Document:

exv10w78

 

Exhibit 10.78

HERBALIFE LTD.

EMPLOYEE STOCK PURCHASE PLAN

(Adopted in March 15, 2007 and Approved by Shareholders April 26, 2007)

     Herbalife Ltd. (the “Company”) hereby establishes and adopts the Herbalife Ltd.
Employee Stock Purchase Plan (the “Plan”).

1. PURPOSE

     The purpose of the Plan is to provide eligible employees of the Company and its subsidiaries
with an opportunity to participate in the Company’s success by purchasing the Company’s Common
Shares through payroll deductions. The Company intends the Plan to qualify as an “employee stock
purchase plan” within the meaning of Section 423 of the Internal Revenue Code of 1986, as amended
(the “Code”), and the provisions of the Plan shall be construed in a manner consistent with
the requirements of Section 423 of the Code. Notwithstanding the foregoing, a subplan established
pursuant to Section 11 hereof shall not be considered part of the Plan for purposes of Section 423
of the Code.

2. DEFINITIONS

     2.1. “Account” shall mean the account maintained on behalf of the Committee to which
are credited (i) payroll deductions pursuant to Section 6 and (ii) Common Shares acquired upon
exercise of an option pursuant to Section 7.

     2.2. “Authorization Form” shall mean a form established by the Committee authorizing
payroll deductions as set forth in Section 4 and such other terms and conditions as the Committee
from time to time may determine.

     2.3. “Board” shall mean the board of directors of the Company.

     2.4. “Committee” shall mean a committee of one or more members, designated by the
Board to administer the Plan, which may consist of directors, officers or other employees.

     2.5. “Common Shares” means the Company’s common shares, par value $.001, subject to
adjustment as provided in Section 14.

     2.6. “Compensation” shall mean the regular salary of a Participant from the Company or
a Designated Subsidiary. Compensation shall be determined prior to the Employee’s pre-tax
contributions pursuant to Section 125 and Section 401(k) of the Code, and shall exclude bonuses,
compensation from the exercise of stock options or from non-taxable fringe benefits provided by the
Company or a Designated Subsidiary.

     2.7. “Designated Subsidiaries” shall mean Subsidiaries that have been designated by
the Committee from time to time, in its sole discretion, as eligible to participate in the Plan.

 

 

     2.8. “Eligible Employee” shall mean any Employee who has completed at least sixty (60)
days of continuous employment with the Company or a Subsidiary excluding:

          (a) any Employee who customarily is employed for 20 hours or less per week;

          (b) any Employee who customarily is employed for not more than five (5) months in a calendar
year, or

          (c) any Employee who would own for purposes of Section 424(b)(3) of the Code, stock possessing
five percent (5%) or more of the total combined voting power or value of all classes of stock of
the Company (or of a Subsidiary or parent, if any).

     2.9. “Employee” means any individual classified as an employee (within the meaning of
Section 3401(c) of the Code) by the Company or a Designated Subsidiary on the Company’s or such
Designated Subsidiary’s payroll records during the relevant participation period. Individuals
classified as independent contractors, consultants, advisers, or members of the Board or the board
of directors of a Designated Subsidiary are not considered “Employees” solely by virtue of such
station.

     2.10. “Exercise Date” shall mean the last business day of each Offering Period in
which payroll deductions are made under the Plan.

     2.11. “Fair Market Value” per share as of a particular date shall mean the per share
closing sales price of the Common Shares as reported on the New York Stock Exchange on that date
(or if there were no reported prices on such date, on the last preceding date on which the prices
were reported) or, if the Company is not then listed on the New York Stock Exchange, on such other
principal securities exchange on which the Common Shares are traded.

     2.12. “Offering Date” shall mean the first business day of each Offering Period.

     2.13. “Offering Period” shall mean a period of six (6) months, or such other period of
time as determined from time to time by the Committee. In no event shall an Offering Period exceed
twenty-seven (27) months. The first Offering Period shall commence after shareholder approval of
the Plan.

     2.14. “Participant” shall mean an Eligible Employee who participates in the Plan.

     2.15. “Subsidiary” shall mean any corporation having the relationship to the Company
described in Section 424(f) of the Code.

