Document:

stagreementfinal

                                                                                                                        Exhibit 10.1                                                                                                                                                                                                                                                  EXECUTION VERSION                           SHORT TERM CREDIT AGREEMENT                                                                             dated as of December 18, 2018                                          among                              NOVELIS ACQUISITIONS LLC,                                   as the Initial Borrower,                                                                from and after the consummation of the Aleris Acquisition,                                 ALERIS CORPORATION,                                         as Borrower                                                                                   NOVELIS INC.,                                         as Parent,                                                                                 AV METALS INC.,                                        as Holdings,                                            and                       THE OTHER GUARANTORS PARTY HERETO,                                   THE LENDERS PARTY HERETO, and                                     STANDARD CHARTERED BANK,                                  as Administrative Agent .                                                                                                                             ABN AMRO CAPITAL USA LLC,               AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED,                                   AXIS BANK LIMITED,                                  BANK OF AMERICA, N.A.,                                   BARCLAYS BANK PLC,                       CITIGROUP GLOBAL MARKETS ASIA LIMITED,                 CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK,                                      DBS BANK LTD.,                            DEUTSCHE BANK SECURITIES INC.,                             FIRST ABU DHABI BANK USA N.V.,                               HSBC SECURITIES (USA) INC.,                        ICICI BANK LIMITED, NEW YORK BRANCH,                           ING BANK N.V., SINGAPORE BRANCH,                               JPMORGAN CHASE BANK, N.A.,                                   MIZUHO BANK, LTD.,                                     MUFG BANK, LTD.,                        SOCIETE GENERALE, HONG KONG BRANCH,                              STANDARD CHARTERED BANK,                                STATE BANK OF INDIA, AND            SUMITOMO MITSUI BANKING CORPORATION SINGAPORE BRANCH,                      as Mandated Lead Arrangers and Bookrunners, and       1120544.02G-CHISR02A - MSW  

 

                                                                                                                    ABN AMRO CAPITAL USA LLC and                                     CITIBANK, N.A.,                                  as Documentation Agents.          1120544.02G-CHISR02A - MSW  

 

                                                                                                                                                      TABLE OF CONTENTS                                                                            Page   ARTICLE I DEFINITIONS ............................................................................................................2         Section 1.01  Defined Terms .............................................................................................2        Section 1.02  Classification of Loans and Borrowings ....................................................84        Section 1.03  Terms Generally; Currency Translation ....................................................84        Section 1.04  Accounting Terms; GAAP .........................................................................85        Section 1.05  Resolution of Drafting Ambiguities...........................................................86        Section 1.06  Pro Forma Calculations..............................................................................86        Section 1.07  Calculation of Reference Bank Rate and Cost of Funds ............................87        Section 1.08  Role of Reference Banks ...........................................................................87        Section 1.09  Confidentiality of Funding Rates and Funding Bank Quotations ..............88        Section 1.10  Amendments to Permitted Customer Account Financing                    Definition ...................................................................................................90        Section 1.11  Divisions ....................................................................................................90   ARTICLE II THE CREDITS .........................................................................................................91         Section 2.01  Commitments .............................................................................................91        Section 2.02  Loans ..........................................................................................................91        Section 2.03  Borrowing Procedure .................................................................................92        Section 2.04  Repayment of Loans; Evidence of Debt ....................................................93        Section 2.05  Fees ............................................................................................................94        Section 2.06  Interest on Loans ........................................................................................94        Section 2.07  Termination of Commitments ....................................................................95        Section 2.08  Interest Elections ........................................................................................95        Section 2.09  [INTENTIONALLY OMITTED] ..............................................................96        Section 2.10  Optional and Mandatory Prepayments of Loans .......................................96        Section 2.11  Alternate Rate of Interest ...........................................................................99        Section 2.12  Yield Protection; Change in Law Generally ............................................100        Section 2.13  Breakage Payments ..................................................................................102        Section 2.14  Payments Generally; Pro Rata Treatment; Sharing of Setoffs .................103        Section 2.15  Taxes ........................................................................................................105        Section 2.16  Mitigation Obligations; Replacement of Lenders ....................................113        Section 2.17  [INTENTIONALLY OMITTED] ............................................................115        Section 2.18  [INTENTIONALLY OMITTED] ............................................................115        Section 2.19  Interest Act (Canada); Criminal Rate of Interest; Nominal Rate of                    Interest......................................................................................................115   ARTICLE III REPRESENTATIONS AND WARRANTIES .....................................................116       1120544.02G-CHISR02A - MSW  

 

        Section 3.01  Organization; Powers ...............................................................................116        Section 3.02  Authorization; Enforceability ..................................................................116        Section 3.03  No Conflicts .............................................................................................116        Section 3.04  Financial Statements; Projections ............................................................117        Section 3.05  Properties .................................................................................................118        Section 3.06  Intellectual Property .................................................................................118        Section 3.07  Equity Interests and Subsidiaries .............................................................119        Section 3.08  Litigation; Compliance with Laws ...........................................................119        Section 3.09  Agreements ..............................................................................................120        Section 3.10  Federal Reserve Regulations ....................................................................120        Section 3.11  Investment Company Act ........................................................................120        Section 3.12  Use of Proceeds ........................................................................................120        Section 3.13  Taxes ........................................................................................................121        Section 3.14  No Material Misstatements ......................................................................121        Section 3.15  Labor Matters ...........................................................................................121        Section 3.16  Solvency ...................................................................................................122        Section 3.17  Employee Benefit Plans ...........................................................................122        Section 3.18  Environmental Matters.............................................................................123        Section 3.19  Insurance ..................................................................................................124        Section 3.20  [INTENTIONALLY OMITTED] ............................................................125        Section 3.21  Material Indebtedness Documents ...........................................................125        Section 3.22  Anti-Terrorism Law .................................................................................125        Section 3.23  Location of Material Inventory and Equipment .......................................127        Section 3.24  Senior Notes; Material Indebtedness .......................................................127        Section 3.25  Centre of Main Interests and Establishments...........................................127        Section 3.26  Holding and Dormant Companies ...........................................................128        Section 3.27  Excluded Guarantor Subsidiaries .............................................................128        Section 3.28  EEA Financial Institutions .......................................................................128        Section 3.29  Federal Power Act; Etc ............................................................................128        Section 3.30  Beneficial Ownership Certification .........................................................128        Section 3.31  No Fiscal Unity ........................................................................................128   ARTICLE IV CONDITIONS TO CREDIT EXTENSIONS .......................................................129         Section 4.01  Conditions to the Effective Date ..............................................................129        Section 4.02  Conditions to Initial Credit Extension on the Closing Date ....................133        Section 4.03  Conditions to Credit Extensions ..............................................................141   ARTICLE V AFFIRMATIVE COVENANTS ............................................................................142         Section 5.01  Financial Statements, Reports, etc. ..........................................................142        Section 5.02  Litigation and Other Notices ....................................................................146        Section 5.03  Existence; Businesses and Properties ......................................................146        Section 5.04  Insurance ..................................................................................................147        Section 5.05  Taxes ........................................................................................................148        Section 5.06  Employee Benefits ...................................................................................149       1120544.02G-CHISR02A - MSW  

 

        Section 5.07  Maintaining Records; Access to Properties and Inspections;                    Annual Meetings ......................................................................................150        Section 5.08  Use of Proceeds ........................................................................................150        Section 5.09  Compliance with Environmental Laws; Environmental Reports ............150        Section 5.10  [INTENTIONALLY OMITTED] ............................................................151        Section 5.11  Additional Guarantors ..............................................................................151        Section 5.12  Further Assurances...................................................................................152        Section 5.13  Information Regarding Loan Parties ........................................................152        Section 5.14  Affirmative Covenants with Respect to Leases .......................................153        Section 5.15  Post-Closing Covenants; Covenants in Respect of Hedging                    Agreements Following the Aleris Acquisition Closing Date ..................153        Section 5.16  Designation of Subsidiaries .....................................................................154   ARTICLE VI NEGATIVE COVENANTS .................................................................................155         Section 6.01  Indebtedness .............................................................................................155        Section 6.02  Liens .........................................................................................................162        Section 6.03  Sale and Leaseback Transactions .............................................................167        Section 6.04  Investments, Loan and Advances ............................................................168        Section 6.05  Mergers, Amalgamations and Consolidations .........................................173        Section 6.06  Asset Sales ...............................................................................................174        Section 6.07  Cash Pooling Arrangements ....................................................................179        Section 6.08  Dividends .................................................................................................179        Section 6.09  Transactions with Affiliates .....................................................................182        Section 6.10  Most Favored Nation. ..............................................................................183        Section 6.11  Prepayments of Other Indebtedness; Modifications of                    Organizational Documents and Other Documents, etc. ...........................184        Section 6.12  Limitation on Certain Restrictions on Restricted Subsidiaries ................185        Section 6.13  Issuance of Disqualified Capital Stock ....................................................186        Section 6.14  Senior Secured Net Leverage Ratio .........................................................186        Section 6.15  Business ...................................................................................................186        Section 6.16  Limitation on Accounting Changes .........................................................187        Section 6.17  Fiscal Year ...............................................................................................187        Section 6.18  Margin Rules ............................................................................................187        Section 6.19  No Further Negative Pledge.....................................................................187        Section 6.20  Anti-Terrorism Law; Anti-Money Laundering ........................................188        Section 6.21  Embargoed Persons ..................................................................................189   ARTICLE VII GUARANTEE .....................................................................................................189         Section 7.01  The Guarantee ..........................................................................................189        Section 7.02  Obligations Unconditional .......................................................................190        Section 7.03  Reinstatement ...........................................................................................191        Section 7.04  Subrogation; Subordination .....................................................................192        Section 7.05  Remedies ..................................................................................................192        Section 7.06  Instrument for the Payment of Money .....................................................192        Section 7.07  Continuing Guarantee ..............................................................................192      1120544.02G-CHISR02A - MSW  

 

        Section 7.08  General Limitation on Guarantee Obligations .........................................192        Section 7.09  Release of Guarantors ..............................................................................192        Section 7.10  Certain Tax Matters .................................................................................193        Section 7.11  German Guarantor ...................................................................................193        Section 7.12  Swiss Guarantors .....................................................................................196        Section 7.13  Irish Guarantor .........................................................................................197        Section 7.14  Brazilian Guarantor ..................................................................................197        Section 7.15  French Guarantor. ....................................................................................197        Section 7.16  Belgian Guarantor ....................................................................................198   ARTICLE VIII EVENTS OF DEFAULT ...................................................................................198         Section 8.01  Events of Default .....................................................................................198        Section 8.02  Rescission ................................................................................................202        Section 8.03  Application of Payments ..........................................................................202        Section 8.04  Designated Company’s Right to Cure .....................................................203   ARTICLE IX [INTENTIONALLY OMITTED] .........................................................................204   ARTICLE X THE ADMINISTRATIVE AGENT ......................................................................204         Section 10.01  Appointment and Authority .....................................................................204        Section 10.02  Rights as a Lender ....................................................................................204        Section 10.03  Exculpatory Provisions ............................................................................205        Section 10.04  Reliance by the Administrative Agent .....................................................207        Section 10.05  Delegation of Duties ................................................................................207        Section 10.06  Resignation of Administrative Agent ......................................................207        Section 10.07  Non-Reliance on Administrative Agent and Other Lenders ....................209        Section 10.08  No Other Duties, etc ................................................................................209        Section 10.09  Administrative Agent May File Proofs of Claim .....................................209        Section 10.10  Concerning the Loan Documents .............................................................210        Section 10.11  Release .....................................................................................................210        Section 10.12  Acknowledgment of English-law Guarantee ...........................................210   ARTICLE XI MISCELLANEOUS .............................................................................................210         Section 11.01  Notices .....................................................................................................210        Section 11.02  Waivers; Cumulative Remedies; Amendment .........................................215        Section 11.03  Expenses; Indemnity; Damage Waiver ....................................................218        Section 11.04  Successors and Assigns ............................................................................220        Section 11.05  Survival of Agreement .............................................................................226        Section 11.06  Counterparts; Integration; Effectiveness ..................................................226        Section 11.07  Severability ..............................................................................................226        Section 11.08  Right of Setoff..........................................................................................226        SECTION 11.09     GOVERNING LAW; JURISDICTION; CONSENT TO                    SERVICE OF PROCESS ........................................................................227       1120544.02G-CHISR02A - MSW  

 

        SECTION 11.10     WAIVER OF JURY TRIAL ........................................................228        Section 11.11  Headings ..................................................................................................228        Section 11.12  Treatment of Certain Information; Confidentiality ..................................229        Section 11.13  USA PATRIOT Act Notice .....................................................................229        Section 11.14  Interest Rate Limitation ...........................................................................230        Section 11.15  Singapore Personal Data Protection Act ..................................................230        Section 11.16  Obligations Absolute ...............................................................................230        Section 11.17  [INTENTIONALLY OMITTED] ............................................................231        Section 11.18  Judgment Currency ..................................................................................231        Section 11.19  Enforcement .............................................................................................232        Section 11.20  No Advisory or Fiduciary Responsibility ................................................232        Section 11.21  Abstract Acknowledgment of Indebtedness and Joint                    Creditorship..............................................................................................233        Section 11.22  Special German Matters ...........................................................................234        Section 11.23  [INTENTIONALLY OMITTED] ............................................................234        Section 11.24  [INTENTIONALLY OMITTED] ............................................................234        Section 11.25  [INTENTIONALLY OMITTED] ............................................................234        Section 11.26  [INTENTIONALLY OMITTED] ............................................................234        Section 11.27  Maximum Liability ..................................................................................234        Section 11.28  NO ORAL AGREEMENT ......................................................................234        Section 11.29  [INTENTIONALLY OMITTED] ............................................................234        Section 11.30  Electronic Execution of Assignments and Certain other                    Documents ...............................................................................................234        Section 11.31  Payments Set Aside..................................................................................235        Section 11.32  Acknowledgement and Consent to Bail-In of EEA Financial                    Institutions................................................................................................235        Section 11.33  Lender Consents and Acknowledgements ...............................................236        Section 11.34  Termination ..............................................................................................237        Section 11.35  Lender Exculpation ..................................................................................237          1120544.02G-CHISR02A - MSW  

 

                                  SCHEDULES   Schedule 1.01(a)  Term Loan Commitments  Schedule 1.01(b)  Subsidiary Guarantors  Schedule 1.01(c)  Excluded Guarantor Subsidiaries  Schedule 1.01(e)  Administrative Agent’s Office  Schedule 3.06(c)  Violations or Proceedings  Schedule 3.17     Pension Matters  Schedule 3.19    Insurance  Schedule 3.21     Material Documents  Schedule 3.24     Location of Material Inventory  Schedule 5.11(b)  Certain Subsidiaries  Schedule 5.15    Post-Closing Covenants  Schedule 6.01(b)  Existing Indebtedness  Schedule 6.02(c)  Existing Liens  Schedule 6.04(b)  Existing Investments                                     EXHIBITS   Exhibit A         Form of Administrative Questionnaire  Exhibit B        Form of Assignment and Assumption  Exhibit C        Form of Borrowing Request  Exhibit D         Form of Compliance Certificate  Exhibit E        Form of Interest Election Request  Exhibit F        Form of Joinder Agreement  Exhibit G        Form of Letter of Comfort  Exhibit H-1       Form of U.S. Tax Compliance Certificate  Exhibit H-2       Form of U.S. Tax Compliance Certificate  Exhibit H-3       Form of U.S. Tax Compliance Certificate  Exhibit H-4       Form of U.S. Tax Compliance Certificate  Exhibit I         Form of Term Loan Note  Exhibit J        Form of Solvency Certificate  Exhibit K         Form of Intercompany Note       1120544.02G-CHISR02A - MSW  

 

                                                                                                                                                  SHORT TERM CREDIT AGREEMENT    This  SHORT  TERM  CREDIT  AGREEMENT  (as  amended,  restated,  amended  and  restated,   supplemented or modified, the “Agreement”), dated as of December 18, 2018, among, prior to  the  consummation  of  the  Aleris  Acquisition,  NOVELIS  ACQUISITIONS  LLC,  a  Delaware  limited liability company (“Novelis Acquisitions” or the “Initial Borrower”), from and after the  consummation  of  the  Aleris  Acquisition,  ALERIS  CORPORATION,  a  Delaware  corporation   (“Aleris”),  as  successor  by  merger  to  the  Initial  Borrower,  NOVELIS  INC.,  a  corporation   amalgamated  under  the  Canada  Business  Corporations  Act  and  having  its  corporate  office  at   Two Alliance Center, 3560 Lenox Road, Suite 2000, Atlanta, GA 30326, USA, as a Guarantor   (in such capacity, and together with its successors in such capacity, the “Parent”), AV METALS   INC.,  a  corporation  formed  under  the  Canada  Business  Corporations  Act  and  having  its   corporate  office  at  Two  Alliance  Center,  3560  Lenox  Road,  Suite  2000,  Atlanta,  GA  30326,   USA, the Subsidiary Guarantors (such term and each other capitalized term used but not defined   herein having the meaning given to it in Article I), the Lenders, and STANDARD CHARTERED   BANK,  being  a  company  incorporated  in  England  by  Royal  Charter,  with  reference  number   ZC18 and whose registered office is 1 Basinghall Avenue, London EC2V 5DD, as administrative   agent  (in  such  capacity,  and  together  with  its  successors  in  such  capacity,  “Administrative   Agent”) for the Lenders.                                    WITNESSETH:          WHEREAS, the Initial Borrower has requested that the Lenders extend credit in the form   of  Term  Loans  on  the  Closing  Date  in  an  aggregate  principal  amount  not  in  excess  of   $1,500,000,000.          WHEREAS,  the  proceeds  of  the  Term  Loans  are  to  be  used  on  the  Closing  Date  in   accordance with Section 3.12.          WHEREAS, after giving effect to the Aleris Acquisition, the Initial Borrower shall merge  with and into Aleris on the Closing Date, with Aleris as the surviving entity and assuming all  obligations of the Initial Borrower under the Loan Documents.         NOW, THEREFORE, the Lenders are willing to extend such Term Loans to the Initial  Borrower on the terms  and subject to the conditions set forth herein. Accordingly, the parties  hereto agree as follows:                                           1   1120544.02G-CHISR02A - MSW  

 

                                     ARTICLE I                                                                             DEFINITIONS   Section 1.01 Defined  Terms.  As  used  in  this  Agreement  (including  the  preamble),  the   following terms shall have the meanings specified below:          “Account Debtor” shall mean “Account Debtor,” as such term is defined in the UCC.          “Accounts” shall mean all “accounts,” as such term is defined in the UCC, in which any   Loan Party or any of its Restricted Subsidiaries now or hereafter has rights.          “Acquisition” shall mean any transaction or series of related transactions for the direct or   indirect (a) acquisition of all or substantially all of the property and assets or business of any   Person, or of any business unit, line of business or division of any Person or assets constituting a   business  unit,  line  of  business  or  division  of  any  other  Person (other than a Person that is a   Restricted Subsidiary on the Effective Date), (b) acquisition of in excess of 50% of the Equity   Interests of any Person or otherwise causing a person to become a Restricted Subsidiary of the   acquiring  Person  (other  than  in  connection  with  the  formation  or  creation  of  a  Restricted   Subsidiary  of  the  Designated  Company  by  any  Company),  or  (c)  merger,  consolidation  or   amalgamation,  whereby  a  person  becomes  a  Restricted  Subsidiary of  the  acquiring  person,  or   any other consolidation with any Person, whereby a Person becomes a Restricted Subsidiary of   the acquiring Person.          “Acquisition Consideration” shall mean the purchase consideration for any Acquisition,   whether paid in cash, properties, any assumption of Indebtedness or otherwise (other than by the   issuance of Qualified Capital Stock of Holdings permitted to be issued hereunder) and whether   payable  at  or  prior  to  the  consummation  of  such  Acquisition  or deferred  for  payment  at  any   future  time,  whether  or  not  any  such  future  payment  is  subject to  the  occurrence  of  any   contingency, and includes any and all payments representing “earn-outs” and other agreements   to  make  any  payment  the  amount  of  which  is,  or  the  terms  of  payment  of  which  are,  in  any   respect subject to or contingent upon the revenues, income, cash flow or profits (or the like) of   any person or business; provided that any such future payment that is subject to a contingency   shall be considered Acquisition Consideration only to the extent of the reserve, if any, required   under US GAAP at the time of such sale to be established in respect thereof by Holdings, the   Designated Company or any of its Restricted Subsidiaries.          “Additional  Senior  Secured  Indebtedness”  shall  mean  any  Indebtedness  incurred  in   reliance of Section 6.01(u).                                           2   1120544.02G-CHISR02A - MSW  

 

          “Additional  Senior  Secured  Indebtedness  Documents”  shall  mean  all  documents   executed and delivered with respect to the Additional Senior Secured Indebtedness or delivered   in connection therewith.          “Administrative Agent” shall have the meaning assigned to such term in the preamble   hereto and includes each other person appointed as the successor pursuant to ARTICLE X.          “Administrative Agent’s Office” shall mean the Administrative Agent’s address and, as   appropriate,  account  as set  forth  on  Schedule 1.01(e),  or  such  other  address  or  account  as the   Administrative Agent may from time to time notify to the Designated Company and the Lenders.         “Administrative  Questionnaire”  shall  mean  an  Administrative  Questionnaire  in  substantially the form of Exhibit A, or any other form approved by the Administrative Agent.          “Affiliate” shall mean, when used with respect to a specified person, another person that   directly,  or  indirectly  through  one  or  more  intermediaries,  Controls  or  is  Controlled  by  or  is   under  common  Control  with  the  person  specified;  provided,  however,  that,  for  purposes  of   Section 6.09, the term “Affiliate” shall also include (i) any person that directly or indirectly owns   more than 10% of the voting power of the total outstanding Voting Stock of the person specified   or (ii) any person that is an executive officer or director of the person specified.         “Agent Fee Letter” shall mean the fee letter among the Parent, the Initial Borrower and  the Administrative Agent, dated the Effective Date.         “Agreed  Guarantee  Principles”  shall  mean  the  following  principles  that  embody  a  recognition  by  all  parties  to  this  Agreement  that  there  may  be certain  legal  and  practical  limitations  on  the  scope  and  enforceability  of  guarantees  from the  Guarantors  in  certain  jurisdictions outside of the United States and Canada that become parties to this agreement after  the Effective Date. In particular:         (a)    general statutory limitations, capital maintenance, financial assistance, corporate  benefit,  fraudulent  preference,  “thin  capitalization”  rules,  regulatory  restrictions  and  similar   principles may require that the guarantee be limited by an amount or otherwise. If any such limit   applies,  the  guarantees  provided  may  be  limited  to  the  maximum amount  which  the  relevant   Guarantor may provide having regard to applicable law under the jurisdiction of organization of   such Guarantor; and          (b)   to the extent required to comply with applicable law, guarantees may be limited to   mitigate  a  risk  to  the  directors  or  officers  of  the  relevant  grantor  of  such  guarantee  of   contravention of any statutory duty in such capacity or their fiduciary duties and/or which could                                           3   1120544.02G-CHISR02A - MSW  

 

  reasonably be expected to result in personal, civil or criminal liability on the part of any such  director or officer.         “Agreement” shall have the meaning assigned to such term in the preamble hereto.         “Agreement  Termination  Date”  shall  mean  the  first  to  occur  of  (a)  5:00  p.m.,  New  York City time, on February 28, 2020, (b) April 26, 2019, as such date may be extended pursuant  to  Section  9.2(a)  of  the  Aleris  Merger  Agreement  (without  giving  effect  to  any  amendments  thereto),  (c)  delivery  to  the  Administrative  Agent  of  written  notice  of  termination  by  the  Borrower of all of the Commitments, (d) the date that the Aleris Merger Agreement is terminated  in  accordance  with its  terms  prior  to  the  consummation  of  the  Aleris  Acquisition,  and  (e)  the  consummation of the Aleris Acquisition without the use of any Loans.         “Aleris” shall have the meaning assigned to such term in the preamble hereto.         “Aleris  Acquisition”  shall  mean  the  acquisition  by Novelis  Acquisitions  of  Aleris  pursuant to the terms of the Aleris Merger Agreement, the repayment of certain Indebtedness of  Aleris and its subsidiaries in connection with the Aleris Acquisition, and the payment of all fees,  costs and expenses in connection with the foregoing.         “Aleris  Acquisition  Closing  Date”  shall  mean  the  date  that  the  Aleris  Acquisition  is  consummated in accordance with the terms of the Aleris Merger Agreement.         “Aleris  Hedging  Collateral  Requirements”  shall  have  the  meaning  assigned  to  such  term in Section 5.15(e).         “Aleris Merger Agreement” means that certain Agreement and Plan of Merger, dated as  of July 26, 2018, among the Parent, Novelis Acquisitions, Aleris, and OCM Opportunities ALS  Holdings, L.P., a Delaware limited partnership, as amended, modified or supplemented, together  with  any  consent  or  waiver  with respect  thereto,  but  only  to  the  extent  that  such  amendment,  modification,  amendment,  consent  or  waiver  is  not  materially  adverse  to  the  Lenders  or  the  Administrative Agent in their capacities as such, it being understood that (i) any modification,  amendment,  consent  or  waiver  to  the  definition  of  “Material  Adverse  Effect”  in  the  Aleris  Merger  Agreement,  or  which  has  the  effect  of  modifying,  amending  or  waiving  the  representation  or  condition  as  to the  absence  of  a  Material  Adverse  Effect  (as  defined  in  the  Aleris Merger Agreement as of the Second Amendment Effective Date) shall be deemed to be  materially adverse to the Lenders and the Administrative Agent, (ii) any decrease in the purchase  price payable under the Aleris Merger Agreement shall not be deemed to be materially adverse  to the Lenders or the Administrative Agent, so long as such decrease does not exceed 10% of the  consideration contemplated to be paid under the Aleris Merger Agreement as of July 26, 2018,  and  (iii)  any  increase  in  the  purchase  price  contemplated  to  be  paid  under  the  Aleris  Merger                                         4  1120544.02G-CHISR02A - MSW  

 

  Agreement shall not be deemed to be materially adverse to the Lenders or the Administrative  Agent,  so  long  as  such  increase  is  funded  by  additional  common equity  contributions  to  Specified  Holders  that  directly  or  indirectly  own  Equity  Interests  in  the  Designated  Company  and  its  Restricted  Subsidiaries  immediately  prior  to  such  contribution  or  by  cash  on  hand  or  borrowings  under  the  Revolving  Credit  Agreement;  provided,  that  adjustments  to  working  capital  and  earn-out  payments  in  accordance  with  the  terms  of  the  Aleris  Merger  Agreement  shall not constitute an increase or decrease in purchase price for purposes of this definition.         “Alternative Currency” shall mean each of (x) the lawful currency of Canada, (y) Euros,  and (z) the lawful currency of the United Kingdom.          “Annual  Credit”  shall  mean  the  cumulative  amount  of  (x)  $1,600,000,000  plus  (y) $250,000,000  for  each  fiscal  year  of  the  Designated  Company  commencing  after  the  Effective Date (beginning with the fiscal year commencing April 1, 2019) minus (z) in each case  from and after the Effective Date until the applicable time of determination, (and taking into all  transactions being consummated concurrently with the transaction then being measured), (i) the  cumulative amount of all Investments made pursuant to Section 6.04(r)(iii), (ii) the cumulative  amount of all Dividends made pursuant to Section 6.08(d)(ii) and (iii) the cumulative amount of  all payments and redemptions of Indebtedness made pursuant to Section 6.11(a)(i)(z)(2). As of  the Effective Date, Annual Credit is equal to the “Annual Credit” as defined in the Secured Term  Loan Agreement.         “Anti-Corruption Laws” shall have the meaning assigned to such term in Section 3.22.         “Anti-Terrorism Laws” shall have the meaning assigned to such term in Section 3.22.         “Applicable Margin” shall mean, for any day, 0.95% per annum.          “Approved Fund” shall mean any Fund that is administered or managed by (a) a Lender,  (b)  an  Affiliate  of  a  Lender  or  (c)  an  entity  or  an  Affiliate  of  an  entity  that  administers  or  manages a Lender.         “Approved  Member  State”  shall  mean  Belgium,  France,  Germany,  Ireland,  Italy,  Luxembourg, The Netherlands, Spain, Sweden and the United Kingdom.         “Arranger  Fee  Letter” shall mean the fee letter between the Initial Borrower and the  Lenders and Mandated Lead Arrangers party thereto, dated November 1, 2018.         “Asset Sale” shall mean (a) any conveyance, sale, lease, sublease, assignment, transfer or  other  disposition  (including  by  way  of  merger  or  consolidation and  including  any  Sale  and                                         5  1120544.02G-CHISR02A - MSW  

 

  Leaseback Transaction) of any property, excluding sales of Inventory, dispositions of cash and  Cash Equivalents and settlements under Hedging Agreements, in each such excluded case, which  are  in  the  ordinary  course  of  business,  by  Holdings  or  any  of  its  Restricted  Subsidiaries,  or  (b) any issuance of any Equity Interests of any Restricted Subsidiary of Holdings.         “Asset Swap” shall mean the substantially concurrent purchase and sale or exchange of  Related  Business  Assets  or  a  combination  of  Related  Business  Assets  and  cash  or  Cash  Equivalents  between  any  Company and  another  person;  provided  that  any  cash  or  Cash  Equivalents received must be applied in accordance with Section 2.10(c).          “Assignee Group” shall mean two or more Eligible Assignees that are Affiliates of one  another or two or more Approved Funds managed by the same investment advisor.         “Assignment and Assumption” shall mean an assignment and assumption entered into  by a Lender and an Eligible Assignee (with the consent of any party whose consent is required  by  Section  11.04(b)),  and  delivered  to  the  Administrative  Agent,  in  substantially  the  form  of  Exhibit B,  or  any  other  form  (including  electronic  documentation  generated  by  use  of  an  electronic platform) approved by the Administrative Agent.         “Attributable  Indebtedness”  shall  mean,  when  used  with  respect  to  any  Sale  and  Leaseback Transaction, as at the time of determination, the present value (discounted at the rate  implicit  in  the  lease)  of  the  total  obligations  of  the  lessee  for  rental  payments  during  the  remaining term of the lease included in any such Sale and Leaseback Transaction.         “Auditor’s  Determination”  shall  have  the  meaning  assigned  to  such  term  in  Section 7.11(b).         “AV  Metals”  shall  mean  AV  Metals  Inc.,  a  corporation  formed  under  the  Canada  Business Corporations Act.         “AV Minerals” shall mean AV Minerals (Netherlands) N.V., a company organized under  the laws of the Netherlands.         “Available Amount” shall have the meaning assigned to such term in Section 7.12(a).         “Bail-In Action” shall mean the exercise of any Write-Down and Conversion Powers by  the  applicable  EEA  Resolution  Authority  in  respect  of  any  liability  of  an  EEA  Financial  Institution.                                          6  1120544.02G-CHISR02A - MSW  

 

        “Bail-In  Legislation”  shall  mean,  with  respect  to  any  EEA  Member  Country  implementing Article 55 of Directive 2014/59/EU of the European Parliament and of the Council  of the European Union, the implementing law for such EEA Member Country from time to time  which is described in the EU Bail-In Legislation Schedule.         “Belgian Guarantor” shall mean each Restricted Subsidiary of the Designated Company  organized under the laws of Belgium that becomes a Guarantor pursuant to the terms hereof.         “Beneficially Own,” “Beneficial Owner” and “Beneficial Ownership” shall each have  the meaning assigned to such term in Rules 13d-3 and 13d-5 under the Exchange Act.         “Beneficial  Ownership  Certification”  shall  mean  a  certification  regarding  beneficial  ownership required by the Beneficial Ownership Regulation.         “Beneficial Ownership Regulation” shall mean 31 C.F.R. § 1010.230.         “Board” shall mean the Board of Governors of the Federal Reserve System of the United  States.         “Board  of  Directors”  shall  mean,  with  respect  to  any  person,  (i) in  the  case  of  any  corporation,  the  board  of  directors  of  such  person,  (ii) in  the  case  of  any  limited  liability  company, the board of managers (or the functional equivalent) of such person, (iii) in the case of  any limited partnership, the Board of Directors of the general partner of such person and (iv) in  any other case, the functional equivalent of the foregoing.         “Borrower” shall mean, prior to the consummation of the Aleris Acquisition, the Initial  Borrower, and from and after the consummation of the Aleris Acquisition, Aleris.         “Borrowing” shall mean Loans to the Borrower of the same Type, made, converted or  continued on the same date and, in the case of Eurodollar Rate Loans or Fallback Rate Loans, as  applicable, as to which a single Interest Period is in effect.         “Borrowing Base” shall mean, as of any date, an amount equal to: (1) 85% of the book  value of all accounts receivable owned by the Loan Parties as of the end of the most recent fiscal  month for which consolidated financial statements are available; plus (2) the lesser of (x) 75% of  the book value of inventory owned by the Loan Parties as of the end of the most recent fiscal  month for which consolidated financial statements are available and (y) 85% of the “net recovery  cost percentage” multiplied by the book value of inventory owned by the Loan Parties as of the  end of the most recent fiscal month for which consolidated financial statements are available.  Notwithstanding the foregoing, the Borrowing Base shall be adjusted to give pro forma effect to  any Acquisitions or Asset Sales by the Designated Company and/or any Restricted Subsidiary                                         7  1120544.02G-CHISR02A - MSW  

 

    since the  end  of  the  most  recent  fiscal  month  for  which  consolidated financial  statements  are   available, as if such Acquisition or Asset Sale had occurred on the last day of the end of the most   recent fiscal  month,  with  such  adjustment  to  be  effective  upon  consummation  of  any  such  Acquisition or Asset Sale.         “Borrowing  Request”  shall  mean  a  request  by  the  Borrower  in  accordance  with  the  terms of Section 2.03 and substantially in the form of Exhibit C, or such other form as shall be   approved by the Administrative Agent.          “Brazilian  Guarantor”  shall  mean  each  Restricted  Subsidiary  of  the  Designated   Company organized in Brazil party hereto as a Guarantor, and each other Restricted Subsidiary   of the Designated Company organized in Brazil that becomes a Guarantor pursuant to the terms   hereof.          “Business Day” shall mean any day other than a Saturday, Sunday or other day on which   commercial banks are authorized to close under the laws of, or are in fact closed in, New York   City or London, and, if such day relates to any Eurodollar Rate Loan, means any such day that is   also a London Banking Day and, solely for purposes of determining whether a day is a day on   which a Loan can be advanced, Singapore.           “Calculation  Date”  shall  have  the  meaning  assigned  to  such  term  in  the  definition  of   “Senior Secured Net Leverage Ratio”.          “Canadian Guarantor” shall mean Holdings, Parent and each Restricted Subsidiary of   Holdings organized in Canada party hereto as a Guarantor, and each Restricted Subsidiary of the   Designated  Company  organized  in  Canada  that  becomes  a  Guarantor  pursuant  to  the  terms   hereof.          “Canadian Loan Parties” shall mean the Canadian Guarantors.          “Capital Assets” shall mean, with respect to any person, all equipment, fixed assets and   Real  Property  or  improvements  of  such  person,  or  replacements  or  substitutions  therefor  or   additions  thereto,  that,  in  accordance  with  US  GAAP,  have  been or  should  be  reflected  as   additions to property, plant or equipment on the balance sheet of such person.          “Capital Expenditures” shall mean, for any period, without duplication, all expenditures   made directly or indirectly by the Designated Company and its Restricted  Subsidiaries  during   such  period  for  Capital  Assets  (whether  paid  in  cash  or  other  consideration,  financed  by  the   incurrence  of  Indebtedness  or  accrued  as  a  liability),  together  with  the  applicable  Company’s   proportionate share of such amounts for Norf GmbH for such period.                                           8   1120544.02G-CHISR02A - MSW  

 

          “Capital Lease Obligations” of any person shall mean the obligations of such person to   pay rent or other amounts under any lease of (or other arrangement conveying the right to use)   real  or  personal  property,  or  a  combination  thereof,  which  obligations  are  required  to  be   classified and accounted for as capital leases on a balance sheet of such person under US GAAP,   and  the  amount  of  such  obligations  shall  be  the  capitalized  amount  thereof  determined  in   accordance  with  US  GAAP.  It  is  understood  that  with  respect  to the  accounting  for  leases  as   either operating leases or capital leases and the impact of such accounting on the definitions and   covenants herein, US GAAP as in effect on the Effective Date shall be applied.          “Cash  Equivalents”  shall  mean,  as  to  any  person,  (a)  securities  issued  or  fully   guaranteed or insured by the federal government of the United States, Canada, Switzerland, any   Approved Member State or any agency of the foregoing, (b) marketable direct obligations issued   by Canada or any province thereof, any state of the United States or the District of Columbia or   any political subdivision, government-sponsored entity or instrumentality thereof that, at the time   of the acquisition, are rated at least “A-2” by S&P, “P-2” by Moody’s or in the “R-2” category   by  the  Dominion  Bond  Rating  Service  Limited,  (c)  certificates  of  deposit,  Eurocurrency  time   deposits,  overnight  bank  deposits  and  bankers’  acceptances  of  any  commercial  bank  or  trust   company organized under the laws of Canada or any province thereof, the United States, any   state  thereof,  the  District  of  Columbia,  any  non-U.S.  bank,  or its  branches  or  agencies  (fully   protected against currency fluctuations) that, at the time of acquisition, is rated at least “A-2” by   S&P, “P-2” by Moody’s or in the “R-2” category by the Dominion Bond Rating Service Limited,   (d) commercial paper of an issuer rated at least “A-2” by S&P, “P-2” by Moody’s or in the “R-2”   category by the Dominion Bond Rating Service Limited, and (e) shares of any money market   fund  that  (i)  has  at  least  95%  of  its  assets  invested  continuously  in  the  types  of  investments   referred to in clauses (a), (b) and (c) above, (ii) has net assets, the Dollar Equivalent of which   exceeds $500,000,000 and (iii) is rated at least “A-2” by S&P, “P-2” by Moody’s or in the “R-2”   category by the Dominion Bond Rating Service Limited; provided, however, that the maturities   of all obligations of the type specified in clauses (a), (b) and (c) above shall not exceed 365 days;  provided, further, that, to the extent any cash is generated through operations in a jurisdiction   outside of the United States, Canada, Switzerland or an Approved Member State, such cash may   be retained and invested in obligations of the type described in clause (a), (c) or (d) applicable to   such  jurisdiction  to  the  extent that  such  obligations  are  customarily  used  in  such  other   jurisdiction for short term cash management purposes.          “Cash Interest Expense” shall mean, for any period, Consolidated Interest Expense for   such period, less the sum of (a) interest on any debt paid by the increase in the principal amount   of  such  debt  including  by  issuance  of  additional  debt  of  such  kind,  (b)  items  described  in   clause (c) of the definition of “Consolidated Interest Expense” and (c) gross interest income of   the Designated Company and its Restricted Subsidiaries for such period.          “Cash  Pooling  Arrangements” shall mean (i) the DB Cash Pooling Arrangement and   the  Novelis  AG  Cash  Pooling  Agreement  and  (ii)  any  other  cash  pooling  arrangements   (including  all  documentation  pertaining  thereto)  entered  into  by  any  Company  in  accordance   with Section 6.07.                                           9   1120544.02G-CHISR02A - MSW  

 

        “Casualty  Event”  shall  mean  any  involuntary  loss  of  title,  any  involuntary  loss  of,  damage to or any destruction of, or any expropriation, condemnation or other taking (including  by any Governmental Authority) of, any property of Holdings, the Designated Company or any  of its Restricted Subsidiaries. “Casualty Event” shall include but not be limited to any taking of  all or any part of any Real Property of any person or any part thereof, in or by expropriation,  condemnation or other eminent domain proceedings pursuant to any Requirement of Law, or by  reason  of  the  temporary  requisition  of  the  use  or  occupancy  of all  or  any  part  of  any  Real  Property of any person or any part thereof by any Governmental Authority, civil or military, or  any settlement in lieu thereof.         “CERCLA”  shall  mean  the  Comprehensive  Environmental  Response,  Compensation,  and  Liability  Act  of  1980,  as  amended,  42  U.S.C.  § 9601 et seq. and  all  implementing  regulations.         A “Change in Control” shall be deemed to have occurred if:                 (a) (i) prior to the Designated Holdco Effective Date, Hindalco ceases to be          the  Beneficial  Owner  of  Voting  Stock  representing  more  than  50%  of  the  voting          power  of  the  total  outstanding  Voting  Stock  of  Holdings,  (ii)  on  and  after  the          Designated  Holdco  Effective  Date,  Hindalco  ceases  to  be  the  Beneficial  Owner  of          Voting Stock representing more than 50% of the voting power of the total outstanding          Voting  Stock  of  each  of  Holdings  and  Designated  Holdco,  or  (iii) on  and  after  the          Designated  Holdco  Effective  Date,  Holdings  ceases  to  be  the  Beneficial  Owner  of          Voting Stock representing 100% of the voting power of the total outstanding Voting          Stock of Designated Holdco;                 (b) Holdings  (or,  on  and  after  the  Designated  Holdco  Effective  Date,          Designated  Holdco)  at  any  time  ceases  to  be  the  Beneficial  Owner  and  the  direct          record  owner  of  100%  of  the  Equity  Interests  of  Parent,  except as  a  result  of  a          Qualified Parent IPO; provided that Hindalco continues to be the Beneficial Owner of          Voting Stock representing more than 50% of the voting power of the total outstanding          Voting Stock of Parent at all times after giving effect to such Qualified Parent IPO;          and provided, further, that a Permitted Holdings Amalgamation shall not constitute a          Change in Control;                  (c) the Designated Company at any time ceases to be the Beneficial Owner          and the direct or indirect owner of 100% of the Equity Interests of each of Novelis          Corporation, Novelis Deutschland GmbH, the Parent and the Borrower (other than the          Parent prior to the Designated Holdco Effective Date, and the Designated Company on          and after the Designated Holdco Effective Date);                 (d) at any time a change in control (or change of control or similar event) with          respect to the Borrower, the Parent or the U.S. Issuer occurs under (and as defined in)          any Material Indebtedness of any Loan Party; or                                          10  1120544.02G-CHISR02A - MSW  

 

                  (e) during  any  period  of  two  consecutive  years,  individuals  who  at the           beginning of such period constituted the Board of Directors of Holdings, the Parent,           the  Borrower  or,  on  and  after  the  Designated  Holdco  Effective  Date,  Designated           Holdco (together with any new directors whose election to such Board of Directors or           whose nomination for election was approved by the Specified Holders or by a vote of           at least a majority of the members of the Board of Directors of such Person, as the           case  may  be,  which  members  comprising  such  majority  are  then  still  in  office  and           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 such Person.         For  purposes  of  this  definition,  a  person  shall  not  be  deemed  to  have  Beneficial  Ownership  of  Equity  Interests  subject  to  a  stock  purchase  agreement,  merger  agreement  or  similar agreement until the consummation of the transactions contemplated by such agreement.         “Change in Law” shall mean the occurrence, after the date of this Agreement, of any of  the  following:  (a) the  adoption  or  taking  into  effect  of  any  law,  treaty,  order,  policy,  rule  or  regulation,  (b) any  change  in  any  law,  treaty,  order,  policy,  rule  or  regulation  or  in  the  administration,  interpretation  or  application  thereof  by  any  Governmental  Authority  or  (c) the  making or issuance of any request, guideline or directive (whether or not having the force of law)  by any Governmental Authority; provided, however, that notwithstanding anything herein to the   contrary, (x) the Dodd-Frank Wall Street Reform and Consumer Protection Act and all requests,   rules, regulations, guidelines or directives thereunder or issued in connection therewith, (y) all   requests, rules, guidelines or directives promulgated by the Bank for International Settlements,   the  Basel  Committee  on  Banking  Supervision  (or  any  successor  or  similar  authority)  or  the   United  States  or  foreign  regulatory authorities, in  each  case  pursuant  to  Basel  III, and  (z)  the   implementation or compliance with, CRD IV or CRR, or any law or regulation that implements   or applies CRD IV or CRR, shall in each case be deemed to be a “Change in Law”, regardless of   the date enacted, adopted or issued.           “Chattel Paper” shall mean all “chattel paper,” as such term is defined in the UCC, in   which any Person now or hereafter has rights.          “Chief  Executive  Office”  shall  mean,  with  respect  to any  Person,  the  location  from   which such Person manages the main part of its business operations or other affairs.          “Chinese  Subsidiary  Equity  Interests” shall mean all Equity Interests of each Person   organized under the laws of the People’s Republic of China that is a Subsidiary of a Loan Party,   in each case that is owned by a Loan Party.                                           11   1120544.02G-CHISR02A - MSW  

 

          “Closing Date” shall mean the date, on or prior to the Agreement Termination Date, on   which the conditions precedent set forth in Section 4.02 and Section 4.03 are satisfied (or waived   in accordance with Section 11.02) and the Term Loans are advanced.          “Code” shall mean the Internal Revenue Code of 1986, as amended, and the Treasury   Regulations promulgated thereunder.          “Commitment”  shall  mean,  with  respect  to  any  Lender,  such  Lender’s  Term  Loan   Commitment.          “Companies”  shall  mean  Holdings,  Parent,  Borrower,  the  Designated  Company  and   Holdings’ Restricted Subsidiaries; and “Company” shall mean any one of them.          “Compensation Plan” shall mean any program, plan or similar arrangement (other than   employment  contracts  for  a  single  individual)  relating  generally  to  compensation,  pension,   employment or similar arrangements with respect to which any Company, any Affiliate of any   Company or any ERISA Affiliate of any of them has any obligation or liability, contingent or   otherwise, under any Requirement of Law other than that of the United States.          “Compliance Certificate” shall mean a certificate of a Financial Officer substantially in   the form of Exhibit D.          “Consolidated  Amortization  Expense”  shall  mean,  for  any  period,  the  amortization  expense of the Designated Company and its Restricted Subsidiaries for such period, determined  on a consolidated basis in accordance with US GAAP.         “Consolidated  Current  Assets”  shall  mean,  as  at  any  date  of  determination,  the  total  assets  of  the  Designated  Company and  its  Restricted  Subsidiaries  which  may  properly  be   classified as current assets on a consolidated balance sheet of the Designated Company and its   Restricted Subsidiaries in accordance with GAAP, excluding cash and Cash Equivalents.          “Consolidated Current Liabilities” shall mean, as at any date of determination, the total   liabilities  of  the  Designated  Company  and  its  Restricted  Subsidiaries  which  may  properly  be   classified as current liabilities (other than the current portion of any Loans) on a consolidated   balance sheet of the Designated Company and its Restricted Subsidiaries in accordance with US   GAAP, but excluding (a) the current portion of any Funded Debt of the Designated Company   and its Restricted Subsidiaries and (b) without duplication of clause (a) above, all Indebtedness   consisting of Revolving Credit Loans to the extent otherwise included therein.                                           12   1120544.02G-CHISR02A - MSW  

 

        “Consolidated  Depreciation  Expense”  shall  mean,  for  any  period,  the  depreciation  expense of the Designated Company and its Restricted Subsidiaries for such period, determined  on a consolidated basis in accordance with US GAAP.         “Consolidated EBITDA” shall mean, for any period, the sum of (A) Consolidated Net  Income for such period, adjusted by (without duplication):         (x)   adding  thereto,  in  each  case  only  to  the  extent  (and  in  the  same  proportion)  deducted in determining such Consolidated Net Income and without duplication:                 (a) Consolidated Interest Expense for such period;                 (b) Consolidated Amortization Expense for such period;                 (c) Consolidated Depreciation Expense for such period;                 (d) Consolidated Tax Expense for such period;                 (e) non-recurring items or unusual charges or expenses, severance, relocation          costs or expenses, other business optimization expenses (including costs and expenses          relating to business optimization programs), new systems design and implementation          costs,  project  start-up  costs,  restructuring  charges  or  reserves,  costs  related  to  the          closure  and/or  consolidation  of  facilities  and  one-time  costs  associated  with  a          Qualified IPO or Qualified Parent IPO;                 (f) to the extent covered by insurance and actually reimbursed or, so long as          the  Designated  Company  has  made  a  good  faith  determination  that there exists          reasonable evidence that such amount will in fact be reimbursed by the insurer and          only  to  the  extent  that  such  amount  is  (x)  not  denied  by  the  applicable  carrier  in          writing within 180 days and (y) in fact reimbursed within 365 days of the date of such          evidence  (with  a  deduction  for  any  amount  so  added  back  to  the extent  not  so          reimbursed within 365 days), losses and expenses with respect to Casualty Events or          business interruption;                  (g) the aggregate amount of all other non-cash charges reducing Consolidated          Net Income (excluding any non-cash charge that results in an accrual of a reserve for          cash charges in any future period) for such period;                  (h) the  amount  of  net  income  (loss)  attributable  to  non-controlling  interests          deducted (and not added back) in computing Consolidated Net Income; and                 (i) Management Fees paid in compliance with Section 6.08(c);                                          13  1120544.02G-CHISR02A - MSW  

 

        (y)   subtracting therefrom, (a) the aggregate amount of all non-cash items increasing  Consolidated Net Income (other than the accrual of revenue or recording of receivables in the  ordinary course of business) for such period and (b) interest income; and         (z)   excluding therefrom,                 (a) [intentionally omitted];                 (b) earnings or losses resulting from any reappraisal, revaluation or write-up          or write-down of assets;                  (c) non-recurring or unusual gains; and                 (d) any gain or loss relating to cancellation or extinguishment of Indebtedness;          plus   (B)  the  proportionate  interest  of  the  Designated  Company  and  its  consolidated  Restricted  Subsidiaries in Non-consolidated Affiliate EBITDA for such period; plus   (C)  for  purposes  of  determining  compliance  with  the  Financial  Performance  Covenant  only  (solely for the purposes of Section 6.14 and not for determining whether any action predicated on  being in compliance with the Financial Performance Covenant is permitted), Specified Equity  Contributions  made  pursuant  to  Section 8.04  to  cure  failure  to comply  with  the  Financial  Performance Covenant for a fiscal quarter in such period; plus   (D)  the  annualized  amount  of  net  cost  savings,  operating  expense  reductions  and  synergies  reasonably  projected  by  the  Designated  Company  in  good  faith  to  be  realized  as  a  result  of  specified  actions  (x)  taken  since  the  beginning  of  the  Test  Period  in  respect  of  which  Consolidated EBITDA is being determined or (y) initiated prior to or during the Test Period (in  each case, which cost savings shall be added to Consolidated EBITDA until fully realized, but in  no  event  for  more  than  four  fiscal  quarters)  (calculated  on  a  pro  forma  basis  as  though  such  annualized  cost  savings,  operating  expense  reductions  and  synergies  had  been  realized  on  the  first  day  of  such  Test  Period,  net  of  the  amount  of  actual  benefits  realized  during  such  Test  Period from such actions); provided that (1) such cost savings, operating expense reductions and  synergies  are  reasonably  identifiable,  quantifiable  and  factually  supportable  in  the  good  faith  judgment of the Designated Company, and (2) no cost savings, operating expense reductions and  synergies shall be added pursuant to this clause (C) to the extent duplicative of any expenses or  charges otherwise added to Consolidated EBITDA, whether through a pro forma adjustment or  otherwise,  for  such  Test  Period;  provided  that  the  aggregate  amount  added  to  Consolidated  EBITDA  pursuant  to  this  clause  (C)  shall  not  exceed  in  the  aggregate  15%  of  Consolidated  EBITDA for any one Test Period; provided, further that projected (and not yet realized) amounts  may no longer be added in calculating Consolidated EBITDA pursuant to this clause (C) to the  extent occurring more than four full fiscal quarters after the specified action taken or initiated in  order to realize such projected cost savings, operating expense reductions and synergies.   Notwithstanding  the  foregoing  clause  (x),  the  provision  for  taxes  and  the  depreciation,  amortization and non-cash items of a Restricted Subsidiary shall be added to Consolidated Net                                         14  1120544.02G-CHISR02A - MSW  

 

    Income to compute Consolidated EBITDA only to the extent (and in the same proportion) that   the  net  income  of  such  Restricted  Subsidiary  was  included  in  calculating  Consolidated  Net   Income.    Consolidated  EBITDA  shall  not  include  the  Consolidated  EBITDA  of  any  Non-consolidated   Affiliate if such Non-consolidated Affiliate is subject to a prohibition, directly or indirectly, on   the payment of dividends or the making of distributions, directly or indirectly, to the Designated   Company, the Parent or the Borrower, to the extent of such prohibition.          “Consolidated  Interest  Coverage  Ratio”  shall  mean,  for  any  period,  the  ratio  of   (a) Consolidated EBITDA for such period to (b) Consolidated Interest Expense for such period.          “Consolidated  Interest  Expense”  shall  mean,  for  any  period,  the  total  consolidated   interest  expense  of  the  Designated  Company  and  its  Restricted  Subsidiaries  for  such  period   determined on a consolidated basis in accordance with US GAAP plus, without duplication:                  (a) imputed  interest  on  Capital  Lease  Obligations  and  Attributable           Indebtedness  of  the  Designated  Company  and  its  Restricted  Subsidiaries  for  such           period;                  (b) commissions,  discounts  and  other  fees  and  charges  owed  by  the           Designated  Company  or  any  of  its  Restricted  Subsidiaries  with  respect  to  letters  of           credit  securing  financial  obligations,  bankers’  acceptance  financing  and  receivables           financings for such period;                  (c) amortization of debt issuance costs, debt discount or premium and other           financing  fees  and  expenses  incurred  by  the  Designated  Company or  any  of  its           Restricted Subsidiaries for such period;                  (d) all interest paid or payable with respect to discontinued operations of the           Designated Company or any of its Restricted Subsidiaries for such period; and                  (e) the interest portion of any deferred payment obligations of the Designated           Company or any of its Restricted Subsidiaries for such period.         “Consolidated Net Income” shall mean, for any period, the consolidated net income (or  loss) of the Designated Company and its Restricted Subsidiaries determined on a consolidated  basis in accordance with US GAAP; provided, however, that the following shall be excluded in   the calculation of “Consolidated Net Income”:                  (a) any net income (loss) of any person (other than the Designated Company)           if such person is not a Restricted Subsidiary of the Designated Company, except that:                     (i)    subject to the exclusion contained in clause (c) below, equity of the               Designated  Company  and  its  consolidated  Restricted  Subsidiaries in the net               income of any such person for such period shall be included in such Consolidated                                          15   1120544.02G-CHISR02A - MSW  

 

              Net Income up to the aggregate amount of cash distributed by such person during              such  period  to  the  Designated  Company  or  to  a  Restricted  Subsidiary  as  a              dividend  or  other  distribution  (subject,  in  the  case  of  a  dividend  or  other              distribution to a Restricted Subsidiary, to the limitations contained in clause (b),              below); and                     (ii)  the  equity  of  the  Designated  Company  and  its  consolidated              Restricted Subsidiaries in a net loss of any such person other than an Unrestricted              Subsidiary  for  such  period  shall  be  included  in  determining  such  Consolidated              Net Income;                 (b) any  net  income  (loss)  of  any  Restricted  Subsidiary  of  the  Designated          Company if such Restricted Subsidiary is subject to a prohibition, directly or indirectly,          on the payment of dividends or the making of distributions, directly or indirectly, to          the Designated Company, the Parent or the Borrower, to the extent of such prohibition,          except that:                    (i)   subject to the exclusion contained in clause (c) below, equity of the             Designated  Company  and  its  consolidated  Restricted  Subsidiaries in the net             income of any such person for such period shall be included in such Consolidated              Net  Income  up  to  the  aggregate amount  of  cash  distributed  by  such  Restricted              Subsidiary during such period to the Designated Company or another Restricted              Subsidiary as a dividend or other distribution (subject, in the case of a dividend or             other distribution to a Restricted Subsidiary, to the limitations contained in this             clause (b)); and                    (ii)   the  equity  of  the  Designated  Company  and  its  consolidated             Restricted Subsidiaries in a net loss of any such person other than an Unrestricted             Subsidiary  for  such  period  shall  be  included  in  determining  such  Consolidated             Net Income;              (c)   any gain or loss realized upon the sale or other disposition of any property       of  the  Designated  Company  or  Restricted  Subsidiaries  (including  pursuant  to  any  Sale       and  Leaseback  Transaction)  that  is  not  sold  or  otherwise  disposed of in the ordinary       course of business (provided that sales or other dispositions of assets in connection with        any Qualified Securitization Transaction permitted hereunder shall be deemed to be in the        ordinary course);               (d)   any extraordinary gain or loss;               (e)   the cumulative effect of a change in accounting principles;               (f)   any  non-cash  compensation  expense realized  for  grants  of  performance        shares,  stock  options  or  other rights  to  officers,  directors  and  employees  of  the        Designated Company or any Restricted Subsidiary; provided that such shares, options or        other rights can be redeemed at the option of the holders only for Qualified Capital Stock        of the Designated Company or Holdings;                                          16  1120544.02G-CHISR02A - MSW  

 

              (g)   any  unrealized  gain  or  loss  resulting  in  such  period  from  Hedging        Obligations (other than any unrealized gains or losses resulting from foreign currency re-       measurement hedging activities);                (h)   any  expenses  or  charges  in  such  period  related  to  the  Transactions,  any        premiums, fees, discounts, expenses and losses payable by any Loan Party in such period        in connection with any redemption or tender offer of Indebtedness permitted hereunder,        and  any  acquisition,  disposition,  recapitalization  or  the  incurrence  of  any  Indebtedness        permitted hereunder, including such fees, expenses or charges related to the Transactions;        and               (i)   the effects of adjustments in the property, plant and equipment, inventories,        goodwill, intangible assets and debt line items in the Designated Company’s consolidated        financial  statements  pursuant  to  US  GAAP  resulting  from  the  application  of  purchase        accounting in relation to any acquisition or the amortization or write-off of any amounts        thereof, net of taxes.   Notwithstanding the foregoing, for purposes of the calculation of Cumulative Credit only, there  shall be excluded from Consolidated Net Income any dividends, repayments of loans or advances  or  other transfers  of  property  from  Unrestricted  Subsidiaries  to  the  Designated  Company  or  a  Restricted Subsidiary to the extent such dividends, repayments or transfers increase the amount  of Cumulative Credit pursuant to clause (d) of the definition of Cumulative Credit.         “Consolidated  Net  Tangible  Assets”  shall  mean,  as  of  any  date of determination, the  sum  of  the  amounts  that  would  appear  on  a  consolidated  balance sheet  of  the  Designated  Company and its Restricted Subsidiaries as the total assets (less accumulated depreciation and  amortization, allowances for doubtful receivables, other applicable reserves and other properly  deductible items) of the Designated Company and its Restricted Subsidiaries, after giving effect  to purchase accounting and after deducting therefrom Consolidated Current Liabilities and, to the  extent otherwise included, the amounts of (without duplication):           (a)   the excess of cost over fair market value of assets or businesses acquired;           (b)   any revaluation or other write-up in book value of assets subsequent to March 31,          2016 as a result of a change in the method of valuation in accordance with US GAAP;           (c)   unamortized debt discount and expenses and other unamortized deferred charges,          goodwill,  patents,  trademarks,  service  marks,  trade  names,  copyrights,  licenses,          organization or developmental expenses and other intangible items;           (d)   minority  interests  in  consolidated  Subsidiaries  held  by  Persons  other  than  the          Designated Company or any Restricted Subsidiary of the Designated Company;           (e)   treasury stock;                                          17  1120544.02G-CHISR02A - MSW  

 

          (f)   cash  or  securities  set  aside  and  held  in  a  sinking  or  other  analogous  fund          established for the purpose of redemption or other retirement of Equity Interests to the          extent such obligation is not reflected in Consolidated Current Liabilities; and           (g)   Investments in and assets of Unrestricted Subsidiaries.         “Consolidated  Tax  Expense”  shall  mean,  for  any  period,  the  tax  expense  of  the  Designated  Company  and  its  Restricted  Subsidiaries,  for  such  period  determined  on  a  consolidated basis in accordance with US GAAP.         “Consolidated Total Assets” shall mean at any date of determination, the total assets of  the Designated Company and its Restricted Subsidiaries determined on a consolidated basis in  accordance with US GAAP.         “Consolidated Total Net Debt” shall mean, as of any date of determination and without  duplication, the sum of (A) the aggregate principal amount of Indebtedness of the Designated  Company  and  its  Restricted  Subsidiaries  outstanding  on  such  date  of  the  type  referenced  in  clauses (a), (b) and (f) of the definition of Indebtedness, and any Contingent Obligations of the  Designated Company  and  its  Restricted  Subsidiaries in  respect  of  Indebtedness  of  any  Person  under clauses (a), (b) and (f) of the definition of Indebtedness, minus the aggregate amount of  Unrestricted Cash on such date, plus (B) the proportionate interest of the Designated Company  and its consolidated Restricted Subsidiaries in the Non-consolidated Affiliate Debt of each of the  Non-consolidated  Affiliates  at  any  date  of  determination.  The  aggregate  principal  amount  of  such Indebtedness shall be determined according to the face or principal amount thereof, based  on the amount owing under the applicable contractual obligation (without regard to any election  by the Designated Company, Holdings or any other Person to measure an item of Indebtedness  using fair value or any other discount that may be applicable under GAAP (including the effects  of FASB ASC 825 and FASB ASC 470-20 on financial liabilities) on a consolidated basis with  respect  to  the  Designated  Company  and  its  Restricted  Subsidiaries  in  accordance  with  consolidation principles utilized in GAAP.          “Contingent  Obligation”  shall  mean,  as  to  any  person,  any  obligation,  agreement,  understanding  or  arrangement  of  such  person  guaranteeing  or  intended  to  guarantee  any  Indebtedness, leases, dividends or other obligations (“primary obligations”) of any other person  (the “primary obligor”) in any manner, whether directly or indirectly, including any obligation  of such person, whether or not contingent, (a) under any guaranty, endorsement, co-making or  sale  with  recourse  of  any  obligation  of  a  primary  obligor,  (b) to  purchase  any  such  primary  obligation  or  any  property  constituting  direct  or  indirect  security  therefor;  (c) 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; (d) 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; (e) with respect to bankers’ acceptances,  letters of credit and similar credit arrangements, until a reimbursement obligation arises (which                                         18  1120544.02G-CHISR02A - MSW  

 

    reimbursement  obligation  shall  constitute  Indebtedness);  or  (f) otherwise  to  assure  or  hold   harmless the holder of such primary obligation against loss in respect thereof; provided, however,   that the term “Contingent Obligation” shall not include endorsements of instruments for deposit   or collection in the ordinary course of business or any product warranties. The amount of any   Contingent  Obligation  shall  be  deemed  to  be  an  amount  equal  to the  stated  or  determinable   amount of the primary obligation in respect of which such Contingent Obligation is made (or, if   less, the maximum amount of such primary obligation for which such  person  may  be  liable,   whether  singly  or  jointly,  pursuant to  the  terms  of  the instrument  evidencing  such Contingent   Obligation)  or,  if  not  stated  or  determinable,  the  maximum  reasonably  anticipated  liability  in   respect thereof (assuming such person is required to perform thereunder) as determined by such   person in good faith.          “Contribution,  Intercompany,  Contracting  and  Offset  Agreement”  shall  mean  that  certain Contribution, Intercompany, Contracting and Offset Agreement, dated as of the Effective  Date, by and among the Loan Parties and the Administrative Agent.         “Contribution  Notice”  shall  mean  a  contribution  notice  issued  by  the  Pensions  Regulator under Section 38 or Section 47 of the Pensions Act 2004.         “Control”  shall  mean  the  possession,  directly  or  indirectly,  of  the  power  to  direct  or  cause the direction of the management or policies of a person, whether through the ownership of  voting securities, by contract or otherwise, and the terms “Controlling” and “Controlled” shall  have meanings correlative thereto.         “Cost  of  Funds” shall mean the rate of interest on each Lender’s share of the relevant   Borrowing for the relevant Interest Period, which shall be the percentage rate per annum which is   the sum of the weighted average of the rates notified to the Administrative Agent by each Lender   as soon as practicable and in any event within two Business Days of the first day of that Interest   Period (or, if earlier, on the date falling two Business Days before the date on which interest is   due to be paid in respect of that Interest Period), to be that which expresses as a percentage rate   per annum the cost to the relevant Lender of funding its participation in that Loan from whatever   source  it  may  reasonably  select;  provided,  that  if  a  Lender’s  Funding  Rate  is  less  than  the   Eurodollar Rate or a Lender does not supply a quotation by the time specified in this definition,   the cost to that Lender of funding its participation in that Borrowing for that Interest Period shall   be deemed, for the purposes of this definition, to be the Eurodollar Rate; provided, further, that if   any Lender does not supply a quotation by the time specified in this definition, the rate of interest   shall be calculated on the basis of the quotations of the remaining Lenders; provided, further, that   if the Cost of Funds shall be less than zero, such rate shall be deemed zero for purposes of this   Agreement.          “CRD  IV”  means  Directive 2013/36/EU of June 26, 2013  on access to the activity of   credit  institutions  and  the  prudential  supervision  of  credit  institutions  and  investment  firms,  amending Directive 2002/87/EC and repealing Directive 2006/48/EC and 2006/49/EC.                                          19   1120544.02G-CHISR02A - MSW  

 

          “Credit Extension” shall mean the making of a Loan by a Lender.          “Credit  Parties”  shall  mean,  collectively,  the  Administrative  Agent,  each  co-agent  or   sub-agent appointed by the Administrative Agent, any Delegate, and the Lenders.          “CRR”  shall  mean  Regulation  (EU)  no.  575/2013  of  June  26,  2013  on  prudential  requirements  for  credit  institutions  and  investment  firms  and  amending  regulation  (EU)  no.  648/2012.         “Cumulative Credit” shall mean, at any date, an amount equal to:         (a)   $328,000,000; plus          (b)   50%  of  the  aggregate  Consolidated  Net  Income  accrued  during the period   commencing on October 1, 2016 to and including the last day of the fiscal quarter most recently   ended  for  which  the  Designated  Company  has  delivered  to  the  Administrative  Agent  the   financial statements required to be delivered by Section 5.01(a) or Section 5.01(b), taken as a   single accounting period (or, in the event Consolidated Net Income for such period is a deficit,   minus 100% of such deficit); plus          (c)  100% of the Net Cash Proceeds received by, (w) prior to the Designated Holdco   Effective Date, Holdings from the issuance of Qualified Capital Stock of Holdings or as a capital   contribution to Holdings after the Effective Date to the extent that such Net Cash Proceeds are  immediately  contributed  by  Holdings  to  the  Designated  Company  following  such  sale  or  contribution to Holdings (including the Net Cash Proceeds of a Qualified IPO), (x) on and after  the  Designated  Holdco  Effective Date,  from  the  issuance  of  Qualified  Capital  Stock  of  Designated Holdco or as a capital contribution to Designated Holdco (including the Net Cash  Proceeds of a Qualified IPO), (y) Borrower from the issuance of Qualified Capital Stock of the  Borrower  in  a  Qualified  Parent  IPO  and  (z) Borrower  from  the  issuance  of  Qualified  Capital  Stock of Borrower after a Qualified Parent IPO; provided that, in each case, no issuances to or   contributions from a Restricted Subsidiary shall be counted for the purposes of this clause (c);   plus          (d)   the  aggregate  net  cash  proceeds  received  by  the  Designated Company  or  any   Restricted  Subsidiary  from  the  issuance  or  sale  after  the  Effective  Date  of  convertible  or   exchangeable  Indebtedness  that  has  been  converted  into  or  exchanged  for  Qualified  Capital   Stock of Holdings (prior to the Designated Holdco Effective Date), Designated Holdco (on and   after  the  Designated  Holdco  Effective  Date)  or  of  the  Borrower after  a  Qualified  Parent  IPO,   excluding:                (i)   any such Indebtedness issued or sold to any Loan Party or a Subsidiary of         any Loan Party or an employee stock ownership plan or trust established by any Loan         Party or any such Subsidiary for the benefit of their employees, and                                           20   1120544.02G-CHISR02A - MSW  

 

                (ii)  the  aggregate  amount  of  any cash  or  other  property  distributed  by         Holdings,  the  Designated  Company or  any  Restricted  Subsidiary  upon  any  such         conversion or exchange; plus          (e)   the  net  reduction  in  Investments  made  in  reliance  on  the  Cumulative  Credit   pursuant  to  Section  6.04(r)(ii)  in  any  person  other  than  the  Designated  Company  or  an   Unrestricted  Grantor  resulting  from  cash  dividends,  repayments of  loans  or  advances  or  other   transfers of property (valued at fair market value), in each case to the Designated Company or   any Unrestricted Grantor; provided that the foregoing amount shall not exceed, in the case of any   person, the amount of Investments made after the Effective Date by the Designated Company or   any  Unrestricted  Grantor  in  such  person  in  reliance  on  the  Cumulative  Credit  pursuant  to   Section 6.04(r)(ii); plus          (f)   the  aggregate  amount  of  prepayments  refused  by  Lenders  pursuant  to   Section 2.10(g)(iii); plus          (g)   upon the redesignation of any Unrestricted Subsidiary as a Restricted Subsidiary   pursuant  to  Section  5.16,  the  lesser  of  (i)  the  fair  market  value  of  the  net  assets  of  such   Unrestricted Subsidiary at the time of redesignation and (ii) the aggregate amount of Investments   made  by  the  Designated  Company  or  any  of  its  Restricted  Subsidiaries  in  reliance  on  the   Cumulative  Credit  pursuant  to  Section  6.04(r)(ii)  in  such  Unrestricted  Subsidiary  after  the   Effective Date and prior to such redesignation; minus          (h)   in each case from and after the Effective Date, (x) the cumulative amount of all   Investments  made  pursuant  to  Section  6.04(r)(ii),  (y)  the  cumulative  amount  of  all  Dividends   made  pursuant  to  Section  6.08(c), Section  6.08(d)(i),  Section  6.08(i)  and  Section 6.08(j)  and   (z) the cumulative amount of all payments and redemptions of Indebtedness made pursuant to   Section 6.11(a)(i)(z)(1); minus          (i)  if, at such date of determination, the Total Net Leverage Ratio determined on a   Pro  Forma  Basis  as  of  the  last  day  of  the  most  recently  ended  fiscal  quarter  for  which  the   Designated Company has delivered to the Administrative Agent the financial statements required  to be delivered by Section 4.01(e), Section 5.01(a) or Section 5.01(b) would be greater than or   equal to 3.5 to 1.0, the cumulative amount of Recapture Amounts paid since the Effective Date.   As of the Effective Date, Cumulative Credit is equal to the “Cumulative Credit” as defined in the  Secured Term Loan Agreement.         “DB  Cash  Pooling  Arrangements”  shall  mean  the  cash  pooling  arrangements  among  the Parent, certain other Loan Parties and Deutsche Bank pursuant to the Transaction Banking  Services Agreement among such parties and any documents ancillary thereto.          “Debt Issuance” shall mean the sale or issuance of debt securities or the incurrence of   other Indebtedness for borrowed money by Holdings or any of its Restricted Subsidiaries on or   after the Closing Date, other than (a) Secured Term Loans pursuant to the Incremental Joinder   Agreement in an aggregate principal amount of up to $775,000,000 on the Closing Date, (b) the   Term Loans, (c) intercompany Indebtedness permitted under Section 6.01(d), (d) any incurrence                                          21   1120544.02G-CHISR02A - MSW  

 

  of Indebtedness under the Revolving Credit Agreement or any other letter of credit (or similar  guarantee  or  bonding)  facilities,  ordinary  course  overdraft  protection  and  working  capital  facilities,  trade  payables,  factoring  arrangements,  capital  leases,  financial  leases,  Sale  and  Leaseback  Transactions,  hedging  and  cash  management,  including  the  renewal,  replacement,  increase,  extension  or  refinancing  of  each  of  the  foregoing  items  under  this  clause  (d),  (e) purchase  money  and  equipment  financings  and  similar  obligations,  including  the  renewal,  replacement,  increase,  extension  or  refinancing  of  each  of  the foregoing  items  under  this  clause (e),  (f)  Indebtedness  permitted  under  Section  6.01(cc)  or  Section  6.01(ff),  and  (g)  any  Secured Term Loan Credit Agreement Refinancing Indebtedness.         “Debt Service” shall mean, for any period, Cash Interest Expense for such period plus  scheduled principal amortization of all Indebtedness paid in such period.         “Debtor  Relief  Laws”  shall  mean  the  Bankruptcy  Code  of  the  United  States,  the  Bankruptcy and Insolvency Act (Canada), the Companies’ Creditors Arrangement Act (Canada)  and  all  other  liquidation,  conservatorship,  bankruptcy,  assignment  for  the  benefit  of  creditors,  moratorium,  arrangement,  rearrangement,  readjustment,  composition,  liquidation,  receivership,  insolvency,  reorganization,  examination  or  similar  debtor  relief  or  debt  adjustment  laws  (including any applicable corporate statute) of the United States or other applicable jurisdictions  from time to time in effect and affecting the rights of creditors generally.         “Default” shall mean an Event of Default or an event, occurrence or condition which is,  or upon notice, lapse of time or both would constitute, an Event of Default.         “Default Rate” shall have the meaning assigned to such term in Section 2.06(c).         “Defaulting  Lender”  shall  mean,  subject  to  Section  2.18(b),  any  Lender  that,  as  determined by the Administrative Agent, (a) has failed to perform any of its funding obligations  hereunder within three Business Days of the date required to be funded by it hereunder, absent a  good faith dispute with respect to such obligation, (b) has notified the Designated Company or  the Administrative Agent that it does not intend to comply with its funding obligations or has  made a public statement to that effect with respect to its funding  obligations  hereunder  or  generally  under  other  agreements  in  which  it  commits  to  extend credit,  absent  a  good  faith  dispute with respect to such obligation, (c) has failed, within three Business Days after request  by  the  Administrative  Agent,  to  confirm  in  writing  to  the  Administrative  Agent  that  it  will  comply  with  its  funding  obligations  hereunder  (provided  that  such  Lender  shall  cease  to  be  Defaulting Lender pursuant to this clause (c) upon receipt of such written confirmation by the  Administrative Agent), or (d) has, or has a direct or indirect parent company that has, other than  pursuant to an Undisclosed Administration, (i) become the subject of any proceeding under any  Debtor Relief Law, (ii) had a receiver, conservator, trustee, administrator, examiner or assignee  for  the  benefit  of  creditors  or  similar  Person  charged  with  reorganization  or  liquidation  of  its  business or a custodian appointed for it, (iii) taken any action in furtherance of, or indicated its  consent to, approval of or acquiescence in any such proceeding or appointment, or (iv) become                                         22  1120544.02G-CHISR02A - MSW  

 

    the subject of a Bail-In Action; provided that a Lender shall not be a Defaulting Lender solely by   virtue  of  the  ownership  or  acquisition  of  any  equity  interest  in  that  Lender  or  any  direct  or   indirect parent company thereof by a Governmental Authority.           “Delegate” shall mean any delegate, agent, attorney, trustee or co-trustee appointed by  the Administrative Agent.         “Designated  Company” shall mean the Parent or, on and after the Designated Holdco  Effective Date, Designated Holdco.         “Designated  Holdco”  shall  mean,  on  and  after  the  Designated  Holdco  Effective  Date,  U.K. Holdco.         “Designated Holdco Effective Date” shall mean the date that (a) the actions described in  clause (b) of the definition of Permitted Reorganization Actions are satisfied, and (b) the terms  and  conditions  contained  in  the  definitions  of  Permitted  Reorganization  and  Permitted  Reorganization Actions are satisfied in respect of the actions described in clause (a) above, and   in respect of all Permitted Reorganization Actions commenced prior to the actions described in   clause (a) above.          “Disqualified Capital Stock” shall mean any Equity Interest which, by its terms (or by   the terms of any security into which it is convertible or for which it is exchangeable), or upon the   happening  of  any  event,  (a) matures  (excluding  any  maturity  as the  result  of  an  optional   redemption by the issuer thereof) or is mandatorily redeemable other than solely for Qualified   Capital Stock, pursuant to a sinking fund obligation or otherwise, or is redeemable at the option   of the holder thereof, in whole or in part, on or prior to 180 days after the Maturity Date in effect   at the time of issuance of such Equity Interest, (b) is convertible into or exchangeable (unless at   the sole option of the issuer thereof) for (i) debt securities or (ii) any Equity Interests referred to   in (a) above, in each case at any time on or prior to 180 days after the Maturity Date in effect at   the time of issuance of such Equity Interest, or (c) contains any mandatory repurchase obligation   which may come into effect prior to 180 days after the Maturity Date in effect at the time of   issuance  of  such  Equity  Interest;  provided, however,  that  any  Equity  Interests  that  would  not   constitute  Disqualified  Capital Stock  but  for  provisions  thereof  giving  holders  thereof  (or  the   holders of any security into or for which such Equity Interests is convertible, exchangeable or   exercisable)  the  right  to  require  the  issuer  thereof  to  redeem such  Equity  Interests  upon  the   occurrence of a change in control or an asset sale occurring prior to 180 days after the Maturity   Date  in  effect  at  the  time  of  issuance  of  such  Equity  Interest shall  not  constitute  Disqualified   Capital Stock if such Equity Interests provide that the issuer thereof will not redeem any such   Equity Interests pursuant to such provisions prior to the repayment in full of the Obligations.          “Disqualified  Institution”  shall  mean,  on  any  date,  (a)  any  Sanctioned  Person  and   (b) any other Person that is a direct competitor of the Designated Company (other than a Person                                          23   1120544.02G-CHISR02A - MSW  

 

    described in clause (a) or (b) of  the  definition of  Known  Affiliate) or a Known  Affiliate of a   competitor, which Person has been designated by the Designated Company as a “Disqualified   Institution” by written notice to the Administrative Agent from time to time after the 90th day   following the Closing Date; provided that “Disqualified Institutions” shall exclude any Person   that the Designated Company has designated as no longer being a “Disqualified Institution” by   written notice delivered to the Administrative Agent from time to time.          “Distribution” shall mean, collectively, with respect to any Person, all dividends, cash,   options,  warrants,  rights,  instruments,  distributions,  returns of  capital  or  principal,  income,  interest, profits and other property, interests (debt or equity) or proceeds, including as a result of  a split, revision, reclassification or other like change of the Equity Interests, from time to time  received, receivable or otherwise distributed to such Person in respect of or in exchange for any  or all of the Equity Interests or Intercompany Notes owned by such Person.         “Dividend” with respect to any person shall mean that such person has declared or paid a  dividend or returned any equity capital to the holders of its Equity Interests or made any other  distribution, payment or delivery of property (other than Qualified Capital Stock of such person)  or cash to the holders of its Equity Interests as such, or redeemed, retired, purchased or otherwise  acquired, directly or indirectly, for consideration any of its Equity Interests outstanding (or any  options or warrants issued by such person with respect to its Equity Interests), or set aside any  funds  for  any  of  the  foregoing  purposes,  or  shall  have  permitted  any  of  its  Subsidiaries  to  purchase  or  otherwise  acquire  for  consideration  any  of  the  Equity Interests of such person  outstanding (or any options or warrants issued by such person with respect to its Equity Interests).  Without  limiting  the  foregoing,  “Dividends”  with  respect  to  any  person  shall  also  include  all  payments made or required to be made by such person with respect to any stock appreciation  rights, plans, equity incentive or achievement plans or any similar plans or setting aside of any  funds for the foregoing purposes, except to the extent such payments reduce Consolidated Net  Income.         “Dividend  Recapture  Amount”  shall  have  the  meaning  assigned  to  such  term  in  Section 6.08(d)(iii).          “Dollar  Equivalent” shall mean, as to any amount denominated in any currency other   than Dollars as of any date of determination, the amount of Dollars that would be required to   purchase the amount of such currency based upon the Spot Selling Rate as of such date, and as to   any amount denominated in Dollars, such amount in Dollars.          “Dollars” or “dollars” or “$” shall mean lawful money of the United States.          “DQ List” shall have the meaning assigned to such term in Section 11.04(g)(iv).                                           24   1120544.02G-CHISR02A - MSW  

 

          “Dubai Guarantor” shall mean each Restricted Subsidiary of the Designated Company  organized in the Dubai International Financial Centre party hereto as a Guarantor, and each other  Restricted Subsidiary of the Designated Company organized in the Dubai International Financial  Centre that becomes a Guarantor pursuant to the terms hereof.         “Dutch Guarantor” shall mean each Restricted Subsidiary of the Designated Company  organized  under  the  laws  of  the  Netherlands  party  hereto  as  a  Guarantor,  and  each  other  Restricted Subsidiary of the Designated Company organized under the laws of the Netherlands  that becomes a Guarantor pursuant to the terms hereof.         “EEA Financial Institution”  shall  mean  (a)  any  credit  institution  or  investment  firm  established  in  any  EEA  Member  Country  which  is  subject  to  the  supervision  of  an  EEA  Resolution Authority, (b) any entity established in an EEA Member Country which is a parent of  an institution described in clause (a) of this definition, or (c) any financial institution established  in an EEA Member Country which is a Subsidiary of an institution described in clauses (a) or (b)  of this definition and is subject to consolidated supervision with its parent.         “EEA Member Country” shall mean any of the member states of the European Union,  Iceland, Liechtenstein, and Norway.         “EEA  Resolution  Authority”  shall  mean  any  public  administrative  authority  or  any  Person entrusted with public administrative authority of any EEA Member Country (including  any delegee) having responsibility for the resolution of any EEA Financial Institution.         “Effective Date” shall mean December 18, 2018.         “Eligible  Assignee”  shall  mean  (a)  any  Lender,  (b)  an  Affiliate  of  any  Lender,  (c)  an  Approved Fund of a Lender and (d) any other person approved, in the case of this clause (d) only,  by the Designated Company (such approval not to be unreasonably withheld or delayed and such  approval shall be deemed given if no objection is made by the Designated Company within five  Business Days after receipt of a notice of an assignment proposing such person as an assignee of  any interest in any Loans); provided that (x) no approval of the Designated Company shall be   required  during  the  continuance of  an  Event  of  Default  or  on  or  prior  to  the  Syndication   Termination Date, (y) ”Eligible Assignee” shall not include Holdings or any of its Affiliates or   Subsidiaries or any natural person and (z) each assignee Lender shall be subject to each other   applicable requirement regarding Lenders hereunder. Any Disqualified Institution is subject to   Section 11.04(g) hereof.          “Embargoed Person” shall have the meaning assigned to such term in Section 6.21.                                           25   1120544.02G-CHISR02A - MSW  

 

        “English-law  Guarantee”  shall  mean  any  English  law  agreement  to  be  executed  by,  among others, the Administrative Agent and any Loan Party providing a Guarantee or a Foreign  Guarantee.         “Environment” shall mean the natural environment, including air (indoor or outdoor),  surface water and groundwater (including potable water, navigable water and wetlands), the land  surface  or  subsurface  strata,  natural  resources,  sewer  systems,  the  workplace  or  as  otherwise  defined in any Environmental Law.         “Environmental  Claim”  shall  mean  any  claim,  notice,  demand,  order,  action,  suit,  proceeding or other formal communication alleging liability for or obligation with respect to any  investigation,  remediation,  removal,  cleanup,  response,  corrective  action,  damages  to  natural  resources, personal injury, property damage, fines, penalties or other costs resulting from, related  to or arising out of (i) the presence, Release or threatened Release in or into the Environment of  Hazardous  Material  at  any  location  or  (ii) any  violation  or  alleged  violation  of  any  Environmental Law, and shall include any claim seeking damages, contribution, indemnification,  cost recovery, compensation or injunctive relief resulting from, related to or arising out of the  presence,  Release  or  threatened  Release  of  Hazardous  Material  or  alleged  injury  or  threat  of  injury to the Environment or to human health or safety relating to or arising out of the use of,  exposure to or Releases or threatened Releases of Hazardous Material.         “Environmental  Law”  shall  mean  any  and  all  treaties,  laws,  statutes,  ordinances,  regulations,  rules,  decrees,  orders,  judgments,  consent  orders,  consent  decrees,  code  or  other  legally  binding  requirements  (including  the Guide d’Intervention – Protection des sols et de  réhabilitation des terrains contaminés  of  the  Quebec  Ministry  of  Sustainable  Development,  Environment and Fight Against Climate Change), and the common law and civil law, relating to  protection of human health or the Environment, the Release or threatened Release of Hazardous  Material, natural resources or natural resource damages, or occupational safety or health, and any  and all Environmental Permits.         “Environmental  Permit”  shall  mean  any  permit,  license,  approval,  registration,  notification,  exemption,  consent or  other  authorization  required  by  or  from  a  Governmental  Authority under Environmental Law.         “Equipment”  shall  mean  “equipment,”  as  such  term  is  defined  in  the  UCC,  in  which  such Person now or hereafter has rights.         “Equity  Interest” shall mean, with respect to any person, any and all shares, interests,  participations or other equivalents, including membership interests (however designated, whether  voting  or  nonvoting),  of  equity  of  such  person,  including,  if  such  person  is  a  partnership,  partnership  interests  (whether  general  or  limited)  and  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                                         26  1120544.02G-CHISR02A - MSW  

 

  property  of,  such  partnership, whether  outstanding  on  the  Effective  Date  or  issued  after  the  Effective Date, but excluding debt securities convertible or exchangeable into such equity.          “Equity  Issuance”  shall  mean  the  issuance  of  any  Equity  Interests  (including  equity- linked securities) on or after the Closing Date by Holdings or any of its Restricted Subsidiaries,  other  than  (a)  pursuant  to  employee  stock  plans,  (b)  upon  vesting,  exercise,  exchange  or  conversion of restricted stock units, options or other rights to acquire shares of common stock,  (c) pursuant  to  Holdings’  equity  and  incentive  plans,  (d)  by  any  Subsidiary  of  Holdings  to  Holdings or any other Subsidiary of Holdings, and (e) constituting directors’ qualifying shares.         “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as the same  may be amended from time to time.         “ERISA Affiliate” shall mean, with respect to any person, any trade or business (whether  or  not  incorporated)  that,  together  with  such  person,  is  treated  as  a  single  employer  under  Section 414 of the Code.         “ERISA  Event”  shall  mean  (a) any  “reportable  event,”  as  defined  in  Section 4043  of  ERISA or the regulations issued thereunder, with respect to a Plan (other than an event for which  the thirty (30) day notice period is waived by regulation); (b) the failure to meet the minimum  funding standard of Section 412 of the Code with respect to any Plan whether or not waived;  (c) the failure to make by its due date a required installment under Section 430(j) of the Code  with  respect  to  any  Plan  or  the  failure  to  make  any  required  contribution  to  a  Multiemployer  Plan;  (d) the  filing  pursuant  to  Section 412  of  the  Code  or  Section 303(d)  of  ERISA  of  an  application  for  a  waiver  of  the  minimum  funding  standard  with  respect  to  any  Plan;  (e) the  incurrence  by  any  Company  or  any  of  its  ERISA  Affiliates  of  any  liability  under  Title  IV  of  ERISA with respect to the termination of any Plan, other than for PBGC premiums due but not  delinquent under Section 4007 of ERISA; (f) the receipt by any Company or any of its ERISA  Affiliates  from  the  PBGC  or  a  plan  administrator  of  any  notice relating  to  the  intention  to  terminate any Plan or Plans or to appoint a trustee to administer any Plan; (g) the occurrence of  any event or condition which could reasonably be expected to constitute grounds under Section  4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Plan;  (h) the incurrence by any Company or any of its ERISA Affiliates of any liability with respect to  the withdrawal from any Plan subject to Section 4063 of ERISA or a cessation of operation that  is treated as a withdrawal under Section 406(e) of ERISA; (i) a complete or partial withdrawal by  any  Company  or  any  ERISA  Affiliate  from  a  Multiemployer  Plan  resulting  in  material  Withdrawal  Liability  or  a  determination  that  a  Multiemployer  Plan  is,  or  is  expected  to  be,  insolvent or in reorganization, within the meaning of Title IV of ERISA; (j) the making of any  amendment to any Plan which could result in the imposition of a lien or the posting of a bond or  other security; and (k) the occurrence of a nonexempt prohibited transaction (within the meaning  of Section 4975 of the Code or Section 406 of ERISA) which could reasonably be expected to  result in a Material Adverse Effect.                                          27  1120544.02G-CHISR02A - MSW  

 

          “EU  Bail-In  Legislation  Schedule”  shall  mean  the  EU  Bail-In  Legislation  Schedule   published by the Loan Market Association (or any successor person), as in effect from time to   time.          “Euro” shall mean the lawful currency of the Participating Member States introduced in   accordance  with  the  legislative  measures  of  the  European  Council  for  the  introduction  of,   changeover to or operation of a single unified European currency.          “Eurodollar Base Rate” shall mean, for any Interest Period, the rate per annum equal to   the  rate  per  annum  determined  by  the  Administrative  Agent  at  approximately  11:00  a.m.   (London time) on the date that is two London Banking Days prior to the commencement of such   Interest Period by reference to the ICE Benchmark Administration Interest Settlement Rates for   Dollar  deposits,  as  published  by Reuters  or  any  other  service  selected  by  the  Administrative  Agent that has been nominated by the ICE Benchmark Administration Limited as an authorized  information vendor for the purpose of displaying such rates (the “Screen  Rate”), with a term   equivalent to such Interest Period; provided that if no Screen Rate is available for such Interest   Period, then the “Eurodollar Base Rate” for such Interest Period shall be the Interpolated Screen   Rate for a period equal in length to such Interest Period; provided, further, that if the Interpolated   Screen  Rate  is  not  available at  such  time  for  any  reason,  then the  “Eurodollar  Base  Rate”  for   such Interest Period shall be the rate per annum determined by the Administrative Agent equal to   the average of rates per annum at which deposits in Dollars are offered for such Interest Period to   the  Administrative  Agent  by  three  leading  banks  in  the  London  interbank  market  in  London,   England at approximately 11:00 a.m. (London time) on the date which is two London Banking   Days prior to the commencement of such Interest Period; provided, further, that if the Eurodollar   Base Rate shall be less than zero, such rate shall be deemed zero for purposes of this Agreement.   Each  determination  by  Administrative  Agent  pursuant  to  this  definition  shall  be  conclusive   absent manifest error.          “Eurodollar Rate” shall mean for any Interest Period with respect to a Eurodollar Rate  Loan,  a  rate  per  annum  determined  by  the  Administrative  Agent  pursuant  to  the  following  formula:                                            Eurodollar Base Rate                   Eurodollar Rate =                                 1.00 – Eurodollar Reserve Percentage                   “Eurodollar  Rate  Borrowing” shall mean a Borrowing comprised of Eurodollar Rate         Loans.          “Eurodollar Rate Loan” shall mean a Term Loan that bears interest at a rate determined   by reference to the Eurodollar Rate.                                           28   1120544.02G-CHISR02A - MSW  

 

          “Eurodollar  Reserve Percentage” shall mean, for any day during any Interest Period,   the reserve percentage (expressed as a decimal, carried out to five decimal places) in effect on   such day, whether or not applicable to any Lender, under regulations issued from time to time by   the  Board  for  determining  the  maximum  reserve  requirement  (including  any  emergency,   supplemental  or  other  marginal  reserve  requirement)  with  respect  to  Eurodollar  funding   (currently  referred  to  as  “Eurocurrency  liabilities”).  The  Eurodollar  Rate  for  each  outstanding  Eurodollar Rate Loan shall be adjusted automatically as of the effective date of any change in the  Eurodollar  Reserve  Percentage,  and  no  earlier  than  the  date  that  the  Administrative  Agent  obtains knowledge thereof.         “Event of Default” shall have the meaning assigned to such term in Section 8.01.          “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended.          “Excluded  Guarantor  Subsidiary”  shall  mean,  at  any  date  of  determination,  any   Restricted Subsidiary other than a Specified Aleris Subsidiary designated as such in writing by   the Designated Company to the Administrative Agent that:                (x) (i) contributed 2.5% or less of Consolidated EBITDA for the period of four         fiscal  quarters  most  recently  ended  for  which  financial  statements  have  been  or  are         required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of         determination,  and  (ii)  had  consolidated  assets  representing  2.5%  or  less  of  the         Consolidated Total Assets of the Designated Company and its Restricted Subsidiaries on        the last day of the most recent fiscal quarter ended for which financial statements have        been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to         the date of determination;                         (y)   together  with  all  other  Restricted  Subsidiaries  constituting  Excluded         Guarantor  Subsidiaries  (i)  contributed  7.5%  or  less  of  Consolidated  EBITDA  for  the         period  of  four  fiscal  quarters  most  recently  ended  for  which  financial  statements  have         been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to         the date of determination, and (ii) had consolidated assets representing 7.5% or less of the         Consolidated Total Assets of the Designated Company and its Restricted Subsidiaries on        the last day of the most recent fiscal quarter ended for which financial statements have        been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to         the date of determination; and                        (z) is not a Loan Party on the Effective Date; provided that no Loan Party shall         constitute an Excluded Guarantor Subsidiary except to the extent such Loan Party issues         Equity  Interests  to  Persons  other  than  a  Company  pursuant  to  Section  6.06(l)  and         immediately  prior  to  such  issuance  such  Person  would  have  otherwise  qualified  as  an         Excluded Guarantor Subsidiary under clause (x) and (y) above.           The  Excluded  Guarantor  Subsidiaries  as  of  the  Effective  Date  are  listed  on   Schedule 1.01(c).                                          29   1120544.02G-CHISR02A - MSW  

 

          “Excluded  Subsidiaries”  shall  mean  Restricted  Subsidiaries  of  Holdings  that  are  not   organized in a Principal Jurisdiction.          “Excluded Taxes” shall mean, with respect to the Administrative Agent, any Lender or  any  other  recipient  of  any  payment  to  be  made  by  or  on  account of  any  obligation  of  the  Borrower  hereunder,  (a)  Taxes  imposed  on  or  measured  by  overall  net  income  (however  denominated), franchise Taxes (in lieu of net income taxes), and branch profits Taxes, in each  case, (i) imposed as a result of such recipient being organized under the laws of, or having its  principal  office  or,  in  the  case  of  any  Lender,  its  applicable lending  office  located  in,  the  jurisdiction  imposing  such  Tax  (or  any  political  subdivision  thereof)  or  (ii)  that  are  Other  Connection Taxes, (b) solely to the extent that the Borrower is a domestic corporation as defined  in Section 7701(a)(30)(C) of the Code (or is a limited liability company that is disregarded as an  entity  separate  from  its  owner  for  United  States  federal  income  tax  purposes  and  is  wholly  owned  by  a  domestic  corporation),  in  the  case  of  a  Lender,  withholding  Taxes  imposed  on  amounts payable to or for the account of such Lender with respect to an applicable interest in a  Loan or Commitment pursuant to a law in effect on the date on which such Lender acquires such  interest  in  the  Loan  or  Commitment  (other  than  pursuant  to  an  assignment  request  under  Section 2.16),  except  in  each  case  to  the  extent  that,  pursuant  to  Section  2.15,  amounts  with   respect to such Taxes were payable to such Lender's assignor immediately before such Lender   became  a  party  hereto,  (c)  Taxes  attributable  to  such  recipient’s  failure  to  comply  with   Section 2.15(e), and (d) any U.S. federal withholding Taxes imposed under FATCA.          “Executive Order” shall have the meaning assigned to such term in Section 3.22.          “Existing Lien” shall have the meaning assigned to such term in Section 6.02(c).          “Factoring  Assets”  shall  mean  all  existing  or  hereafter  acquired  or  arising   (i) Receivables that are sold, transferred or disposed of pursuant to a Permitted Factoring Facility  permitted under Section 6.06(e), (ii) Related Security with respect to the Receivables referred to   in  clause  (i)  above,  (iii)  collections  and  proceeds  of  the  Receivables  and  Related  Security   referred to in clauses (i) and (ii) above, (iv) lockboxes, lockbox accounts, collection accounts or   other deposit accounts substantially all of the deposits of which consist of such collections and   proceeds  referred  to  in  clause  (iii)  above  and  which  have  been specifically  identified  and   consented  to  by  the  Revolving  Credit  Administrative  Agent,  (v) without  duplication  of  the   foregoing  clauses  (i)  through  (iv),  rights  and  payments  which  relate  solely  to  the  Receivables   referred to in clause (i) above and (vi) cash reserves comprising credit enhancements for such   Permitted Factoring Facility.                  “Fallback Rate” shall mean, in relation to a Borrowing, subject to Section 1.07, (a) if no   Eurodollar Rate is available for the relevant currency or Interest Period, the Reference Bank Rate   as of the Specified Time for the currency of that Borrowing and for a period equal in length to   the Interest Period of that Borrowing, or (b) if neither a Eurodollar Rate nor a Reference Bank   Rate is available for the relevant currency or Interest Period, the Cost of Funds shall apply to that   Borrowing for that Interest Period.                                          30   1120544.02G-CHISR02A - MSW  

 

                   “Fallback Rate Borrowing” shall mean a Borrowing comprised of Fallback Rate Loans.                “Fallback Rate Loan” shall mean a Term Loan that bears interest based on the Fallback  Rate.         “FASB  ASC”  shall  mean  the  Accounting  Standards  Codification  of  the  Financial   Accounting Standards Board.          “FATCA”  shall  mean  (a)  Sections  1471  to  1474  of  the  Code  and  any  associated   regulations;  (b)  any  treaty,  law  or  regulation  of  any  other  jurisdiction,  or  relating  to  any   intergovernmental  agreement  between  the  United  States  and  any  other  jurisdiction,  which  (in   either case) facilitates the implementation of any law or regulation referred to in clause (a) above;   or (c) any agreement pursuant to the implementation of any treaty, law or regulation referred to   in clauses (a) or (b) above with the IRS, the U.S. government or any governmental or taxation   authority in any other jurisdiction.          “FATCA  Application  Date”  shall  mean  (a)  in  relation  to  a  “withholdable  payment”   described in section 1473(1)(A)(i) of the Code (which relates to payments of interest and certain  other  payments  from  sources  within  the  United  States),  July  1, 2014;  (b)  in  relation  to  a  “withholdable payment” described in Section 1473(1)(A)(ii) of the Code (which relates to “gross  proceeds”  from  the  disposition  of  property  of  a  type  that  can  produce  interest  from  sources  within the United States), January 1, 2019; or (c) in relation to a “passthru payment” described in  Section 1471(d)(7) of the Code not falling within paragraphs (a) or (b) above, January 1, 2019;  or, in each case, such other date from which such payment may become subject to a deduction or  withholding  required  by  FATCA  as  a  result  of  any  change  in  FATCA  after  the  date  of  this  Agreement.         “FATCA  Deduction”  shall  mean  a  deduction  or  withholding  from  a  payment  under  a  Loan Document required by FATCA.         “FATCA  Exempt  Party”  shall  mean  a  Party  that  is  entitled  to  receive  payments  free  from any FATCA Deduction.         “Fee Letters” means the Agent Fee Letter and the Arranger Fee Letter.         “Fees” shall mean the fees and prepayment premiums payable hereunder or under each  Fee Letter.         “Financial Performance Covenant” shall mean the covenant set forth in Section 6.14.                                           31   1120544.02G-CHISR02A - MSW  

 

          “Financial  Officer”  of  any  person  shall  mean  the  chief  financial  officer,  principal   accounting officer, treasurer or controller of such person.          “Financial  Support  Direction”  shall  mean  a  financial  support  direction  issued  by  the   Pensions Regulator under Section 43 of the Pensions Act 2004.          “Foreign Asset Sale” shall have the meaning assigned to such term in Section 2.10(i).          “Foreign Guarantee” shall have the meaning assigned to such term in Section 7.01.          “Foreign Lender” shall mean a Lender that is not a U.S. Person.          “Foreign  Plan”  shall  mean  any  pension  or  other  employee  benefit  or  retirement  plan,  program, policy, arrangement or agreement maintained or contributed to by any Company with  respect  to  employees  employed  outside  the  United  States,  other than  government  sponsored  pension,  healthcare,  prescription  drugs,  employment  insurance, parental  insurance  or  workers  compensation plans.         “Foreign  Subsidiary” shall mean a Subsidiary that is organized under the laws of a   jurisdiction other than the United States or any state thereof or the District of Columbia.          “French Guarantor” shall mean each Restricted Subsidiary of the Designated Company   organized  in  France  party  hereto  as  a  Guarantor,  and  each  other  Restricted  Subsidiary  of  the   Designated Company organized in France that becomes a Guarantor pursuant to the terms hereof.          “Fund” shall mean any Person (other than a natural Person) that is (or will be) engaged   in  making,  purchasing,  holding  or  otherwise  investing  in  commercial  loans  and  similar   extensions of credit in the ordinary course of its activities.          “Funded  Debt”  shall  mean,  as  to  any  person,  all  Indebtedness  of  such  person that   matures more than one year from the date of its incurrence or matures within one year from such   date but is renewable or extendible, at the option of such person, to a date more than one year   from such date or arises under a revolving credit or similar agreement that obligates the lender or   lenders  to  extend  credit  during  a  period  of  more  than  one  year from  such  date,  including  all   current maturities and current sinking fund payments in respect of such Indebtedness whether or   not  required  to  be  paid  within  one  year  from  the  date  of  its  creation  and,  in  the  case  of  the   Designated Company and its Subsidiaries, Indebtedness in respect of the Secured Term Loans   and the Revolving Credit Loans.                                           32   1120544.02G-CHISR02A - MSW  

 

          “Funding  Rate”  shall  mean  any  individual  rate  notified  by  a  Lender  to  the  Administrative Agent pursuant to the definition of Cost of Funds.          “GAAP”  shall  mean  generally  accepted  accounting  principles  in  the  United  States   applied  on  a  consistent  basis;  provided  that  if  the  Designated Company  converts  its  financial   reporting  from  generally  accepted  accounting  principles  in  the United  States  to  IFRS  as   permitted  under  Section 1.04,  “GAAP”  shall  mean  (subject  to  the  provisions  of  Section  1.04   hereof) IFRS applied on a consistent basis.          “German  Guarantor”  shall  mean  each  Restricted  Subsidiary  of  the  Designated   Company  organized  in  Germany  party  hereto  as  a  Guarantor,  and  each  other  Restricted   Subsidiary  of  the  Designated  Company  organized  in  Germany  that becomes  a  Guarantor   pursuant to the terms hereof.          “German Receivables Purchase Agreement” shall have the meaning assigned to such   term in the definition of “Receivables Purchase Agreement”.          “German  Seller” shall mean Novelis Deutschland GmbH, a company organized under   the  laws  of  Germany  (including  in  its  roles  as  seller  and  collection  agent  under  the  German   Receivables Purchase Agreement).           “Governmental Authority” shall mean the government of the United States or any other   nation, or of any political subdivision thereof, whether state, provincial 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 (including any supra-national bodies such as the European Union or   the European Central Bank).          “Governmental Real Property Disclosure Requirements” shall mean any Requirement   of  Law  of  any  Governmental  Authority  requiring  notification  of the buyer, lessee, mortgagee,   assignee  or  other  transferee  of  any  Real  Property,  facility,  establishment  or  business,  or   notification, registration or filing to or with any Governmental Authority, in connection with the   sale, lease, mortgage, assignment or other transfer (including any transfer of control) of any Real   Property, facility, establishment or business, of the actual or threatened presence or Release in or   into the Environment, or the use, disposal or handling of Hazardous Material  on,  at,  under  or   near the Real Property, facility, establishment or business to be sold, leased, mortgaged, assigned   or transferred.          “Guarantee Payment” shall have the meaning assigned to such term in Section 7.12(b).          “Guaranteed Obligations” shall have the meaning assigned to such term in Section 7.01.                                          33   1120544.02G-CHISR02A - MSW  

 

          “Guarantees”  shall  mean  the  guarantees  issued  pursuant  to  ARTICLE  VII  by  the   Guarantors.          “Guarantors” shall mean Holdings and the Subsidiary Guarantors (including Holdings   and each Canadian Guarantor, each U.S. Guarantor, each Swiss Guarantor, each U.K. Guarantor,   each German Guarantor, each Irish Guarantor, each Brazilian Guarantor, each French Guarantor,   each Dubai Guarantor, each Dutch Guarantor, each Belgian Guarantor, and each other Restricted   Subsidiary of the Designated Company that becomes a Guarantor hereunder).          “Hazardous  Materials”  shall  mean  the  following:  hazardous  substances;  hazardous   wastes;  polychlorinated  biphenyls  (“PCBs”)  or  any  substance  or  compound  containing  PCBs;   asbestos  or  any  asbestos-containing  materials  in  any  form  or  condition;  radon  or  any  other   radioactive  materials  including any  source,  special  nuclear  or by-product  material;  petroleum,   crude oil or any fraction thereof; and any other pollutant or contaminant or chemicals, wastes,  materials, compounds, constituents or substances, subject to regulation under or which can give  rise to liability (including, but not limited to, due to their ignitability, corrosivity, reactivity or  toxicity) under any Environmental Laws.         “Hedging  Agreement”  shall  mean  any  swap,  cap,  collar,  forward  purchase  or  similar  agreements or arrangements dealing with interest rates, currency exchange rates or commodity  prices, either generally or under specific contingencies entered into for the purposes of hedging a  Company’s exposure to interest or exchange rates, loan credit exchanges, security or currency  valuations or commodity prices, in each case not for speculative purposes.         “Hedging  Obligations”  shall  mean  obligations  under  or  with  respect  to  Hedging  Agreements.         “Hindalco” shall mean Hindalco Industries Limited, a corporation organized under the  laws of India.         “Holdings”  shall  mean  (i)  prior  to  the  consummation  of  the  Permitted  Holdings  Amalgamation,  (x)  if  any  transaction  described  in  clause  (b),  (c)  or  (f)  of  the  definition  of  Permitted Reorganization Action has not occurred, AV Metals or (y) AV Minerals, and (ii) upon  and after the consummation of the Permitted Holdings Amalgamation, Successor Holdings.         “IFRS” shall mean International Financial Reporting Standards consistently applied.         “Immaterial Subsidiary” shall mean, at any date of determination, any Subsidiary that,   together  with  all  other  Subsidiaries  then  constituting  Immaterial  Subsidiaries  (i)  contributed   5.0% or less of Consolidated EBITDA for the period of four fiscal quarters most recently ended   for  which  financial  statements  have  been  or  are  required  to  have  been  delivered  pursuant  to                                          34   1120544.02G-CHISR02A - MSW  

 

    Section  5.01(a)  or  5.01(b)  prior  to  the  date  of  determination, (ii) had consolidated assets   representing 5.0% or less of the Consolidated Total Assets on the last day of the most recent   fiscal  quarter  ended  for  which  financial  statements  have  been  or  are  required  to  have  been   delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of determination, and (iii) is not   a  Loan  Party  on  the  Effective  Date  or  on  the  Closing  Date  after  giving  effect  to  the  Aleris   Acquisition.          “Indebtedness” of any person shall mean, without duplication, (a) all obligations of such  person for borrowed money or advances; (b) all obligations of such person evidenced by bonds,  debentures, notes or similar instruments; (c) all obligations of such person under conditional sale  or  other  title  retention  agreements  relating  to  property  purchased  by  such  person;  (d) all  obligations  of  such  person  issued  or  assumed  as  the  deferred  purchase  price  of  property  or  services  (excluding  trade  accounts  payable  and  accrued  obligations  incurred  in  the  ordinary  course of business on normal trade terms and not overdue by more than ninety (90) days (other  than  such  overdue  trade  accounts  payable  being  contested  in  good  faith  and  by  proper  proceedings,  for  which  appropriate  reserves  are  being  maintained  with  respect  to  such  circumstances in accordance with US GAAP or other applicable accounting standards)); (e) all  Indebtedness  of  others  secured  by  any  Lien  on  property  owned  or  acquired  by  such  person,  whether or not the obligations secured thereby have been assumed, but limited to the fair market  value  of  such  property;  (f) all Capital  Lease  Obligations,  Purchase  Money  Obligations  and  Synthetic Lease Obligations of such person; (g) all Hedging Obligations to the extent required to  be reflected on a balance sheet of such person; (h) all Attributable Indebtedness of such person;  (i) all  obligations  of  such  person  for  the  reimbursement  of  any  obligor in  respect  of  letters  of  credit, letters of guaranty, bankers’ acceptances and similar credit transactions; (j) all obligations  of  such  person  under  any  Qualified  Securitization  Transaction; and  (k) all  Contingent  Obligations  of  such  person  in  respect  of  Indebtedness  or  obligations  of  others  of  the  kinds  referred  to  in  clauses (a)  through  (j)  above.  The  Indebtedness of  any  person  shall  include  the  Indebtedness of any other entity  (including  any  partnership  in which such person is a general  partner) to the extent such person is liable therefor as a result of such person’s ownership interest  in or other relationship with such entity, except (other than in the case of general partner liability)  to the extent that the terms of such Indebtedness expressly provide that such person is not liable  therefor.         “Indemnified Taxes” shall mean (a) all Taxes, other than Excluded Taxes, imposed on   or with respect to any payment made by or on account of any obligation of any Loan Party under   any Loan Document and (b) to the extent not otherwise described in clause (a), Other Taxes.          “Indemnitee” shall have the meaning assigned to such term in Section 11.03(b).          “Information” shall have the meaning assigned to such term in Section 11.12.          “Initial Borrower” shall have the meaning assigned to such term in the preamble hereto.                                           35   1120544.02G-CHISR02A - MSW  

 

          “Instruments”  shall  mean  all  “instruments,”  as  such  term  is  defined  in  the UCC,  in  which any Person now or hereafter has rights.         “Intellectual Property” shall have the meaning assigned to such term in Section 3.06(a).          “Interbank Rate” shall mean, for any period, the Administrative Agent’s cost of funds   for such period.          “Intercompany  Notes”  shall  mean  one  or  more  promissory  notes  substantially  in  the   form of Exhibit K, or such other form as may be agreed to by the Administrative Agent in its   sole discretion.          “Interest Election Request” shall mean a request by the Borrower to convert or continue   a Borrowing in accordance with Section 2.08(b), substantially in the form of Exhibit E.          “Interest Payment Date” shall mean, (a) with respect to any Borrowing, the last day of  the Interest Period applicable to the Borrowing of which such Loan is a part, and (b) the Maturity  Date.         “Interest Period” shall mean, with respect to any Eurodollar Rate Borrowing or Fallback  Rate  Borrowing,  as  applicable,  the  period  commencing  on  the  date  of  such  Borrowing  and   ending  on  the  numerically  corresponding  day  in  the  calendar  month  that  is  three  months   thereafter, as the Borrower may elect (or any shorter period agreed to in writing by the Required   Lenders); provided, that (a) if any Interest Period would end on a day other than a Business Day,   such  Interest  Period  shall  be  extended  to  the  next  succeeding  Business  Day  unless  such  next   succeeding  Business  Day  would  fall  in  the  next  calendar  month, in  which  case  such  Interest   Period  shall  end  on  the  immediately  preceding  Business  Day,  (b) any  Interest  Period  that   commences  on  the last Business  Day  of  a  calendar  month  (or  on  a  day  for  which there is  no   numerically corresponding day in the last calendar month of such Interest Period) shall end on   the last Business Day of the last calendar month of such Interest Period, (c) the Borrower shall   not select an Interest Period that would extend beyond the Maturity Date, and (d) the Interest   Period for any Credit Extension other than the first Credit Extension shall end on the same day as   the then-current Interest Period in relation to the first Credit Extension under this Agreement. For  purposes hereof, the date of a Borrowing initially shall be the date on which such Borrowing is  made and thereafter shall be the effective date of the most recent conversion or continuation of  such Borrowing.         “Internally  Generated  Cash  Flow”  shall  mean  cash  generated  by  the  Designated   Company  and  its  Restricted  Subsidiaries  in  the  ordinary  course of  business,  and  in  any  event   excluding (i) proceeds of Casualty Events and Asset Sales under Section 6.06(b), (e), (i), (j), (l),   (q), (r) and (s), (ii) proceeds of Indebtedness other than borrowings under the Revolving Credit                                          36   1120544.02G-CHISR02A - MSW  

 

  Facility  and  intercompany  loans from  another  Company  funded  in the  ordinary  course  of  operations (and not from sources otherwise not constituting Internally Generated Cash Flow) and  (iii)  proceeds  of  issuances  of  Equity  Interests  other  than  to  another  Company  funded  in  the  ordinary  course  of  operations  (and  not  from  sources  otherwise  not  constituting  Internally  Generated Cash Flow).         “Interpolated Screen Rate” shall mean, in relation to any Loan, the rate (rounded to the  same  number  of  decimal  places  as  the  two  relevant  Screen  Rates) which results from  interpolating on a linear basis between:         (a)   the applicable Screen Rate for the longest period (for which that Screen Rate is        available) which is less than the Interest Period of that Loan; and         (b)   the applicable Screen Rate for the shortest period (for which that Screen Rate is        available)  which  exceeds  the  Interest  Period  of  that  Loan,  each  as  of  approximately        11:00 a.m.  (London  time)  on  the  date  that  is  two  London  Banking  Days  prior  to  the        commencement of such Interest Period for the currency of that Loan.         “Inventory” shall mean all “inventory,” as such term is defined in the UCC, wherever  located, in which any Person now or hereafter has rights.         “Investment  Recapture  Amount”  shall  have  the  meaning  assigned  to  such  term  in  Section 6.04(r)(iv).          “Investments” shall have the meaning assigned to such term in Section 6.04.         “Irish Companies Act” shall mean the Companies Act, 2014 of Ireland (as amended, re- enacted, varied or otherwise modified from time to time).         “Irish  Guarantor” shall mean each Restricted Subsidiary of the Designated Company  incorporated  in  Ireland  party  hereto  as  a  Guarantor,  and  each  other  Borrower  or  Restricted  Subsidiary  of  the  Designated  Company  incorporated  in  Ireland  that  becomes  a  Guarantor  pursuant to the terms hereof.         “IRS” shall mean the United States Internal Revenue Service.         “Joinder  Agreement”  shall  mean  a  joinder  agreement  substantially  in  the  form  of  Exhibit F,  or  such  other  form  as  may  be  agreed  to  by  the  Administrative  Agent  in  its  sole  discretion.                                          37  1120544.02G-CHISR02A - MSW  

 

          “Joint Venture” shall mean any person (a) that is not a direct or indirect Subsidiary of   Holdings  and  (b)  in  which  the  Designated  Company,  in  the  aggregate,  together  with  its  Subsidiaries, is directly or indirectly, the beneficial owner of 5% or more of any class of Equity  Interests of such person.          “Joint  Venture  Subsidiary”  shall  mean  each  of  (i)  Aluminum  Company  of  Malaysia  Berhard and (ii) any other person that is a Subsidiary in which persons other than Holdings or its   Affiliates own 10% or more of the Equity Interests of such person, excluding, to the extent they   become Restricted Subsidiaries of the Designated Company after the Effective Date, Logan and   Norf GmbH.          “Judgment Currency” shall have the meaning assigned to such term in Section 11.18(a).          “Judgment Currency Conversion Date” shall have the meaning assigned to such term   in Section 11.18(a).          “Junior Secured Indebtedness” shall have the meaning assigned to such term in the  Secured Term Loan Credit Agreement.         “Known Affiliate” of any person shall mean, as to such person, known Affiliates readily  identifiable by name, but excluding any Affiliate (a) that is a bona fide debt fund or investment  vehicle that is primarily engaged in, or that advises funds or other investment vehicles that are  engaged in, making, purchasing, holding or otherwise investing in commercial loans, bonds or  similar  extensions  of  credit  or  securities  in the  ordinary  course  and  with  respect  to  which  the  Disqualified Institution does not, directly or indirectly, possess the power to direct or cause the   direction of the investment policies of such entity or (b) that is a banking or lending institution   engaged in the business of making loans.          “Leases”  shall  mean  any  and  all  leases,  subleases,  tenancies,  options,  concession   agreements, rental agreements, occupancy agreements, franchise agreements, access agreements   and  any  other  agreements  (including  all  amendments,  extensions,  replacements,  renewals,   modifications and/or guarantees thereof), whether or not of record and whether now in existence   or  hereafter  entered  into,  affecting  the  use  or  occupancy  of  all  or  any  portion  of  any  Real   Property.          “Lenders” shall mean (a) each financial institution that is a party hereto on the Effective   Date, and (b) any financial institution that has become a party hereto pursuant to an Assignment   and Assumption, other than, in each case, any such financial institution that has ceased to be a   party  hereto  pursuant  to  an  Assignment  and  Assumption  (excluding,  in  each  case,  any  such   financial institution to the extent it holds no Commitments and all Obligations owing to it have   been paid).                                           38   1120544.02G-CHISR02A - MSW  

 

        “Letter of Comfort” shall mean the letter of comfort, dated on or prior to the Closing  Date, in the form of Exhibit G, from Hindalco to the Administrative Agent and the Lenders.         “Lien” shall mean, with respect to any property, (a) any mortgage (or mandate to vest a  mortgage),  deed  of  trust,  lien,  pledge,  encumbrance,  charge,  assignment,  hypothecation,  prior  claim,  security  interest  or  similar  encumbrance  of  any  kind  or any  arrangement  to  provide  priority or preference in respect of such property or any filing of any financing statement or any  financing change statement under the UCC, the PPSA or any other similar notice of lien under  any  similar  notice  or  recording  statute  of  any  Governmental  Authority  (other  than  any  unauthorized notice or filing filed after the Effective Date for which there is not otherwise any  underlying lien or obligation, so long as the Designated Company is (if aware of same) using  commercially reasonable efforts to cause the removal of same), including any easement, right-of- way  or  other  encumbrance  on  title  to  Real  Property,  in  each  of the  foregoing  cases  whether  voluntary or imposed by law, and any agreement to give any of the foregoing; (b) the interest of  a  vendor  or  a  lessor  under  any  conditional  sale  agreement,  capital  lease  or  title  retention  agreement (or any financing lease having substantially the same economic effect as any of the  foregoing) relating to such property; and (c) in the case of securities, any purchase option, call or  similar right of a third party with respect to such securities.         “Liquidity” shall mean as of any date of determination, the sum of (i) Unrestricted Cash  of the Designated Company and its Restricted Subsidiaries as of such date plus (ii) unutilized  and available commitments under the Revolving Credit Agreement.         “Loan  Documents”  shall  mean  this  Agreement,  the  Contribution,  Intercompany,  Contracting and Offset Agreement, the Subordination Agreement, each English-law Guarantee,  the Notes (if any), each Foreign Guarantee, each Fee Letter, and all other powers of attorney,  consents,  assignments,  certificates,  agreements  or  documents,  whether  heretofore,  now  or  hereafter executed by or on behalf of any Loan Party for the benefit of the Administrative Agent  or any Lender in connection with this Agreement.         “Loan  Parties” shall mean Holdings, the Borrower, the Subsidiary Guarantors and, on  and after the Designated Holdco Effective Date, Designated Holdco.         “Loans” shall mean Term Loans.         “Logan” shall mean Logan Aluminum Inc., a Delaware corporation.         “Logan Location” shall mean the premises of Logan Aluminum Inc., Route 431, North  Russellville, Kentucky 42276.                                          39  1120544.02G-CHISR02A - MSW  

 

          “London  Banking  Day” shall mean any day on which dealings in Dollar deposits are   conducted by and between banks in the London interbank Eurodollar market.         “Management Fees” shall have the meaning assigned to such term in Section 6.08(c)(C).          “Mandated  Lead  Arrangers”  shall  mean ABN  AMRO  Capital  USA  LLC,  Australia  and  New Zealand Banking Group Limited, Axis Bank Limited, Bank of America, N.A., Barclays Bank PLC,  Citigroup Global Markets Asia Limited, Crédit Agricole Corporate and Investment Bank, DBS Bank Ltd.,   Deutsche  Bank  Securities  Inc.,  First  Abu  Dhabi  Bank  USA  N.V.,  HSBC  Securities  (USA)  Inc.,  ICICI   Bank  Limited,  New  York  Branch, ING  Bank  N.V.,  Singapore  Branch,  JPMorgan  Chase  Bank,  N.A.,   Mizuho Bank, Ltd., MUFG Bank, Ltd., Societe Generale, Hong Kong Branch, Standard Chartered Bank,  State Bank of India, and Sumitomo Mitsui Banking Corporation Singapore Branch, in their capacities as  Mandated Lead Arrangers and Bookrunners under this Agreement.         “Margin Stock” shall have the meaning assigned to such term in Regulation U.         “Material  Adverse  Effect”  shall  mean  (a) a  material  adverse  effect  on  the  business,  property,  results  of  operations,  or  financial  condition  of  the Loan  Parties  and  their  Restricted  Subsidiaries, taken as a whole; (b) a  material impairment  of the ability of the Loan Parties to  perform  their  payment  and  other  material  obligations  under  the Loan  Documents;  or  (c) a  material  impairment  of  the  rights  of  or  benefits  or  remedies  available to the Lenders or the  Administrative Agent under the Loan Documents, taken as a whole.         “Material  Indebtedness”  shall  mean  (a)  (i)  Indebtedness  under  the  Revolving  Credit  Loan  Documents  and  any  Permitted  Revolving  Credit  Facility  Refinancings  thereof,  (ii) Indebtedness  under  the  Secured  Term  Loan  Documents  and  any  Permitted  Secured  Term  Loan  Facility  Refinancings  thereof,  (b)  Indebtedness  under  the Senior  Notes,  the  Additional  Senior Secured Indebtedness, the Junior Secured Indebtedness and any Permitted Refinancings  of  any  thereof  in  each  case  in  an aggregate  outstanding  principal  amount  exceeding  $100,000,000  and  (c)  any  other  Indebtedness  (other  than  the  Loans  and  intercompany  Indebtedness  of  the  Companies  permitted  hereunder)  of  the  Loan Parties  in  an  aggregate  outstanding principal amount exceeding $100,000,000.         “Material Subsidiary” shall mean any Subsidiary of the Designated Company that is not   an Immaterial Subsidiary.          “Maturity Date” shall mean the date that is one year after the Closing Date; provided   that if such day is not a Business Day, the Maturity Date shall be the Business Day immediately   succeeding such day.          “Maximum Rate” shall have the meaning assigned to such term in Section 11.14.                                          40   1120544.02G-CHISR02A - MSW  

 

        “Maximum  Revolving  Credit  Facility  Amount”  shall  mean,  at  any  time,  an  amount  equal to the greater of (x) $2,250,000,000 and (y) the Borrowing Base.          “Minimum  Amount”  shall  mean  an  integral multiple  of  $1,000,000  and  not  less  than  $5,000,000.         “Moody’s” shall mean Moody’s Investors Service, Inc.         “Multiemployer  Plan”  shall  mean  a  multiemployer  plan  within  the  meaning  of  Section 4001(a)(3) or Section 3(37) of ERISA (a) to which any Company or any ERISA Affiliate  is then making or accruing an obligation to make contributions; (b) to which any Company or  any  ERISA  Affiliate  has  within  the  preceding  six  plan  years  made  contributions;  or  (c) with  respect to which any Company could incur liability.         “Net Cash Proceeds” shall mean:         (a)   with  respect  to  any  Asset  Sale, the  cash  proceeds  received  by  Holdings,  the  Designated Company or any of its Restricted Subsidiaries (including cash proceeds subsequently  received (as and when received by Holdings, the Designated Company or any of its Restricted  Subsidiaries) in respect of non-cash consideration initially received) net of (without duplication)  (i) selling  expenses  (including  reasonable  brokers’  fees  or  commissions,  legal,  accounting  and  other  professional  and  transactional  fees,  transfer  and  similar  taxes  and  the  Designated  Company’s good faith estimate of income taxes paid or payable in connection with such sale and  repatriation  Taxes  that  are  or  would  be  payable  in  connection  with  any  sale  by  a  Restricted  Subsidiary);  (ii) amounts  provided  as  a  reserve,  in  accordance with  GAAP,  against  (x) any  liabilities under any indemnification obligations associated with such Asset Sale or (y) any other  liabilities retained by Holdings, the  Designated  Company  or  any of its Restricted Subsidiaries  associated with the properties sold in such Asset Sale (provided that, to the extent and at the time  any  such  amounts  are  released  from  such  reserve,  such  amounts  shall  constitute  Net  Cash  Proceeds); (iii) the Designated Company’s good faith estimate of payments required to be made  with  respect  to  unassumed  liabilities  relating  to the  properties sold within ninety (90) days of  such Asset Sale (provided that, to the extent such cash proceeds are not used to make payments  in respect of such unassumed liabilities within ninety (90) days of such Asset Sale, such cash  proceeds shall constitute Net Cash Proceeds); (iv) the principal amount, premium or penalty, if  any,  interest  and  other  amounts  on  any  Indebtedness  for  borrowed  money  (other  than  the  Revolving Credit Loans or the Loans) which is secured by a Lien on the properties sold in such  Asset  Sale  (so  long  as  such  Lien  was  permitted  to  encumber  such  properties  under  the  Loan  Documents at the time of such sale) and which is repaid with such proceeds (other than any such  Indebtedness assumed by the purchaser of such properties); and (v) so long as any Revolving  Credit Loans remain outstanding, the proceeds of any Revolving Credit Priority Collateral (as  defined in the Revolving Credit Loan Documents) of any  Loan Party sold in such Asset Sale  (which  shall  include,  for  the  avoidance  of  doubt,  the  portion  of  the  sale  price  of  the  Equity                                          41  1120544.02G-CHISR02A - MSW  

 

    Interests or all or substantially all of the property, assets or business of any Restricted Subsidiary   of Holdings consisting of the net book value of any such Revolving Credit Priority Collateral);          (b)   with  respect  to  any  Debt  Issuance  or  any  Disqualified  Capital  Stock,  the  cash   proceeds  thereof,  net  of  customary  fees,  commissions,  costs  and  other  expenses  incurred  in   connection therewith;          (c)   with respect to any issuance of Equity Interests (other than Preferred Stock) by  Holdings,  Designated  Holdco,  the  Parent  or  the  Borrower,  the  cash  proceeds  thereof,  net  of  customary fees, commissions, costs and other expenses incurred in connection therewith; and         (d)   with respect to any Casualty Event, the cash insurance proceeds,  condemnation  awards and other compensation received in respect thereof, net of  (i) all  reasonable  costs  and  expenses  incurred  in  connection  with  the  collection  of  such  proceeds,  awards  or  other  compensation in respect of such Casualty Event; and (ii) so long as any Revolving Credit Loans  remain  outstanding,  any  such  cash  insurance  proceeds,  condemnation  awards  and  other  compensation  received  in  respect  of  Revolving  Credit  Priority  Collateral  (as  defined  in  the  Revolving Credit Loan Documents) of any Loan Party to the extent such amounts are required to  be (and are) applied to the repayment of the Revolving Credit Loans pursuant to the terms of the  Revolving Credit Agreement;   provided, however, that Net Cash Proceeds arising from any Asset Sale or Casualty Event by or   applicable to a non-Wholly Owned Subsidiary shall equal the amount of such Net Cash Proceeds   calculated as provided above less the percentage thereof equal to the percentage of any Equity   Interests  of  such  non-Wholly  Owned  Subsidiary  not  owned  by  Holdings,  the  Designated   Company and its Restricted Subsidiaries.          “Net  Working  Capital” shall mean, at any time,  Consolidated Current Assets at such   time minus Consolidated Current Liabilities at such time.           “NKL” shall mean Novelis Korea Limited.          “NKL  Share  Repurchase”  shall  mean  the  repurchase  by  NKL  of  Equity  Interests  of   NKL for cash consideration derived from all or a portion of the proceeds of the Ulsan Share Sale,   which may be structured as a share cancellation, a reduction in par value, a share consolidation   and  reduction  in  share  value,  or  any  other  legal  structure  resulting  in  the  reduction  of  Equity  Interests in NKL in exchange for cash consideration.         “Non-consolidated  Affiliate” shall mean (a) Norf GmbH,  MiniMRF LLC (Delaware),  and  Consorcio  Candonga  (unincorporated  Brazil),  in  each  case  so  long  as  they  are  not  a  Subsidiary of the Designated Company, (b) the Ulsan JV Subsidiary, solely to the extent that                                          42   1120544.02G-CHISR02A - MSW  

 

    (i) such Person is not otherwise included in the consolidated financial results of the Designated   Company and its Restricted Subsidiaries and (ii) the requirement set forth in clause (c)(ii) below  remains true in respect of the Ulsan JV Subsidiary, and (c) any other Person formed or acquired  by the Designated Company or any of its Restricted Subsidiaries, in the case of this clause (c), so  long as (i) such Person is not a Subsidiary of the Designated Company and (ii) the Designated  Company owns, directly or indirectly, Equity Interests in such Restricted Subsidiary representing  at least 50% of the voting power of all Equity Interests entitled (without regard to the occurrence  of any contingency) to vote in the election of the Board of Directors (or equivalent governing  body) of such Person.         “Non-consolidated  Affiliate  Debt”  shall  mean  with  respect  to  the  Non-consolidated   Affiliates, as of any date of determination and without duplication, the Consolidated Total Net   Debt of the Non-consolidated Affiliates and their Subsidiaries (determined as if references to the   Designated Company and the Restricted Subsidiaries in the definition of Consolidated Total Net   Debt were references to Non-consolidated Affiliates and their Subsidiaries).          “Non-consolidated Affiliate EBITDA” shall mean with respect to the Non-consolidated   Affiliates  for  any  period,  the  amount  for  such  period  of  Consolidated  EBITDA  of  such  Non-  consolidated  Affiliates  and  their  Subsidiaries  (determined  as  if  references  to  the  Designated   Company  and  the  Restricted  Subsidiaries  in  the  definition  of  Consolidated  EBITDA  were   references to Non-consolidated Affiliates and their Subsidiaries); provided that Non-consolidated   Affiliate EBITDA shall not include the Non-consolidated Affiliate EBITDA of Non-consolidated  Affiliates if such Non-consolidated Affiliates are subject to a prohibition, directly or indirectly,  on  the  payment  of  dividends  or  the  making  of  distributions,  directly  or  indirectly,  to  the  Designated Company, the Parent or the Borrower, to the extent of such prohibition.         “Non-Guarantor Subsidiary” shall mean each Subsidiary that is not a Guarantor.         “Non-Loan Party Jurisdiction” shall mean each country (including any state, province  or  other  political  subdivision  thereof)  other  than  (i)  the  United  States,  Canada,  the  United  Kingdom, Switzerland and Germany, (ii) any other country in which a Loan Party is organized  and (iii) any state, province or other political subdivision of the foregoing.         “Non-Principal  Jurisdiction”  shall  mean  each  country  in  which  a  Loan  Party  is  organized (and any state, province or other political subdivision thereof) other than (i) the United   States,  Canada,  the  United  Kingdom,  Switzerland,  Belgium,  the  Netherlands  and  Germany,   (ii) any  other  country  in  which  a  Loan  Party  is  organized  in  respect  of  which  Accounts  are   included in the borrowing base for  purposes of the Revolving Credit Agreement  and (iii) any   state, province or other political subdivision of the foregoing clauses (i) and (ii).         “Norf GmbH” shall mean Aluminium Norf GmbH, a limited liability company (GmbH)  organized under the laws of Germany.                                          43   1120544.02G-CHISR02A - MSW  

 

          “Notes”  shall  mean  any  notes  evidencing  the  Terms  Loans  issued  pursuant  to  this   Agreement, if any, substantially in the form of Exhibit I.          “Novelis  Acquisitions”  shall  have  the  meaning  assigned  to  such  term  in  the  preamble   hereto.          “Novelis  AG”  shall  mean  Novelis  AG,  a  stock  corporation  (AG)  organized  under  the   laws of Switzerland.          “Novelis  AG  Cash  Pooling  Agreement”  shall  mean  a  Cash  Management  Agreement   entered into among Novelis AG and certain “European Affiliates” (as identified therein) dated  1 February 2007, together with all ancillary documentation thereto.         “Novelis  Inc.”  shall  mean  Novelis  Inc.,  a  corporation  amalgamated  under  the Canada  Business Corporations Act.         “Novelis Switzerland” shall mean Novelis Switzerland SA, a company organized under  the laws of Switzerland.         “Obligation  Currency”  shall  have  the  meaning  assigned  to  such  term  in  Section 11.18(a).          “Obligations”  shall  mean  (a) obligations  of  the  Borrower  and  the  other  Loan  Parties   from time to time arising under or in respect of the due and punctual payment of (i) the principal   of and premium, if any, and interest (including interest accruing (and interest that would have   accrued  but  for  such  proceeding)  during  the  pendency  of  any  bankruptcy,  insolvency,   receivership  or  other  similar  proceeding,  regardless  of  whether  allowed  or  allowable  in  such   proceeding) on the Loans, when and as due, whether at maturity, by acceleration, upon one or   more dates set for prepayment or otherwise and (ii) all other monetary  obligations,  including   obligations  under  the  Guarantees  and  fees,  costs,  expenses  and indemnities,  whether  primary,   secondary, direct, contingent, fixed or otherwise (including monetary obligations incurred during   the pendency of any bankruptcy, insolvency, receivership or other similar proceeding, regardless   of whether allowed or allowable in such proceeding), of the Borrower and the other Loan Parties   under this Agreement and the other Loan Documents, and (b) the due and punctual performance   of  all  covenants,  agreements,  obligations  and  liabilities  of  the  Borrower  and  the  other  Loan   Parties under or pursuant to this Agreement and the other Loan Documents.          “OFAC” shall have the meaning assigned to such term in Section 3.22.                                           44   1120544.02G-CHISR02A - MSW  

 

          “Officer’s Certificate” shall mean a certificate executed by a Responsible Officer in his   or her official (and not individual) capacity.          “Organizational Documents” shall mean, with respect to any person, (i) in the case of  any  corporation,  the certificate  of  incorporation  and  by-laws  (or  equivalent  or  comparable  constitutional  documents  with  respect  to  any  non-U.S.  jurisdiction)  of  such  person,  (ii) in  the  case of any limited liability company, the certificate of formation and operating agreement (or  similar documents) of such person, (iii) in the case of any limited partnership, the certificate of  formation and limited partnership agreement (or similar documents) of such person, (iv) in the  case of any general partnership, the partnership agreement (or similar document) of such person  and (v) in any other case, the functional equivalent of the foregoing.         “Other  Connection  Taxes” shall mean, with respect to the Administrative Agent, any  Lender or any other recipient of any payment to be made by or on account of any obligation of  the Borrower hereunder, Taxes imposed as a result of a present or former connection between  such recipient and the jurisdiction imposing such Tax (other than connections arising from such  recipient  having  executed,  delivered,  become  a  party  to,  performed  its  obligations  under,  received payments under, received or perfected a security interest under, engaged in any other  transaction pursuant to or enforced any Loan Document, or sold or assigned an interest in any  Loan or Loan Document).         “Other Taxes” shall mean all present or future stamp, recording, court or documentary,  excise,  transfer,  sales,  property,  intangible,  filing  or  similar  Taxes  arising  from  any  payment  made hereunder or under any other Loan Document or from the execution, delivery, performance,  enforcement  or  registration  of,  from  the  receipt  or  perfection of  a  security  interest  under,  or  otherwise with respect to, this Agreement or any other Loan Document, except any such Taxes  that  are  Other  Connection  Taxes  imposed  with  respect  to  an  assignment  (other  than  an  assignment made pursuant to Section 2.16(c)).          “Parent”  shall  have  the  meaning  assigned  to  such  term  in  the  preamble hereto  or,   following the Permitted Holdings Amalgamation, Successor Parent.           “Participant” shall have the meaning assigned to such term in Section 11.04(d).          “Participant Register” shall have the meaning assigned to such term in Section 11.04(c).          “Participating  Member  States”  shall  mean  the  member  states  of  the  European   Communities that adopt or have adopted the euro as their lawful currency in accordance with the   legislation of the European Union relating to European Monetary Union.          “Party” shall mean any party to this Agreement.                                          45   1120544.02G-CHISR02A - MSW  

 

          “Patriot Act” shall have the meaning assigned to such term in Section 11.13.          “PBGC” shall mean the Pension Benefit Guaranty Corporation referred to and defined in   ERISA.          “Pensions  Regulator”  shall  mean  the  body  corporate called  the  Pensions  Regulator  established under Part I of the Pensions Act 2004.         “Permitted ABL Customer Account Financing Amendment” shall have the meaning   assigned to such term in Section 1.10.          “Permitted Acquisition” shall mean any Acquisition, if each of the following conditions  is met:               (i)   no Default is then continuing or would result therefrom;               (ii)  no  Company  shall,  in  connection with  any  such  transaction,  assume  or        remain liable with respect to any Indebtedness of the related seller or the business, person        or properties acquired, except to the extent permitted under Section 6.01, and any other         such Indebtedness not permitted to be assumed or otherwise supported by any Company         hereunder shall be paid in full or released as to the business, persons or properties being         so acquired on or before the consummation of such acquisition;                (iii) the person or business to be acquired shall be, or shall be engaged in, a         business  of  the  type  that  the  Loan  Parties  and  the  Subsidiaries  are  permitted  to  be         engaged in under Section 6.15, and the person or business and any property acquired in         connection  with  any  such  transaction  shall  be  free  and  clear  of  any  Liens,  other  than         Permitted Liens;                (iv)  the  Board  of  Directors  of  the  person  to  be  acquired  shall  not  have         indicated  publicly  its  opposition  to  the  consummation  of  such  acquisition  (which         opposition has not been publicly withdrawn);                (v)   all  transactions  in  connection  therewith  shall  be  consummated  in  all         material respects in accordance with all applicable Requirements of Law;                (vi)  with  respect  to  any  transaction involving  Acquisition  Consideration  of         more  than  $50,000,000,  unless  the  Administrative  Agent  shall  otherwise  agree,  the         Designated Company shall have provided the Administrative Agent written notice on or         before  the  consummation  of  such  transaction,  which  notice  shall  describe  (A)  in         reasonable detail the terms and conditions of such transaction and the person or business         to be acquired and (B) all such other information and data relating to such transaction or        the  person  or  business  to  be  acquired  as  may  be  reasonably  requested  by  the        Administrative Agent;                                          46   1120544.02G-CHISR02A - MSW  

 

              (vii) any person acquired in connection with any such transaction shall become        a Guarantor to the extent required under, and within the relevant time periods provided in,        Section 5.11;               (viii) with respect to any transaction involving Acquisition Consideration that,        when added to the fair market value of Equity Interests, including  Equity  Interests  of        Holdings,  constituting  purchase  consideration,  exceeds  $50,000,000,  the  Designated        Company shall have delivered to the Administrative Agent an Officers’ Certificate on or        prior  to  the  consummation  of  such  transaction  certifying  that  (A) such  transaction        complies with this definition and (B) such transaction could not reasonably be expected        to result in a Material Adverse Effect;                (ix)  [intentionally omitted];               (x)   if  any  Person  so  acquired  (or  any Subsidiary  of  such  Person)  is  not       required to become a Loan Party pursuant to Section 5.11, the Acquisition Consideration        payable for such Person (or the portion thereof attributable or allocated by the Designated        Company in good faith to each such Subsidiary) in connection with such Acquisition, and       all other Acquisitions of non-Loan Parties consummated after the Effective Date shall not,       unless,  on  the  date  of  such  Acquisition,  the  Senior  Secured  Net  Leverage  Ratio,       determined  on  a  Pro  Forma  Basis,  after  giving  effect  to  such  Acquisition  shall  be  no       greater  than  3.00  to  1.00  determined  on  the  basis  of  the  financial  information  most       recently  delivered  to  the  Administrative  Agent  and  the  Lenders pursuant  to       Section 5.01(a) or (b) as though such Acquisition had been consummated as of the first        day  of  the  fiscal  period  covered  thereby,  exceed  an  amount  equal to the greater of        (x) 2.0%  of  Consolidated  Net  Tangible  Assets  and  (y)  $100,000,000  in  the  aggregate        since the Effective Date (provided that such amounts can be exceeded to the extent of        Investments made pursuant to Section 6.04(r));                (xi)  immediately  after  giving  effect  to  such  Acquisition  (other  than        Acquisitions  where  the  amount  of  the  Acquisition  Consideration plus  the  fair  market        value of any Equity Interests which constitutes all or a portion of the purchase price is        less  than  $15,000,000),  the  Designated  Company  shall,  on  a  Pro Forma  Basis,  be  in        compliance with the Financial Performance Covenant, such compliance to be determined        on  the  basis  of  the  financial information  most  recently  delivered  to the  Administrative        Agent  and  the  Lenders  pursuant  to  Section 5.01(a)  or  (b)  (or  for  periods  prior  to  the        delivery of such financial information for a four fiscal quarter period, based on financial        information filed with the United States Securities and Exchange Commission) as though        such Acquisition and all other Specified Transactions consummated after the applicable        four  quarter  period  and  on  or  prior  to  the  relevant  date  of  determination  had  been       consummated as of the first day of the fiscal period covered thereby;               (xii) with  respect  to  any  transaction involving  Acquisition  Consideration  of       more than $50,000,000, the Designated Company shall have delivered a certificate from a       Financial Officer of the Designated Company on or prior to the consummation of such       transaction (A) as to the matters set forth in clause (i) above and (B) demonstrating its        compliance with clause (xi) above, and (C) to the extent the person so acquired is not                                         47  1120544.02G-CHISR02A - MSW  

 

        required  to  become  a  Loan  Party  hereunder  pursuant  to  Section  5.11,  demonstrating        compliance  with  clause  (x)  above,  and  in  each  case  accompanied by  compliance        calculations in reasonable detail.         “Permitted  Aleris  Foreign  Subsidiary  Transfer”  shall  mean,  on  or  after  the  Aleris  Acquisition Closing Date:                     (a)   the sale, Distribution, contribution or other transfer of the Equity  Interests in any Subsidiary of Aleris organized in a jurisdiction outside of the United States of  America (each, a “Transferred Aleris Foreign Subsidiary”) (x) from a Loan Party to any Loan  Party other than Aleris or any Subsidiary of Aleris (and any substantially concurrent interim sale,  Distribution, contribution or other transfer of such Equity Interests to a Loan Party (which may  include  Aleris  or  any  Restricted  Subsidiary  of  Aleris)  to  effect  such  sale,  Distribution,  contribution  or  transfer)  or  (y)  in  the  case  of  Equity  Interests  in  an  entity  that  would  not  be  required to become a Loan Party pursuant to the terms hereof after giving effect to such transfer,  from  a  Loan  Party  to  any  other  Company  (other  than  Aleris  or  any  Subsidiary  of  Aleris)  organized in the same jurisdiction as the issuer of such Equity Interests (it being agreed, for this  purpose, that Hong Kong and the People’s Republic of China are the same jurisdiction so long as  an  entity  organized  under  the  laws  of  Hong  Kong  would  not  be  a Subsidiary  of  an  entity  organized under the laws of the People’s Republic of China after giving effect to such transfer)  (and any substantially concurrent interim sale, Distribution, contribution or other transfer of such  Equity  Interests  to  a  Loan  Party  (which  may  include  Aleris  or  any  Restricted  Subsidiary  of  Aleris) to effect such sale, Distribution, contribution or transfer); and                     (b)   if applicable in connection with any of the transactions described  in clause (a) above, as consideration for such sale, Distribution, contribution or other transfer of  such Equity Interests, the issuance of one or more Intercompany Notes to the Loan Party that  sold, Distributed, contributed or otherwise transferred such Equity Interests;   provided that:                      (i)  any such sale, Distribution, contribution or other transfer of such  Equity Interests shall occur within one year of the Aleris Acquisition Closing Date (or such later  date  agreed  by  the  Administrative  Agent);  provided  that  any  Intercompany  Note  issued  in  connection therewith shall be issued substantially concurrently with the consummation of such  sale, Distribution, contribution or other transfer of such Equity Interests;                     (ii)  [intentionally omitted];                     (iii) the obligations under each Intercompany Note in connection with  any step of a Permitted Aleris Foreign Subsidiary Transfer shall be subordinated to the Secured                                         48  1120544.02G-CHISR02A - MSW  

 

    Obligations (to the extent evidencing a payment obligation of a Loan Party) on terms reasonably   satisfactory  to  the  Administrative  Agent  and  shall  constitute  Subordinated  Indebtedness   hereunder, and if such Intercompany Note is received by a Company that is not a Loan Party,   other than in the case of an Intercompany Note issued by another Company that is not a Loan   Party,  on  a  Pro  Forma  Basis  after  giving  effect  to  and  at  the  time  of  the  issuance  of  such   Intercompany Note, the Consolidated Interest Coverage Ratio shall be greater than 2.0 to 1.0;   and                      (iv)  any  sale,  Distribution,  contribution  or  other  transfer  of  Equity  Interests  of  a  Transferred  Aleris  Foreign  Subsidiary  to  a  Restricted  Grantor  (other  than  a  Transferred Aleris Foreign Subsidiary transferred to a Restricted Grantor organized in the same  jurisdiction  as  the  Transferred Aleris  Foreign  Subsidiary)  shall  be  conditioned  on  either  the  creation of a newly formed Unrestricted Grantor or the existence of an Unrestricted Grantor, in  each case that (A) is directly 100% owned by such Restricted Grantor and that directly owns  100%  of  such  Transferred  Aleris  Foreign  Subsidiary  after  giving  effect  to  such  transaction,  (B) has complied with the Joinder Requirements and (C) shall not be permitted to own, on and  after the date of such action, any assets other than the Permitted Holding Company Assets.         “Permitted Customer Account Financing Amendment Conditions” shall mean, with  respect to each amendment to the definition of Permitted Customer Account Financing effected  pursuant to Section 1.10, each of the following:          (a)   Holdings  or  the  Designated  Company  shall  have  executed  and delivered  a   certificate to the Administrative Agent, no later than two Business Days after the date that any   Permitted  ABL  Customer  Account  Financing  Amendment  becomes  effective,  attaching  a   certified copy of such Permitted ABL Customer Account Financing Amendment, and certifying   that the terms of such Permitted ABL Customer Account Financing Amendment comply with the   requirements set forth in clauses (b) through (d) below;          (b)   the  terms  of  such  amendment  shall  not  expand  the  scope  of  the  collateral  permitted  to  be  released  under  the Revolving Credit  Loan  Documents  in  connection  with  any  Permitted Customer Account Financing, which collateral shall be limited to Factoring Assets that  are  sold  in  connection  with  (or  that  otherwise  secure)  such  Permitted  Customer  Account  Financing, it being understood that factoring additional Accounts of additional Account Debtors  shall not constitute an expansion of the scope for purposes of this clause (b);         (c)    such amendment shall relate solely to the factoring of Accounts of customers of  the Loan Parties in connection with a Permitted Customer Account Financing, and the creation  of Liens on Factoring Assets that secure such Permitted Customer Account Financing; and         (d)    such amendment shall not otherwise adversely affect the Credit Parties.                                           49   1120544.02G-CHISR02A - MSW  

 

          “Permitted Customer Account Financing” shall mean a financing or other transaction   of the type permitted by Section 6.01(e) or 6.06(e) with respect to Accounts of one or more Loan   Parties; provided that (i) no Default exists or would result therefrom and the representations and   warranties set forth in the Loan Documents shall be true and correct in all material respects on   and as of the date thereof (or, in the case of any representation or warranty that is qualified as to  materiality, “Material Adverse Effect” or similar language, in all respects), with the same effect  as though made on such date, except to the extent such representations and warranties expressly  relate to an earlier date, in which case such representation and warranty shall have been true and  correct in all material respects (or, in the case of any representation or warranty that is qualified  as to materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier  date, (ii) the number of Account Debtors whose Accounts are at any time subject to Permitted  Customer  Account  Financings  shall  be  limited  to  seven;  provided  that  all  Affiliates  of  an  Account Debtor shall be deemed to be a single Account Debtor for purposes of this definition,  and (iii) Accounts subject to a Permitted Customer Account Financing must be capable of being  fully segregated from other Accounts (including with respect to accounts receivable reporting,  purchase orders, invoicing, and payments); provided, further, that notwithstanding any provision   of  Section  11.02,  the  Administrative  Agent  is  hereby  authorized  by  the  Lenders  to  make  any   amendments  to  the  Loan  Documents  that  are  necessary  or  appropriate  in  the  judgment  of  the   Administrative Agent to reflect such Permitted Customer Account Financing.          “Permitted Factoring Facility” shall mean a sale of Receivables on a discounted basis   by any Company, so long as (i) no Loan Party has any obligation, contingent or otherwise in   connection with such sale (other than to deliver the Receivables purported to be sold free and   clear of any encumbrance and other than as permitted by Section 6.04(n)), and (ii) such sale is   for cash and fair market value.          “Permitted  First  Priority  Refinancing  Debt”  shall  mean  any  secured  Indebtedness   incurred by any Loan Party in the form of one or more series of senior secured notes under one   or more indentures; provided that (i) [intentionally omitted], (ii) such Indebtedness constitutes   Secured  Term  Loan  Credit  Agreement  Refinancing  Indebtedness  in respect  of  Secured  Term   Loans, (iii) such Indebtedness does not mature or have scheduled amortization or payments of  principal and is not subject to mandatory redemption or prepayment (except customary asset sale  or  change  of  control  provisions, which  asset  sale  provisions  may  require  the  application  of  proceeds of asset sales and casualty events co-extensive with those set forth in the Secured Term  Loan Documents to make mandatory prepayments or prepayment offers out of such proceeds on  a  pari  passu  basis  with  the  obligations  secured  under  the  Secured  Term  Loan  Documents,  all   other Permitted First Priority Refinancing Debt and all Additional Senior Secured Indebtedness),   in  each  case  prior  to  the  date  that  is  181  days  after  the  Maturity  Date  at  the  time  such   Indebtedness is incurred, (iv) [intentionally omitted], (v) such Indebtedness is not guaranteed by   any Persons other than the Loan Parties, (vi) the other terms and conditions of such Indebtedness   (excluding pricing, premiums and optional prepayment or optional redemption provisions, and   terms related to collateral and perfection) are customary market terms for securities of such type   (provided that such terms shall in no event include any financial maintenance covenants) and, in   any event, when taken as a whole, are not materially more favorable to the investors providing   such Indebtedness than the terms and conditions of the applicable Refinanced Debt (except with                                          50   1120544.02G-CHISR02A - MSW  

 

    respect to any terms (including covenants) and conditions contained in such Indebtedness that   are  applicable  only  after  the  then  Maturity  Date)  (provided  that  a  certificate  of  a  Responsible   Officer delivered to the Administrative Agent at least five Business Days prior to the incurrence   of such Indebtedness, together with a reasonably detailed description of the material terms and   conditions of such Indebtedness or drafts of the documentation relating thereto, stating that the   Designated  Company  has  determined  in  good  faith  that  such  terms  and  conditions  satisfy  the   requirement of this clause (vi) shall be conclusive evidence that such terms and conditions satisfy   such requirement unless the Administrative Agent notifies the Designated Company within such   five  Business  Day  period  that  it  disagrees  with  such  determination  (including  a  reasonable   description of the basis upon which it disagrees)), and (vii) no Default shall exist immediately   prior to or after giving effect to such incurrence. Permitted First Priority Refinancing Debt will   include any Registered Equivalent Notes issued in exchange therefor.         “Permitted Fiscal Unity Liability” shall mean any joint and several liability arising as a  result of an Loan Party being a member of a fiscal unity permitted under Section 3.31.          “Permitted German Alternative Financing” shall mean a financing or other transaction   of the type permitted by Section 6.01(e), 6.01(m), 6.06(e), or 6.06(r) with respect to Accounts or   Inventory of one or more German Guarantors; provided that (i) no Default exists or would result   therefrom and the representations and warranties set forth in the Loan Documents shall be true   and correct in all material respects on and as of the date thereof, with the same effect as though   made on such date, except to the extent such representations and warranties expressly relate to an   earlier  date,  (ii)  from  and  after  the  date  of  any  Permitted  German  Alternative  Financing,  the   amount of the German Borrowing Base (as defined in the Revolving Credit Agreement) shall be   deemed to be zero, and availability under the Swiss Borrowing Base (as defined in the Revolving   Credit  Agreement)  in  respect  of  Accounts  sold  pursuant  to  a  German  Receivables  Purchase   Agreement  shall  be  deemed  to  be  zero,  (iii)  on  or  prior  to  the date  of  any  Permitted  German   Alternative Financing, Novelis Deutschland GmbH shall have prepaid all of its outstanding loans   under  the  Revolving  Credit  Agreement  in  full  in  cash,  in  accordance with the terms thereof,   (iv) from  and  after  the  date  of  any  Permitted  German  Alternative  Financing,  Novelis   Deutschland GmbH shall not be permitted to request or borrow any loans under the Revolving   Credit  Agreement  and  shall  be  deemed  no  longer  to  be  a  borrower  thereunder,  and  (v)  the   applicable Loan Parties shall have terminated the German Receivables Purchase Agreement; and   provided, further, that notwithstanding any provision of Section 11.02, the Administrative Agent   is hereby authorized by the Lenders to make any amendments to the Loan Documents that are   necessary or appropriate in the judgment of the Administrative Agent to reflect such Permitted   German Alternative Financing.          “Permitted Holding Company Assets” shall mean for any Person (i) Deposit Accounts;   provided that the aggregate amount on deposit in such accounts at the end of each day shall not   exceed $1,000,000 (or the equivalent thereof); provided, further, that, so long as no Default is   then  continuing,  the  amount  on  deposit  in  such  accounts  may  exceed  such  amount  if  such   deposits are applied to settle an Investment permitted under Section 6.04 within three Business   Days of the deposit therein, (ii) Equity Interests in Subsidiaries, (iii) intangible rights required to                                          51   1120544.02G-CHISR02A - MSW  

 

    exist and do business as a holding company, and (iv) rights under contracts and licenses with   Holdings and its Subsidiaries permitted hereunder; provided, that Permitted Holding Company   Assets shall not include (x) any Intellectual Property (other than customary inbound licenses to   use Intellectual Property of the Companies necessary to operate the business of such Person) or   (y)  any  other  contracts  or  licenses  that  are  material  to  the  business  of  Holdings  and  its   Subsidiaries, taken as a whole.          “Permitted Holdings Amalgamation” shall mean the amalgamation of Holdings and the  Parent on a single occasion following the Effective Date; provided that (i) no Default exists or   would result therefrom and the representations and warranties set forth in the Loan Documents   shall be true and correct in all material respects on and as of the date of the amalgamation, with   the  same  effect  as  though  made  on  such  date,  except  to  the  extent  such  representations  and   warranties expressly relate 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), (ii) the person resulting  from  such  amalgamation  shall  be  a  corporation  amalgamated  under  the  Canada  Business  Corporations  Act  (such  resulting  person,  the  “Successor  Parent”),  and  the  Successor  Parent  shall expressly assume and confirm its obligations as Parent under this Agreement and the other   Loan Documents to which Parent is a party pursuant to a confirmation in form and substance   reasonably  satisfactory  to  the  Administrative  Agent,  (iii)  immediately  upon  consummation  of   such amalgamation, (x) if such amalgamation occurs prior to the Designated Holdco Effective   Date, AV Minerals, or (y) if such amalgamation occurs prior to the Designated Holdco Effective   Date and prior to the commencement of the Permitted Reorganization, a new holding company   with no material assets other than Equity Interests in the Successor Parent (such Person described  in  clause  (x)  or  (y),  “Successor  Holdings”),  shall  (A)  be,  (1)  in  the  case  of  AV  Minerals,  organized under the laws of the Netherlands, or (2) in the case of any other holding company,   organized  under  the  laws  of  the Netherlands,  England  and  Wales,  Canada,  or  a  province  or  territory  of  Canada,  (B) directly  own  100%  of  the  Equity  Interests  in  the  Successor  Parent;   provided that, if such amalgamation occurs on or after the Designated Holdco Effective Date,  then Designated Holdco shall directly own 100% of the Equity Interests in the Successor Parent  and  Successor  Holdings  shall  own  100%  of  the  Equity  Interests  of  Designated  Holdco,  and  (C) execute  a  supplement  or  joinder  to  this  Agreement  in  form  and  substance  reasonably   satisfactory  to  the  Administrative  Agent  to  become  a  Guarantor and,  if  requested  by  the   Administrative  Agent,  execute  a  Foreign  Guarantee  (or  supplements  or  joinder  agreements   thereto),  each  in  form  and  substance  reasonably  satisfactory  to  the  Administrative  Agent,  and   take all actions necessary or advisable in the opinion of the Administrative Agent to assume and   confirm  such  Person’s  obligations  as  Holdings  under  this  Agreement  and  the  other  Loan   Documents, (iv) be in compliance with all covenants and obligations of Holdings (and, on and   after  the  Designated  Holdco  Effective  Date,  Designated  Holdco) under  this  Agreement,   (v) immediately after giving effect to any such amalgamation, the Senior Secured Net Leverage   Ratio  is  not  greater  than  the  Senior  Secured  Net  Leverage  Ratio  immediately  prior  to  such   amalgamation, which shall be evidenced by a certificate from the chief financial officer of the   Designated Company  demonstrating  such  compliance  calculation  in  reasonable  detail,  (vi)  the   Successor  Parent  shall  have  no  Indebtedness  after  giving  effect  to  the  Permitted  Holdings   Amalgamation  other  than  Indebtedness  of  the  Parent  in  existence  immediately  prior  to  the  consummation of the Permitted Holdings Amalgamation, (vii) each other Guarantor, shall have  by  a  confirmation  in  form  and  substance  reasonably  satisfactory  to  the  Administrative  Agent,                                          52   1120544.02G-CHISR02A - MSW  

 

    confirmed that its guarantee of the Guaranteed Obligations (including its Guarantee) shall apply   to  the  Successor  Parent’s  obligations  under  this  Agreement,  (viii)  the  Parent  and  each  other  Guarantor  shall  have  by  confirmations  and  any  required  supplements  to  the  applicable  Loan  Documents  reasonably  requested  by the  Administrative  Agent,  in each  case,  in  form  and  substance  reasonably  satisfactory to  the  Administrative  Agent, confirmed  that  its  obligations  thereunder  shall  apply  to  the  Borrower’s  and  Successor  Parent’s  obligations  under  this  Agreement  and  the  other  Loan  Documents  and  (ix)  each  Loan  Party  shall  have  delivered  opinions of counsel and related officers’ certificates reasonably requested by the Administrative  Agent with respect to the execution and delivery and enforceability of the documents referred to  above  and  the  compliance  of  such  amalgamation  with  the  provisions  hereof,  and  all  such  opinions of counsel shall be satisfactory to the Administrative Agent; and provided, further, that   (x)  if  the  foregoing  are  satisfied,  Successor  Holdings  will  be substituted  for  and  assume  all   obligations of AV Metals under this Agreement and each of the other Loan Documents and all   references hereunder and under the other Loan Documents to Holdings shall be references to the   such  Person  and  (2) the  Successor  Parent  shall  be  substituted  for  Novelis  Inc.  under  this   Agreement and each of the other Loan Documents and shall assume all obligations of Novelis   Inc. under this Agreement and each of the other Loan Documents and all references hereunder   and under the other Loan Documents to the Parent shall be references to the Successor Parent   and  (y) notwithstanding  any  provision  of  Section 11.02,  the  Administrative  Agent  is  hereby   authorized by the Lenders to make any amendments to the Loan Documents that are necessary to   reflect such changes in the parties to the applicable Loan Documents.          “Permitted  Holdings  Indebtedness”  shall  mean  unsecured  Indebtedness  of  Holdings  (i) with respect to which neither the Designated Company nor any Subsidiary has any Contingent  Obligation, (ii) that will not mature prior to the 180th day following the Maturity Date, (iii) that   has no scheduled amortization of principal prior to the 180th day following the Maturity Date,   (iv) that  does  not  require  any  payments  in  cash  of  interest  or other  amounts  in  respect  of  the  principal  thereof  (other  than  optional  redemption  provisions  customary  for  senior  discount  or  “pay-in-kind” notes) for a number of years from the date of issuance or incurrence thereof equal  to  at  least  one-half  of  the  term  to  maturity  thereof,  (v)  that has  mandatory  prepayment,  repurchase  or  redemption,  covenant,  default  and  remedy  provisions  customary  for  senior  discount or “pay-in-kind” notes of an issuer that is the parent of a borrower under senior secured  credit  facilities  and  (vi)  that  is  issued  to  a  person  that  is  not  an  Affiliate  of  the  Designated  Company or any of Holdings’ Subsidiaries in an arm’s-length transaction on fair market terms;  provided  that  at  least  five  Business  Days  prior  to  the  incurrence  of  such  Indebtedness,  a   Responsible Officer of Holdings shall have delivered a certificate to the Administrative Agent   (together  with  a  reasonably  detailed  description  of  the  material  terms  and  conditions  of  such   Indebtedness  or  drafts  of  the  documentation  relating  thereto)  stating  that  Holdings  has   determined in good faith that such terms and conditions satisfy the foregoing requirements.          “Permitted Liens” shall have the meaning assigned to such term in Section 6.02.          “Permitted Novelis Switzerland Financing” shall mean a financing or other transaction   of  the  type  permitted  by  Section  6.01(e)  or  6.06(e)  with  respect  to  any  Accounts  of  Novelis                                          53   1120544.02G-CHISR02A - MSW  

 

  Switzerland;  provided  that  (i)  after  giving  effect  to  such  financing,  no  Accounts  of  Novelis  Switzerland  shall  be  included  in  the  borrowing  base  for  purposes  of  the  Revolving  Credit  Agreement,  and  (ii)  no  Default  exists  or  would  result  therefrom  and  the  representations  and  warranties set forth in the Loan Documents shall be true and correct in all material respects on  and as of the date thereof, with the same effect as though made on such date, except to the extent  such representations and warranties expressly relate to an earlier date and provided, further, that  notwithstanding any provision of Section 11.02, the Administrative Agent is hereby authorized  by  the  Lenders  to  make  any  amendments  to  the  Loan  Documents  that  are  necessary  or  appropriate  in  the  judgment  of  the  Administrative  Agent  to  reflect  such  Permitted  Novelis  Switzerland Financing.          “Permitted  Refinancing”  shall  mean,  with  respect  to any  person,  any  refinancing  or  renewal of any Indebtedness of such person; provided that (a) the aggregate principal amount (or  accreted  value,  if  applicable)  of  the  Indebtedness  incurred  pursuant  to  such  refinancing  or  renewal does not exceed the aggregate principal amount (or accreted value, if applicable) of the  Indebtedness so refinanced or renewed except by an amount equal to unpaid accrued interest and  premium  thereon  and  any  make-whole  payments  applicable  thereto plus  other  reasonable  amounts paid, and fees and expenses reasonably incurred, in connection with such refinancing or  renewal  and  by  an  amount  equal  to  any  existing  commitments  unutilized  thereunder  (it  being  understood  that  the  aggregate  principal  amount  (or  accreted  value,  if  applicable)  of  the  Indebtedness being incurred may be in excess of the amount permitted under this clause (a) to  the extent such excess does not constitute a Permitted Refinancing and is otherwise permitted  under Section 6.01), (b) such refinancing or renewal has a final maturity date equal to or later  than the final maturity date of, and has a Weighted Average Life to Maturity equal to or greater  than the Weighted Average Life to Maturity of, the Indebtedness being refinanced or renewed  (excluding the effects of nominal amortization in the amount of no greater than one percent per  annum  and  prepayments  of  Indebtedness),  (c)  no  Default  is  then continuing  or  would  result  therefrom, (d) the persons that are  (or  are  required  to  be)  obligors  under  such  refinancing  or  renewal  do  not  include  any  person  that  is  not  (or  is  not  required  to  be)  an  obligor  under  the  Indebtedness being so refinanced or renewed (or, in the case of a Permitted Refinancing of the  Senior  Notes,  such  obligors  are Loan  Parties  (other than Holdings))  and  (e)  the  subordination  provisions thereof (if any) shall be, in the aggregate, no less favorable to the Lenders than those  contained  in  the  Indebtedness  being  so  refinanced  or  renewed;  provided  that  at  least  five  Business Days prior to the incurrence of such refinancing or renewal, a Responsible Officer of  the  Designated  Company  shall  have  delivered  an  Officers’  Certificate  to  the  Administrative  Agent (together with a reasonably detailed description of the material terms and conditions of  such Indebtedness or drafts of the documentation relating thereto) certifying that the Designated  Company  has  determined  in  good  faith  that  such  terms  and  conditions  satisfy  the  foregoing  requirements.         “Permitted Reorganization” shall mean, at any time prior to a Qualified Parent IPO, an  internal  reorganization  of  Holdings  and  its  Subsidiaries  to  effect  any  or  all  of  the  Permitted  Reorganization  Actions,  subject to  the  following  terms  and  conditions;  provided  that  the  Permitted  Reorganization  shall  not occur  if  the  Permitted Holdings  Amalgamation  occurs  and  AV Minerals is not Successor Holdings:                                         54  1120544.02G-CHISR02A - MSW  

 

        (a)   both immediately before and immediately after giving effect to each step of the  Permitted Reorganization, and at all times during the Permitted Reorganization:              (i)   the Permitted Reorganization, each Permitted Reorganization Action, and                   each step taken in furtherance of the Permitted Reorganization and of each                   Permitted Reorganization Action, shall not reduce or impair the value or                   benefit of the Guarantee or any Foreign Guarantee; provided that the re-                   starting  of  any  fraudulent  conveyance,  fraudulent  transfer,  preference  or                    hardening  period  with  respect  to  any  Guarantee  or  Foreign  Guarantee                    under applicable Requirements of Law;               (ii)  no  Default  shall  have  occurred  and  be  continuing  or  would  result                    therefrom,  and  each  of  the  representations  and  warranties  made by  any                    Loan Party set forth in ARTICLE III  hereof  or  in  any  other  Loan                    Document shall be true and correct in all material respects on and as of the                    date of such step of the Permitted Reorganization with the same effect as                    though  made  on  and  as  of  such  date,  except  to  the  extent  such                    representations and warranties expressly relate to an earlier date, in which                    case such representations and warranties shall have been true and correct                    in all material respects as of such earlier date, and a Responsible Officer of                    the Designated Company (after giving effect to such step of the Permitted                    Reorganization) shall have provided an Officer’s Certificate certifying as                    to the matters in clause (a)(i) and this clause (a)(ii);               (iii) [intentionally omitted];               (iv)  [intentionally omitted];               (v)   the Guarantee and each Foreign Guarantee shall continue to be effective                    and fully enforceable in accordance with its terms, it being understood that                    a Loan Party shall not be in violation of this clause (v) solely as a result of                    its  amalgamation,  consolidation,  merger  or  dissolution  with  and  into                    another Loan Party so long as such amalgamation, consolidation or merger                    complies with the requirements of Section 6.05(c); and               (vi)  notwithstanding the foregoing, the Administrative Agent may reasonably                    require  that  any  Loan  Party  enter  into  a  new  Guarantee  or  Foreign                   Guarantee, as applicable, or reaffirmations of any of the foregoing, in each                   case in form and substance reasonably satisfactory to the Administrative                   Agent,  in  connection  with  any  step  of  the  Permitted  Reorganization,  in                   order  to  reaffirm,  preserve  or  otherwise  give  effect  to  the  foregoing                   requirements;                                         55  1120544.02G-CHISR02A - MSW  

 

          (b)   [intentionally omitted];          (c)   the  Borrower  or  the  Designated  Company  shall  have  provided  all notices  and   certificates  required  to  be  delivered,  within  the  time  period  required  to  be  delivered,  to  the   Administrative Agent under the applicable Loan Documents in order to consummate each step of   the  Permitted  Reorganization;  provided  that,  without  limiting  the  notice  requirements  in  this   definition,  the  Administrative  Agent  may  waive  in  writing  in  advance  any  such  notice  period   with respect to such step, and each Lender hereby authorizes the Administrative Agent to waive   any such notice period;          (d)   the  Permitted  Reorganization  shall  be  completed  no  later  than  the close of   business on the one year anniversary of the date that the Companies commence the first step of   the Permitted Reorganization (without regard to the formation of Designated Holdco, for so long   as  Designated  Holdco  does  not  own  any  Equity  Interests  in  any  Loan  Party  or  any  other   Subsidiary) or such longer period as may be agreed to by the Administrative Agent in its sole   discretion;          (e)   prior to commencing any step of the Permitted Reorganization, each step of the  Permitted  Reorganization  shall  be  permitted  under  the  documents  evidencing  Material  Indebtedness;         (f)   [intentionally omitted];         (g)   no later than the date that is five Business Days prior to the date that each step of  the Permitted Reorganization is commenced (or such later date agreed to by the Administrative  Agent), the Designated Company shall have delivered to the Administrative Agent a certificate  from a Financial Officer of the Designated Company setting forth the commencement date of  such  step  of  the  Permitted  Reorganization,  and  certifying  that all  actions  taken  in  connection  with  such  step  comply  with  the  terms  of  this  definition,  the  definition  of  Permitted  Reorganization Actions, and the terms of the Loan Documents; provided that the first certificate   delivered  pursuant  to  this  clause  (g)  shall  also  state  that  the step (or steps) described in such   certificate constitute the commencement of the Permitted Reorganization, and shall state the date   by which the Permitted Reorganization must be completed in accordance with clause (d) above;          (h)   in  the  case  of  AV  Minerals,  Designated  Holdco,  and  each  new  Subsidiary   amalgamated, created or otherwise formed as part of any step of the Permitted Reorganization,   such  Person  shall  become  a  Loan  Party  (in  the  case  of  any  Subsidiary  of  Designated  Holdco   other than the Borrower, Parent and Aleris, solely to the extent required under Section 5.11 or   otherwise in order to comply with the other clauses of this definition  and  the  definition  of   Permitted Reorganization Actions) pursuant to the terms of the Loan Documents (without regard   to any time periods provided for herein or therein) and shall become party to and/or execute and                                           56   1120544.02G-CHISR02A - MSW  

 

    deliver the Guarantee and each applicable Foreign Guarantee, at or prior to the time such step is   effected;          (i)   [intentionally omitted];          (j)   [intentionally omitted];          (k)   notwithstanding any other provision in any Loan Document to the contrary, the   Loan Parties shall gross-up and otherwise indemnify the Administrative Agent and each other   Credit Party for all Taxes incurred by the Administrative Agent or Credit Party as a result of the   Permitted  Reorganization  or  any  step  thereof  (including  any  such  Taxes  arising  after  the   consummation  of  any  step  of  the  Permitted  Reorganization,  whether  as  a  result  of  a  Person   becoming Holdings or otherwise), and this Agreement shall be amended as may be necessary or   appropriate, in the reasonable opinion of the Administrative Agent (and implemented pursuant to   documentation  agreed  by  the  Administrative  Agent  and  the  Designated  Company,  such   agreement not to be unreasonably withheld), to give effect to such gross-up and indemnification   (including the addition of gross-up and indemnification provisions applicable, in the reasonable   opinion  of  the  Administrative  Agent,  to  implement  such  gross  up  and  indemnity  obligations);   provided,  however,  that  solely  for  purposes  of  this  clause  (k),  “Taxes”  shall  not  include  any   (i) Taxes  imposed  on  or  measured  by  overall  net  income  (however  denominated),  franchise   Taxes  (in lieu  of  net  income  taxes),  and  branch  profits  Taxes, in each case, (x) imposed as a   result of such recipient being organized under the laws of, or having its principal office or, in the   case of any Lender, its applicable lending office located in, the jurisdiction imposing such Tax  (or  any  political  subdivision  thereof)  or  (y) that  are  Other  Connection  Taxes,  (ii)  Taxes  attributable to such recipient’s failure to comply with Section 2.15(e), and (iii) any U.S. federal   withholding Taxes imposed under FATCA;          (l)   prior  to  or  concurrently  with  the  consummation  of  each  step  of the  Permitted  Reorganization, the Loan Parties shall deliver or cause to be delivered:               (i)   all  documents  reasonably  requested  by  the  Administrative  Agent in                     connection  with  the  Permitted  Reorganization  and/or  such  step  thereof,                     including, but not limited to, documents consistent with those described in                     Sections 4.01(a)(ii)  and  (iii), or  a  joinder  thereto,  the  extent  such  Loan                     Party is not already a party thereto, (m), 4.02(c)(i), (e), (f), (m) through                     (v),  and  Schedule 5.15,  in  each  case  in  form  and  substance  reasonably                     acceptable to the Administrative Agent; and                (ii)  favorable written opinions of Torys, LLP (or other nationally recognized                     U.S. counsel for the Loan Parties) and each local and foreign counsel of                     the  Loan  Parties  (or,  in  the  case  of  Loan  Documents  governed  by or                     entities organized under the laws of the United Arab Emirates or the Dubai                                          57   1120544.02G-CHISR02A - MSW  

 

                      International  Financial  Centre,  counsel  to  the  Administrative  Agent),  in                     each  case  reasonably  requested  by  the  Administrative  Agent,  in each                     applicable  jurisdiction  and  addressed  to  the Administrative  Agent and  the                    Lenders,  covering  such  matters  relating  to  the  Loan  Documents  and  the                    Permitted  Reorganization  and/or  such  step  thereof  as  the  Administrative                    Agent  shall  reasonably  request,  and  in  each  case  in  form  and  substance                    reasonably  satisfactory  to  the  Administrative  Agent,  including,  but  not                    limited to, opinions covering:                     (1)   creation  or  continued  validity  of  the  Guarantees  or  the  Foreign                           Guarantees  after  giving  effect  to  such  step  of  the  Permitted                           Reorganization;                      (2)   enforceability of all Loan Documents, and confirmation or similar                           opinions as to the validity and enforceability of the Guarantees and                           the Foreign Guarantees;                      (3)   validity of debt claims in connection with all Loans (to the extent                           that  Loans  are  outstanding)  and  all  Guarantees  and  Foreign                           Guarantees; and                      (4)   no  conflict with  organizational documents,  Requirements  of  Law                           and any documents evidencing Material Indebtedness;           (m)   notwithstanding any other provision in any Loan Document to the contrary, the   Administrative Agent and the Designated Company may make (and the Administrative Agent is   hereby  authorized  by  the  Lenders  to  make)  such  amendments,  restatements  and  other   modifications  to  the  Loan  Documents  (other  than  the  definition of  Permitted  Reorganization   except to the extent provided for therein) as may be necessary or appropriate, in the reasonable   opinion  of  the  Administrative  Agent  and  the  Designated  Company, to effect the terms of the   Permitted Reorganization, in each case in a manner consistent with the terms and conditions set   forth  in  this  definition  and  in  forms  mutually  agreed  by  the  Administrative  Agent  and  the   Designated Company;          (n)   The Designated Company shall pay or cause the applicable Loan Party to pay all  reasonable  out-of-pocket  expenses  incurred  by  the  Administrative  Agent,  the  Mandated  Lead  Arrangers,  and  their  respective  Affiliates  (including  the  reasonable  fees,  charges  and  disbursements  of  one  primary  transaction  counsel  (plus  local  counsel  in  each  applicable  jurisdiction)  in  connection  with  the  Permitted  Reorganization, and  all  documents,  filings,  and  any amendment, amendment and restatement, modification or waiver of the provisions hereof or  of  any  other  Loan  Document  (whether  or  not  the  Permitted  Reorganization  shall  be  consummated); and                                           58   1120544.02G-CHISR02A - MSW  

 

        (o)   Notwithstanding  any  provision  in  any  Loan  Document  to  the  contrary,  with  respect  to  each  step  of  the  Permitted  Reorganization,  the  Administrative  Agent  may  require  amendments  and  modifications  to  the  Loan  Documents  (or  new  Guarantees  and  Foreign  Guarantees) to ensure that the Guarantees and the Foreign Guarantees effectively result in the  Obligations of the Borrower being guaranteed by each Guarantor (excluding a guarantee by the  Borrower  of  its  own  Obligations)  upon  and  after  giving  effect  to  such  step  of  the  Permitted  Reorganization. Such amendments, modifications and other Loan Documents so required by the  Administrative  Agent  shall,  notwithstanding  any  provision  in  any  Loan  Document  to  the  contrary,  become  effective  upon  execution  and  delivery  by  the  Administrative  Agent  and  the  applicable Loan Party, and shall not require the approval of any Lenders, and the Loan Parties  agree to execute and deliver such amendments, modifications and other Loan Documents as may  be reasonably requested by the Administrative Agent.         “Permitted Reorganization Actions” shall mean any or all of the following, in the case  of each such action, subject to the satisfaction of each of the terms and conditions set forth in the  definition of Permitted Reorganization:         (a)   the formation of U.K. Holdco by AV Minerals;         (b)   the  designation  by  the  Parent  in  a  signed  written  notice  delivered  to  the  Administrative Agent of U.K. Holdco as “Designated Holdco” and the concurrent contribution,  sale or other transfer of 100% of the Equity Interests in AV Metals (or, if the Permitted Holdings  Amalgamation  occurs  on  or  prior  to  such  date,  Successor  Parent) from AV Minerals to  Designated Holdco;         (c)   the sale, Distribution, contribution or other transfer of no more than 12.5% of the  aggregate amount of Voting Stock and other Equity Interests in Novelis Aluminium Holdings  Unlimited plus one additional share of such Voting Stock by Parent to AV Minerals (and any  substantially concurrent interim sale, Distribution, contribution or other transfer of such Equity  Interests to a Loan Party to effect such sale, Distribution, contribution or other transfer) and, if  applicable, the substantially concurrent issuance of an Intercompany Note by each Loan Party  that  acquires  such  Equity  Interests  to  the  Loan  Party  that  sells,  Distributes,  contributes  or  otherwise  transfers  such  Equity  Interests  to  it,  as  consideration  for  such  sale,  Distribution,  contribution or other transfer;         (d)   the Permitted Holdings Amalgamation;         (e)   the merger of Novelis AG and Novelis Switzerland SA;         (f)   the sale, Distribution or other transfer of 100% or less of the Equity Interests in  Novelis Holdings Inc. from Parent to Designated Holdco;                                         59  1120544.02G-CHISR02A - MSW  

 

        (g)   the  sale,  Distribution,  contribution  or  other  transfer  of  100% of  the  Equity  Interests  in  Novelis  Holdings  Inc.  from  Designated  Company  and/or  Parent  to  Novelis  AG,  Novelis Switzerland SA, the survivor of the merger of Novelis AG and Novelis Switzerland SA  pursuant to clause (e) above (the “Surviving Swiss Subsidiary”) or, to the extent required by  clause  (iii)  below,  New  U.S.  Holdings  (and  any  substantially  concurrent  interim  sale,  Distribution, contribution or other transfer of such Equity Interests to an Unrestricted Grantor to  effect such sale, Distribution, contribution or other transfer) and, if applicable, the substantially  concurrent  issuance  of  an  Intercompany  Note  by  each  Loan  Party that  acquires  such  Equity  Interests to the Loan Party that sells, Distributes, contributes or otherwise transfers such Equity  Interests to it, as consideration for such sale, Distribution, contribution or other transfer; and         (h)   the sale, Distribution, contribution or other transfer by a Loan Party (such Loan  Party,  the  “Transferring  Loan  Party”)  of  100%  of  the  Equity  Interests  (other  than  Equity  Interests in Novelis Holdings Inc.) in any Subsidiary of Designated Company (such subsidiary,  the  “Transferred  Subsidiary”),  to  an  Interim  Holding  Company  that  has  complied  with  the  requirements  of  clause (iv)  below  (and  any  substantially  concurrent  interim  sale, Distribution,  contribution  or  other  transfer  of  such  Equity  Interests  to  a  Loan  Party  to  effect  such  sale,  Distribution,  contribution  or  other  transfer)  and,  if  applicable,  the  substantially  concurrent  issuance of an Intercompany Note by each Loan Party that acquires such Equity Interests to the  Loan Party that sells, Distributes, contributes or otherwise transfers such Equity Interests to it, as  consideration for such sale, Distribution, contribution or other transfer;   provided that:                               (i)     the commencement of any of the actions described                  in clauses (b), (c), (f), (g) or (h) above (in the case of clauses (g) and (h)                  above, solely to the extent that Designated Company is Designated Holdco)                  shall  be  conditioned  on  each  of  AV  Minerals  and  U.K.  Holdco  having                  become Guarantors on terms consistent with the terms of the Loan                  Documents,  including,  but  not  limited  to,  the  requirements  set forth  in                  clause (l) of the definition of Permitted Reorganization and in Sections 5.11                  and  5.12  hereof  (without  regard  to  any  time  periods  set  forth  therein)                  (collectively, the “Joinder Requirements”);                               (ii)    the commencement of any of the actions described                  in clauses (c), (f), (g) or (h) above (in the case of clauses (g) and (h) above,                  solely to the extent that Designated Company is Designated Holdco) shall                  be conditioned on the completion of the actions described in clauses (a) and                  (b) above;                                (iii)   each  sale,  Distribution,  contribution  or  other                  transfer  described  in  clause  (g)  above  shall  be  conditioned  on either                  (x) Novelis Holdings Inc. not owning, following such action and thereafter,                                         60  1120544.02G-CHISR02A - MSW  

 

                  any assets other than the Equity Interests in its direct Subsidiaries and the                  Permitted  Holding  Company  Assets  or  (y)  the  formation  of  a  new                  Subsidiary (“New U.S. Holdings”) organized under the laws of any State of                  the United States or the District of Columbia that is a direct Wholly Owned                  Subsidiary of Novelis AG, Novelis Switzerland SA, or the Surviving Swiss                  Subsidiary, and that (1) directly and wholly owns Novelis Holdings Inc. and                  (2) indirectly  wholly  owns  Novelis  Acquisitions  (and,  immediately  after                  giving effect to the merger of Novelis Acquisitions with and into Aleris in                  connection  with  the  Aleris  Acquisition,  Aleris);  provided  that this                  subclause (y) shall be further conditioned on New U.S. Holdings complying                  with the Joinder Requirements; provided, further, that New U.S. Holdings                  shall  not  be  permitted  to  own,  on  and  after  the  date  of  such  action,  any                  assets other than the Permitted Holding Company Assets;                               (iv)    each  sale,  Distribution,  contribution  or  other                  transfer  described  in  clause  (h)  above  shall  be  conditioned  on either  the                  creation  of  a  newly  formed  Unrestricted  Grantor  or  the  existence  of  an                  existing  Unrestricted  Grantor,  in  each  case  that  has  complied  with  the                  Joinder  Requirements  (such  Unrestricted  Grantor,  an  “Interim  Holding                  Company”), which Person shall be a direct Wholly Owned Subsidiary of                  Novelis  AG,  Novelis  Switzerland  SA,  or  the  Surviving  Swiss  Subsidiary,                  and  that  shall  directly  wholly  own  the  Transferred  Subsidiary  so  sold,                  Distributed,  contributed  or  transferred  pursuant  to  such  transaction;                  provided that such Unrestricted Grantor shall not be permitted to own, on                  and  after  the  date  of  such  action,  any  assets  other  than  the  Permitted                  Holding Company Assets;                               (v)     except as provided in clauses (i) through (iv) above,                  the actions described in clauses (d), (e), (g), and (h) are not conditioned on                  the  occurrence  of  any  of  such  other  actions  or  the  actions  described  in                  clauses (a), (b) or (c);                                (vi)    the  order  of  the  actions  described  in  clauses  (a)                  through (h) above may be changed as long as the conditions specified for                  such action in clauses (i) through (v) above are satisfied; and                               (vii)   the  obligations  under  each  Intercompany  Note                  issued in connection with any action or interim action described in clause (g)                  or (h) above shall be subordinated to the Obligations on terms reasonably                  satisfactory to the Administrative Agent and shall constitute Subordinated                  Indebtedness hereunder.                                          61  1120544.02G-CHISR02A - MSW  

 

        “Permitted Revolving Credit Facility Refinancing” shall mean any credit facility that  refinances or renews or replaces any of the Indebtedness incurred  and commitments  available  under  the  Revolving  Credit  Loan  Documents  (which  may  be  an  asset-based  or  cash  flow  financing); provided that (a) the aggregate principal amount (or accreted value, if applicable) of  all  such  Indebtedness,  after  giving  effect  to  such  refinancing or  renewal,  shall  not  exceed  the  Maximum  Revolving  Credit  Facility  Amount  then  in  effect  plus  an  amount  equal  to  unpaid  accrued  interest  and  premium  on  the  Indebtedness  being  so  refinanced  or  renewed  plus  other  reasonable amounts paid, and fees and expenses reasonably incurred, in connection with such  refinancing or renewal, (b) such refinancing or renewal has a final maturity date equal to or later  than the final maturity date of the Indebtedness being so refinanced or renewed, (c) no Default is  existing  or  would  result  therefrom,  (d)  the  collateral  securing  such  refinancing,  renewal  or  replacement  is  not  greater  than  the  collateral  securing  the  obligations  under  such  Revolving  Credit  Loan  Documents  immediately  prior  to  giving  effect  to  such  refinancing,  renewal  or  replacement, and (e) the persons that are (or are required to be) obligors under such refinancing  or  renewal  do  not  include  any  person  that  is  not  an  obligor  under  the  Indebtedness  being  so  refinanced or renewed (unless, in the case of a refinancing of Indebtedness of a Loan Party, such  persons are or become obligors under the Loan Documents); provided that at least five Business  Days  prior  to  the  incurrence  of  such  refinancing  or  renewal,  a Responsible  Officer  of  the  Designated Company shall have delivered an Officers’ Certificate to the Administrative Agent  (together  with  a  reasonably  detailed  description  of  the  material  terms  and  conditions  of  such  Indebtedness  or  drafts  of  the  documentation  relating  thereto)  certifying  that  the  Designated  Company  has  determined  in  good  faith  that  such  terms  and  conditions  satisfy  the  foregoing  requirements.         “Permitted  Second  Priority  Refinancing  Debt”  shall  mean  secured  Indebtedness  incurred by any Loan Party in the form of one or more series of junior lien secured notes under  one or more indentures or junior lien secured loans under one or more other debt instruments or  facilities;  provided  that  (i)  [intentionally  omitted],  (ii)  such  Indebtedness  constitutes  Secured  Term  Loan  Credit  Agreement  Refinancing  Indebtedness  in  respect of  Secured  Term  Loans,  (iii) such Indebtedness does not mature or have scheduled amortization or payments of principal  and  is  not  subject  to  mandatory  redemption  or  prepayment  (except  customary  asset  sale  or  change of control provisions), in each case prior to the date that is 181 days after the Maturity  Date at the time such Indebtedness is incurred, (iv) [intentionally omitted], (v) such Indebtedness  is not guaranteed by any Persons other than the Loan Parties, (vi) the other terms and conditions  of  such  Indebtedness  (excluding pricing,  premiums  and  optional prepayment  or  optional  redemption  provisions,  and  terms related  to  collateral  and  perfection)  are  customary  market  terms for securities of such type and, in any event, when taken as a whole, are not materially  more  favorable  to  the  investors or  lenders  providing  such  Indebtedness than the terms and  conditions  of  the  applicable  Refinanced  Debt  (except  with  respect  to  any  terms  (including  covenants) and conditions contained in such Indebtedness that are applicable only after the then  Maturity  Date)  (provided  that a  certificate  of  a  Responsible  Officer  delivered  to  the  Administrative Agent at least five Business Days prior to the incurrence of such Indebtedness,  together  with  a  reasonably  detailed  description  of  the  material  terms  and  conditions  of  such  Indebtedness  or  drafts  of  the  documentation  relating  thereto,  stating  that  the  Designated  Company has determined in good faith that such terms and conditions satisfy the requirement of  this  clause  (vi)  shall  be  conclusive  evidence  that  such  terms  and  conditions  satisfy  such                                         62  1120544.02G-CHISR02A - MSW  

 

    requirement unless the Administrative Agent notifies the Designated Company within such five   Business Day period that it disagrees with such determination (including a reasonable description   of the basis upon which it disagrees)), (vii) [intentionally omitted], and (viii) no Default shall   exist immediately prior to or after giving effect to such incurrence. Permitted Second Priority   Refinancing Debt will include any Registered Equivalent Notes issued in exchange therefor.          “Permitted Secured Term Loan Facility Refinancing” shall mean any refinancing or   renewal of the Indebtedness incurred under the Secured Term Loan Documents; provided that   (a) such Indebtedness does not mature or have scheduled amortization or payments of principal  and  is  not  subject  to  mandatory  redemption  or  prepayment  (excluding  the  effects  of  nominal  amortization  in  the  amount  of  no  greater  than  one  percent  per  annum  and  prepayments  of  Indebtedness), in each case, prior to the date that is 181 days after the Maturity Date at the time  such  Indebtedness  is  incurred,  (b)  no  Default  is  existing  or  would  result  therefrom,  (c)  the  collateral securing such refinancing or renewal is not greater than the collateral securing such  refinanced or renewed Indebtedness, and (d) the persons that are (or are required to be) obligors  under  such  refinancing  or  renewal  do  not  include  any  person  that  is  not  an  obligor  under  the  Indebtedness being so refinanced or renewed (unless, in the case of a refinancing of Indebtedness  of a Loan Party, such persons are or become obligors under the Loan Documents); provided that   at least five Business Days prior to the incurrence of such refinancing or renewal, a Responsible  Officer  of  the  Designated  Company shall  have  delivered  an  Officer’s  Certificate  to  the  Administrative Agent (together with a reasonably detailed description of the material terms and  conditions of such Indebtedness or drafts of the documentation relating thereto) certifying that  the Designated Company has determined in good faith that such terms and conditions satisfy the  foregoing requirements.         “Permitted Unsecured Refinancing Debt” shall mean unsecured Indebtedness incurred  by  the  Designated  Company  or  any  Loan  Party  in  the  form  of  one or  more  series  of  senior  unsecured or subordinated notes or loans under one or more instruments; provided that (i) such   Indebtedness  constitutes  Secured  Term  Loan  Credit  Agreement  Refinancing  Indebtedness  in   respect of Secured Term Loans (including portions of any class thereof), (ii) such Indebtedness   does not mature or have scheduled amortization or payments of principal and is not subject to   mandatory  redemption  or  prepayment  (except  customary  asset  sale  or  change  of  control   provisions), in each case prior to the date that is 181 days after the Maturity Date at the time such   Indebtedness is incurred, (iii) such Indebtedness is not guaranteed by any Persons other than the   Loan  Parties,  (iv)  the  other  terms  and  conditions  of  such  Indebtedness  (excluding  pricing,   premiums  and  optional  prepayment  or  optional  redemption  provisions)  are  customary  market   terms  for  Indebtedness  of  such  type  and,  when  taken  as  a  whole,  are  not  materially  more   restrictive  (provided  that  such terms  shall  in  no  event  include  any  financial  maintenance   covenants)  on  the  Designated  Company  and  the  Restricted  Subsidiaries than the terms and   conditions  applicable  to  the  Term  Loans  (provided  that  a  certificate  of  a  Responsible  Officer   delivered to the Administrative Agent at least five Business Days prior to the incurrence of such   Indebtedness,  together  with  a  reasonably  detailed  description  of  the  material  terms  and   conditions of such Indebtedness or drafts of the documentation relating thereto, stating that the   Designated  Company  has  determined  in  good  faith  that  such  terms  and  conditions  satisfy  the   requirement of this clause (iv) shall be conclusive evidence that such terms and conditions satisfy                                          63   1120544.02G-CHISR02A - MSW  

 

    such requirement unless the Administrative Agent notifies the Designated Company within such   five  Business  Day  period  that  it  disagrees  with  such  determination  (including  a  reasonable   description of the basis upon which it disagrees)) and (v) such Indebtedness (including related   guarantees) is not secured. Permitted Unsecured Refinancing Debt will include any Registered   Equivalent Notes issued in exchange therefor.         “person”  or  “Person”  shall  mean  any  natural  person, corporation,  limited  liability  company,  trust,  joint  venture,  association,  company,  partnership,  Governmental  Authority  or  other entity.         “Plan” shall mean any employee pension benefit plan (other than a Multiemployer Plan)  subject  to  the  provisions  of  Title  IV  of  ERISA  or  Section 412  of  the  Code  or  Section 302  of  ERISA which is maintained or contributed to by any Company or its ERISA Affiliate or with  respect to which any Company could incur liability (including under Section 4069 of ERISA).         “Platform” shall have the meaning assigned to such term in Section 11.01(d).          “PPSA”  shall  mean  the  Personal  Property  Security  Act  (Ontario)  and  the  regulations   promulgated  thereunder  and  other  applicable  personal  property  security  legislation  of  the   applicable Canadian province or provinces in respect of the Canadian Loan Parties (including the   Civil Code of Quebec and the regulations respecting the register of personal and movable real   rights promulgated thereunder (the “Civil Code”)) as all such legislation now exists or may from   time to time hereafter be amended, modified, recodified, supplemented or replaced, together with  all rules, regulations and interpretations thereunder or related thereto.         “Preferred  Stock”  shall  mean,  with  respect  to  any  person,  any  and  all  preferred or  preference  Equity  Interests  (however  designated)  of  such  person  whether  now  outstanding  or  issued after the Effective Date.         “Prepayments Recapture Amount” shall have the meaning assigned to such term in the  Secured Term Loan Credit Agreement.         “Principal Jurisdiction” shall mean (i) the United States, Canada, the United Kingdom,  Switzerland,  Germany,  Belgium  and  the  Netherlands,  (ii)  each  other  country  in  which  a  Restricted Subsidiary is organized in respect of which Accounts are included in the borrowing  base for purposes of the Revolving Credit Agreement and (iii) and any state, province or other  political subdivision of the foregoing.          “Pro  Forma  Basis”  shall  mean,  with  respect  to  compliance  with  any  test  or  covenant  hereunder at any time of determination (excluding any calculation of the amount referred to in  clause  (a)  of  the  definition  of  Cumulative  Credit),  that  all  Specified  Transactions  and  the                                          64   1120544.02G-CHISR02A - MSW  

 

    following transactions in connection therewith (if any) shall be deemed to have occurred as of   the  first  day  of  the  applicable  Test  Period  or  other  period  of measurement  in  such  test  or  covenant: (a) income statement items (whether positive or negative) attributable to the property  or Person subject to such Specified Transaction, (i) in the case of a sale or other disposition of all  or substantially all Equity Interests in or assets of any Restricted Subsidiary of the Designated  Company or any division, business unit, line of business or facility used for operations of the  Designated Company or any of its Restricted Subsidiaries, shall be excluded (as if such sale or  disposition  occurred  on  the  first  day  of  the  applicable  Test  Period),  and  (ii)  in  the  case  of  a  Permitted Acquisition or Investment described in the definition of “Specified Transaction”, shall  be  included  (as  if  such  Permitted  Acquisition  or  Investment  occurred  on  the  first  day  of  the  applicable Test Period), (b) any retirement of Indebtedness in connection therewith, and (c) any  Indebtedness  incurred  or  assumed  by  the  Designated  Company  or  any  of  its  Restricted  Subsidiaries in connection therewith.          “Pro Rata Percentage” of any Lender at any time shall mean the percentage of the sum   of  the  total  outstanding  Loans  and  unused  Commitments  of  all  Lenders  represented  by  such   Lender’s outstanding Loans and unused Commitments.          “Process Agent” shall have the meaning assigned to such term in Section 11.09(d).          “property” shall mean any right, title or interest in or to property or assets of any kind   whatsoever, whether real, personal or mixed and whether tangible  or  intangible  and  including   Equity  Interests  or  other  ownership  interests  of  any  person  and  whether  now  in  existence  or   owned or hereafter entered into or acquired, including all Real Property.          “Property  Material  Adverse  Effect”  shall  mean,  with  respect  to  any  Real  Property   owned  by  a  Loan  Party,  as  of  any  date  of  determination  and  whether  individually  or  in  the   aggregate, any event, circumstance, occurrence or condition which has caused or resulted in (or   would reasonably be expected to cause or result in) a material adverse effect on (a) the business   or operations of any Company as presently conducted at such Real Property; or (b) the value or   utility of such Real Property.          “Public Lender” shall have the meaning assigned to such term in Section 11.01(d).           “Purchase  Money  Obligation”  shall  mean,  for  any  person,  the  obligations  of  such   person in respect of Indebtedness (including Capital Lease Obligations) incurred for the purpose   of financing all or any part of the purchase price of any property (including Equity Interests of   any  person)  or  the  cost  of  installation,  construction  or  improvement  of  any  property  and  any   refinancing thereof;  provided, however,  that  (i)  such  Indebtedness is  incurred  within  one  year   after such acquisition, installation, construction or improvement of such property by such person   and (ii) the amount of such Indebtedness does not exceed 100% of the cost of such acquisition,   installation, construction or improvement, as the case may be.                                          65   1120544.02G-CHISR02A - MSW  

 

          “Qualified Parent IPO” shall mean, at any time prior to the commencement of the first   step  of  the  Permitted  Reorganization,  and  so  long  as  the  Parent  (directly  or  indirectly)  owns   100% of the Equity Interests of the Borrower, the issuance by the Parent of its common Equity   Interests in an underwritten primary or secondary public offering (other than a public offering   pursuant to a registration statement on Form S-8) pursuant to an effective registration statement   filed with the U.S. Securities and Exchange Commission in accordance with the Securities Act.          “Qualified Capital Stock” of any person shall mean any Equity Interests of such person   that are not Disqualified Capital Stock.          “Qualified IPO” shall mean the issuance by Holdings (or, on and after the Designated   Holdco Effective Date, Designated Holdco), or any direct or indirect parent of Holdings (or, on   and  after  the  Designated  Holdco  Effective  Date,  Designated  Holdco)  which,  in  the  case  of   Holdings, owns no material assets other that its direct or indirect ownership interest in the Equity   Interests  of  the  Parent  (or,  on  and  after  the  Designated  Holdco  Effective  Date,  Designated   Holdco  and,  to  the  extent  permitted  by  Section  6.15(a)(i)(y),  Novelis  Aluminum  Holdings   Unlimited) and the other assets permitted by Section 6.15, of its common Equity Interests in an   underwritten  primary  or  secondary  public  offering  (other  than  a  public  offering  pursuant  to  a   registration statement on Form S-8) pursuant to an effective registration statement filed with the   U.S. Securities and Exchange Commission in accordance with the Securities Act.         “Qualified  Securitization  Transaction”  shall  mean  any  transaction  or  series  of  transactions  that  may  be  entered  into  by  any  Restricted  Subsidiary  (other  than  a  Restricted  Subsidiary organized under the laws of a Principal Jurisdiction (excluding from such requirement  as to the absence of Restricted Subsidiaries organized under the laws of a Principal Jurisdiction,  any Permitted German Alternative Financing, any Permitted Customer Account Financing or any  Permitted  Novelis  Switzerland  Financing))  pursuant  to  which  such  Restricted  Subsidiary  may  sell, convey or otherwise transfer to a Securitization Entity or may grant a security interest in any  Receivables  (whether  now  existing  or  arising  or  acquired  in  the future) of such Restricted  Subsidiary  or  any  Related  Security  or  Securitization  Assets;  provided  that  no  Receivables  or   other  property  of  any  Company  organized  in  a  Principal  Jurisdiction  (excluding  from  such   requirement as to the absence of property of a Company organized in a Principal Jurisdiction,   any Permitted German Alternative Financing, any Permitted Customer Account Financing and   any  Permitted  Novelis  Switzerland  Financing)  shall  be  subject  to  a  Qualified  Securitization   Transaction.          “Real  Property”  shall  mean,  collectively,  all  right,  title  and  interest  (including  any   freehold, leasehold, minerals or other estate) in and to any and all parcels of or interests in real   property  owned,  leased  or  operated  by  any  person,  whether  by  lease,  license  or  other  means,   together with, in each case, all easements, hereditaments and appurtenances relating thereto, all   improvements  and  appurtenant  fixtures,  all  general  intangibles and  contract  rights  and  other   property and rights incidental to the ownership, lease or operation thereof.                                           66   1120544.02G-CHISR02A - MSW  

 

          “Recapture Amounts” shall mean, at any time of determination, the cumulative amount  of the Investment Recapture Amount plus the Dividend Recapture Amount plus the Prepayments  Recapture Amount paid since the Effective Date.         “Receivable” shall mean the indebtedness and other obligations owed to any Company  (other than any Company organized under the laws of a Principal Jurisdiction (excluding from  such  requirement  as  to  the  absence  of  a  Company  organized  in  a Principal  Jurisdiction,  any  Permitted  German  Alternative  Financing,  any  Permitted  Customer Account  Financing  or  any  Permitted Novelis Switzerland Financing)) (at the time such indebtedness and other obligations  arise, and before giving effect to any transfer or conveyance contemplated under any Qualified  Securitization  Transaction  documentation)  arising  in  connection  with  the  sale  of  goods  or  the  rendering  of  services  by  such  person,  including  any  indebtedness,  obligation  or  interest  constituting  an  Account,  contract  right,  payment  intangible,  promissory  note,  chattel  paper,  instrument, document, investment property, financial asset or general intangible, in each case,  arising  in  connection  with  the  sale  of  goods  or  the  rendering  of  services  by  such  person,  and  further includes, the obligation to pay any finance charges with respect thereto.         “Receivables  Purchase  Agreement”  shall  mean  each  of  (a)  the  Non-Recourse  Receivables Purchase Agreement, dated July 6, 2007 (as amended and restated on December 17,  2010  and  as  further  amended  from  time  to  time)  and  any  related servicing  agreements  (collectively, the “German Receivables Purchase Agreement”) between the German Seller, on  the one hand, and Novelis AG, on the other hand, in each case providing, inter alia, for the sale   and  transfer  of  Accounts  by  the  German  Seller  to  Novelis  AG,  and  (b)  any  other  receivables   purchase  agreement  and  related  servicing  agreements  entered  into  after  the  Effective  Date   between a “Receivables Seller” and a “Borrower” or “Borrowing Base Guarantor” (as each is   defined  in  the  Revolving  Credit  Agreement  and  any  corresponding  term  in  any  successor   agreement), in order that the receivables subject thereto may be included in the borrowing base   established  under  the  Revolving  Credit  Agreement  and  in  form  and  substance  reasonably   satisfactory to the Revolving Credit Administrative Agent.          “Reference Bank Quotation” means any quotation supplied to the Administrative Agent   by a Reference Bank.          “Reference Bank Rate” shall mean the arithmetic mean of the rates (rounded upwards to   four  decimal  places)  as  supplied  to  the  Administrative  Agent  at  its  request  by  the  Reference   Banks, in relation to a Borrowing, as the rate at which the relevant Reference Bank could borrow   funds  in  the  London  interbank  market  in  the  relevant  currency  and  for  the  relevant  Interest   Period  were  it  to  do  so  by  asking  for  and  then  accepting  interbank  offers  for  deposits  in   reasonable  market  size  in  that  currency  and  for  that  Interest  Period;  provided,  that  if  the   Reference Bank Rate shall be less than zero, such rate shall be deemed zero for purposes of this   Agreement.                                           67   1120544.02G-CHISR02A - MSW  

 

