Document:

exh10-1.htm

    EXHIBIT
10.1

      EIGHTH
AMENDMENT TO CREDIT AGREEMENT

      

      

      THIS
EIGHTH AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) dated as
of September 30, 2009 to the Credit Agreement referenced below is by and among
HURON CONSULTING GROUP INC., as Company, the Guarantors, the Lenders party
hereto and BANK OF AMERICA, N.A., as Administrative Agent (in such capacity, the
“Administrative
Agent”).

      

      W I T N E
S S E T H

      

      WHEREAS,
a $240 million revolving credit facility and a $220 million term loan have been
made available to the Company pursuant to that certain Credit Agreement dated as
of June 7, 2006 (as amended and modified, including by the First Amendment dated
as of December 29, 2006, the Second Amendment dated as of February 23, 2007, the
Third Amendment dated as of May 25, 2007, the Fourth Amendment dated as of July
27, 2007, the Fifth Amendment dated as of April 1, 2008, the Sixth Amendment
dated as of July 8, 2008, and the Seventh Amendment dated September 30, 2008 the
“Credit
Agreement”) among the Company, the Guarantors identified therein, the
Lenders identified therein and the Administrative Agent;

      

      WHEREAS,
the Company and certain Lenders have requested certain modifications of the
Credit Agreement; and

      

      WHEREAS,
the Lenders, by act of the Required Lenders, have agreed to the requested
modifications of the Credit Agreement on the terms and conditions set forth
herein.

      

      NOW,
THEREFORE, IN CONSIDERATION of the premises and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the
parties hereto agree as follows:

      

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

      

      2.           Amendments to Credit
Agreement.

      

      2.1           Amended
Definitions.  The following definitions in Section 1.1 of the
Credit Agreement are hereby amended to read as follows:

      

      Applicable Margin
means, for any day, the rate per annum set forth below opposite the level (the
“Level”) then
in effect, it being understood that the Applicable Margin for (i) LIBOR Loans
shall be the percentage set forth under the column “LIBOR Margin”,
(ii) Base Rate Loans shall be the percentage set forth under the column
“Base Rate Margin”, (iii) the Non- Use Fee Rate shall be the percentage set
forth under the column “Non-Use Fee Rate” and (iv) the L/C Fee shall be the
percentage set forth under the column “L/C Fee Rate”:

      

      [Table on
Following Page]

      
        
           

        

        
          - 1 -

          
            

          

        

        
           

        

      

      
        	
                 

                Level

              	
                 

                Consolidated Leverage Ratio

              	
                LIBOR

                Margin

              	
                Base
      Rate

                Margin

              	
                Non-Use

                Fee Rate

              	
                 

                L/C
      Fee Rate

              
	
                I

              	
                Greater
      than 2.50:1

              	
                325.0
      bps

              	
                225.0
      bps

              	
                50.0
      bps

              	
                325.0
      bps

              
	
                II

              	
                Greater
      than 2.00:1 but less than or equal to 2.50:1

              	
                300.0
      bps

              	
                200.0
      bps

              	
                50.0
      bps

              	
                300.0
      bps

              
	
                III

              	
                Greater
      than 1.50:1 but less than or equal to 2.00:1

              	
                275.0
      bps

              	
                175.0
      bps

              	
                50.0
      bps

              	
                275.0
      bps

              
	
                IV

              	
                Greater
      than 1.00:1 but less than or equal to 1.50:1

              	
                250.0
      bps

              	
                150.0
      bps

              	
                50.0
      bps

              	
                250.0
      bps

              
	
                V

              	
                Less
      than or equal to 1.00:1

              	
                225.0
      bps

              	
                125.0
      bps

              	
                50.0
      bps

              	
                225.0
      bps

              

      

      

      Any
increase or decrease in the Applicable Margin resulting from a change in the
Consolidated Leverage Ratio shall become effective not later than the date five
(5) Business Days immediately following the date a Compliance Certificate is
delivered pursuant to Section 10.1.3; provided, however,
that if a Compliance Certificate is not delivered when due in accordance
therewith, then, upon the request of the Required Lenders, Pricing Level I shall
apply as of the first Business Day after the date on which such Compliance
Certificate was required to have been delivered and shall remain in effect until
the date on which such Compliance Certificate is delivered.  The
Applicable Margin in effect from the Amendment No. 8 Effectiveness Date through
the date for delivery of the annual Compliance Certificate for the fiscal
quarter and year ending December 31, 2009 shall be determined based upon Pricing
Level II.  Determinations by the Administrative Agent of the
appropriate Pricing Level shall be conclusive absent manifest
error.  Notwithstanding anything to the contrary contained in this
definition, the determination of the Applicable Rate for any period shall be
subject to the provisions of Section
1.3(b).

      

      Consolidated EBITDA
means, for any period for the Company and its Subsidiaries, the sum of (a)
Consolidated Net Income, plus, (b) to the
extent deducted in determining such Consolidated Net Income, (i) Consolidated
Interest Expense, plus (ii) taxes,
plus (iii)
depreciation and amortization, plus (iv) non-cash
stock compensation expense (including Statement of Financial Accounting
Standards No. 123 (Revised) impact), plus (v) in the case
of non-cash goodwill impairment charges and all other acquisition-related
intangible asset impairment charges (A) all such charges taken in the fiscal
quarter ending September 30, 2009 and (B) thereafter, all such charges
(excluding charges under the foregoing clause (A) above) taken as of the end of
any fiscal quarter for the period of four consecutive fiscal quarters then
ending, in an amount up to the lesser of $30,000,000 and an amount equal to
fifteen percent (15%) of Consolidated Net Worth at the end of the fiscal quarter
immediately preceding the date of the charge and before giving effect to any
such charges, plus (vi) non-cash
charges (and subtraction of any non-cash gains) resulting from the quarterly
valuation of acquisition-related earn-outs and any other contingent assets and
liabilities pursuant to Statement of Financial Accounting Standards No. 141
(Revised) as it relates to acquisitions completed subsequent to January 1, 2009
plus (vii) for
the periods ending up to and including September 30, 2009, non-cash compensation
charges resulting from acquisition-related payments that are subsequently
redistributed by selling shareholders among themselves and to other Company
employees based, in part, on continuing employment with the Company or the
achievement of personal performance measures, in each case determined on a
consolidated basis in accordance with GAAP, plus (c) for the
periods ending prior to June 30, 2009, the

      
        
           

        

        
          - 2 -

          
            

          

        

        
           

        

      

      Stockamp
Accounting Adjustments, plus (d) non-cash
restructuring charges taken in any period, provided that “Consolidated EBITDA”
will be reduced in any subsequent period to the extent that cash payment is made
in respect thereof.  Except as otherwise expressly provided, the
applicable period shall be the four (4) consecutive fiscal quarters ending as of
the date of determination.

      

      Loan Documents means
this Agreement, the Notes, the Letters of Credit, the Master Letter of Credit
Agreement, the L/C Applications, the Agent Fee Letter, the Guaranty Agreement,
the Pledge Agreement, the Security Agreement, each amendment to the Credit
Agreement and all documents, instruments and agreements delivered in connection
with the foregoing.

      

      Revolving Commitment
means, with respect to each Lender with a Revolving Commitment, such Lender’s
commitment to make Revolving Loans, participate in Letters of Credit and
reimburse the Issuing Lender, and with respect to all of the Lenders with
Revolving Commitments, the aggregate amount of the Revolving Commitments, or ONE
HUNDRED EIGHTY MILLION AND 00/100 DOLLARS ($180,000,000.00), as reduced, from
time to time, in accordance with Section
6.1.  The Revolving Commitments, as of the Amendment No. 8
Effectiveness Date, are set out in Annex A.

      

      2.2           New
Definitions.  The following definitions are hereby added to
Section 1.1 of the Credit Agreement in the appropriate alphabetical order to
read as follows:

      

      Amendment No. 8
Effectiveness Date means September 30, 2009.

      

      Collateral means the
collateral identified in, and at any time covered by, the Collateral
Documents.

      

      Collateral Documents
means the Security Agreement and the Pledge Agreement and any other documents
executed and delivered in connection with the attachment and perfection of
security interests granted to secure the Obligations.

      

      Consolidated Net
Worth means, at any time for the Company and its Subsidiaries, net worth
or total shareholders’ equity determined on a consolidated basis in accordance
with GAAP.

      

      Excluded Property
means (a) any personal Property (including motor vehicles) in respect of which
perfection of a Lien is not accomplished by the filing of a Uniform Commercial
Code financing statement under Article 9 of the Uniform Commercial Code, (b) any
leasehold interests, (c) any Property that is subject to a Lien existing on the
date hereof and listed on Schedule 11.2 or a
Lien securing Capital Lease obligations or purchase money obligations permitted
under Section
11.2(d) of this Agreement, in either case, pursuant to documents that
prohibit (or give rise to a right of termination or other remedies upon) the
grant of any other Liens in such property, provided in any such case the
prohibition is not rendered ineffective by the Uniform Commercial Code
(including the provisions of Section 9-407 and 9-408) or other applicable law,
(d) any permit, lease, license or other contract pursuant to documents that
prohibit (or give rise to a right of termination or other remedies upon) the
grant of any other Liens therein, provided in any such case the prohibition is
not rendered ineffective by the Uniform Commercial Code (including the
provisions of Section 9-407 and 9-408) or other applicable law, and (e) any
Property or assets owned or held by the Company or any of its Subsidiaries for
or relating to any qualified or non-qualified deferred compensation
plan.

      

      Property means an
interest of any kind in any property or asset, whether real, personal or mixed,
and whether tangible or intangible.

      
        
           

        

        
          - 3 -

          
            

          

        

        
           

        

      

      Security Agreement
means the security agreement dated as of the Amendment No. 8 Effectiveness Date
given by the Loan Parties, as grantors, to the Administrative Agent to secure
the Obligations, and any other security agreements that may be given by any
Person pursuant to the terms hereof, in each case as the same may be amended and
modified from time to time.

      

      2.3           Elimination of Ability to
Increase Revolving Commitments.  Section 2.1.4 of the Credit
Agreement is deleted in its entirety.

      

      2.4           Representations Regarding
the Security Agreement.  Section 9 of the Credit Agreement is
amended to include a new Section 9.24 to read as follows:

      

      9.24           Security
Agreement.

      

      The
Security Agreement is effective to create in favor of the Administrative Agent,
for the ratable benefit of the holders of the Obligations, a legal, valid and
enforceable security interest in the Collateral identified therein, except to
the extent the enforceability thereof may be limited by applicable debtor relief
laws affecting creditors’ rights generally and by equitable principles of law
(regardless of whether enforcement is sought in equity or at law) and, when
Uniform Commercial Code financing statements in appropriate form are duly filed
at the locations identified in the Security Agreement, the Security Agreement
shall create a fully perfected Lien on, and security interest in, all right,
title and interest of the grantors thereunder in such Collateral, in which a
security interest may be perfected by the filing of a Uniform Commercial Code
financing statement in each case prior and superior in right to any other Lien
(other than Permitted Liens).

