Document:

exv10w1

Exhibit 10.1

EXECUTED VERSION

FIRST AMENDMENT

          This First Amendment, dated as of February 17, 2011 (this “Amendment”), to that
certain Amended and Restated Credit Agreement, dated as of December 10, 2009 (as previously
amended, the “Existing Credit Agreement”; as amended by this Amendment, the “Credit
Agreement”), among Hanesbrands Inc., a Maryland corporation (the “Borrower”), the
various financial institutions and other persons from time to time party thereto (the
“Lenders”), Barclays Bank PLC and Goldman Sachs Credit Partners L.P., as the
co-documentation agents, Bank of America, N.A. and HSBC Securities (USA) Inc., as the
co-syndication agents, JPMorgan Chase Bank, N.A., as the administrative agent and collateral agent
(in its capacity as the administrative agent, the “Administrative Agent”) and J.P. Morgan
Securities LLC (formerly known as J.P. Morgan Securities Inc.), Banc of America Securities LLC,
HSBC Securities (USA) Inc. and Barclays Capital, the investment banking division of Barclays Bank
PLC, as the joint lead arrangers and joint bookrunners. Capitalized terms used herein but not
defined herein are used as defined in the Credit Agreement.

W I T N E S S E T H:

          WHEREAS, pursuant to the Existing Credit Agreement, the Lenders have agreed to make, and have
made, certain loans and other extensions of credit to the Borrower;

          WHEREAS, the Borrower has requested that the Existing Credit Agreement be amended to, among
other things, extend the termination date of the Revolving Loan Commitments in the manner set forth
herein;

          WHEREAS, the Required Lenders are willing to agree to this Amendment on the terms, and subject
to the conditions, set forth herein.

          NOW, THEREFORE, in consideration of the foregoing, the mutual covenants and obligations set
forth herein and other good and valuable consideration, the adequacy and receipt of which is hereby
acknowledged, and in reliance upon the representations, warranties and covenants herein contained,
the parties hereto, intending to be legally bound, hereby agree as follows:

     SECTION 1. Defined Terms. Capitalized terms used but not defined herein shall have the meanings
assigned to such terms in the Credit Agreement.

     SECTION 2. Amendments. The Existing Credit Agreement is hereby amended as of the First Amendment
Effective Date (as defined below) in accordance with Exhibit B hereto: by (a) deleting each
term thereof which is lined out and (b) inserting each term thereof which is double underlined, in
each case in the place where such term appears therein.

     SECTION 3. Extension of Maturity Date. On the First Amendment Effective Date, each
Extending Revolving Loan Lender hereby extends the Stated Maturity Date as applicable to all of its
Revolving Loan Commitment (as set forth on Schedule I to this Amendment) to the Extended
Termination Date (i.e., December 10, 2015). The Stated Maturity Date applicable to the Revolving
Loan Commitment of each Non-Extending Revolving Loan Lender shall continue to be the Non-Extended
Termination Date (i.e., December 10, 2013). The Extending Revolving Loan Lenders understand and
agree that, on the Non-Extended Termination Date (or prior thereto in accordance with the Credit
Agreement), (i) the Revolving Loans of each Non-Extending Revolving Loan Lender shall become due
and payable (together with all interest and fees related thereto), (ii) the Revolving Loan
Commitment of each Non-Extending Revolving Loan Lender shall terminate and (iii) to the extent
provided in Section 4(a) below, the participating interests of each Non-Extending Revolving Loan
Lender in undrawn Letters of Credit and Open Account Discount Agreements with respect to which no
OA Payment Obligations then exist under the applicable Open Account Paying Agreement will
terminate.

 

 

2

     SECTION 4. Allocation and Repayment of Revolving Loans and Letters of Credit.
Notwithstanding anything in the Credit Agreement to the contrary:

          (a) From the First Amendment Effective Date until the Non-Extended Termination Date, all
Revolving Loans (to the extent required to be made under the Credit Agreement) shall continue to be
made, and participations in any Letters of Credit and Open Account Discount Agreements shall
continue to be allocated, ratably in accordance with the respective Revolving Loan Percentages of
the Revolving Loan Lenders as if there were a single tranche of Revolving Loan Commitments. On the
Non-Extended Termination Date, subject to the satisfaction of the conditions precedent set forth in
Section 5.2 of the Credit Agreement, the participations in any outstanding Letters of Credit (other
than in respect of then outstanding unreimbursed drawings under Letters of Credit) and Open Account
Discount Agreements (other than in respect of unreimbursed OA Payment Obligations under the
applicable Open Account Paying Agreement) of the Non-Extending Revolving Loan Lenders (the
“Non-Extended LC/OA Exposure”) shall be reallocated to and among the Extending Revolving
Loan Lenders ratably in accordance with their Revolving Loan Percentages (and the Non-Extending
Revolving Loan Lenders shall be released from their participation obligations in undrawn Letters of
Credit and Open Account Discount Agreements with respect to which no OA Payment Obligations are
then outstanding under the applicable Open Account Paying Agreement) but only to the extent the sum
of the amount of the Revolving Exposure of all Extending Revolving Loan Lenders before giving
effect to such reallocation plus the participations in any outstanding Letters of Credit
and Open Account Discount Agreements of the Non-Extending Revolving Loan Lenders being reallocated
does not exceed the Total Extended Revolving Loan Commitment Amount.

          (b) If the reallocation described in clause (a) above cannot, or can only partially, be
effected as a result of the limitations set forth therein, the Borrower shall promptly Cash
Collateralize the Non-Extended LC/OA Exposure (after giving effect to any partial reallocation
pursuant to clause (a) of this Section 4) for so long as such Non-Extended LC/OA Exposure is
outstanding.

     SECTION 5. Conditions Precedent. This Amendment shall become effective on the date on which the
following conditions precedent have been satisfied or waived (the “First Amendment Effective
Date”):

          (a) Certain Documents. The Administrative Agent shall have received each of the following:

          (i) this Amendment, duly executed by the Borrower, each Subsidiary Guarantor and the
Administrative Agent (on behalf of the Required Lenders); and

          (ii) an Acknowledgment and Consent to Amendment, in the form set forth hereto as
Exhibit A, duly executed by the Required Lenders.

          (b) Payment of Fees, Costs and Expenses. The Administrative Agent and the consenting Lenders
shall have received from the Borrower, as applicable (i) a consent fee for the account of each
Lender consenting to this Amendment by 5:00 p.m. (New York City time) on February 17, 2011, in an
amount equal to 0.375% of each such consenting Lender’s Revolving Loan Commitment, and (ii) all
other fees required to be paid, and all reasonable out-of-pocket costs and expenses for which
invoices have been presented (including the reasonable fees and expenses of Simpson Thacher &
Bartlett LLP, counsel to the Administrative Agent) as required by Section 10.3 of the Credit
Agreement.

          (c) Representations and Warranties. Each of the representations and warranties contained in
Section 6 below shall be true and correct.

 

 

3

     SECTION 6. Representations and Warranties. The Borrower and each Subsidiary Guarantor hereby
represents to the Administrative Agent and each Lender, as follows:

          (a) After giving effect to this Amendment, each of the representations and warranties in the
Credit Agreement and in the other Loan Documents are true and correct in all material respects
(except to the extent that such representation or warranty is already qualified as to materiality)
on and as of the date hereof as though made on and as of the date hereof, except to the extent that
any such representation or warranty expressly relates to an earlier date, in which case such
representation or warranty shall be true and correct in all material respects (except to the extent
that such representation or warranty is already qualified as to materiality) as of such earlier
date;

          (b) The Borrower and each Subsidiary Guarantor has taken all necessary action to authorize the
execution, delivery and performance of this Amendment, this Amendment has been duly executed and
delivered by the Borrower and each Subsidiary Guarantor, and this Amendment is the legal, valid and
binding obligation of the Borrower and each Subsidiary Guarantor, enforceable against each in
accordance with its terms, except as enforceability may be limited by applicable bankruptcy,
insolvency, reorganization, or similar laws affecting the enforcement of creditors’ rights
generally and by principles of equity; and

          (c) At the time of and immediately after giving effect to this Amendment, no Default or Event
of Default has occurred and is continuing.

     SECTION 7. Costs and Expenses. The Borrower agrees to pay and reimburse the Administrative Agent
for all of its reasonable out-of-pocket costs and expenses incurred in connection with the
preparation and delivery of this Amendment, including, without limitation, the reasonable fees and
disbursements of counsel to the Administrative Agent, in accordance with and to the extent required
by Section 10.3 of the Credit Agreement.

     SECTION 8. Reference to and Effect on the Loan Documents; Real Property Obligations.

          (a) As of the First Amendment Effective Date, each reference in the Existing Credit Agreement
to “this Agreement,” “hereunder,” “hereof,” “herein,” or words of like import, and each reference
in the other Loan Documents to the Credit Agreement (including, without limitation, by means of
words like “thereunder”, “thereof” and words of like import), shall mean and be a reference to the
Credit Agreement.

          (b) Except as expressly amended hereby, all of the terms and provisions of the Existing Credit
Agreement and all other Loan Documents are and shall remain in full force and effect and are hereby
ratified and confirmed.

          (c) The execution, delivery and effectiveness of this Amendment shall not, except as expressly
provided herein, operate as a waiver of any right, power or remedy of the Administrative Agent, any
Lender or any Issuer under the Existing Credit Agreement or any Loan Document, or constitute a
waiver or amendment of any other provision of the Existing Credit Agreement or any Loan Document
except as and to the extent expressly set forth herein.

          (d) Each of the Borrower and (by its acknowledgment hereof as set forth on the signature pages
hereto) each Subsidiary Guarantor hereby confirms that the guaranties, security interests and liens
granted pursuant to the Loan Documents (as amended hereby) continue to guarantee and secure the
Obligations as set forth in the Loan Documents (as amended hereby) and that such guaranties,
security interests and liens remain in full force and effect.

          (e) It is hereby agreed that, with respect to each parcel of real property for which there is
an existing Mortgage which has been delivered and recorded pursuant to the Loan Documents, the
Borrower shall deliver to the Administrative Agent within 90 days of the First

 

 

4

Amendment Effective Date (or within such other longer period as to which the Administrative
Agent may reasonably agree): (i) an amendment to the Mortgage on such mortgaged property in form
and substance reasonably satisfactory to the Administrative Agent, (ii) a “date-down” endorsement
to the existing title insurance policy (or a “reissued title policy”) for such mortgaged property
issued by the title company that issued such existing title insurance policy or by another title
company reasonably acceptable to the Administrative Agent, which endorsement shall update the
effective date of such existing title insurance policy and amend the description of the insured
existing Mortgage to include the amendment to such existing Mortgage and (iii) reasonably
satisfactory evidence that the Borrower has paid all premiums in respect of the endorsement to the
existing title policy (or the reissued title policy) for such mortgaged property, as well as any
charges for Mortgage recording taxes and Mortgage filing fees payable in connection with the
recording of the amendment to the Mortgage for such mortgaged property.

     SECTION 9. Counterparts. This Amendment may be executed in any number of counterparts and by
different parties hereto in separate counterparts, each of which when so executed shall be deemed
to be an original and all of which taken together shall constitute one and the same agreement.
Receipt by the Administrative Agent of a facsimile or pdf (or other electronic transmission) copy
of an executed signature page hereof shall constitute receipt by the Administrative Agent of an
executed counterpart of this Amendment.

     SECTION 10. Governing Law. This Amendment and the rights and obligations of the parties hereto
shall be governed by, and construed and interpreted in accordance with, the law of the State of New
York without regard to the conflicts of laws provisions (other than Sections 5-1401 and 5-1402 of
the New York General Obligations Law, which the parties hereto agree apply hereto).

     SECTION 11. Loan Document and Integration. This Amendment is a Loan Document, and together with
the other Loan Documents, incorporates all negotiations of the parties hereto with respect to the
subject matter hereof and is the final expression and agreement of the parties hereto with respect
to the subject matter hereof.

     SECTION 12. Headings. Section headings contained in this Amendment are included herein for
convenience of reference only and shall not constitute a part of this Amendment for any other
purposes.

     SECTION 13. Waiver of Jury Trial. EACH OF THE PARTIES HERETO IRREVOCABLY WAIVES TRIAL BY JURY IN
ANY ACTION OR PROCEEDING WITH RESPECT TO THIS AMENDMENT OR ANY OTHER LOAN DOCUMENT.

 

 

          IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by their
respective officers and members thereunto duly authorized, as of the date indicated above.

	 	 	 	 	 
	 

	 	JPMORGAN CHASE BANK, N.A.,

     as the Administrative Agent
	 
	 	 	 	 
	 

	 	By:	 	/s/ James A. Knight
	 

	 	 	 	 
	 

	 	 	 	Name: James A. Knight

Title: Vice President

 

 

	 	 	 	 	 
	 

	 	HANESBRANDS INC.,

     as Borrower
	 
	 	 	 	 
	 

	 	By:	 	/s/ Richard D. Moss
	 

	 	 	 	 
	 

	 	 	 	Name: Richard D. Moss

Title: Chief Treasury and Tax Officer and Treasurer

 

 

          For the purposes of Sections 6 and 8(d) hereof, each Subsidiary Guarantor set forth below (i)
makes the representations set forth in Section 3 hereof on the First Amendment Effective Date (as
defined above) and (ii) hereby consents to this Amendment and confirms that all guaranties,
security interests and Liens granted by it, and all its other obligations, pursuant to the Loan
Documents (as amended hereby) remain in full force and effect.

	 	 	 	 	 
	 

	 	BA INTERNATIONAL, L.L.C.

CARIBESOCK, INC.

CARIBETEX, INC.

CASA INTERNATIONAL, LLC

CEIBENA DEL, INC.

HANES MENSWEAR, LLC

HANES PUERTO RICO, INC.

HANESBRANDS DIRECT, LLC

HANESBRANDS DISTRIBUTION, INC.

HBI BRANDED APPAREL ENTERPRISES, LLC

HBI BRANDED APPAREL LIMITED, INC.

HBI INTERNATIONAL, LLC

HBI SOURCING, LLC

INNER SELF LLC

JASPER-COSTA RICA, L.L.C.

PLAYTEX DORADO, LLC

PLAYTEX INDUSTRIES, INC.

SEAMLESS TEXTILES, LLC

UPCR, INC.

UPEL, INC.

GEARCO, INC.

GFSI HOLDINGS, INC.

GFSI, INC.

CC PRODUCTS, INC.

EVENT 1, INC.
	 
	 	 	 	 
	 

	 	By:	 	/s/ Richard D. Moss
	 

	 	 	 	 
	 

	 	 	 	Name: Richard D. Moss

Title: Treasurer

 

 

SCHEDULE I

REVOLVING LOAN COMMITMENTS

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Non-Extended
	 	 	Extended Revolving	 	Revolving Loan
	Revolving Loan Lender	 	Loan Commitment	 	Commitment
	JPMorgan Chase Bank, N.A.
	 	$	59,250,000	 	 	$	0	 
	Bank of America, N.A.
	 	$	59,250,000	 	 	$	0	 
	The Bank of Nova Scotia
	 	$	30,000,000	 	 	$	0	 
	Barclays Bank PLC
	 	$	59,250,000	 	 	$	0	 
	Branch Banking and Trust Company
	 	$	45,000,000	 	 	$	0	 
	Capital One Leverage Finance Corp.
	 	$	15,000,000	 	 	$	0	 
	Fifth Third Bank
	 	 	45,000,000	 	 	$	0	 
	Goldman Sachs Group Inc.
	 	$	25,000,000	 	 	$	0	 
	HSBC Bank USA, N.A.
	 	$	59,250,000	 	 	$	0	 
	ING Capital LLC
	 	$	8,000,000	 	 	$	0	 
	Israel Discount Bank Ltd.
	 	$	15,000,000	 	 	$	0	 
	The Northern Trust Company
	 	$	25,000,000	 	 	$	0	 
	PNC Bank, National Association
	 	$	40,000,000	 	 	$	0	 
	Raymond James Bank, FSB
	 	$	10,000,000	 	 	$	0	 
	Royal Bank of Canada
	 	$	45,000,000	 	 	$	0	 
	Siemens Financial Services, Inc.
	 	$	7,500,000	 	 	$	0	 
	SunTrust Bank
	 	$	45,000,000	 	 	$	0	 
	United Overseas Bank Limited
	 	$	7,500,000	 	 	$	0	 
	 
	 	 	 	 	 	 
	Total
	 	$	600,000,000	 	 	$	0	 

 

 

EXHIBIT A

ACKNOWLEDGMENT AND CONSENT TO AMENDMENT

	 	 	 
	To:

	 	JPMORGAN CHASE BANK, N.A.,

as Administrative Agent

277 Park Avenue

New York, NY 10017
	 
	 	 
	 

	 	Attention: James A Knight
	 
	 	 
	 

	 	     RE: HANESBRANDS INC.

          Reference is made to that certain Amended and Restated Credit Agreement, dated as of December
10, 2009 (as the same may be amended, restated, supplemented or otherwise modified from time to
time, the “Credit Agreement”), among Hanesbrands Inc., a Maryland corporation (the
“Borrower”), the various financial institutions and other persons from time to time party
thereto (the “Lenders”), Barclays Bank PLC and Goldman Sachs Credit Partners L.P., as the
co-documentation agents, Bank of America, N.A. and HSBC Securities (USA) Inc., as the
co-syndication agents, JPMorgan Chase Bank, N.A., as the administrative agent and collateral agent
(in its capacity as the administrative agent, the “Administrative Agent”) and J.P. Morgan
Securities LLC (formerly known as J.P. Morgan Securities Inc.), Banc of America Securities LLC,
HSBC Securities (USA) Inc. and Barclays Capital, the investment banking division of Barclays Bank
PLC, as the joint lead arrangers and joint bookrunners. Capitalized terms used herein but not
defined herein are used as defined in the Credit Agreement.

          The Borrower has requested that the Lenders consent to an amendment to the
Credit Agreement on the terms described in the First Amendment to the Credit Agreement (the
“Amendment”), the form of which is attached hereto.

          Pursuant to Section 10.1 of the Credit Agreement, the undersigned
Lender hereby consents to the terms of the Amendment and authorizes the Administrative Agent to
execute and deliver the Amendment on its behalf.

	 	 	 	 	 
	 

	 	Very truly yours,
	 

	 
	 	 	 	 
	 

	 	 
	 

	 	[Name of Lender], as an Extending

Revolving Loan Lender
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:

Title:
	 
	 	 	 	 
	Dated as of ____________, 2011
	 	 	 	 

 

 

EXHIBIT B

CREDIT AGREEMENT

 

 

EXECUTION COPYEXHIBIT B

AMENDED AND RESTATED CREDIT AGREEMENT,

dated as of December 10, 2009,

as amended by the First Amendment,

dated as of February 17, 2011

among

HANESBRANDS INC.,

as the Borrower,

VARIOUS FINANCIAL INSTITUTIONS AND

OTHER PERSONS FROM TIME TO TIME

PARTY TO THIS AGREEMENT

as the Lenders,

BARCLAYS BANK PLC and GOLDMAN SACHS CREDIT PARTNERS L.P.

as the Co-Documentation Agents,

BANK OF AMERICA, N.A. and HSBC SECURITIES (USA) INC.

as the Co-Syndication Agents,

and

JPMORGAN CHASE BANK, N.A.,

as the Administrative Agent and the Collateral Agent

__________________________

J.P. MORGAN SECURITIES INC.,

BANC OF AMERICA SECURITIES LLC,

HSBC SECURITIES (USA) INC.,

and

BARCLAYS CAPITAL,

as Joint Lead Arrangers and Joint Bookrunners

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 
	 	 	Page	 	 
	 
	 	 	 	 	 
	Table of Contents

	 	 	 	 	 
	ARTICLE I DEFINITIONS AND ACCOUNTING TERMS
	 	 	 	1	 
	SECTION 1.1 Defined Terms
	 	 	 	1	 
	SECTION 1.2 Use of Defined Terms
	 	 	32	34	 
	 
	 	 	 	 	 
	SECTION 1.3 Cross-References
	 	 	32	34	 
	 
	 	 	 	 	 
	SECTION 1.4 Accounting and Financial Determinations
	 	 	32	34	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE II COMMITMENTS, BORROWING AND ISSUANCE PROCEDURES, NOTES AND LETTERS OF CREDIT
	 	 	33	35	 
	 
	 	 	 	 	 
	SECTION 2.1 Commitments
	 	 	33	35	 
	 
	 	 	 	 	 
	SECTION 2.2 Reduction of the Commitment Amounts
	 	 	35	37	 
	 
	 	 	 	 	 
	SECTION 2.3 Borrowing Procedures
	 	 	35	37	 
	 
	 	 	 	 	 
	SECTION 2.4 Continuation and Conversion Elections
	 	 	37	39	 
	 
	 	 	 	 	 
	SECTION 2.5 Funding
	 	 	37	39	 
	 
	 	 	 	 	 
	SECTION 2.6 Issuance Procedures
	 	 	37	39	 
	 
	 	 	 	 	 
	SECTION 2.7 Register; Notes
	 	 	42	44	 
	 
	 	 	 	 	 
	SECTION 2.8 [Reserved]
	 	 	42	44	 
	 
	 	 	 	 	 
	SECTION 2.9 Incremental Facilities
	 	 	43	44	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE III REPAYMENTS, PREPAYMENTS, INTEREST AND FEES
	 	 	44	46	 
	 
	 	 	 	 	 
	SECTION 3.1 Repayments and Prepayments; Application
	 	 	44	46	 
	 
	 	 	 	 	 
	SECTION 3.2 Interest Provisions
	 	 	47	49	 
	 
	 	 	 	 	 
	SECTION 3.3 Fees
	 	 	48	50	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE IV CERTAIN LIBO RATE AND OTHER PROVISIONS
	 	 	49	51	 
	 
	 	 	 	 	 
	SECTION 4.1 LIBO Rate Lending Unlawful
	 	 	49	51	 
	 
	 	 	 	 	 
	SECTION 4.2 Deposits Unavailable
	 	 	49	51	 
	 
	 	 	 	 	 
	SECTION 4.3 Increased LIBO Rate Loan Costs, etc.
	 	 	50	51	 
	 
	 	 	 	 	 
	SECTION 4.4 Funding Losses
	 	 	50	52	 
	 
	 	 	 	 	 
	SECTION 4.5 Increased Capital Costs
	 	 	51	52	 
	 
	 	 	 	 	 
	SECTION 4.6 Taxes
	 	 	51	53	 
	 
	 	 	 	 	 
	SECTION 4.7 Payments, Computations; Proceeds of Collateral, etc.
	 	 	54	56	 
	 
	 	 	 	 	 
	SECTION 4.8 Sharing of Payments
	 	 	55	57	 
	 
	 	 	 	 	 
	SECTION 4.9 Setoff
	 	 	55	57	 
	 
	 	 	 	 	 
	SECTION 4.10 Mitigation
	 	 	56	57	 
	 
	 	 	 	 	 
	SECTION 4.11 Removal of Lenders
	 	 	56	58	 
	 
	 	 	 	 	 
	SECTION 4.12 Limitation on Additional Amounts, etc.
	 	 	57	58	 
	 
	 	 	 	 	 
	SECTION 4.13 Defaulting Lenders
	 	 	57	59	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE V CONDITIONS TO CREDIT EXTENSIONS
	 	 	59	61	 
	 
	 	 	 	 	 
	SECTION 5.1 Initial Credit Extension
	 	 	59	61	 
	 
	 	 	 	 	 
	SECTION 5.2 All Credit Extensions
	 	 	63	65	 
	 
	 	 	 	 	 

-i- 

 

	 	 	 	 	 	 
	ARTICLE VI REPRESENTATIONS AND WARRANTIES
	 	 	64	66	 
	 
	 	 	 	 	 
	SECTION 6.1 Organization, etc.
	 	 	64	66	 
	 
	 	 	 	 	 
	SECTION 6.2 Due Authorization, Non-Contravention, etc.
	 	 	64	66	 
	 
	 	 	 	 	 
	SECTION 6.3 Government Approval, Regulation, etc.
	 	 	65	66	 
	 
	 	 	 	 	 
	SECTION 6.4 Validity, etc.
	 	 	65	67	 
	 
	 	 	 	 	 
	SECTION 6.5 Financial Information
	 	 	65	67	 
	 
	 	 	 	 	 
	SECTION 6.6 No Material Adverse Change
	 	 	65	67	 
	 
	 	 	 	 	 
	SECTION 6.7 Litigation, Labor Controversies, etc.
	 	 	66	67	 
	 
	 	 	 	 	 
	SECTION 6.8 Subsidiaries
	 	 	66	68	 
	 
	 	 	 	 	 
	SECTION 6.9 Ownership of Properties
	 	 	66	68	 
	 
	 	 	 	 	 
	SECTION 6.10 Taxes
	 	 	66	68	 
	 
	 	 	 	 	 
	SECTION 6.11 Pension and Welfare Plans
	 	 	66	68	 
	 
	 	 	 	 	 
	SECTION 6.12 Environmental Warranties
	 	 	66	68	 
	 
	 	 	 	 	 
	SECTION 6.13 Accuracy of Information
	 	 	68	70	 
	 
	 	 	 	 	 
	SECTION 6.14 Regulations U and X
	 	 	68	70	 
	 
	 	 	 	 	 
	SECTION 6.15 Compliance with Contracts, Laws, etc.
	 	 	68	70	 
	 
	 	 	 	 	 
	SECTION 6.16 Solvency
	 	 	68	70	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE VII COVENANTS
	 	 	69	70	 
	 
	 	 	 	 	 
	SECTION 7.1 Affirmative Covenants
	 	 	69	70	 
	 
	 	 	 	 	 
	SECTION 7.2 Negative Covenants
	 	 	75	77	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE VIII EVENTS OF DEFAULT
	 	 	89	92	 
	 
	 	 	 	 	 
	SECTION 8.1 Listing of Events of Default
	 	 	89	92	 
	 
	 	 	 	 	 
	SECTION 8.2 Action if Bankruptcy
	 	 	92	94	 
	 
	 	 	 	 	 
	SECTION 8.3 Action if Other Event of Default
	 	 	92	94	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE IX THE ADMINISTRATIVE AGENT, THE COLLATERAL AGENT; THE LEAD ARRANGERS, THE
SYNDICATION AGENT AND THE DOCUMENTATION AGENT
	 	 	92	95	 
	 
	 	 	 	 	 
	SECTION 9.1 Actions
	 	 	92	95	 
	 
	 	 	 	 	 
	SECTION 9.2 Funding Reliance, etc.
	 	 	93	95	 
	 
	 	 	 	 	 
	SECTION 9.3 Exculpation
	 	 	93	96	 
	 
	 	 	 	 	 
	SECTION 9.4 Successor
	 	 	93	96	 
	 
	 	 	 	 	 
	SECTION 9.5 Loans by JPMorgan Chase Bank
	 	 	94	96	 
	 
	 	 	 	 	 
	SECTION 9.6 Credit Decisions
	 	 	94	97	 
	 
	 	 	 	 	 
	SECTION 9.7 Copies, etc.
	 	 	94	97	 
	 
	 	 	 	 	 
	SECTION 9.8 Reliance by Agents
	 	 	94	97	 
	 
	 	 	 	 	 
	SECTION 9.9 Defaults
	 	 	95	97	 
	 
	 	 	 	 	 
	SECTION 9.10 Lead Arrangers, Syndication Agents and Documentation Agents
	 	 	95	98	 
	 
	 	 	 	 	 
	SECTION 9.11 Posting of Approved Electronic Communications
	 	 	95	98	 
	 
	 	 	 	 	 
	 
	 	 	 	 	 
	ARTICLE X MISCELLANEOUS PROVISIONS
	 	 	97	99	 
	 
	 	 	 	 	 
	SECTION 10.1 Waivers, Amendments, etc.
	 	 	97	99	 
	 
	 	 	 	 	 
	SECTION 10.2 Notices; Time
	 	 	98	101	 
	 
	 	 	 	 	 
	SECTION 10.3 Payment of Costs and Expenses
	 	 	99	101	 
	 
	 	 	 	 	 
	SECTION 10.4 Indemnification
	 	 	100	102	 
	 
	 	 	 	 	 

-ii- 

 

	 	 	 	 	 	 
	SECTION 10.5 Survival
	 	 	101	104	 
	 
	 	 	 	 	 
	SECTION 10.6 Severability
	 	 	101	104	 
	 
	 	 	 	 	 
	SECTION 10.7 Headings
	 	 	101	104	 
	 
	 	 	 	 	 
	SECTION 10.8 Execution in Counterparts, Effectiveness, etc.
	 	 	101	104	 
	 
	 	 	 	 	 
	SECTION 10.9 Governing Law; Entire Agreement
	 	 	101	104	 
	 
	 	 	 	 	 
	SECTION 10.10 Successors and Assigns
	 	 	102	104	 
	 
	 	 	 	 	 
	SECTION 10.11 Sale and Transfer of Credit Extensions;
Participations in Credit Extensions;
Notes
	 	 	102	105	 
	 
	 	 	 	 	 
	SECTION 10.12 Other Transactions
	 	 	104	107	 
	 
	 	 	 	 	 
	SECTION 10.13 Forum Selection and Consent to Jurisdiction; Waivers
	 	 	105	107	 
	 
	 	 	 	 	 
	SECTION 10.14 Waiver of Jury Trial
	 	 	105	108	 
	 
	 	 	 	 	 
	SECTION 10.15 Patriot Act
	 	 	106	108	 
	 
	 	 	 	 	 
	SECTION 10.16 Judgment Currency
	 	 	106	108	 
	 
	 	 	 	 	 
	SECTION 10.17 No Fiduciary Duty
	 	 	106	109	 
	 
	 	 	 	 	 
	SECTION 10.18 Counsel Representation
	 	 	107	109	 
	 
	 	 	 	 	 
	SECTION 10.19 Confidentiality
	 	 	107	109	 
	 
	 	 	 	 	 
	SECTION 10.20 Resignation of Citi; Appointment of
JPMorgan as Successor Swing Line Lender
	 	 	107	110	 
	 
	 	 	 	 	 
	SECTION 10.21 Effect of Amendment and Restatement
	 	 	108	111	 
	 
	 	 	 	 	 
	SECTION 10.22 Consent of Required Lenders
	 	 	108	111	 
	 
	 	 	 	 	 

	 	 	 	 	 

	SCHEDULE I

	 	 
	 	-             Disclosure Schedule
	SCHEDULE II

	 	 
	 	-             Percentages; Notice Address
	SCHEDULE III

	 	 
	 	-             Existing Letters of Credit
	EXHIBIT A-1

	 	-
	 	Form of Revolving Note
	 
	 	 	 	 
	EXHIBIT A-2

	 	-
	 	Form of New Term Note
	EXHIBIT A-3

	 	-
	 	Form of Swing Line Note
	EXHIBIT B-1

	 	-
	 	Form of Borrowing Request
	EXHIBIT B-2

	 	-
	 	Form of Issuance Request
	EXHIBIT C

	 	-
	 	Form of Continuation/Conversion Notice
	EXHIBIT D

	 	-
	 	Form of Lender Assignment Agreement
	EXHIBIT E

	 	-
	 	Form of Compliance Certificate
	EXHIBIT F

	 	-
	 	Form of Guaranty
	EXHIBIT G

	 	-
	 	Form of Pledge and Security Agreement
	EXHIBIT H

	 	-
	 	Form of Closing Date Certificate
	EXHIBIT I

	 	-
	 	Form of Solvency Certificate

-iii- 

 

AMENDED AND RESTATED CREDIT AGREEMENT

     THIS AMENDED AND RESTATED CREDIT AGREEMENT, dated as of September 5, 2006, as amended and
restated as of December 10, 2009, and as further amended by the First Amendment dated as of
February 17, 2011, is among HANESBRANDS INC., a Maryland corporation (the “Borrower”),
the various financial institutions and other Persons from time to time party to this Agreement (the
“Lenders”), BARCLAYS BANK PLC and GOLDMAN SACHS CREDIT PARTNERS L.P., as the
co-documentation agents (in such capacities, the “Co-Documentation Agents”), BANK OF
AMERICA, N.A. and HSBC SECURITIES (USA) INC., as the co-syndication agents (in such capacities, the
“Co-Syndication Agents”), JPMORGAN CHASE BANK, N.A., as the administrative agent and the
collateral agent (in such capacities, the “Administrative Agent” and “Collateral
Agent”, respectively), and J.P. MORGAN SECURITIES INC., BANC OF AMERICA SECURITIES LLC, HSBC
SECURITIES (USA) INC. and BARCLAYS CAPITAL, the investment banking division of BARCLAYS BANK PLC,
as the joint lead arrangers and joint bookrunners (in such capacities, the “Lead
Arrangers”).

     The parties hereto agree as follows:

ARTICLE I

DEFINITIONS AND ACCOUNTING TERMS

               SECTION 1.1 Defined Terms. The following terms (whether or not underscored) when used
in this Agreement, including its preamble and recitals, shall, except where the context otherwise
requires, have the following meanings (such meanings to be equally applicable to the singular and
plural forms thereof):

     “2014 Senior Note Documents” means the 2014 Senior Notes, the 2014 Senior Note
Indenture and all other agreements, documents and instruments executed and delivered with respect
to the 2014 Senior Notes or the 2014 Senior Note Indenture, as the same may be refinanced,
amended, supplemented, amended and restated or otherwise modified from time to time in accordance
with this Agreement.

     “2014 Senior Note Indenture” means the Indenture, between the Borrower and the Person
acting as trustee thereunder (the “2014 Senior Notes Trustee”), pursuant to which the 2014
Senior Notes and any supplemental issuance of “senior notes” thereunder are issued, as the same may
be amended, supplemented, amended and restated or otherwise modified from time to time in
accordance with this Agreement.

     “2014 Senior Notes” means the $500,000,000 aggregate principal amount of
floating rate senior unsecured notes due December 15, 2014 issued by the Borrower.

     “2014 Senior Notes Trustee” is defined in the definition of “2014 Senior Note
Indenture”.

     “2016 Senior Note Documents” means the 2016 Senior Notes, the 2016 Senior Note
Indenture and all other agreements, documents and instruments executed and delivered with respect
to the 2016 Senior Notes or the 2016 Senior Note Indenture, as the same may be refinanced,
amended, supplemented, amended and restated or otherwise modified from time to time in accordance
with this Agreement.

 

 

     “2016 Senior Note Indenture” means the Indenture, between the Borrower and the Person
acting as trustee thereunder (the “2016 Senior Notes Trustee”), pursuant to which the 2016
Senior Notes and any supplemental issuance of “senior notes” thereunder are issued, as the same may
be amended, supplemented, amended and restated or otherwise modified from time to time in
accordance with this Agreement.

     “2016 Senior Notes” means the $500,000,000 aggregate principal amount of 8.00%
senior unsecured notes due December 15, 2016 issued by the Borrower.

     “2016 Senior Notes Trustee” is defined in the definition of “2016 Senior Note
Indenture”.

     “2020 Senior Note Documents” means the 2020 Senior Notes, the 2020 Senior Note Indenture
and all other agreements, documents and instruments executed and delivered with respect to the 2020
Senior Notes or the 2020 Senior Note Indenture, as the same may be refinanced, amended,
supplemented, amended and restated or otherwise modified from time to time in accordance with this
Agreement

     “2020 Senior Note Indenture” means the Indenture, dated as of August 1, 2008, among the
Borrower, the subsidiary guarantors party thereto and Branch Banking and Trust Company, as trustee,
as amended and supplemented by the Fourth Supplemental Indenture thereto, dated November 9, 2010,
among the Borrower, the subsidiary guarantors party thereto and Branch Banking and Trust Company,
pursuant to which the 2020 Senior Notes were issued, as the same may be amended, supplemented,
amended and restated or otherwise modified from time to time in accordance with this Agreement.

     “2020 Senior Notes” means the $1,000,000,000 aggregate principal amount of 6.375% senior
unsecured notes due December 15, 2020 issued by the Borrower.

     “Acquired Permitted Capital Expenditure Amount” is defined in clause (a) of
Section 7.2.7.

     “Administrative Agent” is defined in the preamble and includes each other
Person appointed as the successor Administrative Agent pursuant to Section 9.4.

     “Affected Lender” is defined in Section 4.11.

     “Affiliate” of any Person means any other Person which, directly or indirectly,
controls, is controlled by or is under common control with such Person. “Control” of a Person
means the power, directly or indirectly, (i) to vote 10% or more of the Capital Securities (on a
fully diluted basis) of such Person having ordinary voting power for the election of directors,
managing members or general partners (as applicable), or (ii) to direct or cause the direction of
the management and policies of such Person (whether by contract or otherwise).

     “Agents” means, as the context may require, the Administrative Agent and the
Collateral Agent and, for the purposes of Section 5.1 only, the Co-Syndication Agents and
the Co-Documentation Agents, collectively, or either of them individually.

2 

 

     “Agreement” means, on any date, this Amended and Restated Credit Agreement as
originally in effect on the Restatement Effective Date, as amended by the First Amendment
and as thereafter from time to time further amended, supplemented, amended and restated or
otherwise modified from time to time and in effect on such date.

     “Alternate Base Rate” means on any date and with respect to all Base Rate Loans, a
fluctuating rate of interest per annum equal to the highest of (i) the Base Rate in effect on such
day, and (ii) the Federal Funds Rate in effect on such day plus 1/2 of 1.0% and (iii) for a LIBO Rate
Loan, the LIBO Rate (Reserve Adjusted) with a one-month Interest Period commencing on such day (or
if such day is not a Business Day, the immediately preceding Business Day) plus 1.0%.
Changes in the rate of interest on that portion of any Loans maintained as Base Rate Loans will
take effect simultaneously with each change in the Alternate Base Rate. The Administrative Agent
will give notice promptly to the Borrower and the Lenders of changes in the Alternate Base Rate;
provided that, the failure to give such notice shall not affect the Alternate Base Rate in
effect after such change.

     “Applicable Commitment Fee Margin” means (i) with respect to the Extended
Revolving Loan Commitments, 0.50% and (ii) with respect to the Non-Extended Revolving Loan
Commitments, the applicable percentage set forth below corresponding to the relevant Leverage
Ratio:

	 	 	 
	Leverage Ratio
	 	Applicable Commitment

Fee Margin
	 
	 	 
	Greater than or equal to 3.75:1.00
	 	0.750%
	 
	Less than 3.75:1.00
	 	0.500%

          Notwithstanding anything to the contrary set forth in this Agreement (including the then
effective Leverage Ratio), the Applicable Commitment Fee Margin from the Restatement Effective Date
through (and including) the date of delivery of the financial statements for the second full Fiscal
Quarter ending after the Restatement Effective Date shall be 0.75%. The Leverage Ratio used to
compute the Applicable Commitment Fee Margin with respect to the Non-Extended Revolving Loan
Commitments shall be that set forth in the Compliance Certificate most recently delivered by
the Borrower to the Administrative Agent. Changes in the Applicable Commitment Fee Margin
resulting from a change in the Leverage Ratio shall become effective upon delivery by the Borrower
to the Administrative Agent of a new Compliance Certificate pursuant to clause (c) of
Section 7.1.1. If the Borrower fails to deliver a Compliance Certificate on or before the
date required pursuant to clause (c) of Section 7.1.1, the Applicable Commitment
Fee Margin from and including the day after such required date of delivery to but not including the
date the Borrower delivers to the Administrative Agent a Compliance Certificate shall equal the
highest Applicable Commitment Fee Margin set forth above.

          “Applicable Margin” means the applicable percentage set forth below
corresponding to the relevant Leverage Ratio:

3 

 

	 	 	 	 	 	 	 	 	 
	 	 	Applicable Margin for	 
	 	 	New Term Loans	 
	Leverage Ratio	 	LIBO Rate Loans	 	 	Base Rate Loans	 
	Greater than or
equal to 2.50:1.00
	 	 	3.25	%	 	 	2.25	%
	Less than 2.50:1:00
	 	 	3.00	%	 	 	2.00	%

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Applicable Margin for	 	 	Applicable Margin for
	 
	 	 	Revolving Loans (including	 	 	Revolving Loans (including
	 
	 	 	Swing Line Loans)
made
by	 	 	Swing Line Loans) made by
	 
	 	 	Extending Revolving Loan
	 	 	Non-Extending Revolving Loan
	 
	 	 	Lenders
	 	 	Lenders
	 
		 	LIBO Rate	 	 	Base Rate
	 	 	LIBO Rate
	 	 	Base Rate	 
	Leverage Ratio	 	Loans	 	 	Loans
	 	 	Loans
	 	 	Loans	 
	Greater than or
equal to 4.00:1.00
	 	 	4.753.50	%	 	 	2.50	%	 	 	4.75	%	 	 	3.75	%
	 
	 	 	 	 	 	 	 	 	 	 	 
	Less than 4.00:1.00
but greater than or
equal to 3.25:1.00
	 	 	4.503.25	%	 	 	2.25	%	 	 	4.50	%	 	 	3.50	%
	 
	 	 	 	 	 	 	 	 	 	 	 
	Less than 3.25:1.00
but greater than or
equal to 2.50:1.00
	 	 	4.253.00	%	 	 	2.00	%	 	 	4.25	%	 	 	3.25	%
	 
	 	 	 	 	 	 	 	 	 	 	 
	Less than 2.50:1.00
	 	 	4.002.75	%	 	 	1.75	%	 	 	4.00	%	 	 	3.00	%
	 
	 	 	 	 	 	 	 	 	 	 	 

Notwithstanding anything to the contrary set forth in this Agreement (including the then effective
Leverage Ratio), the Applicable Margin for (i) all New Term Loans from the Closing Date through
(and including) the date of delivery of the financial statements for the second full Fiscal Quarter
ending after Restatement Effective Date shall be (A) 3.25%, in the case of LIBO Rate Loans, and (B)
2.25%, in the case of Base Rate Loans and (ii) all Revolving Loans (including Swing Line Loans)
from the Restatement Effective Date through (and including) the date of delivery of the financial
statements for the second full Fiscal Quarter ending after Restatement Effective Date shall be (A)
4.50%, in the case of LIBO Rate Loans, and (B) 3.50%, in the case of Base Rate Loans. The Leverage
Ratio used to compute the Applicable Margin shall be the Leverage Ratio set forth in the Compliance
Certificate most recently delivered by the
Borrower to the Administrative Agent. Changes in the Applicable Margin resulting from a change in
the Leverage Ratio shall become effective upon delivery by the Borrower to the Administrative Agent
of a new Compliance Certificate pursuant to clause (c) of Section 7.1.1. If the
Borrower fails to deliver a Compliance Certificate on or before the date required pursuant to
clause (c) of Section 7.1.1, the Applicable Margin from and including the day after
such required date of delivery to but not including the date

4 

 

the Borrower delivers to the Administrative Agent a Compliance Certificate shall equal the
highest Applicable Margin set forth above.

     “Applicable Percentage” means, at any time of determination, with respect to a
mandatory prepayment in respect of Excess Cash Flow pursuant to clause (f) of Section
3.1.1, (A) 50.0%, if the Leverage Ratio set forth in the Compliance Certificate most recently
delivered by the Borrower to the Administrative Agent was greater than or equal to 3.50:1.00, (B)
25.0%, if the Leverage Ratio set forth in such Compliance Certificate was less than 3.50:1.00 but
greater than or equal to 3.00:1.00, and (C) 0%, if the Leverage Ratio set forth in such Compliance
Certificate was less than 3.00:1.00.

     “Approved Foreign Bank” is defined in the definition of “Cash Equivalent Investment”.

     “Approved Fund” means any Person (other than a natural Person) that (i) is engaged in
making, purchasing, holding or otherwise investing in commercial loans and similar extensions of
credit in the ordinary course, and (ii) is administered or managed by a Lender, an Affiliate of a
Lender or a Person or an Affiliate of a Person that administers or manages a Lender.

     “Authorized Officer” means, relative to any Obligor, the chief executive officer,
president, chief financial officer, treasurer, assistant treasurer, secretary, assistant secretary
and those of its other officers, general partners or managing members (as applicable), in each case
whose signatures and incumbency shall have been certified to the Agents, the Lenders and the
Issuers pursuant to Section 5.1.1.

     “Available Retained Excess Cash Flow” means, on any date of determination thereof, an
amount equal to Retained Excess Cash Flow, minus the sum of (i) the amount of such Retained Excess
Cash Flow used to make any Investments pursuant to Section 7.2.5(l) and (p), (ii) the
amount of such Retained Excess Cash Flow used to make Restricted Payments pursuant to Section
7.2.6(e), (iii) the amount of such Retained Excess Cash Flow used to make Capital Expenditures
pursuant to Section 7.2.7 and (iv) the amount of such Retained Excess Cash Flow used to
make Permitted Acquisitions pursuant to the first proviso in Section 7.2.10(b).

     “Base Rate” means, at any time, the rate of interest publicly announced by JPMorgan
Chase Bank as its prime rate in effect at its principal office in New York City.

     “Base Rate Loan” means a Loan denominated in Dollars bearing interest at a fluctuating
rate determined by reference to the Alternate Base Rate.

     “Borrower” is defined in the preamble.

     “Borrowing” means the Loans of the same type and, in the case of LIBO Rate Loans,
having the same Interest Period made by all Lenders required to make such Loans on the same
Business Day and pursuant to the same Borrowing Request in accordance with Section 2.3.

     “Borrowing Request” means a Loan request and certificate duly executed by an
Authorized Officer of the Borrower substantially in the form of Exhibit B-1 hereto.

5

 

     “Business Day” means (i) any day which is neither a Saturday or Sunday nor a legal
holiday on which banks are authorized or required to be closed in New York, New York, (ii) relative
to the making, continuing, prepaying or repaying of any LIBO Rate Loans, any day which is a
Business Day described in clause (i) above and on which dealings in Dollars are carried on
in the London interbank eurodollar market and (iii) for purposes of Section 2.1.2 any day
which is neither a Saturday or Sunday nor a legal holiday where the relevant Issuer is located
(and, if such Issuer is located in Hong Kong, excluding any day upon which a Typhoon Number 8
signal or black rainstorm warning is hoisted before 12:00 noon (Hong Kong time)).

     “CapEx Pull Forward Amount” is defined in clause (b) of Section 7.2.7.

     “Capital Expenditures” means, for any period, the aggregate amount of (i) all
expenditures of the Borrower and its Subsidiaries for fixed or capital assets made during such
period which, in accordance with GAAP, would be classified as capital expenditures and (ii)
Capitalized Lease Liabilities incurred by the Borrower and its Subsidiaries during such period;
provided that Capital Expenditures shall not include any such expenditures which constitute
any of the following, without duplication: (a) a Permitted Acquisition, (b) to the extent permitted
by this Agreement, capital expenditures consisting of Net Disposition Proceeds or Net Casualty
Proceeds not otherwise required to be used to repay the Loans and (c) imputed interest capitalized
during such period incurred in connection with Capitalized Lease Liabilities not paid or payable in
cash. For the avoidance of doubt (x) to the extent that any item is classified under clause
(i) of this definition and later classified under clause (ii) of this definition or
could be classified under either clause, it will only be required to be counted once for purposes
hereunder and (y) in the event the Borrower or any Subsidiary owns an asset that was not used and
is now being reused, no portion of the unused asset shall be considered Capital Expenditures
hereunder; provided that any expenditure necessary in order to permit such asset to be
reused shall be included as a Capital Expenditure during the period that such expenditure actually
is made.

     “Capital Securities” means, with respect to any Person, all shares, interests,
participations or other equivalents (however designated, whether voting or non-voting) of such
Person’s capital, whether now outstanding or issued after the Restatement Effective Date;
provided however, any shares, interests, participations or other equivalents
required to be issued in connection with convertible debt shall not be considered “Capital
Securities” until issued.

     “Capitalized Lease Liabilities” means, with respect to any Person, all monetary
obligations of such Person and its Subsidiaries under any leasing or similar arrangement which, in
accordance with GAAP, should be classified as capitalized leases, and for purposes of each Loan
Document the amount of such obligations shall be the capitalized amount thereof, determined in
accordance with GAAP, and the stated maturity thereof shall be the date of the last payment of rent
or any other amount due under such lease prior to the first date upon which such lease may be
terminated by the lessee without payment of a premium or a penalty; provided,
however, any changes to the treatment or reclassification of operating leases under GAAP or
the interpretation of GAAP that would cause operating leases to be considered capitalized leases
under GAAP shall be ignored as if such treatment or reclassification had never occurred and, for
the avoidance of doubt, operating leases shall not be considered Capitalized Lease Liabilities
hereunder.

6

 

     “Cash Collateralize” means, with respect to (i) a Letter of Credit, the deposit of
immediately available funds into a cash collateral account maintained with (or on behalf of) the
Administrative Agent on terms reasonably satisfactory to the Administrative Agent in an amount
equal to the Stated Amount of such Letter of Credit and (ii) OA Payment Obligations, the deposit of
immediately available funds into a cash collateral account maintained with (or on behalf of) the
applicable Open Account Discount Purchaser in an amount equal to the aggregate Dollar amount of
such OA Payment Obligations.

     “Cash Equivalent Investment” means, at any time:

     (a) any direct obligation of (or unconditionally guaranteed by) the United States or a
State thereof (or any agency or political subdivision thereof, to the extent such
obligations are supported by the full faith and credit of the United States or a State
thereof) maturing not more than one year after such time;

     (b) commercial paper maturing not more than 270 days from the date of issue, which is
issued by (i) a corporation (other than an Affiliate of any Obligor) organized under the
laws of any State of the United States or of the District of Columbia and rated A-1 or
higher by S&P or P-1 or higher by Moody’s, or (ii) any Lender (or its holding company);

     (c) any certificate of deposit, time deposit or bankers acceptance, maturing not more
than one year after its date of issuance, which is issued by either (i) any bank organized
under the laws of the United States (or any State thereof) and which has (A) a credit rating
of A2 or higher from Moody’s or A or higher from S&P and (B) a combined capital and surplus
greater than $500,000,000, or (ii) any Lender;

     (d) any repurchase agreement having a term of 30 days or less entered into with any
Lender or any commercial banking institution satisfying the criteria set forth in clause
(c)(i) which (i) is secured by a fully perfected security interest in any obligation of
the type described in clause (a), and (ii) has a market value at the time such
repurchase agreement is entered into of not less than 100% of the repurchase obligation of
such commercial banking institution thereunder;

     (e) with respect to any Foreign Subsidiary, non-Dollar denominated (i) certificates of
deposit of, bankers acceptances of, or time deposits with, any commercial bank which is
organized and existing under the laws of the country in which such Person maintains its
chief executive office or principal place of business or is organized provided such country
is a member of the Organization for Economic Cooperation and Development, and which has a
short-term commercial paper rating from S&P of at least “A-1” or the equivalent thereof or
from Moody’s of at least “P-1” or the equivalent thereof (any such bank being an
“Approved Foreign Bank”) and maturing within one year of the date of acquisition and
(ii) equivalents of demand deposit accounts which are maintained with an Approved Foreign
Bank; and

     (f) readily marketable obligations issued or directly and fully guaranteed or insured
by the government or any agency or instrumentality of any member nation of the
European Union whose legal tender is the Euro and which are denominated in Euros or any

7

 

other foreign currency comparable in credit quality and tenor to those referred to above and
customarily used by corporations for cash management purposes in any jurisdiction outside
the United States to the extent reasonably required in connection with any business
conducted by any Foreign Subsidiary organized in such jurisdiction, having (i) one of the
three highest ratings from either Moody’s or S&P and (ii) maturities of not more than one
year from the date of acquisition thereof; provided that the full faith and credit
of any such member nation of the European Union is pledged in support thereof.

    “Cash Management Obligations” means, with respect to the Borrower or any of its
Subsidiaries, any direct or indirect liability, contingent or otherwise, of such Person in respect
of cash management services (including treasury, depository, overdraft (daylight and temporary),
credit or debit card, electronic funds transfer and other cash management arrangements) provided
after the Restatement Effective Date by a Person who is (or was at the time such Cash Management
Obligations were incurred) the Administrative Agent, any Lender or any Affiliate thereof, including
obligations for the payment of fees, interest, charges, expenses, attorneys’ fees and disbursements
in connection therewith to the extent provided for in the documents evidencing such cash management
services.

    “Cash Restructuring Charges” is defined in the definition of “EBITDA.”

    “Casualty Event” means the damage, destruction or condemnation, as the case may be, of
property of any Person or any of its Subsidiaries.

    “CERCLA” means the Comprehensive Environmental Response, Compensation and Liability
Act of 1980, as amended.

    “CERCLIS” means the Comprehensive Environmental Response Compensation Liability
Information System List.

    “Change in Control” means

     (a) any person or group (within the meaning of Sections 13(d) and 14(d) under the
Exchange Act) shall become the ultimate “beneficial owner” (as defined in Rules 13d-3 and
13d-5 under the Exchange Act), directly or indirectly, of Capital Securities representing
more than 35% of the Capital Securities of the Borrower on a fully diluted basis;

     (b) during any period of 24 consecutive months, individuals who at the beginning of
such period constituted the Board of Directors of the Borrower (together with any new
directors whose election to such Board or whose nomination for election by the stockholders
of the Borrower was approved by a vote of a majority of the directors then still in office
who were either directors at the beginning of such period or whose election or nomination
for election was previously so approved) cease for any reason to constitute a majority of
the Board of Directors of the Borrower then in office; or

     (c) the occurrence of any “Change of Control” (or similar term) under (and as defined
in) any 2014 Senior Note Document
or, 2016 Senior Note Document or 2020
Senior Note Document.

8

 

    “Citi” means, as the context may require, Citicorp USA, Inc. and Citibank, N.A.,
collectively, or either of them, individually.

    “Closing Date Certificate” means the closing date certificate executed and delivered
by an Authorized Officer of the Borrower substantially in the form of Exhibit H hereto.

    “Code” means the Internal Revenue Code of 1986, and the regulations thereunder, in
each case as amended, reformed or otherwise modified from time to time.

    “Co-Documentation Agents” is defined in the preamble.

    “Collateral Agent” is defined in the preamble and includes each other Person
appointed as successor Collateral Agent pursuant to Section 9.4.

    “Commercial Letter of Credit” means any Letter of Credit issued for the purpose of
providing the primary payment mechanism in connection with the purchase of any materials, goods or
services by the Borrower or any Subsidiary in the ordinary course of business of the Borrower or
such Subsidiary.

    “Commitment” means, as the context may require, the New Term Loan Commitment, the
Revolving Loan Commitment, the Letter of Credit Commitment or the Swing Line Loan Commitment.

    “Commitment Amount” means, as the context may require, the New Term Loan Commitment
Amount, the Revolving Loan Commitment Amount, the Letter of Credit Commitment Amount or the Swing
Line Loan Commitment Amount.

    “Commitment Termination Date” means, as the context may require, the New Term Loan
Commitment Termination Date or the Revolving Loan Commitment Termination Date.

    “Commitment Termination Event” means

     (a) the occurrence of any Event of Default with respect to the Borrower described in
clauses (a) through (d) of Section 8.1.9; or

     (b) the occurrence and continuance of any other Event of Default and either (i) the
declaration of all or any portion of the Loans to be due and payable pursuant to Section
8.3, or (ii) the giving of notice by the Administrative Agent, acting at the direction
of the Required Lenders, to the Borrower that the Commitments have been terminated.

    “Communications” is defined in clause (a) of Section 9.11.

    “Compliance Certificate” means a certificate duly completed and executed by an
Authorized Officer of the Borrower, substantially in the form of Exhibit E hereto.

    “Contingent Liability” means any agreement, undertaking or arrangement by which any
Person guarantees, endorses or otherwise becomes or is contingently liable upon (by direct or
indirect agreement, contingent or otherwise, to provide funds for payment, to supply funds to, or

9

 

otherwise to invest in, a debtor, or otherwise to assure a creditor against loss) the Indebtedness
of any other Person (other than by endorsements of instruments in the course of collection), or
guarantees the payment of dividends or other distributions upon the Capital Securities of any other
Person. The amount of any Person’s obligation under any Contingent Liability shall (subject to any
limitation with respect thereto) be deemed to be the outstanding principal amount of the debt,
obligation or other liability guaranteed thereby.

    “Continuation/Conversion Notice” means a notice of continuation or conversion and
certificate duly executed by an Authorized Officer of the Borrower, substantially in the form of
Exhibit C hereto.

    “Controlled Group” means all members of a controlled group of corporations and all
members of a controlled group of trades or businesses (whether or not incorporated) under common
control which, together with the Borrower, are treated as a single employer under Section 414(b) or
414(c) of the Code or Section 4001 of ERISA.

    “Copyright Security Agreement” means any Copyright Security Agreement executed and
delivered by any Obligor in substantially the form of Exhibit C to the Security Agreement, as
amended, supplemented, amended and restated or otherwise modified from time to time.

    “Co-Syndication Agents” is defined in the preamble.

    “Credit Extension” means, as the context may require,

     (a) the making of a Loan by a Lender; or

     (b) the issuance of any Letter of Credit, any amendment to or modification of any
Letter of Credit that increases the face amount thereof, or the extension of any Stated
Expiry Date of any existing Letter of Credit, by an Issuer.

    “Default” means any Event of Default or any condition, occurrence or event which,
after notice or lapse of time relating to any cure period or both, would constitute an Event of
Default.

    “Defaulting Lender” means any Lender that has (a) failed to fund any portion of its
Loans or participations in Letters of Credit or Swing Line Loans within three Business Days of the
date required to be funded by it hereunder, (b) notified the Borrower, the Administrative Agent,
the Issuers, the Swing Line Lender or any Lender in writing that it does not intend to comply with
any of its funding obligations under this Agreement or has made a public statement to the effect
that it does not intend to comply with its funding obligations under this Agreement or under other
agreements in which it commits to extend credit, (c) failed, within three Business Days after
written request by the Administrative Agent, to confirm that it will comply with the terms of this
Agreement relating to its obligations to fund prospective Loans and participations in
then outstanding Letters of Credit and Swing Line Loans, (d) otherwise failed to pay over to the
Administrative Agent or any other Lender any other amount (other than any other amount that is de
minimis) required to be paid by it hereunder within three Business Days of the date when due,
unless the subject of a good faith dispute, or (e) (i) become or is insolvent or has a parent
company that has become or is insolvent or (ii) become the subject of a bankruptcy or insolvency
proceeding, or has had a receiver, conservator, trustee or custodian appointed for it, or has taken

10

 

any action in furtherance of, or indicating its consent to, approval of or acquiescence in any such
proceeding or appointment or has a parent company that has become the subject of a bankruptcy or
insolvency proceeding, or has had a receiver, conservator, trustee or custodian appointed for it,
or has taken any action in furtherance of, or indicating its consent to, approval of or
acquiescence in any such proceeding or appointment; provided that a Lender shall not be a
Defaulting Lender solely by virtue of the ownership or acquisition by a Governmental Authority or
an instrumentality thereof of any equity interest in such Lender or a parent company thereof.

    “Disbursement” is defined in Section 2.6.2.

    “Disbursement Date” is defined in Section 2.6.2.

    “Disclosure Schedule” means the Disclosure Schedule attached hereto as Schedule
I, as it may be amended, supplemented, amended and restated or otherwise modified from time to
time by the Borrower with the written consent of, in the case of non-material modification, the
Administrative Agent and, in the case of material modifications the Required Lenders.

    “Disposition” (or similar words such as “Dispose”) means any sale, transfer,
lease (as lessor), contribution or other conveyance (including by way of merger) of, or the
granting of options, warrants or other rights to, any of the Borrower’s or its Subsidiaries’ assets
(including accounts receivable and Capital Securities of Subsidiaries) to any other Person in a
single transaction or series of transactions other than (i) to another Obligor, (ii) by a Foreign
Subsidiary to any other Foreign Subsidiary, (iii) by a Receivables Subsidiary to any other Person
or (iv) customary derivatives issued in connection with the issuance of convertible debt.

    “Dollar” and the sign “$” mean lawful money of the United States.

    “EBITDA” means, for any applicable period, the sum of

     (a) Net Income, plus

     (b) to the extent deducted in determining Net Income, the sum of (i) amounts
attributable to amortization (including amortization of goodwill and other intangible
assets), (ii) Federal, state, local and foreign income withholding, franchise, state single
business unitary and similar Tax expense, (iii) Interest Expense, (iv) depreciation of
assets, (v) all non-cash charges, including all non-cash charges associated with announced
restructurings, whether announced previously or in the future (such non-cash restructuring
charges being “Non-Cash Restructuring Charges”), (vi) net cash charges associated
with or related to any contemplated restructurings (such cost restructuring charges being
“Cash Restructuring Charges”) in an aggregate amount not to exceed $120,000,000
since September 5, 2006, (vii) all amounts in respect of extraordinary losses, (viii)
non-cash compensation expense, or other non-cash expenses or charges,arising from the sale of stock, the granting of stock options, the granting of stock
appreciation rights and similar arrangements (including any repricing, amendment,
modification, substitution or change of any such stock, stock option, stock appreciation
rights or similar arrangements), (ix) any financial advisory fees, accounting fees, legal
fees and other similar advisory and consulting fees, cash charges in respect of strategic
market reviews, management bonuses and early retirement of Indebtedness, and related
out-of-pocket expenses incurred by the

11

 

Borrower or any of its Subsidiaries as a result of the Transaction, including fees and expenses in connection with the issuance, redemption or
exchange of the 2016 Senior Notes, all determined in accordance with GAAP, (x) non-cash or
unrealized losses on agreements with respect to Hedging Obligations and (xi) to the extent
non-recurring and not capitalized, any financial advisory fees, accounting fees, legal fees
and similar advisory and consulting fees and related costs and expenses of the Borrower and
its Subsidiaries incurred as a result of Permitted Acquisitions, Investments, Restricted
Payments, Dispositions permitted hereunder and the issuance of Capital Securities or
Indebtedness permitted hereunder, all determined in accordance with GAAP and in each case
eliminating any increase or decrease in income resulting from non-cash accounting
adjustments made in connection with the related Permitted Acquisition or Dispositions, (xii)
losses on agreements with respect to Hedging Obligations and any related tax losses and any
costs, fees, and expenses related to the termination thereof, in each case incurred in
connection with or as a result of the Transaction, (xiii) to the extent the related loss is
not added back pursuant to clause (c), all proceeds of business interruption
insurance policies, (xiv) expenses incurred by the Borrower or any Subsidiary to the extent
reimbursed in cash by a third party, and (xv) extraordinary, unusual or non-recurring cash
charges not to exceed $10,000,000 in any Fiscal Year, minus

     (c) to the extent included in determining such Net Income, the sum of (i) all amounts
in respect of extraordinary gains, (ii) non-cash gains on agreements with respect to Hedging
Obligations, (iii) reversals (in whole or in part) of any restructuring charges previously
treated as Non-Cash Restructuring Charges in any prior period, (iv) gains on agreements with
respect to Hedging Obligations and any related tax gains, in each case incurred in
connection with or as a result of the Transaction and (v) non-cash items increasing such Net
Income for such period, other than (A) the accrual of revenue consistent with past practice
and (B) the reversal in such period of an accrual of, or cash reserve for, cash expenses in
a prior period, to the extent such accrual or reserve did not increase EBITDA in a prior
period.

    “Eligible Assignee” means (i) in the case of an assignment of a New Term Loan, (A) a
Lender, (B) an Affiliate of a Lender, (C) an Approved Fund or (D) any other Person (other than an
Ineligible Assignee), and (ii) in the case of any assignment of the Revolving Loan Commitment or
Revolving Loans, (A) a Lender, (B) an Affiliate of a Lender or (C) any other Person (other than an
Ineligible Assignee) approved by the Borrower (such approval of the Borrower not to be unreasonably
withheld or delayed) unless an Event of Default has occurred and is continuing.

   “EMU” means Economic and Monetary Union as contemplated in the Treaty on European
Union.

    “EMU Legislation” means legislative measures of the European Council (including
European Council regulations) for the introduction of, changeover to or operation of a single or
unified European currency (whether known as the Euro or otherwise), being in part the
implementation of the third stage of EMU.

    “Environmental Laws” means all applicable federal, state or local statutes, laws,
ordinances, codes, rules, regulations and legally binding guidelines (including consent decrees and

12

 

administrative orders) relating to protection of public health and safety from environmental
hazards and protection of the environment.

    “Equity Equivalents” means with respect to any Person any rights, warrants, options,
convertible securities, exchangeable securities, indebtedness or other rights, in each case
exercisable for or convertible or exchangeable into, directly or indirectly, Capital Securities of
such Person or securities exercisable for or convertible or exchangeable into Capital Securities of
such Person, whether at the time of issuance or upon the passage of time or the occurrence of some
future event.

    “ERISA” means the Employee Retirement Income Security Act of 1974, as amended, and any
successor statute thereto of similar import, together with the regulations thereunder, in each case
as in effect from time to time. References to Sections of ERISA also refer to any successor
Sections thereto.

    “Euros” means the single currency of Participating Member States of the European
Union.

   “Event of Default” is defined in Section 8.1.

    “Excess Cash Flow” means, for any Fiscal Year, the excess (if any), of

     (a) EBITDA for such Fiscal Year

     minus

     (b) the sum (for such Fiscal Year) of (i) Interest Expense actually paid in cash by the
Borrower and its Subsidiaries, (ii) scheduled principal repayments with respect to the
permanent reduction of Indebtedness, to the extent actually made, (iii) all Federal, state,
local and foreign income withholding, franchise, state single business unitary and similar
Taxes actually paid in cash or payable (only to the extent related to Taxes associated with
such Fiscal Year) by the Borrower and its Subsidiaries, (iv) Capital Expenditures to the
extent (x) actually made by the Borrower and its Subsidiaries in such Fiscal Year or (y)
committed to be made by the Borrower and its Subsidiaries and that are permitted to be
carried forward to the next succeeding Fiscal Year pursuant to Section 7.2.7;
provided that the amounts deducted from Excess Cash Flow pursuant to preceding
clause (y) shall not thereafter be deducted in the determination of Excess Cash Flow
for the Fiscal Year during which such payments were actually made, (v) the portion of the
purchase price paid in cash with respect to Permitted Acquisitions to the extent such
Permitted Acquisition was made in connection with the Borrower’s offshore migration of its
supply chain, (vi) to the extent permitted to be included in the calculation of EBITDA
for such Fiscal Year, the amount of Cash Restructuring Charges actually so included in
such calculation and (vii) without duplication to any amounts deducted in preceding
clauses (i) through (vi), all items added back to EBITDA pursuant to clause
(b) of the definition thereof that represent amounts actually paid in cash.

    “Excluded Properties” means the “Commerce” property, “Canterbury” property and
“Northridge” property (each as identified under the “Facility Name” column of the table set forth
in Item 6.9(b) of the Disclosure Schedule).

13

 

    “Exemption Certificate” is defined in clause (e) of Section 4.6.

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

    “Existing Letters of Credit” means each of the Letters of Credit issued by an Issuer
and outstanding on the Restatement Effective Date, as listed on Schedule III hereto.

    “Extended Revolving Loan Commitment” means, with respect to any Extending Revolving Loan
Lender at any time, such Lender’s Revolving Loan Commitment extended pursuant to the First
Amendment.

    “Extended Termination Date” means December 10, 2015.

    “Extending Revolving Loan Lender” means any Revolving Loan Lender which has agreed to
extend its Revolving Loan Commitment pursuant to the First Amendment.

    “Federal Funds Rate” means, for any period, a fluctuating interest rate per annum
equal for each day during such period to (i) the weighted average of the rates on overnight federal
funds transactions with members of the Federal Reserve System arranged by federal funds brokers, as
published for such day (or, if such day is not a Business Day, for the next preceding Business Day)
by the Federal Reserve Bank of New York, or (ii) if such rate is not so published for any day which
is a Business Day, the average of the quotations for such day on such transactions received by the
Administrative Agent from three federal funds brokers of recognized standing selected by it.

    “Filing Agent” is defined in Section 5.1.11.

    “Filing Statements” is defined in Section 5.1.11.

    “First Amendment” means the First Amendment to this Agreement dated as of the First
Amendment Effective Date.

    “First Amendment Effective Date” means February 17, 2011.

    “First Joinder Agreement” means the Joinder Agreement dated as of September 1, 2010
pursuant to which the Revolving Loan Commitment Amount was increased from $400,000,000 to
$600,000,000.

    “Fiscal Quarter” means a quarter ending on the Saturday nearest to the last day of
March, June, September or December.

    “Fiscal Year” means any period of fifty-two or fifty-three consecutive calendar weeks
ending on the Saturday nearest to December 31; references to a Fiscal Year with a number
corresponding to any calendar year (e.g., the “2009 Fiscal Year”) refer to the Fiscal Year
ending on the Saturday nearest to December 31 of such calendar year.

    “Foreign Pledge Agreement” means any supplemental pledge agreement governed by the
laws of a jurisdiction other than the United States or a State thereof executed and delivered by
the Borrower or any of its Subsidiaries pursuant to the terms of this Agreement, in form and
substance

14

 

reasonably satisfactory to the Lead Arrangers, as necessary under the laws of
organization or incorporation of a Foreign Subsidiary to further protect or perfect the Lien on and
security interest in any Capital Securities issued by such Foreign Subsidiary constituting
Collateral (as defined in the Security Agreement), including any Foreign Pledge Agreement as
amended in accordance with Section 7.1.11.

    “Foreign Subsidiary” means any Subsidiary that is not a U.S. Subsidiary or a
Receivables Subsidiary.

    “Foreign Working Capital Lender” means each Person that is (or at the time such
Indebtedness was incurred, was) a Lender or an Affiliate of a Lender to whom a Foreign Subsidiary
owes Indebtedness that was permitted to be incurred pursuant to clause (n) of Section
7.2.2.

    “F.R.S. Board” means the Board of Governors of the Federal Reserve System or any
successor thereto.

    “GAAP” is defined in Section 1.4.

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

    “Guaranty” means the amended and restated guaranty executed and delivered by an
Authorized Officer of the Borrower and each U.S. Subsidiary pursuant to the terms of this
Agreement, substantially in the form of Exhibit F hereto, as amended, supplemented, amended
and restated or otherwise modified from time to time.

    “Hazardous Material” means (i) any “hazardous substance”, as defined by CERCLA, (ii)
any “hazardous waste”, as defined by the Resource Conservation and Recovery Act, as amended, or
(iii) any pollutant or contaminant or hazardous, dangerous or toxic chemical, material or substance
(including any petroleum product) within the meaning of any other Environmental Laws.

    “Hedging Obligations” means, with respect to any Person, all liabilities of such
Person under foreign exchange contracts, commodity hedging agreements, currency exchange
agreements, interest rate swap agreements, interest rate cap agreements and interest rate collar
agreements, and all other agreements or arrangements designed to protect such Person against
fluctuations in interest rates, currency exchange rates or commodity prices.

    “herein”, “hereof”, “hereto”, “hereunder” and similar terms
contained in any Loan Document refer to such Loan Document as a whole and not to any particular
Section, paragraph or provision of such Loan Document.

    “HSBC” means HSBC Bank USA, National Association, in its individual capacity, and any
successor thereto by merger, consolidation or otherwise.

15

 

    “Impermissible Qualification” means any qualification or exception to the opinion or
certification of any independent public accountant as to any financial statement of the Borrower
(i) which is of a “going concern” or similar nature, (ii) which relates to the limited scope in any
material respect of examination of matters relevant to such financial statement, or (iii) which
relates to the treatment or classification of any item in such financial statement (excluding
treatment or classification changes which are the result of changes in GAAP or the interpretation
of GAAP) and which, as a condition to its removal, would require an adjustment to such item the
effect of which would be to cause the Borrower to be in Default.

    “including” and “include” means including without limiting the generality of
any description preceding such term, and, for purposes of each Loan Document, the parties hereto
agree that the rule of ejusdem generis shall not be applicable to limit a general statement, which
is followed by or referable to an enumeration of specific matters, to matters similar to the
matters specifically mentioned.

    “Increased Amount Date” is defined in Section 2.9.

    “Incremental Loan CommitmentCredit Increase” is defined in Section
2.9.

    “Incremental Lender” means any Incremental Revolving Lender or Incremental Term Loan
Lender.

    “Incremental Revolving Commitments” is defined in Section 2.9.

    “Incremental Revolving Lender” is defined in Section 2.9.

    “Incremental Revolving Loan” is defined in Section 2.9.

    “Incremental Term Loan Lender” is defined in Section 2.9.

    “Incremental Term Loan” is defined in Section 2.9.

    “Incremental Term Loan Commitment” is defined in Section 2.9.

    “Indebtedness” of any Person means, (i) all obligations of such Person for borrowed
money or advances and all obligations of such Person evidenced by bonds, debentures, notes or
similar instruments, (ii) all monetary obligations, contingent or otherwise, relative to the face
amount of all letters of credit, whether or not drawn, and banker’s acceptances issued for the
account of such Person, (iii) all Capitalized Lease Liabilities of such Person, (iv) for purposes
of Section 8.1.5 only, net Hedging Obligations of such Person, (v) 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 (excluding trade accounts payable and accrued expenses in
the ordinary course of business which are not overdue for a period of more than 90 days or, if
overdue for more than 90 days, as to which a dispute exists and adequate reserves in conformity
with GAAP have been established on the books of such Person), (vi) indebtedness secured by (or for
which the holder of such indebtedness has an existing right, contingent or otherwise, to be secured
by) a Lien on property owned or being acquired by such Person (including indebtedness arising under
conditional sales or other title retention agreements), whether or not such indebtedness shall

16

 

have been assumed by such Person or is limited in recourse (provided that in the event
such indebtedness is limited in recourse solely to the property subject to such Lien, for the
purposes of this Agreement the amount of such indebtedness shall not exceed the greater of the book
value or the fair market value (as determined in good faith by the Borrower’s board of directors)
of the property subject to such Lien), (vii) monetary obligations arising under Synthetic Leases,
(viii) the full outstanding balance of trade receivables, notes or other instruments sold with full
recourse (and the portion thereof subject to potential recourse, if sold with limited recourse),
other than in any such case any thereof sold solely for purposes of collection of delinquent
accounts and other than in connection with any Permitted Securitization or any Permitted Factoring
Facility, (ix) all obligations (other than intercompany obligations) of such Person pursuant to any
Permitted Securitization (other than Standard Securitization Undertakings) or any Permitted
Factoring Facility, and (x) all Contingent Liabilities of such Person in respect of any of the
foregoing. The Indebtedness of any Person shall include the Indebtedness of any other Person
(including any partnership in which such Person is a general partner) to the extent such Person is
liable therefore as a result of such Person’s ownership interest in or other relationship with such
Person, except to the extent the terms of such Indebtedness provide that such Person is not liable
thereforetherefor.

     “Indemnified Liabilities” is defined in Section 10.4.

     “Indemnified Parties” is defined in Section 10.4.

     “Ineligible Assignee” means a natural Person, the Borrower, any Affiliate of the
Borrower or any other Person taking direction from, or working in concert with, the Borrower or any
of the Borrower’s Affiliates.

     “Information” is defined in Section 10.19.

     “Interest Coverage Ratio” means, as of the last day of any Fiscal Quarter, the ratio
computed for the period consisting of such Fiscal Quarter and each of the three immediately
preceding Fiscal Quarters of:

     (a) EBITDA (for all such Fiscal Quarters)

     to

     (b) the sum (for all such Fiscal Quarters) of Interest Expense.

     “Interest Expense” means, for any applicable period, the aggregate interest expense
(both, without duplication, when accrued or paid and net of interest income paid during such period
to the Borrower and its Subsidiaries) of the Borrower and its Subsidiaries for such applicable
period, including the portion of any payments made in respect of Capitalized Lease Liabilities
allocable to interest expense; provided that the term “Interest Expense” shall not include
any interest expense attributable to a Permitted Factoring Facility.

     “Interest Period” means, relative to any LIBO Rate Loan, the period beginning on (and
including) the date on which such LIBO Rate Loan is made or continued as, or converted into, a LIBO
Rate Loan pursuant to Sections 2.3 or 2.4 and shall end on (but exclude) the day
which numerically corresponds to such date one, two, three or six months and, if agreed by all
affected

17

 

Lenders, one or two weeks or 9 or 12 months thereafter (or, if any such month has no
numerically corresponding day, on the last Business Day of such month), as the Borrower may select
in its relevant notice pursuant to Sections 2.3 or 2.4; provided that,

     (a) the Borrower shall not be permitted to select Interest Periods to be in effect at
any one time which have expiration dates occurring on more than twelve different dates; and

     (b) if such Interest Period would otherwise end on a day which is not a Business Day,
such Interest Period shall end on the next following Business Day (unless such next
following Business Day is the first Business Day of a calendar month, in which case such
Interest Period shall end on the Business Day next preceding such numerically corresponding
day).

     “Investment” means, relative to any Person, (i) any loan, advance or extension of
credit made by such Person to any other Person, including the purchase by such Person of any bonds,
notes, debentures or other debt securities of any other Person, and (ii) any Capital Securities
held by such Person in any other Person. The amount of any Investment shall be the original
principal or capital amount thereof less all returns of principal or equity thereon and shall, if
made by the transfer or exchange of property other than cash, be deemed to have been made in an
original principal or capital amount equal to the fair market value of such property at the time of
such Investment.

     “ISP Rules” is defined in Section 10.9.

     “Issuance Request” means a Letter of Credit request and certificate duly executed by
an Authorized Officer of the Borrower, substantially in the form of Exhibit B-2 hereto, or
in such electronic format as an Issuer and the Administrative Agent in their discretion accept.
Each Issuance Request delivered in an electronic format shall constitute for all purposes of this
Agreement a certification by an Authorized Officer as to the matters set forth in Exhibit
B-2.

     “Issuer” means HSBC or another Lender selected by the Borrower and reasonably
acceptable to the Administrative Agent, in each case, in its capacity as an Issuer of the Letters
of Credit. At the request of HSBC and with the Borrower’s consent (not to be unreasonably withheld
or delayed), another Lender or an Affiliate of HSBC may issue one or more Letters of Credit
hereunder, in which case the term “Issuer” shall include any such Affiliate or other Lender with
respect to Letters of Credit issued by such Affiliate or such Lender.

     “Joinder Agreement” is defined in Section 2.9.

     “Judgment Currency” is defined in Section 10.16.

     “JPMorgan” means JPMorgan Chase Bank, N.A.

     “Lead Arrangers” is defined in the preamble.

     “Lender Assignment Agreement” means an assignment agreement substantially in the form
of Exhibit D hereto.

18

 

     “Lenders” is defined in the preamble.

     “Lender’s Environmental Liability” means any and all losses, liabilities, obligations,
penalties, claims, litigation, demands, defenses, costs, judgments, suits, proceedings, damages
(including consequential damages), disbursements or expenses of any kind or nature whatsoever
(including reasonable attorneys’ fees at trial and appellate levels and experts’ fees and
disbursements and expenses incurred in investigating, defending against or prosecuting any
litigation, claim or proceeding) which may at any time be imposed upon, incurred by or asserted or
awarded against the Administrative Agent, any Lender or any Issuer or any of such Person’s
Affiliates, shareholders, directors, officers, employees, and agents in connection with or arising
from:

     (a) any Hazardous Material on, in, under or affecting all or any portion of any
property of the Borrower or any of its Subsidiaries, the groundwater thereunder, or any
surrounding areas thereof to the extent caused by Releases from the Borrower’s or any of its
Subsidiaries’ or any of their respective predecessors’ properties;

     (b) any misrepresentation, inaccuracy or breach of any warranty, contained or referred
to in Section 6.12;

     (c) any violation or claim of violation by the Borrower or any of its Subsidiaries of
any Environmental Laws; or

     (d) the imposition of any lien for damages caused by or the recovery of any costs for
the cleanup, release or threatened release of Hazardous Material by the Borrower or any of
its Subsidiaries, or in connection with any property owned or formerly owned by the Borrower
or any of its Subsidiaries.

     “Letter of Credit” means a letter of credit that is a Standby Letter of Credit or
Commercial Letter of Credit. For greater certainty Letters of Credit shall include all Existing
Letters of Credit.

     “Letter of Credit Commitment” means an Issuer’s obligation to issue Letters of Credit
pursuant to Section 2.1.2.

     “Letter of Credit Commitment Amount” means, on any date, a maximum amount equal to
$150,000,000, as such amount may be permanently reduced from time to time pursuant to Section
2.2.

     “Letter of Credit Outstandings” means, on any date, an amount equal to the sum of (i)
the then aggregate amount which is undrawn and available under all issued and outstanding Letters
of Credit, and (ii) the then aggregate amount of all unpaid and outstanding Reimbursement
Obligations.

     “Leverage Ratio” means, as of the last day of any Fiscal Quarter, the ratio of

     (a) Total Debt outstanding on the last day of such Fiscal Quarter

     to

19

 

     (b) EBITDA computed for the period consisting of such Fiscal Quarter and each of the
three immediately preceding Fiscal Quarters.

     “LIBO Rate” means, relative to any Interest Period pertaining to a LIBO Rate Loan, the
rate per annum determined on the basis of the rate for deposits in Dollars for a period equal to
such Interest Period commencing on the first day of such Interest Period appearing on the Reuters
Screen LIBOR01 Page as of 11:00 A.M., London time, two Business Days prior to the beginning of such
Interest Period. In the event that such rate does not appear on such page (or otherwise on such
screen), the “LIBO Rate” shall be determined by reference to such other comparable publicly
available service for displaying eurodollar rates as may be selected by the Administrative Agent
or, in the absence of such availability, by reference to the rate at which the Administrative Agent
is offered Dollar deposits at or about 11:00 A.M., New York City time, two Business Days prior to
the beginning of such Interest Period in the interbank eurodollar market where its eurodollar and
foreign currency and exchange operations are then being conducted for delivery on the first day of
such Interest Period for the number of days comprised therein. Notwithstanding the foregoing, with
respect to any New Term Loan, the LIBO Rate shall not be less than 2.00% per annum.

     “LIBO Rate Loan” means a Loan bearing interest, at all times during an Interest Period
applicable to such Loan, at a rate of interest determined by reference to the LIBO Rate (Reserve
Adjusted).

     “LIBO Rate (Reserve Adjusted)” means, relative to any Loan to be made, continued or
maintained as, or converted into, a LIBO Rate Loan for any Interest Period, a rate per annum
determined pursuant to the following formula:

	 	 	 	 	 

	LIBO Rate
	 	=
	 	LIBO Rate
	 
	 	 	 	 
	(Reserve Adjusted)
	 	 	 	1.00 — LIBOR Reserve Percentage

The LIBO Rate (Reserve Adjusted) for any Interest Period for LIBO Rate Loans will be determined by
the Administrative Agent on the basis of the LIBOR Reserve Percentage in effect, and the applicable
rates furnished to and received by the Administrative Agent, two Business Days before the first day
of such Interest Period.

     “LIBOR Reserve Percentage” means, relative to any Interest Period for LIBO Rate Loans,
the reserve percentage (expressed as a decimal) equal to the maximum aggregate reserve requirements
(including all basic, emergency, supplemental, marginal and other reserves and taking into account
any transitional adjustments or other scheduled changes in reserve requirements) specified under
regulations issued from time to time by the F.R.S. Board and then applicable to assets or
liabilities consisting of or including “Eurocurrency Liabilities”, as currently defined in
Regulation D of the F.R.S. Board, having a term approximately equal or comparable to such Interest
Period.

     “Lien” means any security interest, mortgage, pledge, hypothecation, assignment,
deposit arrangement, encumbrance, lien (statutory or otherwise), charge against or interest in
property, or other priority or preferential arrangement of any kind or nature whatsoever.

20

 

     “Loan Documents” means, collectively, this Agreement, the First Joinder Agreement,
the First Amendment, the Notes, the Letters of Credit, the Open Account Paying Agreements, each
Rate Protection Agreement, the Security Agreement, each Mortgage, each Foreign Pledge Agreement,
each other agreement pursuant to which the Collateral Agent is granted by the Borrower or its
Subsidiaries a Lien to secure the Obligations, and the Guaranty; provided, however,
that for purposes of the definition of “Material Adverse Effect” below, references therein to any
“Loan Document(s)” shall not include any Foreign Pledge Agreement.

     “Loans” means, as the context may require, a Revolving Loan, a New Term Loan or a
Swing Line Loan of any type.

     “Material Adverse Effect” means any event, development or circumstance that has had or
could reasonably be expected to have a material adverse effect on (i) the business, financial
condition, operations, performance, or assets of the Borrower and its Subsidiaries (other than any
Receivables Subsidiary) taken as a whole, (ii) the validity or enforceability of any of the Loan
Documents or the rights and remedies of any Secured Party under any Loan Document or (iii) the
ability of any Obligor to perform when due its Obligations under any Loan Document.

     “Measurement Period” means, for any determination under this Agreement, the period of the
four consecutive Fiscal Quarters most recently ended.

     “Moody’s” means Moody’s Investors Service, Inc. and its successors.

     “Mortgage” means each mortgage, deed of trust or agreement executed and delivered by
any Obligor in favor of the Administrative Agent for the benefit of the Secured Parties pursuant to
the requirements of this Agreement in form and substance reasonably satisfactory to the Lead
Arrangers, under which a Lien is granted on such real property and fixtures described therein, in
each case as amended in accordance with Section 7.1.11 and as further amended,
supplemented, amended and restated or otherwise modified from time to time.

     “Mortgaged Property” means each parcel of real property set forth on Item 6.9(a) of
the Disclosure Schedule.

     “Net Casualty Proceeds” means, with respect to any Casualty Event, the amount of any
insurance proceeds or condemnation awards received by the Borrower or any of its U.S. Subsidiaries
in connection with such Casualty Event (net of all collection or similar expenses related thereto),
but excluding any proceeds or awards required to be paid to a creditor (other than the Lenders)
which holds a first priority Lien permitted by clause (d) of Section 7.2.3 on the
property which is the subject of such Casualty Event.

     “Net Debt Proceeds” means, with respect to the sale or issuance by the Borrower or any
of its U.S. Subsidiaries (other than a Receivables Subsidiary or a Subsidiary party to a Permitted
Factoring Facility) of any Indebtedness to any other Person after the Restatement Effective Date
pursuant to clause (b)(iii) of Section 7.2.2 or which is not expressly permitted by
Section 7.2.2, the excess of (i) the gross cash proceeds actually received by such Person from such sale or
issuance, over (ii) all arranging or underwriting discounts, fees, costs, expenses and commissions,
and all legal, investment banking, brokerage and accounting and other professional fees, sales
commissions and disbursements and other closing costs and expenses actually incurred in

21

 

connection with such sale or issuance other than any such fees, discounts, commissions or disbursements paid
to Affiliates of the Borrower or any such Subsidiary in connection therewith.

     “Net Disposition Proceeds” means the gross cash proceeds received by the Borrower or
its U.S. Subsidiaries from any Disposition pursuant to clauses (j) (l), (m)
or (n) of Section 7.2.11 or Section 7.2.15 and any cash payment received in
respect of promissory notes or other non-cash consideration delivered to the Borrower or its U.S.
Subsidiaries in respect thereof, minus the sum of (i) all legal, investment banking,
brokerage, accounting and other professional fees, costs, sales commissions and expenses and other
closing costs, fees and expenses incurred in connection with such Disposition, (ii) all taxes
actually paid or estimated by the Borrower to be payable in cash in connection with such
Disposition, (iii) payments made by the Borrower or its U.S. Subsidiaries to retire Indebtedness
(other than the Credit Extensions) where payment of such Indebtedness is required in connection
with such Disposition and (iv) any liability reserves established by the Borrower or such
Subsidiary in respect of such Disposition in accordance with GAAP; provided that, if the
amount of any estimated taxes pursuant to clause (ii) exceeds the amount of taxes required
to be paid in cash in respect of such Disposition, the aggregate amount of such excess shall
constitute Net Disposition Proceeds and to the extent any such reserves described in clause
(iv) are not fully used at the end of any applicable period for which such reserves were
established, such unused portion of such reserves shall constitute Net Disposition Proceeds.

     “Net Income” means, for any period, the aggregate of all amounts which would be
included as net income on the consolidated financial statements of the Borrower and its
Subsidiaries for such period.

     “New Term Loan Commitment” means, relative to any Lender, such Lender’s obligation (if
any) to make New Term Loans pursuant to Section 2.1.3.

     “New Term Loan Commitment Amount” means, on any date, $750,000,000.

     “New Term Loan Commitment Termination Date” means the earliest of

     (a) December 31, 2009 (if the New Term Loans have not been made on or prior to such
date);

     (b) the Restatement Effective Date (immediately after the making of the New Term Loans
on such date); and

     (c) the date on which any Commitment Termination Event occurs.

          Upon the occurrence of any event described above, the New Term Loan Commitments shall
terminate automatically and without any further action.

     “New Term Loans” is defined in Section 2.1.3.

    “New Term Note” means a promissory note of the Borrower payable to any Lender, in the
form of Exhibit A-2 hereto (as such promissory note may be amended, endorsed or otherwise
modified from time to time), evidencing the aggregate Indebtedness of the Borrower to such

22

 

Lender resulting from outstanding New Term Loans, and also means all other promissory notes accepted from
time to time in substitution therefor or renewal thereof.

