Document:

Five Year Credit Agreement

    Exhibit
      10.1

    EXECUTION
      COPY

    U.S.
      $1,100,000,000

     

    FIVE
      YEAR
      CREDIT AGREEMENT

     

    Dated
      as
      of December 8, 2006

     

    Among

     

    THE
      HERSHEY COMPANY,

    

    as Borrower,

    

    and

     

    THE
      INITIAL LENDERS NAMED HEREIN,

     

    as Initial Lenders,

     

    and

     

    CITIBANK,
      N.A.,

     

    as Administrative Agent,

     

    and

     

    BANK
      OF
      AMERICA, N.A.,

     

    as Syndication Agent,

     

    and

     

    UBS
      LOAN
      FINANCE LLC,

     

    as Documentation Agent,

     

    and

     

    CITIGROUP
      GLOBAL MARKETS INC.,

    

    and

    

    BANC
      OF
      AMERICA SECURITIES LLC,

     

    as
      Joint Lead Arrangers and Joint Book Managers,

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      

        TABLE
          OF CONTENTS

         

        
          	
                  ARTICLE
                    I DEFINITIONS AND ACCOUNTING TERMS

                   

                
	
                  SECTION
                    1.01.

                	
                  Certain
                    Defined Terms

                	
                  1

                   

                
	
                  SECTION
                    1.02.

                	
                  Computation
                    of Time Periods

                	
                  13

                   

                
	
                  SECTION
                    1.03.

                	
                  Accounting
                    Terms

                	
                  14

                   

                
	
                  ARTICLE
                    II AMOUNTS AND TERMS OF THE ADVANCES

                   

                
	
                  SECTION
                    2.01.

                	
                  The
                    Revolving Credit Advances

                	
                  14

                   

                
	
                  SECTION
                    2.02.

                	
                  Making
                    the Revolving Credit Advances

                	
                  14

                   

                
	
                  SECTION
                    2.03.

                	
                  The
                    Competitive Bid Advances

                	
                  16

                   

                
	
                  SECTION
                    2.04.

                	
                  Fees

                	
                  20

                   

                
	
                  SECTION
                    2.05.

                	
                  Termination,
                    Reduction or Increase of the Commitments

                	
                  20

                   

                
	
                  SECTION
                    2.06.

                	
                  Repayment
                    of Revolving Credit Advances

                	
                  23

                   

                
	
                  SECTION
                    2.07.

                	
                  Interest
                    on Revolving Credit Advances

                	
                  23

                   

                
	
                  SECTION
                    2.08.

                	
                  Interest
                    Rate Determination

                	
                  24

                   

                
	
                  SECTION
                    2.09.

                	
                  Optional
                    Conversion of Revolving Credit Advances

                	
                  26

                   

                
	
                  SECTION
                    2.10.

                	
                  Optional
                    Prepayments of Revolving Credit Advances

                	
                  26

                   

                
	
                  SECTION
                    2.11.

                	
                  Increased
                    Costs

                	
                  26

                   

                
	
                  SECTION
                    2.12.

                	
                  Illegality

                	
                  28

                   

                
	
                  SECTION
                    2.13.

                	
                  Payments
                    and Computations

                	
                  28

                   

                
	
                  SECTION
                    2.14.

                	
                  Taxes

                	
                  29

                   

                
	
                  SECTION
                    2.15.

                	
                  Sharing
                    of Payments, Etc

                	
                  31

                   

                
	
                  SECTION
                    2.16.

                	
                  Use
                    of Proceeds

                	
                  31

                   

                
	
                  SECTION
                    2.17.

                	
                  Mandatory
                    Assignment by a Lender; Mitigation

                	
                  32

                   

                
	
                  SECTION
                    2.18.

                	
                  Evidence
                    of Debt

                	
                  32

                   

                
	
                  SECTION
                    2.19.

                	
                  Extension
                    of Termination Date

                	
                  33

                

        

         

        
          
            
            

          

          
            i

            
              

            

          

          
            
            

          

        

        
        

         

        
          	
                  ARTICLE
                    III CONDITIONS TO EFFECTIVENESS AND LENDING

                   

                
	
                  SECTION
                    3.01.

                	
                  Conditions
                    Precedent to Effectiveness of Sections 2.01 and 2.03

                	
                  35

                   

                
	
                  SECTION
                    3.02.

                	
                  Initial
                    Borrowing of Each Designated Subsidiary

                	
                  37

                   

                
	
                  SECTION
                    3.03.

                	
                  Conditions
                    Precedent to Each Revolving Credit Borrowing

                	
                  38

                   

                
	
                  SECTION
                    3.04.

                	
                  Conditions
                    Precedent to Each Competitive Bid Borrowing

                	
                  38

                   

                
	
                  SECTION
                    3.05.

                	
                  Determinations
                    Under Section 3.01

                	
                  39

                   

                
	
                  ARTICLE
                    IV REPRESENTATIONS AND WARRANTIES

                   

                
	
                  SECTION
                    4.01.

                	
                  Representations
                    and Warranties of the Company

                	
                  39

                   

                
	
                  ARTICLE
                    V COVENANTS OF THE COMPANY

                   

                
	
                  SECTION
                    5.01.

                	
                  Affirmative
                    Covenants

                	
                  42

                   

                
	
                  SECTION
                    5.02.

                	
                  Negative
                    Covenants

                	
                  45

                   

                
	
                  SECTION
                    5.03.

                	
                  Financial
                    Covenant

                	
                  46

                
	
                  ARTICLE
                    VI EVENTS OF DEFAULT

                   

                
	
                  SECTION
                    6.01.