      

      2.5           Pledge of Other
Property.  Section 10 of the Credit Agreement is amended to
include a new Section 10.12 to read as follows:

      

      10.12           Pledge of Other
Property.

      

      Each of
the Company and the Guarantors will pledge and grant a security interest in
substantially all personal property (including all accounts, contract rights,
deposit accounts, chattel paper, insurance proceeds, inventory, investments and
financial assets, general intangibles, intellectual property, licenses,
machinery and equipment) located in the United States and which may be perfected
by filing financing statements under the Uniform Commercial Code to secure the
Obligations.  The scope of the personal property covered by this
subsection will not include Excluded Property.  In connection with any
grant of security interest under this subsection, the Loan Parties will deliver
to the Administrative Agent promptly on request, UCC financing statements and
other filings and deliveries as deemed necessary or appropriate by the
Administrative Agent in its reasonable discretion.

      

      2.6           Permitted
Debt.  Section 11.1(d) of the Credit Agreement is amended to
read as follows:

      

      (d)           Hedging
Obligations incurred in favor of a Lender or an Affiliate thereof for bona fide
hedging purposes and not for speculation and Bank Products;

      

      2.7           Additional
Indebtedness.  Section 11.1(i) of the Credit Agreement is
amended to read as follows:

      
        
           

        

        
          - 4 -

          
            

          

        

        
           

        

      

      (i)           indebtedness
for borrowed money in an aggregate principal amount not to exceed Fifty Million
($50,000,000.00); provided that (a)
immediately before and immediately after giving effect thereto on a Pro Forma
Basis, there shall exist no Event of Default or Unmatured Event of Default, (b)
immediately before and immediately after giving effect thereto on a Pro Forma
Basis, the Company shall be in compliance with the financial covenants set for
in Section
11.12, (c) the covenants, defaults or events of default with respect to
such indebtedness shall not be more restrictive as to any Loan Party than the
covenants, defaults, Unmatured Events of Default and Events of Default hereunder
and (d) such indebtedness must be either senior unsecured or subordinated
unsecured indebtedness on terms and conditions reasonably acceptable to the
Administrative Agent and the Required Lenders.

      

      2.8           Permitted
Liens.  Section 11.2(h) of the Credit Agreement is amended to
read as follows:

      

      (h)           Liens
in favor of a Lender or any of its Affiliates pursuant to a Hedging Agreement or
a Bank Product permitted hereunder, but only to the extent that (i) the
obligations under such Hedging Agreement or Bank Product are permitted under
Section 11.1,
(ii) such Liens are on the same collateral that secures the Loans and (iii)
the obligations under such Hedging Agreement or Bank Product and the Loans share
pari passu in the
collateral that is subject to such Liens; and

      

      2.9           Restricted
Payments.  Clause (ii) of the last sentence of Section 11.3 of
the Credit Agreement is amended by deleting the text “$10,000,000.00 plus” contained
therein.

      

      2.10           Mergers and
Acquisitions.  Clause (C) of Section 11.4 of the Credit
Agreement is amended to read as follows:

      

      (C)           the
aggregate cost (including assumed Debt) of such Acquisition (or series of
related Acquisitions) shall not exceed an amount equal to $35,000,000 for the
period of twelve consecutive months most recently ended;

      

      2.11           Financial
Covenants.  The financial covenants in Section 11.12 of the
Credit Agreement are amended in their entirety to read as follows:

      

      11.12.1              Consolidated Fixed Charge
Coverage Ratio.  Not permit the Consolidated Fixed Charge
Coverage Ratio as of the last day of any Fiscal Quarter to be less than the
ratio set forth below:

      

      
        	
                Four
      Fiscal Quarters Ending

              	
                Consolidated
      Fixed Charge Coverage Ratio

              
	
                September
      30, 2008 through and including June 30, 2009

              	
                2.50:1.0

              
	
                September
      30, 2009 and each fiscal quarter end thereafter

              	
                2.35:1.0

              

      

      

      11.12.2              Consolidated Leverage
Ratio.  Not permit the Consolidated Leverage Ratio as of the
last day of any Fiscal Quarter to be greater than the ratio set forth
below:

      
        
           

        

        
          - 5 -

          
            

          

        

        
           

        

      

      

      
        	
                Four
      Fiscal Quarters Ending

              	
                Consolidated
      Leverage Ratio

              
	
                September
      30, 2008 through and including March 30, 2009

              	
                3.25:1.0

              
	
                June
      30, 2009 through and including September 30, 2010

              	
                3.00:1.0

              
	
                December
      31, 2010 and each fiscal quarter end thereafter

              	
                2.75:1.0

              

      

      

      11.12.3              Consolidated Net
Worth.  Not permit the Consolidated Net Worth at any time to be
less than zero.

      

      2.12           Annexes.  Annex
A (Lenders and Pro Rata Shares) to the Credit Agreement is amended and restated
to read as attached hereto.

      

      2.13           Schedules.  Schedules
9.6 (Litigation) and 9.8 (Subsidiaries) to the Credit Agreement are amended and
restated to read as attached hereto.

      

      2.14           Exhibits.  Exhibit
B (Form of Compliance Certificate) to the Credit Agreement is amended and
restated to read as attached hereto.

      

      3.           Conditions
Precedent.  This Amendment shall become effective upon receipt
by the Administrative Agent of each item listed below:

      

      (a)           Executed
Amendment.  Counterparts to this Amendment from the Required
Lenders, the Administrative Agent, the Company and the other Loan
Parties.

      

      (b)           Security
Agreement.  Counterparts to the Security Agreement from the
Administrative Agent, the Company and each of the other Loan
Parties.

      

      (c)           Opinions of
Counsel.  Opinions of counsel for each of the Loan Parties, in
scope, form and substance satisfactory to the Administrative Agent and the
Required Lenders, and including, among other things, due authorization,
execution and delivery of the this Amendment and the Security Agreement and the
enforceability thereof.

      

      (d)           Organization Documents,
Incumbency, Resolutions, Etc.  Each of the items listed below,
which shall be originals or facsimiles (followed promptly by originals), in form
and substance satisfactory to the Administrative Agent and the Required
Lenders:

      

      (i)           copies
of the certificate or articles of incorporation, certificate of organization,
bylaws, limited liability operating agreement or similar constitutive documents
of each Loan Party certified to be true and complete as of a recent date by the
appropriate governmental authority of the state or other jurisdiction of its
incorporation or organization, where applicable, and certified by a secretary or
assistant secretary of such Loan Party to be true and correct as of the date of
this Amendment, unless a Senior Officer of the Company certifies in a
certificate that the constitutive documents previously delivered to the
Administrative Agent in connection with the Credit Agreement have not been
amended, supplemented or otherwise modified and remain in full force and effect
as of the date hereof;

      

      
        
          
          

        

        
          - 6 -

          
            

          

        

        
          
          

        

      

      (ii)           incumbency
certificates identifying the Senior Officers and other Persons of the Loan
Parties who are authorized to execute this Amendment and related documents and
to act on behalf of the Loan Parties in connection with this Amendment and the
Loan Documents, unless a Senior Officer of the Company certifies in a
certificate that the incumbency certificates previously delivered to the
Administrative Agent in connection with the Credit Agreement have not been
amended, supplemented or otherwise modified and remain in full force and effect
as of the date hereof;

       

      (iii)           such
certificates of resolutions or other action, incumbency certificates and/or
other certificates of Senior Officers of each Loan Party as the Administrative
Agent may require evidencing the identity, authority and capacity of each Senior
Officer thereof authorized to act as a Senior Officer in connection with this
Amendment; and

      

      (iv)           such
documents and certifications as the Administrative Agent may reasonably require
to evidence that each Loan Party is duly organized or formed, and is validly
existing, and in good standing in its state of organization or
formation.

      

      (e)           Uniform Commercial Code
Financing
Statements.  Such Uniform Commercial Code financing statements
necessary or appropriate to perfect the security interests in the personal
property collateral, as determined by the Administrative Agent and the Required
Lenders in their discretion.

      

      (f)           Evidence of
Insurance.  Copies of insurance policies or certificates of
insurance for casualty, liability, business interruption and other insurance
required by the Loan Documents, identifying the Administrative Agent as loss
payee with respect to the casualty insurance and additional insured with respect
to the liability insurance, as appropriate.

      

      (g)           Fees and
Expenses.  (a) Payment of all reasonable costs and expenses of
the Administrative Agent, BAS and the Lenders in connection with this Amendment
that are due and payable on the date hereof (including, without limitation, the
reasonable fees and expenses of Moore & Van Allen, PLLC, counsel to the
Administrative Agent and BAS), (b) payment for the account of each Lender that
executes this Amendment of an amendment fee equal to twenty-five basis points
(0.25%) on the portion of the aggregate outstanding principal amount of the Term
Loan A provided by such Lender plus the Revolving
Commitment of such Lender, in each case after giving effectiveness of this
Amendment and (c) payment of all other fees and expenses required to be paid to
the Administrative Agent, JPMorgan Chase Bank, N.A., J.P. Morgan Securities,
Inc. and BAS on or before the date hereof.

      

      4.           Representations and
Warranties.  The Loan Parties hereby affirm the
following:

      

      (a)           all
action necessary to authorize the execution, delivery and performance of this
Amendment has been taken;

      

      (b)           after
giving effect to this Amendment, the representations and warranties set forth in
the Credit Agreement and the other Loan Documents are true and correct in all
material respects as of the date hereof (except those which expressly relate to
an earlier period); and

      

      (c)           before
and after giving effect to this Amendment, no Default or Event of Default shall
exist.

      

      
        
           

        

        
          - 7 -

          
            

          

        

        
           

        

      

      5.           Guarantors’
Acknowledgment.  Each Guarantor hereby (a) acknowledges and
consents to all of the terms and conditions of this Amendment and
(b) reaffirms that, jointly and severally together with the other
Guarantors, it guarantees the prompt payment and performance of their
obligations as provided in the Guaranty Agreement.

      

      6.           Full Force and
Effect.  Except as modified hereby, all of the terms and
provisions of the Credit Agreement and the other Loan Documents (including
schedules and exhibits thereto) shall remain in full force and
effect.

      

      7.           Fees and
Expenses.  The Company agrees to pay all reasonable costs and
expenses of the Administrative Agent in connection with the preparation,
execution and delivery of this Amendment, including the reasonable fees and
expenses of Moore & Van Allen, PLLC.

      

      8.           Counterparts.  This
Amendment may be executed in any number of counterparts, each of which when so
executed and delivered shall be deemed an original, and it shall not be
necessary in making proof of this Amendment to produce or account for more than
one such counterpart.

      

      9.           Governing
Law.  This Amendment shall be a contract made under and
governed by the internal laws of the State of Illinois applicable to contracts
made and to be performed entirely within such state, without regard to conflict
of laws principles.

