Document:

ADDENDUM
        TO STOCK PURCHASE AGREEMENT

       

      This
        ADDENDUM TO STOCK PURCHASE AGREEMENT (this “Addendum”)
        is
        dated as of September 17, 2007, by and among Appalachian Oil Company, Inc.,
        a Tennessee corporation (the “Company”),
        the
        undersigned stockholders of the Company (collectively, the “Sellers”),
        and
        Titan Global Holdings, Inc., a Utah corporation (the “Buyer”).

       

      WITNESSETH:

       

      WHEREAS,
        the Buyer, the Company and the Sellers made and entered into a Stock Purchase
        Agreement dated July 17, 2007 (the “Agreement”),
        pursuant to which Buyer has agreed to purchase, and Sellers have agreed to
        sell,
        all of the issued and outstanding capital stock of the Company, on the terms
        and
        conditions set forth in the Agreement; and

       

      WHEREAS,
        the parties wish to further amend the Agreement as set forth below.

       

      NOW,
        THEREFORE, for and in consideration of the foregoing recitals, and other
        good
        and valuable consideration, the receipt and legal sufficiency of which are
        hereby acknowledged, the parties agree as follows:

       

      1. Section
        2.3 of the Agreement, as amended, is hereby amended by deleting from
        clause (a) thereof “September 14, 2007” and inserting in its place
“September 17, 2007.”

       

      2. As
        amended hereby, the Agreement shall remain in full force and
        effect.

       

      [Signatures
        are on the next page.]

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      IN
        WITNESS WHEREOF, this Addendum has been executed as of the date first above
        written.

       

      
        	 	 	 
	 	BUYER:
	 	 
	 	TITAN GLOBAL HOLDINGS,
                INC.
	 
 	 
 	 
 
	
              	By:  	/s/ Bryan
                M. Chance 
	 	
                
Name:
                Bryan M. Chance 
	 	Title:
                President and Chief Executive
                Officer

      

       

      
        	 	 	 
	 	THE COMPANY:
	 	 
	 	APPALACHIAN OIL COMPANY,
                INC.
	 
 	 
 	 
 
	
              	By:  	/s/ Jeffrey
                H. Benedict
	 	
                
Name:
                Jeffrey H. Benedict 
	 	Title:
                President

      

       

      
        	 	 	 
	 	SELLERS:
	 	 
	 	
              
	
              	
              	/s/ Jeffrey
                H. Benedict 
	 	
                
JEFFREY
                H. BENEDICT
	 	
              

      

       

      
        	 	 	 
	
              	
              	/s/ Sara
                G. MacLean 
	 	
                
SARA
                G. MACLEAN
	 	
                (by
                  Jeffrey H. Benedict under Power of Attorney 

                dated
                  7-11-07)

              

      

       

      
        	 	 	 
	 	
                THE LINDA R. MACLEAN

                IRREVOCABLE TRUST

              
	 	 	 
	 	 	 
	
              	By:  	/s/ Sara
                G. MacLean 
	 	
                

                Sara
                  G. MacLean, Trustee

              
	 	
                (by
                  Jeffrey H. Benedict under Power of Attorney 

                dated
                  7-11-07)

              

      

       

      
        	 	 	 
	 	
                THE
                  JAMES R. MACLEAN

                REVOCABLE
                  TRUST OF 2005

              
	 	 	 
	 	 	 
	
              	By:  	/s/ James
                R. MacLean 
	 	
                
James
                R. MacLean, TrusteeLOAN
      AND SECURITY AGREEMENT

     

    Dated
      as of September 17, 2007

     

    among

     

    APPALACHIAN
      OIL COMPANY, INC.,

     

    as
      Borrower,

     

    THE
      LENDERS THAT ARE PARTIES HERETO,

     

    as
      the Lenders,

     

    and

     

    GREYSTONE
      BUSINESS CREDIT II, L.L.C.,

     

    as
      Agent

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

      
        	
                Greystone
                  Business Credit II, L.L.C.

              	
                Loan
                  and Security
                  Agreement

              

      

    

    
      
        

      

    

     

    TABLE
      OF CONTENTS

    

      
        	 	 	 	 	 	 	
                Page

              
	 	 	 	 	 
	
                1.

              	 	
                LOANS
                  AND CREDIT ACCOMMODATIONS.

              	 	
                1

              
	 	 	
                1.1.

              	 	
                Amount.

              	 	
                1

              
	 	 	
                1.2.

              	 	
                Reserves.

              	 	
                4

              
	 	 	
                1.3.

              	 	
                Other
                  Provisions Applicable to Credit Accommodations.

              	 	
                5

              
	 	 	
                1.4.

              	 	
                Repayment.

              	 	
                5

              
	 	 	
                1.5.

              	 	
                Minimum
                  Borrowing.

              	 	
                6

              
	 	 	
                1.6.

              	 	
                Borrowing
                  Procedure/Credit Accommodation Procedure.

              	 	
                6

              
	 	 	 	 	 
	
                2.

              	 	
                INTEREST
                  AND FEES.

              	 	
                7

              
	 	 	
                2.1.

              	 	
                Interest.

              	 	
                7

              
	 	 	
                2.2.

              	 	
                Fees
                  and Warrants.

              	 	
                7

              
	 	 	
                2.3.

              	 	
                Computation
                  of Interest and Fees.

              	 	
                8

              
	 	 	
                2.4.

              	 	
                Loan
                  Account; Monthly Accountings.

              	 	
                9

              
	 	 	 	 	 
	
                3.

              	 	
                CONDITIONS.

              	 	
                9

              
	 	 	
                3.1.

              	 	
                Conditions
                  Precedent to the Initial Extension of Credit.

              	 	
                9

              
	 	 	
                3.2.

              	 	
                Conditions
                  Precedent to all Extensions of Credit.

              	 	
                9

              
	 	 	 	 	 
	
                4.

              	 	
                SECURITY
                  INTEREST.

              	 	
                10

              
	 	 	
                4.1.

              	 	
                Grant
                  of Security Interest.

              	 	
                10

              
	 	 	
                4.2.

              	 	
                Possessory
                  Collateral.

              	 	
                10

              
	 	 	
                4.3.

              	 	
                Preservation
                  of Collateral and Perfection of Security Interest.

              	 	
                11

              
	 	 	 	 	 
	
                5.

              	 	
                ADMINISTRATION.

              	 	
                11

              
	 	 	
                5.1.

              	 	
                Lock
                  Boxes and Blocked Accounts.

              	 	
                11

              
	 	 	
                5.2.

              	 	
                Remittance
                  of Proceeds.

              	 	
                11

              
	 	 	
                5.3.

              	 	
                Application
                  of Payments.

              	 	
                12

              
	 	 	
                5.4.

              	 	
                Notification;
                  Verification.

              	 	
                13

              
	 	 	
                5.5.

              	 	
                Power
                  of Attorney.

              	 	
                13

              
	 	 	
                5.6.

              	 	
                Disputes.

              	 	
                14

              
	 	 	
                5.7.

              	 	
                Invoices.

              	 	
                14

              
	 	 	
                5.8.

              	 	
                Inventory.

              	 	
                14

              
	 	 	
                5.9.

              	 	
                Access
                  to Collateral, Books and Records.

              	 	
                15

              
	 	 	 	 	 
	
                6.

              	 	
                REPRESENTATIONS,
                  WARRANTIES AND COVENANTS.

              	 	
                15

              
	 	 	
                6.1.

              	 	
                Existence
                  and Authority.

              	 	
                15

              
	 	 	
                6.2.

              	 	
                Name;
                  Trade Names and Styles.

              	 	
                16

              
	 	 	
                6.3.

              	 	
                Title
                  to Collateral; Permitted Liens.

              	 	
                16

              
	 	 	
                6.4.

              	 	
                Accounts
                  and Chattel Paper.

              	 	
                17

              
	 	 	
                6.5.

              	 	
                Electronic
                  Chattel Paper.

              	 	
                17

              
	 	 	
                6.6.

              	 	
                Investment
                  Property.

              	 	
                18

              
	 	 	
                6.7.

              	 	
                Commercial
                  Tort Claims.

              	 	
                18

              
	 	 	
                6.8.

              	 	
                State
                  of Organization; Location of Collateral.

              	 	
                18

              

      

       

      
        
          
          

        

        
          -i-

          
            

          

        

        
          
          

        

      

       

        	
                Greystone
                  Business Credit II, L.L.C.

              	
                Loan
                  and Security Agreement

              

      

      
        

      

       

      
        	 	 	
                6.9.

              	 	
                Financial
                  Condition, Statements and Reports.

              	 	
                18

              
	 	 	
                6.10.

              	 	
                Tax
                  Returns and Payments; Pension Contributions.

              	 	
                19

              
	 	 	
                6.11.

              	 	
                Compliance
                  with Laws.

              	 	
                19

              
	 	 	
                6.12.

              	 	
                Litigation.

              	 	
                19

              
	 	 	
                6.13.

              	 	
                Related
                  Agreements.

              	 	
                20

              
	 	 	
                6.14.

              	 	
                Use
                  of Proceeds.

              	 	
                20

              
	 	 	
                6.15.

              	 	
                Insurance.

              	 	
                21

              
	 	 	
                6.16.

              	 	
                Financial
                  and Collateral Reports.

              	 	
                21

              
	 	 	
                6.17.

              	 	
                Litigation
                  Cooperation.

              	 	
                23

              
	 	 	
                6.18.

              	 	
                Maintenance
                  of Collateral, Etc.

              	 	
                23

              
	 	 	
                6.19.

              	 	
                Notification
                  of Changes.

              	 	
                23

              
	 	 	
                6.20.

              	 	
                Further
                  Assurances.

              	 	
                23

              
	 	 	
                6.21.

              	 	
                Negative
                  Covenants.

              	 	
                24

              
	 	 	
                6.22.

              	 	
                Financial
                  Covenants.

              	 	
                26

              
	 	 	 	 	 
	
                7.

              	 	
                RELEASE
                  AND INDEMNITY.

              	 	
                27

              
	 	 	
                7.1.

              	 	
                Release.

              	 	
                27

              
	 	 	
                7.2.

              	 	
                Indemnity.

              	 	
                27

              
	 	 	 	 	 	 	 
	
                8.

              	 	 	 	
                TERM.

              	 	
                28

              
	 	 	
                8.1.

              	 	
                Maturity
                  Date.

              	 	
                28

              
	 	 	
                8.2.

              	 	
                Early
                  Termination.

              	 	
                28

              
	 	 	
                8.3.

              	 	
                Payment
                  of Obligations.

              	 	
                29

              
	 	 	
                8.4.

              	 	
                Effect
                  of Termination.

              	 	
                29

              
	 	 	 	 	 
	
                9.

              	 	
                EVENTS
                  OF DEFAULT AND REMEDIES.

              	 	
                29

              
	 	 	
                9.1.

              	 	
                Events
                  of Default.

              	 	
                29

              
	 	 	
                9.2.

              	 	
                Remedies.

              	 	
                30

              
	 	 	
                9.3.

              	 	
                Application
                  of Proceeds.

              	 	
                32

              
	 	 	 	 	 
	
                10.

              	 	
                AGENT;
                  THE LENDER GROUP.

              	 	
                33

              
	 	 	
                10.1.

              	 	
                Appointment
                  and Authorization of Agent.

              	 	
                33

              
	 	 	
                10.2.

              	 	
                Delegation
                  of Duties.

              	 	
                34

              
	 	 	
                10.3.

              	 	
                Liability
                  of Agent.

              	 	
                34

              
	 	 	
                10.4.

              	 	
                Reliance
                  By Agent.

              	 	
                34

              
	 	 	
                10.5.

              	 	
                Notice
                  of Default or Event of Default.

              	 	
                35

              
	 	 	
                10.6.

              	 	
                Credit
                  Decision.

              	 	
                35

              
	 	 	
                10.7.

              	 	
                Costs
                  and Expenses, Indemnification.

              	 	
                35

              
	 	 	
                10.8.

              	 	
                Agent
                  in Individual Capacity.

              	 	
                36

              
	 	 	
                10.9.

              	 	
                Successor
                  Agent.

              	 	
                37

              
	 	 	
                10.10.

              	 	
                Lender
                  in Individual Capacity.

              	 	
                37

              
	 	 	
                10.11.

              	 	
                Matters
                  Relating to Collateral and Obligations.

              	 	
                38

              
	 	 	
                10.12.

              	 	
                Restrictions
                  on Actions by the Lenders, Sharing Payments.

              	 	
                38

              
	 	 	
                10.13.

              	 	
                Agency
                  for Perfection.

              	 	
                39

              
	 	 	
                10.14.

              	 	
                Payments
                  by Agent to the Lenders.

              	 	
                39

              
	 	 	
                10.15.

              	 	
                Concerning
                  the Collateral and Related Loan Documents.

              	 	
                39

              

      

       

      
        
          
          

        

        
          -ii-

          
            

          

        

        
          
          

        

      

       

        	
                Greystone
                  Business Credit II, L.L.C.

              	
                Loan
                  and Security Agreement

              

      

      
        

      

       

      
        	 	 	
                10.16.

              	 	
                Field
                  Audits and Examination Reports, Confidentiality, Disclaimers by
                  the
                  Lenders, Other Reports and Information.

              	 	
                40

              
	 	 	
                10.17.

              	 	
                Several
                  Obligations, No Liability.

              	 	
                41

              
	 	 	 	 	 
	
                11.

              	 	
                SETTLEMENTS,
                  DISTRIBUTIONS AND APPORTIONMENT OF PAYMENTS.

              	 	
                41

              
	 	 	
                11.1.

              	 	
                Procedure.

              	 	
                41

              
	 	 	 	 	 
	
                12.

              	 	
                GENERAL
                  PROVISIONS.

              	 	
                42

              
	 	 	
                12.1.

              	 	
                Notices.

              	 	
                42

              
	 	 	
                12.2.

              	 	
                Severability.

              	 	
                43

              
	 	 	
                12.3.

              	 	
                Know
                  Your Customer.

              	 	
                43

              
	 	 	
                12.4.

              	 	
                Integration.

              	 	
                44

              
	 	 	
                12.5.

              	 	
                Waivers.

              	 	
                44

              
	 	 	
                12.6.

              	 	
                Amendment,
                  Waivers and Consents.

              	 	
                44

              
	 	 	
                12.7.

              	 	
                Time
                  of Essence.

              	 	
                45

              
	 	 	
                12.8.

              	 	
                Attorneys
                  Fees and Costs.

              	 	
                45

              
	 	 	
                12.9.

              	 	
                Benefit
                  of Agreement; Assignability.

              	 	
                46

              
	 	 	
                12.10.

              	 	
                Confidentiality.

              	 	
                48

              
	 	 	
                12.11.

              	 	
                Headings;
                  Construction.

              	 	
                49

              
	 	 	
                12.12.

              	 	
                GOVERNING
                  LAW; CONSENT TO FORUM, ETC.

              	 	
                49

              
	 	 	
                12.13.

              	 	
                WAIVER
                  OF JURY TRIAL, ETC.

              	 	
                50

              

      

    

     

    
      
        	
                Schedule
                  3.1

              	 	
                Conditions
                  Precedent to the Initial Extension of Credit

              
	
                Schedule
                  6.1

              	 	
                Ownership
                  of Borrower and Borrower's Subsidiaries

              
	
                Schedule
                  6.2

              	 	
                Borrower's
                  Prior Names and Present and Prior Trade Names

              
	
                Schedule
                  6.7

              	 	
                Commercial
                  Tort Claims

              
	
                Schedule
                  6.8

              	 	
                Collateral
                  Locations

              
	
                Schedule
                  6.12

              	 	
                Litigation

              
	
                Schedule
                  6.21

              	 	
                Negative
                  Covenants

              
	
                Schedule
                  A

              	 	
                Description
                  of Certain Terms

              
	
                Schedule
                  B

              	 	
                Definitions

              
	
                Schedule
                  B-1

              	 	
                Trademarks

              
	
                Exhibit
                  A

              	 	
                Form
                  of Term Note A

              
	
                Exhibit
                  B

              	 	
                Form
                  of Term Note B

              
	
                Exhibit
                  C

              	 	
                Form
                  of Assignment and Acceptance

              

      

      
         

        
          
          

        

        
          -iii-

          
            

          

        

        
          
          

        

         

      

    

    LOAN
      AND SECURITY AGREEMENT

     

    This
      Loan
      and Security Agreement (as it may be amended, supplemented or modified from
      time
      to time, this "Agreement")
      is
      entered into on September 17, 2007, among Appalachian
      Oil Company, Inc., ("Borrower"),
      a
      Tennessee corporation, the lenders from time to time party hereto (such lenders,
      together with their respective successors and permitted assigns, being referred
      to individually as a "Lender"
      and
      collectively as the "the
      Lenders"),
      and
Greystone
      Business Credit II, L.L.C., in
      its
      capacity as administrative agent for the Lenders (in such capacity, together
      with its successors and permitted assigns in such capacity, "Agent").
      The
      Exhibits and Schedules to this Agreement are an integral part of this Agreement
      and are incorporated herein by reference. Terms used, but not defined elsewhere,
      in this Agreement are defined in Schedule B.

     

    
      	
              1.

            	
              LOANS
                AND CREDIT ACCOMMODATIONS.

            

    

     

    1.1. Amount.

     

    Subject
      to the terms and conditions contained in this Agreement:

     

    (a) Revolving
      Loans and Credit Accommodations. From
      time
      to time during the Term at Borrower's request, each Lender with a Revolving
      Loan
      Commitment agrees (severally and not jointly) to make revolving loans to
      Borrower ("Revolving
      Loans";
      for
      the sake of clarity, such term also includes all Protective Advances and
      Disproportionate Advances) and make letters of credit, bankers acceptances
      and
      other credit accommodations ("Credit
      Accommodations")
      available to Borrower, in proportion to such Lender's Pro Rata Revolving Share
      of the requested Revolving Loans, up to such Lender's Revolving Loan Commitment,
      in each case to the extent that there is sufficient Availability (defined below)
      at the time of such request to cover, dollar for dollar, the requested Revolving
      Loan or Credit Accommodation; provided,
      that
      after giving effect to such Revolving Loan or Credit Accommodation, (x) the
      outstanding balance of all monetary Obligations (including the principal balance
      of the Term Loans and the Credit Accommodation Balance) will not exceed the
      Maximum Facility Amount and (y) none of the other Loan Limits will be
      exceeded. For this purpose,
      "Availability"
      means:

     

    (i) the
      aggregate amount of Eligible Accounts other than the Cummins Accounts (less
      maximum existing or asserted taxes, discounts, credits and allowances)
      multiplied by the Accounts Advance Rate (but in no event to exceed the Accounts
      Sublimit);

     

    plus

     

    (ii) the
      aggregate amount of Eligible Accounts consisting solely of the Cummins Accounts
      (less maximum existing or asserted taxes, discounts, credits and allowances)
      multiplied by the Inventory Advance Rate (but in no event to exceed together
      in
      the aggregate with the advances pursuant to clause (iii) below, the Inventory
      Sublimit);

     

    
      
        
        

      

      
        -1-

        
          

        

      

      
        
        

      

    

     

    plus

     

    (iii) the
      lower
      of cost or market value (or, if applicable, the appraised net orderly
      liquidation value) of Eligible Inventory multiplied by the applicable Inventory
      Advance Rate, but not to exceed, together in the aggregate with the advances
      pursuant to clause (ii) above, the Inventory Sublimit;

     

    minus

     

    (iv) all
      Reserves which Agent has established pursuant to Section 1.2 (including
      those to be established in connection with the requested Revolving Loan or
      Credit Accommodation); and

     

    minus

     

    (v) the
      outstanding principal balance of all Revolving Loans.

     

    Neither
      Agent nor any Lender shall be responsible for any failure by any other Lender
      to
      perform its obligations to make Revolving Loans, or make available Letter of
      Credit Accommodations, hereunder, and the failure of any Lender to make, or
      make
      available, its Pro Rata Revolving Share of any Revolving Loan or Letter of
      Credit Accommodation hereunder shall not relieve any other Lender of its
      obligation, if any, to make its Pro Rata Revolving Share (or, if applicable,
      its
      Adjusted Pro Rata Revolving Share) of any Revolving Loans or Letter of Credit
      Accommodation hereunder.

     

    If
      Borrower makes a request for a Revolving Loan as provided herein,
      Agent,
      at its
      option and in its sole discretion,
      shall do
      either of the following:

     

    (A) advance
      the amount of the proposed Revolving Loan to Borrower disproportionately (a
      "Disproportionate
      Advance")
      out of
      Agent's own funds on behalf of the Lenders according to their respective Pro
      Rata Revolving Loan Shares thereof (or,
      if
      applicable, their respective Adjusted Pro Rata Revolving Shares
      thereof),
      which
      advance shall be on the same day as Borrower's request therefor if Borrower
      notifies Agent of such request by 1:00 P.M. (New York time) on such day, and
      request settlement in accordance with Section 11 such that upon such settlement
      each Lender's share of the outstanding Revolving Loans (including the amount
      of
      any Disproportionate Advance) equals its Pro Rata Revolving Share (or,
      if
      applicable, its Adjusted Pro Rata Revolving Share);
      or

     

    (B) notify
      each Lender by telecopy, electronic mail or other similar form of
      teletransmission of the proposed advance on the same day Agent is notified
      or
      deemed notified by Borrower of Borrower's request for an advance pursuant to
      this Section 1.1(a), in which event each Lender shall remit, to the demand
      deposit account designated by Borrower, at or prior to 3:00 P.M. New York time,
      on the date of notification, if such notification is made before 1:00 P.M.
      New
      York time, or 10:00 A.M. New York time, on the Business Day immediately
      succeeding the date of such notification, if such notification is made after
      1:00 P.M. New York time, immediately available funds in an amount equal to
      such
      Lender's Pro Rata Revolving Share (or,
      if
      applicable, such Lender's Adjusted Pro Rata Revolving Share) of
      the
      proposed advance.

     

    
      
        
        

      

      
        -2-

        
          

        

      

      
        
        

      

    

     

    If
      and to
      the extent that a Defaulting Lender does not settle with Agent as required
      under
      this Agreement, Borrower and the Defaulting Lender severally agree to repay
      to
      Agent forthwith, on demand, such amount required to be paid by such Defaulting
      Lender to Agent, together with interest thereon, for each day from the date
      such
      amount is made available to Borrower until the date such amount is repaid to
      Agent, (x) in the case of a Defaulting Lender, at the rate published by the
      Federal Reserve Bank of New York on the next succeeding Business Day as the
      "Federal Funds Rate" (or if no such rate is published for the applicable
      Business Day, at the average rate quoted for such day for such transactions
      from
      three (3) federal funds brokers of recognized standing selected by Agent) and
      (y) in the case of Borrower, at the interest rate applicable at such time
      for such Loans; provided,
      that
      Borrower's obligation to repay such advance to Agent shall not relieve such
      Defaulting Lender of its liability to Agent for failure to settle as provided
      in
      this Agreement.

     

    (b) Protective
      Advances.
      Subject
      to the limitations set forth in this Section 1.1(b), the Agent is hereby
      authorized by the Borrower and the Lenders, from time to time in the Agent's
      sole discretion, (A) after the occurrence of a Default or an Event of
      Default, or (B) at any time that any of the other applicable conditions
      precedent set forth in Section 3.2 or otherwise have not been satisfied
      (including without limitation the condition precedent that the aggregate
      principal amount of all outstanding Revolving Loans do not exceed Availability),
      to require the Lenders to make Revolving Loans to the Borrower, according to
      each such Lender's Pro Rata Revolving Share thereof, which such Revolving Loans
      the Agent, in its sole judgment, deems necessary or desirable (1) to
      preserve or protect the business conducted by any Credit Party, the Collateral,
      or any portion thereof, (2) to enhance the likelihood of, or maximize the
      amount of, repayment of the Loans and other Obligations, or (3) to pay any
      amount chargeable to the Borrower pursuant to the terms of this Agreement or
      any
      other Loan Document, including required principal payments on the Term Loans,
      interest costs, fees, expenses, costs and indemnification (any of the advances
      described in this Section 1.1(b) being hereafter referred to as
      "Protective
      Advances");
      provided,
      that
      (w) the Required Lenders may at any time revoke the Agent's authorization
      to so require such Lenders to make Protective Advances, any such revocation
      to
      be in writing and to become effective prospectively upon the Agent's receipt
      thereof, (y) the aggregate amount of Protective Advances outstanding at any
      time, exclusive of those made pursuant to the preceding clause (3), shall not
      exceed $2,000,000 and (z) the Agent shall be prohibited from so requiring
      such Lenders to make Protective Advances to the extent the making thereof would
      cause the aggregate principal amount of all outstanding Revolving Loans to
      exceed the aggregate Revolving Loan Commitments then in effect less the amount
      of any Reserves then in effect with respect to the Credit Accommodation Balance.
      If a Protective Advance is made, or permitted to remain outstanding, pursuant
      to
      this Section 1.1(b), then all Lenders shall be bound to make, or permit to
      remain outstanding, such Protective Advance based upon their Pro Rata Revolving
      Loan Shares thereof. Borrower shall repay the aggregate outstanding principal
      amount of Protective Advances upon demand therefore by the Agent.

     

    
      
        
        

      

      
        -3-

        
          

        

      

      
        
        

      

    

     

    (c) Term
      Loan A.
      Each
      Lender with a Term Loan A Commitment agrees (severally and not jointly) to
      make, on the date of this Agreement, an advance to Borrower computed with
      respect to the value of certain Eligible Equipment owned by Borrower on the
      date
      of this Agreement in an amount equal to its Pro Rata Term Loan A Share of
      the principal amount, if any, set forth in Section 2(a) of Schedule A.
      Each such advance made by a Lender is sometimes referred to herein as a
      "Term
      Loan A Advance"
      and
      collectively as "Term
      Loan A."
      Each
      Term Loan A Advance will be evidenced by a term note in the form attached
      hereto as Exhibit A. After Term Loan A has been made on the date hereof,
      the Term Loan A Commitment automatically shall be terminated. 

     

    (d) Term
      Loan B. Each
      Lender with a Term Loan B Commitment shall, at its option and in its sole
      discretion, (severally and not jointly) make, from time to time on or after
      the
      date of this agreement, upon the written request of Borrower (including by
      electronic mail); provided that no Default or Event of Default exists at such
      time and Agent has received all appraisals, documents and other matters as
      Agent
      shall, in its sole discretion require prior to such advance, advances to
      Borrower computed with respect to the value of certain Eligible Equipment,
      real
      property leases and other contract rights owned by Borrower on the date of
      this
      agreement in an amount equal to its Pro Rata Term Loan B Share of the
      principal amount of such advance up to the aggregate principal amount set forth
      in Section 2(a) of Schedule A. Each such advance made by a Lender is
      sometimes referred to herein as a "Term
      Loan B Advance"
      and
      collectively as "Term
      Loan B."
      Each
      Term Loan B Advance will be evidenced by a term note in the form attached
      hereto as Exhibit B. After Term Loan B has been advanced in full the
      Term Loan B Commitment shall be automatically terminated.