          “Reference Banks” shall mean, in relation to a Borrowing, the principal London offices   of  any  financial  institution  appointed  by  the  Administrative  Agent as a “Reference Bank” in   consultation with the Designated Company and with the consent of such Reference Bank.          “Refinanced  Debt”  shall  have  the  meaning  assigned  to  such  term  in  the  definition  of   “Secured Term Loan Credit Agreement Refinancing Indebtedness”.          “Register” shall have the meaning assigned to such term in Section 11.04(c).          “Registered Equivalent Notes” shall mean, with respect to any notes originally issued in  a  Rule  144A  or  other  private  placement  transaction  under  the  Securities  Act  of  1933,  substantially identical notes (having the same guarantees) issued in a dollar-for-dollar exchange   therefor pursuant to an exchange offer registered with the SEC.         “Regulation” shall have the meaning assigned to such term in Section 3.25.          “Regulation D” shall mean Regulation D of the Board as from time to time in effect and   all official rulings and interpretations thereunder or thereof.          “Regulation S-X” shall mean Regulation S-X promulgated under the Securities Act.          “Regulation T” shall mean Regulation T of the Board as from time to time in effect and  all official rulings and interpretations thereunder or thereof.          “Regulation U” shall mean Regulation U of the Board as from time to time in effect and   all official rulings and interpretations thereunder or thereof.          “Regulation X” shall mean Regulation X of the Board as from time to time in effect and   all official rulings and interpretations thereunder or thereof.          “Related Business Assets” shall mean assets (other than cash or Cash Equivalents) used   or useful in a Similar Business; provided that any assets received by any Loan Party in exchange   for assets transferred by a Loan Party 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 Loan Party.                                           68   1120544.02G-CHISR02A - MSW  

 

          “Related  Parties” shall mean, with respect to any person, such person’s Affiliates and  the partners, directors, officers, employees, agents, trustees and advisors of such person and of  such person’s Affiliates.         “Related  Security”  shall  mean,  with  respect  to  any  Receivable,  all  of  the  applicable  Restricted  Subsidiary’s  interest  in  the  inventory  and  goods  (including  returned  or  repossessed  inventory  or  goods),  if  any,  the sale  of  which  by  the  applicable  Company  gave  rise  to  such  Receivable, and all insurance contracts with respect thereto, all other security interests or liens  and  property  subject  thereto  from  time  to  time,  if  any,  purporting  to  secure  payment  of  such  Receivable, whether pursuant to the contract related to such Receivable or otherwise, together  with  all  financing  statements  and  security  agreements  describing  any  collateral  securing  such  Receivable,  all  guaranties,  letters  of  credit,  letter-of-credit  rights,  supporting  obligations,  insurance  and  other  agreements  or  arrangements  of  whatever  character  from  time  to  time  supporting or securing payment of such Receivable whether pursuant to the contract related to  such Receivable or otherwise, all service contracts and other contracts and agreements associated  with such Receivable, all records related to such Receivable, and all of the applicable Company’s  right,  title  and  interest  in,  to  and  under  the  applicable  Qualified  Securitization  Transaction  documentation or Permitted Factoring Facility documentation.          “Release”  shall  mean  any  spilling,  leaking,  seepage,  pumping,  emitting,  emptying,  discharging, injecting, escaping, leaching, dumping, disposing, depositing, dispersing, emanating  or migrating of any Hazardous Material in, into, onto or through the Environment.         “Relevant  External  Company”  shall  mean  “relevant  external  company”  within  the  meaning of the Irish Companies Act.          “Reorganization  Plan”  shall  have  the  meaning  assigned  to  such  term  in  Section 11.04(g)(iii).          “Repatriation  Limitation”  shall  have  the  meaning  assigned  to  such  term  in   Section 2.10(i).          “Reply  Amount”  shall  have  the  meaning  assigned  to  such  term  in  the  definition  of  “Discounted Purchase”.         “Required Lenders” shall mean, as of any date of determination, Lenders holding more  than 50% of the sum of all Loans outstanding and unused Commitments (if any); provided that   the Commitment of, and the portion of the Loans held or deemed held by, any Defaulting Lender   shall be excluded for purposes of making a determination of Required Lenders.                                           69   1120544.02G-CHISR02A - MSW  

 

          “Requirements  of  Law”  shall  mean,  collectively,  any  and  all  legally  binding   requirements  of  any  Governmental  Authority  including  any  and  all  laws,  judgments,  orders,   decrees, ordinances, rules, regulations, statutes or case law.          “Response” shall mean (a) ”response” as such term is defined in CERCLA, 42 U.S.C.   § 9601(24),  and  (b) all  other  actions  required  by  any  Governmental  Authority  or  voluntarily   undertaken  to  (i) clean  up,  remove,  treat,  abate  or  in  any  other  way  address  any  Hazardous   Material  in  the  Environment;  (ii) prevent  the  Release  or  threat  of  Release,  or  minimize  the   further  Release,  of  any  Hazardous  Material;  or  (iii) perform  studies  and  investigations  in   connection with, or as a precondition to, or to determine the necessity of the activities described   in, clause (i) or (ii) above.          “Responsible  Officer”  shall  mean,  with  respect  to  any  Person,  any  of  the  principal   executive officers, managing members or general partners of such Person but, in any event, with   respect to financial matters, the chief financial officer, finance director, treasurer or controller of   such  person,  and,  solely  for  purposes  of  notices  given  under  Article  II,  any  other  officer  or   employee  such  Person  so  designated  by  any  of  the  foregoing  officers  in  a  notice  to  the   Administrative Agent or any other officer or employee of such Person designated in or pursuant   to an agreement between such Person and the Administrative Agent. Any document delivered   hereunder that is signed by a Responsible Officer of a Loan Party shall be conclusively presumed  to have been authorized by all necessary corporate, partnership and/or other action on the part of  such Loan Party and such Responsible Officer shall be conclusively presumed to have acted on  behalf of such Loan Party.         “Restricted  Grantor”  shall  mean  a  Loan  Party  that  has  granted  a  Guarantee  that  is  subject  to  limitations  that  impair  in  any  material  respect  the benefit  of  such  Guarantee  (as  determined  by  the  Administrative  Agent  in  its  reasonable  discretion)  (it  being  expressly  understood and agreed that (i) neither the Parent nor any Loan Party that is a Canadian Guarantor,  a  U.K.  Guarantor,  a  Dutch  Guarantor,  a  Dubai  Guarantor  or  a  U.S.  Guarantor  shall  be  a  Restricted Grantor and (ii) except as may be otherwise determined by the Administrative Agent  in its reasonable discretion, each Loan Party that is a German Guarantor, an Irish Guarantor, a  Swiss Guarantor, a French Guarantor or a Brazilian Guarantor shall be a Restricted Grantor).         “Restricted  Subsidiary”  shall  mean,  as  the  context  requires,  (i)  any  Subsidiary  of  Holdings  other  than  an  Unrestricted  Subsidiary  and  (ii)  any  Subsidiary  of  the  Designated  Company other than an Unrestricted Subsidiary.         “Revolving Credit Administrative Agent” shall mean the “Administrative Agent” (or  term of like import) under and as defined in the Revolving Credit Agreement, and its successors  and assigns in such capacity.                                           70   1120544.02G-CHISR02A - MSW  

 

        “Revolving Credit Agents” shall mean the “Agents” (as defined in the Revolving Credit  Loan Documents) (or term of like import), including the Revolving Credit Administrative Agent  and the Revolving Credit Collateral Agent.         “Revolving  Credit  Agreement”  shall  mean  (i)  that  certain  Second  Amended  and  Restated Credit Agreement, dated as of October 6, 2014, among the Loan Parties, the Revolving  Credit Lenders, Wells Fargo Bank, N.A. (London Branch), as European swingline lender, Wells  Fargo  Bank,  National  Association, as  issuing  bank  and  U.S.  swingline  lender,  the  Revolving  Credit  Collateral  Agent,  the  Revolving  Credit  Administrative  Agent,  Merrill,  Lynch,  Pierce,  Fenner & Smith Incorporated, Citigroup Global Markets, Inc., Deutsche Bank Securities Inc., J.P.  Morgan  Securities  LLC,  The  Royal  Bank  of  Scotland  plc  and  UBS  Securities  LLC,  as  co- syndication  agents,  SunTrust  Robinson  Humphrey,  Inc.,  as  senior  managing  agent,  and  Wells  Fargo  Bank,  National  Association,  Merrill,  Lynch,  Pierce,  Fenner  &  Smith  Incorporated,  Citigroup Global Markets, Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, RBS  Securities  Inc.  and  UBS  Securities  LLC,  as  joint  lead  arrangers  and  joint  bookmanagers,  as  amended, restated, supplemented or modified from time to time to the extent permitted by this  Agreement and (ii) any other credit agreement, loan agreement, note agreement, promissory note,  indenture  or  other  agreement  or  instrument  evidencing  or  governing  the  terms  of  any  indebtedness or other financial accommodation that has been incurred to extend or refinance in  whole  or  in  part  the  indebtedness  and  other  obligations  outstanding  under  the  (x) credit  agreement referred to in clause (i) or (y) any subsequent Revolving Credit Agreement, in each  case  which  constitutes  a  Permitted  Revolving  Credit  Facility  Refinancing  with  respect  to  the  Revolving Credit Loans, unless such agreement or instrument expressly provides that it is not  intended to be and is not a Revolving Credit Agreement hereunder (provided that in connection  with such refinancing, the commitments relating to such indebtedness that has been refinanced  are terminated). Any reference to the Revolving Credit Agreement hereunder shall be deemed a  reference to any Revolving Credit Agreement then in existence.         “Revolving Credit Collateral Agent” shall mean the “Collateral Agent” (or term of like  import) under and as defined in the Revolving Credit Agreement, and its successors and assigns  in such capacity.         “Revolving Credit Commitments” shall mean the commitments of the Revolving Credit  Lenders to make Revolving Credit Loans under the Revolving Credit Agreement.         “Revolving  Credit  Lenders”  shall  mean  the  banks,  financial  institutions  and  other  entities from time to time party to the Revolving Credit Agreement as lenders.         “Revolving Credit Loan Documents” shall mean the Revolving Credit Agreement and  the  other  “Loan  Documents”  as  defined  in  the  Revolving  Credit  Agreement  and  any  corresponding term in any successor Revolving Credit Agreement permitted hereby, including  the mortgages and other security documents, guaranties and the notes issued thereunder.                                          71  1120544.02G-CHISR02A - MSW  

 

          “Revolving  Credit  Loans”  shall  mean  the  revolving  loans  and  swingline  loans   outstanding under the Revolving Credit Agreement.          “Revolving Credit Maturity Date” shall have meaning assigned to the term “Maturity  Date”  in  the  Revolving  Credit  Agreement  (and  any  corresponding term  in  any  successor  Revolving Credit Agreement permitted hereby).          “Revolving Credit  Security  Documents” shall have the meaning assigned to the term  “Security Documents” in the Revolving Credit Agreement (and any corresponding term in any  successor Revolving Credit Agreement permitted hereby).         “S&P”  shall  mean  Standard  &  Poor’s  Rating  Services,  a  division  of  the  McGraw-Hill  Companies, Inc. and any successor thereto.         “Sale  and  Leaseback  Transaction”  shall  have  the  meaning  assigned  to  such  term  in  Section 6.03.          “Sanctioned Country” shall have the meaning assigned to such term in Section 3.22.          “Sanctioned Person” shall have the meaning assigned to such term in Section 3.22.          “Sanctions” shall have the meaning assigned to such term in Section 3.22.          “Sarbanes-Oxley  Act”  shall  mean  the  United  States  Sarbanes-Oxley  Act  of  2002,  as   amended, and all rules and regulations promulgated thereunder.          “SCB” shall mean Standard Chartered Bank and its successors.          “Screen  Rate”  shall  have  the  meaning  assigned  to  such  term  in  the  definition  of   Eurodollar Base Rate.          “Section 347” shall have the meaning assigned to such term in Section 2.19(a).          “Secured  Net  Leverage  Ratio”  shall  mean,  with  respect  to  any  Calculation  Date,  the   ratio of (a) Consolidated Total Net Debt as of the Calculation Date (other than any portion of   Consolidated Total Net Debt that is unsecured) to (b) Consolidated EBITDA for the Test Period   most  recently  ended  prior  to  the  Calculation  Date  for  which  financial  information  has  been                                           72   1120544.02G-CHISR02A - MSW  

 

    delivered  to  the  Administrative  Agent  and  the  Lenders  pursuant to  Section  4.01(d),   Section 5.01(a) or Section 5.01(b).          “Secured Term  Loan  Administrative  Agent” shall mean the “Administrative Agent”   (or term of like import) under and as defined in the Secured Term Loan Credit Agreement, and   its successors and assigns in such capacity.          “Secured Term Loan Collateral Agent” shall mean the “Collateral Agent” (or term of   like  import)  under  and  as  defined  in  the  Secured  Term  Loan  Credit  Agreement,  and  its   successors and assigns in such capacity.          “Secured Term Loan Credit Agreement” shall mean (i) that certain credit agreement,   dated as of January 10, 2017, among the Loan Parties party thereto, the lenders party thereto,   Standard  Chartered  Bank,  as  administrative  agent  and  as  collateral  agent,  as  amended  as  of   September 14, 2017, as of November 20, 2018, and as of the date hereof, and as further amended,   restated,  supplemented,  increased  or  modified  from  time  to  time  (including  any  increase   permitted pursuant to Section 2.23 of the Secured Term Loan Credit Agreement or any similar   provision in any Secured Term Loan Credit Agreement Refinancing Indebtedness) to the extent   not  prohibited  by  this  Agreement and  (ii)  any  other  credit  agreement,  loan  agreement,  note   agreement, promissory note, indenture or other agreement or instrument evidencing or governing   the terms of any indebtedness or other financial accommodation that has been incurred to extend   (subject to the limitations set forth herein) or refinance in whole or in part the indebtedness and   other obligations outstanding under the (x) credit agreement referred to in clause (i) or (y) any   subsequent Secured Term Loan Credit Agreement, in each case which constitutes a Permitted   Secured Term Loan Facility Refinancing with respect to the Secured Term Loans, unless such   agreement  or  instrument  expressly  provides  that  it  is  not  intended  to  be  and  is  not  a  Secured   Term  Loan  Credit  Agreement  hereunder.  Any  reference  to  the  Secured  Term  Loan  Credit   Agreement hereunder shall be deemed a reference to any Secured Term Loan Credit Agreement   then in existence.          “Secured Term  Loan  Credit  Agreement  Refinancing  Indebtedness”  means  (a) Permitted First Priority Refinancing Debt, (b) Permitted Second Priority Refinancing Debt,  (c) Permitted  Unsecured  Refinancing  Debt  or  (d)  Indebtedness  incurred  pursuant  to  a  “Refinancing  Amendment”  (as  defined  in the Secured  Term  Loan  Credit Agreement), in each  case, issued, incurred or otherwise obtained (including by means of the extension or renewal of  existing Indebtedness) in exchange for, or to extend, renew, replace or refinance, in whole or part,   existing Secured Term Loans (including any successive Secured Term Loan Credit Agreement   Refinancing Indebtedness) (“Refinanced Debt”); provided that (i) such extending, renewing or   refinancing  Indebtedness  is  in  an  original  aggregate  principal amount  not  greater  than  the   aggregate  principal  amount  of  the  Refinanced  Debt  (except  for  unpaid  accrued  interest  and   premium thereon and any make-whole payments applicable thereto), (ii) such Indebtedness does   not  mature  or  have  scheduled  amortization  or  payments  of  principal  and  is  not  subject  to   mandatory  redemption  or  prepayment  (excluding  the  effects  of  nominal  amortization  in  the   amount of no greater than one percent per annum and prepayments of Indebtedness), in each case,                                          73   1120544.02G-CHISR02A - MSW  

 

    prior to the date that is 181 days after the Maturity Date at the time such Indebtedness is incurred,   and  (iii) such  Refinanced  Debt  shall  be  repaid,  defeased  or  satisfied  and  discharged,  and  all   accrued interest, fees and premiums (if any) in connection therewith shall be paid, on the date   such  Secured  Term  Loan  Credit  Agreement  Refinancing  Indebtedness  is  issued,  incurred  or   obtained.           “Secured Term  Loan  Documents”  shall  mean  the  Secured  Term  Loan  Credit  Agreement  and  the  other  “Loan  Documents”  as  defined  in  the  Secured  Term  Loan  Credit  Agreement and any corresponding term in any successor Secured Term Loan Credit Agreement  permitted  hereby,  including  the  mortgages  and  other  security  documents,  guaranties  and  the  notes issued thereunder.         “Secured Term Loan Incremental Equivalent Indebtedness” shall mean Indebtedness  permitted under the Secured Term Loan Credit Agreement in lieu of incremental Secured Term  Loans thereunder; provided that (i) the terms of such Indebtedness are governed by agreements   other than the Secured Term Loan Documents, and (ii) such Indebtedness would have met the   requirements  of  either  the  definition  of  “Permitted  First  Priority  Refinancing  Debt”,  the   definition  of  “Permitted  Second  Priority  Refinancing  Debt”,  or the  definition  of  “Permitted   Unsecured Refinancing Debt”, if such Indebtedness had been incurred to refinance outstanding   incremental  Term  Loans  thereunder  (with  each  reference  to  “Refinanced  Debt”  contained  (or   referred  to)  in  such  definitions  being  deemed  to  refer  to  the  then  outstanding  Secured  Term   Loans).          “Secured Term  Loans”  shall  mean,  collectively,  the  “Loans,”  “Term  Loans,”   “Incremental Term Loans” and the “Other Term Loans”, each as defined in the Secured Term   Loan  Credit  Agreement  (or  any  similar  term  in  any  Secured  Term Loan  Credit  Agreement   Refinancing Indebtedness).          “Securities Act” shall mean the Securities Act of 1933.          “Securities Collateral” shall mean the “Securities Collateral” as defined in the Secured   Term Loan Credit Agreement.          “Securitization  Assets”  shall  mean  all  existing  or  hereafter  acquired  or  arising   (i) Receivables  that  are  sold,  assigned  or  otherwise  transferred  pursuant  to  a  Qualified   Securitization Transaction, (ii) the Related Security with respect to the Receivables referred to in   clause  (i)  above,  (iii)  the  collections  and  proceeds  of  the  Receivables  and  Related  Security   referred to in clauses (i) and (ii) above, (iv) all lockboxes, lockbox accounts, collection accounts   or other deposit accounts into which such collections are deposited (and in any event excluding   any  lockboxes,  lockbox  accounts,  collection  accounts  or  deposit  accounts  that  any  Company   organized under the laws of any Principal Jurisdiction has an interest in (other than in connection   with a Permitted German Alternative Financing, any Permitted Customer Account Financing and                                          74   1120544.02G-CHISR02A - MSW  

 

    any Permitted Novelis Switzerland Financing)) and which have been specifically identified and   consented to by the Administrative Agent, (v) all other rights and payments which relate solely   to such Receivables and (vi) all cash reserves comprising credit enhancements for such Qualified   Securitization Transaction.          “Securitization  Entity”  shall  mean  any  corporation,  company  (including  any  limited   liability company), association, partnership, joint venture, trust, mutual fund or other business  entity to which any Restricted Subsidiary (excluding any Restricted Subsidiary that is organized  in a Principal Jurisdiction (excluding from such requirement that such Restricted Subsidiary not  be  organized  in  a  Principal  Jurisdiction,  any  Permitted  German Alternative  Financing,  any  Permitted Customer Account Financing and any Permitted Novelis Switzerland Financing)) or  any other Securitization Entity transfers Receivables and Related Security) (a) which engages in  no  activities  other  than  in  connection  with  the  financing  of  Receivables  or  Related  Security,  (b) which is designated by the Board of Directors of the Designated Company as a Securitization  Entity, (c) no portion of the Indebtedness or any other obligations (contingent or otherwise) of  which  (i)  is  guaranteed  by  the  Designated  Company  or  any  Restricted  Subsidiary  (excluding  guarantees of  such  transferor  Restricted  Subsidiary  of  obligations (other than the principal of,  and interest on, Indebtedness) pursuant to Standard Securitization Undertakings and guarantees  by  the  Securitization  Entity),  (ii)  is  recourse  to  or  obligates  the  Designated  Company  or  any  Restricted  Subsidiary  (other  than  the  Securitization  Entity)  in  any  way  other  than  pursuant  to  Standard  Securitization  Undertakings  or  (iii)  subjects  any  property  or  asset  of  the  Designated  Company  or  any  Restricted  Subsidiary  (other  than  the  Securitization  Entity),  directly  or  indirectly, contingently or otherwise, to the satisfaction thereof, other than pursuant to Standard  Securitization Undertakings and other than any interest in the Receivables and Related Security  being  financed  (whether  in  the  form  of  any  equity  interest  in  such  assets  or  subordinated  indebtedness payable primarily from such financed assets) retained or acquired by the transferor  Restricted  Subsidiary,  (d)  to  which  none  of  the  Designated  Company  nor  any  Restricted  Subsidiary has any obligation to maintain or preserve such entity’s financial condition or cause  such entity to achieve certain levels of operating results and (e) with which none of Holdings, the  Designated Company nor any Restricted Subsidiary of the Designated Company has any material  contract, agreement, arrangement or understanding other than those customary for a Qualified  Securitization  Transaction  and, in  any  event,  on  terms  no  less favorable  to  the  Designated  Company  or  such  Restricted  Subsidiary  that  those  that  might  be obtained  at  the  time  from  Persons that are not Affiliates of the Designated Company or such Restricted Subsidiary. Any  such designation by the Board of Directors shall be evidenced to the Administrative Agent by  providing  the  Administrative  Agent  with  a  certified  copy  of  the  resolution  of  the  Board  of  Directors  giving  effect  to  such  designation  and  an  Officers’  Certificate  certifying  that  such  designation complied with the foregoing conditions.         “Senior Note Agreements” shall mean (a) the Indenture, dated as of August 29, 2016, by  and among the U.S. Issuer, the guarantors from time to time party thereto, and Regions Bank, as  trustee, and (b) the Indenture, dated as of September 14, 2016, by and among the U.S. Issuer, the  guarantors from time to time party thereto, and Regions Bank, as trustee, in each case pursuant to   which the applicable Senior Notes were issued.                                           75   1120544.02G-CHISR02A - MSW  

 

          “Senior Note Documents” shall mean the Senior Notes, the Senior Note Agreements, the   Senior  Note  Guarantees  and  all  other  documents  executed  and  delivered  with  respect  to  the   Senior Notes or the Senior Note Agreements.          “Senior Note Guarantees” shall mean the guarantees of the Loan Parties (other than the   U.S. Issuer) pursuant to the Senior Note Agreements.          “Senior Notes” shall mean the U.S. Issuer’s 6.25% Senior Notes due 2024 and 5.875%  Senior Notes due 2026, each issued pursuant to the applicable Senior Note Agreements, and any  senior notes issued pursuant to a Permitted Refinancing of the Senior Notes (and any Registered  Equivalent Notes).         “Senior  Secured  Net  Leverage  Ratio”  shall  mean,  with  respect  to  any  date  of  determination (the “Calculation Date”), the ratio of (a) Consolidated Total Net Debt as of the  Calculation Date (other than any portion of Consolidated Total Net Debt that is unsecured or is   secured  solely  by  Liens  that  are  subordinated  to  the  Liens  securing the Pari Passu Secured   Obligations  (as  defined  in  the  Intercreditor  Agreement  (as  defined  in  the  Secured  Term  Loan   Agreement)))  (it  being  understood  that  Indebtedness  under  the  Revolving  Credit  Loan   Documents  and  the  Secured  Term  Loan  Documents  which  constitutes  Consolidated  Total  Net   Debt will be included in the Senior Secured Net Leverage Ratio) to (b) Consolidated EBITDA   for  the  Test  Period  most  recently  ended  prior  to  the  Calculation  Date  for  which  financial   information  has  been  delivered  to  the  Administrative  Agent  and the  Lenders  pursuant  to   Section 5.01(a) or (b).          “Series  of  Cash  Neutral  Transactions”  shall  mean  any  series  of  Investments,  incurrences  of  Indebtedness,  Asset  Sales  in  the  form  of  transfers  of  intercompany  promissory   notes  and  Equity  Interests  or  similar  instruments  and/or  Dividends  solely  among  Companies;   provided that (i) the amount of cash or Cash Equivalents transferred by any Company (each such   Company,  an  “Initiating  Company”)  to  another  Company  in  such  Series  of  Cash  Neutral   Transactions  is  not  greater  than  the  amount  of  cash  or  Cash  Equivalents  received  by  such   Initiating  Company  in  such  Series of Cash Neutral Transactions less  reasonable  transaction   expenses  and  taxes  (which  cash  and  Cash  Equivalents  must  be  received  by  such  Initiating   Company  within  three  Business  Days  of  the  initiation  of  such  Series  of  Cash  Neutral   Transactions), (ii) [intentionally omitted], (iii) no more than $50,000,000 in aggregate of cash or   Cash  Equivalents  may  be  held  by  Companies  that  are  not  Loan  Parties  in  connection  with   transfers from Loan Parties as part of such Series of Cash Neutral Transactions (and any such   Company  that is  not  a Loan  Party may  not  retain  any  of  such  cash  or  Cash  Equivalents  after   giving effect to the Cash Neutral Transactions), (iv) the fair market value of the assets (other   than  cash  or  Cash  Equivalents)  that  may  be  held  by  Companies  that  are  not  Loan  Parties  in   connection with transfers from Loan Parties as part of such Series of Cash Neutral Transactions   may not exceed $50,000,000 in the aggregate and (v) the ownership interests of any Unrestricted   Grantor in any of its Subsidiaries shall not be reduced as a result thereof.                                           76   1120544.02G-CHISR02A - MSW  

 

          “Significant Event of Default” shall mean any Event of Default under Section 8.01(a),   (b), (g) or (h).          “Similar Business” shall mean any business conducted by the Parent and the other Loan  Parties on the Effective Date as described in the Company’s Form 10-Q filed with the United  States  Securities  and  Exchange  Commission  on  November  2,  2018  (or,  in  the  good  faith  judgment of the Board of Directors of the Designated Company, which is substantially related  thereto or is a reasonable extension thereof).          “Specified Aleris Hedging Agreements” shall mean Hedging Agreements with Aleris or  any of its Subsidiaries that are required to be secured by a Lien on any assets of Aleris or any of  its Subsidiaries, in each case other than solely as a result of the designation of any counterparty  thereto as a “Secured Hedge Provider” in accordance with the terms of, and as defined in, the  Secured Term Loan Credit Agreement.         “Specified Aleris Subsidiaries” shall mean, after giving effect to the Acquisition, each   direct or indirect Foreign Subsidiary of Aleris that (a) is a borrower under the Revolving Credit   Agreement, or (b) directly or indirectly owns one or more Subsidiaries described in clause (a)   above.          “Specified Divestiture” shall mean any Asset Sale by Aleris or any of its Subsidiaries, or   Holdings or any of its Subsidiaries, required in connection with obtaining regulatory (including   antitrust) approval for the Aleris Acquisition, whether or not such Asset Sale occurs prior to or   after the Aleris Acquisition Closing Date.          “Specified  Equity  Contribution”  shall  mean  any  cash  contribution  to  the  common   equity  of  Holdings  and/or  any  purchase  or  investment  in  an  Equity  Interest  of  Holdings  other   than Disqualified Capital Stock in each case made pursuant to Section 8.04.          “Specified Holders” shall mean Hindalco and its Affiliates.          “Specified  Time”  shall  mean,  with  respect  to  each  Interest  Period,  at  approximately   11:00  a.m.  (London  time)  on  the  date  that  is  two  London  Banking  Days  prior  to  the   commencement of such Interest Period.          “Specified  Transaction”  shall  mean,  with  respect  to  any  period,  any  Permitted   Acquisition  (other  than  any  Permitted  Acquisition  where  the  amount  of  the  Acquisition   Consideration plus the fair market value of any Equity Interests which constitutes all or a portion   of the purchase price is less than $15,000,000), any Asset Sale (other than (x) any disposition in   the ordinary course of business and (y) any disposition where the fair market value of the assets   disposed  of  is  less  than  $15,000,000),  any  Dividend  made  pursuant  to  Section  6.08(d),  any                                          77   1120544.02G-CHISR02A - MSW  

 

    designation  or  redesignation  of  a  Subsidiary  as  a  Restricted  Subsidiary  or  an  Unrestricted   Subsidiary,  any  incurrence  or  prepayment  of  Indebtedness  (including  any  transaction  under   Section 6.11), or any “Incremental Term Loan” under and as defined in the Secured Term Loan   Agreement or Revolving Credit Commitment increase.          “Spot  Selling  Rate” shall mean,  on any date of determination for a currency, the rate   quoted by the Administrative Agent as the spot rate for the purchase by the Administrative Agent   of such currency with another currency through its principal foreign exchange trading office at   approximately 11:00 a.m. on the date 2 Business Days prior to the date as of which the foreign   exchange  computation  is  made;  provided  that  the  Administrative Agent  may  obtain  such  spot   rate  from  another  financial  institution  designated  by  the  Administrative  Agent  if  the   Administrative Agent does not have as of the date of determination a spot buying rate for any   such currency.          “Standard Factoring Undertakings” shall mean representations, warranties, covenants   and  indemnities  entered into  by  any  Restricted Subsidiary that are  negotiated  in  good  faith  at   arm’s  length  in  a  Receivables  factoring  transaction  so  long  as none  of  the  same  constitute   Indebtedness  or  a  Contingent  Obligation  (other  than  in  connection  with  an  obligation  to   repurchase  receivables  that  do  not  satisfy  related  representations  and  warranties)  or  otherwise   require  the  provision  of  credit  support  in  excess  of  customary credit  enhancement  established   upon  entering  into  such  Receivables  factoring  transaction  negotiated  in  good  faith  at  arm’s   length.          “Standard  Securitization  Undertakings”  shall  mean  representations,  warranties,  covenants and indemnities entered into by any Restricted Subsidiary that are negotiated in good  faith  at  arm’s  length  in  a  Receivables  securitization  transaction  so  long  as  none  of  the  same  constitute Indebtedness, a Contingent Obligation (other than in connection with an obligation to  repurchase  receivables  that  do  not  satisfy  related  representations  and  warranties)  or  otherwise  require  the  provision  of  credit  support  in  excess  of  customary credit  enhancement  established  upon entering into such Receivables securitization transaction negotiated in good faith at arm’s  length.         “Subordinated  Indebtedness”  shall  mean  Indebtedness  of  a  Loan  Party  that  is  subordinated  by  its  terms  (including  pursuant  to  the  terms  of  any  subordination  agreement,  intercreditor agreement, or otherwise) in right of payment to the Obligations of such Loan Party.         “Subordination Agreement” shall mean that certain Subordination Agreement, dated as  of the Effective Date, by and among the Loan Parties and the Administrative Agent.         “Subsidiary” shall mean, with respect to any person (the “parent”) at any date, (i) any  corporation, limited liability company, association or other business entity of which securities or  other ownership interests representing more than 50% of the voting power of all Equity Interests                                          78   1120544.02G-CHISR02A - MSW  

 

    entitled (without regard to the occurrence of any contingency) to vote in the election of the Board   of Directors thereof are, as of such date, owned, controlled or held by the parent and/or one or   more subsidiaries of the parent, (ii) any partnership (a) the sole general partner or the managing   general partner of which is the parent and/or one or more subsidiaries of the parent or (b) the   only general partners of which are the parent and/or one or more subsidiaries of the parent and   (iii) any other person that is otherwise Controlled by the parent and/or one or more subsidiaries   of  the  parent.  Unless  the  context  requires  otherwise,  “Subsidiary”  refers  to  a  Subsidiary  of   Holdings.  Notwithstanding  the  foregoing,  (A)  Logan  shall  not  be  treated  as  a  Subsidiary   hereunder or under the other Loan Documents unless it qualifies as a Subsidiary under clause (i)   of this definition and (B) except as set forth in clause (ii) below, Ulsan JV Subsidiary shall not be   treated  as  a  Subsidiary  hereunder  or  under  the  other  Loan  Documents  at  any  time  that   (x) Holdings directly or indirectly owns Equity Interests in Ulsan JV Subsidiary and (y) Holdings   or any of its Subsidiaries has the right to elect no more than half of the directors of Ulsan JV   Subsidiary  and  (ii)  regardless  of  whether  Ulsan  JV  Subsidiary  is  a  Subsidiary,  the  financial   results  of  Ulsan  JV  Subsidiary  shall  be  included  in  all  consolidated  financial  results  of  the   Designated Company and its Subsidiaries to the extent the Designated Company consolidates the   results of Ulsan JV Subsidiary in its financial statements in accordance with US GAAP; provided   that the proportionate interest of the Ulsan Joint Venture Partner in the Ulsan JV Subsidiary and   any liability of the Ulsan JV Subsidiary to pay Distributions to the Ulsan Joint Venture Partner  with  respect  to  such  proportionate  interest  shall  be  excluded  for  the  purposes  of  all  financial  definitions under this Agreement.         “Subsidiary  Guarantor”  shall  mean  each  Restricted  Subsidiary  listed  on  Schedule 1.01(b),  and  each  other  Restricted  Subsidiary  that  is or  becomes  a  party  to  this   Agreement as a Subsidiary Guarantor pursuant to Section 5.11.          “Successor Holdings” shall have the meaning assigned to such term in the definition of   “Permitted Holdings Amalgamation”.          “Successor  Parent”  shall  have  the meaning  assigned  to  such  term  in  the  definition  of  “Permitted Holdings Amalgamation.         “Successor Rate” shall have the meaning assigned to such term in Section 2.11.          “Surviving Aleris Debt” shall mean, to the extent outstanding on the Aleris Acquisition   Closing Date after giving effect to the Aleris Acquisition, Indebtedness incurred by one or more   Companies organized under the laws of the People’s Republic of China that is not a Loan Party   pursuant  to  the  terms  of  the  non-recourse  multi-currency  secured  term  loan  facilities  and  the   revolving facilities of Aleris Aluminum (Zhenjiang) Co., Ltd., in each case, as in effect on the  Aleris Acquisition Closing Date.                                           79   1120544.02G-CHISR02A - MSW  

 

          “Swiss Guarantor” shall mean each Restricted Subsidiary of the Designated Company   organized in Switzerland party hereto as a Guarantor, and each other Restricted Subsidiary of the   Designated  Company  incorporated in Switzerland that becomes a Guarantor  pursuant  to  the   terms hereof.          “Swiss Withholding Tax” shall mean any withholding tax in accordance with the Swiss   Federal  Statute  on  Anticipatory  Tax  of  13  October  1965  (Bundesgesetz uber die   Verrechnungssteuer) and any successor provision, as appropriate.          “Synthetic Lease  Obligation” shall mean the monetary obligation of a Person under a   so-called synthetic, off-balance sheet or tax retention lease.          “Tax  Return”  shall  mean  all  returns,  statements,  filings,  attachments  and other   documents or certifications required to be filed in respect of Taxes.          “Taxes”  shall  mean  all  present  or  future  taxes,  levies,  imposts,  duties,  deductions,  withholdings, payroll, social security, employment and unemployment taxes, assessments, fees  or other charges imposed by any Taxing Authority, including any interest, additions to tax or  penalties applicable thereto.         “Taxing  Authority”  shall  mean  any  Governmental  Authority  of  any  jurisdiction  or  political subdivision thereof with the authority to impose, assess, and collect Taxes and engage in  activities of a similar nature with respect to such Taxing Authority.         “Term Loan Commitment” shall mean, with respect to each Lender, the commitment, if  any,  of  such  Lender  to  make  Term  Loans  hereunder  up  to  the  amount  set  forth  on  Schedule 1.01(a)  to  this  Agreement  directly  under  the  column  entitled  “Term  Loan   Commitment”. The aggregate amount of the Lenders’ Term Loan Commitments on the Effective   Date is $1,500,000,000.          “Term  Loans”  shall  mean  the  Term  Loans  made  on  the  Closing  Date  pursuant  to   Section 2.01(a).          “Test  Period”  shall  mean,  at  any  time,  the  four  consecutive  fiscal  quarters of the   Designated Company then last ended (in each case taken as one accounting period).          “Third Lien Administrative Agent” shall mean any Person acting in such capacity as   administrative agent under any Third Lien Credit Agreement and its successors and assigns in   such capacity.                                           80   1120544.02G-CHISR02A - MSW  

 

          “Third  Lien  Collateral  Agent”  shall  mean  any  Person  acting  in  such  capacity  as   collateral agent under any Third Lien Credit Agreement and its successors and assigns in such   capacity.          “Third  Lien  Credit  Agreement”  shall  mean  any  credit  agreement  among  the  Loan   Parties,  any  Third  Lien  Administrative  Agent,  any  Third  Lien  Collateral  Agent  and  the  other   parties thereto from time to time, as amended, restated, supplemented or modified from time to   time to the extent permitted by this Agreement; provided that the aggregate principal amount of   Indebtedness incurred thereunder does not exceed $200,000,000.          “Third  Lien  Security  Documents” shall mean any security documents under which a   Lien has been granted in favor of any Third Lien Collateral Agent and/or any other Person that is   a  “Secured  Party”  under  the  Third  Lien  Credit  Agreement  to  secure  any  obligations  under  a   Third Lien Credit Agreement.           “Total Net Leverage Ratio” shall mean, with respect to any Calculation Date, the ratio   of (a) Consolidated Total Net Debt as of the Calculation Date to (b) Consolidated EBITDA for   the Test Period most recently ended prior to the Calculation Date for which financial information   has  been  delivered  to  the  Administrative  Agent  and  the  Lenders pursuant  to  Section  5.01(a)   or (b).           “Trade Date” shall have the meaning assigned to such term in Section 11.04(g)(i).          “Transactions”  shall  mean,  collectively,  the  financing  of  a  portion  of  the  Aleris   Acquisition,  and  the  payment  of  all  fees,  costs  and  expenses  in  connection  therewith  and  in   connection with the execution and delivery of the Loan Documents and the initial borrowings   hereunder,  and  in  connection  with  the  incurrence  of  additional term  loans  under  the  Secured   Term Loan Credit Agreement on the Closing Date.          “Transferred Guarantor” shall have the meaning assigned to such term in Section 7.09.          “Type,” when used in reference to any Loan or Borrowing, refers to whether the rate of  interest on such Loan, or on the Loans comprising such Borrowing, is determined by reference to  the Eurodollar Rate or the Fallback Rate.         “UCC” shall mean the Uniform Commercial Code as in effect from time to time in the  State of New York; provided that if perfection or the effect of perfection or non-perfection or the   priority of any security interest in any asset is governed by the Uniform Commercial Code as in   effect  in  a  jurisdiction  other  than  the  State  of  New  York,  “UCC”  shall  mean  the  Uniform   Commercial Code as in effect from time to time in such other jurisdiction for purposes relating to   such perfection, effect of perfection or non-perfection or priority.                                          81   1120544.02G-CHISR02A - MSW  

 

        “Ulsan  Joint  Venture  Partner”  shall  mean  Kobe  Steel,  Ltd.,  a  company  organized  under the laws of Japan.         “Ulsan  JV  Subsidiary” shall mean a joint venture stock company organized, or to be  organized, in Korea, and registered, or to be registered, in the Commercial Corporate Registry in  Korea.         “Ulsan  Sale  Agreement”  shall  mean  that  certain  share  sale  and  purchase  agreement,  dated as of May 10, 2017, between NKL and the Ulsan Joint Venture Partner.          “Ulsan  Share  Sale”  shall  mean  the  sale,  pursuant  to  the  terms  of  the  Ulsan  Sale  Agreement,  by  NKL  of  49.9%%  of  the  Equity  Interests  owned  by  NKL in the Ulsan JV  Subsidiary to the Ulsan Joint Venture Partner, for cash in the amount of $314,370,000, and the  subsequent  sale  by  NKL  of  0.1%  of  the  Equity  Interests  owned  by  NKL  in  the  Ulsan  JV  Subsidiary to the Ulsan Joint Venture Partner, for cash in the amount of $630,000.         “Undisclosed  Administration”  means,  in  relation  to  a  Lender  or  its  direct  or  indirect  parent  company,  the  appointment  of  an  administrator,  provisional  liquidator,  conservator,  receiver, trustee, custodian, or other similar official by a supervisory authority or regulator under  or based on the law in the country where such Lender or such parent company is subject to home  jurisdiction, if applicable law requires that such appointment not be disclosed.         “U.K.  Guarantor” shall mean each Restricted Subsidiary of the Designated Company  incorporated  in  England  and  Wales  party  hereto  as  a  Guarantor, and  each  other  Restricted  Subsidiary  of  the  Designated  Company  incorporated  in  England  and  Wales  that  becomes  a  Guarantor pursuant to the terms hereof.         “U.K.  Holdco”  shall  mean  a  newly  formed  direct  Wholly  Owned  Subsidiary  of  AV  Minerals,  organized  under  the  laws  of  England  and  Wales,  formed  in  connection  with  the  Permitted Reorganization.         “United States” shall mean the United States of America.         “Unrestricted Cash” shall mean cash and Cash Equivalents of the Designated Company  and  its  Restricted  Subsidiaries  (in  each  case,  free  and  clear  of  all  Liens  (other  than  Liens  permitted  pursuant  to  Section  6.02(a),  (j),  and  (k)),  to  the  extent  the  use  thereof  for  the  application  to  payment  of  Indebtedness  is  not  prohibited  by  law  or  any  contract  to  which  the  Designated  Company  or  any  of  the  Restricted  Subsidiaries  is  a  party  and  excluding  cash  and  Cash  Equivalents  which  are  listed  as  “restricted”  on  the  consolidated  balance  sheet  of  the  Designated Company and its Subsidiaries as of such date.                                          82  1120544.02G-CHISR02A - MSW  

 

          “Unrestricted Grantors” shall mean Loan Parties that are not Restricted Grantors.          “Unrestricted Subsidiary” shall mean Novelis Services (Europe) Inc., Novelis Services   (North America) Inc. and any Subsidiary of the Designated Company designated by the Board of  Directors  of  the  Designated  Company  as  an  Unrestricted  Subsidiary  pursuant  to  Section  5.16   subsequent to the Effective Date.          “US GAAP” shall have the meaning assigned to such term in Section 1.04.          “U.S.  Guarantor”  shall  mean  each  Restricted  Subsidiary  of  the  Designated  Company   organized in the United States, any state thereof or the District of Columbia, party hereto as a  Guarantor, and each other Restricted Subsidiary of the Designated Company incorporated in the  United States, any state thereof or the District of Columbia that becomes a Guarantor pursuant to  the terms hereof.         “U.S. Issuer” shall mean Novelis Corporation, a Texas corporation.         “U.S. Loan Parties” shall mean the Borrower and the U.S. Guarantors.         “U.S.  Person”  shall  mean  any  Person  that  is  a  “United  States  person”  as  defined  in  Section 7701(a)(30) of the Code.         “U.S. Tax Obligor” shall mean (a) the Borrower which is resident for tax purposes in the   United States; or (b) a Loan Party some or all of whose payments under the Loan Documents are   from sources within the United States for U.S. federal income tax purposes.          “Voting  Stock” shall mean, with respect to any person, any class or classes of Equity   Interests  pursuant  to  which  the  holders  thereof  have  the  general  voting  power  under  ordinary   circumstances to elect at least a majority of the Board of Directors of such person.          “Weighted Average Life to Maturity” shall mean, when applied to any Indebtedness at   any  date,  the  number  of  years obtained  by  dividing:  (a)  the  sum  of  the  products  obtained  by  multiplying (i) the amount of each then remaining installment, sinking fund, serial maturity or  other required payments of principal, including payment at final maturity, in respect thereof, by   (ii) the number of years (calculated to the nearest one-twelfth) that will elapse between such date  and  the  making  of  such  payment;  by  (b) the  then  outstanding  principal  amount  of  such   Indebtedness.                                            83   1120544.02G-CHISR02A - MSW  

 

          “Wholly Owned Subsidiary” shall mean, as to any person, (a) any corporation 100% of   whose capital stock (other than directors’ qualifying shares) is at the time owned by such person   and/or  one  or  more  Wholly  Owned  Subsidiaries  of  such  person  and  (b) any  partnership,   association, joint venture, limited liability company or other entity in which such person and/or   one or more Wholly Owned Subsidiaries of such person have a 100% equity interest at such time.          “Wind-Up”  shall  have  the  meaning  assigned  to  such  term  in  Section  6.05(g),  and  the   term “Winding-Up” shall have a meaning correlative thereto.         “Withdrawal  Liability”  shall  mean  liability  to  a  Multiemployer  Plan  as  a  result  of  a   complete or partial withdrawal from such Multiemployer Plan, as such terms are defined in Part I  of Subtitle E of Title IV of ERISA.         “Withholding Agent” shall mean any Loan Party and the Administrative Agent.         “Write-Down and Conversion Powers” shall mean, with respect to any EEA Resolution  Authority, the write-down and conversion powers of such EEA Resolution Authority from time  to  time  under  the  Bail-In  Legislation  for  the  applicable  EEA  Member  Country,  which  write- down and conversion powers are described in the EU Bail-In Legislation Schedule.   Section 1.02 Classification of Loans and Borrowings. For purposes of this Agreement, Loans   may be classified and referred to by Type (e.g., a “Eurodollar Rate Loan”).   Section 1.03 Terms Generally; Currency Translation. The definitions of terms herein shall   apply equally to the singular and plural forms of the terms defined. Whenever the context may   require, any pronoun shall include the corresponding masculine, feminine and neuter forms. The   words  “include,”  “includes”  and “including”  shall  be  deemed  to be  followed  by  the  phrase   “without limitation.” The word “will” shall be construed to have the same meaning and effect as   the word “shall.” Unless the context requires otherwise (a) any definition of or reference to any   Loan  Document,  agreement,  instrument  or  other  document  (including  any  Organizational   Document)  herein  shall  be  construed  as  referring  to  such  agreement,  instrument  or  other  document as from time to time amended, supplemented or otherwise modified (subject to any  restrictions on such amendments, supplements or modifications set forth herein or in any other  Loan  Document,  including  the  restrictions  set  forth  in  the  definition  of  Aleris  Merger  Agreement), (b) any reference herein to any person shall be construed to include such person’s   successors and assigns, (c) any reference to a Subsidiary of a Person shall include any direct or   indirect Subsidiary of such Person, (d) the words “herein,” “hereof” and “hereunder,” and words   of  similar  import,  shall  be  construed  to  refer  to  this  Agreement  in  its  entirety  and  not  to  any   particular provision hereof, (e) all references herein to Articles, Sections, Exhibits and Schedules   shall  be  construed  to  refer  to  Articles  and  Sections  of,  and  Exhibits  and  Schedules  to,  this   Agreement,  (f) any  reference  to  any  law  or  regulation  herein  shall  include  all  statutory  and   regulatory provisions consolidating, amendment or interpreting such law or regulation and any   reference  to  any  law  or  regulation  shall,  unless  otherwise  specified, refer to such law or                                          84   1120544.02G-CHISR02A - MSW  

 

    regulation as amended, modified or supplemented from time to time, and (g) the words “asset”   and “property” shall be construed to have the same meaning and effect and to refer to any and all   tangible  and  intangible  assets  and  properties,  including  cash, securities,  accounts  and  contract  rights. For purposes of this Agreement and the other Loan Documents, where the permissibility  of a transaction or determinations of required actions or circumstances depend upon compliance  with, or are determined by reference to, amounts stated in dollars, such amounts shall be deemed  to refer to Dollars or Dollar Equivalents and any requisite currency translation shall be based on  the  Spot  Selling  Rate  in  effect  on  the  Business  Day  immediately  preceding  the  date  of  such  transaction or determination and the permissibility of actions taken under Article VI shall not be   affected by subsequent fluctuations in exchange rates (provided that if Indebtedness is incurred   to  refinance  other  Indebtedness,  and  such  refinancing  would  cause  the  applicable  dollar   denominated  limitation  to  be  exceeded  if  calculated  at  the  Spot  Selling  Rate  in  effect  on  the   Business  Day  immediately  preceding  the  date  of  such  refinancing,  such  dollar  denominated   restriction  shall  be  deemed  not  to  have  been  exceeded  so  long  as  (x)  such  refinancing   Indebtedness is denominated in the same currency as such Indebtedness being refinanced and (y)   the principal amount of such refinancing Indebtedness does not exceed the principal amount of   such  Indebtedness  being  refinanced  except  as  permitted  by  the  definition  of  Permitted   Refinancing Indebtedness). For purposes of this Agreement and the other Loan Documents, the  word “foreign” shall refer to jurisdictions other than the United States, the states thereof and the  District of Columbia. From and after the effectiveness of the Permitted Holdings Amalgamation,  all references to the Parent in any Loan Document shall refer to the Successor Parent and (ii) all  references to Holdings in any Loan Document shall refer to “Holdings” as defined herein. In the  case  of  a  conflict  between  the  terms  of  this  Agreement  and  the terms  of  any  other  Loan  Document, the terms of this Agreement shall govern and control.   Section 1.04 Accounting  Terms;  GAAP. Except as otherwise expressly provided herein, all   financial statements to be delivered pursuant to this Agreement shall be prepared in accordance   with generally accepted accounting principles in the United States applied on a consistent basis   as in effect from time to time (“US GAAP”) and all terms of an accounting or financial nature   shall be construed and interpreted in accordance with US GAAP, as in effect from time to time   unless otherwise agreed to by the Designated Company and the Required Lenders or as set forth   below; provided that (i) the Designated Company may elect to convert from US GAAP for the   purposes of preparing its financial statements and keeping its books and records to IFRS and if   the  Designated  Company  makes  such  election  it  shall  give  prompt  written  notice  to  the  Administrative Agent and the Lenders within five Business Days of such election, along with a  reconciliation of the Designated Company’s financial statements covering the four most recent  fiscal  quarters  for  which  financial  statements  are  available  (including  a  reconciliation  of  the  Designated  Company’s  audited  financial  statements  prepared  during  such  period),  (ii)  upon  election of any conversion to IFRS, the Administrative Agent, the Lenders and the Designated  Company shall negotiate in good faith to amend the financial ratios and requirements and other  terms  of  an  accounting  or  a  financial  nature  in  the  Loan  Documents  to  preserve  the  original  intent  thereof  in  light  of  such  conversion  to  IFRS  (subject  to the  approval  of  the  Required  Lenders); provided that, until so amended (x) such ratios or requirements (and all terms of an   accounting or a financial nature) shall continue to be computed in accordance with US GAAP   prior  to  such  conversion  to  IFRS  and  (y)  the  Designated  Company  shall  provide  to  the   Administrative  Agent  and  the  Lenders  any  documents  and  calculations  required  under  this   Agreement  or  as  reasonably  requested  hereunder  by  the  Administrative  Agent  or  any  Lender                                          85   1120544.02G-CHISR02A - MSW  

 

  setting  forth  a  reconciliation  between  calculations  of  such  ratios  and  requirements  and  other  terms  of  an  accounting  or  a  financial  nature  made  before  and  after  giving  effect  to  such  conversion to IFRS and (iii) if at any time any change in US GAAP or change in IFRS would  affect the computation of any financial ratio or requirement or other terms of an accounting or a  financial nature set forth in any Loan Document, and the Designated Company or the Required  Lenders shall so request, the Administrative Agent, the Lenders and the Designated Company  shall negotiate in good faith to amend such ratio or requirement or other terms of an accounting  or a financial nature to preserve the original intent thereof in light of such change in US GAAP  or  change  in  IFRS  (subject  to  the  approval  of  the  Required  Lenders);  provided  that,  until  so  amended, (x) such ratio or requirement or other terms of an accounting or a financial nature shall  continue to be computed in accordance with US GAAP prior to such change therein or change in  IFRS  and  (y) the  Designated  Company  shall  provide  to  the  Administrative  Agent  and  the  Lenders  any  documents  required  under  this  Agreement  or  as  reasonably  requested  hereunder  setting forth a reconciliation between calculations of such ratio or requirement or other terms of  an  accounting  or  a  financial  nature  made  before  and  after giving  effect  to  such  change  in  US  GAAP  or  change  in  IFRS.  Notwithstanding  the  foregoing,  for  purposes  of  determining  compliance  with  any  covenant  contained  herein,  Indebtedness  of Holdings,  the  Designated  Company and its Subsidiaries shall be deemed to be carried at 100% of the outstanding principal  amount thereof, and the effects of FASB ASC 825 on financial liabilities shall be disregarded.  For the avoidance of doubt, with respect to the incurrence of any Indebtedness or the making of  any  Investment,  Asset  Sale,  Sale  Leaseback  Transaction  or  Restricted  Payment  in  reliance  on  any provision of Article VI hereof that is based on a percentage of Consolidated Net Tangible  Assets, such provision shall be deemed to be tested solely upon incurrence of such Indebtedness  or  the  making  of  any  such  Investment,  Asset  Sale,  Sale  Leaseback  Transaction  or  Restricted  Payment  with  respect  to  Consolidated  Net  Tangible  Assets  as  of the  end  of  the  most  recent  period  for  which  financial  statements  have  been  delivered  under  Section  5.01(a)  or  (b).  Notwithstanding  anything  to  the  contrary  in  this  Agreement,  regardless  of  whether  Ulsan  JV  Subsidiary is a Subsidiary, the financial results of Ulsan JV Subsidiary shall be included in all  consolidated financial results of the Designated Company and its Subsidiaries to the extent the  Designated Company consolidates the results of Ulsan JV Subsidiary in its financial statements  in accordance with US GAAP; provided that the proportionate interest of the Ulsan Joint Venture  Partner  in  the  Ulsan  JV  Subsidiary  and  any  liability  of  the  Ulsan  JV  Subsidiary  to  pay  Distributions to the Ulsan Joint Venture Partner with respect to such proportionate interest shall  be excluded for the purposes of all financial definitions under this Agreement. Notwithstanding  anything to the contrary in this Agreement, nothing in this Agreement shall be deemed to require  the consolidation of Ulsan JV Subsidiary into the consolidated financial results of the Designated  Company to the extent not required under US GAAP.   Section 1.05 Resolution of Drafting Ambiguities. Each Loan Party acknowledges and agrees  that  it  was  represented  by  counsel  in  connection  with  the  execution  and  delivery  of  the  Loan  Documents  to  which  it  is  a  party,  that  it  and  its  counsel  reviewed  and  participated  in  the  preparation and negotiation hereof and thereof and that any rule of construction to the effect that  ambiguities  are  to  be  resolved  against  the  drafting  party  shall  not  be  employed  in  the  interpretation hereof or thereof.    Section 1.06 Pro  Forma  Calculations.  Notwithstanding  anything to the contrary herein, the  Total  Net  Leverage  Ratio,  the  Senior  Secured  Net  Leverage  Ratio,  the  Secured  Net  Leverage                                         86  1120544.02G-CHISR02A - MSW  

 

  Ratio  and  the  Consolidated  Interest  Coverage Ratio  shall be  calculated  on  a  Pro  Forma  Basis  with respect to each Specified Transaction occurring during the applicable four quarter period to  which such calculation relates, or subsequent to the end of such four-quarter period but not later  than  the  date  of  such  calculation  (such  period,  the  “Measurement  Period”);  provided  that  notwithstanding the foregoing, for the purpose of calculating the Total Net Leverage Ratio, the  Senior Secured Net Leverage Ratio, and the Secured Net Leverage Ratio on a Pro Forma Basis  on any date, Consolidated Total Net Debt shall be increased on a Dollar Equivalent for Dollar  Equivalent  basis  by  the  lesser  of  (x)  the  amount  of  cash  and  Cash  Equivalents  paid  by  the  Companies  subsequent  to  the  end  of  the  applicable  four  quarter period  and  on  or  prior  to  the  applicable  date  of  determination,  in  connection  with  Specified Transactions  and  (y)  the  maximum amount of cash and Cash Equivalents constituting Unrestricted Cash as of the end of  the applicable four quarter period.   Section 1.07 Calculation of Reference Bank Rate and Cost of Funds.         (a)   Subject to clause (b) below, if the Fallback Rate is to be determined on the basis  of a Reference Bank Rate but a Reference Bank does not supply a quotation by the Specified  Time,  the  Reference  Bank  Rate  shall  be  calculated  on  the  basis of  the  quotations  of  the  remaining Reference Banks.         (b)   If  at  or  about  the  Specified  Time,  none  or  only  one  of  the  Reference  Banks  supplies a quotation, there shall be no Reference Bank Rate for the relevant Interest Period.         (c)   If the Fallback Rate is to be determined on the basis of the Cost of Funds and the  Administrative Agent or the Designated Company so requires, the Administrative Agent and the  Designated Company shall enter into negotiations (for a period of not more than thirty days) with  a view to agreeing a substitute basis for determining the rate of interest. Any alternative basis  agreed pursuant to the immediately preceding sentence shall, with the prior consent of all the  Lenders and the Designated Company, be binding on all Parties.        (d)    If  the  Fallback  Rate  applies,  the  Administrative  Agent  shall,  as  soon  as  is  practicable, notify the Designated Company.   Section 1.08 Role of Reference Banks.         (a)   No Reference Bank, in its capacity as such, is under any obligation to provide a  quotation or any other information to the Administrative Agent.         (b)   No Reference Bank, in its capacity as such, will be liable for any action taken by  it under or in connection with any Loan Document, or for any Reference Bank Quotation, unless  directly caused by such Reference Bank’s gross negligence or willful misconduct.                                          87  1120544.02G-CHISR02A - MSW  

 

        (c)   No  Party  (other  than  the  relevant  Reference  Bank)  may  take  any proceedings  against any officer, employee or agent of any Reference Bank in respect of any claim it might  have against that Reference Bank or in respect of any act or omission of any kind by that officer,  employee or agent in relation to any Loan Document, or to any Reference Bank Quotation, and  any officer, employee or agent of each Reference Bank may rely on this Section 1.08.          (d)    Except as otherwise expressly set forth herein, no Reference Bank that obtains  the benefits of this Section 1.08, shall have any right to notice of any action or to consent to,  direct  or  object  to  any  action  hereunder  or  under  any  other  Loan  Document  or  otherwise  in  respect of the Collateral (including the release or impairment of any Collateral) other than in its  capacity  as  a  Lender  and,  in  such  case,  only  to  the  extent  expressly  provided  in  the  Loan  Documents.         (e)   A  Reference  Bank  which  is  not  a  Party  may  rely  on  this  Section 1.08,  and  Section 1.09.   Section 1.09 Confidentiality of Funding Rates and Funding Bank Quotations.         (a)   Confidentiality and Disclosure               (i)   The  Administrative  Agent  and  each  Loan  Party  agree  to  keep  each        Funding  Rate  (and,  in  the  case  of  the  Administrative  Agent,  each  Reference  Bank        Quotation) confidential and not to disclose it to anyone, save to the extent permitted by        paragraphs (b), (c) and (d) below.               (ii)  The Administrative Agent may disclose:               (1)   any  Funding  Rate  (but  not,  for  the  avoidance  of  doubt,  any  Reference        Bank Quotation) to any Loan Party; and               (2)   any  Funding  Rate  or  any  Reference  Bank  Quotation  to  any  Person        appointed by it to provide administration services in respect of one or more of the Loan        Documents  to  the  extent  necessary  to  enable  such  service  provider  to  provide  those        services if the service provider to whom that information is to be given has entered into a        confidentiality  agreement  in  form  and  substance  reasonably  acceptable  to  the        Administrative Agent and the relevant Lender or Reference Bank, as the case may be.               (iii) The  Administrative  Agent  may  disclose  any  Funding  Rate  or  any        Reference Bank Quotation, and each Loan Party may disclose any Funding Rate, to:                                          88  1120544.02G-CHISR02A - MSW  

 

              (1)   any of its Affiliates and any of its or their respective Related Parties if any        Person to whom that Funding Rate or Reference Bank Quotation is to be given pursuant        to this clause (1) is informed in writing of its confidential nature and that it may be price-       sensitive information except that there shall be no such requirement to so inform if the        recipient  is  subject  to  professional  obligations  to  maintain  the  confidentiality  of  that        Funding  Rate  or  Reference  Bank  Quotation  or  is  otherwise  bound by  requirements  of        confidentiality in relation to it;               (2)   any Person to whom information is required or requested to be disclosed        by any court of competent jurisdiction or any governmental, banking, taxation or other        regulatory authority or similar body, the rules of any relevant stock exchange or pursuant        to any applicable law or regulation if the person to whom that Funding Rate or Reference        Bank Quotation is to be given is informed in writing of its confidential nature and that it        may be price-sensitive information except that there shall be no requirement to so inform        if, in the opinion of the Administrative Agent or the relevant Loan Party, as the case may        be, it is not practicable to do so in the circumstances;               (3)   any Person to whom information is required to be disclosed in connection        with,  and  for  the  purposes  of,  any  litigation,  arbitration,  administrative  or  other        investigations,  proceedings  or  disputes  if  the  Person  to  whom  that  Funding  Rate  or        Reference Bank Quotation is to be given is informed in writing of its confidential nature        and that it may be price-sensitive information except that there shall be no requirement to        so inform if, in the opinion of the Administrative Agent or the relevant Loan Party, as the        case may be, it is not practicable to do so in the circumstances; and               (4)   any Person with the consent of the relevant Lender or Reference Bank, as        the case may be.               (iv)  The  Administrative  Agent’s  obligations  in  this  Section  1.09  relating  to        Reference Bank Quotations are without prejudice to any obligation it has to notify the        Loan  Parties  and  the  Lenders  of  the  determination  of  a  rate  of interest  under  this        Agreement; provided that (other than pursuant to clause (ii)(1) above) the Administrative        Agent shall not include the details of any individual Reference Bank Quotation as part of        any such notification.         (b)   Related Obligations               (i)   The  Administrative  Agent  and  each  Loan  Party  acknowledge  that  each        Funding Rate (and, in the case of the Agent, each Reference Bank Quotation) is or may        be  price-sensitive  information  and  that  its  use  may  be  regulated  or  prohibited  by        applicable  legislation  including  securities  laws  relating  to  insider  dealing  and  market        abuse  and  the  Administrative  Agent  and  each  Loan  Party  undertake  not  to  use  any                                         89  1120544.02G-CHISR02A - MSW  

 

        Funding Rate or, in the case of the Administrative Agent, any Reference Bank Quotation,        for any unlawful purpose.               (ii)  The  Administrative  Agent  and  each  Loan  Party  agree  (to  the  extent        permitted by law and regulation) to inform the relevant Lender or Reference Bank, as the        case may be:               (1)   of  the  circumstances  of  any  disclosure  made  pursuant  to  clause (iii)(2)        except  where  such  disclosure  is  made  to  any  of  the  persons  referred  to  in  that        clause during the ordinary course of its supervisory or regulatory function; and               (2)   upon becoming aware that any information has been disclosed in breach of       this Section 1.09.         (c)   No Event of Default               (i)   No Event of Default shall occur solely as a result of a Loan Party’s failure        to comply with this Section 1.09.   Section 1.10 Amendments  to  Permitted  Customer  Account  Financing  Definition.  Notwithstanding anything to the contrary in this Agreement or in any other Loan Document, if  the definition of “Permitted Customer Account Financing” in the Revolving Credit Agreement is  amended after the Effective Date (each such amendment to such definition, a “Permitted ABL  Customer  Account  Financing  Amendment”),  then  on  and  after  the  first  date  that  the  Companies  have  complied  with  the  Permitted  Customer  Account  Financing  Amendment  Conditions in respect of such Permitted ABL Customer Account Financing Amendment, such  Permitted ABL Customer Account Financing Amendment shall automatically be deemed to have  amended the definition of Permitted Customer Account Financing in this Agreement, and shall  be incorporated by reference in the definition of Permitted Customer Account Financing in this  Agreement  as  if  set  forth  fully  herein, mutatis mutandis.  Thereafter,  upon  the  request  of  the  Administrative  Agent  or  any  Lender,  the  Designated  Company  and the  Administrative  Agent  shall  enter  into  an  additional  agreement  or  an  amendment  to  this  Agreement  (as  the  Administrative  Agent  may  request),  evidencing  the  incorporation of such Permitted ABL  Customer Account Financing Amendment. As of the Effective Date, each Lender party to this  Agreements, and each Lender that becomes a party to this Agreement after the Effective Date,  expressly consents to the terms of this Section 1.10, and hereby agrees that any amendments to  the definition of Permitted Customer Account Financing effected pursuant to this Section 1.10  after the Effective Date shall be deemed to have been consented to by such Lenders (and any  successor or permitted assign thereof).   Section 1.11 Divisions.  For all purposes under the Loan Documents, in connection with any  division  or  plan  of  division  under  Delaware  law  (or  any  comparable  event  under  a  different  jurisdiction’s laws): (a) if any asset, right, obligation or liability of any Person becomes the asset,                                         90  1120544.02G-CHISR02A - MSW  

 

    right, obligation or liability of a different Person, then it shall be deemed to have been transferred   from  the  original  Person  to  the  subsequent  Person,  and  (b)  if  any  new  Person  comes  into   existence,  such  new  Person  shall  be  deemed  to  have  been  organized  on  the  first  date  of  its   existence by the holders of its Equity Interests at such time.                                     ARTICLE II                                                                             THE CREDITS    Section 2.01 Commitments.          (a)   Subject  to  the  terms  and  conditions  and  relying  upon  the  representations  and   warranties herein set forth, each Lender agrees, severally and not jointly, to make a Term Loan   in Dollars to the Initial Borrower pursuant to a single drawing on the Closing Date as set forth   herein in the principal amount not to exceed its Term Loan Commitment.          (b)   Amounts paid or prepaid in respect of Term Loans may not be reborrowed.    Section 2.02 Loans.          (a)   The  Loans  shall  be  made  by  the  Lenders  ratably  in  accordance  with  their   applicable Commitments as part of a single Borrowing on the Closing Date; provided that the   failure of any Lender to make its Loan shall not in itself relieve any other Lender of its obligation  to  lend  hereunder  (it  being  understood,  however,  that  no  Lender  shall  be  responsible  for  the  failure of any other Lender to make any Loan required to be made by such other Lender). The  Loans shall be in an aggregate principal amount that is not less than (and in integral amounts  consistent with) the Minimum Amount.         (b)   Subject to Section 2.11 and Section 2.12, the Loans shall be comprised entirely of   Eurodollar  Rate  Loans,  as  requested  by  the  Initial  Borrower  pursuant  to  Section 2.03.  Each   Lender may at its option make any Eurodollar Rate Loan by causing any domestic or foreign   branch or Affiliate of such Lender to make such Loan; provided that any exercise of such option   shall not affect the obligation of the Borrower to repay such Loan in accordance with the terms   of this Agreement. The Borrower shall not be entitled to request any Borrowing that, if made,   would result in more than three (3) Eurodollar Rate Borrowings hereunder at any one time. For   purposes of the foregoing, Borrowings having different Interest Periods, regardless of whether   they commence on the same date, shall be considered separate Borrowings.          (c)   Each Lender shall make the Loan to be made by it hereunder on the proposed date   thereof  by  wire  transfer  of  immediately  available  funds  to  such  account  in  London  as  the   Administrative  Agent  may  designate  not  later  than  3:00  p.m.,  London  time,  and  the   Administrative  Agent  shall  promptly  credit  the  amounts  so  received  to  an  account  of  the                                          91   1120544.02G-CHISR02A - MSW  

 

    Borrower as directed by the Borrower in the applicable Borrowing Request maintained with the   Administrative  Agent  or,  if  a  Borrowing  shall  not  occur  on  such  date  because  any  condition   precedent  herein  specified  shall  not  have  been  met,  return  the amounts  so  received  to  the   respective Lenders.          (d)   Unless the Administrative Agent shall have received notice from a Lender prior to   the date of any Borrowing that such Lender will not make available to the Administrative Agent   such  Lender’s  portion  of  such  Borrowing,  the  Administrative  Agent may assume that such   Lender  has  made  such  portion  available  to  the  Administrative  Agent  on  the  date  of  such   Borrowing  in  accordance  with  paragraph (c)  above,  and  the  Administrative  Agent  may,  in   reliance  upon  such  assumption,  make  available  to  the  Borrower  on  such  date a  corresponding   amount. If the Administrative Agent shall have so made funds available, then, to the extent that   such  Lender  shall  not  have  made such  portion  available  to  the  Administrative  Agent,  each  of   such Lender and the Borrower severally agrees to repay to the Administrative Agent forthwith on   demand such corresponding amount together with interest thereon, for each day from the date   such  amount  is  made  available  to  the  Borrower  until  the  date  such  amount  is  repaid  to  the   Administrative Agent at (i) in the case of the Borrower, the interest rate applicable at the time to   the  Loans  comprising  such  Borrowing  and  (ii) in  the  case  of  such  Lender,  the  greater  of  the   Interbank Rate and a rate determined by the Administrative Agent in accordance with banking   industry rules on interbank compensation. If such Lender shall repay to the Administrative Agent   such  corresponding  amount,  such  amount  shall  constitute  such  Lender’s  Loan  as  part  of  such   Borrowing  for  purposes  of  this  Agreement,  and  the  Borrower’s  obligation  to  repay  the   Administrative Agent such corresponding amount pursuant to this Section 2.02(d) shall cease.          (e)   Notwithstanding anything to the contrary contained herein, the Borrower shall not  be  entitled  to  request,  or  to  elect  to  convert  or  continue,  any  Borrowing  if  the  Interest  Period  requested with respect thereto would end after the Maturity Date of such Loans.   Section 2.03 Borrowing Procedure. To request a Borrowing, the Designated Company or the   Initial Borrower shall deliver, by hand delivery, telecopier or, to the extent separately agreed by   the  Administrative  Agent,  by  an  electronic  communication  in  accordance  with  the  second   sentence of Section 11.01(b) and the second paragraph of Section 11.01(d), a duly completed and   executed Borrowing Request to the Administrative Agent not later than 10:00 a.m., London time,   three  (3)  Business  Days  before  the date  of  the proposed  Borrowing. Each Borrowing Request   shall  be  irrevocable  (provided  that  if  such  Borrowing  Request  indicates  that  it  is  conditioned   upon the effectiveness of other credit facilities or any other financing, sale or other transaction,   such Borrowing Request may be revoked if such credit facilities, other financing, sale or other   transaction is not consummated) and shall specify the following information in compliance with   Section 2.02:          (a)   the aggregate amount of such Borrowing;          (b)   the date of such Borrowing, which shall be a Business Day;                                           92   1120544.02G-CHISR02A - MSW  

 

          (c)   the initial Interest Period to be applicable to each such Borrowing, which shall be   a period contemplated by the definition of the term “Interest Period”;         (d)   the location and number of the Borrower’s account(s) to which funds are to be   disbursed, which shall comply with the requirements of Section 2.02(c); and          (e)   that the conditions set forth in Sections 4.02 and 4.03 have been satisfied as of the   date of the notice.          Subject to the first proviso in the definition of “Interest Period,” if no Interest Period is   specified with respect to any requested Eurodollar Rate Borrowing, then the Borrower shall be   deemed to have selected an Interest Period of three month’s duration. Promptly following receipt   of a Borrowing Request in accordance with this Section, the Administrative Agent shall advise   each Lender of the details thereof and of the amount of such Lender’s Loan to be made as part of   the requested Borrowing.    Section 2.04 Repayment of Loans; Evidence of Debt.          (a)   Promise to Repay. The Borrower hereby unconditionally promises to pay to the   Administrative  Agent,  for  the  account  of  each  applicable  Lender,  the  then  unpaid  principal   amount of each Term Loan of such Lender made to the Borrower on the Maturity Date of such   Term  Loans,  together  with  all  other  Obligations  outstanding  at such  time.  All  payments  or   repayments of Loans made pursuant to this Section 2.04(a) shall be made in Dollars.           (b)   Lender  and  Administrative  Agent  Records.  Each  Lender  shall  maintain  in   accordance  with  its  usual  practice  an  account  or  accounts  evidencing  the  Indebtedness  of  the   Borrower  to  such  Lender  resulting  from  each  Loan  made  by  such  Lender  from  time  to  time,   including the amounts of principal and interest payable and paid to such Lender from time to  time under this Agreement. The Administrative Agent shall maintain accounts in which it will  record  (i) the  amount  of  each  Loan  made  hereunder,  the  Type  thereof  and  the  Interest  Period  applicable thereto; (ii) the amount of any principal or interest due and payable or to become due  and  payable  from  the  Borrower  to  each  Lender  hereunder;  and  (iii) the  amount  of  any  sum  received  by  the  Administrative  Agent  hereunder  for  the  account of  the  Lenders  and  each  Lender’s  share  thereof.  The  entries  made  in  the  accounts  maintained  pursuant  to  this  paragraph shall be prima facie evidence of the existence and amounts of the obligations therein  recorded; provided that the failure of any Lender or the Administrative Agent to maintain such   accounts or any error therein shall not in any manner affect the obligations of the Borrower to   repay the Loans in accordance with their terms.          (c)   Promissory Notes. Any Lender by written notice to the Borrower (with a copy to   the Administrative Agent) may request that Loans made by it be evidenced by a promissory note.   In  such  event,  the  Borrower  shall  prepare,  execute  and  deliver to  such  Lender  one  or  more                                          93   1120544.02G-CHISR02A - MSW  

 

  promissory  notes  payable  to  such  Lender  or  its  registered  assigns  in  the  form  of  Exhibit K.  Thereafter, the Loans evidenced by such promissory note and interest thereon shall at all times  (including after assignment pursuant to Section 11.04) be represented by one or more promissory  notes in such form payable to such payee or its registered assigns.   Section 2.05 Fees.         (a)   Fees. The Borrower agrees to pay all Fees payable pursuant to each Fee Letter, in  the amounts and on the dates set forth therein.         (b)   All Fees shall be paid on the dates due, in immediately available funds in dollars,  to  the  Administrative  Agent.  Once  paid,  none  of  the  Fees  shall be  refundable  under  any  circumstances.   Section 2.06 Interest on Loans.          (a)   Fallback  Rate  Loans.  Subject  to the  provisions  of  Section  2.06(c),  the  Loans  comprising each Fallback Rate Borrowing shall bear interest at a rate per annum equal to the  Fallback Rate plus the Applicable Margin; provided that for any Interest Period of less than one  month, the Fallback Rate shall be calculated based on an Interest Period of one month.        (b)   Eurodollar  Rate  Loans.  Subject  to  the  provisions  of  Section  2.06(c),  the  Loans  comprising each Eurodollar Rate Borrowing shall bear interest at a rate per annum equal to the  Eurodollar Rate for the Interest Period in effect for such Borrowing plus the Applicable Margin;  provided  that  for  any  Interest  Period  of  less  than  one  month,  the  Eurodollar  Rate  shall  be  calculated based on an Interest Period of one month.         (c)   Default  Rate.  Notwithstanding  the  foregoing,  if  at  any  time  any  principal  of  or  interest on any Loan or any fee or other amount payable by the Loan Parties hereunder has not  been paid when due, whether at stated maturity, upon acceleration or otherwise and for so long  as  such  amounts  have  not  been  paid,  such  overdue  amount  shall, to  the  extent  permitted  by  applicable law, bear interest, after as well as before judgment, at a per annum rate equal to (i) in  the case of principal of or interest on any Loan, 2% plus the rate otherwise applicable to such  Loan as provided in the preceding paragraphs of this Section 2.06 and of Sections 2.11 and 2.12  or (ii) in the case of any other amount, 2% plus the rate applicable to Eurodollar Rate Loans as  provided in Section 2.06(b) (in either case, the “Default Rate”).         (d)   Interest Payment Dates. Accrued interest on each Loan shall be payable in arrears  on  each  Interest  Payment  Date  for  such  Loan;  provided  that  (i) interest  accrued  pursuant  to  Section 2.06(c) shall be payable on demand, (ii) in the event of any repayment or prepayment of  any Loan, accrued interest on the principal amount repaid or prepaid shall be payable on the date  of such repayment or prepayment and (iii) in the event of any conversion of any Eurodollar Rate                                         94  1120544.02G-CHISR02A - MSW  

 

  Loan prior to the end of the current Interest Period therefor, accrued interest on such Loan shall  be payable on the effective date of such conversion.         (e)   Interest  Calculation.  All  interest  hereunder  shall  be  computed on  the  basis  of  a  year of 360 days and shall be payable for the actual number of days elapsed (including the first  day  but  excluding  the  last  day).  The  applicable  Fallback  Rate  or  Eurodollar  Rate  shall  be  determined  by  the  Administrative  Agent  in  accordance  with  the  provisions  of  this  Agreement  and such determination shall be conclusive absent manifest error.         (f)   Currency  for  Payment  of  Interest.  All  interest  paid  or  payable pursuant  to  this  Section 2.06 shall be paid in Dollars.   Section 2.07 Termination of Commitments; Repayment of Loans on Maturity Date. Any  undrawn Commitments shall automatically terminate at 5:00 p.m., London time, on the earlier to  occur of (i) the Closing Date after giving effect to the funding of the Term Loans on such date  and (ii) the Agreement Termination Date. To the extent not previously paid, all Term Loans shall  be due and payable on the Maturity Date.    Section 2.08 Interest Elections.         (a)   Generally.  Each  Borrowing  initially  shall  be  a  Eurodollar  Rate Borrowing  and  shall have an initial Interest Period as specified in such Borrowing Request. Thereafter, subject  to Sections 2.11 and 2.12, the Borrower may elect to rollover or continue such Borrowing and  the Interest Periods therefor, all as provided in this Section. Subject to Sections 2.11 and 2.12,  the  Borrower  may  elect  different  options  with  respect  to  different  portions  (not  less  than  the  Minimum Amount) of the affected Borrowing, in which case each such portion shall be allocated  ratably  among  the  Lenders  holding  the  Loans  comprising  such  Borrowing,  and  the  Loans  comprising  each  such  portion  shall  be  considered  a  separate  Borrowing.  Notwithstanding  anything to the contrary, (i) no Borrower shall be entitled to request any conversion, rollover or  continuation that, if made, would result in more than three (3) Eurodollar Rate Borrowings by  the Borrower outstanding hereunder at any one time and (ii) if two or more Interest Periods relate  to  Borrowings  made  to  the  Borrower  and  end  on  the  same  date,  those  Borrowings  will  be  consolidated into, and treated as, a single Borrowing on the last day of the Interest Period.          (b)   Interest  Election  Notice.  To  make  an  election  pursuant  to  this Section,  the  Designated Company or the Borrower shall deliver, by hand delivery, telecopier, or, to the extent  separately agreed by the Administrative Agent, by an electronic communication in accordance  with the second sentence of Section 11.01(b) and the second paragraph of  Section 11.01(d), a  duly completed and executed Interest Election Request to the Administrative Agent not later than  10:00 a.m., London time, four (4) Business Days before the effective date of such election. Each  Interest Election Request shall be irrevocable. Each Interest Election Request shall specify the  following information in compliance with Section 2.02:                                          95  1120544.02G-CHISR02A - MSW  

 

                              (i)     the  Borrowing  to  which  such  Interest  Election                  Request applies and, if different options are being elected with respect to                  different portions thereof, or if outstanding Borrowings are being combined,                  allocation to each resulting Borrowing (in which case the information to be                  specified pursuant to clause (iii) below shall be specified for each resulting                  Borrowing);                               (ii)    the effective date of the election made pursuant to                  such Interest Election Request, which shall be a Business Day; and                               (iii)   the  Interest  Period  to  be  applicable  thereto  after                  giving  effect  to  such  election,  which  shall  be  a  period  contemplated,  as                  applicable, by the definition of the term “Interest Period”.         If any such Interest Election Request requests a Eurodollar Rate Borrowing but does not  specify an Interest Period, then the Borrower shall be deemed to have selected an Interest Period  of three month’s duration.         Promptly  following  receipt  of  an  Interest  Election  Request,  the  Administrative  Agent  shall advise each Lender of the details thereof and of such Lender’s portion of each resulting  Borrowing.                     (c)   Failure to Select an Interest Period. If an Interest Election Request  with  respect  to  a  Eurodollar  Rate  Borrowing  is  not  timely  delivered  prior  to  the  end  of  the  Interest  Period  applicable  thereto,  then,  unless  such  Borrowing  is  repaid  as  provided  herein,  subject to the first proviso in the definition of “Interest Period”, the immediately following Interest  Period shall be three months.    Section 2.09 [INTENTIONALLY OMITTED].    Section 2.10 Optional and Mandatory Prepayments of Loans.         (a)   Optional Prepayments. The Borrower shall have the right at any time and from  time  to  time  to  prepay  any  Loans,  in  whole  or  in  part,  subject to  the  requirements  of  this  Section 2.10; provided that each partial prepayment shall be in a principal amount that is not less  than (and in integral amounts consistent with) the Minimum Amount or, if less, the outstanding  principal amount of such Borrowing.         (b)   [Intentionally omitted].                                           96  1120544.02G-CHISR02A - MSW  

 

        (c)   Asset Sales; Casualty Events. On and after the Closing Date, not later than three  (3)  Business  Days  following  the  receipt  of  any  Net  Cash  Proceeds  of  any  Asset  Sale  or  any  Casualty Event by the Designated Company or any of its Restricted Subsidiaries, the Borrower  shall  make  prepayments  of  the  Term  Loans  in  accordance  with  Section  2.10(g)  and  (h)  in  an  aggregate amount equal to 100% of such Net Cash Proceeds; provided, that if at the time that any  such prepayment would be required, the Borrower is required to prepay or offer to repurchase:                               (i)    Secured Term Loans, solely to the extent that such                  Asset  Sale  constitutes  a  Specified  Divestiture,  then,  after  giving  effect  to                  any  reinvestment  rights  exercised  by  the  Borrower  or  the  Designated                  Company  under  the  Secured  Term  Loan  Credit  Agreement,  the  Borrower                  shall apply such Net Cash Proceeds on a pro rata basis (determined on the                  basis of the aggregate outstanding principal amount of the Term Loans and                  Secured  Term  Loans  at  such  time;  provided,  that  the  portion  of such  net                  proceeds allocated to the Secured Term Loans shall not exceed the amount                  of such Net Cash Proceeds required to be allocated to the Short Term Loans                  pursuant to the terms thereof, and the remaining amount, if any, of such Net                  Cash Proceeds shall be allocated to the Term Loans in accordance with the                  terms hereof) to the prepayment of the Term Loans and to the prepayment                  or repurchase of Secured Term Loans, and the amount of prepayment of the                  Term  Loans  that  would  have  otherwise  been  required  pursuant  to this                  Section 2.10(c) shall be reduced accordingly, or                               (ii)    (x)  Secured  Term  Loans  (together  with  any                  Permitted First Priority Refinancing Debt or any Additional Senior Secured                  Indebtedness  that  is  secured  on  a  pari  passu  basis  with  the  “Secured                  Obligations”  under  and  as  defined  in  the  Secured  Term  Loan  Credit                  Agreement),  solely  to  the  extent  of  an  Asset  Sale  other  than  a Specified                  Divestiture or a Casualty Event, or (y) Revolving Credit Loans, then in the                  case of this clause (ii), the Borrower shall apply such Net Cash Proceeds to                  the Indebtedness outstanding under clauses (x) and (y) above in accordance                  with  the  terms  of  the  Secured  Term  Loan  Documents  and  the  Revolving                  Credit  Loan  Documents,  respectively  (after  giving  effect  to  any                  reinvestment rights exercised by the Borrower or the Designated Company                  thereunder), and the remaining amount, if any, of such Net Cash Proceeds                  shall be allocated to the Term Loans in accordance with the terms  hereof                  (but subject to the terms, if any, of the Senior Note Documents that require                  such remaining Net Cash Proceeds to also be applied to repay, redeem or                  otherwise defease the Senior Notes, in which case such Net Cash Proceeds                  shall also  be  applied  to  the  Senior Notes  to the  extent  required  under  the                  Senior  Note  Documents  (determined  on  the  basis  of  the  aggregate                  outstanding principal amount of the Term Loans and Senior Notes at such                  time; provided, that the portion of such net proceeds allocated to the Senior                  Notes shall not exceed the amount of such Net Cash Proceeds required to be                  allocated  to  the  Senior  Notes  pursuant  to  the  terms  of  the  Senior  Note                                         97  1120544.02G-CHISR02A - MSW  

 

                  Documents, and the remaining amount, if any, of such Net Cash Proceeds                  shall be allocated to the Term Loans in accordance with the terms hereof)),                  and  the  amount  of  prepayment  of  the  Term  Loans  that  would  have                  otherwise  been  required  pursuant  to  this  Section 2.10(c)  shall be  reduced                  accordingly;  provided  further  that  no  such  prepayment  shall  be required                  under this Section 2.10(c)(ii) with respect to any Asset Sale permitted by                  Section 6.06 other than clauses (b) and (i) thereof.         (d)   Debt Issuance. Not later than one (1) Business Day following the receipt of any  Net Cash Proceeds of any Debt Issuance or issuance of Disqualified Capital Stock by Holdings,  the  Designated  Company  or  any  of  its  Restricted  Subsidiaries  (other  than  in  the  case  of  an  issuance of Disqualified Capital Stock, as permitted by Section 6.13), the Borrower shall make  prepayments in accordance with Section 2.10(g) and (h) in an aggregate amount equal to 100%  of such Net Cash Proceeds.         (e)   Equity Issuance. Not later than one (1) Business Day following the receipt of any  Net Cash Proceeds of any Equity Issuance, the Borrower shall make prepayments in accordance  with Section 2.10(g) and (h) in an aggregate amount equal to 100% of such Net Cash Proceeds.         (f)   [Intentionally omitted].         (g)   Application of Prepayments. (i) Each partial prepayment of Term Loans shall be  in an aggregate principal amount that is not less than (and in integral amounts consistent with)  the Minimum Amount, except as necessary to apply fully the required amount of a mandatory  prepayment.  Each  prepayment  of  Term  Loans  shall,  subject  to  Section  8.03  (to  the  extent  applicable), be applied ratably to the Term Loans. Prepayments shall be accompanied by accrued  interest to the extent required by Section 2.06.         (h)   Notice of Prepayments. The Borrower or the Designated Company shall notify the  Administrative Agent by written notice of any prepayment hereunder not later than 11:00 a.m.,  London time, three (3) Business Days before the date of prepayment. Each such notice shall be  irrevocable; provided that if such notice indicates that it is conditioned upon the effectiveness of  other credit facilities or any other financing, sale or other transaction, such notice of prepayment  may  be  revoked  if  such  credit  facilities,  other  financing,  sale  or  other  transaction  is  not  consummated. Each such notice shall specify the prepayment date, the principal amount of Term  Loans or portion thereof to be prepaid and, in the case of a mandatory prepayment, a reasonably  detailed calculation of the amount of such prepayment. Promptly following receipt of any such  notice, the Administrative Agent shall advise the Lenders of the contents thereof.          (i)   Foreign  Asset  Sales.  Notwithstanding  any  other  provisions  of  Section 2.10(c)  (i) to the extent that any of or all the Net Cash Proceeds of any Asset Sale or Casualty Event  subject to such sections are received by a Restricted Subsidiary that is not organized under the                                         98  1120544.02G-CHISR02A - MSW  

 

    United  States  or  any  State  or  political  subdivision  thereof  or of  Canada  or  any  province  or   political  subdivision  thereof  (a  “Foreign  Asset  Sale”)  and  such  Net  Cash  Proceeds  are   prohibited,  restricted  or  otherwise  delayed  (each,  a  “Repatriation  Limitation”)  by  applicable  local law from being repatriated to the United States or Canada, the portion of such Net Cash  Proceeds  so  affected  will  not  be  required  to  be  applied  to  repay  Term  Loans  at  the  times  provided in this Section 2.10 but may be retained by the applicable Restricted Subsidiary so long   as  such  Repatriation  Limitation exists  (provided,  that  such  Restricted  Subsidiary  shall  use  its   commercially  reasonable  efforts  to  overcome  any  Repatriation  Limitation)  and  once  such   Repatriation Limitation no longer exists, such Restricted Subsidiary shall promptly repatriate an   amount equal to such Net Cash Proceeds to the Borrower which shall promptly (and in any event   not later than five Business Days after such repatriation) apply such amount to the repayment of   the  Term  Loans  pursuant  to  this  Section 2.10  and  (ii) to  the  extent  that  the  Borrower  has   reasonably determined in good faith that repatriation of any of or all of such Net Cash Proceeds   of any Asset Sale or Casualty Event subject to Section 2.10(c) would have a material adverse tax   cost consequence with respect to such Net Cash Proceeds for such Restricted Subsidiary or any   other Loan Party, the Net Cash Proceeds so affected may be retained by the applicable Restricted   Subsidiary.    Section 2.11 Alternate Rate of Interest. If prior to the commencement of any Interest Period   for a Eurodollar Rate Borrowing:          (a)   the  Administrative  Agent  determines  (which  determination  shall be  final  and   conclusive  absent  manifest  error)  that  adequate  and  reasonable means  do  not  exist  for   ascertaining the Eurodollar Rate for such Interest Period; or          (b)   the Administrative Agent is advised in writing by the Required Lenders that the   Eurodollar Rate for such Interest Period will not adequately and fairly reflect the cost to such   Lenders  of  making  or  maintaining  their  Loans  included  in  such  Borrowing  for  such  Interest   Period;    then the Administrative Agent shall give written notice thereof to the Designated Company and   the Lenders as promptly as practicable thereafter and, until the Administrative Agent notifies the   Designated Company and the Lenders that the circumstances giving rise to such notice no longer   exist,  (i) any  Interest  Election  Request  that  requests  the  conversion  of  any  Borrowing  to,  or   continuation of any Borrowing as, a Eurodollar Rate Borrowing shall be ineffective and (ii) if   any Borrowing Request requests a Eurodollar Rate Borrowing, such Borrowing shall be made as   a Fallback Rate Borrowing.    Notwithstanding  anything  herein  to  the  contrary,  neither  the  Administrative  Agent  nor  any   Lender shall require the payment of an additional fee or an increase in the Applicable Margin as   a condition precedent to the effectiveness of any amendment to this Agreement the sole purpose   of which is to permit the Borrower to elect an interest rate (the “Successor Rate”) other than the   Eurodollar Rate or the Fallback Rate in anticipation of or as a result of the Eurodollar Base Rate   ceasing to be quoted or published by any source, if the Successor Rate is substantially the same                                          99   1120544.02G-CHISR02A - MSW  

 

  as  the  successor  rate  generally  charged  by  banks  and  other  financial  institutions  in  the  international  and  U.S.  loan  markets  in  replacement  of  the  London  inter-bank  offered  rate;  provided that if, in connection with the implementation of any such Successor Rate, banks and  other financial institutions in the international and U.S. loan markets require the payment of an  additional fee or fees, or require that the interest rate margin applicable to such successor rate be  increased, in each case to account for a difference between the previously available Eurodollar  Base Rate and such successor rate, then any such increase in the Applicable Margin or additional  fee under this Agreement attributable to such difference shall not be prohibited by this sentence.   Section 2.12 Yield Protection; Change in Law Generally.         (a)   Increased Costs Generally. If any Change in Law shall:                               (i)     impose,  modify  or  deem  applicable  any  reserve,                  special deposit, compulsory loan, insurance charge or similar requirement                  against assets of, deposits with or for the account of, or credit extended or                  participated in, by any Lender (except any reserve requirement reflected in                  the Eurodollar Rate); or                               (ii)    impose on any Lender or the interbank market any                  other condition, cost or expense (other than Taxes) affecting this Agreement                  or Eurodollar Rate Loans made by such Lender;   and the result of any of the foregoing shall be to increase the cost to such Lender of making or  maintaining any Eurodollar Rate Loan (or of maintaining its obligation to make any such Loan),  or to reduce the amount of any sum received or receivable by such Lender hereunder (whether of  principal, interest or any other amount), then, upon request of such Lender, the Borrower will  pay to such Lender, as the case may be, such additional amount or amounts as will compensate  such Lender, as the case may be, for such additional costs incurred or reduction suffered.         (b)   Capital  Requirements.  If  any  Lender  determines  (in  good  faith, but  in  its  sole  absolute discretion) that any Change in Law affecting such Lender or any lending office of such  Lender or such Lender’s holding company, if any, regarding capital or liquidity requirements has  or would have the effect of reducing the rate of return on such Lender’s capital or on the capital  of  such  Lender’s  holding  company,  if  any,  as  a  consequence  of  this  Agreement,  the  Commitments of such Lender or the Loans made by such Lender, to a level below that which  such Lender or such Lender’s holding company could have achieved but for such Change in Law  (taking  into  consideration  such  Lender’s  policies  and  the  policies  of  such  Lender’s  holding  company with respect to capital adequacy or liquidity), then from time to time the Borrower will  pay to such Lender, as the case may be, such additional amount or amounts as will compensate  such Lender or such Lender’s holding company for any such reduction suffered.                                         100  1120544.02G-CHISR02A - MSW  

 

        (c)   Certificates for Reimbursement. A certificate of a Lender setting forth the amount  or amounts necessary to compensate such Lender or its holding company, as the case may be, as  specified in paragraph (a) or (b) of this Section 2.12 and delivered to the Designated Company  shall be conclusive absent manifest error. The Borrower shall pay such Lender, as the case may  be, the amount shown as due on any such certificate within ten (10) Business Days after receipt  thereof.         (d)   Delay  in  Requests.  Failure  or  delay  on  the  part  of  any  Lender  to  demand  compensation pursuant to this Section 2.12 shall not constitute a waiver of such Lender’s right to  demand such compensation; provided that the Borrower shall not be required to compensate a  Lender pursuant to this Section for any increased costs incurred or reductions suffered more than  nine  months  prior  to  the  date  that  such  Lender,  as  the  case  may  be,  notifies  the  Designated  Company of the Change in Law giving rise to such increased costs or reductions and of such  Lender’s intention to claim compensation therefor (except that, if the Change in Law giving rise  to such increased costs or reductions is retroactive, then the nine-month period referred to above  shall be extended to include the period of retroactive effect thereof).         (e)   Change  in  Legality  Generally.  Notwithstanding  any  other  provision  of  this  Agreement, if any Change in Law shall make it unlawful for any Lender to make or maintain any  Eurodollar Rate Loan or to give effect to its obligations as contemplated hereby with respect to  any Eurodollar Rate Loan, then, upon written notice by such Lender to the Designated Company  and the Administrative Agent:                               (i)     the  Commitments  of  such  Lender  (if  any)  to  fund                  the affected Type of Loan shall immediately terminate; and                               (ii)    (x)  such  Lender  may  declare  that  Eurodollar  Rate                  Loans  will  not  thereafter  (for  the  duration  of  such  unlawfulness)  be                  continued for additional Interest Periods and Fallback Rate Loans will not                  thereafter  (for  such  duration)  be  converted  into  Eurodollar  Rate  Loans,                  whereupon  any  request  to  convert  a  Fallback  Rate  Borrowing  to  a                  Eurodollar Rate Borrowing or to continue a Eurodollar Rate Borrowing for                  an  additional  Interest  Period  shall,  as  to  such  Lender  only,  be deemed a                  request to continue a Fallback Rate Loan as such, or to convert a Eurodollar                  Rate  Loan  into  a  Fallback  Rate  Loan,  as  the  case  may  be,  unless  such                  declaration  shall  be  subsequently  withdrawn  and  (y)  all  such  outstanding                  Eurodollar  Rate  Loans  made  by  such  Lender  shall  be  automatically                  converted to Fallback Rate Loans on the last day of the then current Interest                  Period therefor or, if earlier, on the date specified by such Lender in such                  notice  (which  date  shall  be  no  earlier  than  the  last  day  of  any  applicable                  grace period permitted by applicable law).                                         101  1120544.02G-CHISR02A - MSW  

 

          (f)   Increased  Tax  Costs.  If  any  Change  in  Law  shall  subject  any  Lender  to  any   (i) Tax of any kind whatsoever with respect to this Agreement or any Loan made by it, or change   the basis of taxation of payments to such Lender in respect thereof, or (ii) Tax imposed on it that   is specially (but not necessarily exclusively) applicable to lenders such as such Lender as a result   of the general extent and/or nature of their activities, assets, liabilities, leverage, other exposures   to risk, or other similar factors, including but not limited to the Dodd-Frank Wall Street Reform   and  Consumer  Protection  Act  and  all  requests,  rules,  regulations,  guidelines  or  directives   thereunder or issued in connection therewith, the United Kingdom Tax known as the “bank levy”   in such form as it may be imposed and as amended or reenacted, and similar legislation (except,   in each case of the foregoing clauses (i) and (ii), for (A) Indemnified Taxes, (B) Taxes described   in clauses (b) through (d) of the definition of Excluded Taxes, and (C) Other Connection Taxes   that  are  imposed  on  or  measured  by  net  income,  however  denominated,  or  that  are  franchise   Taxes or branch profits Taxes), and the result of any of the foregoing shall be to increase the cost   to such Lender of making, converting to, continuing or maintaining any Loan (or of maintaining   its obligation to make any such Loan), or to reduce the amount of any sum received or receivable   by  such  Lender  hereunder  (whether  of  principal,  interest  or  any  other  amount),  then,  upon   request  of  such  Lender,  the  Borrower  will  pay  to  such  Lender,  as the case may be, such   additional  amount  or  amounts  as  will  compensate  such  Lender,  as  the  case  may  be,  for  such   additional costs incurred or reduction suffered. For the avoidance of doubt, the Borrower shall   not  be  required  to  compensate  a  Lender  pursuant  to  this  Section  2.12  for  any  increased  costs   incurred or reductions suffered that are attributable to a FATCA Deduction required to be made   by any Party.          (g)   Notwithstanding  anything  to  the  contrary  contained  herein,  no  Lender  shall  be   entitled to seek compensation for costs incurred under this Section 2.12 unless it is the general   policy or practice of such Lender at such time to seek compensation from other borrowers whose   transactions with such Lender are similarly affected by the change in circumstances giving rise to   such  costs  and  the  applicable  Lender  is  generally  seeking  such compensation  from  such   borrowers  (but  no  Lender  shall  be  required  to  disclose  any  confidential  or  proprietary   information to confirm the foregoing).    Section 2.13 Breakage  Payments.  In  the  event  of  (a) the  payment  or  prepayment,  whether   optional or mandatory, of any principal of any Eurodollar Rate Loan earlier than the last day of   an  Interest  Period  applicable  thereto (including as a result of  an  Event  of  Default),  (b) the   conversion of any Eurodollar Rate Loan earlier than the last day of the Interest Period applicable   thereto,  (c) the  failure  to  borrow,  convert,  continue  or  prepay  any  Term  Loan  on  the  date   specified in any notice delivered pursuant hereto, or (d) the assignment of any Eurodollar Rate  Loan earlier than the last day of the Interest Period applicable thereto as a result of a request by  the Designated Company pursuant to Section 2.16(c), then, in any such event, the Borrower shall   compensate each Lender for the loss, cost and expense attributable to such event. In the case of   any Eurodollar Rate Loan, such loss, cost or expense to any Lender shall be deemed to include   an amount determined by such Lender to be the excess, if any, of (i) the amount of interest which   would have accrued on the principal amount of such Loan had such event not occurred, at the   Eurodollar Rate that would have been applicable to such Loan, for the period from the date of   such event to the last day of the then current Interest Period therefor (or, in the case of a failure   to borrow, convert or continue, for the period that would have been the Interest Period for such                                         102   1120544.02G-CHISR02A - MSW  

 

    Loan)  (excluding,  however,  the  Applicable  Margin  included  therein,  if  any,  and  the  effect  of   clause  (ii)  of  each  of  the  sentences  contained  in  the  “Eurodollar  Base  Rate”  definition),  over   (ii) the amount of interest which would accrue on such principal amount for such period at the   interest rate which such Lender would bid were it to bid, at the commencement of such period,   for  deposits  of  a  comparable  currency,  amount  and  period  from  other  banks  in  the  applicable   interbank market. A certificate of any Lender setting forth in reasonable detail any amount or   amounts that such Lender is entitled to receive pursuant to this Section 2.13 shall be delivered to   the Designated Company or the Borrower (with a copy to the Administrative Agent) and shall be   conclusive and binding absent manifest error. The Borrower shall pay such Lender the amount   shown as due on any such certificate within five (5) days after receipt thereof.    Section 2.14 Payments Generally; Pro Rata Treatment; Sharing of Setoffs.          (a)   Payments  Generally.  Each  Loan  Party  shall  make  each  payment  required  to  be   made by it hereunder or under any other Loan Document (whether of principal, interest or fees,   or  of  amounts  payable  under  Section  2.12,  Section  2.13,  Section  2.15,  Section  2.16  or   Section 11.03, or otherwise) on or before the time expressly required hereunder or under such   other Loan Document for such payment (or, if no such time is expressly required, prior to 1:00   p.m., London time), on the date when due, in immediately available funds, without condition or   deduction for any counterclaim, defense, recoupment or setoff. Any amounts received after such  time on any date may, in the discretion of the Administrative Agent, be deemed to have been  received on the next succeeding Business Day for purposes of calculating interest thereon. All  payments by any Loan Party shall be made to the Administrative Agent, for the account of the  respective Lenders to which such payment is owed, at the Administrative Agent’s Office, except  that payments pursuant to Section 2.12, Section 2.13, Section 2.15, Section 2.16, Section 7.10   and Section 11.03 shall be made directly to the persons entitled thereto and payments pursuant to   other Loan Documents shall be made to the persons specified therein. The Administrative Agent   shall  distribute  any  such  payments  received  by  it  for  the  account  of  any  other  person  to  the   appropriate  recipient  promptly  following  receipt  thereof  in  like  funds  as  received  by  the   Administrative Agent. If any payment under any Loan Document shall be due on a day that is   not a Business Day, unless specified otherwise, the date for payment shall be extended to the   next succeeding Business Day, and, in the case of any payment accruing interest, interest thereon   shall be payable for the period of such extension. All payments under each Loan Document shall   be made in Dollars, except as expressly specified otherwise.          (b)   Pro Rata Treatment.                                (i)     Each payment by the Borrower of interest in respect                   of the Loans shall be applied to the amounts of such obligations owing to                   the  Lenders pro rata  according  to  the  respective  amounts  then  due  and                   owing to the Lenders.                                 (ii)    Each  payment  by  the  Borrower  on  account  of                   principal  of  the  Borrowings  shall  be  made pro rata  according  to  the                                         103   1120544.02G-CHISR02A - MSW  

 

                    respective  outstanding  principal  amounts  of  the  Loans  then  held  by  the                   Lenders.           (c)   Insufficient Funds. If at any time insufficient funds are received by and available   to  the  Administrative  Agent  to  pay  fully  all  amounts  of  principal,  interest  and  fees  then  due   hereunder,  such  funds  shall  be  applied  (i) first,  toward  payment  of  interest  and  fees  then  due   hereunder, ratably among the parties entitled thereto in accordance with the amounts of interest   and  fees  then  due  to  such  parties,  and  (ii) second,  toward  payment  of  principal  then  due   hereunder, ratably among the parties entitled thereto in accordance with the amounts of principal   then due to such parties.          (d)   Sharing  of  Set-Off.  If  any  Lender  shall,  by  exercising  any  right  of  setoff  or   counterclaim or otherwise, obtain payment in respect of any principal of or interest on any of its   Loans or other Obligations resulting in such Lender’s receiving payment of a proportion of the   aggregate amount of its Loans and accrued interest thereon or other Obligations greater than its   pro rata share thereof as provided herein, then the Lender receiving such greater proportion shall   (a) notify  the  Administrative  Agent  of  such  fact,  and  (b) purchase  (for  cash  at  face  value)   participations in the Loans and such other obligations of the other Lenders, or make such other   adjustments as shall be equitable, so that the benefit of all such payments shall be shared by the   Lenders ratably in accordance with the aggregate amount of principal of and accrued interest on   their respective Loans and other amounts owing them, provided that:                                (i)     if  any  such  participations  are  purchased  and  all  or                   any  portion  of  the  payment  giving  rise  thereto  is  recovered,  such                   participations  shall  be  rescinded  and  the  purchase  price  restored  to  the                   extent of such recovery, without interest; and                                (ii)    the  provisions  of  this  paragraph  shall  not  be                   construed to apply to (x) any payment made by any Loan Party pursuant to                   and  in  accordance  with  the  express  terms  of  this  Agreement  or  (y) any                   payment obtained by a Lender as consideration for the assignment of or sale                   of a participation in any of its Loans to any assignee or participant, other                   than to any Loan Party or any Subsidiary thereof (as to which the provisions                   of this paragraph shall apply).    Each  Loan  Party  consents  to  the  foregoing  and  agrees,  to  the  extent  it  may  effectively  do  so   under applicable Requirements of Law, that any Lender acquiring a participation pursuant to the   foregoing arrangements may exercise against such Loan Party rights of setoff and counterclaim   with respect to such participation as fully as if such Lender were a direct creditor of such Loan  Party  in  the  amount  of  such  participation.  If  under  applicable bankruptcy,  insolvency  or  any  similar law any Credit Party receives a secured claim in lieu of a setoff or counterclaim to which  this Section 2.14(d) applies, such Credit Party shall to the extent practicable, exercise its rights in                                          104   1120544.02G-CHISR02A - MSW  

 

    respect of such secured claim in a manner consistent with the rights to which the Credit Party is   entitled under this Section 2.14(d) to share in the benefits of the recovery of such secured claim.          (e)   Borrower  Default.  Unless  the  Administrative  Agent  shall  have  received  notice   from the Designated Company or the Borrower prior to the date on which any payment is due to   the Administrative Agent for the account of the Lenders hereunder that the Borrower will not   make  such  payment,  the  Administrative  Agent  may  assume  that  the  Borrower  has  made  such   payment  on  such  date  in  accordance  herewith  and  may,  in  reliance  upon  such  assumption,   distribute to the Lenders, as the case may be, the amount due. In such event, if the Borrower has   not in fact made such payment, then each of the Lenders, as the case may be, severally agrees to   repay to the Administrative Agent forthwith on demand the amount so distributed to such Lender   with interest thereon, for each day from and including the date such amount is distributed to it to   but excluding the date of payment to the Administrative Agent, at the greater of the Interbank  Rate  and  a  rate  determined  by  the  Administrative  Agent  in  accordance  with  banking  industry  rules  on  interbank  compensation.  A  notice  of  the  Administrative  Agent  to  any  Lender  or  the  Designated  Company  setting  forth  in  reasonable  detail  any  amount  owing  under  this  Section   2.14(e) shall be conclusive, absent manifest error.          (f)   Lender Default. If any Lender shall fail to make any payment required to be made   by it pursuant to Section 2.02(c), Section 2.14(e) or Section 11.03(c), then the Administrative   Agent  may,  in  its  discretion  following  5  Business  Days’  prior  written  notice  to  such  lender   (notwithstanding any contrary provision hereof), apply any amounts thereafter received by the   Administrative Agent for the account of such Lender to satisfy such Lender’s obligations under   such Sections until all such unsatisfied obligations are fully paid and, upon full payment of such   obligations as provided above, the Administrative Agent shall promptly issue a written notice to   such Lender setting forth in reasonable detail the application of any amounts on account of such   Lender.          (g)   Obligations of Lenders Several. The obligations of the Lenders hereunder to make   Loans and to make payments pursuant to Section 11.03 are several and not joint. The failure of   any Lender to make any Loan or to make any payment under Section 11.03 on any date required   hereunder shall not relieve any other Lender of its corresponding obligation to do so on such date,   and no Lender shall be responsible for the failure of any other Lender to so make its Loan or to   make its payment under Section 11.03.          (h)   Funding Source. Nothing herein shall be deemed to obligate any Lender to obtain   the funds for any Loan in any particular place or manner or to constitute a representation by any   Lender  that  it  has  obtained  or  will  obtain  the  funds  for  any  Loan  in  any  particular  place  or   manner.    Section 2.15 Taxes.                                          105   1120544.02G-CHISR02A - MSW  

 

          (a)   Payments Free of Taxes. Any and all payments by or on account of any obligation   of the Loan Parties hereunder or under any other Loan Document shall be made free and clear of   and  without  reduction  or  withholding  for  any  Taxes,  except  as  required  by  applicable  Requirements of Law. If any applicable Requirements of Law (as determined in the good faith  discretion of an applicable Withholding Agent) requires the deduction or withholding of any Tax  from any such payment by a Withholding Agent, then the applicable Withholding Agent shall be  entitled to make such deduction or withholding and shall timely pay the full amount deducted or  withheld to the relevant Taxing Authority in accordance with applicable Requirements of Law  and, if such Tax is an Indemnified Tax, then the sum payable by the applicable Loan Party shall  be increased as necessary so that after all such required deductions and withholdings (including  any such deductions and withholdings applicable to additional sums payable under this Section)  the Administrative Agent or Lender, as the case may be, receives an amount equal to the sum it  would have received had no such deductions or withholdings been made. For the avoidance of  doubt, each Party may make any FATCA Deduction it is required to make by FATCA, and any  payment required in connection with that FATCA Deduction, and no Party shall be required to  increase any payment in respect of which it makes such a FATCA Deduction  or  otherwise  compensate the recipient of the payment for that FATCA Deduction. Each Party shall promptly,  upon becoming aware that it must make a FATCA Deduction (or that there is any change in the  rate or basis of such FATCA Deduction), and in any case at least three (3) Business Days prior to  making a FATCA Deduction, notify the Party to whom it is making the payment and, on or prior  to  the  day  on  which  it  notifies  that  Party,  shall  also  notify  the  Designated  Company,  the  Administrative Agent and the other Lenders.         (b)   Payment  of  Other  Taxes  by  Loan  Parties.  Without  limiting  the  provisions  of   paragraph  (a)  above,  each  Loan  Party  shall  timely  pay  to  the  relevant  Taxing  Authority  in   accordance with applicable Requirements of Law, or at the option of the Administrative Agent   timely reimburse it for the payment of, any Other Taxes.          (c)   Indemnification  by  Loan  Parties.  The  Loan  Parties  shall  jointly  and  severally   indemnify  the  Administrative  Agent  and  each  Lender,  within  ten (10)  Business  Days  after   demand  therefor,  for  the  full  amount  of  any  Indemnified  Taxes  imposed  or  asserted  on  or   attributable to amounts payable by any of the Loan Parties hereunder or under any other Loan  Document  (including  Indemnified Taxes  imposed  or  asserted  on  or  attributable  to  amounts  payable under this Section 2.15) payable or paid by such Agent or such Lender or required to be   withheld or deducted from a payment to such Agent or such Lender, as the case may be, and any   penalties, interest and reasonable expenses arising therefrom or with respect thereto, whether or  not such Indemnified Taxes were correctly or legally imposed or asserted by the relevant Taxing  Authority. A certificate as to the amount of such payment or liability delivered to the Designated  Company by a Lender (with a copy to the Administrative Agent), or by such Agent on its own  behalf or on behalf of a Lender, shall be conclusive absent manifest error. No Loan Party shall be  obliged  to  provide  indemnity  under  this  Section  to  the  extent  that  the  Indemnified  Tax  in  question is compensated for by an increased payment under Sections 2.12(f), 2.15(a) or 7.10.                                          106   1120544.02G-CHISR02A - MSW  

 

        (d)   Evidence of Payments. As soon as practicable after any payment of Taxes by any  Loan Party to a Taxing Authority pursuant to this Agreement, the applicable Loan Party shall  deliver to the Administrative Agent the original or a certified copy of a receipt issued by such  Taxing Authority evidencing such payment, a copy of the return reporting such payment or other  evidence of such payment reasonably satisfactory to the Administrative Agent.         (e)   Status  of  Lenders.  (i)  Any  Lender  that  is  entitled  to  an  exemption  from  or  reduction  of  withholding  Tax  with  respect  to  payments  made  under  any  Loan  Document  shall deliver to the Designated Company (with a copy to the Administrative Agent), at the  time or times reasonably requested by the Designated Company or the Administrative Agent  (and  from  time  to  time  thereafter,  as  requested  by  the  Designated  Company  or  Administrative  Agent),  such  properly  completed  and  executed  documentation  reasonably  requested  by  the  Designated  Company  or  the  Administrative  Agent  as  will  permit  such  payments to be made without withholding or at a reduced rate of withholding. In addition,  any  Lender,  if  requested  by  the  Designated  Company  or  the  Administrative  Agent,  shall  deliver  such  other  documentation  prescribed  by  applicable  Requirements  of  Law  or  reasonably  requested  by  the  Designated  Company  or  the  Administrative  Agent  as  will  enable the applicable Loan Parties or the Administrative Agent to determine whether or not  such  Lender  is  subject  to  backup  withholding  or  information  reporting  requirements.  Notwithstanding anything to  the contrary  in the preceding two sentences,  the  completion,  execution and submission of such documentation pursuant to this Section 2.15(e) (other than  such  documentation  set  forth  in  Section  2.15(e)(ii)(A)  and  (ii)(B)  below)  shall  not  be  required  if,  in  the  relevant  Lender’s  reasonable  judgment,  such  completion,  execution  or  submission  would  subject  such  Lender  to  any  material  unreimbursed  cost  or  expense  or  would materially prejudice the legal or commercial position of such Lender.        (ii)   Without limiting the generality of the foregoing, in the event that the Borrower is       a U.S. Person,               (A)    any Lender that is a U.S. Person shall deliver to the Designated Company       and the Administrative Agent on or prior to the date on which such Lender becomes a       Lender under this Agreement or, if later, the date on which a U.S. Person becomes the       Borrower (and from time to time thereafter upon the reasonable request of the Designated       Company or the Administrative Agent), executed copies of IRS Form W-9 certifying that       such Lender is exempt from U.S. federal backup withholding tax;               (B)    any  Foreign  Lender  shall,  to  the  extent  it  is  legally  entitled  to  do  so,       deliver  to  the  Designated  Company  and  the  Administrative  Agent (in  such  number  of       copies  as  shall  be  requested  by  the  recipient)  on  or  prior  to  the  date  on  which  such       Foreign Lender becomes a Lender under this Agreement or, if later, the date on which a       U.S. Person becomes the Borrower (and from time to time thereafter upon the reasonable       request  of  the  Designated  Company  or  the  Administrative  Agent),  whichever  of  the       following is applicable:                                         107  1120544.02G-CHISR02A - MSW  

 

                   (1)    in the case of a Foreign Lender claiming the benefits of an income        tax treaty to which the United States is a party (x) with respect to payments of interest        under  any  Loan  Document,  executed  copies  of  IRS  Form  W-8BEN  or W-8BEN-E        establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to        the  “interest”  article  of  such  tax  treaty  and  (y)  with  respect to  any  other  applicable        payments under any Loan Document, IRS Form W-8BEN or W-8BEN-E establishing an        exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “business        profits” or “other income” article of such tax treaty;                     (2)   executed copies of IRS Form W-8ECI;                     (3)   in  the  case  of  a  Foreign  Lender  claiming  the  benefits  of the        exemption  for  portfolio  interest  under  Section  881(c)  of  the  Code,  (x)  a  certificate        substantially in the form of Exhibit H-1 to the effect that such Foreign Lender is not a        “bank”  within  the  meaning  of  Section  881(c)(3)(A)  of  the  Code, a  “10  percent        shareholder” of the Borrower within the meaning of Section 881(c)(3)(B) of the Code, or        a “controlled foreign corporation” described in Section 881(c)(3)(C) of the Code (a “U.S.        Tax  Compliance  Certificate”)  and  (y)  executed  copies  of  IRS  Form  W-8BEN  or  W-       8BEN-E; or                    (4)    to the extent a Foreign Lender is not the beneficial owner, executed        copies of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BEN        or W-8BEN-E, a U.S. Tax Compliance Certificate substantially in the form of Exhibit H-       2  or  Exhibit  H-3,  IRS  Form  W-9,  and/or  other  certification  documents  from  each        beneficial owner, as applicable; provided that if the Foreign Lender is a partnership and        one or more direct or indirect partners of such Foreign Lender are claiming the portfolio        interest exemption, such Foreign Lender may provide a U.S. Tax Compliance Certificate        substantially in the form of Exhibit H-4 on behalf of each such direct and indirect partner;        and               (C)   any  Foreign  Lender  shall,  to  the  extent  it  is  legally  entitled  to  do  so,        deliver  to  the  Designated  Company  and  the  Administrative  Agent (in  such  number  of        copies  as  shall  be  requested  by  the  recipient)  on  or  prior  to  the  date  on  which  such        Foreign Lender becomes a Lender under this Agreement or, if later, the date on which a        U.S. Person becomes the Borrower (and from time to time thereafter upon the reasonable        request of the Designated Company or the Administrative Agent), executed copies of any        other  form  prescribed  by  applicable  law  as  a  basis  for  claiming  exemption  from  or  a        reduction  in  U.S.  federal  withholding  Tax,  duly  completed,  together  with  such        supplementary  documentation  as  may  be  prescribed  by  applicable law  to  permit  the        Designated  Company  or  the  Administrative  Agent  to  determine  the  withholding  or        deduction required to be made.                                         108  1120544.02G-CHISR02A - MSW  

 

    Each  Lender  agrees  that  if  any form  or  certification  it  previously  delivered  pursuant  to  this   Section  2.15(e)  expires  or  becomes  obsolete  or  inaccurate in  any  respect,  it  shall  update  such   form or certification or promptly notify the Designated Company and the Administrative Agent   in writing of its legal inability to do so.           (f)   FATCA Information. Notwithstanding Section 2.15(e) or any other provision   of this Agreement to the contrary:                (i)   Subject  to  paragraph  (iii)  below,  each  Party  shall,  within ten  Business  Days of a reasonable request by another Party:                     (A)    confirm to that other Party whether it is:                          (1)    a FATCA Exempt Party; or                          (2)    not a FATCA Exempt Party;                    (B)   supply  to  that  other  Party  such  forms,  documentation  and  other                    information  relating  to  its  status  under  FATCA  as  that  other  Party                    reasonably requests for the purposes of that other Party’s compliance with                    FATCA;                    (C)   supply  to  that  other  Party  such  forms,  documentation  and  other                    information relating to its status as that other Party reasonably requests for                    the  purposes  of  that  other  Party’s  compliance  with  any  other  law,                    regulation, or exchange of information regime.               (ii)   If  a  Party  confirms  to  another  Party  pursuant  to  paragraph  (i)(A)  above  that it is a FATCA Exempt Party and it subsequently becomes aware that it is not or has ceased  to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly.              (iii)  Paragraph  (i)  above  shall  not  oblige  any  Lender  or  the  Administrative  Agent to do anything, and paragraph (i)(C) above shall not oblige any other Party to do anything,  which would or might in its reasonable opinion constitute a breach of:                    (A)   any law or regulation;                    (B)   any fiduciary duty; or                    (C)   any duty of confidentiality.               (iv)  If a Party fails to confirm whether or not it is a FATCA Exempt Party or to  supply forms, documentation or other information requested in accordance with paragraph (i)(A)  or (B) above (including, for the avoidance of doubt, where paragraph (iii) above applies), then  such Party shall be treated for the purposes of the Loan Documents (and payments under them)  as  if  it  is  not  a  FATCA  Exempt  Party  until  such  time  as  the  Party  in  question  provides  the  requested confirmation, forms, documentation or other information.               (v)    If  the  Borrower  is  a  U.S.  Tax  Obligor  or  the  Administrative  Agent  reasonably believes that its obligations under FATCA or any other applicable law or regulation  require it, each Lender shall, within ten Business Days of:                                          109   1120544.02G-CHISR02A - MSW  

 

                      (A)  where the Borrower is a U.S. Tax Obligor and the relevant Lender                     is a Lender on the date of this Agreement, the date of this Agreement;                    (B)   where the Borrower is a U.S. Tax  Obligor on a date on which a                    Lender becomes a Lender under this Agreement and the relevant Lender                    was  not  a  Lender  on  the  date  of  this  Agreement,  the  relevant  date  on                    which such Lender becomes a Lender under this Agreement;                    (C)   the date a new U.S. Tax Obligor accedes as the Borrower; or                    (D)   where the Borrower is not a U.S. Tax Obligor, the date of a request                    from the Administrative Agent,                           supply  to  the  Administrative  Agent  (to  the  extent  not  otherwise                    supplied pursuant to Section 2.15(e) above):                           (1)   a withholding certificate on Form W-8, Form W-9 or any                           other relevant form; or                           (2)   any withholding statement or other document, authorization                          or  waiver  as  the  Administrative  Agent  may  require  to  certify  or                           establish the status of such Lender under FATCA or that other law                           or regulation.               (vi)  The  Administrative  Agent shall  provide  any  withholding  certificate,   withholding statement, document, authorization or waiver it receives from a Lender pursuant to   paragraph (v) above to the Designated Company.               (vii)  If  any  withholding  certificate,  withholding  statement,  document,   authorization  or  waiver  provided  to  the  Administrative  Agent  by  a  Lender  pursuant  to   paragraph (v)  above  is  or  becomes  materially  inaccurate  or  incomplete,  that  Lender  shall   promptly  update  it  and  provide  such  updated  withholding  certificate,  withholding  statement,   document, authorization or waiver to the Agent unless it is unlawful for the Lender to do so (in   which  case  the  Lender  shall  promptly  notify  the  Administrative Agent).  The  Administrative   Agent shall provide any such updated withholding certificate, withholding statement, document,   authorization or waiver to the Designated Company.                (viii)  The  Administrative  Agent  may  rely  on  any  withholding  certificate,   withholding statement, document, authorisation or waiver it receives from a Lender pursuant to   paragraph (v) or (vii) above without further verification. The Administrative Agent shall not be  liable for any action taken by it under or in connection with paragraph (v), (vi) or (vii) above.   (ix)   Without prejudice to any other term of this Agreement, if a Lender fails to supply any  withholding certificate, withholding statement, document, authorization, waiver or information  in accordance with paragraph (v) above, or any withholding certificate, withholding statement,  document,  authorization,  waiver  or  information  provided  by  a  Lender  to  the  Administrative  Agent is or becomes materially inaccurate or incomplete, then such Lender shall indemnify the  Administrative  Agent,  within  three  Business  Days  of  demand,  against any cost, loss, Tax or  liability  (including,  without  limitation,  for  negligence  or  any  other  category  of  liability   whatsoever) incurred by the Administrative Agent (including any related interest and penalties)   in acting as Administrative Agent under the Loan Documents as a result of such failure.                                         110   1120544.02G-CHISR02A - MSW  

 

          (g)   Treatment  of  Certain  Refunds.  If  any  Party  determines,  in  its  sole  discretion   exercised  in  good  faith,  that  it  has  received  a  refund  of  any  Taxes  as  to  which  it  has  been   indemnified,  or  as  to  which  it  has  received  additional  amounts,  pursuant  to  this  Section  2.15,   Section 7.10, or Section 2.12(f) (such Party, the “Indemnified Party”), then it shall pay to the   Party  that  made  such  indemnity  payments  or  paid  such  additional  amounts  pursuant  to  this   Section 2.15, Section 7.10, or Section 2.12(f) (such Party, the “Indemnifying Party”) an amount   equal  to  such  refund  (but  only  to  the  extent  of  indemnity  payments  made  to  the  Indemnified   Party pursuant to this Section 2.15, or additional amounts paid to the Indemnified Party pursuant   to Section 7.10 or Section 2.12(f), with respect to the Taxes giving rise to such refund), net of all   out-of-pocket expenses (including Taxes) of the Indemnified Party, and without interest (other   than  any  interest  paid  by  the  relevant  Taxing  Authority  with  respect  to  such  refund).  The   Indemnifying  Party,  upon  the  request  of  the  Indemnified  Party, agrees  to  repay  to  the   Indemnified Party the amount paid over to the Indemnified Party pursuant to this Section 2.15(g)   (plus any penalties, interest or other charges imposed by the relevant Taxing Authority) in the   event the Indemnified Party is required to repay such refund to such Taxing Authority. Nothing   in this Section 2.15(g) shall be construed to require any Indemnified Party to make available its   Tax  returns  (or  any  other  information  relating  to  its  Taxes  that  it  deems  confidential)  to  the   Indemnifying Party or any other person. Notwithstanding anything to the contrary in this Section   2.15(g), in no event will the Indemnified Party be required to pay any amount to an Indemnifying   Party pursuant to this Section 2.15(g) the payment of which would place the Indemnified Party in   a  less  favorable  net  after-Tax position  than  the  Indemnified  Party  would  have  been  in  if  the   Taxes subject to indemnification and giving rise to such refund had not been deducted, withheld   or otherwise imposed and the indemnification payments or additional amounts with respect to   such Taxes had never been paid.          (h)   Co-operation.  Notwithstanding  anything  to  the  contrary  in  Section  2.15(e)  or   paragraph  (k)  of  the  definition  of  Permitted  Reorganization,  with  respect  to  non-U.S.   withholding  taxes,  the  relevant  Agent,  the  relevant  Lender(s)  (at  the  written  request  of  the   relevant Loan Party) and the relevant Loan Party shall, co-operate in completing any procedural   formalities  necessary  (including  delivering  any  documentation  prescribed  by  the  applicable   Requirement  of  Law  and  making  any  necessary  reasonable  approaches  to  the  relevant  Taxing   Authorities) for the relevant Loan Party to obtain authorization to make a payment to which such   Agent or such Lender(s) is entitled without any, or a reduced rate of, deduction or withholding   for, or on account of, Taxes; provided, however, that none of the Administrative Agent or any   Lender shall be required to provide any documentation that it is not legally entitled to provide, or   take any action that, in the relevant Agent’s or the relevant Lender’s reasonable judgment, would   subject the Administrative Agent or such Lender to any material unreimbursed costs or otherwise   be disadvantageous to it in any material respect.         (i)    Indemnification  by  the  Lenders.  Each  Lender  shall  severally  indemnify  the   Administrative  Agent,  within  three (3) Business Days after demand  therefor,  for  (i)  any  Indemnified Taxes attributable to such Lender (but only to the extent that any Loan Party has not  already indemnified the Administrative Agent for such Indemnified Taxes and without limiting  the obligation of the Loan Parties to do so), (ii) any Taxes attributable to such Lender’s failure to  comply  with  the  provisions  of  Section  11.04(c)  relating  to  the maintenance  of  a  Participant                                         111   1120544.02G-CHISR02A - MSW  

 

    Register and (iii) any Excluded Taxes attributable to such Lender, in each case, that are payable   or paid by the Administrative Agent in connection with any Loan Document, and any reasonable   expenses arising therefrom or with respect thereto, whether or not such Taxes were correctly or   legally  imposed  or  asserted  by  the  relevant  Taxing  Authority.  Without  limiting  the  preceding   sentence  or  Section  2.15(f)(ix),  each  Lender  shall  indemnify  the  Administrative  Agent  (based   upon such Lender’s pro rata share of the sum of the total outstanding Term Loans and unused   Commitments of all Lenders at the time the applicable indemnity payment is sought (or if the   Term Loans have been repaid in full and the Commitments have been terminated, based upon its   share of the Term Loans immediately prior to such payment)), within three (3) Business Days of   demand, against any cost, loss or liability in relation to any FATCA-related liability incurred by   the Administrative Agent in acting as Administrative Agent under the Loan Documents (unless   the Administrative Agent has been reimbursed by a Loan Party pursuant to a Loan Document);   provided that indemnity pursuant to this sentence shall not be available to the extent that such   cost,  loss  or  liability  are  determined  by  a  court  of  competent jurisdiction  by  final  and   nonappealable judgment to have resulted from the gross negligence or willful misconduct of the   Administrative  Agent.  A  certificate  as  to  the  amount  of  payment  or  liability  delivered  to  any   Lender  by  the  Administrative  Agent  shall  be  conclusive  absent  manifest  error.  Each  Lender   hereby authorizes the Administrative Agent to set off and apply any and all amounts at any time   owing  to  such  Lender  under  any  Loan  Document  or  otherwise  payable  by  the  Administrative  Agent to the Lender from any other source against any amount due to the Administrative Agent  under this Section 2.15(i).          (j)   Tax  Returns.  If,  as  a  result  of  executing  a  Loan  Document,  entering  into  the   transactions contemplated thereby or with respect thereto, receiving a payment or enforcing its   rights thereunder, the Administrative Agent or any Lender is required to file a Tax Return in a   jurisdiction  in  which  it  would  not  otherwise  be  required  file, the  Loan  Parties  shall  promptly   provide  such  information  necessary  for  the  completion  and  filing  of  such  Tax  Return  as  the   relevant Agent or Lender shall reasonably request with respect to the completion and filing of   such Tax Return. For clarification, any expenses incurred in connection with such filing shall be   subject to Section 11.03.          (k)   Value Added Tax. All amounts set out, or expressed to be payable under a Loan   Document  by  any  party  to  a  Lender  or  Agent  which  (in  whole  or  in  part)  constitute  the   consideration  for  value added  tax  purposes shall  be  deemed  to  be exclusive of any applicable   value added tax, and accordingly, if value added tax is chargeable on any supply or service made   by  any  Lender  or  Agent  to  any  party  under  a  Loan  Document  and  such  value  added  tax  is   required to be collected by such Lender or Agent (or the representative member of any group of   which the relevant Lender or Agent forms a part for purposes of value added tax) pursuant to   applicable Requirements of Law, that party shall pay to the Lender or Agent (in addition to and   at the same time as paying the consideration) an amount equal to the amount of the value added   tax (and such Lender or Agent shall promptly provide an appropriate value added invoice to such   party).                                          112   1120544.02G-CHISR02A - MSW  

 

    Where  a  Loan  Document  requires any  party  to  reimburse  a  Lender or  Agent  for  any  costs  or   expenses, that party shall also at the same time pay and indemnify the Lender or Agent against   all value added tax incurred by the Lender or Agent in respect of the costs or expenses to the   extent that the Lender or Agent reasonably determines that neither it nor any other member of   any group of which it is a member for value added tax purposes is entitled to credit or repayment   from the relevant Taxing Authority in respect of the value added tax.    If any Lender or Agent requires any Loan Party to pay any additional amount pursuant to   Section 2.15(k), then such Lender or Agent and Loan Party shall use reasonable efforts to co-  operate to minimize the amount such Loan Party is required to pay if, in the judgment of such   Lender or Agent, such co-operation would not subject such Lender or Agent to any   unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender or   Agent. For the avoidance of doubt, all references to value added tax in this Section 2.15(k)   include reference to goods and services tax.          (l)   Survival.  Each  party’s  obligations  under  this  Section  2.15  shall  survive  the   resignation or replacement of the Administrative Agent or any assignment of rights by, or the  replacement of, a Lender, the termination of the Commitments and the repayment, satisfaction or  discharge of all obligations under any Loan Document.   Section 2.16 Mitigation Obligations; Replacement of Lenders.          (a)   Designation of a Different Lending Office. Each Lender may at any time or from   time  to  time  designate,  by  written  notice  to  the  Administrative  Agent,  one  or  more  lending   offices (which, for this purpose, may include Affiliates of the respective Lender) for the various   Loans made by such Lender; provided that to the extent such designation shall result, as of the   time of such designation, in increased costs under Section 2.12, Section 2.15 or Section 7.10 in   excess of those which would be charged in the absence of the designation of a different lending   office (including a different Affiliate of the respective Lender), then the Loan Parties shall not be   obligated to pay such excess increased costs (although the applicable Loan Party, in accordance   with and pursuant to the other provisions of this Agreement, shall be obligated to pay the costs   which would apply in the absence of such designation and any subsequent increased costs of the   type described above resulting from changes after the date of the respective designation). Each   lending office and Affiliate of any Lender designated as provided above shall, for all purposes of   this Agreement, be treated in the same manner as the respective Lender (and shall be entitled to   all indemnities and similar provisions in respect of its acting as such hereunder). Each lending   office and Affiliate of any Lender designated as provided above shall, for all purposes of this   Agreement, be treated in the same manner as the respective Lender (and shall be entitled to all   indemnities and similar provisions in respect of its acting as such hereunder). The proviso to the   first sentence of this Section 2.16(a) shall not apply to changes in a lending office pursuant to   Section 2.16(b) if such change was made upon the written request of any Loan Party.           (b)   Mitigation Obligations. If any Lender requests compensation under Section 2.12,   or requires any Loan Party to pay any additional amount to any Lender or any Taxing Authority   for the account of any Lender pursuant to Section 2.15 or Section 7.10, then such Lender shall                                         113   1120544.02G-CHISR02A - MSW  

 

    use reasonable efforts to designate a different lending office for funding or booking its Loans   hereunder or to assign its rights and obligations hereunder to another of its offices, branches or   affiliates,  if,  in  the  reasonable  judgment  of  such  Lender,  such  designation  or  assignment   (i) would  eliminate  or  reduce  amounts  payable  pursuant  to  Section  2.12,  Section  2.15  or   Section 7.10,  as  the  case  may  be,  in  the  future  and  (ii) would not  subject  such  Lender  to  any   unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender. Each   Loan Party hereby agrees to pay all reasonable costs and expenses incurred by any Lender in   connection with any such designation or assignment. A certificate setting forth such costs and  expenses  submitted  by  such  Lender  to  the  Designated  Company  or the  Borrower  shall  be  conclusive absent manifest error.         (c)   Replacement of Lenders. If any Lender requests compensation under Section 2.12,   or  if  any  Loan  Party  is  required  to  pay  any  additional  amount  to  any  Lender  or  any  Taxing   Authority  for  the  account  of  any  Lender  pursuant  to  Section  2.15  or  Section  7.10,  or  if  any   Lender  is  a  Defaulting  Lender,  or  if  the  Designated  Company  or the  Borrower  exercises  its   replacement rights under Section 11.02(d), then the Designated Company or the Borrower may,   at its sole expense and effort, upon notice by the Designated Company or the Borrower to such   Lender  and  the  Administrative  Agent,  require  such  Lender  to  assign  and  delegate,  without   recourse (in accordance with and subject to the restrictions contained in, and consents required   by, Section 11.04), all of its interests, rights and obligations under this Agreement and the other   Loan Documents to an Eligible Assignee that shall assume such obligations (which assignee may   be another Lender, if a Lender accepts such assignment); provided that:                                (i)     the Borrower or the assignee shall have paid to the                   Administrative  Agent  the  processing  and  recordation  fee  specified  in                   Section 11.04(b);                                (ii)    such  Lender  shall  have  received  payment  of  an                   amount  equal  to  the  outstanding  principal  of  its  Loans,  accrued interest                   thereon, and all other amounts payable to it hereunder and under the other                   Loan  Documents  (including  any  amounts  under  Section  2.13),  from  the                   assignee  (to  the  extent  of  such  outstanding  principal  and  accrued  interest                   and fees) or the Borrower (in the case of all other amounts);                                (iii)   in the case of any such assignment resulting from a                   claim  for  compensation  under  Section  2.12  or  payments  required to  be                   made pursuant to Section 2.15 or Section 7.10, such assignment will result                   in a reduction in such compensation or payments thereafter; and                                (iv)    such  assignment  does  not  conflict  with  applicable                   Requirements of Law.                                          114   1120544.02G-CHISR02A - MSW  

 

    A Lender shall not be required to make any such assignment or delegation if, prior thereto, as a   result  of  a  waiver  by  such  Lender  or  otherwise,  the  circumstances  entitling  the  Designated   Company or the Borrower to require such assignment and delegation cease to apply.    Section 2.17 [INTENTIONALLY OMITTED].    Section 2.18 [INTENTIONALLY OMITTED].    Section 2.19 Interest Act (Canada); Criminal Rate of Interest; Nominal Rate of Interest.          (a)   Notwithstanding anything to the contrary contained in this Agreement or in any   other  Loan  Document,  solely  to  the  extent  that  a  court  of  competent  jurisdiction  finally   determines that the calculation or determination of interest or any fee payable by any Canadian   Loan  Party  in  respect  of  the  Obligations  pursuant  to  this  Agreement  and  the  other  Loan   Documents  shall  be  governed  by  the  laws  of  any  province  of  Canada  or  the  federal  laws  of   Canada, in no event shall the aggregate interest (as defined in Section 347 of the Criminal Code,   R.S.C. 1985, c. C-46, as the same shall be amended, replaced or re-enacted from time to time,   “Section 347”) payable by the Canadian Loan Parties to the Administrative Agent or any Lender  under this Agreement or any other Loan Document exceed the effective annual rate of interest on  the  Credit  advances  (as  defined  in  Section  347)  under  this  Agreement  or  such  other  Loan  Document  lawfully  permitted  under  Section  347  and,  if  any  payment,  collection  or  demand  pursuant  to  this  Agreement  or  any  other  Loan  Document  in  respect  of  Interest  (as  defined  in  Section  347)  is  determined  to  be  contrary  to  the  provisions  of Section  347,  such  payment,  collection  or  demand  shall  be  deemed  to  have  been  made  by  mutual  mistake  of  the  Administrative  Agent,  the  Lenders  and  the  Canadian  Loan  Parties  and  the  amount  of  such  payment or collection shall be refunded by the Administrative Agent and relevant Lenders to the  applicable  Canadian  Loan  Parties.  For  the  purposes  of  this  Agreement  and  each  other  Loan  Document to which the Canadian Loan Parties are a party, the effective annual rate of interest  payable by the Canadian Loan Parties shall be determined in accordance with generally accepted  actuarial practices and principles over the term of the loans on the basis of annual compounding  for the lawfully permitted rate of interest and, in the event of dispute, a certificate of a Fellow of  the Canadian Institute of Actuaries appointed by the Administrative Agent for the account of the  Canadian Loan Parties will be conclusive for the purpose of such determination in the absence of  evidence to the contrary.         (b)   For the purposes of the Interest Act (Canada) and with respect to Canadian Loan  Parties only:                                (i)    whenever  any  interest  or  fee  payable  by  the                   Canadian Loan Parties is calculated using a rate based on a year of 360 days                   or  365  days,  as  the  case  may  be,  the  rate  determined  pursuant  to  such                   calculation,  when  expressed  as  an  annual  rate,  is  equivalent  to  (x)  the                   applicable rate based on a year of 360 days or 365 days, as the case may be,                   (y) multiplied by the actual number of days in the calendar year in which                                          115   1120544.02G-CHISR02A - MSW  

 

                    such rate is to be ascertained and (z) divided by 360 or 365, as the case may                   be; and                                (ii)    all calculations of interest payable by the Canadian                   Loan Parties under this Agreement or any other Loan Document are to be                   made on the basis of the nominal interest rate described herein and therein                   and not on the basis of effective yearly rates or on any other basis which                   gives effect to the principle of deemed reinvestment of interest.    The parties hereto acknowledge that there is a material difference between the stated nominal   interest rates and the effective yearly rates of interest and that they are capable of making the   calculations required to determine such effective yearly rates of interest.                                     ARTICLE III                                                                REPRESENTATIONS AND WARRANTIES          Each  Loan  Party  represents  and  warrants  (provided  that  no  such representation  or   warranty  shall  be  made  with  respect  to  Section  3.24  prior  to  the  Closing  Date)  to  the   Administrative Agent and each of the Lenders that:    Section 3.01 Organization; Powers. Each Company (a) is duly organized or incorporated (as   applicable)  and  validly  existing  under  the  laws  of  the  jurisdiction  of  its  organization  or   incorporation  (as  applicable),  (b) has  all  requisite  organizational  or  constitutional  power  and   authority  to  carry  on  its  business  as  now  conducted  and  to  own and  lease  its  property,  (c) is   qualified  and  in  good  standing  (to  the  extent  such  concept  is  applicable  in  the  applicable   jurisdiction) to do business in every jurisdiction where such qualification is required, except in   such jurisdictions where the failure to so qualify or be in good standing, individually or in the   aggregate,  could  not  reasonably  be  expected  to  result  in  a  Material  Adverse  Effect,  and   (d) except as set forth in Section 2.03(b), is acting as principal for its own account and not as   agent or trustee in any capacity on behalf of any party in relation to the Loan Documents.    Section 3.02 Authorization; Enforceability. The Transactions to be entered into by each Loan   Party are within such Loan Party’s organizational or constitutional powers and have been duly   authorized by all necessary organizational or constitutional action on the part of such Loan Party.  This Agreement has been duly executed and delivered by each Loan Party and constitutes, and  each  other  Loan  Document  to  which  any  Loan  Party  is  to  be  a  party,  when  executed  and  delivered by such Loan Party, will constitute, a legal, valid and binding obligation of such Loan  Party,  enforceable  in  accordance  with  its  terms,  subject  to  applicable  bankruptcy,  insolvency,  reorganization,  moratorium  or  other  laws  affecting  creditors’  rights  generally  and  subject  to  general principles of equity, regardless of whether considered in a proceeding in equity or at law.    Section 3.03 No  Conflicts.  The  Transactions  (a) do  not  require  any  consent  or  approval  of,   registration or filing with, or any other action by, any Governmental Authority, except (i) such as                                         116   1120544.02G-CHISR02A - MSW  

 

    have  been  obtained  or  made  and  are  in  full  force  and  effect,  and  (ii) consents,  approvals,   registrations,  filings,  permits  or  actions  the  failure  to  obtain  or  perform  which  could  not  reasonably  be  expected  to  result  in  a  Material  Adverse  Effect, (b) will  not  violate  the  Organizational  Documents  of  any  Company,  (c)  will  not  violate  any  material  Requirement  of  Law,  (d) will  not  violate  or  result  in  a  default  or  require  any  consent  or  approval  under  any  indenture, agreement or other instrument binding upon any Company or its property, or give rise   to a right thereunder to require any payment to be made by any Company, except for violations,   defaults  or  the  creation  of  such rights  that  could  not  reasonably  be  expected  to  result  in  a  Material Adverse Effect, and (e) will not result in the creation or imposition of any Lien on any  property of any Company, except Permitted Liens. The execution, delivery and performance of  the  Loan  Documents  will  not  violate,  or  result  in  a  default  under,  or  require  any  consent  or  approval  under,  the  Senior  Notes,  the  Senior  Note  Documents,  the  Secured  Term  Loan  Documents or the Revolving Credit Loan Documents.   Section 3.04 Financial Statements; Projections.          (a)   Historical  Financial  Statements.  The  Designated  Company  has  heretofore   delivered  to  the  Lenders  the  consolidated  balance  sheets  and  related  statements  of  income,   stockholders’ equity and cash flows of the Designated Company (i) as of and for the fiscal years   ended March 31, 2016, March 31, 2017 and March 31, 2018, audited by and accompanied by the   unqualified opinion of PricewaterhouseCoopers, independent public accountants, and (ii) as of   and for the fiscal quarters ended June 30, 2018 and September 30, 2018, and for the comparable   period  of  the  preceding  fiscal  year,  in  each  case  certified  by the  chief  financial  officer  of  the   Designated Company. Such financial statements and all financial statements delivered pursuant   to Section 5.01(a) and Section 5.01(b) have been prepared in accordance with US GAAP and   present fairly in all material respects the financial condition and results of operations and cash   flows of the Designated Company as of the dates and for the periods to which they relate.          (b)   No Liabilities; No Material Adverse Effect. Except as set forth in the most recent   financial statements referred to in Section 3.04(a), as of the Effective Date and the Closing Date   there  are  no  liabilities  of  any  Company  of  any  kind,  whether  accrued,  contingent,  absolute,  determined,  determinable  or  otherwise,  which  could  reasonably  be  expected  to  result  in  a  Material Adverse Effect, other than liabilities under the Loan Documents. Since March 31, 2016,  there  has  been  no  event,  change,  circumstance  or  occurrence  that,  individually  or  in  the  aggregate, has had or could reasonably be expected to result in a Material Adverse Effect.         (c)   Pro  Forma  Financial  Statements.  The  Designated  Company  has  heretofore   delivered  to  the  Lenders  the  Designated  Company’s  unaudited pro forma  consolidated  capitalization table and balance sheet as of June 30, 2018 (in the case of the Effective Date) and   as  of  the  date  of  the  financial  statements  most  recently  delivered  to  the  lenders  pursuant  to   Section  5.01(a)  or  Section  5.01(b)  of  the  Secured  Term  Loan  Credit  Agreement  prior  to  the   Closing Date (in the case of the Closing Date), after giving effect to the Transactions as if they   had  occurred  on  such  date.  Such  capitalization  table  and  balance  sheet have  been  prepared  in   good faith by the Loan Parties, based on the assumptions stated therein (which assumptions are                                         117   1120544.02G-CHISR02A - MSW  

 

    believed by the Loan Parties on the Effective Date and the Closing Date to be reasonable), are   based on the best information available to the Loan Parties as of the date of delivery thereof,   accurately  reflect  all  adjustments  required  to  be  made  to  give effect  to  the  Transactions  and   present  fairly  in  all  material  respects  the pro forma  capitalization  and  balance  sheet  of  the   Designated Company as of such date assuming the Transactions had occurred at such date.          (d)   Forecasts. The forecasts of financial performance of the Companies covering the   period commencing with September 30, 2018 and ending on March 31, 2022, furnished to the   Lenders,  have  been  prepared  in  good  faith  by  the  Loan  Parties  and  based  on  assumptions   believed by the Loan Parties to be reasonable, it being understood that any such forecasts may   vary from actual results and such variations could be material.     Section 3.05 Properties.          (a)   Generally. Each Company has good title to, valid leasehold interests in, or license   of, all its property material to its business, free and clear of all Liens except for Permitted Liens.   The property that is material to the business of the Companies, taken as a whole, (i) is in good   operating order, condition and repair in all material respects (ordinary wear and tear excepted)   and  (ii) constitutes  all  the  property  which  is  required  for  the  business  and  operations  of  the   Companies as presently conducted.          (b)   No Casualty Event. No Company has as of the Effective Date or the Closing Date   received any notice of, nor has any knowledge of, the occurrence or pendency or contemplation   of any Casualty Event affecting all or any material portion of its property.    Section 3.06 Intellectual Property.          (a)   Ownership/No Claims. Each Loan Party owns, or is licensed to use, all patents,   trademarks, copyrights and other intellectual property (including intellectual property in software,   mask  works,  inventions,  designs,  trade  names,  service  marks,  technology,  trade  secrets,   proprietary  information  and  data,  domain  names,  know-how  and  processes)  necessary  for  the   conduct of such Loan Party’s business as currently conducted (“Intellectual Property”), except   for  those  the  failure  to  own  or  license  which,  individually  or in  the  aggregate,  could  not   reasonably be expected to result in a Material Adverse Effect. As of the Effective Date and the   Closing Date, no material claim has been asserted and is pending by any person, challenging or   questioning the validity of any Loan Party’s Intellectual Property or the validity or enforceability   of any such Intellectual Property, nor does any Loan Party know of any valid basis for any such  claim. The use of any Intellectual Property by each Loan Party, and the conduct of each Loan  Party’s business as currently conducted, does not infringe or otherwise violate the rights of any  third  party  in  respect  of  Intellectual  Property,  except  for  such  claims  and  infringements  that,  individually or in the aggregate, could not reasonably be expected to result in a Material Adverse  Effect.                                          118   1120544.02G-CHISR02A - MSW  

 

        (b)   Registrations. Except pursuant to non-exclusive licenses and other non-exclusive  use agreements entered into by each Loan Party in the ordinary course of business, on and as of  the Effective Date and the Closing Date each Loan Party owns and possesses the right to use and  has not authorized or enabled any other person to use, any Intellectual Property that is material to  its business, except for such authorizations and enablements as could not reasonably be expected  to result in a Material Adverse Effect.        (c)    No Violations or Proceedings. To each Loan Party’s knowledge, on and as of the  Effective Date, (i) there is no material infringement or other violation by others of any right of  such Loan Party with respect to any Intellectual Property that is material to its business, except  as may be set forth on Schedule 3.06(c), and (ii) no claims are pending or threatened to such  effect except as set forth on Schedule 3.06(c).   Section 3.07 Equity Interests and Subsidiaries.         (a)   Equity  Interests.  Schedule  3.07(a)  sets  forth  a  list  of  (i) all the Subsidiaries of  Holdings and their jurisdictions of organization as of the Effective Date and (ii) the number of  each class of its Equity Interests authorized, and the number outstanding, on the Effective Date  and the number of shares covered by all outstanding options, warrants, rights of conversion or  purchase and similar rights at the Effective Date. As of the Effective Date, all Equity Interests of  each Company held by Holdings or a Subsidiary thereof are duly and validly issued and are fully  paid and non-assessable, and, other than the Equity Interests of Holdings, are owned by Holdings,  directly  or  indirectly  through  Wholly  Owned  Subsidiaries  except  as  indicated  on  Schedule 3.07(a). At all times prior to a Qualified Parent IPO, 100% of the Equity Interests of  the Parent will be owned directly by Holdings, and 100% of the Equity Interests of the Borrower  shall be owned directly or indirectly by Holdings (or, in the case of the Parent and the Borrower,  on  and  after  the  Designated  Holdco  Effective  Date,  will  be  owned  directly  or  indirectly  by  Designated  Holdco).  At  all  times  after  a  Qualified  Parent  IPO, more  than  50%  of  the  voting  power of the total outstanding Voting Stock of the Parent and Borrower will be owned directly or  indirectly by Hindalco. As of the Effective Date and the Closing Date, each Loan Party is the  record and beneficial owner of, and has good and marketable title to, the Equity Interests owned  by it, free of any and all Liens, rights or claims of other persons, except Permitted Liens, and as  of the Effective Date and the Closing Date there are no outstanding warrants, options or other  rights to purchase, or shareholder, voting trust or similar agreements outstanding with respect to,  or  property  that  is  convertible into,  or  that  requires  the  issuance  or  sale  of,  any  such  Equity  Interests.          (b)   Organizational  Chart.  An  accurate  organizational  chart,  showing the ownership  structure of Holdings, the Borrower and each Subsidiary on the Effective Date is set forth on  Schedule 3.07(a).   Section 3.08 Litigation; Compliance with Laws. There are no actions, suits or proceedings at  law or in equity by or before any Governmental Authority now pending or, to the knowledge of  any Company, threatened against or affecting any Company or any business, property or rights  of any  Company (i) that involve any Loan Document or (ii) as to which there is a reasonable                                        119  1120544.02G-CHISR02A - MSW  

 

    possibility of an adverse determination and that, if adversely determined, could reasonably be   expected, individually or in the aggregate, to result in a Material Adverse Effect. No Company or   any of its property is in violation of, nor will the continued operation of its property as currently   conducted violate, any Requirements of Law (including any zoning or building ordinance, code   or approval or any building permits) or any restrictions of record or agreements affecting any   Company’s Real Property or is in default with respect to any Requirement of Law, where such   violation or default, individually or in the aggregate, could reasonably be expected to result in a   Material Adverse Effect. The Loan Parties have implemented and maintain in effect policies and   procedures  designed  to  ensure  compliance  by  the  Loan  Parties,  their  Subsidiaries,  and  their   respective directors, officers, employees and agents with applicable Anti-Corruption Laws, and   the Loan Parties and their Subsidiaries are in compliance with applicable Anti-Corruption Laws   in all material respects.    Section 3.09 Agreements. No Company is a party to any agreement or instrument or subject to   any corporate or other constitutional restriction that has resulted or could reasonably be expected   to  result  in  a  Material  Adverse  Effect.  No  Company  is  in  default  in  any  manner  under  any   provision  of  any  indenture  or  other  agreement  or  instrument  evidencing  Indebtedness,  or  any   other agreement or instrument to which it is a party or by which it or any of its property is or   may be bound, where such default could reasonably be expected to result in a Material Adverse   Effect. There is no existing default under any Organizational Document of any Company or any   event which, with the giving of notice or passage of time or both, would constitute a default by   any party thereunder that could reasonably be expected to have a Material Adverse Effect. No   event or circumstance has occurred or exists that constitutes a Default or Event of Default.    Section 3.10 Federal Reserve Regulations. No Company is engaged principally, or as one of   its important activities, in the business of extending credit for the purpose of buying or carrying   Margin Stock. No part of the proceeds of any Loan will be used, whether directly or indirectly,   and whether immediately, incidentally or ultimately, for any purpose that entails a violation of,   or that is inconsistent with, the provisions of the regulations of the Board, including Regulation T,   U or X.    Section 3.11 Investment  Company  Act.  No  Company  is  an  “investment  company”  or  a   company “controlled” by an “investment company,” as defined in, or subject to regulation under,   the Investment Company Act of 1940, as amended.    Section 3.12 Use of Proceeds. The Borrower will use the proceeds of the Loans on the Closing   Date for the Transactions; provided that in no event shall any proceeds of any Loans be remitted,   directly  or  indirectly,  to  any  Swiss  tax  resident  Company  or  Swiss  tax  resident  permanent   establishment, where this remittance could be viewed as a use of such proceeds in Switzerland   (whether through an intercompany loan or advance by any other Company or otherwise) as per   the  practice  of  the  Swiss  Federal  Tax  Administration,  unless  the  Swiss  Federal  Tax   Administration confirms in a written advance tax ruling (based on a fair description of the fact  pattern in the tax ruling request made by a Loan Party) that such use of proceeds in Switzerland  does  not  lead  to  Swiss  Withholding  Tax  becoming  due  on  or  in  respect  any  Loans  or  parts  thereof.                                          120   1120544.02G-CHISR02A - MSW  

 

    Section 3.13 Taxes. Each Company has (a) timely filed or caused to be timely filed all material   Tax Returns required by applicable Requirements of Law to have been filed by it and (b) duly   and timely paid, collected or remitted or caused to be duly and timely paid, collected or remitted   all material Taxes due and payable, collectible or remittable by it and all assessments received by   it,  except  Taxes  (i) that  are  being  contested  in  good  faith  by appropriate  proceedings  and  for   which such Company has set aside on its books adequate reserves in accordance with US GAAP   or other applicable accounting rules and (ii) which could not, individually or in the aggregate,   reasonably be expected to have a Material Adverse Effect. Each Company has made adequate   provision  in  accordance  with  US  GAAP  or  other  applicable  accounting  rules  for  all  material   Taxes  not  yet  due  and  payable.  No Company  has  received  written notice  of  any  proposed  or  pending tax assessments, deficiencies or audits that could be reasonably expected to, individually  or in the aggregate, result in a Material Adverse Effect. No Company has ever been a party to  any  understanding  or  arrangement  constituting  a  “tax  shelter”  within  the  meaning  of  Section 6111(c),  Section  6111(d), or  Section  6662(d)(2)(C)(iii)  of  the  Code,  or  has  ever  “participated”  in  a  “reportable  transaction”  within  the  meaning  of  Section  6707A(c)(1)  of  the  Code and Treasury Regulation Section 1.6011-4(b), except as could not be reasonably expected  to,  individually  or  in  the  aggregate,  result  in  a  Material  Adverse  Effect.  The  Borrower  is  a  domestic corporation as defined in Section 7701(a)(30)(C) of the Code (or is a limited liability  company that is disregarded as an entity separate from its owner for United States federal income  tax purposes and is wholly owned by a domestic corporation).  No payment by or on account of  any obligation of any Loan Party hereunder or under any other Loan Document is subject to any  withholding Taxes other than U.S. federal withholding Taxes.   Section 3.14 No  Material  Misstatements.  The  written  information,  reports,  financial   statements, certificates, exhibits or schedules furnished by or on behalf of any Company to the   Administrative Agent or any Lender in connection with the negotiation of any Loan Document   or included therein or delivered pursuant thereto, taken as a whole, did not and does not contain   any material misstatement of fact and, taken as a whole, did not and does not omit to state any   material fact necessary to make the statements therein, in the light of the circumstances under   which they were or are made, not materially misleading in their presentation of Holdings, the   Designated Company  and  its  Subsidiaries taken  as  a  whole  as  of the date such information is   dated or certified; provided that to the extent any such information, report, financial statement,   exhibit  or  schedule  was  based  upon  or  constitutes  a  forecast  or  projection,  each  Loan  Party   represents  only  that  it  was  prepared  in  good  faith  and  based  on  assumptions  believed  by  the   applicable Loan Parties to be reasonable.    Section 3.15 Labor  Matters.  As  of  the  Effective  Date  and  the  Closing  Date,  there  are  no   material  strikes,  lockouts  or  labor  slowdowns  against  any  Company  pending  or,  to  the   knowledge of any Company, threatened in writing. The hours worked by and payments made to   employees of any Company have not been in violation of the Fair Labor Standards Act of 1938,   as amended, or any other applicable federal, state, provincial, local or foreign law dealing with   such matters in any manner which could reasonably be expected to result in a Material Adverse   Effect. All payments due from any Company, or for which any claim may be made against any   Company, on account of wages and employee health and welfare insurance and other benefits,   have been paid or accrued as a liability on the books of such Company except where the failure   to  do  so  could  not  reasonably  be  expected  to  result  in  a  Material  Adverse  Effect.  The   consummation  of  the  Transactions  will  not  give  rise  to  any  right  of  termination  or  right  of                                         121   1120544.02G-CHISR02A - MSW  

 

    renegotiation on the part of any union under any collective bargaining agreement to which any   Company is bound, except as could not reasonably be expected to result in a Material Adverse   Effect.    Section 3.16 Solvency.  At  the  time  of  and  immediately  after  the  consummation  of  the   Transactions to occur on the Effective Date and the Closing Date, and after giving effect to the  application of the proceeds of the Loans and the operation of the Contribution, Intercompany,  Contracting and Offset Agreement, (a) the fair value of the assets of the Designated Company  and of the Loan Parties (on a consolidated basis with their Subsidiaries) will exceed their debts  and  liabilities,  subordinated,  contingent,  prospective  or  otherwise;  (b) the  present  fair  saleable   value of the property of the Designated Company and the Loan Parties (on a consolidated basis   with their Subsidiaries) will be greater than the amount that will be required to pay the probable   liability of their debts and other liabilities, subordinated, contingent, prospective or otherwise, as  such debts and other liabilities become absolute and matured; (c) the Designated Company and  the Loan Parties (on a consolidated basis with their Subsidiaries) will be able to pay their debts  and  liabilities,  subordinated,  contingent, prospective or otherwise, as such debts and liabilities   become  absolute  and  matured;  (d) the  Designated  Company  and  the  Loan  Parties  (on  a   consolidated basis with their Subsidiaries) will not have unreasonably small assets with which to   conduct  their  business  in  which  they  are  engaged  as  such  business  is  now  conducted  and  is   proposed to be conducted following the Effective Date; and (e) the Designated Company and the   Loan Parties (on a consolidated basis with their Subsidiaries) are not “insolvent” as such term is   defined under any bankruptcy, insolvency or similar laws of any jurisdiction in which any Loan   Party is organized or incorporated (as applicable), or otherwise unable to pay their debts as they   fall due.    Section 3.17 Employee  Benefit  Plans.  Each  Company  and  its  ERISA  Affiliates  is  in   compliance in all material respects with the applicable provisions of ERISA and the Code and   the regulations and published interpretations thereunder except for such non-compliance that in   the aggregate would not have a Material Adverse Effect. No ERISA Event has occurred or is   reasonably expected to occur that, when taken together with all other such ERISA Events, could   reasonably be expected to result in a Material Adverse Effect or the imposition of a Lien on any  of the property of any Company. The present value of all accumulated benefit obligations of all   underfunded Plans (based on the assumptions used in the most recent actuarial valuations used   for the respective Plans) did not, as of the date of the most recent financial statements reflecting   such amounts, exceed the fair market value of the property of all such underfunded Plans in an   amount which could reasonably be expected to have a Material Adverse Effect. Using actuarial   assumptions  and  computation  methods  consistent  with  subpart  I  of  subtitle  E  of  Title  IV  of   ERISA, the aggregate liabilities of each Company or its ERISA Affiliates to all Multiemployer   Plans in the event of a complete withdrawal therefrom, as of the close of the most recent fiscal   year of each such Multiemployer Plan, could not reasonably be expected to result in a Material   Adverse Effect.                To the extent applicable, each Foreign Plan has been maintained in compliance  with  its  terms  and  with  the  requirements  of  any  and  all  Requirements  of  Law  and  has  been  maintained,  where  required,  in  good  standing  with  applicable  Governmental  Authority  and  Taxing  Authority,  except  for  such  non-compliance  that  in  the  aggregate  would  not  have  a                                         122   1120544.02G-CHISR02A - MSW  

 

    Material Adverse Effect. No Company has  incurred any  obligation in connection  with the   termination of or withdrawal from any Foreign Plan, except to the  extent  of  liabilities  which   could not reasonably be expected to have a Material Adverse Effect. Each Foreign Plan which is   required to be funded is funded in accordance with Requirements of Law, and for each Foreign   Plan which is not required to be funded, the obligations of such Foreign Plan are properly accrued   in the financial statements of the Designated Company and its Subsidiaries, in each case in an   amount that could not reasonably be expected to have a Material Adverse Effect.                Except as specified on Schedule 3.17, (i) no Company is or has at any time been   an employer (for the purposes of Sections 38 to 51 of the Pensions Act 2004) of an occupational   pension scheme which is not a money purchase scheme (both terms as defined in the Pensions   Schemes  Act  1993),  and  (ii)  no  Company  is  or  has  at  any  time  been  “connected”  with  or  an   “associate” of (as those terms are used in Sections 39 and 43 of the Pensions Act 2004) such an   employer.    Section 3.18 Environmental Matters.          (a)   Except as, individually or in the aggregate, could not reasonably be expected to  result in a Material Adverse Effect:                                (i)    The Companies and their businesses, operations and                   Real Property are in compliance with, and the Companies have no liability                   under, any applicable Environmental Law;                                (ii)   The  Companies  have  obtained  all  Environmental                   Permits required for the conduct of their businesses and operations, and the                   ownership, operation and use of their property, under Environmental Law,                   and all such Environmental Permits are valid and in good standing;                                (iii)  There has been no Release or threatened Release of                   Hazardous  Material  on,  at,  under  or  from  any  Real  Property  or  facility                   presently or formerly owned, leased or operated by the Companies or their                   predecessors  in  interest  that  could  reasonably  be  expected  to  result  in                   liability of the Companies under any applicable Environmental Law;                                (iv)   There is no Environmental Claim pending or, to the                   knowledge of any Company, threatened against the Companies, or relating                   to the Real Property currently or formerly owned, leased or operated by the                   Companies or their predecessors in interest or relating to the operations of                   the Companies, and, to the knowledge of any Company, there are no actions,                   activities,  circumstances,  conditions,  events  or incidents  that  could                   reasonably be expected to form the basis of such an Environmental Claim;                                          123   1120544.02G-CHISR02A - MSW  

 

                                (v)     No Lien has been recorded or, to the knowledge of                   any Company, threatened under any Environmental Law with respect to any                   Real Property or other assets of the Companies;                                (vi)    The  execution,  delivery  and  performance  of  this                   Agreement and the consummation of the transactions contemplated hereby                   will  not  require  any  notification,  registration,  filing,  reporting,  disclosure,                   investigation,  remediation  or  cleanup  pursuant  to  any  Governmental  Real                   Property  Disclosure  Requirements  or  any  other  applicable  Environmental                   Law; and                                (vii)   No  person  with  an  indemnity  or  contribution                   obligation to the Companies relating to compliance with or liability under                   Environmental Law is in default with respect to such obligation.          (b)   As of the Effective Date and the Closing Date:                                (i)     Except as could not reasonably be expected to have                   a Material Adverse Effect, no Company is obligated to perform any action                   or otherwise incur any expense under Environmental Law pursuant to any                   order, decree, judgment or agreement by which it is bound or has assumed                   by contract, agreement or operation of law, and no Company is conducting                   or financing any Response pursuant to any Environmental Law with respect                   to any Real Property or any other location; and                                (ii)   No  Real  Property  or  facility  owned,  operated  or                   leased by the Companies and, to the knowledge of the Companies, no Real                   Property or facility formerly owned, operated or leased by the Companies                   or any of their predecessors in interest is (i) listed or proposed for listing on                   the National Priorities List promulgated pursuant to CERCLA, or (ii) listed                   on  the  Comprehensive  Environmental  Response,  Compensation  and                   Liability  Information  System  promulgated  pursuant  to  CERCLA  and is                   reasonably  likely  to  result  in  any  material  liability  to  any  Company,  or                   (iii) included  on  any  other  publicly  available  list  of  contaminated  sites                   maintained by any Governmental Authority analogous to CERCLA or the                   Resource  Conservation  and  Recovery  Act,  42  U.S.C.  §6901  et  seq.,                   including any such list relating to the management or clean up of petroleum                   and is reasonably likely to result in any material liability to a Company.   Section 3.19 Insurance. Schedule 3.19 sets forth a true and correct description of all insurance   policies maintained by each Company as of the Effective Date. All insurance maintained by the   Companies to the extent required by Section 5.04 is in full force and effect, and all premiums   thereon have been duly paid. As of the Effective Date and the Closing Date, no Company has                                         124   1120544.02G-CHISR02A - MSW  

 

  received  notice  of  violation  or  cancellation  thereof.  Each  Company  has  insurance  in  such  amounts and covering such risks and liabilities as are customary for companies of a similar size  engaged in similar businesses in similar locations.   Section 3.20 [INTENTIONALLY OMITTED].   Section 3.21 Material Indebtedness Documents. Schedule 3.21 lists, as of the Effective Date,  (i)  each  material  Senior  Note  Document,  (ii) each  material  Revolving  Credit  Loan  Document,  (iii) each material Secured Term Loan Document, and (iv) each material agreement, certificate,  instrument,  letter  or  other  document  evidencing  any  other  Material  Indebtedness,  and  the  Lenders have been furnished true and complete copies of each of the foregoing.   Section 3.22 Anti-Terrorism Law; Sanctions and Anti-Corruption Law. No Loan Party or  any of its Subsidiaries, or to the knowledge of the any Loan Party, any director, officer, agent,  employee, or other person acting on behalf of any Loan Party, is in violation of any Requirement  of  Law  relating  to  terrorism  or  money  laundering,  including  Executive  Order  No. 13224  on  Terrorist Financing, effective September 24, 2001 (the “Executive Order”), and the Uniting and  Strengthening  America  by  Providing  Appropriate  Tools  Required  to  Intercept  and  Obstruct  Terrorism Act of 2001, Public Law 107-56, Part II.1 of the Criminal Code, R.S.C. 1985, c. C-46,  as amended, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, S.C. 2000,  c.17, as amended, regulations promulgated pursuant to the Special Economic Measures Act, S.C.  1992  c.  17  and  the  United  Nations  Act,  R.S.C.  1985  c.  U-2,  in  each  case,  as  amended  (collectively, the “Anti-Terrorism Laws”).               No Loan Party or any of its Subsidiaries, and to the knowledge of the Loan Parties,  any director, officer, agent, employee, or other person acting on behalf of any Loan Party, and no  broker or other agent of any Loan Party acting or benefiting in any capacity in connection with  the Loans, is any of the following:                               (i)     a person that is listed in the annex to, or is otherwise                  subject to the provisions of, the Executive Order;                               (ii)    a person owned or controlled by, or acting for or on                  behalf of, any person that is listed in the annex to, or is otherwise subject to                  the provisions of, the Executive Order;                               (iii)   a person with which any Lender is prohibited from                  dealing  or  otherwise  engaging  in  any  transaction  by  any  Anti-Terrorism                  Law;                               (iv)    a  person  that  commits,  threatens  or  conspires  to                  commit or supports “terrorism” as defined in the Executive Order; or                                         125  1120544.02G-CHISR02A - MSW  

 

                                (v)     a  person  that  is  named  as  a  “specially  designated                   national and blocked person” on the most current list published by the U.S.                   Treasury  Department  Office  of  Foreign  Assets  Control  (“OFAC”)  at  its                   official  website  or  any  replacement  website  or  other  replacement  official                   publication of such list.                No Loan Party and, to the knowledge of the Loan Parties, no broker or other agent   of any Loan Party acting in any capacity in connection with the Loans (w) conducts any business   or  engages  in  making  or  receiving  any  contribution  of  funds,  goods  or  services  to  or  for  the   benefit  of  any  person  described  in  clauses  (i)  through  (v)  above  in  a  manner  violative  of  the   Executive  Order,  any  applicable  Sanctions  or  Anti-Terrorism  Law,  (x) deals  in,  or  otherwise   engages in any transaction relating to, any property or interests in property blocked pursuant to  the  Executive  Order  or  Anti-Terrorism  Laws,  (y) engages  in  or  conspires  to  engage  in  any  transaction  that  evades  or  avoids,  or  has  the  purpose  of  evading  or  avoiding,  or  attempts  to  violate, any of the prohibitions set forth in any Anti-Terrorism Law or (z) is in violation of any  applicable Anti-Terrorism Laws.          Neither the advance of the Term Loans nor the use of the proceeds of any thereof will  violate the Trading With the Enemy Act (50 U.S.C. § 1 et seq., as amended, and any executive  order or requirement of applicable law promulgated thereunder) (the “Trading With the Enemy   Act”) or any of the foreign assets control regulations of the United States Treasury Department   (31 CFR, Subtitle B, Chapter V, as amended) (the “Foreign Assets Control Regulations”) or   any  enabling  legislation  or  executive  order  relating  thereto (which  for  the  avoidance  of  doubt   shall include, but shall not be limited to (a) the Executive Order and (b) the Patriot Act) or any   other applicable Sanctions. Furthermore, none of the Loan Parties or their Subsidiaries (including   Unrestricted  Subsidiaries)  and,  to  the  Loan  Parties’  knowledge,  their  and  their  Subsidiaries’   respective directors, officers, employees, Affiliates or agents (in the case of agents, that will act   in  any  capacity  in  connection  with  or  benefit  from  this  Agreement)  (a)  is  or  will  become  a   “blocked person” as described in the Executive Order, the Trading With the Enemy Act or the   Foreign Assets Control Regulations or (b) engages or will engage in any dealings or transactions,   or be otherwise associated, with any such “blocked person” or with any Sanctioned Person, in   each case, in any manner violative of any applicable Sanctions or Anti-Terrorism Law or (c) is a   Sanctioned Person. Each Loan Party is in compliance, in all material respects, with the Patriot   Act.  Each  Loan  Party,  its  Subsidiaries  and  their  respective  officers  and  employees  and  to  the   knowledge of such Loan Party its directors and agents, are in compliance with Anti-Corruption   Laws and applicable Sanctions in all material respects and are not knowingly engaged in any   activity that would reasonably be expected to result in Holdings or any of its Subsidiaries being   designated as a Sanctioned Person. No part of the proceeds of the Term Loans will be used by   the  Loan  Parties,  directly  or  indirectly,  for  any  payments  to  any  governmental  official  or   employee, political party, official of a political party, candidate for political office, or anyone   else  acting  in  an  official  capacity,  in  order  to  obtain,  retain  or  direct  business  or  obtain  any   improper advantage, in violation of the United States Foreign Corrupt Practices Act of 1977, as   amended, or any law, rule or regulation of any jurisdiction applicable to Holdings or any of its   Subsidiaries  from  time  to  time  concerning  or  relating  to  bribery  or  corruption  including  the   Corruption of Foreign Public Officials Act (Canada) (collectively, “Anti-Corruption  Laws”).                                         126   1120544.02G-CHISR02A - MSW  

 

    “Sanctioned  Country”  means,  at  any  time,  a  country  or  territory  which  is  itself,  or  whose   government is, the subject or target of any Sanctions. “Sanctioned Person” means, at any time,   (a) any Person listed in any Sanctions-related list of designated Persons maintained by OFAC,   the U.S. Department of State or by the United Nations Security Council, the European Union,   Her Majesty’s Treasury of the United Kingdom, any EU member state or the Commonwealth of   Australia,  (b)  any  Person  operating,  organized  or  resident  in  a  Sanctioned  Country  or  (c)  any   Person  owned  or  controlled  by  any  such  Person  or  Persons.  “Sanctions”  means  economic  or  financial sanctions or trade embargoes imposed, administered or enforced from time to time by  (a) the U.S. government, including those administered by OFAC or the U.S. Department of State,  or (b) the United Nations Security Council, the European Union, Her Majesty’s Treasury of the  United Kingdom, the Commonwealth of Australia, or Singapore.         The  Designated  Company  has  implemented  and  maintains  in  effect policies  and  procedures designed to ensure compliance by the Designated Company, its Subsidiaries and their  respective directors, officers, employees and agents with Anti-Corruption Laws and applicable  Sanctions.   Section 3.23 Location of Material Inventory and Equipment. Schedule 3.24 sets forth as of   May  7,  2018  all  locations  where  the  aggregate  value  of  Inventory  and  Equipment  (other  than   mobile  Equipment  or  Inventory  in  transit)  owned  by  the  Loan  Parties  at  each  such  location   exceeds $1,000,000.    Section 3.24 Senior Notes; Material Indebtedness. The Obligations constitute “Senior Debt”   or “Designated Senior Indebtedness” (or any other defined term having a similar purpose) within   the meaning of the Senior Note Documents (and any Permitted Refinancings thereof permitted   under  Section  6.01  other  than  refinancings  with  additional  Secured  Term  Loans).  The   Commitments and the Loans and other extensions of credit under the Loan Documents constitute   “Credit  Facilities”  (or  any  other  defined  term  having  a  similar  purpose)  or  liabilities  payable   under the documentation related to “Credit Facilities” (or any other defined term having a similar   purpose), in each case, within the meaning of the Senior Note Documents (and any Permitted   Refinancings thereof permitted under Section 6.01 other than refinancings with Secured Term   Loans).  The  consummation  of  each  of  (i) the  Transactions,  and  (ii)  each  incurrence  of   Indebtedness hereunder is permitted under, and, in each case, does not require any consent or   approval under, the terms of (A) the Senior Note Documents (and any Permitted Refinancings   thereof),  the  Revolving  Credit  Loan  Documents  (and  any  Permitted  Revolving  Credit  Facility   Refinancings  thereof),  the  Secured  Term  Loan  Documents  (and  any  Permitted  Secured  Term   Loan Facility Refinancings thereof), or any other Material Indebtedness or (B) any other material   agreement or instrument binding upon any Company or any of its property except, in the case of   this clause (B), as could not reasonably be expected to result in a Material Adverse Effect.    Section 3.25 Centre of Main Interests and Establishments. For the purposes of The Council   of the European Union Regulation No. 1346/2000 on Insolvency Proceedings (the “Regulation”)   (or,  after  June  26,  2017,  Regulation  (EU)  2015/848  of  the  European  Parliament  and  of  the   Council of May 20, 2015 on insolvency proceedings (recast) (the “New  Regulation”)), (i) the   centre  of  main  interest  (as  that  term  is  used  in  Article  3(1)  of  the  Regulation)  of  each  U.K.   Guarantor is situated in England and Wales, (ii) the centre of main interest of Irish Guarantor is                                         127   1120544.02G-CHISR02A - MSW  

 

    situated in Ireland or Germany, and it has no “establishment” (as that term is used in Article 2(h)   of the Regulation or Article 2(10) of the New Regulation, as applicable) in any jurisdiction other   than Ireland or Germany, (iii) the centre of main interest of each Swiss Guarantor is situated in   Switzerland, and in each case each has no “establishment” (as that term is used in Article 2(h) of   the Regulation or Article 2(10) of the New Regulation, as applicable) in any other jurisdiction,   (iv) the centre of main interest of German Seller is situated in Germany, (v) the centre of main   interest of each Dutch Guarantor is situated in the Netherlands, and in each case each has no   “establishment” (as that term is used in Article 2(h) of the Regulation) in any other jurisdiction,   (vi) the centre of main interest of each French Guarantor is situated in France, and in each case   each has no “establishment” (as that term is used in Article 2(h) of the Regulation or Article 2(10)   of the New Regulation, as applicable) in any other jurisdiction, (vii) the centre of main interest of  each Belgian Guarantor is situated in Belgium, and in each case each has no “establishment” (as  such term is used in Article 2(h) of the regulation) in any other jurisdiction, and (viii) other than  as provided in paragraph (ii) above, no Guarantor (to the extent such Guarantor is subject to the  Regulation)  shall  have  a  centre  of  main  interest  other  than  as situated  in  its  jurisdiction  of  incorporation.   Section 3.26 Holding  and  Dormant  Companies.  Except  as  may  arise  under  the  Loan   Documents,  the  Revolving  Credit  Loan  Documents,  the  Secured  Term  Loan  Documents,  any   Third  Lien  Credit  Agreement,  any  Permitted  Holdings  Indebtedness,  (in  the  case  of  Novelis   Europe Holdings Limited) the Senior Notes, any Permitted First Priority Refinancing Debt, any   Permitted  Second  Priority  Refinancing  Debt,  any  Permitted  Unsecured  Refinancing  Debt,  or   Indebtedness  incurred  pursuant  to  Section 6.01(l)  or  (u),  neither  Holdings  nor  Novelis  Europe   Holdings Limited trades or has any liabilities or commitments (actual or contingent, present or   future) other than liabilities attributable or incidental to acting as a holding company of shares in   the Equity Interests of its Subsidiaries.    Section 3.27 Excluded  Guarantor  Subsidiaries. The Excluded Guarantor Subsidiaries as of   the Effective Date are listed on Schedule 1.01(c).     Section 3.28 EEA Financial Institutions. No Loan Party is an EEA Financial Institution.    Section 3.29 Federal Power Act; Etc. No Loan Party nor any of its Subsidiaries is subject to   regulation under the Federal Power Act, the Interstate Commerce Act or, to the knowledge of   such Loan Party, under any other federal or state statute or regulation, in each case, to the extent   such  regulation  would  prohibit  it  from  incurring  the  Obligations  or  which  would  otherwise   render all or any of the Obligations unenforceable.    Section 3.30 Beneficial  Ownership  Certification. As of the Effective Date, the information   included  in  the  Beneficial  Ownership  Certification,  if  applicable,  is  true  and  correct  in  all   respects.    Section 3.31 No Fiscal Unity. No Company is a member of a fiscal unity for VAT, corporate   income tax or any other tax purposes, except for a fiscal unity for VAT or corporate income tax   purposes consisting solely of Loan Parties.                                          128   1120544.02G-CHISR02A - MSW  

 

                                   ARTICLE IV                                                               CONDITIONS TO CREDIT EXTENSIONS   Section 4.01 Conditions to the Effective Date. The effectiveness of this Agreement shall be  subject to the prior or concurrent satisfaction of each of the conditions precedent set forth in this  Section 4.01.         (a)   Loan  Documents.  On  or  prior  to  February  28,  2019,  the  Administrative  Agent  shall  have  received  executed  counterparts  of  each  of  the  following,  properly  executed  by  an  authorized  signatory  of  each  applicable  signing  Loan  Party,  each  in  form  and  substance  reasonably satisfactory to the Administrative Agent, and (other than the Agent Fee Letter) each  of the Lenders and the Mandated Lead Arrangers:                               (i)     this Agreement;                               (ii)    the  Contribution,  Intercompany,  Contracting  and                  Offset Agreement;                               (iii)   the Subordination Agreement; and                               (iv)    the Agent Fee Letter.         (b)   Corporate Documents. The Administrative Agent shall have received:                               (i)     a  certificate  of  the  secretary,  assistant  secretary,                  managing  director  (where  applicable)  or  other  director  (in  the case  of                  Holdings) of each Loan Party dated the Effective Date, certifying (1) that                  attached  thereto  is  a  true  and  complete  copy  of  each  Organizational                  Document (or its equivalent including the constitutional documents) of such                  Loan Party certified (to the extent customary in the applicable jurisdiction)                  as of a recent date by the Secretary of State (or equivalent Governmental                  Authority) of the jurisdiction of its organization, (2) that attached thereto is                  a  true  and  complete  copy  of  resolutions  duly  adopted  by  the  Board  of                  Directors (or equivalent governing body or Person) and/or shareholders, as                  applicable,  of  such  Loan  Party  authorizing  the  execution,  delivery  and                  performance of, inter alia, this Agreement and the other Loan Documents to                  which such Person is a party that are required to be executed in connection                  herewith, and that such resolutions, or any other document attached thereto,                  have not been modified, rescinded, amended or superseded and are in full                  force and effect, (3) as to the incumbency and specimen signature of each                                        129  1120544.02G-CHISR02A - MSW  

 

                  officer  or  authorized  signatory  executing  this  Agreement  and  any  Loan                  Document  or  any  other  document  delivered  in  connection  herewith  on                  behalf of such Loan Party (together with a certificate of another officer as to                  the incumbency and specimen signature of the secretary, assistant secretary                  or managing director executing the certificate in this clause (i), and other                  customary evidence of incumbency) and (4) that the borrowing or guarantee                  with respect to the Loans or any of the other Obligations would not cause                  any borrowing, guarantee, or similar limit binding on any Loan Party to be                  exceeded,  each  in  form  and  substance  reasonably  satisfactory  to  the                  Mandated Lead Arrangers;                               (ii)   a  certificate  as  to  the  good  standing  (where                  applicable,  or  such  other  customary  functionally  equivalent  certificates  or                  abstracts) of each Loan Party (in so-called “long-form” if available) as of a                  recent  date prior  to  the Effective  Date,  from  the  Secretary of State in the                  state or jurisdiction of organization of such Loan Party (or other applicable                  Governmental  Authority),  each  in  form  and  substance  reasonably                  satisfactory to the Mandated Lead Arrangers;                               (iii)  if  relevant,  evidence  that  each  Irish  Guarantor  has                  done all that is necessary to follow the procedures set out in section 82 of                  the Companies Act 2014 of Ireland in order to enable it to enter into this                  Agreement and the other Loan Documents to which such Person is a party                  that are required to be executed in connection herewith;                               (iv)   evidence that each of the Loan Parties are members                  of  the  same  group  of  companies  consisting  of  a  holding  company and  its                  subsidiaries  for  the  purposes  of Section  7  of  the  Companies  Act  2014  of                  Ireland and Section 8 of the Companies Act 2014 of Ireland;                               (v)    up-to  date  certified  copy  of  the  constitutional                  documents  (e.g.,  for  a  German  GmbH:   Handelsregisterauszug,                  Gesellschaftsvertrag, Gesellschafterliste) for each German Loan Party; and                               (vi)   such  other  documents  as  the  Lenders  or  the                  Administrative Agent may reasonably request.        (c)   Officers’ Certificate. The Administrative Agent shall have received a certificate,  dated the Effective Date and signed by an authorized signatory of the Designated Company and  the  Borrower,  certifying  (i) compliance  with  the  conditions  precedent set forth in this Section  4.01  and  Section  4.03(b)  and  (c), (ii) that  no  Default  has  occurred  and  is  continuing,  (iii) that  each of the representations and warranties made by any Loan Party set forth in ARTICLE III                                        130  1120544.02G-CHISR02A - MSW  

 

    hereof or in any other Loan Document are true and correct in all material respects (or, in the case   of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or   similar  language,  in  all  respects)  on  and  as  of  the  Effective  Date,  except  to  the  extent  such   representations  and  warranties  expressly  related  to  an  earlier date,  in  which  case  such  representation and warranty shall have been true and correct in all material respects (or, in the  case  of  any  representation  or  warranty  that  is  qualified  as  to materiality,  “Material  Adverse  Effect” or similar language, in all respects) as of such earlier date, and (iv) and certifying that  each of the documents required to be delivered pursuant to clause (f) below have been delivered   to the Administrative Agent on or prior to the Effective Date.          (d)   Opinions of Counsel. The Administrative Agent shall have received, on behalf of   itself, the Mandated Lead Arrangers and the Lenders, (i) a favorable written opinion of Torys   LLP,  special  counsel  for  the  Loan Parties,  and  (ii) a  favorable  written  opinion  of  local  and   foreign counsel of the Loan Parties in jurisdictions to be specified by the Administrative Agent   (or, in the case of Loan Documents governed by the laws of, or Persons organized under the laws   of, the United Arab Emirates or the Dubai International Financial Centre, foreign counsel of the   Agents), in each case (A) dated the Effective Date, (B) addressed to the Administrative Agent   and the Lenders and (C) covering such matters relating to the Loan Documents delivered on the   Effective Date as the Administrative Agent shall reasonably request, including, but not limited to,   capacity of each Loan Party to execute, deliver and perform its obligations under each such Loan   Document to which it is a party and enforceability of each such Loan Document, each in form   and substance reasonably satisfactory to the Mandated Lead Arrangers.          (e)   Payment  of  Fees,  Costs  and  Expenses.  The  Administrative  Agent  shall  have   received  all  fees  required  to  be  paid,  and  all  expenses  (including  the  reasonable  fees  and   expenses of Skadden, Arps, Slate, Meagher & Flom LLP, special counsel to the Administrative   Agent, and the reasonable fees and expenses of any local counsel, foreign counsel, appraisers,   consultants and other advisors) for which invoices have been presented at least one Business Day   prior to the Effective Date, on or before the Effective Date, in connection with the Transactions.          (f)   Term Loan Amendment and Incremental Facility Documents. The Administrative   Agent  shall  have  received  executed  copies  of  (i)  that  certain  Amendment  No.  2  to  Credit   Agreement and Amendment to U.S. Security Agreement, dated as of November 20, 2018 (the   “November 2018 Secured Term Loan Amendment”), among Parent, Holdings, the other Loan   Parties party thereto, Novelis Italia S.P.A., the Secured Term Loan Administrative Agent and the   Secured Term Loan Collateral Agent, which amends the Secured Term Loan Credit Agreement,   and all documents and certificates executed and delivered in connection therewith, each of which   shall  be  in  full  force  and  effect,  and  all  conditions  precedent  to  the  effectiveness  of  the   amendments set forth therein shall have been satisfied, and (ii) that certain Incremental Joinder   Agreement, dated as of the date hereof (the “Incremental Joinder Agreement”), among Parent,   Holdings,  the  other  Loan  Parties  party  thereto,  Novelis  Italia S.P.A.,  the  Secured  Term  Loan   Administrative Agent and the Secured Term Loan Collateral Agent, which amends the Secured   Term Loan Credit Agreement and provides for an incremental term loan facility in an aggregate   principal amount of $775,000,000, and all “Loan Documents” as defined therein that are required                                         131   1120544.02G-CHISR02A - MSW  

 

    to be delivered on the effective date of the Incremental Joinder Agreement pursuant to the terms   thereof,  each  of  which  shall  be  in  full  force  and  effect,  and  all  conditions  precedent  to  the   effective date set forth therein shall have been satisfied.          (g)   Solvency  Certificate.  The  Administrative  Agent  shall  have  received  a  solvency   certificate in the form of Exhibit J (or in such other form as is satisfactory to the Administrative   Agent to reflect applicable legal requirements), dated the Effective Date and signed by a senior   Financial Officer of each Loan Party or of the Designated Company.          (h)   Representations and Warranties. Each of the representations and warranties made   by any Loan Party set forth in ARTICLE III hereof or in any other Loan Document are true and   correct in all material respects (or, in the case of any representation or warranty that is qualified   as to materiality, “Material Adverse Effect” or similar language, in all respects) on and as of the   Effective Date, except to the extent such representations and warranties expressly related to an   earlier date, in which case such representation and warranty shall have been true and correct in  all  material  respects  (or,  in  the  case  of  any  representation  or  warranty  that  is  qualified  as  to  materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier date.         (i)   No Default or Event of Default. Before and after giving effect to this Agreement,   no Default or Event of Default shall have occurred and be continuing.          (j)   Requirements of Law. The Administrative Agent shall be satisfied that Holdings,   the  Borrower  and  Holdings’  Subsidiaries  and  the  Transactions  consummated  on  the  Effective   Date shall be in full compliance with all material Requirements of Law, including Regulations T,   U  and  X  of  the  Board,  and  shall  have  received  satisfactory  evidence  of  such  compliance   reasonably requested by them.          (k)   Consents. All approvals of Governmental Authorities and third parties necessary   to  execute  and  deliver  this  Agreement  and  the  other  Loan  Documents  entered  into  on  the   Effective Date, and to perform all obligations thereunder, in each case shall have been obtained   and shall be in full force and effect.           (l)   Litigation. There shall be no governmental or judicial action, actual or threatened,   that  has  or  would  have,  singly  or  in  the  aggregate,  a  reasonable  likelihood  of  restraining,   preventing or imposing burdensome conditions on the Transactions.          (m)   USA Patriot Act; Beneficial Ownership Certification.                  (i) The  Administrative  Agent  and  the Lenders  shall  have  received,  at  least  5                   Business  Days  prior  to  the  Effective  Date,  and shall  be  satisfied  with, all                   documentation  and  other  information  that  may  be  required  by  the                                         132   1120544.02G-CHISR02A - MSW  

 

                    Administrative Agent and the Lenders in order to enable compliance with                   applicable  “know  your  customer”  and  anti-money  laundering  rules  and                   regulations,  including  the  Patriot  Act  and  the  information  described  in                   Section 11.13.                 (ii) At  least  five  (5)  Business  Days  prior  to  the  Effective  Date,  the  Borrower                   shall have delivered to the Administrative Agent and each Lender that so                   requests a Beneficial Ownership Certification.          (n)   Process  Agent.  The  Administrative  Agent  shall  have  received  evidence  of  the   acceptance by the Process Agent of its appointment as such by the Loan Parties.          (o)   No Material Adverse Effect. Since March 31, 2018 through the Effective Date,   there  has  been  no  event,  change,  circumstance  or  occurrence  that,  individually  or  in  the   aggregate,  has  had  or  could  reasonably  be  expected  to  result  in  a  Material  Adverse  Effect  on   Holdings and its Subsidiaries.          (p)   Secured Term Loan Agreement Amendments. Any amendments or modifications   of  the  Secured  Term  Loan  Agreement  on  or  after  October  30,  2018  and  prior  to  or  on  the   Effective Date shall be satisfactory to the Mandated Lead Arrangers.    Section 4.02 Conditions to Initial Credit Extension on the Closing Date. The obligation of   each Lender to fund the Credit Extension requested to be made by it under this Agreement on the   Closing  Date  shall  be  subject  to the  prior  or  concurrent  satisfaction  of  each  of  the  conditions   precedent set forth in this Section 4.02.          (a)   Effective Date. The Effective Date shall have occurred.          (b)   Agreement  Termination  Date.  The  Agreement  Termination  Date  shall  not  have   occurred.          (c)   Loan  Documents.  The  Administrative  Agent  shall  have  received  executed   counterparts  of  each  of  the  following,  properly  executed  by  an authorized  signatory  of  each   applicable  signing  Loan  Party,  each  in  form  and  substance  reasonably  satisfactory  to  the  Administrative Agent, each of the Lenders and each of the Mandated Lead Arrangers:                                (i)    Each  Foreign  Guarantee  (other  than  the  Foreign                   Guarantees, if any, delivered on the Effective Date);                                          133   1120544.02G-CHISR02A - MSW  

 

                              (ii)    the Letter of Comfort, which letter shall have been                  approved  by  Hindalco’s  board  of  directors  prior  to  the  date  that  it  is                  delivered to the Administrative Agent; and                               (iii)   a  Note  executed  by  the  Borrower  in  favor  of  each                  Lender that has requested a Note prior to the Closing Date.         (d)   Borrowing Request. The Administrative Agent shall have received a Borrowing  Request as required by Section 2.03.         (e)   Corporate Documents. The Administrative Agent shall have received:                               (i)     a  certificate  of  the  secretary,  assistant  secretary,                  managing  director  (where  applicable)  or  other  director  (in  the case  of                  Holdings)  of  each  Loan  Party  dated  the  Closing  Date,  certifying (1) that                  attached  thereto  is  a  true  and  complete  copy  of  each  Organizational                  Document (or its equivalent including the constitutional documents) of such                  Loan Party certified (to the extent customary in the applicable jurisdiction)                  as of a recent date by the Secretary of State (or equivalent Governmental                  Authority) of the jurisdiction of its organization, (2) that attached thereto is                  a  true  and  complete  copy  of  resolutions  duly  adopted  by  the  Board  of                  Directors (or equivalent governing body or Person) and/or shareholders, as                  applicable,  of  such  Loan  Party  authorizing  the  execution,  delivery  and                  performance of, inter alia, this Agreement and the other Loan Documents to                  which such Person is a party that are required to be executed in connection                  herewith, and that such resolutions, or any other document attached thereto,                  have not been modified, rescinded, amended or superseded and are in full                  force and effect, (3) as to the incumbency and specimen signature of each                  officer  or  authorized  signatory  executing  this  Agreement  and  any  Loan                  Document  or  any  other  document  delivered  in  connection  herewith  on                  behalf of such Loan Party (together with a certificate of another officer as to                  the incumbency and specimen signature of the secretary, assistant secretary                  or managing director executing the certificate in this clause (i), and other                  customary evidence of incumbency) and (4) that the borrowing or guarantee                  with respect to the Loans or any of the other Obligations would not cause                  any borrowing, guarantee, or similar limit binding on any Loan Party to be                  exceeded,  each  in  form  and  substance  reasonably  satisfactory  to  the                  Mandated Lead Arrangers;                               (ii)   a  certificate  as  to  the  good  standing  (where                  applicable,  or  such  other  customary  functionally  equivalent  certificates  or                  abstracts) of each Loan Party (in so-called “long-form” if available) as of a                  recent date prior to the Closing Date, from the Secretary of State in the state                                        134  1120544.02G-CHISR02A - MSW  

 

                    or  jurisdiction  of  organization  of  such  Loan  Party  (or  other  applicable                   Governmental  Authority),  each  in  form  and  substance  reasonably                   satisfactory to the Mandated Lead Arrangers;                                (iii)   if  relevant,  evidence  that  each  Irish  Guarantor  has                   done all that is necessary to follow the procedures set out in section 82 of                   the Companies Act 2014 of Ireland in order to enable it to enter into this                   Agreement and the other Loan Documents to which such Person is a party                   that are required to be executed in connection herewith;                                (iv)    evidence that each of the Loan Parties are members                   of  the  same  group  of  companies  consisting  of  a  holding  company and  its                   subsidiaries  for  the  purposes  of Section  7  of  the  Companies  Act  2014  of                   Ireland and Section 8 of the Companies Act 2014 of Ireland;                                (v)     up-to  date  certified  copy  of  the  constitutional                   documents  (e.g.,  for  a  German  GmbH:   Handelsregisterauszug,                   Gesellschaftsvertrag, Gesellschafterliste) for each German Loan Party; and                                (vi)    such  other  documents  as  the  Lenders  or  the                   Administrative Agent may reasonably request.          (f)   Officers’ Certificate. The Administrative Agent shall have received a certificate,   dated  the  Closing  Date  and  signed  by  an  authorized  signatory  of  the  Designated  Company,   certifying (i) compliance with the conditions precedent set forth in this Section 4.02 and, subject   to the last sentence of this Section 4.02, Section 4.03(b) and (c), (ii) subject to the last sentence   of  this  Section  4.02,  that  no  Default  has  occurred  and  is  continuing,  (iii) subject  to  the  last   sentence of this Section 4.02, that each of the representations and warranties made by any Loan   Party set forth in ARTICLE III hereof or in any other Loan Document are true and correct in all   material  respects  (or,  in  the  case  of  any  representation  or  warranty  that  is  qualified  as  to   materiality,  “Material  Adverse  Effect”  or  similar  language,  in all  respects)  on  and  as  of  the   Closing  Date,  except  to  the extent such  representations  and  warranties expressly  related  to an   earlier date, in which case such representation and warranty shall have been true and correct in   all  material  respects  (or,  in  the  case  of  any  representation  or  warranty  that  is  qualified  as  to   materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier date,   and (iv) and certifying that each of the documents required to be delivered pursuant to clause (j)   below have been delivered to the Administrative Agent on or prior to the Closing Date.          (g)   Aleris  Indebtedness.  The  Administrative  Agent  shall  have  received  evidence   reasonably satisfactory to it that all Indebtedness of Aleris and its Subsidiaries and other accrued  and outstanding obligations in respect thereof (other than Indebtedness permitted under Section   6.01) has been repaid in full, all commitments thereunder have been terminated, and all security                                         135   1120544.02G-CHISR02A - MSW  

 

  interests in connection therewith have been released, or, in the case of each of the foregoing, will  be  repaid  in  full,  terminated  and  released,  as  applicable,  substantially  concurrently  with  the  funding of the Term Loans on the Closing Date after giving effect to the application of proceeds  thereof.         (h)   Consummation of Aleris Acquisition. On the Closing Date, the Aleris Acquisition  shall  be  consummated  substantially  concurrently  with  the  funding  of  the  Term  Loans  in  all  material respects in accordance with the terms described in the Aleris Merger Agreement as in  effect  on  July  26,  2018,  without  giving  effect  to  any  amendments  thereto  or  any  consents  or  waivers that, in any such case, are materially adverse to the Lenders in their capacities as such,  without  the  consent  of  the  Mandated  Lead  Arrangers  (it  being  understood  that  (i)  any  modification, amendment, consent or waiver to the definition of “Material Adverse Effect” in the  Aleris  Merger  Agreement,  or  which  has  the  effect  of  modifying, amending  or  waiving  the  representation  or  condition  as  to the  absence  of  a  Material  Adverse  Effect  (as  defined  in  the  Aleris  Merger  Agreement)  shall  be  deemed  to  be  materially  adverse  to  the  Lenders  and  the  Administrative Agent, (ii) any decrease in the purchase price payable under the Aleris Merger  Agreement shall not be deemed to be materially adverse to the Lenders, so long as such decrease  does  not  exceed  10%  of  the  consideration  contemplated  to  be  paid  under  the  Aleris  Merger  Agreement as of July 26, 2018 and (iii) any increase in the purchase price contemplated to be  paid  under  the  Aleris  Merger  Agreement  shall  not  be  deemed  to  be  materially  adverse  to  the  Lenders,  so  long  as  such  increase  is  funded  by  additional  common  equity  contributions  to  Holdings). For the avoidance of doubt, adjustments to working capital in accordance with the  terms of the Aleris Merger Agreement shall not constitute an increase or decrease in purchase  price for purposes of this clause (g).         (i)   Joinder  of  Aleris  and  its  Subsidiaries  to  Loan  Documents.  Immediately  after  giving  effect  to  the  consummation  of  the  Aleris  Acquisition,  Aleris  and  its  Subsidiaries  (including  each  such  Person  that  becomes  a  loan  party  under  the  Revolving  Credit  Loan  Documents on the Closing Date, but excluding any other Subsidiaries that would not be required  to  become  a  guarantor  on  the  Closing  Date  under  the  Secured  Term  Loan  Credit  Agreement)  shall  have  executed  and  delivered  Joinder  Agreements  (and  in  the  case  of  Aleris,  as  the  Borrower), and shall have executed and delivered (or caused to be executed and delivered), all  other Loan Documents, certificates, opinions and other closing deliverables consistent with the  Loan  Documents,  certificates,  opinions  and  other  closing  deliverables  delivered  by  the  Loan  Parties (other than the Aleris and its Subsidiaries) on the Closing Date and the Effective Date,  each in form and substance reasonably satisfactory to the Mandated Lead Arrangers.         (j)   Incremental  Facility  Documents;  Revolving  Credit  Loan  Documents.  The  Administrative Agent shall have received executed copies of:                   (i) If the loans under the Incremental Joinder Agreement are funded on the              Closing  Date,  all  “Loan  Documents”  as  defined  in  the  Incremental  Joinder              Agreement,  certificates  and  other  documents  and  agreements  required  to  be              delivered  on  the  Closing  Date  pursuant  to the  terms  of  the  Incremental Joinder                                        136  1120544.02G-CHISR02A - MSW  

 

              Agreement,  each  of  which  shall  be  in  full  force  and  effect,  and  all  conditions              precedent to the funding of the loans under the Incremental Joinder Agreement              shall have been satisfied (or will be satisfied concurrently with the funding of the              Term Loans); and                    (ii) an  amendment  to,  or  amendment  and  restatement  of,  the  Revolving              Credit  Agreement  (together  with  all  certificates  and  other  documents  and              agreements  required  to  be  delivered  on  the  Closing  Date  pursuant  to  the  terms              thereof),  the  terms  of  which  shall,  among  other  things,  permit the  Aleris              Acquisition, the Loan Documents, and the Commitment and Loans hereunder, the              Permitted  Reorganization,  the  Permitted  Reorganization  Actions,  and  the              Permitted Aleris Foreign Subsidiary Transfer (to the extent that such agreement              has not been restated, refinanced or otherwise replaced prior to such time), and              such agreement as so amended or amended and restated, and the November 2018              Secured  Term  Loan  Amendment,  shall  each  be  in  full  force  and  effect  and  all              conditions precedent to the effectiveness of the amendments set forth in each of              the  foregoing  shall  have  been  satisfied;  provided  that,  to  the extent  that  the              Revolving Credit Agreement has been restated, refinanced or otherwise replaced              to  the  extent  not  prohibited  by  the  Loan  Documents,  such  documents  (together              with all certificates and other documents and agreements required to be delivered              on  the  Closing  Date  pursuant  to  the  terms  thereof)  shall  be  delivered  to  the              Administrative  Agent  and  shall  be  in  full  force  and  effect,  and  all  conditions              precedent to the effectiveness of the terms thereof shall have been satisfied, and              such documents shall, among other things, permit the Aleris Acquisition, the Loan              Documents,  and  the  Commitment  and  Loans  hereunder,  the  Permitted              Reorganization,  the  Permitted  Reorganization Actions,  and  the  Permitted  Aleris              Foreign Subsidiary Transfer.         (k)   Financial Statements. the Administrative Agent shall have received the following  financial statements and forecasts:                (i)  the  consolidated  balance  sheets  and  related  statements  of  income,              stockholders’ equity and cash flows of the Designated Company and its Restricted              Subsidiaries (x) as of and for the three most recent fiscal years ended at least 90              days prior to the Closing Date, audited by and accompanied by the  unqualified              opinion  of  PricewaterhouseCoopers,  and  (y)  as  of  and  for  each  fiscal  quarter              ended  after  the  end  of  the  most  recently  ended  fiscal  year  for which  financial              statements have been provided pursuant to clause (x) above and at least 45 days              prior to the Closing Date (which requirement may be satisfied by providing links              to  such  information  on  the  website  of  the  U.S.  Securities  and  Exchange              Commission, so long as such information complies with the requirements of this              clause (i));                                         137  1120544.02G-CHISR02A - MSW  

 

               (ii) the  consolidated  balance  sheets  and  related  statements  of  income,              stockholders’ equity and cash flows of Aleris and its Subsidiaries (x) as of and for              the three most recent fiscal years ended at least 90 days prior to the Closing Date,              audited  by  and  accompanied  by  the  unqualified  opinion  of  an  independent              certified public accounting firm of nationally recognized standing, and (y) as of              and for each fiscal quarter ended after the end of the most recently ended fiscal              year  for  which  financial  statements  have  been  provided  pursuant  to  clause  (x)              above and at least 45 days prior to the Closing Date (which requirement may be              satisfied  by  providing  links  to  such  information  on  the  website of the U.S.              Securities and Exchange Commission, so long as such information complies with              the requirements of this clause (ii));                 (iii) the forecasts of financial performance of the Designated Company and its              Restricted  Subsidiaries  and  Aleris  and  its  Subsidiaries  covering  the  period              commencing with the most recent fiscal quarter ended at least 45 days prior to the              Closing  Date  and  ending  on  the  date  that  is  five  years  after  such  date,  which              forecasts shall have been prepared in good faith by the Designated Company and              its Restricted Subsidiaries and based on assumptions believed by the Designated              Company and its Restricted Subsidiaries to be reasonable, it being understood that              any  such  forecasts  may  vary  from  actual  results  and  such  variations  could  be              material; and                (iv) pro  forma  financial  statements  of  the  Designated  Company  and  its              Subsidiaries after giving effect to the Aleris Acquisition as of and  for the  most              recent fiscal year of the Designated Company ended at least 90 days prior to the              Closing Date, and as of and for each fiscal quarter of the Designated Company              ended after the end of such fiscal year and at least 45 days prior to the Closing              Date.         (l)   Indebtedness and Minority Interests. After giving effect to the Transactions and  the  other  transactions  contemplated  hereby,  no  Company  shall  have  outstanding  any  Indebtedness or preferred stock other than Indebtedness permitted under Section 6.01.         (m)   Opinions of Counsel. The Administrative Agent shall have received, on behalf of  itself, the Mandated Lead Arrangers and the Lenders, (i) a favorable written opinion of Torys  LLP, special counsel for the Loan Parties, and (ii) a favorable written opinion of each local and  foreign counsel of the Loan Parties in jurisdictions to be specified by the Administrative Agent  (or, in the case of Loan Documents governed by the laws of, or Persons organized under the laws  of, the United Arab Emirates or the Dubai International Financial Centre, foreign counsel of the  Agents), in each case (A) dated the Closing Date, (B) addressed to the Administrative Agent and  the Lenders and (C) covering such matters relating to the Loan Documents and the Transactions  as the Administrative Agent shall reasonably request, including, but not limited to, capacity of  each Loan Party to execute, deliver and perform its obligations under each Loan Document to                                         138  1120544.02G-CHISR02A - MSW  

