Document:

exv10w94

Exhibit 10.94

EXECUTION VERSION

 

 

WARRANT AGREEMENT

Dated as of

March 22, 2010

between

ALION SCIENCE AND TECHNOLOGY CORPORATION

and

WILMINGTON TRUST COMPANY,

as Warrant Agent

 

Warrants for

Common Stock of

Alion Science and Technology Corporation

 

 

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page
	 

	 	ARTICLE I	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Definitions	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 1.01.

	 	Definitions
	 	 	1	 
	SECTION 1.02.

	 	Other Definitions
	 	 	5	 
	SECTION 1.03.

	 	Rules of Construction
	 	 	6	 
	 
	 	 	 	 	 	 
	 

	 	ARTICLE II	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Warrant Certificates	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 2.01.

	 	Form and Dating
	 	 	6	 
	SECTION 2.02.

	 	Execution and Countersignature
	 	 	7	 
	SECTION 2.03.

	 	Certificate Register
	 	 	8	 
	SECTION 2.04.

	 	Transfer and Exchange
	 	 	9	 
	SECTION 2.05.

	 	Certificated Warrants
	 	 	14	 
	SECTION 2.06.

	 	Replacement Certificates
	 	 	15	 
	SECTION 2.07.

	 	Outstanding Warrants
	 	 	15	 
	SECTION 2.08.

	 	Cancellation
	 	 	16	 
	SECTION 2.09.

	 	CUSIP Numbers
	 	 	16	 
	 
	 	 	 	 	 	 
	 

	 	ARTICLE III	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Exercise Terms	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 3.01.

	 	Exercise
	 	 	16	 
	SECTION 3.02.

	 	Exercise Periods
	 	 	16	 
	SECTION 3.03.

	 	Expiration
	 	 	17	 
	SECTION 3.04.

	 	Manner of Exercise
	 	 	17	 
	SECTION 3.05.

	 	Issuance of Warrant Shares
	 	 	17	 
	SECTION 3.06.

	 	Fractional Warrant Shares
	 	 	18	 
	SECTION 3.07.

	 	Reservation of Warrant Shares
	 	 	18	 
	SECTION 3.08.

	 	Compliance with Law
	 	 	19	 
	SECTION 3.09.

	 	Drag-Along Right
	 	 	19	 
	 
	 	 	 	 	 	 
	 

	 	ARTICLE IV	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Antidilution Provisions	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 4.01.

	 	Changes in Common Stock
	 	 	21	 
	SECTION 4.02.

	 	Cash Dividends and Other Distributions
	 	 	22	 

 

 

2

	 	 	 	 	 	 	 
	 	 	 	 	 
	SECTION 4.03.

	 	Common Stock Issue
	 	 	23	 
	SECTION 4.04.

	 	Issuance of Rights or Options
	 	 	23	 
	SECTION 4.05.

	 	Combination; Liquidation
	 	 	24	 
	SECTION 4.06.

	 	Superseding Adjustment
	 	 	25	 
	SECTION 4.07.

	 	Minimum Adjustment
	 	 	25	 
	SECTION 4.08.

	 	Notice of Adjustment
	 	 	25	 
	SECTION 4.09.

	 	Notice of Certain Transactions
	 	 	26	 
	SECTION 4.10.

	 	Adjustment to Warrant Certificate
	 	 	27	 
	 
	 	 	 	 	 	 
	 

	 	ARTICLE V	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Intentionally Omitted	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	ARTICLE VI	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Warrant Agent	 	 	 	 

	 	 	 	 	 	 	 
	SECTION 6.01.

	 	Appointment of Warrant Agent
	 	 	27	 
	SECTION 6.02.

	 	Rights and Duties of Warrant Agent
	 	 	27	 
	SECTION 6.03.

	 	Individual Rights of Warrant Agent
	 	 	28	 
	SECTION 6.04.

	 	Warrant Agent’s Disclaimer
	 	 	28	 
	SECTION 6.05.

	 	Compensation and Indemnity
	 	 	29	 
	SECTION 6.06.

	 	Successor Warrant Agent
	 	 	29	 
	 
	 	 	 	 	 	 
	 

	 	ARTICLE VII	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Miscellaneous	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 7.01.

	 	SEC Reports
	 	 	31	 
	SECTION 7.02.

	 	Persons Benefitting
	 	 	31	 
	SECTION 7.03.

	 	Rights of Holders
	 	 	31	 
	SECTION 7.04.

	 	Amendment
	 	 	31	 
	SECTION 7.05.

	 	Notices
	 	 	32	 
	SECTION 7.06.

	 	Governing Law
	 	 	33	 
	SECTION 7.07.

	 	Successors
	 	 	33	 
	SECTION 7.08.

	 	Multiple Originals
	 	 	33	 
	SECTION 7.09.

	 	Table of Contents
	 	 	33	 
	SECTION 7.10.

	 	Severability
	 	 	33	 
	 
	 	 	 	 	 	 
	Appendix A
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	EXHIBIT A

	 	Form of Warrant Certificate	 	 	 	 

 

 

     WARRANT AGREEMENT dated as of March 22, 2010 (this “Agreement”),
between ALION SCIENCE AND TECHNOLOGY CORPORATION, a Delaware corporation
(the “Company”), and WILMINGTON TRUST COMPANY, a Delaware banking
corporation, as Warrant Agent (together with its successors and assigns,
in such capacity, the “Warrant Agent”).

          The Company desires to issue the warrants described herein. The Warrants (as defined herein)
will initially entitle the holders thereof to purchase, in the aggregate, 602,614 shares of Common
Stock, par value $0.01 per share, of the Company (“Common Stock”) in connection with an offering
(the “Offering”) by the Company of 310,000 units (the “Units”), each consisting of $1,000 principal
amount of the Company’s 12% Senior Secured Notes due 2014 (the “Notes”) and one Warrant (a
“Warrant”) to purchase 1.9439 shares of Common Stock, par value $0.01 per share, of the Company
(the “Common Stock”).

          The Warrants will not trade separately from the Notes until the earliest date (the “Separation
Date”) to occur of: (i) the date that is three months after the Warrants Issue Date and (ii) the
date of the consummation of a registered exchange offer for the Notes or the effective date of a
shelf registration statement with respect to the Notes.

          The Company further desires the Warrant Agent to act on behalf of the Company in connection
with the issuance of the Warrants as provided herein and the Warrant Agent is willing to so act.

          The Company has duly authorized the execution and delivery of this Agreement to provide for
the issuance of Warrants to be exercisable at such times and for such prices, and to have such
other provisions, as shall be hereinafter provided.

          Each party agrees as follows for the benefit of the other party and for the equal and ratable
benefit of the Holders of Warrants:

ARTICLE I

Definitions

          SECTION 1.01. Definitions.

          “Affiliate” of any Person means (i) any other Person which, directly or indirectly, is in
control of, is controlled by or is under common control with such Person, or (ii) any other Person
who is a director or executive officer (A) of such Person, (B) of any subsidiary of such Person or
(C) of any Person described in clause (i) above. For purposes hereof, (a) “control” of a Person
means the power, direct or indirect, to direct or cause the direction of the management and
policies of such Person whether by contract or otherwise and (b) beneficial ownership of 10% or
more of the voting common equity (on a fully diluted basis) or warrants to purchase such amount of
equity (whether or not

 

2

currently exercisable) of a Person shall be deemed to be in control of such Person; and the
terms “controlling” and “controlled” have meanings correlative to the foregoing.

          “Board” means the Board of Directors of the Company or any committee thereof duly authorized
to act on behalf of such Board of Directors.

          “Business Day” means each day which is not a Legal Holiday.

          “Capital Stock” of any Person means any and all shares, interests, rights to purchase,
warrants, options, participations or other equivalents of or interests in (however designated)
equity of such Person, including any Preferred Stock, but excluding any debt securities convertible
into such equity.

          “Cashless Exercise Ratio” means a fraction, the numerator of which is the excess of the
Current Market Value per share of Common Stock on the Exercise Date over the Exercise Price per
share as of the Exercise Date and the denominator of which is the Current Market Value per share of
the Common Stock on the Exercise Date.

          “Certificated Warrants” means certificated Warrants in fully registered definitive form.

          “Code” means the Internal Revenue Code of 1986, as amended.

          “Combination” means an event in which the Company consolidates with, merges with or into, or
sells all or substantially all of its assets to, another Person.

          “Current Market Value” per share of Common Stock or any other security at any date means (i)
if the security is not registered under the Exchange Act, (a) the value of the security, determined
in good faith by the Board and certified in a board resolution, based on the most recently
completed arm’s-length transaction between the Company and a Person other than an Affiliate of the
Company, the closing of which shall have occurred on such date or within the six-month period
preceding such date, or (b) if no such transaction shall have occurred on such date or within such
six-month period, the value of the security as determined by an independent financial expert, or
(c) with respect to any share of Common Stock, any interest in Common Stock, any security
convertible into Common Stock or any security whose value is derived or calculated with respect to
Common Stock and any right to subscribe for or purchase Common Stock: (A) issued pursuant to and
consistent with the terms of the ESOP including Company contributions to the ESOP in the form of
Company match and Company profit sharing contributions, (B) issued pursuant to any stock
appreciation rights or phantom stock plan, (C) issued upon any Holder’s election to use the
Cashless Exercise or (D) issued or utilized in connection with any Company purchase of a fractional
Warrant Share, the value of the share as determined by our board of directors or the ESOP Trustee
based upon the ESOP’s most recent valuation by an “independent appraiser” as defined in Section
401(a)(28)(c) of the Code; or (ii) if the security is registered under the Exchange Act, the
average of the daily closing bid prices (or the equivalent in an over-the-counter market) for each
Business Day during the period commencing 15 Business Days before such date and ending on the date
one day prior to such date, or if the security has been registered

 

3

under the Exchange Act for less than 15 consecutive Business Days before such date, then the
average of the daily closing bid prices (or such equivalent) for all of the Business Days before
such date for which daily closing bid prices are available; provided, however, if
the closing bid price is not determinable for at least ten Business Days in such period, the
“Current Market Value” of the security shall be determined as if the security were not registered
under the Exchange Act.

          “Depository” means The Depository Trust Company, its nominees and their respective successors.

          “ESOP” means the Alion Science and Technology Corporation Employee Ownership, Savings and
Investment Plan.

          “ESOP Trust” means the Alion Science and Technology Corporation Employee Ownership, Savings
and Investment Trust.

          “ESOP Trustee” means the trustee for the ESOP Trust.

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

          “Exercise Date” means, for a given Warrant, the day on which such Warrant is exercised
pursuant to Section 3.04.

          “Holder” means (i) in the case of Warrants, the Person in whose name a Warrant is registered
in the Certificate Register and all subsequent transferees and successors and (ii) in the case of
the Common Stock for which a Warrant is exercisable, the Person in whose name such Common Stock is
registered in the Company’s stock register and all subsequent transferees and successors.

          “Indenture” means the Indenture dated as of March 22, 2010, among the Company, the Subsidiary
Guarantors named therein and the Trustee, with respect to the Notes, as it may be amended or
supplemented from time to time.

          “Initial Purchaser” means Credit Suisse Securities (USA) LLC.

          “Legal Holiday” means a Saturday, a Sunday or a day on which banking institutions are not
required to be open in the State of New York.

          “Offering Circular” means the Confidential Offering Circular dated March 11, 2010, of the
Company with respect to the Units.

          “Officer” means the Chairman of the Board, the Chief Executive Officer, the President, the
Chief Financial Officer, any Senior Vice President, the Treasurer or the Secretary or an Assistant
Secretary of the Company.

          “Officers’ Certificate” means a certificate signed by two Officers.

 

4

          “Opinion of Counsel” means a written opinion, in form and substance reasonably satisfactory to
the Warrant Agent, from legal counsel who is reasonably acceptable to the Warrant Agent. Such
counsel may be an employee of or counsel to the Company.

          “Person” means any individual, corporation, partnership, joint venture, limited liability
company, joint venture, association, joint-stock company, trust, unincorporated organization,
government or any agency or political subdivision thereof or any other entity.

          “Preferred Stock”, as applied to the Capital Stock of any Person, means Capital Stock of any
class or classes (however designated) which is preferred as to the payment of dividends or
distributions, or as to the payment of assets upon any voluntary or involuntary liquidation or
dissolution of such Person, over shares of Capital Stock of any other class of such Person.

          “Purchase Agreement” means the Purchase Agreement dated March 11, 2010, among the Company, the
Subsidiary Guarantors named therein and the Initial Purchaser.

          “QIB” means a “qualified institutional buyer” as defined in Rule 144A.

          “Qualified Public Offering” means the consummation of one or more underwritten public
offerings of the Company’s common stock which results in aggregate gross proceeds to the sellers in
such offerings of not less than U.S. $30,000,000 (excluding proceeds received in such offerings
from “affiliates” of the Company (other than any Holder of Warrants that is an affiliate of the
Company), within the meaning of Rule 12b-2 of the Exchange Act or the ESOP) and pursuant to which
the Company obtains a listing for its shares on a United States national securities exchange, the
Nasdaq National Market System, or an automated quotation system of nationally recognized standing.

          “Regulation S” means Regulation S under the Securities Act.

          “Regulation S Restricted Warrant” means each Warrant initially sold under Regulation S (i)
unless such Warrant has been resold pursuant to an effective registration statement under the
Securities Act or pursuant to Rule 144A under the Securities Act or (ii) until the earliest date
that is no less than two years after the Warrants Issue Date and on which all such Warrants (except
for Warrants held by an affiliate of the Company) are no longer subject to any restrictions on
transfer under the Securities Act including those pursuant to Rule 144.

          “Rule 144A” means Rule 144A under the Securities Act.

          “SEC” means the Securities and Exchange Commission.

          “Securities” means the Warrants and the Warrant Shares.

 

5

          “Securities Act” means the U.S. Securities Act of 1933, as amended.

          “Transfer Restricted Securities” means the Warrants and the Common Stock which may be issued
to Holders upon exercise of the Warrants, whether or not such exercise has been effected. Each
such security shall cease to be a Transfer Restricted Security (i) when it has been disposed of
pursuant to a registration statement of the Company filed with the SEC and declared effective by
the SEC that covers the disposition of such Transfer Restricted Security, (ii) when it has been
distributed pursuant to Rule 144 promulgated under the Securities Act (or any similar provisions
under the Securities Act then in effect) or (iii) upon the earliest date that is no less than two
years after the Warrants Issue Date and on which all such Securities (except for Securities held by
an affiliate of the Company) are no longer subject to any restrictions on transfer under the
Securities Act including those pursuant to Rule 144.

          “Trust” means Alion Science and Technology Corporation Employee Ownership Savings and
Investment Trust.

          “Trustee” means Wilmington Trust Company, or any successor trustee under the Indenture.

          “Warrant Certificates” mean the registered certificates (including the Global Warrants) issued
by the Company under this Agreement representing the Warrants.

          “Warrant Custodian” means the custodian with respect to a Global Warrant (as appointed by the
Depository) or any successor person thereto and shall initially be the Warrant Agent.

          “Warrant Shares” mean the shares of Common Stock (and any other securities) for which the
Warrants are exercisable or which have been issued upon exercise of Warrants.

          “Warrants Issue Date” means the date on which the Warrants are initially issued.

          SECTION 1.02. Other Definitions.

	 	 	 
	 	 	Defined in
	Term	 	Section
	 
	“Agreement”
	 	Recitals
	“Agent Members”
	 	2.01(b)
	“Cashless Exercise”
	 	3.04
	“Certificate Register”
	 	2.03
	“Common Stock”
	 	Recitals
	“Company”
	 	Recitals
	“Drag-Along Notice”
	 	3.09(a)

 

6

	 	 	 
	 	 	Defined in
	Term	 	Section
	 
	“Drag Sale Shares”
	 	3.09(a)
	“Drag Transaction”
	 	3.09(f)
	“Exercise Price”
	 	3.01
	“Expiration Date”
	 	3.02(b)
	“Global Warrant”
	 	2.01(a)
	“Note Transfer Agent”
	 	2.01
	“Offering”
	 	Recitals
	“Plan”
	 	2.04(g)
	“Proposed Transferee”
	 	3.09(a)
	“Required Exercise Shares”
	 	3.09(a)
	“Registrar”
	 	3.07
	“Regulation S Global Warrants”
	 	2.01(a)
	“Rule 144A Global Warrants”
	 	2.01(a)
	“Separability Legend”
	 	2.04(e)
	“Separation Date”
	 	Recitals
	“Stock Transfer Agent”
	 	3.05
	“Successor Company”
	 	4.05(a)
	“Units”
	 	Recitals
	“Warrants”
	 	Recitals
	“Warrant Agent”
	 	Recitals

          SECTION 1.03. Rules of Construction. Unless the text otherwise requires:

     (i) a defined term has the meaning assigned to it;

     (ii) an accounting term not otherwise defined has the meaning assigned to it in
accordance with generally accepted accounting principles as in effect on the date hereof;

     (iii) “or” is not exclusive;

     (iv) “including” means including, without limitation; and

     (v) words in the singular include the plural and words in the plural include the
singular.

ARTICLE II

Warrant Certificates

          SECTION 2.01. Form and Dating. The Warrants shall be offered and sold by the Company
pursuant to the Purchase Agreement. Each Warrant shall initially be issued as part of a Unit
consisting of (i) $1,000 principal amount of Notes and (ii) one Warrant. The terms of the Units
are governed by the Indenture. Prior to the Separation Date, each Warrant may not be transferred
or exchanged separately from, but may be transferred or exchanged only together with, the Notes
forming a part of the applicable

 

7

Unit, in any case, in accordance with the terms of the Indenture. On and after the Separation
Date, the Warrants and the Notes comprising each Unit shall trade separately and shall no longer
form a part of a Unit. Insofar as the Units are concerned, in the event any of the terms of this
Agreement conflict with the Indenture, the Indenture shall govern.

          (a) Global Warrants. Warrants offered and sold to QIBs in reliance on Rule 144A
(“Rule 144A Global Warrants”) and Warrants offered and sold to non-U.S. persons (as defined in
Regulation S) in reliance on Regulation S (“Regulation S Global Warrants”), each as provided in the
Purchase Agreement, shall be issued initially in the form of one or more permanent global Warrants
(a “Global Warrant”), in definitive, fully registered form with the legends set forth in Exhibit A
hereto, which shall be deposited on behalf of the Initial Purchaser with, subject to the first
paragraph of this Section 2.01, the Warrant Agent, as custodian for the Depository (or with such
other custodian as the Depository may direct), and registered in the name of the Depository or a
nominee of the Depository, duly executed by the Company and countersigned by the Warrant Agent as
hereinafter provided.

          (b) Book-Entry Provisions. (i) This Section 2.01(b) shall apply only to a Global
Warrant deposited with or on behalf of the Depository.

          The Company shall execute and the Warrant Agent shall, in accordance with Section 2.02,
countersign and deliver initially one or more Global Warrants that (a) shall be registered in the
name of the Depository for such Global Warrant or Global Warrants or the nominee of the Depository
and (b) shall be delivered by the Warrant Agent to the Depository or pursuant to the Depository’s
instructions or held by the Warrant Agent as custodian for the Depository.

          (ii) Members of, or participants in, the Depository (“Agent Members”) shall have no rights
under this Agreement with respect to any Global Warrant held on their behalf by the Depository or
by the Warrant Agent as the custodian of the Depository or under such Global Warrant, and the
Depository may be treated by the Company, the Warrant Agent and any agent of the Company or the
Warrant Agent as the absolute owner of such Global Warrant for all purposes whatsoever.
Notwithstanding the foregoing, nothing herein shall prevent the Company, the Warrant Agent or any
agent of the Company or the Warrant Agent from giving effect to any written certification, proxy or
other authorization furnished by the Depository or impair, as between the Depository and its Agent
Members, the operation of customary practices of the Depository governing the exercise of the
rights of a Holder of a beneficial interest in any Global Warrant.

          (c) Certificated Securities. Except as provided in Section 2.04 or 2.05, owners of
beneficial interests in Global Warrants will not be entitled to receive physical delivery of
certificated Warrants.

          SECTION 2.02. Execution and Countersignature. Two Officers shall sign the Warrant
Certificates for the Company by manual or facsimile signature.

 

8

          If an Officer whose signature is on a Warrant Certificate no longer holds that office at the
time the Warrant Agent countersigns the Warrant Certificate, the Warrants evidenced by such Warrant
Certificate shall be valid nevertheless.

          Pursuant to the Indenture, the Trustee shall, on the date hereof, authenticate 310,000 Units.
Upon authentication of the Units by the Trustee, the terms of the Warrants forming a part of each
Unit shall be governed by the terms set forth herein and in the form of Warrant Certificate
attached hereto.

          The Warrant Agent may appoint an agent reasonably acceptable to the Company to countersign the
Warrant Certificates. Unless limited by the terms of such appointment, such agent may countersign
Warrant Certificates whenever the Warrant Agent may do so. Each reference in this Agreement to
countersignature by the Warrant Agent includes countersignature by such agent. Such agent will
have the same rights as the Warrant Agent for service of notices and demands.

          At any time and from time to time after the execution of this Agreement, the Warrant Agent or
an agent reasonably acceptable to the Company shall upon receipt of a written order of the Company
signed by two Officers of the Company manually countersign for original issue a Warrant Certificate
evidencing the number of Warrants specified in such order; provided, however, that
the Warrant Agent shall be entitled to receive an Officers’ Certificate that it may reasonably
request in connection with such countersignature of Warrants. Such order shall specify the number
of Warrants to be evidenced on the Warrant Certificate to be countersigned, the date on which such
Warrant Certificate is to be countersigned and the number of Warrants then authorized.

          The Warrants evidenced by a Warrant Certificate shall not be valid until an authorized
signatory of the Warrant Agent or its agent as provided above manually countersigns the Warrant
Certificate. The signature shall be conclusive evidence that the Warrant Certificate has been
countersigned under this Agreement.

          On the date hereof, upon a written order of the Company signed by two Officers, the Warrant
Agent shall countersign one or more Global Warrants that shall trade separately from the Notes on
and after the Separation Date (the “Separation Warrants”). Each Separation Warrant shall initially
represent zero (0) Warrants. The Separation Warrants shall not contain the Separability Legend.
On the Separation Date, the Warrants forming part of each Unit shall be allocated to the Separation
Warrants for the credit of the Holders in accordance with the applicable Depository procedures.

          SECTION 2.03. Certificate Register. The Warrant Agent shall keep a register
(“Certificate Register”) of the Warrant Certificates and of their transfer and exchange. The
Certificate Register shall show the names and addresses of the respective Holders and the date and
number of Warrants evidenced on the face of each of the Warrant Certificates. The Company and the
Warrant Agent may deem and treat the Person in whose name a Warrant Certificate is registered as
the absolute owner of such Warrant Certificate for all purposes whatsoever and neither the Company
nor the Warrant Agent shall be affected by notice to the contrary.

 

9

          SECTION 2.04. Transfer and Exchange.

          (a) Transfer and Exchange of Global Warrants.

     (i) The transfer and exchange of the beneficial interests in Global Warrants shall be
effected through the Depository, in accordance with this Agreement (including applicable
restrictions on transfer set forth herein) and the procedures of the Depository therefor.
A transferor of a beneficial interest in a Global Warrant shall deliver to the Warrant
Agent a written order given in accordance with the Depository’s procedures containing
information regarding the participant account of the Depository to be credited with a
beneficial interest in the Global Warrant. The Warrant Agent shall, in accordance with
such instructions, instruct the Depository to credit to the account of the Person specified
in such instructions a beneficial interest in the Global Warrant and to debit the account
of the Person making the transfer of the beneficial interest in the Global Warrant being
transferred.

     (ii) If the proposed transfer is a transfer of a beneficial interest in a Rule 144A
Global Warrant under Regulation S or a beneficial interest in a Regulation S Global Warrant
pursuant to Rule 144A, the Warrant Agent shall reflect on the Certificate Register the date
and an increase in the amount of the Regulation S Global Warrant or the Rule 144A Global
Warrant, as applicable, in an amount equal to the amount of the interest to be so
transferred, and the Warrant Agent shall reflect on the Certificate Register the date and a
corresponding decrease in the amount of the Rule 144A Global Warrant or Regulation S Global
Warrant, as applicable; provided, however that the transfer is in
accordance with the certification requirements set forth on the reverse of the Warrants as
determined in the reasonable judgment of the Warrant Agent and with such other procedures
as may from time to time be adopted by the Company.

     (iii) Notwithstanding any other provisions of this Agreement (other than the
provisions set forth in Section 2.05), a beneficial interest in a Global Warrant may not be
transferred as a whole except by the Depository to a nominee of the Depository or by a
nominee of the Depository to the Depository or another nominee of the Depository or by the
Depository or any such nominee to a successor Depository or a nominee of such successor
Depository.

     (iv) In the event that a Global Warrant is exchanged and transferred for Warrants in
definitive registered form pursuant to Section 2.05, such Warrants may be exchanged only in
accordance with such procedures as are substantially consistent with the provisions of this
Section 2.04 (including the certification requirements set forth on the reverse of the
Warrants intended to ensure that such transfers comply with Rule 144A or Regulation S, as
the case may be) and such other procedures as may from time to time be adopted by the
Company.

          (b) Legend. (i) Except as permitted by the following paragraph (ii), and to the
extent permitted by applicable law, each Warrant Certificate evidencing the Global

 

10

Warrants (and all Warrants and Warrant Shares issued in exchange therefor or in substitution
thereof) shall bear a legend in substantially the following form:

“THIS SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT
FROM REGISTRATION UNDER THE UNITED STATES SECURITIES ACT, AND THIS SECURITY MAY NOT
BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN
APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THIS SECURITY IS HEREBY NOTIFIED
THAT THE SELLER OF THIS SECURITY MAY BE RELYING ON THE EXEMPTION FROM THE
PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A THEREUNDER.

THE HOLDER OF THIS SECURITY AGREES FOR THE BENEFIT OF THE COMPANY THAT (A) THIS
SECURITY MAY BE OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) TO THE
COMPANY OR ITS SUBSIDIARIES, (II) IN THE UNITED STATES TO A PERSON WHOM THE SELLER
REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A
UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A,
(III) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE
903 OR 904 UNDER THE SECURITIES ACT, (IV) PURSUANT TO AN EXEMPTION FROM
REGISTRATION UNDER THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF
AVAILABLE), (V) TO AN “ACCREDITED INVESTOR” WITHIN THE MEANING OF RULE 501(a)(1),
(2), (3) OR (7) UNDER THE SECURITIES ACT THAT IS AN INSTITUTIONAL ACCREDITED
INVESTOR ACQUIRING THE SECURITY FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF SUCH AN
INSTITUTIONAL ACCREDITED INVESTOR IN EACH CASE IN A MINIMUM PRINCIPAL AMOUNT OF THE
SECURITIES OF $250,000, FOR INVESTMENT PURPOSES AND NOT WITH A VIEW TO OR FOR OFFER
OR SALE IN CONNECTION WITH ANY DISTRIBUTION IN VIOLATION OF THE SECURITIES ACT OR
(VI) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN
EACH OF CASES (I) THROUGH (VI) IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF
ANY STATE OF THE UNITED STATES AND IN EACH OF CASES (III), (IV) AND (V) SUBJECT TO
THE COMPANY’S AND THE WARRANT AGENT’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR
TRANSFER TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR
OTHER INFORMATION SATISFACTORY TO EACH OF THEM AND (B) THE HOLDER WILL, AND EACH
SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER OF THIS SECURITY

 

11

FROM IT OF THE RESALE RESTRICTIONS REFERRED TO IN (A) ABOVE.

IN CONNECTION WITH ANY TRANSFER, THE HOLDER WILL DELIVER TO THE REGISTRAR AND
TRANSFER AGENT SUCH CERTIFICATES AND OTHER INFORMATION AS SUCH TRANSFER AGENT MAY
REASONABLY REQUIRE TO CONFIRM THAT THE TRANSFER COMPLIES WITH THE FOREGOING
RESTRICTIONS.”

          Each Warrant Certificate purchased by a non-U.S. person purchasing such Warrant in an offshore
transaction (as such terms are defined in Regulation S) pursuant to Regulation S will, unless
otherwise agreed by the Company and the Holder thereof, bear a legend substantially to the
following effect:

“THIS SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION
ORIGINALLY EXEMPT FROM REGISTRATION UNDER THE SECURITIES ACT, AND MAY NOT BE
TRANSFERRED IN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, ANY U.S.
PERSON EXCEPT PURSUANT TO AN AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS
OF THE SECURITIES ACT AND ALL APPLICABLE STATE SECURITIES LAWS. TERMS USED ABOVE
HAVE THE MEANINGS GIVEN TO THEM IN REGULATION S UNDER THE SECURITIES ACT.

UNTIL ONE YEAR AFTER THE LATER OF COMMENCEMENT OR COMPLETION OF THE OFFERING, AN
OFFER OR SALE OF SECURITIES WITHIN THE UNITED STATES BY A DEALER (AS DEFINED IN THE
SECURITIES ACT) MAY VIOLATE THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT IF
SUCH OFFER OR SALE IS MADE OTHERWISE THAN IN ACCORDANCE WITH RULE 144A THEREUNDER.”

          Each Warrant Certificate issued prior to the Separation Date will also bear the following
legend (the “Separability Legend”):

“THE SECURITIES EVIDENCED BY THIS CERTIFICATE WERE INITIALLY ISSUED AS PART OF AN
ISSUANCE OF UNITS, EACH OF WHICH CONSISTS OF $1,000 PRINCIPAL AMOUNT OF 12% SENIOR
SECURED NOTES DUE NOVEMBER 1, 2014 (A “NOTE”) OF ALION SCIENCE AND TECHNOLOGY
CORPORATION (THE “COMPANY”) AND ONE WARRANT (A “WARRANT”) TO PURCHASE 1.9439 SHARES
OF COMMON STOCK, PAR VALUE $0.01 PER SHARE, OF THE COMPANY. THE NOTES AND WARRANTS
COMPRISING THE UNITS WILL NOT BE PERMITTED TO TRADE SEPARATELY UNTIL THE EARLIER OF
(I) THE DATE

 

12

THAT IS THREE MONTHS AFTER THE WARRANTS ISSUE DATE, (II) THE DATE OF THE CLOSING OF
AN EXCHANGE OFFER FOR THE NOTES OR THE EFFECTIVE DATE OF A SHELF REGISTRATION
STATEMENT WITH RESPECT TO THE NOTES.”

          Each certificate representing Warrants or shares issued upon exercise of Warrants (or
following transfers of such shares) shall bear on the face thereof the following legend (the “Drag
Legend”):

“ANY TRANSFER OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE IS SUBJECT TO THE
CONDITIONS (INCLUDING DRAG-ALONG RIGHTS) SPECIFIED IN THE WARRANT AGREEMENT (THE
“WARRANT AGREEMENT”) DATED AS OF MARCH 22, 2010 BETWEEN ALION SCIENCE AND
TECHNOLOGY CORPORATION (THE “COMPANY”) AND WILMINGTON TRUST COMPANY, SOLELY IN ITS
CAPACITY AS WARRANT AGENT. BY ACCEPTING DELIVERY OF THE SECURITIES REPRESENTED BY
THIS CERTIFICATE, ANY TRANSFEREE SHALL BE DEEMED TO HAVE AGREED TO BE BOUND BY THE
WARRANT AGREEMENT AS IF THE TRANSFEREE HAD EXECUTED AND DELIVERED THE WARRANT
AGREEMENT.”

          Each Purchaser understands that the Securities will bear legends required by DTC substantially
in the following form:

“UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO
THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY
CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE &
CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF
DTC) ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY
PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN
INTEREST HEREIN.

TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT
IN PART, TO NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE
AND TRANSFERS OF PORTIONS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS
MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE

 

13

WARRANT AGREEMENT REFERRED TO ON THE REVERSE HEREOF.”

     (ii) Upon any sale or transfer of a Transfer Restricted Security (including any
Transfer Restricted Security represented by a Global Warrant) pursuant to Rule 144 under
the Securities Act, the Warrant Agent shall permit, subject to the terms of Section 2.05,
the Holder thereof to exchange such Transfer Restricted Security for a certificated Warrant
that does not bear the legends set forth above (other than the Separability Legend, if
applicable, and the Drag Legend), if the Holder certifies in writing to the Warrant Agent
that its request for such exchange was made in reliance on Rule 144 (such certification to
be in the form set forth on the reverse of the Warrant).

     (iii) On or after the Separation Date, the Holder of a Warrant Certificate containing
a Separability Legend may surrender such Warrant Certificate accompanied by a written
application to the Warrant Agent, duly executed by the Holder thereof, for a new Warrant
Certificate or certificates not containing the Separability Legend.

          (c) Cancellation or Adjustment of Global Warrant. At such time as all beneficial
interests in a Global Warrant have been exchanged for certificated Warrants, redeemed, repurchased
or canceled, such Global Warrant shall be returned to the Depository for cancellation or retained
and canceled by the Warrant Agent. At any time prior to such cancellation, if any beneficial
interest in a Global Warrant is exchanged for certificated Warrants, redeemed, repurchased or
canceled, the number of Warrants represented by such Global Warrant shall be reduced and an
adjustment shall be made on the books and records of the Warrant Agent (if it is then the Warrant
Custodian for such Global Warrant) with respect to such Global Warrant, by the Warrant Agent, to
reflect such reduction.

          (d) Obligations with Respect to Transfers and Exchanges of Warrants.

     (i) To permit registrations of transfers and exchanges, the Company shall execute and
the Warrant Agent shall countersign, upon receipt of an Opinion of Counsel and an Officers’
Certificate if so requested by the Warrant Agent, certificated Warrants and Global Warrants
as required pursuant to the provisions of Section 2.02 and this Section 2.04.

     (ii) No service charge shall be made to a Holder for any registration of transfer or
exchange upon surrender of any Warrant Certificate at the office of the Warrant Agent
maintained for that purpose, but the Company may require payment of a sum sufficient to
cover any tax or other governmental charge that may be imposed in connection with any
registration of transfer or exchange of Warrant Certificates.

     (iii) Prior to the due presentation for registration of transfer of any Warrant, the
Company and the Warrant Agent may deem and treat the Person in whose

 

14

name a Warrant is registered as the absolute owner of such Warrant, and neither
the Company nor the Warrant Agent shall be affected by notice to the contrary.

     (iv) All Warrants issued upon any transfer or exchange pursuant to the terms of this
Agreement shall be the valid obligations of the Company, entitled to the same benefits
under this Agreement as the Warrants surrendered upon such transfer or exchange.

          (e) No Obligation of the Warrant Agent.

     (i) The Warrant Agent shall have no responsibility or obligation to any beneficial
owner of a Global Warrant, a member of, or a participant in the Depository or other Person
with respect to the accuracy of the records of the Depository or its nominee or of any
participant or member thereof, with respect to any ownership interest in the Warrants or
with respect to the delivery to any participant, member, beneficial owner or other Person
(other than the Depository) of any notice or the payment of any amount, under or with
respect to such Warrants. All notices and communications to be given to the Holders and
all payments to be made to Holders under the Warrants shall be given or made only to or
upon the order of the registered Holders (which shall be the Depository or its nominee in
the case of a Global Warrant). The rights of beneficial owners in any Global Warrant shall
be exercised only through the Depository subject to the applicable rules and procedures of
the Depository. The Warrant Agent may rely and shall be fully protected in relying upon
information furnished by the Depository with respect to its members, participants and any
beneficial owners.

     (ii) The Warrant Agent shall have no obligation or duty to monitor, determine or
inquire as to compliance with any restrictions on transfer imposed under this Agreement or
under applicable law with respect to any transfer of any interest in any Warrant (including
any transfers between or among the Depository participants, members or beneficial owners in
any Global Warrant) other than to require delivery of such certificates and other
documentation or evidence as are expressly required by, and to do so if and when expressly
required by, the terms of this Agreement, and to examine the same to determine substantial
compliance as to form with the express requirements hereof.

          (f) No Registration of Transfer. The Company shall not, and shall cause the Warrant
Agent not to, register any transfer of Warrants or Warrant Shares not made in accordance with the
provisions of Regulation S, pursuant to registration under the Securities Act or pursuant to an
available exemption from registration.

          SECTION 2.05. Certificated Warrants. (a) A Global Warrant deposited with the
Depository or with the Warrant Agent as custodian for the Depository pursuant to Section 2.01 shall
be transferred to the beneficial owners thereof in the form of certificated Warrants in a number
equal to the number of Warrants represented by such Global Warrant, in exchange for such Global
Warrant, only if such transfer complies with Section 2.04 and (i) the Depository notifies the Company that it is unwilling or unable to

 

15

continue as depositary for such Global Warrant or if at any time the Depository ceases to be a
“clearing agency” registered under the Exchange Act and, in each such case, a successor depositary
is not appointed by the Company within 90 days of such notice or (ii) the Company, in its sole
discretion, notifies the Warrant Agent in writing that it elects to cause the issuance of
Certificated Warrants under this Agreement.

          (b) Any Global Warrant that is transferable to the beneficial owners thereof pursuant to this
Section shall be surrendered by the Depository to the Warrant Agent, to be so transferred, in whole
or from time to time in part, without charge, and the Warrant Agent shall countersign and deliver,
upon such transfer of each portion of such Global Warrant, an equal number of Certificated
Warrants. Any Certificated Warrants delivered in exchange for an interest in the Global Warrant
shall, except as otherwise provided by Section 2.04(b)(ii) and Section 2.04(b)(iii), bear the
legends set forth in Section 2.04(b).

          (c) Subject to the provisions of Section 2.05(b), the registered Holder of a Global Warrant
may grant proxies and otherwise authorize any Person, including Agent Members and Persons that may
hold interests through Agent Members, to take any action which a Holder is entitled to take under
this Agreement or the Warrants.

          (d) In the event of the occurrence of either of the events specified in Section 2.05(a), the
Company will promptly make available to the Warrant Agent a reasonable supply of Certificated
Warrants in definitive, fully registered form.

          SECTION 2.06. Replacement Certificates. If a mutilated Warrant Certificate is
surrendered to the Warrant Agent or if the Holder of a Warrant Certificate claims that the Warrant
Certificate has been lost, destroyed or wrongfully taken, the Company shall issue and the Warrant
Agent shall countersign a replacement Warrant Certificate if the reasonable requirements of the
Warrant Agent and of Section 8-405 of the Uniform Commercial Code as in effect in the State of New
York are met. If required by the Warrant Agent or the Company, such Holder shall furnish an
indemnity bond sufficient in the judgment of the Company and the Warrant Agent to protect the
Company and the Warrant Agent from any loss which either of them may suffer if a Warrant
Certificate is replaced. The Company and the Warrant Agent may charge the Holder for their
expenses in replacing a Warrant Certificate. Every replacement Warrant Certificate evidences an
additional obligation of the Company.

          SECTION 2.07. Outstanding Warrants. Warrants outstanding at any time are all
Warrants evidenced on all Warrant Certificates authenticated by the Warrant Agent except for those
canceled by it and those delivered to it for cancellation. A Warrant does not cease to be
outstanding because an Affiliate of the Company holds the Warrant. A Warrant ceases to be
outstanding if the Company holds the Warrant.

          If a Warrant Certificate is replaced pursuant to Section 2.06, the Warrants evidenced thereby
cease to be outstanding unless the Warrant Agent and the Company receive proof satisfactory to them that the replaced Warrant Certificate is held by a bona
fide purchaser.

 

16

          SECTION 2.08. Cancellation. (a) In the event the Company shall purchase or
otherwise acquire Certificated Warrants, the same shall thereupon be delivered to the Warrant Agent
for cancellation.

          (b) The Warrant Agent and no one else shall cancel and destroy all Warrant Certificates
surrendered for transfer, exchange, replacement, exercise or cancellation and deliver a certificate
of such destruction to the Company unless the Company directs the Warrant Agent to deliver canceled
Warrant Certificates to the Company. The Company may not issue new Warrant Certificates to replace
Warrant Certificates to the extent they evidence Warrants which have been exercised or Warrants
which the Company has purchased or otherwise acquired.

          SECTION 2.09. CUSIP Numbers. The Company in issuing the Warrants may use “CUSIP”
numbers (if then generally in use) and, if so, the Warrant Agent shall use “CUSIP” numbers in
notices as a convenience to Holders; provided, however, that any such notice may
state that no representation is made as to the correctness of such numbers either as printed on the
Warrant Certificates or as contained in any notice and that reliance may be placed only on the
other identification numbers printed on the Warrant Certificates.

ARTICLE III

Exercise Terms

          SECTION 3.01. Exercise. Each Warrant, when exercised, shall initially entitle the
Holder thereof, subject to adjustment pursuant to the terms of this Agreement, to purchase 1.9439
shares of Common Stock. The exercise price (the “Exercise Price”) of each Warrant is $0.01 per
share.

          SECTION 3.02. Exercise Periods. (a) Subject to the terms and conditions set forth
herein, the Warrants shall be exercisable at any time and from time to time on or after March 22,
2011. Notwithstanding the foregoing, Holders of Warrants will be able to exercise their Warrants
only if (i) the exercise is pursuant to an effective registration statement under the Securities
Act or (ii) the exercise of such Warrants is exempt from the registration requirements of the
Securities Act, and, in each case, the Warrant Shares are qualified for sale or exempt from
qualification under the applicable securities laws of the states or other jurisdictions in which
such Holders reside. If the Warrant being exercised is a Regulation S Restricted Warrant, upon
exercise of any such Warrant, the Warrant Agent must receive a written opinion of counsel to the
effect that the Warrant Shares delivered upon such exercise have been registered under the
Securities Act or such exercise is exempt therefrom. At the request of a Holder, such opinion will
be provided by counsel for the Company at no cost to the Holder.

          (b) No Warrant shall be exercisable after March 15, 2017 (the “Expiration Date”).

 

17

          SECTION 3.03. Expiration. A Warrant shall terminate and become void as of the
earlier of (i) the close of business on the Expiration Date or (ii) the date such Warrant is
exercised in full. The Company shall give notice not less than 30, and not more than 60, days
prior to the Expiration Date to the Holders of all then outstanding Warrants to the effect that the
Warrants will terminate and become void as of the close of business on the Expiration Date;
provided, however, that if the Company fails to give notice as provided in this
Section 3.03, the Warrants will nevertheless expire and become void on the Expiration Date.

          SECTION 3.04. Manner of Exercise. Warrants may be exercised upon (i) surrender to
the Warrant Agent at the office of the Warrant Agent of the related Warrant Certificate, together
with the form of election attached thereto to purchase Common Stock on the reverse thereof duly
filled in and signed by the Holder thereof and (ii) payment to the Warrant Agent, for the account
of the Company, of the Exercise Price for each Warrant Share or other security issuable upon the
exercise of such Warrants then exercised. Such payment shall be made (i) in cash or by certified
or official bank check payable to the order of the Company or by wire transfer of funds to an
account designated by the Company for such purpose or (ii) without the payment of cash, by reducing
the number of shares of Common Stock obtainable upon the exercise of a Warrant and payment of the
Exercise Price in cash so as to yield a number of shares of Common Stock upon the exercise of such
Warrant equal to the product of (a) the number of shares of Common Stock issuable as of the
Exercise Date upon the exercise of such Warrant (if payment of the Exercise Price were being made
in cash) and (b) the Cashless Exercise Ratio. An exercise of a Warrant in accordance with the
immediately preceding sentence is herein called a “Cashless Exercise”. Upon surrender of a Warrant
Certificate representing more than one Warrant in connection with the Holder’s option to elect a
Cashless Exercise, the number of shares of Common Stock deliverable upon a Cashless Exercise shall
be equal to the number of shares of Common Stock issuable upon the exercise of Warrants that the
Holder specifies are to be exercised pursuant to a Cashless Exercise multiplied by the Cashless
Exercise Ratio. All provisions of this Agreement shall be applicable with respect to a surrender
of a Warrant Certificate pursuant to a Cashless Exercise for less than the full number of Warrants
represented thereby. Subject to Section 3.02, the rights represented by the Warrants shall be
exercisable at the election of the Holders thereof either in full at any time or from time to time
in part and in the event that a Warrant Certificate is surrendered for exercise of less than all
the Warrants represented by such Warrant Certificate at any time prior to the Expiration Date, a
new Warrant Certificate representing the remaining Warrants shall be issued. In the case of
certificated Warrants, the Warrant Agent shall countersign and deliver to the Holders the required
new Warrant Certificates, and the Company, at the Warrant Agent’s request, shall supply the Warrant
Agent with Warrant Certificates duly signed on behalf of the Company for such purpose.