     “New Term Percentage” means, relative to any Lender, the applicable percentage
relating to New Term Loans set forth opposite its name on Schedule II hereto under the New
Term Loan Commitment column or set forth in a Lender Assignment Agreement under the New Term Loan
Commitment column, as such percentage may be adjusted from time to time pursuant to Lender
Assignment Agreements executed by such Lender and its assignee Lender and delivered pursuant to
Section 10.11. A Lender shall not have any New Term Loan Commitment if its percentage
under the New Term Loan Commitment column is zero.

     “Non-Cash Restructuring Charges” is defined in the definition of “EBITDA”.

     “Non-Consenting Lender” is defined in Section 4.11.

     “Non-Defaulting Lender” means a Lender other than a Defaulting Lender.

     “Non-Excluded Taxes” means any Taxes other than (i) net income and franchise Taxes
imposed on (or measured by) net income or net profits with respect to any Secured Party by any
Governmental Authority under the laws of which such Secured Party is organized or in which it
maintains its applicable lending office, (ii) any branch profit taxes or any similar taxes imposed
by the United States of America or any other Governmental Authority described in clause
(i), (iii) Other Taxes, and (iv) any United States federal withholding taxes imposed on amounts
payable to any Secured Party at the time such recipient becomes a party to this Agreement (or
designates a new lending office) except to the extent that such Secured Party (or its assignor, if
any) was entitled, at the time of the designation of a new lending office (or assignment), to
receive additional amounts from the Borrower with respect to such withholding taxes pursuant to
Section 4.6(a)(1) or 4.6(d).

     “Non-Extended Revolving Loan Commitment” means any Revolving Loan Commitment not extended
pursuant to the First Amendment.

     “Non-Extended Termination Date” means December 10, 2013.

     “Non-Extending Revolving Loan Lender” means any Revolving Loan Lender which has not agreed
to extend its Revolving Loan Commitment to the Extended Termination Date pursuant to the First
Amendment Effective Date.

     “Non-U.S. Lender” means any Lender that is not a “United States person”, as defined
under Section 7701(a)(30) of the Code.

     “Note” means, as the context may require, a New Term Note, a Revolving Note or a Swing
Line Note.

     “OA Payment Obligations” is defined in the definition of “Open Account Paying
Agreement”.

23

 

     “OA Payment Outstandings” means, on any date, the aggregate amount of OA Payment
Obligations owed by the Obligors under all Open Account Paying Agreements.

     “Obligations” means all obligations (monetary or otherwise, whether absolute or
contingent, matured or unmatured) of the Borrower and each other Obligor arising under or in
connection with a Loan Document, including Reimbursement Obligations and OA Payment Obligations and
the principal of and premium, if any, and interest (including interest accruing during the pendency
of any proceeding of the type described in Section 8.1.9, whether or not allowed in such
proceeding) on the Loans.

     “Obligor” means, as the context may require, the Borrower, each Subsidiary Guarantor
and each other Person (other than a Secured Party) obligated (other than Persons solely consenting
to or acknowledging such document) under any Loan Document.

     “OFAC” is defined in Section 6.15.

     “OID” is defined in Section 2.9.

     “Open Account Discount Agreement” is defined in the definition of “Open Account Paying
Agreement”.

     “Open Account Discount Purchase” means a purchase, made at a discount pursuant to an
Open Account Discount Agreement, by an Open Account Discount Purchaser from an Open Account
Supplier of account receivables in respect of obligations owed by an Obligor.

     “Open Account Discount Purchaser” is defined in the definition of “Open Account Paying
Agreement”.

     “Open Account Paying Agreement” means an open account paying agency agreement
between or among a Lender or any of its Affiliates and an Obligor, as identified as an “Open
Account Paying Agreement” through notice given from each party thereto to the Administrative Agent,
and/or any other agreement or acknowledgment pursuant to which an Obligor has committed to pay such
Lender or its Affiliates the full face amount of any account receivable in respect of obligations
owed by an Obligor (the “OA Payment Obligations”) purchased by such Lender or its
Affiliates (each, an “Open Account Discount Purchaser”) from certain vendors or other
obligees of an Obligor prior to the Revolving Loan CommitmentExtended Termination Date
(each, an “Open Account Supplier”) (each agreement pursuant to which such account
receivables are purchased from an Open Account Supplier, an “Open Account Discount
Agreement”).

     “Open Account Supplier” is defined in the definition of “Open Account Paying
Agreement”.

     “Organic Document” means, relative to any Obligor, as applicable, its articles or
certificate of incorporation, by-laws, certificate of partnership, partnership agreement,
certificate of formation, limited liability agreement, operating agreement and all shareholder agreements,
voting trusts and similar arrangements applicable to any of such Obligor’s Capital Securities.

24

 

     “Original Closing Date” means September 5, 2006.

     “Original Credit Agreement” means the Credit Agreement dated as of September 5, 2006,
as amended prior to the Restatement Effective Date, among the Borrower, the lenders party thereto,
Citi, as administrative agent and collateral agent, and the co-documentation agents, syndication
agents and lead arrangers party thereto.

     “Original Currency” is defined in Section 10.16.

     “Other Taxes” means any and all stamp, documentary or similar Taxes, or any other
excise or property Taxes or similar levies that arise on account of any payment made or required to
be made under any Loan Document or from the execution, delivery, registration, recording or
enforcement of any Loan Document.

     “Participant” is defined in clause (e) of Section 10.11.

     “Participating Member State” means each country so described in any EMU Legislation.

     “Patent Security Agreement” means any Patent Security Agreement executed and delivered
by any Obligor in substantially the form of Exhibit A to the Security Agreement, as amended,
supplemented, amended and restated or otherwise modified from time to time.

     “Patriot Act” means the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law
October 26, 2001)), as amended and supplemented from time to time.

     “Patriot Act Disclosures” means all documentation and other information available to
the Borrower or its Subsidiaries which a Lender, if subject to the Patriot Act, is required to
provide pursuant to the applicable section of the Patriot Act and which required documentation and
information the Administrative Agent or any Lender reasonably requests in order to comply with
their ongoing obligations under applicable “know your customer” and anti-money laundering rules and
regulations, including the Patriot Act.

     “PBGC” means the Pension Benefit Guaranty Corporation and any Person succeeding to any
or all of its functions under ERISA.

     “Pension Plan” means a “pension plan”, as such term is defined in Section 3(2) of
ERISA, which is subject to Title IV of ERISA (other than a multiemployer plan as defined in Section
4001(a)(3) of ERISA), and to which the Borrower or any corporation, trade or business that is,
along with the Borrower, a member of a Controlled Group, may have liability, including any
liability by reason of having been a substantial employer within the meaning of Section 4063 of
ERISA at any time during the preceding five years, or by reason of being deemed to be a
contributing sponsor under Section 4069 of ERISA.

     “Percentage” means, as the context may require, any Lender’s Revolving Loan Percentage
or New Term Percentage.

     “Permitted Acquisition” means an acquisition (whether pursuant to an acquisition of a
majority of the Capital Securities of a target or all or substantially all of a target’s assets or
any

25

 

division or line of business of a target or merger) by the Borrower or any Subsidiary from any
Person of a business in which the following conditions are satisfied:

     (a) the Borrower shall have delivered a certificate certifying that before and after
giving effect to such acquisition, the representations and warranties set forth in each Loan
Document shall, in each case, be true and correct in all material respects with the same
effect as if then made (unless stated to relate solely to an earlier date, in which case
such representations and warranties shall be true and correct in all material respects as of
such earlier date) and no Default has occurred and is continuing or would result therefrom;
and

     (b) the Borrower shall have delivered to the Administrative Agent a Compliance
Certificate for the period of four full Fiscal Quarters immediately preceding such
acquisition (prepared in good faith and in a manner and using such methodology which is
consistent with the most recent financial statements delivered pursuant to Section
7.1.1) giving pro forma effect to the consummation of such acquisition
and evidencing compliance with the covenants set forth in Section 7.2.4.

     “Permitted Factoring Facility” means any and all agreements or facilities entered into
by the Borrower or any of its Subsidiaries for the purpose of factoring its receivables for cash
consideration.

     “Permitted Liens” is defined in Section 7.2.3.

     “Permitted Securitization” means any Disposition by the Borrower or any of its
Subsidiaries consisting of Receivables and related collateral, credit support and similar rights
and any other assets that are customarily transferred in a securitization of receivables, pursuant
to one or more securitization programs, to a Receivables Subsidiary or a Person who is not an
Affiliate of the Borrower; provided that (i) the consideration to be received by the
Borrower and its Subsidiaries other than a Receivables Subsidiary for any such Disposition consists
of cash, a promissory note or a customary contingent right to receive cash in the nature of a
“hold-back” or similar contingent right, (ii) no Default shall have occurred and be continuing or
would result therefrom and (iii) the aggregate outstanding balance of the Indebtedness in respect
of all such programs at any point in time is not in excess of $400,000,000.

     “Person” means any natural person, corporation, limited liability company,
partnership, joint venture, association, trust or unincorporated organization, Governmental
Authority or any other legal entity, whether acting in an individual, fiduciary or other capacity.

     “Platform” is defined in clause (b) of Section 9.11.

     “Pro Forma Unsecured Indebtedness” is defined in Section 7.2.2(s).

     “Pro Forma Unsecured Indebtedness Documents” means any indenture or other agreement, or
any bonds, debentures, notes or other instruments, executed and delivered with respect to Pro Forma
Unsecured Indebtedness, as the same may be amended, supplemented
amended and restated or otherwise modified from time to time in accordance with this
Agreement.

26

 

     “Purchase Money Note” means a promissory note evidencing a line of credit, or
evidencing other Indebtedness owed to the Borrower or any Subsidiary in connection with a Permitted
Securitization or Permitted Factoring Facility, which note shall be repaid from cash available to
the maker of such note, other than amounts required to be established as reserves, amounts paid to
investors in respect of interest, principal and other amounts owing to such investors and amounts
paid in connection with the purchase of newly generated accounts receivable.

     “Quarterly Payment Date” means the last day of March, June, September and December,
or, if any such day is not a Business Day, the next succeeding Business Day.

     “Rate Protection Agreement” means, collectively, any agreement with respect to Hedging
Obligations entered into by the Borrower or any of its Subsidiaries under which the counterparty of
such agreement is (or at the time such agreement was entered into, was) a Lender or an Affiliate of
a Lender.

     “Receivable” shall mean a right to receive payment arising from a sale or lease of
goods or the performance of services by a Person pursuant to an arrangement with another Person
pursuant to which such other Person is obligated to pay for goods or services under terms that
permit the purchase of such goods and services on credit and shall include, in any event, any items
of property that would be classified as an “account,” “chattel paper,” “payment intangible” or
“instrument” under the UCC and any supporting obligations.

     “Receivables Subsidiary” shall mean any wholly owned Subsidiary of the Borrower (or
another Person in which the Borrower or any Subsidiary makes an Investment and to which the
Borrower or one or more of its Subsidiaries transfer Receivables and related assets) which engages
in no activities other than in connection with the financing of Receivables and which is designated
by the Board of Directors of the applicable Subsidiary (as provided below) as a Receivables
Subsidiary and which meets the following conditions:

     (a) no portion of the Indebtedness or any other obligations (contingent or otherwise)
of such Subsidiary:

     (i) is guaranteed by the Borrower or any Subsidiary (that is not a Receivables
Subsidiary);

     (ii) is recourse to or obligates the Borrower or any Subsidiary (that is not a
Receivables Subsidiary); or

     (iii) subjects any property or assets of the Borrower or any Subsidiary (that
is not a Receivables Subsidiary), directly or indirectly, contingently or otherwise,
to the satisfaction thereof;

     (b) with which neither the Borrower nor any Subsidiary (that is not a Receivables
Subsidiary) has any material contract, agreement, arrangement or understanding (other than
Standard Securitization Undertakings); and

27

 

     (c) to which neither the Borrower nor any Subsidiary (that is not a Receivables
Subsidiary) has any obligation to maintain or preserve such entity’s financial condition or
cause such entity to achieve certain levels of operating results.

     Any such designation by the Board of Directors of the applicable Subsidiary shall be evidenced
by a certified copy of the resolution of the Board of Directors of such Subsidiary giving effect to
such designation and an officer’s certificate certifying, to the best of such officer’s knowledge
and belief, that such designation complies with the foregoing conditions

     “Refunded Swing Line Loans” is defined in clause (b) of Section 2.3.2.

     “Regulation S-X” is defined in Section 5.1.6.

     “Register” is defined in clause (a) of Section 2.7.

     “Reimbursement Obligation” is defined in Section 2.6.3.

     “Release” means a “release”, as such term is defined in CERCLA.

     “Replacement Lender” is defined in Section 4.11.

     “Replacement Notice” is defined in Section 4.11.

     “Required Lenders” means, at any time, Non-Defaulting Lenders holding more than 50% of
the Total Exposure Amount of all Non-Defaulting Lenders.

     “Resource Conservation and Recovery Act” means the Resource Conservation and Recovery
Act, 42 U.S.C. Section 6901, et seq., as amended.

     “Restatement Effective Date” means December 10, 2009.

     “Restricted Payment” means (i) the declaration or payment of any dividend (other than
dividends payable solely in Capital Securities of the Borrower or any Subsidiary (excluding a
Receivables Subsidiary)) on, or the making of any payment or distribution on account of, or setting
apart assets for a sinking or other analogous fund for the purchase, redemption, defeasance,
retirement or other acquisition of, any class of Capital Securities of the Borrower or any
warrants, options or other right or obligation to purchase or acquire any such Capital Securities,
whether now or hereafter outstanding, or (ii) the making of any other distribution in respect of
such Capital Securities, in each case either directly or indirectly, whether in cash, property or
obligations of the Borrower or any Subsidiary or otherwise; provided, however, that
any conversion feature of convertible debt shall not be considered a “Restricted Payment”.

     “Retained Excess Cash Flow” means, on any date of determination, the aggregate amount
of Excess Cash Flow for all prior Fiscal Years ending on or after December 31, 2009 that is not
required to be applied to repay New Term Loans pursuant to Section 3.1.1(f).

     
“Revolving Exposure” means, relative to any Revolving Loan Lender, at any time, (i)
the

28

 

aggregate outstanding principal amount of all Revolving Loans of such Lender at such time, plus
(ii) such Lender’s Revolving Loan Percentage of the Letter of Credit Outstandings, plus
(iii) such Lender’s Swing Line Exposure, plus (iv) such Lender’s Revolving Loan Percentage
of the OA Payment Outstandings.

     “Revolving Loan Commitment” means, relative to any Lender, such Lender’s obligation
(if any) to make Revolving Loans pursuant to clause (a) of Section 2.1.1. As
of the First Amendment Effective Date, each Revolving Loan Lender shall have either an Extended
Revolving Loan Commitment or a Non-Extended Revolving Loan Commitment, as (and in such amounts) set
forth in Schedule I to the First Amendment.

     “Revolving Loan Commitment Amount” means, on any date,
$400,000,000,600,000,000, as such amount may be reduced on the Non-Extended Termination
Date or otherwise from time to time pursuant to Section 2.2.

     “Revolving Loan Commitment Termination Date” means the earliest of:

     (a) December 31, 2009 (if the initial Credit Extension has not occurred on or prior to
such date);

     (b)
the fourth anniversary of the
Restatement
EffectiveStated
Maturity Date;

     (c) the date on which the Revolving Loan Commitment Amount is terminated in full or
reduced to zero pursuant to the terms of this Agreement; and

     (d) the date on which any Commitment Termination Event occurs.

Upon the occurrence of any event described in the preceding clauses (c) or (d), the
Revolving Loan Commitments shall terminate automatically and without any further action.

     “Revolving Loan Lender” is defined in clause (a) of Section 2.1.1.

     “Revolving Loan Percentage” means, relative to any Lender, the applicable percentage
relating to Revolving Loans set forth opposite its name on Schedule II hereto
underpercentage which such Lender’s Revolving Loan Commitment then constitutes of the
Revolving Loan Commitment column or set forth in a Lender Assignment Agreement under the Revolving
Loan Commitment column, as such percentage may be adjusted from time to time pursuant to Lender
Assignment Agreements executed by such Lender and its assignee Lender and delivered pursuant to
Section 10.11. A Lender shall not have any Revolving Loan Commitment if its percentage
under the Revolving Loan Commitment column is zeroAmount, or at any time after such Lender’s
Revolving Loan Commitments have expired or terminated in full, the percentage which such Lender’s
Revolving Exposure then constitutes of the Total Revolving Exposure
Amount; provided that in the case of Section 4.13 when a Defaulting Lender shall exist,
“Revolving Loan Percentage” shall be computed disregarding any Defaulting Lender’s Revolving
Exposure.

     “Revolving Loans” is defined in clause (a) of Section 2.1.1.

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     “Revolving Note” means a promissory note of the Borrower payable to any Revolving Loan
Lender, in the form of Exhibit A-1 hereto (as such promissory note may be amended, endorsed
or otherwise modified from time to time), evidencing the aggregate Indebtedness of the Borrower to
such Revolving Loan Lender resulting from outstanding Revolving Loans, and also means all other
promissory notes accepted from time to time in substitution therefor or renewal thereof.

     “S&P” means Standard & Poor’s Rating Services, a division of The McGraw-Hill
Companies, Inc. and its successors.

     “SEC” means the Securities and Exchange Commission.

     “Secured Parties” means, collectively, the Lenders, the Issuers, any Open Account
Discount Purchasers, the Administrative Agent, the Collateral Agent, the Lead Arrangers, each
Foreign Working Capital Lender (if applicable), each counterparty to a Rate Protection Agreement
that is (or at the time such Rate Protection Agreement was entered into, was) a Lender or an
Affiliate thereof and (in each case), each Person to whom the Borrower or any of its Subsidiaries
owes Cash Management Obligations, and each of their respective successors, transferees and assigns.

     “Security Agreement” means the Amended and Restated Pledge and Security Agreement
executed and delivered by each Obligor, substantially in the form of Exhibit G hereto,
together with any supplemental Foreign Pledge Agreements delivered pursuant to the terms of this
Agreement, in each case as amended, supplemented, amended and restated or otherwise modified from
time to time.

     “Senior Secured Leverage Ratio” means, onas of the last day of any
dateFiscal Quarter, the ratio of

     (a) Total Senior Secured Debt outstanding on the last day of such dayFiscal
Quarter

     to

     (b) Total Tangible Assets as of such day. EBITDA computed for the period consisting
of such Fiscal Quarter and each of the three immediately preceding Fiscal Quarters.

     “Solvency Certificate” means a certificate executed by the chief financial or
accounting Authorized Officer of the Borrower substantially in the form of Exhibit I.

     “Solvent” means, with respect to any Person and its Subsidiaries on a particular date,
that on such date (i) the fair value of the property (on a going-concern basis) of such Person and
its Subsidiaries on a consolidated basis is greater than the total amount of liabilities, including
contingent liabilities, of such Person and its Subsidiaries on a consolidated basis, (ii) the
present fair salable value of the assets (on a going-concern basis) of such Person and its
Subsidiaries on a consolidated basis is not less than the amount that will be required to pay the
probable liability of such Person and its Subsidiaries on a consolidated basis on its debts as they
become absolute and

30

 

matured in the ordinary course of business, (iii) such Person does not intend
to, and does not believe that it or its Subsidiaries will, incur debts or liabilities beyond the
ability of such Person and its Subsidiaries to pay as such debts and liabilities mature in the
ordinary course of business (including through refinancings, asset sales and other capital market
transactions), and (iv) such Person and its Subsidiaries on a consolidated basis is not engaged in
business or a transaction, and such Person and its Subsidiaries on a consolidated basis is not
about to engage in a business or a transaction, for which the property of such Person and its
Subsidiaries on a consolidated basis would constitute an unreasonably small capital. The amount of
Contingent Liabilities at any time shall be computed as the amount that, in light of all the facts
and circumstances existing at such time, can reasonably be expected to become an actual or matured
liability.

     “Specified Default” means (i) any Default under Section 8.1.1 or Section
8.1.9 or (ii) any other Event of Default.

     “Standby Letter of Credit” means any Letter of Credit other than a Commercial Letter
of Credit.

     “Standard Securitization Undertakings” shall mean representations, warranties,
covenants and indemnities entered into by the Borrower or any Subsidiary which are reasonably
customary in a securitization of Receivables.

     “Stated Amount” means, on any date and with respect to a particular Letter of Credit,
the total amount then available to be drawn under such Letter of Credit.

     “Stated Expiry Date” is defined in Section 2.6.

     “Stated Maturity Date” means (i) with respect to the New Term Loans, the sixth
anniversary of the Restatement Effective Date and, (ii), with respect to all
Revolving Loans and Swing Line Loans, the fourth anniversary of the Restatement Effectivethe
Non-Extended Revolving Loan Commitments, the Non-Extended Termination Date and (iii) with respect
to the Extended Revolving Loan Commitments, the Extended Termination Date.

     “Subsidiary” means, with respect to any Person, any other Person of which more than
50% of the outstanding Voting Securities of such other Person (irrespective of whether at the time
Capital Securities of any other class or classes of such other Person shall or might have voting
power upon the occurrence of any contingency) is at the time directly or indirectly owned or
controlled by such Person, by such Person and one or more other Subsidiaries of such Person, or by
one or more other Subsidiaries of such Person. Unless the context otherwise specifically requires,
the term “Subsidiary” shall be a reference to a Subsidiary of the Borrower (other than a
Receivables Subsidiary).

     “Subsidiary Guarantor” means each U.S. Subsidiary that has executed and delivered to
the Administrative Agent the Guaranty (including by means of a delivery of a supplement thereto).

     “Swing Line Exposure” means, at any time, the aggregate principal amount of all
outstanding Swing Line Loans at such time. The Swing Line Exposure of any Revolving Loan Lender at
any time shall be its Revolving Loan Percentage of the total Swing Line Exposure at such time.

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     “Swing Line Lender” means, subject to the terms of this Agreement, JPMorgan Chase
Bank, N.A.

     “Swing Line Loan Commitment” is defined in clause (b) of Section
2.1.1.

     “Swing Line Loan Commitment Amount” means, on any date, $50,000,000, as such amount
may be reduced from time to time pursuant to Section 2.2.

     “Swing Line Loans” is defined in clause (b) of Section 2.1.1.

     “Swing Line Note” means a promissory note of the Borrower payable to the Swing Line
Lender, in the form of Exhibit A-3 hereto (as such promissory note may be amended,
restated, endorsed or otherwise modified from time to time), evidencing the aggregate Indebtedness
of the Borrower to the Swing Line Lender resulting from outstanding Swing Line Loans, and also
means all other promissory notes accepted from time to time in substitution therefor or renewal
thereof.

     “Synthetic Lease” means, as applied to any Person, any lease (including leases that
may be terminated by the lessee at any time) of any property (whether real, personal or mixed) (i)
that is not a capital lease in accordance with GAAP and (ii) in respect of which the lessee retains
or obtains ownership of the property so leased for federal income tax purposes, other than any such
lease under which that Person is the lessor.

     “Taxes” means all income, stamp or other taxes, duties, levies, imposts, charges,
assessments, fees, deductions or withholdings, now or hereafter imposed, levied, collected,
withheld or assessed by any Governmental Authority, and all interest, penalties or similar
liabilities with respect thereto.

     “Termination Date” means the date on which all Obligations have been paid in full in
cash (other than contingent indemnification obligations for which no claim has been asserted), all
Letters of Credit have been terminated or expired (or been Cash Collateralized), all Rate
Protection Agreements have been terminated and all Commitments shall have terminated.

     “Total Debt” means, on any date, the outstanding principal amount of all Indebtedness
of the Borrower and its Subsidiaries of the type referred to in clause (i) of the
definition of “Indebtedness”, clause (ii) of the definition of “Indebtedness”, clause
(iii) of the definition of “Indebtedness”, clause (vii) of the definition of
“Indebtedness” and clause (ix) of the definition of “Indebtedness”, in each case exclusive
of (a) intercompany Indebtedness between the Borrower and its Subsidiaries, (b) any Contingent
Liability in respect of any of the foregoing, (c)
any Permitted Factoring Facility, (d) any Commercial Letter of Credit, (e) any Letter of
Credit or other credit support relating to the termination of agreements with respect to Hedging
Obligations, in each case under this clause (e), incurred in connection with or as a result of the
Transaction and (f) any Open Account Paying Agreements.

     “Total Exposure Amount” means, on any date of determination (and without duplication),
the outstanding principal amount of all Loans, the aggregate amount of all Letter of Credit
Outstandings and
OA Payment
Outstandings and the unfunded amount of the Commitments.

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     “Total Extended Revolving Loan Commitment Amount” means the aggregate amount of the
Lenders’ Extended Revolving Loan Commitments as of the First Amendment Effective Date.

     “Total Non-Extended Revolving Loan Commitment Amount” means the aggregate amount of the
Lenders’ Non-Extended Revolving Loan Commitments as of the First Amendment Effective Date.

     “Total Revolving Exposure Amount” means, on any date of determination (and without
duplication), the outstanding principal amount of all Revolving Loans and Swing Line Loans, the
aggregate amount of all Letter of Credit Outstandings and OA Payment Outstandings and the unfunded
amount of Revolving Loan Commitments.

     “Total Senior Secured Debt” means, on any date, all Total Debt which is secured by a
Lien.

     “Total Tangible Assets” means, on any date, the aggregate amount of assets of the
Borrower and its Subsidiaries shown on a consolidated balance sheet of such Persons at such date
less goodwill and other intangible assets.

     “Trademark Security Agreement” means any Trademark Security Agreement executed and
delivered by any Obligor substantially in the form of Exhibit B to the Security Agreement, as
amended, supplemented, amended and restated or otherwise modified from time to time.

     “Transaction” means, collectively, (i) the amendment and restatement of the Original
Credit Agreement in order to refinance the Borrower’s existing term loans and replace its existing
revolving facility thereunder and (ii) the issuance by the Borrower of the 2016 Senior Notes and
the concurrent repayment of all outstanding loans under the Borrower’s existing second lien credit
agreement.

     “Transaction Documents” means, collectively, the 2016 Senior Notes and any other
material document executed or delivered in connection with the Transaction, including any
transition services agreements and tax sharing agreements, in each case as amended, supplemented,
amended and restated or otherwise modified from time to time in accordance with Section
7.2.12.

     “Treaty on European Union” means the Treaty of Rome of March 25, 1957, as amended by
the Single European Act 1986 and the Maastricht Treaty (which was signed at Maastricht, the
Kingdom of Netherlands, on February 1, 1992 and came into force on November 1, 1993), as
amended from time to time.

     “type” means, relative to any Loan, the portion thereof, if any, being maintained as a
Base Rate Loan or a LIBO Rate Loan.

     “UCC” means the Uniform Commercial Code as in effect from time to time in the State
of New York; provided that if, with respect to any Filing Statement or by reason of any
provisions of law, the perfection or the effect of perfection or non-perfection of the security
interests granted to the Collateral Agent pursuant to the applicable Loan Document is governed by
the Uniform Commercial Code as in effect in a jurisdiction of the United States other than New
York, then “UCC” means the Uniform Commercial Code as in effect from time to time in such other

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jurisdiction for purposes of the provisions of each Loan Document and any Filing Statement relating
to such perfection or effect of perfection or non-perfection.

     “United States” or “U.S.” means the United States of America, its fifty states
and the District of Columbia.

     “U.S. Subsidiary” means any Subsidiary (other than a Receivables Subsidiary) that is
incorporated or organized under the laws of the United States.

     “Voting Securities” means, with respect to any Person, Capital Securities of any class
or kind ordinarily having the power to vote for the election of directors, managers or other voting
members of the governing body of such Person.

     “Welfare Plan” means a “welfare plan”, as such term is defined in Section 3(1) of
ERISA.

     “wholly owned Subsidiary” means any Subsidiary all of the outstanding Capital
Securities of which (other than any director’s qualifying shares or investments by foreign
nationals mandated by applicable laws) is owned directly or indirectly by the Borrower.

               SECTION 1.2 Use of Defined Terms. Unless otherwise defined or the context otherwise requires,
terms for which meanings are provided in this Agreement shall have such meanings when used in each
other Loan Document and the Disclosure Schedule.

               SECTION 1.3 Cross-References. Unless otherwise specified, references in a Loan Document to any
Article or Section are references to such Article or Section of such Loan Document, and references
in any Article, Section or definition to any clause are references to such clause of such Article,
Section or definition.

               SECTION 1.4 Accounting and Financial Determinations. (a) Unless otherwise specified, all accounting terms used in
each Loan Document shall be
interpreted, and all accounting determinations and computations thereunder (including under
Section 7.2.4 and the definitions used in such calculations) shall be made, in accordance
with those generally accepted accounting principles (“GAAP”) applied in the preparation of
the financial statements referred to in clause (a) of Section 5.1.6. In the event
that any Accounting Change (as defined below) shall occur and such change results in a change in
the method of calculation of financial covenants, standards or terms in this Agreement, then the
Borrower and the Administrative Agent agree to enter into good faith negotiations in order to amend
such provisions of this Agreement so as to equitably reflect such Accounting Change with the
desired result that the criteria for evaluating the Borrower and its Subsidiaries consolidated
financial condition shall be the same after such Accounting Change as if such Accounting Change had
not been made. Until such time as such an amendment shall have been executed and delivered by the
Borrower, the Administrative Agent and the Required Lenders, all financial covenants, standards and
terms in this Agreement shall continue to be calculated or construed as if such Accounting Change
had not occurred. “Accounting Change” refers to any change in accounting principles
required by the promulgation of any rule, regulation, pronouncement or opinion by the Financial
Accounting Standards Board of the American Institute of Certified Public Accountants or, if
applicable, the SEC. Unless otherwise expressly provided, all financial covenants and defined
financial terms shall be computed on a consolidated basis for the Borrower and its Subsidiaries, in
each case without

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duplication. Notwithstanding any other provision contained herein, all
computations of amounts and ratios referred to in this Agreement shall be made without giving
effect to any election under Statement of Financial Accounting Standards 159 (or any other
Financial Accounting Standard having a similar result or effect) to value any Indebtedness or other
liabilities of the Borrower at “fair value” as defined therein.

     (b) As of any date of determination, for purposes of determining the Interest Coverage Ratio
or Leverage Ratio (and any financial calculations required to be made or included within such
ratios, or required for purposes of preparing any Compliance Certificate to be delivered pursuant
to the definition of “Permitted Acquisition”), the calculation of such ratios and other
financial calculations shall include or exclude, as the case may be, the effect of any assets or
businesses that have been acquired or Disposed of by the Borrower or any of its Subsidiaries
pursuant to the terms hereof (including through mergers or consolidations) as of such date of
determination, as determined by the Borrower on a pro forma basis in accordance with GAAP, which
determination may include one-time adjustments or reductions in costs, if any, directly
attributable to any such permitted Disposition or Permitted Acquisition, as the case may be, in
each case (i) calculated in accordance with Regulation S-X and any successor statute, for the
period of four Fiscal Quarters ended on or immediately prior to the date of determination of any
such ratios (after giving effect to any cost-savings or adjustments relating to synergies resulting
from a Permitted Acquisition which have been realized or for which the steps necessary for
realization have been taken and certified in good faith by an officer of the Borrower or otherwise
as the Administrative Agent shall otherwise agree) and (ii) giving effect to any such Permitted
Acquisition or permitted Disposition as if it had occurred on the first day of such four Fiscal
Quarter period.

ARTICLE II

COMMITMENTS, BORROWING AND ISSUANCE

PROCEDURES, NOTES AND LETTERS OF CREDIT

               SECTION 2.1 Commitments. On the terms and subject to the conditions of this Agreement, the
Lenders and the Issuers severally agree to make Credit Extensions as set forth below.

     SECTION 2.1.1 Revolving Loan Commitment and Swing Line Loan Commitment. From time to time on any
Business Day occurring after the Restatement Effective Date but prior to the Revolving Loan
Commitment Termination Date,

     (a) each Lender that has a Revolving Loan Commitment (referred to as a “Revolving
Loan Lender”), agrees that it will make loans (relative to such Lender, its
“Revolving Loans”) to the Borrower denominated in Dollars equal to such Lender’s
Revolving Loan Percentage of the aggregate amount of each Borrowing of the Revolving Loans
requested by the Borrower to be made on such day; and

     (b) the Swing Line Lender agrees that it will make loans (its “Swing Line
Loans”) denominated in Dollars to the Borrower equal to the principal amount of the
Swing Line Loan requested by the Borrower to be made on such day. The commitment of

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the Swing Line Lender described in this clause is herein referred to as its “Swing Line Loan
Commitment”.

On the terms and subject to the conditions hereof, the Borrower may from time to time borrow,
prepay and reborrow Revolving Loans and Swing Line Loans. No Revolving Loan Lender shall be
permitted or required to make any Revolving Loan if, after giving effect thereto, (i) such Lender’s
Revolving Exposure would exceed such Lender’s Revolving Loan Percentage of the then existing
Revolving Loan Commitment Amount or (ii) the aggregate amount of Revolving Loans and Swing Line
Loans outstanding together with the Letter of Credit Outstandings and the OA Payment Outstandings
would exceed the Revolving Loan Commitment Amount. Furthermore, the Swing Line Lender shall not be
permitted or required to make Swing Line Loans if, after giving effect thereto, (A) the aggregate
outstanding principal amount of all Swing Line Loans would exceed the then existing Swing Line Loan
Commitment Amount or (B) the sum of the aggregate amount of all Swing Line Loans and all Revolving
Loans outstanding plus the aggregate amount of Letter of Credit Outstandings and OA Payment
Outstandings would exceed the Revolving Loan Commitment Amount.

     SECTION 2.1.2 Letter of Credit Commitment; Open Account Agreements. (a) From time to
time on any Business Day occurring after the Restatement Effective Date but at least five Business
Days prior to the Revolving Loan CommitmentExtended Termination Date, the relevant Issuer
agrees that it will (subject to the terms hereof) (i) issue one or more Letters of Credit in
Dollars for the account of the Borrower, any Subsidiary Guarantor or any Foreign Subsidiary in the
Stated Amount requested by the Borrower on such day, or (ii) extend the Stated Expiry Date of a
Letter of Credit previously issued hereunder. No Issuer shall be permitted or required to issue
any Letter of Credit if, after giving effect thereto, (x) the sum of the aggregate
amount of (A) all Letter of Credit Outstandings plus (B) all OA Payment Outstandings would
exceed the then existing Letter of Credit Commitment Amount or (y) the sum of the aggregate amount
of all (A) Letter of Credit Outstandings plus (B) OA Payment Outstandings plus (C) the aggregate
principal amount of all Revolving Loans and Swing Line Loans then outstanding would exceed the then
existing Revolving Loan Commitment Amount.

     (b) From time to time on any day occurring after the Restatement Effective Date but prior to
the Revolving Loan CommitmentExtended Termination Date, an Obligor may enter into one or
more Open Account Paying Agreements with such Lenders or their respective Affiliates as it and they
shall so agree; provided that (i) no Lender will be required to enter into an Open Account
Paying Agreement and (ii) an Obligor shall not be permitted to enter into, or incur obligations
under, an Open Account Paying Agreement if, after giving effect thereto, (x) the sum of the
aggregate amount of (A) all OA Payment Outstandings plus (B) all Letter of Credit
Outstandings would exceed the then existing Letter of Credit Commitment Amount or (y) the sum of
the aggregate amount of all (A) Letter of Credit Outstandings plus (B) OA Payment
Outstandings plus (C) the aggregate principal amount of all Revolving Loans and Swing Line
Loans then outstanding would exceed the then existing Revolving Loan Commitment Amount.

     SECTION 2.1.3 Term Loan Commitments. In a single Borrowing made on the Restatement
Effective Date, occurring on or prior to the applicable Commitment Termination Date, each Lender
that has a New Term Loan Commitment agrees that it will make Loans (relative to such Lender, its “New Term Loans”)
to the Borrower denominated in Dollars equal to such

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Lender’s New Term
Percentage of the aggregate amount of the Borrowing, which shall be for the full New Term Loan
Commitment Amount. No amounts paid or prepaid with respect to New Term Loans may be reborrowed.

               SECTION 2.2 Reduction of the Commitment Amounts. The Commitment Amounts are subject to reduction
from time to time as set forth below.

     SECTION 2.2.1 Optional. The Borrower may, from time to time on any Business Day
occurring after the Restatement Effective Date, voluntarily reduce any Commitment Amount on the
Business Day so specified by the Borrower; provided that, all such reductions shall require
at least one Business Day’s prior notice to the Administrative Agent and be permanent, and any
partial reduction of any Commitment Amount shall be in a minimum amount of $1,000,000 and in an
integral multiple of $500,000. Any optional or mandatory reduction of the Revolving Loan
Commitment Amount pursuant to the terms of this Agreement which reduces the Revolving Loan
Commitment Amount below the sum of (i) the Swing Line Loan Commitment Amount and (ii) the Letter of
Credit Commitment Amount shall result in an automatic and corresponding reduction of the Swing Line
Loan Commitment Amount and/or Letter of Credit Commitment Amount (as directed by the Borrower in a
notice to the Administrative Agent delivered together with the notice of such voluntary reduction
in the Revolving Loan Commitment Amount) to an aggregate amount not in excess of the Revolving Loan
Commitment Amount, as so reduced, without any further action on the part of the Swing Line Lender,
any Revolving Loan Lender or any Issuer.

     SECTION 2.2.2 [Reserved].

               SECTION 2.3 Borrowing Procedures. Loans (other than Swing Line Loans and New Term Loans) shall be
made by the Lenders in accordance with Section 2.3.1, and Swing Line Loans shall be made by
the Swing Line Lender in accordance with Section 2.3.2.

     SECTION 2.3.1 Borrowing Procedure. In the case of Loans (other than Swing Line
Loans), by delivering a Borrowing Request to the Administrative Agent on or before 10:00 a.m. on a
Business Day, the Borrower may from time to time irrevocably request, on such Business Day in the
case of Base Rate Loans or on not less than three Business Days’ notice and not more than five
Business Days’ notice, in the case of LIBO Rate Loans denominated in Dollars, that a Borrowing be
made, in the case of LIBO Rate Loans, in a minimum amount of $5,000,000 and an integral multiple of
$1,000,000, in the case of Base Rate Loans, in a minimum amount of $1,000,000 and an integral
multiple of $500,000 or, in either case, in the unused amount of the applicable Commitment. On the
terms and subject to the conditions of this Agreement, each Borrowing shall be comprised of the
type of Loans, and shall be made on the Business Day specified in such Borrowing Request. In the
case of other than Swing Line Loans, on or before 12:00 noon on such Business Day each Lender that
has a Commitment to make the Loans being requested shall deposit with the Administrative Agent same
day funds in an amount equal to such Lender’s Percentage of the requested Borrowing. Such deposit
will be made to an account which the Administrative Agent shall specify from time to time by notice
to the Lenders. To the extent funds are received from the Lenders, the Administrative Agent shall
make such funds available to the Borrower by wire transfer to the accounts the Borrower shall have
specified in its Borrowing Request. No Lender’s obligation to make any Loan shall be affected by
any other Lender’s failure to make any Loan.

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     SECTION 2.3.2 Swing Line Loans; Participations, etc. (a) By telephonic notice to the
Swing Line Lender on or before 2:00 p.m. on a Business Day (followed (within one Business Day) by
the delivery of a confirming Borrowing Request), the Borrower may from time to time irrevocably
request that Swing Line Loans be made by the Swing Line Lender in an aggregate minimum principal
amount of $500,000 and an integral multiple of $100,000. All Swing Line Loans shall be made as
Base Rate Loans and shall not be entitled to be converted into LIBO Rate Loans. The proceeds of
each Swing Line Loan shall be made available by the Swing Line Lender to the Borrower by wire
transfer to the account the Borrower shall have specified in its notice therefor by the close of
business on the Business Day telephonic notice is received by the Swing Line Lender. Upon the
making of each Swing Line Loan, and without further action on the part of the Swing Line Lender or
any other Person, each Revolving Loan Lender (other than the Swing Line Lender) shall be deemed to
have irrevocably purchased, to the extent of its Revolving Loan Percentage, a participation
interest in such Swing Line Loan, and such Revolving Loan Lender shall, to the extent of its
Revolving Loan Percentage, be responsible for reimbursing within one Business Day the Swing Line
Lender for Swing Line Loans which have not been reimbursed by the Borrower in accordance with the
terms of this Agreement.

     (b) If (i) any Swing Line Loan shall be outstanding for more than four Business Days, (ii) any
Swing Line Loan is or will be outstanding on a date when the Borrower
requests that a Revolving Loan be made, or (iii) any Default shall occur and be continuing,
then each Revolving Loan Lender (other than the Swing Line Lender) irrevocably agrees that it will,
at the request of the Swing Line Lender, make a Revolving Loan (which shall initially be funded as
a Base Rate Loan) in an amount equal to such Lender’s Revolving Loan Percentage of the aggregate
principal amount of all such Swing Line Loans then outstanding (such outstanding Swing Line Loans
hereinafter referred to as the “Refunded Swing Line Loans”). On or before 11:00 a.m. on
the first Business Day following receipt by each Revolving Loan Lender of a request to make
Revolving Loans as provided in the preceding sentence, each Revolving Loan Lender shall deposit in
an account specified by the Swing Line Lender the amount so requested in same day funds and such
funds shall be applied by the Swing Line Lender to repay the Refunded Swing Line Loans. At the
time the Revolving Loan Lenders make the above referenced Revolving Loans the Swing Line Lender
shall be deemed to have made, in consideration of the making of the Refunded Swing Line Loans,
Revolving Loans in an amount equal to the Swing Line Lender’s Revolving Loan Percentage of the
aggregate principal amount of the Refunded Swing Line Loans. Upon the making (or deemed making, in
the case of the Swing Line Lender) of any Revolving Loans pursuant to this clause, the amount so
funded shall become an outstanding Revolving Loan and shall no longer be owed as a Swing Line Loan.
All interest payable with respect to any Revolving Loans made (or deemed made, in the case of the
Swing Line Lender) pursuant to this clause shall be appropriately adjusted to reflect the period of
time during which the Swing Line Lender had outstanding Swing Line Loans in respect of which such
Revolving Loans were made. Each Revolving Loan Lender’s obligation to make the Revolving Loans
referred to in this clause shall be absolute and unconditional and shall not be affected by any
circumstance, including (i) any set-off, counterclaim, recoupment, defense or other right which
such Lender may have against the Swing Line Lender, any Obligor or any Person for any reason
whatsoever; (ii) the occurrence or continuance of any Default; (iii) any adverse change in the
condition (financial or otherwise) of any Obligor; (iv) the acceleration or maturity of any
Obligations or the termination of any Commitment after the making of any Swing Line Loan; (v) any
breach of any Loan Document by

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any Person; or (vi) any other circumstance, happening or event
whatsoever, whether or not similar to any of the foregoing.

               SECTION 2.4 Continuation and Conversion Elections. By delivering a Continuation/Conversion Notice
to the Administrative Agent on or before 10:00 a.m. on a Business Day, the Borrower may from time
to time irrevocably elect on not less than three nor more than five Business Days’ notice (a) to
convert any Base Rate Loan into one or more LIBO Rate Loans or (b) before the last day of the then
current Interest Period with respect thereto, to continue any LIBO Rate Loan as a LIBO Rate Loan;
provided that (i) any portion of any Loan which is continued or converted hereunder shall
be in a minimum amount of $1,000,000 and in an integral multiple amount of $1,000,000 and (ii) in
the absence of prior notice as required above (which notice may be delivered telephonically
followed by written confirmation within 24 hours thereafter by delivery of a
Continuation/Conversion Notice), with respect to any LIBO Rate Loan at least three Business Days
before the last day of the then current Interest Period with respect thereto, such LIBO Rate Loan
shall, on such last day, automatically convert to a Base Rate Loan; provided
further that (A) each such conversion or continuation shall be pro rated among the
applicable outstanding Loans of all Lenders that have made such Loans, and (B) no portion of the
outstanding principal amount of any Loans may be
continued as, or be converted into, LIBO Rate Loans when any Event of Default has occurred and
is continuing.

               SECTION 2.5 Funding. Each Lender may, if it so elects, fulfill its obligation to make, continue
or convert LIBO Rate Loans hereunder by causing one of its foreign branches or Affiliates (or an
international banking facility created by such Lender) to make or maintain such LIBO Rate Loan;
provided that, such LIBO Rate Loan shall nonetheless be deemed to have been made and to be
held by such Lender, and the obligation of the Borrower to repay such LIBO Rate Loan shall
nevertheless be to such Lender for the account of such foreign branch, Affiliate or international
banking facility. Subject to Section 4.10, each Lender may, at its option, make any Loan
available to the Borrower by causing any foreign or domestic branch or Affiliate of such Lender to
make such Loan; provided that any exercise of such option shall not affect the obligation
of the Borrower to repay Loans in accordance with the terms of this Agreement.

               SECTION 2.6 Issuance Procedures. By delivering to the Administrative Agent and the relevant
Issuer an Issuance Request on or before 10:00 a.m. on a Business Day, the Borrower may from time to
time irrevocably request on not less than three nor more than ten Business Days’ notice, in the
case of an initial issuance of a Letter of Credit and not less than three Business Days’ prior
notice, in the case of a request for the extension of the Stated Expiry Date of a Standby Letter of
Credit (in each case, unless a shorter notice period is agreed to by the relevant Issuer, in its
sole discretion), that an Issuer issue a Letter of Credit, or extend the Stated Expiry Date of a
Standby Letter of Credit, in such form as may be requested by the Borrower and approved by such
Issuer, solely for the purposes described in Section 7.1.7. In connection with any
Issuance Request the Borrower and/or applicable Subsidiary shall have executed and delivered such
applications, agreements and other instruments relating to such Letter of Credit as such Issuer
shall have reasonably requested consistent with its then current practices and procedures with
respect to letters of credit of the same type, provided that in the event of any conflict
between any such application, agreement or other instrument and the provisions of this Agreement,
the provisions of this Agreement shall control. Each Standby Letter of Credit shall by its terms
be stated to expire on a date (its “Stated Expiry Date”) no later than the earlier to occur
of

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(i) five Business Days prior to the Revolving Loan CommitmentExtended Termination Date
or (ii) unless otherwise agreed to by an Issuer, in its sole discretion, one year from the date of
its issuance (provided that each Standby Letter of Credit may, with the consent of the
Issuer thereof in its sole discretion, provide for automatic renewals for one year periods (which
in no event shall extend beyond the Revolving Loan CommitmentExtended Termination Date)).
Each Commercial Letter of Credit shall by its terms be stated to expire on a date no later than the
earlier to occur of
(i) five Business Days prior to the Revolving Loan CommitmentExtended
Termination Date or (ii) unless otherwise agreed to by an Issuer, in its sole discretion, 180 days
from the date of its issuance. Each Issuer will make available to the beneficiary thereof the
original of the Letter of Credit which it issues. Each Issuer shall provide periodic reporting of
Letters of Credit issued by such Issuer in a manner, and in time periods, mutually acceptable to
the Administrative Agent and such Issuer. Unless notified by the Administrative Agent in
writing prior to the issuance of a Letter of Credit, the applicable Issuer shall be entitled
to assume that the conditions precedent to such issuance have been met.

     SECTION 2.6.1 Other Lenders Participation.

     (a) Upon the issuance of each Letter of Credit, and without further action, each
Revolving Loan Lender (other than the applicable Issuer) shall be deemed to have irrevocably
purchased, to the extent of its Revolving Loan Percentage, a participation interest in such
Letter of Credit (including the Contingent Liability and any Reimbursement Obligation with
respect thereto), and such Revolving Loan Lender shall, to the extent of its Revolving Loan
Percentage, be responsible for reimbursing the applicable Issuer for Reimbursement
Obligations which have not been reimbursed by the Borrower in accordance with Section 2.6.3
in the applicable currency and at the times set forth in such Section (with the terms of
this Section surviving the termination of this Agreement). In addition, such Revolving Loan
Lender shall, to the extent of its Revolving Loan Percentage, be entitled to receive a
ratable portion of the Letter of Credit fees payable pursuant to Section 3.3.3 with respect
to each Letter of Credit (other than the issuance fees payable to the Issuer of such Letter
of Credit pursuant to the last sentence of Section 3.3.3) and of interest payable pursuant
to Section 3.2 with respect to any Reimbursement Obligation accruing on and after the date
(and to the extent) such Lender funds its participation interest in such Letter of Credit.
To the extent that any Revolving Loan Lender has reimbursed any Issuer for a Disbursement,
such Lender shall be entitled to receive its ratable portion of any amounts subsequently
received (from the Borrower or otherwise) in respect of such Disbursement. Upon any change
in the Revolving Loan Commitments pursuant to an assignment under Section 10.10 of this
Agreement, it is hereby agreed that with respect to all Letter of Credit Outstandings, there
shall be an automatic adjustment to the participations hereby created to reflect the new
Revolving Loan Percentage of the assigning and assignee Revolving Loan Lenders.

     (b) Upon the entry into each Open Account Discount Agreement, and without further
action, each Revolving Loan Lender (other than the applicable Open Account Discount
Purchaser) shall be deemed to have irrevocably purchased, to the extent of its Revolving
Loan Percentage, a participation interest in such Open Account Discount Agreement, and such
Revolving Loan Lender shall, to the extent of its Revolving Loan Percentage, be responsible
for reimbursing the applicable Open Account Discount

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Purchaser for OA Payment Obligations
under the applicable Open Account Paying Agreement which have not been reimbursed by the
relevant Obligor in accordance with the terms thereof (with the terms of this Section
surviving the termination of this Agreement). In addition, such Revolving Loan Lender
shall, to the extent of its Revolving Loan Percentage, be entitled to receive a ratable
portion of the Open Account Agreement payments pursuant to Section 3.3.4 and of
interest payable pursuant to Section 3.2 with respect to any OA Payment Obligations
accruing on and after the date (and to the extent) such Lender funds its participation
interest in such OA Payment Obligations. To the extent that any Revolving Loan Lender has
reimbursed any Open Account Discount Purchaser for an Open Account Discount Purchase, such
Lender shall be entitled to receive its ratable portion of any amounts subsequently received
(from the Borrower or otherwise) in respect of such Open Account Discount Purchase. Upon
any change in the Revolving Loan Commitments pursuant to an assignment under Section 10.10
of this Agreement, it is hereby agreed that with respect to all OA Payment Outstandings,
there shall be an automatic adjustment to the participations hereby created to reflect the
new Revolving Loan Percentage of the assigning and assignee Revolving Loan Lenders. The
Borrower shall be required to reimburse each Open Account Discount Purchaser in accordance
with the terms set forth in the applicable Open Account Paying Agreement.

     SECTION 2.6.2 Disbursements. An Issuer will notify the Borrower and the
Administrative Agent promptly of the presentment for payment of any Letter of Credit issued by such
Issuer, together with notice of the date (the “Disbursement Date”) such payment shall be
made (each such payment, a “Disbursement”). Subject to the terms and provisions of such
Letter of Credit and this Agreement, the applicable Issuer shall make such payment to the
beneficiary (or its designee) of such Letter of Credit. Not later than 1:00 p.m. on (i) a
Disbursement Date, if the Borrower shall have received notice of such Disbursement prior to 10:00
a.m. on such Disbursement Date, or (ii) the Business Day immediately following a Disbursement Date,
if such notice is received after 10:00 a.m. on such Disbursement Date, the Borrower will reimburse
such Issuer directly in full for such Disbursement. Each such reimbursement shall be made in
immediately available funds together (in the case of a reimbursement made on such immediately
following Business Day, with interest thereon at a rate per annum equal to the rate per annum then
in effect for Base Rate Loans (with the then Applicable Margin for Revolving Loans accruing on such
amount) pursuant to Section 3.2 for the period from the Disbursement Date through the date
of such reimbursement, provided that if such reimbursement is not made when due pursuant to
this Section 2.6.2, then the interest rates set forth in Section 3.2.2 shall apply.
Without limiting in any way the foregoing and notwithstanding anything to the contrary contained
herein or in any separate application for any Letter of Credit, the Borrower hereby acknowledges
and agrees that it shall be obligated to reimburse the applicable Issuer upon each Disbursement of
a Letter of Credit, and it shall be deemed to be the obligor for purposes of each such Letter of
Credit issued hereunder (whether the account party on such Letter of Credit is the Borrower or a
Subsidiary). In the event that an Issuer makes any Disbursement and the Borrower shall not have
reimbursed such amount in full to such Issuer pursuant to this Section 2.6.2, such Issuer
shall promptly notify the Administrative Agent which shall promptly notify each Revolving Loan
Lender of such failure, and each Revolving Loan Lender (other than such Issuer) shall promptly and
unconditionally pay in same day funds to the Administrative Agent for the account of such Issuer
the amount of such Revolving Loan Lender’s Revolving Loan Percentage of such unreimbursed
Disbursement. If an Issuer so notifies the Administrative Agent, and the Administrative Agent so
notifies the

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Revolving Loan Lenders prior to 2:00 p.m., on any Business Day, each such Revolving Loan
Lender shall make available to such Issuer such Revolving Loan Lender’s Revolving Loan Percentage
of the amount of such payment on such Business Day in same day funds (or if such notice is received
by such Revolving Loan Lenders after 2:00 p.m. on the day of receipt, payment shall be made on the
immediately following Business Day). If and to the extent such Revolving Loan Lender shall not
have so made its Revolving Loan Percentage of the amount of such payment available to the
applicable Issuer, such Revolving Loan Lender agrees to pay to such Issuer forthwith on demand such
amount, together with interest thereon, for each day from such date until the date such amount is
paid to the Administrative Agent for the account of such Issuer, at the Federal Funds Rate.

     SECTION 2.6.3 Reimbursement. The obligation (a “Reimbursement Obligation”) of
the Borrower under Section 2.6.2 to reimburse an Issuer with respect to each Disbursement
(including interest thereon) and, upon the failure of the Borrower to reimburse an Issuer, each
Revolving Loan Lender’s obligation under Section 2.6.1 to reimburse an Issuer, shall be
absolute and unconditional under any and all circumstances and irrespective of (i) any setoff,
counterclaim or defense to payment which the Borrower or such Revolving Loan Lender, as the case
may be, may have or have had against such Issuer, any Lender or any other Person (including any
Subsidiary) for any reason whatsoever, including any defense based upon the failure of any
Disbursement to conform to the terms of the applicable Letter of Credit (if, in such Issuer’s good
faith opinion (absent such Issuer’s gross negligence or willful misconduct), such Disbursement is
determined to be appropriate) or any non-application or misapplication by the beneficiary of the
proceeds of such Letter of Credit; (ii) the occurrence or continuance of any Default; (iii) any
adverse change in the condition (financial or otherwise) of any Obligor; (iv) the acceleration or
maturity of any Obligations or the termination of any Commitment after the issuance of a Letter of
Credit; (v) any breach of any Loan Document by any Person; or (vi) any other circumstance,
happening or event whatsoever, whether or not similar to any of the foregoing (including any of the
events set forth in Section 2.6.5); provided that, after paying in full its
Reimbursement Obligation hereunder, nothing herein shall adversely affect the right of the Borrower
or such Lender, as the case may be, to commence any proceeding against an Issuer for any wrongful
Disbursement made by such Issuer under a Letter of Credit as a result of acts or omissions
constituting gross negligence, bad faith or willful misconduct on the part of such Issuer.

     SECTION 2.6.4 Deemed Disbursements. Upon the occurrence and during the continuation
of any Event of Default under Section 8.1.9 or upon notification by the Administrative
Agent (acting at the direction of the Required Lenders) to the Borrower of its obligations under
this Section, following the occurrence and during the continuation of any other Event of Default,

     (a) the aggregate Stated Amount of all Letters of Credit shall, without demand upon or
notice to the Borrower or any other Person, be deemed to have been paid or disbursed by the
Issuers of such Letters of Credit (notwithstanding that such amount may not in fact have
been paid or disbursed); and

     (b) the Borrower shall be immediately obligated to reimburse the Issuers for the amount
deemed to have been so paid or disbursed by such Issuers.

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Amounts payable by the Borrower pursuant to this Section shall be deposited in immediately
available funds with the Collateral Agent and held as cash collateral security for the
Reimbursement Obligations. When all Defaults giving rise to the deemed disbursements under this
Section have been cured or waived the Collateral Agent shall return to the Borrower all amounts
then on deposit with the Collateral Agent pursuant to this Section which have not been applied to
the satisfaction of the Reimbursement Obligations.

     SECTION 2.6.5 Nature of Reimbursement Obligations. The Borrower, each other Obligor
and, to the extent set forth in Section 2.6.1, each Revolving Loan Lender shall assume all
risks of the acts, omissions or misuse of any Letter of Credit by the beneficiary thereof. No
Issuer (except to the extent of its own gross negligence, bad faith or willful misconduct) shall be
responsible for:

     (a)
the form, validity, sufficiency, accuracy, genuineness or legal effect of any
Letter of Credit or any document submitted by any party in connection with the application
for and issuance of a Letter of Credit, even if it should in fact prove to be in any or all
respects invalid, insufficient, inaccurate, fraudulent or forged;

     (b)
the form, validity, sufficiency, accuracy, genuineness or legal effect of any
instrument transferring or assigning or purporting to transfer or assign a Letter of Credit
or the rights or benefits thereunder or the proceeds thereof in whole or in part, which may
prove to be invalid or ineffective for any reason;

     (c)
failure of the beneficiary to comply fully with conditions required in order to
demand payment under a Letter of Credit;

     (d)
errors, omissions, interruptions or delays in transmission or delivery of any
messages, by mail, cable, telegraph, telex or otherwise or errors in interpretation of
technical terms or any consequence arising from causes beyond the control of such Issuer; or

     (e)
any loss or delay in the transmission or otherwise of any document or draft
required in order to make a Disbursement under a Letter of Credit.

In furtherance of the foregoing and without limiting the generality thereof, the parties agree that
with respect to documents presented which appear on their face to be in substantial compliance with
the terms of a Letter of Credit, an Issuer may, in its sole discretion, either accept and make
payment upon such documents without responsibility for further investigation or refuse to accept
and make payment upon such documents if such documents are not in strict compliance with the terms
of such Letter of Credit. None of the foregoing shall affect, impair or prevent the vesting of any
of the rights or powers granted to any Issuer or any Revolving Loan Lender hereunder. In
furtherance and not in limitation or derogation of any of the foregoing, any action taken or
omitted to be taken by an Issuer in good faith (and not constituting gross negligence or willful
misconduct) shall be binding upon each Obligor and each such Secured Party, and shall not put such
Issuer under any resulting liability to any Obligor or any Secured Party, as the case may be.

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     SECTION 2.6.6 Existing Letters of Credit. On the Effective Date, all Existing Letters
of Credit shall be deemed to have been issued hereunder and shall for all purposes be deemed to be
“Letters of Credit” hereunder.

               SECTION 2.7 Register; Notes. The Register shall be maintained on the following terms.

     (a)
The Borrower hereby designates the Administrative Agent to serve as the Borrower’s agent,
solely for the purpose of this clause, to maintain a register (the “Register”) on which the
Administrative Agent will record each Lender’s Commitment, the Loans made by each Lender and each
repayment in respect of the principal amount of the Loans, annexed to which the Administrative
Agent shall retain a copy of each Lender Assignment Agreement delivered to the Administrative Agent
pursuant to Section 10.11. Failure to make any recordation, or any error in such
recordation, shall not affect any Obligor’s Obligations. The entries in the Register shall
constitute prima facie evidence and shall be binding, in the absence of manifest error, and the
Borrower, the Administrative Agent and the Lenders shall treat each Person in whose name a Loan is
registered (or, if applicable, to which a Note has been issued) as the owner thereof for the
purposes of all Loan Documents, notwithstanding notice or any provision herein to the contrary.
Any assignment or transfer of a Commitment or the Loans made pursuant hereto shall be registered in
the Register only upon delivery to the Administrative Agent of a Lender Assignment Agreement that
has been executed by the requisite parties pursuant to Section 10.11. No assignment or
transfer of a Lender’s Commitment or Loans shall be effective unless such assignment or transfer
shall have been recorded in the Register by the Administrative Agent as provided in this Section.

     (b)
The Borrower agrees that, upon the request to the Administrative Agent by any Lender, the
Borrower will execute and deliver to such Lender a Note evidencing the Loans made by, and payable
to the order of, such Lender in a maximum principal amount equal to such Lender’s Percentage of the
original applicable Commitment Amount. The Borrower hereby irrevocably authorizes each Lender to
make (or cause to be made) appropriate notations on the grid attached to such Lender’s Note (or on
any continuation of such grid), which notations, if made, shall evidence, inter
alia, the date of, the outstanding principal amount of, and the interest rate and Interest
Period applicable to the Loans evidenced thereby. Such notations shall, to the extent not
inconsistent with notations made by the Administrative Agent in the Register, constitute prima
facie evidence and shall be binding on each Obligor absent manifest error; provided that,
the failure of any Lender to make any such notations shall not limit or otherwise affect any
Obligations of any Obligor.

               SECTION 2.8 [Reserved].

               SECTION 2.9 Incremental Facilities. (a) AfterAt any time or from time to time after the
Restatement Effective Date and before the Stated MaturityExtended Termination Date, the
Borrower, by written notice to Administrative Agent, may request (i) the establishment of one or
more additional tranches of
term loans (the commitments thereto, the “Incremental Term Loan
CommitmentsLoans”) and/or (ii) increases in the Revolving Loan Commitments (the
“Incremental Revolving Commitments” and, together with the Incremental Term Loan
CommitmentsLoans, the “Incremental Loan Commitments”), byCredit Increases”);
provided that

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each Incremental Credit Increase shall be in an aggregate principal
amount not in excess of $300,000,000 in the aggregate and not less than $50,000,000
individually (or such lesser amount as shall constitute the difference between $300,000,000 and the
aggregate amount of all such Incremental Loan Commitments obtained on or prior to such
date).that is not less than $50,000,000. Each such notice shall specify the date (each, an
“Increased Amount Date”) on which the Borrower proposes that the Incremental Loan
CommitmentsCredit Increases shall be effective, which shall be a date not less than 10
Business Days after the date on which such notice is delivered to the Administrative Agent. The
Borrower may approach any Lender or any Person (other than an Ineligible Assignee) to provide all
or a portion of the Incremental Loan CommitmentsCredit Increases; provided that (i)
no Lender will be required to provide such Incremental Loan CommitmentCredit Increase and
(ii) any entity providing all or a portion of the Incremental Loan CommitmentsCredit
Increase that is not a Lender, an Affiliate of a Lender or an Approved Fund shall not be an
Ineligible Assignee and shall be reasonably acceptable to the Administrative Agent (with such
acceptance by the Administrative Agent to not be unreasonably withheld or delayed).

     (b)
 In each case, such Incremental Loan CommitmentsCredit Increase shall become
effective as of the applicable Increased Amount Date, provided that (i) no Default or Event
of Default shall exist on such Increased Amount Date before or after giving effect to such
Incremental Loan CommitmentsCredit Increase, (ii) the Borrower shall be in compliance with
Section 7.2.4 both before and after giving effect to such Incremental Loan
CommitmentsCredit Increases, (iii) the weighted average life to maturity of any Incremental
Term Loan shall be greater than or equal to the then-remaining weighted average life to maturity of
the New Term Loansmature on or after the Extended Termination Date, (iv) the interest rate
margin in respect of any Incremental Term Loans or Incremental Revolving Loans (including original
issue discount (“OID”) or upfront fees in connection therewith in excess of any upfront
fees issued or paid in respect of any then outstanding Revolving Loans) shall not exceed the
Applicable Margin for the New Term Loans or Revolving Loans, as applicable,Revolving Loans of
any Extending Revolving Loan Lender or Non-Extending Revolving Loan Lender or if it does so
exceed either such Applicable Margin, such the Applicable Margin for the New Term
Loans or Revolving Loans, as applicable,so exceeded shall be increased so that the interest
rate margin in respect of such Incremental Term Loan or Incremental Revolving Loan (giving effect
to any OID issued or upfront fees in connection therewith in excess of any upfront fees issued
or paid in respect of any then outstanding Loans) is no greater than the Applicable Margin for
the New Term Loans orsuch Revolving Loan, as applicableLoans and (v) the
Incremental Loan CommitmentsCredit Increases shall be effected pursuant to one or more
joinder agreements in a form reasonably acceptable to the Administrative Agent (each, a
“Joinder Agreement”) executed and delivered by the Borrower, the applicable Incremental
Term Loan Lender and the Administrative Agent pursuant to which such Incremental Term Loan Lender
agrees to be bound to the terms of this Agreement as a Lender. Any Incremental Term Loans made on
an Increased Amount Date shall be designated a separate tranche of Incremental Term Loans for all
purposes of this Agreement.

     (c)
On any Increased Amount Date on which Incremental Revolving Commitments are effected,
subject to the satisfaction of the foregoing terms and conditions, (a) each of the Lenders with
Revolving Loan Commitments shall assign to each Person with an Incremental Revolving Commitment
(each, a “Incremental Revolving Lender”) and each of the Incremental Revolving Lenders
shall purchase from each of the Lenders with Revolving Loan

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Commitments, at the principal amount
thereof, such interests in the Revolving Loans outstanding on such Increased Amount Date as shall
be necessary in order that, after giving effect to all such assignments and purchases, the
Revolving Loans will be held by existing Revolving Loan Lenders and Incremental Revolving
Lenders ratably in accordance with their Revolving Loan Commitments after giving effect to the
addition of such Incremental Revolving Commitments to the Revolving Loan Commitments, (b) the
participations held by the Revolving Loan Lenders in the Revolving Exposure immediately prior to
such Increased Amount Date shall be automatically reallocated so as to held by existing Revolving
Loan Lenders and Incremental Revolving Lenders ratably in accordance with their Revolving Loan
Commitments after giving effect to the addition of such Incremental Revolving Commitments to the
Revolving Loan Commitments, (c) each Incremental Revolving Commitment shall be deemed for all
purposes a Revolving Loan Commitment and each Loan made thereunder (an “Incremental
Revolving Loan”) shall be deemed, for all purposes, a Revolving Loan and (cd) each
Incremental Revolving Lender shall become a Lender with respect to the Incremental Revolving
Commitment and all matters relating thereto. The terms and provisions of the Incremental Revolving
Loans and Incremental Revolving Commitments shall be identical to the Revolving Loans and the
Revolving Loan Commitments.

     (d)
On any Increased Amount Date on which any Incremental Term Loan CommitmentsLoans
are effectedto be made, subject to the satisfaction of the foregoing terms and conditions,
(i) each Person with a commitment to make an Incremental Term Loan Commitment (each, an
“Incremental Term Loan Lender”) shall make aan Incremental Term Loan to the
Borrower (an “Incremental Term Loan”) in an amount equal to its Incremental Term Loan
Commitmentsuch commitment amount, and (ii) each Incremental Term Loan Lender shall become a
Lender hereunder with respect to the Incremental Term Loan Commitment and the Incremental Term
Loans made pursuant thereto.

     (e)
Each Joinder Agreement may, without the consent of any other Lenders, effect such
amendments to this Agreement and the other Loan Documents as may be necessary or appropriate, in
the opinion of the Administrative Agent, to effect the provisions of this Section 2.9.

ARTICLE III

REPAYMENTS, PREPAYMENTS, INTEREST AND FEES

      
         SECTION 3.1  Repayments and Prepayments; Application. The Borrower agrees that the Loans shall be
repaid and prepaid pursuant to the following terms.

     SECTION 3.1.1
Repayments and Prepayments. The Borrower shall repay in full the unpaid
principal amount of each Loan upon the applicable Stated Maturity Date therefor. Prior thereto,
payments and prepayments of the Loans shall or may be made as set forth below.

     (a)
From time to time on any Business Day, the Borrower may make a voluntary prepayment, in
whole or in part, of the outstanding principal amount of any

     (i)
Loans (other than Swing Line Loans); provided that, (A) any such voluntary
prepayment of the New Term Loans shall be made of the same type and, if applicable, having
the same Interest Period of all Lenders that have made such New Term

46

 

Loans (applied to the remaining amortization payments for the New Term Loans in such
amounts as the Borrower shall determine) and any such prepayment of Revolving Loans shall be
made pro rata among the Revolving Loans of the same type, having the same
Interest Period of all Lenders that have made such Revolving Loans; (B) all such voluntary
prepayments shall require at least (1) in the case of Base Rate Loans, one but no more than
five Business Days’ prior notice to the Administrative Agent and (2) in the case of LIBO
Rate Loans, three but no more than five Business Days’ prior notice to the Administrative
Agent; and (C) all such voluntary partial prepayments shall be in an aggregate minimum
amount of $1,000,000 and an integral multiple of $500,000; and

     (ii)
 Swing Line Loans; provided that, (A) all such voluntary prepayments shall
require prior telephonic notice to the Swing Line Lender on or before 1:00 p.m. on the day
of such prepayment (such notice to be confirmed in writing within 24 hours thereafter); and
(B) all such voluntary partial prepayments shall be in an aggregate minimum amount of
$200,000 and an integral multiple of $100,000.

     (b)
On each date when the aggregate Revolving Exposure of all Revolving Loan Lenders exceeds
the Revolving Loan Commitment Amount (as it may be reduced from time to time pursuant to this
Agreement), the Borrower shall make a mandatory prepayment of Revolving Loans or Swing Line Loans
(or both) and, if necessary, Cash Collateralize all Letter of Credit Outstandings, in an aggregate
amount equal to such excess.

     (c)
On each Quarterly Payment Date (beginning with the Quarterly Payment Date on March 31,
2010), the Borrower shall make a scheduled repayment of the aggregate outstanding principal amount,
if any, of all New Term Loans in an amount equal to 0.25% of the original principal amount of all
New Term Loans, with the remaining amount of New Term Loans due and payable in full on the Stated
Maturity Date for New Term Loans.

     (d)
[Reserved].

     (e)
The Borrower shall (subject to the next proviso) within 10 days after receipt of any Net
Disposition Proceeds or Net Casualty Proceeds in excess of $2,000,000 by the Borrower or any of its
U.S. Subsidiaries, deliver to the Administrative Agent a calculation of the amount of such
proceeds, and, to the extent the aggregate amount of such (i) Net Disposition Proceeds received by
the Borrower and its U.S. Subsidiaries in any period of twelve consecutive calendar months since
the Original Closing Date exceeds $10,000,000 and (ii) Net Casualty Proceeds received by the
Borrower and its U.S. Subsidiaries in any period of twelve consecutive calendar months since the
Original Closing Date exceeds $50,000,000, the Borrower shall make a mandatory prepayment of the
New Term Loans in an amount equal to 100% of such excess Net Disposition Proceeds or Net Casualty
Proceeds, as applicable; provided that, so long as (i) no Event of Default has occurred and
is continuing, such proceeds may be retained by the Borrower and its U.S. Subsidiaries (and be
excluded from the prepayment requirements of this clause) to be invested or reinvested within one
year or, subject to immediately succeeding clause (ii), 18 months or 36 months, as
applicable, to the acquisition or construction of other assets or properties consistent with the
businesses permitted to be conducted pursuant to Section 7.2.1 (including by way of merger
or Investment), and (ii) within one year following the receipt of such Net Disposition Proceeds or
Net Casualty Proceeds, such proceeds are (A) applied or (B) committed to

47

 

be, and actually are, applied within (I) 18 months following the receipt of such
Net Disposition Proceeds or (II) 36 months following the receipt of such Net Casualty Proceeds, in
each case to such acquisition or construction plan. The amount of such Net Disposition Proceeds or
Net Casualty Proceeds unused or uncommitted after such one year, 18 months or 36 months, as
applicable, period shall be applied to prepay the New Term Loans as set forth in Section
3.1.2. At any time after receipt of any such Net Casualty Proceeds in excess of $25,000,000
but prior to the application thereof to such mandatory prepayment or the acquisition of other
assets or properties as described above, upon the request by the Administrative Agent (acting at
the direction of the Required Lenders) to the Borrower, the Borrower shall deposit an amount equal
to such excess Net Casualty Proceeds into a cash collateral account maintained with (and subject to
documentation reasonably satisfactory to) the Collateral Agent for the benefit of the Secured
Parties (and over which the Collateral Agent shall have a first priority perfected Lien) pending
application as a prepayment or to be released as requested by the Borrower in respect of such
acquisition. Amounts deposited in such cash collateral account shall be invested in Cash
Equivalent Investments, as directed by the Borrower.

     (f)
Within 100 days after the close of each Fiscal Year (beginning with the Fiscal Year ending
2009) the Borrower shall make a mandatory prepayment of the New Term Loans in an amount equal to
(i) the product of (A) the Excess Cash Flow (if any) for such Fiscal Year multiplied by (B)
the Applicable Percentage minus (ii) the aggregate amount of all voluntary prepayments of
Loans (but including Revolving Loans and Swing Line Loans only to the extent of a corresponding
reduction of the Revolving Loan Commitment Amount pursuant to Section 2.2.1) made during
such Fiscal Year, to be applied as set forth in Section 3.1.2;

     (g)
Concurrently with the receipt by the Borrower or any of its U.S. Subsidiaries of any Net
Debt Proceeds, the Borrower shall make a mandatory prepayment of the New Term Loans in an amount
equal to 100% of such Net Debt Proceeds, to be applied as set forth in Section 3.1.2.

     (h)
Immediately upon any acceleration of the Stated Maturity Date of any Loans pursuant to
Section 8.2 or Section 8.3, the Borrower shall repay all the Loans, unless,
pursuant to Section 8.3, only a portion of all the Loans is so accelerated (in which case
the portion so accelerated shall be so repaid).

Each prepayment of any Loans made pursuant to this Section shall be without premium or penalty,
except as may be required by Section 4.4.

     SECTION 3.1.2
Application. Amounts prepaid pursuant to Section 3.1.1 shall be
applied as set forth in this Section.

     (a)
 Subject to clause (b), each prepayment or repayment of the principal of the Loans
shall be applied, to the extent of such prepayment or repayment, first, to the principal
amount thereof being maintained as Base Rate Loans, and second, subject to the terms of
Section 4.4, to the principal amount thereof being maintained as LIBO Rate Loans.

     (b)
 Each prepayment of the New Term Loans made pursuant to clauses (e), (f),
and (g) of Section 3.1.1 shall be applied first, pro rata
to a mandatory prepayment of the outstanding

48

 

principal amount of all New Term Loans (with the amount of such prepayment of the New Term
Loans being applied (A) first to the remaining New Term Loans to reduce in direct order of
maturity the amortization payments that are due and payable within 24 calendar months from the date
of such prepayment, and (B) second, to the extent in excess of the amounts to be applied
pursuant to the preceding clause (A), to reduce the then remaining New Term Loan
amortization payments on a pro rata basis).

     (c)
So long as the Administrative Agent has received prior written notice from the Borrower of
a mandatory prepayment pursuant to clauses (e), (f) and (g) of Section
3.1.1, the Administrative Agent shall provide notice of such mandatory prepayment to the
Lenders with New Term Loans. It is understood and agreed by the Borrower that, notwithstanding
receipt by the Administrative Agent of any such mandatory prepayment, the New Term Loans shall not
be deemed repaid, unless otherwise consented to by the Administrative Agent, until five Business
Days have elapsed from the delivery to the Administrative Agent of the notice described above in
this clause (c).

               SECTION 3.2
Interest Provisions. Interest on the outstanding principal amount of the Loans shall
accrue and be payable in accordance with the terms set forth below.

     
SECTION 3.2.1  Rates. Subject to Section 2.3.2, pursuant to an appropriately
delivered Borrowing Request or Continuation/Conversion Notice, the Borrower may elect that the
Loans comprising a Borrowing accrue interest at a rate per annum:

     (a)
on that portion maintained from time to time as a Base Rate Loan, equal to the sum
of the Alternate Base Rate from time to time in effect plus the Applicable Margin;
provided that, Swing Line Loans shall always accrue interest at the Alternate Base
Rate plus the then effective Applicable Margin for Revolving Loans maintained as
Base Rate Loans; and

     (b)
 on that portion maintained as a LIBO Rate Loan, during each Interest Period
applicable thereto, equal to the sum of the LIBO Rate (Reserve Adjusted) plus the Applicable
Margin.

All LIBO Rate Loans shall bear interest from and including the first day of the applicable Interest
Period to (but not including) the last day of such Interest Period at the interest rate determined
as applicable to such LIBO Rate Loan.

     SECTION 3.2.2 Post-Default Rates. If all or any portion of the Obligations shall not
be paid when due (whether at the Stated Maturity, by acceleration or otherwise), the Borrower shall
pay, but only to the extent permitted by law, interest (after as well as before judgment) on all
such unpaid Obligations at a rate per annum equal to (a) in the case of principal on any Loan, the
rate of interest that otherwise would be applicable to such Loan plus 2% per annum; and (b)
in the case of overdue interest, fees, and other monetary Obligations, the Alternate Base Rate from
time to time in effect, plus the Applicable Margin for the New Term Loans accruing interest at the
Alternate Base Rate, plus 2% per annum.

     SECTION 3.2.3
Payment Dates. Interest accrued on each Loan shall be payable, without
duplication:

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     (a) on the Stated Maturity Date therefor;

     (b) on the date of any payment or prepayment, in whole or in part, of principal
outstanding on such Loan on the principal amount so paid or prepaid;

     (c) with respect to Base Rate Loans, on each Quarterly Payment Date occurring after the
Restatement Effective Date;

     (d) with respect to LIBO Rate Loans, on the last day of each applicable Interest Period
(and, if such Interest Period shall exceed three months, on the date occurring on each
three-month interval occurring after the first day of such Interest Period);

     (e) with respect to any Base Rate Loans converted into LIBO Rate Loans on a day when
interest would not otherwise have been payable pursuant to clause (c), on the date
of such conversion; and

     (f) on that portion of any Loans the Stated Maturity Date of which is accelerated
pursuant to Section 8.2 or Section 8.3, immediately upon such acceleration.

Interest accrued on Loans or other monetary Obligations after the date such amount is due and
payable (whether on the Stated Maturity Date, upon acceleration or otherwise) shall be payable upon
demand.

               SECTION 3.3 Fees. The Borrower agrees to pay the fees set forth below. All such fees shall be
non-refundable when earned and paid.

     SECTION 3.3.1 Commitment Fee. The Borrower agrees to pay to the Administrative Agent
for the account of each Non-Defaulting Lender, for the period (including any portion thereof when
its Revolving Loan Commitments are suspended by reason of the Borrower’s inability to satisfy any
condition of Article V) commencing on the Restatement Effective Date and continuing through
the Revolving Loan Commitment Termination Date, a commitment fee in an amount equal to the
Applicable Commitment Fee Margin, in each case on such Revolving Loan Lender’s Revolving Loan
Percentage of the sum of the average daily unused portion of the Revolving Loan Commitment Amount
(net of Letter of Credit Outstandings). All commitment fees payable pursuant to this Section shall
be calculated on a year comprised of 360 days and payable by the Borrower in arrears on each
Quarterly Payment Date, commencing with the first Quarterly Payment Date following the Restatement
Effective Date, and on the Revolving Loan Commitment Termination Date. The making of Swing Line
Loans shall not constitute usage of the Revolving Loan Commitment with respect to the calculation
of commitment fees to be paid by the Borrower to the Revolving Loan Lenders.

     SECTION 3.3.2 Agents’ Fees. The Borrower agrees to pay to each of the Agents the fees
in the amounts and on the dates set forth in any fee agreements with any of the Agents and to
perform any other obligations contained therein.

     SECTION 3.3.3  Letter of Credit Fee. The Borrower agrees to pay to the Administrative
Agent, for the pro rata account of the applicable Issuer and each Revolving Loan
Lender, a Letter of Credit fee in a per annum amount equal to the then effective Applicable
Margin

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for Revolving Loans maintained as LIBO Rate Loans, multiplied by the average daily Stated
Amount of each such Letter of Credit, such fees being payable quarterly in arrears on each
Quarterly Payment Date following the date of issuance of each Letter of Credit and on the Revolving
Loan Commitment Termination Date. The Borrower further agrees to pay to the applicable Issuer,
quarterly in arrears on each Quarterly Payment Date, a fronting fee of 0.25% per annum on the
average daily Stated Amount of each such Letter of Credit and such other reasonable fees and
charges in connection with the issuance, negotiation, settlement, amendment and processing of each
Letter of Credit as agreed to by the Borrower and such Issuer.

     SECTION 3.3.4
 Open Account Agreement Payments. Each Open Account Discount Purchaser
agrees to pay (and in the case of any Open Account Discount Purchaser that is an affiliate of a
Lender, such Lender agrees to cause such Open Account Discount Purchaser to pay) to the
Administrative Agent, for the pro rata account of each Revolving Loan Lender, an
amount with respect to any Open Account Paying Agreement to which it is a party equal to, on a per
annum basis, the then effective Applicable Margin for Revolving Loans maintained as LIBO Rate Loans
multiplied by the aggregate amount of OA Payment Obligations actually paid to such Open Account
Discount Purchaser by the relevant Obligor under the relevant Open Account Paying Agreement, such
amounts being payable quarterly in arrears on each Quarterly Payment Date following the date of the
entry into such Open Account Discount Agreement and on the Revolving Loan Commitment Termination
Date.

ARTICLE IV

CERTAIN LIBO RATE AND OTHER PROVISIONS

         
      SECTION 4.1 LIBO Rate Lending Unlawful. If any Lender shall determine (which determination shall,
upon notice thereof to the Borrower and the Administrative Agent, constitute prima facie evidence
thereof and shall be binding on the Borrower absent manifest error) that the introduction of or any
change in or in the interpretation of any law makes it unlawful, or any Governmental Authority
asserts that it is unlawful, for such Lender to make or continue any Loan as, or to convert any
Loan into, a LIBO Rate Loan, the obligations of such Lender to make, continue or convert any such
LIBO Rate Loan shall, upon such determination, forthwith be suspended until such Lender shall
notify the Administrative Agent that the circumstances causing such suspension no longer exist, and
all outstanding LIBO Rate Loans payable to such Lender shall automatically convert into Base Rate
Loans at the end of the then current Interest Periods with respect thereto or sooner, if required
by such law or assertion.

               SECTION 4.2     Deposits Unavailable. If the Administrative Agent shall have determined that

     (a)
 Dollar deposits in the relevant amount and for the relevant Interest Period are not
available to it in its relevant market; or

     (b)
 by reason of circumstances affecting it’s relevant market, adequate means do not
exist for ascertaining the interest rate applicable hereunder to LIBO Rate Loans;

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then, upon notice from the Administrative Agent to the Borrower and the Lenders, the obligations of
all Lenders under Section 2.3 and Section 2.4 to make or continue any Loans as, or
to convert any Loans into, LIBO Rate Loans shall forthwith be suspended until the Administrative
Agent shall notify the Borrower and the Lenders that the circumstances causing such suspension no
longer exist.

               SECTION
4.3 Increased LIBO Rate Loan Costs, etc. The Borrower agrees to reimburse each Lender and
each Issuer for any increase in the cost to such Lender or Issuer of, or any reduction in the
amount of any sum receivable by such Secured Party in respect of, such Secured Party’s Commitments
and the making of Credit Extensions hereunder (including the making, continuing or maintaining (or
of its obligation to make or continue) any Loans as, or of converting (or of its obligation to
convert) any Loans into, LIBO Rate Loans) that arise in connection with any change in, or the
introduction, adoption, effectiveness, interpretation, reinterpretation or phase-in after the
Restatement Effective Date of, any law or regulation, directive, guideline, decision or request
(whether or not having the force of law) of any Governmental Authority, except for such changes
with respect to increased capital costs and Taxes which are governed by Sections 4.5 and 4.6,
respectively. Each affected Secured Party shall promptly notify the Administrative Agent and the
Borrower in writing of the occurrence of any such event, stating the reasons therefor and the
additional amount required fully to compensate such Secured Party for such increased cost or
reduced amount. Such additional amounts shall be payable by the Borrower directly to such Secured
Party within five Business Days of its receipt of such notice, and such notice shall, in the
absence of manifest error, constitute prima facie evidence thereof and shall be binding on the
Borrower.

               SECTION 4.4
Funding Losses. In the event any Lender shall incur any actual loss or expense
(including any actual loss or expense incurred by reason of the liquidation or reemployment of
deposits or other funds acquired by such Lender (if any) to make or continue any portion of the
principal amount of any Loan as, or to convert any portion of the principal amount of any Loan
into, a LIBO Rate Loan) as a result of

     (a)
any conversion or repayment or prepayment of the principal amount of any LIBO Rate
Loan on a date other than the scheduled last day of the Interest Period applicable thereto,
whether pursuant to Article III or otherwise;

     (b)
 any Loans not being made continued or converted as LIBO Rate Loans in accordance
with the Borrowing Request or other notice therefor;

     (c)  any Loans not being continued as, or converted into, LIBO Rate Loans in accordance
with the Continuation/Conversion Notice therefor; or

     (d) the assignment of any LIBO Rate Loan other than on the last day of an Interest
Period therefor as a result of a request by the Borrower pursuant to Section 4.11;

then, upon the written notice of such Lender to the Borrower (with a copy to the Administrative
Agent), the Borrower shall, within five days of its receipt thereof, pay directly to such Lender
such amount as will (in the reasonable determination of such Lender) reimburse such Lender for such

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actual loss or expense. Such written notice shall, in the absence of manifest error,
constitute prima facie evidence thereof and shall be binding on the Borrower.

               SECTION 4.5 Increased Capital Costs. If any change in, or the introduction, adoption,
effectiveness, interpretation, reinterpretation or phase-in of, any law or regulation, directive,
guideline, decision or request (whether or not having the force of law) of any Governmental
Authority after the Restatement Effective Date affects or would affect the amount of capital
required or expected to be maintained by any Secured Party or any Person controlling such Secured
Party, and such Secured Party determines (in good faith but in its sole and absolute discretion)
that as a result thereof the rate of return on its or such controlling Person’s capital as a
consequence of the Commitments or the Credit Extensions made, or the Letters of Credit participated
in, by such Secured Party is reduced to a level below that which such Secured Party or such
controlling Person could have achieved but for the occurrence of any such circumstance, then upon
notice (together with reasonably detailed supporting documentation) from time to time by such
Secured Party to the Borrower, the Borrower shall within five Business Days following receipt of
such notice pay directly to such Secured Party additional amounts sufficient to compensate such
Secured Party or such controlling Person for such reduction in rate of return. A statement in
reasonable detail of such Secured Party as to any such additional amount or amounts shall, in the
absence of manifest error, constitute prima facie evidence thereof and shall be binding on the
Borrower. In determining such amount, such Secured Party may use any method of averaging and
attribution that it (in its sole and absolute discretion) shall deem applicable.

               SECTION 4.6 Taxes. The Borrower covenants and agrees as follows with respect to Taxes.

     (a) Any and all payments by the Borrower under each Loan Document shall be made without
setoff, counterclaim or other defense, and free and clear of, and without deduction or withholding
for or on account of, any Taxes. In the event that any Taxes are imposed and required to be
deducted or withheld from any payment required to be made by any Obligor to or on behalf of any
Secured Party under any Loan Document, then:

     (i) subject to clause (f), if such Taxes are Non-Excluded Taxes, the amount of
such payment shall be increased as may be necessary so that such payment is made, after
withholding or deduction for or on account of such Taxes, in an amount that is not less than
the amount provided for in such Loan Document; and

     (ii) the Borrower shall withhold the full amount of such Taxes from such payment (as
increased pursuant to clause (a)(i)) and shall pay such amount to the Governmental
Authority imposing such Taxes in accordance with applicable law.

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

     (c) Upon the written request of the Administrative Agent, as promptly as practicable after the
payment of any Taxes or Other Taxes, and in any event within 45 days of any such written request,
the Borrower shall furnish to the Administrative Agent a copy of an official receipt (or a
certified copy thereof) evidencing the payment of such Taxes or Other Taxes.

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The Administrative Agent shall make copies thereof available to any Lender upon
request therefor.