3. SHARES SUBJECT TO THE PLAN

     Subject to Section 14, 1,000,000 Common Shares may be issued under the Plan. Such shares may
be authorized but unissued Common Shares or Common Shares acquired by the Company in the open
market or otherwise. If the total number of shares which would otherwise be subject to options
granted under the Plan on an Offering Date exceeds the number of shares then available under the
Plan (after deduction of all shares for which options have been exercised or are then outstanding),
the Committee shall make a pro rata allocation of the shares remaining

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available for option grant in as uniform a manner as shall be practicable and as it shall
determine to be equitable. In such event, the Committee shall give written notice to each
Participant of such reduction of the number of option shares affected thereby and shall similarly
reduce the rate of payroll deductions, if necessary.

4. PARTICIPATION

     4.1. Each Eligible Employee on an Offering Date shall become a Participant as of the Offering
Date by completing an Authorization Form and filing it with the Committee by the date required by
the Committee pursuant to such method as it may be establish from time to time in its sole
discretion. Such authorization will remain in effect for subsequent Offering Periods, until
modified or terminated by the Participant.

     4.2. Any person who first becomes an Eligible Employee during an Offering Period shall become
a Participant as of the first day of a subsequent Offering Date by completing an Authorization Form
and filing it with the Committee by the date required by the Committee pursuant to such method as
may be established by the Committee from time to time in its sole discretion. Such authorization
will remain in effect for subsequent Offering Periods, until modified or terminated by the
Participant.

     4.3. A person shall cease to be a Participant upon the earliest to occur of:

          (a) the date the Participant ceases to be an Eligible Employee for any reason;

          (b) the first day of the Offering Period beginning after the date on which the Participant
ceases payroll deduction under the Plan pursuant to Section 6.1; or

          (c) the date of a withdrawal from the Plan by the Participant as provided in Section 9.

5. GRANT OF OPTION

     5.1. On each Offering Date the Company shall grant each Participant an option to purchase
Common Shares, subject to the limitations set forth in Sections 3 and 5.3.

     5.2. The option price per Common Share subject to an offering shall be, unless otherwise
determined by the Committee and communicated to Participants prior to the deadline for Participants
to file their Authorization Forms for the Offering Period to which the Authorization Form applies,
eighty-five percent (85%) of the Fair Market Value of a Common Share on the Exercise Date.

     5.3. No Participant shall be granted an option which permits the Participant’s rights to
purchase Common Shares under the Plan and all other employee stock purchase plans of the Company to
accrue at a rate which exceeds $25,000 of the Fair Market Value of the Common Shares on the
Offering Date for each calendar year in which such option is outstanding at any time; for purposes
of this limitation, there shall be counted only options to which Section 423 of the Code applies.

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6. PAYROLL DEDUCTIONS

     6.1. A Participant may, in accordance with rules adopted by the Committee, file an
Authorization Form that authorize a payroll deduction of any whole number percentage from one
percent (1%) to ten percent (10%) (or such other percentage as may be established by the Committee
from time to time in its sole discretion) of such Participant’s Compensation on each pay period
during the Offering Period. A Participant may increase such payroll deduction effective as of each
Offering Date provided the Participant files an Authorization Form requesting the increase in
accordance with rules established by the Committee. A Participant may decrease or cease payroll
deductions during an Offering Period by filing an Authorization Form requesting the decrease or
cessation in accordance with rules established by the Committee.

     6.2. All payroll deductions made by a Participant shall be credited to the Participant’s
Account. A Participant may not make any additional payments to the Participant’s Account.

7. EXERCISE OF OPTION

     7.1. Unless a Participant withdraws from the Plan as provided in Section 9, the Participant’s
option to purchase Common Shares will be exercised automatically on the Exercise Date, and the
maximum number of full Common Shares subject to such option will be purchased for such Participant
at the applicable option price with the accumulated payroll deductions in the Participant’s
Account. No fractional shares shall be issued under the Plan.

     7.2. The Common Shares purchased upon exercise of an option hereunder shall be credited to the
Participant’s Account and shall be deemed to be transferred to the Participant on the Exercise Date
and, except as otherwise provided herein, the Participant shall have all rights of a shareholder
with respect to such shares. Common Shares received upon stock dividends or stock splits shall be
treated as having been purchased on the Exercise Date of the shares to which they relate.