      

      [REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

      
        
           

        

        
          - 8 -

          
            

          

        

        
           

        

      

      IN
WITNESS WHEREOF, each of the parties hereto has caused a counterpart of this
Amendment to be duly executed and delivered as of the date first above
written.

      

      
        	
                COMPANY:

              	
                HURON
      CONSULTING GROUP INC.,

              

      

      a
Delaware corporation

      

      By: /s/ James K.
Rojas                                          
                                

      Name:
James K. Rojas

      Title:
Vice President and Chief Financial Officer

      

      
        	
                GUARANTORS:

              	
                HURON
      CONSULTING GROUP HOLDINGS LLC,

              

      

      a
Delaware limited liability company

                                                     

                                                     
By: /s/ James K.
Rojas                                                                           

                                                     
Name:
James K. Rojas

                                                     
Title:
Vice President and Chief Financial Officer

      HURON
CONSULTING SERVICES LLC,

      a
Delaware limited liability company

                                                     

                                                     
By: /s/ James K.
Rojas                                                                           

                                                     
Name:
James K. Rojas

                                                     
Title:
Vice President and Chief Financial Officer

      

      WELLSPRING
MANAGEMENT SERVICES LLC,

      formerly
known as SPELTZ & WEIS LLC,

      a
Delaware limited liability company

      

       By: /s/ James K.
Rojas                                                                           

         Name:
James K. Rojas

         Title:
Vice President and Chief Financial Officer

      HURON
DEMAND LLC,

      a
Delaware limited liability company

      

       By: /s/ James K.
Rojas                                                                           

         Name:
James K. Rojas

         Title:
Vice President and Chief Financial Officer

        
          
            
              HURON
CONSULTING GROUP INC.

              EIGHTH
AMENDMENT TO CREDIT AGREEMENT

            

             

          

          
             

            
              

            

          

          
             

          

        

      
        	
                

                  ADMINISTRATIVE

                

              	
                 

              

      

      
        	
                AGENT:

              	
                BANK
      OF AMERICA, N.A.,

              

      

      as
Administrative Agent

      

       By: /s/ Michael
Brashler                                                                           

         Name: Michael
Brashler

         Title:
Vice President

      
        
          
            HURON
CONSULTING GROUP INC.

            EIGHTH
AMENDMENT TO CREDIT AGREEMENT

          

           

        

        
           

          
            

          

        

        
           

        

      

      
        	
                LENDERS:

              	
                BANK
      OF AMERICA, N.A., as Issuing Lender, Swingline Lender and
      Lender

              

      

      
By: /s/ David
Bacon                                                                     

      
         Name: David
Bacon

         Title:
VP

      JPMORGAN
CHASE BANK, NATIONAL ASSOCIATION

      

      By: /s/ Nathan
Margol                                                                           

         Name: Nathan
Margol

         Title:
Vice President

      FIFTH
THIRD BANK

      

      By: /s/ Bruce
Rudolph                                                                     

         Name: Bruce
Rudolph

         Title:
AVP

      HSBC BANK
USA, NATIONAL ASSOCIATION

      

      By: /s/ Andrew
Bicker                                                                     

         Name: Andrew
Bicker

         Title:
Vice President

      NATIONAL
CITY BANK

      

      By: /s/ Jon R.
Hinard                                                                     

         Name: Jon
R. Hinard

         Title:
Senior Vice President

      THE
PRIVATE BANK AND TRUST COMPANY

      

      By: /s/ James
M. Feldman                                                                     

         Name: James
M. Feldman

         Title:
Managing Director

      RBS
CITIZENS, N.A.

      

      By: /s/ R, Michael
Newton                                                                     

         Name: R.
Michael Newton

         Title:
Senior Vice President

      SUNTRUST
BANK

      

      By: /s/ Amanda
Parks                                                                     

         Name: Amanda
Parks

         Title:
SVP

      

      
        
          
            HURON
CONSULTING GROUP INC.

            EIGHTH
AMENDMENT TO CREDIT AGREEMENT

          

           

        

        
           

          
            

          

        

        
           

        

      

      TD BANK,
N.A.

      

      By: /s/ Deborah
Gravinese                                                                     

         Name: Deborah
Gravinese

         Title:
Senior Vice President

      THE
NORTHERN TRUST COMPANY

      

      By: /s/ Steve
Ryan                                                                     

         Name: Steve
Ryan

         Title:
Senior Vice President

      

      

      
        
          
            HURON
CONSULTING GROUP INC.

            EIGHTH
AMENDMENT TO CREDIT AGREEMENT

          

           

        

        
           

          
            

          

        

        
           

        

      

      ANNEX A

      

        LENDERS
AND PRO RATA SHARES

        

        (see
attached)

         

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        
          	 
      	 	 	 	 	
                  Annex
      A

                	 	 	 	 	 	 	 	 	 	 
	 
      	 	 	 	 	
                  Lenders
      and Pro Rata Shares

                	 	 	 	 	 	 	 	 	 	 
	 
      	 	 	 	 	
                  Huron
      Consulting Group, Inc.

                	 	 	 	 	 	 	 	 	 	 
	 
      	 	 	 	 	
                  September
      30, 2009

                	 	 	 	 	 	 	 	 	 	 
	 
      	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
      	 	
                  Revolving
      Commitments

                	 	 	 	 	 	 	 
	 
      	 	
                  Immediately
      Prior to Effectiveness

                	 	 	
                  Immediately After
      Effectiveness

                	 	 	 	 	 	 	 
	 
      	 	
                  of
      Eighth Amendment

                	 	 	
                  of
      Eighth Amendment

                	 	 	 	 	 	 	 
	 
      

                  Lenders

                	 	
                  Revolving
      Commitments

                	 	 	
                  Pro
      Rata Share

                	 	 	
                  Revolving
      Commitments

                	 	 	
                  Pro
      Rata Share

                	 	 	
                  Outstanding
      Balance of Term Loan A

                	 	 	
                  Pro
      Rata Share

                	 
	
                  Bank
      of America, N.A

                	 	 	49,891,304.34	 	 	 	20.788043475	%	 	 	37,418,478.26	 	 	 	20.788043475	%	 	 	56,347,826.09	 	 	 	28.458498025	%
	
                  JPMorgan
      Chase Bank, National Association

                	 	 	45,000,000.00	 	 	 	18.750000000	%	 	 	33,750,000.00	 	 	 	18.750000000	%	 	 	49,500,000.00	 	 	 	25.000000000	%
	
                  The
      Private Bank and Trust Company

                	 	 	26,086,956.52	 	 	 	10.869565217	%	 	 	19,565,217.39	 	 	 	10.869565217	%	 	 	21,521,739.13	 	 	 	10.869565217	%
	
                  SunTrust
      Bank

                	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	31,500,000.00	 	 	 	15.909090909	%
	
                  Fifth
      Third Bank

                	 	 	40,000,000.00	 	 	 	16.666666667	%	 	 	30,000,000.00	 	 	 	16.666666667	%	 	 	 	 	 	 	 	 
	
                  RBS
      Citizens, N.A.

                	 	 	18,260,869.57	 	 	 	7.608695654	%	 	 	13,695,652.18	 	 	 	7.608695654	%	 	 	15,065,217.39	 	 	 	7.608695652	%
	
                  TD
      Bank, N.A.

                	 	 	18,260,869.57	 	 	 	7.608695654	%	 	 	13,695,652.18	 	 	 	7.608695654	%	 	 	15,065,217.39	 	 	 	7.608695652	%
	
                  HSBC
      Bank USA, National Association

                	 	 	20,000,000.00	 	 	 	8.333333333	%	 	 	15,000,000.00	 	 	 	8.333333333	%	 	 	 	 	 	 	 	 
	
                  National
      City Bank FKA Provident Bank

                	 	 	17,500,000.00	 	 	 	7.291666667	%	 	 	13,125,000.00	 	 	 	7.291666667	%	 	 	 	 	 	 	 	 
	
                  Northern
      Trust Company

                	 	 	5,000,000.00	 	 	 	2.083333333	%	 	 	3,750,000.00	 	 	 	2.083333333	%	 	 	9,000,000.00	 	 	 	4.545454545	%
	 
      	 	 	240,000,000.00	 	 	 	100.000000000	%	 	 	180,000,000.00	 	 	 	100.000000000	%	 	 	198,000,000.00	 	 	 	100.000000000	%

        

        
          
             

          

          
             

            
              

            

          

          
             

          

        

        Schedule
9.6

        Litigation
and Contingent Liabilities

        

        On July
3, 2007, The Official Committee (the “Committee”) of Unsecured Creditors of
Saint Vincents Catholic Medical Centers of New York d/b/a Saint Vincent Catholic
Medical Centers (“St. Vincents”), et al. filed suit against Huron Consulting
Group Inc., certain of our subsidiaries, including Speltz & Weis LLC, and
two of our former managing directors, David E. Speltz (“Speltz”) and Timothy C.
Weis (“Weis”), in the Supreme Court of the State of New York, County of New
York. On November 26, 2007, Gray & Associates, LLC (“Gray”), in its capacity
as trustee on behalf of the SVCMC Litigation Trust, was substituted as plaintiff
in the place of the Committee and on February 19, 2008, Gray filed an amended
complaint in the action. Beginning in 2004, St. Vincents retained Speltz &
Weis LLC to provide management services to St. Vincents, and its two principals,
Speltz and Weis, were made the interim chief executive officer and chief
financial officer, respectively, of St. Vincents. In May of 2005, we acquired
Speltz & Weis LLC. On July 5, 2005, St. Vincents filed for bankruptcy in the
United States Bankruptcy Court for the Southern District of New York
(“Bankruptcy Court”). On December 14, 2005, the Bankruptcy Court approved the
retention of Speltz & Weis LLC and us in various capacities, including
interim management, revenue cycle management and strategic sourcing services.
The amended complaint filed by Gray alleges, among other things, breach of
fiduciary duties, breach of the New York Not-For-Profit Corporation Law,
malpractice, breach of contract, tortious interference with contract, aiding and
abetting breaches of fiduciary duties, certain fraudulent transfers and
fraudulent conveyances, breach of the implied duty of good faith and fair
dealing, fraud, aiding and abetting fraud, negligent misrepresentation, and
civil conspiracy, and seeks at least $200 million in damages, disgorgement of
fees, return of funds or other property transferred to Speltz & Weis LLC,
attorneys’ fees, and unspecified punitive and other damages. We believe that the
claims are without merit and intend to vigorously defend ourselves in this
matter. The suit is in the pre-trial stage and no trial date has been
set.