          SECTION 3.05. Issuance of Warrant Shares. Subject to Section 2.06, upon the
surrender of Warrant Certificates and payment of the per share Exercise Price,
as set forth in Section 3.04, the Company shall issue and cause a transfer agent for the
Common Stock (the “Stock Transfer Agent”) to countersign and deliver to or upon the written order
of the Holder and in such name or names as the Holder may designate, a

 

18

certificate or certificates
for the number of full Warrant Shares so purchased upon the exercise of such Warrants or other
securities or property to which it is entitled, registered or otherwise, to the Person or Persons
entitled to receive the same (including any depositary institution so designated by a Holder),
together with cash as provided in Section 3.06 in respect of any fractional Warrant Shares
otherwise issuable upon such exercise. Such certificate or certificates shall be deemed to have
been issued and any Person so designated to be named therein shall be deemed to have become a
holder of record of such Warrant Shares as of the date of the surrender of such Warrant
Certificates and payment of the per share Exercise Price, as aforesaid; provided,
however, that if, at such date, the transfer books for the Warrant Shares shall be closed,
the certificates for the Warrant Shares in respect of which such Warrants are then exercised shall
be issuable as of the date on which such books shall next be opened and until such date the Company
shall be under no duty to deliver any certificates for such Warrant Shares; provided
further, however, that such transfer books, unless otherwise required by law, shall not
be closed at any one time for a period longer than 20 calendar days.

          SECTION 3.06. Fractional Warrant Shares. The Company shall not be required to issue
fractional Warrant Shares on the exercise of Warrants. If more than one Warrant shall be exercised
in full at the same time by the same Holder, the number of full Warrant Shares which shall be
issuable upon such exercise shall be computed on the basis of the aggregate number of Warrant
Shares which may be purchasable pursuant thereto. If any fraction of a Warrant Share would, except
for the provisions of this Section 3.06, be issuable upon the exercise of any Warrant (or specified
portion thereof), the Company shall be entitled to pay an amount in cash equal to the Current
Market Value per Warrant Share, as determined on the day immediately preceding the date the Warrant
is presented for exercise, multiplied by such fraction, computed to the nearest whole cent.

          SECTION 3.07. Reservation of Warrant Shares. The Company shall at all times keep
reserved out of its authorized shares of Common Stock a number of shares of Common Stock sufficient
to provide for the exercise of all outstanding Warrants. The registrar for the Common Stock (the
“Registrar”) shall at all times until the Expiration Date reserve such number of authorized shares
as shall be required for such purpose. The Company will keep a copy of this Agreement on file with
the Stock Transfer Agent. The Company will supply such Stock Transfer Agent with duly executed
stock certificates for such purpose and will itself provide or otherwise make available any cash
which may be payable as provided in Section 3.06. The Company will furnish to such Stock Transfer
Agent a copy of all notices of adjustments (and certificates related thereto) transmitted to each
Holder.

          Before taking any action which would cause an adjustment pursuant to Article IV to reduce the
Exercise Price below the then par value (if any) of the Common Stock, the Company shall take any
and all corporate action which may, in the opinion of its counsel, be necessary in order that the Company may validly and legally issue fully paid
and nonassessable shares of Common Stock at the Exercise Price as so adjusted.

 

19

          The Company covenants that all Warrant Shares which may be issued upon exercise of and payment
for Warrants in accordance with the provisions of this Agreement shall, upon issue, be fully paid,
nonassessable, free of preemptive rights, free from all stamp and documentary taxes and free from
all liens, charges and security interests with respect to the issue thereof.

          SECTION 3.08. Compliance with Law. (a) Notwithstanding anything in this Agreement
to the contrary, in no event shall a Holder be entitled to exercise a Warrant unless (i) a
registration statement filed under the Securities Act in respect of the issuance of the Warrant
Shares is then effective or (ii) in the opinion of counsel to the Company addressed to the Warrant
Agent the exercise of such Warrants is exempt from the registration requirements of the Securities
Act and such securities are qualified for sale or exempt from qualification under the applicable
securities laws of the states or other jurisdictions in which such Holders reside.

          (b) If any shares of Common Stock required to be reserved for purposes of the exercise of
Warrants require, under any other Federal or state law or applicable governing rule or regulation
of any national securities exchange, registration with or approval of any governmental authority,
or listing on any such national securities exchange before such shares may be issued upon exercise,
the Company will use its reasonable best efforts to cause such shares to be duly registered or
approved by such governmental authority or listed on the relevant national securities exchange, as
the case may be.

          SECTION 3.09. Drag-Along Right. (a) Subject to the terms and conditions of this
Section 3.09, and notwithstanding any other provision of this Agreement, if the Trust proposes to
sell 75% or more of the shares of Common Stock it then holds (the “Drag Sale Shares”) to a bona
fide unaffiliated third party or parties on an arm’s length basis in a single transaction or a
series of related transactions for cash or unrestricted marketable securities that are traded on a
U.S. stock exchange, over the counter or on a bulletin board, the Trust shall be entitled to
provide to the Holders, at least 20 days prior to the closing of such sale, written notice, in
accordance with Section 7.05 herein, of its good faith intention to sell the shares of Common
Stock, the name of the proposed transferee(s) (the “Proposed Transferee”), the price and other
material terms under which the sale is proposed to be made and that it is requiring the Holders to
exercise all or a portion of the Warrants, if any portion remains outstanding and unexpired
hereunder, and to sell the Warrant Shares obtained through such exercise, if any (the “Required
Exercise Shares”), as well as a certain number of the Warrant Shares then held by the Holders, if
any, to the Proposed Transferee on the terms and conditions contained therein (“Drag-Along
Notice”), such that the total number of Warrant Shares to be sold to the Proposed Transferee by the
Holder shall be equal to:

	 	 	 	 	 	 
	(A + B)

	 	x
	 	C
	 	 	D

	 	 	 	 	 	 	 
	where:

	 	A
	 	=
	 	the number of Warrant Shares then held by the Holder,

 

20

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	including the Required Exercise Shares;
	 
	 	 	 	 	 	 
	 

	 	B
	 	=
	 	the number of shares of Common Stock subject to the
outstanding, unexpired portion of the Warrant (if
any), after taking into account the exercise
required with respect to the Required Exercise
Shares;
	 
	 	 	 	 	 	 
	 

	 	C
	 	=
	 	the number of Drag Sale Shares; and
	 
	 	 	 	 	 	 
	 

	 	D
	 	=
	 	the total number of shares of Common Stock then held by the Trust,

subject to the limitation that if the sale price to the Proposed Transferee is less than the then
current Exercise Price, (i) the Holder shall not be required to exercise any portion of the Warrant
in order to sell to the Proposed Transferee the Warrant Shares that could be obtained by such
exercise, in connection with the proposed sale and (ii) that portion of the Warrant which the
Holder would have been required to exercise under this Section 3.09 in the absence of the preceding
clause (i), shall immediately expire and shall be and become void and of no value.

          The Holder shall be required to, and shall, comply with the terms of the Drag-Along Notice as
long as it is consistent with the terms of this Section 3.09. The Warrant Shares to be sold by the
Holder to the Proposed Transferee shall be sold to the Proposed Transferee at a purchase price
equal to the product of (x) the number of such Warrant Shares, and (y) the per share sale price of
the shares of Common Stock proposed to be sold by the Trust to the Proposed Transferee. The
Drag-Along Notice shall be deemed to be given and served in accordance with Section 7.05 below.

          (b) Notwithstanding any other provision of this Agreement, but subject to Section 3.09(f),
the Holder shall, within 15 days of receipt of a Drag-Along Notice, exercise the Warrants with
respect to the Required Exercise Shares in accordance with Section 3.04 above, provided that the
Exercise Date is deemed to occur concurrently with the consummation of the transaction which is the
subject of the Drag-Along Notice. If the Holder does not exercise the Warrants within the required
15-day period or exercises the Warrants without the appropriate payment in cash for the exercise of
the Warrant, or portion thereof, as appropriate (in all cases in accordance with Section 3.04
above), upon consummation of the transaction which is the subject of the Drag-Along Notice the
Holder will have been deemed to have made a Cashless Exercise in accordance with Section 3.04
above.

          (c) Promptly after receipt of the Drag-Along Notice, the Holder shall deliver to the Trust,
to hold in escrow pending closing of the transaction that is the subject of the Drag-Along Notice,
stock certificates in its possession (if any) representing its shares of Common Stock to be transferred, properly endorsed for transfer to the Proposed
Transferee.

 

21

          (d) The Trust shall, together with the Drag-Along Notice, provide to the Holder a fairness
opinion from an independent appraiser or investment bank selected by the Trust regarding the
transaction that is the subject of the Drag-Along Notice, provided that there shall be no such
requirement if the Trust has obtained such a fairness opinion for itself with respect to the
transaction that is the subject of the Drag-Along Notice.

          (e) The monetary value of any indemnity to be provided by the Holder to the Proposed
Transferee under the terms of its sale of Warrant Shares in accordance with this Section 3.09
(which indemnity may only cover non-operational matters the subject of the Holder’s representations
and warranties described in the following sentence) shall not exceed the monetary value of the
consideration it receives pursuant to the terms of such sale. The Holder’s representations and
warranties shall be limited to enforceability, the ownership of the Warrant Shares to be
transferred by such Holder, authority to transfer such Warrant Shares, that such Warrant Shares are
free of liens and encumbrances as of the transfer date and other standard and customary
non-operational representations and warranties.

          (f) Notwithstanding Section 3.09(b) above and subject to the limitations of Section 3.02,
3.03 and 3.04, after receiving a Drag-Along Notice, the Holder shall be entitled to exercise the
portion of the Warrant that is the subject of the Drag-Along Notice, provided that such exercise
shall only be given effect if the transaction relating to the Drag-Along Notice is terminated or is
not consummated within ninety (90) days of the date of delivery of the Drag-Along Notice by the
Trust. If the transaction that is the subject of a Drag-Along Notice delivered by the Trust to the
Holder in accordance with Section 3.09(a) herein (the “Drag Transaction”) is terminated or is not
consummated within ninety (90) days of the date of delivery of the Drag-Along Notice by the Trust,
then the Drag-Along Notice shall be deemed voided. Notwithstanding the foregoing, such 90-day
period will be stayed during any regulatory review period necessitated in connection with the Drag
Transaction.

          (g) The rights of the Trust under this Section 3.09 shall expire upon the consummation by the
Company of a Qualified Public Offering.

          (h) The Trust is a third party beneficiary of the rights contained in this Section 3.09 and
is entitled to bring enforcement actions with respect to such rights.

ARTICLE IV

Antidilution Provisions

          SECTION 4.01. Changes in Common Stock. In the event that at any time and from time
to time the Company shall (i) pay a dividend or make a distribution on the Common Stock in shares
of Common Stock or other shares of Capital Stock, (ii) subdivide its outstanding shares of Common
Stock into a larger number of shares of Common Stock, (iii) combine its outstanding shares of Common Stock into a smaller number of
shares of Common Stock or (iv) increase or decrease the number of shares of Common Stock
outstanding by reclassification of its Common Stock, then the number of

 

22

shares of Common Stock
issuable upon exercise of each Warrant immediately after the happening of such event shall be
adjusted so that, after giving effect to such adjustment, the Holder of each Warrant shall be
entitled to receive the number of shares of Common Stock upon exercise of such Warrant that such
Holder would have owned or would have been entitled to receive had such Warrants been exercised
immediately prior to the happening of the events described above (or, in the case of a dividend or
distribution of Common Stock, immediately prior to the record date therefor). An adjustment made
pursuant to this Section 4.01 shall become effective immediately after the distribution date,
retroactive to the record date therefor in the case of a dividend or distribution in shares of
Common Stock or other shares of Capital Stock, and shall become effective immediately after the
effective date in the case of a subdivision, combination or reclassification.

          SECTION 4.02. Cash Dividends and Other Distributions. In the event that at any time
and from time to time the Company shall distribute to all holders of Common Stock (i) any dividend
or other distribution (including any dividend or distribution made in connection with a
consolidation or merger in which the Company is the continuing corporation) of cash, evidences of
its indebtedness, shares of its Capital Stock or any other properties or securities or (ii) any
options, warrants or other rights to subscribe for or purchase any of the foregoing (other than, in
the case of clauses (i) and (ii) above, (A) any dividend or distribution described in Section 4.01
and (B) any rights, options, warrants or securities described in Section 4.03 or Section 4.04),
then the number of shares of Common Stock issuable upon the exercise of each Warrant immediately
prior to such record date for any such dividend or distribution shall be increased to a number
determined by multiplying the number of shares of Common Stock issuable upon the exercise of such
Warrant immediately prior to such record date for any such dividend or distribution by a fraction,
the numerator of which shall be the Current Market Value per share of Common Stock on the record
date for such dividend or distribution, and the denominator of which shall be such Current Market
Value per share of Common Stock less the sum of (x) the amount of cash, if any, distributed per
share of Common Stock and (y) the then fair value (as determined in good faith by the Board, whose
determination shall be evidenced by a board resolution filed with the Warrant Agent, a copy of
which will be sent to Holders upon request) of the portion, if any, of the distribution applicable
to one share of Common Stock consisting of evidences of indebtedness, shares of stock, securities,
other property, warrants, options or subscription or purchase rights; and subject to Section 4.08,
the Exercise Price shall be adjusted to a number determined by dividing the Exercise Price
immediately prior to such record date by the above fraction. Such adjustments shall be made, and
shall only become effective, whenever any dividend or distribution is made; provided,
however, that the Company is not required to make an adjustment pursuant to this Section
4.02 if at the time of such distribution the Company makes the same distribution to Holders of
Warrants as it makes to holders of Common Stock pro rata based on the number of shares of Common
Stock for which such Warrants are exercisable (whether or not currently exercisable). No
adjustment shall be made pursuant to this Section 4.02 which shall have the effect of decreasing the number of shares of Common Stock issuable upon exercise of each Warrant or
increasing the Exercise Price.

 

23

          SECTION 4.03. Common Stock Issue. In the event that at any time or from time to time
the Company shall issue shares of Common Stock for a consideration per share that is less than the
Current Market Value per share of Common Stock as of the issuance date of such shares, the number
of shares of Common Stock issuable upon the exercise of each Warrant immediately after such
issuance date shall be determined by multiplying the number of shares of Common Stock issuable upon
exercise of each Warrant immediately prior to such issuance date by a fraction, the numerator of
which shall be the number of shares of Common Stock outstanding immediately preceding the issuance
of such shares plus the number of additional shares of Common Stock to be issued in such
transaction, and the denominator of which shall be the number of shares of Common Stock outstanding
immediately preceding the date for the issuance of such shares plus the total number of shares of
Common Stock which the aggregate consideration expected to be received by the Company upon the
issuance of such shares (as determined in good faith by the Board, whose determination shall be
evidenced by a board resolution filed with the Warrant Agent, a copy of which will be sent by the
Warrant Agent to any Holder upon request by such Holder to the Warrant Agent) would purchase at the
Current Market Value per share of Common Stock as of the date of such issuance; and, subject to
Section 4.08, in the event of any such adjustment, the Exercise Price shall be adjusted to a number
determined by dividing the Exercise Price immediately prior to such date of issuance by the
aforementioned fraction; provided, however, that no adjustment to the number of
Warrant Shares issuable upon the exercise of the Warrants or to the Exercise Price shall be made as
a result of (i) the issuance of shares of Common Stock in bona fide public offerings that are
underwritten or in which a placement agent is retained by the Company, (ii) the issuance of options
or shares of Common Stock, interests in Common Stock and securities convertible into Common Stock
or whose value is derived or calculated with respect to Common Stock to officers, directors or
employees of the Company, (iii) the issuance of shares of Common Stock in connection with
acquisitions of products and businesses other than to Affiliates of the Company and (iv) the
issuance of shares of Common Stock upon the conversion, exchange or exercise of convertible,
exchangeable or exercisable securities of the Company outstanding on the Warrants Issue Date. Such
adjustment shall be made, and shall only become effective, whenever such shares are issued. No
adjustment shall be made pursuant to this Section 4.03 which shall have the effect of decreasing
the number of shares of Common Stock issuable upon exercise of each Warrant or increasing the
Exercise Price.

          SECTION 4.04. Issuance of Rights or Options. In the event that at any time or from
time to time the Company shall issue to all holders of Common Stock (i) rights, options or warrants
to acquire (provided, however, that no adjustment shall be made under Section 4.03
or this Section 4.04 upon the exercise of such rights, options or warrants), or (ii) securities
convertible, exchangeable or exercisable into (provided, however, that no
adjustment shall be made under Section 4.03 or this Section 4.04 upon the conversion or exchange of
such securities (other than issuances specified in clauses (i) or (ii) which are made as the result
of anti-dilution adjustments in such securities)), Common Stock entitling the holders thereof to subscribe for or purchase shares of Common Stock
at a price per share that is less than the Current Market Value per share of Common Stock in effect
immediately prior to such issuance other than in connection with

 

24

the adoption of a shareholder
rights plan by the Company, the number of shares of Common Stock issuable upon the exercise of each
Warrant immediately after such issuance shall be determined by multiplying the number of shares of
Common Stock issuable upon exercise of each Warrant immediately prior to such issuance by a
fraction, the numerator of which shall be the number of shares of Common Stock outstanding
immediately prior to the issuance of such rights, options, warrants or securities plus the number
of additional shares of Common Stock offered for subscription or purchase or into which such
securities are convertible or exchangeable, and the denominator of which shall be the number of
shares of Common Stock outstanding immediately prior to the issuance of such rights, options,
warrants or securities plus the total number of shares of Common Stock which the aggregate
consideration expected to be received by the Company upon the exercise, conversion or exchange of
such rights, options, warrants or securities (as determined in good faith by the Board, whose
determination shall be evidenced by a board resolution filed with the Warrant Agent, a copy of
which will be sent by the Warrant Agent to any Holder upon request by such Holder to the Warrant
Agent) would purchase at the Current Market Value per share of Common Stock as of the record date;
and, subject to Section 4.08, in the event of any such adjustment, the Exercise Price shall be
adjusted to a number determined by dividing the Exercise Price immediately prior to such date of
issuance by the aforementioned fraction. Such adjustment shall be made, and shall only become
effective, whenever such rights, options, warrants or securities are issued. No adjustment shall
be made pursuant to this Section 4.04 which shall have the effect of decreasing the number of
shares of Common Stock issuable upon exercise of each Warrant or increasing the Exercise Price.

          SECTION 4.05. Combination; Liquidation. (a) Except as provided in Section 4.05(b),
in the event of a Combination, each Holder shall have the right to receive upon exercise of the
Warrants the kind and amount of shares of Capital Stock or other securities or property which such
Holder would have been entitled to receive upon completion of or as a result of such Combination
had such Warrant been exercised immediately prior to such event or to the relevant record date for
any such entitlement. Unless paragraph (b) is applicable to a Combination, the Company shall
provide that the surviving or acquiring Person (the “Successor Company”) in such Combination will
enter into an agreement with the Warrant Agent confirming the Holders’ rights pursuant to this
Section 4.05(a) and providing for adjustments, which shall be as nearly equivalent as may be
practicable to the adjustments provided for in this Article IV. The provisions of this Section
4.05(a) shall similarly apply to successive Combinations involving any Successor Company.

          (b) In the event of (i) a Combination where consideration to the holders of Common Stock in
exchange for their shares is payable solely in cash or (ii) the dissolution, liquidation or
winding-up of the Company, the Holders of the Warrants shall be entitled to receive, upon surrender
of their Warrant Certificates, such cash distributions on an equal basis with the holders of Common
Stock or other securities
issuable upon exercise of the Warrants, as if the Warrants had been exercised immediately
prior to such event, less the Exercise Price.

 

25

          In the event of any Combination described in this Section 4.05(b), the surviving or acquiring
Person and, in the event of any dissolution, liquidation or winding-up of the Company, the Company,
shall deposit promptly with the Warrant Agent the funds, if any, necessary to pay the Holders of
the Warrants the amounts to which they are entitled as described above. After such funds and the
surrendered Warrant Certificates are received, the Warrant Agent shall make payment to the Holders
by delivering a check or wire transfer in such amount as is appropriate (or, in the case of
consideration other than cash, such other consideration as is appropriate) to such Person or
Persons as it may be directed in writing by the Holders surrendering such Warrants.

          SECTION 4.06. Superseding Adjustment. Upon the expiration of any rights, options,
warrants or conversion or exchange privileges which resulted in adjustments pursuant to this
Article IV, if any thereof shall not have been exercised, the number of Warrant Shares issuable
upon the exercise of each Warrant shall be readjusted pursuant to the applicable section of Article
IV as if (i) the only shares of Common Stock issuable upon exercise of such rights, options,
warrants, conversion or exchange privileges were the shares of Common Stock, if any, actually
issued upon the exercise of such rights, options, warrants or conversion or exchange privileges and
(ii) shares of Common Stock actually issued, if any, were issuable for the consideration actually
received by the Company upon such exercise plus the aggregate consideration, if any, actually
received by the Company for the issuance, sale or grant of all such rights, options, warrants or
conversion or exchange privileges whether or not exercised and the Exercise Price shall be
readjusted inversely; provided, however, that no such readjustment (except by
reason of an intervening adjustment under Section 4.01) shall have the effect of decreasing the
number of Warrant Shares issuable upon the exercise of each Warrant or increasing the Exercise
Price by an amount in excess of the amount of the adjustment initially made in respect of the
issuance, sale or grant of such rights, options, warrants or conversion or exchange privileges.

          SECTION 4.07. Minimum Adjustment. The adjustments required by the preceding sections
of this Article IV shall be made whenever and as often as any specified event requiring an
adjustment shall occur, except that no adjustment of the Exercise Price or the number of shares of
Common Stock issuable upon exercise of the Warrants that would otherwise be required shall be made
unless and until such adjustment either by itself or with other adjustments not previously made
increases or decreases by at least 1% of the Exercise Price or the number of shares of Common Stock
issuable upon exercise of the Warrants immediately prior to the making of such adjustment. Any
adjustment representing a change of less than such minimum amount shall be carried forward and made
as soon as such adjustment, together with other adjustments required by this Article IV and not
previously made, would result in a minimum adjustment. For the purpose of any adjustment, any
specified event shall be deemed to have occurred at the close of business on the date of its
occurrence. In computing adjustments under this Article IV, fractional interests in Common Stock
shall be taken into account to the nearest one-hundredth of a share.

          SECTION 4.08. Notice of Adjustment. Whenever the Exercise Price or the number of
shares of Common Stock and other property, if any, issuable upon exercise

 

26

of the Warrants is
adjusted, as herein provided, the Company shall deliver to the Warrant Agent a certificate of the
Company’s chief executive officer or chief financial officer setting forth, in reasonable detail,
the event requiring the adjustment and the method by which such adjustment was calculated
(including a description of the basis on which (i) the Board determined the then fair value of any
evidences of indebtedness, other securities or property or warrants, options or other subscription
or purchase rights and (ii) the Current Market Value of the Common Stock was determined, if either
of such determinations were required), and specifying the Exercise Price and the number of shares
of Common Stock issuable upon exercise of the Warrants after giving effect to such adjustment. The
Company shall promptly cause the Warrant Agent to mail a copy of such certificate to each Holder in
accordance with Section 7.05. The Warrant Agent shall be entitled to rely on such certificate and
shall be under no duty or responsibility with respect to any such certificate, except to exhibit
the same from time to time, to any Holder desiring an inspection thereof during reasonable business
hours. The Warrant Agent shall not at any time be under any duty or responsibility to any Holder
to determine whether any facts exist which may require any adjustment of the Exercise Price or the
number of shares of Common Stock or other stock or property issuable on exercise of the Warrants,
or with respect to the nature or extent of any such adjustment when made, or with respect to the
method employed in making such adjustment or the validity or value of any shares of Common Stock,
evidences of indebtedness, warrants, options, or other securities or property.

          SECTION 4.09. Notice of Certain Transactions. In the event that the Company shall
propose to (a) pay any dividend payable in securities of any class to the holders of its Common
Stock or to make any other non-cash dividend or distribution to the holders of its Common Stock,
(b) offer the holders of its Common Stock rights to subscribe for or to purchase any securities
convertible into shares of Common Stock or shares of stock of any class or any other securities,
rights or options, (c) issue any (i) shares of Common Stock, (ii) rights, options or warrants
entitling the holders thereof to subscribe for shares of Common Stock or (iii) securities
convertible into or exchangeable or exercisable for Common Stock (in the case of (i), (ii) and
(iii), if such issuance or adjustment would result in an adjustment hereunder), (d) effect any
capital reorganization, reclassification, consolidation or merger, (e) effect the voluntary or
involuntary dissolution, liquidation or winding-up of the Company or (f) make a tender offer or
exchange offer with respect to the Common Stock, the Company shall within five Business Days after
any such action or offer send to the Warrant Agent a notice and the Warrant Agent shall within five
Business Days after receipt thereof send the Holders a notice (in such form as shall be furnished
to the Warrant Agent by the Company) of such proposed action or offer. Such notice shall be mailed
by the Warrant Agent to the Holders at their addresses as they appear in the Certificate Register,
which shall specify the record date for the purposes of such dividend, distribution or rights, or
the date such issuance or event is to take place and the date of participation therein by the
holders of Common Stock, if any such date is to be fixed, and shall briefly indicate the effect, if
any, of such action on the Common Stock and on the number and kind of any other shares of stock and
on other property, if any, and the number of shares of Common Stock and other
property, if any, issuable upon exercise of each Warrant and the Exercise Price after giving
effect to any adjustment pursuant to Article IV which will be required as a result

 

27

of such action.
Such notice shall be given as promptly as possible and (x) in the case of any action covered by
clause (a) or (b) above, at least 10 days prior to the record date for determining holders of the
Common Stock for purposes of such action or (y) in the case of any other such action, at least 20
days prior to the date of the taking of such proposed action or the date of participation therein
by the holders of Common Stock, whichever shall be the earlier.

          SECTION 4.10. Adjustment to Warrant Certificate. The form of Warrant Certificate
need not be changed because of any adjustment made pursuant to this Article IV, and Warrant
Certificates issued after such adjustment may state the same Exercise Price and the same number of
shares of Common Stock issuable upon exercise of the Warrants as are stated in the Warrant
Certificates initially issued pursuant to this Agreement. The Company, however, may at any time in
its sole discretion make any change in the form of Warrant Certificate that it may deem appropriate
to give effect to such adjustments and that does not affect the substance of the Warrant
Certificate, and any Warrant Certificate thereafter issued or countersigned, whether in exchange or
substitution for an outstanding Warrant Certificate or otherwise, may be in the form as so changed.

ARTICLE V

Intentionally Omitted

ARTICLE VI

Warrant Agent

          SECTION 6.01. Appointment of Warrant Agent. The Company hereby appoints the Warrant
Agent to act as agent for the Company in accordance with the provisions of this Agreement and the
Warrant Agent hereby accepts such appointment.

          SECTION 6.02. Rights and Duties of Warrant Agent. (a) Agent for the
Company. In acting under this Warrant Agreement and in connection with the Warrant
Certificates, the Warrant Agent is acting solely as agent of the Company and does not assume any
obligation or relationship or agency or trust for or with any of the Holders of Warrant
Certificates or beneficial owners of Warrants.

          (b) Counsel. The Warrant Agent may consult with counsel satisfactory to it (who may
be counsel to the Company), and the advice of such counsel shall be full and complete authorization
and protection in respect of any action taken, suffered or omitted by it hereunder in good faith
and in accordance with the advice of such counsel.

          (c) Documents. The Warrant Agent shall be protected and shall incur no liability for
or in respect of any action taken or thing suffered by it in reliance upon any Warrant Certificate,
notice, opinion, direction, consent, certificate, affidavit, statement or
other paper or document reasonably believed by it to be genuine and to have been presented or
signed by the proper parties.

 

28

          (d) No Implied Obligations. The Warrant Agent shall be obligated to perform only
such duties as are specifically set forth herein and in the Warrant Certificates, and no implied
duties or obligations of the Warrant Agent shall be read into this Agreement or the Warrant
Certificates against the Warrant Agent. The Warrant Agent shall not be under any obligation to
take any action hereunder which may tend to involve it in any expense or liability for which it
does not receive indemnity if such indemnity is reasonably requested. The Warrant Agent shall not
be accountable or under any duty or responsibility for the use by the Company of any of the Warrant
Certificates countersigned by the Warrant Agent and delivered by it to the Holders or on behalf of
the Holders pursuant to this Agreement or for the application by the Company of the proceeds of the
Warrants. The Warrant Agent shall have no duty or responsibility in case of any default by the
Company in the performance of its covenants or agreements contained herein or in the Warrant
Certificates or in the case of the receipt of any written demand from a Holder with respect to such
default, including any duty or responsibility to initiate or attempt to initiate any proceedings at
law or otherwise.

          (e) Not Responsible for Adjustments or Validity of Stock. The Warrant Agent shall
not at any time be under any duty or responsibility to any Holder to determine whether any facts
exist that may require an adjustment of the number of shares of Common Stock issuable upon exercise
of each Warrant or the Exercise Price, or with respect to the nature or extent of any adjustment
when made, or with respect to the method employed, or herein or in any supplemental agreement
provided to be employed, in making the same. The Warrant Agent shall not be accountable with
respect to the validity or value of any shares of Common Stock or of any securities or property
which may at any time be issued or delivered upon the exercise of any Warrant or upon any
adjustment pursuant to Article IV, and it makes no representation with respect thereto. The
Warrant Agent shall not be responsible for any failure of the Company to make any cash payment or
to issue, transfer or deliver any shares of Common Stock or stock certificates upon the surrender
of any Warrant Certificate for the purpose of exercise or upon any adjustment pursuant to Article
IV, or to comply with any of the covenants of the Company contained in Article IV.

          SECTION 6.03. Individual Rights of Warrant Agent. The Warrant Agent and any
stockholder, director, officer or employee of the Warrant Agent may buy, sell or deal in any of the
Warrants or other securities of the Company or its affiliates or become pecuniarily interested in
transactions in which the Company or its affiliates may be interested, or contract with or lend
money to the Company or its affiliates or otherwise act as fully and freely as though it were not
the Warrant Agent under this Agreement. Nothing herein shall preclude the Warrant Agent from
acting in any other capacity for the Company or for any other legal entity.

          SECTION 6.04. Warrant Agent’s Disclaimer. The Warrant Agent shall not be responsible
for and makes no representation as to the validity or adequacy of this Agreement or the Warrant Certificates and it shall not be responsible for any statement in
this Agreement or the Warrant Certificates other than its countersignature thereon.

 

29

          SECTION 6.05. Compensation and Indemnity. The Company agrees to pay the Warrant
Agent from time to time reasonable compensation for its services as agreed and to reimburse the
Warrant Agent upon request for all reasonable out-of-pocket expenses incurred by it, including the
reasonable compensation and expenses of the Warrant Agent’s agents and counsel. The Company shall
indemnify the Warrant Agent, its officers, directors, agents and counsel against any loss,
liability, claim, damage or expense (including reasonable agents’ and attorneys’ fees and expenses)
incurred by it without gross negligence, willful misconduct or bad faith on its part arising out of
or in connection with (i) the execution, delivery or performance of this Agreement, the performance
by the parties hereto of their respective obligations hereunder or the consummation of the
transactions contemplated hereby or (ii) any claim, litigation, investigation or proceeding
relating to any of the foregoing whether or not the Warrant Agent is a party thereto, including the
costs and expenses of enforcing this Agreement. The Warrant Agent shall notify the Company
promptly of any claim for which it may seek indemnity. The Company need not reimburse any expense
or indemnify against any loss or liability incurred by the Warrant Agent through willful
misconduct, gross negligence or bad faith. The Company’s payment obligations pursuant to this
Section 6.05 shall survive the termination of this Agreement.

          To secure the Company’s payment obligations under this Agreement, the Warrant Agent shall have
a lien prior to the Holders on all money or property held or collected by the Warrant Agent.

          SECTION 6.06. Successor Warrant Agent. (a) The Company To Provide and Maintain
Warrant Agent. The Company agrees for the benefit of the Holders that there shall at all times
be a Warrant Agent hereunder until all the Warrants have been exercised or cancelled or are no
longer exercisable. Any Warrant Agent to qualify as the Warrant Agent hereunder must be able to
qualify as the trustee under the indenture relating to the Notes.

          (b) Resignation and Removal. The Warrant Agent may at any time resign by giving
written notice to the Company of such intention on its part, specifying the date on which its
desired resignation shall become effective; provided, however, that such date shall
not be less than 60 days after the date on which such notice is given unless the Company otherwise
agrees. The Warrant Agent hereunder may be removed at any time by the filing with it of an
instrument in writing signed by or on behalf of the Company and specifying such removal and the
date when it shall become effective, which date shall not be less than 60 days after such notice is
given unless the Warrant Agent otherwise agrees. Any removal under this Section 6.06 shall take
effect upon the appointment by the Company as hereinafter provided of a successor Warrant Agent
(which shall be a bank or trust company authorized under the laws of the jurisdiction of its
organization to exercise corporate trust powers) and the acceptance of such appointment by such
successor Warrant Agent.

          (c) The Company To Appoint Successor. In the event that at any time the Warrant
Agent shall resign, or shall be removed, or shall become incapable of acting, or shall be adjudged
bankrupt or insolvent, or shall commence a voluntary case under the

 

30

Federal bankruptcy laws, as now
or hereafter constituted, or under any other applicable U.S. Federal or state bankruptcy,
insolvency or similar law or shall consent to the appointment of or taking possession by a
receiver, custodian, liquidator, assignee, trustee, sequestrator (or other similar official) of the
Warrant Agent or its property or affairs, or shall make an assignment for the benefit of creditors,
or shall admit in writing its inability to pay its debts generally as they become due, or shall
take corporate action in furtherance of any such action, or a decree or order for relief by a court
having jurisdiction in the premises shall have been entered in respect of the Warrant Agent in an
involuntary case under the Federal bankruptcy laws, as now or hereafter constituted, or any other
applicable Federal or state bankruptcy, insolvency or similar law, or a decree or order by a court
having jurisdiction in the premises shall have been entered for the appointment of a receiver,
custodian, liquidator, assignee, trustee, sequestrator (or similar official) of the Warrant Agent
or of its property or affairs, or any public officer shall take charge or control of the Warrant
Agent or of its property or affairs for the purpose of rehabilitation, conservation, winding up or
liquidation, a successor Warrant Agent, qualified as aforesaid, shall be appointed by the Company
by an instrument in writing, filed with the successor Warrant Agent. Upon the appointment as
aforesaid of a successor Warrant Agent and acceptance by the successor Warrant Agent of such
appointment, the Warrant Agent shall cease to be Warrant Agent hereunder; provided,
however, that in the event of the resignation of the Warrant Agent under this subsection
(c), such resignation shall be effective on the earlier of (i) the date specified in the Warrant
Agent’s notice of resignation and (ii) the appointment and acceptance of a successor Warrant Agent
hereunder.

          (d) Successor To Expressly Assume Duties. Any successor Warrant Agent appointed
hereunder shall execute, acknowledge and deliver to its predecessor and to the Company an
instrument accepting such appointment hereunder, and thereupon such successor Warrant Agent,
without any further act, deed or conveyance, shall become vested with all the rights and
obligations of such predecessor with like effect as if originally named as Warrant Agent hereunder,
and such predecessor, upon payment of its charges and disbursements then unpaid, shall thereupon
become obligated to transfer, deliver and pay over, and such successor Warrant Agent shall be
entitled to receive, all monies, securities and other property on deposit with or held by such
predecessor, as Warrant Agent hereunder.

          (e) Successor by Merger. Any corporation into which the Warrant Agent hereunder may
be merged or consolidated, or any corporation resulting from any merger or consolidation to which
the Warrant Agent shall be a party, or any corporation to which the Warrant Agent shall sell or
otherwise transfer all or substantially all of its assets and business shall be the successor
Warrant Agent under this Agreement without the execution or filing of any paper or any further act
on the part of any of the parties hereto.

 

31

ARTICLE VII

Miscellaneous

          SECTION 7.01. SEC Reports. The Company shall file with the Warrant Agent for the
benefit of the Holders of Warrants, within 15 days after it files them with the SEC, copies of its
annual and quarterly reports and other information, documents and other reports (or copies of such
portions of any of the foregoing as the SEC may by rules and regulations prescribe) which the
Company is required to file with the SEC pursuant to Section 13 or 15(d) of the Exchange Act.

          SECTION 7.02. Persons Benefitting. Nothing in this Agreement is intended or shall be
construed to confer upon any Person other than the Company, the Warrant Agent and the Holders any
right, remedy or claim under or by reason of this Agreement or any part hereof, except as set forth
in Section 3.09.

          SECTION 7.03. Rights of Holders. Holders of unexercised Warrants are not entitled to
(i) receive dividends or other distributions, (ii) receive notice of or vote at any meeting of the
stockholders, (iii) consent to any action of the stockholders, (iv) receive notice of any other
proceedings of the Company, (v) exercise any preemptive right or (vi) exercise any other rights
whatsoever as stockholders of the Company.

          SECTION 7.04. Amendment. Any provision of this Agreement other than Section 3.09 may
be amended by the parties hereto without the consent of any Holder for the purpose of curing any
ambiguity, or of curing, correcting or supplementing any defective provision contained herein or
adding or changing any other provisions with respect to matters or questions arising under this
Agreement as the Company and the Warrant Agent may deem necessary or desirable (including without
limitation any addition or modification to provide for compliance with the transfer restrictions
set forth herein); provided, however, that such action shall not adversely affect
the rights of any of the Holders. Any amendment or supplement to this Agreement that has an
adverse effect on the interests of the Holders shall require the written consent of the Holders of
a majority of the then outstanding Warrants. The consent of each Holder affected shall be required
for any amendment pursuant to which the Exercise Price would be increased or the number of Warrant
Shares issuable upon exercise of Warrants would be decreased (other than pursuant to adjustments
provided for herein). Any amendment or supplement to Section 3.09 of this Agreement shall require
the written consent of the Holders of a majority of the shares underlying the then outstanding
Warrants and the then outstanding shares that were issued upon exercise of Warrants. In
determining whether the Holders of the required number of Warrants have concurred in any direction,
waiver or consent, Warrants or shares owned by the Company or by any Person directly or indirectly
controlling or controlled by or under direct or indirect common control with the Company shall be
disregarded and deemed not to be outstanding, except that, for the purpose of determining whether
the Warrant Agent shall be protected in relying on any such direction, waiver or consent, only
Warrants and shares which the Warrant Agent knows are so owned shall be so disregarded. Also,
subject to the foregoing, only

 

32

Warrants and shares outstanding at the time shall be considered in any such determination.

          SECTION 7.05. Notices. Any notice or communication shall be in writing and delivered
in Person or mailed by first-class mail addressed as follows:

          if to the Company:

Alion Science and Technology Corporation

1750 Tysons Boulevard

Suite 1300

McLean, VA 22102

Telephone: (703) 918-4480

Attention: General Counsel

          with a copy to:

Baker & McKenzie LLP

815 Connecticut Avenue, NW

Washington, DC 20006-4078

Telephone: (202) 452-7046

Facsimile: (202) 416-6931

Attention: David S. Cole, Esq.

          if to the Warrant Agent:

Wilmington Trust Company

1100 North Market Street

Wilmington, DE 19890-1615

Telephone: (302) 636-6395

Facsimile: (302) 636-4145

Attention: Corporate Capital Markets

Covington & Burling LLP

The New York Times Building

620 Eighth Avenue

New York, NY 10018

Telephone: (212) 841-1060

Facsimile: (212) 841-1010

Attention: Bruce C. Bennett, Esq.

          The Company or the Warrant Agent by notice to the other may designate additional or different
addresses for subsequent notices or communications.

 

33

          Any notice or communication mailed to a Holder shall be mailed to the Holder at the Holder’s
address as it appears on the Certificate Register and shall be sufficiently given if so mailed
within the time prescribed.

          Failure to mail a notice or communication to a Holder or any defect in it shall not affect its
sufficiency with respect to other Holders. If a notice or communication is mailed in the manner
provided above, it is duly given, whether or not the addressee receives it.

          SECTION 7.06. Governing Law. The laws of the State of New York shall govern this
Agreement and the Warrant Certificates.

          SECTION 7.07. Successors. All agreements of the Company in this Agreement and the
Warrant Certificates shall bind its successors. All agreements of the Warrant Agent in this
Agreement shall bind its successors.

          SECTION 7.08. Multiple Originals. The parties may sign any number of copies of this
Agreement. Each signed copy shall be an original, but all of them together represent the same
agreement. One signed copy is enough to prove this Agreement.

          SECTION 7.09. Table of Contents. The table of contents and headings of the Articles
and Sections of this Agreement have been inserted for convenience of reference only, are not
intended to be considered a part hereof and shall not modify or restrict any of the terms or
provisions hereof.

          SECTION 7.10. Severability. The provisions of this Agreement are severable, and if
any clause or provision shall be held invalid, illegal or unenforceable in whole or in part in any
jurisdiction, then such invalidity or unenforceability shall affect in that jurisdiction only such
clause or provision, or part thereof, and shall not in any manner affect such clause or provision
in any other jurisdiction or any other clause or provision of this Agreement in any jurisdiction.

 

34

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

	 	 	 	 	 
	 	ALION SCIENCE AND TECHNOLOGY

 CORPORATION,

 	 
	 	by  	/s/ Michael J. Alber 	 
	 	 	Name:  	Michael J. Alber 	 
	 	 	Title:  	Senior Vice President, Chief Financial Officer and Treasurer 	 
	 
	 	WILMINGTON TRUST COMPANY, as

 Warrant Agent,

 	 
	 	by  	/s/ Christopher J. Slaybaugh 	 
	 	 	Name:  	Christopher J. Slaybaugh 	 
	 	 	Title:  	Assistant Vice President 	 

 

 

EXHIBIT A

[FORM OF FACE OF WARRANT CERTIFICATE]

[Restricted Securities Legend]

     THIS SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM
REGISTRATION UNDER THE UNITED STATES SECURITIES ACT, AND THIS SECURITY MAY NOT BE OFFERED, SOLD OR
OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM.
EACH PURCHASER OF THIS SECURITY IS HEREBY NOTIFIED THAT THE SELLER OF THIS SECURITY MAY BE RELYING
ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A
THEREUNDER.

     THE HOLDER OF THIS SECURITY AGREES FOR THE BENEFIT OF THE COMPANY THAT (A) THIS SECURITY MAY
BE OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) TO THE COMPANY OR ITS SUBSIDIARIES,
(II) IN THE UNITED STATES TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED
INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE
REQUIREMENTS OF RULE 144A, (III) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN ACCORDANCE
WITH RULE 903 OR 904 UNDER THE SECURITIES ACT, (IV) PURSUANT TO AN EXEMPTION FROM REGISTRATION
UNDER THE SECURITIES ACT PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE), (V) TO AN “ACCREDITED
INVESTOR” WITHIN THE MEANING OF RULE 501(a)(1), (2), (3) OR (7) UNDER THE SECURITIES ACT THAT IS AN
INSTITUTIONAL ACCREDITED INVESTOR ACQUIRING THE SECURITY FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF
SUCH AN INSTITUTIONAL ACCREDITED INVESTOR IN EACH CASE IN A MINIMUM PRINCIPAL AMOUNT OF THE
SECURITIES OF $250,000, FOR INVESTMENT PURPOSES AND NOT WITH A VIEW TO OR FOR OFFER OR SALE IN
CONNECTION WITH ANY DISTRIBUTION IN VIOLATION OF THE SECURITIES ACT OR (VI) PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH OF CASES (I) THROUGH (VI) IN
ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES AND IN EACH OF
CASES (III), (IV) AND (V) SUBJECT TO THE COMPANY’S AND THE WARRANT AGENT’S RIGHT PRIOR TO ANY SUCH
OFFER, SALE OR TRANSFER TO REQUIRE THE DELIVERY OF AN OPINION OF COUNSEL, CERTIFICATION AND/OR
OTHER INFORMATION SATISFACTORY TO EACH OF THEM AND (B) THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER
IS REQUIRED TO, NOTIFY ANY PURCHASER OF THIS SECURITY FROM IT OF THE RESALE RESTRICTIONS REFERRED
TO IN (A) ABOVE.

     IN CONNECTION WITH ANY TRANSFER, THE HOLDER WILL DELIVER TO THE REGISTRAR AND TRANSFER AGENT
SUCH CERTIFICATES AND OTHER INFORMATION AS SUCH TRANSFER AGENT MAY REASONABLY

 

2

REQUIRE TO CONFIRM THAT THE TRANSFER COMPLIES WITH THE FOREGOING RESTRICTIONS.

[Definitive Securities Legend]

     UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO THE COMPANY OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME
OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC) ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY
PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO
NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF
THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET
FORTH IN THE WARRANT AGREEMENT REFERRED TO ON THE REVERSE HEREOF.

[Separability Legend]

     THE SECURITIES EVIDENCED BY THIS CERTIFICATE WERE INITIALLY ISSUED AS PART OF AN ISSUANCE OF
UNITS, EACH OF WHICH CONSISTS OF $1,000 PRINCIPAL AMOUNT OF 12% SENIOR SECURED NOTES DUE NOVEMBER
1, 2014 (A “NOTE”) OF ALION SCIENCE AND TECHNOLOGY CORPORATION (THE “COMPANY”) AND ONE WARRANT (A
“WARRANT”) TO PURCHASE 1.9439 SHARES OF COMMON STOCK, PAR VALUE $0.01 PER SHARE, OF THE COMPANY.
THE NOTES AND WARRANTS COMPRISING THE UNITS WILL NOT BE PERMITTED TO TRADE SEPARATELY UNTIL THE
EARLIER OF (I) THE DATE THAT IS THREE MONTHS AFTER THE WARRANTS ISSUE DATE AND (II) THE DATE OF THE
CLOSING OF AN EXCHANGE OFFER FOR THE NOTES OR THE EFFECTIVE DATE OF A SHELF REGISTRATION STATEMENT
WITH RESPECT TO THE NOTES.