8. DELIVERY OF COMMON SHARES

     As promptly as practicable after receipt by the Committee of a request for withdrawal of
Common Shares from any Participant in accordance with rules established by the Committee, the
Committee shall arrange for delivery to such Participant of the Common Shares which the Participant
requests to withdraw. Withdrawals may be made no more frequently than twice each calendar year
unless approved by the Committee in its sole discretion.

9. WITHDRAWAL; TERMINATION OF EMPLOYMENT

     9.1. A Participant may withdraw all, but not less than all, the payroll deductions and cash
dividends credited to the Participant’s Account at any time by giving written notice to the
Committee which is received at least thirty (30) days prior to the Exercise Date (or such other
notice period as may be established by the Committee from time to time in its sole discretion).
All such payroll deductions and cash dividends credited to the Participant’s Account will be paid
to the Participant promptly after receipt of such Participant’s notice of withdrawal and the
Participant’s option for the Offering Period in which the withdrawal occurs will be automatically

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terminated. No further payroll deductions for the purchase of Common Shares will be made for
the Participant during such Offering Period, and any additional cash dividends during the Offering
Period will be distributed to the Participant.

     9.2. Upon termination of a Participant’s status as an Employee during the Offering Period for
any reason the payroll deductions and cash dividends remaining credited to the Participant’s
Account will be returned (and any future cash dividends will be distributed) to the Participant or,
in the case of the Participant’s death, the estate of the Participant, and the Participant’s option
will be automatically terminated. A Participant’s status as an Employee shall not be considered
terminated in the case of a leave of absence agreed to in writing by the Company or a Subsidiary
(including but not limited to, military and sick leave), provided that such leave is for a period
of not more than six (6) months or reemployment upon expiration of such leave is guaranteed by
contract or statute.

     9.3. A Participant’s withdrawal from an offering will not have any effect upon such
Participant’s eligibility to participant in a subsequent offering.

10. DIVIDENDS

     10.1. Cash dividends paid on Common Shares held in a Participant’s Account shall be
distributed to Participants as soon as practicable. Dividends paid in Common Shares or stock
splits of the Common Shares shall be credited to the Accounts of Participants. Dividends paid on
Common Shares in property (other than cash or Common Shares) shall be distributed to Participants
as soon as practicable.

     10.2. No interest shall accrue on or be payable with respect to the payroll deductions or
credited cash dividends or a Participant in the Plan.

11. ADMINISTRATION

     The Plan shall be administered by the Committee, and the Committee may select a third party
administrator to whom its duties and responsibilities hereunder may be delegated. The Committee
shall have full power and authority, subject to the provisions of the Plan, to promulgate such
rules and regulations as it deems necessary for the proper administration of the Plan, to interpret
the provisions and supervise the administration of the Plan, and to take all action in connection
therewith or in relation thereto as it deems necessary or advisable. Any decision reduced to
writing and signed by a majority of the members of the Committee shall be fully effective as if it
had been made at a meeting duly held. The determination of the Committee on any matters relating
to the Plan shall be final, binding and conclusive. The Company will pay all expenses incurred in
the administration of the Plan. No member of the Committee shall be personally liable for any
action, determination, or interpretation made in good faith with respect to the Plan, and all
members of the Committee shall be fully indemnified by the Company with respect to any such action,
determination or interpretation.

     The Committee may adopt rules or procedures relating to the operation and administration of
the Plan to accommodate the specific requirements of local laws and procedures. Without limiting
the generality of the foregoing, the Committee is specifically authorized to adopt rules and
procedures regarding handling of payroll deductions or other