        

        The SEC
is commencing an investigation with respect to the circumstances that led to our
recent restatement. We intend to cooperate fully with the SEC in its
investigation. In addition, the following purported shareholder class action
complaints have been filed in connection with our restatement in the United
States District Court for the Northern District of Illinois: (1) a complaint in
the matter of Jason Hughes v. Huron Consulting Group Inc., Gary E. Holdren and
Gary L. Burge, filed on August 4, 2009; (2) a complaint in the matter of Dorothy
DeAngelis v. Huron Consulting Group Inc., Gary E. Holdren, Gary L. Burge, Wayne
Lipski and PricewaterhouseCoopers LLP, filed on August 5, 2009; (3) a complaint
in the matter of Noel M. Parsons v. Huron Consulting Group Inc., Gary E.
Holdren, Gary L. Burge, Wayne Lipski and PricewaterhouseCoopers LLP, filed on
August 5, 2009; (4) a complaint in the matter of Adam Liebman v. Huron
Consulting Group Inc., Gary E. Holdren, Gary L. Burge and Wayne Lipski, filed on
August 5, 2009; (5) a complaint in the matter of Gerald Tobin v. Huron
Consulting Group Inc., Gary E. Holdren, Gary L. Burge and PricewaterhouseCoopers
LLP, filed on August 7, 2009 and (6) Gary Austin v. Huron Consulting Group Inc.,
Gary E. Holdren, Gary L. Burge and Wayne Lipski, filed on August 7, 2009; and
(7) Fisher v. Huron Consulting Group Inc, Gary E. Holdren, Gary L. Burge, Wayne
Lipski and PricewaterhouseCoopers LLP, filed on September 3,
2009.  The complaints assert claims under Section 10(b) and Section
20(a) of the Exchange Act and Rule 10b-5 promulgated thereunder and contend that
the Company and the individual defendants issued false and misleading statements
regarding the Company’s financial results and compliance with GAAP. We intend to
defend vigorously the actions.

        

        Also, in
connection with the recent restatement, the following derivative law suits have
been filed: Curtis Peters, derivatively on behalf of Huron Consulting Group Inc.
v. Gary E. Holdren, Gary L. Burge, Wayne Lipski, George E. Massaro, DuBose
Ausley, James D. Edwards, H. Eugene Lockhart, John S. Moody, John McCartney and
PricewaterhouseCoopers LLP, filed on August 28, 2009, and Brian Hacias,
derivatively on behalf of Huron Consulting Group Inc. v. Gary E. Holdren, Gary
L. Burge, and Wayne Lipski, defendants and Huron Consulting Group Inc., nominal
defendant, filed on August 28, 2009.

        

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        THE
FOLLOWING ITEM IS PROVIDED FOR THE PURPOSE OF DISCLOSURE AND NOT FOR PURPOSE OF
THE EXCEPTION TO THE LITIGATION REPRESENTATION IN SECTION 9.6 OF THE CREDIT
AGREEMENT.  Additionally, at the request of the U.S. Attorney’s Office
in Northern District of Illinois we have provided copies of certain documents
that were also provided to the SEC.

        

        In
addition to the SEC investigation with respect to the circumstances that led to
our recent restatement, the Company conducted a separate inquiry, in response to
an inquiry from the SEC, into the allocation of chargeable hours. This matter
has no impact on billings to the Company’s clients, but could impact the timing
of when revenue is recognized. Based on the Company’s internal inquiry to date,
the Company has concluded that an adjustment to its historical financial
statements is not required with respect to the matter. The SEC inquiry with
respect to the allocation of chargeable hours is ongoing, and we intend to
cooperate fully with the SEC in its inquiry.

        

        
          
            
               

            

             

          

          
             

            
              

            

          

          
             

          

        

        Schedule
9.8

        Subsidiaries
and Loan Parties

        

        Huron
Consulting Group Inc. owns:

        

        -           100%
of Huron Consulting Group Holdings LLC

        -           100%
of Huron (UK) Limited

        -           100%
of Kabushiki Kaisha Huron Consulting Group a/k/a Huron Consulting Group,
Ltd.

        -           100%
of Huron Consulting South East Asia PTE. LTD.

        -           100%
of Conseilliers Huron Canada Limitee a/k/a Huron Advisors Canada
Limited

        -           100%
of Huron Middle East LLC

        -           95%
of Huron Saudi Limited

        

        

        Huron
Consulting Group Holdings LLC owns:

        

        -           100%
of Huron Consulting Services LLC

        -           100%
of Huron Demand LLC

        -           100%
of Wellspring Management Services LLC f/k/a Speltz & Weis LLC

        -           5%
of Huron Saudi Limited

        

        

        
          
            
               

            

             

          

          
             

            
              

            

          

          
             

          

        

        EXHIBIT B

        

        FORM OF COMPLIANCE
CERTIFICATE

        

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

        

        Please
refer to the Credit Agreement dated as of June 7, 2006 (as amended,
restated, supplemented or otherwise modified from time to time, the “Credit Agreement”)
among Huron Consulting Group
Inc. (the “Company”), various
financial institutions and Bank of America, N.A., as Administrative
Agent.  Terms used but not otherwise defined herein are used herein as
defined in the Credit Agreement.

        

        I.           Reports.  Enclosed
herewith is a copy of the [annual audited/quarterly]
report of the Company as at _____________, ____ (the “Computation Date”), which
report fairly presents in all material respects the financial condition and
results of operations [(subject
to the absence of footnotes and to normal year-end adjustments)] of the
Company as of the Computation Date and has been prepared in accordance with GAAP
consistently applied.

        

        II.           Financial
Tests.  The Company hereby certifies and warrants to you that the
following is a true and correct computation as at the Computation Date of the
following ratios and/or financial restrictions contained in the Credit
Agreement:

        

        
          	
                  A.

                	
                  Section 11.12.1
      – Consolidated Fixed Charge Coverage Ratio

                	 
      
	 
      	
                  1.           Consolidated
      EBITDAR

                	
                  $________

                
	 
      	
                  2.           Consolidated
      Fixed Charges

                	
                  $________

                
	 
      	
                  3.           Ratio
      of (1) to (2)

                	
                  ____
      to 1.00

                
	 
      	
                  4.           Minimum
      required

                  September
      30, 2008 through and including June 30, 2009

                  September
      30, 2009 and each fiscal quarter thereafter

                	
                   

                  2.5
      to 1.00

                  2.35
      to 1.00

                

        

        

        
          	
                  B.

                	
                  Section 11.12.2
      - Consolidated Leverage Ratio

                
	 
      	
                  1.           Consolidated
      Funded Debt

                	
                  $________

                
	 
      	
                  2.           Consolidated
      EBITDA

                	
                  $________

                
	 
      	
                  3.           Ratio
      of (1) to (2)

                	
                  ____
      to 1.00

                
	 
      	
                  4.           Maximum
      allowed

                  September
      30, 2008 through and including March 31, 2009

                  June
      30, 2009 through and including September 30, 2010

                  December
      31, 2010 and each fiscal quarter end thereafter

                	
                   

                  3.25
      to 1.00

                  3.00
      to 1.00

                  2.75
      to 1.00

                

        

        

        

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        
          	
                  B.

                	
                  Section 11.12.3
      - Consolidated Net Worth

                
	 
      	
                  1.           Consolidated
      Net Worth

                	
                  $________

                
	 
      	
                  2.           Minimum
      allowed

                	
                  $0

                

        

        

        The
Company further certifies to you that no Event of Default or Unmatured Event of
Default has occurred and is continuing.

        

        The
Company has caused this Certificate to be executed and delivered by its duly
authorized officer on _________, ____.

        

        HURON
CONSULTING GROUP INC.

        

        By:                                                                           

        Title:exh10-2.htm

    EXHIBIT
10.2

    

    SECURITY
AGREEMENT

    

    

    THIS
SECURITY AGREEMENT (this “Security Agreement”),
dated as of September 30, 2009, is by and among each party identified as a
“Grantor” on the signature pages hereto and such other parties as may become
Grantors hereunder after the date hereof (individually a “Grantor”, and
collectively the “Grantors”) and BANK
OF AMERICA, N.A., in its capacity as Administrative Agent.

    

    W I T N E
S S E T H

    

    WHEREAS,
a revolving credit and term loan facility has been established in favor of Huron
Consulting Group Inc., a Delaware corporation (the “Company”), pursuant
to the terms of that certain Credit Agreement, dated as of June 7, 2006 (as
amended, modified, increased, extended, renewed or replaced, the “Credit Agreement”)
among the Company, the Lenders from time to time party thereto and Bank of
America, N.A., as Administrative Agent; and

    

    WHEREAS,
this Security Agreement is required by the terms of that Eighth Amendment to
Credit Agreement dated as of the date hereof (the “Eighth Amendment”) by
and among the Company, the Guarantors, the Lenders party thereto and Bank of
America, N.A., as Administrative Agent, Swing Line Lender and Issuing
Lender;

    

    NOW,
THEREFORE, in consideration of these premises and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the
parties hereto agree as follows:

    

    1.           Definitions and Interpretive
Provisions.

    

    (a)           Capitalized
terms used and not otherwise defined herein shall have the meanings provided in
the Credit Agreement.  In addition, the following terms, which are
defined in the UCC as in effect in the State of Illinois on the date hereof, are
used as defined therein:  Accession, Account, As-Extracted Collateral,
Chattel Paper, Commercial Tort Claim, Consumer Goods, Deposit Account, Document,
Equipment, Farm Products, Fixtures, General Intangibles, Goods, Instrument,
Inventory, Investment Property, Letter-of-Credit Right, Manufactured Homes,
Proceeds, Software, Standing Timber, Supporting Obligation and Tangible Chattel
Paper.

    

    (b)           As
used herein, the following terms shall have the meanings set forth
below:

    

    “Collateral” has the
meaning provided in Section 2
hereof.

    

    “Company” has the
meaning provided in the recitals hereof, together with its permitted successors
and assigns.

    

    “Credit Agreement” has
the meaning provided in the recitals hereof.

    

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

    

    “Eighth Amendment” has
the meaning provided in the recitals hereof.

    

    
      
        
           

        

        
          - 1 -

          
            

          

        

        
           

        

      

    

    

    “Excluded Property”
means (a) any personal Property (including motor vehicles) in respect of which
perfection of a Lien is not accomplished by the filing of a UCC financing
statement under Article 9 of the UCC, (b) any leasehold interests, (c) any
Property that is subject to a Lien existing on the Closing Date and listed on
Schedule 11.2
to the Credit Agreement or a Lien securing Capital Leases obligations or
purchase money obligations permitted under Section 11.2(d) of
the Credit Agreement, in either case, pursuant to documents that prohibit (or
give rise to a right of termination or other remedies upon) the grant of any
other Liens in such property, provided in any such case the prohibition is not
rendered ineffective by the UCC (including the provisions of Section 9-407 and
9-408) or other applicable law, (d) any permit, lease, license or other contract
pursuant to documents that prohibit (or give rise to a right of termination or
other remedies upon) the grant of any other Liens therein, provided in any such
case the prohibition is not rendered ineffective by the UCC (including the
provisions of Section 9-407 and 9-408) or other applicable law, and (e) any
Property or assets owned or held by any member of the Company and its
Subsidiaries for or relating to any qualified or non-qualified deferred
compensation plan.

    

    “Grantor” and “Grantors” has the
meaning provided in the introductory paragraph hereof.