[Regulation S Legend]

     THIS SECURITY (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION ORIGINALLY EXEMPT
FROM REGISTRATION UNDER THE SECURITIES ACT, AND MAY NOT BE TRANSFERRED IN THE UNITED STATES OR TO,
OR FOR THE ACCOUNT OR BENEFIT OF, ANY U.S. PERSON EXCEPT PURSUANT TO AN AVAILABLE EXEMPTION FROM
THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND ALL

 

3

APPLICABLE STATE SECURITIES LAWS. TERMS USED ABOVE HAVE THE MEANINGS GIVEN TO THEM IN
REGULATION S UNDER THE SECURITIES ACT.

     UNTIL ONE YEAR AFTER THE LATER OF COMMENCEMENT OR COMPLETION OF THE OFFERING, AN OFFER OR SALE
OF SECURITIES WITHIN THE UNITED STATES BY A DEALER (AS DEFINED IN THE SECURITIES ACT) MAY VIOLATE
THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT IF SUCH OFFER OR SALE IS MADE OTHERWISE THAN IN
ACCORDANCE WITH RULE 144A THEREUNDER.

[Drag Legend]

     ANY TRANSFER OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE IS SUBJECT TO THE CONDITIONS
(INCLUDING DRAG-ALONG RIGHTS) SPECIFIED IN THE WARRANT AGREEMENT (THE “WARRANT AGREEMENT”) DATED AS
OF MARCH 22, 2010 BETWEEN ALION SCIENCE AND TECHNOLOGY CORPORATION (THE “COMPANY”) AND WILMINGTON
TRUST COMPANY, SOLELY IN ITS CAPACITY AS WARRANT AGENT. BY ACCEPTING DELIVERY OF THE SECURITIES
REPRESENTED BY THIS CERTIFICATE, ANY TRANSFEREE SHALL BE DEEMED TO HAVE AGREED TO BE BOUND BY THE
WARRANT AGREEMENT AS IF THE TRANSFEREE HAD EXECUTED AND DELIVERED THE WARRANT AGREEMENT.

 

4

			
	 	 	 
	No. [     ]
	 	Certificate for [     ] Warrants

WARRANTS TO PURCHASE COMMON STOCK OF

ALION SCIENCE AND TECHNOLOGY CORPORATION

          THIS CERTIFIES THAT [                              ], or its registered assigns, is the registered holder of the number of Warrants set forth above (the “Warrants”). Each
Warrant entitles the holder thereof (the “Holder”), at its option and subject to the provisions
contained herein and in the Warrant Agreement referred to below, to purchase from ALION SCIENCE AND
TECHNOLOGY CORPORATION, a Delaware corporation (“the Company”), 1.9439 shares of Common Stock, par
value of $0.01 per share, of the Company (the “Common Stock”) at the per share exercise price of
$0.01 (the “Exercise Price”), or by Cashless Exercise referred to below. This Warrant Certificate
shall terminate and become void as of the close of business on March 15, 2017 (the “Expiration
Date”) or upon the exercise hereof as to all the shares of Common Stock subject hereto. The number
of shares issuable upon exercise of the Warrants and the Exercise Price per share shall be subject
to adjustment from time to time as set forth in the Warrant Agreement.

          This Warrant Certificate is issued under and in accordance with a Warrant Agreement dated as
of March 22, 2010 (the “Warrant Agreement”), between the Company and Wilmington Trust Company (in
such capacity, the “Warrant Agent”, which term includes any successor Warrant Agent under the
Warrant Agreement), and is subject to the terms and provisions contained in the Warrant Agreement,
to all of which terms and provisions the Holder of this Warrant Certificate consents by acceptance
hereof. The Warrant Agreement is hereby incorporated herein by reference and made a part hereof.
Reference is hereby made to the Warrant Agreement for a full statement of the respective rights,
limitations of rights, duties and obligations of the Company, the Warrant Agent and the Holders of
the Warrants. Capitalized terms used but not defined herein shall have the meanings ascribed
thereto in the Warrant Agreement. A copy of the Warrant Agreement may be obtained for inspection
by the Holder hereof upon written request to the Warrant Agent at 1100 North Market Street,
Wilmington, DE 19890-1615, Attention: Corporate Capital Markets.

          Subject to the terms of the Warrant Agreement, the Warrants may be exercised in whole or in
part (i) by presentation of this Warrant Certificate with the Election to Purchase attached hereto
duly executed and with the simultaneous payment of the Exercise Price in cash (subject to
adjustment) to the Warrant Agent for the account of the Company at the office of the Warrant Agent
or (ii) by Cashless Exercise. Payment of the Exercise Price in cash shall be made by certified or
official bank check payable to the order of the Company or by wire transfer of funds to an account
designated by the Company for such purpose. Payment by Cashless Exercise shall be made without the
payment of cash by reducing the amount of Common Stock that would be obtainable upon the exercise
of a Warrant and payment of the Exercise Price in cash so as to yield a number of shares of Common
Stock upon the exercise of such Warrant equal to the product of (1) the number of shares of Common
Stock for which such Warrant is exercisable as of the Exercise Date (if the Exercise Price were
being paid in cash) and (2)

 

5

a fraction, the numerator of which is the excess of the Current Market Value per share of
Common Stock on the Exercise Date over the Exercise Price per share as of the Exercise Date and the
denominator of which is the Current Market Value per share of the Common Stock on the Exercise
Date.

          As provided in the Warrant Agreement and subject to the terms and conditions therein set
forth, the Warrants shall be exercisable at any time and from time to time on any Business Day
after the first anniversary of the Warrants Issue Date; provided, however, that
Holders of Warrants will be able to exercise their Warrants only if (i) the exercise is pursuant to
an effective registration statement under the Securities Act or (ii) the exercise of such Warrants
is exempt from the registration requirements of the Securities Act of 1933 and such securities are
qualified for sale or exempt from qualification under the applicable securities laws of the states
or other jurisdictions in which such Holders reside; provided further,
however, that no Warrant shall be exercisable after March 15, 2017.

          In the event of a Combination, the Holder hereof will be entitled to receive upon exercise of
the Warrants the kind and amount of shares of capital stock or other securities or other property
as the Holder would have received had the Holder exercised its Warrants immediately prior to such
Combination; provided, however, that in the event that, in connection with such
Combination, consideration to holders of Common Stock in exchange for their shares is payable
solely in cash or in the event of the dissolution, liquidation or winding-up of the Company, the
Holder hereof will be entitled to receive such cash distributions on an equal basis with the
holders of Common Stock or other securities issuable upon exercise of the Warrants, as if the
Warrants had been exercised immediately prior to such Combination, less the Exercise Price.

          As provided in the Warrant Agreement, the number of shares of Common Stock issuable upon the
exercise of the Warrants and the Exercise Price are subject to adjustment upon the happening of
certain events.

          If the Alion Science and Technology Corporation Employee Ownership, Savings and Investment
Trust (the “Trust”) proposes to sell 75% or more of the common stock of the Company to a bona fide
unaffiliated third party or parties on an arm’s length basis in a single transaction or series of
related transactions for cash or unrestricted marketable securities traded on U.S. stock exchange,
over the counter or on a bulletin board, the Trust will have the right on 20 days notice to require
the Holders to exercise, within 15 days after receipt of written notice from the Trust, all or a
portion of their Warrants and to sell the shares underlying their Warrants that they obtain through
their exercise, and to sell all or certain shares underlying Warrants they exercised in the past
that they still hold, subject to certain limitations. If any Warrant holder fails to exercise
within such 15 days, the Warrant holder will be deemed to have made a Cashless Exercise. The
Trust’s drag-along rights will expire upon the consummation by the Company of a Qualified Public
Offering.

          The Company may require payment of a sum sufficient to pay all taxes, assessments or other
governmental charges in connection with the transfer or exchange of

 

6

the Warrant Certificates pursuant to Section 2.04 of the Warrant Agreement, but not for any
exchange or original issuance (not involving a transfer) with respect to temporary Warrant
Certificates, the exercise of the Warrants or the Warrant Shares.

          Upon any partial exercise of the Warrants in certificated form, there shall be countersigned
and issued to the Holder hereof a new Warrant Certificate representing those Warrants which were
not exercised. This Warrant Certificate may be exchanged at the office of the Warrant Agent by
presenting this Warrant Certificate properly endorsed with a request to exchange this Warrant
Certificate for other Warrant Certificates evidencing an equal number of Warrants. No fractional
Warrant Shares will be issued upon the exercise of the Warrants, but the Company shall pay an
amount in cash equal to the Current Market Value per Warrant Share on the day immediately preceding
the date the Warrant is exercised, multiplied by the fraction of a Warrant Share that would be
issuable on the exercise of any Warrant.

          All shares of Common Stock issuable by the Company upon the exercise of the Warrants and
payment therefor shall, upon such issue, be duly and validly issued and fully paid and
non-assessable.

          The holder in whose name the Warrant Certificate is registered may be deemed and treated by
the Company and the Warrant Agent as the absolute owner of the Warrant Certificate for all purposes
whatsoever and neither the Company nor the Warrant Agent shall be affected by notice to the
contrary.

          The Warrants do not entitle any Holder hereof to any of the rights of a stockholder of the
Company.

          This Warrant Certificate shall not be valid or obligatory for any purpose until it shall have
been countersigned by the Warrant Agent.

	 	 	 	 	 
	 	ALION SCIENCE AND TECHNOLOGY CORPORATION,

 	 
	 	by  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	by  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

DATED:

Countersigned:

 

7

	 	 	 	 	 
	WILMINGTON TRUST COMPANY,

as Warrant Agent,

 	 	 
	by  	 	 	 
	 	Authorized Signatory 	 	 

 

8

	 	 	 	 	 

FORM OF ELECTION TO PURCHASE WARRANT SHARES

(to be executed only upon exercise of Warrants)

ALION SCIENCE AND TECHNOLOGY CORPORATION

          The undersigned hereby irrevocably elects to exercise _______________ Warrants to acquire
shares of Common Stock, par value $0.01 per share, of ALION SCIENCE AND TECHNOLOGY CORPORATION, at
an exercise price per share of Common Stock of $0.01, and otherwise on the terms and conditions
specified in the within Warrant Certificate and the Warrant Agreement therein referred to,
surrenders this Warrant Certificate and all right, title and interest therein to ALION SCIENCE AND
TECHNOLOGY CORPORATION and directs that the shares of Common Stock deliverable upon the exercise of
such Warrants be registered or placed in the name and at the address specified below and delivered
thereto.

          The undersigned hereby acknowledges the restrictions on transfer of the Warrant Shares as set
forth fully in the Warrant Agreement. By accepting delivery of the Warrant Shares, any transferee
shall be deemed to have agreed to be bound by the transfer restrictions contained in the Warrant
Agreement as if the transferee had executed and delivered the Warrant Agreement.

Date: ______, ______

	 	 	 	 	 
	 	 	 
	 	 	1 
	 	(Signature of Owner) 	 
	 

	 	 	 	 	 
	 	 	 
	 	(Street Address) 	 
	 

	 	 	 	 	 
	 	 	 
	 	(City)               (State)               (Zip Code) 	 
	 

	 	 	 	 	 
	 	Signature Guaranteed by:

 	 
	 	 	 
	 

 

			
	1	 	The signature must correspond with the name as
written upon the face of the within Warrant Certificate (or the DTC participant
in the case of book-entry Warrants) in every particular, without alteration or
enlargement or any change whatever, and must be guaranteed by a national bank
or trust company or by a member firm of any national securities exchange.

 

9

Securities and/or check to be issued to:

Please insert social security or identifying number:

     Name:

     Street Address:

     City, State and Zip Code:

A new Warrant Certificate evidencing any unexercised Warrants evidenced by the within Warrant
Certificate is to be issued to:

     Please insert social security or identifying number:

     Name:

     Street Address:

     City, State and Zip Code:

 

10

          In connection with any transfer of any of the Warrants evidenced by this certificate occurring
prior to the latter of: (i) the earliest date that is no less than two years after the Warrants
Issue Date and on which all such Warrants (except for Warrants held by an affiliate of the Company)
are no longer subject to any restrictions on transfer under the Securities Act including those
pursuant to Rule 144 and (ii) the last date, if any, on which such Warrants were owned by the
Company or any Affiliate of the Company, the undersigned certifies that such Warrants are being
transferred in accordance with its terms:

CHECK ONE BOX BELOW

	 	(1)	o 	to the Company; or
	 
	 	(2)	o 	pursuant to an effective registration statement under the Securities Act of
1933; or
	 
	 	(3)	o 	outside the United States in an offshore transaction within the meaning of
Regulation S under the Securities Act in compliance with Rule 904 under the Securities
Act of 1933; or
	 
	 	(4)	o 	pursuant to Rule 144A under the Securities Act of 1933; or
	 
	 	(5)	o 	pursuant to another available exemption from registration provided by Rule
144 under the Securities Act of 1933.

          If such transfer is being made pursuant to an offshore transaction in accordance with Rule 904
under the Securities Act, the undersigned further certifies that:

     (i) the offer of the Warrants was not made to a person in the United States;

     (ii) either (a) at the time the buy offer was originated, the transferee was outside
the United States or we and any person acting on our behalf reasonably believed that the
transferee was outside the United States, or (b) the transaction was executed in, on or
through the facilities of a designated offshore securities market and neither we nor any
person acting on our behalf knows that the transaction has been pre-arranged with a buyer
in the United States;

     (iii) no directed selling efforts have been made in the United States in
contravention of the requirements of Rule 903 or Rule 904 of Regulation S, as applicable;

     (iv) the transaction is not part of a plan or scheme to evade the registration
requirements of the Securities Act;

     (v) we have advised the transferee of the transfer restrictions applicable to the
Warrants and the Warrant Shares;

 

11

     (vi) if the circumstances set forth in Rule 904(b)(1) under the Securities Act are
applicable, either (a) neither we nor any person acting on our behalf knows that the
transferee is a U.S. person or (b) we have complied with the additional conditions therein,
including (if applicable) sending a confirmation or other notice stating that the Warrants
may be offered and sold during the distribution compliance period specified in Rule 903 of
Regulation S only in accordance with Regulation S; pursuant to registration of the Warrants
under the Securities Act; or pursuant to an available exemption from the registration
requirements under the Securities Act; and

     (vii) we have advised the transferee that hedging transactions involving the Units or
the Warrants may not be conducted unless in compliance with the Securities Act.

          Unless one of the boxes is checked, the Warrant Agent will refuse to register any of the
Warrants evidenced by this certificate in the name of any person other than the registered holder
thereof; provided, however, that if box (3) or (4) is checked, the Warrant Agent
may require, prior to registering any such transfer of the Warrants, such legal opinions,
additional certifications and other information as the Company has reasonably requested to confirm
that such transfer is being made pursuant to an exemption from, or in a transaction not subject to,
the registration requirements of the Securities Act of 1933, such as the exemption provided by Rule
144 under such Act.

	 	 	 	 	 
	 	 	 
	 	 	 
	 	Signature 	 
	 	 	 
	 

Signature Guarantee:

	 	 	 	 	 	 	 
	 

	 	 
	 	 
	 	 
	 

	 	 	 	 	 	 
	Signature must be guaranteed

	 	 
	 	Signature
	 	 
	 
	 	 	 	 	 	 
	 

 

 

SCHEDULE OF INCREASES OR DECREASES IN GLOBAL SECURITY2

          The following increases or decreases in this Global Security:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Number of	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Warrants in	 	 	Signature	 
	 	 	 	 	 	 	 	 	 	 	this Global	 	 	of	 
	 	 	 	 	 	 	 	 	 	 	Warrant	 	 	authorized	 
	 	 	Decrease in number	 	 	Increase in number	 	 	Certificate	 	 	officer of	 
	Date of	 	of Warrants in	 	 	of Warrants in this	 	 	following	 	 	Warrant	 
	Exchange	 	this Global Security	 	 	Global Security	 	 	such change	 	 	Agent	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

			
	2	 	To be included only if the Warrant is in global form.exv10w95

Exhibit 10.95

EXECUTION
VERSION

 

 

CREDIT AGREEMENT

dated as of March 22, 2010,

among

ALION
SCIENCE AND TECHNOLOGY CORPORATION,

THE LENDERS PARTY HERETO

and

CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH,

as Administrative Agent

 

CREDIT
SUISSE SECURITIES (USA) LLC,

as Sole Bookrunner and Sole Lead Arranger

 

 

[CS&M Ref No. 5865-696]

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE I	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	Definitions	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 1.01.
	 	Defined Terms	 	 	1	 
	SECTION 1.02.
	 	Terms Generally	 	 	24	 
	SECTION 1.03.
	 	Pro Forma Calculations	 	 	25	 
	SECTION 1.04.
	 	Classification of Loans and Borrowings	 	 	25	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE II	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	The Credits	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 2.01.
	 	Commitments	 	 	25	 
	SECTION 2.02.
	 	Loans	 	 	25	 
	SECTION 2.03.
	 	Borrowing Procedure	 	 	27	 
	SECTION 2.04.
	 	Evidence of Debt; Repayment of Loans	 	 	27	 
	SECTION 2.05.
	 	Fees	 	 	28	 
	SECTION 2.06.
	 	Interest on Loans	 	 	29	 
	SECTION 2.07.
	 	Default Interest	 	 	30	 
	SECTION 2.08.
	 	Alternate Rate of Interest	 	 	30	 
	SECTION 2.09.
	 	Termination and Reduction of Commitments	 	 	30	 
	SECTION 2.10.
	 	Conversion and Continuation of Borrowings	 	 	31	 
	SECTION 2.11.
	 	Optional Prepayment	 	 	32	 
	SECTION 2.12.
	 	Mandatory Prepayments	 	 	33	 
	SECTION 2.13.
	 	Reserve Requirements; Change in Circumstances	 	 	34	 
	SECTION 2.14.
	 	Change in Legality	 	 	35	 
	SECTION 2.15.
	 	Indemnity	 	 	35	 
	SECTION 2.16.
	 	Pro Rata Treatment	 	 	36	 
	SECTION 2.17.
	 	Sharing of Setoffs	 	 	36	 
	SECTION 2.18.
	 	Payments	 	 	37	 
	SECTION 2.19.
	 	Taxes	 	 	37	 
	SECTION 2.20.
	 	Assignment of Commitments Under
Certain Circumstances; Duty to Mitigate	 	 	40	 
	SECTION 2.21.
	 	Swingline Loans	 	 	41	 
	SECTION 2.22.
	 	Letters of Credit	 	 	43	 
	SECTION 2.23.
	 	Incremental Commitments	 	 	48	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE III	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	Representations and Warranties	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 3.01.
	 	Organization; Powers	 	 	50	 
	SECTION 3.02.
	 	Authorization	 	 	50	 

 

 

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	 
	SECTION 3.03.
	 	Enforceability	 	 	50	 
	SECTION 3.04.
	 	Governmental Approvals	 	 	51	 
	SECTION 3.05.
	 	Financial Statements	 	 	51	 
	SECTION 3.06.
	 	No Material Adverse Change	 	 	51	 
	SECTION 3.07.
	 	Title to Properties; Possession Under Leases	 	 	51	 
	SECTION 3.08.
	 	Subsidiaries	 	 	52	 
	SECTION 3.09.
	 	Litigation; Compliance with Laws	 	 	52	 
	SECTION 3.10.
	 	Agreements	 	 	53	 
	SECTION 3.11.
	 	Federal Reserve Regulations	 	 	53	 
	SECTION 3.12.
	 	Investment Company Act	 	 	53	 
	SECTION 3.13.
	 	Use of Proceeds	 	 	53	 
	SECTION 3.14.
	 	Tax Returns	 	 	53	 
	SECTION 3.15.
	 	No Material Misstatements	 	 	53	 
	SECTION 3.16.
	 	Employee Benefit Plans	 	 	54	 
	SECTION 3.17.
	 	Environmental Matters	 	 	54	 
	SECTION 3.18.
	 	Insurance	 	 	54	 
	SECTION 3.19.
	 	Security Documents	 	 	54	 
	SECTION 3.20.
	 	Location of Real Property and Leased Premises	 	 	55	 
	SECTION 3.21.
	 	Labor Matters	 	 	55	 
	SECTION 3.22.
	 	Solvency	 	 	56	 
	SECTION 3.23.
	 	ESOP	 	 	56	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE IV	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	Conditions of Lending	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 4.01.
	 	All Credit Events	 	 	58	 
	SECTION 4.02.
	 	First Credit Event       	 	 	58	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE V	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	Affirmative Covenants	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 5.01.
	 	Existence; Businesses and Properties	 	 	61	 
	SECTION 5.02.
	 	Insurance	 	 	62	 
	SECTION 5.03.
	 	Obligations and Taxes	 	 	62	 
	SECTION 5.04.
	 	Financial Statements, Reports, etc	 	 	63	 
	SECTION 5.05.
	 	Litigation and Other Notices	 	 	65	 
	SECTION 5.06.
	 	Information Regarding Collateral	 	 	66	 
	SECTION 5.07.
	 	Maintaining Records; Access to Properties and Inspections	 	 	66	 
	SECTION 5.08.
	 	Use of Proceeds	 	 	66	 
	SECTION 5.09.
	 	Further Assurances	 	 	66	 

 

 

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE VI	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	Negative Covenants	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 6.01.
	 	Indebtedness	 	 	68	 
	SECTION 6.02.
	 	Liens	 	 	70	 
	SECTION 6.03.
	 	Sale and Lease-Back Transactions	 	 	71	 
	SECTION 6.04.
	 	Investments, Loans and Advances	 	 	72	 
	SECTION 6.05.
	 	Mergers, Consolidations, Sales of Assets and Acquisitions	 	 	73	 
	SECTION 6.06.
	 	Restricted Payments; Restrictive Agreements	 	 	74	 
	SECTION 6.07.
	 	Transactions with Affiliates	 	 	75	 
	SECTION 6.08.
	 	Business of the Borrower and Subsidiaries	 	 	75	 
	SECTION 6.09.
	 	Other Indebtedness and Agreements	 	 	75	 
	SECTION 6.10.
	 	Assets as Plan Assets	 	 	76	 
	SECTION 6.11.
	 	Prohibited Transaction	 	 	76	 
	SECTION 6.12.
	 	Maximum Capital Expenditures	 	 	76	 
	SECTION 6.13.
	 	Minimum Consolidated EBITDA	 	 	76	 
	SECTION 6.14.
	 	Fiscal Year	 	 	76	 
	SECTION 6.15.
	 	Earn-Out Obligations	 	 	76	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE VII	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	Events of Default	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE VIII	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	The Administrative Agent and the Collateral Agent	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	ARTICLE IX	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	Miscellaneous	 	 	 	 
	 
	 	 	 	 	 	 
	SECTION 9.01.
	 	Notices; Electronic Communications	 	 	84	 
	SECTION 9.02.
	 	Survival of Agreement	 	 	86	 
	SECTION 9.03.
	 	Binding Effect	 	 	87	 
	SECTION 9.04.
	 	Successors and Assigns	 	 	87	 
	SECTION 9.05.
	 	Expenses; Indemnity	 	 	92	 
	SECTION 9.06.
	 	Right of Setoff	 	 	93	 
	SECTION 9.07.
	 	Applicable Law	 	 	93	 
	SECTION 9.08.
	 	Waivers; Amendment	 	 	94	 
	SECTION 9.09.
	 	Interest Rate Limitation	 	 	95	 
	SECTION 9.10.
	 	Entire Agreement	 	 	95	 
	SECTION 9.11.
	 	WAIVER OF JURY TRIAL	 	 	95	 
	SECTION 9.12.
	 	Severability	 	 	96	 
	SECTION 9.13.
	 	Counterparts	 	 	96	 

 

 

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	 
	 	 	 	 	 	 
	SECTION 9.14.
	 	Headings	 	 	96	 
	SECTION 9.15.
	 	Jurisdiction; Consent to Service of Process	 	 	96	 
	SECTION 9.16.
	 	Confidentiality	 	 	97	 
	SECTION 9.17.
	 	Lender Action	 	 	98	 
	SECTION 9.18.
	 	USA PATRIOT Act Notice	 	 	98	 
	SECTION 9.19.
	 	Application of Proceeds	 	 	98	 

SCHEDULES

	 	 	 	 	 
	Schedule 1.01(a)

	 	—
	 	ESOP Plan Documents
	Schedule 1.01(b)

	 	—
	 	Subsidiary Guarantors
	Schedule 2.01

	 	—
	 	Lenders and Commitments
	Schedule 3.04(b)

	 	—
	 	Material Contracts
	Schedule 3.08(a)

	 	—
	 	Subsidiaries
	Schedule 3.08(b)

	 	 	 	Insignificant Subsidiaries
	Schedule 3.09

	 	—
	 	Material Litigation
	Schedule 3.17

	 	—
	 	Material Environmental Matters
	Schedule 3.18

	 	—
	 	Insurance
	Schedule 3.19(a)

	 	—
	 	UCC Filing Offices
	Schedule 3.20(a)

	 	—
	 	Owned Real Property
	Schedule 3.20(b)

	 	—
	 	Leased Real Property
	Schedule 3.23

	 	—
	 	Certain ESOP Plan Documents Exceptions
	Schedule 6.01

	 	—
	 	Indebtedness Existing on the Closing Date
	Schedule 6.02

	 	—
	 	Liens Existing on the Closing Date
	Schedule 6.04

	 	—
	 	Investments Existing on the Closing Date

EXHIBITS

	 	 	 	 	 
	Exhibit A

	 	—
	 	Form of Administrative Questionnaire
	Exhibit B

	 	—
	 	Form of Assignment and Acceptance
	Exhibit C

	 	—
	 	Form of Borrowing Request
	Exhibit D

	 	—
	 	Form of Guarantee Agreement
	Exhibit E

	 	—
	 	Form of Security Agreement
	Exhibit F

	 	—
	 	Form of Notice of Conversion/Continuation
	Exhibit G

	 	—
	 	Form of Notice of Prepayment
	Exhibit H

	 	—
	 	Form of Opinion of Baker & McKenzie LLP
	Exhibit I-1

	 	—
	 	Form of Revolving Promissory Note
	Exhibit I-2

	 	—
	 	Form of Incremental Term Note
	Exhibit J

	 	—
	 	Form of Intercreditor Agreement

 

 

     CREDIT AGREEMENT dated as of March 22, 2010, among ALION SCIENCE
AND TECHNOLOGY CORPORATION, a Delaware corporation (the “Borrower”), the
LENDERS (as defined in Article I) and CREDIT SUISSE AG, CAYMAN ISLANDS
BRANCH, as administrative agent (in such capacity, including any successor
thereto, the “Administrative Agent”) for the Lenders.

     The Borrower has requested the Lenders to extend credit in the form of Revolving Loans at any
time and from time to time prior to the Maturity Date, in an aggregate principal amount at any time
outstanding not in excess of $25,000,000. The Borrower has requested the Swingline Lender to
extend credit, at any time and from time to time prior to the Maturity Date, in the form of
Swingline Loans, in an aggregate principal amount at any time outstanding not in excess of
$5,000,000, and the Issuing Bank to issue Letters of Credit, in an aggregate face amount at any
time outstanding not in excess of $10,000,000. The proceeds of the Loans are to be used solely for
ongoing working capital needs and other general corporate purposes, including to finance Permitted
Acquisitions. The Letters of Credit will be used solely to support payment obligations incurred in
the ordinary course of business by the Borrower and the Subsidiaries.

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

ARTICLE I

Definitions

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

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

     “Acquired Entity” shall have the meaning assigned to such term in Section 6.04(g).

     “Adjusted LIBO Rate” shall mean, with respect to any Eurodollar Borrowing for any Interest
Period, an interest rate per annum equal to the greater of (a) 2.50% per annum and (b) the product
of (i) the LIBO Rate in effect for such Interest Period and (ii) Statutory Reserves.

     “Administrative Agent” shall have the meaning assigned to such term in introductory statement
to this Agreement.

 

2

     “Administrative Agent Fees” shall have the meaning assigned to such term in Section 2.05(b).

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

     “Affiliate” shall mean, when used with respect to a specified person, another person that
directly, or indirectly through one or more intermediaries, Controls or is Controlled by or is
under common Control with the person specified; provided, however, that, for purposes of Section
6.07, the term “Affiliate” shall also include any person that directly or indirectly owns 5% or
more of any class of Equity Interests of the person specified or that is an officer or director of
the person specified.

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

     “Agreement” shall mean this Credit Agreement, as it may be amended, restated, supplemented or
otherwise modified from time to time, including the Schedules and Exhibits hereto.

     “Alternate Base Rate” shall mean, for any day, a rate per annum equal to the greatest of (a)
the Prime Rate in effect on such day, (b) the Federal Funds Effective Rate in effect on such day
plus 1/2 of 1% and (c) the Adjusted LIBO Rate on such day for a one-month Interest Period
commencing on such day plus 1%. If the Administrative Agent shall have determined (which
determination shall be conclusive absent manifest error) that it is unable to ascertain the Federal
Funds Effective Rate or the Adjusted LIBO Rate for any reason, including the inability or failure
of the Administrative Agent to obtain sufficient quotations in accordance with the terms of the
definition of Federal Funds Effective Rate, the Alternate Base Rate shall be determined without
regard to clause (b) or clause (c), as applicable, of the preceding sentence until the
circumstances giving rise to such inability no longer exist. Any change in the Alternate Base Rate
due to a change in the Prime Rate, the Federal Funds Effective Rate or the Adjusted LIBO Rate shall
be effective on the effective date of such change in the Prime Rate, the Federal Funds Effective
Rate or the Adjusted LIBO Rate, as the case may be.

     “Applicable Percentage” shall mean, for any day, (a) with respect to any Eurodollar Loan,
6.00%, and (b) with respect to any ABR Loan (including any Swingline Loan), 5.00%.

     “Arranger” shall mean Credit Suisse Securities (USA) LLC.

     “Asset Sale” shall mean the sale, transfer or other disposition (including by way of merger,
amalgamation, casualty, condemnation or otherwise) by the Borrower or any of the Subsidiaries to
any person other than the Borrower or any Subsidiary Guarantor of (a) any Equity Interests of any
of the Subsidiaries (other than directors’ qualifying shares) or (b) any other assets of the
Borrower or any of the Subsidiaries (other than (i) inventory, damaged, obsolete or worn out
assets, scrap and Permitted Investments, in each case disposed of in the ordinary course of
business, (ii) non-exclusive licenses of

 

3

intellectual property and sale or discount of overdue accounts receivable in connection with
collections, in each case made in the ordinary course of business, and (iii) dispositions between
or among Foreign Subsidiaries); provided that any transaction or series of related transactions
described in clause (b) above having a value not in excess of $350,000 shall be deemed not to be an
“Asset Sale” for purposes of this Agreement.

     “Assignment and Acceptance” shall mean an assignment and acceptance entered into by a Lender
and an assignee, and accepted by the Administrative Agent, in the form of Exhibit B or such other
form as shall be approved by the Administrative Agent.

     “Assignment of Claims Act” shall mean the Assignment of Claims Act of 1940, as amended from
time to time.

     “Bank Obligations” shall mean (a) the Loan Document Obligations and (b) the due and punctual
payment and performance of all obligations of each Loan Party under each Hedging Agreement that (i)
is in effect on the Closing Date with a counterparty that is a Lender or an Affiliate of a Lender
as of the Closing Date or (ii) is entered into after the Closing Date with any counterparty that is
a Lender or an Affiliate of a Lender at the time such Hedging Agreement is entered into.

     “Bank Secured Parties” shall mean (a) the Lenders, (b) the Administrative Agent, (c) each
Issuing Bank, (d) each counterparty to any Hedging Agreement with a Loan Party that (i) is in
effect on the Closing Date if such counterparty is a Lender or an Affiliate of a Lender as of the
Closing Date or (ii) is entered into after the Closing Date if such counterparty is a Lender or an
Affiliate of a Lender at the time such Hedging Agreement is entered into, (e) the beneficiaries of
each indemnification obligation undertaken by any Loan Party under any Loan Document and (f) the
successors and permitted assigns of each of the foregoing.

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

     “Borrower” shall have the meaning assigned to such term in the introductory statement to this
Agreement.

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

     “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.

     “Business Day” shall mean any day other than a Saturday, Sunday or day on which banks in New
York City are authorized or required by law to close; provided, however, that when used in
connection with a Eurodollar Loan, the term “Business Day” shall also exclude any day on which
banks are not open for dealings in dollar deposits in the London interbank market.

 

4

     “Capital Expenditures” shall mean, for any period, without duplication, (a) the additions to
property, plant and equipment and other capital expenditures of the Borrower and its consolidated
Subsidiaries that are (or should be) set forth in a consolidated statement of cash flows of the
Borrower for such period prepared in accordance with GAAP and (b) Capital Lease Obligations or
Synthetic Lease Obligations incurred by the Borrower and its consolidated Subsidiaries during such
period, but excluding in each case any such expenditure made to restore, replace or rebuild
property to the condition of such property immediately prior to any damage, loss, destruction or
condemnation of such property, to the extent such expenditure is made with insurance proceeds,
condemnation awards or damage recovery proceeds relating to any such damage, loss, destruction or
condemnation.

     “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 GAAP, and the amount of
such obligations shall be the capitalized amount thereof determined in accordance with GAAP.

     A “Change in Control” shall be deemed to have occurred if (a) prior to a Qualified Public
Offering, the ESOT shall fail to own, directly or indirectly, beneficially and of record, shares
representing at least 51% of each of the aggregate ordinary voting power and aggregate equity value
represented by the issued and outstanding Equity Interests of the Borrower, (b) after a Qualified
Public Offering, any “person” or “group” (within the meaning of the Securities Exchange Act of 1934
and the rules of the Securities and Exchange Commission thereunder as in effect on the date hereof)
other than the ESOT becomes, directly or indirectly, the beneficial owner of Equity Interests in
the Borrower representing more than 37.5% of the aggregate ordinary voting power represented by the
issued and outstanding Equity Interests of the Borrower, (c) a majority of the seats (other than
vacant seats) on the board of directors of the Borrower shall at any time be occupied by persons
who were neither (i) nominated by the board of directors of the Borrower nor (ii) appointed by
directors so nominated, or (d) any change in control (or similar event, however denominated) with
respect to the Borrower shall occur under and as defined in the Senior Secured Notes Indenture or
any other indenture or agreement in respect of Material Indebtedness to which the Borrower or any
Subsidiary is a party.

     “Change in Law” shall mean (a) the adoption of any law, rule or regulation after the Closing
Date, (b) any change in any law, rule or regulation or in the interpretation or application thereof
by any Governmental Authority after the Closing Date or (c) compliance by any Lender or the Issuing
Bank (or, for purposes of Section 2.13, by any lending office of such Lender or by such Lender’s or
Issuing Bank’s holding company, if any) with any request, guideline or directive (whether or not
having the force of law) of any Governmental Authority made or issued after the Closing Date.

     “Class”, when used in reference to any Loan or Borrowing, refers to whether such Loan, or the
Loans comprising such Borrowing, are Tranche A Revolving Loans,

 

5

Tranche B Revolving Loans, Incremental Term Loans or Swingline Loans and, when used in
reference to any Commitment, refers to whether such Commitment is a Tranche A Revolving Credit
Commitment, a Tranche B Revolving Credit Commitment, a Swingline Commitment or an Incremental Term
Commitment.

     “Closing Date” shall mean March 22, 2010.

     “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time.

     “Collateral” shall mean all the “Collateral” as defined in any Security Document.

     “Collateral Agent” shall mean Wilmington Trust Company, in its capacity as collateral agent
under the Security Documents, and any successor thereto.

     “Commitment” shall mean, with respect to any Lender, such Lender’s Tranche A Revolving Credit
Commitment, Tranche B Revolving Credit Commitment, Swingline Commitment and/or Incremental
Commitment.

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

     “Consolidated EBITDA” shall mean, for any period, Consolidated Net Income for such period
plus (a) without duplication and to the extent deducted in determining such Consolidated
Net Income, the sum of (i) consolidated interest expense for such period, (ii) consolidated income
tax expense for such period, (iii) all amounts attributable to depreciation and amortization,
including amortization of goodwill and other intangible assets, for such period, (iv) cash
contributions to the ESOP during such period in respect of the repurchase liability of the Borrower
under the ESOP Plan Documents, (v) any non-cash charges or expenses (other than the write-down of
current assets) for such period, including (A) non-cash expenses associated with the recognition of
the difference between the fair market value of the Warrants and the exercise price of such
Warrants, (B) non-cash expenses with respect to stock appreciation rights, phantom stock plans, the
Warrants and accretion of the Warrants and (C) non-cash contributions to the ESOP, (vi) any
extraordinary losses for such period and (vii) any non-recurring charges and adjustments for such
period treated as such by the independent third-party valuation firm that prepares valuation
reports in connection with the ESOP and minus (b) without duplication (i) all cash payments
made during such period on account of reserves, restructuring charges and other non-cash charges
added to Consolidated Net Income pursuant to clause (a)(v) above in a previous period and (ii) to
the extent included in determining such Consolidated Net Income, any extraordinary gains and all
non-cash items of income for such period, all determined on a consolidated basis in accordance with
GAAP.

     “Consolidated Net Income” shall mean, for any period, the net income or loss of the Borrower
and the Subsidiaries for such period determined on a consolidated basis in accordance with GAAP;
provided that there shall be excluded (a) the income of any Subsidiary to the extent that the
declaration or payment of dividends or similar

 

6

distributions by the Subsidiary of that income is not at the time permitted by operation of
the terms of its charter or any agreement, instrument, judgment, decree, statute, rule or
governmental regulation applicable to such Subsidiary, (b) the income or loss of any person accrued
prior to the date it becomes a Subsidiary or is merged into or consolidated with the Borrower or
any Subsidiary or the date that such person’s assets are acquired by the Borrower or any
Subsidiary, (c) any gains or losses attributable to sales of assets out of the ordinary course of
business and the transaction costs in connection with such sales and (d) any income or loss
attributable to the early extinguishment of Indebtedness.

     “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.

     “Controlled Group” shall mean the group consisting of (a) any corporation which is a member of
the same controlled group of corporations (within the meaning of Section 414(b) of the Code) as the
Borrower, (b) a partnership or other trade or business (whether or not incorporated) which is under
common control (within the meaning of Section 414(c) of the Code) with the Borrower, and (c) a
member of the same affiliated service group (within the meaning of Section 414(m) of the Code) as
the Borrower, any corporation described in clause (a) above or any partnership or trade or business
described in clause (b) above.

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

     “Credit Facility” shall mean the revolving credit facility provided for by this Agreement.

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

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

 

7

furtherance of, or indicating its consent to, approval of or acquiescence in any such
proceeding or appointment or has a parent company that has become the subject of a bankruptcy or
insolvency proceeding, or has had a receiver, conservator, trustee, custodian or similar entity
appointed for it, or has taken any action in furtherance of, or indicating its consent to, approval
of or acquiescence in any such proceeding or appointment.

     “Disqualified Stock” shall mean any Equity Interest that, 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 for Qualified Capital Stock), pursuant to
a sinking fund obligation or otherwise, or is redeemable at the option of the holder thereof (other
than for Qualified Capital Stock), in whole or in part, or requires the payment of any cash
dividend or any other scheduled cash payment constituting a return of capital, in each case at any
time on or prior to the date that is 180 days after the Maturity Date, or (b) is convertible into
or exchangeable (unless at the sole option of the issuer thereof) for (i) debt securities or (ii)
any Equity Interest referred to in clause (a) above, in each case at any time prior to the date
that is 180 days after the Maturity Date; provided, however, that if such Equity Interest is issued
to any employee or to any plan for the benefit of employees of the Borrower or any of its
Subsidiaries or by any such plan to such employees, such Equity Interest shall not constitute
Disqualified Stock solely because it may be required to be repurchased by the Borrower or any of
its Subsidiaries in order to satisfy applicable statutory or regulatory obligations, obligations
set forth in the ESOP Plan Documents or as a result of such employee’s termination, death or
disability.

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

     “Domestic Subsidiaries” shall mean all Subsidiaries incorporated or organized under the laws
of the United States of America, any State thereof or the District of Columbia.

     “Earn-Out Obligation” shall mean an obligation to pay the seller in an acquisition transaction
a future payment that is contingent upon the financial performance of the acquired business or
entity.

     “Eligible Assignee” means (i) a Lender, (ii) an Affiliate of a Lender, (iii) a Related Fund of
a Lender, and (iv) any other person (other than a natural person) approved by the Administrative
Agent, the Issuing Bank, the Swingline Lender and, unless an Event of Default has occurred and is
continuing, the Borrower (each such approval not to be unreasonably withheld or delayed); provided
that notwithstanding the foregoing, “Eligible Assignee” shall not include the Borrower or any of
the Borrower’s Affiliates.

     “Environmental Laws” shall mean all applicable Federal, state, local and foreign laws
(including common law), treaties, regulations, rules, ordinances, codes, decrees, judgments,
directives, orders (including consent orders), and agreements in each case,

 

8

relating to protection of the environment, natural resources, human health and safety or the
presence, Release of, or exposure to, Hazardous Materials, or the generation, manufacture,
processing, distribution, use, treatment, storage, transport, recycling or handling of, or the
arrangement for such activities with respect to, Hazardous Materials.

     “Environmental Liability” shall mean all liabilities, obligations, damages, losses, claims,
actions, suits, judgments, orders, fines, penalties, fees, expenses and costs (including
administrative oversight costs, natural resource damages and remediation costs), whether contingent
or otherwise, arising out of or relating to (a) compliance or non-compliance with any Environmental
Law, (b) the generation, use, handling, transportation, storage, treatment or disposal of any
Hazardous Materials, (c) exposure to any Hazardous Materials, (d) the Release of any Hazardous
Materials or (e) any contract, agreement or other consensual arrangement pursuant to which
liability is assumed or imposed with respect to any of the foregoing.

     “Environmental Permit” shall mean any permit, license or other approval required under any
Environmental Law.

     “Equity Interests” shall mean shares of capital stock, partnership interests, membership
interests in a limited liability company, beneficial interests in a trust, including the ESOT, or
other equity interests in any person.

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

     “ERISA Affiliate” shall mean any trade or business (whether or not incorporated) that,
together with the Borrower, 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 30-day
notice period is waived); (b) a failure by any Plan to satisfy the minimum funding standards (as
defined in Section 412 of the Code or Section 302 of ERISA) applicable to such plan, in such
instance, whether or not waived; (c) the filing pursuant to Section 412(c) of the Code or Section
302(c) of ERISA of an application for a waiver of the minimum funding standard with respect to any
Plan; (d) a determination that any Plan is, or expected to be in “at risk” status (as defined in
Section 430(i)(4) of the Code or Section 303(i)(4) of ERISA; (e) the incurrence by the Borrower or
any of its ERISA Affiliates of any liability under Title IV of ERISA with respect to the
termination of any Plan or the withdrawal or partial withdrawal of the Borrower or any of its ERISA
Affiliates from any Plan or Multiemployer Plan; (f) the receipt by the Borrower 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 receipt by the
Borrower or any of its ERISA Affiliates of any notice, or the receipt by any Multiemployer Plan
from the Borrower or any of its ERISA Affiliates of any notice, concerning the imposition of
Withdrawal Liability or a determination that a Multiemployer Plan is, or is expected to be,
insolvent or in reorganization, within the

 

9

meaning of Title IV of ERISA, or in “endangered” or “critical” status (within the meaning of
Section 432 of the Code or Section 305 of ERISA); (i) the occurrence of a non-exempt “prohibited
transaction” with respect to which the Borrower or any of the Subsidiaries is a “disqualified
person” (within the meaning of Section 4975 of the Code) or with respect to which the Borrower or
any such Subsidiary could otherwise be liable; or (j) any other event or condition with respect to
a Plan or Multiemployer Plan that could result in liability of the Borrower or any Subsidiary.

     “ESOP” shall mean the employee benefit plan entitled “The Alion Science and Technology
Corporation Employee Ownership, Savings and Investment Plan” adopted and maintained by the
Borrower.

     “ESOP Fiduciary” shall mean the named fiduciary of the ESOP under ERISA. As of the Closing
Date, the ESOP Fiduciary is the ESOP Committee of the Borrower.

     “ESOP Plan Documents” shall mean collectively, the documents listed on Schedule 1.01(a), each
as may be amended, supplemented or modified from time to time as permitted by Section 6.09.

     “ESOT” shall mean the trust entitled “The Alion Science and Technology Corporation Employee
Ownership, Savings and Investment Trust” and adopted and maintained by the Borrower pursuant to the
applicable ESOP Plan Documents.

     “ESOT Trustee” shall mean the trustee of the ESOT. As of the Closing Date, the ESOT Trustee
is State Street Bank and Trust Company.