 

    which  it  is  a  party  and  enforceability  of  each  Loan  Document,  each  in  form  and  substance   reasonably satisfactory to the Mandated Lead Arrangers.           (n)   Solvency  Certificate.  The  Administrative  Agent  shall  have  received  a  solvency   certificate in the form of Exhibit J (or in such other form as is satisfactory to the Administrative   Agent to reflect applicable legal requirements), dated the Closing Date and signed by a senior   Financial Officer of each Loan Party or of the Designated Company.          (o)   Representations and Warranties. Subject to the last sentence of this Section 4.02,   each of the representations and warranties made by any Loan Party set forth in ARTICLE III   hereof or in any other Loan Document are true and correct in all material respects (or, in the case   of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or   similar  language,  in  all  respects)  on  and  as  of  the  Closing  Date,  except  to  the  extent  such   representations  and  warranties  expressly  related  to  an  earlier date,  in  which  case  such  representation and warranty shall have been true and correct in all material respects (or, in the  case  of  any  representation  or  warranty  that  is  qualified  as  to materiality,  “Material  Adverse  Effect” or similar language, in all respects) as of such earlier date.         (p)   No Default or Event of Default. Subject to the last sentence of this Section 4.02,   before  and after  giving  effect  to  the  funding  of  the  Loans  on  the  Closing  Date,  no  Default  or   Event of Default shall have occurred and be continuing.          (q)   Requirements of Law. The Administrative Agent shall be satisfied that Holdings,   the Borrower and Holdings’ Subsidiaries and the Transactions consummated on the Closing Date   shall be in full compliance with all material Requirements of Law, including Regulations T, U   and X of the Board, and shall have received satisfactory evidence of such compliance reasonably   requested by them.          (r)   Consents. All approvals of Governmental Authorities and third parties necessary   to execute and deliver the Loan Documents entered into on the Closing Date, and to perform all   obligations  under  the  Loan  Documents  and  to  consummate  the  Transactions  shall  have  been   obtained and shall be in full force and effect.           (s)   Litigation. There shall be no governmental or judicial action, actual or threatened,   that  has  or  would  have,  singly  or  in  the  aggregate,  a  reasonable  likelihood  of  restraining,   preventing or imposing burdensome conditions on the Transactions.          (t)   Payment  of  Fees  Costs  and  Expenses.  The  Administrative  Agent  shall  have   received  all  fees  required  to  be  paid,  and  all  expenses  (including  the  reasonable  fees  and   expenses of Skadden, Arps, Slate, Meagher & Flom LLP, special counsel to the Administrative   Agent, and the reasonable fees and expenses of any local counsel, foreign counsel, appraisers,                                         139   1120544.02G-CHISR02A - MSW  

 

  consultants and other advisors) for which invoices have been presented at least one Business Day  prior to the Closing Date, on or before the Closing Date, in connection with the Transactions.         (u)   USA Patriot Act; Beneficial Ownership Certification.                 (i) The  Administrative  Agent  and  the Lenders  shall  have  received,  at  least  5                  Business  Days  prior  to  the  Closing  Date,  and  shall  be  satisfied with, all                  documentation  and  other  information  that  may  be  required  by  the                  Administrative Agent and the Lenders in order to enable compliance with                  applicable  “know  your  customer”  and  anti-money  laundering  rules  and                  regulations,  including  the  Patriot  Act  and  the  information  described  in                  Section 11.13.                (ii) At least five (5) Business Days prior to the Closing Date, the Borrower shall                  have delivered to the Administrative Agent and each Lender that so requests                  a Beneficial Ownership Certification.        (v)   Lender FATCA Compliance Certifications. The Administrative Agent shall have  received a U.S. tax withholding certificate (or, alternatively, other evidence satisfactory to the  Administrative  Agent)  confirming  FATCA  compliance  from  each  Lender  pursuant  to  paragraph (v) of Section 2.15(f) (FATCA Information). For the avoidance of doubt, and pursuant  to paragraph (viii) of Section 2.15(f) (FATCA Information), the Administrative Agent may rely  on  such  U.S.  tax  withholding  certificate  or  other  evidence  from  each  Lender  without  further  verification, and the Administrative Agent shall not be liable for any action taken by it in respect  of  such  U.S.  tax  withholding  certificate  or  other  evidence  under  or  in  connection  with  paragraph (v), (vi) or (vii) of Section 2.15(f) (FATCA Information).         (w)   Process  Agent.  The  Administrative  Agent  shall  have  received  evidence  of  the  acceptance by the Process Agent of its appointment as such by each Person acquired by a Loan  Party in connection with the Aleris Acquisition, to the extent such Person becomes a Loan Party  on the Closing Date.         (x)   No  Material  Adverse  Effect.  Since  March  31,  2018  through  the  Closing  Date,  there  has  been  no  event,  change,  circumstance  or  occurrence  that,  individually  or  in  the  aggregate,  has  had  or  could  reasonably  be  expected  to  result  in  a  Material  Adverse  Effect  on  Holdings and its Subsidiaries, after giving effect to the Aleris Acquisition.         (y)   Secured Term Loan Agreement Amendments. Any amendments or modifications  of the Secured Term Loan Agreement on or after October 30, 2018 and prior to or on the Closing  Date shall be satisfactory to the Mandated Lead Arrangers.                                         140  1120544.02G-CHISR02A - MSW  

 

    Notwithstanding the foregoing, to the extent that the execution and delivery of any document or   the completion of any task or action is listed on Schedule 5.15, such item shall not be a condition   precedent and shall instead be subject to Section 5.15.    Notwithstanding  anything  to  the  contrary  herein  or  in  any  other  Loan  Document,  solely  with   respect to Aleris and its Subsidiaries, the only representations the accuracy of which shall be a   condition precedent to the funding of Term Loans on the Closing Date shall be (i) such of the   representations  made  by  Aleris  and  its  Subsidiaries  in  the  Aleris  Merger  Agreement  as  are   material to the interests of the Mandated Lead Arrangers and the Lenders, but only to the extent   that the Designated Company or its Affiliates have the right (taking into account any applicable   cure periods) to terminate its or its Affiliates’ obligations (or refuse to consummate the Aleris   Acquisition) under the Aleris Merger Agreement as a result of the failure of such representations   to be true and correct or to otherwise satisfy the standard set forth in the Aleris Merger   Agreement, and (ii) the representations and warranties contained in Sections 3.01, 3.02, 3.03(a),   3.03(b), 3.03(c), 3.10, 3.11, 3.12, 3.16, 3.22, 3.24 and 3.28.    Section 4.03 Conditions  to  Credit  Extensions.  The  obligation  of  each  Lender  to  make  the   Credit Extension on the Closing Date shall be subject to, and to the satisfaction of, each of the   conditions precedent set forth below.          (a)   Notice.  The  Administrative  Agent  shall  have  received  a  Borrowing  Request  as   required  by  Section  2.03  (or  such  notice  shall  have  been  deemed  given  in  accordance  with   Section 2.03).          (b)   No Default. Subject to the last sentence of Section 4.02, no Default shall exist, or   would  result  from  such  proposed  Credit  Extension  or  from  the  application  of  the  proceeds  therefrom.         (c)   Representations and Warranties. Subject to the last sentence of Section 4.02, each   of the representations and warranties made by any Loan Party set forth in ARTICLE III hereof or   in any other Loan Document shall be true and correct in all material respects (or, in the case of   any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or   similar  language,  in  all respects) on and as of the date of the Credit Extension with the same   effect  as  though  made  on  and  as  of  such  date,  except  to  the  extent  such  representations  and   warranties  expressly  relate  to  an  earlier  date,  in  which  case  such  representation  and  warranty   shall have been true and correct in all material respects (or, in the case of any representation or   warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all   respects) as of such earlier date.          (d)   No Legal Bar. With respect to each Lender, no order, judgment or decree of any   Governmental  Authority  shall  purport  to  restrain  such  Lender  from  making  any  Loans  to  be   made by it. No injunction or other restraining order shall have been issued, shall be pending or   noticed with respect to any action, suit or proceeding seeking to enjoin or otherwise prevent the                                         141   1120544.02G-CHISR02A - MSW  

 

    consummation  of,  or  to  recover  any  damages  or  obtain  relief  as a  result  of,  the  transactions   contemplated by this Agreement or the making of Loans hereunder.         Each of the delivery of a Borrowing Request and the acceptance by the Borrower of the  proceeds of a Credit Extension shall constitute a representation and warranty by the Borrower  and each other Loan Party 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  conditions  contained  in  Section  4.03(b)  through  (d)  have  been  satisfied  (which  representation   and warranty shall be deemed limited to the knowledge of the Loan Parties in the case of the first   sentence of Section 4.03(d)). The Borrower shall provide such information as the Administrative   Agent may reasonably request to confirm that the conditions in Section 4.03(b) through (d) have   been satisfied.                                     ARTICLE V                                                                      AFFIRMATIVE COVENANTS          Each Loan Party warrants, covenants and agrees with each Lender that, from and after the   Effective Date, so long as this Agreement shall remain in effect and until the Commitments have   been terminated and the principal of and interest on each Loan, all Fees and all other expenses or   amounts  payable  under  any  Loan Document  shall  have  been  paid in full, unless the Required   Lenders  shall  otherwise  consent  in  writing,  each  Loan  Party  will,  and  will  cause  each  of  its   Restricted Subsidiaries to:    Section 5.01 Financial  Statements,  Reports,  etc. Furnish  to  the  Administrative  Agent  (and   the Administrative Agent shall make available to the Lenders, on the Platform or otherwise, in   accordance with its customary procedures):          (a)   Annual  Reports.  As  soon  as  available  and  in  any  event  within  the  earlier  of   (i) ninety  (90)  days  and  (ii)  such  shorter  period  as  may  be  required  by  the  Securities  and   Exchange Commission (including, if applicable, any extension permitted under Rule 12b-25 of   the Exchange Act), after the end of each fiscal year (and in any case not less than one time in   each calendar year), beginning with the first fiscal year ending after the Effective Date, (i) the   consolidated  balance  sheet  of  the  Designated  Company  as  of  the end  of  such  fiscal  year  and   related consolidated statements of income, cash flows and stockholders’ equity for such fiscal   year, in comparative form with such financial statements as of the end of, and for, the preceding   fiscal year, and notes thereto, all prepared in accordance with Regulation S-X and accompanied   by an opinion of independent certified public accountants of recognized international standing   (which  opinion  shall  not  be  qualified  as  to  scope  or  contain  any  going  concern  qualification,   paragraph  of  emphasis  or  explanatory  statement),  stating  that  such  financial  statements  fairly   present, in all material respects, the consolidated financial condition, results of operations and   cash  flows  of  the  Designated  Company  as  of  the  dates  and  for  the  periods  specified  in   accordance with US GAAP, (ii) a narrative report and management’s discussion and analysis, in   a form reasonably satisfactory to the Administrative Agent, of the financial condition and results                                         142   1120544.02G-CHISR02A - MSW  

 

  of operations of the Designated Company for such fiscal year, as compared to amounts for the  previous fiscal year (it being understood that the information required by clauses (i) and (ii) of  this  Section 5.01(a)  may  be  furnished  in  the  form  of  a  Form  10-K  (so  long  as  the  financial  statements, narrative report and management’s discussion therein comply with the requirements  set forth above)) and (iii) consolidating balance sheets, statements of income and cash flows of  the Designated Company and its Restricted Subsidiaries separating out the results by region;         (b)   Quarterly  Reports.  As  soon  as  available  and  in  any  event  within the earlier of  (i) forty-five  (45)  days  and  (ii)  such  shorter  period  as  may  be  required  by  the  Securities  and  Exchange Commission (including, if applicable, any extension permitted under Rule 12b-25 of  the Exchange Act), after the end of each of the first three fiscal quarters of each fiscal year (i) the  consolidated balance sheet of the Designated Company as of the end of such fiscal quarter and  related consolidated statements of income and cash flows for such fiscal quarter and for the then  elapsed  portion  of  the  fiscal  year,  in  comparative  form  with  the  consolidated  statements  of  income and cash flows for the comparable periods in the previous fiscal year, and notes thereto,  all prepared in accordance with Regulation S-X under the Securities Act and accompanied by a  certificate  of  a  Financial  Officer  stating  that  such  financial statements  fairly  present,  in  all  material respects, the consolidated financial condition, results of operations and cash flows of the  Designated Company as of the date and for the periods specified in accordance with US GAAP  consistently  applied,  and  on  a  basis  consistent with  audited  financial  statements  referred  to in  clause (a)  of  this  Section,  except  as  otherwise  disclosed  therein  and  subject  to  the  absence  of  footnote  disclosures  and  to  normal  year-end  audit  adjustments, (ii) a  narrative  report  and  management’s discussion and analysis, in a form reasonably satisfactory to the Administrative  Agent, of the financial condition and results of operations for such fiscal quarter and the then  elapsed portion of the fiscal year, as compared to the comparable periods in the previous fiscal  year  (it  being  understood  that  the  information  required  by  clauses  (i)  and  (ii)  of  this  Section 5.01(b) may be furnished in the form of a Form 10-Q (so long as the financial statements,  management report and management’s discussion therein comply with the requirements set forth  above))  and  (iii)  consolidating  balance  sheets,  statements  of  income  and  cash  flows  of  the  Designated Company and its Restricted Subsidiaries separating out the results by region;         (c)   [Intentionally Omitted];         (d)   Financial  Officer’s  Certificate.  (i) Concurrently  with  any  delivery  of  financial  statements under Section 5.01(a) or (b), a Compliance Certificate of the Designated Company  (which delivery may, unless the Administrative Agent or a Lender requests executed originals,  be by electronic communication including fax or email and shall be deemed to be an original  authentic counterpart thereof for all purposes) (A) certifying that no Default has occurred or, if  such a Default has occurred, specifying the nature and extent thereof and any corrective action  taken  or  proposed  to  be  taken  with respect thereto, (B) [intentionally omitted], (C) showing a  reconciliation of Consolidated EBITDA to the net income set forth on the statement of income,  such  reconciliation  to  be  on  a  quarterly  basis,  (D)  calculating  in  reasonable  detail  the  Consolidated Interest Coverage Ratio and the Senior Secured Net Leverage Ratio for the four  fiscal quarter period ended on the last day of the period covered by such financial statements,                                        143  1120544.02G-CHISR02A - MSW  

 

    and  certifying  as  to  the  Designated  Company’s  compliance  (or  failure  to  comply)  with  the   Financial Performance Covenant for the four fiscal quarter period ended on the last day of the   period covered by such financial statements, and, if such Compliance Certificate demonstrates an   Event  of  Default  of  the  Financial  Performance  Covenant,  any  of the  Specified  Holders  may   deliver, together with such Compliance Certificate, notice of their intent to cure (a “Notice  of   Intent  to  Cure”)  such  Event  of  Default  pursuant  to,  and  to  the  extent  permitted  under,   Section 8.04; provided that the delivery of a Notice of Intent to Cure shall in no way affect or   alter the occurrence, existence or continuation of any such Event of Default or the rights, benefits,   powers and remedies of the Administrative Agent and the Lenders under any Loan Document,   and (E)(x) specifying all Investments made during the prior fiscal quarter in reliance on Section   6.04(r) and specifying which clause of Section 6.04(r) such Investment was made pursuant to   and calculating in reasonable detail the amount of the Cumulative Credit or Annual Credit, as   applicable, immediately prior to such election and the amount thereof elected to be so applied,   the  Total  Net  Leverage  Ratio  and,  in  the  case  of  Investments  made  pursuant  to   Section 6.04(r)(iii), the amount of Liquidity, and (y) specifying all Dividends made during the   prior fiscal quarter in reliance on Section 6.08(d) and specifying which clause of Section 6.08(d)   such  Dividend  was  made  pursuant  to  and  calculating  in  reasonable  detail  the  amount  of  the   Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the   amount  thereof  elected  to  be  so  applied,  the  Total  Net  Leverage  Ratio  and,  in  the  case  of   Dividends made pursuant to Section 6.08(d)(ii), the amount of Liquidity, and (ii) to the extent   any  Unrestricted  Subsidiaries  are  in  existence  during  the  period  covered  by  such  financial   statements, consolidating balance sheets, statements of income and cash flows separating out the   results  of  the  Designated  Company  and  its  Restricted  Subsidiaries,  on  the  one  hand,  and  the   Unrestricted Subsidiaries, on the other;          (e)   Officer’s  Certificate  Regarding  Organizational  Chart.  Concurrently  with  any   delivery of financial statements under Section 5.01(a), a certificate of a Responsible Officer of   the  Designated  Company  (which  delivery  may,  unless  the  Administrative  Agent  or  a  Lender   requests executed originals, be by electronic communication including fax or email and shall be   deemed  to  be  an  original  authentic  counterpart  thereof  for  all purposes)  attaching  an  accurate   organizational chart (or confirming that there has been no change in organizational structure);          (f)   Public Reports. Promptly after the same become publicly available, copies of all   periodic and other reports, proxy statements and other materials filed by any Loan Party with the  Securities and Exchange Commission, or any Governmental Authority succeeding to any or all  of  the  functions  of  said  Commission,  with  any national  U.S.  or non-U.S.  securities  regulatory  authority or securities exchange or with the National Association of Securities Dealers, Inc., or   distributed to holders of its publicly held Indebtedness or securities pursuant to the terms of the  documentation  governing  such  Indebtedness  or  securities  (or  any  trustee,  agent  or  other  representative therefor), as the case may be; provided that documents required to be delivered   pursuant to this clause (f) may be delivered electronically and if so delivered, shall be deemed to   have been delivered on the date (i) on which the Designated Company posts such documents, or   provides a link thereto on the Designated Company’s website (or other location specified by the   Designated  Company)  on  the  Internet;  or  (ii)  on  which  such  documents  are  posted  on  the   Designated  Company’s  behalf  on  the  Platform;  provided  that:  (i)  upon  written  request  by  the                                         144   1120544.02G-CHISR02A - MSW  

 

  Administrative Agent, the Designated Company shall deliver paper copies of such documents to  the Administrative Agent for further distribution to each Lender until a written request to cease  delivering paper copies is given by the Administrative Agent and (ii) the Designated Company  shall  notify  (which  may  be  by  facsimile  or  electronic  mail)  the  Administrative  Agent  of  the  posting  of  any  such  documents  and  provide  to  the  Administrative  Agent  by  electronic  mail  electronic versions (i.e., soft copies) of such documents;         (g)    Management Letters. Promptly after the receipt thereof by any Company, a copy  of  any  “management  letter”,  exception  report  or  other  similar letter  or  report  received  by  any  such person from its certified public accountants and the management’s responses thereto;         (h)   Projections. Within sixty (60) days of the end of each fiscal year (beginning with  the  fiscal  year  ended  March  31,  2019),  a  copy  of  the  annual  projections  for  the  Designated  Company  (including  balance  sheets,  statements  of  income  and  sources  and  uses  of  cash),  for  each  quarter  of  the  then-current  fiscal  year  prepared  in  detail  on  a  consolidated  basis,  with  appropriate presentation and discussion of the principal assumptions upon which such forecasts  are based, accompanied by the statement of a Financial Officer of the Designated Company to  the effect that such assumptions are believed to be reasonable;         (i)   Labor  Relations.  Promptly  after  becoming  aware  of  the  same,  written notice  of  (a) any  labor  dispute  to  which  any  Loan  Party  or  any  of  its  Restricted  Subsidiaries  is  or  is  expected to become a party, including any strikes, lockouts or other labor disputes relating to any  of such person’s plants and other facilities, which could reasonably be expected to result in a  Material Adverse Effect, (b) any Worker Adjustment and Retraining Notification Act or related  liability incurred with respect to the closing of any plant or other facility of any such person and  (c)  any  material  liability  under  Requirements  of  Law  similar  to  the  Worker  Adjustment  and  Retraining Notification Act or otherwise arising out of plant closings;         (j)   Asset Sales. On or prior to an Asset Sale pursuant to Section 6.06(b) hereof the  Net  Cash  Proceeds  of  which  (or  the  Dollar  Equivalent  thereof)  are  anticipated  to  exceed  $100,000,000, written notice (a) describing such Asset Sale or the nature and material terms and  conditions of such transaction and (b) stating the estimated Net Cash Proceeds anticipated to be  received by any Loan Party or any of its Restricted Subsidiaries; and         (k)   Other Information. Promptly, from time to time, such other information regarding  the  operations,  properties,  business  affairs  and  condition  (financial  or  otherwise)  of  any  Company, or compliance with the terms of any Loan Document as the Administrative Agent or  any Lender (acting through the Administrative Agent) may reasonably request, including, but not  limited to, all documentation and other information that may be required from time to time by  the Lenders or the Administrative Agent in order to enable compliance with applicable “know  your customer” and anti-money laundering rules and regulations, including the Patriot Act and  the information described in Section 11.13.                                         145  1120544.02G-CHISR02A - MSW  

 

          (l)   Beneficial  Ownership  Information.  Promptly  following  any  request  therefor,   provide  information  and  documentation  reasonably  requested  by  the  Administrative  Agent  or   any Lender for purposes of compliance with applicable “know your customer” and anti-money- laundering rules and regulations, including, without limitation, the Patriot Act and the Beneficial  Ownership Regulation.   Section 5.02 Litigation  and  Other  Notices.  Furnish  to  the  Administrative  Agent  written   notice  of  the  following  promptly  (and,  in  any  event,  within  ten  (10)  Business  Days  after   acquiring knowledge thereof, or, in the case of an Event of Default under Section 8.01(a), on the   Business Day that a Loan Party acquires knowledge thereof):          (a)   any Default, specifying the nature and extent thereof and the corrective action (if   any) taken or proposed to be taken with respect thereto;          (b)   the filing or commencement of, or any written notice of intention of any person to   file or commence, any action, suit, litigation or proceeding, whether at law or in equity by or   before any Governmental Authority, (i) against the Designated Company or other Company that   in the reasonable judgment of the Designated Company could reasonably be expected to result in   a Material Adverse Effect if adversely determined or (ii) with respect to any Loan Document;         (c)   any development that has resulted in, or could reasonably be expected to result in,  a Material Adverse Effect;         (d)   the  occurrence  of  a  Casualty  Event  involving  a  Dollar  Equivalent  amount  in  excess of $50,000,000; and         (e)    (i) the incurrence of any Lien (other than Permitted Liens) on the assets of the  Loan Parties or (ii) the occurrence of any other event which could reasonably be expected to be  material with regard to the assets of the Loan Parties taken as a whole.   Section 5.03 Existence; Businesses and Properties.           (a)   Do  or  cause  to  be  done  all  things  reasonably  necessary  to  preserve,  renew  and  keep in full force and effect its legal existence, rights and franchises necessary or desirable in the  normal  conduct  of  its  business,  except  (i)  other  than  with  respect  to  the  Borrower’s  legal  existence, to the extent the failure to do so would not reasonably be expected to have a Material  Adverse Effect or (ii) pursuant to a transaction permitted by Section 6.05 or Section 6.06.          (b)   Do  or  cause  to  be  done  all  things  reasonably  necessary  to  obtain,  maintain,   preserve, renew, extend and keep in full force and effect the rights, licenses, permits, privileges,   franchises, approvals, authorizations, and Intellectual Property used or necessary to the conduct   of its business, except where the failure to do so could not reasonably be expected to result in a                                         146   1120544.02G-CHISR02A - MSW  

 

    Material Adverse Effect; do or cause to be done all things reasonably necessary to preserve its   business and the goodwill and business of the customers, advertisers, suppliers and others having   business relations with each Loan Party or any of its Restricted Subsidiaries, except where the   failure to do so could not reasonably be expected to result in a Material Adverse Effect; comply   with all applicable Requirements of Law (including any and all zoning, building, Environmental   Law,  ordinance,  code  or  approval  or  any  building  permits  or  any restrictions of record or   agreements affecting the Real Property), contractual obligations, and decrees and orders of any   Governmental Authority, whether now in effect or hereafter enacted, except where the failure to   comply, individually or in the aggregate, could not reasonably be expected to result in a Material   Adverse Effect; and at all times maintain, preserve and protect all of its property and keep such   property in good repair, working order and condition (other than wear and tear occurring in the   ordinary course of business) and from time to time make, or cause to be made, all needful and   proper repairs, renewals, additions, improvements and replacements thereto reasonably necessary   in order that the business carried on in connection therewith may be properly conducted at all   times, except in each case where the failure to do so could not reasonably be expected to result in   a Material Adverse Effect. Maintain in effect and enforce policies and procedures designed to   ensure compliance by Holdings, the Designated Company, their respective Subsidiaries and their   respective directors, officers, employees and agents with Anti-Corruption Laws and applicable   Sanctions.    Section 5.04 Insurance.          (a)   Generally.  Keep  its  insurable  property  adequately  insured  at  all  times  by   financially  sound  and  reputable  insurers;  maintain  such  other  insurance,  to  such  extent  and   against such risks as is customary with companies in the same or similar businesses operating in   the  same  or  similar  locations,  including  insurance  with  respect  to  Real  Property  and  other   properties material to the business of the Companies against such casualties and contingencies   and  of  such  types  and  in  such  amounts  with  such  deductibles  as is  customary  in  the  case  of   similar  businesses  operating  in  the  same  or  similar  locations, including  (i) physical  hazard   insurance  on  an  “all  risk”  basis  (subject  to  usual  and  customary  exclusions),  (ii) commercial   general liability against claims for bodily injury, death or property damage covering any and all   insurable  claims,  (iii) explosion  insurance  in  respect  of  any  boilers,  machinery  or  similar   apparatus  constituting  Collateral,  (iv) business  interruption  insurance,  and  (v) worker’s   compensation  insurance  and  such  other  insurance  as  may  be  required  by  any  Requirement  of   Law.           (b)   Requirements of Insurance. Subject to Section 5.15, all such property and liability   insurance  maintained  by  the  Loan  Parties  shall  (i) provide  that  no  cancellation,  material   reduction in amount or material change in coverage thereof shall be effective until at least thirty   (30)  days  after  receipt  by  the  Administrative  Agent  of  written notice  thereof,  (ii) name  the   Administrative Agent as mortgagee, lender’s loss payable or additional insured, as applicable (in  the case of property insurance) or additional insured on behalf of the Credit Parties (in the case  of  liability  insurance),  as  applicable,  and  (iii) if  reasonably  requested  by  the  Administrative  Agent,  include  a  breach  of  warranty  clause.  Notwithstanding  the  foregoing,  the  rights  of  the                                          147   1120544.02G-CHISR02A - MSW  

 

    Administrative  Agent  with  respect  thereto  shall  be  subject  in  all  respects  to  the  rights  of  the   Secured Term Loan Collateral Agent and the Revolving Credit Collateral Agent thereunder.         (c)   [Intentionally omitted].         (d)   Broker’s Report. As soon as practicable and in any event within ninety (90) days   after the end of each fiscal year, deliver to the Administrative Agent (i) a report of a reputable   insurance broker with respect to the insurance maintained pursuant to clauses (i) through (iv) of   Section 5.04(a)  in  form  and  substance  consistent  with  market  practice  (together  with  such   additional reports (provided such reports are readily ascertainable) as the Administrative Agent  may reasonably request), and (ii) such broker’s statement that all premiums then due and payable  with respect to the coverage maintained pursuant to clauses (i) through (iv) of Section 5.04(a)   have been paid.    Section 5.05 Taxes.          (a)   Payment of Taxes. Pay and discharge promptly when due all material Taxes and   governmental charges or levies imposed upon it or upon its income or profits or in respect of its   property, before the same shall become delinquent or in default, as well as all lawful claims for   labor, services, materials and supplies or otherwise that, if unpaid, might give rise to a Lien other   than a Permitted Lien upon such properties or any part thereof; provided that such payment and   discharge shall not be required with respect to any such Tax, charge, levy or claim so long as   (x) the  validity  or  amount  thereof  shall  be  contested  in  good  faith  by  appropriate  proceedings   timely instituted and diligently conducted and the applicable Company shall have set aside on its   books adequate reserves or other appropriate provisions with respect thereto in accordance with   US  GAAP  (or  other  applicable  accounting  rules),  and  (y) such  contest  operates  to  suspend   collection  of  the  contested  obligation,  Tax  or  charge  and  enforcement  of  a  Lien  other  than  a   Permitted Lien.          (b)   Filing of Tax Returns. Timely file all material Tax Returns required by applicable   Requirements of Law to be filed by it.          (c)   Borrower  Status.  The  Borrower  shall  be  a  domestic  corporation  as  defined  in   Section 7701(a)(30)(C) of the Code (or is a limited liability company that is disregarded as an   entity  separate  from  its  owner  for  United  States  federal  income  tax  purposes  and  is  wholly   owned by a domestic corporation).          (d)   Indemnified Taxes.  To the extent any payment by or on account of any obligation   of  any  Loan  Party  hereunder,  or  under  any  other  Loan  Document, in  respect  of  the  Loans   becomes subject to any withholding Taxes other than U.S. federal withholding Taxes as a result   of any action by the Borrower after the Closing Date that shall cause the Borrower under the Tax   laws  of  any  jurisdiction  other  than the  United States  (or  any  state  of  the  United  States  or  the                                         148   1120544.02G-CHISR02A - MSW  

 

  District  of  Columbia  or  political  subdivision  thereof)  to  be  a resident  of  or  to  have  an  establishment,  office,  fixed  base  or  branch  in  such  jurisdiction,  such  non-U.S.  federal  withholding Taxes shall be Indemnified Taxes and the Loan Parties shall indemnify each Lender  for any such non-U.S. federal withholding Taxes in accordance with Section 2.15, but only to the  extent that such non-U.S. federal withholding Taxes are not described in any of clauses (a), (c)  and (d) of the definition of Excluded Taxes.   Section 5.06 Employee Benefits.         (a)   Comply  with  the  applicable  provisions  of  ERISA  and  the  Code  and  any  Requirements of Law applicable to any Foreign Plan or Compensation Plan, except where any  non-compliance could not reasonably be expected to result in a Material Adverse Effect.         (b)   Furnish to the Administrative Agent (x) as soon as possible after, and in any event  within  five  (5)  Business  Days  after  any  Responsible  Officer  of any  Company  or  any  ERISA  Affiliates  of  any  Company  knows  that,  any  ERISA  Event  has  occurred,  a  statement  of  a  Financial Officer of the Designated Company setting forth details as to such ERISA Event and  the action, if any, that the Companies propose to take with respect thereto, and (y) upon request  by the Administrative Agent, copies of such other documents or governmental reports or filings  relating to any Plan (or Foreign Plan, or other employee benefit plan sponsored or contributed to  by any Company) as the Administrative Agent shall reasonably request.         (c)   (i) Ensure that the Novelis U.K. Pension Plan is funded in accordance with the  agreed schedule of contributions dated May 16, 2007 and that no action or omission is taken by  any Company in relation to such a pension scheme which has or is reasonably likely to have a  Material  Adverse  Effect;  (ii)  except  for  any  existing  defined  benefit  pension  schemes  as  specified on Schedule 3.17 ensure that no Company is or has been at any time an employer (for  the purposes of Sections 38 to 51 of the Pensions Act 2004) of an occupational pension scheme  which is not a money purchase scheme (both terms as defined in the Pension Schemes Act 1993)  or “connected” with or an “associate” of (as those terms are defined in Sections 39 or 43 of the  Pensions Act 2004) such an employer; (iii) deliver to the Administrative Agent upon request as  those  reports  are  prepared  in  order  to  comply  with  the  then  current  statutory  or  auditing  requirements (as applicable either to the trustees of any relevant schemes), actuarial reports in  relation  to  all  pension  schemes  mentioned  in  clause  (i)  above; (iv)  promptly  notify  the  Administrative Agent of any material change in the agreed rate of contributions to any pension  schemes  mentioned  in  clause  (i)  above;  (v)  promptly  notify  the Administrative  Agent  of  any  investigation or proposed investigation by the Pensions Regulator which may lead to the issue of  a  Financial  Support  Direction  or  a  Contribution  Notice  to  any  member  of  the  Group;  and  (vi) promptly notify the Administrative Agent if it receives a Financial Support Direction or a  Contribution Notice from the Pensions Regulator.         (d)   Ensure  that  all  Foreign  Plans  (except  the  Novelis  U.K.  Pension Plan)  and  Compensation Plans that are required to be funded are funded and contributed to in accordance                                         149  1120544.02G-CHISR02A - MSW  

 

  with  their  terms  to  the  extent  of  all  Requirements  of  Law,  except  where  any  non-compliance  could not reasonably be expected to result in a Material Adverse Effect.   Section 5.07 Maintaining  Records;  Access  to  Properties  and  Inspections;  Annual  Meetings. Keep proper books of record and account in which full, true and correct entries in  conformity in all material respects with GAAP (or other applicable accounting standards) and all  Requirements of Law of all financial transactions and the assets and business of each Company  and its Restricted Subsidiaries are made of all dealings and transactions in relation to its business  and activities, including, without limitation, proper records of intercompany transactions) with  full,  true  and  correct  entries  reflecting  all  payments  received  and  paid  (including,  without  limitation, funds received by or for the account of any Loan Party from deposit accounts of the  other  Companies).  Each  Company  will  permit  any  representatives designated  by  the  Administrative Agent (who may be accompanied by the Administrative Agent or any Lender) to  visit and inspect the financial records and the property of such Company on no more than on two  occasions per fiscal year so long as no Event of Default is continuing (at reasonable intervals,  during  normal  business  hours  and  within  five  Business  Days  after  written  notification  of  the  same to the Designated Company, except that, during the continuance of an Event of Default,  none  of  such  restrictions  shall be  applicable)  and  to  make  extracts  from  and  copies  of  such  financial records, and permit any representatives designated by the Administrative Agent (who  may be accompanied by the Administrative Agent or any Lender) to discuss the affairs, finances,  accounts and condition of any Company with the officers and employees thereof and advisors  therefor (including independent accountants).   Section 5.08 Use of Proceeds. Use the proceeds of the Loans only for the purposes set forth in  Section 3.12.   Section 5.09 Compliance with Environmental Laws; Environmental Reports.          (a)   Comply, and cause all lessees and other persons occupying Real Property owned,  operated or leased by any Company to comply, in all respects with all Environmental Laws and  Environmental  Permits  applicable  to  its  operations  and  Real  Property;  obtain  and  renew  all  Environmental Permits applicable to its operations and Real Property; and conduct all Responses,  including any emergency Response, required by, and in accordance with, Environmental Laws,  in  each  case,  to  the  extent  that  the  failure  to  do  so  could  reasonably  be  expected  to  have  a  Material Adverse Effect; provided that no Company shall be required to undertake any Response  to  the  extent  that  its  obligation  to  do  so  is  being  contested  in  good  faith  and  by  proper  proceedings and appropriate reserves are being maintained with respect to such circumstances in  accordance with US GAAP or other applicable accounting standards.         (b)   If a Default caused by reason of a breach of Section 3.18 or Section 5.09(a) shall  have  occurred  and  be  continuing  for  more  than  thirty  (30)  days without  the  Companies  commencing activities reasonably likely to cure such Default in accordance with Environmental  Laws, at the written request of the Administrative Agent or the Required Lenders through the  Administrative  Agent,  provide  to the  Lenders  as  soon  as  reasonably  practicable  after  such  request, at the expense of the Borrower, an environmental assessment report and/or corrective                                        150  1120544.02G-CHISR02A - MSW  

 

  plan, as applicable, regarding the matters which are the subject of such Default, including, where  appropriate,  soil  and/or  groundwater  sampling,  prepared  by  an  environmental  consulting  firm  and, in form and substance, reasonably acceptable to the Administrative Agent and indicating the  presence  or  absence  of  Hazardous  Materials  and  the  estimated  cost  of  any  compliance  or  Response to address them and any other corrective measures necessary to achieve compliance  with Environmental Laws or cure such Default.   Section 5.10 [INTENTIONALLY OMITTED].    Section 5.11 Additional Guarantors.         (a)   [Intentionally omitted].         (b)   With respect to any Person that becomes a Restricted Subsidiary or a Specified  Aleris Subsidiary after the Effective Date (other than (x) an Excluded Guarantor Subsidiary and  (y) a  Securitization  Entity)  or  any  Restricted  Subsidiary  that was  an  Excluded  Guarantor  Subsidiary  but,  as  of  the  end  of  the  most  recently  ended  fiscal  quarter,  has  ceased  to  be  an  Excluded  Guarantor  Subsidiary  or  is  required  to  become  a  Loan  Party  by  operation  of  the  provisions  of  Section  5.11(d),  the  definition  of  Permitted  Reorganization,  the  definition  of  Permitted  Reorganization  Actions,  or  the  definition  of  Permitted  Aleris  Foreign  Subsidiary  Transfer,  promptly  (and  in  any  event  within  (x)  thirty  (30)  days  after  such  Person  becomes  a  Restricted Subsidiary or ceases to be an Excluded Guarantor Subsidiary or is required to become  a Loan Party by operation of the provisions of Section 5.11(d); provided that the Administrative  Agent  may  agree  to  an  extension  of  such  time  period  or  (y)  immediately  upon  such  Person  becoming  a  Specified  Aleris  Subsidiary  or  in  connection  with  the  applicable  step(s)  of  the  Permitted Reorganization, the definition of Permitted Reorganization Actions, or the definition  of  Permitted  Aleris  Foreign  Subsidiary  Transfer) cause  any  such  Restricted  Subsidiary  (other  than  a  Specified  Aleris  Subsidiary)  that  is  a  Wholly  Owned  Subsidiary  (other  than  (x) any  Restricted Subsidiary prohibited from being a Guarantor under any applicable Requirement of  Law relating to financial assistance, maintenance of capital or other corporate benefit restrictions  and  (y)  any  Restricted  Subsidiaries  where  providing  such  guarantee  would  result  in  (1) materially  adverse  tax  consequences,  as  determined  by  the  Administrative  Agent  in  its  reasonable  discretion  (after  consultation  with  its  counsel)  or (2) costs that are excessive in  relation  to  the  benefits  afforded  thereby,  as  determined  by  the  Administrative  Agent  in  its  reasonable discretion) and any such Specified Aleris Subsidiary, in each case to the extent not  prohibited  by  applicable  Requirements of Law, to execute a Joinder  Agreement  or  such  comparable documentation to become a Subsidiary Guarantor, including in the case of a Foreign  Subsidiary, if requested by the Administrative Agent, a guarantee (or joinder thereto) governed  by the laws of such Foreign Subsidiary’s jurisdiction of organization (in such form as may be  reasonably  satisfactory  to  the  Administrative  Agent).  Notwithstanding  the  foregoing,  this  clause (b) shall not apply to any Company listed on Schedule 5.11(b) to the extent any applicable  Requirement of Law prohibits it from becoming a Loan Party. Notwithstanding anything to the  contrary in this Section 5.11(b), with respect to each Foreign Subsidiary that becomes a party to  this Agreement after the Effective Date, the obligations of such Foreign Subsidiary under this  Agreement, any Guarantee, any Foreign Guarantee, any Joinder Agreement, or any other Loan                                        151  1120544.02G-CHISR02A - MSW  

 

    Document,  may  be  limited  (and  such  agreements  may  be  amended,  restated,  supplemented  or   otherwise  modified  to  give  effect  to  such  limitations  without  the  consent  of  any  Person  other  than  the  Administrative  Agent  and  such  Foreign  Subsidiary)  in  accordance  with  the  Agreed  Guarantee  Principles  on  terms  reasonably  satisfactory  to  the  Administrative  Agent  and  the  Borrower. As of the Effective Date, each Lender party hereto and each Lender that becomes a  party to this Agreement after the Effective Date, expressly consents to the terms set forth in, and  the rights of the Administrative Agent to consent to the terms of the amendments, restatements,  supplements and modifications described in, the immediately preceding sentence.         (c)   [Intentionally omitted].         (d)   If,  at  any  time  and  from  time  to  time  after  the  Effective  Date,  Restricted  Subsidiaries  that  are  not  Loan  Parties  because  they  are  Excluded  Guarantor  Subsidiaries  comprise in the aggregate more than 7.5% of the Consolidated Total Assets of the Designated  Company and its Subsidiaries as of the end of the most recently ended fiscal quarter or more than  7.5% of Consolidated EBITDA of the Designated Company and its Restricted Subsidiaries as of  the end of the most recently ended fiscal quarter, then the Loan Parties shall, not later than 45  days  after  the  date  by  which  financial  statements  for  such  fiscal quarter are required to be  delivered pursuant to this Agreement (or immediately in connection with the applicable step(s)  of the Permitted Reorganization, any Permitted Reorganization Action, or any Permitted Aleris  Foreign Subsidiary Transfer), cause one or more of such Restricted Subsidiaries to become Loan  Parties (notwithstanding that such Restricted Subsidiaries are, individually, Excluded Guarantor  Subsidiaries) such that the foregoing condition ceases to be true. The Designated Company may  designate  a  Subsidiary  Guarantor  that  was  not  a  Restricted  Subsidiary  of  the  Designated  Company on the Effective Date as an Excluded Guarantor Subsidiary subject to the terms of the  definition thereof, in which event the Guarantee by such Restricted Subsidiary shall be released  in accordance with Section 7.09.    Section 5.12 Further  Assurances.  Upon  the  exercise  by  the  Administrative  Agent  or  any   Lender of any power, right, privilege or remedy pursuant to any Loan Document that requires   any consent, approval, registration, qualification or authorization of any Governmental Authority,   executed and deliver all applications, certifications, instruments and other documents and papers   that the Administrative Agent or such Lender may reasonably require in connection therewith.    Section 5.13 Information  Regarding  Loan  Parties.  Not  effect  any  change  (i) in  any  Loan   Party’s legal name or in any trade name used to identify it in the conduct of its business or in the   ownership  of  its  properties,  (ii) in  the  location  of  any  Loan  Party’s  chief  executive  office,  its   principal  place  of  business,  any  office  in  which  it  maintains  books  or  records  relating  to  its   material property, (iii) in any Loan Party’s identity or organizational structure, (iv) in any Loan   Party’s Federal Taxpayer Identification Number or organizational identification number, if any,   or (v) in any Loan Party’s jurisdiction of organization (in each case, including by merging with   or into any other entity, reorganizing, dissolving, liquidating, reorganizing or organizing in any   other  jurisdiction),  until  it  shall  have  given  the  Administrative Agent not less than ten (10)   Business Days’ prior written notice (in the form of an Officers’ Certificate) of its intention to do   so, or such lesser notice period agreed to by the Administrative Agent, clearly describing such                                         152   1120544.02G-CHISR02A - MSW  

 

    change  and  providing  such  other  information  in  connection  therewith  as  the  Administrative   Agent may reasonably request. Each Loan Party agrees to promptly provide the Administrative   Agent,  upon  request  therefor,  with  certified  Organizational  Documents  reflecting  any  of  the   changes  described  in  the  preceding  sentence.  For  the  purposes  of  the  Regulation,  (i)  no  U.K.  Guarantor  shall  change  its  centre  of  main  interest  (as  that  term  is  used  in  Article  3(1)  of  the  Regulation) from England and Wales, (ii) nor shall any Irish Guarantor change its centre of main  interest from Ireland or Germany, nor shall Irish Guarantor have an “establishment” (as that term  is  used  in  Article  2(h)  of  the  Regulation)  in  any  jurisdiction other  than  Ireland  or  Germany,  (iii) nor shall any Swiss Guarantor change its centre of main interest from Switzerland, nor shall  any  Swiss  Guarantor  have  an  “establishment”  in  any  other  jurisdiction,  (iv)  nor  shall  German  Seller  change  its  centre  of  main  interest  from  Germany,  (v)  nor  shall  any  Dutch  Guarantor   change its centre of main interest from the Netherlands, nor shall any Dutch Guarantor have an   “establishment” in any other jurisdiction, (vi) nor shall any French Guarantor change its centre of   main interest from France, nor shall any French Guarantor have an “establishment” in any other   jurisdiction,  (vii)  nor  shall  any Belgian  Guarantor  change  its centre  of  main  interest  from   Belgium, nor shall any Belgian Guarantor have an “establishment” in any other jurisdiction and   (viii) other than as provided in paragraph (ii) above, no Guarantor (to the extent such Guarantor   is  subject  to  the  Regulation)  shall  have  a  centre  of  main  interest  other  than  as  situated  in  its   jurisdiction of incorporation.    Section 5.14 Affirmative Covenants with Respect to Leases. With respect to each Lease to   which a Loan Party is party as landlord or lessor, the respective Loan Party shall perform all the   obligations  imposed  upon  the  landlord  under  such  Lease  and  enforce  all  of  the  tenant’s   obligations thereunder, except where the failure to so perform or enforce could not reasonably be   expected to result in a Property Material Adverse Effect.    Section 5.15 Post-Closing  Covenants;  Covenants  in  Respect  of  Hedging  Agreements   Following the Aleris Acquisition Closing Date.          (a)   Execute  and  deliver  the  documents  and  complete  the  tasks  and  take  the  other   actions set forth on Schedule 5.15, in each case within the time limits specified on such Schedule.           (b)   Promptly following the Aleris Acquisition Closing Date, use reasonable efforts to   novate all transactions under the Specified Aleris Hedging Agreements, such that, after giving   effect to such novation, such transactions shall be subject solely to the terms and conditions of   Hedging  Agreements  (other  than  Specified  Aleris  Hedging  Agreements)  with  one  or  more   Companies, the terms of which shall not require a Lien on any assets of any Company to secure   the obligations thereunder (other than solely as a result of the designation of any counterparty   thereto as a “Secured Hedge Provider” in accordance with the terms of, and as defined in, the   Secured Term Loan Credit Agreement).          (c)   No later than the date that is 30 days after the Aleris Acquisition Closing Date,   cease entering into any transactions under the Specified Aleris Hedging Agreements.                                          153   1120544.02G-CHISR02A - MSW  

 

          (d)   No later than the date that is 180 days after the Aleris Acquisition Closing Date,   cause all Specified Aleris Hedging Agreements to be terminated, and all transactions thereunder   to be terminated, novated or cancelled.          (e)   Promptly upon the termination, novation or cancellation of each transaction under   any  Specified  Aleris  Hedging  Agreement, (i) cause all Liens on assets  of  Aleris  or  any  of  its   Subsidiaries securing the obligations thereunder to be released (other than Liens arising solely as   a  result  of  the  designation  of  any  counterparty  thereto  as  a  “Secured  Hedge  Provider”  in   accordance  with  the  terms  of,  and  as  defined  in,  the  Secured  Term  Loan  Credit  Agreement),   (ii) deliver  to  the  Administrative  Agent  all  documents  and  filings  required  or  reasonably   requested by the Administrative Agent to evidence the release of such Liens, and (iii) cause any   collateral held by or on behalf of the counterparty to such transaction to promptly be returned to   the  applicable  Company  and  be  pledged  to  the  extent  required  under  the  Secured  Term  Loan   Credit Agreement and the Revolving Credit Agreement (except, in the case of this clause (iii), to   the extent that such collateral is cash that is otherwise applied to settle or net out amounts owing   under such Hedging Agreement at the time of such termination, novation or cancellation) (the   requirements  under  this  clause  (e),  collectively,  the  “Aleris  Hedging  Collateral   Requirements”).    Section 5.16 Designation of Subsidiaries. The Designated Company may at any time after the   Effective  Date  designate  any  Restricted  Subsidiary  of  the  Designated  Company  as  an   Unrestricted Subsidiary or any Unrestricted Subsidiary as a Restricted Subsidiary; provided that   (i)  immediately  before  and  after  such  designation,  no  Default  shall  have  occurred  and  be   continuing,  (ii) immediately  after  giving  effect  to  such  designation,  the  Designated  Company   shall be in compliance, on a Pro Forma Basis, with the Financial Performance Covenant (it being   understood  that,  as  a  condition  precedent  to  the  effectiveness of  any  such  designation,  the   Designated  Company  shall  deliver  to  the  Administrative  Agent  a certificate  of  a  Responsible   Officer  setting  forth  in  reasonable  detail  the  calculations  demonstrating  such  compliance),   (iii) the  Consolidated  Interest  Coverage  Ratio  for  the  most  recently  ended  four  fiscal  quarter   period for which financial statements have been delivered pursuant to Section 5.01(a) or (b) shall   be  greater  than  2.00  to  1.00  on  a  Pro  Forma  Basis  (it  being  understood  that,  as  a  condition   precedent to the effectiveness of any such designation, the Designated Company shall deliver to  the Administrative Agent a certificate of a Responsible Officer setting forth in reasonable detail  the  calculations  demonstrating  such  Consolidated  Interest  Coverage  Ratio),  (iv) no  Subsidiary  may be designated as an Unrestricted Subsidiary or continue as an Unrestricted Subsidiary if it is  a  “Restricted  Subsidiary”  for  the  purpose  of  any  of  the  Senior Notes,  the  Revolving  Credit  Agreement,  the  Secured  Term  Loan  Credit  Agreement,  any  Additional  Senior  Secured  Indebtedness,  any  Junior  Secured  Indebtedness  or  any  other  Indebtedness,  as  applicable,  constituting  Material  Indebtedness,  (v)  no  Restricted  Subsidiary  may  be  designated  an  Unrestricted  Subsidiary  if  it  was previously  designated  an  Unrestricted  Subsidiary,  (vi)  if  a  Restricted Subsidiary is being designated as an Unrestricted Subsidiary hereunder, the sum of  (A) the  fair  market  value  of  assets  of  such  Subsidiary  as  of  such  date  of  designation  (the  “Designation  Date”),  plus  (B)  the  aggregate  fair  market  value  of  assets  of  all  Unrestricted  Subsidiaries  designated  as  Unrestricted  Subsidiaries  pursuant  to  this  Section  5.16  prior  to  the   Designation Date (in each case measured as of the date of each such Unrestricted Subsidiary’s   designation as an Unrestricted Subsidiary) shall not exceed $500,000,000 in the aggregate as of                                         154   1120544.02G-CHISR02A - MSW  

 

    such Designation Date pro forma for such designation, (vii) no Restricted Subsidiary shall be a   Subsidiary of an Unrestricted Subsidiary and (viii) the Borrower (and each Person that directly or   indirectly owns any Equity Interests of the Borrower) may not be designated as an Unrestricted   Subsidiary. The designation of any Subsidiary as an Unrestricted Subsidiary after the Effective   Date  shall  constitute  an  Investment  by  the  Designated  Company  or  its  applicable  Restricted   Subsidiary therein at the date of designation in an amount equal to the fair market value of the   Designated Company’s or such Restricted Subsidiary’s (as applicable) investment therein. The   designation  of  any  Unrestricted  Subsidiary  as  a  Restricted  Subsidiary  shall  constitute  (i)  the  incurrence  at  the  time  of  designation  of  any  Investment,  Indebtedness  or  Liens  of  such  Subsidiary existing at such time and (ii) a return on any Investment by the Designated Company  or  any  of  its  Restricted  Subsidiaries  in  Unrestricted  Subsidiaries  pursuant  to  the  preceding  sentence  in  an  amount  equal  to  the  lesser  of  (x)  the  fair  market  value  at  the  date  of  such  designation  of  the  Designated  Company’s  or  its  Restricted  Subsidiary’s  (as  applicable)   Investment  in  such  Subsidiary  and  (y) the  amount  of  Investments  made  by  the  Designated  Company or its Restricted Subsidiaries in such Unrestricted Subsidiary from and after the date of  such Subsidiary was designated as an Unrestricted Subsidiary.                                     ARTICLE VI                                                                       NEGATIVE COVENANTS         Each Loan Party warrants, covenants and agrees with each Lender that, from and after the  Effective Date, so long as this Agreement shall remain in effect and until the Commitments have  been terminated and the principal of and interest on each Loan, all Fees and all other expenses or  amounts payable under any Loan Document have been paid in full, unless the Required Lenders  (and  such  other  Lenders  whose  consent  may  be  required  under  Section 11.02)  shall  otherwise   consent in writing, no Loan Party will, nor will they cause or permit any Restricted Subsidiaries   to:    Section 6.01 Indebtedness. Incur, create, assume or permit to exist, directly or indirectly, any   Indebtedness, except          (a)   Indebtedness incurred under this Agreement and the other Loan Documents;          (b)   (i) Indebtedness outstanding on the Effective Date and listed on Schedule 6.01(b)   and Permitted Refinancings thereof, (ii) Indebtedness of Loan Parties under the Revolving Credit   Loan Documents and Permitted Revolving Credit Facility Refinancings thereof in an aggregate   principal amount at any time outstanding not to exceed the Maximum Revolving Credit Facility   Amount,  (iii)  the  Secured  Term  Loans  and  all  other  Indebtedness  of  Loan  Parties  under  the   Secured Term Loan Documents and Permitted Secured Term Loan Facility Refinancings thereof   and (iv) Secured Term Loan Incremental Equivalent Indebtedness and Permitted Refinancings   thereof;                                          155   1120544.02G-CHISR02A - MSW  

 

        (c)   Indebtedness of any Company under Hedging Agreements (including Contingent  Obligations  of  any  Company  with  respect  to  Hedging  Agreements  of  any  other  Company);  provided that if such Hedging Obligations relate to interest rates, (i) such Hedging Agreements  relate to payment obligations on Indebtedness otherwise permitted to be incurred by the Loan  Documents  and  (ii) the  notional principal  amount  of  such  Hedging  Agreements  at  the  time  incurred  does  not  exceed  the  principal  amount  of  the  Indebtedness  to  which  such  Hedging  Agreements relate;         (d)   Indebtedness  permitted  by  Section  6.04(i)  or  (s),  any  other  Indebtedness  of  a  Restricted Subsidiary permitted by Section 6.04, and any Indebtedness of Holdings and Novelis  Europe Holdings Limited permitted by Section 6.15;         (e)   Indebtedness  of  any  Securitization  Entity  under  any  Qualified  Securitization  Transaction (i) that is without recourse to any Company (other than such Securitization Entity) or  any of their respective assets (other than pursuant to Standard Securitization Undertakings) and  (ii)  that  are  negotiated  in  good  faith  at  arm’s  length;  provided  that  no  Default  shall  be  outstanding  after  giving  effect  thereto,  and  (A)  with  respect  to  any  such  Indebtedness  of  a  Securitization Entity that is organized in a Principal Jurisdiction, such transaction is a Permitted  German Alternative Financing, Permitted Customer Account Financing or a Permitted Novelis  Switzerland Financing, (B) with respect to any such Indebtedness of a Securitization Entity that  is organized in a Non-Principal Jurisdiction, the sum of (w) the aggregate outstanding principal  amount of the Indebtedness of all Securitization Entities that are organized in a Non-Principal  Jurisdiction  under  all  Qualified Securitization  Transactions  under  this  Section  6.01(e),  plus  (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non- Principal Jurisdiction then outstanding under Section 6.01(m), plus (y) the aggregate book value  at the time of determination of the then outstanding Receivables of a Company that is organized  in  a  Non-Principal  Jurisdiction  subject  to  a  Permitted  Factoring  Facility  pursuant  to  Section  6.06(e)  at  such  time,  plus  (z)  the  aggregate  consideration  received  by  a  Company  that  is  organized in a Non-Principal Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of  amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in  each  case  excluding  any  Permitted  German  Alternative  Financing,  any  Permitted  Novelis  Switzerland  Financing  and  any  Permitted  Customer  Account  Financing),  shall  not  exceed  the  greater  of  (x)  15%  of  Consolidated  Net  Tangible  Assets  and  (y) $750,000,000,  and  (C)  with  respect to any such Indebtedness of a Securitization Entity that is organized in a Non-Loan Party  Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all  Securitization Entities that are organized in a Non-Loan Party Jurisdiction  under  all  Qualified  Securitization  Transactions  under  this  Section  6.01(e),  plus  (x)  the  aggregate  amount  of  Indebtedness incurred by a Subsidiary that is organized in a Non-Loan Party Jurisdiction then  outstanding  under  Section  6.01(m),  plus  (y)  the  aggregate  book value  at  the  time  of  determination of the then outstanding Receivables of a Company that is organized in a Non-Loan  Party Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at such  time, plus (z) the aggregate consideration received by a Company that is organized in a Non- Loan Party Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid by  such  Company  to  repurchase  the  Inventory  subject  to  such  Asset Sales)  (but  in  each  case  excluding  any  Permitted  German  Alternative  Financing,  any  Permitted  Novelis  Switzerland                                        156  1120544.02G-CHISR02A - MSW  

 

  Financing  and  any  Permitted  Customer  Account  Financing),  shall not  exceed  the  greater  of  (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000;          (f)   Indebtedness  in  respect  of  Purchase  Money  Obligations  and  Capital  Lease  Obligations,  and  Permitted  Refinancings  thereof  (other  than  refinancings  funded  with  intercompany advances); provided that at the time such obligations are incurred, the outstanding  amount of Indebtedness incurred under this clause (f) shall not exceed the greater of (x) 10% of  Consolidated Net Tangible Assets and (y) $500,000,000;         (g)   Sale and Leaseback Transactions permitted under Section 6.03;         (h)   Indebtedness  in  respect  of  bid,  performance  or  surety  bonds  or obligations,  workers’ compensation claims, self-insurance obligations, financing of insurance premiums, and  bankers  acceptances  issued  for  the  account  of  the  Designated  Company  or  any  Restricted  Subsidiary,  in  each  case,  incurred  in  the  ordinary  course  of  business  (including  guarantees  or  obligations of the Designated Company or any Restricted Subsidiary with respect to letters of  credit supporting such bid, performance or surety bonds or obligations, workers’ compensation  claims, self-insurance obligations and bankers acceptances) (in each case other than Indebtedness  for borrowed money);         (i)   Contingent Obligations (i) of any Loan Party in respect of Indebtedness otherwise  permitted to be incurred by such Loan Party under this Section 6.01, (ii) of any Loan Party in  respect  of  Indebtedness  of  Restricted  Subsidiaries  that  are  not  Loan  Parties  or  are  Restricted  Grantors in an aggregate amount not exceeding the greater of (x) $100,000,000 and (y) 2.0% of  Consolidated  Total  Assets  at  any  one  time  outstanding  less  all amounts  paid  with  regard  to  Contingent Obligations permitted pursuant to Section 6.04(a), and (iii) of any Company that is  not a Loan Party in respect of Indebtedness otherwise permitted to be incurred by such Company  under this Section 6.01;         (j)   Indebtedness arising from the honoring by a bank or other financial institution of  a  check,  draft  or  similar  instrument  inadvertently  (except  in  the  case  of  daylight  overdrafts)  drawn  against  insufficient  funds  in  the  ordinary  course  of  business;  provided  that  such  Indebtedness is extinguished within five (5) Business Days of incurrence;         (k)   Indebtedness arising in connection with endorsement of instruments for deposit in  the ordinary course of business;         (l)   unsecured Indebtedness and Junior Secured Indebtedness not otherwise permitted  under this Section 6.01; provided, that (i) such Indebtedness has a final maturity date no earlier  than 180 days after the Maturity Date, (ii) such Indebtedness has a Weighted Average Life to  Maturity equal to or greater than the Weighted Average Life to Maturity of the Term Loans with                                        157  1120544.02G-CHISR02A - MSW  

 

  the  Maturity  Date,  (iii)  no  Default  is  then  continuing  or  would  result  therefrom,  (iv) such  Indebtedness  is  incurred  by  a  Loan  Party  and  the  persons  that  are (or are required to be)  guarantors under such Indebtedness do not consist of any persons other than those persons that  are (or are required to be) Loan Parties under and with respect to the Term Loans, (v) the terms  of such Indebtedness do not require any amortization, mandatory prepayment or redemption or  repurchase at the option of the holder thereof (other than customary offers to purchase upon a  change  of  control  or  asset  sale)  earlier  than  180  days  after  the  Maturity  Date,  (vi)  such  Indebtedness  has  terms  and  conditions  (excluding  pricing,  premiums  and  subordination  terms,  and, in the case of Junior Secured Indebtedness, terms related to collateral and perfection), when  taken as a whole, are not materially more restrictive or less favorable to the Companies and are  not materially less favorable to the Lenders, than the terms of the Loan Documents (except with  respect  to  terms  and  conditions  that  are  applicable  only  after the  then  Maturity  Date),  (vii) [intentionally  omitted],  (viii) [intentionally  omitted], (ix)  [intentionally  omitted],  and  (x)  after  giving  effect  to  the  incurrence  of  such  Indebtedness  and to  the  consummation  of  any  Permitted  Acquisition  or  other  Investment  or  application  of  funds  made  with  the  proceeds  of  such incurrence on a Pro Forma Basis, (A) the Consolidated Interest Coverage Ratio at such date  shall be greater than 2.0 to 1.0; and (B) with respect to any such Junior Secured Indebtedness, the  Secured Net Leverage Ratio, determined on a Pro Forma Basis, shall be no greater than 5.00 to  1.00 (which shall be evidenced by a certificate from the chief financial officer of the Designated  Company demonstrating such compliance calculation in reasonable detail); provided, further that  delivery to the Administrative Agent at least five Business Days prior to the incurrence of such  Indebtedness  of  an  Officers’  Certificate  of  a  Responsible  Officer  of  the  Designated  Company  (together  with  a  reasonably  detailed  description  of  the  material  terms  and  conditions  of  such  Indebtedness  or  drafts  of  the  documentation  relating  thereto)  certifying  that  the  Designated  Company  has  determined  in  good  faith  that  such  terms  and  conditions  satisfy  the  foregoing  requirements  shall  be  conclusive  evidence  that  such  terms  and  conditions  satisfy  such  requirement unless the Administrative Agent notifies the Designated Company within such five  Business Day period that it disagrees with such determination (including a reasonable description  of the basis upon which it disagrees);         (m)   Indebtedness  consisting  of  working  capital  facilities,  lines  of credit or cash  management arrangements for Restricted Subsidiaries and Contingent Obligations of Restricted  Subsidiaries in respect thereof; provided that no Default shall be outstanding, on a Pro Forma  Basis, after giving effect thereto and (A) with respect to any such Indebtedness of a Restricted  Subsidiary that is organized in a Principal Jurisdiction, such transaction is a Permitted German  Alternative Financing, (B) with respect to any such Indebtedness of a Company that is organized  in a Non-Principal Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the  Indebtedness  of  all  Securitization  Entities  that  are  organized in  a  Non-Principal  Jurisdiction  under  all  Qualified  Securitization  Transactions  under  Section  6.01(e),  plus  (x)  the  aggregate  amount  of  Indebtedness  incurred  by  a  Subsidiary  that  is  organized  in  a  Non-Principal  Jurisdiction then outstanding under this Section 6.01(m), plus (y) the aggregate book value at the  time of determination of the then outstanding Receivables of a Company that is organized in a  Non-Principal Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at  such  time,  plus  (z)  the  aggregate  consideration  received  by  a  Company  that  is  organized  in  a  Non-Principal Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid  by  such  Company  to  repurchase  the  Inventory  subject  to  such  Asset  Sales)  (but  in  each  case                                        158  1120544.02G-CHISR02A - MSW  

 

    excluding  any  Permitted  German  Alternative  Financing,  any  Permitted  Novelis  Switzerland   Financing  and  any  Permitted  Customer  Account  Financing),  shall not  exceed  the  greater  of   (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, (C) with respect to any such   Indebtedness  of  a  Company  that  is  organized  in  a  Non-Loan  Party  Jurisdiction,  the  sum  of   (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities   that  are  organized  in  a  Non-Loan  Party  Jurisdiction  under  all  Qualified  Securitization  Transactions under Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a   Subsidiary  that  is  organized  in  a  Non-Loan  Party  Jurisdiction  then  outstanding  under  this   Section 6.01(m),  plus  (y)  the  aggregate  book  value  at  the  time of  determination  of  the  then   outstanding Receivables of a Company that is organized in a Non-Loan Party Jurisdiction subject   to a Permitted Factoring Facility pursuant to Section 6.06(e) at such time, plus (z) the aggregate   consideration  received  by  a  Company  that  is  organized  in  a  Non-Loan  Party  Jurisdiction  for   Asset  Sales  permitted  under  Section  6.06(r)  (net  of  amounts  paid  by  such  Company  to   repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted   German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted   Customer  Account  Financing),  shall  not  exceed  the  greater  of  (x)  15%  of  Consolidated  Net   Tangible  Assets  and  (y)  $750,000,000,  and  (D)  with  respect  to  such  Indebtedness  (x)  of  a   Restricted Subsidiary organized under the laws of Germany, Contingent Obligations with respect   thereto shall be limited to other Restricted Subsidiaries organized under the laws of Germany,   Switzerland  (if  such  Indebtedness  is  incurred  together  with  a  Permitted  Novelis  Switzerland   Financing) or any Non-Principal Jurisdiction, (y) of a Restricted Subsidiary organized in a Non-  Principal  Jurisdiction,  Contingent  Obligations  with  respect  thereto  shall  be  limited  to  other   Restricted  Subsidiaries  organized  in  a  Non-Principal  Jurisdiction  and  (z)  of  a  Restricted   Subsidiary  organized  in  a  Non-Loan  Party  Jurisdiction,  Contingent  Obligations  with  respect   thereto  shall  be  limited  to  other  Restricted  Subsidiaries  organized  in  a  Non-Loan  Party   Jurisdiction;           (n)   Indebtedness in respect of indemnification obligations or obligations in respect of   purchase price adjustments or similar obligations incurred or assumed by the Loan Parties and   their  Subsidiaries  in  connection  with  (i)  an  Asset  Sale  or  sale  of  Equity  Interests  otherwise   permitted under this Agreement and (ii) Permitted Acquisitions or other Investments permitted   under this Section 6.04;          (o)   unsecured  guaranties  in  the  ordinary  course  of  business  of  any person  of  the   obligations of suppliers, customers, lessors or licensees;           (p)   Indebtedness of NKL arising under letters of credit issued in the ordinary course   of business;           (q)   (i)  Indebtedness  of  any  person  existing  at  the  time  such  person  is  acquired  in   connection with a Permitted Acquisition or any other Investment permitted under Section 6.04;   provided that such Indebtedness is not incurred in connection with or in contemplation of such   Permitted Acquisition or other Investment and is not secured by Accounts or Inventory of any   Company organized in a Principal Jurisdiction or the proceeds thereof, and at the time of such                                         159   1120544.02G-CHISR02A - MSW  

 

    Permitted  Acquisition  or  other  Investment,  no  Event  of  Default shall  have  occurred  and  be   continuing, and (ii) Permitted Refinancings of such Indebtedness, in an aggregate amount, for all   such  Indebtedness  permitted  under  this  clause  (q),  not  to  exceed  at  any  time  outstanding  an   amount equal to the sum of (x) the greater of (1) $200,000,000 and (2) 4% of Consolidated Net   Tangible Assets and (y) an additional unlimited amount so long as, on a Pro Forma Basis after   giving effect to the incurrence of such Indebtedness, the Consolidated Interest Coverage Ratio   shall be greater than 2.0 to 1.0;           (r)   Indebtedness in respect of treasury, depositary and cash management services or   automated clearinghouse transfer of funds (including the Cash Pooling Arrangements and other   pooled account arrangements and netting arrangements and commercial credit card and merchant   card services and other bank products or services) in the ordinary  course  of  business,  in  each   case, arising under the terms of customary agreements with any bank;           (s)   Permitted Holdings Indebtedness;          (t)   Indebtedness constituting the Senior Notes in an aggregate principal amount not   to exceed $2,650,000,000, and Permitted Refinancings thereof (including successive Permitted   Refinancings of Indebtedness incurred as a Permitted Refinancing under this clause (t));           (u)   Indebtedness of any Loan Party under one or more series of senior secured notes   under one or more indentures, provided that (i) such Indebtedness has a final maturity date that is   no  earlier  than  the  Maturity  Date,  (ii)  such  Indebtedness  has  a  Weighted  Average  Life  to  Maturity equal to or greater than the Weighted Average Life to Maturity of the Term Loans with  the  Maturity  Date,  (iii)  no  Default  is  then  continuing  or  would  result  therefrom,  (iv)  such  Indebtedness  is  incurred  by  a  Loan  Party  and  the  persons  that  are (or are required to be)  guarantors under such Indebtedness do not consist of any persons other than those persons that  are (or are required to be) Loan Parties under or in respect to the Term Loans, (v) the terms of  such  Indebtedness  do  not  require  any  amortization,  mandatory  prepayment  or  redemption  or  repurchase  at  the  option  of  the holders  thereof  (other  than  customary  asset  sale  or  change  of   control provisions, which asset sale provisions may require the application of proceeds of asset   sales  and  casualty  events  co-extensive with those applicable to  the  Secured  Term  Loans  and   Revolving  Credit  Loans  as  set  forth  in  Section  2.10(c)  to  make mandatory  prepayments  or   prepayment offers out of such proceeds) earlier than the Maturity Date, (vi) such Indebtedness   has terms and conditions (excluding pricing and premiums and terms  related to collateral and   perfection), when taken as a whole, that are not materially more restrictive or less favorable to   the Companies and the Lenders than the terms of the Loan Documents (except with respect to   terms and conditions that are applicable only after the then Maturity Date), (vii) [intentionally   omitted], (viii) [intentionally omitted], (ix) [intentionally omitted], and (x) after giving effect to   the incurrence of such Indebtedness and to the consummation of any Permitted Acquisition or   other Investment or application of funds  made  with the proceeds of such incurrence on a Pro   Forma Basis, the Senior Secured Net Leverage Ratio at such date shall be not greater than 3.0 to   1.0  (provided  that  in  calculating the  Senior  Secured  Net  Leverage  Ratio,  the  proceeds  of  the   incurrence  of  such  Indebtedness  shall  be  excluded  from  Unrestricted  Cash);  provided,  further                                         160   1120544.02G-CHISR02A - MSW  

 

    that delivery to the Administrative Agent at least five Business Days prior to the incurrence of   such  Indebtedness  of  an  Officers’  Certificate  of  a  Responsible Officer  of  the  Designated   Company (together with a reasonably detailed description of the material terms and conditions of   such Indebtedness or drafts of the documentation relating thereto) certifying that the Designated   Company  has  determined  in  good  faith  that  such  terms  and  conditions  satisfy  the  foregoing   requirements  shall  be  conclusive  evidence  that  such  terms  and  conditions  satisfy  such   requirement unless the Administrative Agent notifies the Designated Company within such five   Business Day period that it disagrees with such determination (including a reasonable description   of the basis upon which it disagrees);           (v)   Permitted  Unsecured  Refinancing  Debt  and  any  Permitted  Refinancing  thereof   (including  successive  Permitted  Refinancings  of  Indebtedness  incurred  as  a  Permitted   Refinancing under this clause (v));          (w)   Permitted  First  Priority  Refinancing  Debt  and  Permitted  Second Priority   Refinancing  Debt,  and  any  Permitted  Refinancings  thereof  (including  successive  Permitted   Refinancings of Indebtedness incurred as a Permitted Refinancing under this clause (w));           (x)   obligations  of  the  Designated  Company  or  any  of  its  Restricted Subsidiaries  to   reimburse or refund deposits posted by customers pursuant to forward sale agreements entered   into by the Designated Company or such Restricted Subsidiary in the ordinary course of business;           (y)   unsecured  Indebtedness  not  otherwise  permitted  under  this  Section  6.01  in  an   aggregate  principal  amount  not  to  exceed  the  greater  of  (x)  $500,000,000  and  (y)  10%  of   Consolidated Net Tangible Assets at any time outstanding;           (z)   (i) unsecured Indebtedness in respect of obligations of the Designated Company   or any Restricted Subsidiary to pay the deferred purchase price of goods or services or progress   payments  in  connection  with  such  goods  and  services;  provided  that  such  obligations  are   incurred in connection with open accounts extended by suppliers on customary trade terms in the   ordinary course of business and not in connection with the borrowing of money or any Hedging   Agreements  and  (ii)  unsecured  indebtedness  in  respect  of  intercompany  obligations  of  the   Designated  Company  or  any  Restricted Subsidiary in respect of accounts  payable  incurred  in  connection with goods sold or services rendered in the ordinary course of business and not in  connection with the borrowing of money;         (aa)  Indebtedness  representing  deferred  compensation  or  similar  arrangements  to  employees, consultants or independent contractors of the Designated Company (or its direct or  indirect  parent)  and  its  Restricted  Subsidiaries  incurred  in  the  ordinary  course  of  business  or  otherwise  incurred  in  connection with  the  Transactions  or  any  Permitted  Acquisition  or  other  Investment permitted under Section 6.04;                                           161   1120544.02G-CHISR02A - MSW  

 

        (bb)  Indebtedness consisting of promissory notes issued to current or former officers,  managers,  consultants,  directors  and  employees  (or  respective  spouses,  former  spouses,  successors, executors, administrators, heirs, legatees or distributees) to finance the purchase or  redemption of capital stock of the Designated Company or any of its direct or indirect parent  companies permitted by Section 6.08(j);          (cc)  Indebtedness  pursuant  to  industrial  revenue  bond,  direct  government  loan  or  similar programs in an aggregate principal amount not to exceed the greater of (x) $150,000,000  and (y) 3% of Consolidated Net Tangible Assets at any time outstanding;          (dd)  Indebtedness  of  Loan  Parties  under  any  Third  Lien  Credit  Agreement  and  any  Permitted  Refinancing  thereof  (including  successive  Permitted  Refinancings  of  Indebtedness  incurred as a Permitted Refinancing under this clause (dd));         (ee)  [intentionally omitted]; and         (ff)  Surviving  Aleris  Debt  and  Indebtedness  of  one  or  more  Companies organized  under  the  laws  or  the  People’s  Republic  of  China  and,  in  each  case,  Permitted  Refinancings  thereof; provided that (i) the obligations in respect of the foregoing shall not be secured by any  assets of, and shall not be guaranteed by, any Person, other than the assets of, and guarantees by,  one or more Companies organized under the laws of the People’s Republic of China that is not a  Loan Party, and (ii) the aggregate principal amount of Indebtedness and undrawn commitments  thereunder shall not exceed $300,000,000 at any time outstanding.   Notwithstanding  anything  to  the  contrary  contained  in  this  Section  6.01,  accrual  of  interest,  accretion or amortization of original issue discount and the payment of interest in the form of  additional Indebtedness will be deemed not to be an incurrence of Indebtedness for purposes of  this  covenant  (but  shall,  for  the  avoidance  of  doubt,  be  deemed  to  be  Indebtedness  for  the  purposes of calculating any financial ratio, including the Consolidated Interest Coverage Ratio,  the  Total  Net  Leverage  Ratio,  the  Secured  Net  Leverage  Ratio  or the Senior Secured Net  Leverage Ratio, whether calculated under this Section 6.01 or elsewhere in this Agreement).   Section 6.02 Liens. Create, incur, assume or permit to exist, directly or indirectly, any Lien on  any property now owned or hereafter acquired by it or on any income or revenues or rights in  respect of any thereof, except the following (collectively, the “Permitted Liens”):         (a)   (i) inchoate Liens for Taxes not yet due and payable or delinquent and (ii) Liens  for  Taxes  which  are  due  and  payable  and  are  being  contested  in good  faith  by  appropriate  proceedings  diligently  conducted  and  for  which  adequate  reserves  have  been  provided  on  the  books of the appropriate Company in accordance with US GAAP;                                         162  1120544.02G-CHISR02A - MSW  

 

          (b)   Liens in respect of property of any Company imposed by Requirements of Law,   which  were  incurred  in  the  ordinary  course  of  business  and  do  not  secure  Indebtedness  for   borrowed  money,  such  as  carriers’,  warehousemen’s,  materialmen’s,  landlords’,  workmen’s,   suppliers’,  repairmen’s  and  mechanics’  Liens  and  other  similar Liens  arising  in  the  ordinary   course of business, and (i) which do not in the aggregate materially detract from the value of the   property of the Companies, taken as a whole, and do not materially impair the use thereof in the   operation  of  the  business  of  the  Companies,  taken  as  a  whole,  and (ii) which, if they secure   obligations that are then due and unpaid for more than 30 days, are being contested in good faith   by  appropriate  proceedings  diligently  conducted  and  for  which  adequate  reserves  have  been   provided on the books of the appropriate Company in accordance with US GAAP;          (c)   any Lien in existence on the Effective Date and set forth on Schedule 6.02(c) that   does  not  attach  to  the  Accounts  and  Inventory  of  the  Borrower  and  any  Lien  granted  as  a   replacement,  renewal  or  substitution  therefor;  provided  that  any  such  replacement,  renewal  or   substitute Lien (i) does not secure an aggregate amount of Indebtedness, if any, greater than that   secured  on  the  Effective  Date  (including  undrawn  commitments  thereunder  in  effect  on  the   Effective  Date,  accrued  and  unpaid  interest  thereon  and  fees  and  premiums  payable  in   connection with a Permitted Refinancing of the Indebtedness secured by such Lien) and (ii) does   not  encumber  any  property  other  than  the  property  subject  thereto  on  the  Effective  Date  (any   such Lien, an “Existing Lien”);          (d)   easements, rights-of-way, restrictions (including zoning restrictions), reservations   (including pursuant to any original grant of any Real Property from the applicable Governmental  Authority),  covenants,  licenses,  encroachments,  protrusions  and  other  similar  charges  or   encumbrances,  and  minor  title  deficiencies  or  irregularities  on  or  with  respect  to  any  Real   Property, in each case whether now or hereafter in existence, not (i) securing Indebtedness for   borrowed money or (ii) individually or in the aggregate materially interfering with the ordinary   conduct of the business of the Companies at such Real Property;          (e)   Liens arising out of judgments, attachments or awards not resulting in an Event of   Default that are being contested in good faith by appropriate proceedings diligently conducted   and for which adequate reserves have been provided on the books of the appropriate Company in   accordance with US GAAP;          (f)   Liens (other than any Lien imposed by ERISA) (x) imposed by Requirements of   Law or deposits made in connection therewith in the ordinary course of business in connection   with  workers’  compensation,  unemployment  insurance  and  other  types  of  social  security  legislation, (y) incurred in the ordinary course of business to secure the performance of tenders,  statutory obligations (other than excise taxes), surety, stay, customs and appeal bonds, statutory   bonds,  bids,  leases,  government  contracts,  trade  contracts,  performance  and  return  of  money   bonds and other similar obligations (exclusive of obligations for the payment of borrowed money)  or (z) arising by virtue of deposits made in the ordinary course of business to secure liability for  premiums to insurance carriers; provided that (i) with respect to clauses (x), (y) and (z) of this   paragraph (f), such Liens are for amounts not yet due and payable or delinquent or, to the extent                                         163   1120544.02G-CHISR02A - MSW  

 

    such  amounts  are  so  due  and  payable,  such  amounts  are  being  contested  in  good  faith  by   appropriate  proceedings  diligently  conducted  and  for  which  adequate  reserves  have  been   established on the books of the appropriate Company in accordance with US GAAP, and (ii) to   the extent such Liens are not imposed by Requirements of Law, such Liens shall in no event   encumber  any  property  other  than  cash  and  Cash  Equivalents  and,  with  respect  to  clause  (y),   property relating to the performance of obligations secured by such bonds or instruments;          (g)   (i) Leases, subleases or licenses of the properties of any Company granted to other   persons which do not, individually or in the aggregate, interfere in any material respect with the   ordinary conduct of the business of any Company and (ii) interests or title of a lessor, sublessor,   licensor or sublicensor or Lien securing a lessor’s, sublessor’s, licensor’s or sublicensor’s interest  in any lease or license not prohibited by this Agreement;         (h)   Liens arising out of conditional sale, hire purchase, title retention, consignment or  similar arrangements for the sale of goods entered into by any Company in the ordinary course of  business;         (i)   Liens  securing  Indebtedness  incurred  pursuant  to  Section  6.01(f)  or   Section 6.01(g); provided that any such Liens attach only to the property being financed pursuant   to such Indebtedness and any proceeds of such property and do not encumber any other property   of  any  Company  (other  than  pursuant  to  customary  cross-collateralization  provisions  with   respect to other property of a Company that also secure Indebtedness owed to the same financing   party or its Affiliates that is permitted under Section 6.01(f), Section 6.01(g) or Section 6.01(cc));          (j)   bankers’ Liens, rights of setoff and other similar Liens existing solely with respect   to cash and Cash Equivalents on deposit in one or more accounts maintained by any Company,   in each case granted in the ordinary course of business in favor of the bank or banks with which   such  accounts  are  maintained,  securing  amounts  owing  to  such  bank  with  respect  to  treasury,   depositary  and  cash  management  services  or  automated  clearinghouse  transfer  of  funds   (including pooled account arrangements and netting arrangements or claims against any clearing   agent or custodian with respect thereto); provided that, unless such Liens are non-consensual and   arise by operation of law, in no case shall any such Liens secure (either directly or indirectly) the   repayment of any other Indebtedness;          (k)   Liens  granted  (i)  pursuant  to  the  Secured  Term  Loan  Documents  to  secure  the   “Secured  Obligations”  (as  defined  in  the  Secured  Term  Loan  Credit  Agreement)  and  any   Permitted  Secured  Term  Loan  Facility  Refinancings  thereof,  (ii)  pursuant  to  the  Revolving   Credit  Security  Documents  to  secure  the  “Secured  Obligations”  (as  defined  in  the  Revolving  Credit  Agreement)  and  any  Permitted  Revolving  Credit  Facility  Refinancings  thereof,  (iii) pursuant  to  the  Third  Lien Security Documents to secure the  “Secured  Obligations”  (as   defined in the Third Lien Credit Agreement) and any Permitted Refinancing thereof, (iv) Liens   securing Permitted First Priority Refinancing Debt and Permitted Second Priority Refinancing                                          164   1120544.02G-CHISR02A - MSW  

 

    Debt, (v) Liens securing Additional Senior Secured Indebtedness, and (vi) Liens securing Junior   Secured Indebtedness;          (l)   licenses of Intellectual Property granted by any Company in the ordinary course   of business and not interfering in any material respect with the ordinary conduct of business of   the Companies;          (m)   the  filing  of  UCC  or  PPSA  financing  statements  (or  the  equivalent  in  other   jurisdictions)  solely  as  a  precautionary  measure  in  connection with  operating  leases  or   consignment of goods;          (n)   (x) Liens on property of Excluded Subsidiaries securing Indebtedness of Excluded   Subsidiaries permitted by Section 6.01(m), (y) Liens on property of Restricted Subsidiaries that   are organized in a Principal Jurisdiction consisting of Revolving Credit Priority Collateral and   Hedging Agreements related to the value of such Revolving Credit Priority Collateral securing   Indebtedness  of  such  Restricted  Subsidiaries  permitted  by  Section  6.01(m)  and  (z)  Liens  on   property of NKL securing Indebtedness permitted by Section 6.01(p);           (o)   Liens securing the refinancing of any Indebtedness secured by any Lien permitted   by clauses (c), (i), (k) or (r) of this Section 6.02 or this clause  (o)  without  any  change  in  the   assets  subject  to  such  Lien  and  to  the  extent  such  refinanced  Indebtedness  is  permitted  by   Section 6.01;          (p)   to the extent constituting a Lien, the existence of an “equal and ratable” clause in   the Senior Note Documents (and any Permitted Refinancings thereof) and other debt securities   issued by a Loan Party that are permitted under Section 6.01 (but, in each case, not any security   interests granted pursuant thereto);           (q)   Liens in favor of customs and revenue authorities arising as a matter of law to   secure payment of customs duties in connection with the importation of goods in the ordinary   course of business;          (r)   Liens  on  assets  acquired  in  a  Permitted  Acquisition  or  other  Acquisitions   permitted  under  Section  6.04  or  on  property  of  a  person  existing  at  the  time  such  person  is   acquired or merged with or into or amalgamated or consolidated with any Company to the extent   permitted hereunder or such assets are acquired (and not created in anticipation or contemplation   thereof); provided that (i) such Liens do not extend to property not subject to such Liens at the   time  of  acquisition  (other  than  improvements  thereon  and  proceeds  thereof)  and  are  no  more   favorable to the lienholders than such existing Lien and (ii) (x) such Liens secure obligations in  respect of Indebtedness permitted under Section 6.01(ff), so long as such Liens do not extend to  any assets of any Person other than the assets of one or more Companies organized under the                                         165   1120544.02G-CHISR02A - MSW  

 

    laws of the People’s Republic of China that is not a Loan Party, or (y) the aggregate principal   amount of Indebtedness secured by such Liens does not exceed the greater of (1) $200,000,000   and (2) 4% of Consolidated Net Tangible Assets at any time outstanding;          (s)   any  encumbrance  or  restriction  (including  put  and  call  agreements)  solely  in   respect of the Equity Interests of any Joint Venture or Joint Venture Subsidiary that is not a Loan   Party, contained in such Joint Venture’s or Joint Venture Subsidiary’s Organizational Documents   or  the  joint  venture  agreement  or  stockholders  agreement  in  respect of such Joint Venture or   Joint Venture Subsidiary;          (t)    (A)  Liens  granted  in  connection  with  Indebtedness  permitted  under   Section 6.01(e) that are limited in each case to the Securitization Assets transferred or assigned   pursuant to the related Qualified Securitization Transaction and (B) Liens granted in connection   with a Permitted Factoring Facility pursuant to Section 6.06(e) that are limited in each case to   precautionary  Liens  on  the  Receivables  sold,  transferred  or  disposed  of  pursuant  to  such   transaction, and Liens on the other Factoring Assets with respect thereto;           (u)   Liens  not  otherwise  permitted  by  this  Section  6.02  securing  liabilities  not  in   excess of the greater of (x) $100,000,000 and (y) 2% of Consolidated Net Tangible Assets in the   aggregate at any time outstanding;          (v)   to the extent constituting Liens, rights under purchase and sale agreements with   respect to Equity Interests or other assets permitted to be sold  in  Asset  Sales  permitted  under   Section 6.06;           (w)   Liens securing obligations owing to the Loan Parties so long as such obligations  and Liens, where owing by or on assets of Loan Parties, are subordinated to the Obligations in a  manner satisfactory to the Administrative Agent;          (x)   Liens  created,  arising  or  securing  obligations  under  the  Receivables  Purchase   Agreements;           (y)   Liens on deposits provided by customers or suppliers in favor of such customers   or suppliers securing the obligations of the Designated Company or its Restricted Subsidiaries to   refund deposits posted by customers or suppliers pursuant to forward sale agreements entered   into by the Designated Company or its Restricted Subsidiaries in the ordinary course of business;           (z)   Liens on cash advances in favor of the seller of any property to be acquired in an   Investment permitted pursuant to Section 6.04 to be applied against the purchase price for such   Investment;                                           166   1120544.02G-CHISR02A - MSW  

 

        (aa)  the pledge of Qualified Capital Stock of any Unrestricted Subsidiary;         (bb)  Liens  in  favor  of  any  underwriter,  depositary  or  stock  exchange  on  the  Equity  Interests in NKL or its direct parents, 4260848 Canada Inc., 4260856 Canada Inc. and 8018227  Canada Inc. and any securities accounts in which such Equity Interests are held in connection  with  any  listing  or  offering  of  Equity  Interests  in  NKL,  to  the  extent  required  by  applicable  Requirements of Law or stock exchange requirements (and not securing Indebtedness);         (cc)  (i) Liens that are contractual rights of set-off (A) relating to the establishment of  depository  relations  with  banks, (B)  relating  to  pooled  deposit  or  sweep  accounts  of  any  Company to permit satisfaction of overdraft or similar obligations and other cash management  activities  incurred  in  the  ordinary  course  of  business  of  the  Companies  or  (C)  relating  to  purchase orders and other similar agreements entered into with customers of the Companies in  the ordinary course of business, (ii) Liens of a collection bank arising under Section 4-210 of the  Uniform  Commercial  Code  on  items  in  the  course  of  collection,  (iii)  Liens  encumbering  reasonable  customary  initial  deposits  and,  to  the  extent  required  by  applicable  law,  margin  deposits,  in  each  case  attaching  to  commodity  trading  accounts or  other  brokerage  accounts  incurred  in  the  ordinary  course  of  business  and  (iv)  Liens  in  favor  of  banking  institutions,  securities intermediaries and clearing agents (including the right of set-off) and which are within  the general parameters customary in the banking industry and not granted in connection with the  incurrence of Indebtedness;          (dd)  (i) Cash collateral securing Indebtedness incurred pursuant to Section 6.01(h) and  (ii) commencing on the Aleris Acquisition Closing Date and ending on the date that is 180 days  after  such  date,  cash  collateral  securing  obligations  under  the  Specified  Aleris  Hedging  Agreements; and         (ee)  Liens securing Indebtedness incurred pursuant to Section 6.01(cc); provided that  any such Liens attach only to the property being financed pursuant to such Indebtedness and any  proceeds of such property and do not encumber any other property of any Company (other than  pursuant  to  customary  cross-collateralization  provisions  with  respect  to  other  property  of  a  Company that also secure Indebtedness owed to the same financing party or its Affiliates that is  permitted under Section 6.01(f), Section 6.01(g), or Section 6.01(cc)).   Section 6.03 Sale  and  Leaseback  Transactions.  Enter  into  any  arrangement,  directly  or  indirectly, with any person whereby it shall sell or transfer any property, real or personal, used or  useful in its business, whether now owned or hereafter acquired, and thereafter rent or lease such  property or other property which it intends to use for substantially the same purpose or purposes  as the property being sold or transferred (a “Sale and Leaseback Transaction”) unless (i) the  sale of such property is permitted by Section 6.06, (ii) any Liens arising in connection with its  use of such property are permitted by Section 6.02 and (iii) after giving effect to such Sale and  Leaseback  Transaction,  the  aggregate  fair  market  value  of  all  properties  covered  by  Sale  and  Leaseback Transactions entered into would not exceed (A) in the case of a Sale and Leaseback  Transaction  constituting  Indebtedness  incurred  pursuant  to  Section  6.01(cc),  the  greater  of                                        167  1120544.02G-CHISR02A - MSW  

 

    (x) $150,000,000 and (y) 3% of Consolidated Net Tangible Assets at any time and (B) in the   case of all other Sale and Leaseback Transactions, the greater of (x) $250,000,000 and (y) 5% of   Consolidated Net Tangible Assets.    Section 6.04 Investments, Loan and Advances. Directly or indirectly, lend money or credit   (by way of guarantee or otherwise) or make advances to any person, or purchase or acquire any   stock,  bonds,  notes,  debentures  or  other  obligations  or  securities  of,  or  any  other  ownership   interest  in,  or  make  any  capital  contribution  to,  any  other  person,  or  purchase  or  otherwise   acquire (in one transaction or a series of transactions) all or substantially all of the property and   assets or business of any other person or assets constituting a business unit, line of business or   division of any other person, or purchase or own a futures contract or otherwise become liable   for  the  purchase  or  sale  of  currency  or  other  commodities  at  a future  date  in  the  nature  of  a   futures  contract  (all  of  the  foregoing,  collectively,  “Investments”;  it  being  understood  that   (x) the amount of any Investment shall be the amount actually invested, without adjustment for   subsequent  increases  or  decreases  in  the  value  of  such  Investment  and  when  determining  the   amount of an Investment that remains outstanding, the last paragraph of this Section 6.04 shall   apply, (y) in the event a Restricted Subsidiary ceases to be a Restricted Subsidiary as a result of   being designated an Unrestricted Subsidiary, the Designated Company will be deemed to have   made  an  Investment  in  such  Unrestricted  Subsidiary  as  of  the  date  of  such  designation,  as   provided in Section 5.16 and (z) in the event a Restricted Subsidiary ceases to be a Restricted   Subsidiary as a result of an Asset Sale or similar transaction, and the Designated Company and   its  Restricted  Subsidiaries  continue  to  own  Equity  Interests  in  such  Restricted  Subsidiary,  the  Designated  Company  will  be  deemed,  at  the  time  of  such  transaction  and  after  giving  effect  thereto,  to  have  made  an  Investment  in  such  Person  equal  to  the fair market value of the  Designated Company’s and its Restricted Subsidiaries’ Investments in such Person at such time),  except that the following shall be permitted:           (a)   Investments  consisting  of  unsecured  guaranties  by  Loan  Parties of,  or  other  unsecured  Contingent  Obligations  with  respect  to,  operating  payments  not  constituting  Indebtedness for borrowed money incurred by Restricted Subsidiaries that are not Loan Parties  or that are Restricted Grantors, in the ordinary course of business, that, to the extent paid by such  Loan Party, shall not exceed an aggregate amount equal to the greater of (x) $100,000,000 and  (y) 2% of Consolidated Net Tangible Assets less the amount of Contingent Obligations by Loan   Parties  in  respect  of  Companies  that  are  not  Loan  Parties  or  that  are  Restricted  Grantors   permitted pursuant to Section 6.01(i)(ii);          (b)   Investments outstanding on the Effective Date and identified on Schedule 6.04(b);           (c)   the Companies may (i) acquire and hold accounts receivable owing to any of them   if  created  or  acquired  in  the  ordinary  course  of  business  or  in  connection  with  a  Permitted   Acquisition or  other  Acquisition  permitted  under  Section  6.04, (ii) invest  in,  acquire  and  hold   cash  and  Cash  Equivalents,  (iii) endorse  negotiable  instruments  held  for  collection  in  the   ordinary course of business or (iv) make lease, utility and other similar deposits in the ordinary   course of business;                                          168   1120544.02G-CHISR02A - MSW  

 

          (d)   Investments of Securitization Assets in Securitization Entities in connection with   Qualified Securitization Transactions permitted by Section 6.01(e);           (e)   the Loan Parties and their Restricted Subsidiaries may make loans and advances  (including payroll, travel and entertainment related advances) in the ordinary course of business  to  their  respective  employees  (other  than  any  loans  or  advances  to  any  director  or  executive  officer (or equivalent thereof) that would be in violation of Section 402 of the Sarbanes-Oxley  Act)  so  long  as  the  aggregate  principal  amount  thereof  at  any  time  outstanding  (determined  without regard to any write-downs or write-offs of such loans and advances) shall not exceed  (when  aggregated  with  loans  and  advances  outstanding  pursuant  to  clause  (h)  below)  $15,000,000;         (f)   any  Company  may  enter  into  Hedging  Agreements  (including  Contingent  Obligations of any Company with respect to Hedging Obligations of any other Company) to the  extent permitted by Section 6.01(c);          (g)   Investments  made  by  any  Company  as  a  result  of  consideration  received  in  connection  with  an  Asset  Sale  made  in  compliance  with  Section  6.06;  provided,  that  if  such   Investment or Asset Sale involves a Transferred Aleris Foreign Subsidiary, such transaction shall   comply with the requirements set forth in the definition of Permitted Aleris Foreign Subsidiary   Transfer;          (h)   loans and advances to directors, employees and officers of the Loan Parties and   their Restricted Subsidiaries for bona fide business purposes, in aggregate amount not to exceed   (when  aggregated  with  loans  and  advances  outstanding  pursuant  to  clause  (e)  above)  $15,000,000 at any time outstanding; provided that no loans in violation of Section 402 of the   Sarbanes-Oxley Act shall be permitted hereunder;          (i)   Investments  (i)  by  any  Company in  any  other  Company  outstanding  on  the   Effective Date, (ii) by any Company in any Unrestricted Grantor, (iii) by any Restricted Grantor   in any other Restricted Grantor, (iv) by an Unrestricted Grantor in any Restricted Grantor so long   as,  on  a  Pro  Forma  Basis  after  giving  effect  to  and  at  the  time  of  such  Investment,  the   Consolidated Interest Coverage Ratio shall be greater than 2.0 to 1.0, (v) by any Loan Party in   any  Company  that  is  not  a  Loan  Party  in  an  aggregate  amount  not  to  exceed  the  greater  of   (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, and (vi) by any Company   that is not a Loan Party in any other Company; provided that any such Investment in the form of   a loan or advance to any Loan Party shall be subordinated to the Obligations on terms reasonably   satisfactory to the Administrative Agent;          (j)   Investments  in  securities  or  other  obligations  received  upon  foreclosure  or  pursuant to any plan of reorganization or liquidation or similar arrangement upon the bankruptcy  or insolvency of trade creditors or customers or in connection with the settlement of delinquent                                         169   1120544.02G-CHISR02A - MSW  

 

  accounts in the ordinary course of business, and Investments received in good faith in settlement  of disputes or litigation;         (k)   Investments in Joint Ventures in which the Loan Parties hold at least 50% of the  outstanding Equity Interests or Joint Venture Subsidiaries made with the Net Cash Proceeds of  (x) arm’s length sales or dispositions for cash of Equity Interests in a Joint Venture Subsidiary  for fair market value or (y) the issuance of Equity Interests in a Joint Venture Subsidiary, in each  case as permitted by Section 6.06 hereof;         (l)   Investments in Norf GmbH in an aggregate amount not to exceed €100,000,000 at  any time outstanding;         (m)   Permitted Acquisitions;          (n)   Investments  consisting  of  Standard  Factoring  Undertakings  in  respect  of  Permitted Factoring Facilities pursuant to Section 6.06(e);         (o)   Mergers, amalgamations and consolidations in compliance with Section 6.05;         (p)   Investments in respect of Cash Pooling Arrangements, subject to the limitations  set forth in Section 6.07;          (q)   Investments consisting of guarantees of Indebtedness referred to in clauses (i) (to  the extent such guarantee is in effect on the Effective Date or permitted as part of a Permitted  Refinancing) and (ii) of Section 6.01(b) and Contingent Obligations permitted by Section 6.01(c)  or (i);          (r)   other Investments in an aggregate amount not to exceed:                     (i)       so long as the Senior Secured Net Leverage Ratio as of the        last day of the four consecutive fiscal quarter period of the Designated Company then last        ended for which financial statements have been (and are required to have been) delivered        under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such        Investments and any related Indebtedness, would not exceed 3.50 to 1.00, (x) prior to the        consummation  of  the  Aleris  Acquisition,  $75,000,000  during  any fiscal year of the        Designated Company or (y) upon and after the consummation of the Aleris Acquisition,        $125,000,000 during any fiscal year of the Designated Company;                                         170  1120544.02G-CHISR02A - MSW  

 

                    (ii)      so long as (A) the Consolidated Interest Coverage Ratio as of       the last day of the four consecutive fiscal quarter period of the Designated Company then       last  ended  for  which  financial  statements  have  been  (and  are  required  to  have  been)       delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect       to such Investment and any related Indebtedness, would exceed 2.0  to  1.0  and  (B)  the       Senior  Secured  Net  Leverage  Ratio  as  of  the  last  day  of  the  four  consecutive  fiscal       quarter period of the Designated Company then last ended for which financial statements       have  been  (and  are  required  to  have  been)  delivered  under  Section  5.01(a)  or  (b),       calculated on a Pro Forma Basis after giving effect to such Investment and any related       Indebtedness, would not exceed 3.50 to 1.00, the then available Cumulative Credit;                     (iii)       so long as (A) the Total Net Leverage Ratio as of the last       day  of  the  four  consecutive  fiscal  quarter  period  of  the  Designated  Company  then  last        ended for which financial statements have been (and are required to have been) delivered        under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such        Investment and any related Indebtedness, would not exceed 4.0 to 1.0, (B) Liquidity after        giving effect to such Investment shall be greater than or equal to $750,000,000 and (C)        the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal        quarter period of the Designated Company then last ended for which financial statements        have  been  (and  are  required  to  have  been)  delivered  under  Section  5.01(a)  or  (b),        calculated on a Pro Forma Basis after giving effect to such Investment and any related        Indebtedness, would not exceed 3.50 to 1.00, the then available Annual Credit;                      (iv)      so long as (A) the Total Net Leverage Ratio as of the last day        of the four consecutive fiscal quarter period of the Designated Company then last ended        for which financial statements have been (and are required to have been) delivered under        Section  5.01(a)  or  (b),  calculated  on  a  Pro  Forma  Basis  after  giving  effect  to  such       Investment and any related Indebtedness, would not exceed 3.5 to 1.0 and (B) the Senior       Secured  Net  Leverage  Ratio  as  of  the  last  day  of  the  four  consecutive  fiscal  quarter       period of the Designated Company then last ended for which financial statements have       been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on       a Pro Forma Basis after giving effect to such Investment and any related Indebtedness,       would not exceed 3.50 to 1.00, such additional amounts as the Designated Company may       determine  (the  cumulative  amount  of  Investments  made  after  the Effective  Date  under       this clause (iv) at any time that the Total Net Leverage Ratio as of the last day of the four       consecutive fiscal quarter period of the Designated Company then last ended for which       financial  statements  have  been  (and  are  required  to  have  been) delivered  under       Section 5.01(a)  or  (b),  calculated  on  a  Pro  Forma  Basis  after  giving  effect  to  such        Investment  and  any  related  Indebtedness,  would  exceed  2.0  to  1.0,  referred  to  as  the        “Investment Recapture Amount”); and                     (v)       so long as the Senior Secured Net Leverage Ratio as of the        last day of the four consecutive fiscal quarter period of the Designated Company then last        ended for which financial statements have been (and are required to have been) delivered                                        171  1120544.02G-CHISR02A - MSW  

 

          under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such         Investment and any related Indebtedness, would not exceed 3.50 to 1.00, (i) (A) prior to         the  consummation  of  the  Aleris  Acquisition,  $75,000,000  over  the  term  of  this         Agreement  or  (B)  upon  and  after  the  consummation  of  the  Aleris Acquisition,         $125,000,000  over  the  term  of  this  Agreement  minus  (ii)  the  aggregate  amount  of         Dividends made pursuant to Section 6.08(g);           (s)   Investments  consisting  of  unsecured  guaranties  permitted  pursuant  to  Section 6.01(o);          (t)   Investments  by  any Company  in  any other Company;  provided  that such   Investment is part of a Series of Cash Neutral Transactions and no Default has occurred and is   continuing;          (u)   Investments  consisting  of  (i)  unsecured  guaranties  by  Novelis  Inc.  of  NKL’s  indemnification obligations owing to (x) the Ulsan JV Subsidiary attributable to employment- related claims or claims of former employees of NKL, and (y) the Ulsan Joint Venture Partner  for losses of the Ulsan Joint Venture  Partner  arising  from  NKL’s  breach  of  representations,  warranties  and  covenants  applicable to NKL under the Ulsan Sale  Agreement;  provided  that   Novelis Inc.’s maximum aggregate liability under the guaranties described in this clause (i) shall   not  exceed  $157,500,000,  and  (ii)  an  unsecured  guaranty  by  Novelis  Inc.  of  NKL’s   indemnification  obligations  owing  to  the  Ulsan  JV  Subsidiary  for losses of the Ulsan JV   Subsidiary  arising  from  environmental  liabilities  that  relate  to  actions  occurring  prior  to  the   closing of the Ulsan Share Sale; provided that Novelis Inc.’s maximum aggregate liability under   the guaranty described in this clause (ii) shall not exceed $157,500,000;          (v)   Investments  in  Ulsan  JV  Subsidiary  in  an  aggregate  amount  not  to  exceed   ₩125,000,000,000 at any time outstanding;           (w)   Investments by any Loan Party in any Company organized under the laws of the   People’s  Republic  of  China  that  is  not  a  Loan  Party  in  an  aggregate  amount  not  to  exceed   $290,000,000;           (x)   to  the  extent  constituting  an  Investment,  (i)  the  Permitted  Reorganization;   provided that the terms and conditions set forth in the definition of Permitted Reorganization and,   to  the  extent  applicable,  the  definition  of  Permitted  Reorganization  Actions  shall  have  been  satisfied; provided, further, that all such Investments involving a loan or advance, or otherwise in   the form of an Intercompany Note, shall be documented as an Intercompany Note and shall be   subordinated to the Obligations (to the extent evidencing a payment obligation of a Loan Party)   on  terms  reasonably  satisfactory  to  the  Administrative  Agent,  and  (ii)  the  Permitted  Aleris   Foreign Subsidiary Transfers; and                                          172   1120544.02G-CHISR02A - MSW  

 

          (y)   Permitted Fiscal Unity Liability;    provided that (x) any such Investment in the form of a loan or advance to any Loan Party shall be   subordinated to the Obligations on terms reasonably satisfactory to the Administrative Agent and,  in  the  case  of  a  loan  or  advance  by  a  Loan  Party,  evidenced  by an  Intercompany  Note  and  (y) with respect to any Investment in an aggregate amount in excess of $50,000,000, on or prior  to  the  date  of  any  Investment  pursuant  to  Section  6.04(r)(ii), (iii)  or  (iv),  the  Designated   Company  shall  deliver  to  the  Administrative  Agent  an  Officer’s Certificate  specifying  which   clause  of  Section  6.04(r)  such  Investment  is  being  made  pursuant  to  and  calculating  in   reasonable  detail  the  amount  of  the  Cumulative  Credit  or  Annual  Credit,  as  applicable,   immediately prior to such election and the amount thereof elected to be so applied, the Total Net   Leverage Ratio, Senior Secured Net Leverage Ratio and Consolidated Interest Coverage Ratio   referred to above and, in the case of Investments pursuant to clause (iii) above, the amount of   Liquidity referred to therein.    An Investment shall be deemed to be outstanding to the extent not returned in the same form as   the original Investment to any Company. The outstanding amount of an Investment shall, in the   case of a Contingent Obligation that has been terminated, be reduced to the extent no payment is  or was made with respect to such Contingent Obligation upon or prior to the termination of such  Contingent Obligation; and the outstanding amount of other Investments shall be reduced by the  amount of cash or Cash Equivalents received with respect to such Investment upon the sale or  disposition thereof, or constituting a return of capital with respect thereto or, repayment of the  principal amount thereof, in the case of a loan or advance.     Section 6.05 Mergers,  Amalgamations  and  Consolidations.  Wind  up,  liquidate  or  dissolve   its affairs or enter into any transaction of merger, amalgamation or consolidation (or agree to do   any of the foregoing at any future time), except that the following shall be permitted:          (a)   Asset Sales in compliance with Section 6.06;          (b)   Permitted Acquisitions in compliance with Section 6.04;          (c)   (i)  any  Company  may  merge,  amalgamate  or  consolidate  with  or  into  any   Unrestricted  Grantor  (provided  that in  the  case of  any  merger, amalgamation  or consolidation   involving  (w)  Designated  Holdco,  Designated  Holdco  is  the  surviving  or  resulting  person,   (x) except  as  provided  in  the  definition  of  Permitted  Holdings Amalgamation,  the  Parent,  the   Parent is the surviving or resulting person, (y) the Borrower, the Borrower is the surviving or   resulting person (or, upon the consummation of the Aleris Acquisition on the Closing Date in   accordance with the terms of the Aleris Merger Agreement, and upon the satisfaction or waiver   of the terms and conditions set forth in Section 4.02 on the Closing Date, Aleris is the surviving   or  resulting  person),  and  (z) in  any  other  case,  an  Unrestricted  Grantor  is  the  surviving  or   resulting person, (ii) any Restricted Grantor may merge, amalgamate or consolidate with or into   any  other  Restricted  Grantor  (provided  that  (x)  a  Subsidiary  Guarantor  is  the  surviving  or   resulting  person),  (iii) Novelis  Aluminum  Holding  Company  and  Novelis  Deutschland  GmbH                                         173   1120544.02G-CHISR02A - MSW  

 

    may  merge  provided  Novelis  Deutschland  GmbH  is  the  surviving  or  resulting  person,  and   (iv) any Company that is not a Loan Party may merge, amalgamate or consolidate with or into   any  Restricted  Grantor  (provided that  a  Subsidiary  Guarantor  is  the  surviving  or  resulting   person);  provided  that,  in  the  case  of  each  of  the  foregoing  clauses  (i)  through  (iv),  (1) the   surviving  or  resulting  person  is  a  Wholly  Owned  Subsidiary  of  Holdings  (or  the  Parent  or  a   Wholly Owned Subsidiary of the Parent following a Qualified Parent IPO), and (2) no Default is   then  continuing  or  would  result  therefrom;  provided  that  in  the  case  of  any  amalgamation  or   consolidation  involving  a  Loan  Party,  at  the  request  of  the  Administrative  Agent,  such  Loan  Party  and  each  other  Loan  Party  shall  confirm  its  respective  Obligations  and  Liens  under  the  Loan Documents in a manner reasonably satisfactory to the Administrative Agent;         (d)   any  Restricted  Subsidiary  that  is  not  a  Loan  Party  may  merge,  amalgamate  or   consolidate with or into any other Restricted Subsidiary that is not a Loan Party;          (e)   AV  Metals  and  the  Parent  may  consummate  the  Permitted  Holdings   Amalgamation;           (f)   any  Restricted  Subsidiary  of  the  Designated  Company  (other  than Parent, the   Initial  Borrower  or  the  Borrower)  may  dissolve,  liquidate  or  wind  up  its  affairs  at  any  time;   provided that such dissolution, liquidation or winding up, as applicable, could not reasonably be   expected to have a Material Adverse Effect; and          (g)   any  Unrestricted  Grantor  (other than  Holdings,  Designated  Holdco, Parent, the  Initial  Borrower  or  the  Borrower)  may  dissolve,  liquidate  or  wind-up  its  affairs  (collectively,  “Wind-Up”),  so  long  as  all  of  its  assets  are  distributed  or  otherwise  transferred  to  any  other  Unrestricted Grantor and any Restricted Grantor may Wind-Up so long as all of its assets are  distributed or otherwise transferred to a Restricted Grantor or an Unrestricted Grantor; provided   that no Default is then continuing or would result therefrom.    Section 6.06 Asset Sales. Effect any Asset Sale except that the following shall be permitted:          (a)   disposition of used, worn out, obsolete or surplus property by any Company in the   ordinary  course  of  business  and  the  abandonment  or  other  disposition  of  Intellectual  Property   that  is,  in  the  reasonable  judgment  of  the  Designated  Company, no  longer  economically   practicable  to  maintain  or  useful  in  the  conduct  of  the  business of the Companies taken as a  whole;         (b)   so  long  as  no  Default  is  then  continuing  or  would  result  therefrom,  any  other   Asset Sale (other than the Equity Interests of any Wholly Owned Subsidiary that is a Restricted   Subsidiary unless, after giving effect to any such Asset Sale, such person either ceases to be a   Restricted  Subsidiary  or,  in  the  case  of  an  Excluded  Guarantor Subsidiary,  becomes  a  Joint   Venture Subsidiary) for fair market value, with at least 75% of the consideration received for all                                         174   1120544.02G-CHISR02A - MSW  

 

    such Asset Sales or related Asset Sales in which the consideration received exceeds $50,000,000   payable in cash upon such sale (provided, however, that for the purposes of this clause (b), the   following shall be deemed to be cash: (i) any liabilities (as shown on the Designated Company’s   most  recent  balance  sheet  provided  hereunder  or  in  the  footnotes  thereto)  of  the  Designated   Company or such Restricted Subsidiary, other than liabilities that are by their terms subordinated   to the payment in cash of the Obligations, that are assumed by the transferee with respect to the   applicable Asset Sale and for which Holdings, the Designated Company and all of its Restricted   Subsidiaries  shall  have  been  validly  released  by  all  applicable  creditors  in  writing,  (ii)  any   securities  received  by  the  Designated  Company  or  the  applicable  Restricted  Subsidiary  from   such transferee that are converted by the Designated Company or such Restricted Subsidiary into   cash (to the extent of the cash received) within 180 days following the closing of the applicable   Asset Sale, and (iii) aggregate non-cash consideration received by the Designated Company or   the applicable Restricted Subsidiary having an aggregate fair market value (determined as of the   closing of the applicable Asset Sale for which such non-cash consideration is received) not to   exceed $75,000,000 at any time (net of any non-cash consideration converted into cash));          (c)   leases,  subleases  or  licenses  of  the  properties  of  any  Company in the ordinary   course of business and which do not, individually or in the aggregate, interfere in any material   respect with the ordinary conduct of the business of any Company;          (d)   mergers and consolidations, and liquidations and dissolutions in compliance with   Section 6.05;          (e)   sales,  transfers  and  other  dispositions  of  Receivables  for  the fair  market  value   thereof  in  connection  with  a  Permitted  Factoring  Facility;  provided  that  no  Default  shall  be   outstanding  after  giving  effect  thereto  and  (A)  with  respect  to  any  such  sale,  transfer  or  disposition of Receivables incurred by a Company that is organized in a Principal Jurisdiction,  such  transaction  is  a  Permitted  German  Alternative  Financing,  Permitted  Customer  Account  Financing or Permitted Novelis Switzerland Financing, (B) with respect to any such sale, transfer  of  disposition  of  Receivables  incurred  by  a  Company  that  is  organized  in  a  Non-Principal  Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all  Securitization  Entities  that  are  organized  in  a  Non-Principal  Jurisdiction  under  all  Qualified  Securitization Transactions under Section 6.01(e), plus (x) the aggregate amount of Indebtedness   incurred by a Subsidiary that is organized in a Non-Principal Jurisdiction then outstanding under   Section  6.01(m),  plus  (y)  the  aggregate  book  value  at  the  time of  determination  of  the  then   outstanding Receivables of a Company that is organized in a Non-Principal Jurisdiction subject   to  a  Permitted  Factoring  Facility  pursuant  to  this  Section  6.06(e)  at  such  time,  plus  (z)  the   aggregate consideration received by a Company that is organized in a Non-Principal Jurisdiction   for  Asset  Sales  permitted  under Section  6.06(r)  (net  of  amounts  paid  by  such  Company  to   repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted   German  Alternative  Financing,  Permitted  Novelis  Switzerland  Financing  and  any  Permitted   Customer  Account  Financing),  shall  not  exceed  the  greater  of  (x)  15%  of  Consolidated  Net   Tangible  Assets  and  (y)  $750,000,000,  and  (C)  with  respect  to  any  such  sale,  transfer  or   disposition  of  Receivables  incurred  by  a  Company  that  is  organized  in  a  Non-Loan  Party                                         175   1120544.02G-CHISR02A - MSW  

 

  Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all  Securitization Entities that are organized in a Non-Loan Party Jurisdiction  under  all  Qualified  Securitization Transactions under Section 6.01(e), plus (x) the aggregate amount of Indebtedness  incurred  by  a  Subsidiary  that  is  organized  in  a  Non-Loan  Party Jurisdiction  then  outstanding  under Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then  outstanding Receivables of a Company that is organized in a Non-Loan Party Jurisdiction subject  to  a  Permitted  Factoring  Facility  pursuant  to  this  Section  6.06(e)  at  such  time,  plus  (z)  the  aggregate  consideration  received  by  a  Company  that  is  organized  in  a  Non-Loan  Party  Jurisdiction  for  Asset  Sales  permitted  under  Section  6.06(r)  (net  of  amounts  paid  by  such  Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding  any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and  any  Permitted  Customer  Account  Financing),  shall  not  exceed  the  greater  of  (x)  15%  of  Consolidated Net Tangible Assets and (y) $750,000,000;         (f)   the  sale  or  disposition  of  cash  and  Cash  Equivalents  in  connection  with  a  transaction otherwise permitted under the terms of this Agreement;         (g)   assignments  and  licenses  of  Intellectual  Property  of  any  Loan  Party  and  its  Subsidiaries in the ordinary course of business and which do not, individually or in the aggregate,  interfere in any material respect with the ordinary conduct of the business of any Company;         (h)   Asset Sales (i) by and among Unrestricted Grantors (other than Holdings), (ii) by  any  Restricted  Grantor  to  any  other  Restricted  Grantor,  (iii)  by  any  Restricted  Grantor  to  any  Unrestricted Grantor so long as the consideration paid by the Unrestricted Grantor in such Asset  Sale  does  not  exceed  the  fair  market  value  of  the  property  transferred,  (iv)  by  (x)  any  Unrestricted Grantor to any Restricted Grantor for fair market value and (y) by any Loan Party to  any Restricted Subsidiary that is not a Loan Party for fair market value provided that the fair  market  value  of  such  Asset  Sales  under  this  clause  (iv)  does  not  exceed  the  greater  of  (1) $200,000,000 and (2) 4% of Consolidated Net Tangible Assets in the aggregate for all such  Asset Sales since the Effective Date, (v) by any Company that is not a Loan Party to any Loan  Party so long as the consideration paid by the Loan Party in such Asset Sale does not exceed the  fair market value of the property transferred, and (vi) by and among Companies that are not Loan  Parties; provided that no Default is then continuing or would result therefrom;         (i)   the Companies may consummate Asset Swaps so long as (x) each such sale is in  an  arm’s-length  transaction  and the  applicable  Company  receives  at  least  fair  market  value  consideration (as determined in good faith by such Company), and (y) the aggregate fair market  value of all assets sold pursuant to this clause (i) shall not exceed  the  greater  of  (1)  2%  of  Consolidated Net Tangible Assets and (2) $100,000,000 in the aggregate since the Effective Date;  provided that so long as the assets acquired by any Company pursuant to the respective Asset  Swap are located in the same country as the assets sold by such Company, such aggregate cap  will not apply to such Asset Swap;                                          176  1120544.02G-CHISR02A - MSW  

 

          (j)   sales,  transfers  and  other  dispositions  of  Receivables  (whether  now  existing  or   arising or acquired in the future) and Related Security to a Securitization Entity in connection   with  a  Qualified  Securitization Transaction  permitted  under  Section  6.01(e)  and  all  sales,   transfers  or  other  dispositions  of  Securitization  Assets  by  a  Securitization  Entity  under,  and   pursuant to, a Qualified Securitization Transaction permitted under Section 6.01(e);          (k)   to the extent constituting an Asset Sale, the Permitted Holdings Amalgamation;           (l)   issuances  of  Equity  Interests  by Joint  Venture  Subsidiaries  and  Excluded   Guarantor Subsidiaries;           (m)   Asset Sales among Companies of promissory notes or Equity Interests or similar   instruments issued by a Company; provided that such Asset Sales are part of a Series of Cash   Neutral Transactions and no Default has occurred and is continuing;           (n)   the sale of Receivables made pursuant to the Receivables Purchase Agreement;           (o)   to the extent constituting an Asset Sale, Investments permitted by Section 6.04(i);           (p)   issuances of Qualified Capital Stock (including by way of sales of treasury stock)   or any options or warrants to purchase, or securities convertible into, any Qualified Capital Stock   (A) for stock splits, stock dividends and additional issuances of Qualified Capital Stock which do   not decrease the percentage ownership of the Loan Parties in any class of the Equity Interests of   such  issuing  Company  and  (B)  by  Subsidiaries  of  the  Designated Company  formed  after  the   Effective Date to the Designated Company or the Subsidiary of the Designated Company which   is to own such Qualified Capital Stock;          (q)   transfers  of  100%  of  the  Equity  Interests  of  any  Chinese  Subsidiary  or  Korean  Subsidiary of  the  Designated  Company  to  a  wholly-owned  U.S.  Loan  Party;  provided  that  no   Default is then continuing or would result therefrom;           (r)   sales,  transfers  and  other  dispositions  of  Inventory  in  order  to  finance  working   capital;  provided  that  no  Default  shall  be  outstanding  after  giving  effect  thereto  and  (A)  with   respect to any such sale, transfer of disposition by a Company that is organized in a Principal   Jurisdiction, such transaction is a Permitted German Alternative Financing, (B) with respect to   any such sale, transfer or disposition of Receivables incurred by a Company that is organized in   a Non-Principal Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the   Indebtedness  of  all  Securitization  Entities  that  are  organized in  a  Non-Principal  Jurisdiction   under all Qualified Securitization Transactions under this Section 6.01(e), plus (x) the aggregate   amount  of  Indebtedness  incurred  by  a  Subsidiary  that  is  organized  in  a  Non-Principal   Jurisdiction  then  outstanding  under  Section  6.01(m),  plus  (y)  the  aggregate  book  value  at  the                                         177   1120544.02G-CHISR02A - MSW  

 

    time of determination of the then outstanding Receivables of a Company that is organized in a   Non-Principal Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at   such  time,  plus  (z)  the  aggregate  consideration  received  by  a  Company  that  is  organized  in  a   Non-Principal Jurisdiction for Asset Sales permitted under this Section 6.06(r) (net of amounts   paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case   excluding  any  Permitted  German  Alternative  Financing,  any  Permitted  Novelis  Switzerland   Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x)   15%  of  Consolidated  Net  Tangible  Assets  and  (y)  $750,000,000,  and  (C)  with  respect  to  any   such sale, transfer or disposition of Receivables incurred by a Company that is organized in a   Non-Loan Party Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the   Indebtedness of all Securitization Entities that are organized in a Non-Loan Party Jurisdiction   under all Qualified Securitization Transactions under this Section 6.01(e), plus (x) the aggregate   amount  of  Indebtedness  incurred  by  a  Subsidiary  that  is  organized  in  a  Non-Loan  Party   Jurisdiction  then  outstanding  under  Section  6.01(m),  plus  (y)  the  aggregate  book  value  at  the   time of determination of the then outstanding Receivables of a Company that is organized in a   Non-Loan Party Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e)   at such time, plus (z) the aggregate consideration received by a Company that is organized in a   Non-Loan Party Jurisdiction for Asset Sales permitted under this Section 6.06(r) (net of amounts   paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case   excluding  any  Permitted  German  Alternative  Financing,  any  Permitted  Novelis  Switzerland   Financing  and  any  Permitted  Customer  Account  Financing),  shall not  exceed  the  greater  of   (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000;          (s)   Asset  Sales  of  100%  of  the  Equity  Interests  of  any  Chinese  Subsidiary  of  the   Designated Company to a Chinese holding company that is a direct Wholly Owned Subsidiary of   the Designated Company; provided that (i) such transaction is permitted pursuant to the Secured   Term Loan Documents (and any Permitted Secured Term Loan Facility Refinancings) and (ii) no  Default is then continuing or would result therefrom;         (t)   any  sale,  lease  transfer  or  other  disposition  in  connection  with  any  industrial  revenue bond or similar program that does not result in the recognition of the sale or the asset  transfer in accordance with GAAP, or any similar transaction;         (u)   the Ulsan Share Sale;          (v)   the NKL Share Repurchase;          (w)   any Permitted Aleris Foreign Subsidiary Transfer; and         (x)   to the extent constituting an Asset Sale, the Permitted Reorganization; provided   that the terms and conditions set forth in the definition of Permitted Reorganization and, to the   extent applicable, the definition of Permitted Reorganization Actions shall have been satisfied;                                         178   1120544.02G-CHISR02A - MSW  

 

    provided, further, that all such Asset Sales involving (whether as consideration or otherwise) a   loan or advance, or that otherwise involves an Intercompany Note, shall be permitted solely to   the  extent  that  such  loan  or  advance  is  documented  as  an  Intercompany  Note,  and  all   Intercompany Notes in connection therewith shall be subordinated to the Obligations on terms   reasonably satisfactory to the Administrative Agent.    Section 6.07 Cash  Pooling  Arrangements.  Amend,  vary  or  waive  any  term  of  the  Cash   Pooling  Arrangements  or  enter  into  any  new  pooled  account  or  netting  agreement  with  any  Affiliate  in  a  manner  materially  adverse  to  the  Lenders.  Without  the  consent  of  the  Administrative Agent under the Revolving Credit Agreement, permit the aggregate amount owed  pursuant to the Cash Pooling Arrangements by all Companies who are not Loan Parties (other  than  any  Company  (x)  that  has  pledged  assets  to  secure  obligations  in  respect  of  any  of  the  Revolving Credit Loan Documents, the Secured Term Loan Documents or the loan documents in   respect of the Third Lien Credit Agreement, and (y) the accounts of which included in such Cash   Pooling Arrangements are limited to zero balance disbursement accounts that forward daily all   amounts  to  an  account  of  a  Loan  Party  (subject  to  customary  payments  with  respect  to   overdrafts)) minus the aggregate amount on deposit pursuant to the Cash Pooling Arrangements   from such Persons to exceed the greater of (i) €75,000,000 and (ii) 2.0% of Consolidated Net   Tangible Assets.    Section 6.08 Dividends. Declare or pay, directly or indirectly, any Dividends with respect to   any Company, except that the following shall be permitted:          (a)   (i)  Dividends  by  any  Company  to any Loan Party that is a Wholly  Owned   Subsidiary of Holdings (or the Parent or a Wholly Owned Subsidiary of the Parent following a   Qualified Parent IPO), (ii) Dividends by Holdings (or the Parent following a Qualified Parent   IPO) payable solely in Qualified Capital Stock and (iii) Dividends by Holdings payable with the   proceeds of Permitted Holdings Indebtedness;          (b)   (i) Dividends by any Company that is not a Loan Party to any other Company that   is not a Loan Party but is a Wholly Owned Subsidiary of Holdings (or the Parent or a Wholly   Owned Subsidiary of the Parent following a Qualified Parent IPO) and (ii) cash Dividends by   any Company that is not a Loan Party to the holders of its Equity Interests on a pro rata basis;          (c)   (A) to the extent actually used by Holdings to pay such franchise taxes, costs and   expenses, fees, payments by the Designated Company to or on behalf of Holdings in an amount   sufficient to pay franchise taxes and other fees solely required to maintain the legal existence of   Holdings, (B) payments by the Designated Company to or on behalf of Holdings in an amount   sufficient to pay out-of-pocket legal, accounting and filing costs and other expenses in the nature   of  overhead  in  the  ordinary  course  of  business  of  Holdings,  and (C) management,  consulting,   monitoring  and  advisory  fees  and  related  expenses  and  termination  fees  pursuant  to  a   management agreement with one or more Specified Holders relating to the Designated Company   (collectively, the “Management Fees”), in the case of clauses (A), (B) and (C) in an aggregate   amount not to exceed in any calendar year the greater of (i) $20,000,000 and (ii) 1.5% of the   Designated Company’s Consolidated EBITDA in the prior calendar year;                                          179   1120544.02G-CHISR02A - MSW  

 

        (d)   the  Designated  Company  may  pay cash  Dividends  to  the  holders  of its Equity  Interests  and,  if  Holdings  is  a  holder  of  such  Equity  Interests,  the  proceeds  thereof  may  be  utilized by Holdings to pay cash Dividends to the holders of its Equity Interests in an amount not  to exceed:                     (i)       so long as (A) the Consolidated Interest Coverage Ratio, as        of the last day of the four consecutive fiscal quarter period of the Designated Company        then last ended for which financial statements have been (and are required to have been)        delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect        to  such  Dividends  and  any  related  Indebtedness,  would  exceed  2.0  to  1.0  and  (B)  the        Senior  Secured  Net  Leverage  Ratio  as  of  the  last  day  of  the  four  consecutive  fiscal        quarter period of the Designated Company then last ended for which financial statements        have  been  (and  are  required  to  have  been)  delivered  under  Section  5.01(a)  or  (b),        calculated on a Pro Forma Basis after giving effect to such Dividends and any related        Indebtedness, would not exceed 3.50 to 1.00, the then available Cumulative Credit;                      (ii)      so long as (A) the Total Net Leverage Ratio, as of the last        day  of  the  four  consecutive  fiscal  quarter  period  of  the  Designated  Company  then  last        ended for which financial statements have been (and are required to have been) delivered        under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such        Dividends, would not exceed 4.0 to 1.0, (B) Liquidity after giving effect to such Dividend        shall be greater than or equal to $750,000,000, and (C) the Senior Secured Net Leverage        Ratio as of the last day of the four consecutive fiscal quarter period of the Designated        Company then last ended for which financial statements have been (and are required to        have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after        giving effect to such Dividends and any related Indebtedness, would not exceed 3.50 to        1.00, the then available Annual Credit; and                     (iii)     so long as (A) the Total Net Leverage Ratio, as of the last        day  of  the  four  consecutive  fiscal  quarter  period  of  the  Designated  Company  then  last        ended for which financial statements have been (and are required to have been) delivered        under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such        Dividends and any related Indebtedness, would not exceed 3.5 to 1.0 and (B) the Senior        Secured  Net  Leverage  Ratio  as  of  the  last  day  of  the  four  consecutive  fiscal  quarter        period of the Designated Company then last ended for which financial statements have        been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on        a Pro Forma Basis after giving effect to such Dividends and any  related  Indebtedness,        would not exceed 3.50 to 1.00, such additional amounts as the Designated Company may        determine (the cumulative amount of Dividends made after the Effective Date under this        clause (iii) at any time that the Total Net Leverage Ratio, as of the last day of the four        consecutive fiscal quarter period of the Designated Company then last ended for which       financial  statements  have  been  (and  are  required  to  have  been) delivered  under       Section 5.01(a)  or  (b),  calculated  on  a  Pro  Forma  Basis  after  giving  effect  to  such        Dividends, would exceed 2.0 to 1.0, referred to as the “Dividend Recapture Amount”);                                        180  1120544.02G-CHISR02A - MSW  

 

    provided that (x) the Dividends described in this clause (d) shall not be permitted if a Default is   continuing at the date of declaration or payment thereof or would result therefrom and (y) with   respect to any Dividend in an aggregate amount in excess of $50,000,000, on or prior to the date   of any such Dividend pursuant to this Section 6.08(d), the Designated Company shall deliver to   the Administrative Agent an Officer’s Certificate specifying which clause of this Section 6.08(d)   such Dividend is being made pursuant to and calculating in reasonable detail the amount of the   Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the   amount thereof elected to be so applied (in the case of Dividends pursuant to clause (i) and (ii)   above)  and  the  Total  Net  Leverage  Ratio,  the  Senior  Secured  Net  Leverage  Ratio  and  the   Consolidated Interest Coverage Ratio referred to above and, in the case of Dividends pursuant to   clause (ii) above, the amount of Liquidity referred to therein;           (e)   to the extent constituting a Dividend, payments permitted by Section 6.09(d) that   do not relate to Equity Interests;           (f)   [intentionally omitted];          (g)   so long as the Senior Secured Net Leverage Ratio as of the last day of the four   consecutive fiscal quarter period of the Designated Company then last ended for which financial   statements  have  been  (and  are  required  to  have  been)  delivered under  Section  5.01(a)  or  (b),   calculated  on  a  Pro  Forma  Basis  after  giving  effect  to  such  Dividends  and  any  related   Indebtedness, would not exceed 3.50 to 1.00, the Designated Company may pay additional cash   Dividends to Holdings the proceeds of which may be utilized by Holdings to pay cash Dividends   to the holders of its Equity Interests in an aggregate amount not to exceed (i) (A) prior to the   consummation of the Aleris Acquisition, $75,000,000 after the Effective Date or (B) upon and   after the consummation of the Aleris Acquisition, $125,000,000 after the Effective Date minus   (ii) the  amount  of  Investments made  in  reliance  on  Section  6.04(r)(v);  provided  that  the   Dividends described in this clause (g) shall not be permitted if a Default is continuing at the date   of declaration or payment thereof or would result therefrom;           (h)   Dividends  by  any  Company  to  any  other  Company  that  are  part  of a  Series  of   Cash Neutral Transactions; provided no Default has occurred and is continuing;           (i)   following  a  Qualified  IPO,  Dividends  paid  to  Holdings  (which  may  pay  the  proceeds thereof to the holders of its Equity Interests) or, in the case of a Qualified Parent IPO,  its other equity holders, of up to 10% of the net cash proceeds received by (or contributed to the  capital of) the Designated Company in or from such Qualified IPO or Qualified Parent IPO in  any fiscal year; and         (j)   Dividends  to  repurchase  Equity  Interests  of  Holdings  (or,  on  and  after  the   Designated Holdco Effective Date, Designated Holdco) or any direct or indirect parent entity (or   following a Qualified Parent IPO, Equity Interests of the Parent) from current or former officers,                                         181   1120544.02G-CHISR02A - MSW  

 

    directors or employees of the Designated Company or any of its Restricted Subsidiaries or any   direct  or  indirect  parent  entity  (or  permitted  transferees  of  such  current  or  former  officers,   directors or employees); provided, however, that the aggregate amount of such repurchases shall   not  exceed  (i) $20,000,000  in  any  calendar  year  prior  to  completion of a Qualified IPO or   Qualified  Parent  IPO,  or  (ii)  $30,000,000  in  any  calendar  year in which a Qualified IPO or   Qualified  Parent  IPO  occurs  or  any  calendar  year  commencing  following  completion  of  a   Qualified  IPO  or  Qualified  Parent  IPO  (with  unused  amounts  in  any  calendar  year  being   permitted to be carried over for the next two succeeding calendar years); provided, further, that   such amount in any calendar year may be increased by an amount not to exceed (x) the cash   proceeds received by the Designated Company or any of its Restricted Subsidiaries from the sale   of  Equity  Interests  of  the  Parent,  Holdings  (or,  on  and  after  the  Designated  Holdco  Effective   Date, Designated Holdco) or any parent entity to officers, directors or employees (to the extent   contributed  to  the  Designated  Company  (excluding  any  portion  thereof  included  in  the   Cumulative  Credit)),  plus  (y)  the  cash  proceeds  of  key  man  life  insurance  policies  in  such   calendar year.     Section 6.09 Transactions with Affiliates. Enter into, directly or indirectly, any transaction or   series of related transactions, whether or not in the ordinary course of business, with or for the   benefit of any Affiliate of any Company (other than between or among Loan Parties), other than   on terms and conditions at least as favorable to such Company as would reasonably be obtained   by such Company at that time in a comparable arm’s-length transaction with a person other than   an Affiliate, except that the following shall be permitted:          (a)   Dividends permitted by Section 6.08;          (b)   Investments  permitted  by  Section  6.04(d),  (e),  (h),  (i),  (l),  (p),  or  (s)  and  other   Investments permitted under Section 6.04 in Restricted Subsidiaries and joint ventures; provided   that  any  such  joint  venture  is  not  owned  by  any  Affiliate  of  Holdings  except  through  the   ownership of the Companies;           (c)   mergers, amalgamations and consolidations permitted by Section 6.05(c), (d), (e),   (f) or (g), and Asset Sales permitted by Section 6.06(h)(iv) and (v), or (m);          (d)   reasonable and customary director, officer and employee compensation (including   bonuses) and other benefits (including retirement, health, stock option and other benefit plans)   and  indemnification  arrangements,  in  each  case  approved  by  the Board  of  Directors  of  the   Designated Company;          (e)   transactions with customers, clients, suppliers, joint venture partners or purchasers  or sellers of goods and services, in each case in the ordinary course  of business  on  terms  not  materially less favorable as might reasonably have been obtained at such time from a Person that  is not an Affiliate of the Designated Company, as determined in good faith by the Designated  Company, and otherwise not prohibited by the Loan Documents;                                         182   1120544.02G-CHISR02A - MSW  

 

        (f)   the existence of, and the performance by any Company of its obligations under  the  terms  of,  any  limited  liability  company,  limited  partnership  or  other  Organizational  Document or securityholders agreement (including any registration rights agreement or purchase  agreement  related  thereto)  to  which  it  is  a  party  on  the  Effective  Date  and  which  has  been  disclosed in writing to the Administrative Agent as in effect on the Effective Date, and similar  agreements that it may enter into thereafter, to the extent not more adverse to the interests of the  Lenders  in  any  material  respect,  when  taken  as  a  whole,  than  any  of  such  documents  and  agreements as in effect on the Effective Date;          (g)   the Transactions as contemplated by the Loan Documents;         (h)   Qualified  Securitization  Transactions  permitted  under  Section  6.01(e)  and  transactions in connection therewith on a basis no less favorable to the applicable Company as  would  be  obtained  in  a  comparable  arm’s  length  transaction  with  a  person  not  an  Affiliate  thereof;         (i)   cash  management  netting  and  pooled  account  arrangements  permitted  under  Section 6.01(r);          (j)   transactions between or among any Companies that are not Loan Parties;          (k)   transactions pursuant to a management agreement with the Specified Holders so  long  as  the  aggregate  payment  of  Management  Fees  thereunder  are  permitted  under  Section 6.08(c);          (l)   transactions between Loan Parties and Companies that are not Loan Parties that  are at least as favorable to each such Loan Party as would reasonably be obtained by such Loan  Party in a comparable arm’s-length transaction with a person other than an Affiliate; and         (m)   transactions contemplated by the Receivables Purchase Agreements;   provided that notwithstanding any of the foregoing or any other provision of this Agreement, all  intercompany loans, advances or other extensions of credit made to or by Companies organized  in Switzerland or Germany shall be on fair market terms.   Section 6.10 Most Favored Nation. If at any time, any Loan Party is a party to or shall enter  into any Third Lien Credit Agreement which includes covenants (whether affirmative or negative,  and whether maintenance or incurrence) or events of default that are more restrictive than those  contained  in  this  Agreement  or  are  not  provided  for  in  this  Agreement  (each  such  covenant,  condition, requirement and default or event of default herein referred to as a “More Favorable  Provision”),  then  the  Designated  Company  shall  promptly  so  advise  and  notify  the                                        183  1120544.02G-CHISR02A - MSW  

 

    Administrative Agent in writing. Such writing shall include a verbatim statement of such More   Favorable  Provision.  Such  More  Favorable  Provision  shall  be  automatically  incorporated  by  reference into this Agreement as if set forth fully herein, mutatis mutandis, effective as of the  date  when  such  More  Favorable  Provision  became  effective  under such  Third  Lien  Credit  Agreement (each such More Favorable Provision as incorporated herein is herein referred to as  an  “Incorporated  Provision”).  Thereafter,  upon  the  request  of  the  Administrative  Agent,  the   Designated Company and the Administrative Agent shall enter into an additional agreement or   an  amendment  to  this  Agreement  (as  the  Administrative  Agent  may  request),  evidencing  the   incorporation of such Incorporated Provision.    Section 6.11 Prepayments  of  Other  Indebtedness;  Modifications  of  Organizational   Documents and Other Documents, etc. Directly or indirectly:          (a)   [intentionally omitted];          (b)   amend or modify, or permit the amendment or modification of, any provision of   any Secured Term Loan Document (or any Permitted Secured Term Loan Facility Refinancings   thereof) if such amendment or modification would (i) cause such Indebtedness to mature or have   scheduled amortization or payments of principal or require mandatory redemption or prepayment   (excluding the effects of nominal amortization in the amount of no greater than one percent per   annum and prepayments of Indebtedness), in each case prior to the date that is 181 days after the   Maturity Date, or (ii) result in the persons that are (or are required to be) obligors under such   Indebtedness to be different from the persons that are (or are required to be) obligors under such   Indebtedness being so amended or modified (unless such persons required to be obligors under   such Indebtedness are or are required to be or become obligors under the Loan Documents); and   provided  that  prior  to  the  effectiveness  of  such  amendment  or  modification,  a  Responsible   Officer  of  the  Designated  Company shall  have  delivered  an  Officer’s  Certificate  to  the   Administrative Agent (together with a reasonably detailed description of the material terms and   conditions of such amendment or modification or drafts of the documentation relating thereto)   certifying  that  the  Designated  Company  has  determined  in  good  faith that such terms and   conditions satisfy the foregoing requirements;           (c)   amend or modify, or permit the amendment or modification of, any provision of   any  document  governing  any  Material  Indebtedness  (other  than  Indebtedness  under  the  Loan   Documents,  Revolving  Credit  Loan  Documents  (or  any  Permitted  Revolving  Credit  Facility   Refinancings thereof), or Secured Term Loan Documents (or any Permitted Secured Term Loan   Facility Refinancings thereof)) in any manner that, taken as a whole, is adverse in any material   respect to the interests of the Lenders;           (d)   amend or modify, or permit the amendment or modification of, any provision of   any document governing any Indebtedness under the Revolving Credit Loan Documents (or any   Permitted  Revolving  Credit  Facility  Refinancings  thereof)  if  such  amendment  or  modification   would  (i)  cause  the  aggregate  principal  amount  (or  accreted  value,  if  applicable)  of  all  such   Indebtedness, after giving effect to such amendment or modification, to at any time exceed the                                         184   1120544.02G-CHISR02A - MSW  

 

  Maximum  Revolving  Credit  Facility  Amount,  (ii)  cause  such  Indebtedness  to  have  a  final  maturity date earlier than the final maturity date of such Indebtedness immediately prior to such  amendment or modification or (iii) result in the persons that are (or are required to be) obligors  under such Indebtedness to be different from the persons that are (or are required to be) obligors  under  such  Indebtedness  being  so  amended  or  modified  (unless  such  persons  required  to  be  obligors under such Indebtedness are or are required to be or become obligors under the Loan  Documents); or         (e)   terminate, amend or modify any of its Organizational Documents (including by  the  filing  or  modification  of  any certificate  of  designation)  or  any  agreement  to  which  it  is  a  party with respect to its Equity Interests (including any stockholders’ agreement), or enter into  any  new  agreement  with  respect  to  its  Equity  Interests,  other  than  any  such  amendments  or  modifications  or  such  new  agreements  which  are  not  adverse  in  any  material  respect  to  the  interests of the Lenders.   Section 6.12 Limitation  on  Certain  Restrictions  on  Restricted  Subsidiaries.  Directly  or  indirectly, create or otherwise cause or suffer to exist or become effective any encumbrance or  restriction  on  the  ability  of  any  Restricted  Subsidiary  of  the Designated  Company  to  (a) pay  dividends  or  make  any  other  distributions  on  its  Equity  Interests  or  any  other  interest  or  participation in its profits owned by the Designated Company or any Restricted Subsidiary of the  Designated Company, or pay any Indebtedness owed to the Designated Company or a Restricted  Subsidiary of the Designated Company, (b) make loans or advances to the Designated Company  or any Restricted Subsidiary of the Designated Company or (c) transfer any of its properties to  the Designated Company or any Restricted Subsidiary of the Designated Company, except for  such encumbrances or restrictions existing under or by reason of (i) applicable Requirements of  Law; (ii) this Agreement and the other Loan Documents; (iii) the Senior Note Documents and  the Revolving Credit Loan Documents, the Secured Term Loan Documents, or other Material  Indebtedness; provided that in the case of such other Material Indebtedness, such encumbrances  and  restrictions  are,  taken  as  a  whole,  no  more  restrictive  than  such  encumbrances  and  restrictions in the Loan Documents in existence on the Effective Date (excluding, in the case of  secured  Indebtedness,  terms  related  to  collateral  and  perfection);  (iv)  any  agreement  or  instrument evidencing or governing any Indebtedness permitted pursuant to Sections 6.01(e), (m)  or (to the extent used to finance working capital) (y), in each case to the extent, in the good faith  judgment of the Designated Company, such restrictions and conditions are on customary market  terms for Indebtedness of such type and so long as the Designated Company has determined in  good  faith  that  such  restrictions  would  not  reasonably  be  expected  to  impair  in  any  material  respect  the  ability  of  the  Loan  Parties  to  meet  their  obligations  under  the  Loan  Documents;  (v) customary provisions restricting subletting or assignment of any lease governing a leasehold  interest  of  a  Company;  (vi) customary  provisions  restricting  assignment  of  any  agreement  entered into by a Restricted Subsidiary of the Designated Company; (vii) any holder of a Lien  permitted by Section 6.02 restricting the transfer of the property subject thereto; (viii) customary  restrictions  and  conditions  contained  in  any  agreement  relating  to  the  sale  of  any  property  permitted  under  Section  6.06  pending  the  consummation  of  such  sale;  (ix) any  agreement  in  effect at the time such Restricted Subsidiary of the Designated Company becomes a Restricted  Subsidiary  of  the  Designated  Company,  so  long  as  such  agreement  was  not  entered  into  in  connection  with  or  in  contemplation  of  such  person  becoming  a  Restricted  Subsidiary  of  the                                        185  1120544.02G-CHISR02A - MSW  

 

    Designated  Company;  (x)  without  affecting  the  Loan  Parties’  obligations  under  Section  5.11,   customary  provisions  in  partnership  agreements,  shareholders’  agreements,  joint  venture  agreements,  limited  liability  company  organizational  governance  documents  and  other  Organizational Documents, entered into in the ordinary course of business (or in connection with   the formation of such partnership, joint venture, limited liability company or similar person) that   (A)  restrict  the  transfer  of  Equity  Interests  in  such  partnership,  joint  venture,  limited  liability   company or similar person or (B) the case of any Joint Venture or Joint Venture Subsidiary that   is not a Loan Party, provide for other restrictions of the type described in clauses (a), (b) and (c)   above, solely with respect to the Equity Interests in, or property held in, such joint venture, and   customary  provisions  in  asset  sale  and  stock  sale  agreements  and  other  similar  agreements   permitted hereunder that provide for restrictions of the type described in clauses (a), (b) and (c)   above,  solely  with  respect  to  the  assets  or  persons  subject  to such  sale  agreements;  (xi)   restrictions  on  cash  or  other  deposits  or  net  worth  imposed  by suppliers  or  landlords  under   contracts  entered  into  in  the  ordinary  course  of  business;  (xii)  any  instrument  governing  Indebtedness  assumed  in  connection  with  any  Permitted  Acquisition  or  other  Acquisition  permitted pursuant to Section 6.04 hereof, which encumbrance or restriction is not applicable to   any person, or the properties or assets of any person, other than the person or the properties or   assets  of  the  person  so  acquired;  (xiii) any  encumbrances  or  restrictions  imposed  by  any   amendments  or  refinancings  that  are  otherwise  not  prohibited  by  the  Loan  Documents  of  the   contracts, instruments or obligations referred to in clauses (iii), (ix) or (x) above; provided that   such  amendments  or  refinancings  are  no  more  materially  restrictive  with  respect  to  such   encumbrances  and  restrictions  than  those  prior  to  such  amendment  or  refinancing;  (xiv)  any   restrictions on transfer of the Equity Interests in NKL or its direct parents, 4260848 Canada Inc.,   4260856 Canada Inc. and 8018227 Canada Inc., imposed by any lock-up or listing agreement,   rule or regulation in connection with any listing or offering of Equity Interests in NKL to the  extent required by applicable Requirements of Law or listing or stock exchange requirements; or   (xv) customary credit event upon merger provisions in Hedging Agreements.    Section 6.13 Issuance  of  Disqualified  Capital  Stock.  Issue  any  Disqualified  Capital  Stock   except  (i)  Joint  Venture  Subsidiaries  and  Excluded  Guarantor  Subsidiaries  may  issue   Disqualified Capital Stock pursuant to Section 6.06(l) and (ii) issuances of Disqualified Capital   Stock under Section 6.04(i) shall be permitted.    Section 6.14 Senior  Secured  Net  Leverage  Ratio. Permit the Senior Secured Net Leverage   Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company   then  last  ended  (in  each  case taken  as  one  accounting  period), beginning  with  the  four  fiscal   quarter period ending December 31, 2018, to be greater than 3.50 to 1.00.    Section 6.15 Business.          (a)   Each of Holdings and Novelis Europe Holdings Limited shall not engage in any   business or activity other than (i) holding the Equity Interests of its Subsidiaries (which, in the   case of Holdings, shall be limited to (x) the Designated Company and, (y) solely to the extent   that the transaction described in clause (c) of the definition of Permitted Reorganization Actions   is  consummated  in  accordance  with  the  terms  of  this  Agreement, no  more  than  12.5%  of  the   aggregate amount of Equity Interests issued by Novelis Aluminium Holdings Unlimited plus one                                         186   1120544.02G-CHISR02A - MSW  

 

    additional share of such Equity Interests), (ii) making intercompany loans to (w) in the case of   Novelis  Europe  Holdings  Limited, pursuant  to  a  transaction  permitted  under  Section  6.04(i),   (x) the  Parent,  (y) on  and  after  the  Designated  Holdco  Effective  Date,  Designated  Holdco  or   (z) any  of  its  Subsidiaries  to  the  extent  made  pursuant  to  any transaction  consummated  in   accordance with the definition of Permitted Aleris Foreign Subsidiary Transfer, (iii) borrowing   intercompany loans from a Company (x) in the case of AV Minerals, pursuant to a transaction   permitted under clause (c) of the definition of Permitted Reorganization Actions and (y) in the   case  of  Novelis  Europe  Holdings  Limited,  pursuant  to  a  transaction  permitted  under   Section 6.01(d)  or  clause  (h)  of  the  definition  of  Permitted  Reorganization  Actions,  (iv)  other   activities  attributable  to  or  ancillary  to  its  role  as  a  holding  company  for  its  Subsidiaries,   (v) compliance with its obligations under the Loan Documents, the Revolving Loan Documents   (and any Permitted Revolving Credit Refinancings thereof), the Term Loan Documents (and any   Permitted Secured Term Loan Facility Refinancings thereof), the Senior Note Documents (and   any  Permitted  Refinancings  thereof),  the  Additional  Senior  Secured  Indebtedness  Documents,   and documents relating to Permitted First Priority Refinancing Indebtedness, Permitted Second   Priority  Refinancing  Indebtedness,  Permitted  Unsecured  Refinancing  Indebtedness,  and   Indebtedness under Section 6.01(l), and (vi) issuing its Equity Interests pursuant to transactions   that  (x)  do  not  violate  any  Requirement  of  Law  or  its  Organizational  Documents,  (y)  do  not   result in a Change of Control, and (z) are not otherwise prohibited by this Agreement.         (b)   The Designated Company and its Restricted Subsidiaries will not engage (directly  or indirectly) in any business other than a Similar Business.         (c)   The Designated Company will not permit any Securitization Entity that it controls   to  engage  in  any  business  or  activity  other  than  performing  its  obligations  under  the  related   Qualified Securitization Transaction and will not permit any Securitization Entity that it controls   to hold any assets other than the Securitization Assets.    Section 6.16 Limitation on Accounting Changes. Make or permit any change in accounting   policies or reporting practices or tax reporting treatment, except changes that are permitted by   GAAP  or  any  Requirement  of  Law  and  disclosed  to  the  Administrative  Agent  and  changes   described in Section 1.04.    Section 6.17 Fiscal Year. Change its fiscal year-end to a date other than March 31; provided   that, upon at least 15 Business Days’ prior written notice to the Administrative Agent (or such   shorter  period  as  may  be  determined  by  the  Administrative  Agent),  each  of  Holdings  and  its   Subsidiaries shall be permitted to change its fiscal year-end to December 31 at any time on or   after the date that Hindalco changes its fiscal year-end to December 31.    Section 6.18 Margin Rules. Use the proceeds of any Loans, whether directly or indirectly, and   whether immediately, incidentally or ultimately, to purchase or carry margin stock (within the   meaning of Regulation U) or to extend credit to others for the purpose of purchasing or carrying   margin stock or to refund indebtedness originally incurred for such purpose.    Section 6.19 No  Further  Negative  Pledge.  Enter  into  or  suffer  to  exist  any  consensual   agreement, instrument, deed or lease which prohibits or limits the ability of any Loan Party to                                         187   1120544.02G-CHISR02A - MSW  

 

    create,  incur,  assume  or  suffer to  exist  any  Lien  upon  any  of  their  respective  properties  or   revenues, whether now owned or hereafter acquired, or which requires the grant of any security   for  an  obligation,  except  the  following:  (1) this  Agreement  and  the  other  Loan  Documents;   (2) covenants in documents creating Liens permitted by Section 6.02 prohibiting further Liens on   the properties encumbered thereby; (3) the Revolving Credit Loan Documents, (4) the Secured   Term  Loan  Documents,  and  the  loan  documents,  indentures,  notes and  other  agreements  in   respect of Indebtedness permitted under Section 6.01; and (5) Standard Factoring Undertakings   and  Standard  Securitization  Undertakings  in  connection  with  transactions  otherwise  permitted   hereunder  and  (6) any  prohibition  or  limitation  that  (a) exists  pursuant  to  applicable   Requirements  of  Law,  (b) consists  of  customary  restrictions  and  conditions  contained  in  any   agreement  relating  to  the  sale  of  any  property  permitted  under Section  6.06  pending  the   consummation  of  such  sale,  (c) restricts  subletting  or  assignment  of  any  lease  governing  a   leasehold interest of a Loan Party or a Subsidiary or restricts assignment, pursuant to customary   provisions,  of  any  other  agreement  entered  into  in  the  ordinary  course  of  business,  (d)  is   permitted  under  Section  6.02(s),  (e)  exists  in  any  agreement  or  other  instrument  of  a  person   acquired in an Investment permitted hereunder in existence at the time of such Investment (but   not created in connection therewith or in contemplation thereof), which prohibition or limitation   is not applicable to any person, or the properties or assets of any person, other than the person, or   the property or assets of the person so acquired, (f) is contained in any joint venture, shareholders   agreement, limited liability operating agreement or other Organizational Document governing a   Joint Venture or Joint Venture Subsidiary which limits the ability of an owner of an interest in a   Joint Venture or Joint Venture Subsidiary from encumbering its ownership interest therein or (g)   is  imposed  by  any  amendments  or  refinancings  that  are  otherwise  permitted  by  the  Loan   Documents  of  the  contracts,  instruments  or  obligations  referred to in clause (3), (5) or (6)(e);   provided that such amendments and refinancings are no more materially restrictive with respect   to such prohibitions and limitations than those prior to such amendment or refinancing.    Section 6.20 Anti-Terrorism Law; Anti-Money Laundering.          (a)   Directly or indirectly, (i) conduct any business or engage in making or receiving  any contribution of funds, goods or services to or for the benefit of any person described in any  of clauses (i), (ii), (iii), (iv) or (v) of the second paragraph of Section 3.22 in a manner violative   of any applicable Sanctions or Anti-Terrorism Law, (ii) knowingly deal in, or otherwise engage   in  any  transaction  relating  to,  any  property  or  interests  in  property  blocked  pursuant  to  the   Executive Order or any other Anti-Terrorism Law, or (iii) knowingly engage in or conspire to   engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or   attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law (and the Loan   Parties shall deliver to the Lenders any certification or other evidence requested from time to   time by any Lender in its reasonable discretion, confirming the Loan Parties’ compliance with   this Section 6.20).          (b)   Cause or permit any of the funds of such Loan Party that are used to repay the  Loans  to  be  derived  from  any  unlawful  activity  with  the  result that  the  making  of  the  Loans  would be in violation of any Requirement of Law.                                          188   1120544.02G-CHISR02A - MSW  

 

    Section 6.21 Embargoed  Persons.  Cause  or  permit  (a) any of  the  funds  or  properties  of  the   Loan Parties that are used to repay the Loans to constitute property of, or be beneficially owned   directly or indirectly by, any person subject to sanctions or trade restrictions under United States   law  (“Embargoed  Person”  or  “Embargoed  Persons”)  that  is  identified  on  (1) the  “List  of   Specially Designated Nationals and Blocked Persons” maintained by OFAC and/or on any other   similar list maintained by OFAC pursuant to any authorizing statute including, but not limited to,   the International Emergency Economic Powers Act, 50 U.S.C. §§ 1701 et seq., The Trading with   the  Enemy  Act,  50  U.S.C.  App.  1 et seq.,  and  any  Executive  Order  or  Requirement  of  Law   promulgated thereunder, with the result that the investment in the Loan Parties (whether directly   or indirectly) is prohibited by a Requirement of Law, or the Loans made by the Lenders would   be  in  violation  of  a  Requirement  of  Law,  or  (2) the  Executive  Order,  any  related  enabling   legislation or any other similar Executive Orders or (b) any Embargoed Person to have any direct   or  indirect  interest,  of  any  nature  whatsoever  in  the  Loan  Parties,  with  the  result  that  the   investment in the Loan Parties (whether directly or indirectly) is prohibited by a Requirement of   Law or the Loans are in violation of a Requirement of Law.                                    ARTICLE VII                                                                             GUARANTEE    Section 7.01 The  Guarantee.  The  Guarantors  hereby  jointly  and  severally  guarantee,  as  a   primary  obligor  and  not  as  a  surety  to  each  Credit  Party  and  their  respective  successors  and   permitted assigns, the prompt payment in full when due (whether at stated maturity, by required   prepayment, declaration, demand, by acceleration or otherwise) of the principal of and interest   (including any interest, fees, costs or charges that would accrue after the commencement of a   case  under  Title  11  of  the  United  States  Code  or  any  other  Debtor  Relief  Law  or  after  any   bankruptcy or insolvency petition is filed under Title 11 of the United States Code (or any other   Debtor Relief Law) but for the provisions of the Title 11 of the United States Code (or other   Debtor Relief Law) or that accrues after the commencement of a case  under  Title  11  of  the   United  States  Code  or  any  other  Debtor  Relief  Law  or  after  any bankruptcy  or  insolvency   petition  is  filed  under  Title  11  of  the  United  States  Code  (or any  other  Debtor  Relief  Law),   whether  or  not  allowed)  on  the  Loans  made  by  the  Lenders  to,  and  the  Notes  held  by  each   Lender of, the Borrower, and all other Obligations from time to time owing to the Credit Parties   by any Loan Party under any Loan Document, and the performance of all obligations under any  of  the  foregoing,  in  each  case  strictly  in  accordance  with  the terms  thereof  (such  obligations  being  herein  collectively  called  the  “Guaranteed  Obligations”).  In  addition  to  the  guarantee  contained herein, each Guarantor that is a Foreign Subsidiary, as well as Holdings, shall execute  a Guarantee governed by the applicable law of such Person’s jurisdiction of organization (each  such Guarantee, a “Foreign Guarantee”) and to the extent that the provisions of this Article VII   shall duplicate or conflict with the provisions thereof, the terms of the Foreign Guarantees shall   govern  the  obligations  of  such  Guarantors.  The  Guarantors  hereby  jointly  and  severally  agree   that  if  the  Borrower  or  other  Guarantor  shall  fail  to  pay  in  full  when  due  (whether  at  stated   maturity, by acceleration or otherwise) any of the Guaranteed Obligations, the Guarantors will   promptly  pay  the  same  in  cash,  without  any  demand  or  notice  whatsoever  as  if  it  was  the   principal obligor, and that in the case of any extension of time of payment or renewal of any of   the  Guaranteed  Obligations,  the  same  will  be  promptly  paid  in  full  when  due  (whether  at                                         189   1120544.02G-CHISR02A - MSW  

 

    extended maturity, by acceleration or otherwise) in accordance with the terms of such extension   or renewal. Without prejudice to the generality of Section 7.01 and Section 7.02, each Guarantor   expressly  confirms  that  it  intends  that  this  guarantee  shall  extend  from  time  to  time  to  any   (however  fundamental  and  of  whatsoever  nature  and  whether  or  not  more  onerous)  variation,   increase, extension or addition of or to any of the Loan Documents and/or any facility or amount   made available under any of the Loan Documents for the purposes of or in connection with any  of  the  following:  acquisitions  of  any  nature;  increasing  working  capital;  enabling  investor  distributions or Dividends to be made; carrying out restructurings; refinancing existing facilities;   refinancing  any  other  indebtedness;  making  facilities  available  to  new  borrowers;  any  other   variation  or  extension  of  the  purposes  for  which  any  such  facility  or  amount  might  be  made   available  from  time  to  time;  and  any  fees,  costs  and/or  expenses  associated  with  any  of  the   foregoing.     Section 7.02 Obligations Unconditional. The obligations of the Guarantors and the Borrower   under Section 7.01 shall constitute a guaranty of payment and not of collection and to the fullest   extent permitted by applicable Requirements of Law, are absolute, irrevocable and unconditional,   joint and several, irrespective of the value, genuineness, validity, regularity or enforceability of   the Guaranteed Obligations of the Borrower or any other Loan Party under this Agreement, the   Notes,  if  any,  or  any  other  agreement  or  instrument  referred  to  herein  or  therein,  or  any   substitution, release or exchange of any other guarantee of or security for any of the Guaranteed   Obligations,  and,  irrespective  of  any  other  circumstance  whatsoever  that  might  otherwise   constitute a legal or equitable discharge or defense of a surety or Guarantor or Borrower (except   for  payment  in  full).  Without  limiting  the  generality  of  the  foregoing,  it  is  agreed  that  the   occurrence  of  any  one  or  more  of  the  following  shall  not  alter or  impair  the  liability  of  the   Guarantors hereunder which shall remain absolute, irrevocable and unconditional under any and   all circumstances as described above:                                (i)     at any time or from time to time, without notice to                   the Guarantors, the time for any performance of or compliance with any of                   the  Guaranteed  Obligations  shall  be  extended,  or  such  performance  or                   compliance  shall  be  waived  or  the  Maturity  Date  shall  be  extended  with                   respect to all or a portion of the Guaranteed Obligations;                                (ii)    any of the acts mentioned in any of the provisions                   of this Agreement or the Notes, if any, or any other agreement or instrument                   referred to herein or therein shall be done or omitted;                                (iii)   the  maturity  of  any  of  the  Guaranteed  Obligations                   shall be accelerated, or any of the Guaranteed Obligations shall be amended                   in  any  respect,  or  any  right  under  the  Loan  Documents  or  any  other                   agreement or instrument referred to herein or therein shall be amended or                   waived  in  any  respect  or  any  other  guarantee  of  any  of  the  Guaranteed                   Obligations or any security therefor shall be released or exchanged in whole                   or in part or otherwise dealt with;                                         190   1120544.02G-CHISR02A - MSW  

 

                                (iv)    any Lien or security interest granted to, or in favor                   of,  any  Lender  or  the  Administrative  Agent  as  security  for  any of  the                   Guaranteed Obligations shall fail to be perfected; or                                (v)     the  release  of  any  other  Guarantor  pursuant  to                   Section 7.09.          The  Guarantors  and  the  Borrower  hereby  expressly  waive  diligence,  presentment,   demand  of  payment,  protest  and  all  notices  whatsoever,  and  any requirement  that  any  Credit   Party exhaust any right, power or remedy or proceed against the Borrower or any other Loan   Party under this Agreement or the Notes, if any, or any other agreement or instrument referred to   herein or therein, or against any other person under any other guarantee of, or security for, any of   the Guaranteed Obligations. The Guarantors and the Borrower waive any and all notice of the   creation, renewal, extension, waiver, termination or accrual of any of the Guaranteed Obligations   and notice of or proof of reliance by any Credit Party upon this Guarantee or acceptance of this   Guarantee, and the Guaranteed Obligations, and any of them, shall conclusively be deemed to   have  been  created,  contracted  or  incurred  in  reliance  upon  this  Guarantee,  and  all  dealings   between the Borrower and the Credit Parties shall likewise be conclusively  presumed  to  have   been had or consummated in reliance upon this Guarantee. This Guarantee shall be construed as   a continuing, absolute, irrevocable and unconditional guarantee of payment without regard to any   right of offset with respect to the Guaranteed Obligations at any time or from time to time held   by  Credit  Parties,  and  the  obligations  and  liabilities  of  the  Guarantors  and  the  Borrower   hereunder shall not be conditioned or contingent upon the pursuit by the Credit Parties or any   other person at any time of any right or remedy against the Borrower or any other Loan Party, or   against  any  other  person  which  may  be  or  become  liable  in  respect  of  all  or  any  part  of  the   Guaranteed Obligations or against any collateral security or guarantee therefor or right of offset  with  respect  thereto.  This  Guarantee  shall  remain  in  full  force  and  effect  and  be  binding  in  accordance with and to the extent of its terms upon the Guarantors and the Borrower and the  respective successors and assigns thereof, and shall inure to the benefit of the Lenders and the  other Credit Parties, and their respective successors and assigns, notwithstanding that from time  to time during the term of this Agreement there may be no Guaranteed Obligations outstanding.   Section 7.03 Reinstatement. The obligations of the Guarantors under this ARTICLE VII shall   be automatically reinstated if and to the extent that for any reason any payment by or on behalf   of  the  Borrower  or  other  Loan  Party  in  respect  of  the  Guaranteed  Obligations  is  rescinded  or   must be otherwise restored by any holder of any of the Guaranteed Obligations, whether as a   result of any proceedings in bankruptcy or reorganization pursuant to any Debtor Relief Law or   otherwise. The Guarantors and the Borrower jointly and severally agree that they will indemnify   each Credit Party on demand for all reasonable costs and expenses (including reasonable fees of   counsel)  incurred  by  such  Credit  Party  in  connection  with  such rescission  or  restoration,   including any such costs and expenses incurred in defending against any claim alleging that such   payment constituted a preference, fraudulent transfer or similar payment under any Debtor Relief   Law, other than any costs or expenses determined by a court of competent jurisdiction by final   and nonappealable judgment to have resulted from the bad faith or willful misconduct of such  Credit Party.                                         191   1120544.02G-CHISR02A - MSW  

 

    Section 7.04 Subrogation;  Subordination.  Each  Guarantor  and  the  Borrower  hereby  agrees   that until the indefeasible and irrevocable payment and satisfaction  in  full  in  cash  of  all   Guaranteed Obligations and the expiration and termination of the Commitments of the Lenders   under this Agreement it shall waive any claim and shall not exercise any right or remedy, direct   or indirect, arising by reason of any performance by it of its guarantee in Section 7.01, whether   by subrogation or otherwise, against Borrower or any other Guarantor of any of the Guaranteed   Obligations  or  any  security  for  any  of  the  Guaranteed  Obligations.  Any  Indebtedness  of  any   Loan  Party  permitted  pursuant  to  Section  6.01(d)  shall  be  subordinated  to  such  Loan  Party’s   Obligations in a manner reasonably satisfactory to the Administrative Agent.    Section 7.05 Remedies.  The  Guarantors  jointly  and  severally  agree  that,  as  between  the   Guarantors and the Lenders, the obligations of the Borrower under this Agreement and the Notes,   if any, may be declared to be forthwith due and payable as provided in Section 8.01 (and shall be   deemed  to  have  become  automatically  due  and  payable  in  the  circumstances  provided  in   Section 8.01)  for  purposes  of  Section  7.01,  notwithstanding  any  stay,  injunction  or  other   prohibition preventing such declaration  (or  such  obligations  from becoming automatically due   and  payable)  as  against  the  Borrower  and  that,  in  the  event  of such  declaration  (or  such   obligations  being  deemed  to  have  become  automatically  due  and  payable),  such  obligations   (whether or not due and payable by the Borrower) shall forthwith become due and payable by the  Guarantors for purposes of Section 7.01.    Section 7.06 Instrument  for  the  Payment  of  Money.  Each  Guarantor  and  the  Borrower   hereby acknowledges that the guarantee in this ARTICLE VII constitutes an instrument for the   payment of money, and consents and agrees that any Lender or the Administrative Agent, at its   sole  option,  in  the  event  of  a  dispute  by  such  Guarantor  in  the  payment  of  any  moneys  due   hereunder, shall have the right to bring a motion-action under New York CPLR Section 3213.   Section 7.07 Continuing  Guarantee.  The  guarantee  in  this  ARTICLE  VII  is  a  continuing   guarantee of payment, and shall apply to all Guaranteed Obligations whenever arising.    Section 7.08 General  Limitation  on  Guarantee  Obligations.  In  any  action  or  proceeding   involving any state corporate limited partnership or limited liability company law, or any Debtor   Relief  Law,  if  the  obligations  of  any  Guarantor  or  the  Borrower  under  Section  7.01  would   otherwise be held or determined to be void, voidable, invalid or unenforceable, or subordinated   to the claims of any other creditors, on account of the amount of its liability under Section 7.01,   then,  notwithstanding  any  other provision  to  the  contrary,  the amount  of  such  liability  shall,   without  any  further  action  by  such  Guarantor,  any  Loan  Party  or  any  other  person,  be   automatically  limited  and  reduced  to  the  highest  amount  (after giving  effect  to  the  rights  of   contribution established in the Contribution, Intercompany, Contracting and Offset Agreement)   that are valid and enforceable and not subordinated to the claims of other creditors as determined   in such action or proceeding.    Section 7.09 Release  of  Guarantors. If, in compliance with the terms and provisions of the   Loan Documents, (a) Equity Interests of any Subsidiary Guarantor are issued, sold or transferred   (including  pursuant  to  a  merger,  consolidation  or  amalgamation)  such  that  it  ceases  to  be  a   Restricted Subsidiary (a “Transferred Guarantor”) to a person or persons, none of which is a   Loan  Party  or  a  Subsidiary,  (b)  a  Guarantor  is  designated  as  an  Unrestricted  Subsidiary  in                                         192   1120544.02G-CHISR02A - MSW  

 

    accordance  with  the  Loan  Documents,  (c)  a  Restricted  Subsidiary  that  becomes  a  Loan  Party   after  the  Effective  Date  is  subsequently  designated  as  an  Excluded  Guarantor  Subsidiary  in   accordance  with  the  definition  thereof,  (d)  a  Qualified  Parent IPO,  or  (e)  a  Qualified  IPO  by   Designated Holdco shall occur, then, such Transferred Guarantor (in the case of clause (a)), such   Unrestricted  Subsidiary  (in  the  case  of  clause  (b)),  such  Restricted  Subsidiary  (in  the  case  of   clause (c)), Holdings (in the case of clause (d)), or, on and after the Designated Holdco Effective   Date, Holdings (in the case of clause (e)), shall, upon the consummation of such issuance, sale or   transfer  or  upon  such  designation  as  an  Unrestricted  Subsidiary  or  Excluded  Guarantor   Subsidiary  or  upon  the  consummation  of  the  Qualified  Parent  IPO  or  a  Qualified  IPO  by   Designated  Holdco,  be  released  from  its  obligations  under  this Agreement  (including  under   Section  11.03  hereof)  and  any  other  Loan  Documents  to  which  it is  a  party,  and  the   Administrative  Agent  shall  take  such  actions  as  are  within  its powers  to  effect  each  release  described in this Section 7.09 in accordance with the relevant provisions of the Loan Documents;   provided  that  such  Guarantor  is  also  released  from  its  obligations,  if  any,  under  the  Secured   Term Loan Documents, the Revolving Credit Loan Documents, the Senior Note Documents, the   Additional Senior Secured Indebtedness Documents and other Material Indebtedness guaranteed  by such Person on the same terms.    Section 7.10 Certain Tax Matters. Notwithstanding the provisions of Section 2.15 if a Loan   Party (other than the Borrower) makes a payment hereunder that is subject to withholding tax in   excess of the highest withholding tax that would have been imposed on payments made by any   of the Borrower with respect to whose obligation it is making a payment, the relevant Loan Party   shall increase the amount of such payment such that, after deduction and payment of all such   withholding taxes (including withholding taxes applicable to additional sums payable under this   Section), the payee receives an amount equal to the amount it would have received if no such   excess  withholding  tax  had  been imposed;  provided  that  the  Administrative  Agent  or  Lender   provides,  as  reasonably  requested  by  the  relevant  Loan  Party  and  as  required  under   Sections 2.15(e) or 2.15(h), as the case may be, such forms, certificates and documentation that   would be required to reduce or eliminate withholding and, with respect to non-U.S. withholding   taxes, would not, in the Administrative Agent’s or the relevant Lender’s reasonable judgment,   subject  it  to  any  material  unreimbursed  costs  or  materially  prejudice  its  legal  or  commercial   position; provided, however, that no payment shall be made under this Section 7.10 with respect   to any withholding tax that is not an Indemnified Tax.    Section 7.11 German Guarantor.          (a)   Subject to Section 7.11(b) through Section 7.11(e) below, the Credit Parties shall   not enforce the guarantee obligations of a German Guarantor existing in the form of a German   limited liability company (Gesellschaft mit beschränkter Haftung; GmbH) or limited partnership   with a limited liability company as partner (GmbH or GmbH & Co. KG) under this Article VII to   the extent (i) such German Guarantor guarantees obligations of one of its shareholders or of an  affiliated company (verbundenes Unternehmen) of a shareholder within the meaning of Section  15 of the German Stock Corporation Act (Aktiengesetz) (other than a Subsidiary of that German  Guarantor  or  the  German  Guarantor  itself),  and  (ii)  the  enforcement  of  such  guarantee  for  shareholder obligations would reduce, in violation of Section 30 of the German Limited Liability   Companies Act (Gesetz betreffend die Gesellschaften mit beschränkter Haftung – “GmbHG”),                                         193   1120544.02G-CHISR02A - MSW  

 

    the net assets (assets minus liabilities minus provisions and liability reserves (Reinvermögen), in   each case as calculated in accordance with generally accepted accounting principles in Germany   (Grundsätze ordnungsmäßiger Buchführung) as consistently applied by such German Guarantor   in  preparing  its  unconsolidated  balance  sheets  (Jahresabschluss gem. section 42 GmbHG,  sections 242, 264 German Commercial Code (Handelsgesetzbuch – HGB))  of  the  German  Guarantor  (or  in  the  case  of  a GmbH & Co. KG,  its  general  partner) to  an  amount  that  is  insufficient to maintain its (or in the case of a GmbH & Co. KG, its general partner’s) registered  share capital (Stammkapital) (or would increase an existing shortage in its net assets below its  registered  share  capital);  provided  that  for  the  purpose  of  determining  the  relevant  registered   share capital and the net assets, as the case may be:                                (i)     The  amount  of  any  increase  of  registered  share                   capital (Stammkapital) of such German Guarantor (or its general partner in                   the form of a GmbH) implemented after the Effective Date that is effected                   without  the  prior  written  consent of  the  Administrative  Agent  shall  be                   deducted from the registered share capital of the German Guarantor (or its                   general partner in the form of a GmbH);                                (ii)    any  loans  provided  to  the  German  Guarantor  by  a                   direct or indirect shareholder or an affiliate thereof (other than a Subsidiary                   of such German Guarantor) shall be disregarded and not accounted for as a                   liability to the extent that such loans are subordinated pursuant to Section                   39(1)  no.  1  through  no.  5  of  the  German  Insolvency  Code                   (Insolvenzordnung) or subordinated in any other way by law or contract;                                (iii)   any  shareholder  loans,  other  loans  and  contractual                   obligations and liabilities incurred by the German Guarantor in violation of                   the provisions of any of the Loan Documents shall be disregarded and not                   accounted for as liabilities;                                (iv)    any assets that are shown in the balance sheet with a                   book value that, in the opinion of the Administrative Agent, is significantly                   lower than their market value and that are not necessary for the business of                   the  German  Guarantor  (nicht betriebsnotwendig)  shall  be  accounted  for                   with their market value; and                                (v)     the assets of the German Guarantor will be assessed                   at  liquidation  values  (Liquidationswerte)  if,  at  the  time  the  managing                   directors prepare the balance sheet in accordance with paragraph (b) below                   and  absent  the  demand  a  positive  going  concern  prognosis  (positive                   Fortbestehensprognose) cannot be established.                                          194   1120544.02G-CHISR02A - MSW  

 

        (b)   The limitations set out in Section 7.11(a) only apply:                               (i)     if  and  to  the  extent  that  the  managing  directors  of                  the  German  Guarantor  (or  in  the  case  of  a  GmbH  Co.  KG,  its  general                  partner) have confirmed in writing to the Administrative Agent within ten                  (10)  Business  Days  of  a  demand  for  payment  under  this  Article  VII  the                  amount  of  the  obligations  under this  Article  VII  which  cannot  be  paid                  without causing the net assets of such German Guarantor (or in the case of a                  GmbH Co. KG, its general partner) to fall below its registered share capital,                  or  increase  an  existing  shortage  in  net  assets  below  its  registered  share                  capital  (taking  into  account  the  adjustments  set  out  above)  and  such                  confirmation  is  supported  by  a  current  balance  sheet  and  other evidence                  satisfactory  to  the  Administrative  Agent  and  neither  the  Administrative                  Agent nor any Lender raises any objections against that confirmation within                  five Business Days after its receipt; or                               (ii)   if,  within  twenty  Business  Days  after  an  objection                  under clause (i) has been raised by the Administrative Agent or a Lender,                  the  Administrative  Agent  receives  a  written  audit  report  (“Auditor’s                  Determination”) prepared at the expense of the relevant German Guarantor                  by  a  firm  of  auditors  of  international  standing  and  reputation that  is                  appointed  by  the  German  Guarantor  and  reasonably  acceptable  to the                  Administrative  Agent,  to  the  extent  such  report  identifies  the amount  by                  which the net assets of that German Guarantor (or in the case of a GmbH &                  Co. KG,  its  general  partner  in  the  form  of  a  GmbH)  are  necessary  to                  maintain its registered share capital as at the date of the demand under this                  Article  VII  (taking  into  account  the  adjustments  set  out  above).  The                  Auditor’s  Determination  shall  be  prepared  in  accordance  with  generally                  accepted  accounting  principles  applicable  in  Germany  (Grundsätze                  ordnungsgemäßer Buchführung)  as  consistently  applied  by  the  German                  Guarantor  in  the  preparation  of  its most  recent  annual  balance sheet.  The                  Auditor’s Determination shall be binding for all Parties except for manifest                  error.         (c)   In any event, the Credit Parties shall  be  entitled  to  enforce the  guarantee  up  to  those  amounts  that  are  undisputed  between  them  and  the  relevant  German  Guarantor  or  determined in accordance with Section 7.11(a) and Section 7.11(b). In respect of the exceeding  amounts,  the  Credit  Parties  shall be  entitled  to  further  pursue  their  claims  (if  any)  and  the  German Guarantor shall be entitled to provide evidence that the excess amounts are necessary to  maintain its registered share capital (calculated as at the date of demand under this Article VII  and taking into account the adjustments set out above). The Credit Parties are entitled to pursue  those  parts  of  the  guarantee  obligations  of  the  German  Guarantor  that  are  not  enforced  by  operation of Section 7.11(a) above at any subsequent point in time. This Section 7.11 shall apply  again as of the time such additional demands are made.                                        195  1120544.02G-CHISR02A - MSW  

 

          (d)   Section  7.11(a)  shall  not  apply  as  to  the  amount  of  Loans  borrowed  under  this   Agreement  and  passed  on  (whether  by  way  of  shareholder  loan  or equity  contribution)  to  the   respective German Guarantor or any of its Subsidiaries as long as the respective shareholder loan   is outstanding or the respective equity contribution has not been dissolved or otherwise repaid.          (e)   Should  it  become  legally  permissible  for  managing  directors  of a  German   Guarantor  to  enter  into  guarantees  in  support  of  obligations  of  their  shareholders  without   limitations, the limitations set forth in Section 7.11(a) shall no longer apply. Should any such   guarantees become subject to legal restrictions that are less stringent than the limitations set forth   in Section 7.11(a) above, such less stringent limitations shall apply. Otherwise, Section 7.11(a)   shall remain unaffected by changes in applicable law.          (f)   The limitations provided for in paragraph (a) above shall not apply where (i) the   relevant  German  Guarantor  has  a  fully  valuable  (vollwertig)  recourse  claim  (Gegenleistungs-  oder Rückgewähranspruch)  vis-à-vis  the  relevant  shareholder  or  (ii)  a  domination  agreement   (Beherrschungsvertrag) or a profit and loss pooling agreement (Ergebnisabführungsvertrag) is   or  will  be  in  existence  with  the  relevant  German  Guarantor  (or the  relevant  general  partner),   unless section 30 GmbHG is violated despite of the existence of such agreement.    Section 7.12 Swiss  Guarantors.  If  and  to  the  extent  that  (i)  the  obligations  under  this   ARTICLE  VII  of  any  Swiss  Guarantor  are  for  the  exclusive  benefit  of  any  of  such  Swiss   Guarantor’s  Affiliates  (other  than  such  Swiss  Guarantor’s  direct  or  indirect  Subsidiaries)  and   (ii) complying  with the  obligations  under  this  ARTICLE  VII  would constitute  a repayment  of   capital  (restitution des apports)  or  the  payment  of  a  (constructive)  dividend  (distribution de   dividende), the following shall apply:          (a)   The aggregate obligations under this ARTICLE VII of any Swiss Guarantor shall   be limited to the maximum amount of such Swiss Guarantor’s profits and reserves available for   distribution, in each case in accordance with, without limitation, articles 671 para.1 to 3 and 675   para.2  of  the  Swiss  Code  of  Obligations  (the  “Available  Amount”)  at  the  time  any  Swiss   Guarantor makes a payment under this ARTICLE VII (provided such limitation is still a legal   requirement under Swiss law at that time).          (b)   Immediately  after  having  been  requested  to  make  a  payment  under this   ARTICLE VII  (the  “Guarantee  Payment”),  each  Swiss  Guarantor  shall  (i)  provide  the   Administrative  Agent,  within  thirty  (30)  Business  Days  from  being  requested  to  make  the   Guarantee Payment, with (1) an interim audited balance sheet prepared by the statutory auditors   of the applicable Swiss Guarantor, (2) the determination of the Available Amount based on such   interim audited balance sheet as computed by the statutory auditors, and (3) a confirmation from  the statutory auditors that the Available Amount is the maximum amount which can be paid by  the  Swiss  Guarantor  under  this  ARTICLE  VII  without  breaching  the  provisions  of  Swiss   corporate law, which are aimed at protecting the share capital and legal reserves, and (ii) upon   receipt of the confirmation referred to in the preceding sentence under (3) and after having taken                                          196   1120544.02G-CHISR02A - MSW  

 

    all actions required pursuant to paragraph (d) below, make such Guarantee Payment in full (less,   if required, any Swiss Withholding Tax).          (c)   If so required under Swiss law (including double tax treaties to which Switzerland   is a party) at the time it is required to make a payment under this ARTICLE VII, the applicable   Swiss Guarantor (1) may deduct the Swiss Withholding Tax at the rate of 35% (or such other  rate as may be in force at such time) from any payment under this ARTICLE VII, (2) may pay   the Swiss Withholding Tax to the Swiss Federal Tax Administration, and  (3)  shall  notify  and   provide evidence to the Administrative Agent that the Swiss Withholding Tax has been paid to   the Swiss Federal Tax Administration. To the extent the Guarantee Payment due is less than the   Available  Amount,  the  applicable  Swiss  Guarantor  shall  be  required  to  make  a  gross-up,  indemnify  or  otherwise  hold  harmless  the  Credit  Parties  for  the  deduction  of  the  Swiss  Withholding Tax, it being understood that at no time shall the Guarantee Payment (including any  gross-up  or  indemnification  payment  pursuant  to  this  paragraph (c)  and  including  any  Swiss  Withholding Tax levied thereon) exceed the Available Amount. The applicable Swiss Guarantor  shall use its best efforts to ensure that any person which is, as a result of a payment under this  ARTICLE VII, entitled to a full or partial refund of the Swiss Withholding Tax, shall as soon as   possible  after  the  deduction  of  the  Swiss  Withholding  Tax  (i)  request  a  refund  of  the  Swiss   Withholding  Tax  under  any  applicable  law  (including  double  tax treaties)  and  (ii)  pay  to  the   Administrative Agent for distribution to the applicable Credit Parties upon receipt any amount so  refunded. The Obligations will only be considered as discharged to the extent of the effective  payment received by the Credit Parties under this ARTICLE VII. This subsection (c) is without   prejudice to the gross-up or indemnification obligations of any Guarantor other that the Swiss   Guarantors.          (d)   The Swiss Guarantors shall use reasonable efforts to take and cause to be taken all  and  any  other  action,  including  the  passing  of  any  shareholders’  resolutions  to  approve  any  Guarantee  Payment  under  this  ARTICLE  VII,  which  may  be  required  as  a  matter  of  Swiss   mandatory  law  or  standard  business  practice  as  existing  at  the time  it  is  required  to  make  a   Guarantee  Payment  under  this  ARTICLE  VII  in  order  to  allow  for a  prompt  payment  of  the   Guarantee Payment or Available Amount, as applicable.    Section 7.13 Irish Guarantor. This Guarantee does not apply to any liability to the extent that   it would result in this Guarantee constituting unlawful financial assistance within the meaning of,   in respect of any Irish Guarantor, Section 82 of the Irish Companies Act 2014 of Ireland.    Section 7.14 Brazilian Guarantor. The Brazilian Guarantor waives and shall not exercise any   and all rights and privileges granted to guarantors which might otherwise be deemed applicable,   including but not limited to the rights and privileges referred to in Articles 827, 834, 835, 836,   837, 838 and 839 of the Brazilian Civil Code and the provisions of Article 794 of the Brazilian   Civil Procedure Code.     Section 7.15 French Guarantor.                                          197   1120544.02G-CHISR02A - MSW  

 

          (a)   The obligations and liabilities of a French Guarantor under the Loan Documents   and  in  particular  under  Article  VII  (Guarantee)  of  this  Agreement  shall  not  include  any  obligation  or  liability  which  if  incurred  would  constitute  the provision  of  financial  assistance  within  the  meaning  of  article  L.  225-216  of  the  French Code de commerce  and/or  would   constitute a misuse of corporate assets within the meaning of article L. 241-3 or L. 242-6 of the   French Code de commerce or any other laws or regulations having the same effect, as interpreted   by French courts.          (b)   The  obligations  and  liabilities  of  a  French  Guarantor  under  Article  VII  (Guarantee)  of  this  Agreement  for  the  obligations  under  the  Loan  Documents  of  any  other  Guarantor which is not a French Subsidiary of such French Guarantor, shall be limited at any  time to an amount equal to the aggregate of all amounts borrowed under this Agreement by such  other  Guarantor  as  the  Borrower  to  the  extent  directly  or  indirectly  on-lent  to  the  French  Guarantor under inter-company loan agreements and outstanding at the date a payment is to be   made  by  such  French  Guarantor  under  Article  VII  (Guarantee)  of  this  Agreement,  it  being   specified that any payment made by a French Guarantor under Article VII (Guarantee) of this   Agreement in respect of the obligations of such Guarantor as the Borrower shall reduce pro tanto   the outstanding amount of the inter-company loans due by the French Guarantor under the inter-  company loan arrangements referred to above.          (c)   The obligations and liabilities of a French Guarantor under Article VII (Guarantee)   of this Agreement for the obligations under the Loan Documents of any Guarantor which is its   Subsidiary shall not be limited and shall therefore cover all amounts due by such Guarantor as   the  Borrower  and/or  as  Guarantor,  as  applicable.  However,  where  such  Subsidiary  is  not   incorporated in France, the amounts payable by the French Guarantor under this paragraph (c) in   respect of obligations of this Subsidiary as the Borrower and/or Guarantor, shall be limited as set   out in paragraph (b) above.    Section 7.16 Belgian  Guarantor.  No  Belgian  Guarantor  shall  be  liable  for  the  obligations   owed to the Credit Parties by any other Loan Party under any Loan Document, to the extent that   such liability would result in such guarantee constituting unlawful financial assistance within the   meaning of Article 329 or 629 of the Belgian Companies Code (or any equivalent and applicable   provisions in any relevant jurisdiction).                                    ARTICLE VIII                                                                         EVENTS OF DEFAULT    Section 8.01 Events  of  Default.  Upon  the  occurrence  and  during  the  continuance  of  the   following events (“Events of Default”):          (a)   default shall be made in the payment of any principal of any Loan when and as   the same shall become due and payable, whether at the due date thereof or at a date fixed for   prepayment (whether voluntary or mandatory) thereof or by acceleration thereof or otherwise;                                         198   1120544.02G-CHISR02A - MSW  

 

          (b)   default shall be made in the payment, when and as the same shall become due and   payable,  of  (i)  any  interest  on  any  Loan  and,  if  such  default  is  caused  by  a  technical  or   administrative delay, such default shall continue unremedied for a period of five (5) Business   Days, or (ii) any Fee or any other amount (other than an amount referred to in paragraph (a) or   (b)(i) above) due under any Loan Document and such default shall continue unremedied for a   period of five (5) Business Days;          (c)   any  representation  or  warranty  made  or  deemed  made  in  or  in  connection  with   any  Loan  Document  or  the  borrowings  hereunder,  or  which  is  contained  in  any  certificate   furnished  by  or  on  behalf  of  a  Loan  Party  pursuant  to  this  Agreement  or  any  other  Loan   Document, shall prove to have been false or misleading (in full or in part) in any material respect   when so made or deemed made;          (d)   default shall be made in the due observance or performance by any Company of  any  covenant,  condition  or  agreement  contained  in  (x)  Section  5.02(a),  Section  5.03(a),   Section 5.08,  Section  5.15,  Section  5.16,  or  ARTICLE  VI  or  (y) Section  5.04(a)  or   Section 5.04(b) (provided that in the case of defaults under Sections 5.04(a) or (b) which do not   impair in any material respect the insurance coverage maintained on the Companies’ assets taken   as  a  whole,  then  such  default  will  not  constitute  an  Event  of  Default  unless  such  default  has   continued unremedied for a period of three (3) Business Days);          (e)   (i) default shall be made in the due observance or performance by any Company   of any covenant, condition or agreement contained in Section 5.02 (other than Section 5.02(a)),   and  such  default  shall  continue  unremedied  or  shall  not  be  waived for a period of five (5)   Business Days after written notice thereof from the Administrative Agent or any Lender to the   Designated Company, or (ii) default shall be made in the due observance or performance by any   Company of any covenant, condition or agreement contained in any Loan Document (other than   those  specified  in  paragraphs (a),  (b),  (d)  or  (e)(i)  immediately  above)  and  such  default  shall   continue unremedied or shall not be waived for a period of thirty (30) days after written notice   thereof from the Administrative Agent or any Lender to the Designated Company;          (f)   Hindalco or any Company shall (i) fail to pay any principal or interest, regardless   of amount, due in respect of any Indebtedness (other than the Obligations), when and as the same   shall become due and payable beyond any applicable grace period, (ii) fail to observe or perform   any  other  term,  covenant,  condition  or  agreement  contained  in  any  agreement  or  instrument   evidencing or governing any Indebtedness if the effect of any failure referred to in this clause (ii)   is  to  cause,  or  to  permit  the  holder  or  holders  of  such  Indebtedness  or  a  trustee  or  other   representative on its or their behalf to cause, such Indebtedness to become due prior to its stated   maturity or become subject to a mandatory offer purchase by the obligor; provided that, other   than in the case of the Revolving Credit Agreement and the Secured Term Loans, it shall not   constitute  an  Event  of  Default  pursuant  to  this  paragraph  (f) unless  the  aggregate  Dollar   Equivalent  amount  of  all  such  Indebtedness  referred  to  in  clauses (i)  and  (ii)  exceeds   $100,000,000 at any one time (provided that, in the case of Hedging  Obligations, the amount   counted for this purpose shall be the net amount payable by Hindalco and all Companies if such                                         199   1120544.02G-CHISR02A - MSW  

 

    Hedging Obligations were terminated at such time); provided, further that this clause (f)(ii) shall   not apply to (x) a failure to comply with a financial maintenance covenant under the Revolving   Credit  Agreement  in  the  form  of  an  asset  based  loan  facility,  (y)  secured  Indebtedness  that   becomes due as a result of the voluntary sale or transfer of the property or assets securing such   Indebtedness, if such sale or transfer is permitted hereunder and under the documents providing   for such Indebtedness and such Indebtedness is repaid or discharged to the extent required under   the  terms  governing  such  Indebtedness  or  (z) Indebtedness  that becomes  due  as  a  result  of  a   notice of voluntary refinancing, exchange, or conversion thereof that is permitted thereunder, so   long  as  such  refinancing,  exchange  or  conversion  is  consummated,  or  such  notice  duly   withdrawn, in accordance with the terms of such Indebtedness, or (iii) fail to observe or perform   any financial maintenance covenant under a Revolving Credit Agreement which is an asset based   loan facility and such failure results in the Indebtedness under such Revolving Credit Agreement   becoming due prior to its stated maturity;           (g)   an involuntary proceeding shall be commenced or an involuntary petition shall be  filed  in  a  court  of  competent  jurisdiction  seeking  (i) relief  in  respect  of  any  Loan  Party  or   Material  Subsidiary,  or  of  a  substantial  part  of  the  property  of  any  Loan  Party  or  Material   Subsidiary, under Title 11 of the U.S. Code, as now constituted or hereafter amended, or any   other federal, state, provincial or foreign bankruptcy, insolvency, receivership, reorganization or   other  Debtor  Relief  Law,  including  any  proceeding  under  applicable  corporate  law;  (ii) the   appointment  of  a  receiver,  trustee,  custodian,  sequestrator,  conservator,  examiner  or  similar   official for any Loan Party or Material Subsidiary or for a substantial part of the property of any   Loan  Party  or  Material  Subsidiary;  or  (iii) the  winding-up,  liquidation  or  examination  of  any   Loan Party or Material Subsidiary; and such proceeding or petition shall continue undismissed   for  sixty  (60)  days  or  an  order  or  decree  approving  or  ordering  any  of  the  foregoing  shall  be   entered;          (h)   any  Loan  Party  or  Material  Subsidiary  shall  (i) voluntarily  commence  any   proceeding or file any petition seeking relief under Title 11 of the United States Code, as now   constituted or hereafter amended, or any other federal, state or foreign bankruptcy, insolvency,   receivership or other Debtor Relief Law; (ii) consent to the institution of, or fail to contest in a   timely and appropriate manner, any proceeding or the filing of any petition described in clause (g)   above; (iii) apply for or consent to the appointment of a receiver, trustee, custodian, sequestrator,   conservator,  examiner  or  similar  official  for  any  Loan  Party  or  Material  Subsidiary  or  for  a   substantial  part  of  the  property  of  any  Loan  Party  or  Material Subsidiary;  (iv) file  an  answer   admitting the material allegations of a petition filed against it in any such proceeding; (v) make a   general  assignment  for  the  benefit  of  creditors;  (vi) become  unable,  admit  in  writing  its   insolvency or inability or fail generally to pay its debts as they become due; (vii) take any action   for  the  purpose  of  effecting  any  of  the  foregoing;  (viii) wind up  or  liquidate  (except  in   accordance with Section 6.05) or put into examination, or (ix) take any step with a view to a   moratorium  or  a  composition  or  similar  arrangement  with  any  creditors of any Loan Party or   Material Subsidiary, or a moratorium is declared or instituted in respect of the indebtedness of   any Loan Party or Material Subsidiary;                                          200   1120544.02G-CHISR02A - MSW  

 

        (i)   one  or  more  judgments,  orders  or  decrees  for  the  payment  of  money  in  an  aggregate  Dollar  Equivalent  amount  in  excess  of  $100,000,000,  to  the  extent  not  covered  by  insurance  or  supported  by  a  letter  of  credit  or  appeal  bonds  posted  in  cash,  shall  be  rendered  against  any  Company  or  any  combination  thereof  and  the  same  shall  remain  undischarged,  unvacated or unbonded for a period of thirty (30) consecutive days during which execution shall  not be effectively stayed, or any action shall be legally taken by a judgment creditor to levy upon  properties of any Company to enforce any such judgment;         (j)   one  or  more  ERISA  Events  or  noncompliance  with  respect  to  Foreign  Plans  or  Compensation Plans shall have occurred that, when taken together with all other such ERISA  Events  and  noncompliance  with  respect  to  Foreign  Plans  or  Compensation  Plans  that  have  occurred,  could  reasonably  be  expected  to  result  in  liability  of  any  Company  and  its  ERISA  Affiliates that could reasonably be expected to result in a Material Adverse Effect;         (k)   [intentionally omitted];         (l)   any Loan Document or any material provision thereof shall at any time and for  any reason be declared by a court of competent jurisdiction to be null and void, or a proceeding  shall be commenced by any Loan Party or by any Governmental Authority, seeking to establish  the  invalidity  or  unenforceability  thereof  (exclusive  of  questions  of  interpretation  of  any  provision  thereof),  or  any  Loan  Party  shall  repudiate  or  deny  any  portion  of  its  liability  or  obligation for the Obligations;         (m)   there shall have occurred a Change in Control;         (n)   [intentionally omitted]; or         (o)   any  Company  shall  be  prohibited or otherwise restrained from conducting  the  business theretofore conducted by it in any manner that has or could reasonably be expected to  result in a Material Adverse Effect by virtue of any determination, ruling, decision, decree or  order of any court or Governmental Authority of competent jurisdiction;   then, and in every such event (other than an event with respect to any Loan Party described in  paragraph (g) or (h) above), and at any time thereafter during the continuance of such event the  Administrative  Agent  may,  and  at  the  request  of  the  Required  Lenders shall,  by  notice to  the  Designated Company, take either or both of the following actions, at the same or different times:  (i) terminate  forthwith  the  Commitments  and  (ii) declare  the  Loans  then  outstanding  to  be  forthwith due and payable in whole or in part, whereupon the principal of the Loans so declared  to be due and payable, together with accrued interest thereon and any unpaid accrued Fees and  all other Obligations of the Loan Parties accrued hereunder and under any other Loan Document,  shall  become  forthwith  due  and  payable,  without  presentment,  demand,  protest  or  any  other                                        201  1120544.02G-CHISR02A - MSW  

 

    notice  of  any  kind,  all  of  which  are  hereby  expressly  waived  by  each  of  the  Loan  Parties,   anything contained herein or in any other Loan Document to the contrary notwithstanding; and in  any  event,  with  respect  to  any  Loan  Party  described  in  paragraph (g)  or  (h)  above,  the  Commitments  shall  automatically  terminate and the principal of the  Loans  then  outstanding,  together with accrued interest thereon and any unpaid accrued Fees, costs, charges and all other  Obligations of the Loan Parties accrued hereunder and under any other Loan Document, shall  automatically become due and payable, without presentment, demand, protest or any other notice  of  any  kind,  all  of  which  are  hereby  expressly  waived  by  each  of  the  Loan  Parties,  anything  contained herein or in any other Loan Document to the contrary notwithstanding.   Section 8.02 Rescission. If at any time after termination of the Commitments or acceleration of   the maturity of the Loans, the Loan Parties shall pay all arrears of interest and all payments on   account of principal of the Loans owing by them that shall have become due otherwise than by   acceleration (with interest on principal and, to the extent permitted by law, on overdue interest, at   the rates specified herein) and all Defaults (other than non-payment of principal of and accrued   interest  on  the  Loans  due  and  payable  solely  by  virtue  of  acceleration)  shall  be  remedied  or   waived  pursuant  Section  11.02,  then  upon  the  written  consent  of  the  Required  Lenders  and   written  notice  to  the  Designated Company,  the  termination  of  the  Commitments  or  the   acceleration  and  their consequences  may  be  rescinded  and annulled;  but  such  action  shall  not   affect any subsequent Default or impair any right or remedy consequent thereon. The provisions   of  the  preceding  sentence  are  intended  merely  to  bind  the  Lenders  to  a  decision  that  may  be   made at the election of the Required Lenders, and such provisions are not intended to benefit any   Loan Party and do not give any Loan Party the right to require the Lenders to rescind or annul   any acceleration hereunder, even if the conditions set forth herein are met.    Section 8.03 Application  of  Payments. The payments received by the Administrative Agent   after  an  Event  of  Default  has  occurred  and  is  continuing  or  after  the  acceleration  of  the   Obligations, shall be applied, in full or in part, together with any other sums then held by the   Administrative  Agent  pursuant  to  this  Agreement,  promptly  by  the  Administrative  Agent  as  follows:         (a)   First, to the payment of all reasonable costs and expenses, fees, commissions and   taxes of collection or other realization including compensation to the Administrative Agent and   its  agents  and  counsel,  and  all expenses,  liabilities  and  advances  made  or  incurred  by  the   Administrative  Agent  in  connection  therewith,  and  all  amounts  for  which  the  Administrative   Agent  is  entitled  to  indemnification or  reimbursement  pursuant to  the  provisions  of  any  Loan   Document, together with interest on each such amount at the highest rate then in effect under this   Agreement from and after the date such amount is due, owing or unpaid until paid in full;          (b)   Second,  to  the  payment  of  all  other  reasonable  costs  and  expenses  of such   collection or other realization including any compensation payable to the other Credit Parties and   their  agents  and  counsel  and  all costs,  liabilities  and  advances  made  or  incurred  by  the  other   Credit Parties in connection therewith, together with interest on each such amount at the highest   rate then in effect under this Agreement from and after the date such amount is due, owing or   unpaid until paid in full;                                         202   1120544.02G-CHISR02A - MSW  

 

          (c)   Third,  without  duplication  of  amounts applied  pursuant  to  clauses (a)  and  (b)   above,  to  the  indefeasible  payment  in  full  in  cash, pro rata,  of  interest  and  other  amounts   constituting  Obligations  which  are  then  due  and  owing  (other  than  principal),  in  each  case   equally and ratably in accordance with the respective amounts thereof then due and owing with   respect to such Obligations;          (d)   Fourth,  to  the  indefeasible  payment  in  full  in  cash, pro rata,  of  the  principal   amount  of  the  Obligations  and  any  premium  thereon,  in  each  case  equally  and  ratably  in   accordance with the respective amounts thereof then due and owing; and          (e)   Fifth,  the  balance,  if  any,  to  the  person  lawfully  entitled  thereto (including  the   applicable Loan Party or its successors or assigns) or as a court of competent jurisdiction may   direct.          In the event that any such payments are insufficient to pay in full the items described in   clauses (a)  through  (d)  of  this Section  8.03,  the  Loan  Parties shall  remain  liable,  jointly  and   severally, for any deficiency.     Section 8.04 Designated Company’s Right to Cure.          (a)   Notwithstanding anything to the contrary contained in Section 8.01, in the event   the Designated Company fails to comply with the Financial Performance Covenant with respect   to a period of four consecutive fiscal quarters, then at any time after the end of the last fiscal   quarter of such period of four consecutive fiscal quarters until the expiration of the tenth (10th)   day after the date on which financial statements are required to be delivered with respect to such   fiscal  quarter  hereunder,  any  Specified  Holder  may  make  a  Specified  Equity  Contribution  to   Holdings, and Holdings shall immediately make a cash contribution to the common equity of the   Designated Company and/or purchase Equity Interests of the Designated Company (other than   Disqualified  Capital  Stock),  in  the  amount  of  such  Specified  Equity  Contribution.  The   Designated Company may apply the amount of the Net Cash Proceeds thereof received by it to   increase Consolidated EBITDA with respect to such applicable quarter; provided that such Net   Cash Proceeds (i) are actually received by the Designated Company (including through capital   contribution of such Net Cash Proceeds by Holdings to the Designated Company) no later than   ten  (10)  days  after  the  date  on  which  financial  statements  are required  to  be  delivered  with   respect to such fiscal quarter hereunder and (ii) do not exceed the aggregate amount necessary   for  purposes  of  complying  (by  addition  to  Consolidated  EBITDA) with  the  Financial   Performance  Covenant  for  such period.  The  parties  hereby  acknowledge  and  agree  that   notwithstanding  anything  to  the  contrary  contained  elsewhere  in  this  Agreement,  this  Section 8.04(a)  (and  any  Specified  Equity  Contribution  or  the  proceeds  thereof)  may  not  be   relied on for purposes of calculating any financial ratios (other than as applicable to the Financial   Performance Covenant for purposes of increasing Consolidated EBITDA as provided herein) or   any available basket or thresholds under this Agreement and shall not result in any adjustment to   any amounts or calculations other than the amount of the Consolidated EBITDA referred to in   the immediately preceding sentence.                                         203   1120544.02G-CHISR02A - MSW  

 