     

    1.2. Reserves. 

     

    Agent
      may
      from time to time establish and revise such reserves as Agent deems appropriate
      in its sole discretion ("Reserves")
      to
      reflect (i) events, conditions, contingencies or risks which affect or may
      affect (A) the Collateral or its value, or the security interests and other
      rights of Agent or the Lenders in the Collateral or (B) the assets,
      business or prospects of Borrower or any Obligor, (ii) Agent's good faith
      concern that any Collateral report or financial information furnished to Agent
      by or on behalf of Borrower or any Obligor is or may have been incomplete,
      inaccurate or misleading in any material respect, (iii) any fact or
      circumstance which Agent determines in good faith constitutes, or could
      constitute, a Default or Event of Default or (iv) any other events or
      circumstances which Agent determines in good faith make the establishment or
      revision of a Reserve prudent. Without limiting the foregoing, Agent shall
      (w) in the case of each Credit Accommodation issued for the purchase of
      Inventory (A) which meets the criteria for Eligible Inventory set forth in
      clauses (i), (ii), (iii), (v), (vi) and (vii) of the definition of Eligible
      Inventory, (B) which is or will be in transit to one of the locations in
      the continental United States set forth in Section 9 of Schedule A or
      at another location in the continental United States of which Agent has been
      notified as required by Section 6.8 (and which when arrives will constitute
      Eligible Inventory), (C) which is fully insured in a manner satisfactory to
      Agent and (D) with respect to which Agent is in possession of all bills of
      lading and all other documentation which Agent has requested, all in form and
      substance satisfactory to Agent in its sole discretion, establish a Reserve
      equal to the Credit Accommodation Inventory Reserve Percentage of the cost
      of
      such Inventory (plus all duties, freight, taxes, insurance, costs and other
      charges and expenses relating to such Credit Accommodation or such Eligible
      Inventory), (x) in the case of any other Credit Accommodation issued for
      any purpose, establish a Reserve equal to the full amount of such Credit
      Accommodation plus all costs and other charges and expenses relating to such
      Credit Accommodation and, (y) in the case of taxes with respect to fuel
      inventory and pipeline inventory, establish a Reserve equal to the full amount
      of such taxes plus all costs and other charges and expenses relating to such
      taxes. In addition, Agent shall establish a permanent Reserve in the amount
      set
      forth in Section 1(f) of Schedule A. In no event shall the
      establishment of a Reserve in respect of a particular actual or contingent
      liability obligate Agent or the Lenders to make advances to pay such liability
      or otherwise obligate Agent or the Lenders with respect thereto.

     

    
      
        
        

      

      
        -4-

        
          

        

      

      
        
        

      

    

     

    1.3. Other
      Provisions Applicable to Credit Accommodations. 

     

    Agent
      may, in its sole discretion and on terms and conditions acceptable to Agent,
      make Credit Accommodations available to Borrower either by issuing them, or
      by
      causing other financial institutions to issue them supported by the Agent's
      or
      the applicable Lender's guaranty or indemnification; provided,
      that
      after giving effect to each Credit Accommodation, the Credit Accommodation
      Balance will not exceed the Credit Accommodation Limit. Any amounts paid by
      Agent, Issuing Lender or the Lenders in respect of a Credit Accommodation shall
      be immediately payable by Borrower without notice, presentment or demand and
      Borrower and Borrower agrees that each payment made by Agent, Issuing Lender
      or
      the Lenders in respect of a Credit Accommodation shall constitute a request
      by
      Borrower for a Revolving Loan to reimburse such Person. In the event such
      Revolving Loan is not advanced by Agent or Lenders for any reason, such
      reimbursement obligations (whether owing to the Agent, Issuing Lender or
      Lenders) shall become part of the Obligations hereunder and shall bear interest
      at the rate then applicable to Revolving Loans until repaid. Immediately
      upon the issuance of a Credit Accommodation in accordance with this Agreement,
      each Lender shall be deemed to have irrevocably and unconditionally purchased
      and received from Agent, without recourse or warranty, an undivided interest
      and
      participation therein to the extent of such Lender's Pro Rata Revolving Share
      (including, without limitation, all obligations of Borrower with respect
      thereto). Borrower hereby indemnifies Agent and each Lender against any and
      all
      liability and expense it may incur in connection with any Credit Accommodation
      and agrees to reimburse Agent and each Lender for any payment made by Agent
      or
      any Lender to the issuer.

     

    1.4. Repayment. 

     

    (a) Accrued
      interest on all monetary Obligations shall be payable on the first day of each
      month. Principal of the Term Loans shall be repaid as set forth in
      Section 2(a)(ii) and 2(b)(ii) of Schedule A. If at any time any of the
      Loan Limits are exceeded, Borrower will immediately pay to Agent, on behalf
      of
      the Agent and/or the applicable Lenders, such amounts (or provide cash
      collateral to Agent with respect to the Credit Accommodation Balance in the
      manner set forth in Section 8.3) as shall cause Borrower to be in full
      compliance with all of the Loan Limits. 

     

    
      
        
        

      

      
        -5-

        
          

        

      

      
        
        

      

    

     

    (b) All
      unpaid monetary Obligations shall be payable in full on the Maturity Date (as
      defined in Section 8.1) or, if earlier, on the date of any early
      termination pursuant to Section 8.2. 

     

    1.5. Minimum
      Borrowing. 

     

    Subject
      to the terms and conditions of this Agreement, Borrower agrees to
      (i) borrow sufficient amounts to cause the outstanding principal balance of
      the Loans to equal or exceed, at all times prior to the Maturity Date, the
      Minimum Loan Amount and (ii) maintain Availability sufficient to enable
      Borrower to do so. However, the Agent and Lenders shall not be obligated to
      loan
      Borrower the Minimum Loan Amount other than in accordance with all of the terms
      and conditions of this Agreement.

     

    1.6. Borrowing
      Procedure/Credit Accommodation Procedure. 

     

    (a) A
      request
      for a Revolving Loan shall be made or shall be deemed to be made in the
      following manner: Borrower shall give Agent same day notice, no later than
      1:00
      P.M. New York time for such day, of its request for a Revolving Loan. As an
      accommodation to Borrower, Agent may permit telephone requests for Revolving
      Loans and electronic transmittal of instructions, authorizations, agreements
      or
      reports to Agent by Borrower. Unless Borrower specifically directs Agent in
      writing not to accept or act upon telephonic or electronic communications from
      Borrower, Agent shall have no liability to Borrower for any loss or damage
      suffered by Borrower as a result of Agent's honoring of any requests, execution
      of any instructions, authorizations or agreements or reliance on any reports
      communicated to it telephonically or electronically and purporting to have
      been
      sent to Agent by Borrower, and Agent shall have no duty to verify the origin
      of
      any such communication or the authority of the Person sending it. 

     

    (b) Borrower
      hereby irrevocably authorizes Agent and Lenders to disburse the proceeds of
      each
      Revolving Loan requested by Borrower, or deemed to be requested by Borrower,
      as
      follows: The proceeds of each Revolving Loan requested under Section 1.1(a)
      shall be disbursed by Agent, or Lenders, in lawful money of the United States
      of
      America in immediately available funds, in the case of the initial borrowing,
      in
      accordance with the terms of the written disbursement letter from Borrower
      to
      Agent, and in the case of each subsequent borrowing, by wire transfer or
      Automated Clearing House (ACH) transfer to such bank account as may be agreed
      upon by Borrower and Agent, or Borrower and the Lenders, as applicable, from
      time to time, or elsewhere if pursuant to a written direction from Borrower.
      

     

    (c) Borrower
      shall make requests to Agent for Credit Accommodations in writing at least
      three
      (3) Business Days prior to the date such Credit Accommodation is to be made
      available. Each such request shall specify the date such Credit Accommodation
      is
      to be made available, the amount thereof, the name and address of the
      beneficiary thereof and a description of the transaction to be supported
      thereby. Any such notice shall be accompanied by the form of letter of credit
      requested and any application or reimbursement agreement required by the issuer
      of such letter of credit. If any term of such application or reimbursement
      agreement is inconsistent with this Agreement, then the provisions of this
      Agreement shall control to the extent of such inconsistency.

     

    
      
        
        

      

      
        -6-

        
          

        

      

      
        
        

      

    

     

    
      	
              2.

            	
              INTEREST
                AND FEES.

            

    

     

    2.1. Interest.

     

    All
      Loans
      and other monetary Obligations shall bear interest at the Interest Rate(s)
      set
      forth in Section 3 of Schedule A ("Interest
      Rates"),
      except where expressly set forth to the contrary in this Agreement or another
      Loan Document; provided,
      that at
      any time an Event of Default exists, if requested by Agent or Required Lenders
      (or automatically during the existence of an Event of Default described in
      Section 9.1(vii) or (viii)), all Loans and other monetary Obligations shall
      bear
      interest at a rate per annum equal to two percentage points (2.00) in
      excess of the rate otherwise applicable thereto (the "Default
      Rate")
      until
      paid in full (notwithstanding the entry of any judgment against Borrower or
      the
      exercise of any other right or remedy by Agent or Lenders), and all such
      interest shall be payable on demand. Changes in the Interest Rate shall be
      effective as of the date of any change in the Prime Rate. Notwithstanding
      anything to the contrary contained in this Agreement, the aggregate of all
      amounts deemed to be interest hereunder and charged or collected by the Agent
      or
      the Lenders is not intended to exceed the highest rate permissible under any
      applicable law, but if it should, such interest shall automatically be reduced
      to the extent necessary to comply with applicable law and Agent and the Lenders,
      as applicable, will refund to Borrower any such excess interest received by
      Agent and the Lenders, as applicable.

     

    2.2. Fees
      and Warrants.

     

    Borrower
      shall pay to Agent, for itself or for the benefit of Lenders, as the case may
      be, the following fees, and issue to
      Greystone Business Credit II, L.L.C. the following warrants, which
      are
      in addition to all interest and other sums payable by Borrower to the Lenders
      and Agent under this Agreement, are to be shared among Lenders as agreed upon
      between Agent and each Lender in a separate agreement, and are not
      refundable:

     

    (a) Fee
      Letter.
      To
      Agent, for the account of Agent, each of the fees described in the Fee Letter,
      on the dates specified in the Fee Letter. 

     

    (b) Closing
      Fee.
      A
      closing fee (the "Closing
      Fee")
      in the
      amount set forth in Section 6(b) of Schedule A, which shall be deemed
      to be fully earned as of, and payable on, the date hereof.

     

    (c) Facility
      Fees.
      A
      facility fee for the Initial Term (the "Initial
      Term Facility Fee")
      in the
      amount set forth in Section 6(c)(i) of Schedule A (which shall be
      fully earned as of the date of this Agreement and shall be payable in equal
      installments due, respectively, on the date hereof and on each anniversary
      of
      the date of this Agreement during the Initial Term, other than the Maturity
      Date), and a facility fee for each Renewal Term (the "Renewal
      Term Facility Fee")
      in the
      amount set forth in Section 6(c)(ii) of Schedule A (which shall be
      fully earned as of the first day of such Renewal Term and shall be payable
      in
      equal installments due, respectively, on the first day of such Renewal Term
      and
      on each anniversary thereof during such Renewal Term, other than the Maturity
      Date).

     

    
      
        
        

      

      
        -7-

        
          

        

      

      
        
        

      

    

     

    (d) Servicing
      Fee.
      A
      monthly servicing fee (the "Servicing
      Fee")
      in the
      amount set forth in Section 6(d) of Schedule A, in consideration of
      Agent's administration and other services pursuant to this Agreement for each
      month (or part thereof), which shall be fully earned as of, and payable in
      advance on, the date of this Agreement and on the first day of each month
      thereafter so long as any of the Obligations are outstanding.

     

    (e) Minimum
      Borrowing Fee.
      A
      minimum borrowing fee (the "Minimum
      Borrowing Fee")
      equal
      to the excess, if any, of (i) interest which would have been payable in
      respect of each period set forth in Section 6(e)(i) of Schedule A if,
      at all times during such period, the principal balance of the Loans were equal
      to the Minimum Loan Amount set forth in Section 6(e)(ii) over
      (ii) the actual interest payable in respect of such period, which fee shall
      be fully earned as of the last day of such period and payable on the date set
      forth in Section 6(e)(iii) of Schedule A and on the Maturity Date,
      commencing with the immediately following period.

     

    (f) Credit
      Accommodation Fees.
      The fees
      relating to Credit Accommodations (or guaranties thereof by the Lenders) in
      the
      amount(s) set forth in Section 6(g) of Schedule A (the "Credit
      Accommodation Fees"),
      payable, in arrears, on the first day of each month so long as any of the
      Obligations are outstanding and on the Maturity Date, plus all costs and fees
      charged by the issuer, payable as and when such costs and fees are charged.
      

     

    (g) Warrants.
      Warrants to acquire the capital stock of Borrower (the "Warrants"),
      as
      summarized in Section 6(f) of Schedule A and as more fully set forth
      in a separate warrant agreement executed by Borrower contemporaneously with
      this
      Agreement.

     

    2.3. Computation
      of Interest and Fees. 

     

    (a) All
      interest and fees shall be calculated daily on the closing balances in the
      Loan
      Account based on the actual number of days elapsed in a year of 360 days. For
      purposes of calculating interest and fees, if the outstanding daily principal
      balance of the Revolving Loans is a credit balance, such balance shall be deemed
      to be zero.

     

    (b) If
      Agent
      or any Lender shall have determined that the adoption of any law, rule or
      regulation regarding capital adequacy, or any change therein or in the
      interpretation or application thereof, or compliance by Agent or such Lender
      with any request or directive regarding capital adequacy (whether or not having
      the force of law) from any central bank or governmental authority enacted after
      the date hereof, does or shall have the effect of reducing the rate of return
      on
      such party's capital as a consequence of its obligations hereunder to a level
      below that which Agent or such Lender could have achieved but for such adoption,
      change or compliance (taking into consideration such party's policies with
      respect to capital adequacy), then from time to time, after submission by Agent
      or such Lender, as applicable, to Borrower of a written demand therefor
      ("Capital
      Adequacy Demand")
      together with the certificate described below, Borrower shall pay to such party
      such additional amount or amounts ("Capital
      Adequacy Charge")
      as
      will compensate such party for such reduction, such Capital Adequacy Demand
      to
      be made with reasonable promptness following such determination. A certificate
      of Agent or such Lender claiming entitlement to payment as set forth above
      shall
      be conclusive in the absence of manifest error. Such certificate shall set
      forth
      the nature of the occurrence giving rise to such reduction, the amount of the
      Capital Adequacy Charge to be paid to Agent or such Lender, and the method
      by
      which such amount was determined. In determining such amount, the applicable
      party may use any reasonable averaging and attribution method, applied on a
      non-discriminatory basis.

     

    
      
        
        

      

      
        -8-

        
          

        

      

      
        
        

      

    

     

    2.4. Loan
      Account; Monthly Accountings. 

     

    Agent
      shall maintain a loan account for Borrower reflecting all advances, charges,
      expenses and payments made pursuant to this Agreement (the "Loan
      Account"),
      and
      shall provide Borrower with a monthly accounting reflecting the activity in
      the
      Loan Account. Each accounting shall be deemed correct, accurate and binding
      on
      Borrower and an account stated (except for reverses and reapplications of
      payments made and corrections of errors discovered by any Lender or Agent),
      unless Borrower notifies Agent in writing to the contrary within 30 days after
      such account is rendered, describing the nature of any alleged errors or
      omissions. However, Agent's failure to maintain the Loan Account or to provide
      any such accounting shall not affect the legality or binding nature of any
      of
      the Obligations. Principal, interest, fees and other monetary Obligations due
      and owing under this Agreement (including fees and other amounts paid to issuers
      of Credit Accommodations) may, in Agent's sole discretion, be charged to the
      Loan Account, and will thereafter be deemed to be Revolving Loans (and be deemed
      to have been requested by Borrower) and will bear interest at the same rate
      as
      other Revolving Loans.

     

    
      	
              3.

            	
              CONDITIONS.

            

    

     

    3.1. Conditions
      Precedent to the Initial Extension of Credit. 

     

    The
      obligation of the Lenders to make the initial Loans, or make available the
      initial Credit Accommodations, whichever occurs first, is subject to the
      fulfillment (or waiver), to the satisfaction of Agent and each Lender, of each
      of the conditions precedent set forth on Schedule 3.1 (the making of such
      initial extension of credit by a Lender being conclusively deemed to be its
      satisfaction or waiver of the conditions precedent).

     

    3.2. Conditions
      Precedent to all Extensions of Credit. 

     

    The
      obligation of each Lender to make any Loans, or make available any Credit
      Accommodations, hereunder at any time shall be subject to the following
      conditions precedent: (i) the representations and warranties contained in this
      Agreement or in the other Loan Documents shall be true and correct in all
      material respects on and as of the date of such extension of credit, as though
      made on and as of such date (except to the extent that such representations
      and
      warranties relate solely to an earlier date, in which case such representations
      and warranties shall have been true and correct in all material respects as
      of
      such earlier date); (ii) no Default or Event of Default shall have occurred
      and
      be continuing on the date of such extension of credit, nor shall either result
      from the making of such extension of credit; (iii) no injunction, writ,
      restraining order, or other order of any nature restricting or prohibiting,
      directly or indirectly, the extending of such credit shall have been issued
      and
      remain in force against any Credit Party, Agent, any Lender, or any of their
      Affiliates; and (iv) no material adverse change shall have occurred and be
      continuing since the Closing Date. 

     

    
      
        
        

      

      
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              4.

            	
              SECURITY
                INTEREST.

            

    

     

    4.1. Grant
      of Security Interest. 

     

    To
      secure
      the full payment and performance of all of the Obligations, Borrower hereby
      assigns and grants to Agent, for the benefit of Agent and the Lenders, a
      continuing security interest in the all of the property of Borrower, whether
      tangible or intangible, whether now or hereafter owned, existing, acquired
      or
      arising and wherever now or hereafter located, and whether or not eligible
      for
      lending purposes, including all of the following property of Borrower:
      (i) all Accounts (whether or not Eligible Accounts) and all Goods whose
      sale, lease or other disposition by Borrower has given rise to Accounts and
      have
      been returned to, or repossessed or stopped in transit by, Borrower;
      (ii) all Chattel Paper, Instruments, Documents and General Intangibles
      (including all patents, patent applications, trademarks, trademark applications,
      trade names, trade secrets, goodwill, copyrights, copyright applications,
      registrations, licenses, software, franchises, customer lists, tax refund
      claims, claims against carriers and shippers, guarantee claims, contracts
      rights, payment intangibles, security interests, security deposits and rights
      to
      indemnification); (iii) all Inventory (whether or not Eligible Inventory);
      (iv) all Goods (other than Inventory), including Equipment, vehicles and
      Fixtures; (v) all Investment Property; (vi) all Deposit Accounts, bank
      accounts, deposits and cash; (vii) all Letter-of-Credit Rights;
      (viii) all Commercial Tort Claims listed in Schedule 6.7;
      (ix) all Supporting Obligations; (x) any other property of Borrower
      now or hereafter in the possession, custody or control of Lender or Agent or
      any
      parent, Affiliate or Subsidiary of Agent or Lender or any participant with
      any
      Lender in the Loans, for any purpose (whether for safekeeping, deposit,
      collection, custody, pledge, transmission or otherwise) and (xi) all
      additions and accessions to, substitutions for, and replacements, products
      and
      Proceeds of the foregoing property, including proceeds of all insurance policies
      insuring the foregoing property, and all of Borrower's books and records
      relating to any of the foregoing and to Borrower's business.

     

    4.2. Possessory
      Collateral. 

     

    Immediately
      upon Borrower's receipt of any portion of the Collateral evidenced by an
      agreement, Instrument or Document, including any Tangible Chattel Paper and
      any
      Investment Property consisting of certificated securities, Borrower shall
      deliver the original thereof to Agent together with an appropriate endorsement
      or other specific evidence of assignment thereof to Agent, for the benefit
      of
      Agent and the Lenders (in form and substance acceptable to Agent). If an
      endorsement or assignment of any such items shall not be made for any reason,
      Agent is hereby irrevocably authorized, as Borrower's attorney and
      agent-in-fact, to endorse or assign the same on Borrower's behalf.

     

    
      
        
        

      

      
        -10-

        
          

        

      

      
        
        

      

    

     

    4.3. Preservation
      of Collateral and Perfection of Security Interest. 

     

    Borrower
      shall, at the request of Agent, at any time and from time to time, authenticate,
      execute and deliver to Agent such financing statements, documents and other
      agreements and instruments (and pay the cost of filing or recording the same
      in
      all public offices deemed necessary or desirable by Agent) and do such other
      acts and things or cause third parties to do such other acts and things as
      Agent
      may deem necessary or desirable in its sole discretion in order to establish
      and
      maintain a valid, attached and perfected security interest in the Collateral
      in
      favor of Agent and the Lenders (free and clear of all other Liens, claims,
      encumbrances and rights of third parties whatsoever, whether voluntarily or
      involuntarily created, except Permitted Liens) to secure payment of the
      Obligations and to facilitate the collection of the Collateral. Borrower
      authorizes Agent to file, transmit, or communicate, as applicable, financing
      statements and amendments describing the Collateral as "all personal property
      of
      debtor" or "all assets of debtor" or words of similar effect, in order to
      perfect Agent's Liens in the Collateral without Borrower's signature. Borrower
      also hereby ratifies its authorization for Agent to have filed in any
      jurisdiction any financing statements filed prior to the date
      hereof.

     

    
      	
              5.

            	
              ADMINISTRATION.

            

    

     

    5.1. Lock
      Boxes and Blocked Accounts. 

     

    Borrower
      will, at its expense, establish (and revise from time to time as Agent may
      require) procedures acceptable to Agent, in Agent's sole discretion, for the
      collection of checks, wire transfers and other proceeds of Accounts
      ("Account
      Proceeds"),
      which
      may include (i) directing all Account Debtors to send all such proceeds
      directly to a post office box designated by Agent either in the name of Borrower
      (but as to which Agent has exclusive access) or, at Agent's option, in the
      name
      of Agent (a "Lock
      Box"),
      (ii) depositing all Account Proceeds received by Borrower into one or more
      bank accounts maintained in Agent's name (each, a "Blocked
      Account"), under
      an
      arrangement acceptable to Agent with a depository bank acceptable to Agent,
      pursuant to which all funds deposited into each Blocked Account are to be
      transferred to Agent in such manner, and with such frequency, as Agent shall
      specify, (iii) the deposit of collections from service stations into local
      bank accounts which are swept daily to a concentration account that is a Blocked
      Account or (iv) a combination of the foregoing. Borrower agrees to execute,
      and to cause its depository banks to execute, such Lock Box and Blocked Account
      agreements and other documentation as Agent shall require from time to time
      in
      connection with the foregoing.

     

    5.2. Remittance
      of Proceeds. 

     

    Except
      as
      provided in Section 5.1, all Proceeds arising from the sale or other
      disposition of any Collateral shall be delivered, in kind, by Borrower to Agent
      in the original form in which received by Borrower not later than the following
      Business Day after receipt by Borrower. Until so delivered to Agent, Borrower
      shall hold such Proceeds separate and apart from Borrower's other funds and
      property in an express trust for Agent and the Lenders. Nothing in this
      Section 5.2 shall limit the restrictions on disposition of Collateral set
      forth elsewhere in this Agreement.

     

    
      
        
        

      

      
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    5.3. Application
      of Payments. 

     

    (a) Subject
      to clause (b) of this Section 5.3, Agent may, in its sole discretion, apply,
      reverse and re-apply all cash and non-cash Proceeds of Collateral or other
      payments received with respect to the Obligations, in such order and manner
      as
      Agent shall determine, whether or not the Obligations are due, and whether
      before or after the occurrence of a Default or an Event of Default; provided,
      that
      Agent intends to apply (but shall not be obligated to apply) all payments of
      Revolving Loans to Protective Advances until all Protective Advances are paid
      in
      full prior to applying any such payments to other Revolving Loans; provided,
      further
      that, without the consent of the Lenders, no payments shall be applied to the
      principal balance of the Term Loans, other than regularly scheduled payments
      described in Sections 2(a)(ii) and 2(b)(ii) of Schedule A, until all
      Revolving Loans have been paid in full. For purposes of determining
      Availability, such amounts will be credited to the Loan Account and the
      Collateral balances to which they relate upon Agent's receipt of an advice
      from
      the Agent's Bank that such items have been credited to the Agent's account
      at
      the Agent's Bank (or upon Agent's deposit thereof at the Agent's Bank in the
      case of payments received by Agent in kind), in each case subject to final
      payment and collection. However, for purposes of computing interest on the
      Obligations, such items shall be deemed applied by the Agent two (2) Business
      Days after Agent's receipt of advice of deposit thereof at the Agent's
      Bank. 

     

    (b) If
      a
      Waterfall Event shall have occurred and be continuing, notwithstanding anything
      herein or in any other Loan Document to the contrary, Agent shall apply all
      cash
      and non-cash Proceeds of Collateral or other payments received with respect
      to
      the Obligations, in each case as received by Agent, to the payment of the
      Obligations in the following order:

     

    (i) FIRST,
      to
      the payment of all fees, costs, expenses and indemnities due and owing to Agent
      under this Agreement or any other Loan Document, and any other Obligations
      owing
      to Agent in respect of Protective Advances or in respect of sums otherwise
      advanced by Agent to preserve or protect the Collateral or to preserve or
      protect Agent's Lien in the Collateral (whether or not such Obligations are
      then
      due and owing to Agent), until paid in full;

     

    (ii) SECOND,
      to the payment of all fees, costs, expenses and indemnities due and owing to
      Lenders in respect of the Loans and Commitments, to be shared among the Lender's
      as agreed upon between Agent and each Lender in a separate agreement, until
      paid
      in full;

     

    (iii) THIRD,
      to
      the payment of all accrued and unpaid interest due and owing to Lenders in
      respect of the Loans, to be shared among the Lender's as agreed upon between
      Agent and each Lender in a separate agreement, until paid in full;

     

    (iv) FOURTH,
      to the payment of all principal of the Loans then due and owing and to cash
      collateralize the Credit Accommodation Balance in the manner described in
      Section 8.3, pro rata based on each Lender's Pro Rata Revolving Share thereof,
      until paid in full; and

     

    
      
        
        

      

      
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    (v) FIFTH,
      to
      the payment of all other Obligations owing to Agent and each Lender, pro rata
      based on Agent's and each Lender's Pro Rata Share thereof, until paid in
      full.

     

    5.4. Notification;
      Verification. 

     

    Agent
      or
      its designee may, from time to time, whether or not a Default or Event of
      Default has occurred: (i) verify directly with the Account Debtors the
      validity, amount and other matters relating to the Accounts and Chattel Paper,
      by means of mail, telephone or otherwise, either in the name of Borrower or
      Agent or such other name as Agent may choose; (ii) notify Account Debtors
      that Agent and Lenders have a security interest in the Accounts and that payment
      thereof is to be made directly to Agent on behalf of Agent and the
      Lenders.