    

    “Indemnified Party”
has the meaning provided in Section 7(b)
hereof.

    

    “Property” means an
interest of any kind in any property or asset, whether real, personal or mixed,
and whether tangible or intangible.

    

    “Secured Obligations”
means, without duplication, (a) all Obligations and (b) all reasonable costs and
expenses incurred in connection with enforcement and collection of the Secured
Obligations, including reasonable attorneys’ fees and
disbursements.

    

    “Security Agreement”
has the meaning provided in the introductory paragraph hereof, as the same may
be amended, supplemented and modified from time to time.

    

    “UCC” means the
Uniform Commercial Code.

    

    (c)           Each
of the terms and provisions of Section 1.2 of the Credit Agreement (as the same
may be amended or modified as provided therein) are incorporated herein by
reference to the same extent and with the same effect as if fully set forth
herein.

    

    2.           Grant of Security Interest
in the Collateral.  To secure the prompt payment and
performance in full when due, whether by lapse of time, acceleration, mandatory
prepayment or otherwise, of the Secured Obligations, each Grantor hereby grants
to the Administrative Agent, for the benefit of the Administrative Agent and the
other holders of the Secured Obligations, a continuing security interest in, and
a right to set off against, any and all right, title and interest of such
Grantor in and to all of its personal property, of whatever type or description,
whether now owned or existing or owned, acquired, or arising hereafter,
including the following (collectively, the “Collateral”):

    

    (a)           all
Accounts;

    

    (b)           all
cash and currency;

    

    (c)           all
Chattel Paper;

    

    (d)           those
Commercial Tort Claims identified on Schedule 2(d)
attached hereto;

    

    
      
        
           

        

        
          - 2 -

          
            

          

        

        
           

        

      

    

    

    (e)           Deposit
Accounts (other than payroll accounts);

    

    (f)           all
Documents;

    

    (g)          all
Equipment;

    

    (h)          all
General Intangibles (including contract rights, payment intangibles and
intellectual property);

    

    (i)           all
Instruments;

    

    (j)           all
Inventory;

    

    (k)          all
Investment Property;

    

    (l)           Letter
of Credit Rights;

    

    (m)         all
Software;

    

    (n)         all
Supporting Obligations;

    

    (o)         all
other personal property of such Grantor of whatever type or description;
and

    

    (p)         to
the extent not otherwise included, all Accessions and all Proceeds of any and
all of the foregoing.

    

    Notwithstanding
anything to the contrary contained herein, the security interests granted under
this Security Agreement shall not extend to (i) any Excluded Property, (ii) the
Pledged Collateral, as defined in and which shall be governed by the terms of
the Pledge Agreement, and (iii) any Capital Securities in any Subsidiary (which,
if the Administrative Agent has any security interest therein, shall be provided
for and governed by the Pledge Agreement or other document).  The
Grantors and the Administrative Agent, on behalf of itself and the other holders
of the Secured Obligations, hereby acknowledge and agree that the security
interest created hereby in the Collateral (A) constitutes continuing collateral
security for all of the Secured Obligations, whether now existing or hereafter
arising and (B) is not to be construed as an assignment of any intellectual
property.

    

    3.           Representations and
Warranties.  Each Grantor hereby represents and warrants to the
Administrative Agent, for the benefit of the Administrative Agent and the other
holders of the Secured Obligations, that:

    

    (a)           Legal Name; Chief Executive
Office.  As of the date hereof:

    

    (i)           The
Grantor’s exact legal name is (and for the prior five (5) years, or since its
formation if less than five (5) years, has been) and state of incorporation or
formation, principal place of business and chief executive office are (and for
the prior five (5) months, or since its formation if less than five (5) months,
have been) as set forth on Schedule 3(a)(i)
attached hereto.

    

    (ii)           Other
than as set forth on Schedule 3(a)(ii)
attached hereto, the Grantor has not been party to a merger, consolidation or
other change in structure or used any tradename in the prior five (5)
years.

    

    
      
        
           

        

        
          - 3 -

          
            

          

        

        
           

        

      

    

    

    (b)           Ownership.  The
Grantor is the legal and beneficial owner of its Collateral and has the right to
pledge, sell, assign or transfer the same.

    

    (c)           Security
Interest/Priority.  This Security Agreement creates a valid
security interest in favor of the Administrative Agent, for the benefit of
Administrative Agent and the other holders of the Secured Obligations, in the
Collateral of the Grantor and, when properly perfected by filing, shall
constitute a valid perfected security interest in such Collateral, to the extent
such security interest can be perfected by filing under the UCC, free and clear
of all Liens except for Permitted Liens.

    

    (d)           Types of
Collateral.  None of the Collateral consists of, or is the
Accessions or the Proceeds of, As-Extracted Collateral, Consumer Goods, Farm
Products, Manufactured Homes, or Standing Timber.

    

    (e)           Inventory.  No
Inventory of the Grantor is held by any Person other than the Grantor pursuant
to consignment, sale or return, sale on approval or similar
arrangement.

    

    4.           Covenants.  Each
Grantor covenants that, so long as any of the Secured Obligations remains
outstanding and until all of the commitments relating thereto have been
terminated, such Grantor shall:

    

    (a)           Other
Liens.  Defend the Collateral against the claims and demands of
all other parties claiming an interest therein, keep the Collateral free from
all Liens, except for Permitted Liens, and not sell, exchange, transfer, assign,
lease or otherwise dispose of the Collateral or any interest therein, except as
permitted under the Credit Agreement.

    

    (b)           Preservation of
Collateral.  Keep the Collateral in good order, condition and
repair and not use the Collateral in violation of the provisions of this
Security Agreement and the other Loan Documents or any other agreement relating
to the Collateral, any policy insuring the Collateral or any applicable
law.

    

    (c)           Change in Structure,
Location or Type.  Not, without providing ten (10) Business
Days’ prior written notice to the Administrative Agent and without filing such
financing statements and amendments to any previously filed financing statements
as the Administrative Agent may require, change its name or state of formation
or be party to a merger, consolidation or other change in structure or use any
tradename other than as set forth on Schedule 3(a)(ii)
attached hereto.

    

    (d)           Inspection.  Upon
reasonable notice, and during reasonable hours, at all times allow the
Administrative Agent or its representatives to visit and inspect the Collateral
as set forth in Section 10.2 of the Credit Agreement.

    

    (e)           Perfection
of Security Interest.  Execute and deliver to the
Administrative Agent such agreements, assignments or instruments (including
affidavits, notices, reaffirmations and amendments and restatements of existing
documents, as the Administrative Agent may reasonably request) and do all such
other things as the Administrative Agent may reasonably deem necessary,
appropriate or convenient  to assure to the Administrative Agent the
effectiveness and priority of its security interests hereunder, including such
financing statements (including renewal statements), amendments and supplements
or such other instruments as the Administrative Agent may from time to time
reasonably request in order to (i) perfect and maintain the security interests
granted hereunder in accordance with the UCC, (ii) consummate the transactions
contemplated hereby and (iii) otherwise protect and assure the Administrative
Agent of its rights and interests hereunder.  To that end, the Grantor
authorizes the Administrative Agent to file one or more financing statements
(with

    

    
      
        
           

        

        
          - 4 -

          
            

          

        

        
           

        

      

    

    

    collateral
descriptions that may be broader and/or less specific than the description of
Collateral contained herein and which may describe the collateral as “all
assets” or “all personal property”) disclosing the Administrative Agent’s
security interest in any or all of the Collateral of the Grantor without the
Grantor’s signature thereon, and further the Grantor also hereby irrevocably
makes, constitutes and appoints the Administrative Agent, its nominee or any
other Person whom the Administrative Agent may designate, as the Grantor’s
attorney-in-fact with full power and for the limited purpose to sign in the name
of the Grantor any such financing statements (including renewal statements),
amendments and supplements, notices or any similar documents that in the
Administrative Agent’s reasonable discretion would be necessary, appropriate or
convenient in order to perfect and maintain perfection of the security interests
granted hereunder, such power, being coupled with an interest, being and
remaining irrevocable so long as the Secured Obligations remain unpaid and until
the commitments relating thereto shall have been terminated.  The
Grantor hereby agrees that a carbon, photographic or other reproduction of this
Security Agreement or any such financing statement is sufficient for filing as a
financing statement by the Administrative Agent without notice thereof to the
Grantor wherever the Administrative Agent may in its sole discretion desire to
file the same.  In the event for any reason the law of any
jurisdiction other than Illinois becomes or is applicable to the Collateral of
the Grantor or any part thereof, or to any of the Secured Obligations, the
Grantor agrees to execute and deliver all such instruments and to do all such
other things as the Administrative Agent in its sole discretion reasonably deems
necessary, appropriate or convenient to preserve, protect and enforce the
security interests of the Administrative Agent under the law of such other
jurisdiction (and, if the Grantor shall fail to do so promptly upon the request
of the Administrative Agent, then the Administrative Agent may execute any and
all such requested documents on behalf of the Grantor pursuant to the power of
attorney granted hereinabove).  If any Collateral is in the possession
or control of the Grantor’s agents and the Administrative Agent so requests, the
Grantor agrees to notify such agents in writing of the Administrative Agent’s
security interest therein and, upon the Administrative Agent’s request, instruct
them to hold all such Collateral for the account of the Administrative Agent and
the other holders of the Secured Obligations and subject to the Administrative
Agent’s instructions.

    

    (f)           Insurance.  Insure,
repair and replace the Collateral of the Grantor as set forth in the Credit
Agreement; provided that, in any event, the Administrative Agent will be shown
as loss payee for casualty insurance to the extent of the collateral interests
herein.

    

    (g)           Commercial Tort
Claims.

    

    (i)           Promptly
notify the Administrative Agent in writing of the initiation of any Commercial
Tort Claim in excess of $500,000 before any court or other governmental
authority by or in favor of the Grantor or any of its Subsidiaries.

    

    (ii)           Execute
and deliver such statements, documents and notices and do and cause to be done
all such things as the Administrative Agent may reasonably deem necessary,
appropriate or convenient, or as are required by applicable law, to create,
perfect and maintain the Administrative Agent’s security interest in any
Commercial Tort Claim.

