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  TABLE OF CONTENTS

Exhibit 10.11  

AMENDED AND RESTATED

CREDIT AGREEMENT  

 Dated as of January 24, 2003  

among 

ENBRIDGE ENERGY PARTNERS, L.P.,
  as Borrower, 

BANK OF AMERICA, N.A.,
  as Administrative Agent,

and

L/C Issuer, 

BANK OF MONTREAL,
  as Syndication Agent 

TORONTO DOMINION (TEXAS), INC.

and WACHOVIA BANK, NATIONAL ASSOCIATION,
  as Co-Documentation Agents 

and 

The
Other Lenders Party Hereto 

BANC OF AMERICA SECURITIES LLC
  as

Lead Arranger and Book Manager 

  

 

TABLE OF CONTENTS    
  

 

	 
	 	 

	ARTICLE I.	 	DEFINITIONS AND ACCOUNTING TERMS
	1.01	 	Defined Terms
	1.02	 	Other Interpretive Provisions
	1.03	 	Accounting Terms
	1.04	 	Rounding
	1.05	 	References to Agreements and Laws
	

ARTICLE II	
 	

THE COMMITMENTS AND CREDIT EXTENSIONS
	2.01	 	Loans
	2.02	 	Borrowings, Conversions and Continuations of Loans
	2.03	 	Intentionally Blank
	2.04	 	Letters of Credit
	2.05	 	Intentionally Omitted
	2.06	 	Prepayments
	2.07	 	Reduction or Termination of Commitments
	2.08	 	Repayment of Loans
	2.09	 	Interest
	2.10	 	Fees
	2.11	 	Computation of Interest and Fees
	2.12	 	Evidence of Debt
	2.13	 	Payments Generally
	2.14	 	Sharing of Payments
	2.15	 	Extension of Maturity Date
	

ARTICLE III.	
 	

TAXES, YIELD PROTECTION AND ILLEGALITY
	3.01	 	Taxes
	3.02	 	Illegality
	3.03	 	Inability to Determine Rates
	3.04	 	Increased Cost and Reduced Return; Capital Adequacy; Reserves on Eurodollar Rate Loans
	3.05	 	Funding Losses
	3.06	 	Matters Applicable to all Requests for Compensation
	3.07	 	Survival
	

ARTICLE IV.	
 	

CONDITIONS PRECEDENT TO CREDIT EXTENSIONS
	4.01	 	Conditions of Initial Credit Extension
	4.02	 	Conditions to all Credit Extensions
	

ARTICLE V.	
 	

REPRESENTATIONS AND WARRANTIES
	5.01	 	Existence, Qualification and Power; Compliance with Laws
	5.02	 	Authorization; No Contravention
	5.03	 	Governmental Authorization
	5.04	 	Binding Effect
	5.05	 	Financial Statements; No Material Adverse Effect
	5.06	 	Litigation
	5.07	 	No Default
	5.08	 	Ownership of Property; Liens
	5.09	 	Environmental Compliance
	5.10	 	Insurance

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	5.11	 	Taxes
	5.12	 	ERISA Compliance
	5.13	 	Subsidiaries
	5.14	 	Margin Regulations; Investment Company Act; Public Utility Holding Company Act
	5.15	 	Disclosure
	

ARTICLE VI.	
 	

AFFIRMATIVE COVENANTS
	6.01	 	Financial Statements
	6.02	 	Certificates; Other Information
	6.03	 	Notices
	6.04	 	Payment of Obligations
	6.05	 	Preservation of Existence, Etc
	6.06	 	Maintenance of Properties
	6.07	 	Maintenance of Insurance
	6.08	 	Compliance with Laws
	6.09	 	Books and Records
	6.10	 	Inspection Rights
	6.11	 	Intentionally Blank
	6.12	 	Use of Proceeds
	6.13	 	Intentionally Blank
	6.14	 	Incorporation of Certain More Restrictive Financial Provisions
	

ARTICLE VII.	
 	

NEGATIVE COVENANTS
	7.01	 	Liens
	7.02	 	Investments
	7.03	 	Indebtedness
	7.04	 	Mergers; Sale of Assets
	7.05	 	Intentionally Blank
	7.06	 	Intentionally Blank
	7.07	 	Distributions
	7.08	 	ERISA
	7.09	 	Change in Nature of Business
	7.10	 	Transactions with Affiliates
	7.11	 	Burdensome Agreements
	7.12	 	Use of Proceeds
	7.13	 	Consolidated Leverage Ratio
	7.14	 	Interest Coverage Ratio
	7.15	 	Indebtedness of Non-OLP Subsidiaries
	7.16	 	Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries
	7.17	 	Swap Contracts
	

ARTICLE VIII.	
 	

EVENTS OF DEFAULT AND REMEDIES
	8.01	 	Events of Default
	8.02	 	Remedies Upon Event of Default
	

ARTICLE IX.	
 	

ADMINISTRATIVE AGENT
	9.01	 	Appointment and Authorization of Administrative Agent
	9.02	 	Delegation of Duties
	9.03	 	Liability of Administrative Agent
	9.04	 	Reliance by Administrative Agent

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	9.05	 	Notice of Default
	9.06	 	Credit Decision; Disclosure of Information by Administrative Agent
	9.07	 	Indemnification of Administrative Agent
	9.08	 	Administrative Agent in its Individual Capacity
	9.09	 	Successor Administrative Agent
	9.10	 	Other Agents; Lead Arranger, Etc.
	

ARTICLE X.	
 	

MISCELLANEOUS
	10.01	 	Amendments, Etc.
	10.02	 	Notices and Other Communications; Facsimile Copies
	10.03	 	No Waiver; Cumulative Remedies
	10.04	 	Attorney Costs, Expenses and Taxes
	10.05	 	Indemnification by the Borrower
	10.06	 	Payments Set Aside
	10.07	 	Successors and Assigns
	10.08	 	Confidentiality
	10.09	 	Set-off
	10.10	 	Interest Rate Limitation
	10.11	 	Counterparts
	10.12	 	Integration
	10.13	 	Survival of Representations and Warranties
	10.14	 	Severability
	10.15	 	Foreign Lenders
	10.16	 	Removal and Replacement of Lenders
	10.17	 	Governing Law
	10.18	 	Waiver of Right to Trial by Jury
	10.19	 	Release of Guaranty Agreements, Promissory Notes
	10.20	 	ENTIRE AGREEMENT
	 	 	SIGNATURES
	
SCHEDULES
	2.01	 	Commitments and Pro Rata Shares
	5.06	 	Litigation
	5.09	 	Environmental Matters
	5.13	 	Subsidiaries and Other Equity Interests
	7.01	 	Existing Liens
	7.03	 	Existing Indebtedness
	10.02	 	Eurodollar and Domestic Lending Offices, Addresses for Notices
	
EXHIBITS
	

 	
 	
Form of
	

A	
 	

Loan Notice
	B	 	Loan Note
	C	 	Compliance Certificate
	D	 	Assignment and Acceptance Agreement
	E	 	Opinion of Counsel
	F	 	Subordination Agreement

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AMENDED AND RESTATED CREDIT AGREEMENT    
  

        THIS AMENDED AND RESTATED CREDIT AGREEMENT (this "Agreement")
dated as of January 24, 2003 is made and entered into by and among ENBRIDGE ENERGY PARTNERS, L.P., a Delaware limited partnership (the
"Borrower"), each lender from time to time party hereto (collectively, the "Lenders" and individually, a
"Lender"), BANK OF AMERICA, N.A., as Administrative Agent, and L/C Issuer, Bank of Montreal, as Syndication Agent, and Toronto Dominion
(Texas), Inc. and Wachovia Bank, National Association, as Co-Documentation Agents. 

        WHEREAS,
the Borrower, the Operating Partnership (as herein defined), the Administrative Agent, the other agents named therein and the other financial institutions named and defined
therein as Lenders (collectively, the "Existing Lenders") are parties to that certain Credit Agreement dated as of January 29, 2002, pursuant to which the Existing Lenders provided extensions
of credit to the Borrower (the "Existing Credit Agreement"); and 

        WHEREAS,
the Borrower, the Administrative Agent and the other parties hereto desire to amend and restate the Existing Credit Agreement in its entirety in the form of this amended and
restated agreement; and 

        WHEREAS,
after giving effect to the amendment and restatement of the Existing Credit Agreement pursuant to the terms hereof, the Pro Rata Share (as herein defined) of each Lender
hereunder will be as set forth on Schedule 2.01 hereto. 

        NOW,
THEREFORE, in consideration of the mutual covenants and agreements herein contained, the parties hereto covenant and agree as follows: 

 
 

ARTICLE I.
  DEFINITIONS AND ACCOUNTING TERMS    
  

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

        "Acquired Assets" has the meaning set forth in the definition of "Incremental EBITDA". 

        "Acquired Subsidiary" has the meaning set forth in the definition of "Incremental EBITDA". 

        "Administrative Agent" means Bank of America in its capacity as administrative agent under any of the Loan Documents, or any successor
administrative agent. 

        "Administrative Agent's Office" means the Administrative Agent's address and, as appropriate, account as set forth on  Schedule 10.02, or such other address or
account as the Administrative Agent may from time to time notify to the Borrower and the Lenders. 

        "AFUDC" means allowance for funds used during construction as determined in accordance with generally accepted regulatory accounting
principles or by rate-regulated Persons, as applicable. 

        "AFUDC Rate" means, with respect to each corresponding regulated project designated by the Borrower and as of the relevant date of
determination, the applicable rate or rates allowed with respect to such project as determined in accordance with generally accepted regulatory accounting principles or by such
rate-regulated Person, as applicable. 

        "Affiliate" means, as to any Person, any other Person directly or indirectly controlling, controlled by, or under direct or indirect
common control with, such Person. A Person shall be deemed to be "controlled by" any other Person if such other Person possesses, directly or indirectly, power to direct or cause the direction of the
management and policies of such Person whether by contract or otherwise. 

        "Agent/Arranger Fee Letter" has the meaning specified in Section 2.10(c). 

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        "Agent-Related Persons" means the Administrative Agent (including any successor administrative agent permitted hereby), together with its
Affiliates (including, in the case of Bank of America in its capacity
as the Administrative Agent, the Arranger), and the officers, directors, employees, agents and attorneys-in-fact of such Persons and Affiliates. 

        "Aggregate Commitments" means at any time the sum of the Commitments of all the Lenders under this Agreement and all Lenders (as defined
in the Amended and Restated 364-Day Credit Agreement) under the Amended and Restated 364-Day Credit Agreement; provided, that after the Revolving Commitment Termination Date
(as such term is defined in the Amended and Restated 364-Day Credit Agreement) (unless such date shall occur as a result of clause (c) of the definition thereof), at any time the
Commitments of all the Lenders under the Amended and Restated 364-Day Credit Agreement shall be deemed to be equal to the sum of the outstanding Revolving Loans and L/C Obligations of all
the Lenders (as such terms are defined in the Amended and Restated 364-Day Credit Agreement) as of such time. 

        "Amended and Restated 364-Day Credit Agreement" means that certain Amended and Restated 364-Day Credit Agreement
dated as of January 24, 2003, among the Borrower, the lenders party thereto, Bank of America, N.A., as administrative agent, and the other agents therein named. 

        "Applicable Rate" means the following percentages per annum, based upon (a) the Corporate Credit Rating, during the period from the
Closing Date until the date the Borrower receives a Debt Rating, and (b) the Debt Rating, from and after the date the Borrower receives a Debt Rating: 

	Applicable Rate
	 
	Pricing

Level
	 	Corporate

Credit/Debt

Ratings S&P/Moody's
	 	Facility

Fee Rate
	 	Eurodollar Rate

For Loans and

Applicable Rate for

Letters of Credit
	 	Base

Rate

plus (+)
	 	Utilization

Fee Rate
	 
	1	 	A/A2 or higher	 	.125	%	.35	%	-0-	 	.1	%
	2	 	A-/A3	 	.15	%	.475	%	-0-	 	.1	%
	3	 	BBB+/Baa1	 	.175	%	.575	%	-0-	 	.125	%
	4	 	BBB/Baa2	 	.2	%	.675	%	-0-	 	.125	%
	5	 	BBB-/Baa3	 	.25	%	1.125	%	-0-	 	.125	%
	6	 	Lower than BBB-/Baa3 or unrated	 	.30	%	1.2	%	-0-	 	.25	%

        "Corporate Credit Rating" means, as of any date of determination, the long-term corporate credit rating as determined by
either S&P or Moody's for the Borrower; provided that for so long as the Applicable Rate is based on the Corporate Credit Rating, the Pricing Level
shall be one notch below the Pricing Level indicated above which corresponds to such Corporate Credit Rating (for example, if the Corporate Credit Rating is BBB+/Baa1, Pricing Level 4 (not
3) shall apply); provided further, that if a Corporate Credit Rating is issued by each of the foregoing agencies, then the higher of such
Corporate Credit Ratings shall be used as a basis for setting the Applicable Rate, unless there is a split in the Corporate Credit Ratings of more than one level, in which case the level that is one
level higher than the lower Corporate Credit Rating shall be used as a basis for setting the Applicable Rate. 

        "Debt Rating" means, as of any date of determination, the rating as determined by either S&P or Moody's (collectively, the
"Debt Ratings") of the Borrower's non-credit-enhanced, senior unsecured long-term debt; provided  that if a Debt Rating is issued by each of the foregoing
rating agencies, then the higher of such Debt Ratings shall apply (with Pricing Level 1 being the highest and Pricing
Level 6 being the lowest), unless there is a split in Debt Ratings of more than one level, in which case the level that is one level higher than the lower Debt Rating shall apply. 

Initially,
the Applicable Rate shall be determined based upon the Corporate Credit Rating or Debt Rating, as applicable, specified in the certificate delivered pursuant to  Section 4.01(a)(vi). Thereafter,

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each change in the Applicable Rate resulting from a publicly announced change in the Corporate Credit Rating or Debt Rating, as applicable, shall be effective during the period commencing on the date
of the public announcement thereof and ending on the date immediately preceding the effective date of the next such change. 

        "Approved Fund" means any Fund that is administered or managed by (a) a Lender or (b) an Affiliate of a Lender or
(c) an entity or an Affiliate of an entity that administers or manages a Lender. 

        "Arranger" means Banc of America Securities LLC, in its capacity as lead arranger and book manager. 

        "Assignee Conditions" means, in relation to any Person described in clause (c) of the defined term "Eligible Assignee", the
conditions as follow: (i) if a Lender assigns to such an Eligible Assignee less than all of its Commitment and the Loans at the time owing to it (or a participation in its L/C Obligations), any
right of such assigning Lender and such assignee to vote as a Lender, or any other direct claim or right against the Borrower in relation to this Agreement, shall be uniformly exercised or pursued by
such assigning Lender and such assignee; and (ii) such assignee shall not be entitled to payment from the Borrower under Article III of
amounts in excess of those payable to such Lender assignor under such Article (determined without regard to such assignment or transfer). 

        "Assignment and Acceptance" means an Assignment and Acceptance substantially in the form of  Exhibit D. 

        "Attorney Costs" means and includes all fees and disbursements of any law firm or other external counsel but expressly excludes the
allocated cost of internal legal services and all disbursements of internal counsel. 

        "Attributable Indebtedness" means, on any date, in respect of any capital lease of any Person, the capitalized amount thereof that would
appear on a balance sheet of such Person prepared as of such date in accordance with GAAP. 

        "Audited Financial Statements" means the audited consolidated balance sheet of the Borrower and its Subsidiaries and Unrestricted
Subsidiaries for the fiscal year ended December 31, 2001, and the related consolidated statements of income and cash flows for such fiscal year of such Persons. 

        "Bank of America" means Bank of America, N.A. 

        "Base Rate" means for any day a fluctuating rate per annum equal to the higher of (a) the Federal Funds Rate plus
1/2 of 1% and (b) the rate of interest in effect for such day as publicly announced from time to time by Bank of America as its "prime rate." Such prime rate is a rate set by
Bank of America based upon various factors including Bank of America's costs and desired return, general economic conditions and other factors, and is used as a reference point for pricing some loans,
which may be priced at, above, or below such announced prime rate. Any change in such prime rate announced by Bank of America shall take effect at the opening of business on the day specified in the
public announcement of such change. 

        "Base Rate Loan" means a Loan that bears interest based on the Base Rate. 

        "Board" means the Board of Governors of the Federal Reserve System of the United States of America. 

        "Borrower" has the meaning set forth in the introductory paragraph hereto, and includes its successors and assigns permitted hereby, if
any. 

        "Borrowing" means a borrowing consisting of simultaneous Loans of the same Type and having the same Interest Period made by each of the
Lenders pursuant to Section 2.01. 

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        "Business Day" means any day other than a Saturday, Sunday, or other day on which commercial banks are authorized to close under the Laws
of, or are in fact closed in, each of (a) the state where the Administrative Agent's Office is located and (b) the City of Calgary, Alberta, Canada, and if such day relates to any
Eurodollar Rate Loan, it must also be a day on which dealings in Dollar deposits are conducted by and between banks in the applicable offshore Dollar interbank market. 

        "Cash Collateralize" means to pledge and deposit with or deliver to the Administrative Agent, for the benefit of the L/C Issuer and the
Lenders, as collateral for the L/C Obligations, cash or deposit account balances pursuant to documentation in form and substance satisfactory to the Administrative Agent and the L/C Issuer (which
documents are hereby consented to by the Lenders). Derivatives of such term shall have corresponding meaning. 

        "Change of Control" shall mean (i) the failure of Enbridge Energy Company, Inc., a Delaware corporation, or any other
Person, in each case during the period that such Person is the general partner of the Borrower, to constitute a Subsidiary of Enbridge Inc., a corporation incorporated under the federal laws of
Canada, (ii) the failure of Enbridge Energy Company, Inc. or any other Subsidiary or Subsidiaries of said Enbridge Inc. at any time to constitute all of the general partners of
the Borrower, or (iii) the failure of the Operating Partnership to constitute a Subsidiary of the Borrower. 

        "Closing Date" means the first date all the conditions precedent in Section 4.01  are satisfied or waived in accordance with Section 4.01
(or, in the case of  Section 4.01(b), waived by the Person entitled to receive the applicable payment). 

        "Code" means the Internal Revenue Code of 1986. 

        "Commitment" means, as to each Lender, its obligation to (a) make Loans to the Borrower pursuant to Section 2.01 and
(b) purchase participations in L/C Obligations, in an aggregate principal amount at any time outstanding not to exceed the amount set forth opposite such Lender's name on Schedule 2.01,
as such amount may be reduced or adjusted from time to time in accordance with this Agreement (the aggregate Commitments of all the Lenders, collectively, the
"Commitments"). 

        "Compliance Certificate" means a certificate substantially in the form of  Exhibit C. 

        "Consenting Lenders" has the meaning specified in Section 2.15(b). 

        "Consolidated" or "consolidated" when used with reference to a Subsidiary or an
Unrestricted Subsidiary means that such Subsidiary or Unrestricted Subsidiary is consolidated for financial reporting purposes in accordance with GAAP. 

        "Consolidated EBITDA" means, for any period, an amount equal to the sum of (a) Consolidated Net Income, (b) consolidated
interest expense deducted in determining such Consolidated Net Income, (c) the amount of taxes, based on or measured by income, used or included in the determination of such Consolidated Net
Income, and (d) the amount of depreciation and amortization expense deducted in determining such Consolidated Net Income. 

        "Consolidated Funded Debt" means, as of any date of determination, for the Borrower and its Subsidiaries (for the avoidance of doubt,
excluding the Unrestricted Subsidiaries) on a consolidated basis, the sum of (without duplication) the following (a) the outstanding principal amount of all obligations, whether current or
long-term, for borrowed money (including all Obligations hereunder),
(b) that portion of obligations with respect to capital leases that are capitalized in the consolidated balance sheet of the Borrower and its Subsidiaries, and (c) without duplication,
the unpaid principal amount of all Guarantee Obligations with respect to Indebtedness of the type specified in subsections (a) and (b) above of Persons other than the Borrower or any of
its Subsidiaries and excluding in all cases Qualifying Subordinated Indebtedness owing to an Affiliate of the Borrower. 

4

 

        "Consolidated Interest Charges" means, for any period, for the Borrower and its Subsidiaries (for the avoidance of doubt, excluding the
Unrestricted Subsidiaries) on a consolidated basis, (a) all interest expense (and in the case of capital leases the portion of rent expense that is treated as interest in accordance with GAAP)
on all Consolidated Funded Debt of the Borrower and its Subsidiaries, and (b) all cash interest expense on Qualifying Subordinated Indebtedness, in each case during such period. 

        "Consolidated Net Income" means, for any period, the net income of the Borrower and its Subsidiaries (for the avoidance of doubt,
excluding the Unrestricted Subsidiaries) from continuing operations (excluding gains or losses resulting from mark to market activity as a result of the implementation of Statement of Financial
Accounting Standard 133, as amended) before extraordinary items (excluding gains or losses from Dispositions of assets) for that period determined on a consolidated basis;  provided, for the purposes of
the definition of Material Subsidiary, Consolidated Net Income shall be calculated by including the Unrestricted
Subsidiaries. 

        "Contractual Obligation" means, as to any Person, any provision of any security issued by such Person or of any agreement, instrument or
other undertaking to which such Person is a party or by which it or any of its property is bound pursuant to which such Person is obligated to perform an agreement or other undertaking. 

        "Corporate Credit Rating" has the meaning set forth in the definition of "Applicable
Rate." 

        "Credit Extension" means each of the following: (a) a Borrowing or (b) an L/C Credit Extension. 

        "Declining Lender" has the meaning specified in Section 2.15(a). 

        "Debt Rating" has the meaning set forth in the definition of "Applicable Rate." 

        "Debtor Relief Laws" means the Bankruptcy Code of the United States of America, and all other liquidation, conservatorship, bankruptcy,
assignment for the benefit of creditors, moratorium, rearrangement, receivership, insolvency, reorganization, or similar debtor relief Laws of the United States of America or other applicable
jurisdictions from time to time in effect and affecting the rights of creditors generally. 

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

        "Default Rate" means an interest rate equal to (a) the Base Rate plus
(b) the Applicable Rate, if any, applicable to Base Rate Loans plus (c) 2% per annum; provided,
however, that with respect to a Eurodollar Rate Loan, the Default Rate shall be an interest rate equal to the interest rate (including any Applicable Rate) otherwise applicable
to such Loan plus 2% per annum, in each case to the fullest extent permitted by applicable Laws. 

        "Delegate" means Enbridge Energy Management, L.L.C., the delegate of the General Partner, and its successors and permitted assigns. 

        "Disposition" or "Dispose" means the sale, transfer, license or other disposition
(including any sale and leaseback transaction) of any property by any Person, including any sale, assignment, transfer or other disposal, with or without recourse, of any notes or accounts receivable
or any rights and claims associated therewith. 

        "Distribution" for any Person means, with respect to any shares of any capital stock, any units, any partnership interests or other equity
securities or ownership interests issued by such Person, (a) the retirement, redemption, purchase, or other acquisition for value of any such securities, (b) the declaration or payment
of any dividend on or with respect to any such securities, and (c) any other payment by such Person with respect to such securities. 

5

 

        "Documentation Agents" means Toronto Dominion (Texas), Inc. and Wachovia Bank, National Association in their capacity as
documentation agents under any of the Loan Documents, or any successor documentation agents. 

        "Dollar" and "$" means lawful money of the United States of America. 

        "EBITDA" means for any period and for any Person and its consolidated Subsidiaries the sum of (a) net income of such Person and its
consolidated Subsidiaries from continuing operations (excluding gains or losses resulting from mark to market activity as a result of the implementation of Statement of Financial Accounting Standard
133, as amended) before extraordinary items (excluding gains or losses from dispositions of assets), and (b) to the extent deducted in determining net income of such Person and its consolidated
Subsidiaries (i) all interest expense plus the portion of rent expense of such Person under capitalized leases that is treated as interest in
accordance with GAAP, (ii) the amount of taxes, based on or measured by income, and (iii) the amount of depreciation and amortization expense, in each case of such Person and its
consolidated Subsidiaries for such period. 

        "Eligible Assignee" means (a) a Lender; (b) an Affiliate of a Lender that is financially capable of performing the
obligations of a Lender under this Agreement; (c) an Approved Fund that is financially capable of performing the obligations of such Lender under this Agreement; and (d) any other Person
(other than a natural Person) approved by the Administrative Agent, in the case of any assignment of a Loan, the L/C Issuer, and, unless (x) such Person is taking delivery of an assignment in
connection with physical settlement of a credit derivatives transaction or (y) an Event of Default has occurred and is continuing, the Borrower (each such approval not to be unreasonably
withheld or delayed). 

        "Environmental Laws" means all Laws relating to environmental, health, safety and land use matters applicable to any property. 

        "ERISA" means the Employee Retirement Income Security Act of 1974 and any rules and regulations issued pursuant thereto. 

        "ERISA Affiliate" means any trade or business (whether or not incorporated) under common control with the Borrower within the meaning of
Section 414(b) or (c) of the Code (and Sections 414(m) and (o) of the Code for purposes of provisions relating to Section 412 of the Code). 

        "ERISA Event" means (a) a Reportable Event with respect to a Pension Plan; (b) the incurrence by the Borrower of liability
with respect to a withdrawal by the Borrower or any ERISA Affiliate from a Pension Plan subject to Section 4063 of ERISA during a plan year in which it was a substantial employer (as defined in
Section 4001(a)(2) of ERISA) or a cessation of operations that is treated as such a withdrawal under Section 4062(e) of ERISA; (c) the incurrence by the Borrower of liability with
respect to a complete or partial withdrawal by the Borrower or any ERISA Affiliate from a Multiemployer Plan or notification that a Multiemployer Plan is in reorganization; (d) the incurrence
by the Borrower of liability with respect to the filing of a notice of intent to terminate, the treatment of a Plan amendment as a termination under Sections 4041 or 4041A of ERISA, or the
commencement of proceedings by the PBGC to terminate a Pension Plan or Multiemployer Plan; (e) the incurrence by the Borrower of liability with respect to an event or condition which could
reasonably be expected to constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Pension Plan or Multiemployer Plan; or
(f) the imposition of any liability under Title IV of ERISA, other than PBGC premiums due but not delinquent under Section 4007 of ERISA, upon
the Borrower or any ERISA Affiliate; and with respect to each of the occurrences described in the presiding clauses (a) through (f), which could reasonably be expected to have a Material
Adverse Effect. 

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        "Eurodollar Rate" means for any Interest Period with respect to any Eurodollar Rate Loan: 

        (a)  the
rate per annum equal to the rate determined by the Administrative Agent to be the offered rate that appears on the page of the Telerate screen (or any successor
thereto) that displays an average British Bankers Association Interest Settlement Rate for deposits in Dollars (for delivery on the first day of such Interest Period) with a term equivalent to such
Interest Period, determined as of approximately 11:00 a.m. (London time) two Business Days prior to the first day of such Interest Period, or 

        (b)  if
the rate referenced in the preceding subsection (a) does not appear on such page or service or such page or service shall cease to be available, the rate per
annum equal to the rate determined by the Administrative Agent to be the offered rate on such other page or other service that displays an average British Bankers Association Interest Settlement Rate
for deposits in Dollars (for delivery on the first day of such Interest Period) with a term equivalent to such Interest Period, determined as of approximately 11:00 a.m. (London time) two
Business Days prior to the first day of such Interest Period, or 

        (c)  if
the rates referenced in the preceding subsections (a) and (b) are not available, the rate per annum determined by the Administrative Agent as the rate
of interest (rounded upward to the next 1/100th of 1%) at which deposits in Dollars for delivery on the first day of such Interest Period in same day funds in the approximate amount of the Eurodollar
Rate Loan being made, continued or converted by Bank of America and with a term equivalent to such Interest Period would be offered by Bank of America's London Branch to major banks in the offshore
Dollar market at their request at approximately 11:00 a.m. (London time) two Business Days prior to the first day of such Interest Period. 

        "Eurodollar Rate Loan" means a Loan that bears interest at a rate based on the Eurodollar Rate. 

        "Event of Default" means any of the events or circumstances specified in  Article VIII. 

        "Excess Swap Termination Value" means, as of any quarter-end date of determination, an amount equal to the  excess of (a) the net aggregate Swap Termination Value as
of such quarter-end date of (i) all Swap Contracts pursuant to which
one or more Subsidiaries of the Borrower are obligated as a counterparty and for which no other Subsidiary of the Borrower has a Guarantee Obligation with respect thereto,
and (ii) all Swap Contracts for which one or more Subsidiaries of the Borrower has a Guarantee Obligation, in each case without duplication of any such Swap Contracts and Guarantee Obligations
with respect thereto over (b) $150,000,000. 

        "Excluded Subsidiary" means any Subsidiary which is subject to any Excluded Subsidiary Transfer Restrictions; provided, however, that a
Subsidiary that is subject to Excluded Subsidiary Transfer Restrictions will not be deemed to be an Excluded Subsidiary by reason of such Excluded Subsidiary Transfer Restrictions if, after giving
effect thereto, such Subsidiary is permitted to make the payments, loans, advances and transfers of the type described in clauses (w), (x), (y) and (z) of the definition of Intercompany
Restrictions to the Borrower or to at least one other Subsidiary that is not subject to any Excluded Subsidiary Transfer Restrictions that restrict such Subsidiary's ability to make such payments,
loans, advances and transfers to the Borrower. 

        "Excluded Subsidiary Transfer Restrictions" means restrictions of the type described in clauses (w), (x), (y), or (z) of the
definition of Intercompany Restrictions, other than restrictions of the type described in clause (z) which are otherwise excepted by any of clauses (B)(d), (B)(e), (B)(f), (B)(g), or (B)(h),
(a) which are set forth in agreements governing Refinancings of or other amendments to Indebtedness of the Borrower that were not set forth in the agreements governing such Indebtedness prior
to such Refinancing or amendment, or (b) which would be Intercompany Restrictions absent the exception set forth in clause (B)(c) of  Section 7.03(a)(i)
. 

7

 

        "Extension Effective Date" has meaning specified in Section 2.15(b). 

        "Federal Funds Rate" means, for any day, the rate per annum (rounded upwards to the nearest 1/100 of 1%) equal to the weighted average of
the rates on overnight Federal funds transactions with members of the Federal Reserve System arranged by Federal funds brokers on such day, as published by the Federal Reserve Bank of New York on the
Business Day next succeeding such day; provided that (a) if such day is not a Business Day, the Federal Funds Rate for such day shall be such
rate on such transactions on the next preceding Business Day as so published on the next succeeding Business Day, and (b) if no such rate is so published on such next succeeding Business Day,
the Federal Funds Rate for such day shall be the average rate charged to Bank of America on such day on such transactions as determined by the Administrative Agent. 

        "Financial Restrictions" has the meaning specified in Section 6.14. 

        "Foreign Lender" has the meaning specified in Section 10.15. 

        "Fund" means any Person (other than a natural Person) that is (or will be) engaged in making, purchasing, holding or otherwise investing
in commercial loans and similar extensions of credit in the ordinary course of its business. 

        "Funded Debt" of any Person (an "Obligor"), means, as of any date of determination, the
sum of (without duplication) the following: (a) the outstanding principal amount of all obligations of such Obligor, whether current or long-term, for borrowed money;
(b) that portion of obligations of such Obligor with respect to capital leases that are capitalized in a balance sheet of such Obligor; and (c) without duplication, the unpaid principal
amount of all Guarantee Obligations of such Obligor with respect to Indebtedness of the type specified in subsections (a) and (b) above of Persons other than such Obligor. 

        "GAAP" means generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting Principles Board and
the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or such other principles as may be approved by a significant
segment of the accounting profession, that are applicable to the circumstances as of the date of determination, consistently applied. 

        "General Partner" means Enbridge Energy Company, Inc., a Delaware corporation, and after the date hereof, any one or more
Subsidiaries of Enbridge Inc., a corporation incorporated under the federal laws of Canada, that shall succeed Enbridge Energy Company, Inc. in the capacity as general partner of the
Borrower. 

        "Governmental Authority" means any nation or government, any state or other political subdivision thereof, any agency, authority,
instrumentality, regulatory body, court, administrative tribunal, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of
or pertaining to government, and any corporation or other entity owned or controlled, through stock or capital ownership or otherwise, by any of the foregoing. 

        "Guarantee Obligation" means, as to any Person, (a) any obligation, contingent or otherwise, of such Person guarantying or having
the economic effect of guarantying any Indebtedness or other obligation payable or performable by another Person (the "primary obligor") in any manner, whether directly or indirectly, and including
any obligation of such Person, direct or indirect, (i) to purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or other obligation, (ii) to
purchase or lease property, securities or services for the purpose of assuring the obligee in respect of such Indebtedness or other obligation of the payment or performance of such Indebtedness or
other obligation, (iii) to maintain working capital, equity capital or any other financial statement condition or liquidity of the primary obligor so as to enable the primary obligor to pay
such Indebtedness or other obligation, or (iv) entered into for the purpose of assuring in any other manner 

8

 

the obligees in respect of such Indebtedness or other obligation of the payment or performance thereof or to protect such obligees against loss in respect thereof (in whole or in part), or
(b) any Lien on any assets of such Person securing any Indebtedness or other obligation of any other Person, whether or not such Indebtedness or other obligation is assumed by such Person;  provided,
however, that the term "Guarantee Obligation" shall not include endorsements of instruments for deposit or collection in the ordinary course
of business. The amount of any Guarantee Obligation shall be deemed to be an amount equal to the stated or determinable amount of the related primary obligation, or portion thereof, in respect of
which such Guarantee Obligation is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by the guarantying Person in good faith. 

        "Honor Date" has the meaning set forth in Section 2.04(c)(i). 

        "Incremental EBITDA" means, (i) as to any Person which becomes a Subsidiary (an "Acquired
Subsidiary") as a result of an acquisition by the Borrower or a Subsidiary of such Acquired Subsidiary, EBITDA of such Person for the four full quarters ending immediately
prior to the acquisition of such Acquired Subsidiary, or (ii) in regard to the acquisition of all or substantially all of the business or assets of any Person or the operating division or
business unit of any Person (an "Acquired Asset") by the Borrower or a Subsidiary, EBITDA with respect to the Acquired Asset for the four full quarters
ending immediately prior to the acquisition of such Acquired Asset, as reasonably determined by the Borrower and reasonably acceptable to the Administrative Agent. 

        "Indebtedness" means, as to any Person at a particular time, all of the following (without duplication): 

        (a)  all
obligations of such Person for borrowed money and all obligations of such Person evidenced by bonds, debentures, notes, loan agreements or other similar instruments; 

        (b)  any
direct or contingent obligations of such Person arising under letters of credit (including standby and commercial), banker's acceptances, bank guaranties, surety
bonds and similar instruments; 

        (c)  Intentionally
Blank; 

        (d)  whether
or not so included as liabilities in accordance with GAAP, 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 of such Person, and indebtedness (excluding prepaid interest thereon) secured by a Lien on property owned or being purchased by such Person
(including indebtedness arising under conditional sales or other title retention agreements), whether or not such indebtedness shall have been assumed by such Person or is limited in recourse; 

        (e)  capital
leases; 

        (f)    all
Guarantee Obligations of such Person in respect of any of the foregoing; and 

        (g)  for
the purposes of determining compliance with the applicable provisions of Sections 7.15 or  7.16, obligations of such Person under Swap Contracts, and
Guarantee Obligations of such Person in respect of Swap Contracts, but only to the extent of
Excess Swap Termination Value. For purposes of Section 7.15, Indebtedness of the Non-OLP Subsidiaries shall be calculated quarterly
and include the Non-OLP Subsidiaries' Ratable Share of Excess Swap Termination Value as of the relevant quarter-end date of determination, and for purposes of  Section 7.16, Indebtedness of the
Operating Partnership and the Operating Partnership Subsidiaries shall be calculated quarterly and include the
Operating Partnership's and the Operating Partnership Subsidiaries' Ratable Share of Excess Swap Termination Value as of the relevant quarter-end date of determination. 

9

 

        For
all purposes hereof, the Indebtedness of any Person shall include, without duplication, the Indebtedness of any partnership or joint venture in which such Person is a general partner
or a joint venturer, unless such Indebtedness is expressly made non-recourse to such Person by its governing agreements and applicable law except for customary exceptions acceptable to the
Required Lenders. The amount of any capital lease as of any date shall be deemed to be the amount of Attributable Indebtedness in respect thereof as of such date. The amount of any net obligation
under any Swap Contract, and the amount of any Guarantee Obligations in respect of any Swap Contract, on any date shall be deemed to be the Swap Termination Value of such Swap Contract as of such
date. 

        "Indemnified Liabilities" has the meaning set forth in Section 10.05. 

        "Indemnitees" has the meaning set forth in Section 10.05. 

        "Intercompany Restrictions" has the meaning set forth in Section 7.03(a)(i). 

        "Interest Coverage Ratio" means, with respect to a four-quarter period, the ratio of Pro Forma EBITDA to Consolidated Interest
Charges. If, in connection with any acquisition by the Borrower or any Subsidiary of any Person or all or substantially all of the business or assets of any Person or the operating division or
business unit of any Person, any Indebtedness is incurred or assumed by the Borrower or any Subsidiary, Consolidated Interest Charges shall be calculated, on a pro forma basis for the four quarters
most recently completed and corresponding to the four-quarter period for which
corresponding Pro Forma EBITDA is calculated, as if such Indebtedness had been incurred on the first day of such period. As of any date, the interest rate used in the calculation of such pro forma
adjustments shall be the pricing in effect for the Loans under this Agreement. 

        "Interest Payment Date" means, (a) as to any Loan other than a Base Rate Loan, the last day of each Interest Period applicable to
such Loan; provided, however, that if any Interest Period for a Eurodollar Rate Loan exceeds three months, the respective dates that fall every three
months after the beginning of such Interest Period shall also be Interest Payment Dates; and (b) as to any Base Rate Loan, the last Business Day of each March, June, September and December and
the Maturity Date. 

        "Interest Period" means as to each Eurodollar Rate Loan, the period commencing on the date such Eurodollar Rate Loan is disbursed or
converted to or continued as a Eurodollar Rate Loan and ending on the date one, two, three or six months thereafter, as selected by the Borrower in its Loan Notice;  provided that: 

        (ii)  any
Interest Period that would otherwise end on a day that is not a Business Day shall be extended to the next succeeding Business Day unless, in the case of a
Eurodollar Rate Loan, such Business Day falls in another calendar month, in which case such Interest Period shall end on the next preceding Business Day; 

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

        (iv)  no
Interest Period shall extend beyond the scheduled Maturity Date. 

        "IRS" means the United States Internal Revenue Service. 

        "Laws" means, collectively, all international, foreign, federal, state and local statutes, treaties, rules, guidelines, regulations,
ordinances, codes and administrative or judicial precedents or authorities, including the interpretation or administration thereof by any Governmental Authority charged with the enforcement,
interpretation or administration thereof, and all applicable administrative orders, directed duties, requests, licenses, authorizations and permits of, and agreements with, any Governmental Authority,
in each case whether or not having the force of law. 

10

  

        "L/C Advance" means, with respect to each Lender, such Lender's funded participation in any Unreimbursed Amount in accordance with  Section 2.04(c)(iii). 

        "L/C Borrowing" means an extension of credit resulting from a drawing under any Letter of Credit which has not been reimbursed on the date
when made or refinanced as a Borrowing. 

        "L/C Credit Extension" means, with respect to any Letter of Credit, the issuance thereof or extension of the expiry date thereof, or the
renewal or increase of the amount thereof. 

        "L/C Issuer" means Bank of America in its capacity as issuer of Letters of Credit hereunder, or any successor issuer of Letters of Credit
hereunder. 

        "L/C Obligations" means, as at any date of determination, the aggregate undrawn face amount of all outstanding Letters of Credit  plus to the extent unreimbursed, the
aggregate of all Unreimbursed Amounts, including, without duplication, all L/C Borrowings and L/C Advances. 

        "L/C Sublimit Effective Date" has the meaning set forth in the definition of "Letter of Credit Sublimit." 

        "Lender" has the meaning specified in the introductory paragraph hereto and, as the context requires, includes the L/C Issuer. 

        "Lending Office" means, as to any Lender, the office or offices of such Lender described as such on  Schedule 10.02, or such other office or offices as a Lender may
from time to time notify the Borrower and the Administrative Agent. 

        "Letter of Credit" means any letter of credit issued hereunder. A Letter of Credit may be a commercial letter of credit or a standby
letter of credit. 

        "Letter of Credit Application" means an application and agreement for the issuance or amendment of a Letter of Credit in the form from
time to time in use by the L/C Issuer and on terms satisfactory to the L/C Issuer and the Borrower; provided, in the event of any conflict between such
application and agreement and the terms of this Agreement, the terms of this Agreement shall control. 

        "Letter of Credit Expiration Date" means the day that is seven days prior to the Maturity Date (or, if such day is not a Business Day, the
next preceding Business Day). 

        "Letter of Credit Sublimit" means an amount equal to the lesser of the Commitments and $50,000,000. The Letter of Credit Sublimit is part
of, and not in addition to, the Commitments. 

        "Lien" means any mortgage, pledge, hypothecation, collateral assignment, encumbrance, lien (statutory or other), charge, security interest
or any other arrangement of any kind or nature whatsoever (including any conditional sale or other title retention agreement, any financing lease having substantially the same economic effect as any
of the foregoing, a deposit arrangement and the filing of any financing statement under the Uniform Commercial Code or comparable Laws of any jurisdiction) for a creditor's claim to be satisfied from
assets or proceeds prior to the claims of other creditors or the owners, including, if applicable, the interest of a purchaser of accounts receivable but excluding the title of the lessor under any
operating lease. 

        "Loan" means a loan made by a Lender to Borrower pursuant to this Agreement, as defined in  Section 2.01. 

        "Loan Documents" means this Agreement, each Note, the Agent/Arranger Fee Letter, each Request for Credit Extension and each Compliance
Certificate. 

        "Loan Notice" means written or telephonic notice of (a) a Borrowing, (b) a conversion of Loans from one Type to the other,
or (c) a continuation of Loans as the same Type, pursuant to Section 2.02(a), which, if in writing, shall be substantially in the form of  Exhibit A or if telephonic, shall 

11

 

be immediately followed by written notice in the form of Exhibit A; provided, any such telephone
notice shall be irrevocable when given notwithstanding that it is required to be so confirmed in writing. 

        "Material Adverse Effect" means (a) a material adverse change in, or a material adverse effect upon, the operations, business,
properties, financial condition, prospects or assets of the Borrower and its consolidated Subsidiaries (other than the Unrestricted Subsidiaries) taken as a whole; (b) a material
impairment of the ability of the Borrower to pay any Obligation when due or otherwise to perform its material obligations under this Agreement or any Note; or (c) a material adverse effect upon
the legality, validity, binding effect or enforceability against the Borrower of this Agreement or any Note. 

        "Material Subsidiary" means (i) any Subsidiary that directly or through one or more Subsidiaries (a) owns assets with a book
value equal to 10% or more of the book value of the consolidated assets of the Borrower, its Consolidated Subsidiaries and its Consolidated Unrestricted Subsidiaries, or (b) contributed 10% or
more of Consolidated Net Income for any fiscal quarter during the four fiscal quarters most recently ended of the Borrower, its Consolidated Subsidiaries and its Consolidated Unrestricted
Subsidiaries, or (c) is a "significant subsidiary" as defined in Article 1, Rule 1-02 of Regulation S-X, promulgated pursuant to the Securities Act
of 1933, as amended, as such Regulation is in effect on any date of determination. A Subsidiary will be deemed to have become a Material Subsidiary on either (i) the date of its acquisition or
formation, if after giving effect to such acquisition or formation, it constitutes a Material Subsidiary, as reasonably determined by the Borrower and reasonably acceptable to the Administrative
Agent, or, if applicable (ii) the 75th day following the end of each of the first 3 fiscal quarters of the Borrower or the 120th day following the end of each fiscal year of the Borrower, as
applicable, if as of the immediately preceding quarter-end or year-end, as applicable, and based on the financial statements prepared for such ending quarterly or annual
period, it constituted a Material Subsidiary, as reasonably determined by the Borrower and reasonably acceptable to the Administrative Agent. 

        "Maturity Date" means the earlier of (i) the Scheduled Maturity Date or (ii) the date upon which the Commitments may be
terminated in accordance with the terms hereof. "Scheduled Maturity Date" means January 24, 2006, or such later date to which the tenor of
Commitments may be extended in accordance with Section 2.15. 

        "Moody's" means Moody's Investors Service, Inc. or any successor to the rating agency business thereof, or if no such successor,
any other debt rating agency selected by the Borrower and approved by the Required Lenders. 

        "Mortgage" shall mean, collectively, the mortgage, security agreement and fixture filings between the Operating Partnership and the
Trustee, each dated as of December 12, 1991, as amended, modified or supplemented from time to time and in effect, and covering assets located in Illinois, Indiana, Michigan, Minnesota, New
York, North Dakota and Wisconsin. 

        "Mortgage Note Agreements" shall mean, collectively, those certain Note Agreements, each dated as of December 12, 1991, between the
Operating Partnership and each of the respective purchasers of the Mortgage Notes, as amended, modified or supplemented from time to time and in effect. 

        "Mortgage Notes" shall mean, collectively, the promissory notes aggregating $310,000,000 principal amount issued pursuant to the Mortgage
Note Agreements, dated December 12, 1991 and executed by the Operating Partnership, together with and any loan agreement and security documents executed in
connection therewith, any and all instruments given in renewal, extension, modification, or rearrangement of or in substitution or replacement for any one or more of the foregoing described promissory
notes and other documents, whether given to the original purchaser thereof (or its designee) or any other Person and other documents. 

        "Multiemployer Plan" means any employee benefit plan of the type described in Section 4001(a)(3) of ERISA, to which the Borrower or
any ERISA Affiliate makes or is obligated to make contributions. 

12

 

        "Net Tangible Assets" means tangible assets of the Borrower and its Subsidiaries (for the avoidance of doubt, excluding the Unrestricted
Subsidiaries) on a consolidated basis. 

        "Non-OLP Consolidated Funded Debt" means, as of any date of determination, for the Non-OLP Subsidiaries on a
consolidated basis, the sum of (without duplication) (a) the outstanding principal amount of all obligations, whether current or long-term, for borrowed money, (b) that
portion of obligations with respect to capital leases that are capitalized in the consolidated balance sheet of the Non-OLP Subsidiaries, and (c) without duplication, the unpaid
principal amount of all Guarantee Obligations with respect to Indebtedness of the type specified in subsections (a) and (b) above of Persons other than the Non-OLP
Subsidiaries. 

        "Non-OLP Consolidated Net Income" means, for any period, the net income of the Non-OLP Subsidiaries from
continuing operations (excluding gains or losses resulting from mark to market activity as a result of the implementation of Statement of Financial Accounting Standard 133, as amended) before
extraordinary items (excluding gains or losses from Dispositions of assets) for that period. 

        "Non-OLP Indebtedness Limitation" has the meaning specified in  Section 7.15. 

        "Non-OLP Inter-Company Indebtedness" means Indebtedness owed by a Non-OLP Subsidiary to the Borrower or to a
Wholly-Owned Non-OLP Subsidiary (other than, for the avoidance of doubt, an Unrestricted Subsidiary). 

        "Non-OLP Pro Forma EBITDA" means, for any period, at the time of any determination thereof, without duplication,
(a) Non-OLP Consolidated Net Income, plus (b) to the extent actually deducted in determining such Non-OLP Consolidated Net Income, interest expense (and in the
case of capital leases the portion of rent expense that is treated as interest in accordance with GAAP), income taxes, depreciation and amortization for the Non-OLP Subsidiaries for such
period, calculated on a pro forma
basis making adjustments for acquisitions of any Person or all or substantially all of the business or assets of any other Person or the operating division or business unit of any Person made during
such period, to the extent not reflected in such Non-OLP Consolidated Net Income. 

        "Non-OLP Subsidiaries" means Subsidiaries (for the avoidance of doubt, excluding Unrestricted Subsidiaries) of the Borrower
other than the Operating Partnership and Operating Partnership Subsidiaries. 

        "Note" means, a promissory note made by the Borrower in favor of a Lender evidencing Loans made by such Lender, substantially in the form
of Exhibit B. 

        "Obligations" means all advances to, and debts, liabilities and obligations of the Borrower arising under any Loan Document, whether
direct or indirect, absolute or contingent, due or to become due, now existing or hereafter arising and including interest that accrues after the commencement by or against the Borrower of any
proceeding under any Debtor Relief Laws naming the Borrower as the debtor in such proceeding. 

        "OLP Indebtedness Limitation" has the meaning specified in Section 7.16. 

        "OLP Inter-Company Indebtedness" means Indebtedness owed by the Operating Partnership or by an Operating Partnership Subsidiary to the
Borrower, to the Operating Partnership, or to a Wholly-Owned Operating Partnership Subsidiary (other than, for the avoidance of doubt, an Unrestricted Subsidiary). 

        "Operating Partnership" means Enbridge Energy, Limited Partnership, a Delaware limited partnership, a Subsidiary of the Borrower. 

        "Operating Partnership Subsidiary" means any Subsidiary (for the avoidance of doubt, excluding Unrestricted Subsidiaries) of the Operating
Partnership. 

13

 

        "Organization Documents" means, (a) with respect to any corporation, the certificate or articles of incorporation and the bylaws;
(b) with respect to any limited liability company, the certificate of formation and operating agreement; and (c) with respect to any partnership, joint venture, trust or other form of
business entity, the partnership, joint venture or other applicable agreement of formation and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation
with the secretary of state or other department in the state of its formation, in each case as amended from time to time. 

        "Outstanding Amount" means (i) with respect to Loans, on any date, the aggregate outstanding principal amount thereof after giving
effect to any borrowings and prepayments or repayments occurring on such date; and (ii) with respect to any L/C Obligations on any date, the amount of such L/C Obligations on such date after
giving effect to any L/C Credit Extension occurring on such date and any other changes in the aggregate amount of the L/C Obligations as of such date, including as a result of any reimbursements of
outstanding unpaid drawings under any Letters of Credit or any reductions in the maximum amount available for drawing under Letters of Credit taking effect on such date. 

        "Participant" has the meaning specified in Section 10.07(d). 

        "PBGC" means the Pension Benefit Guaranty Corporation. 

        "Pension Plan" means any "employee pension benefit plan" (as such term is defined in Section 3(2) of ERISA), other than a
Multiemployer Plan, that is subject to Title IV of ERISA, and in respect of which the Borrower or any ERISA Affiliate contributes or has an obligation to contribute, or in the case of (or if such plan
were terminated would under Section 4069 of ERISA be deemed to be) an "employer" as defined in Section 3(5) of ERISA at any time during the immediately preceding five plan years. 

        "Person" means any individual, trustee, corporation, general partnership, limited partnership, limited liability company, joint stock
company, trust, unincorporated organization, bank, business association, firm, joint venture or Governmental Authority. 

        "Plan" means any "employee benefit plan" (as such term is defined in Section 3(3) of ERISA) established by the Borrower or any
ERISA Affiliate. 

        "Pro Forma EBITDA" means, at the time of any determination thereof, without duplication, (a) Consolidated Net Income, plus
(b) to the extent actually deducted in determining such Consolidated Net Income, interest expense, income taxes, depreciation and amortization for the Borrower and its consolidated Subsidiaries
for the preceding four quarters ending on such date (the "Subject Period"), calculated on a pro forma basis (1) making adjustments for
acquisitions of any Person or all or substantially all of the business or assets of any other Person or the operating division or business unit of any Person made during such Subject Period, to the
extent not reflected in such Consolidated Net Income, and (2) including Total AFUDC (but not an amount of Total AFUDC in excess of 5% of Consolidated EBITDA of the Borrower and its consolidated
Subsidiaries for such Subject Period). If any Subsidiary is an Excluded Subsidiary on both (i) the last day of a Subject Period and (ii) on the date (as used in this paragraph, the
"Determination Date") that is the earlier of (x) the date that the
Borrower delivers a Compliance Certificate pursuant to Section 6.02(b) for such Subject Period and (y) the date that the Borrower is
required to deliver such Compliance Certificate pursuant to Section 6.02(b), then the net income of such Subsidiary shall not be included in the
calculation of Consolidated Net Income for such Subject Period and such Subsidiary's interest expense, income taxes, depreciation and amortization shall not be added to Consolidated Net Income
pursuant to clause (b) above. If a Subsidiary is not an Excluded Subsidiary on the last day of the Subject Period, or if such Subsidiary is an Excluded Subsidiary on the last day of a Subject
Period but is no longer an Excluded Subsidiary on the Determination Date, then such Subsidiary will not be considered an Excluded Subsidiary during any part of the Subject Period, its net income will
be included in the calculation of 

14

 

Consolidated Net Income for the Subject Period to the same extent as if it had not been an Excluded Subsidiary during any part of the Subject Period, and its interest expense, income taxes,
depreciation and amortization will be added to Consolidated Net Income pursuant to clause (b) above. For the avoidance of doubt, and by way of an example (but not exhaustive of all other
applicable examples), the EBITDA for a Subject Period which is attributable to a Subsidiary, that at any time during that Subject Period was an Excluded Subsidiary, shall nonetheless be included in
the Pro Forma EBITDA for such Subject Period if, on either the last day of the Subject Period or the Determination Date such Subsidiary is, for whatever reason, no longer an Excluded Subsidiary,
including by reason of discharging the Indebtedness that imposed the applicable Excluded Subsidiary Transfer Restriction or Excluded Subsidiary Transfer Restrictions or having otherwise terminated the
application of all related provisions that imposed such restriction or restrictions. 

        "Project AFUDC" means, with respect to each corresponding regulated project designated by the Borrower and as of the relevant date of
determination, (a) prior to the "into-service date", an amount equal to the product of (i) the cumulative, aggregate regulated capital expended as of the relevant date of
determination with respect to such project multiplied by (ii) the applicable annual AFUDC Rate, or (b) following its "into-service date", (X) for the first quarter
following the "into-service date", (i) the product of the cumulative, aggregate regulated capital expended prior to the "into-service date" with respect to such project  multiplied by (ii) 75%
of the applicable annual AFUDC Rate or, (Y) for the second quarter following the "into-service date",
(i) the product of the cumulative, aggregate regulated capital expended prior to the "into-service date" with respect to such project multiplied by  (ii) 50% of the applicable annual AFUDC Rate
or, (Z) for the third quarter following the "into-service date", (i) the product of the
cumulative, aggregate regulated capital expended prior to the "into-service date" with respect to such project multiplied by (ii) 25%
of the applicable annual AFUDC Rate. 

        "Pro Rata Share" means, with respect to each Lender, the percentage (carried out to the ninth decimal place) of the Commitments set forth
opposite the name of such Lender on Schedule 2.01, as such share may be adjusted as contemplated herein. 

        "Qualifying Subordinated Indebtedness" means unsecured Indebtedness of the Borrower owing to a Subsidiary or other Affiliate of the
Borrower (in each case, other than an Unrestricted Subsidiary) provided that (i) such Indebtedness has a maturity date of at least six months subsequent to the Maturity Date,
(ii) interest accruing on such Indebtedness is, at the option of the Borrower payable not in cash but in additional Indebtedness of like tenor and term, (iii) no amortization of
principal of such Indebtedness is scheduled prior to the date that is at least six months subsequent to the Scheduled Maturity Date, (iv) no Subsidiary of the Borrower has any Guarantee
Obligation or other repayment
obligation with respect thereto, and (v) such Indebtedness is expressly subordinated to the Obligations under the Loan Documents pursuant to a subordination agreement in the form of  Exhibit F hereto. 

        "Ratable Share of Excess Swap Termination Value" means, as of any quarter-end date of determination: 

        (a)  for
the Non-OLP Subsidiaries, an amount equal to (i) the sum of (A) the net aggregate Swap Termination Value of all Swap Contracts pursuant to
which any Non-OLP Subsidiary is obligated as a counterparty and (B) the net aggregate Swap Termination Value of all Swap Contracts for which any Non-OLP Subsidiary has a
Guarantee Obligation, in each case without duplication of any such Swap Contracts and Guarantee Obligations with respect thereto, divided by the sum of
(A) the net aggregate Swap Termination Value of all Swap Contracts pursuant to which any Subsidiary is obligated as a counterparty and (B) the net aggregate Swap Termination Value of all
Swap Contracts for which any Subsidiary has a Guarantee Obligation, in each case without duplication of any such Swap Contacts and Guarantee Obligations with respect thereto (the
"Aggregate Subsidiary Swap Obligations"), times (ii) the Excess Swap Termination Value as of such
date; and 

15

 

        (b)  for
the Operating Partnership and the Operating Partnership Subsidiaries, an amount equal to (i) the sum of (A) the net aggregate Swap Termination Value of
all Swap Contracts pursuant to which any of the Operating Partnership or any Operating Partnership Subsidiary is obligated as a counterparty and (B) the net aggregate Swap Termination Value of
all Swap Contracts for which any of the Operating Partnership or any Operating Partnership Subsidiary has a Guarantee Obligation, in each case without duplication of any such Swap Contracts and
Guarantee Obligations with respect thereto, divided by the Aggregate Subsidiary Swap Obligations (as defined in clause (a) above), times
(ii) the Excess Swap Termination Value as of such date. 

        "Refinancing" means, with respect to any Indebtedness, the extension, refinancing, renewal, replacement, defeasance or refunding of such
Indebtedness. 

        "Register" has the meaning set forth in Section 10.07(c). 

        "Reportable Event" means any of the events set forth in Section 4043(c) of ERISA, other than events for which the 30 day
notice period has been waived. 

        "Request for Credit Extension" means (a) with respect to a Borrowing, conversion or continuation of Loans, a Loan Notice, and
(b) with respect to an L/C Credit Extension, a Letter of Credit Application. 

        "Required Lenders" means, as of any date of determination, Lenders whose Voting Percentages aggregate to more than 50%. 

        "Responsible Officer" means the president, chief financial officer, chief accountant, controller, treasurer, assistant treasurer,
secretary or assistant secretary of the Borrower, the General Partner or the Delegate. 

        "Restrictive Agreement" has the meaning set forth in Section 6.14(i). 

        "S&P" means Standard & Poor's Ratings Services, a division of The McGraw-Hill Companies, Inc. or any successor
to the rating agency business thereof, or if no such successor, any other debt rating agency selected by the Borrower and approved by the Required Lenders. 

        "Scheduled Maturity Date" has the meaning set forth in the definition of "Maturity Date". 

        "Senior Indenture" means that certain Indenture dated September 15, 1998 providing for the issuance of senior debt securities of
the Operating Partnership, which indenture is between the Operating Partnership, as issuer, and JPMorgan Chase Bank, successor to The Chase Manhattan Bank, as trustee. 

        "Senior Unsecured Notes" means, collectively, the following: (a) the 7% senior notes due 2018 in the aggregate principal amount of
$100,000,000 issued by the Operating Partnership pursuant to the Senior Indenture; (b) the 71/8% senior notes due 2028 in the aggregate principal amount of $100,000,000 issued by
the Operating Partnership pursuant to the Senior Indenture; (c) the 7.9% senior notes due 2012 in the aggregate principal amount of $100,000,000 issued by the Operating Partnership pursuant to
the Senior Indenture; and (d) such other senior unsecured notes issued by the Operating Partnership on or after the Closing Date pursuant to the Senior Indenture. 

        "Subsidiary" of a Person means a corporation, partnership, joint venture, limited liability company or other business entity of which a
majority of the shares of securities or other interests having ordinary voting power for the election of directors or other governing body (other than securities or interests having such power only by
reason of the happening of a contingency) are at the time beneficially owned, or the management of which is otherwise controlled, directly, or indirectly through one or more intermediaries, or both,
by such Person. Unless otherwise specified, all references herein to a "Subsidiary" or to "Subsidiaries" shall refer to a Subsidiary or Subsidiaries of the Borrower. In the definition of "Unrestricted
Subsidiaries", the term "Subsidiary" means each Subsidiary of the Borrower. 

16

 

In all other provisions of this Credit Agreement and the other Loan Documents, the term "Subsidiary" does not include any Unrestricted Subsidiary. 

        "Swap Contract" means (a) any and all rate swap transactions, basis swaps, credit derivative transactions, forward rate
transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward bond or forward
bond price or forward bond index transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions,
cross-currency rate swap transactions, currency options, spot contracts, or any other similar transactions or any combination of any of the foregoing (including any options to enter into any of the
foregoing), whether or not any such transaction is governed by or subject to any master agreement, and (b) any and all transactions of any kind, and the related confirmations, which are subject
to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc., any International Foreign Exchange Master
Agreement, or any other master agreement (any such master agreement, together with any related schedules, a "Master Agreement"), including any such
obligations or liabilities under any Master Agreement. 

        "Swap Termination Value" means, in respect of each Swap Contract, after taking into account the effect of any netting agreement related to
such Swap Contract, (a) for any date on or after the date there has been an early termination of the transactions under such Swap Contract and a termination value has been determined in
accordance therewith, such termination value, and (b) for any date prior to the date referenced in clause (a) the amount determined as the mark-to-market value
for such Swap Contract, as determined based upon one or more mid-market or other readily available quotations provided by any recognized dealer in such Swap Contract (which may include any
Lender). 

        "Syndication Agent" means Bank of Montreal in its capacity as syndication agent under any of the Loan Documents, or any successor
syndication agent. 

        "Threshold Amount" means $25,000,000. 

        "Total AFUDC" means, as of the relevant date of determination, the sum of all Project AFUDC. 

        "Type" means with respect to a Loan, its character as a Base Rate Loan or a Eurodollar Rate Loan. 

        "Unfunded Pension Liability" means the excess of a Pension Plan's benefit liabilities under Section 4001(a)(16) of ERISA, over the
current value of that Pension Plan's assets, determined in accordance with the assumptions used for funding the Pension Plan pursuant to Section 412 of the Code for the applicable plan year. 

        "Unreimbursed Amount" has the meaning set forth in Section 2.04(c)(i). 

        "Unrestricted Subsidiaries" means any Subsidiary of the Borrower that is designated to the Administrative Agent in writing by the Borrower
as an Unrestricted Subsidiary after the date hereof; provided, however, that no Subsidiary may be
designated as an Unrestricted Subsidiary if, (i) on the effective date of designation, a Default or Event of Default has occurred and is continuing, (ii) the creation, formation or
acquisition of such Subsidiary would not otherwise be permitted under Section 7.04 hereof, (iii) the creation, acquisition or formation of
such Subsidiary would not be permitted under the Mortgage Note Agreements or any other material contract or agreement to which the Borrower is a party, or (iv) based on the financial statements
most recently delivered pursuant to Section 6.01 or the good faith determination by the Borrower, such Subsidiary is a Material Subsidiary. If an
Unrestricted Subsidiary becomes a Material Subsidiary, such Subsidiary shall no longer be deemed an Unrestricted Subsidiary. 

17

 

        "Voting Percentage" means, as to any Lender, (a) at any time when the Commitments are in effect, such Lender's Pro Rata Share and
(b) at any time after the termination of the Commitments, the percentage (carried out to the ninth decimal place) which (i) the sum of (A) the Outstanding Amount of such Lender's
Loans, plus (B) such Lender's Pro Rata Share of the Outstanding Amount of L/C Obligations, then constitutes of (ii) the Outstanding Amount
of all Loans and L/C Obligations; provided, however, that if any Lender has failed to fund any portion
of the Loans or participations in L/C Obligations required to be funded by it hereunder, such Lender's Voting Percentage shall be deemed to be zero percent (0%), and the respective Pro Rata Shares and
Voting Percentages of the other Lenders shall be recomputed for purposes of this definition and the definition of "Required Lenders" without regard to such Lender's Commitment or the outstanding
amount of its Loans, and L/C Advances, as the case may be. 

        "Wholly-Owned" when used to describe a Subsidiary means that all of the equity of such Subsidiary is wholly owned by the Borrower, either
directly or indirectly through another wholly-owned Subsidiary of the Borrower. 

 
 
 

        1.02    Other Interpretive Provisions.    

        (a)  The
meanings of defined terms are equally applicable to the singular and plural forms of the defined terms. 

        (b)  (i)
The words "herein" and "hereunder" and words of similar import when
used in any Loan Document shall refer to such Loan Document as a whole and not to any particular provision thereof. 

        (ii)  Unless
otherwise specified herein, Article, Section, Exhibit and Schedule references are to this Agreement. 

        (iii)  The
term "including" is by way of example and not limitation. 

        (iv)  The
term "documents" includes any and all instruments, documents, agreements, certificates, notices, reports, financial
statements and other writings, however evidenced. 

        (v)  The
verb "continue", and its usage in correlative forms, with reference to a Default or an Event of Default, shall mean
that such Default or Event of Default has occurred and continues and, if applicable, after the passage of the applicable notice or cure period continues uncured, unwaived or otherwise unremedied, or
with respect to the event or circumstance giving rise thereto, and after the passage of the applicable notice or cure period, continues uncured, unwaived or otherwise unremedied. 

        (c)  In
the computation of periods of time from a specified date to a later specified date, the word "from" means
"from and including;" the words "to" and "until" each
mean "to but excluding;" and the word "through" means "to and
including." 

        (d)  Section
headings herein and the other Loan Documents are included for convenience of reference only and shall not affect the interpretation of this Agreement or any
other Loan Document. 

 
 
        1.03    Accounting Terms.     All accounting terms not specifically or completely defined herein shall be construed
in conformity with, and all financial data required to be submitted pursuant
to this Agreement shall be prepared in conformity with, GAAP applied on a consistent basis, as in effect from time to time, applied in a manner consistent with that used in preparing the Audited
Financial Statements, except as otherwise specifically prescribed herein. 

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

18

 

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

 
 

ARTICLE II.
  THE COMMITMENTS AND CREDIT EXTENSIONS    
  

 
 
        2.01    Loans.     Subject to the terms and conditions set forth herein, each Lender severally agrees to make loans
(each, a "Loan")
to the Borrower from time to time on any Business Day during the period from the Closing Date to the Maturity Date, in an aggregate amount for all Loans not to exceed at any time outstanding the
amount of such Lender's Commitment; provided, however, that after giving effect to any Borrowing,
(i) the aggregate Outstanding Amount of all Loans and L/C Obligations shall not exceed the Commitments, and (ii) the aggregate Outstanding Amount of the Loans of any Lender,  plus such Lender's
Pro Rata Share of the Outstanding Amount of all L/C Obligations shall not exceed such Lender's Commitment. Within the limits of each
Lender's Commitment, and subject to the other terms and conditions hereof, the Borrower may borrow under this Section 2.01, prepay under  Section 2.06, and reborrow under this Section 2.01. Loans may be Base Rate Loans or
Eurodollar Rate Loans, as further provided herein. 

 
 
        2.02    Borrowings, Conversions and Continuations of Loans.     

        (a)  Each
Borrowing (other than an L/C Borrowing), each conversion of Loans from one Type to the other, and each continuation of Loans as the same Type shall be made upon the
relevant Borrower's irrevocable notice to the Administrative Agent. Each such notice must be received by the Administrative Agent not later than 11:00 a.m., New York time, (i) three
Business Days prior to the requested date of any Borrowing of, conversion to or continuation of Eurodollar Rate Loans or of any conversion of Eurodollar Rate Loans to Base Rate Loans, and
(ii) on the requested date of any Borrowing of Base Rate Loans. Each Borrowing of, conversion to or continuation of Eurodollar Rate Loans shall be in a principal amount of $10,000,000 or a
whole multiple of $1,000,000 in excess thereof. Each Borrowing of or conversion to Base Rate Loans shall be in a principal amount of $1,000,000 or a whole multiple of $500,000 in excess thereof. Each
Loan Notice shall specify (i) whether the Borrower is requesting a Borrowing, a conversion of Loans from one Type to the other, or a continuation of Loans as the same Type, (ii) the
requested date of the Borrowing, conversion or continuation, as the case may be (which shall be a Business Day), (iii) the principal amount of Loans to be borrowed, converted or continued,
(iv) the Type of Loans to be borrowed or to which existing Loans are to be converted, and (v) if applicable, the duration of the Interest Period with respect thereto. If the Borrower
fails to specify a Type of Loan in a Loan Notice or if the Borrower fails to give a timely notice requesting a
conversion or continuation, then the applicable Loans shall be made or continued as, or converted to, Base Rate Loans. Any such automatic conversion to Base Rate Loans shall be effective as of the
last day of the Interest Period then in effect with respect to the applicable Eurodollar Rate Loans. If the Borrower requests a Borrowing of, conversion to, or continuation of Eurodollar Rate Loans in
any such Loan Notice, but fails to specify an Interest Period, it will be deemed to have specified an Interest Period of one month. 

        (b)  Following
receipt of a Loan Notice, the Administrative Agent shall promptly notify each Lender of its Pro Rata Share of the applicable Loans, and if no timely notice of
a conversion or continuation is provided by the Borrower, the Administrative Agent shall notify each Lender of the details of any automatic conversion to Base Rate Loans described in the preceding
subsection. In the case of a Borrowing, each Lender shall make the amount of its Loan available to the Administrative Agent in immediately available funds at the Administrative Agent's Office not
later than 1:00 p.m., 

19

 

New York time, on the Business Day specified in the applicable Loan Notice. Upon satisfaction of the applicable conditions set forth in Section 4.02  (and, if such Borrowing is the initial Credit
Extension, Section 4.01), the Administrative Agent shall make all funds so
received available to the Borrower in like funds as received by the Administrative Agent either by (i) crediting the account of the Borrower on the books of the Administrative Agent with the
amount of such funds or (ii) wire transfer of such funds, in each case in accordance with instructions provided to the Administrative Agent by the Borrower;  provided, however, that if, on the date of the Borrowing there are L/C Borrowings outstanding, then the
proceeds of such Borrowing shall be applied, first, to the payment in full of any such L/C Borrowings, and  second, to the Borrower as provided above.

        (c)  Except
as otherwise provided herein, a Eurodollar Rate Loan may be continued or converted only on the last day of the Interest Period for such Eurodollar Rate Loan.
During the existence of a Default or Event of Default, no Loans may be requested as, converted to or continued as Eurodollar Rate Loans without the consent of the Required Lenders, and the Required
Lenders may demand that any or all of the then outstanding Eurodollar Rate Loans be converted to Base Rate Loans at the end of the respective Interest Periods therefor, if at the end of such periods,
a Default or an Event of Default is then in existence. 

        (d)  The
Administrative Agent shall promptly notify the Borrower and the Lenders of the interest rate applicable to any Eurodollar Rate Loan upon determination of such
interest rate. The determination of the Eurodollar Rate by the Administrative Agent shall be conclusive in the absence of manifest error. The Administrative Agent shall notify the relevant Borrower
and the Lenders of any change in Bank of America's prime rate used in determining the Base Rate promptly following the public announcement of such change. 

        (e)  After
giving effect to all Borrowings, all conversions of Loans from one Type to the other, and all continuations of Loans as the same Type, there shall not be more than
5 Interest Periods in effect with respect to Loans. 

 
 
        2.03    Intentionally Blank.     

 
 
        2.04    Letters of Credit.     

        (a)  The Letter of Credit Commitment. 

          (i)  Subject
to the terms and conditions set forth herein, (A) the L/C Issuer agrees, in reliance upon the agreements of the other Lenders set forth in this  Section 2.04, (1) from time to time on any
Business Day during the period from the Closing Date until the Letter of Credit Expiration
Date, to issue Letters of Credit for the account of the Borrower, and to amend Letters of Credit previously issued by it, in accordance with subsection (b) below, and (2) to honor drafts
under the Letters of Credit; and (B) the Lenders severally agree to participate in Letters of Credit issued for the account of the Borrower; provided  that the L/C Issuer shall not be obligated to
make any L/C Credit Extension with respect to any Letter of Credit, and no Lender shall be obligated to participate in, any Letter
of Credit if as of the date of such L/C Credit Extension, (x) the Outstanding Amount of all L/C Obligations and all Loans would exceed the Commitments, (y) the aggregate Outstanding
Amount of the Loans of any Lender, plus such Lender's Pro Rata Share of the Outstanding Amount of all L/C Obligations, would exceed such Lender's
Commitment, or (z) the Outstanding Amount of the L/C Obligations would exceed the Letter of Credit Sublimit. Within the foregoing limits, and subject to the terms and conditions hereof, the
Borrower's ability to obtain Letters of Credit shall be fully revolving, and accordingly the Borrower may, during the foregoing period, obtain Letters of Credit to replace Letters of Credit that have
expired or that have been drawn upon and reimbursed. 

20

 

        (ii)  The
L/C Issuer shall be under no obligation to issue any Letter of Credit if: 

        (A)  any
order, judgment or decree of any Governmental Authority or arbitrator shall by its terms purport to enjoin or restrain the L/C Issuer from issuing such Letter of
Credit, or any Law applicable to the L/C Issuer or any request or directive (whether or not having the force of law) from any Governmental Authority with jurisdiction over the L/C Issuer shall
prohibit, or request that the L/C Issuer refrain from, the issuance of letters of credit generally or such Letter of Credit in particular or shall impose upon the L/C Issuer with respect to such
Letter of Credit any restriction, reserve or capital requirement (for which the L/C Issuer is not otherwise compensated hereunder) not in effect on the Closing Date, or shall impose upon the L/C
Issuer any unreimbursed loss, cost or expense which was not applicable on the Closing Date and which the L/C Issuer in good faith deems material to it; 

        (B)  the
expiry date of such requested Letter of Credit would occur more than twelve months after the date of issuance, unless the Required Lenders have approved such expiry
date; 

        (C)  the
expiry date of such requested Letter of Credit would occur after the Letter of Credit Expiration Date, unless all the Lenders have approved such expiry date; 

        (D)  the
issuance of such Letter of Credit would violate one or more policies of the L/C Issuer; or 

        (E)  such
Letter of Credit is in a face amount less than $100,000, in the case of a commercial Letter of Credit, or $500,000, in the case of any other type of Letter of
Credit, or is to be denominated in a currency other than Dollars. 

        (iii)  The
L/C Issuer shall be under no obligation to amend any Letter of Credit if (A) the L/C Issuer would have no obligation at such time to issue such Letter of
Credit in its amended form under the terms hereof, or (B) the beneficiary of such Letter of Credit does not accept the proposed amendment to such Letter of Credit. 

        (b)  Procedures for Issuance and Amendment of Letters of Credit. 

          (i)  Each
Letter of Credit shall be issued or amended, as the case may be, upon the request of the Borrower delivered to the L/C Issuer (with a copy to the Administrative
Agent) in the form of a Letter of Credit Application, appropriately completed and signed by a Responsible Officer of the Borrower. Such L/C Application must be received by the L/C Issuer and the
Administrative Agent not later than 11:00 a.m., New York time, at least two Business Days (or such later date and time as the L/C Issuer may agree in a particular instance in its sole
discretion) prior to the proposed issuance date or date of amendment, as the case may be. In the case of a request for an initial issuance of a Letter of Credit, such Letter of Credit Application
shall specify in form and detail satisfactory to the L/C Issuer: (A) the proposed issuance date of the requested Letter of Credit (which shall be a Business Day); (B) the amount thereof;
(C) the expiry date thereof; (D) the name and address of the beneficiary thereof; (E) the documents to be presented by such beneficiary in case of any drawing thereunder;
(F) the full text of any certificate to be presented by such beneficiary in case of any drawing thereunder; and (G) such other matters as the L/C Issuer may require. In the case of a
request for an amendment of any outstanding Letter of Credit, such Letter of Credit Application shall specify in form and detail satisfactory to the L/C Issuer (A) the Letter of Credit to be
amended; (B) the proposed date of amendment thereof (which shall be a Business Day); (C) the nature of the proposed amendment; and (D) such other matters as the L/C Issuer may
require. 