     

    5.5. Power
      of Attorney. 

     

    Borrower
      hereby grants to Agent, on behalf of the Agent and the Lenders, an irrevocable
      power of attorney, coupled with an interest, authorizing and permitting Agent
      (acting through any of its officers, employees, attorneys or agents), at
      any time (whether or not a Default or Event of Default has occurred and is
      continuing, except as expressly provided below), at Agent's option, but without
      obligation, with or without notice to Borrower, and at Borrower's expense,
      to do
      any or all of the following, in Borrower's name or otherwise: (i) execute
      on behalf of Borrower any documents that Agent may, in its sole discretion,
      deem
      advisable in order to perfect and maintain Agent's Liens in the Collateral,
      to
      exercise a right of Borrower, Agent or any Lender, or to fully consummate all
      the transactions contemplated by this Agreement and the other Loan Documents
      (including such financing statements and continuation financing statements,
      and
      amendments thereto, as Agent shall deem necessary or appropriate) and to file
      as
      a financing statement any copy of this Agreement or any financing statement
      signed by Borrower; (ii) execute on behalf of Borrower any document
      exercising, transferring or assigning any option to purchase, sell or otherwise
      dispose of or lease (as lessor or lessee) any real or personal property which
      is
      part of the Collateral or in which Agent or Lender has an interest;
      (iii) execute on behalf of Borrower any invoices relating to any Accounts,
      any draft against any Account Debtor, any proof of claim in bankruptcy, any
      notice of Lien or claim, and any assignment or satisfaction of mechanic's,
      materialman's or other Lien; (iv) execute on behalf of Borrower any notice
      to any Account Debtor; (v) receive and otherwise take control in any manner
      of any cash or non-cash items of payment or Proceeds of Collateral;
      (vi) endorse Borrower's name on all checks and other forms of remittances
      received by Agent or Lender; (vii) pay, contest or settle any Lien, charge,
      encumbrance, security interest and adverse claim in or to any of the Collateral,
      or any judgment based thereon, or otherwise take any action to terminate or
      discharge the same; (viii) after the occurrence of a Default or Event of
      Default, grant extensions of time to pay, compromise claims relating to, and
      settle Accounts, Chattel Paper and General Intangibles for less than face value
      and execute all releases and other documents in connection therewith;
      (ix) pay any sums required on account of Borrower's taxes or to secure the
      release of any Liens therefor; (x) pay any amounts necessary to obtain, or
      maintain in effect, any of the insurance described in Section 6.14;
      (xi) settle and adjust, and give releases of, any insurance claim that
      relates to any of the Collateral and obtain payment therefor;
      (xii) instruct any third party having custody or control of any Collateral
      or books or records belonging to, or relating to, Borrower to give Agent and
      the
      Lenders the same rights of access and other rights with respect thereto as
      Agent
      and the Lenders have under this Agreement; (xiii) after the occurrence of a
      Default or Event of Default, change the address for delivery of Borrower's
      mail
      and receive and open all mail addressed to Borrower; and (xiv) endorse or
      assign to Agent or the Lenders on Borrower's behalf any portion of Collateral
      evidenced by an agreement, Instrument or Document if an endorsement or
      assignment of any such items is not made by Borrower pursuant to
      Section 4.2. Any and all sums paid, and any and all costs, expenses,
      liabilities, obligations and reasonable attorneys' fees incurred, by Agent
      or
      the Lenders with respect to the foregoing shall be added to and become part
      of
      the Obligations, shall be payable on demand, and shall bear interest at a rate
      equal to the highest interest rate applicable to any of the Obligations.
      Borrower agrees that Agent's rights under the foregoing power of attorney or
      any
      of Agent's or the Lenders' other rights under this Agreement or the other Loan
      Documents shall not be construed to indicate that Agent or the Lenders are
      in
      control of the business, management or properties of Borrower. 

     

    
      
        
        

      

      
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    5.6. Disputes. 

     

    Borrower
      shall promptly notify Agent of all disputes or claims relating to Accounts
      and
      Chattel Paper. Borrower will not, without Agent's prior written consent,
      compromise or settle any Account or Chattel Paper for less than the full amount
      thereof, grant any extension of time of payment of any Account or Chattel Paper,
      release (in whole or in part) any Account Debtor or other person liable for
      the
      payment of any Account or Chattel Paper or grant any credits, discounts,
      allowances, deductions, return authorizations or the like with respect to any
      Account or Chattel Paper; except that prior to the occurrence of an Event of
      Default, Borrower may take any of such actions in the ordinary course of its
      business, provided that Borrower promptly reports the same to
      Agent.

     

    5.7. Invoices. 

     

    At
      Agent's request, Borrower will cause all invoices and statements which it sends
      to Account Debtors or other third parties to be marked, in a manner satisfactory
      to Agent, to reflect the Agent's and Lenders' security interest
      therein.

     

    5.8. Inventory.

     

    (a) Returns.
      Provided
      that no Event of Default has occurred and is continuing, if any Account Debtor
      returns any Inventory to Borrower in the ordinary course of its business,
      Borrower will promptly determine the reason for such return and promptly issue
      a
      credit memorandum to the Account Debtor in the appropriate amount (sending
      a
      copy to Agent). After the occurrence of an Event of Default, Borrower will
      not
      accept any return without Agent's prior written consent. Upon Agent's demand,
      regardless of whether an Event of Default has occurred, Borrower will
      (i) hold the returned Inventory in trust for the Agent and the Lenders;
      (ii) segregate all returned Inventory from all of Borrower's other
      property; (iii) conspicuously label the returned Inventory as the Agent's
      and the Lenders' property; and (iv) immediately notify Agent of the return
      of such Inventory, specifying the reason for such return, the location and
      the
      condition of the returned Inventory and, at Agent's request, deliver such
      returned Inventory to Agent at an address specified by Agent. 

     

    
      
        
        

      

      
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    (b) Other
      Covenants.
      Borrower
      will not, without Agent's prior written consent, (i) store any Inventory
      with any warehouseman or other third party other than as set forth in Schedule
      6.8 or (ii) sell any Inventory on a sale-or-return, guaranteed sale, or
      other contingent basis other than as set forth on Schedule 6.8. Borrower
      warrants and represents that all of the Inventory has been produced only in
      accordance with the Fair Labor Standards Act of 1938 and all rules, regulations
      and orders promulgated thereunder.

     

    5.9. Access
      to Collateral, Books and Records. 

     

    At
      reasonable times, and on one Business Day's notice prior to the occurrence
      of a
      Default or an Event of Default and at any time and with or without notice after
      the occurrence of a Default or an Event of Default, Agent or its respective
      agents shall have the right to inspect the Collateral, and the right to examine
      and copy each Credit Party's books and records. Agent shall take reasonable
      steps to keep confidential, to the extent required by and in the manner provided
      by Section 12.10, all information obtained in any such inspection or
      examination. Borrower shall, and shall cause each of the other Credit Parties
      to, give Agent access to any or all of each Credit Party's premises to enable
      Agent to conduct such inspections and examinations. Such inspections and
      examinations shall be at Borrower's expense and the charge therefor shall be
      $850 per person per day (or such higher amount as shall represent Agent's then
      current standard charge), plus reasonable out-of-pocket expenses. Agent may,
      at
      Borrower's expense, use each Credit Party's personnel, computer and other
      equipment, programs, printed output and computer readable media, supplies and
      premises for the collection, sale or other disposition of Collateral to the
      extent Agent, in its sole discretion, deems appropriate. Borrower hereby
      irrevocably authorizes all accountants and third parties to disclose and deliver
      to Agent, at Borrower's expense, all financial information, books and records,
      work papers, management reports and other information in their possession
      regarding Borrower. Borrower will not enter into any agreement with any
      accounting firm, service bureau or third party to store Borrower's books or
      records at any location other than Borrower's Address without first obtaining
      Agent's written consent (which consent may be conditioned upon such accounting
      firm, service bureau or other third party agreeing to give Agent the same rights
      with respect to access to books and records and related rights as Agent has
      under this Agreement).

     

    
      	
              6.

            	
              REPRESENTATIONS,
                WARRANTIES AND COVENANTS.

            

    

     

    To
      induce
      Agent and the Lenders to enter into this Agreement, Borrower represents,
      warrants and covenants as follows (it being understood that (i) each such
      representation and warranty will be deemed remade as of the date on which each
      Loan is made and each Credit Accommodation is provided and shall not be affected
      by any knowledge of, or any investigation by, Agent or any Lender, and
      (ii) the accuracy of each such representation, warranty and covenant will
      be a condition to each Loan and Credit Accommodation):

     

    6.1. Existence
      and Authority. 

     

    Borrower
      is duly organized, validly existing and in good standing under the laws of
      the
      State of Tennessee and each of the other Credit Parties is duly organized,
      validly existing and in good standing under the laws of its jurisdiction of
      organization. Each Credit Party is qualified and licensed to do business in
      all
      jurisdictions in which any failure to do so would have a material adverse effect
      on such Credit Party. The execution, delivery and performance by Borrower of
      this Agreement and by each of the Credit Parties of the other Loan Documents
      have been duly and validly authorized, do not violate any Credit Party's
      articles or certificate of incorporation or formation, by-laws or other
      organizational documents, or any law or any agreement or instrument or any
      court
      order which is binding upon any Credit Party or the property of any Credit
      Party, do not constitute grounds for acceleration of any indebtedness or
      obligation under any agreement or instrument which is binding upon any Credit
      Party or its property, and do not require the consent of any Person. This
      Agreement and such other Loan Documents have been duly executed and delivered
      by, and are enforceable against, each Credit Party that has signed them, in
      accordance with their respective terms. Schedule 6.1 sets forth the
      ownership of each Credit Party and the names and ownership of each Credit
      Party's Subsidiaries as of the date of this Agreement.

     

    
      
        
        

      

      
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    6.2. Name;
      Trade Names and Styles. 

     

    The
      name
      of Borrower set forth in the heading to this Agreement is its correct and
      complete legal name as of the date hereof. Listed in Schedule 6.2 are all
      prior names of Borrower and all of Borrower's present and prior trade names,
      including any name that it has used in any of its Federal tax returns or
      correspondence pertaining thereto. Borrower shall give Agent at least thirty
      days' prior written notice before changing its name or doing business under
      any
      other name and shall not use any name, other than its correct and complete
      legal
      name, on any of its Federal tax returns or related correspondence. Borrower
      has
      complied with all laws relating to the conduct of business under a fictitious
      business name. Borrower represents and warrants that (i) each trade name
      does not refer to another corporation or other legal entity; and (ii) all
      Accounts invoiced under any such trade names are owned exclusively by Borrower
      and are subject to Agent's Liens and the other terms of this
      Agreement.

     

    6.3. Title
      to Collateral; Permitted Liens. 

     

    Borrower
      has good and marketable title to the Collateral. The Collateral now is and
      will
      remain free and clear of any and all Liens, charges, security interests,
      encumbrances and adverse claims, except for Permitted Liens. Agent and the
      Lenders now have, and will continue to have, a first-priority perfected and
      enforceable security interest in all of the Collateral, subject only to the
      Permitted Liens, and Borrower will at all times defend Agent and the Lenders
      and
      the Collateral against all claims of others. None of the Collateral which is
      Equipment is or will be affixed to any real property in such a manner, or with
      such intent, as to become a Fixture. Except for leases or subleases as to which
      Borrower has delivered to Agent a landlord's waiver in form and substance
      satisfactory to Agent or with respect to which Agent has, in its sole
      discretion, maintained such Reserves as Agent deems appropriate, Borrower is
      not
      a lessee or sublessee under any real property lease or sublease pursuant to
      which the lessor or sublessor may obtain any rights in any of the Collateral,
      and no such lease or sublease now prohibits, restrains, impairs or conditions,
      or will prohibit, restrain, impair or condition, Borrower's right to remove
      any
      Collateral from the premises. Except for warehouses as to which Borrower has
      delivered to Agent a warehouseman's waiver in form and substance satisfactory
      to
      Agent, Borrower is not a bailor of any Goods at any warehouse under an
      arrangement pursuant to which the warehouseman may obtain any rights in any
      of
      the Collateral. Prior to causing or permitting any Collateral to be located
      upon
      premises in which any third party has an interest (whether as owner, mortgagee,
      beneficiary under a deed of trust, lienholder or otherwise), Borrower shall,
      whenever requested by Agent, cause each such third party to execute and deliver
      to Agent, in form and substance acceptable to Agent, such waivers and
      subordinations as Agent shall specify, so as to ensure that Agent's and the
      Lenders' rights in the Collateral are, and will continue to be, superior to
      the
      rights of any such third party. Borrower will keep in full force and effect,
      and
      will comply with all the terms of, any lease of real property where any of
      the
      Collateral now or in the future may be located.

     

    
      
        
        

      

      
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    6.4. Accounts
      and Chattel Paper. 

     

    As
      of
      each date reported by Borrower, all Accounts which Borrower has reported to
      Agent as being Eligible Accounts comply in all respects with the criteria for
      eligibility established by Agent and in effect at such time. All Accounts and
      Chattel Paper are genuine and in all respects what they purport to be, arise
      out
      of a completed, bona fide and unconditional and non-contingent sale and delivery
      of goods or rendition of services by Borrower in the ordinary course of its
      business and in accordance with the terms and conditions of all purchase orders,
      contracts or other documents relating thereto, each Account Debtor thereunder
      had the capacity to contract at the time any contract or other document giving
      rise to such Accounts and Chattel Paper were executed, and the transactions
      giving rise to such Accounts and Chattel Paper comply with all applicable laws
      and governmental rules and regulations. 

     

    6.5. Electronic
      Chattel Paper. 

     

    To
      the
      extent that Borrower obtains or maintains any Electronic Chattel Paper, Borrower
      shall create, store and assign the record or records comprising the Electronic
      Chattel Paper in such a manner that (i) a single authoritative copy of the
      record or records exists which is unique, identifiable and except as otherwise
      provided below, unalterable, (ii) the authoritative copy identifies Agent
      as the assignee of the record or records, (iii) the authoritative copy is
      communicated to and maintained by Agent or its designated custodian,
      (iv) copies or revisions that add or change an identified assignee of the
      authoritative copy can only be made with the participation of Agent,
      (v) each copy of the authoritative copy and any copy of a copy is readily
      identifiable as a copy that is not the authoritative copy and (vi) any
      revision of the authoritative copy is readily identifiable as an authorized
      or
      unauthorized revision.

     

    
      
        
        

      

      
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    6.6. Investment
      Property. 

     

    Borrower
      will take any and all actions required or requested by Agent, from time to
      time,
      to (i) cause Agent, for the benefit of Agent and the Lenders, to obtain
      exclusive control of any Investment Property in a manner acceptable to Agent
      and
      (ii) obtain from any issuers of Investment Property and such other Persons
      as Agent shall specify, for the benefit of Agent and the Lenders, written
      confirmation of Agent's exclusive control over such Investment Property and
      take
      such other actions as Agent may request to perfect Agent's Liens in such
      Investment Property. For purposes of this Section 6.6, Agent shall have
      exclusive control of Investment Property if (A) pursuant to
      Section 4.2, such Investment Property consists of certificated securities
      and Borrower delivers such certificated securities to Agent (with appropriate
      endorsements if such certificated securities are in registered form);
      (B) such Investment Property consists of uncertificated securities and
      either (x) Borrower delivers such uncertificated securities to Agent, on
      behalf of the Lenders, or (y) the issuer thereof agrees, pursuant to
      documentation in form and substance satisfactory to Agent, that it will comply
      with instructions originated by Agent without further consent by Borrower,
      and
      (C) such Investment Property consists of security entitlements and either
      (x) Agent becomes the entitlement holder thereof or (y) the
      appropriate securities intermediary agrees, pursuant to documentation
      in form and substance satisfactory to Agent, that it will comply with
      entitlement orders originated by Agent without further consent by
      Borrower. 

     

    6.7. Commercial
      Tort Claims. 

     

    Borrower
      has no Commercial Tort Claims pending other than those listed in
      Schedule 6.7, and Borrower
      shall promptly notify Lender in writing upon incurring or otherwise obtaining
      a
      Commercial Tort Claim after the date hereof against any third party. Such notice
      shall constitute Borrower's authorization to amend such Schedule 6.7 to add
      such
      Commercial Tort Claim.

     

    6.8. State
      of Organization; Location of Collateral. 

     

    Borrower's
      Address is Borrower's chief executive office and the location of its books
      and
      records. In addition, except as provided in the immediately following sentence,
      Borrower has places of business and Collateral located only at the locations
      set
      forth on Schedule 6.8. Borrower will give Agent at least thirty days' prior
      written notice (along with an update to Schedule 6.8 to reflect the same) before
      changing Borrower's state of organization, opening any additional place of
      business, changing its chief executive office or the location of its books
      and
      records, or moving any of the Collateral to a location other than Borrower's
      Address or one of the locations set forth in Schedule 6.8, and will execute
      and deliver all financing statements and other agreements, instruments and
      documents which Agent shall require as a result thereof. 

     

    6.9. Financial
      Condition, Statements and Reports. 

     

    All
      financial statements delivered to Agent or any Lender by or on behalf of any
      Credit Party have been prepared in conformity with GAAP and completely and
      fairly reflect the financial condition of the Credit Parties, at the times
      and
      for the periods therein stated. Between the last date covered by any such
      financial statement provided to Agent and the date hereof (or, with respect
      to
      the remaking of this representation in connection with the making of any Loan
      or
      the providing of any Credit Accommodation, the date such Loan is made or such
      Credit Accommodation is provided) there has been no material adverse change
      in
      the financial condition or business of any Credit Party. Each Credit Party
      is
      solvent and able to pay its debts as they come due, and has sufficient capital
      to carry on its business as now conducted and as proposed to be conducted.
      All
      schedules, reports and other information and documentation delivered by or
      on
      behalf of any Credit Party to Agent or any Lender with respect to the Collateral
      are, or when delivered will be, true, correct and complete as of the date
      delivered or the date specified therein; provided, that with respect to
      locations resulting from new third party dealer supply contracts, such
      information shall be reported to Agent within thirty days' after the execution
      of such contracts.

     

    
      
        
        

      

      
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    6.10. Tax
      Returns and Payments; Pension Contributions. 

     

    Each
      Credit Party has timely filed all tax returns and reports required by applicable
      law, has timely paid all applicable taxes, assessments, deposits and
      contributions owing by each Credit Party and will timely pay all such items
      in
      the future as they became due and payable. The Credit Parties may, however,
      defer payment of any contested taxes; provided,
      that the
      Credit Parties (i) in good faith contest their obligations to pay such
      taxes by appropriate proceedings promptly and diligently instituted and
      conducted; (ii) Borrower notifies Agent in writing of the commencement of,
      and any material development in, the proceedings; (iii) post bonds or take
      any other steps required to keep the contested taxes from becoming a Lien upon
      any of the Collateral and (iv) maintain adequate reserves therefor in
      conformity with GAAP. Borrower is unaware of any claims or adjustments proposed
      for any of any Credit Party's prior tax years that could result in additional
      taxes becoming due and payable by any Credit Party. Each Credit Party has paid,
      and shall continue to pay, all amounts necessary to fund all present and future
      pension, profit sharing and deferred compensation plans in accordance with
      their
      terms, and no Credit Party has withdrawn from participation in, permitted
      partial or complete termination of, or permitted the occurrence of any other
      event with respect to, any such plan which could result in any liability of
      any
      Credit Party, including any liability to the Pension Benefit Guaranty
      Corporation or any other governmental agency.

     

    6.11. Compliance
      with Laws. 

     

    Each
      Credit Party has complied in all material respects with all provisions of all
      applicable laws and regulations, including those relating to each Credit Party's
      ownership of real or personal property, the conduct and licensing of each Credit
      Party's business, the payment and withholding of taxes, ERISA and other employee
      matters, safety and environmental matters.

     

    6.12. Litigation. 

     

    Schedule 6.12
      discloses all claims, proceedings, litigation or investigations pending or
      (to
      the best of Borrower's knowledge) threatened against any Credit Party. There
      is
      no claim, suit, litigation, proceeding or investigation pending or (to the
      best
      of Borrower's knowledge) threatened by or against or affecting any Credit Party
      in any court or before any governmental agency (or any basis therefor known
      to
      Borrower) which may result, either separately or in the aggregate, in any
      material adverse change in the financial condition or business of any Credit
      Party, or in any material impairment in the ability of any Credit Party to
      carry
      on its business in substantially the same manner as it is now being conducted.
      Borrower will promptly inform Agent in writing of any claim, proceeding,
      litigation or investigation in the future threatened or instituted by or against
      any Credit Party.

     

    
      
        
        

      

      
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    6.13. Related
      Agreements.

     

    Borrower
      has caused to be delivered to Agent as of the date hereof a true and correct
      copy of the Related Agreements.
      Borrower, and each other party to the Related Agreements, has duly taken all
      necessary organizational action to authorize the execution, delivery and
      performance of the Related Agreements and the consummation of transactions
      contemplated thereby.
      As of
      the date hereof, the Related Transactions have been consummated (or are being
      consummated contemporaneously with the initial credit extension hereunder)
      in
      accordance with the terms of the Related Agreements. The Acquisition complies
      with all applicable legal requirements, and all necessary governmental,
      regulatory, creditor, shareholder, partner and other material consents,
      approvals and exemptions
      required to be obtained by Borrower and each
      other party to the Related Agreements in connection with the Acquisition have
      been duly obtained and are in full force and effect. All applicable waiting
      periods with respect to the Acquisition have expired without
      any action being taken by any competent governmental authority which restrains,
      prevents or imposes material adverse conditions upon the consummation of the
      Acquisition.
      The
      execution and delivery of the Related Agreements did not, and the consummation
      of the Acquisition does not, violate any statute or regulation of the United
      States (including any securities law) or of any state or other applicable
      jurisdiction, or any order, judgment or decree of any court or governmental
      body
      binding on Borrower or any other party to the Related Agreements, or result
      in a
      breach of, or constitute a default under, any material agreement, indenture,
      instrument or other document, or any judgment, order or decree, to which
      Borrower is a party or by which Borrower is bound, or to which any other party
      to the Related Agreements is a party or by which any such party is
      bound.
      No
      statement or representation made in the Related Agreements by Borrower or any
      other Person, contains any untrue statement of a material fact or omits to
      state
      any material fact required to be stated therein.
      As of
      the date hereof, (i) each of the representations and warranties contained
      in the Related Agreements made by Borrower is true and correct in all material
      respects and (ii) each of the representations and warranties contained in
      the Related Agreements made by any other Person is true and correct in all
      material respects. 

     

    6.14. Use
      of Proceeds. 

     

    All
      proceeds of all Loans will be used solely for lawful business
      purposes.

     

    
      
        
        

      

      
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    6.15. Insurance. 

     

    Borrower
      will, and will cause each other Credit Party to, at all times carry property,
      liability, and other insurance (including insurance covering assets in-transit),
      with insurers acceptable to Agent, in such form and amounts, and with such
      deductibles and other provisions, as Agent shall require, and Borrower will,
      and
      will cause each other Credit Party to, provide Agent with evidence satisfactory
      to Agent that such insurance is, at all times, in full force and effect. Each
      property insurance policy shall name Agent as loss payee and shall contain
      a
      lender's loss payable endorsement in form acceptable to Agent, each liability
      insurance policy shall name Agent as an additional insured, and each business
      interruption insurance policy shall be collaterally assigned to Agent, all
      in
      form and substance satisfactory to Agent. All policies of insurance shall
      provide that they may not be cancelled or changed without at least thirty days'
      prior written notice to Agent, shall contain breach of warranty coverage, and
      shall otherwise be in form and substance satisfactory to Agent. Upon receipt
      of
      the proceeds of any such insurance, Agent, will apply such proceeds in reduction
      of the Obligations as provided in Section 5.3. Borrower will, and will cause
      each other Credit Party to, promptly deliver to Agent copies of all reports
      made
      to insurance companies.

     

    6.16. Financial
      and Collateral Reports. 

     

    Each
      Credit Party has kept and Borrower will, and will cause each other Credit Party
      to, keep adequate records and books of account with respect to its business
      activities and the Collateral in which proper entries are made in accordance
      with GAAP reflecting all its financial transactions, and will cause to be
      prepared and furnished to Lender the following (all to be prepared in accordance
      with GAAP, unless such Credit Party's certified public accountants concur in
      any
      change therein and such change is disclosed to Agent):

     

    (a) Collateral
      Reports.
      On or
      before the fifteenth day of each month (or as more frequently from time to
      time
      required by Agent in its sole discretion), a schedule of sales made, credits
      issued and cash received by Borrower, an aging of Borrower's Accounts, Chattel
      Paper and notes receivable, and weekly Inventory reports, all in such form,
      and
      together with such additional certificates, schedules and other information
      with
      respect to the Collateral or the business of Borrower or any Obligor, as Agent
      shall request; provided,
      that
      Borrower's failure to execute and deliver the same shall not affect or limit
      Agent's Liens and other rights in any of the Accounts, nor shall the Lenders'
      failure to advance or lend against a specific Account affect or limit Agent's
      Liens and other rights therein. Together with each such schedule, Borrower
      shall
      furnish Agent with copies (or, at Agent's request, originals) of all contracts,
      orders, invoices, and other similar documents, and all original shipping
      instructions, delivery receipts, bills of lading, and other evidence of
      delivery, for any goods the sale or disposition of which gave rise to such
      Accounts, and Borrower warrants the genuineness of all of the foregoing. In
      addition, Borrower shall deliver to Agent the originals of all Instruments,
      Chattel Paper, security agreements, guaranties and other documents and property
      evidencing or securing any Accounts, immediately upon receipt thereof and in
      the
      same form as received, with all necessary endorsements. Agent may destroy or
      otherwise dispose of all documents, schedules and other papers delivered to
      Agent pursuant to this Agreement (other than originals of Instruments, Chattel
      Paper, security agreements, guaranties and other documents and property
      evidencing or securing any Accounts) six months after Agent receives them,
      unless Borrower requests their return in writing in advance and arranges for
      their return to Borrower at Borrower's expense;

     

    
      
        
        

      

      
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    (b) Annual
      Statements.
      Not
      later than one hundred five days after the close of each Fiscal Year of
      Borrower, unqualified (except for a qualification for a change in accounting
      principles with which the accountant concurs) audited financial statements
      of
      Borrower and its Subsidiaries as of the end of such year, on a consolidated
      and
      consolidating basis, certified by a firm of independent certified public
      accountants of recognized standing selected by Borrower but acceptable to Agent,
      together with a copy of any management letter issued in connection therewith
      and
      a letter from such accountants acknowledging that Agent and the Lenders are
      relying on such financial statements;

     

    (c) Interim
      Statements.
      Not
      later than thirty days after the end of each month hereafter (such period to
      reduce to fifteen days after the end of each month beginning February 2008
      unless Borrower provides evidence satisfactory to Agent that it is not able
      to
      produce such statements within fifteen days), including the last month of
      Borrower's Fiscal Year, unaudited interim financial statements of Borrower
      and
      its Subsidiaries as of the end of such month and of the portion of Borrower's
      Fiscal Year then elapsed, on a consolidated and consolidating basis, certified
      by the principal financial officer of Borrower as prepared in accordance with
      GAAP and fairly presenting the consolidated financial position and results
      of
      operations of Borrower and its Subsidiaries for such month and period subject
      only to changes from audit and year-end adjustments and except that such
      statements need not contain notes;

     

    (d) Projections,
      Etc.
      Such
      business projections, Availability projections, business plans, budgets and
      cash
      flow statements for Borrower and its Subsidiaries as Agent shall request from
      time to time;

     

    (e) Shareholder
      Reports, Etc.
      Promptly
      after the sending or filing thereof, as the case may be, copies of any proxy
      statements, financial statements or reports which any Credit Party has made
      available to its shareholders and copies of any regular, periodic and special
      reports or registration statements which any Credit Party files with the
      Securities and Exchange Commission or any governmental authority which may
      be
      substituted therefor, or any national securities exchange;

     

    (f) ERISA
      Reports.
      Upon
      request by Agent, copies of any annual report to be filed pursuant to the
      requirements of ERISA in connection with each plan subject thereto;

     

    (g) Appraisals.
      Not
      earlier than 45 days before each six month anniversary (or each yearly
      anniversary with respect to updated Equipment Appraisals and leasehold interest
      and dealer contract right appraisals) of the date of this Agreement during
      the
      Term, and not later than 45 days after each six month anniversary (or each
      yearly anniversary with respect to updated Equipment Appraisals) of the date
      of
      this Agreement during any Renewal Term, Borrower will cause to be prepared
      and
      delivered to Agent an updated auction sale value appraisal of Borrower's
      Inventory (an "Updated
      Inventory Appraisal")
      and an
      updated auction sale value appraisal of Borrower's Equipment consisting of
      vehicles, tankers and trucks (an "Updated
      Equipment Appraisal")
      by
      an
      independent appraiser acceptable to Agent, and an appraisal of Borrower's
      leasehold interests and dealer contract rights ("Additional
      Updated Appraisals")
      each
      of which appraisals shall include all Inventory and Equipment acquired by
      Borrower after the date of this Agreement; and

     

    
      
        
        

      

      
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    (h) Other
      Information.
      Such
      other data and information (financial and otherwise) as Agent may reasonably
      request from time to time, bearing upon or related to the Collateral or
      Borrower's and each of its Subsidiary's financial condition or results of
      operations.