    

    5.           Advances by
the Administrative Agent.  On failure of any Grantor
to perform any of the covenants and agreements contained herein, the
Administrative Agent may, at its sole option and in its sole discretion, perform
the same and in so doing may expend such sums as the Administrative Agent may
reasonably deem advisable in the performance thereof, including the payment of
any insurance premiums, the payment of any taxes, a payment to obtain a release
of a Lien or potential Lien, expenditures made in defending against any adverse
claim and all other expenditures that the Administrative Agent may make for the
protection of the security hereof or that may be compelled to make by operation
of law.  All such sums

    

    
      
        
           

        

        
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    and
amounts so expended shall be repayable by the Grantors on a joint and several
basis (subject to Section 22 hereof)
promptly upon timely notice thereof and demand therefor, shall constitute
additional Secured Obligations and shall, subject to Section 4.1 of the Credit
Agreement, bear interest from the date said amounts are expended at the rate
then applicable to Revolving Loans that are Base Rate Loans.  No such
performance of any covenant or agreement by the Administrative Agent on behalf
of any Grantor, and no such advance or expenditure therefor, shall relieve the
Grantors of any default under the terms of this Security Agreement, the other
Loan Documents or any other documents relating to the Secured
Obligations.  The Administrative Agent may make any payment hereby
authorized in accordance with any bill, statement or estimate procured from the
appropriate public office or holder of the claim to be discharged without
inquiry into the accuracy of such bill, statement or estimate or into the
validity of any tax assessment, sale, forfeiture, tax lien, title or claim
except to the extent such payment is being contested in good faith by a Grantor
in appropriate proceedings and against which adequate reserves are being
maintained in accordance with GAAP.

    

    6.           Remedies.

    

    (a)           General
Remedies.  Upon
the occurrence of an Event of Default and during the continuation thereof with
prior written notice to the Grantors, the Administrative Agent and the other
holders of the Secured Obligations shall have, in addition to the rights and
remedies provided herein, in the Loan Documents, in any other documents relating
to the Secured Obligations, or by law (including levy of attachment and
garnishment), the rights and remedies of a secured party under the UCC of the
jurisdiction applicable to the affected Collateral and, further, the
Administrative Agent may, with or without judicial process or the aid and
assistance of others, (i) enter on any premises on which any of the Collateral
may be located and, without resistance or interference by the Grantors, take
possession of the Collateral, (ii) dispose of any Collateral on any such
premises, (iii) require the Grantors to assemble and make available to the
Administrative Agent at the expense of the Grantors any Collateral at any place
and time designated by the Administrative Agent that is reasonably convenient to
both parties, (iv) remove any Collateral from any such premises for the purpose
of effecting sale or other disposition thereof, and/or (v) without demand and
without advertisement, notice, hearing or process of law, all of which each of
the Grantors hereby waives to the fullest extent permitted by law, at any place
and time or times, sell and deliver any or all Collateral held by or for it at
public or private sale, by one or more contracts, in one or more parcels, for
cash, upon credit or otherwise, at such prices and upon such terms as the
Administrative Agent deems advisable, in its sole discretion (subject to any and
all mandatory legal requirements).  Each of the Grantors acknowledges
that any private sale referenced above may be at prices and on terms less
favorable to the seller than the prices and terms that might have been obtained
at a public sale and agrees that such private sale shall be deemed to have been
made in a commercially reasonable manner.  Neither the Administrative
Agent’s compliance with applicable law nor its disclaimer of warranties relating
to the Collateral shall be considered to adversely affect the commercial
reasonableness of any sale.  In addition to all other sums due the
Administrative Agent and the other holders of the Secured Obligations with
respect to the Secured Obligations, the Grantors shall pay the Administrative
Agent and each of the other holders of the Secured Obligations all reasonable
costs and expenses incurred by the Administrative Agent or any such other holder
of the Secured Obligations (including reasonable attorneys’ fees and
disbursements and court costs) in obtaining or liquidating the Collateral, in
enforcing payment of the Secured Obligations, or in the prosecution or defense
of any action or proceeding by or against the Administrative Agent or the other
holders of the Secured Obligations or the Grantors concerning any matter arising
out of or connected with this Security Agreement, any Collateral or the Secured
Obligations, including any of the foregoing arising in, arising under or related
to a case under Debtor Relief Laws.  To the extent the rights of
notice cannot be legally waived hereunder, each Grantor agrees that any
requirement of reasonable notice shall be met if such notice is personally
served on or mailed, postage prepaid, to the Company in
accordance

    

    
      
        
           

        

        
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with the
notice provisions of Section 15.3 of the Credit Agreement at least ten (10)
Business Days before the time of sale or other event giving rise to the
requirement of such notice.  The Administrative Agent and the other
holders of the Secured Obligations shall not be obligated to make any sale or
other disposition of the Collateral regardless of notice having been
given.  To the extent permitted by law, any holder of the Secured
Obligations may be a purchaser at any such sale.  To the extent
permitted by applicable law, each of the Grantors hereby waives all of its
rights of redemption with respect to any such sale.  Subject to the
provisions of applicable law, the Administrative Agent and the other holders of
the Secured Obligations may postpone or cause the postponement of the sale of
all or any portion of the Collateral by announcement at the time and place of
such sale, and such sale may, without further notice, to the extent permitted by
law, be made at the time and place to which the sale was postponed, or the
Administrative Agent and the other holders of the Secured Obligations may
further postpone such sale by announcement made at such time and
place.

    

    (b)           Remedies Relating to
Accounts.  Upon the occurrence of an Event of Default and
during the continuation thereof, whether or not the Administrative Agent has
exercised any or all of its rights and remedies hereunder, each Grantor will
promptly upon request of the Administrative Agent instruct all account debtors
to remit all payments in respect of Accounts to a mailing location selected by
the Administrative Agent.  In addition, upon the occurrence and during
the continuance of an Event of Default and prior written notice to such Grantor,
the Administrative Agent shall have the right to enforce any Grantor’s rights
against its customers and account debtors, and the Administrative Agent or its
designee may notify any Grantor’s customers and account debtors that the
Accounts of such Grantor have been assigned to the Administrative Agent or of
the Administrative Agent’s security interest therein, and may (either in its own
name or in the name of a Grantor or both) demand, collect (including by way of a
lockbox arrangement), receive, take receipt for, sell, sue for, compound,
settle, compromise and give acquittance for any and all amounts due or to become
due on any Account, and, in the Administrative Agent’s discretion, file any
claim or take any other action or proceeding to protect and realize upon the
security interest of the Administrative Agent and the other holders of the
Secured Obligations in the Accounts.  Each Grantor acknowledges and
agrees that the Proceeds of its Accounts remitted to or on behalf of the
Administrative Agent in accordance with the provisions hereof shall be solely
for the Administrative Agent’s own convenience and that such Grantor shall not
have any right, title or interest in such Accounts or in any such other amounts
except as expressly provided herein.  The Administrative Agent and the
other holders of the Secured Obligations shall have no liability or
responsibility to any Grantor for acceptance of a check, draft or other order
for payment of money bearing the legend “payment in full” or words of similar
import or any other restrictive legend or endorsement or be responsible for
determining the correctness of any remittance.  Each Grantor hereby
agrees to indemnify the Administrative Agent and the other holders of the
Secured Obligations from and against all liabilities, damages, losses, actions,
claims, judgments, costs, expenses, charges and reasonable attorneys’ fees and
disbursements suffered or incurred by the Administrative Agent or the other
holders of the Secured Obligations (each, an “Indemnified Party”)
because of the maintenance of the foregoing arrangements except as relating to
or arising out of the gross negligence or willful misconduct of an Indemnified
Party or its officers, employees or agents.  In the case of any
investigation, litigation or other proceeding, the foregoing indemnity shall be
effective whether or not such investigation, litigation or proceeding is brought
by a Grantor, its directors, shareholders or creditors or an Indemnified Party
or any other Person or any other Indemnified Party is otherwise a party
thereto.  All amounts due under this subsection shall be payable
within ten (10) Business Days after demand therefor.

    

    (c)           Access.  In addition to the rights
and remedies hereunder, upon the occurrence of an Event of Default and during
the continuation thereof, the Administrative Agent shall have the right to enter
and remain upon the various premises of the Grantors without cost or charge to
the

    

    
      
        
           

        

        
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    Administrative
Agent, and use the same, together with materials, supplies, books and records of
the Grantors for the purpose of collecting and liquidating the Collateral, or
for preparing for sale and conducting the sale of the Collateral, whether by
foreclosure, auction or otherwise.  In addition, the Administrative
Agent may remove Collateral, or any part thereof, from such premises and/or any
records with respect thereto, in order to effectively collect or liquidate such
Collateral.

    

    (d)           Nonexclusive Nature of
Remedies.  Failure by the Administrative Agent or the other
holders of the Secured Obligations to exercise any right, remedy or option under
this Security Agreement, any other Loan Document, any other documents relating
to the Secured Obligations, or as provided by applicable law, or any delay by
the Administrative Agent or the other holders of the Secured Obligations in
exercising the same, shall not operate as a waiver of any such right, remedy or
option.  No waiver hereunder shall be effective unless it is in
writing, signed by the party against whom such waiver is sought to be enforced
and then only to the extent specifically stated, which in the case of the
Administrative Agent or the other holders of the Secured Obligations shall only
be granted as provided herein.  To the extent permitted by applicable
law, neither the Administrative Agent nor the other holders of the Secured
Obligations, nor any party acting as attorney for the Administrative Agent or
the other holders of the Secured Obligations, shall be liable hereunder for any
acts or omissions or for any error of judgment or mistake of fact or law other
than their gross negligence or willful misconduct hereunder.  The
rights and remedies of the Administrative Agent and the other holders of the
Secured Obligations under this Security Agreement shall be cumulative and not
exclusive of any other right or remedy that the Administrative Agent or the
other holders of the Secured Obligations may have.

    

    (e)           Retention of
Collateral.  To the extent permitted under applicable law, in
addition to the rights and remedies hereunder, upon the occurrence and
continuance of an Event of Default, the Administrative Agent may, after
providing the notices required by Sections 9-620 and 9-621 of the UCC or
otherwise complying with the requirements of applicable law of the relevant
jurisdiction, accept or retain all or any portion of the Collateral in
satisfaction of the Secured Obligations.  Unless and until the
Administrative Agent shall have provided such notices, however, the
Administrative Agent shall not be deemed to have accepted or retained any
Collateral in satisfaction of any Secured Obligations for any
reason.

    

    (f)           Deficiency.  In
the event that the proceeds of any sale, collection or realization are
insufficient to pay all amounts to which the Administrative Agent or the other
holders of the Secured Obligations are legally entitled, the Grantors shall be
jointly and severally liable for the deficiency (subject to Section 22 hereof),
together with interest thereon (subject to Section 4.1 of the Credit Agreement,
at the rate then applicable to Revolving Loans that are Base Rate Loans)
together with the reasonable costs of collection and reasonable attorneys’ fees
and disbursements.  Any surplus remaining after the full payment and
satisfaction of the Secured Obligations shall be returned to the Grantors or to
whomsoever a court of competent jurisdiction shall determine to be entitled
thereto.