        (ii)  Promptly
after receipt of any Letter of Credit Application, the L/C Issuer will confirm with the Administrative Agent (by telephone or in writing) that the
Administrative Agent has 

21

 

received a copy of such Letter of Credit Application from the Borrower and, if not, the L/C Issuer will provide the Administrative Agent with a copy thereof. Upon receipt by the L/C Issuer of
confirmation from the Administrative Agent that the requested issuance or amendment is permitted in accordance with the terms hereof, then, subject to the terms and conditions hereof, the L/C Issuer
shall, on the requested date, issue a Letter of Credit for the account of the Borrower or enter into the applicable amendment, as the case may be, in each case in accordance with the L/C Issuer's
usual and customary business practices. Immediately upon the issuance of each Letter of Credit, each Lender shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the
L/C Issuer a participation in such Letter of Credit in an amount equal to the product of such Lender's Pro Rata Share times the amount of such Letter of
Credit. 

        (iii)  Promptly
after its delivery of any Letter of Credit or any amendment to a Letter of Credit to an advising bank with respect thereto or to the beneficiary thereof, the
L/C Issuer will also deliver to the Borrower and the Administrative Agent a true and complete copy of such Letter of Credit or amendment. 

        (c)  Drawings and Reimbursements; Funding of Participations. 

          (i)  Upon
any drawing under any Letter of Credit, the L/C Issuer shall notify the Borrower and the Administrative Agent thereof. Not later than 11:00 a.m., New York
time, on the date of any payment by the L/C Issuer under a Letter of Credit (each such date, an "Honor Date"), the Borrower shall reimburse the L/C
Issuer through the Administrative Agent in an amount equal to the amount of such drawing. If the Borrower fails to so reimburse the L/C Issuer by such time, the Administrative Agent shall promptly
notify each Lender of the Honor Date, the amount of the unreimbursed drawing (the "Unreimbursed Amount"), and such Lender's Pro Rata Share thereof. In
such event, the Borrower shall be deemed to have requested a Borrowing of Base Rate Loans to be disbursed on the Honor Date in an amount equal to the Unreimbursed Amount, without regard to the minimum
and multiples specified in Section 2.02 for the principal amount of Base Rate Loans, but subject to the amount of the unutilized portion of the
Commitments and the conditions set forth in Section 4.02 (other than the delivery of a Loan Notice). Any notice given by the L/C Issuer or the
Administrative Agent pursuant to this Section 2.04(c)(i) may be given by telephone if immediately confirmed in writing;  provided that the lack of such
an immediate confirmation shall not affect the conclusiveness or binding effect of such notice. 

        (ii)  Each
Lender (including the Lender acting as L/C Issuer) shall upon receipt of any notice pursuant to Section 2.04(c)(i)  make funds available to the Administrative Agent for the account of the L/C Issuer
at the Administrative Agent's Office in an amount equal to its Pro Rata Share of the
Unreimbursed Amount not later than 1:00 p.m., New York time, on the Business Day specified in such notice by the Administrative Agent if such notice is received by 12:00 noon on such day and
otherwise by 1:00 p.m. on the next Business Day, whereupon, subject to the provisions of Section 2.04(c)(iii), each Lender that so makes
funds available shall be deemed to have made a Base Rate Loan to the Borrower in such amount. The Administrative Agent shall remit the funds so received to the L/C Issuer. 

        (iii)  With
respect to any Unreimbursed Amount that is not fully paid by a Borrowing of Base Rate Loans because the conditions set forth in  Section 4.02 cannot be satisfied or for any other reason, the
Borrower shall be deemed to have incurred from the L/C Issuer an L/C Borrowing in the amount of the Unreimbursed Amount that is not so paid, which L/C Borrowing shall be due and payable on demand
(together with interest) and shall bear interest at the Default Rate. In such event, each Lender's payment to the Administrative Agent for the account of the L/C Issuer pursuant to  Section 2.04(c)(ii) shall be deemed payment in respect of its participation in such L/C Borrowing and shall constitute an L/C Advance from such
Lender in satisfaction of its participation obligation under this Section 2.04. 

22

  

        (iv)  Until
each Lender funds its Base Rate Loan pursuant to clause (ii),or L/C Advance pursuant to clause (iii), of this  Section 2.04(c) to reimburse the L/C Issuer for any amount drawn under any
Letter of Credit, interest in respect of such Lender's Pro Rata Share
of such amount shall be solely for the account of the L/C Issuer. 

        (v)  Each
Lender's obligation to make Base Rate Loans or L/C Advances to reimburse the L/C Issuer for amounts drawn under Letters of Credit, as contemplated by this  Section 2.04(c), shall be absolute and
unconditional and shall not be affected by any circumstance, including (A) any set-off,
counterclaim, recoupment, defense or other right which such Lender may have against the L/C Issuer, the Borrower or any other Person for any reason whatsoever; (B) the occurrence or continuance
of a Default or Event of Default, or (C) any other occurrence, event or condition, whether or not similar to any of the foregoing. Any such reimbursement shall not relieve or otherwise impair
the obligation of the Borrower to reimburse the L/C Issuer for the amount of any payment made by the L/C Issuer under any Letter of Credit, together with interest as provided herein. 

        (vi)  If
any Lender fails to make available to the Administrative Agent for the account of the L/C Issuer any amount required to be paid by such Lender pursuant to the
foregoing provisions of this Section 2.04(c) by the time specified in Section 2.04(c)(ii),
the L/C Issuer shall be entitled to recover from such Lender (acting through the Administrative Agent), on demand, such amount with interest thereon for the period from the date such payment is
required to the date on which such payment is immediately available to the L/C Issuer at a rate per annum equal to the Federal Funds Rate from time to time in effect. A certificate of the L/C Issuer
submitted to any Lender (through the Administrative Agent) with respect to any amounts owing under this clause (vi) shall be conclusive absent manifest error. 

        (d)    Repayment of L/C Advances.    

        (i)    At
any time after the L/C Issuer has made a payment under any Letter of Credit and has received from any Lender such Lender's Base Rate Loan in accordance with  Section 2.04(c)(ii) or its L/C
Advance in respect of such payment in accordance with  Section 2.04(c)(iii), if the Administrative Agent receives for the account of the L/C Issuer any payment related to such Letter of Credit
(whether directly from the Borrower or otherwise, including proceeds of Cash Collateral applied thereto by the Administrative Agent), or any payment of interest thereon, the Administrative Agent will
distribute to such Lender its Pro Rata Share thereof in the same funds as those received by the Administrative Agent. 

        (ii)  If
any payment received by the Administrative Agent for the account of the L/C Issuer pursuant to  Section 2.04(c)(i) is required to be returned, each Lender shall pay to the Administrative Agent
for the account of the L/C Issuer its Pro
Rata Share thereof on demand of the Administrative Agent, plus interest thereon from the date of such demand to the date such amount is returned by such Lender, at a rate per annum equal to the
Federal Funds Rate from time to time in effect and such payments shall constitute L/C Advances hereunder with respect to such Lenders. 

        (e)    Obligations Absolute.    The obligation of the Borrower to reimburse the L/C Issuer for each drawing under each
Letter of Credit that it has requested to be issued, and to repay each such L/C Borrowing and each drawing under a Letter of Credit that is paid by a corresponding Borrowing of Loans or L/C Advances,
shall be absolute, unconditional and irrevocable, and shall be paid strictly in accordance with the terms of this Agreement under all circumstances, including the following: 

        (i)    any
lack of validity or enforceability of such Letter of Credit, this Agreement, or any other agreement or instrument relating thereto; 

23

 

        (ii)  the
existence of any claim, counterclaim, set-off, defense or other right that the Borrower may have at any time against any beneficiary or any transferee
of such Letter of Credit (or any Person for whom any such beneficiary or any such transferee may be acting), the L/C Issuer or any other Person, whether in connection with this Agreement, the
transactions contemplated hereby or by such Letter of Credit or any agreement or instrument relating thereto, or any unrelated transaction; 

        (iii)  any
draft, demand, certificate or other document presented under such Letter of Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any
statement therein being untrue or inaccurate in any respect; or any loss or delay in the transmission or otherwise of any document required in order to make a drawing under such Letter of Credit; 

        (iv)  any
payment by the L/C Issuer under such Letter of Credit against presentation of a draft or certificate that does not strictly comply with the terms of such Letter of
Credit; or any payment made by the L/C Issuer under such Letter of Credit to any Person purporting to be a trustee in bankruptcy, debtor-in-possession, assignee for the benefit
of creditors, liquidator, receiver or other representative of or successor to any beneficiary or any transferee of such Letter of Credit, including any arising in connection with any proceeding under
any Debtor Relief Law; or 

        (v)  any
other circumstance or happening whatsoever, whether or not similar to any of the foregoing, including any other circumstance that might otherwise constitute a
defense available to, or a discharge of, the Borrower, except for the gross negligence, willful misconduct or violation of Law by the L/C Issuer in connection with its payment of a Letter of Credit. 

        The
Borrower shall promptly examine a copy of each Letter of Credit that is has requested to be issued and each amendment thereto that is delivered to it and, in the event of any claim
of noncompliance with the Borrower's instructions or other irregularity, the Borrower shall immediately notify the L/C Issuer. The Borrower shall be conclusively deemed to have waived any such claim
against the L/C Issuer and its correspondents unless such notice is immediately given as aforesaid. 

        (f)    Role of L/C Issuer.    Each Lender and the Borrower agree that, in paying any drawing under a Letter of Credit,
the L/C Issuer shall not have any responsibility to obtain any document (other than any sight draft, certificates and documents expressly required by the Letter of Credit) or to ascertain or inquire
as to the validity or accuracy of any such document or the authority of the Person executing or delivering any such document. No Agent-Related Person nor any of the respective correspondents,
participants or assignees of the L/C Issuer shall be liable to any Lender for (i) any action taken or omitted in connection herewith at the request or with the approval of the Lenders or the
Required Lenders, as applicable; (ii) any action taken or omitted in the absence of gross negligence, willful misconduct or violation of Law; or (iii) the due execution, effectiveness,
validity or enforceability of any document or instrument related to any Letter of Credit or Letter of Credit Application. The Borrower hereby assumes all risks of the acts or omissions of any
beneficiary or transferee with respect to its use of any Letter of Credit; provided, however, that this
assumption is not intended to, and shall not, preclude such Borrower's pursuing such rights and remedies as it may have against the beneficiary or transferee at law or under any other agreement. No
Agent-Related Person, nor any of the respective correspondents, participants or assignees of the L/C Issuer, shall be liable or responsible for any of the matters described in clauses
(i) through (v) of Section 2.04(e); provided,  however, that anything in such clauses to the
contrary notwithstanding, the Borrower may have a claim against the L/C Issuer, and the L/C Issuer may be
liable to the Borrower, to the extent, but only to the extent, of any direct, as opposed to consequential or exemplary, damages suffered by the Borrower which the Borrower proves were caused by the
L/C Issuer's willful misconduct, gross negligence or violation of Law or the L/C Issuer's willful failure to pay under any Letter of Credit after the presentation to it by the beneficiary of a sight
draft and certificate(s) strictly complying with the terms and conditions of a Letter of Credit. In furtherance and not in limitation of the foregoing, the L/C Issuer may accept documents that appear 

24

 

on their face to be in order, without responsibility for further investigation, regardless of any notice or information to the contrary, and the L/C Issuer shall not be responsible for the validity
or sufficiency of any instrument transferring or assigning or purporting to transfer or assign a Letter of Credit or the rights or benefits thereunder or proceeds thereof, in whole or in part, which
may prove to be invalid or ineffective for any reason. 

        (g)    Cash Collateral.    Upon the request of the Administrative Agent, (i) if the L/C Issuer has honored any
full or partial drawing request under any Letter of Credit and such drawing has resulted in an L/C Borrowing and until such borrowing has been reimbursed or otherwise paid (including pursuant to a
Borrowing), or (ii) if, as of the Letter of Credit Expiration Date, any Letter of Credit may for any reason remain outstanding and partially or wholly undrawn, the Borrower shall, upon the
Administrative Agent's request, immediately Cash Collateralize the then Outstanding Amount of all such L/C Obligations (in an amount equal to such Outstanding Amount). The Borrower hereby grants the
Administrative Agent, for the benefit of the L/C Issuer and the Lenders, a Lien on its interest in such Cash Collateral to secure the outstanding and unpaid amount of a L/C Borrowing or Letter of
Credit remaining outstanding as of the Letter of Credit Expiration Date, in each case as referred to in clause (i) or (ii) of this Section;  provided that when such amount shall no longer be
outstanding and unpaid, such Cash Collateral shall be released from such Lien and returned to the
Borrower. Cash
Collateral shall be maintained in blocked, non-interest bearing deposit accounts at Bank of America or other institutions satisfactory to it. 

        (h)    Applicability of ISP98 and UCP.    Unless otherwise expressly agreed by the L/C Issuer and the Borrower with
the consent of the Required Lenders when a Letter of Credit is issued (including any such agreement applicable to an Existing Letter of Credit), (i) the rules of the "International Standby
Practices 1998" published by the Institute of International Banking Law & Practice (or such later version thereof as may be in effect at the time of issuance) shall apply to each standby Letter
of Credit, and (ii) the rules of the Uniform Customs and Practice for Documentary Credits, as most recently published by the International Chamber of Commerce (the
"ICC") at the time of issuance (including, to the extent it is applicable, the ICC decision published by the Commission on Banking Technique and
Practice on April 6, 1998 regarding the European single currency (euro)) shall apply to each commercial Letter of Credit. 

        (i)    Letter of Credit Fees.    The Borrower shall pay to the Administrative Agent for the account of each Lender in
accordance with its Pro Rata Share a Letter of Credit fee for each Letter of Credit issued at its request equal to the Applicable Rate for Letters of Credit multiplied by the actual daily maximum
amount available to be drawn under such Letter of Credit. Such fee for each Letter of Credit shall be due and payable on the last Business Day of each March, June, September and December, commencing
with the first such date to occur after the issuance of such Letter of Credit, and on the Letter of Credit Expiration Date. If there is any change in the Applicable Rate during any quarter, the actual
daily amount of each Letter of Credit shall be computed and multiplied by the Applicable Rate separately for each period during such quarter that such Applicable Rate was in effect. 

        (j)    Fronting Fee and Documentary and Processing Charges Payable to L/C Issuer.    The Borrower shall pay directly
to the L/C Issuer for its own account a fronting fee with respect to each Letter of Credit issued at its request, as provided in the Agent/Arranger Fee Letter, due and payable quarterly in arrears on
the last Business Day of each March, June, September and December, commencing with the first such date to occur after the issuance of such Letter of Credit, and on the Letter of Credit Expiration
Date. In addition, the Borrower shall pay directly to the L/C Issuer for its own account the customary issuance, presentation, amendment and other processing fees, and other standard costs and
charges, of the L/C Issuer relating to letters of credit issued at its request as from time to time in effect. Such fees and charges are due and payable on demand and are nonrefundable. 

25

 

        (k)    Conflict with Letter of Credit Application.    In the event of any conflict between the terms hereof and the
terms of any Letter of Credit Application, the terms hereof shall control. 

 
 
        2.05    Intentionally Omitted.     

 
 
        2.06    Prepayments.     

        (a)  The
Borrower may, upon notice to the Administrative Agent, at any time or from time to time voluntarily prepay Loans in whole or in part without premium or penalty;  provided that (i) such notice must
be received by the Administrative Agent not later than 11:00 a.m., New York time, (A) three
Business Days prior to any date of prepayment of Eurodollar Rate Loans, and (B) one Business Day prior to any date of prepayment of Base Rate Loans; (ii) any prepayment of Eurodollar
Rate Loans shall be in a principal amount of $5,000,000 or a whole multiple of $1,000,000 in excess thereof; and (iii) any prepayment of Base Rate Loans shall be in a principal amount of
$500,000 or a whole multiple of $100,000 in excess thereof. Each such notice shall specify the date and amount of such prepayment and the Type(s) of Loans to be prepaid. The Administrative Agent will
promptly notify each Lender of its receipt of each such notice, and of such Lender's Pro Rata Share of such prepayment. If such notice is given by the Borrower, the Borrower shall make such prepayment
and the payment amount specified in such notice shall be due and payable on the date specified therein. Any prepayment of a Eurodollar Rate Loan shall be accompanied by all accrued interest thereon,
together with any additional amounts required pursuant to Section 3.05. Each such prepayment shall be applied to the Loans of the Lenders in
accordance with their respective Pro Rata Shares. 

        (b)  If
for any reason the Outstanding Amount of all Loans and L/C Obligations at any time exceeds the Commitments then in effect, the Borrower shall immediately prepay its
Loans and/or Cash Collateralize the L/C Obligations in an aggregate amount equal to such excess. 

 
 
        2.07    Reduction or Termination of Commitments.     The Borrower may, upon notice to the Administrative Agent,
terminate the Commitments, or permanently reduce the Commitments to an amount not less than the then
Outstanding Amount of all Loans and L/C Obligations; provided that (i) any such notice shall be received by the Administrative Agent not later
than 11:00 a.m., five Business Days prior to the date of termination or reduction, and (ii) any such partial reduction shall be in an aggregate amount of $10,000,000 or any whole
multiple of $1,000,000 in excess thereof. The Administrative Agent shall promptly notify the Lenders of any such notice of reduction or termination of the Commitments. Once reduced in accordance with
this Section, the Commitments may not be increased. Any reduction of the Commitments shall be applied to the Commitment of each Lender according to its Pro Rata Share. All facility fees and
utilization fees accrued until the effective date of any termination of the Commitments shall be paid on the effective date of such termination. 

 
 
        2.08    Repayment of Loans.     

        The
Borrower shall repay to the Lenders on the Maturity Date the aggregate principal amount of Loans outstanding on such date which were made to it. 

 
 
        2.09    Interest.     

        (a)  Subject
to the provisions of subsection (b) below, (i) each Eurodollar Rate Loan shall bear interest on the outstanding principal amount thereof for each
Interest Period at a rate per annum equal to the
Eurodollar Rate for such Interest Period plus the Applicable Rate; and (ii) each Base Rate Loan shall bear interest on the outstanding principal
amount thereof from the applicable borrowing date at a rate per annum equal to the Base Rate plus the Applicable Rate. 

        (b)  In
the event any amount due hereunder or under any other Loan Document (including, without limitation, any interest payment) is not paid when due (whether by
acceleration or otherwise), the Borrower shall pay interest on such unpaid amount (including, without limitation, interest on interest) at a fluctuating interest rate per annum equal to the Default
Rate to the fullest extent 

26

 

permitted by applicable Law. Accrued and unpaid interest on past due amounts (including interest on past due interest) shall be due and payable upon demand. 

        (c)  Interest
on each Loan shall be due and payable in arrears on each Interest Payment Date applicable thereto and at such other times as may be specified herein. Interest
hereunder shall be due and payable in accordance with the terms hereof before and after judgment, and before and after the commencement of any proceeding under any Debtor Relief Law. 

 
 
        2.10    Fees.     

        In
addition to certain fees described in subsections (i) and (j) of Section 2.04: 

        (a)    Facility Fee.    The Borrower shall pay to the Administrative Agent for the account of each Lender in
accordance with its Pro Rata Share, a facility fee equal to the Applicable Rate multiplied by the actual daily amount of the Commitments, regardless of usage. The facility fee shall accrue at all
times from the Closing Date until the Maturity Date and shall be due and payable quarterly in arrears on the last Business Day of each March, June, September and December, commencing with the first
such date to occur after the Closing Date, and on the Maturity Date. The facility fee shall be calculated quarterly in arrears, and if there is any change in the Applicable Rate during any quarter,
the actual daily amount shall be computed and multiplied by the Applicable Rate separately for each period during such quarter that such Applicable Rate was in effect. The facility fee shall accrue at
all times, including at any time during which one or more of the conditions in Article IV is not met. 

        (b)    Utilization Fee.    The Borrower shall pay to the Administrative Agent for the account of each Lender in
accordance with its Pro Rata Share, a utilization fee equal to the Applicable Rate multiplied by the actual daily aggregate Outstanding Amount of Loans and L/C Obligations for each day that such
aggregate Outstanding Amount together with the aggregate Outstanding Amount (as such term is defined in the Amended and Restated 364-Day Credit Agreement) under the Amended and Restated
364-Day Credit Agreement exceeds 331/3% of the Aggregate Commitments. The utilization fee shall be due and payable quarterly in arrears on the last Business Day of each
March, June, September and December, commencing with the first such date to occur after the Closing Date, and on the Maturity Date. The utilization fee shall be calculated quarterly in arrears. The
utilization fee shall accrue at all times, including at any time during which one or more of the conditions in Article IV is not met. 

        (c)    Other Fees.    The Borrower shall pay a fee to the Arranger for the Arranger's own account, and shall pay an
agency fee to the Administrative Agent for the Administrative Agent's own account, in the amounts and at the times specified in the letter agreement, dated December 16, 2002 (the
"Agent/Arranger Fee Letter"), between the Borrower, the Arranger and the Administrative Agent. 

 
 
        2.11    Computation of Interest and Fees.     Computation of interest on Base Rate Loans shall be calculated on the
basis of a year of 365 or 366 days, as the case may be, and the actual number of days
elapsed. Computation of all other types of interest and all fees shall be calculated on the basis of a year of 360 days and the actual number of days elapsed, which results in a higher yield to
the payee thereof than a method based on a year of 365 or 366 days. Interest shall accrue on each Loan for the day on which the Loan is made, and shall not accrue on a Loan, or any portion
thereof, for the day on which the Loan or such portion is paid, provided that any Loan that is repaid on the same day on which it is made shall bear
interest for one day. 

 
 
        2.12    Evidence of Debt.     

        (a)  The
Credit Extensions made by each Lender shall be evidenced by one or more accounts or records maintained by such Lender and by the Administrative Agent in the ordinary
course of business. The accounts or records maintained by the Administrative Agent and each Lender shall be conclusive absent manifest error of the amount of the Credit Extensions made by the Lenders
to the Borrower and the interest and payments thereon. Any failure so to record or any error in doing so shall not, 

27

 

however, limit or otherwise affect the obligation of the Borrower hereunder to pay any amount owing with respect to the Loans and L/C Obligations. In the event of any conflict between the accounts
and records maintained by any Lender and the accounts and records of the Administrative Agent in respect of such matters, the accounts and records of the Administrative Agent shall be presumed to be
prima facie evidence of such matters absent manifest error. Upon the request of any Lender made through the Administrative Agent, such Lender's Loans may be evidenced by a Note, in addition to such
accounts or records. Each Lender may attach schedules to its Note(s) and endorse thereon the date, Type (if applicable), amount and maturity of the applicable Loans and payments with respect thereto. 

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

 
 
        2.13    Payments Generally.     

        (a)  All
payments to be made by the Borrower shall be made without condition or deduction for any counterclaim, defense, recoupment or setoff. Except as otherwise expressly
provided herein, all payments by the Borrower hereunder shall be made to the Administrative Agent, for the account of the respective Lenders to which such payment is owed, at the Administrative
Agent's Office in Dollars and in immediately available funds not later than 12:00 noon, New York time, on the date specified herein. The Administrative Agent will promptly distribute to each Lender
its Pro Rata Share (or other applicable share as provided herein) of such payment in like funds as received by wire transfer to such Lender's Lending Office. All payments received by the
Administrative Agent after 12:00 noon, New York time, shall be deemed received on the next succeeding Business Day and any applicable interest or fee shall continue to accrue. 

        (b)  Subject
to the definition of "Interest Period," if any payment to be made by the Borrower shall come due on a day other than a Business Day, payment shall be made on the
next following Business Day, and such extension of time shall be reflected in computing interest or fees, as the case may be. 

        (c)  If
at any time insufficient funds are received by and available to the Administrative Agent to pay fully all amounts of principal, L/C Borrowings, interest and fees then
due hereunder, such funds shall be applied (i) first, toward costs and expenses (including Attorney Costs and amounts payable under  Article III)
incurred by the Administrative Agent and each Lender, (ii) second, toward
repayment of interest and fees then due hereunder, ratably among the parties entitled thereto in accordance with the amounts of interest and fees then due to such parties, and
(iii) third, toward repayment of principal and L/C Borrowings then due hereunder, ratably among the parties entitled thereto in accordance with
the amounts of principal and L/C Borrowings then due to such parties. 

        (d)  Unless
the Borrower or any Lender has notified the Administrative Agent prior to the date any payment is required to be made by it to the Administrative Agent hereunder,
the Borrower or such Lender, as the case may be, will not make such payment, the Administrative Agent may assume that the Borrower or such Lender, as the case may be, has timely made such payment and
may (but shall not be so required to), in reliance thereon, make available a corresponding amount to the Person entitled thereto. If and to the extent that such payment was not in fact made to the
Administrative Agent in immediately available funds, then: 

        (i)    if
the Borrower failed to make such payment, each Lender shall forthwith on demand repay to the Administrative Agent the portion of such assumed payment that was made
available to such Lender in immediately available funds, together with interest thereon in respect of each 

28

 

day from and including the date such amount was made available by the Administrative Agent to such Lender to the date such amount is repaid to the Administrative Agent in immediately available funds,
at the Federal Funds Rate from time to time in effect; and 

        (ii)  if
any Lender failed to make such payment, such Lender shall forthwith on demand pay to the Administrative Agent the amount thereof in immediately available funds,
together with interest thereon for the period from the date such amount was made available by the Administrative Agent to the Borrower to the date such amount is recovered by the Administrative Agent
(the "Compensation Period") at a rate per annum equal to the Federal Funds Rate from time to time in effect. If such Lender pays such amount to the
Administrative Agent, then such amount shall constitute such Lender's Loan included in the applicable Borrowing. If such Lender does not pay such amount forthwith upon the Administrative Agent's
demand therefor, the Administrative Agent may make a demand therefor upon the Borrower, and the Borrower shall pay (subject to its recoupment rights from and remedies against such defaulting Lender of
any breakage costs paid by the Borrower when repaying such amount) such amount to the Administrative Agent, together with interest thereon for the Compensation Period at a rate per annum equal to the
rate of interest applicable to the applicable Borrowing. Nothing herein shall be deemed to relieve any Lender from its obligation to fulfill its Commitment or to prejudice any rights which the
Administrative Agent or the Borrower may have against any Lender as a result of any default by such Lender hereunder. 

        A
notice of the Administrative Agent to any Lender with respect to any amount owing under this subsection (d) shall be conclusive, absent manifest error. 

        (e)  If
any Lender makes available to the Administrative Agent funds for any Loan to be made by such Lender as provided in the foregoing provisions of this  Article II, and the conditions to the applicable
Credit Extension set forth in Article IV
are not satisfied or waived in accordance with the terms hereof, the Administrative Agent shall return such funds (in like funds as received from such Lender) to such Lender, without interest. 

        (f)    The
obligations of the Lenders hereunder to make Loans and to fund participations in Letters of Credit are several and not joint. The failure of any Lender to make any
Loan or to fund any such participation on any date required hereunder shall not relieve any other Lender of its corresponding obligation to do so on such date, and no Lender shall be responsible for
the failure of any other Lender to so make its Loan or purchase its participation. 

        (g)  Nothing
herein shall be deemed to obligate any Lender to obtain the funds for any Loan in any particular place or manner or to constitute a representation by any Lender
that it has obtained or will obtain the funds for any Loan in any particular place or manner. 

 
 
        2.14    Sharing of Payments.     If, other than as expressly provided elsewhere herein, any Lender shall obtain on
account of the Loans made by it, or the participations in L/C Obligations held
by it, any payment (whether voluntary, involuntary, through the exercise of any right of set-off, or otherwise) in excess of its ratable share (or other share contemplated hereunder)
thereof, such Lender shall immediately (a) notify the Administrative Agent of such fact, and (b) purchase from the other Lenders such participations in the Loans made by them and/or such
subparticipations in the participations in L/C Obligations held by them, as the case may be, as shall be necessary to cause such purchasing Lender to share the excess payment in respect of such Loan
or such participations, as the case may be, pro rata with each of them; provided, however, that if all
or any portion of such excess payment is thereafter recovered from the
purchasing Lender, such purchase shall to that extent be rescinded and each other Lender shall repay to the purchasing Lender the purchase price paid therefor, together with an amount equal to such
paying Lender's ratable share (according to the proportion of (i) the amount of such paying Lender's required repayment to (ii) the total amount so recovered from the purchasing Lender)
of any interest or other amount paid or payable by the purchasing Lender in respect of the total 

29

 

amount so recovered. The Borrower agrees that any Lender so purchasing a participation from another Lender may, to the fullest extent permitted by law, exercise all its rights of payment (including
the right of set-off, but subject to Section 10.09) with respect to such participation as fully as if such Lender were the direct
creditor of the Borrower in the amount of such participation. The Administrative Agent will keep records (which shall be conclusive and binding in the absence of manifest error) of participations
purchased under this Section and will in each case notify the Lenders following any such purchases or repayments. Each Lender that purchases a participation pursuant to this Section shall from and
after such purchase have the right to give all notices, requests, demands, directions and other communications under this Agreement with respect to the portion of the Obligations purchased to the same
extent as though the purchasing Lender were the original owner of the Obligations purchased. 

 
 
        2.15    Extension of Maturity Date.     

        (a)  Not
earlier than 60 days prior to, nor later than 30 days prior to, each anniversary of the Closing Date, the Borrower may, upon notice to the
Administrative Agent (who shall promptly notify the Lenders), request a one year extension of the Maturity Date. Within 15 days of delivery of such notice, each Lender shall notify the
Administrative Agent whether or not it consents to such extension (which consent may be given or withheld in such Lender's sole and absolute discretion). Any Lender not responding within the above
time period shall be deemed not to have consented to such extension. The Administrative Agent shall promptly notify the Borrower and the Lenders of the Lenders' responses. If any Lender declines, or
is deemed to have declined, to consent to such extension (a "Declining Lender"), the Borrower may cause any such Declining Lender to be removed or
replaced as a Lender pursuant to Section 10.16. 

        (b)  The
Maturity Date shall be extended only if Lenders holding more than 50% of the Commitments (calculated prior to giving effect to any removals and/or replacements of
Lenders permitted herein) (the "Consenting Lenders") have consented thereto, with respect only to Consenting Lenders and any Lender replacing a
Declining Lender pursuant to Section 10.16. If so extended, the Maturity Date, as to the Consenting Lenders and each Lender replacing a Declining
Lender pursuant to Section 10.16, shall be extended to the same date in the following year (the "Extension Effective
Date") but the pre-existing Maturity Date shall remain in effect with respect to any Declining Lender that is not replaced. The Administrative Agent and the
Borrower shall promptly confirm to the Lenders such extension and the Extension Effective Date. As a condition precedent to such extension, the Borrower shall deliver to the Administrative Agent a
certificate dated as of the Extension Effective Date (in sufficient copies for each Lender) signed by a Responsible Officer of the Borrower (i) certifying and attaching the resolutions adopted
by the Borrower approving or consenting to such extension, or if the Borrower's resolutions delivered pursuant to  Section 4.01(a)(iv) provided for such extension, certifying that such
resolutions have not been amended, modified or rescinded and remain
in full force and effect and, (ii) certifying that, (A) before and after giving effect to such extension, the representations and warranties contained in  Article V are true and correct on
and as of the Extension Effective Date, except
to the extent that such representations and warranties specifically refer to a different date, in which case they shall be true and correct as of such date, and (B) no Default or Event of
Default exists. The Administrative Agent shall distribute an amended Schedule 2.01 (which shall be deemed incorporated into this Agreement), to
reflect any changes in Lenders and their respective Commitments. The Borrower shall (i) on the existing Maturity Date, prior to or contemporaneous with giving effect to any extension, pay
amounts due, in full, to any Declining Lender that is not replaced as a Lender pursuant to Section 10.16, and (ii) prepay any Loans
outstanding on the Extension Effective Date which were made to it (and pay any additional amounts required pursuant to Section 3.05) to the
extent necessary to keep outstanding Loans ratable with the Pro Rata Shares of all the Lenders. 

30

 

 
 

ARTICLE III.
  TAXES, YIELD PROTECTION AND ILLEGALITY    
  

 
 
        3.01    Taxes.     

        (a)  Any
and all payments by the Borrower to or for the account of the Administrative Agent or any Lender under any Loan Document shall be made free and clear of and without
deduction for any and all present or future taxes, duties, levies, imposts, deductions, assessments, fees, withholdings or similar charges, and all liabilities with respect thereto,  excluding, in the
case of the Administrative Agent and each Lender, taxes imposed on or measured by its net income, and franchise taxes imposed on it
(in lieu of net income taxes), by the jurisdiction (or any political subdivision thereof) under the Laws of which the Administrative Agent or such Lender, as the case may be, is organized or maintains
a lending office (all such non-excluded taxes, duties, levies, imposts, deductions, assessments, fees, withholdings or similar charges, and liabilities being hereinafter referred to as
"Taxes"). If the Borrower shall be required by any Laws to deduct any Taxes from or in respect of any sum payable under any Loan Document to the
Administrative Agent or any Lender, (i) the sum payable shall be increased as necessary so that after making all required deductions (including deductions applicable to additional sums payable
under this Section), the Administrative Agent and such Lender each receives an amount equal to the sum it would have received had no such deductions been made, (ii) the Borrower shall make such
deductions, (iii) the Borrower shall pay the full amount deducted to the relevant taxation authority or other authority in accordance with applicable Laws, and (iv) within 30 days
after the date of such payment, the Borrower shall furnish to the Administrative Agent (which shall forward the same to such Lender) the original or a certified copy of a receipt evidencing payment
thereof. 

        (b)  In
addition, the Borrower agrees to pay any and all present or future stamp, court or documentary taxes and any other excise or property taxes or charges or similar
levies (but specifically excluding all other United States federal taxes, other than withholding taxes, unless such exclusion is not required as a condition for an exemption from reporting
requirements under Sections 6011, 6111, or 6112 of the
Code) which arise from any payment made by it under any Loan Document or from its execution, delivery, performance, enforcement or registration of, or otherwise with respect to, any Loan Document to
which it is a party (hereinafter referred to as "Other Taxes"). 

        (c)  If
the Borrower shall be required to deduct or pay any Taxes or Other Taxes from or in respect of any sum payable under any Loan Document to which it is a party to the
Administrative Agent or any Lender, the Borrower shall also pay to the Administrative Agent (for the account of such Lender) or to such Lender, at the time interest is paid, such additional amount
that such Lender specifies as necessary to preserve the after-tax yield (after factoring in all taxes, including taxes imposed on or measured by net income) such Lender would have received
if such Taxes or Other Taxes had not been imposed. 

        (d)  In
respect to related Obligations owed by it, the Borrower agrees to indemnify the Administrative Agent, the L/C Issuer and each Lender for (i) the full amount of
Taxes and Other Taxes (including any Taxes or Other Taxes imposed or asserted by any jurisdiction on amounts payable under this Section) paid by the Administrative Agent, the L/C Issuer and such
Lender, (ii) amounts payable under Section 3.01(c) and (iii) any liability (including penalties, interest and expenses) arising
therefrom or with respect thereto, in each case whether or not such Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. Payment under this
subsection (d) shall be made within 30 days after the date the Lender or the Administrative Agent makes a demand therefor which demand shall be accompanied by a certificate setting forth
in reasonable detail the amounts demanded, the basis therefor and the calculations in respect thereto. 

 
 
        3.02    Illegality.     If any Lender determines that any Law enacted, construed or announced after the Closing
Date has made it unlawful, or that any Governmental Authority has asserted
that it is unlawful, for any Lender or its applicable Lending Office to make, maintain or fund Eurodollar Rate 

31

 

Loans, or materially restricts the authority of such Lender to purchase or sell, or to take deposits of, Dollars in the applicable offshore Dollar market, or to determine or charge interest rates
based upon the Eurodollar Rate, then, on notice thereof by such Lender to the Borrower through the Administrative Agent, any obligation of such Lender to make or continue Eurodollar Rate Loans or to
convert Base Rate Loans to Eurodollar Rate Loans shall be suspended until such Lender notifies the Administrative Agent and the Borrower that the circumstances giving rise to such determination no
longer exist. Upon receipt of such notice, the Borrower shall, upon demand from such Lender (with a copy to the Administrative Agent), prepay or, if applicable, convert all Eurodollar Rate Loans of
such Lender to Base Rate Loans, either on the last day of the Interest Period thereof, if such Lender may lawfully continue to maintain such Eurodollar Rate Loans to such day, or immediately, if such
Lender may not lawfully continue to maintain such Eurodollar Rate Loans. Upon any such prepayment or conversion, the Borrower shall also pay interest on the amount so prepaid or converted. If any such
Law, or change therein, shall only affect a portion of such Lender's obligations under this Agreement which is, in the opinion of such Lender and the Administrative Agent, severable from the remainder
of this Agreement so that the remainder of this Agreement may be continued in full force and effect without otherwise affecting any of the obligations of the Administrative Agent, the other Lenders or
the Borrower, such Lender shall only declare its obligations under that portion so terminated. Each Lender agrees to designate a different Lending Office if such designation will avoid the need for
such
notice and will not, in the good faith judgment of such Lender, otherwise be disadvantageous to such Lender. 

 
 
        3.03    Inability to Determine Rates.     If the Administrative Agent determines in connection with any request for
a Eurodollar Rate Loan or a conversion to or continuation thereof that (a) Dollar
deposits are not being offered to banks in the applicable offshore Dollar market for the applicable amount and Interest Period of such Eurodollar Rate Loan, (b) adequate and reasonable means do
not exist for determining the Eurodollar Rate for such Eurodollar Rate Loan, or (c) the Eurodollar Rate for such Eurodollar Rate Loan does not adequately and fairly reflect the cost to the
Lenders of funding such Eurodollar Rate Loan, the Administrative Agent will promptly notify the Borrower and all Lenders. Thereafter, the obligation of the Lenders to make or maintain Eurodollar Rate
Loans shall be suspended until the Administrative Agent revokes such notice. Upon receipt of such notice, the Borrower may, without liability for any attendant breakage costs, revoke any pending
request for a Borrowing, conversion or continuation of Eurodollar Rate Loans or, failing that, will be deemed to have converted such request into a request for a Borrowing of Base Rate Loans in the
amount specified therein. 

 
 
        3.04    Increased Cost and Reduced Return; Capital Adequacy; Reserves on Eurodollar Rate Loans.     

        (a)  If
any Lender determines that as a result of the introduction of, or any change in, or in the interpretation of, any Law, in each case on or after the Closing Date, or
such Lender's compliance therewith, there shall be any increase in the cost to such Lender of agreeing to make or making, funding or maintaining Eurodollar Rate Loans or (as the case may be) issuing
or participating in Letters of Credit, or a reduction in the amount received or receivable by such Lender in connection with any of the foregoing (excluding for purposes of this subsection
(a) any such increased costs or reduction in amount resulting from (i) Taxes or Other Taxes (as to which Section 3.01 shall
govern), (ii) changes in the basis of taxation of overall net income or overall gross income by the United States or any foreign jurisdiction or any political subdivision of either thereof
under the Laws of which such Lender is organized or has its Lending Office, and (iii) reserve requirements contemplated by  Section 3.04(c)), then from time to time upon demand of such Lender
(with a copy of such demand to the Administrative Agent), the Borrower shall
pay to such Lender such additional amounts as will compensate such Lender for such increased cost or reduction. 

        (b)  If
any Lender determines that the introduction of any Law regarding capital adequacy or any change therein or in the interpretation thereof, or compliance by such Lender
(or its Lending Office) 

32

 

therewith, has the effect of reducing the rate of return on the capital of such Lender or any corporation controlling such Lender as a consequence of such Lender's obligations hereunder (taking into
consideration its policies with respect to capital adequacy and such Lender's desired return on capital), then from time to time upon demand of such Lender (with a copy of such demand to the
Administrative Agent), the Borrower shall pay to such Lender such additional amounts as will compensate such Lender for such reduction. 

        (c)  The
Borrower shall pay to each Lender, as long as such Lender shall be required under regulations of the Board to maintain reserves with respect to liabilities or assets
consisting of or including Eurocurrency funds or deposits (currently known as "Eurocurrency liabilities"), additional costs on the unpaid principal amount of each Eurodollar Rate Loan equal to the
actual costs of such reserves allocated to such Loan by such Lender (as determined by such Lender in good faith, which determination shall be conclusive), which shall be due and payable on each date
on which interest is payable on such Loan, provided the Borrower shall have received at least 15 days' prior notice (with a copy to the
Administrative Agent) of such additional interest from such Lender. If a Lender fails to give notice 15 days prior to the relevant Interest Payment Date, such additional interest shall be due
and payable 15 days from receipt of such notice. 

        (d)  Each
Lender agrees that it will not claim, and that it shall not be entitled to claim, from the Borrower the payment of any of the amounts referred to in this  Section 3.04 (i) if it is not
generally claiming similar compensation from its other similar customers in similar circumstances and
(ii) unless the relevant introduction or change affects all banks and other financial institutions substantially similar to such Lender having regard to the size, business activities and
regulatory capital of such banks and other financial institutions, but excluding differences based solely on the residency of Persons controlling such banks or other financial institutions. In
addition, each Lender shall use its reasonable efforts to reduce the amount it requests pursuant to Section 3.04, including using its reasonable
efforts to not assign or transfer any Loan to any Person if such assignment or transfer would or would be likely to increase the amount of such amounts payable;  provided, however, such Lender shall have no obligation to take or omit to take any action that such
Lender in its good faith judgment believes would be disadvantageous to it. Each amount required to be paid to any Lender pursuant to this  Section 3.04 shall be accompanied by a certificate of the
requisite Lender setting forth in reasonable detail the amount owed, the basis therefor
and the calculations in respect thereto. 

        (e)  Failure
or delay on the part of any Lender to demand compensation pursuant to this Section shall not constitute a waiver of such Lender's right to demand such
compensation; provided that the Borrower shall not be required to compensate a Lender pursuant to this Section for any increased costs or reductions incurred more than 90 days prior to the date
that such Lender notifies the Borrower of the circumstances giving rise to such increased costs or reductions and of such Lender's intention to claim compensation therefor; provided further that, if
the introduction of Law or change in (or change in interpretation of) Law giving rise to such increased costs or reductions is retroactive, then the 90-day period referred to above shall
be extended to include the period of retroactive effect thereof. 

 
 
 

        3.05    Funding Losses.    Upon demand of any Lender (with a copy to the Administrative Agent) from time to time
(which demand shall be accompanied by a certificate of such demanding Lender setting forth in reasonable detail the amount demanded, the bases therefor and the calculations in respect thereto), the
Borrower to whom the subject Loan was made shall promptly compensate such Lender for and hold such Lender harmless from any loss, cost or expense incurred by it as a result of: 

        (a)  any
continuation, conversion, payment or prepayment of any Loan made to such Borrower other than a Base Rate Loan on a day other than the last day of the Interest Period
for such Loan (whether voluntary, mandatory, automatic, by reason of acceleration, or otherwise); 

33

 

        (b)  any
failure by the Borrower (for a reason other than the failure of such Lender to make a Loan) to prepay, borrow, continue or convert any Loan made to the Borrower
other than a Base Rate Loan on the date or in the amount notified by the Borrower; or 

        (c)  any
assignment of a Eurodollar Rate Loan on a day other than the last day of the Interest Period as a result of a request by the Borrower pursuant to  Section 10.16; 

including
any loss of anticipated profits and any loss or expense arising from the liquidation or reemployment of funds obtained by it to maintain such Loan or from fees payable to terminate the
deposits from which such funds were obtained. The Borrower shall also pay any customary administrative fees charged by such Lender in connection with the foregoing. 

For
purposes of calculating amounts payable by the Borrower to the Lenders under this Section 3.05, each Lender shall be deemed to have funded
each Eurodollar Rate Loan made by it at the Eurodollar Rate for such Loan by a matching deposit or other borrowing in the applicable offshore Dollar interbank market for a comparable amount and for a
comparable period, whether or not such Eurodollar Rate Loan was in fact so funded. 

 
 
 

        3.06    Matters Applicable to all Requests for Compensation.    

        (a)  A
certificate of the Administrative Agent or any Lender claiming compensation under this Article III and setting
forth in reasonable detail the additional amount or amounts to be paid to it hereunder and such other information as otherwise specified in this  Article III shall be conclusive in the absence of
manifest error. In determining such amount, the Administrative Agent or such Lender may use any
reasonable averaging and attribution methods customarily used by it in comparable circumstances. 

        (b)  Upon
any Lender's making a claim for compensation under Section 3.01 or  3.04, the Borrower may remove or replace such Lender in accordance with
Section 10.16. 

 
 
 

        3.07    Survival.    All of the Borrower's obligations under this  Article III shall survive termination of the Commitments
and payment in full of all the other Obligations. 

 
 
 
 
 

ARTICLE IV.
  CONDITIONS PRECEDENT TO CREDIT EXTENSIONS    
  

 
 
 

        4.01    Conditions of Initial Credit Extension.    The obligation of each Lender to make its initial Credit Extension
hereunder is subject to satisfaction of the following conditions precedent: 

        (a)  Unless
waived by all the Lenders (or by the Administrative Agent with respect to immaterial matters or items specified in clause (v) or (vi) below with
respect to which the Borrower has given assurances satisfactory to the Administrative Agent that such items shall be delivered promptly following the Closing Date), the Administrative Agent's receipt
of the following, each of which shall be originals or facsimiles (followed promptly by originals) unless otherwise specified, each properly executed by a Responsible Officer of the Borrower, each
dated the Closing Date (or, in the case of certificates of governmental officials, a recent date before the Closing Date) and each in form and substance satisfactory to the Administrative Agent: 

        (i)    executed
counterparts of this Agreement, sufficient in number for distribution to the Administrative Agent, each Lender and the Borrower; 

        (ii)  a
Note executed by the Borrower in favor of each Lender requesting a Note, each in a principal amount equal to such Lender's Commitment; 

        (iii)  the
Audited Financial Statements and unaudited financial statements for the fiscal quarter ended September 30, 2002; 

34

 

        (iv)  such
certificates of resolutions or other action, incumbency certificates and/or other certificates of a Responsible Officer as the Administrative Agent may require to
establish the identities of and verify the authority and capacity of each Responsible Officer thereof authorized to act as a Responsible Officer in connection with this Agreement and the other Loan
Documents to which the Borrower is a party; 

        (v)  such
evidence as the Administrative Agent may reasonably require to verify that the Borrower is duly organized or formed, validly existing, in good standing and
qualified to engage in business in each jurisdiction in which it is required to be qualified to engage in business, including a certified copy of the Borrower's Organization Documents, certificates of
good standing and/or qualification to engage in business and tax clearance certificates; 

        (vi)  a
certificate signed by a Responsible Officer certifying (A) that the conditions specified in  Sections 4.02(a) and (b) have been satisfied,
(B) that there has been no event or
circumstance since the date of the Audited Financial Statements which has or could be reasonably expected to have a Material Adverse Effect, (C) the current Debt Ratings or Corporate Credit
Ratings, as applicable, and (D) the properties of the Borrower and its Material Subsidiaries are insured with financially sound and reputable insurance companies in such amounts, with such
deductibles and covering such risks as are customarily carried by companies engaged in similar businesses and owning similar properties in localities where the Borrower and its Subsidiaries operate; 

        (vii) an
opinion of counsel to the Borrower substantially in the form of Exhibit E; 

        (viii)  evidence
that the Borrower is entering into the Amended and Restated 364-Day Credit Agreement to be effective as of the Closing Date; and 

        (ix)  such
other assurances, certificates, documents, consents or opinions as the Administrative Agent, the L/C Issuer, or the Required Lenders reasonably may require. 

        (b)  Any
fees required to be paid on or before the Closing Date shall have been paid. 

        (c)  Unless
waived by the Administrative Agent, the Borrower shall have paid all Attorney Costs of the Administrative Agent to the extent invoiced prior to or on the Closing
Date, plus such additional amounts of Attorney Costs as shall constitute its reasonable estimate of Attorney Costs incurred or to be incurred by it through the closing proceedings (provided that such
estimate shall not thereafter preclude a final settling of accounts between the Borrower and the Administrative Agent). 

 
 
 

        4.02    Conditions to all Credit Extensions    

        The
obligation of each Lender to honor any Request for Credit Extension (other than a Loan Notice requesting only a conversion of Loans to the other Type, or a continuation of Loans as
the same Type) is subject to the following conditions precedent: 

        (a)  The
representations and warranties of the Borrower contained in Article V, or which are contained in any Loan
Document furnished by the Borrower at any time under or in connection herewith, shall be true and correct on and as of the date of such Credit Extension, except to the extent that such representations
and warranties specifically refer to a different date, in which case they shall be true and correct as of such date. 

        (b)  No
Default or Event of Default shall exist, or would result from such proposed Credit Extension. 

        (c)  The
Administrative Agent and, if applicable, the L/C Issuer shall have received a Request for Credit Extension in accordance with the requirements hereof. 

        Each
Request for Credit Extension submitted by the Borrower shall be deemed to be a representation and warranty that the conditions specified in  Sections 4.02(a) and (b)
 have been satisfied on and as of the date of the applicable
Credit Extension. 

35

  

 
 

ARTICLE V.
  REPRESENTATIONS AND WARRANTIES    
  

        The Borrower represents and warrants as set forth below: 

 
 
        5.01    Existence, Qualification and Power; Compliance with Laws.     

        (a)  The
General Partner is duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization and is qualified and is in good
standing as a foreign Person for the transaction of business in each jurisdiction where its ownership, lease or operation of property or the conduct of its business requires such qualification and in
which the failure so to qualify could not reasonably be expected to have a Material Adverse Effect, which jurisdictions, as of the Closing Date, are the States of Illinois, Indiana, Michigan,
Minnesota, New York, North Dakota, Wisconsin, and Texas. 

        (b)  The
Borrower is duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization and is duly qualified and in good standing
as a foreign Person in each jurisdiction where its ownership, lease or operation of property or the conduct of its business requires such qualification and in which the failure to so qualify could not
reasonably be expected to have a Material Adverse Effect. As of the Closing Date, the General Partner is the sole general partner of, and owns a 2.0% general partner interest in, the Borrower. As of
the Closing Date, the Borrower does not have any Subsidiaries or Unrestricted Subsidiaries or own any equity interests in any Person other than those Subsidiaries and Unrestricted Subsidiaries and
equity interests of the type listed in Schedule 5.13 hereto. 

        (c)  The
Operating Partnership is duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization and is duly qualified and in
good standing as a foreign Person for the transaction of business in each jurisdiction where its ownership, lease or operation of property or the conduct of its business requires such qualification
and in which the failure so to qualify could not reasonably be expected to have a Material Adverse Effect, which jurisdictions, as of the Closing Date, are the States of Illinois, Indiana, Michigan,
Minnesota, New York, North Dakota, Wisconsin and Texas. As of the Closing Date, the Operating Partnership's sole general partner is Enbridge Pipelines (Lakehead) L.L.C., which owns a 0.001% general
partner interest in the Operating Partnership, and the only limited partner of the Operating Partnership is the Borrower, which owns a 99.999% limited
partner interest in the Operating Partnership. As of the Closing Date, the Operating Partnership does not have any Subsidiaries or Unrestricted Subsidiaries or own any equity interests in any Person,
other than those Subsidiaries and Unrestricted Subsidiaries and equity interests of the types listed in Schedule 5.13 hereto. 

        (d)  The
Borrower has all requisite power and authority and all requisite governmental licenses, authorizations, consents and approvals to own its assets, carry on its
business and to execute, deliver, and perform its obligations under the Loan Documents to which it is a party. 

        (e)  Intentionally Blank.

        (f)    The
Borrower is in compliance with all Laws, except in each case referred to in clause (d) or this clause (f), to the extent that failure to do so could
not reasonably be expected to have a Material Adverse Effect. 

 
 
        5.02    Authorization; No Contravention.     The execution, delivery and performance by
the Borrower of each Loan Document has been duly authorized by all necessary corporate or other organizational action,
and does not and will not (a) violate the terms of any of the Borrower's Organization Documents, (b) result in any breach of, constitute a default under, or require, pursuant to the
express provisions thereof, the creation of any consensual Lien on the properties of the Borrower under, any Contractual Obligation to which the Borrower is a party or any order, injunction, writ or 

36

 

decree of any Governmental Authority to which the Borrower or its property is subject, or (c) violate any Law, in each case with respect to the preceding clauses (a) through (c), which
would reasonably be expected to have a Material Adverse Effect. 

 
 
        5.03    Governmental Authorization.     No approval, consent, exemption, authorization,
or other action by, or notice to, or filing with, any Governmental Authority is required to be obtained or made by
the Borrower by any material statutory law or regulation applicable to it as a condition to the execution, delivery or performance by, or enforcement against, the Borrower of any Loan Document. 

 
 
        5.04    Binding Effect.     

        This
Agreement has been, and each other Loan Document, when delivered hereunder, will have been, duly executed and delivered by the Borrower. This Agreement constitutes, and each other
Loan Document when so delivered will constitute, a legal, valid and binding obligation of the Borrower, enforceable against the Borrower in accordance with its terms, subject as to enforcement to
bankruptcy,
insolvency, reorganization, moratorium and similar laws of general applicability relating to or affecting creditors' rights and to general equity principles. 

 
 
        5.05    Financial Statements; No Material Adverse Effect.     

        (a)  The
Audited Financial Statements (i) were prepared in accordance with GAAP consistently applied throughout the period covered thereby, except as otherwise
expressly noted therein; (ii) fairly present the financial condition of the Borrower and its Subsidiaries and Unrestricted Subsidiaries as of the date thereof and their results of operations
for the period covered thereby in accordance with GAAP consistently applied throughout the period covered thereby, except as otherwise expressly noted therein; and (iii) together with the
footnotes thereto, reflect all material indebtedness and other liabilities, direct or contingent, of the Borrower and its Subsidiaries and Unrestricted Subsidiaries as of the date thereof, including
liabilities for taxes, material commitments and Indebtedness in accordance with GAAP consistently applied throughout the period covered thereby. 

        (b)  The
unaudited consolidated financial statements of the Borrower and its Subsidiaries and Unrestricted Subsidiaries dated September 30, 2002, and the related
consolidated statements of income or operations, shareholders' equity and cash flows for the fiscal quarter ended on that date (i) were prepared in accordance with GAAP consistently applied
throughout the period covered thereby, except as otherwise expressly noted therein, and (ii) fairly present the financial condition of the Borrower and its Subsidiaries and Unrestricted
Subsidiaries as of the date thereof and their results of operations for the period covered thereby, subject, in the case of clauses (i) and (ii), to the absence of footnotes and to normal
year-end audit adjustments. 

        (c)  Since
the date of the Audited Financial Statements to the Closing Date, there has been no event or circumstance that has, or could reasonably be expected to have, a
Material Adverse Effect. 

 
 
        5.06    Litigation.     Except as specifically disclosed in Schedule 5.06, and matters covered by insurance or indemnification
agreements, as of the Closing Date, there are no actions, suits, proceedings, claims or disputes pending or, to the knowledge of the Borrower after investigation, overtly threatened, at law, in
equity, in arbitration or before any Governmental Authority, by or against the Borrower or any of the Borrower's Subsidiaries or Unrestricted Subsidiaries or against any of their properties or
revenues of which there is a reasonable possibility of a determination adverse to such Person and which if determined adversely, could have a Material Adverse Effect. 

 
 
        5.07    No Default.     Neither the Borrower nor any Material Subsidiary is in default
under any Contractual Obligation which could be reasonably expected to have a Material Adverse
Effect. No Default or Event of Default has occurred and is continuing or would result from the consummation of the transactions contemplated by this Agreement or any other Loan Document. 

37

 

 
 
        5.08    Ownership of Property; Liens.     Each of the Borrower and its Material
Subsidiaries has good and defeasible title to, or valid leasehold interests in, all material property necessary or used in
the ordinary conduct of its business, except for such defects in title as would not, individually or in the aggregate, have a Material Adverse Effect. There is no Lien on any property of the Borrower
or any of its Subsidiaries, other than Liens permitted by Section 7.01. 

 
 
        5.09    Environmental Compliance.     The Borrower and its Material Subsidiaries conduct
in the ordinary course of business a review of the effect of existing Environmental Laws and claims alleging
potential liability or responsibility for violation of any Environmental Law on their respective businesses, operations and properties, and as a result thereof have reasonably concluded that, except
as specifically disclosed in Schedule 5.09, they: (a) to the best of their knowledge, are in compliance with all applicable Environmental
Laws, except to the extent that any non-compliance would not reasonably be expected to have a Material Adverse Effect; (b) to the best of their knowledge, are not subject to any
judicial, administrative, government, regulatory or arbitration proceeding alleging the violation of any applicable Environmental Laws or that may lead to claim for cleanup costs, remedial work,
reclamation, conservation, damage to natural resources or personal injury or to the issuance of a stop-work order, suspension order, control order, prevention order or clean-up
order, except to the extent that any such proceeding would not reasonably be expected to have a Material Adverse Effect; (c) to the best of their knowledge, are not subject to any federal,
state, local or foreign review, audit or investigation which may lead to a proceeding referred to in (b) above; (d) have no actual knowledge that any of their predecessors in title to
any of their property and assets are the subject of any currently pending federal, state, local or foreign review, audit or investigation which may lead to a proceeding referred to in
(b) above; (e) have not filed any notice under any applicable Environmental Laws indicating past or present treatment, storage or disposal of, or reporting a release or Hazardous
Materials into the environment where the circumstances surrounding such notice would reasonably be expected to have a Material Adverse Effect; and (f) possess, and are in compliance with, all
approvals, licenses, permits, consents and other authorizations which are necessary under any applicable Environmental Laws to conduct their business, except to the extent that the failure to possess,
or be in compliance with, such authorizations would not reasonably be expected to have a Material Adverse Effect. 

 
 
        5.10    Insurance.     The properties of the Borrower and its Subsidiaries are insured
with financially sound and reputable insurance companies, in such amounts, with such deductibles
and covering such risks as are customarily carried by companies engaged in similar businesses and owning similar properties in localities where the Borrower or its Subsidiaries operate. 

 
 
        5.11    Taxes.     The Borrower and its Subsidiaries and Unrestricted Subsidiaries have
filed all Federal, state and other material tax returns and reports required to be filed, and
have paid all Federal, state and other material taxes, assessments, fees and other governmental charges levied or imposed upon the Borrower or its Subsidiaries or their properties, income or assets
otherwise due and payable, except those which are being contested in good faith by appropriate proceedings and for which adequate reserves have been provided in accordance with GAAP. The Borrower has
no actual knowledge of any overtly proposed tax assessment against it or any of its Subsidiaries or Unrestricted Subsidiaries that would, if made, have a Material Adverse Effect. 

 
 
        5.12    ERISA Compliance.     

        No
ERISA Event has occurred or is reasonably expected to occur that, when taken together with all other ERISA Events for which liability is reasonably expected to occur, could reasonably
be expected to result in a Material Adverse Effect. 

38

 

 
 
        5.13    Subsidiaries.     

        As
of the Closing Date, the Borrower has no Subsidiaries, Material Subsidiaries or Unrestricted Subsidiaries other than those specifically disclosed in Part (a) of  Schedule 5.13 and own no equity
interests in any other Person other than those specifically disclosed in Part(b) of  Schedule 5.13. 

 
 
        5.14    Margin Regulations; Investment Company Act; Public Utility Holding Company  Act.     

        (a)  The
Borrower is not engaged and will not engage, principally or as one of its important activities, in the business of purchasing or carrying margin stock (within the
meaning of Regulation U issued by the Board), or extending credit for the purpose of purchasing or carrying margin stock. 

        (b)  Neither
of the Borrower nor any Subsidiary (i) 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," within the meaning of the Public Utility Holding Company Act of 1935, or (ii) is or is required to be registered as an "investment company"
under the Investment Company Act of 1940. 

 
 
        5.15    Disclosure.     No statement, information, report, representation, or warranty
made by the Borrower in any Loan Document, when so made (or if dated or otherwise specified
therein, as of such date), or furnished to the Administrative Agent, the L/C Issuer or any Lender by or at the direction of the Borrower in connection with any Loan Document, when so furnished (or if
dated or otherwise specified therein, as of such date), contains any untrue statement of a material fact or omits any material fact required to be stated therein or necessary to make the statements
therein, in light of the circumstances under which they were made, not misleading. 

 
 

ARTICLE VI.
  AFFIRMATIVE COVENANTS    
  

        So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation shall remain unpaid, or any Letter of Credit shall remain outstanding, the
Borrower shall, and shall (except in the case of the covenants set forth in Sections 6.01, 6.02, and  6.03)
cause each Subsidiary to: 

 
 
        6.01    Financial Statements.     Deliver to the Administrative Agent for further
distribution to each Lender, in form and detail reasonably satisfactory to the Administrative Agent and the
Required Lenders: 

        (a)  as
soon as available, but in any event within 90 days after the end of each fiscal year of the Borrower, a consolidated balance sheet of the Borrower and its
Subsidiaries and Unrestricted Subsidiaries as at the end of such fiscal year, and the related consolidated statements of income and cash flows for such fiscal year, setting forth in each case in
comparative form the figures for the previous fiscal year, all in reasonable detail, audited and accompanied by a report and opinion of an independent certified public accountant of nationally
recognized standing selected by the Borrower and reasonably acceptable to the Required Lenders, which report and opinion shall be prepared in accordance with GAAP and shall not be subject to any
qualifications or exceptions as to the scope of the audit nor to any qualifications and exceptions not reasonably acceptable to the Required Lenders; and 

        (b)  as
soon as available, but in any event within 45 days after the end of each of the first three fiscal quarters of each fiscal year of the Borrower, a consolidated
balance sheet of the Borrower and its Subsidiaries and Unrestricted Subsidiaries as at the end of such fiscal quarter, and the related consolidated statements of income and cash flows for such fiscal
quarter and for the portion of the Borrower's fiscal year then ended, setting forth in each case in comparative form the figures for the corresponding fiscal quarter of the previous fiscal year and
the corresponding portion of the previous fiscal year, all in reasonable detail and certified by a Responsible Officer of the Borrower as fairly 

39

 

presenting the financial condition, results of operations and cash flows of the Borrower and its Subsidiaries and Unrestricted Subsidiaries in accordance with GAAP, subject only to normal
year-end audit adjustments and the absence of footnotes. 

 
 
        6.02    Certificates; Other Information.     Deliver to the Administrative Agent for
further distribution to each Lender, in form and detail reasonably satisfactory to the Administrative Agent and the
Required Lenders: 

        (a)  concurrently
with the delivery of the financial statements referred to in Section 6.01(a), a certificate of its
independent certified public accountants certifying such financial statements have been prepared
in accordance with GAAP and fairly present the financial condition of the Borrower and its Subsidiaries and Unrestricted Subsidiaries as of the date thereof; 

        (b)  concurrently
with the delivery of the financial statements referred to in Sections 6.01(a) and  (b), a duly completed Compliance Certificate signed by a Responsible
Officer of the Borrower; 

        (c)  promptly
after the same are available, copies of each annual report, proxy or financial statement or other report or communication sent to the unit holders of the
Borrower, and copies of all annual, regular, periodic and special reports and registration statements which the Borrower has filed with the Securities and Exchange Commission under Section 13
or 15(d) of the Securities Exchange Act of 1934, and not otherwise required to be delivered to the Administrative Agent pursuant hereto, in each case, (i) which are not confidential in nature,
as permitted by applicable Laws, as required by contractual restrictions not entered into in contemplation of this Section 6.02(c), as permitted
by recognized principles of privilege or as otherwise determined in good faith by the Borrower, and (ii) provided that documents required
to be delivered pursuant to this Section 6.02(c) shall be deemed delivered on the date that such documents are publicly available on the United
States Securities and Exchange Commission's Electronic Data Gathering, Analysis and Retrieval System (or "EDGAR") or other similar publicly accessible sources of which the Borrower provides written
notice to the Administrative Agent and the Lenders; and 

        (d)  promptly,
such additional information regarding the business, financial or partnership affairs of the Borrower or any Subsidiary or Unrestricted Subsidiary as the
Administrative Agent, at the request of any Lender, may from time to time reasonably request. 

 
 
        6.03    Notices.     

        Promptly
notify the Administrative Agent and each Lender within 5 Business Days after actual knowledge thereof by any Responsible Officer of the Borrower: 

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

        (b)  of
any matter that has resulted or could reasonably be expected to result in a Material Adverse Effect, including (i) breach or non-performance of, or
any default under, a Contractual Obligation of the Borrower or any Subsidiary; (ii) any dispute, litigation, investigation, proceeding or suspension between the Borrower or any Subsidiary and
any Governmental Authority; or (iii) the commencement of, or any material development in, any litigation or proceeding affecting the Borrower or any Subsidiary, including pursuant to any
applicable Environmental Laws; 

        (c)  of
any litigation, investigation or proceeding affecting the Borrower or any Material Subsidiary which is reasonably likely to be adversely determined, and if determined
adversely to the Borrower or such Material Subsidiary could reasonably be expected to result in liability to the Borrower or such Material Subsidiary in an amount that exceeds, after giving effect to
applicable in-force insurance and related third-party indemnity and similar agreements, the Threshold Amount, or in which injunctive relief or similar relief is sought, which relief, if
granted, could be reasonably expected to have a Material Adverse Effect; 

40

 

        (d)  of
the occurrence of any ERISA Event; and 

        (e)  of
any announcement by Moody's or S&P of any change in a Debt Rating or Corporate Credit Rating, as applicable. 

        Each
notice pursuant to this Section shall be accompanied by a statement of a Responsible Officer setting forth details of the occurrence referred to therein and stating what action the
Borrower or Subsidiary has taken and proposes to take with respect thereto. Each notice pursuant to Section 6.03(a) shall describe with
particularity any and all provisions of this Agreement or other Loan Document that have been breached. 

 
 
        6.04    Payment of Obligations.     Pay and discharge as the same shall become due and
payable, all its obligations and liabilities, including (a) all tax liabilities, assessments and
governmental charges or levies upon it or its properties or assets, unless the same are being contested in good faith by appropriate proceedings and adequate reserves in accordance with GAAP are being
maintained by the Borrower or relevant Subsidiary; (b) all material lawful claims which, if unpaid, would by law become a Lien upon its property; and (c) all Indebtedness, as and when
due and payable, but subject to any subordination provisions contained in any instrument or agreement evidencing such Indebtedness. 

 
 
        6.05    Preservation of Existence, Etc.     Except in a transaction permitted by
Section 7.04 or pursuant to statutory conversions to another form of
entity as permitted by applicable Law, preserve, renew and maintain in full force and effect its legal existence and good standing under the Laws of the jurisdiction of its organization; and except
where it will not have a Material Adverse Effect, take all reasonable action to maintain all rights, privileges, permits, licenses and franchises necessary or desirable in the normal conduct of its
business and preserve or renew all of its registered patents, trademarks, trade names and service marks. 

 
 
        6.06    Maintenance of Properties.     Except where it will not have a Material Adverse
Effect, (a) maintain, preserve and protect all of its material properties and equipment necessary in the
operation of its business in good working order and condition, ordinary wear and tear excepted, (b) make all necessary repairs thereto and renewals and
replacements thereof and (c) use the standard of care typical in the industry in the operation and maintenance of its facilities.

 
 
        6.07    Maintenance of Insurance.     Maintain with financially sound and reputable
insurance companies, insurance with respect to its properties and business against loss or damage of the kinds
customarily insured against by Persons engaged in the same or similar business, of such types and in such amounts as are customarily carried under similar circumstances by such other Persons. 

 
 
        6.08    Compliance with Laws.     Comply in all material respects with the requirements
of all Laws applicable to it or to its business or property, except in such instances in which
(i) such requirement of Law is being contested in good faith or a bona fide dispute exists with respect thereto or (ii) the failure to comply therewith could not be reasonably expected
to have a Material Adverse Effect. 

 
 
        6.09    Books and Records.     Maintain proper books of record and account necessary to
prepare the financial statements required to be delivered pursuant to  Section 6.01 in accordance with GAAP. 

 
 
        6.10    Inspection Rights.     Permit representatives and independent contractors of the
Administrative Agent, the L/C Issuer and each Lender, at their respective expense, to visit and inspect
any of its properties, to examine its corporate, financial and operating records, and make copies thereof or abstracts therefrom, and to discuss its affairs, finances and accounts with its directors,
officers, and independent public accountants, in each case, all at such reasonable times during normal business hours and as reasonably often as may be necessary, upon reasonable advance notice to the
Borrower and subject to compliance with applicable safety standards, with contractual or attorney-client privilege (as applicable) and non-disclosure agreements;  provided, however, that during an Event of Default, the Administrative Agent, the L/C Issuer or any
Lender (or any of their respective representatives or 

41

 

independent contractors) may, without duplication of the efforts of the others, do any of the foregoing at the reasonable expense of the Borrower at any time during normal business hours. 

 
 
        6.11    Intentionally Blank.     

 
 
        6.12    Use of Proceeds.     (a) Use the proceeds of the Credit Extensions for
working capital and other general corporate purposes, including, to the extent that on a pro forma basis
the Borrower shall be in compliance with Sections 7.13 and 7.14, payment of amounts owing under
Qualifying Subordinated Indebtedness, in each case to the extent not in violation of any Law or breach of the terms of this Credit Agreement. 

        (b)  Loans
to the Borrower that are outstanding under the Existing Credit Agreement on the Closing Date need not be repaid by reason of the execution and delivery of this
Agreement, and such Loans
(as defined in the Existing Credit Agreement) shall be deemed to be Loans under this Agreement. The Borrower hereby assumes all of the Operating Partnership's obligations with respect to Loans (as
defined in the Existing Credit Agreement) to the Operating Partnership outstanding under the Existing Credit Agreement as of the Closing Date, and such Loans shall be deemed to be Loans under this
Agreement. 

 
 
        6.13    Intentionally Blank.     

 
 
        6.14    Incorporation of Certain More Restrictive Financial  Provisions.     If the
agreements governing any Indebtedness that is permitted to be created, incurred, assumed or permitted to exist pursuant to  Section 7.03 (other than Qualifying Subordinated Indebtedness) contain
events of default relating to financial covenants or financial covenants
that, in each case, are more restrictive (and for the avoidance of doubt, determined without regard to the presence or absence of cure period or similar process) than the covenants contained in  Sections 7.13 and 7.14 ("Financial Restrictions"), then 

        (i)    promptly,
and in any event within 30 days, following the creation, incurrence, assumption or permitting to exist such Indebtedness, the Borrower shall provide to
the Administrative Agent and the Lenders notice of any such Financial Restrictions and copies of all agreements governing such Indebtedness that contain such Financial Restrictions
("Restrictive Agreements"), and 

        (ii)  effective
as of the date of the creation, incurrence, assumption or permitting to exist such Indebtedness, such Financial Restrictions (including any associated cure
and notice periods provided therefore, and definitions and interpretive provisions from such Restrictive Agreements used in relation thereto), to the extent not inconsistent or in conflict with any
express term hereof or any other Loan Document without regard to any such Financial Restriction, shall be deemed to have been incorporated herein by reference automatically without further action or
notice on the part of any Person and shall be deemed a part of this Agreement for all purposes, including that Schedule 2 to the Compliance Certificate shall be deemed amended to include such
Financial Restrictions; provided that in the event that the Restrictive Agreements are amended, terminated or otherwise modified in accordance with
their terms to amend, suspend, terminate or otherwise modify such Financial Restrictions (including any associated cure and notice periods provided therefore, and definitions and interpretive
provisions from such Restrictive Agreements used in relation thereto), then for purposes hereof and each other Loan Document such incorporated Financial Restrictions (including any associated cure and
notice periods provided therefore, and definitions and interpretive provisions from such Restrictive Agreements used in relation thereto), to the extent not inconsistent or in conflict with any
express term hereof or any other Loan Document without regard to any such Financial Restriction, shall be deemed automatically amended or otherwise modified to reflect such amendments or other
modifications effective as the effective date of such amendments or other modifications, and, without altering the effective date of such amendments or other modifications, the Borrower shall
promptly, and in any event within 

42

 

30 Business Days following the date of such amendments or other modifications, provide copies of such amendments or other modifications to the Administrative Agent. 

 
 

ARTICLE VII.
  NEGATIVE COVENANTS    
  

        So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation shall remain unpaid, or any Letter of Credit shall remain outstanding, the
Borrower shall not, nor shall it permit any Subsidiary to, directly or indirectly: 

 
 
        7.01    Liens.     Create, incur, assume or suffer to exist, any Lien upon any of its
property, assets or revenues, whether now owned or hereafter acquired, other than the
following: 

        (a)  Liens
pursuant to any Loan Document; 

        (b)  Liens
existing on the date hereof and listed on Schedule 7.01 and any renewals or extensions thereof,  provided that the property covered thereby is not
increased and any renewal or extension of the obligations secured or benefited thereby is permitted by  Section 7.03; 

        (c)  Liens
for taxes not yet due or which are being contested in good faith and by appropriate proceedings, if adequate reserves with respect thereto are maintained on the
books of the applicable Person in accordance with GAAP; 

        (d)  carriers',
warehousemen's, mechanics', materialmen's, repairmen's or other like Liens arising in the ordinary course of business which are not overdue for a period of
more than 30 days or which are being contested in good faith and by appropriate proceedings, if adequate reserves with respect thereto are maintained on the books of the applicable Person in
accordance with GAAP; 

        (e)  Liens
incurred or pledges or deposits made in the ordinary course of business in connection with workers' compensation, unemployment insurance and other social security
legislation, other than any Lien imposed by ERISA; 

        (f)    Liens
incurred or deposits to secure the performance of bids, trade contracts (other than for borrowed money), leases, statutory obligations, surety and appeal bonds
(including surety and appeal bonds related to judgments only to the extent permitted by clause (h) of this Section 7.01), performance
bonds and other obligations of a like nature incurred in the ordinary course of business; 

        (g)  easements,
rights-of-way, restrictions and other similar charges or encumbrances which, in each case are granted, entered into or created in the
ordinary course of business of such Person; 

        (h)  attachments
or other Liens securing judgments for the payment of money not constituting an Event of Default under  Section 8.01(h) or securing appeal or other surety bonds related to such judgments; 

        (i)    Liens
pursuant to any Mortgage or Mortgage Note Agreement or any "Security Document", as that term is defined in the Mortgage Note Agreement; 

        (j)    Liens
on property not covered by any Mortgage securing obligations under Swap Contracts, provided that the amount of such
obligations shall not exceed at any time an aggregate amount equal to one percent (1%) of Net Tangible Assets; 

        (k)  Liens
on (A) property or shares of equity interests of a Person that becomes a Subsidiary after the Closing Date, or (B) Acquired Assets acquired by the
Borrower or a Subsidiary after the Closing Date, including any acquisition by means of merger or consolidation with or into the Borrower or a Subsidiary which is permitted by  Section 7.04;
provided (i) such Liens were in existence at the time such Person becomes a
Subsidiary or at the time of such acquisition of such Acquired Assets, (ii) such Liens were not created in contemplation of the acquisition of such Person or such Acquired Assets,
(iii) such 

43

 

Liens do not encumber property other than property owned by such Person or the Acquired Assets then acquired, (iv) if, as a result of the acquisition, the Indebtedness secured by such Liens is
or becomes Indebtedness of the Borrower but not Indebtedness of any Subsidiary, then the aggregate principal amount of Indebtedness secured thereby shall not exceed the Incremental EBITDA of the
Acquired Subsidiary or such Acquired Assets, and (v) the Borrower shall have demonstrated in writing to the reasonable satisfaction of the Required Lenders that the secured Indebtedness
created, incurred, assumed or permitted to exist referred to in the preceding clause (iv) was permitted pursuant to Section 7.03; 

        (l)    Liens
on property or assets of any Subsidiary securing Indebtedness of such Subsidiary owing to the Borrower; and 

        (m)  in
addition to Liens permitted by the foregoing clauses (a) through (l), other Liens, provided that in no event
will the aggregate amount of Indebtedness secured by such other Liens exceed at any time an amount equal to 1% of Net Tangible Assets. 

