of this
Agreement or any other Loan Document, or any agreement or instrument contemplated hereby or thereby, the performance by the
parties hereto of their respective obligations hereunder or the consummation of the Transactions or any other transactions
contemplated hereby, (2) any Loan or the use of the proceeds therefrom or any transaction in which such proceeds are used, (3) any
actual or alleged presence or Environmental Release of Hazardous Materials on or from any property currently or formerly owned or
operated by the Borrower or any of its Subsidiaries or Affiliates, or any Environmental Liability related in any way to the
Borrower or any of its Subsidiaries or Affiliates or their respective predecessors, or (4) any actual or prospective claim,
litigation, investigation or proceeding relating to any of the foregoing, whether based on contract, tort or any other theory and
regardless of whether any Indemnitee is a party thereto; provided that such indemnity shall not, as to any Indemnitee, be
available to the extent that such losses, claims, damages, liabilities or related expenses are finally determined by a court of
competent jurisdiction to have resulted from the gross negligence or wilful misconduct of such Indemnitee. 

                (c)       To
the extent permitted by applicable law, the Borrower shall not assert, and the Borrower hereby waives, any claim against any
Indemnitee, on any theory of liability, for special, indirect, consequential or punitive damages (as opposed to direct or actual
damages) arising out of, in connection with, or as a result of, this Agreement, any other Loan Document or any agreement or
instrument contemplated hereby, the Transactions, any Loan or the use of the proceeds thereof. 

29 

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

        SECTION
7.04.   Successors and Assigns.   (a)    The provisions of this Agreement
shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns, except
that the Borrower may not assign or otherwise transfer any of its rights or obligations hereunder without the prior written
consent of the Lender (and any attempted assignment or transfer by the Borrower without such consent shall be null and void).
Nothing in this Agreement, expressed or implied, shall be construed to confer upon any Person (other than the parties hereto,
their respective successors and assigns permitted hereby and, to the extent expressly contemplated hereby, the Related Parties of
the Lender) any legal or equitable right, remedy or claim under or by reason of this Agreement. 

                (b)       The
Lender may, at any time, assign, transfer or novate to one or more assignees any of its rights, benefits and/or obligations in
respect of this Agreement and the other Loan Documents, in whole or in part, provided that no such assignment, transfer or
novation may be made without the prior consent of the Borrower (which consent shall not be unreasonably withheld or delayed and
which consent is hereby given by the Borrower in respect of any transfer, novation or assignment made by the Lender to an
Affiliate of the Lender or following a Default or Event of Default and shall also be deemed to be given five Business Days after
the Lender has requested it unless the consent is expressly refused by the Borrower within that time). 

                (c)       A
transfer, assignment or novation by the Lender of any of its obligations hereunder will only be effective if the person to which
the Lender transfers, novates or assigns all or any part of its obligations hereunder shall first confirm to the Borrower and the
Lender, in a form and substance satisfactory thereto, that it agrees to be bound by the terms of this Agreement and the other Loan
Documents in respect of such obligations, whereupon, to the extent that the Lender seeks to transfer, assign or novate its
obligations hereunder: 

		                (i)       the
Lender and the Borrower shall be released from further obligations towards each other hereunder (the “discharged
obligations”) and their respective rights against each other shall be cancelled (the “discharged rights”), in each
case, to the extent of such transfer, assignment or novation; and 

		                (ii)       the
Borrower and the proposed transferee or assignee shall: 

		                (a)       assume
obligations towards each other which differ from the discharged obligations only insofar as they are owed to or assumed by the
proposed transferee or assignee and not the Lender; and 

		                (b)       acquire
rights against each other which differ from the discharged rights only insofar as they are exercisable by or against the proposed
transferee or assignee and not the Lender. 

In the case of a transfer, assignment or novation covering all of the
assigning Lender’s rights and obligations under this Agreement and the Loan Documents, such Lender shall cease to be a party
hereto but shall continue to be entitled to the benefits of Sections 2.10, 2.11, 2.12 and 7.03. 