     

    6.17. Litigation
      Cooperation. 

     

    Should
      any third-party suit or proceeding be instituted by or against Agent or any
      Lender with respect to any Collateral or in any manner relating to any Credit
      Party, Borrower shall, and shall cause each other Credit Party to, without
      expense to Agent or each such Lender, make available each Credit Party and
      officers, employees and agents of each Credit Party, and books and records
      of
      each Credit Party, without charge, to the extent that Agent or each such Lender
      deems them reasonably necessary in order to prosecute or defend any such suit
      or
      proceeding.

     

    6.18. Maintenance
      of Collateral, Etc. 

     

    Borrower
      will, and will cause each other Credit Party to, maintain all of its Equipment
      in good working condition, ordinary wear and tear excepted, and Borrower will
      not, and will not permit any other Credit Party to, use the Collateral for
      any
      unlawful purpose. Borrower will immediately advise Agent in writing of any
      material loss or damage to the Collateral and of any investigation, action,
      suit, proceeding or claim relating to the Collateral or which may result in
      an
      adverse impact upon any Credit Party's business, assets or financial
      condition.

     

    6.19. Notification
      of Changes. 

     

    Borrower
      will promptly notify Agent in writing of any change in the officers or directors
      of any Credit Party, the opening of any new bank account or other deposit
      account of any Credit Party, or any material adverse change in the business
      or
      financial affairs of any Credit Party or the existence of any circumstance
      which
      would make any representation or warranty of any Credit Party untrue in any
      material respect or constitute a material breach of any covenant of any Credit
      Party.

     

    6.20. Further
      Assurances. 

     

    Borrower
      agrees, at its expense, to take, and to cause each other Credit Party to take,
      all actions, and execute or cause to be executed and delivered to Agent all
      promissory notes, security agreements, agreements with landlords, mortgagees
      and
      processors and other bailees, subordination and intercreditor agreements and
      other agreements, instruments and documents, as Agent may request from time
      to
      time to perfect and maintain Agent's Lien in the Collateral and to fully carry
      out the transactions contemplated by this Agreement.

     

    
      
        
        

      

      
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    6.21. Negative
      Covenants. 

     

    Until
      payment and satisfaction in full of all Obligations and termination of this
      Agreement, except as set forth in Schedule 6.21, Borrower
      agrees as follows:

     

    (a) Guaranties.
      Borrower
      shall not, and shall not permit any other Credit Party to, assume, guarantee
      or
      endorse, or otherwise become liable in connection with, the obligations of
      any
      Person, except (i) the guaranty by Borrower of the obligations of certain
      Affiliates of Borrower to Greystone Business Credit II, L.L.C.,, (ii) the
      guaranty by Borrower and its Subsidiaries of the obligations of Holdings to
      YA
      Global Investments, L.P. and (iii) by endorsement of instruments for
      deposit or collection or similar transactions in the ordinary course of
      business.

     

    (b) Indebtedness.
      Borrower
      shall not, and shall not permit any other Credit Party to, create, incur, assume
      or become obligated (directly or indirectly), for any loans or other
      indebtedness for borrowed money other than the Loans, except that Credit Parties
      may (i) borrow money from a Person other than the Lenders on an unsecured
      and subordinated basis if a subordination agreement in favor of Agent and the
      Lenders and in form and substance satisfactory to Agent is executed and
      delivered to Agent relative thereto; (ii) maintain their present
      indebtedness listed on Schedule 6.21(b); (iii) incur unsecured indebtedness
      to trade creditors in the ordinary course of business; (iv) incur purchase
      money indebtedness or capitalized lease obligations in connection with capital
      expenditures permitted under this Agreement; and (v) incur operating lease
      obligations requiring payments not to exceed $385,000 in the aggregate during
      any Fiscal Year of Borrower.

     

    (c) Liens.
      Borrower
      shall not, and shall not permit any other Credit Party to, grant or permit
      to
      exist (voluntarily or involuntarily) any Lien, claim, security interest or
      other
      encumbrance whatsoever on any of its assets, other than Permitted Liens.

     

    (d) Mergers,
      Sales, Acquisitions, Subsidiaries and Other Transactions Outside the Ordinary
      Course of Business.
      Borrower
      shall not, and shall not permit any other Credit Party to, (i) enter into
      any merger or consolidation; (ii) change the state of its organization or
      enter into any transaction which has the effect of changing its state of
      organization; (iii) sell, lease or otherwise dispose of any of its assets
      other than in the ordinary course of business; (iv) purchase the stock,
      other equity interests or all or a material portion of the assets of any Person
      or division of such Person; (v) enter into any other transaction outside
      the ordinary course of its business, including any purchase, redemption or
      retirement of any shares of any class of its stock or any other equity interest,
      and any issuance of any shares of, or warrants or other rights to receive or
      purchase any shares of, any class of its stock or any other equity interest;
      or
      (vi) acquire any assets except in the ordinary course of business and as
      otherwise permitted by this Agreement and the other Loan Documents. Borrower
      shall not, and shall not permit any other Credit Party to, form any Subsidiaries
      or enter into any joint ventures or partnerships with any other
      Person.

     

    (e) Dividends
      and Distributions.
      Except
      for (i) distributions to Holdings of proceeds of Term Loan B Advances
      exceeding $1,600,000 in the aggregate, so long as no Default or Event of Default
      exists at such time, (ii) distributions on a quarterly basis to Holdings of
      an amount not to exceed the cumulative net profits of Borrower that exceed
      $1,000,000 on a year-to-date basis at the end of each fiscal quarter, less
      any
      previous distributions, so long as no Default or Event of Default is then in
      existence and after giving effect to such distribution Availability exceeds
      $2,000,000 and (iii) as provided in Schedule 6.21(e), Borrower shall not,
      and shall not permit any other Credit Party to, declare or pay any dividend
      or
      other distribution (whether in cash or in kind) on any class of its stock or
      other equity interest of such Credit Party, except dividends or other
      distributions paid by a Subsidiary of Borrower to Borrower. 

     

    
      
        
        

      

      
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    (f) Investments,
      Loans. Borrower
      shall not, and shall not permit any other Credit Party to, purchase or otherwise
      acquire, or contract to purchase or otherwise acquire, the obligations or stock
      of any Person, other than direct obligations of the United States, obligations
      insured by the Federal Deposit Insurance Corporation and obligations
      unconditionally guaranteed by the United States; nor shall Borrower lend or
      otherwise advance funds to, or permit any other Credit Party to lend or
      otherwise advance funds to, any Person except for advances made to employees,
      officers and directors for travel and other expenses arising in the ordinary
      course of business and certain loans that may be advanced to NewGen and its
      subsidiaries by Holdings not to exceed $650,000 outstanding at any
      time;

     

    (g) Fundamental
      Changes, Line of Business. Borrower
      shall not, and shall not permit any other Credit Party to, (i) amend its
      organizational documents or change its Fiscal Year unless (w) such action would
      not have a material adverse effect on any Credit Party; (x) such actions would
      not affect the obligations of any Credit Party, Agent or the Lenders, (y) such
      actions would not affect the interpretation of any of the terms of this
      Agreement or the Loan Documents and (z) Agent and the Lenders have received
      ten (10) days prior written notice of such amendment of change or
      (ii) or enter into a new line of business materially different from the
      current business of the Credit Parties;

     

    (h) Equipment.
      Borrower
      shall not, and shall not permit any other Credit Party to, (i) permit any
      Equipment to become a Fixture to real property unless such real property is
      owned by a Credit Party and is subject to a mortgage in favor of Agent, for
      the
      benefit of Agent and the Lenders, or if such real property is leased, is subject
      to a landlord's agreement in favor of Agent on terms acceptable to Agent, or
      (ii) permit any Equipment to become an accession to any other personal
      property unless such personal property is subject to a first priority Lien
      in
      favor of Agent, for the benefit of Agent and the Lenders, in each case excluding
      Equipment delivered to third party dealers pursuant to the terms of a supply
      contract having a term of not less than five years and excluding Equipment
      at
      locations with respect to which Agent has maintained such Reserves as Agent
      shall deem appropriate in its sole discretion;

     

    (i) Affiliate
      Transactions. Except
      as
      set forth on Schedule 6.21(i), Borrower shall not, and shall not permit any
      other Credit Party to, conduct, permit or suffer to be conducted, transactions
      with Affiliates other than transactions for the purchase or sale of Inventory
      or
      services in the ordinary course of business pursuant to terms that are no less
      favorable to such Credit Party than the terms upon which such transactions
      would
      have been made had they been made to or with a Person that is not an Affiliate;
      and

     

    
      
        
        

      

      
        -25-

        
          

        

      

      
        
        

      

    

     

    (j) Management
      Fees, Compensation. Borrower
      shall not, and shall not permit any other Credit Party to, pay any management
      or
      consulting fees to any Persons (excluding the consulting agreement with Jeff
      Benedict entered into on or before the date hereof), or pay annual aggregate
      compensation, whether as salary, bonus or otherwise, to all directors or
      officers of Borrower in excess of one hundred ten percent (110%) of the
      aggregate compensation, whether as salary, bonus or otherwise, to all directors,
      and officers of the Credit Parties in effect on the date of this Agreement
      for
      the first year and one hundred ten percent (110%) of the prior year's aggregate
      compensation amount for each subsequent year. The aggregate annual compensation
      amount(s) shall be adjusted each year for the net addition or loss of directors
      or officers.

     

    6.22. Financial
      Covenants.

     

    (a) Capital
      Expenditures.
      Borrower
      will not, and will not permit any other Credit Party to, expend or commit to
      expend, directly or indirectly, for capital expenditures (including capital
      lease obligations) for the Credit Parties on a consolidated basis in excess
      of
      the amount set forth as the capital expenditure limitation in Section 10(a)
      of
      Schedule A in any Fiscal Year.

     

    (b) Net
      Worth.
      Borrower will at all times maintain a net worth of at least the amount set
      forth
      in Section 8(c) of Schedule A.

     

    (c) Tangible
      Net Worth.
      Borrower
      will, and will cause each other Credit Party to, at all times maintain a minimum
      tangible net worth for the Credit Parties on a consolidated basis of at least
      the amount set forth in Section 10(c) of Schedule A.

     

    (d) Working
      Capital.
      Borrower
      will at all times maintain working capital of at least the amount set forth
      in
      Section 8(d) of Schedule A.

     

    (e) Net
      Losses.
      Borrower
      will not, and will not permit any other Credit Party to, permit its cumulative
      net loss for the Credit Parties on a consolidated basis to exceed the amount
      set
      forth in Section 10(e) of Schedule A.

     

    (f) Net
      Income.
      Borrower will not permit its set forth in Section 10(f) of Schedule
      A.

     

    (g) Leverage.
      Borrower will not permit the ratio of its total liabilities to its net worth
      to
      exceed, at any time, the ratio set forth in Section 10(g) of Schedule
      A.

     

    (h) Other
      Financial Covenants.
      Borrower
      will, and will cause each other Credit Party to, comply with any additional
      financial covenants for the Credit Parties on a consolidated basis set forth
      in
      Section 10(h) of Schedule A.

     

    
      
        
        

      

      
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              7.

            	
              RELEASE
                AND INDEMNITY.

            

    

     

    7.1. Release. 

     

    Borrower
      hereby releases Agent, the Lenders and their respective Affiliates and their
      respective directors, officers, employees, attorneys and agents and any other
      Person affiliated with or representing Agent or any Lender (the "Released
      Parties")
      from
      any and all liability arising from acts or omissions under or pursuant to this
      Agreement, whether based on errors of judgment or mistake of law or fact, except
      for those arising from willful misconduct. However, in no circumstance will
      any
      of the Released Parties be liable for lost profits or other special or
      consequential damages. Such release is made on the date hereof and remade upon
      each request for a Loan or Credit Accommodation by Borrower. Without limiting
      the foregoing:

     

    (a) Agent
      and
      Lenders shall not be liable for (i) any shortage or discrepancy in, damage
      to, or loss or destruction of, any goods, the sale or other disposition of
      which
      gave rise to an Account; (ii) any error, act, omission, or delay of any
      kind occurring in the settlement, failure to settle, collection or failure
      to
      collect any Account; (iii) settling any Account in good faith for less than
      the full amount thereof; or (iv) any of Borrower's obligations under any
      contract or agreement giving rise to an Account; and

     

    (b) In
      connection with Credit Accommodations or any underlying transaction, Agent
      and
      the Lenders shall not be responsible for the conformity of any goods to the
      documents presented, the validity or genuineness of any documents, or any delay,
      default or fraud by Borrower, shippers and/or any other Person. Borrower agrees
      that any action taken by Agent or any Lender, if taken in good faith, or any
      action taken by an issuer of any Credit Accommodation, under or in connection
      with any Credit Accommodation, shall be binding on Borrower and shall not create
      any resulting liability to Agent or the Lenders or limit Borrower's obligations
      under this Agreement. In furtherance thereof, Agent and the Lenders shall have
      the full right and authority to clear and resolve any questions of
      non-compliance of documents, to give any instructions as to acceptance or
      rejection of any documents or goods, to execute for Borrower's account any
      and
      all applications for steamship or airway guaranties, indemnities or delivery
      orders, to grant any extensions of the maturity of, time of payment for, or
      time
      of presentation of, any drafts, acceptances or documents, and to agree to any
      amendments, renewals, extensions, modifications, changes or cancellations of
      any
      of the terms or conditions of any of the Credit Accommodations or applications
      and other documentation pertaining thereto.

     

    7.2. Indemnity. 

     

    Borrower
      hereby agrees to indemnify the Released Parties and hold them harmless from
      and
      against any and all claims, debts, liabilities, demands, obligations, actions,
      causes of action, penalties, costs and expenses (including attorneys' fees),
      of
      every nature, character and description, which the Released Parties may sustain
      or incur based upon or arising out of any of the transactions contemplated
      by
      this Agreement or the other Loan Documents or any of the Obligations, including
      any transactions or occurrences relating to the issuance of any Credit
      Accommodation, the Collateral relating thereto, any drafts thereunder and any
      errors or omissions relating thereto (including any loss or claim due to any
      action or inaction taken by the issuer of any Credit Accommodation) (and for
      this purpose any charges to Agent and the Lenders by any issuer of Credit
      Accommodations shall be conclusive as to their appropriateness and may be
      charged to the Loan Account), or any other matter, cause or thing whatsoever
      occurred, done, omitted or suffered to be done by Agent and the Lenders relating
      to Borrower or the Obligations (except any such amounts sustained or incurred
      as
      the result of the willful misconduct of the Released Parties). Notwithstanding
      any provision in this Agreement to the contrary, the indemnity agreement set
      forth in this Section 7.2 shall survive any termination of this
      Agreement.

     

    
      
        
        

      

      
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              8.

            	
              TERM.

            

    

     

    8.1. Maturity
      Date. 

     

    The
      Lenders' obligation to make Loans and to provide Credit Accommodations under
      this Agreement shall initially continue in effect for a term (the "Initial
      Term")
      beginning on the date of this Agreement and ending on the Initial Maturity
      Date;
provided,
      that the
      Initial Maturity Date shall automatically be extended (the Initial Maturity
      Date, as it may be so extended, being referred to as the "Maturity
      Date")
      for
      successive additional terms of one year each (each a "Renewal
      Term"),
      unless Borrower, Agent or any Lender gives written notice to the other parties
      hereto, not less than sixty days prior to the Maturity Date, that such party
      elects not to extend the Maturity Date. This Agreement and the other Loan
      Documents and the Agent's Liens, and all representations, warranties and
      covenants of Borrower contained herein and therein, shall remain in full force
      and effect after the Maturity Date until all of the monetary Obligations are
      indefeasibly paid in full.

     

    8.2. Early
      Termination. 

     

    The
      Lenders' obligation to make Loans and to provide Credit Accommodations under
      this Agreement may be terminated prior to the Maturity Date as follows:
      (i) by Borrower, effective thirty business days after written notice of
      termination is given to Agent or (ii) by the Lenders at any time after the
      occurrence of an Event of Default, without notice, effective
      immediately.
      If so
      terminated under this Section 8.2, Borrower shall pay to (i) Agent, for the
      benefit of Lenders in accordance with their respective Pro Rata Shares thereof,
      (i) an early termination fee (the "Early
      Termination Fee")
      in the
      amount set forth in Section 6(h) of Schedule A plus (ii) Agent,
      for the sole account of Agent, any earned but unpaid fees provided for in the
      Fee Letter. Such fees shall be due and payable on the effective date of
      termination and thereafter shall bear interest at a rate equal to the highest
      rate applicable to any of the Obligations. In addition, if Borrower so
      terminates and repays the Obligations without having provided Agent with at
      least thirty days' prior written notice thereof, Borrower shall pay to Agent,
      for the benefit of Agent and the Lenders in accordance with their respective
      Pro
      Rata Shares thereof, on the effective date of termination, an additional amount
      equal to thirty days of interest at the applicable interest rate(s), based
      on
      the average outstanding amount of the Obligations for the six month period
      immediately preceding the date of termination.

     

    
      
        
        

      

      
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    8.3. Payment
      of Obligations. 

     

    On
      the
      Maturity Date or on any earlier effective date of termination, Borrower shall
      pay in full all Obligations, whether or not all or any part of such Obligations
      are otherwise then due and payable. Without limiting the generality of the
      foregoing, if, on the Maturity Date or on any earlier effective date of
      termination, there are any outstanding Credit Accommodations, then on such
      date
      Borrower shall provide to Agent, for the benefit of Agent and the Lenders,
      cash
      collateral in an amount equal to 110% of the Credit Accommodation Balance to
      secure all of the Obligations (including estimated attorneys' fees and other
      expenses) relating to said Credit Accommodations or such greater percentage
      or
      amount as Agent reasonably deems appropriate, pursuant to a cash pledge
      agreement in form and substance satisfactory to Agent.

     

    8.4. Effect
      of Termination. 

     

    No
      termination shall affect or impair any right or remedy of Agent or the Lenders
      or relieve Borrower of any of the Obligations until all of the monetary
      Obligations have been indefeasibly paid in full. Upon indefeasible payment
      and
      performance in full of all of the monetary Obligations (and the provision of
      cash collateral with respect to any Credit Accommodation Balance as required
      by
      Section 8.3) and termination of this Agreement, Agent and the Lenders shall
      promptly deliver to Borrower, at the cost of Borrower, termination statements,
      requests for reconveyances and such other documents as may be reasonably
      required to terminate the Agent's Liens in the Collateral.

     

    
      	
              9.

            	
              EVENTS
                OF DEFAULT AND REMEDIES.

            

    

     

    9.1. Events
      of Default. 

     

    The
      occurrence of any of the following events shall constitute an "Event
      of Default"
      under
      this Agreement, and Borrower shall give Agent immediate written notice thereof:
      (i) if any warranty, representation, statement, report or certificate made
      or delivered to Agent or any Lender by any Credit Party or any other Obligor
      or
      any Credit Party's or any other Obligor's officers, employees or agents is
      untrue or misleading; (ii) if Borrower fails to pay when due any principal
      or interest on any Loan or any other monetary Obligation; (iii) if any
      Credit Party or any other Obligor breaches any covenant or obligation contained
      in this Agreement or any other Loan Document or fails to perform any other
      non-monetary Obligation; (iv) if any levy, assessment, attachment, seizure,
      Lien, security interest or encumbrance (other than a Permitted Lien) is made
      or
      permitted to exist on all or any part of the Collateral; provided, that if
      such
      levy, assessment, attachment, seizure, Lien, security interest or encumbrance
      involves Collateral having a value of less than $25,000, such occurrence shall
      not constitute an Event of Default unless it remains unreleased or is not
      terminated within 30 days after the occurrence thereof; (v) if one or more
      judgments aggregating in excess of $25,000, or any injunction or attachment,
      is
      obtained against any Credit Party or any other Obligor which remains unstayed
      for more than ten days
      or
      is enforced; (vi) the occurrence of any default under any financing
      agreement, security agreement or other agreement, instrument or document
      executed and delivered by (A) any Credit Party or any other Obligor with,
      or in favor of, any Person other than the Agent or a Lender or (B) any
      Credit Party or any other Obligor or any Affiliate of any Credit Party or any
      other Obligor with, or in favor of, the Agent or a Lender or any Affiliate
      of
      Agent or a Lender; (vii) the dissolution, death, termination of existence
      in good standing, insolvency or business failure or suspension or cessation
      of
      business as usual of any Credit Party or any other Obligor (or of any general
      partner of any Credit Party or any other Obligor if it is a partnership) or
      the
      appointment of a receiver, trustee or custodian for all or any part of the
      property of, or an assignment for the benefit of creditors by any Credit Party
      or any other Obligor, or the commencement of any proceeding by any Credit Party
      or any other Obligor under any reorganization, bankruptcy, insolvency,
      arrangement, readjustment of debt, dissolution or liquidation law or statute
      of
      any jurisdiction, now or in the future in effect, or if any Credit Party or
      any
      other Obligor makes or sends a notice of a bulk transfer or calls a meeting
      of
      its creditors; (viii) the commencement of any proceeding against Borrower
      or any Obligor under any reorganization, bankruptcy, insolvency, arrangement,
      readjustment of debt, dissolution or liquidation law or statute of any
      jurisdiction, now or in the future in effect; (ix) the actual or attempted
      revocation or termination of, or limitation or denial of liability upon, any
      guaranty of the Obligations, or any security document securing the Obligations,
      by any Obligor; (x) if Borrower makes any payment on account of any
      indebtedness or obligation which has been subordinated to the Obligations other
      than as permitted in the applicable subordination agreement, or if any Person
      who has subordinated such indebtedness or obligations attempts to limit or
      terminate its subordination agreement; (xi) if there is any actual or
      threatened indictment of Borrower or any Obligor under any criminal statute
      or
      commencement or threatened commencement of criminal or civil proceedings against
      Borrower or any Obligor, pursuant to which the potential penalties or remedies
      sought or available include forfeiture of any property of Borrower or such
      Obligor having a value greater than $150,000; (xii) if there is a change in
      the record or beneficial ownership of an aggregate of more than 25% of the
      outstanding shares of stock or other equity of Holdings, in one or more
      transactions, compared to the ownership of outstanding shares of stock or other
      equity of Holdings as of the date hereof or if Holdings fails to own 100% of
      the
      issued and outstanding stock of Borrower without the prior written consent
      of
      Agent; (xiii) if there is any change in the chief executive officer, chief
      operating officer or chief financial officer of Borrower and a replacement
      acceptable to Lender is not appointed within ninety days; or (xiv) if Agent
      determines in good faith that the Collateral is insufficient to fully secure
      the
      Obligations or that the prospect of payment of performance of the Obligations
      is
      impaired.

     

    
      
        
        

      

      
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    9.2. Remedies. 

     

    (a) Upon
      the
      occurrence of any Event of Default, and at any time thereafter, Lenders may
      and
      without notice or demand of any kind (all of which are hereby expressly waived
      by Borrower), cease making Loans or otherwise extending credit to Borrower
      under
      this Agreement or any other Loan Document. 

     

    (b) Upon
      the
      occurrence of an Event of Default under subsection (vii) or (viii) of Section
      9.1, all of the Obligations shall immediately and automatically become due
      and
      payable, without demand, notice or legal process of any kind, and
      notwithstanding any deferred or installment payments allowed by any instrument
      evidencing or relating to any of the Obligations. Upon the occurrence of any
      other Event of Default, all of the Obligations may, at the option of Agent
      or
      the Required Lenders, and without demand, notice and legal process of any kind,
      be declared, and immediately shall become, due and payable, notwithstanding
      any
      deferred or installment payments allowed by any instrument evidencing or
      relating to any of the Obligations. 