        (b)   The parties hereto agree that (i) in each period of four consecutive fiscal quarters,  there shall be at least two (2) fiscal quarters in which no Specified Equity Contribution is made,  (ii) during the term of this Agreement, no more than four Specified Equity Contributions will be  made, and (iii) the cash contributed or received pursuant to such Specified Equity Contribution  (A) shall be disregarded for any purpose other than increasing Consolidated EBITDA solely for  the purposes of measuring the Financial Performance Covenant (and, for the avoidance of doubt,  such cash shall not constitute “cash and Cash Equivalents” or Unrestricted Cash for purposes of  the definition of “Consolidated Total Net Debt” and shall not increase Consolidated EBITDA for  the  purpose  of  determining  compliance  with  the  Financial  Performance  Covenant  on  a  Pro  Forma Basis in determining whether another transaction will be permitted) and (B) for purposes  of calculating the Total Net Leverage Ratio, the Consolidated Interest Coverage Ratio, the Senior  Secured  Net  Leverage  Ratio,  the  Secured  Net  Leverage  Ratio  and the  Financial  Performance  Covenant,  shall  not  be  deemed  to  reduce  any  Indebtedness  or  other  obligations  of  the  Loan  Parties  that  would  otherwise  be  included  in  the  definition  of  “Consolidated  Total  Net  Debt”  (except,  with  respect  to  periods  after  the  fiscal  quarter  with respect  to  which  such  Equity  Issuance  is  made,  to  the  extent  such  Specified  Equity  Contribution  is  applied  to  repay  Indebtedness).                                    ARTICLE IX                                                                   [INTENTIONALLY OMITTED]                                    ARTICLE X                                                                  THE ADMINISTRATIVE AGENT   Section 10.01 Appointment  and  Authority. Each of the Lenders hereby irrevocably appoints  SCB  to  act  on  its  behalf  as  the  Administrative  Agent  hereunder and  under  the  other  Loan  Documents  and  authorizes  the  Administrative  Agent  to  take  such actions  on  its  behalf  and  to  exercise such powers as are delegated to the Administrative Agent by the terms hereof or thereof,  together with such actions and powers as are reasonably incidental thereto. The provisions of this  Article are solely for the benefit of the Administrative Agent and the Lenders and neither the  Borrower nor any other Loan Party shall have rights as a third party beneficiary of any of such  provisions.   Section 10.02 Rights as a Lender. The person serving as the Administrative Agent hereunder  shall have the same rights and powers in its capacity as a Lender as any other Lender and may  exercise  the  same  as  though  it  were  not  the  Administrative  Agent  and  the  term  “Lender”  or  “Lenders” shall, unless otherwise expressly indicated or unless the context otherwise requires,  include the person serving as the Administrative Agent hereunder in its individual capacity. Such  person and its Affiliates may accept deposits from, lend money to, act as the financial advisor or  in  any  other  advisory  capacity  for  and  generally  engage  in  any kind  of  business  with  the  Designated Company or other Loan Party, or any Subsidiary or other Affiliate thereof, as if such  person were not the Administrative Agent hereunder and without any duty to account therefor to  the Lenders.                                        204  1120544.02G-CHISR02A - MSW  

 

  Section 10.03 Exculpatory Provisions.         (a)   The Administrative Agent shall not have any duties or obligations except those  expressly set forth herein and in the other Loan Documents. Without limiting the generality of  the foregoing, the Administrative Agent shall not:                                (i)     be subject to any fiduciary or other implied duties,                  regardless of whether a Default has occurred and is continuing;                               (ii)    have  any  duty  to  take  any  discretionary  action  or                  exercise  any  discretionary  powers,  except  discretionary  rights and  powers                  expressly contemplated hereby or by the other Loan Documents that in each                  case the Administrative Agent is expressly required to exercise as directed                  in writing by the Required Lenders (or such other number or percentage of                  the Lenders as shall be expressly provided for herein or in the other Loan                  Documents); provided that the Administrative Agent shall not be required                  to take any action that, in its judgment or the judgment of its counsel, may                  expose the Administrative Agent to liability or that is contrary to any Loan                  Document or applicable Requirements of Law; and                               (iii)  except as expressly set forth herein and in the other                  Loan Documents, have any duty to disclose, and shall not be liable for the                  failure to disclose, any information relating to the Designated Company or                  other Loan Party or any of its Affiliates that is communicated to or obtained                  by the person serving as the Administrative Agent or any of its Affiliates in                  any capacity.        (b)   Notwithstanding  anything  to  the  contrary  in  any  Loan  Document, the  Administrative  Agent  shall  not  be  liable  for  any  action  taken  or  not  taken  by  it  (x) with  the  consent or at the request of the Required Lenders (or such other number or percentage of the  Lenders as shall be necessary, or as the Administrative Agent shall believe in good faith shall be  necessary, under the circumstances as provided in Sections 8.01 and 11.02) or (y) in the absence  of its own gross negligence or willful misconduct. The AdministrativeAgent shall not be deemed  to have knowledge of, or be required to take any action in connection with, any Default unless  and until notice describing such Default is given to the Administrative Agent by the Designated  Company or a Lender.         (c)   The Administrative Agent shall not  be  responsible  for  or  have  any  duty  to  ascertain or inquire into (i) any statement, warranty or representation made in or in connection  with this Agreement or any other Loan Document, (ii) the contents of any certificate, report or  other  document  delivered  hereunder  or  thereunder  or  in  connection  herewith  or  therewith,  (iii) the  performance  or  observance  of  any  of  the  covenants,  agreements  or  other  terms  or                                        205  1120544.02G-CHISR02A - MSW  

 

  conditions  set  forth  herein  or  therein  or  the  occurrence  of  any  Default,  (iv) the  validity,  enforceability, effectiveness or genuineness of this Agreement, any other Loan Document or any  other  agreement,  instrument  or  document  or  (v) the  satisfaction  of  any  condition  set  forth  in  ARTICLE IV or elsewhere herein, other than to confirm receipt of items expressly required to be  delivered to the Administrative Agent. Without limiting the generality of the foregoing, the use  of the term “agent” in this Agreement with reference to the Administrative Agent is not intended  to connote any fiduciary or other implied (or express) obligations arising under agency doctrine  of any applicable law. Instead, such term us used merely as a matter of market custom and is  intended to create or reflect only an administrative relationship between independent contracting  parties.         (d)   The  Administrative  Agent  shall  not  be  responsible  or  have  any  liability  for,  or  have  any  duty  to  ascertain,  inquire  into,  monitor  or  enforce,  compliance  with  the  provisions  hereof relating to Disqualified Institutions. Without limiting the generality of the foregoing, the  Administrative Agent shall not (x) be obligated to ascertain, monitor or inquire as to whether any  Lender or Participant or prospective Lender or Participant is a Disqualified Institution or (y) have  any  liability  with  respect  to  or  arising  out  of  any  assignment or  participation  of  Loans,  or  disclosure of confidential information, to any Disqualified Institution.         (e)   Notwithstanding anything to the contrary in any Loan Document, without limiting  the  Administrative  Agent’s  rights  hereunder  to  exercise  discretion  in  taking  any  action  in  connection with the Loan Documents or any transaction permitted hereunder or thereunder (it  being  understood  and  agreed  by  the  Lenders  that  the  Administrative  Agent  may  elect  to  act  promptly and without seeking express approval from any Lender prior to taking such action), the  Administrative Agent may:                               (i)     require the express written approval of the Required                  Lenders  (or  such  other  number  or  percentage  of  the  Lenders  as  shall  be                  expressly  provided  for  herein  or  in  the  other  Loan  Documents)  prior  to                  taking any action in connection with the Loan Documents or any transaction                  permitted  hereunder  or  thereunder,  including,  without  limitation,  the                  Permitted Reorganization; or                                (ii)    upon at least two (2) Business Days’ prior written                  notice to the Lenders (such period, the “Specified Notice Period”), require                  the express written approval of the Representative Lenders prior to taking                  any  action  in  connection  with  the  Loan  Documents  or  any  transaction                  permitted  hereunder  or  thereunder;  provided  that  this  clause  (ii)  shall  not                  apply  with  respect  to  any  action  in  connection  with  the  Permitted                  Reorganization  or  that  would  otherwise  require  the  consent  of  such  other                  number  or  percentage  of  the  Lenders  as  expressly  provided  for  in                  Section 11.02.                                          206  1120544.02G-CHISR02A - MSW  

 

    On and after the date that the requisite written approval, if any, is provided to the Administrative   Agent  by  such  Lenders  in  accordance  with  the  immediately  preceding  sentence,  the   Administrative  Agent  shall  be  authorized  to  take  such  action  for  all  purposes  under  the  Loan   Documents  without  the  consent  of  any  other  Lender.  For  purposes  of  this  clause  (e),   “Representative  Lenders”  shall  mean,  with  respect  to  any  action  under  clause  (ii)  above,   Lenders holding more than 50% of the sum of all Loans outstanding and unused Commitments   (if any) of all Lenders that have provided written notice of their approval or disapproval of such   action or omission to take an action within the Specified Notice Period.    Section 10.04 Reliance  by  the  Administrative  Agent.  The  Administrative  Agent  shall  be   entitled to rely upon, and shall not incur any liability for relying upon or acting or failing to act   upon (including in connection with the Administrative Agent’s execution, delivery or filing of   any Loan Document or other agreement, document, certificate or filing in connection therewith),   any  notice,  request,  certificate,  consent,  statement,  instrument,  document  or  other  writing   (including  any  electronic  message,  Internet  or  intranet  website  posting  or  other  distribution)   believed  by  it  to  be  genuine  and  to  have  been  signed,  sent  or  otherwise  authenticated  by  the   proper person. In determining whether the conditions to taking any action under or in connection  with any Loan Document are satisfied, the Administrative Agent shall be entitled to rely upon  any  certificates  delivered  to the  Administrative  Agent  by  any  Loan  Party.  The  Administrative  Agent also may rely upon any statement made to it orally or by telephone and believed by it to  have been made by the proper person, and shall not incur any liability for relying thereon. The  Administrative Agent is further authorized to rely upon and to comply with any written, oral or  telephonic  statements  made  or  purported  to  be  made  by  any  Loan Party.  In  determining  compliance  with  any  condition  hereunder  to  the  making  of  a  Loan  that  by  its  terms  must  be  fulfilled  to  the  satisfaction  of  a  Lender,  the  Administrative  Agent  may  presume  that  such  condition  is  satisfactory  to  such  Lender  unless  the  Administrative  Agent  shall  have  received  notice to the contrary from such Lender prior to the making of such Loan. The Administrative  Agent  may  consult  with  legal  counsel  (who  may  be  counsel  for  the  Designated  Company  or  other  Loan  Party),  independent  accountants  and  other  experts  selected  by  it,  and  shall  not  be  liable for any action taken or not taken by it in accordance with the advice of any such counsel,  accountants or experts.   Section 10.05 Delegation of Duties. The Administrative Agent may perform any and all of its   duties  and  exercise  its rights and  powers  hereunder  or  under  any  other  Loan  Document  by  or   through, or delegate any and all such rights and powers to, any one or more sub-agents appointed  by  the  Administrative  Agent,  including  a  sub-agent  which  is  a  non-U.S.  affiliate  of  the  Administrative Agent. The Administrative Agent and any such sub-agent may perform any and  all of its duties and exercise its rights and powers by or through their respective Related Parties.  The exculpatory provisions of this Article shall apply to any such sub-agent and to the Related  Parties of the Administrative Agent and any such sub-agent, and shall apply to their respective  activities in connection with the syndication of the credit facility provided for herein as well as   activities as the Administrative Agent.     Section 10.06 Resignation of Administrative Agent.                                           207   1120544.02G-CHISR02A - MSW  

 

          (a)   The Administrative Agent may at any time give notice of its resignation  to  the  Lenders  and  the  Designated  Company.  Upon  receipt  of  any  such  notice  of  resignation,  the  Required Lenders shall have the right, in consultation with the Designated Company, to appoint  a successor, which (i) shall be a bank with an office in the United States or England and Wales,  or an Affiliate of any such bank with an office in the United States or England and Wales and  (ii) shall  be  a  commercial  bank or  other  financial  institution having  assets  in  excess  of  $1,000,000,000. If no such successor shall have been so appointed by the Required Lenders and  shall  have  accepted  such  appointment  within  thirty  (30)  days  after  the  retiring  Administrative  Agent gives notice of its resignation, then the retiring Administrative Agent may on behalf of the  Lenders,  appoint  a  successor  Administrative  Agent  meeting  the  qualifications  set  forth  above,  provided that if the Administrative Agent shall notify the Designated Company and the Lenders   that no qualifying person has accepted such appointment, then such resignation shall nonetheless   become effective in accordance with such notice and (1) the retiring Administrative Agent shall  be discharged from its duties and obligations hereunder and under the other Loan Documents and  (2) all payments, communications and determinations provided to be made by, to or through the  Administrative Agent shall instead be made by or to each Lender directly, until such time as the  Required  Lenders  appoint  a  successor  Administrative  Agent  as  provided  for  above  in  this  paragraph. Upon the acceptance of a successor’s appointment as Administrative Agent hereunder,  such successor shall succeed to and become vested with all of the rights, powers, privileges and  duties  of  the  retiring  (or  retired)  Administrative  Agent,  and  the  retiring  Administrative  Agent  shall  be  discharged  from  all  of  its  duties  and  obligations  hereunder  or  under  the  other  Loan  Documents (if not already discharged therefrom as provided above in this paragraph). The fees  payable by the Borrower to a successor Administrative Agent shall be the same as those payable  to its predecessor unless otherwise agreed between the Borrower and such successor. After the  retiring Administrative Agent’s resignation hereunder and under the other Loan Documents, the  provisions of this ARTICLE X and Section 11.03 shall continue in effect for the benefit of such   retiring  Administrative  Agent, its sub-agents  and  their respective  Related  Parties  in  respect  of   any actions taken or omitted to be taken by any of them while the retiring Administrative Agent   was acting as the Administrative Agent.           (b)   The Administrative Agent shall resign in accordance with paragraph (a) above if   on or after the date which is three months before the earliest FATCA Application Date relating to   any payment to the Administrative Agent under the Loan Documents, either:                (i) the Administrative Agent fails to respond to a request under Section 2.15(f)   (FATCA Information) and a Lender reasonably believes that the Administrative Agent will not   be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date;                (ii) the  information  supplied  by  the  Administrative  Agent  pursuant  to   Section 2.15(f) (FATCA Information) indicates that the Administrative Agent will not be (or will   have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date; or                                          208   1120544.02G-CHISR02A - MSW  

 

                (iii) the Administrative Agent notifies the Designated Company and the Lenders   that the Administrative Agent will not be (or will have ceased to be) a FATCA Exempt Party on   or after that FATCA Application Date;    and (in each case) a Lender reasonably believes that a Party will be required to make a FATCA   Deduction that would not be required if the Administrative Agent were a FATCA Exempt Party,   and that Lender, by notice to the Administrative Agent, requires it to resign.    Section 10.07 Non-Reliance  on  Administrative  Agent  and  Other  Lenders.  Each  Lender   acknowledges  that  it  has,  independently  and  without  reliance  upon  any  of  the  Administrative   Agent, syndication agent, documentation agent, arranger or bookrunner listed on the cover page   hereto or acting in such capacity in connection with any amendment, or any other Lender, and   based  on  such  documents  and  information  as  it  has  deemed  appropriate,  made  its  own  credit   analysis and decision to enter into this Agreement. Each Lender also acknowledges that it will,   independently  and  without  reliance  upon  any  of  the  Administrative  Agent,  syndication  agent,   documentation agent, arranger or bookrunner listed on the cover page hereto or acting in such   capacity in connection with any amendment, or any other Lender, and based on such documents   and  information  as  it  shall  from  time  to  time  deem  appropriate,  continue  to  make  its  own   decisions  in  taking  or  not  taking  action  under  or  based  upon  this  Agreement,  any  other  Loan   Document or any related agreement or any document furnished hereunder or thereunder.   Section 10.08 No Other Duties, etc. Notwithstanding anything to the contrary contained herein,   the Mandated Lead Arrangers listed on the cover page hereof shall not have any powers, duties   or  responsibilities  under  this  Agreement  or  any  of  the  other  Loan  Documents,  except  in  its  capacity, as applicable, as the Administrative Agent or as a Lender hereunder.   Section 10.09 Administrative Agent May File Proofs of Claim. In case of the pendency of any   proceeding under any Debtor Relief Law or any other judicial proceeding relative to any Loan   Party, the Administrative Agent (irrespective of whether the principal of any Loan shall then be   due and payable as herein expressed or by declaration or otherwise and irrespective of whether   the Administrative Agent shall have made any demand on the Borrower or any Guarantor) shall   be entitled and empowered, by intervention in such proceeding or otherwise:          (a)   to file and prove a claim for the whole amount of the principal and interest owing   and unpaid in respect of the Loans and all other Obligations that are owing and unpaid and to file   such  other  documents  as  may  be  necessary  or  advisable  in  order to  have  the  claims  of  the   Administrative  Agent  and  the  other  Credit  Parties  (including  any  claim  for  the  reasonable   compensation,  expenses,  disbursements  and  advances  of  the  Lenders  and  the  Administrative   Agent and their respective agents and counsel and all other amounts due the Credit Parties and   the Administrative Agent hereunder) allowed in such judicial proceeding; and           (b)   to collect and receive any monies or other property payable or deliverable on any   such claims and to distribute the same;                                          209   1120544.02G-CHISR02A - MSW  

 

    and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official in   any such judicial proceeding is hereby authorized by each Credit Party to make such payments to   the  Administrative  Agent  and, in  the  event  that  the  Administrative  Agent  shall consent to  the   making of such payments directly to the Credit Parties, to pay to the Administrative Agent any   amount  due  for  the  reasonable  compensation,  expenses,  disbursements  and  advances  of  the   Administrative Agent and its agents and counsel, and any other amounts due the Administrative   Agent  hereunder.  Nothing  contained  herein  shall  be  deemed  to  authorize  the  Administrative   Agent to authorize or consent to or accept or adopt on behalf of any Credit Party any plan of   reorganization, arrangement, adjustment or composition affecting the Obligations or the rights of   any  Credit Party to  authorize  the  Administrative  Agent  to  vote in  respect  of the claim  of  any   Credit Party in any such proceeding.       Section 10.10 Concerning  the  Loan  Documents.  Each  Lender  authorizes  and  directs  the   Administrative Agent to enter into this Agreement and the other Loan Documents and to perform   its obligations thereunder. Each Lender agrees that any action taken by the Administrative Agent  or  Required  Lenders  in  accordance  with  the  terms  of  this  Agreement  or  the  other  Loan  Documents and the exercise by the Administrative Agent or Required Lenders of their respective  powers set forth therein or herein, together with such other powers that are reasonably incidental  thereto, shall be binding upon all of the Lenders.    Section 10.11 Release. Each Lender and each Issuer hereby releases the Administrative Agent   acting on its behalf pursuant to the terms of this Agreement or any other Loan Document from   the restrictions of Section 181 of the German Civil Code (Bürgerliches Gesetzbuch) (restriction  on self-dealing).   Section 10.12 Acknowledgment  of  English-law  Guarantee. Each Credit Party acknowledges   the  terms  of  the  English-law  Guarantee  and  specifically  agrees and  accepts  (i)  that  the   Administrative  Agent  shall,  as  trustee,  have  only  those  duties,  obligations  and  responsibilities   expressly  specified  in  the  English-law  Guarantee;  (ii)  the  limitation  and  exclusion  of  the   Administrative Agent’s liability as set out therein; and (iii) all other provisions of the English-  law Guarantee as if it were a party thereto.                                      ARTICLE XI                                                                           MISCELLANEOUS    Section 11.01 Notices.          (a)   Generally.  Except  in  the  case  of  notices  and  other  communications  expressly   permitted to be given by telephone (and except as provided in paragraph (b) below), all notices   and other communications provided for herein shall be in writing and shall be delivered by hand   or  overnight  courier  service,  mailed  by  certified  or  registered  mail  or  sent  by  telecopier  as   follows:                                (i)     if to any Loan Party, to the Parent at:                                         210   1120544.02G-CHISR02A - MSW  

 

                    Novelis Inc.                    Two Alliance Center                    3560 Lenox Road, Suite 2000                    Atlanta, GA 30326                    Attention: Randal P. Miller                    Telecopier No.: 404-760-0124                    Email: randy.miller@novelis.adityabirla.com               with a copy to:                                        Novelis Inc.                    Two Alliance Center                    3560 Lenox Road, Suite 2000                    Atlanta, GA 30326                    Attention: Leslie J. Parrette, Jr.                    Telecopier No.: 404-760-0137                    Email: les.parrette@novelis.adityabirla.com                     and                                        Torys LLP                    1114 Avenue of the Americas, 23rd Floor                    New York, New York 10036                    Attention: Jonathan B. Wiener                    Telecopier No.: 212-682-0200                    Email: jwiener@torys.com                                                   (ii)    if to a Lender, to it at its address (or telecopier                  number)  set  forth  in  its  Administrative  Questionnaire  (including,  as                  appropriate, notices delivered solely to the person designated by a Lender                  on its Administrative Questionnaire then in effect for the delivery of notices                  that may contain material non-public information relating to the Designated                  Company); and                               (iii)   if to the Administrative Agent, to it at:                     Standard Chartered Bank                    5th Floor 1 Basinghall Avenue                    London, England, EC2V 5DD                    Attention: Asset Servicing Manager                    Fax: +44207 885 9728                    Email: loansagencyuk@sc.com               with a copy to:                                         211  1120544.02G-CHISR02A - MSW  

 

                      Skadden, Arps, Slate, Meagher & Flom LLP                     4 Times Square                     New York, New York 10036                     Attention: David C. Reamer                     Telecopier No.: (917) 777-2850                     Phone No.: (212) 735-2850                     Email: david.reamer@skadden.com    Notices  and  other  communication  sent  by  hand  or  overnight  courier  service,  or  mailed  by   certified or registered mail, shall be deemed to have been given when received; notices sent by   telecopier shall be deemed to have been given when sent (except that, if not given during normal   business hours for the recipient, shall be deemed to have been given at the opening of business   on  the  next  Business  Day  for  the  recipient).  Notices  delivered through  electronic   communications to the extent provided in paragraph (b) below, shall be effective as provided in  said paragraph (b).         (b)   Electronic  Communications.  Notices  and  other  communications  to the  Lenders   hereunder  may  (subject  to  Section  11.01(d))  be  delivered  or  furnished  by  electronic   communication (including e-mail, FpML messaging and Internet or intranet websites) pursuant   to procedures approved by the Administrative Agent; provided that the foregoing shall not apply   to notices to any Lender pursuant to ARTICLE II if such Lender, as applicable, has notified the   Administrative Agent that it is incapable of receiving notices under such Article by electronic   communication. The Administrative Agent or the Designated Company  may, in its discretion,   agree to accept notices and other communications to it hereunder by electronic communications   pursuant to procedures approved by it (including as set forth in Section 11.01(d)); provided that   approval of such procedures may be limited to particular notices or communications.          Unless  the  Administrative  Agent otherwise  prescribes,  (i) notices  and  other  communications sent to an e-mail address shall be deemed received upon the sender’s receipt of  an  acknowledgement  from  the  intended  recipient  (such  as  by  the “return  receipt  requested”  function,  as  available,  return  e-mail  or  other  written  acknowledgement);  provided  that  if  such   notice or other communication is not sent during the normal business hours of the recipient, such   notice or communication shall be deemed to have been sent at the opening of business on the   next business day for the recipient, and (ii) notices or communications posted to an Internet or   intranet website shall be deemed received upon the deemed receipt by the intended recipient at   its  e-mail  address  as  described  in  the  foregoing  clause (i)  of notification  that  such  notice  or   communication is available and identifying the website address therefor.          (c)   Change of Address, Etc. Any party hereto (other than a Lender) may change its   address or telecopier number for notices and other communications hereunder by notice to the   other  parties  hereto.  Each  Lender  may  change  its  address,  telecopier  or  telephone  number  for   notices  and  other  communications  hereunder  by  notice  to  the  Designated  Company  and  the   Administrative Agent. In addition, each Lender agrees to notify the Administrative Agent from   time  to  time  to  ensure  that  the  Administrative  Agent  has  on  record  (i)  an  effective  address,                                         212   1120544.02G-CHISR02A - MSW  

 

    contact name, telephone number, telecopier number and electronic mail address to which notices   and other communications may be sent and (ii) accurate wire instructions for such Lender.           (d)   Posting.  Each Loan Party hereby agrees that it will provide to the Administrative   Agent  all  information,  documents  and  other  materials  that  it  is  obligated  to  furnish  to  the   Administrative Agent pursuant to this Agreement and any other Loan Document, including all   notices,  requests,  financial  statements,  financial  and  other  reports,  certificates  and  other   information materials, but excluding any such communication that (i) relates to a request for a   new,  or  a  conversion  of  an  existing,  Borrowing  or  other  extension  of  credit  (including  any   election of an interest rate or interest period relating thereto), (ii) relates to the payment of any   principal  or  other  amount  due  under  this  Agreement  prior  to  the  scheduled  date  therefor,   (iii) provides notice of any Default under this Agreement or (iv) is required to be delivered to   satisfy any condition precedent to the effectiveness of this Agreement and/or any borrowing or   other  extension  of  credit  hereunder  (all  such  non-excluded  communications,  collectively,  the   “Communications”),  by  transmitting  the  Communications  in  an  electronic/soft  medium  in  a   format reasonably acceptable to the Administrative Agent at loansagencyuk@sc.com or at such   other e-mail address(es) provided to the Designated Company from time to time or in such other   form, including hard copy delivery thereof, as the Administrative Agent shall reasonably require.   Nothing  in  this  Section  11.01(d)  shall  prejudice  the  right  of  the  Administrative  Agent,  any   Lender or any Loan Party to give any notice or other communication pursuant to this Agreement   or any other Loan Document in any other manner specified in this Agreement or any other Loan   Document.          To the extent consented to by the Administrative Agent from time to time, Administrative   Agent  agrees  that  receipt  of  the  Communications  by  the  Administrative  Agent  at  its  e-mail   address(es)  set  forth  above  shall  constitute  effective  delivery  of  the  Communications  to  the   Administrative  Agent  for  purposes  of  the  Loan  Documents;  provided  that  the  Designated   Company shall also deliver to the Administrative Agent an executed original of each Compliance   Certificate and an executed copy (which may be by pdf or similar electronic transmission) of   each notice or request of the type described in clauses (i) through (iv) of paragraph (d) above   required to be delivered hereunder.          Each  Loan  Party  further  agrees  that  Administrative  Agent  may  make  the   Communications  available  to  the Lenders  by  posting  the  Communications  on  Intralinks,   Syndtrak,  ClearPar  or  a  substantially  similar  electronic  transmission  system  (the  “Platform”).  THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE.” THE AGENT PARTIES  (AS DEFINED BELOW) DO NOT WARRANT THE ACCURACY OR COMPLETENESS OF  THE BORROWER MATERIALS (AS DEFINED BELOW) OR THE ADEQUACY OF THE  PLATFORM,  AND  EXPRESSLY  DISCLAIM  LIABILITY  FOR  ERRORS  IN  OR  OMISSIONS  FROM  THE  BORROWER  MATERIALS.  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  ANY  AGENT  PARTY  IN  CONNECTION  WITH  THE  BORROWER                                         213   1120544.02G-CHISR02A - MSW  

 

  MATERIALS OR THE PLATFORM. In no event shall the Administrative Agent or any of its  Related Parties (collectively, the “Agent Parties”) have any liability to the Designated Company,  any other Loan Party, any Lender or any other Person for losses, claims, damages, liabilities or  expenses  of  any  kind  (whether  in  tort,  contract  or  otherwise)  arising  out  of  the  Designated  Company’s, any Loan Party’s or the Administrative Agent’s transmission of Borrower Materials  or notices through the Platform, any other electronic messaging service, or through the Internet,  except to the extent that such losses, claims, damages, liabilities or expenses are determined by a  court of competent jurisdiction by a final and nonappealable judgment to have resulted from the  gross negligence or willful misconduct of such Agent Party; provided, however, that in no event  shall any Agent Party have any liability to the Designated Company, any other Loan Party, any  Lender or any other Person for indirect, special, incidental, consequential or punitive damages  (as opposed to direct or actual damages).         Each  Loan  Party  further  agrees  and  acknowledges  that  certain  of  the  Lenders  (each,  a  “Public  Lender”)  may  have  personnel  who  do  not  wish  to  receive  material  non-public  information with respect to the Designated Company or its Affiliates, or the respective securities  of  any  of  the  foregoing,  and  who  may  be  engaged  in  investment  and  other  market-related  activities with respect to such persons’ securities. The Designated Company and each other Loan  Party hereby agree that it will use commercially reasonable efforts to identify that portion of the  materials  and/or  information  provided  by  or  on  behalf  of  the  Designated  Company  hereunder  (the “Borrower Materials”) that may be distributed to the Public Lenders and that (w) all such  Borrower Materials shall be clearly and conspicuously marked “PUBLIC” which, at a minimum,  shall mean that the word “PUBLIC” shall appear prominently on the first page thereof; (x) by  marking  Borrower  Materials  hereunder  “PUBLIC,”  the  Loan  Parties  shall  be  deemed  to  have  authorized the Mandated Lead Arrangers, the Administrative Agent and the Lenders to treat such  materials  as  not  containing  any  material  non-public  information  (although  it  may  be  sensitive  and  proprietary)  with  respect  to the  Designated  Company,  the  other  Loan  Parties  or  their  respective securities for purposes of United States Federal and state securities laws (provided,  however, that to the extent such materials constitute Information, they shall be treated as set forth  in  Section  11.12);  (y)  all  Borrower  Materials  marked  “PUBLIC”  are  permitted  to  be  made  available  through  a  portion  of  the  Platform  designated  “Public Side  Information;”  and  (z) the  Administrative Agent and the Mandated Lead Arrangers shall be entitled to treat any Borrower  Materials that are not marked “PUBLIC” as being suitable only for posting on a portion of the  Platform not designated “Public Side Information”. Each Public Lender agrees to cause at least  one individual at or on behalf of such Public Lender to at all times have selected the “Private  Side  Information”  or  similar  designation  on  the  content  declaration  screen  of  the  Platform  in  order  to  enable  such  Public  Lender  or  its  delegate,  in  accordance  with  such  Public  Lender’s  compliance procedures and applicable law, including United States Federal and state securities  Laws, to make reference to Borrower Materials that are not made available through the “Public  Side Information” portion of the Platform and that may contain material non-public information  with respect to the Designated Company, the other Loan Parties or their respective securities for  purposes of United States Federal or state securities laws.         (e)   Reliance  by  the  Administrative  Agent  and  Lenders. The  Administrative  Agent  and the Lenders shall be entitled to rely and act upon any notices purportedly given by or on                                        214  1120544.02G-CHISR02A - MSW  

 

    behalf of any Loan Party even if (i) such notices were not made in a manner specified herein,   were incomplete or were not preceded or followed by any other form of notice specified herein,   or (ii) the terms thereof, as understood by the recipient, varied from any confirmation thereof.   The Borrower shall indemnify the Administrative Agent, each Lender and the Related Parties of   each of them from all losses, costs, expenses and liabilities resulting from the reliance by such   person  on  each  notice  purportedly  given  by  or  on  behalf  of  any Loan  Party.  All  telephonic   notices to and other telephonic communications with the Administrative Agent may be recorded   by the Administrative Agent, and each of the parties hereto hereby consents to such recording.   Section 11.02 Waivers; Cumulative Remedies; Amendment.          (a)   Waivers; Cumulative Remedies. No failure or delay by the Administrative Agent   or any Lender in exercising any right or power hereunder or under any other Loan Document   shall  operate  as  a  waiver  thereof,  nor  shall  any  single  or partial  exercise  of  any  such  right  or   power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude   any other or further exercise thereof or the exercise of any other right or power. The rights and   remedies  of  the  Administrative  Agent  and  the  Lenders  hereunder and  under  the  other  Loan   Documents  are  cumulative  and  are  not  exclusive  of  any  rights  or  remedies  that  they  would   otherwise have. No waiver of any provision of any Loan Document or consent to any departure   by any Loan Party therefrom shall in any event be effective unless the same shall be permitted by   this  Section  11.02,  and  then  such  waiver  or  consent  shall  be  effective  only  in  the  specific   instance and for the purpose for which given. Without limiting the generality of the foregoing,   the making of a Loan shall not be construed as a waiver of any Default, regardless of whether the   Administrative Agent or any Lender may have had notice or knowledge of such Default at the   time. No notice or demand on any Loan Party in any case shall entitle any Loan Party to any   other or further notice or demand in similar or other circumstances.          (b)   Required Consents. Subject to Section 11.02(c) and (d), neither this Agreement   nor  any  other  Loan  Document  nor  any  provision  hereof  or  thereof  may  be  waived,  amended,   supplemented  or  modified  except, in  the  case  of  this  Agreement, pursuant to an agreement or   agreements  in  writing  entered  into  by  the  Borrower  and  the  Required  Lenders  (or  by  the   Administrative Agent with the written consent of the Required Lenders) or, in the case of any   other  Loan Document,  pursuant  to an  agreement  or agreements  in writing  entered  into  by  the   Administrative Agent and the Loan Party or Loan Parties that are party thereto, in each case with  the written consent of the Required Lenders; provided that no such agreement shall be effective   if the effect thereof would:                                (i)     increase the Commitment of any Lender without the                   written  consent  of  such  Lender  (it  being  understood  that  no  amendment,                   modification, termination, waiver or consent with respect to any condition                   precedent,  covenant  or  Default  shall  constitute  an  increase  in the                   Commitment of any Lender);                                          215   1120544.02G-CHISR02A - MSW  

 

                              (ii)    reduce the principal amount of any Loan or reduce                  the rate of interest thereon (other than interest pursuant to Section 2.06(c)),                  or reduce any Fees payable hereunder, or change the form or currency of                  payment  of  any  Obligation,  without  the  written  consent  of  each Lender                  directly affected thereby;                               (iii)   (A)  postpone  the  scheduled  final  maturity  of  any                  Loan,  (B)  postpone  the  date  for  payment  of  any  interest  or  fees payable                  hereunder,  (C)  change the  amount  of,  waive  or  excuse any  such  payment                  (other than waiver of any increase in the interest rate pursuant to Section                  2.06(c)),  or  (D)  postpone  the  scheduled  date  of  expiration  of  any                  Commitment without the written consent of each Lender directly affected                  thereby;                               (iv)    increase the  maximum  duration  of  Interest  Periods                  hereunder,  without  the  written  consent  of  each  Lender  directly affected                  thereby;                                (v)     permit  the  assignment  or  delegation  by  the                  Borrower  of  any  of  its  rights  or  obligations  under  any  Loan  Document,                  without  the  written  consent  of  each  Lender  (provided  that  the  Aleris                  Acquisition  shall  not  constitute  an  assignment  or  delegation  by  the                  Borrower  of  its  rights  or  obligations  under  the  Loan  Documents for                  purposes of this clause (v));                               (vi)    release  Holdings  or  all  or  substantially  all  of  the                  Subsidiary Guarantors from their Guarantees (except as expressly provided                  in  this  Agreement  or  as  otherwise  expressly  provided  by  any  such                  Guarantee), or limit their liability in respect of such Guarantees, without the                  written consent of each Lender;                               (vii)  change Section 2.14(b), (c) or (d) in a manner that                  would alter the pro rata sharing of payments or setoffs required thereby or                  any  other  provision  in  a  manner  that  would  alter  the pro rata  allocation                  among  the  Lenders  of  Loan  disbursements,  including  the  requirements  of                  Section 2.02(a), without the written consent of each Lender directly affected                  thereby;                               (viii)  change any provision of this Section 11.02(b) or (d),                  without the written consent of each Lender directly affected thereby;                                         216  1120544.02G-CHISR02A - MSW  

 

                              (ix)    change the percentage set forth in the definition of                  “Required  Lenders”  or  any  other  provision  of  any  Loan  Document                  (including  this  Section)  specifying  the  number  or  percentage  of  Lenders                  required  to  waive,  amend  or  modify  any  rights  thereunder  or  make  any                  determination or grant any consent thereunder, without the written consent                  of each Lender, other than to increase such percentage or number or to give                  any additional Lender or group of Lenders such right to waive, amend or                  modify or make any such determination or grant any such consent; and                               (x)     change  or  waive  any  provision  of  ARTICLE  X  as                  the same applies to the Administrative Agent, or any other provision hereof                  as the same applies to the rights or obligations of the Administrative Agent,                  in each case without the written consent of the Administrative Agent;                                (xi)    change  or  waive  any  provision  of  the  Letter  of                  Comfort without the written consent of each Lender;   provided, further, that any amendment, waiver or consent which by its terms requires the consent  of  all  Lenders  or  each  affected  Lender  may  be  effected  with  the  consent  of  the  applicable  Lenders  other  than  Defaulting  Lenders, except that (x) the Commitment  of  any  Defaulting  Lender  may  not  be  increased  or  extended,  the  principal  owed  to such  Lender  reduced  or  this  proviso  amended,  without  the  consent  of  such  Lender  and  (y)  any  waiver,  amendment  or  modification requiring the consent of all Lenders or each affected Lender that by its terms affects  any Defaulting Lender more adversely than other affected Lenders shall require the consent of  such Defaulting Lender.         (c)   [intentionally omitted].         (d)   Dissenting Lenders. If, in connection with any proposed change, waiver, consent,  discharge  or  termination  of  the  provisions  of  this  Agreement  as  contemplated  by  Section 11.02(b), the consent of the Required Lenders is obtained but the consent of one or more  of such other Lenders whose consent is required is not obtained, then the Designated Company  and the Borrower shall have the right, upon notice by the Designated Company or the Borrower  to such Lender and the Administrative Agent, to replace all, but not less than all, of such non- consenting Lender or Lenders (so long as all non-consenting Lenders are so replaced) with one  or more persons pursuant to Section 2.16 so long as at the time of such replacement each such  new Lender consents to the proposed change, waiver, consent, discharge or termination. Each  Lender agrees that, if the Designated Company or the Borrower elects to replace such Lender in  accordance with this Section, it shall promptly execute and deliver to the Administrative Agent  an  Assignment  and  Assumption  to  evidence  such  sale  and  purchase  and  shall  deliver  to  the  Administrative Agent any Note (if Notes have been issued in respect of such Lender’s Loans)  subject  to  such  Assignment  and  Assumption;  provided  that  the  failure  of  any  such  non- consenting  Lender  to  execute  an  Assignment  and  Assumption  shall not render such sale and                                        217  1120544.02G-CHISR02A - MSW  

 

  purchase (and the corresponding assignment) invalid and such assignment shall be recorded in  the Register.         (e)   Holdings  Amalgamation  and  Permitted  Reorganization.  Notwithstanding  the  foregoing, the Administrative Agent and the Borrower (without the consent of any Lenders) may  amend, amend and restate, supplement or otherwise modify this Agreement and the other Loan  Documents  if  necessary  or  advisable  in  connection  with  or  to  effectuate  (i)  the  Permitted  Holdings  Amalgamation,  and  (ii)  the  Permitted  Reorganization  (to  the  extent  set  forth  in  the  definition of “Permitted Reorganization”).         (f)   [intentionally omitted].         (g)   Most Favored Nation Provision. The Administrative Agent is authorized to enter  into any amendment to this Agreement contemplated under Section 6.10 with the Borrower, and  without  the  approval  of  any  other  Person,  notwithstanding  anything  in  this  Agreement  to  the  contrary.   Section 11.03 Expenses; Indemnity; Damage Waiver.          (a)   Costs and Expenses. The Borrower shall pay or cause the applicable Loan Party to  pay  (i) all  reasonable  out-of-pocket  expenses  incurred  by  the  Administrative  Agent,  the  Mandated Lead Arrangers, and their respective Affiliates (including the reasonable fees, charges  and  disbursements  of  one  primary  transaction  counsel  (plus  local  counsel  in  each  applicable  jurisdiction) for the Administrative Agent, all fees and time charges for attorneys who may be  employees  of  the  Administrative Agent,  expenses  incurred  in  connection  with  due  diligence,  inventory appraisal and collateral audit and reporting fees, travel, courier, reproduction, printing  and delivery expenses, and the obtaining and maintaining of CUSIP numbers for the Loans) in  connection  with  the  syndication  of  the  credit  facility  provided for herein, the preparation,  negotiation,  execution,  delivery and  administration  of  this  Agreement  and  the  other  Loan  Documents, in connection with each step of the Permitted Reorganization, the Aleris Acqisition  and the Permitted Holdings Amalgamation, and in connection with any amendment, amendment  and  restatement,  modification  or  waiver  of  the  provisions  hereof  or  of  any  of  the  foregoing  (whether or not the transactions contemplated hereby or thereby shall be consummated), (ii) all  out-of-pocket expenses incurred by the Administrative Agent or any Lender (including the fees,  charges  and  disbursements  of  one  primary  counsel  (plus  local  or special counsel in each  applicable jurisdiction) for the Administrative Agent (and all fees and time charges for attorneys  who  may  be  employees  of  the  Administrative  Agent)  and  one  primary  counsel  (plus  local  or  special  counsel  in  each  applicable  jurisdiction)  for  the  Lenders),  in  connection  with  the  enforcement or protection of its rights (A) in connection with this Agreement and the other Loan  Documents, including its rights under this Section 11.03, or (B) in connection with the Loans  issued  hereunder,  including  all  such  out-of-pocket  expenses  incurred  during  any  workout,  restructuring or negotiations in respect of such Loans and (iv) all documentary and similar taxes  and charges in respect of the Loan Documents.                                         218  1120544.02G-CHISR02A - MSW  

 

          (b)   Indemnification. Each Loan Party shall indemnify the Administrative Agent (and   any sub-agent thereof), each Mandated Lead Arranger, each Lender, and each Related Party of   any of the foregoing persons (each such person being called an “Indemnitee”) against, and hold  each Indemnitee harmless from, any and all reasonable out-of-pocket losses, claims, damages,  liabilities and related expenses (including the reasonable fees, charges and disbursements of any  counsel for any Indemnitee) incurred by any Indemnitee or asserted against any Indemnitee by  any  third  party  or  by  the  Designated  Company  or  any  other  Loan Party  arising  out  of,  in  connection with, or as a result of (i) the execution or delivery of this Agreement, any other Loan  Document,  or  any  amendment,  amendment  and  restatement,  modification  or  waiver  of  the  provisions hereof or thereof, or any agreement or instrument contemplated hereby or thereby, the  performance by the parties hereto of their respective obligations hereunder or thereunder or the  consummation of the transactions contemplated hereby or thereby (including in connection with  each step of the Permitted Reorganization, the Aleris Acquisition and any Permitted Holdings  Amalgamation),  (ii) any  Loan  or  the  use  or  proposed  use  of  the proceeds  therefrom,  (iii) any  actual or alleged presence or Release or threatened Release of Hazardous Materials on, at, under  or  from  any  property  owned,  leased  or  operated  by  any  Company  at  any  time,  or  any  Environmental Claim related in any way to any Company, or (iv) any actual or prospective claim,  litigation, investigation or proceeding relating to any of the foregoing, whether based on contract,  tort or any other theory, whether brought by a third party or by the Designated Company or any  other Loan Party, and regardless of whether any Indemnitee is a party thereto; provided that such   indemnity  shall  not,  as  to  any  Indemnitee,  be  available  to  the extent  that  such  losses,  claims,   damages, liabilities or related expenses (x) are determined by a court of competent jurisdiction   by  final  and  nonappealable  judgment  to  have  resulted  from  the  gross  negligence  or  willful   misconduct of such Indemnitee or (y) result from a claim brought by the Designated Company or   any  other  Loan  Party  against  an  Indemnitee  for  breach  in  bad  faith  of  such  Indemnitee’s   obligations hereunder or under any other Loan Document, if the Designated Company or such   Loan  Party  has  obtained  a  final  and  nonappealable  judgment  in  its favor on such claim as   determined  by  a  court  of  competent  jurisdiction.  WITHOUT  LIMITATION  OF  THE   FOREGOING,  IT  IS  THE  INTENTION  OF  THE  LOAN  PARTIES,  AND  THE  LOAN   PARTIES  AGREE,  THAT  THE  FOREGOING  INDEMNITIES  SHALL  APPLY  TO  EACH   INDEMNITEE  WITH  RESPECT  TO  LOSSES,  CLAIMS,  DAMAGES,  PENALTIES,  LIABILITIES  AND  RELATED  EXPENSES  (INCLUDING,  WITHOUT  LIMITATION,  ALL   EXPENSES OF LITIGATION OR PREPARATION THEREFOR), WHICH IN WHOLE OR IN   PART ARE CAUSED BY OR ARISE OUT OF THE COMPARATIVE, CONTRIBUTORY OR   SOLE NEGLIGENCE OF SUCH (AND/OR ANY OTHER) INDEMNITEE.          (c)   Reimbursement by Lenders. To the extent that any Loan Party for any reason fails   to indefeasibly pay any amount required under paragraph (a) or (b) of this Section 11.03 to be   paid by it to the Administrative Agent (or any sub-agent thereof), or any Related Party thereof,   each Lender severally agrees to pay to the Administrative Agent (or any such sub-agent), or such   Related Party, as the case may be, such Lender’s pro rata share (determined as of the time that   the applicable unreimbursed expense or indemnity payment is sought) of such unpaid amount;   provided that the unreimbursed expense or indemnified loss, claim, damage, liability or related   expense, as the case may be, was incurred by or asserted against the Administrative Agent (or   any such sub-agent) in its capacity as such, or against any Related Party of any of the foregoing   acting for the Administrative Agent (or any such sub-agent) in connection with such capacity.                                         219   1120544.02G-CHISR02A - MSW  

 

    The  obligations  of  the  Lenders  under  this  paragraph (c)  are  subject  to  the  provisions  of   Section 2.14(g).  For  purposes  hereof,  a  Lender’s  “pro rata share”  shall  be  determined  based   upon its share of the sum of the total outstanding Term Loans and unused Commitments of all   Lenders at the time (or if the Term Loans have been repaid in full and the Commitments have   been terminated, based upon its share of the Term Loans immediately prior to such repayment).           (d)   Waiver  of  Consequential  Damages,  Etc.  To  the  fullest  extent  permitted  by   applicable Requirements of Law, no Loan Party shall assert, and each Loan Party hereby waives,   any claim against any Indemnitee, on any theory of liability, for special, indirect, consequential   or punitive damages (as opposed to direct or actual damages) arising out of, in connection with,   or  as  a  result  of,  this  Agreement,  any  other  Loan  Document  or  any  agreement  or  instrument   contemplated hereby, the transactions contemplated hereby or thereby, any Loan or the use of the   proceeds  thereof.  No  Indemnitee  referred  to  in  paragraph  (b)  above  shall  be  liable  for  any   damages  arising  from  the  use  by  unintended  recipients  of  any  information  or  other  materials   distributed  by  it  through  telecommunications,  electronic  or  other  information  transmission   systems  in  connection  with  this  Agreement  or  the  other  Loan  Documents  or  the  transactions   contemplated hereby or thereby.          (e)   Payments. All amounts due under this Section shall be payable not later than three   (3) Business Days after demand therefore accompanied by reasonable particulars of amounts due.          (f)   Survival.  The  agreements  in  this  Section  shall  survive  the  resignation  of  the   Administrative Agent, the replacement of any Lender, the termination of the Commitments and  the repayment, satisfaction or discharge of all the Obligations   Section 11.04 Successors and Assigns.          (a)   Successors  and  Assigns  Generally.  The  provisions  of  this  Agreement  shall  be   binding upon and inure to the benefit of the parties hereto and their respective successors and   assigns permitted hereby, except that neither the Borrower nor any other Loan Party may (except   as a result of a transaction expressly permitted by Section 6.05(c) or 6.05(e)) assign or otherwise   transfer  any  of  its  rights  or  obligations  hereunder  without  the  prior  written  consent  of  the   Administrative  Agent  and  each  Lender  (it  being  understood  that the  merger  of  the  Initial   Borrower  with  and  into  Aleris  upon  the  consummation  of  the  Aleris  Acquisition  shall  not   constitute an assignment or transfer for purposes of this Section 11.04(a)), and no Lender may   assign or otherwise transfer any of its rights or obligations hereunder except (i) to an Eligible   Assignee in accordance with the provisions of paragraph (b) of this Section 11.04, (ii) by way of   participation in accordance with the provisions of paragraph (d) of this Section 11.04 or (iii) by   way of pledge or assignment of a security interest subject to the restrictions of paragraph (f) of   this Section (and any other attempted assignment or transfer by the Borrower, any other Loan   Party or any Lender shall be null and void). Nothing in this Agreement, expressed or implied,   shall  be  construed  to  confer  upon any  person  (other  than  the  parties  hereto,  their  respective   successors and assigns permitted hereby, Participants to the extent provided in paragraph (d) of                                          220   1120544.02G-CHISR02A - MSW  

 

  this Section and, to the extent expressly contemplated hereby, the other Indemnitees) any legal or  equitable right, remedy or claim under or by reason of this Agreement.         (b)   Assignments  by  Lenders.  Any  Lender  may  at  any  time  assign  to  one  or  more  Eligible Assignees all or a portion of its rights and obligations under this Agreement (including  all or a portion of its Commitment and the Loans at the time owing to it); provided that                               (i)     except  in  the  case  of  an  assignment  of  the  entire                  remaining amount of the assigning Lender’s Commitment and the Loans at                  the  time  owing  to  it  or  in  the  case  of  an  assignment  to  a  Lender  or  an                  Affiliate  of  a  Lender  or  an  Approved  Fund  with  respect  to  a  Lender,  the                  aggregate  amount  of  the  Commitment  (which  for  this  purpose  includes                  Loans outstanding thereunder) or, if the applicable Commitment is not then                  in  effect,  the  principal  outstanding  balance  of  the  Loans  of  the  assigning                  Lender  subject  to  each  such  assignment  (determined  as  of  the  date  the                  Assignment and Assumption with respect to such assignment is delivered to                  the Administrative Agent or, if “Trade Date” is specified in the Assignment                  and  Assumption,  as  of  the  Trade  Date)  shall  be  an  integral  multiple  of                  $1,000,000,  unless,  so  long  as  no  Event  of  Default  has  occurred and is                  continuing, the Designated Company otherwise consents (each such consent                  not  to  be  unreasonably  withheld  or delayed) and, with respect to  the                  Borrower, such consent shall be deemed given if no objection is made by                  the  Borrower  within  five  Business  Days  after  notice  of  the  proposed                  assignment; provided, however, that concurrent assignments to members of                  an  Assignee  Group  and  concurrent  assignments  from  members  of  an                  Assignee  Group  to  a  single  Eligible  Assignee (or  to  an  Eligible Assignee                  and members of its Assignee Group) will be treated as a single assignment                  for purposes of determining whether such minimum amount has been met;                               (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  Loan  or  the                  Commitment assigned;                               (iii)  the  parties  to  each  assignment  shall  execute  and                  deliver  to  the  Administrative  Agent  an  Assignment  and  Assumption,                  together with a processing and recordation fee of $3,500 (provided that only                  one such fee shall be imposed in the case of simultaneous assignments by                  related  Approved  Funds  or  Affiliates  of  the  assigning  Lender), and  the                  Eligible Assignee, if it shall not be a Lender, shall deliver to  the                  Administrative Agent an Administrative Questionnaire                                         221  1120544.02G-CHISR02A - MSW  

 

                                (iv)    the Administrative Agent shall have received a U.S.                   tax withholding certificate (or, alternatively, other evidence satisfactory to                   the Administrative Agent) confirming FATCA compliance of the Eligible                   Assignee  pursuant  to  paragraph  (v)  of  Section  2.15(f)  (FATCA                   Information). For the avoidance of doubt, and pursuant to paragraph (viii)                   of  Section  2.15(f)  (FATCA  Information),  the  Administrative  Agent  may                   rely  on  such  U.S.  tax withholding  certificate or  other  evidence from  each                   Lender without further verification, and the Administrative Agent shall not                   be liable for any action taken by it in respect of such U.S. tax withholding                   certificate or other evidence under or in connection with paragraph (v), (vi)                   or (vii) of Section 2.15(f) (FATCA Information); and    Subject  to  acceptance  and  recording  thereof  by  the  Administrative  Agent  pursuant  to   paragraph (c)  of  this  Section  11.04,  from  and  after  the  effective  date  specified  in  each   Assignment and Assumption, the Eligible Assignee thereunder shall be a party to this Agreement   and, to the extent of the interest assigned by such Assignment and Assumption, have the rights   and obligations of a Lender under this Agreement, and the assigning Lender thereunder shall, to   the  extent  of  the  interest  assigned  by  such  Assignment  and  Assumption,  be  released  from  its   obligations under this Agreement (and, in the case of an Assignment and Assumption covering   all  of  the  assigning  Lender’s  rights  and  obligations  under  this  Agreement,  such  Lender  shall   cease  to  be  a  party  hereto)  but  shall  continue  to  be  entitled  to  the  benefits  of  Section  2.12,   Section 2.13, Section 2.15, Section 2.16, Section 7.10 and Section 11.03 with respect to facts and   circumstances  occurring  prior  to  the  effective  date  of  such  assignment.  Any  assignment  or   transfer by a Lender of rights or obligations under this Agreement that does not comply with this   paragraph  shall  be  treated  for  purposes  of  this  Agreement  as  a sale  by  such  Lender  of  a   participation  in  such  rights  and  obligations  in  accordance  with  paragraph (d)  of  this   Section 11.04.          (c)   Register. The Administrative Agent, acting solely for this purpose as an agent of   the  Borrower  (and  such  agency  being  solely  for  tax  purposes),  shall,  at  all  times  at  the   Administrative  Agent’s  Office,  while  any  Loans  are  outstanding,  maintain  a  copy  of  each   Assignment and Assumption delivered to it and a register for the recordation of the names and   addresses of the Lenders, and the Commitments of, and principal amounts of the Loans owing to,   each Lender pursuant to the terms hereof from time to time (the “Register”). The entries in the  Register shall be conclusive, and the Borrower, the Administrative Agent and the Lenders shall  treat  each  person  whose  name  is recorded  in  the  Register  pursuant  to  the  terms  hereof  as  a  Lender hereunder for all purposes of this Agreement, notwithstanding notice to the contrary. In  addition,  the  Administrative  Agent  shall  maintain  in  the  Register  information  regarding  the  designation, and revocation of designation, of any Lender as a Defaulting Lender. The Register  shall be available for inspection by the Borrower and any Lender (with respect to its own interest  only),  at  any  reasonable  time  and  from  time  to  time  upon  reasonable  prior  notice.  The  requirements  of  this  Section  11.04(c)  are  intended  to  result  in  any  and  all  Loans  being  in   “registered form” for purposes of Section 871, Section 881 and any other applicable provision of   the Code, and shall be interpreted and applied in a manner consistent therewith. Each Lender that   sells a participation shall, acting solely for this purpose as a non-fiduciary agent of the Borrower,                                         222   1120544.02G-CHISR02A - MSW  

 

  maintain a register on which it enters the name and address of each Participant and the principal  amounts  (and  stated  interest)  of each  Participant’s  interest  in  the  Commitments  and  Loans  or  other  obligations  under  the  Loan  Documents  (the  “Participant  Register”);  provided  that  no  Lender  shall  have  any  obligation  to  disclose  all  or  any  portion  of  the  Participant  Register  (including the identity of any Participant or any information relating to a Participant’s interest in  any  commitments,  loans,  or  its  other  obligations  under  any  Loan  Document)  to  any  Person  except to the extent that such disclosure is necessary to establish that such commitment, loan, or  other  obligation  is  in  registered  form  under  Section  5f.103-1(c)  of  the  United  States  Treasury  Regulations. The entries in the Participant Register shall be conclusive absent manifest error, and  such Lender shall treat each Person whose name is recorded in the Participant Register as the  owner of such participation for all purposes of this Agreement notwithstanding any notice to the  contrary. For the avoidance of doubt, the Administrative Agent (in its capacity as Administrative  Agent) shall have no responsibility for maintaining a Participant Register.         (d)   Participations. Any Lender may at any time, without the consent of, or notice to,  the Borrower or the Administrative Agent sell participations to any person (other than a natural  person, a Defaulting Lender or the Borrower, or any other Company’s Affiliates or Subsidiaries)  (each, a “Participant”) in all or a portion of such Lender’s rights and/or obligations under this  Agreement (including all or a portion of its Commitment and/or the Loans owing to it); provided  that (i) such Lender’s obligations under this Agreement shall remain unchanged, (ii) such Lender  shall remain solely responsible to the other parties hereto for the performance of such obligations  and (iii) each Loan Party, the Administrative Agent and the Lenders shall continue to deal solely  and directly with such Lender in connection with such Lender’s rights and obligations under this  Agreement.         Any agreement or instrument pursuant to which a Lender sells such a participation shall  provide  that  such  Lender  shall  retain  the  sole  right  to  enforce  the  Loan  Documents  and  to  approve  any  amendment,  modification  or  waiver  of  any  provision of  the  Loan  Documents;  provided that such agreement or instrument may provide that such Lender will not, without the  consent of the Participant, agree to any amendment, modification or waiver described in clause  (i), (ii) or (iii) of the first proviso to Section 11.02(b) that affects such Participant. Subject to  paragraph (e) of this Section, the Borrower agrees that each Participant shall be entitled to the  benefits of Section 2.12, Section 2.13, Section 2.15, Section 2.16 and Section 7.10 (subject to the  requirements of those Sections) to the same extent as if it were a Lender and had acquired its  interest by assignment pursuant to paragraph (b) of this Section; provided, that such Participant  shall  not  be  entitled  to  receive  any  greater  payment  under  Section  2.12,  Section  2.15,  or  Section 7.10  with  respect  to  any  participation,  than  its  participating  Lender  would  have  been  entitled to receive, except to the extent such entitlement to receive a greater payment results from  a Change in Law that occurs after the Participant acquired the applicable participation. To the  extent permitted by law, each Participant also shall be entitled to the benefits of Section 11.08 as  though it were a Lender, provided such Participant agrees to be subject to such Section 2.14 as  though it were a Lender.                                         223  1120544.02G-CHISR02A - MSW  

 

        (e)   Limitations  on  Participant  Rights.  A  Participant  shall  not  be  entitled  to  receive  any  greater  payment  under  Section  2.12,  Section  2.13,  Section  2.15,  Section  2.16  and  Section 7.10 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 Designated Company’s prior written consent.         (f)   Certain Pledges. Any Lender may 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 to any  other  central  bank  with  jurisdiction  over  such  Lender;  provided  that  no  such  pledge  or  assignment shall release such Lender from any of its obligations hereunder or substitute any such  pledgee or assignee for such Lender as a party hereto.          (g)   Disqualified Institutions.                               (i)     No assignment or participation shall be made to any                  Person that was a Disqualified Institution as of the date (the “Trade Date”)                  on which the assigning Lender entered into a binding agreement to sell and                  assign all or a portion of its rights and obligations under this Agreement to                  such  Person  (unless  the  Borrower  has  consented  to  such  assignment  in                  writing in its sole and absolute discretion, in which case such Person will                  not  be  considered  a  Disqualified  Institution  for  the  purpose  of  such                  assignment or participation). For the avoidance of doubt, with respect to any                  assignee that becomes a Disqualified Institution after the applicable Trade                  Date (including as a result of the delivery of a notice pursuant to, and/or the                  expiration of the notice period referred to in, the definition of “Disqualified                  Institution”), (x) such assignee shall not retroactively be disqualified from                  becoming a Lender and (y) the execution by the Borrower of an Assignment                  and  Assumption  with  respect  to  such  assignee  will  not  by  itself result in                  such  assignee  no  longer  being  considered  a  Disqualified  Institution.  Any                  assignment or participation in violation of this clause (g)(i) shall not be void,                  but the other provisions of this clause (g) shall apply.                                (ii)   If any assignment (but not participation) is made to                  any Disqualified Institution without the Borrower’s prior written consent in                  violation  of  clause  (i)  above,  or  any  Person  (other  than  a  Participant)                  becomes  a  Disqualified  Institution  after  the  applicable  Trade  Date,  the                  Borrower may, at its sole expense and effort, upon notice to the applicable                  Disqualified  Institution  and  the  Administrative  Agent,  (A)  purchase  or                  prepay  such  Term  Loan  by  paying  the  lesser  of  (x) the  principal  amount                  thereof and (y) the amount that such Disqualified Institution paid to acquire                  such Term Loans, in each case plus accrued interest, accrued fees and all                  other amounts (other than principal amounts) payable to it hereunder (and,                  in  the  case  of  a  purchase,  effect  an  immediate  cancellation)  and/or                                        224  1120544.02G-CHISR02A - MSW  

 

                  (B) require  such  Disqualified  Institution  to  assign,  without  recourse  (in                  accordance  with  and  subject  to  the  restrictions  contained  in  this                  Section 11.04),  all  of  its  interest,  rights  and  obligations  under  this                  Agreement to one or more Eligible Assignees at the lesser of (x) the                  principal  amount  thereof  and  (y)  the  amount  that  such  Disqualified                  Institution paid to acquire such interests, rights and obligations, in each case                  plus  accrued  interest,  accrued  fees  and  all  other  amounts  (other  than                  principal amounts) payable to it hereunder.                               (iii)  Notwithstanding anything to the contrary contained                  in this Agreement, if any assignment (but not participation) is made to any                  Disqualified  Institution  without  the  Borrower’s  prior  written  consent  in                  violation of clause (i) above, then such Disqualified Institution (A) will not                  (x) have the right to receive information, reports or other materials provided                  to  Lenders  by  the  Loan  Parties,  the  Administrative  Agent  or  any other                  Lender, (y) attend or participate in meetings attended by the Lenders and                  the Administrative Agent, or (z) access any electronic site established for                  the  Lenders  or  confidential  communications  from  counsel  to  or  financial                  advisors  of  the  Administrative  Agent  or  the  Lenders  and  (B) (x) for                  purposes of any consent to any amendment, waiver or modification of, or                  any action under, and for the purpose of any direction to the Administrative                  Agent  or  any  Lender  to  undertake  any  action  (or  refrain  from  taking  any                  action)  under  this  Agreement  or  any  other  Loan  Document,  such                  Disqualified  Institution  will  be  deemed  to  have  consented  in  the  same                  proportion as the Lenders that are not Disqualified Institutions consented to                  such matter, and (y) for purposes of voting on any plan of reorganization or                  plan of liquidation pursuant to any Debtor Relief Laws (“Reorganization                  Plan”), such Disqualified Institution party hereto hereby agrees (1) not to                  vote on such Reorganization Plan, (2) if such Disqualified Institution does                  vote  on  such  Reorganization  Plan  notwithstanding  the  restriction  in  the                  foregoing clause (1), such vote will be deemed not to be in good faith and                  shall be “designated” pursuant to Section 1126(e) of the Bankruptcy Code                  of  the  United  States  (or  any  similar  provision  in  any  other  Debtor  Relief                  Laws),  and  such  vote  shall  not  be  counted  in  determining  whether  the                  applicable  class  has  accepted  or  rejected  such  Reorganization  Plan  in                  accordance  with  Section  1126(c)  of  the  Bankruptcy  Code  of  the  United                  States  (or  any  similar  provision  in  any  other  Debtor  Relief  Laws)  and                  (3) not  to  contest  any  request  by  any  party  for  a  determination  by  the                  bankruptcy  court  (or  other  applicable  court  of  competent  jurisdiction)                  effectuating the foregoing clause (2).                               (iv)    The Administrative Agent shall have the right, and                  the  Borrower  hereby  expressly  authorizes  the  Administrative  Agent,  to                  (A) post  the  list  of  Disqualified  Institutions  provided  by  the Designated                  Company and any updates thereto from time to time (collectively, the “DQ                  List”)  on  the  Platform,  including  that  portion  of  the  Platform  that is                                        225  1120544.02G-CHISR02A - MSW  

 

                    designated for “public side” Lenders and/or (B) provide the DQ List to each                   Lender requesting the same.    Section 11.05 Survival  of  Agreement.  All  covenants,  agreements,  representations  and   warranties  made  by  the  Loan  Parties  in  the  Loan  Documents  and  in  the  certificates  or  other   instruments  delivered  in  connection  with  or  pursuant  to  this  Agreement  or  any  other  Loan   Document  shall  be  considered  to  have  been  relied  upon  by  the  other  parties  hereto  and  shall   survive  the  execution  and  delivery  of  the  Loan  Documents  and  the  making  of  any  Loans,   regardless of any investigation made by any such other party or on its behalf and notwithstanding   that the Administrative Agent or any Lender may have had notice or knowledge of any Default   or incorrect representation or warranty at the time any credit is extended hereunder, and shall   continue in full force and effect as long as the principal of or any accrued interest on any Loan or   any  fee  or  any  other  amount  payable  under  this  Agreement  is  outstanding  and  unpaid  or  any   Commitments  have  not  expired  or  terminated.  The  provisions  of  Section  2.12,  Section  2.13,   Section  2.14,  Section 2.15,  Section 2.16,  Section  7.10,  ARTICLE  X  and  Section  11.03  shall   survive and remain in full force and effect regardless of the consummation of the transactions   contemplated  hereby,  the  repayment  of  the  Loans,  the  expiration  or  termination  of  the   Commitments or the termination of this Agreement or any provision hereof.    Section 11.06 Counterparts; Integration; Effectiveness. This Agreement may be executed in   counterparts  (and  by  different  parties  hereto  in  different  counterparts),  each  of  which  shall  constitute an original, but all of which when taken together shall constitute a single contract. This   Agreement  and  the  other  Loan  Documents  and  any  separate  letter agreements  with  respect  to   fees payable to the Administrative Agent or the Mandated Lead Arrangers constitute the entire   contract  among  the  parties  relating  to  the  subject  matter  hereof  and  supersede  any  and  all   previous agreements and understandings, oral or written, relating to the  subject  matter  hereof.   Except as provided in Section 4.01, this Agreement shall become effective when it shall have   been  executed  by  the  Administrative  Agent  and  when  the  Administrative  Agent  shall  have   received counterparts hereof that, when taken together, bear the signatures of each of the other   parties  hereto.  Delivery  of  an  executed  counterpart  of  a  signature  page  of  this  Agreement  by  telecopier shall be effective as delivery of a manually executed counterpart of this Agreement.  THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.   Section 11.07 Severability.  Any  provision  of  this  Agreement  held  to  be  invalid,  illegal  or   unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such  invalidity, illegality or unenforceability without affecting the validity, legality and enforceability  of  the  remaining  provisions  hereof;  and  the  invalidity  of  a  particular  provision  in  a  particular  jurisdiction shall not invalidate such provision in any other jurisdiction.   Section 11.08 Right  of  Setoff.  If  an Event  of  Default  shall  have  occurred  and  be  continuing,   each Lender and each of their respective Affiliates is hereby authorized at any time and from   time to time, to the fullest extent permitted by applicable Requirements of Law, to set off and   apply any and all deposits (general or special, time or demand, provisional or final, in whatever   currency) at any time held and other obligations (in whatever currency) at any time owing by   such Lender or any such Affiliate to or for the credit or the account of the Designated Company   or any other Loan Party against any and all of the obligations of the Designated Company or   such Loan Party now or hereafter existing under this Agreement or any other Loan Document to                                         226   1120544.02G-CHISR02A - MSW  

 

    such Lender, irrespective of whether or not such Lender shall have made any demand under this   Agreement  or  any  other  Loan  Document  and  although  such  obligations  of  the  Designated   Company or such Loan Party may be contingent or unmatured or are owed to a branch or office   of  such  Lender  different  from  the  branch  or  office  holding  such  deposit  or  obligated  on  such   indebtedness. The rights of each Lender and their respective Affiliates under this Section are in   addition to other rights and remedies (including other rights of setoff) that such Lender or its   respective Affiliates may have. Each Lender agrees to notify the Designated Company and the   Administrative Agent promptly after any such setoff and application; provided that the failure to   give such notice shall not affect the validity of such setoff and application.    SECTION 11.09     GOVERNING  LAW;  JURISDICTION;  CONSENT  TO  SERVICE   OF PROCESS.          (a)   GOVERNING  LAW.  THIS  AGREEMENT  SHALL  BE  CONSTRUED  IN   ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW YORK,   WITHOUT  REGARD  TO  CONFLICTS  OF  LAW  PRINCIPLES  THAT  WOULD  REQUIRE   THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION.          (b)   SUBMISSION  TO  JURISDICTION.  EACH  LOAN  PARTY  HEREBY   IRREVOCABLY  AND  UNCONDITIONALLY  SUBMITS,  FOR  ITSELF  AND  ITS   PROPERTY, TO THE NONEXCLUSIVE JURISDICTION OF THE SUPREME COURT OF   THE STATE OF NEW YORK SITTING IN NEW YORK COUNTY AND OF THE UNITED  STATES DISTRICT COURT OF THE SOUTHERN DISTRICT OF NEW YORK, AND ANY  APPELLATE  COURT  FROM  ANY  THEREOF,  IN  ANY  ACTION  OR  PROCEEDING  ARISING OUT OF OR RELATING TO ANY LOAN DOCUMENT, OR FOR RECOGNITION  OR  ENFORCEMENT  OF  ANY  JUDGMENT,  AND  EACH  OF  THE  PARTIES  HERETO  HEREBY IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL CLAIMS IN   RESPECT  OF  ANY  SUCH  ACTION  OR  PROCEEDING  MAY  BE  HEARD  AND   DETERMINED IN SUCH NEW YORK STATE COURT OR, TO THE FULLEST EXTENT  PERMITTED  BY  APPLICABLE  LAW,  IN  SUCH  FEDERAL  COURT.  EACH  OF  THE   PARTIES  HERETO  AGREES  THAT  A  FINAL  JUDGMENT  IN  ANY  SUCH  ACTION   OR   PROCEEDING  SHALL  BE  CONCLUSIVE  AND  MAY  BE  ENFORCED  IN  OTHER   JURISDICTIONS  BY  SUIT  ON  THE  JUDGMENT  OR  IN  ANY  OTHER  MANNER   PROVIDED  BY  LAW.  NOTHING  IN  THIS  AGREEMENT  OR  ANY  OTHER  LOAN   DOCUMENT SHALL AFFECT ANY RIGHT THAT THE ADMINISTRATIVE AGENT OR   ANY  LENDER  MAY  OTHERWISE  HAVE  TO  BRING  ANY  ACTION  OR  PROCEEDING   RELATING  TO  THIS  AGREEMENT  OR  ANY  OTHER  LOAN  DOCUMENT  AGAINST   ANY LOAN PARTY OR ITS PROPERTIES IN THE COURTS OF ANY JURISDICTION.          (C)   WAIVER OF VENUE. EACH LOAN PARTY HEREBY IRREVOCABLY AND   UNCONDITIONALLY  WAIVES,  TO  THE        FULLEST  EXTENT  PERMITTED  BY   APPLICABLE REQUIREMENTS OF LAW, ANY OBJECTION WHICH IT MAY NOW OR  HEREAFTER  HAVE  TO  THE  LAYING  OF  VENUE  OF  ANY  SUIT,  ACTION  OR  PROCEEDING  ARISING  OUT  OF  OR  RELATING  TO  THIS  AGREEMENT  OR  ANY                                         227   1120544.02G-CHISR02A - MSW  

 

  OTHER  LOAN  DOCUMENT  IN  ANY  COURT  REFERRED  TO  IN  SECTION  11.09(B).  EACH  FRENCH  GUARANTOR  AND  EACH  OTHER  FRENCH  SUBSIDIARY  HEREBY  WAIVES THE BENEFIT OF THE PROVISIONS OF ARTICLE 14 OF THE FRENCH CODE  CIVIL.  EACH  OF  THE  PARTIES  HERETO  HEREBY  IRREVOCABLY  WAIVES,  TO  THE  FULLEST  EXTENT  PERMITTED  BY  APPLICABLE  REQUIREMENTS  OF  LAW,  THE  DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH ACTION  OR PROCEEDING IN ANY SUCH COURT.         (D)   SERVICE  OF  PROCESS.  EACH  PARTY  HERETO  IRREVOCABLY  CONSENTS  TO  SERVICE  OF  PROCESS  IN  ANY  ACTION  OR  PROCEEDING  ARISING  OUT  OF  OR  RELATING  TO  ANY  LOAN  DOCUMENT,  IN  THE  MANNER  PROVIDED  FOR  NOTICES  (OTHER  THAN  TELECOPIER,  E-MAIL  OR  OTHER  ELECTRONIC  TRANSMISSION)  IN  SECTION  11.01.  EACH  LOAN  PARTY  HEREBY  IRREVOCABLY  DESIGNATES,  APPOINTS  AND  EMPOWERS  CORPORATION  SERVICE  COMPANY,  1180  AVE  OF  THE  AMERICAS,  SUITE    210,  NEW  YORK,  NEW  YORK,  10036  (TELEPHONE NO: 800-927-9801, X52067) (TELECOPY NO: 212-299-5656) (ELECTRONIC  MAIL ADDRESS: MWIENER@CSCINFO.COM)  (THE  “PROCESS  AGENT”),  IN  THE  CASE OF ANY SUIT, ACTION OR PROCEEDING BROUGHT IN THE UNITED STATES  AS  ITS  DESIGNEE,  APPOINTEE  AND      AGENT  TO  RECEIVE,  ACCEPT  AND  ACKNOWLEDGE  FOR  AND  ON  ITS  BEHALF,  AND  IN  RESPECT  OF  ITS  PROPERTY,  SERVICE  OF  ANY  AND  ALL  LEGAL  PROCESS,  SUMMONS,  NOTICES  AND  DOCUMENTS  THAT  MAY  BE  SERVED  IN  ANY  ACTION  OR  PROCEEDING  ARISING  OUT OF OR IN CONNECTION WITH THIS AGREEMENT OR ANY LOAN DOCUMENT.  NOTHING IN THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT WILL AFFECT  THE RIGHT OF ANY PARTY HERETO TO SERVE PROCESS IN ANY OTHER MANNER  PERMITTED BY APPLICABLE REQUIREMENTS OF LAW.   SECTION 11.10     WAIVER  OF  JURY  TRIAL.    EACH  LOAN  PARTY  HEREBY  IRREVOCABLY  WAIVES,  TO  THE  FULLEST  EXTENT  PERMITTED  BY  APPLICABLE REQUIREMENTS OF LAW, ANY RIGHT IT MAY HAVE TO A TRIAL  BY  JURY  IN  ANY  LEGAL  PROCEEDING  DIRECTLY  OR  INDIRECTLY  ARISING  OUT OF OR RELATING TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENT  OR  THE  TRANSACTIONS  CONTEMPLATED  HEREBY  (WHETHER  BASED  ON  CONTRACT,  TORT  OR  ANY  OTHER          THEORY).  EACH  PARTY  HERETO  (A) CERTIFIES  THAT  NO  REPRESENTATIVE,  AGENT  OR  ATTORNEY  OF  ANY  OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH  OTHER  PARTY  WOULD  NOT,  IN  THE  EVENT  OF  LITIGATION,  SEEK  TO  ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND  THE  OTHER  PARTIES  HERETO  HAVE      BEEN  INDUCED  TO  ENTER  INTO  THIS  AGREEMENT  AND  THE  OTHER  LOAN  DOCUMENTS  BY,  AMONG  OTHER  THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.   Section 11.11 Headings. Article and Section headings and the Table of Contents used herein are  for  convenience  of  reference  only,  are  not  part  of  this  Agreement  and  shall  not  affect  the  construction of, or be taken into consideration in interpreting, this Agreement.                                         228  1120544.02G-CHISR02A - MSW  

 

    Section 11.12 Treatment of Certain Information; Confidentiality. The Administrative Agent   and  each  Lender  agrees to  maintain the  confidentiality  of  the  Information  (as  defined  below),   except that Information may be disclosed (a) to its Affiliates (including its head office, branch or   representative  offices)  and  to  its  and  its  Affiliates’  respective  partners,  directors,  officers,   employees,  agents,  trustees,  advisors  and  other  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 Requirements of Law, stock exchange requirement, or by any subpoena or   similar  legal  process,  (d) to  any  other  party  hereto,  (e) 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, (f) subject to an agreement containing provisions substantially the same as those of   this Section 11.12, to (i) any assignee of or Participant or sub-Participant in, or any prospective   Lender,  or  prospective  assignee of  or  Participant  or  sub-Participant  in,  any  of  its  rights  or   obligations under this Agreement, (ii) any actual or prospective counterparty (or its advisors) to   any  swap  or  derivative  transaction  relating  to  any  Loan  Party  and  its  obligations  or  (iii)  any  rating agency for the purpose of obtaining a credit rating applicable to any Lender, (g) with the  consent  of  the  Designated  Company  or  the  applicable  Loan  Party,  (h)  to  insurers,  insurance  brokers and other credit protection and service providers of any Agent, Lender, or any of their  respective Affiliates who are under a duty of confidentiality to such Agent, Lender or Affiliate,  (i) to any Federal Reserve Bank or any other central bank with jurisdiction over such Person in  connection with a pledge or assignment in accordance with Section 11.04(f) or (j) to the extent   such Information (x) becomes publicly available other than as a result of a breach of this Section   or  (y) becomes  available  to  the  Administrative  Agent,  any  Lender  or  any  of  their  respective   Affiliates on a nonconfidential basis from a source other than the Loan Parties. For purposes of   this Section, “Information” shall mean all written information received from a Loan Party or  any of its Subsidiaries relating to the Loan Parties or any of their Subsidiaries or any of their  respective  businesses,  other  than  any  such  information  that  is available  to  the  Administrative  Agent or any Lender on a nonconfidential basis prior to disclosure by any Loan Party or any of  their Subsidiaries, provided that, in the case of information received from any Loan Party or any   of their Subsidiaries after the Effective Date, such information is clearly identified at the time of   delivery as confidential. Any person required to maintain the confidentiality of Information as   provided in this Section shall be considered to have complied with its obligation to do so if such   person has exercised the same degree of care to maintain the confidentiality of such Information   as such person would accord to its own confidential information.    Section 11.13 USA  PATRIOT  Act  Notice. Each Lender that is subject to the Patriot Act (as   hereinafter defined) and the Administrative Agent (for itself and not on behalf of any Lender)   hereby  notifies  the  Designated  Company  and  the  other  Loan  Parties  that  pursuant  to  the   requirements of the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26,   2001)) (the “Patriot Act”), it is required to obtain, verify and record information that identifies   the  Designated  Company  and  the  other  Loan  Parties,  which  information  includes  the  name,   address and tax identification number of the Designated Company and the other Loan Parties and   other information regarding the Designated Company and the other Loan Parties that will allow   such Lender or the Administrative Agent, as applicable, to identify the Designated Company and                                         229   1120544.02G-CHISR02A - MSW  

 

    the other Loan Parties in accordance with the Patriot Act. This notice is given in accordance with   the  requirements  of  the  Patriot  Act  and  is  effective  as  to  the Lenders  and  the  Administrative   Agent.  Where  a  Lender  has  received  soft  copies  of  the  documents  provided  pursuant  to   Section 4.01,  Section  4.02,  the  definition  of  Permitted  Reorganization  or  this  Section  11.13,   within  a  reasonable  period  of time  following  the  written  request  therefor  by  such  Lender,  the   Designated  Company  shall  deliver  paper  copies  to  such  Lender,  it  being  understood  that  the   Lenders have a right to seek paper copies of all such documentation as may be required in order   to  enable  compliance  with  applicable  “know  your  customer”  and  anti-money  laundering  rules   and regulations.    Section 11.14 Interest Rate Limitation. Notwithstanding anything to the contrary contained in   any Loan Document, the interest paid or agreed to be paid under the Loan Documents shall not   exceed the maximum rate of non-usurious interest permitted by applicable law (the “Maximum   Rate”).  If  the  Administrative  Agent  or  any  Lender  shall  receive  interest  in  an  amount  that   exceeds the Maximum Rate, the excess interest shall be applied to the principal of the Loans or,   if it exceeds such unpaid principal, refunded to the Borrower. In determining whether the interest   contracted  for,  charged,  or  received  by  the  Administrative  Agent  or  a  Lender  exceeds  the   Maximum Rate, such person may, to the extent permitted by applicable law, (a) characterize any   payment  that  is  not  principal  as  an  expense,  fee,  or  premium  rather  than  interest,  (b)  exclude   voluntary prepayments and the effects thereof, and (c) amortize, prorate, allocate, and spread in   equal  or  unequal  parts  the  total  amount  of  interest  throughout the  contemplated  term  of  the   Obligations hereunder.    Section 11.15 Singapore  Personal  Data  Protection  Act.  If  a  Loan  Party  provides  a  Credit   Party with personal data of any individuals (including, where applicable, a Loan Party’s directors,   officers,  employees,  shareholders,  beneficial  owners,  representatives,  agents  and  principals  (if  acting on behalf of another)), that Loan Party represents and warrants that it:         (a)   has obtained (and shall maintain) the consent from such individual; and         (b)   is authorized to deliver such personal data to that Credit Party for collection, use,  disclosure,  transfer  and  retention  of  personal  data  for  such  purposes  as  set  out  in  that  Credit  Party’s personal data protection policy or as permitted by applicable laws or regulations.   Section 11.16 Obligations Absolute. To the fullest extent permitted by applicable Requirements   of  Law,  all  obligations  of  the  Loan  Parties  hereunder  shall  be absolute  and  unconditional   irrespective of:          (a)   any  bankruptcy,  insolvency,  reorganization,  arrangement,  readjustment,   composition, liquidation or the like of any Loan Party;          (b)   any  lack  of  validity  or  enforceability  of  any  Loan  Document  or any  other   agreement or instrument relating thereto against any Loan Party;                                          230   1120544.02G-CHISR02A - MSW  

 

          (c)   any change in the time, manner or place of payment of, or in any other term of, all   or any of the Obligations, or any other amendment or waiver of or any consent to any departure   from any Loan Document or any other agreement or instrument relating thereto;          (d)   any  release  or  amendment  or  waiver  of  or  consent  to  any  departure  from  any   guarantee, for all or any of the Obligations;          (e)   any  exercise  or  non-exercise,  or any  waiver  of  any  right,  remedy,  power  or   privilege under or in respect hereof or any Loan Document; or          (f)   any other circumstances which might otherwise constitute a defense available to,  or a discharge of, the Loan Parties.   Section 11.17 [INTENTIONALLY OMITTED].   Section 11.18 Judgment Currency.          (a)   Each Loan Party’s obligations hereunder and under the other Loan Documents to  make payments in Dollars (the “Obligation Currency”) shall not be discharged or satisfied by  any tender or recovery pursuant to any  judgment  expressed  in  or  converted  into  any  currency  other than the Obligation Currency, except to the extent that such tender or recovery results in  the effective receipt by the Administrative Agent or the respective Lender of the full amount of  the  Obligation  Currency  expressed  to  be  payable  to  the  Administrative  Agent  or  such  Lender  under this Agreement or the other Loan Documents. If, for the purpose of obtaining or enforcing  judgment  against  any  Loan  Party  in  any  court  or  in  any  jurisdiction,  it  becomes  necessary  to  convert into or from any currency other than the Obligation Currency (such other currency being  hereinafter referred to as the “Judgment Currency”) an amount due in the Obligation Currency,  the conversion shall be made at the spot selling rate at which the Administrative Agent (or if the  Administrative Agent does not quote a rate of exchange on such currency, by a known dealer in  such currency designated by the Administrative Agent) offers to sell such Judgment Currency for  the  Obligation  Currency  in  the  London  foreign  exchange  market  at  approximately  11:00  a.m.  London time on such date for delivery two (2) Business Days later (such date of determination of  such  spot  selling  rate,  being  hereinafter  referred  to  as  the  “Judgment  Currency  Conversion  Date”).         (b)   If  there  is  a  change  in  the  rate  of  exchange  prevailing  between the Judgment  Currency  Conversion  Date  and  the  date  of  actual  payment  of  the amount  due,  the  Borrower  covenant and agrees to pay, or cause to be paid, such additional amounts, if any (but in any event  not  a  lesser  amount)  as  may  be  necessary  to  ensure  that  the  amount  paid  in  the  Judgment  Currency,  when  converted  at  the  rate  of  exchange  prevailing  on the  date  of  payment,  will  produce  the  amount  of  the  Obligation  Currency  which  could  have been  purchased  with  the  amount  of  Judgment  Currency  stipulated  in  the  judgment  or  judicial  award  at  the  rate  of  exchange prevailing on the Judgment Currency Conversion Date.                                         231   1120544.02G-CHISR02A - MSW  

 

        (c)   For  purposes  of  determining  any  rate  of  exchange  for  this  Section  11.18,  such  amounts  shall  include  any  premium  and  costs  payable  in connection  with  the  purchase  of  the  Obligation Currency.   Section 11.19 Enforcement.  Notwithstanding  anything  to  the  contrary  contained  herein  or in  any other Loan Document, the authority to enforce rights and remedies hereunder and under the  other Loan Documents against the Loan Parties or any of them shall be vested exclusively in,  and all actions and proceedings at law in connection with such enforcement shall be instituted  and  maintained  exclusively  by,  the  Administrative  Agent  in  accordance with the terms of the  Loan Documents; provided, however, that the foregoing shall not prohibit (a) the Administrative  Agent from exercising on its own behalf the rights and remedies that inure to its benefit (solely  in its capacity as Administrative Agent) hereunder and under the other Loan Documents, (b) any  Lender  from  exercising  setoff  rights  in  accordance  with  the  terms  hereof  (subject  to  Section 2.14), or (c) any Lender from filing proofs of claim or appearing and filing pleadings on  its  own  behalf  during  the  pendency  of  a  proceeding  relative  to any  Loan  Party  under  any  bankruptcy, insolvency or Debtor Relief Law; and provided, further, that if at any time there is  no person acting as Administrative Agent hereunder and under the other Loan Documents, then  (i) the  Required  Lenders  shall  have  the  rights otherwise ascribed to  the  Administrative  Agent  regarding  the  enforcement  of  rights  and  remedies  under  to  the  Loan  Documents  and  (ii)  in  addition to the matters set forth in clauses (b) and (c) of the preceding proviso and subject to  Section 2.14, any Lender may, with the consent of the Required Lenders, enforce any rights and  remedies available to it and as authorized by the Required Lenders.   Section 11.20 No Advisory or Fiduciary Responsibility. In connection with all aspects of each  transaction contemplated hereby (including in connection with any amendment, waiver or other  modification hereof or of any other Loan Document), the Designated Company and each other  Loan Party acknowledges and agrees that: (i) (A) the arranging and other services regarding this  Agreement provided by the Administrative Agent and the Mandated Lead Arrangers are arm’s- length commercial transactions between the Designated Company and each other Loan Party and  their  respective  Affiliates,  on the  one  hand,  and  the  Administrative  Agent  and  the  Mandated  Lead  Arrangers,  on  the  other  hand,  (B)  each  of  the  Designated  Company  and  the  other  Loan  Parties has consulted its own legal, accounting, regulatory and tax advisors to the extent it has  deemed appropriate, and (C) the Designated Company and each other Loan Party is capable of  evaluating,  and  understands  and  accepts,  the  terms,  risks  and  conditions  of  the  transactions  contemplated hereby and by the other Loan Documents; (ii) (A) the Administrative Agent and  the Mandated Lead Arrangers each is and has been acting solely as a principal and, except as  expressly agreed in writing by the relevant parties, has not been, is not, and will not be acting as  an advisor, agent or fiduciary for the Designated Company, any other Loan Party or any of their  respective  Affiliates,  or  any  other  Person  and  (B)  neither  the Administrative  Agent  nor  the  Mandated Lead Arrangers has any obligation to the Designated Company, any other Loan Party  or any of their respective Affiliates with respect to the transactions contemplated hereby except  those  obligations  expressly  set  forth  herein  and  in  the  other  Loan  Documents;  and  (iii)  the  Administrative Agent and the Mandated Lead Arrangers and their respective Affiliates may be  engaged  in  a  broad  range  of  transactions  that  involve  interests  that  differ  from  those  of  the  Designated  Company,  the  other  Loan  Parties  and  their  respective  Affiliates,  and  neither  the  Administrative Agent nor any of the Mandated Lead Arrangers has any obligation to disclose  any of such interests to the Designated Company, any other Loan Party or any of their respective                                        232  1120544.02G-CHISR02A - MSW  

 

    Affiliates. To the fullest extent permitted by law, each of the Designated Company and the other   Loan Parties hereby waives and releases any claims that it may have against the Administrative   Agent and the Mandated Lead Arrangers with respect to any breach or alleged breach of agency   or fiduciary duty in connection with any aspect of any transaction contemplated hereby.    Section 11.21 Abstract Acknowledgment of Indebtedness and Joint Creditorship.          (a)   Notwithstanding any other provision of this Agreement, each Loan Party hereby   irrevocably and unconditionally agrees and covenants with the Administrative Agent by way of   an abstract acknowledgment of indebtedness (abstraktes Schuldversprechen) that it owes to the   Administrative Agent as creditor in its own right and not as a representative of the other Credit   Parties, sums equal to, and in the currency of, each amount payable by such Loan Party to each   of the Credit Parties under each of the Loan Documents relating to any Obligations, as and when   that amount falls due for payment under the relevant Loan Document or would have fallen due   but for any discharge resulting from failure of another Credit Party to take appropriate steps, in   insolvency  proceedings  affecting  such  Loan  Party,  to  preserve  its  entitlement  to  be  paid  that   amount.          (b)   Each Loan Party undertakes to pay to the Administrative Agent upon first written   demand the amount payable by such Loan Party to each of the Credit Parties under each of the   Loan Documents as such amount has become due and payable.          (c)   The Administrative Agent has the independent right to demand and receive full or   partial payment of the amounts payable by each Loan Party under this Section 11.21, irrespective   of any discharge of such Loan Party’s obligation to pay those amounts to the other Credit Parties   resulting from failure by them to take appropriate steps, in insolvency proceedings affecting such   Loan Party, to preserve their entitlement to be paid those amounts.          (d)   Any amount due and payable by a Loan Party to the Administrative Agent under   this Section 11.21 shall be decreased to the extent that the other Credit Parties have received (and   are able to retain) payment in full of the corresponding amount under the other provisions of the   Loan Documents and any amount due and payable by a Loan Party to the other Credit Parties   under  those  provisions  shall  be  decreased  to  the  extent  that  the  Administrative  Agent  has  received  (and  is  able  to  retain)  payment  in  full  of  the  corresponding  amount  under  this  Section 11.21; provided that no Loan Party may consider its obligations towards a Credit Party to   be so discharged by virtue of any set-off, counterclaim or similar defense that it may invoke vis-  à-vis the Administrative Agent.          (e)   The rights of the Credit Parties (other than the Administrative Agent) to receive   payment of amounts payable by each Loan Party under the Loan Documents are several and are   separate and independent from, and without prejudice to, the rights of the Administrative Agent   to receive payment under this Section 11.21.                                          233   1120544.02G-CHISR02A - MSW  

 

          (f)   In addition, but without prejudice to the foregoing, the Administrative Agent shall   be the joint creditor (together with the relevant Credit Parties) of all obligations of each Loan   Party towards each of the Credit Parties under the Loan Documents.    Section 11.22 Special German Matters. The representations and warranties in Section 3.22 and   the  covenants  in  Section 6.21,  in  each  case,  given  by  any  Loan Party  resident  in  Germany   (Inländer)  within  the  meaning  of  Section  2  para.  15  of  the  German  Foreign  Trade  Act   (Auβenwirtschaftsgesetz) (or any Loan Party in relation to a Loan Party so resident in Germany)   are made only to the extent that they do not result in a violation of or conflict with Section 7 of   the German Foreign Trade and Payments Regulation (Auβenwirtschaftsverordnung).    Section 11.23 [INTENTIONALLY OMITTED].    Section 11.24 [INTENTIONALLY OMITTED].   Section 11.25 [INTENTIONALLY OMITTED].    Section 11.26 [INTENTIONALLY OMITTED].    Section 11.27 Maximum Liability. Subject to Section 7.08 and Sections 7.11 through 7.16, it is   the desire and intent of (i) each Loan Party and the Lenders, that, in each case, the liability of   such Loan Party shall be enforced against such Loan Party to the fullest extent permissible under   the  laws  and  public  policies  applied  in  each  jurisdiction  in  which  enforcement  is  sought  after   giving  effect  to  the  rights  of  contribution  established  in  the Contribution,  Intercompany,   Contracting  and  Offset  Agreement  that  are  valid  and  enforceable  and  not  subordinated  to  the   claims  of  other  creditors  as  determined  in  such  action  or  proceeding.  If,  however,  and  to  the   extent that, the obligations of any Loan Party under any Loan Document shall be adjudicated to   be  invalid  or  unenforceable  for  any  reason  (including,  without limitation,  because  of  any   applicable state, provincial or federal law relating to fraudulent conveyances or transfers), then   the amount of such Loan Party’s obligations (in the case of any invalidity or unenforceability   with respect such Loan Party’s obligations) under the Loan Documents shall be deemed to be   reduced and such Loan Party shall pay the maximum amount of the Obligations which would be   permissible under applicable law; provided that any guarantees of any such obligations that are   subject to deemed reduction pursuant to this Section 11.27 shall, to the fullest extent permitted   by applicable Requirements of Law, be absolute and unconditional in respect of the full amount   of such obligations without giving effect to any such deemed reduction.   Section 11.28 NO  ORAL  AGREEMENT.  THIS  AGREEMENT  AND  THE  OTHER  LOAN   DOCUMENTS  REPRESENT  THE  FINAL  AGREEMENT  BETWEEN  THE  PARTIES  AND   MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR   SUBSEQUENT  ORAL  AGREEMENTS  BETWEEN  THE  PARTIES.  THERE  ARE  NO   UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.     Section 11.29 [INTENTIONALLY OMITTED].     Section 11.30 Electronic  Execution  of  Assignments  and  Certain  other  Documents.  The   words “execution,” “execute”, “signed,” “signature,” and words of like import in or related to   any document to be signed in connection with this Agreement and the transactions contemplated   hereby  (including,  without  limitation,  Assignment  and  Assumptions,  amendments  or  other                                         234   1120544.02G-CHISR02A - MSW  

 

  modifications,  waivers  and  consents)  shall  be  deemed  to  include  electronic  signatures  or  the  keeping of records in electronic form, each of which shall be of the same legal effect, validity or  enforceability  as  a  manually  executed  signature  or  the  use  of  a  paper-based  recordkeeping  system, as the case may be, to the extent and as provided for in any applicable Requirements of  Law,  including  the  Federal  Electronic  Signatures  in  Global  and National  Commerce  Act,  the  New York State Electronic Signatures and Records Act, or any other similar state laws based on  the  Uniform  Electronic  Transactions  Act;  provided  that  notwithstanding  anything  contained  herein  to  the  contrary,  the  Administrative  Agent  is  under  no  obligation  to  agree  to  accept  electronic  signatures  in  any  form  or  in  any  format  unless  expressly  agreed  to  by  the  Administrative Agent pursuant to procedures approved by it.     Section 11.31 Payments Set Aside. To the extent that any payment by or on behalf of any Loan  Party is made to the Administrative Agent or any Lender, or the Administrative Agent or any  Lender exercises its right of setoff, and such payment or the proceeds of such setoff or any part  thereof is subsequently invalidated, declared to be fraudulent or preferential, set aside or required  (including pursuant to any settlement entered into by the Administrative Agent or such Lender in  its  discretion)  to  be  repaid  to  a  trustee,  receiver  or  any  other  party,  in  connection  with  any  proceeding under any Debtor Relief Law or otherwise, then (a) to the extent of such recovery,  the obligation or part thereof originally intended to be satisfied shall be revived and continued in  full force and effect as if such payment had not been made or such setoff had not occurred, and  (b) each Lender severally agrees to pay to the Administrative Agent upon demand its applicable  share  (without  duplication)  of  any  amount  so  recovered  from  or repaid  by  the  Administrative  Agent, plus interest thereon from the date of such demand to the date such payment is made at a  rate per annum equal to the Federal Funds Rate from time to time in effect. The obligations of  the Lenders under clause (b) of the preceding sentence shall survive the payment in full of the  Obligations and the termination of this Agreement.   Section 11.32 Acknowledgement and Consent to Bail-In of EEA Financial Institutions.   Solely to the extent any Lender or the Administrative Agent that is an EEA Financial Institution  is a party to this Agreement and notwithstanding anything to the contrary in any Loan Document  or  in  any  other  agreement,  arrangement  or  understanding  among  any  such  parties,  each  party  hereto acknowledges that any liability of any Lender or the Administrative Agent that is an EEA  Financial Institution arising under any Loan Document, to the extent such liability is unsecured,  may be subject to the Write-Down and Conversion Powers of an EEA Resolution Authority and  agrees and consents to, and acknowledges and agrees to be bound by:         (a)   the application of any Write-Down and Conversion Powers by an EEA Resolution  Authority to any such liabilities arising hereunder which may be payable to it by any Lender or  the Administrative Agent that is an EEA Financial Institution; and         (b)   the effects of any Bail-In Action on any such liability, including, if applicable:               (i)   a reduction in full or in part or cancellation of any such liability;                                         235  1120544.02G-CHISR02A - MSW  

 

                (ii)  a  conversion  of  all,  or  a  portion of,  such  liability  into  shares  or  other         instruments of ownership in such EEA Financial Institution, its parent undertaking, or a         bridge  institution  that  may  be  issued  to  it  or  otherwise  conferred  on  it,  and  that  such         shares or other instruments of ownership will be accepted by it in lieu of any rights with         respect to any such liability under this Agreement or any other Loan Document; or                (iii) the variation of the terms of such liability in connection with the exercise         of the Write-Down and Conversion Powers of any EEA Resolution Authority.    Section 11.33 Lender Consents and Acknowledgements.           (a)   On the Effective Date, the Designated Company has determined in its reasonable   discretion that (i) the restrictions under Korean law applicable to providing upstream guarantees,   including those laws that would potentially subject the directors of NKL to civil and criminal   liability  for  acting  to  benefit  a  third  party,  constitute  the  equivalent  of  a  prohibition  under   Requirements of Law of NKL becoming a Subsidiary Guarantor pursuant to Section 5.11(b) and   (ii) the costs associated with causing Novelis Vietnam Company Limited to become a Subsidiary   Guarantor pursuant to Section 5.11(b), are, in each case, in light of the restrictions on, and cost of,   creating and enforcing such guarantees under the applicable Requirements of Law, excessive in   relation to the benefits that the Credit Parties would obtain. In reliance upon the foregoing, each   Credit Party, by becoming a Party or by receiving the benefit of the terms hereof or of the other   Loan Documents, hereby acknowledges that, as of the Effective Date and the Closing Date, NKL   and Novelis Vietnam Company Limited shall not be required to become a Subsidiary Guarantor;   provided that, if at any time after the Effective Date the Administrative Agent, in its reasonable   discretion,  determines  that  (x)  in  the  case  of  NKL,  the  applicable  legal  restrictions  no  longer   prohibit NKL from providing such guarantee and (y) in the case of Novelis Vietnam Company   Limited, the costs of Novelis Vietnam Company Limited providing such guarantee are no longer   excessive  in  relation  to  the  benefits  afforded  thereby,  then  following  written  notice  from  the   Administrative  Agent,  the  Designated  Company  shall  have  30  days  (or  such  longer  period  as   agreed to by the Administrative Agent) to satisfy the terms of Section 5.11(b) relating to NKL or   Novelis  Vietnam  Company  Limited,  as  applicable;  provided,  further  that  the  Administrative   Agent shall not make such determination (solely with respect to NKL) prior to NKL becoming a   Wholly Owned Subsidiary of the Designated Company.          (b)   Novelis  do  Brasil  Ltda.  (“NDB”)  is  a  Loan  Party  and  the  owner  of  certain  hydropower  assets  in  Guaraciaba,  State  of  Minas  Gerais,  Brazil (the  “Hydropower  Assets”).  NDB  intends  to  dispose  of  the  Hydropower  Assets  and,  for  that  purpose,  has  formed  Brecha  Energetica Ltda., a special purpose limited liability company in the City of Guaraciaba, State of  Minas Gerais, Brazil (each, a “Brecha Energetica”), and upon receipt of regulatory approvals  from Administrative Council for Economic Defense (“CADE”) and National Agency for Energy  (“Aneel”)  and  conclusion  of  other  measures  agreed  upon  contractually, (i)  shall  transfer  the  Hydropower Assets to Brecha Energetica (the “Corporate Reorganization”) and (ii) shall sell  the quotas in Brecha Energetica (the “Quota Sale”) to a third-party purchaser (the “Purchaser”)  pursuant to a Quota Purchase and Sale Agreement, dated April 3, 2014 (as amended, restated,                                         236   1120544.02G-CHISR02A - MSW  

 

    supplemented, or otherwise modified, the “Purchase  Agreement”). The Designated Company   hereby represents and warrants to the Credit Parties that the Corporate Reorganization and the   Quota Sale are permitted under this Agreement.          (c)   The  Designated  Company  has  determined  in  its  reasonable  discretion  that  the   costs associated with causing Brecha Energetica to become a Subsidiary Guarantor pursuant to   Section 5.11(b) are, in light of the binding commitment to effect the Quota Sale pursuant to the   terms  of  the  Purchase  Agreement,  excessive  in  relation  to  the  benefits  that  the  Credit  Parties   would  obtain.  In  reliance  upon  the  foregoing,  each  Credit  Party,  by  becoming  a  Party  or  by   receiving the benefit of the terms hereof or of the other Loan Documents, hereby acknowledges  that, as of the Effective Date and the Closing Date, Brecha Energetica shall not be required to  become  a  Subsidiary  Guarantor;  provided  that,  if  at  any  time  after  the  Effective  Date,  the   Administrative Agent, in its reasonable discretion, determines that the costs of such guarantee is   no  longer  excessive  in  relation  to  the  benefits  afforded  thereby,  then  following  written  notice   from  the  Administrative  Agent,  the  Designated  Company  shall  have  30  days  (or  such  longer   period  as  agreed  to  by  the  Administrative  Agent)  to  satisfy  the  terms  of  Section  5.11(b).  The   Designated  Company  shall  provide  the  Administrative  Agent  with prompt  written  notice  of   (i) termination  of  the  Purchase  Agreement,  (ii)  the  occurrence of  any  event  which,  in  the   Administrative Agent’s reasonable judgment, would make the Purchaser or NDB, as applicable,   unable to satisfy any of the conditions precedent to closing set forth in the Purchase Agreement   and  (iii)  a  final  and  non-appealable  refusal  of  the  CADE  and  Aneel  to  grant  any  regulatory   consent  relating  to  the  Corporate  Reorganization  or  the  Quota  Sale,  in  order  to  assist  the   Administrative Agent in making the determination described above.    Section 11.34 Termination.  All  agreements,  covenants,  representations,  warranties,  rights,   duties and obligations of each Party set forth in this Agreement and each other Loan Document   shall terminate in all respects on the Agreement Termination Date if the Closing Date has not   occurred  on  or  prior  to  such  time.  Notwithstanding  anything  to the  contrary  contained  in  this   Agreement  or  in  any  other  Loan  Document,  the  provisions  of  Section  2.12,  Section  2.14,   Section 2.15,  Section 2.16,  Section  7.10,  ARTICLE  X,  Section 11.03,  Section 11.09,   Section 11.10, Section 11.18, and Section 11.19 shall survive and remain in full force and effect   regardless  of  the  consummation  of  the  transactions  contemplated  hereby,  the  funding  or   repayment of the Loans, the expiration or termination of the Commitments or the termination of   this Agreement or any provision hereof.    Section 11.35 Lender Exculpation. Nothing in this Agreement shall oblige any Lender to do or   omit to do anything if it would, or might in its reasonable opinion, constitute a breach of any   Requirement of Law or a breach of a fiduciary duty or duty of confidentiality.                                          237   1120544.02G-CHISR02A - MSW  

 

                                                                                                                                                              NOVELIS INC., as the Parent and as the                                      Designated Company                                       By:     __/s/ Gregg Murphey_______                                      Name: ____Gregg Murphey_______                                      Title:   ____Authorized Signatory___                                       NOVELIS ACQUISITIONS LLC, as                                       Initial Borrower                                       By:     ___/s/ Gregg Murphey______                                      Name: _____Gregg Murphey______                                      Title:   _____Authorized Signatory__                                       AV METALS INC., as Holdings                                       By:     ___/s/ Gregg Murphey______                                      Name: _____Gregg Murphey______                                      Title:   _____Authorized Signatory__                                       NOVELIS CORPORATION, as a U.S. Guarantor                                       By:     ___/s/ Gregg Murphey______                                      Name: _____Gregg Murphey______                                      Title:   _____Authorized Signatory__                                       NOVELIS GLOBAL EMPLOYMENT                                      ORGANIZATION, INC., as a U.S. Guarantor                                       By:     ___/s/ Gregg Murphey_______                                      Name: _____Gregg Murphey_______                                      Title:   _____Authorized Signatory                           [Signature Page to Short Term Credit Agreement 2018]  1120544.02G-CHISR02A - MSW  

 

                             NOVELIS SOUTH AMERICA HOLDINGS LLC,                as a U.S. Guarantor                 By:     ___/s/ Gregg Murphey______                Name: _____Gregg Murphey______                Title:   _____Authorized Signatory__                 NOVELIS HOLDINGS INC., as a U.S. Guarantor                 By:     ___/s/ Gregg Murphey______                Name: _____Gregg Murphey______                Title:   _____Authorized Signatory__     [Signature Page to Short Term Credit Agreement 2018]                 

 

                             NOVELIS UK LTD, as a U.K. Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Attorney                               NOVELIS EUROPE HOLDINGS LIMITED,                 as a U.K. Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Attorney                  NOVELIS SERVICES LIMITED,                 as a U.K. Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Attorney                    [Signature Page to Short Term Credit Agreement 2018]                 

 

                             NOVELIS AG, as a Swiss Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Authorized Signatory                  NOVELIS SWITZERLAND SA,                 as a Swiss Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Authorized Signatory                    [Signature Page to Short Term Credit Agreement 2018]                 

 

                             4260848 CANADA INC., as a Canadian Guarantor                  By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Authorized Signatory                  4260856 CANADA INC., as a Canadian Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Authorized Signatory                  8018227 CANADA INC., as a Canadian Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Authorized Signatory     [Signature Page to Short Term Credit Agreement 2018]                 

 

                             SIGNED AND DELIVERED AS A DEED                for and on behalf of NOVELIS ALUMINIUM                HOLDING UNLIMITED COMPANY                by its lawfully appointed attorney,                 as Irish Guarantor                in the presence of:                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Attorney                  witness:                 By:      /s/ Shannon Curran                 Name:         Shannon Curran                 Title:        Sr. Legal Manager                                                                 Address:  3560 Lenox Road, Suite 2000                         Atlanta, GA 30326 USA                                                                Occupation: Paralegal    [Signature Page to Short Term Credit Agreement 2018]                 

 

                             NOVELIS DEUTSCHLAND GMBH,                 as a German Guarantor                  By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Person Authorized                  NOVELIS SHEET INGOT GMBH,                 as a German Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Person Authorized                    [Signature Page to Short Term Credit Agreement 2018]                 

 

                             NOVELIS DO BRASIL LTDA.,                 as Brazilian Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Attorney-in-Fact                  witness:                 By:      /s/ Michael Shelby                 Name:         Michael Shelby                 Title:        Sr. Project Manager                    witness:                 By:      /s/ Shannon Curran                 Name:         Shannon Curran                 Title:        Sr. Legal Manager     [Signature Page to Short Term Credit Agreement 2018]                 

 

                             NOVELIS PAE S.A.S., as French Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Attorney-in-Fact                                      [Signature Page to Short Term Credit Agreement 2018]                 

 

                                             NOVELIS MEA LTD, a Company Limited by                Shares under the Companies Law of the Dubai                International Financial Centre,                 as Dubai Guarantor                 By:      /s/ Gregg Murphey                 Name:         Gregg Murphey                 Title:        Authorized Signatory     [Signature Page to Short Term Credit Agreement 2018]                 

 

                              STANDARD CHARTERED BANK, as                                          Administrative Agent                                           By:         /s/  Scott Masfen                                                Name: Scott Masfen                                                Title:  Transaction Manager                                                      Standard Chartered Bank                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                                     ABN AMBRO CAPITAL USA LLC, as                                          Lender                                           By:          /s/ John Sullivan                                                Name: John Sullivan                                                Title:  Managing Director                                                                                                                                     By:          /s/ Floris Jongma                                                Name: Floris Jongma                                                Title:  Director                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      AUSTRALIA AND NEW ZEALAND                      BANKING GROUP LIMITED, as                      Lender                       By:          /s/ Yogesh Venkatachalam                            Name: Yogesh Venkatachalam                            Title:  Executive Director                   [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      AXIS BANK LTD, as Lender                                           By:         /s/  Niladhri Nandi                                                Name: Niladhri Nandi                                                Title:  Head – Credit                                                                                     By:         /s/  K.C. Harichandan                                                Name: K.C. Harichandan                                                Title:  Head – Operations                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      BANK OF AMERICA, N.A., as Lender                                           By:          /s/ Frances Fabello                                                Name: Frances Fabello                                                Title:  AVP                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      BARCLAYS BANK PLC, as Lender                                           By:         /s/  Mark Pope                                                 Name: Mark Pope                                                Title:  Assistant Vice President                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      CITIBANK, N.A., as Lender                                           By:         /s/  Siddarth Bansal                                                Name: Siddarth Bansal                                                Title:  Director                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      CRÉDIT AGRICOLE CORPORATE                      AND INVESTMENT BANK, as Lender                       By:         /s/  Jean-Yves Korenian                            Name: Jean-Yves Korenian                            Title:  Managing Director                                             By:         /s/  Christophe Cretot                            Name: Christophe Cretot                            Title:  Managing Director                   [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      DBS BANK LTD., as Lender                                           By:          /s/ Jacqueline Tan                                                Name: Jacqueline Tan                                                Title:  Senior Vice President                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      DEUTSCHE BANK AG CAYMAN                      ISLANDS BRANCH, as Lender                       By:         /s/  Marguerite Sutton                            Name: Marguerite Sutton                            Title:  Vice President                                                                         By:          /s/ Alicia Schug                    __.                            Name: Alicia Schug                            Title:  Vice President                   [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      FIRST ABU DHABI BANK USA N.V.,                                          as Lender                                           By:          /s/ Husam Arabiat                                                Name: Husam Arabiat                                                Title:  CEO                                                                                     By:          /s/ Pamela Sigda                                                Name: Pamela Sigda                                                Title:  CFO                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      HSBC BANK USA, N.A., as Lender                                           By:          /s/ Frederic Fournier                                                Name: Frederic Fournier                                                Title:  Senior Vice President                                                      #20013                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      ICICI BANK LIMITED, NEW YORK                      BRANCH, as Lender                       By:         /s/  Akashdeep Sarpal                            Name: Akashdeep Sarpal                            Title:  Country Head – USA                                    ICICI Bank Limited                   [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      ING BANK N.V., SINGAPORE                      BRANCH, as Lender                       By:         /s/  Milly Tan                            Name: Milly Tan                            Title:  Director                                                                              By:         /s/  Paul Verwijmeren                            Name: Paul Verwijmeren                            Title:   Director    [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      JPMORGAN CHASE BANK, N.A. as a                                          Lender                                           By:          /s/ Tasvir Hasan                                                Name: Tasvir Hasan                                                Title:  Executive Director                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      MIZUHO BANK, LTD., as Lender                                           By:         /s/  Dr. Durgesh Tinaikar                                                Name: Dr. Durgesh Tinaikar                                                Title:  Managing Director                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      MUFG BANK, LTD., as Lender                                           By:          /s/ David Philbin                                                Name: David Philbin                                                Title:  Director                                                            Head of Subsidiary Banking                                                                                  [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      SIGNED for and on behalf of                                           SOCIETE GENERALE,                                            HONG KONG BRANCH                                           By:          /s/ Tapan Vaishnav                                                Authorised signatories                                                Name: Tapan VAISHNAV                                                Title:  Head of Advisory &                                                      financing Group, Asia-                                                     Pacific, SGCIB                                                                                     By:         /s/  Roland Riedel                                                Authorised signatories                                                Name: Roland RIEDEL                                                Title:  Director, Loan Syndicate                                                      and Sales, Asia-Pacific                                                      SGCIB                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      STANDARD CHARTERED BANK, as                                          Lender                                           By:          /s/ James Perkins                                                Name: James Perkins                                                Title:  Manager CRC                                                          By:         /s/  Alan Thomas                                                Name: Alan Thomas                                                Title:   Associate OBL                                                      [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      STATE BANK OF INDIA, as Lender                                           By:         /s/  Manoranjan Panda                                                Name: Manoranjan Panda                                                Title:  VP & Head (Credit) State                                                      Bank of India, New York                                                      Branch                                       [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                      SUMITOMO MITSUI BANKING                      CORPORATION SINGAPORE                      BRANCH                       (Incorporated in Japan with limited                      liability)                      Reg. No. (UEN) T03FC6366F                                            as Lender                       By:          /s/ Kimihiro Sakaguchi                            Name: Kimihiro Sakaguchi                            Title:  Joint General Manager                   [Signature Page to Short Term Credit Agreement 2018]                 

 

                                                                    EXHIBIT A                                      Form of                           ADMINISTRATIVE QUESTIONNAIRE                                                                           [See Attached]                                     EXHIBIT A-1  1124359.01B-CHISR02A - MSW  

 

                        Administrative Details Form    To:          Standard Chartered Bank  Attn:        Giuseppe Tocco -    Giuseppe.Tocco@sc.com               Alex Robinson -  Alex.Robinson@sc.com     DEAL NAME:                  LENDER DETAILS :   Exact Legal Name of Institution          (as it is to appear in the Facility Agreement    (with preferred punctuation / abbreviation /    Only include branch if part of Exact Legal name)   Exact  Name  of  Institution  for  Publicity    (tombstone, press release, etc)     Facility  Office  Address  of  Lending    Institution:                                                                                                              MEI (optional):                                     CONTACT DETAILS:                          Credit             Documentation        Operational/Servicing  Name                  Address                                                                        Telephone number       Fax number           Group email         Address (optional)  Individual email     address    Contact details for Standard Settlement Instruction call-back (the individual or team responsible  for authenticating the Lender’s SSI)   Name                                    Address                                 Telephone number                        Fax number                                                                   EXHIBIT A-2  1124359.01B-CHISR02A - MSW  

 

 Group email address (optional)          Individual email address                                                      EXHIBIT A-3  1124359.01B-CHISR02A - MSW  

 

   Withholding Tax / FATCA reporting for lender (if applicable to Deal) Country of tax residence                Country of incorporation                Country of lending office               Identification of Entity (GIIN)         US Tax form attached                  W-8BEN-E       W-8IMY          W-9                                                                                       W-8ECI         W-8EXP          Other   UK Treaty Passport Number               (if applicable and if lender wishes scheme to be used)       PAYMENT DETAILS:    Details of bank account for payment of fees, interest, principal payments, etc:   [CURRENCY] (Specify and repeat as necessary for transaction, to cover all permitted currency in the Fac. Agmt.)  Account  with  Institution  /  Correspondent  Bank   name /SWIFT/ Sort Code:    Intermediary (if applicable) /: SWIFT/ Sort Code     Beneficiary name (Institution) / SWIFT/ Sort                                          Code    Account Number or IBAN (if applicable):    Sender to Receiver / Remittance Information:                                                                                                                                     EXHIBIT A-4  1124359.01B-CHISR02A - MSW  

 

                                                                                  EXHIBIT B                                             Form of                                  ASSIGNMENT AND ASSUMPTION   This Assignment and Assumption (the “Assignment and Assumption”) is dated as of the Effective Date set  forth below and is entered into by and between [Insert name of Assignor] (the “Assignor”) and [Insert name  of Assignee] (the “Assignee”).  Capitalized terms used but not defined herein shall have the meanings given  to them in the Credit Agreement defined below, receipt of a copy of which is hereby acknowledged by the  Assignee.  The Standard Terms and Conditions set forth in Annex 1 attached hereto are hereby agreed to and  incorporated herein by reference and made a part of this Assignment and Assumption as if set forth herein in  full.  For  an  agreed  consideration,  the  Assignor  hereby  irrevocably  sells  and  assigns  to  the  Assignee,  and  the  Assignee hereby irrevocably purchases and assumes from the Assignor, subject to and in accordance with the  Standard  Terms  and  Conditions  and  the  Credit  Agreement,  as  of  the  Effective  Date  inserted  by  the  Administrative Agent as contemplated below, (i) all of the Assignor’s rights and obligations in its capacity as  a Lender under the Credit Agreement and any other documents or instruments delivered pursuant thereto to  the extent related to the amount and percentage interest identified below of all of such outstanding rights and  obligations of the Assignor under the respective facilities identified below and (ii) to the extent permitted to  be assigned under applicable law, all claims, suits, causes of action and any other right of the Assignor (in its  capacity as a Lender) against any person, whether known or unknown, arising under or in connection with  the Credit Agreement, any other documents or instruments delivered pursuant thereto or the loan transactions  governed thereby or in any way based on or related to any of the foregoing, including, but not limited to,  contract  claims,  tort  claims,  malpractice  claims,  statutory  claims  and  all  other  claims  at  law  or  in  equity  related to the rights and obligations sold and assigned pursuant to clause (i) above (the rights and obligations  sold and assigned pursuant to clauses (i) and (ii) above being referred to herein collectively as, the “Assigned  Interest”).  Such sale and assignment is without recourse to the Assignor and, except as expressly provided  in this Assignment and Assumption, without representation or warranty by the Assignor.  1.     Assignor:           ______________________________________________    2.        Assignee:       ______________________________________________                             [and is a Lender][and is an Affiliate/Approved Fund of [identify Lender]1   3.     Borrower:           prior to the consummation of the Aleris Acquisition, NOVELIS         ACQUISITIONS LLC, a Delaware limited liability company, and from and after the consummation         of the Aleris Acquisition, ALERIS CORPORATION, a Delaware corporation.    4.    Administrative Agent:  Standard Chartered Bank, as administrative agent under the Credit         Agreement.    5.   Credit Agreement:    The  Short  Term  Credit  Agreement,  dated  as of December 18, 2018 (as                             amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,                             refinanced  or  otherwise  modified  from  time  to  time  in  one  or  more                             agreements,  the  “Credit  Agreement”),  by  and  among  NOVELIS                                                           1  Select as applicable.                                           EXHIBIT B-1   1124359.01B-CHISR02A - MSW  

 

                            ACQUISITIONS LLC, a Delaware limited liability company, and from and                            after  the  consummation  of  the   Aleris  Acquisition,  ALERIS                            CORPORATION,  a  Delaware  corporation,  NOVELIS  INC.,  a  corporation                            amalgamated under the Canada Business Corporations Act, AV  METALS                            INC.,  a  corporation  formed  under  the  Canada  Business  Corporations  Act,                            the  Subsidiary  Guarantors  from  time  to  time  party  thereto  (such  term  and                            each other capitalized term used but not defined herein having the meaning                            given to it in the Credit Agreement), the Lenders from time to time party                            thereto, and STANDARD CHARTERED BANK, as Administrative Agent.   6.    Assigned Interest:                          Aggregate Amount of   Amount of [Term    Percentage Assigned of                             [Term Loan       Loan Commitment]         [Term Loan                         Commitment] [Term       [Term Loans]      Commitment] [Term       Facility Assigned Loans] for all Lenders   Assigned              Loans]2        Term             $                    $                          %       Loans/Commitme      nts           [7.   Trade Date: ____________ ]3                                                          2  Set forth, to at least 9 decimals, as a percentage of the applicable Commitment/Loans of all Lenders thereunder.   3   To be completed if the Assignor and the Assignee intend that the minimum assignment amount is to be determined     as of the Trade Date.                                          EXHIBIT B-2  1124359.01B-CHISR02A - MSW  

 

    Effective Date:  _____________ ___, 20___ [TO BE INSERTED BY ADMINISTRATIVE AGENT AND   WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER   THEREFOR.]4  The terms set forth in this Assignment and Assumption are hereby agreed to:                                            ASSIGNOR                                             [NAME OF ASSIGNOR]                                           By:                                                  Title:                                             ASSIGNEE                                             [NAME OF ASSIGNEE]                                           By:                                                  Title:      Consented to and Accepted:   [_________, as Designated     Company]5   By:                                          Name:        Title:   [STANDARD CHARTERED BANK,     as Administrative Agent    By:      Name:        Title:]6                                                           4  This date may not be fewer than 5 Business days after the date of assignment unless the Administrative Agent      otherwise agrees.    5      To be added only if the approval of such person is required by the terms of the Credit Agreement.     6      To be added only if the approval of such person is required by the terms of the Credit Agreement.                                            EXHIBIT B-3   1124359.01B-CHISR02A - MSW  

 

                                                       ANNEX 1 to Assignment and Assumption                             SHORT TERM CREDIT AGREEMENT                                                                      STANDARD TERMS AND CONDITIONS FOR                             ASSIGNMENT AND ASSUMPTION   1.     Representations and Warranties.  1.1    Assignor.  The Assignor (a) represents and warrants that (i) it is the legal and beneficial owner of  the Assigned Interest, (ii) the Assigned Interest is free and clear of any lien, encumbrance or other adverse  claim and (iii) it has full power and authority, and has taken all action necessary, to execute and deliver  this  Assignment  and  Assumption  and  to  consummate  the  transactions  contemplated  hereby;  and  (b) assumes no responsibility with respect to (i) any statements, warranties or representations made in or  in  connection  with  the  Credit  Agreement  or  any  other  Loan  Document,  (ii)  the  execution,  legality,  validity,  enforceability,  genuineness,  sufficiency  or  value  of the  Loan  Documents  or  any  collateral  thereunder, (iii) the financial condition of the Loan Parties, any of their Subsidiaries or Affiliates or any  other person obligated in respect of any Loan Document or (iv) the performance or observance by the  Loan  Parties,  any  of  their  Subsidiaries  or  Affiliates  or  any  other  person  of  any  of  their  respective  obligations under any Loan Document.  1.2.  Assignee.  The Assignee (a) represents and warrants that (i) it has full power and authority, and  has  taken  all  action  necessary,  to  execute  and  deliver  this  Assignment  and  Assumption  and  to  consummate the transactions contemplated hereby and to become a Lender under the Credit Agreement,  (ii) it meets all requirements of an Eligible Assignee under the Credit Agreement (subject to receipt of  such consents as may be required under the Credit Agreement), (iii) from and after the Effective Date, it  shall be bound by the provisions of the Credit Agreement as a Lender thereunder and, to the extent of the  Assigned Interest, shall have the obligations of a Lender thereunder, (iv) it is sophisticated with respect to  decisions to acquire assets of the type represented by the Assigned Interest and either it, or the Person  exercising discretion in making its decision to acquire the Assigned Interest, is experienced in acquiring  assets of such type, (v) it has received a copy of the Credit Agreement, together with copies of the most  recent financial statements delivered pursuant to Sections 4.02(k) or 5.01 thereof, as applicable, and such  other  documents  and  information as  it  has  deemed  appropriate  to  make  its  own  credit  analysis  and  decision to enter into this Assignment and Assumption and to purchase the Assigned Interest on the basis  of which it has made such analysis and decision independently and without reliance on the Administrative  Agent or any other Lender, (vi) if it is not already a Lender under the Credit Agreement, attached to the  Assignment and Assumption is an Administrative Questionnaire in the form of Exhibit A to the Credit  Agreement, (vii) to the extent required by the Credit Agreement, the Administrative Agent has received a  processing and recordation fee of $3,500 as of the Effective Date and (viii) attached to the Assignment  and Assumption is any documentation required to be delivered by it pursuant to Section 2.15 of the Credit  Agreement, duly completed and executed by the Assignee; (b) agrees that (i) it will, independently and  without  reliance  on  the  Administrative  Agent,  the  Assignor  or  any  other  Lender,  and  based  on  such  documents  and  information  as  it  shall  deem  appropriate  at  the  time, continue to make its own credit  decisions in taking or not taking action under the Loan Documents, (ii) it will perform in accordance with  their terms all of the obligations that by the terms of the Loan Documents are required to be performed by  it as a Lender and (iii) it will make or invest in its Commitments and Loans for its own account in the  ordinary course and without a view to distribution of such Commitments and Loans within the meaning  of  the  Securities  Act  or  the  Exchange  Act,  or  other  federal  securities  laws  (it  being  understood  that,  subject to the provisions of Sections 2.16(c), 11.02(d) and 11.04 of the Credit Agreement, the disposition  of  such  Commitments  and  Loans  or  any  interests  therein  shall  at  all  times  remain  within  its  exclusive                                    EXHIBIT B-ANNEX 1-1  1124359.01B-CHISR02A - MSW  

 

   control);  and  (c)  hereby  confirms  that  it  has  provided  the  Administrative  Agent  with  a  U.S.  tax  withholding  certificate  (or,  alternatively,  other  evidence  satisfactory  to  the  Administrative  Agent)  confirming FATCA  compliance of the  Assignee pursuant to paragraph (v) of Section 2.15(f) (FATCA  Information)  of  the  Credit  Agreement  (for  the  avoidance  of  doubt,  and  pursuant  to  paragraph  (viii)  of  Section 2.15(f) (FATCA Information)  of the Credit Agreement, the Administrative Agent may rely on  such U.S. tax withholding certificate or other evidence from each Lender without further verification, and  the  Administrative  Agent  shall  not  be  liable  for  any  action  taken  by  it  in  respect  of  such  U.S.  tax  withholding  certificate  or  other  evidence  under  or  in  connection  with  paragraph  (v),  (vi)  or  (vii)  of  Section 2.15(f) (FATCA Information) of the Credit Agreement).  2.     Payments.  From and after the Effective Date, the Administrative Agent shall make all payments  in respect of the Assigned Interest (including payments of principal, interest, fees and other amounts) to  the Assignor for amounts that have accrued to but excluding the Effective Date and to the Assignee for  amounts that have accrued from and after the Effective Date.  3.    General Provisions.  This Assignment and Assumption shall be binding upon, and inure to the  benefit  of,  the  parties  hereto  and  their  respective  successors and  assigns.   This  Assignment  and  Assumption  may  be  executed  by  one  or  more  of  the  parties  hereto  on  any  number  of  separate  counterparts,  each  of  which  shall  be  an  original,  but  all  of  which,  taken  together,  shall  constitute  one  original  agreement.   Delivery  of  an  executed  counterpart  of  this  Assignment  and  Assumption  by  facsimile, email or other electronic transmission (including in portable document format (“pdf”) or other  similar format) shall be effective as delivery of a manually executed counterpart hereof.  This Assignment  and Assumption shall be construed in accordance with and governed by, the law of the State of New York  without regard to conflicts of principles of law that would require the application of the laws of another  jurisdiction.                                       EXHIBIT B-ANNEX 1-2  1124359.01B-CHISR02A - MSW  

 

                                                                               EXHIBIT C                                           Form of                                 BORROWING REQUEST   Standard Chartered Bank,  as Administrative Agent  5th Floor 1 Basinghall Avenue, London, EC2V 5DD  Fax: +44207 885 9728      Attention:  Manager Asset Servicing                        Re: NOVELIS SHORT TERM LOAN AGREEMENT                                                                                    [Date]   Ladies and Gentlemen:   Reference is made to the Short Term Credit Agreement, dated as of December 18, 2018 (as amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced, refinanced  or  otherwise  modified  from  time  to  time  in  one  or  more  agreements,  the  “Credit  Agreement”),  by  and  among  NOVELIS  ACQUISITIONS LLC, a Delaware limited liability company, and from and after the consummation of  the  Aleris  Acquisition,  ALERIS  CORPORATION,  a  Delaware  corporation,  NOVELIS  INC.,  a  corporation  amalgamated  under  the  Canada  Business  Corporations Act,  AV  METALS  INC.,  a  corporation formed under the Canada Business Corporations Act, the Subsidiary Guarantors from time to  time  party  thereto  (such  term  and  each  other  capitalized  term  used  but  not  defined  herein  having  the  meaning  given  to  it  in  the  Credit  Agreement),  the  Lenders  from time  to  time  party  thereto,  and  STANDARD CHARTERED BANK, as Administrative Agent.  The [Designated Company on behalf of  the  Initial  Borrower][Initial  Borrower]  hereby  gives  you  notice  pursuant  to  Section  2.03  of  the  Credit  Agreement  that  it  requests  a  Borrowing  under  the  Credit  Agreement,  and  in  that  connection  sets  forth  below the terms on which such Borrowing is requested to be made:    (A)  Principal amount of                               Borrowing1                              (B)  Date of Borrowing                                 (which is a Business Day)               (C)  Interest Period and the last day thereof2    (D)  Funds are requested to be disbursed to the           Borrower’s account(s) with [_________]          (Account No.                ).                                                         1  Loans must be in an amount that is at least $5,000,000 and an integral multiple of $1,000,000 or, if less, equal     to the remaining available balance of the applicable Commitments.   2  Shall be subject to the definition of “Interest Period” in the Credit Agreement.                                         EXHIBIT C-1  1124359.01B-CHISR02A - MSW  

 

     The Borrower hereby represents and warrants that the conditions to lending specified in Sections 4.02 and  4.03 of the Credit Agreement are satisfied as of the date hereof.                                   [Signature Page Follows]                                         EXHIBIT C-2  1124359.01B-CHISR02A - MSW  

 

                                           [____________], [as Designated Company on behalf of                                             the Initial Borrower][Initial Borrower]                                            By:                                             Name:                                                Title:                                             EXHIBIT C-3  1124359.01B-CHISR02A - MSW  

 

                                                                                EXHIBIT D                                          Form of                               COMPLIANCE CERTIFICATE                                                                                                  I,  [_________],  the  [Financial  Officer]  of  [_____________]  (in such  capacity  and  not  in  my  individual capacity), hereby certify that, with respect to that certain Short Term Credit Agreement, dated  as of December 18, 2018 (as amended, restated, supplemented, extended, renewed, refunded, replaced,  refinanced  or  otherwise  modified  from  time  to  time  in  one  or  more  agreements,  the  “Credit  Agreement”), by and among NOVELIS ACQUISITIONS LLC, a Delaware limited liability company,  and from and after the consummation of the Aleris Acquisition, ALERIS CORPORATION, a Delaware  corporation, NOVELIS INC., a corporation amalgamated under the Canada Business Corporations Act,  AV METALS INC., a corporation formed under the Canada Business Corporations Act, the Subsidiary  Guarantors  from  time  to  time  party  thereto  (such  term  and  each other  capitalized  term  used  but  not  defined herein having the meaning given to it in the Credit Agreement), the Lenders from time to time  party thereto, and STANDARD CHARTERED BANK, as Administrative Agent:          (a) No Default has occurred under the Credit Agreement which has not been previously            disclosed, in writing, to the Administrative Agent pursuant to a Compliance Certificate.1                     (b) Attached hereto as Schedule 1 is the report of [accounting firm].2           (c) Attached hereto as Schedule 2 are detailed calculations showing a reconciliation of            Consolidated EBITDA to the net income set forth on the statement of income, on a quarterly            basis.             (d) Attached hereto as Schedule 3 is a detailed account of all Investments made in reliance on            Section 6.04(r) of the Credit Agreement3             (e) Attached hereto as Schedule 4 is a detailed account of all Dividends made in reliance on            Section 6.08(d) of the Credit Agreement.4                                                         1   If a Default shall have occurred, an explanation specifying the nature and extent of such Default shall be     provided on a separate page together with an explanation of the corrective action taken or proposed to be taken     with respect thereto (include, as applicable, information regarding actions, if any, taken since prior certificate).   2   To accompany annual financial statements only, to the extent permitted under applicable accounting guidelines.      The report must opine or certify that, with respect to its regular audit of such financial statements, which audit     was conducted in accordance with GAAP.   3   Specify which clause of Section 6.04(r) such Investment was made pursuant to and calculate in reasonable     detail the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election     and the amount thereof elected to be so applied, the Total Net Leverage Ratio, the Senior Secured Net Leverage     Ratio, the Consolidated Interest Coverage Ratio, and, in the case of Investments made pursuant to Section     6.08(r)(iii), the amount of Liquidity.   4   Specify which clause of Section 6.08(d) such Dividend was made pursuant to and calculate in reasonable detail     the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the     amount thereof elected to be so applied, the Senior Secured Net Leverage Ratio, the Consolidated Interest     Coverage Ratio, the Total Net Leverage Ratio and, in the case of Dividends made pursuant to Section     6.04(d)(ii), the amount of Liquidity.                                         EXHIBIT D-1  1124359.01B-CHISR02A - MSW  

 

              (f) Attached hereto as Schedule 5 are detailed calculations showing the Senior Secured Net            Leverage Ratio and the Consolidated Interest Coverage Ratio, in each case as of the last day            of the applicable Test Period.                                     [Signature Page Follows]                                        EXHIBIT D-2  1124359.01B-CHISR02A - MSW  

 

                             Dated this [    ] day of [                 ], 20[  ].                                            [                                                                              ]                                            By:                                                              Name:                                                  Title:   [Financial Officer]                                                                                                         EXHIBIT D-3  1124359.01B-CHISR02A - MSW  

 

                                        SCHEDULE 1                                                                               Report of Accounting Firm                                        [See attached]                                                                                                                             EXHIBIT D-SCHEDULE 1-1  1124359.01B-CHISR02A - MSW  

 

                                        SCHEDULE 2                                                                   Reconciliation of Consolidated EBITDA to Net Income                                       [See attached]                                   EXHIBIT D-SCHEDULE 2-1  1124359.01B-CHISR02A - MSW  

 

                                                                                      SCHEDULE 3                                                                                     Investments                                       [See attached]                                  EXHIBIT D-SCHEDULE 3-1  1124359.01B-CHISR02A - MSW  

 

                                                                                      SCHEDULE 4                                                                                      Dividends                                       [See attached]                                  EXHIBIT D-SCHEDULE 4-1  1124359.01B-CHISR02A - MSW  

 

                                                                                     SCHEDULE 5                                                           Senior Secured Net Leverage Ratio and Consolidated Interest Coverage Ratio                                       [See attached]                                   EXHIBIT D-SCHEDULE 5-1  1124359.01B-CHISR02A - MSW  

 

                                                                              EXHIBIT E                                           Form of                             INTEREST ELECTION REQUEST   Standard Chartered Bank,  as Administrative Agent  5th Floor 1 Basinghall Avenue, London, EC2V 5DD  Fax: +44207 885 9728      Attention:  Manager Asset Servicing                                                                                    [Date]                                        Re:  Novelis   Ladies and Gentlemen:   This  Interest  Election  Request  is  delivered  to  you  pursuant  to Section  2.08  of  that  certain  Short  Term  Credit  Agreement,  dated  as  of  December  18,  2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,  refinanced  or  otherwise  modified  from  time  to  time  in  one  or  more  agreements,  the  “Credit  Agreement”),  by  and  among  NOVELIS  ACQUISITIONS  LLC,  a  Delaware  limited  liability  company,  and  from  and  after  the  consummation of  the  Aleris  Acquisition,  ALERIS  CORPORATION,  a  Delaware  corporation,  NOVELIS  INC.,  a  corporation  amalgamated  under  the  Canada Business Corporations Act, AV METALS INC., a corporation formed under the Canada Business  Corporations Act, the Subsidiary Guarantors from time to time party thereto (such term and each other  capitalized term used but not defined herein having the meaning given to it in the Credit Agreement), the  Lenders  from  time  to  time  party  thereto,  and  STANDARD  CHARTERED  BANK,  as  Administrative  Agent.  The [Designated Company, on behalf of the Borrower][Borrower] hereby requests that on [__________]1  (the “Interest Election Date”),     1.  $[__________] of the presently outstanding principal amount of the Term Loans     [available/originally made on [__________]],      2.  [and all presently being maintained as/be issued as] Eurodollar Rate Loans,     3.  be [established as] [continued as],     4.  Eurodollar Rate Loans having an Interest Period of [three (or any shorter period agreed to in     writing by the Required Lenders)] months.                                                           1  Shall be a Business Day that is four Business Days following the date of this Interest Election Request in the     case of conversion into/continuation of Eurodollar Rate Loans to the extent this Interest Election Request is     delivered to the Administrative Agent not later than 10:00 a.m., London time on the date hereof, otherwise the     fifth Business Day following the date of delivery hereof.                                        EXHIBIT E-1  1124359.01B-CHISR02A - MSW  

 

  The undersigned hereby certifies that the following statements are true on the date hereof, and will be true  on the proposed Interest Election Date, both before and after giving effect thereto and to the application of  the proceeds therefrom:     (a)  the foregoing continuation complies with the terms and conditions of the Credit Agreement     (including, without limitation, Section 2.08 of the Credit Agreement);     (b)  no Default has occurred and is continuing, or would result from such proposed continuation.                                   [Signature Page Follows]                                         EXHIBIT E-2  1124359.01B-CHISR02A - MSW  

 

  The [Designated Company, on behalf of the Borrower][Borrower] has caused this Interest Election  Request to be executed and delivered by its duly authorized officer as of the date first written above.                                                   [_____________], as [Designated Company, on                                                behalf of the Borrower][Borrower]                                                 By:                                                      Name:                                                     Title:                                            EXHIBIT E-3  1124359.01B-CHISR02A - MSW  

 

                                                                               EXHIBIT F                                           Form of                                  JOINDER AGREEMENT   Reference  is  made  to  that  certain  Short  Term  Credit  Agreement, dated  as  of  December  18,  2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,  refinanced  or  otherwise  modified  from  time  to  time  in  one  or  more  agreements,  the  “Credit  Agreement”),  by  and  among  NOVELIS  ACQUISITIONS  LLC,  a  Delaware  limited  liability  company,  and  from  and  after  the  consummation of the Aleris Acquisition, ALERIS CORPORATION, a Delaware corporation, NOVELIS  INC., a corporation amalgamated under the Canada Business Corporations Act, AV METALS INC., a  corporation formed under the Canada Business Corporations Act, the Subsidiary Guarantors from time to  time  party  thereto  (such  term  and  each  other  capitalized  term  used  but  not  defined  herein  having  the  meaning  given  to  it  in  the  Credit  Agreement),  the  Lenders  from time  to  time  party  thereto,  and  STANDARD CHARTERED BANK, as Administrative Agent.                                    W I T N E S S E T H:   WHEREAS,  the  Guarantors  have  entered  into  the  Credit  Agreement in order  to  induce  the Lenders  to  make the Loans to or for the benefit of the Borrower;  WHEREAS,  pursuant  to  Section  5.11(b)  of  the  Credit  Agreement,  certain  Subsidiaries  are  required  to  become  Guarantors  under  the  Credit  Agreement  by  executing  a  Joinder  Agreement.   The  undersigned  Subsidiary  (the  “New  Guarantor”)  is  executing  this  joinder  agreement  (“Joinder  Agreement”)  to  the  Credit  Agreement  and  as  consideration  for  the  Loans  previously made  by  the  Lenders  and  as  consideration for the other agreements of the Lenders and the Agents under the Loan Documents and as  consideration  for  other  good  and valid  consideration  the  receipt  and  sufficiency  of  which  is  hereby  acknowledged.  NOW, THEREFORE, the Administrative Agent and the New Guarantor hereby agree as follows:  1.     Guarantee.  In accordance with Section 5.11(b) of the Credit Agreement, the New Guarantor by  its signature below becomes a Guarantor under the Credit Agreement with the same force and effect as if  originally named therein as a Guarantor.1  2.     Representations  and  Warranties.  The New Guarantor hereby (a) agrees to all the terms and  provisions  of  the  Credit  Agreement  applicable  to  it  as  a  Guarantor  thereunder  and  (b)  represents  and  warrants that the representations and warranties made by it as a Guarantor thereunder are true and correct  in all material respects (except that any representation and warranty that is qualified as to “materiality” or  “Material Adverse Effect” shall be true and correct in all respects) on and as of the date hereof, except to  the  extent  such  representations  and  warranties  expressly  relate  to  an  earlier  date,  in  which  case  such  representation and warranty shall have been true and correct in all material respects (or, in the case of any  representation and warranty that is qualified as to “materiality” or “Material Adverse Effect”, true and  correct in all respects) as of such earlier date.  Each reference to a Guarantor in the Credit Agreement  shall be deemed to include the New Guarantor.  The New Guarantor hereby attaches supplements to each  of the schedules to the Credit Agreement applicable to it.                                                          1 This joinder may be subject to the Agreed Guarantee Principles and is subject to the last two sentences of     Section 5.11(b).                                         EXHIBIT F-1  1124359.01B-CHISR02A - MSW  

 

   3.     Severability.  Any provision of this Joinder Agreement which is prohibited or unenforceable in  any  jurisdiction  shall,  as  to  such  jurisdiction,  be  ineffective  to  the  extent  of  such  prohibition  or  unenforceability  without  invalidating  the  remaining  provisions hereof,  and  any  such  prohibition  or  unenforceability  in  any  jurisdiction  shall  not  invalidate  or  render  unenforceable  such  provision  in  any  other jurisdiction.  4.     Counterparts.  This Joinder Agreement may be executed by one or more of the parties hereto on  any number of separate counterparts, each of which shall be an original, but all of which, taken together,  shall constitute one original agreement.  Delivery of an executed counterpart of this Joinder Agreement by  facsimile, email or other electronic transmission (including in portable document format (“pdf”) or other  similar  format)  shall  be  effective  as  delivery  of  a  manually  executed  counterpart  of  this  Joinder  Agreement.  5.     No Waiver.  Except as expressly supplemented hereby, the Credit Agreement shall remain in full  force and effect.  6.     Notices.  All notices, requests and demands to or upon the New Guarantor, the Administrative  Agent or any Lender shall be governed by the terms of Section 11.01 of the Credit Agreement.  7.     Governing  Law.   THIS  AGREEMENT  AND  THE  RIGHTS  AND  OBLIGATIONS  OF  THE  PARTIES  HEREUNDER  SHALL  BE  CONSTRUED  IN  ACCORDANCE  WITH  AND  GOVERNED  BY THE LAW OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICTS OF LAW  PRINCIPLES  THAT  WOULD  REQUIRE  THE  APPLICATION  OF  THE  LAWS  OF  ANOTHER  JURISDICTION.                                   [Signature Pages Follow]                                         EXHIBIT F-2  1124359.01B-CHISR02A - MSW  

 

   IN WITNESS WHEREOF, the undersigned have caused this Joinder Agreement to be duly executed and  delivered by their duly authorized officers as of the day and year first above written.                                           [NEW GUARANTOR]                                            By:                                             Name:                                                Title:                                             Address for Notices:                                                                                                                                                                                                                                                                             Standard Chartered Bank,                                             as Administrative Agent                                            By:                                             Name:                                                Title:                                            Standard Chartered Bank,                                          as Administrative Agent                                          5th Floor 1 Basinghall Avenue, London, EC2V 5DD                                          Fax: +44207 885 9728                                  Attention:  [Manager Asset Servicing]                                        EXHIBIT F-3  1124359.01B-CHISR02A - MSW  

 

                                [Note:  Schedules to be attached.]                                             EXHIBIT F-4  1124359.01B-CHISR02A - MSW  

 

                                                                               EXHIBIT G                                           Form of                                  LETTER OF COMFORT                     [HINDALCO INDUSTRIES LIMITED LETTERHEAD]      To:    [***insert Banks’ names***]         [***insert address***]                                                                              [***] 20 [***]    Dear Sirs,    Hindalco Industries Limited (“we” or “Hindalco”) confirms that:         (a)    we are aware that you and/or your various branches, affiliates, subsidiaries and associate               banks  (together  the  "Banks",  which  expression  shall  include  its  novatees,  transferees,               successors and assignees), pursuant to that certain Short Term Credit Agreement, dated as               of December 18, 2018 (the "Short Term Loan Agreement"), among the Borrower (as               defined below), Novelis Inc., as a Guarantor, the other Guarantors from time to time party               thereto,  the  Lenders  from  time  to  time  party  thereto,  and  Standard  Chartered  Bank,  as               administrative agent, have agreed to provide a senior unsecured short term loan facility in               the amount of up to $1,500,000,000 (the "Short Term Credit Facility") to our indirect               subsidiary, the Borrower, a wholly-owned subsidiary of Novelis Inc., in connection with               the  acquisition  of  Aleris  Corporation  by  Novelis  Inc.  As  used  herein:  (i) Borrower”               means, (x) Novelis Acquisitions LLC or (y) immediately after giving effect to the merger               of  Novelis  Acquisitions  LLC  with  and  into  Aleris  Corporation  in  connection  with  the               Acquisition, Aleris Corporation; and (ii) Novelis Group” means AV Metals Inc. (or, on               and after the Designated Holdco Effective Date, AV Minerals (Netherlands) N.V.) and its               subsidiaries. Capitalized terms used but not defined in this letter agreement shall have the               meaning assigned to such term in the Short Term Loan Agreement.         (b)    we will not directly or indirectly dispose of any shares in, or permit any modification in               the  share  capital  of,  AV  Minerals  (Netherlands)  N.V.  (the  holding  company  for  the               Novelis  Group)  in  a  manner  that  results  in  Hindalco  ceasing  to own  and  control  a               majority  of  the  equity  interests  (determined  by  voting  control and  economics)  in  AV               Minerals (Netherlands) N.V. without first having received your written consent or having               ensured  that  the  Borrower’s  liability  to  the  Banks  pursuant  to the  Short  Term  Loan               Agreement is unconditionally and irrevocably paid and discharged in full;         (c)    we will do whatever is necessary in order to ensure that the Novelis Group continues to               conduct its business, thus enabling the Borrower (and any of its successors or assigns) to               meet its obligations arising under the Short Term Loan Agreement; and                                         EXHIBIT G-1  1124359.01B-CHISR02A - MSW  

 

         (d)    if  we  violate  our  obligations  under  this  letter  agreement  in  any  way,  we  will  promptly               initiate discussions with the Banks regarding the immediate repayment of the obligations               of the Borrower and the Guarantors under the Short Term Credit Facility.   We further confirm that this letter agreement applies to you and to any of your associate banks, assignees,  novatees and transferees in respect of your and their respective obligations under the Short Term Loan  Agreement.  This letter is intended to be a letter of comfort and not a guarantee of the Short Term Loan  Agreement. A copy of the resolutions of the board of directors of Hindalco Industries Limited dated [__]  authorizing  the  execution,  delivery  and  performance  by  Hindalco  of  this  letter  agreement  and  its  obligations under this letter agreement is attached hereto.                                          EXHIBIT G-2  1124359.01B-CHISR02A - MSW  

 

     Yours faithfully,   HINDALCO INDUSTRIES LIMITED      By       Name:   Title:                                         EXHIBIT G-3  1124359.01B-CHISR02A - MSW  

 

                                                                             EXHIBIT H-1                                        [FORM OF]                           U.S. TAX COMPLIANCE CERTIFICATE         (For Foreign Lenders That Are Not Partnerships For U.S. Federal Income Tax Purposes)                                                            Reference is made to that certain Short Term Credit Agreement, dated as of December  18,  2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,  refinanced  or  otherwise  modified  from  time  to time  in  one  or  more  agreements, the “Credit  Agreement”),  by  and  among NOVELIS ACQUISITIONS LLC, a Delaware limited liability company, and from and after the  consummation of the Aleris Acquisition, ALERIS CORPORATION, a Delaware corporation, NOVELIS  INC., a corporation amalgamated under the Canada Business Corporations Act, AV METALS INC., a  corporation formed under the Canada Business Corporations Act, the Subsidiary Guarantors from time to  time  party  thereto  (such  term  and  each  other  capitalized  term  used  but  not  defined  herein  having  the  meaning  given  to  it  in  the  Credit  Agreement),  the  Lenders  from time  to  time  party  thereto,  and  STANDARD CHARTERED BANK, as Administrative Agent.                Pursuant  to  the  provisions  of  Section  2.15  of  the  Credit  Agreement,  the  undersigned  hereby certifies that (i) it is the sole record and beneficial owner of the Loan(s) (as well as any Note(s)  evidencing such Loan(s)) in respect of which it is providing this certificate, (ii) it is not a bank within the  meaning  of  Section  881(c)(3)(A)  of  the  Code,  (iii)  it  is  not  a ten  percent  shareholder  of  the  Borrower  within the meaning of Section 871(h)(3)(B) of the Code and (iv) it is not a controlled foreign corporation  related to the Borrower as described in Section 881(c)(3)(C) of the Code.                The  undersigned  has  furnished  the  Administrative  Agent  and  the Borrower  with  a  certificate  of  its  non-U.S.  Person  status  on  IRS  Form  W-8BEN.  By  executing  this  certificate,  the  undersigned agrees that (1) if the information provided on this certificate changes, the undersigned shall  promptly so inform the Borrower and the Administrative Agent, and (2) the undersigned shall have at all  times  furnished  the  Borrower  and the  Administrative  Agent  with a  properly  completed  and  currently  effective certificate in either the calendar year in which each payment is to be made to the undersigned, or  in either of the two calendar years preceding such payments.                                Unless otherwise defined herein, terms defined in the Credit Agreement and used herein  shall have the meanings given to them in the Credit Agreement.        [NAME OF LENDER]   By:       Name:         Title:    Date: ________ __, 20[  ]                                        EXHIBIT H-1-1  1124359.01B-CHISR02A - MSW  

 

                                                                             EXHIBIT H-2                                         [FORM OF]                            U.S. TAX COMPLIANCE CERTIFICATE       (For Foreign Participants That Are Not Partnerships For U.S. Federal Income Tax Purposes)                                                            Reference is made to that certain Short Term Credit Agreement, dated as of December  18,  2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,  refinanced  or  otherwise  modified  from  time  to time  in  one  or  more  agreements, the “Credit  Agreement”),  by  and  among NOVELIS ACQUISITIONS LLC, a Delaware limited liability company, and from and after the  consummation of the Aleris Acquisition, ALERIS CORPORATION, a Delaware corporation, NOVELIS  INC., a corporation amalgamated under the Canada Business Corporations Act, AV METALS INC., a  corporation formed under the Canada Business Corporations Act, the Subsidiary Guarantors from time to  time  party  thereto  (such  term  and  each  other  capitalized  term  used  but  not  defined  herein  having  the  meaning  given  to  it  in  the  Credit  Agreement),  the  Lenders  from time  to  time  party  thereto,  and  STANDARD CHARTERED BANK, as Administrative Agent.                Pursuant  to  the  provisions  of  Section  2.15  of  the  Credit  Agreement,  the  undersigned  hereby certifies that (i) it is the sole record and beneficial owner of the participation in respect of which it  is providing this certificate, (ii) it is not a bank within the meaning of Section 881(c)(3)(A) of the Code,  (iii) it is not a ten percent shareholder of the Borrower within the meaning of Section 871(h)(3)(B) of the  Code, and (iv) it is not a controlled foreign corporation related to the Borrower as described in Section  881(c)(3)(C) of the Code].               The undersigned has furnished its participating Lender with a certificate of its non-U.S.  Person status on IRS Form W-8BEN.  By executing this certificate, the undersigned agrees that (1) if the  information provided on this certificate changes, the undersigned shall promptly so inform such Lender in  writing, and (2) the undersigned shall have at all times furnished such Lender with a properly completed  and currently effective certificate in either the calendar year in which each payment is to be made to the  undersigned, or in either of the two calendar years preceding such payments.                               Unless otherwise defined herein, terms defined in the Credit Agreement and used herein  shall have the meanings given to them in the Credit Agreement.                                 [NAME OF PARTICIPANT]   By:       Name:         Title:                                            EXHIBIT H-2-1  1124359.01B-CHISR02A - MSW  

 

                                                                             EXHIBIT H-3                                         [FORM OF]                                                                        U.S. TAX COMPLIANCE CERTIFICATE         (For Foreign Participants That Are Partnerships For U.S. Federal Income Tax Purposes)                                                            Reference is made to that certain Short Term Credit Agreement, dated as of December  18,  2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,  refinanced  or  otherwise  modified  from  time  to time  in  one  or  more  agreements, the “Credit  Agreement”),  by  and  among NOVELIS ACQUISITIONS LLC, a Delaware limited liability company, and from and after the  consummation of the Aleris Acquisition, ALERIS CORPORATION, a Delaware corporation, NOVELIS  INC., a corporation amalgamated under the Canada Business Corporations Act, AV METALS INC., a  corporation formed under the Canada Business Corporations Act, the Subsidiary Guarantors from time to  time  party  thereto  (such  term  and  each  other  capitalized  term  used  but  not  defined  herein  having  the  meaning  given  to  it  in  the  Credit  Agreement),  the  Lenders  from time  to  time  party  thereto,  and  STANDARD CHARTERED BANK, as Administrative Agent.                Pursuant  to  the  provisions  of  Section  2.15  of  the  Credit  Agreement,  the  undersigned  hereby certifies that (i) it is the sole record owner of the participation in respect of which it is providing  this  certificate,  (ii)  its  direct  or  indirect  partners/members are  the  sole  beneficial  owners  of  such  participation, (iii) with respect such participation, neither the undersigned nor any of its direct or indirect  partners/members is  a bank extending credit pursuant to a loan agreement entered into in the ordinary  course of its trade or business within the meaning of Section 881(c)(3)(A) of the Code, (iv) none of its  direct or indirect partners/members is a ten percent shareholder of the Borrower within the meaning of  Section 871(h)(3)(B) of the Code and (v) none of its direct or indirect partners/members is a controlled  foreign corporation related to the Borrower as described in Section 881(c)(3)(C) of the Code.                The  undersigned  has  furnished  its  participating  Lender  with  IRS  Form  W-8IMY  accompanied  by  one  of  the  following  forms  from  each  of  its  partners/members  that is  claiming  the  portfolio interest exemption: (i) an IRS Form W-8BEN or (ii) an IRS Form W-8IMY accompanied by an  IRS Form W-8BEN from each of such partner’s/member’s beneficial owners that is claiming the portfolio  interest  exemption.   By  executing  this  certificate,  the  undersigned  agrees  that  (1)  if  the  information  provided on this certificate changes, the undersigned shall promptly so inform such Lender and (2) the  undersigned  shall  have  at  all  times  furnished  such  Lender  with a  properly  completed  and  currently  effective certificate in either the calendar year in which each payment is to be made to the undersigned, or  in either of the two calendar years preceding such payments.                               Unless otherwise defined herein, terms defined in the Credit Agreement and used herein  shall have the meanings given to them in the Credit Agreement.                                 [NAME OF PARTICIPANT]   By:       Name:         Title:                                                                                                                                    EXHIBIT H-3-1  1124359.01B-CHISR02A - MSW  

 

                                                                            EXHIBIT H-4                                         [FORM OF]                             U.S. TAX COMPLIANCE CERTIFICATE           (For Foreign Lenders That Are Partnerships For U.S. Federal Income Tax Purposes)                                                            Reference is made to that certain Short Term Credit Agreement, dated as of December  18,  2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,  refinanced  or  otherwise  modified  from  time  to time  in  one  or  more  agreements, the “Credit  Agreement”),  by  and  among NOVELIS ACQUISITIONS LLC, a Delaware limited liability company, and from and after the  consummation of the Aleris Acquisition, ALERIS CORPORATION, a Delaware corporation, NOVELIS  INC., a corporation amalgamated under the Canada Business Corporations Act, AV METALS INC., a  corporation formed under the Canada Business Corporations Act, the Subsidiary Guarantors from time to  time  party  thereto  (such  term  and  each  other  capitalized  term  used  but  not  defined  herein  having  the  meaning  given  to  it  in  the  Credit  Agreement),  the  Lenders  from time  to  time  party  thereto,  and  STANDARD CHARTERED BANK, as Administrative Agent.                Pursuant  to  the  provisions  of  Section  2.15  of  the  Credit  Agreement,  the  undersigned  hereby certifies that (i) it is the sole record owner of the Loan(s) (as well as any Note(s) evidencing such  Loan(s)) in respect of which it is providing this certificate, (ii) its direct or indirect partners/members are  the sole beneficial owners of such Loan(s) (as well as any Note(s) evidencing such Loan(s)), (iii) with  respect to the extension of credit pursuant to this Credit Agreement or any other Loan Document, neither  the undersigned nor any of its direct or indirect partners/members is a bank extending credit pursuant to a  loan agreement entered into in the ordinary course of its trade or business within the meaning of Section  881(c)(3)(A) of the Code, (iv) none of its direct or indirect partners/members is a ten percent shareholder  of  the  Borrower  within  the  meaning of  Section 871(h)(3)(B) of  the  Code  and  (v)  none of  its  direct or  indirect  partners/members  is  a  controlled  foreign  corporation  related  to  the  Borrower  as  described  in  Section 881(c)(3)(C) of the Code.               The  undersigned  has  furnished  the  Administrative  Agent  and  the Borrower  with  IRS  Form  W-8IMY  accompanied  by  one  of  the  following  forms  from  each  of  its  partners/members  that  is  claiming  the  portfolio  interest  exemption:  (i)  an  IRS  Form  W-8BEN  or  (ii)  an  IRS  Form  W-8IMY  accompanied by an IRS Form W-8BEN from each of such partner’s/member’s beneficial owners that is  claiming the portfolio interest exemption.  By executing this certificate, the undersigned agrees that (1) if  the  information  provided  on  this  certificate  changes,  the  undersigned  shall  promptly  so  inform  the  Borrower  and  the  Administrative Agent,  and  (2)  the  undersigned shall  have  at  all  times  furnished  the  Borrower and the Administrative Agent with a properly completed and currently effective certificate in  either the calendar year in which each payment is to be made to the undersigned, or in either of the two  calendar years preceding such payments.                               Unless otherwise defined herein, terms defined in the Credit Agreement and used herein  shall have the meanings given to them in the Credit Agreement.                  [NAME OF LENDER]   By:       Name:         Title:                                         EXHIBIT H-4-1  1124359.01B-CHISR02A - MSW  

 

                                                                              EXHIBIT I                                           Form of                                    TERM LOAN NOTE   $_______________                                                 New York, New York                                                                                [Date]   FOR VALUE RECEIVED, the undersigned, [________], a [_________________] (the “Borrower”),  hereby promises to pay to [_____________________] (the “Lender”) or its registered assigns on the  Maturity Date (as defined in the Credit Agreement referred to below) in lawful money of the United  States and in immediately available funds, the principal amount of ____________ DOLLARS  ($____________), or, if less, the aggregate unpaid principal amount of the Term Loans (as defined in the  Credit Agreement) of the Lender made to the Borrower and outstanding under the Credit Agreement  referred to below, which sum shall be due and payable in such amounts and on such dates as are set forth  in the Credit Agreement.  The Borrower further agrees to pay interest in like money at such office  specified in Section 2.14 of the Credit Agreement on the unpaid principal amount hereof from time to  time from the date hereof at the rates specified in Section 2.06 of such Credit Agreement.  The holder of this Note may endorse and attach a schedule to reflect the date, Type and amount of each  Term Loan of the Lender owing by the Borrower outstanding under the Credit Agreement, the date and  amount of each payment or prepayment of principal hereof, and the date of each interest rate conversion  or continuation pursuant to Section 2.08 of the Credit Agreement and the principal amount subject  thereto; provided that the failure of the Lender to make any such recordation (or any error in such  recordation) shall not affect the obligations of the Borrower hereunder or under the Credit Agreement.  This Note is one of the Notes referred to in that certain Short Term Credit Agreement, dated as of  December 18, 2018 (as amended, restated, supplemented, extended, renewed, refunded, replaced,  refinanced or otherwise modified from time to time in one or more agreements, the “Credit  Agreement”), by and among NOVELIS ACQUISITIONS LLC, a Delaware limited liability company,  and from and after the consummation of the Aleris Acquisition, ALERIS CORPORATION, a Delaware  corporation, NOVELIS INC., a corporation amalgamated under the Canada Business Corporations Act,  AV METALS INC., a corporation formed under the Canada Business Corporations Act, the Subsidiary  Guarantors from time to time party thereto (such term and each other capitalized term used but not  defined herein having the meaning given to it in the Credit Agreement), the Lenders from time to time  party thereto, and STANDARD CHARTERED BANK, as Administrative Agent, is subject to the  provisions thereof and is subject to optional and mandatory prepayment in whole or in part as provided  therein.  This Note is guaranteed as provided in the Credit Agreement and the other Loan Documents.  Reference  is hereby made to the Credit Agreement and the Loan Documents for a description of the nature and  extent of the guarantees, the terms and conditions upon which each guarantee was granted and the rights  of the holder of this Note in respect thereof.  Upon the occurrence of any one or more of the Events of Default specified in the Credit Agreement, all  amounts then remaining unpaid on this Note shall become, or may be declared to be, immediately due and  payable all as provided therein.  No failure in exercising any rights hereunder or under the other Loan  Documents on the part of the Lender shall operate as a waiver of such rights.                                          EXHIBIT I-1  1124359.01B-CHISR02A - MSW  

 

  Time is of the essence in respect of this Note.  All parties now and hereafter liable with respect to this Note, whether maker, principal, surety, guarantor,  endorser or otherwise, hereby waive diligence, presentment, demand, protest and all other notices of any  kind.  THIS NOTE MAY NOT BE TRANSFERRED EXCEPT IN COMPLIANCE WITH THE TERMS  OF THE CREDIT AGREEMENT.  TRANSFERS OF THIS NOTE MUST BE RECORDED IN  THE REGISTER MAINTAINED BY THE ADMINISTRATIVE AGENT PURSUANT TO THE  TERMS OF THE CREDIT AGREEMENT.  THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE  LAW OF THE STATE OF NEW YORK WITHOUT REGARD TO CONFLICTS OF LAW  PRINCIPLES THAT WOULD REQUIRE THE APPLICATION OF THE LAWS OF ANOTHER  JURISDICTION.                                   [Signature Page Follows]                                          EXHIBIT I-2  1124359.01B-CHISR02A - MSW  

 

                                          [__________],                                             as Borrower                                    By:                                          Name:                                              Title:                                          EXHIBIT I-3  1124359.01B-CHISR02A - MSW  

 

                                                                              EXHIBIT J                                            Form of                                SOLVENCY CERTIFICATE                                                                                                               ______________  ___, 20__   The undersigned, the [Financial Officer] of [each Loan Party][the Designated Company], hereby certifies  on behalf of the Loan Parties and for the benefit of the Lenders and the Administrative Agent that:  1.    This  Certificate  is  provided  pursuant  to Section 4.01(h) of,  and  in  connection  with  the  consummation of the transactions contemplated on the Effective Date by, that certain Short Term Credit  Agreement,  dated  as  of  December  18,  2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded, replaced, refinanced or otherwise modified from time to time in one or more agreements, the  “Credit  Agreement”),  by  and  among  NOVELIS  ACQUISITIONS  LLC,  a  Delaware  limited  liability  company, and from and after the consummation of the Aleris Acquisition, ALERIS CORPORATION, a  Delaware  corporation,  NOVELIS  INC.,  a  corporation  amalgamated  under  the  Canada  Business  Corporations  Act,  AV  METALS  INC.,  a  corporation  formed  under  the  Canada  Business  Corporations  Act, the Subsidiary Guarantors from time to time party thereto (such term and each other capitalized term  used but not defined herein having the meaning given to it in the Credit Agreement), the Lenders from  time to time party thereto, and STANDARD CHARTERED BANK, as Administrative Agent.  2.    At  the  time  of  and  immediately  after  the  consummation  of  the  transactions  to  occur  on  the  Effective Date, (a) the fair value of the assets of the Designated Company and of the Loan Parties (on a  consolidated basis with their Subsidiaries) will exceed their debts and liabilities, subordinated, contingent,  prospective or otherwise; (b) the present fair saleable value of the property of the Designated Company  and the Loan Parties (on a consolidated basis with their Subsidiaries) will be greater than the amount that  will be required to pay the probable liability of their debts and other liabilities, subordinated, contingent,  prospective  or  otherwise,  as  such  debts  and  other  liabilities  become  absolute  and  matured;  (c) the  Designated Company and the Loan Parties (on a consolidated basis with their Subsidiaries) will be able to  pay  their  debts  and  liabilities,  subordinated,  contingent,  prospective  or  otherwise,  as  such  debts  and  liabilities  become  absolute  and  matured;  (d) the  Designated  Company  and  the  Loan  Parties  (on  a  consolidated basis with their Subsidiaries) will not have unreasonably small assets with which to conduct  their  business  in  which  they  are  engaged  as  such  business  is  now  conducted  and  is  proposed  to  be  conducted  following  the  Closing  Date;  and  (e)  the  Designated  Company  and  the  Loan  Parties  (on  a  consolidated  basis  with  their  Subsidiaries)  are  not  “insolvent”  as  such  term  is  defined  under  any  bankruptcy,  insolvency  or  similar  laws  of  any  jurisdiction  in  which  any  Loan  Party  is  organized  or  incorporated (as applicable), or otherwise unable to pay their debts as they fall due.                                   [Signature Page Follows]                                          EXHIBIT J-1  1124359.01B-CHISR02A - MSW  

 

           IN WITNESS WHEREOF, the undersigned has executed this certificate on the date first written above.                                           [DESIGNATED COMPANY]                                                 By:                                                        Name:                                                       Title:                                                           EXHIBIT J-2  1124359.01B-CHISR02A - MSW  

 

                                       EXHIBIT K                                        Form of                              INTERCOMPANY NOTE                                  PROMISSORY NOTE15   $[Loan Amount]                                                      Date:  [Date]     FOR  VALUE  RECEIVED,  the  undersigned  [INTERCOMPANY  BORROWER],  a  company  organized under the laws of [Intercompany Jurisdiction] (“Borrower”), HEREBY PROMISES  TO PAY to the order of [INTERCOMPANY LENDER], a [Type of Entity] organized under  the  laws  of  [Intercompany  Lender  Jurisdiction]  (“Lender”)  on  [Loan  Maturity  Date]  (the  “Maturity Date”)  and  in  accordance  with  the  terms  and  conditions  of  the  Subordination  Agreements  (as  defined  below)  the  principal  sum  of  [________________] or,  if  less,  the  aggregate principal amount of the Advances (as defined below) made by Lender to the Borrower  pursuant to Section 1 below.16  Capitalized terms used but not defined herein shall have the meanings ascribed to such terms in  (x)  the  Intercreditor  Agreement,  dated  as  of  December  17,  2010 (as  amended,  restated,  supplemented, modified or replaced from time to time, the “Intercreditor Agreement”), by and  among NOVELIS INC., a corporation amalgamated under the Canada Business Corporations Act  (the "Parent Borrower"), AV METALS INC., a corporation formed under the Canada Business  Corporations Act (“Holdings”), the subsidiaries and affiliates of Holdings from time to time party  thereto, WELLS FARGO BANK, NATIONAL ASSOCIATION, as administrative agent for the  Revolving  Credit  Lenders  and  as  collateral  agent  for  the  Revolving  Credit  Claimholders,  STANDARD CHARTERED BANK, as administrative agent for the Pari Passu Secured Parties,  and STANDARD CHARTERED BANK, as collateral agent for the Pari Passu Secured Parties,  and certain other persons which may be or become parties thereto or become bound thereto from  time to time, and (y) that certain Short Term Credit Agreement, dated as of December 18, 2018  (as  amended,  restated,  supplemented,  extended,  renewed,  refunded,  replaced,  refinanced  or  otherwise  modified  from  time  to  time  in  one  or  more  agreements, the “Short Term Credit  Agreement”, and the Loan Documents as defined therein, the “Short Term Loan Documents”), by  and  among  NOVELIS  ACQUISITIONS  LLC,  a Delaware  limited  liability company,  and  from  and  after  the  consummation  of  the  Aleris  Acquisition,  ALERIS  CORPORATION,  a  Delaware  corporation,  NOVELIS  INC.,  a  corporation  amalgamated  under  the Canada  Business                                                          15 NTD: With respect to the Short Term Credit Agreement, for existing and future promissory notes, in lieu     of entering into this form of promissory note, the Companies may execute and deliver a subordination     agreement whereby the obligations under all existing and future intercompany notes are subordinated,     which agreement shall be in form and substance reasonably satisfactory to the Administrative Agent.   16 If in the form of a loan or advance by any Company that is not a Loan Party to any Loan Party,     subordination language to be included.    1124359.01B-CHISR02A - MSW  

 

    Corporations  Act,  AV  METALS  INC.,  a  corporation  formed  under  the  Canada  Business  Corporations Act, the Subsidiary Guarantors from time to time party thereto, the Lenders from  time to time party thereto, and STANDARD CHARTERED BANK, as Administrative Agent (in  such capacity, the “Short Term Administrative Agent”).  Reference is hereby made to:  (i) the Amended and Restated Subordination Agreement, dated as of May 13, 2013 (as amended,  supplemented, amended and restated or otherwise modified and in effect from time to time, the  “Revolving Credit Subordination Agreement”),  among  Holdings,  the  subsidiaries  of  Holdings  party  thereto  and  WELLS  FARGO  BANK,  NATIONAL  ASSOCIATION,  as  administrative  agent and as collateral agent under the Revolving Credit Agreement;  (ii)  the  Subordination  Agreement,  dated  as  of  January  13,  2017 (as  amended,  supplemented,  amended  and  restated  or  otherwise  modified  and  in  effect  from  time  to  time,  the  “Term Loan  Subordination Agreement”),  among  Holdings,  the  subsidiaries  of  Holdings  party  thereto, and  Standard Chartered Bank, as administrative agent and as collateral agent under the Term Loan  Agreement;  (iii) the Subordination Agreement, dated as of December 18, 2018 (as amended, supplemented,  amended  and  restated  or  otherwise  modified  and  in  effect  from  time to time, the “Short Term  Loan Subordination Agreement”  and,  together  with  the  Revolving  Credit  Subordination  Agreement  and  the  Term  Loan Subordination  Agreement,  the  “Subordination Agreements”),  among  Holdings,  the  subsidiaries  of  Holdings  party  thereto,  and  Standard  Chartered  Bank,  as  administrative agent under the Short Term Credit Agreement;  (iv) the Amended and Restated Contribution, Intercompany, Contracting and Offset Agreement,  dated  as  of  May  13,  2013  (as  amended,  supplemented,  amended  and  restated  or  otherwise  modified  and  in  effect  from  time  to  time,  the  “Revolving Credit CICO Agreement”),  among  Holdings, the subsidiaries of Holdings party thereto and WELLS FARGO BANK, NATIONAL  ASSOCIATION,  as  administrative  agent  and  as  collateral  agent  under  the  Revolving  Credit  Agreement;   (v) the Contribution, Intercompany, Contracting and Offset Agreement, dated as of January 13,  2017 (as amended, supplemented, amended and restated or otherwise modified and in effect from  time to time (the “Term Loan CICO Agreement” and, together with the Revolving Credit CICO  Agreement, the “CICO Agreements”),  among  Holdings,  the  subsidiaries  of  Holdings  party  thereto, and Standard Chartered Bank, as administrative agent and as collateral agent under the  Term Loan Agreement; and  (vi) the Contribution, Intercompany, Contracting and Offset Agreement, dated as of December  18, 2018 (as amended, supplemented, amended and restated or otherwise modified and in effect  from  time  to  time  (the  “Short Term Loan CICO Agreement”  and,  together  with  the  Revolving  Credit CICO Agreement and the Term Loan CICO Agreement, the “CICO Agreements”), among  Holdings,  the  subsidiaries  of  Holdings  party  thereto,  and  Standard  Chartered  Bank,  as  administrative agent under the Term Loan Agreement.                1. Loan.  The principal amount stated above (the “Advances”) has been loaned  to the Borrower by the Lender subject to the terms and conditions hereof and of the Subordination  Agreements,  the  CICO  Agreements,  the  Intercreditor  Agreement,  the  Revolving  Credit  Agreement, the Term Loan Agreement and the Short Term Credit Agreement.   Subject  to  the  terms  and  conditions  hereof  and of  the  Subordination  Agreements,  the  CICO  Agreements,  the  Intercreditor  Agreement,  the  Revolving  Credit  Agreement,  the  Term  Loan  Agreement  and  the  Short  Term  Credit  Agreement,  the  Borrower  may  prepay  the  Advances  under  this  Promissory  Note without premium or penalty.    4  1124359.01B-CHISR02A - MSW  

 

                 2.  Interest.  (a) The Advances shall bear interest at a rate per annum equal to  [__]% (computed on the basis of year of [360]17[365]18 days), payable until the Maturity Date.   The Borrower promises to pay interest on the unpaid principal amount of Advances from the date  hereof  until  such  principal  amount  is  paid  in  full.   Interest  accrued  on  the  amount of  all  other  obligations  hereunder  shall  be  payable  on  demand  from  and  after  the  time  such  obligation  becomes due and payable (whether by acceleration or otherwise). [Interest on the amount of all  obligations  hereunder  shall  continue  to  accrue  after  the  beginning  of  any  bankruptcy  or  insolvency proceeding involving the Borrower, whether or not allowed in such proceeding.]19  [In  the event that accrued interest is not paid cash, it will compound on an annual basis in accordance  with article 1154 of the French Civil Code.]20                [(b)   To  comply  with  the  provisions  of  article  L.  313-4  of  the  French  Monetary and Financial Code (Code Monétaire et Financier), the Borrower and the Lender agree  that the effective global rate for the facility is [__]% per annum and [__]% per quarter.]21                 [(b)  Notwithstanding  any  other  provision  of  this  Promissory  Note,  it  is  understood  that  the  interest  rate  applicable  hereunder  in  no  event  shall  exceed  the  maximum  interest rate permitted by Law no. 108 of March 7, 1996 (disposizioni in materia di usura) and  related implementation regulations and subsequent amendments and/or repeals. Should, by any  means, the interest rate due pursuant to the Section 2 above exceed the maximum rate permitted  under applicable law, the interest rate applicable shall be automatically reduced as necessary to  allow the interest rate applicable to be in compliance with any applicable law.]22                [(b)  Notwithstanding  any  other  provisions  of  this  Promissory  Note,  in  no  such  event shall, if applicable, any: (i) an increase of the applicable interest rate triggered by the late  payment of an overdue amount exceed 0.5% per annum on the outstanding principal amount due  (article 1907 Belgian Civil Code); (ii) prepayment and related fees exceed six months of interest  on the pre-paid amount, calculated at the rate of interest accruing on the principal amount (1907  bis Belgian Civil Code);  (iii)  interest  be  claimed  on  overdue  interest,  unless  (A)  the  overdue  interest  has  accrued  over  a  period  of  at  least  one  year,  and  (B)  the  interest  has  formally  been  claimed by the Lender, or the Borrower has agreed to it, after such period has effectively passed  (article 1154 Belgian Civil Code); and (iv) the aggregate annual interest rate applicable in this  Promissory  Note  exceed  the  maximum  permitted  by  the Belgian Civil Code  and  other  Requirements of Law from time to time in force in Belgium.]23                                                          17 Insert for borrowings other than borrowings in $GBP or $HKG.   18 Insert for borrowings in $GBP or $HKG.   19 Delete for German [or Swiss] borrowers.   20 Insert for French borrowers.   21 Insert for French borrower if there are no charges other than interest (insert interest rate from Section 2(a)     above).   22 Insert for Italian borrower.   23 Insert for Belgian borrower.     5  1124359.01B-CHISR02A - MSW  

 

                 [(b)   [Interest Act (Canada).  For  purposes  of  the Interest Act  (Canada),  whenever in this Promissory Note any interest is calculated on the basis of a period of time other  than a year of 365 or 366 days, as applicable, the annual rate of interest to which each rate of  interest utilized pursuant to such calculation is equivalent is such rate so utilized multiplied by the  actual number of days in the calendar year in which the same is to be ascertained and divided by  the number of days used in such calculation.  For the purposes of the Interest Act (Canada), the  principle of deemed reinvestment of interest will not apply to any interest calculation under this  Promissory Note, and the rates of interest stipulated in this Promissory Note are intended to be  nominal rates and not effective rates or yields.                (c)    Criminal Interest Rate.   (i)   If  any  provision  of  this  Promissory  Note  would  obligate  the  Borrower  to  make  any  payment  of  interest  or other  amount  payable  to  the  Lender hereunder in an amount or calculated at a rate which would be prohibited by law or would  result in a receipt by the Lender of interest at a criminal rate (as construed under the Criminal  Code (Canada)), then notwithstanding that provision, that amount or rate shall be deemed to have  been adjusted with retroactive effect to the maximum amount or rate of interest, as the case may  be,  as  would  not  be  so  prohibited  by  law  or  result  in  a  receipt  by  the  Lender  of  interest  at  a  criminal  rate,  the  adjustment  to  be  effected,  to  the  extent  necessary,  (A) first,  by  reducing  the  amount or rate of interest required to be paid to the Lender under this Section 2 and (B) thereafter,  by  reducing  any  fees,  commissions,  premiums  and  other  amounts  required  to  be  paid  to  the  Lender  which  would  constitute  interest  for  purposes  of Section 347 of the Criminal Code  (Canada).                              (ii)   Notwithstanding clause (c)(i), and after giving effect to         all  adjustments  contemplated  thereby,  if  the  Lender  shall  have received  an  amount  in         excess  of  the  maximum  permitted  by  the Criminal Code  (Canada),  then  the Borrower,         shall be entitled, by notice in writing to the Lender, to obtain reimbursement from the         Lender in an amount equal to the excess, and pending reimbursement, the amount of the         excess shall be deemed to be an amount payable by the Lender to the Borrower.                              (iii)  Any amount or rate of interest referred to in this Section         2 shall  be  determined  in  accordance  with  generally  accepted  actuarial  practices  and         principles as an effective annual rate of interest over the term of this Promissory Note on         the assumption that any charges, fees or expenses that fall within the meaning of interest         (as defined in the Criminal Code (Canada)) shall be pro-rated over that period of time         and,  in  the  event  of  a  dispute,  a  certificate  of  a  Fellow  of  the  Canadian  Institute  of         Actuaries  appointed  by  the  Authorized  Pari  Passu  Collateral  Agent  (or  following  the         Discharge  of  Pari  Passu  Secured  Obligations,  the  Revolving  Credit  Administrative         Agent) shall be conclusive for the purposes of that determination.]24                3.  Payments; Record of Debt.  Both  principal  and  interest  are  payable  in  the  currency  in  which  Advances  are  made  to  Lender  in  same  day  funds.   The  Advances  made  by  Lender  to  the  Borrower  pursuant  to  the  terms  hereof,  and  all  payments  made  on  account  of  principal thereof, shall be recorded by Lender[, acting for this purpose solely as an agent of the  Borrower,]25 in its books and records, such books and records constituting prima facie evidence                                                         24  Insert for Canadian borrower.   25 Insert for U.S. borrower.     6  1124359.01B-CHISR02A - MSW  

 

    of the accuracy of the information contained therein; provided that the failure of Lender to make  any such recordation or endorsement shall not affect the obligations of the Borrower hereunder.                 4. Waivers.   The  Borrower  hereby  waives  presentment,  demand,  protest  and  notice of any kind.  No failure to exercise, and no delay in exercising, any rights hereunder on the  part of the holder hereof shall operate as a waiver of such rights.                5.  Event of Default.  In the event (each, an “Event of Default”) that:                (a)    a Revolving Credit Default shall have occurred and is continuing, and/or                (b)    a Pari Passu Default shall have occurred and is continuing, and/or                (c)    a  Default  (as  defined  in  the  Short  Term  Credit  Agreement)  shall  have  occurred and is continuing, and/or                (d)    the Borrower shall fail to pay any principal of any Advance or interest  thereon pursuant to this Promissory Note when the same becomes due and payable,   then, and in any such event, the Lender may, by notice to the Borrower, declare the Advances, all  interest thereon and all other amounts payable under this Promissory Note to be forthwith due and  payable, whereupon the Advances, all such interest and all such amounts shall become and be  forthwith due and payable, without presentment, demand, protest or further notice of any kind, all  of  which  are  hereby  expressly  waived  by  the  Borrower; provided  that  in  the  case  of  the  occurrence of (i) a Revolving Credit Default of the type referred to in Section 8.01(g) or (h) of the  Revolving Credit Agreement in effect on the date hereof, or any similar provisions of any other  Revolving Credit Agreement, (ii) a Pari Passu Default of the type referred to in Section 8.01(g) or  (h) of the Term Loan Agreement in effect on the date hereof, or any similar provisions of any  other Pari Passu Loan Document, (iii) a Default of the type referred to in Section 8.01(g) or (h) of  the Short Term Loan Agreement in effect on the date hereof, or any similar provisions of any  other Short Term Loan Document, or (iv) an Event of Default under clause (d) above [or in the  case that any financial statements of the Borrower show the book value of the net assets of the  Borrower have fallen to below half of its stated share capital (Stammkapital)]26, the Advances,  and all such interest and all other amounts owing hereunder shall automatically become and be  due and payable, without presentment, demand, protest or any notice of any kind, all of which are  hereby  expressly  waived  by  the  Borrower.   [The  Borrower  represents  and  warrants  that  it  has  obtained  shareholder  approval  by  resolution  authorizing  the  Borrower  to  permit  the  Lender  to  terminate this Promissory Note and to claim immediate repayment of all sums due hereunder in  case of a change of control as contemplated by the Revolving Credit Agreement and/or the Pari  Passu Loan Documents and that such resolution will be timely filed with the Clerk’s Office of the  competent Commercial Court (article 556 Belgian Companies Code).]27                                                           26 Insert for German borrower   27 Insert for Belgian SA/NV or SCA/CVA borrower     7  1124359.01B-CHISR02A - MSW  

 

                 6.  Governing Law.  This Promissory Note shall be governed by, and construed  in accordance with, the laws of [Intercompany Borrower Jurisdiction], without giving effect to  principles of conflict of laws thereof.                7.  Amendments.  This Promissory Note cannot be amended without the consent  of  each  of  (i)  the  parties  hereto  and  (ii)  prior  to  the  Discharge  of  Revolving  Credit  Secured  Obligations, the Revolving Credit Administrative Agent, (iii) prior to the Discharge of Pari Passu  Secured Obligations, the Authorized Pari Passu Collateral Agent, and (iv) prior to the payment in  full  of  all  Obligations  under  and  as  defined  in,  and  termination  of,  the  Short  Term  Loan  Documents, the Short Term Loan Administrative Agent.                8.  Expenses.   The  Borrower  agrees  to  pay  all  costs  and  expenses,  including  reasonable attorneys’ fees and legal expenses, incurred by the Lender in endeavoring to collect  any  amounts  payable  hereunder  which  are  not  paid  when  due,  whether  by  acceleration  or  otherwise.                 9.  No Set Off.  Unless required by applicable law, and subject to the terms of  the  Subordination  Agreements,  at  no  time  may  the  Lender  appropriate and apply toward the  payment of all or any part of the obligations of the Borrower under this Promissory Note (i) any  other indebtedness due or to become due from the Borrower to the Lender, and (ii) any moneys,  credits  or  other  property  belonging  to  the  Borrower,  at  any  time  held  by  or  coming  into  the  possession of the Lender.                10. Taxes.  (a)   In  the  event  that  a  Revolving  Credit  Default,  a  Pari  Passu  Default, and/or a Default under any Short Term Loan Document has occurred and is continuing,  any and all payments by the Borrower under this Promissory Note shall be made free and clear of  and without deduction for any and all present or future taxes, levies, duties, imposts, deductions,  charges or withholdings, and all liabilities with respect thereto, excluding (i) in the case of the  Lender  taxes  measured  by  its  net  income  and  franchise  taxes  imposed  on  it,  and  similar  taxes  imposed  by  the  jurisdiction  (or  any  political  subdivision  thereof)  under  the  laws  of  which  the  Lender is organized, and (ii) in the case of the Lender, except to the extent arising solely as a  result of entering into this Promissory Note, taxes measured by its net income and franchise taxes  imposed  on  it  as  a  result  of  a  present  or  former  connection  between  the  Lender  and  the  jurisdiction of the governmental authority imposing such tax or any taxing authority thereof or  therein, other than the entering into of the Promissory Note (all such non-excluded taxes, levies,  duties, imposts, deductions, charges, withholdings and liabilities being hereinafter referred to as  “Taxes”).  If any Taxes shall be required by law to be withheld or deducted from or in respect of  any  sum  payable  hereunder  to  the  Lender  (w) the  sum  payable  shall  be  increased  as  may  be  necessary  so  that  after  making  all  required  deductions  or  withholdings  in  respect  of  Taxes  (including  deductions  applicable  to  additional  sums  payable  under  this Section 10)  the  Lender  receives  an  amount  equal  to  the  sum  it  would  have  received  had no  such  deductions  or  withholdings been made,  (x) the Borrower shall  make such deductions or withholdings, (y) the  Borrower shall pay the full amount deducted or withheld to the relevant taxing authority or other  authority  in  accordance  with  applicable  law  and  (z) the  Borrower  shall  deliver  to  the  Lender  evidence of such payment.                 (b)      In  addition,  if  a  Revolving  Credit  Default,  a  Pari  Passu  Default,  and/or  a  Default  under  any  Short  Term  Loan  Document  has  occurred  and  is  continuing,  the  Borrower  shall  pay  any  present  or  future  stamp,  registration,  notarization  or  documentary  or  similar  taxes  or  any  other  excise  or property  taxes,  charges  or  similar  levies,  and  all  liabilities    8  1124359.01B-CHISR02A - MSW  

 

    with  respect  thereto,  in  each  case  arising  from  any  payment  made  or  credited  under  or  in  connection with this Promissory Note or from the execution, delivery, registration or enforcement  of, or otherwise with respect to, this Promissory Note (collectively, “Other Taxes”).                (c)       The  Borrower  shall  indemnify  the  Lender  for  the  full  amount  of  Taxes  and  Other  Taxes  (including  any  Taxes  and  Other  Taxes  imposed  by any  jurisdiction  on  amounts  payable  under  this Section 10)  paid  by  the  Lender  and  any  liability  (including  for  penalties,  interest  and  expenses)  that  arises  from  any  payment made  or  crediting  of  amounts  hereunder  or  from  the  execution,  delivery,  performance  or  enforcement  of,  or  otherwise  with  respect  to,  this  Promissory  Note,  whether  or  not  such  Taxes  or Other  Taxes  were  correctly  or  legally  asserted.   This  indemnification  shall  be  made  within  30 days  from  the  date  the  Lender  makes written demand therefor.                (d)       Within  30  days  after  the  date  of  any  payment  of  Taxes  or  Other  Taxes by the Borrower, the Borrower shall furnish the Lender, pursuant to the indemnity set forth  in clause (c) above, the original or a certified copy of a receipt evidencing payment thereof or  other evidence of payment thereof reasonably acceptable to Lender.                (e)       The Borrower and the Lender will use reasonable good faith efforts  to eliminate or reduce any Taxes or Other Taxes to which a payment hereunder may be subject  and will provide any certificates or other evidence of an exemption from or reduced rate of Taxes  or Other Taxes in this regard.                (f)       Without  prejudice  to  the  survival  of  any  other  agreement  of  the  Borrower,  the  Lender  hereunder,  the  agreements  and  obligations of  the  Borrower  contained  in  this Section 10 shall survive the payment in full of all other obligations of the Borrower under this  Promissory Note.                (g)       If the Lender determines in its sole discretion exercised reasonably  that  it  has  received  or  has  been  granted  a  credit  against,  or  remission  for,  or  a  refund  or  a  repayment of any Taxes (i) as a result of the Borrower’s deduction or withholding and payment to  a  taxing  authority  of  an  amount  pursuant  to  clause  (a)  above  or  (ii)  with  respect  to  which  the  Borrower has paid an amount to the Lender or any of its transferees or assignees, as the case may  be, pursuant to clause (c) above, then the Lender, as the case may be, shall, within 30 days, pay  the  Borrower  the  lesser  of  (y)  the  credit,  remission,  refund  or  repayment  of  Taxes  received  or  granted and (z) the amount paid by the Borrower pursuant to this Section 10.                11. Judgment Currency.  (a)  This is an international loan transaction in which  the specification of [Currency] is of the essence, and [Currency] shall in each instance be the  currency of account and payment in all instances.                 (b)       Borrower’s obligations hereunder to make payments in [Currency]  shall not be discharged or satisfied by any tender or recovery pursuant to any judgment expressed  in or converted into any currency other than [Currency] or in another place, except to the extent  that such tender or recovery results in the effective receipt by the Lender of the full amount of  [Currency] expressed to be payable to the Lender under this Promissory Note.                (c)       If, for the purpose of obtaining or enforcing judgment against Lender  in  any  court  or  in  any  jurisdiction,  it  becomes  necessary  to  convert  into  or  from  any  currency  other  than  [Currency]  (such  other  currency  being  hereinafter  referred  to  as  the  “Other    9  1124359.01B-CHISR02A - MSW  

 

    Currency”) an amount due in [Currency], the conversion shall be made at the spot selling rate at  which  the  Authorized  Pari  Passu  Collateral  Agent  (or  following the  Discharge  of  Pari  Passu  Secured Obligations, the Revolving Credit Administrative Agent) (or if the Authorized Pari Passu  Collateral Agent (or, following the Discharge of Pari Passu Secured Obligations, the Revolving  Credit Administrative Agent) does not quote a rate of exchange on such currency, by a known  dealer in such currency designated by the Authorized Pari Passu Collateral Agent (or, following  the  Discharge  of  Pari  Passu  Secured  Obligations,  the  Revolving Credit  Administrative  Agent)  offers  to  sell  such  Other  Currency  for  [Currency]  in  the  London  foreign  exchange  market  at  approximately  11:00  a.m.  London  time  on  such  date  for  delivery two  (2)  Business  Days  later  (such date of determination of such spot selling rate, being hereinafter referred to as the “Other  Currency Conversion Date”).                (d)       If there is a change in the rate of exchange prevailing between the  Other Currency Conversion Date and the date of actual payment of the amount due, the Borrower  covenants and agrees to pay, or cause to be paid, as a separate obligation and notwithstanding any  such judgment or judicial award, such additional amounts, if any (but in any event not a lesser  amount)  as  may  be  necessary  to  ensure  that  the  amount  paid  in  the  Other  Currency,  when  converted at the rate of exchange prevailing on the date of payment, will produce the amount of  [Currency] which could have been purchased with the amount of Other Currency stipulated in  the  judgment  or  judicial  award  at  the  rate  of  exchange  prevailing  on  the  Other  Currency  Conversion Date.                 12. Submission to Jurisdiction; Service of Process.  (a) Any  legal  action  or  proceeding  with  respect  to  this  Promissory  Note,  and  any  other Short  Term  Loan  Document,  Revolving Credit Loan Document or Pari Passu Loan Document to which the Borrower is a party,  may be brought in the courts of the State of New York or of the United States of America for the  Southern  District  of  New  York,  and,  by  execution  and  delivery  of  this  Promissory  Note,  the  Borrower (in consideration of similar submissions made by the Lender in the Short Term Loan  Documents,  Revolving  Credit  Loan  Documents  and  the  Pari  Passu  Loan  Documents)  hereby  accepts for itself and in respect of its property, generally and unconditionally, the jurisdiction of  the aforesaid courts.  The parties hereto hereby irrevocably waive any objection, including any  objection to the laying of venue or based on the grounds of forum non conveniens, that any of  them  may  now  or  hereafter  have  to  the  bringing  of  any  such  action  or  proceeding  in  such  respective jurisdictions.                  (b)      The Borrower hereby irrevocably designates, appoints and empowers  Corporation  Service  Company,  1180  Ave  of  the  Americas,  Suite  210,  New  York,  New  York,  10036  (telephone  no:  800-927-9801,  X52067)  (telecopy  no:  212-299-5656)  (electronic  mail  address:  mwiener@cscinfo.com)  (the  “Process Agent”),  in  the  case  of  any  suit,  action  or  proceeding  brought  in  the  United  States  of  America  as  its  designee,  appointee  and  agent  to  receive, accept and acknowledge for and on its behalf, and in respect of its property, service of  any and all legal process, summons, notices and documents that may be served in any action or  proceeding arising out of or in connection with, this Promissory Note.  Such service may be made  by mailing (by registered or certified mail, postage prepaid) or delivering a copy of such process  to  the  Borrower  in  care  of  the  Process  Agent  at  the  Process  Agent’s  above  address,  and  the  Borrower hereby irrevocably authorizes and directs the Process Agent to accept such service on  its behalf.  As an alternative method of service, the Borrower irrevocably consents to the service  of any and all process in any such action or proceeding by the mailing (by registered or certified  mail, postage prepaid) of copies of such process to the Process Agent or the Borrower care of the    10  1124359.01B-CHISR02A - MSW  

 

    Designated  Company  at  the  Designated  Company’s  address  specified  in Section 11.01 of the  Term Loan Agreement or at such other address as the Designated Company may specify pursuant  to  such Section 11.01.   The  Borrower  agrees  that  a  final  judgment  in  any  such  action or  proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment  or in any other manner provided by law.                    (c)     Nothing  contained  in  this Section 12 shall  affect  the  right  of  the  Lender  thereof  to  serve  process  in  any  other  manner  permitted  by  law  or  commence  legal  proceedings or otherwise proceed against the Borrower in any other jurisdiction.                 13. Pledge of Note.  Pursuant to the Pari Passu Security Documents, the Lender  has pledged and granted a security interest in all of its rights and remedies under and in respect of  this Promissory Note in favor of the Pari Passu Collateral Agent (for the benefit of the Pari Passu  Secured  Parties)  and  pursuant  to  the  Revolving  Credit  Security Documents,  the  Lender  has  pledged and granted a security interest in all of its rights and remedies under and in respect of this  Promissory  Note  in  favor  of  the Revolving  Credit  Collateral  Agent  (for  the  benefit  of  the  Revolving Credit Claimholders) and pursuant to the Intercreditor Agreement the Authorized Pari  Passu  Collateral  Agent  has  agreed  to  act  as  sub-agent  and  as  bailee  for  the  Revolving  Credit  Agents  and  the  Subordinated  Lien  Secured  Parties,  and  the  Borrower  hereby  (i)  acknowledges  and consents to each such pledge and security interest, (ii) agrees that upon the occurrence and  during the continuance of any Pari Passu Default the Authorized Pari Passu Collateral Agent may  exercise any remedies provided for by the Pari Passu Security Documents in accordance with the  terms  thereof  or  any  other  remedies  provided  by  applicable  law,  and  upon  the  occurrence  and  during the continuance of any Revolving Credit Default the Revolving Credit Collateral Agent  may  exercise  any  remedies  provided  for  by  the  Revolving  Credit Security  Documents  in  accordance with the terms thereof or any other remedies provided by applicable law, in each case,  in accordance with the terms of the Intercreditor Agreement, (iii) agrees that this Promissory Note  may not be assigned by the Borrower without the prior written consent of the Authorized Pari  Passu  Collateral  Agent  and  the  Revolving  Credit  Collateral  Agent  (each  of  which  is  expressly  made a third party beneficiary hereof) and (iv) agrees and acknowledges that subject to the terms  of the Intercreditor Agreement, this Promissory Note may be assigned or otherwise transferred by  the  Authorized  Pari  Passu  Collateral  Agent  in  accordance  with  the  terms  of  the  Pari  Passu  Security Documents or by the Revolving Credit Collateral Agent in accordance with the terms of  the Revolving Credit Security Documents.                 14. WAIVER OF JURY TRIAL.  EACH OF THE BORROWER AND THE  LENDER  IRREVOCABLY  WAIVES  TRIAL  BY  JURY  IN  ANY  ACTION  OR  PROCEEDING  WITH  RESPECT  TO  THIS  PROMISSORY  NOTE  AND  ANY  OTHER  LOAN DOCUMENT.                 15. Notices.  Any  notice  or  other  communication  herein  required  or  permitted  shall be given to the Borrower or the Lender care of the Parent Borrower as set forth in Section  11.01 of the Revolving Credit Agreement, to each Pari Passu Representative as set forth on such  Pari  Passu  Representative's  signature  page  to  the  Intercreditor  Agreement,  and  to  the  Administrative Agent as set forth in Section 11.01 of the Short Term Credit Agreement.                16. Severability.  Wherever  possible,  each  provision  of  this  Promissory  Note  shall be interpreted in such manner as to be effective and valid under applicable law, but if any  provision  of  this  Promissory  Note  shall  be  prohibited  by  or  invalid  by  any  applicable  legally  binding requirements of any governmental authority (including, without limitation, any applicable    11  1124359.01B-CHISR02A - MSW  

 

    laws,  judgments,  orders,  decrees,  ordinances,  rules,  regulations,  statutes  or  case  law),  such  provision shall be ineffective to the extent of such prohibition or invalidity without invalidating  (a) the remainder of such provision or (b) the remaining provisions of this Promissory Note.                Conflicts.  In  the  event  of  a  direct  conflict  between  the  terms  and  provisions  contained in this Promissory Note and the terms and provisions contained in the Subordination  Agreements,  it  is  the  intention  of  the  parties  hereto  that  such  terms  and  provisions  in  such  documents shall be read together and construed, to the fullest extent possible, to be in concert  with  each  other.   In  the  event  of  any  actual,  irreconcilable  conflict  that  cannot  be  resolved  as  aforesaid, the terms and provisions of the Subordination Agreements shall control and govern.                               [SIGNATURE PAGE FOLLOWS]     12  1124359.01B-CHISR02A - MSW  

 

                                          Borrower:                                                                                    [Intercompany Borrower]                                                                                                                              By:                                              Name:                                             Title:    ACKNOWLEDGED AND AGREED TO  AS OF THIS        DAY OF                 , 20    :    [Intercompany Lender]      By:______________________________     Name:     Title:                                                                                                                                   EXHIBIT K-1  1124359.01B-CHISR02A - MSWExhibit

Exhibit 10.2
EXECUTION VERSION

INCREASE JOINDER AMENDMENT TO CREDIT AGREEMENT
dated as of December 18, 2018,
between
NOVELIS ACQUISITIONS LLC, 
as Novelis Acquisitions,
AV METALS INC., 
as Holdings,
THE OTHER LOAN PARTIES PARTY HERETO,
THE THIRD PARTY SECURITY PROVIDER,
and
STANDARD CHARTERED BANK,  
as Administrative Agent and as Collateral Agent
ABN AMRO Capital USA LLC 
Australia and New Zealand Banking Group Limited 
Axis Bank Limited 
Bank of America, N.A. 
Barclays Bank PLC 
Citigroup Global Markets Asia Limited 
Crédit Agricole Corporate and Investment Bank 
DBS Bank Ltd. 
Deutsche Bank Securities Inc. 
First Abu Dhabi Bank USA N.V. 
HSBC Securities (USA) Inc. 
ICICI Bank Limited, New York Branch 
ING Bank N.V., Singapore Branch 
JPMorgan Chase Bank, N.A. 
Mizuho Bank, Ltd. 
MUFG Bank, Ltd., London Branch 
Societe Generale, Hong Kong Branch 
Standard Chartered Bank 
State Bank of India, and 
Sumitomo Mitsui Banking Corporation Singapore Branch, 
as Mandated Lead Arrangers and Bookrunners,
and
the Lenders signatory hereto.