30 

                (d)       The
Borrower acknowledges that any person to which the rights, benefits and/or obligations of the Bank may from time to time be so
assigned, transferred or novated, shall be entitled to share the benefit of this Agreement as if such person had constituted an
original lender under this Agreement to the extent of such assignment, transfer or novation. 

                (e)       The
Lender may, without the consent of any Borrower sell participations to one or more banks or other entities (a
“Participant”) in all or a portion of such Lender’s rights and obligations under this Agreement and the other Loan
Documents (including all or a portion of its Commitment and the Loans owing to it). The Borrower agrees that each Participant
shall be entitled to the benefits of Sections 2.10, 2.11 and 2.12 to the same extent as if it were a Lender and had acquired its
interest by assignment pursuant to this Section. Notwithstanding the foregoing sentence, a Participant shall not be entitled to
receive any greater payment under Section 2.10, 2.11 or 2.12 than the applicable Lender would have been entitled to receive with
respect to the participation sold to such Participant, unless the sale of the participation to such Participant is made with the
Borrower’s prior written consent. 

                (f)       The
Borrower irrevocably authorizes the Lender, at its discretion, at any time or from time to time, to disclose any information
concerning the Borrower, its Subsidiaries and the Loan Documents to (i) any associated company of the Lender, (ii) any actual or
prospective assignee or transferee referred to in this Section 7.04, (iii) any actual or prospective participant and (iv) any
other person who, in the Lender’s opinion, requires such information in connection with any arrangements relating to a
transaction contemplated in this Section 7.04. The above authority is without prejudice to the Lender’s right or duty of
disclosure implied or required by under the Loan Documents, by law or otherwise. 

                (g)       The
Borrower agrees to execute and deliver, or to procure the execution and delivery of, such document(s), and/or shall accept or
procure the acceptance of such amendments to this Agreement, as may in each case be reasonably requested by the Lender in
connection with such assignment, transfer, novation or participation. 

        SECTION
7.05.   Survival.   All covenants, agreements, representations and warranties made by the
Borrower herein or in any other Loan Document and in the certificates or other instruments delivered in connection with or
pursuant to this Agreement or any other Loan Document shall be considered to have been relied upon by the other parties hereto and
thereto and shall survive the execution and delivery of this Agreement and any other Loan Document and the making of any Loans,
regardless of any investigation made by any such other party or on its behalf and notwithstanding that the Lender may have had
notice or knowledge of any Default or incorrect representation or warranty at the time any credit is extended hereunder, and shall
continue in full force and effect as long as the principal of or any accrued interest on any Loan or any fee or any other amount
payable under this Agreement or any other Loan Document is outstanding and unpaid and so long as the Commitment has not expired or
terminated. The provisions of Sections 2.10, 2.11, 2.12 and 7.03 shall survive and remain in full force and effect regardless of
the consummation of the transactions contemplated hereby, the repayment of the Loans, the expiration or termination of the
Commitments or the termination of this Agreement or any other Loan Document or any provision hereof or thereof. 

        SECTION
7.06.   Counterparts; Integration; Effectiveness.   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. This 

31 

Agreement, the other Loan Documents constitute the entire contract among the
parties relating to the subject matter hereof and supersede any and all previous agreements and understandings, oral or written,
relating to the subject matter hereof. Except as provided in Section 4.01, this Agreement shall become effective when it shall
have been executed by the Lender and when the Lender shall have received counterparts hereof which, when taken together, bear the
signatures of each of the other parties hereto, and thereafter shall be binding upon and inure to the benefit of the parties
hereto and their respective successors and assigns. Delivery of an executed counterpart of a signature page of this Agreement by
telecopy shall be effective as delivery of a manually executed counterpart of this Agreement. 

        SECTION
7.07.   Severability.   Any provision of this Agreement held to be invalid, illegal or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or
unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof; and the
invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction.