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contributions by Participants, payment of interest, conversion of local currency, data privacy
security, payroll tax, withholding procedures and handling of stock certificates which vary with
local requirements; however, if such varying provisions are not in accordance with the provisions
of Section 423(b) of the Code, including but not limited to the requirement of Section 423(b)(5) of
the Code that all options granted under the Plan shall have the same rights and privileges unless
otherwise provided under the Code and the regulations promulgated thereunder, then the individuals
affected by such varying provisions shall be deemed to be participating under a sub-plan and not in
the Plan. The Committee may also adopt subplans applicable to particular Subsidiaries or
locations, which sub-plans may be designed to be outside the scope of Section 423 of the Code and
shall be deemed to be outside the scope of Section 423 of the Code unless the terms of the sub-plan
provide to the contrary. The rules of such subplans may take precedence over other provisions of
this Plan, with the exception of Section 3, but unless otherwise superseded by the terms of such
subplan, the provisions of this Plan shall govern the operation of such subplan. The Committee
shall not be required to obtain the approval of shareholders prior to the adoption, amendment or
termination of any subplan unless required by the laws of the foreign jurisdiction in which
Eligible Employees participating in the subplan are located.

12. NO TRANSFERABILITY

     Neither payroll deductions credited to a Participant’s Account nor any rights with regard to
the exercise of an option or to receive Common Shares under the Plan may be assigned, transferred,
pledged or otherwise disposed of in any way (other than by will or the laws of descent and
distribution) by the Participant. Any such attempt at assignment, transfer, pledge or other
disposition shall be without effect, except that the Committee may treat such act as an election to
withdraw funds in accordance with Section 9.

13. USE OF FUNDS

     All payroll deductions received or held by the Company under the Plan may be used by the
Company for any corporate purpose, and the Company shall not be obligated to segregate such payroll
deductions.

14. EFFECT OF CERTAIN CHANGES

     14.1. In the event of any recapitalization, merger, consolidation, reorganization, stock
dividend, stock split, reverse stock split, combination or exchange of shares, repurchase of
shares, distribution of cash or property (other than a regular cash dividend) spin-off or similar
transaction or other change in corporate structure affecting the Common Shares or the value
thereof, the Committee shall determine the equitable adjustments to be made under the Plan,
including without limitation adjustments to the number of Common Shares which have been authorized
for issuance under the Plan but have not yet been granted under options, as well as the price per
Common Share covered by each option under the Plan which has not yet been exercised.

     14.2. In the event of the proposed liquidation or dissolution of the Company, the Offering
Period will terminate immediately prior to the consummation of such proposed

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transaction, unless otherwise provided by the Board in its sole discretion, and all
outstanding options shall automatically terminate and the amounts of all payroll deductions will be
refunded without interest to the Participants.

     14.3. In the event of a proposed sale of all or substantially all of the assets of the
Company, or the merger or consolidation or similar combination of the Company with or into another
entity, then in the sole discretion of the Board, either (1) each option shall be assumed or an
equivalent option shall be substituted by the successor corporation or parent or subsidiary of such
successor entity, (2) a date established by the Board on or before the date of consummation of such
merger, consolidation, combination or sale shall be treated as a Exercise Date, and all outstanding
options shall be exercised on such date, (3) all outstanding options shall terminate and the
accumulated payroll deductions will be refunded without interest to the Participants, or
(4) outstanding options shall continue unchanged.

15. TERMINATION OR AMENDMENT

     The Board may at any time terminate, suspend or amend the Plan as it shall deem advisable. No
such termination may adversely affect options previously granted without the consent of affected
Participants. No amendment shall be effective unless approved by the shareholders of the Company
if shareholder approval of such amendment is required to comply with applicable law, including the
rules and regulations of the New York Stock Exchange (or such other principal securities market on
which the Common Shares are traded).

16. NO EMPLOYMENT RIGHTS

     Nothing in the Plan shall confer upon any Participant the right to continue in the employment
of the Company or any Subsidiary or affect any right which the Company or any Subsidiary may have
to terminate the employment of any Participant at any time for any reason.

17. REGULATIONS AND OTHER APPROVALS; GOVERNING LAW

     17.1. This Plan and the right of all persons claiming an interest hereunder shall be construed
and determined in accordance with the laws of the State of California without reference to
principles of conflict of laws.

     17.2. The obligation of the Company to sell or deliver Common Shares with respect to options
granted under the Plan shall be subject to all applicable laws, rules and regulations, including
all applicable Federal and state securities laws, and the obtaining of all such approvals by
governmental agencies as may be deemed necessary or appropriate by the Committee.