1030947.12E-CHISR01A - MSW

This INCREASE JOINDER AMENDMENT TO CREDIT AGREEMENT (this “Amendment”), dated as of December 18, 2018, is entered into among NOVELIS ACQUISITIONS LLC, a Delaware corporation (the “Novelis Acquisitions”), NOVELIS INC., a corporation amalgamated under the Canada Business Corporations Act and having its corporate office at Two Alliance Center, 3560 Lenox Road, Suite 2000, Atlanta, GA 30326, USA (“Novelis Inc.”), AV METALS INC., a corporation formed under the Canada Business Corporations Act (“Holdings”), the other LOAN PARTIES (as defined in the Credit Agreement referred to below), NOVELIS ITALIA S.P.A. (the “Third Party Security Provider”), and STANDARD CHARTERED BANK, being a company incorporated in England by Royal Charter, with reference number ZC18 and whose registered office is 1 Basinghall Avenue, London EC2V 5DD, as administrative agent (in such capacity, and together with its successors in such capacity, “Administrative Agent”) and as collateral agent (in such capacity, and together with its successors in such capacity, “Collateral Agent”) under the Credit Agreement referred to below, and the lenders signatory hereto (the “Aleris Incremental Term Lenders”).
RECITALS
WHEREAS, Novelis Inc., AV Metals Inc., the Subsidiary Guarantors, the Administrative Agent, the Collateral Agent and the Lenders from time to time party thereto entered into that certain Credit Agreement, dated as of January 10, 2017 (as amended by Amendment No. 1 to Credit Agreement, dated as of September 14, 2017, as further amended by Amendment No. 2 to Credit Agreement and Amendment to U.S. Security Agreement, dated as of November 20, 2018, and as further as amended, supplemented, restated or otherwise modified prior to the date hereof, the “Credit Agreement”; the Credit Agreement, as amended by this Amendment, the “Amended Credit Agreement”);
WHEREAS, the Third Party Security Provider has pledged certain assets to secure the Secured Obligations of the Loan Parties; 
WHEREAS, in order to fund a portion of the Aleris Acquisition and pay certain fees, costs and expenses incurred in connection therewith, including the execution of this amendment and the entry into an unsecured short term loan facility, Novelis Inc. has requested that the Aleris Incremental Term Lenders extend credit in the form of Incremental Term Loans on the Aleris Acquisition Closing Date (as defined in the Amended Credit Agreement) in an aggregate principal amount not in excess of $775,000,000; and
WHEREAS, pursuant to Sections 2.23 and 11.02 of the Credit Agreement, a joinder agreement effecting the Incremental Term Loan Commitments may, without the consent of any Lenders other than the Lenders party hereto, effect such amendments to the Credit Agreement and the other Loan Documents as may be necessary or appropriate, in the opinion of the Administrative Agent, to effect the provisions of Section 2.23 of the Credit Agreement, and the parties hereto acknowledge that the amendments set forth herein are made pursuant to such Section.
NOW, THEREFORE, in consideration of the foregoing, the mutual covenants and obligations herein set forth and other good and valuable consideration, the adequacy and receipt of which is hereby acknowledged, and in reliance upon the representations, warranties and covenants

[SIGNATURE PAGE TO AMENDMENT NO. 1 TO CREDIT AGREEMENT] 
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-2-

 contained herein and in the Amended Credit Agreement, the parties hereto, intending to be legally bound, hereby agree as follows:
Section 1.Definitions. Capitalized terms used herein and not otherwise defined herein shall have the meanings ascribed to such terms in the Amended Credit Agreement.
Section 2.    Terms of the Aleris Incremental Loans and the Aleris Incremental Term Loan Commitments. Subject to the terms and conditions set forth herein, effective as of the Amendment Effective Date (as defined below), the Credit Agreement is hereby amended to delete the stricken text (indicated textually in the same manner as the following example: stricken text) and to add the double-underlined text (indicated textually in the same manner as the following example: double-underlined) as set forth in the pages of the Amended Credit Agreement attached as Annex I hereto.
Section 3.    Exhibits. Subject to the terms and conditions set forth herein, effective as of the Amendment Effective Date (as defined below), Exhibit B to the Credit Agreement is hereby amended to delete the stricken text (indicated textually in the same manner as the following example: stricken text) and to add the double-underlined text (indicated textually in the same manner as the following example: double-underlined) as set forth in the pages of Exhibit B to the Credit Agreement attached as Annex II hereto.
Section 4.    Conditions Precedent to Effectiveness of this Amendment. This Amendment shall become effective as of the first date (the “Amendment Effective Date”) on which each of the following conditions precedent shall have been satisfied, or duly waived by the Lenders party hereto:
(a)    Certain Documents. The Administrative Agent shall have received each of the following, each in form and substance reasonably satisfactory to the Administrative Agent:
(i)    on or prior to February 28, 2019, this Amendment, in a form reasonably satisfactory to the Incremental Mandated Lead Arrangers, duly executed by each of the Loan Parties, the Third Party Security Provider, the Administrative Agent and the Collateral Agent; and
(ii)    an Additional Secured Debt (as defined in the Intercreditor Agreement) designation certificate (which shall also be delivered to the other parties to the Intercreditor Agreement).
(b)    Corporate Documents.
(i)    a certificate of the secretary, assistant secretary, managing director (where applicable) or other director (in the case of Holdings) of each Loan Party dated the Amendment Effective Date, certifying (1) that attached thereto is a true and complete copy of each Organizational Document (or its equivalent including the constitutional documents) of such Loan Party certified (to the extent customary in the applicable jurisdiction) as of a recent date by the Secretary of State (or equivalent Governmental Authority) of the jurisdiction of its organization, (2) that attached thereto is a true and complete copy of resolutions duly adopted by the Board of Directors (or equivalent governing body or Person) and/or shareholders, as applicable, of such Loan Party 

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authorizing the execution, delivery and performance of, inter alia, this Amendment, the Amended Credit Agreement and the other Loan Documents to which such Person is a party that are required to be executed in connection herewith, and that such resolutions, or any other document attached thereto, have not been modified, rescinded, amended or superseded and are in full force and effect, (3) as to the incumbency and specimen signature of each officer or authorized signatory executing this Amendment and any Loan Document or any other document delivered in connection herewith on behalf of such Loan Party (together with a certificate of another officer as to the incumbency and specimen signature of the secretary, assistant secretary or managing director executing the certificate in this clause (i), and other customary evidence of incumbency) and (4) that the borrowing or guarantee with respect to the Loans or any of the other Secured Obligations would not cause any borrowing, guarantee, or similar limit binding on any Loan Party to be exceeded, each in form and substance reasonably satisfactory to the Incremental Mandated Lead Arrangers;
(ii)    a certificate as to the good standing (where applicable, or such other customary functionally equivalent certificates or abstracts) of each Loan Party (in so-called “long-form” if available) as of a recent date prior to the Amendment Effective Date, from the Secretary of State in the state or jurisdiction of organization of such Loan Party (or other applicable Governmental Authority), each in form and substance reasonably satisfactory to the Incremental Mandated Lead Arrangers;
(iii)    if relevant, evidence that each Irish Guarantor has done all that is necessary to follow the procedures set out in section 82 of the Companies Act 2014 of Ireland in order to enable it to enter into this Amendment and the other Loan Documents to which such Person is a party that are required to be executed in connection herewith;
(iv)    evidence that each of the Loan Parties are members of the same group of companies consisting of a holding company and its subsidiaries for the purposes of Section 7 of the Companies Act 2014 of Ireland and Section 8 of the Companies Act 2014 of Ireland;
(v)    up-to date certified copy of the constitutional documents (e.g., for a German GmbH: Handelsregisterauszug, Gesellschaftsvertrag, Gesellschafterliste) for each German Loan Party; and
(vi)    such other documents as the Lenders or the Administrative Agent may reasonably request.
(c)    Officer’s Certificate.  The Administrative Agent shall have received a certificate, dated the Amendment Effective Date and signed by a Financial Officer of the Borrower, certifying (i) compliance with the conditions precedent set forth in this Section 4, (ii) that no Default has occurred and is continuing, (iii) that each of the representations and warranties made by any Loan Party set forth in Section 6 below or in any other Loan Document are true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) on and as of the Amendment Effective Date, except to the extent such representations and warranties expressly related to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse 

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Effect” or similar language, in all respects) as of such earlier date, and (iv) and certifying that each of the documents required to be delivered pursuant to clause (f) below have been delivered to the Administrative Agent on or prior to the Amendment Effective Date.
(d)    Opinions of Counsel.  The Administrative Agent shall have received, on behalf of itself, the other Agents, the Incremental Mandated Lead Arrangers, the Collateral Agent and the Lenders, (i) a favorable written opinion of local and foreign counsel of the Loan Parties in jurisdictions to be specified by the Administrative Agent (or, in the case of Loan Documents governed by the laws of, or Persons organized under the laws of, the United Arab Emirates or the Dubai International Financial Centre, foreign counsel of the Agents), in each case (A) dated the Amendment Effective Date, (B) addressed to the Agents and the Lenders and (C) covering such matters relating to the Amendment and the other Loan Documents delivered on the Amendment Effective Date as the Administrative Agent or the Lenders shall reasonably request, including, but not limited to, capacity of each Loan Party to execute, deliver and perform its obligations under this Amendment, the Amended Credit Agreement and each such Loan Document to which it is a party and enforceability of this Amendment, the Amended Credit Agreement and each such Loan Document, each in form and substance reasonably satisfactory to the Incremental Mandated Lead Arrangers.
(e)    Payment of Fees, Costs and Expenses. The Administrative Agent shall have received all fees required to be paid, and all expenses (including the reasonable fees and expenses of Skadden, Arps, Slate, Meagher & Flom LLP, special counsel to the Agents, and the reasonable fees and expenses of any local counsel, foreign counsel, appraisers, consultants and other advisors) for which invoices have been presented at least one Business Day prior to the Amendment Effective Date, on or before the Amendment Effective Date, in connection with the transactions contemplated by this Amendment.
(f)    Term Loan Amendment and Permitted Short Term Loan Documents. The Administrative Agent shall have received executed copies of (i) that certain Amendment No. 2 to Credit Agreement and Amendment to U.S. Security Agreement, dated as of November 20, 2018 (the “Aleris Term Loan Amendment”), among the Borrower, Holdings, the other Loan Parties party thereto, Novelis Italia S.P.A., the Administrative Agent and the Collateral Agent, which amends the Credit Agreement, and all documents and certificates executed and delivered in connection therewith, each of which shall be in full force and effect, and all conditions precedent to the effectiveness of the amendments set forth therein shall have been satisfied, and (ii) all Permitted Short Term Loan Documents (or any replacement financing therefor to the extent permitted under the Amended Credit Agreement) required to be delivered on the effective date of the credit agreement in respect thereof (or in respect of any replacement financing therefor to the extent permitted under the Amended Credit Agreement), which provides for a short term loan facility in an aggregate principal amount of $1,500,000,000 (or such other financing in such other amount as is permitted under the Amended Credit Agreement), each of which shall be in full force and effect, and all conditions precedent to the effective date set forth therein shall have been satisfied.
(g)    Solvency Certificate.  The Administrative Agent shall have received a solvency certificate in the form of Exhibit O to the Amended Credit Agreement (or in such other form as is 

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satisfactory to the Administrative Agent to reflect applicable legal requirements), dated the Amendment Effective Date and signed by a senior Financial Officer of each Loan Party or of the Designated Company.
(h)    Representations and Warranties. Each of the representations and warranties made by any Loan Party set forth in Section 6 hereof, in ARTICLE III of the Amended Credit Agreement, or in any other Loan Document are true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) on and as of the Amendment Effective Date, except to the extent such representations and warranties expressly related to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier date.
(i)    No Default or Event of Default. Before and after giving effect to this Amendment, no Default or Event of Default shall have occurred and be continuing.
(j)    Requirements of Law.  The Administrative Agent shall be satisfied that Holdings, the Borrower and Holdings’ Subsidiaries and the transactions contemplated by this Amendment that are consummated on the Amendment Effective Date shall be in full compliance with all material Requirements of Law, including Regulations T, U and X of the Board, and shall have received satisfactory evidence of such compliance reasonably requested by them.
(k)    Consents.  All approvals of Governmental Authorities and third parties necessary to execute and deliver this Agreement and the other Loan Documents entered into on the Amendment Effective Date, and to perform all obligations thereunder, in each case shall have been obtained and shall be in full force and effect. 
(l)    Litigation. There shall be no governmental or judicial action, actual or threatened, that has or would have, singly or in the aggregate, a reasonable likelihood of restraining, preventing or imposing burdensome conditions on the transactions contemplated by this Amendment.
(m)    USA Patriot Act; Beneficial Ownership Certification.  
		
	(i)
	The Administrative Agent and the Lenders shall have received, at least 5 Business Days prior to the Amendment Effective Date, and shall be satisfied with, all documentation and other information that may be required by the Administrative Agent and the Lenders in order to enable compliance with applicable “know your customer” and anti-money laundering rules and regulations, including the Patriot Act and the information described in Section 11.13 of the Amended Credit Agreement.

		
	(ii)
	At least five (5) Business Days prior to the Amendment Effective Date, the Borrower shall have delivered to the Administrative Agent and each Lender that so requests a Beneficial Ownership Certification.

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(n)    Process Agent. The Administrative Agent shall have received evidence of the acceptance by the Process Agent of its appointment as such by the Loan Parties.
(o)    No Material Adverse Effect. Since March 31, 2018 through the Amendment Effective Date, there has been no event, change, circumstance or occurrence that, individually or in the aggregate, has had or could reasonably be expected to result in a Material Adverse Effect on Holdings and its Subsidiaries.
(p)    Credit Agreement Amendments. Any amendments or modifications of the Credit Agreement on or after October 30, 2018 and prior to or on the Amendment Effective Date shall be satisfactory to the Incremental Mandated Lead Arrangers.
Section 5.    Conditions Precedent to Funding on the Aleris Acquisition Closing Date. The obligation of each Aleris Incremental Term Lender to fund the Aleris Incremental Term Loans on the Aleris Acquisition Closing Date (such date, the “Aleris Incremental Funding Date”) shall be subject to the prior or concurrent satisfaction of each of the conditions precedent set forth in this Section 5.
(a)    Amendment Effective Date. The Amendment Effective Date shall have occurred.
(b)    Aleris Incremental Commitment Termination Date. The Aleris Incremental Commitment Termination Date (as defined in the Amended Credit Agreement) shall not have occurred.
(c)    Loan Documents. The Administrative Agent shall have received executed counterparts of each of the following, properly executed by an authorized signatory of each applicable signing Loan Party, each in form and substance reasonably satisfactory to the Administrative Agent and each of the Incremental Mandated Lead Arrangers:
(i)    each Guarantee and Foreign Guarantee (other than the Guarantees and Foreign Guarantees, if any, delivered on the Effective Date);
(ii)    subject to Section 5.11 of the Amended Credit Agreement, each U.S. Security Agreement, each Canadian Security Agreement, each U.K. Security Agreement, each Swiss Security Agreement, each German Security Agreement, each Irish Security Agreement, each Brazilian Security Agreement, each Dubai Security Agreement, each French Security Agreement, and each other Security Document reasonably requested by the Administrative Agent prior to the Aleris Acquisition Closing Date; 
(iii)    the Perfection Certificates; and
(iv)    subject to Section 5.11 of the Amended Credit Agreement and the paragraphs following clause (aa) of this Section 5, such amendments to, amendments and restatements of, or confirmations or reaffirmations of, or supplements to, existing Security Documents or other 

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Loan Documents, and such additional Security Documents, Loan Documents or other filings or actions, in each case as the Administrative Agent or the Collateral Agent may require in connection with the Aleris Acquisition and the transactions contemplated hereby.
(d)    a Note in respect of the Aleris Incremental Term Loans executed by Novelis Acquisitions and Aleris in favor of each Aleris Incremental Term Lender that has requested a Note with respect to its Aleris Incremental Term Loans prior to the Aleris Acquisition Closing Date; provided that only a pdf copy of such note shall be required to be delivered to satisfy this clause (c) on the Aleris Acquisition Closing Date (with originals to be delivered to such Aleris Incremental Term Lender promptly following the Aleris Acquisition Closing Date).
(e)    Borrowing Request. The Administrative Agent shall have received a Borrowing Request in respect of the Aleris Incremental Term Loans as required by this Amendment and Section 2.03 of the Amended Credit Agreement.
(f)    Corporate Documents.  The Administrative Agent shall have received:
(i)    a certificate of the secretary, assistant secretary, managing director (where applicable) or other director (in the case of Holdings) of each Loan Party dated the Aleris Acquisition Closing Date, certifying (1) that attached thereto is a true and complete copy of each Organizational Document (or its equivalent including the constitutional documents) of such Loan Party certified (to the extent customary in the applicable jurisdiction) as of a recent date by the Secretary of State (or equivalent Governmental Authority) of the jurisdiction of its organization, (2) that attached thereto is a true and complete copy of resolutions duly adopted by the Board of Directors (or equivalent governing body or Person) and/or shareholders, as applicable, of such Loan Party authorizing the execution, delivery and performance of, inter alia, this Amendment, the Amended Credit Agreement and the other Loan Documents to which such Person is a party that are required to be executed in connection herewith, and that such resolutions, or any other document attached thereto, have not been modified, rescinded, amended or superseded and are in full force and effect, (3) as to the incumbency and specimen signature of each officer or authorized signatory executing this Amendment and any Loan Document or any other document delivered in connection herewith on behalf of such Loan Party (together with a certificate of another officer as to the incumbency and specimen signature of the secretary, assistant secretary or managing director executing the certificate in this clause (i), and other customary evidence of incumbency) and (4) that the borrowing or guarantee with respect to the Aleris Incremental Term Loans or any of the other Obligations in connection therewith would not cause any borrowing, guarantee, or similar limit binding on any Loan Party to be exceeded, each in form and substance reasonably satisfactory to the Incremental Mandated Lead Arrangers;

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(ii)    a certificate as to the good standing (where applicable, or such other customary functionally equivalent certificates or abstracts) of each Loan Party (in so-called “long-form” if available) as of a recent date prior to the Aleris Acquisition Closing Date, from the Secretary of State in the state or jurisdiction of organization of such Loan Party (or other applicable Governmental Authority), each in form and substance reasonably satisfactory to the Incremental Mandated Lead Arrangers;
(iii)    if relevant, evidence that each Irish Guarantor has done all that is necessary to follow the procedures set out in section 82 of the Companies Act 2014 of Ireland in order to enable it to enter into this Amendment and the other Loan Documents to which such Person is a party that are required to be executed in connection herewith;
(iv)    evidence that each of the Loan Parties are members of the same group of companies consisting of a holding company and its subsidiaries for the purposes of Section 7 of the Companies Act 2014 of Ireland and Section 8 of the Companies Act 2014 of Ireland;
(v)    up-to date certified copy of the constitutional documents (e.g., for a German GmbH: Handelsregisterauszug, Gesellschaftsvertrag, Gesellschafterliste) for each German Loan Party; and
(vi)    such other documents as the Lenders or the Administrative Agent may reasonably request.
(g)    Officers’ Certificate.  The Administrative Agent shall have received a certificate, dated the Aleris Acquisition Closing Date and signed by an authorized signatory of the Designated Company, certifying (i) compliance with the conditions precedent set forth in this Section 5 and, subject to the second to last sentence of this Section 5, the accuracy of the representations and warranties contained in Section 6, (ii) subject to the second to last sentence of this Section 5, that no Default has occurred and is continuing, (iii) subject to the second to last sentence of this Section 5, that each of the representations and warranties made by any Loan Party set forth in Section 6 hereof, ARTICLE III of the Amended Credit Agreement, or in any other Loan Document are true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) on and as of the Aleris Acquisition Closing Date, except to the extent such representations and warranties expressly related to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier date, and (iv) and certifying that each of the documents required to be delivered pursuant to clause (l) below have been delivered to the Administrative Agent on or prior to the Amendment Effective Date.
(h)    Financial Statements. the Administrative Agent shall have received the following financial statements and forecasts:

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(i)    the consolidated balance sheets and related statements of income, stockholders’ equity and cash flows of the Designated Company and its Restricted Subsidiaries (x) as of and for the three most recent fiscal years ended at least 90 days prior to the Aleris Acquisition Closing Date, audited by and accompanied by the unqualified opinion of PricewaterhouseCoopers, and (y) as of and for each fiscal quarter ended after the end of the most recently ended fiscal year for which financial statements have been provided pursuant to clause (x) above and at least 45 days prior to the Aleris Acquisition Closing Date (which requirement may be satisfied by providing links to such information on the website of the U.S. Securities and Exchange Commission, so long as such information complies with the requirements of this clause (i));
(ii)    the consolidated balance sheets and related statements of income, stockholders’ equity and cash flows of Aleris and its subsidiaries (x) as of and for the three most recent fiscal years ended at least 90 days prior to the Aleris Acquisition Closing Date, audited by and accompanied by the unqualified opinion of an independent certified public accounting firm of nationally recognized standing, and (y) as of and for each fiscal quarter ended after the end of the most recently ended fiscal year for which financial statements have been provided pursuant to clause (x) above and at least 45 days prior to the Aleris Acquisition Closing Date (which requirement may be satisfied by providing links to such information on the website of the U.S. Securities and Exchange Commission, so long as such information complies with the requirements of this clause (ii)); 
(iii)    the forecasts of financial performance of the Designated Company and its Restricted Subsidiaries and Aleris and its Subsidiaries covering the period commencing with the most recent fiscal quarter ended at least 45 days prior to the Aleris Acquisition Closing Date and ending on the date that is five years after such date, which forecasts shall have been prepared in good faith by the Designated Company and its Restricted Subsidiaries and based on assumptions believed by the Designated Company and its Restricted Subsidiaries to be reasonable, it being understood that any such forecasts may vary from actual results and such variations could be material; and
(iv)    pro forma financial statements of the Designated Company and its Subsidiaries after giving effect to the Aleris Acquisition as of and for the most recent fiscal year of the Designated Company ended at least 90 days prior to the Aleris Acquisition Closing Date, and as of and for each fiscal quarter of the Designated Company ended after the end of such fiscal year and at least 45 days prior to the Aleris Acquisition Closing Date;
(i)    Aleris Indebtedness. The Administrative Agent shall have received evidence reasonably satisfactory to it that all Indebtedness of Aleris and its Subsidiaries and other accrued and outstanding obligations in respect thereof (other than Indebtedness permitted under Section 6.01) has been repaid in full, all commitments thereunder have been terminated, and all security interests in connection therewith have been released, or, in the case of each of the foregoing, will be repaid in full, terminated and released, as applicable, substantially concurrently with the funding of the Aleris Incremental Term Loans on the Aleris Acquisition Closing Date after giving effect to the application of proceeds thereof.
(j)    Consummation of Aleris Acquisition. On the Aleris Acquisition Closing Date, the Aleris Acquisition shall be consummated substantially concurrently with the funding of the Aleris 

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Incremental Term Loans in all material respects in accordance with the terms described in the Aleris Merger Agreement as in effect on July 26, 2018, without giving effect to any amendments thereto or any consents or waivers that, in any such case, are materially adverse to the Aleris Incremental Term Lenders in their capacities as such, without the consent of the Incremental Mandated Lead Arrangers (it being understood that (i) any modification, amendment, consent or waiver to the definition of “Material Adverse Effect” in the Aleris Merger Agreement, or which has the effect of modifying, amending or waiving the representation or condition as to the absence of a Material Adverse Effect (as defined in the Aleris Merger Agreement) shall be deemed to be materially adverse to the Aleris Incremental Term Lenders, (ii) any decrease in the purchase price payable under the Aleris Merger Agreement shall not be deemed to be materially adverse to the Aleris Incremental Term Lenders, so long as such decrease does not exceed 10% of the consideration contemplated to be paid under the Aleris Merger Agreement as of July 26, 2018 and (iii) any increase in the purchase price contemplated to be paid under the Aleris Merger Agreement shall not be deemed to be materially adverse to the Aleris Incremental Term Lenders, so long as such increase is funded by additional common equity contributions to Holdings). For the avoidance of doubt, adjustments to working capital in accordance with the terms of the Aleris Merger Agreement shall not constitute an increase or decrease in purchase price for purposes of this clause (j).
(k)    Joinder of Aleris and its Subsidiaries to Loan Documents. Immediately after giving effect to the consummation of the Aleris Acquisition, Aleris and its Subsidiaries (including each such Person that becomes a borrower or guarantor under the Revolving Credit Loan Documents on the Closing Date, but excluding any other Subsidiaries that would not be required to become a guarantor on the Closing Date under Section 5.11 of the Amended Credit Agreement) shall have executed and delivered Joinder Agreements (and in the case of Aleris, as a Co-Borrower), and, except as permitted by Section 5.11, shall have executed and delivered (or caused to be executed and delivered), all other Loan Documents, certificates, opinions and other closing deliverables consistent with the Loan Documents, certificates, opinions and other closing deliverables delivered by the Loan Parties (other than the Aleris and its Subsidiaries) on the Closing Date, the Aleris Acquisition Closing Date and the Amendment Effective Date, each in form and substance reasonably satisfactory to the Incremental Mandated Lead Arrangers.
(l)    Permitted Short Term Loan Documents; Revolving Credit Loan Documents. The Administrative Agent shall have received executed copies of:
(i)    If the Permitted Short Term Indebtedness (or any replacement financing therefor to the extent permitted under the Amended Credit Agreement) is funded on the Aleris Acquisition Closing Date, all Permitted Short Term Loan Documents, certificates and other documents and agreements required to be delivered on the Aleris Acquisition Closing Date pursuant to the terms of the credit agreement in respect thereof (or in respect of any replacement financing therefor to the extent permitted under the Amended Credit Agreement), each of which shall be in full force and effect, and all conditions precedent to the funding of the Permitted Short Term Indebtedness shall have been satisfied (or will be satisfied concurrently with the funding of the Aleris Incremental Term Loans); and

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(vii)    an amendment to, or amendment and restatement of, the Revolving Credit Agreement (together with all certificates and other documents and agreements required to be delivered on the Aleris Acquisition Closing Date pursuant to the terms thereof), the terms of which shall, among other things, permit the Aleris Acquisition, the Permitted Short Term Loan Documents, the terms of this Amendment, the Permitted Reorganization, the Permitted Reorganization Actions, and the Permitted Aleris Foreign Subsidiary Transfer (to the extent that such agreement has not been refinanced or otherwise replaced or repaid in full prior to such time), and such agreement as so amended or amended and restated, and the Aleris Term Loan Amendment, shall each be in full force and effect and all conditions precedent to the effectiveness of the amendments set forth in each of the foregoing shall have been satisfied; provided that, to the extent that the Revolving Credit Agreement has been refinanced or otherwise replaced to the extent not prohibited by the Loan Documents, such refinanced or replaced Revolving Credit Agreement (together with all certificates and other documents and agreements required to be delivered on the Aleris Acquisition Closing Date pursuant to the terms thereof) shall be delivered to the Administrative Agent and shall be in full force and effect, and all conditions precedent to the effectiveness of the terms thereof shall have been satisfied, and such documents shall, among other things, permit the Aleris Acquisition, the Permitted Short Term Loan Documents, the terms of this Amendment, the Permitted Reorganization, the Permitted Reorganization Actions, and the Permitted Aleris Foreign Subsidiary Transfer.
(m)    Indebtedness and Minority Interests.  After giving effect to the Aleris Acquisition and the other transactions contemplated hereby, no Company shall have outstanding any Indebtedness or preferred stock other than Indebtedness permitted under Section 6.01.
(n)    Opinions of Counsel.  The Administrative Agent shall have received, on behalf of itself, the Mandated Lead Arrangers, the Collateral Agent and the Lenders, (i) a favorable written opinion of Torys LLP, special counsel for the Loan Parties, (ii) a favorable written opinion of each local and foreign counsel of the Loan Parties in jurisdictions to be specified by the Administrative Agent (or, in the case of Loan Documents governed by the laws of, or Persons organized under the laws of, the United Arab Emirates or the Dubai International Financial Centre, foreign counsel of the Agents), in each case (A) dated the Aleris Acquisition Closing Date, (B) addressed to the Administrative Agent, the Collateral Agent and the Lenders and (C) covering such matters relating to the Loan Documents and the transactions contemplated hereby as the Administrative Agent shall reasonably request, including, but not limited to, capacity of each Loan Party to execute, deliver and perform its obligations under each Loan Document to which it is a party and enforceability of each Loan Document, and (iii) to the extent that a Lender is not authorized to rely on one or more opinions delivered to the Agents and the Lenders in connection with the Credit Agreement prior to the Amendment Effective Date, each such Lender shall have received a reliance letter from counsel in each applicable jurisdiction, which letter shall authorize such Lender to rely on each such opinion, in the case of clauses (i), (ii) and (iii), each in form and substance reasonably satisfactory to the Incremental Mandated Lead Arrangers.

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(o)    Solvency Certificate.  The Administrative Agent shall have received a solvency certificate in the form of Exhibit O to the Amended Credit Agreement (or in such other form as is satisfactory to the Administrative Agent to reflect applicable legal requirements), dated the Aleris Acquisition Closing Date and signed by a senior Financial Officer of each Loan Party or of the Designated Company.
(p)    Representations and Warranties. Subject to the second to last sentence of this Section 5, each of the representations and warranties made by any Loan Party set forth in Section 6 hereof, in ARTICLE III of the Amended Credit Agreement or in any other Loan Document are true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) on and as of the Closing Date, except to the extent such representations and warranties expressly related to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier date.
(q)    No Default or Event of Default. Subject to the second to last sentence of this Section 5, before and after giving effect to the funding of the Aleris Incremental Term Loans on the Aleris Acquisition Closing Date, no Default or Event of Default shall have occurred and be continuing.
(r)    Requirements of Law.  The Administrative Agent shall be satisfied that Holdings, the Co-Borrowers and Holdings’ Subsidiaries and the Aleris Acquisition and other transactions contemplated hereby that are consummated on the Aleris Acquisition Closing Date shall be in full compliance with all material Requirements of Law, including Regulations T, U and X of the Board, and shall have received satisfactory evidence of such compliance reasonably requested by them.
(s)    Consents.  All approvals of Governmental Authorities and third parties necessary to execute and deliver the Loan Documents entered into on the Aleris Acquisition Closing Date, and to perform all obligations under the Loan Documents and to consummate the Aleris Acquisition and the transactions contemplated hereby shall have been obtained and shall be in full force and effect. 
(t)    Litigation. There shall be no governmental or judicial action, actual or threatened, that has or would have, singly or in the aggregate, a reasonable likelihood of restraining, preventing or imposing burdensome conditions on the Aleris Acquisition or the other transactions contemplated hereby.
(u)    Payment of Fees, Costs and Expenses. The Administrative Agent shall have received all fees required to be paid, and all expenses (including the reasonable fees and expenses of Skadden, Arps, Slate, Meagher & Flom LLP, special counsel to the Administrative Agent and Collateral Agent, and the reasonable fees and expenses of any local counsel, foreign counsel, appraisers, consultants and other advisors) for which invoices have been presented at least one Business Day prior to the Aleris Acquisition Closing Date, on or before the Aleris Acquisition Closing Date, in connection with the Aleris Acquisition and the transactions contemplated hereby.
(v)    USA Patriot Act; Beneficial Ownership Certification.  

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(i)    The Administrative Agent and the Lenders shall have received, at least 5 Business Days prior to the Aleris Acquisition Closing Date, and shall be satisfied with, all documentation and other information that may be required by the Administrative Agent and the Lenders in order to enable compliance with applicable “know your customer” and anti-money laundering rules and regulations, including the Patriot Act and the information described in Section 11.13 of the Amended Credit Agreement.
(ii)    At least five (5) Business Days prior to the Aleris Acquisition Closing Date, the Co-Borrower shall have delivered to the Administrative Agent and each Lender that so requests a Beneficial Ownership Certification.
(w)    Lender FATCA Compliance Certifications.  The Administrative Agent shall have received a U.S. tax withholding certificate (or, alternatively, other evidence satisfactory to the Administrative Agent) confirming FATCA compliance from each Lender pursuant to paragraph (v) of Section 2.15(f) (FATCA Information). For the avoidance of doubt, and pursuant to paragraph (viii) of Section 2.15(f) (FATCA Information), the Administrative Agent may rely on such U.S. tax withholding certificate or other evidence from each Lender without further verification, and the Administrative Agent shall not be liable for any action taken by it in respect of such U.S. tax withholding certificate or other evidence under or in connection with paragraph (v), (vi) or (vii) of Section 2.15(f) (FATCA Information).
(x)    No Legal Bar.  With respect to each Lender, no order, judgment or decree of any Governmental Authority shall purport to restrain such Lender from making any Loans to be made by it.  No injunction or other restraining order shall have been issued, shall be pending or noticed with respect to any action, suit or proceeding seeking to enjoin or otherwise prevent the consummation of, or to recover any damages or obtain relief as a result of, the transactions contemplated by this Agreement or the making of Loans hereunder.
(y)    Process Agent. The Administrative Agent shall have received evidence of the acceptance by the Process Agent of its appointment as such by each Person acquired by a Loan Party in connection with the Aleris Acquisition and the transactions contemplated hereby, to the extent such Person becomes a Loan Party on the Aleris Acquisition Closing Date.
(z)    No Material Adverse Effect. since March 31, 2018 through the Aleris Acquisition Closing Date, there has been no event, change, circumstance or occurrence that, individually or in the aggregate, has had or could reasonably be expected to result in a Material Adverse Effect on Holdings and its Subsidiaries, after giving effect to the Aleris Acquisition.
(aa)    Credit Agreement Amendments. Any amendments or modifications of the Credit Agreement on or after October 30, 2018 and prior to or on the Aleris Acquisition Closing Date shall be satisfactory to the Incremental Mandated Lead Arrangers.
Notwithstanding anything to the contrary herein, in the Amended Credit Agreement or in any other Loan Document:

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(i)    to the extent that the execution and delivery of any document or the completion of any task or action is listed on Schedule 2, such item shall not be a condition precedent and shall instead be subject to Section 9 below; and 
(ii)    if, after the Loan Parties’ use of commercially reasonable efforts to delivered the items required pursuant to Section 5(c)(ii), (iii) and (iv), and Section 5(n) (to the extent such opinions solely relate to the documents required to be delivered by Section 5(c)(ii), (iii) and (iv)), one or more Loan Parties is unable to deliver any such items (such items, the “Specified Conditions Precedent”) required thereby on or prior to the Aleris Acquisition Closing Date, then:
(A)    the Borrower shall deliver to the Administrative Agent a certificate signed by an authorized officer of the Borrower certifying that it has used commercially reasonable efforts to satisfy the Specified Conditions Precedent, and that it was unable to do so on or prior to the Aleris Acquisition Closing Date, which certificate shall include a detailed list of all Specified Conditions Precedent that the Loan Parties were unable to satisfy, and shall certify that the Loan Parties shall satisfy such items no later than the date that is 60 days after the Aleris Acquisition Closing Date (or such later date agreed by the Administrative Agent); and 
(B)    upon the Administrative Agent’s receipt of the certificate described in clause (A) above, the items described in such certificate shall not constitute a condition precedent to the Aleris Acquisition Closing Date, but shall instead constitute post-closing obligations to be completed within the time period set forth in such certificate; 
provided that (1) the perfection of a security interest in Collateral with respect to which a Lien may be perfected by the filing of financing statements under the UCC or equivalent filing system in a non-U.S. jurisdiction, shall be required to occur no later than 2 Business Days after the Aleris Acquisition Closing Date, (2) the perfection of a security interest in Collateral with respect to which a Lien may be perfected by filing short form security agreements or other filings with the applicable Intellectual Property filing office in the applicable jurisdiction, shall be required to occur no later than 5 Business Days after the Aleris Acquisition Closing Date, and (3) to the extent that new security documents are not entered into to replace existing security documents in connection with the Aleris Acquisition, on the Aleris Acquisition Closing Date, each Loan Party shall execute and deliver to the Administrative Agent a confirmation or reaffirmation of the Guarantees, Foreign Guarantees and Security Documents to which such Loan Party is a party immediately prior to giving effect to the Aleris Acquisition Closing Date.
Each Lender, by becoming a party to the Amended Credit Agreement on the Amendment Effective Date, or thereafter by executing an Assignment and Assumption, expressly consents to the terms of the immediately preceding sentence and directs the Administrative Agent to accept the certificate described in the immediately preceding sentence on or prior to the Aleris Acquisition Closing Date in lieu of satisfying the Specified Conditions Precedent in order to fund the Aleris Incremental Term Loans.

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Notwithstanding anything to the contrary herein, in the Amended Credit Agreement or in any other Loan Document, solely with respect to Aleris and its Subsidiaries, the only representations the accuracy of which shall be a condition precedent to the funding of Aleris Incremental Term Loans on the Aleris Acquisition Closing Date shall be (i) such of the representations made by Aleris and its Subsidiaries in the Aleris Merger Agreement as are material to the interests of the Incremental Mandated Lead Arrangers and the Aleris Incremental Term Lenders, but only to the extent that the Borrower or its Affiliates have the right (taking into account any applicable cure periods) to terminate its or its Affiliates’ obligations (or refuse to consummate the Aleris Acquisition) under the Aleris Merger Agreement as a result of the failure of such representations to be true and correct or to otherwise satisfy the standard set forth in the Aleris Merger Agreement, and (ii) the representations and warranties contained in Sections 3.01, 3.02, 3.03(a), 3.03(b) or 3.03(c) (with the reference to Transactions in Sections 3.03(a), 3.03(b) or 3.03(c) deemed to refer to the Aleris Acquisition, the incurrence of the Aleris Incremental Term Loans, the provision of any Guarantees or Foreign Guarantees by the Guarantors, and the granting of the security interests in the Collateral), 3.10, 3.11, 3.12, 3.16, 3.20, 3.22, 3.24 and 3.28 of the Amended Credit Agreement.
The delivery of a Borrowing Request and the acceptance by the Novelis Acquisitions (and, immediately after giving effect to the merger of Novelis Acquisitions with and into Aleris in connection with the Aleris Acquisition, Aleris) of the proceeds of the Aleris Incremental Term Loans shall constitute a representation and warranty by such Person and each other Loan Party that on the Aleris Acquisition Closing Date (both immediately before and after giving effect to the extension of the Aleris Incremental Term Loans and the application of the proceeds thereof) the conditions contained in this Section 5 have been satisfied (which representation and warranty shall be deemed limited to the knowledge of the Loan Parties in the case of the first sentence of clause (x) above.
Section 6.    Representations and Warranties. Each Loan Party and the Third Party Security Provider represents and warrants 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 are true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) on and as of the date hereof as though made on and as of such date, except to the extent that any such representation or warranty expressly relates to an earlier date, in which case such representations and warranties are true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier date.
(b)    The execution and delivery by the Designated Company, each other Loan Party and the Third Party Security Provider of this Amendment, and the performance of this Amendment , the Credit Agreement as amended hereby, and the Security Agreement as amended hereby, by the Designated Company, each other Loan Party and the Third Party Security Provider, in each case have been duly authorized by all requisite organizational action on its part and will not violate any of its Organizational Documents.
(c)    This Amendment has been duly executed and delivered by the Designated Company, each other Loan Party and the Third Party Security Provider, and each of this Amendment, the 

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Credit Agreement as amended hereby, and the Security Agreement as amended hereby, constitutes the Designated Company’s, such Loan Party’s or such Third Party Security Provider’s, as applicable, and to the extent that such Person is a party to such document, legal, valid and binding obligation, enforceable against it in accordance with their terms, except as the same may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the rights of creditors generally and by general principles of equity.
(d)    Before and after giving effect to this Amendment, no Default or Event of Default has occurred and is continuing as of the date hereof.
(e)    As of the Amendment Effective Date and the Aleris Incremental Closing Date, both immediately before and immediately after giving effect to the transactions contemplated hereby and that occur on such dates:
(i)    No Loan Party or  any of its Subsidiaries, or to the knowledge of the any Loan Party, any director, officer, agent, employee, or other person acting on behalf of any Loan Party, is in violation of any Requirement of Law relating to terrorism or money laundering, including Executive Order No. 13224 on Terrorist Financing, effective September 24, 2001 (the “Executive Order”), and the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, Public Law 107-56, Part II.1 of the Criminal Code, R.S.C. 1985, c. C-46, as amended, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, S.C. 2000, c.17, as amended, regulations promulgated pursuant to the Special Economic Measures Act, S.C. 1992 c. 17 and the United Nations Act, R.S.C. 1985 c. U-2, in each case, as amended (collectively, the “Anti-Terrorism Laws”).
(ii)    No Loan Party or any of its Subsidiaries, and to the knowledge of the Loan Parties, any director, officer, agent, employee, or other person acting on behalf of any Loan Party, and no broker or other agent of any Loan Party acting or benefiting in any capacity in connection with the Loans, is any of the following:
(A)    a person that is listed in the annex to, or is otherwise subject to the provisions of, the Executive Order;
(B)    a person owned or controlled by, or acting for or on behalf of, any person that is listed in the annex to, or is otherwise subject to the provisions of, the Executive Order;
(C)    a person with which any Lender is prohibited from dealing or otherwise engaging in any transaction by any Anti-Terrorism Law;
(D)    a person that commits, threatens or conspires to commit or supports “terrorism” as defined in the Executive Order; or
(E)    a person that is named as a “specially designated national and blocked person” on the most current list published by the U.S. Treasury Department Office of Foreign Assets Control (“OFAC”) at its official website 

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or any replacement website or other replacement official publication of such list.
(iii)    No Loan Party and, to the knowledge of the Loan Parties, no broker or other agent of any Loan Party acting in any capacity in connection with the Loans (w) conducts any business or engages in making or receiving any contribution of funds, goods or services to or for the benefit of any person described in clauses (i) through (v) above in a manner violative of the Executive Order, any applicable Sanctions or Anti-Terrorism Law, (x) deals in, or otherwise engages in any transaction relating to, any property or interests in property blocked pursuant to the Executive Order or Anti-Terrorism Laws, (y) engages in or conspires to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law or (z) is in violation of any applicable Anti-Terrorism Laws. 
(iv)    Neither the advance of the Term Loans nor the use of the proceeds of any thereof will violate the Trading With the Enemy Act (50 U.S.C. § 1 et seq., as amended, and any executive order or requirement of applicable law promulgated thereunder) (the “Trading With the Enemy Act”) or any of the foreign assets control regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter V, as amended) (the “Foreign Assets Control Regulations”) or any enabling legislation or executive order relating thereto (which for the avoidance of doubt shall include, but shall not be limited to (a) the Executive Order and (b) the Patriot Act) or any other applicable Sanctions. Furthermore, none of the Loan Parties or their Subsidiaries (including Unrestricted Subsidiaries) and, to the Loan Parties’ knowledge, their and their Subsidiaries’ respective directors, officers, employees, Affiliates or agents (in the case of agents, that will act in any capacity in connection with or benefit from this Agreement) (a) is or will become a “blocked person” as described in the Executive Order, the Trading With the Enemy Act or the Foreign Assets Control Regulations or (b) engages or will engage in any dealings or transactions, or be otherwise associated, with any such “blocked person” or with any Sanctioned Person, in each case, in any manner violative of any applicable Sanctions or Anti-Terrorism Law or (c) is a Sanctioned Person. Each Loan Party is in compliance, in all material respects, with the Patriot Act. Each Loan Party, its Subsidiaries and their respective officers and employees and to the knowledge of such Loan Party its directors and agents, are in compliance with Anti-Corruption Laws and applicable Sanctions in all material respects and are not knowingly engaged in any activity that would reasonably be expected to result in Holdings or any of its Subsidiaries being designated as a Sanctioned Person. No part of the proceeds of the Term Loans will be used by the Loan Parties, directly or indirectly, for any payments to any governmental official or employee, political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt Practices Act of 1977, as amended, or any law, rule or regulation of any jurisdiction applicable to Holdings or any of its Subsidiaries from time to time concerning or relating to bribery or corruption including the Corruption of Foreign Public Officials Act (Canada) (collectively, “Anti-Corruption Laws”). “Sanctioned Country” means, at any time, a country or territory which is itself, or whose government is, the subject or target of any Sanctions. “Sanctioned Person” means, at any time, (a) any Person listed in any Sanctions-related list of designated Persons maintained by OFAC, the U.S. Department of State or by the United Nations Security Council, the European Union, Her Majesty’s Treasury of the United Kingdom, any EU member state or the 

1030947.12E-CHISR01A - MSW

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Commonwealth of Australia, (b) any Person operating, organized or resident in a Sanctioned Country or (c) any Person owned or controlled by any such Person or Persons. “Sanctions” means economic or financial sanctions or trade embargoes imposed, administered or enforced from time to time by (a) the U.S. government, including those administered by OFAC or the U.S. Department of State, or (b) the United Nations Security Council, the European Union, Her Majesty’s Treasury of the United Kingdom, the Commonwealth of Australia or Singapore.
Section 7.    Continuing Effect; Liens and Guarantees; No Novation.
(a)     Each of the Loan Parties and the Third Party Security Provider hereby consents to this Amendment.  Each of the Loan Parties and the Third Party Security Provider hereby acknowledges and agrees that all of its Secured Obligations, including all Liens and (in the case of the Loan Parties) Guarantees granted to or provided for the benefit of the Secured Parties under the applicable Loan Documents, are ratified and reaffirmed and that such Liens and Guarantees shall continue in full force and effect on and after Amendment Effective Date to secure and support the Secured Obligations of the Designated Company and the Guarantors.  Each of the Loan Parties hereby further ratifies and reaffirms the validity, enforceability and binding nature of the Secured Obligations.
(b)    Holdings and each Subsidiary Guarantor hereby (i) acknowledges and agrees to the terms of this Amendment and (ii) confirms and agrees that, each of its Guarantee and any Foreign Guarantee is, and shall continue to be, in full force and effect, and shall apply to all Secured Obligations without defense, counterclaim or offset of any kind and each of its Guarantee and any such Foreign Guarantee is hereby ratified and confirmed in all respects.  The Designated Company hereby confirms its liability for the Secured Obligations, without defense, counterclaim or offset of any kind.
(c)    Holdings, the Designated Company, each other Loan Party and the Third Party Security Provider hereby ratifies and reaffirms the validity and enforceability (without defense, counterclaim or offset of any kind) of the Liens and security interests granted by it to the Collateral Agent for the benefit of the Secured Parties to secure any of the Secured Obligations by Holdings, the Designated Company, any other Loan Party and the Third Party Security Provider pursuant to the Loan Documents to which any of Holdings, the Designated Company, any other Loan Party or the Third Party Security Provider is a party and hereby confirms and agrees that notwithstanding the effectiveness of this Amendment, and except as expressly amended by this Amendment, each such Loan Document is, and shall continue to be, in full force and effect and each is hereby ratified and confirmed in all respects, except that, on and after the effectiveness of this Amendment, each reference in the Loan Documents to the “Credit Agreement”, “thereunder”, “thereof” (and each reference in the Credit Agreement to this “Agreement”, “hereunder” or “hereof”) or words of like import shall mean and be a reference to the Credit Agreement as amended by this Amendment.
(d)    This Amendment shall not extinguish the obligations for the payment of money outstanding under the Loan Documents or discharge or release the priority of any Loan Document or any other security therefor. Nothing contained herein or in Annexes I or II hereto shall be construed as a substitution or novation of the obligations outstanding under the Loan Documents or instruments securing the same, which shall remain in full force and effect. Nothing implied in this Amendment 

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or in any other document contemplated hereby shall be construed as a release or other discharge of any Loan Party from any of its obligations and liabilities under the Loan Documents.
Section 8.    Reference to and Effect on the Loan Documents.
(a)    Except as expressly set forth in this Amendment, all of the terms and provisions of the Credit Agreement and the other Loan Documents (including all exhibits and schedules to each of the Credit Agreement and the other Loan Documents) are and shall remain in full force and effect and are hereby ratified and confirmed. The amendments provided for herein and in Exhibit A hereto are limited to the specific provisions of the Credit Agreement specified herein and therein and shall not constitute an amendment of, or an indication of the Administrative Agent’s, the Collateral Agent’s or any Lender’s willingness to amend or waive, any other provisions of the Credit Agreement, any other provisions of the Credit Agreement as amended hereby, or the same sections or any provision of any other Loan Document on any other date or for any other purpose.
(b)    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, the Collateral Agent, or any Lender under the Credit Agreement or any Loan Document, or constitute a waiver or amendment of any other provision of the Credit Agreement or any Loan Document except as and to the extent expressly set forth herein.
(c)    The execution and delivery of this Amendment by any Loan Party or Third Party Security Provider shall not constitute a joinder by, or agreement to be bound by the terms of, any Loan Document to which such Loan Party or Third Party Security Provider is not a party.
(d)    This Amendment shall constitute a Loan Document.
Section 9.    Post-Closing Covenants. The applicable Loan Parties shall execute and deliver the documents and complete the tasks and take the other actions set forth on Schedule 2 to this Amendment, in each case within the time limits specified on such Schedule.
Section 10.    Further Assurances. The Designated Company, each other Loan Party and the Third Party Security Provider hereby agrees to execute any and all further documents, agreements and instruments and take all further actions that the Administrative Agent deems reasonably necessary or advisable in connection with this Amendment, including to continue and maintain the effectiveness of the Liens and guarantees provided for under the Loan Documents, with the priority contemplated under the Loan Documents. The Administrative Agent and the Collateral Agent are hereby authorized by the Lenders to enter into all such further documents, agreements and instruments, and to file all financing statements deemed by the Administrative Agent or the Collateral Agent to be reasonably necessary or advisable in connection with this Amendment.
Section 11.    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 copy or electronic image scan transmission (e.g., 

1030947.12E-CHISR01A - MSW

‐ 20 ‐

PDF via email) of an executed signature page hereof shall constitute receipt by the Administrative Agent of an executed counterpart of this Amendment.
Section 12.    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 conflicts of law principles that would require the application of the laws of another jurisdiction.
Section 13.    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 14.    WAIVER OF JURY TRIAL. EACH PARTY HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE REQUIREMENTS OF LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AMENDMENT, ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).
[SIGNATURE PAGES FOLLOW]

1030947.12E-CHISR01A - MSW

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

NOVELIS INC., as the Designated Company and a Co-Borrower
By:     ___/s/ Gregg Murphey______ 
Name: _____Gregg Murphey______ 
Title:   _____Authorized Signatory__
NOVELIS ACQUISITIONS LLC, as a  
Co-Borrower
By:     ___/s/ Gregg Murphey______ 
Name: _____Gregg Murphey______ 
Title:   _____Authorized Signatory__
AV METALS INC., as Holdings
By:     ___/s/ Gregg Murphey______ 
Name: _____Gregg Murphey______ 
Title:   _____Authorized Signatory__ 
NOVELIS CORPORATION, as a U.S. Guarantor
By:     ___/s/ Gregg Murphey______ 
Name: _____Gregg Murphey______ 
Title:   _____Authorized Signatory__ 
NOVELIS GLOBAL EMPLOYMENT ORGANIZATION, INC., as a U.S. Guarantor
By:     ____/s/ Gregg Murphey______ 
Name: ______Gregg Murphey______ 
Title:   ______Authorized Signatory__

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

NOVELIS SOUTH AMERICA HOLDINGS LLC, as a U.S. Guarantor
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Authorized Signatory___ 
NOVELIS HOLDINGS INC., as a U.S. Guarantor
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Authorized Signatory___

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

NOVELIS UK LTD, as a U.K. Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Attorney    
NOVELIS EUROPE HOLDINGS LIMITED,  
as a U.K. Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Attorney    
NOVELIS SERVICES LIMITED,  
as a U.K. Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Attorney    

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

NOVELIS AG, as a Swiss Guarantor
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Authorized Signatory___
NOVELIS SWITZERLAND SA,  
as a Swiss Guarantor
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Authorized Signatory___

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

4260848 CANADA INC., as a Canadian Guarantor
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Authorized Signatory___
4260856 CANADA INC., as a Canadian Guarantor
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Authorized Signatory___
8018227 CANADA INC., as a Canadian Guarantor
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Authorized Signatory___

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

SIGNED AND DELIVERED AS A DEED 
for and on behalf of NOVELIS ALUMINIUM HOLDING UNLIMITED COMPANY 
by its lawfully appointed attorney,  
as Irish Guarantor 
in the presence of:
By:     ___/s/ Gregg Murphey_______ 
Name: _____Gregg Murphey_______ 
Title:   _____Attorney_____________
witness:
By:        /s/ Shannon Curran     
Name:             Shannon Curran     
Title:             Sr. Legal Manager    

 
Address:     3560 Lenox Road, Suite 2000
Atlanta, GA 30326 USA 
 
 
 
Occupation: Paralegal

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

NOVELIS DEUTSCHLAND GMBH,  
as a German Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Person Authorized    
NOVELIS SHEET INGOT GMBH,  
as a German Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Person Authorized    

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

NOVELIS DO BRASIL LTDA.,  
as Brazilian Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Attorney-in-Fact    
witness:
By:        /s/ Michael Shelby     
Name:             Michael Shelby     
Title:             Sr. Project Manager    
witness:
By:        /s/ Shannon Curran     
Name:             Shannon Curran     
Title:             Sr. Legal Manager    

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

NOVELIS PAE S.A.S., as French Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Attorney-in-Fact    

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

NOVELIS MEA LTD, a Company Limited by Shares under the Companies Law of the Dubai International Financial Centre,  
as Dubai Guarantor
By:        /s/ Gregg Murphey     
Name:             Gregg Murphey     
Title:             Authorized Signatory    

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

	
	
	NOVELIS ITALIA S.P.A., as Third Party Security Provider

	By:         /s/ Gregg Murphey_____________ 
Name:__     Gregg Murphey_____________ 
Title:___     Attorney___________________   

	 

	 

[Signature Page to 2018 Increase Joinder Amendment]
1030947.12E-CHISR01A - MSW

	
					
	 
	 
	STANDARD CHARTERED BANK, as Administrative Agent and as Collateral Agent

	 
	 
	 
	By:
	/s/  Valdeep Singh

	 
	 
	 
	 
	Name:   Valdeep Singh
Title:   Legal Counsel, Transaction Management Group Standard Chartered Bank

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	ABN AMBRO CAPITAL USA LLC, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ John Sullivan

	 
	 
	 
	 
	Name:   John Sullivan
Title:   Managing Director

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	/s/ Floris Jongma

	 
	 
	 
	 
	Name:   Floris Jongma
Title:   Director

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Yogesh Venkatachalam

	 
	 
	 
	 
	Name:   Yogesh Venkatachalam
Title:   Executive Director

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	AXIS BANK LTD, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Niladhri Nandi

	 
	 
	 
	 
	Name:   Niladhri Nandi
Title:   Head – Credit

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	/s/ K.C. Harichandan

	 
	 
	 
	 
	Name:   K.C. Harichandan
Title:   Head – Operations

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	BANK OF AMERICA, N.A., as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Frances Fabello

	 
	 
	 
	 
	Name:   Frances Fabello
Title:   AVP

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	BARCLAYS BANK PLC, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Mark Pope

	 
	 
	 
	 
	Name:   Mark Pope
Title:   Assistant Vice President

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	CITIBANK, N.A., as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Siddarth Bansal

	 
	 
	 
	 
	Name:   Siddarth Bansal
Title:   Director

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	CRÉDIT AGRICOLE CORPORATE AND INVESTMENT BANK, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Jean-Yves Korenian

	 
	 
	 
	 
	Name:   Jean-Yves Korenian
Title:   Managing Director

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	/s/ Christophe Cretot

	 
	 
	 
	 
	Name:   Christophe Cretot
Title:   Managing Director

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	DBS BANK LTD., as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Jacqueline Tan

	 
	 
	 
	 
	Name:   Jacqueline Tan
Title:   Senior Vice President

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	DEUTSCHE BANK AG NEW YORK BRANCH, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Marguerite Sutton

	 
	 
	 
	 
	Name:   Marguerite Sutton
Title:   Vice President

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	      /s/   Alicia Schug                        __.

	 
	 
	 
	 
	Name:   Alicia Schug

	 
	 
	 
	 
	Title:   Vice President

	 
	 
	 
	 
	 

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	FIRST ABU DHABI BANK USA N.V., as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Husam Arabiat

	 
	 
	 
	 
	Name:   Husam Arabiat
Title:   CEO

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	/s/ Pamela Sigda

	 
	 
	 
	 
	Name:   Pamela Sigda
Title:   CFO

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	HSBC BANK USA, N.A., as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Frederic Fournier

	 
	 
	 
	 
	Name:   Frederic Fournier
Title:   Senior Vice President #20013

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	ICICI BANK LIMITED, NEW YORK BRANCH, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Akashdeep Sarpal

	 
	 
	 
	 
	Name:   Akashdeep Sarpal
Title:   Country Head – USA   ICICI Bank Limited

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	ING BANK N.V., SINGAPORE BRANCH, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Milly Tan

	 
	 
	 
	 
	Name:   Milly Tan
Title:   Director

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	/s/ Paul Verwijmeren

	 
	 
	 
	 
	Name:   Paul Verwijmeren
Title:   Director

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	JPMORGAN CHASE BANK, N.A. as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Tasvir Hasan

	 
	 
	 
	 
	Name:   Tasvir Hasan
Title:   Executive Director

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	MIZUHO BANK, LTD., as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Dr. Durgesh Tinaikar

	 
	 
	 
	 
	Name:   Dr. Durgesh Tinaikar
Title:   Managing Director

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	MUFG BANK, LTD., as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ David Philbin

	 
	 
	 
	 
	Name:   David Philbin
Title:   Director
            Head of Subsidiary Banking

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	SIGNED for and on behalf of
SOCIETE GENERALE, 
HONG KONG BRANCH

	 
	 
	 
	By:
	/s/ Tapan Vaishnav

	 
	 
	 
	 
	Authorised signatories
Name:   Tapan VAISHNAV
Title:   Head of Advisory & financing Group, Asia-Pacific, SGCIB

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	/s/ Roland Riedel

	 
	 
	 
	 
	Authorised signatories
Name:   Roland RIEDEL
Title:   Director, 
            Loan Syndicate and Sales, Asia-Pacific SGCIB

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	STANDARD CHARTERED BANK, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ James Perkins

	 
	 
	 
	 
	Name:   James Perkins
Title:   Manager CRC

	
					
	 
	 
	 
	By:
	/s/ Alan Thomas

	 
	 
	 
	 
	Name:   Alan Thomas
Title:   Associate OBC

	 
	 
	 
	 
	 

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	STATE BANK OF INDIA, as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Manoranjan Panda

	 
	 
	 
	 
	Name:   Manoranjan Panda
Title:   VP & Head (Credit) State Bank of India, New York Branch

[Signature Page to 2018 Increase Joinder Amendment]

	
					
	 
	 
	SUMITOMO MITSUI BANKING CORPORATION SINGAPORE BRANCH
(Incorporated in Japan with limited liability)
Reg. No. (UEN) T03FC6366F
as an Aleris Incremental Term Lender

	 
	 
	 
	By:
	/s/ Kimihiro Sakaguchi

	 
	 
	 
	 
	Name:   Kimihiro Sakaguchi
Title:   Joint General Manager

[Signature Page to 2018 Increase Joinder Amendment]

Schedule 1

Aleris Incremental Term Loan Commitments

	
			
	Aleris Incremental Term Lender
	Aleris Incremental Term Loan Commitment
	Aleris Incremental Hold Level

	ABN AMRO Capital USA LLC
	$37,000,000
	$30,000,000

	Australia and New Zealand Banking Group Limited
	$37,000,000
	$30,000,000

	Axis Bank Limited
	$37,000,000
	$30,000,000

	Bank of America, N.A.
	$37,000,000
	$30,000,000

	Barclays Bank PLC
	$37,000,000
	$30,000,000

	Citibank, N.A.
	$37,000,000
	$30,000,000

	Crédit Agricole Corporate and Investment Bank
	$37,000,000
	$30,000,000

	DBS Bank Ltd.
	$37,000,000
	$30,000,000

	Deutsche Bank AG New York Branch
	$37,000,000
	$30,000,000

	First Abu Dhabi Bank USA N.V.
	$37,000,000
	$30,000,000

	HSBC Bank USA, N.A.
	$37,000,000
	$30,000,000

	ICICI Bank Limited
	$37,000,000
	$30,000,000

	ING Bank N.V., Singapore Branch
	$37,000,000
	$30,000,000

	JPMorgan Chase Bank, N.A.
	$37,000,000
	$30,000,000

	Mizuho Bank, Ltd.
	$37,000,000
	$30,000,000

	MUFG Bank, Ltd.
	$37,000,000
	$30,000,000

	Societe Generale, Hong Kong Branch
	$37,000,000
	$30,000,000

	Standard Chartered Bank
	$37,000,000
	$30,000,000

	State Bank of India
	$72,000,000
	$60,000,000

	Sumitomo Mitsui Banking Corporation Singapore Branch
	$37,000,000
	$30,000,000

	TOTAL
	$775,000,000
	$630,000,000

1030947.12E-CHISR01A - MSW

Schedule 2

Post-Closing Covenants
 
None.

1030947.12E-CHISR01A - MSW

-55-

Annex I
Amended Credit Agreement
See attached.

1030947.12E-CHISR01A - MSW

Annex I to Aleris Increase Joinder Amendment No. 2

CREDIT AGREEMENT

dated as of January 10, 2017, 
as amended by Amendment No. 1, 
dated as of September 14, 2017, and 
as further amended by Amendment No. 2, 
dated as of November 20, 2018, 
as further amended by Increase Joinder Amendment, 
dated as of November 20December 18, 2018
among
NOVELIS INC., 
as Borrower,

AV METALS INC., 
as Holdings,
and
THE OTHER GUARANTORS PARTY HERETO,

THE LENDERS PARTY HERETO, and

STANDARD CHARTERED BANK, 
as Administrative Agent and Collateral Agent.

AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED,  
AXIS BANK LIMITED,  
BANK OF BARODA,  
BARCLAYS BANK PLC,  
CITIGROUP GLOBAL MARKETS ASIA LIMITED,  
ICICI BANK LIMITED,  
ING BANK N.V., SINGAPORE BRANCH,  
KOTAK MAHINDRA BANK LIMITED,  
STANDARD CHARTERED BANK,  
STATE BANK OF INDIA, and 
THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., 
as Mandated Lead Arrangers and Bookrunners.

1117313.05-CHISR021031947.12E-CHISR01A - MSW

TABLE OF CONTENTS
	
			
	 
	Page
	

	ARTICLE I DEFINITIONS
	 

	Section 1.01         Defined Terms
	1
	

	Section 1.02         Classification of Loans and Borrowings
	96
	

	Section 1.03         Terms Generally; Currency Translation
	96
	

	Section 1.04    Accounting Terms; GAAP
	98
	

	Section 1.05    Resolution of Drafting Ambiguities
	99
	

	Section 1.06    Pro Forma Calculations
	99
	

	Section 1.07    Calculation of Reference Bank Rate and Cost of Funds
	100
	

	Section 1.08    Role of Reference Banks
	100
	

	Section 1.09    Confidentiality of Funding Rates and Funding Bank Quotations
	101
	

	Section 1.10    Amendments to Permitted Customer Account Financing Definition
	102
	

	Section 1.11    Divisions
	103
	

	 
	 

	ARTICLE II THE CREDITS
	103
	

	Section 2.01    Commitments
	103
	

	Section 2.02    Loans
	104
	

	Section 2.03    Borrowing Procedure
	105
	

	Section 2.04    Repayment of Loans; Evidence of Debt
	106
	

	Section 2.05    Fees
	107
	

	Section 2.06    Interest on Loans
	107
	

	Section 2.07    Termination and Reduction of Commitments
	108
	

	Section 2.08    Interest Elections
	109
	

	Section 2.09    Amortization of Term Loan Borrowings
	110
	

	Section 2.10    Optional and Mandatory Prepayments of Loans
	110
	

	Section 2.11    Alternate Rate of Interest
	115
	

	Section 2.12    Yield Protection; Change in Law Generally
	116
	

	Section 2.13    Breakage Payments
	118
	

	Section 2.14    Payments Generally; Pro Rata Treatment; Sharing of Setoffs
	119
	

	Section 2.15    Taxes
	121
	

	Section 2.16    Mitigation Obligations; Replacement of Lenders
	130
	

	Section 2.17    [INTENTIONALLY OMITTED]
	131
	

	Section 2.18    [INTENTIONALLY OMITTED]
	132
	

	Section 2.19    Interest Act (Canada); Criminal Rate of Interest; Nominal Rate of Interest    
	132
	

	Section 2.20    [INTENTIONALLY OMITTED]
	133
	

	Section 2.21    [INTENTIONALLY OMITTED]
	133
	

	Section 2.22    Cashless Rollover of Term Loans
	133
	

	Section 2.23    Incremental Term Loan Commitments
	133
	

	Section 2.24    Refinancing Amendments.
	134
	

	 
	 

	ARTICLE III REPRESENTATIONS AND WARRANTIES
	136
	

1117313.05-CHISR021031947.12E-CHISR01A - MSW

	
			
	Section 3.01    Organization; Powers    
	136
	

	Section 3.02    Authorization; Enforceability
	138
	

	Section 3.03    No Conflicts
	138
	

	Section 3.04    Financial Statements; Projections
	138
	

	Section 3.05    Properties
	139
	

	Section 3.06    Intellectual Property
	139
	

	Section 3.07    Equity Interests and Subsidiaries
	140
	

	Section 3.08    Litigation; Compliance with Laws
	141
	

	Section 3.09    Agreements
	141
	

	Section 3.10    Federal Reserve Regulations
	141
	

	Section 3.11    Investment Company Act
	142
	

	Section 3.12    Use of Proceeds
	142
	

	Section 3.13    Taxes
	143
	

	Section 3.14    No Material Misstatements
	143
	

	Section 3.15    Labor Matters
	144
	

	Section 3.17    Employee Benefit Plans
	145
	

	Section 3.18    Environmental Matters
	147
	

	Section 3.19    Insurance
	147
	

	Section 3.20    Security Documents
	151
	

	Section 3.21    Material Indebtedness Documents
	151
	

	Section 3.22    Anti-Terrorism Law
	152
	

	Section 3.23    Location of Material Inventory and Equipment
	152
	

	Section 3.24    Senior Notes; Material Indebtedness
	153
	

	Section 3.25    Centre of Main Interests and Establishments
	153
	

	Section 3.26    Holding and Dormant Companies
	154
	

	Section 3.27    Excluded Collateral Subsidiaries
	154
	

	Section 3.28    EEA Financial Institutions
	154
	

	Section 3.29    Federal Power Act; Etc
	155
	

	Section 3.30    Beneficial Ownership Certification
	155
	

	Section 3.31    No Fiscal Unity
	155
	

	 
	 

	ARTICLE IV CONDITIONS TO CREDIT EXTENSIONS
	155
	

	Section 4.01    Conditions to the Effective Date
	157
	

	Section 4.02    Conditions to Initial Credit Extension on the Closing Date
	160
	

	Section 4.03    Conditions to Credit Extensions
	162
	

	Section 4.04    Conditions to Aleris Incremental Term Loans
	163
	

	 
	 

	ARTICLE V AFFIRMATIVE COVENANTS
	163
	

	Section 5.01    Financial Statements, Reports, etc.
	163
	

	Section 5.02    Litigation and Other Notices
	167
	

	Section 5.03    Existence; Businesses and Properties
	167
	

	Section 5.04    Insurance
	168
	

	Section 5.05    Taxes
	169
	

1117313.05-CHISR021031947.12E-CHISR01A - MSW

	
			
	Section 5.06    Employee Benefits
	170
	

	Section 5.07    Maintaining Records; Access to Properties and Inspections; Annual Meetings
	170
	

	Section 5.08    Use of Proceeds
	171
	

	Section 5.09    Compliance with Environmental Laws; Environmental Reports
	172
	

	Section 5.10    [INTENTIONALLY OMITTED]
	172
	

	Section 5.11    Additional Collateral; Additional Guarantors
	172
	

	Section 5.12    Security Interests; Further Assurances
	174
	

	Section 5.13    Information Regarding Collateral
	177
	

	Section 5.14    Affirmative Covenants with Respect to Leases
	178
	

	Section 5.15    Post-Closing Covenants; Covenants in Respect of Hedging Agreements Following the Aleris Acquisition Closing Date
	178
	

	Section 5.16    Designation of Subsidiaries
	179
	

	 
	 

	ARTICLE VI NEGATIVE COVENANTS
	180
	

	Section 6.01    Indebtedness
	180
	

	Section 6.02    Liens
	185
	

	Section 6.03    Sale and Leaseback Transactions
	191
	

	Section 6.04    Investments, Loan and Advances
	193
	

	Section 6.05    Mergers, Amalgamations and Consolidations
	195
	

	Section 6.06    Asset Sales
	198
	

	Section 6.07    Cash Pooling Arrangements
	199
	

	Section 6.08    Dividends
	200
	

	Section 6.09    Transactions with Affiliates
	201
	

	Section 6.10    Most Favored Nation.    
	202
	

	Section 6.11    Prepayments of Other Indebtedness; Modifications of Organizational Documents and Other Documents, etc.
	203
	

	Section 6.12    Limitation on Certain Restrictions on Restricted Subsidiaries
	211
	

	Section 6.13    Issuance of Disqualified Capital Stock
	211
	

	Section 6.14    Senior Secured Net Leverage Ratio    
	211
	

	Section 6.15    Business
	212
	

	Section 6.16    Limitation on Accounting Changes
	212
	

	Section 6.17    Fiscal Year
	212
	

	Section 6.18    Margin Rules
	213
	

	Section 6.19    No Further Negative Pledge
	213
	

	Section 6.20    Anti-Terrorism Law; Anti-Money Laundering
	213
	

	Section 6.21    Embargoed Persons
	213
	

	 
	 

	ARTICLE VII GUARANTEE
	213
	

	Section 7.01    The Guarantee
	213
	

	Section 7.02    Obligations Unconditional
	215
	

	Section 7.03    Reinstatement
	216
	

	Section 7.04    Subrogation; Subordination
	216
	

	Section 7.05    Remedies
	216
	

	Section 7.06    Instrument for the Payment of Money
	216
	

1117313.05-CHISR021031947.12E-CHISR01A - MSW

	
			
	Section 7.07    Continuing Guarantee
	216
	

	Section 7.08    General Limitation on Guarantee Obligations
	217
	

	Section 7.09    Release of Guarantors
	217
	

	Section 7.10    Certain Tax Matters
	218
	

	Section 7.11    German Guarantor
	219
	

	Section 7.12    Swiss Guarantors
	220
	

	Section 7.13    Irish Guarantor
	221
	

	Section 7.14    Brazilian Guarantor
	221
	

	Section 7.15    French Guarantor.
	221
	

	Section 7.16    Belgian Guarantor
	222
	

	Section 7.17    Keepwell
	222
	

	 
	 

	ARTICLE VIII EVENTS OF DEFAULT
	222
	

	Section 8.01    Events of Default    
	224
	

	Section 8.02    Rescission
	225
	

	Section 8.03    Application of Proceeds
	226
	

	Section 8.04    Designated Company’s Right to Cure
	227
	

	 
	 

	ARTICLE IX [INTENTIONALLY OMITTED]
	228
	

	 
	 

	ARTICLE X THE ADMINISTRATIVE AGENT AND THE COLLATERAL AGENT
	228
	

	Section 10.01    Appointment and Authority
	229
	

	Section 10.02    Rights as a Lender    
	229
	

	Section 10.03    Exculpatory Provisions
	229
	

	Section 10.04    Reliance by the Administrative Agent
	230
	

	Section 10.05    Delegation of Duties
	230
	

	Section 10.06    Resignation of Agent
	231
	

	Section 10.07       Non-Reliance on Agent and Other Lenders
	231
	

	Section 10.08    No Other Duties, etc
	232
	

	Section 10.09    Administrative Agent May File Proofs of Claim
	233
	

	Section 10.10    Concerning the Collateral and the Related Loan Documents
	233
	

	Section 10.11    Release
	233
	

	Section 10.12    Acknowledgment of Security Trust Deed
	234
	

	Section 10.13    Secured Hedging Agreements
	234
	

	 
	 

	ARTICLE XI MISCELLANEOUS
	234
	

	Section 11.01    Notices
	239
	

	Section 11.02    Waivers; Cumulative Remedies; Amendment
	245
	

	Section 11.03    Expenses; Indemnity; Damage Waiver
	247
	

	Section 11.04    Successors and Assigns
	248
	

	Section 11.05    Survival of Agreement
	249
	

	Section 11.06    Counterparts; Integration; Effectiveness
	250
	

	Section 11.07    Severability
	254
	

1117313.05-CHISR021031947.12E-CHISR01A - MSW

	
			
	Section 11.08    Right of Setoff
	254
	

	SECTION 11.09    GOVERNING LAW; JURISDICTION; CONSENT TO SERVICE OF PROCESS
	254
	

	SECTION 11.10    WAIVER OF JURY TRIAL
	255
	

	Section 11.11    Headings
	255
	

	Section 11.12    Treatment of Certain Information; Confidentiality
	255
	

	Section 11.13    USA PATRIOT Act Notice
	256
	

	Section 11.14    Interest Rate Limitation
	256
	

	Section 11.15    Singapore Personal Data Protection Act
	257
	

	Section 11.16    Obligations Absolute
	258
	

	Section 11.17    Intercreditor Agreement
	258
	

	Section 11.18    Judgment Currency
	259
	

	Section 11.19    Enforcement
	259
	

	Section 11.20    No Advisory or Fiduciary Responsibility
	260
	

	Section 11.21    Abstract Acknowledgment of Indebtedness and Joint Creditorship
	260
	

	Section 11.22    Special Appointment of Collateral Agent for German Security
	261
	

	Section 11.23    Special Appointment of Collateral Agent in Relation to South Korea
	262
	

	Section 11.24    Special Appointment of Collateral Agent in Relation to France
	263
	

	Section 11.25    Swiss Tax Ruling
	264
	

	Section 11.26    Designation of Collateral Agent under Civil Code of Quebec
	264
	

	Section 11.27    Maximum Liability
	264
	

	Section 11.28    NO ORAL AGREEMENT
	265
	

	Section 11.29    Collateral Matters
	265
	

	Section 11.30    Electronic Execution of Assignments and Certain other Documents
	266
	

	Section 11.31    Payments Set Aside
	266
	

	Section 11.32    Acknowledgement and Consent to Bail-In of EEA Financial Institutions
	267
	

	Section 11.33    Lender Consents and Acknowledgements
	267
	

	Section 11.34    Termination
	268
	

	Section 11.35    Lender Authorizations
	269
	

	Section 11.36    Dutch Parallel Debt in Relation to the Dutch Security Agreements
	269
	

	Section 11.37    Special Appointment of Collateral Agent in Relation to Belgium
	270
	

	Section 11.38    Lender Exculpation
	271
	

        
    

1117313.05-CHISR021031947.12E-CHISR01A - MSW

ANNEXES
Annex I    Amortization Table
Annex II    Aleris Incremental Term Loan Amortization Table

SCHEDULES

Schedule 1.01(a)    Term Loan Commitments
Schedule 1.01(b)    Subsidiary Guarantors
Schedule 1.01(c)    Excluded Collateral Subsidiaries
Schedule 1.01(d)    Existing Secured Hedge Providers
Schedule 1.01(e)    Administrative Agent’s Office
Schedule 3.06(c)    Violations or Proceedings
Schedule 3.17    Pension Matters
Schedule 3.19    Insurance
Schedule 3.21    Material Documents
Schedule 3.24    Location of Material Inventory
Schedule 4.02(g)    Local and Foreign Counsel
Schedule 5.11(b)    Certain Subsidiaries
Schedule 5.15    Post-Closing Covenants
Schedule 5.15-1    Title Insurance Amounts
Schedule 6.01(b)    Existing Indebtedness
Schedule 6.02(c)    Existing Liens
Schedule 6.04(b)    Existing Investments

EXHIBITS

Exhibit A    Form of Administrative Questionnaire
Exhibit B    Form of Assignment and Assumption
Exhibit C    Form of Borrowing Request
Exhibit D    Form of Compliance Certificate
Exhibit E    Form of Interest Election Request
Exhibit F    Form of Joinder Agreement
Exhibit G    Form of Landlord Access Agreement
Exhibit H-1    Form of U.S. Tax Compliance Certificate
Exhibit H-2    Form of U.S. Tax Compliance Certificate
Exhibit H-3    Form of U.S. Tax Compliance Certificate
Exhibit H-4    Form of U.S. Tax Compliance Certificate
Exhibit I    [Intentionally Omitted]
Exhibit J    Form of Mortgage
Exhibit K    Form of Term Loan Note
Exhibit L-1    Form of Perfection Certificate
Exhibit L-2    Form of Perfection Certificate Supplement
Exhibit M    [Intentionally Omitted]
Exhibit N    [Intentionally Omitted]
Exhibit O    Form of Solvency Certificate

1117313.05-CHISR021031947.12E-CHISR01A - MSW

Exhibit P    Form of Intercompany Note
Exhibit Q    Form of Secured Hedge Provider Joinder

1117313.05-CHISR021031947.12E-CHISR01A - MSW

CREDIT AGREEMENT
This CREDIT AGREEMENT (as amended as of September 14, 2017 and, as of November 20, 2018, as of December 18, 2018, and as further amended, restated, amended and restated, supplemented or modified, the “Agreement”), dated as of January 10, 2017, is among NOVELIS INC., a corporation amalgamated under the Canada Business Corporations Act and having its corporate office at Two Alliance Center, 3560 Lenox Road, Suite 2000, Atlanta, GA 30326, USA, as borrower (in such capacity, and together with its successors in such capacity, the “Borrower”), AV METALS INC., a corporation formed under the Canada Business Corporations Act and having its corporate office at Two Alliance Center, 3560 Lenox Road, Suite 2000, Atlanta, GA 30326, USA, the Subsidiary Guarantors (such term and each other capitalized term used but not defined herein having the meaning given to it in Article I), the Lenders, and Standard Chartered Bank, being a company incorporated in England by Royal Charter, with reference number ZC18 and whose registered office is 1 Basinghall Avenue, London EC2V 5DD, as administrative agent (in such capacity, and together with its successors in such capacity, “Administrative Agent”) for the Lenders and as collateral agent (in such capacity, and together with its successors in such capacity, “Collateral Agent”) for the Lenders.
WITNESSETH:
WHEREAS, the Borrower has requested that the Lenders extend credit in the form of Term Loans on the Closing Date in an aggregate principal amount not in excess of $1,800,000,000.
WHEREAS, the proceeds of the Term Loans are to be used in accordance with Section 3.12.
WHEREAS, the Designated Company has requested that the Aleris Incremental Term Lenders extend credit in the form of Aleris Incremental Term Loans on the Aleris Incremental Funding Date, in an aggregate principal amount not in excess of $775,000,000.
WHEREAS, the proceeds of the Aleris Incremental Term Loans are to be used in accordance with Section 3.12.
NOW, THEREFORE, the Lenders are willing to extend such Term Loans to the Borrower on the terms and subject to the conditions set forth herein.  Accordinglyin consideration of the mutual covenants and agreements herein contained, the parties hereto agree as follows:
ARTICLE I 
 
DEFINITIONS
Section 1.01    Defined Terms.  As used in this Agreement (including the preamble), the following terms shall have the meanings specified below:
“Account Debtor” shall mean “Account Debtor,” as such term is defined in the UCC.
“Accounts” shall mean all “accounts,” as such term is defined in the UCC, in which any Loan Party or any of its Restricted Subsidiaries now or hereafter has rights.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          1

“Acquisition” shall mean any transaction or series of related transactions for the direct or indirect (a) acquisition of all or substantially all of the property and assets or business of any Person, or of any business unit, line of business or division of any Person or assets constituting a business unit, line of business or division of any other Person (other than a Person that is a Restricted Subsidiary on the Closing Date), (b) acquisition of in excess of 50% of the Equity Interests of any Person or otherwise causing a person to become a Restricted Subsidiary of the acquiring Person (other than in connection with the formation or creation of a Restricted Subsidiary of the Designated Company by any Company), or (c) merger, consolidation or amalgamation, whereby a person becomes a Restricted Subsidiary of the acquiring person, or any other consolidation with any Person, whereby a Person becomes a Restricted Subsidiary of the acquiring Person.
“Acquisition Consideration” shall mean the purchase consideration for any Acquisition, whether paid in cash, properties, any assumption of Indebtedness or otherwise (other than by the issuance of Qualified Capital Stock of Holdings permitted to be issued hereunder) and whether payable at or prior to the consummation of such Acquisition or deferred for payment at any future time, whether or not any such future payment is subject to the occurrence of any contingency, and includes any and all payments representing “earn-outs” and other agreements to make any payment the amount of which is, or the terms of payment of which are, in any respect subject to or contingent upon the revenues, income, cash flow or profits (or the like) of any person or business; provided that any such future payment that is subject to a contingency shall be considered Acquisition Consideration only to the extent of the reserve, if any, required under US GAAP at the time of such sale to be established in respect thereof by Holdings, the Designated Company or any of its Restricted Subsidiaries.
“Additional Fee Letter” shall mean any fee letter designated as such in any Increase Joinder.
“Additional Lender” shall mean, at any time, any financial institution that is an Eligible Assignee and that agrees to provide any portion of any (a) Incremental Term Loans pursuant to an Increase Joinder in accordance with Section 2.23, or (b) Credit Agreement Refinancing Indebtedness pursuant to a Refinancing Amendment in accordance with Section 2.24.
“Additional Senior Secured Indebtedness” shall mean any Indebtedness incurred in reliance of Section 6.01(u).
“Additional Senior Secured Indebtedness Documents” shall mean all documents executed and delivered with respect to the Additional Senior Secured Indebtedness or delivered in connection therewith.
“Administrative Agent” shall have the meaning assigned to such term in the preamble hereto and includes each other person appointed as the successor pursuant to ARTICLE X.
“Administrative Agent’s Office” shall mean the Administrative Agent’s address and, as appropriate, account as set forth on Schedule 1.01(e), or such other address or account as the Administrative Agent may from time to time notify to the Designated Company and the Lenders.
“Administrative Questionnaire” shall mean an Administrative Questionnaire in substantially the form of Exhibit A, or any other form approved by the Administrative Agent.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          2

“Affiliate” shall mean, when used with respect to a specified person, another person that directly, or indirectly through one or more intermediaries, Controls or is Controlled by or is under common Control with the person specified; provided, however, that, for purposes of Section 6.09, the term “Affiliate” shall also include (i) any person that directly or indirectly owns more than 10% of the voting power of the total outstanding Voting Stock of the person specified or (ii) any person that is an executive officer or director of the person specified.
“Agent Fee Letter” shall mean the fee letter betweenamong the Borrower, Novelis Acquisitions and the Administrative Agent, dated January 10, 2017the Aleris Increase Joinder Effective Date.
“Agents” shall mean the Administrative Agent and the Collateral Agent; and “Agent” shall mean any of them.
“Agreed Guarantee and Security Principles” shall mean the following principles that embody a recognition by all parties to this Agreement that there may be certain legal and practical limitations on the scope and enforceability of guarantees and security from the Guarantors in certain jurisdictions outside of the United States and Canada that become parties to this agreement after the Second Amendment Effective Date. In particular:
(a)    general statutory limitations, capital maintenance, financial assistance, corporate benefit, fraudulent preference, “thin capitalization” rules, regulatory restrictions and similar principles may require that the guarantee and/or security be limited by an amount or otherwise. If any such limit applies, the guarantees and security provided may be limited to the maximum amount which the relevant Guarantor may provide having regard to applicable law under the jurisdiction of organization of such Guarantor; and
(b)    to the extent required to comply with applicable law, guarantees and security may be limited to mitigate a risk to the directors or officers of the relevant grantor of such guarantee and security of contravention of any statutory duty in such capacity or their fiduciary duties and/or which could reasonably be expected to result in personal, civil or criminal liability on the part of any such director or officer.
“Agreement” shall have the meaning assigned to such term in the preamble hereto.
“Agreement Termination Date” shall mean the date that is seven Business Days after the Effective Date.
“Aleris” shall mean Aleris Corporation, a Delaware corporation. 
“Aleris Acquisition” shall mean the acquisition by Novelis Acquisitions of Aleris pursuant to the terms of the Aleris Merger Agreement, the repayment of certain Indebtedness of Aleris and its subsidiaries in connection with the Aleris Acquisition, and the payment of all fees, costs and expenses in connection with the foregoing.
“Aleris Acquisition Closing Date” shall mean the date that the Aleris Acquisition is consummated in accordance with the terms of the Aleris Merger Agreement.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          3

“Aleris Fee Letter” shall mean the fee letter between the Borrower and the Aleris Incremental Term Lenders, dated November 1, 2018.
“Aleris Gross-Up Cap” shall have the meaning assigned to such term in Section 2.15(l)(ii).
“Aleris Increase Joinder Amendment” shall mean the Increase Joinder Amendment to Credit Agreement, dated as of December 18, 2018, among Novelis Acquisitions, the Borrower, Holdings, the other Loan Parties party thereto, the Third Party Security Provider, the Aleris Incremental Term Lenders, the Administrative Agent and the Collateral Agen.
“Aleris Incremental Commitment Termination Date” shall mean the first to occur of (i) 5:00 p.m., New York City time, on February 28, 2020, (ii) April 26, 2019, as such date may be extended pursuant to Section 9.2(a) of the Aleris Merger Agreement (without giving effect to any amendments to the Aleris Merger Agreement), (iii) delivery to the Administrative Agent of written notice of termination by the Designated Company of all of the Aleris Incremental Term Loan Commitments, (iv) the date that the Aleris Merger Agreement is terminated in accordance with its terms, or pursuant to an amendment or modification thereof, in each case, prior to the consummation of the Aleris Acquisition, and (v) the consummation of the Aleris Acquisition without the use of any Aleris Incremental Term Loans.
“Aleris Increase Joinder Effective Date” shall have the meaning assigned to the term “Amendment Effective Date” in the Aleris Increase Joinder Amendment.
“Aleris Incremental Funding Date” shall have the meaning assigned to such term in the Aleris Increase Joinder Amendment.
“Aleris Incremental Hold Level” shall mean, with respect to each Aleris Incremental Term Lender, the Dollar amount set forth opposite the name of such Aleris Incremental Term Lender on Schedule 1 to the Aleris Increase Joinder Amendment under the heading “Aleris Incremental Hold Level.”
“Aleris Incremental Maturity Date” shall mean the date that is five years after the Aleris Incremental Funding Date.
“Aleris Incremental Term Loans” shall mean the Term Loans extended by the Aleris Incremental Term Lenders on the Aleris Incremental Funding Date.
“Aleris Incremental Term Loan Commitment” shall mean, with respect to each Aleris Incremental Term Lender, the commitment, if any, of such Lender to make Aleris Incremental Term Loans under the Aleris Increase Joinder Amendment, up to the amount set forth on Schedule 1 to the Aleris Increase Joinder Amendment under the heading “Aleris Incremental Term Loan Commitment.” The aggregate amount of the Aleris Incremental Term Lenders’ Aleris Incremental Term Loan Commitments on the Aleris Increase Joinder Effective Date is $775,000,000.
“Aleris Incremental Term Loan Repayment Date” shall have the meaning assigned to such term in Section 2.09.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          4

“Aleris Incremental Term Lenders” shall mean (a) each financial institution listed on Schedule 1 to the Aleris Increase Joinder Amendment under the heading “Aleris Incremental Term Lender” and (b) any financial institution that acquires an interest in an Aleris Incremental Term Loan pursuant to an Assignment and Assumption, other than, in each case, any such financial institution that has ceased to hold any Aleris Incremental Term Loans.
“Aleris Hedging Collateral Requirements” shall have the meaning assigned to such term in Section 5.15(e).
“Aleris Merger Agreement” means that certain Agreement and Plan of Merger, dated as of July 26, 2018, among the Borrower, Novelis Acquisitions, Aleris, and OCM Opportunities ALS Holdings, L.P., a Delaware limited partnership, as amended, modified or supplemented, together with any consent or waiver with respect thereto, but only to the extent that such amendment, modification, amendment, consent or waiver is not materially adverse to the Lenders or the Agents in their capacities as such, it being understood that (i) any modification, amendment, consent or waiver to the definition of “Material Adverse Effect” in the Aleris Merger Agreement, or which has the effect of modifying, amending or waiving the representation or condition as to the absence of a Material Adverse Effect (as defined in the Aleris Merger Agreement as of the Second Amendment Effective Date) shall be deemed to be materially adverse to the Lenders and the Agents, (ii) any decrease in the purchase price payable under the Aleris Merger Agreement shall not be deemed to be materially adverse to the Lenders or the Agents, so long as such decrease does not exceed 10% of the consideration contemplated to be paid under the Aleris Merger Agreement as of July 26, 2018, and (iii) any increase in the purchase price contemplated to be paid under the Aleris Merger Agreement shall not be deemed to be materially adverse to the Lenders or the Agents, so long as such increase is funded by additional common equity contributions to Specified Holders that directly or indirectly own Equity Interests in the Designated Company and its Restricted Subsidiaries immediately prior to such contribution or by cash on hand or borrowings under the Revolving Credit Agreement; provided, that adjustments to working capital and earn-out payments in accordance with the terms of the Aleris Merger Agreement shall not constitute an increase or decrease in purchase price for purposes of this definition.
“Aleris Syndication Termination Date” shall mean the earlier to occur of (a) the first date to occur after the Aleris Incremental Funding Date on which the Aleris Incremental Term Lenders each hold Aleris Incremental Term Loans that are, in each case, no greater than their respective Aleris Incremental Hold Levels (excluding any portion of the Aleris Incremental Term Loans that exceed the applicable Aleris Incremental Hold Level of any Lender if and to the extent that such Aleris Incremental Term Lender elects to retain such portion in its sole discretion) and (b) the date that is 90 days after the Aleris Incremental Funding Date.
“Alternative Currency” shall mean each of (x) the lawful currency of Canada, (y) Euros, and (z) the lawful currency of the United Kingdom. 
“Annual Credit” shall mean the cumulative amount of (x) $1,100,000,000 plus (y) $250,000,000 for each fiscal year of the Designated Company commencing after the Closing Date (beginning with the fiscal year commencing April 1, 2017) minus (z) in each case from and after the Closing Date until the applicable time of determination, (and taking into all transactions being consummated concurrently with the transaction then being measured), (i) the cumulative amount of 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          5

all Investments made pursuant to Section 6.04(r)(iii), (ii) the cumulative amount of all Dividends made pursuant to Section 6.08(d)(ii) and (iii) the cumulative amount of all payments and redemptions of Indebtedness made pursuant to Section 6.11(a)(i)(z)(2).
“Anti-Corruption Laws” shall have the meaning assigned to such term in Section 3.22.
“Anti-Terrorism Laws” shall have the meaning assigned to such term in Section 3.22.
“Applicable Margin” shall mean (a) in the case of the Initial Term Loans, for any day, 1.85% per annum and, (b) in the case of the Aleris Incremental Term Loans, for any day, 1.75% per annum, and (c) in the case of Incremental Term Loans (other than the Aleris Incremental Term Loans), the margin specified in the applicable Increase Joinder.
“Approved Fund” shall mean any Fund that is administered or managed by (a) a Lender, (b) an Affiliate of a Lender or (c) an entity or an Affiliate of an entity that administers or manages a Lender.
“Approved Member State” shall mean Belgium, France, Germany, Ireland, Italy, Luxembourg, The Netherlands, Spain, Sweden and the United Kingdom.
“Asset Sale” shall mean (a) any conveyance, sale, lease, sublease, assignment, transfer or other disposition (including by way of merger or consolidation and including any Sale and Leaseback Transaction) of any property, excluding sales of Inventory, dispositions of cash and Cash Equivalents and settlements under Hedging Agreements, in each such excluded case, which are in the ordinary course of business, by Holdings or any of its Restricted Subsidiaries, or (b) any issuance of any Equity Interests of any Restricted Subsidiary of Holdings.
“Asset Swap” shall mean the substantially concurrent purchase and sale or exchange of Related Business Assets or a combination of Related Business Assets and cash or Cash Equivalents between any Company and another person; provided that any cash or Cash Equivalents received must be applied in accordance with Section 2.10(c). 
“Assignee Group” shall mean two or more Eligible Assignees that are Affiliates of one another or two or more Approved Funds managed by the same investment advisor.
“Assignment and Assumption” shall mean an assignment and assumption entered into by a Lender and an Eligible Assignee (with the consent of any party whose consent is required by Section 11.04(b)), and delivered to the Administrative Agent, in substantially the form of Exhibit B, or any other form (including electronic documentation generated by use of an electronic platform) approved by the Administrative Agent.
“Attributable Indebtedness” shall mean, when used with respect to any Sale and Leaseback Transaction, as at the time of determination, the present value (discounted at the rate implicit in the lease) of the total obligations of the lessee for rental payments during the remaining term of the lease included in any such Sale and Leaseback Transaction.
“Auditor’s Determination” shall have the meaning assigned to such term in Section 7.11(b).

    
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“AV Metals” shall mean AV Metals Inc., a corporation formed under the Canada Business Corporations Act.
“AV Minerals” shall mean AV Minerals (Netherlands) N.V., a company organized under the laws of the Netherlands.
“Available Amount” shall have the meaning assigned to such term in Section 7.12(a).
“Bail-In Action” shall mean the exercise of any Write-Down and Conversion Powers by the applicable EEA Resolution Authority in respect of any liability of an EEA Financial Institution.
“Bail-In Legislation” shall mean, with respect to any EEA Member Country implementing Article 55 of Directive 2014/59/EU of the European Parliament and of the Council of the European Union, the implementing law for such EEA Member Country from time to time which is described in the EU Bail-In Legislation Schedule.
“Belgian Guarantor” shall mean each Restricted Subsidiary of the Designated Company organized under the laws of Belgium that becomes a Guarantor pursuant to the terms hereof.
“Belgian Security Agreements” shall mean, collectively (i) any Security Agreements, including all subparts thereto, among any Belgian Guarantors (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any Belgian Guarantor or any Person who is the holder of Equity Interests in any Belgian Guarantor in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of Belgium, securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“Beneficially Own,” “Beneficial Owner” and “Beneficial Ownership” shall each have the meaning assigned to such term in Rules 13d-3 and 13d-5 under the Exchange Act.
“Beneficial Ownership Certification” shall mean a certification regarding beneficial ownership required by the Beneficial Ownership Regulation.
“Beneficial Ownership Regulation” shall mean 31 C.F.R. § 1010.230.
“Board” shall mean the Board of Governors of the Federal Reserve System of the United States.
“Board of Directors” shall mean, with respect to any person, (i) in the case of any corporation, the board of directors of such person, (ii) in the case of any limited liability company, the board of managers (or the functional equivalent) of such person, (iii) in the case of any limited partnership, the 

    
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Board of Directors of the general partner of such person and (iv) in any other case, the functional equivalent of the foregoing.
“Borrower” shall have the meaning assigned to such term in the preamble hereto or, following the Permitted Holdings Amalgamation, Successor Borrower.  
“Borrowing” shall mean Loans to a Co-Borrower of the same Class and Type, made, converted or continued on the same date and, in the case of Eurodollar Rate Loans or Fallback Rate Loans, as applicable, as to which a single Interest Period is in effect.
“Borrowing Base” shall mean, as of any date, an amount equal to: (1) 85% of the book value of all accounts receivable owned by the Loan Parties as of the end of the most recent fiscal month for which consolidated financial statements are available; plus (2) the lesser of (x) 75% of the book value of inventory owned by the Loan Parties as of the end of the most recent fiscal month for which consolidated financial statements are available and (y) 85% of the “net recovery cost percentage” multiplied by the  book value of inventory owned by the Loan Parties as of the end of the most recent fiscal month for which consolidated financial statements are available.  Notwithstanding the foregoing, the Borrowing Base shall be adjusted to give pro forma effect to any Acquisitions or Asset Sales by the Designated Company and/or any Restricted Subsidiary since the end of the most recent fiscal month for which consolidated financial statements are available, as if such Acquisition or Asset Sale had occurred on the last day of the end of the most recent fiscal month, with such adjustment to be effective upon consummation of any such Acquisition or Asset Sale.
“Borrowing Request” shall mean a request by a Co-Borrower in accordance with the terms of Section 2.03 and substantially in the form of Exhibit C, or such other form as shall be approved by the Administrative Agent.
“Brazilian Guarantor” shall mean each Restricted Subsidiary of the Designated Company organized in Brazil party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company organized in Brazil that becomes a Guarantor pursuant to the terms hereof.
“Brazilian Security Agreements” shall mean, collectively, (i) any Security Agreements, including all sub-parts thereto, among any Brazilian Guarantors (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any Brazilian Guarantor or any Person who is the holder of Equity Interests in any Brazilian Guarantor in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of Brazil, securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“Business Day” shall mean any day other than a Saturday, Sunday or other day on which commercial banks are authorized to close under the laws of, or are in fact closed in, New York City 

    
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or London, and, if such day relates to any Eurodollar Rate Loan, means any such day that is also a London Banking Day and, solely for purposes of determining whether a day is a day on which a Loan can be advanced, Singapore. 
“Calculation Date” shall have the meaning assigned to such term in the definition of “Senior Secured Net Leverage Ratio”.
“Canadian Guarantor” shall mean Holdings, Borrower and each Restricted Subsidiary of Holdings organized in Canada party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company organized in Canada that becomes a Guarantor pursuant to the terms hereof.
“Canadian Loan Parties” shall mean Borrower and the Canadian Guarantors.
“Canadian Security Agreement” shall mean, collectively (i) the Security Agreements, including all sub-parts thereto, among the Canadian Loan Parties (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, deed of hypothec, debenture, bond, security agreement, guarantee or other agreement that is entered into by any Canadian Loan Party or any Person who is the holder of Equity Interests in any Canadian Loan Party in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of Canada (or any province thereof), securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“Cancellation” shall mean the cancellation, termination and forgiveness by the applicable Co-Borrowers of all Loans, Commitments and related Obligations acquired in connection with a Discounted Purchase, which cancellation shall be consummated as described in Section 11.04(b)(iv)(C) and the definition of “Eligible Assignee”.
“Capital Assets” shall mean, with respect to any person, all equipment, fixed assets and Real Property or improvements of such person, or replacements or substitutions therefor or additions thereto, that, in accordance with US GAAP, have been or should be reflected as additions to property, plant or equipment on the balance sheet of such person.
“Capital Expenditures” shall mean, for any period, without duplication, all expenditures made directly or indirectly by the Designated Company and its Restricted Subsidiaries during such period for Capital Assets (whether paid in cash or other consideration, financed by the incurrence of Indebtedness or accrued as a liability), together with the applicable Company’s proportionate share of such amounts for Norf GmbH for such period.
“Capital Lease Obligations” of any person shall mean the obligations of such person to pay rent or other amounts under any lease of (or other arrangement conveying the right to use) real or personal property, or a combination thereof, which obligations are required to be classified and accounted for as capital leases on a balance sheet of such person under US GAAP, and the amount of 

    
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such obligations shall be the capitalized amount thereof determined in accordance with US GAAP.  It is understood that with respect to the accounting for leases as either operating leases or capital leases and the impact of such accounting on the definitions and covenants herein, US GAAP as in effect on the Closing Date shall be applied.
“Cash Equivalents” shall mean, as to any person, (a) securities issued or fully guaranteed or insured by the federal government of the United States, Canada, Switzerland, any Approved Member State or any agency of the foregoing, (b) marketable direct obligations issued by Canada or any province thereof, any state of the United States or the District of Columbia or any political subdivision, government-sponsored entity or instrumentality thereof that, at the time of the acquisition, are rated at least “A-2” by S&P, “P-2” by Moody’s or in the “R-2” category by the Dominion Bond Rating Service Limited, (c) certificates of deposit, Eurocurrency time deposits, overnight bank deposits and bankers’ acceptances of any commercial bank or trust company organized under the laws of Canada or any province thereof, the United States, any state thereof, the District of Columbia, any non-U.S. bank, or its branches or agencies (fully protected against currency fluctuations) that, at the time of acquisition, is rated at least “A-2” by S&P, “P-2” by Moody’s or in the “R-2” category by the Dominion Bond Rating Service Limited, (d) commercial paper of an issuer rated at least “A-2” by S&P, “P-2” by Moody’s or in the “R-2” category by the Dominion Bond Rating Service Limited, and (e) shares of any money market fund that (i) has at least 95% of its assets invested continuously in the types of investments referred to in clauses (a), (b) and (c) above, (ii) has net assets, the Dollar Equivalent of which exceeds $500,000,000 and (iii) is rated at least “A-2” by S&P, “P-2” by Moody’s or in the “R-2” category by the Dominion Bond Rating Service Limited; provided, however, that the maturities of all obligations of the type specified in clauses (a), (b) and (c) above shall not exceed 365 days; provided, further, that, to the extent any cash is generated through operations in a jurisdiction outside of the United States, Canada, Switzerland or an Approved Member State, such cash may be retained and invested in obligations of the type described in clause (a), (c) or (d) applicable to such jurisdiction to the extent that such obligations are customarily used in such other jurisdiction for short term cash management purposes.
“Cash Interest Expense” shall mean, for any period, Consolidated Interest Expense for such period, less the sum of (a) interest on any debt paid by the increase in the principal amount of such debt including by issuance of additional debt of such kind, (b) items described in clause (c) of the definition of “Consolidated Interest Expense” and (c) gross interest income of the Designated Company and its Restricted Subsidiaries for such period.
“Cash Pooling Arrangements” shall mean (i) the DB Cash Pooling Arrangement and the Novelis AG Cash Pooling Agreement and (ii) any other cash pooling arrangements (including all documentation pertaining thereto) entered into by any Company in accordance with Section 6.07. 
“Casualty Event” shall mean any involuntary loss of title, any involuntary loss of, damage to or any destruction of, or any expropriation, condemnation or other taking (including by any Governmental Authority) of, any property of Holdings, the Designated Company or any of its Restricted Subsidiaries.  “Casualty Event” shall include but not be limited to any taking of all or any part of any Real Property of any person or any part thereof, in or by expropriation, condemnation or other eminent domain proceedings pursuant to any Requirement of Law, or by reason of the temporary requisition 

    
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of the use or occupancy of all or any part of any Real Property of any person or any part thereof by any Governmental Authority, civil or military, or any settlement in lieu thereof.
“CERCLA” shall mean the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended, 42 U.S.C. § 9601 et seq. and all implementing regulations.
A “Change in Control” shall be deemed to have occurred if:
(a)    (i) prior to the Designated Holdco Effective Date, Hindalco ceases to be the Beneficial Owner of Voting Stock representing more than 50% of the voting power of the total outstanding Voting Stock of Holdings, (ii) on and after the Designated Holdco Effective Date, Hindalco ceases to be the Beneficial Owner of Voting Stock representing more than 50% of the voting power of the total outstanding Voting Stock of each of Holdings and Designated Holdco, or (iii) on and after the Designated Holdco Effective Date, Holdings ceases to be the Beneficial Owner of Voting Stock representing 100% of the voting power of the total outstanding Voting Stock of Designated Holdco;
(b)    Holdings (or, on and after the Designated Holdco Effective Date, Designated Holdco) at any time ceases to be the Beneficial Owner and the direct record owner of 100% of the Equity Interests of Borrower, except as a result of a Qualified Borrower IPO; provided that Hindalco continues to be the Beneficial Owner of Voting Stock representing more than 50% of the voting power of the total outstanding Voting Stock of Borrower at all times after giving effect to such Qualified Borrower IPO; and provided, further, that a Permitted Holdings Amalgamation shall not constitute a Change in Control; 
(c)    the Designated Company at any time ceases to be the Beneficial Owner and the direct or indirect owner of 100% of the Equity Interests of each of Novelis Corporation, Novelis Deutschland GmbH and each Co-Borrower (other than the Borrower prior to the Designated Holdco Effective Date, and the Designated Company on and after the Designated Holdco Effective Date);
(d)    at any time a change in control (or change of control or similar event) with respect to any Co-Borrower or the U.S. Issuer occurs under (and as defined in) any Material Indebtedness of any Loan Party; or
(e)    during any period of two consecutive years, individuals who at the beginning of such period constituted the Board of Directors of Holdings, any Co-Borrower or, on and after the Designated Holdco Effective Date, Designated Holdco (together with any new directors whose election to such Board of Directors or whose nomination for election was approved by the Specified Holders or by a vote of at least a majority of the members of the Board of Directors of such Person, as the case may be, which members comprising such majority are then still in office and 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 such Person.

    
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For purposes of this definition, a person shall not be deemed to have Beneficial Ownership of Equity Interests subject to a stock purchase agreement, merger agreement or similar agreement until the consummation of the transactions contemplated by such agreement.
“Change in Law” shall mean the occurrence, after the date of this Agreement, of any of the following:  (a) the adoption or taking into effect of any law, treaty, order, policy, rule or regulation, (b) any change in any law, treaty, order, policy, rule or regulation or in the administration, interpretation or application thereof by any Governmental Authority or (c) the making or issuance of any request, guideline or directive (whether or not having the force of law) by any Governmental Authority; provided, however, that notwithstanding anything herein to the contrary, (x) the Dodd-Frank Wall Street Reform and Consumer Protection Act and all requests, rules, regulations, guidelines or directives thereunder or issued in connection therewith, (y) all requests, rules, guidelines or directives promulgated by the Bank for International Settlements, the Basel Committee on Banking Supervision (or any successor or similar authority) or the United States or foreign regulatory authorities, in each case pursuant to Basel III, and (z) the implementation or compliance with, CRD IV or CRR, or any law or regulation that implements or applies CRD IV or CRR, shall in each case be deemed to be a “Change in Law”, regardless of the date enacted, adopted or issued. 
“Chattel Paper” shall mean all “chattel paper,” as such term is defined in the UCC, in which any Person now or hereafter has rights.
“Chief Executive Office” shall mean, with respect to any Person, the location from which such Person manages the main part of its business operations or other affairs.
“Chinese Subsidiary Equity Interests” shall mean all Equity Interests of each Person organized under the laws of the People’s Republic of China that is a Subsidiary of a Loan Party, in each case that is owned by a Loan Party.
“Class” shall mean (a) when used with respect to Commitments, whether such Commitments are Term Loan Commitments, Incremental Term Loan Commitments or Other Term Loan Commitments, as the context may require, and (b) when used with respect to Loans or a Borrowing, whether such Loans, or the Loans comprising such Borrowing, are Term Loans, Incremental Term Loans or Other Term Loans.  Other Term Loan Commitments, Other Term Loans and Incremental Term Loans made pursuant to any Increase Joinder that have different terms and conditions than the Other Term Loans or Incremental Term Loans shall be construed to be in different Classes.
“Closing Date” shall mean the date, on or prior to the Agreement Termination Date, on which the conditions precedent set forth in Section 4.02 and Section 4.03 are satisfied (or waived in accordance with Section 11.02) and the initial Term Loans are advanced.
“Code” shall mean the Internal Revenue Code of 1986, as amended, and the Treasury Regulations promulgated thereunder.
“Co-Borrowers” shall mean (a) the Borrower,  and (b) solely in the case of Aleris Incremental Term Loans and Aleris Incremental Term Loan Commitments, Novelis Acquisitions (and, immediately after giving effect to the merger of Novelis Acquisitions with and into Aleris in connection with the 

    
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Aleris Acquisition, Aleris) and (c) solely in the case of any other Incremental Term Loans and Incremental Term Loan Commitments of any Class, to the extent designated as a Co-Borrower pursuant to the Increase Joinder in respect of such Class, the Borrower or Novelis Acquisitions (and, immediately after giving effect to the merger of Novelis Acquisitions with and into Aleris in connection with the Aleris Acquisition, Aleris).
“Collateral” shall mean, all of the “Collateral”, “Pledged Collateral”, “Secured Assets” and “Mortgaged Property” referred to in the Security Documents and all of the other property that is or is intended under the terms of the Security Documents to be subject to Liens in favor of the Collateral Agent for the benefit of the Secured Parties.
“Collateral Agent” shall have the meaning assigned to such term in the preamble hereto and includes each other person appointed as the successor pursuant to Article X. 
“Commitment” shall mean, with respect to any Lender, such Lender’s Term Loan Commitment, including any Incremental Term Loan Commitment and any Other Term Loan Commitment, as the context requires.
“Commodity Exchange Act” shall mean the Commodity Exchange Act (7 U.S.C. § 1 et seq.), as amended from time to time, and any successor statute.
“Companies” shall mean Holdings, the Designated Company and Holdings’ Restricted Subsidiaries; and “Company” shall mean any one of them.
“Compensation Plan” shall mean any program, plan or similar arrangement (other than employment contracts for a single individual) relating generally to compensation, pension, employment or similar arrangements with respect to which any Company, any Affiliate of any Company or any ERISA Affiliate of any of them has any obligation or liability, contingent or otherwise, under any Requirement of Law other than that of the United States.
“Compliance Certificate” shall mean a certificate of a Financial Officer substantially in the form of Exhibit D.
“Confidential Information Memorandum” shall mean that certain confidential information memorandum of Novelis Inc., dated January 6, 2017.
“Consolidated Amortization Expense” shall mean, for any period, the amortization expense of the Designated Company and its Restricted Subsidiaries for such period, determined on a consolidated basis in accordance with US GAAP.
“Consolidated Current Assets” shall mean, as at any date of determination, the total assets of the Designated Company and its Restricted Subsidiaries which may properly be classified as current assets on a consolidated balance sheet of the Designated Company and its Restricted Subsidiaries in accordance with GAAP, excluding cash and Cash Equivalents.
“Consolidated Current Liabilities” shall mean, as at any date of determination, the total liabilities of the Designated Company and its Restricted Subsidiaries which may properly be classified 

    
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as current liabilities (other than the current portion of any Loans) on a consolidated balance sheet of the Designated Company and its Restricted Subsidiaries in accordance with US GAAP, but excluding (a) the current portion of any Funded Debt of the Designated Company and its Restricted Subsidiaries and (b) without duplication of clause (a) above, all Indebtedness consisting of Revolving Credit Loans to the extent otherwise included therein.
“Consolidated Depreciation Expense” shall mean, for any period, the depreciation expense of the Designated Company and its Restricted Subsidiaries for such period, determined on a consolidated basis in accordance with US GAAP.
“Consolidated EBITDA” shall mean, for any period, the sum of (A) Consolidated Net Income for such period, adjusted by (without duplication):
(x)     adding thereto, in each case only to the extent (and in the same proportion) deducted in determining such Consolidated Net Income and without duplication:
(a)    Consolidated Interest Expense for such period;
(b)    Consolidated Amortization Expense for such period;
(c)    Consolidated Depreciation Expense for such period;
(d)    Consolidated Tax Expense for such period;
(e)    non-recurring items or unusual charges or expenses, severance, relocation costs or expenses, other business optimization expenses (including costs and expenses relating to business optimization programs), new systems design and implementation costs, project start-up costs, restructuring charges or reserves, costs related to the closure and/or consolidation of facilities and one-time costs associated with a Qualified IPO or Qualified Borrower IPO;
(f)    to the extent covered by insurance and actually reimbursed or, so long as the Designated Company has made a good faith determination that there exists reasonable evidence that such amount will in fact be reimbursed by the insurer and only to the extent that such amount is (x) not denied by the applicable carrier in writing within 180 days and (y) in fact reimbursed within 365 days of the date of such evidence (with a deduction for any amount so added back to the extent not so reimbursed within 365 days), losses and expenses with respect to Casualty Events or business interruption; 
(g)    the aggregate amount of all other non-cash charges reducing Consolidated Net Income (excluding any non-cash charge that results in an accrual of a reserve for cash charges in any future period) for such period; 
(h)    the amount of net income (loss) attributable to non-controlling interests deducted (and not added back) in computing Consolidated Net Income; and
(i)    Management Fees paid in compliance with Section 6.08(c);

    
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(y)     subtracting therefrom, (a) the aggregate amount of all non-cash items increasing Consolidated Net Income (other than the accrual of revenue or recording of receivables in the ordinary course of business) for such period and (b) interest income; and
(z)     excluding therefrom,
(a)    [intentionally omitted];
(b)    earnings or losses resulting from any reappraisal, revaluation or write-up or write-down of assets; 
(c)    non-recurring or unusual gains; and
(d)    any gain or loss relating to cancellation or extinguishment of Indebtedness; plus
(B)  the proportionate interest of the Designated Company and its consolidated Restricted Subsidiaries in Non-consolidated Affiliate EBITDA for such period; plus
(C)  for purposes of determining compliance with the Financial Performance Covenant only (solely for the purposes of Section 6.14 and not for determining whether any action predicated on being in compliance with the Financial Performance Covenant is permitted), Specified Equity Contributions made pursuant to Section 8.04 to cure failure to comply with the Financial Performance Covenant for a fiscal quarter in such period; plus
(D)  the annualized amount of net cost savings, operating expense reductions and synergies reasonably projected by the Designated Company in good faith to be realized as a result of specified actions (x) taken since the beginning of the Test Period in respect of which Consolidated EBITDA is being determined or (y) initiated prior to or during the Test Period (in each case, which cost savings shall be added to Consolidated EBITDA until fully realized, but in no event for more than four fiscal quarters) (calculated on a pro forma basis as though such annualized cost savings, operating expense reductions and synergies had been realized on the first day of such Test Period,  net of the amount of actual benefits realized during such Test Period from such actions); provided that (1) such cost savings, operating expense reductions and synergies are reasonably identifiable, quantifiable and factually supportable in the good faith judgment of the Designated Company, and (2) no cost savings, operating expense reductions and synergies shall be added pursuant to this clause (C) to the extent duplicative of any expenses or charges otherwise added to Consolidated EBITDA, whether through a pro forma adjustment or otherwise, for such Test Period; provided that the aggregate amount added to Consolidated EBITDA pursuant to this clause (C) shall not exceed in the aggregate 15% of Consolidated EBITDA for any one Test Period; provided, further that projected (and not yet realized) amounts may no longer be added in calculating Consolidated EBITDA pursuant to this clause (C) to the extent occurring more than four full fiscal quarters after the specified action taken or initiated in order to realize such projected cost savings, operating expense reductions and synergies.

    
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Notwithstanding the foregoing clause (x), the provision for taxes and the depreciation, amortization and non-cash items of a Restricted Subsidiary shall be added to Consolidated Net Income to compute Consolidated EBITDA only to the extent (and in the same proportion) that the net income of such Restricted Subsidiary was included in calculating Consolidated Net Income.
Consolidated EBITDA shall not include the Consolidated EBITDA of any Non-consolidated Affiliate if such Non-consolidated Affiliate is subject to a prohibition, directly or indirectly, on the payment of dividends or the making of distributions, directly or indirectly, to the Designated Company or any Co-Borrower, to the extent of such prohibition.
“Consolidated Interest Coverage Ratio” shall mean, for any period, the ratio of (a) Consolidated EBITDA for such period to (b) Consolidated Interest Expense for such period.
“Consolidated Interest Expense” shall mean, for any period, the total consolidated interest expense of the Designated Company and its Restricted Subsidiaries for such period determined on a consolidated basis in accordance with US GAAP plus, without duplication:
(a)    imputed interest on Capital Lease Obligations and Attributable Indebtedness of the Designated Company and its Restricted Subsidiaries for such period;
(b)    commissions, discounts and other fees and charges owed by the Designated Company or any of its Restricted Subsidiaries with respect to letters of credit securing financial obligations, bankers’ acceptance financing and receivables financings for such period;
(c)    amortization of debt issuance costs, debt discount or premium and other financing fees and expenses incurred by the Designated Company or any of its Restricted Subsidiaries for such period;
(d)    all interest paid or payable with respect to discontinued operations of the Designated Company or any of its Restricted Subsidiaries for such period; and
(e)    the interest portion of any deferred payment obligations of the Designated Company or any of its Restricted Subsidiaries for such period.
“Consolidated Net Income” shall mean, for any period, the consolidated net income (or loss) of the Designated Company and its Restricted Subsidiaries determined on a consolidated basis in accordance with US GAAP; provided, however, that the following shall be excluded in the calculation of “Consolidated Net Income”:
(a)    any net income (loss) of any person (other than the Designated Company) if such person is not a Restricted Subsidiary of the Designated Company, except that:
(i)    subject to the exclusion contained in clause (c) below, equity of the Designated Company and its consolidated Restricted Subsidiaries in the net income 

    
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of any such person for such period shall be included in such Consolidated Net Income up to the aggregate amount of cash distributed by such person during such period to the Designated Company or to a Restricted Subsidiary as a dividend or other distribution (subject, in the case of a dividend or other distribution to a Restricted Subsidiary, to the limitations contained in clause (b), below); and
(ii)    the equity of the Designated Company and its consolidated Restricted Subsidiaries in a net loss of any such person other than an Unrestricted Subsidiary for such period shall be included in determining such Consolidated Net Income;
(b)    any net income (loss) of any Restricted Subsidiary of the Designated Company if such Restricted Subsidiary is subject to a prohibition, directly or indirectly, on the payment of dividends or the making of distributions, directly or indirectly, to the Designated Company or any Co-Borrower, to the extent of such prohibition, except that:
(i)    subject to the exclusion contained in clause (c) below, equity of the Designated Company and its consolidated Restricted Subsidiaries in the net income of any such person for such period shall be included in such Consolidated Net Income up to the aggregate amount of cash distributed by such Restricted Subsidiary during such period to the Designated Company or another Restricted Subsidiary as a dividend or other distribution (subject, in the case of a dividend or other distribution to a Restricted Subsidiary, to the limitations contained in this clause (b)); and
(ii)    the equity of the Designated Company and its consolidated Restricted Subsidiaries in a net loss of any such person other than an Unrestricted Subsidiary for such period shall be included in determining such Consolidated Net Income;
(c)    any gain or loss realized upon the sale or other disposition of any property of the Designated Company or Restricted Subsidiaries (including pursuant to any Sale and Leaseback Transaction) that is not sold or otherwise disposed of in the ordinary course of business (provided that sales or other dispositions of assets in connection with any Qualified Securitization Transaction permitted hereunder shall be deemed to be in the ordinary course);
(d)    any extraordinary gain or loss;
(e)    the cumulative effect of a change in accounting principles;
(f)    any non-cash compensation expense realized for grants of performance shares, stock options or other rights to officers, directors and employees of the Designated Company or any Restricted Subsidiary; provided that such shares, options or other rights can be redeemed at the option of the holders only for Qualified Capital Stock of the Designated Company or Holdings;

    
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(g)    any unrealized gain or loss resulting in such period from Hedging Obligations (other than any unrealized gains or losses resulting from foreign currency re-measurement hedging activities); 
(h)    any expenses or charges in such period related to the Transactions, any premiums, fees, discounts, expenses and losses payable by any Loan Party in such period in connection with any redemption or tender offer of Indebtedness permitted hereunder, and any acquisition, disposition, recapitalization or the incurrence of any Indebtedness permitted hereunder, including such fees, expenses or charges related to the Transactions; and
(i)    the effects of adjustments in the property, plant and equipment, inventories, goodwill, intangible assets and debt line items in the Designated Company’s consolidated financial statements pursuant to US GAAP resulting from the application of purchase accounting in relation to any acquisition or the amortization or write-off of any amounts thereof, net of taxes.
Notwithstanding the foregoing, for purposes of the calculation of Cumulative Credit only, there shall be excluded from Consolidated Net Income any dividends, repayments of loans or advances or other transfers of property from Unrestricted Subsidiaries to the Designated Company or a Restricted Subsidiary to the extent such dividends, repayments or transfers increase the amount of Cumulative Credit pursuant to clause (d) of the definition of Cumulative Credit.
“Consolidated Net Tangible Assets” shall mean, as of any date of determination, the sum of the amounts that would appear on a consolidated balance sheet of the Designated Company and its Restricted Subsidiaries as the total assets (less accumulated depreciation and amortization, allowances for doubtful receivables, other applicable reserves and other properly deductible items) of the Designated Company and its Restricted Subsidiaries, after giving effect to purchase accounting and after deducting therefrom Consolidated Current Liabilities and, to the extent otherwise included, the amounts of (without duplication):
(a)     the excess of cost over fair market value of assets or businesses acquired;
(b)      any revaluation or other write-up in book value of assets subsequent to March 31, 2016 as a result of a change in the method of valuation in accordance with US GAAP;
(c)      unamortized debt discount and expenses and other unamortized deferred charges, goodwill, patents, trademarks, service marks, trade names, copyrights, licenses, organization or developmental expenses and other intangible items;
(d)      minority interests in consolidated Subsidiaries held by Persons other than the Designated Company or any Restricted Subsidiary of the Designated Company;
(e)      treasury stock;

    
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(f)      cash or securities set aside and held in a sinking or other analogous fund established for the purpose of redemption or other retirement of Equity Interests to the extent such obligation is not reflected in Consolidated Current Liabilities; and
(g)      Investments in and assets of Unrestricted Subsidiaries.
“Consolidated Tax Expense” shall mean, for any period, the tax expense of the Designated Company and its Restricted Subsidiaries, for such period determined on a consolidated basis in accordance with US GAAP.
“Consolidated Total Assets” shall mean at any date of determination, the total assets of the Designated Company and its Restricted Subsidiaries determined on a consolidated basis in accordance with US GAAP.
“Consolidated Total Net Debt” shall mean, as of any date of determination and without duplication, the sum of (A) the aggregate principal amount of Indebtedness of the Designated Company and its Restricted Subsidiaries outstanding on such date of the type referenced in clauses (a), (b) and (f) of the definition of Indebtedness, and any Contingent Obligations of the Designated Company and its Restricted Subsidiaries in respect of Indebtedness of any Person under clauses (a), (b) and (f) of the definition of Indebtedness, minus the aggregate amount of Unrestricted Cash on such date, plus (B) the proportionate interest of the Designated Company and its consolidated Restricted Subsidiaries in the Non-consolidated Affiliate Debt of each of the Non-consolidated Affiliates at any date of determination. The aggregate principal amount of such Indebtedness shall be determined according to the face or principal amount thereof, based on the amount owing under the applicable contractual obligation (without regard to any election by the Designated Company, Holdings or any other Person to measure an item of Indebtedness using fair value or any other discount that may be applicable under GAAP (including the effects of FASB ASC 825 and FASB ASC 470-20 on financial liabilities) on a consolidated basis with respect to the Designated Company and its Restricted Subsidiaries in accordance with consolidation principles utilized in GAAP. 
“Contingent Obligation” shall mean, as to any person, any obligation, agreement, understanding or arrangement of such person guaranteeing or intended to guarantee any Indebtedness, leases, dividends or other obligations (“primary obligations”) of any other person (the “primary obligor”) in any manner, whether directly or indirectly, including any obligation of such person, whether or not contingent, (a) under any guaranty, endorsement, co-making or sale with recourse of any obligation of a primary obligor, (b) to purchase any such primary obligation or any property constituting direct or indirect security therefor; (c) 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; (d) 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; (e) with respect to bankers’ acceptances, letters of credit and similar credit arrangements, until a reimbursement obligation arises (which reimbursement obligation shall constitute Indebtedness); or (f) otherwise to assure or hold harmless the holder of such primary obligation against loss in respect thereof; provided, however, that the term “Contingent Obligation” shall not include endorsements of instruments for deposit or collection in the ordinary course of business or any product warranties.  The 

    
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amount of any Contingent Obligation shall be deemed to be an amount equal to the stated or determinable amount of the primary obligation in respect of which such Contingent Obligation is made (or, if less, the maximum amount of such primary obligation for which such person may be liable, whether singly or jointly, pursuant to the terms of the instrument evidencing such Contingent Obligation) or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof (assuming such person is required to perform thereunder) as determined by such person in good faith.
“Contribution, Intercompany, Contracting and Offset Agreement” shall mean that certain Contribution, Intercompany, Contracting and Offset Agreement dated as of the Closing Date by and among the Loan Parties (other than certain Foreign Subsidiaries), the Collateral Agent and the Administrative Agent.
“Contribution Notice” shall mean a contribution notice issued by the Pensions Regulator under Section 38 or Section 47 of the Pensions Act 2004.
“Control” shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of a person, whether through the ownership of voting securities, by contract or otherwise, and the terms “Controlling” and “Controlled” shall have meanings correlative thereto.
“Control Agreement” shall mean, with respect to a Deposit Account, Securities Account, or Commodity Account (each as defined in the UCC), (i) located in the United States, an agreement in form and substance reasonably satisfactory to the Collateral Agent establishing the Collateral Agent’s “control” (within the meaning of the UCC) in such account, or (ii) located in other jurisdictions, agreements with regard to such accounts establishing and perfecting the First Priority Lien of the Collateral Agent in such accounts, and otherwise in form and substance reasonably satisfactory to the Collateral Agent.
“Cost of Funds” shall mean the rate of interest on each Lender’s share of the relevant Borrowing for the relevant Interest Period, which shall be the percentage rate per annum which is the sum of the weighted average of the rates notified to the Administrative Agent by each Lender as soon as practicable and in any event within two Business Days of the first day of that Interest Period (or, if earlier, on the date falling two Business Days before the date on which interest is due to be paid in respect of that Interest Period), to be that which expresses as a percentage rate per annum the cost to the relevant Lender of funding its participation in that Loan from whatever source it may reasonably select; provided, that if a Lender’s Funding Rate is less than the Eurodollar Rate or a Lender does not supply a quotation by the time specified in this definition, the cost to that Lender of funding its participation in that Borrowing for that Interest Period shall be deemed, for the purposes of this definition, to be the Eurodollar Rate; provided, further, that if any Lender does not supply a quotation by the time specified in this definition, the rate of interest shall be calculated on the basis of the quotations of the remaining Lenders; provided, further, that if the Cost of Funds shall be less than zero, such rate shall be deemed zero for purposes of this Agreement.
“Covered Aleris Lender” shall have the meaning assigned to such term in the definition of “Covered Aleris Syndication Taxes”.

    
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“Covered Aleris Loan” shall have the meaning assigned to such term in the definition of “Covered Aleris Syndication Taxes”.
“Covered Aleris Payment Date” shall mean any Interest Payment Date and any other date on which interest on the Aleris Incremental Term Loans is paid.
“Covered Aleris Syndication Taxes” means, in the case of a Lender (other than a Lender that was an Aleris Incremental Term Lender on the Aleris Incremental Funding Date or an Affiliate of such Lender) that acquires an interest in the Aleris Incremental Term Loans pursuant to an Assignment and Assumption between the Aleris Incremental Funding Date and the Aleris Syndication Termination Date (the “Aleris Syndication Period”), and any initial or subsequent assignee Lender of all or a portion of such interest (collectively, such Lender and such assignee Lender(s), a “Covered Aleris Lender”), any U.S. federal withholding Taxes imposed on amounts payable to or for the account of such Covered Aleris Lender with respect to such Lender’s interest in the Aleris Incremental Term Loans acquired by a Covered Aleris Lender during the Aleris Syndication Period and, solely for any Covered Aleris Payment Date occurring after the Aleris Syndication Termination Date, held as of the end of the Aleris Syndication Period (or acquired subsequent to the Aleris Syndication Period pursuant to an assignment from a Covered Aleris Lender) (such interest in an Aleris Incremental Term Loan, a “Covered Aleris Loan”); provided that Covered Aleris Syndication Taxes shall not include (i) Excluded Taxes or (ii) Taxes for which the Lenders are indemnified by the Co-Borrowers hereunder without regard to the indemnification for Covered Aleris Syndication Taxes.  For the avoidance of doubt, Covered Aleris Syndication Taxes shall not include any U.S. federal withholding Taxes imposed on amounts payable to or for the account of a Covered Aleris Lender with respect to an interest in Aleris Incremental Term Loans (or Aleris Incremental Term Loan Commitments in respect thereof) pursuant to a change in law after the date on which such Lender acquires an interest in such Loan or Commitment, or U.S. federal withholding Taxes that, pursuant to Section 2.15, were payable to such Lender’s assignor immediately before such Lender became a party hereto.
“CRD IV” means Directive 2013/36/EU of June 26, 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directive 2006/48/EC and 2006/49/EC.
“Credit Agreement Refinancing Indebtedness” shall mean (a) Permitted First Priority Refinancing Debt, (b) Permitted Second Priority Refinancing Debt, (c) Permitted Unsecured Refinancing Debt or (d) Indebtedness incurred pursuant to a Refinancing Amendment, in each case, issued, incurred or otherwise obtained (including by means of the extension or renewal of existing Indebtedness) in exchange for, or to extend, renew, replace or refinance, in whole or part, existing Term Loans (including any successive Credit Agreement Refinancing Indebtedness) (“Refinanced Debt”); provided that (i) such extending, renewing or refinancing Indebtedness is in an original aggregate principal amount not greater than the aggregate principal amount of the Refinanced Debt (except for unpaid accrued interest and premium thereon and any make-whole payments applicable thereto), (ii) such Indebtedness has a final maturity date no earlier than the final maturity date of, and has a Weighted Average Life to Maturity equal to or greater than the Weighted Average Life to Maturity of, the Refinanced Debt and (iii) such Refinanced Debt shall be repaid, defeased or satisfied and 

    
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discharged, and all accrued interest, fees and premiums (if any) in connection therewith shall be paid, on the date such Credit Agreement Refinancing Indebtedness is issued, incurred or obtained.
“Credit Extension” shall mean the making of a Loan by a Lender.
“CRR” shall mean Regulation (EU) no. 575/2013 of June 26, 2013 on prudential requirements for credit institutions and investment firms and amending regulation (EU) no. 648/2012.
“Cumulative Credit” shall mean, at any date, an amount equal to:
(a)    $328,000,000; plus
(b)    50% of the aggregate Consolidated Net Income accrued during the period commencing on October 1, 2016 to and including the last day of the fiscal quarter most recently ended for which the Designated Company has delivered to the Administrative Agent the financial statements required to be delivered by Section 5.01(a) or Section 5.01(b), taken as a single accounting period (or, in the event Consolidated Net Income for such period is a deficit, minus 100% of such deficit); plus
(c)    100% of the Net Cash Proceeds received by, (w) prior to the Designated Holdco Effective Date, Holdings from the issuance of Qualified Capital Stock of Holdings or as a capital contribution to Holdings after the Closing Date to the extent that such Net Cash Proceeds are immediately contributed by Holdings to the Designated Company following such sale or contribution to Holdings (including the Net Cash Proceeds of a Qualified IPO), (x) on and after the Designated Holdco Effective Date, from the issuance of Qualified Capital Stock of Designated Holdco or as a capital contribution to Designated Holdco (including the Net Cash Proceeds of a Qualified IPO), (y) Borrower from the issuance of Qualified Capital Stock of the Borrower in a Qualified Borrower IPO and (z) Borrower from the issuance of Qualified Capital Stock of Borrower after a Qualified Borrower IPO; provided that, in each case, no issuances to or contributions from a Restricted Subsidiary shall be counted for the purposes of this clause (c); plus
(d)    the aggregate net cash proceeds received by the Designated Company or any Restricted Subsidiary from the issuance or sale after the Closing Date of convertible or exchangeable Indebtedness that has been converted into or exchanged for Qualified Capital Stock of Holdings (prior to the Designated Holdco Effective Date), Designated Holdco (on and after the Designated Holdco Effective Date) or of the Borrower after a Qualified Borrower IPO, excluding:
(i)    any such Indebtedness issued or sold to any Loan Party or a Subsidiary of any Loan Party or an employee stock ownership plan or trust established by any Loan Party or any such Subsidiary for the benefit of their employees, and
(ii)    the aggregate amount of any cash or other property distributed by Holdings, the Designated Company or any Restricted Subsidiary upon any such conversion or exchange; plus
(e)    the net reduction in Investments made in reliance on the Cumulative Credit pursuant to Section 6.04(r)(ii) in any person other than the Designated Company or an Unrestricted Grantor 

    
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resulting from cash dividends, repayments of loans or advances or other transfers of property (valued at fair market value), in each case to the Designated Company or any Unrestricted Grantor; provided that the foregoing amount shall not exceed, in the case of any person, the amount of Investments made after the Closing Date by the Designated Company or any Unrestricted Grantor in such person in reliance on the Cumulative Credit pursuant to Section 6.04(r)(ii); plus
(f)    the aggregate amount of prepayments refused by Lenders pursuant to Section 2.10(g)(iii); plus
(g)    upon the redesignation of any Unrestricted Subsidiary as a Restricted Subsidiary pursuant to Section 5.16, the lesser of (i) the fair market value of the net assets of such Unrestricted Subsidiary at the time of redesignation and (ii) the aggregate amount of Investments made by the Designated Company or any of its Restricted Subsidiaries in reliance on the Cumulative Credit pursuant to Section 6.04(r)(ii) in such Unrestricted Subsidiary after the Closing Date and prior to such redesignation; minus
(h)    in each case from and after the Closing Date, (x) the cumulative amount of all Investments made pursuant to Section 6.04(r)(ii), (y) the cumulative amount of all Dividends made pursuant to Section 6.08(c), Section 6.08(d)(i), Section 6.08(i) and Section 6.08(j) and (z) the cumulative amount of all payments and redemptions of Indebtedness made pursuant to Section 6.11(a)(i)(z)(1); minus
(i)    if, at such date of determination, the Total Net Leverage Ratio determined on a Pro Forma Basis as of the last day of the most recently ended fiscal quarter for which the Designated Company has delivered to the Administrative Agent the financial statements required to be delivered by Section 4.01(e), Section 5.01(a) or Section 5.01(b) would be greater than or equal to 3.5 to 1.0, the cumulative amount of Recapture Amounts paid since the Closing Date.
“DB Cash Pooling Arrangements” shall mean the cash pooling arrangements among the Borrower, certain other Loan Parties and Deutsche Bank pursuant to the Transaction Banking Services Agreement among such parties and any documents ancillary thereto.
“Debt Issuance” shall mean the incurrence by Holdings, the Designated Company or any of its Restricted Subsidiaries of any Indebtedness after the Closing Date (other than as permitted by Section 6.01).
“Debt Service” shall mean, for any period, Cash Interest Expense for such period plus scheduled principal amortization of all Indebtedness paid in such period.
“Debtor Relief Laws” shall mean the Bankruptcy Code of the United States,  the Bankruptcy and Insolvency Act (Canada), the Companies’ Creditors Arrangement Act (Canada) and all other liquidation, conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, arrangement, rearrangement, readjustment, composition, liquidation, receivership, insolvency, reorganization, examination or similar debtor relief or debt adjustment laws (including any applicable corporate statute) of the United States or other applicable jurisdictions from time to time in effect and affecting the rights of creditors generally.

    
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“Default” shall mean an Event of Default or an event, occurrence or condition which is, or upon notice, lapse of time or both would constitute, an Event of Default.
“Default Rate” shall have the meaning assigned to such term in Section 2.06(c).
“Defaulting Lender” shall mean, subject to Section 2.18(b), any Lender that, as determined by the Administrative Agent, (a) has failed to perform any of its funding obligations hereunder within three Business Days of the date required to be funded by it hereunder, absent a good faith dispute with respect to such obligation, (b) has notified the Designated Company or the Administrative Agent that it does not intend to comply with its funding obligations or has made a public statement to that effect with respect to its funding obligations hereunder or generally under other agreements in which it commits to extend credit, absent a good faith dispute with respect to such obligation, (c) has failed, within three Business Days after request by the Administrative Agent, to confirm in writing to the Administrative Agent that it will comply with its funding obligations hereunder (provided that such Lender shall cease to be Defaulting Lender pursuant to this clause (c) upon receipt of such written confirmation by the Administrative Agent), or (d) has, or has a direct or indirect parent company that has, other than pursuant to an Undisclosed Administration, (i) become the subject of any proceeding under any Debtor Relief Law, (ii) had a receiver, conservator, trustee, administrator, examiner or assignee for the benefit of creditors or similar Person charged with reorganization or liquidation of its business or a custodian appointed for it, (iii) taken any action in furtherance of, or indicated its consent to, approval of or acquiescence in any such proceeding or appointment, or (iv) become the subject of a Bail-In Action; provided that a Lender shall not be a Defaulting Lender solely by virtue of the ownership or acquisition of any equity interest in that Lender or any direct or indirect parent company thereof by a Governmental Authority.  
“Delegate” shall mean any delegate, agent, attorney, trustee or co-trustee appointed by the Collateral Agent or any Receiver.
“Designated Company” shall mean the Borrower or, on and after the Designated Holdco Effective Date, Designated Holdco.
“Designated Holdco” shall mean, on and after the Designated Holdco Effective Date, U.K. Holdco.
“Designated Holdco Effective Date” shall mean the date that (a) the actions described in clause (b) of the definition of Permitted Reorganization Actions are satisfied, and (b) the terms and conditions contained in the definitions of Permitted Reorganization and Permitted Reorganization Actions are satisfied in respect of the actions described in clause (a) above, and in respect of all Permitted Reorganization Actions commenced prior to the actions described in clause (a) above.
“Discount Participation Notice” shall have the meaning assigned to such term in the definition of “Discounted Purchase”.
“Discounted Purchase” shall mean, commencing with the date that is three months after the Syndication Termination Date, one or more purchases by a Co-Borrower (each, a “Purchase”) of Term 

    
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Loans originally made to such Co-Borrower in accordance with the provisions of Section 11.04(b)(v); provided that, each such Purchase is made on the following basis:  
(a)    Such Co-Borrower will notify the Administrative Agent in writing (a “Purchase Notice”) (and the Administrative Agent will deliver such Purchase Notice to each relevant Lender) that such Co-Borrower wishes to make an offer to purchase (i) from each Lender on a pro rata basis with respect to any Class of Term Loans on an individual tranche basis, Term Loans originally made to such Co-Borrower, in an aggregate principal amount as is specified by such Co-Borrower (the “Term Loan Purchase Amount”) with respect to each applicable tranche, subject to a discount to par expressed as a price at which such Co-Borrower would consummate the Purchase (the “Offer Price”) of such Term Loans to be purchased (it being understood that different Offer Prices and/or Term Loan Purchase Amounts may be offered with respect to different Classes of such Term Loans and, in such an event, each such offer will be treated as a separate offer pursuant to the terms of this Section); provided that the Purchase Notice shall specify that each Discount Participation Notice (as defined below) must be submitted by a date and time to be specified in the Purchase Notice, which date shall be no earlier than the tenth Business Day following the date of the Purchase Notice and no later than the twentieth Business Day following the date of the Purchase Notice; (ii) at the time of delivery of the Purchase Notice to the Administrative Agent, no Default shall have occurred and be continuing or would result therefrom (which condition shall be certified as being satisfied in such Purchase Notice) and (iii) the Term Loan Purchase Amount specified in each Purchase Notice delivered by such Co-Borrower to the Administrative Agent shall not be less than $25,000,000 in the aggregate;
(b)    Such Co-Borrower will allow each Lender holding the Class of Term Loans subject to the Purchase Notice to submit a notice of participation (each, a “Discount Participation Notice”) which shall specify (i) an acceptance of such Offer Price, and (ii) the principal amount of such Lender’s Class of Term Loans at which such Lender is willing to permit a purchase of all or a portion of its Term Loans made to such Co-Borrower to occur at each such Acceptable Price (the “Reply Amount”); provided that each Lender may elect to accept or reject such offer in its sole discretion;
(c)    In the event that the aggregate Reply Amounts relating to such Purchase Notice are insufficient to allow such Co-Borrower to complete a purchase of the entire Term Loan Purchase Amount, such Co-Borrower may, at its election, either (x) withdraw the Purchase Notice and terminate the Purchase or (y) subject to clause (e) below, complete the Purchase for the aggregate Reply Amounts at the Offer Price for the Purchase subject to the Purchase Notice; 
(d)    In the event that the aggregate Reply Amounts relating to such Purchase Notice are not less than the Term Loan Purchase Amount, such Co-Borrower shall purchase Term Loans originally made to such Co-Borrower from each Lender with one or more Discount Participation Notices at the Offer Price , in an aggregate principal amount equal to (x) the Term Loan Purchase Amount or (y) such greater amount, not to exceed the aggregate Reply Amounts relating to such Purchase Notice, as such Co-Borrower elects in its discretion (such Term Loans, 

    
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as applicable, being referred to as “Qualifying Loans” and such Lenders being referred to as “Qualifying Lenders”), in the case of clauses (x) and (y), subject to clauses (e), (f) and (g) below; provided that if the aggregate principal amount required to purchase the Qualifying Loans would exceed the Term Loan Purchase Amount, such Co-Borrower shall purchase Qualifying Loans ratably based on the aggregate principal amounts of all such Qualifying Loans tendered by each such Qualifying Lender; 
(e)    subject to Section 2.13, the Purchase shall be consummated pursuant to and in accordance with Section 11.04 and, to the extent not otherwise provided herein, shall otherwise be consummated pursuant to procedures (including as to timing, rounding and minimum amounts, Interest Periods, and other notices by such Co-Borrower) mutually acceptable to the Administrative Agent and such Co-Borrower (provided that such Purchase shall be required to be consummated no later than five Business Days after the time that Discount Participation Notices are required to be submitted by Lenders pursuant to the applicable Purchase Notice); 
(f)    upon submission by a Lender of a Discount Participation Notice, subject to the foregoing clause (e), such Lender will be irrevocably obligated to sell the entirety or its pro rata portion (as applicable pursuant to clause (d) above) of the Reply Amount at the Offer Price plus accrued and unpaid interest through the date of purchase to such Co-Borrower pursuant to Section 11.04 and as otherwise provided herein; and
(g)    purchases by such Co-Borrower of Qualifying Loans shall result in the immediate cancellation of such Qualifying Loans.
“Disqualified Capital Stock” shall mean any Equity Interest which, by its terms (or by the terms of any security into which it is convertible or for which it is exchangeable), or upon the happening of any event, (a) matures (excluding any maturity as the result of an optional redemption by the issuer thereof) or is mandatorily redeemable other than solely for Qualified Capital Stock, pursuant to a sinking fund obligation or otherwise, or is redeemable at the option of the holder thereof, in whole or in part, on or prior to 180 days after the Latest Maturity Date in effect at the time of issuance of such Equity Interest, (b) is convertible into or exchangeable (unless at the sole option of the issuer thereof) for (i) debt securities or (ii) any Equity Interests referred to in (a) above, in each case at any time on or prior to 180 days after the Latest Maturity Date in effect at the time of issuance of such Equity Interest, or (c) contains any mandatory repurchase obligation which may come into effect prior to 180 days after the Latest Maturity Date in effect at the time of issuance of such Equity Interest; provided, however, that any Equity Interests that would not constitute Disqualified Capital Stock but for provisions thereof giving holders thereof (or the holders of any security into or for which such Equity Interests is convertible, exchangeable or exercisable) the right to require the issuer thereof to redeem such Equity Interests upon the occurrence of a change in control or an asset sale occurring prior to 180 days after the Latest Maturity Date in effect at the time of issuance of such Equity Interest shall not constitute Disqualified Capital Stock if such Equity Interests provide that the issuer thereof will not redeem any such Equity Interests pursuant to such provisions prior to the repayment in full of the Obligations.
“Disqualified Institution” shall mean, on any date, (a) any Sanctioned Person and (b) any other Person that is a direct competitor of the Designated Company (other than a Person described in 

    
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clause (a) or (b) of the definition of Known Affiliate) or a Known Affiliate of a competitor, which Person has been designated by the Designated Company as a “Disqualified Institution” by written notice to the Administrative Agent from time to time after the 90th day following the Closing Date; provided that “Disqualified Institutions” shall exclude any Person that the Designated Company has designated as no longer being a “Disqualified Institution” by written notice delivered to the Administrative Agent from time to time.
“Distribution” shall mean, collectively, with respect to any Person, all dividends, cash, options, warrants, rights, instruments, distributions, returns of capital or principal, income, interest, profits and other property, interests (debt or equity) or proceeds, including as a result of a split, revision, reclassification or other like change of Equity Interests, from time to time received, receivable or otherwise distributed to such Person in respect of or in exchange for any or all of the Equity Interests or Intercompany Notes owned by such Person.
“Dividend” with respect to any person shall mean that such person has declared or paid a dividend or returned any equity capital to the holders of its Equity Interests or made any other distribution, payment or delivery of property (other than Qualified Capital Stock of such person) or cash to the holders of its Equity Interests as such, or redeemed, retired, purchased or otherwise acquired, directly or indirectly, for consideration any of its Equity Interests outstanding (or any options or warrants issued by such person with respect to its Equity Interests), or set aside any funds for any of the foregoing purposes, or shall have permitted any of its Subsidiaries to purchase or otherwise acquire for consideration any of the Equity Interests of such person outstanding (or any options or warrants issued by such person with respect to its Equity Interests).  Without limiting the foregoing, “Dividends” with respect to any person shall also include all payments made or required to be made by such person with respect to any stock appreciation rights, plans, equity incentive or achievement plans or any similar plans or setting aside of any funds for the foregoing purposes, except to the extent such payments reduce Consolidated Net Income.
“Dividend Recapture Amount” shall have the meaning assigned to such term in Section 6.08(d)(iii).
“Dollar Equivalent” shall mean, as to any amount denominated in any currency other than Dollars as of any date of determination, the amount of Dollars that would be required to purchase the amount of such currency based upon the Spot Selling Rate as of such date, and as to any amount denominated in Dollars, such amount in Dollars.
“Dollars” or “dollars” or “$” shall mean lawful money of the United States.
“DQ List” shall have the meaning assigned to such term in Section 11.04(g)(iv).
“Dubai Guarantor” shall mean each Restricted Subsidiary of the Designated Company organized in the Dubai International Financial Centre party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company organized in the Dubai International Financial Centre that becomes a Guarantor pursuant to the terms hereof.

    
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“Dubai Security Agreements” shall mean, collectively (i) any Security Agreements, including all subparts thereto, among any Dubai Guarantors (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any Dubai Guarantor or any Person who is the holder of Equity Interests in any Dubai Guarantor in favor of the Collateral Agent and the Secured Parties and, in the case of an Assignment of Credits Agreement, also in favor of the Revolving Credit Collateral Agent and the secured parties under the Revolving Credit Agreement, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of the Dubai International Financial Centre (or any subdivision thereof), securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“Dutch Guarantor” shall mean each Restricted Subsidiary of the Designated Company organized under the laws of the Netherlands party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company organized under the laws of the Netherlands that becomes a Guarantor pursuant to the terms hereof.
“Dutch Security Agreements” shall mean, collectively (i) any Security Agreements, including all subparts thereto, among any Dutch Guarantors (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any Dutch Guarantor or any Person who is the holder of Equity Interests in any Dutch Guarantor in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of the Netherlands (or any subdivision thereof), securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“EEA Financial Institution” shall mean (a) any credit institution or investment firm established in any EEA Member Country which is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country which is a parent of an institution described in clause (a) of this definition, or (c) any financial institution established in an EEA Member Country which is a Subsidiary of an institution described in clauses (a) or (b) of this definition and is subject to consolidated supervision with its parent.
“EEA Member Country” shall mean any of the member states of the European Union, Iceland, Liechtenstein, and Norway.
“EEA Resolution Authority” shall mean any public administrative authority or any Person entrusted with public administrative authority of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution.
“Effective Date” shall mean January 10, 2017.

    
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“Eligible Assignee” shall mean (a) any Lender, (b) an Affiliate of any Lender, (c) an Approved Fund of a Lender and (d) any other person approved, in the case of this clause (d) only, by the Designated Company (such approval not to be unreasonably withheld or delayed and such approval shall be deemed given if no objection is made by the Designated Company within five Business Days after receipt of a notice of an assignment proposing such person as an assignee of any interest in any Loans); provided that (x) no approval of the Designated Company shall be required during the continuance of an Event of Default or on or prior to the Syndication Termination Date, (y) ”Eligible Assignee” shall not include Holdings or any of its Affiliates or Subsidiaries (other than, commencing with the date that is three months after the Syndication Termination Date, each Co-Borrower, solely to the extent that such Co-Borrower purchases or acquires Term Loans originally made to such Co-Borrower pursuant to a Discounted Purchase and effects a Cancellation immediately upon such purchase or acquisition pursuant to documentation reasonably satisfactory to the Administrative Agent) or any natural person and (z) each assignee Lender shall be subject to each other applicable requirement regarding Lenders hereunder. Any Disqualified Institution is subject to Section 11.04(g) hereof.
“Embargoed Person” shall have the meaning assigned to such term in Section 6.21.
“Environment” shall mean the natural environment, including air (indoor or outdoor), surface water and groundwater (including potable water, navigable water and wetlands), the land surface or subsurface strata, natural resources, sewer systems, the workplace or as otherwise defined in any Environmental Law.
“Environmental Claim” shall mean any claim, notice, demand, order, action, suit, proceeding or other formal communication alleging liability for or obligation with respect to any investigation, remediation, removal, cleanup, response, corrective action, damages to natural resources, personal injury, property damage, fines, penalties or other costs resulting from, related to or arising out of (i) the presence, Release or threatened Release in or into the Environment of Hazardous Material at any location or (ii) any violation or alleged violation of any Environmental Law, and shall include any claim seeking damages, contribution, indemnification, cost recovery, compensation or injunctive relief resulting from, related to or arising out of the presence, Release or threatened Release of Hazardous Material or alleged injury or threat of injury to the Environment or to human health or safety relating to or arising out of the use of, exposure to or Releases or threatened Releases of Hazardous Material.
“Environmental Law” shall mean any and all treaties, laws, statutes, ordinances, regulations, rules, decrees, orders, judgments, consent orders, consent decrees, code or other legally binding requirements (including the Guide d’Intervention – Protection des sols et de réhabilitation des terrains contaminés of the Quebec Ministry of Sustainable Development, Environment and Fight Against Climate Change), and the common law and civil law, relating to protection of human health or the Environment, the Release or threatened Release of Hazardous Material, natural resources or natural resource damages, or occupational safety or health, and any and all Environmental Permits.
“Environmental Permit” shall mean any permit, license, approval, registration, notification, exemption, consent or other authorization required by or from a Governmental Authority under Environmental Law.

    
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“Equipment” shall mean “equipment,” as such term is defined in the UCC, in which such Person now or hereafter has rights.
“Equity Interest” shall mean, with respect to any person, any and all shares, interests, participations or other equivalents, including membership interests (however designated, whether voting or nonvoting), of equity of such person, including, if such person is a partnership, partnership interests (whether general or limited) and 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 property of, such partnership, whether outstanding on the Closing Date or issued after the Closing Date, but excluding debt securities convertible or exchangeable into such equity. 
“ERISA” shall mean the Employee Retirement Income Security Act of 1974, as the same may be amended from time to time.
“ERISA Affiliate” shall mean, with respect to any person, any trade or business (whether or not incorporated) that, together with such person, is treated as a single employer under Section 414 of the Code.
“ERISA Event” shall mean (a) any “reportable event,” as defined in Section 4043 of ERISA or the regulations issued thereunder, with respect to a Plan (other than an event for which the thirty (30) day notice period is waived by regulation); (b) the failure to meet the minimum funding standard of Section 412 of the Code with respect to any Plan whether or not waived; (c) the failure to make by its due date a required installment under Section 430(j) of the Code with respect to any Plan or the failure to make any required contribution to a Multiemployer Plan; (d) the filing pursuant to Section 412 of the Code or Section 303(d) of ERISA of an application for a waiver of the minimum funding standard with respect to any Plan; (e) the incurrence by any Company or any of its ERISA Affiliates of any liability under Title IV of ERISA with respect to the termination of any Plan, other than for PBGC premiums due but not delinquent under Section 4007 of ERISA; (f) the receipt by any Company or any of its ERISA Affiliates from the PBGC or a plan administrator of any notice relating to the intention to terminate any Plan or Plans or to appoint a trustee to administer any Plan; (g) the occurrence of any event or condition which could reasonably be expected to constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Plan; (h) the incurrence by any Company or any of its ERISA Affiliates of any liability with respect to the withdrawal from any Plan subject to Section 4063 of ERISA or a cessation of operation that is treated as a withdrawal under Section 406(e) of ERISA; (i) a complete or partial withdrawal by any Company or any ERISA Affiliate from a Multiemployer Plan resulting in material Withdrawal Liability or a determination that a Multiemployer Plan is, or is expected to be, insolvent or in reorganization, within the meaning of Title IV of ERISA; (j) the making of any amendment to any Plan which could result in the imposition of a lien or the posting of a bond or other security; and (k) the occurrence of a nonexempt prohibited transaction (within the meaning of Section 4975 of the Code or Section 406 of ERISA) which could reasonably be expected to result in a Material Adverse Effect.
“EU Bail-In Legislation Schedule” shall mean the EU Bail-In Legislation Schedule published by the Loan Market Association (or any successor person), as in effect from time to time.

    
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“Euro” shall mean the lawful currency of the Participating Member States introduced in accordance with the legislative measures of the European Council for the introduction of, changeover to or operation of a single unified European currency.
“Eurodollar Base Rate” shall mean, for any Interest Period,  the rate per annum equal to the rate per annum determined by the Administrative Agent at approximately 11:00 a.m. (London time) on the date that is two London Banking Days prior to the commencement of such Interest Period by reference to the ICE Benchmark Administration Interest Settlement Rates for Dollar deposits, as published by Reuters or any other service selected by the Administrative Agent that has been nominated by the ICE Benchmark Administration Limited as an authorized information vendor for the purpose of displaying such rates (the “Screen Rate”), with a term equivalent to such Interest Period; provided that if no Screen Rate is available for such Interest Period, then the “Eurodollar Base Rate” for such Interest Period shall be the Interpolated Screen Rate for a period equal in length to such Interest Period; provided, further, that if the Interpolated Screen Rate is not available at such time for any reason, then the “Eurodollar Base Rate” for such Interest Period shall be the rate per annum determined by the Administrative Agent equal to the average of rates per annum at which deposits in Dollars are offered for such Interest Period to the Administrative Agent by three leading banks in the London interbank market in London, England at approximately 11:00 a.m. (London time) on the date which is two London Banking Days prior to the commencement of such Interest Period; provided, further, that if the Eurodollar Base Rate shall be less than zero, such rate shall be deemed zero for purposes of this Agreement. Each determination by Administrative Agent pursuant to this definition shall be conclusive absent manifest error.  
“Eurodollar Rate” shall mean for any Interest Period with respect to a Eurodollar Rate Loan, a rate per annum determined by the Administrative Agent pursuant to the following formula:
	
		
	Eurodollar Rate  =
	                 Eurodollar Base Rate    
1.00 – Eurodollar Reserve Percentage

 
“Eurodollar Rate Borrowing” shall mean a Borrowing comprised of Eurodollar Rate Loans.
“Eurodollar Rate Loan” shall mean a Term Loan that bears interest at a rate determined by reference to the Eurodollar Rate.
“Eurodollar Reserve Percentage” shall mean, for any day during any Interest Period, the reserve percentage (expressed as a decimal, carried out to five decimal places) in effect on such day, whether or not applicable to any Lender, under regulations issued from time to time by the Board for determining the maximum reserve requirement (including any emergency, supplemental or other marginal reserve requirement) with respect to Eurodollar funding (currently referred to as “Eurocurrency liabilities”). The Eurodollar Rate for each outstanding Eurodollar Rate Loan shall be adjusted automatically as of the effective date of any change in the Eurodollar Reserve Percentage, and no earlier than the date that the Administrative Agent obtains knowledge thereof.

    
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“Event of Default” shall have the meaning assigned to such term in Section 8.01.
“Excess Cash Flow” shall mean, for any Excess Cash Flow Period, Consolidated EBITDA for such Excess Cash Flow Period, minus, without duplication:
(a)    Debt Service for such Excess Cash Flow Period;
(b)    the aggregate amount of prepayments, redemptions and repurchases (to the extent resulting in cancellation of the underlying obligation and in the case of revolving Indebtedness, a simultaneous permanent reduction in commitments) made by the Designated Company and its Restricted Subsidiaries from Internally Generated Cash Flow during such Excess Cash Flow Period in respect of principal on Capital Lease Obligations, Purchase Money Obligations, Additional Senior Secured Indebtedness and any Indebtedness of a Restricted Subsidiary that is not a Loan Party (and, in the case of prepayments of any revolving Indebtedness, to the extent accompanied by a simultaneous permanent reduction in an equal amount of the revolving commitments in respect of such Indebtedness), in each case, so long as such amounts are not already reflected in Debt Service, during such Excess Cash Flow Period;  
(c)    Capital Expenditures during such Excess Cash Flow Period (excluding Capital Expenditures made in such Excess Cash Flow Period where a certificate in the form contemplated by the following clause (d) was previously delivered) that are paid in cash from Internally Generated Cash Flow;
(d)    Capital Expenditures that the Designated Company or any of its Restricted Subsidiaries shall, during such Excess Cash Flow Period, become obligated to make but that are not made during such Excess Cash Flow Period; provided that the Designated Company shall deliver a certificate to the Administrative Agent not later than 105 days after the end of such Excess Cash Flow Period, signed by a Responsible Officer of the Designated Company and certifying that such Capital Expenditures will be made in the following Excess Cash Flow Period from Internally Generated Cash Flow; 
(e)    the aggregate amount of Investments made in cash during such Excess Cash Flow Period from Internally Generated Cash Flow pursuant to Sections 6.04(e), (h), (l), (m) and (r)(i), (iii), (iv) and (v);
(f)    (i) taxes of the Designated Company and its Restricted Subsidiaries that were paid in cash during such Excess Cash Flow Period (excluding taxes paid in such Excess Cash Flow period where a certificate contemplated by the following clause (ii) was previously delivered) and (ii) taxes of the Designated Company and its Restricted Subsidiaries that will be paid within six months after the end of such Excess Cash Flow Period and for which reserves have been established; provided that the Designated Company shall deliver a certificate to the Administrative Agent not later than 105 days after the end of such Excess Cash Flow Period, signed by a Responsible Officer of the Designated Company and certifying that such taxes will be paid within such six month period;
(g)    the absolute value of the difference, if negative, of the amount of Net Working Capital at the end of the prior Excess Cash Flow Period (or, in the case of the Excess Cash Flow Period for the first complete fiscal year of the Designated Company commencing after the Closing Date, at the 

    
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first day of such Excess Cash Flow Period) over the amount of Net Working Capital at the end of such Excess Cash Flow Period (excluding or removing any impacts from non-cash currency translation adjustments, non-cash unrealized derivatives, non-cash reclassifications, interest, income taxes and dividends); 
(h)    to the extent added to determine Consolidated EBITDA and paid in cash during such Excess Cash Flow Period, cash charges referred to in clauses (x)(e)(i) and (ii) of the definition of Consolidated EBITDA; 
(i)    losses excluded from the calculation of Consolidated Net Income by operation of clause (d) of the definition thereof that are paid or realized in cash during such Excess Cash Flow Period; 
(j)    cash payments made in satisfaction of non-current liabilities reflected on the balance sheet of the Designated Company (excluding payments of Indebtedness for borrowed money) paid from Internally Generated Cash Flow;
(k)    cash payments associated with realized currency derivatives hedging non-current assets and liabilities paid from Internally Generated Cash Flow;
(l)    (i) Dividends paid in cash to Holdings to the extent permitted pursuant to Section 6.08, (ii) Management Fees paid in cash during such Excess Cash Flow period in accordance with Section 6.08(c) and (iii) Dividends paid in cash to holders of Equity Interests of Restricted Subsidiaries other than any Company or any Unrestricted Subsidiary, in each case, from Internally Generated Cash Flow; 
(m)    to the extent added to determine Consolidated EBITDA, all items that did not result from a cash payment to the Designated Company or any of its Restricted Subsidiaries on a consolidated basis during such Excess Cash Flow Period;
(n)    the aggregate amount of any premium, make-whole or penalty payments or fees actually paid in cash by the Designated Company and its Restricted Subsidiaries during such Excess Cash Flow Period that are made in connection with any prepayment of Indebtedness or incurrence of Indebtedness  permitted hereunder, in each case, from Internally Generated Cash Flow; and
(o)    an amount equal to the aggregate non-cash gain on Asset Sales by the Designated Company and its Restricted Subsidiaries during such Excess Cash Flow Period;
provided that any amount deducted pursuant to any of the foregoing clauses that will be paid after the close of such Excess Cash Flow Period shall not be deducted again in a subsequent Excess Cash Flow Period; plus, without duplication:
(i)    the difference, if positive, of the amount of Net Working Capital at the end of the prior Excess Cash Flow Period (or, in the case of the Excess Cash Flow Period for the first complete fiscal year of the Designated Company commencing after the Closing Date, at the first day of such Excess Cash Flow Period) over the amount of Net Working Capital at the end of such Excess Cash Flow Period (excluding or removing any impacts from non-cash 

    
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currency translation adjustments, non-cash unrealized derivatives, non-cash reclassifications, interest, income taxes and dividends);
(ii)    to the extent any permitted Capital Expenditures referred to in clause (d) above do not occur in the Excess Cash Flow Period specified in the certificate of the Designated Company provided pursuant to clause (d) above, such amounts of Capital Expenditures that were not so made in the Excess Cash Flow Period specified in such certificates;
(iii)    to the extent any tax payments referred to in clause (f)(ii) above do not occur in the Excess Cash Flow Period specified in the certificate of the Designated Company provided pursuant to clause (f)(ii) above, such amounts of tax payments that were not so made in the Excess Cash Flow Period specified in such certificates;
(iv)    to the extent not reflected in Consolidated EBITDA for such Excess Cash Flow Period, any return on or in respect of Investments received in cash during such period, which Investments were made from Internally Generated Cash Flow pursuant to Sections 6.04(e), (h), (l), (m) and (r)(i), (iii), (iv) and (v);
(v)    income and gains excluded from the calculation of Consolidated Net Income in any period by operation of clause (d) of the definition thereof or excluded from the calculation of Consolidated EBITDA by operation of clause (z)(c) of the definition thereof that are realized in cash during such Excess Cash Flow Period; 
(vi)    cash receipts associated with realized currency derivatives hedging non-current assets and liabilities; 
(vii)    to the extent subtracted in determining Consolidated EBITDA, all items that did not result from a cash payment by the Designated Company or any of its Subsidiaries on a consolidated basis during such Excess Cash Flow Period (other than accruals paid or to be paid in the ordinary course); and
(viii)    an amount equal to the aggregate non-cash loss on Asset Sales by the Designated Company and its Restricted Subsidiaries during such Excess Cash Flow Period;
provided, that, notwithstanding anything to the contrary in this definition, if the Designated Holdco Effective Date occurs during an Excess Cash Flow Period, then solely for the purposes of calculating Excess Cash Flow for such Excess Cash Flow Period, each reference in this definition to the Designated Company shall mean, without duplication, both the Borrower and Designated Holdco.

    
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“Excess Cash Flow Percentage” shall have the meaning assigned to such term in Section 2.10(f). 
“Excess Cash Flow Period” shall mean each fiscal year of the Designated Company, beginning with the fiscal year of the Designated Company ending March 31, 2018.
“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended.
“Excluded Collateral Subsidiary” shall mean, at any date of determination, any Restricted Subsidiary other than a Specified Aleris Subsidiary designated as such in writing by the Designated Company to the Administrative Agent that:
(x)  (i) contributed 2.5% or less of Consolidated EBITDA for the period of four fiscal quarters most recently ended for which financial statements have been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of determination, and (ii) had consolidated assets representing 2.5% or less of the Consolidated Total Assets of the Designated Company and its Restricted Subsidiaries on the last day of the most recent fiscal quarter ended for which financial statements have been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of determination; 

(y)    together with all other Restricted Subsidiaries constituting Excluded Collateral Subsidiaries (i) contributed 7.5% or less of Consolidated EBITDA for the period of four fiscal quarters most recently ended for which financial statements have been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of determination, and (ii) had consolidated assets representing 7.5% or less of the Consolidated Total Assets of the Designated Company and its Restricted Subsidiaries on the last day of the most recent fiscal quarter ended for which financial statements have been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of determination; and 

(z) is not a Loan Party on the Closing Date; provided that no Loan Party shall constitute an Excluded Collateral Subsidiary except to the extent such Loan Party issues Equity Interests to Persons other than a Company pursuant to Section 6.06(l) and immediately prior to such issuance such Person would have otherwise qualified as an Excluded Collateral Subsidiary under clause (x) and (y) above.  
The Excluded Collateral Subsidiaries as of the Effective Date are listed on Schedule 1.01(c).
“Excluded Contract” shall have the meaning assigned to such term in the definition of “Excluded Property”.
“Excluded Equity Interests” shall mean (a) any Equity Interests of any Person with respect to which the cost or other consequences (including any adverse tax consequences) of pledging such Equity Interests shall be excessive in view of the benefits to be obtained by the Lenders therefrom as 

    
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reasonably determined by the Administrative Agent and the Designated Company, (b) (i) any Equity Interests to the extent the pledge thereof would be prohibited by any applicable law or contractual obligation (only to the extent such prohibition is applicable and not rendered ineffective by any applicable law and, in the case of any such contractual obligation, permitted under Section 6.19 hereof) and (ii) the Equity Interests of any Unrestricted Subsidiary and (c) the Chinese Subsidiary Equity Interests, unless the Required Lenders reasonably determine that the value of the Chinese Subsidiary Equity Interests, if pledged, would be material to the Collateral, taken as a whole, and request the pledge of such Chinese Subsidiary Equity Interests (in which case such Chinese Subsidiary Equity Interests shall cease to be Excluded Equity Interests sixty days (or such later date agreed by the Administrative Agent) following receipt of such request); provided that the Equity Interests issued by a Specified Aleris Subsidiary shall not constitute Excluded Equity Interests.

“Excluded Factoring Bank Accounts” shall have the meaning assigned to such term in the definition of “Excluded Property”.

“Excluded Property” shall mean (a) any Excluded Equity Interests, (b) any property, including the rights under any contract or agreement (an “Excluded Contract”) to the extent that the grant of a Lien thereon (i) is prohibited by applicable law or contractual obligation so long as such contractual obligations are not entered into in contemplation of such prohibition, (ii) requires a consent not obtained of any governmental authority pursuant to such applicable law or any third party pursuant to any contract between the Designated Company or any Subsidiary and such third party or (iii) would trigger a termination event pursuant to any “change of control” or similar provision, in each case pursuant to this clause (a), except to the extent such anti-assignment or negative pledge is not enforceable under the UCC or other applicable Requirements of Law, or such contractual obligation is prohibited under Section 6.19 hereof, (b) United States intent‐to‐use trademark applications to the extent that, and solely during the period in which, the grant of a Lien thereon would impair the validity or enforceability of such intent‐to‐use trademark applications under applicable United States federal law, (c) local petty cash deposit accounts maintained by the Designated Company and its Restricted Subsidiaries in proximity to their operations, (d) payroll accounts maintained by the Designated Company and its Subsidiaries, (e) Property that is, or is to become, subject to a Lien securing a Purchase Money Obligation or Capital Lease Obligation permitted to be incurred pursuant to this Agreement, if the contract or other agreement in which such Lien is granted (or the documentation providing for such Purchase Money Obligation or Capital Lease Obligation) validly prohibits the creation of any other Lien on such Property and such prohibition is permitted under Section 6.19 hereof, (f)(x) any leasehold real property and (y) any fee-owned real property having an individual fair market value not exceeding $10,000,000, (g) any Letter-of-Credit Rights that are not Supporting Obligations (each as defined in the UCC), (h) the Specified Immaterial Property, unless the Required Lenders reasonably determine that the value of any portion of the Specified Immaterial Property, if pledged, would be material to the Collateral, taken as a whole, and request the pledge of such Specified Immaterial Property (in which case such material portion of the Specified Immaterial Property shall cease to be Excluded Property sixty days (or such later date agreed by the Administrative Agent) following receipt of such request), 

    
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(i) any other property (other than property owned by a Specified Aleris Subsidiary) with respect to which the cost or other consequences (including any materially adverse tax consequences) of pledging such property shall be excessive in view of the benefits to be obtained by the Lenders therefrom as reasonably determined by the Administrative Agent, (j) Equipment located at owned or leased locations in Brazil where the aggregate fair market value of the Equipment located at such location does not exceed $5,000,000, (k) if the aggregate fair market value of Equipment located at the plant operated by Novelis do Brasil Ltda., at Av. Buriti, 1.087, CEP 12441-270, Feital – Pindamonhangaba-SP, Brazil (the “Specified Brazilian Expansion”) that is not pledged in favor of the Collateral Agent to secure the Secured Obligations is less than $100,000,000, then such Equipment shall not be required to be so pledged until the earlier of (i) the date that is two years after the commencement of the Specified Brazilian Expansion, and (ii) the date that the Companies complete or otherwise discontinue work on the expansion of such plant, and (l) Factoring Bank Accounts in respect of any Permitted Customer Account Financing or other Permitted Factoring Facility, solely to the extent that (i) such financing or facility remains in full force and effect or, if factored receivables continue to be settled using such account, until the earlier of the date that the last such factored receivable has settled and the date that such account is closed, (ii) such Factoring Bank Accounts constitute Factoring Assets solely in respect of such Permitted Customer Account Financing or such other Permitted Factoring Facility, (iii) such Factoring Bank Accounts are segregated (and the deposits therein not commingled with Collateral) in a manner reasonably satisfactory to the Revolving Credit Administrative Agent (with written confirmation of such determination provided to the Administrative Agent), and (iv) Holdings or the Designated Company shall have executed and delivered a certificate to the Administrative Agent, no later than two Business Days after entering into a Permitted Customer Account Financing or other Permitted Factoring Facility, attaching a description of such Factoring Bank Accounts subject to such financing or facility, and certifying that the terms of such financing or facility comply with the requirements set forth in this clause (l) (Factoring Bank Accounts that continue to satisfy the requirements of subclauses (i) through (iv) of this clause (l), the “Excluded Factoring Bank Accounts”); provided that the Equity Interests issued by a Specified Aleris Subsidiary shall not constitute Excluded Equity Interests.
“Excluded Subsidiaries” shall mean Restricted Subsidiaries of Holdings that are not organized in a Principal Jurisdiction.
“Excluded Swap Obligation” shall mean, with respect to any Guarantor (or any Co-Borrower with respect to the obligations of any other Loan Party under any Hedging Agreement entered into with a counterparty that is a Secured Party), any Swap Obligation if, and to the extent that, all or a portion of the Guarantee of such Guarantor (or such Co-Borrower as the case may be) of, or the grant by such Guarantor (or such Co-Borrower as the case may be) of a security interest to secure, such Swap Obligation (or any Guarantee thereof) is or becomes illegal under the Commodity Exchange Act or any rule, regulation or order of the Commodity Futures Trading Commission (or the application or official interpretation of any thereof) by virtue of such Guarantor’s (or such Co-Borrower’s as the case may be) failure for any reason to constitute an “eligible contract participant” as defined in the Commodity Exchange Act and the regulations thereunder at the time the Guarantee of such Guarantor (or such Co-Borrower as the case may be) or the grant of such security interest becomes effective with respect to such Swap Obligation. If a Swap Obligation arises under a master agreement governing 

    
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more than one swap, such exclusion shall apply only to the portion of such Swap Obligation that is attributable to swaps for which such Guarantee or security interest is or becomes illegal.
“Excluded Taxes” shall mean:
(a) with respect to the Agents, any Lender or any other recipient of any payment to be made by or on account of any obligation of any Co-Borrower hereunder other than an obligation in respect of the Aleris Incremental Term Loans, (i) Taxes imposed on or measured by overall net income (however denominated), franchise Taxes (in lieu of net income taxes), and branch profits Taxes, in each case, (A) imposed as a result of such recipient being organized under the laws of, or having its principal office or, in the case of any Lender, its applicable lending office located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (B) that are Other Connection Taxes, (ii) Taxes attributable to such recipient’s failure to comply with Section 2.15(e), and (iii) any U.S. federal withholding Taxes imposed under FATCA; and
“Excluded Taxes” shall mean,(b) with respect to the Agents, any Lender or any other recipient of any payment to be made by or on account of any obligation of any Co-Borrower hereunder in respect of the Aleris Incremental Term Loans, (ai) Taxes imposed on or measured by overall net income (however denominated), franchise Taxes (in lieu of net income taxes), and branch profits Taxes, in each case, (iA) imposed as a result of such recipient being organized under the laws of, or having its principal office or, in the case of any Lender, its applicable lending office located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (iiB) that are Other Connection Taxes, (bii) solely to the extent that each Co-Borrower under the Aleris Incremental Term Loans is a domestic corporation as defined in Section 7701(a)(30)(C) of the Code (or is a limited liability company that is disregarded as an entity separate from its owner for United States federal income tax purposes and is wholly owned by a domestic corporation), and solely in the case of a Lender that is not a Covered Aleris Lender, withholding Taxes imposed on amounts payable to or for the account of such Lender with respect to an applicable interest in Aleris Incremental Term Loans (or Aleris Incremental Term Loan Commitments in respect thereof) pursuant to a law in effect on the date on which such Lender acquires such interest in such Loan or Commitment (other than pursuant to an assignment request under Section 2.16), except in each case to the extent that, pursuant to Section 2.15, amounts with respect to such Taxes were payable to such Lender's assignor immediately before such Lender became a party hereto pursuant to an Assignment and Assumption, (iii) Taxes attributable to such recipient’s failure to comply with Section 2.15(e), and (civ) any U.S. federal withholding Taxes imposed under FATCA.
“Executive Order” shall have the meaning assigned to such term in Section 3.22.
“Existing Credit Agreement” shall mean that certain Amended and Restated Credit Agreement, dated as of June 2, 2015, among Novelis Inc., as borrower, the other loan parties party thereto, the lenders party thereto, Bank of America, N.A., as administrative agent and as collateral agent, and the other parties thereto, as amended, restated, supplemented or modified prior to the Closing Date.
“Existing Lien” shall have the meaning assigned to such term in Section 6.02(c).

    
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“Factoring Assets” shall mean all existing or hereafter acquired or arising (i) Receivables that are sold, transferred or disposed of pursuant to a Permitted Factoring Facility permitted under Section 6.06(e), (ii) Related Security with respect to the Receivables referred to in clause (i) above, (iii) collections and proceeds of the Receivables and Related Security referred to in clauses (i) and (ii) above, (iv) lockboxes, lockbox accounts, collection accounts or other deposit accounts substantially all of the deposits of which consist of such collections and proceeds referred to in clause (iii) above and which have been specifically identified and consented to by the Revolving Credit Administrative Agent (the lockboxes and accounts described in this clause (iv), “Factoring Bank Accounts”), (v) without duplication of the foregoing clauses (i) through (iv), rights and payments which relate solely to the Receivables referred to in clause (i) above and (vi) cash reserves comprising credit enhancements for such Permitted Factoring Facility.

“Factoring Bank Accounts” shall have the meaning assigned to such term in clause (iv) of the definition of Factoring Assets.

“Fallback Rate” shall mean, in relation to a Borrowing, subject to Section 1.07, (a) if no Eurodollar Rate is available for the relevant currency or Interest Period, the Reference Bank Rate as of the Specified Time for the currency of that Borrowing and for a period equal in length to the Interest Period of that Borrowing, or (b) if neither a Eurodollar Rate nor a Reference Bank Rate is available for the relevant currency or Interest Period, the Cost of Funds shall apply to that Borrowing for that Interest Period.

“Fallback Rate Borrowing” shall mean a Borrowing comprised of Fallback Rate Loans.

“Fallback Rate Loan” shall mean a Term Loan that bears interest based on the Fallback Rate.
“FASB ASC” shall mean the Accounting Standards Codification of the Financial Accounting Standards Board.
“FATCA” shall mean (a) Sections 1471 to 1474 of the Code and any associated regulations; (b) any treaty, law or regulation of any other jurisdiction, or relating to any intergovernmental agreement between the United States and any other jurisdiction, which (in either case) facilitates the implementation of any law or regulation referred to in clause (a) above; or (c) any agreement pursuant to the implementation of any treaty, law or regulation referred to in clauses (a) or (b) above with the IRS, the U.S. government or any governmental or taxation authority in any other jurisdiction.
“FATCA Application Date” shall mean (a) in relation to a “withholdable payment” described in section 1473(1)(A)(i) of the Code (which relates to payments of interest and certain other payments from sources within the United States), July 1, 2014; (b) in relation to a “withholdable payment” 

    
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described in Section 1473(1)(A)(ii) of the Code (which relates to “gross proceeds” from the disposition of property of a type that can produce interest from sources within the United States), January 1, 2019; or (c) in relation to a “passthru payment” described in Section 1471(d)(7) of the Code not falling within paragraphs (a) or (b) above, January 1, 2019; or, in each case, such other date from which such payment may become subject to a deduction or withholding required by FATCA as a result of any change in FATCA after the date of this Agreement.
“FATCA Deduction” shall mean a deduction or withholding from a payment under a Loan Document required by FATCA.
“FATCA Exempt Party” shall mean a Party that is entitled to receive payments free from any FATCA Deduction.
“Fee Letters” means the Agent Fee Letter, the Upfront Fee Letter, the Aleris Fee Letter and each Additional Fee Letter.
“Fees” shall mean the fees and prepayment premiums payable hereunder or under each Fee Letter.
“Financial Performance Covenant” shall mean the covenant set forth in Section 6.14.
“Financial Officer” of any person shall mean the chief financial officer, principal accounting officer, treasurer or controller of such person.
“Financial Support Direction” shall mean a financial support direction issued by the Pensions Regulator under Section 43 of the Pensions Act 2004.
“FIRREA” shall mean the Federal Institutions Reform, Recovery and Enforcement Act of 1989, as amended.
“First Priority” shall mean, with respect to any Lien purported to be created in any Collateral pursuant to any Security Document, that such Lien is the most senior Lien to which such Collateral is subject, other than Permitted Liens of the type described in Section 6.02(a), (b), (c), (d), (f), (g), (h), (i), (j), (k) (to the extent provided in the Intercreditor Agreement), (n), (o), (q), (r), (s), (t), (y), (z), (bb), (dd), or (ee) which have priority over the Liens granted pursuant to the Security Documents (and in each case, subject to the proviso to Section 6.02).
“Foreign Asset Sale” shall have the meaning assigned to such term in Section 2.10(i).
“Foreign Guarantee” shall have the meaning assigned to such term in Section 7.01.
“Foreign Lender” shall mean a Lender that is not a U.S. Person.
“Foreign Plan” shall mean any pension or other employee benefit or retirement plan, program, policy, arrangement or agreement maintained or contributed to by any Company with respect to employees employed outside the United States, other than government sponsored pension, healthcare, prescription drugs, employment insurance, parental insurance or workers compensation plans.

    
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“Foreign Subsidiary” shall mean a Subsidiary that is organized under the laws of a jurisdiction other than the United States or any state thereof or the District of Columbia.
“French Collateral Agent” shall mean Standard Chartered Bank, in its capacity as security agent (agent des sûretés), under the French Security Agreements and any of its successors or assigns; provided that (A) with respect to any French Security Agreements entered into prior to the Second Amendment Effective Date and any security interests granted under any such French Security Agreements, the French Collateral Agent is appointed by the Lenders to act on their behalf as security agent (agent des sûretés) to constitute (constituer), register (inscrire), manage (gérer) and enforce (réaliser) the security interests contemplated by such French Security Agreements in order to fully secure and guarantee their respective rights in each amount payable by each French Guarantor or each Person who is the holder of Equity Interests in any French Guarantor to each of the Secured Parties under each of the Loan Documents, and in that capacity to accomplish all actions and formalities eventually necessary under article 2328-1 of the French code civil (as enacted as of the Effective Date), and (B) with respect to any French Security Agreements entered into on or after the Second Amendment Effective Date and any security interests granted under any such French Security Agreements, the French Collateral Agent is appointed by the Lenders as security agent (agent des sûretés) for the purposes, inter alia, of taking, receiving, administering and enforcing the security interests contemplated by such French Security Agreements in the French Collateral Agent’s own name and for the benefit of the Secured Parties, as creditors of the Secured Obligations, in accordance with articles 2488-6 to 2488-12 of the French code civil;, it being provided that (X), with respect to the appointment of the French Collateral Agent as security agent (agent des sûretés) in each of paragraphs (A) andthis paragraph (B), each of the provisions of Article X hereof shall apply with respect to such appointment and is repeated mutatis mutandis in each of these paragraphs, and (Y) with respect to the appointment of the French Collateral Agent as security agent (agent des sûretés) in paragraph (B) only,this paragraph (B), and each of the parties hereto acknowledge and agree that in accordance with such appointment as security agent (agent des sûretés) shall be governed by the provisions of articles 2488-6 to 2488-12 of the French code civil, and, as such, each of the parties hereto acknowledge and agree as follows:
(a)    the security agent (agent des sûretés), shall, in such capacity, be the direct title holder (titulaire) of any security interests contemplated by the French Security Agreements and the direct beneficiary of such security interests in accordance with article 2488-6 of the French code civil;
(b)    the rights and assets acquired by the security agent (agent des sûretés) in carrying out its functions in such capacity will constitute separate property (patrimoine affecté) allocated thereto, distinct from its own property (patrimoine propre) in accordance with article 2488-6 of the French code civil;
(c)    for the purposes of article 2488-7 of the French code civil,provisions of Article X hereof set forth the capacity (qualité) in which the security agent (agent des sûretés) has been so appointed, the purpose of such appointment (l'objet de sa mission) and the scope of its power (étendue de ses pouvoirs) in connection with such appointment shall be as set forth in this paragraph (B) and the provisions of Sections 10.01, 10.05, 10.06 and 10.10, and the term of such appointment (durée de sa mission) shall extend (subject to the provisions of Section 10.06) until full payment or satisfaction of 

    
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the Secured Obligations under the French Security Agreements; andand the scope of its power in connection with such appointment for the purposes of article 2488-7 of the French code civil; and
(d)    the security agent (agent des sûretés) shall be entitled, without being required to prove the existence of a special mandate, to exercise any action necessary in order to defend the interests of the creditors of the Secured Obligations in connection with the security interests contemplated by the French Security Agreements, including filing claims in insolvency proceedings.
“French Guarantor” shall mean each Restricted Subsidiary of the Designated Company organized in France party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company organized in France that becomes a Guarantor pursuant to the terms hereof.
“French Security Agreement” shall mean, collectively, (i) any Security Agreements, including all sub-parts thereto, among any French Guarantors (and such other Persons as may be party thereto) and the French Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any French Guarantor or any Person who is the holder of Equity Interests in any French Guarantor and the French Collateral Agent for the benefit of the Secured Parties (and such other Persons as may be party thereto), and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of France (or any subdivision thereof), securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“Fund” shall mean any Person (other than a natural Person) that is (or will be) engaged in making, purchasing, holding or otherwise investing in commercial loans and similar extensions of credit in the ordinary course of its activities.
“Funded Debt” shall mean, as to any person, all Indebtedness of such person that matures more than one year from the date of its creation or matures within one year from such date but is renewable or extendible, at the option of such person, to a date more than one year from such date or arises under a revolving credit or similar agreement that obligates the lender or lenders to extend credit during a period of more than one year from such date, including all current maturities and current sinking fund payments in respect of such Indebtedness whether or not required to be paid within one year from the date of its creation and, in the case of the Designated Company and its Subsidiaries, Indebtedness in respect of the Loans and the Revolving Credit Loans.
“Funding Rate” shall mean any individual rate notified by a Lender to the Administrative Agent pursuant to the definition of Cost of Funds.
“GAAP” shall mean generally accepted accounting principles in the United States applied on a consistent basis; provided that if the Designated Company converts its financial reporting from generally accepted accounting principles in the United States to IFRS as permitted under Section 1.04, “GAAP” shall mean (subject to the provisions of Section 1.04 hereof) IFRS applied on a consistent basis.

    
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“German Guarantor” shall mean each Restricted Subsidiary of the Designated Company organized in Germany party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company organized in Germany that becomes a Guarantor pursuant to the terms hereof.
“German Receivables Purchase Agreement” shall have the meaning assigned to such term in the definition of “Receivables Purchase Agreement”.
“German Security Agreement” shall mean, collectively, (i) any Security Agreement, including all sub-parts thereto, among any German Guarantors (and such other Persons as may be party thereto) and the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, among others, for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any German Guarantor or any Person who is the holder of Equity Interests in any German Guarantor in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent  in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of Germany (or any subdivision thereof), securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“German Seller” shall mean Novelis Deutschland GmbH, a company organized under the laws of Germany (including in its roles as seller and collection agent under the German Receivables Purchase Agreement). 
“Governmental Authority” shall mean the government of the United States or any other nation, or of any political subdivision thereof, whether state, provincial 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 (including any supra-national bodies such as the European Union or the European Central Bank).
“Governmental Real Property Disclosure Requirements” shall mean any Requirement of Law of any Governmental Authority requiring notification of the buyer, lessee, mortgagee, assignee or other transferee of any Real Property, facility, establishment or business, or notification, registration or filing to or with any Governmental Authority, in connection with the sale, lease, mortgage, assignment or other transfer (including any transfer of control) of any Real Property, facility, establishment or business, of the actual or threatened presence or Release in or into the Environment, or the use, disposal or handling of Hazardous Material on, at, under or near the Real Property, facility, establishment or business to be sold, leased, mortgaged, assigned or transferred.
“Guarantee Payment” shall have the meaning assigned to such term in Section 7.12(b).
“Guaranteed Obligations” shall have the meaning assigned to such term in Section 7.01.

    
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“Guarantees” shall mean the guarantees issued pursuant to ARTICLE VII by the Guarantors.
“Guarantors” shall mean Holdings and the Subsidiary Guarantors (including Holdings and each Canadian Guarantor, each U.S. Guarantor, each Swiss Guarantor, each U.K. Guarantor, each German Guarantor, each Irish Guarantor, each Brazilian Guarantor, each French Guarantor, each Dubai Guarantor, each Dutch Guarantor, each Belgian Guarantor, and each other Restricted Subsidiary of the Designated Company that becomes a Guarantor hereunder).
“Hazardous Materials” shall mean the following:  hazardous substances; hazardous wastes; polychlorinated biphenyls (“PCBs”) or any substance or compound containing PCBs; asbestos or any asbestos-containing materials in any form or condition; radon or any other radioactive materials including any source, special nuclear or by-product material; petroleum, crude oil or any fraction thereof; and any other pollutant or contaminant or chemicals, wastes, materials, compounds, constituents or substances, subject to regulation under or which can give rise to liability (including, but not limited to, due to their ignitability, corrosivity, reactivity or toxicity) under any Environmental Laws.
“Hedging Agreement” shall mean any swap, cap, collar, forward purchase or similar agreements or arrangements dealing with interest rates, currency exchange rates or commodity prices, either generally or under specific contingencies entered into for the purposes of hedging a Company’s exposure to interest or exchange rates, loan credit exchanges, security or currency valuations or commodity prices, in each case not for speculative purposes.
“Hedging Obligations” shall mean obligations under or with respect to Hedging Agreements.
“Hindalco” shall mean Hindalco Industries Limited, a corporation organized under the laws of India.
“Holdings” shall mean (i) prior to the consummation of the Permitted Holdings Amalgamation, (x) if any transaction described in clause (b), (c) or (f) of the definition of Permitted Reorganization Action has not occurred, AV Metals or (y) AV Minerals, and (ii) upon and after the consummation of the Permitted Holdings Amalgamation, Successor Holdings.
“IFRS” shall mean International Financial Reporting Standards consistently applied.
“Immaterial Subsidiary” shall mean, at any date of determination, any Subsidiary that, together with all other Subsidiaries then constituting Immaterial Subsidiaries (i) contributed 5.0% or less of Consolidated EBITDA for the period of four fiscal quarters most recently ended for which financial statements have been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of determination, (ii) had consolidated assets representing 5.0% or less of the Consolidated Total Assets on the last day of the most recent fiscal quarter ended for which financial statements have been or are required to have been delivered pursuant to Section 5.01(a) or 5.01(b) prior to the date of determination, and (iii) is not a Loan Party on the Closing Date.  
“Increase Effective Date” shall have the meaning assigned to such term in Section 2.23(a).

    
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“Increase Joinder” shall have the meaning assigned to such term in Section 2.23(c).
“Incremental Mandated Lead Arrangers” shall mean ABN AMRO Capital USA LLC, Australia and New Zealand Banking Group Limited, Axis Bank Limited, Bank of America, N.A., Barclays Bank PLC, Citigroup Global Markets Asia Limited, Crédit Agricole Corporate and Investment Bank, DBS Bank Ltd., Deutsche Bank Securities Inc., First Abu Dhabi Bank USA N.V., HSBC Securities (USA) Inc., ICICI Bank Limited, New York Branch, ING Bank N.V., Singapore Branch, JPMorgan Chase Bank, N.A., Mizuho Bank, Ltd., MUFG Bank, Ltd., Societe Generale, Hong Kong Branch, Standard Chartered Bank, State Bank of India, and Sumitomo Mitsui Banking Corporation Singapore Branch.
“Incremental OID” shall have the meaning assigned to such term in Section 2.23(c).
“Incremental Net Yield” shall have the meaning assigned to such term in Section 2.23(c).
“Incremental Term Loan” shall have the meaning assigned to such term in Section 2.23(c).
“Incremental Term Loan Commitment” shall have the meaning assigned to such term in Section 2.23(a).
“Incremental Term Loan Maturity Date” shall have the meaning assigned to such term in Section 2.23(c).
“Indebtedness” of any person shall mean, without duplication, (a) all obligations of such person for borrowed money or advances; (b) all obligations of such person evidenced by bonds, debentures, notes or similar instruments; (c) all obligations of such person under conditional sale or other title retention agreements relating to property purchased by such person; (d) all obligations of such person issued or assumed as the deferred purchase price of property or services (excluding trade accounts payable and accrued obligations incurred in the ordinary course of business on normal trade terms and not overdue by more than ninety (90) days (other than such overdue trade accounts payable being contested in good faith and by proper proceedings, for which appropriate reserves are being maintained with respect to such circumstances in accordance with US GAAP or other applicable accounting standards)); (e) all Indebtedness of others secured by any Lien on property owned or acquired by such person, whether or not the obligations secured thereby have been assumed, but limited to the fair market value of such property; (f) all Capital Lease Obligations, Purchase Money Obligations and Synthetic Lease Obligations of such person; (g) all Hedging Obligations to the extent required to be reflected on a balance sheet of such person; (h) all Attributable Indebtedness of such person; (i) all obligations of such person for the reimbursement of any obligor in respect of letters of credit, letters of guaranty, bankers’ acceptances and similar credit transactions; (j) all obligations of such person under any Qualified Securitization Transaction; and (k) all Contingent Obligations of such person in respect of Indebtedness or obligations of others of the kinds referred to in clauses (a) through (j) above.  The Indebtedness of any person shall include the Indebtedness of any other entity (including any partnership in which such person is a general partner) to the extent such person is liable therefor as a result of such person’s ownership interest in or other relationship with such entity, except (other than in the case of general partner liability) to the extent that the terms of such Indebtedness expressly provide that such person is not liable therefor.

    
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“Indemnified Taxes” shall mean (a) all Taxes, other than Excluded Taxes, imposed on or with respect to any payment made by or on account of any obligation of any Loan Party under any Loan Document and (b) to the extent not otherwise described in clause (a), Other Taxes.
“Indemnitee” shall have the meaning assigned to such term in Section 11.03(b).
“Information” shall have the meaning assigned to such term in Section 11.12.
“Initial Maturity Date” shall mean June 2, 2022.
“Initial Term Loans” shall mean the Term Loans made on the Closing Date under Section 2.01(a).
“Instruments” shall mean all “instruments,” as such term is defined in the UCC, in which any Person now or hereafter has rights.
“Insurance Policies” shall mean the insurance policies and coverages required to be maintained by each Loan Party which is an owner of Mortgaged Property with respect to the applicable Mortgaged Property pursuant to Section 5.04 and all renewals and extensions thereof.
“Insurance Requirements” shall mean, collectively, all provisions of the Insurance Policies, all requirements of the issuer of any of the Insurance Policies and all orders, rules, regulations and any other requirements of the National Board of Fire Underwriters (or any other body exercising similar functions) binding upon each Loan Party which is an owner of Mortgaged Property and applicable to the Mortgaged Property or any use or condition thereof.
“Intellectual Property” shall have the meaning assigned to such term in Section 3.06(a).
“Interbank Rate” shall mean, for any period, the Administrative Agent’s cost of funds for such period.
“Intercompany Notes” shall mean one or more promissory notes substantially in the form of Exhibit P, or such other form as may be agreed to by the Administrative Agent in its sole discretion.
“Intercreditor Agreement” shall mean that certain Intercreditor Agreement dated as of December 17, 2010 by and among (i) the Companies party thereto, (ii) the Administrative Agent and the Collateral Agent (each pursuant to an intercreditor joinder agreement, dated as of the Closing Date, substantially in the form of Exhibit B to the Intercreditor Agreement), (iii) the Revolving Credit Administrative Agent and the Revolving Credit Collateral Agent (each pursuant to an intercreditor joinder agreement dated as of May 13, 2013), and (iv) such other persons as may become party thereto from time to time pursuant to the terms thereof, as the same may be amended, restated, supplemented or otherwise modified from time to time.
“Interest Election Request” shall mean a request by a Co-Borrower to convert or continue a Borrowing in accordance with Section 2.08(b), substantially in the form of Exhibit E.

    
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“Interest Payment Date” shall mean, (a) with respect to any Borrowing, the last day of the Interest Period applicable to the Borrowing of which such Loan is a part, and (b) with respect to any Term Loan, the Maturity Date of such Term Loan.
“Interest Period” shall mean, with respect to any Eurodollar Rate Borrowing or Fallback Rate Borrowing, as applicable, the period commencing on the date of such Borrowing and ending on the numerically corresponding day in the calendar month that is three months thereafter, as the applicable Co-Borrower may elect; provided that, for any Interest Periods commencing prior to the Syndication Termination Date, the first two Interest Periods shall each be one month, and the third Interest Period shall commence upon the expiration of the second Interest Period and terminate on March 31, 2017; provided that, for any Interest Periods in respect of any Aleris Incremental Term Loans commencing prior to the Aleris Syndication Termination Date, such Interest Periods shall each be one month; provided, further, that (a) if any Interest Period would end on a day other than a Business Day, such Interest Period shall be extended to the next succeeding Business Day unless such next succeeding Business Day would fall in the next calendar month, in which case such Interest Period shall end on the immediately preceding Business Day, (b) any Interest Period that commences on the last Business Day of a calendar month (or on a day for which there is no numerically corresponding day in the last calendar month of such Interest Period) shall end on the last Business Day of the last calendar month of such Interest Period, (c) such Co-Borrower shall not select an Interest Period for a Class of Term Loans that would extend beyond the Latest Maturity Date of the applicable Class of such Term Loans, (d) such Co-Borrower shall not select an Interest Period for a Class of Term Loans that would extend beyond the next succeeding Term Loan Repayment Date, and (e) the Interest Period for any Credit Extension other than the first Credit Extension shall end on the same day as the then-current Interest Period in relation to the first Credit Extension under this Agreement.  For purposes hereof, the date of a Borrowing initially shall be the date on which such Borrowing is made and thereafter shall be the effective date of the most recent conversion or continuation of such Borrowing.
“Internally Generated Cash Flow” shall mean cash generated by the Designated Company and its Restricted Subsidiaries in the ordinary course of business, and in any event excluding (i) proceeds of Casualty Events and Asset Sales under Section 6.06(b), (e), (i), (j), (l), (q), (r) and (s), (ii) proceeds of Indebtedness other than borrowings under the Revolving Credit Facility and intercompany loans from another Company funded in the ordinary course of operations (and not from sources otherwise not constituting Internally Generated Cash Flow) and (iii) proceeds of issuances of Equity Interests other than to another Company funded in the ordinary course of operations (and not from sources otherwise not constituting Internally Generated Cash Flow).
“Interpolated Screen Rate” shall mean, in relation to any Loan, the rate (rounded to the same number of decimal places as the two relevant Screen Rates) which results from interpolating on a linear basis between:
(a)    the applicable Screen Rate for the longest period (for which that Screen Rate is available) which is less than the Interest Period of that Loan; and
(b)    the applicable Screen Rate for the shortest period (for which that Screen Rate is available) which exceeds the Interest Period of that Loan, each as of approximately 11:00 a.m. 

    
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(London time) on the date that is two London Banking Days prior to the commencement of such Interest Period for the currency of that Loan.
“Inventory” shall mean all “inventory,” as such term is defined in the UCC, wherever located, in which any Person now or hereafter has rights.
“Investment Recapture Amount” shall have the meaning assigned to such term in Section 6.04(r)(iv). 
“Investments” shall have the meaning assigned to such term in Section 6.04.
“Irish Companies Act” shall mean the Companies Act, 2014 of Ireland (as amended, re-enacted, varied or otherwise modified from time to time).
“Irish Guarantor” shall mean each Restricted Subsidiary of the Designated Company incorporated in Ireland party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company incorporated in Ireland that becomes a Guarantor pursuant to the terms hereof.
“Irish Security Agreement” shall mean, collectively, (i) any Security Agreement, including all sub-parts thereto, among any Irish Guarantors (and such other Persons as may be party thereto) and the Collateral Agent, among others, for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee, charge, assignment, deed or other agreement that is entered into by any Irish Guarantor or any Person who is the holder of Equity Interests in any Irish Guarantor in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of Ireland (or any subdivision thereof), securing the Secured Obligations (or any part thereof), entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“IRS” shall mean the United States Internal Revenue Service.
“Joinder Agreement” shall mean a joinder agreement substantially in the form of Exhibit F, or such other form as may be agreed to by the Administrative Agent in its sole discretion.
“Joint Venture” shall mean any person (a) that is not a direct or indirect Subsidiary of Holdings and (b) in which the Designated Company, in the aggregate, together with its Subsidiaries, is directly or indirectly, the beneficial owner of 5% or more of any class of Equity Interests of such person. 
“Joint Venture Subsidiary” shall mean each of (i) Aluminum Company of Malaysia Berhard and (ii) any other person that is a Subsidiary in which persons other than Holdings or its Affiliates own 10% or more of the Equity Interests of such person, excluding, to the extent they become Restricted Subsidiaries of the Designated Company after the Closing Date, Logan and Norf GmbH.
“Judgment Currency” shall have the meaning assigned to such term in Section 11.18(a).

    
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“Judgment Currency Conversion Date” shall have the meaning assigned to such term in Section 11.18(a).
“Junior Lien” shall mean a Lien designated as a “Subordinated Lien” under the Intercreditor Agreement on all or any portion of the Collateral, but only to the extent (i) any such Lien constitutes “Subordinated Liens” under, and as defined in, the Intercreditor Agreement (it being understood that such Subordinated Lien will be a junior, “silent” lien with respect to the Liens securing the Secured Obligations, as provided in the Intercreditor Agreement) and (ii) the holders of such Indebtedness (or a trustee, agent or other representative of such holders) secured by such Lien have become a party to the Intercreditor Agreement through the execution and delivery of joinders thereto.
“Junior Secured Indebtedness” shall mean Indebtedness of a Loan Party that is secured by a Junior Lien. 
“Known Affiliate” of any person shall mean, as to such person, known Affiliates readily identifiable by name, but excluding any Affiliate (a) that is a bona fide debt fund or investment vehicle that is primarily engaged in, or that advises funds or other investment vehicles that are engaged in, making, purchasing, holding or otherwise investing in commercial loans, bonds or similar extensions of credit or securities in the ordinary course and with respect to which the Disqualified Institution does not, directly or indirectly, possess the power to direct or cause the direction of the investment policies of such entity or (b) that is a banking or lending institution engaged in the business of making loans.
“Land Registry” shall mean the Land Registry of England and Wales.
“Landlord Access Agreement” shall mean a Landlord Access Agreement, substantially in the form of Exhibit G, or such other form as may reasonably be acceptable to the Administrative Agent.
“Latest Maturity Date” shall mean, at any date of determination, the latest maturity or expiration date applicable to any Loan hereunder at such time, including the latest maturity or expiration date of any Initial Term Loan, Incremental Term Loan, Aleris Incremental Term Loan, Other Term Loan, any Other Term Loan Commitment or Incremental Term Loan Commitment, in each case as extended in accordance with this Agreement from time to time.
“Leases” shall mean any and all leases, subleases, tenancies, options, concession agreements, rental agreements, occupancy agreements, franchise agreements, access agreements and any other agreements (including all amendments, extensions, replacements, renewals, modifications and/or guarantees thereof), whether or not of record and whether now in existence or hereafter entered into, affecting the use or occupancy of all or any portion of any Real Property.
“Lenders” shall mean (a) each financial institution that is a party hereto on the Effective Date, (b) any financial institution that has become a party hereto pursuant to an Assignment and Assumption, other than, in each case, any such financial institution that has ceased to be a party hereto pursuant to an Assignment and Assumption and (c) each Additional Lender that executes an Increase Joinder in accordance with Section 2.23 hereof (excluding, in each case, any such financial institution or Additional Lender to the extent it holds no Commitments and all Obligations owing to it have been paid).

    
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“Lien” shall mean, with respect to any property, (a) any mortgage (or mandate to vest a mortgage), deed of trust, lien, pledge, encumbrance, charge, assignment, hypothecation, prior claim, security interest or similar encumbrance of any kind or any arrangement to provide priority or preference in respect of such property or any filing of any financing statement or any financing change statement under the UCC, the PPSA or any other similar notice of lien under any similar notice or recording statute of any Governmental Authority (other than any unauthorized notice or filing filed after the Closing Date for which there is not otherwise any underlying lien or obligation, so long as the Designated Company is (if aware of same) using commercially reasonable efforts to cause the removal of same), including any easement, right-of-way or other encumbrance on title to Real Property, in each of the foregoing cases whether voluntary or imposed by law, and any agreement to give any of the foregoing; (b) the interest of a vendor or a lessor under any conditional sale agreement, capital lease or title retention agreement (or any financing lease having substantially the same economic effect as any of the foregoing) relating to such property; and (c) in the case of securities, any purchase option, call or similar right of a third party with respect to such securities.
“Liquidity” shall mean as of any date of determination, the sum of (i) Unrestricted Cash of the Designated Company and its Restricted Subsidiaries as of such date plus (ii) unutilized and available commitments under the Revolving Credit Agreement.
“Loan Documents” shall mean this Agreement, the Intercreditor Agreement, the Contribution, Intercompany, Contracting and Offset Agreement, the Subordination Agreement, the Notes (if any), the Security Documents, each Foreign Guarantee, each Fee Letter, each Hedging Agreement entered into with any Secured Hedge Provider (provided that such Hedging Agreements shall be deemed not to be Loan Documents for purposes of the definitions of FATCA Deduction, Indemnified Taxes, Other Connection Taxes, Other Taxes, Permitted Customer Account Financing, Permitted German Alternative Financing, Permitted Holdings Amalgamation, Permitted Novelis Switzerland Financing, Permitted Reorganization, Permitted Revolving Credit Facility Refinancing Transactions and U.S. Tax Obligor, Sections 1.03 and 1.04 and Articles II, III, IV, V, VI, VIII and XI hereof), and all other pledges, powers of attorney, consents, assignments, certificates, agreements or documents, whether heretofore, now or hereafter executed by or on behalf of any Loan Party for the benefit of any Agent or any Lender in connection with this Agreement.
“Loan Modification Agreement” shall have the meaning assigned to such term in Section 11.02(f)(ii).
“Loan Modification Offer” shall have the meaning assigned to such term in Section 11.02(f)(i).
“Loan Parties” shall mean Holdings, the Co-Borrowers, the Subsidiary Guarantors and, on and after the Designated Holdco Effective Date, Designated Holdco.
“Loans” shall mean Term Loans.
“Logan” shall mean Logan Aluminum Inc., a Delaware corporation.