     

    
      
        
        

      

      
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    (c) Upon
      the
      occurrence of an Event of Default, Agent may exercise from time to time any
      rights and remedies available to it or the Lenders under the UCC and any other
      applicable law in addition to, and not in lieu of, any rights and remedies
      expressly granted in this Agreement or in any of the other Loan Documents and
      all of Agent's and the Lenders' rights and remedies shall be cumulative and
      non-exclusive to the extent permitted by law. In particular, but not by way
      of
      limitation of the foregoing, upon the occurrence of any Event of Default, and
      at
      any time thereafter, Agent may, without notice or demand of any kind (all of
      which are hereby expressly waived by Borrower), do any one or more of the
      following: (i)  take possession of any or all of the Collateral (in
      addition to Collateral of which it already has possession) wherever it may
      be
      found, and for that purpose Borrower hereby authorizes Agent, without judicial
      process, to enter onto any of Borrower's premises without interference to search
      for, take possession of, keep, store, or remove any of the Collateral, and
      remain (or cause a custodian to remain) on the premises in exclusive control
      thereof, without charge for so long as Agent deems it reasonably necessary
      in
      order to complete the enforcement of rights under this Agreement or any other
      agreement; provided,
      that if
      Agent seeks to take possession of any of the Collateral by court process,
      Borrower hereby irrevocably waives (A) any bond and any surety or security
      relating thereto required by law as an incident to such possession, (B) any
      demand for possession prior to the commencement of any suit or action to recover
      possession thereof and (C) any requirement that Agent retain possession of,
      and not dispose of, any such Collateral until after trial or final judgment;
      (iv) require Borrower to assemble any or all of the Collateral and make it
      available to Agent at one or more places designated by Agent which are
      reasonably convenient to Lender and Borrower, and to remove the Collateral
      to
      such locations as Agent may deem advisable; (v) complete the processing,
      manufacturing or repair of any Collateral prior to a disposition thereof and,
      for such purpose and for the purpose of removal, Agent shall have the right
      to
      use Borrower's premises, vehicles and other Equipment and all other property
      without charge; (vi) sell, lease or otherwise dispose of any of the
      Collateral, in its condition at the time Agent obtains possession of it or
      after
      further manufacturing, processing or repair, at one or more public or private
      sales, in lots or in bulk, for cash, exchange or other property, or on credit
      (a
      "Sale"),
      and
      to adjourn any such Sale from time to time without notice other than oral
      announcement at the time scheduled for Sale (and, in connection therewith,
      (A) Agent shall have the right to conduct such Sale on Borrower's premises
      without charge, for such times as Agent deems reasonable, or on such other
      premises as Agent shall designate, and the Collateral need not be located at
      the
      place of Sale; (B) Agent may directly, or through any of its Affiliates,
      purchase or lease any of the Collateral at any such public disposition, and
      if
      permissible under applicable law, at any private disposition and (C) any
      Sale of Collateral shall not relieve Borrower of any liability Borrower may
      have
      if any Collateral is defective as to title, physical condition or otherwise
      at
      the time of sale); (vii) demand payment of and collect any Accounts,
      Chattel Paper, Instruments and General Intangibles included in the Collateral
      and, in connection therewith, Borrower irrevocably authorizes Agent to endorse
      or sign Borrower's name on all collections, receipts, Instruments and other
      documents, to take possession of and open mail addressed to Borrower and remove
      therefrom payments made with respect to any item of Collateral or Proceeds
      thereof and, in Agent's sole discretion, to grant extensions of time to pay,
      compromise claims and settle Accounts, General Intangibles and the like for
      less
      than face value; and (viii) demand and receive possession of any of
      Borrower's federal and state income tax returns and the books and records
      utilized in the preparation thereof or relating thereto. Borrower
      recognizes that if Borrower fails to perform, observe or discharge any of its
      Obligations under this Agreement or any of the Loan Documents, no remedy at
      law
      will provide adequate relief to Agent and the Lenders, and agrees that Agent
      and
      the Lenders shall be entitled to temporary and permanent injunctive relief
      in
      any such case without the necessity of proving actual damages. Any notification
      of intended disposition of any of the Collateral required by law will be deemed
      to be a reasonable authenticated notification of disposition if given at least
      ten days prior to such disposition and such notice shall (i) describe Agent
      and Borrower, (ii) describe the Collateral that is the subject of the
      intended disposition, (iii) state the method of the intended disposition,
      (iv) state that Borrower is entitled to an accounting of the Obligations
      and state the charge, if any, for an accounting and (v) state the time and
      place of any public disposition or the time after which any private sale is
      to
      be made. Agent and the Lenders may disclaim any warranties that might arise
      in
      connection with the sale, lease or other disposition of the Collateral and
      have
      no obligation to provide any warranties at such time. Any Proceeds of any
      disposition by Agent of any of the Collateral shall be applied by Agent in
      accordance with Section 5.3. In addition to the foregoing remedies, upon the
      occurrence of any Event of Default resulting from a breach of any of the
      financial covenants set forth in Section 6.21, Agent may, at its option,
      upon not less than ten days' prior notice to Borrower, reduce any or all of
      the
      Advance Rates with the respect to any of the Loans, to the extent Agent, in
      its
      sole discretion, deems appropriate. Exercise or partial exercise by Agent or
      the
      Lenders of one or more of their rights or remedies shall not be deemed an
      election or bar Agent and the Lenders from subsequent exercise or partial
      exercise of any other rights or remedies. The failure or delay of Agent or
      the
      Lenders to exercise any rights or remedies shall not operate as a waiver
      thereof, but all rights and remedies shall continue in full force and effect
      until all of the Obligations have been fully paid and performed and this
      Agreement has been terminated. 

     

    
      
        
        

      

      
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    9.3. Application
      of Proceeds. 

     

    Subject
      to any application required by law, all Proceeds realized as the result of
      any
      Sale shall be applied by Agent in accordance with Section 5.3. Any surplus
      shall
      be paid to Borrower or other Persons legally entitled thereto; but Borrower
      shall remain liable to Agent and the Lenders for any deficiency. If Agent
      directly or indirectly enters into a deferred payment or other credit
      transaction with any purchaser at any Sale, Agent shall, at the election of
      Agent and the Required Lenders, have the option, exercisable at any time, in
      its
      sole discretion, of either reducing the Obligations by the principal amount
      of
      the purchase price or deferring the reduction of the Obligations until the
      actual receipt by Agent of the cash therefor.

     

    
      
        
        

      

      
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              10.

            	
              AGENT;
                THE LENDER GROUP. 

            

    

     

    10.1. Appointment
      and Authorization of Agent. 

     

    Each
      Lender hereby designates and appoints Greystone as its representative as Agent
      under this Agreement and the other Loan Documents and each Lender hereby
      irrevocably authorizes Agent to execute and deliver each of the other Loan
      Documents on its behalf and to take such other action on its behalf under the
      provisions of this Agreement and each other Loan Document, and to exercise
      such
      powers and perform such duties, as are expressly delegated to Agent by the
      terms
      of this Agreement or any other Loan Document, together with such powers as
      are
      reasonably incidental thereto. Agent agrees to act as such on the express
      conditions contained in this Section 10. The provisions of this Section 10
      are
      solely for the benefit of Agent and the Lenders, and no Credit Party or any
      other Obligor shall have any rights as a third party beneficiary of any of
      the
      provisions contained herein. Any provision to the contrary contained elsewhere
      in this Agreement or in any other Loan Document notwithstanding, Agent shall
      not
      have any duties or responsibilities, except those expressly set forth herein,
      nor shall Agent have or be deemed to have any fiduciary relationship with any
      Lender, and no implied covenants, functions, responsibilities, duties,
      obligations or liabilities shall be read into this Agreement or any other Loan
      Document or otherwise exist against Agent; it being expressly understood and
      agreed that the use of the word "Agent" is for convenience only, and that Agent
      is merely the representative of the Lenders, and only has the contractual duties
      set forth herein. Except as expressly otherwise provided in this Agreement,
      Agent shall have and may use its sole discretion with respect to exercising
      or
      refraining from exercising any discretionary rights or taking or refraining
      from
      taking any actions that Agent expressly is entitled to take or assert under
      or
      pursuant to this Agreement and the other Loan Documents. Without limiting the
      generality of the foregoing, or of any other provision of the Loan Documents
      that provides rights or powers to Agent, the Lenders agree that Agent shall
      have
      the right to exercise the following powers as long as this Agreement remains
      in
      effect: (i) to maintain, in accordance with its customary business
      practices, ledgers and records reflecting the status of the Obligations, the
      Collateral, collections and related matters, (ii) to execute or file any
      and all UCC financing or similar statements or notices, amendments, renewals,
      supplements, documents, instruments, proofs of claim, notices and other written
      agreements with respect to the Loan Documents, (iii) to make Advances, for
      itself or on behalf of the Lenders as provided in the Loan Documents,
      (iv) to exclusively receive, apply, and distribute the collections as
      provided in the Loan Documents, (v) to open and maintain such bank accounts
      and cash management arrangements as Agent deems necessary and appropriate in
      accordance with the Loan Documents for the foregoing purposes with respect
      to
      the Collateral and collections, (vi) to perform, exercise, and enforce any
      and all other rights and remedies of the Lender Group with respect to Borrower,
      the Obligations, the Collateral, collections, or otherwise related to any of
      same as provided in the Loan Documents, and (vii) to incur and pay such
      Lender Group Expenses as Agent may deem necessary or appropriate for the
      performance and fulfillment of its functions and powers pursuant to the Loan
      Documents.  

     

    
      
        
        

      

      
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    10.2. Delegation
      of Duties. 

     

    Agent
      may
      execute any of its duties under this Agreement or any other Loan Document by
      or
      through agents, employees or attorneys in fact and shall be entitled to advice
      of counsel concerning all matters pertaining to such duties. Agent shall not
      be
      responsible for the negligence or misconduct of any agent or attorney in fact
      that it selects as long as such selection was made without gross negligence
      or
      willful misconduct.

     

    10.3. Liability
      of Agent. 

     

    None
      of
      the Agent-Related Persons shall (i) be liable for any action taken or
      omitted to be taken by any of them under or in connection with this Agreement
      or
      any other Loan Document or the transactions contemplated hereby or thereby
      (except for its own gross negligence or willful misconduct), or (ii) be
      responsible in any manner to any of the Lenders for any recital, statement,
      representation or warranty made by Borrower, any Obligor or any Subsidiary
      or
      Affiliate of Borrower or any Obligor, or any officer or director thereof,
      contained in this Agreement or in any other Loan Document, or in any
      certificate, report, statement or other document referred to or provided for
      in,
      or received by Agent under or in connection with, this Agreement or any other
      Loan Document, or the validity, effectiveness, genuineness, enforceability
      or
      sufficiency of this Agreement or any other Loan Document, or for any failure
      of
      Borrower or any other party to any Loan Document to perform its obligations
      hereunder or thereunder. No Agent-Related Person shall be under any obligation
      to any Lender to ascertain or to inquire as to the observance or performance
      of
      any of the agreements contained in, or conditions of, this Agreement or any
      other Loan Document, or to inspect the books and records or properties of
      Borrower or any other Person.

     

    10.4. Reliance
      By Agent. 

     

    Agent
      shall be entitled to rely, and shall be fully protected in relying, upon any
      writing, resolution, notice, consent, certificate, affidavit, letter, telegram,
      facsimile or other electronic method of transmission, telex or telephone
      message, statement or other document or conversation believed by it to be
      genuine and correct and to have been signed, sent, or made by the proper
      Person(s), and upon advice and statements of legal counsel (including counsel
      to
      Borrower or counsel to any Lender), independent accountants and other experts
      selected by Agent. Agent shall be fully justified in failing or refusing to
      take
      any action under this Agreement or any other Loan Document unless Agent shall
      first receive such advice or concurrence of the Lenders as it deems appropriate
      and until such instructions are received, Agent shall act, or refrain from
      acting, as it deems advisable. If Agent so requests, it shall first be
      indemnified to its reasonable satisfaction by the Lenders against any and all
      liability and expense that may be incurred by it by reason of taking or
      continuing to take any such action. Agent shall in all cases be fully protected
      in acting, or in refraining from acting, under this Agreement or any other
      Loan
      Document in accordance with a request or consent of the requisite the Lenders
      and such request and any action taken or failure to act pursuant thereto shall
      be binding upon all of the Lenders.

     

    
      
        
        

      

      
        -34-

        
          

        

      

      
        
        

      

    

     

    10.5. Notice
      of Default or Event of Default. 

     

    Agent
      shall not be deemed to have knowledge or notice of the occurrence of any Default
      or Event of Default, except with respect to defaults in the payment of principal
      or interest required to be paid to Agent for the account of the Lenders, unless
      Agent shall have received written notice from a Lender or Borrower referring
      to
      this Agreement, describing such Default or Event of Default, and stating that
      such notice is a "notice of default." Agent promptly will notify the Lenders
      of
      its receipt of any such notice or of any Events of Default resulting from a
      default by Borrower in the payment of principal or interest required to be
      paid
      to Agent for the account of the Lenders. Each Lender shall be solely responsible
      for giving any notices to its participants, if any. Subject to Section 10.4,
      Agent shall take such action with respect to any Default or Event of Default
      as
      may be requested by Agent and the Required Lenders in accordance with Section
      9;
provided,
      that
      unless and until Agent has received any such request, Agent may (but shall
      not
      be obligated to) take such action, or refrain from taking such action, with
      respect to such Default or Event of Default as it shall deem
      advisable.

     

    10.6. Credit
      Decision. 

     

    Each
      Lender acknowledges that none of the Agent-Related Persons has made any
      representation or warranty to it, and that no act by Agent hereinafter taken,
      including any review of the affairs of Borrower or any Obligor or any Subsidiary
      or Affiliate of Borrower or any Obligor, shall be deemed to constitute any
      representation or warranty by any Agent-Related Person to any Lender. Each
      Lender represents to Agent that it has, independently and without reliance
      upon
      any Agent-Related Person and based on such documents and information as it
      has
      deemed appropriate, made its own appraisal of and investigation into the
      business, prospects, operations, property, financial and other condition and
      creditworthiness of Borrower and any other Person party to a Loan Document,
      and
      all applicable bank regulatory laws relating to the transactions contemplated
      hereby, and made its own decision to enter into this Agreement and to extend
      credit to Borrower. Each Lender also represents that it will, independently
      and
      without reliance upon any Agent-Related
      Person and based on such documents and information as it shall deem appropriate
      at the time, continue to make its own credit analysis, appraisals and decisions
      in taking or not taking action under this Agreement and the other Loan
      Documents, and to make such investigations as it deems necessary to inform
      itself as to the business, prospects, operations, property, financial and other
      condition and creditworthiness of Borrower and any other Person party to a
      Loan
      Document. Except for notices, reports, and other documents expressly herein
      required to be furnished to the Lenders by Agent, Agent shall have no duty
      or
      responsibility to provide any Lender with any credit or other information
      concerning the business, prospects, operations, property, financial and other
      condition or creditworthiness of Borrower and any other Person party to a Loan
      Document that may come into the possession of any of the Agent-Related
      Persons.

     

    10.7. Costs
      and Expenses, Indemnification. 

     

    Agent
      may
      incur and pay expenses to the extent Agent reasonably deems necessary or
      appropriate for the performance and fulfillment of its functions, powers, and
      obligations pursuant to the Loan Documents, including court costs, legal fees
      and expenses, fees and expenses of financial accountants, advisors, consultants,
      and appraisers, costs of collection by outside collection agencies, auctioneer
      fees and expenses, and costs of security guards or insurance premiums paid
      to
      maintain the Collateral and any taxes related thereto (unless this Agreement
      expressly provides that Borrower is not obligated to pay such taxes)
      ("Lender
      Group Expenses"),
      whether or not Borrower is obligated to reimburse Agent or the Lenders for
      such
      expenses pursuant to this Agreement or otherwise. Agent is authorized and
      directed to deduct and retain sufficient amounts from any collections received
      by Agent to reimburse Agent for such out-of-pocket costs and expenses prior
      to
      the distribution of any amounts to the Lenders. In the event Agent is not
      reimbursed for such costs and expenses from the collections received by Agent,
      each Lender hereby agrees that it is and shall be obligated to pay to or
      reimburse Agent for the amount of such Lender's Pro Rata Share thereof. Whether
      or not the transactions contemplated hereby are consummated, the Lenders shall
      indemnify upon demand the Agent-Related Persons (to the extent not reimbursed
      by
      or on behalf of Borrower and without limiting the obligation of Borrower to
      do
      so), according to their Pro Rata Shares, from and against any and all such
      costs
      and expenses; provided,
      that no
      Lender shall be liable for the payment to any Agent-Related
      Person of any portion of such costs and expenses resulting solely from such
      Person's gross negligence or willful misconduct, nor shall any Lender (other
      than the Defaulting Lender) be liable for the obligations of any Defaulting
      Lender in failing to make an Advance or other extension of credit hereunder.
      Without limitation of the foregoing, each Lender shall reimburse Agent upon
      demand for such Lender's Pro Rata Share of any costs or out of pocket expenses
      (including legal, accountants, advisors, and consultants fees and expenses)
      incurred by Agent in connection with the preparation, execution, delivery,
      administration, modification, amendment, or enforcement (whether through
      negotiations, legal proceedings or otherwise) of, or legal advice in respect
      of
      rights or responsibilities under, this Agreement, any other Loan Document,
      or
      any document contemplated by or referred to herein, to the extent that Agent
      is
      not reimbursed for such expenses by or on behalf of Borrower. The undertaking
      in
      this Section shall survive the payment of all Obligations hereunder and the
      resignation or replacement of Agent.

     

    
      
        
        

      

      
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    10.8. Agent
      in Individual Capacity. 

     

    Agent
      and
      any of its Affiliates may make loans to, issue letters of credit for the account
      of, accept deposits from, acquire equity interests in, and generally engage
      in
      any kind of banking, trust, financial advisory, underwriting, or other business
      with Borrower and its Subsidiaries and Affiliates and any other Person party
      to
      any Loan Documents as Agent was not Agent hereunder, and, in each case, without
      notice to or consent of the other members of the Lender Group. The other members
      of the Lender Group acknowledge that, pursuant to such activities, Agent or
      its
      Affiliates may receive information regarding Borrower or its Affiliates and
      any
      other Person party to any Loan Documents that is subject to confidentiality
      obligations in favor of Borrower or such other Person and that prohibit the
      disclosure of such information to the Lenders, and the Lenders acknowledge
      that,
      in such circumstances (and in the absence of a waiver of such confidentiality
      obligations, which waiver Agent will use its reasonable best efforts to obtain),
      Agent shall not be under any obligation to provide such information to them.
      The
      terms "Lender" and "the Lenders" include Agent in its individual capacity as
      a
      Lender. 

     

    
      
        
        

      

      
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    10.9. Successor
      Agent. 

     

    Agent
      may
      resign as Agent upon 45 days notice to the Lenders. If Agent resigns under
      this
      Agreement, the Required Lenders shall appoint a successor Agent for the Lenders;
      provided,
      that
      Borrower shall have consented to such successor Agent (which consent shall
      not
      be unreasonably withheld or delayed), except that such consent of Borrower
      shall
      not be required if (a) an Event of Default then exists, (b) such
      successor Agent is becoming a successor Agent in connection with a merger or
      consolidation with or acquisition of Agent, or (c) such successor Agent is
      an Affiliate of the resigning Agent. If no successor Agent is appointed prior
      to
      the effective date of the resignation of Agent, Agent may appoint, after
      consulting with the Lenders (and, unless an Event of Default then exists,
      Borrower), a successor Agent. In any such event, upon the acceptance of its
      appointment as successor Agent hereunder, such successor Agent shall succeed
      to
      all the rights, powers, and duties of the retiring Agent and the term "Agent"
      shall mean such successor Agent and the retiring Agent's appointment, powers,
      and duties as Agent shall be terminated. After any retiring Agent's resignation
      hereunder as Agent, the provisions of this Section 10 shall inure to its benefit
      as to any actions taken or omitted to be taken by it while it was Agent under
      this Agreement. If no successor Agent has accepted appointment as Agent by
      the
      date which is 45 days following a retiring Agent's notice of resignation, the
      retiring Agent's resignation shall nevertheless thereupon become effective
      and
      the Lenders shall perform all of the duties of Agent hereunder until such time,
      if any, as the Lenders appoint a successor Agent as provided for above.

     

    10.10.  Lender
      in Individual Capacity. 

     

    Any
      Lender and its respective Affiliates may make loans to, issue letters of credit
      for the account of, accept deposits from, acquire equity interests in and
      generally engage in any kind of banking, trust, financial advisory, underwriting
      or other business with Borrower and its Subsidiaries and Affiliates and any
      other Person party to any Loan Documents as though such Lender were not a Lender
      hereunder without notice to or consent of the other members of the Lender Group.
      The other members of the Lender Group acknowledge that, pursuant to such
      activities, such Lender and its respective Affiliates may receive information
      regarding Borrower or its Affiliates and any other Person party to any Loan
      Documents that is subject to confidentiality obligations in favor of Borrower
      or
      such other Person and that prohibit the disclosure of such information to the
      Lenders, and the Lenders acknowledge that, in such circumstances (and in the
      absence of a waiver of such confidentiality obligations, which waiver such
      Lender will use its reasonable best efforts to obtain), such Lender shall not
      be
      under any obligation to provide such information to them. With respect to the
      Disproportionate Advances and Protective Advances, Agent shall have the same
      rights and powers under this Agreement as any other Lender and may exercise
      the
      same as though it were not the Agent.

     

    
      
        
        

      

      
        -37-

        
          

        

      

      
        
        

      

    

     

    10.11. Matters
      Relating to Collateral and Obligations. 

     

    (a) The
      Lenders hereby irrevocably authorize Agent, at its option and in its sole
      discretion, to release Agent's Lien on any Collateral (i) upon the
      termination of the Commitments and payment and satisfaction in full by Borrower
      of all Obligations, (ii) constituting property being sold or disposed of if
      a release is required or desirable in connection therewith and if Borrower
      certifies to Agent that the sale or disposition is permitted under this
      Agreement or the other Loan Documents (and Agent may rely conclusively on any
      such certificate, without further inquiry), (iii) constituting property in
      which no Credit Party owned any interest at the time Agent's Lien was granted
      or
      at any time thereafter, or (iv) constituting property leased to a Credit
      Party under a lease that has expired or is terminated in a transaction permitted
      under this Agreement. Except as provided above, Agent will not execute and
      deliver a release of any Lien on any Collateral without the prior written
      authorization of (y) if the release is of all or substantially all of the
      Collateral, all of Agent and the Lenders, or (z) otherwise, Agent and the
      Required Lenders. Upon request by Agent or Borrower at any time, the Lenders
      will confirm in writing Agent's authority to release any such Liens on
      particular types or items of Collateral pursuant to this Section 10.11;
provided,
      that
      (x)  Agent shall not be required to execute any document necessary to
      evidence such release on terms that, in Agent's opinion, would expose Agent
      to
      liability or create any obligation or entail any consequence other than the
      release of such Lien without recourse, representation, or warranty, and
      (y) such release shall not in any manner discharge, affect, or impair the
      Obligations or any Liens (other than those expressly being released) upon (or
      obligations of Borrower in respect of) all interests retained by Borrower,
      including, the proceeds of any sale, all of which shall continue to constitute
      part of the Collateral.

     

    (b) Agent
      shall have no obligation whatsoever to any of the Lenders to assure that the
      Collateral exists or is owned by any Credit Party or any other Person or is
      cared for, protected, or insured or has been encumbered, or that Agent's Liens
      have been properly or sufficiently or lawfully created, perfected, protected,
      or
      enforced or are entitled to any particular priority, or to exercise at all
      or in
      any particular manner or under any duty of care, disclosure or fidelity, or
      to
      continue exercising, any of the rights, authorities and powers granted or
      available to Agent pursuant to any of the Loan Documents, it being understood
      and agreed that in respect of the Collateral and the Obligations, or any act,
      omission, or event related thereto, subject to the terms and conditions
      contained herein, Agent may act in any manner it may deem appropriate, in its
      sole discretion given Agent's own interest in the Collateral and the Obligations
      in its capacity as one of the Lenders and that Agent shall have no other duty
      or
      liability whatsoever to any Lender as to any of the foregoing, except as
      otherwise provided herein. 

     

    10.12. Restrictions
      on Actions by the Lenders, Sharing Payments. 

     

    (a) Each
      of
      the Lenders agrees that it shall not, without the express written consent of
      Agent, and that it shall, to the extent it is lawfully entitled to do so, upon
      the written request of Agent, set off against the Obligations, any amounts
      owing
      by such Lender to Borrower or any deposit accounts of Borrower now or hereafter
      maintained with such Lender. Each of the Lenders further agrees that it shall
      not, unless specifically requested to do so in writing by Agent, take or cause
      to be taken any action, including, the commencement of any legal or equitable
      proceedings, to foreclose any Lien on, or otherwise enforce any security
      interest in, any of the Collateral.

     

    
      
        
        

      

      
        -38-

        
          

        

      

      
        
        

      

    

     

    (b) If,
      at
      any time or times any Lender shall receive (i) by payment, foreclosure,
      setoff, or otherwise, any proceeds of Collateral or any payments with respect
      to
      the Obligations, except for any such proceeds or payments received by such
      Lender from Agent pursuant to the terms of this Agreement, or (ii) payments
      from Agent in excess of such Lender's applicable portion of all such
      distributions by Agent, such Lender promptly shall (x) turn the same over
      to Agent, in kind, and with such endorsements as may be required to negotiate
      the same to Agent, or in immediately available funds, as applicable, for the
      account of all of the Lenders and for application to the Obligations in
      accordance with Section 5.3, or (y) purchase, without recourse or warranty,
      an undivided interest and participation in the Obligations owed to the other
      the
      Lenders so that such excess payment received shall be applied among the Lenders
      in accordance with their ratable portions of principal and applicable portions
      of interest and fees; provided,
      however,
      that to the extent that such excess payment received by the purchasing party
      is
      thereafter recovered from it, those purchases of participations shall be
      rescinded in whole or in part, as applicable, and the applicable portion of
      the
      purchase price paid therefor shall be returned to such purchasing party, but
      without interest except to the extent that such purchasing party is required
      to
      pay interest in connection with the recovery of the excess payment.

     

    10.13. Agency
      for Perfection. 

     

    Agent
      hereby appoints each Lender as its agent (and each Lender hereby accepts such
      appointment) for the purpose of perfecting Agent's Liens in assets which, in
      accordance with the applicable personal property security legislation can be
      perfected only by possession or control. Should any Lender obtain possession
      or
      control of any such Collateral, such Lender shall notify Agent thereof, and,
      promptly upon Agent's request therefor shall deliver possession or control
      of
      such Collateral to Agent or in accordance with Agent's
      instructions.

     

    10.14. Payments
      by Agent to the Lenders. 

     

    All
      payments to be made by Agent to the Lenders shall be made by bank wire transfer
      of immediately available funds pursuant to such wire transfer instructions
      as
      each party may designate for itself by written notice to Agent. Concurrently
      with each such payment, Agent shall identify whether such payment (or any
      portion thereof) represents principal, premium, fees, or interest of the
      Obligations.

     

    10.15. Concerning
      the Collateral and Related Loan Documents. 

     

    Each
      member of the Lender Group authorizes and directs Agent to enter into this
      Agreement and the other Loan Documents. Each member of the Lender Group agrees
      that any action taken by Agent in accordance with the terms of this Agreement
      or
      the other Loan Documents relating to the Collateral and the exercise by Agent
      of
      its powers set forth therein or herein, together with such other powers that
      are
      reasonably incidental thereto, shall be binding upon all of the
      Lenders.

     

    
      
        
        

      

      
        -39-

        
          

        

      

      
        
        

      

    

     

    10.16. Field
      Audits and Examination Reports, Confidentiality, Disclaimers by the Lenders,
      Other Reports and Information. 

     

    (a) By
      becoming a party to this Agreement, each Lender: (i) is deemed to have requested
      that Agent furnish such Lender, promptly after it becomes available, a copy
      of
      each field audit or examination report (each a "Report"
      and
      collectively, "Reports")
      prepared by or at the request of Agent, and Agent shall so furnish each Lender
      with such Reports, (ii) expressly agrees and acknowledges that Agent
      (A) makes no representation or warranty as to the accuracy of any Report
      and (B) shall not be liable for any information contained in any Report,
      (iii) expressly agrees and acknowledges that the Reports are not comprehensive
      audits or examinations, that Agent or any other party performing any audit
      or
      examination will inspect only specific information regarding Credit Parties
      and
      will rely significantly upon the books and records of Credit Parties, as well
      as
      on representations of Credit Parties' personnel, (iv) agrees to keep all Reports
      and other material, non-public information regarding Credit Parties and their
      operations, assets, and existing and contemplated business plans in a
      confidential manner in accordance with Section 12.10, and (v) without limiting
      the generality of any other indemnification provision contained in this
      Agreement, agrees: (A) to hold Agent and any such other Lender preparing a
      Report harmless from any action the indemnifying Lender may take or fail to
      take
      or any conclusion the indemnifying Lender may reach or draw from any Report
      in
      connection with any loans or other credit accommodations that the indemnifying
      Lender has made or may make to Credit Parties, or the indemnifying Lender's
      participation in, or the indemnifying Lender's purchase of, a loan or loans
      of
      any of the Credit Parties; and (B) to pay and protect, and indemnify,
      defend and hold Agent, and any such other Lender preparing a Report harmless
      from and against, the claims, actions, proceedings, damages, costs, expenses,
      and other amounts (including, legal fees and costs) incurred by Agent and any
      such other Lender preparing a Report as the direct or indirect result of any
      third parties who might obtain all or part of any Report through the
      indemnifying Lender.