     (d) Subject to clause (f), the Borrower shall indemnify each Secured Party for any
Non-Excluded Taxes and Other Taxes levied, imposed or assessed on (and whether or not paid directly
by) such Secured Party whether or not such Non-Excluded Taxes or Other Taxes are correctly or
legally asserted by the relevant Governmental Authority; provided that if the Borrower
reasonably believes that such Taxes were not correctly or legally asserted, such Secured Party will
use reasonable efforts to cooperate with the Borrower to obtain a refund of such Taxes so long as
such efforts would not, in the sole determination of such Secured Party, result in any additional
costs, expenses or risks or be otherwise disadvantageous to it. Promptly upon having knowledge
that any such Non-Excluded Taxes or Other Taxes have been levied, imposed or assessed, and promptly
upon notice thereof by any Secured Party, the Borrower shall pay such Non-Excluded Taxes or Other
Taxes directly to the relevant Governmental Authority (provided that, no Secured Party
shall be under any obligation to provide any such notice to the Borrower). In addition, the
Borrower shall indemnify each Secured Party for any incremental Taxes that may become payable by
such Secured Party as a result of any failure of the Borrower to pay any Taxes when due to the
appropriate Governmental Authority or to deliver to the Administrative Agent, pursuant to
clause (c), documentation evidencing the payment of Taxes or Other Taxes (other than
incidental taxes resulting directly as a result of the willful misconduct or gross negligence of
the Administrative Agent or a respective Secured Party); provided that if the Secured Party
or Administrative Agent, as applicable, fails to give notice to the Borrower of the imposition of
any Non-Excluded Taxes or Other Taxes within 120 days following its receipt of actual written
notice of the imposition of such Non-Excluded Taxes or Other Taxes, there will be no obligation for
the Borrower to pay interest or penalties attributable to the period beginning after such 120th day
and ending seven days after the Borrower receives notice from the Secured Party or the
Administrative Agent as applicable. With respect to indemnification for Non-Excluded Taxes and
Other Taxes actually paid by any Secured Party or the indemnification provided in the immediately
preceding sentence, such indemnification shall be made within 30 days after the date such Secured
Party makes written demand therefor (together with supporting documentation in reasonable detail).
The Borrower acknowledges that any payment made to any Secured Party or to any Governmental
Authority in respect of the indemnification obligations of the Borrower provided in this clause
shall constitute a payment in respect of which the provisions of clause (a) and this clause
shall apply.

     (e) Each Non-U.S. Lender, on or prior to the date on which such Non-U.S. Lender becomes a
Lender hereunder (and from time to time thereafter upon the request of the Borrower or the
Administrative Agent, but only for so long as such non-U.S. Lender is legally entitled to do so),
shall deliver to the Borrower and the Administrative Agent either (i) two duly completed copies of
either (x) Internal Revenue Service Form W-8BEN claiming eligibility of the Non-U.S. Lender for
benefits of an income tax treaty to which the United States is a party or (y) Internal Revenue
Service Form W-8ECI, or in either case an applicable successor form; or (ii) in the case of a
Non-U.S. Lender that is not legally entitled to deliver either form listed in clause
(e)(i), (x) a certificate to the effect that such Non-U.S. Lender is not (A) a “bank” within
the meaning of Section 881(c)(3)(A) of the Code, (B) a “10 percent shareholder” of the Borrower
within the meaning of Section 881(c)(3)(B) of the Code, or (C) a controlled foreign corporation
receiving interest from a related person within the meaning of Section 881(c)(3)(C) of the Code

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(referred to as an “Exemption Certificate”) and (y)
two duly completed copies of Internal Revenue Service Form W-8BEN or applicable successor form.

     (f) Any Lender that is a United States Person, as defined in Section 7701(a)(30) of the Code,
shall (unless such Lender may be treated as an exempt recipient based on the indicators described
in Treasury Regulation Section 1.6049-4(c)(1)(ii)(A)) deliver to the Borrower and the
Administrative Agent, at the times specified in clause (e), two duly completed copies of Internal
Revenue Service Form W-9, or any successor form that such Person is entitled to provide at such
time, in order to qualify for an exemption from United States back-up withholding requirements.

     (g) The Borrower shall not be obligated to pay any additional amounts to any Lender pursuant
to clause (a)(i), or to indemnify any Lender pursuant to clause (d), in respect of
United States federal withholding taxes to the extent imposed as a result of (i) the failure of
such Lender to deliver to the Borrower the form or forms and/or an Exemption Certificate, as
applicable to such Lender, pursuant to clause (e) or clause (f), (ii) such form or
forms and/or Exemption Certificate not establishing a complete exemption from U.S. federal
withholding tax or the information or certifications made therein by the Lender being untrue or
inaccurate on the date delivered in any material respect, or (iii) the Lender designating a
successor lending office at which it maintains its Loans which has the effect of causing such
Lender to become obligated for tax payments in excess of those in effect immediately prior to such
designation; provided that the Borrower shall be obligated to pay additional amounts to any
such Lender pursuant to clause (a)(i) and to indemnify any such Lender pursuant to
clause (d), in respect of United States federal withholding taxes if (i) any such failure
to deliver a form or forms or an Exemption Certificate or the failure of such form or forms or
Exemption Certificate to establish a complete exemption from U.S. federal withholding tax or
inaccuracy or untruth contained therein resulted from a change in any applicable statute, treaty,
regulation or other applicable law or any interpretation of any of the foregoing occurring after
the Restatement Effective Date, which change rendered such Lender no longer legally entitled to
deliver such form or forms or Exemption Certificate or otherwise ineligible for a complete
exemption from U.S. federal withholding tax, or rendered the information or certifications made in
such form or forms or Exemption Certificate untrue or inaccurate in a material respect, (ii) the
redesignation of the Lender’s lending office was made at the request of the Borrower or (iii) the
obligation to pay any additional amounts to any such Lender pursuant to clause (a)(i) or to
indemnify any such Lender pursuant to clause (d) is with respect to an Eligible Assignee
that becomes an assignee Lender as a result of an assignment made at the request of the Borrower.

     (h) If the Administrative Agent or a Lender determines in its sole, good faith discretion that
amounts recovered or refunded are a recovery or refund of any Non-Excluded Taxes or Other Taxes as
to which it has been indemnified by the Borrower pursuant to clause (d), or to which the
Borrower has paid additional amounts pursuant to clause (a)(i), it shall pay over such
refund to the Borrower (but only to the extent of indemnity payments made, or additional amounts
paid, by the Borrower under this Section 4.6 with respect to the Non-Excluded Taxes or
Other Taxes that give rise to such refund), net of all reasonable out-of-pocket expenses of the
Administrative Agent or such Lender and without interest (other than any interest paid by the
relevant Governmental Authority with respect to such refund); provided that in no event
will any Lender be required to pay an amount to the Borrower that would place such Lender in a less

55

 

favorable net after-tax position than such Lender would have been in if the
additional amounts giving rise to such refund of any Non-Excluded Taxes or Other Taxes had never
been paid, and provided further that the Borrower, upon the written request of the
Administrative Agent or such Lender, agrees to repay the amount paid over to the Borrower (plus any
penalties, interest, or other charges imposed by the relevant Governmental Authority unless the
Governmental Authority assessed such penalties, interest, or other charges due to the gross
negligence or willful misconduct of the Administrative Agent or such Lender) to the Administrative
Agent or such Lender in the event the Administrative Agent or such Lender is required to repay such
refund to the Governmental Authority. Nothing in this Section 4.6(h) shall require any
Lender to make available its tax returns or any other information related to its taxes that it
deems confidential.

               SECTION 4.7 Payments, Computations; Proceeds of Collateral, etc. (a) Unless otherwise expressly
provided in a Loan Document, all reductions of the Revolving Loan Commitments and all payments by
the Borrower pursuant to each Loan Document shall be made by the Borrower to the Administrative
Agent for the pro rata account of the Secured Parties entitled to receive such reduction or
payment. All payments shall be made without setoff, deduction or counterclaim not later than 11:00
a.m. on the date due in same day or immediately available funds to such account as the
Administrative Agent (or in the case of a reimbursement obligation, the applicable Issuer) shall
specify from time to time by notice to the Borrower. Funds received after that time shall be
deemed to have been received by the Administrative Agent on the next succeeding Business Day. The
Administrative Agent shall promptly remit in same day funds to each Secured Party its share, if
any, of such payments received by the Administrative Agent for the account of such Secured Party.
All interest (including interest on LIBO Rate Loans) and fees shall be computed on the basis of the
actual number of days (including the first day but excluding the last day) occurring during the
period for which such interest or fee is payable over a year comprised of 360 days (or, in the case
of interest on a Base Rate Loan (calculated at other than the Federal Funds Rate), 365 days or, if
appropriate, 366 days). Payments due on other than a Business Day shall be made on the next
succeeding Business Day and such extension of time shall be included in computing interest and fees
in connection with that payment.

     (b)  All amounts received as a result of the exercise of remedies under the Loan Documents
(including from the proceeds of collateral securing the Obligations) or under applicable law shall
be applied upon receipt to the Obligations as follows: (i) first, to the payment of all Obligations
owing to the Agents, in their capacity as Agents (including the fees and expenses of counsel to the
Agents), (ii) second, after payment in full in cash of the amounts specified in clause
(b)(i), to the ratable payment of all interest (including interest accruing after the
commencement of a proceeding in bankruptcy, insolvency or similar law, whether or not permitted as
a claim under such law) and fees owing under the Loan Documents (including all amounts owing under
Section 3.3.4), and all costs and expenses owing to the Secured Parties pursuant to the terms of
the Loan Documents, until paid in full in cash, (iii) third, after payment in full in cash of the
amounts specified in clauses (b)(i) and (b)(ii), to the ratable payment of the
principal amount of the Loans then outstanding, the aggregate Reimbursement Obligations then owing,
the aggregate amount of OA Payment Obligations then owing, the Cash Collateralization for
contingent liabilities under Letter of Credit Outstandings, amounts owing to Secured Parties under
Rate Protection Agreements and the aggregate amount of Cash Management Obligations then owing, (iv)
fourth, after payment in full in cash of the amounts specified in clauses (b)(i)
through (b)(iii), to the ratable payment of all other Obligations owing to the Secured
Parties, and (v) fifth, after

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payment in full in cash of the amounts specified in clauses
(b)(i) through (b)(iv), and following the Termination Date, to each applicable Obligor
or any other Person lawfully entitled to receive such surplus. For purposes of clause
(b)(iii), the “amounts owing” at any time to any Secured Party with respect to a Rate
Protection Agreement to which such Secured Party is a party shall be determined at such time by the
terms of such Rate Protection Agreement or, if not set forth therein, in accordance with the
customary methods of calculating credit exposure under similar arrangements by the counterparty to
such arrangements, taking into account potential interest rate (or, if applicable, currency or
commodities) movements and the respective termination provisions and notional principal amount and
term of such Rate Protection Agreement.

               SECTION 4.8 Sharing of Payments. If any Secured Party shall obtain any payment or other recovery
(whether voluntary, involuntary, by application of setoff or otherwise) on account of any Credit
Extension or Reimbursement Obligation (other than pursuant to the terms of Sections 4.3,
4.4, 4.5 or 4.6) in excess of its pro rata share of
payments obtained by all Secured Parties, such Secured Party shall purchase (in Dollars) from the
other Secured Parties such participations in Credit Extensions made by them as shall be necessary
to cause such purchasing Secured Party to share the excess payment or other recovery ratably (to
the extent such other Secured Parties were entitled to receive a portion of such payment or
recovery) with each of them; provided that, if all or any portion of the excess payment or
other recovery is thereafter recovered from such purchasing Secured Party, the purchase shall be
rescinded and each Secured Party which has sold a participation to the purchasing Secured Party
shall repay to the purchasing Secured Party the purchase price to the ratable extent of such
recovery together with an amount equal to such selling Secured Party’s ratable share (according to
the proportion of (a) the amount of such selling Secured Party’s required repayment to the
purchasing Secured Party to (b) total amount so recovered from the purchasing Secured
Party) of any interest or other amount paid or payable by the purchasing Secured Party in respect
of the total amount so recovered. The Borrower agrees that any Secured Party purchasing a
participation from another Secured Party pursuant to this Section may, to the fullest extent
permitted by law, exercise all its rights of payment (including pursuant to Section 4.9)
with respect to such participation as fully as if such Secured Party were the direct creditor of
the Borrower in the amount of such participation. If under any applicable bankruptcy, insolvency
or other similar law any Secured Party receives a secured claim in lieu of a setoff to which this
Section applies, such Secured Party shall, to the extent practicable, exercise its rights in
respect of such secured claim in a manner consistent with the rights of the Secured Parties
entitled under this Section to share in the benefits of any recovery on such secured claim.

               SECTION 4.9 Setoff. Each Secured Party shall, upon the occurrence and during the continuance of
any Event of Default described in clauses (a) through (d) of Section 8.1.9
or, with the consent of the Required Lenders, upon the occurrence and during the continuance of any
other Event of Default, have the right to appropriate and apply to the payment of the Obligations
owing to it (if then due and payable), and (as security for such Obligations) the Borrower hereby
grants to each Secured Party a continuing security interest in, any and all balances, credits,
deposits, accounts or moneys of the Borrower then or thereafter maintained with such Secured Party
(other than payroll, trust or tax accounts); provided that, any such appropriation and
application shall be subject to the provisions of Section 4.8. Each Secured Party agrees
promptly to notify the Borrower and the Administrative Agent after any such appropriation and
application made by such Secured Party; provided that, the failure to give such notice
shall not

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affect the validity of such setoff and application. The rights of each Secured Party
under this Section are in addition to other rights and remedies (including other rights of setoff
under applicable law or otherwise) which such Secured Party may have.

               SECTION 4.10 Mitigation. Each Lender agrees that if it makes any demand for payment under
Sections 4.3 or 4.6, it will use reasonable efforts (consistent with its internal
policy and legal and regulatory restrictions and so long as such efforts would not be
disadvantageous to it, as determined in its sole discretion) to designate a different lending
office if the making of such a designation would reduce or obviate the need for the Borrower to
make payments under Section 4.3 or 4.6.

               SECTION 4.11 Removal of Lenders. If any Lender (an “Affected Lender”) (i) fails to consent
to an election, consent, amendment, waiver or other modification to this Agreement or other Loan
Document (a “Non-Consenting Lender”) that requires the consent of a greater percentage of
the Lenders than the Required Lenders and such election, consent, amendment, waiver or other
modification is otherwise consented to by Non-Defaulting Lenders holding more than 50% of the Total
Exposure Amount of all Non-Defaulting Lenders, (ii) makes a demand upon the Borrower for (or if the
Borrower is otherwise required to pay) amounts pursuant to Section 4.3, 4.5 or
4.6, or gives notice pursuant to Section 4.1 requiring a conversion of such
Affected Lender’s LIBO Rate Loans to Base Rate Loans or any change in the basis upon which interest
is to accrue in respect of such Affected Lender’s LIBO Rate Loans or suspending such Lender’s
obligation to make Loans as, or to convert Loans into, LIBO Rate Loans or (iii) becomes a
Defaulting Lender the Borrower may, at its sole cost and expense, within 90 days of receipt by the
Borrower of such demand or notice (or the occurrence of such other event causing Borrower to be
required to pay such compensation) or within 90 days of such Lender becoming a Non-Consenting
Lender or a Defaulting Lender, as the case may be, give notice (a “Replacement Notice”) in
writing to the Administrative Agent and such Affected Lender of its intention to cause such
Affected Lender to sell all or any portion of its Loans, Commitments and/or Notes to another
financial institution or other Person (a “Replacement Lender”) designated in such
Replacement Notice; provided that no Replacement Notice may be given by the Borrower if (A)
such replacement conflicts with any applicable law or regulation or (B) prior to any such
replacement, such Lender shall have taken any necessary action under Section 4.5 or
4.6 (if applicable) so as to eliminate the continued need for payment of amounts owing
pursuant to Section 4.5 or 4.6 and withdrew its request for compensation under
Section 4.3, 4.5 or 4.6. If the Administrative Agent shall, in the
exercise of its reasonable discretion and within 30 days of its receipt of such Replacement Notice,
notify the Borrower and such Affected Lender in writing that the Replacement Lender is reasonably
satisfactory to the Administrative Agent (such consent not being required where the Replacement
Lender is already a Lender), then such Affected Lender shall, subject to the payment of any amounts
due pursuant to Section 4.4, assign, in accordance with Section 10.11, the portion
of its Commitments, Loans, Notes (if any) and other rights and obligations under this Agreement and
all other Loan Documents (including Reimbursement Obligations, if applicable) designated in the
Replacement Notice to such Replacement Lender; provided that (A) such assignment shall be
without recourse, representation or warranty and shall be on terms and conditions reasonably
satisfactory to such Affected Lender and such Replacement Lender, and (B) the purchase price paid
by such Replacement Lender shall be in the amount of such Affected Lender’s Loans designated in the
Replacement Notice and/or its Percentage of outstanding Reimbursement Obligations, as applicable,
together with all accrued and unpaid

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interest and fees in respect thereof, plus all other amounts
(including the amounts demanded and unreimbursed under Sections 4.3, 4.5 and
4.6), owing to such Affected Lender hereunder. Upon the effective date of an assignment
described above, the Replacement Lender shall become a “Lender” for all purposes under the Loan
Documents. Each Lender hereby grants to the Administrative Agent an irrevocable power of attorney
(which power is coupled with an interest) to execute and deliver, on behalf of such Lender as
assignor, any assignment agreement necessary to effectuate any assignment of such Lender’s
interests hereunder in the circumstances contemplated by this Section.

               SECTION 4.12 Limitation on Additional Amounts, etc. Notwithstanding anything to the contrary
contained in Sections 4.3 or 4.5 of this Agreement, unless a Lender gives notice to
the Borrower that it is obligated to pay an amount under any such Section within 90 days after the
later of (i) the date the Lender incurs the respective increased costs, loss, expense or liability,
reduction in amounts received or receivable or reduction in return on capital or (ii) the date such
Lender has actual knowledge of its incurrence of their respective increased costs, loss, expense or
liability, reductions in amounts received or receivable or reduction in return on capital, then
such Lender shall only be entitled to be compensated for such amount by the Borrower pursuant to
Sections 4.3 or 4.5, as the case may be, to the extent the costs, loss, expense or
liability, reduction in amounts received or receivable or reduction in return on capital are
incurred or suffered on or after the date which occurs 90 days prior to such Lender giving notice
to the Borrower that it is obligated to pay the respective amounts pursuant to Sections 4.3
or 4.5, as the case may be. This Section shall have no applicability to any Section of
this Agreement other than Sections 4.3 and 4.5.

               SECTION 4.13 Defaulting Lenders. Notwithstanding any provision of this Agreement to the contrary,
if any Lender becomes a Defaulting Lender, then the following provisions shall apply for so long as
such Lender is a Defaulting Lender:

     (a) if any Swing Line Exposure, Letter of Credit Outstandings or any OA Payment
Outstandings exists at the time a Lender becomes a Defaulting Lender then:

     (i) all or any part of such Swing Line Exposure, Letter of Credit Outstandings
and OA Payment Outstandings shall be reallocated among the Non Defaulting Lenders in
accordance with their respective Revolving Loan Percentages but only to the extent
(x) the sum of all Non Defaulting Lenders’ Revolving Exposures plus such
Defaulting Lender’s Revolving Loan Percentage of (A) Swing Line Exposure, (B) Letter
of Credit Outstandings and (C) OA Payment Outstandings does not exceed the total of
all Non Defaulting Lenders’ Commitments and (y) the conditions set forth in
Section 5.2 are satisfied at such time; and

     (ii) if the reallocation described in clause (i) above cannot, or can only
partially, be effected, the Borrower shall within one Business Day following notice
by the Administrative Agent (x) first, prepay such Swing Line Exposure and (y)
second, Cash Collateralize such Defaulting Lender’s Revolving Loan
Percentage of the Letter of Credit Outstandings and OA Payment Outstandings
(after giving

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effect to any partial reallocation pursuant to clause (i) above) for
so long as such Letter of Credit Outstandings is outstanding.

     (iii) if the Borrower Cash Collateralizes any portion of such Defaulting
Lender’s Revolving Loan Percentage of the Letter of Credit Outstandings or OA
Payment Outstandings pursuant to this paragraph (a), the Borrower shall not be
required to pay any fees to such Defaulting Lender pursuant to Section 3.3.3
or Section 3.3.4 with respect to such Defaulting Lender’s Revolving Loan
Percentage of the Letter of Credit Outstandings and OA Payment Outstandings during
the period such Defaulting Lender’s Revolving Loan Percentage of the Letter of
Credit Outstandings or OA Payment Outstandings is cash collateralized;

     (iv)  if the Revolving Loan Percentages of the Letter of Credit Outstandings and
OA Payment Outstandings of the Non Defaulting Lenders is reallocated pursuant to
this paragraph (a), then the fees payable to the Lenders pursuant to Section
3.3.3 and Section 3.3.4 shall be adjusted in accordance with such Non
Defaulting Lenders’ Revolving Loan Percentages; or

     (v) if any Defaulting Lender’s Letter of Credit Outstandings and OA Payment
Outstandings is neither cash collateralized nor reallocated pursuant to this
paragraph (a), then, without prejudice to any rights or remedies of the Issuers or
any Lender hereunder, all Letter of Credit fees and Open Account Agreement payments
payable under Section 3.3.3 and Section 3.3.4 with respect to such
Defaulting Lender’s Revolving Loan Percentage of the Letter of Credit Outstandings
and OA Payment Outstandings shall be payable to the Issuer or applicable Open
Account Discount Purchaser, as the case may be, until such Letter of Credit
Outstandings and OA Payment Outstandings are cash collateralized and/or reallocated.

     (b) so long as any Lender is a Defaulting Lender, the Swing Line Lender shall not be
required to fund any Swing Line Loans and the Issuer shall not be required to issue, amend
or increase any Letter of Credit, unless it is satisfied that the related exposure will be
100% covered by the Commitments of the Non Defaulting Lenders and/or cash collateral will
be provided by the Borrower in accordance with paragraph (a) of this Section, and
participating interests in any such newly issued or increased Letter of Credit or newly made
Swing Line Loan shall be allocated among Non Defaulting Lenders in a manner consistent with
clause (i) of paragraph (a) of this Section (and Defaulting Lenders shall not participate
therein); and

     (c) any amount otherwise payable to such Defaulting Lender hereunder (whether on
account of principal, interest, fees or otherwise and including any amount that would
otherwise be payable to such Defaulting Lender pursuant to Section 4.8 but excluding
Section 4.11) shall, in lieu of being distributed to such Defaulting Lender, be
retained by the Administrative Agent in a segregated account and, subject to any applicable
requirements of law, be applied at such time or times as may be determined by the
Administrative Agent (i) first, to the payment of any amounts owing by such
Defaulting Lender to the Administrative Agent hereunder, (ii) second, pro rata,
to the payment of any amounts owing by such Defaulting Lender to the Issuer or Swing Line
Lender or any Open

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Account Discount Purchaser hereunder, (iii) third, if so
determined by the Administrative Agent or requested by the Issuer or Swing Line Lender or
any Open Account Discount Purchaser, held in such account as cash collateral for future
funding obligations of the Defaulting Lender in respect of any existing or future
participating interest in any Swing Line Loan or Letter of Credit or Open Account Discount
Agreement, (iv) fourth, to the funding of any Loan in respect of which such
Defaulting Lender has failed to fund its portion thereof as required by this Agreement, as
determined by the Administrative Agent, (v) fifth, if so determined by the
Administrative Agent and the Borrower, held in such account as cash collateral for future
funding obligations of the Defaulting Lender in respect of any Loans under this Agreement,
(vi) sixth, to the payment of any amounts owing to the Lenders or an Issuing Bank or
Swing Line Lender or Open Account Discount Purchaser as a result of any judgment of a court
of competent jurisdiction obtained by any Lender or such Issuer or Swing Line Lender or Open
Account Discount Purchaser against such Defaulting Lender as a result of such Defaulting
Lender’s breach of its obligations under this Agreement, (vii) seventh, to the
payment of any amounts owing to the Borrower as a result of any judgment of a court of
competent jurisdiction obtained by the Borrower against such Defaulting Lender as a result
of such Defaulting Lender’s breach of its obligations under this Agreement, and (viii)
eighth, to such Defaulting Lender or as otherwise directed by a court of competent
jurisdiction; provided, with respect to this clause (viii), that if such payment is
(x) a prepayment of the principal amount of any Loans or Reimbursement Obligations in which
a Defaulting Lender has funded its participation obligations and (y) made at a time when the
conditions set forth in Section 5.02 are satisfied, such payment shall be applied solely to
prepay the Loans of, and Reimbursement Obligations owed to, all Non Defaulting Lenders pro
rata prior to being applied to the prepayment of any Loans, or Reimbursement Obligations
owed to, any Defaulting Lender.

     (d) In the event that the Administrative Agent, the Borrower, the Issuer, the Swing
Line Lender and any Open Account Discount Purchaser each agrees that a Defaulting Lender has
adequately remedied all matters that caused such Lender to be a Defaulting Lender, then the
Revolving Loan Percentages of the Non -Defaulting Lenders shall be readjusted to
reflect the inclusion of such Lender’s Commitment and on such date such Lender shall
purchase at par such of the Loans of the other Lenders as the Administrative Agent shall
determine may be necessary in order for such Lender to hold such Loans in accordance with
its Revolving Loan Percentage.

ARTICLE V

CONDITIONS TO CREDIT EXTENSIONS

               SECTION 5.1 Initial Credit Extension. Subject to Section 7.1.11, the obligations of the
Lenders to make the initial Credit Extension shall be subject to the prior or concurrent
satisfaction (or waiver) in all material respects of each of the conditions precedent set forth in
this Article.

     SECTION 5.1.1 Resolutions, etc. The Agents shall have received from each Obligor, as
applicable, (i) a copy of a good standing certificate, dated a date reasonably close to the
Restatement Effective Date, for each such Obligor from its jurisdiction of organization and (ii) a
certificate, dated as of the Restatement Effective Date, duly executed and delivered by such

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Obligor’s Secretary or Assistant Secretary, managing member or general partner, as applicable, as
to

     (a) resolutions of each such Obligor’s Board of Directors (or other managing body, in
the case of other than a corporation) then in full force and effect authorizing, to the
extent relevant, all aspects of the Transaction applicable to such Obligor and the
execution, delivery and performance of each Loan Document to be executed by such Obligor and
the transactions contemplated hereby and thereby;

     (b) the incumbency and signatures of those of its officers, managing member or general
partner, as applicable, authorized to act with respect to each Loan Document to be executed
by such Obligor; and

     (c)  the full force and validity of each Organic Document of such Obligor and copies
thereof;

upon which certificates each Secured Party may conclusively rely until it shall have received a
further certificate of the Secretary, Assistant Secretary, managing member or general partner, as
applicable, of any such Obligor canceling or amending the prior certificate of such Obligor.

     SECTION 5.1.2  Closing Date Certificate. The Agents shall have received the Closing
Date Certificate, dated as of the Restatement Effective Date and duly executed and delivered by an
Authorized Officer of the Borrower, in which certificate the Borrower shall agree and acknowledge
and certify that the statements made therein are, true and correct representations and warranties
of the Borrower as of such date, and, at the time each such certificate is delivered, such
statements shall in fact be true and correct. All documents and agreements (including Transaction
Documents) required to be appended to the Closing Date Certificate shall be in form and substance
reasonably satisfactory to the Lead Arrangers, shall have been executed and delivered by the
requisite parties, and shall be in full force and effect.

     SECTION 5.1.3 Consummation of Transaction. The Agents shall have received evidence
reasonably satisfactory to it that all actions necessary to consummate the Transaction shall have
been taken in accordance in all material respects with all applicable law and in accordance with
the terms of each applicable Transaction Document, without amendment or waiver of any material
provision thereof, unless approved by the Lead Arrangers in their reasonable discretion.

     SECTION 5.1.4  PATRIOT Act Disclosures. Within five Business Days’ prior to the
Restatement Effective Date, the Lenders or the Agents shall have received copies of all PATRIOT Act
Disclosures as reasonably requested by the Lenders or the Lead Arrangers.

     SECTION 5.1.5 Delivery of Notes. The Administrative Agent shall have received, for
the account of each Lender that has requested a Note, such Lender’s Notes duly executed and
delivered by an Authorized Officer of the Borrower.

     SECTION 5.1.6 Financial Information, etc. The Agents shall have received,

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     (a) audited consolidated balance sheets and related statements of income, stockholders’
equity and cash flows of the Borrower and its Subsidiaries for the stub period of 2006 (from
July 2, 2006 to December 30, 2006) and Fiscal Years 2007 and 2008;

     (b) unaudited consolidated balance sheets and related statements of income,
stockholders’ equity and cash flows for each of the first three Fiscal Quarters of 2008 and
of 2009;

     (c) all other financial statements for completed or pending acquisitions that may be
required under Regulation S-X of the Securities Act of 1933, as amended (“Regulation
S-X”); and

     (d) detailed projected financial statements of the Borrower and its Subsidiaries for
the five Fiscal Years ended after the Restatement Effective Date, which projections shall
include quarterly projections for the first Fiscal Year after the Restatement Effective
Date.

     SECTION 5.1.7  Solvency Certificate. The Agents shall have received a Solvency
Certificate dated the date of the initial Credit Extension, duly executed (and with all schedules
thereto duly completed) and delivered by the chief financial or accounting Authorized Officer of
the Borrower.

     SECTION 5.1.8 Guaranty. The Agents shall have received counterparts of the Guaranty,
dated as of the Restatement Effective Date, duly executed and delivered by an Authorized Officer of
each U.S. Subsidiary.

     SECTION 5.1.9 Security Agreement. The Administrative Agent shall have received
executed counterparts of the Security Agreement, dated as of the Restatement Effective Date, duly
executed, authorized or delivered by each Obligor, as applicable, together with

     (a)  certificates (in the case of Capital Securities that are securities (as defined in
the UCC)) evidencing all of the issued and outstanding Capital Securities owned by each
Obligor in its U.S. Subsidiaries and, subject to Section 7.1.11, 65% of the issued
and outstanding Voting Securities (to the extent certificated and permitted by applicable
law to be removed from any particular jurisdiction) of each Foreign Subsidiary (together
with all the issued and outstanding non-voting Capital Securities (to the extent
certificated and permitted by applicable law to be removed from any particular jurisdiction)
of such Foreign Subsidiary) directly owned by each Obligor, which certificates in each case
shall be accompanied by undated instruments of transfer duly executed in blank, or, if any
Capital Securities (in the case of Capital Securities that are uncertificated securities (as
defined in the UCC)), confirmation and evidence reasonably satisfactory to the Lead
Arrangers that the security interest therein has been transferred to and perfected by the
Collateral Agent for the benefit of the Secured Parties in accordance with Articles 8 and 9
of the UCC and all U.S. laws otherwise applicable to the perfection of the pledge of such
Capital Securities;

     (b)  Filing Statements suitable in form and naming each Obligor as a debtor and the
Collateral Agent as the secured party, or other similar instruments or documents to be

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filed
under the UCC of all jurisdictions as may be necessary or, in the opinion of the Lead
Arrangers, desirable to perfect the security interests of the Collateral Agent pursuant to
the Security Agreement;

     (c)  UCC Form UCC-3 termination statements, if any, necessary to release all Liens and
other rights of any Person in any collateral described in any security agreement previously
granted by any Person, together with such other UCC Form UCC-3 termination statements as the
Lead Arrangers may reasonably request from such Obligors; and

     (d)  certified copies of UCC Requests for Information or Copies (Form UCC-11), or a
similar search report certified by a party reasonably acceptable to the Lead Arrangers,
dated a date reasonably near to the Closing Date, listing all effective financing statements
which name any Obligor (under its present legal name) as the debtor, together with copies of
such financing statements (none of which shall evidence a Lien on any collateral described
in any Loan Document, other than a Permitted Lien).

     SECTION 5.1.10  Intellectual Property Security Agreements. The Administrative Agent
shall have received a Patent Security Agreement, a Copyright Security Agreement and a Trademark
Security Agreement, as applicable, each dated as of the Closing Date, duly executed and delivered
by each Obligor that, pursuant to the Security Agreement, is required to provide such intellectual
property security agreements to the Collateral Agent.

     SECTION 5.1.11 Filing Agent, etc. All Uniform Commercial Code financing statements or
other similar financing statements and Uniform Commercial Code (Form UCC-3) termination statements
(collectively, the “Filing Statements”) required pursuant to the Loan Documents shall have
been delivered by counsel to the Lead Arrangers to CT Corporation System or another similar filing
service company acceptable to the Lead Arrangers (the “Filing Agent”). The Filing Agent
shall have acknowledged in a writing satisfactory to the Lead Arrangers and their counsel (i) the
Filing Agent’s receipt of all Filing Statements, (ii) that the Filing Statements required pursuant
to the Loan Documents have either been submitted for filing in the appropriate filing offices or
will be submitted for filing in the appropriate offices within ten days following the Restatement
Effective Date and (iii) that the Filing Agent will notify the Agents and their counsel of the
results of such submissions and will provide recorded copies of the same within 30 days following
the Restatement Effective Date.

     SECTION 5.1.12 Insurance. The Collateral Agent shall have received, certificates of
insurance in form and substance reasonably satisfactory to the Collateral Agent, evidencing
coverage required to be maintained pursuant to each Loan Document and naming the Collateral Agent
as loss payee or additional insured, as applicable.

     SECTION 5.1.13  Opinions of Counsel. The Agents shall have received opinions, dated
the Restatement Effective Date and addressed to the Lead Arrangers, the Agents and all Lenders,
from

     (a) Kirkland & Ellis LLP, counsel to the Obligors, in form and substance reasonably
satisfactory to the Lead Arrangers; and

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     (b)  Maryland counsel to the Borrower, in form and substance, and from counsel,
reasonably satisfactory to the Lead Arrangers.

     SECTION 5.1.14  Closing Fees, Expenses, etc. Each Lead Arranger and each Agent shall
have received for its own account, or for the account of each Lender, as the case may be, all fees,
costs and expenses due and payable pursuant to Sections 3.3 and, if then invoiced,
10.3.

     SECTION 5.1.15 [Reserved].

     SECTION 5.1.16  Litigation. There shall exist no action, suit, investigation or other
proceeding pending or threatened in writing in any court or before any arbitrator or governmental
or regulatory agency or authority that could reasonably be expected to have a Material Adverse
Effect.

     SECTION 5.1.17 Approval. All material and necessary governmental and third party
consents and approvals shall have been obtained (without the imposition of any material and adverse
conditions that are not reasonably acceptable to the Lenders) and shall remain in effect and all
applicable waiting periods shall have expired without any material and adverse action being taken
by any competent authority. The Agents shall be reasonably satisfied that the 2016 Senior Notes
shall be issued and will be in accordance with applicable laws and governmental regulations.

     SECTION 5.1.18 Debt Rating. The Borrower shall have obtained a senior secured debt
rating (of any level) in respect of the Loans from each of S&P and Moody’s, which ratings (of any
level) shall remain in effect on the Restatement Effective Date.

     SECTION 5.1.19 Satisfactory Legal Form. All documents executed or submitted pursuant
hereto by or on behalf of any Obligor on or before the Restatement Effective Date shall be
reasonably satisfactory in form and substance to the Agents, and the Agents shall have received all
information, approvals, opinions, documents or instruments as the Lead Arrangers or their counsel
may reasonably request.

               SECTION 5.2 All Credit Extensions. The obligation of each Lender and each Issuer to make any
Credit Extension shall be subject to the satisfaction of each of the conditions precedent set forth
below.

     SECTION 5.2.1 Compliance with Warranties, No Default, etc. Both before and after
giving effect to any Credit Extension (but, if any Default of the nature referred to in Section
8.1.5 shall have occurred with respect to any other Indebtedness, without giving effect to the
application, directly or indirectly, of the proceeds thereof) the following statements shall be
true and correct:

     (a)  the representations and warranties set forth in each Loan Document shall, in each
case, be true and correct in all material respects with the same effect as if then made
(unless stated to relate solely to an earlier date, in which case such representations
and warranties shall be true and correct in all material respects as of such earlier
date); and

     (b)  no Default shall have then occurred and be continuing.

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     SECTION 5.2.2
 Credit Extension Request, etc. Subject to Section 2.3.2, the
Administrative Agent shall have received a Borrowing Request if Loans are being requested, or an
Issuance Request if a Letter of Credit is being requested or extended. Each of the delivery of a
Borrowing Request or Issuance Request and the acceptance by the Borrower of the proceeds of such
Credit Extension shall constitute a representation and warranty by the Borrower that on the date of
such Credit Extension (both immediately before and after giving effect to such Credit Extension and
the application of the proceeds thereof) the statements made in Section 5.2.1 are true and
correct.

ARTICLE VI

REPRESENTATIONS AND WARRANTIES

     In order to induce the Secured Parties to enter into this Agreement and to make Credit
Extensions hereunder, the Borrower represents and warrants to each Secured Party as set forth in
this Article.

         
      SECTION 6.1
Organization, etc. Each Obligor (i) is validly organized and existing and in good
standing under the laws of the state or jurisdiction of its incorporation or organization, (ii) is
duly qualified to do business and is in good standing as a foreign entity in each jurisdiction
where the nature of its business requires such qualification, except where the failure to be so
qualified or in good standing could not reasonably be expected to have a Material Adverse Effect
and (iii) has full organizational power and authority and holds all requisite governmental
licenses, permits and other approvals to enter into and perform its Obligations under each Loan
Document to which it is a party, and except to the extent the failure to do so could not reasonably
be expected to have a Material Adverse Effect, to (a) own and hold under lease its property and (b)
to conduct its business substantially as currently conducted by it.

          
     SECTION 6.2
Due Authorization, Non-Contravention, etc. The execution, delivery and performance by
each Obligor of each Loan Document executed or to be executed by it, each Obligor’s participation
in the consummation of all aspects of the Transaction, and the execution, delivery and performance
by the Borrower or (if applicable) any Obligor of the agreements executed and delivered by it in
connection with the Transaction are in each case within such Person’s powers, have been duly
authorized by all necessary action, and do not

     (a) contravene any (i) Obligor’s Organic Documents, (ii) court decree or order binding
on or affecting any Obligor or (iii) law or governmental regulation binding on or affecting
any Obligor; or

     (b) result in (i) or require the creation or imposition of, any Lien on any Obligor’s
properties (except as permitted by this Agreement) or (ii) a default under any material
contractual restriction binding on or affecting any Obligor.

               SECTION 6.3
Government Approval, Regulation, etc. No authorization or approval or other action
by, and no notice to or filing with, any Governmental Authority or other Person (other than those
that have been, or on the Restatement Effective Date will be, duly obtained or made and which are,
or on the Restatement Effective Date will be, in full force and effect) is required for the
consummation of the Transaction or the due execution, delivery or

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performance by any Obligor of any
Loan Document to which it is a party, or for the due execution, delivery and/or performance of
Transaction Documents, in each case by the parties thereto or the consummation of the Transaction.
Neither the Borrower nor any of its Subsidiaries is an “investment company” within the meaning of
the Investment Company Act of 1940, as amended.

               SECTION 6.4
Validity, etc. Each Obligor has duly executed and delivered each of the Loan
Documents and each of the Transaction Documents to which it is a party, and each Loan Document and
each Transaction Document to which any Obligor is a party constitutes the legal, valid and binding
obligations of such Obligor, enforceable against such Obligor in accordance with their respective
terms (except, in any case, as such enforceability may be limited by applicable bankruptcy,
insolvency, reorganization or similar laws affecting creditors’ rights generally and by principles
of equity).

         
      SECTION 6.5
Financial Information. The financial statements of the Borrower and its Subsidiaries
furnished to the Administrative Agent and each Lender pursuant to Section 5.1.6 (other than
forecasts, projections, budgets and forward-looking information) have been prepared in accordance
with GAAP consistently applied (except where specifically so noted on such financial statements),
and present fairly in all material respects the consolidated financial condition of the Persons
covered thereby as at the dates thereof and the results of their operations for the periods then
ended. All balance sheets, all statements of income and of cash flow and all other financial
information of each of the Borrower and its Subsidiaries furnished pursuant to Section
7.1.1 have been and will for periods following the Restatement Effective Date be prepared in
accordance with GAAP consistently applied with the financial statements delivered pursuant to
Section 5.1.6, and do or will present fairly in all material respects the consolidated
financial condition of the Persons covered thereby as at the dates thereof and the results of their
operations for the periods then ended. Notwithstanding anything contained herein to the contrary,
it is hereby acknowledged and agreed by the Administrative Agent, each Lead Arranger and each
Lender that (i) any financial or business projections furnished to the Administrative Agent, any
Lead Arranger or any Lender by the Borrower or any of its Subsidiaries under any Loan Document are
subject to significant uncertainties and contingencies, which may be beyond the Borrower’s and/or
its Subsidiaries’ control, (ii) no assurance is given by any of the Borrower or its Subsidiaries
that the results forecast in any such projections will be realized and (iii) the actual results may
differ from the forecast results set forth in such projections and such differences may be
material.

               SECTION 6.6
No Material Adverse Change. There has been no material adverse change in the
business, financial condition, operations, performance or assets of the Borrower and its
Subsidiaries, taken as a whole, since January 3, 2009.

          
     SECTION 6.7
Litigation, Labor Controversies, etc. There is no pending or, to the knowledge of the
Borrower or any of its Subsidiaries, threatened (in writing) litigation, action, proceeding, labor
controversy or investigation:

     (a)
affecting the Borrower any of its Subsidiaries or any other Obligor, or any of
their respective properties, businesses, assets or revenues, which could reasonably be
expected to have a Material Adverse Effect; or

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     (b) which purports to affect the legality, validity or enforceability of any Loan
Document, the Transaction Documents or the Transaction.

               SECTION
6.8 Subsidiaries. The Borrower has no Subsidiaries, except those Subsidiaries which are
(a) identified in Item 6.8 of the Disclosure Schedule or (b) permitted to have been organized or
acquired in accordance with Sections 7.2.5 or 7.2.10.

               SECTION 6.9  Ownership of Properties. The Borrower and each of its Subsidiaries (other than a
Receivables Subsidiary) owns (a) in the case of owned real property, good and legal title to, (b)
in the case of owned personal property, good and valid title to, and (c) in the case of leased real
or personal property, valid and enforceable (subject to bankruptcy, insolvency, reorganization or
similar laws) leasehold interests (as the case may be) in, all of its properties and assets,
tangible and intangible, of any nature whatsoever, free and clear in each case of all Liens or
claims, except for Permitted Liens. Set forth in Item 6.9(a) of the Disclosure Schedule is a true
and complete list of each Mortgaged Property. Set forth in Item 6.9(b) of the Disclosure Schedule
is a true and complete list of each parcel of real property owned by any Obligor in the United
States on the Restatement Effective Date with a fair market value (as determined by the Borrower in
good faith) in excess of $2,000,000 on the Restatement Effective Date.

               SECTION
6.10 Taxes. The Borrower and each of its Subsidiaries has filed all material tax returns
and reports required by law to have been filed by it and has paid all Taxes thereby shown to be due
and owing, except any such Taxes which are being diligently contested in good faith by appropriate
proceedings and for which adequate reserves in accordance with GAAP shall have been set aside on
its books or except to the extent such failure could not reasonably be expected to result in a
Material Adverse Effect.

               SECTION 6.11 Pension and Welfare Plans. During the twelve-consecutive-month period prior to the
Restatement Effective Date and prior to the date of any Credit Extension hereunder, no steps have
been taken to terminate any Pension Plan which has caused or could reasonably be expected to cause
Borrower or any Subsidiary to incur any liability, and no contribution failure has occurred with
respect to any Pension Plan sufficient to give rise to a Lien under Section 302(f) of ERISA with
respect to any assets of Borrower or any Subsidiary. No condition exists or event or transaction
has occurred with respect to any Pension Plan which might result in the incurrence by the Borrower
of any material liability, fine or penalty.

               SECTION 6.12 Environmental Warranties.

     (a) All facilities and property (including underlying groundwater) owned or leased by
the Borrower or any of its Subsidiaries have been, and continue to be, owned or leased by
the Borrower and its Subsidiaries in compliance with all Environmental Laws,
except for any such noncompliance which could not reasonably be expected to have a
Material Adverse Effect;

     (b) there have been no past, and there are no pending or, to the Borrower’s knowledge
(after due inquiry), threatened (in writing) (i) claims, complaints, notices or requests for
information received by the Borrower or any of its Subsidiaries with respect to

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any alleged
violation of any Environmental Law, or (ii) complaints, notices or inquiries to the Borrower
or any of its Subsidiaries regarding potential liability under any Environmental Law except
for claims, complaints, notices, requests for information or inquiries with respect to
violations of or potential liability under any Environmental Laws that could not reasonably
be expected to have a Material Adverse Effect;

     (c)  there have been no Releases of Hazardous Materials at, on or under any property now
or previously owned, operated or leased by the Borrower or any of its Subsidiaries that have
had, or could reasonably be expected to have, a Material Adverse Effect;

     (d)  the Borrower and its Subsidiaries have been issued and are in compliance with all
permits, certificates, approvals, licenses and other authorizations relating to
environmental matters, except for any such non-issuance or any such noncompliance which
could not reasonably be expected to have a Material Adverse Effect;

     (e)  no property now or, to the Borrower’s knowledge (after due inquiry), previously
owned, operated or leased by the Borrower or any of its Subsidiaries is listed or proposed
for listing (with respect to owned, operated property only) on the National Priorities List
pursuant to CERCLA, on the CERCLIS or on any similar state list of sites requiring
investigation or clean-up, which listing could reasonably be expected to have a Material
Adverse Effect;

     (f)  there are no underground storage tanks, active or abandoned, including petroleum
storage tanks, on or under any property now or previously owned, operated or leased by the
Borrower or any of its Subsidiaries that, singly or in the aggregate, have, or could
reasonably be expected to have, a Material Adverse Effect;

     (g)  neither the Borrower nor any Subsidiary has directly transported or directly
arranged for the transportation of any Hazardous Material to any location which is listed or
proposed for listing on the National Priorities List pursuant to CERCLA, on the CERCLIS or
on any similar state list or which is the subject of federal, state or local enforcement
actions or other investigations which could reasonably be expected to lead to material
claims against the Borrower or such Subsidiary for any remedial work, damage to natural
resources or personal injury, including claims under CERCLA which, if adversely resolved
could, in any of the foregoing cases, reasonably be expected to have a Material Adverse
Effect;

     (h) there are no polychlorinated biphenyls or friable asbestos present at any property
now or previously owned, operated or leased by the Borrower or any Subsidiary
that, singly or in the aggregate, have, or could reasonably be expected to have, a
Material Adverse Effect; and

     (i)  no conditions exist at, on or under any property now or, to the knowledge of the
Borrower (after due inquiry), previously owned, operated or leased by the Borrower which,
with the passage of time, or the giving of notice or both, would give rise to liability

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under any Environmental Law, except for such liability that could not reasonably be expected
to have a Material Adverse Effect.

               SECTION 6.13 Accuracy of Information. None of the factual information (other than projections,
forecasts, budgets and forward-looking information) heretofore or contemporaneously furnished in
writing to any Secured Party by or on behalf of any Obligor in connection with any Loan Document or
any transaction contemplated hereby (including the Transaction) (taken as a whole) contains any
untrue statement of a material fact, or omits to state any material fact necessary to make any such
information not materially misleading as of the date such information was furnished;
provided, however (i) any financial or business projections furnished to the
Administrative Agent, any Lead Arranger or any Lender by the Borrower or any of its Subsidiaries
under any Loan Document are subject to significant uncertainties and contingencies, which may be
beyond the Borrower’s and/or its Subsidiaries’ control, (ii) no assurance is given by any of the
Borrower or its Subsidiaries that the results forecast in any such projections will be realized and
(iii) the actual results may differ from the forecast results set forth in such projections and
such differences may be material.

               SECTION 6.14 Regulations U and X. No Obligor is engaged in the business of extending credit for
the purpose of buying or carrying margin stock, and no proceeds of any Credit Extensions will be
used to purchase or carry margin stock or otherwise for a purpose which violates, or would be
inconsistent with, F.R.S. Board Regulation U or Regulation X. Terms for which meanings are
provided in F.R.S. Board Regulation U or Regulation X or any regulations substituted therefor, as
from time to time in effect, are used in this Section with such meanings.

               SECTION 6.15 Compliance with Contracts, Laws, etc. The Borrower and each of its Subsidiaries have
performed their obligations under agreements to which the Borrower or a Subsidiary is a party and
have complied with all applicable laws, rules, regulations and orders except were the failure to do
so could not reasonably be expected to have a Material Adverse Effect. The Borrower and each of
its Subsidiaries (a) are not listed on the “Specially Designated Nationals and Blocked Person List”
maintained by the Office of Foreign Assets Control (“OFAC”), the Department of the
Treasury, or included in any executive orders relating thereto and (b) have used the proceeds of
the Credit Extensions without violating in any material respect any of the foreign asset control
regulations of OFAC or any enabling statute or executive order relating thereto having the force of
law.

               SECTION 6.16 Solvency. The Borrower and its Subsidiaries (taken as a whole), both before and after
giving effect to any Credit Extensions, are Solvent.

ARTICLE VII

COVENANTS

               SECTION 7.1 Affirmative Covenants. The Borrower agrees with each Lender, each Issuer and each
Agent that until the Termination Date has occurred, the Borrower will, and will cause its
Subsidiaries to, perform or cause to be performed the obligations set forth below.

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     SECTION 7.1.1 Financial Information, Reports, Notices, etc. The Borrower will furnish
each Lender and the Administrative Agent copies of the following financial statements, reports,
notices and information:

     (a) within the earlier of (i) 45 days after the end of each of the first three Fiscal
Quarters of each Fiscal Year and (ii) so long as the Borrower is a public reporting company
at such time, such earlier date as the SEC requires the filing of such information (or if
the Borrower is required to file such information on a Form 10-Q with the SEC, promptly
following such filing), an unaudited consolidated balance sheet of the Borrower and its
Subsidiaries as of the end of such Fiscal Quarter and consolidated statements of income and
cash flow of the Borrower and its Subsidiaries for such Fiscal Quarter and for the period
commencing at the end of the previous Fiscal Year and ending with the end of such Fiscal
Quarter, and including (in each case), in comparative form, the figures for the
corresponding Fiscal Quarter in, and year to date portion of, the immediately preceding
Fiscal Year, certified as complete and correct in all material respects (subject to audit,
normal year-end adjustments and the absence of footnote disclosure) by the chief financial
officer, chief executive officer, president, treasurer or assistant treasurer of the
Borrower;

     (b) within the earlier of (i) 90 days after the end of each Fiscal Year and (ii) so
long as the Borrower is a public reporting company at such time, such earlier date as the
SEC requires the filing of such information (or if the Borrower is required to file such
information on a Form 10-K with the SEC, promptly following such filing), (i) a copy of the
consolidated balance sheet of the Borrower and its Subsidiaries, and the related
consolidated statements of income and cash flow of the Borrower and its Subsidiaries for
such Fiscal Year, setting forth in comparative form the figures for the immediately
preceding Fiscal Year, audited (without any Impermissible Qualification) by Pricewaterhouse
Coopers LLP or such other independent public accountants selected by the Borrower and
reasonably acceptable to the Administrative Agent, which shall include a calculation of the
financial covenants set forth in Section 7.2.4 and stating that, in performing the
examination necessary to deliver the audited financial statements of the Borrower, no
knowledge was obtained of any Event of Default with respect to financial matters and (ii) a
consolidated budget (within level of detail comparable to the quarterly financial statements
delivered pursuant to clause (a)) for the following Fiscal Year including a
projected consolidated balance sheet and related statements of projected operations and cash
flows as of the end of and for such following Fiscal Year;

     (c) promptly following the delivery of the financial information pursuant to
clauses (a) and (b) of this Section 7.1.1, a Compliance Certificate,
executed by the chief financial officer, chief executive officer, president, treasurer or
assistant treasurer of the
Borrower, (i) showing compliance with the financial covenants set forth in Section
7.2.4 and stating that no Default has occurred and is continuing (or, if a Default has
occurred, specifying the details of such Default and the action that the Borrower or an
Obligor has taken or proposes to take with respect thereto), (ii) stating that no Subsidiary
has been formed or acquired since the delivery of the last Compliance Certificate (or, if a
Subsidiary has been formed or acquired since the delivery of the last Compliance
Certificate, a statement that such Subsidiary has complied with Section 7.1.8 if
applicable) and (iii) in the case of a Compliance Certificate delivered concurrently with
the financial information

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pursuant to clause (b), a calculation of Excess Cash Flow; provided
that such Compliance Certificate shall be furnished no later than seven days following, and
within the time periods required for, delivery of the financial information pursuant to
clauses (a) and (b) of this Section 7.1.1.

     (d) as soon as possible and in any event within three Business Days after the Borrower
or any other Obligor obtains knowledge of the occurrence of a Default, a statement of an
Authorized Officer on behalf of the Borrower setting forth details of such Default and the
action which the Borrower or such Obligor has taken and proposes to take with respect
thereto;

     (e) as soon as possible and in any event within three Business Days after the Borrower
or any other Obligor obtains knowledge of (i) the commencement of any litigation, action,
proceeding or labor controversy of the type and materiality described in Section 6.7
or (ii) any other event, change or circumstance that has had, or could reasonably be
expected to have, a Material Adverse Effect, notice thereof and, to the extent the
Administrative Agent requests, copies of all documentation relating thereto, if any;

     (f) promptly upon becoming aware of (i) the institution of any steps by any Person to
terminate any Pension Plan, (ii) the failure to make a required contribution to any Pension
Plan if such failure is sufficient to give rise to a Lien under Section 302(f) of ERISA,
(iii) the taking of any action with respect to a Pension Plan which could result in the
requirement that any Obligor furnish a bond or other security to the PBGC or such Pension
Plan, or (iv) the occurrence of any event with respect to any Pension Plan which could
reasonably be expected to result in the incurrence by any Obligor of any material liability,
fine or penalty, notice thereof and copies of all documentation relating thereto;

     (g) promptly upon receipt thereof, copies of all final “management letters” submitted
to the Borrower or any other Obligor by the independent public accountants referred to in
clause (b) in connection with each audit made by such accountants;

     (h) promptly following the mailing or receipt of any notice or report (other than
identical reports or notices delivered hereunder) delivered under the terms of theany
Pro Forma Unsecured Indebtedness Documents, the 2020 Senior Note Documents, 2016 Senior
Note Documents or the 2014 Senior Note Documents, copies of such notice or report;

     (i) all PATRIOT Act Disclosures, to the extent reasonably requested by the
Administrative Agent or any Lender; and

     (j) such other financial and other information as any Lender or Issuer through the
Administrative Agent may from time to time reasonably request (including information and
reports in such detail as the Administrative Agent may request with respect to the terms of
and information provided pursuant to the Compliance Certificate).

Information required to be delivered pursuant to this Section 7.1.1 shall be deemed
to have been delivered to the Administrative Agent on the date on which such information is
available on the Internet via the EDGAR system of the SEC. Information required to be

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delivered pursuant to this Section 7.1.1 may also be delivered by electronic
communication pursuant to procedures approved by the Administrative Agent pursuant to
Section 9.11.

     SECTION 7.1.2 Maintenance of Existence; Material Obligations; Compliance with Contracts,
Laws, etc. The Borrower will, and will cause each of its Subsidiaries to, preserve and
maintain its legal existence, rights (charter and statutory), franchises, permits, licenses and
approvals (in each case, except as otherwise permitted by Section 7.2.10), perform in all
respects their obligations, including obligations under agreements to which the Borrower or a
Subsidiary is a party, and comply in all respects with all applicable laws, rules, regulations and
orders, including the payment (before the same become delinquent), of all obligations, including
all Taxes imposed upon the Borrower or its Subsidiaries or upon their property except to the extent
being diligently contested in good faith by appropriate proceedings and for which adequate reserves
in accordance with GAAP have been set aside on the books of the Borrower or its Subsidiaries, as
applicable except, in each case, where the failure to do so could not reasonably be expected to
have a Material Adverse Effect.

     SECTION 7.1.3 Maintenance of Properties. Except to the extent that the failure to do
so could not reasonably be expected to have a Material Adverse Effect the Borrower will, and will
cause each of its Subsidiaries to, maintain, preserve, protect and keep its and their respective
properties in good repair, working order and condition (ordinary wear and tear, casualty and
condemnation excepted), and make necessary repairs, renewals and replacements so that the business
carried on by the Borrower and its Subsidiaries may be properly conducted at all times, unless the
Borrower or such Subsidiary determines in good faith that the continued maintenance of such
property is no longer economically desirable, necessary or useful to the business of the Borrower
or any of its Subsidiaries or the Disposition of such property is otherwise permitted by
Section 7.2.10 or Section 7.2.11.

     SECTION 7.1.4 Insurance. The Borrower will, and will cause each of its Subsidiaries
to maintain:

     (a) insurance on its property with financially sound and reputable insurance companies
against loss and damage in at least the amounts (and with only those deductibles)
customarily maintained, and against such risks as are typically insured against in the same
general area, by Persons of comparable size engaged in the same or similar business as the
Borrower and its Subsidiaries; and

     (b) all worker’s compensation, employer’s liability insurance or similar insurance as
may be required under the laws of any state or jurisdiction in which it may be engaged in
business.

Without limiting the foregoing, all insurance policies required pursuant to this Section shall (i)
name the Collateral Agent on behalf of the Secured Parties as mortgagee (in the case of property
insurance) or additional insured (in the case of liability insurance), as applicable, and provide
that no cancellation or modification of the policies will be made without thirty days’ prior
written notice to the Collateral Agent and (ii) without duplication, be in addition to any
requirements to maintain specific types of insurance contained in the other Loan Documents.

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     SECTION 7.1.5 Books and Records. The Borrower will, and will cause each of its
Subsidiaries to, keep books and records in accordance with GAAP which accurately reflect in all
material respects all of its business affairs and transactions and permit each Secured Party or any
of their respective representatives, at reasonable times during normal business hours and intervals
upon reasonable notice to the Borrower and except after the occurrence and during the continuance
of an Event of Default not more frequently than once per Fiscal Year, to visit each Obligor’s
offices, to discuss such Obligor’s financial matters with its officers and employees, and its
independent public accountants (provided that management of the Borrower shall be notified
and allowed to be present at all such meetings and the Borrower hereby authorizes such independent
public accountant to discuss each Obligor’s financial matters with each Secured Party or their
representatives) and to examine (and photocopy extracts from) any of its books and records. The
Borrower shall pay any reasonable fees of such independent public accountant incurred in connection
with any Secured Party’s exercise of its rights pursuant to this Section.

     SECTION 7.1.6 Environmental Law Covenant. The Borrower will, and will cause each of
its Subsidiaries to:

     (a) use and operate all of its and their facilities and properties in compliance with
all Environmental Laws, keep all permits, approvals, certificates, licenses and other
authorizations required under Environmental Laws in effect and remain in compliance
therewith, and handle all Hazardous Materials in compliance with all applicable
Environmental Laws, in each case except where failure to do so could not reasonably be
expected to have a Material Adverse Effect; and

     (b) promptly notify the Administrative Agent and provide copies upon receipt of all
written claims, complaints, notices or inquiries relating to the condition of its facilities
and properties in respect of, or as to compliance with, Environmental Laws, the subject
matter of which could reasonably be expected to have a Material Adverse Effect, and shall
promptly resolve any non-compliance with Environmental Laws (except as could not reasonably
be expected to have a Material Adverse Effect) and keep its property free of any Lien
imposed by any Environmental Law, unless such Lien is a Permitted Lien.

     SECTION 7.1.7 Use of Proceeds. The Borrower will apply the proceeds of the Credit
Extensions as follows:

     (a) to finance, in part, the Transaction and to pay the fees, costs and expenses
related to the Transaction;

     (b) for working capital and general corporate purposes of the Borrower and its
Subsidiaries; and

     (c) for issuing Letters of Credit for the account of the Borrower and its Subsidiaries
for purposes referred to in clause (b) above.

     SECTION 7.1.8 Future Guarantors, Security, etc. Subject to Section 7.1.11,
the Borrower will, and will cause each U.S. Subsidiary (other than HBI Playtex Bath LLC, a Delaware
limited liability company “Playtex Bath”) to, execute any documents, authorize the filing
of Filing Statements, execute agreements and instruments, and take all commercially reasonable
further

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action (including filing Mortgages to the extent required hereby) that may be required
under applicable law, or that the Administrative Agent may reasonably request, in order to
effectuate the transactions contemplated by the Loan Documents and in order to grant, preserve,
protect and perfect the validity and first priority (subject to Permitted Liens) of the Liens
created or intended to be created by the Loan Documents. The Borrower will cause any subsequently
acquired or organized U.S. Subsidiary (other than Playtex Bath) to execute a supplement (in form
and substance reasonably satisfactory to the Administrative Agent) to the Guaranty and each other
applicable Loan Document in favor of the Secured Parties. In addition, from time to time, the
Borrower will, at its own cost and expense, promptly secure the Obligations by pledging or
creating, or causing to be pledged or created, perfected Liens with respect to such of its assets
and properties as the Administrative Agent or the Required Lenders shall designate, it being agreed
that it is the intent of the parties that the Obligations shall be secured by, among other things,
substantially all the assets of the Borrower and its U.S. Subsidiaries (other than Playtex Bath)
and personal property acquired subsequent to the Restatement Effective Date; provided that
(a) neither the Borrower nor its U.S. Subsidiaries shall be required to pledge more than 65% of the
Voting Securities of any Foreign Subsidiary that is directly owned by any Obligor, (b) neither the
Borrower nor any U.S. Subsidiary shall be required to create or perfect any security interest in
any leased real property or any owned real property with a fair market value (as determined by the
Borrower in good faith) less than $2,000,000, (c) to the extent the Organic Documents of a Foreign
Subsidiary prohibit the creation or perfection of a security interest in the Capital Securities of
such Foreign Subsidiary, no Obligor will be required to create or perfect a security interest in
such Capital Securities and (d) the Borrower will not be required to execute and deliver any
Foreign Pledge Agreement with respect to any Foreign Subsidiary (i) whose assets are valued (as
reasonably determined by the Borrower) at less than $25,000,000 or (ii) if the Borrower and the
Administrative Agent reasonably determine that it is commercially impractical to deliver a Foreign
Pledge Agreement in such jurisdiction. Such Liens will be created under the Loan Documents in form
and substance reasonably satisfactory to the Agents, and the Borrower shall deliver or cause to be
delivered to the Agents all such instruments and documents (including legal opinions, title
insurance policies and lien searches) as the Administrative Agent shall reasonably request to
evidence compliance with this Section.

     SECTION 7.1.9 Rate Protection Agreements. Within 60 days following the Restatement
Effective Date, the Borrower will enter into interest rate swap, cap, collar or similar
arrangements with a Lender or any other Person reasonably acceptable to the Lenders designed to
protect the Borrower against fluctuations in interest rates for a period of at least three years
from the Restatement Effective Date, in an amount reasonably satisfactory to the Agents and in any
event that would cause an amount equal to not less than 50% of the Indebtedness outstanding under
the Loan Documents, the 2016 Senior Note Documents and the 2014 Senior Note Documents to bear
interest at a fixed rate.

     SECTION 7.1.10 Maintenance of Ratings. The Borrower will use its commercially
reasonable efforts to cause (a) a senior secured credit rating with respect to the Loans from each
of S&P and Moody’s and (b) a corporate credit rating and corporate family rating from S&P and
Moody’s respectively, to be available at all times until the Stated Maturity Date for the New Term
Loans.

     SECTION 7.1.11 Post-Closing Obligations.

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     (a) Foreign Pledge Agreement Amendments. Within 90 days after the Restatement
Effective Date (or such later dates from time to time as consented to by the Administrative
Agent in its reasonable discretion), the Agents shall have received amendments to each
Foreign Pledge Agreement (giving effect to the appointment of JPMorgan Chase Bank, N.A., as
successor Collateral Agent and the entering into of this Agreement) and each Foreign Pledge
Agreement shall remain in full force and effect, and all Liens granted to the Collateral
Agent thereunder shall be duly perfected to provide the Collateral Agent with a security
interest in and Lien on all collateral granted thereunder free and clear of other Liens,
except to the extent reasonably consented to by the Administrative Agent; provided
that the Administrative Agent may waive the requirement to perfect a pledge on the Capital
Securities of any Foreign Subsidiary otherwise required to be pledged hereunder if they
determine, in their reasonable discretion, that the value of the assets owned by such
Foreign Subsidiary or the EBITDA generated by such Foreign Subsidiary, is immaterial when
taken as a whole.

     (b) Mortgage Amendments. Subject to the limitation in clause (d) of
Section 7.1.8, within 90 days after the Restatement Effective Date (or such later
dates from time to time as consented to by the Administrative Agent in its reasonable
discretion), the Agents shall have received amendments to each Mortgage (giving effect to
the appointment of JPMorgan Chase Bank, N.A., as successor Collateral Agent and the entering
into of this Agreement) with respect to a Mortgaged Property, duly executed and delivered by
the applicable Obligor, together with:

     (i) evidence of the completion (or reasonably satisfactory arrangements for the
completion) of all recordings and filings of each Mortgage amendment as necessary to
continue a valid, perfected first priority (subject to Permitted Liens) Lien against
the properties purported to be covered thereby;

     (ii) down-dated mortgagee’s title insurance policies in favor of the Collateral
Agent for the benefit of the Secured Parties in amounts not exceeding the fair
market value of the insured property and in form and substance and issued by
insurers, reasonably satisfactory to the Lead Arrangers, with respect to the
property purported to be covered by each Mortgage, insuring that title to such
property is marketable and that the interests created by each Mortgage continue to
constitute valid first Liens thereon (subject to Permitted Liens), and shall be
accompanied by evidence of the payment in full of all premiums thereon; and

     (iii) mortgage releases releasing any mortgage in favor of any other Person on
any Mortgaged Property (except to the extent the same constitute a Permitted Lien
pursuant to Section 7.2.3);

     (c) Mortgages on Excluded Properties. To the extent the Excluded Properties
have not been sold by the Obligors within 120 days after the Restatement Effective Date, the
Agents shall receive Mortgages with respect to the Excluded Properties within 150 days of
the Restatement Effective Date, duly executed and delivered by the applicable Obligor,
together with such other customary documents and evidence as the Agents may reasonably
request (including local opinions, maps or plats of an as-built survey of the sites

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of such Excluded Properties, a mortgagee’s title insurance policy (or policies) or marked up
unconditional binder for such insurance and flood insurance policies).

     (d) Foreign Stock Certificates. Within 30 Business Days following the
Restatement Effective Date (or such later dates from time to time as consented to by the
Administrative Agent in its reasonable discretion), the Borrower agrees to deliver to the
Collateral Agent certificates (in each case accompanied by undated instruments of transfer
duly executed in blank) evidencing 65% of the issued and outstanding Voting Securities (to
the extent certificated and permitted by applicable law to be removed from any particular
jurisdiction) of each Foreign Subsidiary (together with all the issued and outstanding
non-voting Capital Securities (to the extent certificated and permitted by applicable law to
be removed from any particular jurisdiction) of such Foreign Subsidiary) directly owned by
each Obligor to the extent not previously delivered, together with a revised Schedule I to
the Security Agreement accurately reflecting the newly delivered certificates.

               SECTION 7.2 Negative Covenants. The Borrower covenants and agrees with each Lender, each Issuer
and each Agent that until the Termination Date has occurred, the Borrower will, and will cause its
Subsidiaries to, perform or cause to be performed the obligations set forth below.

     SECTION 7.2.1 Business Activities; Fiscal Year. The Borrower will not, and will not
permit any of its Subsidiaries to, engage in any business activity except those business activities
engaged in on the date of this Agreement and activities reasonably related, supportive,
complementary, ancillary or incidental thereto or reasonable extensions thereof (each, a
“Permitted Business”). The Borrower will not change the ending dates with respect to its
Fiscal Year.

     SECTION 7.2.2 Indebtedness. The Borrower will not, and will not permit any of its
Subsidiaries to, create, incur, assume or permit to exist any Indebtedness, other than:

     (a) Indebtedness in respect of the Obligations;

     (b) unsecured Indebtedness of the Obligors (i) under the 2016 Senior Note Documents in
an aggregate principal amount not to exceed $500,000,000, as such amount is reduced on or
after the Restatement Effective Date in accordance with the terms hereof, (ii) under the
2014 Senior Note Documents in a net aggregate principal amount not to exceed $493,680,000
and (iii) under senior notes whether issued pursuant to a supplement to the 2014 Senior Note
Indenture, the 2016 Senior Note Indenture or any other senior note indenture, the terms of
which are reasonably satisfactory to the
Administrative Agent, so long as (x) thethe 2020 Senior Note Documents in an
aggregate principal amount
 allowed thereunder does
not to exceed $1,000,000,000 and (y) the proceeds therefore are applied to repay Loans in accordance with clause (g) of
Section 3.1.1;

     (c) Indebtedness existing as of the Restatement Effective Date which is identified in
Item 7.2.2(c) of the Disclosure Schedule, and refinancings, refundings,
reallocations, renewals or extensions of such Indebtedness in a principal amount not in

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excess of that which is outstanding on the Restatement Effective Date (as such amount has
been reduced following the Restatement Effective Date);

     (d) unsecured Indebtedness (i) incurred in the ordinary course of business of the
Borrower and its Subsidiaries (including open accounts extended by suppliers on normal trade
terms in connection with purchases of goods and services which are not overdue for a period
of more than 90 days or, if overdue for more than 90 days, as to which a dispute exists and
adequate reserves in conformity with GAAP have been established on the books of the Borrower
or such Subsidiary) and (ii) in respect of performance, surety or appeal bonds provided in
the ordinary course of business, but excluding (in each case), Indebtedness incurred through
the borrowing of money or Contingent Liabilities of borrowed money;

     (e) Indebtedness (i) in respect of industrial revenue bonds or other similar
governmental or municipal bonds, (ii) evidencing the deferred purchase price of newly
acquired property or incurred to finance the acquisition of equipment of the Borrower and
its Subsidiaries (pursuant to purchase money mortgages or otherwise, whether owed to the
seller or a third party) used in the ordinary course of business of the Borrower and its
Subsidiaries (provided that, such Indebtedness is incurred within 270 days of the
acquisition of such property) and (iii) in respect of Capitalized Lease Liabilities;
provided that, the aggregate amount of all Indebtedness outstanding pursuant to this
clause shall not at any time exceed $150,000,000;

     (f) Indebtedness of an Obligor owing to any other Obligor;

     (g) unsecured Indebtedness of an Obligor owing to a Subsidiary that is not a Subsidiary
Guarantor; provided that, in each case, all such Indebtedness of any Obligor owed to
a Subsidiary that is not a Subsidiary Guarantor shall be subordinated to the Obligations of
such Obligor on customary terms.

     (h) Indebtedness of a Foreign Subsidiary to the Borrower or any other Obligor in an
aggregate amount (when aggregated with the amount of Investments made by the Borrower and
the Subsidiary Guarantors in Foreign Subsidiaries under clause (l) of Section 7.2.5) not to
exceed $300,000,000 plusthe greater of (i) $400,000,000 and (ii) the sum of (A)
10.0% of Total Tangible Assets plus (B) Available Retained Excess Cash Flow,
determined as of the date of incurrence of such Indebtedness;

     (i) Indebtedness of a Person existing at the time such Person became a Subsidiary of
the Borrower, but only if such Indebtedness was not created or incurred in
contemplation of such Person becoming a Subsidiary and the aggregate amount of all
Indebtedness incurred pursuant to this clause does not exceed $250,000,000 over the term of
this Agreement;

     (j) Indebtedness incurred pursuant to a Permitted Securitization and Standard
Securitization Undertakings and Permitted Factoring Facilities;

     (k)
unsecured Indebtedness of the Borrower and its Subsidiaries incurred to (i) finance
Permitted Acquisitions (including obligations of the Borrower and its Subsidiaries

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under indemnification, adjustment of purchase price, earn-out, incentive, non-compete, consulting,
deferred compensation or other similar arrangements incurred by such Person in connection
therewith) or (ii) refinance any other Indebtedness permitted to be incurred under
clauses (a), (b), (e), (i), (j) and (n) of
this Section 7.2.2;

		 	     (l) Indebtedness in respect of Hedging Obligations entered into in the ordinary course
of business and not for speculative purposes;

		 	     (m) Indebtedness of any Foreign Subsidiary owing to any other Foreign Subsidiary;

		 	     (n) Indebtedness (whether unsecured or secured by Liens) of Foreign Subsidiaries in an
aggregate outstanding principal amount not to exceed $300,000,000 at any one time
outstanding and Contingent Liabilities of any Obligor in respect thereof; provided
that Foreign Subsidiaries shall be permitted to incur an additional $75,000,000 of
Indebtedness over the term of this Agreement to the extent such Indebtedness is incurred in
connection with a Permitted Acquisition.

		 	     (o) Indebtedness incurred in the ordinary course of business in connection with cash
pooling arrangements, cash management and other Indebtedness incurred in the ordinary course
of business in respect of netting services, overdraft protections and similar arrangements
in each case in connection with cash management and deposit accounts;

		 	     (p) Indebtedness consisting of the financing of insurance premiums in the ordinary
course of business;

		 	     (q) unsecured Indebtedness of the Borrower and its Subsidiaries representing
the obligation of such Person to make payments with respect to the cancellation or
repurchase of Capital Securities of officers, employees or directors (or their estates) of
the Borrower or such Subsidiaries; and

     (r) other Indebtedness of the Borrower and its Subsidiaries (other than Indebtedness of
Foreign Subsidiaries owing to the Borrower or Subsidiary Guarantors or of a Receivables
Subsidiary) in an aggregate amount at any time outstanding not to exceed $150,000,000;
and

     (s) unsecured Indebtedness of the Borrower and its Subsidiaries so long as
(i) the Borrower shall be in compliance with Section 7.2.4 for the Measurement Period after
giving pro forma effect thereto as if such Indebtedness had been incurred on the
last day of such Measurement Period and (ii) such Indebtedness matures after the Extended 
Termination Date (such Indebtedness permitted by this clause (s), “Pro Forma Unsecured
Indebtedness”).  

provided that, no Indebtedness otherwise permitted by clauses (c), (e),
(i), (k)(i) or, (r) or (s) shall be assumed, created or
otherwise incurred if an Event of Default has occurred and is then continuing.

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     SECTION 7.2.3 Liens. The Borrower will not, and will not permit any of its
Subsidiaries to, create, incur, assume or permit to exist any Lien upon any of its property
(including Capital Securities of any Person), revenues or assets, whether now owned or hereafter
acquired, except the following (collectively “Permitted Liens”):

     (a)
Liens securing payment of the Obligations;

     (b)
Liens in connection with a Permitted Securitization or a Permitted Factoring
Facility;

     (c)
Liens existing as of the Restatement Effective Date and disclosed in Item
7.2.3(c) of the Disclosure Schedule securing Indebtedness described in clause
(c) of Section 7.2.2, and refinancings, refundings, reallocations, renewals or
extensions of such Indebtedness; provided that, no such Lien shall encumber any
additional property (except for accessions to such property and the products and proceeds
thereof) and the amount of Indebtedness secured by such Lien is not increased from that
existing on the Restatement Effective Date;

     (d)
Liens securing Indebtedness of the type permitted under clause (e) of
Section 7.2.2; provided that, (i) such Lien is granted within 270 days after
such Indebtedness is incurred, (ii) the Indebtedness secured thereby does not exceed the
lesser of the cost or the fair market value of the applicable property, improvements or
equipment at the time of such acquisition (or construction) and (iii) such Lien secures only
the assets that are the subject of the Indebtedness referred to in such clause;

     (e)
Liens securing Indebtedness permitted by clause (i) of Section
7.2.2; provided that, such Liens existed prior to such Person becoming a
Subsidiary, were not created in anticipation thereof and attach only to specific tangible
assets of such Person;

     (f)
Liens in favor of carriers, warehousemen, mechanics, repairmen, materialmen,
customs and revenue authorities and landlords and other similar statutory Liens and Liens in
favor of suppliers (including sellers of goods pursuant to customary reservations or
retention of title, in each case) granted in the ordinary course of business for amounts not
overdue for a period of more than 60 days or are being diligently contested in good faith by
appropriate proceedings and for which adequate reserves in accordance with GAAP shall have
been set aside on its books or with respect to which the failure to make payment could not
reasonably be expected to have a Material Adverse Effect;

     (g)
(i) Liens incurred or deposits made in the ordinary course of business in
connection with worker’s compensation, unemployment insurance or other forms of governmental
insurance or benefits, or to secure performance of tenders, statutory obligations, bids,
leases, trade contracts or other similar obligations (other than for borrowed money) entered
into in the ordinary course of business or to secure obligations on surety and appeal bonds
or performance bonds, performance and completion guarantees and other obligations of a like
nature (including those to secure health, safety and environmental obligations) incurred in
the ordinary course of business and (ii) obligations

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in respect of letters of credit or bank guarantees that have been posted to
support payment of the items set forth in the immediately preceding clause (i);

     (h) judgment Liens that are being appealed in good faith or with respect to which
execution has been stayed or the payment of which is covered in full (subject to a customary
deductible) by insurance maintained with responsible insurance companies and which do not
otherwise result in an Event of Default under Section 8.1.6;

     (i) easements, rights-of-way, covenants, conditions, building codes, restrictions,
reservations, minor defects or irregularities in title and other similar encumbrances and
matters that would be disavowed by a full survey of real property not interfering in any
material respect with the value or use of the affected or encumbered real property to which
such Lien is attached;

     (j) Liens securing Indebtedness permitted by clauses (n), or
(o) of Section 7.2.2 or clause (l) of Section 7.2.5;

     (k) Liens arising solely by virtue of any statutory or common law provision relating to
banker’s liens, rights of set-off or similar rights and remedies as to deposit accounts or
other funds maintained with a creditor depository institution and Liens attaching to
commodity trading accounts or other commodities brokerage accounts incurred in the ordinary
course of business;

     (l) (i) licenses, sublicenses, leases or subleases granted to third Persons in the
ordinary course of business not interfering in any material respect with the business of the
Borrower or any of its Subsidiaries, (ii) other agreements with respect to the use and
occupancy of real property entered into in the ordinary course of business or in connection
with a Disposition permitted under the Loan Documents or (iii) the rights reserved or vested
in any Person by the terms of any lease, license, franchise, grant or permit held by
Borrower or any of its Subsidiaries or by a statutory provision, to terminate any such
lease, license, franchise, grant or permit, or to require annual or periodic payments as a
condition to the continuance thereof;

     (m) Liens on the property of the Borrower or any of its Subsidiaries securing (i) the
non-delinquent performance of bids, trade contracts (other than for borrowed money), leases,
licenses and statutory obligations, (ii) Contingent Obligations on surety and appeal bonds,
and (iii) other non-delinquent obligations of a like nature; in each case, incurred in the
ordinary course of business;

     (n) Liens on Receivables transferred to a Receivables Subsidiary under a Permitted
Securitization or to a Subsidiary who is party to a Permitted Factoring Facility under a
Permitted Factoring Facility;

     (o) Liens upon specific items or inventory or other goods and proceeds of the Borrower
or any of its Subsidiaries securing such Person’s obligations in respect of bankers’
acceptances or documentary letters of credit issued or created for the account of such
Person to facilitate the shipment or storage of such inventory or other goods;

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     (p) Liens (i) (A) on advances of cash or Cash Equivalent Investments in favor of the
seller of any property to be acquired in an Investment permitted pursuant to Section
7.2.5 to be applied against the purchase price for such Investment and (B) consisting of
an agreement to Dispose of any property in a Disposition permitted under Section
7.2.11, in each case under this clause (i), solely to the extent such Investment
or Disposition, as the case may be, would have been permitted on the date of the creation of
such Lien and (ii) on earnest money deposits of cash or Cash Equivalent Investments made by
the Borrower or any of its Subsidiaries in connection with any letter of intent or purchase
agreement permitted hereunder;

     (q) Liens arising from precautionary Uniform Commercial Code financing statement
filings (or similar filings under other applicable Law) regarding leases entered into by the
Borrower or any of its Subsidiaries in the ordinary course of business;

     (r) Liens (i) arising out of conditional sale, title retention, consignment or similar
arrangements for sale of goods (including under Article 2 of the UCC) and Liens that are
contractual rights of set-off relating to purchase orders and other similar agreements
entered into by the Borrower or any of its Subsidiaries and (ii) relating to the
establishment of depository relations with banks not given in connection with the issuance
of Indebtedness and (iii) relating to pooled deposit or sweep accounts of the Borrower or
any Subsidiary to permit satisfaction of overdraft or similar obligations in each case in
the ordinary course of business and not prohibited by this Agreement;

     (s) other Liens securing Indebtedness or other obligations permitted under this
Agreement and outstanding in an aggregate principal amount not to exceed $75,000,000;

     (t) ground leases in respect of real property on which facilities owned or leased by
the Borrower or any of its Subsidiaries are located or any Liens senior to any lease,
sub-lease or other agreement under which the Borrower or any of its Subsidiaries uses or
occupies any real property;

     (u) Liens constituting security given to a public or private utility or any
Governmental Authority as required in the ordinary course of business;

     (v) pledges or deposits of cash and Cash Equivalent Investments securing deductibles,
self-insurance, co-payment, co-insurance, retentions and similar obligations to providers of
insurance in the ordinary course of business;

     (w) Liens on (A) incurred premiums, dividends and rebates which may become payable
under insurance policies and loss payments which reduce the incurred premiums on such
insurance policies and (B) rights which may arise under State insurance guarantee funds
relating to any such insurance policy, in each case securing Indebtedness permitted to be
incurred pursuant to clause (p) of Section 7.2.2;

     (x)
 Liens for Taxes not at the time delinquent or thereafter payable without penalty or
being diligently contested in good faith by appropriate proceedings and for which adequate
reserves in accordance with GAAP shall have been set aside on its books

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  or with respect to which the failure to make payment could not reasonably be expected
to have a Material Adverse Effect;

     (y) Liens in respect of Hedging Obligations; and

     (z)  non-exclusive licenses of intellectual property rights in the ordinary course of
business.

     SECTION 7.2.4 Financial Condition and Operations. The Borrower will not permit any of
the events set forth below to occur.

     (a) The Borrower will not permit the Leverage Ratio as of the last day of any Fiscal Quarter
occurring during any period set forth below to be greater than the ratio set forth opposite such
period:

	 	 	 
	Period	 	Leverage Ratio
	Each Fiscal Quarter ending between October 16, 2009 and
JulyOctober 15, 20102012

	 	4.50:1.00
	Each Fiscal Quarter ending between JulyOctober 16, 20102012
and October 15, 20102013

	 	4.25:1.00
	Each
Fiscal Quarter ending between October 16,
20102013
and AprilOctober 15, 20112014

	 	4:00:1.00
	Each Fiscal Quarter ending AprilOctober 16, 20112014 and
thereafter

	 	3.75:1.00

     (b) The Borrower will not permit the Senior Secured Leverage Ratio as of the last
day of any Fiscal Quarter occurring during any period set forth below to be greater than the ratio
set forth opposite such period:

	 	 	 
	Period	 	Leverage Ratio
	Each Fiscal Quarter ending between October 16, 2009 and
October 15,
2012
 

	 	2.50:1.00
	Each Fiscal Quarter ending between October 16, 2012 and

October 15, 2014

	 	2.25:1.00
	Each Fiscal Quarter ending October 16, 2014 and 
thereafter

	 	2.00:1.00

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     (c)
(b) The Borrower will not permit the Interest Coverage Ratio as of the last day of
any Fiscal Quarter occurring during any period set forth below to be less than the ratio set forth
opposite such period:

	 	 	 
	Period	 	Interest Coverage Ratio
	Each Fiscal Quarter ending between October 16,
2009 and JulyOctober 15, 20102012

	 	2.503.00:1.00
	Each Fiscal Quarter ending between July 16, 2010
and October 15, 2010

	 	2.75:1.00
	Each Fiscal Quarter ending between October 16,
2010 and July 15, 2011

	 	3.00:1.00
	Each Fiscal Quarter ending JulyOctober 16,
20112012 and thereafter

	 	3.25:1.00

     SECTION 7.2.5 Investments. The Borrower will not, and will not permit any of its
Subsidiaries to, purchase, make, incur, assume or permit to exist any Investment in any other
Person, except:

     (a) Investments existing on the Restatement Effective Date and identified in Item
7.2.5(a) of the Disclosure Schedule, and any amendment, modification, restatement,
extension, renewal, refunding, replacement or refinancing, in whole or in part thereof,
provided that the principal amount of any Investment following any such amendment,
modification, restatement, extension, renewal, refunding, replacement or refinancing
pursuant to this Section 7.2.5(a) shall not exceed the principal amount of such
Investment on the date hereof;

     (b) Cash Equivalent Investments;

     (c)  Investments received in connection with the bankruptcy or reorganization of, or
settlement of delinquent accounts and disputes with, customers and suppliers, in each case
in the ordinary course of business;

     (d)  Investments consisting of any deferred portion (including promissory notes and
non-cash consideration) of the sales price received by the Borrower or any Subsidiary in
connection with any Disposition permitted under Section 7.2.11;

     (e)  Investments by way of contributions to capital or purchases of Capital Securities
by an Obligor in any other Obligor;

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     (f)
Investments constituting (i) accounts receivable arising or acquired, (ii) trade
debt granted, or (iii) deposits made in connection with the purchase price of goods or
services, in each case in the ordinary course of business;

     (g)
 Investments by way of the acquisition of Capital Securities or the purchase or
other acquisition of all or substantially all of the assets or business of any Person, or of
assets constituting a business unit, or line of business or division of, such Person, in
each case constituting Permitted Acquisitions; provided that if such Person is not
incorporated or organized under the laws of the United States, the amount expended in such
transaction, when aggregated with the amount expended under clause (b) of
Section 7.2.10, shall not exceed the amount set forth in clause (b) of
Section 7.2.10 during the term of this Agreement;

     (h)
Investments constituting Capital Expenditures permitted pursuant to Section
7.2.7;

     (i)
 Investments in a Receivables Subsidiary or a Subsidiary who is party to a Permitted
Factoring Facility or any Investment by a Receivables Subsidiary or a Subsidiary who is
party to a Permitted Factoring Facility in any other Person under a Permitted Securitization
or a Permitted Factoring Facility; provided that any Investment in a Receivables
Subsidiary is in the form of a Purchase Money Note, contribution of additional receivables
and related assets or any equity interests;

     (j)
Investments constituting loans or advances to officers, directors or employees made
in the ordinary course of business (including for travel, entertainment and relocation
expenses) in an aggregate amount not to exceed $10,000,000;

     (k)
 Investments by any Subsidiary that is not a Subsidiary Guarantor in the Borrower or
any other Subsidiary; provided that any intercompany loan made by a any Subsidiary
that is not a Subsidiary Guarantor to an Obligor shall meet the requirements of clause (g)
of Section 7.2.2;

     (l)
Investments in Foreign Subsidiaries in an aggregate amount not to exceed
$300,000,000 over the term of this Agreement plus(when aggregated with the
amount of Indebtedness incurred by Foreign Subsidiaries under clause (h) of Section 7.2.2)
the greater of (i) $400,000,000 and (ii) the sum of (A) 10.0% of Total Tangible Assets plus
(B) Available Retained Excess Cash Flow;, determined as of the date of such
Investment;

     (m)
 Investments in the ordinary course of business consisting of (i) endorsements for
collection or deposit, (ii) customary arrangements with customers or (iii) Hedging
Obligations not for speculative purposes;

     (n)
advances of payroll payments to employees in the ordinary course of business;

     (o)
Investments in any Person engaged in one or more Permitted Businesses and
supporting ongoing business operations of the Borrower or its Subsidiaries (including

85

 

without limitation Persons that are not Subsidiaries of the Borrower) in an aggregate
amount not to exceed $75,000,000 over the term of this Agreement;

     (p)
other Investments in an amount not to exceed $125,000,000 over the term of this
Agreement plusthe greater of (i) $150,000,000 and (ii) the sum of (A) 3.5% of
Total Tangible Assets plus (B) Available Retained Excess Cash Flow, determined as of the
date of such Investment; and

     (q)
 Investments incurred in the ordinary course of business in connection with cash
pooling arrangements, cash management and other Investments incurred in the ordinary course
of business in respect of netting services, overdraft protections and similar arrangement in
each case in connection with cash management.

provided that (I) any Investment which when made complies with the requirements of the
definition of the term “Cash Equivalent Investment” may continue to be held notwithstanding that
such Investment if made thereafter would not comply with such requirements; and (II) no Investment
otherwise permitted by clauses (e) (to the extent such Investment relates to an Investment
in a Foreign Subsidiary), (g) or (n) shall be permitted to be made if any Event of
Default has occurred and is continuing.

     SECTION 7.2.6
Restricted Payments, etc. The Borrower will not, and will not permit
any of its Subsidiaries (other than a Receivables Subsidiary) to, declare or make a Restricted
Payment, or make any deposit for any Restricted Payment, other than (a) Restricted Payments made by
Subsidiaries to the Borrower or wholly owned Subsidiaries, (b) cashless exercises of stock options,
(c) cash payments by Borrower in lieu of the issuance of fractional shares upon exercise or
conversion of Equity Equivalents, (d) Restricted Payments in connection with the share repurchases
required by the employee stock ownership programs or required under employee agreements
and, (e) so long as (i) no Specified Default has occurred and is continuing or would result
therefrom, and (ii) both before and after giving effect to such Restricted Payment as if
such Restricted Payment had been made on the last day of the Measurement Period, the
Borrower is in pro
forma compliance with
Section 7.2.4,7.2.4 for such Measurement
Period, Restricted Payments not otherwise permitted by this Section 7.2.6 in an
aggregate amount not to exceed $75,000,000, together with the aggregate amount of Indebtedness
under any Pro Forma Unsecured Indebtedness Documents, the 2014 Senior Note Documents, the 2016
Senior Note Documents or the 2020 Senior Note Documents paid or prepaid in any Fiscal Year pursuant
to clause (1)(B) of the proviso to Section 7.2.8(a), not to exceed $150,000,000 in any Fiscal
Year plus Available Retained Excess Cash Flow.  and (f) so long as no Specified Default
has occurred and is continuing or would result therefrom, Restricted Payments not otherwise
permitted by this Section 7.2.6 to the extent that, both before and after giving effect to such
Restricted Payment as if such Restricted Payment had been made on the last day of the
Measurement Period, the Leverage Ratio for such Measurement Period would not exceed
3.00:1.00.