    
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“Logan Location” shall mean the premises of Logan Aluminum Inc., Route 431, North Russellville, Kentucky  42276.
“London Banking Day” shall mean any day on which dealings in Dollar deposits are conducted by and between banks in the London interbank Eurodollar market.
“Management Fees” shall have the meaning assigned to such term in Section 6.08(c)(C).
“Mandated Lead Arrangers” shall mean Australia and New Zealand Banking Group Limited, Axis Bank Limited, Bank of Baroda, Barclays Bank PLC, Citigroup Global Markets Asia Limited, ICICI Bank Limited and/or its Affiliates, ING Bank N.V., Singapore Branch, Kotak Mahindra Bank Limited, Standard Chartered Bank, State Bank of India and The Bank of Tokyo-Mitsubishi UFJ, Ltd., in their capacities as Mandated Lead Arrangers and Bookrunners under this Agreement.
“Margin Stock” shall have the meaning assigned to such term in Regulation U.
“Material Adverse Effect” shall mean (a) a material adverse effect on the business, property, results of operations, or financial condition of the Loan Parties and their Restricted Subsidiaries, taken as a whole; (b) a material impairment of the ability of the Loan Parties to perform their payment and other material obligations under the Loan Documents; (c) a material impairment of the rights of or benefits or remedies available to the Lenders, the Collateral Agent or the Administrative Agent under the Loan Documents, taken as a whole; or (d)(i) a material adverse effect on the Revolving Credit Priority Collateral or the Liens in favor of the Collateral Agent (for its benefit and for the benefit of the other Secured Parties) on such Collateral or the priority of such Liens, in each case for this clause (d)(i) taken as a whole, or (ii) a material adverse effect on the Pari Passu Priority Collateral or the Liens in favor of the Collateral Agent (for its benefit and for the benefit of the other Secured Parties) on such Collateral or the priority of such Liens, in each case for this clause (d)(ii) taken as a whole.
“Material Indebtedness” shall mean (a) Indebtedness under the Revolving Credit Loan Documents and any Permitted Revolving Credit Facility Refinancings thereof, (b) the Permitted Short Term Indebtedness, (c) Indebtedness under the Senior Notes, the Additional Senior Secured Indebtedness, the Junior Secured Indebtedness and any Permitted Refinancings of any thereof in each case in an aggregate outstanding principal amount exceeding $100,000,000 and (d) any other Indebtedness (other than the Loans and intercompany Indebtedness of the Companies permitted hereunder) of the Loan Parties in an aggregate outstanding principal amount exceeding $100,000,000.
“Material Subsidiary” shall mean any Subsidiary of the Designated Company that is not an Immaterial Subsidiary.
“Maturity Date” shall mean (i) with respect to the Term Loans made on the Closing Date, the Initial Maturity Date, (ii) with respect to any tranche of Other Term Loans (excluding the Term Loans made on the Closing Date), the final maturity date as specified in the applicable Refinancing Amendment, and (iii) with respect to the Aleris Incremental Term Loans, the Aleris Incremental Maturity Date, and (iv) with respect to any Incremental Term Loans (other than the Aleris Incremental Term Loans), the final maturity date as specified in the applicable Increase Joinder; provided that if 

    
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any such day is not a Business Day, the applicable Maturity Date shall be the Business Day immediately succeeding such day.
“Maximum Rate” shall have the meaning assigned to such term in Section 11.14.
“Maximum Revolving Credit Facility Amount” shall mean, at any time, an amount equal to the greater of (x) $2,250,000,000 and (y) the Borrowing Base. 
“Minimum Amount” shall mean an integral multiple of $1,000,000 and not less than $5,000,000.
“Moody’s” shall mean Moody’s Investors Service, Inc.
“Mortgage” shall mean an agreement, including, but not limited to, a mortgage, charge, deed of trust, deed of hypothec or any other document, creating and evidencing a Lien on a Mortgaged Property, which shall be substantially in the form of Exhibit J or, subject to the terms of the Intercreditor Agreement, other form reasonably satisfactory to the Collateral Agent, in each case, with such schedules and including such provisions as shall be necessary to conform such document to applicable local or foreign law or as shall be customary under applicable local or foreign law.
“Mortgaged Property” shall mean, subject to Section 5.15, (a) each Real Property identified as a Mortgaged Property on Schedule 8(a) to any Perfection Certificate dated the Closing Date, (b) each future Real Property covered by the terms of any Mortgage, and (c) each Real Property, if any, which shall be subject to a Mortgage (or other Lien created by a Security Document) delivered after the Closing Date pursuant to Section 5.11(c).
“Multiemployer Plan” shall mean a multiemployer plan within the meaning of Section 4001(a)(3) or Section 3(37) of ERISA (a) to which any Company or any ERISA Affiliate is then making or accruing an obligation to make contributions; (b) to which any Company or any ERISA Affiliate has within the preceding six plan years made contributions; or (c) with respect to which any Company could incur liability.
“Net Cash Proceeds” shall mean:
(a)    with respect to any Asset Sale, the cash proceeds received by Holdings, the Designated Company or any of its Restricted Subsidiaries (including cash proceeds subsequently received (as and when received by Holdings, the Designated Company or any of its Restricted Subsidiaries) in respect of non-cash consideration initially received) net of (without duplication) (i) selling expenses (including reasonable brokers’ fees or commissions, legal, accounting and other professional and transactional fees, transfer and similar taxes and the Designated Company’s good faith estimate of income taxes paid or payable in connection with such sale and repatriation Taxes that are or would be payable in connection with any sale by a Restricted Subsidiary); (ii) amounts provided as a reserve, in accordance with GAAP, against (x) any liabilities under any indemnification obligations associated with such Asset Sale or (y) any other liabilities retained by Holdings, the Designated Company or any of its Restricted Subsidiaries associated with the properties sold in such Asset Sale (provided that, to the extent and at the time any such amounts are released from such reserve, such amounts shall constitute 

    
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Net Cash Proceeds); (iii) the Designated Company’s good faith estimate of payments required to be made with respect to unassumed liabilities relating to the properties sold within ninety (90) days of such Asset Sale (provided that, to the extent such cash proceeds are not used to make payments in respect of such unassumed liabilities within ninety (90) days of such Asset Sale, such cash proceeds shall constitute Net Cash Proceeds); (iv) the principal amount, premium or penalty, if any, interest and other amounts on any Indebtedness for borrowed money (other than the Revolving Credit Loans or the Loans) which is secured by a Lien on the properties sold in such Asset Sale (so long as such Lien was permitted to encumber such properties under the Loan Documents at the time of such sale) and which is repaid with such proceeds (other than any such Indebtedness assumed by the purchaser of such properties); and (v) so long as any Revolving Credit Loans remain outstanding, the proceeds of any Revolving Credit Priority Collateral of any Loan Party sold in such Asset Sale (which shall include, for the avoidance of doubt, the portion of the sale price of the Equity Interests or all or substantially all of the property, assets or business of any Restricted Subsidiary of Holdings consisting of the net book value of any such Revolving Credit Priority Collateral);
(b)    with respect to any Debt Issuance or any Disqualified Capital Stock, the cash proceeds thereof, net of customary fees, commissions, costs and other expenses incurred in connection therewith;
(c)    with respect to any issuance of Equity Interests (other than Preferred Stock) by Holdings, Designated Holdco or the Borrower, the cash proceeds thereof, net of customary fees, commissions, costs and other expenses incurred in connection therewith; and
(d)    with respect to any Casualty Event, the cash insurance proceeds, condemnation awards and other compensation received in respect thereof, net of (i) all reasonable costs and expenses incurred in connection with the collection of such proceeds, awards or other compensation in respect of such Casualty Event; and (ii) so long as any Revolving Credit Loans remain outstanding, any such cash insurance proceeds, condemnation awards and other compensation received in respect of Revolving Credit Priority Collateral of any Loan Party to the extent such amounts are required to be (and are) applied to the repayment of the Revolving Credit Loans pursuant to the terms of the Revolving Credit Agreement;
provided, however, that Net Cash Proceeds arising from any Asset Sale or Casualty Event by or applicable to a non-Wholly Owned Subsidiary shall equal the amount of such Net Cash Proceeds calculated as provided above less the percentage thereof equal to the percentage of any Equity Interests of such non-Wholly Owned Subsidiary not owned by Holdings, the Designated Company and its Restricted Subsidiaries.
“Net Cash Proceeds Account” shall mean any Deposit Account or Securities Account established by any Co-Borrower or any Guarantor with one or more financial institutions which has a credit rating with respect to its long term unsecured debt of at least “A” by S&P or “A2” by Moody’s that (i) is subject to a Control Agreement, (ii) is subject to a First Priority security interest in favor of the Collateral Agent for the ratable benefit of the Secured Parties to secure the Secured Obligations and (iii) solely contains proceeds of Pari Passu Priority Collateral (and any products of such proceeds), and which has been designated in writing to the Revolving Credit Agents as a “Net Cash Proceeds Account” on or prior to the time that the Net Cash Proceeds from any sale of Pari Passu Priority 

    
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Collateral shall be deposited therein, pending application of such proceeds (and any products of such proceeds) in accordance with the terms hereof.
“Net Working Capital” shall mean, at any time, Consolidated Current Assets at such time minus Consolidated Current Liabilities at such time. 
“NKL” shall mean Novelis Korea Limited.
“NKL Share Repurchase” shall mean the repurchase by NKL of Equity Interests of NKL for cash consideration derived from all or a portion of the proceeds of the Ulsan Share Sale, which may be structured as a share cancellation, a reduction in par value, a share consolidation and reduction in share value, or any other legal structure resulting in the reduction of Equity Interests in NKL in exchange for cash consideration.
“Non-consolidated Affiliate” shall mean (a) Norf GmbH, MiniMRF LLC (Delaware), and Consorcio Candonga (unincorporated Brazil), in each case so long as they are not a Subsidiary of the Designated Company, (b) the Ulsan JV Subsidiary, solely to the extent that (i) such Person is not otherwise included in the consolidated financial results of the Designated Company and its Restricted Subsidiaries and (ii) the requirement set forth in clause (c)(ii) below remains true in respect of the Ulsan JV Subsidiary, and (c) any other Person formed or acquired by the Designated Company or any of its Restricted Subsidiaries, in the case of this clause (c), so long as (i) such Person is not a Subsidiary of the Designated Company and (ii) the Designated Company owns, directly or indirectly, Equity Interests in such Restricted Subsidiary representing at least 50% of the voting power of all Equity Interests entitled (without regard to the occurrence of any contingency) to vote in the election of the Board of Directors (or equivalent governing body) of such Person.
“Non-consolidated Affiliate Debt” shall mean with respect to the Non-consolidated Affiliates, as of any date of determination and without duplication, the Consolidated Total Net Debt of the Non-consolidated Affiliates and their Subsidiaries (determined as if references to the Designated Company and the Restricted Subsidiaries in the definition of Consolidated Total Net Debt were references to Non-consolidated Affiliates and their Subsidiaries).
“Non-consolidated Affiliate EBITDA” shall mean with respect to the Non-consolidated Affiliates for any period, the amount for such period of Consolidated EBITDA of such Non-consolidated Affiliates and their Subsidiaries (determined as if references to the Designated Company and the Restricted Subsidiaries in the definition of Consolidated EBITDA were references to Non-consolidated Affiliates and their Subsidiaries); provided that Non-consolidated Affiliate EBITDA shall not include the Non-consolidated Affiliate EBITDA of Non-consolidated Affiliates if such Non-consolidated Affiliates are subject to a prohibition, directly or indirectly, on the payment of dividends or the making of distributions, directly or indirectly, to the Designated Company or any Co-Borrower, to the extent of such prohibition.
“Non-Guarantor Subsidiary” shall mean each Subsidiary that is not a Guarantor.
“Non-Loan Party Jurisdiction” shall mean each country (including any state, province or other political subdivision thereof) other than (i) the United States, Canada, the United Kingdom, 

    
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Switzerland and Germany, (ii) any other country in which a Loan Party is organized and (iii) any state, province or other political subdivision of the foregoing.
“Non-Principal Jurisdiction” shall mean each country in which a Loan Party is organized (and any state, province or other political subdivision thereof) other than (i) the United States, Canada, the United Kingdom, Switzerland, Belgium, the Netherlands and Germany, (ii) any other country in which a Loan Party is organized in respect of which Accounts are included in the borrowing base for purposes of the Revolving Credit Agreement and (iii) any state, province or other political subdivision of the foregoing clauses (i) and (ii).
“Norf GmbH” shall mean Aluminium Norf GmbH, a limited liability company (GmbH) organized under the laws of Germany.
“Notes” shall mean any notes evidencing the Terms Loans issued pursuant to this Agreement, if any, substantially in the form of Exhibit K.
“Novelis Acquisitions” shall mean Novelis Acquisitions LLC, a Delaware limited liability company.
“Novelis AG” shall mean Novelis AG, a stock corporation (AG) organized under the laws of Switzerland.
“Novelis AG Cash Pooling Agreement” shall mean a Cash Management Agreement entered into among Novelis AG and certain “European Affiliates” (as identified therein) dated 1 February 2007, together with all ancillary documentation thereto.
“Novelis Inc.” shall mean Novelis Inc., a corporation amalgamated under the Canada Business Corporations Act.
“Novelis Switzerland” shall mean Novelis Switzerland SA, a company organized under the laws of Switzerland.
“Obligation Currency” shall have the meaning assigned to such term in Section 11.18(a).
“Obligations” shall mean (a) obligations of the Co-Borrowers and the other Loan Parties from time to time arising under or in respect of the due and punctual payment of (i) the principal of and premium, if any, and interest (including interest accruing (and interest that would have accrued but for such proceeding) during the pendency of any bankruptcy, insolvency, receivership or other similar proceeding, regardless of whether allowed or allowable in such proceeding) on the Loans, when and as due, whether at maturity, by acceleration, upon one or more dates set for prepayment or otherwise and (ii) all other monetary obligations, including obligations under the Guarantees and fees, costs, expenses and indemnities, whether primary, secondary, direct, contingent, fixed or otherwise (including monetary obligations incurred during the pendency of any bankruptcy, insolvency, receivership or other similar proceeding, regardless of whether allowed or allowable in such proceeding), of the Co-Borrowers and the other Loan Parties under this Agreement and the other Loan Documents, and (b) the due and punctual performance of all covenants, agreements, obligations and liabilities of the Co-

    
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Borrowers and the other Loan Parties under or pursuant to this Agreement and the other Loan Documents.  The Obligations shall not include any Excluded Swap Obligations.
“OFAC” shall have the meaning assigned to such term in Section 3.22.
“Offer Price” shall have the meaning set forth in the definition of “Discounted Purchase”.
“Officer’s Certificate” shall mean a certificate executed by a Responsible Officer in his or her official (and not individual) capacity.
“Organizational Documents” shall mean, with respect to any person, (i) in the case of any corporation, the certificate of incorporation and by-laws (or equivalent or comparable constitutional documents with respect to any non-U.S. jurisdiction) of such person, (ii) in the case of any limited liability company, the certificate of formation and operating agreement (or similar documents) of such person, (iii) in the case of any limited partnership, the certificate of formation and limited partnership agreement (or similar documents) of such person, (iv) in the case of any general partnership, the partnership agreement (or similar document) of such person and (v) in any other case, the functional equivalent of the foregoing.
“Other Connection Taxes” shall mean, with respect to the Agents, any Lender or any other recipient of any payment to be made by or on account of any obligation of any Co-Borrower hereunder, Taxes imposed as a result of a present or former connection between such recipient and the jurisdiction imposing such Tax (other than connections arising from such recipient having executed, delivered, become a party to, performed its obligations under, received payments under, received or perfected a security interest under, engaged in any other transaction pursuant to or enforced any Loan Document, or sold or assigned an interest in any Loan or Loan Document).
“Other Taxes” shall mean all present or future stamp, recording, court or documentary, excise, transfer, sales, property, intangible, filing or similar Taxes arising from any payment made hereunder or under any other Loan Document or from the execution, delivery, performance, enforcement or registration of, from the receipt or perfection of a security interest under, or otherwise with respect to, this Agreement or any other Loan Document, except any such Taxes that are Other Connection Taxes imposed with respect to an assignment (other than an assignment made pursuant to Section 2.16(c)).
“Other Term Loan Commitments” shall mean one or more Classes of Term Loan commitments hereunder that result from a Refinancing Amendment.
“Other Term Loans” shall mean one or more Classes of Term Loans that result from a Refinancing Amendment.
“Pari Passu Priority Collateral” shall mean all “Pari Passu Priority Collateral” as defined in the Intercreditor Agreement.
“Participant” shall have the meaning assigned to such term in Section 11.04(d).
“Participant Register” shall have the meaning assigned to such term in Section 11.04(c).

    
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“Participating Member States” shall mean the member states of the European Communities that adopt or have adopted the euro as their lawful currency in accordance with the legislation of the European Union relating to European Monetary Union.
“Party” shall mean any party to this Agreement.
“Patriot Act” shall have the meaning assigned to such term in Section 11.13.
“PBGC” shall mean the Pension Benefit Guaranty Corporation referred to and defined in ERISA.
“Pensions Regulator” shall mean the body corporate called the Pensions Regulator established under Part I of the Pensions Act 2004.
“Perfection Certificate” shall mean, individually and collectively, as the context may require, each certificate of a Loan Party in the form of Exhibit L-1 or any other form approved by the Collateral Agent in its sole discretion, as the same shall be supplemented from time to time by a Perfection Certificate Supplement or otherwise.
“Perfection Certificate Supplement” shall mean a certificate supplement in the form of Exhibit L-2 or any other form approved by the Collateral Agent.
“Permitted ABL Customer Account Financing Amendment” shall have the meaning assigned to such term in Section 1.10.
“Permitted Acquisition” shall mean any Acquisition, if each of the following conditions is met:
(i)    no Default is then continuing or would result therefrom;
(ii)    no Company shall, in connection with any such transaction, assume or remain liable with respect to any Indebtedness of the related seller or the business, person or properties acquired, except to the extent permitted under Section 6.01, and any other such Indebtedness not permitted to be assumed or otherwise supported by any Company hereunder shall be paid in full or released as to the business, persons or properties being so acquired on or before the consummation of such acquisition;
(iii)    the person or business to be acquired shall be, or shall be engaged in, a business of the type that the Loan Parties and the Subsidiaries are permitted to be engaged in under Section 6.15, and the person or business and any property acquired in connection with any such transaction shall be free and clear of any Liens, other than Permitted Liens;
(iv)    the Board of Directors of the person to be acquired shall not have indicated publicly its opposition to the consummation of such acquisition (which opposition has not been publicly withdrawn);

    
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(v)    all transactions in connection therewith shall be consummated in all material respects in accordance with all applicable Requirements of Law;
(vi)    with respect to any transaction involving Acquisition Consideration of more than $50,000,000, unless the Administrative Agent shall otherwise agree, the Designated Company shall have provided the Administrative Agent written notice on or before the consummation of such transaction, which notice shall describe (A) in reasonable detail the terms and conditions of such transaction and the person or business to be acquired and (B) all such other information and data relating to such transaction or the person or business to be acquired as may be reasonably requested by the Administrative Agent;
(vii)    the property acquired in connection with any such Acquisition shall, subject to any Permitted Liens, be made subject to the Lien of the Security Documents, and any person acquired in connection with any such transaction shall become a Guarantor, in each case, to the extent required under, and within the relevant time periods provided in, Section 5.11;
(viii)    with respect to any transaction involving Acquisition Consideration that, when added to the fair market value of Equity Interests, including Equity Interests of Holdings, constituting purchase consideration, exceeds $50,000,000, the Designated Company shall have delivered to the Administrative Agent an Officers’ Certificate on or prior to the consummation of such transaction certifying that (A) such transaction complies with this definition and (B) such transaction could not reasonably be expected to result in a Material Adverse Effect; 
(ix)    [intentionally omitted];
(x)    if any Person so acquired (or any Subsidiary of such Person) is not required to become a Loan Party pursuant to Section 5.11, the Acquisition Consideration payable for such Person (or the portion thereof attributable or allocated by the Designated Company in good faith to each such Subsidiary) in connection with such Acquisition, and all other Acquisitions of non-Loan Parties consummated after the Closing Date shall not, unless, on the date of such Acquisition, the Senior Secured Net Leverage Ratio, determined on a Pro Forma Basis, after giving effect to such Acquisition shall be no greater than 3.00 to 1.00 determined on the basis of the financial information most recently delivered to the Administrative Agent and the Lenders pursuant to Section 5.01(a) or (b) as though such Acquisition had been consummated as of the first day of the fiscal period covered thereby, exceed an amount equal to the greater of (x) 2.0% of Consolidated Net Tangible Assets and (y) $100,000,000 in the aggregate since the Closing Date (provided that such amounts can be exceeded to the extent of Investments made pursuant to Section 6.04(r)); 
(xi)    immediately after giving effect to such Acquisition (other than Acquisitions where the amount of the Acquisition Consideration plus the fair market value of any Equity Interests which constitutes all or a portion of the purchase price is less than $15,000,000), the Designated Company shall, on a Pro Forma Basis, be in compliance with the Financial Performance Covenant, such compliance to be determined on the basis of the financial information most recently delivered to the Administrative Agent and the Lenders pursuant to Section 5.01(a) or (b) (or for periods prior to the delivery of such financial information for a 

    
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four fiscal quarter period, based on financial information filed with the United States Securities and Exchange Commission) as though such Acquisition and all other Specified Transactions consummated after the applicable four quarter period and on or prior to the relevant date of determination had been consummated as of the first day of the fiscal period covered thereby; 
(xii)    with respect to any transaction involving Acquisition Consideration of more than $50,000,000, the Designated Company shall have delivered a certificate from a Financial Officer of the Designated Company on or prior to the consummation of such transaction (A) as to the matters set forth in clause (i) above and (B) demonstrating its compliance with clause (xi) above, and (C) to the extent the person so acquired is not required to become a Loan Party hereunder pursuant to Section 5.11, demonstrating compliance with clause (x) above, and in each case accompanied by compliance calculations in reasonable detail.
“Permitted Aleris Foreign Subsidiary Transfer” shall mean, on or after the Aleris Acquisition Closing Date:
(a)    the sale, Distribution, contribution or other transfer of the Equity Interests in any Subsidiary of Aleris organized in a jurisdiction outside of the United States of America (each, a “Transferred Aleris Foreign Subsidiary”) (x) from a Loan Party to any Loan Party other than Aleris or any Subsidiary of Aleris (and any substantially concurrent interim sale, Distribution, contribution or other transfer of such Equity Interests to a Loan Party (which may include Aleris or any Restricted Subsidiary of Aleris) to effect such sale, Distribution, contribution or transfer) or (y) in the case of Equity Interests in an entity that would not be required to become a Loan Party pursuant to the terms hereof after giving effect to such transfer, from a Loan Party to any other Company (other than Aleris or any Subsidiary of Aleris) organized in the same jurisdiction as the issuer of such Equity Interests (it being agreed, for this purpose, that Hong Kong and the People’s Republic of China are the same jurisdiction so long as an entity organized under the laws of Hong Kong would not be a Subsidiary of an entity organized under the laws of the People’s Republic of China after giving effect to such transfer) (and any substantially concurrent interim sale, Distribution, contribution or other transfer of such Equity Interests to a Loan Party (which may include Aleris or any Restricted Subsidiary of Aleris) to effect such sale, Distribution, contribution or transfer); and
(b)    if applicable in connection with any of the transactions described in clause (a) above, as consideration for such sale, Distribution, contribution or other transfer of such Equity Interests, the issuance of one or more Intercompany Notes to the Loan Party that sold, Distributed, contributed or otherwise transferred such Equity Interests;
provided that:
(i)    any such sale, Distribution, contribution or other transfer of such Equity Interests shall occur within one year of the Aleris Acquisition Closing Date (or such later date agreed by the Administrative Agent); provided that any Intercompany Note issued in connection therewith shall be issued substantially concurrently with the consummation of such sale, Distribution, contribution or other transfer of such Equity Interests;

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          59

(ii)    any such Equity Interests transferred to a Loan Party are, subject to the terms of the Intercreditor Agreement and any limitations on such pledge pursuant to the definition of Excluded Property, or any other limitations set forth in the applicable Security Agreement, pledged in favor of the Collateral Agent to secure the Secured Obligations and, to the extent certificated, the certificates representing such Equity Interests are delivered to the Collateral Agent, together with undated stock powers or other appropriate instruments of transfer executed and delivered in blank by a duly authorized officer of such Loan Party, no later than the date that is 10 Business Days after the date of such sale, Distribution, contribution or other transfer of such Equity Interests (or such later date agreed by the Administrative Agent);
(iii)    the obligations under each Intercompany Note issued in connection with any step of a Permitted Aleris Foreign Subsidiary Transfer shall be subordinated to the Secured Obligations (to the extent evidencing a payment obligation of a Loan Party) on terms reasonably satisfactory to the Administrative Agent and shall constitute Subordinated Indebtedness hereunder, and each such Intercompany Note received by a Loan Party shall, subject to the terms of the Intercreditor Agreement, be pledged in favor of the Collateral Agent to secure the Secured Obligations, and such Intercompany Notes shall be delivered to the Collateral Agent, together with an allonge or other instrument of transfer executed and delivered in blank by a duly authorized officer of such Loan Party, no later than the date that is 10 Business Days after the date the Intercompany Note is issued (or such later date agreed by the Administrative Agent); and
(iv)    any sale, Distribution, contribution or other transfer of Equity Interests of a Transferred Aleris Foreign Subsidiary to a Restricted Grantor (other than a Transferred Aleris Foreign Subsidiary transferred to a Restricted Grantor organized in the same jurisdiction as the Transferred Aleris Foreign Subsidiary) shall be conditioned on either the creation of a newly formed Unrestricted Grantor or the existence of an Unrestricted Grantor, in each case that (A) is directly 100% owned by such Restricted Grantor and that directly owns 100% of such Transferred Aleris Foreign Subsidiary after giving effect to such transaction, (B) has complied with the Joinder Requirements and (C) shall not be permitted to own, on and after the date of such action, any assets other than the Permitted Holding Company Assets.
“Permitted Customer Account Financing Amendment Conditions” shall mean, with respect to each amendment to the definition of Permitted Customer Account Financing effected pursuant to Section 1.10, each of the following:
(a)    Holdings or the Designated Company shall have executed and delivered a certificate to the Administrative Agent, no later than two Business Days after the date that any Permitted ABL Customer Account Financing Amendment becomes effective, attaching a certified copy of such Permitted ABL Customer Account Financing Amendment, and certifying that the terms of such Permitted ABL Customer Account Financing Amendment comply with the requirements set forth in clauses (b) through (d) below;
(b)    the terms of such amendment shall not expand the scope of the Collateral permitted to be released in connection with any Permitted Customer Account Financing, which Collateral shall be limited to Factoring Assets that are sold in connection with (or that otherwise secure) such Permitted 

    
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Customer Account Financing, it being understood that factoring additional Accounts of additional Account Debtors shall not constitute an expansion of the scope for purposes of this clause (b);
(c)    such amendment shall relate solely to the factoring of Accounts of customers of the Loan Parties in connection with a Permitted Customer Account Financing, and the creation of Liens on Factoring Assets that secure such Permitted Customer Account Financing; and
(d)    such amendment shall not otherwise adversely affect the Secured Parties or contravene the terms of the Intercreditor Agreement.
“Permitted Customer Account Financing” shall mean a financing or other transaction of the type permitted by Section 6.01(e) or 6.06(e) with respect to Accounts of one or more Loan Parties; provided that (i) no Default exists or would result therefrom and the representations and warranties set forth in the Loan Documents shall be true and correct in all material respects on and as of the date thereof (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects), with the same effect as though made on such date, except to the extent such representations and warranties expressly relate to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects (or, in the case of any representation or warranty that is qualified as to materiality, “Material Adverse Effect” or similar language, in all respects) as of such earlier date, (ii) the number of Account Debtors whose Accounts are at any time subject to Permitted Customer Account Financings shall be limited to seven; provided that all Affiliates of an Account Debtor shall be deemed to be a single Account Debtor for purposes of this definition, and (iii) Accounts subject to a Permitted Customer Account Financing must be capable of being fully segregated from other Accounts (including with respect to accounts receivable reporting, purchase orders, invoicing, and payments); provided, further, that notwithstanding any provision of Section 11.02, the Agents are hereby authorized by the Lenders to make any amendments to the Loan Documents that are necessary or appropriate in the judgment of the Administrative Agent to reflect such Permitted Customer Account Financing.
“Permitted Factoring Facility” shall mean a sale of Receivables on a discounted basis by any Company, so long as (i) no Loan Party has any obligation, contingent or otherwise in connection with such sale (other than to deliver the Receivables purported to be sold free and clear of any encumbrance and other than as permitted by Section 6.04(n)), and (ii) such sale is for cash and fair market value.
“Permitted First Priority Refinancing Debt” shall mean any secured Indebtedness incurred by any Loan Party in the form of one or more series of senior secured notes under one or more indentures; provided that (i) such Indebtedness is secured by the Collateral (or a portion thereof) on a pari passu basis (but without regard to the control of remedies, which shall be as set forth in the Intercreditor Agreement) with the Secured Obligations and is not secured by any property or assets other than the Collateral, (ii) such Indebtedness constitutes Credit Agreement Refinancing Indebtedness in respect of Term Loans (including portions of Classes of Term Loans, Other Term Loans or Incremental Term Loans), (iii) such Indebtedness does not mature or have scheduled amortization or payments of principal and is not subject to mandatory redemption or prepayment (except customary asset sale or change of control provisions, which asset sale provisions may require the application of proceeds of asset sales and casualty events co-extensive with those set forth in Section 2.10(c) and 2.10(e), as applicable, to make mandatory prepayments or prepayment offers out of such proceeds on a pari passu basis with 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          61

the Secured Obligations, all other Permitted First Priority Refinancing Debt and all Additional Senior Secured Indebtedness), in each case prior to the date that is 181 days after the Latest Maturity Date at the time such Indebtedness is incurred, (iv) the security agreements relating to such Indebtedness are substantially the same as the Security Documents (with such differences as are reasonably satisfactory to the Administrative Agent), (v) such Indebtedness is not guaranteed by any Persons other than the Loan Parties, (vi) the other terms and conditions of such Indebtedness (excluding pricing, premiums and optional prepayment or optional redemption provisions) are customary market terms for securities of such type (provided that such terms shall in no event include any financial maintenance covenants) and, in any event, when taken as a whole, are not materially more favorable to the investors providing such Indebtedness than the terms and conditions of the applicable Refinanced Debt (except with respect to any terms (including covenants) and conditions contained in such Indebtedness that are applicable only after the then Latest Maturity Date) (provided that a certificate of a Responsible Officer delivered to the Administrative Agent at least five Business Days prior to the incurrence of such Indebtedness, together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto, stating that the Designated Company has determined in good faith that such terms and conditions satisfy the requirement of this clause (vi) shall be conclusive evidence that such terms and conditions satisfy such requirement unless the Administrative Agent notifies the Designated Company within such five Business Day period that it disagrees with such determination (including a reasonable description of the basis upon which it disagrees)), (vii) no Default shall exist immediately prior to or after giving effect to such incurrence and (viii) a Senior Representative acting on behalf of the holders of such Indebtedness shall have become party to the Intercreditor Agreement.  Permitted First Priority Refinancing Debt will include any Registered Equivalent Notes issued in exchange therefor.
“Permitted Fiscal Unity Liability” shall mean any joint and several liability arising as a result of an Loan Party being a member of a fiscal unity permitted under Section 3.31.
“Permitted German Alternative Financing” shall mean a financing or other transaction of the type permitted by Section 6.01(e), 6.01(m), 6.06(e), or 6.06(r) with respect to Accounts or Inventory of one or more German Guarantors; provided that (i) no Default exists or would result therefrom and the representations and warranties set forth in the Loan Documents shall be true and correct in all material respects on and as of the date thereof, with the same effect as though made on such date, except to the extent such representations and warranties expressly relate to an earlier date, (ii) from and after the date of any Permitted German Alternative Financing, the amount of the German Borrowing Base (as defined in the Revolving Credit Agreement) shall be deemed to be zero, and availability under the Swiss Borrowing Base (as defined in the Revolving Credit Agreement) in respect of Accounts sold pursuant to a German Receivables Purchase Agreement shall be deemed to be zero, (iii) on or prior to the date of any Permitted German Alternative Financing, Novelis Deutschland GmbH shall have prepaid all of its outstanding loans under the Revolving Credit Agreement in full in cash, in accordance with the terms thereof, (iv) from and after the date of any Permitted German Alternative Financing, Novelis Deutschland GmbH shall not be permitted to request or borrow any loans under the Revolving Credit Agreement and shall be deemed no longer to be a borrower thereunder, and (v) the applicable Loan Parties shall have terminated the German Receivables Purchase Agreement; and provided, further, that notwithstanding any provision of Section 11.02, the Agents are hereby authorized by the Lenders 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          62

to make any amendments to the Loan Documents that are necessary or appropriate in the judgment of the Administrative Agent to reflect such Permitted German Alternative Financing.
“Permitted Holding Company Assets” shall mean for any Person (i) Deposit Accounts; provided that the aggregate amount on deposit in such accounts at the end of each day shall not exceed $1,000,000 (or the equivalent thereof); provided, further, that, so long as no Default is then continuing, the amount on deposit in such accounts may exceed such amount if such deposits are applied to settle an Investment permitted under Section 6.04 within three Business Days of the deposit therein, (ii) Equity Interests in Subsidiaries pledged under Security Documents, (iii) intangible rights required to exist and do business as a holding company, and (iv) rights under contracts and licenses with Holdings and its Subsidiaries permitted hereunder; provided, that Permitted Holding Company Assets shall not include (x) any Intellectual Property (other than customary inbound licenses to use Intellectual Property of the Companies necessary to operate the business of such Person) or (y) any other contracts or licenses that are material to the business of Holdings and its Subsidiaries, taken as a whole.
“Permitted Holdings Amalgamation” shall mean the amalgamation of Holdings and the Borrower on a single occasion following the Closing Date; provided that (i) no Default exists or would result therefrom and the representations and warranties set forth in the Loan Documents shall be true and correct in all material respects on and as of the date of the amalgamation, with the same effect as though made on such date, except to the extent such representations and warranties expressly relate 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), (ii) the person resulting from such amalgamation shall be a corporation amalgamated under the Canada Business Corporations Act (such resulting person, the “Successor Borrower”), and the Successor Borrower shall expressly assume and confirm its obligations as Borrower under this Agreement and the other Loan Documents to which Borrower is a party pursuant to a confirmation in form and substance reasonably satisfactory to the Administrative Agent, (iii) immediately upon consummation of such amalgamation, (x) if such amalgamation occurs prior to the Designated Holdco Effective Date, AV Minerals, or (y) if such amalgamation occurs prior to the Designated Holdco Effective Date and prior to the commencement of the Permitted Reorganization, a new holding company with no material assets other than Equity Interests in the Successor Borrower (such Person described in clause (x) or (y), “Successor Holdings”), shall (A) be, (1) in the case of AV Minerals, organized under the laws of the Netherlands, or (2) in the case of any other holding company, organized under the laws of the Netherlands, England and Wales, Canada, or a province or territory of Canada, (B) directly own 100% of the Equity Interests in the Successor Borrower; provided that, if such amalgamation occurs on or after the Designated Holdco Effective Date, then Designated Holdco shall directly own 100% of the Equity Interests in the Successor Borrower and Successor Holdings shall own 100% of the Equity Interests of Designated Holdco, (C) execute a supplement or joinder to this Agreement in form and substance reasonably satisfactory to the Administrative Agent to become a Guarantor and execute Security Documents (or supplements or joinder agreements thereto) in form and substance reasonably satisfactory to the Administrative Agent, and take all actions necessary or advisable in the opinion of the Administrative Agent or the Collateral Agent to cause the Lien created by the applicable Security Documents to be a duly perfected First Priority Lien in accordance with all applicable Requirements of Law, including the filing of financing statements (or other applicable filings) in such jurisdictions as may be reasonably requested by the Administrative Agent or the Collateral Agent, and to assume and confirm its obligations as Holdings 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          63

under this Agreement and the other Loan Documents and (D) subject to the terms of the Intercreditor Agreement, pledge and deliver to the Collateral Agent the certificates, if any, representing all of the Equity Interests owned by Successor Holdings), together with undated stock powers or other appropriate instruments of transfer executed and delivered in blank by a duly authorized officer of Successor Holdings, (iv) be in compliance with all covenants and obligations of Holdings (and, on and after the Designated Holdco Effective Date, Designated Holdco) under this Agreement, (v) immediately after giving effect to any such amalgamation, the Senior Secured Net Leverage Ratio is not greater than the Senior Secured Net Leverage Ratio immediately prior to such amalgamation, which shall be evidenced by a certificate from the chief financial officer of the Borrower demonstrating such compliance calculation in reasonable detail, (vi) the Successor Borrower shall have no Indebtedness after giving effect to the Permitted Holdings Amalgamation other than Indebtedness of the Borrower in existence immediately prior to the consummation of the Permitted Holdings Amalgamation, (vii) each other Guarantor, shall have by a confirmation in form and substance reasonably satisfactory to the Administrative Agent, confirmed that its guarantee of the Guaranteed Obligations (including its Guarantee) shall apply to the Successor Borrower’s obligations under this Agreement, (viii) the Borrower and each other Guarantor shall have by confirmations and any required supplements to the applicable Security Documents reasonably requested by the Administrative Agent, in each case, in form and substance reasonably satisfactory to the Administrative Agent, confirmed that its obligations thereunder shall apply to the Successor Borrower’s obligations under this Agreement and the other Loan Documents and (ix) each Loan Party shall have delivered opinions of counsel and related officers’ certificates reasonably requested by the Administrative Agent with respect to the execution and delivery and enforceability of the documents referred to above and the compliance of such amalgamation with the provisions hereof, and all such opinions of counsel shall be satisfactory to the Administrative Agent; and provided, further, that (x) if the foregoing are satisfied, Successor Holdings will be substituted for and assume all obligations of AV Metals under this Agreement and each of the other Loan Documents and all references hereunder and under the other Loan Documents to Holdings shall be references to the such Person and (2) the Successor Borrower shall be substituted for Novelis Inc. under this Agreement and each of the other Loan Documents and shall assume all obligations of Novelis Inc. under this Agreement and each of the other Loan Documents and all references hereunder and under the other Loan Documents to the Borrower shall be references to the Successor Borrower and (y) notwithstanding any provision of Section 11.02, the Administrative Agent is hereby authorized by the Lenders to make any amendments to the Loan Documents that are necessary to reflect such changes in the parties to the applicable Loan Documents.
“Permitted Holdings Indebtedness” shall mean unsecured Indebtedness of Holdings (i) with respect to which neither the Designated Company nor any Subsidiary has any Contingent Obligation, (ii) that will not mature prior to the 180th day following the Latest Maturity Date, (iii) that has no scheduled amortization of principal prior to the 180th day following the Latest Maturity Date, (iv) that does not require any payments in cash of interest or other amounts in respect of the principal thereof (other than optional redemption provisions customary for senior discount or “pay-in-kind” notes) for a number of years from the date of issuance or incurrence thereof equal to at least one-half of the term to maturity thereof, (v) that has mandatory prepayment, repurchase or redemption, covenant, default and remedy provisions customary for senior discount or “pay-in-kind” notes of an issuer that is the parent of a borrower under senior secured credit facilities and (vi) that is issued to a person that is not an Affiliate of the Designated Company or any of Holdings’ Subsidiaries in an arm’s-length transaction 

    
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on fair market terms; provided that at least five Business Days prior to the incurrence of such Indebtedness, a Responsible Officer of Holdings shall have delivered a certificate to the Administrative Agent (together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto) stating that Holdings has determined in good faith that such terms and conditions satisfy the foregoing requirements.
“Permitted Liens” shall have the meaning assigned to such term in Section 6.02.
“Permitted Novelis Switzerland Financing” shall mean a financing or other transaction of the type permitted by Section 6.01(e) or 6.06(e) with respect to any Accounts of Novelis Switzerland; provided that (i) after giving effect to such financing, no Accounts of Novelis Switzerland shall be included in the borrowing base for purposes of the Revolving Credit Agreement, and (ii) no Default exists or would result therefrom and the representations and warranties set forth in the Loan Documents shall be true and correct in all material respects on and as of the date thereof, with the same effect as though made on such date, except to the extent such representations and warranties expressly relate to an earlier date and provided, further, that notwithstanding any provision of Section 11.02, the Agents are hereby authorized by the Lenders to make any amendments to the Loan Documents that are necessary or appropriate in the judgment of the Administrative Agent to reflect such Permitted Novelis Switzerland Financing.  
“Permitted Prepayments” shall have the meaning assigned to such term in Section 6.11.
“Permitted Refinancing” shall mean, with respect to any person, any refinancing or renewal of any Indebtedness of such person; provided that (a) the aggregate principal amount (or accreted value, if applicable) of the Indebtedness incurred pursuant to such refinancing or renewal does not exceed the aggregate principal amount (or accreted value, if applicable) of the Indebtedness so refinanced or renewed except by an amount equal to unpaid accrued interest and premium thereon and any make-whole payments applicable thereto plus other reasonable amounts paid, and fees and expenses reasonably incurred, in connection with such refinancing or renewal and by an amount equal to any existing commitments unutilized thereunder (it being understood that the aggregate principal amount (or accreted value, if applicable) of the Indebtedness being incurred may be in excess of the amount permitted under this clause (a) to the extent such excess does not constitute a Permitted Refinancing and is otherwise permitted under Section 6.01), (b) such refinancing or renewal has a final maturity date equal to or later than the final maturity date of, and has a Weighted Average Life to Maturity equal to or greater than the Weighted Average Life to Maturity of, the Indebtedness being refinanced or renewed (excluding the effects of nominal amortization in the amount of no greater than one percent per annum and prepayments of Indebtedness), (c) no Default is then continuing or would result therefrom, (d) the persons that are (or are required to be) obligors under such refinancing or renewal do not include any person that is not (or is not required to be) an obligor under the Indebtedness being so refinanced or renewed (or, in the case of a Permitted Refinancing of the Senior Notes, such obligors are Loan Parties (other than Holdings)) and (e) the subordination provisions thereof (if any) shall be, in the aggregate, no less favorable to the Lenders than those contained in the Indebtedness being so refinanced or renewed; provided that at least five Business Days prior to the incurrence of such refinancing or renewal, a Responsible Officer of the Designated Company shall have delivered an Officers’ Certificate to the Administrative Agent (together with a reasonably detailed description 

    
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of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto) certifying that the Designated Company has determined in good faith that such terms and conditions satisfy the foregoing requirements.
“Permitted Reorganization” shall mean, at any time prior to a Qualified Borrower IPO, an internal reorganization of Holdings and its Subsidiaries to effect any or all of the Permitted Reorganization Actions, subject to the following terms and conditions; provided that the Permitted Reorganization shall not occur if the Permitted Holdings Amalgamation occurs and AV Minerals is not Successor Holdings:
(a)    both immediately before and immediately after giving effect to each step of the Permitted Reorganization, and at all times during the Permitted Reorganization:
		
	(i)
	the Permitted Reorganization, each Permitted Reorganization Action, and each step taken in furtherance of the Permitted Reorganization and of each Permitted Reorganization Action, shall not reduce or impair the value or benefit of the Guarantee, any Foreign Guarantee, or the Collateral; provided that (x) the re-starting of any fraudulent conveyance, fraudulent transfer, preference or hardening period with respect to any Guarantee, Foreign Guarantee or Lien under applicable Requirements of Law and (y) any limitations under the laws of Switzerland with respect to the enforcement of any share pledge with respect to the Equity Interests directly held by Novelis AG, Novelis Switzerland SA or the Surviving Swiss Subsidiary, as applicable, following any sale, Distribution or other transfer described under clause (f) or (h) of the definition of Permitted Reorganization Actions shall not, in itself, constitute a reduction or impairment for purposes of this clause (a);

		
	(ii)
	no Default shall have occurred and be continuing or would result therefrom, and each of the representations and warranties made by any Loan Party set forth in ARTICLE III hereof or in any other Loan Document (other than Hedging Agreements) shall be true and correct in all material respects on and as of the date of such step of the Permitted Reorganization with the same effect as though made on and as of such date, except to the extent such representations and warranties expressly relate to an earlier date, in which case such representations and warranties shall have been true and correct in all material respects as of such earlier date, and a Responsible Officer of the Designated Company (after giving effect to such step of the Permitted Reorganization) shall have provided an Officer’s Certificate certifying as to the matters in clause (a)(i) and this clause (a)(ii);

		
	(iii)
	no Person involved in any step of the Permitted Reorganization that is not a Loan Party, solely for the period of time that such Person is not a Loan Party, shall hold or own any Collateral or any assets that constituted Collateral immediately prior to or during such step of the Permitted Reorganization;

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          66

		
	(iv)
	any Collateral shall remain subject to (or, in the case of Collateral created as part of any step of the Permitted Reorganization, shall become subject to, at or prior to the time such step is effected) a duly perfected Lien in favor of the Collateral Agent in accordance with all applicable Requirements of Law, including the filing of financing statements (or other applicable filings) in such jurisdictions as may be reasonably requested by the Collateral Agent, in each case in accordance with the terms of the Loan Documents (without regard to any time periods provided for herein or therein);

		
	(v)
	the Guarantee and each Foreign Guarantee shall continue to be effective and fully enforceable in accordance with its terms, it being understood that a Loan Party shall not be in violation of this clause (v) solely as a result of its amalgamation, consolidation, merger or dissolution with and into another Loan Party so long as such amalgamation, consolidation or merger complies with the requirements of Section 6.05(c); and

		
	(vi)
	notwithstanding the foregoing, the Administrative Agent may reasonably require that any Loan Party enter into a new Guarantee, Foreign Guarantee, and new Security Documents, as applicable, or reaffirmations of any of the foregoing, in each case in form and substance reasonably satisfactory to the Administrative Agent, in connection with any step of the Permitted Reorganization, in order to reaffirm, preserve or otherwise give effect to the foregoing requirements;

(b)    [intentionally omitted];
(c)    the Borrower shall have provided all notices and certificates required to be delivered, within the time period required to be delivered, to the applicable Agent under the applicable Loan Documents in order to consummate each step of the Permitted Reorganization; provided that, without limiting the notice requirements in this definition, the Administrative Agent may waive in writing in advance any such notice period with respect to such step, and each Lender hereby authorizes the Administrative Agent to waive any such notice period;
(d)    the Permitted Reorganization shall be completed no later than the close of business on the one year anniversary of the date that the Companies commence the first step of the Permitted Reorganization (without regard to the formation of Designated Holdco, for so long as Designated Holdco does not own any Equity Interests in any Loan Party or any other Subsidiary) or such longer period as may be agreed to by the Administrative Agent in its sole discretion;
(e)    prior to commencing any step of the Permitted Reorganization, each step of the Permitted Reorganization shall be permitted under the documents evidencing Material Indebtedness;
(f)    [intentionally omitted];
(g)    no later than the date that is five Business Days prior to the date that each step of the Permitted Reorganization is commenced (or such later date agreed to by the Administrative Agent), 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          67

the Designated Company shall have delivered to the Administrative Agent a certificate from a Financial Officer of the Designated Company setting forth the commencement date of such step of the Permitted Reorganization, and certifying that all actions taken in connection with such step comply with the terms of this definition, the definition of Permitted Reorganization Actions, and the terms of the Loan Documents; provided that the first certificate delivered pursuant to this clause (g) shall also state that the step (or steps) described in such certificate constitute the commencement of the Permitted Reorganization, and shall state the date by which the Permitted Reorganization must be completed in accordance with clause (d) above;
(h)    in the case of AV Minerals, Designated Holdco, and each new Subsidiary amalgamated, created or otherwise formed as part of any step of the Permitted Reorganization, such Person shall become a Loan Party (in the case of any Subsidiary of Designated Holdco other than the Co-Borrowers, Novelis Acquisitions and Aleris, solely to the extent required under Section 5.11 or otherwise in order to comply with the other clauses of this definition and the definition of Permitted Reorganization Actions) pursuant to the terms of the Loan Documents (without regard to any time periods provided for herein or therein) and shall become party to and/or execute and deliver the Guarantee, each applicable Foreign Guarantee, and each applicable Security Document, at or prior to the time such step is effected;
(i)    [intentionally omitted];
(j)    [intentionally omitted];
(k)    notwithstanding any other provision in any Loan Document to the contrary, the Loan Parties shall gross-up and otherwise indemnify each Agent and each other Secured Party for all Taxes incurred by such Agent or Secured Party as a result of the Permitted Reorganization or any step thereof (including any such Taxes arising after the consummation of any step of the Permitted Reorganization, whether as a result of a Person becoming Holdings or otherwise), and this Agreement shall be amended as may be necessary or appropriate, in the reasonable opinion of the Administrative Agent (and implemented pursuant to documentation agreed by the Administrative Agent, the Collateral Agent and the Designated Company, such agreement not to be unreasonably withheld), to give effect to such gross-up and indemnification (including the addition of gross-up and indemnification provisions applicable, in the reasonable opinion of the Administrative Agent, to implement such gross up and indemnity obligations); provided, however, that solely for purposes of this clause (k), “Taxes” shall not include any (i) Taxes imposed on or measured by overall net income (however denominated), franchise Taxes (in lieu of net income taxes), and branch profits Taxes, in each case, (x) imposed as a result of such recipient being organized under the laws of, or having its principal office or, in the case of any Lender, its applicable lending office located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (y) that are Other Connection Taxes, (ii) Taxes attributable to such recipient’s failure to comply with Section 2.15(e), and (iii) any U.S. federal withholding Taxes imposed under FATCA;
(l)    prior to or concurrently with the consummation of each step of the Permitted Reorganization, the Loan Parties shall deliver or cause to be delivered:

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          68

		
	(i)
	all documents reasonably requested by the Administrative Agent in connection with the Permitted Reorganization and/or such step thereof, including, but not limited to, documents consistent with those described in Sections 4.01(k), 4.02(b), (c), (d), (g) through (n), and Schedule 5.15, in each case in form and substance reasonably acceptable to the Administrative Agent; and

		
	(ii)
	favorable written opinions of Torys, LLP (or other nationally recognized U.S. counsel for the Loan Parties) and each local and foreign counsel of the Loan Parties (or, in the case of Loan Documents governed by or entities organized under the laws of the United Arab Emirates or the Dubai International Financial Centre, counsel to the Administrative Agent and the Collateral Agent), in each case reasonably requested by the Administrative Agent, in each applicable jurisdiction and addressed to the Agents and the Lenders, covering such matters relating to the Loan Documents and the Permitted Reorganization and/or such step thereof as the Administrative Agent shall reasonably request, and in each case in form and substance reasonably satisfactory to the Administrative Agent, including, but not limited to, opinions covering:

		
	(1)
	creation or continued validity and perfection of the Guarantees, the Foreign Guarantees, or the Collateral after giving effect to such step of the Permitted Reorganization;

		
	(2)
	enforceability of all Loan Documents, and confirmation or similar opinions as to the validity and enforceability of the Guarantees and the Foreign Guarantees and all Security Documents;

		
	(3)
	validity of debt claims in connection with all Loans and all Guarantees and Foreign Guarantees; and

		
	(4)
	no conflict with organizational documents, Requirements of Law and any documents evidencing Material Indebtedness; 

(m)    notwithstanding any other provision in any Loan Document to the contrary, the Administrative Agent, the Collateral Agent and the Designated Company may make (and the Administrative Agent and the Collateral Agent are hereby authorized by the Lenders to make) such amendments, restatements and other modifications to the Loan Documents (other than the definition of Permitted Reorganization except to the extent provided for therein) as may be necessary or appropriate, in the reasonable opinion of the Administrative Agent, the Collateral Agent, and the Designated Company, to effect the terms of the Permitted Reorganization, in each case in a manner consistent with the terms and conditions set forth in this definition and in forms mutually agreed by the Agents and the Designated Company;
(n)     The Co-Borrowers shall pay or cause the applicable Loan Party to pay all reasonable out-of-pocket expenses incurred by the Administrative Agent, the Collateral Agent, the Mandated Lead Arrangers, and their respective Affiliates (including the reasonable fees, charges and disbursements of one primary transaction counsel (plus local counsel in each applicable jurisdiction) in connection 

    
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with the Permitted Reorganization, and all documents, filings, and any amendment, amendment and restatement, modification or waiver of the provisions hereof or of any other Loan Document (whether or not the Permitted Reorganization shall be consummated); and 
(o)    Notwithstanding any provision in any Loan Document to the contrary, with respect to each step of the Permitted Reorganization, the Administrative Agent may require amendments and modifications to (i) the Loan Documents (or new Guarantees and Foreign Guarantees) to ensure that the Guarantees and the Foreign Guarantees effectively result in the Secured Obligations of each Co-Borrower being guaranteed by each Guarantor (excluding a guarantee by a Co-Borrower of its own Secured Obligations) upon and after giving effect to such step of the Permitted Reorganization and (ii) the Loan Documents (or new Security Documents) to ensure that the Collateral immediately prior to such step of the Permitted Reorganization which is granted by any Loan Party (and assets required to be pledged as Collateral) effectively secures the Secured Obligations of such Loan Party (or any additional Loan Parties) upon and after giving effect to such step of the Permitted Reorganization. Such amendments, modifications and other Loan Documents so required by the Administrative Agent shall, notwithstanding any provision in any Loan Document to the contrary, become effective upon execution and delivery by the Administrative Agent, the Collateral Agent and the applicable Loan Party, and shall not require the approval of any Lenders, and the Loan Parties agree to execute and deliver such amendments, modifications and other Loan Documents as may be reasonably requested by the Administrative Agent.
The Collateral Agent is hereby authorized to file UCC or PPSA financing statements, mortgages, and all other documents, filings and registrations in each applicable jurisdiction as the Collateral Agent (after consultation with its counsel) reasonably determines is advisable in connection with the steps contemplated by the Permitted Reorganization in order to preserve or maintain the Liens securing the Secured Obligations or the perfection or recordation of such Liens, or to create or perfect or record Liens granted by Loan Parties in connection with or following the consummation of each step of the Permitted Reorganization.
“Permitted Reorganization Actions” shall mean any or all of the following, in the case of each such action, subject to the satisfaction of each of the terms and conditions set forth in the definition of Permitted Reorganization:
(a)    the formation of U.K. Holdco by AV Minerals;
(b)    the designation by the Borrower in a signed written notice delivered to the Agents of U.K. Holdco as “Designated Holdco” and the concurrent contribution, sale or other transfer of 100% of the Equity Interests in AV Metals (or, if the Permitted Holdings Amalgamation occurs on or prior to such date, Successor Borrower) from AV Minerals to Designated Holdco;
(c)    the sale, Distribution, contribution or other transfer of no more than 12.5% of the aggregate amount of Voting Stock and other Equity Interests in Novelis Aluminium Holdings Unlimited plus one additional share of such Voting Stock by Borrower to AV Minerals (and any substantially concurrent interim sale, Distribution, contribution or other transfer of such Equity Interests to a Loan Party to effect such sale, Distribution, contribution or other transfer) and, if applicable, the substantially concurrent issuance of an Intercompany Note by each Loan Party that acquires such Equity Interests 

    
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to the Loan Party that sells, Distributes, contributes or otherwise transfers such Equity Interests to it, as consideration for such sale, Distribution, contribution or other transfer;
(d)    the Permitted Holdings Amalgamation;
(e)    the merger of Novelis AG and Novelis Switzerland SA;
(f)    the sale, Distribution or other transfer of 100% or less of the Equity Interests in Novelis Holdings Inc. from Borrower to Designated Holdco;
(g)    the sale, Distribution, contribution or other transfer of 100% of the Equity Interests in Novelis Holdings Inc. from Designated Company and/or Borrower to Novelis AG, Novelis Switzerland SA, the survivor of the merger of Novelis AG and Novelis Switzerland SA pursuant to clause (e) above (the “Surviving Swiss Subsidiary”) or, to the extent required by clause (iii) below, New U.S. Holdings (and any substantially concurrent interim sale, Distribution, contribution or other transfer of such Equity Interests to an Unrestricted Grantor to effect such sale, Distribution, contribution or other transfer) and, if applicable, the substantially concurrent issuance of an Intercompany Note by each Loan Party that acquires such Equity Interests to the Loan Party that sells, Distributes, contributes or otherwise transfers such Equity Interests to it, as consideration for such sale, Distribution, contribution or other transfer; and
(h)    the sale, Distribution, contribution or other transfer by a Loan Party (such Loan Party, the “Transferring Loan Party”) of 100% of the Equity Interests (other than Equity Interests in Novelis Holdings Inc.) in any Subsidiary of Designated Company (such subsidiary, the “Transferred Subsidiary”), to an Interim Holding Company that has complied with the requirements of clause (iv) below (and any substantially concurrent interim sale, Distribution, contribution or other transfer of such Equity Interests to a Loan Party to effect such sale, Distribution, contribution or other transfer) and, if applicable, the substantially concurrent issuance of an Intercompany Note by each Loan Party that acquires such Equity Interests to the Loan Party that sells, Distributes, contributes or otherwise transfers such Equity Interests to it, as consideration for such sale, Distribution, contribution or other transfer;
provided that:
(i)    the commencement of any of the actions described in clauses (b), (c), (f), (g) or (h) above (in the case of clauses (g) and (h) above, solely to the extent that Designated Company is Designated Holdco) shall be conditioned on each of AV Minerals and U.K. Holdco having become Guarantors and having granted Liens on their assets to secure the Secured Obligations on terms consistent with the terms of the Loan Documents, including, but not limited to, the requirements set forth in clause (l) of the definition of Permitted Reorganization and in Sections 5.11 and 5.12 hereof (without regard to any time periods set forth therein) (collectively, the “Joinder Requirements”);
(ii)    the commencement of any of the actions described in clauses (c), (f), (g) or (h) above (in the case of clauses (g) and (h) above, solely 

    
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to the extent that Designated Company is Designated Holdco) shall be conditioned on the completion of the actions described in clauses (a) and (b) above; 
(iii)    each sale, Distribution, contribution or other transfer described in clause (g) above shall be conditioned on either (x) Novelis Holdings Inc. not owning, following such action and thereafter, any assets other than the Equity Interests in its direct Subsidiaries and the Permitted Holding Company Assets or (y) the formation of a new Subsidiary (“New U.S. Holdings”) organized under the laws of any State of the United States or the District of Columbia that is a direct Wholly Owned Subsidiary of Novelis AG, Novelis Switzerland SA, or the Surviving Swiss Subsidiary, and that (1) directly and wholly owns Novelis Holdings Inc. and (2) indirectly wholly owns Novelis Acquisitions (and, immediately after giving effect to the merger of Novelis Acquisitions with and into Aleris in connection with the Aleris Acquisition, Aleris); provided that this subclause (y) shall be further conditioned on New U.S. Holdings complying with the Joinder Requirements; provided, further, that New U.S. Holdings shall not be permitted to own, on and after the date of such action, any assets other than the Permitted Holding Company Assets;
(iv)    each sale, Distribution, contribution or other transfer described in clause (h) above shall be conditioned on either the creation of a newly formed Unrestricted Grantor or the existence of an existing Unrestricted Grantor, in each case that has complied with the Joinder Requirements (such Unrestricted Grantor, an “Interim Holding Company”), which Person shall be a direct Wholly Owned Subsidiary of Novelis AG, Novelis Switzerland SA, or the Surviving Swiss Subsidiary, and that shall directly wholly own the Transferred Subsidiary so sold, Distributed, contributed or transferred pursuant to such transaction; provided that such Unrestricted Grantor shall not be permitted to own, on and after the date of such action, any assets other than the Permitted Holding Company Assets;
(v)    except as provided in clauses (i) through (iv) above, the actions described in clauses (d), (e), (g), and (h) are not conditioned on the occurrence of any of such other actions or the actions described in clauses (a), (b) or (c);
(vi)    the order of the actions described in clauses (a) through (h) above may be changed as long as the conditions specified for such action in clauses (i) through (v) above are satisfied; and
(vii)    the obligations under each Intercompany Note issued in connection with any action or interim action described in clause (g) or (h) above shall be subordinated to the Secured Obligations on terms reasonably satisfactory to the Administrative Agent and shall constitute Subordinated Indebtedness hereunder.

    
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“Permitted Revolving Credit Facility Refinancing” shall mean any credit facility that refinances or renews or replaces any of the Indebtedness incurred and commitments available under the Revolving Credit Loan Documents (which may be an asset-based or cash flow financing); provided that (a) the aggregate principal amount (or accreted value, if applicable) of all such Indebtedness, after giving effect to such refinancing or renewal, shall not exceed the Maximum Revolving Credit Facility Amount then in effect plus an amount equal to unpaid accrued interest and premium on the Indebtedness being so refinanced or renewed plus other reasonable amounts paid, and fees and expenses reasonably incurred, in connection with such refinancing or renewal, (b) such refinancing or renewal has a final maturity date equal to or later than the final maturity date of the Indebtedness being so refinanced or renewed, (c) no Default is existing or would result therefrom, (d) the collateral securing such refinancing, renewal or replacement is not greater than the Collateral  (but without regard to whether such collateral is treated as Pari Passu Priority Collateral or Revolving Credit Priority Collateral for purposes of such credit facility under the Intercreditor Agreement) and (e) the persons that are (or are required to be) obligors under such refinancing or renewal do not include any person that is not an obligor under the Indebtedness being so refinanced or renewed (unless, in the case of a refinancing of Indebtedness of a Loan Party, such persons are or become obligors under the Loan Documents); provided that at least five Business Days prior to the incurrence of such refinancing or renewal, a Responsible Officer of the Designated Company shall have delivered an Officers’ Certificate to the Administrative Agent (together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto) certifying that the Designated Company has determined in good faith that such terms and conditions satisfy the foregoing requirements.
“Permitted Second Priority Refinancing Debt” shall mean secured Indebtedness incurred by any Loan Party in the form of one or more series of junior lien secured notes under one or more indentures or junior lien secured loans under one or more other debt instruments or facilities; provided that (i) such Indebtedness is secured by a Junior Lien on the Collateral (or a portion thereof) and is not secured by any property or assets other than the Collateral, (ii) such Indebtedness constitutes Credit Agreement Refinancing Indebtedness in respect of Term Loans (including portions of Classes of Term Loans, Other Term Loans or Incremental Term Loans), (iii) such Indebtedness does not mature or have scheduled amortization or payments of principal and is not subject to mandatory redemption or prepayment (except customary asset sale or change of control provisions), in each case prior to the date that is 181 days after the Latest Maturity Date at the time such Indebtedness is incurred, (iv) subject to clause (vii) below, the security agreements relating to such Indebtedness are substantially the same as the Security Documents (with such differences as are reasonably satisfactory to the Administrative Agent), (v) such Indebtedness is not guaranteed by any Persons other than the Loan Parties, (vi) the other terms and conditions of such Indebtedness (excluding pricing, premiums and optional prepayment or optional redemption provisions) are customary market terms for securities of such type and, in any event, when taken as a whole, are not materially more favorable to the investors or lenders providing such Indebtedness than the terms and conditions of the applicable Refinanced Debt (except with respect to any terms (including covenants) and conditions contained in such Indebtedness that are applicable only after the then Latest Maturity Date) (provided that a certificate of a Responsible Officer delivered to the Administrative Agent at least five Business Days prior to the incurrence of such Indebtedness, together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto, stating that the 

    
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Designated Company has determined in good faith that such terms and conditions satisfy the requirement of this clause (vi) shall be conclusive evidence that such terms and conditions satisfy such requirement unless the Administrative Agent notifies the Designated Company within such five Business Day period that it disagrees with such determination (including a reasonable description of the basis upon which it disagrees)), (vii) the security agreements relating to such Indebtedness (together with the Intercreditor Agreement) reflect the Junior Lien nature of the security interests and are otherwise substantially the same as the applicable Security Documents (with such differences as are reasonably satisfactory to the Administrative Agent), (viii) no Default shall exist immediately prior to or after giving effect to such incurrence, and (ix) a Senior Representative acting on behalf of the holders of such Indebtedness shall have become party to the Intercreditor Agreement.  Permitted Second Priority Refinancing Debt will include any Registered Equivalent Notes issued in exchange therefor.
“Permitted Short Term Loan Documents” shall mean the credit agreement in respect of the Permitted Short Term Indebtedness and the other “Loan Documents” (or words of like import) as defined in such credit agreement, including all guaranties and the notes issued thereunder.
“Permitted Short Term Indebtedness” shall mean the Indebtedness incurred by Novelis Acquisitions (and, immediately after giving effect to the merger of Novelis Acquisitions with and into Aleris in connection with the Aleris Acquisition, Aleris) in connection with the Aleris Acquisition, and all Contingent Obligations of the other Loan Parties in respect thereof; provided that (i) the net cash proceeds of such Indebtedness shall be used solely to finance a portion of the Aleris Acquisition, to repay existing Indebtedness of Aleris and its Subsidiaries, and to pay fees, costs and expenses incurred in connection with the Aleris Acquisition, such Indebtedness, and incremental term loans incurred under this Agreement, (ii) such Indebtedness is not guaranteed by any Persons other than the Loan Parties, (iii) no Default shall exist immediately prior to or after giving effect to such incurrence, (iv) such Indebtedness (including related guarantees) is not secured, (v) the aggregate principal amount of such Indebtedness does not exceed $1,500,000,000, (vi) the terms of such Indebtedness do not provide for any scheduled amortization payments, and (vii) the other terms and conditions of such Indebtedness (excluding pricing, premiums, maturity, and mandatory prepayments related to payments with the proceeds of Indebtedness, capital contributions or from sale of Equity Interests) are no more favorable to the lenders providing such Indebtedness than the terms and conditions under this Agreement and the other Loan Documents (without regard to the collateral-related provisions of such agreements); provided, further, that the terms of such Indebtedness shall not prohibit Holdings or any of its Restricted Subsidiaries from (x) granting any Liens to secure the Secured Obligations, (y) making any loans, payments, distributions or contributions, or any Asset Sales to the Borrower to the extent that such transactions would be permitted under this Agreement, or (z) paying all or any portion of the Secured Obligations at any time and from time to time.
“Permitted Unsecured Refinancing Debt” shall mean unsecured Indebtedness incurred by the Designated Company or any Loan Party in the form of one or more series of senior unsecured or subordinated notes or loans under one or more instruments; provided that (i) such Indebtedness constitutes Credit Agreement Refinancing Indebtedness in respect of Term Loans (including portions of Classes of Term Loans, Other Term Loans or Incremental Term Loans), (ii) such Indebtedness does not mature or have scheduled amortization or payments of principal and is not subject to mandatory redemption or prepayment (except customary asset sale or change of control provisions), in each case 

    
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prior to the date that is 181 days after the Latest Maturity Date at the time such Indebtedness is incurred, (iii) such Indebtedness is not guaranteed by any Persons other than the Loan Parties, (iv) the other terms and conditions of such Indebtedness (excluding pricing, premiums and optional prepayment or optional redemption provisions) are customary market terms for Indebtedness of such type and, when taken as a whole, are not materially more restrictive (provided that such terms shall in no event include any financial maintenance covenants) on the Designated Company and the Restricted Subsidiaries than the terms and conditions applicable to the Term Loans (provided that a certificate of a Responsible Officer delivered to the Administrative Agent at least five Business Days prior to the incurrence of such Indebtedness, together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto, stating that the Designated Company has determined in good faith that such terms and conditions satisfy the requirement of this clause (iv) shall be conclusive evidence that such terms and conditions satisfy such requirement unless the Administrative Agent notifies the Designated Company within such five Business Day period that it disagrees with such determination (including a reasonable description of the basis upon which it disagrees)) and (v) such Indebtedness (including related guarantees) is not secured.  Permitted Unsecured Refinancing Debt will include any Registered Equivalent Notes issued in exchange therefor.
“person” or “Person” shall mean any natural person, corporation, limited liability company, trust, joint venture, association, company, partnership, Governmental Authority or other entity.
“Plan” shall mean any employee pension benefit plan (other than a Multiemployer Plan) subject to the provisions of Title IV of ERISA or Section 412 of the Code or Section 302 of ERISA which is maintained or contributed to by any Company or its ERISA Affiliate or with respect to which any Company could incur liability (including under Section 4069 of ERISA).
“Platform” shall have the meaning assigned to such term in Section 11.01(d).
“Pledged Distributions” shall mean, collectively, with respect to each Loan Party, all dividends, cash, options, warrants, rights, instruments, distributions, returns of capital or principal, income, interest, profits and other property, interests (debt or equity) or proceeds, including as a result of a split, revision, reclassification or other like change of the Pledged Securities, from time to time received, receivable or otherwise distributed to such Loan Party in respect of or in exchange for any or all of the Pledged Securities or Pledged Intercompany Notes.
“Pledged Intercompany Notes” shall mean, with respect to each Loan Party, all intercompany notes described in Schedule 11 to the Perfection Certificate as of the Closing Date and intercompany notes hereafter acquired by such Loan Party and all certificates, instruments or agreements evidencing such intercompany notes, and all assignments, amendments, restatements, supplements, extensions, renewals, replacements or modifications thereof to the extent permitted pursuant to the terms hereof.
“Pledged Securities” shall mean, collectively, with respect to each Loan Party, (i) all issued and outstanding Equity Interests of each issuer set forth on Schedule 10 to the Perfection Certificate as of the Closing Date as being owned by such Loan Party and all options, warrants, rights, agreements and additional Equity Interests of whatever class of any such issuer acquired by such Loan Party (including by issuance), together with all rights, privileges, authority and powers of such Loan Party relating to such Equity Interests in each such issuer or under any Organizational Document of each 

    
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such issuer, and the certificates, instruments and agreements representing such Equity Interests and any and all interest of such Loan Party in the entries on the books of any financial intermediary pertaining to such Equity Interests, (ii) all Equity Interests of any issuer, which Equity Interests are hereafter acquired by such Loan Party or are owned by a Loan Party as of the Closing Date (including by issuance) and all options, warrants, rights, agreements and additional Equity Interests of whatever class of any such issuer acquired by such Loan Party (including by issuance), together with all rights, privileges, authority and powers of such Loan Party relating to such Equity Interests or under any Organizational Document of any such issuer, and the certificates, instruments and agreements representing such Equity Interests and any and all interest of such Loan Party in the entries on the books of any financial intermediary pertaining to such Equity Interests, from time to time acquired by such Loan Party in any manner, and (iii) all Equity Interests issued in respect of the Equity Interests referred to in clause (i) or (ii) upon any consolidation or merger of any issuer of such Equity Interests other than to the extent any of the foregoing constitute Excluded Equity Interests.
“PPSA” shall mean the Personal Property Security Act (Ontario) and the regulations promulgated thereunder and other applicable personal property security legislation of the applicable Canadian province or provinces in respect of the Canadian Loan Parties (including the Civil Code of Quebec and the regulations respecting the register of personal and movable real rights promulgated thereunder (the “Civil Code”)) as all such legislation now exists or may from time to time hereafter be amended, modified, recodified, supplemented or replaced, together with all rules, regulations and interpretations thereunder or related thereto.
“Preferred Stock” shall mean, with respect to any person, any and all preferred or preference Equity Interests (however designated) of such person whether now outstanding or issued after the Closing Date.
“Prepayments Recapture Amount” shall have the meaning assigned to such term in Section 6.11(a)(i)(z)(C).
“Principal Jurisdiction” shall mean (i) the United States, Canada, the United Kingdom, Switzerland, Germany, Belgium and the Netherlands, (ii) each other country in which a Restricted Subsidiary is organized in respect of which Accounts are included in the borrowing base for purposes of the Revolving Credit Agreement and (iii) and any state, province or other political subdivision of the foregoing. 
“Pro Forma Basis” shall mean, with respect to compliance with any test or covenant hereunder at any time of determination (excluding any calculation of the amount of Excess Cash Flow and the amount referred to in clause (a) of the definition of Cumulative Credit), that all Specified Transactions and the following transactions in connection therewith (if any) shall be deemed to have occurred as of the first day of the applicable Test Period or other period of measurement in such test or covenant:  (a) income statement items (whether positive or negative) attributable to the property or Person subject to such Specified Transaction, (i) in the case of a sale or other disposition of all or substantially all Equity Interests in or assets of any Restricted Subsidiary of the Designated Company or any division, business unit, line of business or facility used for operations of the Designated Company or any of its Restricted Subsidiaries, shall be excluded (as if such sale or disposition occurred on the first day of the applicable Test Period), and (ii) in the case of a Permitted Acquisition or Investment described in 

    
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the definition of  “Specified Transaction”, shall be included (as if such Permitted Acquisition or Investment occurred on the first day of the applicable Test Period), (b) any retirement of Indebtedness in connection therewith, and (c) any Indebtedness incurred or assumed by the Designated Company or any of its Restricted Subsidiaries in connection therewith.  
“Process Agent” shall have the meaning assigned to such term in Section 11.09(d).
“property” shall mean any right, title or interest in or to property or assets of any kind whatsoever, whether real, personal or mixed and whether tangible or intangible and including Equity Interests or other ownership interests of any person and whether now in existence or owned or hereafter entered into or acquired, including all Real Property.
“Property Material Adverse Effect” shall mean, with respect to any Mortgaged Property, as of any date of determination and whether individually or in the aggregate, any event, circumstance, occurrence or condition which has caused or resulted in (or would reasonably be expected to cause or result in) a material adverse effect on (a) the business or operations of any Company as presently conducted at the Mortgaged Property; (b) the value or utility of the Mortgaged Property; or (c) the legality, priority or enforceability of the Lien created by the Mortgage or the rights and remedies of the Mortgagee thereunder.
“Public Lender” shall have the meaning assigned to such term in Section 11.01(d). 
“Purchase” shall have the meaning assigned to such term in the definition of “Discounted Purchase”.
“Purchase Money Obligation” shall mean, for any person, the obligations of such person in respect of Indebtedness (including Capital Lease Obligations) incurred for the purpose of financing all or any part of the purchase price of any property (including Equity Interests of any person) or the cost of installation, construction or improvement of any property and any refinancing thereof; provided, however, that (i) such Indebtedness is incurred within one year after such acquisition, installation, construction or improvement of such property by such person and (ii) the amount of such Indebtedness does not exceed 100% of the cost of such acquisition, installation, construction or improvement, as the case may be.
“Purchase Notice” shall have the meaning assigned to such term in the definition of “Discounted Purchase”.
 “Qualified Borrower IPO” shall mean, at any time prior to the commencement of the first step of the Permitted Reorganization, and so long as the Borrower (directly or indirectly) owns 100% of the Equity Interests of the other Co-Borrower, the issuance by the Borrower of its common Equity Interests in an underwritten primary or secondary public offering (other than a public offering pursuant to a registration statement on Form S-8) pursuant to an effective registration statement filed with the U.S. Securities and Exchange Commission in accordance with the Securities Act.
“Qualified Capital Stock” of any person shall mean any Equity Interests of such person that are not Disqualified Capital Stock.

    
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“Qualified ECP Guarantor” shall mean, in respect of any Swap Obligation, each Loan Party that has total assets exceeding $10,000,000 at the time the relevant Guarantee (or in the case of each Co-Borrower, guarantee) or grant of the relevant security interest becomes effective with respect to such Swap Obligation or such other person as constitutes an “eligible contract participant” under the Commodity Exchange Act or any regulations promulgated thereunder and can cause another person to qualify as an “eligible contract participant” at such time by entering into a keepwell under Section 1a(18)(A)(v)(II) of the Commodity Exchange Act.
“Qualified IPO” shall mean the issuance by Holdings (or, on and after the Designated Holdco Effective Date, Designated Holdco), or any direct or indirect parent of Holdings (or, on and after the Designated Holdco Effective Date, Designated Holdco) which, in the case of Holdings, owns no material assets other that its direct or indirect ownership interest in the Equity Interests of the Borrower (or, on and after the Designated Holdco Effective Date, Designated Holdco and, to the extent permitted by Section 6.15(a)(i)(y), Novelis Aluminum Holdings Unlimited) and the other assets permitted by Section 6.15, of its common Equity Interests in an underwritten primary or secondary public offering (other than a public offering pursuant to a registration statement on Form S-8) pursuant to an effective registration statement filed with the U.S. Securities and Exchange Commission in accordance with the Securities Act.
“Qualified Securitization Transaction” shall mean any transaction or series of transactions that may be entered into by any Restricted Subsidiary (other than a Restricted Subsidiary organized under the laws of a Principal Jurisdiction (excluding from such requirement as to the absence of Restricted Subsidiaries organized under the laws of a Principal Jurisdiction, any Permitted German Alternative Financing, any Permitted Customer Account Financing or any Permitted Novelis Switzerland Financing)) pursuant to which such Restricted Subsidiary may sell, convey or otherwise transfer to a Securitization Entity or may grant a security interest in any Receivables (whether now existing or arising or acquired in the future) of such Restricted Subsidiary or any Related Security or Securitization Assets; provided that no Receivables or other property of any Company organized in a Principal Jurisdiction (excluding from such requirement as to the absence of property of a Company organized in a Principal Jurisdiction, any Permitted German Alternative Financing, any Permitted Customer Account Financing and any Permitted Novelis Switzerland Financing) shall be subject to a Qualified Securitization Transaction.
“Qualifying Lenders” shall have the meaning assigned to such term in the definition of “Discounted Purchase”.
“Qualifying Loans” shall have the meaning assigned to such term in the definition of “Discounted Purchase”. 
“Real Property” shall mean, collectively, all right, title and interest (including any freehold, leasehold, minerals or other estate) in and to any and all parcels of or interests in real property owned, leased or operated by any person, whether by lease, license or other means, together with, in each case, all easements, hereditaments and appurtenances relating thereto, all improvements and appurtenant fixtures, all general intangibles and contract rights and other property and rights incidental to the ownership, lease or operation thereof.

    
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“Recapture Amounts” shall mean, at any time of determination, the cumulative amount of the Investment Recapture Amount plus the Dividend Recapture Amount plus the Prepayments Recapture Amount paid since the Closing Date.
“Receivable” shall mean the indebtedness and other obligations owed to any Company (other than any Company organized under the laws of a Principal Jurisdiction (excluding from such requirement as to the absence of a Company organized in a Principal Jurisdiction, any Permitted German Alternative Financing, any Permitted Customer Account Financing or any Permitted Novelis Switzerland Financing)) (at the time such indebtedness and other obligations arise, and before giving effect to any transfer or conveyance contemplated under any Qualified Securitization Transaction documentation) arising in connection with the sale of goods or the rendering of services by such person, including any indebtedness, obligation or interest constituting an Account, contract right, payment intangible, promissory note, chattel paper, instrument, document, investment property, financial asset or general intangible, in each case, arising in connection with the sale of goods or the rendering of services by such person, and further includes, the obligation to pay any finance charges with respect thereto.
“Receivables Purchase Agreement” shall mean each of (a) the Non-Recourse Receivables Purchase Agreement, dated July 6, 2007 (as amended and restated on December 17, 2010 and as further amended from time to time) and any related servicing agreements (collectively, the “German Receivables Purchase Agreement”) between the German Seller, on the one hand, and Novelis AG, on the other hand, in each case providing, inter alia, for the sale and transfer of Accounts by the German Seller to Novelis AG, and (b) any other receivables purchase agreement and related servicing agreements entered into after the Closing Date between a “Receivables Seller” and a “Borrower” or  “Borrowing Base Guarantor” (as each is defined in the Revolving Credit Agreement and any corresponding term in any successor agreement), in order that the receivables subject thereto may be included in the borrowing base established under the Revolving Credit Agreement and in form and substance reasonably satisfactory to the Revolving Credit Administrative Agent.
“Receiver” shall mean a receiver or receiver and manager or, where permitted by law, an administrative receiver of the whole or any part of the Collateral, and that term will include any appointee under joint and/or several appointments.
“Reference Bank Quotation” means any quotation supplied to the Administrative Agent by a Reference Bank.
“Reference Bank Rate” shall mean the arithmetic mean of the rates (rounded upwards to four decimal places) as supplied to the Administrative Agent at its request by the Reference Banks, in relation to a Borrowing, as the rate at which the relevant Reference Bank could borrow funds in the London interbank market in the relevant currency and for the relevant Interest Period were it to do so by asking for and then accepting interbank offers for deposits in reasonable market size in that currency and for that Interest Period; provided, that if the Reference Bank Rate shall be less than zero, such rate shall be deemed zero for purposes of this Agreement.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          79

“Reference Banks” shall mean, in relation to a Borrowing, the principal London offices of any financial institution appointed by the Administrative Agent as a “Reference Bank” in consultation with the Designated Company and with the consent of such Reference Bank.
“Refinancing Amendment” shall mean an amendment to this Agreement in form and substance reasonably satisfactory to the Administrative Agent and the Designated Company executed by each of (a) the Loan Parties, (b) the Administrative Agent and (c) each Additional Lender and Lender that agrees to provide any portion of the Credit Agreement Refinancing Indebtedness being incurred pursuant thereto, in accordance with Section 2.24.
“Refinanced Debt” shall have the meaning assigned to such term in the definition of “Credit Agreement Refinancing Indebtedness”.
“Register” shall have the meaning assigned to such term in Section 11.04(c).
“Registered Equivalent Notes” shall mean, with respect to any notes originally issued in a Rule 144A or other private placement transaction under the Securities Act of 1933, substantially identical notes (having the same guarantees) issued in a dollar-for-dollar exchange therefor pursuant to an exchange offer registered with the SEC.
“Regulation” shall have the meaning assigned to such term in Section 3.25.
“Regulation D” shall mean Regulation D of the Board as from time to time in effect and all official rulings and interpretations thereunder or thereof.
“Regulation S-X” shall mean Regulation S-X promulgated under the Securities Act.
“Regulation T” shall mean Regulation T of the Board as from time to time in effect and all official rulings and interpretations thereunder or thereof.
“Regulation U” shall mean Regulation U of the Board as from time to time in effect and all official rulings and interpretations thereunder or thereof.
“Regulation X” shall mean Regulation X of the Board as from time to time in effect and all official rulings and interpretations thereunder or thereof.
“Related Business Assets” shall mean assets (other than cash or Cash Equivalents) used or useful in a Similar Business; provided that any assets received by any Loan Party in exchange for assets transferred by a Loan Party 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 Loan Party.
“Related Parties” shall mean, with respect to any person, such person’s Affiliates and the partners, directors, officers, employees, agents, trustees and advisors of such person and of such person’s Affiliates.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          80

“Related Security” shall mean, with respect to any Receivable, all of the applicable Restricted Subsidiary’s interest in the inventory and goods (including returned or repossessed inventory or goods), if any, the sale of which by the applicable Company gave rise to such Receivable, and all insurance contracts with respect thereto, all other security interests or liens and property subject thereto from time to time, if any, purporting to secure payment of such Receivable, whether pursuant to the contract related to such Receivable or otherwise, together with all financing statements and security agreements describing any collateral securing such Receivable, all guaranties, letters of credit, letter-of-credit rights, supporting obligations, insurance and other agreements or arrangements of whatever character from time to time supporting or securing payment of such Receivable whether pursuant to the contract related to such Receivable or otherwise, all service contracts and other contracts and agreements associated with such Receivable, all records related to such Receivable, and all of the applicable Company’s right, title and interest in, to and under the applicable Qualified Securitization Transaction documentation or Permitted Factoring Facility documentation. 
“Release” shall mean any spilling, leaking, seepage, pumping, emitting, emptying, discharging, injecting, escaping, leaching, dumping, disposing, depositing, dispersing, emanating or migrating of any Hazardous Material in, into, onto or through the Environment.
“Relevant External Company” shall mean “relevant external company” within the meaning of the Irish Companies Act. 
“Reorganization Plan” shall have the meaning assigned to such term in Section 11.04(g)(iii).
“Repatriation Limitation” shall have the meaning assigned to such term in Section 2.10(i).
“Reply Amount” shall have the meaning assigned to such term in the definition of “Discounted Purchase”.
“Required Lenders” shall mean, as of any date of determination, Lenders holding more than 50% of the sum of all Loans outstanding and unused Commitments (if any); provided that the Commitment of, and the portion of the Loans held or deemed held by, any Defaulting Lender shall be excluded for purposes of making a determination of Required Lenders.
“Requirements of Law” shall mean, collectively, any and all legally binding requirements of any Governmental Authority including any and all laws, judgments, orders, decrees, ordinances, rules, regulations, statutes or case law.
“Response” shall mean (a) ”response” as such term is defined in CERCLA, 42 U.S.C. § 9601(24), and (b) all other actions required by any Governmental Authority or voluntarily undertaken to (i) clean up, remove, treat, abate or in any other way address any Hazardous Material in the Environment; (ii) prevent the Release or threat of Release, or minimize the further Release, of any Hazardous Material; or (iii) perform studies and investigations in connection with, or as a precondition to, or to determine the necessity of the activities described in, clause (i) or (ii) above.
“Responsible Officer” shall mean, with respect to any Person, any of the principal executive officers, managing members or general partners of such Person but, in any event, with respect to 

    
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financial matters, the chief financial officer, finance director, treasurer or controller of such person, and, solely for purposes of notices given under Article II, any other officer or employee such Person so designated by any of the foregoing officers in a notice to the Administrative Agent or any other officer or employee of such Person designated in or pursuant to an agreement between such Person and the Administrative Agent.  Any document delivered hereunder that is signed by a Responsible Officer of a Loan Party shall be conclusively presumed to have been authorized by all necessary corporate, partnership and/or other action on the part of such Loan Party and such Responsible Officer shall be conclusively presumed to have acted on behalf of such Loan Party.
“Restricted Grantor” shall mean a Loan Party that has granted a Guarantee that is subject to limitations that impair in any material respect the benefit of such Guarantee (as determined by the Administrative Agent in its reasonable discretion) (it being expressly understood and agreed that (i) neither the Borrower nor any Loan Party that is a Canadian Guarantor, a U.K. Guarantor, a Dutch Guarantor, a Dubai Guarantor or a U.S. Guarantor shall be a Restricted Grantor and (ii) except as may be otherwise determined by the Administrative Agent in its reasonable discretion, each Loan Party that is a German Guarantor, an Irish Guarantor, a Swiss Guarantor, a French Guarantor or a Brazilian Guarantor shall be a Restricted Grantor). 
“Restricted Subsidiary” shall mean, as the context requires, (i) any Subsidiary of Holdings other than an Unrestricted Subsidiary and (ii) any Subsidiary of the Designated Company other than an Unrestricted Subsidiary.
“Revolving Credit Administrative Agent” shall mean the “Administrative Agent” (or term of like import) under and as defined in the Revolving Credit Agreement, and its successors and assigns in such capacity.
“Revolving Credit Agents” shall mean the “Agents” (as defined in the Revolving Credit Loan Documents) (or term of like import), including the Revolving Credit Administrative Agent and the Revolving Credit Collateral Agent.
“Revolving Credit Agreement” shall mean (i) that certain Second Amended and Restated Credit Agreement, dated as of October 6, 2014, among the Loan Parties, the Revolving Credit Lenders, Wells Fargo Bank, N.A. (London Branch), as European swingline lender, Wells Fargo Bank, National Association, as issuing bank and U.S. swingline lender, the Revolving Credit Collateral Agent, the Revolving Credit Administrative Agent, Merrill, Lynch, Pierce, Fenner & Smith Incorporated, Citigroup Global Markets, Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, The Royal Bank of Scotland plc and UBS Securities LLC, as co-syndication agents, SunTrust Robinson Humphrey, Inc., as senior managing agent, and Wells Fargo Bank, National Association, Merrill, Lynch, Pierce, Fenner & Smith Incorporated, Citigroup Global Markets, Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, RBS Securities Inc. and UBS Securities LLC, as joint lead arrangers and joint bookmanagers, as amended, restated, supplemented or modified from time to time to the extent permitted by this Agreement and the Intercreditor Agreement and (ii) any other credit agreement, loan agreement, note agreement, promissory note, indenture or other agreement or instrument evidencing or governing the terms of any indebtedness or other financial accommodation that has been incurred to extend (subject to the limitations set forth herein and in the Intercreditor Agreement) or refinance in whole or in part the indebtedness and other obligations outstanding under the (x) credit agreement 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          82

referred to in clause (i) or (y) any subsequent Revolving Credit Agreement, in each case which constitutes a Permitted Revolving Credit Facility Refinancing with respect to the Revolving Credit Loans, unless such agreement or instrument expressly provides that it is not intended to be and is not a Revolving Credit Agreement hereunder (provided that in connection with such refinancing, the commitments relating to such indebtedness that has been refinanced are terminated).  Any reference to the Revolving Credit Agreement hereunder shall be deemed a reference to any Revolving Credit Agreement then in existence.
“Revolving Credit Collateral Agent” shall mean the “Collateral Agent” (or term of like import) under and as defined in the Revolving Credit Agreement, and its successors and assigns in such capacity.
“Revolving Credit Commitments” shall mean the commitments of the Revolving Credit Lenders to make Revolving Credit Loans under the Revolving Credit Agreement.
“Revolving Credit Lenders” shall mean the banks, financial institutions and other entities from time to time party to the Revolving Credit Agreement as lenders.
“Revolving Credit Loan Documents” shall mean the Revolving Credit Agreement and the other “Loan Documents” as defined in the Revolving Credit Agreement and any corresponding term in any successor Revolving Credit Agreement permitted hereby, including the mortgages and other security documents, guaranties and the notes issued thereunder.
“Revolving Credit Loans” shall mean the revolving loans and swingline loans outstanding under the Revolving Credit Agreement.
“Revolving Credit Maturity Date” shall have meaning assigned to the term “Maturity Date” in the Revolving Credit Agreement (and any corresponding term in any successor Revolving Credit Agreement permitted hereby). 
“Revolving Credit Priority Collateral” shall mean all “Revolving Credit Priority Collateral” as defined in the Intercreditor Agreement.
“Revolving Credit Secured Parties” shall mean the Revolving Credit Administrative Agent, the Revolving Credit Collateral Agent and each other Person that is a “Secured Party” under the Revolving Credit Agreement.
“Revolving Credit Security Documents” shall have the meaning assigned to the term “Security Documents” in the Revolving Credit Agreement (and any corresponding term in any successor Revolving Credit Agreement permitted hereby).
“S&P” shall mean Standard & Poor’s Rating Services, a division of the McGraw-Hill Companies, Inc. and any successor thereto.
“Sale and Leaseback Transaction” shall have the meaning assigned to such term in Section 6.03.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          83

“Sanctioned Country” shall have the meaning assigned to such term in Section 3.22.
“Sanctioned Person” shall have the meaning assigned to such term in Section 3.22.
“Sanctions” shall have the meaning assigned to such term in Section 3.22.
“Sarbanes-Oxley Act” shall mean the United States Sarbanes-Oxley Act of 2002, as amended, and all rules and regulations promulgated thereunder.
“SCB” shall mean Standard Chartered Bank and its successors.
“Screen Rate” shall have the meaning assigned to such term in the definition of Eurodollar Base Rate.
“Second Amendment” shall mean that certain Amendment No. 2 to Credit Agreement, dated as of November 20, 2018, among the Borrower, Holdings, the other Loan Parties party thereto, the Lenders party thereto, the Administrative Agent and the Collateral Agent.
“Second Amendment Effective Date” shall mean the “Amendment Effective Date” as defined in the Second Amendment.
“Section 347” shall have the meaning assigned to such term in Section 2.19(a).
“Secured Debt Agreement” shall mean (i) this Agreement and (ii) the other Loan Documents.
“Secured Hedge Provider” shall mean (i) any person that is a counterparty to a Hedging Agreement with any Loan Party that was a Lender, Arranger or Agent (or an Affiliate of a Lender, Arranger or Agent) on the date of entering into such Hedging Agreement (or, with respect to Hedging Agreements in effect at the Closing Date, on the Closing Date), (ii) any other person that is counterparty to a Hedging Agreement with any Loan Party if, at or prior to the time such Hedging Agreement is entered into, the Designated Company shall designate such person as a “Secured Hedge Provider” in a notice to the Administrative Agent and the Collateral Agent, which person shall execute a Secured Hedge Provider Joinder, (iii) any Person that is a counterparty to a Hedging Agreement with any Loan Party that is in effect on the Closing Date and was entered into prior to the Closing Date to the extent that such Person is listed as a “Secured Hedge Provider” on Schedule 1.01(d), which Person shall become a Secured Hedge Provider on the day following the Closing Date but shall cease to be a Secured Hedge Provider if such Person fails to execute a Secured Hedge Provider Joinder on or prior to the ninetieth (90th) day after the Closing Date, and (iv) any Person that is a counterparty to a Hedging Agreement with a Subsidiary acquired by the Companies pursuant to the Aleris Acquisition that is in effect on the Aleris Acquisition Closing Date and was entered into prior to the Aleris Acquisition Closing Date, solely to the extent that (x) such Person has executed and delivered a Secured Hedge Provider Joinder on or prior to the ninetieth (90th) day after the Aleris Acquisition Closing Date (or such later dated agreed by the Administrative Agent) and (y) the Companies and such Person shall have complied with the Aleris Hedging Collateral Requirements with respect to such Hedging Agreement.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          84

“Secured Hedge Provider Joinder” shall mean a letter agreement substantially in the form of Exhibit Q attached hereto or in such other form as may be acceptable to the Administrative Agent pursuant to which such person (i) appoints the Administrative Agent and the Collateral Agent as its agent under the applicable Loan Documents with respect to Collateral, as provided therein, and (ii) agrees to be bound by the provisions of Section 10.03, Section 10.09, the Intercreditor Agreement and the Security Documents as if it were a Lender.
“Secured Net Leverage Ratio” shall mean, with respect to any Calculation Date, the ratio of (a) Consolidated Total Net Debt as of the Calculation Date (other than any portion of Consolidated Total Net Debt that is unsecured) to (b) Consolidated EBITDA for the Test Period most recently ended prior to the Calculation Date for which financial information has been delivered to the Administrative Agent and the Lenders pursuant to Section 4.01(d), Section 5.01(a) or Section 5.01(b).
“Secured Obligations” shall mean (a) the Obligations and (b) the due and punctual payment and performance of all obligations of the Designated Company and the other Loan Parties under each Hedging Agreement entered into with any Secured Hedge Provider.  The Secured Obligations shall not include any Excluded Swap Obligations.
“Secured Parties” shall mean, collectively, the Administrative Agent, the Collateral Agent, each co-agent or sub-agent appointed by the Administrative Agent or the Collateral Agent, any Receiver or Delegate, the Lenders and any Secured Hedge Provider (to the extent such Secured Hedge Provider executes and delivers to the Administrative Agent and the Collateral Agent a Secured Hedge Provider Joinder).
“Securities Act” shall mean the Securities Act of 1933.
“Securities Collateral” shall mean, collectively, the Pledged Securities, the Pledged Intercompany Notes and the Pledged Distributions.
“Securitization Assets” shall mean all existing or hereafter acquired or arising (i) Receivables that are sold, assigned or otherwise transferred pursuant to a Qualified Securitization Transaction, (ii) the Related Security with respect to the Receivables referred to in clause (i) above, (iii) the collections and proceeds of the Receivables and Related Security referred to in clauses (i) and (ii) above, (iv) all lockboxes, lockbox accounts, collection accounts or other deposit accounts into which such collections are deposited (and in any event excluding any lockboxes, lockbox accounts, collection accounts or deposit accounts that any Company organized under the laws of any Principal Jurisdiction has an interest in (other than in connection with a Permitted German Alternative Financing, any Permitted Customer Account Financing and any Permitted Novelis Switzerland Financing)) and which have been specifically identified and consented to by the Administrative Agent, (v) all other rights and payments which relate solely to such Receivables and (vi) all cash reserves comprising credit enhancements for such Qualified Securitization Transaction.
“Securitization Entity” shall mean any corporation, company (including any limited liability company), association, partnership, joint venture, trust, mutual fund or other business entity to which any Restricted Subsidiary (excluding any Restricted Subsidiary that is organized in a Principal Jurisdiction (excluding from such requirement that such Restricted Subsidiary not be organized in a 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          85

Principal Jurisdiction, any Permitted German Alternative Financing, any Permitted Customer Account Financing and any Permitted Novelis Switzerland Financing)) or any other Securitization Entity transfers Receivables and Related Security) (a) which engages in no activities other than in connection with the financing of Receivables or Related Security, (b) which is designated by the Board of Directors of the Designated Company as a Securitization Entity, (c) no portion of the Indebtedness or any other obligations (contingent or otherwise) of which (i) is guaranteed by the Designated Company or any Restricted Subsidiary (excluding guarantees of such transferor Restricted Subsidiary of obligations (other than the principal of, and interest on, Indebtedness) pursuant to Standard Securitization Undertakings and guarantees by the Securitization Entity), (ii) is recourse to or obligates the Designated Company or any Restricted Subsidiary (other than the Securitization Entity) in any way other than pursuant to Standard Securitization Undertakings or (iii) subjects any property or asset of the Designated Company or any Restricted Subsidiary (other than the Securitization Entity), directly or indirectly, contingently or otherwise, to the satisfaction thereof, other than pursuant to Standard Securitization Undertakings and other than any interest in the Receivables and Related Security being financed (whether in the form of any equity interest in such assets or subordinated indebtedness payable primarily from such financed assets) retained or acquired by the transferor Restricted Subsidiary, (d) to which none of the Designated Company nor any Restricted Subsidiary has any obligation to maintain or preserve such entity’s financial condition or cause such entity to achieve certain levels of operating results and (e) with which none of Holdings, the Designated Company nor any Restricted Subsidiary of the Designated Company has any material contract, agreement, arrangement or understanding other than those customary for a Qualified Securitization Transaction and, in any event, on terms no less favorable to the Designated Company or such Restricted Subsidiary that those that might be obtained at the time from Persons that are not Affiliates of the Designated Company or such Restricted Subsidiary.  Any such designation by the Board of Directors shall be evidenced to the Administrative Agent by providing the Administrative Agent with a certified copy of the resolution of the Board of Directors giving effect to such designation and an Officers’ Certificate certifying that such designation complied with the foregoing conditions.
“Security Agreement” shall mean each U.S. Security Agreement, each Canadian Security Agreement, each U.K. Security Agreement, each Swiss Security Agreement, each German Security Agreement, each Irish Security Agreement, each Brazilian Security Agreement, each French Security Agreement, each Dubai Security Agreement, each Belgian Security Agreement, each Dutch Security Agreement and each other Security Agreement entered into pursuant to Section 5.11(b), individually and collectively, as the context may require.
“Security Agreement Collateral” shall mean all property pledged or granted as Collateral pursuant to any Security Agreement (a) on the Closing Date or (b) thereafter pursuant to Section 5.11 or Section 5.15.
“Security Documents” shall mean each Security Agreement, the Mortgages, any Security Trust Deed, and each other security document, deed of trust, charge or pledge agreement delivered in accordance with applicable local or foreign law to grant a valid, perfected security interest in any property as Collateral for the Secured Obligations, and all UCC or other financing statements or financing change statements, control agreements, bailee notification letters, or instruments of perfection required by this Agreement, any Security Agreement, any Mortgage or any other such security 

    
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document, charge or pledge agreement to be filed with respect to the security interests in property and fixtures created pursuant to any Security Agreement or any Mortgage and any other document or instrument utilized to pledge or grant or purport to pledge or grant a security interest or lien on any property as Collateral for the Secured Obligations or to perfect, obtain control over or otherwise protect the interest of the Collateral Agent therein.
“Security Trust Deed” shall mean any security trust deed to be executed by, among others, the Collateral Agent, the Administrative Agent and any Loan Party granting security over U.K. or Irish assets of any Loan Party.
“Senior Note Agreements” shall mean (a) the Indenture, dated as of August 29, 2016, by and among the U.S. Issuer, the guarantors from time to time party thereto, and Regions Bank, as trustee, and (b) the Indenture, dated as of September 14, 2016, by and among the U.S. Issuer, the guarantors from time to time party thereto, and Regions Bank, as trustee, in each case pursuant to which the applicable Senior Notes were issued.
“Senior Note Documents” shall mean the Senior Notes, the Senior Note Agreements, the Senior Note Guarantees and all other documents executed and delivered with respect to the  Senior Notes or the Senior Note Agreements.
“Senior Note Guarantees” shall mean the guarantees of the Loan Parties (other than the U.S. Issuer) pursuant to the Senior Note Agreements.
“Senior Notes” shall mean the U.S. Issuer’s 6.25% Senior Notes due 2024 and 5.875% Senior Notes due 2026, each issued pursuant to the applicable Senior Note Agreements, and any senior notes issued pursuant to a Permitted Refinancing of the Senior Notes (and any Registered Equivalent Notes).
“Senior Representative” shall mean, with respect to any series of Permitted First Priority Refinancing Debt, Permitted Second Priority Refinancing Debt, Additional Senior Secured Indebtedness or Junior Secured Indebtedness, the trustee, administrative agent, collateral agent, security agent or similar agent under the indenture or agreement pursuant to which such Indebtedness is issued, incurred or otherwise obtained, as the case may be, and each of their successors in such capacities.
“Senior Secured Net Leverage Ratio” shall mean, with respect to any date of determination (the “Calculation Date”), the ratio of (a) Consolidated Total Net Debt as of the Calculation Date (other than any portion of Consolidated Total Net Debt that is unsecured or is secured solely by Liens that are subordinated to the Liens securing the Secured Obligations pursuant to the Intercreditor Agreement) (it being understood that Indebtedness under the Revolving Credit Loan Documents which constitutes Consolidated Total Net Debt will be included in the Senior Secured Net Leverage Ratio) to (b) Consolidated EBITDA for the Test Period most recently ended prior to the Calculation Date for which financial information has been delivered to the Administrative Agent and the Lenders pursuant to Section 5.01(a) or (b); provided that if the Senior Secured Net Leverage Ratio is being determined for purposes of determining the Excess Cash Flow Percentage for a particular Excess Cash Flow Period, then Consolidated EBITDA for such Excess Cash Flow Period shall be utilized in clause (b) of this ratio.

    
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“Series of Cash Neutral Transactions” shall mean any series of Investments, incurrences of Indebtedness, Asset Sales in the form of transfers of intercompany promissory notes and Equity Interests or similar instruments and/or Dividends solely among Companies; provided that (i) the amount of cash or Cash Equivalents transferred by any Company (each such Company, an “Initiating Company”) to another Company in such Series of Cash Neutral Transactions is not greater than the amount of cash or Cash Equivalents received by such Initiating Company in such Series of Cash Neutral Transactions less reasonable transaction expenses and taxes (which cash and Cash Equivalents must be received by such Initiating Company within three Business Days of the initiation of such Series of Cash Neutral Transactions), (ii) any Collateral (including cash or Cash Equivalents of any Loan Party involved in such Series of Cash Neutral Transactions) shall remain subject to a perfected security interest of the Collateral Agent, and the validly, perfection and priority of such security interest shall not be impaired by or in connection with such Series of Cash Neutral Transactions, (iii) no more than $50,000,000 in aggregate of cash or Cash Equivalents may be held by Companies that are not Loan Parties in connection with transfers from Loan Parties as part of such Series of Cash Neutral Transactions (and any such Company that is not a Loan Party may not retain any of such cash or Cash Equivalents after giving effect to the Cash Neutral Transactions), (iv) the fair market value of the assets (other than cash or Cash Equivalents) that may be held by Companies that are not Loan Parties in connection with transfers from Loan Parties as part of such Series of Cash Neutral Transactions may not exceed $50,000,000 in the aggregate and (v) the ownership interests of any Unrestricted Grantor in any of its Subsidiaries shall not be reduced as a result thereof.
“Significant Event of Default” shall mean any Event of Default under Section 8.01(a), (b), (g) or (h).
“Similar Business” shall mean any business conducted by the Borrower and the other Loan Parties on the Effective Date as described in the Confidential Information Memorandum (or, in the good faith judgment of the Board of Directors of the Designated Company, which is substantially related thereto or is a reasonable extension thereof). 
“Specified Aleris Hedging Agreements” shall mean Hedging Agreements with Aleris or any of its Subsidiaries that are required to be secured by a Lien on any assets of Aleris or any of its Subsidiaries, in each case other than solely as a result of the designation of any counterparty thereto as a “Secured Hedge Provider” in accordance with the terms hereof.
“Specified Aleris Subsidiaries” shall mean, after giving effect to the Acquisition, each direct or indirect Foreign Subsidiary of Aleris that (a) is a borrower under the Revolving Credit Agreement, or (b) directly or indirectly owns one or more Subsidiaries described in clause (a) above.
“Specified Divestiture” shall mean any Asset Sale by Aleris or any of its Subsidiaries, or Holdings or any of its Subsidiaries, required in connection with obtaining regulatory (including antitrust) approval for the Aleris Acquisition, whether or not such Asset Sale occurs prior to or after the Aleris Acquisition Closing Date.
“Specified Equity Contribution” shall mean any cash contribution to the common equity of Holdings and/or any purchase or investment in an Equity Interest of Holdings other than Disqualified Capital Stock in each case made pursuant to Section 8.04.

    
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“Specified Holders” shall mean Hindalco and its Affiliates.
“Specified Time” shall mean, with respect to each Interest Period, at approximately 11:00 a.m. (London time) on the date that is two London Banking Days prior to the commencement of such Interest Period.
“Specified Transaction” shall mean, with respect to any period, any Permitted Acquisition (other than any Permitted Acquisition where the amount of the Acquisition Consideration plus the fair market value of any Equity Interests which constitutes all or a portion of the purchase price is less than $15,000,000), any Asset Sale (other than (x) any disposition in the ordinary course of business and (y) any disposition where the fair market value of the assets disposed of is less than $15,000,000), any Dividend made pursuant to Section 6.08(d), any designation or redesignation of a Subsidiary as a Restricted Subsidiary or an Unrestricted Subsidiary, any incurrence or prepayment of Indebtedness (including any transaction under Section 6.11), or any Incremental Term Loan or Revolving Credit Commitment increase.
“Spot Selling Rate” shall mean, on any date of determination for a currency, the rate quoted by the Administrative Agent as the spot rate for the purchase by the Administrative Agent of such currency with another currency through its principal foreign exchange trading office at approximately 11:00 a.m. on the date 2 Business Days prior to the date as of which the foreign exchange computation is made; provided that the Administrative Agent may obtain such spot rate from another financial institution designated by the Administrative Agent if the Administrative Agent does not have as of the date of determination a spot buying rate for any such currency.
“Standard Factoring Undertakings” shall mean representations, warranties, covenants and indemnities entered into by any Restricted Subsidiary that are negotiated in good faith at arm’s length in a Receivables factoring transaction so long as none of the same constitute Indebtedness or a Contingent Obligation (other than in connection with an obligation to repurchase receivables that do not satisfy related representations and warranties) or otherwise require the provision of credit support in excess of customary credit enhancement established upon entering into such Receivables factoring transaction negotiated in good faith at arm’s length.
“Standard Securitization Undertakings” shall mean representations, warranties, covenants and indemnities entered into by any Restricted Subsidiary that are negotiated in good faith at arm’s length in a Receivables securitization transaction so long as none of the same constitute Indebtedness, a Contingent Obligation (other than in connection with an obligation to repurchase receivables that do not satisfy related representations and warranties) or otherwise require the provision of credit support in excess of customary credit enhancement established upon entering into such Receivables securitization transaction negotiated in good faith at arm’s length.
“Subordinated Indebtedness” shall mean Indebtedness of a Loan Party that is subordinated by its terms (including pursuant to the terms of any subordination agreement, intercreditor agreement, or otherwise) in right of payment to the Obligations of such Loan Party.

    
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“Subordination Agreement” shall mean that certain Subordination Agreement dated as of the Closing Date by and among the Loan Parties (other than certain Foreign Subsidiaries), the Collateral Agent and the Administrative Agent.
“Subsidiary” shall mean, with respect to any person (the “parent”) at any date, (i) any corporation, limited liability company, association or other business entity of which securities or other ownership interests representing more than 50% of the voting power of all Equity Interests entitled (without regard to the occurrence of any contingency) to vote in the election of the Board of Directors thereof are, as of such date, owned, controlled or held by the parent and/or one or more subsidiaries of the parent, (ii) any partnership (a) the sole general partner or the managing general partner of which is the parent and/or one or more subsidiaries of the parent or (b) the only general partners of which are the parent and/or one or more subsidiaries of the parent and (iii) any other person that is otherwise Controlled by the parent and/or one or more subsidiaries of the parent. Unless the context requires otherwise, “Subsidiary” refers to a Subsidiary of Holdings. Notwithstanding the foregoing, (A) Logan shall not be treated as a Subsidiary hereunder or under the other Loan Documents unless it qualifies as a Subsidiary under clause (i) of this definition and (B) except as set forth in clause (ii) below, Ulsan JV Subsidiary shall not be treated as a Subsidiary hereunder or under the other Loan Documents at any time that (x) Holdings directly or indirectly owns Equity Interests in Ulsan JV Subsidiary and (y) Holdings or any of its Subsidiaries has the right to elect no more than half of the directors of Ulsan JV Subsidiary and (ii) regardless of whether Ulsan JV Subsidiary is a Subsidiary, the financial results of Ulsan JV Subsidiary shall be included in all consolidated financial results of the Designated Company and its Subsidiaries to the extent the Designated Company consolidates the results of Ulsan JV Subsidiary in its financial statements in accordance with US GAAP; provided that the proportionate interest of the Ulsan Joint Venture Partner in the Ulsan JV Subsidiary and any liability of the Ulsan JV Subsidiary to pay Distributions to the Ulsan Joint Venture Partner with respect to such proportionate interest shall be excluded for the purposes of all financial definitions under this Agreement.
“Subsidiary Guarantor” shall mean each Restricted Subsidiary listed on Schedule 1.01(b), and each other Restricted Subsidiary that is or becomes a party to this Agreement as a Subsidiary Guarantor pursuant to Section 5.11.
“Successor Borrower” shall have the meaning assigned to such term in the definition of “Permitted Holdings Amalgamation.
“Successor Holdings” shall have the meaning assigned to such term in the definition of “Permitted Holdings Amalgamation”.
“Successor Rate” shall have the meaning assigned to such term in Section 2.11.
“Survey” shall mean a survey of any Mortgaged Property (and all improvements thereon) which is (a) (i) prepared by a surveyor or engineer licensed to perform surveys in the jurisdiction where such Mortgaged Property is located, (ii) current as of a date which shows all exterior construction on the site of such Mortgaged Property or any easement, right of way or other interest in the Mortgaged Property has been granted or become effective through operation of law or otherwise with respect to such Mortgaged Property which, in either case, can be depicted on a survey, unless otherwise acceptable to the Collateral Agent, (iii) certified by the surveyor (in a manner reasonably acceptable to the 

    
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Collateral Agent) to the Administrative Agent, the Collateral Agent and the Title Company, (iv) complying in all respects with the minimum detail requirements of the American Land Title Association (or the local equivalent) as such requirements are in effect on the date of preparation of such survey and (v) sufficient for the Title Company to remove all standard survey exceptions from the title insurance policy (or commitment) relating to such Mortgaged Property and issue the endorsements of the type required by Section 5.15 or (b) otherwise reasonably acceptable to the Collateral Agent.
“Surviving Aleris Debt” shall mean, to the extent outstanding on the Aleris Acquisition Closing Date after giving effect to the Aleris Acquisition, Indebtedness incurred by one or more Companies organized under the laws of the People’s Republic of China that is not a Loan Party pursuant to the terms of the non-recourse multi-currency secured term loan facilities and the revolving facilities of Aleris Aluminum (Zhenjiang) Co., Ltd., in each case, as in effect on the Aleris Acquisition Closing Date.
“Swap Obligation” shall mean, with respect to any Guarantor (or Co-Borrower with respect to the obligations of any other Loan Party under any Hedging Agreement entered into with a counterparty that is a Secured Party), any obligation to pay or perform under any agreement, contract or transaction that constitutes a “swap” within the meaning of section 1a(47) of the Commodity Exchange Act.
“Swiss Guarantor” shall mean each Restricted Subsidiary of the Designated Company organized in Switzerland party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company incorporated in Switzerland that becomes a Guarantor pursuant to the terms hereof.
“Swiss Security Agreement” shall mean, collectively, (i) any Security Agreement, including all sub-parts thereto, among any Swiss Guarantors (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any Swiss Guarantor or any Person who is the holder of Equity Interests in any Swiss Guarantor in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of Switzerland, securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“Swiss Withholding Tax” shall mean any withholding tax in accordance with the Swiss Federal Statute on Anticipatory Tax of 13 October 1965 (Bundesgesetz uber die Verrechnungssteuer) and any successor provision, as appropriate.
“Syndication Termination Date” shall mean, (i) with respect to the Initial Term Loans, the earlier to occur of (a) the first date to occur after the Closing Date on which the Mandated Lead Arrangers and their Affiliates collectively hold less than 50% of the Term Loans and (b) April 13, 

    
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2017, and (ii) with respect to the Aleris Incremental Term Loans, the Aleris Syndication Termination Date.
“Synthetic Lease Obligation” shall mean the monetary obligation of a Person under a so-called synthetic, off-balance sheet or tax retention lease.
“Tax Return” shall mean all returns, statements, filings, attachments and other documents or certifications required to be filed in respect of Taxes.
“Taxes” shall mean all present or future taxes, levies, imposts, duties, deductions, withholdings, payroll, social security, employment and unemployment taxes, assessments, fees or other charges imposed by any Taxing Authority, including any interest, additions to tax or penalties applicable thereto.  For greater certainty it shall further be specified that Taxes shall also include any federal, cantonal and municipal direct taxes levied at source in Switzerland as per Article 51 § 1 lit. d and Article 94 of the Swiss Federal Direct Tax Act of December 14, 1990 and as per Article 21 § 2 lit. a and Article 35 § lit. e of the Swiss Federal Harmonization Direct Tax Act of December 14, 1990.
“Taxing Authority” shall mean any Governmental Authority of any jurisdiction or political subdivision thereof with the authority to impose, assess, and collect Taxes and engage in activities of a similar nature with respect to such Taxing Authority.
“Term Loan Commitment” shall mean, (i) with respect to each Lender of Term Loans other than an Aleris Incremental Term Lender, the commitment, if any, of such Lender to make Term Loans hereunder up to the amount, (a) in the case of Initial Term Loans, set forth on Schedule 1.01(a) to this Agreement directly under the column entitledheading “Term Loan Commitment” or, (b) in the case of any other Loans (other than Aleris Incremental Term Loans), set forth in the Increase Joinder (other than the Aleris Increase Joinder Amendment) in respect of such Loans.  The aggregate amount of the Lenders’ Term Loan Commitments on the Effective Date is $1,800,000,000, or (ii) in the case of an Aleris Incremental Term Lender, the Aleris Incremental Term Loan Commitment of such Lender.
“Term Loan Purchase Amount” shall have the meaning assigned to such term in the definition of “Discounted Purchase”.
“Term Loan Repayment Date” shall have the meaning assigned to such term in Section 2.09. 
“Term Loans” shall mean the Initial Term Loan, the Aleris Incremental Term Loans, the Other Term Loan and the other Incremental Term LoanLoans, as the context requires.
“Test Period” shall mean, at any time, the four consecutive fiscal quarters of the Designated Company then last ended (in each case taken as one accounting period).
“Third Lien Administrative Agent” shall mean any Person acting in such capacity as administrative agent under any Third Lien Credit Agreement and its successors and assigns in such capacity.
“Third Lien Collateral Agent” shall mean any Person acting in such capacity as collateral agent under any Third Lien Credit Agreement and its successors and assigns in such capacity.

    
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“Third Lien Credit Agreement” shall mean any credit agreement among the Loan Parties, any Third Lien Administrative Agent, any Third Lien Collateral Agent and the other parties thereto from time to time, as amended, restated, supplemented or modified from time to time to the extent permitted by this Agreement and the Intercreditor Agreement; provided that the aggregate principal amount of Indebtedness incurred thereunder does not exceed $200,000,000.
“Third Lien Security Documents” shall mean any security documents under which a Lien has been granted in favor of any Third Lien Collateral Agent and/or any other Person that is a “Secured Party” under the Third Lien Credit Agreement to secure any obligations under a Third Lien Credit Agreement. 
“Title Company” shall mean any title insurance company as shall be retained by the Designated Company and reasonably acceptable to the Administrative Agent.
“Title Policy” shall have the meaning assigned to such term in Schedule 5.15.
“Total Net Leverage Ratio” shall mean, with respect to any Calculation Date, the ratio  of (a) Consolidated Total Net Debt as of the Calculation Date to (b) Consolidated EBITDA for the Test Period most recently ended prior to the Calculation Date for which financial information has been delivered to the Administrative Agent and the Lenders pursuant to Section 5.01(a) or (b). 
“Trade Date” shall have the meaning assigned to such term in Section 11.04(g)(i).
“Transactions” shall mean, collectively, the transactions to occur pursuant to the Loan Documents, including (a) the execution and delivery of the Loan Documents and the initial borrowings hereunder, (b) the repayment in full of all loans and other accrued and outstanding obligations under the Existing Credit Agreement on the Closing Date, and the release and termination of all security interests in connection therewith, in each case in a manner satisfactory to the Mandated Lead Arrangers; and (c) the payment of all fees and expenses to be paid on or prior to the Closing Date and owing in connection with the foregoing.
“Transferred Guarantor” shall have the meaning assigned to such term in Section 7.09.
“Type,” when used in reference to any Loan or Borrowing, refers to whether the rate of interest on such Loan, or on the Loans comprising such Borrowing, is determined by reference to the Eurodollar Rate or the Fallback Rate.
“UCC” shall mean the Uniform Commercial Code as in effect from time to time in the State of New York; provided that if perfection or the effect of perfection or non-perfection or the priority of any security interest in any Collateral is governed by the Uniform Commercial Code as in effect in a jurisdiction other than the State of New York, “UCC” shall mean the Uniform Commercial Code as in effect from time to time in such other jurisdiction for purposes of the provisions hereof relating to such perfection, effect of perfection or non-perfection or priority.
“Ulsan Joint Venture Partner” shall mean Kobe Steel, Ltd., a company organized under the laws of Japan.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          93

“Ulsan JV Subsidiary” shall mean a joint venture stock company organized, or to be organized, in Korea, and registered, or to be registered, in the Commercial Corporate Registry in Korea.
“Ulsan Sale Agreement” shall mean that certain share sale and purchase agreement, dated as of May 10, 2017, between NKL and the Ulsan Joint Venture Partner. 
“Ulsan Share Sale” shall mean the sale, pursuant to the terms of the Ulsan Sale Agreement, by NKL of 49.9%% of the Equity Interests owned by NKL in the Ulsan JV Subsidiary to the Ulsan Joint Venture Partner, for cash in the amount of $314,370,000, and the subsequent sale by NKL of 0.1% of the Equity Interests owned by NKL in the Ulsan JV Subsidiary to the Ulsan Joint Venture Partner, for cash in the amount of $630,000.
“Undisclosed Administration” means, in relation to a Lender or its direct or indirect parent company, the appointment of an administrator, provisional liquidator, conservator, receiver, trustee, custodian, or other similar official by a supervisory authority or regulator under or based on the law in the country where such Lender or such parent company is subject to home jurisdiction, if applicable law requires that such appointment not be disclosed.
“U.K. Guarantor” shall mean each Restricted Subsidiary of the Designated Company incorporated in England and Wales party hereto as a Guarantor, and each other Restricted Subsidiary of the Designated Company incorporated in England and Wales that becomes a Guarantor pursuant to the terms hereof, and, on and after the Designated Holdco Effective Date, Designated Holdco.
“U.K. Holdco” shall mean a newly formed direct Wholly Owned Subsidiary of AV Minerals, organized under the laws of England and Wales, formed in connection with the Permitted Reorganization.
“U.K. Security Agreement” shall mean, collectively, (i) any Security Agreement, including all sub-parts thereto, among any U.K. Guarantors (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, charge, assignment, guarantee or other agreement that is entered into by any U.K. Guarantor or any Person who is the holder of Equity Interests in any U.K. Guarantor in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement, charge, assignment or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of England and Wales, securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.
“United States” shall mean the United States of America.
“Unrestricted Cash” shall mean cash and Cash Equivalents of the Designated Company and its Restricted Subsidiaries (in each case, free and clear of all Liens (other than Liens permitted pursuant to Section 6.02(a), (j), and (k)), to the extent the use thereof for the application to payment of Indebtedness is not prohibited by law or any contract to which the Designated Company or any of the 

    
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Restricted Subsidiaries is a party and excluding cash and Cash Equivalents which are listed as “restricted” on the consolidated balance sheet of the Designated Company and its Subsidiaries as of such date.
“Unrestricted Grantors” shall mean Loan Parties that are not Restricted Grantors.
“Unrestricted Subsidiary” shall mean Novelis Services (Europe) Inc., Novelis Services (North America) Inc. and any Subsidiary of the Designated Company designated by the Board of Directors of the Designated Company as an Unrestricted Subsidiary pursuant to Section 5.16 subsequent to the Closing Date.
“Upfront Fee Letter” shall mean the fee letter between the Borrower and the Lenders, dated January 10, 2017.
“Upfront Fees” shall have the meaning assigned to such term in the Upfront Fee Letter.
“US GAAP” shall have the meaning assigned to such term in Section 1.04.
“U.S. Guarantor” shall mean each Co-Borrower or Restricted Subsidiary of the Designated Company organized in the United States, any state thereof or the District of Columbia, party hereto as a Guarantor, and each other Co-Borrower or Restricted Subsidiary of the Designated Company incorporated in the United States, any state thereof or the District of Columbia that becomes a Guarantor pursuant to the terms hereof.
“U.S. Issuer” shall mean Novelis Corporation, a Texas corporation.
“U.S. Loan Parties” shall mean Novelis Acquisitions (and, immediately after giving effect to the merger of Novelis Acquisitions with and into Aleris in connection with the Aleris Acquisition, Aleris) and the U.S. Guarantors.
“U.S. Person” shall mean any Person that is a “United States person” as defined in Section 7701(a)(30) of the Code.
“U.S. Security Agreement” shall mean, collectively (i) any Security Agreement (including all subparts thereto) among any U.S. Loan Parties (and such other Persons as may be party thereto) and the Collateral Agent for the benefit of the Secured Parties, (ii) each pledge agreement, mortgage, security agreement, guarantee or other agreement that is entered into by any U.S. Loan Party or any Person who is the holder of Equity Interests in any U.S. Loan Party in favor of the Collateral Agent and/or the Revolving Credit Collateral Agent in its capacity as agent for the Secured Parties pursuant to the terms of the Intercreditor Agreement and the other Loan Documents, and (iii) any other pledge agreement, mortgage, security agreement or other agreement entered into pursuant to the terms of the Loan Documents, in each case of clauses (i), (ii) and (iii), that is governed by the laws of the United States (or any subdivision thereof), securing the Secured Obligations, and entered into pursuant to the terms of this Agreement or any other Loan Document, as the same may be amended, restated or otherwise modified from time to time.

    
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“U.S. Tax Obligor” shall mean (a) a Co-Borrower which is resident for tax purposes in the United States; or (b) a Loan Party some or all of whose payments under the Loan Documents are from sources within the United States for U.S. federal income tax purposes.
“Voting Stock” shall mean, with respect to any person, any class or classes of Equity Interests pursuant to which the holders thereof have the general voting power under ordinary circumstances to elect at least a majority of the Board of Directors of such person.
“Weighted Average Life to Maturity” shall mean, when applied to any Indebtedness at any date, the number of years obtained by dividing:  (a) the sum of the products obtained by multiplying (i) the amount of each then remaining installment, sinking fund, serial maturity or other required payments of principal, including payment at final maturity, in respect thereof, by (ii) the number of years (calculated to the nearest one-twelfth) that will elapse between such date and the making of such payment; by (b) the then outstanding principal amount of such Indebtedness. 
“Wholly Owned Subsidiary” shall mean, as to any person, (a) any corporation 100% of whose capital stock (other than directors’ qualifying shares) is at the time owned by such person and/or one or more Wholly Owned Subsidiaries of such person and (b) any partnership, association, joint venture, limited liability company or other entity in which such person and/or one or more Wholly Owned Subsidiaries of such person have a 100% equity interest at such time.
“Wind-Up” shall have the meaning assigned to such  term in Section 6.05(g), and the term “Winding-Up” shall have a meaning correlative thereto.
“Withdrawal Liability” shall mean liability to a Multiemployer Plan as a result of a complete or partial withdrawal from such Multiemployer Plan, as such terms are defined in Part I of Subtitle E of Title IV of ERISA.
“Withholding Agent” shall mean any Loan Party and the Administrative Agent.
“Write-Down and Conversion Powers” shall mean, with respect to any EEA Resolution Authority, the write-down and conversion powers of such EEA Resolution Authority from time to time under the Bail-In Legislation for the applicable EEA Member Country, which write-down and conversion powers are described in the EU Bail-In Legislation Schedule.
Section 1.02    Classification of Loans and Borrowings.  For purposes of this Agreement, Loans may be classified and referred to by Class (e.g., an “Initial Term Loan” or an “Incremental Term Loan”) or Type (e.g., a “Eurodollar Rate Loan”).  Borrowings also may be classified and referred to by Class or Type (e.g., a “Eurodollar Term Borrowing”).
Section 1.03    Terms Generally; Currency Translation.  The definitions of terms herein shall apply equally to the singular and plural forms of the terms defined.  Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms.  The words “include,” “includes” and “including” shall be deemed to be followed by the phrase “without limitation.”  The word “will” shall be construed to have the same meaning and effect as the word “shall.”  Unless the context requires otherwise (a) any definition of or reference to any Loan Document, agreement, 

    
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instrument or other document (including any Organizational Document) herein shall be construed as referring to such agreement, instrument or other document as from time to time amended, supplemented or otherwise modified (subject to any restrictions on such amendments, supplements or modifications set forth herein or in any other Loan Document, including the restrictions set forth in the definition of Aleris Merger Agreement), (b) any reference herein to any person shall be construed to include such person’s successors and assigns, (c) any reference to a Subsidiary of a Person shall include any direct or indirect Subsidiary of such Person, (d) the words “herein,” “hereof” and “hereunder,” and words of similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof, (e) all references herein to Articles, Sections, Exhibits and Schedules shall be construed to refer to Articles and Sections of, and Exhibits and Schedules to, this Agreement, (f) any reference to any law or regulation herein shall include all statutory and regulatory provisions consolidating, amendment or interpreting such law or regulation and any reference to any law or regulation shall, unless otherwise specified, refer to such law or regulation as amended, modified or supplemented from time to time, (g) the words “asset” and “property” shall be construed to have the same meaning and effect and to refer to any and all tangible and intangible assets and properties, including cash, securities, accounts and contract rights and (h) “on,” when used with respect to the Mortgaged Property or any property adjacent to the Mortgaged Property, means “on, in, under, above or about.”  For purposes of this Agreement and the other Loan Documents, where the permissibility of a transaction or determinations of required actions or circumstances depend upon compliance with, or are determined by reference to, amounts stated in dollars, such amounts shall be deemed to refer to Dollars or Dollar Equivalents and any requisite currency translation shall be based on the Spot Selling Rate in effect on the Business Day immediately preceding the date of such transaction or determination and the permissibility of actions taken under Article VI shall not be affected by subsequent fluctuations in exchange rates (provided that if Indebtedness is incurred to refinance other Indebtedness, and such refinancing would cause the applicable dollar denominated limitation to be exceeded if calculated at the Spot Selling Rate in effect on the Business Day immediately preceding the date of such refinancing, such dollar denominated restriction shall be deemed not to have been exceeded so long as (x) such refinancing Indebtedness is denominated in the same currency as such Indebtedness being refinanced and (y) the principal amount of such refinancing Indebtedness does not exceed the principal amount of such Indebtedness being refinanced except as permitted by the definition of Permitted Refinancing Indebtedness).  For purposes of this Agreement and the other Loan Documents, the word “foreign” shall refer to jurisdictions other than the United States, the states thereof and the District of Columbia.  From and after the effectiveness of the Permitted Holdings Amalgamation, all references to Borrower in any Loan Document shall refer to the Successor Borrower and (ii) all references to Holdings in any Loan Document shall refer to “Holdings” as defined herein. Subject to Section 11.17, in the case of a conflict between the terms of this Agreement and the terms of any other Loan Document, the terms of this Agreement shall govern and control.
For purposes of any Collateral located in the Province of Quebec or charged by any deed of hypothec (or any other Loan Document) subject to or governed by the laws of the Province of Quebec and for all other purposes pursuant to which the interpretation or construction of a Loan Document may be subject to the laws of the Province of Quebec or a court or tribunal exercising jurisdiction in the Province of Québec, (a) “personal property” shall be deemed to include “movable property”, (b) “real property” shall be deemed to include “immovable property”, (c) ”tangible property” shall be deemed to include “corporeal property”, (d) “intangible property” shall be deemed to include “incorporeal 

    
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property”, (e) “security interest”, “mortgage” and “lien” shall be deemed to include a “hypothec”, “prior claim” and a “resolutory clause”, (f) all references to filing, registering or recording under the UCC or the PPSA shall be deemed to include publication under the Civil Code, (g) all references to “perfection” of or “perfected” Liens shall be deemed to include a reference to an “opposable” or “set up” Liens as against third parties, (h) any “right of offset”, “right of setoff” or similar expression shall be deemed to include a “right of compensation”, (i) “goods” shall be deemed to include “corporeal movable property” other than chattel paper, documents of title, instruments, money and securities, (j) an “agent” shall be deemed to include a “mandatary” or the “hypothecary representative of the Secured Parties”, as the case may be, (k) “construction liens” shall be deemed to include “legal hypothecs”, (l) “joint and several” shall be deemed to include “solidary”, (m) “gross negligence or willful misconduct” shall be deemed to be “intentional or gross fault”, (n) “beneficial ownership” shall be deemed to include “ownership on behalf of another as mandatary”, (o) ”easement” shall be deemed to include “servitude”, (p) “priority” shall be deemed to include “prior claim”, (q) “survey” shall be deemed to include “certificate of location and plan”, and (r) ”fee simple title” shall be deemed to include “absolute ownership”.
Section 1.04    Accounting Terms; GAAP.  Except as otherwise expressly provided herein, all financial statements to be delivered pursuant to this Agreement shall be prepared in accordance with generally accepted accounting principles in the United States applied on a consistent basis as in effect from time to time (“US GAAP”) and all terms of an accounting or financial nature shall be construed and interpreted in accordance with US GAAP, as in effect from time to time unless otherwise agreed to by the Designated Company and the Required Lenders or as set forth below; provided that (i) the Designated Company may elect to convert from US GAAP for the purposes of preparing its financial statements and keeping its books and records to IFRS and if the Designated Company makes such election it shall give prompt written notice to the Administrative Agent and the Lenders within five Business Days of such election, along with a reconciliation of the Designated Company’s financial statements covering the four most recent fiscal quarters for which financial statements are available (including a reconciliation of the Designated Company’s audited financial statements prepared during such period), (ii) upon election of any conversion to IFRS, the Administrative Agent, the Lenders and the Designated Company shall negotiate in good faith to amend the financial ratios and requirements and other terms of an accounting or a financial nature in the Loan Documents to preserve the original intent thereof in light of such conversion to IFRS (subject to the approval of the Required Lenders); provided that, until so amended (x) such ratios or requirements (and all terms of an accounting or a financial nature) shall continue to be computed in accordance with US GAAP prior to such conversion to IFRS and (y) the Designated Company shall provide to the Administrative Agent and the Lenders any documents and calculations required under this Agreement or as reasonably requested hereunder by the Administrative Agent or any Lender setting forth a reconciliation between calculations of such ratios and requirements and other terms of an accounting or a financial nature made before and after giving effect to such conversion to IFRS and (iii) if at any time any change in US GAAP or change in IFRS would affect the computation of any financial ratio or requirement or other terms of an accounting or a financial nature set forth in any Loan Document, and the Designated Company or the Required Lenders shall so request, the Administrative Agent, the Lenders and the Designated Company shall negotiate in good faith to amend such ratio or requirement or other terms of an accounting or a financial nature to preserve the original intent thereof in light of such change in US GAAP or change in IFRS (subject to the approval of the Required Lenders); provided that, until so amended, (x) such ratio or 

    
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requirement or other terms of an accounting or a financial nature shall continue to be computed in accordance with US GAAP prior to such change therein or change in IFRS and (y) the Designated Company shall provide to the Administrative Agent and the Lenders any documents required under this Agreement or as reasonably requested hereunder setting forth a reconciliation between calculations of such ratio or requirement or other terms of an accounting or a financial nature made before and after giving effect to such change in US GAAP or change in IFRS.  Notwithstanding the foregoing, for purposes of determining compliance with any covenant contained herein, Indebtedness of Holdings, the Designated Company and its Subsidiaries shall be deemed to be carried at 100% of the outstanding principal amount thereof, and the effects of FASB ASC 825 on financial liabilities shall be disregarded.  For the avoidance of doubt, with respect to the incurrence of any Indebtedness or the making of any Investment, Asset Sale, Sale Leaseback Transaction or Restricted Payment in reliance on any provision of Article VI hereof that is based on a percentage of Consolidated Net Tangible Assets, such provision shall be deemed to be tested solely upon incurrence of such Indebtedness or the making of any such Investment, Asset Sale, Sale Leaseback Transaction or Restricted Payment with respect to Consolidated Net Tangible Assets as of the end of the most recent period for which financial statements have been delivered under Section 5.01(a) or (b). Notwithstanding anything to the contrary in this Agreement, regardless of whether Ulsan JV Subsidiary is a Subsidiary, the financial results of Ulsan JV Subsidiary shall be included in all consolidated financial results of the Designated Company and its Subsidiaries to the extent the Designated Company consolidates the results of Ulsan JV Subsidiary in its financial statements in accordance with US GAAP; provided that the proportionate interest of the Ulsan Joint Venture Partner in the Ulsan JV Subsidiary and any liability of the Ulsan JV Subsidiary to pay Distributions to the Ulsan Joint Venture Partner with respect to such proportionate interest shall be excluded for the purposes of all financial definitions under this Agreement.  Notwithstanding anything to the contrary in this Agreement, nothing in this Agreement shall be deemed to require the consolidation of Ulsan JV Subsidiary into the consolidated financial results of the Designated Company to the extent not required under US GAAP.
Section 1.05    Resolution of Drafting Ambiguities.  Each Loan Party acknowledges and agrees that it was represented by counsel in connection with the execution and delivery of the Loan Documents to which it is a party, that it and its counsel reviewed and participated in the preparation and negotiation hereof and thereof and that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be employed in the interpretation hereof or thereof. 
Section 1.06    Pro Forma Calculations.  Notwithstanding anything to the contrary herein, the Total Net Leverage Ratio, the Senior Secured Net Leverage Ratio, the Secured Net Leverage Ratio and the Consolidated Interest Coverage Ratio shall be calculated on a Pro Forma Basis with respect to each Specified Transaction occurring during the applicable four quarter period to which such calculation relates, or subsequent to the end of such four-quarter period but not later than the date of such calculation (such period, the “Measurement Period”); provided that notwithstanding the foregoing, (a) when calculating the Senior Secured Net Leverage Ratio for purposes of determining the applicable percentage of Excess Cash Flow set forth in Section 2.10(f), such calculation shall be made on a Pro Forma Basis with respect to Specified Transactions shall not give effect to Specified Transactions occurring subsequent to the applicable four quarter period and (b) for the purpose of calculating the Total Net Leverage Ratio, the Senior Secured Net Leverage Ratio, and the Secured Net Leverage Ratio on a Pro Forma Basis on any date, Consolidated Total Net Debt shall be increased on a Dollar Equivalent 

    
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for Dollar Equivalent basis by the lesser of (x) the amount of cash and Cash Equivalents paid by the Companies  subsequent to the end of the applicable four quarter period and on or prior to the applicable date of determination, in connection with Specified Transactions and (y) the maximum amount of cash and Cash Equivalents constituting Unrestricted Cash as of the end of the applicable four quarter period.
Section 1.07    Calculation of Reference Bank Rate and Cost of Funds.
(a)    Subject to clause (b) below, if the Fallback Rate is to be determined on the basis of a Reference Bank Rate but a Reference Bank does not supply a quotation by the Specified Time, the Reference Bank Rate shall be calculated on the basis of the quotations of the remaining Reference Banks.
(b)    If at or about the Specified Time, none or only one of the Reference Banks supplies a quotation, there shall be no Reference Bank Rate for the relevant Interest Period.
(c)    If the Fallback Rate is to be determined on the basis of the Cost of Funds and the Administrative Agent or the Designated Company so requires, the Administrative Agent and the Designated Company shall enter into negotiations (for a period of not more than thirty days) with a view to agreeing a substitute basis for determining the rate of interest. Any alternative basis agreed pursuant to the immediately preceding sentence shall, with the prior consent of all the Lenders and the Designated Company, be binding on all Parties.
(d)    If the Fallback Rate applies, the Administrative Agent shall, as soon as is practicable, notify the Designated Company.
Section 1.08    Role of Reference Banks.
(a)    No Reference Bank, in its capacity as such, is under any obligation to provide a quotation or any other information to any Agent.
(b)    No Reference Bank, in its capacity as such, will be liable for any action taken by it under or in connection with any Loan Document, or for any Reference Bank Quotation, unless directly caused by such Reference Bank’s gross negligence or willful misconduct.
(c)    No Party (other than the relevant Reference Bank) may take any proceedings against any officer, employee or agent of any Reference Bank in respect of any claim it might have against that Reference Bank or in respect of any act or omission of any kind by that officer, employee or agent in relation to any Loan Document, or to any Reference Bank Quotation, and any officer, employee or agent of each Reference Bank may rely on this Section 1.08. 
(d)     Except as otherwise expressly set forth herein, no Reference Bank that obtains the benefits of this Section 1.08, shall have any right to notice of any action or to consent to, direct or object to any action hereunder or under any other Loan Document or otherwise in respect of the Collateral (including the release or impairment of any Collateral) other than in its capacity as a Lender and, in such case, only to the extent expressly provided in the Loan Documents.
(e)    A Reference Bank which is not a Party may rely on this Section 1.08, and Section 1.09.

    
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Section 1.09    Confidentiality of Funding Rates and Funding Bank Quotations.
(a)    Confidentiality and Disclosure
(i)    The Administrative Agent and each Loan Party agree to keep each Funding Rate (and, in the case of the Administrative Agent, each Reference Bank Quotation) confidential and not to disclose it to anyone, save to the extent permitted by paragraphs (b), (c) and (d) below.
(ii)    The Administrative Agent may disclose:
(1)    any Funding Rate (but not, for the avoidance of doubt, any Reference Bank Quotation) to any Loan Party; and
(2)    any Funding Rate or any Reference Bank Quotation to any Person appointed by it to provide administration services in respect of one or more of the Loan Documents to the extent necessary to enable such service provider to provide those services if the service provider to whom that information is to be given has entered into a confidentiality agreement in form and substance reasonably acceptable to the Administrative Agent and the relevant Lender or Reference Bank, as the case may be.
(iii)    The Administrative Agent may disclose any Funding Rate or any Reference Bank Quotation, and each Loan Party may disclose any Funding Rate, to:
(1)    any of its Affiliates and any of its or their respective Related Parties if any Person to whom that Funding Rate or Reference Bank Quotation is to be given pursuant to this clause (1) is informed in writing of its confidential nature and that it may be price-sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain the confidentiality of that Funding Rate or Reference Bank Quotation or is otherwise bound by requirements of confidentiality in relation to it;
(2)    any Person to whom information is required or requested to be disclosed by any court of competent jurisdiction or any governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation if the person to whom that Funding Rate or Reference Bank Quotation is to be given is informed in writing of its confidential nature and that it may be price-sensitive information except that there shall be no requirement to so inform if, in the opinion of the Administrative Agent or the relevant Loan Party, as the case may be, it is not practicable to do so in the circumstances;
(3)    any Person to whom information is required to be disclosed in connection with, and for the purposes of, any litigation, arbitration, administrative or other investigations, proceedings or disputes if the Person to whom that Funding Rate or Reference Bank Quotation is to be given is informed in writing of its confidential nature and that it may be price-sensitive information except that there shall be no requirement to so inform if, in the opinion of the 

    
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Administrative Agent or the relevant Loan Party, as the case may be, it is not practicable to do so in the circumstances; and
(4)    any Person with the consent of the relevant Lender or Reference Bank, as the case may be.
(iv)    The Administrative Agent’s obligations in this Section 1.09 relating to Reference Bank Quotations are without prejudice to any obligation it has to notify the Loan Parties and the Lenders of the determination of a rate of interest under this Agreement; provided that (other than pursuant to clause (ii)(1) above) the Administrative Agent shall not include the details of any individual Reference Bank Quotation as part of any such notification.
(b)    Related Obligations
(i)    The Administrative Agent and each Loan Party acknowledge that each Funding Rate (and, in the case of the Agent, each Reference Bank Quotation) is or may be price-sensitive information and that its use may be regulated or prohibited by applicable legislation including securities laws relating to insider dealing and market abuse and the Administrative Agent and each Loan Party undertake not to use any Funding Rate or, in the case of the Administrative Agent, any Reference Bank Quotation, for any unlawful purpose.
(ii)    The Administrative Agent and each Loan Party agree (to the extent permitted by law and regulation) to inform the relevant Lender or Reference Bank, as the case may be:
(1)    of the circumstances of any disclosure made pursuant to clause (iii)(2) except where such disclosure is made to any of the persons referred to in that clause during the ordinary course of its supervisory or regulatory function; and
(2)    upon becoming aware that any information has been disclosed in breach of this Section 1.09.
(c)    No Event of Default
(i)    No Event of Default shall occur solely as a result of a Loan Party’s failure to comply with this Section 1.09.
Section 1.10    Amendments to Permitted Customer Account Financing Definition. Notwithstanding anything to the contrary in this Agreement or in any other Loan Document, if the definition of “Permitted Customer Account Financing” in the Revolving Credit Agreement is amended after the Second Amendment Effective Date (each such amendment to such definition, a “Permitted ABL Customer Account Financing Amendment”), then on and after the first date that the Companies have complied with the Permitted Customer Account Financing Amendment Conditions in respect of such Permitted ABL Customer Account Financing Amendment, such Permitted ABL Customer Account Financing Amendment shall automatically be deemed to have amended the definition of Permitted Customer Account Financing in this Agreement, and shall be incorporated by reference in the definition of Permitted Customer Account Financing in this Agreement as if set forth fully herein, 

    
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mutatis mutandis. Thereafter, upon the request of the Administrative Agent or any Lender, the Designated Company and the Administrative Agent shall enter into an additional agreement or an amendment to this Agreement (as the Administrative Agent may request), evidencing the incorporation of such Permitted ABL Customer Account Financing Amendment. As of the Second Amendment Effective Date, each Lender party to the Second Amendment, which Lenders constitute the Required Lenders, and each Lender that becomes a party to this Agreement after the Second Amendment Effective Date, expressly consents to the terms of this Section 1.10, and hereby agrees that any amendments to the definition of Permitted Customer Account Financing effected pursuant to this Section 1.10 after the Second Amendment Effective Date shall be deemed to have been consented to by such Lenders (and any successor or permitted assign thereof).
Section 1.11    Divisions. For all purposes under the Loan Documents, in connection with any division or plan of division under Delaware law (or any comparable event under a different jurisdiction’s laws): (a) if any asset, right, obligation or liability of any Person becomes the asset, right, obligation or liability of a different Person, then it shall be deemed to have been transferred from the original Person to the subsequent Person, and (b) if any new Person comes into existence, such new Person shall be deemed to have been organized on the first date of its existence by the holders of its Equity Interests at such time.
ARTICLE II 
 
THE CREDITS
Section 2.01    Commitments.
(a)    Subject to the terms and conditions and relying upon the representations and warranties herein set forth, each Lender party hereto on the Closing Date agrees, severally and not jointly, to make a Term Loan in Dollars to the Borrower on the Closing Date as set forth herein in the principal amount not to exceed its Term Loan Commitment on the Closing Date.
(b)    Subject to the terms and conditions of the Aleris Increase Joinder Amendment (including the conditions precedent set forth in Section 5 of the Aleris Increase Joinder Amendment) and this Agreement and relying upon the representations and warranties therein and herein set forth, each Aleris Incremental Term Lender agrees, severally and not jointly, to make an Aleris Incremental Term Loan in Dollars to Novelis Acquisitions on the Aleris Incremental Funding Date as set forth herein and in the Aleris Increase Joinder Amendment, in the principal amount not to exceed its Aleris Incremental Term Loan Commitment on the Aleris Incremental Funding Date.
(bc)    Subject to the terms and conditions and relying upon the representations and warranties set forth in the any Increase Joinder and in this Agreement, each Additional Lender signatory to such Increase Joinder agrees, severally and not jointly, to make a Term Loan in Dollars to the Co-Borrower specified in such Increase Joinder on the funding date set forth in such Increase Joinder in the principal amount not to exceed the Incremental Term Loan Commitment specified in such Increase Joinder.
(cd)    Amounts paid or prepaid in respect of Term Loans may not be reborrowed.

    
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Section 2.02    Loans.
(a)    Each Loan shall be made as part of a Borrowing consisting of Loans made by the Lenders ratably in accordance with their applicable Commitments; provided that the failure of any Lender to make its Loan shall not in itself relieve any other Lender of its obligation to lend hereunder (it being understood, however, that no Lender shall be responsible for the failure of any other Lender to make any Loan required to be made by such other Lender).  Each Borrowing shall be in an aggregate principal amount that is not less than (and in integral amounts consistent with) the Minimum Amount.
(b)    Subject to Section 2.11 and Section 2.12, each Borrowing shall be comprised entirely of Eurodollar Rate Loans, in each case as the applicable Co-Borrower may request pursuant to Section 2.03. Each Lender may at its option make any Eurodollar Rate Loan by causing any domestic or foreign branch or Affiliate of such Lender to make such Loan; provided that any exercise of such option shall not affect the obligation of the Co-Borrowers to repay such Loan in accordance with the terms of this Agreement. No Co-Borrower shall be entitled to request any Borrowing that, if made, would result in more than three (3) Eurodollar Rate Borrowings by such Co-Borrower hereunder at any one time. For purposes of the foregoing, Borrowings having different Interest Periods and a different Co-Borrower, regardless of whether they commence on the same date, shall be considered separate Borrowings.
(c)    Each Lender shall make each Loan to be made by it hereunder on the proposed date thereof by wire transfer of immediately available funds to such account in London as the Administrative Agent may designate not later than 3:00 p.m., London time, and the Administrative Agent shall promptly credit the amounts so received to an account of the applicable Co-Borrower as directed by the applicable Co-Borrower in the applicable Borrowing Request maintained with the Administrative Agent or, if a Borrowing shall not occur on such date because any condition precedent herein specified or specified in the Aleris Increase Joinder Amendment or the applicable Increase Joinder shall not have been met, return the amounts so received to the respective Lenders.
(d)    Unless the Administrative Agent shall have received notice from a Lender prior to the date of any Borrowing that such Lender will not make available to the Administrative Agent such Lender’s portion of such Borrowing, the Administrative Agent may assume that such Lender has made such portion available to the Administrative Agent on the date of such Borrowing in accordance with paragraph (c) above, and the Administrative Agent may, in reliance upon such assumption, make available to the applicable Co-Borrower on such date a corresponding amount. If the Administrative Agent shall have so made funds available, then, to the extent that such Lender shall not have made such portion available to the Administrative Agent, each of such Lender and such Co-Borrower severally agrees to repay to the Administrative Agent forthwith on demand such corresponding amount together with interest thereon, for each day from the date such amount is made available to such Co-Borrower until the date such amount is repaid to the Administrative Agent at (i) in the case of such Co-Borrower, the interest rate applicable at the time to the Loans comprising such Borrowing and (ii) in the case of such Lender, the greater of the Interbank Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation. If such Lender shall repay to the Administrative Agent such corresponding amount, such amount shall constitute such Lender’s Loan as part of such Borrowing for purposes of this Agreement, and such 

    
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Co-Borrower’s obligation to repay the Administrative Agent such corresponding amount pursuant to this Section 2.02(d) shall cease.
(e)    Notwithstanding anything to the contrary contained herein, the Co-Borrowers shall not be entitled to request, or to elect to convert or continue, any Borrowing if the Interest Period requested with respect thereto would end after the Maturity Date of such Loans.
Section 2.03    Borrowing Procedure.
(a)    To request a Borrowing, the Designated Company shall deliver, by hand delivery, telecopier or, to the extent separately agreed by the Administrative Agent, by an electronic communication in accordance with the second sentence of Section 11.01(b) and the second paragraph of Section 11.01(d), a duly completed and executed Borrowing Request to the Administrative Agent not later than 10:00 a.m., London time, three (3) Business Days before the date of the proposed Borrowing. Each Borrowing Request shall be irrevocable and shall specify the following information in compliance with Section 2.02:
(i)    the names of the Co-Borrower(s) requesting such Borrowing(s) and the aggregate amount of such Borrowing(s);
(ii)    the date of such Borrowing(s), which shall be a Business Day (and in the case of the Aleris Incremental Term Loans, occurring prior to the Aleris Incremental Commitment Termination Date);
(iii)    the initial Interest Period to be applicable to each such Borrowing, which shall be a period contemplated by the definition of the term “Interest Period”;
(iv)    the location and number of such Co-Borrowers’ account(s) to which funds are to be disbursed, which shall comply with the requirements of Section 2.02(c); and
(v)    in the case of the initial Credit Extension hereunder, under the Aleris Incremental Term Loan Commitments or under any Incremental Term Loan Commitments, that the conditions set forth in Section 4.03(b) - (d) have been satisfied as of the date of the notice, and in the case of Aleris Incremental Term Loans, that the conditions referred to in Section 4.04 shall be satisfied as of the date designated pursuant to clause (ii) above.
Subject to the firstsecond proviso in the definition of “Interest Period,” if no Interest Period is specified with respect to any requested Eurodollar Rate Borrowing, then the Co-Borrowers shall be deemed to have selected an Interest Period of three month’s duration.  Promptly following receipt of a Borrowing Request in accordance with this Section, the Administrative Agent shall advise each Lender of the details thereof and of the amount of such Lender’s Loan to be made as part of the requested Borrowing.

    
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(b)    Appointment of the Designated Company as Administrative Borrower.  Each Co-Borrower hereby irrevocably appoints and constitutes the Designated Company as its agent to request Loans and give notices pursuant to this Agreement in the name of or on behalf of such Co-Borrower.  The Administrative Agent and Lenders may disburse the Loans to such bank account of the Designated Company or a Co-Borrower or otherwise make such Loans to a Co-Borrower as the Designated Company may designate or direct, without notice to any other Co-Borrower or Guarantor.  Each Loan Party hereby irrevocably appoints and constitutes the Designated Company as its agent to receive statements of account and all other notices from the Agents and Lenders with respect to the Secured Obligations or otherwise under or in connection with this Agreement and the other Loan Documents, including the Intercreditor Agreement.  Any notice, election, representation, warranty, agreement or undertaking by or on behalf of any other Loan Party by the Designated Company shall be deemed for all purposes to have been made by such Loan Party, as the case may be, and shall be binding upon and enforceable against such Loan Party to the same extent as if made directly by such Loan Party. The Designated Company hereby accepts the appointment by the Co-Borrowers and the other Loan Parties to act as the agent of the Co-Borrowers and the other Loan Parties and agrees to ensure that the disbursement of any Loans to another Co-Borrower requested by or paid to or for the account of such Co-Borrower shall be paid to or for the account of such Co-Borrower. No purported termination of the appointment of the Designated Company as agent as aforesaid shall be effective, except after ten (10) days’ prior written notice to the Administrative Agent and appointment by the Co-Borrowers of a replacement agent for such Co-Borrowers.
Section 2.04    Repayment of Loans; Evidence of Debt.
(a)    Promise to Repay.  Each Co-Borrower hereby unconditionally promises to pay to the Administrative Agent, for the account of each applicable Lender, the then unpaid principal amount of each Term Loan of such Lender made to such Co-Borrower on the Maturity Date of such Class of Term Loans outstanding at such time, together with all other Obligations relating to such Class of Term Loans outstanding at such time.  All payments or repayments of Loans made pursuant to this Section 2.04(a) shall be made in Dollars.  
(b)    Lender and Administrative Agent Records.  Each Lender shall maintain in accordance with its usual practice an account or accounts evidencing the Indebtedness of the Co-Borrowers to such Lender resulting from each Loan made by such Lender from time to time, including the amounts of principal and interest payable and paid to such Lender from time to time under this Agreement.  The Administrative Agent shall maintain accounts in which it will record (i) the amount of each Loan made hereunder, the Type and Class thereof and the Interest Period applicable thereto; (ii) the amount of any principal or interest due and payable or to become due and payable from the Co-Borrower to each Lender hereunder; and (iii) the amount of any sum received by the Administrative Agent hereunder for the account of the Lenders and each Lender’s share thereof.  The entries made in the accounts maintained pursuant to this paragraph shall be prima facie evidence of the existence and amounts of the obligations therein recorded; provided that the failure of any Lender or the Administrative Agent to maintain such accounts or any error therein shall not in any manner affect the obligations of the Co-Borrowers to repay the Loans in accordance with their terms.

    
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(c)    Promissory Notes.  Any Lender by written notice to Designated Company (with a copy to the Administrative Agent) may request that Loans of any Class made by it be evidenced by a promissory note.  In such event, the Co-Borrowers shall prepare, execute and deliver to such Lender one or more promissory notes payable to such Lender or its registered assigns in the form of Exhibit K (with, in the case of Loans other than the Initial Term Loans, such changes as are appropriate, in the Administrative Agent’s reasonable discretion, to reflect the terms of such Loans).  Thereafter, the Loans evidenced by such promissory note and interest thereon shall at all times (including after assignment pursuant to Section 11.04) be represented by one or more promissory notes in such form payable to such payee or its registered assigns.
Section 2.05    Fees.
(a)    Fees.  The Borrower agrees to pay all Fees payable pursuant to each Fee Letter, in the amounts and on the dates set forth therein.
(b)    All Fees shall be paid on the dates due, in immediately available funds in dollars, to the Administrative Agent. Once paid, none of the Fees shall be refundable under any circumstances.
Section 2.06    Interest on Loans.  
(a)    Fallback Rate Loans.  Subject to the provisions of Section 2.06(c), the Loans comprising each Fallback Rate Borrowing shall bear interest at a rate per annum equal to the Fallback Rate plus the Applicable Margin; provided that for any Interest Period of less than one month, the Fallback Rate shall be calculated based on an Interest Period of one month; provided, further, that Incremental Term Loans and Other Term Loans may have a different Applicable Margin as provided for in Sections 2.23 and 2.24, subject to the provisions thereof.
(b)    Eurodollar Rate Loans.  Subject to the provisions of Section 2.06(c), the Loans comprising each Eurodollar Rate Borrowing shall bear interest at a rate per annum equal to the Eurodollar Rate for the Interest Period in effect for such Borrowing plus the Applicable Margin; provided that for any Interest Period of less than one month, the Eurodollar Rate shall be calculated based on an Interest Period of one month; provided, further, that Incremental Term Loans and Other Term Loans may have a different Applicable Margin as provided for in Sections 2.23 and 2.24, subject to the provisions thereof.
(c)    Default Rate.  Notwithstanding the foregoing, if at any time any principal of or interest on any Loan or any fee or other amount payable by the Loan Parties hereunder has not been paid when due, whether at stated maturity, upon acceleration or otherwise and for so long as such amounts have not been paid, such overdue amount shall, to the extent permitted by applicable law, bear interest, after as well as before judgment, at a per annum rate equal to (i) in the case of principal of or interest on any Loan, 2% plus the rate otherwise applicable to such Loan as provided in the preceding paragraphs of this Section 2.06 and of Sections 2.11 and 2.12 or (ii) in the case of any other amount, 2% plus the rate applicable to Eurodollar Rate Loans as provided in Section 2.06(b) (in either case, the “Default Rate”).

    
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(d)    Interest Payment Dates.  Accrued interest on each Loan shall be payable in arrears on each Interest Payment Date for such Loan; provided that (i) interest accrued pursuant to Section 2.06(c) shall be payable on demand, (ii) in the event of any repayment or prepayment of any Loan, accrued interest on the principal amount repaid or prepaid shall be payable on the date of such repayment or prepayment and (iii) in the event of any conversion of any Eurodollar Rate Loan prior to the end of the current Interest Period therefor, accrued interest on such Loan shall be payable on the effective date of such conversion.
(e)    Interest Calculation.  All interest hereunder shall be computed on the basis of a year of 360 days and shall be payable for the actual number of days elapsed (including the first day but excluding the last day). The applicable Fallback Rate or Eurodollar Rate shall be determined by the Administrative Agent in accordance with the provisions of this Agreement and such determination shall be conclusive absent manifest error.
(f)    Currency for Payment of Interest.  All interest paid or payable pursuant to this Section 2.06 shall be paid in Dollars.
Section 2.07    Termination and Reduction of Commitments.
(a)    Automatic Termination. 
(i)    Any undrawn Term Loan Commitments under clause (i)(a) of such definition shall automatically terminate at 5:00 p.m., London time, on the earlier to occur of (x) the Closing Date and (y) the Agreement Termination Date. 
(ii)    Any undrawn Aleris Incremental Term Loan Commitments shall automatically terminate on the earlier to occur of (x) the Aleris Incremental Commitment Termination Date and (y) the Aleris Incremental Funding Date (after giving effect to the funding of any Aleris Incremental Term Loans on such date). 
(iiiii)    Any undrawn Incremental Term Loan Commitments (other than the Aleris Incremental Term Loan Commitments) shall automatically terminate in accordance with the terms and conditions set forth onin the applicable Increase Joinder.
(b)    Optional Termination or Reduction. The applicable Co-Borrowers shall have the right at any time to terminate, or from time to time permanently reduce, the undrawn Commitments of any Class; provided that each such reduction of any Class shall be in an amount that is not less than (and in integral amounts consistent with) the Minimum Amount or, if less, the remaining amount of the Commitments of such Class. The Designated Company shall notify the Administrative Agent by written notice of any commitment termination or reduction under this clause not later than 11:00 a.m., London time, three (3) Business Days before the date of such termination or reduction.  Each such notice shall be irrevocable; provided that if such notice indicates that it is conditioned upon the effectiveness of other credit facilities or any other financing, sale or other transaction, such notice of prepayment may 

    
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be revoked if such credit facilities, other financing, sale or other transaction is not consummated.  Each such notice shall specify the termination or reduction date, and the amount of each Class of Commitments or portion thereof to be terminated or reduced. Promptly following receipt of any such notice, the Administrative Agent shall advise the Lenders of the contents thereof.
Section 2.08    Interest Elections.
(a)    Generally.  Each Borrowing initially shall be a Eurodollar Rate Borrowing and shall have an initial Interest Period as specified in such Borrowing Request.  Thereafter, subject to Sections 2.11 and 2.12, the applicable Co-Borrower may elect to rollover or continue such Borrowing and the Interest Periods therefor, all as provided in this Section. Subject to Sections 2.11 and 2.12, the applicable Co-Borrower may elect different options with respect to different portions (not less than the Minimum Amount) of the affected Borrowing, in which case each such portion shall be allocated ratably among the Lenders holding the Loans comprising such Borrowing, and the Loans comprising each such portion shall be considered a separate Borrowing.  Notwithstanding anything to the contrary, (i) no Co-Borrower shall be entitled to request any conversion, rollover or continuation that, if made, would result in more than three (3) Eurodollar Rate Borrowings by such Co-Borrower outstanding hereunder at any one time and (ii) if two or more Interest Periods relate to Borrowings made to the same Co-Borrower and end on the same date, those Borrowings will be consolidated into, and treated as, a single Borrowing on the last day of the Interest Period. 
(b)    Interest Election Notice.  To make an election pursuant to this Section, the Designated Company shall deliver, by hand delivery, telecopier or, to the extent separately agreed by the Administrative Agent, by an electronic communication in accordance with the second sentence of Section 11.01(b) and the second paragraph of Section 11.01(d), a duly completed and executed Interest Election Request to the Administrative Agent not later than 10:00 a.m., London time, four (4) Business Days before the effective date of such election.  Each Interest Election Request shall be irrevocable.  Each Interest Election Request shall specify the following information in compliance with Section 2.02:
(i)    the Borrowing to which such Interest Election Request applies and, if different options are being elected with respect to different portions thereof, or if outstanding Borrowings are being combined, allocation to each resulting Borrowing (in which case the information to be specified pursuant to clause (iii) below shall be specified for each resulting Borrowing);
(ii)    the effective date of the election made pursuant to such Interest Election Request, which shall be a Business Day; and
(iii)    the Interest Period to be applicable thereto after giving effect to such election, which shall be a period contemplated, as applicable, by the definition of the term “Interest Period”.
Subject to the first proviso in the definition of “Interest Period”, if any such Interest Election Request requests a Eurodollar Rate Borrowing but does not specify an Interest Period, then the Co-Borrowers shall be deemed to have selected an Interest Period of three month’s duration.

    
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Promptly following receipt of an Interest Election Request, the Administrative Agent shall advise each Lender of the details thereof and of such Lender’s portion of each resulting Borrowing.
(c)    Failure to Select an Interest Period.  If an Interest Election Request with respect to a Eurodollar Rate Borrowing is not timely delivered prior to the end of the Interest Period applicable thereto, then, unless such Borrowing is repaid as provided herein, the immediately following Interest Period shall be three months. 
Section 2.09    Amortization of Term Loan Borrowings.  
(a)    The Co-Borrowers shall pay to the Administrative Agent, for the account of the Lenders holding Initial Term Loans, on the dates set forth on Annex I, or if any such date is not a Business Day, on the next succeeding Business Day unless such next succeeding Business Day would fall in the next calendar month, in which case such amount shall be payable on the immediately preceding Business Day (each such date, a “Term Loan Repayment Date”), a principal amount of the Initial Term Loans equal to the amount set forth on Annex I for such date (as adjusted from time to time pursuant to Section 2.10(g)), together in each case with accrued and unpaid interest on the principal amount to be paid to but excluding the date of such payment.  Notwithstanding anything to the contrary contained herein or in any other Loan Document, all outstanding Initial Term Loans shall be deemed to constitute Term Loans of the same Class and shall all amortize as set forth on Annex I.
(b)    The Co-Borrowers shall pay to the Administrative Agent, for the account of the Aleris Incremental Term Lenders, on the last day of each fiscal quarter of the Designated Company, commencing with the last day of the first fiscal quarter ended after the Aleris Incremental Funding Date, through and including the last day of the fiscal quarter ended immediately prior to the Aleris Incremental Maturity Date, or if any such date is not a Business Day, on the next succeeding Business Day unless such next succeeding Business Day would fall in the next calendar month, in which case such amount shall be payable on the immediately preceding Business Day (each such date, a “Aleris Incremental Term Loan Repayment Date”), a principal amount of the Aleris Incremental Term Loans equal to $1,937,500 (as adjusted from time to time pursuant to Section 2.10(g)), together in each case with accrued and unpaid interest on the principal amount to be paid to but excluding the date of such payment. On the Aleris Incremental Maturity Date, the remaining outstanding principal amount of Aleris Incremental Term Loans, together with accrued and unpaid interest on such amount to but excluding the date of such payment.
(bc)    The principal amount of Incremental Term Loans (other than Aleris Incremental Term Loans) and Other Term Loans shall be repaid by the applicable Co-Borrowers as provided in the applicable Increase Joinder or Refinancing Amendment, as the case may be, in each case subject to the requirements of this Agreement.
(cd)    To the extent not previously paid, all Term Loans shall be due and payable on the Maturity Date of such Term Loans. 
Section 2.10    Optional and Mandatory Prepayments of Loans.

    
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(a)    Optional Prepayments.  The Co-Borrowers shall have the right at any time and from time to time to prepay any Loans, in whole or in part, subject to the requirements of this Section 2.10; provided that each partial prepayment shall be in a principal amount that is not less than (and in integral amounts consistent with) the Minimum Amount or, if less, the outstanding principal amount of such Borrowing.
(b)    Net Cash Proceeds Account.  Subject to the terms of the Intercreditor Agreement, the Net Cash Proceeds of any Pari Passu Priority Collateral arising from an Asset Sale or Casualty Event by the Designated Company or any Subsidiary Guarantor which Net Cash Proceeds are being reinvested in accordance with Sections 2.10(c) or (e), respectively, shall be deposited in one or more Net Cash Proceeds Accounts pending final application of such proceeds (and any products of such proceeds) in accordance with the terms hereof (provided that prior to such final application, and without affecting the Co-Borrowers’ obligations under Sections 2.10(c) and (e), such proceeds may be utilized to make repayments of the Revolving Credit Loans without reducing Revolving Credit Commitments). 
(c)    Asset Sales.  Not later than three (3) Business Days following the receipt of any Net Cash Proceeds of any Asset Sale by the Designated Company or any of its Restricted Subsidiaries, the applicable Co-Borrowers shall make prepayments of the Term Loans in accordance with Section 2.10(g) and (h) in an aggregate amount equal to 100% of such Net Cash Proceeds; provided, that if at the time that any such prepayment would be required, such Co-Borrower is required to prepay or offer to repurchase (x) Permitted Short Term Indebtedness, solely to the extent that such Asset Sale constitutes a Specified Divestiture, (y) Permitted First Priority Refinancing Debt, or (z) any Additional Senior Secured Indebtedness that is secured on a pari passu basis with the Secured Obligations pursuant to the terms of the documentation governing such Indebtedness, in the case of clauses (x) through (z), with the Net Cash Proceeds of such Asset Sale (such Permitted Short Term Indebtedness, Permitted First Priority Refinancing Debt or Additional Senior Secured Indebtedness required to be prepaid or offered to be so repurchased, “Other Applicable Indebtedness”), then such Co-Borrower shall apply such Net Cash Proceeds on a pro rata basis (determined on the basis of the aggregate outstanding principal amount of the Term Loans and Other Applicable Indebtedness at such time; provided, that the portion of such net proceeds allocated to the Other Applicable Indebtedness shall not exceed the amount of such Net Cash Proceeds required to be allocated to the Other Applicable Indebtedness pursuant to the terms thereof, and the remaining amount, if any, of such Net Cash Proceeds shall be allocated to the Term Loans in accordance with the terms hereof) to the prepayment of the Term Loans and to the prepayment or repurchase of Other Applicable Indebtedness, and the amount of prepayment of the Term Loans that would have otherwise been required pursuant to this Section 2.10(c) shall be reduced accordingly; provided further, that to the extent the holders of Other Applicable Indebtedness decline to have such indebtedness prepaid or repurchased, the declined amount shall promptly (and in any event within 10 Business Days after the date of such rejection) be applied to prepay the Term Loans in accordance with the terms hereof; provided further that:
(i)    no such prepayment shall be required under this Section 2.10(c) with respect to (A) any Asset Sale permitted by Section 6.06 other than clauses (b) and (i) thereof, (B) the disposition of property which constitutes a Casualty Event, or (C) Asset Sales for fair market value resulting in less than $50,000,000 in Net Cash Proceeds in any fiscal year; and 

    
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(ii)    so long as no Event of Default shall then exist or would arise therefrom, such proceeds shall not be required to be so applied on such date to the extent that the Designated Company shall have delivered an Officers’ Certificate to the Administrative Agent on or prior to such date stating that such Net Cash Proceeds are expected to be reinvested in fixed or capital assets or to make Permitted Acquisitions (and (x) in the case of Net Cash Proceeds received from the arm’s length sale or disposition for cash of Equity Interests in a Joint Venture Subsidiary for fair market value or the issuance of Equity Interests in a Joint Venture Subsidiary, in each case as permitted under Section 6.06 hereof, such Net Cash Proceeds may also be used to make investments in joint ventures so long as a Company owns at least 50% of the Equity Interests in such joint venture and (y) in the case of Net Cash Proceeds from an Asset Sale by a Joint Venture Subsidiary, such Net Cash Proceeds may also be used by such Joint Venture to reinvest in property (other than cash, Cash Equivalents and securities) to be owned by such Joint Venture and used in an activity permitted under Section 6.15) within 365 days  (or in the event the Designated Company or any Restricted Subsidiary has entered into a binding agreement to make such reinvestment within such 365 day period, such period shall be extended for an additional 365 days with respect to the portion of such Net Cash Proceeds so committed to be reinvested)  following the date of such Asset Sale (which Officers’ Certificate shall set forth the estimates of the proceeds to be so expended); provided that if all or any portion of such Net Cash Proceeds is not so reinvested within such 365-day period (as such period may be extended pursuant to the foregoing), such unused portion shall be applied on the last day of such period to mandatory prepayments as provided in this Section 2.10(c).
(d)    Debt Issuance.  Not later than one (1) Business Day following the receipt of any Net Cash Proceeds of any Debt Issuance or issuance of Disqualified Capital Stock by Holdings, the Designated Company or any of its Restricted Subsidiaries (other than in the case of an issuance of Disqualified Capital Stock, as permitted by Section 6.13), the applicable Co-Borrowers shall make prepayments in accordance with Section 2.10(g) and (h) in an aggregate amount equal to 100% of such Net Cash Proceeds.
(e)    Casualty Events.  Not later than three (3) Business Days following the receipt of any Net Cash Proceeds from a Casualty Event by the Designated Company or any of its Restricted Subsidiaries, the applicable Co-Borrowers shall make prepayments in accordance with Section 2.10(g) and (h) in an aggregate amount equal to 100% of such Net Cash Proceeds; provided that:
(i)    no such prepayment shall be required under this Section 2.10(e) with respect to Casualty Events resulting in less than $50,000,000 in Net Cash Proceeds in any fiscal year;
(ii)    so long as no Event of Default shall then exist or arise therefrom, such proceeds shall not be required to be so applied on such date to the extent that the Borrower shall have delivered an Officers’ Certificate to the 

    
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Administrative Agent on or prior to such date stating that such proceeds are expected to be used (or have been used) to repair, replace or restore any property in respect of which such Net Cash Proceeds were paid or to reinvest in other fixed or capital assets, no later than 365 days (or in the event the Borrower or any Restricted Subsidiary has entered into a binding agreement to make such repair, replacement, restoration or reinvestment within such 365 day period, such period shall be extended for an additional 365 days with respect to the portion of such Net Cash Proceeds committed for such repair, replacement, restoration or reinvestment, so long as such binding agreement is in effect at the end of such additional 365 day period) following the date of receipt of such proceeds; and
(iii)    if any portion of such Net Cash Proceeds shall not be so applied within such 365-day period (as such period may be extended pursuant to clause (i), above), such unused portion shall be applied on the last day of such period to mandatory prepayments as provided in this Section 2.10(e).
(f)    Excess Cash Flow.  No later than 105 days after the end of each Excess Cash Flow Period, the Co-Borrowers shall make prepayments in accordance with Sections 2.10(g) and (h) in an aggregate amount equal to the amount by which (A) the Excess Cash Flow Percentage (defined below) of such Excess Cash Flow for such Excess Cash Flow Period exceeds (B) the aggregate amount of all voluntary prepayments of Term Loans made pursuant to Section 2.10(a) with Internally Generated Cash Flow during such Excess Cash Flow Period and voluntary prepayments of Revolving Credit Loans made with Internally Generated Cash Flow during such Excess Cash Flow Period (but, in the case of Revolving Credit Loans, only to the extent such prepayments are accompanied by a simultaneous permanent reduction of the Revolving Loan Commitments in an equal amount (and excluding any such reduction to the extent relating to the entering into of a replacement Revolving Credit Agreement)).  “Excess Cash Flow Percentage” shall mean 50%.  No payment of any Loans shall be required under this Section 2.10(f) if (i) on the date such prepayment is required to be made, no Event of Default has occurred and is continuing and (ii) the Senior Secured Net Leverage Ratio, as of the last day of such Excess Cash Flow Period, is less than or equal to 3.0:1.0.
(g)    Application of Prepayments.  (i) Each partial prepayment of any Class of Term Loans shall be in an aggregate principal amount that is not less than (and in integral amounts consistent with) the Minimum Amount, except as necessary to apply fully the required amount of a mandatory prepayment.  Each prepayment of a Class of Term Loans shall be applied ratably within such Class and otherwise in accordance with this Section 2.10. Prepayments shall be accompanied by accrued interest to the extent required by Section 2.06. 
(ii)    Subject to Section 8.03 (to the extent applicable), any prepayments of Term Loans (x) pursuant to Section 2.10(a) shall be applied to the Class of Term Loans selected by the Designated Company in the notice of such prepayment pursuant to Section 2.10(h), and within each Class, to the scheduled repayments of Term Loans as directed by the Designated Company and (y) pursuant to Section 2.10(c), (d), (e), (f) and (i) shall be applied (i) ratably to each Class of Term Loans, (ii) in direct order of maturity to the next eight 

    
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scheduled repayments of such Class of Term Loans and (iii) to the extent of any excess, ratably to the remaining scheduled repayments of the applicable Class of Term Loans.
(iii)    Notwithstanding anything herein to the contrary, with respect to each such prepayment pursuant to Section 2.10(c), (e), (f) or (i), (i) not later than the date three Business Days prior to the date specified in Section 2.10 for making such prepayment, the Designated Company shall give the Administrative Agent telephonic notice (promptly confirmed in writing) requesting that the Administrative Agent provide notice of such prepayment to each Lender, (ii) each Lender will have the right to refuse any such prepayment by giving written notice of such refusal to the Administrative Agent within three Business Days after such Lender’s receipt of notice from the Administrative Agent of such prepayment and (iii) the applicable Co-Borrowers will make all such prepayments not so refused upon the applicable date specified in Section 2.10 for making such prepayment.  Any Lender that does not decline such prepayment in writing on or prior to the date referenced in clause (ii) above shall be deemed to have accepted such prepayment.  
(h)    Notice of Prepayments. The Designated Company shall notify the Administrative Agent by written notice of any prepayment hereunder not later than 11:00 a.m., London time, three (3) Business Days before the date of prepayment.  Each such notice shall be irrevocable; provided that if such notice indicates that it is conditioned upon the effectiveness of other credit facilities or any other financing, sale or other transaction, such notice of prepayment may be revoked if such credit facilities, other financing, sale or other transaction is not consummated.  Each such notice shall specify the prepayment date, the principal amount of each Class of Term Loans or portion thereof to be prepaid, within each Class, the scheduled repayments of Term Loans to which such prepayment applies and, in the case of a mandatory prepayment, a reasonably detailed calculation of the amount of such prepayment.  Promptly following receipt of any such notice, the Administrative Agent shall advise the Lenders of the contents thereof.  
(i)    Foreign Asset Sales.  Notwithstanding any other provisions of Section 2.10(b), (c) or (e) (i) to the extent that any of or all the Net Cash Proceeds of any Asset Sale or Casualty Event subject to such sections are received by a Restricted Subsidiary that is not organized under the United States or any State or political subdivision thereof or of Canada or any province or political subdivision thereof (a “Foreign Asset Sale”) and such Net Cash Proceeds are prohibited, restricted or otherwise delayed (each, a “Repatriation Limitation”) by applicable local law from being repatriated to the United States or Canada, the portion of such Net Cash Proceeds so affected will not be required to be applied to repay Term Loans at the times provided in this Section 2.10 but may be retained by the applicable Restricted Subsidiary so long as such Repatriation Limitation exists (provided, that such Restricted Subsidiary shall use its commercially reasonable efforts to overcome any Repatriation Limitation) and once such Repatriation Limitation no longer exists, such Restricted Subsidiary shall promptly repatriate an amount equal to such Net Cash Proceeds to the applicable Co-Borrower which shall promptly (and in any event not later than five Business Days after such repatriation) apply such amount to the repayment of the Term Loans pursuant to this Section 2.10 and (ii) to the extent that 

    
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such Co-Borrower has reasonably determined in good faith that repatriation of any of or all of such Net Cash Proceeds of any Asset Sale or Casualty Event subject to Section 2.10(c) or (e) would have a material adverse tax cost consequence with respect to such Net Cash Proceeds for such Restricted Subsidiary or any other Loan Party, the Net Cash Proceeds so affected may be retained by the applicable Restricted Subsidiary.
(j)    Prepayment Premium.  In the event that there shall occur any amendment, amendment and restatement or other modification of this Agreement that reduces the Applicable Margin or interest rate with respect to any Term Loans or any prepayment or refinancing of any Term Loans, in whole or in part with proceeds of Indebtedness having lower applicable total yield than the applicable total yield for the Term Loans as of the Closing Date, then each such amendment, amendment and restatement, modification, prepayment or refinancing that occurs on or prior to the six-month anniversary of the Syndication Termination Date, as the case may be, shall be accompanied by a fee or prepayment premium, as applicable, equal to 1.00% of the outstanding principal amount of the Term Loans affected by such amendment, amendment and restatement or modification, or subject to such prepayment or refinancing. As a condition to effectiveness of any required assignment by any non-consenting Lender of its Term Loans pursuant to Section 2.16 in respect of any amendment, amendment and restatement or modification to this Agreement effective prior to the six-month anniversary of the Syndication Termination Date that has the effect of reducing the Applicable Margin or interest rate for any Term Loans from the Applicable Margin or interest rate in effect on the Closing Date, the Co-Borrowers shall pay to such non-consenting Lender of Term Loans a premium or fee equal to the premium or fee that would apply pursuant to the preceding sentence if such non-consenting Lender’s Term Loans being assigned were being prepaid. 
Section 2.11    Alternate Rate of Interest.  If prior to the commencement of any Interest Period for a Eurodollar Rate Borrowing:
(a)    the Administrative Agent determines (which determination shall be final and conclusive absent manifest error) that adequate and reasonable means do not exist for ascertaining the Eurodollar Rate for such Interest Period; or
(b)    the Administrative Agent is advised in writing by the Required Lenders that the Eurodollar Rate for such Interest Period will not adequately and fairly reflect the cost to such Lenders of making or maintaining their Loans included in such Borrowing for such Interest Period;
then the Administrative Agent shall give written notice thereof to the Designated Company and the Lenders as promptly as practicable thereafter and, until the Administrative Agent notifies the Designated Company and the Lenders that the circumstances giving rise to such notice no longer exist, (i) any Interest Election Request that requests the conversion of any Borrowing to, or continuation of any Borrowing as, a Eurodollar Rate Borrowing shall be ineffective and (ii) if any Borrowing Request requests a Eurodollar Rate Borrowing, such Borrowing shall be made as a Fallback Rate Borrowing.
Notwithstanding anything herein to the contrary, neither any Agent nor any Lender shall require the payment of an additional fee or an increase in the Applicable Margin as a condition precedent to the effectiveness of any amendment to this Agreement the sole purpose of which is to permit the Co-Borrowers to elect an interest rate (the “Successor Rate”) other than the Eurodollar Rate or the Fallback 

    
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Rate in anticipation of or as a result of the Eurodollar Base Rate ceasing to be quoted or published by any source, if the Successor Rate is substantially the same as the successor rate generally charged by banks and other financial institutions in the international and U.S. loan markets in replacement of the London inter-bank offered rate; provided that if, in connection with the implementation of any such Successor Rate, banks and other financial institutions in the international and U.S. loan markets require the payment of an additional fee or fees, or require that the interest rate margin applicable to such successor rate be increased, in each case to account for a difference between the previously available Eurodollar Base Rate and such successor rate, then any such increase in the Applicable Margin or additional fee under this Agreement attributable to such difference shall not be prohibited by this sentence.
Section 2.12    Yield Protection; Change in Law Generally.
(a)    Increased Costs Generally.  If any Change in Law shall:
(i)    impose, modify or deem applicable any reserve, special deposit, compulsory loan, insurance charge or similar requirement against assets of, deposits with or for the account of, or credit extended or participated in, by any Lender (except any reserve requirement reflected in the Eurodollar Rate); or
(ii)    impose on any Lender or the interbank market any other condition, cost or expense (other than Taxes) affecting this Agreement or Eurodollar Rate Loans made by such Lender;
and the result of any of the foregoing shall be to increase the cost to such Lender of making or maintaining any Eurodollar Rate Loan (or of maintaining its obligation to make any such Loan), or to reduce the amount of any sum received or receivable by such Lender hereunder (whether of principal, interest or any other amount), then, upon request of such Lender, the Co-Borrowers will pay to such Lender, as the case may be, such additional amount or amounts as will compensate such Lender, as the case may be, for such additional costs incurred or reduction suffered.
(b)    Capital Requirements.  If any Lender determines (in good faith, but in its sole absolute discretion) that any Change in Law affecting such Lender or any lending office of such Lender or such Lender’s holding company, if any, regarding capital or liquidity requirements has or would have the effect of reducing the rate of return on such Lender’s capital or on the capital of such Lender’s holding company, if any, as a consequence of this Agreement, the Commitments of such Lender or the Loans made by such Lender, to a level below that which such Lender or such Lender’s holding company could have achieved but for such Change in Law (taking into consideration such Lender’s policies and the policies of such Lender’s holding company with respect to capital adequacy or liquidity), then from time to time the Co-Borrowers will pay to such Lender, as the case may be, such additional amount or amounts as will compensate such Lender or such Lender’s holding company for any such reduction suffered.
(c)    Certificates for Reimbursement.  A certificate of a Lender setting forth the amount or amounts necessary to compensate such Lender or its holding company, as the case may be, as specified in paragraph (a) or (b) of this Section 2.12 and delivered to the Designated Company shall be conclusive 

    
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absent manifest error.  The Co-Borrowers shall pay such Lender, as the case may be, the amount shown as due on any such certificate within ten (10) Business Days after receipt thereof.
(d)    Delay in Requests.  Failure or delay on the part of any Lender to demand compensation pursuant to this Section 2.12 shall not constitute a waiver of such Lender’s right to demand such compensation; provided that the Co-Borrowers shall not be required to compensate a Lender pursuant to this Section for any increased costs incurred or reductions suffered more than nine months prior to the date that such Lender, as the case may be, notifies the Designated Company of the Change in Law giving rise to such increased costs or reductions and of such Lender’s intention to claim compensation therefor (except that, if the Change in Law giving rise to such increased costs or reductions is retroactive, then the nine-month period referred to above shall be extended to include the period of retroactive effect thereof).
(e)    Change in Legality Generally.  Notwithstanding any other provision of this Agreement, if any Change in Law shall make it unlawful for any Lender to make or maintain any Eurodollar Rate Loan or to give effect to its obligations as contemplated hereby with respect to any Eurodollar Rate Loan, then, upon written notice by such Lender to the Designated Company and the Administrative Agent:
(i)    the Commitments of such Lender (if any) to fund the affected Type of Loan shall immediately terminate; and
(ii)    (x) such Lender may declare that Eurodollar Rate Loans will not thereafter (for the duration of such unlawfulness) be continued for additional Interest Periods and Fallback Rate Loans will not thereafter (for such duration) be converted into Eurodollar Rate Loans, whereupon any request to convert a Fallback Rate Borrowing to a Eurodollar Rate Borrowing or to continue a Eurodollar Rate Borrowing for an additional Interest Period shall, as to such Lender only, be deemed a request to continue a Fallback Rate Loan as such, or to convert a Eurodollar Rate Loan into a Fallback Rate Loan, as the case may be, unless such declaration shall be subsequently withdrawn and (y) all such outstanding Eurodollar Rate Loans made by such Lender shall be automatically converted to Fallback Rate Loans on the last day of the then current Interest Period therefor or, if earlier, on the date specified by such Lender in such notice (which date shall be no earlier than the last day of any applicable grace period permitted by applicable law).
(f)    Increased Tax Costs.  If any Change in Law shall subject any Lender to any (i) Tax of any kind whatsoever with respect to this Agreement or any Loan made by it, or change the basis of taxation of payments to such Lender in respect thereof, or (ii) Tax imposed on it that is specially (but not necessarily exclusively) applicable to lenders such as such Lender as a result of the general extent and/or nature of their activities, assets, liabilities, leverage, other exposures to risk, or other similar factors, including but not limited to the Dodd-Frank Wall Street Reform and Consumer Protection Act and all requests, rules, regulations, guidelines or directives thereunder or issued in connection therewith, the United Kingdom Tax known as the “bank levy”  in such form as it may be imposed and as amended or reenacted, and similar legislation (except, in each case of the foregoing clauses (i) and (ii), for (A) 

    
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Indemnified Taxes, (B) Taxes described in clauses (ba)(ii), (a)(iii) and (cb)(ii) through (b)(iv) of the definition of Excluded Taxes, and (C) Other Connection Taxes that are imposed on or measured by net income, however denominated, or that are franchise Taxes or branch profits Taxes), and the result of any of the foregoing shall be to increase the cost to such Lender of making, converting to, continuing or maintaining any Loan (or of maintaining its obligation to make any such Loan), or to reduce the amount of any sum received or receivable by such Lender hereunder (whether of principal, interest or any other amount), then, upon request of such Lender, the Co-Borrowers will pay to such Lender, as the case may be, such additional amount or amounts as will compensate such Lender, as the case may be, for such additional costs incurred or reduction suffered.  For the avoidance of doubt, the Co-Borrowers shall not be required to compensate a Lender pursuant to this Section 2.12 for any increased costs incurred or reductions suffered that are attributable to a FATCA Deduction required to be made by any Party.
(g)    Notwithstanding anything to the contrary contained herein, no Lender shall be entitled to seek compensation for costs incurred under this Section 2.12 unless it is the general policy or practice of such Lender at such time to seek compensation from other borrowers whose transactions with such Lender are similarly affected by the change in circumstances giving rise to such costs and the applicable Lender is generally seeking such compensation from such borrowers (but no Lender shall be required to disclose any confidential or proprietary information to confirm the foregoing).
Section 2.13    Breakage Payments.  In the event of (a) the payment or prepayment, whether optional or mandatory, of any principal of any Eurodollar Rate Loan earlier than the last day of an Interest Period applicable thereto (including as a result of an Event of Default), (b) the conversion of any Eurodollar Rate Loan earlier than the last day of the Interest Period applicable thereto, (c) the failure to borrow, convert, continue or prepay any Term Loan on the date specified in any notice delivered pursuant hereto, (d) the assignment of any Eurodollar Rate Loan earlier than the last day of the Interest Period applicable thereto as a result of a request by the Designated Company pursuant to Section 2.16(c), or (e) a Discounted Purchase of any Eurodollar Rate Loan earlier than the last day of an Interest Period applicable thereto, then, in any such event, the Co-Borrowers shall compensate each Lender for the loss, cost and expense attributable to such event.  In the case of any Eurodollar Rate Loan, such loss, cost or expense to any Lender shall be deemed to include an amount determined by such Lender to be the excess, if any, of (i) the amount of interest which would have accrued on the principal amount of such Loan had such event not occurred, at the Eurodollar Rate that would have been applicable to such Loan, for the period from the date of such event to the last day of the then current Interest Period therefor (or, in the case of a failure to borrow, convert or continue, for the period that would have been the Interest Period for such Loan) (excluding, however, the Applicable Margin included therein, if any, and the effect of clause (ii) of each of the sentences contained in the “Eurodollar Base Rate” definition), over (ii) the amount of interest which would accrue on such principal amount for such period at the interest rate which such Lender would bid were it to bid, at the commencement of such period, for deposits of a comparable currency, amount and period from other banks in the applicable interbank market.  A certificate of any Lender setting forth in reasonable detail any amount or amounts that such Lender is entitled to receive pursuant to this Section 2.13 shall be delivered to the Designated Company (with a copy to the Administrative Agent) and shall be conclusive and binding absent manifest error.  The Co-Borrowers shall pay such Lender the amount shown as due on any such certificate within five (5) days after receipt thereof.

    
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Section 2.14    Payments Generally; Pro Rata Treatment; Sharing of Setoffs.
(a)    Payments Generally.  Each Loan Party shall make each payment required to be made by it hereunder or under any other Loan Document (whether of principal, interest or fees, or of amounts payable under Section 2.12, Section 2.13, Section 2.15, Section 2.16 or Section 11.03, or otherwise) on or before the time expressly required hereunder or under such other Loan Document for such payment (or, if no such time is expressly required, prior to 1:00 p.m., London time), on the date when due, in immediately available funds, without condition or deduction for any counterclaim, defense, recoupment or setoff.  Any amounts received after such time on any date may, in the discretion of the Administrative Agent, be deemed to have been received on the next succeeding Business Day for purposes of calculating interest thereon.  All payments by any Loan Party shall be made to the Administrative Agent, for the account of the respective Lenders to which such payment is owed, at the Administrative Agent’s Office, except that payments pursuant to Section 2.12, Section 2.13, Section 2.15, Section 2.16, Section 7.10 and Section 11.03 shall be made directly to the persons entitled thereto and payments pursuant to other Loan Documents shall be made to the persons specified therein.  The Administrative Agent shall distribute any such payments received by it for the account of any other person to the appropriate recipient promptly following receipt thereof in like funds as received by the Administrative Agent.  If any payment under any Loan Document shall be due on a day that is not a Business Day, unless specified otherwise, the date for payment shall be extended to the next succeeding Business Day, and, in the case of any payment accruing interest, interest thereon shall be payable for the period of such extension.  All payments under each Loan Document shall be made in Dollars, except as expressly specified otherwise.
(b)    Pro Rata Treatment.
(i)    Each payment by the Co-Borrowers of interest in respect of the Loans of any Class shall be applied to the amounts of such obligations owing to the Lenders pro rata according to the respective amounts then due and owing to the Lenders of such Class.  
(ii)    Each payment by the Co-Borrowers on account of principal of the Borrowings of any Class shall be made pro rata according to the respective outstanding principal amounts of the Loans then held by the Lenders of such Class.  
(c)    Insufficient Funds.  If at any time insufficient funds are received by and available to the Administrative Agent to pay fully all amounts of principal, interest and fees then due hereunder, such funds shall be applied (i) first, toward payment of interest and fees then due hereunder, ratably among the parties entitled thereto in accordance with the amounts of interest and fees then due to such parties, and (ii) second, toward payment of principal then due hereunder, ratably among the parties entitled thereto in accordance with the amounts of principal then due to such parties.
(d)    Sharing of Set-Off.  Subject to the terms of the Intercreditor Agreement, if any Lender shall, by exercising any right of setoff or counterclaim or otherwise, obtain payment in respect of any principal of or interest on any of its Loans or other Obligations resulting in such Lender’s receiving payment of a proportion of the aggregate amount of its Loans and accrued interest thereon or other 

    
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Obligations greater than its pro rata share thereof as provided herein, then the Lender receiving such greater proportion shall (a) notify the Administrative Agent of such fact, and (b) purchase (for cash at face value) participations in the Loans and such other obligations of the other Lenders, or make such other adjustments as shall be equitable, so that the benefit of all such payments shall be shared by the Lenders ratably in accordance with the aggregate amount of principal of and accrued interest on their respective Loans and other amounts owing them, provided that:
(i)    if any such participations are purchased and all or any portion of the payment giving rise thereto is recovered, such participations shall be rescinded and the purchase price restored to the extent of such recovery, without interest; and
(ii)    the provisions of this paragraph shall not be construed to apply to (x) any payment made by any Loan Party pursuant to and in accordance with the express terms of this Agreement or (y) any payment obtained by a Lender as consideration for the assignment of or sale of a participation in any of its Loans to any assignee or participant, other than to any Loan Party or any Subsidiary thereof (as to which the provisions of this paragraph shall apply); provided, that this paragraph shall not apply to purchases pursuant to the Discounted Purchase provisions of Section 11.04(b)(iv).
Each Loan Party consents to the foregoing and agrees, to the extent it may effectively do so under applicable Requirements of Law, that any Lender acquiring a participation pursuant to the foregoing arrangements may exercise against such Loan Party rights of setoff and counterclaim with respect to such participation as fully as if such Lender were a direct creditor of such Loan Party in the amount of such participation.  If under applicable bankruptcy, insolvency or any similar law any Secured Party receives a secured claim in lieu of a setoff or counterclaim to which this Section 2.14(d) 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 to which the Secured Party is entitled under this Section 2.14(d) to share in the benefits of the recovery of such secured claim.
(e)    Co-Borrower Default.  Unless the Administrative Agent shall have received notice from the Designated Company prior to the date on which any payment is due to the Administrative Agent for the account of the Lenders hereunder that the applicable Co-Borrower will not make such payment, the Administrative Agent may assume that such Co-Borrower has made such payment on such date in accordance herewith and may, in reliance upon such assumption, distribute to the Lenders, as the case may be, the amount due.  In such event, if such Co-Borrower has not in fact made such payment, then each of the Lenders, as the case may be, severally agrees to repay to the Administrative Agent forthwith on demand the amount so distributed to such Lender with interest thereon, for each day from and including the date such amount is distributed to it to but excluding the date of payment to the Administrative Agent, at the greater of the Interbank Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation. A notice of the Administrative Agent to any Lender or the Designated Company setting forth in reasonable detail any amount owing under this Section 2.14(e) shall be conclusive, absent manifest error.