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

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

     “Excluded Taxes” shall mean, with respect to the Administrative Agent, any Lender, the Issuing
Bank or any other recipient of any payment to be made by or on account of any obligation of the
Borrower hereunder, (a) income or franchise taxes imposed on (or measured by) its net income by the
United States of America, or by the jurisdiction under the laws of which such recipient is
organized or in which its principal office is located or, in the case of any Lender, in which its
applicable lending office is located, (b) any branch profits taxes imposed by the United States of
America or any similar tax imposed by any other jurisdiction described in clause (a) above and (c)
in the case of a Lender (other than an assignee pursuant to a request by the Borrower under Section
2.20(a)), any withholding tax (including pursuant to FATCA) that is imposed on amounts payable to
such Lender pursuant to any Law enacted at the time such Lender becomes a party to this Agreement
(or designates a new lending office) or is attributable to such Lender’s failure to comply with
Sections 2.19(f) and 2.19(g), except to the extent that such Lender (or its assignor, if any) was
entitled, at the time of designation of a new lending office (or assignment), to receive additional
amounts from the Borrower with respect to such withholding tax pursuant to Section 2.19(a).

 

10

     “Existing Credit Agreement” shall mean the Credit Agreement dated as of August 4, 2004, as
amended, by and among the Borrower, the institutions from time to time party thereto as lenders and
Credit Suisse AG, as administrative agent and collateral agent.

     “FATCA” shall mean Sections 1471 through 1474 of the Code and any regulations thereunder or
official governmental interpretations thereof.

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

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

     “Fee Letter” shall mean the Fee Letter dated March 19, 2010, between the Borrower and the
Administrative Agent.

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

     “Foreign Lender” shall mean any Lender that is organized under the laws of a jurisdiction
other than that in which the Borrower is located. For purposes of this definition, the United
States of America, each State thereof and the District of Columbia shall be deemed to constitute a
single jurisdiction.

     “Foreign Ownership Control or Influence” shall have the meaning given to such phrase in the
Federal National Industrial Security Program Operating Manual and any successor documentation or
program thereto.

     “Foreign Subsidiary” shall mean any Subsidiary that is not a Domestic Subsidiary.

     “GAAP” shall mean United States generally accepted accounting principles applied on a basis
consistent with the practices the Borrower has employed historically in preparing its financial
statements.

     “Government” shall mean the United States government or any department or agency thereof.

     “Governmental Authority” shall mean any Federal, state, local or foreign court or governmental
agency, authority, instrumentality or regulatory body.

 

11

     “Government Contracts” shall mean written contracts between the Borrower or any Subsidiary
Guarantor and the Government.

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

     “Guarantee” of or by any person shall mean any obligation, contingent or otherwise, of such
person guaranteeing or having the economic effect of guaranteeing any Indebtedness or other
obligation of any other person (the “primary obligor”) in any manner, whether directly or
indirectly, and including any obligation of such person, direct or indirect, (a) to purchase or pay
(or advance or supply funds for the purchase or payment of) such Indebtedness or other obligation
or to purchase (or to advance or supply funds for the purchase of) any security for the payment of
such Indebtedness or other obligation, (b) to purchase or lease property, securities or services
for the purpose of assuring the owner of such Indebtedness or other obligation of the payment of
such Indebtedness or other obligation or (c) to maintain working capital, equity capital or any
other financial statement condition or liquidity of the primary obligor so as to enable the primary
obligor to pay such Indebtedness or other obligation; provided, however, that the term “Guarantee”
shall not include endorsements for collection or deposit in the ordinary course of business.

     “Guarantee Agreement” shall mean the Guarantee Agreement, substantially in the form of Exhibit
D, among the Borrower, the Subsidiaries party thereto and the Administrative Agent.

     “Hazardous Materials” shall mean (a) any petroleum products or byproducts and all other
hydrocarbons, coal ash, radon gas, asbestos, urea formaldehyde foam insulation, polychlorinated
biphenyls, chlorofluorocarbons and all other ozone-depleting substances and (b) any chemical,
material, substance or waste that is prohibited, limited or regulated by or pursuant to any
Environmental Law.

     “Hedging Agreement” shall mean any interest rate protection agreement, foreign currency
exchange agreement, commodity price protection agreement or other interest or currency exchange
rate or commodity price hedging arrangement.

     “IIT” shall mean Illinois Institute of Technology, an Illinois not-for-profit corporation.

     “Incremental Assumption Agreement” shall mean an Incremental Assumption Agreement in form and
substance reasonably satisfactory to the Borrower and the Administrative Agent, among the Borrower,
the Administrative Agent and one or more Incremental Lenders.

     “Incremental Commitment” shall mean any increased Revolving Credit Commitment or Incremental
Term Commitment provided pursuant to Section 2.23.

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

 

12

     “Incremental Loan Amount” shall mean, at any time, the excess, if any, of (a) $10,000,000 over
(b) the aggregate amount of all Incremental Commitments established prior to such time.

     “Incremental Term Commitment” shall mean the commitment of any Lender, established pursuant to
Section 2.23, to make Incremental Term Loans to the Borrower.

     “Incremental Term Loan Maturity Date” shall mean the final maturity date of any Incremental
Term Loan, as set forth in the applicable Incremental Assumption Agreement.

     “Incremental Term Loans” shall mean term loans made by one or more Lenders to the Borrower
pursuant to an Incremental Assumption Agreement.

     “Indebtedness” of any person shall mean, without duplication, (a) all obligations of such
person for borrowed money or with respect to deposits or advances of any kind, (b) all obligations
of such person evidenced by bonds, debentures, notes or similar instruments, (c) all obligations of
such person upon which interest charges are customarily paid, (d) all obligations of such person
under conditional sale or other title retention agreements relating to property or assets purchased
by such person (excluding trade accounts payable and accrued obligations incurred in the ordinary
course of business), (e) all obligations of such person issued or assumed as the deferred purchase
price of property or services (excluding trade accounts payable, accrued obligations incurred in
the ordinary course of business and Earn-Out Obligations), (f) all Indebtedness of others secured
by (or for which the holder of such Indebtedness has an existing right, contingent or otherwise, to
be secured by) any Lien on property owned or acquired by such person, whether or not the
obligations secured thereby have been assumed, (g) all Guarantees by such person of Indebtedness of
others, (h) all Capital Lease Obligations and Synthetic Lease Obligations of such person, (i) all
obligations of such person as an account party in respect of letters of credit, (j) all obligations
of such person in respect of bankers’ acceptances and (k) all obligations of such person to
purchase, redeem, retire, defease or otherwise make any payment in respect of any Disqualified
Stock. The Indebtedness of any person shall include the Indebtedness of any partnership in which
such person is a general partner.

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

     “Insignificant Subsidiary” shall mean any Subsidiary that either (a)(i) does not conduct any
business operations, (ii) has assets with a total book value not in excess of $100,000 and (iii)
does not have any Indebtedness outstanding, or (b) is a direct or indirect Subsidiary of the
Borrower formed for purposes of effecting an acquisition which Subsidiary is formed with the
intention of meeting, and within one year after the consummation of such acquisition meets, the
criteria set forth in clause (a) above; provided that at no time shall any Subsidiary otherwise
satisfying the criteria of this clause (b) be considered an “Insignificant Subsidiary” if such
Subsidiary and all other such Subsidiaries hold 5% or more of the consolidated assets of the
Borrower.

 

13

     “Intercreditor Agreement” shall mean the Intercreditor Agreement among the Administrative
Agent, the Collateral Agent and the authorized representative named therein for the Senior Secured
Notes, substantially in the form of Exhibit J.

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

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

     “Issuing Bank” shall mean, as the context may require, Credit Suisse AG, in its capacity as
the issuer of Letters of Credit hereunder and/or any other Lender that may become an Issuing Bank
pursuant to Section 2.22(i) or (k), with respect to Letters of Credit issued by such Lender. The
Issuing Bank may, in its discretion, arrange for one or more Letters of Credit to be issued by
Affiliates or branches of the Issuing Bank, in which case the term “Issuing Bank” shall include any
such Affiliate or branch with respect to Letters of Credit issued by such Affiliate or branch.

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

     “Junior Warrants” shall mean an aggregate of 1,630,437 detachable redeemable common stock
warrants issued to the holders of the Seller Subordinated Notes.

     “L/C Commitment” shall mean the commitment of the Issuing Bank to issue Letters of Credit
pursuant to Section 2.22.

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

 

14

     “L/C Exposure” shall mean at any time the sum of (a) the aggregate undrawn amount of all
outstanding Letters of Credit at such time and (b) the aggregate principal amount of all L/C
Disbursements that have not yet been reimbursed at such time. The L/C Exposure of any Tranche A
Revolving Credit Lender at any time shall equal its Tranche A Pro Rata Percentage of the aggregate
L/C Exposure at such time.

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

     “Lenders” shall mean (a) the persons listed on Schedule 2.01 (other than any such person that
has ceased to be a party hereto pursuant to an Assignment and Acceptance) and (b) any person that
has become a party hereto pursuant to an Assignment and Acceptance or an Incremental Assumption
Agreement. Unless the context clearly indicates otherwise, the term “Lenders” shall include the
Swingline Lender.

     “Letter of Credit” shall mean any letter of credit issued or deemed issued pursuant to Section
2.22.

     “Leverage Ratio” shall mean, on any date, the ratio of Total Debt on such date to Consolidated
EBITDA for the period of four consecutive fiscal quarters most recently ended on or prior to such
date.

     “LIBO Rate” shall mean, with respect to any Eurodollar Borrowing for any Interest Period, the
rate per annum determined by the Administrative Agent at approximately 11:00 a.m., London time, on
the date that is two Business Days prior to the commencement of such Interest Period by reference
to the British Bankers’ Association Interest Settlement Rates for deposits in dollars (as set forth
by any service selected by the Administrative Agent that has been nominated by the British Bankers’
Association as an authorized information vendor for the purpose of displaying such rates) for a
period equal to such Interest Period; provided that, to the extent that an interest rate is not
ascertainable pursuant to the foregoing provisions of this definition, the “LIBO Rate” shall be the
interest rate per annum determined by the Administrative Agent to be the average of the rates per
annum at which deposits in dollars are offered for such relevant Interest Period to major banks in
the London interbank market in London, England by the Administrative Agent at approximately 11:00
a.m., London time, on the date that is two Business Days prior to the beginning of such Interest
Period.

     “Lien” shall mean, with respect to any asset, (a) any mortgage, deed of trust, lien, pledge,
encumbrance, charge or security interest in or on such asset, (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 asset and (c) in the case of securities, any purchase option, call or similar right of a third
party with respect to such securities.

     “Loan Document Obligations” shall mean (a) the due and punctual payment of (i) the principal
of and interest (including interest accruing during the pendency of any bankruptcy, insolvency,
receivership or other similar proceeding, regardless of whether

 

15

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, (ii) each payment required
to be made by the Borrower under this Agreement in respect of any Letter of Credit, when and as
due, including payments in respect of reimbursement of disbursements, interest thereon and
obligations to provide cash collateral and (iii) all other monetary obligations of the Borrower to
any of the Secured Parties under this Agreement and each of the other Loan Documents, including
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), (b) the due and punctual performance of all other obligations of the Borrower
under or pursuant to this Agreement and each of the other Loan Documents and (c) the due and
punctual payment and performance of all the obligations of each other Loan Party under or pursuant
to each of the other Loan Documents.

     “Loan Documents” shall mean this Agreement, the Letters of Credit, the Guarantee Agreement,
the Security Documents, any Incremental Assumption Agreement and the promissory notes, if any,
executed and delivered pursuant to Section 2.04(e).

     “Loan Parties” shall mean the Borrower and the Subsidiary Guarantors.

     “Loans” shall mean the Revolving Loans, the Swingline Loans and the Incremental Term Loans (if
any).

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

     “Material Adverse Effect” shall mean (a) a materially adverse effect on the business, assets,
liabilities, operations or financial condition of the Borrower and the Subsidiaries, taken as a
whole, (b) a material impairment of the ability of the Borrower or any other Loan Party to perform
any of its obligations under any Loan Document to which it is or will be a party or (c) a material
impairment of the rights of or benefits available to the Lenders under any Loan Document.

     “Material Contract” shall mean each Government Contract that has a remaining value of at least
$5,000,000.

     “Material Indebtedness” shall mean Indebtedness (other than the Loans and Letters of Credit),
or obligations in respect of one or more Hedging Agreements, of any one or more of the Borrower and
the Subsidiaries in an aggregate principal amount exceeding $10,000,000. For purposes of
determining Material Indebtedness, the “principal amount” of the obligations of the Borrower or any
Subsidiary in respect of any Hedging Agreement at any time shall be the maximum aggregate amount
(giving effect to any netting agreements) that the Borrower or such Subsidiary would be required to
pay if such Hedging Agreement were terminated at such time.

     “Maturity Date” shall mean August 22, 2014.

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

 

16

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

     “Obligations” shall mean all obligations defined as “Obligations” in the Intercreditor
Agreement.

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

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

     “Perfection Certificate” shall mean the Perfection Certificate substantially in the form of
Exhibit B to the Security Agreement.

     “Permitted Acquisition” shall have the meaning assigned to such term in Section 6.04(g).

     “Permitted Investments” shall mean:

     (a) direct obligations of, or obligations the principal of and interest on which are
unconditionally guaranteed by, the United States of America (or by any agency thereof to the extent
such obligations are backed by the full faith and credit of the United States of America), in each
case maturing within one year from the date of acquisition thereof;

     (b) investments in commercial paper maturing within 270 days from the date of acquisition
thereof and having, at such date of acquisition, the highest credit rating obtainable from S&P or
from Moody’s;

     (c) investments in certificates of deposit, banker’s acceptances and time deposits maturing
within one year from the date of acquisition thereof issued or guaranteed by or placed with, and
money market deposit accounts issued or offered by, the Administrative Agent or any domestic office
of any commercial bank organized under the laws of the United States of America or any State
thereof that has a combined capital and surplus and undivided profits of not less than
$500,000,000;

     (d) fully collateralized repurchase agreements with a term of not more than 30 days for
securities described in clause (a) above and entered into with a financial institution satisfying
the criteria of clause (c) above;

     (e) investments in “money market funds” within the meaning of Rule 2a-7 of the Investment
Company Act of 1940, as amended, substantially all of whose assets are invested in investments of
the type described in clauses (a) through (d) above; and

 

17

     (f) other short-term investments utilized by Foreign Subsidiaries in accordance with normal
investment practices for cash management in investments of a type analogous to the foregoing.

     “person” shall mean any natural person, corporation, business trust, joint venture,
association, company, limited liability 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, and in
respect of which the Borrower or any ERISA Affiliate is (or, if such plan were terminated, would
under Section 4069 of ERISA be deemed to be) an “employer” as defined in Section 3(5) of ERISA.

     “Prime Rate” shall mean the rate of interest per annum determined from time to time by Credit
Suisse AG as its prime rate in effect at its principal office in New York City and notified to the
Borrower.

     “Pro Forma Basis” shall mean, with respect to compliance with any test or covenant hereunder,
compliance with such covenant or test after giving effect to (a) any proposed Permitted Acquisition
or (b) any Asset Sale of a Subsidiary or operating entity for which historical financial statements
for the relevant period are available (including (i) pro forma adjustments arising out of events
which are directly attributable to the proposed Permitted Acquisition or Asset Sale, are factually
supportable and are expected to have a continuing impact, in each case as determined on a basis
consistent with Article 11 of Regulation S-X of the Securities Act of 1933, as amended, as
interpreted by the Staff of the Securities and Exchange Commission, and (ii) such other adjustments
as are satisfactory to the Administrative Agent, in each case as certified by a Financial Officer
of the Borrower) using, for purposes of determining such compliance, the historical financial
statements of all entities or assets so acquired or sold and the consolidated financial statements
of the Borrower and the Subsidiaries which shall be reformulated as if such Permitted Acquisition
or Asset Sale, and all other Permitted Acquisitions and Asset Sales that have been consummated
during the period, and any Indebtedness or other liabilities incurred in connection with any such
Permitted Acquisitions had been consummated and incurred at the beginning of such period.

     “Pro Rata Percentage” of any Revolving Credit Lender at any time shall mean, as the context
may require, the Tranche A Pro Rata Percentage or the Tranche B Pro Rata Percentage of such
Revolving Credit Lender.

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

     “Qualified Public Offering” shall mean an underwritten public offering of common stock of the
Borrower pursuant to an effective registration statement filed with the Securities and Exchange
Commission in accordance with the Securities Act of 1933, as amended, that results in at least
$5,000,000 of net cash proceeds to the Borrower and

 

18

results in the listing of the common stock of the Borrower on a national securities exchange
or the NASDAQ National Market quotation system.

     “Redemption Agreement” shall mean the Note and Warrant Redemption Agreement, Fourth Amendment
to the Seller Note Securities Purchase Agreement, First Amendment to the Second Amended and
Restated Seller Note and Rights Agreement Termination Agreement between the Borrower and IIT, dated
as of December 18, 2009, pursuant to which the Borrower has agreed to redeem and repurchase, and
IIT has agreed to sell to the Borrower, the Seller Subordinated Notes and the Junior Warrants.

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

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

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

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

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

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

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

     “Required Lenders” shall mean, at any time, Lenders having Loans (excluding Swingline Loans),
L/C Exposure, Swingline Exposure and unused Revolving Credit Commitments and Incremental Term
Commitments representing more than 50% of the sum of all Loans outstanding (excluding Swingline
Loans), L/C Exposure, Swingline Exposure and unused Revolving Credit Commitments and Incremental
Term Commitments at such time; provided, however, that the Revolving Loans, L/C Exposure, Swingline
Exposure and unused Revolving Credit Commitments of any Defaulting Lender shall be disregarded in
the determination of Required Lenders at any time.

     “Responsible Officer” of any person shall mean any executive officer or Financial Officer of
such person and any other officer or similar official thereof responsible for the administration of
the obligations of such person in respect of this Agreement.

 

19

     “Restricted Payment” shall mean any dividend or other distribution (whether in cash,
securities or other property) with respect to any Equity Interests in the Borrower or any
Subsidiary, or any payment (whether in cash, securities or other property), including any sinking
fund or similar deposit, on account of the purchase, redemption, retirement, acquisition,
cancellation or termination of or otherwise with respect to (a) any Equity Interests in the
Borrower or any Subsidiary or any option, warrant or other right to acquire any such Equity
Interests in the Borrower or any Subsidiary or (b) any Senior Unsecured Notes or any subordinated
Indebtedness (“Restricted Indebtedness”) (other than, in the case of this clause (b), regularly
scheduled interest payments and the repayment of the Seller Subordinated Notes in accordance with
the Redemption Agreement). For the avoidance of doubt, any payment made in respect of an Earn-Out
Obligation is not a Restricted Payment.

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

     “Revolving Credit Commitment” shall mean a Tranche A Revolving Credit Commitment or a Tranche
B Revolving Credit Commitment.

     “Revolving Credit Exposure” shall mean, with respect to any Lender at any time, such Lender’s
Tranche A Revolving Credit Exposure and Tranche B Revolving Credit Exposure.

     “Revolving Credit Lender” shall mean a Tranche A Revolving Credit Lender or a Tranche B
Revolving Credit Lender.

     “Revolving Loans” shall mean the Tranche A Revolving Loans and the Tranche B Revolving Loans.

     “Secured Parties” shall mean (a) the Bank Secured Parties, (b) the holders of the Senior
Secured Notes, (c) the Senior Secured Notes Trustee and (d) the successors and permitted assigns of
each of the foregoing.

     “Security Agreement” shall mean the Security Agreement, substantially in the form of Exhibit
E, among the Borrower, the Subsidiaries party thereto and the Collateral Agent for the benefit of
the Secured Parties.

     “Security Documents” shall mean the Guarantee Agreement, the Security Agreement, the
Intercreditor Agreement and each of the security agreements, mortgages and other instruments and
documents executed and delivered pursuant to any of the foregoing or pursuant to Section 5.09.

     “Seller Subordinated Notes” shall mean the Borrower’s 6% Seller Subordinated Notes due
December 20, 2010.

     “Senior Secured Notes” shall mean the Borrower’s 12.0% senior secured notes due 2014 issued
pursuant to the Senior Secured Notes Indenture on the Closing Date in

 

20

an aggregate principal amount of $310,000,000, and the Indebtedness represented thereby.

     “Senior Secured Notes Documents” shall mean the Senior Secured Notes, the Senior Secured Notes
Indenture, the Security Documents and all other documents executed and delivered with respect to
the Senior Secured Notes or the Senior Secured Notes Indenture.

     “Senior Secured Notes Indenture” shall mean the Indenture for the Senior Secured Notes dated
as of March 22, 2010, as the same may be amended, restated, supplemented, substituted, replaced,
refinanced or otherwise modified from time to time.

     “Senior Secured Notes Trustee” shall mean Wilmington Trust Company and its successors and
assigns acting as trustee under the Senior Secured Notes Indenture.

     “Senior Unsecured Notes” shall mean the Borrower’s 10.25% Senior Unsecured Notes due February
1, 2015 in an outstanding aggregate principal amount on the Closing Date of approximately
$250,000,000, and the Indebtedness represented thereby.

     “Senior Warrants” shall mean an aggregate of 350,000 detachable redeemable common stock
warrants issued to the holders of the Senior Secured Notes.

     “Special Diversification Payments” shall mean payments (other than payments required by
applicable law) pursuant to the ESOP Plan Documents in respect of employee elections to transfer up
to 10% of the value of their ESOP accounts to investments other than the Borrower’s common stock.

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

     “S&P” shall mean Standard & Poor’s Ratings Service, or any successor thereto.

     “Statutory Reserves” shall mean a fraction (expressed as a decimal), the numerator of which is
the number one and the denominator of which is the number one minus the aggregate of the maximum
reserve percentages (including any marginal, special, emergency or supplemental reserves) expressed
as a decimal established by the Board and any other banking authority, domestic or foreign, to
which the Administrative Agent or any Lender (including any branch, Affiliate or other fronting
office making or holding a Loan) is subject for Eurodollar Liabilities (as defined in Regulation D
of the Board). Eurodollar Loans shall be deemed to constitute Eurodollar Liabilities as defined in
Regulation D of the Board) and to be subject to such reserve requirements without benefit of or
credit for proration, exemptions or offsets that may be available from time to time to any Lender
under such Regulation D. Statutory Reserves shall be adjusted automatically on and as of the
effective date of any change in any reserve percentage.

     “subsidiary” shall mean, with respect to any person (herein referred to as the “parent”), any
corporation, partnership, association or other business entity (a) of which securities or other
ownership interests representing more than 50% of the equity or more than 50% of the ordinary
voting power or more than 50% of the general partnership

 

21

interests are, at the time any determination is being made, owned, Controlled or held, or (b)
that is, at the time any determination is made, otherwise Controlled, by the parent or one or more
subsidiaries of the parent or by the parent and one or more subsidiaries of the parent.

     “Subsidiary” shall mean any subsidiary of the Borrower.

     “Subsidiary Guarantor” shall mean each Subsidiary listed on Schedule 1.01(b), and each other
Subsidiary that is or becomes a party to the Guarantee Agreement.

     “Swingline Commitment” shall mean the commitment of the Swingline Lender to make loans
pursuant to Section 2.21, as the same may be reduced from time to time pursuant to Section 2.09.

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

     “Swingline Lender” shall mean Credit Suisse AG, in its capacity as lender of Swingline Loans
hereunder.

     “Swingline Loan” shall mean any loan made by the Swingline Lender pursuant to Section 2.21.

     “Synthetic Lease” shall mean, as to any person, any lease (including leases that may be
terminated by the lessee at any time) of any property (whether real, personal or mixed) having a
value in excess of $100,000 (a) that is accounted for as an operating lease under GAAP and (b) in
respect of which the lessee retains or obtains ownership of the property so leased for U.S. Federal
income tax purposes, other than any such lease under which such person is the lessor.

     “Synthetic Lease Obligations” shall mean, as to any person, an amount equal to the capitalized
amount of the remaining lease payments under any Synthetic Lease that would appear on a balance
sheet of such person in accordance with GAAP if such obligations were accounted for as Capital
Lease Obligations.

     “Synthetic Purchase Agreement” shall mean any swap, derivative or other agreement or
combination of agreements pursuant to which the Borrower or any Subsidiary is or may become
obligated to make (a) any payment in connection with a purchase by any third party from a person
other than the Borrower or any Subsidiary of any Equity Interest or Restricted Indebtedness or (b)
any payment (other than on account of a permitted purchase by it of any Equity Interest or
Restricted Indebtedness) the amount of which is determined by reference to the price or value at
any time of any Equity Interest or Restricted Indebtedness; provided that no phantom stock plan,
stock appreciation right plan or similar plan providing for payments only to current or former
directors, officers or employees of the Borrower or the Subsidiaries (or to their heirs or estates)
shall be deemed to be a Synthetic Purchase Agreement.

 

22

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

     “Total Debt” shall mean, at any time, the total Indebtedness of the Borrower and the
Subsidiaries at such time (excluding Indebtedness of the type described in clause (i) of the
definition of such term, except to the extent of any unreimbursed drawings thereunder).

     “Tranche A Pro Rata Percentage” shall mean, with respect to any Tranche A Revolving Credit
Lender at any time, the percentage of the aggregate amount of Tranche A Revolving Credit
Commitments as in effect at such time represented by such Tranche A Revolving Credit Lender’s
Tranche A Revolving Credit Commitment. In the event that the Tranche A Revolving Credit
Commitments have expired or have been terminated, the Tranche A Pro Rata Percentages shall be
determined on the basis of the Tranche A Revolving Credit Commitments most recently in effect.

     “Tranche A Revolving Credit Commitment” shall mean, with respect to each Lender, the
commitment of such Lender to make Tranche A Revolving Loans and to participate in Letters of Credit
and Swingline Loans hereunder as set forth on Schedule 2.01, or in the Assignment and Acceptance or
Incremental Assumption Agreement pursuant to which such Lender assumed its Tranche A Revolving
Credit Commitment, as applicable, as the same may be (a) reduced from time to time pursuant to
Section 2.09, (b) increased from time to time pursuant to Section 2.23 and (c) reduced or increased
from time to time pursuant to assignments by or to such Lender pursuant to Section 9.04. The
initial Tranche A Revolving Credit Commitment is $12,500,000.

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

     “Tranche A Revolving Credit Lender” shall mean a Lender with a Tranche A Revolving Credit
Commitment or, if the Tranche A Revolving Credit Commitments have terminated or expired, a Lender
with Tranche A Revolving Credit Exposure.

     “Tranche A Revolving Loans” shall mean the revolving loans made by the Tranche A Revolving
Credit Lenders to the Borrower pursuant to Section 2.01.

     “Tranche B Pro Rata Percentage” shall mean, with respect to any Tranche B Revolving Credit
Lender at any time, the percentage of the aggregate amount of Tranche B Revolving Credit
Commitments as in effect at such time represented by such Tranche B Revolving Credit Lender’s
Tranche B Revolving Credit Commitment. In the event that the Tranche B Revolving Credit
Commitments have expired or have been terminated, the Tranche B Pro Rata Percentages shall be
determined on the basis of the Tranche B Revolving Credit Commitments most recently in effect.

 

23

     “Tranche B Revolving Credit Commitment” shall mean, with respect to each Lender, the
commitment of such Lender to make Tranche B Revolving Loans as set forth on Schedule 2.01, or in
the Assignment and Acceptance or Incremental Assumption Agreement pursuant to which such Lender
assumed its Tranche B Revolving Credit Commitment, as applicable, as the same may be (a) reduced
from time to time pursuant to Section 2.09, (b) increased from time to time pursuant to Section
2.23 and (c) reduced or increased from time to time pursuant to assignments by or to such Lender
pursuant to Section 9.04. The initial Tranche B Revolving Credit Commitment is $12,500,000.

     “Tranche B Revolving Credit Exposure” shall mean, with respect to any Lender at any time, the
aggregate principal amount at such time of all outstanding Tranche B Revolving Loans of such
Lender.

     “Tranche B Revolving Credit Lender” shall mean a Lender with a Tranche B Revolving Credit
Commitment or an outstanding Tranche B Revolving Loan.

     “Tranche B Revolving Loans” shall mean the revolving loans made by the Tranche B Revolving
Credit Lenders to the Borrower pursuant to Section 2.01.

     “Transactions” shall mean, collectively, (a) the execution, delivery and performance by the
Loan Parties of the Loan Documents to which they are a party and, in the case of the Borrower, the
making of the initial Borrowings hereunder, (b) the execution, delivery and performance by the
Borrower and the Subsidiaries party thereto of the Senior Secured Notes Documents and the issuance
of the Senior Secured Notes and Senior Warrants, (c) the redemption of the Seller Subordinated
Notes and the Junior Warrants pursuant to the terms of the Redemption Agreement, (d) the repayment
of all amounts due or outstanding under, and the termination of, the Existing Credit Agreement, and
(e) the payment of related fees and expenses.

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

     “Unfunded Advances/Participations” shall mean (a) with respect to the Administrative Agent,
without duplication of amounts paid to the Administrative Agent under the Intercreditor Agreement,
the aggregate amount, if any, (i) made available to the Borrower on the assumption that each Lender
has made its portion of the applicable Borrowing available to the Administrative Agent as
contemplated by Section 2.02(d) and (ii) with respect to which a corresponding amount shall not in
fact have been returned to the Administrative Agent by the Borrower or made available to the
Administrative Agent by any such Lender, (b) with respect to the Swingline Lender, the aggregate
amount, if any, of participations in respect of any outstanding Swingline Loans that shall not have
been funded by the Tranche A Revolving Credit Lenders in accordance with Section 2.21(e), and (c)
with respect to any Issuing Bank, the aggregate amount, if any, of participations in respect of any
outstanding L/C Disbursement with respect to any Letters

 

24

of Credit issued by such Issuing Bank that shall not have been funded by the Tranche A
Revolving Credit Lenders in accordance with Section 2.22(d).

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

     “Warrant Agreement” shall mean the Warrant Agreement dated as of March 22, 2010, as the same
may be amended, restated, supplemented, substituted, replaced, refinanced or otherwise modified
from time to time, between the Borrower and the Wilmington Trust Company.

     “Warrants” shall mean the Junior Warrants and the Senior Warrants.

     “wholly owned subsidiary” of any person shall mean a subsidiary of such person of which
securities (except for directors’ qualifying shares) or other ownership interests representing 100%
of the Equity Interests are, at the time any determination is being made, owned, Controlled or held
by such person or one or more wholly owned subsidiaries of such person or by such person and one or
more wholly owned subsidiaries of such person.

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

     SECTION 1.02. Terms Generally. The definitions in Section 1.01 shall apply equally to both
the singular and plural forms of the terms defined. Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and neuter forms. The words “include”,
“includes” and “including” shall be deemed to be followed by the phrase “without limitation”. The
word “will” shall be construed to have the same meaning and effect as the word “shall”; and the
words “asset” and “property” shall be construed as having the same meaning and effect and to refer
to any and all tangible and intangible assets and properties, including cash, securities, accounts
and contract rights. All references herein to Articles, Sections, Exhibits and Schedules shall be
deemed references to Articles and Sections of, and Exhibits and Schedules to, this Agreement unless
the context shall otherwise require. Except as otherwise expressly provided herein, (a) any
reference in this Agreement to any Loan Document shall mean such document as amended, restated,
supplemented or otherwise modified from time to time and (b) all terms of an accounting or
financial nature shall be construed in accordance with GAAP, as in effect from time to time;
provided, however, that if the Borrower notifies the Administrative Agent that the Borrower wishes
to amend any covenant in Article VI or any related definition to eliminate the effect of any change
in GAAP occurring after the date of this Agreement on the operation of such covenant (or if the
Administrative Agent notifies the Borrower that the Required Lenders wish to amend Article VI or
any related definition for such purpose), then the Borrower’s compliance with such covenant shall
be determined on the basis of GAAP in effect immediately before the relevant change in GAAP became
effective, until either such notice is

 

25

withdrawn or such covenant is amended in a manner satisfactory to the Borrower and the
Required Lenders.

     SECTION 1.03. Pro Forma Calculations. With respect to any period during which any
acquisition of the type described in clause (a) of the definition of the term “Pro Forma Basis” or
Asset Sale of the type described in clause (b) of the definition of the term “Pro Forma Basis”
occurs as permitted pursuant to the terms hereof, the Leverage Ratio shall be calculated with
respect to such period and such acquisition or Asset Sale on a Pro Forma Basis.

     SECTION 1.04. Classification of Loans and Borrowings. For purposes of this Agreement, Loans
may be classified and referred to by Class (e.g., a “Revolving Loan” or a “Tranche A Revolving
Loan”) or by Type (e.g., a “Eurodollar Loan”) or by Class and Type (e.g., a “Eurodollar Revolving
Loan”). Borrowings also may be classified and referred to by Class (e.g., a “Revolving Borrowing”
or a “Tranche A Revolving Borrowing”) or by Type (e.g., a “Eurodollar Borrowing”) or by Class and
Type (e.g., a “Eurodollar Revolving Borrowing”).

ARTICLE II

The Credits

     SECTION 2.01. Commitments. Subject to the terms and conditions and relying upon the
representations and warranties herein set forth, (a) each Tranche A Revolving Credit Lender agrees,
severally and not jointly, to make Tranche A Revolving Loans to the Borrower, at any time and from
time to time after the date hereof, and until the earlier of the Maturity Date and the termination
of the Tranche A Revolving Credit Commitment of such Lender in accordance with the terms hereof, in
an aggregate principal amount at any time outstanding that will not result in such Lender’s Tranche
A Revolving Credit Exposure exceeding such Lender’s Tranche A Revolving Credit Commitment, and (b)
each Tranche B Revolving Credit Lender agrees, severally and not jointly, to make Tranche B
Revolving Loans to the Borrower, at any time and from time to time after the date hereof, and until
the earlier of the Maturity Date and the termination of the Tranche B Revolving Credit Commitment
of such Lender in accordance with the terms hereof, in an aggregate principal amount at any time
outstanding that will not result in such Lender’s Tranche B Revolving Credit Exposure exceeding
such Lender’s Tranche B Revolving Credit Commitment. Within the limits set forth in the preceding
sentence and subject to the terms, conditions and limitations set forth herein, the Borrower may
borrow, pay or prepay, without premium or penalty (subject to Section 2.15), and reborrow Revolving
Loans.

     SECTION 2.02. Loans. (a) Each Loan (other than Swingline Loans) shall be made as part of a
Borrowing consisting of Loans made by the Lenders ratably in accordance with their applicable
Commitments; provided, however, that the failure of any Lender to make any Loan shall not 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).

 

26

Except for Loans made pursuant to Section 2.22(e), the Loans comprising any Borrowing shall be
in an aggregate principal amount that is (i) (except with respect to any Incremental Term Loan, to
the extent otherwise provided in the related Incremental Assumption Agreement) an integral multiple
of $500,000 (determined separately under the Tranche A Revolving Credit Commitments and the Tranche
B Revolving Credit Commitments) or (ii) equal to the remaining available balance of the applicable
Commitment. For purposes of this paragraph (a), a Revolving Credit Borrowing (other than an ABR
Revolving Credit Borrowing the proceeds of which are used to refinance an L/C Disbursement pursuant
to Section 2.22(e) or a Swingline Loan, which shall be made only by the Tranche A Revolving Credit
Lenders in accordance with their Tranche A Pro Rata Percentages) shall consist of Tranche A
Revolving Loans and Tranche B Revolving Loans made by the Tranche A Revolving Credit Lenders and
Tranche B Revolving Credit Lenders, respectively, in accordance with their respective Revolving
Credit Commitments; provided that to the extent such pro rata allocation would result in the
aggregate Revolving Credit Exposure of one Class of Revolving Credit Commitments exceeding the
total Revolving Credit Commitments of that Class, then the amount of such excess shall be made by
the Revolving Credit Lenders of the other Class pro rata in accordance with their respective
Revolving Credit Commitments to the extent such Loans may be made without the aggregate Revolving
Credit Exposure of such other Class exceeding the total Revolving Credit Commitments of such Class.

     (b) Subject to Sections 2.08 and 2.14, each Borrowing shall be comprised entirely of ABR
Loans or Eurodollar Loans as the Borrower may request pursuant to Section 2.03. Each Lender may at
its option make any Eurodollar 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. Borrowings of
more than one Type may be outstanding at the same time; provided, however, that the Borrower shall
not be entitled to request any Borrowing that, if made, would result in more than eight Eurodollar
Borrowings outstanding hereunder at any 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) Except with respect to Loans made pursuant to Section 2.22(e), each Lender shall make
each Loan to be made by it hereunder on the proposed date thereof by wire transfer of immediately
available funds to such account in New York City as the Administrative Agent may designate not
later than 1:00 p.m. (New York City time), and the Administrative Agent shall promptly credit the
amounts so received to an account designated by the Borrower in the applicable Borrowing Request
or, if a Borrowing shall not occur on such date because any condition precedent herein specified
shall not have been met, return the amounts so received to the respective Lenders.

     (d) Unless the Administrative Agent shall have received notice from a Lender prior to the
date of any Revolving Credit Borrowing that such Lender will not make available to the
Administrative Agent such Lender’s portion of such Revolving Credit Borrowing, the Administrative
Agent may assume that such Lender has made such portion available to the Administrative Agent on
the date of such Revolving Credit

 

27

Borrowing in accordance with paragraph (c) of this Section and the Administrative Agent may,
in its sole discretion and 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, such Lender and the Borrower severally agree to repay to the Administrative Agent forthwith
on demand such corresponding amount together with interest thereon, for each day from the date such
amount is made available to the Borrower to but excluding the date such amount is repaid to the
Administrative Agent at (i) in the case of the Borrower, a rate per annum equal to the interest
rate applicable at the time to the Loans comprising such Revolving Credit Borrowing and (ii) in the
case of such Lender, a rate determined by the Administrative Agent to represent its cost of
overnight or short-term funds (which determination shall be conclusive absent manifest error). If
such Lender shall repay to the Administrative Agent such corresponding amount, such amount shall
constitute such Lender’s Loan as part of such Revolving Credit Borrowing for purposes of this
Agreement.

     (e) Notwithstanding any other provision of this Agreement, the Borrower shall not be entitled
to request any Revolving Credit Borrowing if the Interest Period requested with respect thereto
would end after the Maturity Date.

     SECTION 2.03. Borrowing Procedure. In order to request a Borrowing (other than a Swingline
Loan as to which this Section shall not apply), the Borrower shall hand deliver or fax to the
Administrative Agent (or give telephonic notice promptly confirmed by written notice) a duly
completed Borrowing Request (a) in the case of a Eurodollar Borrowing, not later than 12:00 noon
(New York City time) three Business Days before a proposed Borrowing, and (b) in the case of an ABR
Borrowing, not later than 12:00 noon (New York City time) one Business Day before the proposed
Borrowing. Each Borrowing Request shall be irrevocable, shall be signed by or on behalf of the
Borrower and shall specify the following information: (i) whether such Borrowing is to be a
Eurodollar Borrowing or an ABR Borrowing, (ii) the date of such Borrowing (which shall be a
Business Day), (iii) the number and location of the account to which funds are to be disbursed,
(iv) the amount of such Borrowing, and (v) if such Borrowing is to be a Eurodollar Borrowing, the
Interest Period with respect thereto; provided, however, that, notwithstanding any contrary
specification in any Borrowing Request, each requested Borrowing shall comply with the requirements
set forth in Section 2.02. If no election as to the Type of Borrowing is specified in any such
notice, then the requested Borrowing shall be an ABR Borrowing. If no Interest Period with respect
to any Eurodollar Borrowing is specified in any such notice, then the Borrower shall be deemed to
have selected an Interest Period of one month’s duration. The Administrative Agent shall promptly
advise the applicable Lenders of any notice given pursuant to this Section (and the contents
thereof), and of each Lender’s portion of the requested Borrowing.

     SECTION 2.04. Evidence of Debt; Repayment of Loans. (a) The Borrower hereby unconditionally
promises to pay to the Administrative Agent for the account of each Lender (i) the principal amount
of each Incremental Term Loan (if any) of such Lender as provided in the applicable Incremental
Assumption Agreement and (ii) the then unpaid principal amount of each Revolving Loan of such
Lender on the Maturity Date.

 

28

The Borrower hereby promises to pay to the Swingline Lender the then unpaid principal amount
of each Swingline Loan on the earlier of the fifth Business Day after such Swingline Loan is made
and the Maturity Date.

     (b) 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.

     (c) The Administrative Agent shall maintain accounts in which it will record (i) the amount
of each Loan made hereunder, the Type thereof and, if applicable, 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 from the Borrower or any Subsidiary Guarantor and each Lender’s
share thereof.

     (d) The entries made in the accounts maintained pursuant to paragraphs (b) and (c) of this
Section shall be prima facie evidence of the existence and amounts of the obligations therein
recorded; provided, however, that the failure of any Lender or the Administrative Agent to maintain
such accounts or any error therein shall not in any manner affect the obligations of the Borrower
to repay the Loans in accordance with their terms. Upon request, the Borrower may review the
information contained in such accounts for purposes of verifying the accuracy of same.

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

     SECTION 2.05. Fees. (a) The Borrower agrees to pay to each Lender (other than a Defaulting
Lender for so long as, and with respect to the period during which such Lender is a Defaulting
Lender), through the Administrative Agent, on the last Business Day of March, June, September and
December in each year during the term hereof and on the date on which the Commitments of such
Lender shall expire or be terminated as provided herein, a commitment fee (a “Commitment Fee”)
equal to 1.75% per annum on the daily unused amount of the Revolving Credit Commitments of such
Lender during the preceding quarter (or shorter period commencing with the date hereof or ending
with the Maturity Date or the date on which such Commitments shall otherwise expire or be
terminated, as applicable). All Commitment Fees shall be computed on the basis of the actual
number of days elapsed in a year of 360 days. For purposes of calculating Commitment Fees only, no
portion of the Revolving Credit Commitments shall be deemed utilized under Section 2.16 as a result
of outstanding Swingline Loans.

 

29

Notwithstanding any other provision in this Agreement to the contrary, no Commitment Fee shall
be payable under this Agreement in respect of Swingline Commitments.

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

     (c) The Borrower agrees to pay (i) to each Tranche A Revolving Credit Lender (other than a
Defaulting Lender for so long as, and with respect to the period during which such Lender is a
Defaulting Lender), through the Administrative Agent, on the last Business Day of March, June,
September and December of each year and on the date on which the Revolving Credit Commitment of
such Lender shall be terminated as provided herein, a fee (an “L/C Participation Fee”), calculated
on such Lender’s Tranche A Pro Rata Percentage of the daily aggregate L/C Exposure (excluding the
portion thereof attributable to unreimbursed L/C Disbursements) during the preceding quarter (or
shorter period commencing with the date hereof or ending with the Maturity Date or the date on
which all Letters of Credit have been canceled or have expired and the Tranche A Revolving Credit
Commitments of all Lenders shall have been terminated), at a rate per annum equal to the Applicable
Percentage from time to time used to determine the interest rate on Revolving Credit Borrowings
comprised of Eurodollar Loans pursuant to Section 2.06, and (ii) to the Issuing Bank, with respect
to each Letter of Credit, a fronting fee not in excess of 0.25% per annum on the outstanding face
amount of the Letter of Credit issued, together with the standard issuance and administrative fees
specified from time to time by the Issuing Bank (all fees in this clause (ii), collectively, the
“Issuing Bank Fees”). All L/C Participation Fees and Issuing Bank Fees shall be computed on the
basis of the actual number of days elapsed in a year of 360 days.

     (d) All Fees shall be paid on the dates due, in immediately available funds, to the
Administrative Agent for distribution, if and as appropriate, among the Lenders, except that the
Issuing Bank Fees shall be paid directly to the Issuing Bank. Once paid, none of the Fees shall be
refundable under any circumstances.

     SECTION 2.06. Interest on Loans. (a) Subject to the provisions of Section 2.07, the Loans
comprising each ABR Borrowing, including each Swingline Loan, shall bear interest (computed on the
basis of the actual number of days elapsed over a year of 365 or 366 days, as the case may be, when
the Alternate Base Rate is determined by reference to the Prime Rate and over a year of 360 days at
all other times and calculated from and including the date of such Borrowing to but excluding the
date of repayment thereof) at a rate per annum equal to the Alternate Base Rate plus the Applicable
Percentage in effect from time to time.

     (b) Subject to the provisions of Section 2.07, the Loans comprising each Eurodollar Borrowing
shall bear interest (computed on the basis of the actual number of days elapsed over a year of 360
days) at a rate per annum equal to the Adjusted LIBO Rate for the Interest Period in effect for
such Borrowing plus the Applicable Percentage in effect from time to time.

 

30

     (c) Interest on each Loan shall be payable on the Interest Payment Dates applicable to such
Loan except as otherwise provided in this Agreement. The applicable Alternate Base Rate or
Adjusted LIBO Rate for each Interest Period or day within an Interest Period, as the case may be,
shall be determined by the Administrative Agent, and such determination shall be conclusive absent
manifest error.