 
 
        7.02    Investments.     Purchase or otherwise acquire the capital stock or other equity
of any other Person if such purchase or other acquisition violates the Borrower's partnership
agreement and after giving effect thereto, the Borrower is not in compliance with Section 7.09. 

 
 
        7.03    Indebtedness.     Create, incur, assume or permit to exist any Indebtedness,
except that 

        (a)  The
Borrower may create, incur, assume or permit to exist Indebtedness as follows: 

        (i)    Indebtedness
if (A) after giving effect thereto, (y) no Event of Default shall have occurred and be continuing and (z) the Borrower shall be in
compliance with Section 7.13, and (B) the agreements governing such Indebtedness do not contain terms, conditions, covenants or events of
default that restrict, on terms materially more restrictive than provided in the Loan Documents, the ability of any Subsidiary to (w) pay distributions or dividends to the Borrower or any
Subsidiary on its capital stock or other equity or with respect to any other interest or participation in, or measured by, its profits, (x) to pay any amounts owed to the Borrower or any
Subsidiary, (y) to make loans or advances to the Borrower or any Subsidiary or (z) to transfer any of its properties or assets to the Borrower or any Subsidiary (contractual provisions
that restrict any of the foregoing abilities of any Subsidiary, other than restrictions existing under or by reason of (a) Indebtedness in effect on the Closing Date and Refinancings thereof,
(b) applicable Laws, (c) instruments governing Indebtedness or capital stock or other equity of a Person or property acquired by the Borrower or a Subsidiary (except to the extent such
Indebtedness was incurred in contemplation of such acquisition), (d) customary non-assignment provisions in contracts, licenses and leases entered into in the ordinary course of
business, (e) provisions contained in documents creating Liens permitted by Section 7.01 which restrict the ability of the Borrower or a Subsidiary to transfer the assets that are
subject to such Liens, (f) provisions in documents, other than those included in the preceding clause (e), creating purchase money obligations for property acquired in the ordinary
course of business, which restrict the ability of the Borrower or a Subsidiary to transfer the assets acquired with the proceeds of such purchase money financing, (g) customary provisions in
bona fide contracts for the sale of property or assets, and (h) provisions with respect to the disposition or distribution of assets in joint venture agreements or other similar agreements
entered into in the ordinary course of business, are collectively referred to as "Intercompany Restrictions"); 

        (ii)  Indebtedness
of the Borrower on the Closing Date and described in Schedule 7.03; 

        (iii)  Qualifying
Subordinated Indebtedness; 

        (iv)  Indebtedness
hereunder or under any other Loan Document; 

44

 

        (v)  Indebtedness
secured by Liens that are permitted to be created, incurred, assumed or suffered to exist pursuant to  Section 7.01(m); and 

        (vi)  the
Refinancing, in whole or part, of Indebtedness incurred in compliance with the foregoing clauses of this  Section 7.03(a), provided that, no such
Indebtedness is increased at the time of any such
Refinancing, other than by the additional amount of premium, if any, and accrued interest on such Indebtedness and reasonable expenses incurred in connection therewith, 

provided that no governing agreement with respect to any Indebtedness incurred in compliance with  clause (iii) or (v) of this Section 7.03
(a), or Refinancing of any Indebtedness incurred pursuant to clause (iii) or
(v) of this Section 7.03 (a), shall contain Intercompany Restrictions. 

        (b)  The
Non-OLP Subsidiaries may create, incur, assume or permit to exist Indebtedness as follows: 

        (i)    Indebtedness
of the Non-OLP Subsidiaries on the Closing Date and described in Schedule 7.03; 

        (ii)  Indebtedness
of a Person which is in existence at the time it becomes a Subsidiary or Indebtedness assumed by a Subsidiary in connection with its acquisition of a
Person or its acquisition of all or substantially all of the business or assets of any Person or the operating division or business unit of any Person provided that such Indebtedness is in existence
at the time of such acquisition, provided that such Indebtedness was not incurred in contemplation of the acquisition of such Person or such
property; 

        (iii)  other
Indebtedness (including Indebtedness of the type included in clause (g) of the definition of Indebtedness); 

        (iv)  Refinancing
of Indebtedness incurred pursuant to clause (i),  (ii) or (iii) of this  Section 7.03(b), provided that no such Indebtedness is increased at the time of any such
Refinancing, other than by the additional amount of premium, if any, and accrued interest on such Indebtedness and reasonable expenses incurred in connection therewith; and 

        (v)  Indebtedness
owed to the Borrower or to any other Non-OLP Subsidiary (other than, for the avoidance of doubt, an Unrestricted Subsidiary); 

provided that no governing agreement with respect to any Indebtedness otherwise permitted by this  Section 7.03(b) shall contain Intercompany Restrictions.

        (c)  The
Operating Partnership and the Operating Partnership Subsidiaries may create, incur, assume or permit to exist, for so long as the Operating Partnership is regulated
by the Federal Energy Regulatory Commission or any other governmental utility regulatory body, the following Indebtedness: 

        (i)    Indebtedness
of the Operating Partnership and the Operating Partnership Subsidiaries on the Closing Date and described in  Schedule 7.03; 

        (ii)  other
Indebtedness (including Indebtedness of the type included in clause (g) of the definition of Indebtedness); 

        (iii)  Refinancing
of Indebtedness incurred pursuant to clause (i) or  (ii) of this Section 7.03(c), 
provided that no such Indebtedness is increased at the time of any such Refinancing, other than by the additional amount of premium, if any, and
accrued interest on such Indebtedness and reasonable expenses incurred in connection therewith; and 

        (iv)  Indebtedness
owed to the Borrower or to the Operating Partnership or to an Operating Partnership Subsidiary (other than, for the avoidance of doubt, an Unrestricted
Subsidiary); 

45

 

provided that no governing agreement with respect to any Indebtedness otherwise permitted by this  Section 7.03(c) shall contain Intercompany Restrictions.

For
purposes of determining compliance with this Section 7.03, if an item of Indebtedness meets the criteria of more than one of the categories
of Indebtedness permitted above, the Borrower will, it its discretion, classify (or later classify) in whole or in part such item of Indebtedness in any manner that complies with this  Section 7.03,
and such item of Indebtedness or a portion thereof may be classified (or later upon written notice to the Administrative Agent
reclassified) in whole or in part as having been incurred under more than one of the applicable clauses above. 

 
 
        7.04    Mergers; Sale of Assets.     Merge into or consolidate with any other Person, or
permit any other Person to merge into or consolidate with it, or sell, transfer, lease (as a lessor) or
otherwise dispose of (in one transaction or in a series of related transactions) all (or substantially all) of its assets, or all or substantially all of the
stock of or other equity interest in any of its Subsidiaries (in each case, whether now owned or hereafter acquired), unless: (i) at the time thereof and immediately after giving effect thereto
no Default or Event of Default shall have occurred and be continuing, and (ii) if the Borrower is involved in any such transaction, it is the surviving or resultant entity or the recipient of
any such sale, transfer, lease or other disposition of assets, and if a Subsidiary is involved in any such transaction, such Subsidiary is the surviving or resultant entity or the recipient of any
such sale, transfer, lease or other disposition of assets; provided, however, that in no event shall any
such merger, consolidation, sale, transfer, lease or other disposition whether or not otherwise permitted by this Section 7.04 have the effect of
releasing the Borrower from any of its obligations and liabilities under this Agreement. 

 
 
        7.05    Intentionally Blank.     

 
 
        7.06    Intentionally Blank.     

 
 
        7.07    Distributions.     During the existence of a Default which would become an Event
of Default under clause (a), (f), or (g) of  Section 8.01 or a Default under Section 8.01(b) or
(c) as a result of a breach of Section 7.13 or  7.14 or an Event of Default, the Borrower will not
declare, pay or make any Distribution (in cash, property or obligations) on any interests (now or
hereafter outstanding) in the Borrower or apply any of its funds, property or assets to the purchase of any partnership interests in the Borrower;  provided that if the Borrower has declared a
Distribution when no Default which would become an Event of Default under clause (a), (f), or
(g) of Section 8.01 or a Default under Section 8.01(b) or  (c) as a result of a breach of
Section 7.13 or  7.14 or Event of Default exists, it shall be permitted to pay that Distribution even if such Default or Event of Default exists on the
corresponding
payment date unless on such payment date and prior to the making of such Distribution, the Borrower has knowledge that the maturity of all outstanding Obligations has been accelerated pursuant to  Section 8.02. 

 
 
        7.08    ERISA.     Except where no Material Adverse Effect could reasonably be expected
to occur, permit any of the events or circumstances described in  Section 5.12 to exist or occur. 

 
 
        7.09    Change in Nature of Business.     Engage in any material line of business
substantially different from those lines of business conducted by the Borrower and its Subsidiaries on the date hereof or,
if substantially different therefrom, not permitted by the Borrower's partnership agreement. 

 
 
        7.10    Transactions with Affiliates.     Enter into any material transaction with any
Affiliate of Borrower except upon fair and reasonable terms that are no less favorable than those which might be
obtained in arm's-length transactions with a Person that is not an Affiliate; provided, that such limitations shall not apply to any transaction among the Borrower, the Borrower's Subsidiaries, the
General Partner, the General Partner's Subsidiaries, and the Delegate (in its capacity as such) or to subordinated loans (including Qualifying Subordinated Indebtedness) from an Affiliate to the
Borrower; provided, that notwithstanding the foregoing, the Borrower shall not purchase or prepay any 

46

 

Qualifying Subordinated Indebtedness unless after giving effect to such purchase or payment, the Borrower is in compliance with Section 7.13 and  Section 7.14 and such purchase or payment will not result in a Default or an Event of Default. For purposes of clarification of the foregoing,
the parties acknowledge that the limitations contained in this Section 7.10 shall not limit the Delegate's authority to act or take actions on
behalf of the General Partner. 

 
 
        7.11    Burdensome Agreements.     Enter into any material Contractual Obligation that
by its express terms prohibits the Borrower or any Subsidiary or Unrestricted Subsidiary to create, incur,
assume or suffer to exist Liens on any material property of such Person to secure the Obligations; or enter into any agreement (other than agreements of the type permitted by  Section 7.03(a)(i)(B)(c)) restricting the ability of any Subsidiary to make any payments, directly or indirectly, to the Borrower or a Material
Subsidiary by way of distributions, loans, advances, repayments of loans or advances, reimbursements of management and other intercompany charges, expenses and accruals or other returns on
investments, or any other agreement or arrangement which restricts the ability of any Subsidiary to make any payment, directly or indirectly to the Borrower or a Material Subsidiary. 

 
 
        7.12    Use of Proceeds.     Use the proceeds of any Credit Extension, whether directly
or indirectly, and whether immediately, incidentally or ultimately, to purchase or carry margin stock
(within the meaning of Regulation U of the Board) or to extend credit to others for the purpose of purchasing or carrying margin stock or to refund indebtedness originally incurred for such
purpose. 

 
 
        7.13    Consolidated Leverage Ratio.     As of the end of each applicable four-quarter
period, the Borrower shall maintain a ratio of (a) (i) Consolidated Funded Debt plus, without
duplication, (ii) the principal amount of Funded Debt owed by the Borrower to Subsidiaries which does not constitute Qualifying Subordinated Indebtedness to (b) Pro Forma EBITDA of no
greater than (1) during the period from the date hereof through June 30, 2003, 5.00 to 1.00 and (2) thereafter, 4.75 to 1.00;  provided, that if at the end of any such applicable
four-quarter period the Borrower shall not have maintained such ratio, the Borrower will
have a period of 30 days following the later of the date a Responsible Officer of the Borrower has knowledge that such ratio has not been satisfied at the end of such period and 30 days
following the end of such period, to cure such failure on a pro forma basis by satisfying the following clauses (i) or (ii), or any combination of such clauses, by (i) obtaining an
equity contribution which qualifies as equity under GAAP or (ii) incurring Qualifying Subordinated Indebtedness in a sufficient amount that had the Borrower had such additional equity or
Qualifying Subordinated Indebtedness proceeds, or a combination of both, at or prior to the end date of such applicable four-quarter period, the Borrower would have been in compliance with
this Section 7.13 for such four-quarter period and, if the Borrower obtains such equity or such Qualifying Subordinated Indebtedness
proceeds, or any combination thereof, during such cure period, but in no event shall such period end later than 60 days following the end of the corresponding ending four-quarter
period, then it will be deemed to be in compliance with this Section 7.13 as of the end of such four quarter period. 

 
 
        7.14    Interest Coverage Ratio.     The Borrower shall maintain an Interest Coverage
Ratio of not less than 2.75 to 1.00 as of the end of each fiscal quarter; provided, that if at the end of any
such quarter the Interest Coverage Ratio is less than 2.75 to 1.00 but it is not less than 2.50 to 1.00, the Borrower will have a period of 30 days
following the later of the date a Responsible Officer of the Borrower has knowledge that such ratio has not been satisfied at the end of such period and 30 days following the end of such
period, to cure such failure on a pro forma basis by (i) either obtaining an equity contribution which qualifies as equity under GAAP, or incurring Qualifying Subordinated Indebtedness, or any
combination thereof, in a sufficient amount (in this Section 7.14, the "cure amount"), that had the Borrower timely applied such additional
equity or Qualifying Subordinated Indebtedness proceeds, or any combination thereof, to repay Consolidated Funded Debt at relevant times at or prior to the end of such applicable
four-quarter period, the Borrower would have reduced, on a pro forma basis, Consolidated Interest Charges for such period by an amount that would have resulted in the Borrower being in
compliance with this Section 7.14 for such four-quarter period and 

47

 

(ii) in fact reducing Consolidated Funded Debt by an amount equal to such cure amount, and if the Borrower obtains such equity or Qualifying Subordinated Indebtedness proceeds, or any
combination thereof, and so applies it during such cure period, but in no event shall such period end later than 60 days following the end of the corresponding quarter end, then it will be
deemed to be in compliance with this Section 7.14 for such four quarter period. 

 
 
        7.15    Indebtedness of Non-OLP Subsidiaries.     As of the end of each fiscal quarter,
the aggregate amount of Indebtedness of the Non-OLP Subsidiaries (other than Non-OLP Inter-Company
Indebtedness) shall not exceed an amount (the "Non-OLP Indebtedness Limitation") equal to .5 times Non-OLP Pro Forma EBITDA for
the four quarters then ended; provided, that to the extent that such Indebtedness of the
Non-OLP Subsidiaries does exceed the Non-OLP Indebtedness Limitation (the amount of such excess being referred to this  Section 7.15 as "excess Indebtedness") at quarter-end, the Non-OLP
Subsidiaries may cure such excess Indebtedness by
satisfying the following clause (i) or clause (ii), or any combination of such clauses, within 30 days following the later of the date a Responsible Officer has knowledge of such
non-compliance and 30 days following the end of such quarter (but in no event shall the cure period extend beyond the date that is 60 days after the end of such quarter)
(i) by receiving an infusion of cash or cash equivalents in an amount that (when added to all other cash and cash equivalents then being held by Non-OLP Subsidiaries pursuant to
this Section 7.15) equals such excess Indebtedness (or portion thereof cured pursuant to this clause (i)), which cash or cash equivalents
shall be held by Non-OLP Subsidiaries until the calculation is done pursuant to this Section 7.15 at the end of the next quarter, or
(ii) by reducing the aggregate outstanding amount of Indebtedness of the Non-OLP Subsidiaries by an amount equal to such excess Indebtedness less the amount of cash or cash
equivalents infused for such quarter-end pursuant to the preceding clause (i), if any. If the Non-OLP Subsidiaries so timely cure such excess Indebtedness by making such
infusion or reduction, or both as applicable, the Non-OLP Subsidiaries shall be deemed to be in compliance with this Section 7.15 as
of such quarter-end date. 

 
 
        7.16    Indebtedness of the Operating Partnership and the Operating Partnership  Subsidiaries.     As of the end of each fiscal quarter, the aggregate amount of Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries (other than OLP
Inter-Company Indebtedness) shall not exceed an amount (the "OLP Indebtedness Limitation") equal to 60% of the outstanding consolidated capitalization
(calculated without regard to noncash adjustments to equity) of the Operating Partnership and the Operating Partnership Subsidiaries as of such quarter-end date;  provided, that to the extent that outstanding Indebtedness of the Operating Partnership and the
Operating Partnership Subsidiaries (other than OLP Inter-Company Indebtedness) does exceed the OLP Indebtedness Limitation (the amount of such excess being referred to this  Section 7.16 as "excess
Indebtedness") at quarter-end, the Operating Partnership and the Operating Partnership Subsidiaries may cure
such excess Indebtedness by satisfying the following clause (i) or clause (ii), or any combination of such clauses, within 30 days following the later of the date a Responsible
Officer has knowledge of
such non-compliance and 30 days following the end of such quarter (but in no event shall the cure period extend beyond the date that is 60 days after the end of such
quarter): (i) by receiving an infusion of cash or cash equivalents in an amount that (when added to all other cash and cash equivalents then being held by the Operating Partnership and the
Operating Partnership Subsidiaries pursuant to this Section 7.16) equals such excess Indebtedness (or portion thereof cured pursuant to this
clause (i)), which cash or cash equivalents shall be held by the Operating Partnership and the Operating Partnership Subsidiaries until the calculation is done pursuant to this  Section 7.16 at
the end of the next quarter, or (ii) by reducing the aggregate outstanding amount of Indebtedness of the Operating
Partnership and the Operating Partnership Subsidiaries by an amount equal to such excess Indebtedness less the amount of cash or cash equivalents infused for such quarter-end pursuant to
the preceding proviso, if any. If the Operating Partnership and the Operating Partnership Subsidiaries so timely cure such excess Indebtedness by making such infusion or reduction, or both as
applicable, the 

48

 

Operating Partnership and the Operating Partnership Subsidiaries shall be deemed to be in compliance with this Section 7.16 as of such
quarter-end date. 

 
 
        7.17    Swap Contracts.     The Borrower shall not, nor shall its permit any Subsidiary
to, enter into or permit to exist any obligations under any Swap Contracts except Swap Contracts
entered into in the ordinary course of business and for the purpose of mitigating risks associated with liabilities, commitments, investments, assets, or property of the person entering into such Swap
Contract, and not for purposes of speculation. 

 
 

ARTICLE VIII.
  EVENTS OF DEFAULT AND REMEDIES    
  

 
 
        8.01    Events of Default.     Any of the following shall constitute an Event of
Default: 

        (a)    Non-Payment.    The Borrower fails to pay (i) when and as required to be paid herein, any
amount of principal of any Loan or any L/C Obligation, or (ii) within five Business Days after the same becomes due, any interest on any Loan or on any L/C Obligation, or any facility,
utilization or other fee due hereunder, or any other amount payable hereunder or under any other Loan Document; or 

        (b)    Specific Covenants.    The Borrower shall fail to perform, observe or comply with any term, covenant or
agreement contained in any of Section 6.03 or 6.12 or  Article VII; or 

        (c)    Other Defaults.    The Borrower fails to perform or observe any other covenant or agreement (not specified in
subsection (a) or (b) above) contained in any Loan Document on its part to be performed or observed, and such failure or refusal continues for 30 days after the earlier of
(i) the Borrower obtaining knowledge of such failure or refusal and (ii) the Borrower being notified of such failure or refusal by the Administrative Agent, the L/C Issuer or any Lender;  provided, that notwithstanding the foregoing
30 days, with respect to any Financial Restrictions incorporated by reference in this Agreement pursuant to Section 6.14, the cure period,
if any, applicable to such Financial Restrictions shall be the relevant number of days of the relevant incorporated default; or 

        (d)    Representations and Warranties.    Any representation or warranty made or deemed made by the Borrower herein,
in any other Loan Document, or in any document delivered by it in connection herewith or therewith proves to have been incorrect in any material respect when made or deemed made. 

        (e)    Cross-Default.    (i) The Borrower or any Subsidiary other than, for the avoidance of doubt, an
Unrestricted Subsidiary (A) fails to make any payment when due (whether by scheduled maturity, required prepayment, acceleration, demand, or otherwise), inclusive of any grace, extension,
forbearance or similar period, in respect of any Indebtedness having an aggregate principal amount (including undrawn or available amounts and including amounts owing to all creditors under any
combined or syndicated credit arrangement) of more than the Threshold Amount, or (B) fails to observe or perform any other agreement or condition relating to any such Indebtedness or contained
in any instrument or agreement evidencing, securing or relating thereto, or any other event occurs, for a period beyond the applicable grace, cure, extension, forbearance or other similar period the
effect of which default or other event is to cause, or to permit the holder or holders of such Indebtedness (or the beneficiary or beneficiaries of any applicable Guarantee Obligation (or a trustee or
agent on behalf of such holder or holders or beneficiary or beneficiaries) to cause, with the giving of notice if required, such Indebtedness to be demanded or to become due or to be repurchased or
redeemed (automatically or otherwise) prior to its stated maturity, or such Guarantee Obligation to become payable or cash collateral in respect thereof to be demanded; or (ii) there occurs
under any Swap Contract an Early Termination Date (as defined in such Swap Contract) resulting from (A) any event of default under such Swap Contract as to which the Borrower or any Subsidiary
other than, for the avoidance of doubt, an Unrestricted Subsidiary is the Defaulting Party (as defined in such Swap Contract) or (B) any 

49

 

Termination Event (as so defined) under such Swap Contract as to which the Borrower or any Subsidiary other than, for the avoidance of doubt, an Unrestricted Subsidiary is an Affected Party (as so
defined) and, in either event, the Swap Termination Value owed by the Borrower or such Subsidiary other than, for the avoidance of doubt, an Unrestricted Subsidiary as a result thereof is greater than
the Threshold Amount; or 

        (f)    Insolvency Proceedings, Etc.    The Borrower or any Material Subsidiary institutes or consents to the
institution of any proceeding under any Debtor Relief Law, or makes an assignment for the benefit of creditors; or applies for or consents to the appointment of any receiver, trustee, custodian,
conservator, liquidator, rehabilitator or similar officer for it or for all or any material part of its property; or any receiver, trustee, custodian, conservator, liquidator, rehabilitator or similar
officer is appointed without the application or consent of such Person and the appointment continues undischarged or unstayed for 60 calendar days; or any proceeding under any Debtor Relief Law
relating to any such Person or to all or any part of its property is instituted without the consent of such Person and continues undismissed or unstayed for 60 calendar days, or an order for relief is
entered in any such proceeding; or 

        (g)    Inability to Pay Debts.    The Borrower or any Material Subsidiary becomes unable or admits in writing its
inability or fails generally to pay its debts as they become due as provided in Title 11 of the United States Bankruptcy Code; or 

        (h)    Judgments.    There is entered against the Borrower or any Material Subsidiary (i) a final judgment or
order for the payment of money in an aggregate amount exceeding the Threshold Amount (to the extent not covered by independent third-party insurance as to which the insurer does not dispute coverage
and third-party indemnity or similar agreements), and either the Borrower or such Material Subsidiary fails (A) to have discharged, within 60 days after its commencement, any related
attachment, sequestration or similar proceeding against its material assets or (B) to pay any money judgment against it within 10 days before the date on which any of its assets may be
lawfully sold to satisfy that judgment; or 

        (i)    ERISA.    (i) An ERISA Event occurs with respect to a Pension Plan or Multiemployer Plan which has
resulted or could reasonably be expected to result in liability of the Borrower or any Subsidiary of the Borrower under Title IV of ERISA to the Pension Plan, Multiemployer Plan or the PBGC in an
aggregate amount in excess of the Threshold Amount, or (ii) the Borrower or any ERISA Affiliate fails to pay when due, after the expiration of any applicable grace period, any installment
payment with respect to its withdrawal liability under Section 4201 of ERISA under a Multiemployer Plan in an aggregate amount in excess of the Threshold Amount; or 

        (j)    Invalidity of Loan Documents.    Any Loan Document, at any time after its execution and delivery and for any
reason other than the agreement of all the Lenders or satisfaction in full of all the Obligations, ceases to be in full force and effect, or is declared by a court of competent jurisdiction to be null
and void, invalid or unenforceable in any respect; or the Borrower denies that it has any or further liability or obligation under any Loan Document, or purports to revoke, terminate or rescind any
Loan Document; or 

        (k)    Change of Control.    There occurs any Change of Control. 

 
 
        8.02    Remedies Upon Event of Default.     If any Event of Default occurs and is then
continuing, the Administrative Agent shall, at the request of, or may, with the consent of, the Required Lenders,
 

50

  

        (a)  declare the commitment of each Lender to make Loans and any obligation of the L/C Issuer to make L/C Credit Extensions to be terminated, whereupon such commitments and
obligation shall be terminated; 

        (b)  declare
the unpaid principal amount of all outstanding Loans, all interest accrued and unpaid thereon, and all other amounts owing or payable hereunder or under any
other Loan Document to be immediately due and payable, without presentment, demand, protest or other notice of any kind, all of which are hereby expressly waived by the Borrower; 

        (c)  require
that the Borrower Cash Collateralize the L/C Obligations (in an amount equal to the then Outstanding Amount thereof); and 

        (d)  exercise
on behalf of itself and the Lenders all rights and remedies available to it and the Lenders under the Loan Documents or applicable law; 

provided, however, that upon the occurrence of any event specified in subsection (f) or (g) of  Section 8.01 with respect to the Borrower, the
obligation of each Lender to make Loans and any obligation of the L/C Issuer to make L/C Credit
Extensions shall automatically terminate, the unpaid principal amount of all outstanding Loans and all interest and other amounts as aforesaid shall automatically become due and payable, and the
obligation of the Borrower to Cash Collateralize the L/C Obligations as aforesaid shall automatically become effective, in each case without further act of the Administrative Agent, the L/C Issuer or
any Lender. 

 
 

ARTICLE IX.
  ADMINISTRATIVE AGENT    
  

 
 
        9.01    Appointment and Authorization of Administrative Agent.     

        (a)  Each
Lender hereby irrevocably (subject to Section 9.09) appoints, designates and authorizes the Administrative
Agent to take such action on its behalf under the provisions of this Agreement and each other Loan Document and to exercise such powers and perform such duties as are expressly delegated to it by the
terms of this Agreement or any other Loan Document, together with such powers as are reasonably incidental thereto. Notwithstanding any provision to the contrary contained elsewhere herein or in any
other Loan Document, the Administrative Agent shall not have any duties or responsibilities, except those expressly set forth herein, nor shall the Administrative Agent have or be deemed to have any
fiduciary relationship with any Lender or participant, and no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read into this Agreement or any other Loan
Document or otherwise exist against the Administrative Agent. Without limiting the generality of the foregoing sentence, the use of the term "agent" herein and in the other Loan Documents with
reference to the Administrative Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any applicable law. Instead, such term is used
merely as a matter of market custom, and is intended to create or reflect only an administrative relationship between independent contracting parties. 

        (b)  The
L/C Issuer shall act on behalf of the Lenders with respect to any Letters of Credit issued by it and the documents associated therewith until such time (and except
for so long) as the Administrative Agent may agree at the request of the Required Lenders to act for the L/C Issuer with respect thereto; provided,  however,
 that the L/C Issuer shall have all of the benefits and immunities (i) provided to the Administrative Agent in this  Article IX with respect to any acts taken or omissions suffered by the L/C
Issuer in connection with Letters of Credit issued by it or proposed
to be issued by it and the application and agreements for letters of credit pertaining to the Letters of Credit as fully as if the term "Administrative Agent" as used in this  Article IX included
the L/C Issuer with respect to such acts or omissions, and (ii) as additionally provided herein with respect to the
L/C Issuer. 

51

 

 
 
        9.02    Delegation of Duties.     The Administrative Agent may execute any of its duties under this Agreement or
any other Loan Document by or through agents, employees or
attorneys-in-fact and shall be entitled to advice of counsel and other consultants or experts concerning all matters pertaining to such duties. The Administrative Agent shall
not be responsible for the negligence or misconduct of any agent or attorney-in-fact that it selects in the absence of gross negligence or willful misconduct. 

 
 
        9.03    Liability of Administrative Agent.     No Agent-Related Person shall (a) be liable for any action
taken or omitted to be taken by any of them under or in connection with this Agreement or any
other Loan Document or the transactions contemplated hereby (except for its own gross negligence or willful misconduct in connection with its duties expressly set forth herein), or (b) be
responsible in any manner to any Lender or participant for any recital, statement, representation or warranty made by the Borrower or any officer thereof, contained herein or in any other Loan
Document, or in any certificate, report, statement or other document referred to or provided for in, or received by the Administrative Agent under or in connection with, this Agreement or any other
Loan Document, or the validity, effectiveness,
genuineness, enforceability or sufficiency of this Agreement or any other Loan Document, or for any failure of the Borrower to any Loan Document to perform its obligations hereunder or thereunder. No
Agent-Related Person shall be under any obligation to any Lender or participant to ascertain or to inquire as to the observance or performance of any of the agreements contained in, or conditions of,
this Agreement or any other Loan Document, or to inspect the properties, books or records of the Borrower or any Affiliate thereof. 

 
 
        9.04    Reliance by Administrative Agent.     

        (a)  The
Administrative Agent shall be entitled to rely, and shall be fully protected in relying, upon any writing, communication, signature, resolution, representation,
notice, consent, certificate, affidavit, letter, telegram, facsimile or telex, statement or other document or conversation believed by it to be genuine and correct and to have been signed, sent or
made by the proper Person or Persons, and upon advice and statements of legal counsel (including counsel to the Borrower), independent accountants and other experts selected by the Administrative
Agent. The Administrative Agent shall be fully justified in failing or refusing to take any action under any Loan Document unless it shall first receive such advice or concurrence of the Required
Lenders as it deems appropriate and, if it so requests, it shall first be indemnified to its satisfaction by the Lenders against any and all liability and expense which may be incurred by it by reason
of taking or continuing to take any such action. The Administrative Agent shall in all cases be fully protected in acting, or in refraining from acting, under this Agreement or any other Loan Document
in accordance with a request or consent of the Required Lenders or all the Lenders, if required hereunder, and such request and any action taken or failure to act pursuant thereto shall be binding
upon all the Lenders and participants. Where this Agreement expressly permits or prohibits an action unless the Required Lenders otherwise determine, the Administrative Agent shall, and in all other
instances, the Administrative Agent may, but shall not be required to, initiate any solicitation for the consent or a vote of the Lenders. 

        (b)  For
purposes of determining compliance with the conditions specified in Section 4.01, each Lender that has signed
this Agreement shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter either sent by the Administrative Agent to such Lender for consent,
approval, acceptance or satisfaction, or required thereunder to be consented to or approved by or acceptable or satisfactory to a Lender. 

 
 
        9.05    Notice of Default.     The Administrative Agent shall not be deemed to have knowledge or notice of the
occurrence of any Default or Event of Default, except with respect to defaults in
the payment of principal, interest and fees required to be paid to the Administrative Agent for the account of the Lenders, unless the Administrative Agent shall have received written notice from a
Lender or the Borrower referring to this Agreement, describing such Default or Event of Default and stating that such notice is a "notice of default." The Administrative Agent will notify the Lenders
of its receipt of 

52

 

any such notice. The Administrative Agent shall take such action with respect to such Default or Event of Default as may be directed by the Required Lenders in accordance with  Article VIII;
provided, however, that unless and until the Administrative Agent has received any
such direction, the Administrative Agent may (but shall not be obligated to) take such action, or refrain from taking such
action, with respect to such Default or Event of Default as it shall deem advisable or in the best interest of the Lenders. 

 
 
        9.06    Credit Decision; Disclosure of Information by Administrative Agent.     Each Lender acknowledges that no
Agent-Related Person has made any representation or warranty to it, and that no act by the Administrative Agent hereinafter
taken, including any consent to and acceptance of any assignment or review of the affairs of the Borrower or any Affiliate thereof, shall be deemed to constitute any representation or warranty by any
Agent-Related Person to any Lender as to any matter, including whether Agent-Related Persons have disclosed material information in their possession. Each Lender represents to the Administrative Agent
that it has, independently and without reliance upon any Agent-Related Person and based on such documents and information as it has deemed appropriate, made its own appraisal of and investigation into
the business, prospects, operations, property, financial and other condition and creditworthiness of the Borrower and its Subsidiaries and, as applicable, Unrestricted Subsidiaries, and all applicable
bank or other regulatory Laws relating to the transactions contemplated hereby, and made its own decision to enter into this Agreement and to extend credit to the Borrower hereunder. Each Lender also
represents that it will, independently and without reliance upon any Agent-Related Person and based on such documents and information as it shall deem appropriate at the time, continue to make its own
credit analysis, appraisals and decisions in taking or not taking action under this Agreement and the other Loan Documents, and to make such investigations as it deems necessary to inform itself as to
the business, prospects, operations, property, financial and other condition and creditworthiness of the Borrower. Except for notices, reports and other documents expressly required to be furnished to
the Lenders by the Administrative Agent herein, the Administrative Agent shall not have any duty or responsibility to provide any Lender with any credit or other information concerning the business,
prospects, operations, property, financial and other condition or creditworthiness of the Borrower or any of its Affiliates which may come into the possession of any Agent-Related Person. 

 
 
        9.07    Indemnification of Administrative Agent.     Whether or not the transactions contemplated hereby are
consummated, the Lenders shall indemnify upon demand each Agent-Related Person (to the extent not
reimbursed by or on behalf of the Borrower and without limiting the obligation of the Borrower to do so), pro rata, and hold harmless each Agent-Related Person from and against any and all Indemnified
Liabilities incurred by it; provided, however, that no Lender shall be liable for the payment to any Agent-Related Person of any portion of such
Indemnified Liabilities resulting from any such Person's gross negligence or willful misconduct; provided, however, that no action taken in accordance
with the directions of the Required Lenders shall be deemed to constitute gross negligence or willful misconduct for purposes of this Section. Without limitation of the foregoing, each Lender shall
reimburse the Administrative Agent upon demand for its ratable share of any costs or out-of-pocket expenses (including Attorney Costs) incurred by the Administrative Agent in
connection with the preparation, execution, delivery, administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in
respect of rights or responsibilities under, this Agreement, any other Loan Document, or any document contemplated by or referred to herein, to the extent that the Administrative Agent is not
reimbursed for such expenses by or on behalf of the Borrower. The undertaking in this Section shall survive termination of the Commitments, the payment of all Obligations hereunder and the resignation
or replacement of the Administrative Agent. 

 
 
        9.08    Administrative Agent in its Individual Capacity.     Bank of America and its Affiliates may make loans to,
issue letters of credit for the account of, accept deposits from, acquire equity interests
 

53

 

in and generally engage in any kind of banking, trust, financial advisory, underwriting or other business with each of the Borrower and its Affiliates as though Bank of America were not the
Administrative Agent or the L/C Issuer hereunder and without notice to or consent of the Lenders. The Lenders acknowledge that, pursuant to such activities, Bank of America or its Affiliates may
receive information regarding the Borrower or its Affiliates (including information that may be subject to confidentiality obligations in favor of the Borrower or such Affiliate) and acknowledge that
the Administrative Agent shall be under no obligation to provide such information to them. With respect to its Loans, Bank of America shall have the same rights and powers under this Agreement as any
other Lender and may exercise such rights and powers as though it were not the Administrative Agent or the L/C Issuer, and the terms "Lender" and "Lenders" include Bank of America in its individual
capacity. 

 
 
        9.09    Successor Administrative Agent.     The Administrative Agent may resign as Administrative Agent upon
30 days' notice to the Lenders. If the Administrative Agent resigns under this Agreement,
the Required Lenders shall appoint from among the Lenders a successor administrative agent for the Lenders which successor administrative agent shall be consented to by the Borrower at all times other
than during the existence of an Event of Default (which consent of the Borrower shall not be unreasonably withheld or delayed). If no successor administrative agent is appointed prior to the effective
date of the resignation of the Administrative Agent, the Administrative Agent may appoint, after consulting with the Lenders and the Borrower, a successor administrative agent from among the Lenders.
Upon the acceptance of its appointment as successor administrative agent hereunder, such successor administrative agent shall succeed to all the rights, powers and duties of the retiring
Administrative Agent and the term "Administrative Agent" shall mean such successor administrative agent and the retiring Administrative Agent's appointment, powers and duties as Administrative Agent
shall be terminated. After any retiring Administrative Agent's resignation hereunder as Administrative Agent, the provisions of this Article IX  and Sections 10.03
and 10.13 shall inure to its benefit as to any actions
taken or omitted to be taken by it while it was Administrative Agent under this Agreement. If no successor administrative agent has accepted appointment as Administrative Agent by the date which is
30 days following a retiring Administrative Agent's notice of resignation, the retiring Administrative Agent's resignation shall nevertheless thereupon become effective and the Lenders shall
perform all of the duties of the Administrative Agent hereunder until such time, if any, as the Required Lenders appoint a successor agent as provided for above. 

 
 
        9.10    Other Agents; Lead Arranger, Etc.     None of the Lenders identified on the facing page or signature pages
of this Agreement as a "syndication agent," "documentation agent," "lead arranger" or "book
manager" shall have any right, power, obligation, liability, responsibility or duty under this Agreement other than those applicable to all Lenders as such. Without limiting the foregoing, none of the
Lenders so identified shall have or be deemed to have any fiduciary relationship with any Lender. Each Lender acknowledges that it has not relied, and will not rely, on any of the Lenders so
identified in deciding to enter into this Agreement or in taking or not taking action hereunder. 

 
 

ARTICLE X.
  MISCELLANEOUS    
  

 
 
        10.01    Amendments, Etc.     No amendment or waiver of any provision of this Agreement or any other Loan Document,
and no consent to any departure by the Borrower therefrom, shall be
effective unless in writing signed by the Required Lenders and the Borrower and acknowledged by the Administrative Agent, and each such waiver or consent shall be effective only in the specific
instance and for the specific purpose for which given; provided, however, that no such amendment, waiver or consent shall, unless in writing and signed
by each of the Lenders directly affected thereby and by the Borrower, and acknowledged by the Administrative Agent, do any of the following: 

        (a)  extend
or increase the Commitment of any Lender (or reinstate any Commitment terminated pursuant to Section 8.02),
except for any such extension made in accordance with Section 2.15; 

54

 

        (b)  postpone
any date fixed by this Agreement or any other Loan Document for any payment of principal, interest, fees or other amounts due to the Lenders (or any of them)
hereunder or under any other Loan Document; 

        (c)  reduce
the principal of, or the rate of interest specified herein on, any Loan or L/C Borrowing, or (subject to clause (iii) of the proviso below) any fees or
other amounts payable hereunder or under any other Loan Document; provided, however, that only the consent of the Required Lenders shall be necessary to
amend the definition of "Default Rate" or to waive any obligation of the Borrower to pay interest at the Default Rate; 

        (d)  change
the percentage of the Commitments or of the aggregate unpaid principal amount of the Loans and L/C Obligations which is required for the Lenders or any of them to
take any action hereunder; 

        (e)  change
the Pro Rata Share or Voting Percentage of any Lender; or 

        (f)    amend
this Section, or Section 2.14, or any provision herein providing for consent or other action by all the
Lenders; 

and,
provided further, that (i) no amendment, waiver or consent shall, unless in writing and signed by the L/C Issuer in addition to the Required
Lenders or all the Lenders, as the case may be, affect the rights or duties of the L/C Issuer under this Agreement or any Letter of Credit Application relating to any Letter of Credit issued or to be
issued by it; (ii) no amendment, waiver or consent shall, unless in writing and signed by the Administrative Agent in addition to the Required Lenders or all the Lenders, as the case may be,
affect the rights or duties of the Administrative Agent under this Agreement or any other Loan Document; and (iii) the Agent/Arranger Fee Letter may be amended, or rights or privileges
thereunder waived, in a writing executed only by the parties thereto. Notwithstanding anything to the contrary herein, any Lender that has failed to fund any portion of the Loans or participations in
L/C Obligations required to be funded by it hereunder shall not have any right to approve or disapprove any amendment, waiver or consent hereunder, except that the Pro Rata Share of such Lender may
not be increased without the consent of such Lender. 

 
 
        10.02    Notices and Other Communications; Facsimile Copies.     

        (a)    General.    Unless otherwise expressly provided herein, all notices and other communications provided for
hereunder shall be in writing (including by facsimile transmission) and mailed, faxed or delivered, to the address, facsimile number or (subject to subsection (c) below) electronic mail address
(i) specified for notices on Schedule 10.02 in the case of the Borrower, the Administrative Agent or the L/C Issuer, or to such other
address as shall be designated by such party in a notice to the other parties, and (ii) in the case of any other Lender, to the address specified in the administrative details form provided to
the Administrative Agent or to such other address as shall be designated by such party in a notice to the Borrower, the Administrative Agent, and the L/C Issuer. All such notices and other
communications shall be deemed to be given or made upon the earlier to occur of (i) actual receipt by the intended recipient and (ii) (A) if delivered by hand or by courier, when
signed for by the intended recipient; (B) if delivered by mail, four Business Days after deposit in the mails, postage prepaid; (C) if delivered by facsimile, when sent and receipt has
been confirmed by telephone; and (D) if delivered by electronic mail (which form of delivery is subject to the provisions of subsection (c) below), when delivered;  provided, however, that
notices and other communications to the Administrative Agent, and the L/C Issuer pursuant to  Article II shall not be effective until actually received by such Person. Any notice or other
communication permitted to be given, made or
confirmed by telephone hereunder shall be given, made or confirmed by means of a telephone call to the intended recipient at the number specified on  Schedule 10.02, it being understood and agreed
that a voicemail message shall in no event be effective as a notice, communication or confirmation
hereunder. 

55

 

        (b)    Effectiveness of Facsimile Documents and Signatures.    Loan Documents may be transmitted and/or signed by
facsimile. The effectiveness of any such documents and signatures shall, subject to applicable Law, have the same force and effect as manually-signed originals and shall be binding on the Borrower,
the Administrative Agent and the Lenders. The Administrative Agent may also require that any such documents and signatures be confirmed by a manually-signed original thereof;  provided, however, that the failure to request or deliver the same shall not limit the effectiveness of
any facsimile document or signature. 

        (c)    Limited Use of Electronic Mail.    Electronic mail and internet and intranet websites may be used only to
distribute routine communications, such as financial statements and other information, and to
distribute Loan Documents for execution by the parties thereto, and may not be used for any other purpose. 

        (d)    Reliance by Administrative Agent and Lenders.    The Administrative Agent and the Lenders shall be entitled to
rely and act upon any notices (including telephonic Loan Notices if immediately followed by a corresponding Loan Notice in writing) purportedly given by or on behalf of the Borrower even if
(i) such notices were not made in a manner specified herein, were incomplete or were not preceded or followed by any other form of notice specified herein, or (ii) the terms thereof, as
understood by the recipient, varied from any confirmation thereof. The Borrower shall indemnify each Agent-Related Person and each Lender from all losses, costs, expenses and liabilities resulting
from the reliance by such Person on each notice purportedly given by or on behalf of the Borrower. 

 
 
        10.03    No Waiver; Cumulative Remedies.     

        No
failure by any Lender or the Administrative Agent or the L/C Issuer to exercise, and no delay by any such Person in exercising, any right, remedy, power or privilege hereunder shall
operate as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other
right, remedy, power or privilege. The rights, remedies, powers and privileges herein or therein provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided by
law. 

 
 
        10.04    Attorney Costs, Expenses and Taxes.     The Borrower agrees (a) to pay or reimburse the
Administrative Agent and the L/C Issuer for all costs and expenses incurred in connection with the
development, preparation, negotiation and execution of this Agreement and the other Loan Documents and any amendment, waiver, consent or other modification of the provisions hereof and thereof
(whether or not the transactions contemplated hereby or thereby are consummated), and the consummation and administration of the transactions contemplated hereby and thereby, including all Attorney
Costs, and (b) to pay or reimburse the Administrative Agent, the L/C Issuer and each Lender for all costs and expenses incurred in connection with the enforcement, attempted enforcement, or
preservation of any rights or remedies under this Agreement or the other Loan Documents (including all such costs and expenses incurred during any "workout" or restructuring in respect of the
Obligations and during any legal proceeding, including any proceeding under any Debtor Relief Law), including all Attorney Costs. The foregoing costs and expenses shall include all search, filing,
recording, title insurance and appraisal charges and fees and taxes related thereto, and other out-of-pocket expenses incurred by the Administrative Agent or the L/C Issuer, as
the case may be, and the cost of independent public accountants and other outside experts retained by the Administrative Agent, the L/C Issuer or any Lender. The agreements in this Section shall
survive the termination of the Commitments and repayment of all the other Obligations. 

 
 
        10.05    Indemnification by the Borrower.     Whether or not the transactions contemplated hereby are consummated,
the Borrower agrees to indemnify, save and hold harmless each Agent-Related Person, each
Lender and their respective Affiliates, directors, officers, employees, counsel, agents and attorneys-in-fact (collectively the
"Indemnitees") from and against: (a) any and all claims, demands, actions or causes of action that are asserted against any Indemnitee by any
Person (other than the 

56

 

Administrative Agent, the L\C Issuer or any Lender) relating directly or indirectly to a claim, demand, action or cause of action that such Person asserts or may assert against the Borrower or any of
its Affiliates or any of its officers or directors; (b) any and all claims, demands, actions or causes of action that may at any time (including at any time following repayment of the
Obligations and the resignation or removal of the Administrative Agent or the replacement of any Lender) be asserted or imposed against any Indemnitee, arising out of or relating to, the Loan
Documents, any predecessor loan documents, the Commitments, the use or contemplated use of the proceeds of any Credit Extension, or the relationship of the Borrower, the Administrative Agent and the
Lenders under this Agreement or any other Loan Document; (c) any administrative or investigative proceeding by any Governmental Authority arising out of or related to a claim, demand, action or
cause of action described in subsection (a) or (b) above; and (d) any and all liabilities (including liabilities under indemnities), losses, costs or expenses (including Attorney
Costs) that any Indemnitee suffers or incurs as a result of the assertion of any foregoing claim, demand, action, cause of action or proceeding, or as a result of the preparation of any defense in
connection with any foregoing claim, demand, action, cause of action or proceeding, in all cases, whether or not arising out of the negligence of an
Indemnitee, and whether or not an Indemnitee is a party to such claim, demand, action, cause of action or proceeding (all the foregoing, collectively, the
"Indemnified Liabilities"); provided that no Indemnitee shall be entitled to indemnification for any
claim caused by its own gross negligence, violation of law, breach under any Loan Document or willful misconduct or for any loss asserted against it by another Indemnitee. The agreements in this
Section shall survive the termination of the Commitments and repayment of all the other Obligations. 

 
 
        10.06    Payments Set Aside.     

        To
the extent that the Borrower makes a payment to the Administrative Agent, the L/C Issuer or any Lender, or the Administrative Agent, the L/C Issuer or any Lender exercises its right
of set-off, and such payment or the proceeds of such set-off or any part thereof is subsequently invalidated, declared to be fraudulent or preferential, set aside or required
(including pursuant to any settlement entered into by the Administrative Agent, the L/C Issuer or such Lender in its discretion) to be repaid to a trustee, receiver or any other party, in connection
with any proceeding under any Debtor Relief Law or otherwise, then (a) to the extent of such recovery, the obligation or part thereof originally intended to be satisfied shall be revived and
continued in full force and effect as if such payment had not been made or such set-off had not occurred, and (b) each Lender severally agrees to pay to the Administrative Agent or
the L/C Issuer, as the case may be, upon demand its applicable share of any amount so recovered from or repaid by the Administrative Agent or the L/C Issuer, as the case may be, plus interest thereon
from the date of such demand to the date such payment is made at a rate per annum equal to the Federal Funds Rate from time to time in effect. 

 
 
        10.07    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 assigns permitted hereby,
except that the Borrower may not assign or otherwise transfer any of its rights or obligations hereunder without the prior written consent
of each Lender (and any attempted assignment or transfer by the Borrower without such consent shall be null and void). Nothing in 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 Indemnitees) any legal or equitable
right, remedy or claim under or by reason of this Agreement. 

        (b)  Any
Lender may assign to one or more Eligible Assignees all or a portion of its rights and obligations under this Agreement (including all or a portion of its Commitment
and the Loans (including for purposes of this subsection (b), participations in L/C Obligations) at the time owing to it); provided that (i) with
respect to each assignment made to any Person described at clause (c) in the 

57

 

defined term "Eligible Assignee", the Assignee Conditions shall be satisfied, (ii) except in the case of an assignment of the entire remaining amount of the assigning Lender's Commitment and
the Loans at the time owing to it or in the case of an assignment to a Lender or an Affiliate of a Lender or an Approved Fund with respect to a Lender, in each case which constitutes an Eligible
Assignee, the aggregate amount of the Commitment (which for this purpose includes Loans outstanding thereunder) subject to each such assignment, determined as of the date the Assignment and Acceptance
with respect to such assignment is delivered to the Administrative Agent, shall not be less than $5,000,000 unless each of the Administrative Agent and the L/C Issuer and, so long as no Event of
Default has occurred and is continuing, the Borrower, otherwise consent (each such consent not to be unreasonably withheld or delayed), (iii) each partial assignment shall be made as an
assignment of a proportionate part of all the assigning Lender's rights and obligations under this Agreement with respect to the Loans or the Commitment assigned, and (iv) the parties to each
assignment shall execute and deliver to the Administrative Agent an Assignment and Acceptance, together with a processing and recordation fee of $3,500. Subject to acceptance and recording thereof by
the Administrative Agent pursuant to subsection (c) of this Section and compliance with the Assignee Conditions, from and after the effective date specified in each Assignment and Acceptance,
the Eligible Assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such Assignment and Acceptance, have the rights and obligations of a Lender under this
Agreement, and the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment and Acceptance, be released from its obligations under this Agreement (and, in the case
of an Assignment and Acceptance covering all of the assigning Lender's rights and obligations under this Agreement, such Lender shall cease to be a party hereto but shall continue to be entitled to
the benefits of Sections 3.07, 10.04 and 10.05). Upon request, the Borrower (at its expense) shall
execute and deliver new or replacement Notes to the assigning Lender and the assignee Lender. Any assignment or transfer (other than any assignment as security to a Federal Reserve Bank) by a Lender
of rights or obligations under this Agreement that does not comply with this subsection shall be treated for purposes of this Agreement as a sale by such Lender of a participation in such rights and
obligations in accordance with subsection (d) of this Section. 

        (c)  The
Administrative Agent, acting solely for this purpose as an agent of the Borrower, shall maintain at the Administrative Agent's Office a copy of each Assignment and
Acceptance delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Commitments of, and principal amount of the Loans and L/C Obligations owing to, each
Lender pursuant to the terms hereof from time to time (the "Register"). The entries in the Register shall be conclusive, and the Borrower, the Administrative Agent, the L/C Issuer and the Lenders may
treat each Person whose name is recorded in the Register pursuant to the terms hereof as a Lender hereunder for all purposes of this Agreement, notwithstanding notice to the contrary. The Register
shall be available for inspection
by the Borrower and any Lender, at any reasonable time and from time to time upon reasonable prior notice. 

        (d)  Any
Lender may, without the consent of, or prior notice to, the Borrower, the L/C Issuer or the Administrative Agent, sell participations to one or more banks or other
entities (a "Participant") in all or a portion of such Lender's rights and/or obligations under this Agreement (including all or a portion of its
Commitment and/or the Loans (including such Lender's participations in L/C Obligations owing to it); provided that (i) such Lender's obligations
under this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations and (iii) the Borrower,
the Administrative Agent, the L/C Issuer and the other Lenders shall continue to deal solely and directly with such Lender in connection with such Lender's rights and obligations under this Agreement.
Any agreement or instrument pursuant to which a Lender sells such a participation shall provide that such Lender shall retain the sole right to enforce this Agreement and to approve any amendment,
modification or waiver of any provision of this Agreement; provided that such agreement or instrument may provide that such Lender will not, without the
consent of the Participant, agree to any amendment, waiver or other modification that would (i) postpone any date 

58

 

upon which any payment of money is scheduled to be paid to such Participant or (ii) reduce the principal, interest, fees or other amounts payable to such Participant. Subject to subsection
(e) of this Section, the Borrower agrees that each Participant shall be entitled to the benefits of Sections 3.01, 3.04 and  3.05 to the same extent as
if it were a Lender and had acquired its interest by assignment pursuant to subsection (b) of this Section. To the
extent permitted by law, each Participant also shall be entitled to the benefits of Section 10.09 as though it were a Lender,  provided such
Participant agrees to be subject to Section 2.14 as though it were a Lender. 

        (e)  A
Participant shall not be entitled to receive any greater payment under Section 3.01, 3.04 or  3.05 than the applicable Lender would have been entitled
to receive with respect to the participation sold to such Participant, unless the sale of the
participation to such Participant is made with the Borrower's prior written consent. A Participant that would be a Foreign Lender if it were a Lender shall not be entitled to the benefits of  Section 3.01 unless the Borrower is notified of the participation sold to such Participant and such Participant agrees, for the benefit of the
Borrower, to comply with Section 10.15 as though it were a Lender. 

        (f)    Any
Lender may at any time assign, pledge or grant a security interest in all or any portion of its rights under this Agreement (including under its Notes, if any) to
secure obligations of such Lender to a Federal Reserve Bank; provided that no such pledge or assignment shall release a Lender from any of its
obligations hereunder or substitute any such pledgee or assignee for such Lender as a party hereto; and provided, further, all costs, fees and expenses
related to, or in connection with, any such pledge or grant shall be for the sole account of such Lender. 

        (g)  Intentionally Blank.

        (h)  Intentionally Blank.

        (i)    Notwithstanding
anything to the contrary contained herein, if at any time Bank of America assigns all of its Commitment and Loans pursuant to subsection
(b) above, Bank of America may, upon 30 days' notice to the Borrower and the Lenders, resign as L/C Issuer. In the event of any such resignation as L/C Issuer, the Borrower shall be
entitled to appoint from among the Lenders a successor L/C Issuer hereunder; provided, however, that no failure by the Borrower to appoint any such
successor shall affect the resignation of Bank of America as L/C Issuer. Bank of America shall retain all the rights and obligations of the L/C Issuer hereunder with respect to all Letters of Credit
outstanding as of the effective date of its resignation as L/C Issuer and all L/C Obligations with respect thereto (including the right to require the Lenders to make Base Rate Loans or fund
participations in Unreimbursed Amounts pursuant to Section 2.04(c)). 

 
 
        10.08    Confidentiality.     Each of the Administrative Agent and the Lenders (on behalf of itself and each of its
Affiliates, and each of its and their directors, officers, agents,
attorneys, employees and representatives) 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 (and will agree to) keep such Information confidential on the terms provided in this Section); (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 (and each such case, such Person shall endeavor to notify the
Borrower of such occurrence as soon as reasonably possible following the service of any such process on such Person); (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 the enforcement of rights hereunder; (f) subject to an agreement containing provisions
substantially the same as those of this Section, to (i) any Eligible Assignee of or Participant in, or any prospective Eligible Assignee of or Participant in, any of its rights or obligations
under this Agreement or (ii) any direct or indirect contractual counterparty or prospective counterparty (or such contractual 

59

 

counterparty's or prospective counterparty's professional advisor) to any credit derivative transaction relating to obligations of the Borrower, in each case,  provided that each such Person first agrees
to hold, and cause to be held, such Information in confidence on the terms provided in this Section;
(g) with the consent of the Borrower; (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 Administrative Agent or any Lender on a nonconfidential basis from a source other than the Borrower; or (i) to the National Association of Insurance Commissioners or any other
similar organization or any nationally recognized rating agency that requires access to information about a Lender's or its Affiliates' investment portfolio in connection with ratings issued with
respect to such Lender or its Affiliates. 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 (i) "structure" or "tax aspects" of the transactions contemplated by this Agreement, as such terms are used in Code
sections 6011, 6111 or 6112, and the regulations promulgated thereunder, or (ii) available to the Administrative Agent or any 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 in writing
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. For the avoidance of doubt, the Borrower, the Administrative Agent and the Lenders agree that the Borrower, the Administrative Agent and the
Lenders (and each of their Affiliates, their directors, officers, agents, attorneys, employees and representatives) are permitted to disclose to any and all Persons, without limitation of any kind,
the "structure" and "tax aspects" of the transactions contemplated by this Agreement, as such terms are used in Code sections 6011, 6111 or 6112, and the regulations promulgated thereunder, and all
materials of any kind (including opinions or other tax analyses) that are provided to the Administrative Agent and the Lenders related to such structure and tax aspects. The preceding sentence and
clause (i) in the definition of "Information" above are set forth herein solely to come within certain "safe harbor" provisions set forth in certain temporary regulations promulgated under Code
sections 6011, 6111 and 6112. 

 
 
        10.09    Set-off.     In addition to any rights and remedies of the Lenders provided by law, upon the occurrence
and during the continuance of any Event of Default, each Lender is
authorized at any time and from time to time, without prior notice to the Borrower, any such notice being waived by the Borrower 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 by, and other indebtedness at any time owing by, such Lender to or for the credit or the account of the
Borrower against any and all Obligations then due and owing to such Lender. Each Lender agrees promptly to notify the Borrower and the Administrative Agent after any such set-off and
application made by such Lender; provided, however, that the failure to give such notice shall not affect the validity of such set-off and
application. 

 
 
        10.10    Interest Rate Limitation.     Notwithstanding anything to the contrary contained in any Loan Document, the
interest paid or agreed to be paid under the Loan Documents shall not exceed the
maximum amount, or be computed at a rate that exceeds the maximum rate, of non-usurious interest permitted by applicable Law (the "Maximum
Rate"). If the Administrative Agent, the L/C Issuer or any Lender shall contract for, charge, receive, reserve or take interest in an amount or at a rate that exceeds the
Maximum Rate, the excess interest shall be applied to the principal of the Loans or, if it exceeds such unpaid principal, refunded to the Borrower, and in no event shall the Borrower or any other
Person ever be liable for unearned interest or ever be required to pay interest in excess of the Maximum Rate. In determining whether the interest contracted for, charged, received, reserved or taken
by the Administrative Agent, the L/C Issuer or a Lender exceeds the Maximum Rate, such Person may, to the extent permitted by applicable Law, (a) characterize any payment that is not principal
as an expense, fee, or premium rather than interest, (b) exclude voluntary prepayments and 

60

 

the effects thereof, and (c) amortize, prorate, allocate, and spread in equal or unequal parts the total amount of interest throughout the contemplated term of the Obligations. If the Laws of
the State of Texas are applicable for purposes of determining the "Maximum Rate", then that term means the "indicated rate ceiling" from time to time in effect under Chapter 303 of the Texas Finance
Code. The Borrower agrees that Chapter 346 of the Texas Finance Code does not apply to any Borrowing. 

 
 
        10.11    Counterparts.     This Agreement may be executed in one or more counterparts and by the different parties
hereto on separate counterparts, each of which shall be deemed an
original, but all of which together shall constitute one and the same instrument. 

 
 
        10.12    Integration.     This Agreement, together with the other Loan Documents, comprises the complete and
integrated agreement of the parties on the subject matter hereof and thereof
and supersedes all prior agreements, written or oral, on such subject matter. In the event of any conflict between the provisions of this Agreement and those of any other Loan Document, the provisions
of this Agreement shall control; provided that the inclusion of supplemental rights or remedies in favor of the Administrative Agent, the L/C Issuer or
the Lenders in any other Loan Document shall not be deemed a conflict with this Agreement. Each Loan Document was drafted with the joint participation of the respective parties thereto and shall be
construed neither against nor in favor of any party, but rather in accordance with the fair meaning thereof. 

 
 
        10.13    Survival of Representations and Warranties.     All representations and warranties made hereunder and in
any other Loan Document or other document delivered pursuant hereto or thereto or in connection herewith
or therewith shall survive the execution and delivery hereof and thereof. Such representations and warranties have been or will be relied upon by the Administrative Agent, the L/C Issuer and each
Lender, regardless of any investigation made by the Administrative Agent, the L/C Issuer or any Lender or on their behalf and notwithstanding that the Administrative Agent, the L/C Issuer or any
Lender may have had notice or knowledge of any Default or Event of Default at the time of any Credit Extension. 

 
 
        10.14    Severability.     Any provision of this Agreement and the other Loan Documents that is prohibited or
unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions thereof, and any such prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction. 

 
 
        10.15    Foreign Lenders.     Each Lender that is a "foreign corporation, partnership or trust" within the meaning
of the Code (a "Foreign
Lender") shall deliver to the Administrative Agent, prior to becoming a Lender herein, two duly signed completed copies of either IRS Form W-8BEN or any
successor thereto (relating to such Person and entitling it to an exemption from, or reduction of, withholding tax on all payments to be made to such Person by the Borrower pursuant to this Agreement)
or IRS Form W-8ECI or any successor thereto (relating to all payments to be made to such Person by the Borrower pursuant to this Agreement) or such other evidence satisfactory to
the Borrower and the Administrative Agent that such Person is entitled to an exemption from, or reduction of, U.S. withholding tax. Thereafter and from time to time, each such Person shall
(a) promptly submit to the Administrative Agent such additional duly completed and signed copies of one of such forms (or such successor forms as shall be adopted from time to time by the
relevant United States taxing authorities) as may then be available under then current United States laws and regulations to avoid, or such evidence as is satisfactory to the Borrower and the
Administrative Agent of any available exemption from or reduction of, United States withholding taxes in respect of all payments to be made to such Person by the Borrower pursuant to this Agreement,
(b) promptly notify the Agent of any change in circumstances which would modify or render invalid any claimed exemption or reduction, and (c) take such steps as shall not be materially
disadvantageous to it, in the reasonable judgment of such Lender, and as may be reasonably necessary (including the re-designation of its Lending Office) to 

61

 

avoid any requirement of applicable Laws that the Borrower make any deduction or withholding for taxes from amounts payable to such Person. If such Person fails to deliver the above forms or other
documentation, then the Administrative Agent may withhold from any interest payment to such Person an amount equivalent to the applicable withholding tax imposed by Sections 1441 and 1442 of the Code,
without reduction. If any Governmental Authority asserts that the Administrative Agent did not properly withhold any tax or other amount from payments made in respect of such Person, such Person shall
indemnify the Administrative Agent therefor, including all penalties and interest, any taxes imposed by any jurisdiction on the amounts payable to the Agent under this Section, and costs and expenses
(including Attorney Costs) of the Administrative Agent. The obligation of the Lenders under this Section shall survive the payment of all Obligations and the resignation or replacement of the
Administrative Agent. 

 
 
        10.16    Removal and Replacement of Lenders.     

        (a)  Under
any circumstances set forth herein providing that the Borrower shall have the right to remove or replace a Lender as a party to this Agreement, the Borrower may,
upon notice to such Lender and the Administrative Agent, (i) remove such Lender by terminating such Lender's Commitment or (ii) replace such Lender by causing such Lender to assign its
Commitment (without payment of any assignment fee) pursuant to Section 10.07(b) to one or more other Lenders or Eligible Assignees procured by
the Borrower; provided, however, that if the Borrower elects to exercise such right with respect to any Lender pursuant to  Section 3.06(b), they shall
be obligated to remove or replace, as the case may be, all Lenders that have made similar requests for compensation
pursuant to Section 3.01 or 3.04. The Borrower shall (x) pay in full all principal,
interest, fees and other amounts owing to such Lender through the date of termination or assignment (including any amounts payable pursuant to  Section 3.05), (y) provide appropriate assurances
and indemnities (which may include letters of credit) to the L/C Issuer as it may
reasonably require with respect to any continuing obligation to purchase participation interests in any L/C Obligations then outstanding, and (z) release such Lender from its obligations under
the Loan Documents. Any Lender being replaced shall execute and deliver an Assignment and Acceptance with respect to such Lender's Commitment and outstanding Credit Extensions. The Administrative
Agent shall distribute an amended Schedule 2.01, which shall be deemed incorporated into this Agreement, to reflect changes in the identities of
the Lenders and adjustments of their respective Commitments and/or Pro Rata Shares resulting from any such removal or replacement. 

        (b)  In
order to make all the Lenders' interests in any outstanding Credit Extensions ratable in accordance with any revised Pro Rata Shares after giving effect to the
removal or replacement of a Lender, the Borrower shall pay or prepay, if necessary, on the effective date thereof, all outstanding Loans of all Lenders, together with any amounts due under  Section 3.05. The Borrower may then request Loans from the Lenders in accordance with their revised Pro Rata Shares. The Borrower may net any
payments required hereunder against any funds being provided by any Lender or Eligible Assignee replacing a terminating Lender. The effect for purposes of this Agreement shall be the same as if
separate transfers of funds had been made with respect thereto. 

        (c)  This
section shall supersede any provision in Section 10.01 to the contrary. 

 
 
        10.17    Governing Law.     

        (a)  THIS
AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED ENTIRELY WITHIN
SUCH STATE; PROVIDED THAT THE ADMINISTRATIVE AGENT AND EACH LENDER SHALL RETAIN ALL RIGHTS ARISING UNDER FEDERAL LAW. 

62

 

        (b)  ANY
LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK SITTING IN MANHATTAN OR OF
THE UNITED STATES FOR THE SOUTHERN DISTRICT OF SUCH STATE, AND BY EXECUTION AND DELIVERY OF THIS AGREEMENT, THE BORROWER, THE ADMINISTRATIVE AGENT AND EACH LENDER CONSENTS, FOR ITSELF AND IN RESPECT
OF ITS PROPERTY, TO THE NON-EXCLUSIVE JURISDICTION OF THOSE COURTS. THE BORROWER, THE ADMINISTRATIVE AGENT AND EACH LENDER IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING ANY OBJECTION TO THE
LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING IN SUCH
JURISDICTION IN RESPECT OF ANY LOAN DOCUMENT OR OTHER DOCUMENT RELATED THERETO. THE BORROWER, THE ADMINISTRATIVE AGENT AND EACH LENDER WAIVES PERSONAL SERVICE OF ANY SUMMONS, COMPLAINT OR OTHER
PROCESS, WHICH MAY BE MADE BY ANY OTHER MEANS PERMITTED BY THE LAW OF SUCH STATE. 

 
 
        10.18    Waiver of Right to Trial by Jury.     EACH PARTY TO THIS AGREEMENT HEREBY EXPRESSLY WAIVES ANY RIGHT TO
TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION ARISING UNDER ANY LOAN DOCUMENT OR
IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO ANY LOAN DOCUMENT, OR THE TRANSACTIONS RELATED THERETO, IN EACH CASE WHETHER NOW
EXISTING OR HEREAFTER ARISING, AND WHETHER FOUNDED IN CONTRACT OR TORT OR OTHERWISE; AND EACH PARTY HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE OF ACTION SHALL BE DECIDED
BY COURT TRIAL WITHOUT A JURY, AND THAT ANY PARTY TO THIS AGREEMENT MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE SIGNATORIES
HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY. 

 
 
        10.19    Release of Guaranty Agreements; Promissory Notes.     

        (a)  Effective
on the Closing Date, the Guarantees executed by the Guarantors (as defined in the Existing Credit Agreement) pursuant to the Existing Credit Agreement are
hereby released. 

        (b)  Upon
receipt by the Administrative Agent, for the benefit of each Lender requesting a Note, of Notes issued hereunder covering such Loans assumed by the Borrower
hereunder, the Notes executed by the Operating Partnership under the Existing Credit Agreement shall be marked "cancelled" and returned to the Operating Partnership. 

 
 
        10.20    ENTIRE AGREEMENT.     THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE
FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF
PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

63

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	
 	
 	

ENBRIDGE ENERGY PARTNERS, L.P.
	

 	
 	

By:	
 	

Enbridge Energy Management, L.L.C., as delegate of Enbridge Energy Company, Inc., its General Partner
	

 	
 	
By:	
 	

/s/ MARK MAKI

	

 	
 	

Name: Mark Maki
	

 	
 	

Title: V.P. Finance

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	
 	
 	

BANK OF AMERICA, N.A., as Administrative Agent
	

 	
 	

By:	
 	

/s/ KEVIN L. AHART

	

 	
 	

Name: Kevin L. Ahart
	

 	
 	

Title: Assistant Vice President
	

 	
 	
BANK OF AMERICA, N.A., as a Lender and L/C Issuer
	

 	
 	

By:	
 	

/s/ JEFF SUSMAN

	

 	
 	

Name: Jeff Susman
	

 	
 	

Title: Managing Director

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	
 	
 	

BANK OF MONTREAL, as Syndication Agent and as a Lender
	

 	
 	

By:	
 	

/s/ J. BAIDACOFF

	

 	
 	

Name: J. Baidacoff
	

 	
 	

Title: Director

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	

 	
 	
TORONTO DOMINION (TEXAS), INC., as Co-Documentation Agent and as a Lender
	

 	
 	

By:	
 	

/s/ DEBBIE A. GREENE

	

 	
 	

Name: Debbie A. Greene
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	

 	
 	
WACHOVIA BANK, NATIONAL ASSOCIATION (formerly known as First Union National Bank), as Co-Documentation Agent and as a Lender
	

 	
 	

By:	
 	

/s/ DAVID E. HUMPHREYS

	

 	
 	

Name: David E. Humphreys
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	

 	
 	
CITIBANK, N.A., as a Lender
	

 	
 	

By:	
 	

/s/ DAVID L. HARRIS

	

 	
 	

Name: David L. Harris
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	

 	
 	
CIBC INC., as a Lender
	

 	
 	

By:	
 	

/s/ MARYBETH ROSS

	

 	
 	

Name: Marybeth Ross
	

 	
 	

Title: Authorized Signatory

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	

 	
 	
ROYAL BANK OF CANADA, as a Lender
	

 	
 	

By:	
 	

/s/ CHRIS ABE

	

 	
 	

Name: Chris Abe
	

 	
 	

Title: Manager

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	

 	
 	
ABN AMRO BANK N.V., CAYMAN ISLANDS BRANCH, as a Lender
	

 	
 	

By:	
 	

/s/ DAVID MOORE

	

 	
 	

Name: David Moore
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	

 	
 	
SUNTRUST BANK, as a Lender
	

 	
 	

By:	
 	

/s/ JOSEPH M. MCCREERY

	

 	
 	

Name: Joseph M. McCreery
	

 	
 	

Title: Vice President

  

SCHEDULE 2.01  

 
 

COMMITMENTS
  AND PRO RATA SHARES    
  

	Lender
 
	 	Commitment
	 	Pro Rata Share
	 
	Bank of America, N.A.	 	$	45,000,000	 	15.000000000	%
	Bank of Montreal	 	 	45,000,000	 	15.000000000	%
	Toronto Dominion (Texas), Inc.	 	 	45,000,000	 	15.000000000	%
	Wachovia Bank, National Association	 	 	45,000,000	 	15.000000000	%
	Citibank, N.A.	 	 	30,000,000	 	10.000000000	%
	CIBC Inc.	 	 	25,000,000	 	8.333333333	%
	Royal Bank of Canada	 	 	25,000,000	 	8.333333333	%
	ABN AMRO Bank N.V.	 	 	20,000,000	 	6.666666667	%
	SunTrust Bank	 	 	20,000,000	 	6.666666667	%
	 	 	
	 	
	 
	Total	 	$	300,000,000	 	100.000000000	%
	 	 	
	 	
	 

1

  

SCHEDULE 5.06  

 
 

LITIGATION    
  

        None. 

1

  

SCHEDULE 5.09  

 
 

ENVIRONMENTAL MATTERS    
  

        None. 

1

  

SCHEDULE 5.13  

 
 

SUBSIDIARIES
  AND OTHER EQUITY INVESTMENTS    
  

Part(a). Subsidiaries, Material Subsidiaries and Unrestricted Subsidiaries  

	A.
	The
Borrower owns the following interests:

	1.
	100%
membership interests in Enbridge Pipelines (Lakehead) L.L.C.

	2.
	100%
membership interest in Enbridge Pipelines (North Dakota) LLC

	3.
	99.999%
limited partnership interest in Enbridge Energy, Limited Partnership (Material Subsidiary)

	4.
	100%
membership interest in Enbridge Midcoast Limited Holdings, L.L.C. (Material Subsidiary)

	5.
	100%
membership interest in Enbridge Midcoast Holdings, L.L.C 

	B.
	Enbridge
Pipelines (Lakehead) L.L.C. owns .001% general partner interest in Enbridge Energy, Limited Partnership. (Material Subsidiary)

	C.
	Enbridge
Midcoast Holdings, L.L.C. owns a .001% general partner interest in Enbridge Midcoast Energy, L.P. (Material Subsidiary)

	D.
	Enbridge
Midcoast Limited Holdings, L.L.C. owns a 99.999% limited partnership interest in Enbridge Midcoast Energy, L.P. (Material Subsidiary)

	E.
	Enbridge
Midcoast Energy, L.P. owns the following interests: 
	1.
	100%
membership interest in Enbridge Holdings (Texas Systems) L.L.C.

	2.
	99.999%
limited partnership interest in Dufour Petroleum, L.P.

	3.
	100%
membership interest in H&W Pipeline, L.L.C.

	4.
	100%
stock of Nugget Drilling Corporation

	5.
	100%
membership interest in Enbridge Pipelines (Bamagas Intrastate) L.L.C.

	6.
	100%
membership interest in Midcoast Holdings No. One, L.L.C.

	7.
	100%
membership interest in Enbridge Processing (Mississippi) L.L.C.

	8.
	99.999%
limited partnership interest in Enbridge Marketing (U.S.) L.P.

	9.
	100%
membership interest in Enbridge Pipelines (Alabama Gathering) L.L.C.

	10.
	100%
membership interest in Enbridge Pipelines (Midla) L.L.C.

	11.
	100%
membership interest in Enbridge Pipelines (AlaTenn) L.L.C.

	12.
	99.999%
limited partnership interest in Enbridge Pipelines (Texas Gathering) L.P.

	13.
	99.999%
limited partnership interest in Enbridge Pipelines (NE Texas) L.P.

	14.
	100%
membership interest in Mid Louisiana Gas Transmission, L.L.C.

	15.
	100%
membership interest in Midcoast Kansas Pipeline, L.L.C.

	16.
	100%
membership interest in Midcoast Kansas General Partner, L.L.C.

	17.
	99.999%
limited partnership interest in Enbridge Pipelines (Texas Intrastate) L.P. 

1

 

	18.
	99.999%
limited partnership interest in Enbridge Pipelines (East Texas) L.P. (Material Subsidiary)

	19.
	99.999%
limited partnership interest in Enbridge Processing (East Texas) L.P.

	20.
	99.999%
limited partnership interest in Enbridge Marketing (East Texas) L.P.

	21.
	100%
membership interest in Enbridge Pipelines (NE Texas Liquids) L.L.C.

	22.
	100%
membership interest in Enbridge Gathering (Texarkana) L.L.C.

	23.
	100%
membership interest in Enbridge Pipelines (Tennessee River) L.L.C. 

	F.
	Enbridge
Holdings (Texas Systems) L.L.C. owns the following interests:

	1.
	.001%
general partner interest in Dufour Petroleum, L.P.

	2.
	100%
membership interest in Enbridge Marketing (U.S.) L.L.C.