    

    7.           Rights of the Administrative
Agent.

    

    (a)           Power of
Attorney.  In addition to other powers of attorney contained
herein, each Grantor hereby designates and appoints the Administrative Agent, on
behalf itself and the other holders of the Secured Obligations, and each of its
designees or agents, as attorney-in-fact of such Grantor, irrevocably and with
power of substitution, with authority to take any or all of the following
actions upon the occurrence and during the continuation of an Event of
Default:

    

    
      
        
           

        

        
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    (i)           to
demand, collect, settle, compromise and adjust, and give discharges and releases
concerning the Collateral, all as the Administrative Agent may reasonably deem
appropriate;

    

    (ii)           to
commence and prosecute any actions at any court for the purposes of collecting
any of the Collateral and enforcing any other right in respect
thereof;

    

    (iii)           to
defend, settle or compromise any action brought and, in connection therewith,
give such discharge or release as the Administrative Agent may reasonably deem
appropriate;

    

    (iv)           to
receive, open and dispose of mail addressed to a Grantor and endorse checks,
notes, drafts, acceptances, money orders, bills of lading, warehouse receipts or
other instruments or documents evidencing payment, shipment or storage of the
Goods giving rise to the Collateral on behalf of and in the name of such
Grantor, or securing, or relating to such Collateral;

    

    (v)           to
pay or discharge taxes, liens, security interests or other encumbrances levied
or placed on or threatened against the Collateral;

    

    (vi)           to
direct any parties liable for any payment in connection with any of the
Collateral to make payment of any and all monies due and to become due
thereunder directly to the Administrative Agent or as the Administrative Agent
shall direct;

    

    (vii)           to
receive payment of and receipt for any and all monies, claims, and other amounts
due and to become due at any time in respect of or arising out of any
Collateral;

    

    (viii)           to
sell, assign, transfer, make any agreement in respect of, or otherwise deal with
or exercise rights in respect of, any Collateral or the Goods or services that
have given rise thereto, as fully and completely as though the Administrative
Agent were the absolute owner thereof for all purposes;

    

    (ix)           to
adjust and settle claims under any insurance policy relating
thereto;

    

    (x)           to
authorize or to execute and deliver all assignments, conveyances, statements,
financing statements, renewal financing statements, security and pledge
agreements, affidavits, notices and other agreements, instruments and documents
that the Administrative Agent may reasonably deem appropriate in order to
perfect and maintain the security interests and liens granted in this Security
Agreement and in order to fully consummate all of the transactions contemplated
therein;

    

    (xi)           to
institute any foreclosure proceedings that the Administrative Agent may
reasonably deem appropriate; and

    

    
      
        
           

        

        
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    (xii)           to
do and perform all such other acts and things as the Administrative Agent may
reasonably deem appropriate or convenient in connection with the
Collateral.

    

    This
power of attorney is a power coupled with an interest and shall be irrevocable
for so long as any of the Secured Obligations shall remain outstanding and until
all of the commitments relating thereto shall have been
terminated.  The Administrative Agent shall be under no duty to
exercise or withhold the exercise of any of the rights, powers, privileges and
options expressly or implicitly granted to the Administrative Agent in this
Security Agreement, and shall not be liable for any failure to do so or any
delay in doing so.  The Administrative Agent shall not be liable for
any act or omission or for any error of judgment or any mistake of fact or law
in its individual capacity or its capacity as attorney-in-fact except acts or
omissions resulting from its gross negligence or willful
misconduct.  This power of attorney is conferred on the Administrative
Agent solely to protect, preserve and realize upon its security interest in the
Collateral.

    

    (b)           Assignment by the
Administrative Agent.  The Administrative Agent may from time
to time assign the Secured Obligations and any portion thereof and/or the
security interest held by it in the Collateral and any portion thereof in
connection with its resignation as Administrative Agent pursuant to Section 14.6
of the Credit Agreement, and the assignee shall be entitled to all of the rights
and remedies of the Administrative Agent under this Security Agreement in
relation thereto.

    

    (c)           The Administrative Agent’s
Duty of Care.  Other than the exercise of reasonable care to
assure the safe custody of the Collateral while being held by the Administrative
Agent hereunder, the Administrative Agent shall have no duty or liability to
preserve rights pertaining thereto, it being understood and agreed that the
Grantors shall be responsible for preservation of all rights in the Collateral,
and the Administrative Agent shall be relieved of all responsibility for the
Collateral upon surrendering it or tendering the surrender of it to the
Grantors.  The Administrative Agent shall be deemed to have exercised
reasonable care in the custody and preservation of the Collateral in its
possession if such Collateral is accorded treatment substantially equal to that
which the Administrative Agent accords its own property, of like value, which
shall be no less than the treatment employed by a reasonable and prudent agent
in the industry, it being understood that the Administrative Agent shall not
have responsibility for taking any necessary steps to preserve rights against
any parties with respect to any of the Collateral.  In the event of a
public or private sale of Collateral pursuant to Section 7 hereof, the
Administrative Agent shall have no obligation to clean, repair or otherwise
prepare the Collateral for sale.

    

    8.           Rights of Required
Lenders.  If Bank of America has resigned as Administrative
Agent and no successor Administrative Agent has been appointed pursuant to
Section 14.6 of the Credit Agreement, all rights of the Administrative Agent
hereunder may be exercised by the Required Lenders.

    

    9.           Application of
Proceeds.  Upon the occurrence and during the continuation of
an Event of Default, any payments in respect of the Secured Obligations and any
proceeds of the Collateral, when received by the Administrative Agent or any of
the other holders of the Secured Obligations in cash or its equivalent, will be
applied in reduction of the Secured Obligations in the order set forth in the
Credit Agreement or other document relating to the Secured Obligations, and each
Grantor irrevocably waives the right to direct the application of such payments
and proceeds and acknowledges and agrees that the Administrative Agent shall
have the continuing and exclusive right to apply and reapply any and all such
payments and proceeds in the Administrative Agent’s sole discretion,
notwithstanding any entry to the contrary upon any of its books and
records.

    

    
      
        
           

        

        
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    10.           Release of
Collateral.  Upon request, the Administrative Agent shall
promptly deliver to the applicable Grantor (at such Grantor’s expense)
appropriate release documentation to the extent the release of Collateral is
permitted under, and on the terms and conditions set forth in, the Credit
Agreement; provided that any
such release, or the substitution of any of the Collateral for other Collateral,
will not alter, vary or diminish in any way the force, effect, lien, pledge or
security interest of this Security Agreement as to any and all Collateral not
expressly released or substituted, and this Security Agreement shall continue as
a first priority lien (subject to Permitted Liens) on any and all Collateral not
expressly released or substituted.

    

    11.           Costs and
Expenses.  At all times hereafter, whether or not upon the
occurrence of an Event of Default, the Grantors agree to promptly pay upon
demand any and all reasonable costs and expenses (including reasonable
attorneys’ fees and disbursements) of the Administrative Agent and the other
holders of the Secured Obligations (a) as required under Section 15.5 of the
Credit Agreement and (b) as necessary to protect the Collateral or to exercise
any rights or remedies under this Security Agreement or with respect to any of
the Collateral.  All of the foregoing costs and expenses shall
constitute Secured Obligations hereunder.

    

    12.           Continuing
Agreement.

    

    (a)           This
Security Agreement shall be a continuing agreement in every respect and shall
remain in full force and effect so long as any of the Secured Obligations
remains outstanding (other than contingent indemnity obligations that are not
yet due and payable) and until all of the commitments relating thereto have been
terminated.  Upon such payment and termination, this Security
Agreement shall be automatically terminated and the Administrative Agent shall,
upon the request and at the expense of the Grantors, forthwith release all of
its liens and security interests hereunder and shall execute and deliver all UCC
termination statements and/or other documents reasonably requested by the
Grantors evidencing such termination.  Notwithstanding the foregoing,
all indemnities provided hereunder shall survive termination of this Security
Agreement.

    

    (b)           This
Security Agreement shall continue to be effective or be automatically
reinstated, as the case may be, if at any time payment, in whole or in part, of
any of the Secured Obligations is rescinded or must otherwise be restored or
returned by the Administrative Agent or any holder of the Secured Obligations as
a preference, fraudulent conveyance or otherwise under any Debtor Relief Law,
all as though such payment had not been made; provided that in the event payment
of all or any part of the Secured Obligations is rescinded or must be restored
or returned, all reasonable costs and expenses (including reasonable attorneys’
fees and disbursements) incurred by the Administrative Agent or any holder of
the Secured Obligations in defending and enforcing such reinstatement shall be
deemed to be included as a part of the Secured Obligations.

    

    13.           Amendments and
Waivers.  This Security Agreement and the provisions hereof may
not be amended, waived, modified, changed, discharged or terminated except by
written agreement of (a) the Grantors and (b) the Administrative Agent (with the
consent or at the direction of the requisite Lenders under the Credit
Agreement).

    

    14.           Successors in
Interest.  This Security Agreement shall create a continuing
security interest in the Collateral and shall be binding upon each Grantor, its
successors and assigns, and shall inure, together with the rights and remedies
of the Administrative Agent and the other holders of the Secured Obligations
hereunder, to the benefit of the Administrative Agent and the other holders of
the Secured Obligations and their successors and permitted assigns; provided, however,
that none of the Grantors may assign its rights or delegate its duties hereunder
without the prior written consent of the requisite Lenders under the Credit
Agreement.

    

    

    
      
        
           

        

        
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    15.           Notices.  All
notices required or permitted to be given under this Security Agreement shall be
given as provided in Section 15.3 of the Credit Agreement.

    

    16.           Counterparts.  This
Security Agreement may be executed in any number of counterparts, each of which
when so executed and delivered shall be an original, but all of which shall
constitute one and the same instrument.  It shall not be necessary in
making proof of this Security Agreement to produce or account for more than one
such counterpart.

    

    17.           Governing Law; Forum
Selection and Venue; Waiver of Jury Trial; Service of
Process.

    

    (a)           THIS
SECURITY AGREEMENT SHALL BE A CONTRACT MADE UNDER AND GOVERNED BY THE
INTERNAL LAWS OF THE STATE OF ILLINOIS APPLICABLE TO CONTRACTS MADE AND TO BE
PERFORMED ENTIRELY WITHIN SUCH STATE, WITHOUT REGARD TO CONFLICT OF LAWS
PRINCIPLES.

    

    (b)           FORUM SELECTION AND CONSENT
TO JURISDICTION; SERVICE OF
PROCESS.  ANY LITIGATION BASED HEREON, OR ARISING OUT OF,
UNDER, OR IN CONNECTION WITH THIS SECURITY AGREEMENT OR ANY OTHER LOAN DOCUMENT,
SHALL BE BROUGHT AND MAINTAINED EXCLUSIVELY IN THE COURTS OF THE STATE OF
ILLINOIS OR IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF
ILLINOIS; PROVIDED THAT NOTHING
IN THIS SECURITY AGREEMENT SHALL BE DEEMED OR OPERATE TO PRECLUDE THE
ADMINISTRATIVE AGENT FROM BRINGING SUIT OR TAKING OTHER LEGAL ACTION IN ANY
OTHER JURISDICTION.  EACH GRANTOR HEREBY EXPRESSLY AND IRREVOCABLY
SUBMITS TO THE JURISDICTION OF THE COURTS OF THE STATE OF ILLINOIS AND OF THE
UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS FOR THE
PURPOSE OF ANY SUCH LITIGATION AS SET FORTH ABOVE.  EACH GRANTOR
FURTHER IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY REGISTERED MAIL,
POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF
ILLINOIS.  EACH GRANTOR HEREBY EXPRESSLY AND IRREVOCABLY WAIVES, TO
THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY NOW OR HEREAFTER
HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT IN ANY SUCH COURT
REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN
INCONVENIENT FORUM.