     SECTION 2.07. Default Interest. If the Borrower shall default in the payment of any
principal of or interest on any Loan or any other amount due hereunder, by acceleration or
otherwise, or under any other Loan Document, then, or, if any other Event of Default shall have
occurred and be continuing and the Administrative Agent (acting at the direction of the Required
Lenders) so directs, until such defaulted amount shall have been paid in full or such other Event
of Default cured or waived, to the extent permitted by law, all amounts outstanding under this
Agreement and the other Loan Documents shall bear interest (after as well as before judgment),
payable on demand (a) in the case of principal, at the rate otherwise applicable to such Loan
pursuant to Section 2.06 plus 2% per annum and (b) in all other cases, at a rate per annum
(computed on the basis of the actual number of days elapsed over a year of 365 or 366 days, as the
case may be, when determined by reference to the Prime Rate and over a year of 360 days at all
other times) equal to the rate that would be applicable to an ABR Revolving Loan plus 2.00% per
annum.

     SECTION 2.08. Alternate Rate of Interest. In the event, and on each occasion, that on the
day two Business Days prior to the commencement of any Interest Period for a Eurodollar Borrowing
the Administrative Agent shall have determined that dollar deposits in the principal amounts of the
Loans comprising such Borrowing are not generally available in the London interbank market, or that
the rates at which such dollar deposits are being offered will not adequately and fairly reflect
the cost to any Lender of making or maintaining its Eurodollar Loan during such Interest Period,
the Administrative Agent shall, as soon as practicable thereafter, give notice of such
determination to the Borrower and the Lenders. In the event of any such determination, until the
Administrative Agent shall have advised the Borrower and the Lenders that the circumstances giving
rise to such notice no longer exist, any request by the Borrower for a Eurodollar Borrowing
pursuant to Section 2.03 or 2.10 shall be deemed to be a request for an ABR Borrowing. Each
determination by the Administrative Agent under this Section shall be conclusive absent manifest
error.

     SECTION 2.09. Termination and Reduction of Commitments. (a) The Revolving Credit
Commitments and the Swingline Commitment shall automatically terminate at 5:00 p.m. (New York City
time) on the Maturity Date. The L/C Commitment shall automatically terminate on the earlier to
occur of (i) the termination of the Tranche A Revolving Credit Commitments and (ii) the date 30
days prior to the Maturity Date.

     (b) Upon at least three Business Days’ prior irrevocable notice to the Administrative Agent,
the Borrower may at any time in whole permanently terminate, or from time to time in part
permanently reduce, the Revolving Credit Commitments; provided, however, that (i) each partial
reduction of the Revolving Credit Commitments

 

31

shall be in an integral multiple of $500,000 and in a minimum amount of $1,000,000 (determined
separately under the Tranche A Revolving Credit Commitments and the Tranche B Revolving Credit
Commitments), (ii) the total Tranche A Revolving Credit Commitments shall not be reduced to an
amount that is less than the aggregate Tranche A Revolving Credit Exposure at the time, and (iii)
the total Tranche B Revolving Credit Commitments shall not be reduced to an amount that is less
than the aggregate Tranche B Revolving Credit Exposure at the time.

     (c) Each reduction in the Revolving Credit Commitments hereunder shall be made ratably among
the Lenders in accordance with their respective Pro Rata Percentage without regard to the Class of
Revolving Credit Commitments held by such Revolving Credit Lenders. The Borrower shall pay to the
Administrative Agent for the account of the applicable Lenders, on the date of each termination or
reduction, the Commitment Fees on the amount of the Commitments so terminated or reduced accrued to
but excluding the date of such termination or reduction, and no Commitment Fee on the amount of
Commitments so terminated or reduced shall accrue thereafter.

     SECTION 2.10. Conversion and Continuation of Borrowings. The Borrower shall have the right
at any time upon prior irrevocable written notice (or telephonic notice promptly confirmed by
written notice) to the Administrative Agent (a) not later than 12:00 noon (New York City time) one
Business Day prior to conversion, to convert any Eurodollar Borrowing into an ABR Borrowing, (b)
not later than 12:00 noon (New York City time) three Business Days prior to conversion or
continuation, to convert any ABR Borrowing into a Eurodollar Borrowing or to continue any
Eurodollar Borrowing as a Eurodollar Borrowing for an additional Interest Period, and (c) not later
than 12:00 noon (New York City time) three Business Days prior to conversion, to convert the
Interest Period with respect to any Eurodollar Borrowing to another permissible Interest Period,
subject in each case to the following:

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

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

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

 

32

     (iv) if any Eurodollar Borrowing is converted at a time other than the end of the
Interest Period applicable thereto, the Borrower shall pay, upon demand, any amounts due to
the Lenders pursuant to Section 2.15;

     (v) any portion of a Borrowing maturing or required to be repaid in less than one
month may not be converted into or continued as a Eurodollar Borrowing;

     (vi) any portion of a Eurodollar Borrowing that cannot be converted into or continued
as a Eurodollar Borrowing by reason of the immediately preceding clause shall be
automatically converted at the end of the Interest Period in effect for such Borrowing into
an ABR Borrowing; and

     (vii) upon notice to the Borrower from the Administrative Agent given at the request
of the Required Lenders, after the occurrence and during the continuance of a Default or
Event of Default, no outstanding Loan may be converted into, or continued as, a Eurodollar
Loan.

     Each notice pursuant to this Section shall be irrevocable, shall be substantially in the form
of Exhibit F or such other form as shall be acceptable to the Administrative Agent and shall refer
to this Agreement and specify (i) the identity and amount of the Borrowing that the Borrower
requests be converted or continued, (ii) whether such Borrowing is to be converted to or continued
as a Eurodollar Borrowing or an ABR Borrowing, (iii) if such notice requests a conversion, the date
of such conversion (which shall be a Business Day) and (iv) if such Borrowing is to be converted to
or continued as a Eurodollar Borrowing, the Interest Period with respect thereto. If no Interest
Period is specified in any such notice with respect to any conversion to or continuation as a
Eurodollar Borrowing, the Borrower shall be deemed to have selected an Interest Period of one
month’s duration. The Administrative Agent shall advise the Lenders of any notice given pursuant
to this Section and of each Lender’s portion of any converted or continued Borrowing. If the
Borrower shall not have given notice in accordance with this Section to continue any Borrowing into
a subsequent Interest Period (and shall not otherwise have given notice in accordance with this
Section to convert such Borrowing), such Borrowing shall, at the end of the Interest Period
applicable thereto (unless repaid pursuant to the terms hereof), automatically be continued into an
ABR Borrowing.

     SECTION 2.11. Optional Prepayment. (a) The Borrower shall have the right at any time and
from time to time to prepay any Borrowing, in whole or in part, (i) upon at least three Business
Days’ prior notice in the case of Eurodollar Loans, or (ii) notice at least one Business Day prior
to the date of prepayment in the case of ABR Loans, in each case to the Administrative Agent before
12:00 noon (New York City time) on the relevant date; provided, however, that each partial
prepayment shall be in an amount that is an integral multiple of $1,000,000.

     (b) Each prepayment of Revolving Loans shall, to the extent possible, be allocated between
the Tranche A Revolving Loans and the Tranche B Revolving Loans pro rata

 

33

based upon the outstanding amounts of the aggregate Tranche A Revolving
Credit Commitments and Tranche B Revolving Credit Commitments, respectively, even if the
result of such allocation is to require partial prepayment of a Eurodollar Borrowing.

     (c) Each notice of prepayment shall be substantially in the form of Exhibit G or such other
form as shall be acceptable to the Administrative Agent, shall specify the prepayment date and the
principal amount of each Borrowing (or portion thereof) to be prepaid, shall be irrevocable and
shall commit the Borrower to prepay such Borrowing by the amount stated therein on the date stated
therein. All prepayments under this Section shall be subject to Section 2.15, but otherwise shall
be without premium or penalty, and shall be accompanied by accrued and unpaid interest on the
principal amount to be prepaid to but excluding the date of payment; provided, however, that in the
case of a prepayment of an ABR Revolving Loan or a Swingline Loan that is not made in connection
with a termination of the Revolving Credit Commitments, the accrued and unpaid interest on the
principal amount prepaid to but excluding the date of prepayment shall be payable on the next
scheduled Interest Payment Date with respect to such ABR Revolving Loan or Swingline Loan.

     SECTION 2.12. Mandatory Prepayments. (a) In the event of the termination of all the
Revolving Credit Commitments by the Borrower pursuant to Section 2.09, the Borrower shall, on the
date of such termination, repay or prepay all outstanding Revolving Credit Borrowings and all
outstanding Swingline Loans and replace or cause to be canceled (or make other arrangements
satisfactory to the Administrative Agent and the Issuing Bank with respect to) all outstanding
Letters of Credit. If, after giving effect to any partial reduction of the Revolving Credit
Commitments by the Borrower pursuant to Section 2.09, the aggregate Tranche A Revolving Credit
Exposure would exceed the total Tranche A Revolving Credit Commitments, or the aggregate Tranche B
Revolving Credit Exposure would exceed the total Tranche B Revolving Credit Commitments, then the
Borrower shall, on the date of such reduction, repay or prepay Revolving Credit Borrowings or
Swingline Loans (or a combination thereof), and, after the Revolving Credit Borrowings and
Swingline Loans shall have been repaid or prepaid in full, replace or cause to be canceled (or make
other arrangements satisfactory to the Administrative Agent and the Issuing Bank with respect to)
Letters of Credit, in an amount sufficient to eliminate any such excess.

     (b) The Borrower shall deliver to the Administrative Agent, at the time of each prepayment
required under this Section, (i) a certificate signed by a Financial Officer of the Borrower
setting forth in reasonable detail the calculation of the amount of such prepayment and (ii) to the
extent practicable, at least three days prior written notice of such prepayment. Each notice of
prepayment shall specify the prepayment date, the Type of each Loan being prepaid and the principal
amount of each Loan (or portion thereof) to be prepaid and shall be substantially in the form of
Exhibit G or such other form as shall be acceptable to the Administrative Agent. All prepayments
of Borrowings under this Section shall be subject to Section 2.15, but otherwise shall be without
premium or penalty, and shall be accompanied by accrued and unpaid interest on the principal amount
to be prepaid to but excluding the date of payment.

 

34

     SECTION 2.13. Reserve Requirements; Change in Circumstances. (a) Notwithstanding any other
provision of this Agreement, if any Change in Law shall impose, modify or deem applicable any
reserve, special deposit or similar requirement against assets of, deposits with or for the account
of or credit extended by any Lender or the Issuing Bank (except any such reserve requirement which
is reflected in the Adjusted LIBO Rate) or shall impose on such Lender or the Issuing Bank or the
London interbank market any other condition affecting this Agreement or Eurodollar Loans made by
such Lender or any Letter of Credit or participation therein, and the result of any of the
foregoing shall be to increase the cost to such Lender or the Issuing Bank of making or maintaining
any Eurodollar Loan or increase the cost to any Lender of issuing or maintaining any Letter of
Credit or purchasing or maintaining a participation therein or to reduce the amount of any sum
received or receivable by such Lender or the Issuing Bank hereunder (whether of principal, interest
or otherwise) by an amount deemed by such Lender or the Issuing Bank to be material, then the
Borrower will pay to such Lender or the Issuing Bank, as the case may be, upon demand such
additional amount or amounts as will compensate such Lender or the Issuing Bank, as the case may
be, for such additional costs incurred or reduction suffered.

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

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

     (d) Failure or delay on the part of any Lender or the Issuing Bank to demand compensation for
any increased costs or reduction in amounts received or receivable or reduction in return on
capital shall not constitute a waiver of such Lender’s or the Issuing Bank’s right to demand such
compensation; provided that the Borrower shall not be under any obligation to compensate any Lender
or the Issuing Bank under paragraph (a) or (b) of this Section with respect to increased costs or
reductions with respect to any period prior to the date that is 120 days prior to such request if
such Lender or the Issuing

 

35

Bank knew or could reasonably have been expected to know of the circumstances giving rise to
such increased costs or reductions and of the fact that such circumstances would result in a claim
for increased compensation by reason of such increased costs or reductions; provided further that
the foregoing limitation shall not apply to any increased costs or reductions arising out of the
retroactive application of any Change in Law within such 120-day period. The protection of this
Section shall be available to each Lender and the Issuing Bank regardless of any possible
contention of the invalidity or inapplicability of the Change in Law that shall have occurred or
been imposed.

     SECTION 2.14. Change in Legality. (a) Notwithstanding any other provision of this
Agreement, if any Change in Law shall make it unlawful for any Lender to make or maintain any
Eurodollar Loan or to give effect to its obligations as contemplated hereby with respect to any
Eurodollar Loan, then, by written notice to the Borrower and to the Administrative Agent:

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

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

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

     (b) For purposes of this Section, a notice to the Borrower by any Lender shall be effective
as to each Eurodollar Loan made by such Lender, if lawful, on the last day of the Interest Period
then applicable to such Eurodollar Loan; in all other cases such notice shall be effective on the
date of receipt by the Borrower.

     SECTION 2.15. Indemnity. The Borrower shall indemnify each Lender against any loss or
expense that such Lender may sustain or incur as a consequence (other than as a result of the gross
negligence or willful misconduct of such Lender) of (a) any event, other than a default by such
Lender in the performance of its obligations hereunder, which results in (i) such Lender receiving
or being deemed to receive any amount on

 

36

account of the principal of any Eurodollar Loan prior to the end of the Interest Period in
effect therefor, (ii) the conversion of any Eurodollar Loan to an ABR Loan, or the conversion of
the Interest Period with respect to any Eurodollar Loan, in each case other than on the last day of
the Interest Period in effect therefor, or (iii) any Eurodollar Loan to be made by such Lender
(including any Eurodollar Loan to be made pursuant to a conversion or continuation under Section
2.10) not being made after notice of such Loan shall have been given by the Borrower hereunder (any
of the events referred to in this clause (a) being called a “Breakage Event”) or (b) any default in
the making of any payment or prepayment required to be made hereunder. In the case of any Breakage
Event, such loss shall include an amount equal to the excess, as reasonably determined by such
Lender, of (i) its cost of obtaining funds for the Eurodollar Loan that is the subject of such
Breakage Event for the period from the date of such Breakage Event to the last day of the Interest
Period in effect (or that would have been in effect) for such Loan over (ii) the amount of interest
likely to be realized by such Lender in redeploying the funds released or not utilized by reason of
such Breakage Event for such period. A certificate of any Lender setting forth any amount or
amounts which such Lender is entitled to receive pursuant to this Section shall be delivered to the
Borrower and shall be conclusive absent manifest error.

     SECTION 2.16. Pro Rata Treatment. Except as provided below in this Section with respect to
Swingline Loans, as required under Section 2.14, as required pursuant to the last sentence of
Section 2.02(a), or as required pursuant to Section 2.11(b), each Borrowing, each payment or
prepayment of principal of any Borrowing, each payment of interest on the Loans, each payment of
the Commitment Fees, each reduction of the Commitments of any Class and each conversion of any
Borrowing to or continuation of any Borrowing as a Borrowing of any Type shall be allocated pro
rata among the Lenders in accordance with their respective applicable Commitments (or, if such
Commitments shall have expired or been terminated, in accordance with the respective principal
amounts of their outstanding Loans). For purposes of determining the available Tranche A Revolving
Credit Commitments of the Lenders at any time, each outstanding Swingline Loan shall be deemed to
have utilized the Tranche A Revolving Credit Commitments of the Lenders (including those Lenders
which shall not have made Swingline Loans) pro rata in accordance with such respective Tranche A
Revolving Credit Commitments. Each Lender agrees that in computing such Lender’s portion of any
Borrowing to be made hereunder, the Administrative Agent may, in its discretion, round each
Lender’s percentage of such Borrowing to the next higher or lower whole dollar amount.

     SECTION 2.17. Sharing of Setoffs. Each Lender agrees that if it shall, through the exercise
of a right of banker’s lien, setoff or counterclaim against the Borrower or any other Loan Party,
or pursuant to a secured claim under Section 506 of Title 11 of the United States Code or other
security or interest arising from, or in lieu of, such secured claim, received by such Lender under
any applicable bankruptcy, insolvency or other similar law or otherwise, or by any other means,
obtain payment (voluntary or involuntary) in respect of any Loan or Loans or L/C Disbursement as a
result of which the unpaid principal portion of its Loans and participations in L/C Disbursements
shall be proportionately less than the unpaid principal portion of the Loans and participations in

 

37

L/C Disbursements of any other Lender, it shall be deemed simultaneously to have purchased
from such other Lender at face value, and shall promptly pay to such other Lender the purchase
price for, a participation in the Loans and L/C Exposure of such other Lender, so that the
aggregate unpaid principal amount of the Loans and L/C Exposure and participations in Loans and L/C
Exposure held by each Lender shall be in the same proportion to the aggregate unpaid principal
amount of all Loans and L/C Exposure then outstanding as the principal amount of its Loans and L/C
Exposure prior to such exercise of banker’s lien, setoff or counterclaim or other event was to the
principal amount of all Loans and L/C Exposure outstanding prior to such exercise of banker’s lien,
setoff or counterclaim or other event; provided, however, that if any such purchase or purchases or
adjustments shall be made pursuant to this Section and the payment giving rise thereto shall
thereafter be recovered, such purchase or purchases or adjustments shall be rescinded to the extent
of such recovery and the purchase price or prices or adjustment restored without interest. The
Borrower expressly consents to the foregoing arrangements and agrees that any Lender holding a
participation in a Loan or L/C Disbursement deemed to have been so purchased may exercise any and
all rights of banker’s lien, setoff or counterclaim in accordance with the terms and conditions of
this Agreement and applicable law with respect to any and all moneys owing by the Borrower to such
Lender by reason thereof as fully as if such Lender had made a Loan directly to the Borrower in the
amount of such participation.

     SECTION 2.18. Payments. (a) The Borrower shall make each payment (including principal of or
interest on any Borrowing or any L/C Disbursement or any Fees or other amounts) hereunder and under
any other Loan Document not later than 12:00 noon (New York City time) on the date when due in
immediately available dollars, without setoff, defense or counterclaim. Each such payment (other
than (i) Issuing Bank Fees, which shall be paid directly to the Issuing Bank, and (ii) principal of
and interest on Swingline Loans, which shall be paid directly to the Swingline Lender except as
otherwise provided in Section 2.20(e)) shall be made to the Administrative Agent at its offices at
Eleven Madison Avenue, New York, New York 10010. The Administrative Agent shall distribute any
such payments received by it for the account of any other person to the appropriate recipient
following receipt thereof.

     (b) Except as otherwise expressly provided herein, whenever any payment (including principal
of or interest on any Borrowing or any Fees or other amounts) hereunder or under any other Loan
Document shall become due, or otherwise would occur, on a day that is not a Business Day, such
payment may be made on the next succeeding Business Day, and such extension of time shall in such
case be included in the computation of interest or Fees, if applicable, up to but excluding the day
of payment.

     SECTION 2.19. Taxes. (a) Any and all payments by or on account of any obligation of the
Borrower or any other Loan Party hereunder or under any other Loan Document shall be made free and
clear of and without deduction for any Taxes unless such withholding is required by law. If the
Administrative Agent or any Loan Party determines, in its sole discretion exercised in good faith,
that it is so required to withhold Taxes, then such Administrative Agent or Loan Party may so
withhold and shall timely pay the full amount of withheld Taxes to the relevant Governmental
Authority in

 

38

accordance with applicable law. If such Taxes are Indemnified Taxes or Other Taxes then (i)
the sum payable shall be increased as necessary so that after making all required deductions
(including deductions applicable to additional sums payable under this Section) the Administrative
Agent, Lender or Issuing Bank (as the case may be) receives an amount equal to the sum it would
have received had no such deductions been made, (ii) the Borrower or such Loan Party shall make
such deductions and (iii) the Borrower or such Loan Party shall pay the full amount deducted to the
relevant Governmental Authority in accordance with applicable law.

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

     (c) The Borrower shall indemnify the Administrative Agent, each Lender and the Issuing Bank,
within 10 days after written demand therefor, for the full amount of any Indemnified Taxes or Other
Taxes paid by the Administrative Agent, such Lender or the Issuing Bank, as the case may be, on or
with respect to any payment by or on account of any obligation of the Borrower or any other Loan
Party hereunder or under any other Loan Document (including Indemnified Taxes or Other Taxes
imposed or asserted on or attributable to amounts payable under this Section) and any penalties,
interest and reasonable expenses arising therefrom or with respect thereto, whether or not such
Indemnified Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant
Governmental Authority. A certificate as to the amount of such payment or liability delivered to
the Borrower by a Lender or the Issuing Bank, or by the Administrative Agent on behalf of itself or
a Lender, shall be conclusive absent manifest error.

     (d) Each Lender shall severally indemnify the Administrative Agent, within 10 days after
written demand therefor, for the full amount of any Excluded Taxes attributable to such Lender that
are paid by the Administrative Agent on or with respect to any payment by or on account of any
obligation of the Borrower or any other Loan Party hereunder or under any other Loan Document and
any penalties, interest and reasonable expenses arising therefrom or with respect thereto, whether
or not such Excluded Taxes were correctly or legally imposed or asserted by the relevant
Governmental Authority. A certificate as to the amount of such payment or liability delivered to
the Lender by the Administrative Agent shall be conclusive absent manifest error.

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

     (f) Each Foreign Lender hereby agrees that it shall, no later than the Closing Date, in the
case of a Lender that becomes a party hereto after the Closing Date, within 10 days after such
Foreign Lender becomes a party hereto, or, in the case where a Foreign

 

39

Lender changes its applicable lending office by designating a different lending office (a “New
Lending Office”), within 10 days after such Lender designates the New Lending Office, and from time
to time thereafter upon the reasonable request of the Borrower or the Administrative Agent, but
only if such Foreign Lender is legally able to do so, deliver to the Borrower and the
Administrative Agent either (i) two accurate, complete and signed copies of either (x) U.S.
Internal Revenue Service Form W-8ECI or successor form, or (y) U.S. Internal Revenue Service Form
W-8BEN or successor form, in each case, indicating that such Foreign Lender is on the date of
delivery thereof entitled to receive payments of interest hereunder free from, or subject to a
reduced rate of, withholding of United States Federal income tax or (ii) in the case of such a
Lender that is entitled to claim exemption from withholding of United States Federal income tax
under Section 871(h) or Section 881(c) of the Code, (x) a certificate to the effect that such
Lender is (A) not a “bank” within the meaning of Section 881(c)(3)(A) of the Code, (B) not a “10
percent shareholder” within the meaning of Section 881(c)(3)(B) of the Code and (C) not a
controlled foreign corporation described in Section 881(c)(3)(C) of the Code and (y) two accurate,
complete and signed copies of U.S. Internal Revenue Service Form W-8BEN or successor form. In
addition, each Foreign Lender shall deliver such forms promptly upon the obsolescence or invalidity
of any form previously delivered by such Foreign Lender and shall deliver such forms within 20 days
after receipt of a written request therefor from the Borrower or the Administrative Agent.

     (g) Each Lender and Administrative Agent that is a U.S. person as that term is defined in
Section 7701(a)(30) of the Code, other than a Lender or Administrative Agent that may be treated as
an exempt recipient based on the indicators described in Treasury Regulation Section
1.6049-4(c)(1)(ii), hereby agrees that it shall, no later than the Closing Date or, in the case of
a Lender that becomes a party hereto after the Closing Date, within 10 days after such Lender
becomes a party hereto, deliver to the Administrative Agent two accurate, complete and signed
copies of U.S. Internal Revenue Service Form W-9 or successor form, certifying that such Lender or
Administrative Agent, as the case may be, is on the date of delivery thereof entitled to an
exemption from United States backup withholding tax. Unless the Administrative Agent has received
such forms or other documents required by this Section 2.19(g), the Borrower or the Administrative
Agent, as applicable, shall withhold amounts as required by applicable requirements of law from
such payments at the applicable statutory rate.

     (h) If the Administrative Agent or a Lender determines that it has received a refund of any
Taxes or Other Taxes as to which it has been indemnified by the Borrower or with respect to which
the Borrower has paid additional amounts pursuant to this Section 2.19, it shall pay over such
refund to the Borrower (but only to the extent of indemnity payments made, or additional amounts
paid, by the Borrower under this Section 2.19 with respect to the Taxes or Other Taxes giving rise
to such refund), net of all reasonable out-of-pocket expenses of the Administrative Agent or such
Lender and without interest (other than any interest paid by the relevant Governmental Authority
with respect to such refund); provided that the Borrower, upon the request of the Administrative
Agent or such Lender, agrees to repay the amount paid over to the Borrower (plus any penalties,
interest or other charges imposed by the relevant Governmental Authority unless the Governmental
Authority assessed such penalties,

 

40

interest or other charges due to the gross negligence or willful misconduct of the
Administrative Agent or such Lender) to the Administrative Agent or such Lender in the event the
Administrative Agent or such Lender is required to repay such refund to Governmental Authority.
This Section shall not be construed to require the Administrative Agent or any Lender to make
available its tax returns (or any other information relating to its taxes which it deems
confidential) to the Borrower or any other person.

     (i) If a payment made to a Lender under any Loan Document would be subject to U.S. Federal
withholding Tax imposed by FATCA if such Lender fails to comply with the applicable reporting
requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of the Code, as
applicable), such Lender shall deliver to the Borrower and Administrative Agent (A) a certification
signed by the chief financial officer, principal accounting officer, treasurer or controller and
(B) other documentation reasonably requested by the Borrower or Administrative Agent sufficient for
the Borrower and Administrative Agent to comply with their obligations under FATCA and to determine
that such Lender has complied with such applicable reporting requirements.

     SECTION 2.20. Assignment of Commitments Under Certain Circumstances; Duty to Mitigate. (a)
In the event (i) any Lender or the Issuing Bank delivers a certificate requesting compensation
pursuant to Section 2.13, (ii) any Lender or the Issuing Bank delivers a notice described in
Section 2.14, (iii) the Borrower is required to pay any additional amount to any Lender or the
Issuing Bank or any Governmental Authority on account of any Lender or the Issuing Bank pursuant to
Section 2.19 or (iv) any Lender refuses to consent to any amendment, waiver or other modification
of any Loan Document requested by the Borrower that requires the consent of a greater percentage of
the Lenders than the Required Lenders and such amendment, waiver or other modification is consented
to by the Required Lenders, the Borrower may, at its sole expense and effort (including with
respect to the processing and recordation fee referred to in Section 9.04(b)), upon notice to such
Lender or the Issuing Bank and the Administrative Agent, require such Lender or the Issuing Bank to
transfer and assign, without recourse (in accordance with and subject to the restrictions contained
in Section 9.04), all of its interests, rights and obligations under this Agreement (or, in the
case of clause (iv) above, all of its interests, rights and obligations with respect to the Class
of Loans or Commitments that is the subject of the related consent, amendment, waiver or other
modification) to an assignee that shall assume such assigned obligations (which assignee may be
another Lender, if a Lender accepts such assignment); provided that (x) such assignment shall not
conflict with any law, rule or regulation or order of any court or other Governmental Authority
having jurisdiction, (y) the Borrower shall have received the prior written consent of the
Administrative Agent (and, if a Tranche A Revolving Credit Commitment is being assigned, the
Issuing Bank and the Swingline Lender), which consents shall not unreasonably be withheld, and (z)
the Borrower or such assignee shall have paid to the affected Lender or the Issuing Bank in
immediately available funds an amount equal to the sum of the principal of and interest accrued to
the date of such payment on the outstanding Loans or L/C Disbursements of such Lender or the
Issuing Bank, respectively, plus all Fees and other amounts accrued for the account of such Lender
or the Issuing Bank hereunder (including any amounts under Sections 2.13

 

41

and 2.15); provided further that, if prior to any such transfer and assignment the
circumstances or event that resulted in such Lender’s or the Issuing Bank’s claim for compensation
under Section 2.13, notice under Section 2.14 or the amounts paid pursuant to Section 2.19, as the
case may be, cease to cause such Lender or the Issuing Bank to suffer increased costs or reductions
in amounts received or receivable or reduction in return on capital, cease to have the consequences
specified in Section 2.14 or cease to result in amounts being payable under Section 2.19, as the
case may be (including as a result of any action taken by such Lender or the Issuing Bank pursuant
to paragraph (b) of this Section), or if such Lender or the Issuing Bank shall waive its right to
claim further compensation under Section 2.13 in respect of such circumstances or event, shall
withdraw its notice under Section 2.14 or shall waive its right to further payments under Section
2.19 in respect of such circumstances or event or shall consent to the proposed amendment, waiver,
consent or other modification, as the case may be, then such Lender or the Issuing Bank shall not
thereafter be required to make any such transfer and assignment hereunder. Each Lender hereby
grants to the Administrative Agent an irrevocable power of attorney (which power is coupled with an
interest) to execute and deliver, on behalf of such Lender as assignor, any Assignment and
Acceptance necessary to effectuate any assignment of such Lender’s interests hereunder in the
circumstances contemplated by this paragraph.

     (b) If (i) any Lender or the Issuing Bank shall request compensation under Section 2.13, (ii)
any Lender or the Issuing Bank delivers a notice described in Section 2.14 or (iii) the Borrower is
required to pay any additional amount to any Lender or the Issuing Bank or any Governmental
Authority on account of any Lender or the Issuing Bank, pursuant to Section 2.19, then such Lender
or the Issuing Bank shall use reasonable efforts (which shall not require such Lender or the
Issuing Bank to incur an unreimbursed loss or unreimbursed cost or expense or otherwise take any
action inconsistent with its internal policies or legal or regulatory restrictions or suffer any
disadvantage or burden deemed by it to be significant) (x) to file any certificate or document
reasonably requested in writing by the Borrower or (y) to assign its rights and delegate and
transfer its obligations hereunder to another of its offices, branches or affiliates, if such
filing or assignment would reduce its claims for compensation under Section 2.13, enable it to
withdraw its notice pursuant to Section 2.14 or would reduce amounts payable pursuant to Section
2.19, as the case may be, in the future. The Borrower hereby agrees to pay all reasonable costs
and expenses incurred by any Lender or the Issuing Bank in connection with any such filing or
assignment, delegation and transfer.

     SECTION 2.21. Swingline Loans. (a) Swingline Commitment. Subject to the terms and
conditions and relying upon the representations and warranties herein set forth, the Swingline
Lender agrees to make loans to the Borrower at any time and from time to time on and after the
Closing Date and until the earlier of the Maturity Date and the termination of the Tranche A
Revolving Credit Commitments, in an aggregate principal amount at any time outstanding that will
not result in (i) the aggregate principal amount of all Swingline Loans exceeding $5,000,000 in the
aggregate or (ii) the aggregate Tranche A Revolving Credit Exposure, after giving effect to any
Swingline Loan, exceeding the aggregate Tranche A Revolving Credit Commitments. Each Swingline

 

42

Loan shall be in a principal amount that is an integral multiple of $50,000. The Swingline
Commitment may be terminated or reduced from time to time as provided herein. Within the foregoing
limits, the Borrower may borrow, pay or prepay and reborrow Swingline Loans hereunder, subject to
the terms, conditions and limitations set forth herein. Notwithstanding anything to the contrary
contained in this Section 2.21 or elsewhere in this Agreement, the Swingline Lender shall not be
obligated to make any Swingline Loan at a time when a Lender is a Defaulting Lender unless the
Swingline Lender has entered into arrangements satisfactory to it and the Borrower to eliminate the
Swingline Lender’s risk with respect to the Defaulting Lenders’ participation in such Swingline
Loans, including by cash collateralizing such Defaulting Lender’s Pro Rata Percentage of the
outstanding Swingline Loans.

     (b) Swingline Loans. The Borrower shall notify the Swingline Lender by fax, or by telephone
(promptly confirmed by fax), not later than 12:00 noon (New York City time) on the day of a
proposed Swingline Loan. Such notice shall be delivered on a Business Day, shall be irrevocable
and shall refer to this Agreement and shall specify the requested date (which shall be a Business
Day) and amount of such Swingline Loan and the wire transfer instructions for the account of the
Borrower to which the proceeds of the Swingline Loan should be transferred. The Swingline Lender
shall make each Swingline Loan by wire transfer to the account specified in such request.

     (c) Prepayment. The Borrower shall have the right at any time and from time to time to
prepay any Swingline Loan, in whole or in part, upon giving written or fax notice (or telephone
notice promptly confirmed by written, or fax notice) to the Swingline Lender before 12:00 noon (New
York City time) on the date of prepayment at the Swingline Lender’s address for notices specified
herein.

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

     (e) Participations. The Swingline Lender may by written notice given to the Administrative
Agent not later than 12:00 noon (New York City time) on any Business Day require the Tranche A
Revolving Credit Lenders to acquire participations on such Business Day in all or a portion of the
Swingline Loans outstanding. Such notice shall specify the aggregate amount of Swingline Loans in
which Tranche A Revolving Credit Lenders will participate. The Administrative Agent will, promptly
upon receipt of such notice, give notice to each Tranche A Revolving Credit Lender, specifying in
such notice such Tranche A Revolving Credit Lender’s Tranche A Pro Rata Percentage of such
Swingline Loan or Loans. In furtherance of the foregoing, each Tranche A Revolving Credit Lender
hereby absolutely and unconditionally agrees, upon receipt of notice as provided above, to pay to
the Administrative Agent, for the account of the Swingline Lender, such Tranche A Revolving Credit
Lender’s Tranche A Pro Rata Percentage of such Swingline Loan or Loans. Each Tranche A Revolving
Credit Lender acknowledges and agrees that its obligation to acquire participations in Swingline
Loans pursuant to this paragraph is absolute and unconditional and shall not be affected by any
circumstance whatsoever, including the occurrence and continuance of a Default or an Event of
Default, and that each such payment shall be made without any offset, abatement,

 

43

withholding or reduction whatsoever. Each Tranche A Revolving Credit Lender shall comply with
its obligation under this paragraph by wire transfer of immediately available funds, in the same
manner as provided in Section 2.02(c) with respect to Loans made by such Lender (and Section
2.02(c) shall apply, mutatis mutandis, to the payment obligations of the Tranche A Revolving Credit
Lenders) and the Administrative Agent shall promptly pay to the Swingline Lender the amounts so
received by it from the Tranche A Revolving Credit Lenders. The Administrative Agent shall notify
the Borrower of any participations in any Swingline Loan acquired pursuant to this paragraph and
thereafter payments in respect of such Swingline Loan shall be made to the Administrative Agent and
not to the Swingline Lender. Any amounts received by the Swingline Lender from the Borrower (or
other party on behalf of the Borrower) in respect of a Swingline Loan after receipt by the
Swingline Lender of the proceeds of a sale of participations therein shall be promptly remitted to
the Administrative Agent; any such amounts received by the Administrative Agent shall be promptly
remitted by the Administrative Agent to the Tranche A Revolving Credit Lenders that shall have made
their payments pursuant to this paragraph and to the Swingline Lender, as their interests may
appear. The purchase of participations in a Swingline Loan pursuant to this paragraph shall not
relieve the Borrower (or other party liable for obligations of the Borrower) of any default in the
payment thereof.

     SECTION 2.22. Letters of Credit. (a) General. The Borrower may request the issuance of a
Letter of Credit for its own account or for the account of any of its Subsidiaries (in which case
the Borrower and such Subsidiary shall be co-applicants with respect to such Letter of Credit), in
a form reasonably acceptable to the Administrative Agent and the Issuing Bank, at any time and from
time to time while the L/C Commitment remains in effect; provided that the Issuing Bank shall not
be required to issue, extend or renew any Letter of Credit after the date that is 30 days prior to
the Maturity Date. This Section shall not be construed to impose an obligation upon the Issuing
Bank to issue any Letter of Credit that is inconsistent with the terms and conditions of this
Agreement. Notwithstanding anything to the contrary contained in this Section 2.22 or elsewhere in
this Agreement, in the event that a Tranche A Revolving Credit Lender is a Defaulting Lender, the
Issuing Bank shall not be required to issue any Letter of Credit unless the Issuing Bank has
entered into arrangements satisfactory to it and the Borrower to eliminate the Issuing Bank’s risk
with respect to the participation in Letters of Credit by all such Defaulting Lenders, including by
cash collateralizing each such Defaulting Lender’s Tranche A Pro Rata Percentage of each Letter of
Credit.

     (b) Notice of Issuance, Amendment, Renewal, Extension; Certain Conditions. In order to
request the issuance of a Letter of Credit, the Borrower shall hand deliver or fax to the Issuing
Bank and the Administrative Agent (reasonably in advance of the requested date of issuance,
amendment, renewal or extension) a notice requesting the issuance of a Letter of Credit, or
identifying the Letter of Credit to be amended, renewed or extended, the date of issuance,
amendment, renewal or extension, the date on which such Letter of Credit is to expire (which shall
comply with paragraph (c) of this Section), the amount of such Letter of Credit, the name and
address of the beneficiary thereof and such other information as shall be necessary to prepare such
Letter of Credit. A Letter of Credit shall be issued, amended, renewed or extended only if, and
upon issuance,

 

44

amendment, renewal or extension of each Letter of Credit the Borrower shall be deemed to
represent and warrant that, after giving effect to such issuance, amendment, renewal or extension
(i) the L/C Exposure shall not exceed the lesser of $10,000,000 and the amount then authorized by
the board of directors of the Borrower and (ii) the aggregate Tranche A Revolving Credit Exposure
shall not exceed the aggregate Tranche A Revolving Credit Commitments.

     (c) Expiration Date. Each Letter of Credit shall expire at the close of business on the
earlier of the date one year after the date of the issuance of such Letter of Credit and the date
that is five Business Days prior to the Maturity Date, unless such Letter of Credit expires by its
terms on an earlier date; provided, however, that a Letter of Credit may, upon the request of the
Borrower, include a provision whereby such Letter of Credit shall be renewed automatically for
additional consecutive periods of 12 months or less (but not beyond the date that is five Business
Days prior to the Maturity Date) unless the Issuing Bank notifies the beneficiary thereof at least
30 days prior to the then-applicable expiration date that such Letter of Credit will not be
renewed.

     (d) Participations. By the issuance of a Letter of Credit and without any further action on
the part of the Issuing Bank or the Lenders, the Issuing Bank hereby grants to each Tranche A
Revolving Credit Lender, and each such Tranche A Revolving Credit Lender hereby acquires from the
Issuing Bank, a participation in such Letter of Credit equal to such Tranche A Revolving Credit
Lender’s Tranche A Pro Rata Percentage of the aggregate amount available to be drawn under such
Letter of Credit, effective upon the issuance of such Letter of Credit. In consideration and in
furtherance of the foregoing, each Tranche A Revolving Credit Lender hereby absolutely and
unconditionally agrees to pay to the Administrative Agent, for the account of the Issuing Bank,
such Tranche A Revolving Credit Lender’s Tranche A Pro Rata Percentage of each L/C Disbursement
made by the Issuing Bank and not reimbursed by the Borrower (or, if applicable, another party
pursuant to its obligations under any other Loan Document) forthwith on the date due as provided in
paragraph (e) below. Each Tranche A Revolving Credit Lender acknowledges and agrees that its
obligation to acquire participations pursuant to this paragraph in respect of Letters of Credit is
absolute and unconditional and shall not be affected by any circumstance whatsoever, including the
occurrence and continuance of a Default or an Event of Default, and that each such payment shall be
made without any offset, abatement, withholding or reduction whatsoever.

     (e) Reimbursement. If the Issuing Bank shall make any L/C Disbursement in respect of a
Letter of Credit, the Borrower shall reimburse such L/C Disbursement by paying to the
Administrative Agent an amount equal to such L/C Disbursement not later than 12:00 noon, New York
City time, on the Business Day following the date that such L/C Disbursement is made; provided that
(i) if notice of such L/C Disbursement is received by the Borrower later than 10:00 a.m., New York
City time, on the Business Day on which such L/C Disbursement is made, then such reimbursement
shall not be required until the second Business Day following the date such L/C Disbursement is
made and (ii) the Borrower may, subject to the conditions to borrowing set forth herein, request in
accordance with Section 2.03 that such payment be financed with an ABR Revolving Borrowing or a
Swingline Loan in an equivalent amount and, to the extent so

 

45

financed, the Borrower’s obligation to make such payment shall be discharged and replaced by
the resulting ABR Revolving Borrowing or Swingline Loan. If the Borrower fails to make such
payment when due, the Administrative Agent shall notify each Tranche A Revolving Credit Lender of
the applicable L/C Disbursement, the payment then due from the Borrower in respect thereof and such
Tranche A Revolving Credit Lender’s Tranche A Pro Rata Percentage thereof. Promptly following
receipt of such notice, each Tranche A Revolving Credit Lender shall pay to the Administrative
Agent its Tranche A Pro Rata Percentage of the payment then due from the Borrower, in the same
manner as provided in Section 2.02 with respect to Loans made by such Tranche A Revolving Credit
Lender (and Section 2.02 shall apply, mutatis mutandis, to the payment obligations of the Tranche A
Revolving Credit Lenders), and the Administrative Agent shall promptly pay to the Issuing Bank the
amounts so received by it from the Tranche A Revolving Credit Lenders. Promptly following receipt
by the Administrative Agent of any payment from the Borrower pursuant to this paragraph, the
Administrative Agent shall distribute such payment to the Issuing Bank or, to the extent that
Tranche A Revolving Credit Lenders have made payments pursuant to this paragraph to reimburse the
Issuing Bank, then to such Tranche A Revolving Credit Lenders and the Issuing Bank as their
interests may appear. Any payment made by a Tranche A Revolving Credit Lender pursuant to this
paragraph to reimburse the Issuing Bank for any L/C Disbursement (other than the funding of ABR
Revolving Loans or a Swingline Loan as contemplated above) shall not constitute a Loan and shall
not relieve the Borrower of its obligation to reimburse such L/C Disbursement.

     (f) Obligations Absolute. The Borrower’s obligations to reimburse L/C Disbursements as
provided in paragraph (e) of this Section shall be absolute, unconditional and irrevocable, and
shall be performed strictly in accordance with the terms of this Agreement, under any and all
circumstances whatsoever, and irrespective of:

     (i) any lack of validity or enforceability of any Letter of Credit or any Loan
Document, or any term or provision therein;

     (ii) any amendment or waiver of or any consent to departure from all or any of the
provisions of any Letter of Credit or any Loan Document;

     (iii) the existence of any claim, setoff, defense or other right that the Borrower,
any other party guaranteeing, or otherwise obligated with, the Borrower, any Subsidiary or
other Affiliate thereof or any other person may at any time have against the beneficiary
under any Letter of Credit, the Issuing Bank, the Administrative Agent or any Lender or any
other person, whether in connection with this Agreement, any other Loan Document or any
other related or unrelated agreement or transaction;

     (iv) any draft or other document presented under a Letter of Credit proving to be
forged, fraudulent, invalid or insufficient in any respect or any statement therein being
untrue or inaccurate in any respect;

 

46

     (v) payment by the Issuing Bank under a Letter of Credit against presentation of a
draft or other document that does not comply with the terms of such Letter of Credit; and

     (vi) any other act or omission to act or delay of any kind of the Issuing Bank, any
Lender, the Administrative Agent or any other person or any other event or circumstance
whatsoever, whether or not similar to any of the foregoing, that might, but for the
provisions of this Section, constitute a legal or equitable discharge of the Borrower’s
obligations hereunder.

Without limiting the generality of the foregoing, it is expressly understood and agreed that the
absolute and unconditional obligation of the Borrower hereunder to reimburse L/C Disbursements will
not be excused by the gross negligence or willful misconduct of the Issuing Bank. The foregoing
shall not, however, be construed to excuse the Issuing Bank from liability to the Borrower to the
extent of any direct damages (as opposed to consequential damages, claims in respect of which are
hereby waived by the Borrower to the extent permitted by applicable law) suffered by the Borrower
that are caused by the Issuing Bank’s gross negligence or willful misconduct in determining whether
drafts and other documents presented under a Letter of Credit comply with the terms thereof. It is
understood that the Issuing Bank may accept documents that appear on their face to be in order,
without responsibility for further investigation, regardless of any notice or information to the
contrary and, in making any payment under any Letter of Credit (i) the Issuing Bank’s exclusive
reliance on the documents presented to it under such Letter of Credit as to any and all matters set
forth therein, including reliance on the amount of any draft presented under such Letter of Credit,
whether or not the amount due to the beneficiary thereunder equals the amount of such draft and
whether or not any document presented pursuant to such Letter of Credit proves to be insufficient
in any respect, if such document on its face appears to be in order, and whether or not any other
statement or any other document presented pursuant to such Letter of Credit proves to be forged or
invalid or any statement therein proves to be inaccurate or untrue in any respect whatsoever and
(ii) any noncompliance in any immaterial respect of the documents presented under such Letter of
Credit with the terms thereof shall, in each case, be deemed not to constitute gross negligence or
willful misconduct of the Issuing Bank.