     SECTION 7.2.7
 Capital Expenditures.

     (a)
Subject (in the case of Capitalized Lease Liabilities), to clause (e) of
Section 7.2.2, the Borrower will not, and will not permit any of its Subsidiaries
to, make or

86

 

commit to make Capital Expenditures except Capital Expenditures in an aggregate
amount not to exceed $130,000,000150,000,000 in any Fiscal Year plus
Available Retained Excess Cash Flow; provided that, to the extent that the amount of
Capital Expenditures made by the Borrower and its Subsidiaries during any Fiscal Year is
less than the aggregate amount permitted (including after giving effect to this proviso) for
such Fiscal Year, then such unutilized amount may be carried forward and utilized by the
Borrower and its Subsidiaries to make Capital Expenditures in any succeeding Fiscal Year,
provided further that it is understood and agreed that the Borrower shall be
permitted to carry forward all unused amounts for the 2009 Fiscal Year accumulated pursuant
to Section 7.2.7 of the Original Credit Agreement for usage in any succeeding Fiscal
Year. Notwithstanding anything to the contrary with respect to any Fiscal Year of the
Borrower during which a Permitted Acquisition is consummated and for each Fiscal Year
subsequent thereto, the amount of Capital Expenditures permitted under the preceding
sentence applicable to each such Fiscal Year shall be increased by an amount equal to 5% of
the purchase price of each Permitted Acquisition (the “Acquired Permitted Capital
Expenditure Amount”); provided, however, with respect to the Fiscal Year
during which any such Permitted Acquisition occurs, the amount of additional Capital
Expenditures permitted as a result of this sentence shall be an amount equal to the product
of (x) the Acquired Permitted Capital Expenditure Amount and (y) a fraction, the numerator
of which is the number of days remaining in such Fiscal Year after the date such Permitted
Acquisition is consummated and the denominator of which is the actual number of days in such
Fiscal Year.

     (b) Notwithstanding anything to the contrary contained in clause (a) above, for
any Fiscal Year, the amount of Capital Expenditures that would otherwise be permitted in
such Fiscal Year pursuant to this Section 7.2.7 (including as a result of the
carry-forward described in the proviso to the first sentence of clause (a) above)
may be increased by an amount not to exceed $10,000,000 (the “CapEx Pull-Forward
Amount”). The actual CapEx Pull-Forward Amount in respect of any such Fiscal Year shall
reduce, on a dollar-for-dollar basis, the amount of Capital Expenditures that would have
been permitted to be made in the immediately succeeding Fiscal Year (provided that
the Borrower and its Subsidiaries may apply the CapEx Pull-Forward Amount in such
immediately succeeding Fiscal Year).

     SECTION 7.2.8
 Payments With Respect to Certain Indebtedness. The Borrower will not,
and will not permit any of its Subsidiaries to,

     (a)
 make any payment or prepayment of principal of, or premium or interest on, any
Indebtedness incurred under
Pro Forma Unsecured Indebtedness Documents, the 2014
Senior Note
Documents, the 2016 Senior Note Documents or the 20162020 Senior
Note Documents (including, in each case, any redemption or retirement thereof) (i)
other than on (or after) the stated, scheduled date for payment of interest set forth in the
applicable Pro Forma Unsecured Indebtedness Documents, 2014 Senior Note Documents

or
the,

 2016 Senior Note Documents or 2020 Senior Note Documents, respectively,
or (ii) which would violate the terms of this Agreement, the applicable Pro Forma
Unsecured Indebtedness Documents, 2014 Senior Note Documents or the, 2016
Senior Note Documents or 2020 Senior Note Documents; provided, however,
that the Borrower may, so long as no Specified Default has occurred and is continuing or
would result therefrom, the Borrower

87

 

 may (1) if, both before and after giving effect to such
payment or prepayment as if such payment or prepayment had been made on the last day
of the Measurement Period, the Borrower is in compliance with Section 7.2.4 for such
Measurement Period, pay or prepay Indebtedness incurred under any Pro Forma
Unsecured Indebtedness Documents, the 2014 Senior Note Documents or, the 2016
Senior Note Documents in an amount up to $50,000,000 in the aggregate during the term of
this Agreement plus anyor the 2020 Senior Note Documents (A) with the proceeds
of (x) Pro Forma Unsecured Indebtedness or (y) solely with respect to the payment or
prepayment of Indebtedness incurred under the 2014 Senior Note Documents, an Incremental
Credit Increase permitted under Section 2.9, in each case without limitation or (B) in an
aggregate amount, together with the aggregate amount of Restricted Payments made pursuant to
Section 7.2.6(e), not to exceed $150,000,000 in any Fiscal Year plus Available Retained
Excess Cash Flow, and (2) if, both before and after giving effect to such payment or
prepayment as if such payment or prepayment had been made on the last day of the
Measurement Period, the Leverage Ratio for such Measurement Period would not exceed
3.00:1.00, pay or prepay Indebtedness incurred under any Pro Forma Unsecured Indebtedness
Documents, the 2014 Senior Note Documents, the 2016 Senior Note Documents or the 2020 Senior
Note Documents without limitation;

     (b)
except as otherwise permitted by clause (a) above, prior to the Termination
Date, redeem, retire, purchase, defease or otherwise acquire any Indebtedness under any
Pro Forma Unsecured Indebtedness Documents, the 2014 Senior Note
Documents, the 2016
Senior Note Documents or the 20162020 Senior Note Documents (other than (i)
 with proceeds from the issuance of the Borrower’s Capital Securities or (ii) with
the proceeds of Pro Forma Unsecured Indebtedness, in each
case, permitted to be used to
redeem
Pro Forma Unsecured Indebtedness, 2014 Senior Notes or, 2016
Senior Notes or 2020 Senior Notes in accordance with the terms of the applicable Pro
Forma Unsecured Indebtedness Documents, the 2014 Senior Note Documents or, the
2016 Senior Note Documents or the 2020 Senior Note Documents, respectively);

     (c)
 make any deposit (including the payment of amounts into a sinking fund or other
similar fund) for any of the foregoing purposes; or

     (d)
 make any payment or prepayment of principal of, or premium or interest on, any
Indebtedness (other than intercompany Indebtedness) that is by its express written terms
subordinated to the payment of the Obligations at any time when an Event of Default has
occurred and is continuing.

     SECTION 7.2.9
Issuance of Capital Securities. The Borrower will not permit any of its
Subsidiaries (other than a Receivables Subsidiary and any Foreign Subsidiary) to issue any Capital
Securities (whether for value or otherwise) to any Person other than to the Borrower or another
wholly owned Subsidiary (other than any director’s qualifying shares or investments by foreign
nationals mandated by applicable laws).

     SECTION 7.2.10
Consolidation, Merger; Permitted Acquisitions, etc. The Borrower will
not, and will not permit any of its Subsidiaries to, liquidate or dissolve, consolidate with, or

88

 

merge into or with, any other Person, or purchase or otherwise acquire all or substantially all of
the assets of any Person (or any division or line of business thereof), except

     (a) any Subsidiary may liquidate or dissolve voluntarily into, and may merge with and
into, the Borrower or any other Subsidiary (provided that a Subsidiary Guarantor may
only (i) liquidate or dissolve into, or merge with and into, the Borrower or another
Subsidiary Guarantor or (ii) liquidate or dissolve into, or merge with and into a Subsidiary
that is not a Subsidiary Guarantor to the extent such disposition of assets is otherwise
permitted by Section 7.2.11), and the assets or Capital Securities of any Subsidiary may be
purchased or otherwise acquired by the Borrower or any other Subsidiary (provided
that the assets or Capital Securities of any Subsidiary Guarantor may only (i) be purchased
or otherwise acquired by the Borrower or another Subsidiary Guarantor or (ii) be purchased
or otherwise acquired by a Subsidiary that is not a Subsidiary Guarantor to the extent such
disposition is otherwise permitted by Section 7.2.11); provided, further,
that in no event shall any Subsidiary consolidate with or merge with and into any other
Subsidiary (other than a merger that is otherwise permitted by Section 7.2.11) unless after
giving effect thereto, the Collateral Agent shall have a perfected pledge of, and security
interest in and to, at least the same percentage of the issued and outstanding interests of
Capital Securities (on a fully diluted basis) and other assets of the surviving Person as
the Collateral Agent had immediately prior to such merger or consolidation in form and
substance reasonably satisfactory to the Agents, pursuant to such documentation and opinions
as shall be necessary in the opinion of the Agents to create, perfect or maintain the
collateral position of the Secured Parties therein; and

     (b) so long as no Event of Default has occurred and is continuing or would occur after
giving effect thereto, the Borrower or any of its Subsidiaries may purchase the Capital
Securities of any Person, all or substantially all of the assets of any Person (or any
division or line of business thereof), or acquire such Person by merger, in each case, if
such purchase or acquisition constitutes a Permitted Acquisition; provided that, if
such Person is not incorporated or organized under the laws of the United States, the cash
amount expended in connection with such transaction, when aggregated with the cash amount
expended under clause (g) of Section 7.2.5, shall not exceed $100,000,000 in
the aggregate during the term of this Agreement plus Available Retained Excess Cash
Flow; provided further that any Capital Securities of the Borrower issued to the
seller in connection with any Permitted Acquisition shall not result in a deduction of
amounts available to consummate Permitted Acquisitions hereunder.

     SECTION 7.2.11 Permitted Dispositions. The Borrower will not, and will not permit any
of its Subsidiaries to, Dispose of any of the Borrower’s or such Subsidiaries’ assets (including
accounts receivable and Capital Securities of Subsidiaries) to any Person in one transaction or
series of transactions unless such Disposition is:

     (a)
inventory or obsolete, no longer used or useful, damaged, worn out or surplus
property Disposed of in the ordinary course of its business (including, the
abandonment of intellectual property which is obsolete, no longer used or useful or
that in the Borrower’s good faith judgment is no longer material in the conduct of the
Borrower and is Subsidiaries’ business taken as a whole):

89

 

     (b) permitted by Section 7.2.10;

     (c) accounts receivable or any related asset Disposed of pursuant to a Permitted
Securitization or a Permitted Factoring Facility;

     (d) of property to the extent that (i) such property is exchanged for credit against
the purchase price of similar replacement property or (ii) the proceeds of such Disposition
are promptly applied to the purchase price of such replacement property;

     (e) of property by the Borrower or any Subsidiary; provided that if the
transferor of such property is an Obligor (i) the transferee must be an Obligor or (ii) to
the extent such transaction constitutes an Investment such transaction is permitted under
Section 7.2.5;

     (f) of cash or Cash Equivalent Investments;

     (g) of accounts receivable in connection with compromise, write down or collection
thereof in the ordinary course of business;

     (h) constituting leases, subleases, licenses or sublicenses of property (including
intellectual property) in the ordinary course of business and which do not materially
interfere with the business of the Borrower and its Subsidiaries;

     (i) constituting a transfer of property subject to a Casualty Event (i) upon receipt of
Net Casualty Proceeds of such Casualty Event or (ii) to a Governmental Authority as a result
of condemnation;

     (j) sales of a non-core assets acquired in connection with a Permitted Acquisition
which are not used or useful or are duplicative in the business of the Borrower or its
Subsidiaries;

     (k) a grant of options to purchase, lease or acquire real or personal property in the
ordinary course of business, so long as the Disposition resulting from the exercise of such
option would otherwise be permitted under this Section 7.2.11;

     (l) Dispositions of Investments in Foreign Subsidiaries, to the extent required by, or
made pursuant to buy/sell arrangements between, Foreign Subsidiaries;

     (m) Dispositions of the property described on Item 7.2.11(m) of the Disclosure
Schedule; or

     (n) Dispositions of assets not otherwise permitted pursuant to preceding clauses
(a) — (m) of this Section 7.2.11 so long as (i) each such Disposition is for
fair market value and the consideration received consists of no less than 75% in cash and
Cash Equivalent Investments, (ii) the ratio of Total Senior Secured Leverage
RatioDebt on such day to Total Tangible Assets as of such day would not exceed
0.50:1.00 after giving pro forma effect thereto and (iii) the Net
Disposition Proceeds from such Disposition are applied pursuant to Sections 3.1.1
and 3.1.2.

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     SECTION 7.2.12  Modification of Certain Agreements. The Borrower will not, and will
not permit any of its Subsidiaries to, consent to any amendment, supplement, waiver or other
modification of, or enter into any forbearance from exercising any rights with respect to the terms
or provisions contained in,

     (a)  the Transaction Documents, the 2020 Senior Note Documents or Pro Forma
Unsecured Indebtedness Documents other than any amendment, supplement, waiver or
modification which would not be materially adverse to the Secured Parties; or

     (b)  the Organic Documents of the Borrower or any of its Subsidiaries (other than a
Receivables Subsidiary) other than any amendment, supplement, waiver or modification which
would not be materially adverse to the Secured Parties.

     SECTION 7.2.13  Transactions with Affiliates. The Borrower will not, and will not
permit any of its Subsidiaries to, enter into or cause or permit to exist any arrangement,
transaction or contract (including for the purchase, lease or exchange of property or the rendering
of services) with any of its other Affiliates, unless such arrangement, transaction or contract is
on fair and reasonable terms not materially less favorable to the Borrower or such Subsidiary than
it could obtain in an arm’s-length transaction with a Person that is not an Affiliate other than
arrangements, transactions or contracts (a) between or among the Borrower and any Subsidiaries, (b)
in connection with the cash management of the Borrower and its Subsidiaries in the ordinary course
of business, (c) in connection with a Permitted Securitization including Standard Securitization
Undertakings or a Permitted Factoring Facility or (d) that is a Transaction Document or an Original
Transaction Document.

     SECTION 7.2.14  Restrictive Agreements, etc. The Borrower will not, and will not
permit any of its Subsidiaries (other than a Receivables Subsidiary or a Subsidiary who is party to
a Permitted Factoring Facility) to, enter into any agreement prohibiting

     (a)  the creation or assumption of any Lien upon its properties, revenues or assets,
whether now owned or hereafter acquired;

     (b)  the ability of any Obligor to amend or otherwise modify any Loan Document; or

     (c)  the ability of any Subsidiary (other than a Receivables Subsidiary) to make any
payments, directly or indirectly, to the Borrower, including by way of dividends, advances,
repayments of loans, reimbursements of management and other intercompany charges, expenses
and accruals or other returns on investments (it being understood that (i) the priority of
any preferred stock in receiving dividends or liquidating distributions prior to the
dividends or liquidating distributions being paid on common stock shall not be deemed a
restriction on the ability to make distributions on Capital Securities and (ii) the
subordination of advances or loans made to the Borrower or any
Subsidiary to other Indebtedness incurred by the Borrower or any Subsidiary shall not
be deemed a restriction on the ability to make advances or repay loans).

The foregoing prohibitions shall not apply to restrictions contained (i) in any Loan Document
(iii) in the cases of clause (a) and (c), in any Pro Forma Unsecured
Indebtedness Document, 2014

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Senior Note Document or, 2016 Senior Note Document or
2020 Senior Note Document, (iv) in the case of clause (a), any agreement governing any
Indebtedness permitted by clause (n) of Section 7.2.2 as to the assets financed with the
proceeds of such Indebtedness, (v) in the case of clauses (a) and (c), any
agreement of a Foreign Subsidiary governing the Indebtedness permitted to be incurred or permitted
to exist hereunder, (vi) with respect to any Receivables Subsidiary or other Subsidiary who is
party to a Permitted Factoring Facility, in the case of clauses (a) and (c), the
documentation governing any Securitization or Permitted Factoring Facility permitted hereunder,
(vii) solely with respect to clause (a), any arrangement or agreement arising in connection
with a Disposition permitted under this Agreement (but then only with respect to the assets being
so Disposed), (viii) solely with respect to clause (a) and (c), are already binding
on a Subsidiary when it is acquired and (ix) solely with respect to clause (a), customary
restrictions in leases, subleases, licenses and sublicenses.

     SECTION 7.2.15  Sale and Leaseback. The Borrower will not, and will not permit any of
its Subsidiaries to, directly or indirectly enter into any agreement or arrangement providing for
the sale or transfer by it of any property (now owned or hereafter acquired) to a Person and the
subsequent lease or rental of such property or other similar property from such Person, except for
agreements and arrangements with respect to property (a) the fair market value (as determined in
good faith by the chief financial officer of the Borrower) of which does not exceed $150,000,000 in
the aggregate following the Restatement Effective Date or (b) the term of which is less than one
year; provided that, in each case, the Net Disposition Proceeds of such agreements and
arrangements are applied pursuant to Sections 3.1.1 and 3.1.2.

ARTICLE VIII

EVENTS OF DEFAULT

               SECTION 8.1 Listing of Events of Default. Each of the following events or occurrences described
in this Article shall constitute an “Event of Default”.

     SECTION 8.1.1 Non-Payment of Obligations. The Borrower shall default in the payment
or prepayment when due of

     (a)  any principal of any Loan, or any Reimbursement Obligation or any deposit of cash
for collateral purposes pursuant to Section 2.6.4;

     (b)  any interest on any Loan or any fee described in Article III, and such
default shall continue unremedied for a period of three days after such interest or fee was
due; or

     (c) any other monetary Obligation, and such default shall continue unremedied for a
period of 10 Business Days after such amount was due.

     SECTION 8.1.2  Breach of Warranty. Any representation or warranty of any Obligor made
or deemed to be made in any Loan Document (including any certificates delivered pursuant to
Article V) is or shall be incorrect in any material respect when made or deemed to have
been made.

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     SECTION 8.1.3  Non-Performance of Certain Covenants and Obligations. The Borrower
shall default in the due performance or observance of any of its obligations under Section
7.1.1, Section 7.1.7, Section 7.1.11 or Section 7.2.

     SECTION 8.1.4  Non-Performance of Other Covenants and Obligations. Any Obligor shall
default in the due performance and observance of any other agreement contained in any Loan Document
executed by it, and such default shall continue unremedied for a period of 30 days after the
earlier to occur of (a) notice thereof given to the Borrower by any Agent or any Lender or (b) the
date on which any Obligor has knowledge of such default.

     SECTION 8.1.5  Default on Other Indebtedness. A default shall occur in the payment of
any amount when due (subject to any applicable grace period), whether by acceleration or otherwise,
of any principal or stated amount of, or interest or fees on, any Indebtedness (other than
Indebtedness described in Section 8.1.1) of the Borrower or any of its Subsidiaries (other
than a Receivables Subsidiary or a Subsidiary who is party to a Permitted Factoring Facility) or
any other Obligor having a principal or stated amount, individually or in the aggregate, in excess
of $50,000,000, or a default shall occur in the performance or observance of any obligation or
condition with respect to such Indebtedness if the effect of such default is to accelerate the
maturity of any such Indebtedness or such default shall continue unremedied for any applicable
period of time sufficient to permit the holder or holders of such Indebtedness, or any trustee or
agent for such holders, to cause or declare such Indebtedness to become due and payable or to
require such Indebtedness to be prepaid, redeemed, purchased or defeased, or require an offer to
purchase or defease such Indebtedness to be made, prior to its expressed maturity.

     SECTION 8.1.6  Judgments. Any (a) judgment or order for the payment of money
individually or in the aggregate in excess of $50,000,000 (exclusive of any amounts fully covered
by insurance (less any applicable deductible) or an indemnity by any other third party Person and
as to which the insurer or such Person has acknowledged its responsibility to cover such judgment
or order not denied in writing) shall be rendered against the Borrower or any of its Subsidiaries
(other than a Receivables Subsidiary) and such judgment shall not have been vacated or discharged
or stayed or bonded pending appeal within 45 days after the entry thereof or enforcement
proceedings shall have been commenced by any creditor upon such judgment or order or (b)
non-monetary judgment or order that has had, or could reasonably be expected to have, a Material
Adverse Effect.

     SECTION 8.1.7  Pension Plans. Any of the following events shall occur with respect to
any Pension Plan

     (a)  the institution of any steps by the Borrower, any member of its Controlled Group or
any other Person to terminate a Pension Plan if, as a result of such termination, the
Borrower or any such member could be required to make a contribution to such Pension Plan,
or could reasonably expect to incur a liability or obligation to such Pension Plan, in
excess of $50,000,000; or

     (b)  a contribution failure occurs with respect to any Pension Plan sufficient to give
rise to a Lien in excess of $50,000,000 under Section 302(f) of ERISA.

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     SECTION 8.1.8 Change in Control. Any Change in Control shall occur.

     SECTION 8.1.9 Bankruptcy, Insolvency, etc. The Borrower, any of its Subsidiaries
(other than a Receivables Subsidiary) or any other Obligor shall

     (a) become insolvent or generally fail to pay, or admit in writing its inability or
unwillingness generally to pay, debts as they become due;

     (b) apply for, consent to, or acquiesce in the appointment of a trustee, receiver,
sequestrator or other custodian for any substantial part of the property of any thereof, or
make a general assignment for the benefit of creditors;

     (c) in the absence of such application, consent or acquiescence in or permit or suffer
to exist the appointment of a trustee, receiver, sequestrator or other custodian for a
substantial part of the property of any thereof, and such trustee, receiver, sequestrator or
other custodian shall not be discharged, stayed, vacated or bonded pending appeal within 60
days; provided that, the Borrower, each Subsidiary and each other Obligor hereby
expressly authorizes each Secured Party to appear in any court conducting any relevant
proceeding during such 60-day period to preserve, protect and defend their rights under the
Loan Documents;

     (d) permit or suffer to exist the commencement of any bankruptcy, reorganization, debt
arrangement or other case or proceeding under any bankruptcy or insolvency law or any
dissolution, winding up or liquidation proceeding, in respect thereof, and, if any such case
or proceeding is not commenced by the Borrower, any Subsidiary or any Obligor, such case or
proceeding shall be consented to or acquiesced in by the Borrower, such Subsidiary or such
Obligor, as the case may be, or shall result in the entry of an order for relief or shall
remain for 60 days undismissed, undischarged, unstayed or unbonded pending appeal;
provided that, the Borrower, each Subsidiary and each Obligor hereby expressly
authorizes each Secured Party to appear in any court conducting any such case or proceeding
during such 60-day period to preserve, protect and defend their rights under the Loan
Documents; or

     (e) take any action authorizing, or in furtherance of, any of the foregoing.

          SECTION 8.1.10 Impairment of Security, etc. Any Loan Document or any Lien granted
thereunder (effecting a material portion of the Collateral, taken as a whole) shall (except in
accordance with its terms), in whole or in part, terminate, cease to be effective or cease to be
the legally valid, binding and enforceable obligation of any Obligor party thereto (other than
pursuant to a failure of the Administrative Agent, any collateral agent appointed by the
Administrative Agent or the Lenders to take any action within the sole control of such Person); any
Obligor or any other party shall, directly or indirectly, contest in any manner such effectiveness,
validity, binding nature or enforceability; or, except as permitted under any Loan Document, any
Lien securing any Obligation shall, in whole or in part, cease to be a perfected first priority
Lien or any Obligor shall so assert (other than, in each case, pursuant to a failure of the
Administrative Agent, any collateral agent appointed by the Administrative Agent or the Lenders to
take any action within the sole control of such Person).

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          SECTION 8.2 Action if Bankruptcy. If any Event of Default described in clauses (a)
through (d) of Section 8.1.9 with respect to the Borrower shall occur, the Commitments (if
not theretofore terminated) shall automatically terminate and the outstanding principal amount of
all outstanding Loans and all other Obligations (including Reimbursement Obligations) shall
automatically be and become immediately due and payable, without notice or demand to any Person and
each Obligor shall automatically and immediately be obligated to Cash Collateralize all Letter of
Credit Outstandings.

          SECTION 8.3 Action if Other Event of Default. If any Event of Default (other than any Event of
Default described in clauses (a) through (d) of Section 8.1.9 with respect to the Borrower)
shall occur for any reason, whether voluntary or involuntary, and be continuing, the Administrative
Agent, upon the direction of the Required Lenders, shall by notice to the Borrower declare all or
any portion of the outstanding principal amount of the Loans and other Obligations (including
Reimbursement Obligations) to be due and payable and/or the Commitments (if not theretofore
terminated) to be terminated, whereupon the full unpaid amount of such Loans and other Obligations
which shall be so declared due and payable shall be and become immediately due and payable, without
further notice, demand or presentment, and/or, as the case may be, the Commitments shall terminate
and the Borrower shall automatically and immediately be obligated to Cash Collateralize all Letter
of Credit Outstandings.

ARTICLE IX

THE ADMINISTRATIVE AGENT, THE COLLATERAL AGENT; THE LEAD ARRANGERS,

THE SYNDICATION AGENT AND THE DOCUMENTATION AGENT

               SECTION 9.1 Actions. Each Lender hereby appoints JPMorgan as its Administrative Agent and as its
Collateral Agent, under and for purposes of each Loan Document. Each Lender authorizes each Agent
to act on behalf of such Lender under each Loan Document and, in the absence of other written
instructions from the Required Lenders received from time to time by such Agent (with respect to
which each Agent agrees that it will comply, except as otherwise provided in this Section or as
otherwise advised by counsel in order to avoid contravention of applicable law), to exercise such
powers hereunder and thereunder as are specifically delegated to or required of such Agent by the
terms hereof and thereof, together with such powers as may be incidental thereto (including the
release of Liens on assets Disposed of in accordance with the terms of the Loan Documents). Each
Lender hereby indemnifies (which indemnity shall survive any termination of this Agreement) each
Agent, pro rata according to such Lender’s proportionate Total Exposure Amount,
from and against any and all liabilities, obligations, losses, damages, claims, costs or expenses
of any kind or nature whatsoever which may at any time be imposed on, incurred by, or asserted
against, such Agent in any way relating to or arising out of any Loan Document (including
reasonable attorneys’ fees and expenses), and as to which such Agent is not reimbursed by the
Borrower (and without limiting its obligation to do so); provided that no Lender shall be
liable for the payment of any portion of such liabilities, obligations, losses, damages, claims,
costs or expenses which are determined by a court of competent jurisdiction in a final proceeding
to have resulted from such Agent’s gross negligence or willful misconduct. No Agent shall be
required to take any action under any Loan Document, or to prosecute or defend any suit in respect
of any Loan Document, unless it is indemnified hereunder to its reasonable satisfaction. If any
indemnity in favor of any Agent shall be or become, in such Agent’s determination, inadequate, such
Agent may call for additional

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indemnification from the Lenders and cease to do the acts indemnified against hereunder until
such additional indemnity is given.

               SECTION 9.2 Funding Reliance, etc. Unless the Administrative Agent shall have been notified in
writing by any Lender by 3:00 p.m. on the Business Day prior to a Borrowing that such Lender will
not make available the amount which would constitute its Percentage of such Borrowing on the date
specified therefor, the Administrative Agent may assume that such Lender has made such amount
available to the Administrative Agent and, in reliance upon such assumption, make available to the
Borrower a corresponding amount. If and to the extent that such Lender shall not have made such
amount available to the Administrative Agent, such Lender and the Borrower severally agree to repay
the Administrative Agent forthwith on demand such corresponding amount together with interest
thereon, for each day from the date the Administrative Agent made such amount available to the
Borrower to the date such amount is repaid to the Administrative Agent, at the interest rate
applicable at the time to Loans comprising such Borrowing (in the case of the Borrower) and (in the
case of a Lender), at the Federal Funds Rate (for the first two Business Days after which such
amount has not been repaid), and thereafter at the interest rate applicable to Loans comprising
such Borrowing.

               SECTION 9.3 Exculpation. Neither any Lead Arranger, any Agent nor any of its directors, officers,
employees, agents or Affiliates shall be liable to any Secured Party for any action taken or
omitted to be taken by it under any Loan Document, or in connection therewith, except for its own
willful misconduct or gross negligence, nor responsible for any recitals or warranties herein or
therein, nor for the effectiveness, enforceability, validity or due execution of any Loan Document,
or the validity, genuineness, enforceability, existence, value or sufficiency of any collateral
security, nor to make any inquiry respecting the performance by any Obligor of its Obligations.
Any such inquiry which may be made by a Lead Arranger or an Agent shall not obligate it to make any
further inquiry or to take any action. Each Lead Arranger and each Agent shall be entitled to rely
upon advice of counsel concerning legal matters and upon any notice, consent, certificate,
statement or writing which such Lead Arranger or such Agent believes to be genuine and to have been
presented by a proper Person.

               SECTION 9.4 Successor. Any Agent may resign as such at any time upon at least 30 days’ prior
notice to the Borrower and all Lenders. If any Agent at any time shall resign, the Required
Lenders may appoint (subject to, so long as no Event of Default has occurred and is continuing, the
reasonable consent of the Borrower not to be unreasonably withheld or delayed) another Lender as
such Person’s successor Agent which shall thereupon become the applicable Agent hereunder. If no
successor Agent shall have been so appointed by the Required Lenders (and consented to by the
Borrower) and shall have accepted such appointment within 30 days after the retiring such Agent’s
giving notice of resignation, then the retiring Agent may, on behalf of the Lenders, appoint a
successor Agent, which shall be one of the Lenders or a commercial banking institution organized
under the laws of the United States (or any State thereof) or a United States branch or agency of a
commercial banking institution, and having a combined capital and surplus of at least $250,000,000;
provided that, if, such retiring Agent is unable to find a commercial banking institution
which is willing to accept such appointment and which meets the qualifications set forth in above,
the retiring Agent’s resignation shall nevertheless thereupon become effective and the Lenders
shall assume and perform all of the duties of such Agent hereunder until such time, if any, as the
Required Lenders appoint a successor as provided for above. Upon the

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acceptance of any appointment as an Agent hereunder by any successor Agent,
such successor Agent shall be entitled to receive from the retiring Agent such documents of
transfer and assignment as such successor Agent may reasonably request, and shall thereupon succeed
to and become vested with all rights, powers, privileges and duties of the retiring Agent, and the
retiring Agent shall be discharged from its duties and obligations under the Loan Documents. After
any retiring Agent’s resignation hereunder as an Agent, the provisions of this Article shall inure
to its benefit as to any actions taken or omitted to be taken by it while it was an Agent under the
Loan Documents, and Section 10.3 and Section 10.4 shall continue to inure to its
benefit.

               SECTION 9.5 Loans by JPMorgan Chase Bank. JPMorgan Chase Bank shall have the same rights and
powers with respect to (a) the Credit Extensions made by it or any of its Affiliates, and (b) the
Notes held by it or any of its Affiliates as any other Lender and may exercise the same as if it
were not an Agent. JPMorgan Chase Bank and its Affiliates may accept deposits from, lend money to,
and generally engage in any kind of business with the Borrower or any Subsidiary or Affiliate of
the Borrower as if JPMorgan Chase Bank were not an Agent hereunder.

               SECTION 9.6 Credit Decisions. Each Lender acknowledges that it has, independently of the
Administrative Agent and each other Lender, and based on such Lender’s review of the financial
information of the Borrower, the Loan Documents (the terms and provisions of which being
satisfactory to such Lender) and such other documents, information and investigations as such
Lender has deemed appropriate, made its own credit decision to extend its Commitments. Each Lender
also acknowledges that it will, independently of the Administrative Agent and each other Lender,
and based on such other documents, information and investigations as it shall deem appropriate at
any time, continue to make its own credit decisions as to exercising or not exercising from time to
time any rights and privileges available to it under the Loan Documents.

               SECTION 9.7 Copies, etc. Each Agent shall give prompt notice to each Lender of each notice or
request required or permitted to be given to such Agent by the Borrower pursuant to the terms of
the Loan Documents (unless concurrently delivered to the Lenders by the Borrower). Each Agent will
distribute to each Lender each document or instrument received for its account and copies of all
other communications received by such Agent from the Borrower for distribution to the Lenders by
such Agent in accordance with the terms of the Loan Documents. No Agent shall, except as expressly
set forth in the Loan Documents, have any duty to disclose, and shall not be liable for the failure
to disclose, any information relating to the Borrower or any of its Affiliates that is communicated
to or obtained by any Agent or any of its Affiliates in any capacity.

               SECTION 9.8 Reliance by Agents. The Agents shall be entitled to rely upon any certification,
notice or other communication (including any thereof by telephone, telecopy, telegram or cable)
believed by it to be genuine and correct and to have been signed or sent by or on behalf of the
proper Person, and upon advice and statements of legal counsel, independent accountants and other
experts selected by such Agent. As to any matters not expressly provided for by the Loan
Documents, the Agents shall in all cases be fully protected in acting, or in refraining from
acting, thereunder in accordance with instructions given by the Required Lenders or all of the
Lenders as is required in such circumstance, and such instructions of

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such Lenders and any action
taken or failure to act pursuant thereto shall be binding on all Secured Parties.
For purposes of applying amounts in accordance with this Section, the Agents shall be entitled
to rely upon any Secured Party that has entered into a Rate Protection Agreement with any Obligor
for a determination (which such Secured Party agrees to provide or cause to be provided upon
request of any Agent) of the outstanding Obligations owed to such Secured Party under any Rate
Protection Agreement. Unless it has actual knowledge evidenced by way of written notice from any
such Secured Party and the Borrower to the contrary, the Agents, in acting in such capacity under
the Loan Documents, shall be entitled to assume that no Rate Protection Agreements or Obligations
in respect thereof are in existence or outstanding between any Secured Party and any Obligor.

               SECTION 9.9 Defaults. The Administrative Agent shall not be deemed to have knowledge or notice of
the occurrence of a Default (other than a Default under Section 8.1.1) unless the
Administrative Agent has received a written notice from a Lender or the Borrower specifying such
Default and stating that such notice is a “Notice of Default”. In the event that the
Administrative Agent receives such a notice of the occurrence of a Default, the Administrative
Agent shall give prompt notice thereof to the Lenders. The Administrative Agent shall (subject to
Section 10.1) take such action with respect to such Default as shall be directed by the
Required Lenders; provided that, unless and until the Administrative Agent shall have
received such directions, the Administrative Agent may (but shall not be obligated to) take such
action, or refrain from taking such action, with respect to such Default as it shall deem advisable
in the best interest of the Secured Parties except to the extent that this Agreement expressly
requires that such action be taken, or not be taken, only with the consent or upon the
authorization of the Required Lenders or all Lenders.

               SECTION 9.10 Lead Arrangers, Syndication Agents and Documentation Agents. Notwithstanding anything
else to the contrary contained in this Agreement or any other Loan Document, the Lead Arrangers,
the Syndication Agents and the Documentation Agents, in their respective capacities as such, each
in such capacity, shall have no duties or responsibilities under this Agreement or any other Loan
Document nor any fiduciary relationship with any Lender, and no implied covenants, functions,
responsibilities, duties, obligations or liabilities shall be read into this Agreement or otherwise
exist against such Person in such capacity. Each Lead Arranger shall at all times have the right
to receive current copies of the Register and any other information relating to the Lenders and the
Loans that they may request from the Administrative Agent. Each Lead Arranger shall at all times
have the right to receive a current copy of the Register and any other information relating to the
Lenders and the Loans that they may request from the Administrative Agent.

               SECTION 9.11 Posting of Approved Electronic Communications.

     (a) The Borrower hereby agrees, unless directed otherwise by the Administrative Agent
or unless the electronic mail address referred to below has not been provided by the
Administrative Agent to the Borrower, that it will, or will cause its Subsidiaries to,
provide to the Administrative Agent all information, documents and other materials that it
is obligated to furnish to the Administrative Agent pursuant to the Loan Documents or to the
Lenders under Section 7.1.1, including all notices, requests, financial statements,
financial and other reports, certificates and other information materials, but

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excluding any
such communication that (i) is or relates to a Borrowing Request, a Continuation/Conversion Notice or an Issuance Request, (ii) relates to the
payment of any principal or other amount due under this Agreement prior to the scheduled
date therefor and (iii) provides notice of any Default (all such non-excluded communications
being referred to herein collectively as “Communications”), by transmitting the
Communications in an electronic/soft medium that is properly identified in a format
reasonably acceptable to the Administrative Agent to an electronic mail address as directed
by the Administrative Agent; provided for the avoidance of doubt the items described
in clauses (i) and (iii) above may be delivered via facsimile transmissions.
In addition, the Borrower agrees, and agrees to cause its Subsidiaries, to continue to
provide the Communications to the Administrative Agent or the Lenders, as the case may be,
in the manner specified in the Loan Documents but only to the extent requested by the
Administrative Agent.

     (b)  The Borrower further agrees that the Administrative Agent may make the
Communications available to the Lenders by posting the Communications on Intralinks or a
substantially similar secure electronic transmission system (the “Platform”).

     (c)  THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE”. THE INDEMNIFIED PARTIES DO
NOT WARRANT THE ACCURACY OR COMPLETENESS OF THE COMMUNICATIONS OR THE ADEQUACY OF THE
PLATFORM AND EXPRESSLY DISCLAIM LIABILITY FOR ERRORS OR OMISSIONS IN THE COMMUNICATIONS. NO
WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF
MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR
FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS IS MADE BY THE INDEMNIFIED PARTIES IN CONNECTION
WITH THE COMMUNICATIONS OR THE PLATFORM. IN NO EVENT SHALL ANY PARTY HERETO HAVE ANY
LIABILITY TO ANY OBLIGOR, ANY LENDER OR ANY OTHER PERSON FOR DAMAGES OF ANY KIND, WHETHER OR
NOT BASED ON STRICT LIABILITY AND INCLUDING DIRECT OR INDIRECT, SPECIAL, INCIDENTAL OR
CONSEQUENTIAL DAMAGES, LOSSES OR EXPENSES (WHETHER IN TORT, CONTRACT OR OTHERWISE) ARISING
OUT OF ANY OBLIGOR’S OR THE ADMINISTRATIVE AGENT’S TRANSMISSION OF COMMUNICATIONS THROUGH
THE INTERNET, EXCEPT TO THE EXTENT THE LIABILITY OF SUCH PERSON IS FOUND IN A FINAL RULING
BY A COURT OF COMPETENT JURISDICTION TO HAVE RESULTED PRIMARILY FROM SUCH INDEMNIFIED
PARTY’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT.

     (d)   The Administrative Agent agrees that the receipt of the Communications by the
Administrative Agent at the e-mail address set forth on Schedule II shall constitute
effective delivery of the Communications to the Administrative Agent for purposes of the
Loan Documents. Each Lender agrees that receipt of notice to it (as provided in the next
sentence) specifying that the Communications have been posted to the Platform shall
constitute effective delivery of the Communications to such Lender for purposes of the Loan
Documents. Each Lender agrees to notify the Administrative Agent in writing (including by
electronic communication) from time to time of such Lender’s e-mail

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address to which the foregoing notice may be sent by electronic transmission and that
the foregoing notice may be sent to such e-mail address.

     (e) Nothing herein shall prejudice the right of any Agent or any Lender to give any
notice or other communication pursuant to any Loan Document in any other manner specified in
such Loan Document.

ARTICLE X

MISCELLANEOUS PROVISIONS

          SECTION 10.1 Waivers, Amendments, etc. The provisions of each Loan Document (other than Rate
Protection Agreements or Letters of Credit, which shall be modified only in accordance with their
respective terms) may from time to time be amended, modified or waived, if such amendment,
modification or waiver is in writing and consented to by the Borrower and the Required Lenders;
provided that, no such amendment, modification or waiver shall:

     (a)  modify Section 4.7, Section 4.8 (as it relates to sharing of
payments) or this Section, in each case, without the consent of each affected Lender;

     (b) increase the aggregate amount of any Loans required to be made by a Lender pursuant
to its Commitments, extend the final Commitment Termination Date of Loans made (or
participated in) by a Lender or extend the final Stated Maturity Date for any Lender’s Loan,
in each case without the consent of such Lender (it being agreed, however, that any vote to
rescind any acceleration made pursuant to Section 8.2 and Section 8.3 of
amounts owing with respect to the Loans and other Obligations shall only require the vote of
the Required Lenders);

     (c) reduce (by way of forgiveness), the principal amount of or reduce the rate of
interest on any Lender’s Loan, reduce any fees described in Article III payable to
any Lender or extend the date on which interest, principal or fees are payable in respect of
such Lender’s Loans, in each case without the consent of such Lender (provided that,
the vote of Required Lenders shall be sufficient to waive the payment, or reduce the
increased portion, of interest accruing under Section 3.2.2 and such waiver shall
not constitute a reduction of the rate of interest hereunder);

     (d) reduce the percentage set forth in the definition of “Required Lenders” or modify
any requirement hereunder that any particular action be taken by all Lenders without the
consent of all Lenders;

     (e) increase the Stated Amount of any Letter of Credit unless consented to by the
Issuer of such Letter of Credit;

     (f) except as otherwise expressly provided in a Loan Document, release (i) the Borrower
from its Obligations under the Loan Documents or any Subsidiary Guarantor from its
obligations under the Guaranty or (ii) all or substantially all of the collateral under the
Loan Documents, in each case without the consent of all Lenders; or

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     (g) affect adversely the interests, rights or obligations of the Administrative Agent
(in its capacity as the Administrative Agent), the Collateral Agent (in its capacity as the
Collateral Agent) any Issuer (in its capacity as Issuer), or the Swing Line Lender (in its
capacity as Swing Line Lender) unless consented to by such Agent, such Issuer,or such Swing
Line Lender, as the case may be.

No failure or delay on the part of any Secured Party in exercising any power or right under any
Loan Document shall operate as a waiver thereof, nor shall any single or partial exercise of any
such power or right preclude any other or further exercise thereof or the exercise of any other
power or right. No notice to or demand on any Obligor in any case shall entitle it to any notice
or demand in similar or other circumstances. No waiver or approval by any Secured Party under any
Loan Document shall, except as may be otherwise stated in such waiver or approval, be applicable to
subsequent transactions. No waiver or approval hereunder shall require any similar or dissimilar
waiver or approval thereafter to be granted hereunder.

Notwithstanding the foregoing, this Agreement may be amended (or amended and restated) with the
written consent of the Required Lenders, and the Borrower (a) to add one or more additional credit
facilities to this Agreement and to permit the extensions of credit from time to time outstanding
thereunder and the accrued interest and fees in respect thereof to share ratably in the benefits of
this Agreement and the other Loan Documents with the Obligations and (b) to include appropriately
the Lenders holding such credit facilities in any determination of the Required Lenders.

Further, notwithstanding anything to the contrary contained in Section 10.1, if within
sixty days following the Restatement Effective Date, the Administrative Agent and the Borrower
shall have jointly identified an obvious error or any error or omission of a technical or
immaterial nature, in each case, in any provision of the Loan Documents, then the Administrative
Agent and the Borrower shall be permitted to amend such provision and such amendment shall become
effective without any further action or consent of any other party to any Loan Document if the same
is not objected to in writing by the Required Lenders within five Business Days following receipt
of notice thereof.

               SECTION 10.2 Notices; Time. All notices and other communications provided under each Loan Document
shall be in writing or by facsimile (except to the extent provided below in this Section
10.2 with respect to Issuance Requests and financial information) and addressed, delivered or
transmitted, if to the Borrower, an Agent, a Lender or an Issuer, to the applicable Person at its
address or facsimile number set forth on the signature pages hereto, Schedule II hereto or
set forth in the Lender Assignment Agreement, or at such other address or facsimile number as may
be designated by such party in a notice to the other parties. Any notice, if mailed and properly
addressed with postage prepaid or if properly addressed and sent by pre-paid courier service, shall
be deemed given when received; any notice, if transmitted by facsimile, shall be deemed given when
the confirmation of transmission thereof is received by the transmitter. Except as set forth in
Section 9.11 and below, electronic mail and Internet and intranet websites may be used only
to distribute routine communications by the Administrative Agent to the Lender, such as financial
statements and other information as provided in Section 7.1.1, for the distribution and
execution of Loan Documents for execution by the parties thereto and (to the extent provided
herein, for the delivery of each Issuance Request) and may not be used for any other purpose.

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Notwithstanding the foregoing, the parties hereto agree that
delivery of an executed counterpart of a signature page to this Agreement and each other Loan
Document by facsimile (or other electronic) transmission shall be effective as delivery of an
original executed counterpart of this Agreement or such other Loan Document. Unless otherwise
indicated, all references to the time of a day in a Loan Document shall refer to New York time.

               SECTION 10.3 Payment of Costs and Expenses. The Borrower agrees to pay within 20 days of demand
(to the extent invoiced together with reasonably detailed supporting documentation) all reasonable
out-of-pocket expenses of each Lead Arranger and each Agent (including the reasonable fees and
reasonable out-of-pocket expenses of counsel to the Lead Arrangers and Agents and of local counsel,
if any, who may be retained by or on behalf of the Lead Arrangers and Agents) and each Issuer in
connection with

     (a) the negotiation, preparation, execution and delivery of each Loan Document,
including schedules and exhibits, and any amendments, waivers, consents, supplements or
other modifications to any Loan Document as may from time to time hereafter be required,
whether or not the transactions contemplated hereby are consummated; and

     (b) the filing or recording of any Loan Document (including any Filing Statements) and
all amendments, supplements, amendment and restatements and other modifications to any
thereof, searches made following the Restatement Effective Date in jurisdictions where
Filing Statements (or other documents evidencing Liens in favor of the Secured Parties) have
been recorded and any and all other documents or instruments of further assurance required
to be filed or recorded by the terms of any Loan Document; and

     (c) the preparation and review of the form of any document or instrument relevant to
any Loan Document.

The Borrower further agrees to pay, and to save each Secured Party harmless from all liability for,
any stamp or other taxes which may be payable in connection with the execution or delivery of each
Loan Document, the Credit Extensions or the issuance of the Notes. The Borrower also agrees to
reimburse the Agents and the Secured Parties upon demand for all reasonable out-of-pocket expenses
(including reasonable attorneys’ fees and legal out of pocket expenses of counsel to the Agents and
the Secured Parties) incurred by the Agents and the Secured Parties in connection with (A) the
negotiation of any restructuring or “work-out” with the Borrower, whether or not consummated, of
any Obligations and (B) the enforcement of any Obligations; provided that the Borrower
shall not be required to reimburse the legal fees and expenses of more than one outside counsel (in
addition to any local counsel) for all Persons indemnified under this Section 10.3 unless,
as reasonably determined by such Person seeking indemnification hereunder or its counsel,
representation of all such indemnified persons by the same counsel would be inappropriate due to
actual or potential differing interests between them.

               SECTION 10.4 Indemnification. In consideration of the execution and delivery of this Agreement by
each Secured Party, the Borrower hereby indemnifies, exonerates and holds each Secured Party, each
Co-Syndication Agent, each Co-Documentation Agent and each of their
respective officers, directors, employees, agents, trustees, fund advisors and

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Affiliates
(collectively, the “Indemnified Parties”) free and harmless from and against any and all
actions, causes of action, suits, losses, costs, liabilities and damages, and expenses incurred in
connection therewith (irrespective of whether any such Indemnified Party is a party to the action
for which indemnification hereunder is sought), including reasonable attorneys’ fees and
disbursements, whether incurred in connection with actions between or among the parties hereto or
the parties hereto and third parties (collectively, the “Indemnified Liabilities”),
incurred by the Indemnified Parties or any of them as a result of, or arising out of, or relating
to

     (a) any transaction financed or to be financed in whole or in part, directly or
indirectly, with the proceeds of any Credit Extension, including all Indemnified Liabilities
arising in connection with the Transaction;

     (b)  the entering into and performance of any Loan Document by any of the Indemnified
Parties (including any action brought by or on behalf of the Borrower as the result of any
determination by the Required Lenders pursuant to Article V not to fund any Credit
Extension, provided that, any such action is resolved in favor of such Indemnified
Party);

     (c)  any investigation, litigation or proceeding related to any acquisition or proposed
acquisition by any Obligor or any Subsidiary thereof of all or any portion of the Capital
Securities or assets of any Person, whether or not an Indemnified Party is party thereto;

     (d) any investigation, litigation or proceeding related to any environmental cleanup,
audit, compliance or other matter relating to the protection of the environment or the
Release by any Obligor or any Subsidiary thereof of any Hazardous Material;

     (e) the presence on or under, or the escape, seepage, leakage, spillage, discharge,
emission, discharging or releases from, any real property owned or operated by any Obligor
or any Subsidiary thereof of any Hazardous Material (including any losses, liabilities,
damages, injuries, costs, expenses or claims asserted or arising under any Environmental
Law), regardless of whether caused by, or within the control of, such Obligor or Subsidiary;
or

     (f) each Lender’s Environmental Liability (the indemnification herein shall survive
repayment of the Obligations and any transfer of the property of any Obligor or its
Subsidiaries by foreclosure or by a deed in lieu of foreclosure for any Lender’s
Environmental Liability, regardless of whether caused by, or within the control of, such
Obligor or such Subsidiary);

except for Indemnified Liabilities arising for the account of any Indemnified Party by reason of
any Indemnified Party’s gross negligence, bad faith or willful misconduct as finally determined by
a court of competent jurisdiction. The Borrower shall not be required to reimburse the legal fees
and expenses of more than one outside counsel for all Indemnified Parties with respect to any
matter for which indemnification is sought unless, as reasonably determined by any such Indemnified
Party or its counsel, representation of all such Indemnified Parties would create an
actual conflict of interest. Each Obligor and its successors and assigns hereby waive, release and

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agree not to make any claim or bring any cost recovery action against, any Indemnified Party under
CERCLA or any state equivalent, or any similar law now existing or hereafter enacted. It is
expressly understood and agreed that to the extent that any Indemnified Party is strictly liable
under any Environmental Laws, each Obligor’s obligation to such Indemnified Party under this
indemnity shall likewise be without regard to fault on the part of any Obligor with respect to the
violation or condition which results in liability of an Indemnified Party. If and to the extent
that the foregoing undertaking may be unenforceable for any reason, each Obligor agrees to make the
maximum contribution to the payment and satisfaction of each of the Indemnified Liabilities which
is permissible under applicable law. To the extent that the Borrower fails to pay an amount
required to be paid by it to an Issuer under Section 10.3 or 10.4, each Revolving
Loan Lender severally agrees to pay to such Issuer such Revolving Loan Lender’s Revolving Loan
Percentage (determined as of the time that the applicable unreimbursed expense or indemnity payment
is sought) of such unpaid amount, provided that such unreimbursed expense or indemnified
loss, claim, damage, liability or related expense, as the case may be, was incurred by or asserted
against such Issuer in its capacity as such.

               SECTION 10.5 Survival. The obligations of the Borrower under Sections 4.3, 4.4,
4.5, 4.6, 10.3 and 10.4, and the obligations of the Lenders
under Section 9.1, shall in each case survive any assignment from one Lender to another (in
the case of Sections 10.3 and 10.4) and the occurrence of the Termination Date.
The representations and warranties made by each Obligor in each Loan Document shall survive the
execution and delivery of such Loan Document.

               SECTION 10.6 Severability. Any provision of any Loan Document which is prohibited or unenforceable
in any jurisdiction shall, as to such provision and such jurisdiction, be ineffective to the extent
of such prohibition or unenforceability without invalidating the remaining provisions of such Loan
Document or affecting the validity or enforceability of such provision in any other jurisdiction.

               SECTION 10.7 Headings. The various headings of each Loan Document are inserted for convenience
only and shall not affect the meaning or interpretation of such Loan Document or any provisions
thereof.

               SECTION 10.8 Execution in Counterparts, Effectiveness, etc. This Agreement may be executed by the
parties hereto in several counterparts, each of which shall be an original and all of which shall
constitute together but one and the same agreement. This Agreement shall become effective when
counterparts hereof executed on behalf of the Borrower, each Agent and each Lender (or notice
thereof satisfactory to the Administrative Agent), shall have been received by the Administrative
Agent.

               SECTION 10.9 Governing Law; Entire Agreement. EACH LOAN DOCUMENT (OTHER THAN THE LETTERS OF
CREDIT, TO THE EXTENT SPECIFIED BELOW AND EXCEPT AS OTHERWISE EXPRESSLY SET FORTH IN A LOAN
DOCUMENT) WILL EACH BE DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE
STATE OF NEW YORK (INCLUDING FOR SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS
LAW OF THE STATE OF NEW YORK). EACH LETTER OF CREDIT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OR RULES

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DESIGNATED IN SUCH LETTER OF CREDIT, OR IF NO LAWS OR RULES
ARE DESIGNATED, THE INTERNATIONAL STANDBY PRACTICES (ISP98—INTERNATIONAL CHAMBER OF COMMERCE
PUBLICATION NUMBER 590 (THE “ISP RULES”)) AND, AS TO MATTERS NOT GOVERNED BY THE ISP RULES,
THE INTERNAL LAWS OF THE STATE OF NEW YORK. The Loan Documents constitute the entire understanding
among the parties hereto with respect to the subject matter thereof and supersede any prior
agreements, written or oral, with respect thereto.

               SECTION 10.10 Successors and Assigns. This Agreement shall be binding upon and shall inure to the
benefit of the parties hereto and their respective successors and assigns; provided that,
the Borrower may not assign or transfer its rights or obligations hereunder without the consent of
all Lenders. Each Affiliate of HSBC or any other Lender that has issued a Letter of Credit
hereunder shall be an express third party beneficiary of this Agreement and entitled to enforce its
rights hereunder (and under any other applicable Loan Documents) to the same extent as if an Issuer
party hereto.

               SECTION 10.11 Sale and Transfer of Credit Extensions; Participations in Credit Extensions; Notes.
Each Lender may assign, or sell participations in, its Loans, Letters of Credit and Commitments to
one or more other Persons in accordance with the terms set forth below.

     (a) Subject to clause (b), any Lender may assign to one or more Eligible Assignees all
or a portion of its rights and obligations under the Loan Documents (including all or a portion of
its Commitments and the Loans at the time owing to it); provided that:

     (i) except in the case of (A) an assignment of the entire remaining amount of the
assigning Lender’s Commitments and the Loans at the time owing to it or (B) an assignment to
a Lender, an Affiliate of a Lender or an Approved Fund with respect to a Lender, the
aggregate amount of the Commitments (which for this purpose includes Loans outstanding
thereunder) or principal outstanding balance of the Loans of the assigning Lender subject to
each such assignment (determined as of the date the Lender Assignment Agreement with respect
to such assignment is delivered to the Administrative Agent) shall not be less than
$1,000,000, unless the Administrative Agent and the Borrower, otherwise consent (which
consent shall not be unreasonably withheld or delayed);

     (ii) 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 and the Commitments assigned except that this clause (a)(ii) shall not
prohibit any Lender from assigning all or a portion of its rights and obligations among
separate tranches of Revolving Loans and New Term Loans on a non-pro rata
basis; and

     (iii) the parties to each assignment shall execute and deliver to the Administrative
Agent a Lender Assignment Agreement, together with, if the Eligible
Assignee is not already Lender, administrative details information with respect to such
Eligible Assignee and applicable tax forms.

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     (b) Any assignment proposed pursuant to clause (a) to any Person shall be subject to
the prior written approval, not to be unreasonably withheld or delayed, of (i) the Administrative
Agent, unless the assignee is a Lender or an Affiliate of a Lender or an Approved Fund, and (ii) in
the case of any assignment of any Revolving Loan Commitment, the Borrower (unless (A) there is an
Event of Default that is continuing or (B) the assignee is a Lender or an Affiliate of a Lender or
an Approved Fund), the Swing Line Lender and each Issuer. If the consent of the Borrower to an
assignment or to an Eligible Assignee is required hereunder (including a consent to an assignment
which does not meet the minimum assignment thresholds specified in this Section), the Borrower
shall be deemed to have given its consent seven Business Days after the date notice thereof has
been delivered by the assigning Lender (through the Administrative Agent) to the Borrower, unless
such consent is expressly refused by the Borrower prior to such seventh Business Day.

     (c) Subject to acceptance and recording thereof by the Administrative Agent pursuant to
clause (d), from and after the effective date specified in each Lender Assignment
Agreement, (i) the Eligible Assignee thereunder shall (if not already a Lender) be a party hereto
and, to the extent of the interest assigned by such Lender Assignment Agreement, have the rights
and obligations of a Lender under the Loan Documents, and (ii) the assigning Lender thereunder
shall (subject to Section 10.5) be released from its obligations under the Loan Documents,
to the extent of the interest assigned by such Lender Assignment Agreement (and, in the case of a
Lender Assignment Agreement covering all of the assigning Lender’s rights and obligations under the
Loan Documents, such Lender shall cease to be a party hereto, but shall (as to matters arising
prior to the effectiveness of the Lender Assignment Agreement) continue to be entitled to the
benefits of any provisions of the Loan Documents which by their terms survive the termination of
this Agreement). Any assignment or transfer by a Lender of rights or obligations under this
Agreement that does not comply with the terms of this Section shall be treated for purposes of the
Loan Documents as a sale by such Lender of a participation in such rights and obligations in
accordance with clause (e).

     (d) The Administrative Agent shall record each assignment made in accordance with this Section
in the Register pursuant to clause (a) of Section 2.7. The Register shall be
available for inspection by the Borrower and any Lender, at any reasonable time upon reasonable
prior notice to the Administrative Agent.

     (e) Any Lender may, without the consent of, or notice to, any Person, sell participations to
one or more Persons (other than individuals) (a “Participant”) in all or a portion of such
Lender’s rights or obligations under the Loan Documents (including all or a portion of its
Commitments or the Loans owing to it); provided that, (i) such Lender’s obligations under
the Loan Documents shall remain unchanged, (ii) such Lender shall remain solely responsible to the
other parties hereto for the performance of such obligations and (iii) the Borrower, the
Administrative Agent and the other Lenders shall continue to deal solely and directly with such
Lender in connection with such Lender’s rights and obligations under the Loan Documents. Any
agreement or instrument pursuant to which a Lender sells a participation shall provide that such
Lender shall retain the sole right to enforce the rights and remedies of a
Lender under the Loan Documents and to approve any amendment, modification or waiver of any
provision of the Loan Documents; provided that, such agreement or instrument may provide
that such Lender will not, without the consent of the Participant, take any action of the type
described

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in clauses (a) through (d) or clause (f) of Section 10.1
with respect to Obligations participated in by that Participant. Subject to clause (f),
the Borrower agrees that each Participant shall be entitled to the benefits of Sections
4.3, 4.4, 4.5, 4.6, 7.1.1, 10.3 and 10.4 to the
same extent as if it were a Lender and had acquired its interest by assignment pursuant to
clause (c). To the extent permitted by law, each Participant also shall be entitled to the
benefits of Section 4.9 as though it were a Lender, but only if such Participant agrees to
be subject to Section 4.8 as though it were a Lender.

     (f) A Participant shall not be entitled to receive any greater payment under Section
4.3, 4.4, 4.5, 4.6, 10.3 or 10.4 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 Non-U.S. Lender if it were a Lender shall not
be entitled to the benefits of Section 4.6 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 the requirements set forth in Section 4.6 as though it were a
Lender. Any Lender that sells a participating interest in any Loan, Commitment or other interest
to a Participant under this Section shall indemnify and hold harmless the Borrower and the
Administrative Agent from and against any taxes, penalties, interest or other costs or losses
(including reasonable attorneys’ fees and expenses) incurred or payable by the Borrower or the
Administrative Agent as a result of the failure of the Borrower or the Administrative Agent to
comply with its obligations to deduct or withhold any Taxes from any payments made pursuant to this
Agreement to such Lender or the Administrative Agent, as the case may be, which Taxes would not
have been incurred or payable if such Participant had been a Non-U.S. Lender that was entitled to
deliver to the Borrower, the Administrative Agent or such Lender, and did in fact so deliver, a
duly completed and valid Form W-8BEN or W-8ECI (or applicable successor form) entitling such
Participant to receive payments under this Agreement without deduction or withholding of any United
States federal taxes.

     (g) Any Lender may, without the consent of any other Person, at any time pledge or assign a
security interest in all or any portion of its rights under this Agreement to secure obligations of
such Lender, including any pledge or assignment to secure obligations to a Federal Reserve Bank or
any central bank; provided that no such pledge or assignment of a security interest shall
release a Lender from any of its obligations hereunder or substitute any such pledgee or assignee
for such Lender as a party hereto.

               SECTION 10.12 Other Transactions. Nothing contained herein shall preclude any Agent, any Issuer or
any other Lender from engaging in any transaction, in addition to those contemplated by the Loan
Documents, with the Borrower or any of its Affiliates in which the Borrower or such Affiliate is
not restricted hereby from engaging with any other Person.

               SECTION 10.13 Forum Selection and Consent to Jurisdiction; Waivers. ANY LITIGATION BASED HEREON, OR
ARISING OUT OF, UNDER, OR IN CONNECTION WITH, ANY LOAN DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE
OF DEALING,STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE AGENTS, THE LENDERS, ANY ISSUER OR THE
BORROWER IN CONNECTION HEREWITH OR THEREWITH MAY BE BROUGHT AND MAINTAINED IN THE COURTS OF THE
STATE OF NEW YORK OR IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK;
PROVIDED THAT, ANY SUIT SEEKING

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ENFORCEMENT AGAINST ANY COLLATERAL OR OTHER PROPERTY MAY BE
BROUGHT, AT THE COLLATERAL AGENT’S OPTION, IN THE COURTS OF ANY JURISDICTION WHERE SUCH COLLATERAL
OR OTHER PROPERTY MAY BE FOUND. THE BORROWER IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY
REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW YORK AT
THE ADDRESS FOR NOTICES SPECIFIED IN SECTION 10.2. EACH PERSON PARTY HERETO HEREBY
EXPRESSLY AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH IT
MAY HAVE OR HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT IN ANY SUCH
COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT
FORUM. TO THE EXTENT THAT ANY PERSON PARTY HERETO HAS OR HEREAFTER MAY ACQUIRE ANY IMMUNITY FROM
JURISDICTION OF ANY COURT OR FROM ANY LEGAL PROCESS (WHETHER THROUGH SERVICE OR NOTICE, ATTACHMENT
PRIOR TO JUDGMENT, ATTACHMENT IN AID OF EXECUTION OR OTHERWISE) WITH RESPECT TO ITSELF OR ITS
PROPERTY, SUCH PERSON HEREBY IRREVOCABLY WAIVES TO THE FULLEST EXTENT PERMITTED BY LAW SUCH
IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER THE LOAN DOCUMENTS. EACH AGENT, EACH LENDER, EACH
ISSUER AND THE BORROWER HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE TO THE FULLEST EXTENT
PERMITTED BY LAW ANY RIGHTS THEY MAY HAVE TO CLAIM OR RECOVER IN ANY LEGAL ACTION OR PROCEEDING
REFERRED TO IN THIS SECTION ANY SPECIAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES.

               SECTION 10.14 Waiver of Jury Trial. EACH AGENT, EACH LENDER, EACH ISSUER AND THE BORROWER HEREBY
KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE TO THE FULLEST EXTENT PERMITTED BY LAW ANY RIGHTS
THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, OR ARISING OUT OF,
UNDER, OR IN CONNECTION WITH, EACH LOAN DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING,
STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF SUCH AGENT, SUCH LENDER, SUCH ISSUER OR THE
BORROWER IN CONNECTION THEREWITH. THE BORROWER ACKNOWLEDGES AND AGREES THAT IT HAS RECEIVED FULL
AND SUFFICIENT CONSIDERATION FOR THIS PROVISION (AND EACH OTHER PROVISION OF EACH OTHER LOAN
DOCUMENT TO WHICH IT IS A PARTY) AND THAT THIS PROVISION IS A MATERIAL INDUCEMENT FOR EACH AGENT,
EACH LENDER AND EACH ISSUER ENTERING INTO THE LOAN DOCUMENTS.

               SECTION 10.15 Patriot Act. Each Lender that is subject to Section 326 of the Patriot Act and/or the
Agents and/or the Lead Arrangers (each of the foregoing acting for themselves and not acting on
behalf of any of the Lenders) hereby notify the Borrower that pursuant to the requirements of the
Patriot Act, it is required to obtain, verify and record information that identifies the Borrower, which information
includes the name and address of the Borrower and
other information that will allow such Lender, the Agents or the Lead Arrangers, as the case may
be, to identify the Borrower in accordance with the Patriot Act.

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               SECTION 10.16 Judgment Currency. The Obligations of each Obligor in respect of any sum due to any
Secured Party under or in respect of any Loan Document shall, notwithstanding any judgment in a
currency (the “Judgment Currency”) other than the currency in which such sum was originally
denominated (the “Original Currency”), be discharged only to the extent that on the
Business Day following receipt by such Secured Party or any sum adjudged to be so due in the
Judgment Currency, such Secured Party, in accordance with normal banking procedures, purchases the
Original Currency with the Judgment Currency. If the amount of Original Currency so purchased is
less than the sum originally due to such Secured Party, the Borrower agrees, as a separate
obligation and notwithstanding any such judgment, to indemnify such Lender, such Secured Party, as
the case may be, against such loss, and if the amount of Original Currency so purchased exceeds the
sum originally due to such Secured Party, as the case may be, such Secured Party, as the case may
be, agrees to remit such excess to the Borrower.

               SECTION 10.17 No Fiduciary Duty. Each Agent, each Co-Syndication Agent, each Co-Documentation Agent,
each Lead Arranger, each Lender and their Affiliates (collectively, solely for purposes of this
paragraph, the “Lenders”), may have economic interests that conflict with those of the
Borrower, its stockholders and/or its Affiliates. The Borrower agrees that nothing in the Loan
Documents or otherwise will be deemed to create an advisory, fiduciary or agency relationship or
fiduciary or other implied duty between any Lender, on the one hand, and the Borrower, its
stockholders or its Affiliates, on the other. The Obligors acknowledge and agree that (i) the
transactions contemplated by the Loan Documents (including the exercise of rights and remedies
hereunder and thereunder) are arm’s-length commercial transactions between the Lenders, on the one
hand, and the Borrower, on the other, and (ii) in connection therewith and with the process leading
thereto, (x) no Lender has assumed an advisory or fiduciary responsibility in favor of the
Borrower, its stockholders or its Affiliates with respect to the transactions contemplated hereby
(or the exercise of rights or remedies with respect thereto) or the process leading thereto
(irrespective of whether any Lender has advised, is currently advising or will advise the Borrower,
its stockholders or its Affiliates on other matters) or any other obligation to the Borrower except
the obligations expressly set forth in the Loan Documents and (y) each Lender is acting solely as
principal and not as the agent or fiduciary of the Borrower, its management, stockholders,
creditors or any other Person. The Borrower acknowledges and agrees that the Borrower has
consulted its own legal and financial advisors to the extent it deemed appropriate and that it is
responsible for making its own independent judgment with respect to such transactions and the
process leading thereto. The Borrower agrees that it will not claim that any Lender has rendered
advisory services of any nature or respect, or owes a fiduciary or similar duty to the Borrower, in
connection with such transaction or the process leading thereto.

               SECTION 10.18 Counsel Representation. EACH PARTY HERETO ACKNOWLEDGES AND AGREES THAT IT HAS BEEN
REPRESENTED BY COMPETENT COUNSEL IN THE NEGOTIATION OF THIS AGREEMENT, AND THAT ANY RULE OR
CONSTRUCTION OF LAW ENABLING SUCH PERSON TO ASSERT THAT ANY AMBIGUITIES OR INCONSISTENCIES IN THE
DRAFTING OR PREPARATION OF THE TERMS OF THIS AGREEMENT SHOULD DIMINISH ANY RIGHTS OR REMEDIES OF ANY OTHER PERSON ARE HEREBY WAIVED.

               SECTION 10.19 Confidentiality. Each Secured Party agrees to maintain the confidentiality of the
Information (as defined below), except that Information may be disclosed (a)

109

 

to its Affiliates and
to its Affiliates’ respective partners, directors, officers, employees, agents, advisors and
representatives (it being understood that the Persons to whom such disclosure is made will be
informed of the confidential nature of such Information and instructed to keep such Information
confidential), (b) to the extent requested by any regulatory authority purporting to have
jurisdiction over it (including any self-regulatory authority, such as the National Association of
Insurance Commissioners), (c) to the extent required by applicable laws or regulations or by any
subpoena or similar legal process (provided that except to the extent prohibited by such
subpoena or similar legal process, such Secured Party shall notify the Borrower of such request or
disclosure), (d) to any other party hereto, (e) to the extent reasonably necessary, in connection
with the exercise of any remedies hereunder or under any other Loan Document or any action or
proceeding relating to this Agreement or any other Loan Document or the enforcement of rights
hereunder or thereunder or in connection with the administration of any Loan Document, (f) to
market data collectors or other information services in relation to league table reporting, (g)
subject to an agreement containing provisions substantially the same as those of this Section, to
(i) any assignee of or Participant in, or any prospective assignee of or Participant in, any of its
rights or obligations under this Agreement or (ii) any actual or prospective counterparty (or its
advisors) to any swap or derivative transaction relating to the Borrower and its obligations, (h)
with the written consent of the Borrower or (i) to the extent such Information (i) becomes publicly
available other than as a result of a breach of this Section (or any other confidentiality
obligation owed to the Borrower or any Subsidiary or their Affiliates) or (ii) becomes available to
any Secured Party or any of their respective Affiliates on a nonconfidential basis from a source
other than the Borrower or any Subsidiary and not in violation of any confidentiality obligation
owed to the Borrower or any Subsidiary by any Secured Party or any Affiliate thereof. For purposes
of this Section, “Information” means all information received from the Borrower or any
Subsidiary relating to the Borrower or any Subsidiary or any of their respective businesses, other
than any such information that is available to any Secured Party on a nonconfidential basis prior
to disclosure by the Borrower or any Subsidiary. 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
and in accordance with applicable law.

               SECTION 10.20 Resignation of Citi; Appointment of JPMorgan as Successor Swing Line Lender. (a)
Effective as of the Restatement Effective Date, Citi hereby resigns as Administrative Agent,
Collateral Agent and Swing Line Lender under the Original Credit Agreement and the other Loan
Documents (as defined in the Original Credit Agreement). The Required Lenders and the Borrower
hereby confirm that, on and after the Restatement Effective Date, Citi shall be discharged from all
of its duties and obligations as administrative agent and collateral agent under the Original
Credit Agreement and the other Loan Documents (as defined in the Original Credit Agreement). The
Borrower and the Lenders hereby waive any requirement for prior notice of such resignation pursuant
to Section 9.4 of the Original Credit Agreement. For the avoidance of doubt, the
provisions of Article IX of the Original Credit Agreement shall continue to inure to the benefit of each Agent (as defined in the Original
Credit Agreement) as to any actions taken or omitted to be taken by it while it was an Agent under
the Loan Documents (as defined in the Original Credit Agreement), and Section 10.3 and 10.4 of the
Original Credit Agreement shall continue to inure to the benefit of each such Agent, including with
respect to any actions taken or any costs and expenses incurred by Citi or its legal counsel on or

110

 

after the Restatement Effective Date (i) to deliver Collateral to the Administrative Agent and the
Collateral Agent under this Agreement and (ii) with respect to Section 7.1.11 of this Agreement.

     (b) Effective as of the Restatement Effective Date, JPMorgan shall replace and succeed to the
rights, duties and benefits of Citi as Swing Line Lender. The Borrower consents to such
appointment of JPMorgan as the successor Swing Line Lender under this Agreement and the other Loan
Documents. The Required Lenders and the Borrower hereby confirm that, on and after the Restatement
Effective Date, JPMorgan shall have all rights, protections, duties and powers of the Swing Line
Lender under this Agreement and the other Loan Documents, and Citi shall be discharged from all of
its duties and obligations as swing line lender under the Original Credit Agreement and the other
Loan Documents (as defined in the Original Credit Agreement).

               SECTION 10.21 Effect of Amendment and Restatement. On the Restatement Effective Date, the Original
Credit Agreement shall be amended, restated and superseded in its entirety. The parties hereto
acknowledge and agree that (a) this Agreement and the other Loan Documents, whether executed and
delivered in connection herewith or otherwise, do not constitute a novation, payment and
reborrowing, or termination of the “Obligations” (as defined in the Original Credit Agreement)
under the Original Credit Agreement as in effect prior to the Restatement Effective Date and (b)
such “Obligations” are in all respects continuing (as amended and restated hereby) with only the
terms thereof being modified as provided in this Agreement.

               SECTION 10.22 Consent of Required Lenders. By the execution of this Agreement, each Lender party to
this Agreement consents to this amendment and restatement of the Original Credit Agreement, as set
forth herein, and the amendment and restatement, replacement or other modification to any other
Loan Documents, in each case, as so amended, amended and restated, replaced or otherwise modified
on or after the Restatement Effective Date in the form entered into by the Obligors and the
applicable Agent (it being understood and agreed by each of the parties hereto that the “Revolving
Loan Commitments” under the Original Credit Agreement of each “Revolving Loan Lender” thereunder
that is not also a Revolving Loan Lender under this Agreement shall be terminated in full on and as
of the Restatement Effective Date). Upon the receipt of written consents from the Required Lenders
(as defined in the Original Credit Agreement) pursuant to this Section 10.22 and
notwithstanding any provision to the contrary contained in the Original Credit Agreement, the
Original Credit Agreement (including the schedules and exhibits thereto) shall be amended and
restated in its entirety.

111

 

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their
respective officers thereunto duly authorized as of the day and year first above written.

	 	 	 	 	 
	 	HANESBRANDS INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	  	
Address:

Facsimile No.:

Attention: 	 

[Signature Page to Credit Agreement]

 

	 	 	 	 	 
	 	JPMORGAN CHASE BANK, N.A.,

     as Administrative Agent, Collateral Agent and

     as a Lender

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 
	 	J.P. MORGAN SECURITIES INC.,

     as a Joint Lead Arranger and Joint Bookrunner

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 

[Signature Page to Credit Agreement]

 

 

	 	 	 	 	 
	 	BANK OF AMERICA, N.A.,

     as Co-Syndication Agent and as a Lender

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 
	 	BANC OF AMERICA SECURITIES LLC,

     as a Joint Lead Arranger and Joint Bookrunner

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[Signature Page to Credit Agreement]

 

 

	 	 	 	 	 
	 	HSBC SECURITIES (USA) INC.,

     as a Joint Lead Arranger and Joint Bookrunner

     and a Co-Syndication Agent

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 
	 	HSBC BANK USA, NATIONAL ASSOCIATION,

     as a Lender

 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[Signature Page to Credit Agreement]

 

 

	 	 	 	 	 
	 	BARCLAYS BANK PLC,

     as a Joint Lead Arranger and Joint Bookrunner,

     a Co-Documentation Agent and as a Lender

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

	 	 	 	 	 
	 
	[Signature Page to Credit Agreement]

 
	 	 	 
	 	 	 
	 	 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	GOLDMAN SACHS CREDIT PARTNERS L.P.,

     as a Co-Documentation Agent and as a Lender

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[Signature Page to Credit Agreement]

 

 

	 	 	 	 	 
	 	[OTHER LENDERS]

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[Signature Page to Credit Agreement]

 

 

          Pursuant to Section 10.20 of the Agreement, the undersigned hereby resign as
Administrative Agent, Collateral Agent and Swing Line Lender.

	 	 	 	 	 
	 	CITICORP USA, INC.,

     as resigning Administrative Agent and resigning

     Swing Line Lender

 	 
	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 
	 	CITIBANK, N.A.,

     as resigning Collateral Agent

 	 

	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:Exhibit 4.1

Exhibit
4.1

SENIOR SECURED NOTES INDENTURE

Dated as of February 17, 2011

Among

CAMBIUM LEARNING GROUP, INC.,

THE GUARANTORS NAMED ON THE SIGNATURE PAGES HERETO

and

WELLS FARGO BANK, NATIONAL ASSOCIATION,

as Trustee

9.75% SENIOR SECURED NOTES DUE 2017

Reference is made to the Lien Subordination and Intercreditor Agreement, dated as of February 17,
2011, among Harris, N.A., as ABL Agent for the ABL Secured Parties referred to therein; Wells Fargo
Bank, National Association, as Notes Collateral Agent; Cambium Learning Group, Inc.; and the other
Subsidiaries of Cambium Learning Group, Inc. named therein (the “Intercreditor Agreement”). Each
holder of the Notes, by its acceptance of the Notes, (a) consents to the subordination of Liens
provided for in the Intercreditor Agreement, (b) agrees that it will be bound by, and will take no
actions contrary to, the provisions of the Intercreditor Agreement and (c) authorizes and instructs
the Notes Collateral Agent on behalf of each holder of Notes to enter into the Intercreditor
Agreement as Notes Collateral Agent on behalf of such holder of Notes. The foregoing provisions
are intended as an inducement to the ABL Secured Parties to extend credit to the Issuer and the
Guarantors and such ABL Secured Parties are intended third party beneficiaries of such provisions
and the provisions of the Intercreditor Agreement.

 

 

 

CROSS-REFERENCE TABLE*

	 	 	 	 	 
	 	 	Indenture	 
	Trust Indenture Act Section	 	Section	 
	 
	 	 	 	 
	310 (a)(1)
	 	 	7.10	 
	(a)(2)
	 	 	7.10	 
	(a)(3)
	 	 	N.A.	 
	(a)(4)
	 	 	N.A.	 
	(a)(5)
	 	 	7.10	 
	(b)
	 	 	7.10	 
	(c)
	 	 	N.A.	 
	311 (a)
	 	 	7.11	 
	(b)
	 	 	7.11	 
	(c)
	 	 	N.A.	 
	312 (a)
	 	 	2.05	 
	(b)
	 	 	12.03	 
	(c)
	 	 	12.03	 
	313 (a)
	 	 	7.06	 
	(b)
	 	 	7.06; 7.07	 
	(c)
	 	 	7.06; 12.02	 
	(d)
	 	 	7.06	 
	314 (a)
	 	 	4.03; 4.04	 
	(b)
	 	 	13.02	 
	(c)(1)
	 	 	12.04	 
	(c)(2)
	 	 	12.04	 
	(c)(3)
	 	 	N.A.	 
	(d)
	 	 	13.04; 13.05	 
	(e)
	 	 	12.05	 
	(f)
	 	 	N.A.	 
	315 (a)
	 	 	7.01	 
	(b)
	 	 	7.05	 
	(c)
	 	 	7.01	 
	(d)
	 	 	7.07	 
	(e)
	 	 	6.14	 
	316 (a)(last sentence)
	 	 	2.09	 
	(a)(1)(A)
	 	 	6.05	 
	(a)(1)(B)
	 	 	6.04	 
	(a)(2)
	 	 	N.A.	 
	(b)
	 	 	6.07	 
	(c)
	 	 	1.05	 
	317 (a)(1)
	 	 	6.08	 
	(a)(2)
	 	 	6.12	 
	(b)
	 	 	N.A.	 
	318 (a)
	 	 	12.01	 
	(b)
	 	 	N.A.	 
	(c)
	 	 	12.01	 

 

			
	N.A. means not applicable.
	 
	*	 	This Cross-Reference Table is not part of this Indenture.

 

 

 

Table of Contents

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 1

	 	 	 	 	 
	 	 	 	 
	DEFINITIONS AND INCORPORATION BY REFERENCE

	 	 	 	 	 
	 	 	 	 
	Section 1.01	 	Definitions
	 	 	1	 
	Section 1.02	 	Other Definitions
	 	 	32	 
	Section 1.03	 	Incorporation by Reference of Trust Indenture Act
	 	 	32	 
	Section 1.04	 	Rules of Construction
	 	 	33	 
	Section 1.05	 	Acts of Holders
	 	 	33	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 2

	 	 	 	 	 
	 	 	 	 
	THE SECURED NOTES

	 	 	 	 	 
	 	 	 	 
	Section 2.01	 	Form and Dating; Terms
	 	 	35	 
	Section 2.02	 	Execution and Authentication
	 	 	36	 
	Section 2.03	 	Registrar and Paying Agent
	 	 	36	 
	Section 2.04	 	Paying Agent to Hold Money in Trust
	 	 	36	 
	Section 2.05	 	Holder Lists
	 	 	37	 
	Section 2.06	 	Transfer and Exchange
	 	 	37	 
	Section 2.07	 	Replacement Note
	 	 	46	 
	Section 2.08	 	Outstanding Notes
	 	 	46	 
	Section 2.09	 	Treasury Notes
	 	 	46	 
	Section 2.10	 	Temporary Notes
	 	 	46	 
	Section 2.11	 	Cancellation
	 	 	46	 
	Section 2.12	 	Defaulted Interest
	 	 	47	 
	Section 2.13	 	CUSIP/ISIN Numbers
	 	 	47	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 3

	 	 	 	 	 
	 	 	 	 
	REDEMPTION

	 	 	 	 	 
	 	 	 	 
	Section 3.01	 	Notices to Trustee
	 	 	47	 
	Section 3.02	 	Selection of Notes to Be Redeemed
	 	 	47	 
	Section 3.03	 	Notice of Redemption
	 	 	48	 
	Section 3.04	 	Effect of Notice of Redemption
	 	 	49	 
	Section 3.05	 	Deposit of Redemption Price
	 	 	49	 
	Section 3.06	 	Notes Redeemed in Part
	 	 	49	 
	Section 3.07	 	Optional Redemption
	 	 	49	 
	Section 3.08	 	Mandatory Redemption
	 	 	50	 
	Section 3.09	 	Offers to Repurchase by Application of Excess Proceeds
	 	 	50	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 4

	 	 	 	 	 
	 	 	 	 
	COVENANTS

	Section 4.01	 	Payment of Notes
	 	 	52	 
	Section 4.02	 	Maintenance of Office or Agency
	 	 	52	 
	Section 4.03	 	Reports and Other Information
	 	 	52	 
	Section 4.04	 	Compliance Certificate
	 	 	53	 
	Section 4.05	 	Taxes
	 	 	54	 
	 	 	 	 	 
	 	 	 	 

-i-

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page	 
	 	 	 	 	 
	 	 	 	 
	Section 4.06	 	Stay, Extension and Usury Laws
	 	 	54	 
	Section 4.07	 	Limitation on Restricted Payments
	 	 	54	 
	Section 4.08	 	Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries
	 	 	59	 
	Section 4.09	 	Limitation on Incurrence of Indebtedness and Issuance of Disqualified Stock and
Preferred Stock
	 	 	61	 
	Section 4.10	 	Asset Sales
	 	 	66	 
	Section 4.11	 	Transactions With Affiliates
	 	 	68	 
	Section 4.12	 	Liens
	 	 	70	 
	Section 4.13	 	Company Existence
	 	 	70	 
	Section 4.14	 	Offer to Repurchase upon Change of Control
	 	 	70	 
	Section 4.15	 	Limitation on Guarantees of Indebtedness by Restricted Subsidiaries
	 	 	72	 
	Section 4.16	 	Impairment of Security Interests; Further Assurances
	 	 	72	 
	Section 4.17	 	After-Acquired Property
	 	 	73	 
	Section 4.18	 	Insurance
	 	 	73	 
	Section 4.19	 	Payment for Consent
	 	 	73	 
	Section 4.20	 	Post-Closing Actions
	 	 	73	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 5

	 	 	 	 	 
	 	 	 	 
	SUCCESSORS

	 	 	 	 	 
	 	 	 	 
	Section 5.01	 	Merger, Consolidation or Sale of All or Substantially All Assets
	 	 	73	 
	Section 5.02	 	Successor Person Substituted
	 	 	75	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 6

	 	 	 	 	 
	 	 	 	 
	DEFAULTS AND REMEDIES

	 	 	 	 	 
	 	 	 	 
	Section 6.01	 	Events of Default
	 	 	75	 
	Section 6.02	 	Acceleration
	 	 	77	 
	Section 6.03	 	Other Remedies
	 	 	78	 
	Section 6.04	 	Waiver of Past Defaults
	 	 	78	 
	Section 6.05	 	Control by Majority
	 	 	78	 
	Section 6.06	 	Limitation on Suits
	 	 	78	 
	Section 6.07	 	Rights of Holders to Receive Payment
	 	 	79	 
	Section 6.08	 	Collection Suit by Trustee
	 	 	79	 
	Section 6.09	 	Restoration of Rights and Remedies
	 	 	79	 
	Section 6.10	 	Rights and Remedies Cumulative
	 	 	79	 
	Section 6.11	 	Delay or Omission Not Waiver
	 	 	79	 
	Section 6.12	 	Trustee May File Proofs of Claim
	 	 	79	 
	Section 6.13	 	Priorities
	 	 	80	 
	Section 6.14	 	Undertaking for Costs
	 	 	80	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 7

	 	 	 	 	 
	 	 	 	 
	TRUSTEE

	 	 	 	 	 
	 	 	 	 
	Section 7.01	 	Duties of Trustee
	 	 	80	 
	Section 7.02	 	Rights of Trustee
	 	 	81	 
	Section 7.03	 	Individual Rights of Trustee
	 	 	82	 
	Section 7.04	 	Trustee’s Disclaimer
	 	 	82	 
	Section 7.05	 	Notice of Defaults
	 	 	82	 
	Section 7.06	 	Reports by Trustee to Holders
	 	 	82	 
	Section 7.07	 	Compensation and Indemnity
	 	 	83	 
	Section 7.08	 	Replacement of Trustee
	 	 	83	 
	Section 7.09	 	Successor Trustee by Merger, Etc.
	 	 	84	 
	 	 	 	 	 
	 	 	 	 

-ii-

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page	 
	 	 	 	 	 
	 	 	 	 
	Section 7.10	 	Eligibility; Disqualification
	 	 	84	 
	Section 7.11	 	Preferential Collection of Claims Against Issuer
	 	 	84	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 8

	 	 	 	 	 
	 	 	 	 
	LEGAL DEFEASANCE AND COVENANT DEFEASANCE

	 	 	 	 	 
	 	 	 	 
	Section 8.01	 	Option to Effect Legal Defeasance or Covenant Defeasance
	 	 	84	 
	Section 8.02	 	Legal Defeasance and Discharge
	 	 	84	 
	Section 8.03	 	Covenant Defeasance
	 	 	85	 
	Section 8.04	 	Conditions to Legal or Covenant Defeasance
	 	 	85	 
	Section 8.05	 	Deposited Money and Government Securities to be Held in Trust;
other Miscellaneous Provisions
	 	 	87	 
	Section 8.06	 	Repayment to Issuer
	 	 	87	 
	Section 8.07	 	Reinstatement
	 	 	87	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 9

	 	 	 	 	 
	 	 	 	 
	AMENDMENT, SUPPLEMENT AND WAIVER

	 	 	 	 	 
	 	 	 	 
	Section 9.01	 	Without Consent of Holders
	 	 	87	 
	Section 9.02	 	With Consent of Holders
	 	 	88	 
	Section 9.03	 	Compliance with Trust Indenture Act
	 	 	90	 
	Section 9.04	 	Revocation and Effect of Consents
	 	 	90	 
	Section 9.05	 	Notation on or Exchange of Notes
	 	 	90	 
	Section 9.06	 	Trustee to Sign Amendments, Etc.
	 	 	90	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 10

	 	 	 	 	 
	 	 	 	 
	GUARANTEES

	 	 	 	 	 
	 	 	 	 
	Section 10.01	 	Guarantee
	 	 	91	 
	Section 10.02	 	Limitation on Guarantor Liability
	 	 	92	 
	Section 10.03	 	Execution and Delivery
	 	 	92	 
	Section 10.04	 	Subrogation
	 	 	92	 
	Section 10.05	 	Benefits Acknowledged
	 	 	92	 
	Section 10.06	 	Release of Guarantees by Guarantors
	 	 	92	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 11

	 	 	 	 	 
	 	 	 	 
	SATISFACTION AND DISCHARGE

	 	 	 	 	 
	 	 	 	 
	Section 11.01	 	Satisfaction and Discharge
	 	 	93	 
	Section 11.02	 	Application of Trust Money
	 	 	94	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 12

	 	 	 	 	 
	 	 	 	 
	MISCELLANEOUS

	 	 	 	 	 
	 	 	 	 
	Section 12.01	 	Trust Indenture Act Controls
	 	 	94	 
	Section 12.02	 	Notices
	 	 	94	 
	Section 12.03	 	Communication by Holders with Other Holders
	 	 	95	 
	Section 12.04	 	Certificate and Opinion as to Conditions Precedent
	 	 	96	 
	Section 12.05	 	Statements Required in Certificate or Opinion
	 	 	96	 
	Section 12.06	 	Rules by Trustee and Agents
	 	 	96	 
	 	 	 	 	 
	 	 	 	 

-iii-

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page	 
	 	 	 	 	 
	 	 	 	 
	Section 12.07	 	No Personal Liability of Directors, Officers, Employees and Stockholders
	 	 	96	 
	Section 12.08	 	Governing Law
	 	 	96	 
	Section 12.09	 	Waiver of Jury Trial
	 	 	96	 
	Section 12.10	 	Force Majeure
	 	 	96	 
	Section 12.11	 	No Adverse Interpretation of Other Agreements
	 	 	97	 
	Section 12.12	 	Successors
	 	 	97	 
	Section 12.13	 	Severability
	 	 	97	 
	Section 12.14	 	Counterpart Originals
	 	 	97	 
	Section 12.15	 	Table of Contents, Headings, Etc.
	 	 	97	 
	Section 12.16	 	Qualification of Indenture
	 	 	97	 
	 	 	 	 	 
	 	 	 	 
	ARTICLE 13

	 	 	 	 	 
	 	 	 	 
	COLLATERAL DOCUMENTS

	 	 	 	 	 
	 	 	 	 
	Section 13.01	 	Collateral and Collateral Documents
	 	 	97	 
	Section 13.02	 	Recordings and Opinions
	 	 	99	 
	Section 13.03	 	Release of Liens on Collateral
	 	 	99	 
	Section 13.04	 	Permitted Releases Not to Impair Lien; Trust Indenture Act Requirements
	 	 	100	 
	Section 13.05	 	Certificates of the Trustee
	 	 	101	 
	Section 13.06	 	Suits to Protect the Collateral
	 	 	101	 
	Section 13.07	 	Authorization of Receipt of Funds by the Trustee Under the Collateral Documents
	 	 	101	 
	Section 13.08	 	Purchaser Protected
	 	 	101	 
	Section 13.09	 	Powers Exercisable by Receiver or Trustee
	 	 	101	 
	Section 13.10	 	Release upon Termination of the Issuer’s Obligations
	 	 	102	 
	Section 13.11	 	Notes Collateral Agent
	 	 	102	 
	Section 13.12	 	Designations
	 	 	104	 
	Section 13.13	 	Additional Collateral
	 	 	104	 
	 	 	 	 	 
	 	 	 	 

EXHIBITS:

	 	 	 

	Exhibit A
	 	Form of Senior Secured Note

	Exhibit B
	 	Form of Certificate of Transfer

	Exhibit C
	 	Form of Certificate of Exchange

	Exhibit D
	 	Form of Supplemental Indenture to be Delivered by Subsequent Guarantors

 

-iv-

 

SENIOR SECURED NOTES INDENTURE, dated as of February 17, 2011, among Cambium Learning
Group, Inc., a Delaware corporation (the “Issuer”), the Guarantors (as defined herein) and Wells
Fargo Bank, National Association, a national banking association, as Trustee.