	3.
	.001%
general partner interest in Enbridge Pipelines (Texas Gathering) L.P.

	4.
	.001%
general partner interest in Enbridge Pipelines (NE Texas) L.P.

	5.
	.001%
general partner interest in Enbridge Offshore Pipelines (Seacrest) L.P.

	6.
	.001%
general partner interest in Enbridge Pipelines (Texas Intrastate) L.P.

	7.
	.001%
general partner interest in Enbridge Pipelines (East Texas) L.P. (Material Subsidiary)

	8.
	.001%
general partner interest in Enbridge Processing (East Texas) L.P.

	9.
	.001%
general partner interest in Enbridge Marketing (East Texas) L.P. 

	G.
	Enbridge
Marketing (U.S.) L.L.C. owns .001% general partner interest in Enbridge Marketing (U.S.) L.P.

	H.
	Midcoast
Holdings No. One, L.L.C. owns 100% membership interest in Enbridge Pipelines (Alabama Intrastate) L.L.C.

	I.
	Midcoast
Kansas Pipeline, L.L.C. owns the following interests:

	1.
	0.1%
partnership interest in Enbridge Pipelines (KPC)

	2.
	0.1%
partnership interest in Mid-Kansas Partnership

	3.
	50%
limited partner interest in Riverside Pipeline Company, L.P. 

	J.
	Midcoast
Kansas General Partner, L.L.C. owns the following interests:

	1.
	99.9%
partnership interest in Enbridge Pipelines (KPC)

	2.
	99.9%
partnership interest in Mid-Kansas Partnership

	3.
	50%
general partner interest in Riverside Pipeline Company, L.P. 

	K.
	Mid
Louisiana Gas Transmission, L.L.C. owns the following interests:

	1.
	99.999%
limited partner interest in Enbridge Offshore Pipelines (Seacrest) L.P.

	2.
	100%
membership interests in Enbridge Offshore Pipelines (UTOS) LLC

	3.
	100%
membership interest in Enbridge Pipelines (Louisiana Liquids) L.L.C.

	4.
	100%
membership interest in Enbridge Pipelines (SIGCO Intrastate) L.L.C.

	5.
	100%
membership interest in Enbridge Pipelines (Louisiana Intrastate) L.L.C. 

2

 

	L.
	Enbridge
Pipelines (Texas Intrastate) L.P. owns 70% membership interest in Pan Grande Pipeline, L.L.C.

	M.
	No
other Subsidiary of the Borrower owns any Subsidiaries, Material Subsidiaries or Unrestricted Subsidiaries 

Part(b). Other Equity Interests.  

        Enbridge Pipelines (Texas Intrastate) L.P. owns 50% membership interest in Texana Pipeline Company 

3

  

SCHEDULE 7.01  

 
 

EXISTING LIENS    
  

        None. 

1

  

SCHEDULE 7.03  

 
 

EXISTING INDEBTEDNESS    
  

(a)    Existing Indebtedness of the Borrower    

None.

(b)    Existing Indebtedness of Non-OLP Subsidiaries    

None. 

(c)    Existing Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries    

The
Mortgage Notes. 

The
Senior Unsecured Notes. 

1

  

SCHEDULE 10.02  

 
 

ADMINISTRATIVE AGENT'S OFFICE,
  CERTAIN ADDRESSES FOR NOTICES    
  

BORROWER  

	Enbridge Energy Partners, L.P.

1100 Louisiana, Suite 3300

Houston, TX 77002-5217
	Attention:	 	Chris Kaitson

Associate General Counsel
	Telephone:	 	(713) 650-8900
	Facsimile:	 	(713) 650-2232
	Electronic Mail:	 	Chris.Kaitson@enbridge-us.com
	
With a copy to:
	

Enbridge Energy Partners, L.P.

C/O Enbridge Inc.

3000, 425-1st

Calgary, Alberta, Canada

T2P 3L8
	Attention:	 	Al Monaco

Treasurer
	Telephone:	 	(403) 231-3900
	Facsimile:	 	(403) 231-4848
	Electronic Mail:	 	al.monaco@enbridge.com
	
BANK OF AMERICA, N.A.
	
Administrative Agent's Office and Bank of America's Lending Office

(for payments and Requests for Credit Extensions):
	

Bank of America, N.A.

1850 Gateway Blvd.

Mail Code: CA4-706-05-09

Concord, CA 94520
	Attention:	 	Elvira Sabio,

Agency Services
	Telephone:	 	(925) 675-8236
	Facsimile:	 	(888) 969-9240 (domestic)

(415) 343-9205 (international)
	Electronic Mail:	 	elvira.sabio@bankofamerica.com

1

 

	
Other Notices as Administrative Agent:
	

Bank of America, N.A.

Agency Management

1455 Market Street

Mail Code: CA5-701-05-19

San Francisco, CA 94103
	Attention:	 	Kevin Ahart

Agency Management Officer
	Telephone:	 	(415) 436-2750
	Facsimile:	 	(415) 503-5000
	Electronic Mail:	 	kevin.ahart@bankofamerica.com
	
L/C Issuer:
	

Bank of America, N.A.

Trade Operations-Los Angeles #22621

333 S. Beaudry Avenue, 19th Floor

Mail Code: CA9-703-19-23

Los Angeles, CA 90017-1466
	Attention:	 	Sandra Leon

Vice President
	Telephone:	 	(213) 345-5231
	Facsimile:	 	(213) 345-0265
	Electronic Mail:	 	sandra.leon@bankofamerica.com
	
Requests for Credit Extensions as a Lender:
	

Bank of America, N.A.

200 Front Street West

Toronto, ON, M5V 3L2
	Attention:	 	Teresa Tsui
	Telephone:	 	(416) 349-5390
	Facsimile:	 	(416) 349-4282
	Electronic Mail:	 	teresa.tsui@bankofamerica.com
	

Bank of America, N.A.

1850 Gateway Blvd.

Concord, CA 94520
	Attention:	 	Lila Rodriquez
	Telephone:	 	(925) 675-8029
	Facsimile:	 	(925) 675-8051 or 8053
	Electronic Mail:	 	lila.c.rodriquez@bankofamerica.com
	
Other Notices as a Lender:
	

Bank of America, N.A.

901 Main Street, 64th Floor

Dallas, TX 75202-3714
	Attention:	 	Jeff Susman

Managing Director
	Telephone:	 	(214) 209-0964
	Facsimile:	 	(214) 209-0905
	Electronic Mail:	 	jeff.susman@bankofamerica.com

2

  

EXHIBIT A  

 
  FORM OF LOAN NOTICE    
  

        Date:                         ,
             

To:
Bank of America, N.A., as Administrative Agent 

Ladies
and Gentlemen: 

        Reference
is made to that certain Amended and Restated Credit Agreement, dated as of January 24, 2003 (as amended, restated, extended, supplemented or otherwise modified in
writing from time to time, the "Agreement;" the terms defined therein being used herein as therein defined), among Enbridge Energy Partners, L.P., (the
"Borrower"), the Lenders from time to time party thereto, and Bank of America, N.A., as Administrative Agent and L/C Issuer. 

        The
undersigned hereby requests (select one): 

        o    A
Borrowing of Loans                o    A conversion or continuation
of Loans 

        1.    On
                                         
                                (a Business Day).
 

        2.    In
the amount of
$                                         
       . 

        3.    Comprised
of
                                         
       .

                                        Type of
Loan requested 

        4.    For
Eurodollar Rate Loans: with an Interest Period of              months. 

        The
Borrowing requested herein complies with the proviso to the first sentence of Section 2.01 of the Agreement. 

	 	 	BORROWER
	 	 	 	 
	 	 	 	 
	 	 	By:	 
	 	 	 	

	 	 	Name:	 
	 	 	 	

	 	 	Title:	 
	 	 	 	

A-1

  

EXHIBIT B  

 
 

FORM OF LOAN NOTE    
  

	 	 	 	 	 	 	

	$	 	    
	 	 	 	    

        FOR
VALUE RECEIVED, the undersigned (the "Borrower"), hereby promises to pay to the order of
                                    
(the "Lender"), on the Maturity Date (as defined in the Credit Agreement referred to below) the principal amount of
                                     Dollars
($                                    ), or such lesser
principal amount of Loans (as defined in such Credit Agreement) due and payable by
the Borrower to the Lender on the Maturity Date under that certain Amended and Restated Credit Agreement, dated as of January 24, 2003 (as amended, restated, extended, supplemented or otherwise
modified in writing from time to time, the "Credit Agreement;" the terms defined therein being used herein as therein defined), among the Borrower, the
Lenders from time to time party thereto, and Bank of America, N.A., as Administrative Agent, and L/C Issuer. 

        The
Borrower promises to pay interest on the unpaid principal amount of each Loan from the date of such Loan until such principal amount is paid in full, at such interest rates, and at
such times as are specified in the Agreement. All payments of principal and interest shall be made to the Administrative Agent for the account of the Lender in Dollars in immediately available funds
at the Administrative Agent's Office. If any amount is not paid in full when due hereunder, such unpaid amount shall bear
interest, to be paid upon demand, from the due date thereof until the date of actual payment (and before as well as after judgment) computed at the per annum rate set forth in the Agreement. 

        This
Note is one of the Notes referred to in the Agreement, is entitled to the benefits thereof and is subject to optional prepayment in whole or in part as provided therein. During the
continuance of one or more of the Events of Default specified in the Agreement, all amounts then remaining unpaid on this Note shall become, or may be declared to be, immediately due and payable all
as provided in the Agreement. Loans made by the Lender shall be evidenced by one or more loan accounts or records maintained by the Lender in the ordinary course of business. The Lender may also
attach schedules to this Note and endorse thereon the date, amount and maturity of its Loans and payments with respect thereto. 

        The
Borrower, for itself, its successors and assigns, hereby waives diligence, presentment, protest and demand and notice of protest, demand, dishonor and non-payment of this
Note. 

        THIS
NOTE SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 

	 	 	BORROWER
	

 	
 	

 	
 	

 
	 	 	By:	 	    

	 	 	Name:	 	    

	 	 	Title:	 	    

B-1

 
LOANS AND PAYMENTS WITH RESPECT THERETO  

	Date
 
	 	Type of

Loan Made
	 	Amount of

Loan Made
	 	End of

Interest

Period
	 	Amount of

Principal or

Interest Paid

This Date
	 	Outstanding

Principal Balance

This Date
	 	Notation

Made By

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

B-2

  

EXHIBIT C  

 
 

FORM OF COMPLIANCE CERTIFICATE    
  

Financial
Statement Date:                         ,             

To:        Bank
of America, N.A., as Administrative Agent 

Ladies
and Gentlemen: 

        Reference
is made to that certain Amended and Restated Credit Agreement, dated as of January 24, 2003 (as amended, restated, extended, supplemented or otherwise modified in
writing from time to time, the "Agreement;" the terms defined therein being used herein as therein defined), among Enbridge Energy Partners, L.P. (the
"Borrower"), the Lenders from time to time party thereto, and Bank of America, N.A., as Administrative Agent, and L/C Issuer. 

        The
undersigned Responsible Officer hereby certifies as of the date hereof that he/she is the
                                         
        of the Borrower, and that, as
such, he/she is authorized to execute and deliver this Certificate to the Administrative Agent on the behalf of the Borrower, and that: 

Use following for fiscal year-end financial statements

        1.    Attached
hereto as Schedule 1 are year-end financial statements for the Borrower and its Subsidiaries required by  Section 6.01(a) and attached hereto as Schedule 1a are the year-end financial
statements adjusted to exclude the assets and
operations of Unrestricted Subsidiaries which financial statements fairly present the financial conditions, results of operations and cash flows of the Borrower and its Subsidiaries in accordance with
GAAP as at such date for such period, subject only to the absence of footnotes. 

Use following for fiscal quarter-end financial statements

        1.    Attached
hereto as Schedule 1 are the unaudited financial statements required by Section 6.01(b) for the
fiscal quarter of                          ended as of the above date and attached hereto as Schedule 1a are the
unaudited financial statements for the fiscal quarter of
             ended as of the above date adjusted to exclude the assets and operations of Unrestricted Subsidiaries. Such financial statements fairly present the
financial condition, results of operations and cash flows of the Borrower and its Subsidiaries in accordance with GAAP as at such date and for such period, subject only to normal year-end
audit adjustments and the absence of footnotes. 

        2.    The
undersigned has reviewed and is familiar with the terms of the Agreement and has made, or has caused to be made under his/her supervision, a reasonable review of the
transactions and condition (financial or otherwise) of the Borrower and its Subsidiaries and Unrestricted Subsidiaries during the accounting period covered by the attached financial statements. 

        3.    A
review of the activities of the Borrower and its Subsidiaries and Unrestricted Subsidiaries during such fiscal period has been made under the supervision of the
undersigned with a view to determining whether during such fiscal period the Borrower and each of its Subsidiaries and Unrestricted Subsidiaries performed and observed all its Obligations under the
Loan Documents, and 

select one:  

        to the best knowledge of the undersigned during such fiscal period, the Borrower and each of its Subsidiaries performed and observed each covenant and condition
of the Loan Documents applicable to it. 

—or—  

C-1

 

        to the best knowledge of the undersigned the following covenants or conditions have not been performed or observed and the following is a list of each such
Default or Event of Default and its nature and status: 

        4.    The
financial covenant analyses, and information set forth on Schedule 2 attached hereto are true and accurate on
and as of the date of this Certificate. 

        IN WITNESS WHEREOF, the undersigned has executed this Certificate as of
                        ,            . 

	 	 	BORROWER
	

 	
 	

By:	
 	

 
	 	 	 	 	

	 	 	Name:	 	 
	 	 	 	 	

	 	 	Title:	 	 
	 	 	 	 	

C-2

 
        For the Quarter/Year ended                        
("Statement Date") 

 
 

SCHEDULE 2
  to the Compliance Certificate
  ($ in 000's)    

Section 7.13—Leverage Ratio.  

	A.	 	Pro Forma EBITDA for Subject Period	 	 	 	$	 
	 	 	(calculate by adding lines 1 through 7 below)	 	 	 	 	 
	

 	
 	

1.	
 	

Consolidated Net Income	
 	

 	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

Indicate Consolidated Net Income of Excluded Subsidiaries

(to be excluded from line 1)	
$	

 	
 	
 	

 
	

 	
 	

2.	
 	

Interest expense	
 	

 	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

Indicate interest expense of Excluded Subsidiaries

(to be excluded from line 2)	
$	

 	
 	
 	

 
	

 	
 	

3.	
 	

Income taxes	
 	

 	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

Indicate income taxes of Excluded Subsidiaries

(to be excluded from line 3)	
$	

 	
 	
 	

 
	

 	
 	

4.	
 	

Depreciation	
 	

 	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

Indicated depreciation of Excluded Subsidiaries

(to be excluded from line 4)	
$	

 	
 	
 	

 
	

 	
 	

5.	
 	

Amortization	
 	

 	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

Indicated amortization of Excluded Subsidiaries

(to be excluded from line 5)	
$	

 	
 	
 	

 
	

 	
 	

6.	
 	

Total AFUDC (not to exceed 5% of Consolidated EBITDA)	
 	
$	

 
	

 	
 	

7.	
 	

Pro forma adjustment for acquisitions during Subject Period	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

Identify acquisition and indicate Incremental	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

EBITDA	
$	

 	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

Identify acquisition and indicate Incremental	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

EBITDA	
$	

 	
 	
 	

 
	
B.	
 	

Consolidated Funded Debt at Statement Date:	
 	

 	
 	
$	

 
	
C.	
 	

Leverage Ratio (Line A ÷ Line B):	
 	

 	
 	
 	

to 1.00

Maximum permitted:  

	Fiscal Quarters Ending
 
	 	Maximum Leverage Ratio

	Closing Date through June 30, 2003	 	5.00:1.00
	Thereafter	 	4.75:1.00

C-3

 

Section 7.14—Interest Coverage Ratio.  

	A.	 	Pro Forma EBITDA for Subject Period (line A under the heading

"Section 7.13—Leverage Ratio"):	 	$	 
	

B.	
 	

Consolidated Interest Charges for Subject Period:	
 	
 	

 	
 	
 	

 
	

 	
 	

1.	
 	

Consolidated Interest Charges prior to pro forma adjustments:	
 	
$	

 
	

 	
 	

Interest expense on Consolidated Funded Debt:	
 	
$	

 	
 	
 	

 
	

 	
 	

Interest expense on Qualifying Subordinated Indebtedness paid in cash:	
 	
$	

 	
 	
 	

 
	

 	
 	

2.	
 	

Pro forma adjustments (See table below):	
 	
$	

 	
 	
 	

 
	

 	
 	

3.	
 	

Consolidated Interest Charges after pro forma adjustments

(line B.1 adjusted by line B.2):	
 	
$	

 
	

 	
 	

Interest expense on Consolidated Funded Debt:	
 	
$	

 	
 	
 	

 
	

 	
 	

Interest expense on Qualifying Subordinated	
 	
 	

 	
 	
 	

 
	 	 	Indebtedness paid in cash:	 	$	 	 	 	 
	

C.	
 	

Interest Coverage Ratio (Line A ÷ Line B.3):	
 	
 	

 	
 	
 	

to 1.00

        Minimum permitted:    2.75 to 1:00 

        Description
of pro forma adjustments to Consolidated Interest Charges: 

	 
	 	Principal Amount
	 	Annual

Interest Rate
	 	Pro Forma

Adjustment

	Indebtedness assumed with acquisition	 	$	 	 	      	%	$	 
	

Additional Indebtedness associated with acquisition	
 	
$	

 	
 	

      	
%	
$	

 
	

Total pro forma adjustments (Insert in B2 above)	
 	
 	

 	
 	

 	
 	
$	

 

C-4

 
        Quarter-end
date:            

Section 7.03 (Indebtedness of Subsidiaries)  

	A.	 	Indebtedness of Non-OLP Subsidiaries
	

 	
 	

1.	
 	

For each incurrence of Indebtedness pursuant to Section 7.03(b)(ii) during the subject quarter, provide the following information:
	

 	
 	

 	
 	

(a)	
 	

Date of incurrence,	
 	
 	

 
	

 	
 	

 	
 	

(b)	
 	

Principal amount of Indebtedness assumed, and	
 	
 	

 
	

 	
 	

 	
 	

(c)	
 	

Specify to whom the Indebtedness is owed.	
 	
 	

 
	

 	
 	

2.	
 	

For each incurrence of Indebtedness pursuant to Section 7.03(b)(iii) or (iv) during the subject quarter, please provide the following
information:
	

 	
 	

 	
 	

(a)	
 	

Date of incurrence,	
 	
 	

 
	

 	
 	

 	
 	

(b)	
 	

Principal amount of Indebtedness incurred,	
 	
 	

 
	

 	
 	

 	
 	

(c)	
 	

Specify to whom the indebtedness is owed.	
 	
 	

 
	

 	
 	

3.	
 	

Calculate aggregate amount of Indebtedness outstanding as of the Statement Date for the Non-OLP Subsidiaries:
	

 	
 	

 	
 	

(a)	
 	

Total amount of Indebtedness outstanding for the Non-OLP Subsidiaries other than Indebtedness attributable to Excess Swap Termination Value:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Ratable Share of Excess Swap Termination

Value (line C.3(c)):	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Total (Line A.3(a) plus Line A.3(b)):	
 	
$	

 
	

 	
 	

4.	
 	

Demonstrate compliance with Section 7.15:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

Non-OLP Pro Forma EBITDA:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Calculate Non-OLP Indebtedness Limitation

(.5 times Non-OLP Pro Forma EBITDA (line A.4(a))	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Is the aggregate amount of Indebtedness outstanding for the Non-OLP Subsidiaries (line A.3(c)) greater than the Non-OLP Indebtedness Limitation (line A.4(b))?	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

 	
 	

        Yes    o	
 	
 	

 
	 	 	 	 	 	 	 	 	        No     o	 	 	 
	

 	
 	

 	
 	

(d)	
 	

If yes, please answer the following:	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

(i)	
 	

State the amount of excess Indebtedness:	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

(ii)	
 	

How much of the excess Indebtedness is attributable to Excess Swap Termination Value?	
 	
$	

 
	
 	
 	

 	
 	

 	
 	

 	
 	

 	
 	
 	

 

C-5

 

	

 	
 	

 	
 	

 	
 	

(iii)	
 	

Specify in reasonable detail method and timing of cure of such excess Indebtedness pursuant to Section 7.15:	
 	
 	

 
	
B.	
 	

Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries
	

 	
 	

1.	
 	

For each incurrence of Indebtedness pursuant to Section 7.03(c)(ii) or (iii) during the subject quarter, provide the following
information:
	

 	
 	

 	
 	

(a)	
 	

Date of incurrence,	
 	
 	

 
	

 	
 	

 	
 	

(b)	
 	

Principal amount of Indebtedness incurred, and	
 	
 	

 
	

 	
 	

 	
 	

(c)	
 	

Specify to whom the Indebtedness is owed.	
 	
 	

 
	

 	
 	

2.	
 	

Calculate aggregate amount of Indebtedness outstanding for the Operating Partnership and the Operating Partnership Subsidiaries:
	

 	
 	

 	
 	

(a)	
 	

Total amount of Indebtedness outstanding for the Operating Partnership and the Operating Partnership Subsidiaries other than Indebtedness attributable to Excess Swap Termination Value:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Excess Swap Termination Value (line C.3(b)):	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Total (line B.2(a) plus Line B.2(b)):	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

 	
 	
TOTAL:	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

	

 	
 	

3.	
 	

Demonstrate compliance with Section 7.16:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

State the outstanding consolidated capitalization of the Operating Partnership and the Operating Partnership Subsidiaries:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Calculate the OLP Indebtedness Limitation (.60 times the outstanding consolidated capitalization of the Operating Partnership and the Operating Partnership Subsidiaries (line B.3(a)):	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Is the aggregate amount of Indebtedness outstanding for the Operating Partnership and the Operating Partnership Subsidiaries (line B.2(c)) greater than the OLP Indebtedness Limitation (line B.3(b))?
	

 	
 	

 	
 	

 	
 	

 	
 	

        Yes    o	
 	
 	

 
	 	 	 	 	 	 	 	 	        No     o	 	 	 
	

 	
 	

 	
 	

(d)	
 	

If yes, please answer the following:	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

(i)	
 	

State the amount of excess Indebtedness:	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

(ii)	
 	

How much of the excess Indebtedness is attributable to Excess Swap Termination Value?	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

(iii)	
 	

Specify in reasonable detail the method and timing of cure of such excess Indebtedness pursuant to Section 7.16:	
 	
 	

 
	
C.	
 	

Excess Swap Termination Value
	

 	
 	

1.	
 	

State net amount of all mark-to-market obligations of all Swap Contracts to which a Subsidiary of the Borrower is obligated as a counterparty or a guarantor:	
 	
$	

 
	

 	
 	

 	
 	

(A negative number indicates a net aggregate amount owed by Subsidiaries; a positive number indicates a net aggregate amount owed to Subsidiaries)
	
 	
 	

 
	

 	
 	

2.	
 	

Is line C.1 less than negative $150,000,000?	
 	
 	

 
	
 	
 	

 	
 	

 	
 	

 	
 	

 	
 	
 	

 

C-6

 

	

 	
 	

 	
 	

 	
 	

 	
 	

        Yes    o	
 	
 	

 
	 	 	 	 	 	 	 	 	        No     o	 	 	 
	

 	
 	

3.	
 	

If yes, calculate the Ratable Share of the amount less than negative $150,000,000:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

State aggregate Swap Termination Value of all Swap Obligations and Guarantee Obligations of Swap Obligations of the Non-OLP Subsidiaries:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

State aggregate Swap Termination Value of all Swap Obligations and Guarantee Obligations of Swap Obligations of the Operating Partnership and the Operating Partnership Subsidiaries:	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

The Ratable Share of Excess Termination Value of the Non-OLP Subsidiaries ((line C.3(a) divided by line C.1) times the amount less than negative
$150,000,000):	
 	
$	

 
	

 	
 	

 	
 	

(d)	
 	

The Ratable Share of Excess Termination Value of the Operating Partnership and Operating Partnership Subsidiaries ((line C.3(b) divided by line C.1) times the amount less than negative $150,000,000):	
 	
$	

 

C-7

  

EXHIBIT D  

 
 

FORM OF ASSIGNMENT AND ACCEPTANCE AGREEMENT    
  

        This Assignment and Acceptance Agreement (this "Assignment") is dated as of the Effective Date set forth below and
is entered into by and between [Insert name of Assignor] (the "Assignor") and
[Insert name of Assignee] (the "Assignee"). Capitalized terms used but not
defined herein shall have the meanings given to them in the Amended and Restated Credit Agreement identified below (the "Credit Agreement"), receipt of
a copy of which is hereby acknowledged by the Assignee. The Standard Terms and Conditions set forth in Annex 1 attached hereto are hereby agreed to and incorporated herein by reference and made a part
of this Assignment as if set forth herein in full. 

        For
an agreed consideration, the Assignor hereby irrevocably sells and assigns to the Assignee, and the Assignee hereby irrevocably purchases and assumes from the Assignor, subject to
and in accordance with the Standard Terms and Conditions and the Credit Agreement, as of the Effective Date inserted by the Administrative Agent as contemplated below, the interest in and to all of
the Assignor's rights and obligations under the Credit Agreement and any other documents or instruments delivered pursuant thereto that represents the amount and percentage interest identified below
of all of the Assignor's outstanding rights and obligations under the respective facilities identified below (including, to the extent included in any such facilities, Letters of Credit) (the
"Assigned Interest"). Such sale and assignment is without recourse to the Assignor and, except as expressly provided in this Assignment, without
representation or warranty by the Assignor. 

	1.
	Assignor:
                                         
       

	2.
	Assignee:
                                         
        [and is an Affiliate/Approved Fund(1)]

	3.
	Borrower:
Enbridge Energy Partners, L.P.

	4.
	Administrative
Agent: Bank of America, N.A., as the administrative agent under the 364-Day Credit Agreement

	5.
	Credit
Agreement: The Amended and Restated Credit Agreement, dated as of January 24, 2003, among the Lenders parties thereto and Bank of America, N.A., as Administrative Agent 

	(1)
	Select
as applicable. 

D-1

 
	6.
	Assigned
Interest: 

	Aggregate

Amount of

Commitment/Loans

for all Lenders
	 	Amount of

Commitment/Loans

Assigned
	 	Percentage

Assigned of

Commitment/Loans(2)
	 
	$	            	 	$	            	 	      	%
	$	            	 	$	            	 	      	%
	$	            	 	$	            	 	      	%

Effective
Date:                         , 20     [TO BE INSERTED BY ADMINISTRATIVE AGENT AND WHICH SHALL
BE THE EFFECTIVE DATE OF
RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.] 

        The
terms set forth in this Assignment are hereby agreed to: 

	 	 	ASSIGNOR
	

 	
 	

[NAME OF ASSIGNOR]
	 	 	By:	 
	 	 	 	
        Title:
	

 	
 	
ASSIGNEE
	

 	
 	

[NAME OF ASSIGNEE]
	

 	
 	

By:	

 
	

 	
 	

 	

        Title:

[Consented to and](3) Accepted: 

BANK
OF AMERICA, N.A., as

    Administrative Agent 

	By:	 	 	 
	 	
 Title:	 	 
	

[Consented to:](4)	
 	

 
	

By:	

 	
 	

 
	 	
 Title:

	 	 

	(2)
	Set
forth, to at least 9 decimals, as a percentage of the Commitment/Loans of all Lenders thereunder.

	(3)
	To
be added only if the consent of the Administrative Agent is required by the terms of the Credit Agreement.

	(4)
	To
be added only if the consent of the Borrower and/or other parties (e.g., L/C Issuer) is requird by the terms of the Credit
Agreement. 

D-2

 
 
 

ANNEX 1 TO ASSIGNMENT AND ACCEPTANCE AGREEMENT    
  
  
    
[                        ](5)    
  
  
    STANDARD TERMS AND CONDITIONS FOR ASSIGNMENT
  AND ACCEPTANCE
AGREEMENT    

        1.    Representations and Warranties.    

        1.1.    Assignor.    The Assignor (a) represents and warrants that (i) it is the legal and beneficial
owner of the Assigned Interest, (ii) the Assigned Interest is free and clear of any lien, encumbrance or other adverse claim and (iii) it has full power and authority, and has taken all
action necessary, to execute and deliver this Assignment and to consummate the transactions contemplated hereby; and (b) assumes no responsibility with respect to (i) any statements,
warranties or representations made in or in connection with any Credit Document, (ii) the execution, legality, validity, enforceability, genuineness, sufficiency or value of the Credit
Agreement or any other instrument or document delivered pursuant thereto, other than this Assignment (herein collectively the "Credit Documents"), or
any collateral thereunder, (iii) the financial condition of the Borrower, any of its Subsidiaries or, as applicable, Unrestricted Subsidiaries or Affiliates or any other Person obligated in
respect of any Credit Document or (iv) the performance or observance by the Borrower, any of its Subsidiaries or, as applicable, Unrestricted Subsidiaries or Affiliates or any other Person of
any of their respective obligations under any Credit Document. 

        1.2.    Assignee.    The Assignee (a) represents and warrants that (i) it has full power and authority,
and has taken all action necessary, to execute and deliver this Assignment and to consummate the transactions contemplated hereby and to become a Lender under the Credit Agreement, (ii) it
meets all requirements of an Eligible Assignee under the Credit Agreement, (iii) from and after the Effective Date, it shall be bound by the provisions of the Credit Agreement and, to the
extent of the Assigned Interest, shall have the obligations of a Lender thereunder, (iv) it has received a copy of the Credit Agreement, together with copies of the most recent financial
statements delivered pursuant to Section 6.01 thereof, as applicable, and such other documents and information as it has deemed appropriate to
make its own credit analysis and decision to enter into this Assignment and to purchase the Assigned Interest on the basis of which it has made such analysis and decision, and (v) if it is a
Foreign Lender, attached hereto is any documentation required to be delivered by it pursuant to the terms of the Credit Agreement, duly completed and executed by the Assignee; and (b) agrees
that (i) it will, independently and without reliance on the Administrative Agent, the Assignor or any other Lender, and based on such documents and information as it shall deem appropriate at
the time, continue to make its own credit decisions in taking or not taking action under the Credit Documents, and (ii) it will perform in accordance with their terms all of the obligations
which by the terms of the Credit Documents are required to be performed by it as a Lender. 

        1.3    Assignee's Address for Notices, etc.    Attached hereto as Schedule 1 is all contact information,
address, account and other administrative information relating to the Assignee. 

	(5)
	Describe
Credit Agreement at option of Administrative Agent. 

D-3

 

        2.    Payments.    From and after the Effective Date, the Administrative Agent shall make all payments in respect of
the Assigned interest (including payments of principal, interest, fees and other amounts) to the Assignee whether such amounts have accrued prior to or on or after the Effective Date. The Assignor and
the Assignee shall make all appropriate adjustments in payments by the Administrative Agent for periods prior to the Effective Date or with respect to the making of this assignment directly between
themselves. 

        3.    General Provisions.    This Assignment shall be binding upon, and inure to the benefit of, the parties hereto
and their respective successors and assigns. This Assignment may be executed in any number of counterparts, which together shall constitute one instrument. Delivery of an executed counterpart of a
signature page of this Assignment by telecopy shall be effective as delivery of a manually executed counterpart of this Assignment. This Assignment shall be governed by, and construed in accordance
with, the law of the State of New York. 

D-4

 
 
 

SCHEDULE 1 TO ASSIGNMENT AND ACCEPTANCE AGREEMENT    
    
    ADMINISTRATIVE DETAILS    
  

(Assignee to list names of credit contacts, addresses, phone and facsimile numbers, electronic mail addresses and account and payment information)

D-5

  

[Letterhead of Borrower's Counsel] 

EXHIBIT E  

 
  FORM OF OPINION OF COUNSEL    
  

January 24,
2003 

Each
of the Lenders under the

    Credit Agreement, including those

    Lenders listed in Schedule A hereto 

Bank
of America, N.A.,

    as Administrative Agent for such Lenders 

Ladies
and Gentlemen: 

        We
have acted as counsel for Enbridge Energy Partners, L.P., a Delaware limited partnership (the "MLP"), in connection with its execution
and delivery today of (i) the Amended and Restated Credit Agreement dated as of January 24, 2003 (the "Credit Agreement"), by and among
the MLP, the lenders from time to time parties thereto (the "Lenders"), and Bank of America, N.A., as administrative agent
(in such capacity, the "Administrative Agent") and (ii) the promissory notes of even date herewith delivered pursuant to the Credit Agreement
(the "Notes"). Capitalized terms used and not defined herein have the meanings assigned in the Credit Agreement. The opinions expressed herein are being
furnished to you pursuant to Section 4.01(a)(vii) of the Credit Agreement. 

        In
rendering the opinions expressed herein, we have (i) examined the Credit Agreement and the Notes (collectively, the "Financing
Documents"), partnership records of the MLP, certificates of representatives of the MLP, certificates and other communications of public officials and such other instruments,
agreements and documents as are in our judgment necessary to enable us to render the opinions expressed herein, and (ii) as to questions of fact material to the opinions expressed herein, and
as to factual matters arising in connection with our examination of the aforesaid materials, relied, to the extent we deemed appropriate, upon the factual representations and warranties contained in
the Financing Documents, upon such certificates, communications, instruments, agreements and documents and certain facts stated elsewhere herein. 

        In
making such examination and in such reliance, we have assumed the authenticity and completeness of all records, certificates, instruments, agreements and other documents submitted to
us as originals, the conformity to authentic originals, records, certificates, instruments, agreements and other documents of all copies submitted to us as copies, and the authenticity of the
originals of such latter records, certificates, instruments, agreements and other documents. In addition, we have assumed the legal capacity of each natural person identified in, or indicated as
having executed, any of those records, certificates, instruments, agreements and other documents and the genuineness of all signatures on all such records, certificates, instruments, agreements and
other documents. 

        In
rendering the opinions expressed herein, we also have assumed the following: 

        (i)    each
Person a party to any Financing Document other than the MLP (each such Person other than the MLP, an "Other Party")
(a) has been duly organized or formed (as applicable), (b) is validly existing and in good standing under the laws of its jurisdiction of incorporation or formation, as applicable, and
(c) has the corporate or equivalent power and authority to execute and deliver, and to perform its obligations under, each of the Financing Documents in which such Person is identified as a
party; 

E-1

 

        (ii)  the
execution and delivery of each of the Financing Documents by each Other Party, and the performance of its obligations thereunder, have been duly authorized by all
necessary corporate or equivalent action on the part of such Person; 

        (iii)  each
Other Party has duly executed and delivered each of the Financing Documents in which such Person is identified as a party; 

        (iv)  each
Person a party to any Financing Document has (a) satisfied each legal requirement that is applicable to such Person to the extent necessary to make such
Financing Document enforceable against such Person and (b) complied with any other legal requirements pertaining to the status of such Person as such status relates to the rights of such Person
to perform or enforce (as applicable) such Financing Document against each other Person that is a party to such Financing Document; 

        (v)  no
order, consent, approval, license, authorization, waiver or validation of, or filing, recording or registration with, or notice to, or exemption by, any court,
governmental body or authority, or any subdivision thereof, is required to authorize or is required in connection with, the execution and delivery by any Person identified in any Financing Document as
a party thereto, or in connection with the performance of its obligations thereunder or the consummation of the transactions contemplated thereby, other than those that have been obtained or made and
are in full force and effect (provided, that we make no such assumption with respect to consents, approvals and the like applicable to the MLP to the
extent that we express our opinion rendered in paragraph 6 below); 

        (vi)  each
of the Financing Documents is the legal, valid and binding obligation of each Other Party thereto, enforceable against such Other Party in accordance with its
terms; and 

        (vii) Administrative
Agent has been and is the duly appointed agent of each of Lenders (the AdministrativeAgent and Lenders, collectively, the
"Financing Parties"). 

        Based
upon the foregoing and in the reliance thereon, and subject to and qualified by the assumptions, qualifications, limitations and exceptions set forth herein, and having due regard
for such legal considerations as we deem relevant, we are of the opinion that: 

        1.    The
MLP is a limited partnership validly existing in good standing under the Delaware Revised Uniform Limited Partnership Act (6 Del.C  §§ 17-101, et seq.) (the "LP Act"). The MLP
is authorized to transact business in the State of Texas. 

        2.    The
execution and delivery by the MLP of each Financing Document to which it is a party, and the performance by the MLP of its obligations thereunder, are within its
limited partnership power and authority and have been duly authorized by all necessary limited partnership action. 

        3.    Each
Financing Document to which the MLP is a party has been duly executed and delivered by it. 

        4.    Under
the internal laws of the State of New York, each of the Financing Documents to which the MLP is a party is a valid and binding obligation of the MLP, enforceable
against the MLP in accordance with its terms. 

        5.    Neither
the execution and delivery by the MLP of any Financing Document to which it is a party, nor the performance of its obligations thereunder, will (i) result
in a violation by it of (a) any statutory law or regulation applicable to the MLP, or (b) the certificate of limited partnership or agreement of limited partnership of the MLP or
(ii) result in a breach of, or constitute a default under, the terms of any agreement or instrument binding on the MLP which is filed as an exhibit to the MLP's Annual Report on
Form 10-K for the year ended December 31, 

E-2

 

2001 or to the MLP's Forms 10-Q for the respective quarters ending March 30, 2002, June 30, 2002 and September 30, 2002. 

        6.    No
consent, approval, authorization or waiver of, or notice to or filing with, or other action by, any governmental authority is required to be obtained or made by the
MLP by any material statutory law or regulation applicable to the MLP as a condition to the execution and delivery by the MLP of any Financing Document to which it is expressed to be a party, or the
performance by the MLP of its obligations under any Financing Document to which it is a party. 

        7.    The
MLP is not (i) an "investment company" or a company "controlled" by an "investment company," as such terms are defined in the Investment Company Act of 1940,
as amended, or (ii), other than with respect to Enbridge Inc., a "holding company", or a "subsidiary company" of a "holding company", or an "affiliate" of a "holding company" or of a
"subsidiary" of a "holding company", as such terms are defined in the Public Utility Holding Company Act of 1935, as amended. 

        8.    Assuming
the Borrower complies with the provisions of the Credit Agreement relating to the use of proceeds thereunder (whether or not therein stated as a covenant), the
use by it of proceeds from the Loans will not result in a violation of Regulation U of the Board of Governors of the Federal Reserve System. 

        The
foregoing opinions expressed herein are further subject to, and qualified by, the following assumptions, exceptions, qualifications and limitations: 

        A.    The
opinions expressed herein are limited exclusively to the laws of the State of New York, the LP Act and the federal statutory laws and regulations of the United States
of America. In respect to such laws, in addition to other limitations set forth herein, such reference is limited to laws that are normally applicable to the transactions provided for in the Financing
Documents, and, in any event and without limitation, does not include statutes, laws, rules or regulations relating to (i) the operation of any asset or property, (ii) utility
regulation, (iii) antitrust, (iv) taxation or (v) securities law, or the construction or
interpretations of any of the foregoing, or authorizations, permits, consents and the like with respect thereto. Reference herein to the "internal laws" of a jurisdiction is to the laws of that
jurisdiction, other than (x) that jurisdiction's choice-of-law statutes and rules, (y) the statutes and ordinances, the administrative decisions, and the rules
and regulations of counties, towns, municipalities and political subdivisions (whether created or enabled through legislative action at the federal, state, regional or local level), and
(z) judicial decisions to the extent they deal with any of the foregoing. 

        B.    The
opinions expressed in paragraph 4 hereof are further subject to the following: 

        (i)    The
enforceability of the Financing Documents, and to the extent applicable, the Liens created thereby, may be limited or affected by (a) bankruptcy, insolvency,
reorganization, moratorium, liquidation, rearrangement, conservatorship, receivership, fraudulent conveyance or transfer or similar laws (including court decisions) relating to or affecting the rights
and remedies of creditors generally or providing for the relief of debtors, (b) general principles of equity, including, without limitation, requirements of good faith, fairness and
reasonableness, and the possible unavailability of specific performance or injunctive relief (regardless of whether enforceability is considered in a proceeding in equity or at law), (c) the
refusal of a particular court to grant (1) equitable remedies, including, without limitation, specific performance and injunctive relief, or (2) a particular remedy sought by Lender
under any Financing Document as opposed to another remedy provided for therein or another remedy available at law or in equity and (d) judicial discretion. 

E-3

 

        (ii)  In
rendering the opinions expressed in paragraph 4 (such opinions expressed in such paragraphs, the "Remedies
Opinions"), we express no opinion as to the validity or enforceability of any provision of any Credit Document that: 

        (1)  purports
to (i) establish evidentiary standards or characterizations, treatments or effects of payments or rights, in each case made or existing under, or in
connection with, any Financing Document, (ii) waive or otherwise affect any right, warranty or defense that cannot be waived or otherwise affected as a matter of law, (iii) negate the
effect of any course of dealing or any exercise, or failure or delay to exercise, any right, power, privilege or remedy, (iv) relate to indemnities, exculpation or contribution to the extent
prohibited by public policy or require indemnification or contribution (as applicable) for liability on account of fraud, negligence, gross negligence, willful misconduct, breach of the performance of
an agreed undertaking, violation of law or illegal conduct (or the public policy underlying such action or conduct) of any Person seeking or asserting the benefit of such indemnity, exculpation of
contribution provision, (v) limit liability of any Person to claims for gross negligence or willful misconduct, (vi) grant to any Person the right to offset special deposits against
obligations owed under the Financing Documents, (vii) authorize conclusive determinations by any party or to permit a party to make determinations in its sole discretion, or
(viii) restrict access to legal or equitable remedies; 

        (2)  states
that (i) prohibition, illegality, invalidity or unenforceability of any provision of such Financing Document in any jurisdiction shall not
(a) invalidate the remaining provisions of such Financing Document or (b) affect that provision in any other jurisdiction, or (ii) the right of any Person to exercise any right or
remedy on the basis of any misrepresentation or breach of warranty is not affected by any action by Lender; 

        (3)  constitutes
a submission to or acceptance of the jurisdiction of, or permits an action against any Person to be brought, or waives any objection to the laying of venue
or choice of forum in such an action, in, the courts of any jurisdiction, other than the courts of the State of New York or the federal courts of the United States of America sitting in the State of
New York; 

        (4)  permits
an action against any Person to be brought in the courts of the State of New York (i) if such Person has not been served with process in that action in
accordance with applicable rules of procedure or (ii) if the court in which the action is brought does not have jurisdiction of the subject matter of the action; 

        (5)  permits
an action against any Person to be brought in the federal courts of the United States of America sitting in the State of New York (i) if such Person has
not been served with process in accordance with applicable rules of procedure or (ii) if those courts do not have jurisdiction in the subject matter of the action; 

        (6)  requires
the reimbursement to any Person whose breach of a recognizable standard of performance or care in acting or failing timely or otherwise properly to act
substantially contributed to the basis for which such reimbursement is sought; or 

        (7)  provides
for the enforcement in any jurisdiction of a judgment of the courts of another jurisdiction. 

        (iii)  We
have assumed that each Financing Party will act reasonably and in good faith in performing its duties, and in exercising its rights and remedies, under the
Financing Documents. In this regard, we note that the enforceability of specific provisions of the Financing Documents may be subject to standards of reasonableness, care and diligence and "good
faith" limitations and obligations such as those provided in Sections 1-102(3), 1-203, 

E-4

 

1-208 and 5-109 of the Uniform Commercial Code as in effect in the State of New York and similar applicable principles of common law and judicial precedent. Further, we have
also assumed that each Financing Party will enforce the respective Financing Documents in compliance with the provisions thereof and all requirements of applicable law. 

        (iv)  Further,
we additionally note that the maximum lawful amount or rate of interest which any national bank, a federal savings bank or any foreign bank or branch of a
foreign bank which is subject to the jurisdiction of the federal banking laws of the United States of America, may take, receive, reserve, contract for or charge is governed by federal statutory law.
Further, Lenders that are entities other than such financial institutions may, in accordance with laws governing their respective operation and business, be subject to statutory limits provided by the
laws other than the laws of the State of New York. In rendering the Remedies Opinions, we express no opinion as to whether the interest provided for in any Financing Document is in excess of any such
maximum lawful amount or rate or as to the effect of the provisions for interest in any Loan Document on the enforceability of the Financing Documents with respect to any Financing Party constituting
a national bank or such foreign bank or branch thereof which is located in any jurisdiction other than the State of New York. 

        C.    We
do not express any opinion with respect to any exhibit to, or other agreement referred to in, any of the Financing Documents. 

        D.    In
rendering the foregoing opinions, we have not, pursuant to our engagement, endeavored to express any opinions, and we express no opinions, and none are intended to be
implied hereby nor shall be inferred herefrom, as to (i) the various state and federal laws, statutes, regulations, interpretations, opinions, directives, orders, rulings, authorities or
similar matters regulating or governing any Financing Party (collectively, the "Rules") and/or its entry into, execution, delivery or performance of the
Financing Documents, or the transactions provided for therein, or the conduct of its business related thereto, or (ii) any Financing Party's compliance with any of the Rules in connection with
any Financing Document, or the transactions provided for therein. 

        E.    In
rendering the opinions expressed in paragraph 1 above relating to the MLP's existence and good standing in Delaware and authorization to transact business in
Texas, we have relied solely upon a review of certificates of public officials, without further investigation as to matters set forth therein, as follows: (i) Certificate of State of Delaware,
Office of Secretary of State dated January    , 2003 (Delaware existence and good standing); and (ii) Certificate of State of Texas, Secretary of State dated January    ,
2003 (Texas authorization to transact business). 

        The
opinions expressed herein are solely for the benefit of, and may only be relied upon by each Financing Party, and its permitted successors and assigns, in connection with the
Financing Documents; provided however, any reliance on such opinions by a Person who becomes a party to the Financing Documents after the date of this
opinion letter shall be as to the opinions expressed herein as of the date of this opinion letter and shall not constitute a reissuance of such opinions as of the date of any such subsequent reliance
or other subsequent date. Neither this opinion letter nor any excerpt hereof (nor any reproduction of any of the foregoing) may be furnished to (except in connection with a legal or arbitral
proceeding or as may be required by applicable law, and in any such events, as shall be directed and required incident thereto pursuant to a duly issued subpoena, writ, order or other legal process),
or relied upon by, any other Person without the prior written consent of this Firm. The opinions expressed herein are as of the date hereof (and not as of any other date, including, without
limitation, the effective date of any Financing Document if a date other than the date hereof) or, to the extent of the references to certificates of public officials made in paragraph E
hereof, to the respective dates of the certificates referred to in such paragraphs, and we make no undertaking to
amend or supplement such opinions as facts and circumstances come to our attention or changes in the law occur which could affect such opinions. 

	 	 	Very truly yours,
	 	 	 
	 	 	 
	 	 	Fulbright & Jaworski L.L.P.

E-5

 
 
 

SCHEDULE A    
  

 
  To Opinion of Fulbright & Jaworski L.L.P.    
    
    Dated January 24, 2003    
    
    List of Lenders    
  

Bank
of America, N.A.

Bank of Montreal

Toronto Dominion (Texas), Inc.

Wachovia Bank, National Association

CIBC Inc.

Citibank, N.A.

Royal Bank of Canada

ABN AMRO Bank N.V., Cayman Islands Branch

SunTrust Bank 

E-6

  

EXHIBIT F  

 
  FORM OF SUBORDINATION AGREEMENT    
  

        THIS AGREEMENT made as of the              day of
                        ,
             by                         , a
                         (the "Subordinated
Creditor"), in favor of the Administrative Agent, the L/C Issuer and the Lenders (collectively, the "Senior Lenders"). 

        WHEREAS
Enbridge Energy Partners, L.P., a Delaware limited partnership (the "Obligor"), is or may become indebted to the Senior Lenders
under or in connection with the Credit Agreement (defined below); 

        AND
WHEREAS the Subordinated Creditor is or may become a lender to the Obligor; 

        AND
WHEREAS the Subordinated Creditor has agreed to postpone and subordinate the Indebtedness of the Obligor owed to the Subordinated Creditor and listed on Annex A attached hereto, and
all interest, fees and other amounts owing in connection therewith (the "Obligor Debt") on the terms and provisions herein set forth. 

        NOW
THEREFORE, in consideration of the sum of $1.00 now paid by the Senior Lenders and other good and valuable consideration (the receipt and sufficiency of which are hereby acknowledged
by the Subordinated Creditor), the Subordinated Creditor hereby agrees as follows: 

 
 

ARTICLE 1
  INTERPRETATION    
  

 
 
        1.1    Definitions     

        In
this Agreement, including the recitals, capitalized terms used herein, and not otherwise defined herein, shall have the meanings attributed to such terms in the Amended and Restated
Credit Agreement dated as of January 24, 2003 among Enbridge Energy Partners, L.P., as Borrower, the Lenders from time to time party thereto, and Bank of America, N.A., as Administrative Agent
and L/C Issuer (as such agreement may be amended, modified, supplemented, restated or refinanced from time to time, the "Credit Agreement"). In
addition, the following terms shall have the following meanings: 

	(a)
	"Beneficiary" means, at each relevant time of determination, each of (i) the holders of Senior Indebtedness and (ii) the
holders of other senior unsecured debt of the Obligor for the benefit of whom a subordination agreement in form and substance substantially the same as this Agreement has been executed and delivered
by the Subordinated Creditor and is in effect ("Other Senior Indebtedness")(6); and in each case that any such holders or group thereof are represented
by an agent, shall mean such agents for the benefit of such respective holders. 

	(6)
	Clause
(i) of the definition of "Beneficiary" in the subordination agreement delivered for the benefit of holders of Other Senior Indebtedness may read as follows: "(i) the
holders of Senior Indebtedness for the benefit of whom a subordination agreement has been executed and delivered by the Subordinated Creditor and is in effect,".

	(b)
	"Beneficiary Indebtedness" means, at each relevant time of determination, the aggregate outstanding amount of Senior Indebtedness and
Other Senior Indebtedness of the Obligor owed to any Beneficiary.

	(c)
	"Obligor Debt" has the meaning set forth in the third WHEREAS clause of this Agreement.

	(d)
	"Other Senior Indebtedness" has the meaning set forth in Section 1.1(a).

	(e)
	"Senior Indebtedness" means the aggregate of all Obligations owing from time to time by the Obligor to the Senior Lenders under the
Credit Agreement and the other Loan Documents, whether present or future, direct or indirect, contingent or otherwise (including any interest accruing thereon after the date of filing any petition by
or against the Obligor in connection with any bankruptcy or other proceeding
and any other interest that would have accrued thereon but for the commencement of such proceeding).

	(f)
	"Subordinated Indebtedness" means the aggregate Obligor Debt owing from time to time by the Obligor to the Subordinated Creditor,
whether present or future, direct or indirect, contingent or otherwise. 

F-1

 

 
 
        1.2    Headings     

        The
division of this Agreement into articles, sections, paragraphs and other subdivisions and the insertion of headings are for convenience of reference only and shall not affect the
construction or interpretation hereof. 

 
 
        1.3    Interpretation     

        In
this Agreement: 

	(a)
	the
terms "this Agreement", "hereof", "herein", "hereunder" and similar expressions refer, unless otherwise specified, to this Subordination Agreement taken as a whole and not to any
particular article, section, subsection or paragraph;

	(b)
	words
importing the singular number or masculine gender shall include the plural number or the feminine or neuter genders, and vice
versa;

	(c)
	all
references to "Articles" and "Sections" refer, unless otherwise specified, to articles, sections, subsections or paragraphs of this Agreement, as the case may be;

	(d)
	words
and terms denoting inclusiveness (such as "include" or "includes" or "including"), whether or not so stated, are not limited by their context or by the words or phrases which
precede or succeed them; and

	(e)
	all
references to the Senior Lenders include the Administrative Agent, the L/C Issuer and each of the Lenders individually and any combination thereof. 

 
 
        1.4    Governing Law     

        This
Agreement shall be governed by and interpreted in accordance with the laws of the State of New York. The Subordinated Creditor irrevocably submits to the non-exclusive
jurisdiction of the courts of the State of New York and the United States Federal courts sitting in Southern District of the State of New York, without prejudice to the rights of the Senior Lenders to
take proceedings in any other jurisdiction. 

 
 
        1.5    Severability     

        If
any provision of this Agreement shall be invalid, illegal or unenforceable in any respect in any jurisdiction, it shall not affect the validity, legality or enforceability of such
provision in any other jurisdiction or the validity, legality or enforceability of any other provision of this Agreement. 

 
 
        1.6    Time of the Essence     

        Time
shall be of the essence of this Agreement. 

 
 

ARTICLE 2
  POSTPONEMENT AND SUBORDINATION OF PAYMENT    
  

 
 
        2.1    General Postponement and Subordination     

        Except
as specifically provided for in Article 3: 

	(a)
	the
Subordinated Indebtedness shall be and is hereby expressly postponed and made subordinate in right of payment to the prior payment in full in cash of the Senior Indebtedness and
termination of the Commitments under the Credit Agreement; and

	(b)
	the
Subordinated Creditor shall not accept any repayment, prepayment or other satisfaction of all or any portion of the Subordinated Indebtedness (whether in cash, property or
securities) prior to the payment in full in cash of the Senior Indebtedness and termination of the Commitments under the Credit Agreement. 

F-2

 

 
 
        2.2    Priority of Senior Indebtedness on Dissolution or Insolvency     

        In
the event of any dissolution, winding up, liquidation, readjustment, reorganization, bankruptcy, insolvency, receivership or other similar proceedings (a
"Proceeding") relating to the Obligor, or any of its property (whether voluntary or involuntary, partial or complete), or any other marshalling of the
assets and liabilities of the Obligor, the Beneficiary Indebtedness shall first be paid in full in cash before the Subordinated Creditor shall be entitled to receive or retain any payment or
distribution in respect of the Subordinated Indebtedness. In such event, in order to implement the foregoing, but subject always to the provisions of  Section 7.1(a): 

	(a)
	the
Subordinated Creditor shall promptly file a claim or claims, in the form required in such proceedings, for the full outstanding amount of the Subordinated Indebtedness, and
shall cause said claim or claims to be approved and all payments and other distributions in respect thereof to be made directly to the Beneficiaries, ratably according to the aggregate amounts
remaining unpaid on account of the Beneficiary Indebtedness held by each of them;

	(b)
	the
Subordinated Creditor hereby irrevocably agrees that the Beneficiaries may, at their sole discretion, in the name of the Subordinated Creditor or otherwise, demand, sue for,
collect, receive and receipt for any and all such payments or distributions, and any such receipts shall be distributed to the Beneficiaries according to the aggregate amounts remaining unpaid on
account of the respective Beneficiary Indebtedness held by them, and file, prove and vote or consent in any Proceeding with respect to any and all claims of the Subordinated Creditor relating to the
Subordinated Indebtedness;

	(c)
	In
any bankruptcy or other Proceeding in respect of the Obligor, the Subordinated Creditor shall not, unless otherwise agreed by the Beneficiaries, (i) file any motion,
application or other pleading seeking affirmative relief, including without limitation for the appointment of a trustee or examiner, for the conversion of the case to a liquidation proceeding, for the
substantive consolidation of the Obligor's bankruptcy case with the case of any other entity, for the creation of a separate official committee representing only the Subordinated Creditor or any other
form of affirmative relief of any other kind
or nature, or (ii) file any objection or other responsive pleading opposing any relief requested by any Beneficiary; and

	(d)
	The
Subordinated Creditor shall execute and deliver to the Beneficiaries or their representative such further proofs of claim, assignments of claim and other instruments confirming
the authorization referred to in the foregoing clause (b), and any powers of attorney confirming the rights of the Beneficiaries arising hereunder, and shall take such other actions as may be
requested by the Beneficiaries or their representative in order to enable the Beneficiaries or their representative to enforce any and all claims in respect of the Subordinated Indebtedness. 

 
 
        2.3    Payments Held in Trust     

        If,
notwithstanding the provisions of this Agreement, any payment or distribution of any character (whether in cash, securities, or other property) or any security shall be received by
the Subordinated Creditor in contravention of the terms of this Agreement, such payment, distribution or security shall not be commingled with any asset of the Subordinated Creditor, shall be held in
trust for the benefit of, and shall be paid over or delivered or transferred to, the Beneficiaries, or their representative, ratably according to the aggregate amounts remaining unpaid on account of
the Beneficiary Indebtedness held by each of them, for application to the payment of all Beneficiary Indebtedness then remaining unpaid, until all such Beneficiary Indebtedness shall have been paid in
full. 

 
 
        2.4    Payment in Full on Senior Indebtedness     

        For
purposes of this Agreement, the Senior Indebtedness shall not be deemed to have been paid in full until the Senior Lenders shall have received full payment of the Senior Indebtedness
in cash, all 

F-3

 

Letters of Credit shall have terminated and all Commitments of the Senior Lenders under the Credit Agreement shall have irrevocably terminated. 

 
 
        2.5    Legend on Subordinated Debt Instruments     

        The
Subordinated Creditor shall, substantially simultaneously with the execution and delivery hereof, cause a conspicuous legend to be placed on each of the instruments evidencing
Subordinated Indebtedness to the following effect: 

        "This
instrument and the indebtedness evidenced hereby is subordinated, in the manner and to the extent set forth in an agreement dated
                        ,
             (as such agreement may from time to time be amended, restated, modified, or supplemented, the "Subordination
Agreement"), by the maker and payee of this instrument in favor of Bank of America, N.A. as Administrative Agent for the
"Lenders" referred to therein, to all Senior Indebtedness as defined therein), and each holder of this instrument, by its acceptance hereof, shall be
bound by the Subordination Agreement." 

        and
upon request by the Administrative Agent deliver a copy of each of the instruments evidencing Subordinated Debt, as so marked, to the Administrative Agent within 60 days
following such request. 

 
 
        2.6    Application of Payments     

        All
payments and distributions received by the Senior Lenders in respect of the Subordinated Indebtedness, to the extent received in or converted into cash, may be applied by the Senior
Lenders first to the payment of any and all expenses (including reasonable legal fees and expenses) paid or incurred by the Administrative Agent in enforcing this Agreement, or in endeavoring to
collect or realize upon any of the Subordinated Indebtedness or any collateral security therefor, and any balance thereof shall, solely as between the Subordinated Creditor and the Senior Lenders, be
applied by the Senior Lenders in such order of application as the Senior Lenders may from time to time select, toward the payment of the Senior Indebtedness remaining unpaid. 

 
 

ARTICLE 3
  PERMITTED PAYMENTS    
  

 
 
        3.1    Permitted Payments     

        At
any time other than during the continuation of a Default or Event of Default under the Credit Agreement, the Subordinated Creditor shall, subject to  Section 2.2, be entitled to receive payments on
account of any Subordinated Indebtedness in accordance with the terms of such Subordinated
Indebtedness. 

 
 

ARTICLE 4
  SUBROGATION    
  

 
 
        4.1    Restriction on Subrogation     

        The
Subordinated Creditor shall not exercise any rights which it may acquire by way of subrogation or contribution under this Agreement, as a result of any payment made hereunder or
otherwise, until this Agreement has ceased to be effective in accordance with Section 7.1(a). 

 
 
        4.2    Transfer by Subrogation     

        If
(a) the Administrative Agent on behalf of the Senior Lenders receives payment of any of the Subordinated Indebtedness, (b) the Senior Indebtedness has been paid in full
in cash and (c) there are no further Letters of Credit outstanding and no further Commitments outstanding under the Credit Agreement, then the Senior Lenders will each, at the Subordinated
Creditor's request and expense, execute and deliver to the Subordinated Creditor appropriate documents, without recourse and without representation or warranty (except as to their right to transfer
such Senior Indebtedness and related 

F-4

 

security free of encumbrances created by the Senior Lenders), necessary to evidence the transfer by subrogation to the Subordinated Creditor of an interest in its Senior Indebtedness and any security
held therefor resulting from such payment of the Subordinated Indebtedness to the Administrative Agent. 

 
 

ARTICLE 5
  DEALINGS WITH BORROWER    
  

 
 
        5.1    Restriction Dealings by Subordinated Creditor     

        Except
with the prior written consent of the Administrative Agent with the consent of the Required Lenders, the Subordinated Creditor shall not: 

	(a)
	assign
all or any portion of the Subordinated Indebtedness in favor of any Person other than the Senior Lenders unless such Person has agreed in writing with the Administrative Agent
to be bound by the provisions hereof in the place and stead of the Subordinated Creditor; or

	(b)
	commence,
or join with any other Person in commencing, any Proceeding respecting the Obligor or any Subsidiary of the Obligor. 

 
 
        5.2    Permitted Dealings by Senior Lenders     

        Notwithstanding
anything in this Agreement, the Subordinated Creditor acknowledges each of the Senior Lenders shall be entitled to: 

	(a)
	lend
monies or otherwise extend credit or accommodations to the Obligor as part of the Senior Indebtedness or otherwise;

	(b)
	agree
to any change in, amendment to, waiver of, or departure from, any term of the Credit Agreement or any other Loan Document including, without limitation, any amendment, renewal
or extension of such agreement or increase in the payment obligations of the Obligor under any such Loan Documents;

	(c)
	grant
time, renewals, extensions, releases, discharges or other indulgences or forbearances to the Obligor in respect of the Senior Indebtedness;

	(d)
	waive
timely and strict compliance with or refrain from exercising any rights under or relating to the Senior Indebtedness;

	(e)
	accept
or make any compositions, arrangements, plans of reorganization or compromises with any Person as any of the Senior Lenders may deem appropriate in connection with the Senior
Indebtedness;

	(f)
	change,
whether by addition, substitution, removal, succession, assignment, grant of participation, transfer or otherwise, any of the Senior Lenders;

	(g)
	acquire,
give up, vary, exchange, release, discharge or otherwise deal with or fail to deal with any security interests, guaranties or collateral relating to any Senior Indebtedness,
this Agreement or any other Loan Document or allow the Obligor or any other Person to deal with the property which is subject to such security interests, guaranties or collateral, all as the Senior
Lenders may deem appropriate; and/or

	(h)
	abstain
from taking, protecting, securing, registering, filing, recording, renewing, perfecting, insuring or realizing upon any security interests, guaranties or collateral for any
Senior Indebtedness; and no loss in respect of any of the security interests or guaranties received or held for and on behalf of the Senior Lenders, whether occasioned by fault, omission of negligence
of any kind, whether of the Senior Lenders or otherwise, shall in any way limit or impair the liability of the Subordinated Creditor or the rights of the Senior Lenders under this Agreement; 

F-5

 

all
of which may be done without notice to or consent of the Subordinated Creditor and without impairing, releasing or otherwise affecting any rights or obligations of the Subordinated Creditor
hereunder or any rights of the Senior Lenders hereunder. 

 
 

ARTICLE 6
  REPRESENTATIONS AND WARRANTIES    
  

 
 
        6.1    Representations and Warranties     

        The
Subordinated Creditor hereby represents and warrants to the Senior Lenders that: 

	(a)
	the
Subordinated Creditor is a [corporation] duly incorporated or amalgamated, as the case may be, and validly existing under the laws of its jurisdiction of
incorporation or amalgamation, as the case may be;

	(b)
	the
Subordinated Creditor has all necessary [corporate] power and authority to enter into this Agreement;

	(c)
	the
Subordinated Creditor has taken all necessary [corporate] action to authorize the creation, execution, delivery and performance of this Agreement;

	(d)
	this
Agreement constitutes a valid and legally binding obligation of the Subordinated Creditor, enforceable against the Subordinated Creditor in accordance with its terms, subject as
to enforcement to bankruptcy, insolvency, reorganization, moratorium and similar laws of general applicability relating to or affecting creditors' rights and general equity principles; and

	(e)
	neither
the execution and delivery of this Agreement, nor compliance with the terms and conditions hereof (i) will result in a violation of the articles or by-laws
of the Subordinated Creditor or any resolutions passed by the board of directors or shareholders of the Subordinated Creditor or any applicable law, order, judgment, injunction, award or decree;
(ii) will result in a breach of, or constitute a default under, any loan agreement, indenture, trust deed or any other material agreement or instrument to which the Subordinated Creditor is a
party or by which its or its assets are bound; or (iii) requires any approval or consent of any governmental authority having jurisdiction except such as have already been obtained and are in
full force and effect. 

 
 

ARTICLE 7
  CONTINUING SUBORDINATION    
  

 
 
        7.1    Continuing Subordination; Reinstatement     

        This
Subordination Agreement shall create a continuing subordination and shall: 

	(a)
	remain
in full force and effect until the Senior Lenders have received payment in cash of the full amount of the Senior Indebtedness, all Letters of Credit have terminated and no
further Commitments are outstanding under the Credit Agreement; provided however, that Section 5.1(b)  shall remain in effect until 91 days after
such time;

	(b)
	be
binding upon the Subordinated Creditor and its successors and assigns; and

	(c)
	inure,
together with the rights and remedies of the Senior Lenders, to the benefit of and be enforceable by the Senior Lenders and their successors and assigns for their benefit and
for the benefit of any other Person entitled to the benefit of any Loan Documents from time to time, including any permitted assignee of some or all of the Loan Documents. 

Subordinated
Creditor agrees that following such termination this Subordination Agreement shall be automatically reinstated if for any reason any payment made on the Senior Indebtedness is rescinded
or 

F-6

 

must be otherwise restored by any Senior Lender, whether as a result of any proceedings in bankruptcy or reorganization or otherwise. 

 
 
        7.2    Other Obligations not Affected     

        The
subordination provided for herein is in addition to and not in substitution for any other agreement or any other security by whomsoever given or at any time held by any of the Senior
Lenders in respect of the Senior Indebtedness, and the Senior Lenders shall at all times have the right to proceed against or realize upon all or any portion of any other agreement or any security or
any other monies or assets to which the Senior Lenders may become entitled or have a claim in such order and in such manner as the Senior Lenders in their sole discretion may deem appropriate. 

 
 
        7.3    Acknowledgment of Documentation     

        The
Subordinated Creditor hereby acknowledges that it is familiar with and understands the terms of the Credit Agreement and all other Loan Documents. The Subordinated Creditor shall
ensure that the Obligor provides such copies as the Subordinated Creditor wishes to receive of all amendments, modifications or supplements to any of the aforementioned documents and of any other
documents, instruments or agreements which are executed in the future pursuant to which Senior Indebtedness may arise. None of the Senior Lenders shall in any manner have any obligation to ensure such
receipt nor shall lack of receipt in any way affect the absolute and unconditional nature of the Subordinated Creditor's obligations hereunder in respect of the Senior Indebtedness thereby created or
arising. 

 
 

ARTICLE 8
  GENERAL PROVISIONS    
  

 
 
        8.1    Notices     

        All
notices and other communications provided for hereunder shall be given in the form and manner prescribed by Section 10.02 of
the Credit Agreement. All such notices to the Subordinated Creditor may be given to the Borrowers on behalf of the Subordinated Creditor and shall be sufficiently delivered if so given. 

 
 
        8.2    Amendments and Waivers     

	(a)
	No
provision of this Agreement may be amended, waived, discharged or terminated orally nor may any breach of any of the provisions of this Agreement be waived or discharged orally,
and any such amendment, waiver, discharge or termination may only be made in writing signed by the Administrative Agent on behalf of the requisite Senior Lenders, or by the Senior Lenders, and if such
amendment is intended to bind the Subordinated Creditor, by the Subordinated Creditor.

	(b)
	No
failure on the part of any party to exercise, and no delay in exercising, any right, power or privilege hereunder shall operate as a waiver thereof unless specifically waived in
writing, nor shall any single or partial exercise of any right, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, power or privilege.

	(c)
	Any
waiver of any provision of this Agreement or consent to any departure by any party therefrom shall be effective only in the specific instance and for the specific purpose for
which given and shall not in any way be or be construed as a waiver of any future requirement. 

 
 
        8.3    Assignment by Lenders     

        The
Subordinated Creditor acknowledges and agrees that each of the Senior Lenders shall have the right to assign, sell, participate or otherwise transfer all or any portion of its rights
and benefits under the Loan Documents (including this Agreement) without the consent of the Subordinated Creditor. This Agreement shall extend to and inure to the benefit of each of the Senior Leaders
and their respective successors and permitted assigns. 

F-7

 

 
 
        8.4    Assignment and Certain Other Actions by Subordinated Creditor     

        Until
payment in full of the Senior Indebtedness, the Subordinated Creditor shall not, without the prior written consent of the Senior Lenders (which consent may be arbitrarily
withheld), (a) accelerate the maturity of the Subordinated Indebtedness to a date that is earlier than six (6) months after the Maturity Date as defined in the Credit Agreement;
(b) take any collateral security or guarantees for any Subordinated Indebtedness; or (c) sell, assign, transfer, endorse, pledge, encumber or otherwise dispose of any of the Subordinated
Indebtedness, unless the Subordinated Creditor gives the Administrative Agent written notice thereof and such sale, transfer, endorsement, pledge, encumbrance or other disposition is to an Affiliate
of the Obligor and is made expressly subject to this Subordination Agreement. 

 
 
        8.5    Further Assurances     

        The
Subordinated Creditor shall, at the request of the Senior Lenders but at the expense of the Subordinated Creditor, do all such further acts and things and execute and deliver all
such further documents as the Administrative Agent or the Senior Lenders may reasonably require in order to fully perform and carry out the terms of this Agreement. 

 
 
        8.6    Counterparts     

        This
Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 

 
 
        8.7    Waiver of Right to Trial by Jury     

        EACH
PARTY TO THIS AGREEMENT HEREBY EXPRESSLY WAIVES ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION ARISING UNDER ANY LOAN DOCUMENT OR IN ANY WAY CONNECTED
WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO ANY LOAN DOCUMENT, OR THE TRANSACTIONS RELATED THERETO, IN EACH CASE WHETHER NOW EXISTING OR
HEREAFTER ARISING, AND WHETHER FOUNDED IN CONTRACT OR TORT OR OTHERWISE; AND EACH PARTY HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE OF ACTION SHALL BE DECIDED BY COURT
TRIAL WITHOUT A JURY, AND THAT ANY PARTY TO THIS AGREEMENT MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE SIGNATORIES HERETO TO THE
WAIVER OF THEIR RIGHT TO TRIAL BY JURY. 

        IN
WITNESS WHEREOF the Subordinated Creditor has caused this Agreement to be executed by its duly authorized representative(s) as of the date first above written. 

	 	 	 	 	 
	

 	
 	

	

 	
 	

Per:	
 	

 
	 	 	 	 	
 Name:

Title:
	 	 	 	 	 
	 	 	 	 	 
	 	 	Per:	 	 
	 	 	 	 	
 Name:

Title:

F-8

 
 
 

ACKNOWLEDGMENT    
  

        The undersigned hereby acknowledges the terms of the above Subordination Agreement and covenants not to participate in any violation thereof. 

	 	 	ENBRIDGE ENERGY PARTNERS, L.P.
	 	 	 	 	 
	 	 	By:	 	Enbridge Energy Management, L.L.C., as delegate of Enbridge Energy Company, Inc., its General Partner
	 	 	 	 	 
	 	 	 	 	 
	 	 	By:	 	 
	 	 	 	 	

	 	 	Name:	 	 
	 	 	 	 	

	 	 	Title:	 	 
	 	 	 	 	

F-9

 
 
 

ANNEX A    
    
    Indebtedness    

F-10Use these links to rapidly review the document

  TABLE OF CONTENTS

Exhibit 10.12  

AMENDED AND RESTATED

364-DAY CREDIT AGREEMENT  

 Dated as of January 24, 2003  

among 

ENBRIDGE ENERGY PARTNERS, L.P.,
  as Borrower, 

BANK OF AMERICA, N.A.,
  as Administrative Agent,

and

L/C Issuer, 

BANK OF MONTREAL,
  as Syndication Agent 

TORONTO DOMINION (TEXAS), INC.

and WACHOVIA BANK, NATIONAL ASSOCIATION,
  as Co-Documentation Agents 

and 

The
Other Lenders Party Hereto 

BANC OF AMERICA SECURITIES LLC
  as

Lead Arranger and Book Manager 

  

 

TABLE OF CONTENTS    
  

 

	 
	 	 

	 	 	 
	ARTICLE I	 	DEFINITIONS AND ACCOUNTING TERMS
	1.01	 	Defined Terms
	1.02	 	Other Interpretive Provisions
	1.03	 	Accounting Terms
	1.04	 	Rounding
	1.05	 	References to Agreements and Laws
	

ARTICLE II	
 	

THE COMMITMENTS AND CREDIT EXTENSIONS
	2.01	 	Loans
	2.02	 	Borrowings, Conversions and Continuations of Loans
	2.03	 	Intentionally Blank
	2.04	 	Letters of Credit
	2.05	 	Intentionally Omitted
	2.06	 	Prepayments
	2.07	 	Reduction or Termination of Commitments
	2.08	 	Repayment of Loans
	2.09	 	Interest
	2.10	 	Fees
	2.11	 	Computation of Interest and Fees
	2.12	 	Evidence of Debt
	2.13	 	Payments Generally
	2.14	 	Sharing of Payments
	

ARTICLE III	
 	

TAXES, YIELD PROTECTION AND ILLEGALITY
	3.01	 	Taxes
	3.02	 	Illegality
	3.03	 	Inability to Determine Rates
	3.04	 	Increased Cost and Reduced Return; Capital Adequacy; Reserves on Eurodollar Rate Loans
	3.05	 	Funding Losses
	3.06	 	Matters Applicable to all Requests for Compensation
	3.07	 	Survival
	

ARTICLE IV	
 	

CONDITIONS PRECEDENT TO CREDIT EXTENSIONS
	4.01	 	Conditions of Initial Credit Extension
	4.02	 	Conditions to all Credit Extensions
	

ARTICLE V	
 	

REPRESENTATIONS AND WARRANTIES
	5.01	 	Existence, Qualification and Power; Compliance with Laws
	5.02	 	Authorization; No Contravention
	5.03	 	Governmental Authorization
	5.04	 	Binding Effect
	5.05	 	Financial Statements; No Material Adverse Effect
	5.06	 	Litigation
	5.07	 	No Default
	5.08	 	Ownership of Property; Liens
	5.09	 	Environmental Compliance
	5.10	 	Insurance
	5.11	 	Taxes

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	5.12	 	ERISA Compliance
	5.13	 	Subsidiaries
	5.14	 	Margin Regulations; Investment Company Act; Public Utility Holding Company Act
	5.15	 	Disclosure
	

ARTICLE VI	
 	

AFFIRMATIVE COVENANTS
	6.01	 	Financial Statements
	6.02	 	Certificates; Other Information
	6.03	 	Notices
	6.04	 	Payment of Obligations
	6.05	 	Preservation of Existence, Etc
	6.06	 	Maintenance of Properties
	6.07	 	Maintenance of Insurance
	6.08	 	Compliance with Laws
	6.09	 	Books and Records
	6.10	 	Inspection Rights
	6.11	 	Intentionally Blank
	6.12	 	Use of Proceeds
	6.13	 	Intentionally Blank
	6.14	 	Incorporation of Certain More Restrictive Financial Provisions
	

ARTICLE VII	
 	

NEGATIVE COVENANTS
	7.01	 	Liens
	7.02	 	Investments
	7.03	 	Indebtedness
	7.04	 	Mergers; Sale of Assets
	7.05	 	Intentionally Blank
	7.06	 	Intentionally Blank
	7.07	 	Distributions
	7.08	 	ERISA
	7.09	 	Change in Nature of Business
	7.10	 	Transactions with Affiliates
	7.11	 	Burdensome Agreements
	7.12	 	Use of Proceeds
	7.13	 	Consolidated Leverage Ratio
	7.14	 	Interest Coverage Ratio
	7.15	 	Indebtedness of Non-OLP Subsidiaries
	7.16	 	Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries
	

ARTICLE VIII	
 	

EVENTS OF DEFAULT AND REMEDIES
	8.01	 	Events of Default
	

ARTICLE IX	
 	

ADMINISTRATIVE AGENT
	9.01	 	Appointment and Authorization of Administrative Agent
	9.02	 	Delegation of Duties
	9.03	 	Liability of Administrative Agent
	9.04	 	Reliance by Administrative Agent
	9.05	 	Notice of Default
	9.06	 	Credit Decision; Disclosure of Information by Administrative Agent
	9.07	 	Indemnification of Administrative Agent

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	9.08	 	Administrative Agent in its Individual Capacity
	9.09	 	Successor Administrative Agent
	9.10	 	Other Agents; Lead Arranger, Etc.
	