     (g) Disbursement Procedures. The Issuing Bank shall, promptly following its receipt thereof,
examine all documents purporting to represent a demand for payment under a Letter of Credit. The
Issuing Bank shall as promptly as possible give telephonic notification, confirmed by fax, to the
Administrative Agent and the Borrower of such demand for payment and whether the Issuing Bank has
made or will make an L/C Disbursement thereunder; provided that (i) the Issuing Bank shall use
reasonable efforts to notify the Borrower prior to making payment on a standby letter of credit and
(ii) any failure to give or delay in giving any notice referred to in this paragraph shall not
relieve the Borrower of its obligation to reimburse the Issuing Bank and the Tranche A Revolving
Credit Lenders with respect to any such L/C Disbursement.

     (h) Interim Interest. If the Issuing Bank shall make any L/C Disbursement in respect of a
Letter of Credit, then, unless the Borrower shall reimburse such L/C

 

47

Disbursement in full on such date, the unpaid amount thereof shall bear interest for the
account of the Issuing Bank, for each day from and including the date of such L/C Disbursement, to
but excluding the earlier of the date of payment by the Borrower or the date on which such L/C
Disbursement is refinanced with a Revolving Loan or a Swingline Loan pursuant to paragraph (e)
above, at the rate per annum that would apply to such amount if such amount were an ABR Revolving
Loan.

     (i) Resignation or Removal of the Issuing Bank. The Issuing Bank may resign at any time by
giving 45 days’ prior written notice to the Administrative Agent, the Lenders and the Borrower, and
may be removed at any time by the Borrower by notice to the Issuing Bank, the Administrative Agent
and the Lenders. Upon the acceptance of any appointment as the Issuing Bank hereunder by a Lender
that shall agree to serve as successor Issuing Bank, such successor shall succeed to and become
vested with all the interests, rights and obligations of the retiring Issuing Bank and the retiring
Issuing Bank shall be discharged from its obligations to issue additional Letters of Credit
hereunder. At the time such removal or resignation shall become effective, the Borrower shall pay
all unpaid fees accrued pursuant to clause (ii) of Section 2.05(c). The acceptance of any
appointment as the Issuing Bank hereunder by a successor Lender shall be evidenced by an agreement
entered into by such successor, in a form satisfactory to the Borrower and the Administrative
Agent, and, from and after the effective date of such agreement, (i) such successor Lender shall
have all the rights and obligations of the previous Issuing Bank under this Agreement and the other
Loan Documents and (ii) references herein and in the other Loan Documents to the term “Issuing
Bank” shall be deemed to refer to such successor or to any previous Issuing Bank, or to such
successor and all previous Issuing Banks, as the context shall require. After the resignation or
removal of the Issuing Bank hereunder, the retiring Issuing Bank shall remain a party hereto and
shall continue to have all the rights and obligations of an Issuing Bank under this Agreement and
the other Loan Documents with respect to Letters of Credit issued by it prior to such resignation
or removal, but shall not be required to issue additional Letters of Credit.

     (j) Cash Collateralization. If any Event of Default shall occur and be continuing, the
Borrower shall, on the Business Day it receives notice from the Administrative Agent or the
Required Lenders (or, if the maturity of the Loans has been accelerated, Tranche A Revolving Credit
Lenders holding participations in outstanding Letters of Credit representing greater than 50% of
the aggregate undrawn amount of all outstanding Letters of Credit) thereof and of the amount to be
deposited, deposit in an account with the Administrative Agent, for the benefit of the Lenders, an
amount in cash equal to the L/C Exposure as of such date. Such deposit shall be held by the
Administrative Agent as collateral for the payment and performance of the Bank Obligations. The
Administrative Agent shall have exclusive dominion and control, including the exclusive right of
withdrawal, over such account. Other than any interest earned on the investment of such deposits
in Permitted Investments, which investments shall be made at the option and sole discretion of the
Administrative Agent, such deposits shall not bear interest. Interest or profits, if any, on such
investments shall accumulate in such account. Moneys in such account shall (i) automatically be
applied by the Administrative Agent to reimburse the Issuing Bank for L/C Disbursements for which
it has not been reimbursed, (ii) be held for the satisfaction of the reimbursement obligations of
the Borrower for the L/C Exposure at

 

48

such time and (iii) if the maturity of the Loans has been accelerated (but subject to the
consent of Tranche A Revolving Credit Lenders holding participations in outstanding Letters of
Credit representing greater than 50% of the aggregate undrawn amount of all outstanding Letters of
Credit), be applied to satisfy the Bank Obligations. If the Borrower is required to provide cash
collateral hereunder as a result of the occurrence of an Event of Default, the amount remaining on
deposit in the account as described above (to the extent not applied as aforesaid) shall be
returned to the Borrower within three Business Days after all Events of Default have been cured or
waived.

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

     SECTION 2.23. Incremental Commitments. (a) The Borrower may, by written notice to the
Administrative Agent from time to time, request Incremental Commitments in an amount not to exceed
the Incremental Loan Amount from one or more Incremental Lenders, which may include any existing
Lender; provided that each Incremental Lender, if not already a Lender hereunder, shall be subject
to the approval of the Administrative Agent and, in the case of any increase in Tranche A Revolving
Credit Commitments, the Issuing Bank and the Swingline Lender (which approvals shall not be
unreasonably withheld or delayed). Such notice shall set forth (i) the amount of the Incremental
Commitments being requested (which, unless otherwise agreed to by the Administrative Agent, shall
be in integral multiples of $1,000,000 and a minimum amount of $5,000,000 or in an amount equal to
the remaining Incremental Amount), (ii) the date on which such Incremental Commitments are
requested to become effective (which shall not be less than five Business Days after the date of
such notice) and (iii) whether such Incremental Commitments are to be Tranche A Revolving Credit
Commitments, Tranche B Revolving Credit Commitments or Incremental Term Commitments. For the
avoidance of doubt, no Lender shall have any obligation to assume an Incremental Commitment.

     (b) The Borrower and each Incremental Lender shall execute and deliver to the Administrative
Agent an Incremental Assumption Agreement and such other documentation as the Administrative Agent
shall reasonably specify to evidence the Incremental Commitment of such Incremental Lender. Each
such agreement shall specify the terms of the Incremental Commitments to be made thereunder;
provided, however, that, without the prior written consent of the Required Lenders, (i) the final
maturity date of any Incremental Term Loans shall be no earlier than the Maturity Date and (ii) if
the initial yield on any Incremental Term Loans (as determined by the Administrative Agent to be
equal to the sum of (A) the margin over the Adjusted LIBO Rate (including as margin the effect of
any “LIBOR floor”) applicable to the Incremental Term Loans and (B) if the Incremental Term Loans
are initially made at a discount or the lenders making the same receive an “upfront” fee (as
opposed to an “arrangement” or

 

49

similar fee paid solely to the arranger or arrangers of such Incremental Term Loans) from the
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 “OID”), the amount of such
OID divided by the lesser of (A) the average life to maturity of such Incremental Term Loans and
(B) four) exceeds (the amount of such excess being referred to herein as the “Yield Differential”)
the Applicable Percentage (plus the effect of the “LIBOR floor” contained in clause (a) of the
definition of the term “Adjusted LIBO Rate”) for Eurodollar Loans hereunder, then the Applicable
Percentages for the Loans hereunder shall automatically be increased by the Yield Differential,
effective upon the making of the Incremental Term Loans. The other economic terms of any
Incremental Term Loans (including the scheduled amortization and the mandatory and optional
prepayment provisions thereof) shall be as agreed to by the Borrower and the Incremental Lenders,
subject to the prior written approval of the Administrative Agent, and shall be set forth in the
Incremental Assumption Agreement. Without the prior written consent of the Required Lenders, any
Incremental Commitments consisting of Revolving Credit Commitments of a Class shall be identical in
all respects to the then-existing Revolving Credit Commitments of such Class; provided, however,
that (x) the Applicable Percentages, “LIBOR floor” and Commitment Fees with respect to all
Revolving Credit Commitments may be increased concurrently with the effectiveness of any
Incremental Commitment and (y) if the Incremental Lenders assuming such Revolving Credit Commitment
receive an “upfront” fee (as opposed to an “arrangement” or similar fee paid solely to the arranger
or arrangers of such Incremental Commitment) from the Borrower or any Subsidiary for doing so, then
the Borrower or such Subsidiary shall pay the same “upfront” or similar fee (in each case, as a
percentage of the applicable Revolving Credit Commitments) to the then-existing Revolving Credit
Lenders in respect of their then-existing Revolving Credit Commitments concurrently with the
effectiveness of such Incremental Commitment. The Administrative Agent shall promptly notify each
Lender as to the effectiveness of each Incremental Assumption Agreement. Each of the parties
hereto hereby agrees that, upon the effectiveness of any Incremental Assumption Agreement, this
Agreement shall be deemed amended to the extent (but only to the extent) necessary to reflect the
existence and terms of the Incremental Commitment evidenced thereby and any increase to the
Applicable Percentages, “LIBOR floor” or Commitment Fee required by the foregoing provisions of
this Section 2.23(b). Any such deemed amendment may be memorialized in writing by the
Administrative Agent with the Borrower’s consent (not to be unreasonably withheld or delayed) and
furnished to the other parties hereto.

     (c) Notwithstanding the foregoing, no Incremental Commitment shall become effective under
this Section 2.23 unless (i) on or before the date of such effectiveness, the conditions set forth
in paragraphs (b) and (d) of Section 4.01 shall be satisfied and the Administrative Agent shall
have received a certificate to that effect dated as of such date and executed by a Financial
Officer of the Borrower, and (ii) the Administrative Agent shall have received (with sufficient
copies for each of the Incremental Lenders) legal opinions, board resolutions and other closing
certificates and documentation consistent with those delivered on the Closing Date under Section
4.02.

 

50

     (d) Each of the parties hereto hereby agrees that the Administrative Agent may take any and
all action as may be reasonably necessary to ensure that all Revolving Loans in respect of
Incremental Commitments, when originally made, are included in each Borrowing of outstanding
Revolving Loans on a pro rata basis. The Borrower agrees that Section 2.15 shall apply to any
conversion of Eurodollar Loans to ABR Loans reasonably required by the Administrative Agent to
effect the foregoing.

ARTICLE III

Representations and Warranties

     The Borrower represents and warrants to the Administrative Agent, the Collateral Agent, the
Issuing Bank and each Lender that:

     SECTION 3.01. Organization; Powers. The Borrower and each of the Subsidiaries (a) is duly
organized, validly existing and in good standing under the laws of the jurisdiction of its
organization, (b) has all requisite power and authority to own its property and assets and to carry
on its business as now conducted and as proposed to be conducted, (c) is qualified to do business
in, and is in good standing in, every jurisdiction where such qualification is required, except
where the failure so to qualify could not reasonably be expected to result in a Material Adverse
Effect, and (d) has the power and authority to execute, deliver and perform its obligations under
each of the Loan Documents and each other agreement or instrument contemplated thereby to which it
is or will be a party and, in the case of the Borrower, to borrow hereunder.

     SECTION 3.02. Authorization. The Transactions (a) have been duly authorized by all requisite
corporate and, if required, stockholder action and (b) will not (i) violate (A) any provision of
law, statute, rule or regulation, or of the certificate or articles of incorporation or other
constitutive documents or by-laws of the Borrower or any Subsidiary Guarantor, (B) any order of any
Governmental Authority or (C) any provision of any indenture, agreement or other instrument to
which the Borrower or any Subsidiary is a party or by which any of them or any of their property is
or may be bound, (ii) be in conflict with, result in a breach of or constitute (alone or with
notice or lapse of time or both) a default under, or give rise to any right to accelerate or to
require the prepayment, repurchase or redemption of any obligation under any such indenture,
agreement or other instrument or (iii) result in the creation or imposition of any Lien upon or
with respect to any property or assets now owned or hereafter acquired by the Borrower or any
Subsidiary (other than Liens created under the Security Documents).

     SECTION 3.03. Enforceability. This Agreement has been duly executed and delivered by the
Borrower and constitutes, and each other Loan Document when executed and delivered by each Loan
Party party thereto will constitute, a legal, valid and binding obligation of such Loan Party
enforceable against such Loan Party in accordance with its terms, except as enforceability may be
limited by applicable bankruptcy, insolvency, reorganization, moratorium or other laws relating to
or affecting generally the enforcement of creditors’ rights and except to the extent that
availability of the remedy of

 

51

specific performance or injunctive relief is subject to the discretion of the court
before which any proceeding thereof may be brought.

     SECTION 3.04. Governmental Approvals. (a) No action, consent or approval of, registration
or filing with or any other action by any Governmental Authority is or will be required in
connection with the Transactions, except for (i) the filing of Uniform Commercial Code financing
statements and filings with the United States Patent and Trademark Office and the United States
Copyright Office, (ii) filings under the Assignment of Claims Act and (iii) such as have been made
or obtained and are in full force and effect.

     (b) No notice of suspension, debarment or termination for default has been received by the
Borrower or any Subsidiary and no cure notice has been received by the Borrower or any Subsidiary
in connection with any Government Contract or other contract pursuant to which the Borrower or any
Subsidiary is directly or indirectly acting as a subcontractor under or in connection with a
Government Contract. Each Material Contract existing on the Closing Date is listed on Schedule
3.04(b), and documentation necessary for compliance with the Assignment of Claims Act has been
executed and delivered to the Collateral Agent by the Borrower or any Subsidiary, as applicable,
with respect to each such Material Contract.

     SECTION 3.05. Financial Statements. The Borrower has heretofore furnished to the Lenders (i)
the consolidated balance sheets and related statements of operations, shareholders’ equity and cash
flows of the Borrower and its consolidated subsidiaries as of and for the fiscal years ended
September 30, 2008 and 2009 each audited by and accompanied by the unqualified opinion of Deloitte
& Touche LLP, independent public accountants, (ii) the unaudited consolidated balance sheet and
related statements of operations and cash flows of the Borrower and its consolidated subsidiaries
as of and for (A) each fiscal quarter subsequent to September 30, 2009 ended at least 45 days
before the Closing Date and (B) each fiscal month subsequent to the date of the most recent
unaudited quarterly financial statements furnished under clause (A) ended at least 30 days before
the Closing Date. Such financial statements were prepared in accordance with GAAP and present
fairly in all material respects the financial condition and results of operations and cash flows of
the Borrower and its consolidated subsidiaries as of such dates and for such periods, subject to
normal year-end adjustments in the case of the documents provided pursuant to clause (ii). Such
balance sheets and the notes thereto disclose all material liabilities, direct or contingent, of
the Borrower and its consolidated Subsidiaries as of the dates thereof.

     SECTION 3.06. No Material Adverse Change. No event, change or condition has occurred that,
individually or in the aggregate, has caused, or could reasonably be expected to cause, a material
adverse effect on the business, assets, liabilities, operations or financial condition of the
Borrower and the Subsidiaries, taken as a whole, since September 30, 2009.

     SECTION 3.07. Title to Properties; Possession Under Leases. (a) Each of the Borrower and
the Subsidiaries has good and marketable title to, or valid leasehold

 

52

interests in, all its material properties and assets, except for minor defects in title that
do not interfere with its ability to conduct its business as currently conducted or to utilize such
properties and assets for their intended purposes. All such material properties and assets are
free and clear of Liens, other than Liens expressly permitted by Section 6.02.

     (b) Each of the Borrower and the Subsidiaries has complied with all obligations under all
material leases to which it is a party and all such leases are in full force and effect. Each of
the Borrower and the Subsidiaries enjoys peaceful and undisturbed possession under all such
material leases, subject to rights reserved by lessors under such leases.

     SECTION 3.08. Subsidiaries. (a) Schedule 3.08(a) sets forth as of the Closing Date a
complete and accurate list of all Subsidiaries, the percentage ownership interest of the Borrower
or any Subsidiary therein and the jurisdiction of incorporation of each Subsidiary. The shares of
capital stock or other ownership interests so indicated on Schedule 3.08(a) are fully paid and
non-assessable and are owned by the Borrower or any Subsidiary, directly or indirectly, free and
clear of all Liens (other than Liens created under the Security Documents).

     (b) Schedule 3.08(b) sets forth as of the Closing Date a complete and accurate list of all
Insignificant Subsidiaries, the percentage ownership interest of the Borrower or any Subsidiary
therein and the jurisdiction of incorporation of each Insignificant Subsidiary. The shares of
capital stock or other ownership interests so indicated on Schedule 3.08(b) are fully paid and
non-assessable and are owned by the Borrower or any Subsidiary, directly or indirectly, free and
clear of all Liens.

     SECTION 3.09. Litigation; Compliance with Laws. (a) Except as set forth on Schedule 3.09,
there are no actions, suits or proceedings at law or in equity or by or before any Governmental
Authority now pending or, to the knowledge of the Borrower, threatened against or affecting the
Borrower or any Subsidiary or any business, property or rights of any such person (i) that involve
any Loan Document or the Transactions 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.

     (b) Since the Closing Date, there has been no change in the status of the matters disclosed
on Schedule 3.09 that, individually or in the aggregate, has resulted in, or materially increased
the likelihood of, a Material Adverse Effect.

     (c) None of the Borrower or any of the Subsidiaries or any of their respective material
properties or assets is in violation of, nor will the continued operation of their material
properties and assets as currently conducted violate, any law, rule or regulation (including any
zoning, building, Environmental Law, ordinance, code or approval or any building permits), or is in
default with respect to any judgment, writ, injunction, decree or order of any Governmental
Authority, where such violation or default could reasonably be expected to result in a Material
Adverse Effect.

 

53

     (d) To the Borrower’s knowledge, neither the ESOP Fiduciary nor the ESOT Trustee has made any
assertion with respect to the ESOP or the ESOT contrary to or inconsistent with the accuracy of any
representation or warranty set forth herein that could reasonably be expected to result in a
Material Adverse Effect.

     (e) For all taxable periods up to and including the earlier of (i) the date on which the
Borrower terminates its election to be treated as an S corporation for U.S. Federal income tax
purposes and (ii) the issue date of the Senior Warrants, the Borrower has been and will be a valid
S corporation under Section 1361 of the Code and under the laws of those U.S. states in which the
Borrower files state income tax returns and which also recognize S corporation status for state
income tax purposes.

     SECTION 3.10. Agreements. Neither the Borrower nor any Subsidiary is in default in any
manner under any provision of any indenture or other agreement or instrument evidencing Material
Indebtedness, or any other material agreement or instrument to which it is a party or by which it
or any of its properties or assets are or may be bound, where such default could reasonably be
expected to result in a Material Adverse Effect.

     SECTION 3.11. Federal Reserve Regulations. (a) Neither the Borrower nor any Subsidiary 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.

     (b) No part of the proceeds of any Loan or any Letter of Credit 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 3.12. Investment Company Act. Neither the Borrower nor any Subsidiary is an
“investment company” as defined in, or subject to regulation under, the Investment Company Act of
1940.

     SECTION 3.13. Use of Proceeds. The Borrower will use the proceeds of the Loans and will
request the issuance of Letters of Credit only for the purposes specified in the preliminary
statement to this Agreement.

     SECTION 3.14. Tax Returns. Each of the Borrower and the Subsidiaries has filed or caused to
be filed all U.S. Federal, state, local and non-U.S. tax returns or materials required to have been
filed by it and has paid or caused to be paid all taxes due and payable by it and all assessments
received by it, except for immaterial filings and amounts and taxes that are being contested in
good faith by appropriate proceedings and for which the Borrower or such Subsidiary, as applicable,
shall have set aside on its books adequate reserves.

     SECTION 3.15. No Material Misstatements. None of the reports, financial statements, exhibits
and schedules, taken as a whole, furnished by or on behalf of the Borrower to the Administrative
Agent or any Lender in connection with the negotiation of any Loan Document or included therein or
delivered pursuant thereto contained,

 

54

contain or will contain any material misstatement of fact or omitted, omit or will omit to
state any material fact necessary to make the statements therein, in the light of the circumstances
under which they were, are or will be made, not misleading; provided that to the extent any such
information, report, financial statement, exhibit or schedule was based upon or constitutes a
forecast or projection, the Borrower represents only that it acted in good faith and utilized
reasonable assumptions and due care in the preparation of such information, report, financial
statement, exhibit or schedule.

     SECTION 3.16. Employee Benefit Plans. Each of the Borrower 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. 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 material liability of the Borrower or any of its ERISA Affiliates. The
present value of all benefit liabilities under each Plan (based on the assumptions used for
purposes of Statement of Financial Accounting Standards No. 87 or any successor thereto, including
pursuant to the Accounting Standards Codification) did not, as of the last annual valuation date
applicable thereto, exceed by more than $1,000,000 the fair market value of the assets of such
Plan, and the present value of all benefit liabilities of all underfunded Plans (based on the
assumptions used for purposes of Statement of Financial Accounting Standards No. 87) did not, as of
the last annual valuation dates applicable thereto, exceed by more than $1,000,000 the fair market
value of the assets of all such underfunded Plans.

     SECTION 3.17. Environmental Matters. (a) Except as set forth in Schedule 3.17 and except
with respect to any other matters that, individually or in the aggregate, could not reasonably be
expected to result in a Material Adverse Effect, neither the Borrower nor any Subsidiary (i) has
failed to comply with any Environmental Law or to obtain, maintain or comply with any Environmental
Permit, (ii) has become subject to any Environmental Liability, (iii) has received notice of any
claim with respect to any Environmental Liability or (iv) knows of any basis for any Environmental
Liability.

     (b) Since the date of this Agreement, there has been no change, including with respect to the
matters disclosed on Schedule 3.17 that, individually or in the aggregate, has resulted in, or
materially increased the likelihood of, a Material Adverse Effect.

     SECTION 3.18. Insurance. Schedule 3.18 sets forth a true, complete and correct description
of all insurance maintained by the Borrower or by the Borrower for its Subsidiaries as of the date
hereof and the Closing Date. As of each such date, such insurance is in full force and effect and
all premiums have been duly paid. The Borrower and the Subsidiaries have insurance in such amounts
and covering such risks and liabilities as are in accordance with normal industry practice.

     SECTION 3.19. Security Documents. (a) The Security Agreement, upon execution and delivery
thereof by the parties thereto, will create in favor of the Collateral Agent, for the ratable
benefit of the Secured Parties, a legal, valid and enforceable security interest in the Collateral
(as defined in the Security Agreement) and the proceeds

 

55

thereof and (i) when the Pledged Collateral
(as defined in the Security Agreement) is
delivered to the Collateral Agent, the Lien created under the Security Agreement shall
constitute a fully perfected first-priority Lien on, and security interest in, all right, title and
interest of the Loan Parties in such Pledged Collateral, in each case prior and superior in right
to any other person, and (ii) when financing statements in appropriate form are filed in the
offices specified on Schedule 3.19(a), the Lien created under the Security Agreement will
constitute a fully perfected Lien on, and security interest in, all right, title and interest of
the Loan Parties in such Collateral (other than Intellectual Property, as defined in the Security
Agreement), in which a security interest may be perfected by filing in the United States of America
and its territories and possessions, in each case prior and superior in right to any other person,
other than with respect to Liens expressly permitted by Section 6.02.

     (b) Upon the recordation of the Security Agreement (or a short form security agreement in
form and substance satisfactory to the Borrower and the Collateral Agent) with the United States
Patent and Trademark Office and the United States Copyright Office, together with the financing
statements in appropriate form filed in the offices specified on Schedule 3.19(a), the Lien created
under the Security Agreement shall constitute a fully perfected Lien on, and security interest in,
all right, title and interest of the Loan Parties in the Intellectual Property (as defined in the
Security Agreement) in which a security interest may be perfected by filing in the United States of
America and its territories and possessions, in each case prior and superior in right to any other
person (it being understood that subsequent recordings in the United States Patent and Trademark
Office and the United States Copyright Office may be necessary to perfect a Lien on registered
trademarks and patents, trademark and patent applications and registered copyrights acquired by the
Loan Parties after the date hereof).

     SECTION 3.20. Location of Real Property and Leased Premises. (a) Schedule 3.20(a) lists
completely and correctly as of the Closing Date all real property owned by the Borrower and the
Subsidiaries and the addresses thereof. The Borrower and the Subsidiaries own in fee all the real
property set forth on Schedule 3.20(a).

     (b) Schedule 3.20(b) lists completely and correctly as of the Closing Date all real property
leased by the Borrower and the Subsidiaries and the addresses thereof. The Borrower and the
Subsidiaries have valid leases in all the real property set forth on Schedule 3.20(b).

     SECTION 3.21. Labor Matters. As of the date hereof and the Closing Date, there are no
strikes, lockouts or slowdowns against the Borrower or any Subsidiary pending or, to the knowledge
of the Borrower, threatened. The hours worked by and payments made to employees of the Borrower
and the Subsidiaries have not been in material violation of the Fair Labor Standards Act or any
other applicable Federal, state, local or foreign law dealing with such matters. All material
payments due from the Borrower or any Subsidiary, or for which any claim may be made against the
Borrower or any Subsidiary, 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 the Borrower or such Subsidiary.
The consummation of the Transactions will not give rise to any right of

 

56

termination or right of renegotiation on the part of any union under any collective bargaining
agreement to which the Borrower or any Subsidiary is bound.

     SECTION 3.22. Solvency. Immediately after the consummation of the Transactions to occur on
the Closing Date and immediately following the making of each Loan and after giving effect to the
application of the proceeds of each Loan, (a) the fair value of the assets of each Loan Party, at a
fair valuation, will exceed its debts and liabilities, subordinated, contingent or otherwise; (b)
the present fair saleable value of the property of each Loan Party will be greater than the amount
that will be required to pay the probable liability of its debts and other liabilities,
subordinated, contingent or otherwise, as such debts and other liabilities become absolute and
matured; (c) each Loan Party will be able to pay its debts and liabilities, subordinated,
contingent or otherwise, as such debts and liabilities become absolute and matured; and (d) each
Loan Party will not have unreasonably small capital with which to conduct the business in which it
is engaged as such business is now conducted and is proposed to be conducted following the Closing
Date.

     SECTION 3.23. ESOP. (a) As of the Closing Date and, to the best of Borrower’s knowledge at
all times thereafter, the ESOT has been duly organized and is a validly existing trust. Except as
set forth on Schedule 3.23, each of the ESOP Plan Documents is in full force and effect and no term
or condition thereof has been amended, modified or waived from the terms and conditions contained
in the ESOP Plan Documents delivered to the Administrative Agent without the consent of the
Administrative Agent (which consent shall not be unreasonably withheld), except to the extent such
amendment, modification or waiver could not reasonably be anticipated to have a material adverse
effect upon the Administrative Agent or any of the Lenders or otherwise have a Material Adverse
Effect. As of the Closing Date and, to the best of Borrower’s knowledge at all times thereafter,
the ESOT has performed and complied with all the material terms, provisions, agreements and
conditions set forth therein and required to be performed or complied with by the ESOT, and no
unmatured default, default or breach of any covenant by any such party exists thereunder.

     (b) As of the Closing Date and, to the best of the Borrower’s knowledge at all times
thereafter, the execution, delivery and performance of each of the ESOP Plan Documents to which the
ESOT is a party do not (i) conflict with the ESOP Plan Documents, (ii) conflict with any
requirement of law, or (iii) other than with respect to ordinary course ESOP operations, require a
registration with, consent or approval of, or notices to, or other action to, with or by any
Governmental Authority.

     (c) As of the Closing Date and, to the best of the Borrower’s knowledge, at all times
thereafter, none of the assets of the Borrower constitute, for any purpose of ERISA or Section 4975
of the Code, assets of the ESOP or any other “plan” as defined in Section 3(3) of ERISA or Section
4975 of the Code.

     (d) As of the Closing Date and, to the best of the Borrower’s knowledge, at all times
thereafter, no non-exempt prohibited transaction described in Section 406 of ERISA or Section 4975
of the Code has occurred with respect to the ESOP, and no Loan

 

57

hereunder constitutes or shall constitute or give rise to any such non-exempt prohibited
transaction.

     (e) The ESOP is qualified under Section 401(a) of the Code, and the ESOP includes two
components, one of which is a stock bonus plan that constitutes an employee stock ownership plan as
defined in Section 4975(e)(7) of the Code, and the other is a profit sharing plan that includes a
cash or deferred arrangement under Section 401(k) of the Code.

     (f) The Borrower has provided the Administrative Agent with a complete and true copy of each
of the ESOP Plan Documents pursuant to which the ESOP and the ESOT are maintained by the Borrower,
or which concern the Borrower’s obligations with respect to the ESOP and ESOT, as of the Closing
Date and has not subsequently amended or in any other way modified or replaced such ESOP Plan
Documents in any material manner without the prior written consent of the Administrative Agent,
except for any amendment, modification or replacement required by the IRS or by applicable law (and
the Borrower shall use its best efforts to deliver a copy of any such amendment, modification or
replacement to the Administrative Agent prior to the execution thereof).

     (g) To the Borrower’s knowledge, no Loan hereunder is (for any purpose of Section 406 of
ERISA or Section 4975 of the Code) a direct or indirect loan or other transaction between the
Administrative Agent or any of the Lenders and the ESOT which, if it is assumed that the
Administrative Agent and the Lenders are “parties in interest” and “disqualified persons” (as
defined in Section 3(14) of ERISA and Section 4975 of the Code, respectively), is a non-exempt
prohibited transaction described in Section 406 of ERISA or Section 4975 of the Code.

     (h) Neither the Borrower nor any of its Subsidiaries is or shall be subject to the tax
imposed by Section 4978 of the Code with respect to any “disposition” by the ESOT of any shares of
Equity Interests of the Borrower.

     (i) To the Borrower’s knowledge, there is no investigation or review by any Governmental
Agency, or action, suit, proceeding or arbitration, pending or concluded, concerning any matter
with respect to the ESOP or the ESOT relevant as to whether any representation set forth herein
was, or has or will at any time become, inaccurate or breached or, if it were to be made at any
time prior to the satisfaction of all Obligations, would be inaccurate when made (other than in
respect of (i) periodic requests to the IRS to issue a favorable determination letter to the effect
that the ESOP is and continues to be a qualified plan and an employee stock ownership plan, (ii)
Annual Reports (IRS Form 5500 Series) for the ESOP and (iii) routine claims for ESOP benefits), and
neither the ESOP Fiduciary nor, to the best of the Borrower’s knowledge, the ESOT Trustee has made
any assertion with respect to the ESOP or the ESOT contrary to or inconsistent with the accuracy of
any such representation which assertion could reasonably be expected to have a Material Adverse
Effect.

 

58

ARTICLE IV

Conditions of Lending

     The obligations of the Lenders to make Loans and of the Issuing Bank to issue Letters of
Credit hereunder are subject to the satisfaction of the following conditions:

     SECTION 4.01. All Credit Events. On the date of each Borrowing, including each Borrowing of
a Swingline Loan and on the date of each issuance, amendment, extension or renewal of a Letter of
Credit (each such event being called a “Credit Event”):

     (a) The Administrative Agent shall have received a notice of such Borrowing as required by
Section 2.03 (or such notice shall have been deemed given in accordance with Section 2.03) or, in
the case of the issuance, amendment, extension or renewal of a Letter of Credit, the Issuing Bank
and the Administrative Agent shall have received a notice requesting the issuance, amendment,
extension or renewal of such Letter of Credit as required by Section 2.22(b) or, in the case of the
Borrowing of a Swingline Loan, the Swingline Lender and the Administrative Agent shall have
received a notice requesting such Swingline Loan as required by Section 2.21(b).

     (b) The representations and warranties set forth in Article III and in each other Loan
Document shall be true and correct in all material respects on and as of the date of such Credit
Event with the same effect as though made on and as of such date, except to the extent such
representations and warranties expressly relate to an earlier date.

     (c) In the case of a Revolving Credit Borrowing or Swingline Loan, immediately after giving
effect thereto and the intended use of proceeds thereof, the aggregate amount of cash and Permitted
Investments on hand at the Borrower and the Subsidiaries shall not exceed $3,500,000.

     (d) The Borrower and each other Loan Party shall be in compliance with all the terms and
provisions set forth herein and in each other Loan Document on its part to be observed or
performed, and at the time of and immediately after such Credit Event, no Default or Event or
Default shall have occurred and be continuing.

     Each Credit Event shall be deemed to constitute a representation and warranty by the Borrower
on the date of such Credit Event as to the matters specified in paragraphs (b), (c) and (d) of this
Section.

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

     (a) The Administrative Agent shall have received, on behalf of itself, the Lenders, the
Swingline Lender and the Issuing Bank, a favorable written opinion of Baker & McKenzie LLP, counsel
for the Borrower, substantially to the effect set forth in Exhibit H, which opinion shall be (i)
dated the Closing Date and (ii) addressed to the Issuing Bank, the Administrative Agent and the
Lenders. The Borrower hereby requests such counsel to deliver such opinions.

 

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     (b) All legal matters incident to this Agreement, the Borrowings and extensions of credit
hereunder and the other Loan Documents shall be satisfactory to the Lenders, to the Issuing Bank
and to the Administrative Agent.

     (c) The Administrative Agent shall have received (i) a copy of the certificate or articles of
incorporation, including all amendments thereto, of each Loan Party, certified as of a recent date
by the Secretary of State of the State of its organization, and a certificate as to the good
standing of each Loan Party as of a recent date, from such Secretary of State; (ii) a certificate
of the Secretary or Assistant Secretary of each Loan Party dated the Closing Date and certifying
(A) that attached thereto is a true and complete copy of the by-laws of such Loan Party as in
effect on the Closing Date and at all times since a date prior to the date of the resolutions
described in clause (B) below, (B) that attached thereto is a true and complete copy of resolutions
duly adopted by the board of directors 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 have not been modified, rescinded or amended
and are in full force and effect, (C) that the certificate or articles of incorporation of such
Loan Party have not been amended since the date of the last amendment thereto shown on the
certificate of good standing furnished pursuant to clause (i) above, and (D) as to the incumbency
and specimen signature of each officer executing any Loan Document or any other document delivered
in connection herewith on behalf of such Loan Party; and (iii) a certificate of another officer as
to the incumbency and specimen signature of the Secretary or Assistant Secretary executing the
certificate pursuant to clause (ii) above.

     (d) The Administrative Agent shall have received a certificate, dated the Closing Date and
signed by a Financial Officer of the Borrower, confirming compliance with the conditions precedent
set forth in paragraphs (b), (c) and (d) of Section 4.01.

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

     (f) The Security Documents shall have been duly executed by each Loan Party that is to be a
party thereto and shall be in full force and effect and each document (including each Uniform
Commercial Code financing statement and, subject to the proviso to the first sentence of Section
5.09, each Assignment of Claims Act notice) required by law or reasonably requested by the
Administrative Agent or the Collateral Agent to be filed, registered or recorded in order to create
in favor of the Collateral Agent for the benefit of the Secured Parties a valid, legal and
perfected first-priority (except to the extent otherwise provided therein) security interest in and
lien on the Collateral (subject to any Lien expressly permitted by Section 6.02) described in the
Security Documents shall have been prepared and delivered to the Collateral Agent on the Closing
Date.

 

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     (g) The Collateral Agent shall have received a Perfection Certificate with respect to the
Loan Parties dated the Closing Date and duly executed by a Responsible Officer of the Borrower, and
shall have obtained the results of a search of the Uniform Commercial Code filings (or equivalent
filings) made with respect to the Loan Parties in the States (or other jurisdictions) of formation
of such persons, in which the chief executive office of each such person is located and in the
other jurisdictions in which such persons maintain property, in each case as indicated on such
Perfection Certificate, together with copies of the financing statements (or similar documents)
disclosed by such search, and accompanied by evidence satisfactory to the Collateral Agent that the
Liens indicated in any such financing statement (or similar document) would be permitted under
Section 6.02 or have been or will be contemporaneously released or terminated.

     (h) The Administrative Agent shall have received a copy of, or a certificate as to coverage
under, the insurance policies required by Section 5.02 and the applicable provisions of the
Security Documents, each of which shall be endorsed or otherwise amended to include a customary
lender’s loss payable endorsement and to name the Collateral Agent as additional insured, in form
and substance satisfactory to the Administrative Agent.

     (i) The Borrower shall have received, or simultaneously with the effectiveness of this
Agreement shall receive, gross cash proceeds of not less than $302,250,000 from the issuance of the
Senior Secured Notes and the Senior Warrants pursuant to the Senior Secured Notes Indenture and the
Warrant Agreement.

     (j) The Borrower shall have purchased, or simultaneously with the effectiveness of this
Agreement shall purchase, each of the issued and outstanding Seller Subordinated Notes and Junior
Warrants.

     (k) All principal, premium, if any, interest, fees and other amounts due or outstanding under
the Existing Credit Agreement shall have been, or simultaneously with the effectiveness of this
Agreement shall be, paid in full, the commitments thereunder terminated and all guarantees and
security in support thereof discharged and released, and the Administrative Agent shall have
received reasonably satisfactory evidence thereof. Immediately after giving effect to the
Transactions and the other transactions contemplated hereby, the Borrower and the Subsidiaries
shall have outstanding no Indebtedness or preferred stock other than (i) Indebtedness outstanding
under this Agreement, (ii) Indebtedness set forth on Schedule 6.01 and (iii) Indebtedness
outstanding under the Senior Secured Notes Indenture.

     (l) The Lenders shall have received the financial statements and opinion referred to in
Section 3.05, which financial statements shall not be materially inconsistent with the financial
statements or forecasts previously provided to the Lenders.

     (m) The Lenders shall have received a certificate, in form and substance satisfactory to the
Lenders, from the chief financial officer of the Borrower certifying that the Borrower and the
Subsidiaries, on a consolidated basis after giving effect to the Transactions to occur on the
Closing Date, are solvent.

 

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     (n) There shall not be any pending or threatened litigation, governmental, administrative or
judicial action that could reasonably be expected to restrain, prevent or impose burdensome
conditions on the Transactions or the other transactions contemplated hereby.

     (o) The Lenders shall have received, to the extent requested, all documentation and other
information required by regulatory authorities under applicable “know your customer” and anti-money
laundering rules and regulations, including the USA PATRIOT Act.

ARTICLE V

Affirmative Covenants

     The Borrower covenants and agrees with each Lender that 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 and all Letters of Credit have been canceled or have expired and all amounts drawn
thereunder have been reimbursed in full, unless the Required Lenders shall otherwise consent in
writing, the Borrower will, and will cause each Subsidiary to:

     SECTION 5.01. Existence; Businesses and Properties. (a) Do or cause to be done all things
necessary to preserve, renew and keep in full force and effect its legal existence, except as
otherwise expressly permitted under clause (b) below or Section 6.05; provided that, subject to
Sections 5.06 and 5.09, the Borrower and any Subsidiary may convert the form of legal entity and
change the jurisdiction of incorporation or formation to any other jurisdiction within the United
States.

     (b) Do or cause to be done all things necessary to obtain, preserve, renew, extend and keep
in full force and effect the rights, licenses, permits, franchises, authorizations, patents,
copyrights, trademarks and trade names material to the conduct of its business; maintain and
operate such business in substantially the manner in which it is presently conducted and operated
(provided that nothing herein shall prevent the board of directors of the Borrower or any
Subsidiary from expanding or reducing a line of business that it deems in its business judgment to
be in the best interest of the Borrower or such Subsidiary); comply in all material respects with
all applicable laws, rules, regulations and decrees and orders of any Governmental Authority,
whether now in effect or hereafter enacted; and at all times maintain and preserve all property
material to the conduct of such business and keep such property in good repair, working order and
condition and from time to time make, or cause to be made, all needful and proper repairs,
renewals, additions, improvements and replacements thereto necessary in order that the business
carried on in connection therewith may be properly conducted at all times; provided, however, that
the foregoing shall not prevent the Borrower from dissolving a Subsidiary or discontinuing the
operation or maintenance of any of its or any Subsidiary’s property if such discontinuance is, in
the judgment of the Borrower,

 

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desirable in the conduct of its business and could not reasonably be expected to result in a
Material Adverse Effect.

          SECTION 5.02. Insurance. (a) Keep its insurable properties adequately insured at all times
by financially sound and reputable insurers; maintain such other insurance, to such extent and
against such risks, including fire and other risks insured against by extended coverage, as is
customary with companies in the same or similar businesses operating in the same or similar
locations, including public liability insurance against claims for personal injury or death or
property damage occurring upon, in, about or in connection with the use of any properties owned,
occupied or controlled by it; and maintain such other insurance as may be required by law.

          (b) Cause all such policies covering any Collateral to be endorsed or otherwise amended to
include a customary lender’s loss payable endorsement, in form and substance satisfactory to the
Administrative Agent and the Collateral Agent, which endorsement shall provide that, from and after
the Closing Date, if the insurance carrier shall have received written notice from the
Administrative Agent or the Collateral Agent of the occurrence of an Event of Default, the
insurance carrier shall pay all proceeds otherwise payable to the Borrower or any other Loan Party
under such policies directly to the Collateral Agent; cause all such policies to provide that
neither the Borrower, the Administrative Agent, the Collateral Agent nor any other party shall be a
coinsurer thereunder and to contain a “Replacement Cost Endorsement”, without any deduction for
depreciation, and such other provisions as the Administrative Agent or the Collateral Agent may
reasonably require from time to time to protect their interests; deliver original or certified
copies of all such policies to the Collateral Agent; cause each such policy to provide that it
shall not be canceled, materially modified or not renewed (i) by reason of nonpayment of premium
upon not less than 10 days’ prior written notice thereof by the insurer to the Administrative Agent
and the Collateral Agent (giving the Administrative Agent and the Collateral Agent the right to
cure defaults in the payment of premiums) or (ii) for any other reason upon not less than 30 days’
prior written notice thereof by the insurer to the Administrative Agent and the Collateral Agent;
deliver to the Administrative Agent and the Collateral Agent, prior to the cancellation, material
modification or nonrenewal of any such policy of insurance, a copy of a renewal or replacement
policy (or other evidence of renewal of a policy previously delivered to the Administrative Agent
and the Collateral Agent) together with evidence satisfactory to the Administrative Agent and the
Collateral Agent of payment of the premium therefor.

          (c) Notify the Administrative Agent and the Collateral Agent immediately whenever any
separate insurance concurrent in form or contributing in the event of loss with that required to be
maintained under this Section is taken out by the Borrower; and promptly deliver to the
Administrative Agent and the Collateral Agent a duplicate original copy of such policy or policies.

          SECTION 5.03. Obligations and Taxes. Pay its Material Indebtedness and other material
obligations promptly and in accordance with their terms and pay and discharge promptly when due all
Taxes, assessments and governmental charges or levies imposed upon it or upon its income or profits
or in respect of its property, before the same shall

 

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become delinquent or in default, as well as all lawful claims for labor, materials and
supplies or otherwise that, if unpaid, might give rise to a Lien upon such properties or any part
thereof; provided, however, that such payment and discharge shall not be required with respect to
any such Tax, assessment, charge, levy or claim so long as the validity or amount thereof shall be
contested in good faith by appropriate proceedings and the Borrower shall have set aside on its
books adequate reserves with respect thereto in accordance with GAAP and such contest operates to
suspend collection of the contested obligation, Tax, assessment or charge and enforcement of a
Lien.

     SECTION 5.04. Financial Statements, Reports, etc. In the case of the Borrower, furnish to
the Administrative Agent for each Lender:

     (a) within 90 days after the end of each fiscal year, its consolidated balance sheet
and related statements of operations, shareholders’ equity and cash flows showing the
financial condition of the Borrower and its consolidated Subsidiaries as of the close of
such fiscal year and the results of its operations and the operations of such Subsidiaries
during such year, together with comparative figures for the immediately preceding fiscal
year, all audited by Deloitte & Touche LLP or other independent public accountants of
recognized national standing and accompanied by an opinion of such accountants (which
opinion shall be without a “going concern” explanatory note or any similar qualification or
exception and without any qualification or exception as to the scope of such audit) to the
effect that such consolidated financial statements fairly present in all material respects
the financial condition and results of operations of the Borrower and its consolidated
Subsidiaries on a consolidated basis in accordance with GAAP;

     (b) within 45 days after the end of each of the first three fiscal quarters of each
fiscal year, its unaudited consolidated balance sheet and related statements of operations
and cash flows showing the financial condition of the Borrower and its consolidated
Subsidiaries as of the close of such fiscal quarter and the results of its operations and
the operations of such Subsidiaries during such fiscal quarter and the then elapsed portion
of the fiscal year, and comparative figures for the same periods in the immediately
preceding fiscal year, all certified by a Financial Officer of the Borrower as fairly
presenting the financial condition and results of operations of the Borrower and its
consolidated Subsidiaries on a consolidated basis in accordance with GAAP, subject to
normal year-end audit adjustments;

     (c) concurrently with any delivery of financial statements under paragraph (a) or (b)
of this Section, a certificate of a Financial Officer of the Borrower (i) certifying that
no Default or Event of Default has occurred or, if such a Default or an Event of Default
has occurred, specifying the nature and extent thereof and any corrective action taken or
proposed to be taken with respect thereto and (ii) setting forth computations in reasonable
detail satisfactory to the Administrative Agent demonstrating compliance with the covenants
contained in Sections 6.12 (in the case of a certificate delivered with the financial
statements required by paragraph (a) of this Section) and 6.13;

 

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     (d) within 90 days after the beginning of each fiscal year of the Borrower, a detailed
consolidated budget for such fiscal year (including a projected consolidated balance sheet
and related statements of projected operations and cash flows as of the end of and for such
fiscal year and setting forth the assumptions used for purposes of preparing such budget)
and, promptly when available, any significant revisions of such budget;

     (e) promptly after the same become publicly available, copies of all periodic and
other reports, proxy statements and other materials filed by the Borrower or any Subsidiary
with the Securities and Exchange Commission, or any Governmental Authority succeeding to
any or all of the functions of said Commission, or with any national securities exchange,
or distributed to its shareholders, as the case may be;

     (f) promptly after the receipt thereof by the Borrower or any Subsidiary, a copy of
any “management letter” received by any such person from its certified public accountants
and the management’s response thereto;

     (g) as soon as practicable and in any event (i) within 10 Business Days after the
receipt by the Borrower of the annual valuation report prepared for the ESOP for each
fiscal year, commencing with the fiscal year ending September 30, 2009, deliver to the
Administrative Agent a copy of such report, and (ii) on the date that is the earlier of (x)
180 days after the date of any acquisition with a purchase price in excess of $20,000,000
or for which the acquired entity shall have 300 or more employees and (y) the second
anniversary of the delivery of the most recent repurchase liability study of the Borrower
prepared for the ESOP, deliver to the Administrative Agent (with sufficient copies for each
of the Lenders) copies of a repurchase liability study of the Borrower prepared for the
ESOP as of a recent date, in each case in form and substance reasonably acceptable to the
Administrative Agent.