    

    (c)           WAIVER OF JURY
TRIAL.  EACH PARTY HERETO HEREBY IRREVOCABLY 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 SECURITY AGREEMENT OR ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS
CONTEMPLATED HEREBY OR THEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER
THEORY).  EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE,
AGENT OR ATTORNEY OF ANY OTHER PERSON HAS REPRESENTED, EXPRESSLY OR OTHERWISE,
THAT SUCH OTHER PERSON 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 SECURITY AGREEMENT AND THE OTHER
LOAN DOCUMENTS BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN
THIS SECTION.

    

    
      
        
           

        

        
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    (d)           EACH
PARTY HERETO IRREVOCABLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED
FOR NOTICES IN SECTION 15.3 OF THE CREDIT AGREEMENT.  NOTHING IN
THIS SECURITY AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY HERETO TO SERVE
PROCESS IN ANY OTHER MANNER PERMITTED BY APPLICABLE LAW.

    

    18.           Severability.  If
any provision of this Security Agreement or any related document is held to be
illegal, invalid or unenforceable, (a) the legality, validity and enforceability
of the remaining provisions of this Security Agreement and any other related
document shall not be affected or impaired thereby and (b) the parties shall
endeavor in good faith negotiations to replace the illegal, invalid or
unenforceable provisions with valid provisions the economic effect of which
comes as close as possible to that of the illegal, invalid or unenforceable
provisions.  The invalidity of a provision in a particular
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction.

    

    19.           Entirety.  This
Security Agreement, the other Loan Documents and the other documents relating to
the Secured Obligations comprise the complete and integrated agreement of the
parties on the subject matter hereof and thereof and supersedes all prior
agreements, written or oral, on such subject matter.  This Security
Agreement was drafted with the joint participation of the respective parties
thereto and shall be construed neither against nor in favor of any party, but
rather in accordance with the fair meaning thereof.

    

    20.           Survival.  All
representations and warranties made hereunder or other document delivered
pursuant hereto or in connection herewith shall survive the execution and
delivery hereof and thereof.  Such representations and warranties have
been or will be relied upon by the Administrative Agent, the Administrative
Agent and each Lender, regardless of any investigation made by the
Administrative Agent or any Lender or on their behalf and notwithstanding that
the Administrative Agent or any Lender may have had notice or knowledge of any
Default at the time of any Credit Extension, and shall continue in full force
and effect as long as any Loan or any other Obligation shall remain unpaid or
unsatisfied or any Letter of Credit shall remain outstanding.

    

    21.           Other
Security.  To the extent that any of the Secured Obligations
are now or hereafter secured by property other than the Collateral (including
real property and securities owned by a Grantor), or by a guarantee, endorsement
or property of any other Person, then the Administrative Agent shall have the
right to proceed against such other property, guarantee or endorsement upon the
occurrence of any Event of Default, and the Administrative Agent shall have the
right, in its sole discretion, to determine which rights, security, liens,
security interests or remedies the Administrative Agent shall at any time
pursue, relinquish, subordinate, modify or take with respect thereto, without in
any way modifying or affecting any of them or the Secured Obligations or any of
the rights of the Administrative Agent or the other holders of the Secured
Obligations under this Security Agreement, under any of the other Loan Documents
or under any other document relating to the Secured Obligations.

    

    22.           Joint and Several
Obligations of Grantors.

    

    (a)           Subject
to subsection
(c) of this Section 22, each of
the Grantors is accepting joint and several liability hereunder in consideration
of the financial accommodation to be provided by the holders of the Secured
Obligations, for the mutual benefit, directly and indirectly, of each of the
Grantors and in consideration of the undertakings of each of the Grantors to
accept joint and several liability for the obligations of each of
them.

    

    (b)           Subject to subsection
(c) of this Section
22, each of the Grantors
jointly and severally hereby irrevocably and unconditionally accepts, not merely
as a surety but also as a co-

    

    
      
        
           

        

        
          - 13 -

          
            

          

        

        
           

        

      

    

    debtor or
guarantor, joint and several liability with the other Grantors with respect to
the payment and performance of all of the Secured Obligations arising under this
Security Agreement, the other Loan Documents and any other documents relating to
the Secured Obligations, it being the intention of the parties hereto that all
the Secured Obligations shall be the joint and several obligations of each of
the Grantors without preferences or distinction among them.

    

    (c)           Notwithstanding
any provision to the contrary contained herein, in any other of the Loan
Documents or in any other documents relating to the Secured Obligations, the
obligations of each Grantor that is a Guarantor under the Credit Agreement and
the other Loan Documents shall be limited to an aggregate amount equal to the
largest amount that would not render such obligations subject to avoidance under
Section 548 of the Bankruptcy Code of the United States or any other applicable
Debtor Relief Law (including any comparable provisions of any applicable state
law).

    

    [Signatures
on Following Pages]

    

    
      
        
           

        

        
          - 14 -

          
            

          

        

        
           

        

      

    

    

     

    Each of
the parties hereto has caused a counterpart of this Security Agreement to be
duly executed and delivered as of the date first above written.

    

    
      	
              GRANTORS:

            	
              HURON
      CONSULTING GROUP INC.,

            

    

    a
Delaware corporation

    

     By: /s/ James K.
Rojas                                                                           

       Name:
James K. Rojas

       Title:
Vice President and Chief Financial Officer

    HURON
CONSULTING GROUP HOLDINGS LLC,

    a
Delaware limited liability company

    

    By: /s/ James K.
Rojas                                                                           

       Name:
James K. Rojas

       Title:
Vice President and Chief Financial Officer

    

    

    HURON
CONSULTING SERVICES LLC,

    a
Delaware limited liability company

    

    By: /s/ James K.
Rojas                                                                           

       Name:
James K. Rojas

       Title:
Vice President and Chief Financial Officer

    WELLSPRING
MANAGEMENT SERVICES LLC,

    formerly
known as SPELTZ & WEIS LLC,

    a
Delaware limited liability company

    

    By: /s/ James K.
Rojas                                                                           

       Name:
James K. Rojas

       Title:
Vice President and Chief Financial Officer

    HURON
DEMAND LLC,

    a
Delaware limited liability company

    

    By: /s/ James K.
Rojas                                                                           

       Name:
James K. Rojas

       Title:
Vice President and Chief Financial Officer

    ADMINISTRATIVE
AGENT:            BANK
OF AMERICA, N.A.,

    as
Administrative Agent

    

    By: /s/ Michael
Brashler                                                                           

       Name:
Michael Brashler

       Title:
Vice President

    

    
      
        
          
            HURON
CONSULTING GROUP INC.

            SECURITY
AGREEMENT

          

           

        

        
           

          
            

          

        

        
           

        

      

    

    

    SCHEDULES

    

    Schedule
2(d)                       Commercial
Tort Claims

    
      	
              Schedule
      3(a)(i)

            	
              Legal
      Name, Jurisdiction of Organization/Formation, Principal Place of Business,
      Chief Executive Office

            

    

    Schedule
3(a)(ii)                   Mergers,
Consolidations, Changes in Structure, Use of Tradenames

    

    

    
      
        
          
             

          

           

        

        
           

          
            

          

        

        
           

        

      

    

    

    SCHEDULE
2(d)

    

    COMMERCIAL
TORT CLAIMS

    

    Huron
Consulting Services, LLC, a Delaware Limited Liability Company vs. F. Lisa
Murtha, an individual, Kevin Eskew, an individual, Nancy Freeman, an individual,
Judy Ringholz, an individual, Linda Robinson, an individual and Sonnenschein
Nath & Rosenthal, a Delaware Limited Liability Partnership.

    

    

    

    
      
        
          
             

          

           

        

        
           

          
            

          

        

        
           

        

      

    

    

    
      	
               
      

            	
              SCHEDULE 3(a)(i)

            

    

    

    LEGAL
NAME, JURISDICTION OF ORGANIZATION/FORMATION, PRINCIPAL PLACE OF BUSINESS, CHIEF
EXECUTIVE OFFICE

    

    
      	
              Legal Name

            	
              Jurisdiction of
  Organization

            
	 
      	 
      
	
              Huron
      Consulting Group Inc.

            	
              Delaware

            
	
              Huron
      Consulting Group Holdings LLC

            	
              Delaware

            
	
              Huron
      Consulting Services LLC

            	
              Delaware

            
	
              Wellspring
      Management Services LLC

            	
              Delaware

            
	
              Huron
      Demand LLC

            	
              Delaware

            

    

    

    Principal
Place of Business/Chief Executive Office of all Grantors:

    

    550 W.
Van Buren Street

    Chicago,
IL  60607

    

    

    

    
      
        
          
             

          

           

        

        
           

          
            

          

        

        
           

        

      

    

    

    SCHEDULE 3(a)(ii)

    

    MERGERS,
CONSOLIDATIONS, CHANGES IN STRUCTURE, USE OF TRADENAMES

    

    Mergers, Consolidations and
Changes in Structure

    

    May 17,
2005

    Speltz
& Weis LLC, a New Hampshire corporation, was merged into SC Holding, LLC, a
Delaware corporation, with SC Holding, LLC as the surviving entity whose name
became Speltz & Weis LLC.

    

    April 1,
2006

    Huron
Consulting Groups Holdings LLC replaced Huron Consulting Group Inc. as the
managing and sole member of Speltz & Weis LLC.

    

    July 31,
2006

    Huron
Consulting Services LLC was assigned assets and assumed obligations of Aaxis
Technologies, Inc., a Virginia corporation. (Aaxis was dissolved August 7,
2008.)

    

    Huron
Consulting Services LLC was assigned assets and assumed obligations of FAB
Advisory Services, LLC, an Illinois limited liability company. (FAB was
dissolved August 7, 2008.)

    

    August
31, 2006

    Document
Review Consulting Services LLC, a Delaware limited liability company, was merged
into Huron Consulting Services LLC.

    

    January
2, 2007

    Huron
Consulting Services LLC was assigned assets and assumed obligations of Glass
& Associates, Inc., a Delaware corporation. (Glass was dissolved August 6,
2008.)

    

    Huron
Consulting Services LLC was assigned assets and assumed obligations of
Wellspring Partners Ltd., a Delaware corporation. (Wellspring was dissolved
September 29, 2008.)

    

    January
4, 2007

    Speltz
& Weis LLC was renamed Huron Management Services LLC.

    

    January
26, 2007

    Huron
Management Services LLC was renamed Wellspring Management Services
LLC.

    

    Use of
Tradenames

    

    Huron
Consulting Services LLC d/b/a Galt & Company

    Huron
Consulting Services LLC d/b/a Stockamp & Associates

    Huron
Consulting Services LLC d/b/a Wellspring Partners

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