     

    (b) In
      addition to the foregoing: (x) any Lender may from time to time request of
      Agent in writing that Agent provide to such Lender a copy of any report or
      document provided by any Credit Party to Agent that has not been
      contemporaneously provided by such Credit Party to such Lender, and, upon
      receipt of such request, Agent promptly shall provide a copy of same to such
      Lender, (y) to the extent that Agent is entitled, under any provision of
      the Loan Documents, to request additional reports or information from any Credit
      Party, any Lender may, from time to time, reasonably request Agent to exercise
      such right as specified in such Lender's notice to Agent, whereupon Agent
      promptly shall request of Credit Parties the additional reports or information
      reasonably specified by such Lender, and, upon receipt thereof from such Credit
      Party, Agent promptly shall provide a copy of same to such Lender, and
      (z) any time that Agent renders to Borrower a statement regarding the Loan
      Account, Agent shall send a copy of such statement to each Lender.

     

    
      
        
        

      

      
        -40-

        
          

        

      

      
        
        

      

    

    

      10.17. Several
        Obligations, No Liability. 

       

      Notwithstanding
        that certain of the Loan Documents now or hereafter may have been or will
        be
        executed only by or in favor of Agent in its capacity as such, and not by
        or in
        favor of the Lenders, any and all obligations on the part of Agent (if any)
        to
        make any credit available hereunder shall constitute the several (and not
        joint)
        obligations of the respective the Lenders on a ratable basis, according to
        their
        respective Commitments, to make an amount of such credit not to exceed, in
        principal amount, at any one time outstanding, the amount of their respective
        Commitments. Nothing contained herein shall confer upon any Lender any interest
        in, or subject any Lender to any liability for, or in respect of, the business,
        assets, profits, losses, or liabilities of any other Lender. Each Lender
        shall
        be solely responsible for notifying its participants of any matters relating
        to
        the Loan Documents to the extent any such notice may be required, and no
        Lender
        shall have any obligation, duty, or liability to any participant of any other
        Lender. Except as expressly provided in this Agreement, no member of the
        Lender
        Group shall have any liability for the acts of any other member of the Lender
        Group. No Lender shall be responsible to Borrower or any other Person for
        any
        failure by any other Lender to fulfill its obligations to make credit available
        hereunder, nor to advance for it or on its behalf in connection with its
        Commitment, nor to take any other action on its behalf hereunder or in
        connection with the financing contemplated herein. 

       

      
        	
                11.

              	
                SETTLEMENTS,
                  DISTRIBUTIONS AND APPORTIONMENT OF
                  PAYMENTS.

              

      

       

      11.1. Procedure. 

       

      On
        a
        weekly basis (or more frequently if requested by Agent (a "Settlement
        Date"),
        Agent
        shall provide each Lender with a statement of the outstanding balance of
        the
        Loans as of the end of the Business Day immediately preceding the Settlement
        Date (the "Pre-Settlement
        Determination Date")
        and
        the current balance of the Loans funded by each Lender (whether made directly
        by
        such Lender to Borrower or constituting a settlement by such Lender of a
        previous Disproportionate Advance or Protective Advance made by Agent on
        behalf
        of such Lender to Borrower). If such statement discloses that such Lender's
        current balance of the Loans as of the Pre-Settlement Determination Date
        exceeds
        such Lender's (a) Pro Rata Revolving Share of the Revolving Loans plus (b)
        Pro
        Rata Term Loan A Share of Term Loan A plus (c) Pro Rata Term
        Loan B Share of Term Loan B, in each case outstanding as of the
        Pre-Settlement Determination Date, then Agent shall, on the Settlement Date,
        transfer, by wire transfer, the net amount due to such Lender in accordance
        with
        such Lender's instructions, and if such statement discloses that such Lender's
        current balance of the Loans as of the Pre-Settlement Determination Date
        is less
        than such Lender's (a) Pro Rata Revolving Share of the Revolving Loans, plus
        (b)
        Pro Rata Term Loan A Share of Term Loan A, plus (c) Pro Rata Term
        Loan B Share of Term Loan B, in each case outstanding as of the
        Pre-Settlement Determination Date, then such Lender shall, on the Settlement
        Date, transfer, by wire transfer the net amount due to Agent in accordance
        with
        Agent's instructions. In addition, on a monthly basis, Agent shall pay to
        Lenders interest and fees as agreed between Agent and each Lender in a separate
        agreement with each such Lender.

       

      
        
          
          

        

        
          -41-

          
            

          

        

        
          
          

        

      

       

      Notwithstanding
        the foregoing, Agent shall not be obligated to transfer to any Defaulting
        Lender
        any payment made by Borrower to Agent, nor shall such Defaulting Lender be
        entitled to share any interest, fees or other payment hereunder, until all
        payments are made by such Defaulting Lender to Agent and Borrower as required
        in
        this Agreement.

       

      
        	
                12.

              	
                GENERAL
                  PROVISIONS.

              

      

       

      12.1. Notices. 

       

      All
        notices or demands to be given under this Agreement shall be in writing and
        shall be given by hand delivery, by overnight courier, by regular first-class
        mail or certified mail return receipt requested, addressed to Agent, a Lender
        or
        Borrower, as applicable, at the address shown below, or by facsimile to the
        facsimile number shown below, or at any other address (or to any other facsimile
        number) designated in writing by one party to the other parties in the manner
        prescribed in this Section 12.1. All notices or demands sent in accordance
        with this Section 12.1 by (a) facsimile transmission shall be deemed to have
        been received when sent, (b) by mail shall be deemed to have been received
        three
        Business Days after the date when sent, and (c) by hand delivery or overnight
        courier service shall be deemed to have been received one Business Day after
        the
        date when sent. 

       

      
        	
                If
                  to Borrower:

              	 	
                APPALACHIAN
                  OIL COMPANY, INC.

                P.O.
                  Box 1500

                1992
                  Highway 75

                Blountville,
                  Tennessee 37617

                Attn: Ernestine
                  Clark

                Fax
                  No. (423) 279-6752

              
	 	 	 
	
                with
                  a copy to:

              	 	
                TITAN
                  GLOBAL HOLDINGS, INC.

                1700
                  Jay Ell Drive, Suite 200

                Richardson,
                  Texas 75081

                Attn: Bryan
                  Chance

                Fax
                  No. (972) 470-9105

              
	 	 	 
	
                and
                  to:

              	 	
                SICHENZIA,
                  ROSS, FRIEDMAN & FERENCE, LLP

                61
                  Broadway, 32nd Floor

                New
                  York, New York 10006

                Attn: Thomas
                  A. Rose, Esq.

                Fax
                  No. (212) 930-9725

              
	 	 	 
	
                If
                  to Agent:

              	 	
                GREYSTONE
                  BUSINESS CREDIT II, L.L.C.

                152
                  West 57th Street, 60th Floor

                New
                  York, New York 10019

                Attn: David
                  Hill, Portfolio Manager

                Fax
                  No. (212) 896-9199

              

      

       

      
        
          
          

        

        
          -42-

          
            

          

        

        
          
          

        

      

       

      
        	
                with
                  a copy to:

              	 	
                GOLDBERG
                  KOHN BELL BLACK ROSENBLOOM & MORITZ, LTD.

                55
                  East Monroe Street, Suite 3300

                Chicago,
                  IL 60603

                Attn: Philip
                  M. Blackman, Esq.

                Fax
                  No.: (312) 332-2196

              
	 	 	 
	
                If
                  to any Lender

              	 	
                See
                  notice address set forth below such Lender's signature block hereto
                  or as
                  specified in the Assignment and
                  Acceptance

              

      

       

      12.2. Severability. 

       

      If
        any
        provision of this Agreement, or the application thereof to any party or
        circumstance, is held to be void or unenforceable by any court of competent
        jurisdiction, such defect shall not affect the remainder of this Agreement,
        which shall continue in full force and effect.

       

      12.3. Know
        Your Customer.

       

      If:

       

      (a) the
        introduction of or any change in (or in the interpretation, administration
        or
        application of) any law or regulation made after the date of this Agreement;
        or

       

      (b) any
        change in the status of any Credit Party or the composition or ownership
        of the
        shareholders or partners of any Credit Party, as the case may be, after the
        date
        of this Agreement; or

       

      (c) a
        proposed assignment or transfer by Agent or any Lender of any of their
        respective rights and/or obligations under this Agreement to a third party
        prior
        to such assignment or transfer,

       

      obliges
        Agent or any Lender (or, in the case of paragraph (c) above, any prospective
        new
        Agent or new Lender) to comply with "know your customer" or similar
        identification procedures in circumstances where the necessary information
        is
        not already available to it, Borrower shall, promptly upon the request of
        Agent
        or such Lender, supply such documentation and other evidence as is reasonably
        requested by Agent (for itself or on behalf of any Lender) or any Lender
        (for
        itself or, in the case of any event described in paragraph (c) above, on
        behalf
        of any prospective new Lender) in order for Agent, such Lender or, in the
        case
        of the event described in paragraph (c) above, any prospective new Lender
        to
        carry out and be satisfied with the results of all necessary "know your
        customer" or other similar checks under all applicable law and regulations
        pursuant to the transactions contemplated in the Loan Documents.

       

      
        
          
          

        

        
          -43-

          
            

          

        

        
          
          

        

      

       

      12.4. Integration. 

       

      This
        Agreement and the other Loan Documents represent the final, entire and complete
        agreement among Borrower, Agent and the Lenders and supersede all prior and
        contemporaneous negotiations, oral representations and agreements, all of
        which
        are merged and integrated into this Agreement. THERE ARE NO ORAL UNDERSTANDINGS,
        REPRESENTATIONS OR AGREEMENTS BETWEEN THE PARTIES THAT ARE NOT SET FORTH
        IN THIS
        AGREEMENT OR THE OTHER LOAN DOCUMENTS.

       

      12.5. Waivers. 

       

      The
        failure of Agent or the Lenders at any time or times to require Borrower
        to
        strictly comply with any of the provisions of this Agreement or any other
        Loan
        Documents shall not waive or diminish any right of Agent or the Lenders later
        to
        demand and receive strict compliance therewith. Any waiver of any default
        shall
        not waive or affect any other default, whether prior or subsequent, and whether
        or not similar. None of the provisions of this Agreement or any other Loan
        Document shall be deemed to have been waived by any act or knowledge of Agent,
        the Lenders or their respective agents or employees, but only by a specific
        written waiver signed by an authorized officer of Agent and the applicable
        Lenders, if any, specified by Section 12.6 and delivered to Borrower. Borrower
        waives demand, protest, notice of protest and notice of default or dishonor,
        notice of payment and nonpayment, release, compromise, settlement, extension
        or
        renewal of any commercial paper, Instrument, Account, General Intangible,
        Document, Chattel Paper, Investment Property or guaranty at any time held
        by
        Lender on which Borrower is or may in any way be liable, and notice of any
        action taken by Lender, unless expressly required by this Agreement, and
        notice
        of acceptance hereof.

       

      12.6. Amendment,
        Waivers and Consents.

       

      (a) No
        amendment or waiver of any provision of this Agreement or any of the Loan
        Documents, or consent to any departure by any Credit Party therefrom, shall
        in
        any event be effective unless the same shall be in writing and signed by
        Agent
        and Required Lenders, or if the Lenders shall not be parties thereto, by
        the
        parties thereto and consented to by Agent and Required Lenders, and each
        such
        amendment, waiver or consent shall be effective only in the specific instance
        and for the specific purpose for which given; provided,
        that no
        amendment, waiver or consent shall, unless in writing and signed by all the
        Lenders (or with respect to clauses (i), (ii), (iii) or (iv) below, all directly
        affected Lenders), do any of the following: (i) increase the Revolving Loan
        Commitment, Term Loan A Commitment or Term Loan B Commitment of any
        Lender, (ii) reduce the principal of, or interest on, the Loans (other than
        as expressly permitted herein) or any fees hereunder, (iii) postpone any
        date fixed for any payment in respect of principal of, or interest on, the
        Loans
        or any fees hereunder, (iv) change the Adjusted Pro Rata Revolving Share,
        Pro Rata Revolving Share, Pro Rata Share, Pro Rata Term Loan A Share or
        Term Loan B Share of any Lender, or any minimum requirement necessary for
        the Agent, Lenders or Required Lenders to take any action hereunder,
        (v) amend or waive this Section 12.6, or change the definition of Required
        Lenders, or (vii) except in connection with the financing, refinancing,
        sale or other disposition of any asset of Borrower permitted under this
        Agreement (or to the extent Agent's and Required Lenders' approval only is
        required with any such release pursuant to Section 10.11), release or
        subordinate any Agent's Liens on any of the Collateral and provided further,
        that no amendment, waiver or consent affecting the rights or duties of Agent
        under this Agreement or any Loan Documents shall in any event be effective,
        unless in writing and signed by Agent in addition to the Lenders required
        hereinabove to take such action. Notwithstanding any of the foregoing to
        the
        contrary, (A) for purposes of voting or consenting to matters with respect
        to this Agreement and the Loan Documents, a Defaulting Lender shall not be
        considered a Lender and such Defaulting Lender's Revolving Loan Commitment,
        Term
        Loan A Commitment and Term Loan B Commitment shall each be deemed to
        be $0 until such Defaulting Lender makes the payments required in this Agreement
        and (B) the consent of Borrower shall not be required for any amendment,
        modification or waiver of the provisions of this Section 12.6. 

       

      
        
          
          

        

        
          -44-

          
            

          

        

        
          
          

        

      

       

      (b) In
        the
        event that any consent, waiver or amendment requiring the approval of all
        Lenders, all directly affected Lenders or Required Lenders as set forth above
        is
        agreed to by Agent, but not by all Lenders, all directly affected Lenders
        or
        Required Lenders (any such Lender not providing such approval is hereinafter
        referred to as a "Non-Consenting
        Lender"),
        as
        applicable, or in the event that any Lender is a Defaulting Lender, then
        in
        either case Agent may, in its sole discretion, cause any such Non-Consenting
        Lender or Defaulting Lender to assign its rights and obligations under this
        Agreement and the Loan Documents to one or more new Lenders or existing Lenders
        in the manner and according to the terms set forth in Section 12.8; provided,
        that (i)
        in the case of a replacement of a Non-Consenting Lender, such new Lender
        must be
        willing to consent to the proposed consent, waiver or amendment and (ii) in
        connection with such assignment the new Lender pays the assigning Lender
        an
        amount equal to the outstanding Obligations owing to such assigning Lender,
        including all principal, accrued and unpaid interest and accrued and unpaid
        fees
        to the date of assignment. Such assignment shall occur within thirty (30)
        (or
        such shorter period of time as may be required by Agent in its sole discretion)
        days of notice by Agent to such Non-Consenting Lender or Defaulting Lender
        of
        Agent's intent to cause such Lender to assign its interests hereunder. In
        the
        event that any such Non-Consenting Lender or Defaulting Lender fails to execute
        any documents (including an Assignment and Acceptance) or take any other
        action
        required in connection with an assignment required pursuant to this clause
        (b),
        such Lender hereby grants to Agent an irrevocable power of attorney, coupled
        with an interest, authorizing and permitting Agent (acting through any of
        its
        officers, employees, attorneys or agents), at any time, at Agent's option,
        but without obligation, with or without notice to such Lender, and at such
        Lender's expense, to execute any such document or take any such action, in
        such
        Lender's name or otherwise.

       

      12.7. Time
        of Essence. 

       

      Time
        is
        of the essence in the performance by Borrower of each and every obligation
        under
        this Agreement and the other Loan Documents.

       

      12.8. Attorneys
        Fees and Costs. 

       

      Borrower
        shall reimburse Agent and the Lenders for all reasonable attorneys' and
        paralegals' fees (including in-house attorneys and paralegals employed by
        Agent
        and the Lenders) and all filing, recording, search, title insurance, appraisal,
        audit, and other costs incurred by Agent and the Lenders, pursuant to, in
        connection with, or relating to this Agreement, including all reasonable
        attorneys' fees and costs Agent and Lenders incur to prepare and negotiate
        this
        Agreement and the other Loan Documents; to obtain legal advice in connection
        with this Agreement and the other Loan Documents or Borrower or any Obligor;
        for
        Agent to administer this Agreement and the other Loan Documents (including
        the
        cost of periodic financing statement, tax Lien and other searches conducted
        by
        Agent); to enforce, or seek to enforce, any of its rights; prosecute actions
        against, or defend actions by, Account Debtors; to commence, intervene in,
        or
        defend any action or proceeding; to enforce and protect, or to seek to enforce
        and protect, any of its rights and interests in any bankruptcy case of any
        Credit Party or any other Obligor, including by initiating and prosecuting
        any
        motion for relief from the automatic stay and by initiating, prosecuting
        or
        defending any other contested matter or adversary proceeding in bankruptcy;
        to
        file or prosecute any probate claim, bankruptcy claim, third-party claim,
        or
        other claim; to examine, audit, copy, and inspect any of the Collateral or
        any
        of any Credit Party's or any other Obligor's books and records; to protect,
        obtain possession of, lease, dispose of, or otherwise enforce Agent's Liens
        in
        the Collateral; and to otherwise represent Agent or any Lender in any litigation
        relating to Borrower or any Obligor. If Agent, the Lenders or Borrower files
        any
        lawsuit against the other predicated on a breach of this Agreement, the
        prevailing party in such action shall be entitled to recover its reasonable
        costs and attorneys' fees, including reasonable attorneys' fees and costs
        incurred in the enforcement of, execution upon or defense of any order, decree,
        award or judgment. All attorneys' fees and costs to which Agent or the Lenders
        may be entitled pursuant to this Section 12.8 shall immediately become part
        of
        the Obligations, shall be due on demand, and shall bear interest at a rate
        equal
        to the highest interest rate applicable to any of the Obligations.

       

      
        
          
          

        

        
          -45-

          
            

          

        

        
          
          

        

      

       

      12.9. Benefit
        of Agreement; Assignability. 

       

      (a) The
        provisions of this Agreement shall be binding upon and inure to the benefit
        of
        the respective successors, permitted assigns, heirs, beneficiaries and
        representatives of each of Borrower, Agent and Lenders; provided,
        that
        Borrower may not assign or transfer any of its rights under this Agreement
        without the prior written consent of Agent and each Lender, and any prohibited
        assignment shall be void. No consent by Agent and Lenders to any assignment
        by
        Borrower shall release Borrower from its liability for any of the Obligations.
        

       

      (b) Each
        Lender may, with the consent of Agent which consent shall be in Agent's sole
        discretion, but without the consent of any other Lender or Borrower, assign
        to
        one or more Persons all or a portion of its rights and obligations under
        this
        Agreement and the Loan Documents; provided,
        that
        (i) for each such assignment, the parties thereto shall execute and deliver
        to Agent, for its acceptance and recording in the Register, an Assignment
        and
        Acceptance Agreement in the form attached hereto as Exhibit B (the "Assignment
        and Acceptance"),
        and a
        processing and recordation fee of $3,500 to be paid by the assignee, and
        (ii) absent the consent of Agent, no such assignment (other than an
        assignment of all of the Loans and Commitments of such Lender) shall be for
        less
        than $2,500,000. Upon such execution and delivery of the Assignment and
        Acceptance to Agent and satisfaction of the other above noted terms and
        conditions, from and after the date specified as the effective date in the
        Assignment and Acceptance, (x) the assignee thereunder shall be a party
        hereto, and, to the extent that rights and obligations hereunder have been
        assigned to it pursuant to such Assignment and Acceptance, such assignee
        shall
        have the rights and obligations of a Lender hereunder and (y) the assignor
        thereunder shall, to the extent that rights and obligations hereunder have
        been
        assigned by it pursuant to such Assignment and Acceptance, relinquish its
        rights
        (other than any rights it may have pursuant to Section 7.2, which will survive)
        and be released from its obligations under this Agreement (and, in the case
        of
        an Assignment and Acceptance covering all or the remaining portion of an
        assigning Lender's rights and obligations under this Agreement, such Lender
        shall cease to be a party hereto).

       

      
        
          
          

        

        
          -46-

          
            

          

        

        
          
          

        

      

       

      (c) By
        executing and delivering an Assignment and Acceptance, the assignee thereunder
        confirms and agrees as follows: (i) other than as provided in such
        Assignment and Acceptance, the assigning Lender makes no representation or
        warranty and assumes no responsibility with respect to any statements,
        warranties or representations made in or in connection with this Agreement
        and
        the Loan Documents or the execution, legality, validity, enforceability,
        genuineness, sufficiency or value of this Agreement or any of the other Loan
        Documents, (ii) such assigning Lender makes no representation or warranty
        and assumes no responsibility with respect to the financial condition of
        Borrower or any Obligor or the performance or observance by Borrower or any
        Obligor of its obligations under this Agreement and the other Loan Documents,
        (iii) such assignee confirms that it has received a copy of this Agreement
        and the other Loan Documents that it has requested, together with copies
        of the
        financial statements referred to in Section 6.9 and such other documents
        and
        information as it has deemed appropriate to make its own credit analysis
        and
        decision to enter into such Assignment and Acceptance, (iv) such assignee
        will, independently and without reliance upon Agent, such assigning Lender
        or
        any other Lender and based on such documents and information as it shall
        deem
        appropriate at the time, continue to make its own credit decisions in taking
        or
        not taking action under this Agreement and under the other Loan Documents,
        (v) such assignee appoints and authorizes Agent to take such action on its
        behalf and to exercise such powers under this Agreement as are delegated
        to
        Agent by the terms hereof, together with such powers as are reasonably
        incidental thereto and (vi) such assignee agrees that it will perform in
        accordance with their terms all of the obligations which by the terms of
        this
        Agreement are required to be performed by it as a Lender.

       

      (d) Agent
        shall, maintain at its address referred to in Section 12.1 a copy of each
        Assignment and Acceptance delivered to and accepted by it and a register
        for the
        recordation of the names and addresses of the Lenders and the Revolving Loan
        Commitment, Term Loan A Commitment, Term Loan B Commitment and
        principal amount of the Loans owing to, each Lender from time to time (the
        "Register").
        The
        entries in the Register shall be conclusive and binding for all purposes,
        absent
        manifest error, and Borrower, Agent and the Lenders may treat each Person
        whose
        name is recorded in the Register as a Lender hereunder for all purposes of
        this
        Agreement. The Register and copies of each Assignment and Acceptance shall
        be
        available for inspection by Borrower, Agent or any Lender at any reasonable
        time
        and from time to time upon reasonable prior notice.

       

      (e) Upon
        its
        receipt of an Assignment and Acceptance executed by the assigning and assignee
        Lender and consented to by Agent, Agent shall, if such Assignment and Acceptance
        has been completed and is in substantially the form of Exhibit B hereto,
        (i) record the information contained therein in the Register and
        (ii) give prompt notice thereof to Borrower. Within five (5) Business Days
        after its receipt of such notice, Borrower shall execute and deliver to Agent
        in
        exchange for the surrendered promissory note or notes, a new promissory note
        or
        notes to the order of the assignee in amounts equal to such assignee's
        Commitments and outstanding Loans hereunder and, if the assigning Lender
        has
        retained a portion of the Commitments or Loans, a new promissory note or
        notes
        to the order of the assigning Lender in an amount equal to the remaining
        Commitments and outstanding Loans hereunder of such assigning Lender under
        the
        terms of this Agreement. Such new promissory note or notes shall re-evidence
        the
        indebtedness outstanding under the old promissory note or notes and shall
        be in
        the aggregate principal amount of such surrendered promissory note or notes,
        shall be dated of even date herewith and shall otherwise be in substantially
        the
        form of the promissory note or notes subject to such assignment.

       

      
        
          
          

        

        
          -47-

          
            

          

        

        
          
          

        

      

       

      (f) Each
        Lender may, with prior written notice to Agent, sell participations (without
        the
        consent of Agent, Borrower or any other Lender) to one or more parties, in
        or to
        all (or a portion) of its rights and obligations under this Agreement (including
        all or a portion of its Revolving Loan Commitment, Term Loan A Commitment,
        Term Loan B Commitment or the Loans owing to it); provided,
        that
        (i) such Lender's obligations under this Agreement shall remain unchanged,
        (ii) such Lender shall remain solely responsible to the other parties
        hereto for the performance of such obligations, (iii) Borrower, Agent, and
        the other the Lenders shall continue to deal solely and directly with such
        Lender in connection with such Lender's rights and obligations under this
        Agreement and the other Loan Documents and (iv) such Lender shall not transfer,
        grant, assign or sell any participation under which the participant shall
        have
        rights to approve any amendment, waiver or consent of this Agreement or any
        other Loan Document.

       

      (g) Each
        Lender agrees that, without the prior written consent of Borrower and Agent,
        it
        will not make any assignment hereunder in any manner or under any circumstances
        that would require registration or qualification of, or filings in respect
        of,
        any Loan or other Obligations under the securities laws of the United States
        of
        America or of any jurisdiction.

       

      (h) In
        connection with the efforts of any Lender to assign its rights or obligations
        or
        to participate interests, such Lender may disclose any information in its
        possession regarding Borrower. 

       

      12.10. Confidentiality.

       

      Agent
        and
        Lenders each individually (and not jointly or jointly and severally) agree
        that
        material, non-public information regarding Credit Parties, their operations,
        assets, and existing and contemplated business plans shall be treated by
        Agents
        and the Lenders in a confidential manner, and shall not be disclosed by Agents
        and the Lenders to Persons who are not parties to this Agreement, except:
        (a) to attorneys for and other advisors, accountants, auditors, and
        consultants to any member of the Lender Group, (b) to Subsidiaries and
        Affiliates of any member of the Lender Group, provided that any such Subsidiary
        or Affiliate shall have agreed to receive such information hereunder subject
        to
        the terms of this Section 12.10, (c) as may be required by statute,
        decision, or judicial or administrative order, rule, or regulation, (d) as
        may be agreed to in advance by Credit Parties or as requested or required
        by any
        governmental authority pursuant to any subpoena or other legal process,
        (e) as to any such information that is or becomes generally available to
        the public (other than as a result of prohibited disclosure by Agent or the
        Lenders), (f) in connection with any assignment, prospective assignment,
        sale, prospective sale, participation or prospective participations, or pledge
        or prospective pledge of Agent or any Lender's interest under this Agreement,
        provided that any such assignee, prospective assignee, purchaser, prospective
        purchaser, participant, prospective participant, pledgee, or prospective
        pledgee
        shall have agreed to receive such information hereunder subject to the terms
        of
        this Section 12.10, and (g) in connection with any litigation or other
        adversary proceeding involving parties hereto which such litigation or adversary
        proceeding involves claims related to the rights or duties of such parties
        under
        this Agreement or the other Loan Documents. 

       

      
        
          
          

        

        
          -48-

          
            

          

        

        
          
          

        

      

       

      12.11. Headings;
        Construction. 

       

      Section
        and subsection headings are used in this Agreement only for convenience and
        do
        not affect the meanings of the provisions that they precede.