     (h) within 45 days after the end of the first and third fiscal quarters of the
Borrower, a certificate of a Financial Officer of the Borrower listing each new Material
Contract entered into since the Closing Date;

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

     (j) within 30 days after the end of each of the first two months of each fiscal
quarter, its internally prepared summary financial statements, in a form reasonably
satisfactory to the Administrative Agent, showing the consolidated financial position of
the Borrower and the Subsidiaries as of the close of such month and the results of
operations and the operations of the Subsidiaries for such month and the elapsed portion of
the fiscal year, and comparative figures for the same periods in the immediately preceding
fiscal year; and

 

65

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

          SECTION 5.05. Litigation and Other Notices. Furnish to the Administrative Agent, the Issuing
Bank and each Lender prompt written notice of the following:

     (a) any Default or Event of 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 threat or notice of intention of any person
to file or commence, any action, suit or proceeding, whether at law or in equity or by or
before any Governmental Authority, against the Borrower or any Affiliate thereof that could
reasonably be expected to result in a Material Adverse Effect;

     (c) the occurrence of any ERISA Event that, alone or together with any other ERISA
Events that have occurred, could reasonably be expected to result in liability of the
Borrower and the Subsidiaries in an aggregate amount exceeding $1,000,000, together with a
statement of a Financial Officer of the Borrower setting forth the details of such ERISA
Event and the corrective action, if any, taken or proposed to be taken with respect
thereto;

     (d) the occurrence of a material non-exempt prohibited transaction (defined in Section
406 of ERISA and Section 4975 of the Code) with respect to the ESOP or to any other Plan,
or knowledge that the IRS or any other Governmental Authority is investigating whether any
such material non-exempt prohibited transaction might have occurred, and a statement of a
Financial Officer of the Borrower describing such transaction and the corrective action, if
any, taken or proposed to be taken with respect thereto;

     (e) the receipt of written notice (whether preliminary, final or otherwise but
excluding any notice of any proposed amendments) of any unfavorable determination letter
from the IRS regarding the qualification of a Plan under Section 401(a) of the Code or the
status of the ESOP as an employee stock ownership plan (as defined in Section 4975(e)(7) of
the Code), together with copies of each such letter;

     (f) the receipt by the Borrower or any of its Subsidiaries of notice of any audit,
investigation, litigation or inquiry by the IRS or any other Governmental Authority
relating to the ESOP or the ESOT, which could reasonably be expected to subject the
Borrower or any of its Subsidiaries to liability, individually or in the aggregate, in
excess of $1,000,000, together with copies of each such notice and copies of all subsequent
correspondence relating thereto;

 

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     (g) the occurrence of any amendment to any of the ESOP Plan Documents; and

     (h) any development that has resulted in, or could reasonably be expected to result
in, a Material Adverse Effect.

For purposes of this Section 5.05, the Borrower and the Subsidiaries shall be deemed to know all
facts known by the administrator of any Plan of which the Borrower or any Subsidiary is the plan
sponsor.

     SECTION 5.06. Information Regarding Collateral. (a) Furnish to the Administrative Agent
prompt written notice of any change in (i) any Loan Party’s corporate name, (ii) the jurisdiction
of organization or formation of any Loan Party, (iii) any Loan Party’s identity or corporate
structure or (iv) any Loan Party’s Federal Taxpayer Identification Number. The Borrower agrees not
to effect or permit any change referred to in the preceding sentence unless all filings have been
made under the Uniform Commercial Code or otherwise that are required in order for the Collateral
Agent to continue at all times following such change to have a valid, legal and perfected security
interest in all the Collateral.

     (b) In the case of the Borrower, each year, at the time of delivery of the annual financial
statements with respect to the preceding fiscal year pursuant to Section 5.04(a), deliver to the
Administrative Agent a certificate of a Financial Officer of the Borrower supplementing the
information required pursuant to the Perfection Certificate or confirming that there has been no
change in such information since the date of the Perfection Certificate delivered on the Closing
Date or the date of the most recent certificate delivered pursuant to this Section.

     SECTION 5.07. Maintaining Records; Access to Properties and Inspections. Keep proper books
of record and account in which full, true and correct entries in conformity with GAAP and all
requirements of law are made of all dealings and transactions in relation to its business and
activities. Each Loan Party will, and will cause each of its subsidiaries to, permit any
representatives designated by the Administrative Agent or any Lender to visit and inspect the
financial records and the properties of such person at reasonable times and as often as reasonably
requested (but no more than twice per fiscal year of the Borrower, unless an Event of Default has
occurred and is continuing) and to make extracts from and copies of such financial records, and
permit any representatives designated by the Administrative Agent or any Lender to discuss the
affairs, finances and condition of such person with the officers thereof and independent
accountants therefor.

     SECTION 5.08. Use of Proceeds. Use the proceeds of the Loans and request the issuance of
Letters of Credit only for the purposes set forth in the preliminary statement to this Agreement.

     SECTION 5.09. Further Assurances. Execute any and all further documents, financing
statements, agreements and instruments, and take all further action (including

 

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filing Uniform Commercial Code and other financing statements, fixture filings, mortgages and
deeds of trust and preparing all documentation relating to filings under the Assignment of Claims
Act) that may be required under applicable law, or that the Required Lenders, the Administrative
Agent or the Collateral Agent may reasonably request, in order to effectuate the transactions
contemplated by the Loan Documents and in order to grant, preserve, protect and perfect the
validity and first priority of the security interests created or intended to be created by the
Security Documents; provided, however, that notwithstanding anything else to the contrary in the
Loan Documents, none of the Loan Parties shall be required to make filings under the Assignment of
Claims Act for the assignment of Government Contracts to the Collateral Agent unless (a) such
Government Contract constitutes a Material Contract and (b) the Administrative Agent or the
Collateral Agent shall have requested, in its reasonable discretion, that a filing under the
Assignment of Claims Act be made with respect to such Government Contract. The Borrower will cause
each subsequently acquired or organized Domestic Subsidiary (excluding any Insignificant
Subsidiary) to become a Loan Party by executing the Security Agreement and each other applicable
Security Document in favor of the Collateral Agent. In addition, from time to time, the Borrower
will, at its cost and expense, promptly secure the Obligations by pledging or creating, or causing
to be pledged or created, perfected security interests with respect to such of its assets and
properties as the Administrative Agent, the Collateral Agent or the Required Lenders shall
designate (it being understood that it is the intent of the parties that the Obligations shall be
secured by substantially all the assets of the Borrower and the Subsidiary Guarantors (other than
any Insignificant Subsidiary) (including real and other properties acquired subsequent to the
Closing Date)). Such security interests and Liens will be created under the Security Documents and
other security agreements, mortgages, deeds of trust and other instruments and documents in form
and substance satisfactory to the Administrative Agent or the Collateral Agent, and the Borrower
shall deliver or cause to be delivered to the Lenders all such instruments and documents (including
legal opinions, title insurance policies and lien searches) as the Administrative Agent or the
Collateral Agent shall reasonably request to evidence compliance with this Section. The Borrower
agrees to provide such evidence as the Collateral Agent shall reasonably request as to the
perfection and priority status of each such security interest and Lien. In furtherance of the
foregoing, the Borrower will give prompt notice to the Administrative Agent of the acquisition by
it or any Subsidiary of any real property (or any interest in real property) having a value in
excess of $500,000.

ARTICLE VI

Negative Covenants

     The Borrower covenants and agrees with each Lender that, 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 and all Letters of Credit have been cancelled or have expired and all amounts drawn
thereunder have been reimbursed in full, unless the Required Lenders shall otherwise consent in
writing, the Borrower will not, nor will it cause or permit any Subsidiary to:

 

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     SECTION 6.01. Indebtedness. Incur, create, assume or permit to exist any Indebtedness,
except:

     (a) Indebtedness existing on the date hereof and set forth in Schedule 6.01;

     (b) Indebtedness created hereunder and under the other Loan Documents;

     (c) intercompany Indebtedness of the Borrower and the Subsidiaries to the extent
permitted by Section 6.04(a);

     (d) Indebtedness incurred to extend, renew or refinance any Indebtedness described in
Section 6.01(a), (d), (e), (f), (h), (j), (m), (o) or (p) (“Refinancing Indebtedness”);
provided, however, that (i) such Refinancing Indebtedness is in an aggregate principal
amount not greater than the aggregate principal amount of the Indebtedness being extended,
renewed or refinanced, plus the amount of any interest, premiums or penalties required to
be paid thereon plus fees and expenses associated therewith, (ii) such Refinancing
Indebtedness has a later or equal final maturity and a longer or equal weighted average
life to maturity than the Indebtedness being extended, renewed or refinanced, (iii) if the
Indebtedness being extended, renewed or refinanced is subordinated to the Obligations, the
Refinancing Indebtedness is subordinated to the Obligations on terms no less favorable to
the Lenders than the Indebtedness being extended, renewed or refinanced, (iv) neither the
Borrower nor any Subsidiary Guarantor may become obligated in respect of such Refinancing
Indebtedness unless it was obligated in respect of the Indebtedness being extended, renewed
or refinanced and (v) the non-economic covenants, events of default, remedies and other
provisions of the Refinancing Indebtedness, when taken as a whole, shall be materially no
less favorable to the Lenders than those contained in the Indebtedness being extended,
renewed or refinanced;

     (e) Indebtedness of the Borrower or any Subsidiary incurred to finance the
acquisition, construction or improvement of any fixed or capital assets, and extensions,
renewals and replacements of any such Indebtedness that do not increase the outstanding
principal amount thereof; provided that (i) such Indebtedness is incurred prior to or
within 90 days after such acquisition or the completion of such construction or improvement
and (ii) the aggregate principal amount of Indebtedness permitted by this paragraph, when
combined with the aggregate principal amount of all Capital Lease Obligations and Synthetic
Lease Obligations incurred pursuant to paragraph (f) of this Section shall not exceed
$20,000,000 at any time outstanding;

     (f) Capital Lease Obligations and Synthetic Lease Obligations in an aggregate
principal amount, when combined with the aggregate principal amount of all Indebtedness
incurred pursuant to paragraph (e) of this Section, not in excess of $20,000,000 at any
time outstanding;

 

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     (g) Indebtedness of the Borrower or any Subsidiary incurred under any Hedging
Agreement of the Borrower or any Subsidiary to the extent relating to Indebtedness of the
Borrower or such Subsidiary, as the case may be (which Indebtedness (i) bears interest at
fluctuating interest rates and (ii) is otherwise permitted to be incurred pursuant to this
Agreement);

     (h) Indebtedness of any person that becomes a Subsidiary after the date hereof;
provided that (i) such Indebtedness exists at the time such person becomes a Subsidiary and
is not created in contemplation of or in connection with such person becoming a Subsidiary
and (ii) the aggregate principal amount of Indebtedness permitted by this paragraph shall
not exceed $7,500,000 at any time outstanding;

     (i) endorsements for collection, deposit or negotiation and warranties of products or
services, in each case incurred in the ordinary course of business;

     (j) Indebtedness of one or more Loan Parties permitted by, and incurred under, Section
4.03(a) of the Senior Secured Notes Indenture as in effect on the Closing Date;

     (k) Indebtedness under performance bonds or with respect to workers’ compensation
claims, in each case incurred in the ordinary course of business;

     (l) Indebtedness arising from the honoring by a bank or other financial institution of
a check, draft or similar instrument inadvertently drawn against insufficient funds in the
ordinary course of business, so long as such Indebtedness is extinguished within three
Business Days of the Borrower’s knowledge of such incurrence;

     (m) Indebtedness arising as a result of (i) the redemption or repurchase of any Equity
Interests of the Borrower as a result of distributions by the ESOT to participants in the
ESOP pursuant to the ESOP Plan Documents subsequent to their termination of employment with
the Borrower or any Controlled Group member or (ii) the requirements of Section 401(a)(28)
of the Code or any substantially similar requirement of law;

     (n) other Indebtedness of the Borrower or the Subsidiaries in an aggregate principal
amount not exceeding $10,000,000 at any time outstanding;

     (o) the Senior Secured Notes, including payment-in-kind interest thereon;

     (p) the Senior Unsecured Notes;

     (q) Indebtedness of Foreign Subsidiaries in an aggregate principal amount not to
exceed $2,500,000 at any time outstanding; and

     (r) the Borrower’s deferred compensation agreements.

 

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     SECTION 6.02. Liens. Create, incur, assume or permit to exist any Lien on any property or
assets (including Equity Interests or other securities of any person, including any Subsidiary) now
owned or hereafter acquired by it or on any income or revenues or rights in respect of any thereof,
except:

     (a) Liens on property or assets of the Borrower and its Subsidiaries existing on the
date hereof and set forth in Schedule 6.02; provided that such Liens shall secure only
those obligations which they secure on the date hereof;

     (b) any Lien (i) created under the Loan Documents (including to secure Indebtedness
referred to in Section 6.01(o)) or (ii) on all or any part of the Collateral to secure
Indebtedness permitted under Section 6.01 if such Liens are either (x) pari passu with the
Liens securing the Senior Secured Notes (in the case of Indebtedness incurred under Section
6.01(d) (in respect of Indebtedness incurred to extend, renew or refinance the Senior
Unsecured Notes and successive refinancings thereof), 6.01(j) or 6.01(n)) or (y)
subordinated to the Liens created under the Loan Documents pursuant to an intercreditor
agreement reasonably satisfactory to the Administrative Agent;

     (c) any Lien existing on any property or asset prior to the acquisition thereof by the
Borrower or any Subsidiary or existing on any property or asset of any person that becomes
a Subsidiary after the date hereof prior to the time such person becomes a Subsidiary, as
the case may be; provided that (i) such Lien is not created in contemplation of or in
connection with such acquisition or such person becoming a Subsidiary, as the case may be,
(ii) such Lien does not apply to any other property or assets of the Borrower or any
Subsidiary and (iii) such Lien secures only those obligations which it secures on the date
of such acquisition or the date such person becomes a Subsidiary, as the case may be;

     (d) Liens for Taxes not yet due or which are being contested in compliance with
Section 5.03;

     (e) carriers’, warehousemen’s, mechanics’, materialmen’s, repairmen’s or other like
Liens arising in the ordinary course of business and securing obligations that are not due
and payable or which are being contested in compliance with Section 5.03;

     (f) pledges and deposits made in the ordinary course of business in compliance with
workmen’s compensation, unemployment insurance and other social security laws or
regulations;

     (g) deposits to secure the performance of bids, trade contracts (other than for
Indebtedness), leases (other than Capital Lease Obligations), statutory obligations, surety
and appeal bonds, performance bonds and other obligations of a like nature incurred in the
ordinary course of business;

     (h) zoning restrictions, easements, rights-of-way, restrictions on use of real
property and other similar encumbrances incurred in the ordinary course of

 

71

business which, in the aggregate, do not materially detract from the value of the
property subject thereto or interfere with the ordinary conduct of the business of the
Borrower or any Subsidiary;

     (i) purchase money security interests in real property, improvements thereto or
equipment and other personal property hereafter acquired (or, in the case of improvements,
constructed) by the Borrower or any Subsidiary; provided that (i) such security interests
secure Indebtedness permitted by Section 6.01, (ii) such security interests are incurred,
and the Indebtedness secured thereby is created, within 90 days after such acquisition (or
construction), (iii) the Indebtedness secured thereby does not exceed 90% of the lesser of
the cost or the fair market value of such real property, improvements or equipment at the
time of such acquisition (or construction) and (iv) such security interests do not apply to
any other property or assets of the Borrower or any Subsidiary;

     (j) Liens arising out of judgments or awards in respect of which the Borrower or any
Subsidiary shall in good faith be prosecuting an appeal or proceedings for review in
respect of which there shall be secured a subsisting stay of execution pending such appeal
or proceedings; provided that the aggregate amount of all such judgments or awards (and any
cash and the fair market value of any property subject to such Liens) does not exceed
$5,000,000 at any time outstanding;

     (k) any interest or title of a licensor, lessor or sublessor under any license or
lease agreement pursuant to which rights are granted to the Borrower or any Subsidiary;

     (l) licenses, leases or subleases granted by the Borrower or any Subsidiary to third
persons in the ordinary course of business not interfering in any material respect with the
business of the Borrower or any Subsidiary;

     (m) Liens in favor of customs or revenue authorities arising as a matter of law to
secure payment of customs duties in connection with the importation of goods;

     (n) Liens in favor of any Governmental Authority in respect of (i) any Environmental
Liability or (ii) damages arising from, or costs incurred by such Governmental Authority in
response to, a Release or a threatened Release of a Hazardous Material into the
environment; provided that the aggregate amount of such liabilities secured by such Liens
does not exceed $1,000,000 at any one time; and

     (o) Liens that do not, individually or in the aggregate, secure obligations (or
encumber property with a fair market value) in excess of $2,500,000 at any one time.

     SECTION 6.03. Sale and Lease-Back Transactions. Enter into any arrangement, directly or
indirectly, with any person whereby it shall sell or transfer any

 

72

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 unless (a) the
sale of such property is permitted by Section 6.05 and (b) any Capital Lease Obligations, Synthetic
Lease Obligations or Liens arising in connection therewith are permitted by Sections 6.01 and 6.02,
as the case may be.

     SECTION 6.04. Investments, Loans and Advances. Purchase, hold or acquire any Equity
Interests, evidences of indebtedness or other securities of, make or permit to exist any loans or
advances to, or make or permit to exist any investment or any other interest in, any other person,
except:

     (a) (i) investments by the Borrower and the Subsidiaries existing on the date hereof
in the Equity Interests of the Subsidiaries and (ii) additional investments by the Borrower
and the Subsidiaries in the Equity Interests of the Subsidiaries; provided that (A) any
such Equity Interests held by a Loan Party shall be pledged to the Collateral Agent for the
ratable benefit of the Secured Parties pursuant to the Security Agreement or each other
applicable Security Document (subject to the limitations applicable to voting stock of a
Foreign Subsidiary referred to therein) and (B) the aggregate amount of investments by Loan
Parties in, and loans and advances by Loan Parties to, Subsidiaries that are not Loan
Parties (determined without regard to any write-downs or write-offs of such investments,
loans and advances) shall not exceed $2,500,000 at any time outstanding;

     (b) Permitted Investments;

     (c) loans or advances made by the Borrower to any Subsidiary and made by any
Subsidiary to the Borrower or any other Subsidiary; provided that (i) any such loans and
advances made by a Loan Party shall be evidenced by a promissory note pledged to the
Collateral Agent for the ratable benefit of the Secured Parties pursuant to the Security
Agreement and (ii) the amount of such loans and advances made by Loan Parties to
Subsidiaries that are not Loan Parties shall be subject to the limitation set forth in
paragraph (a) of this Section;

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

     (e) to the extent permitted by applicable law, the Borrower and the Subsidiaries may
make loans and advances in the ordinary course of business to their respective directors,
officers and employees 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 $1,000,000;

 

73

     (f) the Borrower may enter into Hedging Agreements that are not speculative in nature;

     (g) the Borrower or any Subsidiary may acquire all or substantially all the assets of
a person or line of business or division of such person, or not less than 100% of the
Equity Interests of a person (referred to herein as the “Acquired Entity”); provided that
(i) such acquisition was not preceded by an unsolicited tender offer for such Equity
Interests by, or proxy contest initiated by, the Borrower or any Subsidiary; (ii) the
Acquired Entity shall be a going concern, shall be in a similar line of business as that of
the Borrower and the Subsidiaries as conducted during the current and most recent calendar
year; (iii) the Acquired Entity is located, and substantially all of its operations are
conducted, in the United States of America; (iv) at the time of such transaction (A) both
before and after giving effect thereto, no Default or Event of Default shall have occurred
and be continuing, (B) the Leverage Ratio on a Pro Forma Basis would not be greater than
the Leverage Ratio in effect on the Closing Date, after giving effect to the Transactions,
and (C) after giving effect to such acquisition, there must be at least $5,000,000 of
unused and available Revolving Credit Commitments, and (v) the Borrower shall have
delivered to the Administrative Agent a certificate of a Financial Officer of the Borrower
confirming compliance with clauses (i) through (iv) above, together with all relevant
financial information for the Acquired Entity and reasonably detailed calculations
demonstrating satisfaction of the requirements set forth in clause (v) above (any
acquisition of an Acquired Entity meeting all the criteria of this paragraph being referred
to herein as a “Permitted Acquisition”);

     (h) the Borrower and its Subsidiaries may acquire and hold non-cash consideration
issued by the purchaser of assets in connection with a sale of such assets to the extent
permitted by Section 6.05;

     (i) investments, loans and advances existing on the date hereof and set forth in
Schedule 6.04; and

     (j) in addition to investments permitted by paragraphs (a) through (i) of this
Section, additional investments, loans and advances by the Borrower and the Subsidiaries so
long as the aggregate amount invested, loaned or advanced pursuant to this clause
(determined without regard to any write-downs or write-offs of such investments, loans and
advances) does not exceed $15,000,000 in the aggregate at any time outstanding, and none of
(i) any investment specifically consented to by the Required Lenders, (ii) any investment
in a person that subsequently becomes a wholly-owned Subsidiary in a transaction
constituting a Permitted Acquisition or (iii) any investment that is subsequently sold (to
the extent of the net cash proceeds of such sale) shall count toward such $15,000,000
amount.

     SECTION 6.05. Mergers, Consolidations, Sales of Assets and Acquisitions. (a) Merge into or
consolidate with any other person, or permit any other person to merge into

 

74

or consolidate with it, or sell, transfer, lease or otherwise dispose of (in one transaction
or in a series of transactions) all or substantially all the assets (whether now owned or hereafter
acquired) of the Borrower or less than all the Equity Interests of any Subsidiary, or purchase,
lease or otherwise acquire (in one transaction or a series of transactions) all or any substantial
part of the assets of any other person, except that (i) the Borrower and any Subsidiary may
purchase and sell inventory in the ordinary course of business and (ii) if at the time thereof and
immediately after giving effect thereto no Default or Event of Default shall have occurred and be
continuing (x) any wholly owned Subsidiary may merge into the Borrower in a transaction in which
the Borrower is the surviving corporation, (y) any wholly owned Subsidiary may merge into or
consolidate with any other wholly owned Subsidiary in a transaction in which the surviving entity
is a wholly owned Subsidiary and no person other than the Borrower or a wholly owned Subsidiary
receives any consideration (provided that if any party to any such transaction is a Loan Party, the
surviving entity of such transaction shall be a Loan Party) and (z) the Borrower and the
Subsidiaries may make Permitted Acquisitions, investments and acquisitions permitted under Section
6.04.

     (b) Engage in any Asset Sale otherwise permitted under paragraph (a) of this Section unless
(i) such Asset Sale is for consideration at least 75% of which is cash, (ii) such consideration is
at least equal to the fair market value of the assets being sold, transferred, leased or disposed
of and (iii) the fair market value of all assets sold, transferred, leased or disposed of pursuant
to this paragraph shall not exceed (A) $5,000,000 in any fiscal year or (B) $10,000,000 in the
aggregate.

     SECTION 6.06. Restricted Payments; Restrictive Agreements. (a) Declare or make, or agree to
declare or make, directly or indirectly, any Restricted Payment (including pursuant to any
Synthetic Purchase Agreement), or incur any obligation (contingent or otherwise) to do so;
provided, however, that (i) any Subsidiary may declare and pay dividends or make other
distributions ratably to its equity holders, (ii) the Borrower may perform its obligations under
the Redemption Agreement, (iii) Restricted Payments may be made as required by the ESOP Plan
Documents or by Section 401(a)(28) of the Code or any substantially similar requirement of law and
(iv) so long as no Default or Event of Default shall have occurred and be continuing or would
result therefrom, other Restricted Payments may be made so long as at the time of such Restricted
Payment the Borrower delivers to the Administrative Agent a certificate of a Financial Officer
certifying that such Restricted Payment is then permitted by the Senior Secured Notes Indenture as
in effect on the Closing Date (accompanied by reasonably detailed calculations showing the same)
and, after giving effect thereto, there would be at least $10,000,000 of unused and available
Revolving Credit Commitments. Notwithstanding the foregoing, except for up to $3,600,000 of
Special Diversification Payments for which the Borrower has received notice prior to the Closing
Date (which may be paid after the Closing Date if then permitted by clause (iv) of the preceding
sentence), the Borrower shall not make any Special Diversification Payments.

     (b) Enter into, incur or permit to exist any agreement or other arrangement that prohibits,
restricts or imposes any condition upon (i) the ability of the Borrower or any Subsidiary to
create, incur or permit to exist any Lien upon any of its property or assets to

 

75

secure the Obligations, or (ii) the ability of any Subsidiary to pay dividends or other
distributions with respect to any of its Equity Interests or to make or repay loans or advances to
any Loan Party or to Guarantee Obligations of any Loan Party; provided that (A) the foregoing shall
not apply to restrictions and conditions imposed by law or by any Loan Document, (B) the foregoing
shall not apply to customary restrictions and conditions contained in agreements relating to the
sale of a Subsidiary pending such sale, provided such restrictions and conditions apply only to the
Subsidiary that is to be sold and such sale is permitted hereunder, (C) the foregoing shall not
apply to restrictions and conditions contained in the Senior Secured Notes Documents, (D) clause
(i) of the foregoing shall not apply to restrictions or conditions imposed by any agreement
relating to secured Indebtedness permitted by this Agreement if such restrictions or conditions
apply only to the property or assets securing such Indebtedness, and (E) clause (i) of the
foregoing shall not apply to customary provisions in leases and other contracts restricting the
assignment thereof.

     SECTION 6.07. Transactions with Affiliates. Except for transactions by or among Loan
Parties, sell or transfer any property or assets to, or purchase or acquire any property or assets
from, or otherwise engage in any other transactions with, any of its Affiliates, except that (a)
the Borrower or any Subsidiary may engage in any of the foregoing transactions in the ordinary
course of business at prices and on terms and conditions not less favorable to the Borrower or such
Subsidiary than could be obtained on an arm’s-length basis from unrelated third parties, (b)
Restricted Payments may be made to the extent provided in Section 6.06, and the Seller Subordinated
Notes and Junior Warrants may be prepaid, redeemed, retired or otherwise acquired in accordance
with the Redemption Agreement, (c) loans, investments and advances may be made to the extent
permitted by Sections 6.01(c) and 6.04(a), (c) and (e), (d) officers may be compensated as and in
the manner they historically have been compensated and officers hired after the Closing Date may be
compensated in a manner commensurate with the office held and (e) so long as no Default or Event of
Default shall have occurred and be continuing or would result therefrom, reasonable and customary
fees may be paid to non-officer directors of the Borrower in an aggregate amount not to exceed
$500,000 in any fiscal year, it being understood that payments to non-officer directors in
connection with stock options, stock appreciation rights, “phantom” stock plans or similar equity
incentives or equity based incentives shall not count toward such $500,000 limitation. For the
avoidance of doubt, the Borrower may make payments in respect of Earn-Out Obligations to the extent
permitted by Section 6.15.

     SECTION 6.08. Business of the Borrower and Subsidiaries. Engage at any time in any business
or business activity other than the business currently conducted by the Borrower and the
Subsidiaries and business activities reasonably related thereto.

     SECTION 6.09. Other Indebtedness and Agreements. (a) Permit any waiver, supplement,
modification, amendment, termination or release of any indenture, instrument or agreement pursuant
to which any Material Indebtedness of the Borrower or any Subsidiary is outstanding if the effect
of such waiver, supplement, modification, amendment, termination or release would materially
increase the obligations of the

 

76

obligor or confer additional material rights on the holder of such Indebtedness in a manner
materially adverse to the Borrower, any of the Subsidiaries or the Lenders.

     (b) Permit any waiver, supplement, modification or amendment of any ESOP Plan Document in a
manner materially adverse to the Lenders.

     SECTION 6.10. Assets as Plan Assets. Permit any of the assets of the Borrower or any
Subsidiary to constitute, for any purpose of ERISA or Section 4975 of the Code, assets of the ESOP
or any other “plan” as defined in Section 3(3) of ERISA or Section 4975 of the Code.

     SECTION 6.11. Prohibited Transaction. Permit any material non-exempt prohibited transaction
described in Section 406 of ERISA or Section 4975 of the Code to occur with respect to the ESOP.

     SECTION 6.12. Maximum Capital Expenditures. Permit the aggregate amount of Capital
Expenditures made by the Borrower and the Subsidiaries in any fiscal year (commencing with the
fiscal year ending on September 30, 2010) to exceed $8,000,000; provided that such amount in
respect of any fiscal year commencing with the fiscal year ending on September 30, 2011, shall be
increased (but not decreased) by (a) the amount of unused permitted Capital Expenditures for the
immediately preceding fiscal year less (b) an amount equal to unused Capital Expenditures carried
forward to such preceding fiscal year.

     SECTION 6.13. Minimum Consolidated EBITDA. Permit Consolidated EBITDA for any period of four
consecutive fiscal quarters, in each case taken as one accounting period, ending during any period
set forth below, to be less than the amount set forth opposite such period below:

	 	 	 	 	 
	Period	 	Consolidated 
EBITDA
	June 30, 2010 through March 31, 2011
	 	$	52,500,000	 
	April 1, 2011 through September 30, 2011
	 	$	55,000,000	 
	October 1, 2011 through September 30, 2012
	 	$	60,000,000	 
	October 1, 2012 through September 30, 2013
	 	$	62,500,000	 
	Thereafter
	 	$	65,000,000	 

     SECTION 6.14. Fiscal Year. With respect to the Borrower, change its fiscal year-end to a
date other than September 30.

     SECTION 6.15. Earn-Out Obligations. Make or agree to make, directly or indirectly, any
payment in respect of an Earn-Out Obligation; provided, however, that the Borrower may make a
payment in respect of any Earn-Out Obligation so long as (a) at the time thereof and after giving
effect thereto, (i) no Default or Event of Default shall have occurred and be continuing or result
therefrom and (ii) there would be at least $10,000,000 of unused and available Revolving Credit
Commitments and (b) the

 

77

aggregate amount of payments made in respect of Earn-Out Obligations does not exceed
$10,000,000 in any fiscal year; provided, further, however, that the Borrower may, prior to
September 30, 2010, make a payment in respect of an Earn-Out Obligation with respect to the
acquisition of the LogCon Group in an aggregate amount not to exceed $600,000 so long as at the
time thereof and after giving effect thereto, no Default or Event of Default shall have occurred
and be continuing or result therefrom.

ARTICLE VII

Events of Default

     In case of the happening of any of the following events (“Events of Default”):

     (a) any representation or warranty made or deemed made in or in connection with any
Loan Document or the borrowings or issuances of Letters of Credit hereunder, or any
representation, warranty, statement or information contained in any report, certificate,
financial statement or other instrument furnished in connection with or pursuant to any
Loan Document, shall prove to have been false or misleading in any material respect when so
made, deemed made or furnished;

     (b) default shall be made in the payment of any principal of any Loan or the
reimbursement with respect to any L/C Disbursement when and as the same shall become due
and payable, whether at the due date thereof or at a date fixed for prepayment thereof or
by acceleration thereof or otherwise;

     (c) default shall be made in the payment of any interest on any Loan or any Fee or any
other amount (other than an amount referred to in paragraph (b) of this Article) due under
any Loan Document, when and as the same shall become due and payable, and such default
shall continue unremedied for a period of three Business Days with regard to interest and
ten Business Days with regard to Fees and other amounts;

     (d) default shall be made in the due observance or performance by the Borrower or any
Subsidiary of any covenant, condition or agreement contained in Section 5.01(a), 5.05 or
5.08 or in Article VI;

     (e) default shall be made in the due observance or performance by the Borrower or any
Subsidiary of any covenant, condition or agreement contained in any Loan Document (other
than those specified in paragraph (b), (c) or (d) of this Article) and such default shall
continue unremedied for a period of 30 days after notice thereof from the Administrative
Agent or any Lender to the Borrower;

     (f) (i) the Borrower or any Subsidiary shall fail to pay any principal or interest,
regardless of amount, due in respect of any Material Indebtedness, when and as the same
shall become due and payable, or (ii) any other event or condition occurs (and all relevant
grace periods have expired) that results in any Material Indebtedness becoming due prior to
its scheduled maturity or that enables or

 

78

permits the holder or holders of any Material Indebtedness or any trustee or agent on
its or their behalf to cause any Material Indebtedness to become due, or to require the
prepayment, repurchase, redemption or defeasance thereof, prior to its scheduled maturity;
provided that this clause (ii) shall not apply to secured Indebtedness that becomes due as
a result of the voluntary sale or transfer of the property or assets securing such
Indebtedness;

     (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 the Borrower or
any Subsidiary (other than an Insignificant Subsidiary), or of a substantial part of the
property or assets of the Borrower or any Subsidiary (other than an Insignificant
Subsidiary), under Title 11 of the United States Code, as now constituted or hereafter
amended, or any other Federal, state or foreign bankruptcy, insolvency, receivership or
similar law, (ii) the appointment of a receiver, trustee, custodian, sequestrator,
conservator or similar official for the Borrower or any Subsidiary (other than an
Insignificant Subsidiary) or for a substantial part of the property or assets of the
Borrower or a Subsidiary (other than an Insignificant Subsidiary) or (iii) the winding-up
or liquidation of the Borrower or any Subsidiary (other than an Insignificant Subsidiary);
and such proceeding or petition shall continue undismissed for 60 days or an order or
decree approving or ordering any of the foregoing shall be entered;

     (h) the Borrower or any Subsidiary (other than an Insignificant Subsidiary) shall (i)
voluntarily commence any proceeding or file any petition seeking relief under Title 11 of
the United States Code, as now constituted or hereafter amended, or any other Federal,
state or foreign bankruptcy, insolvency, receivership or similar law, (ii) consent to the
institution of, or fail to contest in a timely and appropriate manner, any proceeding or
the filing of any petition described in paragraph (g) of this Article, (iii) apply for or
consent to the appointment of a receiver, trustee, custodian, sequestrator, conservator or
similar official for the Borrower or any Subsidiary (other than an Insignificant
Subsidiary) or for a substantial part of the property or assets of the Borrower or any
Subsidiary (other than an Insignificant 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
inability or fail generally to pay its debts as they become due or (vii) take any action
for the purpose of effecting any of the foregoing;

     (i) one or more judgments shall be rendered against the Borrower, any Subsidiary
(other than an Insignificant Subsidiary) or any combination thereof and the same shall
remain undischarged for a period of 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 assets or properties of the Borrower or any Subsidiary (other than an Insignificant
Subsidiary) to enforce any such judgment and such judgment either (i) is for the payment of
money in an

 

79

aggregate amount in excess of $5,000,000 or (ii) is for injunctive relief and could
reasonably be expected to result in a Material Adverse Effect;

     (j) an ERISA Event shall have occurred that, in the opinion of the Required Lenders,
when taken together with all other such ERISA Events, could reasonably be expected to
result in liability of the Borrower and its ERISA Affiliates in an aggregate amount
exceeding $5,000,000;

     (k) any Guarantee under the Guarantee Agreement for any reason shall cease to be in
full force and effect (other than in accordance with its terms), or any Subsidiary
Guarantor shall deny in writing that it has any further liability under the Guarantee
Agreement (other than as a result of the discharge of such Subsidiary Guarantor in
accordance with the terms of the Loan Documents);

     (l) any security interest purported to be created by any Security Document shall cease
to be, or shall be asserted by the Borrower or any other Loan Party not to be, a valid,
perfected, first priority (except as otherwise expressly provided in this Agreement or such
Security Document) security interest in the securities, assets or properties covered
thereby, except to the extent that any such loss of perfection or priority results from the
failure of the Collateral Agent to maintain possession of certificates representing
securities pledged under the Security Agreement or other applicable Security Document and
except to the extent that such loss is covered by a lender’s title insurance policy and the
related insurer promptly after such loss shall have acknowledged in writing that such loss
is covered by such title insurance policy;

     (m) there shall have occurred a Change in Control;

     (n) (i) a notice of debarment, notice of suspension or notice of termination for
default shall have been issued under any Material Contract; (ii) the Borrower is barred or
suspended from contracting with any part of the Government; (iii) a Government
investigation shall have resulted in a criminal or civil liability of the Borrower or any
Subsidiary in excess of $5,000,000; (iv) the actual termination of any Material Contract
due to alleged fraud, willful misconduct, neglect, default or any other wrongdoing; or (v)
a cure notice issued under any Material Contract shall remain uncured (subject to
expiration of extensions that may have been received) beyond (A) the expiration of the time
period available to the Borrower pursuant to such Material Contract and/or such cure notice
to cure the noticed default or (B) the date on which the other contracting party exercises
its rights and remedies under the Material Contract as a consequence of such default;

     (o) Any Loan hereunder shall, for any purpose of Section 406 of ERISA or Section 4975
of the Code, be found to be a direct or indirect loan or other transaction between the
Administrative Agent or any of the Lenders and the ESOT which, if it is assumed that the
Administrative Agent and the Lenders are “parties in interest” and “disqualified persons”
(as defined in Section 3(14) of

 

80

ERISA and Section 4975 of the Code), is a non-exempt prohibited transaction described
in Section 406 of ERISA or Section 4975 of the Code;

     (p) There shall be a finding, holding, ruling or other determination not subject to
cure made by any court or Governmental Authority, or an assertion by the ESOP Fiduciary or
the ESOT Trustee, concerning any matter with respect to the ESOP or the ESOT contrary to or
inconsistent with any representation, warranty or covenant set forth herein, which holding,
ruling, determination or assertion could reasonably be expected to have a Material Adverse
Effect;

     (q) the IRS shall notify the Borrower in writing that it has made a final
determination not subject to cure that the ESOP is not a qualified plan and an employee
stock ownership plan within the meanings of Section 401(a) and 4975(e)(7), respectively, of
the Code; or

     (r) so long as any Senior Secured Notes are outstanding, the Intercreditor Agreement
shall, in whole or in part, cease to be effective or cease to be legally valid, binding and
enforceable against any party thereto (or against any person on whose behalf any such party
makes any covenants or agreements therein), or otherwise not be effective to create the
rights and obligations purported to be created thereunder, unless the same results directly
from the action or inaction of the Administrative Agent;

then, and in every such event (other than an event with respect to the Borrower described in
paragraph (g) or (h) of this Article), 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 Borrower, take either or both of the following actions, at the same or different times: (i)
terminate forthwith the Commitments and (ii) declare the Loans then outstanding to be forthwith due
and payable in whole or in part, whereupon the principal of the Loans so declared to be due and
payable, together with accrued interest thereon and any unpaid accrued Fees and all other
liabilities of the Borrower accrued hereunder and under any other Loan Document, shall become
forthwith due and payable, without presentment, demand, protest or any other notice of any kind,
all of which are hereby expressly waived by the Borrower, anything contained herein or in any other
Loan Document to the contrary notwithstanding; and in any event with respect to the Borrower
described in paragraph (g) or (h) of this Article, the Commitments shall automatically terminate
and the principal of the Loans then outstanding, together with accrued interest thereon and any
unpaid accrued Fees and all other liabilities of the Borrower accrued hereunder and under any other
Loan Document, shall automatically become due and payable, without presentment, demand, protest or
any other notice of any kind, all of which are hereby expressly waived by the Borrower, anything
contained herein or in any other Loan Document to the contrary notwithstanding.

 

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ARTICLE VIII

The Administrative Agent and the Collateral Agent

     Each of the Lenders and the Issuing Bank hereby irrevocably appoints the Administrative Agent
and the Collateral Agent (for purposes of this Article VIII, the Administrative Agent and the
Collateral Agent are referred to collectively as the “Agents”) its agent and authorizes the Agents
to take such actions on its behalf and to exercise such powers as are delegated to such Agent by
the terms of the Loan Documents, together with such actions and powers as are reasonably incidental
thereto. Without limiting the generality of the foregoing, the Agents are hereby expressly
authorized to (i) execute any and all documents (including releases) with respect to the Collateral
and the rights of the Secured Parties with respect thereto, as contemplated by and in accordance
with the provisions of this Agreement and the Security Documents and (ii) negotiate, enforce or
the settle any claim, action or proceeding affecting the Lenders in their capacity as such, at the
direction of the Required Lenders, which negotiation, enforcement or settlement will be binding
upon each Lender.

     The institution serving as the Administrative Agent and/or the Collateral Agent hereunder
shall have the same rights and powers in its capacity as a Lender as any other Lender and may
exercise the same as though it were not an Agent, and such bank and its Affiliates may accept
deposits from, lend money to and generally engage in any kind of business with the Borrower or any
Subsidiary or other Affiliate thereof as if it were not an Agent hereunder.

     Neither Agent shall have any duties or obligations except those expressly set forth in the
Loan Documents. Without limiting the generality of the foregoing, (a) neither Agent shall be
subject to any fiduciary or other implied duties, regardless of whether a Default has occurred and
is continuing, (b) neither Agent shall have any duty to take any discretionary action or exercise
any discretionary powers, except discretionary rights and powers expressly contemplated hereby that
such Agent is instructed in writing to exercise by the Required Lenders (or such other number or
percentage of the Lenders as shall be necessary under the circumstances as provided in Section
9.08), and (c) except as expressly set forth in the Loan Documents, neither Agent shall have any
duty to disclose, nor shall it be liable for the failure to disclose, any information relating to
the Borrower or any of the Subsidiaries that is communicated to or obtained by the bank serving as
Administrative Agent and/or Collateral Agent or any of its Affiliates in any capacity. Neither
Agent shall be liable for any action taken or not taken by it with the consent or at the request of
the Required Lenders (or such other number or percentage of the Lenders as shall be necessary under
the circumstances as provided in Section 9.08) or in the absence of its own gross negligence or
willful misconduct. Neither Agent shall be deemed to have knowledge of any Default unless and
until written notice thereof is given to such Agent by the Borrower or a Lender, and neither Agent
shall be responsible for or have any duty to ascertain or inquire into (i) any statement, warranty
or representation made in or in connection with any Loan Document, (ii) the contents of any
certificate, report or other document delivered thereunder or in connection therewith, (iii) the
performance or observance of any of the covenants, agreements or other terms or

 

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conditions set forth in any Loan Document, (iv) the validity, enforceability, effectiveness or
genuineness of any Loan Document or any other agreement, instrument or document, or (v) the
satisfaction of any condition set forth in Article IV or elsewhere in any Loan Document, other than
to confirm receipt of items expressly required to be delivered to such Agent.

     Each Agent shall be entitled to rely upon, and shall not incur any liability for relying upon,
any notice, request, certificate, consent, statement, instrument, document or other writing
believed by it to be genuine and to have been signed or sent by the proper person. Each Agent may
also rely upon any statement made to it orally or by telephone and believed by it to have been made
by the proper person, and shall not incur any liability for relying thereon. Each Agent may
consult with legal counsel (who may be counsel for the Borrower), 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.

     Each Agent may perform any and all its duties and exercise its rights and powers by or through
any one or more sub-agents appointed by it. Each Agent and any such sub-agent may perform any and
all its duties and exercise its rights and powers by or through their respective Related Parties.
The exculpatory provisions of the preceding paragraphs shall apply to any such sub-agent and to the
Related Parties of each Agent and any such sub-agent, and shall apply to their respective
activities in connection with the syndication of the Credit Facility as well as activities as
Agent.