        SECTION
7.08.   Right of Setoff.   If an Event of Default shall have occurred and be continuing, the
Lender and each of its Affiliates are hereby authorized at any time and from time to time, to the fullest extent permitted by law,
to set off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other
obligations at any time owing by the Lender or Affiliate to or for the credit or the account of the Borrower against any of and
all the obligations of the Borrower now or hereafter existing under this Agreement held by the Lender, irrespective of whether or
not the Lender shall have made any demand under this Agreement and although such obligations may be unmatured. The rights of the
Lender under this Section are in addition to other rights and remedies (including other rights of setoff) which the Lender may
have. 

        SECTION
7.09.   Governing Law; Jurisdiction; Consent to Service of Process.  

                (a)       This
Agreement shall be construed in accordance with and governed by the law of the State of New York. 

                (b)       The
Borrower hereby irrevocably and unconditionally submits, for itself and its property, to the nonexclusive jurisdiction of the
Supreme Court of the State of New York sitting in New York County and of the United States District Court of the Southern District
of New York, and any appellate court from any thereof, in any action or proceeding arising out of or relating to any Loan
Document, 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 Lender may otherwise have to bring any action or proceeding
relating to this Agreement or any other Loan Document against any Borrower or its properties in the courts of any jurisdiction.

                     (c)       The
Borrower 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 any other Loan Document in any court referred to in paragraph (b) of this Section. Each of the parties 

32 

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. 

                (d)       The
Borrower hereby irrevocably consents to the service of process in any suit, action or proceeding in the manner provided for
notices in Section 7.01. Nothing in this Agreement or any other Loan Document will affect the right of the Lender to serve process
in any other manner permitted by law. 

        SECTION
7.10.   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 ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT
OF OR RELATING TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT
OR ANY OTHER THEORY). EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF THE 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 PARTY HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER
THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION. 

        SECTION
7.11.   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 shall not affect the construction of, or be taken into
consideration in interpreting, this Agreement. 

        SECTION
7.12.   Confidentiality.   The Lender agrees to maintain the confidentiality of the
Information (as defined below), except that Information may be disclosed (a) to its and its Affiliates’ directors,
officers, employees and agents, including accountants, legal counsel and other advisors (it being understood that the Persons to
whom such disclosure is made will be informed of the confidential nature of such Information and instructed to keep such
Information confidential), (b) to the extent requested by any regulatory authority, (c) to the extent required by
applicable laws or regulations or by any subpoena or similar legal process, (d) to any other party to this Agreement, (e) in
connection with the exercise of any remedies hereunder or any suit, action or proceeding relating to this Agreement or any other
Loan Document or the enforcement of rights hereunder or thereunder, (f) subject to an agreement containing provisions
substantially the same as those of this Section, to (i) any assignee of or participant in, or any prospective assignee of or
participant in, any of its rights or obligations under this Agreement or (ii) any actual or prospective counterparty to any swap
or derivative transaction relating to the Borrower and its obligations, or any advisor of any such counterparty, (g) with the
consent of the Borrower or (h) to the extent such Information (i) becomes publicly available other than as a result of a
breach of this Section or (ii) becomes available to the Lender on a nonconfidential basis from a source other than the Borrower.
For the purposes of this Section, “Information” means all information received from the Borrower relating to the
Borrower or its business, other than any such information that is available to the Lender on a nonconfidential basis prior to
disclosure by the Borrower; provided that, in the case of information received from the Borrower after the date hereof,
such information is clearly identified at the time of delivery as confidential. Any Person required to maintain the
confidentiality of Information as provided in this Section shall be considered to have complied with its obligation to do so if
such Person has exercised 

33 

the same degree of care to maintain the confidentiality of such Information
as such Person would accord to its own confidential information. 

        SECTION
7.13.   Conversion of Currencies.   (a)    If, for the purpose of
obtaining judgment in any court, it is necessary to convert a sum owing hereunder in one currency into another currency, each
party hereto agrees, to the fullest extent that it may effectively do so, that the rate of exchange used shall be that at which in
accordance with normal banking procedures in the relevant jurisdiction the first currency could be purchased with such other
currency on the Business Day immediately preceding the day on which final judgment is given. 