WITNESSETH

WHEREAS, the Issuer (as defined herein) has duly authorized the creation of an issue of
$175,000,000 aggregate principal amount of the Issuer’s 9.75% Senior Secured Notes due 2017 (the
“Initial Notes”); and

WHEREAS, the Issuer and the Guarantors have duly authorized the execution and delivery of this
Indenture (as defined herein);

NOW, THEREFORE, the Issuer, the Guarantors and the Trustee agree as follows for the benefit of
each other and for the equal and ratable benefit of the Holders (as defined herein).

ARTICLE 1

DEFINITIONS AND INCORPORATION BY REFERENCE

Section 1.01 Definitions.

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

“280G Escrow Account” means that certain escrow account in the amount of $3,000,000
established under the CVR Escrow Agreement to fund certain reimbursement obligations to Richard J.
Surratt with a portion of the balance, if any, to be distributed to the Issuer and, to the extent
sufficient funds are available, holders of the CVRs, as such escrow account is defined under the
CVR Escrow Agreement, which as of the Issue Date $3,000,000 (plus accrued interest, if any) was
then held in such escrow account.

“ABL Collateral” has the meaning ascribed to “ABL First Lien Collateral” in the Intercreditor
Agreement.

“ABL Facility” means the certain Loan and Security Agreement dated as of the Issue Date by and
among Cambium Learning, Inc., a Delaware corporation and a Wholly-Owned Subsidiary of the Issuer,
as a borrower, the other borrowers party thereto, the lenders party thereto in their capacities as
lenders thereunder and Harris N.A., as agent and Barclays Bank PLC, as collateral agent, including
any related notes, collateral documents, letters of credit and guarantees, instruments and
agreements executed in connection therewith, and any appendices, exhibits or schedules to any of
the foregoing (as the same may be in effect from time to time), and any amendments, supplements,
modifications, extensions, renewals, restatements, refundings or refinancings thereof (whether with
the original agents and lenders or other agents or lenders or otherwise, and whether provided under
the original credit agreement or other credit agreements or otherwise) and any indenture,
guarantees, credit facilities or commercial paper facilities with banks or other institutional
lenders or investors that replace, refund, exchange or refinance any part of the loans, notes,
guarantees, other credit facilities or commitments thereunder, including any such replacement,
refunding or refinancing facility or indenture that increases the amount borrowable thereunder or
alters the maturity thereof (provided that such increase in borrowings is permitted under Section
4.09 of this Indenture).

“ABL Lenders Debt” means (i) any Indebtedness outstanding from time to time under the ABL
Facility, (ii) any Indebtedness which has a senior priority security interest relative to the Notes
in the ABL Collateral, (iii) all obligations with respect to such Indebtedness and any Hedging
Obligations entered into with any agent, arranger or lender (or their affiliates) under the ABL
Facility (or any Person that was an arranger, agent or lender or an Affiliate of an arranger, agent
or lender at the time the applicable agreements pursuant to which such Hedging Obligations are
provided or were entered into) and (iv) all Bank Products entered into with any agent, arranger or
lender (or their affiliates) under the ABL Facility (or any Person that was an arranger, agent or
lender or an Affiliate of an arranger,
agent or lender at the time the applicable agreements pursuant to which such Bank Products are
provided or were entered into).

 

 

 

“Acquired Indebtedness” means, with respect to any specified Person,

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

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

“Additional Interest” means all additional interest then owing pursuant to the Registration
Rights Agreement.

“Additional Notes” means any additional Notes issued under this Indenture (other than the
Initial Notes, or any Exchange Notes issued in exchange for such Initial Notes) having the same
terms in all respects as the Initial Notes except that interest may accrue on the Additional Notes
from their date of issuance. Additional Notes and Initial Notes shall be part of the same class
for all purposes of this Indenture.

“Additional Parity Debt” means the Additional Notes and any additional Secured Indebtedness
that is ranked pari passu with the Notes and is permitted to be incurred pursuant to
Section 4.09(a) of this Indenture; provided that (i) the representative of such Additional Parity
Debt executes a joinder agreement to the Collateral Agency Agreement, the Intercreditor Agreement
and, if applicable, to the other Collateral Documents, in each case in the form attached thereto,
agreeing to be bound thereby and (ii) the Issuer has designated such Indebtedness as “Additional
Parity Debt” thereunder.

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

“After-Acquired Property” means any and all assets or property (other than Excluded Assets)
acquired after the Issue Date, including any property or assets acquired by the Issuer or a
Guarantor from another Subsidiary, which in each case constitutes Collateral or would have
constituted Collateral had such assets and property been owned by the Issuer or a Guarantor on the
Issue Date.

“Amendment No. 1 to the Merger Agreement” means that certain Amendment No. 1 to Agreement and
Plan of Mergers made as of September 20, 2010 referred to in the definition of “Merger Agreement.”

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

“Agent’s Message” means a message transmitted by DTC to, and received by, the Depositary and
forming a part of the book-entry confirmation, which states that DTC has received an express
acknowledgment from each participant in DTC tendering the Notes and that such participants have
received the Letter of Transmittal and agree to be bound by the terms of the Letter of Transmittal
and the Issuer may enforce such agreement against such participants.

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

(a) 1.0% of the principal amount of such Note; and

 

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(b) the excess, if any, of (i) the present value at such Redemption Date of (A) the
redemption price of such Note at February 15, 2014 (such redemption price being set forth in
the table set forth in Section 3.07(b) hereof, plus (B) all required remaining scheduled
interest payments due on such Note through February 15, 2014 (excluding accrued but unpaid
interest to the Redemption Date), in each case computed using a discount rate equal to the
Treasury Rate as of such Redemption Date plus 50 basis points; over (ii) the principal
amount of such Note.

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

“Asset Sale” means:

(a) the sale, conveyance, transfer or other disposition, whether in a single
transaction or a series of related transactions (including by way of a Sale and Lease-Back
Transaction), of property or assets of the Issuer or any of its Restricted Subsidiaries
(each referred to in this definition as a “disposition”); or

(b) the issuance or sale of Equity Interests of any Restricted Subsidiary (other than
Preferred Stock of Restricted Subsidiaries issued in compliance with Section 4.09 hereof),
whether in a single transaction or a series of related transactions; in each case, other
than:

(i) any disposition of Cash Equivalents or obsolete or worn out property or
equipment in the ordinary course of business or any disposition of inventory or
goods (or other assets) held for sale or no longer used in the ordinary course of
business;

(ii) the disposition of all or substantially all of the assets of the Issuer in
a manner permitted pursuant to the provisions described under Section 5.01 hereof or
any disposition that constitutes a Change of Control pursuant to this Indenture;

(iii) the making of any Restricted Payment that is permitted to be made, and is
made, under Section 4.07 hereof, including the making of any Permitted Investment;

(iv) any disposition of assets or issuance or sale of Equity Interests of any
Restricted Subsidiary in any transaction or series of related transactions with an
aggregate fair market value of less than $2.5 million;

(v) any disposition of property or assets or issuance of securities by a
Restricted Subsidiary to the Issuer or by the Issuer or a Restricted Subsidiary to a
Restricted Subsidiary;

(vi) to the extent allowable under Section 1031 of the Internal Revenue Code of
1986, any exchange of like property (excluding any boot thereon) for use in a
Similar Business;

(vii) the lease, assignment, sub-lease, license or sub-license of any real or
personal property in the ordinary course of business;

(viii) any issuance or sale of Equity Interests in, or Indebtedness or other
securities of, an Unrestricted Subsidiary;

(ix) foreclosures, condemnation, casualty, expropriation or any similar action
with respect to assets or the granting of Liens not prohibited by this Indenture;

(x) sales of accounts receivable, or participations therein, or Securitization
Assets (other than royalties or other revenues (except accounts receivable)) or
related assets in connection with any Qualified Securitization Facility;

 

-3-

 

(xi) any financing transaction with respect to property built or acquired by
the Issuer or any Restricted Subsidiary after the Issue Date, including Sale and
Lease-Back Transactions and asset securitizations permitted by this Indenture;

(xii) the sale or discount of inventory, accounts receivable or notes
receivable in the ordinary course of business or the conversion of accounts
receivable to notes receivable;

(xiii) the licensing or sub-licensing of intellectual property or other general
intangibles in the ordinary course of business;

(xiv) any surrender or waiver of contract rights or the settlement, release or
surrender of contract rights or other litigation claims in the ordinary course of
business;

(xv) the unwinding of any Hedging Obligations;

(xvi) sales, transfers and other dispositions of Investments in joint ventures
to the extent required by, or made pursuant to, customary buy/sell arrangements
between the joint venture parties set forth in joint venture arrangements and
similar binding arrangements;

(xvii) the abandonment of intellectual property rights in the ordinary course
of business, which in the reasonable good faith determination of the Issuer are not
material to the conduct of the business of the Issuer and its Restricted
Subsidiaries taken as a whole; and

(xviii) the issuance by a Restricted Subsidiary of Preferred Stock or
Disqualified Stock that is permitted by the covenant described under Section 4.09.

“Bank Products” means any facilities or services related to cash management, including
treasury, depository, overdraft, credit or debit card, purchase card, electronic funds transfer and
other cash management arrangements and commercial credit card and merchant card services.

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

“Borrowing Base” means, as of any date, an amount equal to the sum of:

(a) 85% of the aggregate book value of all accounts receivable of the Issuer and its
Restricted Subsidiaries; and

(b) 65% of the aggregate book value of all inventory owned by the Issuer and its
Restricted Subsidiaries,

all calculated on a consolidated basis in accordance with GAAP.

“Business Day” means each day which is not a Legal Holiday.

“Calculation Date” means the date on which the event for which the calculation of the Fixed
Charge Coverage Ratio shall occur.

“Capital Stock” means:

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

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

 

-4-

 

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

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

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

“Capitalized Software Expenditures” shall mean, for any period, the aggregate of all
expenditures (whether paid in cash or accrued as liabilities) by a Person and its Restricted
Subsidiaries during such period in respect of licensed or purchased software or internally
developed software and software enhancements that, in conformity with GAAP, are or are required to
be reflected as capitalized costs on the consolidated balance sheet of a Person and its Restricted
Subsidiaries.

“Cash Equivalents” means:

(a) United States dollars;

(b) securities issued or directly and fully and unconditionally guaranteed or insured
by the U.S. government or any agency or instrumentality thereof the securities of which are
unconditionally guaranteed as a full faith and credit obligation of such government with
maturities of 12 months or less from the date of acquisition;

(c) certificates of deposit, time deposits and eurodollar time deposits with maturities
of 12 months or less from the date of acquisition, bankers’ acceptances with maturities not
exceeding one year and overnight bank deposits, in each case with any domestic or foreign
commercial bank having capital and surplus of not less than $500.0 million in the case of
U.S. banks and $100.0 million (or the U.S. dollar equivalent as of the date of
determination) in the case of non-U.S. banks;

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

(e) commercial paper rated at least “P-2” by Moody’s or at least “A-2” by S&P (or, if
at any time neither Moody’s nor S&P shall be rating such obligations, an equivalent rating
from another Rating Agency) and in each case maturing within 24 months after the date of
creation thereof and Indebtedness or Preferred Stock issued by Persons with a rating of “A”
or higher from S&P or “A-2” or higher from Moody’s with maturities of 24 months or less from
the date of acquisition;

(f) marketable short-term money market and similar funds having a rating of at least
“P-2” or “A-2” from either Moody’s or S&P, respectively (or, if at any time neither Moody’s
nor S&P shall be rating such obligations, an equivalent rating from another Rating Agency);

(g) readily marketable direct obligations issued by any state, commonwealth or
territory of the United States or any political subdivision or taxing authority thereof
having an Investment Grade Rating from either Moody’s or S&P (or, if at any time neither
Moody’s nor S&P shall be rating such obligations, an equivalent rating from another Rating
Agency) with maturities of 24 months or less from the date of acquisition;

(h) readily marketable direct obligations issued by any foreign government or any
political subdivision or public instrumentality thereof, in each case having an Investment
Grade Rating from either
Moody’s or S&P (or, if at any time neither Moody’s nor S&P shall be rating such
obligations, an equivalent rating from another Rating Agency) with maturities of 24 months
or less from the date of acquisition;

 

-5-

 

(i) Investments with average maturities of 12 months or less from the date of
acquisition in money market funds rated “AAA-” (or the equivalent thereof) or better by S&P
or “Aaa3” (or the equivalent thereof) or better by Moody’s (or, if at any time neither
Moody’s nor S&P shall be rating such obligations, an equivalent rating from another Rating
Agency); and

(j) investment funds investing at least 95.0% of their assets in securities of the
types described in clauses (a) through (i) above.

In the case of Investments made in a country outside the United States of America, Cash
Equivalents shall also include investments of the type and maturity described in clauses (a)
through (g) and clauses (i) and (j) above of foreign obligors, which Investments or obligors (or
the parents of such obligors) have ratings described in such clauses or equivalent ratings from
comparable foreign rating agencies.

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

“Change of Control” means the occurrence of any of the following after the Issue Date:

(a) the sale, lease or transfer, in one or a series of related transactions, of all or
substantially all of the assets of the Issuer and its Subsidiaries, taken as a whole, to any
Person other than a Permitted Holder; or

(b) the Issuer becomes aware of (by way of a report or any other filing pursuant to
Section 13(d) of the Exchange Act, proxy, vote, written notice or otherwise) the acquisition
by any Person or group (within the meaning of Section 13(d)(3) or Section 14(d)(2) of the
Exchange Act, or any successor provision), including any group acting for the purpose of
acquiring, holding or disposing of securities (within the meaning of Rule 13d-5(b)(1) under
the Exchange Act), other than one or more Permitted Holders, in a single transaction or in a
related series of transactions, by way of merger, amalgamation, consolidation or other
business combination or purchase of beneficial ownership (within the meaning of Rule 13d-3
under the Exchange Act, or any successor provision) of 50% or more of the total voting power
of the Voting Stock of the Issuer; or

(c) the Issuer liquidates or dissolves or the stockholders of the Issuer adopt a plan
of liquidation or dissolution.

“Clearstream” means Clearstream Banking, Société Anonyme and its successors.

“Collateral” means the Notes Collateral and the ABL Collateral.

“Collateral Agency Agreement” means the Intercreditor and Collateral Agency Agreement, dated
as of the Issue Date, among the Issuer, each Guarantor, Wells Fargo Bank, National Association, as
Notes Collateral Agent, and Wells Fargo Bank, National Association, as Trustee, and as it may be
amended from time to time in accordance with this Indenture.

“Collateral Documents” means, collectively, the security agreements, pledge agreements,
mortgages, collateral assignments, deeds of trust and all other pledges, agreements, financing
statements (including amendments thereto and continuations thereof) patent, trademark or copyright
filings, mortgages or other filings or documents that create or purport to create a Lien in the
Collateral in favor of the Notes Collateral Agent and/or the Trustee (for the benefit of the Notes
Collateral Agent, the Trustee and the Holders of the Notes), the Collateral Agency Agreement and
the Intercreditor Agreement, in each case as they may be amended from time to time, and any
instruments of assignment, control agreements, lockbox letters or other instruments or agreements executed
pursuant to the foregoing.

 

-6-

 

“Consolidated Depreciation and Amortization Expense” means with respect to any Person for any
period, the total amount of depreciation and amortization expense of such Person, including the
amortization of deferred financing fees, debt issuance costs, commissions, fees and expenses,
curriculum development expenses and fixed asset purchases and Capitalized Software Expenditures of
such Person and its Restricted Subsidiaries for such period on a consolidated basis and otherwise
determined in accordance with GAAP.

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

(a) consolidated interest expense in respect of Indebtedness of such Person and its
Restricted Subsidiaries for such period, to the extent such expense was deducted (and not
added back) in computing Consolidated Net Income (including (i) amortization of original
issue discount resulting from the issuance of Indebtedness at less than par, (ii) all
commissions, discounts and other fees and charges owed with respect to letters of credit or
bankers acceptances, (iii) non-cash interest charges (but excluding any non-cash interest
expense attributable to the movement in the mark to market valuation of Hedging Obligations
or other derivative instruments pursuant to GAAP), (iv) the interest component of
Capitalized Lease Obligations, and (v) net payments, if any, made (less net payments, if
any, received), pursuant to interest rate Hedging Obligations with respect to Indebtedness,
and excluding (u) any expense resulting from the discounting of any Indebtedness in
connection with the application of recapitalization accounting or, if applicable, purchase
accounting in connection with any acquisition, (v) penalties and interest relating to taxes,
(w) any Additional Interest and any “additional interest” or “liquidated damages” with
respect to other securities for failure to timely comply with registration rights
obligations, (x) amortization of deferred financing fees, debt issuance costs, commissions,
fees and expenses and discounted liabilities, (y) commissions, discounts, yield and other
fees and charges (including any interest expense) related to any Qualified Securitization
Facility and (z) any accretion of accrued interest on discounted liabilities); plus

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

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

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

“Consolidated Net Income” means, with respect to any Person for any period, the aggregate of
the Net Income of such Person and its Restricted Subsidiaries for such period, on a consolidated
basis, and otherwise determined in accordance with GAAP; provided that, without duplication,

(a) any net after-tax effect of extraordinary, non-recurring or unusual gains, losses
or charges (including all fees and expenses relating thereto), including, without
limitation, any expenses relating to severance, relocation costs, integration costs,
transition costs, pre-opening, opening, consolidation and closing costs for facilities,
costs incurred in connection with any strategic initiatives, other business optimization
expenses (including costs and expenses relating to business optimization programs and new
systems design and implementation costs), restructuring costs and curtailments or
modifications to pension and post-retirement employee benefit plans shall be excluded;

(b) any net after-tax effect of gains or losses attributable to asset dispositions or
abandonments (including any disposal of abandoned or discontinued operations) or the sale or
other disposition of any Capital Stock of any Person other than in the ordinary course of
business as determined in good faith by the Issuer shall be excluded;

 

-7-

 

(c) the Net Income for such period of any Person that is an Unrestricted Subsidiary or
Person that is not a Subsidiary or that is accounted for by the equity method of accounting
shall be excluded; provided that Consolidated Net Income of the Issuer shall be increased by
the amount of dividends or distributions or other payments that are actually paid in Cash
Equivalents (or to the extent converted into Cash Equivalents) to the Issuer or a Restricted
Subsidiary thereof in respect of such period and the net losses of any such Person shall
only be included to the extent funded with cash from the Issuer or any Restricted
Subsidiary;

(d) solely for the purpose of determining the amount available for Restricted Payments
under clause (C)(1) of Section 4.07(a)(iv) hereof, the Net Income for such period of any
Restricted Subsidiary (other than any Guarantor) shall be excluded to the extent that the
declaration or payment of dividends or similar distributions by that Restricted Subsidiary
of its Net Income is not at the date of determination permitted in whole without any prior
governmental approval (which has not been obtained) or, directly or indirectly, by the
operation of the terms of its charter or any agreement, instrument, judgment, decree, order,
statute, rule, or governmental regulation applicable to that Restricted Subsidiary or its
stockholders, unless such restriction with respect to the payment of dividends or similar
distributions has been legally waived, provided that Consolidated Net Income of the Issuer
shall be increased by the amount of dividends or other distributions or other payments
actually paid in cash (or to the extent converted into cash) to the Issuer or a Restricted
Subsidiary thereof in respect of such period, to the extent not already included therein;

(e) effects of adjustments (including the effects of such adjustments pushed down to
the Issuer and its Restricted Subsidiaries) in the inventory, property and equipment,
software, goodwill, other intangible assets, in-process research and development, deferred
revenue, debt line items and other noncash charges in such Person’s consolidated financial
statements pursuant to GAAP resulting from the application of recapitalization accounting
or, if applicable, purchase accounting in relation to any consummated acquisition or the
amortization or write-off of any amounts thereof, net of taxes, shall be excluded;

(f) any net after-tax effect of income (loss) from the early extinguishment or
conversion of (i) Indebtedness, (ii) Hedging Obligations or (iii) other derivative
instruments shall be excluded;

(g) any impairment charge or asset write-off or write-down, including impairment
charges or asset write-offs or write-downs related to intangible assets, long-lived assets,
investments in debt and equity securities or as a result of a change in law or regulation,
in each case, pursuant to GAAP, and the amortization of intangibles arising pursuant to GAAP
shall be excluded;

(h) any non-cash compensation charge or expense, including any such charge or expense
arising from the grants of stock appreciation or similar rights, stock options, restricted
stock or other rights or equity incentive programs shall be excluded;

(i) any fees, expenses or charges incurred during such period, or any amortization
thereof for such period, in connection with any acquisition, Investment, Asset Sale,
disposition, incurrence or repayment of Indebtedness (including such fees, expenses or
charges related to the offering of the Notes and the ABL Facility), issuance of Equity
Interests, refinancing transaction or amendment or modification of any debt instrument
(including any amendment or other modification of the Notes and the ABL Facility) and
including, in each case, any such transaction consummated prior to the Issue Date and any
such transaction undertaken but not completed, and any charges or non-recurring merger costs
incurred during such period as a result of any such transaction, in each case whether or not
successful, shall be excluded;

(j) any net unrealized gain or loss (after any offset) resulting in such period from
Hedging Obligations and the application of Accounting Standards Codification 815 shall be
excluded;

(n) any net unrealized gain or loss (after any offset) resulting in such period from
currency translation and transaction gains or losses including those related to currency
remeasurements of Indebtedness (including any net loss or gain resulting from Hedging
Obligations for currency exchange risk) and any other monetary assets and liabilities shall
be excluded; and

 

-8-

 

(o) gains and losses recorded in accordance with changes in the fair value of
contingent value rights.

Notwithstanding the foregoing, for the purpose of Section 4.07 hereof only (other than clause
(C)(4) of Section 4.07(a)(iv) hereof), there shall be excluded from Consolidated Net Income any
income arising from any sale or other disposition of Restricted Investments made by the Issuer and
its Restricted Subsidiaries, any repurchases and redemptions of Restricted Investments from the
Issuer and its Restricted Subsidiaries, any repayments of loans and advances which constitute
Restricted Investments by the Issuer or any of its Restricted Subsidiaries, any sale of the stock
of an Unrestricted Subsidiary or any distribution or dividend from an Unrestricted Subsidiary, in
each case only to the extent such amounts increase the amount of Restricted Payments permitted
under such covenant pursuant to clause (C)(4) of Section 4.07(a)(iv) hereof.

“Consolidated Secured Leverage Ratio” means, as of any date of determination, the ratio of (a)
all Indebtedness of the Issuer and its Restricted Subsidiaries that is secured by a Lien on any
assets of the Issuer and its Restricted Subsidiaries to (b) EBITDA of the Issuer and its Restricted
Subsidiaries for the most recent four fiscal quarter period ending prior to such date for which the
Issuer has consolidated financial statements available, in each case with such pro forma
adjustments to EBITDA as are consistent with the pro forma adjustment provisions set forth in the
definition of Fixed Charge Coverage Ratio.

“Consolidated Total Assets” means, as at any date of determination, the total assets of the
Issuer and the Restricted Subsidiaries which may properly be classified as assets on a consolidated
balance sheet of the Issuer and the Restricted Subsidiaries in accordance with GAAP.

“Contingent Obligations” means, with respect to any Person, any obligation of such Person
guaranteeing any leases, dividends or other obligations that do not constitute Indebtedness
(“primary obligations”) of any other Person (the “primary obligor”) in any manner, whether directly
or indirectly, including, without limitation, any obligation of such Person, whether or not
contingent,

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

(b) to advance or supply funds

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

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

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

“Corporate Trust Office” means the office of the Trustee at which any time its corporate trust
business shall be administered, which office at the date hereof is MAC N9311-110, 625 Marquette
Ave., Minneapolis, Minnesota 55479, Attention: Cambium Administrator, or such other address as the
Trustee may designate from time to time by notice to the Holders and the Issuer, or the corporate
trust office of any successor Trustee (or such other address as such successor Trustee may
designate from time to time by notice to the Holders and the Issuer).

“Credit Facilities” means, with respect to the Issuer or any of its Restricted Subsidiaries,
one or more debt facilities, including the ABL Facility, or other financing arrangements
(including, without limitation, commercial paper facilities or indentures) providing for revolving
credit loans, term loans, letters of credit or other long-term indebtedness, including any notes,
mortgages, guarantees, collateral documents, instruments and agreements executed in connection
therewith, and any amendments, supplements, modifications, extensions, renewals, restatements or
refundings thereof and any indentures or credit facilities or commercial paper facilities that
replace, refund or refinance any part of the loans, notes, other credit facilities or commitments
thereunder, including any such replacement, refunding or refinancing facility or indenture that increases the amount permitted
to be borrowed thereunder or alters the maturity thereof (provided that such increase in borrowings
is permitted under Section 4.09 hereof) or adds Restricted Subsidiaries as additional borrowers or
guarantors thereunder and whether by the same or any other agent, lender or group of lenders.

 

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

“CVR” means each contingent value right originally issued by the Issuer pursuant to the CVR
Agreement to holders of common stock, par value $0.001 per share, of VLCY, immediately prior to the
effective time (the “Effective Time”) of the merger contemplated by the Merger Agreement on
December 8, 2009, following the Effective Time as part of the merger consideration paid to such
holders in such merger, as the same may be amended, supplemented or otherwise modified from time to
time in a manner not materially adverse to the Holders of the Notes.

“CVR Agreement” means that certain Contingent Value Rights Agreement, dated as of December 8,
2009, by and among the Issuer, Vowel Representative, LLC, as stockholders’ representative, and
Wells Fargo Bank, National Association, as rights agent and initial CVR agent, as the same may be
amended, supplemented or otherwise modified from time to time in a manner not materially adverse to
the Holders of the Notes.

“CVR Documents” means each of the CVRs, the CVR Agreement, the CVR Escrow Agreement and the
CVR Security Documents.

“CVR Escrow Account” means that certain escrow account established under the CVR Escrow
Agreement for the purpose of funding certain payments under the CVR Agreement, as such escrow
account is defined in the CVR Escrow Agreement.

“CVR Escrow Agreement” means that certain Escrow Agreement, dated as of December 8, 2009, by
and among Wells Fargo Bank, National Association, as escrow agent, Vowel Representative, LLC, as
stockholders’ representative, the Issuer, VLCY and Richard J. Surratt, as amended by Amendment No.
1 to the CVR Escrow Agreement, dated as of September 20, 2010, as the same may be amended,
supplemented or otherwise modified from time to time in a manner not materially adverse to the
Holders of the Notes.

“CVR Obligations” means, collectively, (i) the obligation of the Issuer to deposit and, to
cause certain of the Issuer’s subsidiaries to deposit, certain tax refunds relating to VLCY and its
subsidiaries in the CVR Escrow Account, pursuant to Sections 5.22(b), 5.22(c) and 5.22(d) of the
Merger Agreement, and (ii) the obligation of the Issuer to deposit, and to cause certain of the
Issuer’s subsidiaries to deposit, generally, an amount equal to 50% of the cash amount realized
from any refunds, credits or reductions in taxes by VLCY or its subsidiaries from the payment of
certain agreed contingencies pursuant to the Merger Agreement and (iii) the obligation to make or
permit any payments or other distributions or withdrawals to be made from the 280G Escrow Account,
the CVR Escrow Account or the Excess Employee Payment Escrow Account, in each case, in accordance
with the terms and conditions of the CVR Escrow Agreement.

“CVR Security Documents” means that certain Security Agreement, dated as of December 8, 2009,
by and among the Issuer, VLCY and Vowel Representative, LLC, as agent for the benefit of the
stockholders of VLCY immediately prior to the effective time of the merger on December 8, 2009 of
Vowel Acquisition Corp. with and into VLCY with VLCY as the surviving corporation, and each other
security agreement, document, financing statement or other instrument executed or delivered in
connection therewith, in each case, as the same may be amended, supplemented or otherwise modified
from time to time in a manner not materially adverse to the Holders of the Notes.

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

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

 

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

“Designated Non-cash Consideration” means the fair market value, as set forth in an Officer’s
Certificate, of non-cash consideration received by the Issuer or any of its Restricted Subsidiaries
in connection with an Asset Sale.

“Designated Preferred Stock” means Preferred Stock of the Issuer or any direct or indirect
parent company thereof (in each case other than Disqualified Stock) that is issued for cash (other
than to a Restricted Subsidiary or an employee stock ownership plan or trust established by the
Issuer or any of its Subsidiaries) and is so designated as Designated Preferred Stock, pursuant to
an Officer’s Certificate executed by the principal financial officer of the Issuer or the
applicable parent company thereof, as the case may be, on the issuance date thereof, the cash
proceeds of which are excluded from the calculation set forth in clause (C) of Section 4.07(a)(iv)
hereof.

“Disqualified Stock” means, with respect to any Person, any Capital Stock of such Person
which, by its terms, or by the terms of any security into which it is convertible or for which it
is putable or exchangeable, or upon the happening of any event, matures or is mandatorily
redeemable (other than solely as a result of a change of control or asset sale) pursuant to a
sinking fund obligation or otherwise, or is redeemable at the option of the holder thereof (other
than solely as a result of a change of control or asset sale), in whole or in part, in each case
prior to the date 91 days after the earlier of the maturity date of the Notes or the date the Notes
are no longer outstanding; provided, that any Capital Stock held by any future, current or former
employee, director, officer, manager or consultant (excluding Veronis Suhler Stevenson (but not
excluding any future, current or former employee, director, officer, manager or consultant)) of the
Issuer, any of its Subsidiaries, any of its direct or indirect parent companies or any other entity
in which the Issuer or a Restricted Subsidiary has an Investment and is designated in good faith as
an “affiliate” by the board of directors of the Issuer (or the compensation committee thereof), in
each case pursuant to any stock subscription or shareholders’ agreement, management equity plan or
stock option plan or any other management or employee benefit plan or agreement shall not
constitute Disqualified Stock solely because it may be required to be repurchased by the Issuer or
its Subsidiaries or in order to satisfy applicable statutory or regulatory obligations.

“EBITDA” means, with respect to any Person for any period, the Consolidated Net Income of such
Person for such period

(a) increased (without duplication) by the following, in each case (other than clause
(x)) to the extent deducted (and not added back) in determining Consolidated Net Income for
such period:

(i) provision for taxes based on income or profits or capital, including,
without limitation, federal, state, provincial, franchise, excise and similar taxes,
and foreign withholding taxes (including any future taxes or other levies which
replace or are intended to be in lieu of such taxes and any penalties and interest
related to such taxes or arising from tax examinations) and the net tax expense
associated with any adjustments made pursuant to clauses (a) through (l) of the
definition of “Consolidated Net Income”; plus

(ii) Fixed Charges of such Person for such period (including (x) net losses or
Hedging Obligations or other derivative instruments entered into for the purpose of
hedging interest rate risk, net of interest income and gains with respect to such
obligations (y) costs of surety bonds in connection with financing activities and
(z) amounts excluded from Consolidated Interest Expense as set forth in clauses
(a)(u) through (z) in the definition thereof); plus

(iii) Consolidated Depreciation and Amortization Expense of such Person for
such period; plus

 

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(iv) the amount of any restructuring charges, accruals or reserves; plus

(v) any other non-cash charges (provided that if any such non-cash charges
represent an accrual or reserve for potential cash items in any future period, the
cash payment in respect thereof in such future period shall be subtracted from
EBITDA to such extent, and excluding amortization of a prepaid cash item that was
paid in a prior period); plus

(vi) the amount of any minority interest expense consisting of Subsidiary
income attributable to minority equity interests of third parties in any non-Wholly
Owned Subsidiary; plus

(vii) the amount of loss on sale of receivables, Securitization Assets and
related assets to any Securitization Subsidiary in connection with a Qualified
Securitization Facility; plus

(viii) any costs or expense incurred by the Issuer or a Restricted Subsidiary
pursuant to any management equity plan or stock option plan or any other management
or employee benefit plan, agreement or any stock subscription or shareholder
agreement, to the extent that such cost or expenses are funded with cash proceeds
contributed to the capital of the Issuer or net cash proceeds of an issuance of
Equity Interest of the Issuer (other than Disqualified Stock) solely to the extent
that such net cash proceeds are excluded from the calculation set forth in clause
(C) of Section 4.07(a)(iv) hereof; plus

(ix) cash receipts (or any netting arrangements resulting in reduced cash
expenditures) not representing EBITDA or Consolidated Net Income in any period to
the extent non-cash gains relating to such income were deducted in the calculation
of EBITDA pursuant to clause (b) below for any previous period and not added back;
plus

(x) any net loss from disposed or discontinued operations;

(b) decreased (without duplication) by the following, in each case to the extent
included in determining Consolidated Net Income for such period:

(i) non-cash gains increasing Consolidated Net Income of such Person for such
period, excluding any non-cash gains to the extent they represent the reversal of an
accrual or reserve for a potential cash item that reduced EBITDA in any prior
period; plus

(ii) any non-cash gains with respect to cash actually received in a prior
period unless such cash did not increase EBITDA in such prior period; plus

(iii) any net income from disposed or discontinued operations; plus

(iv) extraordinary gains and unusual or non-recurring gains (less all fees and
expenses relating thereto); and

(c) increased or decreased (without duplication) by, as applicable, any adjustments
resulting from the application of FASB Accounting Standards Codification 460, Guarantees.

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

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

“Equity Offering” means any public or private sale solely for cash of common stock or
Preferred Stock of the Issuer (excluding Disqualified Stock), other than:

 

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

(b) issuances to any Subsidiary of the Issuer; and

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

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

“Excess Employee Payment Escrow Account” means that certain unfunded escrow account
established under the CVR Escrow Agreement as defined as the “Excess Employee Payment Account”
under the CVR Escrow Agreement.

“Exchange Act” means the Securities Exchange Act of 1934, as amended, and the rules and
regulations of the SEC promulgated thereunder.

“Exchange Notes” means the Notes of the Issuer issued in an Exchange Offer pursuant to Section
2.06(f) hereof.

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

“Exchange Offer Registration Statement” means an Exchange Offer Registration Statement as
defined in the Registration Rights Agreement.

“Excluded Assets” means:

(a) any property or assets owned by any Unrestricted Subsidiary (which as of the Issue
Date includes VLCY);

(b) Excluded Contracts;

(c) any asset that is subject to a Lien securing a capital lease obligation or Purchase
Money Obligation permitted to be incurred pursuant to this Indenture to the extent and so
long as the documents governing such obligations do not permit the pledge of such assets to
the Notes Collateral Agent;

(d) Excluded Capital Stock;

(e) any interest in fee-owned real property of the Issuer and the Guarantors if the
greater of its cost and book value is less than $1.0 million;

(f) any interest in leased real property of the Issuer and the Guarantors;

(g) motor vehicles and other assets subject to certificates of title;

(h) funds as of the Issue Date in the 280G Escrow Account, the CVR Escrow Account or
the Excess Employee Payment Escrow Account, the collateral securing the CVR Obligations
pursuant to any of the CVR Security Documents, the proceeds from each action, suit or other
proceeding relating to any tax refunds or tax payments in respect of the CVR Obligations and
any other proceeds also in respect thereof, the proceeds, if any, from the proceeding in the
Michigan Court of Claims referred to in the Amendment No. 1 to the Merger Agreement and any
cash amount realized from refunds, credits or reductions in taxes resulting from the payment
of certain agreed contingencies in each case in accordance with the terms of the CVR
Documents and the Merger Agreement (as applicable);

 

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(i) any intellectual property, including any United States intent-to-use trademark
applications, in relation to which any applicable law or regulation prohibits the creation
of a security interest therein or would otherwise invalidate the Issuer or such Guarantor’s
right, title or interest therein; and

(j) any property to the extent that such grant of a security interest is prohibited by
any Requirement of Law of a Governmental Authority or requires a consent not obtained of any
Governmental Authority pursuant to such Requirement of Law, except to the extent that such
Requirement of Law providing for such prohibition or requiring such consent is ineffective
under applicable law (provided that this clause shall not exclude any Account (as defined in
the Uniform Commercial Code) for which the federal government of the United States is the
account debtor as a result of the Federal Assignment of Claims Act, 31 U.S.C. Sec. 203
(1976), amended by 31 U.S.C.A. Sec. 3727 (West 1983), except to the extent that such grant
shall constitute or result in the termination or annulment of such Account);

provided, however, Excluded Assets shall not include any asset or property which secures
obligations with respect to ABL Lenders Debt and Excluded Assets shall not include any Proceeds (as
defined in the UCC), substitutions or replacements of any Excluded Assets referred to in clauses
(a) through (j) (unless such Proceeds, substitutions or replacements would constitute Excluded
Assets referred to in clauses (a) through (j))

“Excluded Capital Stock” means (a) any Capital Stock with respect to which the Issuer has
reasonably determined in good faith in writing to the Notes Collateral Agent that the costs
(including any costs resulting from material adverse tax consequences) of pledging such Equity
Interests shall be excessive in view of the benefits to be obtained by the Holders therefrom, (b)
solely in the case of any pledge of Capital Stock of any Foreign Subsidiary to secure the
Obligations under the Notes, any Capital Stock that are voting Capital Stock of such Foreign
Subsidiary in excess of 65% of the outstanding voting Capital Stock of such class, (c) any Capital
Stock to the extent the pledge thereof would be prohibited by any applicable law, rule or
regulation, (d) the Capital Stock of any Subsidiary that is not wholly owned by the Issuer and its
Subsidiaries at the time such Subsidiary becomes a Subsidiary (for so long as such Subsidiary
remains a non-wholly owned Subsidiary to the extent that the governing documents of such non-wholly
owned Subsidiary prevents the grant of a security interest therein), (e) the Capital Stock of any
Subsidiary whose assets, as reflected on their most recent balance sheet prepared in accordance
with GAAP, and revenues for the twelve-month period ending on the last day of the most recent
fiscal quarter for which financial statements are available, do not exceed $1.0 million, (f) the
Capital Stock of any Subsidiary of a Foreign Subsidiary and (g) the Capital Stock of any
Unrestricted Subsidiary, including, without limitation, VLCY.

“Excluded Contract” means at any date any rights or interest of the Issuer or any Guarantor
under any agreement, contract, license, lease, instrument, document or other general intangible
(referred to solely for purposes of this definition as a “Contract”) to the extent that such
Contract by the terms of a restriction in favor of a Person who is not the Issuer or any Guarantor,
or any requirement of law, prohibits, or requires any consent or establishes any other condition
for or could or would be terminated, abandoned, invalidated, rendered unenforceable, or would be
breached or defaulted under because of an assignment thereof or a grant of a security interest
therein by the Issuer or a Guarantor (after giving effect to Section 9-406, 9-407, 9-408 or 9-409
of the Uniform Commercial Code or principles of equity); provided that: (i) rights to payment
under any such Contract otherwise constituting an Excluded Contract by virtue of this definition
shall be included in the Collateral to the extent permitted thereby or by Section 9-406 or Section
9-408 of the Uniform Commercial Code and (ii) all proceeds paid or payable to any of the Issuer or
any Guarantor from any sale, transfer or assignment of such contract and all rights to receive such
proceeds shall be included in the Collateral.

“Excluded Contribution” means net cash proceeds, marketable securities or Qualified Proceeds
received by the Issuer from:

(a) contributions to its common equity capital; and

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

 

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in each case designated as Excluded Contributions pursuant to an Officer’s Certificate executed by
the principal financial officer of the Issuer on the date such capital contributions are made or
the date such Equity Interests are sold, as the case may be, which are excluded from the
calculation set forth in clause (C) of Section 4.07(a)(iv) hereof.

“fair market value” means, with respect to any asset or liability, the fair market value of
such asset or liability as determined by the Issuer in good faith.

“Fixed Charge Coverage Ratio” means, with respect to any Person for any period, the ratio of
EBITDA of such Person for such period to the Fixed Charges of such Person for such period. In the
event that the Issuer or any Restricted Subsidiary incurs, assumes, guarantees, redeems, repays,
retires or extinguishes any Indebtedness (other than Indebtedness incurred or repaid under any
revolving credit facility unless such Indebtedness has been permanently repaid and has not been
replaced) or issues or redeems Disqualified Stock or Preferred Stock subsequent to the commencement
of the period for which the Fixed Charge Coverage Ratio is being calculated but prior to or
simultaneously with the event for which the calculation of the Fixed Charge Coverage Ratio is made
(the “Fixed Charge Coverage Ratio Calculation Date”), then the Fixed Charge Coverage Ratio shall be
calculated giving pro forma effect to such incurrence, assumption, guarantee, redemption,
repayment, retirement or extinguishment of Indebtedness, or such issuance or redemption of
Disqualified Stock or Preferred Stock, as if the same had occurred at the beginning of the
applicable four-quarter period.

For purposes of making the computation referred to above, Investments, acquisitions,
dispositions, mergers, amalgamations, consolidations and discontinued operations (as determined in
accordance with GAAP) that have been made by the Issuer or any of its Restricted Subsidiaries
during the four-quarter reference period or subsequent to such reference period and on or prior to
or simultaneously with the Fixed Charge Coverage Ratio Calculation Date shall be calculated on a
pro forma basis assuming that all such Investments, acquisitions, dispositions, mergers,
amalgamations, consolidations and discontinued operations (and the change in any associated fixed
charge obligations and the change in EBITDA resulting therefrom) had occurred on the first day of
the four-quarter reference period. If since the beginning of such period any Person that
subsequently became a Restricted Subsidiary or was merged with or into the Issuer or any of its
Restricted Subsidiaries since the beginning of such period shall have made any Investment,
acquisition, disposition, merger, amalgamation, consolidation or discontinued operation that would
have required adjustment pursuant to this definition, then the Fixed Charge Coverage Ratio shall be
calculated giving pro forma effect thereto for such period as if such Investment, acquisition,
disposition, merger, amalgamation, consolidation or discontinued operation had occurred at the
beginning of the applicable four-quarter period.

For purposes of this definition, whenever pro forma effect is to be given to an Investment,
acquisition, disposition, merger, amalgamation or consolidation, the pro forma calculations shall
be made in good faith by a responsible financial or accounting officer of the Issuer (and may
include, for the avoidance of doubt, cost savings, synergies and operating expense reductions
resulting from such Investment, acquisition, merger, amalgamation, or consolidation which is being
given pro forma effect that have been or are reasonably expected to be realized) provided that any
pro forma adjustments shall be limited to those that (a) are reasonably identifiable and factually
supportable as of the date of such calculation and (b) have occurred or are reasonably expected to
occur in the twelve months following the applicable date of such calculation, in the reasonable
judgment of the responsible financial or accounting officer of the Issuer and, the chief financial
officer of the Issuer shall certify the foregoing pursuant to a duly completed certificate signed
and delivered to the Trustee. If any Indebtedness bears a floating rate of interest and is being
given pro forma effect, the interest on such Indebtedness shall be calculated as if the rate in
effect on the Fixed Charge Coverage Ratio Calculation Date had been the applicable rate for the
entire period (taking into account any Hedging Obligations applicable to such Indebtedness).
Interest on a Capitalized Lease Obligation shall be deemed to accrue at an interest rate reasonably
determined by a responsible financial or accounting officer of the Issuer to be the rate of
interest implicit in such Capitalized Lease Obligation in accordance with GAAP. For purposes of
making the computation referred to above, interest on any Indebtedness under a revolving credit
facility computed on a pro forma basis shall be computed based upon the average daily balance of
such Indebtedness during the applicable period except as set forth in the first paragraph of this
definition. Interest on Indebtedness that may optionally be determined at an interest rate based
upon a factor of a prime or similar rate, a eurocurrency interbank offered rate, or other rate,
shall be deemed to have been based upon the rate actually chosen, or, if none, then based upon such
optional rate chosen as the Issuer may designate.

 

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

(a) Consolidated Interest Expense of such Person for such period;

(b) all cash dividends or other distributions paid (excluding items eliminated in
consolidation) on any series of Preferred Stock during such period; and

(c) all dividends or other distributions paid or accrued (excluding items eliminated in
consolidation) on any series of Disqualified Stock during such period.

“Foreign Subsidiary” means, with respect to any Person, any Restricted Subsidiary of such
Person that is not organized or existing under the laws of the United States, any state thereof,
the District of Columbia, or any territory thereof and any Restricted Subsidiary of such Foreign
Subsidiary.

“GAAP” means generally accepted accounting principles in the United States of America which
are in effect from time to time.

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

“Global Notes” means, individually and collectively, each of the Restricted Global Notes and
the Unrestricted Global Notes, substantially in the form of Exhibit A issued in accordance with
Section 2.01, 2.06(b), 2.06(d) or 2.06(f) hereof.

“Government Securities” means securities that are:

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

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

“Governmental Authority” means any nation or government, any state or other political
subdivision thereof, any agency, authority, instrumentality, regulatory body, court, central bank
or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative
functions of or pertaining to government, any securities exchange and any self-regulatory
organization established to perform such functions.

“guarantee” means a guarantee (other than by endorsement of negotiable instruments for
collection in the ordinary course of business), direct or indirect, in any manner (including
letters of credit and reimbursement agreements in respect thereof), of all or any part of any
Indebtedness or other obligations.

“Guarantee” means the guarantee by any Guarantor of the Issuer’s Obligations under this
Indenture and the Notes.

“Guarantor” means each Subsidiary of the Issuer, if any, that Guarantees the Notes in
accordance with the terms of this Indenture.

 

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

“Holder” means the Person in whose name a Note is registered on the registrar’s books.

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

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

(i) in respect of borrowed money;

(ii) evidenced by bonds, notes, debentures or similar instruments or letters of
credit or bankers’ acceptances (or, without duplication, reimbursement agreements in
respect thereof);

(iii) representing the balance deferred and unpaid of the purchase price of any
property (including Capitalized Lease Obligations) due more than twelve months after
such property is acquired, except (i) any such balance that constitutes an
obligation in respect of a commercial letter of credit, a trade payable or similar
obligation to a trade creditor, in each case accrued in the ordinary course of
business and (ii) any earn-out obligations until such obligation becomes a liability
on the balance sheet of such Person in accordance with GAAP and if not paid after
becoming due and payable; or

(iv) representing the net obligations under any Hedging Obligations;

if and to the extent that any of the foregoing Indebtedness (other than letters of
credit and Hedging Obligations) would appear as a liability upon a balance sheet
(excluding the footnotes thereto) of such Person prepared in accordance with GAAP;
provided that Indebtedness of any direct or indirect parent of the Issuer appearing
upon the balance sheet of the Issuer solely by reason of push-down accounting under
GAAP shall be excluded;

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

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

provided that notwithstanding the foregoing, Indebtedness shall be deemed not to include (i)
Contingent Obligations incurred in the ordinary course of business, (ii) (except for purposes of
calculating a Person’s Consolidated Secured Leverage Ratio) obligations under or in respect of
Qualified Securitization Facilities, (iii) any operating lease rental expense to the extent that
such rental expense is required to be recognized as a deferred liability on any Person’s balance
sheet in accordance with Statement of Financial Accounting Standard No. 13 or (iv) any of the CVR
Obligations.

“Indenture” means this Senior Secured Notes Indenture, as amended or supplemented from time to
time.

“Indenture Obligations” means Obligations under this Indenture and the Notes.

 

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

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

“Initial Notes” as defined in the recitals hereto.

“Initial Purchasers” means Barclays Capital Inc. and BMO Capital Markets Corp.

“Intercreditor Agreement” means the Lien Subordination and Intercreditor Agreement, dated as
of the Issue Date, among the ABL Collateral Agent (as defined therein), the Notes Collateral Agent,
the Issuer and each Guarantor, as it may be amended from time to time in accordance with this
Indenture.

“Interest Payment Date” means February 15 and August 15 of each year to stated maturity,
commencing on August 15, 2011.

“Investment Grade Rating” means a rating equal to or higher than Baa3 (or the equivalent) by
Moody’s and BBB- (or the equivalent) by S&P, or if the Notes are not then rated by Moody’s or S&P,
an equivalent rating by any other Rating Agency.

“Investment Grade Securities” means:

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

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

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

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

“Investments” means, with respect to any Person, all investments by such Person in other
Persons (including Affiliates) in the form of loans (including guarantees), advances or capital
contributions (excluding accounts receivable, trade credit, advances to customers and distributors,
commission, travel and similar advances to employees, directors, officers, managers, distributors
and consultants, in each case made in the ordinary course of business), purchases or other
acquisitions for consideration of Indebtedness, Equity Interests or other securities issued by any
other Person and investments that are required by GAAP to be classified on the balance sheet
(excluding the footnotes) of the Issuer in the same manner as the other investments included in
this definition to the extent such transactions involve the transfer of cash or other property.
For purposes of the definition of “Unrestricted Subsidiary” and Section 4.07 hereof:

(a) “Investments” shall include the portion (proportionate to the Issuer’s Equity
Interest in such Subsidiary) of the fair market value of the net assets of a Subsidiary of
the Issuer at the time that such Subsidiary is designated an Unrestricted Subsidiary;
provided that upon a redesignation of such Subsidiary as a Restricted Subsidiary, the Issuer
shall be deemed to continue to have a permanent “Investment” in an Unrestricted Subsidiary
in an amount (if positive) equal to:

(i) the Issuer’s “Investment” in such Subsidiary at the time of such
redesignation; less

 

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(ii) the portion (proportionate to the Issuer’s Equity Interest in such
Subsidiary) of the fair market value of the net assets of such Subsidiary at the
time of such redesignation; and

(b) any property transferred to or from an Unrestricted Subsidiary shall be valued at
its fair market value at the time of such transfer.

The amount of any Investment outstanding at any time shall be the original cost of such
Investment, reduced by any dividend, distribution, interest payment, return of capital, repayment
or other amount received in cash by the Issuer or a Restricted Subsidiary in respect of such
Investment.

“Investors” means Veronis Suhler Stevenson and, if applicable, each of its Affiliates and
funds or partnerships managed by it or its Affiliates but not including, however, any portfolio
companies of any of the foregoing.

“Issue Date” means February 17, 2011.

“Issuer” as defined in the Preamble hereto.

“Issuer’s Order” means a written request or order signed on behalf of the Issuer by an Officer
of the Issuer, who must be the principal executive officer, the principal financial officer, the
treasurer or the principal accounting officer of the Issuer, and delivered to the Trustee.

“Legal Holiday” means a Saturday, a Sunday or a day on which commercial banking institutions
are not required to be open in the State of New York or place of payment. If a payment date is a
Legal Holiday at a place of payment, payment may be made at that place on the next succeeding day
that is not a place of Legal Holiday, and no interest shall accrue on such payment for the
intervening period.

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

“Lien” means, with respect to any asset, any mortgage, lien (statutory or otherwise), pledge,
hypothecation, charge, security interest, preference, priority or encumbrance of any kind in
respect of such asset, whether or not filed, recorded or otherwise perfected under applicable law,
including any conditional sale or other title retention agreement, any lease in the nature thereof,
any option or other agreement to sell or give a security interest in and any filing of or agreement
to give any financing statement under the Uniform Commercial Code (or equivalent statutes) of any
jurisdiction; provided that in no event shall an operating lease be deemed to constitute a Lien.

“Management Advisory Agreement” means the agreement made in respect of certain advisory
services between certain of one or more of the management companies associated with the Investors
or their advisors, if applicable, and the Issuer, in effect on the Issue Date.

“Management Stockholders” means the members of management of the Issuer (or its direct parent)
who are holders of Equity Interests of the Issuer or any direct or indirect parent companies of the
Issuer on the Issue Date.

“Merger Agreement” means that certain Agreement and Plan of Mergers, dated as of June 20,
2009, by and among the Issuer (f/k/a Cambium Holdings, Inc.), VLCY, VSS-Cambium Holdings II Corp.,
Vowel Acquisition Corp., Consonant Acquisition Corp. and Vowel Representative, LLC, as amended by
Amendment No. 1 to Agreement and Plan of Mergers made as of September 20, 2010, by and between the
Issuer and Vowel Representative, LLC, as the same may be amended, supplemented or otherwise
modified from time to time in a manner not materially adverse to the Holders of the Notes.

“Moody’s” means Moody’s Investors Service, Inc. and any successor to its rating agency
business.

 

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“Mortgage” means any mortgage, deed of trust or other agreement entered into by the owner of a
Mortgaged Property and the Notes Collateral Agent, which conveys or evidences a Lien in favor of
the Notes Collateral Agent, for the benefit of the Holders, on such Mortgaged Property.

“Net Income” means, with respect to any Person, the net income (loss) of such Person,
determined in accordance with GAAP and before any reduction in respect of Preferred Stock
dividends.

“Net Proceeds” means the aggregate cash or Cash Equivalents proceeds received by the Issuer or
any of its Restricted Subsidiaries in respect of any Asset Sale, including any cash or Cash
Equivalents received upon the sale or other disposition of any Designated Non-cash Consideration
received in any Asset Sale, net of the direct costs relating to such Asset Sale and the sale or
disposition of such Designated Non-cash Consideration, including legal, accounting and investment
banking fees, payments made in order to obtain a necessary consent or required by applicable law,
and brokerage and sales commissions, any relocation expenses incurred as a result thereof, other
fees and expenses, including title and recordation expenses, taxes paid or payable as a result
thereof (after taking into account any available tax credits or deductions and any tax sharing
arrangements), amounts required to be applied to the repayment of Indebtedness secured by a Lien
(other than Liens on the Collateral securing the ABL Facility) on such assets and required (other
than required by clause (i) of Section 4.10(b) hereof) to be paid as a result of such transaction
and any deduction of appropriate amounts to be provided by the Issuer or any of its Restricted
Subsidiaries as a reserve in accordance with GAAP against any liabilities associated with the asset
disposed of in such transaction and retained by the Issuer or any of its Restricted Subsidiaries
after such sale or other disposition thereof, including pension and other post-employment benefit
liabilities and liabilities related to environmental matters or against any indemnification
obligations associated with such transaction.

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

“Notes” means the Notes authenticated and delivered under this Indenture.

“Notes Collateral” means (a) substantially all of the present and future tangible and
intangible assets of the Issuer and the Guarantors, including without limitation equipment,
contracts, intellectual property, fee-owned real property, general intangibles, intercompany notes
and proceeds of the foregoing (in each case, subject to certain exceptions) and (b) all of the
Capital Stock and each Subsidiary directly wholly-owned by the Issuer or a Guarantor; provided,
however, that the Notes Collateral shall not include the ABL Collateral or the Excluded Assets. In
addition, the Notes Collateral shall be subject to the limitations and exclusions described under
Sections 13.01(b) and 13.01(c).

“Notes Collateral Agent” means Wells Fargo Bank, National Association, in its capacity as
“Collateral Agent” under this Indenture, the Intercreditor Agreement and the other Collateral
Documents, and any successor thereto in such capacity.

“Notes Secured Parties” means the Trustee, the Notes Collateral Agent, each Holder of the
Notes and each other holder of, or obligee in respect of, any Indenture Obligations in respect of
the Notes outstanding at such time.

“Obligations” means any principal, interest (including any interest accruing on or subsequent
to the filing of a petition in bankruptcy, reorganization or similar proceeding at the rate
provided for in the documentation with respect thereto, whether or not such interest is an allowed
claim under applicable state, federal or foreign law), premium, penalties, fees, indemnifications,
reimbursements (including reimbursement obligations with respect to letters of credit and banker’s
acceptances), damages and other liabilities, and guarantees of payment of such principal, interest,
penalties, fees, indemnifications, reimbursements, damages and other liabilities, payable under the
documentation governing any Indebtedness.

“Offering Memorandum” means the confidential offering memorandum, dated February 14, 2011,
relating to the sale of the Initial Notes.

 

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“Officer” means, with respect to a Person, the Chairman of the board of directors, the Chief
Executive Officer, the Chief Financial Officer, the President, any Executive Vice President, Senior
Vice President or Vice President, the Treasurer or the Secretary of any Person. Unless otherwise
indicated, Officer shall refer to an Officer of such Person.

“Officer’s Certificate” means a certificate signed on behalf of a Person by an Officer of such
Person, who must be the principal executive officer, the principal financial officer, the treasurer
or the principal accounting officer of such Person that meets the requirements set forth in this
Indenture. Unless otherwise indicated, Officer’s Certificate shall refer to a certificate of an
Officer of the Issuer.

“Opinion of Counsel” means a written opinion from legal counsel who is acceptable to the
Trustee. The counsel may be an employee of or counsel to the Issuer or the Trustee.

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

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

“Permitted Additional Parity Debt” means obligations under any Additional Parity Debt;
provided that after giving effect to the Incurrence of any such Indebtedness the Consolidated
Secured Leverage Ratio of the Issuer and its Restricted Subsidiaries shall be less than or equal to
4.0:1.0.

“Permitted Asset Swap” means the substantially concurrent purchase and sale or exchange of
Related Business Assets or a combination of Related Business Assets and Cash Equivalents between
the Issuer or any of its Restricted Subsidiaries and another Person; provided that any Cash
Equivalents received must be applied in accordance with Section 4.10 hereof; provided further that
the assets received are pledged as Collateral to the extent required by the Collateral Documents
(except to the extent the Lien thereon is released by the lenders under the ABL Facility) to the
extent that the assets disposed of constituted Collateral.

“Permitted Holders” means each of (i) the Investors, (ii) Management Stockholders and (iii)
any group (within the meaning of Section 13(d)(3) or Section 14(d)(2) of the Exchange Act or any
successor provision) of which any of the foregoing are members (a “Permitted Holder Group”);
provided that, in the case of such group (x) each member (other than Permitted Holders specified in
clauses (i) and (ii) above) of such Permitted Holder Group has voting rights that, on a
proportional basis, are no greater than the percentage of ownership interest held or acquired by
such member and (y) no Person or other “group” (other than Permitted Holders specified in clauses
(i) and (ii) above) beneficially owns a greater percentage (on a fully diluted basis) of the total
voting power of the Voting Stock of the Issuer than is held, in the aggregate, by the Permitted
Holders specified in clauses (i) and (ii) above in such Permitted Holder Group. Any Person or group
whose acquisition of beneficial ownership constitutes a Change of Control in respect of which a
Change of Control Offer is made in accordance with the requirements of this Indenture will
thereafter, together with its Affiliates, constitute an additional Permitted Holder.

“Permitted Investments” means:

(a) any Investment in the Issuer or any of its Restricted Subsidiaries;

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

(c) any Investment by the Issuer or any of its Restricted Subsidiaries in a Person
(including, to the extent constituting an Investment, in assets of a Person that represent
substantially all of its assets or a division, business unit or product line, including
research and development and related assets in respect of any product) that is engaged
directly or through entities that shall be Restricted Subsidiaries in a Similar Business if
as a result of such Investment:

(i) such Person becomes a Restricted Subsidiary; or

 

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(ii) such Person, in one transaction or a series of related transactions, is
amalgamated, merged or consolidated with or into, or transfers or conveys
substantially all of its assets (or a division, business unit or product line,
including any research and development and related assets in respect of any product)
or is liquidated into, the Issuer or a Restricted Subsidiary, and, in each case, any
Investment held by such Person; provided that such Investment was not acquired by
such Person in contemplation of such acquisition, merger, amalgamation consolidation
or transfer;

(d) any Investment in securities or other assets not constituting Cash Equivalents or
Investment Grade Securities and received in connection with an Asset Sale made pursuant to
Section 4.10 hereof or any other disposition of assets not constituting an Asset Sale;

(e) any Investment existing on the Issue Date or made pursuant to binding commitments
in effect on the Issue Date or an Investment consisting of any extension, modification or
renewal of any such Investment or binding commitment existing on the Issue Date; provided
that the amount of any such Investment may be increased in such extension, modification or
renewal only (i) as required by the terms of such Investment or binding commitment as in
existence on the Issue Date (including as a result of the accrual or accretion of interest
or original issue discount or the issuance of pay-in-kind securities) or (ii) as otherwise
permitted under this Indenture;

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

(i) consisting of extensions of credit in the nature of accounts receivable or
notes receivable arising from the grant of trade credit in the ordinary course of
business; or

(ii) in exchange for any other Investment or accounts receivable held by the
Issuer or any such Restricted Subsidiary in connection with or as a result of a
bankruptcy, workout, reorganization or recapitalization of the issuer of such other
Investment or accounts receivable (including any trade creditor or customer); or

(iii) in satisfaction of judgments against other Persons; or

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

(g) Hedging Obligations permitted under clause (x) of Section 4.09(b) hereof;

(h) any Investment in a Similar Business taken together with all other Investments made
pursuant to this clause (h) that are at that time outstanding, not to exceed the greater of
(i) $30.0 million and (ii) 5.0% of Consolidated Total Assets;

(i) Investments the payment for which consists of Equity Interests (other than
Disqualified Stock) of the Issuer, or any of its direct or indirect parent companies;
provided that such Equity Interests shall not increase the amount available for Restricted
Payments under clause (C) of Section 4.07(a)(iv) hereof;

(j) guarantees of Indebtedness permitted under Section 4.09(b) hereof;

(k) any transaction to the extent it constitutes an Investment that is permitted by and
made in accordance with the provisions of Section 4.11(b) hereof (except transactions
described in clauses (ii) and (v));

 

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(l) Investments consisting of purchases or other acquisitions of inventory, supplies,
material or equipment or the licensing or contribution of intellectual property pursuant to
joint marketing arrangements with other Persons;

(m) additional Investments, taken together with all other Investments made pursuant to
this clause (m) that are at that time outstanding (without giving effect to the sale of an
Unrestricted Subsidiary to the extent the proceeds of such sale do not consist of cash or
have not subsequently sold or transferred for cash or marketable securities), not to exceed
the greater of (i) $10.0 million and (ii) 5.0% of Consolidated Total Assets;

(n) Investments in or relating to a Securitization Subsidiary that, in the good faith
determination of the Issuer are necessary or advisable to effect any Qualified
Securitization Facility or any repurchase obligation in connection therewith;

(o) advances to, or guarantees of Indebtedness of, employees not in excess of $1.5
million outstanding at any one time, in the aggregate;

(p) loans and advances to employees, directors, officers, managers, distributors and
consultants for business-related travel expenses, moving expenses and other similar expenses
or payroll advances, in each case incurred in the ordinary course of business or consistent
with past practices or to fund such Person’s purchase of Equity Interests of the Issuer or
any direct or indirect parent company thereof;

(q) advances, loans or extensions of trade credit in the ordinary course of business by
the Issuer or any of its Restricted Subsidiaries;

(r) any Investment in any Subsidiary or any joint venture in connection with
intercompany cash management arrangements or related activities arising in the ordinary
course of business;

(s) Investments consisting of purchases and acquisitions of assets or services in the
ordinary course of business;

(t) Investments made in the ordinary course of business in connection with obtaining,
maintaining or renewing client contacts and loans or advances made to distributors in the
ordinary course of business;

(u) Investments in prepaid expenses, negotiable instruments held for collection and
lease, utility and workers compensation, performance and similar deposits entered into as a
result of the operations of the business in the ordinary course of business;

(v) repurchases of Notes and Exchange Notes;

(w) Investments in the ordinary course of business consisting of Uniform Commercial
Code Article 3 endorsements for collection of deposit and Article 4 customary trade
arrangements with customers consistent with past practices; and

(x) Investments in securities of trade creditors or customers in the ordinary course of
business received upon foreclosure or pursuant to any plan of reorganization or liquidation
or similar arrangement upon the bankruptcy or insolvency of such trade creditors or
customers.

“Permitted Liens” means, with respect to any Person:

 

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(a) pledges, deposits or security by such Person under workmen’s compensation laws,
unemployment insurance, employers’ health tax, and other social security laws or similar
legislation or other insurance-related obligations (including, but not limited to, in
respect of deductibles, self-insured retention amounts and premiums and adjustments thereto)
or indemnification obligations of (including obligations in
respect of letters of credit or bank guarantees for the benefit of) insurance carriers
providing property, casualty or liability insurance, or good faith deposits in connection
with bids, tenders, contracts (other than for the payment of Indebtedness) or leases to
which such Person is a party, or deposits to secure public or statutory or similar
obligations of such Person or deposits of cash or U.S. government bonds to secure surety or
appeal bonds to which such Person is a party, or deposits as security for contested taxes or
import duties or for the payment of rent, in each case incurred in the ordinary course of
business;

(b) Liens imposed by law, such as landlords’, carriers’, warehousemen’s materialmen’s,
repairmen’s, mechanics’ and similar Liens, in each case for sums not yet overdue for a
period of more than 30 days or being contested in good faith by appropriate actions or other
Liens arising out of judgments or awards against such Person with respect to which such
Person shall then be proceeding with an appeal or other proceedings for review if adequate
reserves with respect thereto are maintained on the books of such Person in accordance with
GAAP;

(c) Liens for taxes, assessments or other governmental charges not yet overdue for a
period of more than 30 days or not yet payable or subject to penalties for nonpayment or
which are being contested in good faith by appropriate actions diligently conducted, if
adequate reserves with respect thereto are maintained on the books of such Person in
accordance with GAAP;

(d) Liens in favor of issuers of performance, surety, bid, indemnity, warranty,
release, appeal or similar bonds or with respect to other regulatory requirements or letters
of credit or bankers acceptances issued, and completion guarantees provided for, in each
case, issued pursuant to the request of and for the account of such Person in the ordinary
course of its business or consistent with past practice prior to the Issue Date;

(e) minor survey exceptions, minor encumbrances, ground leases, easements or
reservations of, or rights of others for, licenses, rights-of-way, servitudes, sewers,
electric lines, drains, telegraph, telephone and cable television lines and other similar
purposes, or zoning, building codes or other restrictions (including minor defects and
irregularities in title and similar encumbrances) as to the use of real properties or Liens
incidental, to the conduct of the business of such Person or to the ownership of its
properties which were not incurred in connection with Indebtedness and which do not in the
aggregate materially impair their use in the operation of the business of such Person;

(f) Liens securing Obligations relating to any Indebtedness permitted to be incurred
pursuant to clause (iv), (xii) or (xiii) of Section 4.09(b) hereof; provided that (a) Liens
securing Obligations relating to any Indebtedness, Disqualified Stock or Preferred Stock
permitted to be incurred pursuant to clause (xiii) relate only to Obligations relating to
Refinancing Indebtedness that (x) is secured by Liens on the same assets as the assets
securing the Refinancing Indebtedness (other than after-acquired property that is (A)
affixed or incorporated into the property covered by such Lien, (B) after-acquired property
subject to a Lien securing such Indebtedness, the terms of which Indebtedness require or
include a pledge of after-acquired property (it being understood that such requirement shall
not be permitted to apply to any property to which such requirement would not have applied
but for such acquisition) and (C) the proceeds and products thereof) or (y) extends,
replaces, refunds, refinances, renews or defeases Indebtedness incurred or Disqualified
Stock or Preferred Stock issued under clause (iv) or (xii) of Section 4.09(b) hereof, and
(b) Liens securing Obligations relating to any Indebtedness, Disqualified Stock or Preferred
Stock to be incurred pursuant to clause (iv) of Section 4.09(b) hereof extend only to the
assets so purchased, leased or improved and any accessions or extensions thereof;

(g) Liens existing on the Issue Date or pursuant to agreements in existence on the
Issue Date (which may include Liens on after-acquired property that is (A) affixed or
incorporated into the property covered by such Lien, (B) after-acquired property subject to
a Lien securing such Indebtedness, the terms of which Indebtedness require or include a
pledge of after-acquired property (it being understood that such requirement shall not be
permitted to apply to any property to which such requirement would not have applied but for
such acquisition) and (C) the proceeds and products thereof);

 

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(h) Liens on property or shares of stock or other assets of a Person at the time such
Person becomes a Subsidiary; provided that such Liens are not created or incurred in
connection with, or in contemplation of, such other Person becoming such a Subsidiary;
provided, further, that such Liens may not extend to any other property or other assets
owned by the Issuer or any of its Restricted Subsidiaries (other than after-acquired
property that is (A) affixed or incorporated into the property covered by such Lien, (B)
after-acquired property subject to a Lien securing such Indebtedness, the terms of which
Indebtedness require or include a pledge of after-acquired property (it being understood
that such requirement shall not be permitted to apply to any property to which such
requirement would not have applied but for such acquisition) and (C) the proceeds and
products thereof);

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

(j) Liens or deposits securing Obligations relating to any Indebtedness or other
obligations of a Restricted Subsidiary owing to the Issuer or another Restricted Subsidiary
permitted to be incurred in accordance with Section 4.09 hereof;

(k) Liens securing Hedging Obligations; provided that, with respect to Hedging
Obligations relating to Indebtedness, such Indebtedness is, and is permitted to be under
this Indenture, secured by a Lien on the same property securing such Hedging Obligations;

(l) Liens on specific items of inventory or other goods and proceeds of any Person
securing such Person’s accounts payable or similar trade obligations in respect of bankers’
acceptances or trade letters of credit issued or created for the account of such Person to
facilitate the purchase, shipment or storage of such inventory or other goods;

(m) leases, sub-leases, licenses or sub-licenses, granted to others in the ordinary
course of business which do not materially interfere with the ordinary conduct of the
business of the Issuer or any of its Restricted Subsidiaries and do not secure any
Indebtedness;

(n) Liens arising from Uniform Commercial Code (or equivalent statute) financing
statement filings regarding operating leases or consignments entered into by the Issuer and
its Restricted Subsidiaries in the ordinary course of business;

(o) Liens in favor of the Issuer or any Guarantor;

(p) Liens created in favor of any vendor to the Issuer or any Restricted Subsidiary
that encumber all or any part of such vendor’s inventory and any books and records,
documents and instruments, letter of credit rights and supporting obligations and any
proceeds or products relating to such inventory, in each case existing on the Issue Date or
hereafter created and existing;

(q) Liens on accounts receivable, Securitization Assets and related assets incurred in
connection with a Qualified Securitization Facility;

(r) Liens to secure any modification, refinancing, refunding, extension, renewal or
replacement (or successive refinancing, refunding, extensions, renewals or replacements) as
a whole, or in part, of any Indebtedness secured by any Lien referred to in the foregoing
clauses (g), (h) and (i); provided that (a) such new Lien shall be limited to all or part of
the same property that secured the original Lien (plus accessions, additions and
improvements on such property (other than after-acquired property that is (A) affixed or
incorporated into the property covered by such Lien, (B) after-acquired property subject to
a Lien securing such Indebtedness, the terms of which Indebtedness require or include a
pledge of after-acquired property

 

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(it being understood that such requirement shall not be permitted to apply to any
property to which such requirement would not have applied but for such acquisition) and (C)
the proceeds and products thereof)), and (b) the Indebtedness secured by such Lien at such
time is not increased to any amount greater than the sum of (i) the outstanding principal
amount of the Indebtedness described under clauses (g), (h), and (i) at the time the
original Lien became a Permitted Lien under this Indenture and (ii) an amount necessary to
pay any fees and expenses, including premiums, and accrued and unpaid interest related to
such modification, refinancing, refunding, extension, renewal or replacement;

(s) other Liens securing obligations in an aggregate amount at any one time outstanding
not to exceed $20.0 million;

(t) Liens securing judgments for the payment of money not constituting an Event of
Default under clause (e) of Section 6.01 hereof so long as such Liens are adequately bonded
and any appropriate legal proceedings that may have been duly initiated for the review of
such judgment have not been finally terminated or the period within which such proceedings
may be initiated has not expired;

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

(v) Liens deemed to exist in connection with Investments in repurchase agreements
permitted under Section 4.09 hereof; provided that such Liens do not extend to any assets
other than those that are the subject of such repurchase agreement;

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

(x) any encumbrance or restriction (including put and call arrangements) with respect
to capital stock of any joint venture or similar arrangement pursuant to any joint venture
or similar agreement;

(y) Liens arising out of conditional sale, title retention, consignment or similar
arrangements with vendors for the sale or purchase of goods entered into by the Issuer or
any Restricted Subsidiary in the ordinary course of business;

(z) Liens solely on any cash earnest money deposits made by the Issuer or any of its
Restricted Subsidiaries in connection with any letter of intent or purchase agreement
permitted under this Indenture;

(aa) Liens on Capital Stock of an Unrestricted Subsidiary that secure Indebtedness or
other obligations of such Unrestricted Subsidiary;

(bb) Liens on the assets of non-guarantor Subsidiaries securing Indebtedness of such
Subsidiaries that were permitted by the terms of this Indenture to be incurred;

(cc) Liens securing Permitted Additional Parity Debt; and

(dd) Liens on or securing (x) the proceeds, if any, from the proceeding in the Michigan
Court of Claims referred to in Amendment No. 1 to the Merger Agreement; (y) the CVR
Obligations; and (z) the 280G Escrow Account, the CVR Escrow Account and the Excess Employee
Payment Escrow Account (and
the funds comprising each of the foregoing) pursuant to the terms and conditions of the
CVR Security Documents and the Merger Agreement.

 

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For purposes of this definition, the term “Indebtedness” shall be deemed to include interest
on such Indebtedness.

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

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

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

“Purchase Money Obligations” mean Indebtedness incurred to finance the acquisition by the
Issuer or a Restricted Subsidiary of such asset, including additions and improvements or the
installation, construction, improvement or restoration of such asset; provided that any Lien
arising in connection with any such Indebtedness shall be limited to the specified asset being
financed or, in the case of real property or fixtures, including additions and improvements, the
real property on which such asset is attached; provided further that such Indebtedness is incurred
within 180 days after such acquisition of, or the completion of construction of, such asset by the
Issuer or Restricted Subsidiary.

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

“Qualified Proceeds” means the fair market value of assets that are used or useful in, or
Capital Stock of any Person engaged in, a Similar Business.

“Qualified Securitization Facility” means any Securitization Facility that meets the following
conditions: (a) the board of directors of the Issuer shall have determined in good faith that such
Securitization Facility (including financing terms, covenants, termination events and other
provisions) is in the aggregate economically fair and reasonable to the Issuer and the applicable
Securitization Subsidiary, (b) all sales and/or contributions of Securitization Assets and related
assets to the applicable Securitization Subsidiary are made at fair market value (as determined in
good faith by the Issuer) and (c) the financing terms, covenants, termination events and other
provisions thereof shall be market terms (as determined in good faith by the Issuer).

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

“Real Property Collateral Requirements” means, with respect to each owned real property of the
Issuer or any Guarantor, including each other parcel of real property and improvements thereto, for
which a Mortgage is granted pursuant to Section 13.13 (each a “Mortgaged Property”), each of the
following:

(a) a Mortgage on such Mortgaged Property;

(b) evidence that a counterpart of the Mortgage has been recorded or delivered to the
appropriate title insurance company subject to customary arrangements for the prompt
recording thereof;

(c) an ALTA or other mortgagee’s title policy or amendment thereto (or a marked
unconditional binder thereof insuring the Lien of the Mortgage at customary rates);

(d) an opinion of counsel in the state in which such Mortgaged Property is located as
to the recordability and enforceability of the applicable Mortgage in the relevant
jurisdiction; and

 

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(e) a flood zone certificate in favor of the Notes Collateral Agent, and, if any
Mortgaged Property with improvements located thereon is being identified as being within a
special flood hazard area, flood insurance in an amount required by applicable law.

“Record Date” for the interest payable on any applicable Interest Payment Date means the
February 1 and August 1 (whether or not a Business Day) immediately preceding such Interest Payment
Date.

“Registration Rights Agreement” means the Registration Rights Agreement with respect to the
Notes dated as of the Issue Date, among the Issuer, the Guarantors and the Initial Purchasers and,
with respect to any Additional Notes, one or more registration rights agreements between the Issuer
and the other parties thereto, as such agreement(s) may be amended, modified or supplemented from
time to time, relating to rights given by the Issuer to the purchasers of Additional Notes to
register such Additional Notes under the Securities Act.

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

“Regulation S Global Note” means a Regulation S Permanent Global Note.

“Regulation S Permanent Global Note” means a permanent Global Note in the form of Exhibit
A bearing the Global Note Legend, the Private Placement Legend and deposited with or on behalf
of, and registered in the name of, the Depositary or its nominee.

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

“Requirement of Law” means, as to any Person, the Certificate of Incorporation and By-Laws or
other organizational or governing documents of such Person, and any law, treaty, rule or regulation
or determination of an arbitrator or a court or other Governmental Authority, in each case
applicable to or binding upon such Person or any of its property or to which such Person or any of
its property is subject.

“Responsible Officer” means, when used with respect to the Trustee, any officer within the
corporate trust department of the Trustee, including any vice president, assistant vice president,
assistant secretary, assistant treasurer, trust officer or any other officer of the Trustee who
customarily performs functions similar to those performed by the Persons who at the time shall be
such officers, respectively, or to whom any corporate trust matter is referred because of such
Person’s knowledge of and familiarity with the particular subject and who shall have direct
responsibility for the administration of this Indenture.

“Restricted Definitive Note” means a Definitive Note bearing, or that is required to bear, the
Private Placement Legend.

“Restricted Global Note” means a Global Note bearing, or that is required to bear, the Private
Placement Legend.

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

“Restricted Subsidiary” means, at any time, any direct or indirect Subsidiary of the Issuer
that is not then an Unrestricted Subsidiary; provided that upon an Unrestricted Subsidiary ceasing
to be an Unrestricted Subsidiary, such Subsidiary shall be included in the definition of
“Restricted Subsidiary.”

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

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

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

 

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

“S&P” means Standard & Poor’s, a division of The McGraw-Hill Companies, Inc., and any
successor to its rating agency business.

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

“SEC” means the U.S. Securities and Exchange Commission.

“Secured Indebtedness” means any Indebtedness of the Issuer or any of its Restricted
Subsidiaries secured by a Lien.

“Secured Obligations” has the meaning assigned thereto in the Security Agreement.

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

“Securitization Assets” means the accounts receivable, royalty or other revenue and other
rights to payment and any other assets related thereto subject to a Qualified Securitization
Facility and the proceeds thereof.

“Securitization Facility” means any of one or more receivables securitization financing
facilities as amended, supplemented, modified, extended, renewed, restated or refunded from time to
time, the Obligations of which are non-recourse (except for customary representations, warranties,
covenants and indemnities made in connection with such facilities) to the Issuer or any of its
Restricted Subsidiaries (other than a Securitization Subsidiary) pursuant to which the Issuer or
any of its Restricted Subsidiaries sells or grants a security interest in its accounts receivable
or assets related thereto to either (a) a Person that is not a Restricted Subsidiary or (b) a
Securitization Subsidiary that in turn sells its accounts receivable to a Person that is not a
Restricted Subsidiary.

“Securitization Fees” means distributions or payments made directly or by means of discounts
with respect to any participation interest issued or sold in connection with, and other fees paid
to a Person that is not a Securitization Subsidiary in connection with, any Qualified
Securitization Facility.

“Securitization Subsidiary” means any Subsidiary formed for the purpose of, and that solely
engages only in one or more Qualified Securitization Facilities and other activities reasonably
related thereto.

“Security Agreement” means the Security Agreement, dated as of the Issue Date, among the
Issuer, each Guarantor and the Notes Collateral Agent, as it may be amended from time to time in
accordance with this Indenture.

“Senior Indebtedness” means Indebtedness of the Issuer or any Guarantor unless the instrument
under which such Indebtedness is incurred expressly provides that it is subordinated in right of
payment to the Notes or any related Guarantee.

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

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

“Similar Business” means (a) any business engaged in by the Issuer or any of its Restricted
Subsidiaries on the Issue Date, and (b) any business or other activities that are reasonably
similar, ancillary, complementary or related to, or a reasonable extension, development or expansion of, the businesses in which the
Issuer and its Restricted Subsidiaries are engaged on the Issue Date.

 

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“Subordinated Indebtedness” means, with respect to the Notes,

(a) any Indebtedness of the Issuer which is by its terms subordinated in right of
payment to the Notes, and

(b) any Indebtedness of any Guarantor which is by its terms subordinated in right of
payment to the Guarantee of such entity of the Notes.

“Subsidiary” means, with respect to any Person:

(a) any corporation, association, or other business entity (other than a partnership,
joint venture, limited liability company or similar entity) of which more than 50.0% of the
total voting power of shares of Capital Stock entitled (without regard to the occurrence of
any contingency) to vote in the election of directors, managers or trustees thereof is at
the time of determination owned or controlled, directly or indirectly, by such Person or one
or more of the other Subsidiaries of that Person or a combination thereof; and

(b) any partnership, joint venture, limited liability company or similar entity of
which

(i) more than 50.0% of the capital accounts, distribution rights, total equity
and voting interests or general or limited partnership interests, as applicable, are
owned or controlled, directly or indirectly, by such Person or one or more of the
other Subsidiaries of that Person or a combination thereof whether in the form of
membership, general, special or limited partnership or otherwise, and

(ii) such Person or any Restricted Subsidiary of such Person is a controlling
general partner or otherwise controls such entity.

“Treasury Rate” means, as of any Redemption Date, the yield to maturity as of such Redemption
Date of United States Treasury securities with a constant maturity (as compiled and published in
the most recent Federal Reserve Statistical Release H.15(519) that has become publicly available at
least two Business Days prior to the Redemption Date (or, if such Statistical Release is no longer
published, any publicly available source of similar market data)) most nearly equal to the period
from the Redemption Date to February 15, 2014; provided that if the period from the Redemption Date
to such date is less than one year, the weekly average yield on actually traded United States
Treasury securities adjusted to a constant maturity of one year shall be used.

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

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

“Uniform Commercial Code” means the New York Uniform Commercial Code as in effect from time to
time.

“Unrestricted Definitive Note” means one or more Definitive Notes that do not bear and are not
required to bear the Private Placement Legend.

“Unrestricted Global Note” means a permanent Global Note, substantially in the form of
Exhibit A that bears the Global Note Legend and that has the “Schedule of Exchanges of
Interests in the Global Note” attached thereto, and that is deposited with or on behalf of and
registered in the name of the Depositary, representing Notes that do not bear the Private Placement
Legend.

 

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“Unrestricted Subsidiary” means:

(a) VLCY (until such time as VLCY may be designated a Restricted Subsidiary in
accordance with the terms of this Indenture);

(b) any Subsidiary of the Issuer which at the time of determination is an Unrestricted
Subsidiary (as designated by the Issuer, as provided below); and

(c) any Subsidiary of an Unrestricted Subsidiary.

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

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

(ii) such designation complies with Section 4.07 hereof; and

(iii) each of (A) the Subsidiary to be so designated and (B) its Subsidiaries has not
at the time of designation, and does not thereafter, create, incur, issue, assume, guarantee
or otherwise become directly or indirectly liable with respect to any Indebtedness pursuant
to which the lender has recourse to any of the assets of the Issuer or any Restricted
Subsidiary.

The Issuer may designate any Unrestricted Subsidiary to be a Restricted Subsidiary; provided
that, immediately after giving effect to such designation, no Default shall have occurred and be
continuing and either:

(a) the Issuer could incur at least $1.00 of additional Indebtedness pursuant to the
Fixed Charge Coverage Test or

(b) the Fixed Charge Coverage Ratio for the Issuer would be greater than such ratio for
the Issuer immediately prior to such designation, in each case on a pro forma basis taking
into account such designation.

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

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

“VLCY” means Voyager Learning Company, a Subsidiary of the Issuer.

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

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

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

 

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(b) the sum of all such payments.

“Wholly-Owned Subsidiary” of any Person means a Subsidiary of such Person, 100.0% of the
outstanding Equity Interests of which (other than directors’ qualifying shares and shares issued to
foreign nationals as required by applicable law) shall at the time be owned by such Person and/or
by one or more Wholly-Owned Subsidiaries of such Person.

Section 1.02 Other Definitions.

	 	 	 	 	 
	 	 	Defined in	 
	Term	 	Section	 
	 
	“Acceptable Commitment”
	 	 	4.10	(b)
	“Affiliate Transaction”
	 	 	4.11	(a)
	“Applicable Premium Deficit”
	 	 	8.04	(a)
	“Asset Sale Offer”
	 	 	4.10	(c)
	“Authentication Order”
	 	 	2.02	 
	“Change of Control Offer”
	 	 	4.14	 
	“Change of Control Payment”
	 	 	4.14	 
	“Change of Control Payment Date”
	 	 	4.14	(b)
	“Covenant Defeasance”
	 	 	8.03	 
	“DTC”
	 	 	2.03	 
	“Event of Default”
	 	 	6.01	 
	“Excess Proceeds”
	 	 	4.10	(c)
	“Fixed Charge Coverage Test”
	 	 	4.07	(a)(B)
	“incur”
	 	 	4.09	(a)
	“Legal Defeasance”
	 	 	8.02	 
	“Mortgaged Property”
	 	definition of “Real Property Collateral Requirements”	 
	“Note Register”
	 	 	2.03	 
	“Offer Amount”
	 	 	3.09	(b)
	“Offer Period”
	 	 	3.09	(b)
	“Pari Passu Indebtedness”
	 	 	4.10	(c)
	“Paying Agent”
	 	 	2.03	 
	“Purchase Date”
	 	 	3.09	(b)
	“Redemption Date”
	 	 	3.01	 
	“Refinancing Indebtedness”
	 	4.09	(b)(xiii)
	“Refunding Capital Stock”
	 	4.07	(b)(ii)
	“Registrar”
	 	 	2.03	 
	“Restricted Payments”
	 	 	4.07	(a)
	“Rule 3-16”
	 	 	13.01	(b)(i)
	“Successor Company”
	 	 	5.01	(a)(i)
	“Successor Person”
	 	 	5.01	(c)(i)
	“Treasury Capital Stock”
	 	4.07	(b)(ii)

Section 1.03 Incorporation by Reference of Trust Indenture Act. Whenever this Indenture refers to
a provision of the Trust Indenture Act, the provision is incorporated by reference in and made a
part of this Indenture. The following Trust Indenture Act terms used in this Indenture have the
following meanings:

“indenture securities” means the Notes and the Guarantees;

“indenture security Holder” means a Holder of a Note;

 

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“indenture to be qualified” means this Indenture;

“indenture trustee” or “institutional trustee” means the Trustee;

and “obligor” on the Notes and the Guarantees means the Issuer and the Guarantors,
respectively, and any successor obligor upon the Notes and the Guarantees, respectively.

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

Section 1.04 Rules of Construction. Unless the context otherwise requires:

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

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

(c) “or” is not exclusive;

(d) “including”, “includes” and similar words means including without limitation;

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

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

(g) provisions apply to successive events and transactions;

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

(i) unless the context otherwise requires, any reference to an “Article,” “Section” or
“clause” refers to an Article, Section or clause, as the case may be, of this Indenture;

(j) the words “herein,” “hereof” and “hereunder” and other words of similar import
refer to this Indenture as a whole and not any particular Article, Section, clause or other
subdivision;

(k) the principal amount of any non-interest bearing or other discount security at any
date shall be the principal amount thereof that would be shown on a balance sheet of the
Issuer dated such date prepared in accordance with GAAP;

(l) the principal amount of any Preferred Stock shall be (i) the maximum liquidation
value of such Preferred Stock or (ii) the maximum mandatory redemption or mandatory purchase
price with respect to such Preferred Stock, whichever is greater; and

(m) all references to any interest or other amount payable on or with respect to the
Notes shall be deemed to include any Additional Interest.