       

      12.12. GOVERNING
        LAW; CONSENT TO FORUM, ETC. 

       

      THIS
        AGREEMENT HAS BEEN NEGOTIATED, EXECUTED AND DELIVERED, AND SHALL BE DEEMED
        TO
        HAVE BEEN MADE, IN NEW YORK COUNTY, NEW YORK, AND SHALL BE GOVERNED BY AND
        CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. BORROWER
        HEREBY
        CONSENTS AND AGREES THAT THE STATE AND FEDERAL COURTS LOCATED IN NEW YORK
        COUNTY, NEW YORK OR ANY STATE IN WHICH ANY OF THE COLLATERAL IS LOCATED SHALL
        HAVE NON-EXCLUSIVE JURISDICTION TO HEAR AND DETERMINE ANY CLAIMS OR DISPUTES
        BETWEEN BORROWER, AGENT AND LENDERS PERTAINING TO THIS AGREEMENT, ANY OTHER
        LOAN
        DOCUMENTS OR ANY MATTER ARISING OUT OF OR RELATED TO THIS AGREEMENT OR THE
        OTHER
        LOAN DOCUMENTS. BORROWER EXPRESSLY SUBMITS AND CONSENTS IN ADVANCE TO SUCH
        JURISDICTION IN ANY ACTION OR SUIT COMMENCED IN ANY SUCH COURT, AND WAIVES
        ANY
        OBJECTION WHICH BORROWER MAY HAVE BASED UPON LACK OF PERSONAL JURISDICTION,
        IMPROPER VENUE OR FORUM NON CONVENIENS.
        BORROWER ALSO AGREES THAT ANY CLAIM OR DISPUTE BROUGHT BY BORROWER AGAINST
        AGENT
        OR LENDERS PURSUANT TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENT OR ANY MATTER
        ARISING OUT OF THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT SHALL BE BROUGHT
        EXCLUSIVELY IN THE STATE AND FEDERAL COURTS LOCATED IN NEW YORK COUNTY, NEW
        YORK. BORROWER HEREBY WAIVES PERSONAL SERVICE OF THE SUMMONS, COMPLAINT AND
        OTHER PROCESS ISSUED IN ANY SUCH ACTION OR SUIT AND AGREES THAT SERVICE OF
        SUCH
        SUMMONS, COMPLAINT AND OTHER PROCESS MAY BE MADE IN THE MANNER AND SHALL
        BE
        DEEMED RECEIVED AS SET FORTH IN SECTION 12.1 FOR NOTICES, TO THE EXTENT
        PERMITTED BY LAW. NOTHING IN THIS AGREEMENT SHALL BE DEEMED OR OPERATE TO
        AFFECT
        THE RIGHT OF AGENT OR LENDERS TO SERVE LEGAL PROCESS IN ANY OTHER MANNER
        PERMITTED BY LAW, OR TO PRECLUDE THE ENFORCEMENT BY AGENT OR LENDERS OF ANY
        JUDGMENT OR ORDER OBTAINED IN SUCH FORUM OR THE TAKING OF ANY ACTION UNDER
        THIS
        AGREEMENT TO ENFORCE THE SAME IN ANY OTHER APPROPRIATE FORUM OR
        JURISDICTION.

       

      
        
          
          

        

        
          -49-

          
            

          

        

        
          
          

        

      

       

      12.13. WAIVER
        OF JURY TRIAL, ETC. 

       

      BORROWER
        WAIVES (I) THE RIGHT TO TRIAL BY JURY (WHICH AGENT AND LENDERS ALSO WAIVE)
        IN ANY ACTION, SUIT, PROCEEDING OR COUNTERCLAIM OF ANY KIND ARISING OUT OF
        OR
        RELATED TO ANY OF THE LOAN DOCUMENTS, THE OBLIGATIONS OR THE COLLATERAL OR
        ANY
        CONDUCT, ACTS OR OMISSIONS OF AGENT OR LENDERS OR BORROWER OR ANY OF THEIR
        RESPECTIVE DIRECTORS, OFFICERS, EMPLOYEES, ATTORNEYS OR AGENTS OR ANY OTHER
        PERSONS AFFILIATED WITH AGENT OR LENDERS OR BORROWER, WHETHER SOUNDING IN
        CONTRACT, TORT OR OTHERWISE; (II) THE RIGHT TO INTERPOSE ANY CLAIMS,
        DEDUCTIONS, SETOFFS OR COUNTERCLAIMS OF ANY KIND IN ANY ACTION OR PROCEEDING
        INSTITUTED BY AGENT OR LENDERS WITH RESPECT TO THE LOAN DOCUMENTS OR ANY
        MATTER
        RELATING THERETO, EXCEPT FOR COMPULSORY COUNTERCLAIMS; (III) NOTICE PRIOR
        TO AGENT'S OR LENDERS' TAKING POSSESSION OR CONTROL OF THE COLLATERAL OR
        ANY
        BOND OR SECURITY WHICH MIGHT BE REQUIRED BY ANY COURT PRIOR TO ALLOWING AGENT
        OR
        LENDERS TO EXERCISE ANY OF THEIR REMEDIES AND (IV) THE BENEFIT OF ALL
        VALUATION, APPRAISEMENT AND EXEMPTION LAWS. BORROWER ACKNOWLEDGES THAT THE
        FOREGOING WAIVERS ARE A MATERIAL INDUCEMENT TO AGENT'S AND LENDERS' ENTERING
        INTO THIS AGREEMENT AND THAT AGENT AND LENDERS ARE RELYING UPON THE FOREGOING
        WAIVERS IN ITS FUTURE DEALINGS WITH BORROWER. BORROWER WARRANTS AND REPRESENTS
        THAT IT HAS REVIEWED THE FOREGOING WAIVERS WITH ITS LEGAL COUNSEL AND HAS
        KNOWINGLY AND VOLUNTARILY WAIVED ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION
        WITH LEGAL COUNSEL. IN THE EVENT OF LITIGATION, THIS AGREEMENT MAY BE FILED
        AS A
        WRITTEN CONSENT TO A TRIAL BY THE COURT.

       

      
        
          
          

        

        
          -50-

          
            

          

        

        
          
          

        

      

       

    

    
      IN
        WITNESS WHEREOF, Borrower and Lender have signed this Agreement as of the
        date
        first set forth above.

      
        	 	 	 
	 	
                APPALACHIAN
                  OIL COMPANY, INC., as
                  Borrower

              
	 
 	 
 	 
 
	
              	By:  	
                Bryan
                  Chance

              
	 	
                

                Its  
                  President

                
                  

                

              

      

       

      
        	 	 	 
	 	
                GREYSTONE
                  BUSINESS CREDIT II, L.L.C.,
                  as
                  Agent and a Lender

              
	 
 	 
 	 
 
	
              	By:  	
                /s/

              
	 	
                
Its
                Authorized Signatory
	 	 
	 	
                Term
                  Loan A Commitment: $600,000

                Term
                  Loan B Commitment: $4,600,000

                Revolving
                  Loan Commitment: $20,000,000

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

      Schedule
        B-1

       

      Trademarks

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule
        3.1

       

      Conditions
        Precedent to the Initial Extension of Credit

       

      [To
        come, based on Commitment Letter]

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Schedule
        6.1

       

      Ownership
        of Borrower; Borrower's Subsidiaries

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule
        6.2

       

      Borrower's
        Prior Names and Present and Prior Trade Names

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule
        6.7

       

      Commercial
        Tort Claims

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule
        6.8

       

      Collateral
        Locations

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule
        6.12

       

      Litigation

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule
        6.21

       

      Negative
        Covenants

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Schedule A

       

      Description
        of Certain Terms

    

    
       

      
        	1. 	 	
                Loan
                  Limits for Revolving Loans:

              	 	 
	 	 	 	 	 
	 	 	
                (a) Maximum
                  Facility Amount:

              	 	
                $20,000,000,
                  minus the outstanding principal balance at such time of (i) Term
                  Loan A,
                  (ii) Term Loan B and (iii) “Term Loan C” under that certain Loan and
                  Security Agreement dated as of December 29, 2006 among Holdings,
                  Titan PCB
                  West, Inc., Titan PCB East, Inc., Oblio Telecom, Inc., Titan Wireless
                  Communications, Inc., Start Talk Inc., Pinless, Inc. and Greystone
                  Business Credit II, L.L.C. 

              
	 	 	 	 	 
	 	 	
                (b) Advance
                  Rates:

              	 	 
	 	 	 	 	 
	 	 	
                (i) Accounts
                  Advance Rate:

              	 	
                90%; provided,
                  that if the Dilution Percentage exceeds 3%, Agent may, at its option
                  (A) reduce such advance rate by the number of full or partial
                  percentage points comprising such excess or (B) establish a Reserve
                  in the amount of such excess

              
	 	 	 	 	 
	 	 	
                (ii) Inventory
                  Advance Rate(s):

              	 	
                The
                  sum of (x) up to 45% of Eligible Inventory consisting of convenience
                  store Inventory valued at the lower of cost and market value plus
                  (y) up
                  to 75% of Eligible Inventory consisting of fuel valued at the lower
                  of cost or market value

              
	 	 	 	 	 
	 	 	
                (c) Accounts
                  Sublimit:

              	 	
                Not
                  applicable

              
	 	 	 	 	 
	 	 	
                (d) Inventory
                  Sublimits:

              	 	
                All
                  Inventory: $9,000,000

                Inventory
                  consisting of convenience store Inventory: $2,100,000

              
	 	 	 	 	 
	 	 	
                (e) Credit
                  Accommodation Limit:

              	 	
                $500,000

              
	 	 	 	 	 
	 	 	
                (f) Permanent
                  Reserve:

              	 	
                [To
                  be determined]

              
	 	 	 	 	 
	2. 	 	
                Term
                  Loans:

              	 	 
	 	 	 	 	 
	 	 	
                (a) Term
                  Loan A

              	 	 
	 	 	 	 	 
	 	 	
                (i) Principal
                  Amount

              	 	
                $600,000,
                  or if less, 85% of the net appraised forced liquidation value of
                  Borrower's Eligible Equipment consisting of vehicles, tank trailers
                  and
                  trucks as of the Closing Date

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (ii) Repayment
                  Schedule:

              	 	
                Term
                  Loan A shall be repaid in consecutive equal monthly installments
                  amortized
                  over 60 months, payable on the first day of each calendar month
                  commencing
                  October, 2007; provided,
                  that if after the date of this Agreement, the unpaid principal
                  balance of
                  Term Loan A exceeds 75% of an Updated Equipment Appraisal, then
                  Borrower
                  shall repay such excess in 6 equal consecutive monthly installments
                  payable on the first day of the month immediately following such
                  determination by Agent (which payments shall be in addition to
                  the regular
                  amortization payments set forth above)

              
	 	 	 	 
	 	
                (b) Term
                  Loan B

              	 	 
	 	 	 	 
	 	
                (i) Principal
                  Amount

              	 	
                Up
                  to $4,600,000, or if less, 40% of the net appraised value (consisting
                  of
                  vehicles, tank trailers and trucks) of leasehold mortgages and
                  dealer
                  contract rights

              
	 	 	 	 
	 	
                (ii) Repayment
                  Schedule:

              	 	
                Term
                  Loan B shall be repaid in consecutive equal monthly installments
                  amortized over 60 months payment on the first day of each calendar
                  month commencing on the first day of the first month immediately
                  following
                  the Term Loan B Advance; provided, that if after the date of this
                  Agreement, the unpaid principal balance of Term Loan B exceeds 40% of
                  any Additional Updated Appraisals of the assets upon which Term
                  Loan B is based, then Borrower shall repay such excess in 6 equal
                  consecutive monthly installments payable on the first day of the
                  month
                  immediately following such determination by Agent (which payments
                  shall be
                  in addition to the regular amortization payments set forth
                  above)

              
	 	 	 	 
	3. 	
                Interest
                  Rates:

              	 	 
	 	 	 	 
	 	
                (a) Revolving
                  Loans:

              	 	
                1.5%
                  per annum plus the Prime Rate

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (b) Term
                  Loan A:

              	 	
                1.5%
                  per annum plus the Prime Rate

              
	 	 	 	 
	 	
                (c) Term
                  Loan B:

              	 	
                1.5%
                  per annum plus the Prime Rate

              
	 	 	 	 
	4. 	
                Reserved

              	 	 
	 	 	 	 
	5. 	
                Maximum
                  Days for Eligible Accounts:

              	 	 
	 	 	 	 
	 	
                (a) Maximum
                  days after original invoice
                  date
                  for Eligible 

                      Accounts:

              	 	
                60
                  days

              
	 	 	 	 
	 	
                (b) Maximum
                  days after original
                  invoice due date for
                  

                      Eligible
                  Accounts: 

              	 	
                N/A

              
	 	 	 	 
	6. 	
                Fees:

              	 	 
	 	 	 	 
	 	
                (a) [Reserved.]

              	 	 
	 	 	 	 
	 	
                (b) Closing
                  Fee:

              	 	
                $200,000,
                  which shall be fully earned and payable on the Closing Date
                  

              
	 	 	 	 
	 	
                (c) Facility
                  Fees:

              	 	 
	 	 	 	 
	 	
                (i) Initial
                  Term Facility Fee:

              	 	
                .675%
                  per annum of the Maximum Facility Amount

              
	 	 	 	 
	 	
                (ii) Renewal
                  Term Facility Fee: 

              	 	
                .675%
                  per annum of the Maximum Facility Amount

              
	 	 	 	 
	 	
                (d) Servicing
                  Fee:

              	 	
                .25%
                  per month based on the average daily outstanding principal balance
                  of the
                  Loans and the Credit Accommodation Balance during the immediately
                  preceding month (or part thereof)

              
	 	 	 	 
	 	
                (e) Minimum
                  Borrowing Fee:

              	 	 
	 	 	 	 
	 	
                (i) Applicable
                  Period:

              	 	
                Each
                  month

              
	 	 	 	 
	 	
                (ii) Minimum
                  Loan Amount:

              	 	
                $10,000,000

              
	 	 	 	 
	 	
                (iii) Date
                  Payable:

              	 	
                The
                  first day of each month

              
	 	 	 	 
	 	
                (f) Credit
                  Accommodation Fees:

              	 	
                For
                  documentary letters of credit, 2% of the face amount of the letter
                  of
                  credit for up to the first 60 days (or any part thereof) and 1%
                  of the
                  face amount of such letter of credit for each 30-day period (or
                  any part
                  thereof) thereafter

                For
                  standby letters of credit, 2.25% per
                  annum

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (g) Warrants:

              	 	
                Agent
                  shall receive warrants to purchase 500,000 shares of common stock
                  of
                  Holdings, which will have an exercise price of $2.00 per share,
                  and will
                  be immediately exercisable and freely transferable by Agent separate
                  from
                  the Facility. Within six months following the closing, the shares
                  of
                  Holdings subject to such warrants will be registered by Holdings
                  with the
                  Securities and Exchange Commission so that they will be freely
                  tradable
                  and shall be listed for trading on the principal market on which
                  Holding's
                  securities are then trading. 

              
	 	 	 	 
	 	
                (h) Early
                  Termination Fee:

              	 	
                (i) 1%
                  of the Maximum Facility Amount if terminated during the first year
                  of the
                  Initial Term, (ii) 0.50% of the Maximum Facility Amount if terminated
                  during the second year of the Initial Term and (iii) 0.25% of the
                  Maximum Facility Amount if terminated thereafter during the Initial
                  Term
                  or any Renewal Term and prior to the Maturity Date.

              
	 	 	 	 
	 	
                (i) Other
                  Fees:

              	 	
                See
                  Fee Letter, if any

              
	 	 	 	 
	7. 	
                Initial
                  Maturity Date:

              	 	
                September
                  17, 2010

              
	 	 	 	 
	8. 	
                Agent's
                  Bank:

              	 	
                Such
                  bank as Agent shall from time to time designate as its
                  Bank

              
	 	 	 	 
	9. 	
                Other
                  Inventory Covenants:

              	 	
                N/A

              
	 	 	 	 
	10. 	
                Financial
                  Covenants:

              	 	
                Financial
                  covenants are to be determined within 21 days of the date hereof
                  by
                  agreement of Borrower, Agent and Required Lenders; provided, that
                  if the
                  parties cannot reach a mutually acceptable agreement with respect
                  to
                  financial covenants on or before the twenty-first day following
                  the date
                  hereof, Agent may determine financial covenants in its sole discretion
                  by
                  providing written notice to Borrower of such covenants.

              
	 	 	 	 
	 	
                (a) Capital
                  Expenditure Limitation:

              	 	
                [to
                  be inserted]

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (b) Minimum
                  Net Worth Requirement:

              	 	
                [to
                  be inserted]

              
	 	 	 	 
	 	
                (c) Minimum
                  Tangible Net Worth:

              	 	
                [to
                  be inserted]

              
	 	 	 	 
	 	
                (d) Minimum
                  Working Capital:

              	 	
                [to
                  be inserted]

              
	 	 	 	 
	 	
                (e) Minimum
                  Cumulative Net Loss:

              	 	
                [to
                  be inserted]

              
	 	 	 	 
	 	
                (f) Minimum
                  Cumulative Net Income:

              	 	
                [to
                  be inserted]

              
	 	 	 	 
	 	
                (g) Maximum
                  Leverage Ratio:

              	 	
                [to
                  be inserted]

              
	 	 	 	 
	 	
                (h) Additional
                  Financial Covenants:

              	 	
                Debt
                  Coverage Ratio:

              

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule B

       

      Definitions

       

      As
        used
        in this Agreement, the following terms have the following meanings:

       

      "Account"
        has the
        meaning set forth in the UCC.

       

      "Account
        Debtor"
        has the
        meaning set forth in the UCC.

       

      "Account
        Proceeds"
        has the
        meaning set forth in Section 5.1.

       

      "Accounts
        Advance Rate"
        means
        the percentage set forth in Section 1(b)(i) of
        Schedule A.

       

      "Accounts
        Sublimit"
        means
        the amount set forth in Section 1(c) of Schedule A.

       

      "Acquisition"
        means
        the acquisition by Holdings of the stock of Borrower pursuant to the Purchase
        Agreement.

       

      "Additional
        Updated Appraisals"
        has the
        meaning set forth in Section 6.16(g).

       

      "Advance
        Rates"
        means,
        collectively, the Accounts Advance Rate and the Inventory Advance
        Rate.

       

      "Affiliate"
        means,
        with respect to any Person, a relative, partner, shareholder, member, manager,
        director, officer, or employee of such Person, any parent or subsidiary of
        such
        Person, or any Person controlling, controlled by or under common control
        with
        such Person or any other Person affiliated, directly or indirectly, by virtue
        of
        family membership, ownership, management or otherwise.

       

      "Agent"
        has the
        meaning set forth in the preamble to this Agreement.

       

      "Agent-Related
        Persons"
        means
        Agent, together with its Affiliates, officers, directors, employees, attorneys,
        and agents.

       

      "Agent's
        Bank"
        means
        the bank set forth in Section 8 of Schedule A.

       

      "Agent's
        Liens"
        means
        the Liens granted to Agent, for the benefit of Agent and the Lenders, under
        the
        Loan Documents.

       

      "Agreement"
        and
        "this
        Agreement"
        mean
        the Loan and Security Agreement of which this Schedule B is a part and the
        Exhibits and Schedules thereto.

       

      "Assignment
        and Acceptance"
        means
        an Assignment and Acceptance Agreement substantially in the form of Exhibit
        B.

       

      "Availability"
        has the
        meaning set forth in Section 1.1(a)

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Bankruptcy
        Code"
        means
        the United States Bankruptcy Code (11 U.S.C. § 101 et seq.).

       

      "Blocked
        Account"
        has the
        meaning set forth in Section 5.1.

       

      "Borrower"
        has the
        meaning set forth in the preamble to this Agreement.

       

      "Borrower's
        Address"
        means
        P.O. Box 1500, 1992 Highway 75, Bloutville, Tennessee 37617.

       

      "Business
        Day"
        means a
        day other than a Saturday or Sunday or any other day on which Lender or banks
        in
        New York are authorized to close.

       

      "Capital
        Adequacy Charge"
        has the
        meaning set forth in Section 2.3(b).

       

      "Capital
        Adequacy Demand"
        has the
        meaning set forth in Section 2.3(b).

       

      "Chattel
        Paper"
        has the
        meaning set forth in the UCC.

       

      "Closing
        Date"
        means
        the date of the making of the initial Loans or the making available the initial
        Credit Accommodations (whichever occurs first) hereunder.

       

      "Closing
        Fee"
        has the
        meaning set forth in Section 2.2(b). 

       

      "Collateral"
        means
        all property and interests in property in or upon which a security interest
        or
        other Lien is granted pursuant to this Agreement or the other Loan Documents,
        including all of the property of Borrower described in
        Section 4.1.

       

      "Commercial
        Tort Claims"
        has the
        meaning set forth in the UCC.

       

      "Commitment"
        means,
        with respect to each Lender, its Revolving Loan Commitment, Term Loan A
        Commitment and Term Loan B Commitment, and, with respect to all the
        Lenders, their Revolving Loan Commitments, their Term Loan A Commitments
        and their Term Loan B Commitments.

       

      "Credit
        Accommodation"
        has the
        meaning set forth in Section 1.1(a).

       

      "Credit
        Accommodation Balance"
        means
        the sum of (i) the aggregate undrawn face amount of all outstanding Credit
        Accommodations and (ii) all interest, fees and costs due or, in Agent's
        estimation, likely to become due in connection therewith.

       

      "Credit
        Accommodation Fees"
        has the
        meaning set forth in Section 2.2(f).

       

      "Credit
        Accommodation Inventory Reserve Percentage"
        means
        with respect to any Inventory, 100% minus the applicable Inventory Advance
        Rate
        for such Inventory.

       

      "Credit
        Accommodation Limit"
        means
        the amount set forth in Section 1(e) of Schedule A.

       

      "Credit
        Parties"
        means
        Borrower and each of its Subsidiaries.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Cummins
        Accounts"
        shall
        mean Accounts owing by Cummins Terminals, Inc. with respect to gas in the
        pipeline.

       

      "Default"
        means
        any event which with notice or passage of time, or both, would constitute
        an
        Event of Default.

       

      "Default
        Rate"
        has the
        meaning set forth in Section 2.1.

       

      "Defaulting
        Lender"
        means
        any Lender that fails to make any advance of, or settlement of, any Loan
        (or
        other extension of credit) that it is required to make hereunder on the date
        that it is required to do so hereunder.

       

      "Deposit
        Account"
        has the
        meaning set forth in the UCC.

       

      "Dilution
        Percentage"
        means
        the gross amount of all returns, allowances, discounts, credits, write-offs
        and
        similar items relating to Borrower's Accounts computed as a percentage of
        gross
        sales, calculated on a ninety (90) day rolling average.

       

      "Disproportionate
        Advance"
        has the
        meaning set forth in Section 1.1(a).

       

      "Document"
        has the
        meaning set forth in the UCC.

       

      "Early
        Termination Fee"
        has the
        meaning set forth in Section 8.2.

       

      "Electronic
        Chattel Paper"
        has the
        meaning set forth in the UCC.

       

      "Eligible
        Account"
        means,
        at any time of determination, an Account of Borrower which satisfies the
        general
        criteria set forth below and which is otherwise acceptable to Agent
        (provided,
        that
        Agent may, in its sole discretion, change the general criteria for acceptability
        of Eligible Accounts upon at least fifteen days' prior notice to Borrower).
        An
        Account of Borrower shall be deemed to meet the current general criteria
        if
        (i) neither the Account Debtor nor any of its Affiliates is an Affiliate,
        creditor or supplier of Borrower; (ii) it does not remain unpaid more than
        the earlier to occur of (A) the number of days after the original invoice
        date set forth in Section 5(a) of Schedule A or (B) the number of
        days after the original invoice due date set forth in Section 5(b) of
        Schedule A; (iii) the Account Debtor or its Affiliates are not past
        due on other Accounts owing to Borrower comprising more than 50% of all of
        the
        Accounts owing to Borrower by such Account Debtor or its Affiliates;
        (iv) all Accounts owing by the Account Debtor or its Affiliates do not
        represent more than [10%]
        of all
        otherwise Eligible Accounts (provided,
        that
        Accounts which are deemed to be ineligible solely by reason of this
        clause (iv) shall be considered Eligible Accounts to the extent of the
        amount thereof which does not exceed [10%]
        of
        all
        otherwise Eligible Accounts); (v) no covenant, representation or warranty
        contained in this Agreement with respect to such Account (including any of
        the
        representations set forth in Section 6.4) has been breached; (vi) the
        Account is not subject to any contra relationship, counterclaim, dispute
        or
        set-off (provided,
        that
        Accounts which are deemed to be ineligible solely by reason of this
        clause (vi) shall be considered Eligible Accounts to the extent of the
        amount thereof which is not affected by such contra relationships,
        counterclaims, disputes or set-offs); (vii) the Account Debtor's chief
        executive office or principal place of business is located in the United
        States
        or Provinces of Canada which have adopted the Personal Property Security
        Act or
        a similar act, unless (A) the sale is fully backed by a letter of credit,
        guaranty or acceptance acceptable to Agent in its sole discretion, and if
        backed
        by a letter of credit, such letter of credit has been issued or confirmed
        by a
        bank satisfactory to Agent, is sufficient to cover such Account, and if required
        by Agent, the original of such letter of credit has been delivered to Agent
        or
        Agent's agent and the issuer thereof notified of the assignment of the proceeds
        of such letter of credit to Agent or (B) such Account is subject to credit
        insurance payable to Agent issued by an insurer and on terms and in an amount
        acceptable to Agent; (viii) it is absolutely owing to Borrower and does not
        arise from a sale on a bill-and-hold, guarantied sale, sale-or-return,
        sale-on-approval, retainage or any other repurchase or return basis or consist
        of progress billings; (ix) Agent shall have verified the Account in a
        manner satisfactory to Agent; (x) the Account Debtor is not the United
        States of America or any state or political subdivision (or any department,
        agency or instrumentality thereof), unless Borrower has complied with the
        Assignment of Claims Act of 1940 (31 U.S.C. §203 et seq.)
        or
        other applicable similar state or local law in a manner satisfactory to Agent;
        (xi) it is at all times subject to Agent's duly perfected, first priority
        security interest and to no other Lien that is not a Permitted Lien, and
        the
        goods giving rise to such Account (A) were not, at the time of sale,
        subject to any Lien except Permitted Liens and (B) have been delivered to
        and accepted by the Account Debtor, or the services giving rise to such Account
        have been performed by Borrower and accepted by the Account Debtor;
        (xii) the Account is not evidenced by Chattel Paper or an Instrument of any
        kind and has not been reduced to judgment; (xiii) the Account Debtor's
        total indebtedness to Borrower does not exceed the amount of any credit limit
        established by Borrower or Agent and the Account Debtor is otherwise deemed
        to
        be creditworthy by Agent (provided,
        that
        Accounts which are deemed to be ineligible solely by reason of this
        clause (xiii) shall be considered Eligible Accounts to the extent the
        amount of such Accounts does not exceed the lower of such credit limits);
        (xiv) there are no facts or circumstances existing, or which could
        reasonably be anticipated to occur, which might result in any adverse change
        in
        the Account Debtor's financial condition or impair or delay the collectibility
        of all or any portion of such Account; (xv) Agent has been furnished with
        all documents and other information pertaining to such Account which Agent
        has
        requested, or which Borrower is obligated to deliver to Agent, pursuant to
        this
        Agreement; (xvi) Borrower has not made an agreement with the Account Debtor
        to extend the time of payment thereof beyond the time periods set forth in
        clause (ii) above; and (xvii) Borrower has not posted a surety or other
        bond in respect of the contract under which such Account arose.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Eligible
        Equipment"
        means,
        at any time of determination, Equipment owned by Borrower which is not subject
        to any Lien (other than the Lien granted to Lender pursuant to the Agreement)
        and which Agent, in its sole discretion deems to be eligible for borrowing
        purposes.