18. WITHHOLDING OF TAXES

     If the Participant makes a disposition, within the meaning of Section 424(c) of the Code and
regulations promulgated thereunder, of any Common Shares issued to such Participant pursuant to the
Participant’s exercise of an option, and such disposition occurs within the two-year period
commencing on the day after the Offering Date or within the one-year period commencing on the day
after the Exercise Date, such Participant shall, within five (5) days of such disposition, notify
the Company thereof and thereafter immediately deliver to the Company

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any amount of Federal, state or local income taxes and other amounts, if any, which the
Company informs the Participant the Company is required to withhold.

19. MISCELLANEOUS

     19.1. If any provision of the Plan shall be held unlawful or otherwise invalid or
unenforceable in whole or in part by a court of competent jurisdiction, such provision shall (a) be
deemed limited to the extent that such court of competent jurisdiction deems it lawful, valid
and/or enforceable and as so limited shall remain in full force and effect, and (b) not affect any
other provision of the Plan or part thereof, each of which shall remain in full force and effect.
If the making of any payment or the provision of any other benefit required under the Plan shall be
held unlawful or otherwise invalid or unenforceable by a court of competent jurisdiction, such
unlawfulness, invalidity or unenforceability shall not prevent any other payment or benefit from
being made or provided under the Plan, and if the making of any payment in full or the provision of
any other benefit required under the Plan in full would be unlawful or otherwise invalid or
unenforceable, then such unlawfulness, invalidity or unenforceability shall not prevent such
payment or benefit from being made or provided in part, to the extent that it would not be
unlawful, invalid or unenforceable, and the maximum payment or benefit that would not be unlawful,
invalid or unenforceable shall be made or provided under the Plan.

     19.2. As used in the Plan, the words “include” and “including,” and variations thereof, shall
not be deemed to be terms of limitation, but rather shall be deemed to be followed by the words
“without limitation.”

     19.3. The captions in the Plan are for convenience of reference only, and are not intended to
narrow, limit or affect the substance or interpretation of the provisions contained herein.

20. EFFECTIVE DATE; APPROVAL OF STOCKHOLDERS

     The Plan is effective as of April 26, 2007. The Plan shall be submitted to the shareholders
of the Company for approval within twelve (12) months after the date the Plan is adopted by the
Board. The Plan is conditioned upon the approval of the shareholders of the Company, and failure
to receive their approval shall render the Plan and all outstanding options issued thereunder null
and void and of no effect.

8exv10w79

 

Exhibit 10.79

FOURTH AMENDMENT TO CREDIT AGREEMENT AND RELEASE OF GUARANTORS

     FOURTH AMENDMENT TO CREDIT AGREEMENT AND RELEASE OF GUARANTORS, dated as of February 21, 2008
(this “Amendment”), among Herbalife International, Inc., a Nevada corporation (“Borrower”),
Herbalife Ltd., a Cayman Islands exempted company with limited liability (“Holdings”), and the
other Guarantors (as defined in the Credit Agreement referred to below) (together with Borrower and
Holdings, the “Loan Parties”), the Lenders signatory hereto and Merrill Lynch Capital Corporation
(“MLCC”), as administrative agent for the Lenders (in such capacity, the “Administrative Agent”),
in connection with that certain Credit Agreement, dated as of July 21, 2006, as amended by that
certain First Amendment to Credit Agreement, dated as of June 21, 2007, that certain Second
Amendment to Credit Agreement, dated as of September 17, 2007, and that certain Third Amendment to
Credit Agreement, dated as of November 30, 2007 (as further amended, restated, supplemented, or
otherwise modified from time to time, the “Credit Agreement”), among the Loan Parties, the lenders
party thereto from time to time (the “Lenders”), the Administrative Agent, and MLCC, as collateral
agent for the Secured Parties (as defined in the Credit Agreement). Capitalized terms used herein
but not otherwise defined herein shall have the meanings given such terms in the Credit Agreement.