Section 1.05 Acts of Holders.

(a) Any request, demand, authorization, direction, notice, consent, waiver or other action
provided by this Indenture to be given or taken by Holders may be embodied in and evidenced by one
or more instruments of substantially similar tenor signed by such Holders in person or by an agent
duly appointed in writing. Except as herein otherwise expressly provided, such action shall become
effective when such instrument or instruments is delivered to the Trustee and, where it is hereby
expressly required, to the Issuer. Proof of execution of any such instrument or of a writing appointing any such agent, or the holding by any Person of a Note,
shall be sufficient for any purpose of this Indenture and (subject to Section 7.01 hereof)
conclusive in favor of the Trustee and the Issuer, if made in the manner provided in this Section
1.05.

 

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(b) The fact and date of the execution by any Person of any such instrument or writing may be
proved by the affidavit of a witness of such execution or by the certificate of any notary public
or other officer authorized by law to take acknowledgments of deeds, certifying that the individual
signing such instrument or writing acknowledged to him the execution thereof. Where such execution
is by or on behalf of any legal entity other than an individual, such certificate or affidavit
shall also constitute proof of the authority of the Person executing the same. The fact and date
of the execution of any such instrument or writing, or the authority of the Person executing the
same, may also be proved in any other manner that the Trustee deems sufficient.

(c) The ownership of Notes shall be proved by the Note Register.

(d) Any request, demand, authorization, direction, notice, consent, waiver or other action by
the Holder of any Note shall bind every future Holder of the same Note and the Holder of every Note
issued upon the registration of transfer thereof or in exchange therefor or in lieu thereof, in
respect of any action taken, suffered or omitted by the Trustee or the Issuer in reliance thereon,
whether or not notation of such action is made upon such Note.

(e) The Issuer may, in the circumstances permitted by the Trust Indenture Act, set a record
date for purposes of determining the identity of Holders entitled to give any request, demand,
authorization, direction, notice, consent, waiver or take any other act, or to vote or consent to
any action by vote or consent authorized or permitted to be given or taken by Holders. Unless
otherwise specified, if not set by the Issuer prior to the first solicitation of a Holder made by
any Person in respect of any such action, or in the case of any such vote, prior to such vote, any
such record date shall be the later of 10 days prior to the first solicitation of such consent or
the date of the most recent list of Holders furnished to the Trustee prior to such solicitation.

(f) Without limiting the foregoing, a Holder entitled to take any action hereunder with regard
to any particular Note may do so with regard to all or any part of the principal amount of such
Note or by one or more duly appointed agents, each of which may do so pursuant to such appointment
with regard to all or any part of such principal amount. Any notice given or action taken by a
Holder or its agents with regard to different parts of such principal amount pursuant to this
paragraph shall have the same effect as if given or taken by separate Holders of each such
different part.

(g) Without limiting the generality of the foregoing, a Holder, including DTC, that is a
Holder of a Global Note, may make, give or take, by a proxy or proxies duly appointed in writing,
any request, demand, authorization, direction, notice, consent, waiver or other action provided in
this Indenture to be made, given or taken by Holders, and any Person that is a Holder of a Global
Note, including DTC, may provide its proxy or proxies to the beneficial owners of interests in any
such Global Note through such depositary’s standing instructions and customary practices.

(h) The Issuer may (but is not required to) fix a record date for the purpose of determining
the Persons who are beneficial owners of interests in any Global Note held by DTC entitled under
the procedures of such depositary to make, give or take, by a proxy or proxies duly appointed in
writing, any request, demand, authorization, direction, notice, consent, waiver or other action
provided in this Indenture to be made, given or taken by Holders. If such a record date is fixed,
the Holders on such record date or their duly appointed proxy or proxies, and only such Persons,
shall be entitled to make, give or take such request, demand, authorization, direction, notice,
consent, waiver or other action, whether or not such Holders remain Holders after such record date.
No such request, demand, authorization, direction, notice, consent, waiver or other action shall
be valid or effective if made, given or taken more than 90 days after such record date.

 

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ARTICLE 2

THE SECURED NOTES

Section 2.01 Form and Dating; Terms.

(a) General. The Notes and the Trustee’s certificate of authentication shall be substantially
in the form of Exhibit A. The Notes may have notations, legends or endorsements required
by law, stock exchange rules or usage. Each Note shall be dated the date of its authentication.
The Notes shall be issued initially in minimum denominations of $2,000 and any integral multiple of
$1,000 in excess of $2,000.

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

(c) Regulation S Global Notes. Notes offered and sold in reliance on Regulation S shall be
issued in the form of the Regulation S Permanent Global Note, which shall be deposited on behalf of
the purchasers of the Notes represented thereby with the Custodian and registered in the name of
the Depositary or the nominee of the Depositary for the accounts of designated agents holding on
behalf of Euroclear or Clearstream, duly executed by the Issuer and authenticated by the Trustee as
hereinafter provided.

The aggregate principal amount of the Regulation S Permanent Global Note may from time to time
be increased or decreased by adjustments made on the records of the Trustee and the Depositary or
its nominee, as the case may be, in connection with transfers of interest as hereinafter provided.

(d) Terms. The aggregate principal amount of Notes that may be authenticated and delivered
under this Indenture is unlimited.

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

The Notes shall be subject to repurchase by the Issuer pursuant to an Asset Sale Offer as
provided in Section 4.10 hereof or a Change of Control Offer as provided in Section 4.14 hereof.
The Notes shall not be redeemable, other than as provided in Article 3 hereof.

Additional Notes ranking pari passu with the Initial Notes may be created and issued from time
to time by the Issuer without notice to or consent of the Holders and shall be consolidated with
and form a single class with the Initial Notes and shall have the same terms as to status,
redemption or otherwise as the Initial Notes; provided that the Issuer’s ability to issue
Additional Notes shall be subject to the Issuer’s compliance with Section 4.09 hereof. Any
Additional Notes may be issued with the benefit of an indenture supplemental to this Indenture.

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

 

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Section 2.02 Execution and Authentication. At least one Officer of the Issuer shall execute
the Notes on behalf of the Issuer by manual or facsimile signature.

If an Officer of the Issuer whose signature is on a Note no longer holds that office at the
time the Trustee authenticates the Note, the Note shall nevertheless be valid.

A Note shall not be entitled to any benefit under this Indenture or be valid or obligatory for
any purpose until authenticated substantially in the form of Exhibit A, by the manual
signature of the Trustee. The signature shall be conclusive evidence that the Note has been duly
authenticated and delivered under this Indenture.

On the Issue Date, the Trustee shall, upon receipt of an Issuer’s Order (an “Authentication
Order”), authenticate and deliver the Initial Notes in the aggregate principal amount or amounts
specified in such Authentication Order. In addition, at any time, from time to time, the Trustee
shall, upon receipt of an Authentication Order, authenticate and deliver any Additional Notes or
Exchange Notes (but only upon completion of an Exchange Offer or in a sale under a Shelf
Registration Statement) for an aggregate principal amount specified in such Authentication Order
for such Additional Notes or Exchange Notes issued or increased hereunder.

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

Section 2.03 Registrar and Paying Agent. The Issuer shall maintain (i) an office or agency
where Notes may be presented for registration of transfer or for exchange (“Registrar”) and (ii) an
office or agency where Notes may be presented for payment (“Paying Agent”). The Registrar shall
keep a register of the Notes (“Note Register”) and of their transfer and exchange. The registered
Holder of a Note shall be treated as the owner of the Note for all purposes. The Issuer may
appoint one or more co-registrars and one or more additional paying agents. The term “Registrar”
includes any co-registrar, and the term “Paying Agent” includes any additional paying agents. The
Issuer initially appoints the Trustee as Paying Agent. The Issuer may change any Paying Agent or
Registrar without prior notice to any Holder. The Issuer shall notify the Trustee in writing of
the name and address of any Agent not a party to this Indenture. If the Issuer fails to appoint or
maintain another entity as Registrar or Paying Agent, the Trustee shall, to the extent that it is
capable, act as such. The Issuer or any of its domestic Subsidiaries may act as Paying Agent or
Registrar.

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

The Issuer initially appoints the Trustee to act as the Registrar for the Notes and to act as
Custodian with respect to the Global Notes.

Section 2.04 Paying Agent to Hold Money in Trust. The Issuer shall require each Paying Agent
other than the Trustee to agree in writing that the Paying Agent shall hold in trust for the
benefit of Holders or the Trustee all money held by the Paying Agent for the payment of principal,
premium, if any, interest or Additional Interest, if any, on the Notes, and shall notify the
Trustee in writing of any default by the Issuer in making any such payment. While any such default
continues, the Trustee may require a Paying Agent to pay all money held by it to the Trustee. The
Issuer at any time may require a Paying Agent to pay all money held by it to the Trustee. Upon
payment over to the Trustee, the Paying Agent (if other than the Issuer or a Subsidiary) shall have
no further liability for the money. If the Issuer or a Subsidiary acts as Paying Agent, it shall
segregate and hold in a separate trust fund for the benefit of the Holders all money held by it as
Paying Agent. Upon any bankruptcy or reorganization proceedings relating to the Issuer, the
Trustee shall serve as Paying Agent for the Notes.

 

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Section 2.05 Holder Lists. The Trustee shall preserve in as current a form as is reasonably
practicable the most recent list available to it of the names and addresses of all Holders and
shall otherwise comply with Section 312(a) of the Trust Indenture Act. If the Trustee is not the
Registrar, the Issuer shall furnish to the Trustee at least five Business Days before each Interest
Payment Date and at such other times as the Trustee may request in writing, a list in such form and
as of such date as the Trustee may reasonably require of the names and addresses of the Holders and
the Issuer shall otherwise comply with Section 312(a) of the Trust Indenture Act.

Section 2.06 Transfer and Exchange.

(a) Transfer and Exchange of Global Notes. Except as otherwise set forth in this Section
2.06, a Global Note may be transferred, in whole and not in part, only to another nominee of the
Depositary or to a successor thereto or a nominee of such successor thereto. A beneficial interest
in a Global Note may not be exchanged for a Definitive Note unless (i) the Depositary (x) notifies
the Issuer that it is unwilling or unable to continue as Depositary for such Global Note or (y) has
ceased to be a clearing agency registered under the Exchange Act, and, in either case, a successor
Depositary is not appointed by the Issuer within 120 days, (ii) the Issuer, at its option and
subject to the procedures of DTC, notifies the Trustee in writing that it elects to cause the
issuance of Definitive Notes, (iii) upon the request of a Holder if there shall have occurred and
be continuing a Default or Event of Default or (iv) upon the request of DTC in accordance with
customary DTC procedures. Upon the occurrence of any of the preceding events in clause (i) above,
Definitive Notes delivered in exchange for any Global Note or beneficial interests therein shall be
registered in the names, and issued in any approved denominations, requested by or on behalf of the
Depositary (in accordance with its customary procedures). Global Notes also may be exchanged or
replaced, in whole or in part, as provided in Sections 2.07 and 2.10 hereof. Every Note
authenticated and delivered in exchange for, or in lieu of, a Global Note or any portion thereof,
pursuant to this Section 2.06 or Section 2.07 or 2.10 hereof, shall be authenticated and delivered
in the form of, and shall be, a Global Note, except for Definitive Notes issued subsequent to any
of the preceding events in clause (i), (ii), (iii) or (iv) above and pursuant to Section 2.06(c)
hereof. A Global Note may not be exchanged for another Note other than as provided in this Section
2.06(a); provided, however, beneficial interests in a Global Note may be transferred and exchanged
as provided in Section 2.06(b), (c) or (f) hereof.

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

(i) Transfer of Beneficial Interests in the Same Global Note. Beneficial interests in
any Restricted Global Note may be transferred to Persons who take delivery thereof in the
form of a beneficial interest in the same Restricted Global Note in accordance with the
transfer restrictions set forth in the Private Placement Legend. Beneficial interests in
any Unrestricted Global Note may be transferred to Persons who take delivery thereof in the
form of a beneficial interest in an Unrestricted Global Note. No written orders or
instructions shall be required to be delivered to the Registrar to effect the transfers
described in this Section 2.06(b)(i).

(ii) All Other Transfers and Exchanges of Beneficial Interests in Global Notes. In
connection with all transfers and exchanges of beneficial interests that are not subject to
Section 2.06(b)(i) hereof, the transferor of such beneficial interest must deliver to the
Registrar either (A) (1) a written order from a Participant or an Indirect Participant given
to the Depositary in accordance with the Applicable Procedures directing the Depositary to
credit or cause to be credited a beneficial interest in another Global Note in an amount
equal to the beneficial interest to be transferred or exchanged and (2) instructions given
in accordance with the Applicable Procedures containing information regarding the
Participant account to be credited with such increase or (B) (1) a written order from a
Participant or an Indirect Participant given to the Depositary in accordance with the
Applicable Procedures directing the Depositary to cause to be issued a Definitive Note in an
amount equal to the beneficial interest to be transferred or exchanged and (2) instructions
given by the Depositary to the Registrar containing information regarding the Person in
whose name such Definitive Note shall be registered to effect the transfer or exchange
referred to in (1) above. Upon

 

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

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

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

(B) if the transferee shall take delivery in the form of a beneficial interest
in a Regulation S Global Note, then the transferor must deliver a certificate in the
form of Exhibit B hereto, including the certifications in item (2) thereof.

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

(A) such exchange or transfer is effected pursuant to an Exchange Offer in
accordance with the Registration Rights Agreement and the holder of the beneficial
interest to be transferred, in the case of an exchange, or the transferee, in the
case of a transfer, certifies in the applicable Letter of Transmittal that it is not
(1) a Participating Broker-Dealer, (2) a Person participating in the distribution of
the Exchange Notes or (3) a Person who is an affiliate (as defined in Rule 144) of
the Issuer;

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

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

(D) the Registrar receives the following:

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

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

 

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

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

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

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

(i) Beneficial Interests in Restricted Global Notes to Restricted Definitive Notes. If any
holder of a beneficial interest in a Restricted Global Note proposes to exchange such beneficial
interest for a Restricted Definitive Note or to transfer such beneficial interest to a Person who
takes delivery thereof in the form of a Restricted Definitive Note, then, upon the occurrence of
any of the events in the second sentence of Section 2.06(a) hereof and receipt by the Registrar of
the following documentation:

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

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

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

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

(E) if such beneficial interest is being transferred to the Issuer or any of its
Subsidiaries, a certificate substantially in the form of Exhibit B hereto, including
the certifications in item (3)(b) thereof; or

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

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

 

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(ii) [Reserved]

(iii) Beneficial Interests in Restricted Global Notes to Unrestricted Definitive Notes. A
holder of a beneficial interest in a Restricted Global Note may exchange such beneficial interest
for an Unrestricted Definitive Note or may transfer such beneficial interest to a Person who takes
delivery thereof in the form of an Unrestricted Definitive Note only upon the occurrence of any of
the events in the second sentence of Section 2.06(a) hereof and if:

(A) such exchange or transfer is effected pursuant to an Exchange Offer in accordance
with the applicable Registration Rights Agreement and the holder of such beneficial
interest, in the case of an exchange, or the transferee, in the case of a transfer,
certifies in the applicable Letter of Transmittal that it is not (1) a Participating
Broker-Dealer, (2) a Person participating in the distribution of the Exchange Notes or (3) a
Person who is an affiliate (as defined in Rule 144) of the Issuer;

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

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

(D) the Registrar receives the following:

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

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

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

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

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

 

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

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

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

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

(E) if such Restricted Definitive Note is being transferred to the Issuer or any of its
Subsidiaries, a certificate substantially in the form of Exhibit B hereto, including
the certifications in item (3)(b) thereof; or

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

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

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

(A) such exchange or transfer is effected pursuant to an Exchange Offer in accordance
with the applicable Registration Rights Agreement and the Holder, in the case of an
exchange, or the transferee, in the case of a transfer, certifies in the applicable Letter
of Transmittal that it is not (1) a Participating Broker-Dealer, (2) a Person participating
in the distribution of the Exchange Notes or (3) a Person who is an affiliate (as defined in
Rule 144) of the Issuer;

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

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

(D) the Registrar receives the following:

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

 

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

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

Upon satisfaction of the conditions of this Section 2.06(d)(ii), the Trustee shall cancel the
Restricted Definitive Note and increase or cause to be increased the aggregate principal amount of
the Unrestricted Global Note.

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

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

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

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

(A) if the transfer shall be made to a QIB in accordance with Rule 144A, then
the transferor must deliver a certificate substantially in the form of Exhibit B
hereto, including the certifications in item (1) thereof;

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

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

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

 

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(A) such exchange or transfer is effected pursuant to an Exchange Offer in
accordance with the applicable Registration Rights Agreement;

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

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

(D) the Registrar receives the following:

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

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

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

(f) Exchange Offer. Upon the occurrence of an Exchange Offer in accordance with the
applicable Registration Rights Agreement, the Issuer shall issue and, upon receipt of an
Authentication Order in accordance with Section 2.02 hereof, the Trustee shall authenticate (i) one
or more Unrestricted Global Notes in an aggregate principal amount equal to the principal amount of
the beneficial interests in the Restricted Global Notes tendered for acceptance by Persons that
certify in the applicable Letters of Transmittal or in an Agent’s Message that (x) they are not
Participating Broker-Dealers, (y) they are not participating in a distribution of the Exchange
Notes and (z) they are not affiliates (as defined in Rule 144) of the Issuer, and accepted for
exchange in an Exchange Offer and (ii) Unrestricted Definitive Notes in an aggregate principal
amount equal to the principal amount of the Restricted Definitive Notes tendered for acceptance by
Persons that certify in the applicable Letters of Transmittal that (x) they are not Participating
Broker-Dealers, (y) they are not participating in a distribution of the Exchange Notes and (z) they
are not affiliates (as defined in Rule 144) of the Issuer, and accepted for exchange in an Exchange
Offer. Concurrently with the issuance of such Notes, the Trustee shall cause the aggregate
principal amount of the applicable Restricted Global Notes to be reduced accordingly, and the
Issuer shall execute and the Trustee shall authenticate and mail to the Persons designated by the
Holders of Definitive Notes so accepted Unrestricted Definitive Notes in the applicable principal
amount. Any Notes that remain outstanding after the consummation of an Exchange Offer, and
Exchange Notes issued in connection with such Exchange Offer, shall be treated as a single class of
securities under this Indenture.

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

(i) Private Placement Legend.

 

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

“THE NOTES EVIDENCED HEREBY HAVE NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT
OF 1933 (THE “SECURITIES ACT”) AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
TRANSFERRED EXCEPT (A)(1) TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A
QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES
ACT PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL
BUYER IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (2) IN AN OFFSHORE
TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE
SECURITIES ACT, (3) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES
ACT PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE), (4) TO AN INSTITUTIONAL
ACCREDITED INVESTOR IN A TRANSACTION EXEMPT FROM THE REGISTRATION REQUIREMENTS OF
THE SECURITIES ACT OR (5) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE
SECURITIES ACT AND (B) IN ACCORDANCE WITH ALL APPLICABLE BLUE SKY LAWS OF THE
STATES OF THE UNITED STATES, AND ANY SELLER AGREES THAT IT WILL DELIVER TO EACH
PERSON TO WHOM THIS NOTE OR AN INTEREST HEREIN IS TRANSFERRED A NOTICE
SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. NO AFFILIATE (WITHIN THE MEANING OF
RULE 144 UNDER THE SECURITIES ACT) OF THE COMPANY MAY PURCHASE OR OTHERWISE ACQUIRE
THE NOTES.”

(B) Notwithstanding the foregoing, any Global Note or Definitive Note issued pursuant
to subparagraph (b)(iv), (c)(iii), (c)(iv), (d)(ii), (d)(iii), (e)(ii), (e)(iii) or (f) of
this Section 2.06 (and all Notes issued in exchange therefor or substitution thereof) shall
not bear the Private Placement Legend.

(ii) Global Note Legend. Each Global Note shall bear a legend in substantially the
following form (with appropriate changes in the last sentence if DTC is not the Depositary):

“THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING
THIS NOTE) OR ITS NOMINEE IN CUSTODY FOR THE BENEFIT OF THE BENEFICIAL OWNERS
HEREOF, AND IS NOT TRANSFERABLE TO ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT
(I) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS MAY BE REQUIRED PURSUANT TO
SECTION 2.06(h) OF THE INDENTURE, (II) THIS GLOBAL NOTE MAY BE EXCHANGED IN WHOLE
BUT NOT IN PART PURSUANT TO SECTION 2.06(a) OF THE INDENTURE, (III) THIS GLOBAL NOTE
MAY BE DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION 2.11 OF THE
INDENTURE AND (IV) THIS GLOBAL NOTE MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITARY
WITH THE PRIOR WRITTEN CONSENT OF THE ISSUER. UNLESS AND UNTIL IT IS EXCHANGED IN
WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY NOT BE TRANSFERRED
EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE
OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE
DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH
SUCCESSOR DEPOSITARY. UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK)
(“DTC”) TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH
OTHER NAME AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR
VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER
HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.”

 

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

(i) General Provisions Relating to Transfers and Exchanges.

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

(ii) No service charge shall be made to a holder of a beneficial interest in a Global Note or
to a Holder of a Definitive Note for any registration of transfer or exchange, but the Issuer may
require payment of a sum sufficient to cover any transfer tax or similar governmental charge
payable in connection therewith (other than any such transfer taxes or similar governmental charge
payable upon exchange or transfer pursuant to Sections 2.07, 2.10, 3.06, 3.09, 4.10, 4.14, and 9.05
hereof).

(iii) The Issuer shall not be required (A) to issue, to register the transfer of or to
exchange any Notes during a period beginning at the opening of business 15 days before the day of
any selection of Notes for redemption under Section 3.02 hereof and ending at the close of business
on the day of selection or (B) to register the transfer of or to exchange a Note between a Record
Date with respect to such Note and the next succeeding Interest Payment Date with respect to such
Note.

(iv) Neither the Registrar nor the Issuer shall be required to register the transfer of or
exchange any Note selected for redemption in whole or in part, except the unredeemed portion of any
Note being redeemed in part.

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

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

(vii) Upon surrender for registration of transfer of any Note at the office or agency of the
Issuer designated pursuant to Section 4.02 hereof, the Issuer shall execute, and the Trustee shall
authenticate and mail, in the name of the designated transferee or transferees, one or more
replacement Notes of any authorized denomination or denominations of a like aggregate principal
amount.

(viii) At the option of the Holder, Notes may be exchanged for other Notes of any authorized
denomination or denominations of a like aggregate principal amount upon surrender of the Notes to
be exchanged at such office or agency. Whenever any Global Notes or Definitive Notes are so
surrendered for exchange, the Issuer shall
execute, and the Trustee shall authenticate and mail, the replacement Global Notes and
Definitive Notes which the Holder making the exchange is entitled to receive in accordance with the
provisions of Section 2.02 hereof.

 

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

Section 2.07 Replacement Note. If any mutilated Note is surrendered to the Trustee, the
Registrar or the Issuer, or the Trustee receives evidence to its satisfaction of the ownership and
destruction, loss or theft of any Note, the Issuer shall issue and the Trustee, upon receipt of an
Authentication Order, shall authenticate a replacement Note if the Trustee’s requirements are met.
If required by the Trustee or the Issuer, an indemnity bond must be supplied by the Holder that is
sufficient in the judgment of (i) the Trustee to protect the Trustee and (ii) the Issuer to protect
the Issuer, the Trustee, any Agent and any authenticating agent, from any loss that any of them may
suffer if a Note is replaced. The Issuer and the Trustee may charge the Holder for their expenses
in replacing a Note.

Every replacement Note is a contractual obligation of the Issuer and shall be entitled to all
of the benefits of this Indenture equally and proportionately with all other Notes duly issued
hereunder.

Section 2.08 Outstanding Notes. The Notes outstanding at any time are all the Notes
authenticated by the Trustee except for those cancelled by it, those delivered to it for
cancellation, those reductions in the interest in a Global Note effected by the Trustee in
accordance with the provisions hereof and those described in this Section 2.08 as not outstanding.
Except as set forth in Section 2.09 hereof, a Note does not cease to be outstanding because the
Issuer or a Guarantor or an Affiliate of the Issuer or a Guarantor holds the Note.

If a Note is replaced pursuant to Section 2.07 hereof, it ceases to be outstanding unless the
Trustee receives proof satisfactory to it that the replaced Note is held by a protected purchaser
(as defined in Section 8-303 of the Uniform Commercial Code).

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

If the Paying Agent (other than the Issuer or a Guarantor or an Affiliate of the Issuer or a
Guarantor) holds, on a Redemption Date or maturity date, money sufficient to pay Notes (or portions
thereof) payable on that date, then on and after that date such Notes (or portions thereof) shall
be deemed to be no longer outstanding and shall cease to accrue interest.

Section 2.09 Treasury Notes. In determining whether the Holders of the required principal
amount of Notes have concurred in any direction, waiver or consent, Notes owned by the Issuer or by
any Affiliate of the Issuer, shall be considered as though not outstanding, except that for the
purposes of determining whether the Trustee shall be protected in relying on any such direction,
waiver or consent, only Notes that a Responsible Officer of the Trustee knows are so owned shall be
so disregarded. Notes so owned which have been pledged in good faith shall not be disregarded if
the pledgee establishes to the satisfaction of the Trustee the pledgee’s right to deliver any such
direction, waiver or consent with respect to the Notes and that the pledgee is not the Issuer or a
Guarantor or any Affiliate of the Issuer or a Guarantor.

Section 2.10 Temporary Notes. Until certificates representing Notes are ready for delivery,
the Issuer may prepare and the Trustee, upon receipt of an Authentication Order, shall authenticate
temporary Notes. Temporary Notes shall be substantially in the form of certificated Notes but may
have variations that the Issuer considers appropriate for temporary Notes and as shall be
reasonably acceptable to the Trustee. Without unreasonable delay, the Issuer shall prepare and the
Trustee shall authenticate definitive Notes in exchange for temporary Notes.

Holders and beneficial holders, as the case may be, of temporary Notes shall be entitled to
all of the benefits accorded to Holders, or beneficial holders, respectively, of Notes under this
Indenture.

 

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Section 2.11 Cancellation. The Issuer at any time may deliver Notes to the Trustee for
cancellation. The Registrar and Paying Agent shall forward to the Trustee any Notes surrendered to
them for registration of transfer, exchange or payment. The Trustee or, at the direction of the Trustee, the Registrar or
the Paying Agent and no-one else shall cancel all Notes surrendered for registration of transfer,
exchange, payment, replacement or cancellation and shall dispose of such cancelled Notes in its
customary manner (subject to the record retention requirement of the Exchange Act and the Trustee).
Certification of the cancellation of all cancelled Notes shall be delivered to the Issuer upon its
written request therefor. The Issuer may not issue new Notes to replace Notes that it has paid or
that have been delivered to the Trustee for cancellation.

Section 2.12 Defaulted Interest. If the Issuer defaults in a payment of interest on the
Notes, it shall pay the defaulted interest in any lawful manner plus, to the extent lawful,
interest payable on the defaulted interest, in each case at the rate provided in the Notes and in
Section 4.01 hereof. The Issuer may pay the defaulted interest to the Persons who are Holders on a
subsequent special record date. The Issuer shall promptly notify the Trustee in writing of the
amount of defaulted interest proposed to be paid on each Note and the date of the proposed payment,
and the Issuer shall deposit with the Trustee an amount of money equal to the aggregate amount
proposed to be paid in respect of such defaulted interest or shall make arrangements satisfactory
to the Trustee for such deposit prior to the date of the proposed payment, such money when
deposited to be held in trust for the benefit of the Persons entitled to such defaulted interest as
provided in this Section 2.12. The Trustee shall fix or cause to be fixed any such special record
date and payment date; provided that no such special record date shall be less than 10 days prior
to the related payment date for such defaulted interest. The Trustee shall promptly notify the
Issuer of any such special record date. At least 15 days before any such special record date, the
Issuer (or, upon the written request of the Issuer, the Trustee in the name and at the expense of
the Issuer) shall mail or cause to be mailed, first-class, postage prepaid, to each Holder, with a
copy to the Trustee, a notice at his or her address as it appears in the Note Register that states
the special record date, the related payment date and the amount of such interest to be paid.

Subject to the foregoing provisions of this Section 2.12 and for greater certainty, each Note
delivered under this Indenture upon registration of transfer of or in exchange for or in lieu of
any other Note shall carry the rights to interest accrued and unpaid, which were carried by such
other Note.

Section 2.13 CUSIP/ISIN Numbers. The Issuer in issuing the Notes may use CUSIP and ISIN
numbers (in each case, if then generally in use) and, if so, the Trustee shall use CUSIP and ISIN
numbers in notices of redemption as a convenience to Holders; provided that any such notice may
state that no representation is made as to the correctness of such numbers either as printed on the
Notes or as contained in any notice of redemption and that reliance may be placed only on the other
identification numbers printed on the Notes, and any such redemption shall not be affected by any
defect in or omission of such numbers. The Issuer shall as promptly as practicable notify the
Trustee in writing of any change in the CUSIP and ISIN numbers.

ARTICLE 3

REDEMPTION

Section 3.01 Notices to Trustee. If the Issuer elects to redeem Notes pursuant to Section
3.07 hereof, it shall furnish to the Trustee, at least five Business Days before notice of
redemption is required to be mailed or cause to be mailed to Holders pursuant to Section 3.03
hereof (or such shorter time as agreed to by the Trustee) but not more than 60 days before the date
of redemption (the “Redemption Date”), an Officer’s Certificate setting forth (i) the paragraph or
subparagraph of such Note and/or Section of this Indenture pursuant to which the redemption shall
occur, (ii) the Redemption Date, (iii) the principal amount of the Notes to be redeemed and (iv)
the redemption price. This notice may be revoked prior to the date notice is mailed to the
Holders.

Section 3.02 Selection of Notes to Be Redeemed. If less than all of the Notes are to be
redeemed in an offer to purchase at any time, the Trustee shall select the Notes to be redeemed (a)
if the Notes are listed on an exchange, in compliance with the requirements of such exchange, or
(b) on a pro rata basis to the extent practicable, or, if the pro rata basis is not practicable for
any reason, by lot or by such other method the Trustee shall deem appropriate, in each case in
integral multiples of $1,000 provided that no Notes of less than $2,000 shall be redeemed in part.
In the event of partial redemption by lot, the particular Notes to be redeemed shall be selected,
unless otherwise provided herein, not less than 30 nor more than 60 days prior to the Redemption
Date by the Trustee from the outstanding Notes not previously called for redemption.

 

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The Trustee shall promptly notify the Issuer in writing of the Notes selected for redemption
and, in the case of any Note selected for partial redemption, the principal amount thereof to be
redeemed. No Notes of $2,000 or less can be redeemed or purchased in part, except that if all of
the Notes of a Holder are to be redeemed, the entire outstanding amount of Notes held by such
Holder shall be redeemed. Except as provided in the preceding sentence, provisions of this
Indenture that apply to Notes called for redemption also apply to portions of Notes called for
redemption.

Section 3.03 Notice of Redemption. Subject to Section 3.09 hereof, the Issuer shall deliver
electronically or mail or caused to be mailed by first-class mail, postage prepaid, notices of
redemption at least 30 days but not more than 60 days before the Redemption Date to each Holder of
Notes to be redeemed at such Holder’s registered address or otherwise in accordance with Applicable
Procedures, except that redemption notices may be delivered electronically or mailed more than 60
days prior to a Redemption Date if the notice is issued in connection with Article 8 or Article 11
hereof. Except as set forth in Section 3.07 hereof, notices of redemption may not be conditional.

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

(a) the Redemption Date;

(b) the redemption price;

(c) if any Definitive Note is to be redeemed in part only, the portion of the principal
amount of that Note that is to be redeemed and that, after the Redemption Date upon
surrender of such Note, a new Note or Notes in principal amount equal to the unredeemed
portion of the original Note representing the same indebtedness to the extent not redeemed
shall be issued in the name of the Holder upon cancellation of the original Note;

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

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

(f) that, unless the Issuer defaults in making such redemption payment, interest on
Notes called for redemption ceases to accrue on and after the Redemption Date;

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

(h) the CUSIP and ISIN number, if any, printed on the Notes being redeemed and that no
representation is made as to the correctness or accuracy of any such CUSIP and ISIN number
that is listed in such notice or printed on the Notes; and

(i) if in connection with a redemption pursuant to Section 3.07 hereof, any condition
to such redemption.

At the Issuer’s request, the Trustee shall give the notice of redemption in the Issuer’s name
and at its expense; provided that the Issuer shall have delivered to the Trustee, at least five
Business Days before notice of redemption is required to be mailed or caused to be mailed to
Holders pursuant to this Section 3.03 (unless a shorter notice shall be agreed to by the Trustee),
an Officer’s Certificate requesting that the Trustee give such notice and setting forth the
information to be stated in such notice as provided in the preceding paragraph.

If the Notes are listed on an exchange (and the Trustee has been informed of such listing in
writing), and the rules of such exchange so require, the Issuer shall notify the exchange of any
such redemption and, if applicable, of the principal amount of any Notes outstanding following any
partial redemption of Notes.

 

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Section 3.04 Effect of Notice of Redemption. Once notice of redemption is mailed in
accordance with Section 3.03 hereof, Notes called for redemption become irrevocably due and payable
on the Redemption Date, unless such redemption is conditioned on the happening of a future event,
at the redemption price. The notice, if mailed in a manner herein provided, shall be conclusively
presumed to have been given, whether or not the Holder receives such notice. In any case, failure
to deliver such notice or any defect in the notice to the Holder of any Note designated for
redemption in whole or in part shall not affect the validity of the proceedings for the redemption
of any other Note. Subject to Section 3.05 hereof, on and after the Redemption Date, interest
ceases to accrue on Notes or portions of Notes called for redemption.

Section 3.05 Deposit of Redemption Price.

(a) Prior to 11:00 a.m. (New York City time) on the Redemption Date, the Issuer shall deposit
with the Trustee or with the Paying Agent money sufficient to pay the redemption price of and
accrued and unpaid interest on all Notes to be redeemed on that Redemption Date. The Trustee or
the Paying Agent shall promptly return to the Issuer any money deposited with the Trustee or the
Paying Agent by the Issuer in excess of the amounts necessary to pay the redemption price of, and
accrued and unpaid interest on, all Notes to be redeemed.

(b) If the Issuer complies with the provisions of the preceding paragraph (a), on and after
the Redemption Date, interest shall cease to accrue on the Notes or the portions of Notes called
for redemption. If a Note is redeemed on or after a Record Date but on or prior to the related
Interest Payment Date, then any accrued and unpaid interest to the Redemption Date shall be paid to
the Person in whose name such Note was registered at the close of business on such Record Date. If
any Note called for redemption shall not be so paid upon surrender for redemption because of the
failure of the Issuer to comply with the preceding paragraph, interest shall be paid on the unpaid
principal, from the Redemption Date until such principal is paid, and to the extent lawful on any
interest accrued to the Redemption Date not paid on such unpaid principal, in each case at the rate
provided in the Notes and in Section 4.01 hereof.

Section 3.06 Notes Redeemed in Part. Upon surrender of a Definitive Note that is redeemed in
part, the Issuer shall issue and the Trustee shall authenticate for the Holder at the expense of
the Issuer a new Note equal in principal amount to the unredeemed portion of the Note surrendered
representing the same indebtedness to the extent not redeemed; provided that each new Note shall be
in a principal amount of $2,000 and any integral multiple of $1,000 in excess of $2,000. It is
understood that, notwithstanding anything to the contrary in this Indenture, only an Authentication
Order and not an Opinion of Counsel or Officer’s Certificate is required for the Trustee to
authenticate such new Note.

Section 3.07 Optional Redemption.

(a) At any time prior to February 15, 2014, the Issuer may redeem all or a part of the Notes
upon notice in accordance with Sections 3.02 and 3.03 hereof, at a redemption price equal to 100.0%
of the principal amount of the Notes redeemed plus the Applicable Premium as of, plus accrued and
unpaid interest, if any, to, but excluding the Redemption Date, subject to the right of Holders of
record on the relevant Record Date to receive interest due on the relevant Interest Payment Date.

(b) On or after February 15, 2014, the Issuer may redeem the Notes, in whole or in part, upon
notice in accordance with Sections 3.02 and 3.03 hereof, at the redemption prices (expressed as
percentages of principal amount of the Notes to be redeemed) set forth below, plus accrued and
unpaid interest, if any, to, but excluding the Redemption Date, subject to the right of Holders of
record on the relevant Record Date to receive interest due on the relevant Interest Payment Date,
if redeemed during the twelve-month period beginning on February 15 of each of the years indicated
below:

	 	 	 	 	 
	Year	 	Percentage	 
	2014 
	 	 	104.875	%
	2015 
	 	 	102.438	%
	2016 and thereafter 
	 	 	100.000	%

 

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(c) Until February 15, 2014, the Issuer may, at its option, on one or more occasions, redeem
up to 35.0% of the aggregate principal amount of Notes issued under this Indenture at a redemption
price equal to 109.750% of the aggregate principal amount thereof, plus accrued and unpaid interest
and Additional Interest, if any, to, but excluding the Redemption Date, subject to the right of
Holders of record on the relevant Record Date to receive interest due on the relevant Interest
Payment Date, with the net cash proceeds received by the Issuer from one or more Equity Offerings
to the extent that such net cash proceeds are received by or contributed to the Issuer; provided
that (i) at least 65.0% of the sum of the aggregate principal amount of the Notes originally issued
under this Indenture on the Issue Date and any Additional Notes issued under this Indenture after
the Issue Date remains outstanding immediately after the occurrence of each such redemption
(excluding Notes held by the Issuer or any of its Subsidiaries); and (ii) each such redemption
occurs within 90 days of the date of closing of each such Equity Offering.

(d) At any time and from time to time prior to February 15, 2014, the Issuer may redeem, up to
10% of the aggregate principal amount of the Notes (including Additional Notes, if any) that have
been issued under this Indenture at a redemption price of 103% of the principal amount thereof,
plus accrued and unpaid interest, if any, to the Redemption Date; provided that in no event may the
Issuer redeem more than 10% of the original aggregate principal amount of the Notes in any
twelve-month period.

(e) Any redemption or notice of redemption pursuant to this Section 3.07 may, at the Issuer’s
discretion, be subject to one or more conditions precedent, including, but not limited to, an
Equity Offering, other offering or other corporate transaction or event. Notice of any redemption
in respect of an Equity Offering may be given prior to the completion thereof.

(f) Except pursuant to clause (a), (c) or (d) of this Section 3.07, the Notes shall not be
redeemable at the Issuer’s option prior to February 15, 2014.

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

Section 3.08 Mandatory Redemption. The Issuer shall not be required to make any mandatory
redemption or sinking fund payments with respect to the Notes.

Section 3.09 Offers to Repurchase by Application of Excess Proceeds.

(a) In the event that, pursuant to Section 4.10 hereof, the Issuer shall be required to
commence an Asset Sale Offer, it shall follow the procedures specified below.

(b) The Asset Sale Offer shall remain open for a period of 20 Business Days following its
commencement and no longer, except to the extent that a longer period is required by applicable law
(the “Offer Period”). No later than five Business Days after the termination of the Offer Period
(the “Purchase Date”), the Issuer shall apply all Excess Proceeds (the “Offer Amount”) to the
purchase of Notes and, if required, Pari Passu Indebtedness (on a pro rata basis, if applicable),
or, if less than the Offer Amount has been tendered, all Notes and Pari Passu Indebtedness tendered
in response to the Asset Sale Offer. Payment for any Notes so purchased shall be made in the same
manner as interest payments are made.

(c) If the Purchase Date is on or after a Record Date and on or before the related Interest
Payment Date, any accrued and unpaid interest, up to but excluding the Purchase Date, shall be paid
to the Person in whose name a Note is registered at the close of business on such Record Date, and
no additional interest shall be payable to Holders who tender Notes pursuant to the Asset Sale
Offer.

(d) Upon the commencement of an Asset Sale Offer, the Issuer shall deliver electronically or
send, by first-class mail a notice to each of the Holders, with a copy to the Trustee. The notice
shall contain all instructions and materials necessary to enable such Holders to tender Notes
pursuant to the Asset Sale Offer. The Asset Sale Offer shall be made to all Holders and holders of
such Pari Passu Indebtedness. The notice, which shall govern the terms of the Asset Sale Offer,
shall state:

 

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(i) that the Asset Sale Offer is being made pursuant to this Section 3.09 and Section
4.10 hereof and the length of time the Asset Sale Offer shall remain open;

(ii) the Offer Amount, the purchase price and the Purchase Date;

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

(iv) that, unless the Issuer defaults in making such payment, any Note accepted for
payment pursuant to the Asset Sale Offer shall cease to accrue interest on and after the
Purchase Date;

(v) that any Holder electing to have less than all of the aggregate principal amount of
its Notes purchased pursuant to an Asset Sale Offer may elect to have Notes purchased in an
amount not less than $2,000 and integral multiples of $1,000 in excess thereof;

(vi) that Holders electing to have a Note purchased pursuant to any Asset Sale Offer
shall be required to surrender the Note, with the form entitled “Option of Holder to Elect
Purchase” attached to the Note completed, or transfer by book-entry transfer, to the Issuer,
the Depositary, if appointed by the Issuer, or a Paying Agent at the address specified in
the notice at least two Business Days before the Purchase Date;

(vii) that Holders shall be entitled to withdraw their election if the Issuer or the
Paying Agent, as the case may be, receives, not later than the close of business two
Business Days before the Purchase Date, a facsimile transmission or letter setting forth the
name of the Holder, the principal amount of the Note the Holder delivered for purchase and a
statement that such Holder is withdrawing his election to have such Note purchased;

(viii) that, if the aggregate principal amount of Notes and Pari Passu Indebtedness
surrendered by the holders thereof exceeds the Offer Amount, the Trustee shall select the
Notes and the Issuer shall select such Pari Passu Indebtedness to be purchased on a pro rata
basis based on the accreted value or principal amount of the Notes or such Pari Passu
Indebtedness tendered (with such adjustments as may be deemed appropriate by the Trustee so
that only Notes in an amount not less than $2,000 and integral multiples of $1,000 in excess
thereof are purchased); and

(ix) that Holders whose certificated Notes were purchased only in part shall be issued
new Notes equal in principal amount to the unpurchased portion of the Notes surrendered (or
transferred by book-entry transfer) representing the same indebtedness to the extent not
repurchased.

(e) On or before the Purchase Date, the Issuer shall, to the extent lawful, (1) accept for
payment, on a pro rata basis as described in clause (d)(viii) of this Section 3.09, the Offer
Amount of Notes or portions thereof validly tendered pursuant to the Asset Sale Offer, or if less
than the Offer Amount has been tendered, all Notes tendered and (2) deliver or cause to be
delivered to the Trustee the Notes properly accepted, together with an Officer’s Certificate
stating the aggregate principal amount of Notes or portions thereof so tendered.

(f) The Issuer, the Depositary or the Paying Agent, as the case may be, shall promptly mail or
deliver to each tendering Holder an amount equal to the purchase price of the Notes properly
tendered by such Holder and accepted by the Issuer for purchase, and the Issuer shall promptly
issue a new Note, and the Trustee, upon receipt of an Authentication Order, shall authenticate and
mail or deliver (or cause to be transferred by book-entry) such new Note to such Holder (it being
understood that, notwithstanding anything in this Indenture to the contrary, no Opinion of Counsel
or Officer’s Certificate is required for the Trustee to authenticate and mail or deliver such new
Note) in a principal amount equal to any unpurchased portion of the Note surrendered representing
the same indebtedness to the extent not repurchased. Any Note not so accepted shall be promptly
mailed or delivered by the Issuer to the Holder thereof. The Issuer shall publicly announce the
results of the Asset Sale Offer on or as soon as practicable after the Purchase Date.

 

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(g) Prior to 11:00 a.m. (New York City time) on the Purchase Date, the Issuer shall deposit
with the Trustee or with the Paying Agent money sufficient to pay the purchase price of and accrued
and unpaid interest on all Notes to be purchased on that Purchase Date. The Trustee or the Paying
Agent shall promptly return to the Issuer any money deposited with the Trustee or the Paying Agent
by the Issuer in excess of the amounts necessary to pay the purchase price of, and accrued and
unpaid interest on, all Notes to be purchased.

Other than as specifically provided in this Section 3.09 or Section 4.10 hereof, any purchase
pursuant to this Section 3.09 shall be made pursuant to the applicable provisions of Sections 3.01
through 3.06 hereof, and references therein to “redeem,” “redemption” and similar words shall be
deemed to refer to “purchase,” “repurchase” and similar words, as applicable.

ARTICLE 4

COVENANTS

Section 4.01 Payment of Notes. The Issuer shall pay or cause to be paid the principal of,
premium, if any, and interest on the Notes on the dates and in the manner provided in the Notes.
Principal, premium, if any, and interest shall be considered paid on the date due if the Paying
Agent, if other than the Issuer or a Guarantor or an Affiliate of the Issuer or a Guarantor, holds
as of 11:00 a.m. New York City time on the due date money deposited by the Issuer in immediately
available funds and designated for and sufficient to pay all principal, premium, if any, and
interest then due.

The Issuer shall pay all Additional Interest, if any, in the same manner on the dates and in
the amounts set forth in the applicable Registration Rights Agreement.

The Issuer shall pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue principal at the rate equal to the then applicable interest rate on the
Notes to the extent lawful; the Issuer shall pay interest (including post-petition interest in any
proceeding under any Bankruptcy Law) on overdue installments of interest (without regard to any
applicable grace period) at the same rate to the extent lawful.

Section 4.02 Maintenance of Office or Agency. The Issuer shall maintain the offices or
agencies (which may be an office of the Trustee or an affiliate of the Trustee, Registrar or
co-registrar) required under Section 2.03 hereof where Notes may be surrendered for registration of
transfer or for exchange or presented for payment and where notices and demands to or upon the
Issuer in respect of the Notes and this Indenture may be served. The Issuer shall give prompt
written notice to the Trustee of the location, and any change in the location, of such office or
agency. If at any time the Issuer shall fail to maintain any such required office or agency or
shall fail to furnish the Trustee with the address thereof, such presentations, surrenders, notices
and demands may be made or served at the Corporate Trust Office.

The Issuer may also from time to time designate one or more other offices or agencies where
the Notes may be presented or surrendered for any or all such purposes and may from time to time
rescind such designations; provided that no such designation or rescission shall in any manner
relieve the Issuer of its obligation to maintain such offices or agencies as required by Section
2.03 hereof for such purposes. The Issuer shall give prompt written notice to the Trustee of any
such designation or rescission and of any change in the location of any such other office or
agency.

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

Section 4.03 Reports and Other Information.

(a) Notwithstanding that the Issuer may not be subject to the reporting requirements of
Section 13 or 15(d) of the Exchange Act or otherwise report on an annual and quarterly basis on
forms provided for such annual and quarterly reporting pursuant to rules and regulations
promulgated by the SEC, the Issuer shall file with the SEC
(and deliver to the Trustee and Holders (without exhibits), without costs to any Holder,
within 15 days after it files them with the SEC) from and after the Issue Date,

 

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(i) within 90 days after the end of each fiscal year, annual reports on Form 10-K, or
any successor or comparable form, containing the information required to be contained
therein, or required in such successor or comparable form;

(ii) within 45 days after the end of each of the first three fiscal quarters of each
fiscal year, reports on Form 10-Q containing all quarterly information that would be
required to be contained in Form 10-Q, or any successor or comparable form; and

(iii) promptly from time to time after the occurrence of an event required to be
therein reported, such other reports on Form 8-K, or any successor or comparable form, in
each case, in a manner that complies in all material respects with the requirements
specified in such form; provided that the Issuer shall not be so obligated to file such
reports with the SEC (i) if the SEC does not permit such filing or (ii) prior to
consummation of the Exchange Offer or effectiveness of the Shelf Registration Statement with
respect to the Initial Notes, in which event the Issuer shall make available such
information to prospective purchasers of Notes, in addition to providing such information
(subject, in the case of required financial information, to exceptions consistent with the
presentation of financial information in the Offering Memorandum) to the Trustee and the
Holders, in each case within 15 days after the applicable time the Issuer would be required
to file such information with the SEC, pursuant to the immediately preceding sentence. To
the extent not satisfied by the foregoing, for so long as any Notes are outstanding, the
Issuer shall furnish to Holders and to securities analysts and prospective investors, upon
their request, the information required to be delivered pursuant to Rule 144A(d)(4) under
the Securities Act.

(b) The Issuer shall be permitted to satisfy its obligations under this Section 4.03 with
respect to financial information relating to the Issuer by furnishing financial information
relating to any parent entity of the Issuer so long as such parent entity of the Issuer provides a
Guarantee of the Notes; provided that the same is accompanied by consolidating information that
explains in reasonable detail the differences between the information relating to such parent
entity, on the one hand, and the information relating to the Issuer and its Restricted Subsidiaries
on a standalone basis, on the other hand.

(c) Notwithstanding the foregoing, the Issuer shall be deemed to have furnished such reports
referred to above to the Trustee and the Holders of the Notes if it has filed such report with the
SEC via the EDGAR filing system (or any successor thereto) and such reports are publicly available.

(d) Notwithstanding the foregoing, such requirements of this Section 4.03 shall be deemed
satisfied prior to the commencement of the Exchange Offer or the effectiveness of the Shelf
Registration Statement for the Initial Notes by (1) the filing with the SEC of the Exchange Offer
Registration Statement or the Shelf Registration Statement (or any other similar registration
statement), and any amendments thereto, with such financial information that satisfies Regulation
S-X of the Securities Act, subject to exceptions consistent with the presentation of financial
information in the Offering Memorandum, to the extent filed within the time specified above, or (2)
by posting on its website or providing to the Trustee by the applicable date the Issuer would be
required to file such information as specified above, the financial information (including a
“Management’s Discussion and Analysis of Financial Condition and Results of Operations” section)
that would be required to be included in such reports, subject to exceptions consistent with the
presentation of financial information in the Offering Memorandum, to the extent posted within the
times specified above.

Section 4.04 Compliance Certificate.

(a) The Issuer shall deliver to the Trustee, within 120 days after the end of each fiscal year
ending after the Issue Date (or 30 days after such later date as specified in Section 4.03(a)(i)),
a certificate from the principal executive officer, principal financial officer or principal
accounting officer stating that a review of the activities of the Issuer and its Restricted
Subsidiaries during the preceding fiscal year has been made under the supervision of the signing
Officer with a view to determining whether the Issuer and its Restricted Subsidiaries have kept,
observed, performed and fulfilled their obligations under this Indenture, and further stating, as
to such Officer signing such certificate, that to the best of his or her knowledge the Issuer and its Restricted
Subsidiaries have kept, observed, performed and fulfilled each and every condition and covenant
contained in this Indenture during such fiscal year and is not in default in the performance or
observance of any of the terms, provisions, covenants and conditions of this Indenture (or, if a
Default shall have occurred, describing all such Defaults of which he or she may have knowledge and
what action the Issuer is taking or proposes to take with respect thereto).

 

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(b) When any Default has occurred and is continuing under this Indenture, or if the Trustee or
the holder of any other evidence of Indebtedness of the Issuer or any Restricted Subsidiary gives
any notice or takes any other action with respect to a claimed Default, the Issuer shall promptly
(which shall be no more than five Business Days after becoming aware of such Default) deliver to
the Trustee by registered or certified mail or by facsimile transmission an Officer’s Certificate
specifying such event and what action the Issuer proposes to take with respect thereto.

Section 4.05 Taxes. The Issuer shall pay or discharge, and shall cause each of its Restricted
Subsidiaries to pay or discharge, prior to delinquency, all material taxes, assessments, and
governmental levies except such as are contested in good faith and by appropriate negotiations or
proceedings or where the failure to effect such payment or discharge is not adverse in any material
respect to the Holders.

Section 4.06 Stay, Extension and Usury Laws. The Issuer and each of the Guarantors covenant
(to the extent that they may lawfully do so) that they shall not at any time insist upon, plead, or
in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury
law wherever enacted, now or at any time hereafter in force, that may affect the covenants or the
performance of this Indenture and the Notes; and the Issuer and each of the Guarantors (to the
extent that they may lawfully do so) hereby expressly waive all benefit or advantage of any such
law, and (to the extent that they may lawfully do so) covenant that they shall not, by resort to
any such law, hinder, delay or impede the execution of any power herein granted to the Trustee, but
shall suffer and permit the execution of every such power as though no such law has been enacted.

Section 4.07 Limitation on Restricted Payments.

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

(i) declare or pay any dividend or make any payment or distribution on account of the
Issuer’s or any of its Restricted Subsidiaries’ Equity Interests, including any dividend or
distribution payable in connection with any merger, amalgamation or consolidation, other
than:

(A) dividends or distributions by the Issuer payable solely in Equity Interests
(other than Disqualified Stock) of the Issuer; or

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

(ii) purchase, redeem, defease or otherwise acquire or retire for value any Equity
Interests of the Issuer or any direct or indirect parent company of the Issuer, including in
connection with any merger, amalgamation or consolidation;

(iii) make any principal payment on, or redeem, repurchase, defease or otherwise
acquire or retire for value, in each case prior to any scheduled repayment, sinking fund
payment or maturity, any Subordinated Indebtedness, other than:

(A) Indebtedness permitted under clauses (vii) and (viii) of Section 4.09(b)
hereof; or

 

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(B) the purchase, repurchase or other acquisition of such Subordinated
Indebtedness purchased in anticipation of satisfying a sinking fund obligation,
principal installment or final maturity, in each case due within one year of the
date of purchase, repurchase or acquisition; or

(iv) make any Restricted Investment

(all such payments and other actions set forth in clauses (i) through (iv) above being collectively
referred to as “Restricted Payments”), unless, at the time of such Restricted Payment:

(A) no Default shall have occurred and be continuing or would occur as a consequence
thereof;

(B) immediately after giving effect to such transaction on a pro forma basis, the
Issuer could incur $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage
Ratio test set forth in Section 4.09(a) hereof (the “Fixed Charge Coverage Test”); and

(C) such Restricted Payment, together with the aggregate amount of all other Restricted
Payments made by the Issuer and its Restricted Subsidiaries after the Issue Date (including
Restricted Payments permitted by clauses (i), (ii) (with respect to the payment of dividends
on Refunding Capital Stock pursuant to clause (b) thereof only), (vi)(C) and (xi) of Section
4.07(b) hereof, but excluding all other Restricted Payments permitted by Section 4.07(b)
hereof), is less than the sum of (without duplication):

(1) 50% of the Consolidated Net Income of the Issuer for the period (taken as
one accounting period) from the beginning of the first fiscal quarter commencing
after the date of this Indenture to the end of the Issuer’s most recently ended
fiscal quarter for which internal financial statements are available at the time of
such Restricted Payment, or, in the case such Consolidated Net Income for such
period is a deficit, minus 100% of such deficit; plus

(2) 100% of the aggregate net cash proceeds and the fair market value of
marketable securities or other property received by the Issuer since immediately
after the Issue Date from the issue or sale of:

(i) (A) Equity Interests of the Issuer, including Treasury Capital
Stock, but excluding cash proceeds and the fair market value of marketable
securities or other property received from the sale of:

(x) Equity Interests to any future, present or former employees,
directors, officers, managers, distributors or consultants of the
Issuer, any direct or indirect parent company of the Issuer or any of
the Issuer’s Subsidiaries after the Issue Date to the extent such
amounts have been applied to Restricted Payments made in accordance
with clause (iv) of Section 4.07(b) hereof; and

(y) Designated Preferred Stock; and

(B) to the extent such net cash proceeds are actually contributed to
the Issuer, Equity Interests of any direct or indirect parent company of the
Issuer (excluding contributions of the proceeds from the sale of Designated
Preferred Stock of such company or contributions to the extent such amounts
have been applied to Restricted Payments made in accordance with clause (iv)
of Section 4.07(b) hereof); or

(ii) debt securities of the Issuer that have been converted into or
exchanged for such Equity Interests of the Issuer; provided that this clause
(B) shall not include the proceeds from (W) Refunding Capital Stock, (X)
Equity Interests or convertible debt securities of the Issuer sold to a Restricted Subsidiary, (Y) Disqualified
Stock or debt securities that have been converted into Disqualified Stock or
(Z) Excluded Contributions; plus

 

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(3) 100% of the aggregate amount of cash and the fair market value of
marketable securities or other property contributed to the capital of the Issuer
following the Issue Date (other than by a Restricted Subsidiary and other than any
Excluded Contributions); plus

(4) 100% of the aggregate amount received in cash and the fair market value of
marketable securities or other property received by means of:

(i) the sale or other disposition (other than to the Issuer or a
Restricted Subsidiary) of Restricted Investments made by the Issuer or its
Restricted Subsidiaries and repurchases and redemptions of such Restricted
Investments from the Issuer or its Restricted Subsidiaries (other than by
the Issuer or a Restricted Subsidiary) and repayments of loans or advances
which constitute Restricted Investments made by the Issuer or its Restricted
Subsidiaries, in each case after the Issue Date not to exceed the amount of
such Investments previously made in such Person; or

(ii) the sale (other than to the Issuer or a Restricted Subsidiary) of
the stock of an Unrestricted Subsidiary or a distribution from an
Unrestricted Subsidiary (other than, in each case, to the extent the
Investment in such Unrestricted Subsidiary was made by the Issuer or a
Restricted Subsidiary pursuant to clause s(ix) of Section 4.07(b) hereof or
to the extent such Investment constituted a Permitted Investment) or a
dividend from an Unrestricted Subsidiary after the Issue Date; plus

(5) in the case of the redesignation of an Unrestricted Subsidiary as a
Restricted Subsidiary after the Issue Date, the fair market value of the Investment
in such Unrestricted Subsidiary (which, if the fair market value of such Investment
shall exceed $10 million, shall be determined by the board of directors of the
Issuer whose resolution with respect thereto shall be delivered to the Trustee) at
the time of the redesignation of such Unrestricted Subsidiary as a Restricted
Subsidiary, other than to the extent the Investment in such Unrestricted Subsidiary
was made by the Issuer or a Restricted Subsidiary pursuant to clause (ix) of Section
4.07(b) hereof or to the extent such Investment constituted a Permitted Investment
and not to exceed the amount of such Investments previously made in such Person.

(b) The foregoing provisions of Section 4.07(a) hereof shall not prohibit:

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

(ii) (A) the redemption, repurchase, retirement or other acquisition of any Equity
Interests (“Treasury Capital Stock”) or Subordinated Indebtedness of the Issuer or any
Equity Interests of any direct or indirect parent company of the Issuer, in exchange for, or
out of the proceeds of the substantially concurrent sale (other than to a Restricted
Subsidiary) of, Equity Interests of the Issuer or any direct or indirect parent company of
the Issuer to the extent contributed to the Issuer (in each case, other than any
Disqualified Stock) (“Refunding Capital Stock”) and (B) if immediately prior to the
retirement of Treasury Capital Stock, the declaration and payment of dividends thereon was
permitted under clause (vi) of this Section 4.07(b), the declaration and payment of dividend
on the Refunding Capital Stock (other than Refunding Capital Stock the proceeds of which
were used to redeem, repurchase, retire or otherwise acquire any Equity Interests of any
direct or indirect parent company of the Issuer) in an aggregate amount per year no greater
than the aggregate amount of dividends per annum that were declarable and payable on such
Treasury Capital Stock immediately prior to such retirement;

 

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(iii) the defeasance, redemption, repurchase, exchange or other acquisition or
retirement of (1) Subordinated Indebtedness of the Issuer or a Guarantor made by exchange
for, or out of the proceeds of a sale made within 90 days of, new Indebtedness of the Issuer
or a Guarantor or (2) Disqualified Stock of the Issuer or a Guarantor made by exchange for,
or out of the proceeds of a sale made within 90 days of, Disqualified Stock of the Issuer or
a Guarantor, that, in each case, is incurred in compliance with Section 4.09 hereof so long
as:

(A) the principal amount (or accreted value, if applicable) of such new
Indebtedness or the liquidation preference of such new Disqualified Stock does not
exceed the principal amount of (or accreted value, if applicable), plus any accrued
and unpaid interest on, the Subordinated Indebtedness or the liquidation preference
of, plus any accrued and unpaid dividends on, the Disqualified Stock being so
defeased, redeemed, repurchased, exchanged, acquired or retired for value, plus the
amount of any reasonable tender premium, defeasance costs and any fees and expenses
incurred in connection with the issuance of such new Indebtedness or Disqualified
Stock;

(B) such new Indebtedness is subordinated to the Notes or the applicable
Guarantee at least to the same extent as such Subordinated Indebtedness so defeased,
redeemed, repurchased, exchanged, acquired or retired;

(C) such new Indebtedness or Disqualified Stock has a final scheduled maturity
date equal to or later than the final scheduled maturity date of the Subordinated
Indebtedness or Disqualified Stock being so defeased, redeemed, repurchased,
exchanged, acquired or retired; and

(D) such new Indebtedness or Disqualified Stock has a Weighted Average Life to
Maturity equal to or greater than the remaining Weighted Average Life to Maturity of
the Subordinated Indebtedness or Disqualified Stock being so defeased, redeemed,
repurchased, exchanged, acquired or retired;

(iv) a Restricted Payment to pay for the repurchase, retirement or other acquisition or
retirement for value of Equity Interests (other than Disqualified Stock) of the Issuer or
any direct or indirect parent company of the Issuer held by any future, present or former
employee, director, officer, manager or consultant (including trustees, administrators,
executors, powers of attorney, heirs, assignees, estates and beneficiaries of any of the
foregoing) of the Issuer, any of its Subsidiaries or any of its direct or indirect parent
companies pursuant to any management equity plan or stock option plan or any other
management or employee benefit plan or agreement, or any stock subscription or shareholder
agreement (including, for the avoidance of doubt, any principal and interest payable on any
notes issued by the Issuer or any direct or indirect parent company of the Issuer in
connection with such repurchase, retirement or other acquisition); provided that the
aggregate amount of Restricted Payments made under this clause does not exceed $2.5 million
in the first fiscal year following the Issue Date (with unused amounts in any fiscal year
being carried over to succeeding fiscal years); provided, further, that each of the amounts
in any fiscal year under this clause may be increased by an amount not to exceed:

(A) the cash proceeds from the sale of Equity Interests (other than
Disqualified Stock) of the Issuer and, to the extent contributed to the Issuer, the
cash proceeds from the sale of Equity Interests of any direct or indirect parent
company of the Issuer, in each case to any future, present or former employees,
directors, officers, managers or consultants of the Issuer, any of its Subsidiaries
or any of its direct or indirect parent companies that occurs after the Issue Date,
to the extent the cash proceeds from the sale of such Equity Interests have not
otherwise been applied to the payment of Restricted Payments by virtue of clause (C)
of Section 4.07(a)(iv) hereof; plus

(B) the cash proceeds of key man life insurance policies received by the Issuer
or its Restricted Subsidiaries after the Issue Date; less

 

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(C) the amount of any Restricted Payments previously made with the cash
proceeds described in clauses (A) and (B) of this clause (iv); and provided,
further, that cancellation of Indebtedness owing to the Issuer from any future,
present or former employees, directors, officers,
managers or consultants (and the successors listed above) of the Issuer, any
direct or indirect parent company of the Issuer or any of the Issuer’s Restricted
Subsidiaries in connection with a repurchase of Equity Interests of the Issuer or
any of its direct or indirect parent companies shall not be deemed to constitute a
Restricted Payment for purposes of this Section 4.07 or any other provision of this
Indenture;

(v) the declaration and payment of dividends to holders of any class or series of
Disqualified Stock of the Issuer or any of its Restricted Subsidiaries or any class or
series of Preferred Stock of any Restricted Subsidiary issued in accordance with Section
4.09 hereof to the extent such dividends are included in the definition of “Fixed Charges”;

(vi) (A) the declaration and payment of dividends to holders of any class or series of
Designated Preferred Stock (other than Disqualified Stock) issued by the Issuer or any of
its Restricted Subsidiaries after the Issue Date;

(B) the declaration and payment of dividends to any direct or indirect parent company
of the Issuer, the proceeds of which shall be used to fund the payment of dividends to
holders of any class or series of Designated Preferred Stock (other than Disqualified Stock)
issued by such parent company after the Issue Date, provided that the amount of dividends
paid pursuant to this clause (b) shall not exceed the aggregate amount of cash actually
contributed to the Issuer from the sale of such Designated Preferred Stock; or

(C) the declaration and payment of dividends on Refunding Capital Stock that is
Preferred Stock in excess of the dividends declarable and payable thereon pursuant to clause
(ii) of this Section 4.07(b);

provided, in the case of each of (A), (B) and (C) of this clause (vi), that for the most
recently ended four full fiscal quarters for which internal financial statements are
available immediately preceding the date of issuance of such Designated Preferred Stock or
the declaration of such dividends on Refunding Capital Stock that is Preferred Stock, after
giving effect to such issuance or declaration on a pro forma basis, the Issuer could incur
at least $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test
under Section 4.09(a);

(vii) payments made or expected to be made by the Issuer or any Restricted Subsidiary
in respect of withholding or similar taxes payable upon exercise of Equity Interests by any
future, present or former employee, director, officer, manager or consultant and any
repurchases of Equity Interests deemed to occur upon exercise of stock options, warrants, or
other convertible, exchangeable or exercisable instruments if such Equity Interests
represent a portion of the exercise price of such instruments or required withholding or
similar taxes;

(viii) Restricted Payments in an amount equal to the amount of Excluded Contributions
previously received;

(ix) other Restricted Payments in an aggregate amount taken together with all other
Restricted Payments made pursuant to this clause (ix) not to exceed the greater of (a) $20.0
million and (b) 2.5% of Consolidated Total Assets;

(x) distributions or payments of Securitization Fees;

(xi) the repurchase, redemption or other acquisition or retirement for value of any
Subordinated Indebtedness pursuant to the provisions similar to those described under
Section 4.10 and Section 4.14 hereof; provided that all Notes validly tendered by Holders in
connection with a Change of Control Offer or Asset Sale Offer, as applicable, have been
repurchased, redeemed, acquired or retired for value;

 

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(xii) the declaration and payment of dividends or distributions by the Issuer to, or
the making of loans to, any direct or indirect parent company of the Issuer in amounts
required for any direct or indirect parent company of the Issuer to pay, in each case
without duplication,

(A) franchise and excise taxes and other fees, taxes and expenses required to
maintain their corporate existence;

(B) foreign, federal, state and local income and similar taxes, to the extent
such income taxes are attributable to the income of the Issuer and its Restricted
Subsidiaries and, to the extent of the amount actually received from its
Unrestricted Subsidiaries, in amounts required to pay such taxes to the extent
attributable to the income of such Unrestricted Subsidiaries; provided that in each
case the amount of such payments in any fiscal year does not exceed the amount that
the Issuer and its Restricted Subsidiaries would be required to pay in respect of
foreign, federal, state and local taxes for such fiscal year were the Issuer, its
Restricted Subsidiaries and its Unrestricted Subsidiaries (to the extent described
above) to pay such taxes separately from any such parent company;

(C) general corporate operating and overhead costs and expenses (including
customary salary, bonus and other benefits payable to employees, directors, officers
and managers of any direct or indirect parent company of the Issuer to the extent
such costs and expenses are attributable to the ownership or operation of the Issuer
and its Restricted Subsidiaries, including the Issuer’s proportionate share of such
amounts relating to such parent entity being a public company, not to exceed $5
million in the aggregate in any fiscal year;

(xiii) the distribution, by dividend or otherwise, of shares of Capital Stock of, or
Indebtedness owed to the Issuer or a Restricted Subsidiary by, Unrestricted Subsidiaries
(other than Unrestricted Subsidiaries, the primary assets of which are Cash Equivalents);
provided that at the time of, and after giving effect to, any Restricted Payment permitted
under clause (ix), no Default shall have occurred and be continuing or would occur as a
consequence thereof; and

(xiv) (A) the distributions or other deposits into the (x) CVR Escrow Account or (y)
the Excess Employee Escrow Account in each case pursuant to the terms of the CVR Documents
or the Merger Agreement, and (B) any distribution, in accordance with the terms of the CVR
Documents or the Merger Agreement, from: (i) the CVR Escrow Account; (ii) the Excess
Employee Escrow Account or; (iii) the 280G Escrow Account.

(c) As of the Issue Date, all of the Issuer’s Subsidiaries shall be Restricted Subsidiaries
except as expressly set forth in the definition of “Unrestricted Subsidiary”. The Issuer shall not
permit any Unrestricted Subsidiary to become a Restricted Subsidiary except pursuant to the next to
the last sentence of the definition of “Unrestricted Subsidiary.” For purposes of designating any
Restricted Subsidiary as an Unrestricted Subsidiary, all outstanding Investments by the Issuer and
its Restricted Subsidiaries (except to the extent repaid) in the Subsidiary so designated shall be
deemed to be Restricted Payments in an amount determined as set forth in the penultimate sentence
of the definition of “Investments.” Such designation shall be permitted only if a Restricted
Payment in such amount would be permitted at such time, whether pursuant to Section 4.07(a) hereof
or under clause (ix) of Section 4.07(b), or pursuant to the definition of “Permitted Investments,”
and if such Subsidiary otherwise meets the definition of an Unrestricted Subsidiary. Unrestricted
Subsidiaries shall not be subject to any of the restrictive covenants set forth in this Indenture.

Section 4.08 Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries.

(a) The Issuer shall not, and shall not permit any of its Restricted Subsidiaries that is not
a Guarantor to, directly or indirectly, create or otherwise cause or suffer to exist or become
effective any consensual encumbrance or consensual restriction on the ability of any such
Restricted Subsidiary to:

 

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(i) (A) pay dividends or make any other distributions to the Issuer or any of its
Restricted Subsidiaries on its Capital Stock or with respect to any other interest or
participation in, or measured by, its profits, or

(B) pay any Indebtedness owed to the Issuer or any of its Restricted
Subsidiaries that is a Guarantor;

(ii) make loans or advances to the Issuer or any of its Restricted Subsidiaries that is
a Guarantor; or

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

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

(i) contractual encumbrances or restrictions in effect on the Issue Date, including
pursuant to the ABL Facility and the related documentation and Hedging Obligations and Bank
Products;

(ii) this Indenture, the Notes and the guarantees thereof and the Collateral Documents;

(iii) purchase money obligations for property acquired in the ordinary course of
business and Capital Lease Obligations that impose restrictions of the nature discussed in
clause (iii) of Section 4.08(a) hereof on the property so acquired;

(iv) applicable law or any applicable rule, regulation or order;

(v) any agreement or other instrument of a Person acquired by or merged or consolidated
with or into the Issuer or any of its Restricted Subsidiaries in existence at the time of
such acquisition or at the time it merges with or into the Issuer or any of its Restricted
Subsidiaries or assumed in connection with the acquisition of assets from such Person (but,
in any such case, not created in contemplation thereof), which encumbrance or restriction is
not applicable to any Person, or the properties or assets of any Person, other than the
Person so acquired and its Subsidiaries, or the property or assets of the Person so acquired
and its Subsidiaries or the property or assets so acquired;

(vi) contracts for the sale of assets, including customary restrictions with respect to
a Subsidiary of the Issuer pursuant to an agreement that has been entered into for the sale
or disposition of all or substantially all of the Capital Stock or assets of such
Subsidiary;

(vii) Permitted Additional Parity Debt and other Secured Indebtedness otherwise
permitted to be incurred pursuant to Section 4.09 and Section 4.12 hereof that limit the
right of the debtor to dispose of the assets securing such Indebtedness;

(viii) restrictions on cash or other deposits or net worth imposed by (i) customers,
lenders or suppliers or (ii) other third parties under contracts entered into in the
ordinary course of business;

(ix) customary provisions in joint venture agreements and other similar agreements
relating solely to such joint venture;

(x) customary provisions contained in leases, sub-leases, licenses, sub-licenses or
similar agreements, including with respect to intellectual property and other agreements, in
each case, entered into in the ordinary course of business;

 

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(xi) restrictions created in connection with any Qualified Securitization
Facility that, in the good faith determination of the Issuer are necessary or advisable to
effect such Qualified Securitization Facility;

(xii) restrictions or conditions contained in any trading, netting, operating,
construction, service, supply, purchase, sale or other agreement to which the Issuer or any
of its Restricted Subsidiaries is a party entered into in the ordinary course of business;
provided that such agreement prohibits the encumbrance of solely the property or assets of
the Issuer or such Restricted Subsidiary that are the subject to such agreement, the payment
rights arising thereunder or the proceeds thereof and does not extend to any other asset or
property of the Issuer or such Restricted Subsidiary or the assets or property of another
Restricted Subsidiary;

(xiii) any encumbrance or restriction with respect to a Guarantor or Securitization
Subsidiary which was previously an Unrestricted Subsidiary pursuant to or by reason of an
agreement that such Subsidiary is a party to or entered into before the date on which such
Subsidiary became a Restricted Subsidiary; provided that such agreement was not entered into
in anticipation of an Unrestricted Subsidiary becoming a Restricted Subsidiary and any such
encumbrance or restriction does not extend to any assets or property of the Issuer or any
other Restricted Subsidiary other than the assets and property of such Subsidiary;

(xiv) other Indebtedness, Disqualified Stock or Preferred Stock permitted to be
incurred subsequent to the Issue Date pursuant to Section 4.09; provided that, in the
judgment of the Issuer, such incurrence shall not materially impair the Issuer’s ability to
make payments on the Notes when due;

(xv) any encumbrances or restrictions of the type referred to in clauses (i), (ii) and
(iii) of Section 4.08(a) hereof imposed by any amendments, modifications, restatements,
renewals, increases, supplements, refundings, replacements or refinancings of the contracts,
instruments or obligations referred to in clauses (i) through (xiv) of this Section 4.08(b);
provided that such amendments, modifications, restatements, renewals, increases,
supplements, refundings, replacements or refinancings are, in the good faith judgment of the
Issuer, no more restrictive in any material respect with respect to such encumbrance and
other restrictions taken as a whole than those prior to such amendment, modification,
restatement, renewal, increase, supplement, refunding, replacement or refinancing; and

(xvi) any encumbrance or restriction imposed by the CVR Documents or the Merger
Agreement.

Section 4.09 Limitation on Incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred
Stock.

(a) The Issuer shall not, and shall not permit any of its Restricted Subsidiaries to, directly
or indirectly, create, incur, issue, assume, guarantee or otherwise become directly or indirectly
liable, contingently or otherwise (collectively, “incur” and collectively, an “incurrence”) with
respect to any Indebtedness (including Acquired Indebtedness) and the Issuer shall not issue any
shares of Disqualified Stock and shall not permit any Restricted Subsidiary to issue any shares of
Disqualified Stock or Preferred Stock; provided that the Issuer may incur Indebtedness (including
Acquired Indebtedness) or issue shares of Disqualified Stock, and any Guarantor may incur
Indebtedness (including Acquired Indebtedness), issue shares of Disqualified Stock and issue shares
of Preferred Stock, if the Fixed Charge Coverage Ratio on a consolidated basis for the Issuer and
its Restricted Subsidiaries for the Issuer’s most recently ended four fiscal quarters for which
internal financial statements are available immediately preceding the date on which such additional
Indebtedness is incurred or such Disqualified Stock or Preferred Stock is issued would have been at
least 2.00 to 1.00, determined on a pro forma basis (including a pro forma application of the net
proceeds therefrom), as if the additional Indebtedness had been incurred, or the Disqualified Stock
or Preferred Stock had been issued, as the case may be, and the application of proceeds therefrom
had occurred at the beginning of such four-quarter period.

(b) The provisions of Section 4.09(a) hereof shall not apply to:

 

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(i) the incurrence of Indebtedness pursuant to Credit Facilities by the Issuer or any
Restricted Subsidiary and the issuance and creation of letters of credit and bankers’
acceptances thereunder (with letters of credit and bankers’ acceptances being deemed to have
a principal amount equal to the face amount thereof); provided that the aggregate principal
amount of such Indebtedness outstanding pursuant to this Section 4.09(b)(i) without
duplication, does not exceed an amount equal to the greater of (A) $65.0 million and (B) the
Borrowing Base at the time such debt is incurred;

(ii) the incurrence by the Issuer and any Guarantor of Indebtedness represented by the
Notes (including any guarantee thereof) and the exchange notes and related exchange
guarantees to be issued in exchange for the Notes and the Guarantees pursuant to the
Registration Rights Agreement (but excluding any Additional Notes);

(iii) Indebtedness of the Issuer and its Restricted Subsidiaries in existence on the
Issue Date (other than Indebtedness described in clauses (i) and (ii) of this Section
4.09(b)) outstanding on the Issue Date);

(iv) Indebtedness (including Capitalized Lease Obligations and Purchase Money
Obligations) and Disqualified Stock incurred or issued by the Issuer or any Restricted
Subsidiary and Preferred Stock issued by any Restricted Subsidiary, to finance the purchase,
restoration, lease or improvement of property (real or personal), equipment or other
assets, including assets that are used or useful in a Similar Business, whether through the
direct purchase of assets or the Capital Stock of any Person owning such assets in an
aggregate principal amount, together with any Refinancing Indebtedness in respect thereof
and all other Indebtedness, Disqualified Stock and/or Preferred Stock incurred or issued and
outstanding under this clause (iv), not to exceed the greater of (a) $15.0 million and (b)
2.5% of Consolidated Total Assets at any time outstanding;

(v) Indebtedness incurred by the Issuer or any of its Restricted Subsidiaries
constituting reimbursement obligations with respect to letters of credit, bank guarantees,
banker’s acceptances, warehouse receipts, or similar instruments issued or created in the
ordinary course of business, including letters of credit in respect of workers’ compensation
claims, health, disability or other employee benefits or property, casualty or liability
insurance or self-insurance or other Indebtedness with respect to reimbursement type
obligations regarding workers’ compensation claims, health, disability or other employee
benefits or property, casualty or liability insurance or self-insurance; provided that upon
the drawing of such letters of credit or the incurrence of such Indebtedness, such
obligations are reimbursed within 30 days following such drawing or incurrence;

(vi) Indebtedness arising from agreements of the Issuer or its Restricted Subsidiaries
providing for indemnification, adjustment of purchase price or similar obligations, in each
case, incurred or assumed in connection with the disposition of any business, assets or a
Subsidiary, other than guarantees of Indebtedness incurred by any Person acquiring all or
any portion of such business, assets or a Subsidiary for the purpose of financing such
acquisition; provided that such Indebtedness is not reflected on the balance sheet of the
Issuer, or any of its Restricted Subsidiaries (contingent obligations referred to in a
footnote to financial statements and not otherwise reflected on the balance sheet shall not
be deemed to be reflected on such balance sheet for purposes of this clause (vi));

(vii) Indebtedness of the Issuer to a Restricted Subsidiary; provided that any such
Indebtedness owing to a Restricted Subsidiary that is not a Guarantor is expressly
subordinated in right of payment to the Notes; provided, further, that any subsequent
issuance or transfer of any Capital Stock or any other event which results in any such
Restricted Subsidiary ceasing to be a Restricted Subsidiary or any other subsequent transfer
of any such Indebtedness (except to the Issuer or another Restricted Subsidiary or any
pledge of such Indebtedness constituting a Permitted Lien (but not foreclosure thereon))
shall be deemed, in each case, to be an incurrence of such Indebtedness not permitted by
this clause;

 

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(viii) Indebtedness of a Restricted Subsidiary to the Issuer or another Restricted
Subsidiary; provided that if a Guarantor incurs such Indebtedness to a Restricted Subsidiary
that is not a Guarantor, such Indebtedness is expressly subordinated in right of payment to
the Guarantee of the Notes of such Guarantor; provided, further, that any subsequent transfer of any such Indebtedness
(except to the Issuer or another Restricted Subsidiary or any pledge of such Indebtedness
constituting a Permitted Lien (but not foreclosure thereon)) shall be deemed, in each case,
to be an incurrence of such Indebtedness not permitted by this clause;

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

(x) Hedging Obligations (excluding Hedging Obligations entered into for speculative
purposes);

(xi) obligations in respect of self-insurance and obligations in respect of
performance, bid, appeal and surety bonds and performance and completion guarantees and
similar obligations provided by the Issuer or any of its Restricted Subsidiaries or
obligations in respect of letters of credit, bank guarantees or similar instruments related
thereto, in each case in the ordinary course of business;

(xii) Indebtedness or Disqualified Stock of the Issuer and Indebtedness, Disqualified
Stock or Preferred Stock of the Issuer or any Restricted Subsidiary not otherwise permitted
hereunder in an aggregate principal amount or liquidation preference which, when aggregated
with the principal amount and liquidation preference of all other Indebtedness, Disqualified
Stock and Preferred Stock then outstanding and incurred pursuant to this clause (xii), does
not at any one time outstanding exceed $20.0 million (it being understood that any
Indebtedness, Disqualified Stock or Preferred Stock incurred pursuant to this clause (xii)
shall cease to be deemed incurred or outstanding for purposes of this clause (xii) but shall
be deemed incurred for the purposes of the first paragraph of this covenant from and after
the first date on which the Issuer or such Restricted Subsidiary could have incurred such
Indebtedness, Disqualified Stock or Preferred Stock under Section 4.09(a) hereof without
reliance on this clause (xii));

(xiii) the incurrence by the Issuer or any Restricted Subsidiary of Indebtedness, the
issuance by the Issuer or any Restricted Subsidiary of Disqualified Stock or the issuance by
any Restricted Subsidiary of Preferred Stock which serves to extend, replace, refund,
refinance, renew or defease any Indebtedness incurred or Disqualified Stock or Preferred
Stock issued as permitted under Section 4.09(a) hereof and clauses (ii) and (iii) of this
Section 4.09(b) and clauses (xiii) and (xiv) of this Section 4.09(b) or any Indebtedness
incurred or Disqualified Stock or Preferred Stock issued to so extend, replace, refund,
refinance, renew or defease such Indebtedness, Disqualified Stock or Preferred Stock
including additional Indebtedness, Disqualified Stock or Preferred Stock incurred to pay
premiums (including reasonable tender premiums), defeasance costs and fees in connection
therewith (the “Refinancing Indebtedness”) prior to its respective maturity; provided that
such Refinancing Indebtedness:

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

(B) to the extent such Refinancing Indebtedness extends, replaces, refunds,
refinances, renews or defeases (i) Indebtedness subordinated to the Notes or any
Guarantee thereof, such Refinancing Indebtedness is subordinated to the Notes or the
Guarantee thereof at least to the same extent as the Indebtedness being extended,
replaced, refunded, refinanced, renewed or defeased or (ii) Disqualified Stock or
Preferred Stock, such Refinancing Indebtedness must be Disqualified Stock or
Preferred Stock, respectively; and

(C) shall not include:

 

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

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

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

and, provided, further, that subclause (A) of this clause (xiii) shall not apply to any
extension, replacement, refunding, refinancing, renewal or defeasance of any Secured
Indebtedness (other than Additional Parity Debt or any Secured Indebtedness secured on a
junior priority basis to the Notes).

(xiv) (A) Indebtedness or Disqualified Stock of the Issuer or Indebtedness,
Disqualified Stock or Preferred Stock of a Restricted Subsidiary incurred or issued to
finance an acquisition or (B) Indebtedness, Disqualified Stock or Preferred Stock of Persons
that are acquired by the Issuer or any Restricted Subsidiary or merged into or consolidated
with the Issuer or a Restricted Subsidiary in accordance with the terms of this Indenture;
provided that in the case of (A) and (B), after giving effect to such acquisition, merger,
amalgamation or consolidation either

(1) the Issuer would be permitted to incur at least $1.00 of additional
Indebtedness pursuant to the Fixed Charge Coverage Test, or

(2) the Fixed Charge Coverage Ratio for the Issuer is greater than the Fixed
Charge Coverage Ratio of the Issuer immediately prior to such acquisition, merger,
amalgamation or consolidation;

(xv) Indebtedness arising from the honoring by a bank or other financial institution of
a check, draft or similar instrument drawn against insufficient funds in the ordinary course
of business, provided that such Indebtedness is extinguished within ten (10) Business Days
of its incurrence;

(xvi) Indebtedness of the Issuer or any of its Restricted Subsidiaries supported by a
letter of credit issued pursuant to Credit Facilities that is incurred under clause (i) of
this Section 4.09(b), in a principal amount not in excess of the stated amount of such
letter of credit;

(xvii) (A) any guarantee by the Issuer or a Restricted Subsidiary of Indebtedness or
other obligations of any Restricted Subsidiary so long as the incurrence of such
Indebtedness incurred by such Restricted Subsidiary is permitted under the terms of this
Indenture, or

(B) any guarantee by a Restricted Subsidiary of Indebtedness of the Issuer; provided
that such guarantee is incurred in accordance with Section 4.15 hereof;

(xviii) Indebtedness consisting of Indebtedness issued by the Issuer or any of its
Restricted Subsidiaries to future, present or former employees, directors, officers,
managers and consultants thereof (including trustees, administrators, executors, powers of
attorney, heirs, assignees, estates and beneficiaries), in each case to finance the purchase
or redemption of Equity Interests of the Issuer or any direct or indirect parent company of
the Issuer to the extent described in clause (iv) of Section 4.07(b) hereof;

(xix) customer deposits and advance payments received in the ordinary course of
business from customers for goods purchased in the ordinary course of business;

 

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(xx) Indebtedness in respect of Bank Products provided by banks or other financial
institutions to the Issuer and its Restricted Subsidiaries in the ordinary course of
business;

(xxi) Indebtedness incurred by a Restricted Subsidiary in connection with bankers’
acceptances, discounted bills of exchange or the discounting or factoring of receivables for
credit management purposes, in each case incurred or undertaken in the ordinary course of
business on arm’s length commercial terms on a recourse basis;

(xxii) Indebtedness of the Issuer or any of its Restricted Subsidiaries consisting of
(A) the financing of insurance premiums or (B) take-or-pay obligations contained in supply
arrangements in each case, incurred in the ordinary course of business; and

(xxiii) Indebtedness of the Issuer or any of its Restricted Subsidiaries undertaken in
connection with cash management and related activities with respect to any Subsidiary or
joint venture in the ordinary course of business.

(c) For purposes of determining compliance with this Section 4.09:

(i) in the event that an item of Indebtedness, Disqualified Stock or Preferred Stock
(or any portion thereof) meets the criteria of more than one of the categories of Permitted
Indebtedness, Disqualified Stock or Preferred Stock described in clauses (i) through (xxiii)
of Section 4.09(b) hereof or is entitled to be incurred pursuant to Section 4.09(a) hereof,
the Issuer, in its sole discretion, may classify or reclassify such item of Indebtedness,
Disqualified Stock or Preferred Stock (or any portion thereof) and shall only be required to
include the amount and type of such Indebtedness, Disqualified Stock or Preferred Stock in
one of the above clauses or under Section 4.09(a) hereof; provided that all Indebtedness
outstanding under the ABL Facility on the Issue Date shall be treated as incurred on the
Issue Date under clause (i) of Section 4.09(b) hereof; and

(ii) at the time of incurrence, the Issuer shall be entitled to divide and classify an
item of Indebtedness in more than one of the types of Indebtedness described in Section
4.09(a) and Section 4.09(b) hereof.

Accrual of interest or dividends, the accretion of accreted value, the accretion or
amortization of original issue discount and the payment of interest or dividends in the form of
additional Indebtedness, Disqualified Stock or Preferred Stock, as the case may be, of the same
class shall not be deemed to be an incurrence or issuance of Indebtedness, Disqualified Stock or
Preferred Stock for purposes of this Section 4.09.

For purposes of determining compliance with any U.S. dollar-denominated restriction on the
incurrence of Indebtedness, the U.S. dollar-equivalent principal amount of Indebtedness denominated
in a foreign currency shall be calculated based on the relevant currency exchange rate in effect on
the date such Indebtedness was incurred, in the case of term debt, or first committed, in the case
of revolving credit debt; provided that if such Indebtedness is incurred to refinance other
Indebtedness denominated in a foreign currency, and such refinancing would cause the applicable
U.S. dollar-denominated restriction to be exceeded if calculated at the relevant currency exchange
rate in effect on the date of such refinancing, such U.S. dollar-denominated restriction shall be
deemed not to have been exceeded so long as the principal amount of such refinancing Indebtedness
does not exceed (A) the principal amount of such Indebtedness being refinanced plus (B) the
aggregate amount of fees, underwriting discounts, premiums and other costs and expenses incurred in
connection with such refinancing.

The principal amount of any Indebtedness incurred to refinance other Indebtedness, if incurred
in a different currency from the Indebtedness being refinanced, shall be calculated based on the
currency exchange rate applicable to the currencies in which such respective Indebtedness is
denominated that is in effect on the date of such refinancing.

 

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Notwithstanding anything to the contrary, the Issuer shall not, and shall not permit any
Guarantor to, directly or indirectly, incur any Indebtedness (including Acquired Indebtedness) that
is subordinated or junior in right of
payment to any Indebtedness of the Issuer or such Guarantor, as the case may be, unless such
Indebtedness is expressly subordinated in right of payment to the Notes or such Guarantor’s
Guarantee to the extent and in the same manner as such Indebtedness is subordinated to other
Indebtedness of the Issuer or such Guarantor, as the case may be.