ARTICLE X	
 	

MISCELLANEOUS
	10.01	 	Amendments, Etc.
	10.02	 	Notices and Other Communications; Facsimile Copies
	10.03	 	No Waiver; Cumulative Remedies
	10.04	 	Attorney Costs, Expenses and Taxes
	10.05	 	Indemnification by the Borrower
	10.06	 	Payments Set Aside
	10.07	 	Successors and Assigns
	10.08	 	Confidentiality
	10.09	 	Set-off
	10.10	 	Interest Rate Limitation
	10.11	 	Counterparts
	10.12	 	Integration
	10.13	 	Survival of Representations and Warranties
	10.14	 	Severability
	10.15	 	Foreign Lenders
	10.16	 	Removal and Replacement of Lenders
	10.17	 	Governing Law
	10.18	 	Waiver of Right to Trial by Jury
	10.19	 	Release of Guaranty Agreements; Promissory Notes
	10.20	 	ENTIRE AGREEMENT
	 	 	SIGNATURES
	
SCHEDULES	
 	

 
	2.01	 	Commitments and Pro Rata Shares
	5.06	 	Litigation
	5.09	 	Environmental Matters
	5.13	 	Subsidiaries and Other Equity Interests
	7.01	 	Existing Liens
	7.03	 	Existing Indebtedness
	10.02	 	Eurodollar and Domestic Lending Offices, Addresses for Notices
	
EXHIBITS	
 	

 
	

 	
 	
Form of
	

A	
 	

Loan Notice
	B	 	Loan Note
	C	 	Compliance Certificate
	D	 	Assignment and Acceptance Agreement
	E	 	Opinion of Counsel
	F	 	Subordination Agreement

iii

  

 
 

AMENDED AND RESTATED 364-DAY CREDIT AGREEMENT    
  

        THIS AMENDED AND RESTATED 364-DAY CREDIT AGREEMENT (this
"Agreement") dated as of January 24, 2003 is made and entered into by and among ENBRIDGE ENERGY PARTNERS,
L.P., a Delaware limited partnership (the "Borrower"), each lender from time to time party hereto (collectively, the
"Lenders" and individually, a "Lender"), BANK OF AMERICA, N.A., as Administrative Agent, and L/C Issuer,
Bank of Montreal, as Syndication Agent, and Toronto Dominion (Texas), Inc. and Wachovia Bank, National Association, as Co-Documentation Agents. 

        WHEREAS,
the Borrower, the Operating Partnership (as herein defined), the Administrative Agent, the other agents named therein and the other financial institutions named and defined
therein as Lenders (collectively, the "Existing Lenders") are parties to that certain 364-Day Credit Agreement dated as of
January 29, 2002, pursuant to which the Existing Lenders provided extensions of credit to the Borrower (the "Existing Credit Agreement"); and 

        WHEREAS,
the Borrower, the Administrative Agent and the other parties hereto desire to amend and restate the Existing Credit Agreement in its entirety in the form of this amended and
restated agreement; and 

        WHEREAS,
after giving effect to the amendment and restatement of the Existing Credit Agreement pursuant to the terms hereof, the Pro Rata Share (as herein defined) of each Lender
hereunder will be as set forth on Schedule 2.01 hereto. 

        NOW,
THEREFORE, in consideration of the mutual covenants and agreements herein contained, the parties hereto covenant and agree as follows: 

 
 

ARTICLE I.
  DEFINITIONS AND ACCOUNTING TERMS    
  

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

        "Accepting Lenders" has the meaning specified in Section 2.01(b)(iii). 

        "Acquired Assets" has the meaning set forth in the definition of "Incremental EBITDA". 

        "Acquired Subsidiary" has the meaning set forth in the definition of "Incremental EBITDA". 

        "Administrative Agent" means Bank of America in its capacity as administrative agent under any of the Loan Documents, or any successor
administrative agent. 

        "Administrative Agent's Office" means the Administrative Agent's address and, as appropriate, account as set forth on  Schedule 10.02, or such other address or
account as the Administrative Agent may from time to time notify to the Borrower and the Lenders. 

        "AFUDC" means allowance for funds used during construction as determined in accordance with generally accepted regulatory accounting
principles or by rate-regulated Persons, as applicable. 

        "AFUDC Rate" means, with respect to each corresponding regulated project designated by the Borrower and as of the relevant date of
determination, the applicable rate or rates allowed with respect to such project as determined in accordance with generally accepted regulatory accounting principles or by such
rate-regulated Person, as applicable. 

        "Affiliate" means, as to any Person, any other Person directly or indirectly controlling, controlled by, or under direct or indirect
common control with, such Person. A Person shall be deemed to be "controlled by" any other Person if such other Person possesses, directly or indirectly, power to direct or cause the direction of the
management and policies of such Person whether by contract or otherwise. 

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        "Agent/Arranger Fee Letter" has the meaning specified in Section 2.10(c). 

        "Agent-Related Persons" means the Administrative Agent (including any successor administrative agent permitted hereby), together with its
Affiliates (including, in the case of Bank of America in its capacity as the Administrative Agent, the Arranger), and the officers, directors, employees, agents and
attorneys-in-fact of such Persons and Affiliates. 

        "Aggregate Commitments" means at any time the sum of the Commitments of all the Lenders under this Agreement and all Lenders (as defined
in the Amended and Restated Multi-Year Credit Agreement) under the Amended and Restated Multi-Year Credit Agreement; provided, that after the Revolving Commitment Termination
Date (unless such date shall occur as a result of clause (c) of the definition thereof), the Commitments of all the Lenders under this Agreement shall be deemed to be equal to the sum of all
the outstanding Revolving Loans and L/C Obligations of all the Lenders as of such time. 

        "Amended and Restated Multi-Year Credit Agreement" means that certain Amended and Restated Credit Agreement dated as of
January 24, 2003, among the Borrower, the lenders party thereto, Bank of America, N.A., as administrative agent, and the other agents therein named. 

        "Annual Certificate of Extension" means a certificate from the Borrower, executed by an authorized officer and delivered to the
Administrative Agent, in a form acceptable to the Administrative Agent, which requests an extension of the then scheduled Revolving Commitment Termination Date pursuant to  Section 2.01(b).

        "Applicable Rate" means the following percentages per annum, based upon (a) the Corporate Credit Rating, during the period from the
Closing Date until the date the Borrower receives a Debt Rating, and (b) the Debt Rating, from and after the date the Borrower receives a Debt Rating: 

	Applicable Rate
	 
	Pricing

Level
	 	Corporate

Credit/Debt

Ratings S&P/Moody's
	 	Facility

Fee Rate
	 	Eurodollar Rate

For Loans Prior

to Term Out

and Applicable Rate for

Letters of Credit
	 	Base

Rate

plus (+)
	 	Utilization

Fee Rate
	 	Eurodollar

Rate for

Loans During

Term Out
	 
	1	 	A/A2 or higher	 	.075	%	.4	%	-0-	 	.1	%	.525	%
	2	 	A-/A3	 	.1	%	.525	%	-0-	 	.1	%	.65	%
	3	 	BBB+/Baa1	 	.125	%	.625	%	-0-	 	.125	%	.875	%
	4	 	BBB/Baa2	 	.15	%	.725	%	-0-	 	.125	%	.975	%
	5	 	BBB-/Baa3	 	.2	%	1.175	%	-0-	 	.125	%	1.425	%
	6	 	Lower than BBB-/Baa3 or unrated	 	.25	%	1.25	%	-0-	 	.25	%	1.5	%

        "Corporate Credit Rating" means, as of any date of determination, the long-term corporate credit rating as determined by
either S&P or Moody's for the Borrower; provided that for so long as the Applicable Rate is based on the Corporate Credit Rating, the Pricing Level
shall be one notch below the Pricing Level indicated above which corresponds to such Corporate Credit Rating (for example, if the Corporate Credit Rating is BBB+/Baa1, Pricing Level 4 (not
3) shall apply); provided further, that if a Corporate Credit Rating is issued by each of the foregoing agencies, then the higher of such
Corporate Credit Ratings shall be used as a basis for setting the Applicable Rate, unless there is a split in the Corporate Credit Ratings of more than one level, in which case the level that is one
level higher than the lower Corporate Credit Rating shall be used as a basis for setting the Applicable Rate. 

        "Debt Rating" means, as of any date of determination, the rating as determined by either S&P or Moody's (collectively, the
"Debt Ratings") of the Borrower's non-credit-enhanced, senior unsecured long-term debt; provided  that if a Debt Rating is issued by each of the foregoing
rating agencies, then the higher of such Debt Ratings shall apply (with Pricing Level 1 being the highest 

2

 

and Pricing Level 6 being the lowest), unless there is a split in Debt Ratings of more than one level, in which case the level that is one level higher than the lower Debt Rating shall apply. 

Initially,
the Applicable Rate shall be determined based upon the Corporate Credit Rating or Debt Rating, as applicable, specified in the certificate delivered pursuant to  Section 4.01(a)(vi). Thereafter,
each change in the Applicable Rate resulting from a publicly announced change in the Corporate Credit Rating or
Debt Rating, as applicable, shall be effective during the period commencing on the date of the public announcement thereof and ending on the date immediately preceding the effective date of the next
such change. Any change in the Applicable Rate resulting from the Borrower's election of the Term Out option pursuant to Section 2.01(c) shall be
effective on the date the Term Loan is made. 

        "Approved Fund" means any Fund that is administered or managed by (a) a Lender or (b) an Affiliate of a Lender or
(c) an entity or an Affiliate of an entity that administers or manages a Lender. 

        "Arranger" means Banc of America Securities LLC, in its capacity as lead arranger and book manager. 

        "Assignee Conditions" means, in relation to any Person described in clause (c) of the defined term "Eligible Assignee", the
conditions as follow: (i) if a Lender assigns to such an Eligible Assignee less than all of its Commitment and the Loans at the time owing to it (or a participation in its L/C Obligations), any
right of such assigning Lender and such assignee to vote as a Lender, or any other direct claim or right against the Borrower in relation to this Agreement, shall be uniformly exercised or pursued by
such assigning Lender and such assignee; and (ii) such assignee shall not be entitled to payment from the Borrower under Article III of
amounts in excess of those payable to such Lender assignor under such Article (determined without regard to such assignment or transfer). 

        "Assignment and Acceptance" means an Assignment and Acceptance substantially in the form of  Exhibit D. 

        "Attorney Costs" means and includes all fees and disbursements of any law firm or other external counsel but expressly excludes the
allocated cost of internal legal services and all disbursements of internal counsel. 

        "Attributable Indebtedness" means, on any date, in respect of any capital lease of any Person, the capitalized amount thereof that would
appear on a balance sheet of such Person prepared as of such date in accordance with GAAP. 

        "Audited Financial Statements" means the audited consolidated balance sheet of the Borrower and its Subsidiaries and Unrestricted
Subsidiaries for the fiscal year ended December 31, 2001, and the related consolidated statements of income and cash flows for such fiscal year of such Persons. 

        "Bank of America" means Bank of America, N.A. 

        "Base Rate" means for any day a fluctuating rate per annum equal to the higher of (a) the Federal Funds Rate plus
1/2 of 1% and (b) the rate of interest in effect for such day as publicly announced from time to time by Bank of America as its "prime rate." Such prime rate is a rate set by
Bank of America based upon various factors including Bank of America's costs and desired return, general economic conditions and other factors, and is used as a reference point for pricing some loans,
which may be priced at, above, or below such announced prime rate. Any change in such prime rate announced by Bank of America shall take effect at the opening of business on the day specified in the
public announcement of such change. 

        "Base Rate Loan" means a Loan that bears interest based on the Base Rate. 

        "Board" means the Board of Governors of the Federal Reserve System of the United States of America. 

3

 

        "Borrower" has the meaning set forth in the introductory paragraph hereto, and includes its successors and assigns permitted hereby, if
any. 

        "Borrowing" means a borrowing consisting of simultaneous Loans of the same Type and having the same Interest Period made by each of the
Lenders pursuant to Section 2.01. 

        "Business Day" means any day other than a Saturday, Sunday, or other day on which commercial banks are authorized to close under the Laws
of, or are in fact closed in, each of (a) the state where the Administrative Agent's Office is located and (b) the City of Calgary, Alberta, Canada, and if such day relates to any
Eurodollar Rate Loan, it must also be a day on which dealings in Dollar deposits are conducted by and between banks in the applicable offshore Dollar interbank market. 

        "Cash Collateralize" means to pledge and deposit with or deliver to the Administrative Agent, for the benefit of the L/C Issuer and the
Lenders, as collateral for the L/C Obligations, cash or deposit account balances pursuant to documentation in form and substance satisfactory to the Administrative Agent and the L/C Issuer (which
documents are hereby consented to by the Lenders). Derivatives of such term shall have corresponding meaning. 

        "Change of Control" shall mean (i) the failure of Enbridge Energy Company, Inc., a Delaware corporation, or any other
Person, in each case during the period that such Person is the general partner of the Borrower, to constitute a Subsidiary of Enbridge Inc., a corporation incorporated under the federal laws of
Canada, (ii) the failure of Enbridge Energy Company, Inc. or any other Subsidiary or Subsidiaries of said Enbridge Inc. at any time to constitute all of the general partners of
the Borrower, or (iii) the failure of the Operating Partnership to constitute a Subsidiary of the Borrower. 

        "Closing Date" means the first date all the conditions precedent in Section 4.01  are satisfied or waived in accordance with Section 4.01
(or, in the case of  Section 4.01(b), waived by the Person entitled to receive the applicable payment). 

        "Code" means the Internal Revenue Code of 1986. 

        "Commitment" means, as to each Lender, its Revolving Commitment (the aggregate Revolving Commitments of all the Lenders, collectively, the
"Commitments"). 

        "Compliance Certificate" means a certificate substantially in the form of  Exhibit C. 

        "Consolidated" or "consolidated" when used with reference to a Subsidiary or an
Unrestricted Subsidiary means that such Subsidiary or Unrestricted Subsidiary is consolidated for financial reporting purposes in accordance with GAAP. 

        "Consolidated EBITDA" means, for any period, an amount equal to the sum of (a) Consolidated Net Income, (b) consolidated
interest expense deducted in determining such Consolidated Net Income, (c) the amount of taxes, based on or measured by income, used or included in the determination of such Consolidated Net
Income, and (d) the amount of depreciation and amortization expense deducted in determining such Consolidated Net Income. 

        "Consolidated Funded Debt" means, as of any date of determination, for the Borrower and its Subsidiaries (for the avoidance of doubt,
excluding the Unrestricted Subsidiaries) on a consolidated basis, the sum of (without duplication) the following: (a) the outstanding principal amount of all obligations, whether current or
long-term, for borrowed money (including all Obligations hereunder), (b) that portion of obligations with respect to capital leases that are capitalized in the consolidated balance
sheet of the Borrower and its Subsidiaries, and (c) without duplication, the unpaid principal amount of all Guarantee Obligations with respect to Indebtedness of the type specified in
subsections (a) and (b) above of Persons other than the Borrower or any of its Subsidiaries and excluding in all cases Qualifying Subordinated Indebtedness owing to an Affiliate of the
Borrower. 

4

 

        "Consolidated Interest Charges" means, for any period, for the Borrower and its Subsidiaries (for the avoidance of doubt, excluding the
Unrestricted Subsidiaries) on a consolidated basis, (a) all interest expense (and in the case of capital leases the portion of rent expense that is treated as interest in accordance with GAAP)
on all Consolidated Funded Debt of the Borrower and its Subsidiaries, and (b) all cash interest expense on Qualifying Subordinated Indebtedness, in each case during such period. 

        "Consolidated Net Income" means, for any period, the net income of the Borrower and its Subsidiaries (for the avoidance of doubt,
excluding the Unrestricted Subsidiaries) from continuing operations (excluding gains or losses resulting from mark to market activity as a result of the implementation of Statement of Financial
Accounting Standard 133, as amended) before extraordinary items (excluding gains or losses from Dispositions of assets) for that period determined on a consolidated basis;  provided, for the purposes of
the definition of Material Subsidiary, Consolidated Net Income shall be calculated by including the Unrestricted
Subsidiaries. 

        "Contractual Obligation" means, as to any Person, any provision of any security issued by such Person or of any agreement, instrument or
other undertaking to which such Person is a party or by which it or any of its property is bound pursuant to which such Person is obligated to perform an agreement or other undertaking. 

        "Corporate Credit Rating" has the meaning set forth in the definition of "Applicable
Rate." 

        "Credit Extension" means each of the following: (a) a Borrowing or (b) an L/C Credit Extension. 

        "Declining Lenders" has the meaning specified in Section 2.01(b)(iii). 

        "Debt Rating" has the meaning set forth in the definition of "Applicable Rate." 

        "Debtor Relief Laws" means the Bankruptcy Code of the United States of America, and all other liquidation, conservatorship, bankruptcy,
assignment for the benefit of creditors, moratorium, rearrangement, receivership, insolvency, reorganization, or similar debtor relief Laws of the United States of America or other applicable
jurisdictions from time to time in effect and affecting the rights of creditors generally. 

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

        "Default Rate" means an interest rate equal to (a) the Base Rate plus (b) the Applicable Rate, if any, applicable to Base
Rate Loans plus (c) 2% per annum; provided, however, that with respect to a Eurodollar Rate Loan,
the Default Rate shall be an interest rate equal to the interest rate (including any Applicable Rate) otherwise applicable to such Loan plus 2% per annum, in each case to the fullest extent permitted
by applicable Laws. 

        "Delegate" means Enbridge Energy Management, L.L.C., the delegate of the General Partner, and its successors and permitted assigns. 

        "Disposition" or "Dispose" means the sale, transfer, license or other disposition
(including any sale and leaseback transaction) of any property by any Person, including any sale, assignment, transfer or other disposal, with or without recourse, of any notes or accounts receivable
or any rights and claims associated therewith. 

        "Distribution" for any Person means, with respect to any shares of any capital stock, any units, any partnership interests or other equity
securities or ownership interests issued by such Person, (a) the retirement, redemption, purchase, or other acquisition for value of any such securities, (b) the declaration or payment
of any dividend on or with respect to any such securities, and (c) any other payment by such Person with respect to such securities. 

5

 

        "Documentation Agents" means Toronto Dominion (Texas), Inc. and Wachovia Bank, National Association in their capacity as
documentation agents under any of the Loan Documents, or any successor documentation agents. 

        "Dollar" and "$" means lawful money of the United States of America. 

        "EBITDA" means for any period and for any Person and its consolidated Subsidiaries the sum of (a) net income of such Person and its
consolidated Subsidiaries from continuing operations (excluding gains or losses resulting from mark to market activity as a result of the implementation of Statement of Financial Accounting Standard
133, as amended) before extraordinary items (excluding gains or losses from dispositions of assets), and (b) to the extent deducted in determining net income of such Person and its consolidated
Subsidiaries (i) all interest expense plus the portion of rent expense of such Person under capitalized leases that is treated as interest in
accordance with GAAP, (ii) the amount of taxes, based on or measured by income, and (iii) the amount of depreciation and amortization expense, in each case of such Person and its
consolidated Subsidiaries for such period. 

        "Eligible Assignee" means (a) a Lender; (b) an Affiliate of a Lender that is financially capable of performing the
obligations of a Lender under this Agreement; (c) an Approved Fund that is financially capable of performing the obligations of such Lender under this Agreement; and (d) any other Person
(other than a natural Person) approved by the Administrative Agent, in the case of any assignment of a Loan, the L/C Issuer, and, unless (x) such Person is taking delivery of an assignment in
connection with physical settlement of a credit derivatives transaction or (y) an Event of Default has occurred and is continuing, the Borrower (each such approval not to be unreasonably
withheld or delayed). 

        "Environmental Laws" means all Laws relating to environmental, health, safety and land use matters applicable to any property. 

        "ERISA" means the Employee Retirement Income Security Act of 1974 and any rules and regulations issued pursuant thereto. 

        "ERISA Affiliate" means any trade or business (whether or not incorporated) under common control with the Borrower within the meaning of
Section 414(b) or (c) of the Code (and Sections 414(m) and (o) of the Code for purposes of provisions relating to Section 412 of the Code). 

        "ERISA Event" means (a) a Reportable Event with respect to a Pension Plan; (b) the incurrence by the Borrower of liability
with respect to a withdrawal by the Borrower or any ERISA Affiliate from a Pension Plan subject to Section 4063 of ERISA during a plan year in which it was a substantial employer (as defined in
Section 4001(a)(2) of ERISA) or a cessation of operations that is treated as such a withdrawal under Section 4062(e) of ERISA; (c) the incurrence by the Borrower of liability with
respect to a complete or partial withdrawal by the Borrower or any ERISA Affiliate from a Multiemployer Plan or notification that a Multiemployer Plan is in reorganization; (d) the incurrence
by the Borrower of liability with respect to the filing of a notice of intent to terminate, the treatment of a Plan amendment as a termination under Sections 4041 or 4041A of ERISA, or the
commencement of proceedings by the PBGC to terminate a Pension Plan or Multiemployer Plan; (e) the incurrence by the Borrower of liability with respect to an event or condition which could
reasonably be expected to constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Pension Plan or Multiemployer Plan; or
(f) the imposition of any liability under Title IV of ERISA, other than PBGC premiums due but not delinquent under Section 4007 of ERISA, upon the Borrower or any ERISA Affiliate; and
with respect to each of the occurrences described in the presiding clauses (a) through (f), which could reasonably be expected to have a Material Adverse Effect. 

6

 

        "Eurodollar Rate" means for any Interest Period with respect to any Eurodollar Rate Loan: 

        (a)  the
rate per annum equal to the rate determined by the Administrative Agent to be the offered rate that appears on the page of the Telerate screen (or any successor
thereto) that displays an average British Bankers Association Interest Settlement Rate for deposits in Dollars (for delivery on the first day of such Interest Period) with a term equivalent to such
Interest Period, determined as of approximately 11:00 a.m. (London time) two Business Days prior to the first day of such Interest Period, or 

        (b)  if
the rate referenced in the preceding subsection (a) does not appear on such page or service or such page or service shall cease to be available, the rate per
annum equal to the rate determined by the Administrative Agent to be the offered rate on such other page or other service that displays an average British Bankers Association Interest Settlement Rate
for deposits in Dollars (for delivery on the first day of such Interest Period) with a term equivalent to such Interest Period, determined as of
approximately 11:00 a.m. (London time) two Business Days prior to the first day of such Interest Period, or 

        (c)  if
the rates referenced in the preceding subsections (a) and (b) are not available, the rate per annum determined by the Administrative Agent as the rate
of interest (rounded upward to the next 1/100th of 1%) at which deposits in Dollars for delivery on the first day of such Interest Period in same day funds in the approximate amount of
the Eurodollar Rate Loan being made, continued or converted by Bank of America and with a term equivalent to such Interest Period would be offered by Bank of America's London Branch to major banks in
the offshore Dollar market at their request at approximately 11:00 a.m. (London time) two Business Days prior to the first day of such Interest Period. 

        "Eurodollar Rate Loan" means a Loan that bears interest at a rate based on the Eurodollar Rate. 

        "Event of Default" means any of the events or circumstances specified in  Article VIII. 

        "Excess Swap Termination Value" means, as of any quarter-end date of determination, an amount equal to the  excess of (a) the net aggregate Swap Termination Value as
of such quarter-end date of (i) all Swap Contracts pursuant to which
one or more Subsidiaries of the Borrower are obligated as a counterparty and for which no other Subsidiary of the Borrower has a Guarantee Obligation with respect thereto, and (ii) all Swap
Contracts for which one or more Subsidiaries of the Borrower has a Guarantee Obligation, in each case without duplication of any such Swap Contracts and Guarantee Obligations with respect thereto  over
(b) $150,000,000. 

        "Excluded Subsidiary" means any Subsidiary which is subject to any Excluded Subsidiary Transfer Restrictions; provided, however, that a
Subsidiary that is subject to Excluded Subsidiary Transfer Restrictions will not be deemed to be an Excluded Subsidiary by reason of such Excluded Subsidiary Transfer Restrictions if, after giving
effect thereto, such Subsidiary is permitted to make the payments, loans, advances and transfers of the type described in clauses (w), (x), (y) and (z) of the definition of Intercompany
Restrictions to the Borrower or to at least one other Subsidiary that is not subject to any Excluded Subsidiary Transfer Restrictions that restrict such Subsidiary's ability to make such payments,
loans, advances and transfers to the Borrower. 

        "Excluded Subsidiary Transfer Restrictions" means restrictions of the type described in clauses (w), (x), (y), or (z) of the
definition of Intercompany Restrictions, other than restrictions of the type described in clause (z) which are otherwise excepted by any of clauses (B)(d), (B)(e), (B)(f), (B)(g), or (B)(h),
(a) which are set forth in agreements governing Refinancings of or other amendments to Indebtedness of the Borrower that were not set forth in the agreements governing such Indebtedness prior
to such Refinancing or amendment, or (b) which would be Intercompany Restrictions absent the exception set forth in clause (B)(c) of  Section 7.03(a)(i). 

7

 

        "Federal Funds Rate" means, for any day, the rate per annum (rounded upwards to the nearest 1/100 of 1%) equal to the
weighted average of the rates on overnight Federal funds transactions with members of the Federal Reserve System arranged by Federal funds brokers on such day, as published by the Federal Reserve Bank
of New York on the Business Day next succeeding such day; provided that (a) if such day is not a Business Day, the Federal Funds Rate for such day shall be such rate on such transactions on the
next preceding Business Day as so published on the next succeeding Business Day, and (b) if no such rate is so published on such next succeeding Business Day, the Federal Funds Rate for such
day shall be the average rate charged to Bank of America on such day on such transactions as determined by the Administrative Agent. 

        "Financial Restrictions" has the meaning specified in Section 6.14. 

        "Foreign Lender" has the meaning specified in Section 10.15. 

        "Fund" means any Person (other than a natural Person) that is (or will be) engaged in making, purchasing, holding or otherwise investing
in commercial loans and similar extensions of credit in the ordinary course of its business. 

        "Funded Debt" of any Person (an "Obligor"), means, as of any date of determination, the
sum of (without duplication) the following: (a) the outstanding principal amount of all obligations of such Obligor, whether current or long-term, for borrowed money;
(b) that portion of obligations of such Obligor with respect to capital leases that are capitalized in a balance sheet of such Obligor; and (c) without duplication, the unpaid principal
amount of all Guarantee Obligations of such Obligor with respect to Indebtedness of the type specified in subsections (a) and (b) above of Persons other than such Obligor. 

        "GAAP" means generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting Principles Board and
the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or such other principles as may be approved by a significant
segment of the accounting profession, that are applicable to the circumstances as of the date of determination, consistently applied. 

        "General Partner" means Enbridge Energy Company, Inc., a Delaware corporation, and after the date hereof, any one or more
Subsidiaries of Enbridge Inc., a corporation incorporated under the federal laws of Canada, that shall succeed Enbridge Energy Company, Inc. in the capacity as general partner of the
Borrower. 

        "Governmental Authority" means any nation or government, any state or other political subdivision thereof, any agency, authority,
instrumentality, regulatory body, court, administrative tribunal, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of
or pertaining to government, and any corporation or other entity owned or controlled, through stock or capital ownership or otherwise, by any of the foregoing. 

        "Guarantee Obligation" means, as to any Person, (a) any obligation, contingent or otherwise, of such Person guarantying or having
the economic effect of guarantying any Indebtedness or other obligation payable or performable by another Person (the "primary obligor") in any manner, whether directly or indirectly, and including
any obligation of such Person, direct or indirect, (i) to purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or other obligation, (ii) to
purchase or lease property, securities or services for the purpose of assuring the obligee in respect of such Indebtedness or other obligation of the payment or performance of such Indebtedness or
other obligation, (iii) to maintain working capital, equity capital or any other financial statement condition or liquidity of the primary obligor so as to enable the primary obligor to pay
such Indebtedness or other obligation, or (iv) entered into for the purpose of assuring in any other manner the obligees in respect of such Indebtedness or other obligation of the payment or
performance thereof or to protect such obligees against loss in respect thereof (in whole or in part), or (b) any Lien on any 

8

 

assets of such Person securing any Indebtedness or other obligation of any other Person, whether or not such Indebtedness or other obligation is assumed by such Person;  provided, however, that the term
"Guarantee Obligation" shall not include endorsements of instruments for deposit or collection in the ordinary course
of business. The amount of any Guarantee Obligation shall be deemed to be an amount equal to the stated or determinable amount of the related primary obligation, or portion thereof, in respect of
which such Guarantee Obligation is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by the guarantying Person in good faith. 

        "Honor Date" has the meaning set forth in Section 2.04(c)(i). 

        "Incremental EBITDA" means, (i) as to any Person which becomes a Subsidiary (an "Acquired
Subsidiary") as a result of an acquisition by the Borrower or a Subsidiary of such Acquired Subsidiary, EBITDA of such Person for the four full quarters ending immediately
prior to the acquisition of such Acquired Subsidiary, or (ii) in regard to the acquisition of all or substantially all of the business or assets of any Person or the operating division or
business unit of any Person (an "Acquired Asset") by the Borrower or a Subsidiary, EBITDA with respect to the Acquired Asset for the four full quarters
ending immediately prior to the acquisition of such Acquired Asset, as reasonably determined by the Borrower and reasonably acceptable to the Administrative Agent. 

        "Indebtedness" means, as to any Person at a particular time, all of the following (without duplication): 

        (a)  all
obligations of such Person for borrowed money and all obligations of such Person evidenced by bonds, debentures, notes, loan agreements or other similar instruments; 

        (b)  any
direct or contingent obligations of such Person arising under letters of credit (including standby and commercial), banker's acceptances, bank guaranties, surety
bonds and similar instruments; 

        (c)  Intentionally
Blank; 

        (d)  whether
or not so included as liabilities in accordance with GAAP, 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 of such Person, and indebtedness (excluding prepaid interest thereon) secured by a Lien on property owned or being purchased by such Person
(including indebtedness arising under conditional sales or other title retention agreements), whether or not such indebtedness shall have been assumed by such Person or is limited in recourse; 

        (e)  capital
leases; 

        (f)    all
Guarantee Obligations of such Person in respect of any of the foregoing; and 

        (g)  for
the purposes of determining compliance with the applicable provisions of Sections 7.15 or  7.16, obligations of such Person under Swap Contracts, and
Guarantee Obligations of such Person in respect of Swap Contracts, but only to the extent of
Excess Swap Termination Value. For purposes of Section 7.15, Indebtedness of the Non-OLP Subsidiaries shall be calculated quarterly
and include the Non-OLP Subsidiaries' Ratable Share of Excess Swap Termination Value as of the relevant quarter-end date of determination, and for purposes of  Section 7.16, Indebtedness of the
Operating Partnership and the Operating Partnership Subsidiaries shall be calculated quarterly and include the
Operating Partnership's and the Operating Partnership Subsidiaries' Ratable Share of Excess Swap Termination Value as of the relevant quarter-end date of determination. 

        For
all purposes hereof, the Indebtedness of any Person shall include, without duplication, the Indebtedness of any partnership or joint venture in which such Person is a general partner
or a joint 

9

 

venturer, unless such Indebtedness is expressly made non-recourse to such Person by its governing agreements and applicable law except for customary exceptions acceptable to the Required
Lenders. The amount of any capital lease as of any date shall be deemed to be the amount of Attributable Indebtedness in respect thereof as of such date. The amount of any net obligation under any
Swap Contract, and the amount of any Guarantee Obligations in respect of any Swap Contract, on any date shall be deemed to be the Swap Termination Value of such Swap Contract as of such date. 

        "Indemnified Liabilities" has the meaning set forth in Section 10.05. 

        "Indemnitees" has the meaning set forth in Section 10.05. 

        "Intercompany Restrictions" has the meaning set forth in Section 7.03(a)(i). 

        "Interest Coverage Ratio" means, with respect to a four-quarter period, the ratio of Pro Forma EBITDA to Consolidated Interest
Charges. If, in connection with any acquisition by the Borrower or any Subsidiary of any Person or all or substantially all of the business or assets of any Person or the operating division or
business unit of any Person, any Indebtedness is incurred or assumed by the Borrower or any Subsidiary, Consolidated Interest Charges shall be calculated, on a pro forma basis for the four quarters
most recently completed and corresponding to the four-quarter period for which corresponding Pro Forma EBITDA is calculated, as if such Indebtedness had been incurred on the first day of
such period. As of any date, the interest rate used in the calculation of such pro forma adjustments shall be the pricing in effect for the Loans under this Agreement. 

        "Interest Payment Date" means, (a) as to any Loan other than a Base Rate Loan, the last day of each Interest Period applicable to
such Loan; provided, however, that if any Interest Period for a Eurodollar Rate Loan exceeds three months, the respective dates that fall every three
months after the beginning of such Interest Period shall also be Interest Payment Dates; and (b) as to any Base Rate Loan, the last Business Day of each March, June, September and December and
the Maturity Date. 

        "Interest Period" means as to each Eurodollar Rate Loan, the period commencing on the date such Eurodollar Rate Loan is disbursed or
converted to or continued as a Eurodollar Rate Loan and ending on the date one, two, three or six months thereafter, as selected by the Borrower in its Loan Notice; provided  that: 

        (ii)  any
Interest Period that would otherwise end on a day that is not a Business Day shall be extended to the next succeeding Business Day unless, in the case of a
Eurodollar Rate Loan, such Business Day falls in another calendar month, in which case such Interest Period shall end on the next preceding Business Day; 

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

        (iv)  no
Interest Period shall extend beyond the scheduled Maturity Date. 

10

  

        "IRS" means the United States Internal Revenue Service. 

        "Laws" means, collectively, all international, foreign, federal, state and local statutes, treaties, rules, guidelines, regulations,
ordinances, codes and administrative or judicial precedents or authorities, including the interpretation or administration thereof by any Governmental Authority charged with the enforcement,
interpretation or administration thereof, and all applicable administrative orders, directed duties, requests, licenses, authorizations and permits of, and agreements with, any Governmental Authority,
in each case whether or not having the force of law. 

        "L/C Advance" means, with respect to each Lender, such Lender's funded participation in any Unreimbursed Amount in accordance with  Section 2.04(c)(iii). 

        "L/C Borrowing" means an extension of credit resulting from a drawing under any Letter of Credit which has not been reimbursed on the date
when made or refinanced as a Borrowing. 

        "L/C Credit Extension" means, with respect to any Letter of Credit, the issuance thereof or extension of the expiry date thereof, or the
renewal or increase of the amount thereof. 

        "L/C Issuer" means Bank of America in its capacity as issuer of Letters of Credit hereunder, or any successor issuer of Letters of Credit
hereunder. 

        "L/C Obligations" means, as at any date of determination, the aggregate undrawn face amount of all outstanding Letters of Credit  plus to the extent unreimbursed, the
aggregate of all Unreimbursed Amounts, including, without duplication, all L/C Borrowings and L/C Advances. 

        "L/C Sublimit Effective Date" has the meaning set forth in the definition of "Letter of Credit
Sublimit." 

        "Lender" has the meaning specified in the introductory paragraph hereto and, as the context requires, includes the L/C Issuer. 

        "Lending Office" means, as to any Lender, the office or offices of such Lender described as such on  Schedule 10.02, or such other office or offices as a Lender may
from time to time notify the Borrower and the Administrative Agent. 

        "Letter of Credit" means any letter of credit issued hereunder. A Letter of Credit may be a commercial letter of credit or a standby
letter of credit. 

        "Letter of Credit Application" means an application and agreement for the issuance or amendment of a Letter of Credit in the form from
time to time in use by the L/C Issuer and on terms satisfactory to the L/C Issuer and the Borrower; provided, in the event of any conflict between such
application and agreement and the terms of this Agreement, the terms of this Agreement shall control. 

        "Letter of Credit Expiration Date" means the day that is seven days prior to the then effective Revolving Commitment Termination Date (or,
if such day is not a Business Day, the next preceding Business Day). 

        "Letter of Credit Sublimit" means an amount equal to zero ($0); provided,  however, that: 

        (a)  At
any time on or before the date that the Amended and Restated Multi-Year Credit Agreement is no longer in effect and no lender has any commitment to issue
any letters of credit thereunder (such date, the "Multi-Year Termination Date"), the Borrower may request in writing that the Administrative
Agent give notice to the Lenders that the Letter of Credit Sublimit hereunder shall be an amount equal to the lesser of the Commitments and $50,000,000. Such request shall be given by the Borrower not
less than fifteen (15) days prior to the requested effective date of the change in the Letter of Credit Sublimit. Such request shall be accompanied by a certificate of a Responsible Officer of
the Borrower setting forth the requested effective date of the change in the Letter of Credit Sublimit, which date may be no earlier than the Multi-Year 

11

 

Termination Date (such date, the "L/C Sublimit Effective Date"), and stating that (i) no Default or Event of Default exists, (ii) all
representations and warranties of the Borrower contained in Article V are true and correct on and as of such date, except to the extent that such
representations and warranties specifically refer to a different date, in which case they shall be true and correct as of such date, and (iii) the conditions set forth in this clause (a)
have been satisfied. 

        (b)  Upon
receipt of a request and certificate in accordance with the foregoing clause (a), the Administrative Agent shall issue a notice to the Lenders and the
Borrower setting forth the L/C Sublimit Effective Date, and effective as of such date, the Letter of Credit Sublimit shall be an amount equal to the lesser of the Commitments and $50,000,000. 

        (c)  In
the event that the issuer of letters of credit then outstanding under the Amended and Restated Multi-Year Credit Agreement is an L/C Issuer hereunder,
then the Borrower may, with the consent of such L/C Issuer, designate such letters of credit as Letters of Credit hereunder provided that the conditions to issuance of a Letter of Credit set forth in  Section 4.02 have been satisfied. In such event such letters of credit shall be deemed Letters of Credit hereunder.
 

        (d)  The
Letter of Credit Sublimit is part of, and not in addition to, the Commitments. 

        "Lien" means any mortgage, pledge, hypothecation, collateral assignment, encumbrance, lien (statutory or other), charge, security interest
or any other arrangement of any kind or nature whatsoever (including any conditional sale or other title retention agreement, any financing lease having substantially the same economic effect as any
of the foregoing, a deposit arrangement and the filing of any financing statement under the Uniform Commercial Code or comparable Laws of any jurisdiction) for a creditor's claim to be satisfied from
assets or proceeds prior to the claims of other creditors or the owners, including, if applicable, the interest of a purchaser of accounts receivable but excluding the title of the lessor under any
operating lease. 

        "Loans" means the Revolving Loans or the Term Loans made by the Lenders to the Borrower pursuant to this Agreement. 

        "Loan Documents" means this Agreement, each Note, the Agent/Arranger Fee Letter, each Request for Credit Extension and each Compliance
Certificate. 

        "Loan Notice" means written or telephonic notice of (a) a Borrowing, (b) a conversion of Loans from one Type to the other,
or (c) a continuation of Loans as the same Type, pursuant to Section 2.02(a), which, if in writing, shall be substantially in the form of  Exhibit A or if telephonic, shall be immediately followed by written notice in the form of  Exhibit A; provided, any such telephone notice shall be
irrevocable when given notwithstanding
that it is required to be so confirmed in writing. 

        "Material Adverse Effect" means (a) a material adverse change in, or a material adverse effect upon, the operations, business,
properties, financial condition, prospects or assets of the Borrower and its consolidated Subsidiaries (other than the Unrestricted Subsidiaries) taken as a whole; (b) a material impairment of
the ability of the Borrower to pay any Obligation when due or otherwise to perform its material obligations under this Agreement or any Note; or (c) a material adverse effect upon the legality,
validity, binding effect or enforceability against the Borrower of this Agreement or any Note. 

        "Material Subsidiary" means (i) any Subsidiary that directly or through one or more Subsidiaries (a) owns assets with a book
value equal to 10% or more of the book value of the consolidated assets of the Borrower, its Consolidated Subsidiaries and its Consolidated Unrestricted Subsidiaries, or (b) contributed 10% or
more of Consolidated Net Income for any fiscal quarter during the four fiscal quarters most recently ended of the Borrower, its Consolidated Subsidiaries and its Consolidated Unrestricted
Subsidiaries, or (c) is a "significant subsidiary" as defined in Article 1, Rule 1-02 of Regulation S-X, promulgated pursuant to the Securities Act
of 1933, as amended, as such Regulation is in effect on any date of determination. A Subsidiary will be deemed to have become a Material 

12

 

Subsidiary on either (i) the date of its acquisition or formation, if after giving effect to such acquisition or formation, it constitutes a Material Subsidiary, as reasonably determined by
the Borrower and reasonably acceptable to the Administrative Agent, or, if applicable (ii) the 75th day following the end of each of the first 3 fiscal quarters of the Borrower or the 120th day
following the end of each fiscal year of the Borrower, as applicable, if as of the immediately preceding quarter-end or year-end, as applicable, and based on the financial
statements prepared for such ending quarterly or annual period, it constituted a Material Subsidiary, as reasonably determined by the Borrower and reasonably acceptable to the Administrative Agent. 

        "Maturity Date" means the earlier of (i) the Scheduled Maturity Date or (ii) the date upon which the Commitments may be
terminated in accordance with the terms hereof. "Scheduled Maturity Date" means the Revolving Commitment Termination Date, or, if the Borrower exercises
the Term Loan option described in Section 2.01(c), the date which is one year following the Revolving Commitment Termination Date or such earlier
date as may be required by Section 2.01(d). 

        "Moody's" means Moody's Investors Service, Inc. or any successor to the rating agency business thereof, or if no such successor,
any other debt rating agency selected by the Borrower and approved by the Required Lenders. 

        "Mortgage" shall mean, collectively, the mortgage, security agreement and fixture filings between the Operating Partnership and the
Trustee, each dated as of December 12, 1991, as amended, modified or supplemented from time to time and in effect, and covering assets located in Illinois, Indiana, Michigan, Minnesota, New
York, North Dakota and Wisconsin. 

        "Mortgage Note Agreements" shall mean, collectively, those certain Note Agreements, each dated as of December 12, 1991, between the
Operating Partnership and each of the respective purchasers of the Mortgage Notes, as amended, modified or supplemented from time to time and in effect. 

        "Mortgage Notes" shall mean, collectively, the promissory notes aggregating $310,000,000 principal amount issued pursuant to the Mortgage
Note Agreements, dated December 12, 1991 and executed by the Operating Partnership, together with and any loan agreement and security documents executed in
connection therewith, any and all instruments given in renewal, extension, modification, or rearrangement of or in substitution or replacement for any one or more of the foregoing described promissory
notes and other documents, whether given to the original purchaser thereof (or its designee) or any other Person and other documents. 

        "Multiemployer Plan" means any employee benefit plan of the type described in Section 4001(a)(3) of ERISA, to which the Borrower or
any ERISA Affiliate makes or is obligated to make contributions. 

        "Net Tangible Assets" means tangible assets of the Borrower and its Subsidiaries (for the avoidance of doubt, excluding the Unrestricted
Subsidiaries) on a consolidated basis. 

        "Non-OLP Consolidated Funded Debt" means, as of any date of determination, for the Non-OLP Subsidiaries on a
consolidated basis, the sum of (without duplication) (a) the outstanding principal amount of all obligations, whether current or long-term, for borrowed money, (b) that
portion of obligations with respect to capital leases that are capitalized in the consolidated balance sheet of the Non-OLP Subsidiaries, and (c) without duplication, the unpaid
principal amount of all Guarantee Obligations with respect to Indebtedness of the type specified in subsections (a) and (b) above of Persons other than the Non-OLP
Subsidiaries. 

        "Non-OLP Consolidated Net Income" means, for any period, the net income of the Non-OLP Subsidiaries from
continuing operations (excluding gains or losses resulting from mark to market activity as a result of the implementation of Statement of Financial Accounting Standard 133, as amended) before
extraordinary items (excluding gains or losses from Dispositions of assets) for that period. 

13

 

        "Non-OLP Indebtedness Limitation" has the meaning specified in  Section 7.15. 

        "Non-OLP Inter-Company Indebtedness" means Indebtedness owed by a Non-OLP Subsidiary to the Borrower or to a
Wholly-Owned Non-OLP Subsidiary (other than, for the avoidance of doubt, an Unrestricted Subsidiary). 

        "Non-OLP Pro Forma EBITDA" means, for any period, at the time of any determination thereof, without duplication,
(a) Non-OLP Consolidated Net Income, plus (b) to the extent actually deducted in determining such Non-OLP Consolidated Net Income, interest expense (and in the
case of capital leases the portion of rent expense that is treated as interest in accordance with GAAP), income taxes, depreciation and amortization for the Non-OLP Subsidiaries for such
period, calculated on a pro forma
basis making adjustments for acquisitions of any Person or all or substantially all of the business or assets of any other Person or the operating division or business unit of any Person made during
such period, to the extent not reflected in such Non-OLP Consolidated Net Income. 

        "Non-OLP Subsidiaries" means Subsidiaries (for the avoidance of doubt, excluding Unrestricted Subsidiaries) of the Borrower
other than the Operating Partnership and Operating Partnership Subsidiaries. 

        "Note" means, a promissory note made by the Borrower in favor of a Lender evidencing Loans made by such Lender, substantially in the form
of Exhibit B. 

        "Obligations" means all advances to, and debts, liabilities and obligations of the Borrower arising under any Loan Document, whether
direct or indirect, absolute or contingent, due or to become due, now existing or hereafter arising and including interest that accrues after the commencement by or against the Borrower of any
proceeding under any Debtor Relief Laws naming the Borrower as the debtor in such proceeding. 

        "OLP Indebtedness Limitation" has the meaning specified in Section 7.16. 

        "OLP Inter-Company Indebtedness" means Indebtedness owed by the Operating Partnership or by an Operating Partnership Subsidiary to the
Borrower, to the Operating Partnership, or to a Wholly-Owned Operating Partnership Subsidiary (other than, for the avoidance of doubt, an Unrestricted Subsidiary). 

        "Operating Partnership" means Enbridge Energy, Limited Partnership, a Delaware limited partnership, a Subsidiary of the Borrower. 

        "Operating Partnership Subsidiary" means any Subsidiary (for the avoidance of doubt, excluding Unrestricted Subsidiaries) of the Operating
Partnership. 

        "Organization Documents" means, (a) with respect to any corporation, the certificate or articles of incorporation and the bylaws;
(b) with respect to any limited liability company, the certificate of formation and operating agreement; and (c) with respect to any partnership, joint venture, trust or other form of
business entity, the partnership, joint venture or other applicable agreement of formation and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation
with the secretary of state or other department in the state of its formation, in each case as amended from time to time. 

        "Original Revolving Commitment Termination Date" means January 23, 2004. 

        "Outstanding Amount" means (i) with respect to Loans, on any date, the aggregate outstanding principal amount thereof after giving
effect to any borrowings and prepayments or repayments occurring on such date; and (ii) with respect to any L/C Obligations on any date, the amount of such L/C Obligations on such date after
giving effect to any L/C Credit Extension occurring on such date and any other changes in the aggregate amount of the L/C Obligations as of such date, including as a result 

14

 

of any reimbursements of outstanding unpaid drawings under any Letters of Credit or any reductions in the maximum amount available for drawing under Letters of Credit taking effect on such date. 

        "Participant" has the meaning specified in Section 10.07(d). 

        "PBGC" means the Pension Benefit Guaranty Corporation. 

        "Pension Plan" means any "employee pension benefit plan" (as such term is defined in Section 3(2) of ERISA), other than a
Multiemployer Plan, that is subject to Title IV of ERISA, and in respect of which the Borrower or any ERISA Affiliate contributes or has an obligation to contribute, or in the case of (or if such plan
were terminated would under Section 4069 of ERISA be deemed to be) an "employer" as defined in Section 3(5) of ERISA at any time during the immediately preceding five plan years. 

        "Person" means any individual, trustee, corporation, general partnership, limited partnership, limited liability company, joint stock
company, trust, unincorporated organization, bank, business association, firm, joint venture or Governmental Authority. 

        "Plan" means any "employee benefit plan" (as such term is defined in Section 3(3) of ERISA) established by the Borrower or any
ERISA Affiliate. 

        "Pro Forma EBITDA" means, at the time of any determination thereof, without duplication, (a) Consolidated Net Income, plus
(b) to the extent actually deducted in determining such Consolidated Net Income, interest expense, income taxes, depreciation and amortization for the Borrower and its consolidated Subsidiaries
for the preceding four quarters ending on such date (the "Subject Period"), calculated on a pro forma basis (1) making adjustments for
acquisitions of any Person or all or substantially all of the business or assets of any other Person or the operating division or business unit of any Person made during such Subject Period, to the
extent not reflected in such Consolidated Net Income, and (2) including Total AFUDC (but not an amount of Total AFUDC in excess of 5% of
Consolidated EBITDA of the Borrower and its consolidated Subsidiaries for such Subject Period). If any Subsidiary is an Excluded Subsidiary on both (i) the last day of a Subject Period and
(ii) on the date (as used in this paragraph, the "Determination Date") that is the earlier of (x) the date that the Borrower delivers a
Compliance Certificate pursuant to Section 6.02(b) for such Subject Period and (y) the date that the Borrower is required to deliver such
Compliance Certificate pursuant to Section 6.02(b), then the net income of such Subsidiary shall not be included in the calculation of
Consolidated Net Income for such Subject Period and such Subsidiary's interest expense, income taxes, depreciation and amortization shall not be added to Consolidated Net Income pursuant to
clause (b) above. If a Subsidiary is not an Excluded Subsidiary on the last day of the Subject Period, or if such Subsidiary is an Excluded Subsidiary on the last day of a Subject Period but is
no longer an Excluded Subsidiary on the Determination Date, then such Subsidiary will not be considered an Excluded Subsidiary during any part of the Subject Period, its net income will be included in
the calculation of Consolidated Net Income for the Subject Period to the same extent as if it had not been an Excluded Subsidiary during any part of the Subject Period, and its interest expense,
income taxes, depreciation and amortization will be added to Consolidated Net Income pursuant to clause (b) above. For the avoidance of doubt, and by way of an example (but not exhaustive of
all other applicable examples), the EBITDA for a Subject Period which is attributable to a Subsidiary, that at any time during that Subject Period was an Excluded Subsidiary, shall nonetheless be
included in the Pro Forma EBITDA for such Subject Period if, on either the last day of the Subject Period or the Determination Date such Subsidiary is, for whatever reason, no longer an Excluded
Subsidiary, including by reason of discharging the Indebtedness that imposed the applicable Excluded Subsidiary Transfer Restriction or Excluded Subsidiary Transfer Restrictions or having otherwise
terminated the application of all related provisions that imposed such restriction or restrictions. 

15

 

        "Project AFUDC" means, with respect to each corresponding regulated project designated by the Borrower and as of the relevant date of
determination, (a) prior to the "into-service date", an amount equal to the product of (i) the cumulative, aggregate regulated capital expended as of the relevant date of
determination with respect to such project multiplied by (ii) the applicable annual AFUDC Rate, or (b) following its
"into-service date", (X) for the first quarter following the "into-service date", (i) the product of the cumulative, aggregate regulated capital expended prior to
the "into-service date" with respect to such project multiplied by (ii) 75% of the applicable annual AFUDC Rate or, (Y) for
the second quarter following the "into-service date", (i) the product of the cumulative, aggregate regulated capital expended prior to the "into-service date" with
respect to such project multiplied by (ii) 50% of the applicable annual AFUDC Rate or, (Z) for the third quarter following the
"into-service date", (i) the product of the cumulative, aggregate regulated capital expended prior to the "into-service date" with respect to such project  multiplied by (ii) 25% of the
applicable annual AFUDC Rate. 

        "Pro Rata Share" means, with respect to each Lender, the percentage (carried out to the ninth decimal place) of the Commitments set forth
opposite the name of such Lender on Schedule 2.01, as such share may be adjusted as contemplated herein. 

        "Qualifying Subordinated Indebtedness" means unsecured Indebtedness of the Borrower owing to a Subsidiary or other Affiliate of the
Borrower (in each case, other than an Unrestricted Subsidiary) provided that (i) such Indebtedness has a maturity date of at least six months subsequent to the
Maturity Date, (ii) interest accruing on such Indebtedness is, at the option of the Borrower payable not in cash but in additional Indebtedness of like tenor and term, (iii) no
amortization of principal of such Indebtedness is scheduled prior to the date that is at least six months subsequent to the Scheduled Maturity Date, (iv) no Subsidiary of the Borrower has any
Guarantee Obligation or other repayment obligation with respect thereto, and (v) such Indebtedness is expressly subordinated to the Obligations under the Loan Documents pursuant to a
subordination agreement in the form of Exhibit F hereto. 

        "Ratable Share of Excess Swap Termination Value" means, as of any quarter-end date of determination: 

        (a)  for
the Non-OLP Subsidiaries, an amount equal to (i) the sum of (A) the net aggregate Swap Termination Value of all Swap Contracts pursuant to
which any Non-OLP Subsidiary is obligated as a counterparty and (B) the net aggregate Swap Termination Value of all Swap Contracts for which any Non-OLP Subsidiary has a
Guarantee Obligation, in each case without duplication of any such Swap Contracts and Guarantee Obligations with respect thereto, divided by the sum of
(A) the net aggregate Swap Termination Value of all Swap Contracts pursuant to which any Subsidiary is obligated as a counterparty and (B) the net aggregate Swap Termination Value of all
Swap Contracts for which any Subsidiary has a Guarantee Obligation, in each case without duplication of any such Swap Contacts and Guarantee Obligations with respect thereto (the
"Aggregate Subsidiary Swap Obligations"), times (ii) the Excess Swap Termination Value as of such
date; and 

        (b)  for
the Operating Partnership and the Operating Partnership Subsidiaries, an amount equal to (i) the sum of (A) the net aggregate Swap Termination Value of
all Swap Contracts pursuant to which any of the Operating Partnership or any Operating Partnership Subsidiary is obligated as a counterparty and (B) the net aggregate Swap Termination Value of
all Swap Contracts for which any of the Operating Partnership or any Operating Partnership Subsidiary has a Guarantee Obligation, in each case without duplication of any such Swap Contracts and
Guarantee Obligations with respect thereto, divided by the Aggregate Subsidiary Swap Obligations (as defined in clause (a) above),  times (ii) the
Excess Swap Termination Value as of such date. 

        "Refinancing" means, with respect to any Indebtedness, the extension, refinancing, renewal, replacement, defeasance or refunding of such
Indebtedness. 

16

 

        "Register" has the meaning set forth in Section 10.07(c). 

        "Replacement Lenders" has the meaning specified in Section 2.01(b)(iii). 

        "Reportable Event" means any of the events set forth in Section 4043(c) of ERISA, other than events for which the 30 day
notice period has been waived. 

        "Request for Credit Extension" means (a) with respect to a Borrowing, conversion or continuation of Loans, a Loan Notice, and
(b) with respect to an L/C Credit Extension, a Letter of Credit Application. 

        "Required Lenders" means, as of any date of determination, Lenders whose Voting Percentages aggregate to more than 50%. 

        "Responsible Officer" means the president, chief financial officer, chief accountant, controller, treasurer, assistant treasurer,
secretary or assistant secretary of the Borrower, the General Partner or the Delegate. 

        "Restrictive Agreement" has the meaning set forth in Section 6.14(i). 

        "Revolving Commitment" means, as to each Lender, its obligation to (a) make Revolving Loans to the Borrower pursuant to  Section 2.01(a) and (b) purchase
participations in L/C Obligations, in an aggregate principal amount at any one time outstanding not to
exceed the amount set forth opposite such Lender's name on Schedule 2.01, as such amount may be reduced or adjusted from time to time in
accordance with this Agreement. 

        "Revolving Commitment Termination Date" shall mean the earliest of: 

        (a)  the
Original Revolving Commitment Termination Date, or such other later date as may result from any extension requested by the Borrower and consented to by the Lenders
pursuant to Section 2.01(b); 

        (b)  the
date on which the Commitments are terminated in full or reduced to zero pursuant to Section 2.07; and 

        (c)  the
date on which the Commitments are otherwise terminated in full and reduced to zero pursuant to the terms of  Section 8.02. 

        Upon
the occurrence of any event described in clause (b) or (c), the Commitments shall terminate automatically and without any further action. 

        "Revolving Loan" means an extension of credit by a Lender to the Borrower pursuant to  Section 2.01(a). 

        "S&P" means Standard & Poor's Ratings Services, a division of The McGraw-Hill Companies, Inc. or any successor
to the rating agency business thereof, or if no such successor, any other debt rating agency selected by the Borrower and approved by the Required Lenders. 

        "Scheduled Maturity Date" has the meaning set forth in the definition of "Maturity Date". 

        "Senior Indenture" means that certain Indenture dated September 15, 1998 providing for the issuance of senior debt securities of
the Operating Partnership, which indenture is between the Operating Partnership, as issuer, and JPMorgan Chase Bank, successor to The Chase Manhattan Bank, as trustee. 

        "Senior Unsecured Notes" means, collectively, the following: (a) the 7% senior notes due 2018 in the aggregate principal amount of
$100,000,000 issued by the Operating Partnership pursuant to the Senior Indenture; (b) the 71/8% senior notes due 2028 in the aggregate principal amount of $100,000,000 issued by
the Operating Partnership pursuant to the Senior Indenture; (c) the 7.9% senior 

17

 

notes due 2012 in the aggregate principal amount of $100,000,000 issued by the Operating Partnership pursuant to the Senior Indenture; and (d) such other senior unsecured notes issued by the
Operating Partnership on or after the Closing Date pursuant to the Senior Indenture. 

        "Subsidiary" of a Person means a corporation, partnership, joint venture, limited liability company or other business entity of which a
majority of the shares of securities or other interests having ordinary voting power for the election of directors or other governing body (other than securities or interests having such power only by
reason of the happening of a contingency) are at the time beneficially owned, or the management of which is otherwise controlled, directly, or indirectly through one or more intermediaries, or both,
by such Person. Unless otherwise specified, all references herein to a "Subsidiary" or to "Subsidiaries" shall refer to a Subsidiary or Subsidiaries of the Borrower. In the definition of "Unrestricted
Subsidiaries", the term "Subsidiary" means each Subsidiary of the Borrower. In all other provisions of this Credit Agreement and the other Loan Documents, the term "Subsidiary" does not include any
Unrestricted Subsidiary. 

        "Swap Contract" means (a) any and all rate swap transactions, basis swaps, credit derivative transactions, forward rate
transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward bond or forward
bond price or forward bond index transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions,
cross-currency rate swap transactions, currency options, spot contracts, or any other similar
transactions or any combination of any of the foregoing (including any options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to any master
agreement, and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published
by the International Swaps and Derivatives Association, Inc., any International Foreign Exchange Master Agreement, or any other master agreement (any such master agreement, together with any
related schedules, a "Master Agreement"), including any such obligations or liabilities under any Master Agreement. 

        "Swap Termination Value" means, in respect of each Swap Contract, after taking into account the effect of any netting agreement related to
such Swap Contract, (a) for any date on or after the date there has been an early termination of the transactions under such Swap Contract and a termination value has been determined in
accordance therewith, such termination value, and (b) for any date prior to the date referenced in clause (a) the amount determined as the mark-to-market value
for such Swap Contract, as determined based upon one or more mid-market or other readily available quotations provided by any recognized dealer in such Swap Contract (which may include any
Lender). 

        "Syndication Agent" means Bank of Montreal in its capacity as syndication agent under any of the Loan Documents, or any successor
syndication agent. 

        "Term Loan" means an extension of credit by a Lender to the Borrower pursuant to  Section 2.01(c). 

        "Term Out" has the meaning set forth in Section 2.01(c). 

        "Threshold Amount" means $25,000,000. 

        "Total AFUDC" means, as of the relevant date of determination, the sum of all Project AFUDC. 

        "Type" means with respect to a Loan, its character as a Base Rate Loan or a Eurodollar Rate Loan. 

        "Unfunded Pension Liability" means the excess of a Pension Plan's benefit liabilities under Section 4001(a)(16) of ERISA, over the
current value of that Pension Plan's assets, determined in 

18

 

accordance with the assumptions used for funding the Pension Plan pursuant to Section 412 of the Code for the applicable plan year. 

        "Unreimbursed Amount" has the meaning set forth in Section 2.04(c)(i). 

        "Unrestricted Subsidiaries" means any Subsidiary of the Borrower that is designated to the Administrative Agent in writing by the Borrower
as an Unrestricted Subsidiary after the date hereof; provided, however, that no Subsidiary may be
designated as an Unrestricted Subsidiary if, (i) on the effective date of designation, a Default or Event of Default has occurred and is continuing, (ii) the creation, formation or
acquisition of such Subsidiary would not otherwise be permitted under Section 7.04 hereof, (iii) the creation, acquisition or formation of
such Subsidiary would not be permitted under the Mortgage Note Agreements or any other material contract or agreement to which the Borrower is a party, or (iv) based on the financial statements
most recently delivered pursuant to Section 6.01 or the good faith determination by the Borrower, such Subsidiary is a Material Subsidiary. If an
Unrestricted Subsidiary becomes a Material Subsidiary, such Subsidiary shall no longer be deemed an Unrestricted Subsidiary. 

        "Voting Percentage" means, as to any Lender, (a) at any time when the Commitments are in effect, such Lender's Pro Rata Share and
(b) at any time after the termination of the Commitments, the percentage (carried out to the ninth decimal place) which (i) the sum of (A) the Outstanding Amount of such Lender's
Loans, plus (B) such Lender's Pro Rata Share of the Outstanding Amount of L/C Obligations, then constitutes of (ii) the Outstanding Amount
of all Loans and L/C Obligations; provided, however, that if any Lender has failed to fund any portion
of the Loans or participations in L/C Obligations required to be funded by it hereunder, such Lender's Voting Percentage shall be deemed to be zero percent (0%), and the respective Pro Rata Shares and
Voting Percentages of the other Lenders shall be recomputed for purposes of this definition and the definition of "Required Lenders" without regard to such Lender's Commitment or the outstanding
amount of its Loans, and L/C Advances, as the case may be. 

        "Wholly-Owned" when used to describe a Subsidiary means that all of the equity of such Subsidiary is wholly owned by the Borrower, either
directly or indirectly through another wholly-owned Subsidiary of the Borrower. 

 
 
        1.02    Other Interpretive Provisions.     

        (a)  The
meanings of defined terms are equally applicable to the singular and plural forms of the defined terms. 

        (b)  (i)
The words "herein" and "hereunder" and words of similar import when
used in any Loan Document shall refer to such Loan Document as a whole and not to any particular provision thereof. 

        (ii)  Unless
otherwise specified herein, Article, Section, Exhibit and Schedule references are to this Agreement. 

        (iii)  The
term "including" is by way of example and not limitation. 

        (iv)  The
term "documents" includes any and all instruments, documents, agreements, certificates, notices, reports, financial statements and other writings, however
evidenced. 

        (v)  The
verb "continue", and its usage in correlative forms, with reference to a Default or an Event of Default, shall mean
that such Default or Event of Default has occurred and continues and, if applicable, after the passage of the applicable notice or cure period continues uncured, unwaived or otherwise unremedied, or
with respect to the event or circumstance giving rise thereto, and after the passage of the applicable notice or cure period, continues uncured, unwaived or otherwise unremedied. 

19

 

        (c)  In
the computation of periods of time from a specified date to a later specified date, the word "from" means
"from and including;" the words "to" and "until" each
mean "to but excluding;" and the word "through" means "to and
including." 

        (d)  Section
headings herein and the other Loan Documents are included for convenience of reference only and shall not affect the interpretation of this Agreement or any
other Loan Document. 

 
 
        1.03    Accounting Terms.     All accounting terms not specifically or completely defined herein shall be construed
in conformity with, and all financial data required to be submitted pursuant
to this Agreement shall be prepared in conformity with, GAAP applied on a consistent basis, as in effect from time to time, applied in a manner consistent with that used in preparing the Audited
Financial Statements, except as otherwise specifically prescribed herein. 

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

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

 
 

ARTICLE II.
  THE COMMITMENTS AND CREDIT EXTENSIONS    
  

 
 
        2.01    Loans.     

        (a)    Revolving Loans.    Subject to the terms and conditions set forth herein, each Lender severally agrees to make
Revolving Loans to the Borrower from time to time on any Business Day during the period from the Closing Date to the Revolving Commitment Termination Date, in an aggregate amount for all Revolving
Loans not to exceed at any time outstanding the amount of such Lender's Commitment; provided, however,
that after giving effect to any Borrowing, (i) the aggregate Outstanding Amount of all Loans and L/C Obligations shall not exceed the Commitments, and (ii) the aggregate Outstanding
Amount of the Loans of any Lender, plus such Lender's Pro Rata Share of the Outstanding Amount of all L/C Obligations shall not exceed such Lender's
Commitment. Within the limits of each Lender's Commitment, and subject to the other terms and conditions hereof, the Borrower may borrow under this  Section 2.01(a), prepay under Section 2.06, and reborrow under this  Section 2.01(a). Loans may be Base Rate Loans or Eurodollar Rate Loans, as further provided herein. 

        (b)  Extension of Revolving Commitment Termination Date and of Revolving Commitments. 

        (i)    Subject
to the other provisions of this Agreement and provided that no Event of Default has occurred and is continuing, the total Revolving Commitments shall be
effective for an initial period from the Closing Date to the Original Revolving Commitment Termination Date; provided that, subject to the provisions of  Section 2.01(d)
, the Revolving Commitment Termination Date, and concomitantly the total Revolving Commitments, may be extended for successive
364-day periods expiring on the date which is 364-days from the then scheduled Revolving Commitment Termination Date. If the Borrower shall request in an Annual Certificate of
Extension delivered to the Administrative Agent at least 30 days, but no more than 60 days, prior to the then scheduled Revolving Commitment Termination Date that the Revolving
Commitment Termination Date be 

20

 

extended for 364-days from the then scheduled Revolving Commitment Termination Date, then the Administrative Agent shall promptly notify each Lender of such request and each Lender shall
notify the Administrative Agent, no later than 15 days after such Lender's receipt of such notice from the Administrative Agent, whether such Lender, in the exercise of its sole discretion,
will extend the Revolving Commitment Termination Date for such 364-day period. Any Lender which shall not timely
notify the Administrative Agent that it will extend the Revolving Commitment Termination Date shall be deemed not to have agreed to extend the Revolving Commitment Termination Date. No Lender shall
have any obligation whatsoever to agree to extend the Revolving Commitment Termination Date. Any agreement to extend the Revolving Commitment Termination Date by any Lender shall be irrevocable upon
receipt by the Administrative Agent of written notification to that effect, except as provided in clause (iii) of this Section. 

        (ii)  If
all Lenders notify the Administrative Agent pursuant to clause (i) of this Section 2.01(b) of their
agreement to extend the Revolving Commitment Termination Date, then the Administrative Agent shall so notify each Lender and the Borrower, and such extension shall be effective without other or
further action by any party hereto for such additional 364-day period. 

        (iii)  If
Lenders constituting at least the Required Lenders approve the extension of the then scheduled Revolving Commitment Termination Date (such Lenders agreeing to
extend the Revolving Commitment Termination Date herein called the "Accepting Lenders") and if one or more Lenders shall notify, or be deemed to notify,
the Administrative Agent pursuant to clause (i) of this Section 2.01(b) that they will not extend the then scheduled Revolving Commitment
Termination Date (such Lenders herein called the "Declining Lenders"), then (A) the Administrative Agent shall promptly so notify the Borrower
and the Accepting Lenders, (B) the Accepting Lenders shall, upon the Borrower's election to extend the then scheduled Revolving Commitment Termination Date in accordance with clause (A)
or (B) below, extend the then scheduled Revolving Commitment Termination Date, and (C) the Borrower shall, pursuant to a notice delivered to the Administrative Agent, the Accepting
Lenders and the Declining Lenders, no later than the tenth (10th) day following the date by which each Lender is required, pursuant to clause (i) of this  Section 2.01(b) to approve or
disapprove the requested extension of the total Revolving Commitments, either: 

        (A)  elect
to extend the Revolving Commitment Termination Date with respect to the Accepting Lenders and terminate the Revolving Commitments and obligations of the Declining
Lenders, which termination shall become effective on the date which would have been the Revolving Commitment Termination Date except for the operation of this Section. On such date, (x) the
Borrower shall deliver a notice of the effectiveness of such termination to the Administrative Agent for delivery to the Declining Lenders and (y) the Borrower shall pay in full in immediately
available funds all Obligations of the Borrower owing to the Declining Lenders, including any amounts required pursuant to Article III, and
(z) upon the occurrence of the events set forth in clauses (x) and (y), the Declining Lenders shall each cease to be a Lender hereunder for all purposes, other than for purposes of  Article III and Section 10.05, and shall cease to have any obligations or any Commitment
hereunder, other than to the Agents pursuant to Article IX, and the Administrative Agent shall promptly notify the Accepting Lenders and the
Borrower of the new Commitments provided such Declining Lenders shall have the benefit of all provisions expressly provided to survive hereunder; or 

        (B)  elect
to extend the Revolving Commitment Termination Date with respect to the Accepting Lenders and, prior to or no later than the then scheduled Revolving Commitment
Termination Date, (A) to replace one or more of the Declining Lenders with another lender or lenders reasonably acceptable to the Administrative Agent (such lenders herein called the
"Replacement Lenders") and (B) the Borrower shall pay in full in immediately available funds all Obligations of the Borrower owing to any
Declining Lenders which are not being replaced, 

21

 

as provided in clause (A) above; provided that (x) any Replacement Lender shall purchase, and any Declining Lender shall sell, such Declining Lender's rights and obligations hereunder
without recourse or expense to, or warranty by, such Declining Lender for a purchase price equal to the aggregate outstanding principal amount of the Obligations payable to such Declining Lender and
the Borrower shall pay to the Declining Lender any accrued but unpaid interest on such Obligations and accrued but unpaid fees or other amounts owing in respect of such Declining Lender's Loans and
Commitments hereunder, and (y) upon the payment of such amounts referred to in clause(x) and the execution of an Assignment and Acceptance by such Replacement Lender and such Declining
Lender, such Replacement Lender shall constitute a Lender hereunder and such Declining Lender being so replaced shall no longer constitute a Lender (other than for purposes of  Article III and
Section 10.05), and shall no longer have any obligations hereunder, other
than to the Agents pursuant to Article IX provided such Declining Lenders shall have the benefit of all provisions expressly provided to survive
hereunder; or 

        (C)  elect
to revoke and cancel the extension request in such Annual Certificate of Extension by giving notice of such revocation and cancellation to the Administrative Agent
(which shall promptly notify the Lenders thereof) no later than the tenth (10th) day following the date by which each Lender is required, pursuant to clause (i) of this  Section 2.01(b), to
approve or disapprove the requested extension of the Revolving Commitment Termination Date, and concomitantly the total
Commitments. 

        (iv)  If
Lenders constituting at least the Required Lenders do not agree to extend the Revolving Commitment Termination Date pursuant to the Annual Certificate of Extension,
the Administrative Agent shall notify each Lender and the Borrower that no such extension specified therein shall be effective. 

If
the Borrower fails to timely provide the election notice referred to in this clause (iii), the Borrower shall be deemed to have revoked and cancelled the extension request in the Annual
Certificate of Extension and to have elected not to extend the Revolving Commitment Termination Date. 

        (c)    Term Loans.    On the Revolving Commitment Termination Date (unless such date shall occur as a result of
clause (c) of the definition thereof) and upon the receipt by the Administrative Agent of a Loan Notice from the Borrower, which Loan Notice shall be deemed to be a representation and warranty
by the Borrower that the conditions specified in Section 4.02(a) and (b) have been
satisfied on and as of the Revolving Commitment Termination Date, each Lender will make one Term Loan to the Borrower up to but not exceeding the amount of the Revolving Commitments in effect
immediately prior to the termination of the Revolving Commitments on the Revolving Commitment Termination Date, as such amount may be reduced from time to time in accordance with this Agreement (the
"Term Out"). No amounts paid or prepaid with respect to the Term Loan may be reborrowed. Eurodollar Rate Loans for which the Interest Period shall not
have terminated as of the Revolving Commitment Termination Date shall be continued as Eurodollar Rate Loans for the applicable Interest Period and Base Rate Loans shall be continued as Base Rate Loans
after the Revolving Commitment Termination Date, in each case subject to further elections pursuant to Section 2.02. Any principal repayments
received on the Revolving Commitment Termination Date for Revolving Loans not converted into Term Loans shall be applied first to Base Rate Loans and, after Base Rate Loans have been paid in full, to
Eurodollar Rate Loans, unless the Borrower shall have otherwise instructed the Administrative Agent
in writing. Upon a Lender making such Term Loan, its Term Commitment shall terminate and it shall have no further Revolving Commitment to make Revolving Loans or Term Commitment to make Term Loans. 

        (d)    Limitation on Extension of Maturity Date.    If the Amended and Restated Multi-Year Credit
Agreement is in effect at the time the Borrower exercises its option to extend pursuant to 

22

 

 Section 2.01(b), the Scheduled Maturity Date as so extended pursuant to Section 2.01(b) shall not be later than
the Maturity Date as defined in the Amended and Restated Multi-Year Credit Agreement. If the Amended and Restated Multi-Year Credit Agreement is in effect at the time the
Borrower exercises its Term-Out option pursuant to Section 2.01(c), the Scheduled Maturity Date of the Term Loans shall not be later
than the Maturity Date as defined in the Amended and Restated Multi-Year Credit Agreement. 

 
 
        2.02    Borrowings, Conversions and Continuations of Loans.     

        (a)  Each
Borrowing (other than an L/C Borrowing), each conversion of Loans from one Type to the other, and each continuation of Loans as the same Type shall be made upon the
relevant Borrower's irrevocable notice to the Administrative Agent. Each such notice must be received by the Administrative Agent not later than 11:00 a.m., New York time, (i) three
Business Days prior to the requested date of any Borrowing of, conversion to or continuation of Eurodollar Rate Loans or of any conversion of Eurodollar Rate Loans to Base Rate Loans, and
(ii) on the requested date of any Borrowing of Base Rate Loans. Each Borrowing of, conversion to or continuation of Eurodollar Rate Loans shall be in a principal amount of $10,000,000 or a
whole multiple of $1,000,000 in excess thereof. Each Borrowing of or conversion to Base Rate Loans shall be in a principal amount of $1,000,000 or a whole multiple of $500,000 in excess thereof. Each
Loan Notice shall specify (i) whether the Borrower is requesting a Borrowing, a conversion of Loans from one Type to the other, or a continuation of Loans as the same Type, (ii) the
requested date of the Borrowing, conversion or continuation, as the case may be (which shall be a Business Day), (iii) the principal amount of Loans to be borrowed, converted or continued,
(iv) the Type of Loans to be borrowed or to which existing Loans are to be converted, and (v) if applicable, the duration of the Interest Period with respect thereto. If the Borrower
fails to specify a Type of Loan in a Loan Notice or if the Borrower fails to give a timely notice requesting a conversion or continuation, then the applicable Loans shall be made or continued as, or
converted to, Base Rate Loans. Any such automatic conversion to Base Rate Loans shall be effective as of the last day of the Interest Period then in effect with respect to the applicable Eurodollar
Rate Loans. If the Borrower requests a Borrowing of, conversion to, or continuation of Eurodollar Rate Loans in any such Loan Notice, but fails to specify an Interest Period, it will be deemed to have
specified an Interest Period of one month. 