                (b)       The
obligations of the Borrower in respect of any sum due to any party hereto or any holder of the obligations owing hereunder (the
“Applicable Creditor”) shall, notwithstanding any judgment in a currency (the “Judgment
Currency”) other than the currency in which such sum is stated to be due hereunder (the “Agreement
Currency”), be discharged only to the extent that, on the Business Day following receipt by the Applicable Creditor of
any sum adjudged to be so due in the Judgment Currency, the Applicable Creditor may in accordance with normal banking procedures
in the relevant jurisdiction 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 Applicable Creditor in the Agreement Currency, the Borrower agrees, as a
separate obligation and notwithstanding any such judgment, to indemnify the Applicable Creditor against such loss. The obligations
of the Borrower contained in this Section 7.13 shall survive the termination of this Agreement and the payment of all other
amounts owing hereunder. 

        SECTION
7.14.   Interest Rate Limitation.   Notwithstanding anything herein to the contrary, if at
any time the interest rate applicable to any Loan, together with all fees, charges and other amounts which are treated as interest
on such Loan 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 in accordance
with applicable law, the rate of interest payable in respect of such Loan 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 but were not payable as a result of the operation of this Section shall be cumulated and the interest and
Charges payable to the Lender in respect of other Loans or periods shall be increased (but not above the Maximum Rate therefor)
until such cumulated amount, together with interest thereon at the Federal Funds Effective Rate to the date of repayment, shall
have been received by such Lender. 

34 

        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. 

	 	 	 	 	 	 
	 	 	THE VALSPAR CORPORATION,
as Borrower 
	

   		

by  	 	

   	 
	 	

		Name:
Title: 	 
	 	 	

BARCLAYS BANK PLC,
as Lender 
	

   		

by  	 	

   	 
	 	

		Name:
Title: 	 

35 

Schedule 3.14  

Environmental Matters  

Borrower is a potentially responsible party under CERCLA or state law at
several superfund sites, some of which matters have now been closed and of the open matters, none of them has caused or is
reasonably expected to cause, individually or in the aggregate, a Material Adverse Effect. 

Remedial activities are underway at several of Borrower’s plants.

While Borrower’s policy is to comply with Environmental Requirements as
soon as practical, there have been and may be occasions where compliance is delayed by such factors as scheduling requirements of
disposal companies, weather or uncertainty as to specific compliance requirements. From time to time, Borrower contests in good
faith the specific procedures or requirements for compliance with Environmental Requirements. 

  

EXHIBIT A  

Calculation of the Mandatory Cost 

	1 	  	The Mandatory Cost is an addition to the interest rate to
compensate the Lender for the cost of compliance with (a) the requirements of the Bank of England and/or the Financial Services
Authority (or, in either case, any other authority which replaces all or any of its functions) or (b) the requirements of the
European Central Bank. 

	2 	  	On the first day of each Interest Period (or as soon as possible
thereafter) the Lender shall calculate, as a percentage rate, a rate per annum (the “Additional Cost Rate”) in
accordance with the paragraphs set out below. 

	3 	  	The Additional Cost Rate for the Lender if lending from a Facility
Office in a Participating Member State will be the percentage notified by the Lender to the Borrower as being its reasonable
determination of the cost of complying with the minimum reserve requirements of the European Central Bank in respect of Advances
made from that Facility Office. 

	4 	  	The Additional Cost Rate for the Lender if lending from a Facility
Office in the United Kingdom will be calculated as follows: 

		AB  +  C(B  –  D)  +  E  x  0.01
          100  –  (A  +  C) 		per cent. per annum 

Where: 

	A 	  	is the percentage of Eligible Liabilities (assuming these to be in
excess of any stated minimum) which the Lender is from time to time required to maintain as an interest free cash ratio deposit
with the Bank of England to comply with cash ratio requirements. 