W I T N E S S E T H:

     WHEREAS, the Loan Parties, the Lenders named therein, the Administrative Agent and the other
parties thereto have entered into the Credit Agreement;

     WHEREAS, the Borrower has asked the Required Lenders to amend a certain provision of the
Credit Agreement;

     WHEREAS, the Credit Agreement permits the release of Guarantors from their guarantee
obligations with respect to the Credit Agreement under certain circumstances as set forth in
Section 7.09 of the Credit Agreement;

     WHEREAS, in accordance with the terms of Section 7.09 of the Credit Agreement, the Borrower
has asked the Administrative Agent to release Herbalife International de Mexico, S.A. de C.V.,
Herbalife Products de Mexico, S.A. de C.V., Herbalife Europe Limited and Herbalife (U.K.) Limited
(individually, a “Released Guarantor” and collectively, the “Released Guarantors”) from their
respective guarantee obligations set forth in Article VII of the Credit Agreement; and

     WHEREAS, the Required Lenders signatory hereto are willing to consent to such amendment and
release on the terms and subject to the conditions set forth herein.

     NOW, THEREFORE, in consideration of the premises and the agreements herein contained, the Loan
Parties, the Lenders signatory hereto and the Administrative Agent hereby agree as follows:

 

 

ARTICLE I

AMENDMENT TO CREDIT AGREEMENT

     Immediately upon the Effective Date (as defined in Article III below), the following amendment
to the Credit Agreement shall become operative:

     Section 1.1 Section 2.10(g). Section 2.10(g) of the Credit Agreement is hereby amended and
restated in its entirety to read as follows:

(g) [INTENTIONALLY OMITTED]

ARTICLE II

RELEASE OF CERTAIN GUARANTORS

     Immediately upon the Effective Date, the Administrative Agent hereby releases each Released
Guarantor from its obligations in respect of its Guarantee in Article VII of the Credit Agreement,
which releases from such Guarantees shall be deemed effective as of the closing of the last day of
the taxable year that immediately precedes the Effective Date; provided that such Released
Guarantors shall continue to be subject to Section 5.11(b) of the Credit Agreement.

ARTICLE III

CONDITIONS TO EFFECTIVENESS

     Immediately upon the satisfaction of all of the following conditions, the amendment contained
in Article I and the releases contained in Article II of this Amendment shall become effective (the
date on which the applicable conditions are satisfied being the “Effective Date”):

     (a) Amendment. The Administrative Agent shall have received a duly executed
counterpart of this Amendment from each of the Loan Parties, the Administrative Agent and
the Required Lenders.

     (b) Representations and Warranties. Each of the representations and
warranties set forth in Article III of the Credit Agreement or in any other Loan Document
shall be true and correct in all material respects (except that any representation and
warranty that is qualified as to “materiality” or “Material Adverse Effect” shall be true
and correct in all respects) on and as of the Effective Date with the same effect as though
made on and as of such Effective Date, except to the extent such representations and
warranties expressly relate to an earlier date (in which case shall have been true and
correct in all material respects (except that those that are qualified as to “materiality”
or “Material Adverse Effect” shall be true and correct in all respects) on and as of such
earlier date).

     (c) Default. No Default or Event of Default shall have occurred and be
continuing and no Default or Event of Default shall result from entering into this
Amendment.

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     (d) Officer’s Certificate. The Administrative Agent shall have received a
certificate, dated the Effective Date and signed by a Financial Officer of Borrower,
confirming compliance with the conditions precedent set forth in (b) and (c) of this
Article III.

     (e) Requirements of Law. The Administrative Agent shall be satisfied that the
Amendment shall be in full compliance with all material Requirements of Law, including
Regulations T, U and X of the Board.

     (f) Patriot Act. The Administrative Agent shall have received all
documentation and other information required by bank regulatory authorities under
applicable “know your customer” and anti-money laundering rules and regulations, including
without limitation the U.S.A. Patriot Act.

     (g) Fees and Expenses. The Borrower shall have paid all fees and expenses
(including, without limitation, legal fees and expenses) payable pursuant to the Loan
Documents that have been invoiced on or prior to the date hereof.

     (h) Further Assurances. Administrative Agent shall (at the expense of
Borrower) deliver any further releases and other documents reasonably requested by the
Borrower to effectuate the release of the Released Guarantors’ obligations in respect of
their Guarantees.