        (b)  Following
receipt of a Loan Notice, the Administrative Agent shall promptly notify each Lender of its Pro Rata Share of the applicable Loans, and if no timely notice of
a conversion or continuation is provided by the Borrower, the Administrative Agent shall notify each Lender of the details of any automatic conversion to Base Rate Loans described in the preceding
subsection. In the case of a Borrowing, each Lender shall make the amount of its Loan available to the Administrative Agent in immediately available funds at the Administrative Agent's Office not
later than 1:00 p.m., New York
time, on the Business Day specified in the applicable Loan Notice. Upon satisfaction of the applicable conditions set forth in Section 4.02 (and,
if such Borrowing is the initial Credit Extension, Section 4.01), the Administrative Agent shall make all funds so received available to the
Borrower in like funds as received by the Administrative Agent either by (i) crediting the account of the Borrower on the books of the Administrative Agent with the amount of such funds or
(ii) wire transfer of such funds, in each case in accordance with instructions provided to the Administrative Agent by the Borrower; provided,  however,
 that if, on the date of the Borrowing there are L/C Borrowings outstanding, then the proceeds of such Borrowing shall be applied,
first, to the payment in full of any such L/C Borrowings, and second, to the Borrower as provided above. 

        (c)  Except
as otherwise provided herein, a Eurodollar Rate Loan may be continued or converted only on the last day of the Interest Period for such Eurodollar Rate Loan.
During the existence of a Default or Event of Default, no Loans may be requested as, converted to or continued as Eurodollar Rate Loans without the consent of the Required Lenders, and the Required
Lenders may demand that any or all of the then outstanding Eurodollar Rate Loans be converted to Base Rate Loans at the end 

23

 

of the respective Interest Periods therefor, if at the end of such periods, a Default or an Event of Default is then in existence. 

        (d)  The
Administrative Agent shall promptly notify the Borrower and the Lenders of the interest rate applicable to any Eurodollar Rate Loan upon determination of such
interest rate. The determination of the Eurodollar Rate by the Administrative Agent shall be conclusive in the absence of manifest error. The Administrative Agent shall notify the relevant Borrower
and the Lenders of any change in Bank of America's prime rate used in determining the Base Rate promptly following the public announcement of such change. 

        (e)  After
giving effect to all Borrowings, all conversions of Loans from one Type to the other, and all continuations of Loans as the same Type, there shall not be more than
5 Interest Periods in effect with respect to Loans. 

 
 
        2.03    Intentionally Blank.     

 
 
        2.04    Letters of Credit.     

        (a)    The Letter of Credit Commitment.    

        (i)    Subject
to the terms and conditions set forth herein, (A) the L/C Issuer agrees, in reliance upon the agreements of the other Lenders set forth in this  Section 2.04, (1) from time to time on any
Business Day during the period from the Closing Date until the Letter of Credit Expiration
Date, to issue
Letters of Credit for the account of the Borrower, and to amend Letters of Credit previously issued by it, in accordance with subsection (b) below, and (2) to honor drafts under the
Letters of Credit; and (B) the Lenders severally agree to participate in Letters of Credit issued for the account of the Borrower; provided that
the L/C Issuer shall not be obligated to make any L/C Credit Extension with respect to any Letter of Credit, and no Lender shall be obligated to participate in, any Letter of Credit if as of the date
of such L/C Credit Extension, (x) the Outstanding Amount of all L/C Obligations and all Loans would exceed the Commitments, (y) the aggregate Outstanding Amount of the Loans of any
Lender, plus such Lender's Pro Rata Share of the Outstanding Amount of all L/C Obligations, would exceed such Lender's Commitment, or (z) the
Outstanding Amount of the L/C Obligations would exceed the Letter of Credit Sublimit. Within the foregoing limits, and subject to the terms and conditions hereof, the Borrower's ability to obtain
Letters of Credit shall be fully revolving, and accordingly the Borrower may, during the foregoing period, obtain Letters of Credit to replace Letters of Credit that have expired or that have been
drawn upon and reimbursed. 

24

  

        (ii)  The
L/C Issuer shall be under no obligation to issue any Letter of Credit if: 

        (A)  any
order, judgment or decree of any Governmental Authority or arbitrator shall by its terms purport to enjoin or restrain the L/C Issuer from issuing such Letter of
Credit, or any Law applicable to the L/C Issuer or any request or directive (whether or not having the force of law) from any Governmental Authority with jurisdiction over the L/C Issuer shall
prohibit, or request that the L/C Issuer refrain from, the issuance of letters of credit generally or such Letter of Credit in particular or shall impose upon the L/C Issuer with respect to such
Letter of Credit any restriction, reserve or capital requirement (for which the L/C Issuer is not otherwise compensated hereunder) not in effect on the Closing Date, or shall impose upon the L/C
Issuer any unreimbursed loss, cost or expense which was not applicable on the Closing Date and which the L/C Issuer in good faith deems material to it; 

        (B)  the
expiry date of such requested Letter of Credit would occur more than twelve months after the date of issuance, unless the Required Lenders have approved such expiry
date; 

        (C)  the
expiry date of such requested Letter of Credit would occur after the Letter of Credit Expiration Date, unless all the Lenders have approved such expiry date; 

        (D)  the
issuance of such Letter of Credit would violate one or more policies of the L/C Issuer; or 

        (E)  such
Letter of Credit is in a face amount less than $100,000, in the case of a commercial Letter of Credit, or $500,000, in the case of any other type of Letter of
Credit, or is to be denominated in a currency other than Dollars. 

        (iii)  The
L/C Issuer shall be under no obligation to amend any Letter of Credit if (A) the L/C Issuer would have no obligation at such time to issue such Letter of
Credit in its amended form under the terms hereof, or (B) the beneficiary of such Letter of Credit does not accept the proposed amendment to such Letter of Credit. 

        (b)    Procedures for Issuance and Amendment of Letters of Credit.    

          (i)  Each
Letter of Credit shall be issued or amended, as the case may be, upon the request of the Borrower delivered to the L/C Issuer (with a copy to the Administrative
Agent) in the form of a Letter of Credit Application, appropriately completed and signed by a Responsible Officer of the Borrower. Such L/C Application must be received by the L/C Issuer and the
Administrative Agent not later than 11:00 a.m., New York time, at least two Business Days (or such later date and time as the L/C Issuer may agree in a particular instance in its sole
discretion) prior to the proposed issuance date or date of amendment, as the case may be. In the case of a request for an initial issuance of a Letter of Credit, such Letter of Credit Application
shall specify in form and detail satisfactory to the L/C Issuer: (A) the proposed issuance date of the requested Letter of Credit (which shall be a Business Day); (B) the amount thereof;
(C) the expiry date thereof; (D) the name and address of the beneficiary thereof; (E) the documents to be presented by such beneficiary in case of any drawing thereunder;
(F) the full text of any certificate to be presented by such beneficiary in case of any drawing thereunder; and (G) such other matters as the L/C Issuer may require. In the case of a
request for an amendment of any outstanding Letter of Credit, such Letter of Credit Application shall specify in form and detail satisfactory to the L/C Issuer (A) the Letter of Credit to be
amended; (B) the proposed date of amendment thereof (which shall be a Business Day); (C) the nature of the proposed amendment; and (D) such other matters as the L/C Issuer may
require. 

        (ii)  Promptly
after receipt of any Letter of Credit Application, the L/C Issuer will confirm with the Administrative Agent (by telephone or in writing) that the
Administrative Agent has 

25

 

received a copy of such Letter of Credit Application from the Borrower and, if not, the L/C Issuer will provide the Administrative Agent with a copy thereof. Upon receipt by the L/C Issuer of
confirmation from the Administrative Agent that the requested issuance or amendment is permitted in accordance with the terms hereof, then, subject to the terms and conditions hereof, the L/C Issuer
shall, on the requested date, issue a Letter of Credit for the account of the Borrower or enter into the applicable amendment, as the case may be, in each case in accordance with the L/C Issuer's
usual and customary business practices. Immediately upon the issuance of each Letter of Credit, each Lender shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the
L/C Issuer a participation in such Letter of Credit in an amount equal to the product of such Lender's Pro Rata Share times the amount of such Letter of Credit. 

        (iii)  Promptly
after its delivery of any Letter of Credit or any amendment to a Letter of Credit to an advising bank with respect thereto or to the beneficiary thereof, the
L/C Issuer will also deliver to the Borrower and the Administrative Agent a true and complete copy of such Letter of Credit or amendment. 

        (c)    Drawings and Reimbursements; Funding of Participations.    

          (i)  Upon
any drawing under any Letter of Credit, the L/C Issuer shall notify the Borrower and the Administrative Agent thereof. Not later than 11:00 a.m., New York
time, on the date of any payment by
the L/C Issuer under a Letter of Credit (each such date, an "Honor Date"), the Borrower shall reimburse the L/C Issuer through the Administrative Agent
in an amount equal to the amount of such drawing. If the Borrower fails to so reimburse the L/C Issuer by such time, the Administrative Agent shall promptly notify each Lender of the Honor Date, the
amount of the unreimbursed drawing (the "Unreimbursed Amount"), and such Lender's Pro Rata Share thereof. In such event, the Borrower shall be deemed to
have requested a Borrowing of Base Rate Loans to be disbursed on the Honor Date in an amount equal to the Unreimbursed Amount, without regard to the minimum and multiples specified in  Section 2.02
for the principal amount of Base Rate Loans, but subject to the amount of the unutilized portion of the Commitments and the
conditions set forth in Section 4.02 (other than the delivery of a Loan Notice). Any notice given by the L/C Issuer or the Administrative Agent
pursuant to this Section 2.04(c)(i) may be given by telephone if immediately confirmed in writing;  provided that the lack of such an immediate
confirmation shall not affect the conclusiveness or binding effect of such notice. 

        (ii)  Each
Lender (including the Lender acting as L/C Issuer) shall upon receipt of any notice pursuant to  Section 2.04(c)(i) make funds available to the Administrative Agent for the account of the L/C
Issuer at the Administrative Agent's Office
in an amount equal to its Pro Rata Share of the Unreimbursed Amount not later than 1:00 p.m., New York time, on the Business Day specified in such notice by the Administrative Agent if such
notice is received by 12:00 noon on such day and otherwise by 1:00 p.m. on the next Business Day, whereupon, subject to the provisions of  Section 2.04(c)(iii), each Lender that so makes funds
available shall be deemed to have made a Base Rate Loan to the Borrower in such amount. The
Administrative Agent shall remit the funds so received to the L/C Issuer. 

        (iii)  With
respect to any Unreimbursed Amount that is not fully paid by a Borrowing of Base Rate Loans because the conditions set forth in  Section 4.02 cannot be satisfied or for any other reason, the
Borrower shall be deemed to have incurred from the L/C Issuer an L/C Borrowing in
the amount of the Unreimbursed Amount that is not so paid, which L/C Borrowing shall be due and payable on demand (together with interest) and shall bear interest at the Default Rate. In such event,
each Lender's payment to the Administrative Agent for the account of the L/C Issuer pursuant to Section 2.04(c)(ii) shall be deemed
payment in respect of its participation in such L/C Borrowing and shall constitute an L/C Advance from such Lender in satisfaction of its participation obligation under this  Section 2.04.

26

 

        (iv)  Until
each Lender funds its Base Rate Loan pursuant to clause (ii),or L/C Advance pursuant to clause (iii), of this  Section 2.04(c) to reimburse the L/C Issuer for any amount drawn under any
Letter of Credit, interest in respect of such Lender's Pro Rata Share
of such amount shall be solely for the account of the L/C Issuer. 

        (v)  Each
Lender's obligation to make Base Rate Loans or L/C Advances to reimburse the L/C Issuer for amounts drawn under Letters of Credit, as contemplated by this  Section 2.04(c), shall be absolute and
unconditional and shall not be affected by any circumstance, including (A) any set-off,
counterclaim, recoupment, defense or other right which such Lender may have against the L/C Issuer, the Borrower or any other Person for any reason whatsoever; (B) the occurrence or continuance
of a Default or
Event of Default, or (C) any other occurrence, event or condition, whether or not similar to any of the foregoing. Any such reimbursement shall not relieve or otherwise impair the obligation of
the Borrower to reimburse the L/C Issuer for the amount of any payment made by the L/C Issuer under any Letter of Credit, together with interest as provided herein. 

        (vi)  If
any Lender fails to make available to the Administrative Agent for the account of the L/C Issuer any amount required to be paid by such Lender pursuant to the
foregoing provisions of this Section 2.04(c) by the time specified in Section 2.04(c)(ii),
the L/C Issuer shall be entitled to recover from such Lender (acting through the Administrative Agent), on demand, such amount with interest thereon for the period from the date such payment is
required to the date on which such payment is immediately available to the L/C Issuer at a rate per annum equal to the Federal Funds Rate from time to time in effect. A certificate of the L/C Issuer
submitted to any Lender (through the Administrative Agent) with respect to any amounts owing under this clause (vi) shall be conclusive absent manifest error. 

        (d)    Repayment of L/C Advances.    

          (i)  At
any time after the L/C Issuer has made a payment under any Letter of Credit and has received from any Lender such Lender's Base Rate Loan in accordance with  Section 2.04(c)(ii) or its L/C
Advance in respect of such payment in accordance with  Section 2.04(c)(iii), if the Administrative Agent receives for the account of the L/C Issuer any payment related to such Letter of Credit
(whether directly from the Borrower or otherwise, including proceeds of Cash Collateral applied thereto by the Administrative Agent), or any payment of interest thereon, the Administrative Agent will
distribute to such Lender its Pro Rata Share thereof in the same funds as those received by the Administrative Agent. 

        (ii)  If
any payment received by the Administrative Agent for the account of the L/C Issuer pursuant to  Section 2.04(c)(i) is required to be returned, each Lender shall pay to the Administrative Agent
for the account of the L/C Issuer its Pro
Rata Share thereof on demand of the Administrative Agent, plus interest thereon from the date of such demand to the date such amount is returned by such Lender, at a rate per annum equal to the
Federal Funds Rate from time to time in effect and such payments shall constitute L/C Advances hereunder with respect to such Lenders. 

        (e)    Obligations Absolute.    The obligation of the Borrower to reimburse the L/C Issuer for each drawing under each
Letter of Credit that it has requested to be issued, and to repay each such L/C Borrowing and each drawing under a Letter of Credit that is paid by a corresponding Borrowing of Loans or L/C Advances,
shall be absolute, unconditional and irrevocable, and shall be paid strictly in accordance with the terms of this Agreement under all circumstances, including the following: 

          (i)  any
lack of validity or enforceability of such Letter of Credit, this Agreement, or any other agreement or instrument relating thereto; 

27

 

        (ii)  the
existence of any claim, counterclaim, set-off, defense or other right that the Borrower may have at any time against any beneficiary or any transferee
of such Letter of Credit (or any Person for whom any such beneficiary or any such transferee may be acting), the L/C Issuer or any other Person, whether in connection with this Agreement, the
transactions contemplated hereby or by such Letter of Credit or any agreement or instrument relating thereto, or any unrelated transaction; 

        (iii)  any
draft, demand, certificate or other document presented under such Letter of Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any
statement therein being untrue or inaccurate in any respect; or any loss or delay in the transmission or otherwise of any document required in order to make a drawing under such Letter of Credit; 

        (iv)  any
payment by the L/C Issuer under such Letter of Credit against presentation of a draft or certificate that does not strictly comply with the terms of such Letter of
Credit; or any payment made by the L/C Issuer under such Letter of Credit to any Person purporting to be a trustee in bankruptcy, debtor-in-possession, assignee for the benefit
of creditors, liquidator, receiver or other representative of or successor to any beneficiary or any transferee of such Letter of Credit, including any arising in connection with any proceeding under
any Debtor Relief Law; or 

        (v)  any
other circumstance or happening whatsoever, whether or not similar to any of the foregoing, including any other circumstance that might otherwise constitute a
defense available to, or a discharge of, the Borrower, except for the gross negligence, willful misconduct or violation of Law by the L/C Issuer in connection with its payment of a Letter of Credit. 

        The
Borrower shall promptly examine a copy of each Letter of Credit that is has requested to be issued and each amendment thereto that is delivered to it and, in the event of any claim
of noncompliance with the Borrower's instructions or other irregularity, the Borrower shall immediately notify the L/C Issuer. The Borrower shall be conclusively deemed to have waived any such claim
against the L/C Issuer and its correspondents unless such notice is immediately given as aforesaid. 

        (f)    Role of L/C Issuer.    Each Lender and the Borrower agree that, in paying any drawing under a Letter of Credit,
the L/C Issuer shall not have any responsibility to obtain any document (other than any sight draft, certificates and documents expressly required by the Letter of Credit) or to ascertain or inquire
as to the validity or accuracy of any such document or the authority of the Person executing or delivering any such document. No Agent-Related Person nor any of the respective correspondents,
participants or assignees of the L/C Issuer shall be liable to any Lender for (i) any action taken or omitted in connection herewith at the request or with the approval of the Lenders or the
Required Lenders, as applicable; (ii) any action taken or omitted in the absence of gross negligence, willful misconduct or violation of Law; or (iii) the due execution, effectiveness,
validity or enforceability of any document or instrument related to any Letter of Credit or Letter of Credit Application. The Borrower hereby assumes all risks of the acts or omissions of any
beneficiary or transferee with respect to its use of any Letter of Credit; provided, however, that this
assumption is not intended to, and shall not,
preclude such Borrower's pursuing such rights and remedies as it may have against the beneficiary or transferee at law or under any other agreement. No Agent-Related Person, nor any of the respective
correspondents, participants or assignees of the L/C Issuer, shall be liable or responsible for any of the matters described in clauses (i) through (v) of  Section 2.04(e); provided, however, that anything in such clauses to the contrary
notwithstanding, the Borrower may have a claim against the L/C Issuer, and the L/C Issuer may be liable to the Borrower, to the extent, but only to the extent, of any direct, as opposed to
consequential or exemplary, damages suffered by the Borrower which the Borrower proves were caused by the L/C Issuer's willful misconduct, gross negligence or violation of Law or the L/C Issuer's
willful failure to pay under any Letter of Credit after the presentation to it by the beneficiary of a sight draft and certificate(s) strictly complying with the terms and conditions of a Letter of
Credit. In furtherance and not in limitation of the foregoing, the L/C Issuer may accept documents that appear 

28

 

on their face to be in order, without responsibility for further investigation, regardless of any notice or information to the contrary, and the L/C Issuer shall not be responsible for the validity
or sufficiency of any instrument transferring or assigning or purporting to transfer or assign a Letter of Credit or the rights or benefits thereunder or proceeds thereof, in whole or in part, which
may prove to be invalid or ineffective for any reason. 

        (g)    Cash Collateral.    Upon the request of the Administrative Agent, (i) if the L/C Issuer has honored any
full or partial drawing request under any Letter of Credit and such drawing has resulted in an L/C Borrowing and until such borrowing has been reimbursed or otherwise paid (including pursuant to a
Borrowing), or (ii) if, as of the Letter of Credit Expiration Date, any Letter of Credit may for any reason remain outstanding and partially or wholly undrawn, the Borrower shall, upon the
Administrative Agent's request, immediately Cash Collateralize the then Outstanding Amount of all such L/C Obligations (in an amount equal to such Outstanding Amount). The Borrower hereby grants the
Administrative Agent, for the benefit of the L/C Issuer and the Lenders, a Lien on its interest in such Cash Collateral to secure the outstanding and unpaid amount of a L/C Borrowing or Letter of
Credit remaining outstanding as of the Letter of Credit Expiration Date, in each case as referred to in clause (i) or (ii) of this Section;  provided that when such amount shall no longer be
outstanding and unpaid, such Cash Collateral shall be released from such Lien and returned to the
Borrower. Cash Collateral shall be maintained in blocked, non-interest bearing deposit accounts at Bank of America or other institutions satisfactory to it. 

        (h)    Applicability of ISP98 and UCP.    Unless otherwise expressly agreed by the L/C Issuer and the Borrower with
the consent of the Required Lenders when a Letter of Credit is issued (including any such agreement applicable to an Existing Letter of Credit), (i) the rules of the "International Standby
Practices 1998" published by the Institute of International Banking Law & Practice (or such later version thereof as may be in effect at the time of issuance) shall apply to each standby Letter
of Credit, and (ii) the rules of the Uniform Customs and Practice for Documentary Credits, as most recently published by the International Chamber of Commerce (the
"ICC") at the time of issuance (including, to the extent it is applicable, the ICC decision published by the Commission on Banking Technique and
Practice on April 6, 1998 regarding the European single currency (euro)) shall apply to each commercial Letter of Credit. 

        (i)    Letter of Credit Fees.    The Borrower shall pay to the Administrative Agent for the account of each Lender in
accordance with its Pro Rata Share a Letter of Credit fee for each Letter of Credit issued at its request equal to the Applicable Rate for Letters of Credit multiplied by the actual daily maximum
amount available to be drawn under such Letter of Credit. Such fee for each Letter of Credit shall be due and payable on the last Business Day of each March, June, September and December,
commencing with the first such date to occur after the issuance of such Letter of Credit, and on the Letter of Credit Expiration Date. If there is any change in the Applicable Rate during any quarter,
the actual daily amount of each Letter of Credit shall be computed and multiplied by the Applicable Rate separately for each period during such quarter that such Applicable Rate was in effect. 

        (j)    Fronting Fee and Documentary and Processing Charges Payable to L/C Issuer.    The Borrower shall pay directly
to the L/C Issuer for its own account a fronting fee with respect to each Letter of Credit issued at its request, as provided in the Agent/Arranger Fee Letter, due and payable quarterly in arrears on
the last Business Day of each March, June, September and December, commencing with the first such date to occur after the issuance of such Letter of Credit, and on the Letter of Credit Expiration
Date. In addition, the Borrower shall pay directly to the L/C Issuer for its own account the customary issuance, presentation, amendment and other processing fees, and other standard costs and
charges, of the L/C Issuer relating to letters of credit issued at its request as from time to time in effect. Such fees and charges are due and payable on demand and are nonrefundable. 

29

 

        (k)    Conflict with Letter of Credit Application.    In the event of any conflict between the terms hereof and the
terms of any Letter of Credit Application, the terms hereof shall control. 

 
 
        2.05    Intentionally Omitted.
    

 
 
 

        2.06    Prepayments.    

        (a)  The
Borrower may, upon notice to the Administrative Agent, at any time or from time to time voluntarily prepay Loans in whole or in part without premium or penalty;  provided that (i) such notice must
be received by the Administrative Agent not later than 11:00 a.m., New York time, (A) three
Business Days prior to any date of prepayment of Eurodollar Rate Loans, and (B) one Business Day prior to any date of prepayment of Base Rate Loans; (ii) any prepayment of Eurodollar
Rate Loans shall be in a principal amount of $5,000,000 or a whole multiple of $1,000,000 in excess thereof; and (iii) any prepayment of Base Rate Loans shall be in a principal amount of
$500,000 or a whole multiple of $100,000 in excess thereof. Each such notice shall specify the date and amount of such prepayment and the Type(s) of Loans to be prepaid. The Administrative Agent will
promptly notify each Lender of its receipt of each such notice, and of such Lender's Pro Rata Share of such prepayment. If such notice is given by the Borrower, the Borrower shall make such prepayment
and the payment amount specified in such notice shall be due and payable on the date specified therein. Any prepayment of a Eurodollar Rate Loan shall be accompanied by all accrued interest thereon,
together with any additional amounts required pursuant to Section 3.05. Each such prepayment shall be applied to the Loans of the Lenders in
accordance with their respective Pro Rata Shares. 

        (b)  If
for any reason the Outstanding Amount of all Loans and L/C Obligations at any time exceeds the Commitments then in effect, the Borrower shall immediately prepay its
Loans and/or Cash Collateralize the L/C Obligations in an aggregate amount equal to such excess. 

 
 
        2.07    Reduction or Termination of Commitments.     The Borrower may, upon notice to the Administrative Agent,
terminate the Commitments, or permanently reduce the Commitments to an amount not less than the then
Outstanding Amount of all Loans and L/C Obligations; provided that (i) any such notice shall be received by the Administrative Agent not later
than 11:00 a.m., five Business Days prior to the date of termination or reduction, and (ii) any such partial reduction shall be in an aggregate amount of $10,000,000 or any whole
multiple of $1,000,000 in excess thereof. The Administrative Agent shall promptly notify the Lenders of any such notice of reduction or termination of the Commitments. Once reduced in accordance with
this Section, the Commitments may not be increased. Any reduction of the Commitments shall be applied to the Commitment of each Lender according to its Pro Rata Share. All facility fees and
utilization fees accrued until the effective date of any termination of the Commitments shall be paid on the effective date of such termination. 

 
 
        2.08    Repayment of Loans.
    

        The
Borrower shall repay to the Lenders on the Maturity Date the aggregate principal amount of Loans outstanding on such date which were made to it. 

 
 
 

        2.09    Interest.    

        (a)  Subject
to the provisions of subsection (b) below, (i) each Eurodollar Rate Loan shall bear interest on the outstanding principal amount thereof for each
Interest Period at a rate per annum equal to the Eurodollar Rate for such Interest Period plus the Applicable Rate; and (ii) each Base Rate Loan
shall bear interest on the outstanding principal amount thereof from the applicable borrowing date at a rate per annum equal to the Base Rate plus the
Applicable Rate. 

        (b)  In
the event any amount due hereunder or under any other Loan Document (including, without limitation, any interest payment) is not paid when due (whether by
acceleration or otherwise), the Borrower shall pay interest on such unpaid amount (including, without limitation, interest on interest) at a fluctuating interest rate per annum equal to the Default
Rate to the fullest extent 

30

 

permitted by applicable Law. Accrued and unpaid interest on past due amounts (including interest on past due interest) shall be due and payable upon demand. 

        (c)  Interest
on each Loan shall be due and payable in arrears on each Interest Payment Date applicable thereto and at such other times as may be specified herein. Interest
hereunder shall be due and payable in accordance with the terms hereof before and after judgment, and before and after the commencement of any proceeding under any Debtor Relief Law. 

 
 
 

        2.10    Fees.    

        In
addition to certain fees described in subsections (i) and (j) of Section 2.04: 

        (a)    Facility Fee.    The Borrower shall pay to the Administrative Agent for the account of each Lender in
accordance with its Pro Rata Share, a facility fee equal to the Applicable Rate multiplied by (i) until the Revolving Termination Date, the actual daily amount of the Commitments, regardless of
usage, and (ii) on and after the Revolving Termination Date, the actual daily aggregate Outstanding Amount of Loans. The facility fee shall accrue at all times from the Closing Date until the
Maturity Date and shall be due and payable quarterly in arrears on the last Business Day of each March, June, September and December, commencing with the first such date to occur after the Closing
Date, and on the Maturity Date. The facility fee shall be calculated quarterly in arrears, and if there is any change in the Applicable Rate during any quarter, the actual daily amount shall be
computed and multiplied by the Applicable Rate separately for each period during such quarter that such Applicable Rate was in effect. The facility fee shall accrue at all times, including at any time
during which one or more of the conditions in Article IV is not met. 

        (b)    Utilization Fee.    The Borrower shall pay to the Administrative Agent for the account of each Lender in
accordance with its Pro Rata Share, a utilization fee equal to the Applicable Rate multiplied by the actual daily aggregate Outstanding Amount of Loans and L/C Obligations for each day that such
aggregate Outstanding Amount together with the aggregate Outstanding Amount (as such term is defined in the Amended and Restated Multi-Year Credit Agreement) under the Amended and Restated
Multi-Year Credit Agreement exceeds 331/3% of the Aggregate Commitments. The utilization fee shall be due and payable quarterly in arrears on the last Business Day of each
March, June, September and December, commencing with the first such date to occur after the Closing Date, and on the Maturity Date. The utilization fee shall be calculated quarterly in arrears. The
utilization fee shall accrue at all times, including at any time during which one or more of the conditions in Article IV is not met. 

        (c)    Other Fees.    The Borrower shall pay a fee to the Arranger for the Arranger's own account, and shall pay an
agency fee to the Administrative Agent for the Administrative Agent's own account, in the amounts and at the times specified in the letter agreement, dated December 16, 2002 (the
"Agent/Arranger Fee Letter"), between the Borrower, the Arranger and the Administrative Agent. 

 
 
        2.11    Computation of Interest and Fees.
    Computation of interest on Base Rate Loans shall be calculated on the basis of a year of 365 or 366 days, as the case may be, and the actual number of days elapsed. Computation of
all other types of interest and all fees shall be calculated on the basis of a year of 360 days and the actual number of days elapsed, which results in a higher yield to the payee thereof than
a method based on a year of 365 or 366 days. Interest shall accrue on each Loan for the day on which the Loan is made, and shall not
accrue on a Loan, or any portion thereof, for the day on which the Loan or such portion is paid, provided that any Loan that is repaid on the same day
on which it is made shall bear interest for one day. 

 
 
        2.12    Evidence of Debt.
    

        (a)  The
Credit Extensions made by each Lender shall be evidenced by one or more accounts or records maintained by such Lender and by the Administrative Agent in the ordinary
course of business. 

31

 

The accounts or records maintained by the Administrative Agent and each Lender shall be conclusive absent manifest error of the amount of the Credit Extensions made by the Lenders to the Borrower and
the interest and payments thereon. Any failure so to record or any error in doing so shall not, however, limit or otherwise affect the obligation of the Borrower hereunder to pay any amount owing with
respect to the Loans and L/C Obligations. In the event of any conflict between the accounts and records maintained by any Lender and the accounts and records of the Administrative Agent in respect of
such matters, the accounts and records of the Administrative Agent shall be presumed to be prima facie evidence of such matters absent manifest error. Upon the request of any Lender made through the
Administrative Agent, such Lender's Loans may be evidenced by a Note, in addition to such accounts or records. Each Lender may attach schedules to its Note(s) and endorse thereon the date, Type (if
applicable), amount and maturity of the applicable Loans and payments with respect thereto. 

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

 
 
        2.13    Payments Generally.     

        (a)  All
payments to be made by the Borrower shall be made without condition or deduction for any counterclaim, defense, recoupment or setoff. Except as otherwise expressly
provided herein, all payments by the Borrower hereunder shall be made to the Administrative Agent, for the account of the respective Lenders to which such payment is owed, at the Administrative
Agent's Office in Dollars and in immediately available funds not later than 12:00 noon, New York time, on the date specified herein. The Administrative Agent will promptly distribute to each Lender
its Pro Rata Share (or other applicable share as provided herein) of such payment in like funds as received by wire transfer to such Lender's Lending Office. All payments received by the
Administrative Agent after 12:00 noon, New York time, shall be deemed received on the next succeeding Business Day and any applicable interest or fee shall continue to accrue. 

        (b)  Subject
to the definition of "Interest Period," if any payment to be made by the Borrower shall come due on a day other than a Business Day, payment shall be made on the
next following Business Day, and such extension of time shall be reflected in computing interest or fees, as the case may be. 

        (c)  If
at any time insufficient funds are received by and available to the Administrative Agent to pay fully all amounts of principal, L/C Borrowings, interest and fees then
due hereunder, such funds shall be applied (i) first, toward costs and expenses (including Attorney Costs and amounts payable under  Article III)
incurred by the Administrative Agent and each Lender, (ii) second, toward
repayment of interest and fees then due hereunder, ratably among the parties entitled thereto in accordance with the amounts of interest and fees then due to such parties, and
(iii) third, toward repayment of principal and L/C Borrowings then due hereunder, ratably among the parties entitled thereto in accordance with
the amounts of principal and L/C Borrowings then due to such parties. 

        (d)  Unless
the Borrower or any Lender has notified the Administrative Agent prior to the date any payment is required to be made by it to the Administrative Agent hereunder,
the Borrower or such Lender, as the case may be, will not make such payment, the Administrative Agent may assume that the Borrower or such Lender, as the case may be, has timely made such payment and
may (but shall not be so required to), in reliance thereon, make available a corresponding amount to the Person 

32

 

entitled thereto. If and to the extent that such payment was not in fact made to the Administrative Agent in immediately available funds, then: 

          (i)  if
the Borrower failed to make such payment, each Lender shall forthwith on demand repay to the Administrative Agent the portion of such assumed payment that was made
available to such Lender in immediately available funds, together with interest thereon in respect of each day from and including the date such amount was made available by the Administrative Agent to
such Lender to the date such amount is repaid to the Administrative Agent in immediately available funds, at the Federal Funds Rate from time to time in effect; and 

        (ii)  if
any Lender failed to make such payment, such Lender shall forthwith on demand pay to the Administrative Agent the amount thereof in immediately available funds,
together with interest thereon for the period from the date such amount was made available by the Administrative Agent to the Borrower to the date such amount is recovered by the Administrative Agent
(the "Compensation Period") at a rate per annum equal to the Federal Funds Rate from time to time in effect. If such Lender pays such amount to the
Administrative Agent, then such amount shall constitute such Lender's Loan included in the applicable Borrowing. If such Lender does not pay such amount forthwith upon the Administrative Agent's
demand therefor, the Administrative Agent may make a demand therefor upon the Borrower, and the Borrower shall pay (subject to its recoupment rights from and remedies against such defaulting Lender of
any breakage costs paid by the Borrower when repaying such amount) such amount to the Administrative Agent, together with interest thereon for the Compensation Period at a rate per annum equal to the
rate of interest applicable to the applicable Borrowing. Nothing herein shall be deemed to relieve any Lender from its obligation to fulfill its Commitment or to prejudice any rights which the
Administrative Agent or the Borrower may have against any Lender as a result of any default by such Lender hereunder. 

        A
notice of the Administrative Agent to any Lender with respect to any amount owing under this subsection (d) shall be conclusive, absent manifest error. 

        (e)  If
any Lender makes available to the Administrative Agent funds for any Loan to be made by such Lender as provided in the foregoing provisions of this  Article II, and the conditions to the applicable
Credit Extension set forth in Article IV
are not satisfied or waived in accordance with the terms hereof, the Administrative Agent shall return such funds (in like funds as received from such Lender) to such Lender, without interest. 

        (f)    The
obligations of the Lenders hereunder to make Loans and to fund participations in Letters of Credit are several and not joint. The failure of any Lender to make any
Loan or to fund any such participation on any date required hereunder shall not relieve any other Lender of its corresponding obligation to do so on such date, and no Lender shall be responsible for
the failure of any other Lender to so make its Loan or purchase its participation. 

        (g)  Nothing
herein shall be deemed to obligate any Lender to obtain the funds for any Loan in any particular place or manner or to constitute a representation by any Lender
that it has obtained or will obtain the funds for any Loan in any particular place or manner. 

 
 
        2.14    Sharing of Payments.     If, other than as expressly provided elsewhere herein, any Lender shall obtain on
account of the Loans made by it, or the participations in L/C Obligations held
by it, any payment (whether voluntary, involuntary, through the exercise of any right of set-off, or otherwise) in excess of its ratable share (or other share contemplated hereunder)
thereof, such Lender shall immediately (a) notify the Administrative Agent of such fact, and (b) purchase from the other Lenders such participations in the Loans made by them and/or such
subparticipations in the participations in L/C Obligations held by them, as the case may be, as shall be necessary to cause such purchasing Lender to share the excess payment in respect of such Loan
or such participations, as the case may be, pro 

33

 

rata with each of them; provided, however, that if all or any portion of such excess payment is
thereafter recovered from the purchasing Lender, such purchase shall to that extent be rescinded and each other Lender shall repay to the purchasing Lender the purchase price paid therefor, together
with an amount equal to such paying Lender's ratable share (according to the proportion of (i) the amount of such paying Lender's required repayment to (ii) the total amount so recovered
from the purchasing Lender) of any interest or other amount paid or payable by the purchasing Lender in respect of the total amount so recovered. The Borrower agrees that any Lender so purchasing a
participation from another Lender may, to the fullest extent permitted by law, exercise all its rights of payment (including the right of set-off, but subject to  Section 10.09) with respect to such
participation as fully as if such Lender were the direct creditor of the Borrower in the amount of such
participation. The Administrative Agent will keep records (which shall be conclusive and binding in the absence of manifest error) of participations purchased under this Section and will in each case
notify the Lenders following any such purchases or repayments. Each Lender that purchases a participation pursuant to this Section shall from and after such purchase have the right to give all
notices, requests, demands, directions and other
communications under this Agreement with respect to the portion of the Obligations purchased to the same extent as though the purchasing Lender were the original owner of the Obligations purchased. 

 
 

ARTICLE III.
  TAXES, YIELD PROTECTION AND ILLEGALITY    
  

 
 
        3.01    Taxes.     

        (a)  Any
and all payments by the Borrower to or for the account of the Administrative Agent or any Lender under any Loan Document shall be made free and clear of and without
deduction for any and all present or future taxes, duties, levies, imposts, deductions, assessments, fees, withholdings or similar charges, and all liabilities with respect thereto,  excluding, in the
case of the Administrative Agent and each Lender, taxes imposed on or measured by its net income, and franchise taxes imposed on it
(in lieu of net income taxes), by the jurisdiction (or any political subdivision thereof) under the Laws of which the Administrative Agent or such Lender, as the case may be, is organized or maintains
a lending office (all such non-excluded taxes, duties, levies, imposts, deductions, assessments, fees, withholdings or similar charges, and liabilities being hereinafter referred to as
"Taxes"). If the Borrower shall be required by any Laws to deduct any Taxes from or in respect of any sum payable under any Loan Document to the
Administrative Agent or any Lender, (i) the sum payable shall be increased as necessary so that after making all required deductions (including deductions applicable to additional sums payable
under this Section), the Administrative Agent and such Lender each receives an amount equal to the sum it would have received had no such deductions been made, (ii) the Borrower shall make such
deductions, (iii) the Borrower shall pay the full amount deducted to the relevant taxation authority or other authority in accordance with applicable Laws, and (iv) within 30 days
after the date of such payment, the Borrower shall furnish to the Administrative Agent (which shall forward the same to such Lender) the original or a certified copy of a receipt evidencing payment
thereof. 

        (b)  In
addition, the Borrower agrees to pay any and all present or future stamp, court or documentary taxes and any other excise or property taxes or charges or similar
levies (but specifically excluding all other United States federal taxes, other than withholding taxes, unless such exclusion is not required as a condition for an exemption from reporting
requirements under Sections 6011, 6111, or 6112 of the Code) which arise from any payment made by it under any Loan Document or from its execution, delivery, performance, enforcement or registration
of, or otherwise with respect to, any Loan Document to which it is a party (hereinafter referred to as "Other Taxes"). 

        (c)  If
the Borrower shall be required to deduct or pay any Taxes or Other Taxes from or in respect of any sum payable under any Loan Document to which it is a party to the
Administrative Agent or any Lender, the Borrower shall also pay to the Administrative Agent (for the account of such 

34

 

Lender) or to such Lender, at the time interest is paid, such additional amount that such Lender specifies as necessary to preserve the after-tax yield (after factoring in all taxes,
including taxes imposed on or measured by net income) such Lender would have received if such Taxes or Other Taxes had not been imposed. 

        (d)  In
respect to related Obligations owed by it, the Borrower agrees to indemnify the Administrative Agent, the L/C Issuer and each Lender for (i) the full amount of
Taxes and Other Taxes (including any Taxes or Other Taxes imposed or asserted by any jurisdiction on amounts payable under this Section) paid by the Administrative Agent, the L/C Issuer and such
Lender, (ii) amounts payable under Section 3.01(c) and (iii) any liability (including penalties, interest and expenses) arising
therefrom or with respect thereto, in each case whether or not such Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. Payment under this
subsection (d) shall be made within 30 days after the date the Lender or the Administrative Agent makes a demand therefor which demand shall be accompanied by a certificate setting forth
in reasonable detail the amounts demanded, the basis therefor and the calculations in respect thereto. 

 
 
        3.02    Illegality.     If any Lender determines that any Law enacted, construed or announced after the Closing
Date has made it unlawful, or that any Governmental Authority has asserted
that it is unlawful, for any Lender or its applicable Lending Office to make, maintain or fund Eurodollar Rate Loans, or materially restricts the authority of such Lender to purchase or sell, or to
take deposits of, Dollars in the applicable offshore Dollar market, or to determine or charge interest rates based upon the Eurodollar Rate, then, on notice thereof by such Lender to the Borrower
through the Administrative Agent, any obligation of such Lender to make or continue Eurodollar Rate Loans or to convert Base Rate Loans to Eurodollar Rate Loans shall be suspended until such Lender
notifies the Administrative Agent and the Borrower that the circumstances giving rise to such determination no longer exist. Upon receipt of such notice, the Borrower shall, upon demand from such
Lender (with a copy to the Administrative Agent), prepay or, if applicable, convert all Eurodollar Rate Loans of such Lender to Base Rate Loans, either on the last day of the Interest Period thereof,
if such Lender may lawfully continue to maintain such Eurodollar Rate Loans to such day, or immediately, if such Lender may not lawfully continue to maintain such Eurodollar Rate Loans. Upon any such
prepayment or conversion, the Borrower shall also pay interest on the amount so prepaid or converted. If any such Law, or change therein, shall only affect a portion of such Lender's obligations under
this Agreement which is, in the opinion of such Lender and the Administrative Agent, severable from the remainder of this Agreement so that the remainder of this Agreement may be continued in full
force and effect without otherwise affecting any of the obligations of the Administrative Agent, the other Lenders or the Borrower, such Lender shall only declare its obligations under that portion so
terminated. Each Lender agrees to designate a different Lending Office if such designation will avoid the need for such notice and will not, in the good faith judgment of such Lender, otherwise be
disadvantageous to such Lender. 

 
 
        3.03    Inability to Determine Rates.
    If the Administrative Agent determines in connection with any request for a Eurodollar Rate Loan or a conversion to or continuation thereof that (a) Dollar deposits are not being
offered to banks in the applicable offshore Dollar market for the applicable amount and Interest Period of such Eurodollar Rate Loan, (b) adequate and reasonable means do not exist for
determining the Eurodollar Rate for such Eurodollar Rate Loan, or (c) the Eurodollar Rate for such Eurodollar Rate Loan does not adequately and fairly reflect the cost to the Lenders of funding
such Eurodollar Rate Loan, the
Administrative Agent will promptly notify the Borrower and all Lenders. Thereafter, the obligation of the Lenders to make or maintain Eurodollar Rate Loans shall be suspended until the Administrative
Agent revokes such notice. Upon receipt of such notice, the Borrower may, without liability for any attendant breakage costs, revoke any pending request for a Borrowing, conversion or continuation of
Eurodollar Rate Loans or, failing that, will be deemed to 

35

 

have converted such request into a request for a Borrowing of Base Rate Loans in the amount specified therein. 

 
 
        3.04    Increased Cost and Reduced Return; Capital Adequacy; Reserves on Eurodollar  Rate Loans.    

        (a)  If
any Lender determines that as a result of the introduction of, or any change in, or in the interpretation of, any Law, in each case on or after the Closing Date, or
such Lender's compliance therewith, there shall be any increase in the cost to such Lender of agreeing to make or making, funding or maintaining Eurodollar Rate Loans or (as the case may be) issuing
or participating in Letters of Credit, or a reduction in the amount received or receivable by such Lender in connection with any of the foregoing (excluding for purposes of this subsection
(a) any such increased costs or reduction in amount resulting from (i) Taxes or Other Taxes (as to which Section 3.01 shall
govern), (ii) changes in the basis of taxation of overall net income or overall gross income by the United States or any foreign jurisdiction or any political subdivision of either thereof
under the Laws of which such Lender is organized or has its Lending Office, and (iii) reserve requirements contemplated by  Section 3.04(c)), then from time to time upon demand of such Lender
(with a copy of such demand to the Administrative Agent), the Borrower shall
pay to such Lender such additional amounts as will compensate such Lender for such increased cost or reduction. 

        (b)  If
any Lender determines that the introduction of any Law regarding capital adequacy or any change therein or in the interpretation thereof, or compliance by such Lender
(or its Lending Office) therewith, has the effect of reducing the rate of return on the capital of such Lender or any corporation controlling such Lender as a consequence of such Lender's obligations
hereunder (taking into consideration its policies with respect to capital adequacy and such Lender's desired return on capital), then from time to time upon demand of such Lender (with a copy of such
demand to the Administrative Agent), the Borrower shall pay to such Lender such additional amounts as will compensate such Lender for such reduction. 

        (c)  The
Borrower shall pay to each Lender, as long as such Lender shall be required under regulations of the Board to maintain reserves with respect to liabilities or assets
consisting of or including Eurocurrency funds or deposits (currently known as "Eurocurrency liabilities"), additional costs on the unpaid principal amount of each Eurodollar Rate Loan equal to the
actual costs of such reserves allocated to such Loan by such Lender (as determined by such Lender in good faith, which determination shall be conclusive), which shall be due and payable on each date
on which interest is payable on such Loan, provided the Borrower shall have received at least 15 days' prior notice (with a copy to the
Administrative Agent) of such additional interest from such Lender. If a Lender fails to give notice 15 days prior to the relevant Interest Payment Date, such additional interest shall be due
and payable 15 days from receipt of such notice. 

        (d)  Each
Lender agrees that it will not claim, and that it shall not be entitled to claim, from the Borrower the payment of any of the amounts referred to in this  Section 3.04 (i) if it is not
generally claiming similar compensation from its other similar customers in similar circumstances and
(ii) unless the relevant introduction or change affects all banks and other financial institutions substantially similar to such Lender having regard to the size, business activities and
regulatory capital of such banks and other financial institutions, but excluding differences based solely on the residency of Persons controlling such banks or other financial institutions. In
addition, each Lender shall use its reasonable efforts to reduce the amount it requests pursuant to Section 3.04, including using its reasonable
efforts to not assign or transfer any Loan to any Person if such assignment or transfer would or would be likely to increase the amount of such amounts payable; provided,
however, such Lender shall have no obligation to take or omit to take any action that such Lender in its good faith judgment believes would be disadvantageous to it. Each
amount required to be paid to any Lender pursuant to this Section 3.04 shall be accompanied by a certificate of the requisite Lender setting
forth in reasonable detail the amount owed, the basis therefor and the calculations in respect thereto. 

36

 

        (e)  Failure
or delay on the part of any Lender to demand compensation pursuant to this Section shall not constitute a waiver of such Lender's right to demand such
compensation; provided that the Borrower shall not be required to compensate a Lender pursuant to this Section for any increased costs or reductions incurred more than 90 days prior to the date
that such Lender notifies the Borrower of the circumstances giving rise to such increased costs or reductions and of such Lender's intention to claim compensation therefor; provided further that, if
the introduction of Law or change in (or change in interpretation of) Law giving rise to such increased costs or reductions is retroactive, then the 90-day period referred to above shall
be extended to include the period of retroactive effect thereof. 

 
 
        3.05    Funding Losses.
    Upon demand of any Lender (with a copy to the Administrative Agent) from time to time (which demand shall be accompanied by a certificate of such demanding Lender setting forth in
reasonable detail the amount demanded, the bases therefor and the calculations in respect thereto), the Borrower to whom the subject Loan was made shall promptly compensate such Lender for and hold
such Lender harmless from any loss, cost or expense incurred by it as a result of: 

        (a)  any
continuation, conversion, payment or prepayment of any Loan made to such Borrower other than a Base Rate Loan on a day other than the last day of the Interest Period
for such Loan (whether voluntary, mandatory, automatic, by reason of acceleration, or otherwise); 

        (b)  any
failure by the Borrower (for a reason other than the failure of such Lender to make a Loan) to prepay, borrow, continue or convert any Loan made to the Borrower
other than a Base Rate Loan on the date or in the amount notified by the Borrower; or 

        (c)  any
assignment of a Eurodollar Rate Loan on a day other than the last day of the Interest Period as a result of a request by the Borrower pursuant to  Section 10.16; 

including
any loss of anticipated profits and any loss or expense arising from the liquidation or reemployment of funds obtained by it to maintain such Loan or from fees payable to terminate the
deposits from which such funds were obtained. The Borrower shall also pay any customary administrative fees charged by such Lender in connection with the foregoing. 

For
purposes of calculating amounts payable by the Borrower to the Lenders under this Section 3.05, each Lender shall be deemed to have funded
each Eurodollar Rate Loan made by it at the Eurodollar Rate for such Loan by a matching deposit or other borrowing in the applicable offshore Dollar interbank market for a comparable amount and for a
comparable period, whether or not such Eurodollar Rate Loan was in fact so funded. 

 
 
        3.06    Matters Applicable to all Requests for Compensation.
    

        (a)  A
certificate of the Administrative Agent or any Lender claiming compensation under this Article III and setting
forth in reasonable detail the additional amount or amounts to be paid to it hereunder and such other information as otherwise specified in this  Article III shall be conclusive in the absence of
manifest error. In determining such amount, the Administrative Agent or such Lender may use any
reasonable averaging and attribution methods customarily used by it in comparable circumstances. 

        (b)  Upon
any Lender's making a claim for compensation under Section 3.01 or  3.04, the Borrower may remove or replace such Lender in accordance with
Section 10.16. 

 
 
 

        3.07    Survival.    All of the Borrower's obligations under this  Article III shall survive termination of the Commitments
and payment in full of all the other Obligations. 

37

 

 
 

ARTICLE IV.
  CONDITIONS PRECEDENT TO CREDIT EXTENSIONS    
  

 
 
        4.01    Conditions of Initial Credit Extension.
    The obligation of each Lender to make its initial Credit Extension hereunder is subject to satisfaction of the following conditions precedent: 

        (a)  Unless
waived by all the Lenders (or by the Administrative Agent with respect to immaterial matters or items specified in clause (v) or (vi) below with
respect to which the Borrower has given assurances satisfactory to the Administrative Agent that such items shall be delivered promptly following the Closing Date), the Administrative Agent's receipt
of the following, each of which shall be originals or facsimiles (followed promptly by originals) unless otherwise specified, each properly executed by a Responsible Officer of the Borrower, each
dated the Closing Date (or, in the case of certificates of governmental officials, a recent date before the Closing Date) and each in form and substance satisfactory to the Administrative Agent: 

          (i)  executed
counterparts of this Agreement, sufficient in number for distribution to the Administrative Agent, each Lender and the Borrower; 

        (ii)  a
Note executed by the Borrower in favor of each Lender requesting a Note, each in a principal amount equal to such Lender's Commitment; 

        (iii)  the
Audited Financial Statements and unaudited financial statements for the fiscal quarter ended September 30, 2002; 

        (iv)  such
certificates of resolutions or other action, incumbency certificates and/or other certificates of a Responsible Officer as the Administrative Agent may require to
establish the identities of and verify the authority and capacity of each Responsible Officer thereof authorized to act as a Responsible Officer in connection with this Agreement and the other Loan
Documents to which the Borrower is a party; 

        (v)  such
evidence as the Administrative Agent may reasonably require to verify that the Borrower is duly organized or formed, validly existing, in good standing and
qualified to engage in business in each jurisdiction in which it is required to be qualified to engage in business, including a certified copy of the Borrower's Organization Documents, certificates of
good standing and/or qualification to engage in business and tax clearance certificates; 

        (vi)  a
certificate signed by a Responsible Officer certifying (A) that the conditions specified in Sections 4.02(a)
and (b) have been satisfied, (B) that there has been no event or circumstance since the date of the Audited Financial Statements which has
or could be reasonably expected to have a Material Adverse Effect, (C) the current Debt Ratings or Corporate Credit Ratings, as applicable, and (D) the properties of the Borrower and its
Material Subsidiaries are insured with financially sound and
reputable insurance companies in such amounts, with such deductibles and covering such risks as are customarily carried by companies engaged in similar businesses and owning similar properties in
localities where the Borrower and its Subsidiaries operate; 

      (vii)  an
opinion of counsel to the Borrower substantially in the form of Exhibit E; 

      (viii)  evidence
that the Borrower is entering into the Amended and Restated Multi-Year Credit Agreement to be effective as of the Closing Date; and 

        (ix)  such
other assurances, certificates, documents, consents or opinions as the Administrative Agent, the L/C Issuer, or the Required Lenders reasonably may require. 

        (b)  Any
fees required to be paid on or before the Closing Date shall have been paid. 

38

  

        (c)  Unless waived by the Administrative Agent, the Borrower shall have paid all Attorney Costs of the Administrative Agent to the extent invoiced prior to or on the Closing
Date, plus such additional amounts of Attorney Costs as shall constitute its reasonable estimate of Attorney Costs incurred or to be incurred by it through the closing proceedings (provided that such
estimate shall not thereafter preclude a final settling of accounts between the Borrower and the Administrative Agent). 

 
 
        4.02    Conditions to all Credit Extensions     

        The
obligation of each Lender to honor any Request for Credit Extension (other than a Loan Notice requesting only a conversion of Loans to the other Type, or a continuation of Loans as
the same Type) is subject to the following conditions precedent: 

        (a)  The
representations and warranties of the Borrower contained in Article V, or which are contained in any Loan
Document furnished by the Borrower at any time under or in connection herewith, shall be true and correct on and as of the date of such Credit Extension, except to the extent that such representations
and warranties specifically refer to a different date, in which case they shall be true and correct as of such date. 

        (b)  No
Default or Event of Default shall exist, or would result from such proposed Credit Extension. 

        (c)  The
Administrative Agent and, if applicable, the L/C Issuer shall have received a Request for Credit Extension in accordance with the requirements hereof. 

        Each
Request for Credit Extension submitted by the Borrower shall be deemed to be a representation and warranty that the conditions specified in Sections
4.02(a) and (b) have been satisfied on and as of the date of the applicable Credit Extension. 

 
 

ARTICLE V.
  REPRESENTATIONS AND WARRANTIES    
  

        The Borrower represents and warrants as set forth below: 

 
 
        5.01    Existence, Qualification and Power; Compliance with Laws.     

        (a)  The
General Partner is duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization and is qualified and is in good
standing as a foreign Person for the transaction of business in each jurisdiction where its ownership, lease or operation of property or the conduct of its business requires such qualification and in
which the failure so to qualify could not reasonably be expected to have a Material Adverse Effect, which jurisdictions, as of the Closing Date, are the States of Illinois, Indiana, Michigan,
Minnesota, New York, North Dakota, Wisconsin, and Texas. 

        (b)  The
Borrower is duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization and is duly qualified and in good standing
as a foreign Person in each jurisdiction where its ownership, lease or operation of property or the conduct of its business requires such qualification and in which the failure to so qualify could not
reasonably be expected to have a Material Adverse Effect. As of the Closing Date, the General Partner is the sole general partner of, and owns a 2.0% general partner interest in, the Borrower. As of
the Closing Date, the Borrower does not have any Subsidiaries or Unrestricted Subsidiaries or own any equity interests in any Person other than those Subsidiaries and Unrestricted Subsidiaries and
equity interests of the type listed in Schedule 5.13 hereto. 

        (c)  The
Operating Partnership is duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization and is duly qualified and in
good standing as a foreign Person for the transaction of business in each jurisdiction where its ownership, lease or operation of 

39

 

property or the conduct of its business requires such qualification and in which the failure so to qualify could not reasonably be expected to have a Material Adverse Effect, which jurisdictions, as
of the Closing Date, are the States of Illinois, Indiana, Michigan, Minnesota, New York, North Dakota, Wisconsin and Texas. As of the Closing Date, the Operating Partnership's sole general partner is
Enbridge Pipelines (Lakehead) L.L.C., which owns a 0.001% general partner interest in the Operating Partnership, and the only limited partner of the Operating Partnership is the Borrower, which owns a
99.999% limited partner interest in the Operating Partnership. As of the Closing Date, the Operating Partnership does not have any Subsidiaries or Unrestricted Subsidiaries or own any equity interests
in any Person, other than those Subsidiaries and Unrestricted Subsidiaries and equity interests of the types listed in Schedule 5.13 hereto. 

        (d)  The
Borrower has all requisite power and authority and all requisite governmental licenses, authorizations, consents and approvals to own its assets, carry on its
business and to execute, deliver, and perform its obligations under the Loan Documents to which it is a party. 

        (e)    Intentionally Blank.    

        (f)    The
Borrower is in compliance with all Laws, except in each case referred to in clause (d) or this clause (f), to the extent that failure to do so could
not reasonably be expected to have a Material Adverse Effect. 

 
 
        5.02    Authorization; No Contravention.
    The execution, delivery and performance by the Borrower of each Loan Document has been duly authorized by all necessary corporate or other organizational action, and does not and will
not (a) violate the terms of any of the Borrower's Organization Documents, (b) result in any breach of, constitute a default under, or require, pursuant to the express provisions
thereof, the creation of any consensual Lien on the properties of the Borrower under, any Contractual Obligation to which the Borrower is a party or any order, injunction, writ or decree of any
Governmental Authority to which the Borrower or its property is subject, or (c) violate any Law, in each case with respect to the preceding clauses (a) through (c), which would
reasonably be expected to have a Material Adverse Effect. 

 
 
        5.03    Governmental Authorization.
    No approval, consent, exemption, authorization, or other action by, or notice to, or filing with, any Governmental Authority is required to be obtained or made by the Borrower by any
material statutory law or regulation applicable to it as a condition to the execution, delivery or performance by, or enforcement against, the Borrower of any Loan Document. 

 
 
        5.04    Binding Effect.
    

        This
Agreement has been, and each other Loan Document, when delivered hereunder, will have been, duly executed and delivered by the Borrower. This Agreement constitutes, and each other
Loan Document when so delivered will constitute, a legal, valid and binding obligation of the Borrower, enforceable against the Borrower in accordance with its terms, subject as to enforcement to
bankruptcy, insolvency, reorganization, moratorium and similar laws of general applicability relating to or affecting creditors' rights and to general equity principles. 

 
 
        5.05    Financial Statements; No Material Adverse Effect.     

        (a)  The
Audited Financial Statements (i) were prepared in accordance with GAAP consistently applied throughout the period covered thereby, except as otherwise
expressly noted therein; (ii) fairly present
the financial condition of the Borrower and its Subsidiaries and Unrestricted Subsidiaries as of the date thereof and their results of operations for the period covered thereby in accordance with GAAP
consistently applied throughout the period covered thereby, except as otherwise expressly noted therein; and (iii) together with the footnotes thereto, reflect all material indebtedness and
other liabilities, direct or contingent, of the Borrower and its Subsidiaries and Unrestricted Subsidiaries as of 

40

 

the date thereof, including liabilities for taxes, material commitments and Indebtedness in accordance with GAAP consistently applied throughout the period covered thereby. 

        (b)  The
unaudited consolidated financial statements of the Borrower and its Subsidiaries and Unrestricted Subsidiaries dated September 30, 2002, and the related
consolidated statements of income or operations, shareholders' equity and cash flows for the fiscal quarter ended on that date (i) were prepared in accordance with GAAP consistently applied
throughout the period covered thereby, except as otherwise expressly noted therein, and (ii) fairly present the financial condition of the Borrower and its Subsidiaries and Unrestricted
Subsidiaries as of the date thereof and their results of operations for the period covered thereby, subject, in the case of clauses (i) and (ii), to the absence of footnotes and to normal
year-end audit adjustments. 

        (c)  Since
the date of the Audited Financial Statements to the Closing Date, there has been no event or circumstance that has, or could reasonably be expected to have, a
Material Adverse Effect. 

 
 
 

        5.06    Litigation.    Except as specifically disclosed in  Schedule 5.06, and matters covered by insurance or
indemnification agreements, as of the Closing Date, there are no actions, suits, proceedings,
claims or disputes pending or, to the knowledge of the Borrower after investigation, overtly threatened, at law, in equity, in arbitration or before any Governmental Authority, by or against the
Borrower or any of the Borrower's Subsidiaries or Unrestricted Subsidiaries or against any of their properties or revenues of which there is a reasonable possibility of a determination adverse to such
Person and which if determined adversely, could have a Material Adverse Effect. 

 
 
        5.07    No Default.
    Neither the Borrower nor any Material Subsidiary is in default under any Contractual Obligation which could be reasonably expected to have a Material Adverse Effect. No Default or Event
of Default has occurred and is continuing or would result from the consummation of the transactions contemplated by this Agreement or any other Loan Document. 

 
 
        5.08    Ownership of Property; Liens.
    Each of the Borrower and its Material Subsidiaries has good and defeasible title to, or valid leasehold interests in, all material property necessary or used in the ordinary conduct of
its business, except for such defects in title as would not, individually or in the aggregate, have a Material Adverse Effect. There is no Lien on any property of the Borrower or any of its
Subsidiaries, other than Liens permitted by Section 7.01. 

 
 
        5.09    Environmental Compliance.
    The Borrower and its Material Subsidiaries conduct in the ordinary course of business a review of the effect of existing Environmental Laws and claims alleging potential liability or
responsibility for violation of any Environmental Law on their respective businesses, operations and properties, and as a result thereof have reasonably concluded that, except as specifically
disclosed in Schedule 5.09, they: (a) to the best of their knowledge, are in compliance with all applicable Environmental Laws, except to
the extent that any non-compliance would not reasonably be expected to have a Material Adverse Effect; (b) to the best of their knowledge, are not subject to any judicial,
administrative, government, regulatory or arbitration proceeding alleging the violation of any applicable Environmental Laws or that may lead to claim for cleanup costs, remedial work, reclamation,
conservation, damage to natural resources or personal injury or to the issuance of a stop-work order, suspension order, control order, prevention order or clean-up order,
except to the extent that any such proceeding would not reasonably be expected to have a Material Adverse Effect; (c) to the best of their knowledge, are not subject to any federal, state,
local or foreign review, audit or investigation which may lead to a proceeding referred to in (b) above; (d) have no actual knowledge that any of their predecessors in title to any of
their property and assets are the subject of any currently pending federal, state, local or foreign review, audit or investigation which may lead to a proceeding referred to in (b) above;
(e) have not filed any notice under any applicable Environmental Laws indicating past or present treatment, storage or disposal of, or reporting a release or Hazardous Materials into the
environment where the circumstances surrounding such notice would reasonably be expected to have a Material Adverse Effect; and (f) possess, and are in compliance with, all approvals, 

41

 

licenses, permits, consents and other authorizations which are necessary under any applicable Environmental Laws to conduct their business, except to the extent that the failure to possess, or be in
compliance with, such authorizations would not reasonably be expected to have a Material Adverse Effect. 

 
 
 

        5.10    Insurance.    The properties of the Borrower and its Subsidiaries are insured with financially sound and
reputable insurance companies, in such amounts, with such deductibles and covering such risks as are customarily carried by companies engaged in similar businesses and owning similar properties in
localities where the Borrower or its Subsidiaries operate. 

 
 
 

        5.11    Taxes.    The Borrower and its Subsidiaries and Unrestricted Subsidiaries have filed all Federal, state and
other material tax returns and reports required to be filed, and have paid all Federal, state and other material taxes, assessments, fees and other governmental charges levied or imposed upon the
Borrower or its Subsidiaries or their properties, income or assets otherwise due and payable, except those which are being contested in good faith by appropriate proceedings and for which adequate
reserves have been provided in accordance with GAAP. The Borrower has no actual knowledge of any overtly proposed tax assessment against it or any of its Subsidiaries or Unrestricted Subsidiaries that
would, if made, have a Material Adverse Effect. 

 
 
        5.12    ERISA Compliance.
    

        No
ERISA Event has occurred or is reasonably expected to occur that, when taken together with all other ERISA Events for which liability is reasonably expected to occur, could reasonably
be expected to result in a Material Adverse Effect. 

 
 
 

        5.13    Subsidiaries.    

        As
of the Closing Date, the Borrower has no Subsidiaries, Material Subsidiaries or Unrestricted Subsidiaries other than those specifically disclosed in Part (a) of  Schedule 5.13 and own no equity
interests in any other Person other than those specifically disclosed in Part(b) of
Schedule 5.13. 

 
 
        5.14    Margin Regulations; Investment Company Act; Public Utility Holding Company Act.
    

        (a)  The
Borrower is not engaged and will not engage, principally or as one of its important activities, in the business of purchasing or carrying margin stock (within the
meaning of Regulation U issued by the Board), or extending credit for the purpose of purchasing or carrying margin stock. 

        (b)  Neither
of the Borrower nor any Subsidiary (i) 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," within the meaning of the Public Utility Holding Company Act of 1935, or (ii) is or is required to be registered as an "investment company"
under the Investment Company Act of 1940. 

 
 
 

        5.15    Disclosure.    No statement, information, report, representation, or warranty made by the Borrower in any Loan
Document, when so made (or if dated or otherwise specified therein, as of such date), or furnished to the Administrative Agent, the L/C Issuer or any Lender by or at the direction of the Borrower in
connection with any Loan Document, when so furnished (or if dated or otherwise specified therein, as of such date), contains any untrue statement of a material fact or omits any material fact required
to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading. 

42

 

 
 

ARTICLE VI.
  AFFIRMATIVE COVENANTS    
  

        So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation shall remain unpaid, or any Letter of Credit shall remain outstanding, the
Borrower shall, and shall (except in the case of the covenants set forth in Sections 6.01, 6.02, and  6.03) cause each Subsidiary to: 

 
 
        6.01    Financial Statements.
    Deliver to the Administrative Agent for further distribution to each Lender, in form and detail reasonably satisfactory to the Administrative Agent and the Required Lenders: 

        (a)  as
soon as available, but in any event within 90 days after the end of each fiscal year of the Borrower, a consolidated balance sheet of the Borrower and its
Subsidiaries and Unrestricted Subsidiaries as at the end of such fiscal year, and the related consolidated statements of income and cash flows for such fiscal year, setting forth in each case in
comparative form the figures for the previous fiscal year, all in reasonable detail, audited and accompanied by a report and opinion of an independent certified public accountant of nationally
recognized standing selected by the Borrower and reasonably acceptable to the Required Lenders, which report and opinion shall be prepared in accordance with GAAP and shall not be subject to any
qualifications or exceptions as to the scope of the audit nor to any qualifications and exceptions not reasonably acceptable to the Required Lenders; and 

        (b)  as
soon as available, but in any event within 45 days after the end of each of the first three fiscal quarters of each fiscal year of the Borrower, a consolidated
balance sheet of the Borrower and its Subsidiaries and Unrestricted Subsidiaries as at the end of such fiscal quarter, and the related consolidated statements of income and cash flows for such fiscal
quarter and for the portion of the Borrower's fiscal year then ended, setting forth in each case in comparative form the figures for the corresponding fiscal quarter of the previous fiscal year and
the corresponding portion of the previous fiscal year, all in reasonable detail and certified by a Responsible Officer of the Borrower as fairly presenting the financial condition, results of
operations and cash flows of the Borrower and its Subsidiaries and Unrestricted Subsidiaries in accordance with GAAP, subject only to normal year-end audit adjustments and the absence of
footnotes. 

 
 
        6.02    Certificates; Other Information.
    Deliver to the Administrative Agent for further distribution to each Lender, in form and detail reasonably satisfactory to the Administrative Agent and the Required Lenders: 

        (a)  concurrently
with the delivery of the financial statements referred to in Section 6.01(a), a certificate of its
independent certified public accountants certifying such financial statements have been prepared in accordance with GAAP and fairly present the financial condition of the Borrower and its Subsidiaries
and Unrestricted Subsidiaries as of the date thereof; 

        (b)  concurrently
with the delivery of the financial statements referred to in Sections 6.01(a) and  (b), a duly completed Compliance Certificate signed by a Responsible
Officer of the Borrower; 

        (c)  promptly
after the same are available, copies of each annual report, proxy or financial statement or other report or communication sent to the unit holders of the
Borrower, and copies of all annual, regular, periodic and special reports and registration statements which the Borrower has filed with the Securities and Exchange Commission under Section 13
or 15(d) of the Securities Exchange Act of 1934, and not otherwise required to be delivered to the Administrative Agent pursuant hereto, in each case, (i) which are not confidential in nature,
as permitted by applicable Laws, as required by contractual restrictions not entered into in contemplation of this Section 6.02(c), as permitted
by recognized principles of privilege or as otherwise determined in good faith by the Borrower, and (ii) provided that documents required to be
delivered pursuant to this Section 6.02(c) shall be deemed delivered on the date that such documents are publicly available on the United States
Securities and 

43

 

Exchange Commission's Electronic Data Gathering, Analysis and Retrieval System (or "EDGAR") or other similar publicly accessible sources of which the Borrower provides written notice to the
Administrative Agent and the Lenders; and 

        (d)  promptly,
such additional information regarding the business, financial or partnership affairs of the Borrower or any Subsidiary or Unrestricted Subsidiary as the
Administrative Agent, at the request of any Lender, may from time to time reasonably request. 

 
 
 

        6.03    Notices.    

        Promptly
notify the Administrative Agent and each Lender within 5 Business Days after actual knowledge thereof by any Responsible Officer of the Borrower: 

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

        (b)  of
any matter that has resulted or could reasonably be expected to result in a Material Adverse Effect, including (i) breach or non-performance of, or
any default under, a Contractual Obligation of the Borrower or any Subsidiary; (ii) any dispute, litigation, investigation, proceeding or suspension between the Borrower or any Subsidiary and
any Governmental Authority; or (iii) the commencement of, or any material development in, any litigation or proceeding affecting the Borrower or any Subsidiary, including pursuant to any
applicable Environmental Laws; 

        (c)  of
any litigation, investigation or proceeding affecting the Borrower or any Material Subsidiary which is reasonably likely to be adversely determined, and if determined
adversely to the Borrower or such Material Subsidiary could reasonably be expected to result in liability to the Borrower or such Material Subsidiary in an amount that exceeds, after giving effect to
applicable in-force insurance and related third-party indemnity and similar agreements, the Threshold Amount, or in which injunctive relief or similar relief is sought, which relief, if
granted, could be reasonably expected to have a Material Adverse Effect; 

        (d)  of
the occurrence of any ERISA Event; and 

        (e)  of
any announcement by Moody's or S&P of any change in a Debt Rating or Corporate Credit Rating, as applicable. 

        Each
notice pursuant to this Section shall be accompanied by a statement of a Responsible Officer setting forth details of the occurrence referred to therein and stating what action the
Borrower or Subsidiary has taken and proposes to take with respect thereto. Each notice pursuant to Section 6.03(a) shall describe with
particularity any and all provisions of this Agreement or other Loan Document that have been breached. 

 
 
        6.04    Payment of Obligations.
    Pay and discharge as the same shall become due and payable, all its obligations and liabilities, including (a) all tax liabilities, assessments and governmental charges or levies
upon it or its properties or assets, unless the same are being contested in good faith by appropriate proceedings and adequate reserves in accordance with GAAP are being maintained by the Borrower or
relevant Subsidiary; (b) all material lawful claims which, if unpaid, would by law become a Lien upon its property; and (c) all Indebtedness, as and when due and payable, but subject to
any subordination provisions contained in any instrument or agreement evidencing such Indebtedness. 

 
 
        6.05    Preservation of Existence, Etc.    Except
in a transaction permitted by Section 7.04 or pursuant to statutory conversions to another form of entity as permitted by
applicable Law, preserve, renew and maintain in full force and effect its legal existence and good standing under the Laws of the jurisdiction of its organization; and except where it will not have a
Material Adverse Effect, take all reasonable action to maintain all rights, privileges, permits, licenses and franchises necessary or desirable in the normal conduct of its business and preserve or
renew all of its registered patents, trademarks, trade names and service marks. 

44

 

 
 
        6.06    Maintenance of Properties.    Except
where it will not have a Material Adverse Effect, (a) maintain, preserve and protect all of its material properties and equipment necessary in the operation of its business
in good working order and condition, ordinary wear and tear excepted, (b) make all necessary repairs thereto and renewals and
replacements thereof and (c) use the standard of care typical in the industry in the operation and maintenance of its facilities. 

 
 
        6.07    Maintenance of Insurance.    Maintain
with financially sound and reputable insurance companies, insurance with respect to its properties and business against loss or damage of the kinds customarily insured against
by Persons engaged in the same or similar business, of such types and in such amounts as are customarily carried under similar circumstances by such other Persons. 

 
 
        6.08    Compliance with Laws.    Comply
in all material respects with the requirements of all Laws applicable to it or to its business or property, except in such instances in which (i) such requirement of Law is
being contested in good faith or a bona fide dispute exists with respect thereto or (ii) the failure to comply therewith could not be reasonably expected to have a Material Adverse Effect. 

 
 
        6.09    Books and Records.    Maintain
proper books of record and account necessary to prepare the financial statements required to be delivered pursuant to  Section 6.01 in accordance with GAAP. 

 
 
        6.10    Inspection Rights.    Permit
representatives and independent contractors of the Administrative Agent, the L/C Issuer and each Lender, at their respective expense, to visit and inspect any of its properties,
to examine its corporate, financial and operating records, and make copies thereof or abstracts therefrom, and to discuss its affairs, finances and accounts with its directors, officers, and
independent public accountants, in each case, all at such reasonable times during normal business hours and as reasonably often as may be necessary, upon reasonable advance notice to the Borrower and
subject to compliance with applicable safety standards, with contractual or attorney-client privilege (as applicable) and non-disclosure agreements; provided,
however, that during an Event of Default, the Administrative Agent, the L/C Issuer or any Lender (or any of their respective representatives or independent contractors) may,
without duplication of the efforts of the others, do any of the foregoing at the reasonable expense of the Borrower at any time during normal business hours. 

 
 
        6.11    Intentionally Blank.    

 
 
        6.12    Use of Proceeds.    (a) Use
the proceeds of the Credit Extensions for working capital and other general corporate purposes, including, to the extent that on a pro forma basis the Borrower shall be in
compliance with Sections 7.13 and 7.14, payment of amounts owing under Qualifying Subordinated
Indebtedness, in each case to the extent not in violation of any Law or breach of the terms of this Credit Agreement. 

        (b)  Loans
to the Borrower that are outstanding under the Existing Credit Agreement on the Closing Date need not be repaid by reason of the execution and delivery of this
Agreement, and such Loans (as defined in the Existing Credit Agreement) shall be deemed to be Loans under this Agreement. The Borrower hereby assumes all of the Operating Partnership's obligations
with respect to Loans (as defined in the Existing Credit Agreement) to the Operating Partnership outstanding under the Existing
Credit Agreement as of the Closing Date, and such Loans shall be deemed to be Loans under this Agreement. 