       

      "Eligible
        Inventory"
        means,
        at any time of determination, Inventory
        (other than packaging materials and supplies) of Borrower which satisfies
        the
        general criteria set forth below and which is otherwise acceptable to Agent
        (provided,
        that
        Agent may, in its sole discretion, change the general criteria for acceptability
        of Eligible Inventory upon at least fifteen days' prior written notice to
        Borrower). Inventory of Borrower shall be deemed to meet the current general
        criteria if (i) it consists of finished goods fuel or convenience store
        inventory; (ii) it is in good, new and saleable condition; (iii) it is
        not slow-moving, obsolete, unmerchantable, returned or repossessed; (iv) it
        is not in the possession of a processor or bailee, or located on premises
        leased
        or subleased to Borrower, or on premises subject to a mortgage in favor of
        a
        Person other than Agent, unless such processor, bailee or mortgagee or the
        lessor or sublessor of such premises, as the case may be, has executed and
        delivered all documentation which Agent shall require to evidence the
        subordination or other limitation or extinguishment of such Person's rights
        with
        respect to such Inventory and Agent's right to gain access thereto; (v) it
        meets all standards imposed by any governmental agency or authority;
        (vi) it conforms in all respects to any covenants, warranties and
        representations set forth in this Agreement; (vii) it is at all times
        subject to Agent's duly perfected, first priority security interest and no
        other
        Lien except a Permitted Lien; and (viii) it is (a) situated in the
        continental United States at an Inventory location listed in Section 9 of
        Schedule A or at another location in the continental United States of which
        Agent has been notified as required by Section 6.8 or in transit by
        pipeline so long as Agent has received such agreement with the pipeline
        operators as Agent shall require.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Equipment"
        has the
        meaning set forth in the UCC.

       

      "ERISA"
        means
        the Employee Retirement Income Security Act of 1974 and all rules, regulations
        and orders promulgated thereunder.

       

      "Event
        of Default"
        has the
        meaning set forth in Section 9.1.

       

      "Fee
        Letter" means
        that certain letter agreement dated as of the date hereof by Agent and
        acknowledged by Borrower.

       

      "Fiscal
        Year" means
        each twelve (12) month accounting period of Borrower, which ends on December
        31
        of each year.

       

      "Fixtures"
        has the
        meaning set forth in the UCC.

       

      "GAAP"
        means
        generally accepted accounting principles as in effect from time to time,
        consistently applied.

       

      "General
        Intangibles"
        has the
        meaning set forth in the UCC.

       

      "Goods"
        has the
        meaning set forth in the UCC.

       

      "Greystone"
        means
        Greystone Business Credit II, L.L.C., a Delaware limited liability company.
        

       

      "Holdings"
        means
        Titan Global Holdings, Inc., a Utah corporation.

       

      "Initial
        Maturity Date"
        means
        the date set forth in Section 7 of Schedule A.

       

      "Initial
        Term"
        has the
        meaning set forth in Section 8.1.

       

      "Initial
        Term Facility Fee"
        has the
        meaning set forth in Section 2.2(c).

       

      "Instrument"
        has the
        meaning set forth in the UCC.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Interest
        Rates"
        has the
        meaning set forth in Section 2.1.

       

      "Inventory"
        has the
        meaning set forth in the UCC.

       

      "Inventory
        Advance Rate"
        means
        the percentage(s) set forth in Section 1(b)(ii) of
        Schedule A.

       

      "Inventory
        Sublimit"
        means
        the amount(s) set forth in Section 1(d) of Schedule A.

       

      "Investment
        Property"
        has the
        meaning set forth in the UCC.

       

      "Issuing
        Lender"
        means
        Greystone or any other Lender or Affiliate of Lender that, at the request
        of
        Borrower and with the consent of Agent, agrees, in such Lender's sole
        discretion, to become Issuing Lender for the purpose of issuing Credit
        Accommodations.

       

      "Lender"
        has the
        meaning set forth in the preamble to this Agreement.

       

      "Lender
        Group"
        means,
        individually and collectively, each of the Lenders (including Issuing Lender)
        and Agent. 

       

      "Lender
        Group Expenses"
        has the
        meaning set forth in Section 10.7.

       

      "Letter-of-Credit
        Right"
        has the
        meaning set forth in the UCC.

       

      "Lien"
        means
        any interest in property securing an obligation owed to, or a claim by, a
        Person
        other than the owner of the property, whether such interest is based on common
        law, statute or contract, including rights of sellers under conditional sales
        contracts or title retention agreements and reservations, exceptions,
        encroachments, easements, rights-of-way, covenants, conditions, restrictions,
        leases and other title exceptions and encumbrances affecting property. For
        the
        purpose of this Agreement, Borrower shall be deemed to be the owner of any
        property which it has acquired or holds subject to a conditional sale agreement
        or other arrangement pursuant to which title to the property has been retained
        by or vested in some other Person for security purposes.

       

      "Loan
        Account"
        has the
        meaning set forth in Section 2.4.

       

      "Loan
        Documents"
        means,
        collectively, this Agreement, the Fee Letter, the Agreement Among Certain
        Lenders, and all notes, guaranties, security agreements, pledge agreements,
        certificates, landlord's agreements, Lock Box and Blocked Account agreements
        and
        all other agreements, documents and instruments now or hereafter executed
        or
        delivered by Borrower or any Obligor in connection with, or to evidence the
        transactions contemplated by, this Agreement.

       

      "Loan
        Limits"
        means,
        collectively, the Availability limits and all other limits on the amount
        of
        Loans and Credit Accommodations set forth in this Agreement.

       

      "Loans"
        means,
        collectively, the Revolving Loans and the Term Loans.

       

      "Lock
        Box"
        has the
        meaning set forth in Section 5.1.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Maturity
        Date"
        has the
        meaning set forth in Section 8.1.

       

      "Maximum
        Facility Amount"
        means
        the amount set forth in Section 1(a) of Schedule A.

       

      "Minimum
        Borrowing Fee"
        has the
        meaning set forth in Section 2.2(e).

       

      "Minimum
        Loan Amount"
        means
        the amount set forth in Section 6(e)(ii) of Schedule A.

       

      "Obligations"
        means
        all present and future Loans, advances, debts, liabilities, obligations,
        guaranties, covenants, duties and indebtedness at any time owing by Borrower
        to
        Agent or the Lenders, in connection with this Agreement and the other Loan
        Documents, whether arising from an extension of credit, opening of a Credit
        Accommodation, guaranty, indemnification or otherwise (including all fees,
        costs
        and other amounts which may be owing to issuers of Credit Accommodations
        and all
        taxes, duties, freight, insurance, costs and other expenses, costs or amounts
        payable in connection with Credit Accommodations or the underlying goods),
        whether direct or indirect, whether absolute or contingent, whether due or
        to
        become due, and whether arising before or after the commencement of a proceeding
        under the Bankruptcy Code or any similar statute, including all interest,
        charges, expenses, fees (including attorney's fees) and any other sums
        chargeable to Borrower under this Agreement or under any other Loan
        Document.

       

      "Obligor"
        means
        any guarantor, endorser, acceptor, surety or other Person liable on, or with
        respect to, the Obligations or who is the owner of any property which is
        security for the Obligations, other than Borrower.

       

      "Permitted
        Liens"
        means:
        (i) purchase money security interests in specific items of Equipment in an
        aggregate amount not to exceed the limit set forth in Schedule 6.21;
        (ii) leases of specific items of Equipment in an aggregate amount not to
        exceed the limit set forth in Schedule 6.21; (iii) Liens for taxes not yet
        due and payable; (iv) additional Liens which are fully subordinate to the
        security interests of the Lenders and are consented to in writing by Agent;
        (v) security interests being terminated concurrently with the execution of
        this Agreement; (vi) Liens of materialmen, mechanics or carriers (but
        excluding Liens in favor of warehousemen) arising in the ordinary course
        of
        business and securing obligations which are not delinquent; (vii) Liens
        incurred in connection with the extension, renewal or refinancing of the
        indebtedness secured by Liens of the type described in clause (i) or (ii)
        above; provided,
        that
        any extension, renewal or replacement Lien is limited to the property encumbered
        by the existing Lien and the principal amount of the indebtedness being
        extended, renewed or refinanced does not increase; (viii) Liens in favor of
        customs and revenue authorities which secure payment of customs duties in
        connection with the importation of goods; and (ix) security deposits posted
        in connection with real property leases or subleases. Agent will have the
        right
        to require, as a condition to its consent under clause (iv) above, that the
        holder of the additional Lien sign an intercreditor agreement in form and
        substance satisfactory to Agent, in its sole discretion, acknowledging that
        the
        Lien is subordinate to the security interests of Agent, and agreeing not
        to take
        any action to enforce its subordinate Lien so long as any Obligations remain
        outstanding, and that Borrower agree that any uncured default in any obligation
        secured by the subordinate Lien shall also constitute an Event of Default
        under
        this Agreement. 

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Person"
        means
        any individual, sole proprietorship, partnership, joint venture, limited
        liability company, trust, unincorporated organization, association, corporation,
        government or any agency or political division thereof, or any other
        entity.

       

      "Pre-Settlement
        Determination Date"
        has the
        meaning set forth in Section 11.1. 

       

      "Prime
        Rate"
        means,
        at any given time, the prime rate as quoted in The
        Wall Street Journal
        as the
        base rate on corporate loans posted as of such time by at least 75% of the
        nation's 30 largest banks (which rate is not necessarily the lowest rate
        offered
        by such banks).

       

      "Proceeds"
        has the
        meaning set forth in the UCC.

       

      "Pro
        Rata Revolving Share"
        means,
        at any time, with respect to any Lender, a fraction (expressed as a percentage
        in no more than nine (9) decimal places), the numerator of which shall be
        the
        Revolving Loan Commitment (or if the Revolving Loan Commitment has then been
        terminated, the outstanding principal amount of the Revolving Loans and the
        Credit Accommodation Balance) of such Lender at such time and the denominator
        of
        which shall be the aggregate Revolving Loan Commitments (or if the Revolving
        Loan Commitment has then been terminated, the aggregate outstanding principal
        amount of the Revolving Loans and the Credit Accommodation Balance) of all
        Lenders at such time.

       

      "Pro
        Rata Share"
        means,
        at any time, with respect to any Lender, a fraction (expressed as a percentage
        in no more than nine (9) decimal places), the numerator of which shall be
        the
        sum of the Revolving Loan Commitment (or if the Revolving Loan Commitment
        has
        then been terminated, the outstanding principal amount of the Revolving Loans
        and the Credit Accommodation Balance), the Term Loan A Commitment (or if
        the
        Term Loan A Commitment has then been terminated, the outstanding principal
        amount of the Term Loan A) of such Lender at such time and the Term
        Loan B Commitment (or if the Term Loan B Commitment has then been
        terminated, the outstanding principal amount of Term Loan B) of such Lender
        at such time and the denominator of which shall be the Maximum Facility Amount
        at such time.

       

      "Pro
        Rata Term Loan A Share"
        means,
        at any time, with respect to any Lender, a fraction (expressed as a percentage
        in no more than nine (9) decimal places), the numerator of which shall be
        the
        Term Loan A Commitment (or if the Term Loan A Commitment has then been
        terminated, the outstanding principal amount of the Term Loan A) of such
        Lender at such time and the denominator of which shall be the aggregate Term
        Loan A Commitments (or if the Term Loan A Commitment has then been
        terminated, the aggregate outstanding principal amount of the Term Loan A)
        of all Lenders at such time.

       

      "Pro
        Rata Share"
        means,
        at any time, with respect to any Lender, a fraction (expressed as a percentage
        in no more than nine (9) decimal places), the numerator of which shall be
        the
        sum of the Revolving Loan Commitment (or if the Revolving Loan Commitment
        has
        then been terminated, the outstanding principal amount of the Revolving Loans
        and the Credit Accommodation Balance), the Term Loan B Commitment (or if
        the Term Loan B Commitment has then been terminated, the outstanding
        principal amount of the Term Loan B) of such Lender at such time and the
        Term Loan A Commitment (or if the Term Loan A Commitment has then been
        terminated, the outstanding principal amount of Term Loan A) of such Lender
        at such time and the denominator of which shall be the Maximum Facility Amount
        at such time.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Pro
        Rata Term Loan B Share"
        means,
        at any time, with respect to any Lender, a fraction (expressed as a percentage
        in no more than nine (9) decimal places), the numerator of which shall be
        the
        Term Loan B Commitment (or if the Term Loan B Commitment has then been
        terminated, the outstanding principal amount of the Term Loan B) of such
        Lender at such time and the denominator of which shall be the aggregate Term
        Loan B Commitments (or if the Term Loan B Commitment has then been
        terminated, the aggregate outstanding principal amount of the Term Loan A)
        of all Lenders at such time.

       

      "Protective
        Advances"
        has the
        meaning set forth in Section 1.1(b).

       

      "Purchase
        Agreement"
        means
        the Stock Purchase Agreement dated as of July 11, 2007 among Borrower, The
        James R. MacLean Revocable Trust, Sara G. MacLean, The Linda R. MacLean
        Irrevocable Trust, Jeffrey H. Benedict and Titan Global Holdings,
        Inc.

       

      "Register"
        has the
        meaning set forth in Section 12.9(d).

       

      "Related
        Agreements"
        means
        the Purchase Agreement and all documents, instruments and agreements executed
        in
        connection with the Related Transactions.

       

      "Related
        Transactions"
        means
        the acquisition by Holdings of the stock of Borrower pursuant to the Purchase
        Agreement, the acquisition by YA Land Holdings, LLC and YA Land Holdings 7,
        LLC of certain real property to be leased to Borrower and the financing by
        YA
        Global Investments, LLC of YA Land Holdings, LLC and YA Land Holding 7,
        LLC.

       

      "Released
        Parties"
        has the
        meaning set forth in Section 7.1.

       

      "Renewal
        Term"
        has the
        meaning set forth in Section 8.1.

       

      "Renewal
        Term Facility Fee"
        has the
        meaning set forth in Section 2.2(c).

       

      "Report"
        and
        "Reports"
        each
        have the meaning set forth in Section 10.16(a).

       

      "Required
        Lenders"
        means,
        at any time, the Lenders whose aggregate Pro Rata Shares exceed (i) all Lenders,
        if the total number of Lenders at such time is less than or equal to two,
        (ii)
        two out of three Lenders, if the number of Lenders at such time is three,
        or
        (iii) Lenders whose aggregate Pro Rata Shares exceed 50%, if the number of
        Lenders at such time is greater than three.

       

      "Reserves"
        has the
        meaning set forth in Section 1.2.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Revolving
        Loan Commitment"
        means,
        with respect to each Lender, its Revolving Loan Commitment, and with respect
        to
        all the Lenders, their "Revolving
        Loan Commitments,"
        in each
        case as such dollar amounts are set forth beside each Lender's name on the
        signature pages to this Agreement or in the Assignment and Acceptance pursuant
        to which such Lender became a Lender hereunder, as such amounts may be reduced
        or increased from time to time pursuant to assignments made in accordance
        with
        the provisions of Section 12.9. 

       

      "Revolving
        Loans"
        has the
        meaning set forth in Section 1.1(a).

       

      "Sale"
        has the
        meaning set forth in Section 9.2.

       

      "Sellers"
        means
        collectively, The James R. MacLean Revocable Trust, Sara G. MacLean, The
        Linda
        R. MacLean Irrevocable Trust and Jeffrey H. Benedict.

       

      "Servicing
        Fee"
        has the
        meaning set forth in Section 2.2(d).

       

      "Settlement
        Date"
        has the
        meaning set forth in Section 11.1.

       

      "Subsidiary"
        means
        any corporation or other entity of which a Person owns, directly or indirectly,
        through one or more intermediaries, more than 50% of the capital stock or
        other
        equity interest at the time of determination.

       

      "Supporting
        Obligations"
        has the
        meaning set forth in the UCC.

       

      "Tangible
        Chattel Paper"
        has the
        meaning set forth in the UCC.

       

      "Term"
        means
        the period commencing on the date of this Agreement and ending on the Maturity
        Date.

       

      "Term
        Loan A"
        has the
        meaning set forth in Section 1.1(c).

       

      "Term
        Loan A Advance"
        has the
        meaning set forth in Section 1.1(c).

       

      "Term
        Loan A Commitment"
        means,
        with respect to each Lender, its Term Loan A Commitment, and, with respect
        to all the Lenders, their "Term
        Loan A Commitments,"
        in each
        case as such amounts are set forth beside such Lender's name on the signature
        pages to this Agreement or in the Assignment and Acceptance pursuant to which
        such Lender became a Lender hereunder, as such amounts may be reduced or
        increased from time to time pursuant to assignments made in accordance with
        the
        provisions of Section 12.9.

       

      "Term
        Loan B"
        has the
        meaning set forth in Section 1.1(d).

       

      "Term
        Loan B Advance"
        has the
        meaning set forth in Section 1.1(d).

       

      "Term
        Loan B Commitment"
        means,
        with respect to each Lender, its Term Loan B Commitment, and, with respect
        to all the Lenders, their "Term
        Loan B Commitments,"
        in each
        case as such amounts are set forth beside such Lender's name on the signature
        pages to this Agreement or in the Assignment and Acceptance pursuant to which
        such Lender became a Lender hereunder, as such amounts may be reduced or
        increased from time to time pursuant to assignments made in accordance with
        the
        provisions of Section 12.9.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      "Term
        Loans"
        means
        collectively Term Loan A and Term Loan B.

       

      "Trademarks"
        means
        the trademarks owned by Borrower and described in Schedule B-1.

       

      "UCC"
        means,
        at any given time, the Uniform Commercial Code as adopted and in effect at
        such
        time in the State of New York.

       

      "Updated
        Equipment Appraisal"
        has the
        mean set forth in Section 6.16(g).

       

      "Updated
        Inventory Appraisal" has
        the
        meaning set forth in Section 6.16(g).

       

      "Warrants"
        has the
        meaning set forth in Section 2.2(g).

       

      "Waterfall
        Event"
        means
        the occurrence of any of the following: (i) an Event of Default under
        clauses (vii) or (viii) of Section 9.1; (ii) an Event of Default under
        clause (ii) of Section 9.1 as a result of the failure to pay in full all
        of the
        monetary Obligations on the Maturity Date; or (iii) any Event of Default
        under Section 9.1 and the election by Agent and the Required Lenders to declare
        the Obligations to be due and payable prior to their schedules maturity date
        or
        to terminate the Revolving Loan Commitment pursuant to Section 8.2.

       

      All
        accounting terms used in this Agreement, unless otherwise indicated, shall
        have
        the meanings given to such terms in accordance with GAAP. All other terms
        contained in this Agreement, unless otherwise indicated, shall have the meanings
        provided by the UCC, to the extent such terms are defined therein. The term
        "including,"
        whenever used in this Agreement, shall mean "including but not limited to."
        The
        singular form of any term shall include the plural form, and vice versa,
        when
        the context so requires. References to Sections, subsections, Exhibits and
        Schedules are to Sections and subsections of, and Exhibits and Schedules
        to,
        this Agreement. All references to agreements and statutes shall include all
        amendments, supplements, restatements and other modifications thereto (except,
        with respect to such agreements, to the extent to such amendments, supplements,
        restatements or other modifications are prohibited by this Agreement) and
        successor statutes in the case of statutes.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Exhibit
        A

       

      FORM
        OF TERM NOTE A

      

        
          	
                  $______________

                	
                  ____________,
                    Tennessee

                
	 	
                  _____________,
                    ____

                

        

      

       

      FOR
        VALUE
        RECEIVED, the undersigned, APPALACHIAN OIL COMPANY, INC., a Tennessee
        corporation ("Borrower"),
        hereby unconditionally promises to pay to the order of
        _____________________________ ("Lender"),
        having an address at __________________________________________, or at such
        other place as the holder of this Term Note A ("Term
        Note A")
        may
        from time to time designate in writing, in lawful money of the United States
        of
        America and in immediately available funds, the principal sum of
        ________________________ and __/100 Dollars ($____________). Reference is
        hereby
        made to the Loan and Security Agreement among Borrower, Greystone Business
        Credit II, L.L.C., as Agent, and the Lenders Party thereto of even date herewith
        (as it may be amended, supplemented or modified from time to time, the
        "Loan
        Agreement")
        for a
        statement of the terms and conditions under which the loan evidenced hereby
        was
        made and is to be repaid. This Term Note A evidences a Term Loan A
        Advance described in the Loan Agreement. Capitalized terms used herein which
        are
        not otherwise specifically defined herein shall have the meanings ascribed
        to
        such terms in the Loan Agreement.

       

      The
        outstanding principal balance of this Term Note A shall be payable in full
        on the Maturity Date. Prior thereto, the Term Note A shall be repayable as
        set forth in the Loan Agreement.

       

      Borrower
        further promises to pay interest on the outstanding principal amount hereof
        from
        the date hereof until payment in full hereof at the per annum rate rates,
        and on
        the dates, specified in the Loan Agreement. After maturity, whether by
        acceleration or otherwise, accrued interest shall be payable on demand. Interest
        as aforesaid shall be charged for the actual number of days elapsed over
        a year
        consisting of three hundred sixty (360) days on the actual daily outstanding
        balance hereof. Changes in the interest rate provided for herein which are
        due
        to changes in the Prime Rate shall be effective on the date of the change
        in the
        Prime Rate.

       

      Notwithstanding
        anything to the contrary contained herein, the aggregate of all interest
        hereunder and charged or collected by Lender is not intended to exceed the
        highest rate permissible under any applicable law, but if it should, such
        interest shall automatically be reduced to the extent necessary to comply
        with
        applicable law and Lender will refund to Borrower any such excess interest
        received by Lender.

       

      Subject
        to Section 8.2 of the Loan Agreement, Borrower may, prepay the outstanding
        principal balance hereof in whole or in part. Any partial prepayment of Term
        Loan A shall be applied to the Obligations as provided in the Loan
        Agreement.

       

      Payments
        received by Lender from Borrower on this Term Note A shall be applied to
        the Obligations as provided in the Loan Agreement.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Presentment,
        demand, protest and notice of presentment, demand, nonpayment and protest
        are
        hereby waived by Borrower.

      This
        Term
        Note A shall be interpreted, and the rights and liabilities of the parties
        hereto determined, in accordance with the laws of the State of New York.
        If any
        provision of this Term Note A or the application thereof shall be held to
        be void or unenforceable by any court of competent jurisdiction, such defect
        shall not affect the remainder of this Term Note A, which shall continue in
        full force and effect. Whenever in this Term Note A reference is made to
        Agent, Lender(s) or Borrower, such reference shall be deemed to include,
        as
        applicable, a reference to their respective successors and permitted assigns.
        The provisions of this Term Note A shall be binding upon Borrower and its
        successors and assigns, and shall inure to the benefit of Lender and its
        successors and permitted assigns.

      
        	 	 	 
	 	
                APPALACHIAN
                  OIL COMPANY, INC.

              
	 
 	 
 	 
 
	
              	By:  	
              
	 	
                

                Its
                  

                
                  

                

                 

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Exhibit
        B

       

      FORM
        OF TERM NOTE B

       

      
        
          	
                  $______________

                	
                  ____________,
                    Tennessee

                
	 	
                  _____________,
                    ____

                

        

      

       

      FOR
        VALUE
        RECEIVED, the undersigned, APPALACHIAN OIL COMPANY, INC., a Tennessee
        corporation ("Borrower"),
        hereby unconditionally promises to pay to the order of
        _____________________________ ("Lender"),
        having an address at __________________________________________, or at such
        other place as the holder of this Term Note B ("Term
        Note B")
        may
        from time to time designate in writing, in lawful money of the United States
        of
        America and in immediately available funds, the principal sum of
        ________________________ and __/100 Dollars ($____________). Reference is
        hereby
        made to the Loan and Security Agreement among Borrower, Greystone Business
        Credit II, L.L.C., as Agent, and the Lenders Party thereto of even date herewith
        (as it may be amended, supplemented or modified from time to time, the
        "Loan
        Agreement")
        for a
        statement of the terms and conditions under which the loan evidenced hereby
        was
        made and is to be repaid. This Term Note B evidences a Term Loan B
        Advance described in the Loan Agreement. Capitalized terms used herein which
        are
        not otherwise specifically defined herein shall have the meanings ascribed
        to
        such terms in the Loan Agreement.

       

      The
        outstanding principal balance of this Term Note B shall be payable in full
        on the Maturity Date. Prior thereto, the Term Note B shall be repayable as
        set forth in the Loan Agreement.

       

      Borrower
        further promises to pay interest on the outstanding principal amount hereof
        from
        the date hereof until payment in full hereof at the per annum rate rates,
        and on
        the dates, specified in the Loan Agreement. After maturity, whether by
        acceleration or otherwise, accrued interest shall be payable on demand. Interest
        as aforesaid shall be charged for the actual number of days elapsed over
        a year
        consisting of three hundred sixty (360) days on the actual daily outstanding
        balance hereof. Changes in the interest rate provided for herein which are
        due
        to changes in the Prime Rate shall be effective on the date of the change
        in the
        Prime Rate.

       

      Notwithstanding
        anything to the contrary contained herein, the aggregate of all interest
        hereunder and charged or collected by Lender is not intended to exceed the
        highest rate permissible under any applicable law, but if it should, such
        interest shall automatically be reduced to the extent necessary to comply
        with
        applicable law and Lender will refund to Borrower any such excess interest
        received by Lender.

       

      Subject
        to Section 8.2 of the Loan Agreement, Borrower may, prepay the outstanding
        principal balance hereof in whole or in part. Any partial prepayment of Term
        Loan B shall be applied to the Obligations as provided in the Loan
        Agreement.

       

      Payments
        received by Lender from Borrower on this Term Note B shall be applied to
        the Obligations as provided in the Loan Agreement.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Presentment,
        demand, protest and notice of presentment, demand, nonpayment and protest
        are
        hereby waived by Borrower.

      This
        Term
        Note B shall be interpreted, and the rights and liabilities of the parties
        hereto determined, in accordance with the laws of the State of New York.
        If any
        provision of this Term Note B or the application thereof shall be held to
        be void or unenforceable by any court of competent jurisdiction, such defect
        shall not affect the remainder of this Term Note B, which shall continue in
        full force and effect. Whenever in this Term Note B reference is made to
        Agent, Lender(s) or Borrower, such reference shall be deemed to include,
        as
        applicable, a reference to their respective successors and permitted assigns.
        The provisions of this Term Note B shall be binding upon Borrower and its
        successors and assigns, and shall inure to the benefit of Lender and its
        successors and permitted assigns.

      
        	 	 	 
	 	
                APPALACHIAN
                  OIL COMPANY, INC.

              
	 
 	 
 	 
 
	
              	By:  	
              
	 	
                

                Its
                  

                
                  

                

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      EXHIBIT
        C

       

      FORM
        OF ASSIGNMENT AND ACCEPTANCE

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