ARTICLE IV

MISCELLANEOUS

     Section 4.1 Effect of Amendment. Except as expressly set forth herein, this Amendment
shall not by implication or otherwise limit, impair, constitute a waiver of, or otherwise affect
the rights and remedies of any Agent or any Lender under the Loan Documents, and shall not alter,
modify, amend or in any way affect any of the terms, conditions, obligations, covenants or
agreements contained in the Loan Documents, all of which are ratified and affirmed in all respects
and shall continue in full force and effect. Nothing herein shall be deemed to entitle any Loan
Party to a consent to, or a waiver, amendment, modification or other change of, any of the terms,
conditions, obligations, covenants or agreements contained in the Loan Documents in similar or
different circumstances. This Amendment is a Loan Document executed pursuant to the Credit
Agreement and shall be construed, administered and applied in accordance with the terms and
provisions thereof.

     Section 4.2 No Representations by Lenders or Agents. The Loan Parties hereby
acknowledge that they have not relied on any representation, written or oral, express or implied,
by any Lender or any Agent, in entering into this Amendment.

     Section 4.3 Representations of the Loan Parties. Each Loan Party represents and
warrants to the Agents and the Lenders that (a) the execution, delivery and performance by it of
this Amendment are within such entity’s powers and have been duly authorized by all necessary
corporate, limited liability company or limited partnership action, (b) it has received all
necessary governmental, regulatory or other approvals for the execution and delivery of this
Amendment, and the execution, delivery and performance by it of this Amendment do not and will not
contravene or conflict with any provision of (i) any law, (ii) any judgment, decree or order or
(iii) its articles of incorporation, bylaws, articles or certificate of formation, operating

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agreement or partnership agreement, (c) the execution, delivery and performance by it of this
Amendment do not and will not contravene or conflict with or constitute a default under, or cause
any lien to arise under, any provision of any material agreement or instrument binding upon any
Loan Party or upon any of the respective property of a Loan Party, (d) the Released Guarantors do
not constitute all or substantially all of the Subsidiary Guarantors party to the Credit Agreement
as of the date of the Credit Agreement or as of the date hereof before giving effect to this
Amendment and (e) this Amendment and the Credit Agreement, as amended by this Amendment, are legal,
valid and binding obligations of such entity, enforceable against it in accordance with their
respective terms. Each Loan Party further represents and warrants to the Agents and the Lenders
that (a) each of the representations and warranties set forth in Article III of the Credit
Agreement (as amended by this Amendment) or in any other Loan Document are true and correct in all
material respects (except that any representation and warranty that is qualified as to
“materiality” or “Material Adverse Effect” are true and correct in all respects) on and as of the
Effective Date with the same effect as though made on and as of such Effective Date, except to the
extent such representations and warranties expressly relate to an earlier date (in which case shall
have been true and correct in all material respects (except that those that are qualified as to
“materiality” or “Material Adverse Effect” are true and correct in all respects) on and as of such
earlier date), (b) no Default or Event of Default has occurred and is continuing before or after
giving effect to this Amendment, and (c) no Material Adverse Change has occurred since December 31,
2005.

     Section 4.4 Successors and Assigns. This Amendment shall be binding upon and inure to
the benefit of the parties hereto and their respective successors and assigns permitted hereby and
by the Credit Agreement.

     Section 4.5 Headings. Article and section headings used herein are for convenience of
reference only, are not part of this Amendment and shall not affect the construction of, or be
taken into consideration in interpreting, this Amendment.

     Section 4.6 Severability. Any provision of this Amendment held to be invalid, illegal
or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent
of such invalidity, illegality or unenforceability without affecting the validity, legality and
enforceability of the remaining provisions hereof; and the invalidity of a particular provision in
a particular jurisdiction shall not invalidate such provision in any other jurisdiction.

     Section 4.7 Counterparts. This Amendment may be executed in any number of
counterparts, all of which taken together shall constitute one and the same instrument, and any
party hereto may execute this Amendment by signing any such counterpart. Delivery of an executed
counterpart of a signature page to this Amendment by facsimile shall be effective as delivery of a
manually executed counterpart of this Amendment.

     Section 4.8 Costs and Expenses. Borrower agrees to pay all reasonable out-of-pocket
expenses incurred by any Agent and in connection with the preparation, execution and delivery,
administration of this Amendment and the other Loan Documents (whether or not the transactions
hereby or thereby contemplated shall be consummated).