 
 
        6.13    Intentionally Blank.    

 
 
        6.14    Incorporation of Certain More Restrictive Financial Provisions.    If
the agreements governing any Indebtedness that is permitted to be created, incurred, assumed or permitted to exist pursuant to  Section 7.03 (other than Qualifying Subordinated Indebtedness) contain
events of default relating to financial covenants or financial covenants
that, in each case, are more restrictive (and for the avoidance of doubt, determined without regard to the presence or absence of cure period or similar process) than the covenants contained in  Sections 7.13 and 7.14 ("Financial Restrictions"), then 

45

 

        (i)    promptly,
and in any event within 30 days, following the creation, incurrence, assumption or permitting to exist such Indebtedness, the Borrower shall provide to
the Administrative Agent and the Lenders notice of any such Financial Restrictions and copies of all agreements governing such Indebtedness that contain such Financial Restrictions
("Restrictive Agreements"), and 

        (ii)  effective
as of the date of the creation, incurrence, assumption or permitting to exist such Indebtedness, such Financial Restrictions (including any associated cure
and notice periods provided therefore, and definitions and interpretive provisions from such Restrictive Agreements used in relation thereto), to the extent not inconsistent or in conflict with any
express term hereof or any other Loan Document without regard to any such Financial Restriction, shall be deemed to have been incorporated herein by reference automatically without further action or
notice on the part of any Person and shall be deemed a part of this Agreement for all purposes, including that Schedule 2 to the Compliance Certificate shall be deemed amended to include such
Financial Restrictions; provided that in the event that the Restrictive Agreements are amended, terminated or otherwise modified in accordance with
their terms to amend, suspend, terminate or otherwise modify such Financial Restrictions (including any associated cure and notice periods provided therefore, and definitions and interpretive
provisions from such Restrictive Agreements used in relation thereto), then for purposes hereof and each other Loan Document such incorporated Financial Restrictions (including any associated cure and
notice periods provided therefore, and definitions and interpretive provisions from such Restrictive Agreements used in relation thereto), to the extent not inconsistent or in conflict with any
express term hereof or any other Loan Document without regard to any such Financial Restriction, shall be deemed automatically amended or otherwise modified to reflect such amendments or other
modifications effective as the effective date of such amendments or other modifications, and, without altering the effective date of such amendments or other modifications, the Borrower shall
promptly, and in any event within 30 Business Days following the date of such amendments or other modifications, provide copies of such amendments or other modifications to the Administrative Agent. 

 
 

ARTICLE VII.
  NEGATIVE COVENANTS    
  

        So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation shall remain unpaid, or any Letter of Credit shall remain outstanding, the
Borrower shall not, nor shall it permit any Subsidiary to, directly or indirectly: 

 
 
        7.01    Liens.    Create,
incur, assume or suffer to exist, any Lien upon any of its property, assets or revenues, whether now owned or hereafter acquired, other than the following: 

        (a)  Liens
pursuant to any Loan Document; 

        (b)  Liens
existing on the date hereof and listed on Schedule 7.01 and any renewals or extensions thereof,  provided that the property covered thereby is not
increased and any renewal or extension of the obligations secured or benefited thereby is permitted by
Section 7.03; 

        (c)  Liens
for taxes not yet due or which are being contested in good faith and by appropriate proceedings, if adequate reserves with respect thereto are maintained on the
books of the applicable Person in accordance with GAAP; 

        (d)  carriers',
warehousemen's, mechanics', materialmen's, repairmen's or other like Liens arising in the ordinary course of business which are not overdue for a period of
more than 30 days or which are being contested in good faith and by appropriate proceedings, if adequate reserves with respect thereto are maintained on the books of the applicable Person in
accordance with GAAP; 

46

 

        (e)  Liens
incurred or pledges or deposits made in the ordinary course of business in connection with workers' compensation, unemployment insurance and other social security
legislation, other than any Lien imposed by ERISA; 

        (f)    Liens
incurred or deposits to secure the performance of bids, trade contracts (other than for borrowed money), leases, statutory obligations, surety and appeal bonds
(including surety and appeal bonds related to judgments only to the extent permitted by clause (h) of this Section 7.01), performance
bonds and other obligations of a like nature incurred in the ordinary course of business; 

        (g)  easements,
rights-of-way, restrictions and other similar charges or encumbrances which, in each case are granted, entered into or created in the
ordinary course of business of such Person; 

        (h)  attachments
or other Liens securing judgments for the payment of money not constituting an Event of Default under  Section 8.01(h) or securing appeal or other surety bonds related to such judgments; 

        (i)    Liens
pursuant to any Mortgage or Mortgage Note Agreement or any "Security Document", as that term is defined in the Mortgage Note Agreement; 

        (j)    Liens
on property not covered by any Mortgage securing obligations under Swap Contracts, provided that the amount of such
obligations shall not exceed at any time an aggregate amount equal to one percent (1%) of Net Tangible Assets; 

        (k)  Liens
on (A) property or shares of equity interests of a Person that becomes a Subsidiary after the Closing Date, or (B) Acquired Assets acquired by the
Borrower or a Subsidiary after the Closing Date, including any acquisition by means of merger or consolidation with or into the Borrower or a Subsidiary which is permitted by  Section 7.04;
provided (i) such Liens were in existence at the time such Person becomes a
Subsidiary or at the time of such acquisition of such Acquired Assets, (ii) such Liens were not created in contemplation of the acquisition of such Person or such Acquired Assets,
(iii) such Liens do not encumber property other than property owned by such Person or the Acquired Assets then acquired, (iv) if, as a result of the acquisition, the Indebtedness secured
by such Liens is or becomes Indebtedness of the Borrower but not Indebtedness of any Subsidiary, then the aggregate principal amount of Indebtedness secured thereby shall not exceed the Incremental
EBITDA of the Acquired Subsidiary or such Acquired Assets, and (v) the Borrower shall have demonstrated in writing to the reasonable satisfaction of the Required Lenders that the secured
Indebtedness created, incurred, assumed or permitted to exist referred to in the preceding clause (iv) was permitted pursuant to  Section 7.03; 

        (l)    Liens
on property or assets of any Subsidiary securing Indebtedness of such Subsidiary owing to the Borrower; and 

        (m)  in
addition to Liens permitted by the foregoing clauses (a) through (l), other Liens, provided that in no event
will the aggregate amount of Indebtedness secured by such other Liens exceed at any time an amount equal to 1% of Net Tangible Assets. 

 
 
        7.02    Investments.    Purchase
or otherwise acquire the capital stock or other equity of any other Person if such purchase or other acquisition violates the Borrower's partnership agreement and after giving
effect thereto, the Borrower is not in compliance with Section 7.09. 

 
 
        7.03    Indebtedness.    Create,
incur, assume or permit to exist any Indebtedness, except that 

        (a)  The
Borrower may create, incur, assume or permit to exist Indebtedness as follows: 

        (i)    Indebtedness
if (A) after giving effect thereto, (y) no Event of Default shall have occurred and be continuing and (z) the Borrower shall be in
compliance with Section 7.13, and (B) the agreements governing such Indebtedness do not contain terms, conditions, covenants or events of
default that restrict, on terms materially more restrictive than provided in the Loan 

47

 

Documents, the ability of any Subsidiary to (w) pay distributions or dividends to the Borrower or any Subsidiary on its capital stock or other equity or with respect to any other interest or
participation in, or measured by, its profits, (x) to pay any amounts owed to the Borrower or any Subsidiary, (y) to make loans or advances to the Borrower or any Subsidiary or
(z) to transfer any of its properties or assets to the Borrower or any Subsidiary (contractual provisions that restrict any of the foregoing abilities of any Subsidiary, other than restrictions
existing under or by reason of (a) Indebtedness in effect on the Closing Date and Refinancings thereof, (b) applicable Laws, (c) instruments governing Indebtedness or capital
stock or other equity of a Person or property acquired by the Borrower or a Subsidiary (except to the extent such Indebtedness was incurred in contemplation of such acquisition), (d) customary
non-assignment provisions in contracts, licenses and leases entered into in the ordinary course of business, (e) provisions contained in documents creating Liens permitted by  Section 7.01
which restrict the ability of the Borrower or a Subsidiary to transfer the assets that are subject to such Liens,
(f) provisions in documents, other than those included in the preceding clause (e), creating purchase money obligations for property acquired in the ordinary course of business, which
restrict the ability of the Borrower or a Subsidiary to transfer the assets acquired with the proceeds of such purchase money financing, (g) customary provisions in bona fide contracts for the
sale of property or assets, and (h) provisions with respect to the disposition or distribution of assets in joint venture agreements or other similar agreements entered into in the ordinary
course of business, are collectively referred to as "Intercompany Restrictions"); 

        (ii)  Indebtedness
of the Borrower on the Closing Date and described in Schedule 7.03; 

        (iii)  Qualifying
Subordinated Indebtedness; 

        (iv)  Indebtedness
hereunder or under any other Loan Document; 

        (v)  Indebtedness
secured by Liens that are permitted to be created, incurred, assumed or suffered to exist pursuant to  Section 7.01(m); and 

        (vi)  the
Refinancing, in whole or part, of Indebtedness incurred in compliance with the foregoing clauses of this  Section 7.03(a), provided that, no such
Indebtedness is increased at the time of any such
Refinancing, other than by the additional amount of premium, if any, and accrued interest on such Indebtedness and reasonable expenses incurred in connection therewith, 

provided that no governing agreement with respect to any Indebtedness incurred in compliance with  clause (iii) or (v)
 of this  Section 7.03(a), or Refinancing of any Indebtedness incurred pursuant to clause (iii) or  (v) of this Section 7.03(a), shall contain Intercompany Restrictions.
 

        (b)  The
Non-OLP Subsidiaries may create, incur, assume or permit to exist Indebtedness as follows: 

        (i)    Indebtedness
of the Non-OLP Subsidiaries on the Closing Date and described in Schedule 7.03; 

        (ii)  Indebtedness
of a Person which is in existence at the time it becomes a Subsidiary or Indebtedness assumed by a Subsidiary in connection with its acquisition of a
Person or its acquisition of all or substantially all of the business or assets of any Person or the operating division or business unit of any Person provided that such Indebtedness is in existence
at the time of such acquisition, provided that such Indebtedness was not incurred in contemplation of the acquisition of such Person or such property; 

        (iii)  other
Indebtedness (including Indebtedness of the type included in clause (g) of the definition of Indebtedness); 

48

 

        (iv)  Refinancing
of Indebtedness incurred pursuant to clause (i), (ii)
or (iii) of this Section 7.03(b), provided that
no such Indebtedness is increased at the time of any such Refinancing, other than by the additional amount of premium, if any, and accrued interest on such Indebtedness and reasonable expenses
incurred in connection therewith; and 

        (v)  Indebtedness
owed to the Borrower or to any other Non-OLP Subsidiary (other than, for the avoidance of doubt, an Unrestricted Subsidiary); 

provided that no governing agreement with respect to any Indebtedness otherwise permitted by this  Section 7.03(b) shall contain Intercompany Restrictions.

        (c)  The
Operating Partnership and the Operating Partnership Subsidiaries may create, incur, assume or permit to exist, for so long as the Operating Partnership is regulated
by the Federal Energy Regulatory Commission or any other governmental utility regulatory body, the following Indebtedness: 

        (i)    Indebtedness
of the Operating Partnership and the Operating Partnership Subsidiaries on the Closing Date and described in  Schedule 7.03; 

        (ii)  other
Indebtedness (including Indebtedness of the type included in clause (g) of the definition of Indebtedness); 

        (iii)  Refinancing
of Indebtedness incurred pursuant to clause (i) or  (ii) of this Section 7.03(c), provided that no
such Indebtedness is increased at the time of any such Refinancing, other than by the additional amount of premium, if any, and accrued interest on such Indebtedness and reasonable expenses incurred
in connection therewith; and 

        (iv)  Indebtedness
owed to the Borrower or to the Operating Partnership or to an Operating Partnership Subsidiary (other than, for the avoidance of doubt, an Unrestricted
Subsidiary); 

provided that no governing agreement with respect to any Indebtedness otherwise permitted by this  Section 7.03(c) shall contain Intercompany Restrictions.

        For
purposes of determining compliance with this Section 7.03, if an item of Indebtedness meets the criteria of more than one of
the categories of Indebtedness permitted above, the Borrower will, it its discretion, classify (or later classify) in whole or in part such item of Indebtedness in any manner that complies with this  Section 7.03, and such item of Indebtedness or a portion thereof may be classified (or later upon written notice to the Administrative Agent
reclassified) in whole or in part as having been incurred under more than one of the applicable clauses above. 

 
 
        7.04    Mergers; Sale of Assets.    Merge
into or consolidate with any other Person, or permit any other Person to merge into or consolidate with it, or sell, transfer, lease (as a lessor) or otherwise dispose of (in one
transaction or in a series of related transactions) all (or substantially all) of its assets, or all or substantially all of the stock of or other equity interest in any of its Subsidiaries (in each
case, whether now owned or hereafter acquired), unless: (i) at the time thereof and immediately after giving effect thereto no Default or Event of Default shall have occurred and be continuing,
and (ii) if the Borrower is involved in any such transaction, it is the surviving or resultant entity or the recipient of any such sale, transfer,
lease or other disposition of assets, and if a Subsidiary is involved in any such transaction, such Subsidiary is the surviving or resultant entity or the recipient of any such sale, transfer, lease
or other disposition of assets; provided, however, that in no event shall any such merger, consolidation, sale, transfer, lease or other disposition
whether or not otherwise permitted by this Section 7.04 have the effect of releasing the Borrower from any of its obligations and liabilities
under this Agreement. 

49

 

 
 
        7.05    Intentionally Blank.    

 
 
        7.06    Intentionally Blank.    

 
 
        7.07    Distributions.    During
the existence of a Default which would become an Event of Default under clause (a), (f), or (g) of Section 8.01 or a
Default under Section 8.01(b) or (c) as a result of a breach of  Section 7.13 or 7.14 or an Event of Default, the Borrower will not declare, pay or make any
Distribution (in cash, property or obligations) on any interests (now or hereafter outstanding) in the Borrower or apply any of its funds, property or assets to the purchase of any partnership
interests in the Borrower; provided that if the Borrower has declared a Distribution when no Default which would become an Event of Default under
clause (a), (f), or (g) of Section 8.01 or a Default under Section 8.01(b) or  (c) as a result
of a breach of Section 7.13 or  7.14 or Event of Default exists, it shall be permitted to pay that Distribution even if such Default or Event of
Default exists on the corresponding
payment date unless on such payment date and prior to the making of such Distribution, the Borrower has knowledge that the maturity of all outstanding Obligations has been accelerated pursuant to  Section 8.02. 

 
 
        7.08    ERISA.    Except
where no Material Adverse Effect could reasonably be expected to occur, permit any of the events or circumstances described in  Section 5.12 to exist or occur. 

 
 
        7.09    Change in Nature of Business.    Engage
in any material line of business substantially different from those lines of business conducted by the Borrower and its Subsidiaries on the date hereof or, if substantially
different therefrom, not permitted by the Borrower's partnership agreement. 

 
 
        7.10    Transactions with Affiliates.    Enter
into any material transaction with any Affiliate of Borrower except upon fair and reasonable terms that are no less favorable than those which might be obtained in arm's-length
transactions with a Person that is not an Affiliate; provided, that such limitations shall not apply to any transaction among the Borrower, the Borrower's Subsidiaries, the General Partner, the
General Partner's Subsidiaries, and the Delegate (in its capacity as such) or to subordinated loans (including Qualifying Subordinated Indebtedness) from an Affiliate to the Borrower; provided, that
notwithstanding the foregoing, the Borrower shall not purchase or prepay any Qualifying Subordinated Indebtedness unless after giving effect to such purchase or payment, the Borrower is in compliance
with Section 7.13 and Section 7.14 and such purchase or payment will not result in a
Default or an Event of Default. For purposes of clarification of the foregoing, the parties acknowledge that the limitations contained in this  Section 7.10 shall not limit the Delegate's authority
to act or take actions on behalf of the General Partner. 

 
 
        7.11    Burdensome Agreements.    Enter
into any material Contractual Obligation that by its express terms prohibits the Borrower or any Subsidiary or Unrestricted Subsidiary to create, incur, assume or suffer to exist
Liens on any material property of such Person to secure the Obligations; or enter into any agreement (other than agreements of the type permitted by  Section 7.03(a)(i)(B)(c)) restricting the
ability of any Subsidiary to make any payments, directly or indirectly, to the Borrower or a Material
Subsidiary by way of distributions, loans, advances, repayments of loans or advances, reimbursements of management and other intercompany charges, expenses and accruals or other returns on
investments, or any other agreement or arrangement which restricts the ability of any Subsidiary to make any payment, directly or indirectly to the Borrower or a Material Subsidiary. 

 
 
        7.12    Use of Proceeds.    Use
the proceeds of any Credit Extension, whether directly or indirectly, and whether immediately, incidentally or ultimately, to purchase or carry margin stock (within the meaning of
Regulation U of the Board) or to extend credit to others for the purpose of purchasing or carrying margin stock or to refund indebtedness originally incurred for such purpose. 

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        7.13    Consolidated Leverage Ratio.    As
of the end of each applicable four-quarter period, the Borrower shall maintain a ratio of (a) (i) Consolidated Funded Debt  plus, without duplication, (ii) the principal amount of Funded Debt
owed by the Borrower to Subsidiaries which does not constitute Qualifying
Subordinated Indebtedness to (b) Pro Forma EBITDA of no greater than (1) during the period from the date hereof through June 30, 2003, 5.00 to 1.00 and (2) thereafter, 4.75
to 1.00; provided, that if at the end of any such applicable four-quarter period the Borrower shall not have maintained such ratio, the
Borrower will have a period of 30 days following the later of the date a Responsible Officer of the Borrower has knowledge that such ratio has not been satisfied at the end of such period and
30 days following the end of such period, to cure such failure on a pro forma basis by satisfying the following clauses (i) or (ii), or any combination of such clauses, by
(i) obtaining an equity contribution which qualifies as equity under GAAP or (ii) incurring Qualifying Subordinated Indebtedness in a sufficient amount that had the Borrower had such
additional equity or Qualifying Subordinated Indebtedness proceeds, or a combination of both, at or prior to the end date of such applicable four-quarter period, the Borrower would have
been in compliance with this Section 7.13 for such four-quarter period and, if the Borrower obtains such equity or such Qualifying
Subordinated Indebtedness proceeds, or any combination thereof, during such cure period, but in no event shall such period end later than 60 days following the end of the corresponding ending
four-quarter period, then it will be deemed to be in compliance with this Section 7.13 as of the end of such four quarter period. 

 
 
        7.14    Interest Coverage Ratio.     The Borrower shall maintain an Interest Coverage Ratio of not less than 2.75
to 1.00 as of the end of each fiscal quarter;  provided, that if at the end of any such quarter the Interest Coverage Ratio is less than 2.75 to 1.00 but it is not less than 2.50 to 1.00, the
Borrower will have a period of 30 days following the later of the date a Responsible Officer of the Borrower has knowledge that such ratio has not been satisfied at the end of such period and
30 days following the end of such period, to cure such failure on a pro forma basis by (i) either obtaining an equity contribution which qualifies as equity under GAAP, or incurring
Qualifying Subordinated Indebtedness, or any combination thereof, in a sufficient amount (in this Section 7.14, the "cure amount"), that had the
Borrower timely applied such additional equity or Qualifying Subordinated Indebtedness proceeds, or any combination thereof, to repay Consolidated Funded Debt at relevant times at or prior to the end
of such applicable four-quarter period, the Borrower would have reduced, on a pro forma basis, Consolidated Interest Charges for such period by an amount that would have resulted in the
Borrower being in compliance with this Section 7.14 for such four-quarter period and (ii) in fact reducing Consolidated Funded
Debt by an amount equal to such cure amount, and if the Borrower obtains such equity or Qualifying Subordinated Indebtedness proceeds, or any combination thereof, and so applies it during such cure
period, but in no event shall such period end later than 60 days following the end of the corresponding quarter end, then it will be deemed to be in compliance with this  Section 7.14 for such
four quarter period. 

 
 
        7.15    Indebtedness of Non-OLP Subsidiaries.     As of the end of each fiscal quarter, the aggregate amount of
Indebtedness of the Non-OLP Subsidiaries (other than Non-OLP Inter-Company
Indebtedness) shall not exceed an amount (the "Non-OLP Indebtedness Limitation") equal to .5 times Non-OLP Pro Forma EBITDA for
the four
quarters then ended; provided, that to the extent that such Indebtedness of the Non-OLP
Subsidiaries does exceed the Non-OLP Indebtedness Limitation (the amount of such excess being referred to this Section 7.15 as
"excess Indebtedness") at quarter-end, the Non-OLP Subsidiaries may cure such excess Indebtedness by satisfying the following clause (i) or clause (ii), or any
combination of such clauses, within 30 days following the later of the date a Responsible Officer has knowledge of such non-compliance and 30 days following the end of such
quarter (but in no event shall the cure period extend beyond the date that is 60 days after the end of such quarter) (i) by receiving an infusion of cash or cash equivalents in an amount
that (when added to all other cash and cash equivalents then being held by Non-OLP Subsidiaries pursuant to this Section 7.15) equals
such excess Indebtedness (or portion thereof cured pursuant to this clause (i)), which cash or cash equivalents shall be held by Non-OLP Subsidiaries until the calculation is done 

51

 

pursuant to this Section 7.15 at the end of the next quarter, or (ii) by reducing the aggregate outstanding amount of Indebtedness of the
Non-OLP Subsidiaries by an amount equal to such excess Indebtedness less the amount of cash or cash equivalents infused for such quarter-end pursuant to the preceding
clause (i), if any. If the Non-OLP Subsidiaries so timely cure such excess Indebtedness by making such infusion or reduction, or both as applicable, the Non-OLP
Subsidiaries shall be deemed to be in compliance with this Section 7.15 as of such quarter-end date. 

 
 
        7.16    Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries.     As of the end of
each fiscal quarter, the aggregate amount of Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries (other than OLP
Inter-Company Indebtedness) shall not exceed an amount (the "OLP Indebtedness Limitation") equal to 60% of the outstanding consolidated capitalization
(calculated without regard to noncash adjustments to equity) of the Operating Partnership and the Operating Partnership Subsidiaries as of such quarter-end date;  provided, that to the extent that outstanding Indebtedness of the Operating Partnership and the
Operating Partnership Subsidiaries (other than OLP Inter-Company Indebtedness) does exceed the OLP Indebtedness Limitation (the amount of such excess being referred to this  Section 7.16 as "excess
Indebtedness") at quarter-end, the Operating Partnership and the Operating Partnership Subsidiaries may cure
such excess Indebtedness by satisfying the following clause (i) or clause (ii), or any combination of such clauses, within 30 days following the later of the date a Responsible
Officer has knowledge of such non-compliance and 30 days following the end of such quarter (but in no event shall the cure period extend beyond the date that is 60 days after
the end of such quarter): (i) by receiving an infusion of cash or cash equivalents in an amount that (when added to all other cash and cash equivalents then being held by the Operating
Partnership and the Operating Partnership Subsidiaries pursuant to this Section 7.16) equals such excess Indebtedness (or portion thereof cured
pursuant to this clause (i)), which cash or cash equivalents shall be held by the Operating Partnership and the Operating Partnership Subsidiaries until the calculation is done pursuant to this  Section 7.16 at the end of the next quarter, or (ii) by reducing the aggregate outstanding amount of Indebtedness of the Operating
Partnership and the Operating Partnership Subsidiaries by an amount equal to such excess Indebtedness less the amount of cash or cash equivalents infused for such quarter-end pursuant to
the preceding proviso, if any. If the Operating Partnership and the Operating Partnership Subsidiaries so timely cure such excess Indebtedness by making such infusion or reduction, or both as
applicable, the Operating Partnership and the Operating Partnership Subsidiaries shall be deemed to be in compliance with this Section 7.16 as of
such quarter-end date. 

 
 
        7.17    Swap Contracts.     The Borrower shall not, nor shall its permit any Subsidiary to, enter into or permit to
exist any obligations under any Swap Contracts except Swap Contracts
entered into in the ordinary course of
business and for the purpose of mitigating risks associated with liabilities, commitments, investments, assets, or property of the person entering into such Swap Contract, and not for purposes of
speculation. 

 
 

ARTICLE VIII.
  EVENTS OF DEFAULT AND REMEDIES    
  

 
 
        8.01    Events of Default.     Any of the following shall constitute an Event of Default: 

        (a)    Non-Payment.    The Borrower fails to pay (i) when and as required to be paid herein, any
amount of principal of any Loan or any L/C Obligation, or (ii) within five Business Days after the same becomes due, any interest on any Loan or on any L/C Obligation, or any facility,
utilization or other fee due hereunder, or any other amount payable hereunder or under any other Loan Document; or 

        (b)    Specific Covenants.    The Borrower shall fail to perform, observe or comply with any term, covenant or
agreement contained in any of Section 6.03 or 6.12 or  Article VII; or 

52

 

        (c)    Other Defaults.    The Borrower fails to perform or observe any other covenant or agreement (not specified in
subsection (a) or (b) above) contained in any Loan Document on its part to be performed or observed, and such failure or refusal continues for 30 days after the earlier of
(i) the Borrower obtaining knowledge of such failure or refusal and (ii) the Borrower being notified of such failure or refusal by the Administrative Agent, the L/C Issuer or any Lender;  provided, that notwithstanding the foregoing 30 days, with respect to any Financial Restrictions incorporated by reference in this Agreement
pursuant to Section 6.14, the cure period, if any, applicable to such Financial Restrictions shall be the relevant number of days of the relevant
incorporated default; or 

        (d)    Representations and Warranties.    Any representation or warranty made or deemed made by the Borrower herein,
in any other Loan Document, or in any document delivered by it in connection herewith or therewith proves to have been incorrect in any material respect when made or deemed made. 

        (e)    Cross-Default.    (i) The Borrower or any Subsidiary other than, for the avoidance of doubt, an
Unrestricted Subsidiary (A) fails to make any payment when due (whether by scheduled maturity, required prepayment, acceleration, demand, or otherwise), inclusive of any grace, extension,
forbearance or similar period, in respect of any Indebtedness having an aggregate principal amount (including undrawn or available amounts and including amounts owing to all creditors under any
combined or syndicated credit arrangement) of more than the Threshold Amount, or (B) fails to observe or perform any other agreement or condition relating to any such Indebtedness or contained
in
any instrument or agreement evidencing, securing or relating thereto, or any other event occurs, for a period beyond the applicable grace, cure, extension, forbearance or other similar period the
effect of which default or other event is to cause, or to permit the holder or holders of such Indebtedness (or the beneficiary or beneficiaries of any applicable Guarantee Obligation (or a trustee or
agent on behalf of such holder or holders or beneficiary or beneficiaries) to cause, with the giving of notice if required, such Indebtedness to be demanded or to become due or to be repurchased or
redeemed (automatically or otherwise) prior to its stated maturity, or such Guarantee Obligation to become payable or cash collateral in respect thereof to be demanded; or (ii) there occurs
under any Swap Contract an Early Termination Date (as defined in such Swap Contract) resulting from (A) any event of default under such Swap Contract as to which the Borrower or any Subsidiary
other than, for the avoidance of doubt, an Unrestricted Subsidiary is the Defaulting Party (as defined in such Swap Contract) or (B) any Termination Event (as so defined) under such Swap
Contract as to which the Borrower or any Subsidiary other than, for the avoidance of doubt, an Unrestricted Subsidiary is an Affected Party (as so defined) and, in either event, the Swap Termination
Value owed by the Borrower or such Subsidiary other than, for the avoidance of doubt, an Unrestricted Subsidiary as a result thereof is greater than the Threshold Amount; or 

        (f)    Insolvency Proceedings, Etc.    The Borrower or any Material Subsidiary institutes or consents to the
institution of any proceeding under any Debtor Relief Law, or makes an assignment for the benefit of creditors; or applies for or consents to the appointment of any receiver, trustee, custodian,
conservator, liquidator, rehabilitator or similar officer for it or for all or any material part of its property; or any receiver, trustee, custodian, conservator, liquidator, rehabilitator or similar
officer is appointed without the application or consent of such Person and the appointment continues undischarged or unstayed for 60 calendar days; or any proceeding under any Debtor Relief Law
relating to any such Person or to all or any part of its property is instituted without the consent of such Person and continues undismissed or unstayed for 60 calendar days, or an order for relief is
entered in any such proceeding; or 

        (g)    Inability to Pay Debts.    The Borrower or any Material Subsidiary becomes unable or admits in writing its
inability or fails generally to pay its debts as they become due as provided in Title 11 of the United States Bankruptcy Code; or 

53

 

        (h)    Judgments.    There is entered against the Borrower or any Material Subsidiary (i) a final judgment or
order for the payment of money in an aggregate amount exceeding the Threshold Amount (to the extent not covered by independent third-party insurance as to which the insurer does not dispute coverage
and third-party indemnity or similar agreements), and either the Borrower or such Material Subsidiary fails (A) to have discharged, within 60 days after its commencement, any related
attachment, sequestration or similar proceeding against its material assets or (B) to pay any money judgment against it within 10 days before the date on which any of its assets may be
lawfully sold to satisfy that judgment; or 

        (i)    ERISA.    (i) An ERISA Event occurs with respect to a Pension Plan or Multiemployer Plan which has
resulted or could reasonably be expected to result in liability of the Borrower or any Subsidiary of the Borrower under Title IV of ERISA to the Pension Plan, Multiemployer Plan or the PBGC in an
aggregate amount in excess of the Threshold Amount, or (ii) the Borrower or any ERISA Affiliate fails to pay when due, after the expiration of any applicable grace period, any installment
payment with
respect to its withdrawal liability under Section 4201 of ERISA under a Multiemployer Plan in an aggregate amount in excess of the Threshold Amount; or 

        (j)    Invalidity of Loan Documents.    Any Loan Document, at any time after its execution and delivery and for any
reason other than the agreement of all the Lenders or satisfaction in full of all the Obligations, ceases to be in full force and effect, or is declared by a court of competent jurisdiction to be null
and void, invalid or unenforceable in any respect; or the Borrower denies that it has any or further liability or obligation under any Loan Document, or purports to revoke, terminate or rescind any
Loan Document; or 

        (k)    Change of Control.    There occurs any Change of Control. 

 
 
        8.02    Remedies Upon Event of Default.     If any Event of Default occurs and is then continuing, the
Administrative Agent shall, at the request of, or may, with the consent of, the Required Lenders, 

        (a)  declare
the commitment of each Lender to make Loans and any obligation of the L/C Issuer to make L/C Credit Extensions to be terminated, whereupon such commitments and
obligation shall be terminated; 

        (b)  declare
the unpaid principal amount of all outstanding Loans, all interest accrued and unpaid thereon, and all other amounts owing or payable hereunder or under any
other Loan Document to be immediately due and payable, without presentment, demand, protest or other notice of any kind, all of which are hereby expressly waived by the Borrower; 

        (c)  require
that the Borrower Cash Collateralize the L/C Obligations (in an amount equal to the then Outstanding Amount thereof); and 

        (d)  exercise
on behalf of itself and the Lenders all rights and remedies available to it and the Lenders under the Loan Documents or applicable law; 

provided, however, that upon the occurrence of any event specified in subsection (f) or (g) of  Section 8.01 with respect to the Borrower, the obligation of each Lender to make Loans and any obligation of the L/C Issuer to make L/C Credit
Extensions shall automatically terminate, the unpaid principal amount of all outstanding Loans and all interest and other amounts as aforesaid shall automatically become due and payable, and the
obligation of the Borrower to Cash Collateralize the L/C Obligations as aforesaid shall automatically become effective, in each case without further act of the Administrative Agent, the L/C Issuer or
any Lender. 

54

 

 
 

ARTICLE IX.
  ADMINISTRATIVE AGENT    
  

 
 
        9.01    Appointment and Authorization of Administrative Agent.     

        (a)  Each
Lender hereby irrevocably (subject to Section 9.09) appoints, designates and authorizes the Administrative
Agent to take such action on its behalf under the provisions of this Agreement and each other Loan Document and to exercise such powers and perform such duties as are expressly delegated to it by the
terms of this Agreement or any other Loan Document, together with such powers as are reasonably incidental thereto. Notwithstanding any provision to the contrary contained elsewhere herein or in any
other Loan Document, the Administrative Agent shall not have any duties or responsibilities, except those expressly set forth herein, nor shall the Administrative Agent have or be deemed to have any
fiduciary relationship with any Lender or participant, and no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read into this Agreement or any other Loan
Document or otherwise exist against the Administrative Agent. Without limiting the generality of the foregoing sentence, the use of the term "agent" herein and in the other Loan Documents with
reference to the Administrative Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any applicable law. Instead, such term is used
merely as a matter of market custom, and is intended to create or reflect only an administrative relationship between independent contracting parties. 

        (b)  The
L/C Issuer shall act on behalf of the Lenders with respect to any Letters of Credit issued by it and the documents associated therewith until such time (and except
for so long) as the Administrative Agent may agree at the request of the Required Lenders to act for the L/C Issuer with respect thereto; provided,  however,
 that the L/C Issuer shall have all of the benefits and immunities (i) provided to the Administrative Agent in this  Article IX with respect to any acts taken or omissions suffered by the L/C
Issuer in connection with Letters of Credit issued by it or proposed
to be issued by it and the application and agreements for letters of credit pertaining to the Letters of Credit as fully as if the term "Administrative Agent" as used in this  Article IX included
the L/C Issuer with respect to such acts or omissions, and (ii) as additionally provided herein with respect to the
L/C Issuer. 

 
 
        9.02    Delegation of Duties.     The Administrative Agent may execute any of its duties under this Agreement or
any other Loan Document by or through agents, employees or
attorneys-in-fact and shall be entitled to advice of counsel and other consultants or experts concerning all matters pertaining to such duties. The Administrative Agent shall
not be responsible for the negligence or misconduct of any agent or attorney-in-fact that it selects in the absence of gross negligence or willful misconduct. 

 
 
        9.03    Liability of Administrative Agent.     No Agent-Related Person shall (a) be liable for any action
taken or omitted to be taken by any of them under or in connection with this Agreement or any
other Loan Document or the transactions contemplated hereby (except for its own gross negligence or willful misconduct in connection with its duties expressly set forth herein), or (b) be
responsible in any manner to any Lender or participant for any recital, statement, representation or warranty made by the Borrower or any officer thereof, contained herein or in any other Loan
Document, or in any certificate, report, statement or other document referred to or provided for in, or received by the Administrative Agent under or in connection with, this Agreement or any other
Loan Document, or the validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement or any other Loan Document, or for any failure of the Borrower to any Loan Document to
perform its obligations hereunder or thereunder. No Agent-Related Person shall be under any obligation to any Lender or participant to ascertain or to inquire as to the observance or performance of
any of the agreements contained in, or conditions of, this Agreement or any other Loan Document, or to inspect the properties, books or records of the Borrower or any Affiliate thereof. 

55

 

 
 
        9.04    Reliance by Administrative Agent.     

        (a)  The
Administrative Agent shall be entitled to rely, and shall be fully protected in relying, upon any writing, communication, signature, resolution, representation,
notice, consent, certificate, affidavit, letter, telegram, facsimile or telex, statement or other document or conversation believed by it to be genuine and correct and to have been signed, sent or
made by the proper Person or Persons, and upon advice and statements of legal counsel (including counsel to the Borrower), independent accountants and other experts selected by the Administrative
Agent. The Administrative Agent shall be fully justified in failing or refusing to take any action under any Loan Document unless it shall first receive such advice or concurrence of the Required
Lenders as it deems appropriate and, if it so requests, it shall first be indemnified to its satisfaction by the Lenders against any and all liability and expense which may be incurred by it by reason
of taking or continuing to take any such action. The Administrative Agent shall in all cases be fully protected in acting, or in refraining from acting, under this Agreement or any other Loan Document
in accordance with a request or consent of the Required Lenders or all the Lenders, if required hereunder, and such request and any action taken or failure to act pursuant thereto shall be binding
upon all the Lenders and participants. Where this Agreement expressly permits or prohibits an action unless the Required Lenders otherwise determine, the Administrative Agent shall, and in all other
instances, the Administrative Agent may, but shall not be required to, initiate any solicitation for the consent or a vote of the Lenders. 

        (b)  For
purposes of determining compliance with the conditions specified in Section 4.01, each Lender that has signed
this Agreement shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter either sent by the Administrative Agent to such Lender for consent,
approval, acceptance or satisfaction, or required thereunder to be consented to or approved by or acceptable or satisfactory to a Lender. 

 
 
        9.05    Notice of Default.     The Administrative Agent shall not be deemed to have knowledge or notice of the
occurrence of any Default or Event of Default, except with respect to defaults in
the payment of principal, interest and fees required to be paid to the Administrative Agent for the account of the Lenders, unless the Administrative Agent shall have received written notice from a
Lender or the Borrower referring to this Agreement, describing such Default or Event of Default and stating that such notice is a "notice of default." The Administrative Agent will notify the Lenders
of its receipt of any such notice. The Administrative Agent shall take such action with respect to such Default or Event of Default as may be directed by the Required Lenders in accordance with  Article VIII; provided, however, that unless and
until the Administrative Agent has received any such direction, the Administrative Agent may (but shall not be obligated to) take such action, or refrain from taking such action, with respect to such
Default or Event of Default as it shall deem advisable or in the best interest of the Lenders. 

 
 
        9.06    Credit Decision; Disclosure of Information by Administrative Agent.     Each Lender acknowledges that no
Agent-Related Person has made any representation or warranty to it, and that no act by the Administrative Agent hereinafter
taken, including any consent to and acceptance of any assignment or review of the affairs of the Borrower or any Affiliate thereof, shall be deemed to constitute any representation or warranty by any
Agent-Related Person to any Lender as to any matter, including whether Agent-Related Persons have disclosed material information in their possession. Each Lender represents to the Administrative Agent
that it has, independently and without reliance upon any Agent-Related Person and based on such documents and information as it has deemed appropriate, made its own appraisal of and investigation into
the business, prospects, operations, property, financial and other condition and creditworthiness of the Borrower and its Subsidiaries and, as applicable, Unrestricted Subsidiaries, and all applicable
bank or other regulatory Laws relating to the transactions contemplated hereby, and made its own decision to enter into this Agreement and to extend credit to the Borrower hereunder. Each Lender also
represents that it will, independently and without reliance upon any Agent-Related Person and based on such documents and information as it shall deem 

56

 

appropriate at the time, continue to make its own credit analysis, appraisals and decisions in taking or not taking action under this Agreement and the other Loan Documents, and to make such
investigations as it deems necessary to inform itself as to the business, prospects, operations, property, financial and other condition and creditworthiness of the Borrower. Except for notices,
reports and other documents expressly required to be furnished to the Lenders by the Administrative Agent herein, the Administrative Agent shall not have any duty or responsibility to provide any
Lender with any credit or other information concerning the business, prospects, operations, property, financial and other condition or creditworthiness of the Borrower or any of its Affiliates which
may come into the possession of any Agent-Related Person. 

 
 
        9.07    Indemnification of Administrative Agent.     Whether or not the transactions contemplated hereby are
consummated, the Lenders shall indemnify upon demand each Agent-Related Person (to the extent not
reimbursed by or on behalf of the Borrower and without limiting the obligation of the Borrower to do so), pro rata, and hold harmless each Agent-Related Person from and against any and all Indemnified
Liabilities incurred by it; provided, however, that no Lender shall be liable for the payment to any
Agent-Related Person of any portion of such Indemnified Liabilities resulting from any such Person's gross negligence or willful misconduct; provided,  however, that no action taken in accordance with the directions of the Required Lenders shall be deemed to constitute gross negligence or willful
misconduct for purposes of this Section. Without limitation of the foregoing, each Lender shall reimburse the Administrative Agent upon demand for its ratable share of any costs or
out-of-pocket expenses (including Attorney Costs) incurred by the Administrative Agent in connection with the preparation, execution, delivery,
administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in respect of rights or responsibilities under, this
Agreement, any other Loan Document, or any document contemplated by or referred to herein, to the extent that the Administrative Agent is not reimbursed for such expenses by or on behalf of the
Borrower. The undertaking in this Section shall survive termination of the Commitments, the payment of all Obligations hereunder and the resignation or replacement of the Administrative Agent. 

 
 
        9.08    Administrative Agent in its Individual Capacity.     Bank of America and its Affiliates may make loans to,
issue letters of credit for the account of, accept deposits from, acquire equity interests in and generally
engage in any kind of banking, trust, financial advisory, underwriting or other business with each of the Borrower and its Affiliates as though Bank of America were not the Administrative Agent or the
L/C Issuer hereunder and without notice to or consent of the Lenders. The Lenders acknowledge that, pursuant to such activities, Bank of America or its Affiliates may receive information regarding the
Borrower or its Affiliates (including information that may be subject to confidentiality obligations in favor of the Borrower or such Affiliate) and acknowledge that the Administrative Agent shall be
under no obligation to provide such information to them. With respect to its Loans, Bank of America shall have the same rights and powers under this Agreement as any other Lender and may exercise such
rights and powers as though it were not the Administrative Agent or the L/C Issuer, and the terms "Lender" and "Lenders" include Bank of America in its individual capacity. 

 
 
        9.09    Successor Administrative Agent.     The Administrative Agent may resign as Administrative Agent upon
30 days' notice to the Lenders. If the Administrative Agent resigns under this Agreement,
the Required Lenders shall appoint from among the Lenders a successor administrative agent for the Lenders which successor administrative agent shall be consented to by the Borrower at all times other
than during the existence of an Event of Default (which consent of the Borrower shall not be unreasonably withheld or delayed). If no successor administrative agent is appointed prior to the effective
date of the resignation of the Administrative Agent, the Administrative Agent may appoint, after consulting with the Lenders and the Borrower, a successor administrative agent from among the Lenders.
Upon the acceptance of its appointment as successor administrative agent hereunder, such successor administrative agent shall succeed to all the rights, powers and duties of the retiring 

57

 

Administrative Agent and the term "Administrative Agent" shall mean such successor administrative agent and the retiring Administrative Agent's appointment, powers and duties as Administrative Agent
shall be terminated. After any retiring Administrative Agent's resignation hereunder as Administrative Agent, the provisions of this Article IX
and Sections 10.03 and 10.13 shall inure to its benefit as to any actions taken or omitted to be
taken by it while it was Administrative Agent under this Agreement. If no successor administrative agent has accepted appointment as Administrative Agent by the date which is 30 days following
a retiring Administrative Agent's notice of resignation, the retiring Administrative Agent's resignation shall nevertheless thereupon become effective and the Lenders shall perform all of the duties
of the Administrative Agent hereunder until such time, if any, as the Required Lenders appoint a successor agent as provided for above. 

 
 
        9.10    Other Agents; Lead Arranger, Etc. None of the Lenders identified on the facing page or signature  pages of this Agreement as a
"syndication agent," "documentation agent," "lead arranger" or "book manager" shall have any right, power, obligation, liability, responsibility or duty under this  Agreement other than those applicable to all Lenders as such. Without limiting the
foregoing, none of the Lenders so identified shall have or be deemed to have any fiduciary relationship with any  Lender. Each Lender acknowledges that it has not relied, and will not rely, on any of the Lenders so identified in deciding to enter
into this Agreement or in taking or not taking action hereunder.    

 
 

ARTICLE X.
  MISCELLANEOUS    
  

 
 
        10.01    Amendments, Etc.     No amendment or waiver of any provision of this Agreement
or any other Loan Document, and no consent to any departure by the Borrower therefrom, shall be
effective unless in writing signed by the Required Lenders and the Borrower and acknowledged by the Administrative Agent, and each such waiver or consent shall be effective only in the specific
instance and for the specific purpose for which given; provided, however, that no such amendment, waiver
or consent shall, unless in writing and signed by each of the Lenders directly affected thereby and by the Borrower, and acknowledged by the Administrative Agent, do any of the following: 

        (a)  extend
or increase the Commitment of any Lender (or reinstate any Commitment terminated pursuant to Section 8.02),
except for any such extension made in accordance with Section 2.15; 

        (b)  postpone
any date fixed by this Agreement or any other Loan Document for any payment of principal, interest, fees or other amounts due to the Lenders (or any of them)
hereunder or under any other Loan Document; 

        (c)  reduce
the principal of, or the rate of interest specified herein on, any Loan or L/C Borrowing, or (subject to clause (iii) of the proviso below) any fees or
other amounts payable hereunder or under any other Loan Document; provided, however, that only the
consent of the Required Lenders shall be necessary to amend the definition of "Default Rate" or to waive any obligation of the Borrower to pay interest at the Default Rate; 

        (d)  change
the percentage of the Commitments or of the aggregate unpaid principal amount of the Loans and L/C Obligations which is required for the Lenders or any of them to
take any action hereunder; 

        (e)  change
the Pro Rata Share or Voting Percentage of any Lender; or 

        (f)    amend
this Section, or Section 2.14, or any provision herein providing for consent or other action by all the
Lenders; 

and,
provided further, that (i) no amendment, waiver or consent shall, unless in writing and signed by the L/C Issuer in addition to the Required
Lenders or all the Lenders, as the case may be, affect the rights or duties of the L/C Issuer under this Agreement or any Letter of Credit Application relating to 

58

 

any Letter of Credit issued or to be issued by it; (ii) no amendment, waiver or consent shall, unless in writing and signed by the Administrative Agent in addition to the Required Lenders or
all the Lenders, as the case may be, affect the rights or duties of the Administrative Agent under this Agreement or any other Loan Document; and (iii) the Agent/Arranger Fee Letter may be
amended, or rights or privileges thereunder waived, in a writing executed only by the parties thereto. Notwithstanding anything to the contrary herein, any Lender that has failed to fund any portion
of the Loans or participations in L/C Obligations required to be funded by it hereunder shall not have any right to approve or disapprove any amendment, waiver or consent hereunder, except that the
Pro Rata Share of such Lender may not be increased without the consent of such Lender. 

 
 
        10.02    Notices and Other Communications; Facsimile Copies.     

        (a)    General.    Unless otherwise expressly provided herein, all notices and other communications provided for
hereunder shall be in writing (including by facsimile transmission) and mailed, faxed or delivered, to the address, facsimile number or (subject to subsection (c) below) electronic mail address
(i) specified for notices on Schedule 10.02 in the case of the Borrower, the Administrative Agent or the L/C Issuer, or to such other
address as shall be designated by such party in a notice to the other parties, and (ii) in the case of any other Lender, to the address specified in the administrative details form provided to
the Administrative Agent or to such other address as shall be designated by such party in a notice to the Borrower, the Administrative Agent, and the L/C Issuer. All such notices and other
communications shall be deemed to be given or made upon the earlier to occur of (i) actual receipt by the intended recipient and (ii) (A) if delivered by hand or by courier, when
signed for by the intended recipient; (B) if delivered by mail, four Business Days after deposit in the mails, postage prepaid; (C) if delivered by facsimile, when sent and receipt has
been confirmed by telephone; and (D) if delivered by electronic mail (which form of delivery is subject to the provisions of subsection (c) below), when delivered;  provided, however, that notices and other communications to the Administrative Agent, and the L/C Issuer
pursuant to Article II shall not be effective until actually received by such Person. Any notice or other communication permitted to be given,
made or confirmed by telephone hereunder shall be given, made or confirmed by means of a telephone call to the intended recipient at the number specified on  Schedule 10.02, it being understood and
agreed that a voicemail message shall in no event be effective as a notice, communication or confirmation
hereunder. 

        (b)    Effectiveness of Facsimile Documents and Signatures.    Loan Documents may be transmitted and/or signed by
facsimile. The effectiveness of any such documents and signatures shall, subject to applicable Law, have the same force and effect as manually-signed originals and shall be binding on the Borrower,
the Administrative Agent and the Lenders. The Administrative Agent may also require that any such documents and signatures be confirmed by a manually-signed original thereof;  provided, however, that the failure to request or deliver the same shall not limit the effectiveness of
any facsimile document or signature. 

        (c)    Limited Use of Electronic Mail.    Electronic mail and internet and intranet websites may be used only to
distribute routine communications, such as financial statements and other information, and to distribute Loan Documents for execution by the parties thereto, and may not be used for any other purpose. 

        (d)    Reliance by Administrative Agent and Lenders.    The Administrative Agent and the Lenders shall be entitled to
rely and act upon any notices (including telephonic Loan Notices if immediately followed by a corresponding Loan Notice in writing) purportedly given by or on behalf of the Borrower even if
(i) such notices were not made in a manner specified herein, were incomplete or were not preceded or followed by any other form of notice specified herein, or (ii) the terms thereof, as
understood by the recipient, varied from any confirmation thereof. The Borrower shall indemnify each Agent-Related Person and each Lender from all losses, costs, expenses and liabilities resulting
from the reliance by such Person on each notice purportedly given by or on behalf of the Borrower. 

59

 

 
 
        10.03    No Waiver; Cumulative Remedies.     

        No
failure by any Lender or the Administrative Agent or the L/C Issuer to exercise, and no delay by any such Person in exercising, any right, remedy, power or privilege hereunder shall
operate as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other
right, remedy, power or privilege. The rights, remedies, powers and privileges herein or therein provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided by
law. 

 
 
        10.04    Attorney Costs, Expenses and Taxes.     The Borrower agrees (a) to pay or reimburse the
Administrative Agent and the L/C Issuer for all costs and expenses incurred in connection with the
development, preparation, negotiation and execution of this Agreement and the other Loan Documents and any amendment, waiver, consent or other modification of the provisions hereof and thereof
(whether or not the transactions contemplated hereby or thereby are consummated), and the consummation and administration of the transactions contemplated hereby and thereby, including all Attorney
Costs, and (b) to pay or reimburse the Administrative Agent, the L/C Issuer and each Lender for all costs and expenses incurred in connection with the enforcement, attempted enforcement, or
preservation of any rights or remedies under this Agreement or the other Loan Documents (including all such costs and expenses incurred during any "workout" or restructuring in respect of the
Obligations and during any legal proceeding, including any proceeding under any Debtor Relief Law), including all Attorney Costs. The foregoing costs and expenses shall include all search, filing,
recording, title insurance and appraisal charges and fees and taxes related thereto, and other out-of-pocket expenses incurred by the Administrative Agent or the L/C Issuer, as
the case may be, and the cost of independent public accountants and other outside
experts retained by the Administrative Agent, the L/C Issuer or any Lender. The agreements in this Section shall survive the termination of the Commitments and repayment of all the other Obligations. 

 
 
        10.05    Indemnification by the Borrower.     Whether or not the transactions contemplated hereby are consummated,
the Borrower agrees to indemnify, save and hold harmless each Agent-Related Person, each
Lender and their respective Affiliates, directors, officers, employees, counsel, agents and attorneys-in-fact (collectively the
"Indemnitees") from and against: (a) any and all claims, demands, actions or causes of action that are asserted against any Indemnitee by any
Person (other than the Administrative Agent, the L\C Issuer or any Lender) relating directly or indirectly to a claim, demand, action or cause of action that such Person asserts or may assert against
the Borrower or any of its Affiliates or any of its officers or directors; (b) any and all claims, demands, actions or causes of action that may at any time (including at any time following
repayment of the Obligations and the resignation or removal of the Administrative Agent or the replacement of any Lender) be asserted or imposed against any Indemnitee, arising out of or relating to,
the Loan Documents, any predecessor loan documents, the Commitments, the use or contemplated use of the proceeds of any Credit Extension, or the relationship of the Borrower, the Administrative Agent
and the Lenders under this Agreement or any other Loan Document; (c) any administrative or investigative proceeding by any Governmental Authority arising out of or related to a claim, demand,
action or cause of action described in subsection (a) or (b) above; and (d) any and all liabilities (including liabilities under indemnities), losses, costs or expenses (including
Attorney Costs) that any Indemnitee suffers or incurs as a result of the assertion of any foregoing claim, demand, action, cause of action or proceeding, or as a result of the preparation of any
defense in connection with any foregoing claim, demand, action, cause of action or proceeding, in all cases, whether or not arising out of the negligence of an
Indemnitee, and whether or not an Indemnitee is a party to such claim, demand, action, cause of action or proceeding (all the foregoing, collectively, the
"Indemnified Liabilities"); provided that no Indemnitee shall be entitled to indemnification for any
claim caused by its own gross negligence, violation of law, breach under any Loan Document or willful misconduct or for any loss asserted against it by another Indemnitee. The 

60

 

agreements in this Section shall survive the termination of the Commitments and repayment of all the other Obligations. 

 
 
        10.06    Payments Set Aside.     

        To
the extent that the Borrower makes a payment to the Administrative Agent, the L/C Issuer or any Lender, or the Administrative Agent, the L/C Issuer or any Lender exercises its right
of set-off, and such payment or the proceeds of such set-off or any part thereof is subsequently invalidated, declared to be fraudulent or preferential, set aside or required
(including pursuant to any settlement entered into by the Administrative Agent, the L/C Issuer or such Lender in its discretion) to be repaid to a trustee, receiver or any other party, in connection
with any proceeding under any Debtor Relief Law or otherwise, then (a) to the extent of such recovery, the obligation or part thereof originally intended to be satisfied shall be revived and
continued in full force and effect as if such payment had not been made or such set-off had not occurred, and (b) each Lender severally agrees to pay to the Administrative Agent or
the L/C Issuer, as the case may be, upon demand its applicable share of any amount so recovered from or repaid by the Administrative Agent or the L/C Issuer, as the case may be, plus interest thereon
from the date of such demand to the date such payment is made at a rate per annum equal to the Federal Funds Rate from time to time in effect. 

 
 
        10.07    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 assigns permitted hereby,
except that the Borrower may not assign or otherwise transfer any of its rights or obligations hereunder without the prior written consent of each Lender (and any attempted assignment or transfer by
the Borrower without such consent shall be null and void). Nothing in 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 Indemnitees) any legal or equitable right, remedy or claim under or by reason of this
Agreement. 

        (b)  Any
Lender may assign to one or more Eligible Assignees all or a portion of its rights and obligations under this Agreement (including all or a portion of its Commitment
and the Loans (including for purposes of this subsection (b), participations in L/C Obligations) at the time owing to it); provided that (i) with
respect to each assignment made to any Person described at clause (c) in the defined term "Eligible Assignee", the Assignee Conditions shall be satisfied, (ii) except in the case of an
assignment of the entire remaining amount of the assigning Lender's Commitment and the Loans at the time owing to it or in the case of an assignment to a Lender or an Affiliate of a Lender or an
Approved Fund with respect to a Lender, in each case which constitutes an Eligible Assignee, the aggregate amount of the Commitment (which for this purpose includes Loans outstanding thereunder)
subject to each such assignment, determined as of the date the Assignment and Acceptance with respect to such assignment is delivered to the Administrative Agent, shall not be less than $5,000,000
unless each of the Administrative Agent and the L/C Issuer and, so long as no Event of Default has occurred and is continuing, the Borrower, otherwise consent (each such consent not to be unreasonably
withheld or delayed), (iii) each partial assignment shall be made as an assignment of a proportionate part of all the assigning Lender's rights and obligations under this Agreement with respect
to the Loans or the Commitment assigned, and (iv) the parties to each assignment shall execute and deliver to the Administrative Agent an Assignment and Acceptance, together with a processing
and recordation fee of $3,500. Subject to acceptance and recording thereof by the Administrative Agent pursuant to subsection (c) of this Section and compliance with the Assignee Conditions,
from and after the effective date specified in each Assignment and Acceptance, the Eligible Assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such Assignment
and Acceptance, have the rights and obligations of a Lender under this Agreement, and the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment and Acceptance,
be released from its obligations under this 

61

 

Agreement (and, in the case of an Assignment and Acceptance covering all of the assigning Lender's rights and obligations under this Agreement, such Lender shall cease to be a party hereto but shall
continue to be entitled to the benefits of Sections 3.07, 10.04 and  10.05). Upon request, the Borrower
(at its expense) shall execute and deliver new or replacement Notes to the assigning Lender and the assignee Lender.
Any assignment or transfer (other than any assignment as security to a Federal Reserve Bank) by a Lender of rights or obligations under this Agreement that does not comply with this subsection shall
be treated for purposes of this Agreement as a sale by such Lender of a participation in such rights and obligations in accordance with subsection (d) of this Section. 

        (c)  The
Administrative Agent, acting solely for this purpose as an agent of the Borrower, shall maintain at the Administrative Agent's Office a copy of each Assignment and
Acceptance delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Commitments of, and principal amount of the Loans and L/C Obligations owing to, each
Lender pursuant to the terms hereof from time to time (the "Register"). The entries in the Register shall be conclusive, and the Borrower, the
Administrative Agent, the L/C Issuer and the Lenders may treat each Person whose name is recorded in the Register pursuant to the terms hereof as a Lender hereunder for all purposes of this Agreement,
notwithstanding notice to the contrary. The Register shall be available for inspection by the Borrower and any Lender, at any reasonable time and from time to time upon reasonable prior notice. 

        (d)  Any
Lender may, without the consent of, or prior notice to, the Borrower, the L/C Issuer or the Administrative Agent, sell participations to one or more banks or other
entities (a "Participant") in all or a portion of such Lender's rights and/or obligations under this Agreement (including all or a portion of its
Commitment and/or the Loans (including such Lender's participations in L/C Obligations owing to it); provided that (i) such Lender's obligations
under this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations and (iii) the Borrower,
the Administrative Agent, the L/C Issuer and the other Lenders shall continue to deal solely and directly with such Lender in connection with such Lender's rights and obligations under this Agreement.
Any agreement or instrument pursuant to which a Lender sells such a participation shall provide that such Lender shall retain the sole right to enforce this Agreement and to approve any amendment,
modification or waiver of any provision of this Agreement; provided that such agreement or instrument may provide that such Lender will not, without the
consent of the Participant, agree to any amendment, waiver or other modification that would (i) postpone any date upon which any payment of money is scheduled to be paid to such Participant or
(ii) reduce the principal, interest, fees or other amounts payable to such Participant. Subject to subsection (e) of this Section, the Borrower agrees that each Participant shall be
entitled to the benefits of Sections 3.01, 3.04 and  3.05 to the same extent as if it were a Lender and
had acquired its interest by assignment pursuant to subsection (b) of this Section. To the
extent permitted by law, each Participant also shall be entitled to the benefits of Section 10.09 as though it were a Lender,  provided such
Participant agrees to be subject to Section 2.14 as though it were a Lender. 

        (e)  A
Participant shall not be entitled to receive any greater payment under Section 3.01,  3.04 or 3.05 than
the applicable Lender would have been entitled to receive with respect to the
participation sold to such Participant, unless the sale of the participation to such Participant is made with the Borrower's prior written consent. A Participant that would be a Foreign Lender if it
were a Lender shall not be entitled to the benefits of Section 3.01 unless the Borrower is notified of the participation sold to such Participant
and such Participant agrees, for the benefit of the Borrower, to comply with Section 10.15 as though it were a Lender. 

        (f)    Any
Lender may at any time assign, pledge or grant a security interest in all or any portion of its rights under this Agreement (including under its Notes, if any) to
secure obligations of such Lender to a Federal Reserve Bank; provided that no such pledge or assignment shall release a Lender from any of its
obligations hereunder or substitute any such pledgee or assignee for such Lender as a party 

62

 

hereto; and provided, further, all costs, fees and expenses related to, or in connection with, any such
pledge or grant shall be for the sole account of such Lender. 

        (g)  Intentionally Blank.

        (h)  Intentionally Blank.

        (i)    Notwithstanding
anything to the contrary contained herein, if at any time Bank of America assigns all of its Commitment and Loans pursuant to subsection
(b) above, Bank of America may, upon 30 days' notice to the Borrower and the Lenders, resign as L/C Issuer. In the event of any such resignation as L/C Issuer, the Borrower shall be
entitled to appoint from among the Lenders a successor L/C Issuer hereunder; provided, however, that no
failure by the Borrower to appoint any such successor shall affect the resignation of Bank of America as L/C Issuer. Bank of America shall retain all the rights and obligations of the L/C Issuer
hereunder with respect to all Letters of Credit outstanding as of the effective date of its resignation as L/C Issuer and all L/C Obligations with respect thereto (including the right to require the
Lenders to make Base Rate Loans or fund participations in Unreimbursed Amounts pursuant to Section 2.04(c)). 

 
 
        10.08    Confidentiality.     Each of the Administrative Agent and the Lenders (on behalf of itself and each of its
Affiliates, and each of its and their directors, officers, agents,
attorneys, employees and representatives) 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 (and will agree to) keep such Information confidential on the terms provided in this Section); (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 (and each such case, such Person shall endeavor to notify the
Borrower of such occurrence as soon as reasonably possible following the service of any such process on such Person); (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 the enforcement of rights hereunder; (f) subject to an agreement containing provisions
substantially the same as those of this Section, to (i) any Eligible Assignee of or Participant in, or any prospective Eligible Assignee of or Participant in, any of its rights or obligations
under this Agreement or (ii) any direct or indirect contractual counterparty or prospective counterparty (or such contractual counterparty's or prospective counterparty's professional advisor)
to any credit derivative transaction relating to obligations of the Borrower, in each case, provided that each such Person first agrees to hold, and
cause to be held, such Information in confidence on the terms provided in this Section; (g) with the consent of the Borrower; (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 Administrative Agent or any Lender on a nonconfidential basis from a source other than the
Borrower; or (i) to the National Association of Insurance Commissioners or any other similar organization or any nationally recognized rating agency that requires access to information about a
Lender's or its Affiliates' investment portfolio in connection with ratings issued with respect to such Lender or its Affiliates. 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
(i) "structure" or "tax aspects" of the transactions contemplated by this Agreement, as such terms are used in Code sections 6011, 6111 or 6112, and the
regulations promulgated thereunder, or (ii) available to the Administrative Agent or any 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 in writing 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. For the avoidance of doubt, the
Borrower, the 

63

 

Administrative Agent and the Lenders agree that the Borrower, the Administrative Agent and the Lenders (and each of their Affiliates, their directors, officers, agents, attorneys, employees and
representatives) are permitted to disclose to any and all Persons, without limitation of any kind, the "structure" and "tax aspects" of the transactions contemplated by this Agreement, as such terms
are used in Code sections 6011, 6111 or 6112, and the regulations promulgated thereunder, and all materials of any kind (including opinions or other tax analyses) that are provided to the
Administrative Agent and the Lenders related to such structure and tax aspects. The preceding sentence and clause (i) in the definition of "Information" above are set forth herein solely to
come within certain "safe harbor" provisions set forth in certain temporary regulations promulgated under Code sections 6011, 6111 and 6112.. 

 
 
        10.09    Set-off.     In addition to any rights and remedies of the Lenders provided by law, upon the occurrence
and during the continuance of any Event of Default, each Lender is
authorized at any time and from time to time, without prior notice to the Borrower, any such notice being waived by the Borrower 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 by, and other indebtedness at any time owing by, such Lender to or for the credit or the account of the
Borrower against any and all Obligations then due and owing to such Lender. Each Lender agrees promptly to notify the Borrower and the Administrative Agent after any such set-off and
application made by such Lender; provided, however, that the failure to give such notice shall not
affect the validity of such set-off and application. 

 
 
        10.10    Interest Rate Limitation.     Notwithstanding anything to the contrary contained in any Loan Document, the
interest paid or agreed to be paid under the Loan Documents shall not exceed the
maximum amount, or be computed at a rate that exceeds the maximum rate, of non-usurious interest permitted by applicable Law (the "Maximum
Rate"). If the Administrative Agent, the L/C Issuer or any Lender shall contract for, charge, receive, reserve or take interest in an amount or at a rate that exceeds the
Maximum Rate, the excess interest shall be applied to the principal of the Loans or, if it exceeds such unpaid principal, refunded to the Borrower, and in no event shall the Borrower or any other
Person ever be liable for unearned interest or ever be required to pay interest in excess of the Maximum Rate. In determining whether the interest contracted for, charged, received, reserved or taken
by the Administrative Agent, the L/C Issuer or a Lender exceeds the Maximum Rate, such Person may, to the extent permitted by applicable Law, (a) characterize any payment that is not principal
as an expense, fee, or premium rather than interest, (b) exclude voluntary prepayments and the effects thereof, and (c) amortize, prorate, allocate, and spread in equal or unequal parts
the total amount of interest throughout the contemplated term of the Obligations. If the Laws of the State of Texas are applicable for purposes of determining the "Maximum Rate", then that term means
the "indicated rate ceiling" from time to time in effect under Chapter 303 of the Texas Finance Code. The Borrower agrees that Chapter 346 of the Texas Finance Code does not apply to any Borrowing. 

 
 
        10.11    Counterparts.     This Agreement may be executed in one or more counterparts and by the different parties
hereto on separate counterparts, each of which shall be deemed an
original, but all of which together shall constitute one and the same instrument. 

 
 
        10.12    Integration.     This Agreement, together with the other Loan Documents, comprises the complete and
integrated agreement of the parties on the subject matter hereof and thereof
and supersedes all prior agreements, written or oral, on such subject matter. In the event of any conflict between the provisions of this Agreement and those of any other Loan Document, the provisions
of this Agreement shall control; provided that the inclusion of supplemental rights or remedies in favor of the Administrative Agent, the L/C Issuer or the Lenders in any other Loan Document shall not
be deemed a conflict with this Agreement. Each Loan Document was drafted with the joint participation of the respective parties thereto and shall be construed neither against nor in favor of any
party, but rather in accordance with the fair meaning thereof. 

64

 

 
 
        10.13    Survival of Representations and Warranties.     All representations and warranties made hereunder and in
any other Loan Document or other document delivered pursuant hereto or thereto or in connection herewith
or therewith shall survive the execution and delivery hereof and thereof. Such representations and warranties have been or will be relied upon by the Administrative Agent, the L/C Issuer and each
Lender, regardless of any investigation made by the Administrative Agent, the L/C Issuer or any Lender or on their behalf and notwithstanding that the Administrative Agent, the L/C Issuer or any
Lender may have had notice or knowledge of any Default or Event of Default at the time of any Credit Extension. 

 
 
        10.14    Severability.     Any provision of this Agreement and the other Loan Documents that is prohibited or
unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions thereof, and any such prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction. 

 
 
        10.15    Foreign Lenders.     Each Lender that is a "foreign corporation, partnership or trust" within the meaning
of the Code (a "Foreign
Lender") shall deliver to the Administrative Agent, prior to becoming a Lender herein, two duly signed completed copies of either IRS Form W-8BEN or any
successor thereto (relating to such Person and entitling it to an exemption from, or reduction of, withholding tax on all payments to be made to such Person by the Borrower pursuant to this Agreement)
or IRS Form W-8ECI or any successor thereto (relating to all payments to be made to such Person by the Borrower pursuant to this Agreement) or such other evidence satisfactory to
the Borrower and the Administrative Agent that such Person is entitled to an exemption from, or reduction of, U.S. withholding tax. Thereafter and from time to time, each such Person shall
(a) promptly submit to the Administrative Agent such additional duly completed and signed copies of one of such forms (or such successor forms as shall be adopted from time to time by the
relevant United States taxing authorities) as may then be available under then current United States laws and regulations to avoid, or such evidence as is satisfactory to the Borrower and the
Administrative Agent of any available exemption from or reduction of, United
States withholding taxes in respect of all payments to be made to such Person by the Borrower pursuant to this Agreement, (b) promptly notify the Agent of any change in circumstances which
would modify or render invalid any claimed exemption or reduction, and (c) take such steps as shall not be materially disadvantageous to it, in the reasonable judgment of such Lender, and as
may be reasonably necessary (including the re-designation of its Lending Office) to avoid any requirement of applicable Laws that the Borrower make any deduction or withholding for taxes
from amounts payable to such Person. If such Person fails to deliver the above forms or other documentation, then the Administrative Agent may withhold from any interest payment to such Person an
amount equivalent to the applicable withholding tax imposed by Sections 1441 and 1442 of the Code, without reduction. If any Governmental Authority asserts that the Administrative Agent did not
properly withhold any tax or other amount from payments made in respect of such Person, such Person shall indemnify the Administrative Agent therefor, including all penalties and interest, any taxes
imposed by any jurisdiction on the amounts payable to the Agent under this Section, and costs and expenses (including Attorney Costs) of the Administrative Agent. The obligation of the Lenders under
this Section shall survive the payment of all Obligations and the resignation or replacement of the Administrative Agent. 

 
 
        10.16    Removal and Replacement of Lenders.     

        (a)  Under
any circumstances set forth herein providing that the Borrower shall have the right to remove or replace a Lender as a party to this Agreement, the Borrower may,
upon notice to such Lender and the Administrative Agent, (i) remove such Lender by terminating such Lender's Commitment or (ii) replace such Lender by causing such Lender to assign its
Commitment (without payment of any assignment fee) pursuant to Section 10.07(b) to one or more other Lenders or Eligible Assignees procured by
the Borrower; provided, however, that if the Borrower elects to exercise such 

65

 

right with respect to any Lender pursuant to Section 3.06(b), they shall be obligated to remove or replace, as the case may be, all Lenders that
have made similar requests for compensation pursuant to Section 3.01 or 3.04. The Borrower shall
(x) pay in full all principal, interest, fees and other amounts owing to such Lender through the date of termination or assignment (including any amounts payable pursuant to  Section 3.05),
(y) provide appropriate assurances and indemnities (which may include letters of credit) to the L/C Issuer as it may
reasonably require with respect to any continuing obligation to purchase participation interests in any L/C Obligations then outstanding, and (z) release such Lender from its obligations under
the Loan Documents. Any Lender being replaced shall execute and deliver an Assignment and Acceptance with respect to such Lender's Commitment and outstanding Credit Extensions. The Administrative
Agent shall distribute an amended Schedule 2.01, which shall be deemed incorporated into this Agreement, to reflect changes in the identities of
the Lenders and adjustments of their respective Commitments and/or Pro Rata Shares resulting from any such removal or replacement. 

        (b)  In
order to make all the Lenders' interests in any outstanding Credit Extensions ratable in accordance with any revised Pro Rata Shares after giving effect to the
removal or replacement of a Lender, the Borrower shall pay or prepay, if necessary, on the effective date thereof, all outstanding Loans of all Lenders, together with any amounts due under  Section 3.05. The Borrower may then request Loans from the Lenders in accordance with their revised Pro Rata Shares. The Borrower may net any
payments required hereunder against any funds being provided by any Lender or Eligible Assignee replacing a terminating Lender. The effect for purposes of this Agreement shall be the same as if
separate transfers of funds had been made with respect thereto. 

        (c)  This
section shall supersede any provision in Section 10.01 to the contrary. 

 
 
        10.17    Governing Law.     

        (a)  THIS
AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED ENTIRELY WITHIN
SUCH STATE; PROVIDED THAT THE ADMINISTRATIVE AGENT AND EACH LENDER SHALL RETAIN ALL RIGHTS ARISING UNDER FEDERAL LAW. 

        (b)  ANY
LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK SITTING IN MANHATTAN OR OF
THE UNITED STATES FOR THE SOUTHERN DISTRICT OF SUCH STATE, AND BY EXECUTION AND DELIVERY OF THIS AGREEMENT, THE BORROWER, THE ADMINISTRATIVE AGENT AND EACH LENDER CONSENTS, FOR ITSELF AND IN RESPECT
OF ITS PROPERTY, TO THE NON-EXCLUSIVE JURISDICTION OF THOSE COURTS. THE BORROWER, THE ADMINISTRATIVE AGENT AND EACH LENDER IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING ANY OBJECTION TO THE
LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING IN SUCH
JURISDICTION IN RESPECT OF ANY LOAN DOCUMENT OR OTHER DOCUMENT RELATED THERETO. THE BORROWER, THE ADMINISTRATIVE AGENT AND EACH LENDER WAIVES PERSONAL SERVICE OF ANY SUMMONS, COMPLAINT OR OTHER
PROCESS, WHICH MAY BE MADE BY ANY OTHER MEANS PERMITTED BY THE LAW OF SUCH STATE. 

 
 
        10.18    Waiver of Right to Trial by Jury.     EACH PARTY TO THIS AGREEMENT HEREBY EXPRESSLY WAIVES ANY RIGHT TO
TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION ARISING UNDER ANY LOAN DOCUMENT OR
IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO ANY LOAN DOCUMENT, OR THE 

66

 

TRANSACTIONS RELATED THERETO, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER FOUNDED IN CONTRACT OR TORT OR OTHERWISE; AND EACH PARTY HEREBY AGREES AND CONSENTS THAT ANY SUCH
CLAIM, DEMAND, ACTION OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND THAT ANY PARTY TO THIS AGREEMENT MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT
AS WRITTEN EVIDENCE OF THE CONSENT OF THE SIGNATORIES HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY. 

 
 
        10.19    Release of Guaranty Agreements; Promissory Notes.     

        (a)  Effective
on the Closing Date, the Guarantees executed by the Guarantors (as defined in the Existing Credit Agreement) pursuant to the Existing Credit Agreement are
hereby released. 

        (b)  Upon
receipt by the Administrative Agent, for the benefit of each Lender requesting a Note, of Notes issued hereunder covering such Loans assumed by the Borrower
hereunder, the Notes executed by the Operating Partnership under the Existing Credit Agreement shall be marked "cancelled" and returned to the Operating Partnership. 

 
 
        10.20    ENTIRE AGREEMENT.     THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE
FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF
PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

67

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	ENBRIDGE ENERGY PARTNERS, L.P.
	

 	
 	

By:	

Enbridge Energy Management, L.L.C., as delegate of Enbridge Energy Company, Inc., its General Partner
	 	 	 	 
	

 	
 	
By:	

/s/  MARK MAKI      

	

 	
 	

Name: Mark Maki
	

 	
 	

Title: V.P. Finance

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	BANK OF AMERICA, N.A., as Administrative Agent
	 	 	 	 
	

 	
 	

By:	

/s/  KEVIN L. AHART      

	

 	
 	

Name: Kevin L. Ahart
	

 	
 	

Title: Assistant Vice President
	

 	
 	
BANK OF AMERICA, N.A., as a Lender and L/C Issuer
	 	 	 	 
	

 	
 	

By:	

/s/  JEFF SUSMAN      

	

 	
 	

Name: Jeff Susman
	

 	
 	

Title: Managing Director

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	BANK OF MONTREAL, as Syndication Agent and as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  J. BAIDACOFF      

	

 	
 	

Name: J. Baidacoff
	

 	
 	

Title: Director

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	TORONTO DOMINION (TEXAS), INC., as Co-Documentation Agent and as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  DEBBIE A. GREENE      

	

 	
 	

Name: Debbie A. Greene
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	WACHOVIA BANK, NATIONAL ASSOCIATION (formerly known as First Union National Bank), as Co-Documentation Agent and as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  DAVID E. HUMPHREYS      

	

 	
 	

Name: David E. Humphreys
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	CITIBANK, N.A., as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  DAVID L. HARRIS      

	

 	
 	

Name: David L. Harris
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	CIBC INC., as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  MARYBETH ROSS      

	

 	
 	

Name: Marybeth Ross
	

 	
 	

Title: Authorized Signatory

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	ROYAL BANK OF CANADA, as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  CHRIS ABE      

	

 	
 	

Name: Chris Abe
	

 	
 	

Title: Manager

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	ABN AMRO BANK N.V., CAYMAN ISLANDS BRANCH, as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  DAVID MOORE      

	

 	
 	

Name: David Moore
	

 	
 	

Title: Vice President

        IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the date first above written. 

	 	 	SUNTRUST BANK, as a Lender
	 	 	 	 
	

 	
 	

By:	

/s/  JOSEPH M. MCCREERY      

	

 	
 	

Name: Joseph M. McCreery
	

 	
 	

Title: Vice President

  

SCHEDULE 2.01  

 
 

COMMITMENTS AND PRO RATA SHARES    
  

	Lender
 
	 	Commitment
	 	Pro Rata Share
	 
	Bank of America, N.A.	 	$	45,000,000	 	15.000000000	%
	Bank of Montreal	 	 	45,000,000	 	15.000000000	%
	Toronto Dominion (Texas), Inc.	 	 	45,000,000	 	15.000000000	%
	Wachovia Bank, National Association	 	 	45,000,000	 	15.000000000	%
	Citibank, N.A.	 	 	30,000,000	 	10.000000000	%
	CIBC Inc.	 	 	25,000,000	 	8.333333333	%
	Royal Bank of Canada	 	 	25,000,000	 	8.333333333	%
	ABN AMRO Bank N.V.	 	 	20,000,000	 	6.666666667	%
	SunTrust Bank	 	 	20,000,000	 	6.666666667	%
	 	 	
	 	
	 
	Total	 	$	300,000,000	 	100.000000000	%
	 	 	
	 	
	 

1

  

SCHEDULE 5.06  

 
 

LITIGATION    
  

        None. 