This Indenture shall not treat (1) unsecured Indebtedness as subordinated or junior to Secured
Indebtedness merely because it is unsecured or (2) Indebtedness as subordinated or junior to any
other Indebtedness merely because it has a junior priority with respect to the same collateral.

Section 4.10 Asset Sales.

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

(i) the Issuer or such Restricted Subsidiary, as the case may be, receives
consideration at the time of such Asset Sale at least equal to the fair market value (such
fair market value to be determined by the Issuer at the time of contractually agreeing to
such Asset Sale) of the assets sold or otherwise disposed of;

(ii) except in the case of a Permitted Asset Swap, at least 75% of the consideration
therefor received by the Issuer or such Restricted Subsidiary, as the case may be, is in the
form of Cash Equivalents; provided that the following amounts shall be deemed to be Cash
Equivalents for the purposes of this provision:

(A) any liabilities (as shown on the Issuer’s or such Restricted Subsidiary’s
most recent balance sheet or in the footnotes thereto) of the Issuer or such
Restricted Subsidiary, other than liabilities that are by their terms subordinated
to the Notes, that are assumed by the transferee of any such assets and for which
the Issuer and all of its Restricted Subsidiaries have been validly released by all
applicable creditors in writing;

(B) any securities, notes or other obligations or assets received by the Issuer
or such Restricted Subsidiary from such transferee that are converted by the Issuer
or such Restricted Subsidiary into Cash Equivalents (to the extent of the Cash
Equivalents received) within 180 days following the closing of such Asset Sale; and

(C) the amount of any Designated Non-cash Consideration received by the Issuer
or any of its Restricted Subsidiaries in the Asset Sale; provided that the aggregate
of such Designated Non-cash Consideration received in connection with Asset Sales
(and still held) shall not exceed $5 million at any one time (with the fair market
value in each case being measured at the time received and without giving effect to
subsequent changes in value); and

(iii) if such Asset Sale involves the disposition of Collateral, the Issuer or such
Guarantor has complied with the provisions of this Indenture and the Collateral Documents.

(b) Within 365 days after the receipt of any Net Proceeds of any Asset Sale, the Issuer or
such Restricted Subsidiary, at its option, may apply the Net Proceeds from such Asset Sale,

(i) to reduce indebtedness as follows:

(A) if the assets subject to such Asset Sale constitute Notes Collateral, to
permanently reduce (or offer to reduce) Obligations under the Notes and any
Additional Parity Debt on a pro rata basis, provided that all reductions of or
offers to reduce Obligations under the Notes shall be made as provided under Section
3.07 hereof or by making an offer (in accordance with the procedures set forth in
Section 3.09 and Section 4.10(c) hereof) to all Holders to purchase their Notes at
100.0% of the principal amount thereof, plus the amount of accrued but unpaid
interest, if any, on the amount of Notes to be repurchased; or

 

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(B) if the assets subject to such Asset Sale constitutes ABL Collateral, to
repay any Indebtedness under the ABL Facility secured by such ABL Collateral as
required under the ABL Facility; or

(C) if the assets subject to such Asset Sale do not constitute Collateral to
permanently reduce (or offer to reduce) obligations under other Senior Indebtedness
(and to correspondingly reduce commitments with respect thereto), provided that the
Issuer shall equally and ratably reduce Obligations under the Notes and any
Additional Parity Debt on a pro rata basis, provided that all reductions of or
offers to reduce Obligations under the Notes shall be made as provided under Section
3.07 hereof or by making an offer (in accordance with the procedures set forth in
Section 3.09 and Section 4.10(c) hereof) to all Holders to purchase their Notes at
100.0% of the principal amount thereof, plus the amount of accrued but unpaid
interest, if any, on the amount of Notes to be repurchased; or

(D) if the assets subject to such Asset Sale are the property or assets of a
Restricted Subsidiary that is not a Guarantor, to permanently reduce Indebtedness of
such Restricted Subsidiary that is not a Guarantor, other than Indebtedness owed to
the Issuer or another Restricted Subsidiary; or

(ii) to make (A) an Investment in any one or more businesses, provided that such
Investment in any business is in the form of the acquisition of Capital Stock and results in
the Issuer or any of its Restricted Subsidiaries, as the case may be, owning an amount of
the Capital Stock of such business such that it constitutes a Restricted Subsidiary, (B)
capital expenditures or (C) acquisitions of other assets that are not classified as current
assets under GAAP and that are used or useful in a Similar Business; provided that the
assets (including Capital Stock) acquired with the Net Proceeds of a disposition of
Collateral are pledged as Collateral to the extent required under the Collateral Documents
(except to the extent the Lien thereon is released by the lenders under the ABL Facility);

provided that, in the case of clause (ii) above, a binding commitment entered into not later than
such 365th day shall extend the period for such Investment or other payment for an additional 180
days after the end of such 365-day period so long as the Issuer or such other Restricted Subsidiary
enters into such commitment with the good faith expectation that such Net Proceeds shall be applied
to satisfy such commitment within 180 days of such commitment (an “Acceptable Commitment”) and, in
the event any Acceptable Commitment is later cancelled or terminated for any reason before the Net
Proceeds are applied in connection therewith then such Net Proceeds shall constitute Excess
Proceeds on the date of such cancellation or termination, or such 180th day, as applicable.

(c) Any Net Proceeds from the Asset Sale that are not invested or applied as provided and
within the time period set forth in Section 4.10(b) hereof shall be deemed to constitute “Excess
Proceeds.” When the aggregate amount of Excess Proceeds exceeds $10.0 million, the Issuer shall
make an offer to all Holders and, if required by the terms of any Indebtedness that is pari passu
with the Notes (“Pari Passu Indebtedness”), to the holders of such Pari Passu Indebtedness (an
“Asset Sale Offer”), to purchase the maximum aggregate principal amount of the Notes and such Pari
Passu Indebtedness that is in an amount equal to at least $2,000, that may be purchased out of the
Excess Proceeds at an offer price in cash in an amount equal to 100.0% of the principal amount
thereof (or accreted value thereof, if less), plus accrued and unpaid interest, if any, to the date
fixed for the closing of such offer, in accordance with the procedures set forth in this Indenture.
The Issuer shall commence an Asset Sale Offer with respect to Excess Proceeds within ten Business
Days after the date that Excess Proceeds exceed $10.0 million by delivering the notice required
pursuant to the terms of this Indenture, with a copy to the Trustee. The Issuer may satisfy the
foregoing obligations with respect to any Net Proceeds from an Asset Sale by making an Asset Sale
Offer with respect to such Net Proceeds prior to the expiration of the relevant 365 days (or such
longer period provided above) or with respect to Excess Proceeds of $10.0 million or less.

 

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To the extent that the aggregate amount of Notes and such Pari Passu Indebtedness tendered
pursuant to an Asset Sale Offer is less than the Excess Proceeds, the Issuer may use any remaining
Excess Proceeds for general
corporate purposes, subject to other covenants contained in this Indenture. If the aggregate
principal amount of Notes or the Pari Passu Indebtedness surrendered by such holders thereof
exceeds the amount of Excess Proceeds, the Trustee shall select the Notes and the Issuer shall
select such Pari Passu Indebtedness to be purchased on a pro rata basis (with adjustments as needed
for selection of authorized minimum denominations) based on the accreted value or principal amount
of the Notes or such Pari Passu Indebtedness tendered. Upon completion of any such Asset Sale
Offer, the amount of Excess Proceeds that resulted in the Asset Sale Offer shall be reset to zero.

(d) Pending the final application of any Net Proceeds pursuant to this Section 4.10, the
holder of such Net Proceeds may apply such Net Proceeds temporarily to reduce Indebtedness
outstanding under a revolving credit facility or otherwise invest such Net Proceeds in any manner
not prohibited by this Indenture.

(e) The Issuer shall comply with the requirements of Rule 14e-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent such laws or regulations are
applicable in connection with the repurchase of the Notes pursuant to an Asset Sale Offer. To the
extent that the provisions of any securities laws or regulations conflict with the provisions of
this Indenture, the Issuer shall comply with the applicable securities laws and regulations and
shall not be deemed to have breached its obligations described in this Indenture by virtue thereof.

The provisions of this Section 4.10 may be waived or modified with the written consent of the
Holders of a majority in principal amount of the Notes then outstanding.

Section 4.11 Transactions With Affiliates.

(a) The Issuer shall not, and shall not permit any of its Restricted Subsidiaries to, make any
payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or
purchase any property or assets from, or enter into or make or amend any transaction, contract,
agreement, understanding, loan, advance or guarantee with, or for the benefit of, any Affiliate of
the Issuer (each of the foregoing, an “Affiliate Transaction”) involving aggregate payments or
consideration in excess of $10.0 million, unless:

(i) such Affiliate Transaction is on terms that are not materially less favorable to
the Issuer or its relevant Restricted Subsidiary than those that would have been obtained in
a comparable transaction by the Issuer or such Restricted Subsidiary with an unrelated
Person on an arm’s-length basis; and

(ii) the Issuer delivers to the Trustee with respect to any Affiliate Transaction or
series of related Affiliate Transactions involving aggregate payments or consideration in
excess of $15.0 million, a resolution adopted by the majority of independent directors (as
determined pursuant to Section 5605(a)(2) of the NASDAQ Listing Rules) the board of
directors of the Issuer approving such Affiliate Transaction and set forth in an Officer’s
Certificate certifying that such Affiliate Transaction complies with clause (i) of this
Section 4.11(a).

(b) The provisions of Section 4.11(a) hereof shall not apply to the following:

(i) transactions between or among the Issuer or any of its Restricted Subsidiaries or
any entity that becomes a Restricted Subsidiary as a result of such transaction;

(ii) Restricted Payments permitted by Section 4.07 hereof and the definition of
“Permitted Investments”;

(iii) the payment of management, consulting, monitoring, advisory and other fees and
related expenses (including indemnification and other similar amounts) pursuant to the
Management Advisory Agreement (plus any unpaid management, consulting, monitoring, advisory
and other fees and related expenses (including indemnification and similar amounts) accrued
in any prior year) and the termination fees pursuant to the Management Advisory Agreement,
or, in each case, any amendment thereto so long as any such amendment is not materially
disadvantageous in the good faith judgment of the board of directors of
the Issuer to the Holders when taken as a whole, as compared to the Management Advisory
Agreement as in effect on the Issue Date;

 

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(iv) the payment of reasonable and customary fees and compensation paid to, and
indemnities and reimbursements and employment and severance arrangements provided on behalf
of or for the benefit of, current or former employees, directors, officers, managers,
distributors or consultants of the Issuer, any of its direct or indirect parent companies or
any of its Restricted Subsidiaries;

(v) transactions in which the Issuer or any of its Restricted Subsidiaries, as the case
may be, delivers to the Trustee a letter from an Independent Financial Advisor stating that
such transaction is fair to the Issuer or such Restricted Subsidiary from a financial point
of view or stating that the terms are not materially less favorable to the Issuer or its
relevant Restricted Subsidiary than those that would have been obtained in a comparable
transaction by the Issuer or such Restricted Subsidiary with an unrelated Person on an
arm’s-length basis;

(vi) any agreement as in effect as of the Issue Date, or any amendment thereto (so long
as any such amendment is not disadvantageous in any material respect in the good faith
judgment of the board of directors of the Issuer to the Holders when taken as a whole as
compared to the applicable agreement as in effect on the Issue Date);

(vii) the existence of, or the performance by the Issuer or any of its Restricted
Subsidiaries of its obligations under the terms of, any stockholders agreement (including
any registration rights agreement or purchase agreement related thereto) to which it is a
party as of the Issue Date and any similar agreements which it may enter into thereafter;
provided that the existence of, or the performance by the Issuer or any of its Restricted
Subsidiaries of obligations under any future amendment to any such existing agreement or
under any similar agreement entered into after the Issue Date shall only be permitted by
this clause (vii) to the extent that the terms of any such amendment or new agreement are
not otherwise disadvantageous in any material respect in the good faith judgment of the
board of directors of the Issuer to the Holders when taken as a whole;

(viii) transactions with customers, clients, suppliers, contractors, joint venture
partners or purchasers or sellers of goods or services that are Affiliates, in each case in
the ordinary course of business and otherwise in compliance with the terms of this Indenture
which are fair to the Issuer and its Restricted Subsidiaries, in the reasonable
determination of the board of directors of the Issuer or the senior management thereof, or
are on terms at least as favorable as might reasonably have been obtained at such time from
an unaffiliated party;

(ix) the issuance of Equity Interests (other than Disqualified Stock) of the Issuer to
any direct or indirect parent company of the Issuer or to any Permitted Holder or to any
employee, director, officer, manager, distributor or consultant of the Issuer, any of its
direct or indirect parent companies or any of its Restricted Subsidiaries;

(x) sales of accounts receivable, or participations therein, or Securitization Assets
or related assets in connection with or any Qualified Securitization Facility;

(xi) payments by the Issuer or any of its Restricted Subsidiaries to any of the
Investors made for any financial advisory, financing, underwriting or placement services or
in respect of other investment banking activities, including, without limitation, in
connection with acquisitions or divestitures which payments are either (a) approved by a
majority of the board of directors of the Issuer in good faith or (b) made pursuant to an
agreement existing as of the Issue Date;

 

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(xii) payments and Indebtedness and Disqualified Stock (and cancellation of any
thereof) of the Issuer and its Restricted Subsidiaries and Preferred Stock (and cancellation
of any thereof) of any Restricted Subsidiary to any future, current or former employee,
director, officer, manager or consultant (including trustees, administrators, executors,
powers of attorney, heirs, assignees, estates and beneficiaries of
any of the foregoing) of the Issuer, any of its Subsidiaries or any of its direct or
indirect parent companies pursuant to any management equity or other incentive plan or stock
option plan or any other management or employee benefit plan or agreement or any stock
subscription or shareholder agreement; and any employment agreements, severance agreements,
stock option plans and other compensatory arrangements (and any successor plans thereto) and
any supplemental executive retirement benefit plans or arrangements with any such employees,
directors, officers, managers or consultants that are, in each case, approved by the Issuer
in good faith;

(xiii) payments by the Issuer (and any direct or indirect parent company thereof) and
its Subsidiaries pursuant to tax sharing agreements among the Issuer (and any such parent
company) and its Subsidiaries; provided that in each case the amount of such payments in any
fiscal year does not exceed the amount that the Issuer, its Restricted Subsidiaries and its
Unrestricted Subsidiaries (to the extent of amount received from Unrestricted Subsidiaries)
would be required to pay in respect of foreign, federal, state and local taxes for such
fiscal year were the Issuer, its Restricted Subsidiaries and its Unrestricted Subsidiaries
(to the extent described above) to pay such taxes separately from any such parent entity;
and

(xiv) any transaction with a Person that is an Affiliate of the Issuer solely because
the Issuer directly or indirectly owns Equity Interests in or controls such Person entered
into in the ordinary course of business.

Section 4.12 Liens. The Issuer shall not, and shall not permit any Restricted Subsidiary to, directly or
indirectly, create, incur, assume or suffer to exist any Lien that secures Obligations under any
Indebtedness or any related Guarantee of Indebtedness, on any asset or property of the Issuer or
any Restricted Subsidiary, or any income or profits therefrom, or assign or convey any right to
receive income therefrom, except that the foregoing shall not apply to (A) Liens securing the Notes
and the related Guarantees (and the Exchange Notes and the related guarantees in respect thereof)
but, except as otherwise permitted hereunder, excluding Additional Notes and (B) (i) Permitted
Liens and (ii) Liens securing (x) Indebtedness and other Obligations permitted to be incurred
under Credit Facilities, including any letter of credit facility relating thereto, that was
incurred pursuant to clause (i) of Section 4.09(b) hereof and (y) obligations of the Issuer or any
Subsidiary in respect of any Bank Products or Hedging Obligations provided by any arranger, agent
or lender party to any Credit Facility or any Affiliate of such arranger, agent or lender (or any
Person that was an arranger, agent or lender or an Affiliate of an arranger, agent or lender at the
time the applicable agreements pursuant to which such Bank Products or Hedging Obligations are
provided or were entered into); provided, however, that this subclause (B)(ii) shall not permit
simultaneous first-priority Liens in respect of such Indebtedness on both the ABL Collateral and
the Notes Collateral.

Section 4.13 Company Existence. Subject to Article 5 hereof, the Issuer shall do or cause to be done all
things necessary to preserve and keep in full force and effect its company existence (for the
avoidance of doubt the Issuer may convert into a limited liability company; provided that there is
a corporate co-issuer entity), and the corporate, partnership, limited liability company or other
existence of each of its Restricted Subsidiaries, in accordance with the respective organizational
documents (as the same may be amended from time to time); provided that the Issuer shall not be
required to preserve the corporate, partnership, limited liability company or other existence of
its Restricted Subsidiaries, if the Issuer in good faith shall determine that the preservation
thereof is no longer desirable in the conduct of the business of the Issuer and its Restricted
Subsidiaries, taken as a whole.

Section 4.14 Offer to Repurchase upon Change of Control. If a Change of Control occurs, unless the Issuer
has previously or concurrently sent a redemption notice with respect to all the outstanding Notes
as described under Section 3.07 hereof, the Issuer shall make an offer to purchase all of the Notes
pursuant to the offer described below (the “Change of Control Offer”) at a price in cash (the
“Change of Control Payment”) equal to 101.0% of the aggregate principal amount thereof plus accrued
and unpaid interest, if any, to the date of purchase, subject to the right of Holders of record on
the relevant Record Date to receive interest due on the relevant Interest Payment Date. Within 30
days following any Change of Control, the Issuer shall send notice of such Change of Control Offer
electronically or by first-class mail, with a copy to the Trustee, to each Holder to the address of
such Holder appearing in the Security Register or otherwise in accordance with the Applicable
Procedures with the following information:

 

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(a) that a Change of Control Offer is being made pursuant to this Section 4.14 and that
all Notes properly tendered pursuant to such Change of Control Offer shall be accepted for
payment by the Issuer;

(b) the purchase price and the purchase date, which shall be no earlier than 30 days
nor later than 60 days from the date such notice is mailed (the “Change of Control Payment
Date”);

(c) that any Note not properly tendered shall remain outstanding and continue to accrue
interest;

(d) that unless the Issuer defaults in the payment of the Change of Control Payment,
all Notes accepted for payment pursuant to the Change of Control Offer shall cease to accrue
interest on the Change of Control Payment Date;

(e) that Holders electing to have any Notes purchased pursuant to a Change of Control
Offer shall be required to surrender such Notes, with the form entitled “Option of Holder to
Elect Purchase” on the reverse of such Notes completed, to the paying agent specified in the
notice at the address specified in the notice prior to the close of business on the third
Business Day preceding the Change of Control Payment Date;

(f) that Holders shall be entitled to withdraw their tendered Notes and their election
to require the Issuer to purchase such Notes, provided that the Paying Agent receives, not
later than the close of business on the expiration date of the Change of Control Offer, a
facsimile transmission, electronic transmission or letter setting forth the name of the
Holder, the principal amount of Notes tendered for purchase, and a statement that such
Holder is withdrawing its tendered Notes and its election to have such Notes purchased;

(g) that Holders whose Notes are being purchased only in part shall be issued new Notes
and such new Notes shall be equal in principal amount to the unpurchased portion of the
Notes surrendered. The unpurchased portion of the Notes must be equal to at least $2,000 or
any integral multiple of $1,000 in excess of $2,000;

(h) if such notice is delivered prior to the occurrence of a Change of Control, stating
that the Change of Control Offer is conditional on the occurrence of such Change of Control;
and

(i) the other instructions, as determined by the Issuer, consistent with this Section
4.14 that a Holder must follow.

The notice, if sent in a manner herein provided, shall be conclusively presumed to have been
given, whether or not the Holder receives such notice. If (a) the notice is mailed in a manner
herein provided and (b) any Holder fails to receive such notice or a Holder receives such notice
but it is defective, such Holder’s failure to receive such notice or such defect shall not affect
the validity of the proceedings for the purchase of the Notes as to all other Holders that properly
received such notice without defect. The Issuer shall comply with the requirements of Rule 14e-1
under the Exchange Act and any other securities laws and regulations thereunder to the extent such
laws or regulations are applicable in connection with the repurchase of Notes pursuant to a Change
of Control Offer. To the extent that the provisions of any securities laws or regulations conflict
with the provisions of this Section 4.14, the Issuer shall comply with the applicable securities
laws and regulations and shall not be deemed to have breached its obligations described in this
Indenture by virtue thereof.

On the Change of Control Payment Date, the Issuer shall, to the extent permitted by law:

(i) accept for payment all Notes issued by it or portions thereof properly tendered
pursuant to the Change of Control Offer;

 

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

(iii) deliver, or cause to be delivered, to the Trustee for cancellation the Notes so
accepted together with an Officer’s Certificate to the Trustee stating that such Notes or
portions thereof have been tendered to and purchased by the Issuer.

The Issuer shall not be required to make a Change of Control Offer following a Change of
Control if a third party makes the Change of Control Offer in the manner, at the times and
otherwise in compliance with the requirements set forth in this Indenture applicable to a Change of
Control Offer made by the Issuer and purchases all Notes validly tendered and not withdrawn under
such Change of Control Offer.

Notwithstanding anything to the contrary herein, a Change of Control Offer may be made in
advance of a Change of Control, conditional upon such Change of Control, if a definitive agreement
is in place for the Change of Control at the time of making of the Change of Control Offer.

Other than as specifically provided in this Section 4.14, any purchase pursuant to this
Section 4.14 shall be made pursuant to the provisions of Sections 3.02, 3.05 and 3.06, hereof, and
references therein to “redeem,” “redemption” and similar words shall be deemed to refer to
“purchase,” “repurchase” and similar words, as applicable.

The provisions of this Section 4.14, and the definition of “Change of Control,” may be waived
or modified with the written consent of the Holders of a majority in principal amount of the Notes
then outstanding.

Section 4.15 Limitation on Guarantees of Indebtedness by Restricted Subsidiaries. The Issuer shall not
permit any of its Wholly-Owned Subsidiaries that are Restricted Subsidiaries (and non-Wholly-Owned
Subsidiaries if such non-Wholly-Owned Subsidiaries guarantee other capital markets debt securities
of the Issuer or any Guarantor), other than a Guarantor or a Securitization Subsidiary, to
guarantee the payment of any Indebtedness of the Issuer or any other Guarantor unless:

(a) such Restricted Subsidiary within 30 days executes and delivers (x) a supplemental
indenture to this Indenture, the form of which is attached as Exhibit D hereto, providing
for a Guarantee by such Restricted Subsidiary, except that with respect to a guarantee of
Indebtedness of the Issuer or any Guarantor, if such Indebtedness is by its express terms
subordinated in right of payment to the Notes or such Guarantor’s Guarantee, any such
guarantee by such Restricted Subsidiary with respect to such Indebtedness shall be
subordinated in right of payment to such Guarantee substantially to the same extent as such
Indebtedness is subordinated to the Notes and (y) supplements to the applicable Collateral
Documents in order to grant a Lien in the Collateral owned by such Restricted Subsidiary and
takes all actions required by such Collateral Documents to perfect the Liens created
thereunder; and

(b) such Restricted Subsidiary waives and shall not in any manner whatsoever claim or
take the benefit or advantage of, any rights of reimbursement, indemnity or subrogation or
any other rights against the Issuer or any other Restricted Subsidiary as a result of any
payment by such Restricted Subsidiary under its Guarantee;

The Issuer may elect, in its sole discretion, to cause any Subsidiary that is not otherwise
required to be a Guarantor to become a Guarantor, in which case such Subsidiary shall not be
required to comply with the 30 day period described in clause (1) above.

Section 4.16 Impairment of Security Interests; Further Assurances.

(a) Subject to the rights of the holders of Permitted Liens and the limitations set forth in
this Indenture and the Collateral Documents, neither the Issuer nor any of the Guarantors shall
take any action, or knowingly or negligently omit to take any action, which action or omission
might or would or could be reasonably expected to have the result of materially impairing the
security interest with respect to the Collateral for the benefit of the Trustee and the Holders in
contravention of the provisions of this Indenture. Notwithstanding the foregoing, the Trustee
and the Holders acknowledge and agree that any release of the Liens pursuant to this Indenture
and the Collateral Documents shall not be deemed to impair the security under this Indenture and
that any Person may rely on such provision in delivering a certificate requesting release so long
as all other provisions of this Indenture with respect to such release have been complied with.

 

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(b) Subject to the limitations set forth in this Indenture and the Collateral Documents, the
Issuer and each of the Guarantors shall execute any and all further documents, financing statements
(including amendments thereto and continuations thereof), agreements and instruments, and take all
further action that may be reasonably required under applicable law, or that the Notes Collateral
Agent may reasonably request, in order to grant, preserve, protect and perfect the validity and
priority of the security interests and Liens created or intended to be created by the Collateral
Documents in the Collateral.

Section 4.17 After-Acquired Property. Promptly following the acquisition by the Issuer or any Guarantor of
any After-Acquired Property (but subject to the limitations, if applicable, described in Article 13
and the Collateral Documents), the Issuer or such Guarantor shall execute and deliver such
mortgages, deeds of trust, security instruments, financing statements and, in the case of interests
in real property, certificates and opinions of counsel, as shall be reasonably necessary to vest in
the Notes Collateral Agent a perfected security interest in such After-Acquired Property and to
have such After-Acquired Property added to the Notes Collateral or the ABL Collateral, as
applicable, and thereupon all provisions of this Indenture and Collateral Documents relating to the
Notes Collateral or the ABL Collateral, as applicable, shall be deemed to relate to such
After-Acquired Property to the same extent and with the same force and effect.

Section 4.18 Insurance. The Issuer and the Guarantors shall, and shall cause each Restricted Subsidiary
to, maintain, with financially sound and reputable insurance companies (a) insurance in such
amounts and against such risks, as are customarily maintained by similarly situated companies
engaged in the same or similar businesses operating in the same or similar locations (after giving
effect to any self-insurance reasonable and customary for similarly situated companies) and (b) all
insurance required pursuant to the Collateral Documents (and shall cause the Notes Collateral Agent
to be listed as a lenders’ loss payee (together with any other lenders’ loss payee in accordance
with the Intercreditor Agreement) on property and casualty policies covering loss or damage to
Collateral and as an additional insured on liability policies). The Issuer shall furnish to the
Notes Collateral Agent, upon request, information in reasonable detail as to the insurance so
maintained. The Issuer and each Guarantor shall name the Trustee and the Notes Collateral Agent as
a co-loss payee on property and casualty policies and as an additional insured as its interests may
appear on the liability policies listed in this Section 4.18. The Issuer shall provide evidence of
such fact to the Trustee.

Section 4.19 Payment for Consent. The Issuer shall not, and shall not permit any of its Restricted
Subsidiaries to, directly or indirectly, pay or cause to be paid any consideration to or for the
benefit of any Holder of Notes for or as an inducement to any consent, waiver or amendment of any
of the terms or provisions of this Indenture or the Notes unless such consideration is offered to
be paid and is paid to all Holders of the Notes that consent, waive or agree to amend in the time
frame set forth in the solicitation documents relating to such consent, waiver or agreement.

Section 4.20 Post-Closing Actions. Subject to the limitations set forth in this Indenture or the
Collateral Documents, the parties hereto acknowledge and agree that within ninety (90) days after
the Issue Date, provided, that such efforts may take longer than ninety (90) days, the Issuer shall
use commercially reasonable efforts to cause the Notes Collateral Agent to have received evidence
that documents duly executed by the Issuer or applicable Guarantor and the Notes Collateral Agent
have been filed with the United States Patent and Trademark Office or the United States Copyright
Office, as applicable, as may be necessary or advisable for the purpose of perfecting, confirming,
enforcing or protecting the Notes Collateral Agent’s security interest over the Issuer’s and each
Guarantor’s patents, trademarks and copyrights registered in the United States.

ARTICLE 5

SUCCESSORS

Section 5.01 Merger, Consolidation or Sale of All or Substantially All Assets.

 

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(a) The Issuer may not consolidate or merge with or into or wind up into (whether or not the
Issuer is the surviving Person), or sell, assign, transfer, lease, convey or otherwise dispose of
all or substantially all of its properties or assets, in one or more related transactions, to any
Person unless:

(i) the Issuer is the surviving Person or the Person formed by or surviving any such
consolidation, amalgamation or merger (if other than the Issuer) or to which such sale,
assignment, transfer, lease, conveyance or other disposition shall have been made, is a
Person organized or existing under the laws of the United States, any state thereof, the
District of Columbia, or any territory thereof (such Person, as the case may be, being
herein called the “Successor Company”); provided that in the case where the surviving Person
is not a corporation, a co-obligor of the Notes is a corporation;

(ii) the Successor Company, if other than the Issuer, expressly assumes all the
obligations of the Issuer under this Indenture, the Notes and the Collateral Documents
pursuant to supplemental indenture or other documents or instruments;

(iii) immediately after such transaction, no Default exists;

(iv) immediately after giving pro forma effect to such transaction and any related
financing transactions, as if such transactions had occurred at the beginning of the
applicable four-quarter period,

(A) the Successor Company or the Issuer would be permitted to incur at least
$1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Test hereof,
or

(B) the Fixed Charge Coverage Ratio immediately after giving pro forma effect
to such transaction is greater than the Fixed Charge Coverage Ratio immediately
prior to giving pro forma effect to such transaction;

(v) each Guarantor, unless it is a Guarantor that is the other party to the
transactions described above, in which case Section 5.01(c)(i)(B) shall apply, shall have by
supplemental indenture confirmed that its Guarantee shall apply to such Person’s obligations
under this Indenture, the Notes, the Collateral Documents and the Registration Rights
Agreement; and

(vi) the Issuer shall have delivered to the Trustee an Officer’s Certificate and
Opinion of Counsel stating that such consolidation, merger, amalgamation or transfer and
such supplemental indenture, if any, comply with this Indenture.

(b) The Successor Company shall succeed to, and be substituted for the Issuer under this
Indenture, the Security Documents, the Guarantees and the Notes, as applicable. Notwithstanding
clauses (iii) and (iv) of Section 5.01(a) hereof,

(i) any Restricted Subsidiary that is not a Guarantor may consolidate or amalgamate
with or merge into or transfer all or part of its properties and assets to the Issuer or any
Restricted Subsidiary;

(ii) any Guarantor may consolidate or amalgamate with or merge into or transfer all or
part of its properties and assets to the Issuer or a Guarantor (or to a Restricted
Subsidiary if that Restricted Subsidiary becomes a Guarantor); and

(iii) the Issuer may merge with an Affiliate of the Issuer solely for the purpose of
reincorporating the Issuer in the United States, the District of Columbia or any territory
thereof so long as the amount of Indebtedness of the Issuer and its Restricted Subsidiaries
is not increased thereby.

(c) Subject to Section 10.06 hereof, no Guarantor shall, and the Issuer shall not permit any
Guarantor to, consolidate, amalgamate or merge with or into or wind up into (whether or not such
Guarantor is the surviving Person), or sell, assign, transfer, lease, convey or otherwise dispose
of all or substantially all of its properties or assets, in one or more related transactions, to
any Person unless:

 

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(i) (A) such Guarantor is the surviving Person or the Person formed by or surviving any
such consolidation, amalgamation or merger (if other than such Guarantor) or to which such
sale, assignment, transfer, lease, conveyance or other disposition shall have been made is a
Person organized or existing under the laws of the jurisdiction of organization of such
Guarantor, as applicable, or the laws of the United States, any state thereof, the District
of Columbia, or any territory thereof (such surviving Guarantor or such Person, as the case
may be, being herein called the “Successor Person”);

(B) the Successor Person, if other than such Guarantor, expressly assumes all the
obligations of such Guarantor under this Indenture, the Collateral Documents and such
Guarantor’s related Guarantee pursuant to supplemental indenture or other documents or
instruments;

(C) immediately after such transaction, no Default exists; and

(D) the Issuer shall have delivered to the Trustee an Officer’s Certificate and an
Opinion of Counsel, each stating that such consolidation, merger, amalgamation or transfer
and such supplemental indenture, if any, comply with this Indenture; or

(ii) with respect to the Guarantors, the transaction is made in compliance with Section
4.10 hereof.

(d) Subject to Section 10.06 hereof, the Successor Person shall succeed to, and be substituted
for, such Guarantor under this Indenture, the Collateral Documents and such Guarantor’s Guarantee.
Notwithstanding the foregoing, any Guarantor may (1) merge or consolidate with or into, wind up
into or transfer all or part of its properties and assets to another Guarantor or the Issuer, (2)
merge with an Affiliate of the Issuer solely for the purpose of reincorporating the Guarantor in
the United States, any state thereof, the District of Columbia or any territory thereof or (3)
convert into a corporation, partnership, limited partnership, limited liability corporation or
trust organized or existing under the laws of the jurisdiction of organization of such Guarantor.

Section 5.02 Successor Person Substituted. Upon any consolidation, amalgamation or merger, or any sale,
assignment, transfer, lease, conveyance or other disposition of all or substantially all of the
assets of the Issuer or a Guarantor in accordance with Section 5.01 hereof, the successor Person
formed by such consolidation or into or with which the Issuer or such Guarantor, as applicable, is
merged or to which such sale, assignment, transfer, lease, conveyance or other disposition is made
shall succeed to, and be substituted for (so that from and after the date of such consolidation,
merger, sale, lease, conveyance or other disposition, the provisions of this Indenture referring to
the Issuer or such Guarantor, as applicable, shall refer instead to the Successor Person and not to
the Issuer or such Guarantor, as applicable), and may exercise every right and power of the Issuer
or such Guarantor, as applicable, under this Indenture with the same effect as if such successor
Person had been named as the Issuer or a Guarantor, as applicable, herein; provided that the
predecessor Issuer shall not be relieved from the obligation to pay the principal of and interest
on the Notes except in the case of a sale, assignment, transfer, conveyance or other disposition of
all of the Issuer’s assets that meets the requirements of Section 5.01 hereof.

ARTICLE 6

DEFAULTS AND REMEDIES

Section 6.01 Events of Default.

An “Event of Default,” wherever used herein, means any one of the following events (whatever
the reason for such Event of Default and whether it shall be voluntary or involuntary or be
effected by operation of law or pursuant to any judgment, decree or order of any court or any
order, rule or regulation of any administrative or governmental body):

(a) default in payment when due and payable, upon redemption, acceleration or
otherwise, of principal of, or premium, if any, on the Notes;

 

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(b) default for 30 days or more in the payment when due of interest or Additional
Interest on or with respect to the Notes;

(c) failure by the Issuer or any Guarantor for 60 days after receipt of written notice
given by the Trustee or the Holders of not less than 25.0% in principal amount of the then
outstanding Notes to comply with any of its obligations, covenants or agreements (other than
a default referred to in clause (i) or (ii) above) contained in this Indenture, the Notes or
the Collateral Documents;

(d) default under any mortgage, indenture or instrument under which there is issued or
by which there is secured or evidenced any Indebtedness for money borrowed by the Issuer or
any of its Restricted Subsidiaries or the payment of which is guaranteed by the Issuer or
any of its Restricted Subsidiaries, other than Indebtedness owed to the Issuer or a
Restricted Subsidiary, whether such Indebtedness or guarantee now exists or is created after
the issuance of the Notes, if both:

(i) such default either results from the failure to pay any principal of such
Indebtedness at its stated final maturity (after giving effect to any applicable
grace periods) or relates to an obligation other than the obligation to pay
principal of any such Indebtedness at its stated final maturity and results in the
holder or holders of such Indebtedness causing such Indebtedness to become due prior
to its stated maturity; and

(ii) the principal amount of such Indebtedness, together with the principal
amount of any other such Indebtedness in default for failure to pay principal at
stated final maturity (after giving effect to any applicable grace periods), or the
maturity of which has been so accelerated, aggregate $15.0 million or more at any
one time outstanding;

(e) failure by the Issuer or any Significant Subsidiary (or any group of Restricted
Subsidiaries that together would constitute a Significant Subsidiary) (in each case
determined as of the most recent consolidated financial statements of the Issuer for a
fiscal quarter end provided as required under Section 4.03) to pay final judgments
aggregating in excess of $15.0 million (net of amounts covered by insurance policies issued
by reputable insurance companies), which final judgments remain unpaid, undischarged and
unstayed for a period of more than 60 days after such judgment becomes final, and in the
event such judgment is covered by insurance, an enforcement proceeding has been commenced by
any creditor upon such judgment or decree which is not promptly stayed;

(f) the Issuer or any of its Subsidiaries that is a Significant Subsidiary (or any
group of Restricted Subsidiaries that, taken together, would constitute a Significant
Subsidiary) (in each case determined as of the most recent consolidated financial statements
of the Issuer for a fiscal quarter end provided as required under Section 4.03), pursuant to
or within the meaning of any Bankruptcy Law:

(i) commences proceedings to be adjudicated bankrupt or insolvent;

(ii) consents to the institution of bankruptcy or insolvency proceedings
against it, or the filing by it of a petition or answer or consent seeking
reorganization or relief under applicable Bankruptcy Law;

(iii) consents to the appointment of a receiver, liquidator, assignee, trustee,
sequestrator or other similar official of it or for all or substantially all of its
property;

(iv) makes a general assignment for the benefit of its creditors; or

(v) generally is not paying its debts as they become due;

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

 

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(i) is for relief against the Issuer or any of its Subsidiaries that is a
Significant Subsidiary (or any group of Restricted Subsidiaries that, taken
together, would constitute a Significant Subsidiary) (in each case determined as of
the most recent consolidated financial statements of the Issuer for a fiscal quarter
end provided as required under Section 4.03), in a proceeding in which the Issuer or
any such Subsidiary or such group of Restricted Subsidiaries is to be adjudicated
bankrupt or insolvent;

(ii) appoints a receiver, liquidator, assignee, trustee, sequestrator or other
similar official of the Issuer or any of its Subsidiaries that is a Significant
Subsidiary (or any group of Restricted Subsidiaries that, taken together, would
constitute a Significant Subsidiary) (in each case determined as of the most recent
consolidated financial statements of the Issuer for a fiscal quarter end provided as
required under Section 4.03), or for all or substantially all of the property of the
Issuer or any such Subsidiary or such group of Restricted Subsidiaries; or

(iii) orders the liquidation of the Issuer or any of its Subsidiaries that is a
Significant Subsidiary (or any group of Restricted Subsidiaries that, taken
together, would constitute a Significant Subsidiary) (in each case determined as of
the most recent consolidated financial statements of the Issuer for a fiscal quarter
end provided as required under Section 4.03);

and the order or decree remains unstayed and in effect for 60 consecutive days; or

(h) the Guarantee of any Significant Subsidiary (or any group of Restricted
Subsidiaries that together would constitute a Significant Subsidiary) (in each case
determined as of the most recent consolidated financial statements of the Issuer for a
fiscal quarter end provided as required under Section 4.03) shall for any reason cease to be
in full force and effect or be declared null and void or any responsible officer of any
Guarantor that is a Significant Subsidiary) (or the responsible officers of any group of
Restricted Subsidiaries that together would constitute a Significant Subsidiary) (in each
case determined as of the most recent consolidated financial statement of the Issuer for a
fiscal quarter end), as the case may be, denies in writing that it has any further liability
under its Guarantee or gives written notice to such effect, other than by reason of the
termination of this Indenture or the release of any such Guarantee in accordance with this
Indenture; or

(i) with respect to any Collateral, individually or in the aggregate, having a fair
market value in excess of $15.0 million, any of the Collateral Documents ceases to be in
full force and effect, or any of the Collateral Documents ceases to give the Holders the
Liens in such Collateral purported to be created thereby, or any of the Collateral Documents
is declared null and void or the Issuer or any Restricted Subsidiary denies in writing that
it has any further liability under any Collateral Document or gives written notice to such
effect (in each case (i) other than in accordance with the terms of this Indenture or the
terms of the ABL Facility or the Collateral Documents or (ii) unless waived by the requisite
lenders under the ABL Facility), except to the extent that any such loss of perfection or
priority results from the failure of the Trustee to maintain possession of certificates
actually delivered to it representing securities pledged under the Collateral Documents;
provided that if a failure of the sort described in this clause (i) is susceptible of cure,
no Event of Default shall arise under this clause (i) with respect thereto until 30 days
after notice of such failure shall have been given to the Issuer by the Trustee or the
Holders of at least 25% in principal amount of the then outstanding Notes issued under this
Indenture.

Section 6.02 Acceleration. If any Event of Default (other than a type specified in clause (f) or (g) of
Section 6.01 hereof) occurs and is continuing under this Indenture, the Trustee or the Holders of
at least 25.0% in principal amount of the then total outstanding Notes may declare the principal,
premium, if any, interest and any other monetary obligations on all the then outstanding Notes to
be due and payable immediately.

Upon the effectiveness of such declaration, such principal of and premium, if any, and
interest shall be due and payable immediately.

Notwithstanding the foregoing, in the case of an Event of Default arising under clause (f) or
(g) of Section 6.01 hereof, all outstanding Notes shall become due and payable immediately without
further action or notice. Trustee may
withhold from the Holders notice of any continuing Default, except a Default relating
to the payment of principal, premium, if any, or interest, if it determines that withholding notice
is in their interest.

 

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The Holders of a majority in aggregate principal amount of the then outstanding Notes by
notice to the Trustee may on behalf of all the Holders rescind any acceleration with respect to the
Notes and its consequences under this Indenture (except if such rescission would conflict with any
judgment of a court of competent jurisdiction) provided all existing Events of Default (except
nonpayment of interest on, premium, if any, or the principal of any Note held by a non-consenting
Holder that has become due solely because of the acceleration) have been cured or waived.

In the event of any Event of Default specified in clause (d) of Section 6.01 hereof, such
Event of Default and all consequences thereof (excluding any resulting payment default, other than
as a result of acceleration of the Notes) shall be annulled, waived and rescinded, automatically
and without any action by the Trustee or the Holders, if within 20 days after such Event of Default
arose:

(a) the Indebtedness or guarantee that is the basis for such Event of Default has been
discharged; or

(b) holders thereof have rescinded or waived the acceleration, notice or action (as the
case may be) giving rise to such Event of Default; or

(c) the default that is the basis for such Event of Default has been cured.

Section 6.03 Other Remedies. If an Event of Default occurs and is continuing, the Trustee may pursue any
available remedy to collect the payment of principal, premium, if any, and interest on the Notes or
to enforce the performance of any provision of the Notes or this Indenture.

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

Section 6.04 Waiver of Past Defaults. Holders of not less than a majority in aggregate principal amount of
the then outstanding Notes by notice to the Trustee may on behalf of all the Holders waive any
existing Default and its consequences hereunder (except a continuing Default in the payment of the
principal of, premium, if any, or interest on, any Note held by a non-consenting Holder) (including
in connection with an Asset Sale Offer or a Change of Control Offer). Upon any such waiver, such
Default shall cease to exist, and any Event of Default arising therefrom shall be deemed to have
been cured for every purpose of this Indenture; but no such waiver shall extend to any subsequent
or other Default or impair any right consequent thereon.

Section 6.05 Control by Majority. Holders of a majority in principal amount of the then total outstanding
Notes (excluding any Notes directly or indirectly held by the Issuer or its Affiliates) may direct
the time, method and place of conducting any proceeding for any remedy available to the Trustee or
of exercising any trust or power conferred on the Trustee. The Trustee, however, may refuse to
follow any direction that conflicts with law or this Indenture or that the Trustee determines is
unduly prejudicial to the rights of any other Holder of a Note or that would involve the Trustee in
personal liability.

Section 6.06 Limitation on Suits. Subject to Section 6.07 hereof, no Holder of a Note may pursue any
remedy with respect to this Indenture or the Notes unless:

(a) such Holder has previously given the Trustee notice that an Event of Default is
continuing;

(b) Holders of at least 25% in principal amount of the total outstanding Notes have
requested the Trustee to pursue the remedy;

 

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(c) the Holders have offered the Trustee security or indemnity against any loss,
liability or expense reasonably satisfactory to the Trustee;

(d) the Trustee has not complied with such request within 60 days after the receipt
thereof and the offer of security or indemnity; and

(e) Holders of a majority in principal amount of the total outstanding Notes have not
given the Trustee a direction inconsistent with such request within such 60-day period.

Section 6.07 Rights of Holders to Receive Payment. Notwithstanding any other provision of this Indenture,
the right of any Holder of a Note to receive payment of principal of, premium, if any, and interest
on the Note, on or after the respective due dates expressed in the Note (including in connection
with an Asset Sale Offer or a Change of Control Offer), or to bring suit for the enforcement of any
such payment on or after such respective dates, shall not be impaired or affected without the
consent of such Holder.

Section 6.08 Collection Suit by Trustee. If an Event of Default specified in Section 6.01(a) or (b) hereof
occurs and is continuing, the Trustee is authorized to recover judgment in its own name and as
trustee of an express trust against the Issuer for the whole amount of principal of, premium, if
any, and interest remaining unpaid on the Notes and interest on overdue principal and, to the
extent lawful, interest and such further amount as shall be sufficient to cover the costs and
expenses of collection, including the compensation, reasonable expenses, disbursements and advances
of the Trustee, its agents and counsel.

Section 6.09 Restoration of Rights and Remedies. If the Trustee or any Holder has instituted any
proceeding to enforce any right or remedy under this Indenture and such proceeding has been
discontinued or abandoned for any reason, or has been determined adversely to the Trustee or to
such Holder, then and in every such case, subject to any determination in such proceedings, the
Issuer, the Trustee and the Holders shall be restored severally and respectively to their former
positions hereunder and thereafter all rights and remedies of the Trustee and the Holders shall
continue as though no such proceeding has been instituted.

Section 6.10 Rights and Remedies Cumulative. Except as otherwise provided with respect to the replacement
or payment of mutilated, destroyed, lost or stolen Notes in Section 2.07 hereof, no right or remedy
herein conferred upon or reserved to the Trustee or to the Holders is intended to be exclusive of
any other right or remedy, and every right and remedy shall, to the extent permitted by law, be
cumulative and in addition to every other right and remedy given hereunder or now or hereafter
existing at law or in equity or otherwise. The assertion or employment of any right or remedy
hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other
appropriate right or remedy.

Section 6.11 Delay or Omission Not Waiver. No delay or omission of the Trustee or of any Holder of any
Note to exercise any right or remedy accruing upon any Event of Default shall impair any such right
or remedy or constitute a waiver of any such Event of Default or an acquiescence therein. Every
right and remedy given by this Article or by law to the Trustee or to the Holders may be exercised
from time to time, and as often as may be deemed expedient, by the Trustee or by the Holders, as
the case may be.

Section 6.12 Trustee May File Proofs of Claim. The Trustee is authorized to file such proofs of claim and
other papers or documents as may be necessary or advisable in order to have the claims of the
Trustee (including any claim for the compensation, reasonable expenses, disbursements and advances
of the Trustee, its agents and counsel) and the Holders allowed in any judicial proceedings
relative to the Issuer (or any other obligor upon the Notes including the Guarantors), its
creditors or its property and shall be entitled and empowered to participate as a member in any
official committee of creditors appointed in such matter and to collect, receive and distribute any
money or other property payable or deliverable on any such claims and any custodian in any such
judicial proceeding is hereby authorized by each Holder to make such payments to the Trustee, and
in the event that the Trustee shall consent to the making of such payments directly to the Holders,
to pay to the Trustee any amount due to it for the compensation, reasonable expenses, disbursements
and advances of the Trustee, its agents and counsel, and any other amounts due the Trustee under
Section 7.07 hereof. To the extent that the payment of any such compensation, expenses,
disbursements and advances of the Trustee, its agents and counsel, and any other amounts due the
Trustee under Section 7.07 hereof out of the estate in any such proceeding, shall be denied for any
reason, payment of the

 

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same shall be secured by a Lien on, and shall be paid out of, any and all distributions,
dividends, money, securities and other properties that the Holders may be entitled to receive in
such proceeding whether in liquidation or under any plan of reorganization or arrangement or
otherwise. Nothing herein contained shall be deemed to authorize the Trustee to authorize or
consent to or accept or adopt on behalf of any Holder any plan of reorganization, arrangement,
adjustment or composition affecting the Notes or the rights of any Holder, or to authorize the
Trustee to vote in respect of the claim of any Holder in any such proceeding.

Section 6.13 Priorities. If the Trustee or any Agent collects any money or property pursuant to this
Article 6 or receives any money from the Notes Collateral Agent as the distribution of proceeds
received upon realization of any Collateral, it shall pay out the money or property in the
following order:

(a) to the Trustee, such Agent, their agents and attorneys for amounts due under
Section 7.07 hereof, including payment of all compensation, expenses and liabilities
incurred, and all advances made, by the Trustee or such Agent and the costs and expenses of
collection;

(b) to Holders for amounts due and unpaid on the Notes for principal, premium, if any,
and interest, ratably, without preference or priority of any kind, according to the amounts
due and payable on the Notes for principal, premium, if any, and interest, respectively; and

(c) to the Issuer or to such party as a court of competent jurisdiction shall direct
including a Guarantor, if applicable.

The Trustee may fix a record date and payment date for any payment to Holders pursuant to this
Section 6.13.

Section 6.14 Undertaking for Costs. In any suit for the enforcement of any right or remedy under this
Indenture or in any suit against the Trustee for any action taken or omitted by it as a Trustee, a
court in its discretion may require the filing by any party litigant in the suit of an undertaking
to pay the costs of the suit, and the court in its discretion may assess reasonable costs,
including reasonable attorneys’ fees and expenses, against any party litigant in the suit, having
due regard to the merits and good faith of the claims or defenses made by the party litigant. This
Section 6.14 does not apply to a suit by the Trustee, a suit by a Holder of a Note pursuant to
Section 6.07 hereof, or a suit by Holders of more than 10.0% in principal amount of the then
outstanding Notes.

ARTICLE 7

TRUSTEE

Section 7.01 Duties of Trustee.

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

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

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

(ii) in the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed therein, upon
certificates or opinions furnished to the Trustee and conforming to the requirements of this
Indenture. However, in the case of any such certificates or opinions which by any provision
hereof are specifically required to be furnished to the Trustee, the Trustee shall examine
the certificates and opinions to determine whether or not they conform
to the form requirements of this Indenture (but need not investigate or confirm the
accuracy of mathematical calculations or other facts stated therein).

 

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

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

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

(iii) the Trustee shall not be liable with respect to any action it takes or omits to
take in good faith in accordance with a direction received by it pursuant to Section 6.02,
6.04 or 6.05 hereof.

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

(e) The Trustee shall be under no obligation to exercise any of its rights or powers under
this Indenture at the request or direction of any of the Holders unless the Holders have offered to
the Trustee indemnity or security satisfactory to it against any loss, liability or expense.

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

Section 7.02 Rights of Trustee.

(a) The Trustee may conclusively rely upon any document believed by it to be genuine and to
have been signed or presented by the proper Person. The Trustee need not investigate any fact or
matter stated in the document, but the Trustee, in its discretion, may make such further inquiry or
investigation into such facts or matters as it may see fit, and, if the Trustee shall determine to
make such further inquiry or investigation, it shall be entitled to examine the books, records and
premises of the Issuer and its Restricted Subsidiaries, personally or by agent or attorney at the
sole cost of the Issuer and shall incur no liability or additional liability of any kind by reason
of such inquiry or investigation.

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

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

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

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

(f) None of the provisions of this Indenture shall require the Trustee to expend or risk its
own funds or otherwise to incur any liability, financial or otherwise, in the performance of any of
its duties hereunder, or in the exercise of any of its rights or powers if it shall have reasonable
grounds for believing that repayment of such funds or indemnity satisfactory to it against such
risk or liability is not assured to it.

 

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(g) The Trustee shall not be deemed to have notice of any Default or Event of Default unless a
Responsible Officer of the Trustee has actual knowledge thereof or unless written notice of any
event which is in fact such a Default is received by the Trustee at the Corporate Trust Office, and
such notice references the Notes and this Indenture.

(h) In no event shall the Trustee be responsible or liable for special, indirect, or
consequential loss or damage of any kind whatsoever (including, but not limited to, loss of profit)
irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and
regardless of the form of action.

(i) The rights, privileges, protections, immunities and benefits given to the Trustee,
including, without limitation, its right to be indemnified, are extended to, and shall be
enforceable by, the Trustee in each of its capacities hereunder, and each agent, custodian and
other Person employed to act hereunder.

(j) In the event the Issuer is required to pay Additional Interest, the Issuer shall provide
written notice to the Trustee of the Issuer’s obligation to pay Additional Interest no later than
15 days prior to the next Interest Payment Date, which notice shall set forth the amount of the
Additional Interest to be paid by the Issuer. The Trustee shall not at any time be under any duty
or responsibility to any Holders to determine whether the Additional Interest is payable and the
amount thereof.

(k) Delivery of reports, information and documents (including without limitation reports
contemplated under Section 4.03 hereof) to the Trustee is for informational purposes only and the
Trustee’s receipt of such shall not constitute constructive notice of any information contained
therein or determinable from information contained therein, including the Issuer’s compliance with
any of its covenants hereunder (as to which the Trustee is entitled to rely exclusively on
Officer’s Certificates).

(l) The permissive rights of the Trustee to take certain actions under this Indenture shall
not be construed as a duty unless so specified herein.

Section 7.03 Individual Rights of Trustee. The Trustee in its individual or any other capacity may become
the owner or pledgee of Notes and may otherwise deal with the Issuer or any of its Affiliates with
the same rights it would have if it were not Trustee. However, in the event that the Trustee
acquires any conflicting interest it must eliminate such conflict within 90 days or apply to the
SEC for permission to continue or resign. Any Agent may do the same with like rights and duties.
The Trustee is also subject to Sections 7.10 and 7.11 hereof.

Section 7.04 Trustee’s Disclaimer. The Trustee shall not be responsible for and makes no representation as
to the validity or adequacy of this Indenture or the Notes, it shall not be accountable for the
Issuer’s use of the proceeds from the Notes or any money paid to the Issuer or upon the Issuer’s
direction under any provision of this Indenture, it shall not be responsible for the use or
application of any money received by any Paying Agent other than the Trustee, and it shall not be
responsible for any statement or recital herein or any statement in the Notes or any other document
in connection with the sale of the Notes or pursuant to this Indenture other than its certificate
of authentication.

Section 7.05 Notice of Defaults. If a Default occurs and is continuing and if it is known to the Trustee,
the Trustee shall deliver to Holders a notice of the Default within 90 days after it occurs.
Except in the case of a Default relating to the payment of principal, premium, if any, or interest
on any Note, the Trustee may withhold from the Holders notice of any continuing Default if and so
long as a committee of its Responsible Officers in good faith determines that withholding the
notice is in the interests of the Holders.

Section 7.06 Reports by Trustee to Holders. Within 60 days after each May 15th, beginning with the May
15th following the date of this Indenture, and for so long as Notes remain outstanding, the Trustee
shall mail to the Holders a brief report dated as of such reporting date that complies with Trust
Indenture Act Section 313(a) (but if no event described in Trust Indenture Act Section 313(a) has
occurred within the twelve months preceding the reporting date, no report need be transmitted).
The Trustee also shall comply with Trust Indenture Act Section 313(b). The Trustee shall also
transmit by mail all reports as required by Trust Indenture Act Section 313(c).

 

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A copy of each report at the time of its mailing to the Holders shall be mailed to the Issuer
and filed with the SEC and each stock exchange on which the Notes are listed (known to the Trustee)
in accordance with Trust Indenture Act Section 313(d). The Issuer shall promptly notify the
Trustee in writing when the Notes are listed on any stock exchange or delisted therefrom.

Section 7.07 Compensation and Indemnity. The Issuer shall pay to the Trustee from time to time such
compensation for its acceptance of this Indenture and services hereunder as the parties shall agree
in writing from time to time. The Trustee’s compensation shall not be limited by any law on
compensation of a trustee of an express trust. The Issuer shall reimburse the Trustee promptly
upon request for all reasonable out-of-pocket disbursements, advances and expenses incurred or made
by it in addition to the compensation for its services. Such expenses shall include the reasonable
compensation, disbursements and expenses of the Trustee’s agents and counsel.

The Issuer and the Guarantors, jointly and severally, shall indemnify the Trustee and its
officers, directors, employees, agents and any predecessor trustee and its officers, directors,
employees and agents for, and hold the Trustee harmless against, any and all loss, damage, claims,
liability or expense (including reasonable attorneys’ fees) incurred by it in connection with the
acceptance or administration of this trust and the performance of its duties hereunder (including
the costs and expenses of enforcing this Indenture against the Issuer or any of the Guarantors
(including this Section 7.07) or defending itself against any claim whether asserted by any Holder,
the Issuer or any Guarantor, or liability in connection with the acceptance, exercise or
performance of any of its powers or duties hereunder). The Trustee shall notify the Issuer
promptly of any claim of which a Responsible Officer has received written notice for which it may
seek indemnity. Failure by the Trustee to so notify the Issuer shall not relieve the Issuer of its
obligations hereunder. The Issuer shall defend the claim and the Trustee may have separate counsel
and the Issuer shall pay the reasonable fees and expenses of such counsel. The Issuer need not
reimburse any expense or indemnify against any loss, liability or expense incurred by the Trustee
through the Trustee’s own willful misconduct or negligence.

The obligations of the Issuer under this Section 7.07 shall survive the satisfaction and
discharge of this Indenture or the earlier resignation or removal of the Trustee.

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

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

The Trustee shall comply with the provisions of Trust Indenture Act Section 313(b) to the
extent applicable.

Section 7.08 Replacement of Trustee. A resignation or removal of the Trustee and appointment of a
successor Trustee shall become effective only upon the successor Trustee’s acceptance of
appointment as provided in this Section 7.08. The Trustee may resign in writing at any time and be
discharged from the trust hereby created by so notifying the Issuer. The Holders of a majority in
principal amount of the then-outstanding Notes may remove the Trustee by so notifying the Trustee
and the Issuer in writing. The Issuer may remove the Trustee if:

(a) the Trustee fails to comply with Section 7.10 hereof or Trust Indenture Act Section
310;

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

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

(d) the Trustee becomes incapable of acting.

 

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

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

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

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

Section 7.09 Successor Trustee by Merger, Etc. If the Trustee consolidates, merges or converts into, or
transfers all or substantially all of its corporate trust business to, another corporation, the
successor corporation without any further act shall be the successor Trustee.

Section 7.10 Eligibility; Disqualification. There shall at all times be a Trustee hereunder that is a
corporation organized and doing business under the laws of the United States of America or of any
state thereof that is authorized under such laws to exercise corporate trustee power, that is
subject to supervision or examination by federal or state authorities and that has, together with
its parent, a combined capital and surplus of at least $50,000,000 as set forth in its most recent
published annual report of condition.

This Indenture shall always have a Trustee who satisfies the requirements of Trust Indenture
Act Sections 310(a)(1), (2) and (5). The Trustee is subject to Trust Indenture Act Section 310(b).

Section 7.11 Preferential Collection of Claims Against Issuer. The Trustee is subject to Trust Indenture
Act Section 311(a), excluding any creditor relationship listed in Trust Indenture Act Section
311(b). A Trustee who has resigned or been removed shall be subject to Trust Indenture Act Section
311(a) to the extent indicated therein.

ARTICLE 8

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

Section 8.01 Option to Effect Legal Defeasance or Covenant Defeasance. The Issuer may, at its option and
at any time, elect to have either Section 8.02 or 8.03 hereof applied to all outstanding Notes and
all obligations of the Guarantors with respect to the Guarantees upon compliance with the
conditions set forth below in this Article 8.

 

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

(a) the rights of Holders to receive payments in respect of the principal of, premium,
if any, and interest on the Notes when such payments are due solely out of the trust created
pursuant to this Indenture referred to in Section 8.04 hereof;

(b) the Issuer’s obligations with respect to Notes concerning issuing temporary Notes,
registration of such Notes, mutilated, destroyed, lost or stolen Notes and the maintenance
of an office or agency for payment and money for security payments held in trust;

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

(d) this Section 8.02.

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

Section 8.03 Covenant Defeasance. Upon the Issuer’s exercise under Section 8.01 hereof of the option
applicable to this Section 8.03, the Issuer and the Guarantors shall, subject to the satisfaction
of the conditions set forth in Section 8.04 hereof, be released from their obligations under the
covenants contained in Sections 4.03, 4.04, 4.05, 4.07, 4.08, 4.09, 4.10, 4.11, 4.12, 4.13, 4.14,
4.15, 4.16, 4.17, 4.18, 4.19 and 4.20 hereof, clauses (iv) and (v) of Section 5.01(a), Section
5.01(c) and 5.01(d) and Article 13 hereof with respect to the outstanding Notes on and after the
date the conditions set forth in Section 8.04 hereof are satisfied (“Covenant Defeasance”), and the
Notes shall thereafter be deemed not “outstanding” for the purposes of any direction, waiver,
consent or declaration or act of Holders (and the consequences of any thereof) in connection with
such covenants, but shall continue to be deemed “outstanding” for all other purposes hereunder (it
being understood that such Notes may not be deemed outstanding for accounting purposes). For this
purpose, Covenant Defeasance means that, with respect to the outstanding Notes and the Guarantees,
the Issuer and the Guarantors may omit to comply with and shall have no liability in respect of any
term, condition or limitation set forth in any such covenant, whether directly or indirectly, by
reason of any reference elsewhere herein to any such covenant or by reason of any reference in any
such covenant to any other provision herein or in any other document and such omission to comply
shall not constitute a Default or an Event of Default under Section 6.01 hereof, but, except as
specified above, the remainder of this Indenture and such Notes and the Guarantees shall be
unaffected thereby. In addition, upon the Issuer’s exercise under Section 8.01 hereof of the
option applicable to this Section 8.03 hereof, subject to the satisfaction of the conditions set
forth in Section 8.04 hereof, Section 6.01(c) (solely with respect to the covenants that are
released upon a Covenant Defeasance), 6.01(d), 6.01(e), 6.01(f) (solely with respect to Restricted
Subsidiaries subject thereto), 6.01(g) (solely with respect to Restricted Subsidiaries subject
thereto), 6.01(h) and 6.01(i) hereof shall not constitute Events of Default.

Section 8.04 Conditions to Legal or Covenant Defeasance. The following shall be the conditions to the
application of either Section 8.02 or 8.03 hereof to the outstanding Notes:

In order to exercise either Legal Defeasance or Covenant Defeasance with respect to the Notes:

 

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(a) the Issuer must irrevocably deposit with the Trustee, in trust, for the benefit of
the Holders, cash in U.S. dollars, U.S. dollar-denominated Government Securities, or a
combination thereof, in such amounts as shall be sufficient, in the opinion of a nationally
recognized firm of independent public accountants, to pay the principal of, premium, if any,
and interest due on the Notes on the stated maturity date or on the Redemption Date, as the
case may be, of such principal, premium, if any, or interest on such Notes and the Issuer
must specify whether such Notes are being defeased to maturity or to a particular Redemption
Date, provided that upon any redemption that requires the payment of the Applicable Premium,
the amount deposited shall be sufficient for purpose of this Indenture to the extent that
an amount is deposited with the Trustee equal to the Applicable Premium calculated as of the
date of the notice of redemption, with any deficit as the date of redemption (any such
amount, the “Applicable Premium Deficit”) only required to be deposited with the Trustee on
or prior to the date of redemption. Any Applicable Premium Deficit shall be set forth in an
Officer’s Certificate delivered to the Trustee simultaneously with the deposit of such
Applicable Premium Deficit that confirms that such Applicable Premium Deficit shall be
applied toward such redemption (it being understood that any defeasance shall be subject to
the condition subsequent that such deficit is in fact paid);

(b) in the case of Legal Defeasance, the Issuer shall have delivered to the Trustee an
Opinion of Counsel confirming that, subject to customary assumptions and exclusions,

(i) the Issuer has received from, or there has been published by, the United
States Internal Revenue Service a ruling, or

(ii) since the issuance of the Notes, there has been a change in the applicable
U.S. federal income tax law;

(c) in the case of Legal Defeasance, the Issuer shall have delivered to the Trustee an
Opinion of Counsel confirming that, subject to customary assumptions and exclusions, the
Holders and beneficial owners of the Notes shall not recognize income, gain or loss for U.S.
federal income tax purposes, as applicable, as a result of such Legal Defeasance and shall
be subject to U.S. federal income tax on the same amounts, in the same manner and at the
same times as would have been the case if such Legal Defeasance had not occurred;

(d) in the case of Covenant Defeasance, the Issuer shall have delivered to the Trustee
an Opinion of Counsel confirming that, subject to customary assumptions and exclusions, the
Holders and beneficial owners of the Notes shall not recognize income, gain or loss for U.S.
federal income tax purposes as a result of such Covenant Defeasance and shall be subject to
such tax on the same amounts, in the same manner and at the same times as would have been
the case if such Covenant Defeasance had not occurred;

(e) no Default (other than that resulting from borrowing funds to be applied to make
such deposit and any similar and simultaneous deposit relating to other Indebtedness and, in
each case, the granting of Liens in connection therewith) shall have occurred and be
continuing on the date of such deposit;

(f) such Legal Defeasance or Covenant Defeasance shall not result in a breach or
violation of, or constitute a default under the ABL Facility, or any other material
agreement or instrument (other than this Indenture) to which, the Issuer or any Guarantor is
a party or by which the Issuer or any Guarantor is bound (other than that resulting from any
borrowing of funds to be applied to make the deposit required to effect such Legal
Defeasance or Covenant Defeasance and any similar and simultaneous deposit relating to other
Indebtedness, and, in each case, the granting of Liens in connection therewith);

(g) the Issuer shall have delivered to the Trustee an Opinion of Counsel to the effect
that, as of the date of such opinion and subject to customary assumptions and exclusions
following the deposit, the trust funds shall not be subject to the effect of Section 547 of
Title 11 of the United States Code;

(h) the Issuer shall have delivered to the Trustee an Officer’s Certificate stating
that the deposit was not made by the Issuer with the intent of defeating, hindering,
delaying or defrauding any creditors of the Issuer or any Guarantor or others; and

(i) the Issuer shall have delivered to the Trustee an Officer’s Certificate and an
Opinion of Counsel (which Opinion of Counsel may be subject to customary assumptions and
exclusions) each stating that all conditions precedent provided for or relating to the Legal
Defeasance or the Covenant Defeasance, as the case may be, have been complied with.

 

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Section 8.05 Deposited Money and Government Securities to be Held in Trust; other Miscellaneous Provisions.
Subject to Section 8.06 hereof, all money and Government Securities (including the proceeds
thereof) deposited with the Trustee (or other qualifying trustee, collectively for purposes of this
Section 8.05, the “Trustee”) pursuant to Section 8.04 hereof in respect of the outstanding Notes
shall be held in trust and applied by the Trustee, in accordance with the provisions of such Notes
and this Indenture, to the payment, either directly or through any Paying Agent (including the
Issuer or a Guarantor acting as Paying Agent) as the Trustee may determine, to the Holders of such
Notes of all sums due and to become due thereon in respect of principal, premium and interest, but
such money need not be segregated from other funds except to the extent required by law.

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

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

Section 8.06 Repayment to Issuer. Subject to any applicable abandoned property law, any money deposited
with the Trustee or any Paying Agent, or then held by the Issuer, in trust for the payment of the
principal of, premium, if any, or interest on any Note and remaining unclaimed for two years after
such principal, and premium, if any, or interest has become due and payable shall be paid to the
Issuer on its request or (if then held by the Issuer) shall be discharged from such trust; and the
Holder of such Note shall thereafter look only to the Issuer for payment thereof, and all liability
of the Trustee or such Paying Agent with respect to such trust money, and all liability of the
Issuer as trustee thereof, shall thereupon cease.

Section 8.07 Reinstatement. If the Trustee or Paying Agent is unable to apply any United States dollars or
Government Securities in accordance with Section 8.02 or 8.03 hereof, as the case may be, by reason
of any order or judgment of any court or governmental authority enjoining, restraining or otherwise
prohibiting such application, then the Issuer’s and the Guarantors’ obligations under this
Indenture and the Notes and the Guarantees shall be revived and reinstated as though no deposit had
occurred pursuant to Section 8.02 or 8.03 hereof until such time as the Trustee or Paying Agent is
permitted to apply all such money in accordance with Section 8.02 or 8.03 hereof, as the case may
be; provided that, if the Issuer makes any payment of principal of, premium, if any, or interest on
any Note following the reinstatement of its obligations, the Issuer shall be subrogated to the
rights of the Holders of such Notes to receive such payment from the money held by the Trustee or
Paying Agent.

ARTICLE 9

AMENDMENT, SUPPLEMENT AND WAIVER

Section 9.01 Without Consent of Holders. Notwithstanding Section 9.02 hereof, the Issuer, the Guarantors
and the Trustee may amend or supplement this Indenture, the Collateral Documents and any Guarantee
or Notes without the consent of any Holder:

(a) to cure any ambiguity, omission, mistake, defect or inconsistency;

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

(c) to comply with Section 5.01 hereof;

(d) to provide the assumption of the Issuer’s or any Guarantor’s obligations to the
Holders;

 

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(e) to make any change that would provide any additional rights or benefits to the
Holders or that does not adversely affect the legal rights under this Indenture of any such
Holder;

(f) to add covenants for the benefit of the Holders or to surrender any right or power
conferred upon the Issuer or any Guarantor;

(g) to comply with requirements of the SEC in order to effect or maintain the
qualification of this Indenture under the Trust Indenture Act;

(h) to evidence and provide for the acceptance and appointment under this Indenture of
a successor Trustee hereunder pursuant to the requirements hereof;

(i) to provide for the issuance of exchange notes or private exchange notes, which are
identical to exchange notes except that they are not freely transferable;

(j) to add or release (as permitted under this Indenture) a Guarantor under this
Indenture or Collateral under the Collateral Documents;

(k) to add or release any Collateral as permitted under this Indenture;

(l) to add any Additional Parity Debt as permitted under this Indenture and the
Collateral Documents;

(m) to conform the text of this Indenture, Guarantees or the Notes to any provision of
the “Description of Notes” section of the Offering Memorandum to the extent that such
provision in such “Description of Notes” section was intended to be a verbatim recitation of
a provision of this Indenture, Guarantee or Notes, as certified to the Trustee in an
Officer’s Certificate from the Issuer; or

(n) to make any amendment to the provisions of this Indenture relating to the transfer
and legending of Notes as permitted by this Indenture, including, without limitation, to
facilitate the issuance and administration of the Notes; provided that (a) compliance with
this Indenture as so amended would not result in Notes being transferred in violation of the
Securities Act or any applicable securities law and (b) such amendment does not materially
and adversely affect the rights of Holders to transfer Notes.

Upon the request of the Issuer accompanied by a resolution of its board of directors
authorizing the execution of any such amended or supplemental indenture, and upon receipt by the
Trustee of the documents described in Section 7.02 hereof, the Trustee shall join with the Issuer
and the Guarantors in the execution of any amended or supplemental indenture authorized or
permitted by the terms of this Indenture and to make any further appropriate agreements and
stipulations that may be therein contained, but the Trustee shall have the right, but not be
obligated to, enter into such amended or supplemental indenture that affects its own rights, duties
or immunities under this Indenture or otherwise. Notwithstanding the foregoing, neither an Opinion
of Counsel nor an Officer’s Certificate shall be required in connection with the addition of a
Guarantor under this Indenture (other than as required by Section 4.15 hereof) upon execution and
delivery by such Guarantor and the Trustee of a supplemental indenture to this Indenture, the form
of which is attached as Exhibit D hereto.

Section 9.02 With Consent of Holders. Except as provided in Section 9.01 and this Section 9.02, the
Issuer, the Guarantors and the Trustee may amend or supplement this Indenture, the Notes, the
Guarantees and the Collateral Documents with the consent of the Holders of at least a majority in
principal amount of the Notes then outstanding, including consents obtained in connection with a
purchase of, or tender offer or exchange offer for Notes, and, subject to Section 6.04 and 6.07
hereof, any existing Default or Event of Default (other than a Default or Event of Default in the
payment of the principal of, premium, if any, or interest on the Notes, except a payment default
resulting from an acceleration that has been rescinded) or compliance with any provision of this
Indenture, the Collateral Documents or the Notes issued thereunder may be waived with the consent
of the Holders of a majority in principal amount of the then outstanding Notes (including consents
obtained in connection with a purchase of or tender offer or exchange offer for the Notes), other
than Notes beneficially owned by the Issuer or its Affiliates.
Section 2.08 hereof and Section 2.09 hereof shall determine which Notes are considered to be
“outstanding” for the purposes of this Section 9.02.

 

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Upon the request of the Issuer accompanied by a resolution of its board of directors
authorizing the execution of any such amended or supplemental indenture, and upon the filing with
the Trustee of evidence of the consent of the Holders as aforesaid, the Trustee shall join with the
Issuer and the Guarantors in the execution of such amended or supplemental indenture unless such
amended or supplemental indenture directly affects the Trustee’s own rights, duties or immunities
under this Indenture or otherwise, in which case the Trustee may in its discretion, but shall not
be obligated to, enter into such amended or supplemental indenture.

It shall not be necessary for the consent of the Holders under this Section 9.02 to approve
the particular form of any proposed amendment or waiver, but it shall be sufficient if such consent
approves the substance thereof.

After an amendment, supplement or waiver under this Section 9.02 becomes effective, the Issuer
shall mail to the Holders affected thereby a notice briefly describing the amendment, supplement or
waiver. Any failure of the Issuer to mail such notice, or any defect therein, shall not, however,
in any way impair or affect the validity of any such amended or supplemental indenture or waiver.

Without the consent of each affected Holder of Notes, an amendment or waiver under this
Section 9.02 may not (with respect to any Notes held by a non-consenting Holder):

(a) reduce the principal amount of such Notes whose Holders must consent to an
amendment, supplement or waiver;

(b) reduce the principal of or change the fixed final maturity of any such Note or
alter or waive the provisions with respect to the redemption of such Notes (for the
avoidance of doubt, the provisions relating to Section 3.09, Section 4.10 and Section 4.14
hereof are not redemptions of the Notes);

(c) reduce the rate of or change the time for payment of interest on any Note;

(d) waive a Default in the payment of principal of or premium, if any, or interest on
the Notes, except a rescission of acceleration of the Notes by the Holders of at least a
majority in aggregate principal amount of the Notes and a waiver of the payment default that
resulted from such acceleration, or in respect of a covenant or provision contained in this
Indenture or any Guarantee which cannot be amended or modified without the consent of all
Holders;

(e) make any Note payable in money other than that stated therein;

(f) make any change in the provisions of this Indenture relating to waivers of past
Defaults or the rights of Holders to receive payments of principal of or premium, if any, or
interest on the Notes;

(g) make any change in these amendment and waiver provisions;

(h) impair the right of any Holder to receive payment of principal of, or premium, if
any, or interest on such Holder’s Notes on or after the due dates therefor or to institute
suit for the enforcement of any payment on or with respect to such Holder’s Notes;

(i) make any change to or modify the ranking of the Notes that would adversely affect
the Holders; or

(j) except as expressly permitted by this Indenture, modify the Guarantees of any
Significant Subsidiary in any manner materially adverse to the Holders.

 

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In addition, without the consent of the Holders of at least 66 2/3% in principal amount of
Notes then outstanding, no amendment, supplement or waiver may (1) modify any Collateral Document,
the Intercreditor Agreement or the provisions in this Indenture dealing with the Collateral or the Collateral
Documents that would release all or substantially all of the Collateral from the Liens of the
Collateral Documents (except as permitted by the terms of this Indenture, the Collateral Documents
and the Intercreditor Agreement) or change or alter the priority of the security interests in the
Collateral, (2) make any change in any Collateral Document, any Intercreditor Agreement or the
provisions of this Indenture dealing with the Collateral or the Collateral Documents or the
application of trust proceeds of the Collateral that would adversely affect the Holders in any
material respect or (3) modify the Intercreditor Agreement in any manner adverse to the Holders in
any material respect other than in accordance with the terms of this Indenture, Collateral
Documents and the Intercreditor Agreement.

Section 9.03 Compliance with Trust Indenture Act. From the date on which this Indenture is required to be
qualified under the Trust Indenture Act, every amendment or supplement to this Indenture or the
Notes shall be set forth in an amended or supplemental indenture that complies in all material
respects with the Trust Indenture Act as then in effect.

Section 9.04 Revocation and Effect of Consents. Until an amendment, supplement or waiver becomes
effective, a consent to it by a Holder of a Note is a continuing consent by the Holder of a Note
and every subsequent Holder of a Note or portion of a Note that evidences the same debt as the
consenting Holder’s Note, even if notation of the consent is not made on any Note. However, any
such Holder of a Note or subsequent Holder of a Note may revoke the consent as to its Note if the
Trustee receives written notice of revocation before the date the waiver, supplement or amendment
becomes effective. An amendment, supplement or waiver becomes effective in accordance with its
terms and thereafter binds every Holder.

The Issuer may, but shall not be obligated to, fix a record date for the purpose of
determining the Holders entitled to consent to any amendment, supplement, or waiver. If a record
date is fixed, then, notwithstanding the preceding paragraph, those Persons who were Holders at
such record date (or their duly designated proxies), and only such Persons, shall be entitled to
consent to such amendment, supplement, or waiver or to revoke any consent previously given, whether
or not such Persons continue to be Holders after such record date. No such consent shall be valid
or effective for more than 120 days after such record date unless the consent of the requisite
number of Holders has been obtained.

Section 9.05 Notation on or Exchange of Notes. The Trustee may place an appropriate notation about an
amendment, supplement or waiver on any Note thereafter authenticated. The Issuer in exchange for
all Notes may issue and the Trustee shall, upon receipt of an Authentication Order, authenticate
new Notes that reflect the amendment, supplement or waiver.

Failure to make the appropriate notation or issue a new Note shall not affect the validity and
effect of such amendment, supplement or waiver.

Section 9.06 Trustee to Sign Amendments, Etc. The Trustee shall sign any amendment, supplement or waiver
authorized pursuant to this Article 9 if the amendment or supplement does not adversely affect the
rights, duties, liabilities or immunities of the Trustee. The Issuer may not sign an amendment,
supplement or waiver until the board of directors of the Issuer approves it. In executing any
amendment, supplement or waiver, the Trustee shall be provided with, upon request, and (subject to
Section 7.01 hereof) shall be fully protected in relying upon, in addition to the documents
required by Section 12.04 hereof, an Officer’s Certificate and an Opinion of Counsel each stating
that the execution of such amended or supplemental indenture is authorized or permitted by this
Indenture and that such amendment, supplement or waiver is the legal, valid and binding obligation
of the Issuer and any Guarantors party thereto, enforceable against them in accordance with its
terms, subject to customary exceptions, and complies with the provisions hereof (including Section
9.03 hereof). Notwithstanding the foregoing, neither an Opinion of Counsel nor an Officer’s
Certificate shall be required (other than as required by Section 4.15 hereof) for the Trustee to
execute any a supplemental indenture to this Indenture, the form of which is attached as
Exhibit D hereto, adding a new Guarantor under this Indenture.

 

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ARTICLE 10

GUARANTEES

Section 10.01 Guarantee. Subject to this Article 10, each of the Guarantors hereby, jointly and severally,
irrevocably and unconditionally, guarantees to each Holder of a Note authenticated and delivered by
the Trustee and to the Trustee and its successors and assigns, irrespective of the validity and
enforceability of this Indenture, the Notes or the obligations of the Issuer hereunder or
thereunder, that: (a) the principal of and interest and premium, if any, on the Notes shall be
promptly paid in full when due, whether at maturity, by acceleration, redemption or otherwise, and
interest on the overdue principal of and interest on the Notes, if any, if lawful, and all other
obligations of the Issuer to the Holders or the Trustee hereunder or thereunder shall be promptly
paid in full, all in accordance with the terms hereof and thereof; and (b) in case of any extension
of time of payment or renewal of any Notes or any of such other obligations, that same shall be
promptly paid in full when due in accordance with the terms of the extension or renewal, whether at
stated maturity, by acceleration or otherwise. Failing payment when due of any amount so
guaranteed for whatever reason, the Guarantors shall be jointly and severally obligated to pay the
same immediately. Each Guarantor agrees that this is a guarantee of payment and not a guarantee of
collection.

The Guarantors hereby agree that their obligations hereunder shall be unconditional,
irrespective of the validity, regularity or enforceability of the Notes or this Indenture, the
absence of any action to enforce the same, any waiver or consent by any Holder with respect to any
provisions hereof or thereof, the recovery of any judgment against the Issuer, any action to
enforce the same or any other circumstance which might otherwise constitute a legal or equitable
discharge or defense of a guarantor. Each Guarantor hereby waives diligence, presentment, demand
of payment, filing of claims with a court in the event of insolvency or bankruptcy of the Issuer,
any right to require a proceeding first against the Issuer, protest, notice and all demands
whatsoever and covenants that this Guarantee shall not be discharged except by full payment of the
obligations contained in the Notes and this Indenture.

Each Guarantor also agrees to pay any and all costs and expenses (including reasonable
attorneys’ fees) incurred by the Trustee or any Holder in enforcing any rights under this Section
10.01.

If any Holder or the Trustee is required by any court or otherwise to return to the Issuer,
the Guarantors or any custodian, trustee, liquidator or other similar official acting in relation
to either the Issuer or the Guarantors, any amount paid either to the Trustee or such Holder, this
Guarantee, to the extent theretofore discharged, shall be reinstated in full force and effect.

Each Guarantor agrees that it shall not be entitled to any right of subrogation in relation to
the Holders in respect of any obligations guaranteed hereby until payment in full of all
obligations guaranteed hereby. Each Guarantor further agrees that, as between the Guarantors, on
the one hand, and the Holders and the Trustee, on the other hand, (x) the maturity of the
obligations guaranteed hereby may be accelerated as provided in Article 6 hereof for the purposes
of this Guarantee, notwithstanding any stay, injunction or other prohibition preventing such
acceleration in respect of the obligations guaranteed hereby, and (y) in the event of any
declaration of acceleration of such obligations as provided in Article 6 hereof, such obligations
(whether or not due and payable) shall forthwith become due and payable by the Guarantors for the
purpose of this Guarantee. The Guarantors shall have the right to seek contribution from any
nonpaying Guarantor so long as the exercise of such right does not impair the rights of the Holders
under the Guarantees.

Each Guarantee shall remain in full force and effect and continue to be effective should any
petition be filed by or against the Issuer for liquidation, reorganization, should the Issuer
become insolvent or make an assignment for the benefit of creditors or should a receiver or trustee
be appointed for all or any significant part of the Issuer’s assets, and shall, to the fullest
extent permitted by law, continue to be effective or be reinstated, as the case may be, if at any
time payment of the Notes is, pursuant to applicable law, rescinded or reduced in amount, or must
otherwise be restored or returned by any obligee on the Notes or Guarantees, whether as a “voidable
preference,” “fraudulent transfer” or otherwise, all as though such payment had not been made. In
the event that any payment or any part thereof is rescinded, reduced, restored or returned, the
Notes shall, to the fullest extent permitted by law, be reinstated and deemed reduced only by such
amount paid and not so rescinded, reduced, restored or returned.

 

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In case any provision of any Guarantee shall be invalid, illegal or unenforceable, the
validity, legality, and enforceability of the remaining provisions shall not in any way be affected
or impaired thereby.

The Guarantee issued by any Guarantor shall be a general secured senior obligation of such
Guarantor and shall rank equally in right of payment with all existing and future Senior
Indebtedness of such Guarantor, if any.

Each payment to be made by a Guarantor in respect of its Guarantee shall be made without
set-off, counterclaim, reduction or diminution of any kind or nature.

Section 10.02 Limitation on Guarantor Liability. Each Guarantor, and by its acceptance of Notes, each Holder, hereby confirms that it is the
intention of all such parties that the Guarantee of such Guarantor not constitute a fraudulent
transfer or conveyance, or similar limitation, for purposes of Bankruptcy Law, the Uniform
Fraudulent Conveyance Act, the Uniform Fraudulent Transfer Act or any similar federal or state law
to the extent applicable to any Guarantee. To effectuate the foregoing intention, the Trustee, the
Holders and the Guarantors hereby irrevocably agree that the obligations of each Guarantor shall be
limited to the maximum amount as shall, after giving effect to such maximum amount and all other
contingent and fixed liabilities of such Guarantor that are relevant under such laws and after
giving effect to any collections from, rights to receive contribution from or payments made by or
on behalf of any other Guarantor in respect of the obligations of such other Guarantor under this
Article 10, result in the obligations of such Guarantor under its Guarantee not constituting a
fraudulent conveyance or fraudulent transfer, or similar limitation, under applicable law. Each
Guarantor that makes a payment under its Guarantee shall be entitled upon payment in full of all
guaranteed obligations under this Indenture to a contribution from each other Guarantor in an
amount equal to such other Guarantor’s pro rata portion of such payment based on the respective net
assets of all the Guarantors at the time of such payment determined in accordance with GAAP.

Section 10.03 Execution and Delivery. To evidence its Guarantee set forth in Section 10.01 hereof, each Guarantor hereby agrees
that this Indenture shall be executed on behalf of such Guarantor by its President or Treasurer,
one of its Vice Presidents or one of its Assistant Vice Presidents or other authorized signatory.

Each Guarantor hereby agrees that its Guarantee set forth in Section 10.01 hereof shall remain
in full force and effect notwithstanding the absence of the endorsement of any notation of such
Guarantee on the Notes.

If an Officer whose signature is on this Indenture no longer holds that office at the time the
Trustee authenticates the Note, the Guarantee shall be valid nevertheless.

The delivery of any Note by the Trustee, after the authentication thereof hereunder, shall
constitute due delivery of the Guarantee set forth in this Indenture on behalf of the Guarantors.

If required by Section 4.15 hereof, the Issuer shall cause any Restricted Subsidiary to comply
with the provisions of Section 4.15 hereof and this Article 10, to the extent applicable.

Section 10.04 Subrogation. Each Guarantor shall be subrogated to all rights of Holders against the Issuer in respect
of any amounts paid by any Guarantor pursuant to the provisions of Section 10.01 hereof; provided
that, if an Event of Default has occurred and is continuing, no Guarantor shall be entitled to
enforce or receive any payments arising out of, or based upon, such right of subrogation until all
amounts then due and payable by the Issuer under this Indenture or the Notes shall have been paid
in full.

Section 10.05 Benefits Acknowledged. Each Guarantor acknowledges that it shall receive direct and indirect benefits from the
financing arrangements contemplated by this Indenture and that the guarantee and waivers made by it
pursuant to its Guarantee are knowingly made in contemplation of such benefits.

Section 10.06 Release of Guarantees by Guarantors. Each Guarantee by a Guarantor shall provide by its terms that it shall be automatically and
unconditionally released and discharged, and no further action by such Guarantor, the Issuer or the
Trustee is required for the release of the such Guarantor’s Guarantee, upon:

 

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(a) (i) any sale, exchange, disposition or transfer (by merger, amalgamation,
consolidation or otherwise) of (x) the Capital Stock of such Guarantor, after which the
applicable Guarantor is no longer a Restricted Subsidiary or (y) all or substantially all
the assets of such Guarantor, in each case if such sale, exchange, disposition or transfer
is made in compliance with the applicable provisions of this Indenture;

(ii) in the case of a Restricted Subsidiary which after the Issue Date is required to
become a Guarantor, the release or discharge of the guarantee by such Guarantor of
Indebtedness under a guarantee that resulted in the creation of such Guarantee, except a
discharge or release by or as a result of payment under such guarantee (it being understood
that a release subject to a contingent reinstatement is still a release, and that if any
such Guarantee is so reinstated, such Guarantee shall also be reinstated to the extent that
such Guarantor would then be required to provide a Guarantee pursuant to Section 4.15)
(notwithstanding the foregoing, a Guarantee provided by a Guarantor on the Issue Date may
not be released and discharged pursuant to this Section 10.06(a)(ii));

(iii) the designation of any Restricted Subsidiary that is a Guarantor as an
Unrestricted Subsidiary in compliance with the applicable provisions of this Indenture; or

(iv) the exercise by the Issuer of its Legal Defeasance option or Covenant Defeasance
option in accordance with Article 8 hereof or the satisfaction and discharge of the Issuer’s
obligations under this Indenture in accordance with the terms of this Indenture; and

(b) such Guarantor delivering to the Trustee an Officer’s Certificate and an Opinion of
Counsel, each stating that all conditions precedent provided for in this Indenture relating
to such transaction have been complied with.