     Section 4.9 Governing Law. THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND
GOVERNED BY THE LAW OF THE STATE OF NEW YORK (INCLUDING SECTIONS 5-1401 AND 5-1402 OF THE GENERAL
OBLIGATIONS LAW OF THE STATE OF NEW YORK).

4

 

     Section 4.10 Waiver. EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED
BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR
INDIRECTLY ARISING OUT OF OR RELATING TO THIS AMENDMENT OR TO ANY OTHER LOAN DOCUMENT OR THE
TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY
HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED,
EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO
ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN
INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS
IN THIS SECTION 3.9.

     Section 4.11 Ratification of Guarantees. Each Loan Party hereby consents to this
Amendment, and each Loan Party (other than the Released Guarantors) hereby confirms and agrees that
(a) notwithstanding the effectiveness of this Amendment, each of the Guarantees to which it is a
party is, and shall continue to be, in full force and effect and each such Guarantee is hereby
ratified and confirmed in all respects, except that, on and after the effectiveness of this
Amendment, each reference in such Guarantees to the “Agreement”, “thereunder”, “thereof” or words
of like import referring to the Credit Agreement shall mean and be a reference to the Credit
Agreement as amended by this Amendment, and (b) the Security Documents to which it is a party and
all of the Security Agreement Collateral described therein do, and shall continue to, secure the
payment of all of the “Secured Obligations” (as defined in the Security Agreement).

5

 

     IN WITNESS WHEREOF, the undersigned have caused this Amendment to be duly executed and
delivered as of the date first above written.

	 	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL, INC.,  
	 	 	a Nevada corporation, as Borrower
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	WH CAPITAL CORPORATION,
	 	 	a Nevada corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL OF AMERICA, INC.,
	 	 	a Nevada corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL OF EUROPE, INC.,
	 	 	a California corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL COMMUNICATIONS, INC.,
	 	 	a California corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

[Signature Page to Fourth Amendment to Credit Agreement]

 

 

	 	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL DISTRIBUTION, INC.,
	 	 	a California corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE TAIWAN, INC.,
	 	 	a California corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL (THAILAND), LTD.,
	 	 	a California corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL DO BRASIL LTDA.,
	 	 	a corporation dually organized in Brazil and Delaware, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE LTD.,
	 	 	a Cayman Islands exempted company with limited liability, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

[Signature Page to Fourth Amendment to Credit Agreement]

 

 

	 	 	 	 	 	 	 
	 	 	WH INTERMEDIATE HOLDINGS LTD.,
	 	 	a Cayman Islands exempted company with limited liability, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HBL LTD.,
	 	 	a Cayman Islands exempted company with limited liability, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HV HOLDINGS LTD.,
	 	 	a Cayman Islands exempted company with limited liability, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE DISTRIBUTION LTD.,
	 	 	a Cayman Islands exempted company with limited liability, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	WH LUXEMBOURG HOLDINGS S.à.R.L.,
	 	 	a Luxembourg corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

[Signature Page to Fourth Amendment to Credit Agreement]

 

 

	 	 	 	 	 	 	 
	 	 	HLF LUXEMBOURG HOLDINGS S.à R.L.,
	 	 	a Luxembourg corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	WH LUXEMBOURG INTERMEDIATE HOLDINGS S.à.R.L.,
	 	 	a Luxembourg corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE INTERNATIONAL LUXEMBOURG S.à.R.L.,
	 	 	a Luxembourg corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE LUXEMBOURG DISTRIBUTION S.à.R.L.,
	 	 	a Luxembourg corporation, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	HERBALIFE OF JAPAN K.K.
	 	 	a corporation dually organized in Delaware and Japan, as a Guarantor
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

[Signature Page to Fourth Amendment to Credit Agreement]

 

 

	 	 	 	 	 	 	 
	 	 	MERRILL LYNCH CAPITAL CORPORATION,
	 	 	as a Lender and Administrative Agent
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

[Signature Page to Fourth Amendment to Credit Agreement]

 

 

	 	 	 	 	 	 	 
	 	 	
 
as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

[Signature Page to Fourth Amendment to Credit Agreement]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}]]