    
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(f)    Lender Default.  If any Lender shall fail to make any payment required to be made by it pursuant to Section 2.02(c), Section 2.14(e) or Section 11.03(c), then the Administrative Agent may, in its discretion following 5 Business Days’ prior written notice to such lender (notwithstanding any contrary provision hereof), apply any amounts thereafter received by the Administrative Agent for the account of such Lender to satisfy such Lender’s obligations under such Sections until all such unsatisfied obligations are fully paid and, upon full payment of such obligations as provided above, the Administrative Agent shall promptly issue a written notice to such Lender setting forth in reasonable detail the application of any amounts on account of such Lender.
(g)    Obligations of Lenders Several.  The obligations of the Lenders hereunder to make Loans and to make payments pursuant to Section 11.03 are several and not joint.  The failure of any Lender to make any Loan or to make any payment under Section 11.03 on any date required hereunder shall not relieve any other Lender of its corresponding obligation to do so on such date, and no Lender shall be responsible for the failure of any other Lender to so make its Loan or to make its payment under Section 11.03.
(h)    Funding Source.  Nothing herein shall be deemed to obligate any Lender to obtain the funds for any Loan in any particular place or manner or to constitute a representation by any Lender that it has obtained or will obtain the funds for any Loan in any particular place or manner.
Section 2.15    Taxes.
(a)    Payments Free of Taxes.  Any and all payments by or on account of any obligation of the Loan Parties hereunder or under any other Loan Document shall be made free and clear of and without reduction or withholding for any Taxes, except as required by applicable Requirements of Law.  If any applicable Requirements of Law (as determined in the good faith discretion of an applicable Withholding Agent) requires the deduction or withholding of any Tax from any such payment by a Withholding Agent, then the applicable Withholding Agent shall be entitled to make such deduction or withholding and shall timely pay the full amount deducted or withheld to the relevant Taxing Authority in accordance with applicable Requirements of Law and, if such Tax is an Indemnified Tax, then the sum payable by the applicable Loan Party shall be increased as necessary so that after all such required deductions and withholdings (including any such deductions and withholdings applicable to additional sums payable under this Section) each Agent or Lender, as the case may be, receives an amount equal to the sum it would have received had no such deductions or withholdings been made.  For the avoidance of doubt, each Party may make any FATCA Deduction it is required to make by FATCA, and any payment required in connection with that FATCA Deduction, and no Party shall be required to increase any payment in respect of which it makes such a FATCA Deduction or otherwise compensate the recipient of the payment for that FATCA Deduction.  Each Party shall promptly, upon becoming aware that it must make a FATCA Deduction (or that there is any change in the rate or basis of such FATCA Deduction), and in any case at least three (3) Business Days prior to making a FATCA Deduction, notify the Party to whom it is making the payment and, on or prior to the day on which it notifies that Party, shall also notify the Designated Company, the Agents and the other Lenders.
(b)    Payment of Other Taxes by Loan Parties.  Without limiting the provisions of paragraph (a) above, each Loan Party shall timely pay to the relevant Taxing Authority in accordance with 

    
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applicable Requirements of Law, or at the option of the Administrative Agent timely reimburse it for the payment of, any Other Taxes.
(c)    Indemnification by Loan Parties.  The Loan Parties shall jointly and severally indemnify each Agent and each Lender, within ten (10) Business Days after demand therefor, for the full amount of any Indemnified Taxes imposed or asserted on or attributable to amounts payable by any of the Loan Parties hereunder or under any other Loan Document (including Indemnified Taxes imposed or asserted on or attributable to amounts payable under this Section 2.15) payable or paid by such Agent or such Lender or required to be withheld or deducted from a payment to such Agent or such Lender, as the case may be, and any penalties, interest and reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes were correctly or legally imposed or asserted by the relevant Taxing Authority. A certificate as to the amount of such payment or liability delivered to the Designated Company by a Lender (with a copy to the Administrative Agent), or by such Agent on its own behalf or on behalf of a Lender, shall be conclusive absent manifest error.  No Loan Party shall be obliged to provide indemnity under this Section to the extent that the Indemnified Tax in question is compensated for by an increased payment under Sections 2.12(f), 2.15(a) or 7.10.
(d)    Evidence of Payments.  As soon as practicable after any payment of Taxes by any Loan Party to a Taxing Authority pursuant to this Agreement, the applicable Loan Party shall deliver to the Administrative Agent the original or a certified copy of a receipt issued by such Taxing Authority evidencing such payment, a copy of the return reporting such payment or other evidence of such payment reasonably satisfactory to the Administrative Agent.
(e)    Status of Lenders.  (i) Any Lender that is entitled to an exemption from or reduction of withholding Tax with respect to payments made under any Loan Document shall deliver to the Designated Company (with a copy to the Administrative Agent), at the time or times reasonably requested by the Designated Company or the Administrative Agent (and from time to time thereafter, as requested by the Designated Company or Administrative Agent), such properly completed and executed documentation reasonably requested by the Designated Company or the Administrative Agent as will permit such payments to be made without withholding or at a reduced rate of withholding.  In addition, any Lender, if requested by the Designated Company or the Administrative Agent, shall deliver such other documentation prescribed by applicable Requirements of Law or reasonably requested by the Designated Company or the Administrative Agent as will enable the applicable Loan Parties or the Administrative Agent to determine whether or not such Lender is subject to backup withholding or information reporting requirements.  Notwithstanding anything to the contrary in the preceding two sentences, the completion, execution and submission of such documentation pursuant to this Section 2.15(e) (other than such documentation set forth in Section 2.15(e)(ii)(A) and (ii)(B) below) shall not be required if, in the relevant Lender’s reasonable judgment, such completion, execution or submission would subject such Lender to any material unreimbursed cost or expense or would materially prejudice the legal or commercial position of such Lender.
(ii)    Without limiting the generality of the foregoing, in the event that a Co-Borrower is a U.S. Person, 
(A)    any Lender that is a U.S. Person shall deliver to the Designated Company and the Administrative Agent on or prior to the date on which such Lender becomes a Lender under 

    
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this Agreement or, if later, the date on which a U.S. Person becomes a Co-Borrower (and from time to time thereafter upon the reasonable request of the Designated Company or the Administrative Agent), executed copies of IRS Form W-9 certifying that such Lender is exempt from U.S. federal backup withholding tax; 
(B)    any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to the Designated Company and the Administrative Agent (in such number of copies as shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement or, if later, the date on which a U.S. Person becomes a Co-Borrower (and from time to time thereafter upon the reasonable request of the Designated Company or the Administrative Agent), whichever of the following is applicable:
(1)    in the case of a Foreign Lender claiming the benefits of an income tax treaty to which the United States is a party (x) with respect to payments of interest under any Loan Document, executed copies of IRS Form W-8BEN or W-8BEN-E establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “interest” article of such tax treaty and (y) with respect to any other applicable payments under any Loan Document, IRS Form W-8BEN or W-8BEN-E establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “business profits” or “other income” article of such tax treaty;
(2)    executed copies of IRS Form W-8ECI;
(3)    in the case of a Foreign Lender claiming the benefits of the exemption for portfolio interest under Section 881(c) of the Code, (x) a certificate substantially in the form of Exhibit H-1 to the effect that such Foreign Lender is not a “bank” within the meaning of Section 881(c)(3)(A) of the Code, a “10 percent shareholder” of a Co-Borrower within the meaning of Section 881(c)(3)(B) of the Code, or a “controlled foreign corporation” described in Section 881(c)(3)(C) of the Code (a “U.S. Tax Compliance Certificate”) and (y) executed copies of IRS Form W-8BEN or W-8BEN-E; or
(4)    to the extent a Foreign Lender is not the beneficial owner, executed copies of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BEN or W-8BEN-E, a U.S. Tax Compliance Certificate substantially in the form of Exhibit H-2 or Exhibit H-3, IRS Form W-9, and/or other certification documents from each beneficial owner, as applicable; provided that if the Foreign Lender is a partnership and one or more direct or indirect partners of such Foreign Lender are claiming the portfolio interest exemption, such Foreign Lender may provide a U.S. Tax Compliance Certificate substantially in the form of Exhibit H-4 on behalf of each such direct and indirect partner; and
(C)    any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to the Designated Company and the Administrative Agent (in such number of copies as shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement or, if later, the date on which a U.S. Person becomes a Co-Borrower (and from time to time thereafter upon the reasonable request of the Designated Company or the Administrative Agent), executed copies of any other form prescribed by 

    
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applicable law as a basis for claiming exemption from or a reduction in U.S. federal withholding Tax, duly completed, together with such supplementary documentation as may be prescribed by applicable law to permit the Designated Company or the Administrative Agent to determine the withholding or deduction required to be made.
Each Lender agrees that if any form or certification it previously delivered pursuant to this Section 2.15(e) expires or becomes obsolete or inaccurate in any respect, it shall update such form or certification or promptly notify the Designated Company and the Administrative Agent in writing of its legal inability to do so. The Administrative Agent shall, upon request by the Designated Company, promptly provide the Designated Company a Form W-8IMY from the Administrative Agent attaching the most recent form provided to the Administrative Agent by each Lender pursuant to Section 2.15(e)(ii) above and the most recent withholding schedule, if any, prepared by the Designated Company and previously delivered to the Administrative Agent. The Administrative Agent may rely on such forms and withholding schedule, without the need for any independent verification thereof, in preparing any Form W-8IMY required hereunder.
(f)    FATCA Information. Notwithstanding Section 2.15(e) or any other provision of this Agreement to the contrary:
(i)    Subject to paragraph (iii) below, each Party shall, within ten Business Days of a reasonable request by another Party:
(A)    confirm to that other Party whether it is:
(1)    a FATCA Exempt Party; or
(2)    not a FATCA Exempt Party;
(B)    supply to that other Party such forms, documentation and other information relating to its status under FATCA as that other Party reasonably requests for the purposes of that other Party’s compliance with FATCA;
(C)    supply to that other Party such forms, documentation and other information relating to its status as that other Party reasonably requests for the purposes of that other Party’s compliance with any other law, regulation, or exchange of information regime. 
(ii)    If a Party confirms to another Party pursuant to paragraph (i)(A) above that it is a FATCA Exempt Party and it subsequently becomes aware that it is not or has ceased to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly.
(iii)    Paragraph (i) above shall not oblige any Lender or any Agent to do anything, and paragraph (i)(C) above shall not oblige any other Party to do anything, which would or might in its reasonable opinion constitute a breach of:
(A)    any law or regulation;

    
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(B)    any fiduciary duty; or
(C)    any duty of confidentiality. 
(iv)    If a Party fails to confirm whether or not it is a FATCA Exempt Party or to supply forms, documentation or other information requested in accordance with paragraph (i)(A) or (B) above (including, for the avoidance of doubt, where paragraph (iii) above applies), then such Party shall be treated for the purposes of the Loan Documents (and payments under them) as if it is not a FATCA Exempt Party until such time as the Party in question provides the requested confirmation, forms, documentation or other information. 
(v)    If a Co-Borrower is a U.S. Tax Obligor or the Administrative Agent reasonably believes that its obligations under FATCA or any other applicable law or regulation require it, each Lender shall, within ten Business Days of:
(A)    where the Co-Borrower is a U.S. Tax Obligor and the relevant Lender is a Lender on the date of this Agreement, the date of this Agreement;
(B)    where a Co-Borrower is a U.S. Tax Obligor on a date on which a Lender becomes a Lender under this Agreement and the relevant Lender was not a Lender on the date of this Agreement, the relevant date on which such Lender becomes a Lender under this Agreement;
(C)    the date a new U.S. Tax Obligor accedes as a Co-Borrower; or
(D)    where a Co-Borrower is not a U.S. Tax Obligor, the date of a request from the Administrative Agent, 
supply to the Administrative Agent (to the extent not otherwise supplied pursuant to Section 2.15(e) above):
(1)    a withholding certificate on Form W-8, Form W-9 or any other relevant form; or
(2)    any withholding statement or other document, authorization or waiver as the Administrative Agent may require to certify or establish the status of such Lender under FATCA or that other law or regulation.
(vi)    The Administrative Agent shall provide any withholding certificate, withholding statement, document, authorization or waiver it receives from a Lender pursuant to paragraph (v) above to the Designated Company.
(vii)    If any withholding certificate, withholding statement, document, authorization or waiver provided to the Administrative Agent by a Lender pursuant to paragraph (v) above is or becomes materially inaccurate or incomplete, that Lender shall promptly update it and provide such updated withholding certificate, withholding statement, document, authorization or waiver to the Agent unless it is unlawful for the Lender to do so (in which case the Lender shall promptly notify the 

    
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Administrative Agent).  The Administrative Agent shall provide any such updated withholding certificate, withholding statement, document, authorization or waiver to the Designated Company.
(viii)    The Administrative Agent may rely on any withholding certificate, withholding statement, document, authorisation or waiver it receives from a Lender pursuant to paragraph (v) or (vii) above without further verification. The Administrative Agent shall not be liable for any action taken by it under or in connection with paragraph (v), (vi) or (vii) above.
(ix)     Without prejudice to any other term of this Agreement, if a Lender fails to supply any withholding certificate, withholding statement, document, authorization, waiver or information in accordance with paragraph (v) above, or any withholding certificate, withholding statement, document, authorization, waiver or information provided by a Lender to the Administrative Agent is or becomes materially inaccurate or incomplete, then such Lender shall indemnify the Administrative Agent, within three Business Days of demand, against any cost, loss, Tax or liability (including, without limitation, for negligence or any other category of liability whatsoever) incurred by the Administrative Agent (including any related interest and penalties) in acting as Administrative Agent under the Loan Documents as a result of such failure.
(g)    Treatment of Certain Refunds.  If any Party determines, in its sole discretion exercised in good faith, that it has received a refund of any Taxes as to which it has been indemnified, or as to which it has received additional amounts,  pursuant to this Section 2.15, Section 7.10, or Section 2.12(f) (such Party, the “Indemnified Party”), then it shall pay to the Party that made such indemnity payments or paid such additional amounts pursuant to this Section 2.15, Section 7.10, or Section 2.12(f) (such Party, the “Indemnifying Party”) an amount equal to such refund (but only to the extent of indemnity payments made to the Indemnified Party pursuant to this Section 2.15, or additional amounts paid to the Indemnified Party pursuant to Section 7.10 or Section 2.12(f), with respect to the Taxes giving rise to such refund), net of all out-of-pocket expenses (including Taxes) of the Indemnified Party, and without interest (other than any interest paid by the relevant Taxing Authority with respect to such refund).  The Indemnifying Party, upon the request of the Indemnified Party, agrees to repay to the Indemnified Party the amount paid over to the Indemnified Party pursuant to this Section 2.15(g) (plus any penalties, interest or other charges imposed by the relevant Taxing Authority) in the event the Indemnified Party is required to repay such refund to such Taxing Authority.  Nothing in this Section 2.15(g) shall be construed to require any Indemnified Party to make available its Tax returns (or any other information relating to its Taxes that it deems confidential) to the Indemnifying Party or any other person.  Notwithstanding anything to the contrary in this Section 2.15(g), in no event will the Indemnified Party be required to pay any amount to an Indemnifying Party pursuant to this Section 2.15(g) the payment of which would place the Indemnified Party in a less favorable net after-Tax position than the Indemnified Party would have been in if the Taxes subject to indemnification and giving rise to such refund had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts with respect to such Taxes had never been paid.
(h)    Co-operation.  Notwithstanding anything to the contrary in Section 2.15(e) or paragraph (k) of the definition of Permitted Reorganization, with  respect to non-U.S. withholding taxes, the relevant Agent, the relevant Lender(s) (at the written request of the relevant Loan Party) and the relevant Loan Party shall, co-operate in completing any procedural formalities necessary (including delivering 

    
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any documentation prescribed by the applicable Requirement of Law and making any necessary reasonable approaches to the relevant Taxing Authorities) for the relevant Loan Party to obtain authorization to make a payment to which such Agent or such Lender(s) is entitled without any, or a reduced rate of, deduction or withholding for, or on account of, Taxes; provided, however, that none of the Agents or any Lender shall be required to provide any documentation that it is not legally entitled to provide, or take any action that, in the relevant Agent’s or the relevant Lender’s reasonable judgment, would subject such Agent or such Lender to any material unreimbursed costs or otherwise be disadvantageous to it in any material respect.
(i)    Indemnification by the Lenders.  Each Lender shall severally indemnify the Administrative Agent, within three (3) Business Days after demand therefor, for (i) any Indemnified Taxes attributable to such Lender (but only to the extent that any Loan Party has not already indemnified the Administrative Agent for such Indemnified Taxes and without limiting the obligation of the Loan Parties to do so), (ii) any Taxes attributable to such Lender’s failure to comply with the provisions of Section 11.04(c) relating to the maintenance of a Participant Register and (iii) any Excluded Taxes attributable to such Lender, in each case, that are payable or paid by the Administrative Agent in connection with any Loan Document, and any reasonable expenses arising therefrom or with respect thereto, whether or not such Taxes were correctly or legally imposed or asserted by the relevant Taxing Authority.  Without limiting the preceding sentence or Section 2.15(f)(ix), each Lender shall indemnify the Administrative Agent (based upon such Lender’s pro rata share of the sum of the total outstanding Term Loans and unused Commitments of all Lenders at the time the applicable indemnity payment is sought (or if the Term Loans have been repaid in full and the Commitments have been terminated, based upon its share of the Term Loans immediately prior to such payment)), within three (3) Business Days of demand, against any cost, loss or liability in relation to any FATCA-related liability incurred by the Administrative Agent in acting as Administrative Agent under the Loan Documents (unless the Administrative Agent has been reimbursed by a Loan Party pursuant to a Loan Document); provided that indemnity pursuant to this sentence shall not be available to the extent that such cost, loss or liability are determined by a court of competent jurisdiction by final and nonappealable judgment to have resulted from the gross negligence or willful misconduct of the Administrative Agent.  A certificate as to the amount of payment or liability delivered to any Lender by the Administrative Agent shall be conclusive absent manifest error.  Each Lender hereby authorizes the Administrative Agent to set off and apply any and all amounts at any time owing to such Lender under any Loan Document or otherwise payable by the Administrative Agent to the Lender from any other source against any amount due to the Administrative Agent under this Section 2.15(i).
(j)    Tax Returns.  If, as a result of executing a Loan Document, entering into the transactions contemplated thereby or with respect thereto, receiving a payment or enforcing its rights thereunder, any Agent or any Lender is required to file a Tax Return in a jurisdiction in which it would not otherwise be required file, the Loan Parties shall promptly provide such information necessary for the completion and filing of such Tax Return as the relevant Agent or Lender shall reasonably request with respect to the completion and filing of such Tax Return.  For clarification, any expenses incurred in connection with such filing shall be subject to Section 11.03.
(k)    Value Added Tax. All amounts set out, or expressed to be payable under a Loan Document by any party to a Lender or Agent which (in whole or in part) constitute the consideration 

    
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for value added tax purposes shall be deemed to be exclusive of any applicable value added tax, and accordingly, if value added tax is chargeable on any supply or service made by any Lender or Agent to any party under a Loan Document and such value added tax is required to be collected by such Lender or Agent (or the representative member of any group of which the relevant Lender or Agent forms a part for purposes of value added tax) pursuant to applicable Requirements of Law, that party shall pay to the Lender or Agent (in addition to and at the same time as paying the consideration) an amount equal to the amount of the value added tax (and such Lender or Agent shall promptly provide an appropriate value added invoice to such party).
Where a Loan Document requires any party to reimburse a Lender or Agent for any costs or expenses, that party shall also at the same time pay and indemnify the Lender or Agent against all value added tax incurred by the Lender or Agent in respect of the costs or expenses to the extent that the Lender or Agent reasonably determines that neither it nor any other member of any group of which it is a member for value added tax purposes is entitled to credit or repayment from the relevant Taxing Authority in respect of the value added tax.
If any Lender or Agent requires any Loan Party to pay any additional amount pursuant to Section 2.15(k), then such Lender or Agent and Loan Party shall use reasonable efforts to co-operate to minimize the amount such Loan Party is required to pay if, in the judgment of such Lender or Agent, such co-operation would not subject such Lender or Agent to any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender or Agent.  For the avoidance of doubt, all references to value added tax in this Section 2.15(k) include reference to goods and services tax.
(l)    Covered Aleris Syndication Taxes. 
(i)    Notwithstanding anything to the contrary contained in this Agreement or in any other Loan Document, a Covered Aleris Lender’s indemnification for Covered Aleris Syndication Taxes with respect to an interest in a Covered Aleris Loan for a Covered Aleris Payment Date (other than a Covered Aleris Payment Date that occurs during the Aleris Syndication Period) shall not exceed an amount equal to the lesser of (x) the U.S. federal withholding Taxes to which such Covered Aleris Lender holding such interest in a Covered Aleris Loan is subject with respect to such interest as of such Covered Aleris Payment Date, (y) the allocable share of the Aleris Gross-Up Cap with respect to such interest in a Covered Aleris Loan and (z) in the case of a Covered Aleris Lender that acquired such interest in a Covered Aleris Loan from another Covered Aleris Lender pursuant to an Assignment and Assumption after the Aleris Syndication Termination Date, the amounts of Covered Aleris Syndication Taxes for which such assignor Covered Aleris Lender was entitled to indemnification hereunder with respect to such interest in a Covered Aleris Loan immediately before such assignment. 
(ii)    The aggregate amount of indemnification for Covered Aleris Syndication Taxes payable on any Covered Aleris Payment Date to all Covered Aleris Lenders shall not exceed an amount equal to two percent (2%) of the aggregate amount of interest and other non-principal amounts payable in respect of all of the Aleris Incremental Term Loans on such Covered Aleris Payment Date (such aggregate amount 

    
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of indemnification with respect to a given Covered Aleris Payment Date, the “Aleris Gross-Up Cap”). For the avoidance of doubt, the Aleris Gross-Up Cap shall not be reduced by any Taxes for which the Co-Borrowers are otherwise providing an indemnity to the Lender hereunder.  
(iii)    For purposes of Section 2.15(l)(i)(y) above, the allocable share of the Aleris Gross-Up Cap with respect to each interest in a Covered Aleris Loan shall be determined on or after the Aleris Syndication Termination Date by the Incremental Mandated Lead Arrangers in consultation with the Borrower (which may be memorialized in one or more Assignment and Assumptions). Promptly after the allocable share of the Aleris Gross-Up Cap with respect to each interest in a Covered Aleris Loan is determined pursuant to the preceding sentence, the Incremental Mandated Lead Arrangers shall deliver or cause to be delivered in writing to the Administrative Agent and the Borrower (a) the name of each Covered Aleris Lender holding an interest in a Covered Aleris Loan as of the Aleris Syndication Termination Date, (b) the principal amount of the interest in a Covered Aleris Loan held by each such Lender and (c) the share of the Aleris Gross-Up Cap allocable to each such interest.  
(iv)    In the case of any Covered Aleris Payment Date that occurs during the Aleris Syndication Period, the Aleris Gross-Up Cap with respect to such Covered Aleris Payment Date shall be allocated among the Covered Aleris Lenders pro rata in accordance with the principal amount of each Covered Aleris Lender’s Covered Aleris Loans on such Covered Aleris Payment Date; provided, to the extent such Covered Aleris Lender’s allocable share of the Aleris Gross-Up Cap exceeds such Covered Aleris Lender’s actual U.S. federal withholding Taxes with respect to the Covered Aleris Loans on such Covered Aleris Payment Date, then such excess shall be re-allocated among such other Covered Aleris Lenders in a similar manner until no such excess remains with respect to any such Covered Aleris Lender.
(v)    For payments by any Loan Party under the Loan Documents that will (or are required to) include, or for which such Loan Party will (or is required to) withhold, any amounts attributable to the Covered Aleris Syndication Taxes, on or prior to the date of such payment, the Borrower shall deliver to the Administrative Agent a certificate certifying the allocation of such payment, which payment shall include the interest amount and the amount of indemnification payments in respect of Covered Aleris Syndication Taxes, among the Lenders, which allocation set forth in such certificate shall reflect the then-current allocations established pursuant to clauses (i) through (iv) of this Section 2.15(l), and the amounts, if any, (x) required to be withheld for any Taxes under applicable Requirements of Law, (y) of Taxes so withheld by the Loan Parties, and (z) of any Taxes to be withheld by the Administrative Agent (which amount under this clause (z) shall be zero unless the Administrative Agent otherwise agrees in writing), in the case of clauses (x) through (z), for purposes of paying the relevant Taxing Authority in accordance with applicable Requirements of Law. For purposes of the foregoing certificate under this clause (v), the Borrower may rely on copies of the Register and each Assignment and Assumption obtained by it in accordance 

    
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with Section 11.04(c) (it being understood that the Borrower shall have a reasonable duty to request such copies and any updates thereto in connection with its obligation to deliver such certificate).
(vi)    By becoming a party to this Agreement, each Lender agrees, notwithstanding anything to the contrary in this Agreement or any other Loan Document, that (x) the Administrative Agent may rely upon and comply with the allocations set forth in the certificate described in Section 2.15(l)(v), without further verification of the Administrative Agent, (y) the Administrative Agent may rely upon the withholding amounts set forth in such certificate, and (z) each Covered Aleris Lender shall indemnify the Administrative Agent (and any sub-agent thereof), within three (3) Business Days after demand therefor, for any losses, claims, damages, liabilities, costs, and related expenses (including the fees, charges and disbursements of any counsel) incurred in relation to any underwithholding of Taxes from such Lender with respect to such payments.
(lm)    Survival.  Each party’s obligations under this Section 2.15 shall survive the resignation or replacement of the Administrative Agent or any assignment of rights by, or the replacement of, a Lender, the termination of the Commitments and the repayment, satisfaction or discharge of all obligations under any Loan Document.
Section 2.16    Mitigation Obligations; Replacement of Lenders.
(a)    Designation of a Different Lending Office.  Each Lender may at any time or from time to time designate, by written notice to the Administrative Agent, one or more lending offices (which, for this purpose, may include Affiliates of the respective Lender) for the various Loans made by such Lender; provided that to the extent such designation shall result, as of the time of such designation, in increased costs under Section 2.12, Section 2.15 or Section 7.10 in excess of those which would be charged in the absence of the designation of a different lending office (including a different Affiliate of the respective Lender), then the Loan Parties shall not be obligated to pay such excess increased costs (although the applicable Loan Party, in accordance with and pursuant to the other provisions of this Agreement, shall be obligated to pay the costs which would apply in the absence of such designation and any subsequent increased costs of the type described above resulting from changes after the date of the respective designation). Each lending office and Affiliate of any Lender designated as provided above shall, for all purposes of this Agreement, be treated in the same manner as the respective Lender (and shall be entitled to all indemnities and similar provisions in respect of its acting as such hereunder).  Each lending office and Affiliate of any Lender designated as provided above shall, for all purposes of this Agreement, be treated in the same manner as the respective Lender (and shall be entitled to all indemnities and similar provisions in respect of its acting as such hereunder).  The proviso to the first sentence of this Section 2.16(a) shall not apply to changes in a lending office pursuant to Section 2.16(b) if such change was made upon the written request of any Loan Party.  
(b)    Mitigation Obligations.  If any Lender requests compensation under Section 2.12, or requires any Loan Party to pay any additional amount to any Lender or any Taxing Authority for the account of any Lender pursuant to Section 2.15 or Section 7.10, then such Lender shall use reasonable efforts to designate a different lending office for funding or booking its Loans hereunder or to assign 

    
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its rights and obligations hereunder to another of its offices, branches or affiliates, if, in the reasonable judgment of such Lender, such designation or assignment (i) would eliminate or reduce amounts payable pursuant to Section 2.12, Section 2.15 or Section 7.10, as the case may be, in the future and (ii) would not subject such Lender to any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender.  Each Loan Party hereby agrees to pay all reasonable costs and expenses incurred by any Lender in connection with any such designation or assignment.  A certificate setting forth such costs and expenses submitted by such Lender to the Designated Company shall be conclusive absent manifest error.
(c)    Replacement of Lenders. If any Lender requests compensation under Section 2.12, or if any Loan Party is required to pay any additional amount to any Lender or any Taxing Authority for the account of any Lender pursuant to Section 2.15 or Section 7.10, or if any Lender is a Defaulting Lender, or if the Designated Company exercises its replacement rights under Section 11.02(d), then the Designated Company may, at its sole expense and effort, upon notice by the Designated Company to such Lender and the Administrative Agent, require such Lender to assign and delegate, without recourse (in accordance with and subject to the restrictions contained in, and consents required by, Section 11.04), all of its interests, rights and obligations under this Agreement and the other Loan Documents to an Eligible Assignee that shall assume such obligations (which assignee may be another Lender, if a Lender accepts such assignment); provided that:
(i)    the Co-Borrowers or the assignee shall have paid to the Administrative Agent the processing and recordation fee specified in Section 11.04(b);
(ii)    such Lender shall have received payment of an amount equal to the outstanding principal of its Loans, accrued interest thereon, and all other amounts payable to it hereunder and under the other Loan Documents (including any amounts under Section 2.13), from the assignee (to the extent of such outstanding principal and accrued interest and fees) or the Co-Borrowers (in the case of all other amounts, including any amounts under Section 2.10(j));
(iii)    in the case of any such assignment resulting from a claim for compensation under Section 2.12 or payments required to be made pursuant to Section 2.15 or Section 7.10, such assignment will result in a reduction in such compensation or payments thereafter; and
(iv)    such assignment does not conflict with applicable Requirements of Law.
A Lender shall not be required to make any such assignment or delegation if, prior thereto, as a result of a waiver by such Lender or otherwise, the circumstances entitling the Designated Company to require such assignment and delegation cease to apply.
Section 2.17    [INTENTIONALLY OMITTED].
Section 2.18    [INTENTIONALLY OMITTED].

    
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Section 2.19    Interest Act (Canada); Criminal Rate of Interest; Nominal Rate of Interest.
(a)    Notwithstanding anything to the contrary contained in this Agreement or in any other Loan Document, solely to the extent that a court of competent jurisdiction finally determines that the calculation or determination of interest or any fee payable by any Canadian Loan Party in respect of the Obligations pursuant to this Agreement and the other Loan Documents shall be governed by the laws of any province of Canada or the federal laws of Canada, in no event shall the aggregate interest (as defined in Section 347 of the Criminal Code, R.S.C. 1985, c. C-46, as the same shall be amended, replaced or re-enacted from time to time, “Section 347”) payable by the Canadian Loan Parties to the Agents or any Lender under this Agreement or any other Loan Document exceed the effective annual rate of interest on the Credit advances (as defined in Section 347) under this Agreement or such other Loan Document lawfully permitted under Section 347 and, if any payment, collection or demand pursuant to this Agreement or any other Loan Document in respect of Interest (as defined in Section 347) is determined to be contrary to the provisions of Section 347, such payment, collection or demand shall be deemed to have been made by mutual mistake of the Agents, the Lenders and the Canadian Loan Parties and the amount of such payment or collection shall be refunded by the relevant Agents and Lenders to the applicable Canadian Loan Parties.  For the purposes of this Agreement and each other Loan Document to which the Canadian Loan Parties are a party, the effective annual rate of interest payable by the Canadian Loan Parties shall be determined in accordance with generally accepted actuarial practices and principles over the term of the loans on the basis of annual compounding for the lawfully permitted rate of interest and, in the event of dispute, a certificate of a Fellow of the Canadian Institute of Actuaries appointed by the Administrative Agent for the account of the Canadian Loan Parties will be conclusive for the purpose of such determination in the absence of evidence to the contrary.
(b)    For the purposes of the Interest Act (Canada) and with respect to Canadian Loan Parties only:
(i)    whenever any interest or fee payable by the Canadian Loan Parties is calculated using a rate based on a year of 360 days or 365 days, as the case may be, the rate determined pursuant to such calculation, when expressed as an annual rate, is equivalent to (x) the applicable rate based on a year of 360 days or 365 days, as the case may be, (y) multiplied by the actual number of days in the calendar year in which such rate is to be ascertained and (z) divided by 360 or 365, as the case may be; and
(ii)    all calculations of interest payable by the Canadian Loan Parties under this Agreement or any other Loan Document are to be made on the basis of the nominal interest rate described herein and therein and not on the basis of effective yearly rates or on any other basis which gives effect to the principle of deemed reinvestment of interest.
The parties hereto acknowledge that there is a material difference between the stated nominal interest rates and the effective yearly rates of interest and that they are capable of making the calculations required to determine such effective yearly rates of interest.

    
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Section 2.20    [INTENTIONALLY OMITTED].  
Section 2.21    [INTENTIONALLY OMITTED].
Section 2.22    Cashless Rollover of Term Loans.  Notwithstanding anything to the contrary in this Agreement, any Lender may exchange, continue or rollover all or a portion of its Loans in connection with any refinancing, extension, loan modification or similar transaction permitted by the terms of this Agreement, in each case pursuant to a cashless settlement mechanism approved by the Designated Company, the Administrative Agent and such Lender.
Section 2.23    Incremental Term Loan Commitments.
(a)    Incremental Request.  Following the Syndication Termination Date, the Designated Company may by written notice to the Administrative Agent, elect to request the establishment of one or more new Term Loan Commitments for one or more Co-Borrowers (each, an “Incremental Term Loan Commitment”) (x) in an aggregate principal amount of not less than $25,000,000 (or the Dollar Equivalent thereof in an Alternative Currency) individually and (y) an integral multiple of $1,000,000 (or the Dollar Equivalent thereof in an Alternative Currency) in excess thereof.  Each such notice shall specify (i) date on which the Designated Company proposes that such Incremental Term Loan Commitments shall be effective (each, an “Increase Effective Date”), which shall be a date not less than 10 Business Days after the date on which such notice is delivered to the Administrative Agent and (ii) the identity of each Lender or Additional Lender to whom the Designated Company proposes any portion of such Incremental Term Loan Commitments be allocated and the amount of such allocations; provided that any existing Lender approached to provide all or a portion of any Incremental Term Loan Commitments may elect or decline, in its sole discretion, to provide such Incremental Term Loan Commitments.
(b)    Conditions.  Such Incremental Term Loan Commitments shall become effective, as of such Increase Effective Date; provided that:
(i)    each of the conditions set forth in Section 4.03 shall be satisfied;
(ii)    no Default shall have occurred and be continuing or would result from the borrowings to be made on the Increase Effective Date;
(iii)    the aggregate amount of all Incremental Term Loans permitted to be made pursuant to such Incremental Term Loan Commitments shall not exceed the sum of (A) $300,000,000 (or the Dollar Equivalent thereof in other Alternative Currencies) plus (B) an additional unlimited amount so long as, after giving effect to the borrowings to be made on the Increase Effective Date and to the consummation of any Permitted Acquisition or other Investment or application of funds made with the proceeds of such borrowings, on a Pro Forma Basis, the Senior Secured Net Leverage Ratio at such date is not greater than 3.00 to 1.0 (provided that in calculating the Senior Secured Net Leverage Ratio, the proceeds of Incremental Term Loans shall be excluded from Unrestricted Cash) 

    
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(it being understood that the Designated Company may elect to utilize amounts under either clause (A) or (B) (to the extent compliant therewith), and may use clause (B) (to the extent compliant therewith) prior to utilization of amounts under clause (A) in the case of a concurrent use);
(iv)    the Loan Parties shall deliver or cause to be delivered any legal opinions or other documents reasonably requested by the Administrative Agent in connection with any such transaction; and
(v)    immediately after giving effect to all Incremental Term Loans permitted to be made pursuant to such Incremental Term Loan Commitments, the Designated Company shall be in compliance, on a Pro Forma Basis, with the Financial Performance Covenant (provided that in calculating the Senior Secured Net Leverage Ratio, the proceeds of Incremental Term Loans shall be excluded from Unrestricted Cash), and the Designated Company shall have delivered to the Administrative Agent a certificate of a Responsible Officer setting forth in reasonable detail the calculations demonstrating such compliance; 
provided, further that if the proceeds of any Incremental Term Loans are being used to finance an Acquisition that is not conditioned on the obtaining of any financing, then, except to the extent otherwise required by the Lenders or Additional Lenders making such Incremental Term Loans, (x) the representations and warranties referred to in Section 4.03(c) shall be limited to those contained in Sections 3.01, 3.02, 3.03(b), 3.03(c), 3.10, 3.11, 3.12, 3.16, 3.20, 3.22 and 3.24, and 3.28 and (y) the Defaults referred to in Section 4.03(b) and Section 2.23(b)(ii) shall be limited to Significant Events of Default.
(c)    Terms of Incremental Term Loans and Commitments.  The terms and provisions of Loans made pursuant to the new Commitments shall be as follows:
(i)    terms and provisions of Loans made pursuant to Incremental Term Loan Commitments (“Incremental Term Loans”) shall be, except as otherwise set forth herein or in the Increase Joinder, identical to the existing Term Loans;
(ii)    the Weighted Average Life to Maturity of all Incremental Term Loans shall be no shorter than the Weighted Average Life to Maturity of the existing Term Loans;
(iii)    the maturity date of Incremental Term Loans (the “Incremental Term Loan Maturity Date”) shall not be earlier than the Latest Maturity Date; and
(iv)    the Applicable Margins for the Incremental Term Loans shall be determined by the Designated Company and the applicable new Lenders and the interest rate for the Incremental Term Loans shall be determined by reference to the Eurodollar Rate (or the applicable alternative interest rate 

    
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benchmark for any applicable Alternative Currency in accordance with Section 2.23(f)(i)); provided, however, that with respect to any Incremental Term Loans incurred prior to the fifteen-month anniversary of the Closing Date, if the initial yield on such Incremental Term Loans (as determined by the Administrative Agent to be equal to the sum of (x) the margin above the Eurodollar Rate (or the applicable alternative interest rate benchmark for any applicable Alternative Currency in accordance with Section 2.23(f)(i)) on such Incremental Term Loans, (y) if such Incremental Term Loans are initially made at a discount or the Lenders making the same receive an upfront fee (other than any customary arrangement, underwriting or similar fees that are paid to the arranger of such Incremental Term Loans in its capacity as such) directly or indirectly from Holdings, any Co-Borrower or any Subsidiary for doing so (the amount of such discount or fee, expressed as a percentage of the Incremental Term Loans, being referred to herein as “Incremental OID”), the amount of such Incremental OID divided by the lesser of (A) the average life to maturity of such Incremental Term Loans and (B) four, and (z) any amount by which the minimum Eurodollar Rate (or the applicable alternative interest rate benchmark for any applicable Alternative Currency in accordance with Section 2.23(f)(i)) applicable to such Incremental Term Loans exceeds the minimum Eurodollar Rate then applicable to the Initial Term Loans) exceeds the sum of (1) the Applicable Margin then in effect for Eurodollar Rate Loans that are Initial Term Loans, and (2) the Upfront Fees divided by four, by more than 50 basis points (the amount of such excess above 50 basis points being referred to herein as the “Incremental Net Yield”), then the Applicable Margin then in effect for Initial Term Loans shall automatically be increased by the Incremental Net Yield, effective upon the making of the Incremental Term Loans; provided that to the extent the Applicable Margin applicable to the Initial Term Loans is so increased, the Applicable Margin on the Term Loans advanced after the Closing Date but prior to the relevant Increase Effective Date shall be increased such that the difference between the Applicable Margin applicable to the Initial Term Loans and such Term Loans remains constant (or, if such Applicable Margin of both such series of Term Loans was equal, such Applicable Margin remains equal)).  All determinations by the Administrative Agent as to Incremental Net Yield or other matters contemplated by this Section 2.23 shall be conclusive absent manifest error.
The Incremental Term Loan Commitments shall be effected by a joinder agreement (the “Increase Joinder”) executed by the Loan Parties, the Administrative Agent and each Lender or Additional Lender making such Incremental Term Loan Commitment, in form and substance satisfactory to each of them.  The Increase Joinder 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 2.23.  This Section 2.23 (including clause (f) hereof) shall supersede any provision in Section 2.14 or Section 11.02 to the contrary. In addition, unless otherwise specifically provided herein, all references in Loan Documents to Term Loans shall be deemed, unless the context otherwise requires, to include references to Term Loans made pursuant to Incremental Term Loan Commitments made pursuant to this Agreement, and all 

    
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references in Loan Documents to Commitments of a Class shall be deemed, unless the context otherwise requires, to include references to new Commitments of such Class made pursuant to this Agreement.
(d)    Making of Incremental Term Loans.  On any Increase Effective Date on which Incremental Term Loan Commitments are effective, subject to the satisfaction of the terms and conditions of this Section 2.23, each Lender of such Incremental Term Loan Commitments shall make a Term Loan to the applicable Co-Borrower in an amount equal to its new Commitment.
(e)    Equal and Ratable Benefit.  The Loans and Commitments established pursuant to this Section 2.23 shall constitute Loans and Commitments under, and shall be entitled to all the benefits afforded by, this Agreement and the other Loan Documents, and shall, without limiting the foregoing, rank pari passu with the other Loans in right of payment and benefit equally and ratably from the Guarantees, Foreign Guarantees and security interests created by the Security Documents.  The Loan Parties shall take any actions reasonably required by the Administrative Agent to ensure and/or demonstrate that the Lien and security interests granted by the Security Documents continue to be perfected under the UCC, the PPSA or otherwise after giving effect to the establishment of any such Incremental Term Loan Commitments or any such new Term Loans.
(f)    Alternative Currency Term Loans.  Subject to the conditions set forth above, the Designated Company may elect to establish Incremental Term Loan Commitments denominated in an Alternative Currency. In such event, the Increase Joinder may additionally effect such amendments and modifications to this Agreement or the other Loan Documents, and the Administrative Agent and the Loan Parties may enter into such additional Loan Documents, in each case, deemed necessary or appropriate by the Administrative Agent in connection with such Incremental Term Loan Commitments denominated in Alternative Currencies to modify or add provisions relating to (i) the reference source for the determination of the Eurodollar Rate applicable to Term Loans made in any Alternative Currency or alternative interest rate benchmark for any applicable Alternative Currency, (ii) the notice periods for borrowing requests with respect to Term Loans made in any Alternative Currency, (iii) the minimum borrowing or prepayments amounts applicable to any Term Loan denominated in an Alternative Currency, (iv) the timing and manner of delivery of funds in any Alternative Currency, (v) gross-up and/or indemnity with respect to withholding tax matters and (vi) other provisions customarily applicable to loans in an Alternative Currency, including, but not limited to, Sections 2.11 and 2.12.  With respect to the calculations set for in clause (c)(iv) above for any Incremental Net Yield with respect to Incremental Term Loans denominated in an Alternative Currency, such calculations shall be made by the Administrative Agent based on the margin above the appropriate benchmark component of the interest rate for the Alternative Currency, as well as any applicable minimum rates or floors and original issue discount or up front fees (which original issue discount and upfront fees shall be given effect as provided above).
Section 2.24    Refinancing Amendments.
(a)    At any time after the Closing Date, each Co-Borrower may obtain, from any Lender or any Additional Lender, Credit Agreement Refinancing Indebtedness in respect of all or any portion of the Term Loans made to such Co-Borrower then outstanding under this Agreement (which will be deemed to include any then outstanding Other Term Loans), in the form of Other Term Loans or Other Loan Term Commitments, in each case pursuant to a Refinancing Amendment; provided that such 

    
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Credit Agreement Refinancing Indebtedness (i) will rank pari passu in right of payment and of security with the other Loans and Commitments hereunder, (ii) will have such pricing and optional prepayment terms as may be agreed by the Designated Company and the Lenders thereof, (iii) will have a maturity date that is not prior to the maturity date of, and will have a Weighted Average Life to Maturity that is not shorter than the Term Loans being refinanced, (iv) subject to clause (ii) above, will have terms and conditions that are substantially identical to, or less favorable to the investors providing such Credit Agreement Refinancing Indebtedness than, the Refinanced Debt and (v) the proceeds of such Credit Agreement Refinancing Indebtedness shall be applied, substantially concurrently with the incurrence thereof, to the prepayment of outstanding Term Loans being so refinanced; provided further that the terms and conditions applicable to such Credit Agreement Refinancing Indebtedness may provide for any additional or different financial or other covenants or other provisions that are agreed between the Designated Company and the Lenders thereof and applicable only during periods after the Latest Maturity Date that is in effect on the date such Credit Agreement Refinancing Indebtedness is issued, incurred or obtained.  The effectiveness of any Refinancing Amendment shall be subject to the satisfaction on the date thereof of each of the conditions set forth in Section 4.03 and, to the extent reasonably requested by the Administrative Agent, receipt by the Administrative Agent of legal opinions, board resolutions, officers’ certificates and/or reaffirmation agreements consistent with those delivered on the Closing Date under Section 4.02.  Each Class of Credit Agreement Refinancing Indebtedness incurred under this Section 2.24 shall be in an aggregate principal amount that is (x) not less than $50,000,000 in the case of Other Term Loans and (y) an integral multiple of $1,000,000 in excess thereof.  The Administrative Agent shall promptly notify each Lender as to the effectiveness of each Refinancing Amendment.  Each of the parties hereto hereby agrees that, upon the effectiveness of any Refinancing Amendment, this Agreement shall be deemed amended to the extent (but only to the extent) necessary to reflect the existence and terms of the Credit Agreement Refinancing Indebtedness incurred pursuant thereto (including any amendments necessary to treat the Loans and Commitments subject thereto as Other Term Loans and/or Other Term Loan Commitments).  Any Refinancing Amendment may, without the consent of any other Lenders, effect such amendments to this Agreement and the other Loan Documents as may be necessary or appropriate, in the reasonable opinion of the Administrative Agent and the Designated Company, to effect the provisions of this Section.  
(b)    This Section 2.24 shall supersede any provisions in Section 2.14 or Section 11.02 to the contrary.
ARTICLE III 
 
REPRESENTATIONS AND WARRANTIES
Each Loan Party represents and warrants (provided that no such representation or warranty shall be made with respect to Sections 3.05(b), 3.05(d), 3.06(b), 3.07, 3.20, or 3.24 prior to the Closing Date) to the Administrative Agent, the Collateral Agent and each of the Lenders that:
Section 3.01    Organization; Powers.  Each Company (a) is duly organized or incorporated (as applicable) and validly existing under the laws of the jurisdiction of its organization or incorporation (as applicable), (b) has all requisite organizational or constitutional power and authority to carry on 

    
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its business as now conducted and to own and lease its property, (c) is qualified and in good standing (to the extent such concept is applicable in the applicable jurisdiction) to do business in every jurisdiction where such qualification is required, except in such jurisdictions where the failure to so qualify or be in good standing, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect, and (d) except as set forth in Section 2.03(b), is acting as principal for its own account and not as agent or trustee in any capacity on behalf of any party in relation to the Loan Documents.
Section 3.02    Authorization; Enforceability.  The Transactions to be entered into by each Loan Party are within such Loan Party’s organizational or constitutional powers and have been duly authorized by all necessary organizational or constitutional action on the part of such Loan Party.  This Agreement has been duly executed and delivered by each Loan Party and constitutes, and each other Loan Document to which any Loan Party is to be a party, when executed and delivered by such Loan Party, will constitute, a legal, valid and binding obligation of such Loan Party, enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium or other laws affecting creditors’ rights generally and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law.
Section 3.03    No Conflicts.  The Transactions (a) do not require any consent or approval of, registration or filing with, or any other action by, any Governmental Authority, except (i) such as have been obtained or made and are in full force and effect, (ii) filings necessary to perfect Liens created by the Loan Documents (as reflected in the applicable Perfection Certificate on and after the Closing Date) and (iii) consents, approvals, registrations, filings, permits or actions the failure to obtain or perform which could not reasonably be expected to result in a Material Adverse Effect, (b) will not violate the Organizational Documents of any Company, (c) will not violate any material Requirement of Law, (d) will not violate or result in a default or require any consent or approval under any indenture, agreement or other instrument binding upon any Company or its property, or give rise to a right thereunder to require any payment to be made by any Company, except for violations, defaults or the creation of such rights that could not reasonably be expected to result in a Material Adverse Effect, and (e) will not result in the creation or imposition of any Lien on any property of any Company, except Liens created by the Loan Documents and Permitted Liens.  The execution, delivery and performance of the Loan Documents will not violate, or result in a default under, or require any consent or approval under, the Senior Notes, the Senior Note Documents, or the Revolving Credit Loan Documents.
Section 3.04    Financial Statements; Projections.
(a)    Historical Financial Statements.  The Borrower has heretofore delivered to the Lenders the consolidated balance sheets and related statements of income, stockholders’ equity and cash flows of the Borrower (i) as of and for the fiscal years ended March 31, 2014, March 31, 2015 and March 31, 2016, audited by and accompanied by the unqualified opinion of PricewaterhouseCoopers, independent public accountants, and (ii) as of and for the fiscal quarters ended June 30, 2016 and September 30, 2016, and for the comparable period of the preceding fiscal year, in each case certified by the chief financial officer of the Borrower.  Such financial statements and all financial statements delivered pursuant to Section 5.01(a) and Section 5.01(b) have been prepared in accordance with US 

    
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GAAP and present fairly in all material respects the financial condition and results of operations and cash flows of the Designated Company as of the dates and for the periods to which they relate.
(b)    No Liabilities; No Material Adverse Effect.  Except as set forth in the most recent financial statements referred to in Section 3.04(a), as of the Effective Date and the Closing Date there are no liabilities of any Company of any kind, whether accrued, contingent, absolute, determined, determinable or otherwise, which could reasonably be expected to result in a Material Adverse Effect, other than liabilities under the Loan Documents and any Third Lien Credit Agreement. Since March 31, 2016, there has been no event, change, circumstance or occurrence that, individually or in the aggregate, has had or could reasonably be expected to result in a Material Adverse Effect.
(c)    Pro Forma Financial Statements.  The Borrower has heretofore delivered to the Lenders the Borrower’s unaudited pro forma consolidated capitalization table and balance sheet as of September 30, 2016, after giving effect to the Transactions as if they had occurred on such date.  Such capitalization table and balance sheet have been prepared in good faith by the Loan Parties, based on the assumptions stated therein (which assumptions are believed by the Loan Parties on the Effective Date and the Closing Date to be reasonable), are based on the best information available to the Loan Parties as of the date of delivery thereof, accurately reflect all adjustments required to be made to give effect to the Transactions and present fairly in all material respects the pro forma capitalization and balance sheet of Holdings as of such date assuming the Transactions had occurred at such date.
(d)    Forecasts.  The forecasts of financial performance of the Companies covering the period commencing with September 30, 2016 and ending on March 31, 2022, furnished to the Lenders, have been prepared in good faith by the Loan Parties and based on assumptions believed by the Loan Parties to be reasonable, it being understood that any such forecasts may vary from actual results and such variations could be material. 
Section 3.05    Properties.
(a)    Generally.  Each Company has good title to, valid leasehold interests in, or license of, all its property material to its business, free and clear of all Liens except for Permitted Liens (and, prior to the consummation of the Transactions that occur on the Closing Date, Liens securing obligations under the Existing Credit Agreement).  The property that is material to the business of the Companies, taken as a whole, (i) is in good operating order, condition and repair in all material respects (ordinary wear and tear excepted) and (ii) constitutes all the property which is required for the business and operations of the Companies as presently conducted.
(b)    Real Property.  Schedules 8(a) and 8(b) to the Perfection Certificate dated the Closing Date contain a true and complete list of each interest in Real Property (i) owned by any Loan Party as of the Closing Date having fair market value of $1,000,000 or more and describes the type of interest therein held by such Loan Party and whether such owned Real Property is leased to a third party and (ii) leased, subleased or otherwise occupied or utilized by any Loan Party, as lessee, sublessee, franchisee or licensee, as of the Closing Date having annual rental payments of $1,000,000 or more and describes the type of interest therein held by such Loan Party.

    
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(c)    No Casualty Event.  No Company has as of the Effective Date or the Closing Date received any notice of, nor has any knowledge of, the occurrence or pendency or contemplation of any Casualty Event affecting all or any material portion of its property.  No Mortgage encumbers improved Real Property located in the United States that is located in an area that has been identified by the Secretary of Housing and Urban Development as an area having special flood hazards within the meaning of the National Flood Insurance Act of 1968 unless flood insurance available under such Act has been obtained in accordance with Section 5.04.
(d)    Collateral.  Each Company owns or has rights to use all of the Collateral used in, necessary for or material to each Company’s business as currently conducted, except where the failure to have such ownership or rights of use could not reasonably be expected to have a Material Adverse Effect.  The use by each Company of such Collateral does not infringe on the rights of any person other than such infringement which could not, individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.  No claim has been made and remains outstanding that any Company’s use of any Collateral does or may violate the rights of any third party that could, individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.
Section 3.06    Intellectual Property.
(a)    Ownership/No Claims.  Each Loan Party owns, or is licensed to use, all patents, trademarks, copyrights and other intellectual property (including intellectual property in software, mask works, inventions, designs, trade names, service marks, technology, trade secrets, proprietary information and data, domain names, know-how and processes) necessary for the conduct of such Loan Party’s business as currently conducted (“Intellectual Property”), except for those the failure to own or license which, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect.  As of the Effective Date and the Closing Date, no material claim has been asserted and is pending by any person, challenging or questioning the validity of any Loan Party’s Intellectual Property or the validity or enforceability of any such Intellectual Property, nor does any Loan Party know of any valid basis for any such claim.  The use of any Intellectual Property by each Loan Party, and the conduct of each Loan Party’s business as currently conducted, does not infringe or otherwise violate the rights of any third party in respect of Intellectual Property, except for such claims and infringements that, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect.
(b)    Registrations.  Except pursuant to non-exclusive licenses and other non-exclusive use agreements entered into by each Loan Party in the ordinary course of business, and except as set forth on Schedule 12(c) to the Perfection Certificate, on and as of the Closing Date each Loan Party owns and possesses the right to use and has not authorized or enabled any other person to use, any Intellectual Property listed on any schedule to the relevant Perfection Certificate or any other Intellectual Property that is material to its business, except for such authorizations and enablements as could not reasonably be expected to result in a Material Adverse Effect. All registrations listed on Schedule 12(a) and 12(b) to the Perfection Certificate are valid and in full force and effect, in each case, except where the absence of such validity or full force and effect, individually or collectively, could not reasonably be expected to have a Material Adverse Effect.

    
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(c)    No Violations or Proceedings.  To each Loan Party’s knowledge, on and as of the Effective Date and the Closing Date, (i) there is no material infringement or other violation by others of any right of such Loan Party with respect to any Intellectual Property that is subject to a security interest granted to the Revolving Credit Collateral Agent, or any other Intellectual Property that is material to its business, except as may be set forth on Schedule 3.06(c), and (ii) no claims are pending or threatened to such effect except as set forth on Schedule 3.06(c).
Section 3.07    Equity Interests and Subsidiaries.
(a)    Equity Interests.  Schedules 1(a) and 10 to the Perfection Certificate dated the Closing Date set forth a list of (i) all the Subsidiaries of Holdings and their jurisdictions of organization as of the Closing Date and (ii) the number of each class of its Equity Interests authorized, and the number outstanding, on the Closing Date and the number of shares covered by all outstanding options, warrants, rights of conversion or purchase and similar rights at the Closing Date.  As of the Closing Date, all Equity Interests of each Company held by Holdings or a Subsidiary thereof are duly and validly issued and are fully paid and non-assessable, and, other than the Equity Interests of Holdings, are owned by Holdings, directly or indirectly through Wholly Owned Subsidiaries except as indicated on Schedules 1(a) and 10 to the Perfection Certificate.  At all times prior to a Qualified Borrower IPO, 100% of the Equity Interests of the Borrower will be owned directly by Holdings, and 100% of the Equity Interests of the other Co-Borrower shall be owned directly or indirectly by Holdings (or, in the case of each Co-Borrower, on and after the Designated Holdco Effective Date, will be owned directly or indirectly by Designated Holdco).  At all times after a Qualified Borrower IPO, more than 50% of the voting power of the total outstanding Voting Stock of each Co-Borrower will be owned directly or indirectly by Hindalco. As of the Closing Date, each Loan Party is the record and beneficial owner of, and has good and marketable title to, the Equity Interests pledged by it under the Security Documents, free of any and all Liens, rights or claims of other persons, except Permitted Liens, and as of the Closing Date there are no outstanding warrants, options or other rights to purchase, or shareholder, voting trust or similar agreements outstanding with respect to, or property that is convertible into, or that requires the issuance or sale of, any such Equity Interests.
(b)    No Consent of Third Parties Required.  Except as have previously been obtained, no consent of any person including any other general or limited partner, any other member of a limited liability company, any other shareholder or any other trust beneficiary is necessary in connection with the creation, perfection or First Priority status of the security interest of the Collateral Agent in any Equity Interests pledged to the Collateral Agent for the benefit of the Secured Parties under the Security Documents or the exercise by the Collateral Agent of the voting or other rights provided for in the Security Documents or the exercise of remedies in respect thereof, other than any restrictions on transfer of the Equity Interests in NKL or its direct parents, 4260848 Canada Inc., 4260856 Canada Inc. and 8018227 Canada Inc., imposed by any lock-up or listing agreement, rule or regulation in connection with any listing or offering of Equity Interests in NKL to the extent required by applicable Requirements of Law or listing or stock exchange requirements, and other than any share transfer restrictions pursuant to articles 249 and following of the Belgian Companies Code.
(c)    Organizational Chart.  An accurate organizational chart, showing the ownership structure of Holdings, the Borrower and each Subsidiary on the Closing Date is set forth on Schedule 

    
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10 to the Perfection Certificate dated the Closing Date.  No Loan Party which is a party to an Irish Security Agreement or has otherwise created a Lien over any asset situate in Ireland pursuant to the Security Documents is a Relevant External Company.
Section 3.08    Litigation; Compliance with Laws.  There are no actions, suits or proceedings at law or in equity by or before any Governmental Authority now pending or, to the knowledge of any Company, threatened against or affecting any Company or any business, property or rights of any Company (i) that involve any Loan Document or (ii) as to which there is a reasonable possibility of an adverse determination and that, if adversely determined, could reasonably be expected, individually or in the aggregate, to result in a Material Adverse Effect.  No Company or any of its property is in violation of, nor will the continued operation of its property as currently conducted violate, any Requirements of Law (including any zoning or building ordinance, code or approval or any building permits) or any restrictions of record or agreements affecting any Company’s Real Property or is in default with respect to any Requirement of Law, where such violation or default, individually or in the aggregate, could reasonably be expected to result in a Material Adverse Effect.  The Loan Parties have implemented and maintain in effect policies and procedures designed to ensure compliance by the Loan Parties, their Subsidiaries, and their respective directors, officers, employees and agents with applicable Anti-Corruption Laws, and the Loan Parties and their Subsidiaries are in compliance with applicable Anti-Corruption Laws in all material respects.
Section 3.09    Agreements.  No Company is a party to any agreement or instrument or subject to any corporate or other constitutional restriction that has resulted or could reasonably be expected to result in a Material Adverse Effect.  No Company is in default in any manner under any provision of any indenture or other agreement or instrument evidencing Indebtedness, or any other agreement or instrument to which it is a party or by which it or any of its property is or may be bound, where such default could reasonably be expected to result in a Material Adverse Effect.  There is no existing default under any Organizational Document of any Company or any event which, with the giving of notice or passage of time or both, would constitute a default by any party thereunder that could reasonably be expected to have a Material Adverse Effect.  No event or circumstance has occurred or exists that constitutes a Default or Event of Default.
Section 3.10    Federal Reserve Regulations.  No Company is engaged principally, or as one of its important activities, in the business of extending credit for the purpose of buying or carrying Margin Stock.  No part of the proceeds of any Loan will be used, whether directly or indirectly, and whether immediately, incidentally or ultimately, for any purpose that entails a violation of, or that is inconsistent with, the provisions of the regulations of the Board, including Regulation T, U or X.  The pledge of the Securities Collateral pursuant to the Security Documents does not violate such regulations.
Section 3.11    Investment Company Act.  No Company is an “investment company” or a company “controlled” by an “investment company,” as defined in, or subject to regulation under, the Investment Company Act of 1940, as amended.
Section 3.12    Use of Proceeds.  The Co-Borrowers will use the proceeds of (a) the Loans on the Closing Date for the Transactions, (b) any Incremental Term Loans after the Closing Date for general corporate purposes (including to effect Permitted Acquisitions and other Investments and Dividends permitted hereunder) and, (c) any Aleris Incremental Term Loans on the Aleris Incremental Funding 

    
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Date for the Aleris Acquisition and (d) any Other Term Loans after the Closing Date to refinance Term Loans and pay related fees and expenses; provided that in no event shall any proceeds of any Loans (including any Incremental Term Loans or Other Term Loans) be remitted, directly or indirectly, to any Swiss tax resident Company or Swiss tax resident permanent establishment, where this remittance could be viewed as a use of such proceeds in Switzerland (whether through an intercompany loan or advance by any other Company or otherwise) as per the practice of the Swiss Federal Tax Administration, unless the Swiss Federal Tax Administration confirms in a written advance tax ruling (based on a fair description of the fact pattern in the tax ruling request made by a Loan Party) that such use of proceeds in Switzerland does not lead to Swiss Withholding Tax becoming due on or in respect any Loans (including any Incremental Term Loans or Other Term Loans) or parts thereof.
Section 3.13    Taxes.  Each Company has (a) timely filed or caused to be timely filed all material Tax Returns required by applicable Requirements of Law to have been filed by it and (b) duly and timely paid, collected or remitted or caused to be duly and timely paid, collected or remitted all material Taxes due and payable, collectible or remittable by it and all assessments received by it, except Taxes (i) that are being contested in good faith by appropriate proceedings and for which such Company has set aside on its books adequate reserves in accordance with US GAAP or other applicable accounting rules and (ii) which could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.  Each Company has made adequate provision in accordance with US GAAP or other applicable accounting rules for all material Taxes not yet due and payable.  No Company has received written notice of any proposed or pending tax assessments, deficiencies or audits that could be reasonably expected to, individually or in the aggregate, result in a Material Adverse Effect.  No Company has ever been a party to any understanding or arrangement constituting a “tax shelter” within the meaning of Section 6111(c), Section 6111(d), or Section 6662(d)(2)(C)(iii) of the Code, or has ever “participated” in a “reportable transaction” within the meaning of Section 6707A(c)(1) of the Code and Treasury Regulation Section 1.6011-4(b), except as could not be reasonably expected to, individually or in the aggregate, result in a Material Adverse Effect. Each Co-Borrower under the Aleris Incremental Term Loans is a domestic corporation as defined in Section 7701(a)(30)(C) of the Code (or is a limited liability company that is disregarded as an entity separate from its owner for United States federal income tax purposes and is wholly owned by a domestic corporation).  No payment by or on account of any obligation of any Loan Party hereunder, or under any other Loan Document, in respect of the Aleris Incremental Term Loans is subject to any withholding Taxes other than U.S. federal withholding Taxes.
Section 3.14    No Material Misstatements.  The written information (including the Confidential Information Memorandum), reports, financial statements, certificates, exhibits or schedules furnished by or on behalf of any Company to any Agent or any Lender in connection with the negotiation of any Loan Document or included therein or delivered pursuant thereto, taken as a whole, did not and does not contain any material misstatement of fact and, taken as a whole, did not and does not omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were or are made, not materially misleading in their presentation of Holdings, the Designated Company and its Subsidiaries taken as a whole as of the date such information is dated or certified; provided that to the extent any such information, report, financial statement, exhibit or schedule was based upon or constitutes a forecast or projection, each Loan Party represents only that it was prepared in good faith and based on assumptions believed by the applicable Loan Parties to be reasonable.

    
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Section 3.15    Labor Matters.  As of the Effective Date and the Closing Date, there are no material strikes, lockouts or labor slowdowns against any Company pending or, to the knowledge of any Company, threatened in writing.  The hours worked by and payments made to employees of any Company have not been in violation of the Fair Labor Standards Act of 1938, as amended, or any other applicable federal, state, provincial, local or foreign law dealing with such matters in any manner which could reasonably be expected to result in a Material Adverse Effect.  All payments due from any Company, or for which any claim may be made against any Company, on account of wages and employee health and welfare insurance and other benefits, have been paid or accrued as a liability on the books of such Company except where the failure to do so could not reasonably be expected to result in a Material Adverse Effect.  The consummation of the Transactions will not give rise to any right of termination or right of renegotiation on the part of any union under any collective bargaining agreement to which any Company is bound, except as could not reasonably be expected to result in a Material Adverse Effect.
Section 3.16    Solvency.  At the time of and immediately after each of (i) the consummation of the Transactions to occur on the Effective Date and the Closing Date, (ii) the Aleris Increase Joinder Effective Date, (iii) the consummation of the Aleris Acquisition on the Aleris Incremental Funding Date, and (iv) at the time of and immediately following the making of the initial Credit Extension under any Incremental Term Loan Commitments (other than Aleris Incremental Term Loan Commitments) and after giving effect to the application of the proceeds of each Loan and the operation of the Contribution, Intercompany, Contracting and Offset Agreement, (a) the fair value of the assets of the Designated Company and of the Loan Parties (on a consolidated basis with their Subsidiaries) will exceed their debts and liabilities, subordinated, contingent, prospective or otherwise; (b) the present fair saleable value of the property of the Designated Company and the Loan Parties (on a consolidated basis with their Subsidiaries) will be greater than the amount that will be required to pay the probable liability of their debts and other liabilities, subordinated, contingent, prospective or otherwise, as such debts and other liabilities become absolute and matured; (c) the Designated Company and the Loan Parties (on a consolidated basis with their Subsidiaries) will be able to pay their debts and liabilities, subordinated, contingent, prospective or otherwise, as such debts and liabilities become absolute and matured; (d) the Designated Company and the Loan Parties (on a consolidated basis with their Subsidiaries) will not have unreasonably small assets with which to conduct their business in which they are engaged as such business is now conducted and is proposed to be conducted following the Effective Date; and (e) the Designated Company and the Loan Parties (on a consolidated basis with their Subsidiaries) are not “insolvent” as such term is defined under any bankruptcy, insolvency or similar laws of any jurisdiction in which any Loan Party is organized or incorporated (as applicable), or otherwise unable to pay their debts as they fall due.
Section 3.17    Employee Benefit Plans.  Each Company and its ERISA Affiliates is in compliance in all material respects with the applicable provisions of ERISA and the Code and the regulations and published interpretations thereunder except for such non-compliance that in the aggregate would not have a Material Adverse Effect.  No ERISA Event has occurred or is reasonably expected to occur that, when taken together with all other such ERISA Events, could reasonably be expected to result in a Material Adverse Effect or the imposition of a Lien on any of the property of any Company.  The present value of all accumulated benefit obligations of all underfunded Plans (based on the assumptions used in the most recent actuarial valuations used for the respective Plans) did not, as of the date of the 

    
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most recent financial statements reflecting such amounts, exceed the fair market value of the property of all such underfunded Plans in an amount which could reasonably be expected to have a Material Adverse Effect.  Using actuarial assumptions and computation methods consistent with subpart I of subtitle E of Title IV of ERISA, the aggregate liabilities of each Company or its ERISA Affiliates to all Multiemployer Plans in the event of a complete withdrawal therefrom, as of the close of the most recent fiscal year of each such Multiemployer Plan, could not reasonably be expected to result in a Material Adverse Effect.
To the extent applicable, each Foreign Plan has been maintained in compliance with its terms and with the requirements of any and all Requirements of Law and has been maintained, where required, in good standing with applicable Governmental Authority and Taxing Authority, except for such non-compliance that in the aggregate would not have a Material Adverse Effect. No Company has incurred any obligation in connection with the termination of or withdrawal from any Foreign Plan, except to the extent of liabilities which could not reasonably be expected to have a Material Adverse Effect. Each Foreign Plan which is required to be funded is funded in accordance with Requirements of Law, and for each Foreign Plan which is not required to be funded, the obligations of such Foreign Plan are properly accrued in the financial statements of the Designated Company and its Subsidiaries, in each case in an amount that could not reasonably be expected to have a Material Adverse Effect.
Except as specified on Schedule 3.17, (i) no Company is or has at any time been an employer (for the purposes of Sections 38 to 51 of the Pensions Act 2004) of an occupational pension scheme which is not a money purchase scheme (both terms as defined in the Pensions Schemes Act 1993), and (ii) no Company is or has at any time been “connected” with or an “associate” of (as those terms are used in Sections 39 and 43 of the Pensions Act 2004) such an employer.
Section 3.18    Environmental Matters.
(a)    Except as, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect:
(i)    The Companies and their businesses, operations and Real Property are in compliance with, and the Companies have no liability under, any applicable Environmental Law;
(ii)    The Companies have obtained all Environmental Permits required for the conduct of their businesses and operations, and the ownership, operation and use of their property, under Environmental Law, and all such Environmental Permits are valid and in good standing;
(iii)    There has been no Release or threatened Release of Hazardous Material on, at, under or from any Real Property or facility presently or formerly owned, leased or operated by the Companies or their predecessors in interest that could reasonably be expected to result in liability of the Companies under any applicable Environmental Law;

    
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(iv)    There is no Environmental Claim pending or, to the knowledge of any Company, threatened against the Companies, or relating to the Real Property currently or formerly owned, leased or operated by the Companies or their predecessors in interest or relating to the operations of the Companies, and, to the knowledge of any Company, there are no actions, activities, circumstances, conditions, events or incidents that could reasonably be expected to form the basis of such an Environmental Claim;
(v)    No Lien has been recorded or, to the knowledge of any Company, threatened under any Environmental Law with respect to any Real Property or other assets of the Companies;
(vi)    The execution, delivery and performance of this Agreement and the consummation of the transactions contemplated hereby will not require any notification, registration, filing, reporting, disclosure, investigation, remediation or cleanup pursuant to any Governmental Real Property Disclosure Requirements or any other applicable Environmental Law; and
(vii)    No person with an indemnity or contribution obligation to the Companies relating to compliance with or liability under Environmental Law is in default with respect to such obligation.
(b)    As of the Effective Date and the Closing Date:
(i)    Except as could not reasonably be expected to have a Material Adverse Effect, no Company is obligated to perform any action or otherwise incur any expense under Environmental Law pursuant to any order, decree, judgment or agreement by which it is bound or has assumed by contract, agreement or operation of law, and no Company is conducting or financing any Response pursuant to any Environmental Law with respect to any Real Property or any other location; and
(ii)    No Real Property or facility owned, operated or leased by the Companies and, to the knowledge of the Companies, no Real Property or facility formerly owned, operated or leased by the Companies or any of their predecessors in interest is (i) listed or proposed for listing on the National Priorities List promulgated pursuant to CERCLA, or (ii) listed on the Comprehensive Environmental Response, Compensation and Liability Information System promulgated pursuant to CERCLA and is reasonably likely to result in any material liability to any Company, or (iii) included on any other publicly available list of contaminated sites maintained by any Governmental Authority analogous to CERCLA or the Resource Conservation and Recovery Act, 42 U.S.C. §6901 et seq., including any such list relating to the management or clean up of petroleum and is reasonably likely to result in any material liability to a Company.

    
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Section 3.19    Insurance.  Schedule 3.19 sets forth a true and correct description of all insurance policies maintained by each Company as of the Effective Date and the Closing Date. All insurance maintained by the Companies to the extent required by Section 5.04 is in full force and effect, and all premiums thereon have been duly paid.  As of the Effective Date and the Closing Date, no Company has received notice of violation or cancellation thereof, the Mortgaged Property, and the use, occupancy and operation thereof, comply in all material respects with all Insurance Requirements, and there exists no material default under any Insurance Requirement.  Each Company has insurance in such amounts and covering such risks and liabilities as are customary for companies of a similar size engaged in similar businesses in similar locations.
Section 3.20    Security Documents.
(a)    U.S. Security Agreement.  Subject to Section 5.15, each of the U.S. Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, when (i) financing statements and other filings in appropriate form are filed in the offices specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date and (ii) upon the taking of possession or control by the Collateral Agent of the Security Agreement Collateral with respect to which a security interest may be perfected only by possession or control (which possession or control shall be given to the Collateral Agent to the extent possession or control by the Collateral Agent is required by each Security Agreement), the Liens created by such Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral (other than such Security Agreement Collateral in which a security interest cannot be perfected under the UCC as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(b)    Canadian Security Agreement.  Subject to Section 5.15, each of the Canadian Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, when PPSA financing statements and other filings in appropriate form are filed in the offices specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by such Canadian Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under the PPSA as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(c)    U.K. Security Agreement.  Subject to Section 5.15, each of the U.K. Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registration specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by such U.K. Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law 

    
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as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(d)    Swiss Security Agreement.  Subject to Section 5.15, each of the Swiss Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties (or in the case of accessory security, in favor of the Secured Parties), legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by such Swiss Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(e)    German Security Agreement.  Subject to Section 5.15, each of the German Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties, or in the case of accessory security, in favor of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by such German Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(f)    Irish Security Agreement.  Subject to Section 5.15, each of the Irish Security Agreements is effective to create in favor of the Collateral Agent for the benefit of and as trustee for the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by such Irish Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(g)    Brazilian Security Agreement.  Subject to Section 5.15, each of the Brazilian Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by each of such Brazilian Security Agreements shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot 

    
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be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(h)    Dubai Security Agreement.  Subject to Section 5.15, each of the Dubai Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by such Dubai Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(i)    Dutch Security Agreement.  Subject to Section 5.15, each of the Dutch Security Agreements is effective to create in favor of the Collateral Agent for its benefit (as creditor under the Parallel Debt provision set forth in Section 11.36) and for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the date such Person becomes a Loan Party, the Liens created by such Dutch Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(j)    Other Security Agreements. Subject to Section 5.15, each of the Security Agreements (other than the Security Agreements described in the other provisions of this Section 3.20) is effective to create in favor of the Collateral Agent (or equivalent agent in such jurisdiction) for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate, the Liens created by such Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(k)    French Security Agreement.  Subject to Section 5.15, each of the French Security Agreements is effective to create in favor of the French Collateral Agent for its benefit (as creditor under the Parallel Debt provision set forth in Section 11.24) and for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the Closing Date, the Liens created by such French Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, 

    
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all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(l)    Belgian Security Agreement. Subject to Section 5.15, each of the Belgian Security Agreements is effective to create in favor of the Collateral Agent for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, the Security Agreement Collateral referred to therein and, upon the registrations, recordings and other actions specified on Schedule 7 to the relevant Perfection Certificate as in effect on the date such Person becomes a Loan Party, the Liens created by such Belgian Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in the Security Agreement Collateral referred to therein (other than such Security Agreement Collateral in which a security interest cannot be perfected under applicable law as in effect at the relevant time in the relevant jurisdiction), in each case subject to no Liens other than Permitted Liens.
(m)    Intellectual Property Filings.  When the (i) financing statements and other filings in appropriate form referred to on Schedule 7 to the relevant Perfection Certificate have been made, and (ii) U.S. Security Agreement or a short form thereof is filed in the United States Patent and Trademark Office and the United States Copyright Office, the Liens created by such Security Agreement shall constitute valid, perfected First Priority Liens on, and security interests in, all right, title and interest of the grantors thereunder in Patents and Trademarks (each as defined in such Security Agreement) that are registered or applied for by any Loan Party with the United States Patent and Trademark Office or Copyrights (as defined in such Security Agreement) registered or applied for by any Loan Party with the United States Copyright Office, as the case may be, in each case subject to no Liens other than Permitted Liens.
(n)    Mortgages.  Subject to Section 5.15, each Mortgage (other than a Mortgage granted by a U.K. Guarantor) is effective to create, in favor of the Collateral Agent, for its benefit and the benefit of the Secured Parties, legal, valid, perfected and enforceable First Priority Liens on, and security interests in, all of the Loan Parties’ right, title and interest in and to the Mortgaged Properties thereunder and the proceeds thereof, subject only to Permitted Liens, and when such Mortgages are filed in the offices specified on Schedule 8(a) to the applicable Perfection Certificates dated the Closing Date (or, in the case of any Mortgage executed and delivered after the date thereof in accordance with the provisions of Sections 5.11 and 5.12, when such Mortgage is filed in the offices specified in the local counsel opinion delivered with respect thereto in accordance with the provisions of Sections 5.11 and 5.12), the Mortgages shall constitute First Priority fully perfected Liens on, and security interests in, all right, title and interest of the Loan Parties in the Mortgaged Properties and the proceeds thereof, in each case prior and superior in right to any other person, other than Permitted Liens.
Subject to Section 5.15, the Mortgages granted by each applicable U.K. Guarantor under the relevant U.K. Security Agreement are effective to create in favor of the Collateral Agent, for the ratable benefit of the Secured Parties, legal, valid and enforceable Liens on all of each such Loan Party’s right, title and interest in and to the Mortgaged Property thereunder and the proceeds thereof, and when the Mortgages are filed with the Land Registry, the Mortgages shall constitute fully perfected First Priority 

    
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Liens on, and security interest in, all right, title and interest of each applicable U.K. Guarantor in such Mortgaged Property and the proceeds thereof, in each case prior and superior in right to any other Person, other than with respect to the rights of Persons pursuant to Permitted Liens until terminated in accordance with the terms hereof.
(o)    Valid Liens.  Each Security Document delivered pursuant to Sections 5.11, 5.12 and 5.16 will, upon execution and delivery thereof, be effective to create in favor of the Collateral Agent, for the benefit of the Secured Parties, legal, valid and enforceable Liens on, and security interests in, all of the Loan Parties’ right, title and interest in and to the Collateral thereunder, and (i) when all appropriate filings, registrations or recordings and other actions set forth in the relevant Perfection Certificate are made in the appropriate offices as may be required under applicable law and (ii) upon the taking of possession or control by the Collateral Agent of such Collateral with respect to which a security interest may be perfected only by possession or control (which possession or control shall be given to the Collateral Agent to the extent required by any Security Document), such Security Document will constitute First Priority fully perfected Liens on, and security interests in, all right, title and interest of the Loan Parties in such Collateral, in each case subject to no Liens other than the applicable Permitted Liens.
(p)    German Receivables Purchase Agreement.  As of the Closing Date, (i) the German Receivables Purchase Agreement is in full force and effect, (ii) each representation and warranty under the Receivables Purchase Agreement of each Loan Party party thereto is true and correct in all material respects on and as of the date made thereunder and (iii) no “Termination Event” (as defined therein) has occurred under the Receivables Purchase Agreement.
Section 3.21    Material Indebtedness Documents.  Schedule 3.21 lists, as of the Effective Date and the Closing Date, (i) each material Senior Note Document, (ii) each material Revolving Credit Loan Document, and (iii) each material agreement, certificate, instrument, letter or other document evidencing any other Material Indebtedness other than, prior to the consummation of the Transactions that occur on the Closing Date, the Existing Credit Agreement, and the Lenders have been furnished true and complete copies of each of the foregoing.
Section 3.22    Anti-Terrorism Law; Sanctions and Anti-Corruption Law.  No Loan Party is in violation of any Requirement of Law relating to terrorism or money laundering, including Executive Order No. 13224 on Terrorist Financing, effective September 24, 2001 (the “Executive Order”), and the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, Public Law 107-56, Part II.1 of the Criminal Code, R.S.C. 1985, c. C-46, as amended, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, S.C. 2000, c.17, as amended, regulations promulgated pursuant to the Special Economic Measures Act, S.C. 1992 c. 17 and the United Nations Act, R.S.C. 1985 c. U-2, in each case, as amended (collectively, the “Anti-Terrorism Laws”).
No Loan Party and to the knowledge of the Loan Parties, no broker or other agent of any Loan Party acting or benefiting in any capacity in connection with the Loans is any of the following:
(i)    a person that is listed in the annex to, or is otherwise subject to the provisions of, the Executive Order;

    
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(ii)    a person owned or controlled by, or acting for or on behalf of, any person that is listed in the annex to, or is otherwise subject to the provisions of, the Executive Order;
(iii)    a person with which any Lender is prohibited from dealing or otherwise engaging in any transaction by any Anti-Terrorism Law;
(iv)    a person that commits, threatens or conspires to commit or supports “terrorism” as defined in the Executive Order; or
(v)    a person that is named as a “specially designated national and blocked person” on the most current list published by the U.S. Treasury Department Office of Foreign Assets Control (“OFAC”) at its official website or any replacement website or other replacement official publication of such list.
No Loan Party and, to the knowledge of the Loan Parties, no broker or other agent of any Loan Party acting in any capacity in connection with the Loans (w) conducts any business or engages in making or receiving any contribution of funds, goods or services to or for the benefit of any person described in clauses (i) through (v) above in a manner violative of the Executive Order, any applicable Sanctions or Anti-Terrorism Law, (x) deals in, or otherwise engages in any transaction relating to, any property or interests in property blocked pursuant to the Executive Order or Anti-Terrorism Laws, (y) engages in or conspires to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law or (z) is in violation of any applicable Anti-Terrorism Laws. 
Neither the advance of the Loans nor the use of the proceeds of any thereof will violate the Trading With the Enemy Act (50 U.S.C. § 1 et seq., as amended, and any executive order or requirement of applicable law promulgated thereunder) (the “Trading With the Enemy Act”) or any of the foreign assets control regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter V, as amended) (the “Foreign Assets Control Regulations”) or any enabling legislation or executive order relating thereto (which for the avoidance of doubt shall include, but shall not be limited to (a) the Executive Order and (b) the Patriot Act) or any other applicable Sanctions. Furthermore, none of the Loan Parties or their Subsidiaries (including Unrestricted Subsidiaries) and, to the Loan Parties’ knowledge, their and their Subsidiaries’ respective directors, officers, employees, Affiliates or agents (in the case of agents, that will act in any capacity in connection with or benefit from this Agreement) (a) is or will become a “blocked person” as described in the Executive Order, the Trading With the Enemy Act or the Foreign Assets Control Regulations or (b) engages or will engage in any dealings or transactions, or be otherwise associated, with any such “blocked person” or with any Sanctioned Person, in each case, in any manner violative of any applicable Sanctions or Anti-Terrorism Law or (c) is a Sanctioned Person. Each Loan Party is in compliance, in all material respects, with the Patriot Act.  Each Loan Party, its Subsidiaries and their respective officers and employees and to the knowledge of such Loan Party its directors and agents, are in compliance with Anti-Corruption Laws and applicable Sanctions in all material respects and are not knowingly engaged in any activity that would reasonably be expected to result in Holdings or any of its Subsidiaries being designated as a Sanctioned Person. No part of the proceeds of the Loans will be used by the Loan Parties, directly or indirectly, for any payments to any governmental official or employee, political party, official of a political party, candidate 

    
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for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt Practices Act of 1977, as amended, or any law, rule or regulation of any jurisdiction applicable to Holdings or any of its Subsidiaries from time to time concerning or relating to bribery or corruption including the Corruption of Foreign Public Officials Act (Canada) (collectively, “Anti-Corruption Laws”).  “Sanctioned Country” means, at any time, a country or territory which is itself, or whose government is, the subject or target of any Sanctions.  “Sanctioned Person” means, at any time, (a) any Person listed in any Sanctions-related list of designated Persons maintained by OFAC, the U.S. Department of State or by the United Nations Security Council, the European Union, any EU member state or the Commonwealth of Australia, (b) any Person operating, organized or resident in a Sanctioned Country or (c) any Person owned or controlled by any such Person or Persons.  “Sanctions” means economic or financial sanctions or trade embargoes imposed, administered or enforced from time to time by (a) the U.S. government, including those administered by OFAC or the U.S. Department of State, or (b) the United Nations Security Council, the European Union, Her Majesty’s Treasury of the United Kingdom or the Commonwealth of Australia.
The Designated Company has implemented and maintains in effect policies and procedures designed to ensure compliance by the Designated Company, its Subsidiaries and their respective directors, officers, employees and agents with Anti-Corruption Laws and applicable Sanctions.
Section 3.23    Location of Material Inventory and Equipment.  Schedule 3.24 sets forth as of the Effective Date all locations where the aggregate value of Inventory and Equipment (other than mobile Equipment or Inventory in transit) owned by the Loan Parties at each such location exceeds $1,000,000.
Section 3.24    Senior Notes; Material Indebtedness.  The Obligations constitute “Senior Debt” or “Designated Senior Indebtedness” (or any other defined term having a similar purpose) within the meaning of the Senior Note Documents (and any Permitted Refinancings thereof permitted under Section 6.01 other than refinancings with Incremental Term Loans).  The Commitments and the Loans and other extensions of credit under the Loan Documents constitute “Credit Facilities” (or any other defined term having a similar purpose) or liabilities payable under the documentation related to “Credit Facilities” (or any other defined term having a similar purpose), in each case, within the meaning of the Senior Note Documents (and any Permitted Refinancings thereof permitted under Section 6.01 other than refinancings with Incremental Term Loans).  The consummation of each of (i) the Transactions, (ii) each incurrence of Indebtedness hereunder and (iii) the granting of the Liens provided for under the Security Documents to secure the Secured Obligations is permitted under, and, in each case, does not require any consent or approval under, the terms of (A) the Senior Note Documents (and any Permitted Refinancings thereof), the Revolving Credit Loan Documents (and any Permitted Revolving Credit Facility Refinancings thereof) or any other Material Indebtedness or (B) any other material agreement or instrument binding upon any Company or any of its property except, in the case of this clause (B), as could not reasonably be expected to result in a Material Adverse Effect.
Section 3.25    Centre of Main Interests and Establishments.  For the purposes of The Council of the European Union Regulation No. 1346/2000 on Insolvency Proceedings (the “Regulation”) (or, after June 26, 2017, Regulation (EU) 2015/848 of the European Parliament and of the Council of May 20, 2015 on insolvency proceedings (recast) (the “New Regulation”)), (i) the centre of main interest 

    
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(as that term is used in Article 3(1) of the Regulation) of each U.K. Guarantor is situated in England and Wales, (ii) the centre of main interest of Irish Guarantor is situated in Ireland or Germany, and it has no “establishment” (as that term is used in Article 2(h) of the Regulation or Article 2(10) of the New Regulation, as applicable) in any jurisdiction other than Ireland or Germany, (iii) the centre of main interest of each Swiss Guarantor is situated in Switzerland, and in each case each has no “establishment” (as that term is used in Article 2(h) of the Regulation or Article 2(10) of the New Regulation, as applicable) in any other jurisdiction, (iv) the centre of main interest of German Seller is situated in Germany, (v) the centre of main interest of each Dutch Guarantor is situated in the Netherlands, and in each case each has no “establishment” (as that term is used in Article 2(h) of the Regulation) in any other jurisdiction, (vi) the centre of main interest of each French Guarantor is situated in France, and in each case each has no “establishment” (as that term is used in Article 2(h) of the Regulation or Article 2(10) of the New Regulation, as applicable) in any other jurisdiction, (vii) the centre of main interest of each Belgian Guarantor is situated in Belgium, and in each case each has no “establishment” (as such term is used in Article 2(h) of the regulation) in any other jurisdiction, and (viii) other than as provided in paragraph (ii) above, no Guarantor (to the extent such Guarantor is subject to the Regulation) shall have a centre of main interest other than as situated in its jurisdiction of incorporation.
Section 3.26    Holding and Dormant Companies.  Except as may arise under the Loan Documents, the Revolving Credit Loan Documents, any Third Lien Credit Agreement, any Permitted Holdings Indebtedness, (in the case of Novelis Europe Holdings Limited) the Senior Notes, any Permitted First Priority Refinancing Debt, any Permitted Second Priority Refinancing Debt, any Permitted Unsecured Refinancing Debt, the Permitted Short Term Indebtedness, or Indebtedness incurred pursuant to Section 6.01(l) or (u), neither Holdings nor Novelis Europe Holdings Limited trades or has any liabilities or commitments (actual or contingent, present or future) other than liabilities attributable or incidental to acting as a holding company of shares in the Equity Interests of its Subsidiaries.
Section 3.27    Excluded Collateral Subsidiaries.  The Excluded Collateral Subsidiaries as of the Effective Date are listed on Schedule 1.01(c).  
Section 3.28    EEA Financial Institutions.  No Loan Party is an EEA Financial Institution.
Section 3.29    Federal Power Act; Etc.  No Loan Party nor any of its Subsidiaries is subject to regulation under the Federal Power Act, the Interstate Commerce Act or, to the knowledge of such Loan Party, under any other federal or state statute or regulation, in each case, to the extent such regulation would prohibit it from incurring the Obligations or which would otherwise render all or any of the Obligations unenforceable.
Section 3.30    Beneficial Ownership Certification.  As of the Second Amendment Effective Date, the information included in the Beneficial Ownership Certification, if applicable, is true and correct in all respects.
Section 3.31    No Fiscal Unity. No Company is a member of a fiscal unity for VAT, corporate income tax or any other tax purposes, except for a fiscal unity for VAT or corporate income tax purposes consisting solely of Loan Parties.

    
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ARTICLE IV 
 
CONDITIONS TO CREDIT EXTENSIONS
Section 4.01    Conditions to the Effective Date.  The effectiveness of this Agreement shall be subject to the prior or concurrent satisfaction of each of the conditions precedent set forth in this Section 4.01.
(a)    Credit Agreement; Certain Foreign Guarantees. The Administrative Agent shall have received executed counterparts of (i) this Agreement, properly executed by an authorized signatory of each applicable signing Loan Party, and (ii) Foreign Guarantees from the Loan Parties organized under the laws of Canada, France, Switzerland, and the Dubai International Financial Centre, properly executed by an authorized signatory of each such signing Loan Party, in the case of clauses (i) and (ii), in form and substance reasonably satisfactory to the Administrative Agent and each of the Lenders.
(b)    Initial Borrowing Request. The Administrative Agent shall have received a Borrowing Request as required by Section 2.03.
(c)    Corporate Documents.  The Administrative Agent shall have received:
(i)    a certificate of the secretary, assistant secretary or managing director (where applicable) of each Loan Party dated the Effective Date, certifying (A) that attached thereto is a true and complete copy of each Organizational Document (or its equivalent including the constitutional documents) of such Loan Party certified (to the extent customary in the applicable jurisdiction) as of a recent date by the Secretary of State (or equivalent Governmental Authority) of the jurisdiction of its organization, (B) that attached thereto is a true and complete copy of resolutions duly adopted by the Board of Directors and/or shareholders, as applicable, of such Loan Party authorizing the execution, delivery and performance of the Loan Documents to which such person is a party and, in the case of the Borrower, the borrowings hereunder, and that such resolutions, or any other document attached thereto, have not been modified, rescinded, amended or superseded and are in full force and effect, (C) as to the incumbency and specimen signature of each officer executing any Loan Document or any other document delivered in connection herewith on behalf of such Loan Party (together with a certificate of another officer as to the incumbency and specimen signature of the secretary, assistant secretary or managing director executing the certificate in this clause (i) (to the extent customary in the applicable jurisdiction), and other customary evidence of incumbency) and (D) that the borrowing, guarantee, or granting of Liens with respect to the Loans or any of the other Secured Obligations would not cause any borrowing, guarantee, security or similar limit binding on such Loan Party to be exceeded;
(ii)    a certificate as to the good standing (where applicable, or such other customary functionally equivalent certificates or abstracts) of each Loan Party (in so-called “long-form” if available) as of a recent date, from such Secretary of State (or other applicable Governmental Authority);

    
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(iii)    evidence that the records of the applicable Loan Parties at the United Kingdom Companies House and each other relevant registrar of companies (or equivalent Governmental Authority) in the respective jurisdictions of organization of the Loan Parties are accurate, complete and up to date and that the latest relevant accounts have been duly filed, where applicable;
(iv)    a copy of the constitutional documents of any Person incorporated in Ireland whose shares are (or, pursuant to Section 4.02 or Section 5.15, will be) subject to security under any Security Document, together with any resolutions of the shareholders of such Person adopting such changes to the constitutional documents of that Person to remove any restriction on any transfer of shares or partnership interests (or equivalent) in such Person pursuant to any enforcement of any such Security Document;
(v)    [intentionally omitted];
(vi)    a written resolution of the shareholders of each Irish Guarantor authorising and approving the terms of, and the performance by each such Irish Guarantor of its obligations under, each of the Loan Documents to which each such Irish Guarantor is to be a party;
(vii)    up-to date certified copy of the constitutional documents  (e.g., for a German GmbH: Handelsregisterauszug, Gesellschaftsvertrag, Gesellschafterliste) for each German Guarantor; and
(viii)    such other documents as the Lenders or the Administrative Agent may reasonably request.
(d)    Officers’ Certificate.  The Administrative Agent shall have received a certificate, dated the Effective Date and signed by an authorized signatory of the Borrower, certifying (i) compliance with the conditions precedent set forth in this Section 4.01 and Section 4.03(b) and (c), (ii) that no Default has occurred and is continuing and (iii) that each of the representations and warranties made by any Loan Party set forth in ARTICLE III hereof or in any other Loan Document were true and correct in all material respects on and as of the Effective Date, except to the extent such representations and warranties expressly related to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects as of such earlier date.
(e)    Financial Statements; Pro Forma Balance Sheet; Projections.  The Administrative Agent shall have received the financial statements described in Section 3.04(a) and for any prior fiscal years or fiscal quarters requested by the Mandated Lead Arrangers, and the pro forma capitalization table described in Section 3.04(c), together with forecasts of the financial performance of the Companies described in Section 3.04(d).
(f)    Opinions of Counsel.  The Administrative Agent shall have received, on behalf of itself, the Mandated Lead Arrangers and the Lenders, (i) a favorable written opinion of Torys LLP, special counsel for the Loan Parties, and (ii) a favorable written opinion of each local and foreign counsel of 

    
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the Loan Parties from each jurisdiction in which a Loan Party is organized, in each case (A) dated the Effective Date, (B) addressed to the Agents and the Lenders and (C) covering such matters relating to the Loan Documents delivered on the Effective Date as the Administrative Agent shall reasonably request, including, but not limited to, capacity of each Loan Party to execute, deliver and perform its obligations under each such Loan Document to which it is a party and enforceability of each such Loan Document.
(g)    Solvency Certificate.  The Administrative Agent shall have received a solvency certificate in the form of Exhibit O (or in such other form as is satisfactory to the Administrative Agent to reflect applicable legal requirements), dated the Effective Date and signed by a senior Financial Officer of each Loan Party or of the Borrower.
(h)    Requirements of Law.  The Administrative Agent shall be satisfied that Holdings, the Borrower and its Subsidiaries shall be in full compliance with all material Requirements of Law, including Regulations T, U and X of the Board, and shall have received satisfactory evidence of such compliance reasonably requested by them.
(i)    Consents.  All approvals of Governmental Authorities and third parties necessary to enter into this Agreement shall have been obtained and shall be in full force and effect. 
(j)    Litigation.  There shall be no governmental or judicial action, actual or threatened, that has or would have, singly or in the aggregate, a reasonable likelihood of restraining, preventing or imposing burdensome conditions on the Transactions.
(k)    USA Patriot Act.  The Lenders shall have received, at least 5 Business Days prior to the Closing Date, all documentation and other information that may be required by the Lenders in order to enable compliance with applicable “know your customer” and anti-money laundering rules and regulations, including the Patriot Act and the information described in Section 11.13, in each case to the extent requested thereby at least 10 Business Days prior to the Closing Date.
(l)    Process Agent.  The Administrative Agent and the Collateral Agent shall have received evidence of the acceptance by the Process Agent of its appointment as such by the Loan Parties.

Section 4.02    Conditions to Initial Credit Extension on the Closing Date. The obligation of each Lender to fund the initial Credit Extension requested to be made by it under this Agreement on the Closing Date shall be subject to the prior or concurrent satisfaction of each of the conditions precedent set forth in this Section 4.02.
(a)    The Agreement Termination Date shall not have occurred.
(b)    Loan Documents. The Administrative Agent shall have received executed counterparts of each of the following, properly executed by an authorized signatory of each applicable signing Loan Party, each in form and substance reasonably satisfactory to the Administrative Agent and each of the Lenders:

    
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(i)    Each Foreign Guarantee (other than the Foreign Guarantees delivered on the Effective Date);
(ii)    an Additional Secured Debt (as defined in the Intercreditor Agreement) designation certificate;
(iii)    the Contribution, Intercompany, Contracting and Offset Agreement;
(iv)    the Subordination Agreement;
(v)    a Note executed by the Borrower in favor of each Lender that has requested a Note prior to the Closing Date; 
(vi)    each U.S. Security Agreement, each Canadian Security Agreement, each U.K. Security Agreement, each Swiss Security Agreement, each German Security Agreement, each Irish Security Agreement, each Brazilian Security Agreement, each Dubai Security Agreement, each French Security Agreement, and each other Security Document reasonably requested by the Administrative Agent prior to the Closing Date; 
(vii)    the Perfection Certificates; and
(viii)    such amendments to, amendments and restatements of, or confirmations or reaffirmations of, or supplements to, existing Security Documents or other Loan Documents, and such additional Security Document, Loan Documents or other filings or actions, in each case as the Administrative Agent or the Collateral Agent may require in connection with the Transactions.
(c)    Corporate Documents.  The Administrative Agent shall have received:
(i)    a certificate of the secretary, assistant secretary or managing director (where applicable) of each Loan Party dated the Closing Date, certifying (A) that attached thereto is a true and complete copy of each Organizational Document (or its equivalent including the constitutional documents) of such Loan Party certified (to the extent customary in the applicable jurisdiction) as of a recent date by the Secretary of State (or equivalent Governmental Authority) of the jurisdiction of its organization, (B) that attached thereto is a true and complete copy of resolutions duly adopted by the Board of Directors and/or shareholders, as applicable, of such Loan Party authorizing the execution, delivery and performance of the Loan Documents to which such person is a party and, in the case of the Borrower, the borrowings hereunder, and that such resolutions, or any other document attached thereto, have not been modified, rescinded, amended or superseded and are in full force and effect, (C) as to the incumbency and specimen signature of each officer executing any Loan Document or any other document delivered in connection herewith on behalf of 

    
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such Loan Party (together with a certificate of another officer as to the incumbency and specimen signature of the secretary, assistant secretary or managing director executing the certificate in this clause (i) (to the extent customary in the applicable jurisdiction), and other customary evidence of incumbency) and (D) that the borrowing, guarantee, or granting of Liens with respect to the Loans or any of the other Secured Obligations would not cause any borrowing, guarantee, security or similar limit binding on any Loan Party to be exceeded;
(ii)    a certificate as to the good standing (where applicable, or such other customary functionally equivalent certificates or abstracts) of each Loan Party (in so-called “long-form” if available) as of a recent date, from such Secretary of State (or other applicable Governmental Authority);
(iii)    evidence that the records of the applicable Loan Parties at the United Kingdom Companies House and each other relevant registrar of companies (or equivalent Governmental Authority) in the respective jurisdictions of organization of the Loan Parties are accurate, complete and up to date and that the latest relevant accounts have been duly filed, where applicable;
(iv)    a copy of the constitutional documents of any Person incorporated in Ireland whose shares are (or, pursuant to Section 5.15, will be) subject to security under any Security Document, together with any resolutions of the shareholders of such Person adopting such changes to the constitutional documents of that Person to remove any restriction on any transfer of shares or partnership interests (or equivalent) in such Person pursuant to any enforcement of any such Security Document;
(v)    a written authorization from each Irish Guarantor and each Relevant External Company, authorizing each solicitor in McCann FitzGerald to sign all required security related registration forms required to be delivered to the Companies Registration Office of Ireland in connection with all or any of the Security Documents;
(vi)    a written resolution of the shareholders of each Irish Guarantor authorising and approving the terms of, and the performance by each such Irish Guarantor of its obligations under, each of the Loan Documents to which each such Irish Guarantor is to be a party;
(vii)    up-to date certified copy of the constitutional documents  (e.g., for a German GmbH: Handelsregisterauszug, Gesellschaftsvertrag, Gesellschafterliste) for each German Guarantor; and
(viii)    such other documents as the Lenders or the Administrative Agent may reasonably request.

    
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(d)    Officers’ Certificate.  The Administrative Agent shall have received a certificate, dated the Closing Date and signed by an authorized signatory of the Borrower, certifying (i) compliance with the conditions precedent set forth in this Section 4.02 and Section 4.03(b) and (c), (ii) that no Default has occurred and is continuing and (iii) that each of the representations and warranties made by any Loan Party set forth in ARTICLE III hereof or in any other Loan Document were true and correct in all material respects on and as of the Closing Date, except to the extent such representations and warranties expressly related to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects as of such earlier date.
(e)    Financings and Other Transactions, etc. The Transactions shall have been consummated or shall be consummated substantially simultaneously on the Closing Date, in each case in all material respects in accordance with the terms hereof and the terms of the Loan Documents, without the waiver or amendment of any such terms not approved by the Administrative Agent and the Mandated Lead Arrangers other than any waiver or amendment thereof that is not materially adverse to the interests of the Lenders.
(f)    Indebtedness and Minority Interests.  After giving effect to the Transactions and the other transactions contemplated hereby, no Company shall have outstanding any Indebtedness or preferred stock other than (i) the Loans hereunder, (ii) the Revolving Credit Loans and other extensions of credit under the Revolving Credit Agreement, (iii) the Senior Notes, (iv) the Indebtedness listed on Schedule 6.01(b), (v) Indebtedness owed to, and preferred stock held by, the Borrower or any Guarantor to the extent permitted hereunder and (vi) other Indebtedness permitted under Section 6.01.
(g)    Opinions of Counsel.  The Administrative Agent shall have received, on behalf of itself, the Mandated Lead Arrangers and the Lenders, (i) a favorable written opinion of Torys LLP, special counsel for the Loan Parties, and (ii) a favorable written opinion of each local and foreign counsel of the Loan Parties listed on Schedule 4.02(g), in each case (A) dated the Closing Date, (B) addressed to the Agents and the Lenders and (C) covering such matters relating to the Loan Documents and the Transactions as the Administrative Agent shall reasonably request, including, but not limited to, capacity of each Loan Party to execute, deliver and perform its obligations under each Loan Document to which it is a party and enforceability of each Loan Document. 
(h)    Solvency Certificate.  The Administrative Agent shall have received a solvency certificate in the form of Exhibit O (or in such other form as is satisfactory to the Administrative Agent to reflect applicable legal requirements), dated the Closing Date and signed by a senior Financial Officer of each Loan Party or of the Borrower.
(i)    Requirements of Law.  The Administrative Agent shall be satisfied that Holdings, the Borrower and its Subsidiaries and the Transactions shall be in full compliance with all material Requirements of Law, including Regulations T, U and X of the Board, and shall have received satisfactory evidence of such compliance reasonably requested by them.
(j)    Consents.  All approvals of Governmental Authorities and third parties necessary to consummate the Transactions shall have been obtained and shall be in full force and effect. 

    
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(k)    Litigation.  There shall be no governmental or judicial action, actual or threatened, that has or would have, singly or in the aggregate, a reasonable likelihood of restraining, preventing or imposing burdensome conditions on the Transactions.
(l)    Fees.  The Mandated Lead Arrangers and the Agents shall have received all Fees and other amounts due and payable on or prior to the Closing Date, including, to the extent invoiced, reimbursement or payment of all reasonable out-of-pocket expenses (including the reasonable legal fees and expenses of Skadden, Arps, Slate, Meagher & Flom LLP, special counsel to the Agents, and the reasonable fees and expenses of any local counsel, foreign counsel, appraisers, consultants and other advisors) required to be reimbursed or paid by any Loan Party hereunder or under any other Loan Document.
(m)    Personal Property Requirements.  The Collateral Agent shall have received:
(i)    subject to the terms of the Intercreditor Agreement, all certificates, agreements or instruments, if any, representing or evidencing the Securities Collateral accompanied by instruments of transfer and stock powers undated and endorsed in blank;
(ii)    [intentionally omitted];
(iii)    [intentionally omitted];
(iv)    UCC financing statements in appropriate form for filing under the UCC, filings with the United States Patent and Trademark Office and United States Copyright Office, PPSA filings, and such other documents under applicable Requirements of Law in each jurisdiction as may be necessary or appropriate or, in the opinion of the Collateral Agent, desirable to perfect the Liens created, or purported to be created, by the Security Documents;
(v)    certified copies of UCC, United States Patent and Trademark Office and United States Copyright Office, PPSA,  tax and judgment lien searches, bankruptcy and pending lawsuit searches or equivalent reports or searches (in jurisdictions where such searches are available), each of a recent date listing all outstanding financing statements, lien notices or comparable documents that name any Loan Party as debtor and that are filed in those state and county (or other applicable) jurisdictions in which any property of any Loan Party (other than Inventory in transit) is located and the state and county (or other applicable) jurisdictions in which any Loan Party is organized or maintains its principal place of business and such other searches that the Collateral Agent deems necessary or appropriate, none of which are effective to encumber the Collateral covered or intended to be covered by the Security Documents (other than Permitted Liens); 
(vi)    evidence acceptable to the Collateral Agent of payment or arrangements for payment by the Loan Parties of all applicable recording taxes, 

    
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fees, charges, costs and expenses required for the recording of the Security Documents;
(vii)    evidence that all Liens (other than Permitted Liens) affecting the assets of the Loan Parties have been or will be discharged on or before the Closing Date (or, in the case of financing statement filings or similar notice of lien filings that do not evidence security interests (other than security interests that are discharged on or before the Closing Date), that arrangements with respect to the release or termination thereof satisfactory to the Administrative Agent have been made);
(viii)    copies of all notices required to be sent and other documents required to be executed under the Security Documents;
(ix)    all share certificates, duly executed and stamped stock transfer forms and other documents of title required to be provided under the Security Documents; and
(x)    evidence that the records of each U.K. Guarantor at the United Kingdom Companies House are accurate, complete and up to date and that the latest relevant accounts have been duly filed.
(n)    Lender FATCA Compliance Certifications.  The Administrative Agent shall have received a U.S. tax withholding certificate (or, alternatively, other evidence satisfactory to the Administrative Agent) confirming FATCA compliance from each Lender pursuant to paragraph (v) of Section 2.15(f) (FATCA Information). For the avoidance of doubt, and pursuant to paragraph (viii) of Section 2.15(f) (FATCA Information), the Administrative Agent may rely on such U.S. tax withholding certificate or other evidence from each Lender without further verification, and the Administrative Agent shall not be liable for any action taken by it in respect of such U.S. tax withholding certificate or other evidence under or in connection with paragraph (v), (vi) or (vii) of Section 2.15(f) (FATCA Information).
Notwithstanding the foregoing, to the extent that the execution and delivery of any document or the completion of any task or action is listed on Schedule 5.15, such item shall not be a condition precedent and shall instead be subject to Section 5.15.
Section 4.03    Conditions to Credit Extensions.  The obligation of each Lender to make the initial Credit Extension on the Closing Date, and, except as otherwise provided in the applicable Refinancing Amendment, Increase Joinder or Aleris Increase Joinder Agreement, the obligation of any Lenders to make the initial Credit Extension under any Incremental Term Loan Commitments or Other Term Loan Commitments, shall be subject to, and to the satisfaction of, each of the conditions precedent set forth below.
(a)    Notice.  The Administrative Agent shall have received a Borrowing Request as required by Section 2.03 (or such notice shall have been deemed given in accordance with Section 2.03).

    
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(b)    No Default.  No Default shall exist, or would result from such proposed Credit Extension or from the application of the proceeds therefrom.
(c)    Representations and Warranties.  Each of the representations and warranties made by any Loan Party set forth in ARTICLE III hereof or in any other Loan Document (other than Hedging Agreements) shall be true and correct in all material respects on and as of the date of such Credit Extension with the same effect as though made on and as of such date, except to the extent such representations and warranties expressly relate to an earlier date, in which case such representation and warranty shall have been true and correct in all material respects as of such earlier date.
(d)    No Legal Bar.  With respect to each Lender, no order, judgment or decree of any Governmental Authority shall purport to restrain such Lender from making any Loans to be made by it.  No injunction or other restraining order shall have been issued, shall be pending or noticed with respect to any action, suit or proceeding seeking to enjoin or otherwise prevent the consummation of, or to recover any damages or obtain relief as a result of, the transactions contemplated by this Agreement or the making of Loans hereunder.
Each of the delivery of a Borrowing Request and the acceptance by the applicable Co-Borrower of the proceeds of such Credit Extension shall constitute a representation and warranty by the applicable Co-Borrower and each other Loan Party 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 conditions contained in Section 4.03(b) through (d) have been satisfied (which representation and warranty shall be deemed limited to the knowledge of the Loan Parties in the case of the first sentence of Section 4.03(d)).  The Co-Borrowers shall provide such information as the Administrative Agent may reasonably request to confirm that the conditions in Section 4.03(b) through (d) have been satisfied.
Section 4.04    Conditions to Aleris Incremental Term Loans. The obligation of each Aleris Incremental Term Lender to make the Aleris Incremental Term Loans on the Aleris Incremental Funding Date shall be subject to, and to the satisfaction of, each of the conditions precedent set forth in Section 5 of the Aleris Increase Joinder Amendment.
ARTICLE V 
 
AFFIRMATIVE COVENANTS
Each Loan Party warrants, covenants and agrees with each Lender that, from and after the Closing Date, so long as this Agreement shall remain in effect and until the Commitments have been terminated and the principal of and interest on each Loan, all Fees and all other expenses or amounts payable under any Loan Document shall have been paid in full, unless the Required Lenders shall otherwise consent in writing, each Loan Party will, and will cause each of its Restricted Subsidiaries to:
Section 5.01    Financial Statements, Reports, etc.  Furnish to the Administrative Agent (and the Administrative Agent shall make available to the Lenders, on the Platform or otherwise, in accordance with its customary procedures):

    
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(a)    Annual Reports.  As soon as available and in any event within the earlier of (i) ninety (90) days and (ii) such shorter period as may be required by the Securities and Exchange Commission (including, if applicable, any extension permitted under Rule 12b-25 of the Exchange Act), after the end of each fiscal year (and in any case not less than one time in each calendar year), beginning with the first fiscal year ending after the Closing Date, (i) the consolidated balance sheet of the Designated Company as of the end of such fiscal year and related consolidated statements of income, cash flows and stockholders’ equity for such fiscal year, in comparative form with such financial statements as of the end of, and for, the preceding fiscal year, and notes thereto, all prepared in accordance with Regulation S-X and accompanied by an opinion of independent certified public accountants of recognized international standing (which opinion shall not be qualified as to scope or contain any going concern qualification, paragraph of emphasis or explanatory statement), stating that such financial statements fairly present, in all material respects, the consolidated financial condition, results of operations and cash flows of the Designated Company as of the dates and for the periods specified in accordance with US GAAP, (ii) a narrative report and management’s discussion and analysis, in a form reasonably satisfactory to the Administrative Agent, of the financial condition and results of operations of the Designated Company for such fiscal year, as compared to amounts for the previous fiscal year (it being understood that the information required by clauses (i) and (ii) of this Section 5.01(a) may be furnished in the form of a Form 10-K (so long as the financial statements, narrative report and management’s discussion therein comply with the requirements set forth above)) and (iii) consolidating balance sheets, statements of income and cash flows of the Designated Company and its Restricted Subsidiaries separating out the results by region;
(b)    Quarterly Reports.  As soon as available and in any event within the earlier of (i) forty-five (45) days and (ii) such shorter period as may be required by the Securities and Exchange Commission (including, if applicable, any extension permitted under Rule 12b-25 of the Exchange Act), after the end of each of the first three fiscal quarters of each fiscal year (i) the consolidated balance sheet of the Designated Company as of the end of such fiscal quarter and related consolidated statements of income and cash flows for such fiscal quarter and for the then elapsed portion of the fiscal year, in comparative form with the consolidated statements of income and cash flows for the comparable periods in the previous fiscal year, and notes thereto, all prepared in accordance with Regulation S-X under the Securities Act and accompanied by a certificate of a Financial Officer stating that such financial statements fairly present, in all material respects, the consolidated financial condition, results of operations and cash flows of the Designated Company as of the date and for the periods specified in accordance with US GAAP consistently applied, and on a basis consistent with audited financial statements referred to in clause (a) of this Section, except as otherwise disclosed therein and subject to the absence of footnote disclosures and to normal year-end audit adjustments, (ii) a narrative report and management’s discussion and analysis, in a form reasonably satisfactory to the Administrative Agent, of the financial condition and results of operations for such fiscal quarter and the then elapsed portion of the fiscal year, as compared to the comparable periods in the previous fiscal year (it being understood that the information required by clauses (i) and (ii) of this Section 5.01(b) may be furnished in the form of a Form 10-Q (so long as the financial statements, management report and management’s discussion therein comply with the requirements set forth above)) and (iii) consolidating balance sheets, statements of income and cash flows of the Designated Company and its Restricted Subsidiaries separating out the results by region;

    
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(c)    [Intentionally Omitted];
(d)    Financial Officer’s Certificate.  (i) Concurrently with any delivery of financial statements under Section 5.01(a) or (b), a Compliance Certificate of the Designated Company (which delivery may, unless the Administrative Agent or a Lender requests executed originals, be by electronic communication including fax or email and shall be deemed to be an original authentic counterpart thereof for all purposes) (A) certifying that no Default has occurred or, if such a Default has occurred, specifying the nature and extent thereof and any corrective action taken or proposed to be taken with respect thereto, (B) concurrently with any delivery of financial statements under Section 5.01(a) above (commencing with the financial statements for the first complete fiscal year of the Designated Company beginning after the Closing Date), setting forth the Designated Company’s calculation of Excess Cash Flow, (C) showing a reconciliation of Consolidated EBITDA to the net income set forth on the statement of income, such reconciliation to be on a quarterly basis, (D) calculating in reasonable detail the Consolidated Interest Coverage Ratio and the Senior Secured Net Leverage Ratio for the four fiscal quarter period ended on the last day of the period covered by such financial statements, and certifying as to the Designated Company’s compliance (or failure to comply) with the Financial Performance Covenant for the four fiscal quarter period ended on the last day of the period covered by such financial statements, and, if such Compliance Certificate demonstrates an Event of Default of the Financial Performance Covenant, any of the Specified Holders may deliver, together with such Compliance Certificate, notice of their intent to cure (a “Notice of Intent to Cure”) such Event of Default pursuant to, and to the extent permitted under, Section 8.04; provided that the delivery of a Notice of Intent to Cure shall in no way affect or alter the occurrence, existence or continuation of any such Event of Default or the rights, benefits, powers and remedies of the Administrative Agent and the Lenders under any Loan Document, and (E)(x) specifying all Investments made during the prior fiscal quarter in reliance on Section 6.04(r) and specifying which clause of Section 6.04(r) such Investment was made pursuant to and calculating in reasonable detail the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the amount thereof elected to be so applied, the Total Net Leverage Ratio and, in the case of Investments made pursuant to Section 6.04(r)(iii), the amount of Liquidity, (y) specifying all Dividends made during the prior fiscal quarter in reliance on Section 6.08(d) and specifying which clause of Section 6.08(d) such Dividend was made pursuant to and calculating in reasonable detail the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the amount thereof elected to be so applied, the Total Net Leverage Ratio and, in the case of Dividends made pursuant to Section 6.08(d)(ii), the amount of Liquidity, and (z) specifying all Permitted Prepayments made during the prior fiscal quarter in reliance on Section 6.11(a) and specifying which clause of Section 6.11(a) such Permitted Prepayment was made pursuant to and calculating in reasonable detail the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the amount thereof elected to be so applied, the Total Net Leverage Ratio and, in the case of a Permitted Prepayment made pursuant to Section 6.11(a)(i)(z)(2), the amount of Liquidity, and (ii) to the extent any Unrestricted Subsidiaries are in existence during the period covered by such financial statements, consolidating balance sheets, statements of income and cash flows separating out the results of the Designated Company and its Restricted Subsidiaries, on the one hand, and the Unrestricted Subsidiaries, on the other;
(e)    Officer’s Certificate Regarding Organizational Chart and Perfection of Collateral.  Concurrently with any delivery of financial statements under Section 5.01(a), a certificate of a 

    
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Responsible Officer of the Designated Company (which delivery may, unless the Administrative Agent or a Lender requests executed originals, be by electronic communication including fax or email and shall be deemed to be an original authentic counterpart thereof for all purposes) attaching an accurate organizational chart (or confirming that there has been no change in organizational structure) and otherwise setting forth the information required pursuant to the Perfection Certificate Supplement or confirming that there has been no change in such information since the date of the Perfection Certificate or latest Perfection Certificate Supplement;
(f)    Public Reports.  Promptly after the same become publicly available, copies of all periodic and other reports, proxy statements and other materials filed by any Loan Party with the Securities and Exchange Commission, or any Governmental Authority succeeding to any or all of the functions of said Commission, with any national U.S. or non-U.S. securities regulatory authority or securities exchange or with the National Association of Securities Dealers, Inc., or distributed to holders of its publicly held Indebtedness or securities pursuant to the terms of the documentation governing such Indebtedness or securities (or any trustee, agent or other representative therefor), as the case may be; provided that documents required to be delivered pursuant to this clause (f) may be delivered electronically and if so delivered, shall be deemed to have been delivered on the date (i) on which the Designated Company posts such documents, or provides a link thereto on the Designated Company’s website (or other location specified by the Designated Company) on the Internet; or (ii) on which such documents are posted on the Designated Company’s behalf on the Platform; provided that: (i) upon written request by the Administrative Agent, the Designated Company shall deliver paper copies of such documents to the Administrative Agent for further distribution to each Lender until a written request to cease delivering paper copies is given by the Administrative Agent and (ii) the Designated Company shall notify (which may be by facsimile or electronic mail) the Administrative Agent of the posting of any such documents and provide to the Administrative Agent by electronic mail electronic versions (i.e., soft copies) of such documents;  
(g)    Management Letters.  Promptly after the receipt thereof by any Company, a copy of any “management letter”, exception report or other similar letter or report received by any such person from its certified public accountants and the management’s responses thereto;
(h)    Projections.  Within sixty (60) days of the end of each fiscal year (beginning with the fiscal year ended March 31, 2017), a copy of the annual projections for the Designated Company (including balance sheets, statements of income and sources and uses of cash), for each quarter of the then-current fiscal year prepared in detail on a consolidated basis, with appropriate presentation and discussion of the principal assumptions upon which such forecasts are based, accompanied by the statement of a Financial Officer of the Designated Company to the effect that such assumptions are believed to be reasonable;
(i)    Labor Relations.  Promptly after becoming aware of the same, written notice of (a) any labor dispute to which any Loan Party or any of its Restricted Subsidiaries is or is expected to become a party, including any strikes, lockouts or other labor disputes relating to any of such person’s plants and other facilities, which could reasonably be expected to result in a Material Adverse Effect, (b) any Worker Adjustment and Retraining Notification Act or related liability incurred with respect to the closing of any plant or other facility of any such person and (c) any material liability under Requirements 

    
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of Law similar to the Worker Adjustment and Retraining Notification Act or otherwise arising out of plant closings;
(j)    Asset Sales.  On or prior to an Asset Sale pursuant to Section 6.06(b) hereof the Net Cash Proceeds of which (or the Dollar Equivalent thereof) are anticipated to exceed $100,000,000, written notice (a) describing such Asset Sale or the nature and material terms and conditions of such transaction and (b) stating the estimated Net Cash Proceeds anticipated to be received by any Loan Party or any of its Restricted Subsidiaries; and
(k)    Other Information.  Promptly, from time to time, such other information regarding the operations, properties, business affairs and condition (financial or otherwise) of any Company, or compliance with the terms of any Loan Document, or matters regarding the Collateral as the Administrative Agent or any Lender (acting through the Administrative Agent) may reasonably request, including, but not limited to, all documentation and other information that may be required from time to time by the Lenders or the Administrative Agent in order to enable compliance with applicable “know your customer” and anti-money laundering rules and regulations, including the Patriot Act and the information described in Section 11.13.
(l)    Beneficial Ownership Information. Promptly following any request therefor, provide information and documentation reasonably requested by any Agent or any Lender for purposes of compliance with applicable “know your customer” and anti-money-laundering rules and regulations, including, without limitation, the Patriot Act and the Beneficial Ownership Regulation.
Section 5.02    Litigation and Other Notices.  Furnish to the Administrative Agent written notice of the following promptly (and, in any event, within ten (10) Business Days after  acquiring knowledge thereof, or, in the case of an Event of Default under Section 8.01(a), on the Business Day that a Loan Party acquires knowledge thereof):
(a)    any Default, specifying the nature and extent thereof and the corrective action (if any) taken or proposed to be taken with respect thereto;
(b)    the filing or commencement of, or any written notice of intention of any person to file or commence, any action, suit, litigation or proceeding, whether at law or in equity by or before any Governmental Authority, (i) against the Designated Company or other Company that in the reasonable judgment of the Designated Company could reasonably be expected to result in a Material Adverse Effect if adversely determined or (ii) with respect to any Loan Document;
(c)    any development that has resulted in, or could reasonably be expected to result in, a Material Adverse Effect;
(d)    the occurrence of a Casualty Event involving a Dollar Equivalent amount in excess of $50,000,000; and
(e)     (i) the incurrence of any Lien (other than Permitted Liens) on the Collateral or (ii) the occurrence of any other event which could reasonably be expected to be material with regard to (x) 

    
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the Revolving Credit Priority Collateral, taken as a whole, or (y) the Pari Passu Priority Collateral, taken as a whole.
Section 5.03    Existence; Businesses and Properties.  
(a)    Do or cause to be done all things reasonably necessary to preserve, renew and keep in full force and effect its legal existence, rights and franchises necessary or desirable in the normal conduct of its business, except (i) other than with respect to each Co-Borrower’s legal existence, to the extent the failure to do so would not reasonably be expected to have a Material Adverse Effect or (ii) pursuant to a transaction permitted by Section 6.05 or Section 6.06.
(b)    Do or cause to be done all things reasonably necessary to obtain, maintain, preserve, renew, extend and keep in full force and effect the rights, licenses, permits, privileges, franchises, approvals, authorizations, and Intellectual Property used or necessary to the conduct of its business, except where the failure to do so could not reasonably be expected to result in a Material Adverse Effect; do or cause to be done all things reasonably necessary to preserve its business and the goodwill and business of the customers, advertisers, suppliers and others having business relations with each Loan Party or any of its Restricted Subsidiaries, except where the failure to do so could not reasonably be expected to result in a Material Adverse Effect; comply with all applicable Requirements of Law (including any and all zoning, building, Environmental Law, ordinance, code or approval or any building permits or any restrictions of record or agreements affecting the Real Property), contractual obligations, and decrees and orders of any Governmental Authority, whether now in effect or hereafter enacted, except where the failure to comply, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect; and at all times maintain, preserve and protect all of its property and keep such property in good repair, working order and condition (other than wear and tear occurring in the ordinary course of business) and from time to time make, or cause to be made, all needful and proper repairs, renewals, additions, improvements and replacements thereto reasonably necessary in order that the business carried on in connection therewith may be properly conducted at all times, except in each case where the failure to do so could not reasonably be expected to result in a Material Adverse Effect. Maintain in effect and enforce policies and procedures designed to ensure compliance by Holdings, the Designated Company, their respective Subsidiaries and their respective directors, officers, employees and agents with Anti-Corruption Laws and applicable Sanctions.
Section 5.04    Insurance.
(a)    Generally.  Keep its insurable property adequately insured at all times by financially sound and reputable insurers; maintain such other insurance, to such extent and against such risks as is customary with companies in the same or similar businesses operating in the same or similar locations, including insurance with respect to Mortgaged Properties and other properties material to the business of the Companies against such casualties and contingencies and of such types and in such amounts with such deductibles as is customary in the case of similar businesses operating in the same or similar locations, including (i) physical hazard insurance on an “all risk” basis (subject to usual and customary exclusions), (ii) commercial general liability against claims for bodily injury, death or property damage covering any and all insurable claims, (iii) explosion insurance in respect of any boilers, machinery or similar apparatus constituting Collateral, (iv) business interruption insurance and, with respect to Mortgaged Properties located in the United States or in any other jurisdiction requiring such insurance, 

    
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flood insurance (to the extent such flood insurance is required under clause (c) below), and (v) worker’s compensation insurance and such other insurance as may be required by any Requirement of Law; provided that the Collateral Agent shall be permitted to control the adjustment of any claim thereunder with respect to Pari Passu Priority Collateral involving an amount in excess of $30,000,000 thereunder after the occurrence and during the continuance of an Event of Default.  
(b)    Requirements of Insurance.  Subject to Section 5.15, all such property and liability insurance maintained by the Loan Parties shall (i) provide that no cancellation, material reduction in amount or material change in coverage thereof shall be effective until at least thirty (30) days after receipt by the Collateral Agent of written notice thereof, (ii) name the Collateral Agent as mortgagee, lender’s loss payable or additional insured, as applicable (in the case of property insurance) or additional insured on behalf of the Secured Parties (in the case of liability insurance), as applicable, and (iii) if reasonably requested by the Collateral Agent, include a breach of warranty clause.
(c)    Flood Insurance.  Subject to Section 5.15, except to the extent already obtained in accordance with clause (iv) of Section 5.04(a), with respect to each Mortgaged Property located in the United States or another jurisdiction which requires such type of insurance, obtain flood insurance in such total amount as is from time to time in scope and substance consistent with market practice and applicable Requirements of Law, if at any time the area in which any improvements located on any Mortgaged Property is designated a “flood hazard area” in any Flood Insurance Rate Map published by the Federal Emergency Management Agency (or any successor agency), and such insurance is required to be obtained pursuant to the requirements of the National Flood Insurance Act of 1968, as amended from time to time, or the Flood Disaster Protection Act of 1973, as amended from time to time.
(d)    Broker’s Report.  As soon as practicable and in any event within ninety (90) days after the end of each fiscal year, deliver to the Administrative Agent and the Collateral Agent (i) a report of a reputable insurance broker with respect to the insurance maintained pursuant to clauses (i)-(iv) of Section 5.04(a) in form and substance consistent with market practice (together with such additional reports (provided such reports are readily ascertainable) as the Administrative Agent or the Collateral Agent may reasonably request), and (ii) such broker’s statement that all premiums then due and payable with respect to the coverage maintained pursuant to clauses (i)-(iv) of Section 5.04(a) have been paid and confirming, with respect to any property, physical hazard or liability insurance maintained by a Loan Party, that, subject to Section 5.15, the Collateral Agent has been named as mortgagee, lender’s loss payable or additional insured, as applicable.
(e)    Mortgaged Properties.  Subject to Section 5.15, each Loan Party shall comply in all material respects with all Insurance Requirements in respect of each Mortgaged Property; provided, however, that each Loan Party may, at its own expense and after written notice to the Administrative Agent, (i) contest the applicability or enforceability of any such Insurance Requirements by appropriate legal proceedings, the prosecution of which does not constitute a basis for cancellation or revocation of any insurance coverage required under this Section 5.04 or (ii) cause the Insurance Policy containing any such Insurance Requirement to be replaced by a new policy complying with the provisions of this Section 5.04.
Section 5.05    Taxes.

    
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(a)    Payment of Taxes.  Pay and discharge promptly when due all material Taxes and governmental charges or levies imposed upon it or upon its income or profits or in respect of its property, before the same shall become delinquent or in default, as well as all lawful claims for labor, services, materials and supplies or otherwise that, if unpaid, might give rise to a Lien other than a Permitted Lien upon such properties or any part thereof; provided that such payment and discharge shall not be required with respect to any such Tax, charge, levy or claim so long as (x) the validity or amount thereof shall be contested in good faith by appropriate proceedings timely instituted and diligently conducted and the applicable Company shall have set aside on its books adequate reserves or other appropriate provisions with respect thereto in accordance with US GAAP (or other applicable accounting rules), and (y) such contest operates to suspend collection of the contested obligation, Tax or charge and enforcement of a Lien other than a Permitted Lien.
(b)    Filing of Tax Returns.  Timely file all material Tax Returns required by applicable Requirements of Law to be filed by it.
(c)    Aleris Co-Borrower Status.  Each Co-Borrower under the Aleris Incremental Term Loans shall be a domestic corporation as defined in Section 7701(a)(30)(C) of the Code (or a limited liability company that is disregarded as an entity separate from its owner for United States federal income tax purposes and wholly owned by a domestic corporation).
(d)    Indemnified Taxes.  To the extent any payment by or on account of any obligation of any Loan Party hereunder, or under any other Loan Document, in respect of the Aleris Incremental Term Loans becomes subject to any withholding Taxes other than U.S. federal withholding Taxes as a result of any action by any Co-Borrower after the Aleris Incremental Funding Date that shall cause such Co-Borrower under the Tax laws of any jurisdiction other than the United States (or any state of the United States or the District of Columbia or political subdivision thereof) to be a resident of or to have an establishment, office, fixed base or branch in such jurisdiction, such non-U.S. federal withholding Taxes shall be Indemnified Taxes and the Loan Parties shall indemnify each Lender for any such non-U.S. federal withholding Taxes in accordance with Section 2.15, but only to the extent that such non-U.S. federal withholding Taxes are not described in any of clauses (b)(i), (b)(iii) and (b)(iv) of the definition of Excluded Taxes.
Section 5.06    Employee Benefits.
(a)    Comply with the applicable provisions of ERISA and the Code and any Requirements of Law applicable to any Foreign Plan or Compensation Plan, except where any non-compliance could not reasonably be expected to result in a Material Adverse Effect.
(b)    Furnish to the Administrative Agent (x) as soon as possible after, and in any event within five (5) Business Days after any Responsible Officer of any Company or any ERISA Affiliates of any Company knows that, any ERISA Event has occurred, a statement of a Financial Officer of the Designated Company setting forth details as to such ERISA Event and the action, if any, that the Companies propose to take with respect thereto, and (y) upon request by the Administrative Agent, copies of such other documents or governmental reports or filings relating to any Plan (or Foreign Plan, or other employee benefit plan sponsored or contributed to by any Company) as the Administrative Agent shall reasonably request.

    
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(c)    (i) Ensure that the Novelis U.K. Pension Plan is funded in accordance with the agreed schedule of contributions dated May 16, 2007 and that no action or omission is taken by any Company in relation to such a pension scheme which has or is reasonably likely to have a Material Adverse Effect; (ii) except for any existing defined benefit pension schemes as specified on Schedule 3.17 ensure that no Company is or has been at any time an employer (for the purposes of Sections 38 to 51 of the Pensions Act 2004) of an occupational pension scheme which is not a money purchase scheme (both terms as defined in the Pension Schemes Act 1993) or “connected” with or an “associate” of (as those terms are defined in Sections 39 or 43 of the Pensions Act 2004) such an employer; (iii) deliver to the Administrative Agent upon request as those reports are prepared in order to comply with the then current statutory or auditing requirements (as applicable either to the trustees of any relevant schemes), actuarial reports in relation to all pension schemes mentioned in clause (i) above; (iv) promptly notify the Administrative Agent of any material change in the agreed rate of contributions to any pension schemes mentioned in clause (i) above; (v) promptly notify the Administrative Agent of any investigation or proposed investigation by the Pensions Regulator which may lead to the issue of a Financial Support Direction or a Contribution Notice to any member of the Group; and (vi) promptly notify the Administrative Agent if it receives a Financial Support Direction or a Contribution Notice from the Pensions Regulator.
(d)    Ensure that all Foreign Plans (except the Novelis U.K. Pension Plan) and Compensation Plans that are required to be funded are funded and contributed to in accordance with their terms to the extent of all Requirements of Law, except where any non-compliance could not reasonably be expected to result in a Material Adverse Effect.
Section 5.07    Maintaining Records; Access to Properties and Inspections; Annual Meetings.  Keep proper books of record and account in which full, true and correct entries in conformity in all material respects with GAAP (or other applicable accounting standards) and all Requirements of Law of all financial transactions and the assets and business of each Company and its Restricted Subsidiaries are made of all dealings and transactions in relation to its business and activities, including, without limitation, proper records of intercompany transactions) with full, true and correct entries reflecting all payments received and paid (including, without limitation, funds received by or for the account of any Loan Party from deposit accounts of the other Companies).  Each Company will permit any representatives designated by the Administrative Agent (who may be accompanied by any Agent or Lender) to visit and inspect the financial records and the property of such Company on no more than on two occasions per fiscal year so long as no Event of Default is continuing (at reasonable intervals, during normal business hours and within five Business Days after written notification of the same to the Designated Company, except that, during the continuance of an Event of Default, none of such restrictions shall be applicable) and to make extracts from and copies of such financial records, and permit any representatives designated by the Administrative Agent (who may be accompanied by any Agent or Lender) to discuss the affairs, finances, accounts and condition of any Company with the officers and employees thereof and advisors therefor (including independent accountants).
Section 5.08    Use of Proceeds.  Use the proceeds of the Loans only for the purposes set forth in Section 3.12.
Section 5.09    Compliance with Environmental Laws; Environmental Reports. 

    
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(a)    Comply, and cause all lessees and other persons occupying Real Property owned, operated or leased by any Company to comply, in all respects with all Environmental Laws and Environmental Permits applicable to its operations and Real Property; obtain and renew all Environmental Permits applicable to its operations and Real Property; and conduct all Responses, including any emergency Response, required by, and in accordance with, Environmental Laws, in each case, to the extent that the failure to do so could reasonably be expected to have a Material Adverse Effect; provided that no Company shall be required to undertake any Response to the extent that its obligation to do so is being contested in good faith and by proper proceedings and appropriate reserves are being maintained with respect to such circumstances in accordance with US GAAP or other applicable accounting standards.
(b)    If a Default caused by reason of a breach of Section 3.18 or Section 5.09(a) shall have occurred and be continuing for more than thirty (30) days without the Companies commencing activities reasonably likely to cure such Default in accordance with Environmental Laws, at the written request of the Administrative Agent or the Required Lenders through the Administrative Agent, provide to the Lenders as soon as reasonably practicable after such request, at the expense of the Co-Borrowers, an environmental assessment report and/or corrective plan, as applicable, regarding the matters which are the subject of such Default, including, where appropriate, soil and/or groundwater sampling, prepared by an environmental consulting firm and, in form and substance, reasonably acceptable to the Administrative Agent and indicating the presence or absence of Hazardous Materials and the estimated cost of any compliance or Response to address them and any other corrective measures necessary to achieve compliance with Environmental Laws or cure such Default.
Section 5.10    [INTENTIONALLY OMITTED].  
Section 5.11    Additional Collateral; Additional Guarantors.
(a)    Subject to the terms of the Intercreditor Agreement and this Section 5.11, with respect to (1) any property acquired after the Closing Date by any Loan Party that is intended to be subject to the Lien created by any of the Security Documents but is not so subject, including in connection with any step of the Permitted Reorganization, any Permitted Reorganization Action, any Permitted Aleris Foreign Subsidiary Transfer, and any Person becoming a Specified Aleris Subsidiary, and (2) any property that was Excluded Property but, as of the end of the most recently ended fiscal quarter or in connection with any step of the Permitted Reorganization, any Permitted Reorganization Action, any Permitted Aleris Foreign Subsidiary Transfer, and any Person becoming a Specified Aleris Subsidiary, has ceased to be Excluded Property, promptly (and in any event (x) within thirty (30) days after the acquisition thereof or after the date such property ceases to be Excluded Property; provided that the Administrative Agent may agree to an extension thereof or (y) immediately in connection with the applicable step(s) of the Permitted Reorganization, the applicable Permitted Reorganization Action, the applicable Permitted Aleris Foreign Subsidiary Transfer, or any Person becoming a Specified Aleris Subsidiary) (i) execute and deliver to the Administrative Agent and the Collateral Agent such amendments or supplements to the relevant Security Documents or such other documents as the Administrative Agent or the Collateral Agent shall deem necessary or advisable to grant to the Collateral Agent, for its benefit and for the benefit of the other Secured Parties, a First Priority Lien on such property subject to no Liens other than Permitted Liens, and (ii) take all actions necessary to cause 

    
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such Lien to be duly perfected to the extent required by such Security Document in accordance with all applicable Requirements of Law, including the filing of financing statements (or other applicable filings) in such jurisdictions as may be reasonably requested by the Administrative Agent; provided that, other than with respect to each Specified Aleris Subsidiary, the actions required by clauses (i) and (ii) above need not be taken if the costs of doing so are excessive in relation to the benefits afforded thereby, as determined by the Administrative Agent in its reasonable discretion.  The Designated Company shall otherwise take such actions and execute and/or deliver to the Administrative Agent and the Collateral Agent such documents as the Administrative Agent or the Collateral Agent shall reasonably require to confirm the validity, perfection and priority of the Lien of the Security Documents against such after-acquired properties.
(b)    With respect to any Person that becomes a Restricted Subsidiary or a Specified Aleris Subsidiary after the Closing Date (other than (x) an Excluded Collateral Subsidiary and (y) a Securitization Entity) or any Restricted Subsidiary that was an Excluded Collateral Subsidiary but, as of the end of the most recently ended fiscal quarter, has ceased to be an Excluded Collateral Subsidiary or is required to become a Loan Party by operation of the provisions of Section 5.11(d), the definition of Permitted Reorganization, the definition of Permitted Reorganization Actions, or the definition of Permitted Aleris Foreign Subsidiary Transfer, promptly (and in any event within (x) thirty (30) days after such Person becomes a Restricted Subsidiary or ceases to be an Excluded Collateral Subsidiary or is required to become a Loan Party by operation of the provisions of Section 5.11(d); provided that the Administrative Agent may agree to an extension of such time period or (y) immediately upon such Person becoming a Specified Aleris Subsidiary or in connection with the applicable step(s) of the Permitted Reorganization, the definition of Permitted Reorganization Actions, or the definition of Permitted Aleris Foreign Subsidiary Transfer) (i) pledge and deliver to the Collateral Agent the certificates, if any, representing all of the Equity Interests of such Restricted Subsidiary or such Specified Aleris Subsidiary owned by a Loan Party, together with undated stock powers or other appropriate instruments of transfer executed and delivered in blank by a duly authorized officer of the holder(s) of such Equity Interests, and all intercompany notes owing from such Restricted Subsidiary or Specified Aleris Subsidiary to any Loan Party together with instruments of transfer executed and delivered in blank by a duly authorized officer of such Loan Party and (ii) cause any such Restricted Subsidiary (other than a Specified Aleris Subsidiary) that is a Wholly Owned Subsidiary (other than (x) any Restricted Subsidiary prohibited from being a Guarantor under any applicable Requirement of Law relating to financial assistance, maintenance of capital or other corporate benefit restrictions and (y) any Restricted Subsidiaries where providing such guarantee would result in (1) materially adverse tax consequences, as determined by the Administrative Agent in its reasonable discretion (after consultation with its counsel) or (2) costs that are excessive in relation to the benefits afforded thereby, as determined by the Administrative Agent in its reasonable discretion) and any such Specified Aleris Subsidiary, in each case to the extent not prohibited by applicable Requirements of Law, (A) to execute a Joinder Agreement or such comparable documentation to become a Subsidiary Guarantor and joinder agreements to the applicable Security Documents (in each case, substantially in the form annexed thereto or in such other form as may be reasonably satisfactory to the Administrative Agent) or, in the case of a Foreign Subsidiary execute such other Security Documents (or joinder agreements) to the extent possible under and compatible with the laws of such Foreign Subsidiary’s jurisdiction in form and substance reasonably satisfactory to the Administrative Agent, and (B) to take all actions necessary or advisable in the opinion of the Administrative Agent or the Collateral Agent to cause the Liens 

    
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created by the applicable Security Documents to be duly perfected to the extent required by such agreement in accordance with all applicable Requirements of Law, including the filing of financing statements (or other applicable filings) in such jurisdictions as may be reasonably requested by the Administrative Agent or the Collateral Agent.  Notwithstanding the foregoing (1) clause (i) of this paragraph (b) shall not apply to the Equity Interests of (w) any Company listed on Schedule 5.11(b) to the extent any applicable Requirement of Law continues to prohibit the pledging of its Equity Interests to secure the Secured Obligations and any Company acquired or created after the Effective Date to the extent any applicable Requirement of Law prohibits the pledging of its Equity Interests to secure the Secured Obligations, (x) any non-Wholly Owned Subsidiary to the extent that the pledge or perfection of a Lien on such Equity Interests would violate any anti-assignment or negative pledge provisions of any contract to which such non-Wholly Owned Subsidiary is a party or the organizational documents or shareholders’ agreement of such non-Wholly Owned Subsidiary (but only to the extent such anti-assignment or negative pledge clause is enforceable under applicable law), (y) any Joint Venture Subsidiary, to the extent the terms of any contract to which such Joint Venture Subsidiary is a party or any  applicable joint venture, stockholders’, partnership, limited liability company or similar agreement (other than any of the foregoing entered into with any Company or Affiliate of any Company) prohibits or conditions the pledging of its Equity Interests to secure the Secured Obligations and (z) any Restricted Subsidiary (other than a Specified Aleris Subsidiary) to the extent such pledge would result in materially adverse tax consequences, as determined by the Administrative Agent in its reasonable discretion (after consultation with its counsel) and (2) clause (ii) of this paragraph (b) shall not apply to any Company listed on Schedule 5.11(b) to the extent any applicable Requirement of Law prohibits it from becoming a Loan Party. Notwithstanding anything to the contrary in this Section 5.11(b), with respect to each Foreign Subsidiary that becomes a party to this Agreement after the Second Amendment Effective Date, the obligations of such Foreign Subsidiary under this Agreement, any Guarantee, any Foreign Guarantee, any Security Document, any Joinder Agreement, or any other Loan Document, may be limited (and such agreements may be amended, restated, supplemented or otherwise modified to give effect to such limitations without the consent of any Person other than the Administrative Agent, the Collateral Agent, and such Foreign Subsidiary) in accordance with the Agreed Guarantee and Security Principles on terms reasonably satisfactory to the Administrative Agent and the Borrower. As of the Second Amendment Effective Date, each Lender party to the Second Amendment, which Lenders constitute the Required Lenders, and each Lender that becomes a party to this Agreement after the Second Amendment Effective Date, expressly consents to the terms set forth in, and the rights of the Agents to consent to the terms of the amendments, restatements, supplements and modifications described in, the immediately preceding sentence.
(c)    Subject to the terms of the Intercreditor Agreement, promptly grant to the Collateral Agent, within sixty (60) days of the acquisition thereof (or such later date agreed by the Administrative Agent) (or immediately in connection with the applicable step(s) of the Permitted Reorganization, any Permitted Reorganization Action, or any Permitted Aleris Foreign Subsidiary Transfer), a security interest in and Mortgage on each Real Property owned in fee by such Loan Party as is acquired by such Loan Party after the Closing Date and that, together with any improvements thereon, individually has a fair market value the Dollar Equivalent of which is at least $10,000,000 (unless the subject property is already mortgaged to a third party to the extent permitted by Section 6.02 hereof or the costs of doing so are excessive in relation to the benefits afforded thereby, as determined by the Administrative Agent in its reasonable discretion). Subject to the terms of the Intercreditor Agreement, 

    
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such Mortgages shall be granted pursuant to documentation reasonably satisfactory in form and substance to the Administrative Agent and the Collateral Agent and shall constitute valid, perfected and enforceable First Priority Liens subject only to Permitted Liens. Subject to the terms of the Intercreditor Agreement, the Mortgages or instruments related thereto shall be duly recorded or filed in such manner and in such places as are required by law to establish, perfect, preserve and protect the First Priority Liens in favor of the Collateral Agent required to be granted pursuant to the Mortgages and all taxes, fees and other charges payable in connection therewith shall be paid in full.  Such Loan Party shall otherwise take such actions and execute and/or deliver to the Administrative Agent and the Collateral Agent such documents as the Administrative Agent or the Collateral Agent shall reasonably require to confirm the validity, perfection and priority of the Lien of any existing Mortgage or new Mortgage against such after-acquired Real Property (including a Title Policy (or title opinion reasonably satisfactory to the Administrative Agent and the Collateral Agent), a Survey (if applicable in the respective jurisdiction), and a local counsel opinion (in form and substance reasonably satisfactory to the Administrative Agent and the Collateral Agent) in respect of such Mortgage).  For purposes of this Section 5.11(c) Real Property owned by a Company that becomes a Loan Party following the Closing Date in accordance with the terms of this Agreement shall be deemed to have been acquired on the later of (x) the date of acquisition of such Real Property and (y) the date such Company becomes a Loan Party.
(d)    If, at any time and from time to time after the Closing Date, Restricted Subsidiaries that are not Loan Parties because they are Excluded Collateral Subsidiaries comprise in the aggregate more than 7.5% of the Consolidated Total Assets of the Designated Company and its Subsidiaries as of the end of the most recently ended fiscal quarter or more than 7.5% of Consolidated EBITDA of the Designated Company and its Restricted Subsidiaries as of the end of the most recently ended fiscal quarter, then the Loan Parties shall, not later than 45 days after the date by which financial statements for such fiscal quarter are required to be delivered pursuant to this Agreement (or immediately in connection with the applicable step(s) of the Permitted Reorganization, any Permitted Reorganization Action, or any Permitted Aleris Foreign Subsidiary Transfer), cause one or more of such Restricted Subsidiaries to become Loan Parties (notwithstanding that such Restricted Subsidiaries are, individually, Excluded Collateral Subsidiaries) such that the foregoing condition ceases to be true.  The Designated Company may designate a Subsidiary Guarantor that was not a Restricted Subsidiary of the Designated Company on the Closing Date as an Excluded Collateral Subsidiary subject to the terms of the definition thereof, in which event the Guarantee by such Restricted Subsidiary shall be released in accordance with Section 7.09 and the Collateral Agent shall release the Collateral pledged by such Person.
(e)    Any Foreign Subsidiary that is a Loan Party that has in the United States at any time (i) a deposit account that is part of the Cash Pooling Arrangements or (ii) property (other than Excluded Property) having an aggregate fair market value in excess of $5,000,000 for any such foreign Loan Party, shall execute a joinder agreement to the U.S. Security Agreement reasonably satisfactory to the Administrative Agent.
(f)    Notwithstanding any other provision of this Section 5.11 or any provision in any other Loan Document to the contrary, in no event shall this Section 5.11 or such Loan Document obligate 

    
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any Loan Party to (i) grant a Lien to the Collateral Agent on any Excluded Property or (ii) take any perfection steps with respect to any Excluded Property.
(g)    Notwithstanding any other provision of this Section 5.11 or any provision in any other Loan Document to the contrary, in no event shall this Section 5.11 or such Loan Document obligate any Loan Party to (i) to the extent creation of a security interest in a specific asset requires that such asset be described with specificity in the applicable Security Document or filing (including, for example, a list of specific items of Inventory with identification numbers, or descriptions of commercial tort claims), the creation of the Collateral Agent’s security interest in such assets, to the extent acquired in a Permitted Acquisition, and (ii) the perfection of the Collateral Agent’s security interest in assets acquired in a Permitted Acquisition, in the case of clauses (i) and (ii) shall not be required until the date that is 60 days after the closing date for such Permitted Acquisition (or such later date agreed by the Administrative Agent); provided that (A) the perfection of a security interest in Collateral with respect to which a Lien may be perfected by (x) the filing of financing statements under the UCC or equivalent filing system in a non-U.S. jurisdiction, or (y) filing short form security agreements or other filings with the applicable Intellectual Property filing office in the applicable jurisdiction, in the case of clauses (x) and (y), shall be required to occur substantially concurrently with any acquired entity becoming a Loan Party and (B) each Loan Party shall use its commercially reasonable efforts to deliver stock certificates (together with stock powers or equivalent instruments of transfer) representing certificated Equity Interests required to be pledged under this Agreement and the Security Documents (without regard to this clause (g)) as soon as practicable upon the closing of such Permitted Acquisition, and in any case no later than the date that is 60 days after the closing date for such Permitted Acquisition (or such later date agreed by the Administrative Agent); provided that the limitations set forth in this clause (g) shall only apply to the assets of, or Equity Interests issued by, any Specified Aleris Subsidiary to the extent such limitations also apply to such Specified Aleris Subsidiary under the Revolving Credit Loan Documents.
(h)    Notwithstanding any other provision of this Section 5.11 or any provision in any other Loan Document to the contrary, without the consent of any other person, the Administrative Agent and/or Collateral Agent may (or shall, to the extent required by any Loan Document) enter into any amendment or waiver of any Security Document (subject to the consent of the Loan Parties party thereto except as otherwise provided in such Security Document) or enter into any new agreement or instrument, to give effect to the provisions set forth in Section 5.11(f) and (g).
Section 5.12    Security Interests; Further Assurances.  Subject to the terms of the Intercreditor Agreement, promptly, upon the reasonable request of the Administrative Agent or the Collateral Agent, at the Co-Borrowers’ expense, execute, acknowledge and deliver, or cause the execution, acknowledgment and delivery of, and thereafter register, file or record, or cause to be registered, filed or recorded, in an appropriate governmental office, any document or instrument supplemental to or confirmatory of the Security Documents or otherwise deemed by the Administrative Agent or the Collateral Agent reasonably necessary for the continued validity, perfection and priority of the Liens on the Collateral covered thereby subject to no other Liens except Permitted Liens, or use commercially reasonable efforts to obtain any consents or waivers as may be reasonably required in connection therewith.  Deliver or cause to be delivered (using commercially reasonable efforts with respect to delivery of items from Persons who are not in the control of any Loan Party) to the Administrative 

    
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Agent and the Collateral Agent from time to time such other documentation, consents, authorizations, approvals and orders in form and substance reasonably satisfactory to the Administrative Agent and the Collateral Agent as the Administrative Agent and the Collateral Agent shall reasonably deem necessary to perfect or maintain the Liens on the Collateral pursuant to the Security Documents.  Upon the exercise by the Administrative Agent, the Collateral Agent or any Lender of any power, right, privilege or remedy pursuant to any Loan Document that requires any consent, approval, registration, qualification or authorization of any Governmental Authority, execute and deliver all applications, certifications, instruments and other documents and papers that the Administrative Agent, the Collateral Agent or such Lender may reasonably require in connection therewith.  If the Administrative Agent, the Collateral Agent or the Required Lenders determine that they are required by a Requirement of Law to have appraisals prepared in respect of the Real Property of any Loan Party constituting Collateral, the Designated Company shall provide to the Administrative Agent appraisals that satisfy the applicable requirements of the Real Estate Appraisal Reform Amendments of FIRREA (or other applicable requirements) and are otherwise in form reasonably satisfactory to the Administrative Agent and the Collateral Agent.
Section 5.13    Information Regarding Collateral.  Not effect any change (i) in any Loan Party’s legal name or in any trade name used to identify it in the conduct of its business or in the ownership of its properties, (ii) in the location of any Loan Party’s chief executive office, its principal place of business, any office in which it maintains books or records relating to Collateral owned by it or any office or facility at which any material Pari Passu Priority Collateral owned by it is located (including the establishment of any such new office or facility) other than changes in location to a property identified on Schedule 3.24, another property location previously identified on a Perfection Certificate Supplement or otherwise by notice to the Administrative Agent and the Collateral Agent, as to which the steps required by clause (B) below have been completed or to a Mortgaged Property or a leased property subject to a Landlord Access Agreement, (iii) in any Loan Party’s identity or organizational structure, (iv) in any Loan Party’s Federal Taxpayer Identification Number or organizational identification number, if any, or (v) in any Loan Party’s jurisdiction of organization (in each case, including by merging with or into any other entity, reorganizing, dissolving, liquidating, reorganizing or organizing in any other jurisdiction), until (A) it shall have given the Collateral Agent and the Administrative Agent not less than ten (10) Business Days’ prior written notice (in the form of an Officers’ Certificate) of its intention to do so, or such lesser notice period agreed to by the Administrative Agent and the Collateral Agent, clearly describing such change and providing such other information in connection therewith as the Collateral Agent or the Administrative Agent may reasonably request and (B) it shall have taken all action reasonably satisfactory to the Administrative Agent and the Collateral Agent to maintain the perfection and priority of the security interest of the Collateral Agent for the benefit of the Secured Parties in the Collateral, if applicable.  Each Loan Party agrees to promptly provide the Administrative Agent and the Collateral Agent, upon request therefor, with certified Organizational Documents reflecting any of the changes described in the preceding sentence.  For the purposes of the Regulation, (i) no U.K. Guarantor shall change its centre of main interest (as that term is used in Article 3(1) of the Regulation) from England and Wales, (ii) nor shall any Irish Guarantor change its centre of main interest from Ireland or Germany, nor shall Irish Guarantor have an “establishment” (as that term is used in Article 2(h) of the Regulation) in any jurisdiction other than Ireland or Germany, (iii) nor shall any Swiss Guarantor change its centre of main interest from Switzerland, nor shall any Swiss Guarantor have an “establishment” in any other jurisdiction, (iv) nor 

    
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shall German Seller change its centre of main interest from Germany, (v) nor shall any Dutch Guarantor change its centre of main interest from the Netherlands, nor shall any Dutch Guarantor have an “establishment” in any other jurisdiction, (vi) nor shall any French Guarantor change its centre of main interest from France, nor shall any French Guarantor have an “establishment” in any other jurisdiction, (vii) nor shall any Belgian Guarantor change its centre of main interest from Belgium, nor shall any Belgian Guarantor have an “establishment” in any other jurisdiction and (viii) other than as provided in paragraph (ii) above, no Guarantor (to the extent such Guarantor is subject to the Regulation) shall have a centre of main interest other than as situated in its jurisdiction of incorporation.
Section 5.14    Affirmative Covenants with Respect to Leases.  With respect to each Lease to which a Loan Party is party as landlord or lessor, the respective Loan Party shall perform all the obligations imposed upon the landlord under such Lease and enforce all of the tenant’s obligations thereunder, except where the failure to so perform or enforce could not reasonably be expected to result in a Property Material Adverse Effect.
Section 5.15    Post-Closing Covenants; Covenants in Respect of Hedging Agreements Following the Aleris Acquisition Closing Date.
(a)    Execute and deliver the documents and complete the tasks and take the other actions set forth on Schedule 5.15 to this Agreement and on Schedule 2 to the Aleris Increase Joinder Amendment, in each case within the time limits specified on such ScheduleSchedules.
(b)    Promptly following the Aleris Acquisition Closing Date, use reasonable efforts to novate all transactions under the Specified Aleris Hedging Agreements, such that, after giving effect to such novation, such transactions shall be subject solely to the terms and conditions of Hedging Agreements (other than Specified Aleris Hedging Agreements) with one or more Companies, the terms of which shall not require a Lien on any assets of any Company to secure the obligations thereunder (other than solely as a result of the designation of any counterparty thereto as a “Secured Hedge Provider” in accordance with the terms hereof).
(c)    No later than the date that is 30 days after the Aleris Acquisition Closing Date, cease entering into any transactions under the Specified Aleris Hedging Agreements.
(d)    No later than the date that is 180 days after the Aleris Acquisition Closing Date, cause all Specified Aleris Hedging Agreements to be terminated, and all transactions thereunder to be terminated, novated or cancelled.
(e)    Promptly upon the termination, novation or cancellation of each transaction under any Specified Aleris Hedging Agreement, (i) cause all Liens on assets of Aleris or any of its Subsidiaries securing the obligations thereunder to be released (other than Liens arising solely as a result of the designation of any counterparty thereto as a “Secured Hedge Provider” in accordance with the terms hereof), (ii) deliver to the Administrative Agent all documents and filings required or reasonably requested by any Agent to evidence the release of such Liens, and (iii) cause any collateral held by or on behalf of the counterparty to such transaction to promptly be returned to the applicable Company and be pledged to secure the Secured Obligations to the extent required under the Loan Documents on terms reasonably satisfactory to the Administrative Agent and the Collateral Agent (except, in the 

    
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case of this clause (iii), to the extent that such collateral is cash that is otherwise applied to settle or net out amounts owing under such Hedging Agreement at the time of such termination, novation or cancellation) (the requirements under this clause (e), collectively, the “Aleris Hedging Collateral Requirements”).
(f)    No later than the date that is 10 Business Days after the commencment of the Specified Brazilian Expansion, the Designated Company shall deliver to the Administrative Agent written notice of the date that such expansion commenced.
Section 5.16    Designation of Subsidiaries.  The Designated Company may at any time after the Closing Date designate any Restricted Subsidiary of the Designated Company as an Unrestricted Subsidiary or any Unrestricted Subsidiary as a Restricted Subsidiary; provided that (i) immediately before and after such designation, no Default shall have occurred and be continuing, (ii) immediately after giving effect to such designation, the Designated Company shall be in compliance, on a Pro Forma Basis, with the Financial Performance Covenant (it being understood that, as a condition precedent to the effectiveness of any such designation, the Designated Company shall deliver to the Administrative Agent a certificate of a Responsible Officer setting forth in reasonable detail the calculations demonstrating such compliance), (iii) the Consolidated Interest Coverage Ratio for the most recently ended four fiscal quarter period for which financial statements have been delivered pursuant to Section 5.01(a) or (b) shall be greater than 2.00 to 1.00 on a Pro Forma Basis (it being understood that, as a condition precedent to the effectiveness of any such designation, the Designated Company shall deliver to the Administrative Agent a certificate of a Responsible Officer setting forth in reasonable detail the calculations demonstrating such Consolidated Interest Coverage Ratio), (iv) no Subsidiary may be designated as an Unrestricted Subsidiary or continue as an Unrestricted Subsidiary if it is a “Restricted Subsidiary” for the purpose of any of the Senior Notes, the Revolving Credit Agreement, any Additional Senior Secured Indebtedness, any Junior Secured Indebtedness or any other Indebtedness, as applicable, constituting Material Indebtedness, (v) no Restricted Subsidiary may be designated an Unrestricted Subsidiary if it was previously designated an Unrestricted Subsidiary, (vi) if a Restricted Subsidiary is being designated as an Unrestricted Subsidiary hereunder, the sum of (A) the fair market value of assets of such Subsidiary as of such date of designation (the “Designation Date”), plus (B) the aggregate fair market value of assets of all Unrestricted Subsidiaries designated as Unrestricted Subsidiaries pursuant to this Section 5.16 prior to the Designation Date (in each case measured as of the date of each such Unrestricted Subsidiary’s designation as an Unrestricted Subsidiary) shall not exceed $500,000,000 in the aggregate as of such Designation Date pro forma for such designation, (vii) no Restricted Subsidiary shall be a Subsidiary of an Unrestricted Subsidiary and (viii) no Co-Borrower (and no Person that directly or indirectly owns any Equity Interests of a Co-Borrower) may be designated as an Unrestricted Subsidiary. The designation of any Subsidiary as an Unrestricted Subsidiary after the Closing Date shall constitute an Investment by the Designated Company or its applicable Restricted Subsidiary therein at the date of designation in an amount equal to the fair market value of the Designated Company’s or such Restricted Subsidiary’s (as applicable) investment therein. The designation of any Unrestricted Subsidiary as a Restricted Subsidiary shall constitute (i) the incurrence at the time of designation of any Investment, Indebtedness or Liens of such Subsidiary existing at such time and (ii) a return on any Investment by the Designated Company or any of its Restricted Subsidiaries in Unrestricted Subsidiaries pursuant to the preceding sentence in an amount equal to the lesser of (x) the fair market value at the date of such designation of the Designated 

    
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Company’s or its Restricted Subsidiary’s (as applicable) Investment in such Subsidiary and (y) the amount of Investments made by the Designated Company or its Restricted Subsidiaries in such Unrestricted Subsidiary from and after the date of such Subsidiary was designated as an Unrestricted Subsidiary.
ARTICLE VI 
 
NEGATIVE COVENANTS
Each Loan Party warrants, covenants and agrees with each Lender that, from and after the Closing Date, so long as this Agreement shall remain in effect and until the Commitments have been terminated and the principal of and interest on each Loan, all Fees and all other expenses or amounts payable under any Loan Document have been paid in full, unless the Required Lenders (and such other Lenders whose consent may be required under Section 11.02) shall otherwise consent in writing, no Loan Party will, nor will they cause or permit any Restricted Subsidiaries to:
Section 6.01    Indebtedness.  Incur, create, assume or permit to exist, directly or indirectly, any Indebtedness, except
(a)    Indebtedness incurred under this Agreement and the other Loan Documents;
(b)    (i) Indebtedness outstanding on the Closing Date and listed on Schedule 6.01(b) and Permitted Refinancings thereof, and (ii) Indebtedness of Loan Parties under the Revolving Credit Loan Documents and Permitted Revolving Credit Facility Refinancings thereof in an aggregate principal amount at any time outstanding not to exceed the Maximum Revolving Credit Facility Amount;
(c)    Indebtedness of any Company under Hedging Agreements (including Contingent Obligations of any Company with respect to Hedging Agreements of any other Company); provided that if such Hedging Obligations relate to interest rates, (i) such Hedging Agreements relate to payment obligations on Indebtedness otherwise permitted to be incurred by the Loan Documents and (ii) the notional principal amount of such Hedging Agreements at the time incurred does not exceed the principal amount of the Indebtedness to which such Hedging Agreements relate;
(d)    Indebtedness permitted by Section 6.04(i) or (s), any other Indebtedness of a Restricted Subsidiary permitted by Section 6.04, and any Indebtedness of Holdings and Novelis Europe Holdings Limited permitted by Section 6.15;
(e)    Indebtedness of any Securitization Entity under any Qualified Securitization Transaction (i) that is without recourse to any Company (other than such Securitization Entity) or any of their respective assets (other than pursuant to Standard Securitization Undertakings) and (ii) that are negotiated in good faith at arm’s length; provided that no Default shall be outstanding after giving effect thereto, and (A) with respect to any such Indebtedness of a Securitization Entity that is organized in a Principal Jurisdiction, such transaction is a Permitted German Alternative Financing, Permitted Customer Account Financing or a Permitted Novelis Switzerland Financing, (B) with respect to any such Indebtedness of a Securitization Entity that is organized in a Non-Principal Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities 

    
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that are organized in a Non-Principal Jurisdiction under all Qualified Securitization Transactions under this Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Principal Jurisdiction then outstanding under Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Principal Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Principal Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, and (C) with respect to any such Indebtedness of a Securitization Entity that is organized in a Non-Loan Party Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities that are organized in a Non-Loan Party Jurisdiction under all Qualified Securitization Transactions under this Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Loan Party Jurisdiction then outstanding under Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Loan Party Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Loan Party Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000; 
(f)    Indebtedness in respect of Purchase Money Obligations and Capital Lease Obligations, and Permitted Refinancings thereof (other than refinancings funded with intercompany advances); provided that at the time such obligations are incurred, the outstanding amount of Indebtedness incurred under this clause (f) shall not exceed the greater of (x) 10% of Consolidated Net Tangible Assets and (y) $500,000,000;
(g)    Sale and Leaseback Transactions permitted under Section 6.03;
(h)    Indebtedness in respect of bid, performance or surety bonds or obligations, workers’ compensation claims, self-insurance obligations, financing of insurance premiums, and bankers acceptances issued for the account of the Designated Company or any Restricted Subsidiary, in each case, incurred in the ordinary course of business (including guarantees or obligations of the Designated Company or any Restricted Subsidiary with respect to letters of credit supporting such bid, performance or surety bonds or obligations, workers’ compensation claims, self-insurance obligations and bankers acceptances) (in each case other than Indebtedness for borrowed money);
(i)    Contingent Obligations (i) of any Loan Party in respect of Indebtedness otherwise permitted to be incurred by such Loan Party under this Section 6.01, (ii) of any Loan Party in respect of Indebtedness of Restricted Subsidiaries that are not Loan Parties or are Restricted Grantors in an aggregate amount not exceeding the greater of (x) $100,000,000 and (y) 2.0% of Consolidated Net 

    
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Tangible Assets at any one time outstanding less all amounts paid with regard to Contingent Obligations permitted pursuant to Section 6.04(a), and (iii) of any Company that is not a Loan Party in respect of Indebtedness otherwise permitted to be incurred by such Company under this Section 6.01;
(j)    Indebtedness arising from the honoring by a bank or other financial institution of a check, draft or similar instrument inadvertently (except in the case of daylight overdrafts) drawn against insufficient funds in the ordinary course of business; provided that such Indebtedness is extinguished within five (5) Business Days of incurrence;
(k)    Indebtedness arising in connection with endorsement of instruments for deposit in the ordinary course of business;
(l)    unsecured Indebtedness and Junior Secured Indebtedness not otherwise permitted under this Section 6.01; provided, that (i) such Indebtedness has a final maturity date no earlier than 180 days after the Latest Maturity Date, (ii) such Indebtedness has a Weighted Average Life to Maturity equal to or greater than the Weighted Average Life to Maturity of the Term Loans with the Latest Maturity Date, (iii) no Default is then continuing or would result therefrom, (iv) such Indebtedness is incurred by a Loan Party and the persons that are (or are required to be) guarantors under such Indebtedness do not consist of any persons other than those persons that are (or are required to be) Loan Parties under and with respect to the Term Loans, (v) the terms of such Indebtedness do not require any amortization, mandatory prepayment or redemption or repurchase at the option of the holder thereof (other than customary offers to purchase upon a change of control or asset sale) earlier than 180 days after the Latest Maturity Date, (vi) such Indebtedness has terms and conditions (excluding pricing, premiums and subordination terms), when taken as a whole, are not materially more restrictive or less favorable to the Companies and are not materially less favorable to the Lenders, than the terms of  the Loan Documents (except with respect to terms and conditions that are applicable only after the then Latest Maturity Date), (vii) in the case of any such secured Indebtedness, the Liens securing such Indebtedness, if any, shall be subordinated to the Liens securing the Secured Obligations on a junior “silent” basis in a manner satisfactory to the Administrative Agent (provided that the terms of the Intercreditor Agreement as they relate to subordination are hereby acknowledged as being satisfactory) (and the holders of such Indebtedness shall not have any rights with respect to exercising remedies pursuant to such Liens) and such Liens shall only be on assets that constitute Collateral, (viii) in the case of any such secured Indebtedness, the security agreements relating to such Indebtedness (together with the Intercreditor Agreement) reflect the Junior Lien nature of the security interests and are otherwise substantially the same as the applicable Security Documents (with differences as are reasonably satisfactory to the Administrative Agent), (ix) in the case of any such secured Indebtedness, such Indebtedness and the holders thereof or the Senior Representative thereunder shall be subject to the Intercreditor Agreement and the Liens securing such Indebtedness shall be subject to the Intercreditor Agreement, and (x) after giving effect to the incurrence of such Indebtedness and to the consummation of any Permitted Acquisition or other Investment or application of funds made with the proceeds of such incurrence on a Pro Forma Basis, (A) the Consolidated Interest Coverage Ratio at such date shall be greater than 2.0 to 1.0; and (B) with respect to any such Junior Secured Indebtedness, the Secured Net Leverage Ratio, determined on a Pro Forma Basis, shall be no greater than 5.00 to 1.00 (which shall be evidenced by a certificate from the chief financial officer of the Designated Company demonstrating such compliance calculation in reasonable detail); provided, further that 

    
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delivery to the Administrative Agent at least five Business Days prior to the incurrence of such Indebtedness of an Officers’ Certificate of a Responsible Officer of the Designated Company (together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto) certifying that the Designated Company has determined in good faith that such terms and conditions satisfy the foregoing requirements shall be conclusive evidence that such terms and conditions satisfy such requirement unless the Administrative Agent notifies the Designated Company within such five Business Day period that it disagrees with such determination (including a reasonable description of the basis upon which it disagrees);
(m)    Indebtedness consisting of working capital facilities, lines of credit or cash management arrangements for Restricted Subsidiaries and Contingent Obligations of Restricted Subsidiaries in respect thereof; provided that no Default shall be outstanding, on a Pro Forma Basis, after giving effect thereto and (A) with respect to any such Indebtedness of a Restricted Subsidiary that is organized in a Principal Jurisdiction, such transaction is a Permitted German Alternative Financing, (B) with respect to any such Indebtedness of a Company that is organized in a Non-Principal Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities that are organized in a Non-Principal Jurisdiction under all Qualified Securitization Transactions under Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Principal Jurisdiction then outstanding under this Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Principal Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Principal Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, (C) with respect to any such Indebtedness of a Company that is organized in a Non-Loan Party Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities that are organized in a Non-Loan Party Jurisdiction under all Qualified Securitization Transactions under Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Loan Party Jurisdiction then outstanding under this Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Loan Party Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Loan Party Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, and (D) with respect to such Indebtedness (x) of a Restricted Subsidiary organized under the laws of Germany, Contingent Obligations with respect thereto shall be limited to other Restricted Subsidiaries organized under the laws of Germany, Switzerland (if such Indebtedness is incurred together with a Permitted Novelis Switzerland Financing) or any Non-Principal Jurisdiction, (y) of a Restricted Subsidiary organized in a Non-Principal Jurisdiction, Contingent Obligations with respect thereto shall be limited to other Restricted Subsidiaries organized in a Non-Principal Jurisdiction 

    
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and (z) of a Restricted Subsidiary organized in a Non-Loan Party Jurisdiction, Contingent Obligations with respect thereto shall be limited to other Restricted Subsidiaries organized in a Non-Loan Party Jurisdiction; 
(n)    Indebtedness in respect of indemnification obligations or obligations in respect of purchase price adjustments or similar obligations incurred or assumed by the Loan Parties and their Subsidiaries in connection with (i) an Asset Sale or sale of Equity Interests otherwise permitted under this Agreement and (ii) Permitted Acquisitions or other Investments permitted under this Section 6.04;
(o)    unsecured guaranties in the ordinary course of business of any person of the obligations of suppliers, customers, lessors or licensees; 
(p)    Indebtedness of NKL arising under letters of credit issued in the ordinary course of business; 
(q)    (i) Indebtedness of any person existing at the time such person is acquired in connection with a Permitted Acquisition or any other Investment permitted under Section 6.04; provided that such Indebtedness is not incurred in connection with or in contemplation of such Permitted Acquisition or other Investment and is not secured by Accounts or Inventory of any Company organized in a Principal Jurisdiction or the proceeds thereof, and at the time of such Permitted Acquisition or other Investment, no Event of Default shall have occurred and be continuing, and (ii) Permitted Refinancings of such Indebtedness, in an aggregate amount, for all such Indebtedness permitted under this clause (q), not to exceed at any time outstanding an amount equal to the sum of (x) the greater of (1) $200,000,000 and (2) 4% of Consolidated Net Tangible Assets and (y) an additional unlimited amount so long as, on a Pro Forma Basis after giving effect to the incurrence of such Indebtedness, the Consolidated Interest Coverage Ratio shall be greater than 2.0 to 1.0; 
(r)    Indebtedness in respect of treasury, depositary and cash management services or automated clearinghouse transfer of funds (including the Cash Pooling Arrangements and other pooled account arrangements and netting arrangements and commercial credit card and merchant card services and other bank products or services) in the ordinary course of business, in each case, arising under the terms of customary agreements with any bank; 
(s)    Permitted Holdings Indebtedness;
(t)    Indebtedness constituting the Senior Notes in an aggregate principal amount not to exceed $2,650,000,000, and Permitted Refinancings thereof (including successive Permitted Refinancings of Indebtedness incurred as a Permitted Refinancing under this clause (t)); 
(u)    Indebtedness of any Loan Party under one or more series of senior secured notes under one or more indentures, provided that (i) such Indebtedness has a final maturity date that is no earlier than the Latest Maturity Date, (ii) such Indebtedness has a Weighted Average Life to Maturity equal to or greater than the Weighted Average Life to Maturity of the Term Loans with the Latest Maturity Date, (iii) no Default is then continuing or would result therefrom, (iv) such Indebtedness is incurred by a Loan Party and the persons that are (or are required to be) guarantors under such Indebtedness do not consist of any persons other than those persons that are (or are required to be) Loan Parties 

    
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under or in respect to the Term Loans, (v) the terms of such Indebtedness do not require any amortization, mandatory prepayment or redemption or repurchase at the option of the holders thereof (other than customary asset sale or change of control provisions, which asset sale provisions may require the application of proceeds of asset sales and casualty events co-extensive with those set forth in Section 2.10(c) or (e), as applicable, to make mandatory prepayments or prepayment offers out of such proceeds on a pari passu basis with the Secured Obligations, all Permitted First Priority Refinancing Debt and all other Additional Senior Secured Indebtedness) earlier than the Latest Maturity Date, (vi) such Indebtedness has terms and conditions (excluding pricing and premiums), when taken as a whole, that are not materially more restrictive or less favorable to the Companies and the Lenders than the terms of  the Loan Documents (except with respect to terms and conditions that are applicable only after the then Latest Maturity Date), (vii) the Liens securing such Indebtedness shall be pari passu with the Liens securing the Secured Obligations (other than with respect to control of remedies) and such Liens shall only be on assets that constitute Collateral, (viii) the security agreements relating to such Indebtedness shall be substantially the same as the Security Documents (with such differences as are reasonably satisfactory to the Administrative Agent), (ix) such Indebtedness and the holders thereof or the Senior Representative thereunder shall be subject to the Intercreditor Agreement and the Liens securing such Indebtedness shall be subject to the Intercreditor Agreement, and (x) after giving effect to the incurrence of such Indebtedness and to the consummation of any Permitted Acquisition or other Investment or application of funds made with the proceeds of such incurrence on a Pro Forma Basis, the Senior Secured Net Leverage Ratio at such date shall be not greater than 3.0 to 1.0 (provided that in calculating the Senior Secured Net Leverage Ratio, the proceeds of the incurrence of such Indebtedness shall be excluded from Unrestricted Cash); provided, further that delivery to the Administrative Agent at least five Business Days prior to the incurrence of such Indebtedness of an Officers’ Certificate of a Responsible Officer of the Designated Company (together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto) certifying that the Designated Company has determined in good faith that such terms and conditions satisfy the foregoing requirements shall be conclusive evidence that such terms and conditions satisfy such requirement unless the Administrative Agent notifies the Designated Company within such five Business Day period that it disagrees with such determination (including a reasonable description of the basis upon which it disagrees); 
(v)    Permitted Unsecured Refinancing Debt and any Permitted Refinancing thereof (including successive Permitted Refinancings of Indebtedness incurred as a Permitted Refinancing under this clause (v));
(w)    Permitted First Priority Refinancing Debt and Permitted Second Priority Refinancing Debt, and any Permitted Refinancings thereof (including successive Permitted Refinancings of Indebtedness incurred as a Permitted Refinancing under this clause (w)); 
(x)    obligations of the Designated Company or any of its Restricted Subsidiaries to reimburse or refund deposits posted by customers pursuant to forward sale agreements entered into by the Designated Company or such Restricted Subsidiary in the ordinary course of business; 

    
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(y)    unsecured Indebtedness not otherwise permitted under this Section 6.01 in an aggregate principal amount not to exceed the greater of (x) $500,000,000 and (y) 10% of Consolidated Net Tangible Assets at any time outstanding; 
(z)    (i) unsecured Indebtedness in respect of obligations of the Designated Company or any Restricted Subsidiary to pay the deferred purchase price of goods or services or progress payments in connection with such goods and services; provided that such obligations are incurred in connection with open accounts extended by suppliers on customary trade terms in the ordinary course of business and not in connection with the borrowing of money or any Hedging Agreements and (ii) unsecured indebtedness in respect of intercompany obligations of the Designated Company or any Restricted Subsidiary in respect of accounts payable incurred in connection with goods sold or services rendered in the ordinary course of business and not in connection with the borrowing of money;
(aa)    Indebtedness representing deferred compensation or similar arrangements to employees, consultants or independent contractors of the Designated Company (or its direct or indirect parent) and its Restricted Subsidiaries incurred in the ordinary course of business or otherwise incurred in connection with the Transactions or any Permitted Acquisition or other Investment permitted under Section 6.04; 
(bb)    Indebtedness consisting of promissory notes issued to current or former officers, managers, consultants, directors and employees (or respective spouses, former spouses, successors, executors, administrators, heirs, legatees or distributees) to finance the purchase or redemption of capital stock of the Designated Company or any of its direct or indirect parent companies permitted by Section 6.08(j); 
(cc)    Indebtedness pursuant to industrial revenue bond, direct government loan or similar programs in an aggregate principal amount not to exceed the greater of (x) $150,000,000 and (y) 3% of Consolidated Net Tangible Assets at any time outstanding; 
(dd)    Indebtedness of Loan Parties under any Third Lien Credit Agreement and any Permitted Refinancing thereof (including successive Permitted Refinancings of Indebtedness incurred as a Permitted Refinancing under this clause (dd));
(ee)    Permitted Short Term Indebtedness; and
(ff)    Surviving Aleris Debt and Indebtedness of one or more Companies organized under the laws or the People’s Republic of China and, in each case, Permitted Refinancings thereof; provided that (i) the obligations in respect of the foregoing shall not be secured by any assets of, and shall not be guaranteed by, any Person, other than the assets of, and guarantees by, one or more Companies organized under the laws of the People’s Republic of China that is not a Loan Party, and (ii) the aggregate principal amount of Indebtedness and undrawn commitments thereunder shall not exceed $300,000,000 at any time outstanding.
Notwithstanding anything to the contrary contained in this Section 6.01, accrual of interest, accretion or amortization of original issue discount and the payment of interest in the form of additional Indebtedness will be deemed not to be an incurrence of Indebtedness for purposes of this covenant 

    
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(but shall, for the avoidance of doubt, be deemed to be Indebtedness for the purposes of calculating any financial ratio, including the Consolidated Interest Coverage Ratio, the Total Net Leverage Ratio, the Secured Net Leverage Ratio or the Senior Secured Net Leverage Ratio, whether calculated under this Section 6.01 or elsewhere in this Agreement).
Section 6.02    Liens.  Create, incur, assume or permit to exist, directly or indirectly, any Lien on any property now owned or hereafter acquired by it or on any income or revenues or rights in respect of any thereof, except the following (collectively, the “Permitted Liens”):
(a)    (i) inchoate Liens for Taxes not yet due and payable or delinquent and (ii) Liens for Taxes which are due and payable and are being contested in good faith by appropriate proceedings diligently conducted and for which adequate reserves have been provided on the books of the appropriate Company in accordance with US GAAP;
(b)    Liens in respect of property of any Company imposed by Requirements of Law, which were incurred in the ordinary course of business and do not secure Indebtedness for borrowed money, such as carriers’, warehousemen’s, materialmen’s, landlords’, workmen’s, suppliers’, repairmen’s and mechanics’ Liens and other similar Liens arising in the ordinary course of business, and (i) which do not in the aggregate materially detract from the value of the property of the Companies, taken as a whole, and do not materially impair the use thereof in the operation of the business of the Companies, taken as a whole, and (ii) which, if they secure obligations that are then due and unpaid for more than 30 days, are being contested in good faith by appropriate proceedings diligently conducted and for which adequate reserves have been provided on the books of the appropriate Company in accordance with US GAAP;
(c)    any Lien in existence on the Closing Date and set forth on Schedule 6.02(c) that does not attach to the Accounts and Inventory of any Co-Borrower and any Lien granted as a replacement, renewal or substitution therefor; provided that any such replacement, renewal or substitute Lien (i) does not secure an aggregate amount of Indebtedness, if any, greater than that secured on the Closing Date (including undrawn commitments thereunder in effect on the Closing Date, accrued and unpaid interest thereon and fees and premiums payable in connection with a Permitted Refinancing of the Indebtedness secured by such Lien) and (ii) does not encumber any property other than the property subject thereto on the Closing Date (any such Lien, an “Existing Lien”);
(d)    easements, rights-of-way, restrictions (including zoning restrictions), reservations (including pursuant to any original grant of any Real Property from the applicable Governmental Authority), covenants, licenses, encroachments, protrusions and other similar charges or encumbrances, and minor title deficiencies or irregularities on or with respect to any Real Property, in each case whether now or hereafter in existence, not (i) securing Indebtedness for borrowed money or (ii) individually or in the aggregate materially interfering with the ordinary conduct of the business of the Companies at such Real Property;
(e)    Liens arising out of judgments, attachments or awards not resulting in an Event of Default that are being contested in good faith by appropriate proceedings diligently conducted and for which adequate reserves have been provided on the books of the appropriate Company in accordance with US GAAP;

    
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(f)    Liens (other than any Lien imposed by ERISA) (x) imposed by Requirements of Law or deposits made in connection therewith in the ordinary course of business in connection with workers’ compensation, unemployment insurance and other types of social security legislation, (y) incurred in the ordinary course of business to secure the performance of tenders, statutory obligations (other than excise taxes), surety, stay, customs and appeal bonds, statutory bonds, bids, leases, government contracts, trade contracts, performance and return of money bonds and other similar obligations (exclusive of obligations for the payment of borrowed money) or (z) arising by virtue of deposits made in the ordinary course of business to secure liability for premiums to insurance carriers; provided that (i) with respect to clauses (x), (y) and (z) of this paragraph (f), such Liens are for amounts not yet due and payable or delinquent or, to the extent such amounts are so due and payable, such amounts are being contested in good faith by appropriate proceedings diligently conducted and for which adequate reserves have been established on the books of the appropriate Company in accordance with US GAAP, and (ii) to the extent such Liens are not imposed by Requirements of Law, such Liens shall in no event encumber any property other than cash and Cash Equivalents and, with respect to clause (y), property relating to the performance of obligations secured by such bonds or instruments;
(g)    (i) Leases, subleases or licenses of the properties of any Company granted to other persons which do not, individually or in the aggregate, interfere in any material respect with the ordinary conduct of the business of any Company and (ii) interests or title of a lessor, sublessor, licensor or sublicensor or Lien securing a lessor’s, sublessor’s, licensor’s or sublicensor’s interest in any lease or license not prohibited by this Agreement;
(h)    Liens arising out of conditional sale, hire purchase, title retention, consignment or similar arrangements for the sale of goods entered into by any Company in the ordinary course of business;
(i)    Liens securing Indebtedness incurred pursuant to Section 6.01(f) or Section 6.01(g); provided that any such Liens attach only to the property being financed pursuant to such Indebtedness and any proceeds of such property and do not encumber any other property of any Company (other than pursuant to customary cross-collateralization provisions with respect to other property of a Company that also secure Indebtedness owed to the same financing party or its Affiliates that is permitted under Section 6.01(f), Section 6.01(g) or Section 6.01(cc));
(j)    bankers’ Liens, rights of setoff and other similar Liens existing solely with respect to cash and Cash Equivalents on deposit in one or more accounts maintained by any Company, in each case granted in the ordinary course of business in favor of the bank or banks with which such accounts are maintained, securing amounts owing to such bank with respect to treasury, depositary and cash management services or automated clearinghouse transfer of funds (including pooled account arrangements and netting arrangements or claims against any clearing agent or custodian with respect thereto); provided that, unless such Liens are non-consensual and arise by operation of law, in no case shall any such Liens secure (either directly or indirectly) the repayment of any other Indebtedness;
(k)    (i) Liens granted pursuant to the Loan Documents to secure the Secured Obligations, (ii) pursuant to the Revolving Credit Security Documents to secure the “Secured Obligations” (as defined in the Revolving Credit Agreement) and any Permitted Revolving Credit Facility Refinancings thereof, (iii) pursuant to the Third Lien Security Documents to secure the “Secured Obligations” (as 

    
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defined in the Third Lien Credit Agreement) and any Permitted Refinancing thereof, (iv) Liens securing Permitted First Priority Refinancing Debt and Permitted Second Priority Refinancing Debt, (v)  Liens securing Additional Senior Secured Indebtedness that are pari passu with the Liens securing the Secured Obligations and subject to the terms of the Intercreditor Agreement and (vi) Liens securing Junior Secured Indebtedness that are subordinated to the Liens securing the Secured Obligations and subject to the terms of the Intercreditor Agreement;
(l)    licenses of Intellectual Property granted by any Company in the ordinary course of business and not interfering in any material respect with the ordinary conduct of business of the Companies;
(m)    the filing of UCC or PPSA financing statements (or the equivalent in other jurisdictions) solely as a precautionary measure in connection with operating leases or consignment of goods;
(n)    (x) Liens on property of Excluded Subsidiaries securing Indebtedness of Excluded Subsidiaries permitted by Section 6.01(m), (y) Liens on property of Restricted Subsidiaries that are organized in a Principal Jurisdiction consisting of Revolving Credit Priority Collateral and Hedging Agreements related to the value of such Revolving Credit Priority Collateral securing Indebtedness of such Restricted Subsidiaries permitted by Section 6.01(m) and (z) Liens on property of NKL securing Indebtedness permitted by Section 6.01(p); 
(o)    Liens securing the refinancing of any Indebtedness secured by any Lien permitted by clauses (c), (i), (k) or (r) of this Section 6.02 or this clause (o) without any change in the assets subject to such Lien and to the extent such refinanced Indebtedness is permitted by Section 6.01;
(p)    to the extent constituting a Lien, the existence of an “equal and ratable” clause in the Senior Note Documents (and any Permitted Refinancings thereof) and other debt securities issued by a Loan Party that are permitted under Section 6.01 (but, in each case, not any security interests granted pursuant thereto); 
(q)    Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of customs duties in connection with the importation of goods in the ordinary course of business;
(r)    Liens on assets acquired in a Permitted Acquisition or other Acquisitions permitted under Section 6.04 or on property of a person existing at the time such person is acquired or merged with or into or amalgamated or consolidated with any Company to the extent permitted hereunder or such assets are acquired (and not created in anticipation or contemplation thereof); provided that (i) such Liens do not extend to property not subject to such Liens at the time of acquisition (other than improvements thereon and proceeds thereof) and are no more favorable to the lienholders than such existing Lien and (ii) (x) such Liens secure obligations in respect of Indebtedness permitted under Section 6.01(ff), so long as such Liens do not extend to any assets of any Person other than the assets of one or more Companies organized under the laws of the People’s Republic of China that is not a Loan Party, or (y) the aggregate principal amount of Indebtedness secured by such Liens does not exceed the greater of (1) $200,000,000 and (2) 4% of Consolidated Net Tangible Assets at any time outstanding;

    
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(s)    any encumbrance or restriction (including put and call agreements) solely in respect of the Equity Interests of any Joint Venture or Joint Venture Subsidiary that is not a Loan Party, contained in such Joint Venture’s or Joint Venture Subsidiary’s Organizational Documents or the joint venture agreement or stockholders agreement in respect of such Joint Venture or Joint Venture Subsidiary;
(t)    (A) Liens granted in connection with Indebtedness permitted under Section 6.01(e) that are limited in each case to the Securitization Assets transferred or assigned pursuant to the related Qualified Securitization Transaction and (B) Liens granted in connection with a Permitted Factoring Facility pursuant to Section 6.06(e) that are limited in each case to precautionary Liens on the Receivables sold, transferred or disposed of pursuant to such transaction, and Liens on the other Factoring Assets with respect thereto; 
(u)    Liens not otherwise permitted by this Section 6.02 securing liabilities not in excess of the greater of (x) $100,000,000 and (y) 2% of Consolidated Net Tangible Assets in the aggregate at any time outstanding;
(v)    to the extent constituting Liens, rights under purchase and sale agreements with respect to Equity Interests or other assets permitted to be sold in Asset Sales permitted under Section 6.06; 
(w)    Liens securing obligations owing to the Loan Parties so long as such obligations and Liens, where owing by or on assets of Loan Parties, are subordinated to the Secured Obligations and to the Secured Parties’ Liens on the Collateral in a manner satisfactory to the Administrative Agent; 
(x)    Liens created, arising or securing obligations under the Receivables Purchase Agreements; 
(y)    Liens on deposits provided by customers or suppliers in favor of such customers or suppliers securing the obligations of the Designated Company or its Restricted Subsidiaries to refund deposits posted by customers or suppliers pursuant to forward sale agreements entered into by the Designated Company or its Restricted Subsidiaries in the ordinary course of business; 
(z)    Liens on cash advances in favor of the seller of any property to be acquired in an Investment permitted pursuant to Section 6.04 to be applied against the purchase price for such Investment; 
(aa)    the pledge of Qualified Capital Stock of any Unrestricted Subsidiary;
(bb)    Liens in favor of any underwriter, depositary or stock exchange on the Equity Interests in NKL or its direct parents, 4260848 Canada Inc., 4260856 Canada Inc. and 8018227 Canada Inc. and any securities accounts in which such Equity Interests are held in connection with any listing or offering of Equity Interests in NKL, to the extent required by applicable Requirements of Law or stock exchange requirements (and not securing Indebtedness);
(cc)    (i) Liens that are contractual rights of set-off (A) relating to the establishment of depository relations with banks, (B) relating to pooled deposit or sweep accounts of any Company to permit satisfaction of overdraft or similar obligations and other cash management activities incurred 

    
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in the ordinary course of business of the Companies or (C) relating to purchase orders and other similar agreements entered into with customers of the Companies in the ordinary course of business, (ii) Liens of a collection bank arising under Section 4-210 of the Uniform Commercial Code on items in the course of collection, (iii) Liens encumbering reasonable customary initial deposits and, to the extent required by applicable law, margin deposits, in each case attaching to commodity trading accounts or other brokerage accounts incurred in the ordinary course of business and (iv) Liens in favor of banking institutions, securities intermediaries and clearing agents (including the right of set-off) and which are within the general parameters customary in the banking industry and not granted in connection with the incurrence of Indebtedness; 
(dd)    (i) Cash collateral securing Indebtedness incurred pursuant to Section 6.01(h) and (ii) commencing on the Aleris Acquisition Closing Date and ending on the date that is 180 days after such date, cash collateral securing obligations under the Specified Aleris Hedging Agreements; and
(ee)    Liens securing Indebtedness incurred pursuant to Section 6.01(cc); provided that any such Liens attach only to the property being financed pursuant to such Indebtedness and any proceeds of such property and do not encumber any other property of any Company (other than pursuant to customary cross-collateralization provisions with respect to other property of a Company that also secure Indebtedness owed to the same financing party or its Affiliates that is permitted under Section 6.01(f), Section 6.01(g), or Section 6.01(cc));
provided, however, that notwithstanding any of the foregoing, no consensual Liens (other than Liens permitted under clauses (s), (v) and (bb) above, in the case of Securities Collateral or Chinese Subsidiary Equity Interests) shall be permitted to exist, directly or indirectly, on any Securities Collateral or any Chinese Subsidiary Equity Interests, other than Liens granted pursuant to the applicable Security Documents and, so long as such Lien is also granted pursuant to the applicable Security Documents, the Revolving Credit Security Documents, the Third Lien Security Documents or any agreement, document or instrument pursuant to which any Lien is granted securing any Additional Secured  Indebtedness, Permitted First Priority Refinancing Debt, Permitted Second Priority Refinancing Debt or Junior Secured Indebtedness.
Any reference in this Agreement or any of the other Loan Documents to a Lien permitted by this Agreement is not intended to subordinate or postpone, and shall not be interpreted as subordinating or postponing, or as any agreement to subordinate or postpone, any Lien created by any of the Loan Documents to any Lien permitted hereunder.
Section 6.03    Sale and Leaseback Transactions.  Enter into any arrangement, directly or indirectly, with any person whereby it shall sell or transfer any property, real or personal, used or useful in its business, whether now owned or hereafter acquired, and thereafter rent or lease such property or other property which it intends to use for substantially the same purpose or purposes as the property being sold or transferred (a “Sale and Leaseback Transaction”) unless (i) the sale of such property is permitted by Section 6.06, (ii) any Liens arising in connection with its use of such property are permitted by Section 6.02 and (iii) after giving effect to such Sale and Leaseback Transaction, the aggregate fair market value of all properties covered by Sale and Leaseback Transactions entered into would not exceed (A) in the case of a Sale and Leaseback Transaction constituting Indebtedness incurred pursuant to Section 6.01(cc), the greater of (x) $150,000,000 and (y) 3% of Consolidated Net Tangible Assets 

    
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at any time and (B) in the case of all other Sale and Leaseback Transactions, the greater of (x) $250,000,000 and (y) 5% of Consolidated Net Tangible Assets.
Section 6.04    Investments, Loan and Advances.  Directly or indirectly, lend money or credit (by way of guarantee or otherwise) or make advances to any person, or purchase or acquire any stock, bonds, notes, debentures or other obligations or securities of, or any other ownership interest in, or make any capital contribution to, any other person, or purchase or otherwise acquire (in one transaction or a series of transactions) all or substantially all of the property and assets or business of any other person or assets constituting a business unit, line of business or division of any other person, or purchase or own a futures contract or otherwise become liable for the purchase or sale of currency or other commodities at a future date in the nature of a futures contract (all of the foregoing, collectively, “Investments”; it being understood that (x) the amount of any Investment shall be the amount actually invested, without adjustment for subsequent increases or decreases in the value of such Investment and when determining the amount of an Investment that remains outstanding, the last paragraph of this Section 6.04 shall apply, (y) in the event a Restricted Subsidiary ceases to be a Restricted Subsidiary as a result of being designated an Unrestricted Subsidiary, the Designated Company will be deemed to have made an Investment in such Unrestricted Subsidiary as of the date of such designation, as provided in Section 5.16 and (z) in the event a Restricted Subsidiary ceases to be a Restricted Subsidiary as a result of an Asset Sale or similar transaction, and the Designated Company and its Restricted Subsidiaries continue to own Equity Interests in such Restricted Subsidiary, the Designated Company will be deemed, at the time of such transaction and after giving effect thereto, to have made an Investment in such Person equal to the fair market value of the Designated Company’s and its Restricted Subsidiaries’ Investments in such Person at such time), except that the following shall be permitted:  

(a)    Investments consisting of unsecured guaranties by Loan Parties of, or other unsecured Contingent Obligations with respect to, operating payments not constituting Indebtedness for borrowed money incurred by Restricted Subsidiaries that are not Loan Parties or that are Restricted Grantors, in the ordinary course of business, that, to the extent paid by such Loan Party, shall not exceed an aggregate amount equal to the greater of (x) $100,000,000 and (y) 2% of Consolidated Net Tangible Assets less the amount of Contingent Obligations by Loan Parties in respect of Companies that are not Loan Parties or that are Restricted Grantors permitted pursuant to Section 6.01(i)(ii);
(b)    Investments outstanding on the Closing Date and identified on Schedule 6.04(b); 
(c)    the Companies may (i) acquire and hold accounts receivable owing to any of them if created or acquired in the ordinary course of business or in connection with a Permitted Acquisition or other Acquisition permitted under Section 6.04, (ii) invest in, acquire and hold cash and Cash Equivalents, (iii) endorse negotiable instruments held for collection in the ordinary course of business or (iv) make lease, utility and other similar deposits in the ordinary course of business;
(d)    Investments of Securitization Assets in Securitization Entities in connection with Qualified Securitization Transactions permitted by Section 6.01(e); 
(e)    the Loan Parties and their Restricted Subsidiaries may make loans and advances (including payroll, travel and entertainment related advances) in the ordinary course of business to 

    
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their respective employees (other than any loans or advances to any director or executive officer (or equivalent thereof) that would be in violation of Section 402 of the Sarbanes-Oxley Act) so long as the aggregate principal amount thereof at any time outstanding (determined without regard to any write-downs or write-offs of such loans and advances) shall not exceed (when aggregated with loans and advances outstanding pursuant to clause (h) below) $15,000,000;
(f)    any Company may enter into Hedging Agreements (including Contingent Obligations of any Company with respect to Hedging Obligations of any other Company) to the extent permitted by Section 6.01(c);
(g)    Investments made by any Company as a result of consideration received in connection with an Asset Sale made in compliance with Section 6.06; provided, that if such Investment or Asset Sale involves a Transferred Aleris Foreign Subsidiary, such transaction shall comply with the requirements set forth in the definition of Permitted Aleris Foreign Subsidiary Transfer;
(h)    loans and advances to directors, employees and officers of the Loan Parties and their Restricted Subsidiaries for bona fide business purposes, in aggregate amount not to exceed (when aggregated with loans and advances outstanding pursuant to clause (e) above) $15,000,000 at any time outstanding; provided that no loans in violation of Section 402 of the Sarbanes-Oxley Act shall be permitted hereunder;
(i)    Investments (i) by any Company in any other Company outstanding on the Closing Date, (ii) by any Company in any Unrestricted Grantor, (iii) by any Restricted Grantor in any other Restricted Grantor, (iv) by an Unrestricted Grantor in any Restricted Grantor so long as, on a Pro Forma Basis after giving effect to and at the time of such Investment, the Consolidated Interest Coverage Ratio shall be greater than 2.0 to 1.0, (v) by any Loan Party in any Company that is not a Loan Party in an aggregate amount not to exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, and (vi) by any Company that is not a Loan Party in any other Company; provided that any such Investment in the form of a loan or advance to any Loan Party shall be subordinated to the Secured Obligations on terms reasonably satisfactory to the Administrative Agent and, in the case of a loan or advance by a Loan Party, evidenced by an Intercompany Note and pledged by such Loan Party as Collateral pursuant to the Security Documents;
(j)    Investments in securities or other obligations received upon foreclosure or pursuant to any plan of reorganization or liquidation or similar arrangement upon the bankruptcy or insolvency of trade creditors or customers or in connection with the settlement of delinquent accounts in the ordinary course of business, and Investments received in good faith in settlement of disputes or litigation;
(k)    Investments in Joint Ventures in which the Loan Parties hold at least 50% of the outstanding Equity Interests or Joint Venture Subsidiaries made with the Net Cash Proceeds of (x) arm’s length sales or dispositions for cash of Equity Interests in a Joint Venture Subsidiary for fair market value or (y) the issuance of Equity Interests in a Joint Venture Subsidiary, in each case as permitted by Section 6.06 hereof;

    
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(l)    Investments in Norf GmbH in an aggregate amount not to exceed €100,000,000 at any time outstanding;
(m)    Permitted Acquisitions; 
(n)    Investments consisting of Standard Factoring Undertakings in respect of Permitted Factoring Facilities pursuant to Section 6.06(e);
(o)    Mergers, amalgamations and consolidations in compliance with Section 6.05; provided that the Lien on and security interest in such Investment granted or to be granted in favor of the Collateral Agent under the Security Documents shall be maintained or created in accordance with the provisions of Section 5.11 or Section 5.12, as applicable;
(p)    Investments in respect of Cash Pooling Arrangements, subject to the limitations set forth in Section 6.07; 
(q)    Investments consisting of guarantees of Indebtedness referred to in clauses (i) (to the extent such guarantee is in effect on the Closing Date or permitted as part of a Permitted Refinancing) and (ii) of Section 6.01(b) and Contingent Obligations permitted by Section 6.01(c) or (i); 
(r)    other Investments in an aggregate amount not to exceed:
(i)    so long as the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investments and any related Indebtedness, would not exceed 3.50 to 1.00, (x) prior to the consummation of the Aleris Acquisition, $75,000,000 during any fiscal year of the Designated Company or (y) upon and after the consummation of the Aleris Acquisition, $125,000,000 during any fiscal year of the Designated Company;
(ii)    so long as (A) the Consolidated Interest Coverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related Indebtedness, would exceed 2.0 to 1.0 and (B) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related Indebtedness, would not exceed 3.50 to 1.00, the then available Cumulative Credit; 
(iii)     so long as (A) the Total Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related 

    
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Indebtedness, would not exceed 4.0 to 1.0, (B) Liquidity after giving effect to such Investment shall be greater than or equal to $750,000,000 and (C) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related Indebtedness, would not exceed 3.50 to 1.00, the then available Annual Credit; 
(iv)    so long as (A) the Total Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related Indebtedness,  would not exceed 3.5 to 1.0 and (B) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related Indebtedness, would not exceed 3.50 to 1.00, such additional amounts as the Designated Company may determine (the cumulative amount of Investments made after the Closing Date under this clause (iv) at any time that the Total Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related Indebtedness, would exceed 2.0 to 1.0, referred to as the “Investment Recapture Amount”); and
(v)    so long as the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Investment and any related Indebtedness, would not exceed 3.50 to 1.00, (i) (A) prior to the consummation of the Aleris Acquisition, $75,000,000 over the term of this Agreement or (B) upon and after the consummation of the Aleris Acquisition, $125,000,000 over the term of this Agreement minus (ii) the aggregate amount of Dividends made pursuant to Section 6.08(g); 
(s)    Investments consisting of unsecured guaranties permitted pursuant to Section 6.01(o);
(t)    Investments by any Company in any other Company; provided that such Investment is part of a Series of Cash Neutral Transactions and no Default has occurred and is continuing;
(u)    Investments consisting of (i) unsecured guaranties by Novelis Inc. of NKL’s indemnification obligations owing to (x) the Ulsan JV Subsidiary attributable to employment-related claims or claims of former employees of NKL, and (y) the Ulsan Joint Venture Partner for losses of the Ulsan Joint Venture Partner arising from NKL’s breach of representations, warranties and covenants applicable to NKL under the Ulsan Sale Agreement; provided that Novelis Inc.’s maximum aggregate liability under the guaranties described in this clause (i) shall not exceed $157,500,000, and (ii) an unsecured guaranty by Novelis Inc. of NKL’s indemnification obligations owing to the Ulsan JV 

    
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Subsidiary for losses of the Ulsan JV Subsidiary arising from environmental liabilities that relate to actions occurring prior to the closing of the Ulsan Share Sale; provided that Novelis Inc.’s maximum aggregate liability under the guaranty described in this clause (ii) shall not exceed $157,500,000;
(v)    Investments in Ulsan JV Subsidiary in an aggregate amount not to exceed ₩125,000,000,000 at any time outstanding; 
(w)    Investments by any Loan Party in any Company organized under the laws of the People’s Republic of China that is not a Loan Party in an aggregate amount not to exceed $290,000,000; 
(x)    to the extent constituting an Investment, (i) the Permitted Reorganization; provided that the terms and conditions set forth in the definition of Permitted Reorganization and, to the extent applicable, the definition of Permitted Reorganization Actions shall have been satisfied; provided, further, that all such Investments involving a loan or advance, or otherwise in the form of an Intercompany Note, shall be documented as an Intercompany Note and shall be subordinated to the Secured Obligations (to the extent evidencing a payment obligation of a Loan Party) on terms reasonably satisfactory to the Administrative Agent, and shall be pledged as Collateral pursuant to the Security Documents, and (ii) the Permitted Aleris Foreign Subsidiary Transfers; and
(y)    Permitted Fiscal Unity Liability;
provided that (x) any such Investment in the form of a loan or advance to any Loan Party shall be subordinated to the Secured Obligations on terms reasonably satisfactory to the Administrative Agent and, in the case of a loan or advance by a Loan Party, evidenced by an Intercompany Note and pledged by such Loan Party as Collateral pursuant to the Security Documents and (y) with respect to any Investment in an aggregate amount in excess of $50,000,000, on or prior to the date of any Investment pursuant to Section 6.04(r)(ii), (iii) or (iv), the Designated Company shall deliver to the Administrative Agent an Officer’s Certificate specifying which clause of Section 6.04(r) such Investment is being made pursuant to and calculating in reasonable detail the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the amount thereof elected to be so applied, the Total Net Leverage Ratio, Senior Secured Net Leverage Ratio and Consolidated Interest Coverage Ratio referred to above and, in the case of Investments pursuant to clause (iii) above, the amount of Liquidity referred to therein.
An Investment shall be deemed to be outstanding to the extent not returned in the same form as the original Investment to any Company.  The outstanding amount of an Investment shall, in the case of a Contingent Obligation that has been terminated, be reduced to the extent no payment is or was made with respect to such Contingent Obligation upon or prior to the termination of such Contingent Obligation; and the outstanding amount of other Investments shall be reduced by the amount of cash or Cash Equivalents received with respect to such Investment upon the sale or disposition thereof, or constituting a return of capital with respect thereto or, repayment of the principal amount thereof, in the case of a loan or advance.  