	B 	  	is the percentage rate of interest (excluding the Lender’s
margin and the Mandatory Cost) and, if the Loan is an overdue amount, the additional rate of interest specified in Section 2.09(b)
payable for the relevant Interest Period on the Loan. 

	C 	  	is the percentage (if any) of Eligible Liabilities which the
Lender is required from time to time to maintain as interest bearing Special Deposits with the Bank of England. 

	D 	  	is the percentage rate per annum payable by the Bank of England to
the Lender on interest bearing Special Deposits. 

	E 	  	is designed to compensate the Lender for amounts payable under the
Fees Rules and is calculated as the rate of charge payable by the Lender to the Financial Services Authority pursuant to the Fees
Rules in respect of the relevant financial year of the Financial Services Authority (calculated for this purpose by the Lender as
being the average of the Fee Tariffs applicable to the Lender for that financial year) and expressed in pounds per
£1,000,000 of the Tariff Base of the Lender. 

	5  	  	For the purposes of this Exhibit: 

A-1 

	(a)  	  	“Eligible Liabilities” and “Special
Deposits” have the meanings given to them from time to time under or pursuant to the Bank of England Act 1998 or (as may
be appropriate) by the Bank of England; 

	(b)  	  	“Fees Rules” means the rules on periodic fees
contained in the FSA Supervision Manual or such other law or regulation as may be in force from time to time in respect of the
payment of fees for the acceptance of deposits; 

	(c)  	  	“Fee Tariffs” means the fee tariffs specified in
the Fees Rules under the activity group A.1 Deposit acceptors (ignoring any minimum fee or zero rated fee required pursuant to the
Fees Rules but taking into account any applicable discount rate); and 

	(d)  	  	“Tariff Base” has the meaning given to it in, and
will be calculated in accordance with, the Fees Rules. 

	6 	  	In application of the above formulae, A, B, C and D will be
included in the formulae as percentages (i.e. 5 per cent. will be included in the formula as 5 and not as 0.05). A negative result
obtained by subtracting D from B shall be taken as zero. The resulting figures shall be rounded upward, if necessary, to the next
1/16%. 

	7 	  	Any determination by the Lender pursuant to this Exhibit in
relation to a formula, the Mandatory Cost, an Additional Cost Rate or any amount payable to the Lender shall, in the absence of
manifest error, be conclusive and binding on the parties hereto. 

	8 	  	The Lender may from time to time, after consultation with the
Borrower, determine and notify to the Borrower any amendments which are required to be made to this Exhibit in order to comply
with any change in law, regulation or any requirements from time to time imposed by the Bank of England, the Financial Services
Authority or the European Central Bank (or, in any case, any other authority which replaces all or any of its functions) and any
such determination shall, in the absence of manifest error, be conclusive and binding on the parties hereto. 

A-2 

EXHIBIT B
BORROWING NOTICE 

	To:  	  	Barclays Bank PLC 

	From:  	  	THE VALSPAR CORPORATION 

	Dated:  	  	[_______] 

Dear Sirs 

THE VALSPAR CORPORATION – Sterling Revolving Credit Agreement DATED
May 21, 2004 (the “Agreement”). 

1.       We refer to the Agreement. This is a Borrowing
Notice. Terms defined in the Agreement have the same meaning in this Borrowing Notice unless given a different meaning in this
Borrowing Request. 

2.       We wish to borrow a Loan on the following terms:

	  	Proposed date of Borrowing:   [________,_____] (or, if that is not a Business Day, the next Business Day)

Currency of Loan:   Sterling

Amount:   [_______] or, if less, the available amount of the Commitment

Interest Period:   [____] 

3.       We confirm that each condition specified in Article 4 is satisfied on the date of this Borrowing Notice. 

4.       The proceeds of this Loan should be credited to [account]. 

5.       This Borrowing Notice is irrevocable. 

Yours faithfully 

............................................................................

authorised signatory for

THE VALSPAR CORPORATION 

B-1

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