1

  

SCHEDULE 5.09  

 
 

ENVIRONMENTAL MATTERS    
  

        None. 

1

  

SCHEDULE 5.13  

 
  SUBSIDIARIES
  AND OTHER EQUITY INVESTMENTS    
  

Part(a). Subsidiaries, Material Subsidiaries and Unrestricted Subsidiaries  

	A.
	The
Borrower owns the following interests:

	1.
	100%
membership interests in Enbridge Pipelines (Lakehead) L.L.C.

	2.
	100%
membership interest in Enbridge Pipelines (North Dakota) LLC

	3.
	99.999%
limited partnership interest in Enbridge Energy, Limited Partnership (Material Subsidiary)

	4.
	100%
membership interest in Enbridge Midcoast Limited Holdings, L.L.C. (Material Subsidiary)

	5.
	100%
membership interest in Enbridge Midcoast Holdings, L.L.C 

	B.
	Enbridge
Pipelines (Lakehead) L.L.C. owns .001% general partner interest in Enbridge Energy, Limited Partnership. (Material Subsidiary)

	C.
	Enbridge
Midcoast Holdings, L.L.C. owns a .001% general partner interest in Enbridge Midcoast Energy, L.P. (Material Subsidiary)

	D.
	Enbridge
Midcoast Limited Holdings, L.L.C. owns a 99.999% limited partnership interest in Enbridge Midcoast Energy, L.P. (Material Subsidiary)

	E.
	Enbridge
Midcoast Energy, L.P. owns the following interests:

	1.
	100%
membership interest in Enbridge Holdings (Texas Systems) L.L.C.

	2.
	99.999%
limited partnership interest in Dufour Petroleum, L.P.

	3.
	100%
membership interest in H&W Pipeline, L.L.C.

	4.
	100%
stock of Nugget Drilling Corporation

	5.
	100%
membership interest in Enbridge Pipelines (Bamagas Intrastate) L.L.C.

	6.
	100%
membership interest in Midcoast Holdings No. One, L.L.C.

	7.
	100%
membership interest in Enbridge Processing (Mississippi) L.L.C.

	8.
	99.999%
limited partnership interest in Enbridge Marketing (U.S.) L.P.

	9.
	100%
membership interest in Enbridge Pipelines (Alabama Gathering) L.L.C.

	10.
	100%
membership interest in Enbridge Pipelines (Midla) L.L.C.

	11.
	100%
membership interest in Enbridge Pipelines (AlaTenn) L.L.C.

	12.
	99.999%
limited partnership interest in Enbridge Pipelines (Texas Gathering) L.P.

	13.
	99.999%
limited partnership interest in Enbridge Pipelines (NE Texas) L.P.

	14.
	100%
membership interest in Mid Louisiana Gas Transmission, L.L.C.

	15.
	100%
membership interest in Midcoast Kansas Pipeline, L.L.C.

	16.
	100%
membership interest in Midcoast Kansas General Partner, L.L.C.

	17.
	99.999%
limited partnership interest in Enbridge Pipelines (Texas Intrastate) L.P. 

1

 

	18.
	99.999%
limited partnership interest in Enbridge Pipelines (East Texas) L.P. (Material Subsidiary)

	19.
	99.999%
limited partnership interest in Enbridge Processing (East Texas) L.P.

	20.
	99.999%
limited partnership interest in Enbridge Marketing (East Texas) L.P.

	21.
	100%
membership interest in Enbridge Pipelines (NE Texas Liquids) L.L.C.

	22.
	100%
membership interest in Enbridge Gathering (Texarkana) L.L.C.

	23.
	100%
membership interest in Enbridge Pipelines (Tennessee River) L.L.C. 

	F.
	Enbridge
Holdings (Texas Systems) L.L.C. owns the following interests:

	1.
	.001%
general partner interest in Dufour Petroleum, L.P.

	2.
	100%
membership interest in Enbridge Marketing (U.S.) L.L.C.

	3.
	.001%
general partner interest in Enbridge Pipelines (Texas Gathering) L.P.

	4.
	.001%
general partner interest in Enbridge Pipelines (NE Texas) L.P.

	5.
	.001%
general partner interest in Enbridge Offshore Pipelines (Seacrest) L.P.

	6.
	.001%
general partner interest in Enbridge Pipelines (Texas Intrastate) L.P.

	7.
	.001%
general partner interest in Enbridge Pipelines (East Texas) L.P. (Material Subsidiary)

	8.
	.001%
general partner interest in Enbridge Processing (East Texas) L.P.

	9.
	.001%
general partner interest in Enbridge Marketing (East Texas) L.P. 

	G.
	Enbridge
Marketing (U.S.) L.L.C. owns .001% general partner interest in Enbridge Marketing (U.S.) L.P.

	H.
	Midcoast
Holdings No. One, L.L.C. owns 100% membership interest in Enbridge Pipelines (Alabama Intrastate) L.L.C.

	I.
	Midcoast
Kansas Pipeline, L.L.C. owns the following interests:

	1.
	0.1%
partnership interest in Enbridge Pipelines (KPC)

	2.
	0.1%
partnership interest in Mid-Kansas Partnership

	3.
	50%
limited partner interest in Riverside Pipeline Company, L.P. 

	J.
	Midcoast
Kansas General Partner, L.L.C. owns the following interests:

	1.
	99.9%
partnership interest in Enbridge Pipelines (KPC)

	2.
	99.9%
partnership interest in Mid-Kansas Partnership

	3.
	50%
general partner interest in Riverside Pipeline Company, L.P. 

	K.
	Mid
Louisiana Gas Transmission, L.L.C. owns the following interests:

	1.
	99.999%
limited partner interest in Enbridge Offshore Pipelines (Seacrest) L.P.

	2.
	100%
membership interests in Enbridge Offshore Pipelines (UTOS) LLC

	3.
	100%
membership interest in Enbridge Pipelines (Louisiana Liquids) L.L.C.

	4.
	100%
membership interest in Enbridge Pipelines (SIGCO Intrastate) L.L.C.

	5.
	100%
membership interest in Enbridge Pipelines (Louisiana Intrastate) L.L.C. 

2

 

	L.
	Enbridge
Pipelines (Texas Intrastate) L.P. owns 70% membership interest in Pan Grande Pipeline, L.L.C.

	M.
	No
other Subsidiary of the Borrower owns any Subsidiaries, Material Subsidiaries or Unrestricted Subsidiaries 

Part(b). Other Equity Interests.  

        Enbridge Pipelines (Texas Intrastate) L.P. owns 50% membership interest in Texana Pipeline Company 

3

  

SCHEDULE 7.01  

 
 

EXISTING LIENS    
  

        None. 

1

  

SCHEDULE 7.03  

 
 

EXISTING INDEBTEDNESS    
  

(a)    Existing Indebtedness of the Borrower    

None.

(b)    Existing Indebtedness of Non-OLP Subsidiaries    

None. 

(c)    Existing Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries    

The
Mortgage Notes. 

The
Senior Unsecured Notes. 

1

  

SCHEDULE 10.02  

 
 

ADMINISTRATIVE AGENT'S OFFICE,
  CERTAIN ADDRESSES FOR NOTICES    
  

BORROWER  

	Enbridge Energy Partners, L.P.

1100 Louisiana, Suite 3300

Houston, TX 77002-5217
	Attention:	 	Chris Kaitson

Associate General Counsel
	Telephone:	 	(713) 650-8900
	Facsimile:	 	(713) 650-2232
	Electronic Mail:	 	Chris.Kaitson@enbridge-us.com
	
With a copy to:
	

Enbridge Energy Partners, L.P.

C/O Enbridge Inc.

3000, 425-1st

Calgary, Alberta, Canada

T2P 3L8
	Attention:	 	Al Monaco

Treasurer
	Telephone:	 	(403) 231-3900
	Facsimile:	 	(403) 231-4848
	Electronic Mail:	 	al.monaco@enbridge.com
	
BANK OF AMERICA, N.A.
	
Administrative Agent's Office and Bank of America's Lending Office

(for payments and Requests for Credit Extensions):
	

Bank of America, N.A.

1850 Gateway Blvd.

Mail Code: CA4-706-05-09

Concord, CA 94520
	Attention:	 	Elvira Sabio, Agency Services
	Telephone:	 	(925) 675-8236
	Facsimile:	 	(888) 969-9240 (domestic)

(415) 343-9205 (international)
	Electronic Mail:	 	elvira.sabio@bankofamerica.com

1

 

	
Other Notices as Administrative Agent:
	

Bank of America, N.A.

Agency Management

1455 Market Street

Mail Code: CA5-701-05-19

San Francisco, CA 94103
	Attention:	 	Kevin Ahart

Agency Management Officer
	Telephone:	 	(415) 436-2750
	Facsimile:	 	(415) 503-5000
	Electronic Mail:	 	kevin.ahart@bankofamerica.com
	
L/C Issuer:
	

Bank of America, N.A.

Trade Operations-Los Angeles #22621

333 S. Beaudry Avenue, 19th Floor

Mail Code: CA9-703-19-23

Los Angeles, CA 90017-1466
	Attention:	 	Sandra Leon

Vice President
	Telephone:	 	(213) 345-5231
	Facsimile:	 	(213) 345-0265
	Electronic Mail:	 	sandra.leon@bankofamerica.com
	
Requests for Credit Extensions as a Lender:
	

Bank of America, N.A.

200 Front Street West

Toronto, ON, M5V 3L2
	Attention:	 	Teresa Tsui
	Telephone:	 	(416) 349-5390
	Facsimile:	 	(416) 349-4282
	Electronic Mail:	 	teresa.tsui@bankofamerica.com
	

Bank of America, N.A.

1850 Gateway Blvd.

Concord, CA 94520
	Attention:	 	Lila Rodriquez
	Telephone:	 	(925) 675-8029
	Facsimile:	 	(925) 675-8051 or 8053
	Electronic Mail:	 	lila.c.rodriquez@bankofamerica.com
	
Other Notices as a Lender:
	

Bank of America, N.A.

901 Main Street, 64th Floor

Dallas, TX 75202-3714
	Attention:	 	Jeff Susman

Managing Director
	Telephone:	 	(214) 209-0964
	Facsimile:	 	(214) 209-0905
	Electronic Mail:	 	jeff.susman@bankofamerica.com

2

  

EXHIBIT A  

 
  FORM OF LOAN NOTICE    
  

        Date:                         ,
             

To:
Bank of America, N.A., as Administrative Agent 

Ladies
and Gentlemen: 

        Reference
is made to that certain Amended and Restated 364-Day Credit Agreement, dated as of January 24, 2003 (as amended, restated, extended, supplemented or
otherwise modified in writing from time to time, the "Agreement;" the terms defined therein being used herein as therein defined), among Enbridge Energy
Partners, L.P., (the "Borrower"), the Lenders from time to time party thereto, and Bank of America, N.A., as Administrative Agent and L/C Issuer. 

        The
undersigned hereby requests (select one): 

        o    A
Borrowing of Loans                o    A conversion or continuation
of Loans 

        1.    On
                                         
                                (a Business Day).
 

        2.    In
the amount of
$                                         
       . 

        3.    Comprised
of
                                         
       .

                                        Type of
Loan requested 

        4.    For
Eurodollar Rate Loans: with an Interest Period of              months. 

        The
Borrowing requested herein complies with the proviso to the first sentence of Section 2.01 of the Agreement. 

	 	 	BORROWER
	 	 	 	 
	 	 	 	 
	 	 	By:	 
	 	 	 	

	 	 	Name:	 
	 	 	 	

	 	 	Title:	 
	 	 	 	

A-1

  

EXHIBIT B  

 
 

FORM OF LOAN NOTE    
  

	 	 	 	 	 	 	

	$	 	    
	 	 	 	    

        FOR
VALUE RECEIVED, the undersigned (the "Borrower"), hereby promises to pay to the order of
                        
(the "Lender"), on the Maturity Date (as defined in the 364-Day Credit Agreement referred to below) the principal amount of
                         Dollars
($                        ), or such lesser principal amount of Loans (as defined in such 364-Day Credit Agreement)
due and payable by the Borrower to the Lender on the Maturity Date under that certain Amended and Restated 364-Day Credit Agreement, dated as of January 24, 2003 (as amended,
restated, extended, supplemented or otherwise modified in writing from time to time, the "364-Day Credit Agreement;" the terms defined
therein being used herein as therein defined), among the Borrower, the Lenders from time to time party thereto, and Bank of America, N.A., as Administrative Agent, and L/C Issuer. 

        The
Borrower promises to pay interest on the unpaid principal amount of each Loan from the date of such Loan until such principal amount is paid in full, at such interest rates, and at
such times as are specified in the Agreement. All payments of principal and interest shall be made to the Administrative Agent for the account of the Lender in Dollars in immediately available funds
at the Administrative
Agent's Office. If any amount is not paid in full when due hereunder, such unpaid amount shall bear interest, to be paid upon demand, from the due date thereof until the date of actual payment (and
before as well as after judgment) computed at the per annum rate set forth in the Agreement. 

        This
Note is one of the Notes referred to in the Agreement, is entitled to the benefits thereof and is subject to optional prepayment in whole or in part as provided therein. During the
continuance of one or more of the Events of Default specified in the Agreement, all amounts then remaining unpaid on this Note shall become, or may be declared to be, immediately due and payable all
as provided in the Agreement. Loans made by the Lender shall be evidenced by one or more loan accounts or records maintained by the Lender in the ordinary course of business. The Lender may also
attach schedules to this Note and endorse thereon the date, amount and maturity of its Loans and payments with respect thereto. 

        The
Borrower, for itself, its successors and assigns, hereby waives diligence, presentment, protest and demand and notice of protest, demand, dishonor and non-payment of this
Note. 

        THIS
NOTE SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 

	 	 	BORROWER
	

 	
 	

 	
 	

 
	 	 	By:	 	    

	 	 	Name:	 	    

	 	 	Title:	 	    

B-1

 
LOANS AND PAYMENTS WITH RESPECT THERETO  

	Date
	 	Type of

Loan Made
	 	Amount of

Loan Made
	 	End of

Interest

Period
	 	Amount of

Principal or

Interest Paid

This Date
	 	Outstanding

Principal Balance

This Date
	 	Notation

Made By

	 	 	 	 	 	 	 	 	 	 	 	 	 
	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

	
	 	
	 	
	 	
	 	
	 	
	 	

B-2

  

EXHIBIT C  

 
 

FORM OF COMPLIANCE CERTIFICATE    
  

Financial
Statement Date:                         ,             

To:
Bank of America, N.A., as Administrative Agent 

Ladies
and Gentlemen: 

        Reference
is made to that certain Amended and Restated 364-Day Credit Agreement, dated as of January 24, 2003 (as amended, restated, extended, supplemented or
otherwise modified in writing from time to time, the "Agreement;" the terms defined therein being used herein as therein defined), among Enbridge Energy
Partners, L.P. (the "Borrower"), the Lenders from time to time party thereto, and Bank of America, N.A., as Administrative Agent, and L/C Issuer. 

        The
undersigned Responsible Officer hereby certifies as of the date hereof that he/she is the                          of the
Borrower, and that, as such, he/she is
authorized to execute and deliver this Certificate to the Administrative Agent on the behalf of the Borrower, and that: 

Use following for fiscal year-end financial statements

        1.    Attached
hereto as Schedule 1 are year-end financial statements for the Borrower and its Subsidiaries required by  Section 6.01(a) and attached hereto as Schedule 1a are the year-end financial
statements adjusted to exclude the assets and
operations of Unrestricted Subsidiaries which financial statements fairly present the financial conditions, results of operations and cash flows of the Borrower and its Subsidiaries in accordance with
GAAP as at such date for such period, subject only to the absence of footnotes. 

Use following for fiscal quarter-end financial statements

        1.    Attached
hereto as Schedule 1 are the unaudited financial statements required by Section 6.01(b) for the
fiscal quarter of                          ended as of the above date and attached hereto as Schedule 1a are the
unaudited financial statements for the fiscal quarter of
             ended as of the above date adjusted to exclude the assets and operations of Unrestricted Subsidiaries. Such financial statements fairly present the
financial condition, results of operations and cash flows of the Borrower and its Subsidiaries in accordance with GAAP as at such date and for such period, subject only to normal year-end
audit adjustments and the absence of footnotes. 

        2.    The
undersigned has reviewed and is familiar with the terms of the Agreement and has made, or has caused to be made under his/her supervision, a reasonable review of the
transactions and condition (financial or otherwise) of the Borrower and its Subsidiaries and Unrestricted Subsidiaries during the accounting period covered by the attached financial statements. 

        3.    A
review of the activities of the Borrower and its Subsidiaries and Unrestricted Subsidiaries during such fiscal period has been made under the supervision of the
undersigned with a view to determining whether during such fiscal period the Borrower and each of its Subsidiaries and Unrestricted Subsidiaries performed and observed all its Obligations under the
Loan Documents, and 

select one:

        to
the best knowledge of the undersigned during such fiscal period, the Borrower and each of its Subsidiaries performed and observed each covenant and condition of the Loan Documents
applicable to it. 

—or—

C-1

 

        to
the best knowledge of the undersigned the following covenants or conditions have not been performed or observed and the following is a list of each such Default or Event of Default
and its nature and status: 

        4.    The
financial covenant analyses, and information set forth on Schedule 2 attached hereto are true and accurate on
and as of the date of this Certificate. 

        IN WITNESS WHEREOF, the undersigned has executed this Certificate as of
                        ,
                . 

	 	 	BORROWER
	

 	
 	

 	
 	

 
	 	 	By:	 	    

	 	 	Name:	 	    

	 	 	Title:	 	    

C-2

 
For
the Quarter/Year ended                          ("Statement Date") 

SCHEDULE 2
  to the Compliance Certificate

($ in 000's) 

Section 7.13—Leverage Ratio.  

	A.	 	Pro Forma EBITDA for Subject Period

(calculate by adding lines 1 through 7 below)	 	$	 
	

 	
 	

1.	
 	

Consolidated Net Income	
 	
$	

 
	

 	
 	

 	
 	

    Indicate Consolidated Net Income of Excluded

    Subsidiaries (to be excluded from line 1)	
 	
$	

 
	

 	
 	

2.	
 	

Interest expense	
 	
$	

 
	

 	
 	

 	
 	

    Indicate interest expense of Excluded Subsidiaries

    (to be excluded from line 2)	
 	
$	

 
	

 	
 	

3.	
 	

Income taxes	
 	
$	

 
	

 	
 	

 	
 	

    Indicate income taxes of Excluded Subsidiaries

    (to be excluded from line 3)	
 	
$	

 
	

 	
 	

4.	
 	

Depreciation	
 	
$	

 
	

 	
 	

 	
 	

    Indicated depreciation of Excluded Subsidiaries

    (to be excluded from line 4)	
 	
$	

 
	

 	
 	

5.	
 	

Amortization	
 	
$	

 
	

 	
 	

 	
 	

    Indicated amortization of Excluded Subsidiaries

    (to be excluded from line 5)	
 	
$	

 
	

 	
 	

6.	
 	

Total AFUDC (not to exceed 5% of Consolidated EBITDA)	
 	
$	

 
	

 	
 	

7.	
 	

Pro forma adjustment for acquisitions during Subject Period	
 	
$	

 
	

 	
 	

 	
 	

    Identify acquisition and indicate Incremental

    EBITDA	
$	

 	
 	
 	

 
	

 	
 	

 	
 	

    Identify acquisition and indicate Incremental

    EBITDA	
$	

 	
 	
 	

 
	

B.	
 	

Consolidated Funded Debt at Statement Date:	
 	
$	

 
	

C.	
 	

Leverage Ratio (Line A ÷ Line B):	
 	
 	

        to 1.00

Maximum permitted:  

	Fiscal Quarters Ending
 
	 	Maximum Leverage Ratio

	Closing Date through June 30, 2003	 	5.00:1.00
	Thereafter	 	4.75:1.00

C-3

 

Section 7.14—Interest Coverage Ratio.  

	A.	 	Pro Forma EBITDA for Subject Period (line A under the heading "Section 7.13—Leverage Ratio"):	 	$	 
	

B.	
 	

Consolidated Interest Charges for Subject Period:	
 	
 	

 
	

 	
 	

1.	
 	

Consolidated Interest Charges prior to pro forma adjustments:	
 	
$	

 
	

 	
 	

Interest expense on Consolidated Funded Debt:	
 	
$	

 	
 	
 	

 
	

 	
 	

Interest expense on Qualifying Subordinated Indebtedness paid in cash:	
 	
$	

 	
 	
 	

 
	

 	
 	

2.	
 	

Pro forma adjustments (See table below):	
 	
$	

 
	

 	
 	

3.	
 	

Consolidated Interest Charges after pro forma adjustments

(line B.1 adjusted by line B.2):	
 	
$	

 
	

 	
 	

Interest expense on Consolidated Funded Debt:	
 	
$	

 	
 	
 	

 
	

 	
 	

Interest expense on Qualifying Subordinated Indebtedness paid in cash:	
 	
$	

 	
 	
 	

 
	

C.	
 	

Interest Coverage Ratio (Line A ÷ Line B.3):	
 	
 	

        to 1.00

Minimum permitted:        2.75 to 1:00 

        Description
of pro forma adjustments to Consolidated Interest Charges: 

	 
	 	Principal Amount
	 	Annual Interest

Rate
	 	Pro Forma

Adjustment

	Indebtedness assumed with acquisition	 	$	 	 	            	%	$	 
	

Additional Indebtedness associated with acquisition	
 	
$	

 	
 	

            	
%	
$	

 
	

Total pro forma adjustments (Insert in B2 above)	
 	
 	

 	
 	

 	
 	
$	

 

C-4

 
        Quarter-end
date:             

Section 7.03 (Indebtedness of Subsidiaries)  

	A.	 	Indebtedness of Non-OLP Subsidiaries	 	 	 
	

 	
 	

1.	
 	

For each incurrence of Indebtedness pursuant to Section 7.03(b)(ii) during the subject quarter, provide the following information:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

Date of incurrence,	
 	
 	

 
	

 	
 	

 	
 	

(b)	
 	

Principal amount of Indebtedness assumed, and	
 	
 	

 
	

 	
 	

 	
 	

(c)	
 	

Specify to whom the Indebtedness is owed.	
 	
 	

 
	

 	
 	

2.	
 	

For each incurrence of Indebtedness pursuant to Section 7.03(b)(iii) or (iv) during the subject quarter, please provide the following
information:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

Date of incurrence,	
 	
 	

 
	

 	
 	

 	
 	

(b)	
 	

Principal amount of Indebtedness incurred,	
 	
 	

 
	

 	
 	

 	
 	

(c)	
 	

Specify to whom the indebtedness is owed.	
 	
 	

 
	

 	
 	

3.	
 	

Calculate aggregate amount of Indebtedness outstanding as of the Statement Date for the Non-OLP Subsidiaries:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

Total amount of Indebtedness outstanding for the Non-OLP Subsidiaries other than Indebtedness attributable to Excess Swap Termination Value:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Ratable Share of Excess Swap Termination Value (line C.3(c)):	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Total (Line A.3(a) plus Line A.3(b)):	
 	
$	

 
	

 	
 	

4. Demonstrate compliance with Section 7.15:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

Non-OLP Pro Forma EBITDA:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Calculate Non-OLP Indebtedness Limitation

(.5 times Non-OLP Pro Forma EBITDA (line A.4(a)):	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Is the aggregate amount of Indebtedness outstanding for the Non-OLP Subsidiaries (line A.3(c)) greater than the Non-OLP Indebtedness Limitation (line A.4(b))?	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

        Yes    o	
 	

 	
 	
 	

 
	 	 	 	 	 	 	        No     o	 	 	 	 	 
	

 	
 	

 	
 	

(d)	
 	

If yes, please answer the following:	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

(i) State the amount of excess Indebtedness:	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

(ii) How much of the excess Indebtedness is attributable to Excess Swap Termination Value?	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	
 	

 

C-5

 

	

 	
 	

 	
 	

 	
 	

(iii) Specify in reasonable detail method and timing of cure of such excess Indebtedness pursuant to Section 7.15:	
 	
 	

 
	

B.	
 	
Indebtedness of the Operating Partnership and the Operating Partnership Subsidiaries	
 	
 	

 
	

 	
 	

1.	
 	

For each incurrence of Indebtedness pursuant to Section 7.03(c)(ii) or (iii) during the subject quarter, provide the following
information:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

Date of incurrence,	
 	
 	

 
	

 	
 	

 	
 	

(b)	
 	

Principal amount of Indebtedness incurred, and	
 	
 	

 
	

 	
 	

 	
 	

(c)	
 	

Specify to whom the Indebtedness is owed.	
 	
 	

 
	

 	
 	

2.	
 	

Calculate aggregate amount of Indebtedness outstanding for the Operating Partnership and the Operating Partnership Subsidiaries:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

Total amount of Indebtedness outstanding for the Operating Partnership and the Operating Partnership Subsidiaries other than Indebtedness attributable to Excess Swap Termination Value:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Excess Swap Termination Value (line C.3(b)):	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Total (line B.2(a) plus Line B.2(b)):	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

 	
 	
TOTAL:	
 	
$	

 
	

 	
 	

3. Demonstrate compliance with Section 7.16:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

State the outstanding consolidated capitalization of the Operating Partnership and the Operating Partnership Subsidiaries:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

Calculate the OLP Indebtedness Limitation (.60 times the outstanding consolidated capitalization of the Operating Partnership and the Operating Partnership Subsidiaries (line B.3(a)):	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

Is the aggregate amount of Indebtedness outstanding for the Operating Partnership and the Operating Partnership Subsidiaries (line B.2(c)) greater than the OLP Indebtedness Limitation (line B.3(b))?
	

 	
 	

 	
 	

 	
 	

        Yes    o	
 	

 	
 	
 	

 
	 	 	 	 	 	 	        No     o	 	 	 	 	 
	

 	
 	

 	
 	

(d)	
 	

If yes, please answer the following:	
 	
 	

 
	

 	
 	

 	
 	

 	
 	

(i) State the amount of excess Indebtedness:	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

(ii) How much of the excess Indebtedness is attributable to Excess Swap Termination Value?	
 	
$	

 
	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	
 	

 

C-6

 

	

 	
 	

 	
 	

 	
 	

(iii) Specify in reasonable detail the method and timing of cure of such excess Indebtedness pursuant to Section 7.16:	
 	
 	

 
	

C.	
 	
Excess Swap Termination Value
	

 	
 	

1.	
 	

State net amount of all mark-to-market obligations of all Swap Contracts to which a Subsidiary of the Borrower is obligated as a counterparty or a guarantor:	
 	
$	

 
	

 	
 	

 	
 	

(A negative number indicates a net aggregate amount owed by Subsidiaries; a positive number indicates a net aggregate amount owed to Subsidiaries)
	
 	
 	

 
	

 	
 	

2.	
 	

Is line C.1 less than negative $150,000,000?	
 	
 	

 
	 	 	 	 	 	 	Yes    o	 	 	 	 	 
	 	 	 	 	 	 	No     o	 	 	 	 	 
	

 	
 	

3.	
 	

If yes, calculate the Ratable Share of the amount less than negative $150,000,000:	
 	
 	

 
	

 	
 	

 	
 	

(a)	
 	

State aggregate Swap Termination Value of all Swap Obligations and Guarantee Obligations of Swap Obligations of the Non-OLP Subsidiaries:	
 	
$	

 
	

 	
 	

 	
 	

(b)	
 	

State aggregate Swap Termination Value of all Swap Obligations and Guarantee Obligations of Swap Obligations of the Operating Partnership and the Operating Partnership Subsidiaries:	
 	
$	

 
	

 	
 	

 	
 	

(c)	
 	

The Ratable Share of Excess Termination Value of the Non-OLP Subsidiaries ((line C.3(a) divided by line C.1) times the amount less than negative
$150,000,000):	
 	
$	

 
	

 	
 	

 	
 	

(d)	
 	

The Ratable Share of Excess Termination Value of the Operating Partnership and Operating Partnership Subsidiaries ((line C.3(b) divided by line C.1) times
the amount less than negative $150,000,000):	
 	
$	

 

C-7

  

EXHIBIT D  

 
 

FORM OF ASSIGNMENT AND ACCEPTANCE AGREEMENT    
  

        This Assignment and Acceptance Agreement (this "Assignment") is dated as of the Effective Date set forth below and
is entered into by and between [Insert name of Assignor] (the "Assignor") and
[Insert name of Assignee] (the "Assignee"). Capitalized terms used but not
defined herein shall have the meanings given to them in the Amended and Restated 364-Day Credit Agreement identified below (the "364-Day Credit
Agreement"), receipt of a copy of which is hereby acknowledged by the Assignee. The Standard Terms and Conditions set forth in Annex 1 attached hereto are hereby agreed to and
incorporated herein by reference and made a part of this Assignment as if set forth herein in full. 

        For
an agreed consideration, the Assignor hereby irrevocably sells and assigns to the Assignee, and the Assignee hereby irrevocably purchases and assumes from the Assignor, subject to
and in accordance with the Standard Terms and Conditions and the 364-Day Credit Agreement, as of the Effective Date inserted by the Administrative Agent as contemplated below, the interest
in and to all of the Assignor's rights and obligations under the 364-Day Credit Agreement and any other documents or instruments delivered pursuant thereto that represents the amount and
percentage interest identified below of all of the Assignor's outstanding rights and obligations under the respective facilities identified below (including, to the extent included in any such
facilities, Letters of Credit) (the "Assigned Interest"). Such sale and assignment is without recourse to the Assignor and, except as expressly provided
in this Assignment, without representation or warranty by the Assignor. 

	1.
	Assignor:
                                         
       

	2.
	Assignee:
                                         
        [and is an Affiliate/Approved Fund(1)]

	3.
	Borrower:
Enbridge Energy Partners, L.P.

	4.
	Administrative
Agent: Bank of America, N.A., as the administrative agent under the 364-Day Credit Agreement

	5.
	364-Day
Credit Agreement: The Amended and Restated 364-Day Credit Agreement, dated as of January 24, 2003, among the Lenders parties thereto and Bank of
America, N.A., as Administrative Agent 

	(1)
	Select
as applicable. 

D-1

 
	6.
	Assigned
Interest: 

	Aggregate

Amount of

Commitment/Loans

for all Lenders
	 	Amount of

Commitment/Loans

Assigned
	 	Percentage

Assigned of

Commitment/Loans(2)
	 
	$	            	 	$	            	 	      	%
	$	            	 	$	            	 	      	%
	$	            	 	$	            	 	      	%

Effective
Date:                         , 20     [TO BE INSERTED BY ADMINISTRATIVE AGENT AND WHICH SHALL
BE THE EFFECTIVE DATE OF
RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.] 

        The
terms set forth in this Assignment are hereby agreed to: 

	 	 	ASSIGNOR
	

 	
 	

[NAME OF ASSIGNOR]
	 	 	By:	 
	 	 	 	
        Title:
	

 	
 	
ASSIGNEE
	

 	
 	

[NAME OF ASSIGNEE]
	

 	
 	

By:	

 
	

 	
 	

 	

        Title:

[Consented to and](3) Accepted: 

BANK
OF AMERICA, N.A., as

    Administrative Agent 

	By:	 	 	 
	 	
 Title:	 	 
	

[Consented to:](4)	
 	

 
	

By:	

 	
 	

 
	

 	

 Title:

	
 	

 

	(2)
	Set
forth, to at least 9 decimals, as a percentage of the Commitment/Loans of all Lenders thereunder.

	(3)
	To
be added only if the consent of the Administrative Agent is required by the terms of the Credit Agreement.

	(4)
	To
be added only if the consent of the Borrower and/or other parties (e.g., L/C Issuer) is requird by the terms of the Credit
Agreement. 

D-2

 
 
 

ANNEX 1 TO ASSIGNMENT AND ACCEPTANCE AGREEMENT    
  
  
    
[                        ](5)    
  
  
    STANDARD TERMS AND CONDITIONS FOR ASSIGNMENT
  AND ACCEPTANCE
AGREEMENT    

        1.    Representations and Warranties.    

        1.1.    Assignor.    The Assignor (a) represents and warrants that (i) it is the legal and beneficial
owner of the Assigned Interest, (ii) the Assigned Interest is free and clear of any lien, encumbrance or other adverse claim and (iii) it has full power and authority, and has taken all
action necessary, to execute and deliver this Assignment and to consummate the transactions contemplated hereby; and (b) assumes no responsibility with respect to (i) any statements,
warranties or representations made in or in connection with any Credit Document, (ii) the execution, legality, validity, enforceability, genuineness, sufficiency or value of the
364-Day Credit Agreement or any other instrument or document delivered pursuant thereto, other than this Assignment (herein collectively the "Credit
Documents"), or any collateral thereunder, (iii) the financial condition of the Borrower, any of its Subsidiaries or, as applicable, Unrestricted Subsidiaries or
Affiliates or any other Person obligated in respect of any Credit Document or (iv) the performance or observance by the Borrower, any of its Subsidiaries or, as applicable, Unrestricted
Subsidiaries or Affiliates or any other Person of any of their respective obligations under any Credit Document. 

        1.2.    Assignee.    The Assignee (a) represents and warrants that (i) it has full power and authority,
and has taken all action necessary, to execute and deliver this Assignment and to consummate the transactions contemplated hereby and to become a Lender under the 364-Day Credit Agreement,
(ii) it meets all requirements of an Eligible Assignee under the 364-Day Credit Agreement, (iii) from and after the Effective Date, it shall be bound by the provisions of the
364-Day Credit Agreement and, to the extent of the Assigned Interest, shall have the obligations of a Lender thereunder, (iv) it has received a copy of the 364-Day
Credit Agreement, together with copies of the most recent financial statements delivered pursuant to Section 6.01 thereof, as applicable, and
such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Assignment and to purchase the Assigned Interest on the basis of which
it has made such analysis and decision, and (v) if it is a Foreign Lender, attached hereto is any documentation required to be delivered by it pursuant to the terms of the 364-Day
Credit Agreement, duly completed and executed by the Assignee; and (b) agrees that (i) it will, independently and without reliance on the Administrative Agent, the Assignor or any other
Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Credit Documents, and
(ii) it will perform in accordance with their terms all of the obligations which by the terms of the Credit Documents are required to be performed by it as a Lender. 

        1.3    Assignee's Address for Notices, etc.    Attached hereto as Schedule 1 is all contact information,
address, account and other administrative information relating to the Assignee. 

	(5)
	Describe
Credit Agreement at option of Administrative Agent. 

D-3

 

        2.    Payments.    From and after the Effective Date, the Administrative Agent shall make all payments in respect of
the Assigned interest (including payments of principal, interest, fees and other amounts) to the Assignee whether such amounts have accrued prior to or on or after the Effective Date. The Assignor and
the Assignee shall make all appropriate adjustments in payments by the Administrative Agent for periods prior to the Effective Date or with respect to the making of this assignment directly between
themselves. 

        3.    General Provisions.    This Assignment shall be binding upon, and inure to the benefit of, the parties hereto
and their respective successors and assigns. This Assignment may be executed in any number of counterparts, which together shall constitute one instrument. Delivery of an executed counterpart of a
signature page of this Assignment by telecopy shall be effective as delivery of a manually executed counterpart of this Assignment. This Assignment shall be governed by, and construed in accordance
with, the law of the State of New York. 

D-4

 
 
 

SCHEDULE 1 TO ASSIGNMENT AND ACCEPTANCE AGREEMENT    
  
  
    ADMINISTRATIVE DETAILS    
  

(Assignee to list names of credit contacts, addresses, phone and facsimile numbers, electronic mail addresses and account and payment information)

D-5

  

[Letterhead of Borrower's Counsel] 

EXHIBIT E  

 
  FORM OF OPINION OF COUNSEL    
  

January 24,
2003 

Each
of the Lenders under the

    Credit Agreement, including those

    Lenders listed in Schedule A hereto 

Bank
of America, N.A.,

    as Administrative Agent for such Lenders 

Ladies
and Gentlemen: 

        We
have acted as counsel for Enbridge Energy Partners, L.P., a Delaware limited partnership (the "MLP"), in connection with its execution
and delivery today of (i) the Amended and Restated 364-Day Credit Agreement dated as of January 24, 2003 (the "Credit
Agreement"), by and among the MLP, the lenders from time to time parties thereto (the "Lenders"), and Bank of America, N.A., as
administrative agent (in such capacity, the "Administrative Agent") and (ii) the promissory notes of even date herewith delivered pursuant to the
Credit Agreement (the "Notes"). Capitalized terms used and not defined herein have the meanings assigned in the Credit Agreement. The opinions expressed
herein are being furnished to you pursuant to Section 4.01(a)(vii) of the Credit Agreement. 

        In
rendering the opinions expressed herein, we have (i) examined the Credit Agreement and the Notes (collectively, the "Financing
Documents"), partnership records of the MLP, certificates of representatives of the MLP, certificates and other communications of public officials and such other instruments,
agreements and documents as are in our judgment necessary to enable us to render the opinions expressed herein, and (ii) as to questions of fact material to the opinions expressed herein, and
as to factual matters arising in connection with our examination of the aforesaid materials, relied, to the extent we deemed appropriate, upon the factual representations and warranties contained in
the Financing Documents, upon such certificates, communications, instruments, agreements and documents and certain facts stated elsewhere herein. 

        In
making such examination and in such reliance, we have assumed the authenticity and completeness of all records, certificates, instruments, agreements and other documents submitted to
us as originals, the conformity to authentic originals, records, certificates, instruments, agreements and other documents of all copies submitted to us as copies, and the authenticity of the
originals of such latter records, certificates, instruments, agreements and other documents. In addition, we have assumed the legal capacity of each natural person identified in, or indicated as
having executed, any of those records, certificates, instruments, agreements and other documents and the genuineness of all signatures on all such records, certificates, instruments, agreements and
other documents. 

        In
rendering the opinions expressed herein, we also have assumed the following: 

        (i)    each
Person a party to any Financing Document other than the MLP (each such Person other than the MLP, an "Other Party")
(a) has been duly organized or formed (as applicable), (b) is validly existing and in good standing under the laws of its jurisdiction of incorporation or formation, as applicable, and
(c) has the corporate or equivalent power and authority to execute and deliver, and to perform its obligations under, each of the Financing Documents in which such Person is identified as a
party; 

E-1

 

        (ii)  the
execution and delivery of each of the Financing Documents by each Other Party, and the performance of its obligations thereunder, have been duly authorized by all
necessary corporate or equivalent action on the part of such Person; 

        (iii)  each
Other Party has duly executed and delivered each of the Financing Documents in which such Person is identified as a party; 

        (iv)  each
Person a party to any Financing Document has (a) satisfied each legal requirement that is applicable to such Person to the extent necessary to make such
Financing Document enforceable against such Person and (b) complied with any other legal requirements pertaining to the status of such Person as such status relates to the rights of such Person
to perform or enforce (as applicable) such Financing Document against each other Person that is a party to such Financing Document; 

        (v)  no
order, consent, approval, license, authorization, waiver or validation of, or filing, recording or registration with, or notice to, or exemption by, any court,
governmental body or authority, or any subdivision thereof, is required to authorize or is required in connection with, the execution and delivery by any Person identified in any Financing Document as
a party thereto, or in connection with the performance of its obligations thereunder or the consummation of the transactions contemplated thereby, other than those that have been obtained or made and
are in full force and effect (provided, that we make no such assumption with respect to consents, approvals and the like applicable to the MLP to the
extent that we express our opinion rendered in paragraph 6 below); 

        (vi)  each
of the Financing Documents is the legal, valid and binding obligation of each Other Party thereto, enforceable against such Other Party in accordance with its
terms; and 

        (vii) Administrative
Agent has been and is the duly appointed agent of each of Lenders (the AdministrativeAgent and Lenders, collectively, the
"Financing Parties"). 

        Based
upon the foregoing and in the reliance thereon, and subject to and qualified by the assumptions, qualifications, limitations and exceptions set forth herein, and having due regard
for such legal considerations as we deem relevant, we are of the opinion that: 

        1.    The
MLP is a limited partnership validly existing in good standing under the Delaware Revised Uniform Limited Partnership Act (6  Del.C §§ 17-101, et seq.) (the "LP
Act"). The MLP is authorized to transact business in the State of Texas. 

        2.    The
execution and delivery by the MLP of each Financing Document to which it is a party, and the performance by the MLP of its obligations thereunder, are within its
limited partnership power and authority and have been duly authorized by all necessary limited partnership action. 

        3.    Each
Financing Document to which the MLP is a party has been duly executed and delivered by it. 

        4.    Under
the internal laws of the State of New York, each of the Financing Documents to which the MLP is a party is a valid and binding obligation of the MLP, enforceable
against the MLP in accordance with its terms. 

        5.    Neither
the execution and delivery by the MLP of any Financing Document to which it is a party, nor the performance of its obligations thereunder, will (i) result
in a violation by it of (a) any statutory law or regulation applicable to the MLP, or (b) the certificate of limited partnership or agreement of limited partnership of the MLP or
(ii) result in a breach of, or constitute a default under, the terms of any agreement or instrument binding on the MLP which is filed as an exhibit to the MLP's Annual Report on
Form 10-K for the year ended December 31, 

E-2

 

2001 or to the MLP's Forms 10-Q for the respective quarters ending March 30, 2002, June 30, 2002 and September 30, 2002. 

        6.    No
consent, approval, authorization or waiver of, or notice to or filing with, or other action by, any governmental authority is required to be obtained or made by the
MLP by any material statutory law or regulation applicable to the MLP as a condition to the execution and delivery by the MLP of any Financing Document to which it is expressed to be a party, or the
performance by the MLP of its obligations under any Financing Document to which it is a party. 

        7.    The
MLP is not (i) an "investment company" or a company "controlled" by an "investment company," as such terms are defined in the Investment Company Act of 1940,
as amended, or (ii), other than with respect to Enbridge Inc., a "holding company", or a "subsidiary company" of a "holding company", or an "affiliate" of a "holding company" or of a
"subsidiary" of a "holding company", as such terms are defined in the Public Utility Holding Company Act of 1935, as amended. 

        8.    Assuming
the Borrower complies with the provisions of the Credit Agreement relating to the use of proceeds thereunder (whether or not therein stated as a covenant), the
use by it of proceeds from the Loans will not result in a violation of Regulation U of the Board of Governors of the Federal Reserve System. 

        The
foregoing opinions expressed herein are further subject to, and qualified by, the following assumptions, exceptions, qualifications and limitations: 

        A.    The
opinions expressed herein are limited exclusively to the laws of the State of New York, the LP Act and the federal statutory laws and regulations of the United States
of America. In respect to such laws, in addition to other limitations set forth herein, such reference is limited to laws that are normally applicable to the transactions provided for in the Financing
Documents, and, in any event and without limitation, does not include statutes, laws, rules or regulations relating to (i) the operation of any asset or property, (ii) utility
regulation, (iii) antitrust, (iv) taxation or (v) securities law, or the construction or
interpretations of any of the foregoing, or authorizations, permits, consents and the like with respect thereto. Reference herein to the "internal laws" of a jurisdiction is to the laws of that
jurisdiction, other than (x) that jurisdiction's choice-of-law statutes and rules, (y) the statutes and ordinances, the administrative decisions, and the rules
and regulations of counties, towns, municipalities and political subdivisions (whether created or enabled through legislative action at the federal, state, regional or local level), and
(z) judicial decisions to the extent they deal with any of the foregoing. 

        B.    The
opinions expressed in paragraph 4 hereof are further subject to the following: 

        (i)    The
enforceability of the Financing Documents, and to the extent applicable, the Liens created thereby, may be limited or affected by (a) bankruptcy, insolvency,
reorganization, moratorium, liquidation, rearrangement, conservatorship, receivership, fraudulent conveyance or transfer or similar laws (including court decisions) relating to or affecting the rights
and remedies of creditors generally or providing for the relief of debtors, (b) general principles of equity, including, without limitation, requirements of good faith, fairness and
reasonableness, and the possible unavailability of specific performance or injunctive relief (regardless of whether enforceability is considered in a proceeding in equity or at law), (c) the
refusal of a particular court to grant (1) equitable remedies, including, without limitation, specific performance and injunctive relief, or (2) a particular remedy sought by Lender
under any Financing Document as opposed to another remedy provided for therein or another remedy available at law or in equity and (d) judicial discretion. 

E-3

 

        (ii)  In
rendering the opinions expressed in paragraph 4 (such opinions expressed in such paragraphs, the "Remedies
Opinions"), we express no opinion as to the validity or enforceability of any provision of any Credit Document that: 

        (1)  purports
to (i) establish evidentiary standards or characterizations, treatments or effects of payments or rights, in each case made or existing under, or in
connection with, any Financing Document, (ii) waive or otherwise affect any right, warranty or defense that cannot be waived or otherwise affected as a matter of law, (iii) negate the
effect of any course of dealing or any exercise, or failure or delay to exercise, any right, power, privilege or remedy, (iv) relate to indemnities, exculpation or contribution to the extent
prohibited by public policy or require indemnification or contribution (as applicable) for liability on account of fraud, negligence, gross negligence, willful misconduct, breach of the performance of
an agreed undertaking, violation of law or illegal conduct (or the public policy underlying such action or conduct) of any Person seeking or asserting the benefit of such indemnity, exculpation of
contribution provision, (v) limit liability of any Person to claims for gross negligence or willful misconduct, (vi) grant to any Person the right to offset special deposits against
obligations owed under the Financing Documents, (vii) authorize conclusive determinations by any party or to permit a party to make determinations in its sole discretion, or
(viii) restrict access to legal or equitable remedies; 

        (2)  states
that (i) prohibition, illegality, invalidity or unenforceability of any provision of such Financing Document in any jurisdiction shall not
(a) invalidate the remaining provisions of such Financing Document or (b) affect that provision in any other jurisdiction, or (ii) the right of any Person to exercise any right or
remedy on the basis of any misrepresentation or breach of warranty is not affected by any action by Lender; 

        (3)  constitutes
a submission to or acceptance of the jurisdiction of, or permits an action against any Person to be brought, or waives any objection to the laying of venue
or choice of forum in such an action, in, the courts of any jurisdiction, other than the courts of the State of New York or the federal courts of the United States of America sitting in the State of
New York; 

        (4)  permits
an action against any Person to be brought in the courts of the State of New York (i) if such Person has not been served with process in that action in
accordance with applicable rules of procedure or (ii) if the court in which the action is brought does not have jurisdiction of the subject matter of the action; 

        (5)  permits
an action against any Person to be brought in the federal courts of the United States of America sitting in the State of New York (i) if such Person has
not been served with process in accordance with applicable rules of procedure or (ii) if those courts do not have jurisdiction in the subject matter of the action; 

        (6)  requires
the reimbursement to any Person whose breach of a recognizable standard of performance or care in acting or failing timely or otherwise properly to act
substantially contributed to the basis for which such reimbursement is sought; or 

        (7)  provides
for the enforcement in any jurisdiction of a judgment of the courts of another jurisdiction. 

        (iii)  We
have assumed that each Financing Party will act reasonably and in good faith in performing its duties, and in exercising its rights and remedies, under the
Financing Documents. In this regard, we note that the enforceability of specific provisions of the Financing Documents may be subject to standards of reasonableness, care and diligence and "good
faith" limitations and obligations such as those provided in Sections 1-102(3), 1-203, 

E-4

 

1-208 and 5-109 of the Uniform Commercial Code as in effect in the State of New York and similar applicable principles of common law and judicial precedent. Further, we have
also assumed that each Financing Party will enforce the respective Financing Documents in compliance with the provisions thereof and all requirements of applicable law. 

        (iv)  Further,
we additionally note that the maximum lawful amount or rate of interest which any national bank, a federal savings bank or any foreign bank or branch of a
foreign bank which is subject to the jurisdiction of the federal banking laws of the United States of America, may take, receive, reserve, contract for or charge is governed by federal statutory law.
Further, Lenders that are entities other than such financial institutions may, in accordance with laws governing their respective operation and business, be subject to statutory limits provided by the
laws other than the laws of the State of New York. In rendering the Remedies Opinions, we express no opinion as to whether the interest provided for in any Financing Document is in excess of any such
maximum lawful amount or rate or as to the effect of the provisions for interest in any Loan Document on the enforceability of the Financing Documents with respect to any Financing Party constituting
a national bank or such foreign bank or branch thereof which is located in any jurisdiction other than the State of New York. 

        C.    We
do not express any opinion with respect to any exhibit to, or other agreement referred to in, any of the Financing Documents. 

        D.    In
rendering the foregoing opinions, we have not, pursuant to our engagement, endeavored to express any opinions, and we express no opinions, and none are intended to be
implied hereby nor shall be inferred herefrom, as to (i) the various state and federal laws, statutes, regulations, interpretations, opinions, directives, orders, rulings, authorities or
similar matters regulating or governing any Financing Party (collectively, the "Rules") and/or its entry into, execution, delivery or performance of the
Financing Documents, or the transactions provided for therein, or the conduct of its business related thereto, or (ii) any Financing Party's compliance with any of the Rules in connection with
any Financing Document, or the transactions provided for therein. 

        E.    In
rendering the opinions expressed in paragraph 1 above relating to the MLP's existence and good standing in Delaware and authorization to transact business in
Texas, we have relied solely upon a review of certificates of public officials, without further investigation as to matters set forth therein, as follows: (i) Certificate of State of Delaware,
Office of Secretary of State dated January    , 2003 (Delaware existence and good standing); and (ii) Certificate of State of Texas, Secretary of State dated January    ,
2003 (Texas authorization to transact business). 

        The
opinions expressed herein are solely for the benefit of, and may only be relied upon by each Financing Party, and its permitted successors and assigns, in connection with the
Financing Documents; provided however, any reliance on such opinions by a Person who becomes a party to the Financing Documents after the date of this
opinion letter shall be as to the opinions expressed herein as of the date of this opinion letter and shall not constitute a reissuance of such opinions as of the date of any such subsequent reliance
or other subsequent date. Neither this opinion letter nor any excerpt hereof (nor any reproduction of any of the foregoing) may be furnished to (except in connection with a legal or arbitral
proceeding or as may be required by applicable law, and in any such events, as shall be directed and required incident thereto pursuant to a duly issued subpoena, writ, order or other legal process),
or relied upon by, any other Person without the prior written consent of this Firm. The opinions expressed herein are as of the date hereof (and not as of any other date, including, without
limitation, the effective date of any Financing Document if a date other than the date hereof) or, to the extent of the references to certificates of public officials made in paragraph E
hereof, to the respective dates of the certificates referred to in such paragraphs, and we make no undertaking to
amend or supplement such opinions as facts and circumstances come to our attention or changes in the law occur which could affect such opinions. 

	 	 	Very truly yours,
	 	 	 
	 	 	 
	 	 	Fulbright & Jaworski L.L.P.

E-5

 
 
 

Schedule A    
  

 
  To Opinion of Fulbright & Jaworski L.L.P.    
    
    Dated January 24, 2003    
    
    List of Lenders    
  

Bank
of America, N.A.

Bank of Montreal

Toronto Dominion (Texas), Inc.

Wachovia Bank, National Association

CIBC Inc.

Citibank, N.A.

Royal Bank of Canada

ABN AMRO Bank N.V., Cayman Islands Branch

SunTrust Bank 

E-6

  

EXHIBIT F  

 
  FORM OF SUBORDINATION AGREEMENT    
  

        THIS AGREEMENT made as of the              day of
                        ,
             by                         , a
                         (the "Subordinated
Creditor"), in favor of the Administrative Agent, the L/C Issuer and the Lenders (collectively, the "Senior Lenders"). 

        WHEREAS
Enbridge Energy Partners, L.P., a Delaware limited partnership (the "Obligor"), is or may become indebted to the Senior Lenders
under or in connection with the 364-Day Credit Agreement (defined below); 

        AND
WHEREAS the Subordinated Creditor is or may become a lender to the Obligor; 

        AND
WHEREAS the Subordinated Creditor has agreed to postpone and subordinate the Indebtedness of the Obligor owed to the Subordinated Creditor and listed on Annex
A attached hereto, and all interest, fees and other amounts owing in connection therewith (the "Obligor Debt"), on the terms and
provisions herein set forth. 

        NOW
THEREFORE, in consideration of the sum of $1.00 now paid by the Senior Lenders and other good and valuable consideration (the receipt and sufficiency of which are hereby acknowledged
by the Subordinated Creditor), the Subordinated Creditor hereby agrees as follows: 

 
 

ARTICLE 1
  INTERPRETATION    
  

 
 
        1.1    Definitions     

        In
this Agreement, including the recitals, capitalized terms used herein, and not otherwise defined herein, shall have the meanings attributed to such terms in the Amended and Restated
364-Day Credit Agreement dated as of January 24, 2003 among Enbridge Energy Partners, L.P., as Borrower, the Lenders from time to time party thereto, and Bank of America, N.A., as
Administrative Agent and L/C Issuer (as such agreement may be amended, modified, supplemented, restated or refinanced from time to time, the "364-Day Credit
Agreement"). In addition, the following terms shall have the following meanings: 

	(a)
	"Beneficiary" means, at each relevant time of determination, each of (i) the holders of Senior Indebtedness, and (ii) the
holders of other senior unsecured debt of the Obligor for the benefit of whom a subordination agreement in form and substance substantially the same as this Agreement has been executed and delivered
by the Subordinated Creditor and is in effect ("Other Senior Indebtedness")(12); and in each case that any such holders or group thereof are represented
by an agent, shall mean such agents for the benefit of such respective holders. 

	(12)
	Clause
(i) of the definition of "Beneficiary" in the subordination agreement delivered for the benefit of holders of Other Senior Indebtedness may read as follows: "(i) the holders
of Senior Indebtedness for the benefit of whom a subordination agreement has been executed and delivered by the Subordinated Creditor and is in effect,".

	(b)
	"Beneficiary Indebtedness" means, at each relevant time of determination, the aggregate outstanding amount of Senior Indebtedness and
Other Senior Indebtedness of the Obligor owed to any Beneficiary.

	(c)
	"Obligor Debt" has the meaning set forth in the third WHEREAS clause of this Agreement.

	(d)
	"Other Senior Indebtedness" has the meaning set forth in Section 1.1(a).

	(e)
	"Senior Indebtedness" means the aggregate of all Obligations owing from time to time by the Obligor to the Senior Lenders under the
364-Day Credit Agreement and the other Loan 

F-1

 

Documents,
whether present or future, direct or indirect, contingent or otherwise (including any interest accruing thereon after the date of filing any petition by or against the Obligor in
connection with any bankruptcy or other proceeding and any other interest that would have accrued thereon but for the commencement of such proceeding). 

	(f)
	"Subordinated Indebtedness" means the aggregate Obligor Debt owing from time to time by the Obligor to the Subordinated Creditor,
whether present or future, direct or indirect, contingent or otherwise. 

 
 
        1.2    Headings     

        The
division of this Agreement into articles, sections, paragraphs and other subdivisions and the insertion of headings are for convenience of reference only and shall not affect the
construction or interpretation hereof. 

 
 
        1.3    Interpretation     

        In
this Agreement: 

	(a)
	the
terms "this Agreement", "hereof", "herein", "hereunder" and similar expressions refer, unless otherwise specified, to this Subordination Agreement taken as a whole and not to any
particular article, section, subsection or paragraph;

	(b)
	words
importing the singular number or masculine gender shall include the plural number or the feminine or neuter genders, and vice
versa;

	(c)
	all
references to "Articles" and "Sections" refer, unless otherwise specified, to articles, sections, subsections or paragraphs of this Agreement, as the case may be;

	(d)
	words
and terms denoting inclusiveness (such as "include" or "includes" or "including"), whether or not so stated, are not limited by their context or by the words or phrases which
precede or succeed them; and

	(e)
	all
references to the Senior Lenders include the Administrative Agent, the L/C Issuer and each of the Lenders individually and any combination thereof. 

 
 
        1.4    Governing Law     

        This
Agreement shall be governed by and interpreted in accordance with the laws of the State of New York. The Subordinated Creditor irrevocably submits to the non-exclusive
jurisdiction of the courts of the State of New York and the United States Federal courts sitting in Southern District of the State of New York, without prejudice to the rights of the Senior Lenders to
take proceedings in any other jurisdiction. 

 
 
        1.5    Severability     

        If
any provision of this Agreement shall be invalid, illegal or unenforceable in any respect in any jurisdiction, it shall not affect the validity, legality or enforceability of such
provision in any other jurisdiction or the validity, legality or enforceability of any other provision of this Agreement. 

 
 
        1.6    Time of the Essence     

        Time
shall be of the essence of this Agreement. 

F-2

 

 
 

ARTICLE 2
  POSTPONEMENT AND SUBORDINATION OF PAYMENT    
  

 
 
        2.1    General Postponement and Subordination     

        Except
as specifically provided for in Article 3: 

	(a)
	the
Subordinated Indebtedness shall be and is hereby expressly postponed and made subordinate in right of payment to the prior payment in full in cash of the Senior Indebtedness and
termination of the Commitments under the 364-Day Credit Agreement; and

	(b)
	the
Subordinated Creditor shall not accept any repayment, prepayment or other satisfaction of all or any portion of the Subordinated Indebtedness (whether in cash, property or
securities) prior to the payment in full in cash of the Senior Indebtedness and termination of the Commitments under the 364-Day Credit Agreement. 

 
 
        2.2    Priority of Senior Indebtedness on Dissolution or Insolvency     

        In
the event of any dissolution, winding up, liquidation, readjustment, reorganization, bankruptcy, insolvency, receivership or other similar proceedings (a
"Proceeding") relating to the Obligor, or any of its property (whether voluntary or involuntary, partial or complete), or any other marshalling of the
assets and liabilities of the Obligor, the Beneficiary Indebtedness shall first be paid in full in cash before the Subordinated Creditor shall be entitled to receive or retain any payment or
distribution in respect of the Subordinated Indebtedness. In such event, in order to implement the foregoing, but subject always to the provisions of  Section 7.1(a): 

	(a)
	the
Subordinated Creditor shall promptly file a claim or claims, in the form required in such proceedings, for the full outstanding amount of the Subordinated Indebtedness, and
shall cause said claim or claims to be approved and all payments and other distributions in respect thereof to be made directly to the Beneficiaries, ratably according to the aggregate amounts
remaining unpaid on account of the Beneficiary Indebtedness held by each of them;

	(b)
	the
Subordinated Creditor hereby irrevocably agrees that the Beneficiaries may, at their sole discretion, in the name of the Subordinated Creditor or otherwise, demand, sue for,
collect, receive and receipt for any and all such payments or distributions, and any such receipts shall be distributed to the Beneficiaries according to the aggregate amounts remaining unpaid on
account of the respective Beneficiary Indebtedness held by them, and file, prove and vote or consent in any Proceeding with respect to any and all claims of the Subordinated Creditor relating to the
Subordinated Indebtedness;

	(c)
	In
any bankruptcy or other Proceeding in respect of the Obligor, the Subordinated Creditor shall not, unless otherwise agreed by the Beneficiaries, (i) file any motion,
application or other pleading seeking affirmative relief, including without limitation for the appointment of a trustee or examiner, for the conversion of the case to a liquidation proceeding, for the
substantive consolidation of the Obligor's bankruptcy case with the case of any other entity, for the creation of a separate official committee representing only the Subordinated Creditor or any other
form of affirmative relief of any other kind
or nature, or (ii) file any objection or other responsive pleading opposing any relief requested by any Beneficiary; and

	(d)
	The
Subordinated Creditor shall execute and deliver to the Beneficiaries or their representative such further proofs of claim, assignments of claim and other instruments confirming
the authorization referred to in the foregoing clause (b), and any powers of attorney confirming the rights of the Beneficiaries arising hereunder, and shall take such other actions as may be
requested by the Beneficiaries or their representative in order to enable the Beneficiaries or their representative to enforce any and all claims in respect of the Subordinated Indebtedness. 

F-3

 

 
 
        2.3    Payments Held in Trust     

        If,
notwithstanding the provisions of this Agreement, any payment or distribution of any character (whether in cash, securities, or other property) or any security shall be received by
the Subordinated Creditor in contravention of the terms of this Agreement, such payment, distribution or security shall not be commingled with any asset of the Subordinated Creditor, shall be held in
trust for the benefit of, and shall be paid over or delivered or transferred to, the Beneficiaries, or their representative, ratably according to the aggregate amounts remaining unpaid on account of
the Beneficiary Indebtedness held by each of them, for application to the payment of all Beneficiary Indebtedness then remaining unpaid, until all such Beneficiary Indebtedness shall have been paid in
full. 

 
 
        2.4    Payment in Full on Senior Indebtedness     

        For
purposes of this Agreement, the Senior Indebtedness shall not be deemed to have been paid in full until the Senior Lenders shall have received full payment of the Senior Indebtedness
in cash, all Letters of Credit shall have terminated and all Commitments of the Senior Lenders under the 364-Day Credit Agreement shall have irrevocably terminated. 

 
 
        2.5    Legend on Subordinated Debt Instruments     

        The
Subordinated Creditor shall, substantially simultaneously with the execution and delivery hereof, cause a conspicuous legend to be placed on each of the instruments evidencing
Subordinated Indebtedness to the following effect: 

        "This
instrument and the indebtedness evidenced hereby is subordinated, in the manner and to the extent set forth in an agreement dated
                        ,
             (as such agreement may from time to time be amended, restated, modified, or supplemented, the "Subordination
Agreement"), by the maker and payee of this instrument in favor of Bank of America, N.A. as Administrative Agent for the
"Lenders" referred to therein, to all Senior Indebtedness as defined therein), and each holder of this instrument, by its acceptance hereof, shall be
bound by the Subordination Agreement." 

        and
upon request by the Administrative Agent deliver a copy of each of the instruments evidencing Subordinated Debt, as so marked, to the Administrative Agent within 60 days
following such request. 

 
 
        2.6    Application of Payments     

        All
payments and distributions received by the Senior Lenders in respect of the Subordinated Indebtedness, to the extent received in or converted into cash, may be applied by the Senior
Lenders first to the payment of any and all expenses (including reasonable legal fees and expenses) paid or incurred by the Administrative Agent in enforcing this Agreement, or in endeavoring to
collect or realize upon any of the Subordinated Indebtedness or any collateral security therefor, and any balance thereof shall, solely as between the Subordinated Creditor and the Senior Lenders, be
applied by the Senior Lenders in such order of application as the Senior Lenders may from time to time select, toward the payment of the Senior Indebtedness remaining unpaid. 

 
 

ARTICLE 3
  PERMITTED PAYMENTS    
  

 
 
        3.1    Permitted Payments     

        At
any time other than during the continuation of a Default or Event of Default under the 364-Day Credit Agreement, the Subordinated Creditor shall, subject to  Section 2.2, be entitled to receive
payments on account of any Subordinated Indebtedness in accordance with the terms of such Subordinated
Indebtedness. 

F-4

 

 
 

ARTICLE 4
  SUBROGATION    
  

 
 
        4.1    Restriction on Subrogation     

        The
Subordinated Creditor shall not exercise any rights which it may acquire by way of subrogation or contribution under this Agreement, as a result of any payment made hereunder or
otherwise, until this Agreement has ceased to be effective in accordance with Section 7.1(a). 

 
 
        4.2    Transfer by Subrogation     

        If
(a) the Administrative Agent on behalf of the Senior Lenders receives payment of any of the Subordinated Indebtedness, (b) the Senior Indebtedness has been paid in full
in cash and (c) there are no further Letters of Credit outstanding and no further Commitments outstanding under the 364-Day Credit Agreement, then the Senior Lenders will each, at
the Subordinated Creditor's request and expense, execute and deliver to the Subordinated Creditor appropriate documents, without recourse and without representation or warranty (except as to their
right to transfer such Senior Indebtedness and related security free of encumbrances created by the Senior Lenders), necessary to evidence the transfer by subrogation to the Subordinated Creditor of
an interest in its Senior Indebtedness and any security held therefor resulting from such payment of the Subordinated Indebtedness to the Administrative Agent. 

 
 

ARTICLE 5
  DEALINGS WITH BORROWER    
  

 
 
        5.1    Restriction Dealings by Subordinated Creditor     

        Except
with the prior written consent of the Administrative Agent with the consent of the Required Lenders, the Subordinated Creditor shall not: 

	(a)
	assign
all or any portion of the Subordinated Indebtedness in favor of any Person other than the Senior Lenders unless such Person has agreed in writing with the Administrative Agent
to be bound by the provisions hereof in the place and stead of the Subordinated Creditor; or

	(b)
	commence,
or join with any other Person in commencing, any Proceeding respecting the Obligor or any Subsidiary of the Obligor. 

 
 
        5.2    Permitted Dealings by Senior Lenders     

        Notwithstanding
anything in this Agreement, the Subordinated Creditor acknowledges each of the Senior Lenders shall be entitled to: 

	(a)
	lend
monies or otherwise extend credit or accommodations to the Obligor as part of the Senior Indebtedness or otherwise;

	(b)
	agree
to any change in, amendment to, waiver of, or departure from, any term of the 364-Day Credit Agreement or any other Loan Document including, without limitation, any
amendment, renewal or extension of such agreement or increase in the payment obligations of the Obligor under any such Loan Documents;

	(c)
	grant
time, renewals, extensions, releases, discharges or other indulgences or forbearances to the Obligor in respect of the Senior Indebtedness;

	(d)
	waive
timely and strict compliance with or refrain from exercising any rights under or relating to the Senior Indebtedness; 

F-5

 

	(e)
	accept
or make any compositions, arrangements, plans of reorganization or compromises with any Person as any of the Senior Lenders may deem appropriate in connection with the Senior
Indebtedness;

	(f)
	change,
whether by addition, substitution, removal, succession, assignment, grant of participation, transfer or otherwise, any of the Senior Lenders;

	(g)
	acquire,
give up, vary, exchange, release, discharge or otherwise deal with or fail to deal with any security interests, guaranties or collateral relating to any Senior Indebtedness,
this Agreement or any other Loan Document or allow the Obligor or any other Person to deal with the property which is subject to such security interests, guaranties or collateral, all as the Senior
Lenders may deem appropriate; and/or

	(h)
	abstain
from taking, protecting, securing, registering, filing, recording, renewing, perfecting, insuring or realizing upon any security interests, guaranties or collateral for any
Senior Indebtedness; and no loss in respect of any of the security interests or guaranties received or held for and on behalf of the Senior Lenders, whether occasioned by fault, omission of negligence
of any kind, whether of the Senior Lenders or otherwise, shall in any way limit or impair the liability of the Subordinated Creditor or the rights of the Senior Lenders under this Agreement; 

all
of which may be done without notice to or consent of the Subordinated Creditor and without impairing, releasing or otherwise affecting any rights or obligations of the Subordinated Creditor
hereunder or any rights of the Senior Lenders hereunder. 

 
 

ARTICLE 6
  REPRESENTATIONS AND WARRANTIES    
  

 
 
        6.1    Representations and Warranties     

        The
Subordinated Creditor hereby represents and warrants to the Senior Lenders that: 

	(a)
	the
Subordinated Creditor is a [corporation] duly incorporated or amalgamated, as the case may be, and validly existing under the laws of its jurisdiction of
incorporation or amalgamation, as the case may be;

	(b)
	the
Subordinated Creditor has all necessary [corporate] power and authority to enter into this Agreement;

	(c)
	the
Subordinated Creditor has taken all necessary [corporate] action to authorize the creation, execution, delivery and performance of this Agreement;

	(d)
	this
Agreement constitutes a valid and legally binding obligation of the Subordinated Creditor, enforceable against the Subordinated Creditor in accordance with its terms, subject as
to enforcement to bankruptcy, insolvency, reorganization, moratorium and similar laws of general applicability relating to or affecting creditors' rights and general equity principles; and

	(e)
	neither
the execution and delivery of this Agreement, nor compliance with the terms and conditions hereof (i) will result in a violation of the articles or by-laws
of the Subordinated Creditor or any resolutions passed by the board of directors or shareholders of the Subordinated Creditor or any applicable law, order, judgment, injunction, award or decree;
(ii) will result in a breach of, or constitute a default under, any loan agreement, indenture, trust deed or any other material agreement or instrument to which the Subordinated Creditor is a
party or by which its or its assets are bound; or (iii) requires any approval or consent of any governmental authority having jurisdiction except such as have already been obtained and are in
full force and effect. 

F-6

 

 
 

ARTICLE 7
  CONTINUING SUBORDINATION    
  

 
 
        7.1    Continuing Subordination; Reinstatement     

        This
Subordination Agreement shall create a continuing subordination and shall: 

	(a)
	remain
in full force and effect until the Senior Lenders have received payment in cash of the full amount of the Senior Indebtedness, all Letters of Credit have terminated and no
further Commitments are outstanding under the 364-Day Credit Agreement; provided however, that Section 5.1(b)  shall remain in effect until
91 days after such time;

	(b)
	be
binding upon the Subordinated Creditor and its successors and assigns; and

	(c)
	inure,
together with the rights and remedies of the Senior Lenders, to the benefit of and be enforceable by the Senior Lenders and their successors and assigns for their benefit and
for the benefit of any other Person entitled to the benefit of any Loan Documents from time to time, including any permitted assignee of some or all of the Loan Documents. 

Subordinated
Creditor agrees that following such termination this Subordination Agreement shall be automatically reinstated if for any reason any payment made on the Senior Indebtedness is rescinded
or must be otherwise restored by any Senior Lender, whether as a result of any proceedings in bankruptcy or reorganization or otherwise. 

 
 
        7.2    Other Obligations not Affected     

        The
subordination provided for herein is in addition to and not in substitution for any other agreement or any other security by whomsoever given or at any time held by any of the Senior
Lenders in respect of the Senior Indebtedness, and the Senior Lenders shall at all times have the right to proceed against or realize upon all or any portion of any other agreement or any security or
any other monies or assets to which the Senior Lenders may become entitled or have a claim in such order and in such manner as the Senior Lenders in their sole discretion may deem appropriate. 

 
 
        7.3    Acknowledgment of Documentation     

        The
Subordinated Creditor hereby acknowledges that it is familiar with and understands the terms of the 364-Day Credit Agreement and all other Loan Documents. The
Subordinated Creditor shall ensure that the Obligor provides such copies as the Subordinated Creditor wishes to receive of all amendments, modifications or supplements to any of the aforementioned
documents and of any other documents, instruments or agreements which are executed in the future pursuant to which Senior Indebtedness may arise. None of the Senior Lenders shall in any manner have
any obligation to ensure such receipt nor shall lack of receipt in any way affect the absolute and unconditional nature of the Subordinated Creditor's obligations hereunder in respect of the Senior
Indebtedness thereby created or arising. 

 
 

ARTICLE 8
  GENERAL PROVISIONS    
  

 
 
        8.1    Notices     

        All
notices and other communications provided for hereunder shall be given in the form and manner prescribed by Section 10.02 of
the 364-Day Credit Agreement. All such notices to the Subordinated Creditor may be given to the Borrowers on behalf of the Subordinated Creditor and shall be sufficiently delivered if so
given. 

F-7

 

 
 
        8.2    Amendments and Waivers     

	(a)
	No
provision of this Agreement may be amended, waived, discharged or terminated orally nor may any breach of any of the provisions of this Agreement be waived or discharged orally,
and any such amendment, waiver, discharge or termination may only be made in writing signed by the Administrative Agent on behalf of the requisite Senior Lenders, or by the Senior Lenders, and if such
amendment is intended to bind the Subordinated Creditor, by the Subordinated Creditor.

	(b)
	No
failure on the part of any party to exercise, and no delay in exercising, any right, power or privilege hereunder shall operate as a waiver thereof unless specifically waived in
writing, nor shall any single or partial exercise of any right, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, power or privilege.

	(c)
	Any
waiver of any provision of this Agreement or consent to any departure by any party therefrom shall be effective only in the specific instance and for the specific purpose for
which given and shall not in any way be or be construed as a waiver of any future requirement. 

 
 
        8.3    Assignment by Lenders     

        The
Subordinated Creditor acknowledges and agrees that each of the Senior Lenders shall have the right to assign, sell, participate or otherwise transfer all or any portion of its rights
and benefits under the Loan Documents (including this Agreement) without the consent of the Subordinated Creditor. This Agreement shall extend to and inure to the benefit of each of the Senior Leaders
and their respective successors and permitted assigns. 

 
 
        8.4    Assignment and Certain Other Actions by Subordinated Creditor     

        Until
payment in full of the Senior Indebtedness, the Subordinated Creditor shall not, without the prior written consent of the Senior Lenders (which consent may be arbitrarily
withheld), (a) accelerate the maturity of the Subordinated Indebtedness to a date that is earlier than six (6) months after the Maturity Date as defined in the 364-Day Credit
Agreement; (b) take any collateral security or guarantees for any Subordinated Indebtedness; or (c) sell, assign, transfer, endorse, pledge, encumber or otherwise dispose of any of the
Subordinated Indebtedness, unless the Subordinated Creditor gives the Administrative Agent written notice thereof and such sale, transfer, endorsement, pledge, encumbrance or other disposition is to
an Affiliate of the Obligor and is made expressly subject to this Subordination Agreement. 

 
 
        8.5    Further Assurances     

        The
Subordinated Creditor shall, at the request of the Senior Lenders but at the expense of the Subordinated Creditor, do all such further acts and things and execute and deliver all
such further documents as the Administrative Agent or the Senior Lenders may reasonably require in order to fully perform and carry out the terms of this Agreement. 

 
 
        8.6    Counterparts     

        This
Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 

 
 
        8.7    Waiver of Right to Trial by Jury     

        EACH
PARTY TO THIS AGREEMENT HEREBY EXPRESSLY WAIVES ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION ARISING UNDER ANY LOAN DOCUMENT OR IN ANY WAY CONNECTED
WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO ANY LOAN DOCUMENT, OR THE TRANSACTIONS RELATED THERETO, IN 

F-8

 

EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER FOUNDED IN CONTRACT OR TORT OR OTHERWISE; AND EACH PARTY HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE OF
ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND THAT ANY
PARTY TO THIS AGREEMENT MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE SIGNATORIES HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY
JURY. 

        IN
WITNESS WHEREOF the Subordinated Creditor has caused this Agreement to be executed by its duly authorized representative(s) as of the date first above written. 

	 	 	 	 	 
	

 	
 	

	

 	
 	

Per:	
 	

 
	 	 	 	 	
 Name:

Title:
	 	 	 	 	 
	 	 	 	 	 
	 	 	Per:	 	 
	 	 	 	 	
 Name:

Title:

F-9

 
 
 

ACKNOWLEDGMENT    
  

        The undersigned hereby acknowledges the terms of the above Subordination Agreement and covenants not to participate in any violation thereof. 

	 	 	ENBRIDGE ENERGY PARTNERS, L.P.
	 	 	 	 	 
	 	 	By:	 	Enbridge Energy Management, L.L.C., as delegate of Enbridge Energy Company, Inc., its General Partner
	 	 	 	 	 
	 	 	 	 	 
	 	 	By:	 	 
	 	 	 	 	

	 	 	Name:	 	 
	 	 	 	 	

	 	 	Title:	 	 
	 	 	 	 	

F-10

 
 
 

ANNEX A    
    
    Indebtedness    

F-11

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