    
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Section 6.05    Mergers, Amalgamations and Consolidations.  Wind up, liquidate or dissolve its affairs or enter into any transaction of merger, amalgamation or consolidation (or agree to do any of the foregoing at any future time), except that the following shall be permitted:
(a)    Asset Sales in compliance with Section 6.06;
(b)    Permitted Acquisitions in compliance with Section 6.04;
(c)    (i) any Company may merge, amalgamate or consolidate with or into any Unrestricted Grantor (provided that in the case of any merger, amalgamation or consolidation involving (w) Designated Holdco, Designated Holdco is the surviving or resulting person, (x) except as provided in the definition of Permitted Holdings Amalgamation, the Borrower, the Borrower is the surviving or resulting person, (y) a Co-Borrower, such Co-Borrower is the surviving or resulting person, and (z) in any other case, an Unrestricted Grantor is the surviving or resulting person, (ii) any Restricted Grantor may merge, amalgamate or consolidate with or into any other Restricted Grantor (provided that (x) a Subsidiary Guarantor is the surviving or resulting person or (y) in the case of any merger, amalgamation or consolidation involving a Co-Borrower (other than the Borrower or Designated Holdco), such Co-Borrower is the surviving or resulting person), (iii) Novelis Aluminum Holding Company and Novelis Deutschland GmbH may merge provided Novelis Deutschland GmbH is the surviving or resulting person, and (iv) any Company that is not a Loan Party may merge, amalgamate or consolidate with or into any Restricted Grantor (provided that a Subsidiary Guarantor or a Co-Borrower is the surviving or resulting person); provided that, in the case of each of the foregoing clauses (i) through (iv), (1) the surviving or resulting person is a Wholly Owned Subsidiary of Holdings (or the Borrower or a Wholly Owned Subsidiary of the Borrower following a Qualified Borrower IPO), (2) the Lien on and security interest in such property granted or to be granted in favor of the Collateral Agent under the Security Documents shall be maintained in full force and effect and perfected and enforceable (to at least the same extent as in effect immediately prior to such transfer) or created in accordance with the provisions of Section 5.11 or Section 5.12, as applicable (for purposes of each step of the Permitted Reorganization, without regard to any time periods provided for in such Sections) and (3) no Default is then continuing or would result therefrom; provided that in the case of any amalgamation or consolidation involving a Loan Party, at the request of the Administrative Agent, such Loan Party and each other Loan Party shall confirm its respective Secured Obligations and Liens under the Loan Documents in a manner reasonably satisfactory to the Administrative Agent;
(d)    any Restricted Subsidiary that is not a Loan Party may merge, amalgamate or consolidate with or into any other Restricted Subsidiary that is not a Loan Party;
(e)    AV Metals and the Borrower may consummate the Permitted Holdings Amalgamation; 
(f)    any Restricted Subsidiary of the Designated Company (other than a Co-Borrower) may dissolve, liquidate or wind up its affairs at any time; provided that such dissolution, liquidation or winding up, as applicable, could not reasonably be expected to have a Material Adverse Effect; and
(g)    any Unrestricted Grantor (other than Holdings, Designated Holdco or the Co-Borrowers) may dissolve, liquidate or wind-up its affairs (collectively, “Wind-Up”), so long as all of its assets are distributed or otherwise transferred to any other Unrestricted Grantor and any Restricted 

    
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Grantor may Wind-Up so long as all of its assets are distributed or otherwise transferred to a Restricted Grantor or an Unrestricted Grantor; provided that (1) the Lien on and security interest in such property granted or to be granted in favor of the Collateral Agent under the Security Documents shall be maintained in full force and effect and perfected and enforceable (to at least the same extent as in effect immediately prior to such transfer) or created in accordance with the provisions of Section 5.11 or Section 5.12, as applicable and (2) no Default is then continuing or would result therefrom.
Section 6.06    Asset Sales.  Effect any Asset Sale except that the following shall be permitted:
(a)    disposition of used, worn out, obsolete or surplus property by any Company in the ordinary course of business and the abandonment or other disposition of Intellectual Property that is, in the reasonable judgment of the Designated Company, no longer economically practicable to maintain or useful in the conduct of the business of the Companies taken as a whole;
(b)    so long as no Default is then continuing or would result therefrom, any other Asset Sale (other than the Equity Interests of any Wholly Owned Subsidiary that is a Restricted Subsidiary unless, after giving effect to any such Asset Sale, such person either ceases to be a Restricted Subsidiary or, in the case of an Excluded Collateral Subsidiary, becomes a Joint Venture Subsidiary) for fair market value, with at least 75% of the consideration received for all such Asset Sales or related Asset Sales in which the consideration received exceeds $50,000,000 payable in cash upon such sale (provided, however, that for the purposes of this clause (b), the following shall be deemed to be cash: (i) any liabilities (as shown on the Designated Company’s most recent balance sheet provided hereunder or in the footnotes thereto) of the Designated Company or such Restricted Subsidiary, other than liabilities that are by their terms subordinated to the payment in cash of the Obligations, that are assumed by the transferee with respect to the applicable Asset Sale and for which Holdings, the Designated Company and all of its Restricted Subsidiaries shall have been validly released by all applicable creditors in writing, (ii) any securities received by the Designated Company or the applicable Restricted Subsidiary from such transferee that are converted by the Designated Company or such Restricted Subsidiary into cash (to the extent of the cash received) within 180 days following the closing of the applicable Asset Sale, and (iii) aggregate non-cash consideration received by the Designated Company or the applicable Restricted Subsidiary having an aggregate fair market value (determined as of the closing of the applicable Asset Sale for which such non-cash consideration is received) not to exceed $75,000,000 at any time (net of any non-cash consideration converted into cash));
(c)    leases, subleases or licenses of the properties of any Company in the ordinary course of business and which do not, individually or in the aggregate, interfere in any material respect with the ordinary conduct of the business of any Company;
(d)    mergers and consolidations, and liquidations and dissolutions in compliance with Section 6.05;
(e)    sales, transfers and other dispositions of Receivables for the fair market value thereof in connection with a Permitted Factoring Facility; provided that no Default shall be outstanding after giving effect thereto and (A) with respect to any such sale, transfer or disposition of Receivables incurred by a Company that is organized in a Principal Jurisdiction, such transaction is a Permitted German Alternative Financing, Permitted Customer Account Financing or Permitted Novelis 

    
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Switzerland Financing, (B) with respect to any such sale, transfer of disposition of Receivables incurred by a Company that is organized in a Non-Principal Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities that are organized in a Non-Principal Jurisdiction under all Qualified Securitization Transactions under Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Principal Jurisdiction then outstanding under Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Principal Jurisdiction subject to a Permitted Factoring Facility pursuant to this Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Principal Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, and (C) with respect to any such sale, transfer or disposition of Receivables incurred by a Company that is organized in a Non-Loan Party Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities that are organized in a Non-Loan Party Jurisdiction under all Qualified Securitization Transactions under Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Loan Party Jurisdiction then outstanding under Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Loan Party Jurisdiction subject to a Permitted Factoring Facility pursuant to this Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Loan Party Jurisdiction for Asset Sales permitted under Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000;
(f)    the sale or disposition of cash and Cash Equivalents in connection with a transaction otherwise permitted under the terms of this Agreement;
(g)    assignments and licenses of Intellectual Property of any Loan Party and its Subsidiaries in the ordinary course of business and which do not, individually or in the aggregate, interfere in any material respect with the ordinary conduct of the business of any Company;
(h)    Asset Sales (i) by and among Unrestricted Grantors (other than Holdings), (ii) by any Restricted Grantor to any other Restricted Grantor, (iii) by any Restricted Grantor to any Unrestricted Grantor so long as the consideration paid by the Unrestricted Grantor in such Asset Sale does not exceed the fair market value of the property transferred, (iv) by (x) any Unrestricted Grantor to any Restricted Grantor for fair market value and (y) by any Loan Party to any Restricted Subsidiary that is not a Loan Party for fair market value provided that the fair market value of such Asset Sales under this clause (iv) does not exceed the greater of (1) $200,000,000 and (2) 4% of Consolidated Net Tangible Assets in the aggregate for all such Asset Sales since the Closing Date, (v) by any Company that is not a Loan Party to any Loan Party so long as the consideration paid by the Loan Party in such Asset Sale does not exceed the fair market value of the property transferred, and (vi) by and among Companies 

    
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that are not Loan Parties; provided that (A) in the case of any transfer from one Loan Party to another Loan Party, any security interests granted to the Collateral Agent for the benefit of the Secured Parties pursuant to the relevant Security Documents in the assets so transferred shall (1) remain in full force and effect and perfected and enforceable (to at least the same extent as in effect immediately prior to such transfer) or (2) be replaced by security interests granted to the Collateral Agent for the benefit of the Secured Parties pursuant to the relevant Security Documents, which new security interests shall be in full force and effect and perfected and enforceable (to at least the same extent as in effect immediately prior to such transfer) and (B) no Default is then continuing or would result therefrom;
(i)    the Companies may consummate Asset Swaps so long as (x) each such sale is in an arm’s-length transaction and the applicable Company receives at least fair market value consideration (as determined in good faith by such Company), (y) the Collateral Agent shall have a First Priority perfected Lien on the assets acquired pursuant to such Asset Swap at least to the same extent as the assets sold pursuant to such Asset Swap (immediately prior to giving effect thereto) and (z) the aggregate fair market value of all assets sold pursuant to this clause (i) shall not exceed the greater of (1) 2% of Consolidated Net Tangible Assets and (2) $100,000,000 in the aggregate since the Closing Date; provided that so long as the assets acquired by any Company pursuant to the respective Asset Swap are located in the same country as the assets sold by such Company, such aggregate cap will not apply to such Asset Swap; 
(j)    sales, transfers and other dispositions of Receivables (whether now existing or arising or acquired in the future) and Related Security to a Securitization Entity in connection with a Qualified Securitization Transaction permitted under Section 6.01(e) and all sales, transfers or other dispositions of Securitization Assets by a Securitization Entity under, and pursuant to, a Qualified Securitization Transaction permitted under Section 6.01(e);
(k)    to the extent constituting an Asset Sale, the Permitted Holdings Amalgamation; 
(l)    issuances of Equity Interests by Joint Venture Subsidiaries and Excluded Collateral Subsidiaries; 
(m)    Asset Sales among Companies of promissory notes or Equity Interests or similar instruments issued by a Company; provided that such Asset Sales are part of a Series of Cash Neutral Transactions and no Default has occurred and is continuing; 
(n)    the sale of Receivables made pursuant to the Receivables Purchase Agreement; 
(o)    to the extent constituting an Asset Sale, Investments permitted by Section 6.04(i); 
(p)    issuances of Qualified Capital Stock (including by way of sales of treasury stock) or any options or warrants to purchase, or securities convertible into, any Qualified Capital Stock (A) for stock splits, stock dividends and additional issuances of Qualified Capital Stock which do not decrease the percentage ownership of the Loan Parties in any class of the Equity Interests of such issuing Company and (B) by Subsidiaries of the Designated Company formed after the Closing Date to the Designated Company or the Subsidiary of the Designated Company which is to own such Qualified Capital Stock.  All Equity Interests issued in accordance with this Section 6.06(p) shall, to the extent 

    
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required by Section 5.11 or any Security Document or if such Equity Interests are issued by any Loan Party (other than Holdings), be delivered to the Collateral Agent; 
(q)    transfers of 100% of the Equity Interests of any Chinese Subsidiary or Korean Subsidiary of the Designated Company to a wholly-owned U.S. Loan Party; provided that (i) any security interests granted to the Collateral Agent for the benefit of any Secured Parties pursuant to the relevant Security Documents in the Equity Interests so transferred shall be replaced by security interests granted to the Collateral Agent for the benefit of the relevant Secured Parties pursuant to the relevant Security Documents in 100% of the Equity Interests of such U.S. Loan Party and 65% of the Equity Interests of such Chinese Subsidiary if held directly by such U.S. Loan Party, which new security interests shall be in full force and effect and perfected and enforceable (to at least the same extent as the security interests in such transferred Subsidiary in effect immediately prior to such transfer (it being understood that registration of such pledge may take place following such transfer to the extent required by applicable law)) and (ii) no Default is then continuing or would result therefrom; 
(r)    sales, transfers and other dispositions of Inventory in order to finance working capital; provided that no Default shall be outstanding after giving effect thereto and (A) with respect to any such sale, transfer of disposition by a Company that is organized in a Principal Jurisdiction, such transaction is a Permitted German Alternative Financing, (B) with respect to any such sale, transfer or disposition of Receivables incurred by a Company that is organized in a Non-Principal Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities that are organized in a Non-Principal Jurisdiction under all Qualified Securitization Transactions under this Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Principal Jurisdiction then outstanding under Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Principal Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Principal Jurisdiction for Asset Sales permitted under this Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000, and (C) with respect to any such sale, transfer or disposition of Receivables incurred by a Company that is organized in a Non-Loan Party Jurisdiction, the sum of (w) the aggregate outstanding principal amount of the Indebtedness of all Securitization Entities that are organized in a Non-Loan Party Jurisdiction under all Qualified Securitization Transactions under this Section 6.01(e), plus (x) the aggregate amount of Indebtedness incurred by a Subsidiary that is organized in a Non-Loan Party Jurisdiction then outstanding under Section 6.01(m), plus (y) the aggregate book value at the time of determination of the then outstanding Receivables of a Company that is organized in a Non-Loan Party Jurisdiction subject to a Permitted Factoring Facility pursuant to Section 6.06(e) at such time, plus (z) the aggregate consideration received by a Company that is organized in a Non-Loan Party Jurisdiction for Asset Sales permitted under this Section 6.06(r) (net of amounts paid by such Company to repurchase the Inventory subject to such Asset Sales) (but in each case excluding any Permitted German Alternative Financing, any Permitted Novelis Switzerland Financing and any Permitted Customer Account Financing), shall not exceed the greater of (x) 15% of Consolidated Net Tangible Assets and (y) $750,000,000;

    
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(s)    Asset Sales of 100% of the Equity Interests of any Chinese Subsidiary of the Designated Company to a Chinese holding company that is a direct Wholly Owned Subsidiary of the Designated Company; provided that (i) any security interests granted to the Collateral Agent for the benefit of any Secured Parties pursuant to the relevant Security Documents in the Equity Interests so transferred shall be replaced by security interests granted to the Collateral Agent for the benefit of the relevant Secured Parties pursuant to the relevant Security Documents in 100% of the Equity Interests of such holding company Subsidiary, which new security interests shall be in full force and effect and perfected and enforceable (to at least the same extent as the security interests in such transferred Subsidiary in effect immediately prior to such transfer (it being understood that registration of such pledge may take place following such transfer to the extent required by applicable law)) and (ii) no Default is then continuing or would result therefrom;
(t)    any sale, lease transfer or other disposition in connection with any industrial revenue bond or similar program that does not result in the recognition of the sale or the asset transfer in accordance with GAAP, or any similar transaction;
(u)    the Ulsan Share Sale; 
(v)    the NKL Share Repurchase; 
(w)    any Permitted Aleris Foreign Subsidiary Transfer; and 
(x)    to the extent constituting an Asset Sale, the Permitted Reorganization; provided that the terms and conditions set forth in the definition of Permitted Reorganization and, to the extent applicable, the definition of Permitted Reorganization Actions shall have been satisfied; provided, further, that all such Asset Sales involving (whether as consideration or otherwise) a loan or advance, or that otherwise involves an Intercompany Note, shall be permitted solely to the extent that such loan or advance is documented as an Intercompany Note, and all Intercompany Notes in connection therewith shall be subordinated to the Secured Obligations on terms reasonably satisfactory to the Administrative Agent, and shall be pledged as Collateral pursuant to the Security Documents.
Section 6.07    Cash Pooling Arrangements.  Amend, vary or waive any term of the Cash Pooling Arrangements or enter into any new pooled account or netting agreement with any Affiliate in a manner materially adverse to the Lenders or which adversely affects the security interests in such accounts.  Without the consent of the Administrative Agent under the Revolving Credit Agreement, permit the aggregate amount owed pursuant to the Cash Pooling Arrangements by all Companies who are not Loan Parties (other than any Company (x) that has pledged assets to secure the Secured Obligations on terms reasonably satisfactory to the Administrative Agent and the Collateral Agent and (y) the accounts of which included in such Cash Pooling Arrangements are limited to zero balance disbursement accounts that forward daily all amounts to an account of a Loan Party (subject to customary payments with respect to overdrafts)) minus the aggregate amount on deposit pursuant to the Cash Pooling Arrangements from such Persons to exceed the greater of (i) €75,000,000 and (ii) 2.0% of Consolidated Net Tangible Assets.
Section 6.08    Dividends.  Declare or pay, directly or indirectly, any Dividends with respect to any Company, except that the following shall be permitted:

    
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(a)    (i) Dividends by any Company to any Loan Party that is a Wholly Owned Subsidiary of Holdings (or the Borrower or a Wholly Owned Subsidiary of the Borrower following a Qualified Borrower IPO), (ii) Dividends by Holdings (or the Borrower following a Qualified Borrower IPO) payable solely in Qualified Capital Stock and (iii) Dividends by Holdings payable with the proceeds of Permitted Holdings Indebtedness;
(b)    (i) Dividends by any Company that is not a Loan Party to any other Company that is not a Loan Party but is a Wholly Owned Subsidiary of Holdings (or the Borrower or a Wholly Owned Subsidiary of the Borrower following a Qualified Borrower IPO) and (ii) cash Dividends by any Company that is not a Loan Party to the holders of its Equity Interests on a pro rata basis;
(c)    (A) to the extent actually used by Holdings to pay such franchise taxes, costs and expenses, fees, payments by the Designated Company to or on behalf of Holdings in an amount sufficient to pay franchise taxes and other fees solely required to maintain the legal existence of Holdings, (B) payments by the Designated Company to or on behalf of Holdings in an amount sufficient to pay out-of-pocket legal, accounting and filing costs and other expenses in the nature of overhead in the ordinary course of business of Holdings, and (C) management, consulting, monitoring and advisory fees and related expenses and termination fees pursuant to a management agreement with one or more Specified Holders relating to the Designated Company (collectively, the “Management Fees”), in the case of clauses (A), (B) and (C) in an aggregate amount not to exceed in any calendar year the greater of (i) $20,000,000 and (ii) 1.5% of the Designated Company’s Consolidated EBITDA in the prior calendar year; 
(d)    the Designated Company may pay cash Dividends to the holders of its Equity Interests and, if Holdings is a holder of such Equity Interests, the proceeds thereof may be utilized by Holdings to pay cash Dividends to the holders of its Equity Interests in an amount not to exceed:
(i)    so long as (A) the Consolidated Interest Coverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Dividends and any related Indebtedness, would exceed 2.0 to 1.0 and (B) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Dividends and any related Indebtedness, would not exceed 3.50 to 1.00, the then available Cumulative Credit; 
(ii)    so long as (A) the Total Net Leverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Dividends, would not exceed 4.0 to 1.0, (B) Liquidity after giving effect to such Dividend shall be greater than or equal to $750,000,000, and (C) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), 

    
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calculated on a Pro Forma Basis after giving effect to such Dividends and any related Indebtedness, would not exceed 3.50 to 1.00, the then available Annual Credit; and
(iii)    so long as (A) the Total Net Leverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Dividends and any related Indebtedness, would not exceed 3.5 to 1.0 and (B) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Dividends and any related Indebtedness, would not exceed 3.50 to 1.00, such additional amounts as the Designated Company may determine (the cumulative amount of Dividends made after the Closing Date under this clause (iii) at any time that the Total Net Leverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Dividends, would exceed 2.0 to 1.0, referred to as the “Dividend Recapture Amount”);
provided that (x) the Dividends described in this clause (d) shall not be permitted if a Default is continuing at the date of declaration or payment thereof or would result therefrom and (y) with respect to any Dividend in an aggregate amount in excess of $50,000,000, on or prior to the date of any such Dividend pursuant to this Section 6.08(d), the Designated Company shall deliver to the Administrative Agent an Officer’s Certificate specifying which clause of this Section 6.08(d) such Dividend is being made pursuant to and calculating in reasonable detail the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the amount thereof elected to be so applied (in the case of Dividends pursuant to clause (i) and (ii) above) and the Total Net Leverage Ratio, the Senior Secured Net Leverage Ratio and the Consolidated Interest Coverage Ratio referred to above and, in the case of Dividends pursuant to clause (ii) above, the amount of Liquidity referred to therein; 
(e)    to the extent constituting a Dividend, payments permitted by Section 6.09(d) that do not relate to Equity Interests; 
(f)    [intentionally omitted];
(g)    so long as the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Dividends and any related Indebtedness, would not exceed 3.50 to 1.00, the Designated Company may pay additional cash Dividends to Holdings the proceeds of which may be utilized by Holdings to pay cash Dividends to the holders of its Equity Interests  in an aggregate amount not to exceed (i) (A) prior to the consummation of the Aleris Acquisition, $75,000,000 after the Closing Date or (B) upon and after the consummation of the Aleris Acquisition, $125,000,000 after the Closing Date minus (ii) the amount of Investments made in reliance on Section 6.04(r)(v); provided that the Dividends described in this clause (g) shall not be permitted if a Default is continuing at the date of declaration or payment thereof or would result therefrom; 

    
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(h)    Dividends by any Company to any other Company that are part of a Series of Cash Neutral Transactions; provided no Default has occurred and is continuing; 
(i)    following a Qualified IPO, Dividends paid to Holdings (which may pay the proceeds thereof to the holders of its Equity Interests) or, in the case of a Qualified Borrower IPO, its other equity holders, of up to 10% of the net cash proceeds received by (or contributed to the capital of) the Designated Company in or from such Qualified IPO or Qualified Borrower IPO in any fiscal year; and
(j)    Dividends to repurchase Equity Interests of Holdings (or, on and after the Designated Holdco Effective Date, Designated Holdco) or any direct or indirect parent entity (or following a Qualified Borrower IPO, Equity Interests of the Borrower) from current or former officers, directors or employees of the Designated Company or any of its Restricted Subsidiaries or any direct or indirect parent entity (or permitted transferees of such current or former officers, directors or employees); provided, however, that the aggregate amount of such repurchases shall not exceed (i) $20,000,000 in any calendar year prior to completion of a Qualified IPO or Qualified Borrower IPO, or (ii) $30,000,000 in any calendar year in which a Qualified IPO or Qualified Borrower IPO occurs or any calendar year commencing following completion of a Qualified IPO or Qualified Borrower IPO (with unused amounts in any calendar year being permitted to be carried over for the next two succeeding calendar years); provided, further, that such amount in any calendar year may be increased by an amount not to exceed (x) the cash proceeds received by the Designated Company or any of its Restricted Subsidiaries from the sale of Equity Interests of the Borrower, Holdings (or, on and after the Designated Holdco Effective Date, Designated Holdco) or any parent entity to officers, directors or employees (to the extent contributed to the Designated Company (excluding any portion thereof included in the Cumulative Credit)), plus (y) the cash proceeds of key man life insurance policies in such calendar year. 
Section 6.09    Transactions with Affiliates.  Enter into, directly or indirectly, any transaction or series of related transactions, whether or not in the ordinary course of business, with or for the benefit of any Affiliate of any Company (other than between or among Loan Parties), other than on terms and conditions at least as favorable to such Company as would reasonably be obtained by such Company at that time in a comparable arm’s-length transaction with a person other than an Affiliate, except that the following shall be permitted:
(a)    Dividends permitted by Section 6.08;
(b)    Investments permitted by Section 6.04(d), (e), (h), (i), (l), (p), or (s) and other Investments permitted under Section 6.04 in Restricted Subsidiaries and joint ventures; provided that any such joint venture is not owned by any Affiliate of Holdings except through the ownership of the Companies; 
(c)    mergers, amalgamations and consolidations permitted by Section 6.05(c), (d), (e), (f) or (g), and Asset Sales permitted by Section 6.06(h)(iv) and (v), or (m);
(d)    reasonable and customary director, officer and employee compensation (including bonuses) and other benefits (including retirement, health, stock option and other benefit plans) and 

    
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indemnification arrangements, in each case approved by the Board of Directors of the Designated Company;
(e)    transactions with customers, clients, suppliers, joint venture partners or purchasers or sellers of goods and services, in each case in the ordinary course of business on terms not materially less favorable as might reasonably have been obtained at such time from a Person that is not an Affiliate of the Designated Company, as determined in good faith by the Designated Company, and otherwise not prohibited by the Loan Documents;
(f)    the existence of, and the performance by any Company of its obligations under the terms of, any limited liability company, limited partnership or other Organizational Document or securityholders agreement (including any registration rights agreement or purchase agreement related thereto) to which it is a party on the Closing Date and which has been disclosed in writing to the Administrative Agent as in effect on the Closing Date, and similar agreements that it may enter into thereafter, to the extent not more adverse to the interests of the Lenders in any material respect, when taken as a whole, than any of such documents and agreements as in effect on the Closing Date; 
(g)    the Transactions as contemplated by the Loan Documents;
(h)    Qualified Securitization Transactions permitted under Section 6.01(e) and transactions in connection therewith on a basis no less favorable to the applicable Company as would be obtained in a comparable arm’s length transaction with a person not an Affiliate thereof;
(i)    cash management netting and pooled account arrangements permitted under Section 6.01(r); 
(j)    transactions between or among any Companies that are not Loan Parties; 
(k)    transactions pursuant to a management agreement with the Specified Holders so long as the aggregate payment of Management Fees thereunder are permitted under Section 6.08(c); 
(l)    transactions between Loan Parties and Companies that are not Loan Parties that are at least as favorable to each such Loan Party as would reasonably be obtained by such Loan Party in a comparable arm’s-length transaction with a person other than an Affiliate; and
(m)    transactions contemplated by the Receivables Purchase Agreements;
provided that notwithstanding any of the foregoing or any other provision of this Agreement, all intercompany loans, advances or other extensions of credit made to or by Companies organized in Switzerland or Germany shall be on fair market terms.
Section 6.10    Most Favored Nation.  If at any time, any Loan Party is a party to or shall enter into any Third Lien Credit Agreement which includes covenants (whether affirmative or negative, and whether maintenance or incurrence) or events of default that are more restrictive than those contained in this Agreement or are not provided for in this Agreement (each such covenant, condition, requirement and default or event of default herein referred to as a “More Favorable Provision”), then the Designated Company shall promptly so advise and notify the Administrative Agent in writing.  Such writing shall 

    
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include a verbatim statement of such More Favorable Provision.  Such More Favorable Provision shall be automatically incorporated by reference into this Agreement as if set forth fully herein, mutatis mutandis, effective as of the date when such More Favorable Provision became effective under such Third Lien Credit Agreement (each such More Favorable Provision as incorporated herein is herein referred to as an “Incorporated Provision”).  Thereafter, upon the request of the Administrative Agent, the Designated Company and the Administrative Agent shall enter into an additional agreement or an amendment to this Agreement (as the Administrative Agent may request), evidencing the incorporation of such Incorporated Provision.
Section 6.11    Prepayments of Other Indebtedness; Modifications of Organizational Documents and Other Documents, etc.  Directly or indirectly:
(a)    (i) make any voluntary or optional payment of principal on or prepayment on or redemption or acquisition for value of, or complete any mandatory prepayment, redemption or purchase offer in respect of, or otherwise voluntarily or optionally defease or segregate funds with respect to, any Indebtedness incurred under Section 6.01(l), Permitted Second Priority Refinancing Debt and Permitted Unsecured Refinancing Debt or any Indebtedness under the Senior Note Documents or any Subordinated Indebtedness or any Permitted Refinancings of any of such Indebtedness, except (x) any such Indebtedness may be prepaid or redeemed with the proceeds of a Permitted Refinancing, (y) so long as no Default is continuing or would result therefrom, Indebtedness under any Third Lien Credit Agreement may be prepaid, and (z) so long as no Default is continuing or would result therefrom, repayments or redemptions of Indebtedness under the Senior Notes Documents, Indebtedness incurred under Section 6.01(l), Permitted Second Priority Refinancing Debt, Permitted Unsecured Refinancing Debt or Subordinated Indebtedness (or any Permitted Refinancings (other than a refinancing with Incremental Term Loans) of any of such Indebtedness) (“Permitted Prepayments”) in an amount not to exceed: 
(1)     so long as (A) the Consolidated Interest Coverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Permitted Prepayments and any related Indebtedness, would exceed 2.0 to 1.0 and (B) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Permitted Prepayments and any related Indebtedness, would not exceed 3.50 to 1.00, the then available Cumulative Credit;
(2)     so long as (A) the Total Net Leverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Permitted Prepayments and any related Indebtedness, would not exceed 4.0 to 1.0, (B) Liquidity after giving effect to such Permitted Prepayments shall be greater than or equal to 

    
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$750,000,000 and (C) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Permitted Prepayments and any related Indebtedness, would not exceed 3.50 to 1.00, the then available Annual Credit; and
(3)    so long as (A) the Total Net Leverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b) calculated on a Pro Forma Basis after giving effect to such Permitted Prepayments and any related Indebtedness, would not exceed 3.5 to 1.0 and (B) the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Permitted Prepayments and any related Indebtedness, would not exceed 3.50 to 1.00, such additional amounts as the Designated Company may determine (the cumulative amount of Permitted Prepayments made after the Closing Date under this clause (3) at any time that the Total Net Leverage Ratio, as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended for which financial statements have been (and are required to have been) delivered under Section 5.01(a) or (b), calculated on a Pro Forma Basis after giving effect to such Permitted Prepayments and any related Indebtedness , would exceed 2.0 to 1.0, referred to as the “Prepayments Recapture Amount”); or
(ii) make any payment on or with respect to any Subordinated Indebtedness wholly among Loan Parties in violation of the subordination provisions thereof; or
 (iii) make any payment (whether, voluntary, mandatory, scheduled or otherwise) on or with respect to any Subordinated Indebtedness (including payments of principal and interest thereon, but excluding the discharge by Novelis AG (as consideration for the purchase of Accounts under the Receivables Purchase Agreement) of loans or advances made by Novelis AG to German Seller), if an Event of Default is continuing or would result therefrom;
provided that with respect to any Permitted Prepayment in an aggregate amount in excess of $50,000,000, on or prior to the date of any such payment or redemption pursuant to this Section 6.11(a)(i)(z), the Designated Company shall deliver to the Administrative Agent an Officer’s Certificate specifying which clause of this Section 6.11(a)(i)(z) such payment or redemption is being made pursuant to and calculating in reasonable detail the amount of the Cumulative Credit or Annual Credit, as applicable, immediately prior to such election and the amount thereof elected to be so applied, the Total Net Leverage Ratio, Senior Secured Net Leverage Ratio and Consolidated Interest Coverage Ratio referred to above and, in the case of reliance on clause (2) above, the amount of Liquidity referred to therein.

    
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(b)    notwithstanding anything to the contrary in clause (a) above, directly or indirectly make any payment (whether, voluntary, mandatory, scheduled or otherwise) of principal on, or otherwise voluntarily or optionally defease or segregate funds with respect to, Permitted Short Term Indebtedness, if a Default is continuing or would result therefrom;
(c)    amend or modify, or permit the amendment or modification of, any provision of any document governing any Material Indebtedness (other than Indebtedness under the Loan Documents or Revolving Credit Loan Documents (or any Permitted Revolving Credit Facility Refinancings thereof)) in any manner that, taken as a whole, is adverse in any material respect to the interests of the Lenders; 
(d)    amend or modify, or permit the amendment or modification of, any provision of any document governing any Indebtedness under the Revolving Credit Loan Documents (or any Permitted Revolving Credit Facility Refinancings thereof) if such amendment or modification would (i) cause the aggregate principal amount (or accreted value, if applicable) of all such Indebtedness, after giving effect to such amendment or modification, to at any time exceed the Maximum Revolving Credit Facility Amount, (ii) cause such Indebtedness to have a final maturity date earlier than the final maturity date of such Indebtedness immediately prior to such amendment or modification or (iii) result in the persons that are (or are required to be) obligors under such Indebtedness to be different from the persons that are (or are required to be) obligors under such Indebtedness being so amended or modified (unless such persons required to be obligors under such Indebtedness are or are required to be or become obligors under the Loan Documents); or
(e)    terminate, amend or modify any of its Organizational Documents (including (x) by the filing or modification of any certificate of designation and (y) any election to treat any Pledged Securities (as defined in the Security Agreement) as a “security” under Section 8-103 of the UCC other than concurrently with the delivery of certificates representing such Pledged Securities to the Collateral Agent) or any agreement to which it is a party with respect to its Equity Interests (including any stockholders’ agreement), or enter into any new agreement with respect to its Equity Interests, other than any such amendments or modifications or such new agreements which are not adverse in any material respect to the interests of the Lenders.
Section 6.12    Limitation on Certain Restrictions on Restricted Subsidiaries.  Directly or indirectly, create or otherwise cause or suffer to exist or become effective any encumbrance or restriction on the ability of any Restricted Subsidiary of the Designated Company to (a) pay dividends or make any other distributions on its Equity Interests or any other interest or participation in its profits owned by the Designated Company or any Restricted Subsidiary of the Designated Company, or pay any Indebtedness owed to the Designated Company or a Restricted Subsidiary of the Designated Company, (b) make loans or advances to the Designated Company or any Restricted Subsidiary of the Designated Company or (c) transfer any of its properties to the Designated Company or any Restricted Subsidiary of the Designated Company, except for such encumbrances or restrictions existing under or by reason of (i) applicable Requirements of Law; (ii) this Agreement and the other Loan Documents; (iii) the Senior Note Documents and the Revolving Credit Loan Documents or other Material Indebtedness; provided that in the case of such other Material Indebtedness, such encumbrances and restrictions are, taken as a whole, no more restrictive than such encumbrances and restrictions in the Loan Documents 

    
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in existence on the Closing Date; (iv) any agreement or instrument evidencing or governing any Indebtedness permitted pursuant to Sections 6.01(e), (m) or (to the extent used to finance working capital) (y), in each case to the extent, in the good faith judgment of the Designated Company, such restrictions and conditions are on customary market terms for Indebtedness of such type and so long as the Designated Company has determined in good faith that such restrictions would not reasonably be expected to impair in any material respect the ability of the Loan Parties to meet their obligations under the Loan Documents; (v) customary provisions restricting subletting or assignment of any lease governing a leasehold interest of a Company; (vi) customary provisions restricting assignment of any agreement entered into by a Restricted Subsidiary of the Designated Company; (vii) any holder of a Lien permitted by Section 6.02 restricting the transfer of the property subject thereto; (viii) customary restrictions and conditions contained in any agreement relating to the sale of any property permitted under Section 6.06 pending the consummation of such sale; (ix) any agreement in effect at the time such Restricted Subsidiary of the Designated Company becomes a Restricted Subsidiary of the Designated Company, so long as such agreement was not entered into in connection with or in contemplation of such person becoming a Restricted Subsidiary of the Designated Company; (x) without affecting the Loan Parties’ obligations under Section 5.11, customary provisions in partnership agreements, shareholders’ agreements, joint venture agreements, limited liability company organizational governance documents and other Organizational Documents, entered into in the ordinary course of business (or in connection with the formation of such partnership, joint venture, limited liability company or similar person) that (A) restrict the transfer of Equity Interests in such partnership, joint venture, limited liability company or similar person or (B) the case of any Joint Venture or Joint Venture Subsidiary that is not a Loan Party, provide for other restrictions of the type described in clauses (a), (b) and (c) above, solely with respect to the Equity Interests in, or property held in, such joint venture, and customary provisions in asset sale and stock sale agreements and other similar agreements permitted hereunder that provide for restrictions of the type described in clauses (a), (b) and (c) above, solely with respect to the assets or persons subject to such sale agreements; (xi) restrictions on cash or other deposits or net worth imposed by suppliers or landlords under contracts entered into in the ordinary course of business; (xii) any instrument governing Indebtedness assumed in connection with any Permitted Acquisition or other Acquisition permitted pursuant to Section 6.04 hereof, which encumbrance or restriction is not applicable to any person, or the properties or assets of any person, other than the person or the properties or assets of the person so acquired; (xiii) any encumbrances or restrictions imposed by any amendments or refinancings that are otherwise not prohibited by the Loan Documents of the contracts, instruments or obligations referred to in clauses (iii), (ix) or (x) above; provided that such amendments or refinancings are no more materially restrictive with respect to such encumbrances and restrictions than those prior to such amendment or refinancing; (xiv) any restrictions on transfer of the Equity Interests in NKL or its direct parents, 4260848 Canada Inc., 4260856 Canada Inc. and 8018227 Canada Inc., imposed by any lock-up or listing agreement, rule or regulation in connection with any listing or offering of Equity Interests in NKL to the extent required by applicable Requirements of Law or listing or stock exchange requirements; or (xv) customary credit event upon merger provisions in Hedging Agreements.
Section 6.13    Issuance of Disqualified Capital Stock.  Issue any Disqualified Capital Stock except (i) Joint Venture Subsidiaries and Excluded Collateral Subsidiaries may issue Disqualified Capital Stock pursuant to Section 6.06(l) and (ii) issuances of Disqualified Capital Stock under Section 6.04(i) shall be permitted.

    
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Section 6.14    Senior Secured Net Leverage Ratio. Permit the Senior Secured Net Leverage Ratio as of the last day of the four consecutive fiscal quarter period of the Designated Company then last ended (in each case taken as one accounting period), beginning with the four fiscal quarter period ending September 30, 2016, to be greater than 3.50 to 1.00.
Section 6.15    Business.
(a)    Each of Holdings and Novelis Europe Holdings Limited shall not engage in any business or activity other than (i) holding the Equity Interests of its Subsidiaries (which, in the case of Holdings, shall be limited to (x) the Designated Company and, (y) solely to the extent that the transaction described in clause (c) of the definition of Permitted Reorganization Actions is consummated in accordance with the terms of this Agreement, no more than 12.5% of the aggregate amount of Equity Interests issued by Novelis Aluminium Holdings Unlimited plus one additional share of such Equity Interests), (ii) making intercompany loans to (w) in the case of Novelis Europe Holdings Limited, pursuant to a transaction permitted under Section 6.04(i), (x) the Borrower, (y) on and after the Designated Holdco Effective Date, Designated Holdco or (z) any of its Subsidiaries to the extent made pursuant to any transaction consummated in accordance with the definition of Permitted Aleris Foreign Subsidiary Transfer, (iii) borrowing intercompany loans from a Company (x) in the case of AV Minerals, pursuant to a transaction permitted under clause (c) of the definition of Permitted Reorganization Actions and (y) in the case of Novelis Europe Holdings Limited, pursuant to a transaction permitted under Section 6.01(d) or clause (h) of the definition of Permitted Reorganization Actions, (iv) other activities attributable to or ancillary to its role as a holding company for its Subsidiaries, (v) compliance with its obligations under the Loan Documents, the Revolving Loan Documents (and any Permitted Revolving Credit Refinancings thereof), the Senior Note Documents (and any Permitted Refinancings thereof), the Additional Senior Secured Indebtedness Documents, the Permitted Short Term Loan Documents, and documents relating to Permitted First Priority Refinancing Indebtedness, Permitted Second Priority Refinancing Indebtedness, Permitted Unsecured Refinancing Indebtedness, and Indebtedness under Section 6.01(l), and (vi) issuing its Equity Interests pursuant to transactions that (x) do not violate any Requirement of Law or its Organizational Documents, (y) do not result in a Change of Control, and (z) are not otherwise prohibited by this Agreement.
(b)    The Designated Company and its Restricted Subsidiaries will not engage (directly or indirectly) in any business other than those businesses in which the Designated Company and its Restricted Subsidiaries are engaged on the Closing Date as described in the Confidential Information Memorandum (or, in the good faith judgment of the Board of Directors, which are substantially related thereto or are reasonable extensions thereof).
(c)    The Designated Company will not permit any Securitization Entity that it controls to engage in any business or activity other than performing its obligations under the related Qualified Securitization Transaction and will not permit any Securitization Entity that it controls to hold any assets other than the Securitization Assets.
Section 6.16    Limitation on Accounting Changes.  Make or permit any change in accounting policies or reporting practices or tax reporting treatment, except changes that are permitted by GAAP or any Requirement of Law and disclosed to the Administrative Agent and changes described in Section 1.04.

    
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Section 6.17    Fiscal Year.  Change its fiscal year-end to a date other than March 31; provided that, upon at least 15 Business Days’ prior written notice to the Administrative Agent (or such shorter period as may be determined by the Administrative Agent), each of Holdings and its Subsidiaries shall be permitted to change its fiscal year-end to December 31 at any time on or after the date that Hindalco changes its fiscal year-end to December 31.
Section 6.18    Margin Rules.  Use the proceeds of any Loans, whether directly or indirectly, and whether immediately, incidentally or ultimately, to purchase or carry margin stock (within the meaning of Regulation U) or to extend credit to others for the purpose of purchasing or carrying margin stock or to refund indebtedness originally incurred for such purpose.
Section 6.19    No Further Negative Pledge.  Enter into or suffer to exist any consensual agreement, instrument, deed or lease which prohibits or limits the ability of any Loan Party to create, incur, assume or suffer to exist any Lien upon any of their respective properties or revenues, whether now owned or hereafter acquired, to secure the Secured Obligations, or which requires the grant of any security for an obligation if security is granted to secure the Secured Obligations, except the following: (1) this Agreement and the other Loan Documents; (2) covenants in documents creating Liens permitted by Section 6.02 prohibiting further Liens on the properties encumbered thereby; (3) the Revolving Credit Loan Documents, (4) [intentionally omitted]; and (5) Standard Factoring Undertakings and Standard Securitization Undertakings in connection with transactions otherwise permitted hereunder and (6) any prohibition or limitation that (a) exists pursuant to applicable Requirements of Law, (b) consists of customary restrictions and conditions contained in any agreement relating to the sale of any property permitted under Section 6.06 pending the consummation of such sale, (c) restricts subletting or assignment of any lease governing a leasehold interest of a Loan Party or a Subsidiary or restricts assignment, pursuant to customary provisions, of any other agreement entered into in the ordinary course of business, (d) is permitted under Section 6.02(s), (e) exists in any agreement or other instrument of a person acquired in an Investment permitted hereunder in existence at the time of such Investment (but not created in connection therewith or in contemplation thereof), which prohibition or limitation is not applicable to any person, or the properties or assets of any person, other than the person, or the property or assets of the person so acquired, (f) is contained in any joint venture, shareholders agreement, limited liability operating agreement or other Organizational Document governing a Joint Venture or Joint Venture Subsidiary which limits the ability of an owner of an interest in a Joint Venture or Joint Venture Subsidiary from encumbering its ownership interest therein or (g) is imposed by any amendments or refinancings that are otherwise permitted by the Loan Documents of the contracts, instruments or obligations referred to in clause (3), (5) or (6)(e); provided that such amendments and refinancings are no more materially restrictive with respect to such prohibitions and limitations than those prior to such amendment or refinancing.
Section 6.20    Anti-Terrorism Law; Anti-Money Laundering.
(a)    Directly or indirectly, (i) conduct any business or engage in making or receiving any contribution of funds, goods or services to or for the benefit of any person described in any of clauses (i), (ii), (iii), (iv) or (v) of the second paragraph of Section 3.22 in a manner violative of any applicable Sanctions or Anti-Terrorism Law, (ii) knowingly deal in, or otherwise engage in any transaction relating to, any property or interests in property blocked pursuant to the Executive Order or any other Anti-

    
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Terrorism Law, or (iii) knowingly engage in or conspire to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law (and the Loan Parties shall deliver to the Lenders any certification or other evidence requested from time to time by any Lender in its reasonable discretion, confirming the Loan Parties’ compliance with this Section 6.20).
(b)    Cause or permit any of the funds of such Loan Party that are used to repay the Loans to be derived from any unlawful activity with the result that the making of the Loans would be in violation of any Requirement of Law.
Section 6.21    Embargoed Persons.  Cause or permit (a) any of the funds or properties of the Loan Parties that are used to repay the Loans to constitute property of, or be beneficially owned directly or indirectly by, any person subject to sanctions or trade restrictions under United States law (“Embargoed Person” or “Embargoed Persons”) that is identified on (1) the “List of Specially Designated Nationals and Blocked Persons” maintained by OFAC and/or on any other similar list maintained by OFAC pursuant to any authorizing statute including, but not limited to, the International Emergency Economic Powers Act, 50 U.S.C. §§ 1701 et seq., The Trading with the Enemy Act, 50 U.S.C. App. 1 et seq., and any Executive Order or Requirement of Law promulgated thereunder, with the result that the investment in the Loan Parties (whether directly or indirectly) is prohibited by a Requirement of Law, or the Loans made by the Lenders would be in violation of a Requirement of Law, or (2) the Executive Order, any related enabling legislation or any other similar Executive Orders or (b) any Embargoed Person to have any direct or indirect interest, of any nature whatsoever in the Loan Parties, with the result that the investment in the Loan Parties (whether directly or indirectly) is prohibited by a Requirement of Law or the Loans are in violation of a Requirement of Law.
ARTICLE VII 
 
GUARANTEE
Section 7.01    The Guarantee.  The Guarantors hereby jointly and severally guarantee, as a primary obligor and not as a surety to each Secured Party and their respective successors and permitted assigns, the prompt payment in full when due (whether at stated maturity, by required prepayment, declaration, demand, by acceleration or otherwise) of the principal of and interest (including any interest, fees, costs or charges that would accrue after the commencement of a case under Title 11 of the United States Code or any other Debtor Relief Law or after any bankruptcy or insolvency petition is filed under Title 11 of the United States Code (or any other Debtor Relief Law) but for the provisions of the Title 11 of the United States Code (or other Debtor Relief Law) or that accrues after the commencement of a case under Title 11 of the United States Code or any other Debtor Relief Law or after any bankruptcy or insolvency petition is filed under Title 11 of the United States Code (or any other Debtor Relief Law), whether or not allowed) on the Loans made by the Lenders to, and the Notes held by each Lender of, each Co-Borrower, and all other Secured Obligations from time to time owing to the Secured Parties by any Loan Party under any Loan Document (including any Hedging Agreement entered into with a counterparty that is a Secured Party), and the performance of all obligations under any of the foregoing, in each case strictly in accordance with the terms thereof (such obligations being herein collectively called the “Guaranteed Obligations”).  In addition to the guarantee contained 

    
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herein, each Guarantor that is a Foreign Subsidiary, as well as Holdings, shall execute a Guarantee governed by the applicable law of such Person’s jurisdiction of organization (each such Guarantee, a “Foreign Guarantee”) and to the extent that the provisions of this Article VII shall duplicate or conflict with the provisions thereof, the terms of the Foreign Guarantees shall govern the obligations of such Guarantors.  The Guarantors hereby jointly and severally agree that if any Co-Borrower or other Guarantor shall fail to pay in full when due (whether at stated maturity, by acceleration or otherwise) any of the Guaranteed Obligations, the Guarantors will promptly pay the same in cash, without any demand or notice whatsoever as if it was the principal obligor, and that in the case of any extension of time of payment or renewal of any of the Guaranteed Obligations, the same will be promptly paid in full when due (whether at extended maturity, by acceleration or otherwise) in accordance with the terms of such extension or renewal. The Co-Borrowers hereby jointly and severally guarantee, as a primary obligor and not as a surety to each Secured Party and their respective successors and permitted assigns, the payment and performance of all obligations of any other Loan Party under any Hedging Agreement entered into with a counterparty that is a Secured Party and agrees if any such Loan Party shall fail to pay in full when due (whether at stated maturity, by acceleration or otherwise) any amount due under such Hedging Agreement, the Co-Borrowers jointly and severally will promptly pay the same in cash, without any demand or notice whatsoever as if it was the principal obligor, and that in the case of any extension of time of payment or renewal of any obligation of such Loan Party, the same will be promptly paid in full when due (whether at extended maturity, by acceleration or otherwise) in accordance with the terms of such extension or renewal.  Without prejudice to the generality of Section 7.01 and Section 7.02, each Guarantor expressly confirms that it intends that this guarantee shall extend from time to time to any (however fundamental and of whatsoever nature and whether or not more onerous) variation, increase, extension or addition of or to any of the Loan Documents and/or any facility or amount made available under any of the Loan Documents for the purposes of or in connection with any of the following: acquisitions of any nature; increasing working capital; enabling investor distributions or Dividends to be made; carrying out restructurings; refinancing existing facilities; refinancing any other indebtedness; making facilities available to new borrowers; any other variation or extension of the purposes for which any such facility or amount might be made available from time to time; and any fees, costs and/or expenses associated with any of the foregoing.  
Section 7.02    Obligations Unconditional.  The obligations of the Guarantors and the Co-Borrowers under Section 7.01 shall constitute a guaranty of payment and not of collection and to the fullest extent permitted by applicable Requirements of Law, are absolute, irrevocable and unconditional, joint and several, irrespective of the value, genuineness, validity, regularity or enforceability of the Guaranteed Obligations of the Co-Borrowers or any other Loan Party under this Agreement, the Notes, if any, or any other agreement or instrument referred to herein or therein, or any substitution, release or exchange of any other guarantee of or security for any of the Guaranteed Obligations, and, irrespective of any other circumstance whatsoever that might otherwise constitute a legal or equitable discharge or defense of a surety or Guarantor or Co-Borrower (except for payment in full).  Without limiting the generality of the foregoing, it is agreed that the occurrence of any one or more of the following shall not alter or impair the liability of the Guarantors hereunder which shall remain absolute, irrevocable and unconditional under any and all circumstances as described above:
(i)    at any time or from time to time, without notice to the Guarantors, the time for any performance of or compliance with any of the 

    
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Guaranteed Obligations shall be extended, or such performance or compliance shall be waived or the Maturity Date shall be extended with respect to all or a portion of the Guaranteed Obligations;
(ii)    any of the acts mentioned in any of the provisions of this Agreement or the Notes, if any, or any other agreement or instrument referred to herein or therein shall be done or omitted;
(iii)    the maturity of any of the Guaranteed Obligations shall be accelerated, or any of the Guaranteed Obligations shall be amended in any respect, or any right under the Loan Documents or any other agreement or instrument referred to herein or therein shall be amended or waived in any respect or any other guarantee of any of the Guaranteed Obligations or any security therefor shall be released or exchanged in whole or in part or otherwise dealt with;
(iv)    any Lien or security interest granted to, or in favor of, any Lender or Agent as security for any of the Guaranteed Obligations shall fail to be perfected; or
(v)    the release of any other Guarantor pursuant to Section 7.09.
The Guarantors and the Co-Borrowers hereby expressly waive diligence, presentment, demand of payment, protest and all notices whatsoever, and any requirement that any Secured Party exhaust any right, power or remedy or proceed against any Co-Borrower or any other Loan Party under this Agreement or the Notes, if any, or any other agreement or instrument referred to herein or therein, or against any other person under any other guarantee of, or security for, any of the Guaranteed Obligations.  The Guarantors and the Co-Borrowers waive any and all notice of the creation, renewal, extension, waiver, termination or accrual of any of the Guaranteed Obligations and notice of or proof of reliance by any Secured Party upon this Guarantee or acceptance of this Guarantee, and the Guaranteed Obligations, and any of them, shall conclusively be deemed to have been created, contracted or incurred in reliance upon this Guarantee, and all dealings between the Co-Borrowers and the Secured Parties shall likewise be conclusively presumed to have been had or consummated in reliance upon this Guarantee.  This Guarantee shall be construed as a continuing, absolute, irrevocable and unconditional guarantee of payment without regard to any right of offset with respect to the Guaranteed Obligations at any time or from time to time held by Secured Parties, and the obligations and liabilities of the Guarantors and the Co-Borrowers hereunder shall not be conditioned or contingent upon the pursuit by the Secured Parties or any other person at any time of any right or remedy against any Co-Borrower or any other Loan Party, or against any other person which may be or become liable in respect of all or any part of the Guaranteed Obligations or against any collateral security or guarantee therefor or right of offset with respect thereto.  This Guarantee shall remain in full force and effect and be binding in accordance with and to the extent of its terms upon the Guarantors and the Co-Borrowers and the respective successors and assigns thereof, and shall inure to the benefit of the Lenders and the other Secured Parties, and their respective successors and assigns, notwithstanding that from time to time during the term of this Agreement there may be no Guaranteed Obligations outstanding.

    
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Section 7.03    Reinstatement.  The obligations of the Guarantors under this ARTICLE VII shall be automatically reinstated if and to the extent that for any reason any payment by or on behalf of any Co-Borrower or other Loan Party in respect of the Guaranteed Obligations is rescinded or must be otherwise restored by any holder of any of the Guaranteed Obligations, whether as a result of any proceedings in bankruptcy or reorganization pursuant to any Debtor Relief Law or otherwise.  The Guarantors and the Co-Borrowers jointly and severally agree that they will indemnify each Secured Party on demand for all reasonable costs and expenses (including reasonable fees of counsel) incurred by such Secured Party in connection with such rescission or restoration, including any such costs and expenses incurred in defending against any claim alleging that such payment constituted a preference, fraudulent transfer or similar payment under any Debtor Relief Law, other than any costs or expenses determined by a court of competent jurisdiction by final and nonappealable judgment to have resulted from the bad faith or willful misconduct of such Secured Party.
Section 7.04    Subrogation; Subordination.  Each Guarantor and each Co-Borrower hereby agrees that until the indefeasible and irrevocable payment and satisfaction in full in cash of all Guaranteed Obligations and the expiration and termination of the Commitments of the Lenders under this Agreement it shall waive any claim and shall not exercise any right or remedy, direct or indirect, arising by reason of any performance by it of its guarantee in Section 7.01, whether by subrogation or otherwise, against any other Co-Borrower or any other Guarantor of any of the Guaranteed Obligations or any security for any of the Guaranteed Obligations. Any Indebtedness of any Loan Party permitted pursuant to Section 6.01(d) shall be subordinated to such Loan Party’s Secured Obligations in a manner reasonably satisfactory to the Administrative Agent.
Section 7.05    Remedies.  The Guarantors jointly and severally agree that, as between the Guarantors and the Lenders, the obligations of the Co-Borrowers under this Agreement and the Notes, if any, may be declared to be forthwith due and payable as provided in Section 8.01 (and shall be deemed to have become automatically due and payable in the circumstances provided in Section 8.01) for purposes of Section 7.01, notwithstanding any stay, injunction or other prohibition preventing such declaration (or such obligations from becoming automatically due and payable) as against the Co-Borrowers and that, in the event of such declaration (or such obligations being deemed to have become automatically due and payable), such obligations (whether or not due and payable by the Co-Borrower) shall forthwith become due and payable by the Guarantors for purposes of Section 7.01.
Section 7.06    Instrument for the Payment of Money.  Each Guarantor and each Co-Borrower hereby acknowledges that the guarantee in this ARTICLE VII constitutes an instrument for the payment of money, and consents and agrees that any Lender or Agent, at its sole option, in the event of a dispute by such Guarantor in the payment of any moneys due hereunder, shall have the right to bring a motion-action under New York CPLR Section 3213.
Section 7.07    Continuing Guarantee.  The guarantee in this ARTICLE VII is a continuing guarantee of payment, and shall apply to all Guaranteed Obligations whenever arising.
Section 7.08    General Limitation on Guarantee Obligations.  In any action or proceeding involving any state corporate limited partnership or limited liability company law, or any Debtor Relief Law, if the obligations of any Guarantor or any Co-Borrower under Section 7.01 would otherwise be held or determined to be void, voidable, invalid or unenforceable, or subordinated to the claims of any other 

    
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creditors, on account of the amount of its liability under Section 7.01, then, notwithstanding any other provision to the contrary, the amount of such liability shall, without any further action by such Guarantor, any Loan Party or any other person, be automatically limited and reduced to the highest amount (after giving effect to the rights of contribution established in the Contribution, Intercompany, Contracting and Offset Agreement) that are valid and enforceable and not subordinated to the claims of other creditors as determined in such action or proceeding.
Section 7.09    Release of Guarantors.  If, in compliance with the terms and provisions of the Loan Documents, (a) Equity Interests of any Subsidiary Guarantor are issued, sold or transferred (including pursuant to a merger, consolidation or amalgamation) such that it ceases to be a Restricted Subsidiary (a “Transferred Guarantor”) to a person or persons, none of which is a Loan Party or a Subsidiary, (b) a Guarantor is designated as an Unrestricted Subsidiary in accordance with the Loan Documents, (c) a Restricted Subsidiary that becomes a Loan Party after the Closing Date is subsequently designated as an Excluded Collateral Subsidiary in accordance with the definition thereof, (d) a Qualified Borrower IPO, or (e) a Qualified IPO by Designated Holdco shall occur, then, such Transferred Guarantor (in the case of clause (a)), such Unrestricted Subsidiary (in the case of clause (b)), such Restricted Subsidiary (in the case of clause (c)), Holdings (in the case of clause (d)), or, on and after the Designated Holdco Effective Date, Holdings (in the case of clause (e)), shall, upon the consummation of such issuance, sale or transfer or upon such designation as an Unrestricted Subsidiary or Excluded Collateral Subsidiary or upon the consummation of the Qualified Borrower IPO or a Qualified IPO by Designated Holdco, be released from its obligations under this Agreement (including under Section 11.03 hereof) and any other Loan Documents to which it is a party and, except with respect to Holdings in the case of clauses (d) and (e) above, its obligations to pledge and grant any Collateral owned by it pursuant to any Security Document, and the Collateral Agent shall take such actions as are within its powers to effect each release described in this Section 7.09 in accordance with the relevant provisions of the Security Documents and the Intercreditor Agreement; provided that such Guarantor is also released from its obligations, if any, under the Revolving Credit Loan Documents, the Senior Note Documents, the Additional Senior Secured Indebtedness Documents and other Material Indebtedness guaranteed by such Person on the same terms.  
Section 7.10    Certain Tax Matters.  Notwithstanding the provisions of Section 2.15 if a Loan Party (other than a Co-Borrower) makes a payment hereunder that is subject to withholding tax in excess of the highest withholding tax that would have been imposed on payments made by any of the Co-Borrowers with respect to whose obligation it is making a payment, the relevant Loan Party shall increase the amount of such payment such that, after deduction and payment of all such withholding taxes (including withholding taxes applicable to additional sums payable under this Section), the payee receives an amount equal to the amount it would have received if no such excess withholding tax had been imposed; provided that the Administrative Agent or Lender provides, as reasonably requested by the relevant Loan Party and as required under Sections 2.15(e) or 2.15(h), as the case may be, such forms, certificates and documentation that would be required to reduce or eliminate withholding and, with respect to non-U.S. withholding taxes, would not, in the Administrative Agent’s or the relevant Lender’s reasonable judgment, subject it to any material unreimbursed costs or materially prejudice its legal or commercial position; provided, however, that no payment shall be made under this Section 7.10 with respect to any withholding tax that is not an Indemnified Tax.

    
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Section 7.11    German Guarantor.
(a)    Subject to Section 7.11(b) through Section 7.11(e) below, the Secured Parties shall not enforce the guarantee obligations of a German Guarantor existing in the form of a German limited liability company (Gesellschaft mit beschränkter Haftung; GmbH) or limited partnership with a limited liability company as partner (GmbH or GmbH & Co. KG) under this Article VII to the extent (i) such German Guarantor guarantees obligations of one of its shareholders or of an affiliated company (verbundenes Unternehmen) of a shareholder within the meaning of Section 15 of the German Stock Corporation Act (Aktiengesetz) (other than a Subsidiary of that German Guarantor or the German Guarantor itself), and (ii) the enforcement of such guarantee for shareholder obligations would reduce, in violation of Section 30 of the German Limited Liability Companies Act (Gesetz betreffend die Gesellschaften mit beschränkter Haftung – “GmbHG”), the net assets (assets minus liabilities minus provisions and liability reserves (Reinvermögen), in each case as calculated in accordance with generally accepted accounting principles in Germany (Grundsätze ordnungsmäßiger Buchführung) as consistently applied by such German Guarantor in preparing its unconsolidated balance sheets (Jahresabschluss gem. section 42 GmbHG, sections 242, 264 German Commercial Code (Handelsgesetzbuch – HGB)) of the German Guarantor (or in the case of a GmbH & Co. KG, its general partner) to an amount that is insufficient to maintain its (or in the case of a GmbH & Co. KG, its general partner’s) registered share capital (Stammkapital) (or would increase an existing shortage in its net assets below its registered share capital); provided that for the purpose of determining the relevant registered share capital and the net assets, as the case may be:
(i)    The amount of any increase of registered share capital (Stammkapital) of such German Guarantor (or its general partner in the form of a GmbH) implemented after the Closing Date that is effected without the prior written consent of the Administrative Agent shall be deducted from the registered share capital of the German Guarantor (or its general partner in the form of a GmbH);
(ii)    any loans provided to the German Guarantor by a direct or indirect shareholder or an affiliate thereof (other than a Subsidiary of such German Guarantor) shall be disregarded and not accounted for as a liability to the extent that such loans are subordinated pursuant to Section 39(1) no. 1 through no. 5 of the German Insolvency Code (Insolvenzordnung) or subordinated in any other way by law or contract;
(iii)    any shareholder loans, other loans and contractual obligations and liabilities incurred by the German Guarantor in violation of the provisions of any of the Loan Documents shall be disregarded and not accounted for as liabilities;
(iv)    any assets that are shown in the balance sheet with a book value that, in the opinion of the Administrative Agent, is significantly lower than their market value and that are not necessary for the business of the German Guarantor (nicht betriebsnotwendig) shall be accounted for with their market value; and

    
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(v)    the assets of the German Guarantor will be assessed at liquidation values (Liquidationswerte) if, at the time the managing directors prepare the balance sheet in accordance with paragraph (b) below and absent the demand a positive going concern prognosis (positive Fortbestehensprognose) cannot be established.
(b)    The limitations set out in Section 7.11(a) only apply:
(i)    if and to the extent that the managing directors of the German Guarantor (or in the case of a GmbH Co. KG, its general partner) have confirmed in writing to the Administrative Agent within ten (10) Business Days of a demand for payment under this Article VII the amount of the obligations under this Article VII which cannot be paid without causing the net assets of such German Guarantor (or in the case of a GmbH Co. KG, its general partner) to fall below its registered share capital, or increase an existing shortage in net assets below its registered share capital (taking into account the adjustments set out above) and such confirmation is supported by a current balance sheet and other evidence satisfactory to the Administrative Agent and neither the Administrative Agent nor any Lender raises any objections against that confirmation within five Business Days after its receipt; or
(ii)    if, within twenty Business Days after an objection under clause (i) has been raised by the Administrative Agent or a Lender, the Administrative Agent receives a written audit report (“Auditor’s Determination”) prepared at the expense of the relevant German Guarantor by a firm of auditors of international standing and reputation that is appointed by the German Guarantor and reasonably acceptable to the Administrative Agent, to the extent such report identifies the amount by which the net assets of that German Guarantor (or in the case of a GmbH & Co. KG, its general partner in the form of a GmbH) are necessary to maintain its registered share capital as at the date of the demand under this Article VII (taking into account the adjustments set out above). The Auditor’s Determination shall be prepared in accordance with generally accepted accounting principles applicable in Germany (Grundsätze ordnungsgemäßer Buchführung) as consistently applied by the German Guarantor in the preparation of its most recent annual balance sheet. The Auditor’s Determination shall be binding for all Parties except for manifest error.
(c)    In any event, the Secured Parties shall be entitled to enforce the guarantee up to those amounts that are undisputed between them and the relevant German Guarantor or determined in accordance with Section 7.11(a) and Section 7.11(b). In respect of the exceeding amounts, the Secured Parties shall be entitled to further pursue their claims (if any) and the German Guarantor shall be entitled to provide evidence that the excess amounts are necessary to maintain its registered share capital (calculated as at the date of demand under this Article VII and taking into account the adjustments set out above).  The Secured Parties are entitled to pursue those parts of the guarantee obligations of 

    
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the German Guarantor that are not enforced by operation of Section 7.11(a) above at any subsequent point in time.  This Section 7.11 shall apply again as of the time such additional demands are made.
(d)    Section 7.11(a) shall not apply as to the amount of Loans borrowed under this Agreement and passed on (whether by way of shareholder loan or equity contribution) to the respective German Guarantor or any of its Subsidiaries as long as the respective shareholder loan is outstanding or the respective equity contribution has not been dissolved or otherwise repaid.
(e)    Should it become legally permissible for managing directors of a German Guarantor to enter into guarantees in support of obligations of their shareholders without limitations, the limitations set forth in Section 7.11(a) shall no longer apply.  Should any such guarantees become subject to legal restrictions that are less stringent than the limitations set forth in Section 7.11(a) above, such less stringent limitations shall apply. Otherwise, Section 7.11(a) shall remain unaffected by changes in applicable law.
(f)    The limitations provided for in paragraph (a) above shall not apply where (i) the relevant German Guarantor has a fully valuable (vollwertig) recourse claim (Gegenleistungs- oder Rückgewähranspruch) vis-à-vis the relevant shareholder or (ii) a domination agreement (Beherrschungsvertrag) or a profit and loss pooling agreement (Ergebnisabführungsvertrag) is or will be in existence with the relevant German Guarantor (or the relevant general partner), unless section 30 GmbHG is violated despite of the existence of such agreement.
Section 7.12    Swiss Guarantors.  If and to the extent that (i) the obligations under this ARTICLE VII of any Swiss Guarantor are for the exclusive benefit of any of such Swiss Guarantor’s Affiliates (other than such Swiss Guarantor’s direct or indirect Subsidiaries) and (ii) complying with the obligations under this ARTICLE VII would constitute a repayment of capital (restitution des apports) or the payment of a (constructive) dividend (distribution de dividende), the following shall apply:
(a)    The aggregate obligations under this ARTICLE VII of any Swiss Guarantor shall be limited to the maximum amount of such Swiss Guarantor’s profits and reserves available for distribution, in each case in accordance with, without limitation, articles 671 para.1 to 3 and 675 para.2 of the Swiss Code of Obligations (the “Available Amount”) at the time any Swiss Guarantor makes a payment under this ARTICLE VII (provided such limitation is still a legal requirement under Swiss law at that time).
(b)    Immediately after having been requested to make a payment under this ARTICLE VII (the “Guarantee Payment”), each Swiss Guarantor shall  (i) provide the Administrative Agent, within thirty (30) Business Days from being requested to make the Guarantee Payment, with (1) an interim audited balance sheet prepared by the statutory auditors of the applicable Swiss Guarantor, (2) the determination of the Available Amount based on such interim audited balance sheet as computed by the statutory auditors, and (3) a confirmation from the statutory auditors that the Available Amount is the maximum amount which can be paid by the Swiss Guarantor under this ARTICLE VII without breaching the provisions of Swiss corporate law, which are aimed at protecting the share capital and legal reserves, and (ii) upon receipt of the confirmation referred to in the preceding sentence under (3) and after having taken all actions required pursuant to paragraph (d) below, make such Guarantee Payment in full (less, if required, any Swiss Withholding Tax).

    
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(c)    If so required under Swiss law (including double tax treaties to which Switzerland is a party) at the time it is required to make a payment under this ARTICLE VII or the Security Documents, the applicable Swiss Guarantor (1) may deduct the Swiss Withholding Tax at the rate of 35% (or such other rate as may be in force at such time) from any payment under this ARTICLE VII or the Security Documents, (2) may pay the Swiss Withholding Tax to the Swiss Federal Tax Administration, and (3) shall notify and provide evidence to the Administrative Agent that the Swiss Withholding Tax has been paid to the Swiss Federal Tax Administration.  To the extent the Guarantee Payment due is less than the Available Amount, the applicable Swiss Guarantor shall be required to make a gross-up, indemnify or otherwise hold harmless the Secured Parties for the deduction of the Swiss Withholding Tax, it being understood that at no time shall the Guarantee Payment (including any gross-up or indemnification payment pursuant to this paragraph (c) and including any Swiss Withholding Tax levied thereon) exceed the Available Amount.  The applicable Swiss Guarantor shall use its best efforts to ensure that any person which is, as a result of a payment under this ARTICLE VII, entitled to a full or partial refund of the Swiss Withholding Tax, shall as soon as possible after the deduction of the Swiss Withholding Tax (i) request a refund of the Swiss Withholding Tax under any applicable law (including double tax treaties) and (ii) pay to the Administrative Agent for distribution to the applicable Secured Parties upon receipt any amount so refunded. The Secured Obligations will only be considered as discharged to the extent of the effective payment received by the Secured Parties under this ARTICLE VII. This subsection (c) is without prejudice to the gross-up or indemnification obligations of any Guarantor other that the Swiss Guarantors.
(d)    The Swiss Guarantors shall use reasonable efforts to take and cause to be taken all and any other action, including the passing of any shareholders’ resolutions to approve any Guarantee Payment under this ARTICLE VII or the Security Documents, which may be required as a matter of Swiss mandatory law or standard business practice as existing at the time it is required to make a Guarantee Payment under this ARTICLE VII or the Security Documents in order to allow for a prompt payment of the Guarantee Payment or Available Amount, as applicable.
Section 7.13    Irish Guarantor.  This Guarantee does not apply to any liability to the extent that it would result in this Guarantee constituting unlawful financial assistance within the meaning of, in respect of any Irish Guarantor, Section 82 of the Irish Companies Act 2014 of Ireland.  
Section 7.14    Brazilian Guarantor.  The Brazilian Guarantor waives and shall not exercise any and all rights and privileges granted to guarantors which might otherwise be deemed applicable, including but not limited to the rights and privileges referred to in Articles 827, 834, 835, 836, 837, 838 and 839 of the Brazilian Civil Code and the provisions of Article 794 of the Brazilian Civil Procedure Code. 
Section 7.15    French Guarantor.
(a)    The obligations and liabilities of a French Guarantor under the Loan Documents and in particular under Article VII (Guarantee) of this Agreement shall not include any obligation or liability which if incurred would constitute the provision of financial assistance within the meaning of article L. 225-216 of the French Code de commerce and/or would constitute a misuse of corporate assets within the meaning of article L. 241-3 or L. 242-6 of the French Code de commerce or any other laws or regulations having the same effect, as interpreted by French courts.

    
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(b)    The obligations and liabilities of a French Guarantor under Article VII (Guarantee) of this Agreement for the obligations under the Loan Documents of any other Guarantor which is not a French Subsidiary of such French Guarantor, shall be limited at any time to an amount equal to the aggregate of all amounts borrowed under this Agreement by such other Guarantor as a Co-Borrower to the extent directly or indirectly on-lent to the French Guarantor under inter-company loan agreements and outstanding at the date a payment is to be made by such French Guarantor under Article VII (Guarantee) of this Agreement, it being specified that any payment made by a French Guarantor under Article VII (Guarantee) of the Credit Agreement in respect of the obligations of such Guarantor as a Co-Borrower shall reduce pro tanto the outstanding amount of the inter-company loans due by the French Guarantor under the inter-company loan arrangements referred to above.
(c)    The obligations and liabilities of a French Guarantor under Article VII (Guarantee) of this Agreement for the obligations under the Loan Documents of any Guarantor which is its Subsidiary shall not be limited and shall therefore cover all amounts due by such Guarantor as a Co-Borrower and/or as Guarantor, as applicable.  However, where such Subsidiary is not incorporated in France, the amounts payable by the French Guarantor under this paragraph (c) in respect of obligations of this Subsidiary as a Co-Borrower and/or Guarantor, shall be limited as set out in paragraph (b) above. 
Section 7.16    Belgian Guarantor. No Belgian Guarantor shall be liable for the obligations owed to the Secured Parties by any other Loan Party under any Loan Document, to the extent that such liability would result in such guarantee constituting unlawful financial assistance within the meaning of Article 329 or 629 of the Belgian Companies Code (or any equivalent and applicable provisions in any relevant jurisdiction).
Section 7.17    Keepwell.  Each Qualified ECP Guarantor hereby jointly and severally absolutely, unconditionally and irrevocably undertakes to provide such funds or other support as may be needed from time to time by each other Loan Party to honor all of its obligations under this Guaranty in respect of Swap Obligations (provided, however, that each Qualified ECP Guarantor shall only be liable under this Section 7.17 for the maximum amount of such liability that can be hereby incurred without rendering its obligations under this Section 7.17, or otherwise under this Article VII, voidable under applicable law relating to fraudulent conveyance or fraudulent transfer, and not for any greater amount). The obligations of each Qualified ECP Guarantor under this Section shall remain in full force and effect until the termination of all Commitments and the repayment in full of all outstanding Obligations. Each Qualified ECP Guarantor intends that this Section 7.17 constitute, and this Section 7.17 shall be deemed to constitute, a “keepwell, support, or other agreement” for the benefit of each other Loan Party for all purposes of Section 1a(18)(A)(v)(II) of the Commodity Exchange Act.
ARTICLE VIII 
 
EVENTS OF DEFAULT
Section 8.01    Events of Default.  Upon the occurrence and during the continuance of the following events (“Events of Default”):
(a)    default shall be made in the payment of any principal of any Loan when and as the same shall become due and payable, whether at the due date thereof (including a Term Loan Repayment 

    
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Date or an Aleris Incremental Term Loan Repayment Date) or at a date fixed for prepayment (whether voluntary or mandatory) thereof or by acceleration thereof or otherwise;
(b)    default shall be made in the payment, when and as the same shall become due and payable, of (i) any interest on any Loan and, if such default is caused by a technical or administrative delay, such default shall continue unremedied for a period of five (5) Business Days, or (ii) any Fee or any other amount (other than an amount referred to in paragraph (a) or (b)(i) above) due under any Loan Document and such default shall continue unremedied for a period of five (5) Business Days;
(c)    any representation or warranty made or deemed made in or in connection with any Loan Document or the borrowings hereunder, or which is contained in any certificate furnished by or on behalf of a Loan Party pursuant to this Agreement or any other Loan Document, shall prove to have been false or misleading (in full or in part) in any material respect when so made or deemed made;
(d)    default shall be made in the due observance or performance by any Company of any covenant, condition or agreement contained in (x) Section 5.02(a), Section 5.03(a), Section 5.08, Section 5.15, Section 5.16, or ARTICLE VI or (y) Section 5.04(a) or Section 5.04(b) (provided that in the case of defaults under Sections 5.04(a) or (b) which do not impair in any material respect the insurance coverage maintained on the Collateral or the Companies’ assets taken as a whole, then such default will not constitute an Event of Default unless such default has continued unremedied for a period of three (3) Business Days);
(e)    (i) default shall be made in the due observance or performance by any Company of any covenant, condition or agreement contained in Section 5.02 (other than Section 5.02(a)), and such default shall continue unremedied or shall not be waived for a period of five (5) Business Days after written notice thereof from the Administrative Agent or any Lender to the Designated Company, or (ii) default shall be made in the due observance or performance by any Company of any covenant, condition or agreement contained in any Loan Document (other than those specified in paragraphs (a), (b), (d) or (e)(i) immediately above) and such default shall continue unremedied or shall not be waived for a period of thirty (30) days after written notice thereof from the Administrative Agent or any Lender to the Designated Company;
(f)    any Company shall (i) fail to pay any principal or interest, regardless of amount, due in respect of any Indebtedness (other than the Obligations), when and as the same shall become due and payable beyond any applicable grace period, (ii) fail to observe or perform any other term, covenant, condition or agreement contained in any agreement or instrument evidencing or governing any Indebtedness if the effect of any failure referred to in this clause (ii) is to cause, or to permit the holder or holders of such Indebtedness or a trustee or other representative on its or their behalf to cause, such Indebtedness to become due prior to its stated maturity or become subject to a mandatory offer purchase by the obligor; provided that, other than in the case of the Revolving Credit Agreement, it shall not constitute an Event of Default pursuant to this paragraph (f) unless the aggregate Dollar Equivalent amount of all such Indebtedness referred to in clauses (i) and (ii) exceeds $100,000,000 at any one time (provided that, in the case of Hedging Obligations, the amount counted for this purpose shall be the net amount payable by all Companies if such Hedging Obligations were terminated at such time); provided, further that this clause (f)(ii) shall not apply to (x) a failure to comply with a financial maintenance covenant under the Revolving Credit Agreement in the form of an asset based loan facility, 

    
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(y) secured Indebtedness that becomes due as a result of the voluntary sale or transfer of the property or assets securing such Indebtedness, if such sale or transfer is permitted hereunder and under the documents providing for such Indebtedness and such Indebtedness is repaid or discharged to the extent required under the terms governing such Indebtedness or (z) Indebtedness that becomes due as a result of a notice of voluntary refinancing, exchange, or conversion thereof that is permitted thereunder, so long as such refinancing, exchange or conversion is consummated, or such notice duly withdrawn, in accordance with the terms of such Indebtedness, or (iii) fail to observe or perform any financial maintenance covenant under a Revolving Credit Agreement which is an asset based loan facility and such failure results in the Indebtedness under such Revolving Credit Agreement becoming due prior to its stated maturity; 
(g)    an involuntary proceeding shall be commenced or an involuntary petition shall be filed in a court of competent jurisdiction seeking (i) relief in respect of any Loan Party or Material Subsidiary, or of a substantial part of the property of any Loan Party or Material Subsidiary, under Title 11 of the U.S. Code, as now constituted or hereafter amended, or any other federal, state, provincial or foreign bankruptcy, insolvency, receivership, reorganization or other Debtor Relief Law, including any proceeding under applicable corporate law; (ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator, examiner or similar official for any Loan Party or Material Subsidiary or for a substantial part of the property of any Loan Party or Material Subsidiary; or (iii) the winding-up, liquidation or examination of any Loan Party or Material Subsidiary; and such proceeding or petition shall continue undismissed for sixty (60) days or an order or decree approving or ordering any of the foregoing shall be entered;
(h)    any Loan Party or Material Subsidiary shall (i) voluntarily commence any proceeding or file any petition seeking relief under Title 11 of the United States Code, as now constituted or hereafter amended, or any other federal, state or foreign bankruptcy, insolvency, receivership or other Debtor Relief Law; (ii) consent to the institution of, or fail to contest in a timely and appropriate manner, any proceeding or the filing of any petition described in clause (g) above; (iii) apply for or consent to the appointment of a receiver, trustee, custodian, sequestrator, conservator, examiner or similar official for any Loan Party or Material Subsidiary or for a substantial part of the property of any Loan Party or Material Subsidiary; (iv) file an answer admitting the material allegations of a petition filed against it in any such proceeding; (v) make a general assignment for the benefit of creditors; (vi) become unable, admit in writing its insolvency or inability or fail generally to pay its debts as they become due; (vii) take any action for the purpose of effecting any of the foregoing; (viii) wind up or liquidate (except in accordance with Section 6.05) or put into examination, or (ix) take any step with a view to a moratorium or a composition or similar arrangement with any creditors of any Loan Party or Material Subsidiary, or a moratorium is declared or instituted in respect of the indebtedness of any Loan Party or Material Subsidiary;
(i)    one or more judgments, orders or decrees for the payment of money in an aggregate Dollar Equivalent amount in excess of $100,000,000, to the extent not covered by insurance or supported by a letter of credit or appeal bonds posted in cash, shall be rendered against any Company or any combination thereof and the same shall remain undischarged, unvacated or unbonded for a period of thirty (30) consecutive days during which execution shall not be effectively stayed, or any 

    
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action shall be legally taken by a judgment creditor to levy upon properties of any Company to enforce any such judgment;
(j)    one or more ERISA Events or noncompliance with respect to Foreign Plans or Compensation Plans shall have occurred that, when taken together with all other such ERISA Events and noncompliance with respect to Foreign Plans or Compensation Plans that have occurred, could reasonably be expected to result in liability of any Company and its ERISA Affiliates that could reasonably be expected to result in a Material Adverse Effect;
(k)    any security interest and Lien purported to be created by any Security Document shall cease to be in full force and effect, or shall cease to give the Collateral Agent, for the benefit of the Secured Parties, a valid, perfected First Priority security interest in and Lien on all of the Collateral thereunder (except as otherwise expressly provided in such Security Document) in favor of the Collateral Agent, or shall be asserted by the Designated Company or any other Loan Party not to be a valid, perfected, First Priority (except as otherwise expressly provided in this Agreement, the Intercreditor Agreement or such Security Document) security interest in or Lien on the Collateral covered thereby;
(l)    any Loan Document or any material provision thereof shall at any time and for any reason be declared by a court of competent jurisdiction to be null and void, or a proceeding shall be commenced by any Loan Party or by any Governmental Authority, seeking to establish the invalidity or unenforceability thereof (exclusive of questions of interpretation of any provision thereof), or any Loan Party shall repudiate or deny any portion of its liability or obligation for the Obligations;
(m)    there shall have occurred a Change in Control;
(n)    the Intercreditor Agreement or any material provision thereof shall cease to be in full force or effect other than (i) as expressly permitted hereunder or thereunder, (ii) by a consensual termination or modification thereof agreed to by the Agent party thereto, the Revolving Credit Agents party thereto and all other creditors of the Designated Company and its Restricted Subsidiaries (or any trustee, agent or representative acting on their behalf) that is a party thereto, or (iii) as a result of satisfaction in full of the obligations under the Revolving Credit Loan Documents, the Additional Senior Secured Indebtedness Documents (if any), the Junior Secured Indebtedness (if any) and any other Material Indebtedness subject to the terms of the Intercreditor Agreement; or
(o)    any Company shall be prohibited or otherwise restrained from conducting the business theretofore conducted by it in any manner that has or could reasonably be expected to result in a Material Adverse Effect by virtue of any determination, ruling, decision, decree or order of any court or Governmental Authority of competent jurisdiction;
then, and in every such event (other than an event with respect to any Loan Party described in paragraph (g) or (h) above), and at any time thereafter during the continuance of such event the Administrative Agent may, and at the request of the Required Lenders shall, by notice to the Designated Company, take either or both of the following actions, at the same or different times:  (i) terminate forthwith the Commitments and (ii) declare the Loans then outstanding to be forthwith due and payable in whole or in part, whereupon the principal of the Loans so declared to be due and payable, together 

    
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with accrued interest thereon and any unpaid accrued Fees and all other Obligations of the Loan Parties accrued hereunder and under any other Loan Document, shall become forthwith due and payable, without presentment, demand, protest or any other notice of any kind, all of which are hereby expressly waived by each of the Loan Parties, anything contained herein or in any other Loan Document to the contrary notwithstanding; and in any event, with respect to any Loan Party described in paragraph (g) or (h) above, the Commitments shall automatically terminate and the principal of the Loans then outstanding, together with accrued interest thereon and any unpaid accrued Fees, costs, charges and all other Obligations of the Loan Parties accrued hereunder and under any other Loan Document, shall automatically become due and payable, without presentment, demand, protest or any other notice of any kind, all of which are hereby expressly waived by each of the Loan Parties, anything contained herein or in any other Loan Document to the contrary notwithstanding.
Section 8.02    Rescission.  If at any time after termination of the Commitments or acceleration of the maturity of the Loans, the Loan Parties shall pay all arrears of interest and all payments on account of principal of the Loans owing by them that shall have become due otherwise than by acceleration (with interest on principal and, to the extent permitted by law, on overdue interest, at the rates specified herein) and all Defaults (other than non-payment of principal of and accrued interest on the Loans due and payable solely by virtue of acceleration) shall be remedied or waived pursuant Section 11.02, then upon the written consent of the Required Lenders and written notice to the Designated Company, the termination of the Commitments or the acceleration and their consequences may be rescinded and annulled; but such action shall not affect any subsequent Default or impair any right or remedy consequent thereon.  The provisions of the preceding sentence are intended merely to bind the Lenders to a decision that may be made at the election of the Required Lenders, and such provisions are not intended to benefit any Loan Party and do not give any Loan Party the right to require the Lenders to rescind or annul any acceleration hereunder, even if the conditions set forth herein are met.
Section 8.03    Application of Proceeds.  Subject to the terms of the Intercreditor Agreement, the proceeds received by any of the Agents in respect of any sale of, collection from or other realization upon all or any part of the Collateral, whether pursuant to the exercise by the Collateral Agent of its remedies or otherwise (including any payments received with respect to adequate protection payments or other distributions relating to the Obligations during the pendency of any reorganization or proceeding under any Debtor Relief Law) after an Event of Default has occurred and is continuing or after the acceleration of the Obligations, shall be applied, in full or in part, together with any other sums then held by the Agents or any Receiver pursuant to this Agreement, promptly by the Agents or any Receiver as follows:
(a)    First, to the payment of all reasonable costs and expenses, fees, commissions and taxes of such sale, collection or other realization including compensation to the Agents or any Receiver and their agents and counsel, and all expenses, liabilities and advances made or incurred by the Agents or any Receiver in connection therewith, and all amounts for which the Agents or any Receiver are entitled to indemnification or reimbursement pursuant to the provisions of any Loan Document, together with interest on each such amount at the highest rate then in effect under this Agreement from and after the date such amount is due, owing or unpaid until paid in full;

    
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(b)    Second, to the payment of all other reasonable costs and expenses of such sale, collection or other realization including any compensation payable to the other Secured Parties and their agents and counsel and all costs, liabilities and advances made or incurred by the other Secured Parties in connection therewith, together with interest on each such amount at the highest rate then in effect under this Agreement from and after the date such amount is due, owing or unpaid until paid in full;
(c)    Third, without duplication of amounts applied pursuant to clauses (a) and (b) above, to the indefeasible payment in full in cash, pro rata, of interest and other amounts constituting Obligations which are then due and owing (other than principal) and any fees, premiums and scheduled periodic payments due under Hedging Agreements constituting Secured Obligations and any interest accrued thereon, in each case equally and ratably in accordance with the respective amounts thereof then due and owing with respect to such Obligations;
(d)    Fourth, to the indefeasible payment in full in cash, pro rata, of the principal amount of the Obligations and any premium thereon and any breakage, termination or other payments under Hedging Agreements constituting Secured Obligations and any interest accrued thereon and any remaining Secured Obligations, in each case equally and ratably in accordance with the respective amounts thereof then due and owing; and
(e)    Fifth, the balance, if any, to the person lawfully entitled thereto (including the applicable Loan Party or its successors or assigns) or as a court of competent jurisdiction may direct.
In the event that any such proceeds are insufficient to pay in full the items described in clauses (a) through (d) of this Section 8.03, the Loan Parties shall remain liable, jointly and severally, for any deficiency. 
Notwithstanding the foregoing, Obligations arising under Hedging Agreements constituting Secured Obligations shall be excluded from the application described above if the Administrative Agent has not received written notice thereof, together with such supporting documentation as the Administrative Agent may request, from the applicable Secured Hedge Provider.  Each Secured Hedge Provider not a party to the Credit Agreement that has given the notice contemplated by the preceding sentence shall, by such notice, be deemed to have acknowledged and accepted the appointment of the Administrative Agent and the Collateral Agent pursuant to the terms of Article X hereof for itself and its Affiliates as if a “Lender” party hereto.

Section 8.04    Designated Company’s Right to Cure.
(a)    Notwithstanding anything to the contrary contained in Section 8.01, in the event the Designated Company fails to comply with the Financial Performance Covenant with respect to a period of four consecutive fiscal quarters, then at any time after the end of the last fiscal quarter of such period of four consecutive fiscal quarters until the expiration of the tenth (10th) day after the date on which financial statements are required to be delivered with respect to such fiscal quarter hereunder, any Specified Holder may make a Specified Equity Contribution to Holdings, and Holdings shall immediately make a cash contribution to the common equity of the Designated Company and/or 

    
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purchase Equity Interests of the Designated Company (other than Disqualified Capital Stock), in the amount of such Specified Equity Contribution. The Designated Company may apply the amount of the Net Cash Proceeds thereof received by it to increase Consolidated EBITDA with respect to such applicable quarter; provided that such Net Cash Proceeds (i) are actually received by the Designated Company (including through capital contribution of such Net Cash Proceeds by Holdings to the Designated Company) no later than ten (10) days after the date on which financial statements are required to be delivered with respect to such fiscal quarter hereunder and (ii) do not exceed the aggregate amount necessary for purposes of complying (by addition to Consolidated EBITDA) with the Financial Performance Covenant for such period. The parties hereby acknowledge and agree that notwithstanding anything to the contrary contained elsewhere in this Agreement, this Section 8.04(a) (and any Specified Equity Contribution or the proceeds thereof) may not be relied on for purposes of calculating any financial ratios (other than as applicable to the Financial Performance Covenant for purposes of increasing Consolidated EBITDA as provided herein) or any available basket or thresholds under this Agreement and shall not result in any adjustment to any amounts or calculations other than the amount of the Consolidated EBITDA referred to in the immediately preceding sentence.
(b)    The parties hereto agree that (i) in each period of four consecutive fiscal quarters, there shall be at least two (2) fiscal quarters in which no Specified Equity Contribution is made, (ii) during the term of this Agreement, no more than four Specified Equity Contributions will be made, and (iii) the cash contributed or received pursuant to such Specified Equity Contribution (A) shall be disregarded for any purpose other than increasing Consolidated EBITDA solely for the purposes of measuring the Financial Performance Covenant (and, for the avoidance of doubt, such cash shall not constitute “cash and Cash Equivalents” or Unrestricted Cash for purposes of the definition of “Consolidated Total Net Debt” and shall not increase Consolidated EBITDA for the purpose of determining compliance with the Financial Performance Covenant on a Pro Forma Basis in determining whether another transaction will be permitted) and (B) for purposes of calculating the Total Net Leverage Ratio, the Consolidated Interest Coverage Ratio, the Senior Secured Net Leverage Ratio, the Secured Net Leverage Ratio and the Financial Performance Covenant, shall not be deemed to reduce any Indebtedness or other obligations of the Loan Parties that would otherwise be included in the definition of “Consolidated Total Net Debt” (except, with respect to periods after the fiscal quarter with respect to which such Equity Issuance is made, to the extent such Specified Equity Contribution is applied to repay Indebtedness).
ARTICLE IX 
 
[INTENTIONALLY OMITTED]
ARTICLE X 
 
THE ADMINISTRATIVE AGENT AND THE COLLATERAL AGENT
Section 10.01    Appointment and Authority.  Each of the Lenders hereby irrevocably appoints SCB to act on its behalf as the Administrative Agent and the Collateral Agent hereunder and under the other Loan Documents and authorizes each Agent to take such actions on its behalf and to exercise such powers as are delegated to such Agent by the terms hereof or thereof, together with such actions and 

    
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powers as are reasonably incidental thereto. Pursuant to article 1161 of the French code civil, the Lenders hereby expressly authorize the French Collateral Agent to act on the behalf and for the account of the Lenders and in its own name and for its own account as creditor under the Parallel Debt provision set forth in Section 11.24, in connection with the performance of the Loan Documents.  The provisions of this Article are solely for the benefit of the Agents and the Lenders and neither the Designated Company nor any other Loan Party shall have rights as a third party beneficiary of any of such provisions.
Section 10.02    Rights as a Lender.  Each person serving an Agent hereunder shall have the same rights and powers in its capacity as a Lender as any other Lender and may exercise the same as though it were not an Agent and the term “Lender” or “Lenders” shall, unless otherwise expressly indicated or unless the context otherwise requires, include each person serving as an Agent hereunder in its individual capacity.  Such person and its Affiliates may accept deposits from, lend money to, act as the financial advisor or in any other advisory capacity for and generally engage in any kind of business with the Designated Company or other Loan Party, or any Subsidiary or other Affiliate thereof, as if such person were not an Agent hereunder and without any duty to account therefor to the Lenders.
Section 10.03    Exculpatory Provisions.
(a)    No Agent shall have any duties or obligations except those expressly set forth herein and in the other Loan Documents.  Without limiting the generality of the foregoing, no Agent: 
(i)    shall be subject to any fiduciary or other implied duties, regardless of whether a Default has occurred and is continuing;
(ii)    shall have any duty to take any discretionary action or exercise any discretionary powers, except discretionary rights and powers expressly contemplated hereby or by the other Loan Documents that in each case such Agent is expressly required to exercise as directed in writing by the Required Lenders (or such other number or percentage of the Lenders as shall be expressly provided for herein or in the other Loan Documents); provided that such Agent shall not be required to take any action that, in its judgment or the judgment of its counsel, may expose such Agent to liability or that is contrary to any Loan Document or applicable Requirements of Law; and
(iii)    shall, except as expressly set forth herein and in the other Loan Documents, have any duty to disclose, and shall not be liable for the failure to disclose, any information relating to the Designated Company or other Loan Party or any of its Affiliates that is communicated to or obtained by the person serving as such Agent or any of its Affiliates in any capacity.
(b)    Notwithstanding anything to the contrary in any Loan Document, no Agent shall be liable for any action taken or not taken by it (x) with the consent or at the request of the Required Lenders (or such other number or percentage of the Lenders as shall be necessary, or as such Agent shall believe in good faith shall be necessary, under the circumstances as provided in Sections 8.01 and 11.02) or (y) in the absence of its own gross negligence or willful misconduct. No Agent shall be 

    
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deemed to have knowledge of, or be required to take any action in connection with, any Default unless and until notice describing such Default is given to such Agent by the Designated Company or a Lender.
(c)    No Agent shall be responsible for or have any duty to ascertain or inquire into (i) any statement, warranty or representation made in or in connection with this Agreement or any other Loan Document, (ii) the contents of any certificate, report or other document delivered hereunder or thereunder or in connection herewith or therewith, (iii) the performance or observance of any of the covenants, agreements or other terms or conditions set forth herein or therein or the occurrence of any Default, (iv) the validity, enforceability, effectiveness or genuineness of this Agreement, any other Loan Document or any other agreement, instrument or document or (v) the satisfaction of any condition set forth in ARTICLE IV or elsewhere herein, other than to confirm receipt of items expressly required to be delivered to such Agent.  Without limiting the generality of the foregoing, the use of the term “agent” in this Agreement with reference to the Administrative Agent or the 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 us used merely as a matter of market custom and is intended to create or reflect only an administrative relationship between independent contracting parties.
(d)    No Agent shall be responsible or have any liability for, or have any duty to ascertain, inquire into, monitor or enforce, compliance with the provisions hereof relating to Disqualified Institutions.  Without limiting the generality of the foregoing, the Agents shall not ‎(x) be obligated to ascertain, monitor or inquire as to whether any Lender or Participant or prospective Lender or Participant is a Disqualified ‎Institution or (y) have any liability with respect to or arising out of any assignment or participation of Loans, or disclosure of confidential information, to any ‎Disqualified Institution.‎
(e)    Notwithstanding anything to the contrary in any Loan Document, without limiting any Agent’s rights hereunder to exercise discretion in taking any action in connection with the Loan Documents or any transaction permitted hereunder or thereunder (it being understood and agreed by the Lenders that such Agent may elect to act promptly and without seeking express approval from any Lender prior to taking such action), any Agent may:
(i)    require the express written approval of the Required Lenders (or such other number or percentage of the Lenders as shall be expressly provided for herein or in the other Loan Documents) prior to taking any action in connection with the Loan Documents or any transaction permitted hereunder or thereunder, including, without limitation, the Permitted Reorganization; or 
(ii)    upon at least two (2) Business Days’ prior written notice to the Lenders (such period, the “Specified Notice Period”), require the express written approval of the Representative Lenders prior to taking any action in connection with the Loan Documents or any transaction permitted hereunder or thereunder; provided that this clause (ii) shall not apply with respect to any action in connection with the Permitted Reorganization or that would otherwise require the consent of such other number or percentage of the Lenders as expressly provided for in Section 11.02. 

    
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On and after the date that the requisite written approval, if any, is provided to such Agent by such Lenders in accordance with the immediately preceding sentence, such Agent shall be authorized to take such action for all purposes under the Loan Documents without the consent of any other Lender. For purposes of this clause (e), “Representative Lenders” shall mean, with respect to any action under clause (ii) above, Lenders holding more than 50% of the sum of all Loans outstanding and unused Commitments (if any) of all Lenders that have provided written notice of their approval or disapproval of such action or omission to take an action within the Specified Notice Period.
Section 10.04    Reliance by the Administrative Agent.  Each Agent shall be entitled to rely upon, and shall not incur any liability for relying upon or acting or failing to act upon (including in connection with such Agent’s execution, delivery or filing of any Loan Document or other agreement, document, certificate or filing in connection therewith), any notice, request, certificate, consent, statement, instrument, document or other writing (including any electronic message, Internet or intranet website posting or other distribution) believed by it to be genuine and to have been signed, sent or otherwise authenticated by the proper person. In determining whether the conditions to taking any action under or in connection with any Loan Document are satisfied, each Agent shall be entitled to rely upon any certificates delivered to such Agent by any Loan Party. Each Agent also may rely upon any statement made to it orally or by telephone and believed by it to have been made by the proper person, and shall not incur any liability for relying thereon.  The Agents are further authorized to rely upon and to comply with any written, oral or telephonic statements made or purported to be made by any Loan Party. In determining compliance with any condition hereunder to the making of a Loan that by its terms must be fulfilled to the satisfaction of a Lender, the Administrative Agent may presume that such condition is satisfactory to such Lender unless the Administrative Agent shall have received notice to the contrary from such Lender prior to the making of such Loan. Each Agent may consult with legal counsel (who may be counsel for the Designated Company or other Loan Party), independent accountants and other experts selected by it, and shall not be liable for any action taken or not taken by it in accordance with the advice of any such counsel, accountants or experts.
Section 10.05    Delegation of Duties.  Each Agent may perform any and all of its duties and exercise its rights and powers hereunder or under any other Loan Document by or through, or delegate any and all such rights and powers to, any one or more sub-agents appointed by such Agent, including a sub-agent which is a non-U.S. affiliate of such Agent.  Each Agent and any such sub-agent may perform any and all of its duties and exercise its rights and powers by or through their respective Related Parties.  The exculpatory provisions of this Article shall apply to any such sub-agent and to the Related Parties of each Agent and any such sub-agent, and shall apply to their respective activities in connection with the syndication of the credit facilities provided for herein as well as activities as Agent. 
Section 10.06    Resignation of Agent.  
(a)    Each Agent may at any time give notice of its resignation to the Lenders and the Designated Company.  Upon receipt of any such notice of resignation, the Required Lenders shall have the right, in consultation with the Designated Company, to appoint a successor, which (i) shall be a bank with an office in the United States or England and Wales, or an Affiliate of any such bank with an office in the United States or England and Wales and (ii) for the Administrative Agent, shall be a commercial bank or other financial institution having assets in excess of $1,000,000,000.  If no such 

    
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successor shall have been so appointed by the Required Lenders and shall have accepted such appointment within thirty (30) days after the retiring Agent gives notice of its resignation, then the retiring Agent may on behalf of the Lenders, appoint a successor Agent meeting the qualifications set forth above, provided that if the Agent shall notify the Designated Company and the Lenders that no qualifying person has accepted such appointment, then such resignation shall nonetheless become effective in accordance with such notice and (1) the retiring Agent shall be discharged from its duties and obligations hereunder and under the other Loan Documents (except that in the case of any collateral security held by the Collateral Agent on behalf of the Lenders under any of the Loan Documents, the retiring Collateral Agent shall continue to hold such collateral security as nominee until such time as a successor Collateral Agent is appointed) and (2) all payments, communications and determinations provided to be made by, to or through an Agent shall instead be made by or to each Lender directly, until such time as the Required Lenders appoint a successor Agent as provided for above in this paragraph.  Upon the acceptance of a successor’s appointment as Agent hereunder, such successor shall succeed to and become vested with all of the rights, powers, privileges and duties of the retiring (or retired) Agent, and the retiring Agent shall be discharged from all of its duties and obligations hereunder or under the other Loan Documents (if not already discharged therefrom as provided above in this paragraph).  The fees payable by the Co-Borrowers to a successor Agent shall be the same as those payable to its predecessor unless otherwise agreed between the Co-Borrowers and such successor.  After the retiring Agent’s resignation hereunder and under the other Loan Documents, the provisions of this ARTICLE X and Section 11.03 shall continue in effect for the benefit of such retiring Agent, its sub-agents and their respective Related Parties in respect of any actions taken or omitted to be taken by any of them while the retiring Agent was acting as Agent.
(b)    The Administrative Agent shall resign in accordance with paragraph (a) above if on or after the date which is three months before the earliest FATCA Application Date relating to any payment to the Administrative Agent under the Loan Documents, either:
(i)    the Administrative Agent fails to respond to a request under Section 2.15(f) (FATCA Information) and a Lender reasonably believes that the Administrative Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date;
(ii)    the information supplied by the Administrative Agent pursuant to Section 2.15(f) (FATCA Information) indicates that the Administrative Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date; or
(iii)    the Administrative Agent notifies the Designated Company and the Lenders that the Administrative Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date;
and (in each case) a Lender reasonably believes that a Party will be required to make a FATCA Deduction that would not be required if the Administrative Agent were a FATCA Exempt Party, and that Lender, by notice to the Administrative Agent, requires it to resign.
Section 10.07    Non-Reliance on Agent and Other Lenders.  Each Lender acknowledges that it has, independently and without reliance upon any Agent, syndication agent, documentation agent, arranger or bookrunner listed on the cover page hereto or acting in such capacity in connection with any 

    
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amendment or in connection with any Incremental Term Loans made hereunder, or any other Lender, and based on such documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into this Agreement. Each Lender also acknowledges that it will, independently and without reliance upon any Agent, syndication agent, documentation agent, arranger or bookrunner listed on the cover page hereto or acting in such capacity in connection with any amendment or in connection with any Incremental Term Loans made hereunder, or any other Lender, and based on such documents and information as it shall from time to time deem appropriate, continue to make its own decisions in taking or not taking action under or based upon this Agreement, any other Loan Document or any related agreement or any document furnished hereunder or thereunder.
Section 10.08    No Other Duties, etc.  Notwithstanding anything to the contrary contained herein, the Mandated Lead Arrangers listed on the cover page hereof shall not have any powers, duties or responsibilities under this Agreement or any of the other Loan Documents, except in its capacity, as applicable, as the Administrative Agent, Collateral Agent or as a Lender hereunder.
Section 10.09    Administrative Agent May File Proofs of Claim.  In case of the pendency of any proceeding under any Debtor Relief Law or any other judicial proceeding relative to any Loan Party, the Agents (irrespective of whether the principal of any Loan shall then be due and payable as herein expressed or by declaration or otherwise and irrespective of whether any Agent shall have made any demand on any Co-Borrower or any Guarantor) shall be entitled and empowered, by intervention in such proceeding or otherwise:
(a)    to file and prove a claim for the whole amount of the principal and interest owing and unpaid in respect of the Loans and all other Secured Obligations that are owing and unpaid and to file such other documents as may be necessary or advisable in order to have the claims of the Agents and the other Secured Parties (including any claim for the reasonable compensation, expenses, disbursements and advances of the Lenders and the Agents and their respective agents and counsel and all other amounts due the Secured Parties and the Agents hereunder) allowed in such judicial proceeding; and
(b)    to collect and receive any monies or other property payable or deliverable on any such claims and to distribute the same;
and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official in any such judicial proceeding is hereby authorized by each Secured Party to make such payments to the Administrative Agent and, in the event that the Administrative Agent shall consent to the making of such payments directly to the Secured Parties, to pay to the Administrative Agent any amount due for the reasonable compensation, expenses, disbursements and advances of the Agents and their respective agents and counsel, and any other amounts due the Agents hereunder.  Nothing contained herein shall be deemed to authorize any Agent to authorize or consent to or accept or adopt on behalf of any Secured Party any plan of reorganization, arrangement, adjustment or composition affecting the Secured Obligations or the rights of any Secured Party to authorize any Agent to vote in respect of the claim of any Secured Party in any such proceeding. 

    
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Section 10.10    Concerning the Collateral and the Related Loan Documents.  Each Lender authorizes and directs the Agents to enter into this Agreement and the other Loan Documents, including the Intercreditor Agreement and to perform their obligations thereunder.  Each Lender agrees that any action taken by the Agents or Required Lenders in accordance with the terms of this Agreement or the other Loan Documents, including the Intercreditor Agreement, and the exercise by the Agents or Required Lenders of their respective powers set forth therein or herein, together with such other powers that are reasonably incidental thereto, shall be binding upon all of the Lenders.  
Section 10.11    Release.  Each Lender and each Issuer hereby releases each Agent acting on its behalf pursuant to the terms of this Agreement or any other Loan Document from the restrictions of Section 181 of the German Civil Code (Bürgerliches Gesetzbuch) (restriction on self-dealing).
Section 10.12    Acknowledgment of Security Trust Deed.  Each Secured Party acknowledges the terms of the Security Trust Deed and, in particular, the terms, basis and limitation on which the Collateral Agent holds the “Transaction Security” (as defined therein) and specifically agrees and accepts (i) such terms, basis and limitation; (ii) that the Collateral Agent shall, as trustee, have only those duties, obligations and responsibilities expressly specified in the Security Trust Deed; (iii) the limitation and exclusion of the Collateral Agent’s liability as set out therein; and (iv) all other provisions of the Security Trust Deed as if it were a party thereto. 
Section 10.13    Secured Hedging Agreements.  Except as otherwise expressly set forth herein or in any Guarantee or any Security Document, no Secured Hedge Provider that obtains the benefits of Section 8.03, any Guarantee or any Collateral by virtue of the provisions hereof or of any Guarantee or any Security Document shall have any right to notice of any action or to consent to, direct or object to any action hereunder or under any other Loan Document or otherwise in respect of the Collateral (including the release or impairment of any Collateral) other than in its capacity as a Lender and, in such case, only to the extent expressly provided in the Loan Documents.  Notwithstanding any other provision of this Article X to the contrary, no Agent shall be required to verify the payment of, or that other satisfactory arrangements have been made with respect to, Hedging Obligations owing to Secured Hedge Providers unless such Agent has received written notice of such Obligations, together with such supporting documentation as such Agent may request, from the applicable Secured Hedge Provider.
ARTICLE XI 
 
MISCELLANEOUS
Section 11.01    Notices.
(a)    Generally.  Except in the case of notices and other communications expressly permitted to be given by telephone (and except as provided in paragraph (b) below), all notices and other communications provided for herein shall be in writing and shall be delivered by hand or overnight courier service, mailed by certified or registered mail or sent by telecopier as follows:
(i)    if to any Loan Party, to the Borrower at:

    
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Novelis Inc. 
Two Alliance Center
3560 Lenox Road, Suite 2000 
Atlanta, GA  30326 
Attention:  Randal P. Miller 
Telecopier No.:  404-760-0124 
Email:  randy.miller@novelis.adityabirla.com
with a copy to:

Novelis Inc. 
Two Alliance Center
3560 Lenox Road, Suite 2000 
Atlanta, GA  30326 
Attention:  Leslie J. Parrette, Jr. 
Telecopier No.:  404-760-0137 
Email:  les.parrette@novelis.adityabirla.com
and

Torys LLP 
1114 Avenue of the Americas, 23rd Floor
New York, New York 10036 
Attention:  Jonathan B. Wiener 
Telecopier No.:  212-682-0200 
Email:  jwiener@torys.com

(ii)    if to a Lender, to it at its address (or telecopier number) set forth in its Administrative Questionnaire (including, as appropriate, notices delivered solely to the person designated by a Lender on its Administrative Questionnaire then in effect for the delivery of notices that may contain material non-public information relating to the Designated Company); and
(iii)    if to the Administrative Agent or the Collateral Agent, to it at:
Standard Chartered Bank
5th Floor 1 Basinghall Avenue
London, England, EC2V 5DD
Attention: Asset Servicing - Manager
Fax:  +44207 885 9728
Email: loansagencyuk@sc.com
with a copy to:

    
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Skadden, Arps, Slate, Meagher & Flom LLP 
4 Times Square 
New York, New York 10036 
Attention:  David C. Reamer 
Telecopier No.:  (917) 777-2850 
Phone No.:  (212) 735-2850 
Email: david.reamer@skadden.com
Notices and other communication sent by hand or overnight courier service, or mailed by certified or registered mail, shall be deemed to have been given when received; notices sent by telecopier shall be deemed to have been given when sent (except that, if not given during normal business hours for the recipient, shall be deemed to have been given at the opening of business on the next Business Day for the recipient).  Notices delivered through electronic communications to the extent provided in paragraph (b) below, shall be effective as provided in said paragraph (b).
(b)    Electronic Communications.  Notices and other communications to the Lenders hereunder may (subject to Section 11.01(d)) be delivered or furnished by electronic communication (including e-mail, FpML messaging and Internet or intranet websites) pursuant to procedures approved by the Administrative Agent; provided that the foregoing shall not apply to notices to any Lender pursuant to ARTICLE II if such Lender, as applicable, has notified the Administrative Agent that it is incapable of receiving notices under such Article by electronic communication.  The Administrative Agent, the Collateral Agent or the Designated Company may, in its discretion, agree to accept notices and other communications to it hereunder by electronic communications pursuant to procedures approved by it (including as set forth in Section 11.01(d)); provided that approval of such procedures may be limited to particular notices or communications.
Unless the Administrative Agent otherwise prescribes, (i) notices and other communications sent to an e-mail address shall be deemed received upon the sender’s receipt of an acknowledgement from the intended recipient (such as by the “return receipt requested” function, as available, return e-mail or other written acknowledgement); provided that if such notice or other communication is not sent during the normal business hours of the recipient, such notice or communication shall be deemed to have been sent at the opening of business on the next business day for the recipient, and (ii) notices or communications posted to an Internet or intranet website shall be deemed received upon the deemed receipt by the intended recipient at its e-mail address as described in the foregoing clause (i) of notification that such notice or communication is available and identifying the website address therefor.
(c)    Change of Address, Etc.  Any party hereto (other than a Lender) may change its address or telecopier number for notices and other communications hereunder by notice to the other parties hereto.  Each Lender may change its address, telecopier or telephone number for notices and other communications hereunder by notice to the Designated Company and the Administrative Agent.  In addition, each Lender agrees to notify the Administrative Agent from time to time to ensure that the Administrative Agent has on record (i) an effective address, contact name, telephone number, telecopier number and electronic mail address to which notices and other communications may be sent and (ii) accurate wire instructions for such Lender. 

    
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(d)    Posting.   Each Loan Party hereby agrees that it will provide to the Administrative Agent all information, documents and other materials that it is obligated to furnish to the Administrative Agent pursuant to this Agreement and any other Loan Document, including all notices, requests, financial statements, financial and other reports, certificates and other information materials, but excluding any such communication that (i) relates to a request for a new, or a conversion of an existing, Borrowing or other extension of credit (including any election of an interest rate or interest period relating thereto), (ii) relates to the payment of any principal or other amount due under this Agreement prior to the scheduled date therefor, (iii) provides notice of any Default under this Agreement or (iv) is required to be delivered to satisfy any condition precedent to the effectiveness of this Agreement and/or any borrowing or other extension of credit hereunder (all such non-excluded communications, collectively, the “Communications”), by transmitting the Communications in an electronic/soft medium in a format reasonably acceptable to the Administrative Agent at loansagencyuk@sc.com or at such other e-mail address(es) provided to the Designated Company from time to time or in such other form, including hard copy delivery thereof, as the Administrative Agent shall reasonably require.  Nothing in this Section 11.01(d) shall prejudice the right of the Agents, any Lender or any Loan Party to give any notice or other communication pursuant to this Agreement or any other Loan Document in any other manner specified in this Agreement or any other Loan Document.
To the extent consented to by the Administrative Agent from time to time, Administrative Agent agrees that receipt of the Communications by the Administrative Agent at its e-mail address(es) set forth above shall constitute effective delivery of the Communications to the Administrative Agent for purposes of the Loan Documents; provided that the Designated Company shall also deliver to the Administrative Agent an executed original of each Compliance Certificate and an executed copy (which may be by pdf or similar electronic transmission) of each notice or request of the type described in clauses (i) through (iv) of paragraph (d) above required to be delivered hereunder.
Each Loan Party further agrees that Administrative Agent may make the Communications available to the Lenders by posting the Communications on Intralinks, Syndtrak, ClearPar or a substantially similar electronic transmission system (the “Platform”).  THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE.”  THE AGENT PARTIES (AS DEFINED BELOW) DO NOT WARRANT THE ACCURACY OR COMPLETENESS OF THE BORROWER MATERIALS (AS DEFINED BELOW) OR THE ADEQUACY OF THE PLATFORM, AND EXPRESSLY DISCLAIM LIABILITY FOR ERRORS IN OR OMISSIONS FROM THE BORROWER MATERIALS.  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 ANY AGENT PARTY IN CONNECTION WITH THE BORROWER MATERIALS OR THE PLATFORM.  In no event shall the Administrative Agent or any of its Related Parties (collectively, the “Agent Parties”) have any liability to the Designated Company, any other Loan Party, any Lender or any other Person for losses, claims, damages, liabilities or expenses of any kind (whether in tort, contract or otherwise) arising out of the Designated Company’s, any Loan Party’s or the Administrative Agent’s transmission of Borrower Materials or notices through the Platform, any other electronic messaging service, or through the Internet, except to the extent that such losses, claims, damages, liabilities or expenses are determined by a court of competent jurisdiction by a final and nonappealable judgment to have resulted from the 

    
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gross negligence or willful misconduct of such Agent Party; provided, however, that in no event shall any Agent Party have any liability to the Designated Company, any other Loan Party, any Lender or any other Person for indirect, special, incidental, consequential or punitive damages (as opposed to direct or actual damages).
Each Loan Party further agrees and acknowledges that certain of the Lenders (each, a “Public Lender”) may have personnel who do not wish to receive material non-public information with respect to the Designated Company or its Affiliates, or the respective securities of any of the foregoing, and who may be engaged in investment and other market-related activities with respect to such persons’ securities.  The Designated Company and each other Loan Party hereby agree that it will use commercially reasonable efforts to identify that portion of the materials and/or information provided by or on behalf of the Designated Company hereunder (the “Borrower Materials”) that may be distributed to the Public Lenders and that (w) all such Borrower Materials shall be clearly and conspicuously marked “PUBLIC” which, at a minimum, shall mean that the word “PUBLIC” shall appear prominently on the first page thereof; (x) by marking Borrower Materials hereunder “PUBLIC,” the Loan Parties shall be deemed to have authorized the Mandated Lead Arrangers, the Agents and the Lenders to treat such materials as not containing any material non-public information (although it may be sensitive and proprietary) with respect to the Designated Company, the other Loan Parties or their respective securities for purposes of United States Federal and state securities laws (provided, however, that to the extent such materials constitute Information, they shall be treated as set forth in Section 11.12); (y) all Borrower Materials marked “PUBLIC” are permitted to be made available through a portion of the Platform designated “Public Side Information;” and (z) the Agents and the Mandated Lead Arrangers shall be entitled to treat any Borrower Materials that are not marked “PUBLIC” as being suitable only for posting on a portion of the Platform not designated “Public Side Information”.  Each Public Lender agrees to cause at least one individual at or on behalf of such Public Lender to at all times have selected the “Private Side Information” or similar designation on the content declaration screen of the Platform in order to enable such Public Lender or its delegate, in accordance with such Public Lender’s compliance procedures and applicable law, including United States Federal and state securities Laws, to make reference to Borrower Materials that are not made available through the “Public Side Information” portion of the Platform and that may contain material non-public information with respect to the Designated Company, the other Loan Parties or their respective securities for purposes of United States Federal or state securities laws.
(e)    Reliance by the Administrative Agent, the Collateral Agent and Lenders.  The Administrative Agent, the Collateral Agent and the Lenders shall be entitled to rely and act upon any notices purportedly given by or on behalf of the Designated Company even if (i) such notices were not made in a manner specified herein, were incomplete or were not preceded or followed by any other form of notice specified herein, or (ii) the terms thereof, as understood by the recipient, varied from any confirmation thereof.  The Co-Borrowers shall indemnify the Administrative Agent, the Collateral Agent, each Lender and the Related Parties of each of them from all losses, costs, expenses and liabilities resulting from the reliance by such person on each notice purportedly given by or on behalf of the Designated Company.  All telephonic notices to and other telephonic communications with the Administrative Agent may be recorded by the Administrative Agent, and each of the parties hereto hereby consents to such recording.

    
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Section 11.02    Waivers; Cumulative Remedies; Amendment.
(a)    Waivers; Cumulative Remedies.  No failure or delay by the Administrative Agent, the Collateral Agent or any Lender in exercising any right or power hereunder or under any other Loan Document shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude any other or further exercise thereof or the exercise of any other right or power.  The rights and remedies of each Agent and the Lenders hereunder and under the other Loan Documents are cumulative and are not exclusive of any rights or remedies that they would otherwise have.  No waiver of any provision of any Loan Document or consent to any departure by any Loan Party therefrom shall in any event be effective unless the same shall be permitted by this Section 11.02, and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given.  Without limiting the generality of the foregoing, the making of a Loan shall not be construed as a waiver of any Default, regardless of whether any Agent or any Lender may have had notice or knowledge of such Default at the time.  No notice or demand on any Loan Party in any case shall entitle any Loan Party to any other or further notice or demand in similar or other circumstances.
(b)    Required Consents.  Subject to the terms of the Intercreditor Agreement and to Section 11.02(c) and (d), neither this Agreement nor any other Loan Document nor any provision hereof or thereof may be waived, amended, supplemented or modified except, in the case of this Agreement, pursuant to an agreement or agreements in writing entered into by the Designated Company and the Required Lenders (or by the Administrative Agent with the written consent of the Required Lenders) or, in the case of any other Loan Document, pursuant to an agreement or agreements in writing entered into by the Administrative Agent (or, in the case of any applicable Security Document, the Collateral Agent) and the Loan Party or Loan Parties that are party thereto, in each case with the written consent of the Required Lenders; provided that no such agreement shall be effective if the effect thereof would:
(i)    increase the Commitment of any Lender without the written consent of such Lender (it being understood that no amendment, modification, termination, waiver or consent with respect to any condition precedent, covenant or Default shall constitute an increase in the Commitment of any Lender);
(ii)    reduce the principal amount of any Loan or reduce the rate of interest thereon (other than interest pursuant to Section 2.06(c)), or reduce any Fees payable hereunder, or change the form or currency of payment of any Obligation, without the written consent of each Lender directly affected thereby;
(iii)    (A) change the scheduled final maturity of any Loan, or any scheduled date of payment of or the installment otherwise due on the principal amount of any Loan under Section 2.09, (B) postpone the date for payment of any interest or fees payable hereunder, (C) change the amount of, waive or excuse any such payment (other than waiver of any increase in the interest rate pursuant to Section 2.06(c)), or (D) postpone the scheduled date of expiration of any Commitment without the written consent of each Lender directly affected thereby;

    
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(iv)    increase the maximum duration of Interest Periods hereunder, without the written consent of each Lender directly affected thereby; 
(v)    permit the assignment or delegation by any Co-Borrower of any of its rights or obligations under any Loan Document, without the written consent of each Lender (provided that neither the Permitted Holdings Amalgamation nor the Permitted Reorganization shall constitute an assignment or delegation by the Borrower of its rights or obligations under the Loan Documents);
(vi)    except pursuant to the Intercreditor Agreement, release Holdings or all or substantially all of the Subsidiary Guarantors from their Guarantees (except as expressly provided in this Agreement or as otherwise expressly provided by any such Guarantee), or limit their liability in respect of such Guarantees, without the written consent of each Lender;
(vii)    except pursuant to the Intercreditor Agreement or the express terms hereof, release all or a substantial portion of the Collateral from the Liens of the Security Documents or alter the relative priorities of a material portion of the Secured Obligations entitled to the Liens of the Security Documents, in each case without the written consent of each Lender (it being understood that additional Indebtedness consented to by the Required Lenders and additional Loans pursuant to Section 2.23 or Section 2.24 and Additional Senior Secured Indebtedness or Permitted First Priority Refinancing Debt may be equally and ratably secured by the Collateral with the then existing Secured Obligations under the Security Documents);
(viii)    change Section 2.14(b), (c) or (d) in a manner that would alter the pro rata sharing of payments or setoffs required thereby or any other provision in a manner that would alter the pro rata allocation among the Lenders of Loan disbursements, including the requirements of Section 2.02(a), without the written consent of each Lender directly affected thereby (it being understood that additional Indebtedness consented to by the Required Lenders and additional Loans pursuant to Section 2.23 and Section 2.24 may be equally and ratably secured by the Collateral with the then existing Secured Obligations under the Security Documents and may share payments and setoffs ratably with other Loans);
(ix)    change any provision of this Section 11.02(b), (c), or (d), without the written consent of each Lender directly affected thereby (except for additional restrictions on amendments or waivers for the benefit of Lenders of additional Indebtedness consented to by the Required Lenders and additional Loans pursuant to Section 2.23 and Section 2.24);
(x)    change the percentage set forth in the definition of “Required Lenders” or any other provision of any Loan Document (including 

    
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this Section) specifying the number or percentage of Lenders required to waive, amend or modify any rights thereunder or make any determination or grant any consent thereunder, without the written consent of each Lender, other than to increase such percentage or number or to give any additional Lender or group of Lenders such right to waive, amend or modify or make any such determination or grant any such consent;
(xi)    amend, modify or waive any provision of: (A) Section 2.1 of the Intercreditor Agreement to the extent such amendment, modification or waiver would adversely affect the priority of the Liens on the Collateral held by the Collateral Agent for the benefit of the Secured Parties or (B) Section 6.3 of the Intercreditor Agreement in a manner that adversely affects the priority of payments of Collateral proceeds, in each case without the written consent of each affected Lender; provided that this clause (xi) shall not apply to amending, modifying or waiving any provision of Section 2.1 or 6.3 of the Intercreditor Agreement in order to (1) give effect to any additional Indebtedness, including the designation of any such Indebtedness as Pari Passu Debt (as defined in the Intercreditor Agreement), Subordinated Lien Debt (as defined in the Intercreditor Agreement) or Indebtedness under any Revolving Credit Loan Document and the granting of security interests to the holders of such Pari Passu Debt, Subordinated Lien Debt or Indebtedness under any Revolving Credit Loan Document in the Collateral to secure the obligations under such Pari Passu Debt, Subordinated Lien Debt or Indebtedness under any Revolving Credit Loan Document that is permitted pursuant to Section 6.01 hereof (or would be permitted pursuant to an amendment, modification or waiver of this Agreement that is otherwise permitted by this Section 11.02) or (2) to enable any other Indebtedness to constitute Pari Passu Debt, Subordinated Lien Debt or Indebtedness under any Revolving Credit Loan Document to the extent not prohibited by this Agreement; and
(xii)    change or waive any provision of ARTICLE X as the same applies to any Agent, or any other provision hereof as the same applies to the rights or obligations of any Agent, in each case without the written consent of such Agent; 
(xiii)    from and after the effective date of the first Increase Joinder entered into after the Second Amendment Effective Date, amend, change, modify or waive any provision of this Agreement or any other Loan Document in a manner that adversely affects Lenders of a particular Class, on the one hand, as compared to Lenders of another Class, on the other hand, in each case without the written consent of the Required Lenders of such affected Class (together with the written consent of such additional Lenders of such affected Class otherwise required pursuant to the other terms of this Section 11.02 (as if such provisions applied solely to such affected Class));

    
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provided, further, that
(1)    any waiver, amendment or modification of the Intercreditor Agreement (and any related definitions) may be effected by an agreement or agreements in writing entered into among the Collateral Agent, the Administrative Agent, the Revolving Credit Collateral Agent and the Revolving Credit Administrative Agent (in each case, with the consent of the Required Lenders but without the consent of any Loan Party, so long as such amendment, waiver or modification does not impose any additional duties or obligations on the Loan Parties or alter or impair any right of any Loan Party under the Loan Documents); and
(2)    upon the effectiveness of any Refinancing Amendment or any Incremental Term Loan Commitment or any Incremental Term Loan, the Administrative Agent, the Designated Company and the Lenders providing the relevant Credit Agreement Refinancing Indebtedness or Incremental Term Loan Commitment may amend this Agreement to the extent (but only to the extent) necessary to reflect the existence and terms of the Credit Agreement Refinancing Indebtedness or Incremental Term Loans incurred pursuant thereto (including any amendments necessary to treat the Loans and Commitments subject thereto as Other Term Loans and/or Other Term Loan Commitments and any Incremental Term Loan Commitments or Incremental Term Loans, as applicable).  The Administrative Agent and the Designated Company may effect such amendments to this Agreement and the other Loan Documents as may be necessary or appropriate, in the reasonable opinion of the Administrative Agent and the Designated Company, to effect the terms of any Refinancing Amendment; 
provided, further, that, notwithstanding anything to the contrary contained herein, each Agent is hereby authorized by each Lender to enter into any amendment to or modification of the Intercreditor Agreement or the Security Documents in connection with the issuance or incurrence of Pari Passu Secured Obligations or Subordinated Lien Secured Obligations (each as defined under the Intercreditor Agreement) or any Permitted Revolving Credit Facility Refinancings, solely to the extent necessary to effect such amendments as may be necessary or appropriate, in the reasonable opinion of such Agent, in connection with any such issuance or incurrence expressly permitted hereunder, so long as such amendment or modification does not adversely affect the rights of any Lender (it being understood that allowing Pari Passu Secured Obligations,  Subordinated Lien Secured Obligations and Permitted Revolving Credit Facility Refinancings to be secured by Collateral on the terms set forth in the Intercreditor Agreement will not be deemed to adversely affect the rights of any Lender);
and provided, further, that any amendment, waiver or consent which by its terms requires the consent of all Lenders or each affected Lender may be effected with the consent of the applicable Lenders other than Defaulting Lenders, except that (x) the Commitment of any Defaulting Lender may not be increased or extended, the principal owed to such Lender reduced or this proviso amended, without the consent of such Lender and (y) any waiver, amendment or modification requiring the consent of all Lenders or each affected Lender that by its terms affects any Defaulting Lender more adversely than other affected Lenders shall require the consent of such Defaulting Lender.
(c)    Collateral.  Without the consent of any other person, the Administrative Agent and/or Collateral Agent may (or shall, to the extent required by any Loan Document) enter into any amendment 

    
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or waiver of any Security Document (subject to the consent of the Loan Parties party thereto except as otherwise provided in such Security Document) or enter into any new agreement or instrument, to (i) effect the granting, perfection, protection, expansion or enhancement of any security interest in any Collateral or additional property to become Collateral for the benefit of the Secured Parties, (ii) as required by local law to give effect to, or protect any security interest for the benefit of the Secured Parties, in any property or so that the security interests therein comply with applicable Requirements of Law, or (iii) to cure any inconsistency with this Agreement (other than, solely in the case of clause (iii), amendments or waivers to provisions in such Security Documents that are required to create or perfect the security interests created thereby or cause such Security Document or security interest to be enforceable).
(d)    Dissenting Lenders.  If, in connection with any proposed change, waiver, consent, discharge or termination of the provisions of this Agreement as contemplated by Section 11.02(b), the consent of the Required Lenders is obtained but the consent of one or more of such other Lenders whose consent is required is not obtained, then the Designated Company shall have the right, upon notice by the Designated Company to such Lender and the Administrative Agent, to replace all, but not less than all, of such non-consenting Lender or Lenders (so long as all non-consenting Lenders are so replaced) with one or more persons pursuant to Section 2.16 so long as at the time of such replacement each such new Lender consents to the proposed change, waiver, consent, discharge or termination.  Each Lender agrees that, if the Designated Company elects to replace such Lender in accordance with this Section, it shall promptly execute and deliver to the Administrative Agent an Assignment and Assumption to evidence such sale and purchase and shall deliver to the Administrative Agent any Note (if Notes have been issued in respect of such Lender’s Loans) subject to such Assignment and Assumption; provided that the failure of any such non-consenting Lender to execute an Assignment and Assumption shall not render such sale and purchase (and the corresponding assignment) invalid and such assignment shall be recorded in the Register.
(e)    Holdings Amalgamation; Permitted Reorganization and Increased Commitments.  Notwithstanding the foregoing, the Administrative Agent, the Collateral Agent and the Designated Company (without the consent of any Lenders) may amend, amend and restate, supplement or otherwise modify this Agreement and the other Loan Documents if necessary or advisable in connection with or to effectuate (i) the Permitted Holdings Amalgamation, (ii) the Permitted Reorganization (to the extent set forth in the definitions of “Permitted Reorganization”) and (iii) any additional Loans contemplated by Section 2.23 and Section 2.24.
(f)    Loan Modification Offers.
(i)    The Designated Company may, by written notice to the Administrative Agent from time to time, make one or more offers (each, a “Loan Modification Offer”) to all the Lenders of one or more Classes of Loans (each Class subject to such a Loan Modification Offer, an “Affected Class”) to make one or more Permitted Amendments (as defined below) pursuant to procedures reasonably specified by the Administrative Agent and reasonably acceptable to the Designated Company.  Such notice shall set forth (i) the terms and conditions of the requested Permitted Amendment and (ii) the date on which such Permitted 

    
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Amendment is requested to become effective (which shall not be less than 10 Business Days nor more than 30 Business Days after the date of such notice) (or such shorter periods as are acceptable to the Administrative Agent).  Permitted Amendments shall become effective only with respect to the Loans of the Lenders of the Affected Class that accept the applicable Loan Modification Offer (such Lenders, the “Accepting Lenders”) and, in the case of any Accepting Lender, only with respect to such Lender’s Loans of such Affected Class as to which such Lender’s acceptance has been made. Each Lender of each Affected Class may elect or decline, in its sole discretion, to participate in such Loan Modification Offer.
(ii)    The Designated Company and each Accepting Lender shall execute and deliver to the Administrative Agent an agreement in form and substance satisfactory to the Administrative Agent giving effect to the Permitted Amendment (a “Loan Modification Agreement”) and such other documentation as the Administrative Agent shall reasonably specify to evidence the acceptance of the Permitted Amendments and the terms and conditions thereof.  The Administrative Agent shall promptly notify each Lender as to the effectiveness of each Loan Modification Agreement.  Each of the parties hereto hereby agrees that, upon the effectiveness of any Loan Modification Agreement, this Agreement shall be deemed amended to the extent (but only to the extent) necessary to reflect the existence and terms of the Permitted Amendment evidenced thereby and only with respect to the Loans and Commitments of the Accepting Lenders of the Affected Class.  Notwithstanding the foregoing, no Permitted Amendment shall become effective under this Section 11.02 unless the Administrative Agent, to the extent so reasonably requested by the Administrative Agent, shall have received corporate documents, officers’ certificates and legal opinions consistent with those delivered on the Closing Date under Section 4.02. 
(iii)    “Permitted Amendments” shall be (A) an extension of the final maturity date of the applicable Loans of the Accepting Lenders (provided that such extensions may not result in having more than two additional final maturity dates in any year, or more than three additional final maturity dates at any time, under this Agreement without the consent of the Administrative Agent), (B) a reduction, elimination or extension, of the scheduled amortization of the applicable Loans of the Accepting Lenders, (C) a change in rate of interest (including a change to the Applicable Margin and any provision establishing a minimum rate), premium, or other amount with respect to the applicable Loans of the Accepting Lenders and/or a change in the payment of fees to the Accepting Lenders (such change and/or payments to be in the form of cash, Equity Interests or other property to the extent not prohibited by this Agreement), and (D) any other amendment to a Loan Document required to give effect to the Permitted Amendments described in clauses (A) to (C) of this Section 11.02(g).

    
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(g)    Most Favored Nation Provision.  The Administrative Agent is authorized to enter into any amendment to this Agreement contemplated under Section 6.10 with the Designated Company, and without the approval of any other Person, notwithstanding anything in this Agreement to the contrary.
Section 11.03    Expenses; Indemnity; Damage Waiver.  
(a)    Costs and Expenses.  The Co-Borrowers shall jointly and severally pay or cause the applicable Loan Party to pay (i) all reasonable out-of-pocket expenses incurred by the Administrative Agent, the Collateral Agent, the Mandated Lead Arrangers, the Incremental Mandated Lead Arrangers, and their respective Affiliates (including the reasonable fees, charges and disbursements of one primary transaction counsel (plus local counsel in each applicable jurisdiction) for the Administrative Agent and/or the Collateral Agent, all fees and time charges for attorneys who may be employees of the Administrative Agent and/or Collateral Agent, expenses incurred in connection with due diligence, inventory appraisal and collateral audit and reporting fees, travel, courier, reproduction, printing and delivery expenses, and the obtaining and maintaining of CUSIP numbers for the Loans) in connection with the syndication of the credit facilities provided for herein, the preparation, negotiation, execution, delivery and administration of this Agreement and the other Loan Documents, in connection with each step of the Permitted Reorganization, the Aleris Acqisition and the Permitted Holdings Amalgamation, and in connection with any amendment, amendment and restatement, modification or waiver of the provisions hereof or of any of the foregoing (whether or not the transactions contemplated hereby or thereby shall be consummated), including in connection with post-closing searches to confirm that security filings and recordations have been properly made, (ii) all out-of-pocket expenses incurred by the Administrative Agent, the Collateral Agent, any Lender or any Receiver (including the fees, charges and disbursements of one primary counsel (plus local or special counsel in each applicable jurisdiction) for the Administrative Agent and/or the Collateral Agent (and all fees and time charges for attorneys who may be employees of the Administrative Agent and/or the Collateral Agent) and one primary counsel (plus local or special counsel in each applicable jurisdiction) for the Lenders, and one primary counsel (plus local or special counsel in each applicable jurisdiction) for any Receiver), in connection with the enforcement or protection of its rights (A) in connection with this Agreement and the other Loan Documents, including its rights under this Section 11.03, (B) in enforcing, preserving and protecting, or attempting to enforce, preserve or protect its interests in the Collateral or (C) in connection with the Loans issued hereunder, including all such out-of-pocket expenses incurred during any workout, restructuring or negotiations in respect of such Loans and (iv) all documentary and similar taxes and charges in respect of the Loan Documents.
(b)    Indemnification.  Each Loan Party shall indemnify each Agent (and any sub-agent thereof), each Mandated Lead Arranger, each Incremental Mandated Lead Arranger, each Lender and Receiver, and each Related Party of any of the foregoing persons (each such person being called an “Indemnitee”) against, and hold each Indemnitee harmless from, any and all reasonable out-of-pocket losses, claims, damages, liabilities and related expenses (including the reasonable fees, charges and disbursements of any counsel for any Indemnitee) incurred by any Indemnitee or asserted against any Indemnitee by any third party or by the Designated Company or any other Loan Party arising out of, in connection with, or as a result of (i) the execution or delivery of this Agreement, any other Loan Document, or any amendment, amendment and restatement, modification or waiver of the provisions 

    
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hereof or thereof, or any agreement or instrument contemplated hereby or thereby, the performance by the parties hereto of their respective obligations hereunder or thereunder or the consummation of the transactions contemplated hereby or thereby (including in connection with each step of the Permitted Reorganization, the Aleris Acquisition and any Permitted Holdings Amalgamation), (ii) any Loan or the use or proposed use of the proceeds therefrom, (iii) any actual or alleged presence or Release or threatened Release of Hazardous Materials on, at, under or from any property owned, leased or operated by any Company at any time, or any Environmental Claim related in any way to any Company, or (iv) any actual or prospective claim, litigation, investigation or proceeding relating to any of the foregoing, whether based on contract, tort or any other theory, whether brought by a third party or by the Designated Company or any other Loan Party, and regardless of whether any Indemnitee is a party thereto; provided that such indemnity shall not, as to any Indemnitee, be available to the extent that such losses, claims, damages, liabilities or related expenses (x) are determined by a court of competent jurisdiction by final and nonappealable judgment to have resulted from the gross negligence or willful misconduct of such Indemnitee or (y) result from a claim brought by the Designated Company or any other Loan Party against an Indemnitee for breach in bad faith of such Indemnitee’s obligations hereunder or under any other Loan Document, if the Designated Company or such Loan Party has obtained a final and nonappealable judgment in its favor on such claim as determined by a court of competent jurisdiction.  WITHOUT LIMITATION OF THE FOREGOING, IT IS THE INTENTION OF THE LOAN PARTIES, AND THE LOAN PARTIES AGREE, THAT THE FOREGOING INDEMNITIES SHALL APPLY TO EACH INDEMNITEE WITH RESPECT TO LOSSES, CLAIMS, DAMAGES, PENALTIES, LIABILITIES AND RELATED EXPENSES (INCLUDING, WITHOUT LIMITATION, ALL EXPENSES OF LITIGATION OR PREPARATION THEREFOR), WHICH IN WHOLE OR IN PART ARE CAUSED BY OR ARISE OUT OF THE COMPARATIVE, CONTRIBUTORY OR SOLE NEGLIGENCE OF SUCH (AND/OR ANY OTHER) INDEMNITEE.
(c)    Reimbursement by Lenders.  To the extent that any Loan Party for any reason fails to indefeasibly pay any amount required under paragraph (a) or (b) of this Section 11.03 to be paid by it to the Administrative Agent (or any sub-agent thereof), the Collateral Agent (or any sub-agent thereof) or any Receiver or any Related Party thereof, each Lender severally agrees to pay to the Administrative Agent (or any such sub-agent), the Collateral Agent (or any such sub-agent) such Receiver or such Related Party, as the case may be, such Lender’s pro rata share (determined as of the time that the applicable unreimbursed expense or indemnity payment is sought) of such unpaid amount; provided that the unreimbursed expense or indemnified loss, claim, damage, liability or related expense, as the case may be, was incurred by or asserted against the Administrative Agent (or any such sub-agent), the Collateral Agent (or any such sub-agent) or the Receiver, in each case, in its capacity as such, or against any Related Party of any of the foregoing acting for the Administrative Agent (or any such sub-agent), the Collateral Agent (or any such sub-agent)or the Receiver in connection with such capacity.  The obligations of the Lenders under this paragraph (c) are subject to the provisions of Section 2.14(g).  For purposes hereof, a Lender’s “pro rata share” shall be determined based upon its share of the sum of the total outstanding Term Loans and unused Commitments of all Lenders at the time (or if the Term Loans have been repaid in full and the Commitments have been terminated, based upon its share of the Term Loans immediately prior to such repayment). 
(d)    Waiver of Consequential Damages, Etc.  To the fullest extent permitted by applicable Requirements of Law, no Loan Party shall assert, and each Loan Party hereby waives, any claim against 

    
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any Indemnitee, on any theory of liability, for special, indirect, consequential or punitive damages (as opposed to direct or actual damages) arising out of, in connection with, or as a result of, this Agreement, any other Loan Document or any agreement or instrument contemplated hereby, the transactions contemplated hereby or thereby, any Loan or the use of the proceeds thereof.  No Indemnitee referred to in paragraph (b) above shall be liable for any damages arising from the use by unintended recipients of any information or other materials distributed by it through telecommunications, electronic or other information transmission systems in connection with this Agreement or the other Loan Documents or the transactions contemplated hereby or thereby.
(e)    Payments.  All amounts due under this Section shall be payable not later than three (3) Business Days after demand therefore accompanied by reasonable particulars of amounts due.
(f)    Survival.  The agreements in this Section shall survive the resignation of either or both of the Administrative Agent or the Collateral Agent, the replacement of any Lender, the termination of the Commitments and the repayment, satisfaction or discharge of all the  Obligations
Section 11.04    Successors and Assigns.
(a)    Successors and Assigns Generally.  The provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns permitted hereby, except that neither the Designated Company nor any other Loan Party may (except as a result of a transaction expressly permitted by Section 6.05(c) or 6.05(e)) assign or otherwise transfer any of its rights or obligations hereunder without the prior written consent of the Administrative Agent, the Collateral Agent and each Lender and no Lender may assign or otherwise transfer any of its rights or obligations hereunder except (i) to an Eligible Assignee in accordance with the provisions of paragraph (b) of this Section 11.04, (ii) by way of participation in accordance with the provisions of paragraph (d) of this Section 11.04 or (iii) by way of pledge or assignment of a security interest subject to the restrictions of paragraph (f) of this Section (and any other attempted assignment or transfer by the Designated Company, any other Loan Party or any Lender shall be null and void).  Nothing in this Agreement, expressed or implied, shall be construed to confer upon any person (other than the parties hereto, their respective successors and assigns permitted hereby, Participants to the extent provided in paragraph (d) of this Section and, to the extent expressly contemplated hereby, the other Indemnitees) any legal or equitable right, remedy or claim under or by reason of this Agreement.
(b)    Assignments by Lenders.  Any Lender may at any time assign to one or more Eligible Assignees all or a portion of its rights and obligations under this Agreement (including all or a portion of its Commitment and the Loans at the time owing to it); provided that
(i)    except in the case of any assignment made on or prior to the Syndication Termination Date in respect of any Class or an assignment of the entire remaining amount of the assigning Lender’s Commitment and the Loans of such Class at the time owing to it or in the case of an assignment to a Lender or an Affiliate of a Lender or an Approved Fund with respect to a Lender, the aggregate amount of the Commitment (which for this purpose includes Loans outstanding thereunder) of such Class or, if the applicable Commitment is not then in effect, the principal outstanding balance of the Loans of such Class of the 

    
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assigning Lender subject to each such assignment (determined as of the date the Assignment and Assumption with respect to such assignment is delivered to the Administrative Agent or, if “Trade Date” is specified in the Assignment and Assumption, as of the Trade Date) shall be an integral multiple of $1,000,000, unless, so long as no Event of Default has occurred and is continuing, the Designated Company otherwise consents (each such consent not to be unreasonably withheld or delayed) and, with respect to any Co-Borrower, such consent shall be deemed given if no objection is made by the Designated Company within five Business Days after notice of the proposed assignment; provided, however, that concurrent assignments to members of an Assignee Group and concurrent assignments from members of an Assignee Group to a single Eligible Assignee (or to an Eligible Assignee and members of its Assignee Group) will be treated as a single assignment for purposes of determining whether such minimum amount has been met;
(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 Loan or the Commitment assigned;
(iii)    the parties to each assignment shall execute and deliver to the Administrative Agent an Assignment and Assumption, together with (except (x) in the case of any such assignments by the Incremental Mandated Lead Arrangers or their respective Affiliates and (y) on or prior to the Syndication Termination Date under clause (ii) of such definition) a processing and recordation fee of $3,500 (provided that only one such fee shall be imposed in the case of simultaneous assignments by related Approved Funds or Affiliates of the assigning Lender), and the Eligible Assignee, if it shall not be a Lender, shall deliver to the Administrative Agent an Administrative Questionnaire;
(iv)    the assigning Lender of an interest in the Aleris Incremental Term Loans shall indicate in the applicable Assignment and Assumption whether such interest (or identified portion thereof) is eligible for indemnification in respect of Covered Aleris Syndication Taxes;
(ivv)    the Administrative Agent shall have received a U.S. tax withholding certificate (or, alternatively, other evidence satisfactory to the Administrative Agent) confirming FATCA compliance of the Eligible Assignee pursuant to paragraph (v) of Section 2.15(f) (FATCA Information). For the avoidance of doubt, and pursuant to paragraph (viii) of Section 2.15(f) (FATCA Information), the Administrative Agent may rely on such U.S. tax withholding certificate or other evidence from each Lender without further verification, and the Administrative Agent shall not be liable for any action taken by it in respect of such U.S. tax withholding certificate or other evidence under or in connection with paragraph (v), (vi) or (vii) of Section 2.15(f) (FATCA Information); and

    
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(vvi)    Discounted Purchases.  Each Lender acknowledges that, commencing with the date that is three months after the Syndication Termination Date, each Co-Borrower is an Eligible Assignee hereunder and may purchase Term Loans hereunder from Lenders from time to time pursuant to a Discounted Purchase in accordance with the terms of this Agreement (including, without limitation, Section 11.04 hereof), subject to the restrictions set forth in the definitions of “Discounted Purchase” and “Eligible Assignee” and the following limitations:
(A)    each Co-Borrower agrees that, notwithstanding anything herein or in any of the other Loan Documents to the contrary, (1) under no circumstances, whether or not any Loan Party is subject to a bankruptcy or other insolvency proceeding, shall any Co-Borrower be permitted to exercise any voting rights or other privileges with respect to any Term Loans and any Term Loans that are assigned to any Co-Borrower shall have no voting rights or other privileges under this Agreement and the other Loan Documents and shall not be taken into account in determining any required vote or consent and (2) the Co-Borrowers shall not receive information provided solely to Lenders by the Administrative Agent or any Lender and shall not be permitted to attend or participate in meetings attended solely by Lenders and the Administrative Agent and their advisors; rather, all Loans held by each Co-Borrower shall be automatically cancelled immediately upon the purchase or acquisition thereof in accordance with the terms of this Agreement (including, without limitation, Section 11.04 hereof);
(B)    at the time any Co-Borrower is making Discounted Purchases of Loans it shall enter into an agreement with the Administrative Agent for the benefit of the Administrative Agent and Lenders setting forth the agreements, representations and warranties set forth in this paragraph (ivvi) that are applicable to it, in a manner reasonably satisfactory to the Administrative Agent and in any case identifying such Co-Borrower as the purchaser; 
(C)    immediately upon the effectiveness of each Discounted Purchase, a Cancellation (it being understood that such cancellation shall not constitute a voluntary repayment of Loans for purposes of this Agreement) shall be automatically irrevocably effected with respect to all of the Loans and related Obligations subject to such Discounted Purchase for no consideration, with the effect that such Loans and related Obligations shall for all purposes of this Agreement and the other Loan Documents no longer be outstanding, and the Co-Borrowers and the Guarantors shall no longer have any Obligations relating thereto, it being understood that such forgiveness and cancellation shall result in the Co-Borrowers and the Guarantors being irrevocably and unconditionally released from all claims and liabilities relating to such Obligations which have been so cancelled and forgiven, and the Collateral shall cease to secure any such Obligations which have been so cancelled and forgiven; and
(D)    at the time of such Purchase Notice and Discounted Purchase, (x) no Default or Event of Default shall have occurred and be continuing or would result therefrom, and (y) no proceeds of Revolving Credit Loans are used to consummate the Discounted Purchase.

    
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Subject to acceptance and recording thereof by the Administrative Agent pursuant to paragraph (c) of this Section 11.04, from and after the effective date specified in each Assignment and Assumption, the Eligible Assignee thereunder shall be a party to this Agreement and, to the extent of the interest assigned by such Assignment and Assumption, have the rights and obligations of a Lender under this Agreement, and the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment and Assumption, be released from its obligations under this Agreement (and, in the case of an Assignment and Assumption covering all of the assigning Lender’s rights and obligations under this Agreement, such Lender shall cease to be a party hereto) but shall continue to be entitled to the benefits of Section 2.12, Section 2.13, Section 2.15, Section 2.16, Section 7.10 and Section 11.03 with respect to facts and circumstances occurring prior to the effective date of such assignment.  Any assignment or transfer by a Lender of rights or obligations under this Agreement that does not comply with this paragraph shall be treated for purposes of this Agreement as a sale by such Lender of a participation in such rights and obligations in accordance with paragraph (d) of this Section 11.04.  In the event of a transfer by novation of all or part of its rights and obligations under this Agreement by a Lender, such Lender expressly reserves the rights, powers, privileges and actions that it enjoys under any Security Documents governed by French law in favor of its Eligible Assignee, in accordance with the provisions of article 1334 et seq. of the French Code civil.  
(c)    Register.  The Administrative Agent, acting solely for this purpose as an agent of the Co-Borrowers (and such agency being solely for tax purposes), shall, at all times at the Administrative Agent’s Office, while any Loans are outstanding, maintain a copy of each Assignment and Assumption delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Commitments of, and principal amounts of the Loans owing to, each Lender pursuant to the terms hereof from time to time (the “Register”).  The entries in the Register shall be conclusive, and the Co-Borrowers, the Administrative Agent and the Lenders shall treat each person whose name is recorded in the Register pursuant to the terms hereof as a Lender hereunder for all purposes of this Agreement, notwithstanding notice to the contrary.  In addition, the Administrative Agent shall maintain in the Register information regarding the designation, and revocation of designation, of any Lender as a Defaulting Lender.  The Register shall be available for inspection by the Collateral Agent, the Co-Borrowers and any Lender (with respect to its own interest only), at any reasonable time and from time to time upon reasonable prior notice. During any period that the Borrower is required to deliver a certificate pursuant to Section 2.15(l)(v), the Administrative Agent shall, if requested by any Co-Borrower, promptly provide the Borrower with copies of each Assignment and Assumption delivered to the Administrative Agent.  The requirements of this Section 11.04(c) are intended to result in any and all Loans being in “registered form” for purposes of Section 871, Section 881 and any other applicable provision of the Code, and shall be interpreted and applied in a manner consistent therewith.  Each Lender that sells a participation shall, acting solely for this purpose as a non-fiduciary agent of each Co-Borrower, maintain a register on which it enters the name and address of each Participant and the principal amounts (and stated interest) of each Participant’s interest in the Commitments and Loans or other obligations under the Loan Documents (the “Participant Register”); provided that no Lender shall have any obligation to disclose all or any portion of the Participant Register (including the identity of any Participant or any information relating to a Participant’s interest in any commitments, loans, or its other obligations under any Loan Document) to any Person except to the extent that such disclosure is necessary to establish that such commitment, loan, or other obligation is in registered form under Section 5f.103-1(c) of the United States Treasury Regulations.  The entries in the Participant Register 

    
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shall be conclusive absent manifest error, and such Lender shall treat each Person whose name is recorded in the Participant Register as the owner of such participation for all purposes of this Agreement notwithstanding any notice to the contrary.  For the avoidance of doubt, the Administrative Agent (in its capacity as Administrative Agent) shall have no responsibility for maintaining a Participant Register.
(d)    Participations.  Any Lender may at any time, without the consent of, or notice to, any Co-Borrower or the Administrative Agent sell participations to any person (other than a natural person, a Defaulting Lender or a Co-Borrower, any Co-Borrowers’ or any other Company’s Affiliates or Subsidiaries) (each, a “Participant”) in all or a portion of such Lender’s rights and/or obligations under this Agreement (including all or a portion of its Commitment and/or the Loans owing to it); provided that (i) such Lender’s obligations under this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations and (iii) each Loan Party, the Administrative Agent and the Lenders shall continue to deal solely and directly with such Lender in connection with such Lender’s rights and obligations under this Agreement.
Any agreement or instrument pursuant to which a Lender sells such a participation shall provide that such Lender shall retain the sole right to enforce the Loan Documents and to approve any amendment, modification or waiver of any provision of the Loan Documents; provided that such agreement or instrument may provide that such Lender will not, without the consent of the Participant, agree to any amendment, modification or waiver described in clause (i), (ii) or (iii) of the first proviso to Section 11.02(b) that affects such Participant.  Subject to paragraph (e) of this Section, the Co-Borrowers agree that each Participant shall be entitled to the benefits of Section 2.12, Section 2.13, Section 2.15, Section 2.16 and Section 7.10 (subject to the requirements of those Sections) to the same extent as if it were a Lender and had acquired its interest by assignment pursuant to paragraph (b) of this Section; provided, that such Participant shall not be entitled to receive any greater payment under Section 2.12, Section 2.15, or Section 7.10 with respect to any participation, than its participating Lender would have been entitled to receive, except to the extent such entitlement to receive a greater payment results from a Change in Law that occurs after the Participant acquired the applicable participation.  To the extent permitted by law, each Participant also shall be entitled to the benefits of Section 11.08 as though it were a Lender, provided such Participant agrees to be subject to such Section 2.14 as though it were a Lender.
(e)    Limitations on Participant Rights.  A Participant shall not be entitled to receive any greater payment under Section 2.12, Section 2.13, Section 2.15, Section 2.16 and Section 7.10 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 Designated Company’s prior written consent.
(f)    Certain Pledges.  Any Lender may 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 to any other central bank with jurisdiction over such Lender; provided that no such pledge or assignment shall release such Lender from any of its obligations hereunder or substitute any such pledgee or assignee for such Lender as a party hereto.  
(g)    Disqualified Institutions.

    
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(i)    No assignment or participation shall be made to any Person that was a Disqualified Institution as of the date (the “Trade Date”) on which the assigning Lender entered into a binding agreement to sell and assign all or a portion of its rights and obligations under this Agreement to such Person (unless the Designated Company has consented to such assignment in writing in its sole and absolute discretion, in which case such Person will not be considered a Disqualified Institution for the purpose of such assignment or participation).  For the avoidance of doubt, with respect to any assignee that becomes a Disqualified Institution after the applicable Trade Date (including as a result of the delivery of a notice pursuant to, and/or the expiration of the notice period referred to in, the definition of “Disqualified Institution”), (x) such assignee shall not retroactively be disqualified from becoming a Lender and (y) the execution by the Designated Company of an Assignment and Assumption with respect to such assignee will not by itself result in such assignee no longer being considered a Disqualified Institution. Any assignment or participation in violation of this clause (g)(i) shall not be void, but the other provisions of this clause (g) shall apply.  
(ii)    If any assignment (but not participation) is made to any Disqualified Institution without the Designated Company’s prior written consent in violation of clause (i) above, or any Person (other than a Participant) becomes a Disqualified Institution after the applicable Trade Date, the Designated Company may, at its sole expense and effort, upon notice to the applicable Disqualified Institution and the Administrative Agent, (A) purchase or prepay such Term Loan by paying the lesser of (x) the principal amount thereof and (y) the amount that such Disqualified Institution paid to acquire such Term Loans, in each case plus accrued interest, accrued fees and all other amounts (other than principal amounts) payable to it hereunder (and, in the case of a purchase, effect an immediate Cancellation) and/or (B) require such Disqualified Institution to assign, without recourse (in accordance with and subject to the restrictions contained in this Section 11.04), all of its interest, rights and obligations under this Agreement to one or more Eligible Assignees at the lesser of (x) the principal amount thereof and (y) the amount that such Disqualified Institution paid to acquire such interests, rights and obligations, in each case plus accrued interest, accrued fees and all other amounts (other than principal amounts) payable to it hereunder.
(iii)    Notwithstanding anything to the contrary contained in this Agreement, if any assignment (but not participation) is made to any Disqualified Institution without the Designated Company’s prior written consent in violation of clause (i) above, then such Disqualified Institution  (A) will not (x) have the right to receive information, reports or other materials provided to Lenders by the Loan Parties, the Administrative Agent or any other Lender, (y) attend or participate in meetings attended by the Lenders and the Administrative Agent, or (z) access any electronic site established for the Lenders or confidential 

    
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communications from counsel to or financial advisors of the Administrative Agent or the Lenders and (B) (x) for purposes of any consent to any amendment, waiver or modification of, or any action under, and for the purpose of any direction to the Administrative Agent or any Lender to undertake any action (or refrain from taking any action) under this Agreement or any other Loan Document, such Disqualified Institution will be deemed to have consented in the same proportion as the Lenders that are not Disqualified Institutions consented to such matter, and (y) for purposes of voting on any plan of reorganization or plan of liquidation pursuant to any Debtor Relief Laws (“Reorganization Plan”), such Disqualified Institution party hereto hereby agrees (1) not to vote on such Reorganization Plan, (2) if such Disqualified Institution does vote on such Reorganization Plan notwithstanding the restriction in the foregoing clause (1), such vote will be deemed not to be in good faith and shall be “designated” pursuant to Section 1126(e) of the Bankruptcy Code of the United States (or any similar provision in any other Debtor Relief Laws), and such vote shall not be counted in determining whether the applicable class has accepted or rejected such Reorganization Plan in accordance with Section 1126(c) of the Bankruptcy Code of the United States (or any similar provision in any other Debtor Relief Laws) and (3) not to contest any request by any party for a determination by the bankruptcy court (or other applicable court of competent jurisdiction) effectuating the foregoing clause (2).
(iv)    The Administrative Agent shall have the right, and the Designated Company hereby expressly authorizes the Administrative Agent, to (A) post the list of Disqualified Institutions provided by the Designated Company and any updates thereto from time to time (collectively, the “DQ List”) on the Platform, including that portion  of the Platform that is designated for “public side” Lenders and/or (B) provide the DQ List to each Lender requesting the same. 
(h)    Preservation of Belgian Security Interests. The benefit of the Belgian Security Agreements and all security interests created thereunder shall automatically transfer to any assignee or transferee (by way of novation or otherwise) of part or all of the obligations expressed to be secured by the Belgian Security Agreements. For the purpose of Article 1278 and Article 1281 of the Belgian Civil Code (and, to the extent applicable, any similar provisions of foreign law), the Collateral Agent, the other Secured Parties and each of the other Loan Parties hereby expressly reserve the preservation of the Belgian Security Agreements and all security interests created thereunder in case of assignment, novation, amendment or any other transfer or change of the obligations expressed to be secured by the Belgian Security Agreements (including, without limitation, an extension of the term or an increase of the amount of such obligations or the granting of additional credit) or of any change of any of the parties to this Agreement or any other Loan Document. As of the Second Amendment Effective Date, each Lender party to the Second Amendment, which Lenders constitute the Required Lenders, and each Lender that becomes a party to this Agreement after the Second Amendment Effective Date, expressly consents to the terms of this Section 11.04(h), and hereby agrees that the form Assignment and Assumption may be updated to include the terms of this Section 11.04(h) without the further consent of any other Person..

    
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Section 11.05    Survival of Agreement.  All covenants, agreements, representations and warranties made by the Loan Parties in the Loan Documents and in the certificates or other instruments delivered in connection with or pursuant to this Agreement or any other Loan Document shall be considered to have been relied upon by the other parties hereto and shall survive the execution and delivery of the Loan Documents and the making of any Loans, regardless of any investigation made by any such other party or on its behalf and notwithstanding that the Agents or any Lender may have had notice or knowledge of any Default or incorrect representation or warranty at the time any credit is extended hereunder, and shall continue in full force and effect as long as the principal of or any accrued interest on any Loan or any fee or any other amount payable under this Agreement is outstanding and unpaid or any Commitments have not expired or terminated. The provisions of Section 2.12, Section 2.13, Section 2.14, Section 2.15, Section 2.16, Section 7.10, ARTICLE X and Section 11.03 shall survive and remain in full force and effect regardless of the consummation of the transactions contemplated hereby, the repayment of the Loans, the expiration or termination of the Commitments or the termination of this Agreement or any provision hereof.
Section 11.06    Counterparts; Integration; Effectiveness.  This Agreement may be executed in counterparts (and by different parties hereto in different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract.  This Agreement and the other Loan Documents and any separate letter agreements with respect to fees payable to any Agent or the Mandated Lead Arrangers constitute the entire contract among the parties relating to the subject matter hereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof.  Except as provided in Section 4.01, this Agreement shall become effective when it shall have been executed by the Administrative Agent and when the Administrative Agent shall have received counterparts hereof that, when taken together, bear the signatures of each of the other parties hereto.  Delivery of an executed counterpart of a signature page of this Agreement by telecopier shall be effective as delivery of a manually executed counterpart of this Agreement.  THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.
Section 11.07    Severability.  Any provision of this Agreement held to be invalid, illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof; and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction.
Section 11.08    Right of Setoff.  Subject to the Intercreditor Agreement, if an Event of Default shall have occurred and be continuing, each Lender and each of their respective Affiliates is hereby authorized at any time and from time to time, to the fullest extent permitted by applicable Requirements of Law, to set off and apply any and all deposits (general or special, time or demand, provisional or final, in whatever currency) at any time held and other obligations (in whatever currency) at any time owing by such Lender or any such Affiliate to or for the credit or the account of the Designated Company or any other Loan Party against any and all of the obligations of the Designated Company or such Loan Party now or hereafter existing under this Agreement or any other Loan Document to such Lender, irrespective of whether or not such Lender shall have made any demand under this Agreement or any other Loan Document and although such obligations of the Designated Company or such Loan Party 

    
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may be contingent or unmatured or are owed to a branch or office of such Lender different from the branch or office holding such deposit or obligated on such indebtedness.  The rights of each Lender and their respective Affiliates under this Section are in addition to other rights and remedies (including other rights of setoff) that such Lender or its respective Affiliates may have.  Each Lender agrees to notify the Designated Company and the Administrative Agent promptly after any such setoff and application; provided that the failure to give such notice shall not affect the validity of such setoff and application.
SECTION 11.09    GOVERNING LAW; JURISDICTION; CONSENT TO SERVICE OF PROCESS.
(a)    GOVERNING LAW.  THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICTS OF LAW PRINCIPLES THAT WOULD REQUIRE THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION.
(b)    SUBMISSION TO JURISDICTION.  EACH LOAN PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY SUBMITS, FOR ITSELF AND ITS PROPERTY, TO THE NONEXCLUSIVE JURISDICTION OF THE SUPREME COURT OF THE STATE OF NEW YORK SITTING IN NEW YORK COUNTY AND OF THE UNITED STATES DISTRICT COURT OF THE SOUTHERN DISTRICT OF NEW YORK, AND ANY APPELLATE COURT FROM ANY THEREOF, IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO ANY LOAN DOCUMENT, OR FOR RECOGNITION OR ENFORCEMENT OF ANY JUDGMENT, AND EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL CLAIMS IN RESPECT OF ANY SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED IN SUCH NEW YORK STATE COURT OR, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, IN SUCH FEDERAL COURT.  EACH OF THE PARTIES HERETO AGREES THAT A FINAL JUDGMENT IN ANY SUCH ACTION OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW.  NOTHING IN THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT SHALL AFFECT ANY RIGHT THAT ANY AGENT OR ANY LENDER MAY OTHERWISE HAVE TO BRING ANY ACTION OR PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT AGAINST ANY LOAN PARTY OR ITS PROPERTIES IN THE COURTS OF ANY JURISDICTION.
(C)    WAIVER OF VENUE.  EACH LOAN PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE REQUIREMENTS OF LAW, ANY OBJECTION WHICH IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY SUIT, ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT IN ANY COURT REFERRED TO IN SECTION 11.09(B).  EACH FRENCH GUARANTOR AND EACH OTHER FRENCH SUBSIDIARY HEREBY WAIVES THE BENEFIT OF THE PROVISIONS OF ARTICLE 14 OF THE FRENCH CODE CIVIL.  EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE REQUIREMENTS OF 

    
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LAW, THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH ACTION OR PROCEEDING IN ANY SUCH COURT.
(D)    SERVICE OF PROCESS.  EACH PARTY HERETO IRREVOCABLY CONSENTS TO SERVICE OF PROCESS IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO ANY LOAN DOCUMENT, IN THE MANNER PROVIDED FOR NOTICES (OTHER THAN TELECOPIER, E-MAIL OR OTHER ELECTRONIC TRANSMISSION) IN SECTION 11.01.  EACH LOAN PARTY HEREBY IRREVOCABLY DESIGNATES, APPOINTS AND EMPOWERS CORPORATION SERVICE COMPANY, 1180 AVE OF THE AMERICAS, SUITE 210, NEW YORK, NEW YORK,  10036 (TELEPHONE NO: 800-927-9801, X52067) (TELECOPY NO: 212-299-5656) (ELECTRONIC MAIL ADDRESS: MWIENER@CSCINFO.COM) (THE “PROCESS AGENT”), IN THE CASE OF ANY SUIT, ACTION OR PROCEEDING BROUGHT IN THE UNITED STATES AS ITS DESIGNEE, APPOINTEE AND AGENT TO RECEIVE, ACCEPT AND ACKNOWLEDGE FOR AND ON ITS BEHALF, AND IN RESPECT OF ITS PROPERTY, SERVICE OF ANY AND ALL LEGAL PROCESS, SUMMONS, NOTICES AND DOCUMENTS THAT MAY BE SERVED IN ANY ACTION OR PROCEEDING ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT OR ANY LOAN DOCUMENT.  NOTHING IN THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT WILL AFFECT THE RIGHT OF ANY PARTY HERETO TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY APPLICABLE REQUIREMENTS OF LAW.
SECTION 11.10    WAIVER OF JURY TRIAL.  EACH LOAN PARTY HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE REQUIREMENTS OF LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).  EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.
Section 11.11    Headings.  Article and Section headings and the Table of Contents used herein are for convenience of reference only, are not part of this Agreement and shall not affect the construction of, or be taken into consideration in interpreting, this Agreement.
Section 11.12    Treatment of Certain Information; Confidentiality.  Each Agent and each Lender agrees to maintain the confidentiality of the Information (as defined below), except that Information may be disclosed (a) to its Affiliates (including its head office, branch or representative offices) and to its and its Affiliates’ respective partners, directors, officers, employees, agents, trustees, advisors and other representatives (it being understood that the persons to whom such disclosure is made will 

    
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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 Requirements of Law, stock exchange requirement, or by any subpoena or similar legal process, (d) to any other party hereto, (e) 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, (f) subject to an agreement containing provisions substantially the same as those of this Section 11.12, to (i) any assignee of or Participant or sub-Participant in, or any prospective Lender, or prospective assignee of or Participant or sub-Participant in, any of its rights or obligations under this Agreement, (ii) any actual or prospective counterparty (or its advisors) to any swap or derivative transaction relating to any Loan Party and its obligations or (iii) any rating agency for the purpose of obtaining a credit rating applicable to any Lender, (g) with the consent of the Designated Company or the applicable Loan Party, (h) to insurers, insurance brokers and other credit protection and service providers of any Agent, Lender, or any of their respective Affiliates who are under a duty of confidentiality to such Agent, Lender or Affiliate, (i) to any Federal Reserve Bank or any other central bank with jurisdiction over such Person in connection with a pledge or assignment in accordance with Section 11.04(f) or (j) to the extent such Information (x) becomes publicly available other than as a result of a breach of this Section or (y) becomes available to the Administrative Agent, any Lender or any of their respective Affiliates on a nonconfidential basis from a source other than the Loan Parties.  For purposes of this Section, “Information” shall mean all written information received from a Loan Party or any of its Subsidiaries relating to the Loan Parties or any of their Subsidiaries or any of their respective businesses, other than any such information that is available to any Agent or any Lender on a nonconfidential basis prior to disclosure by any Loan Party or any of their Subsidiaries, provided that, in the case of information received from any Loan Party or any of their Subsidiaries after the Closing Date, such information is clearly identified at the time of delivery as confidential.  Any person required to maintain the confidentiality of Information as provided in this Section shall be considered to have complied with its obligation to do so if such person has exercised the same degree of care to maintain the confidentiality of such Information as such person would accord to its own confidential information.
Section 11.13    USA PATRIOT Act Notice.  Each Lender that is subject to the Patriot Act (as hereinafter defined) and the Administrative Agent (for itself and not on behalf of any Lender) hereby notifies the Designated Company and the other Loan Parties that pursuant to the requirements of the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the “Patriot Act”), it is required to obtain, verify and record information that identifies the Designated Company and the other Loan Parties, which information includes the name, address and tax identification number of the Designated Company and the other Loan Parties and other information regarding the Designated Company and the other Loan Parties that will allow such Lender or the Administrative Agent, as applicable, to identify the Designated Company and the other Loan Parties in accordance with the Patriot Act.  This notice is given in accordance with the requirements of the Patriot Act and is effective as to the Lenders and the Administrative Agent. Where a Lender has received soft copies of the documents provided pursuant to Section 4.01, the definition of Permitted Reorganization or this Section 11.13, within a reasonable period of time following the written request therefor by such Lender, the Designated Company shall deliver paper copies to such Lender, it being understood that the Lenders have a right to seek paper 

    
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copies of all such documentation as may be required in order to enable compliance with applicable “know your customer” and anti-money laundering rules and regulations.
Section 11.14    Interest Rate Limitation.  Notwithstanding anything to the contrary contained in any Loan Document, the interest paid or agreed to be paid under the Loan Documents shall not exceed the maximum rate of non-usurious interest permitted by applicable law (the “Maximum Rate”).  If the Administrative Agent or any Lender shall receive interest in an amount that exceeds the Maximum Rate, the excess interest shall be applied to the principal of the Loans or, if it exceeds such unpaid principal, refunded to the applicable Co-Borrower.  In determining whether the interest contracted for, charged, or received by the Administrative Agent or a Lender exceeds the Maximum Rate, such person may, to the extent permitted by applicable law, (a) characterize any payment that is not principal as an expense, fee, or premium rather than interest, (b) exclude voluntary prepayments and the effects thereof, and (c) amortize, prorate, allocate, and spread in equal or unequal parts the total amount of interest throughout the contemplated term of the Obligations hereunder.
Section 11.15    Singapore Personal Data Protection Act. If a Loan Party provides a Secured Party with personal data of any individuals (including, where applicable, a Loan Party’s directors, officers, employees, shareholders, beneficial owners, representatives, agents and principals (if acting on behalf of another)), that Loan Party represents and warrants that it:
(a)    has obtained (and shall maintain) the consent from such individual; and
(b)    is authorized to deliver such personal data to that Secured Party for collection, use, disclosure, transfer and retention of personal data for such purposes as set out in that Secured Party’s personal data protection policy or as permitted by applicable laws or regulations.
Section 11.16    Obligations Absolute.  To the fullest extent permitted by applicable Requirements of Law, all obligations of the Loan Parties hereunder shall be absolute and unconditional irrespective of:
(a)    any bankruptcy, insolvency, reorganization, arrangement, readjustment, composition, liquidation or the like of any Loan Party;
(b)    any lack of validity or enforceability of any Loan Document or any other agreement or instrument relating thereto against any Loan Party;
(c)    any change in the time, manner or place of payment of, or in any other term of, all or any of the Obligations, or any other amendment or waiver of or any consent to any departure from any Loan Document or any other agreement or instrument relating thereto;
(d)    any exchange, release or non-perfection of any other Collateral, or any release or amendment or waiver of or consent to any departure from any guarantee, for all or any of the Obligations;
(e)    any exercise or non-exercise, or any waiver of any right, remedy, power or privilege under or in respect hereof or any Loan Document; or
(f)    any other circumstances which might otherwise constitute a defense available to, or a discharge of, the Loan Parties.

    
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Notwithstanding anything herein to the contrary, each party hereby acknowledges that the provisions of article 1195 of the French code civil shall not apply to it with respect to its obligations under the French Security Agreements and that it shall not be entitled to make any claim under article 1195 of the French code civil.
Section 11.17    Intercreditor Agreement.  Notwithstanding anything to the contrary contained herein, each Lender acknowledges that the Lien and security interest granted to the Collateral Agent pursuant to the Security Documents and the exercise of any right or remedy by such Collateral Agent thereunder are subject to the provisions of the Intercreditor Agreement.  In the event of any conflict between the terms of the Intercreditor Agreement, on the one hand, and the Security Documents, on the other hand, the terms of the Intercreditor Agreement shall govern and control.
Section 11.18    Judgment Currency.
(a)    Each Loan Party’s obligations hereunder and under the other Loan Documents to make payments in Dollars (the “Obligation Currency”) shall not be discharged or satisfied by any tender or recovery pursuant to any judgment expressed in or converted into any currency other than the Obligation Currency, except to the extent that such tender or recovery results in the effective receipt by the Administrative Agent or the respective Lender of the full amount of the Obligation Currency expressed to be payable to the Administrative Agent or such Lender under this Agreement or the other Loan Documents.  If, for the purpose of obtaining or enforcing judgment against any Loan Party in any court or in any jurisdiction, it becomes necessary to convert into or from any currency other than the Obligation Currency (such other currency being hereinafter referred to as the “Judgment Currency”) an amount due in the Obligation Currency, the conversion shall be made at the spot selling rate at which the Administrative Agent (or if the Administrative Agent does not quote a rate of exchange on such currency, by a known dealer in such currency designated by the Administrative Agent) offers to sell such Judgment Currency for the Obligation Currency in the London foreign exchange market at approximately 11:00 a.m. London time on such date for delivery two (2) Business Days later (such date of determination of such spot selling rate, being hereinafter referred to as the “Judgment Currency Conversion Date”).
(b)    If there is a change in the rate of exchange prevailing between the Judgment Currency Conversion Date and the date of actual payment of the amount due, the Co-Borrowers covenant and agrees to pay, or cause to be paid, such additional amounts, if any (but in any event not a lesser amount) as may be necessary to ensure that the amount paid in the Judgment Currency, when converted at the rate of exchange prevailing on the date of payment, will produce the amount of the Obligation Currency which could have been purchased with the amount of Judgment Currency stipulated in the judgment or judicial award at the rate of exchange prevailing on the Judgment Currency Conversion Date.
(c)    For purposes of determining any rate of exchange for this Section 11.18, such amounts shall include any premium and costs payable in connection with the purchase of the Obligation Currency.
Section 11.19    Enforcement.  Notwithstanding anything to the contrary contained herein or in any other Loan Document, the authority to enforce rights and remedies hereunder and under the other Loan Documents against the Loan Parties or any of them shall be vested exclusively in, and all actions and 

    
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proceedings at law in connection with such enforcement shall be instituted and maintained exclusively by, any of the Administrative Agent and the Collateral Agent, as the relevant Loan Document may provide,  in accordance with the terms of the Loan Documents; provided, however, that the foregoing shall not prohibit (a) the Administrative Agent or the Collateral Agent from exercising on its own behalf the rights and remedies that inure to its benefit (solely in its capacity as Administrative Agent and the Collateral Agent, as the case may be) hereunder and under the other Loan Documents, (b) any Lender from exercising setoff rights in accordance with the terms hereof (subject to Section 2.14), (c) any Lender from filing proofs of claim or appearing and filing pleadings on its own behalf during the pendency of a proceeding relative to any Loan Party under any bankruptcy, insolvency or Debtor Relief Law or (d) any Person authorized under the Intercreditor Agreement to exercise rights and remedies with respect to the Collateral; and provided, further, that if at any time there is no person acting as Administrative Agent hereunder and under the other Loan Documents, then (i) the Required Lenders shall have the rights otherwise ascribed to the Administrative Agent regarding the enforcement of rights and remedies under to the Loan Documents and (ii) in addition to the matters set forth in clauses (b), (c) and (d) of the preceding proviso and subject to Section 2.14, any Lender may, with the consent of the Required Lenders, enforce any rights and remedies available to it and as authorized by the Required Lenders.
Section 11.20    No Advisory or Fiduciary Responsibility.  In connection with all aspects of each transaction contemplated hereby (including in connection with any amendment, waiver or other modification hereof or of any other Loan Document), the Designated Company and each other Loan Party acknowledges and agrees that: (i) (A) the arranging and other services regarding this Agreement provided by the Administrative Agent, the Collateral Agent and the Mandated Lead Arrangers are arm’s-length commercial transactions between the Designated Company and each other Loan Party and their respective Affiliates, on the one hand, and the Administrative Agent, the Collateral Agent and the Mandated Lead Arrangers, on the other hand, (B) each of the Designated Company and the other Loan Parties has consulted its own legal, accounting, regulatory and tax advisors to the extent it has deemed appropriate, and (C) the Designated Company and each other Loan Party is capable of evaluating, and understands and accepts, the terms, risks and conditions of the transactions contemplated hereby and by the other Loan Documents; (ii) (A) the Administrative Agent, the Collateral Agent, and the Mandated Lead Arrangers each is and has been acting solely as a principal and, except as expressly agreed in writing by the relevant parties, has not been, is not, and will not be acting as an advisor, agent or fiduciary for the Designated Company, any other Loan Party or any of their respective Affiliates, or any other Person and (B) neither the Administrative Agent, the Collateral Agent nor the Mandated Lead Arrangers has any obligation to the Designated Company, any other Loan Party or any of their respective Affiliates with respect to the transactions contemplated hereby except those obligations expressly set forth herein and in the other Loan Documents; and (iii) the Administrative Agent, the Collateral Agent and the Mandated Lead Arrangers and their respective Affiliates may be engaged in a broad range of transactions that involve interests that differ from those of the Designated Company, the other Loan Parties and their respective Affiliates, and neither the Administrative Agent, the Collateral Agent nor any of the Mandated Lead Arrangers has any obligation to disclose any of such interests to the Designated Company, any other Loan Party or any of their respective Affiliates.  To the fullest extent permitted by law, each of the Designated Company and the other Loan Parties hereby waives and releases any claims that it may have against the Administrative Agent, the Collateral 

    
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Agent and the Mandated Lead Arrangers with respect to any breach or alleged breach of agency or fiduciary duty in connection with any aspect of any transaction contemplated hereby.
Section 11.21    Abstract Acknowledgment of Indebtedness and Joint Creditorship.
(a)    Notwithstanding any other provision of this Agreement, each Loan Party hereby irrevocably and unconditionally agrees and covenants with the Collateral Agent by way of an abstract acknowledgment of indebtedness (abstraktes Schuldversprechen) that it owes to the Collateral Agent as creditor in its own right and not as a representative of the other Secured Parties, sums equal to, and in the currency of, each amount payable by such Loan Party to each of the Secured Parties under each of the Loan Documents relating to any Secured Obligations, as and when that amount falls due for payment under the relevant Secured Debt Agreement or would have fallen due but for any discharge resulting from failure of another Secured Party to take appropriate steps, in insolvency proceedings affecting such Loan Party, to preserve its entitlement to be paid that amount.
(b)    Each Loan Party undertakes to pay to the Collateral Agent upon first written demand the amount payable by such Loan Party to each of the Secured Parties under each of the Secured Debt Agreements as such amount has become due and payable.
(c)    The Collateral Agent has the independent right to demand and receive full or partial payment of the amounts payable by each Loan Party under this Section 11.21, irrespective of any discharge of such Loan Party’s obligation to pay those amounts to the other Secured Parties resulting from failure by them to take appropriate steps, in insolvency proceedings affecting such Loan Party, to preserve their entitlement to be paid those amounts.
(d)    Any amount due and payable by a Loan Party to the Collateral Agent under this Section 11.21 shall be decreased to the extent that the other Secured Parties have received (and are able to retain) payment in full of the corresponding amount under the other provisions of the Secured Debt Agreements and any amount due and payable by a Loan Party to the other Secured Parties under those provisions shall be decreased to the extent that the Collateral Agent has received (and is able to retain) payment in full of the corresponding amount under this Section 11.21; provided that no Loan Party may consider its obligations towards a Secured Party to be so discharged by virtue of any set-off, counterclaim or similar defense that it may invoke vis-à-vis the Collateral Agent.
(e)    The rights of the Secured Parties (other than the Collateral Agent) to receive payment of amounts payable by each Loan Party under the Secured Debt Agreements are several and are separate and independent from, and without prejudice to, the rights of the Collateral Agent to receive payment under this Section 11.21.
(f)    In addition, but without prejudice to the foregoing, the Collateral Agent shall be the joint creditor (together with the relevant Secured Parties) of all obligations of each Loan Party towards each of the Secured Parties under the Secured Debt Agreements.
Section 11.22    Special Appointment of Collateral Agent for German Security and other German Matters.

    
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(a)    (i) Each Secured Party that is or will become party to this Agreement hereby appoints the Collateral Agent as trustee (Treuhaender) and administrator for the purpose of holding on trust (Treuhand), administering, enforcing and releasing the German Security (as defined below) for the Secured Parties, (ii) the Collateral Agent accepts its appointment as a trustee and administrator of the German Security on the terms and subject to the conditions set out in this Agreement and (iii) the Secured Parties, the Collateral Agent and all other parties to this Agreement agree that, in relation to the German Security, no Secured Party shall exercise any independent power to enforce any German Security or take any other action in relation to the enforcement of the German Security, or make or receive any declarations in relation thereto.
(b)    To the extent possible, the Collateral Agent shall hold and administer any German Security which is security assigned, transferred or pledged under German law to it as a trustee for the benefit of the Secured Parties, where “German Security” shall mean the assets which are the subject of a security document which is governed by German law.
(c)    Each Secured Party hereby authorizes and instructs the Collateral Agent (with the right of sub delegation) to enter into any documents evidencing German Security and to make and accept all declarations and take all actions as it considers necessary or useful in connection with any German Security on behalf of the Secured Parties.  The Collateral Agent shall further be entitled to rescind, release, amend and/or execute new and different documents securing the German Security.
(d)    The Secured Parties and the Collateral Agent agree that all rights and claims constituted by the abstract acknowledgment of indebtedness pursuant to this Section 11.22 and all proceeds held by the Collateral Agent pursuant to or in connection with such abstract acknowledgment of indebtedness are held by the Collateral Agent with effect from the date of such abstract acknowledgment of indebtedness in trust for the Secured Parties and will be administered in accordance with the Loan Documents.  The Secured Parties and the Collateral Agent agree further that the respective Loan Party’s obligations under such abstract acknowledgment of indebtedness shall not increase the total amount of the Secured Obligations (as defined in the respective agreement governing German Security) and shall not result in any additional liability of any of the Loan Parties or otherwise prejudice the rights of any of the Loan Parties.  Accordingly, payment of the obligations under such abstract acknowledgment of indebtedness shall, to the same extent, discharge the corresponding Secured Obligations and vice versa.
(e)    Each Secured Party hereby ratifies and approves all acts and declarations previously done by the Collateral Agent on such Secured Party’s behalf (including, for the avoidance of doubt the declarations made by the Collateral Agent as representative without power of attorney (Vertreter ohne Vertretungsmacht) in relation to the creation of any pledge (Pfandrecht) on behalf and for the benefit of any Secured Party as future pledgee or otherwise).
(f)    The representations and warranties in Section 3.22 and the covenants in Section 6.21, in each case, given by any Loan Party resident in Germany (Inländer) within the meaning of Section 2 para. 15 of the German Foreign Trade Act (Auβenwirtschaftsgesetz) (or any Loan Party in relation to a Loan Party so resident in Germany) are made only to the extent that they do not result in a violation of or conflict with Section 7 of the German Foreign Trade and Payments Regulation (Auβenwirtschaftsverordnung).

    
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Section 11.23    Special Appointment of Collateral Agent in Relation to South Korea.
(a)    Notwithstanding any other provision of this Agreement, each Loan Party hereby irrevocably and unconditionally undertakes to pay to the Collateral Agent, as creditor in its own right and not as representative of the other Secured Parties, sums equal to and in the currency of each amount payable by such Loan Party to each of the Secured Parties under each of the Loan Documents as and when that amount falls due for payment under the relevant Loan Document or would have fallen due but for any discharge resulting from failure of another Secured Party to take appropriate steps, in insolvency proceedings affecting that Loan Party, to preserve its entitlement to be paid that amount.
(b)    The Collateral Agent shall have its own independent right to demand payment of the amounts payable by each Loan Party under this Section 11.23, irrespective of any discharge of such Loan Party’s obligation to pay those amounts to the Secured Parties resulting from failure by them to take appropriate steps, in insolvency proceedings affecting that Loan Party, to preserve their entitlement to be paid those amounts.
(c)    Any amount due and payable by a Loan Party to the Collateral Agent under this Section 11.23 shall be decreased to the extent that the other Secured Parties have received (and are able to retain) payment in full of the corresponding amount under the other provisions of the Loan Documents and any amount due and payable by a Loan Party to the other Secured Parties under those provisions shall be decreased to the extent that the Collateral Agent has received (and is able to retain) payment in full of the corresponding amount under this Section 11.23.
(d)    Subject to paragraph (c) above, the rights of the Secured Parties (in each case, other than the Collateral Agent) to receive payment of amounts payable by each Loan Party under the Loan Documents are several and are separate and independent from, and without prejudice to, the rights of the Collateral Agent to receive payment under this Section 11.23.
(e)    The Administrative Agent and the Collateral Agent are authorized to enter into consents to any lock-up or listing agreement required by any applicable rule or regulation in connection with any listing or offering of Equity Interests in NKL and may consent to such Equity Interests being held by a depositary or securities intermediary; provided, that the Collateral Agent’s Liens in the Equity Interests of NKL or its direct parents, 4260848 Canada Inc., 4260856 Canada Inc. and 8018227 Canada Inc., are not impaired. 
Section 11.24    Special Appointment of Collateral Agent in Relation to France.  For
the purpose of any French Security Agreements and all security interests created thereunder:
(a)    Notwithstanding any other provision of this Agreement, each Loan Party hereby irrevocably and unconditionally undertakes insofar as necessary, in advance, to pay to the Collateral Agent, as creditor in its own right and not as representative of the other Secured Parties, sums equal to and in the currency of each amount payable by such Loan Party to each of the Secured Parties under each of the Loan Documents as and when that amount falls due for payment under the relevant Loan Document or would have fallen due but for any discharge resulting from failure of another Secured Party to take appropriate steps to preserve its entitlement to be paid that amount (such payment 

    
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undertakings, obligations and liabilities which are the result thereof, hereinafter referred to as the “Parallel Debt”).
(b)    The Collateral Agent shall have its own independent right to demand payment of the amounts payable by each Loan Party under this Section 11.24, irrespective of any discharge of such Loan Party’s obligation to pay those amounts to the other Secured Parties resulting from failure by them to take appropriate steps to preserve their entitlement to be paid those amounts.
(c)    Any amount due and payable by a Loan Party to the Collateral Agent under this Section 11.24 shall be decreased to the extent that the other Secured Parties have received (and are able to retain) payment in full of the corresponding amount under the other provisions of the Loan Documents and any amount due and payable by a Loan Party to the other Secured Parties under those provisions shall be decreased to the extent that the Collateral Agent has received (and is able to retain) payment in full of the corresponding amount under this Section 11.24.
(d)    The Collateral Agent shall apply any amounts received in payment of any Parallel Debt in accordance with the terms and conditions of this Agreement governing the application of proceeds in payment of any Secured Obligations.
The rights of the Secured Parties (other than any Parallel Debt) to receive payment of amounts payable by each Loan Party under the Loan Documents are several and are separate and independent from, and without prejudice to, the rights of the Collateral Agent to receive payment under this Section 11.24. 
Section 11.25    Swiss Tax Ruling. The Borrower has obtained on prior occasions and shall obtain if and when needed subsequent to the Closing Date, and each other Co-Borrower shall obtain subsequent to the first Increase Effective Date hereunder (but, in each case, within a reasonable timeframe) (a) a ruling from the Wallis cantonal tax authority confirming that the payment of Interests under this Agreement shall not be subject to federal, cantonal, and municipal direct taxes levied at source in Switzerland as per Article 51 § 1 lit. d and Article 94 of the Swiss Federal Direct Tax Act of December 14, 1990 and as per Article 21 § 2 lit. a and Article 35 § lit. e of the Swiss Federal Harmonization Direct Tax Act of December 14, 1990, and (b) a ruling from the Zurich cantonal tax authority confirming that the aforesaid direct taxes levied at source may be solely ruled with the Canton where the Swiss real estate is located.  In the event that the aforementioned confirmation is not granted, the Borrower and such Co-Borrowers further acknowledge that the gross-up mechanism provided for under Section 2.15 shall apply with respect to any such direct taxes levied at source.
Section 11.26    Designation of Collateral Agent under Civil Code of Quebec.  Each of the parties hereto (including each Lender, acting for itself and on behalf of each of its Affiliates which are or become Secured Parties from time to time) confirms that the Collateral Agent (or any successor thereto) is the hypothecary representative (within the meaning of Article 2692 of the Civil Code of Québec) of the Secured Parties from time to time for the purposes of the hypothecary security granted or to be granted by the Loan Parties or any one of them under the laws of the Province of Québec.  The execution by the Collateral Agent in its capacity as fondé de pouvoir or hypothecary representative prior to the Closing Date of any document creating or evidencing any such hypothecs is hereby ratified and confirmed. Notwithstanding the provisions of Section 32 of the Act respecting the special powers of 

    
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legal persons (Québec), the Collateral Agent may acquire and be the holder of any of the bonds secured by any such hypothec. 
Section 11.27    Maximum Liability.  Subject to Section 7.08 and Sections 7.11 through 7.17, it is the desire and intent of (i) each Loan Party and the Lenders, that, in each case, the liability of such Loan Party shall be enforced against such Loan Party to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought after giving effect to the rights of contribution established in the Contribution, Intercompany, Contracting and Offset Agreement that are valid and enforceable and not subordinated to the claims of other creditors as determined in such action or proceeding.  If, however, and to the extent that, the obligations of any Loan Party under any Loan Document shall be adjudicated to be invalid or unenforceable for any reason (including, without limitation, because of any applicable state, provincial or federal law relating to fraudulent conveyances or transfers), then the amount of such Loan Party’s obligations (in the case of any invalidity or unenforceability with respect such Loan Party’s obligations) under the Loan Documents shall be deemed to be reduced and such Loan Party shall pay the maximum amount of the Secured Obligations which would be permissible under applicable law; provided that any guarantees of any such obligations that are subject to deemed reduction pursuant to this Section 11.27 shall, to the fullest extent permitted by applicable Requirements of Law, be absolute and unconditional in respect of the full amount of such obligations without giving effect to any such deemed reduction.
Section 11.28    NO ORAL AGREEMENT.  THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS BETWEEN THE PARTIES.  THERE ARE NO UNWRITTEN AGREEMENTS BETWEEN THE PARTIES. 
Section 11.29    Collateral Matters.  The Lenders irrevocably agree:
(a)  that the Collateral Agent is authorized to release any Lien on any property granted to or held by the Collateral Agent under any Loan Document, (i) at the time the property subject to such Lien is pledged pursuant to Section 6.02(n)(x) or Section 6.02(n)(y) (but solely to the extent such property consists of Revolving Credit Priority Collateral and Hedging Agreements related to the value of such Revolving Credit Priority Collateral) or sold, leased, licensed, consigned, transferred or otherwise disposed of as part of or in connection with any Asset Sale permitted under Section 6.06 to any Person other than a Loan Party (provided that no Lien shall be released in any Series of Cash Neutral Transactions) (or, if such transferee is a Loan Party, the Collateral Agent is authorized to release such Lien on such asset in connection with the transfer so long as (w) except as permitted by Section 6.06(q) or Section 6.06(s), the transferee grants a new Lien to the Collateral Agent on such asset substantially concurrently with the transfer of such asset, (x) the transfer is between parties organized under the laws of different countries, (y) the priority of the new Lien is the same as that of the original Lien and (z) the Liens on such property held by or on behalf of the holders of Indebtedness under the Revolving Credit Loan Documents or any Permitted Revolving Credit Facility Refinancing, Permitted First Priority Refinancing Debt, Permitted Secured Priority Refinancing Debt, Additional Senior Secured Indebtedness and Junior Secured Indebtedness are also released), (ii) subject to Section 11.02, if the release of such Lien is approved, authorized or ratified in writing by the Required Lenders (or 

    
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such other number of Lenders whose consent is required under Section 11.02), (iii) if the property subject to such Lien is owned by a Guarantor, upon release of such Guarantor from its obligations under its Guarantee pursuant to Section 7.09(a), (b) and (c), (iv) upon termination of all Commitments and the repayment in full of all outstanding principal and accrued interest with respect to the Loans, all Fees and other Obligations, (v) in connection with the grant of Liens permitted hereunder under Section 6.02(k) and subject to the Intercreditor Agreement, if the applicable Loan Party grants a Lien to the Collateral Agent or for the benefit of the Collateral Agent in a manner reasonably satisfactory to the Collateral Agent, substantially concurrently with the release of such asset, to the extent such release or termination and re-grant is necessary or advisable under applicable law, and (vi) to the extent such property is Excluded Property.
(b)  to release or subordinate any Lien on any property granted to or held by the Collateral Agent under any Loan Document to the holder of any Lien on such property that is permitted by Section 6.02(i), to the extent required by the terms of the obligations secured by such Liens;
Each Lender irrevocably authorizes the Collateral Agent to, at each Co-Borrower’s expense, execute and deliver documents to authorize the release or subordination of such items of Collateral from the Liens granted under the Security Documents, in each case in accordance with the terms of the Loan Documents and this Section 11.29. 
Section 11.30    Electronic Execution of Assignments and Certain other Documents.  The words “execution,” “execute”, “signed,” “signature,” and words of like import in or related to any document to be signed in connection with this Agreement and the transactions contemplated hereby (including, without limitation, Assignment and Assumptions, amendments or other modifications, waivers and consents) shall be deemed to include electronic signatures or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable Requirements of Law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act; provided that notwithstanding anything contained herein to the contrary, the Administrative Agent is under no obligation to agree to accept electronic signatures in any form or in any format unless expressly agreed to by the Administrative Agent pursuant to procedures approved by it.   
Section 11.31    Payments Set Aside.  To the extent that any payment by or on behalf of any Loan Party is made to any Agent or any Lender, or any Agent or any Lender exercises its right of setoff, and such payment or the proceeds of such setoff or any part thereof is subsequently invalidated, declared to be fraudulent or preferential, set aside or required (including pursuant to any settlement entered into by such Agent or such Lender in its discretion) to be repaid to a trustee, receiver or any other party, in connection with any proceeding under any Debtor Relief Law or otherwise, then (a) to the extent of such recovery, the obligation or part thereof originally intended to be satisfied shall be revived and continued in full force and effect as if such payment had not been made or such setoff had not occurred, and (b) each Lender severally agrees to pay to the Agents upon demand its applicable share (without duplication) of any amount so recovered from or repaid by the Agents, plus interest thereon from the date of such demand to the date such payment is made at a rate per annum equal to the Federal Funds 

    
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Rate from time to time in effect.  The obligations of the Lenders under clause (b) of the preceding sentence shall survive the payment in full of the Obligations and the termination of this Agreement. 
Section 11.32    Acknowledgement and Consent to Bail-In of EEA Financial Institutions. 
Solely to the extent any Lender or any Agent that is an EEA Financial Institution is a party to this Agreement and notwithstanding anything to the contrary in any Loan Document or in any other agreement, arrangement or understanding among any such parties, each party hereto acknowledges that any liability of any Lender or any Agent that is an EEA Financial Institution arising under any Loan Document, to the extent such liability is unsecured, may be subject to the Write-Down and Conversion Powers of an EEA Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by:
(a)    the application of any Write-Down and Conversion Powers by an EEA Resolution Authority to any such liabilities arising hereunder which may be payable to it by any Lender or any Agent that is an EEA Financial Institution; and
(b)    the effects of any Bail-In Action on any such liability, including, if applicable:
(i)    a reduction in full or in part or cancellation of any such liability;
(ii)    a conversion of all, or a portion of, such liability into shares or other instruments of ownership in such EEA Financial Institution, its parent undertaking, or a bridge institution that may be issued to it or otherwise conferred on it, and that such shares or other instruments of ownership will be accepted by it in lieu of any rights with respect to any such liability under this Agreement or any other Loan Document; or
(iii)    the variation of the terms of such liability in connection with the exercise of the Write-Down and Conversion Powers of any EEA Resolution Authority.
Section 11.33    Lender Consents and Acknowledgements. 
(a)    On the Closing Date, the Designated Company hereby represents and warrants to the Secured Parties that the value of the property granted in favor of the Revolving Credit Agent, on behalf of the Revolving Credit Claimholders (as defined in the Intercreditor Agreement) and the “Secured Parties” under and as defined in the Existing Credit Agreement, pursuant to (i) that certain Pledge Agreement Over Account, dated December 17, 2010, by and between Novelis Italia S.p.A., as pledgor, Deutsche Bank S.p.A., as depository bank, and the Revolving Credit Collateral Agent and (ii) that certain Pledge of Receivables (acte de nantissement de créances), dated December 17, 2010, by and among Novelis PAE S.A.S., as pledgor, and the Revolving Collateral Agent as the French Collateral Agent and beneficiary, does not, and would not, if pledged, represent a material portion of the Collateral (such property, the “Specified Immaterial Property”). In reliance upon the foregoing representation, each Secured Party, by becoming a Party or by receiving the benefit of the terms hereof or of the other Loan Documents, hereby agrees that, except as provided in clause (d) of the definition of Excluded Property and Section 5.11, (x) the Specified Immaterial Property shall constitute Excluded Property, (y) the Loan Documents shall not grant Liens over the Specified Immaterial Property, and (z) the Liens 

    
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granted pursuant to the documents described in clauses (i) and (ii) above shall  not secure the Secured Obligations. The Administrative Agent and the Collateral Agent are authorized and are hereby directed by the Lenders to take all actions necessary to acknowledge or otherwise implement the foregoing.
(b)    On the Closing Date, the Designated Company has determined in its reasonable discretion that (i) the restrictions under Korean law applicable to  providing upstream guarantees, including those laws that would potentially subject the directors of NKL to civil and criminal liability for acting to benefit a third party, constitute the equivalent of a prohibition under Requirements of Law of NKL becoming a Subsidiary Guarantor and executing any Security Documents creating and granting a pledge over its property pursuant to Section 5.11(b)(ii) and (ii) the costs associated with causing Novelis Vietnam Company Limited to become a Subsidiary Guarantor and to execute any Security Documents creating and granting a pledge over its property pursuant to Section 5.11(b)(ii), are, in each case, in light of the restrictions on, and cost of, creating and enforcing such guarantees under the applicable Requirements of Law, excessive in relation to the benefits that the Secured Parties would obtain.  In reliance upon the foregoing, each Secured Party, by becoming a Party or by receiving the benefit of the terms hereof or of the other Loan Documents, hereby acknowledges that, as of the Closing Date, NKL and Novelis Vietnam Company Limited shall not be required to become a Subsidiary Guarantor or execute any Security Documents creating or granting a pledge over their respective property in favor of the Collateral Agent; provided that, if at any time after the Closing Date the Administrative Agent, in its reasonable discretion, determines that (x) in the case of NKL, the applicable legal restrictions no longer prohibit NKL from providing such guarantee and pledge and (y) in the case of Novelis Vietnam Company Limited, the costs of Novelis Vietnam Company Limited providing such guarantee and pledge are no longer excessive in relation to the benefits afforded thereby, then following written notice from the Administrative Agent, the Designated Company shall have 30 days (or such longer period as agreed to by the Administrative Agent) to satisfy the terms of Section 5.11(b)(ii) relating to NKL or Novelis Vietnam Company Limited, as applicable; provided, further that the Administrative Agent shall not make such determination (solely with respect to NKL) prior to NKL becoming a Wholly Owned Subsidiary of the Designated Company.
(c)    Novelis do Brasil Ltda. (“NDB”) is a Loan Party and the owner of certain hydropower assets in Guaraciaba, State of Minas Gerais, Brazil (the “Hydropower Assets”).  NDB intends to dispose of the Hydropower Assets and, for that purpose, has formed Brecha Energetica Ltda., a special purpose limited liability company in the City of Guaraciaba, State of Minas Gerais, Brazil (each, a “Brecha Energetica”), and upon receipt of regulatory approvals from Administrative Council for Economic Defense (“CADE”) and National Agency for Energy (“Aneel”) and conclusion of other measures agreed upon contractually, (i) shall transfer the Hydropower Assets to Brecha Energetica (the “Corporate Reorganization”) and (ii) shall sell the quotas in Brecha Energetica (the “Quota Sale”) to a third-party purchaser  (the “Purchaser”) pursuant to a Quota Purchase and Sale Agreement, dated April 3, 2014 (as amended, restated, supplemented, or otherwise modified, the “Purchase Agreement”).  The Designated Company hereby represents and warrants to the Secured Parties that the Corporate Reorganization and the Quota Sale are permitted under this Agreement.
(d)    The Designated Company has determined in its reasonable discretion that the costs associated with causing Brecha Energetica to become a Subsidiary Guarantor and to execute any Security Documents creating and granting a pledge over its property pursuant to Section 5.11(b)(ii) 

    
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are, in light of the binding commitment to effect the Quota Sale pursuant to the terms of the Purchase Agreement, excessive in relation to the benefits that the Secured Parties would obtain.  In reliance upon the foregoing, each Secured Party, by becoming a Party or by receiving the benefit of the terms hereof or of the other Loan Documents, hereby acknowledges that, as of the Closing Date, Brecha Energetica shall not be required to become a Subsidiary Guarantor or execute any Security Documents creating or granting a pledge over its respective property in favor of the Collateral Agent; provided that, if at any time after the Closing Date, the Administrative Agent, in its reasonable discretion, determines that the costs of either such guarantee and pledge are no longer excessive in relation to the benefits afforded thereby, then following written notice from the Administrative Agent, the Designated Company shall have 30 days (or such longer period as agreed to by the Administrative Agent) to satisfy the terms of Section 5.11(b)(ii). The Designated Company shall provide the Administrative Agent with prompt written notice of (i) termination of the Purchase Agreement, (ii) the occurrence of any event which, in the Administrative Agent’s reasonable judgment, would make the Purchaser or NDB, as applicable, unable to satisfy any of the conditions precedent to closing set forth in the Purchase Agreement and (iii) a final and non-appealable refusal of the CADE and Aneel to grant any regulatory consent relating to the Corporate Reorganization or the Quota Sale, in order to assist the Administrative Agent in making the determination described above.
Section 11.34    Termination. All agreements, covenants, representations, warranties, rights, duties and obligations of each Party set forth in this Agreement and each other Loan Document shall terminate in all respects at 5:00 p.m., New York City time on the Agreement Termination Date if the Closing Date has not occurred on or prior to such time. Notwithstanding anything to the contrary contained in this Agreement or in any other Loan Document, the provisions of Section 2.12, Section 2.14, Section 2.15, Section 2.16, Section 7.10, ARTICLE X, Section 11.03, Section 11.09, Section 11.10, Section 11.18, and Section 11.19  shall survive and remain in full force and effect regardless of the consummation of the transactions contemplated hereby, the repayment of the Loans, the expiration or termination of the Commitments or the termination of this Agreement or any provision hereof.
Section 11.35    Lender Authorizations. The Lenders authorize and direct (i) each of the Administrative Agent and the Collateral Agent to execute and deliver any Security Documents,  amendments to Security Documents or amendments and restatements of Security Documents, in each case, related to any amendment to, or amendment and restatement of, the Revolving Credit Agreement; provided, that immediately after giving effect to such documents, amendments and amendments and restatements, the scope of the Collateral pledged is no less than the Collateral pledged immediately prior to giving effect to such documents, amendments and amendments and restatements and (ii) in connection with the NKL Share Repurchase, the Collateral Agent to return any share certificates representing Equity Interests in NKL and sign any documentation required to give effect to the NKL Share Repurchase; provided, that after giving effect to the NKL Share Repurchase, certificates representing 100% of the Equity Interests in NKL held by Loan Parties are promptly delivered to the Collateral Agent or its counsel along with such other documentation required to pledge such Equity Interests to the Collateral Agent.
Section 11.36    Dutch Parallel Debt in Relation to the Dutch Security Agreements. For
the purpose of any Dutch Security Agreements and all security interests created thereunder:

    
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(a)    In this Section 11.36: “Dutch Corresponding Debt” shall mean all Secured Obligations of a Loan Party but excluding its Dutch Parallel Debt:
(b)    Notwithstanding any other provision of this Agreement or any other Loan Document, each Loan Party hereby irrevocably and unconditionally undertakes insofar as necessary, in advance, to pay to the Collateral Agent, as creditor in its own right and not as representative of the other Secured Parties, sums equal to and in the currency of each amount payable by such Loan Party to each of the Secured Parties as Dutch Corresponding Debt and when that amount falls due for payment under the relevant Loan Document or would have fallen due but for any discharge resulting from failure of another Secured Party to take appropriate steps to preserve its entitlement to be paid that amount (such payment undertakings, obligations and liabilities which are the result thereof, hereinafter referred to as the “Dutch Parallel Debt”).
(c)    The Collateral Agent shall have its own independent right to demand payment of the amounts payable by each Loan Party under this Section 11.36, irrespective of any discharge of such Loan Party’s obligation to pay those amounts to the other Secured Parties resulting from failure by them to take appropriate steps to preserve their entitlement to be paid those amounts. For the purpose of this Section 11.36 the Collateral Agent acts in its own name and not as agent, representative or trustee of the Secured Parties and accordingly hold neither its claim resulting from a Dutch Parallel Debt nor any security interests granted by the Security Documents securing a Dutch Parallel Debt on trust.
(d)    Any amount due and payable by a Loan Party to the Collateral Agent under this Section 11.36 shall be increased to the extent the Dutch Corresponding Debt is increase and shall be decreased to the extent that the other Secured Parties have received (and are able to retain) payment in full of the Dutch Corresponding Debt and any part of the Dutch Corresponding Debt payable by a Loan Party shall be decreased to the extent that the Collateral Agent has received (and is able to retain) payment in full of the Dutch Parallel Debt.
(e)    The Collateral Agent shall apply any amounts received in payment of any Dutch Parallel Debt in accordance with the terms and conditions of this Agreement governing the application of proceeds in payment of any Secured Obligations.
The rights of the Secured Parties (other than any Dutch Parallel Debt) to receive payment of the Dutch Corresponding Debt by each Loan Party are several and are separate and independent from, and without prejudice to, the rights of the Collateral Agent to receive payment under this Section 11.36. 
Section 11.37    Special Appointment of Collateral Agent in Relation to Belgium. For the purpose of any Belgian Security Agreements and all security interests created thereunder, each Secured Party:
(a)    appoints the Collateral Agent as its representative in accordance with (a) Article 5 of the Belgian Act of 15 December 2004 on financial collateral arrangements and several tax dispositions in relation to security collateral arrangements and loans of financial instruments; and (b) Article 3 of Book III, Title XVII of the Belgian Civil Code, which appointment is hereby accepted; and

    
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(b)    agrees that the Collateral Agent shall not be severally and jointly liable with the Secured Parties.
Section 11.38    Lender Exculpation. Nothing in this Agreement shall oblige any Lender to do or omit to do anything if it would, or might in its reasonable opinion, constitute a breach of any Requirement of Law or a breach of a fiduciary duty or duty of confidentiality.

    
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Annex II

Exhibit B
Form of Assignment and Assumption
See attached.

    
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EXHIBIT B
    
Form of
ASSIGNMENT AND ASSUMPTION
This Assignment and Assumption (the “Assignment and Assumption”) is dated as of the Effective Date set forth below and is entered into by and between [Insert name of Assignor] (the “Assignor”) and [Insert name of Assignee] (the “Assignee”).  Capitalized terms used but not defined herein shall have the meanings given to them in the Credit Agreement defined below, receipt of a copy of which is hereby acknowledged by the Assignee.  The Standard Terms and Conditions set forth in Annex 1 attached hereto are hereby agreed to and incorporated herein by reference and made a part of this Assignment and Assumption as if set forth herein in full.
For an agreed consideration, the Assignor hereby irrevocably sells and assigns to the Assignee, and the Assignee hereby irrevocably purchases and assumes from the Assignor, subject to and in accordance with the Standard Terms and Conditions and the Credit Agreement, as of the Effective Date inserted by the Administrative Agent as contemplated below, (i) all of the Assignor’s rights and obligations in its capacity as a Lender under the Credit Agreement and any other documents or instruments delivered pursuant thereto to the extent related to the amount and percentage interest identified below of all of such outstanding rights and obligations of the Assignor under the respective facilities identified below and (ii) to the extent permitted to be assigned under applicable law, all claims, suits, causes of action and any other right of the Assignor (in its capacity as a Lender) against any person, whether known or unknown, arising under or in connection with the Credit Agreement, any other documents or instruments delivered pursuant thereto or the loan transactions governed thereby or in any way based on or related to any of the foregoing, including, but not limited to, contract claims, tort claims, malpractice claims, statutory claims and all other claims at law or in equity related to the rights and obligations sold and assigned pursuant to clause (i) above (the rights and obligations sold and assigned pursuant to clauses (i) and (ii) above being referred to herein collectively as, the “Assigned Interest”).  Such sale and assignment is without recourse to the Assignor and, except as expressly provided in this Assignment and Assumption, without representation or warranty by the Assignor.
		
	1.
	Assignor:    ______________________________________________

		
	2.        Assignee:
	______________________________________________ 
[and is a Lender][and is an Affiliate/Approved Fund of [identify Lender][and is [a Co-Borrower]]1 

		
	3.
	Borrower:    Novelis Inc.

		
	4.
	Administrative Agent:    Standard Chartered Bank, as administrative agent under the Credit 

Agreement.

1Select as applicable.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          EXHIBIT B- 1

		
	.
	 Credit Agreement:    The Credit Agreement, dated as of January 10, 2017 (as amended, restated, supplemented, extended, renewed, refunded, replaced, refinanced or otherwise modified from time to time in one or more agreements, the “Credit Agreement”), by and among NOVELIS INC., a corporation amalgamated under the Canada Business Corporations Act, AV METALS INC., a corporation formed under the Canada Business Corporations Act, the Subsidiary Guarantors from time to time party thereto (such term and each other capitalized term used but not defined herein having the meaning given to it in the Credit Agreement), the Lenders from time to time party thereto, Standard Chartered Bank, as Administrative Agent and as Collateral Agent, and the other parties party thereto.

		
	6.
	Assigned Interest:

	
				
	Facility Assigned
	Aggregate Amount of [Aleris Incremental] [Term Loan Commitment] [Term Loans] for all Lenders
	Amount of [Aleris Incremental] [Term Loan Commitment] [Term Loans] Assigned
	Percentage Assigned of [Aleris Incremental] [Term Loan Commitment] [Term Loans]2

	Term Loans

	$
	$
	   %

    

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

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          EXHIBIT B- 2

The following table to be completed (in addition to table above) in the case of an Assignment and Assumption of a Covered Aleris Loan: 3 

	
					
	Amount of Covered Aleris Loan Assigned4
	Percentage of Covered Aleris Loan Assigned
	Allocable share of Aleris Gross-Up Cap5 with respect to Covered Aleris Loan assigned
	Covered Aleris Syndication Taxes for which Assignor is entitled to indemnification with respect to Covered Aleris Loan assigned immediately prior to assignment6
	Covered Aleris Syndication Taxes for which Assignee is entitled to indemnification with respect to Covered Aleris Loan assigned immediately after assignment7

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

7.    Trade Date: ____________ ]38 

		
	 
	3A “Covered Aleris Loan” is an interest in an Aleris Incremental Term Loan acquired by a Lender other than an Incremental Mandated Lead Arranger (or their affiliates) during the Aleris Syndication Period, including upon any subsequent assignment of such interest in the Covered Aleris Loan. 

		
	 
	4In the case of an assignment of Covered Aleris Loans that are comprised of interests with different allocable shares of the Aleris Gross-Up Cap, or for which Assignor is entitled to different amounts of indemnification for Covered Aleris Syndication Taxes in respect of such interests, a separate row must be completed with respect to each such interest. 

		
	 
	5Allocation of Aleris Gross-Up Cap to be determined pursuant to the procedures in Credit Agreement Section 2.15(l) on or after the Aleris Syndication Termination Date, and such allocation with respect to each interest in a Covered Aleris Loan does not change.

		
	 
	6In the case of an original assignment by an Incremental Mandated Lead Arranger of Covered Aleris Loans during the Aleris Syndication Period, this amount will be zero.

		
	 
	7Indemnification for Covered Aleris Syndication Taxes shall not exceed an amount equal to the lesser of (i) the U.S. federal withholding Taxes to which such Assignee is subject, (ii) the allocable share of the Aleris Gross-Up Cap with respect to the Assignee’s interest in a Covered Aleris Loan and (iii) except in the case of a direct assignment from an Incremental Mandated Lead Arranger during the Aleris Syndication Period, the amounts of Covered Aleris Syndication Taxes for which the Assignee’s Assignor was entitled to indemnification with respect to such interest in a Covered Aleris Loan immediately before such assignment (see Credit Agreement Section 2.15(l)).  Incremental Mandated Lead Arrangers and their affiliates are not entitled to indemnification for Covered Aleris Syndication Taxes. 

8To be completed if the Assignor and the Assignee intend that the minimum assignment amount is to be determined as of the Trade Date.

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          EXHIBIT B- 3

Effective Date:  _____________ ___, 20___ [TO BE INSERTED BY ADMINISTRATIVE AGENT AND WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.]9 
The terms set forth in this Assignment and Assumption are hereby agreed to:
ASSIGNOR 
[NAME OF ASSIGNOR]
By:        
Title:    
ASSIGNEE 
[NAME OF ASSIGNEE]
By:        
Title:    

Consented to and Accepted:
[_________, as Designated Company]10 
By:             
    Name: 
    Title:
[_______], 
as Administrative Agent
By:             
    Name:     
    Title:
9    This date may not be fewer than 5 Business days after the date of assignment unless the Administrative Agent otherwise agrees.
10  To be added only if the approval of such person is required by the terms of the Credit Agreement. 

    
967770.02F-CHISR1034077.05-CHISR01A - MSW                          EXHIBIT B- 4

ANNEX 1 to Assignment and Assumption
NOVELIS INC. 
CREDIT AGREEMENT 
 
STANDARD TERMS AND CONDITIONS FOR
ASSIGNMENT AND ASSUMPTION
1.    Representations and Warranties.
1.1    Assignor.  The Assignor (a) represents and warrants that (i) it is the legal and beneficial owner of the Assigned Interest, (ii) the Assigned Interest is free and clear of any lien, encumbrance or other adverse claim and (iii) it has full power and authority, and has taken all action necessary, to execute and deliver this Assignment and Assumption and to consummate the transactions contemplated hereby; and (b) assumes no responsibility with respect to (i) any statements, warranties or representations made in or in connection with the Credit Agreement or any other Loan Document, (ii) the execution, legality, validity, enforceability, genuineness, sufficiency or value of the Loan Documents or any collateral thereunder, (iii) the financial condition of the Loan Parties, any of their Subsidiaries or Affiliates or any other person obligated in respect of any Loan Document or (iv) the performance or observance by the Loan Parties, any of their Subsidiaries or Affiliates or any other person of any of their respective obligations under any Loan Document.
1.2.    Assignee.  The Assignee (a) represents and warrants that (i) it has full power and authority, and has taken all action necessary, to execute and deliver this Assignment and Assumption and to consummate the transactions contemplated hereby and to become a Lender under the Credit Agreement, (ii) it meets all requirements of an Eligible Assignee under the Credit Agreement (subject to receipt of such consents as may be required under the Credit Agreement), (iii) from and after the Effective Date, it shall be bound by the provisions of the Credit Agreement as a Lender thereunder and, to the extent of the Assigned Interest, shall have the obligations of a Lender thereunder, (iv) it is sophisticated with respect to decisions to acquire assets of the type represented by the Assigned Interest and either it, or the Person exercising discretion in making its decision to acquire the Assigned Interest, is experienced in acquiring assets of such type, (v) it has received a copy of the Credit Agreement, together with copies of the most recent financial statements delivered pursuant to Sections 4.01(e) or 5.01 thereof, as applicable, and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Assignment and Assumption and to purchase the Assigned Interest on the basis of which it has made such analysis and decision independently and without reliance on the Administrative Agent or any other Lender, (vi) if it is not already a Lender under the Credit Agreement, attached to the Assignment and Assumption is an Administrative Questionnaire in the form of Exhibit A to the Credit Agreement, (vii) to the extent required by the Credit Agreement, the Administrative Agent has received a processing and recordation fee of $3,500 as of the Effective Date and (viii) attached to the Assignment and Assumption is any documentation required to be delivered by it pursuant to Section 2.15 of the Credit Agreement, duly completed and executed by the Assignee; (b) agrees that (i) it 

1030947.12E-CHISR01A - MSW

will, independently and without reliance on any Agent, the Assignor or any other Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Loan Documents, (ii) it will perform in accordance with their terms all of the obligations that by the terms of the Loan Documents are required to be performed by it as a Lender and (iii) it will make or invest in its Commitments and Loans for its own account in the ordinary course and without a view to distribution of such Commitments and Loans within the meaning of the Securities Act or the Exchange Act, or other federal securities laws (it being understood that, subject to the provisions of Sections 2.16(c), 11.02(d) and 11.04 of the Credit Agreement, the disposition of such Commitments and Loans or any interests therein shall at all times remain within its exclusive control); and (c) hereby confirms that it has provided the Administrative Agent with a U.S. tax withholding certificate (or, alternatively, other evidence satisfactory to the Administrative Agent) confirming FATCA compliance of the Assignee pursuant to paragraph (v) of Section 2.15(f) (FATCA Information) of the Credit Agreement (for the avoidance of doubt, and pursuant to paragraph (viii) of Section 2.15(f) (FATCA Information) of the Credit Agreement, the Administrative Agent may rely on such U.S. tax withholding certificate or other evidence from each Lender without further verification, and the Administrative Agent shall not be liable for any action taken by it in respect of such U.S. tax withholding certificate or other evidence under or in connection with paragraph (v), (vi) or (vii) of Section 2.15(f) (FATCA Information) of the Credit Agreement); and (d) hereby expressly consents to, ratifies (genehmigt) and confirms the declarations and acts made by the Collateral Agent on behalf and in the name of the Assignee as Future Pledgee (as defined in the relevant German Security Agreement) in the German Security Agreements. The Assignee confirms that it is aware of the contents of the German Security Agreements.  [If the Designated Company is party hereto, the Assignee hereby notifies and directs the Designated Company to cause its affiliates to take all actions necessary to ensure that the Assignee will benefit from the security granted pursuant to that certain Italian law Pledge Agreement Over Shares of Novelis Italia S.p.A., dated on or about [_______, 2017]] [If the Designated Company is not party hereto, the Assignee may provide written notice to the Designated Company directing it to cause its affiliates to take all actions necessary to ensure that the Assignee will benefit from the secured granted pursuant to that certain Italian law Pledge Agreement Over Shares of Novelis Italia S.p.A., dated on or about [________, 2017]].
2.    Payments.  From and after the Effective Date, the Administrative Agent shall make all payments in respect of the Assigned Interest (including payments of principal, interest, fees and other amounts) to the Assignor for amounts that have accrued to but excluding the Effective Date and to the Assignee for amounts that have accrued from and after the Effective Date.
3.    General Provisions.  This Assignment and Assumption shall be binding upon, and inure to the benefit of, the parties hereto and their respective successors and assigns.  This Assignment and Assumption may be executed by one or more of the parties hereto on any number of separate counterparts, each of which shall be an original, but all of which, taken together, shall constitute one original agreement.  Delivery of an executed counterpart of this Assignment and Assumption by facsimile, email or other electronic transmission (including in portable document format (“pdf”) or other similar format) shall be effective as delivery of a manually executed counterpart hereof.  This Assignment and Assumption shall be construed in accordance with and governed by, the law 

1030947.12E-CHISR01A - MSW

of the State of New York without regard to conflicts of principles of law that would require the application of the laws of another jurisdiction.

1030947.12E-CHISR01A - MSW

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