     Subject to the appointment and acceptance of a successor Administrative Agent as provided
below, the Administrative Agent may resign at any time by notifying the Lenders, the Issuing Bank
and the Borrower. Upon any such resignation, the Required Lenders shall have the right, in
consultation with the Borrower, to appoint a successor. If no successor shall have been so
appointed by the Required Lenders and shall have accepted such appointment within 30 days after the
retiring Administrative Agent gives notice of its resignation, then the retiring Administrative
Agent may, on behalf of the Lenders and the Issuing Bank, appoint a successor Administrative Agent
which shall be a bank with an office in New York, New York, or an Affiliate of any such bank. If
no successor Administrative Agent has been appointed pursuant to the immediately preceding sentence
by the 30th day after the date such notice of resignation was given by such Administrative Agent,
such Administrative Agent’s resignation shall become effective and the Required Lenders shall
thereafter perform all the duties of such Administrative Agent hereunder and/or under any other
Loan Document until such time, if any, as the Required Lenders appoint a successor Administrative
Agent. Any such resignation by such Administrative Agent hereunder shall also constitute, to the
extent applicable, its resignation as an Issuing Bank and the Swingline Lender, in which case such
resigning Administrative Agent (a) shall not be required to issue any further Letters of Credit or
make any additional Swingline Loans hereunder and (b) shall maintain all of its rights as Issuing
Bank or Swingline Lender, as the case may be, with respect to any Letters of Credit issued by it,
or Swingline Loans made by it, prior to the date of such resignation. Upon the acceptance of its
appointment as Administrative Agent hereunder by a successor, such successor shall succeed to and
become vested with all the rights,

 

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powers, privileges and duties of the retiring Administrative Agent, and the retiring
Administrative Agent shall be discharged from its duties and obligations hereunder. 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 an
Administrative Agent’s resignation hereunder, the provisions of this Article and Section 9.05 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 acting as Administrative Agent.

     Each Lender acknowledges that it has, independently and without reliance upon the Agents or
any other Lender and based on such documents and information as it has deemed appropriate, made its
own credit analysis and decision to enter into this Agreement. Each Lender also acknowledges that
it will, independently and without reliance upon the Agents or any other Lender and based on such
documents and information as it shall from time to time deem appropriate, continue to make its own
decisions in taking or not taking action under or based upon this Agreement or any other Loan
Document, any related agreement or any document furnished hereunder or thereunder.

     Each Lender hereby consents to and approves each and all of the provisions of the
Intercreditor Agreement and irrevocably authorizes and directs the Administrative Agent and
Collateral Agent to execute and deliver the Intercreditor Agreement and to exercise and enforce its
rights and remedies and perform its obligations thereunder.

     No Bank Secured Party shall have any right individually to realize upon any of the Collateral
or to enforce any Guarantee of the Bank Obligations, it being understood and agreed that all
powers, rights and remedies under the Loan Documents may be exercised solely by the Agents on
behalf of the Bank Secured Parties in accordance with the terms thereof (subject, in the case of
the Collateral, to the provisions of the Intercreditor Agreement). In the event of a foreclosure by
the Collateral Agent on any of the Collateral pursuant to a public or private sale or other
disposition, any Secured Party may be the purchaser or licensor of any or all of such Collateral at
any such sale or other disposition, and the Administrative Agent or Collateral Agent, as agent for
and representative of the Secured Parties (but not any Secured Party or Secured Parties in its or
their respective individual capacities unless the Required Lenders shall otherwise agree in
writing) shall be entitled, for the purpose of bidding and making settlement or payment of the
purchase price for all or any portion of the Collateral sold at any such sale, to use and apply any
of the Obligations as a credit on account of the purchase price for any Collateral payable by such
Agent on behalf of the Secured Parties at such sale or other disposition. Each Bank Secured Party,
whether or not a party hereto, will be deemed, by its acceptance of the benefits of the Collateral
and of the Guarantees of the Bank Obligations provided under the Loan Documents, to have agreed to
the foregoing provisions.

     Notwithstanding any other provision of this Agreement or any provision of any other Loan
Document, the Arranger, is named as such for recognition purposes only, and in its capacity as such
shall have no duties, responsibilities or liabilities with respect to

 

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this Agreement or any other Loan Document; it being understood and agreed that the Arranger
shall be entitled to all indemnification and reimbursement rights in favor of the Agents provided
herein and in the other Loan Documents. Without limitation of the foregoing, the Arranger in its
capacity as such shall not by reason of this Agreement or any other Loan Document, have any
fiduciary relationship in respect of any Lender, Loan Party or any other person.

ARTICLE IX

Miscellaneous

     SECTION 9.01. Notices; Electronic Communications. Notices and other communications provided
for herein shall be in writing and shall be delivered by hand or overnight courier service, mailed
by certified or registered mail or sent by fax, as follows:

     (a) if to the Borrower, to it at 1750 Tysons Boulevard, Suite 1300, McLean, Virginia
22102, Attention of Michael J. Alber, Fax No. (703) 336-6795 or (703) 714-6511;

     (b) if to the Administrative Agent, the Swingline Lender or the Issuing Bank, to
Credit Suisse AG, Cayman Islands Branch, One Madison Avenue, New York, New York 10010,
Attention of the Agency Manager, Fax No. (212) 322-2291, Email:
agency.loanops@credit-suisse.com;

     (c) if to the Collateral Agent, to Wilmington Trust Company, 1100 N. Market Street,
Wilmington, Delaware 19890, Attention of Corporate Capital Markets, Fax No. (302) 636-4145;
and

     (d) if to a Lender or an Issuing Bank, to it at its address (or fax number) set forth
in its Administrative Questionnaire or in the Assignment and Acceptance pursuant to which
such Lender shall have become a party hereto.

     All notices and other communications given to any party hereto in accordance with the
provisions of this Agreement shall be deemed to have been given on the date of receipt if delivered
by hand or overnight courier service or sent by fax or on the date five Business Days after
dispatch by certified or registered mail if mailed, in each case delivered, sent or mailed
(properly addressed) to such party as provided in this Section 9.01 or in accordance with the
latest unrevoked direction from such party given in accordance with this Section 9.01. As agreed
to among the Borrower, the Administrative Agent and the applicable Lenders from time to time,
notices and other communications may also be delivered by e-mail to the e-mail address of a
representative of the applicable person provided from time to time by such person.

     The Borrower hereby agrees, unless directed otherwise by the Administrative Agent or unless
the electronic mail address referred to below has not been provided by the Administrative Agent to
the Borrower, that it will, or will cause the Subsidiaries to, provide to the Administrative Agent
all information, documents and other materials that it is obligated to furnish to the
Administrative Agent pursuant to the Loan Documents or

 

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to the Lenders under Article V, including all notices, requests, financial statements,
financial and other reports, certificates and other information materials, but excluding any such
communication that (a) is or relates to a Borrowing Request, a notice pursuant to Section 2.10 or a
notice requesting the issuance, amendment, extension or renewal of a Letter of Credit pursuant to
Section 2.22, (b) relates to the payment of any principal or other amount due under this Agreement
prior to the scheduled date therefor, (c) provides notice of any Default or Event of Default under
this Agreement or any other Loan Document or (d) 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 being referred to herein collectively as
“Communications”), by transmitting the Communications in an electronic/soft medium that is properly
identified in a format acceptable to the Administrative Agent to an electronic mail address as
directed by the Administrative Agent. In addition, the Borrower agrees, and agrees to cause the
Subsidiaries, to continue to provide the Communications to the Administrative Agent or the Lenders,
as the case may be, in the manner specified in the Loan Documents but only to the extent requested
by the Administrative Agent.

     The Borrower hereby acknowledges that (a) the Administrative Agent will make available to the
Lenders and the L/C Issuer materials and/or information provided by or on behalf of the Borrower
hereunder (collectively, the “Borrower Materials”) by posting the Borrower Materials on Intralinks
or another similar electronic system (the “Platform”) and (b) certain of the Lenders may be
“public-side” Lenders (i.e., Lenders that do not wish to receive material non-public information
with respect to the Borrower or its securities) (each, a “Public Lender”). The Borrower hereby
agrees that (i) all Borrower Materials that are to be made available to Public Lenders 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; (ii) by marking Borrower Materials “PUBLIC,”
the Borrower shall be deemed to have authorized the Administrative Agent and the Lenders to treat
such Borrower Materials as not containing any material non-public information with respect to the
Borrower or its securities for purposes of United States Federal and state securities laws
(provided, however, that to the extent such Borrower Materials constitute Information, they shall
be treated as set forth in Section 9.16); (iii) all Borrower Materials marked “PUBLIC” are
permitted to be made available through a portion of the Platform designated as “Public Investor;”
and (iv) the Administrative Agent shall be entitled to treat any Borrower Materials that are not
marked “PUBLIC” as being suitable only for posting on a portion of the Platform not marked as
“Public Investor” and shall post the same only on such portion. Notwithstanding the foregoing, the
following Borrower Materials shall be marked “PUBLIC”, unless the Borrower notifies the
Administrative Agent promptly that any such document contains material non-public information: (A)
the Loan Documents and (B) notification of changes in the terms of the Credit Facility.

     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

 

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procedures and applicable law, including United States Federal and state securities laws, to
make reference to Communications 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
Borrower or its securities for purposes of United States Federal or state securities laws.

     THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE”. NEITHER THE ADMINISTRATIVE AGENT NOR ANY
OF ITS RELATED PARTIES WARRANTS THE ACCURACY OR COMPLETENESS OF THE COMMUNICATIONS OR THE ADEQUACY
OF THE PLATFORM AND EACH EXPRESSLY DISCLAIMS LIABILITY FOR ERRORS OR OMISSIONS IN THE
COMMUNICATIONS. NO WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF
MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR
FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS IS MADE BY THE ADMINISTRATIVE AGENT OR ANY OF ITS
RELATED PARTIES IN CONNECTION WITH THE COMMUNICATIONS OR THE PLATFORM. IN NO EVENT SHALL THE
ADMINISTRATIVE AGENT OR ANY OF ITS RELATED PARTIES HAVE ANY LIABILITY TO ANY LOAN PARTY, ANY LENDER
OR ANY OTHER PERSON FOR DAMAGES OF ANY KIND, WHETHER OR NOT BASED ON STRICT LIABILITY AND INCLUDING
DIRECT OR INDIRECT, SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES, LOSSES OR EXPENSES (WHETHER IN
TORT, CONTRACT OR OTHERWISE) ARISING OUT OF ANY LOAN PARTY’S OR THE ADMINISTRATIVE AGENT’S
TRANSMISSION OF COMMUNICATIONS THROUGH THE INTERNET, EXCEPT TO THE EXTENT THE LIABILITY OF ANY SUCH
PERSON IS FOUND IN A FINAL RULING BY A COURT OF COMPETENT JURISDICTION TO HAVE RESULTED PRIMARILY
FROM SUCH PERSON’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT.

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

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

     SECTION 9.02. Survival of Agreement. All covenants, agreements, representations and
warranties made by the Borrower herein and in the certificates or other instruments prepared or
delivered in connection with or pursuant to this Agreement

 

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or any other Loan Document shall be considered to have been relied upon by the Lenders and the
Issuing Bank and shall survive the making by the Lenders of the Loans and the issuance of Letters
of Credit by the Issuing Bank, regardless of any investigation made by the Lenders or the Issuing
Bank or on their behalf, and shall continue in full force and effect as long as the principal of or
any accrued interest on any Loan or any Fee or any other amount payable under this Agreement or any
other Loan Document is outstanding and unpaid or any Letter of Credit is outstanding and so long as
the Commitments have not been terminated. The provisions of Sections 2.13, 2.15, 2.19 and 9.05
shall remain operative and in full force and effect regardless of the expiration of the term of
this Agreement, the consummation of the transactions contemplated hereby, the repayment of any of
the Loans, the expiration of the Commitments, the expiration of any Letter of Credit, the
invalidity or unenforceability of any term or provision of this Agreement or any other Loan
Document, or any investigation made by or on behalf of the Administrative Agent, the Collateral
Agent, any Lender or the Issuing Bank.

     SECTION 9.03. Binding Effect. This Agreement shall become effective when it shall have been
executed by the Borrower and the Administrative Agent and when the Administrative Agent shall have
received counterparts hereof which, when taken together, bear the signatures of each of the other
parties hereto.

     SECTION 9.04. Successors and Assigns. (a) Whenever in this Agreement any of the parties
hereto is referred to, such reference shall be deemed to include the permitted successors and
assigns of such party; and all covenants, promises and agreements by or on behalf of the Borrower,
the Administrative Agent, the Collateral Agent, the Issuing Bank or the Lenders that are contained
in this Agreement shall bind and inure to the benefit of their respective successors and assigns.

     (b) Each Lender may assign to one or more Eligible Assignees all or a portion of its
interests, rights and obligations under this Agreement (including all or a portion of its
Commitment and the Loans at the time owing to it), with the prior written consent of the
Administrative Agent, and, in the case of any assignment of a Tranche A Revolving Credit
Commitment, the Issuing Bank and the Swingline Lender (in each case, not to be unreasonably
withheld or delayed); provided, however, that (i) except in the case of an assignment to a Lender
or an Affiliate or Related Fund of a Lender, (A) unless an Event of Default shall have occurred and
be continuing, the Borrower must also give its prior written consent to such assignment (which
consent shall not be unreasonably withheld or delayed and which consent will be deemed given if the
Borrower does not object in writing to the proposed assignment within 5 Business Days of receipt by
it of written notice thereof) (provided that the consent of the Borrower shall not be required to
any such assignment made (A) to another Lender or (B) after the occurrence and during the
continuance of any Default or Event of Default), (ii) the amount of the Commitment and/or Loans of
the assigning Lender subject to each such assignment (determined as of the date the Assignment and
Acceptance with respect to such assignment is delivered to the Administrative Agent) shall not be
less than $1,000,000 (or, if less, the entire remaining amount of such Lender’s Commitment and/or
Loans of the relevant Class; provided that such minimum assignment amount shall be aggregated for
two or more simultaneous assignments by or to two or more Related Funds), (iii) the parties to each

 

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assignment shall (A) execute and deliver to the Administrative Agent an Assignment and
Acceptance via an electronic settlement system acceptable to the Administrative Agent or (B) if
previously agreed with the Administrative Agent, manually execute and deliver to the Administrative
Agent an Assignment and Acceptance, and, in each case, shall pay to the Administrative Agent a
processing and recordation fee of $3,500 (which fee may be waived or reduced in the sole discretion
of the Administrative Agent) and (iv) the assignee, if it shall not be a Lender, shall deliver to
the Administrative Agent an Administrative Questionnaire (in which the assignee shall designate one
or more credit contacts to whom all syndicate-level information (which may contain material
non-public information about the Loan Parties and their Related Parties or their respective
securities) will be made available and who may receive such information in accordance with the
assignee’s compliance procedures and applicable laws, including Federal and state securities laws)
and all applicable tax forms. Upon acceptance and recording pursuant to paragraph (e) of this
Section 9.04, from and after the effective date specified in each Assignment and Acceptance, (A)
the assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such
Assignment and Acceptance, have the rights and obligations of a Lender under this Agreement and (B)
the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment
and Acceptance, be released from its obligations under this Agreement (and, in the case of an
Assignment and Acceptance covering all or the remaining portion of an assigning Lender’s rights and
obligations under this Agreement, such Lender shall cease to be a party hereto but shall continue
to be entitled to the benefits of Sections 2.13, 2.15, 2.19 and 9.05 as well as to any Fees accrued
for its account and not yet paid).

     (c) By executing and delivering an Assignment and Acceptance, the assigning Lender thereunder
and the assignee thereunder shall be deemed to confirm to and agree with each other and the other
parties hereto as follows: (i) such assigning Lender warrants that it is the legal and beneficial
owner of the interest being assigned thereby free and clear of any adverse claim and that its Term
Loan Commitment and Revolving Credit Commitment, and the outstanding balances of its Term Loans and
Revolving Loans, in each case without giving effect to assignments thereof which have not become
effective, are as set forth in such Assignment and Acceptance, (ii) except as set forth in clause
(i) above, such assigning Lender makes no representation or warranty and assumes no responsibility
with respect to any statements, warranties or representations made in or in connection with this
Agreement, or the execution, legality, validity, enforceability, genuineness, sufficiency or value
of this Agreement, any other Loan Document or any other instrument or document furnished pursuant
hereto, or the financial condition of the Borrower or any Subsidiary or the performance or
observance by the Borrower or any Subsidiary of any of its obligations under this Agreement, any
other Loan Document or any other instrument or document furnished pursuant hereto; (iii) such
assignee represents and warrants that it is an Eligible Assignee legally authorized to enter into
such Assignment and Acceptance; (iv) such assignee confirms that it has received a copy of this
Agreement, together with copies of the most recent financial statements referred to in Section 3.05
or delivered pursuant to Section 5.04 and such other documents and information as it has deemed
appropriate to make its own credit analysis and decision to enter into such Assignment and
Acceptance; (v) such assignee will independently and without reliance upon the Administrative
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Lender or any other Lender and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit decisions in taking or not taking action
under this Agreement; (vi) such assignee appoints and authorizes the Administrative Agent and the
Collateral Agent to take such action as agent on its behalf and to exercise such powers under this
Agreement as are delegated to the Administrative Agent and the Collateral Agent, respectively, by
the terms hereof, together with such powers as are reasonably incidental thereto; and (vii) such
assignee agrees that it will perform in accordance with their terms all the obligations which by
the terms of this Agreement are required to be performed by it as a Lender.

     (d) The Administrative Agent, acting for this purpose as an agent of the Borrower, shall
maintain at one of its offices in The City of New York a copy of each Assignment and Acceptance
delivered to it and a register for the recordation of the names and addresses of the Lenders, and
the Commitment of, and principal amount 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 absent
manifest error, and the Borrower, the Administrative Agent, the Issuing Bank, the Collateral Agent
and the Lenders may treat each person whose name is recorded in the Register pursuant to the terms
hereof as a Lender hereunder for all purposes of this Agreement, notwithstanding notice to the
contrary. The Register shall be available for inspection by the Borrower, the Issuing Bank, the
Collateral Agent and any Lender, at any reasonable time and from time to time upon reasonable prior
notice.

     (e) Upon its receipt of, and consent to, a duly completed Assignment and Acceptance executed
by an assigning Lender and an assignee, an Administrative Questionnaire completed in respect of the
assignee (unless the assignee shall already be a Lender hereunder), the processing and recordation
fee referred to in paragraph (b) of this Section, if applicable, the written consent of the
Administrative Agent and, if required, the Borrower, the Swingline Lender and/or the Issuing Bank
to such assignment and any applicable tax forms, the Administrative Agent shall (i) accept such
Assignment and Acceptance and (ii) record the information contained therein in the Register. No
assignment shall be effective unless it has been recorded in the Register as provided in this
paragraph.

     (f) Each Lender may without the consent of the Borrower, the Swingline Lender, the Issuing
Bank or the Administrative Agent sell participations to one or more banks or other entities in all
or a portion of its rights and obligations under this Agreement (including all or a portion of its
Commitment and the Loans owing to it); provided, however, that (i) such Lender’s obligations under
this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to the
other parties hereto for the performance of such obligations, (iii) the participating banks or
other entities shall be entitled to the benefit of the cost protection provisions contained in
Sections 2.13, 2.15 and 2.19 to the same extent as if they were Lenders (but, with respect to any
particular participant, to no greater extent than the Lender that sold the participation to such
participant) and (iv) the Borrower, the Administrative Agent, the Collateral Agent, the Issuing
Bank and the Lenders shall continue to deal solely and directly with such Lender in connection with
such Lender’s rights and obligations under this Agreement, and such

 

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Lender shall retain the sole right to enforce the obligations of the Borrower relating to the
Loans or L/C Disbursements and to approve any amendment, modification or waiver of any provision of
this Agreement (other than amendments, modifications or waivers decreasing any fees payable to such
participating bank or person hereunder or the amount of principal of or the rate at which interest
is payable on the Loans in which such participating bank or person has an interest, extending any
scheduled principal payment date or date fixed for the payment of interest on the Loans in which
such participating bank or person has an interest, increasing or extending the Commitments in which
such participating bank or person has an interest or releasing any Subsidiary Guarantor (other than
in connection with the sale of such Guarantor in a transaction permitted by Section 6.05) or all or
substantially all of the Collateral). To the extent permitted by law, each participating bank or
other person also shall be entitled to the benefits of Section 9.06 as though it were a Lender,
provided that such participating bank or other person agrees to be subject to Section 2.17 as
though it were a Lender. Each Lender that sells a participation shall, acting solely for this
purpose as an agent of the 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 Loans or other obligations under this Agreement (the “Participant Register”). 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.

     (g) Any Lender or participant may, in connection with any assignment or participation or
proposed assignment or participation pursuant to this Section, subject to Section 9.16(b), disclose
to the assignee or participant or proposed assignee or participant any information relating to the
Borrower furnished to such Lender by or on behalf of the Borrower; provided that, prior to any such
disclosure of information designated by the Borrower as confidential, each such assignee or
participant or proposed assignee or participant shall execute an agreement whereby such assignee or
participant shall agree (subject to customary exceptions) to preserve the confidentiality of such
confidential information on terms no less restrictive than those applicable to the Lenders pursuant
to Section 9.16.

     (h) Any Lender may at any time assign all or any portion of its rights under this Agreement
to secure extensions of credit to such Lender or in support of obligations owed by such Lender;
provided that no such assignment shall release a Lender from any of its obligations hereunder or
substitute any such assignee for such Lender as a party hereto.

     (i) Notwithstanding anything to the contrary contained herein, any Lender (a “Granting
Lender”) may grant to a special purpose funding vehicle (an “SPC”), identified as such in writing
from time to time by the Granting Lender to the Administrative Agent and the Borrower, the option
to provide to the Borrower all or any part of any Loan that such Granting Lender would otherwise be
obligated to make to the Borrower pursuant to this Agreement; provided that (i) nothing herein
shall constitute a commitment by any SPC to make any Loan and (ii) if an SPC elects not to exercise
such

 

91

option or otherwise fails to provide all or any part of such Loan, the Granting Lender shall
be obligated to make such Loan pursuant to the terms hereof. The making of a Loan by an SPC
hereunder shall utilize the Commitment of the Granting Lender to the same extent, and as if, such
Loan were made by such Granting Lender. Each party hereto hereby agrees that no SPC shall be
liable for any indemnity or similar payment obligation under this Agreement (all liability for
which shall remain with the Granting Lender). In furtherance of the foregoing, each party hereto
hereby agrees (which agreement shall survive the termination of this Agreement) that, prior to the
date that is one year and one day after the payment in full of all outstanding commercial paper or
other senior indebtedness of any SPC, it will not institute against, or join any other person in
instituting against, such SPC any bankruptcy, reorganization, arrangement, insolvency or
liquidation proceedings under the laws of the United States of America or any State thereof. In
addition, notwithstanding anything to the contrary contained in this Section 9.04, any SPC may (i)
with notice to, but without the prior written consent of, the Borrower and the Administrative Agent
and without paying any processing fee therefor, assign all or a portion of its interests in any
Loans to the Granting Lender or to any financial institutions (consented to by the Borrower and
Administrative Agent) providing liquidity and/or credit support to or for the account of such SPC
to support the funding or maintenance of Loans and (ii) subject to Section 9.16(b), disclose on a
confidential basis any non-public information relating to its Loans to any rating agency,
commercial paper dealer or provider of any surety, guarantee or credit or liquidity enhancement to
such SPC.

     (j) The Borrower shall not assign or delegate any of its rights or duties hereunder without
the prior written consent of the Administrative Agent, the Issuing Bank and each Lender, and any
attempted assignment without such consent shall be null and void.

     (k) In the event that (a) any Lender shall become a Defaulting Lender, (b) S&P, Moody’s and
Thompson’s BankWatch (or InsuranceWatch Ratings Service, in the case of Lenders that are insurance
companies (or Best’s Insurance Reports, if such insurance company is not rated by Insurance Watch
Ratings Service)) shall, after the date that any Lender becomes a Lender, downgrade the long-term
certificate deposit ratings of such Lender, and the resulting ratings shall be below BBB-, Baa3 and
C (or BB, in the case of a Lender that is an insurance company (or B, in the case of an insurance
company not rated by InsuranceWatch Ratings Service)), or (c) with respect to any Tranche A
Revolving Credit Lender that is not rated by any such ratings service or provider, the Issuing
Banks or the Swingline Lender shall have reasonably determined that there has occurred a material
adverse change in the financial condition of any such Lender, or a material impairment of the
ability of any such Lender to perform its obligations hereunder, as compared to such condition or
ability as of the date that any such Lender became a Lender, then the Issuing Banks shall have the
right, but not the obligation, at its own expense, upon notice to such Lender and the
Administrative Agent, to replace (or to request the Borrower to use its reasonable efforts to
replace) such Lender with an assignee (in accordance with and subject to the restrictions contained
in paragraph (b) of this Section), and such Lender hereby agrees to transfer and assign without
recourse (in accordance with and subject to the restrictions contained in paragraph (b) of this
Section) all its interests, rights and obligations in respect of its Revolving Credit Commitment to

 

92

such assignee; provided, however, that (i) no such assignment shall conflict with any law,
rule and regulation or order of any Governmental Authority and (ii) the Issuing Banks or such
assignee, as the case may be, shall pay to such Lender in immediately available funds on the date
of such assignment the principal of and interest accrued to the date of payment on the Loans made
by such Lender hereunder and all other amounts accrued for such Lender’s account or owed to it
hereunder.

     SECTION 9.05. Expenses; Indemnity. (a) The Borrower agrees to pay all out-of-pocket
expenses incurred by the Administrative Agent, the Collateral Agent, the Issuing Bank and the
Swingline Lender in connection with the syndication of the Credit Facility and the preparation and
administration of this Agreement and the other Loan Documents or in connection with any amendments,
modifications or waivers of the provisions hereof or thereof (whether or not the transactions
hereby or thereby contemplated shall be consummated) or incurred by the Administrative Agent, the
Collateral Agent, the Issuing Bank or any Lender in connection with the enforcement or protection
of its rights in connection with this Agreement and the other Loan Documents or in connection with
the Loans made or Letters of Credit issued hereunder, including the reasonable fees, charges and
disbursements of Cravath, Swaine & Moore LLP, counsel for the Administrative Agent, and, in
connection with any such enforcement or protection, the reasonable fees, charges and disbursements
of any other counsel for the Administrative Agent, the Collateral Agent or any Lender.

     (b) The Borrower agrees to indemnify the Administrative Agent, the Collateral Agent, each
Lender, the Issuing Bank and each Related Party of any of the foregoing persons (each such person
being called an “Indemnitee”) against, and to hold each Indemnitee harmless from, any and all
losses, claims, damages, liabilities and related expenses, including reasonable counsel fees,
charges and disbursements, incurred by or asserted against any Indemnitee arising out of, in any
way connected with, or as a result of (i) the execution or delivery of this Agreement or any other
Loan Document or any agreement or instrument contemplated thereby, the performance by the parties
thereto of their respective obligations thereunder or the consummation of the Transactions and the
other transactions contemplated thereby, (ii) the use of the proceeds of the Loans or issuance of
Letters of Credit, (iii) any claim, litigation, investigation or proceeding relating to any of the
foregoing, whether or not any Indemnitee is a party thereto, or (iv) any actual or alleged presence
or Release of Hazardous Materials on any property currently or formerly owned or operated by the
Borrower or any Subsidiary, or any Environmental Liability related in any way to the Borrower or
the Subsidiaries; provided that such indemnity shall not, as to any Indemnitee, be available to the
extent that such losses, claims, damages, liabilities or related expenses are determined by a court
of competent jurisdiction by final and nonappealable judgment to have resulted primarily from the
gross negligence or willful misconduct of such Indemnitee.

     (c) To the extent that the Borrower fails to pay any amount required to be paid by them to
the Administrative Agent, the Collateral Agent, the Issuing Bank or the Swingline Lender under
paragraph (a) or (b) of this Section, each Lender severally agrees to pay to the Administrative
Agent, the Collateral Agent, the Issuing Bank or the Swingline Lender, as the case may be, such
Lender’s Pro Rata Percentage (determined as

 

93

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, the Collateral Agent, the Issuing Bank or the Swingline Lender in its capacity as such.

     (d) To the extent permitted by applicable law, the Borrower shall not assert, and 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 or any agreement or instrument contemplated
hereby, the Transactions, any Loan or Letter of Credit or the use of the proceeds thereof.

     (e) The provisions of this Section shall remain operative and in full force and effect
regardless of the expiration of the term of this Agreement, the consummation of the transactions
contemplated hereby, the repayment of any of the Loans, the expiration of the Commitments, the
expiration of any Letter of Credit, the invalidity or unenforceability of any term or provision of
this Agreement or any other Loan Document, or any investigation made by or on behalf of the
Administrative Agent, the Collateral Agent, any Lender or the Issuing Bank. All amounts due under
this Section shall be payable on written demand therefor.

     SECTION 9.06. Right of Setoff. If an Event of Default shall have occurred and be continuing,
each Lender is hereby authorized at any time and from time to time, except to the extent prohibited
by law, to set off and apply any and all deposits (general or special, time or demand, provisional
or final) at any time held and other indebtedness at any time owing by such Lender to or for the
credit or the account of the Borrower against any of and all the obligations of the Borrower now or
hereafter existing under this Agreement and other Loan Documents held by such Lender, irrespective
of whether or not such Lender shall have made any demand under this Agreement or such other Loan
Document and although such obligations may be unmatured. The rights of each Lender under this
Section are in addition to other rights and remedies (including other rights of setoff) which such
Lender may have.

     SECTION 9.07. Applicable Law. THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS (OTHER THAN
LETTERS OF CREDIT AND AS EXPRESSLY SET FORTH IN OTHER LOAN DOCUMENTS) SHALL BE CONSTRUED IN
ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK. EACH LETTER OF CREDIT SHALL BE
GOVERNED BY, AND SHALL BE CONSTRUED IN ACCORDANCE WITH, THE LAWS OR RULES DESIGNATED IN SUCH LETTER
OF CREDIT, OR IF NO SUCH LAWS OR RULES ARE DESIGNATED, THE UNIFORM CUSTOMS AND PRACTICE FOR
DOCUMENTARY CREDITS MOST RECENTLY PUBLISHED AND IN EFFECT, ON THE DATE SUCH LETTER OF CREDIT WAS
ISSUED, BY THE INTERNATIONAL CHAMBER OF COMMERCE (THE “UNIFORM CUSTOMS”) AND, AS TO MATTERS NOT
GOVERNED BY THE UNIFORM CUSTOMS, THE LAWS OF THE STATE OF NEW YORK.

 

94

     SECTION 9.08. Waivers; Amendment. (a) No failure or delay of the Administrative Agent, the
Collateral Agent, any Lender or the Issuing Bank in exercising any power or right hereunder or
under any other Loan Document shall operate as a waiver thereof, nor shall any single or partial
exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such
a right or power, preclude any other or further exercise thereof or the exercise of any other right
or power. The rights and remedies of the Administrative Agent, the Collateral Agent, the Issuing
Bank and the Lenders hereunder and under the other Loan Documents are cumulative and are not
exclusive of any rights or remedies that they would otherwise have. No waiver of any provision of
this Agreement or any other Loan Document or consent to any departure by the Borrower or any other
Loan Party therefrom shall in any event be effective unless the same shall be permitted by
paragraph (b) of this Section, and then such waiver or consent shall be effective only in the
specific instance and for the purpose for which given. No notice or demand on the Borrower in any
case shall entitle the Borrower to any other or further notice or demand in similar or other
circumstances.

     (b) Neither this Agreement nor any provision hereof nor any other Loan Document or any
provision thereof may be waived, amended or modified except pursuant to an agreement or agreements
in writing entered into by the Borrower and the Required Lenders; provided, however, that (i) the
Borrower and the Administrative Agent may enter into an amendment to effect the provisions of
Section 2.23 upon the effectiveness of any Incremental Assumption Agreement (and any such amendment
shall in any event be deemed to have occurred upon such effectiveness), (ii) no such agreement
shall (A) decrease the principal amount of, or extend the maturity of or any scheduled principal
payment date or date for the payment of any interest on any Loan or any date for reimbursement of
an L/C Disbursement, or waive or excuse any such payment or any part thereof, or decrease the rate
of interest on any Loan or L/C Disbursement, without the prior written consent of each Lender
directly adversely affected thereby, (B) increase or extend the Commitment or decrease or extend
the date for payment of any Fees of any Lender without the prior written consent of such Lender,
(C) amend or modify the pro rata requirements of Section 2.16, the provisions of Section 9.04(j) or
the provisions of this Section or release any Subsidiary Guarantor (other than in connection with
the sale of such Guarantor in a transaction permitted by Section 6.05) or all or substantially all
of the Collateral, without the prior written consent of each Lender, (D) change the provisions of
any Loan Document in a manner that by its terms adversely affects the rights in respect of payments
due to Lenders holding Loans of one Class differently from the rights of Lenders holding Loans of
any other Class without the prior written consent of Lenders holding a majority in interest of the
outstanding Loans and unused Commitments of each adversely affected Class, (E) modify the
protections afforded to an SPC pursuant to the provisions of Section 9.04(i) without the written
consent of such SPC, or (F) reduce the percentage contained in the definition of the term “Required
Lenders” without the prior written consent of each Lender (it being understood that with the
consent of the Required Lenders, additional extensions of credit pursuant to this Agreement may be
included in the determination of the Required Lenders on substantially the same basis as the
Revolving Credit Commitments on the date hereof) and (iii) any waiver, amendment or other
modification referred to in subclauses (i)(A) or (B) above with respect to the Loans or Commitments
of any Lender may be made with the prior written consent of such

 

95

Lender; provided further that no such agreement shall amend, modify or otherwise affect the
rights or duties of the Administrative Agent, the Collateral Agent, the Issuing Bank or the
Swingline Lender hereunder or under any other Loan Document without the prior written consent of
the Administrative Agent, the Collateral Agent, the Issuing Bank or the Swingline Lender.

     (c) The Administrative Agent and the Borrower may amend any Loan Document to correct
administrative errors or omissions, or to effect administrative changes that are not adverse to any
Lender; provided, however, that no such amendment shall become effective until the fifth Business
Day after it has been delivered to the Lenders or otherwise posted for their attention on the
Platform, and then only if the Required Lenders have not objected in writing thereto within such
five Business Day period.

     SECTION 9.09. Interest Rate Limitation. Notwithstanding anything herein to the contrary, if
at any time the interest rate applicable to any Loan or participation in any L/C Disbursement,
together with all fees, charges and other amounts which are treated as interest on such Loan or
participation in such L/C Disbursement under applicable law (collectively the “Charges”), shall
exceed the maximum lawful rate (the “Maximum Rate”) which may be contracted for, charged, taken,
received or reserved by the Lender holding such Loan or participation in accordance with applicable
law, the rate of interest payable in respect of such Loan or participation hereunder, together with
all Charges payable in respect thereof, shall be limited to the Maximum Rate and, to the extent
lawful, the interest and Charges that would have been payable in respect of such Loan or
participation but were not payable as a result of the operation of this Section shall be cumulated
and the interest and Charges payable to such Lender in respect of other Loans or participations or
periods shall be increased (but not above the Maximum Rate therefor) until such cumulated amount,
together with interest thereon at the Federal Funds Effective Rate to the date of repayment, shall
have been received by such Lender.

     SECTION 9.10. Entire Agreement. This Agreement, the Fee Letter and the other Loan Documents
constitute the entire contract between the parties relative to the subject matter hereof. Any
other previous agreement among the parties with respect to the subject matter hereof is superseded
by this Agreement and the other Loan Documents. Nothing in this Agreement or in the other Loan
Documents, expressed or implied, is intended to confer upon any person (other than the parties
hereto and thereto, their respective successors and assigns permitted hereunder (including any
Affiliate of the Issuing Bank that issues any Letter of Credit) and, to the extent expressly
contemplated hereby, the Related Parties of each of the Administrative Agent, the Collateral Agent,
the Issuing Bank and the Lenders) any rights, remedies, obligations or liabilities under or by
reason of this Agreement or the other Loan Documents.

     SECTION 9.11. WAIVER OF JURY TRIAL. EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT
PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION
DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OF THE
OTHER LOAN DOCUMENTS. EACH PARTY HERETO (A) CERTIFIES THAT NO

 

96

REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE,
THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER
AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS
AGREEMENT AND THE OTHER LOAN DOCUMENTS, AS APPLICABLE, BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS
AND CERTIFICATIONS IN THIS SECTION.

     SECTION 9.12. Severability. In the event any one or more of the provisions contained in this
Agreement or in any other Loan Document should be held invalid, illegal or unenforceable in any
respect, the validity, legality and enforceability of the remaining provisions contained herein and
therein shall not in any way be affected or impaired thereby (it being understood that the
invalidity of a particular provision in a particular jurisdiction shall not in and of itself affect
the validity of such provision in any other jurisdiction). The parties shall endeavor in
good-faith negotiations to replace the invalid, illegal or unenforceable provisions with valid
provisions the economic effect of which comes as close as possible to that of the invalid, illegal
or unenforceable provisions.

     SECTION 9.13. Counterparts. This Agreement may be executed in counterparts (and by different
parties hereto on different counterparts), each of which shall constitute an original but all of
which when taken together shall constitute a single contract, and shall become effective as
provided in Section 9.03. Delivery of an executed signature page to this Agreement by facsimile
transmission shall be as effective as delivery of a manually signed counterpart of this Agreement.

     SECTION 9.14. Headings. Article and Section headings and the Table of Contents used herein
are for convenience of reference only, are not part of this Agreement and are not to affect the
construction of, or to be taken into consideration in interpreting, this Agreement.

     SECTION 9.15. Jurisdiction; Consent to Service of Process. The Borrower hereby irrevocably
and unconditionally submits, for itself and its property, to the exclusive jurisdiction of any New
York State court or Federal court of the United States of America sitting in New York County, and
any appellate court from any thereof, in any action or proceeding arising out of or relating to
this Agreement or the other Loan Documents, or for recognition or enforcement of any judgment, and
each of the parties hereto hereby irrevocably and unconditionally agrees that all claims in respect
of any such action or proceeding may be heard and determined in such New York State or, to the
extent permitted by law, in such Federal court. Each of the parties hereto agrees that a final
judgment in any such action or proceeding shall be conclusive and may be enforced in other
jurisdictions by suit on the judgment or in any other manner provided by law. Nothing in this
Agreement shall affect any right that the Administrative Agent, the Collateral Agent, the Issuing
Bank or any Lender may otherwise have to bring any action or proceeding relating to this Agreement
or the other Loan Documents against the Borrower or its properties in the courts of any
jurisdiction.

 

97

     (a) The Borrower hereby irrevocably and unconditionally waives, to the fullest extent it may
legally and effectively do so, any objection which it may now or hereafter have to the laying of
venue of any suit, action or proceeding arising out of or relating to this Agreement or the other
Loan Documents in any New York State or Federal court. Each of the parties hereto hereby
irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient forum to
the maintenance of such action or proceeding in any such court.

     (b) Each party to this Agreement irrevocably consents to service of process in the manner
provided for notices in Section 9.01. Nothing in this Agreement will affect the right of any party
to this Agreement to serve process in any other manner permitted by law.

     SECTION 9.16. Confidentiality. (a) Each of the Administrative Agent, the Collateral Agent,
the Issuing Bank and the Lenders agrees to maintain the confidentiality of the Information (as
defined below), except that Information may be disclosed (a) to its and its Affiliates’ officers,
directors, employees and agents, including accountants, legal counsel and other advisors (it being
understood that the persons to whom such disclosure is made will be informed of the confidential
nature of such Information and instructed to keep such Information confidential), (b) to the extent
requested by any regulatory authority or quasi-regulatory authority (such as the National
Association of Insurance Commissioners), (c) to the extent required by applicable laws or
regulations or by any subpoena or similar legal process, (d) in connection with the exercise of any
remedies hereunder or under the other Loan Documents or any suit, action or proceeding relating to
the enforcement of its rights hereunder or thereunder, (e) subject to an agreement containing
provisions substantially the same as those of this Section, to (i) any actual or prospective
assignee of or participant in any of its rights or obligations under this Agreement and the other
Loan Documents or (ii) any actual or prospective counterparty (or its advisors) to any swap or
derivative transaction relating to the Borrower or any Subsidiary or any of their respective
obligations, (f) with the consent of the Borrower or (g) to the extent such Information becomes
publicly available other than as a result of a breach of this Section. For the purposes of this
Section, “Information” shall mean all information received from the Borrower and related to the
Borrower or its business, other than any such information that was available to the Administrative
Agent, the Collateral Agent, the Issuing Bank or any Lender on a nonconfidential basis prior to its
disclosure by the Borrower; provided that, in the case of Information received from the Borrower
after the date hereof, such information is clearly identified at the time of delivery as
confidential.

     (b) The Administrative Agent, the Lenders and all other persons who are or who may become
party to this Agreement or who may participate in the Loans pursuant to Section 9.04(f) or are SPCs
acknowledge that the Borrower and its Subsidiaries perform classified contracts funded by or for
the benefit of the United States Federal government, and, accordingly, notwithstanding any other
provision of this Agreement, neither the Borrower nor any Subsidiary will be obligated to release,
disclose or otherwise make available: (i) any classified information to any person including the
Administrative Agent, the Lenders or any other person not in possession of a valid security
clearance and

 

98

authorized by the appropriate agency of the United States Federal government to receive such
material, or (ii) any material whatsoever to any person including the Administrative Agent, the
Lenders or any other person if such release, disclosure or availability would not comply with the
National Industrial Security Program Operating Manual and associated laws and regulations. The
Administrative Agent and the Lenders agree that, in connection with any exercise of a right or
remedy, the United States Federal government may remove classified information or government-issued
property prior to any remedial action implicating such classified information or government-issued
property. Upon notice from the Borrower, the Administrative Agent and the Lenders shall take such
steps in accordance with this Agreement as may reasonably be requested by the Borrower to enable
the Borrower or any Subsidiary to comply with the Foreign Ownership Control or Influence
requirements of the United States government imposed from time to time.

     SECTION 9.17. Lender Action. Each Lender agrees that it shall not take or institute any
actions or proceedings, judicial or otherwise, for any right or remedy against any Loan Party or
any other obligor under any of the Loan Documents (including the exercise of any right of setoff,
rights on account of any banker’s lien or similar claim or other rights of self-help), or institute
any actions or proceedings, or otherwise commence any remedial procedures, with respect to any
Collateral or any other property of any such Loan Party, unless expressly provided for herein or in
any other Loan Document, without the prior written consent of the Administrative Agent. The
provisions of this Section 9.17 are for the sole benefit of the Lenders and shall not afford any
right to, or constitute a defense available to, any Loan Party.

     SECTION 9.18. USA PATRIOT Act Notice. Each Lender and the Administrative Agent (for itself
and not on behalf of any Lender) hereby notifies the Borrower that pursuant to the requirements of
the USA PATRIOT Act, it is required to obtain, verify and record information that identifies the
Borrower, which information includes the name and address of the Borrower and other information
that will allow such Lender or the Administrative Agent, as applicable, to identify the Borrower in
accordance with the USA PATRIOT Act.

     SECTION 9.19. Application of Proceeds. Upon receipt from the Collateral Agent of the
proceeds of any collection, sale, foreclosure or other realization upon any Collateral, including
any Collateral consisting of cash, following the exercise of remedies provided for in Article VII
(or after the Loans have automatically become due and payable as set forth in Article VII), the
Administrative Agent shall apply such proceeds as follows:

     FIRST, to the payment of all costs and expenses incurred by the Administrative Agent
(in its capacity as such hereunder or under any other Loan Document) in connection with
such collection, sale, foreclosure or realization or otherwise in connection with this
Agreement or any other Loan Document, including all court costs and the fees and expenses
of its agents and legal counsel, the repayment of all advances made by the Administrative
Agent hereunder or under any other Loan Document on behalf of any Loan Party and any other
costs

 

99

or expenses incurred in connection with the exercise of any right or remedy hereunder
or under any other Loan Document;

     SECOND, to the payment in full of Unfunded Advances/Participations (the amounts so
applied to be distributed between or among the Administrative Agent and the Issuing Banks
pro rata in accordance with the amounts of Unfunded Advances/Participations owed to them on
the date of any such distribution); and

     THIRD, to the payment in full of all other Bank Obligations (the amounts so applied to
be distributed among the Bank Secured Parties pro rata in accordance with the amounts of
the Bank Obligations owed to them on the date of any such distribution).

     The Administrative Agent shall have absolute discretion as to the time of application of any
such proceeds, moneys or balances in accordance with this Agreement.

[Remainder of page intentionally blank]

 

 

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their
respective authorized officers as of the day and year first above written.

	 	 	 	 	 
	 	ALION SCIENCE AND
TECHNOLOGY CORPORATION,

 	 
	 	by  	/s/ Michael J. Alber 	 
	 	 	Name:  	Michael J. Alber 	 
	 	 	Title:  	Senior Vice President, Chief Financial Officer and Treasurer 	 

[Signature Page to Alion Credit Agreement]

 

 

	 	 	 	 	 
	 	CREDIT SUISSE AG,
CAYMAN ISLANDS BRANCH, individually and as Administrative Agent,
Swingline Lender and Issuing Bank,

 	 
	 	by  	/s/
Robert Hetu 	 
	 	 	Name:  	Robert Hetu 	 
	 	 	Title:  	Managing Director 	 
	 	 	 
	 	by  	/s/
Christopher Reo Day
 	 
	 	 	Name:  	Christopher Reo Day 	 
	 	 	Title:  	Associate 	 

[Signature Page to Alion Credit Agreement]

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