ARTICLE 11

SATISFACTION AND DISCHARGE

Section 11.01 Satisfaction and Discharge. This Indenture shall be discharged and shall cease to be of further effect as to all Notes,
when either:

(a) all Notes theretofore authenticated and delivered, except lost, stolen or destroyed
Notes which have been replaced or paid and Notes for whose payment money has heretofore been
deposited in trust, have been delivered to the Trustee for cancellation; or

(b) (i) all Notes not theretofore delivered to the Trustee for cancellation have
become due and payable by reason of the making of a notice of redemption or otherwise, shall
become due and payable within one year or are to be called for redemption within one year
under arrangements satisfactory to the Trustee for the giving of notice of redemption by the
Trustee in the name, and at the expense, of the Issuer, and the Issuer or any Guarantor has
irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust
solely for the benefit of the Holders, cash in U.S. dollars, U.S. dollar-denominated
Government Securities, or a combination thereof, in such amounts as shall be sufficient
without consideration of any reinvestment of interest to pay and discharge the entire
indebtedness on the Notes not theretofore delivered to the Trustee for cancellation for principal, premium, if any, and accrued
interest to the date of maturity or redemption; provided that upon any redemption that
requires the payment of the Applicable Premium, the amount deposited shall be sufficient for
purposes of this Indenture to the extent that an amount is deposited with the Trustee equal
to the Applicable Premium calculated as of the date of the notice of redemption, with any
Applicable Premium Deficit only required to be deposited with the Trustee on or prior to the
date of redemption. Any Applicable Premium Deficit shall be set forth in an Officer’s
Certificate delivered to the Trustee simultaneously with the deposit of such Applicable
Premium Deficit that confirms that such Applicable Premium Deficit shall be applied toward
such redemption (it being understood that any satisfaction and discharge shall be subject to
the condition subsequent that such deficit is in fact paid);

 

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(ii) no Default (other than that resulting from borrowing funds to be applied to make
such deposit or any similar and simultaneous deposit relating to other Indebtedness and the
granting of Liens in connection therewith) with respect to this Indenture or the Notes shall
have occurred and be continuing on the date of such deposit or shall occur as a result of
such deposit and such deposit shall not result in a breach or violation of, or constitute a
default under the ABL Facility (other than resulting from any borrowing of funds to be
applied to make such deposit and any similar and simultaneous deposit relating to other
Indebtedness and, in each case, the granting of Liens in connection therewith);

(iii) the Issuer has paid or caused to be paid all sums payable by it under this
Indenture; and

(iv) the Issuer has delivered irrevocable instructions to the Trustee to apply the
deposited money toward the payment of the Notes at maturity or the Redemption Date, as the
case may be.

In addition, the Issuer must deliver an Officer’s Certificate and an Opinion of Counsel to the
Trustee stating that all conditions precedent to satisfaction and discharge have been satisfied.

Notwithstanding the satisfaction and discharge of this Indenture, if money shall have been
deposited with the Trustee pursuant to subclause (i) of clause (b) of this Section 11.01, the
provisions of Section 11.02 and Section 8.06 hereof shall survive such satisfaction and discharge.

Section 11.02 Application of Trust Money. Subject to the provisions of Section 8.06 hereof, all money deposited with the Trustee
pursuant to Section 11.01 hereof shall be held in trust and applied by it, in accordance with the
provisions of the Notes and this Indenture, to the payment, either directly or through any Paying
Agent (including the Issuer or a Guarantor acting as its own Paying Agent) as the Trustee may
determine, to the Persons entitled thereto, of the principal (and premium, if any) and interest for
whose payment such money has been deposited with the Trustee, but such money need not be segregated
from other funds except to the extent required by applicable law.

If the Trustee or Paying Agent is unable to apply any money or Government Securities in
accordance with Section 11.01 hereof by reason of any legal proceeding or by reason of any order or
judgment of any court or Governmental Authority enjoining, restraining or otherwise prohibiting
such application, the Issuer’s and any Guarantor’s obligations under this Indenture and the Notes
shall be revived and reinstated as though no deposit had occurred pursuant to Section 11.01 hereof;
provided that if the Issuer has made any payment of principal of, premium, if any, or interest on
any Notes because of the reinstatement of its obligations, the Issuer shall be subrogated to the
rights of the Holders to receive such payment from the money or Government Securities held by the
Trustee or Paying Agent.

ARTICLE 12

MISCELLANEOUS

Section 12.01 Trust Indenture Act Controls. From the date on which this Indenture is required to be qualified under the Trust Indenture
Act, if any provision of this Indenture limits, qualifies or conflicts with the duties imposed by
Trust Indenture Act Section 318(c), the imposed duties shall control.

Section 12.02 Notices. Any notice or communication by the Issuer, any Guarantor or the Trustee to the others is
duly given if in writing and delivered in person or mailed by first-class mail (registered or
certified, return receipt requested), fax or overnight air courier guaranteeing next day delivery,
to the others’ address:

If to the Issuer and/or any Guarantor:

Cambium Learning Group, Inc.

17855 North Dallas Parkway, Suite 400

Dallas, Texas 75287

Attention: Todd W. Buchardt, General Counsel

Fax No.: 214-424-6425

 

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with a copy to:

Lowenstein Sandler PC

1251 Avenue of the Americas

New York, New York 10021

Fax No.: 973-422-6809

Attention: Lowell A. Citron, Esq.

If to the Trustee:

Wells Fargo Bank, National Association

MAC N9311-110

625 Marquette Avenue

Minneapolis, MN 55479

Fax No.: 612-667-2160

Attention: Cambium Administrator

The Issuer, any Guarantor or the Trustee, by notice to the others, may designate additional or
different addresses for subsequent notices or communications.

All notices and communications (other than those sent to Holders) shall be deemed to have been
duly given: at the time delivered by hand, if personally delivered; five calendar days after being
deposited in the mail, postage prepaid, if mailed by first-class mail; when receipt acknowledged,
if faxed or sent electronically; and the next Business Day after timely delivery to the courier, if
sent by overnight air courier guaranteeing next day delivery; provided that any notice or
communication delivered to the Trustee shall be deemed effective upon actual receipt thereof and,
subject to compliance with the Trust Indenture Act, on the final date on which publication is made,
if given by publication.

Any notice or communication to a Holder shall be electronically delivered, mailed by
first-class mail, certified or registered, return receipt requested, or by overnight air courier
guaranteeing next day delivery to its address shown on the Note Register kept by the Registrar.
Any notice or communication shall also be so mailed to any Person described in Trust Indenture Act
Section 313(c), to the extent required by the Trust Indenture Act. Failure to deliver a notice or
communication to a Holder or any defect in it shall not affect its sufficiency with respect to
other Holders.

Notwithstanding any other provision of this Indenture or any Note, where this Indenture or any
Note provides for notice of any event (including any notice of redemption or repurchase) to a
Holder of a Global Note
(whether by mail or otherwise), such notice shall be sufficiently given if given to the
Depositary (or its designee) pursuant to the standing instructions from the Depositary or its
designee, including by electronic mail in accordance with accepted practices at the Depositary.

If a notice or communication is mailed or otherwise delivered in the manner provided above
within the time prescribed, it is duly given, whether or not the addressee receives it.

If the Issuer mails a notice or communication to Holders, it shall mail a copy to the Trustee
and each Agent at the same time.

Section 12.03 Communication by Holders with Other Holders. Holders may communicate pursuant to Trust Indenture Act Section 312(b) with other Holders
with respect to their rights under this Indenture or the Notes. The Issuer, the Trustee, the
Registrar and anyone else shall have the protection of Trust Indenture Act Section 312(c).

 

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Section 12.04 Certificate and Opinion as to Conditions Precedent. Upon any request or application by the Issuer or any of the Guarantors to the Trustee to
take any action under this Indenture, the Issuer or such Guarantor, as the case may be, shall
furnish to the Trustee:

(a) An Officer’s Certificate in form reasonably satisfactory to the Trustee (which
shall include the statements set forth in Section 12.05 hereof) stating that, in the opinion
of the signers, all conditions precedent and covenants, if any, provided for in this
Indenture relating to the proposed action have been satisfied; and/or

(b) An Opinion of Counsel in form reasonably satisfactory to the Trustee (which shall
include the statements set forth in Section 12.05 hereof) stating that, in the opinion of
such counsel, all such conditions precedent and covenants have been satisfied.

Section 12.05 Statements Required in Certificate or Opinion. Each certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture (other than a certificate provided pursuant to Section 4.04 hereof
or Trust Indenture Act Section 314(a)(4)) shall comply with the provisions of Trust Indenture Act
Section 314(e) and shall include:

(a) a statement that the Person making such certificate or opinion has read such
covenant or condition;

(b) a brief statement as to the nature and scope of the examination or investigation
upon which the statements or opinions contained in such certificate or opinion are based;

(c) a statement that, in the opinion of such Person, he or she has made such
examination or investigation as is necessary to enable him to express an informed opinion as
to whether or not such covenant or condition has been complied with (and, in the case of an
Opinion of Counsel, may be limited to reliance on an Officer’s Certificate as to matters of
fact); and

(d) a statement as to whether or not, in the opinion of such Person, such condition or
covenant has been complied with; provided, however, that with respect to matters of fact an
Opinion of Counsel may rely on an Officer’s Certificate or certificates of public officials.

Section 12.06 Rules by Trustee and Agents. The Trustee may make reasonable rules for action by or at a meeting of Holders. The
Registrar or Paying Agent may make reasonable rules and set reasonable requirements for its
functions.

Section 12.07 No Personal Liability of Directors, Officers, Employees and Stockholders. No past, present or future director, officer, employee, incorporator, member, partner or
stockholder of the Issuer or any Guarantor or any of their direct or indirect parent companies
(other than the Issuer and the Guarantors) shall have any liability, for any obligations of the
Issuer or the Guarantors under the Notes, the Guarantees or this Indenture or for any claim based
on, in respect of, or by reason of such obligations or their creation. Each Holder by accepting
Notes waives and releases all such liability. The waiver and release are part of the consideration
for issuance of the Notes.

Section 12.08 Governing Law. THIS INDENTURE, THE NOTES AND ANY GUARANTEE WILL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK.

Section 12.09 Waiver of Jury Trial. EACH OF THE ISSUER, THE GUARANTORS AND THE TRUSTEE HEREBY IRREVOCABLY WAIVES, TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL
PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES OR THE TRANSACTIONS CONTEMPLATED
HEREBY.

 

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Section 12.10 Force Majeure. In no event shall the Trustee be responsible or liable for any failure or delay in the
performance of its obligations under this Indenture arising out of or caused by, directly or
indirectly, forces beyond its reasonable control, including without limitation strikes, work
stoppages, accidents, acts of war or terrorism, civil or military disturbances, nuclear or natural
catastrophes or acts of God, and interruptions, loss or malfunctions of utilities, communications
or computer (software or hardware) services.

Section 12.11 No Adverse Interpretation of Other Agreements. This Indenture may not be used to interpret any other indenture, loan or debt agreement of
the Issuer or its Restricted Subsidiaries or of any other Person. Any such indenture, loan or debt
agreement may not be used to interpret this Indenture.

Section 12.12 Successors. All agreements of the Issuer in this Indenture and the Notes shall bind its successors.
All agreements of the Trustee in this Indenture shall bind its successors. All agreements of each
Guarantor in this Indenture shall bind its successors, except as otherwise provided in Section
10.06 or Section 10.07 hereof.

Section 12.13 Severability. In case any provision in this Indenture or in the Notes shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining provisions shall not in
any way be affected or impaired thereby.

Section 12.14 Counterpart Originals. The parties may sign any number of copies of this Indenture. Each signed copy shall be an
original, but all of them together represent the same agreement. This Indenture may be executed in
multiple counterparts which, when taken together, shall constitute one instrument.

Section 12.15 Table of Contents, Headings, Etc. The Table of Contents, Cross-Reference Table and headings of the Articles and Sections of
this Indenture have been inserted for convenience of reference only, are not to be considered a
part of this Indenture and shall in no way modify or restrict any of the terms or provisions
hereof.

Section 12.16 Qualification of Indenture. The Issuer and the Guarantors shall qualify this Indenture under the Trust Indenture Act in
accordance with the terms and conditions of the Registration Rights Agreement and shall pay all
reasonable costs and expenses (including attorneys’ fees and expenses for the Issuer, the
Guarantors and the Trustee) incurred in connection therewith, including, but not limited to, costs
and expenses of qualification of this Indenture and the Notes and printing this Indenture and the
Notes. The Trustee shall be provided with such Officer’s Certificates, Opinions of Counsel or
other documentation as is necessary in connection with any such qualification of this Indenture
under the Trust Indenture Act.

ARTICLE 13

COLLATERAL DOCUMENTS

Section 13.01 Collateral and Collateral Documents.

(a) The due and punctual payment of the principal of and interest (including Additional
Interest, if any) on the Notes when and as the same shall be due and payable, whether on an
Interest Payment Date, at maturity, by acceleration, repurchase, redemption or otherwise, and
interest on the overdue principal of and interest (including Additional Interest, if any) on the
Notes and performance of all other Indenture Obligations of the Issuer and the Guarantors to the
Holders, the Trustee or the Notes Collateral Agent under this Indenture, the Notes (excluding, for
the avoidance of doubt, any Hedging Obligations and guarantees thereof secured under the ABL
Facility) and the Collateral Documents, according to the terms hereunder or thereunder, shall be
secured as provided in the Collateral Documents, which define the terms of the Liens that secure
the Notes and such other Obligations, subject to the terms of the Intercreditor Agreement. The
Trustee and the Issuer hereby acknowledge and agree that the Notes Collateral Agent holds the
Collateral in trust for the benefit of the Notes Collateral Agent, the Trustee and the Holders, in
each case pursuant to the terms of the Collateral Documents and the Intercreditor Agreement. Each
Holder, by accepting a Note, consents and agrees to the terms of the Collateral Documents
(including the provisions providing for the possession, use, release and foreclosure of Collateral)
and the Intercreditor Agreement as the same may be in effect or may be amended from time to time in
accordance with their terms and this Indenture and the Intercreditor Agreement, and authorizes and
directs the Notes Collateral Agent to enter into the Collateral Documents and the Intercreditor
Agreement and to perform its obligations and exercise its rights thereunder in accordance
therewith;

 

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provided, however, that if any of the provisions of the Collateral Documents limit,
qualify or conflict with the mandatory duties imposed by the provisions of the Trust Indenture Act,
the Trust Indenture Act shall control. Subject to the terms and provisions hereof, the Issuer
shall deliver to the Notes Collateral Agent copies of all documents pursuant to the Collateral
Documents, and shall do or cause to be done all such acts and things as may be reasonably required
by the next sentence of this Section 13.01 to assure and confirm to the Notes Collateral Agent the
security interest in the Collateral contemplated hereby, by the Collateral Documents or any part
thereof, as from time to time constituted, so as to render the same available for the security and
benefit of this Indenture and of the Notes secured hereby, according to the intent and purposes
herein expressed. The Issuer shall, and shall cause the Restricted Subsidiaries of the Issuer to,
use its and their commercially reasonable efforts to take any and all actions reasonably required
to cause the Collateral Documents to create and maintain, as security for the Indenture
Obligations, a valid and enforceable perfected Lien and security interest in and on all of the
Collateral (subject to the terms of the Intercreditor Agreement), in favor of the Notes Collateral
Agent for the benefit of the Notes Secured Parties.

(b) Notwithstanding the foregoing,

(i) the Capital Stock of the Restricted Subsidiaries of the Issuer that is owned by the
Issuer or any Guarantor (other than the Capital Stock of the Issuer) shall constitute Notes
Collateral only to the extent that such Capital Stock can secure the Notes without Rule 3-16
of Regulation S-X under the Securities Act (“Rule 3-16”) (or any other law, rule or regulation) requiring separate
financial statements of such Subsidiary to be filed with the SEC (or any other Governmental
Agency);

(ii) in the event that Rule 3-16 requires or is amended, modified or interpreted by the
SEC to require (or is replaced with another rule or regulation, or any other law, rule or
regulation is adopted, which would require) the filing with the SEC (or any other
Governmental Agency) of separate financial statements of any Restricted Subsidiary (other
than the Issuer) due to the fact that such Restricted Subsidiary’s Capital Stock secures the
Notes, then the Capital Stock of such Restricted Subsidiary shall automatically be deemed
not to be part of the Notes Collateral, but only to the extent necessary to not be subject
to such requirement (in such event, the Collateral Documents may be amended or modified,
without the consent of any Holder of the Notes, to the extent necessary to release the
security interests in the shares of Capital Stock and other securities that are so deemed to
no longer constitute part of the Notes Collateral); and

(iii) in the event that either Rule 3-16 is amended, modified or interpreted by the SEC
to permit (or is replaced with another rule or regulation, or any other law, rule or
regulation is adopted, which would permit) the Capital Stock of a Restricted Subsidiary that
was previously excluded to secure the Notes in excess of the amount then pledged without the
filing with the SEC (or any other Governmental Agency) of separate financial statements of
such Restricted Subsidiary, then the Capital Stock of such Restricted Subsidiary shall
automatically be deemed to be a part of the Notes Collateral but only to the extent
necessary to not be subject to any such financial statement requirement (in such event, the
Collateral Documents may be amended or modified, without the consent of any Holder of Notes,
to the extent necessary to subject to the Liens under the Collateral Documents such
additional Capital Stock).

(c) In addition to the limitations described in Section 13.01(b), the Notes Collateral shall
not include (i) property or assets as to which the Issuer has notified the Notes Collateral Agent
in writing that it has reasonably determined that the costs of obtaining a security interest are
excessive in relation to the value of the security to be afforded thereby and (ii) the Excluded
Assets.

(d) In the case of any Foreign Subsidiary, the Notes Collateral shall be limited to 100% of
the non-voting Capital Stock and 65% of the voting Capital Stock of such Foreign Subsidiary.

(e) Each Holder of the Notes, by its acceptance of the Notes, (i) consents to the
subordination of Liens provided for in the Intercreditor Agreement, (ii) agrees that it shall be
bound by, and shall take no actions contrary to, the provisions of the Intercreditor Agreement and
(iii) authorizes and instructs the Noteholder Collateral Agent (as defined in the Intercreditor
Agreement) on behalf of each holder of Indenture Noteholder Lien Obligations (as defined in the
Intercreditor Agreement) to enter into the Intercreditor Agreement as Noteholder Collateral Agent
on behalf of such holders of Indenture Noteholder Lien Obligations. The foregoing provisions of
this Section 13.01(e) are intended as an inducement to the holders of Indenture Noteholder Lien
Obligations to acquire the Notes and such Holders of Notes are intended third party beneficiaries
of such provisions and of the Intercreditor Agreement.

 

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(f) In addition, notwithstanding anything to the contrary contained in this Indenture or the
Collateral Documents, the Issuer and its Subsidiaries shall not be required to obtain any landlord
waivers, estoppels or collateral access letters and shall not be required to (i) take actions to
perfect by control or possession in any collateral, other than stock pledges and control agreements
relating to ABL Collateral delivery of, promissory notes, and control over letter of credit rights,
in each case in excess of $1.0 million, (ii) take any action with respect to any intellectual
property which is (x) not registered or registered outside of the United States Patent and
Trademark Office or the United States Copyright Office (other than the filing of Uniform Commercial
Code Financing Statements) or, (y) in respect of intellectual property registered in the United
States Patent and Trademark Office or the United States Copyright Office, (1) not used in the
business of the Issuer or any Guarantor and (2) immaterial to the Issuer and the Guarantors (as
determined by Issuer in good faith), or (iii) take any actions under any laws outside of the United
States to grant, perfect or enforce any security interest.

Section 13.02 Recordings and Opinions. To the extent required under the mandatory provisions of the Trust Indenture Act, the
Issuer shall comply with the provisions of § 314(b) of the Trust Indenture Act following
qualification of this Indenture pursuant to the
Trust Indenture Act, except to the extent not required as set forth in any SEC regulation or
interpretation (including any no-action letter issued by the Staff of the SEC, whether issued to
the Issuer or any other Person), subject to the requirements of the Trust Indenture Act. Following
such qualification, to the extent the Issuer is required to furnish to the Trustee an Opinion of
Counsel pursuant to Trust Indenture Act Section 314(b)(2), the Issuer shall furnish such opinion as
required by such Section.

Section 13.03 Release of Liens on Collateral.

(a) Subject to Sections 13.03(b) and 13.04 hereof, Collateral may be released from the Lien
and security interest created by the Collateral Documents at any time or from time to time in
accordance with the provisions of the Collateral Documents, the Intercreditor Agreement or as
provided hereby. The Issuer and the Guarantors shall be entitled to a release of property and
other assets included in the Collateral from the Liens securing the Notes, and the Trustee (subject
to its receipt of an Officer’s Certificate and Opinion of Counsel as provided below) shall release,
or instruct the Notes Collateral Agent to release, as applicable, the same from such Liens at the
Issuer’s sole cost and expense, under one or more of the following circumstances:

(i) in whole, upon payment in full and discharge of all obligations under this
Indenture, the Guarantees and the Collateral Documents

(ii) to enable the Issuer or any Guarantor to sell, exchange or otherwise dispose of
any of the Collateral to the extent not prohibited under Section 4.10 hereof to a Person
that is not the Issuer or a Guarantor;

(iii) automatically as to any Equity Interests of any Subsidiary of the Issuer (other
than the initial Issuer and its successors), if at any time Rule 3-16 of Regulation S-X
under the Securities Act, or any other law, rule or regulation requires or is interpreted by
the SEC to require the filing with the SEC (or any other U.S. federal governmental agency)
of separate financial statements of such Subsidiary due to the fact that such Subsidiary’s
Equity Interests are pledged to secure the Notes or any Guarantee by a Guarantor;

(iv) in the case of a Guarantor that is released from its Guarantee with respect to all
of the Notes, on the property and assets of such Guarantor;

(v) to the extent property is subject to a lease from a third party that is not an
Issuer or a Guarantor, upon termination of the lease;

(vi) pursuant to an amendment or waiver in accordance with Article 9 hereof;

(vii) if all of the Notes have been defeased pursuant to Article 8 hereof or satisfied
and discharged pursuant to Article 11 hereof; or

 

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(viii) upon payment in full of the principal of, together with accrued and unpaid
interest (including Additional Interest, if any) on, all of the Notes and all other
Obligations related thereto under this Indenture, the Guarantees and the Collateral
Documents with respect thereto, that are due and payable at or prior to the time such
principal, together with accrued and unpaid interest (including Additional Interest, if any)
are paid.

(b) Subject to the provisions contained in the Intercreditor Agreement, in general the
second-priority lien on the ABL Collateral securing the Notes shall remain in full force and effect
notwithstanding the termination and repayment in full of the ABL Facility and the release by the
ABL Agent of the first-priority liens on the ABL Collateral. The second-priority lien on the ABL
Collateral securing the Notes shall terminate and be released automatically if the first-priority
liens on the ABL Collateral are released by the ABL Agent (unless, at the time of such release of
such first-priority liens, an Event of Default shall have occurred and be continuing under this
Indenture). Notwithstanding the existence of an Event of Default, the second-priority lien on the
ABL Collateral securing the
Notes shall also terminate and be released automatically to the extent the first-priority
liens on the ABL Collateral are released by the ABL Agent in connection with a sale, transfer or
disposition of ABL Collateral that is either not prohibited under this Indenture or occurs in
connection with the foreclosure of, or other exercise of remedies with respect to, such ABL
Collateral by the ABL Agent (except with respect to any proceeds of such sale, transfer or
disposition that remain after satisfaction in full of the ABL Lenders Debt). Notwithstanding the
foregoing, in the event of a release of liens by the ABL Agent on all or substantially all of the
ABL Collateral (other than in connection with a foreclosure upon or other exercise of rights and
remedies by the ABL Agent with respect to such ABL Collateral), no release of the second-priority
liens on the ABL Collateral securing the Notes shall be made unless (i) consent to such release has
been given by the requisite percentage or number of the holders of the Notes at the time
outstanding, in accordance with Section 9.02 hereof, as provided for in the Notes, this Indenture,
the Guarantees or the Collateral Documents and (ii) the Issuer has delivered an Officer’s
Certificate to the Notes Collateral Agent certifying that all such consents have been obtained.
The second priority Liens in the ABL Collateral securing the Notes that otherwise would have been
released pursuant to the second sentence of this clause (b) but for the occurrence and continuation
of an Event of Default shall be released when such Event of Default and all other Events of Default
under this Indenture cease to exist.

(c) Upon receipt of an Officer’s Certificate and an Opinion of Counsel certifying that all
conditions precedent under this Indenture and the Collateral Documents, if any, to such release
have been met and any necessary or proper instruments of termination, satisfaction or release
prepared by the Issuer, the Trustee shall, or shall cause the Notes Collateral Agent, to execute,
deliver or acknowledge (at the Issuer’s expense) such instruments or releases to evidence the
release of any Collateral permitted to be released pursuant to this Indenture or the Collateral
Documents or the Intercreditor Agreement. Neither the Trustee nor the Notes Collateral Agent shall
be liable for any such release undertaken in good faith in reliance upon any such Officer’s
Certificate or Opinion of Counsel, and notwithstanding any term hereof or in any Collateral
Document to the contrary, the Trustee and Notes Collateral Agent shall not be under any obligation
to release any such Lien and security interest, or execute and deliver any such instrument of
release, satisfaction or termination, unless and until it receives such Officer’s Certificate and
Opinion of Counsel.

Section 13.04 Permitted Releases Not to Impair Lien; Trust Indenture Act Requirements.

(a) To the extent applicable, and if required under the mandatory provisions of the Trust
Indenture Act, and subject to the limitations set forth in this Indenture, the Issuer shall cause §
314(d) of the Trust Indenture Act, relating to the release of property or securities subject to the
Lien of the Collateral Documents, to be complied with.

(b) Any release of Collateral permitted by Section 13.03 hereof shall be deemed not to impair
the Liens under this Indenture and subject to the limitations set forth in this Indenture, the
Issuer shall cause the Collateral Documents in contravention thereof. Any certificate or opinion
required by § 314(d) of the Trust Indenture Act may be made by an officer or legal counsel, as
applicable, of the Issuer except in cases where § 314(d) of the Trust Indenture Act requires that
such certificate or opinion be made by an independent Person, which Person shall be an independent
engineer, appraiser or other expert.

 

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(c) Notwithstanding anything to the contrary in this Section 13.04, the Issuer shall not be
required to comply with all or any portion of § 314(d) of the Trust Indenture Act if it determines,
in good faith based on the written advice of counsel, a copy of which written advice shall be
provided to the Trustee, that under the terms of § 314(d) of the Trust Indenture Act or any
interpretation or guidance as to the meaning thereof issued by the SEC and its staff, including “no
action” letters or exemptive orders, all or any portion of § 314(d) of the Trust Indenture Act is
inapplicable to any release or series of releases of Collateral.

Section 13.05 Certificates of the Trustee. In the event that the Issuer wishes to release Collateral in accordance with this
Indenture, the Collateral Documents and the Intercreditor Agreement and the Issuer has delivered
the certificates and documents required by the Collateral Documents and Section 13.03 hereof, if §
314(d) of the Trust Indenture Act is applicable to such releases (the applicability of which shall be established to the reasonable satisfaction of the
Trustee pursuant to Section 13.04 hereof or otherwise), the Trustee shall determine whether it has
received all documentation required by § 314(d) of the Trust Indenture Act in connection with such
release (which determination may be based upon the Opinion of Counsel hereafter described) and,
based on an Opinion of Counsel pursuant to Section 12.04 hereof, shall deliver a certificate to the
Notes Collateral Agent setting forth such determination. The Trustee, however, shall have no duty
to confirm the legality, genuineness, accuracy, contents or validity of such documents (or any
signature appearing therein), its sole duty being to certify its receipt of such documents which,
on their face (and assuming that they are what they purport to be), conform to § 314(d) of the
Trust Indenture Act.

Section 13.06 Suits to Protect the Collateral. Subject to the provisions of Article 7 hereof and the Intercreditor Agreement, the Trustee
in its sole discretion and without the consent of the Holders, on behalf of the Holders, may direct
the Notes Collateral Agent to take all actions it deems necessary or appropriate in order to:

(a) enforce any of the terms of the Collateral Documents; and

(b) collect and receive any and all amounts payable in respect of the Obligations
hereunder.

Subject to the provisions of the Collateral Documents and the Intercreditor Agreement, the
Trustee shall have power to institute and to maintain such suits and proceedings as it may deem
expedient to prevent any impairment of the Collateral by any acts which may be unlawful or in
violation of any of the Collateral Documents or this Indenture, and such suits and proceedings as
the Trustee, in its sole discretion, may deem expedient to preserve or protect its interests and
the interests of the Holders in the Collateral (including power to institute and maintain suits or
proceedings to restrain the enforcement of or compliance with any legislative or other governmental
enactment, rule or order that may be unconstitutional or otherwise invalid if the enforcement of,
or compliance with, such enactment, rule or order would impair the Lien on the Collateral or be
prejudicial to the interests of the Holders or the Trustee). Nothing in this Section 13.06 shall
be considered to impose any such duty or obligation to act on the part of the Trustee.

Section 13.07 Authorization of Receipt of Funds by the Trustee Under the Collateral Documents.
Subject to the provisions of the Intercreditor Agreement, the Trustee is authorized to
receive any funds for the benefit of the Holders distributed under the Collateral Documents, and to
make further distributions of such funds to the Holders according to the provisions of this
Indenture.

Section 13.08 Purchaser Protected. In no event shall any purchaser in good faith of any property purported to be released
hereunder be bound to ascertain the authority of the Notes Collateral Agent or the Trustee to
execute the release or to inquire as to the satisfaction of any conditions required by the
provisions hereof for the exercise of such authority or to see to the application of any
consideration given by such purchaser or other transferee; nor shall any purchaser or other
transferee of any property or rights permitted by this Article 13 to be sold be under any
obligation to ascertain or inquire into the authority of the Issuer or the applicable Guarantor to
make any such sale or other transfer.

Section 13.09 Powers Exercisable by Receiver or Trustee.
In case the Collateral shall be in the possession of a receiver or trustee, lawfully
appointed, the powers conferred in this Article 13 upon the Issuer or a Guarantor with respect to
the release, sale or other disposition of such property may be exercised by such receiver or
trustee, and an instrument signed by such receiver or trustee shall be deemed the equivalent of any
similar instrument of the Issuer or a Guarantor or of any Officer or Officers thereof required by
the provisions of this Article 13; and if the Trustee shall be in the possession of the Collateral
under any provision of this Indenture, then such powers may be exercised by the Trustee.

 

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Section 13.10 Release upon Termination of the Issuer’s Obligations.
In the event that the Issuer delivers to the Trustee, an Officer’s Certificate certifying
that (a) payment in full of the principal of, together with accrued and unpaid interest (including
Additional Interest, if any) on, all of the Notes and all other Obligations under this Indenture,
the Guarantees and the Collateral Documents with respect thereto, that are due and payable at or
prior to the time such principal, together with accrued and unpaid interest (including Additional
Interest, if any), are paid or (b) the Issuer shall have exercised its legal defeasance option or
its covenant defeasance option, in compliance with the provisions of Article 8, or its satisfaction
and discharge option, in compliance with the provisions of Article 11 hereof, in each case with
respect to all of the Notes, the Trustee shall deliver to the Issuer and the Notes Collateral Agent
a notice stating that the Trustee, on behalf of the Holders, disclaims and gives up any and all
rights it has in or to the Collateral (other than with respect to funds held by the Trustee
pursuant to Article 8 and Article 11), and any rights it has under the Collateral Documents, and
upon receipt by the Notes Collateral Agent of such notice, the Notes Collateral Agent shall be
deemed not to hold a Lien in the Collateral on behalf of the Trustee and shall do or cause to be
done all acts reasonably necessary at the Issuer’s cost to release such Lien as soon as is
reasonably practicable.

Section 13.11 Notes Collateral Agent.

(a) The Trustee and each of the Holders by acceptance of the Notes hereby designates and
appoints the Notes Collateral Agent as its agent under this Indenture, the Collateral Documents and
the Intercreditor Agreement and the Trustee and each of the Holders, by acceptance of the Notes,
hereby irrevocably authorizes the Notes Collateral Agent to take such action on its behalf under
the provisions of this Indenture, the Collateral Documents and the Intercreditor Agreement and to
exercise such powers and perform such duties as are expressly delegated to the Notes Collateral
Agent by the terms of this Indenture, the Collateral Documents and the Intercreditor Agreement,
together with such powers as are reasonably incidental thereto. The provisions of this Section
13.11 are solely for the benefit of the Notes Collateral Agent and none of the Trustee, any of the
Holders, the Issuer nor any of the Guarantors shall have any rights as a third party beneficiary of
any of the provisions contained herein other than as expressly provided in Section 13.03.
Notwithstanding any provision to the contrary contained elsewhere in this Indenture, the Collateral
Documents and the Intercreditor Agreement, the Notes Collateral Agent shall not have any duties or
responsibilities hereunder, nor shall the Notes Collateral Agent have or be deemed to have any
fiduciary relationship with the Trustee, any Holder or any Guarantor, and no implied covenants,
functions, responsibilities, duties, obligations or liabilities shall be read into this Indenture,
the Collateral Documents and the Intercreditor Agreement or otherwise exist against the Notes
Collateral Agent. Without limiting the generality of the foregoing sentence, the use of the term
“agent” in this Indenture with reference to the Notes Collateral 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.
Except as expressly otherwise provided in this Indenture, the Notes Collateral Agent shall have and
may use its sole discretion with respect to exercising or refraining from exercising any
discretionary rights or taking or refraining from taking any actions which the Notes Collateral
Agent is expressly entitled to take or assert under this Indenture, the Collateral Documents and
the Intercreditor Agreement, including the exercise of remedies pursuant to Article 6, and any
action so taken or not taken shall be deemed consented to by the Trustee and the Holders.

(b) None of the Notes Collateral Agent or any of its Affiliates shall (i) be liable for any
action taken or omitted to be taken by any of them under or in connection with this Indenture or
the transactions contemplated hereby (except for its own gross negligence or willful misconduct) or
under or in connection with any Collateral Document or the Intercreditor Agreement or the
transactions contemplated thereby (except for its own gross negligence or willful misconduct), or
(ii) be responsible in any manner to any of the Trustee or any Holder for any recital, statement,
representation, warranty, covenant or agreement made by the Issuer or any Guarantor, or any officer
or Affiliate of any of the foregoing, contained in this or any Indenture, or in any certificate,
report, statement or other document referred to or provided for in, or received by the Notes
Collateral Agent under or in connection with, this or any other Indenture, the Collateral Documents
or the Intercreditor Agreement, or the validity, effectiveness, genuineness, enforceability or
sufficiency of this or any other Indenture, the Collateral Documents or the Intercreditor
Agreement, or for any failure of the Issuer, any Guarantor or any other party to this Indenture,
the Collateral Documents or the Intercreditor Agreement to perform its obligations hereunder or
thereunder. None of the Notes Collateral Agent or any of its Affiliates shall be under any
obligation to the Trustee or any Holder to ascertain or to inquire as to the observance or performance of any of the agreements contained in, or conditions
of, this or any other Indenture, the Collateral Documents or the Intercreditor Agreement or to
inspect the properties, books, or records of the Issuer, any Guarantor or any Guarantor’s
Affiliates.

 

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(c) The Notes Collateral Agent 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 the Issuer, any
Guarantor and their Affiliates as though it was not the Notes Collateral Agent hereunder and
without notice to or consent of the Trustee. The Trustee and the Holders acknowledge that,
pursuant to such activities, the Notes Collateral Agent or its Affiliates may receive information
regarding the Issuer, any Guarantor or its Affiliates (including information that may be subject to
confidentiality obligations in favor of the Issuer, any such Guarantor or such Affiliate) and
acknowledge that the Notes Collateral Agent shall not be under any obligation to provide such
information to the Trustee or the Holders. Nothing herein shall impose or imply any obligation on
the part of the Notes Collateral Agent to advance funds.

(d) The Notes Collateral Agent is authorized and directed to (i) enter into the Collateral
Documents, (ii) enter into the Intercreditor Agreement, (iii) bind the Holders on the terms as set
forth in the Collateral Documents and the Intercreditor Agreement and (iv) perform and observe its
obligations under the Collateral Documents and the Intercreditor Agreement.

(e) If at any time or times the Trustee shall receive (i) by payment, foreclosure, set-off or
otherwise, any proceeds of Collateral or any payments with respect to the Obligations arising
under, or relating to, this Indenture, except for any such proceeds or payments received by the
Trustee from the Notes Collateral Agent pursuant to the terms of this Indenture, or (ii) payments
from the Notes Collateral Agent in excess of the amount required to be paid to the Trustee pursuant
to Article 6, the Trustee shall promptly turn the same over to the Notes Collateral Agent, in kind,
and with such endorsements as may be required to negotiate the same to the Notes Collateral Agent.

(f) The Trustee is each Holder’s agent for the purpose of perfecting the Holders’ security
interest in assets which, in accordance with Article 9 of the Uniform Commercial Code, can be
perfected only by possession. Should the Trustee obtain possession of any such Collateral, upon
request from the Issuer, the Trustee shall notify the Notes Collateral Agent thereof, and, promptly
upon the Notes Collateral Agent’s written request therefor shall deliver such Collateral to the
Notes Collateral Agent or otherwise deal with such Collateral in accordance with the Notes
Collateral Agent’s instructions.

(g) The Notes Collateral Agent shall have no obligation whatsoever to the Trustee or any of
the Holders to assure that the Collateral exists or is owned by the Issuer or any Guarantor or is
cared for, protected, or insured or has been encumbered, or that the Notes Collateral Agent’s Liens
have been properly or sufficiently or lawfully created, perfected, protected, maintained or
enforced or are entitled to any particular priority, or to determine whether all of the Issuer or
any Guarantor’s property constituting Collateral intended to be subject to the Lien and security
interest of the Collateral Documents has been properly and completely listed or delivered, as the
case may be, or the genuineness, validity, marketability or sufficiency thereof or title thereto,
or to exercise at all or in any particular manner or under any duty of care, disclosure, or
fidelity, or to continue exercising, any of the rights, authorities, and powers granted or
available to the Notes Collateral Agent pursuant to this Indenture, any Collateral Document or the
Intercreditor Agreement, it being understood and agreed that in respect of the Collateral, or any
act, omission, or event related thereto, the Notes Collateral Agent may act in any manner it may
deem appropriate, in its sole discretion given the Notes Collateral Agent’s own interest in the
Collateral and that the Notes Collateral Agent shall have no other duty or liability whatsoever to
the Trustee or any Holder as to any of the foregoing.

(h) No provision of this Indenture, the Intercreditor Agreement or any Collateral Document
shall require the Notes Collateral Agent (or the Trustee) to expend or risk its own funds or
otherwise incur any financial liability in the performance of any of its duties hereunder or
thereunder or to take or omit to take any action hereunder or thereunder or take any action at the
request or direction of Holders (or the Trustee in the case of the Notes Collateral Agent) if it
shall have reasonable grounds for believing that repayment of such funds is not assured to it.

 

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(i) The Notes Collateral Agent (i) shall not be liable for any action it takes or omits to
take in good faith which it reasonably believes to be authorized or within its rights or powers, or
for any error of judgment made in good faith by a Responsible Officer, unless it is proved that the
Notes Collateral Agent was grossly negligent in
ascertaining the pertinent facts, (ii) shall not be liable for interest on any money received
by it except as the Notes Collateral Agent may agree in writing with the Issuer (and money held in
trust by the Notes Collateral Agent need not be segregated from other funds except to the extent
required by law), (iii) the Notes Collateral Agent may consult with counsel of its selection and
the advice or opinion of such counsel as to matters of law shall be full and complete authorization
and protection from liability in respect of any action taken, omitted or suffered by it in good
faith and in accordance with the advice or opinion of such counsel. The grant of permissive rights
or powers to the Notes Collateral Agent shall not be construed to impose duties to act.

(j) Neither the Notes Collateral Agent nor the Trustee shall be liable for delays or failures
in performance resulting from acts beyond its control. Such acts shall include but not be limited
to acts of God, strikes, lockouts, riots, acts of war, epidemics, governmental regulations
superimposed after the fact, fire, communication line failures, computer viruses, power failures,
earthquakes or other disasters. Neither the Notes Collateral Agent nor the Trustee shall be liable
for any indirect, special or consequential damages (including but not limited to lost profits)
whatsoever, even if it has been informed of the likelihood thereof and regardless of the form of
action.

Section 13.12 Designations.
Except as provided in the next sentence, for purposes of the provisions hereof and the
Intercreditor Agreement requiring the Issuer to designate Indebtedness for the purposes of the term
“ABL Lenders Debt” or any other such designations hereunder or under the Intercreditor Agreement,
any such designation shall be sufficient if the relevant designation is set forth in writing,
signed on behalf of the Issuer by an Officer and delivered to the Trustee, the Notes Collateral
Agent and the ABL Agent. For all purposes hereof and the Intercreditor Agreement, the Issuer
hereby designates the Obligations pursuant to the ABL Facility as “ABL Lenders Debt.”

Section 13.13 Additional Collateral.

(a) (i) Subject to the limitations set forth or referenced in this Indenture, applicable law
and any exceptions set forth in the Collateral Documents, the Issuer and each Guarantor will cause
the issued and outstanding Capital Stock (other than Excluded Capital Stock) of each Subsidiary
directly owned by the Issuer or any Guarantor to be subject at all times to a first priority
(subject to the Intercreditor Agreement and to other Permitted Liens), perfected Lien in favor of
the Notes Collateral Agent pursuant to the terms and conditions of this Indenture and the other
Collateral Documents.

(ii) Subject to the limitations set forth or referenced in this Indenture, applicable law and
any exceptions set forth in the Collateral Documents, the Issuer and each Guarantor will cause,
except with respect to intercompany Indebtedness, all evidences of Indebtedness for borrowed money
that is owing to the Issuer or any Guarantor to be evidenced by a duly executed promissory note and
pledged and delivered to the Notes Collateral Agent under the Security Agreement and accompanied by
instruments of transfer with respect thereto endorsed in blank.

(iii) Each of the Issuer and each Guarantor agrees that all Indebtedness of the Issuer and
each of its Subsidiaries that is owing to the Issuer or any Guarantor shall be evidenced by an
intercompany note, which promissory note shall be required to be pledged and delivered to the Notes
Collateral Agent under the Security Agreement and accompanied by instruments of transfer with
respect thereto endorsed in blank.

(b) In furtherance of Section 4.16(b) hereof, but subject to the limitations set forth or
referenced in this Indenture, applicable law and any exceptions set forth in the Collateral
Documents, and without limiting the foregoing, the Issuer and each Guarantor will execute and
deliver to the Notes Collateral Agent such documents, agreements and instruments, and will take or
cause to be taken such further actions (including the filing and recording of financing statements,
fixture filings, mortgages, deeds of trust and other documents and such other actions or
deliveries, as applicable (including the delivery of the Real Property Collateral Requirements),
which may be required by law or which the Notes Collateral Agent may, from time to time, reasonably
request to carry out the terms and conditions of this Indenture and the other Collateral Documents
and to ensure perfection and priority of the
Liens created or intended to be created by the Collateral Documents, all at the expense of the
Issuer and the Guarantors.

 

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(c) Subject to the limitations set forth or referred to in this Indenture, applicable law and
any exceptions set forth in the Collateral Documents, if any material assets (including any real
property or improvements thereto or any interest therein) are acquired by the Issuer or any
Guarantor after the Issue Date (other than assets constituting Collateral under the Collateral
Documents that become subject to the Lien in favor of the Notes Collateral Agent upon acquisition
thereof), the Issuer will, as soon as reasonably practicable, notify the Notes Collateral Agent in
writing thereof, and the Issuer or such Guarantor will cause such assets to be subjected to a Lien
securing the Secured Obligations and will take such actions as shall be necessary or reasonably
requested by the Notes Collateral Agent to grant and perfect such Liens, including actions
described in paragraph (b) of this Section 13.13, all at the expense of the Issuer and the
Guarantors.

(d) [Reserved].

(e) Notwithstanding anything to the contrary contained herein, the Issuer and the Guarantors
shall not be required to include as Collateral any Excluded Assets.

[Signatures on following page]

 

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IN WITNESS WHEREOF, the undersigned have executed this Indenture as of the closing date.

	 	 	 	 	 
	 	CAMBIUM LEARNING GROUP, INC.

 	 
	 	By:  	/s/ Ronald Klausner	 
	 	 	Name:  	Ronald Klausner	 
	 	 	Title:  	Chief Executive Officer	 
	 
	 	VSS-CAMBIUM HOLDINGS II CORP.

 	 
	 	By:  	/s/ Scott J. Troeller	 
	 	 	Name:  	Scott J. Troeller	 
	 	 	Title:  	President	 
	 
	 	VSS-CAMBIUM HOLDINGS, LLC

 	 
	 	By:	VSS-Cambium Holdings II Corp., its sole member

 	 
	 	By:  	/s/ Scott J. Troeller	 
	 	 	Name:  	Scott J. Troeller	 
	 	 	Title:  	President	 
	 
	 	VSS-CAMBIUM HOLDINGS IV, LLC

 	 
	 	By:	VSS-Cambium Holdings, LLC, its sole member

 	 
	 	By:	VSS-Cambium Holdings II Corp., its sole member

 	 
	 	By:  	/s/ Scott J. Troeller	 
	 	 	Name:  	Scott J. Troeller	 
	 	 	Title:  	President	 
	 
	 	CAMBIUM LEARNING, INC.

 	 
	 	By:  	/s/ Ronald Klausner	 
	 	 	Name:  	Ronald Klausner	 
	 	 	Title:  	Chief Executive Officer	 
	 
	 	KURZWEIL/INTELLITOOLS, INC.

 	 
	 	By:  	/s/ Brad Almond	 
	 	 	Name:  	Brad Almond	 
	 	 	Title:  	Chief Financial Officer	 
	 
	 	LAZEL, INC.

 	 
	 	By:  	/s/ Brad Almond	 
	 	 	Name:  	Brad Almond	 
	 	 	Title:  	Chief Financial Officer	 
	 
	 	CAMBIUM EDUCATION, INC.

 	 
	 	By:  	/s/ Brad Almond	 
	 	 	Name:  	Brad Almond	 
	 	 	Title:  	Chief Financial Officer	 

[Signature Page to Indenture]

 

 

 

	 	 	 	 	 
	 	WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee

 	 
	 	By:  	/s/
Richard Prokosch 	 
	 	 	Name:  	Richard Prokosch 	 
	 	 	Title:  	Vice President 	 
	 	 	Date:  	February 17, 2011 	 
	 

[Signature Page to Indenture]

 

 

 

EXHIBIT A

[Face of Senior Secured Note]

[Insert the Global Note Legend, if applicable pursuant to the provisions of the Indenture]

[Insert the Private Placement Legend, if applicable pursuant to the provisions of the Indenture]

 

A-1

 

CUSIP
13201A AB3 / U1308J AB8

ISIN
US13201AAB35 / USU1308JAB80

[RULE 144A][REGULATION S] [GLOBAL] NOTE

representing

9.75% Senior Secured Note due 2017

No.

Cambium Learning Group, Inc., a Delaware corporation, promises to pay to           
or registered assigns, the principal sum [set forth on the Schedule of Exchanges of Interests in
the Global Senior Note attached hereto] [of           United States Dollars] on February
15, 2017.

Interest Payment Dates: February 15 and August 15, commencing on August 15, 2011

Record Dates: February 1 and August 1

 

A-2

 

IN WITNESS HEREOF, the Issuer has caused this instrument to be duly executed.

Dated:

	 	 	 	 	 
	 	CAMBIUM LEARNING GROUP, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

 

A-3

 

	 	 	 	 	 

This is one of the Notes referred to in the within-mentioned Indenture:

Dated:

	 	 	 	 	 
	 	WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

A-4

 

[Back of Senior Secured Note]

9.75% Senior Secured Note due 2017

Capitalized terms used herein shall have the meanings assigned to them in the Indenture
referred to below unless otherwise indicated.

(1) Interest. Cambium Learning Group, Inc., a Delaware corporation, promises to pay interest
on the principal amount of this Note at a rate per annum of 9.75% from February 17, 2011 until
maturity and to pay the Additional Interest, if any, payable pursuant to the Registration Rights
Agreement referred to below. The Issuer shall pay interest on this Note semi-annually in arrears
on February 15 and August 15 of each year beginning August 15, 2011, or, if any such day is not a
Business Day, on the next succeeding Business Day (each, an “Interest Payment Date”). The Issuer
shall make each interest payment to the Holder of record of this Note on the immediately preceding
February 1 and August 1 (each, a “Record Date”). Interest on this Note shall accrue from the most
recent date to which interest has been paid or, if no interest has been paid, from and including
February 17, 2011. The Issuer shall pay interest (including post-petition interest in any
proceeding under any Bankruptcy Law) on overdue principal and premium, if any, from time to time on
demand at the rate borne by this Note; it shall pay interest (including post-petition interest in
any proceeding under any Bankruptcy Law) on overdue installments of interest (without regard to any
applicable grace periods) from time to time on demand at the rate borne by this Note. Interest
shall be computed on the basis of a 360-day year comprised of twelve 30-day months.

(2) Method of Payment. The Issuer shall pay interest on this Note to the Person who is the
registered Holder of this Note at the close of business on the Record Date (whether or not a
Business Day) next preceding the Interest Payment Date, even if this Note is cancelled after such
record date and on or before such Interest Payment Date, except as provided in Section 2.12 of the
Indenture with respect to defaulted interest. Payment of interest may be made by check mailed to
the Holders at their addresses set forth in the Note Register of Holders, provided that (a) all
cash payments of principal, premium, if any, and interest on, Notes represented by Global Notes
registered in the name of or held by DTC or its nominee shall be made by wire transfer of
immediately available funds to the accounts specified by the Holder or Holders thereof and (b) all
payments of principal, premium, if any, and interest with respect to certificated Notes shall be
made by wire transfer to a U.S. dollar account maintained by the payee with a bank in the United
States if such Holder elects payment by wire transfer by giving written notice to the Trustee or
the Paying Agent to such effect designating such account no later than 30 days immediately
preceding the relevant due date for payment (or such other date as the Trustee may accept in its
discretion). Such payment shall be in such coin or currency of the United States of America as at
the time of payment is legal tender for payment of public and private debts.

(3) Paying Agent and Registrar. Initially, Wells Fargo Bank, National Association, the
Trustee under the Indenture, shall act as Paying Agent and Registrar. The Issuer may change any
Paying Agent or Registrar without notice to the Holders. The Issuer or any of its Subsidiaries may
act in any such capacity.

(4) Indenture. The Issuer issued the Notes under an Indenture, dated as of February 17, 2011
(the “Indenture”), among Cambium Learning Group, Inc., the Guarantors party thereto, and the
Trustee. This Note is one of a duly authorized issue of notes of the Issuer designated as its
9.75% Senior Secured Notes due 2017. The Issuer shall be entitled to issue Additional Notes in
accordance with Sections 2.01, 4.09 and 4.12 of the Indenture. The terms of the Notes include
those stated in the Indenture and those made part of the Indenture by reference to the Trust
Indenture Act of 1939, as amended (the “Trust Indenture Act”). The Notes are subject to all such
terms, and Holders are referred to the Indenture and such Act for a statement of such terms. To
the extent any provision of this Note conflicts with the express provisions of the Indenture, the
provisions of the Indenture shall govern and be controlling.

(5) Optional Redemption.

(a) Except as described below under clauses 5(b), 5(c) and 5(d) hereof, the Notes shall not be
redeemable at the Issuer’s option.

 

A-5

 

(b) At any time prior to February 15, 2014, the Issuer may redeem all or a part of the Notes
at a redemption price equal to 100.0% of the principal amount of such Notes redeemed plus the
Applicable Premium as of,
plus accrued and unpaid interest, if any, to, but excluding the date of redemption (the
“Redemption Date”), subject to the right of Holders of record on the relevant record date to
receive interest due on the relevant interest payment date.

(c) On or after February 15, 2014, the Issuer may redeem the Notes, at the redemption prices
(expressed as percentages of principal amount of the Notes to be redeemed) set forth below, plus
accrued and unpaid interest, if any, to but excluding the Redemption Date, subject to the right of
Holders of record on the relevant record date to receive interest due on the relevant interest
payment date, if redeemed during the twelve-month period beginning on February 15 of each of the
years indicated below:

	 	 	 	 	 
	Year	 	Percentage	 
	2014
	 	 	104.875	%
	2015
	 	 	102.438	%
	2016 and thereafter
	 	 	100.000	%

(d) Until February 15, 2014, the Issuer may, at its option, on one or more occasions, redeem
up to 35.0% of the aggregate principal amount of Notes issued under this Indenture at a redemption
price equal to 109.750% of the aggregate principal amount thereof plus accrued and unpaid interest
and Additional Interest, if any, to, but excluding the Redemption Date, subject to the right of
Holders of record on the relevant record date to receive interest due on the relevant interest
payment date, with the net cash proceeds from one or more Equity Offerings to the extent that such
net cash proceeds are received by or contributed to the Issuer; provided that (i) at least 65.0% of
the sum of the aggregate principal amount of the Notes originally issued under this Indenture on
the Issue Date and any Additional Notes issued under the Indenture after the Issue Date remains
outstanding immediately after the occurrence of each such redemption (excluding Notes held by the
Issuer or any of its Subsidiaries); and (ii) each such redemption occurs within 90 days of the date
of closing of each such Equity Offering. At any time and from time to time prior to February 15,
2014, the Issuer may redeem up to 10% of the aggregate principal amount of the Notes (including
Additional Notes, if any) that have been issued under the Indenture at a redemption price of 103%
of the principal amount thereof, plus accrued and unpaid interest, if any, to the Redemption Date;
provided that in no event may the Issuer redeem more than 10% of the original aggregate principal
amount of the Notes in any twelve-month period. Any redemption or notice of redemption may, at the
Issuer’s discretion, be subject to one or more conditions precedent, including, but not limited to,
completion of an Equity Offering, other offering or other corporate transaction event. Notice of
any redemption in respect of an Equity Offering may be given prior to the completion thereof. If
any Notes are listed on an exchange, and the rules of such exchange so require, the Issuer shall
notify the exchange of any such notice of redemption. In addition, the Issuer shall notify the
exchange of the principal amount of any Notes outstanding following any partial redemption of
Notes.

(e) Any redemption pursuant to this paragraph 5 shall be made pursuant to the provisions of
Sections 3.01 through 3.07 of the Indenture.

(6) Mandatory Redemption. The Issuer shall not be required to make mandatory redemption or
sinking fund payments with respect to the Notes.

(7) Notice of Redemption. Subject to Section 3.03 of the Indenture, notice of redemption
shall be delivered electronically or mailed by first-class mail at least 30 days but not more than
60 days before the redemption date (except that redemption notices may be delivered electronically
or mailed more than 60 days prior to a redemption date if the notice is issued in connection with
Article 8 or Article 11 of the Indenture) to each Holder whose Notes are to be redeemed at its
registered address. No Notes of less than $2,000 can be redeemed in part, except that if all the
Notes of a Holder are to be redeemed, the entire amount of Notes held by such Holder shall be
redeemed. On and after the Redemption Date, interest ceases to accrue on this Note or portions
thereof called for redemption.

(8) Offers to Repurchase. Upon the occurrence of a Change of Control, the Issuer shall make a
Change of Control Offer in accordance with Section 4.14 of the Indenture. In connection with
certain Asset Sales, the Issuer shall make an Asset Sale Offer as and when provided in accordance
with Sections 3.09 and 4.10 of the Indenture.

 

A-6

 

(9) Security. In order to secure the Indenture Obligations, the Issuer and the Guarantors
have entered into the Collateral Documents. The Indenture Obligations shall be secured by Liens on
the Collateral in accordance with the terms and provisions of the Collateral Documents and will be
subject to the Intercreditor Agreement.

(10) Denominations, Transfer, Exchange. The Notes are in registered form without coupons in
denominations of $2,000 and any integral multiple of $1,000 in excess of $2,000. The transfer of
Notes may be registered and Notes may be exchanged as provided in the Indenture. The Registrar and
the Trustee may require a Holder, among other things, to furnish appropriate endorsements and
transfer documents and the Issuer may require a Holder to pay any taxes and fees required by law or
permitted by the Indenture. The Issuer need not exchange or register the transfer of any Note or
portion of a Note selected for redemption, except for the unredeemed portion of any Note being
redeemed in part. Also, the Issuer need not exchange or register the transfer of any Notes for a
period of 15 days before a selection of Notes to be redeemed.

(11) Persons Deemed Owners. The registered Holder of a Note may be treated as its owner for
all purposes.

(12) Amendment, Supplement and Waiver. The Indenture, the Guarantees or the Notes may be
amended or supplemented as provided in the Indenture.

(13) Defaults and Remedies. The Events of Default relating to the Notes are defined in
Section 6.01 of the Indenture. If any Event of Default occurs and is continuing, the Trustee or
the Holders of at least 25.0% in principal amount of the then outstanding Notes may declare the
principal, premium, if any, interest and any other monetary obligations on all the then outstanding
Notes to be due and payable immediately. Notwithstanding the foregoing, in the case of an Event of
Default arising from certain events of bankruptcy or insolvency as set forth in the Indenture, all
outstanding Notes shall become due and payable immediately without further action or notice.
Holders may not enforce the Indenture, the Notes or the Guarantees except as provided in the
Indenture. Subject to certain limitations, Holders of a majority in aggregate principal amount of
the then outstanding Notes (excluding any Notes directly or indirectly held by the Issuer or its
Affiliates) may direct the Trustee in its exercise of any trust or power. The Trustee may withhold
from Holders notice of any continuing Default (except a Default relating to the payment of
principal, premium, if any, or interest) if it determines that withholding notice is in their
interest. The Holders of a majority in aggregate principal amount of the Notes then outstanding by
notice to the Trustee may on behalf of all the Holders waive any existing Default or and its
consequences under the Indenture except a continuing Default in payment of the principal of,
premium, if any, or interest on, any of the Notes held by a non-consenting Holder. The Issuer is
required to deliver to the Trustee annually a statement regarding compliance with the Indenture,
and the Issuer is required within five Business Days after becoming aware of any Default, to
deliver to the Trustee a statement specifying such Default and what action the Issuer proposes to
take with respect thereto.

(14) Authentication. This Note shall not be entitled to any benefit under the Indenture or be
valid or obligatory for any purpose until authenticated by the manual signature of the Trustee.

(15) Additional Rights of Holders of Restricted Global Notes and Restricted Definitive Notes.
In addition to the rights provided to Holders under the Indenture, Holders of Restricted Global
Notes and Restricted Definitive Notes shall have all the rights set forth in the Registration
Rights Agreement, including the right to receive Additional Interest (as defined in the
Registration Rights Agreement).

(16) Governing Law. THE LAWS OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED TO CONSTRUE
THE INDENTURE, THE NOTES AND THE GUARANTEES.

(17) CUSIP and ISIN Numbers. Pursuant to a recommendation promulgated by the Committee on
Uniform Security Identification Procedures, the Issuer has caused CUSIP and ISIN numbers to be
printed on the Notes and the Trustee may use CUSIP and ISIN numbers in notices of redemption as a
convenience to Holders. No representation is made as to the accuracy of such numbers either as
printed on the Notes or as contained in any notice of redemption and reliance may be placed only on
the other identification numbers placed thereon.

 

A-7

 

The Issuer shall furnish to any Holder upon written request and without charge a copy of the
Indenture and/or the Registration Rights Agreement. Requests may be made to the Issuer at the
following address:

Cambium Learning Group, Inc.

17855 North Dallas Parkway, Suite 400

Dallas, Texas 75287

Facsimile: 214-424-6425

Attention: Todd W. Buchardt, General Counsel

 

A-8

 

ASSIGNMENT FORM

To assign this Note, fill in the form below:

(I) or (we) assign and transfer this Note to:
 

 

(Insert assignee’s legal name)

 

(Insert assignee’s soc. sec. or tax I.D. no.)

 

 

 

(Print or type assignee’s name, address and zip code)

	 	 	 

	and irrevocably appoint
 

to transfer this Note on the books of the Issuer. The agent may substitute another to act for him.

	 	 	 	 	 
	 	 	 
	Date:                     
                     	Your Signature:  	 
	 	 	(Sign exactly as your name appears on the face of this Note) 
	 	 	 
	 

	 	 	 	 	 
	Signature Guarantee*:	 	 

	 	 	 
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature
guarantor acceptable to the Trustee).

 

A-9

 

OPTION OF HOLDER TO ELECT PURCHASE

If you want to elect to have this Note purchased by the Issuer pursuant to Section 4.10 or
4.14 of the Indenture, check the appropriate box below:

o Section 4.10      
o Section 4.14

If you want to elect to have only part of this Note purchased by the Issuer pursuant to
Section 4.10 or Section 4.14 of the Indenture, state the amount you elect to have purchased:

$ ________________

	 	 	 	 	 
	 	 	 
	Date:                     
                     	Your Signature:  	 
	 	 	(Sign exactly as your name appears on the face of this Note)
	 	 	 

	 	 	 	 	 
	 	 	 
	 	Tax Identification No.:  	 
	 

	 	 	 	 	 
	Signature Guarantee*:	 	 

	 	 	 
	*	 	Participant in a recognized Signature Guarantee Medallion Program (or other signature
guarantor acceptable to the Trustee).

 

A-10

 

SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL NOTE*

The initial outstanding principal amount of this Global Note is $          . The following exchanges of
a part of this Global Note for an interest in another Global Note or for a Definitive Note, or
exchanges of a part of another Global or Definitive Note for an interest in this Global Note, have
been made:

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Principal Amount of	 	 
	 	 	Amount of decrease	 	Amount of increase	 	this Global Secured	 	Signature of
	 	 	in Principal Amount	 	in Principal Amount	 	Note following such	 	authorized officer
	 	 	of this Global	 	of this Global	 	decrease or	 	of Trustee or
	Date of Exchange	 	Secured Note	 	Secured Note	 	increase	 	Custodian
	 	 	 	 	 	 	 	 	 

 

A-11

 

EXHIBIT B

FORM OF CERTIFICATE OF TRANSFER

Cambium Learning Group, Inc.

17855 North Dallas Parkway, Suite 400

Dallas, Texas 75287

Facsimile: [               ]

Attention:  [               ]

Wells Fargo Bank, National Association

MAC N9311-110

625 Marquette Avenue

Minneapolis, MN 55479

Fax No.: 612-667-2160

Attention: Cambium Administrator

	 	Re: 	 	9.75% Senior Secured Notes due 2017

Reference is hereby made to the Senior Secured Notes Indenture, dated as of February 17, 2011
(the “Indenture”), among Cambium Learning Group, Inc., the Guarantors party thereto and the
Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in
the Indenture.

________________________
(the “Transferor”) owns and proposes to transfer the Note[s] or interest in
such Note[s] specified in Annex A hereto, in the principal amount of $ in such Note[s] or interests
(the “Transfer”), to (the “Transferee”), as further specified in Annex A hereto. In connection
with the Transfer, the Transferor hereby certifies that:

[CHECK ALL THAT APPLY]

1. o CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE RELEVANT 144A
GLOBAL NOTE OR RELEVANT DEFINITIVE NOTE PURSUANT TO RULE 144A. The Transfer is being effected
pursuant to and in accordance with Rule 144A under the United States Securities Act of 1933, as
amended (the “Securities Act”), and, accordingly, the Transferor hereby further certifies that the
beneficial interest or Definitive Note is being transferred to a Person that the Transferor
reasonably believes is purchasing the beneficial interest or Definitive Note for its own account,
or for one or more accounts with respect to which such Person exercises sole investment discretion,
and such Person and each such account is a “qualified institutional buyer” within the meaning of
Rule 144A in a transaction meeting the requirements of Rule 144A and such Transfer is in compliance
with any applicable blue sky securities laws of any state of the United States.

2. o CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE RELEVANT
REGULATION S GLOBAL NOTE OR RELEVANT DEFINITIVE NOTE PURSUANT TO REGULATION S. The Transfer is
being effected pursuant to and in accordance with Rule 903 or Rule 904 and, accordingly, the
Transferor hereby further certifies that (i) the Transfer is not being made to a person in the
United States and (x) at the time the buy order was originated, the Transferee was outside the
United States or such Transferor and any Person acting on its behalf reasonably believed and
believes that the Transferee was outside the United States or (y) the transaction was executed in,
on or through the facilities of a designated offshore securities market and neither such Transferor
nor any Person acting on its behalf knows that the transaction was prearranged with a buyer in the
United States, (ii) no directed selling efforts have been made in contravention of the requirements
of Rule 903(b) or Rule 904(b) of Regulation S and (iii) the transaction is not part of a plan or
scheme to evade the registration requirements of the Securities Act. Upon consummation of the
proposed transfer in accordance with the terms of the Indenture, the transferred beneficial
interest or Definitive Note shall be subject to the restrictions on Transfer enumerated in the
Indenture and the Securities Act.

 

B-1

 

3. o CHECK AND COMPLETE IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN THE
RELEVANT DEFINITIVE NOTE PURSUANT TO ANY PROVISION OF THE SECURITIES ACT OTHER THAN RULE 144A OR
REGULATION S. The Transfer is being effected in compliance with the transfer restrictions
applicable to beneficial interests in Restricted Global Notes and Restricted Definitive Notes and
pursuant to and in accordance with the Securities Act and any applicable blue sky securities laws
of any state of the United States, and accordingly the Transferor hereby further certifies that
(check one):

(a) o such Transfer is being effected pursuant to and in accordance with Rule 144
under the Securities Act; or

(b) o such Transfer is being effected to the Issuer or a subsidiary thereof; or

(c) o such Transfer is being effected pursuant to an effective registration statement
under the Securities Act and in compliance with the prospectus delivery requirements of the
Securities Act.

4. o CHECK IF TRANSFEREE WILL TAKE DELIVERY OF A BENEFICIAL INTEREST IN AN UNRESTRICTED
GLOBAL NOTE OR OF AN UNRESTRICTED DEFINITIVE NOTE.

(a) o CHECK IF TRANSFER IS PURSUANT TO RULE 144. (i) The Transfer is being effected
pursuant to and in accordance with Rule 144 under the Securities Act and in compliance with
the transfer restrictions contained in the Indenture and any applicable blue sky securities
laws of any state of the United States and (ii) the restrictions on transfer contained in
the Indenture and the Private Placement Legend are not required in order to maintain
compliance with the Securities Act. Upon consummation of the proposed Transfer in
accordance with the terms of the Indenture, the transferred beneficial interest or
Definitive Note shall no longer be subject to the restrictions on transfer enumerated in the
Private Placement Legend printed on the Restricted Global Notes, on Restricted Definitive
Notes and in the Indenture.

(b) o CHECK IF TRANSFER IS PURSUANT TO REGULATION S. (i) The Transfer is being
effected pursuant to and in accordance with Rule 903 or Rule 904 and in compliance with the
transfer restrictions contained in the Indenture and any applicable blue sky securities laws
of any state of the United States and (ii) the restrictions on transfer contained in the
Indenture and the Private Placement Legend are not required in order to maintain compliance
with the Securities Act. Upon consummation of the proposed Transfer in accordance with the
terms of the Indenture, the transferred beneficial interest or Definitive Note shall no
longer be subject to the restrictions on transfer enumerated in the Private Placement Legend
printed on the Restricted Global Notes, on Restricted Definitive Notes and in the Indenture.

(c) o CHECK IF TRANSFER IS PURSUANT TO OTHER EXEMPTION. (i) The Transfer is being
effected pursuant to and in compliance with an exemption from the registration requirements
of the Securities Act other than Rule 144, Rule 903 or Rule 904 and in compliance with the
transfer restrictions contained in the Indenture and any applicable blue sky securities laws
of any State of the United States and (ii) the restrictions on transfer contained in the
Indenture and the Private Placement Legend are not required in order to maintain compliance
with the Securities Act. Upon consummation of the proposed Transfer in accordance with the
terms of the Indenture, the transferred beneficial interest or Definitive Note shall not be
subject to the restrictions on transfer enumerated in the Private Placement Legend printed
on the Restricted Global Notes or Restricted Definitive Notes and in the Indenture.

 

B-2

 

This certificate and the statements contained herein are made for your benefit and the benefit
of the Issuer.

	 	 	 	 	 
	 	[Insert Name of Transferor]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

 

B-3

 

	 	 	 	 	 

ANNEX A TO CERTIFICATE OF TRANSFER

	1.	 	The Transferor owns and proposes to transfer the following:

[CHECK ONE OF (a) OR (b)]

	 	(a)	 	o a beneficial interest in the:

	 	(i)	 	o 144A Global Note ([CUSIP:               
      ]), or
	 
	 	(ii)	 	o Regulation S Global Note ([CUSIP:             
        ]), or

	 	(b)	 	o a Restricted Definitive Note.

	2.	 	After the Transfer the Transferee shall hold:

[CHECK ONE]

	 	(a)	 	o a beneficial interest in the:

	 	(i)	 	o 144A Global Note ([CUSIP:              
      ]), or
	 
	 	(ii)	 	o Regulation S Global Note ([CUSIP:            
        ])or
	 
	 	(iii)	 	o Unrestricted Global Note ([              
      ] [                    ]);
or

	 	(b)	 	o a Restricted Definitive Note; or
	 
	 	(c)	 	o an Unrestricted Definitive Note, in accordance with the terms of the Indenture.

 

B-4

 

EXHIBIT C

FORM OF CERTIFICATE OF EXCHANGE

Cambium Learning Group, Inc.

17855 North Dallas Parkway, Suite 400

Dallas, Texas 75287

Facsimile: 704-992-1451

Attention: General Counsel

Wells Fargo Bank, National Association

MAC N9311-110

625 Marquette Avenue

Minneapolis, MN 55479

Fax No.: 612-667-2160

Attention: Cambium Administrator

	 	Re: 	 	9.75% Senior Secured Notes due 2017

Reference is hereby made to the Senior Secured Notes Indenture, dated as of February 17, 2011
(the “Indenture”), among Cambium Learning Group, Inc. the Guarantors party thereto, and the
Trustee. Capitalized terms used but not defined herein shall have the meanings given to them in
the Indenture.

_____________________
(the “Owner”) owns and proposes to exchange the Note[s] or interest in such
Note[s] specified herein, in the principal amount of $ in such Note[s] or interests (the
“Exchange”). In connection with the Exchange, the Owner hereby certifies that:

1) EXCHANGE OF RESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN A RESTRICTED GLOBAL NOTE
FOR UNRESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN AN UNRESTRICTED GLOBAL NOTE

a) o CHECK IF EXCHANGE IS FROM BENEFICIAL INTEREST IN A RESTRICTED GLOBAL NOTE TO
BENEFICIAL INTEREST IN AN UNRESTRICTED GLOBAL NOTE. In connection with the Exchange of the
Owner’s beneficial interest in a Restricted Global Note for a beneficial interest in an
Unrestricted Global Note in an equal principal amount, the Owner hereby certifies (i) the
beneficial interest is being acquired for the Owner’s own account without transfer, (ii)
such Exchange has been effected in compliance with the transfer restrictions applicable to
the Global Notes and pursuant to and in accordance with the United States Securities Act of
1933, as amended (the “Securities Act”), (iii) the restrictions on transfer contained in the
Indenture and the Private Placement Legend are not required in order to maintain compliance
with the Securities Act and (iv) the beneficial interest in an Unrestricted Global Note is
being acquired in compliance with any applicable blue sky securities laws of any state of
the United States.

b) o CHECK IF EXCHANGE IS FROM BENEFICIAL INTEREST IN A RESTRICTED GLOBAL NOTE TO
UNRESTRICTED DEFINITIVE NOTE. In connection with the Exchange of the Owner’s beneficial
interest in a Restricted Global Note for an Unrestricted Definitive Note, the Owner hereby
certifies (i) the Definitive Note is being acquired for the Owner’s own account without
transfer, (ii) such Exchange has been effected in compliance with the transfer restrictions
applicable to the Restricted Global Notes and pursuant to and in accordance with the
Securities Act, (iii) the restrictions on transfer contained in the Indenture and the
Private Placement Legend are not required in order to maintain compliance with the
Securities Act and (iv) the Definitive Note is being acquired in compliance with any
applicable blue sky securities laws of any state of the United States.

 

C-1

 

c) o CHECK IF EXCHANGE IS FROM RESTRICTED DEFINITIVE NOTE TO BENEFICIAL INTEREST IN AN
UNRESTRICTED GLOBAL NOTE. In connection with the Owner’s Exchange of a Restricted
Definitive Note for a beneficial interest in an Unrestricted Global Note, the Owner hereby
certifies (i) the beneficial interest is being acquired for the Owner’s own account without
transfer, (ii) such Exchange has been effected in compliance with the transfer restrictions
applicable to Restricted Definitive Notes and pursuant to and in accordance with the
Securities Act, (iii) the restrictions on transfer contained in the Indenture and the
Private Placement Legend are not required in order to maintain compliance with the
Securities Act and (iv) the beneficial interest is being acquired in compliance with any
applicable blue sky securities laws of any state of the United States.

d) o CHECK IF EXCHANGE IS FROM RESTRICTED DEFINITIVE NOTE TO UNRESTRICTED DEFINITIVE
NOTE. In connection with the Owner’s Exchange of a Restricted Definitive Note for an
Unrestricted Definitive Note, the Owner hereby certifies (i) the Unrestricted Definitive
Note is being acquired for the Owner’s own account without transfer, (ii) such Exchange has
been effected in compliance with the transfer restrictions applicable to Restricted
Definitive Notes and pursuant to and in accordance with the Securities Act, (iii) the
restrictions on transfer contained in the Indenture and the Private Placement Legend are not
required in order to maintain compliance with the Securities Act and (iv) the Unrestricted
Definitive Note is being acquired in compliance with any applicable blue sky securities laws
of any state of the United States.

2) EXCHANGE OF RESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN RESTRICTED GLOBAL NOTES
FOR RESTRICTED DEFINITIVE NOTES OR BENEFICIAL INTERESTS IN RESTRICTED GLOBAL NOTES

a) o CHECK IF EXCHANGE IS FROM BENEFICIAL INTEREST IN A RESTRICTED GLOBAL NOTE TO
RESTRICTED DEFINITIVE NOTE. In connection with the Exchange of the Owner’s beneficial
interest in a Restricted Global Note for a Restricted Definitive Note with an equal
principal amount, the Owner hereby certifies that the Restricted Definitive Note is being
acquired for the Owner’s own account without transfer. Upon consummation of the proposed
Exchange in accordance with the terms of the Indenture, the Restricted Definitive Note
issued shall continue to be subject to the restrictions on transfer enumerated in the
Private Placement Legend printed on the Restricted Definitive Note and in the Indenture and
the Securities Act.

b) o CHECK IF EXCHANGE IS FROM RESTRICTED DEFINITIVE NOTE TO BENEFICIAL INTEREST IN A
RESTRICTED GLOBAL NOTE. In connection with the Exchange of the Owner’s Restricted
Definitive Note for a beneficial interest in the [CHECK ONE] o 144A Global Note o Regulation S
Global Note, with an equal principal amount, the Owner hereby certifies (i) the beneficial
interest is being acquired for the Owner’s own account without transfer and (ii) such
Exchange has been effected in compliance with the transfer restrictions applicable to the
Restricted Global Notes and pursuant to and in accordance with the Securities Act, and in
compliance with any applicable blue sky securities laws of any state of the United States.
Upon consummation of the proposed Exchange in accordance with the terms of the Indenture,
the beneficial interest issued shall be subject to the restrictions on transfer enumerated
in the Private Placement Legend printed on the relevant Restricted Global Note and in the
Indenture and the Securities Act.

This certificate and the statements contained herein are made for your benefit and the benefit
of the Issuer and are dated.

	 	 	 	 	 
	 	[Insert Name of Transferor]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

 

C-2

 

EXHIBIT D

[FORM OF SUPPLEMENTAL INDENTURE

TO BE DELIVERED BY SUBSEQUENT GUARANTORS]

Supplemental
Indenture (this “Supplemental Indenture”), dated as
of         , among           
(the “Guaranteeing Subsidiary”), a subsidiary of Cambium Learning Group, Inc., a
Delaware corporation (the “Issuer”), and Wells Fargo Bank, National Association, a national banking
association, as trustee (the “Trustee”).

WITNESSETH

WHEREAS, Cambium Learning Group, Inc. and the Guarantors party thereof (as defined in the
Indenture referred to below) has heretofore executed and delivered to the Trustee a Senior Secured
Notes Indenture (the “Indenture”), dated as of February 17, 2011, providing for the issuance of an
unlimited aggregate principal amount of 9.75% Senior Secured Notes due 2017;

WHEREAS, the Indenture provides that under certain circumstances the Guaranteeing Subsidiary
shall execute and deliver to the Trustee a supplemental indenture pursuant to which the
Guaranteeing Subsidiary shall unconditionally guarantee all of the Issuer’s Obligations under the
Notes and the Indenture on the terms and conditions set forth herein and under the Indenture (the
“Guarantee”); and

WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee is authorized to execute and
deliver this Supplemental Indenture.

NOW THEREFORE, in consideration of the foregoing and for other good and valuable
consideration, the receipt of which is hereby acknowledged, the parties mutually covenant and agree
for the equal and ratable benefit of the Holders as follows:

(1) Capitalized Terms. Capitalized terms used herein without definition shall have
the meanings assigned to them in the Indenture.

(2) Agreement to Guarantee. The Guaranteeing Subsidiary hereby agrees as follows:

(a) Along with all other Guarantors named in the Indenture (including pursuant to any
supplemental indentures), to jointly and severally unconditionally guarantee to each Holder
of a Note authenticated and delivered by the Trustee and to the Trustee and its successors
and assigns, irrespective of the validity and enforceability of the Indenture, the Notes or
the obligations of the Issuer hereunder or thereunder, that:

(i) the principal of and interest and premium, if any, on the Notes shall be
promptly paid in full when due, whether at maturity, by acceleration, redemption or
otherwise, and interest on the overdue principal of and interest on the Notes, if
any, if lawful, and all other obligations of the Issuer to the Holders or the
Trustee thereunder shall be promptly paid in full, all in accordance with the terms
thereof; and

(ii) in case of any extension of time of payment or renewal of any Notes or any
of such other obligations, that same shall be promptly paid in full when due in
accordance with the terms of the extension or renewal, whether at stated maturity,
by acceleration or otherwise. Failing payment when due of any amount so guaranteed
for whatever reason, the Guarantors and the Guaranteeing Subsidiary shall be jointly
and severally obligated to pay the same immediately. This is a guarantee of payment
and not a guarantee of collection.

 

D-1

 

(b) The obligations hereunder shall be unconditional, irrespective of the validity,
regularity or enforceability of the Notes or the Indenture, the absence of any action to
enforce the same, any waiver or
consent by any Holder with respect to any provisions hereof or thereof, the recovery of
any judgment against the Issuer or any other Guarantor, any action to enforce the same or
any other circumstance which might otherwise constitute a legal or equitable discharge or
defense of a guarantor.

(c) The Guaranteeing Subsidiary hereby waives: diligence, presentment, demand of
payment, filing of claims with a court in the event of insolvency or bankruptcy of the
Issuer, any right to require a proceeding first against the Issuer, protest, notice and all
demands whatsoever.

(d) Except as provided in the Indenture and herein, the Guarantee shall not be
discharged except by full payment of the obligations contained in the Notes, the Indenture
and this Supplemental Indenture. The Guaranteeing Subsidiary accepts all obligations
applicable to a Guarantor under the Indenture, including Article 10 of the Indenture (which
is deemed incorporated in this Supplemental Indenture and applicable to this Guarantee).
The Guaranteeing Subsidiary acknowledges that by executing this Supplemental Indenture, it
shall become a Guarantor under the Indenture and subject to all the terms and conditions
applicable to Guarantors contained therein.

(e) If any Holder or the Trustee is required by any court or otherwise to return to the
Issuer, the Guarantors (including the Guaranteeing Subsidiary), or any custodian, trustee,
liquidator or other similar official acting in relation to either the Issuer or the
Guarantors, any amount paid either to the Trustee or such Holder, this Guarantee, to the
extent theretofore discharged, shall be reinstated in full force and effect.

(f) The Guaranteeing Subsidiary shall not be entitled to any right of subrogation in
relation to the Holders in respect of any obligations guaranteed hereby until payment in
full of all obligations guaranteed hereby.

(g) As between the Guaranteeing Subsidiary, on the one hand, and the Holders and the
Trustee, on the other hand, (x) the maturity of the obligations guaranteed hereby may be
accelerated as provided in Article 6 of the Indenture for the purposes of this Guarantee,
notwithstanding any stay, injunction or other prohibition preventing such acceleration in
respect of the obligations guaranteed hereby, and (y) in the event of any declaration of
acceleration of such obligations as provided in Article 6 of the Indenture, such obligations
(whether or not due and payable) shall forthwith become due and payable by the Guaranteeing
Subsidiary for the purpose of this Guarantee.

(h) The Guaranteeing Subsidiary shall have the right to seek contribution from any
non-paying Guarantor so long as the exercise of such right does not impair the rights of the
Holders under this Guarantee.

(i) Pursuant to Section 10.02 of the Indenture, after giving effect to all other
contingent and fixed liabilities that are relevant under any applicable Bankruptcy or
fraudulent conveyance laws, or similar limitation, and after giving effect to any
collections from, rights to receive contribution from or payments made by or on behalf of
any other Guarantor in respect of the obligations of such other Guarantor under Article 10
of the Indenture, this new Guarantee shall be limited to the maximum amount permissible such
that the obligations of such Guarantor under this Guarantee shall not constitute a
fraudulent transfer or conveyance, or similar limitation.

(j) This Guarantee shall remain in full force and effect and continue to be effective
should any petition be filed by or against the Issuer for liquidation, reorganization,
should the Issuer become insolvent or make an assignment for the benefit of creditors or
should a receiver or trustee be appointed for all or any significant part of the Issuer’s
assets, and shall, to the fullest extent permitted by law, continue to be effective or be
reinstated, as the case may be, if at any time payment and performance of the Notes are,
pursuant to applicable law, rescinded or reduced in amount, or must otherwise be restored or
returned by any obligee on the Notes and Guarantee, whether as a “voidable preference,”
“fraudulent transfer” or otherwise, all as though such payment or performance had not been
made. In the event that any payment or any part
thereof, is rescinded, reduced, restored or returned, the Note shall, to the fullest
extent permitted by law, be reinstated and deemed reduced only by such amount paid and not
so rescinded, reduced, restored or returned.

 

D-2

 

(k) In case any provision of this Guarantee shall be invalid, illegal or unenforceable,
the validity, legality, and enforceability of the remaining provisions shall not in any way
be affected or impaired thereby.

(l) This Guarantee shall be a general secured senior obligation of such Guaranteeing
Subsidiary, ranking equally in right of payment with all existing and future Senior
Indebtedness of the Guaranteeing Subsidiary, if any.

(m) Each payment to be made by the Guaranteeing Subsidiary in respect of this Guarantee
shall be made without set-off, counterclaim, reduction or diminution of any kind or nature.

(3) Execution and Delivery. The Guaranteeing Subsidiary agrees that the Guarantee
shall remain in full force and effect notwithstanding the absence of the endorsement of any
notation of such Guarantee on the Notes.

(4) Merger, Consolidation or Sale of All or Substantially All Assets.

(a) Except as otherwise provided in the Indenture, the Guaranteeing Subsidiary shall not
consolidate, amalgamate or merge with or into or wind up into (whether or not such Guaranteeing
Subsidiary is the surviving Person), or sell, assign, transfer, lease, convey or otherwise dispose
of all or substantially all of its properties or assets, in one or more related transactions, to
any Person unless:

(i) (A) such Guaranteeing Subsidiary is the surviving Person or the Person formed by or
surviving any such consolidation, amalgamation or merger (if other than such Guaranteeing
Subsidiary) or to which such sale, assignment, transfer, lease, conveyance or other
disposition shall have been made is a Person organized or existing under the laws of the
jurisdiction of organization of such Guaranteeing Subsidiary, as applicable, or the laws of
the United States, any state thereof, the District of Columbia, or any territory thereof
(such surviving Guaranteeing Subsidiary or such Person, as the case may be, being herein
called the “Successor Person”);

(B) the Successor Person, if other than such Guaranteeing Subsidiary, expressly assumes
all the obligations of such Guaranteeing Subsidiary under the Indenture, the Collateral
Documents and such Guaranteeing Subsidiary’s related Guarantee pursuant to supplemental
indentures or other documents or instruments;

(C) immediately after such transaction, no Default exists; and

(D) the Issuer shall have delivered to the Trustee an Officer’s Certificate and an
Opinion of Counsel, each stating that such consolidation, merger, amalgamation or transfer
and such supplemental indentures, if any, comply with the Indenture; or

(ii) the transaction is made in compliance with Section 4.10 of the Indenture.

(b) Subject to certain limitations described in the Indenture, the Successor Person shall
succeed to, and be substituted for, such Guaranteeing Subsidiary under the Indenture and the
Guaranteeing Subsidiary’s Guarantee. Notwithstanding the foregoing, such Guaranteeing Subsidiary
may merge or consolidate with or into, wind up into or transfer all or part of its properties and
assets to another Guaranteeing Subsidiary or the Issuer.

(5) Releases. The Guarantee of the Guaranteeing Subsidiary shall be automatically and
unconditionally released and discharged, and no further action by the Guaranteeing Subsidiary, the
Issuer or the Trustee is required for the release of the Guaranteeing Subsidiary’s Guarantee, upon:

 

D-3

 

(a) (i) any sale, exchange, disposition or transfer (by merger, amalgamation,
consolidation or otherwise) of (i) the Capital Stock of such Guaranteeing Subsidiary, after
which the applicable Guaranteeing Subsidiary is no longer a Restricted Subsidiary or (ii)
all or substantially all the assets of such Guaranteeing Subsidiary, in each case if such
sale, exchange, disposition or transfer is made in compliance with the applicable provisions
of this Indenture;

(ii) in the case of a Restricted Subsidiary which after the Issue Date is required to
become a Guarantor, the release or discharge of the guarantee by such Guaranteeing
Subsidiary of the guarantee that resulted in the creation of such Guarantee, except a
discharge or release by or as a result of payment under such guarantee (it being understood
that a release subject to a contingent reinstatement is still a release, and that if any
such Guarantee is so reinstated, such Guarantee shall also be reinstated to the extent that
such Guaranteeing Subsidiary would then be required to provide a Guarantee pursuant to
Section 4.15 in the Indenture);

(iii) the designation of any Restricted Subsidiary that is a Guaranteeing Subsidiary as
an Unrestricted Subsidiary in compliance with the applicable provisions of the Indenture; or

(iv) the exercise by the Issuer of its Legal Defeasance option or Covenant Defeasance
option in accordance with Article 8 of the Indenture or the satisfaction and discharge of
the Issuer’s obligations under this Indenture in accordance with the terms of the Indenture;
and

(b) such Guaranteeing Subsidiary delivering to the Trustee an Officer’s Certificate and
an Opinion of Counsel, each stating that all conditions precedent provided for in this
Indenture relating to such transaction have been complied with.

(6) No Recourse Against Others. No past, present or future director, officer,
employee, incorporator, member, partner or stockholder of the Guaranteeing Subsidiary (other than
the Issuer and the Guarantors) shall have any liability for any obligations of the Issuer or the
Guarantors (including the Guaranteeing Subsidiary) under the Notes, any Guarantees, the Indenture
or this Supplemental Indenture or for any claim based on, in respect of, or by reason of, such
obligations or their creation. Each Holder by accepting Notes waives and releases all such
liability. The waiver and release are part of the consideration for issuance of the Notes.

(7) Governing Law. THIS SUPPLEMENTAL INDENTURE WILL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

(8) Counterparts. The parties may sign any number of copies of this Supplemental
Indenture. Each signed copy shall be an original, but all of them together represent the same
agreement.

(9) Effect of Headings. The Section headings herein are for convenience only and
shall not affect the construction hereof.

(10) The Trustee. The Trustee shall not be responsible in any manner whatsoever for
or in respect of the validity or sufficiency of this Supplemental Indenture or for or in respect of
the recitals contained herein, all of which recitals are made solely by the Guaranteeing
Subsidiary.

(11) Subrogation. The Guaranteeing Subsidiary shall be subrogated to all rights of
Holders against the Issuer in respect of any amounts paid by the Guaranteeing Subsidiary pursuant
to the provisions of Section 2 hereof and Section 10.01 of the Indenture; provided that, if an
Event of Default has occurred and is continuing, the Guaranteeing Subsidiary shall not be entitled
to enforce or receive any payments arising out of, or based upon, such right of
subrogation until all amounts then due and payable by the Issuer under the Indenture or the
Notes shall have been paid in full.

(12) Benefits Acknowledged. The Guaranteeing Subsidiary’s Guarantee is subject to the
terms and conditions set forth in the Indenture. The Guaranteeing Subsidiary acknowledges that it
shall receive direct and indirect benefits from the financing arrangements contemplated by the
Indenture and this Supplemental Indenture and that the guarantee and waivers made by it pursuant to
this Guarantee are knowingly made in contemplation of such benefits.

 

D-4

 

(13) Successors. All agreements of the Guaranteeing Subsidiary in this Supplemental
Indenture shall bind its Successors, except as otherwise provided in this Supplemental Indenture.
All agreements of the Trustee in this Supplemental Indenture shall bind its successors.

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

	 	 	 	 	 
	 	[GUARANTEEING SUBSIDIARY]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

D-5

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