                	
                  Events
                    of Default

                	
                  46

                   

                
	
                  ARTICLE
                    VII GUARANTY

                   

                
	
                  SECTION
                    7.01.

                	
                  Guaranty

                	
                  49

                   

                
	
                  SECTION
                    7.02.

                	
                  Guaranty
                    Absolute

                	
                  49

                   

                
	
                  SECTION
                    7.03.

                	
                  Waivers
                    and Acknowledgments

                	
                  50

                   

                
	
                  SECTION
                    7.04.

                	
                  Subrogation

                	
                  50

                   

                
	
                  SECTION
                    7.05.

                	
                  Continuing
                    Guaranty; Assignments Under the Credit Agreement

                	
                  51

                   

                
	
                  SECTION
                    7.06.

                	
                  No
                    Stay

                	
                  51

                   

                
	
                  ARTICLE
                    VIII THE AGENT

                   

                
	
                  SECTION
                    8.01.

                	
                  Authorization
                    and Action

                	
                  51

                   

                
	
                  SECTION
                    8.02.

                	
                  Agent's
                    Reliance, Etc.

                	
                  52

                   

                
	
                  SECTION
                    8.03.

                	
                  Citibank
                    and Affiliates

                	
                  52

                

        

         

        
          
            ii

          

          
            
            

            
              

            

          

          
            
            

          

        

         

         

        
          	
                  SECTION
                    8.04.

                	
                  Lender
                    Credit Decision

                	
                  53

                   

                
	
                  SECTION
                    8.05.

                	
                  Indemnification

                	
                  53

                   

                
	
                  SECTION
                    8.06.

                	
                  Successor
                    Agent

                	
                  53

                   

                
	
                  ARTICLE
                    IX MISCELLANEOUS

                   

                
	
                  SECTION
                    9.01.

                	
                  Amendments,
                    Etc.

                	
                  54

                   

                
	
                  SECTION
                    9.02.

                	
                  Notices,
                    Etc.

                	
                  54

                   

                
	
                  SECTION
                    9.03.

                	
                  No
                    Waiver; Remedies

                	
                  55

                   

                
	
                  SECTION
                    9.04.

                	
                  Costs
                    and Expenses

                	
                  55

                   

                
	
                  SECTION
                    9.05.

                	
                  Right
                    of Set-off

                	
                  57

                   

                
	
                  SECTION
                    9.06.

                	
                  Binding
                    Effect

                	
                  57

                   

                
	
                  SECTION
                    9.07.

                	
                  Assignments,
                    Designations and Participations

                	
                  58

                   

                
	
                  SECTION
                    9.08.

                	
                  Designated
                    Subsidiaries

                	
                  60

                   

                
	
                  SECTION
                    9.09.

                	
                  Confidentiality

                	
                  61

                   

                
	
                  SECTION
                    9.10.

                	
                  Governing
                    Law

                	
                  62

                   

                
	
                  SECTION
                    9.11.

                	
                  Execution
                    in Counterparts

                	
                  62

                   

                
	
                  SECTION
                    9.12.

                	
                  Jurisdiction,
                    Etc.

                	
                  62

                   

                
	
                  SECTION
                    9.13.

                	
                  Patriot
                    Act

                	
                  62

                

        

         

        SCHEDULES

         

        
          	
                  Schedule
                    I

                	
                  -

                	
                  List
                    of Applicable Lending Offices

                   

                
	
                  Schedule
                    3.01(b)

                	
                  -

                	
                  Disclosed
                    Litigation

                   

                
	
                  Schedule
                    4.01(c) 

                	
                  -

                	
                  Required
                    Authorizations and Approvals

                

        

         

        EXHIBITS

         

        
          	
                  Exhibit
                    A-1

                	
                  -

                	
                  Form
                    of Revolving Credit Note

                   

                
	
                  Exhibit
                    A-2

                	
                  -

                	
                  Form
                    of Competitive Bid Note

                   

                
	
                  Exhibit
                    B-1

                	
                  -

                	
                  Form
                    of Notice of Revolving Credit Borrowing

                
	 	 	 

        

         

        
          
            iii

          

          
            
            

            
              

            

          

          
            
            

          

        

         

        
          	
                  Exhibit
                    B-2

                	
                  -

                	
                  Form
                    of Notice of Competitive Bid Borrowing

                   

                
	
                  Exhibit
                    C

                	
                  -

                	
                  Form
                    of Assignment and Acceptance

                   

                
	
                  Exhibit
                    D

                	
                  -

                	
                  Form
                    of Assumption Agreement

                   

                
	
                  Exhibit
                    E

                	
                  -

                	
                  Form
                    of Designation Letter

                   

                
	
                  Exhibit
                    F

                	
                  -

                	
                  Form
                    of Acceptance by Process Agent

                   

                
	
                  Exhibit
                    G

                	
                  -

                	
                  Form
                    of Opinion of Burton H. Snyder, Senior Vice President, General
                    Counsel and
                    Secretary of the Company

                   

                
	
                  Exhibit
                    H

                	
                  -

                	
                  Form
                    of Opinion of Counsel to a Designated
                    Subsidiary

                

        

        

         

        
          
            
              iv

            

            
            

          

          
            
            

            
              

            

          

          
            
            

            
            

          

        

         

      

    

    
      FIVE
        YEAR
        CREDIT AGREEMENT

    

     

    Dated
      as
      of December 8, 2006

     

    THE
      HERSHEY COMPANY, a Delaware corporation (the "Company"),
      the
      banks, financial institutions and other institutional lenders (the "Initial
      Lenders")
      listed
      on the signature pages hereof, CITIBANK, N.A. ("Citibank"),
      as
      administrative agent (the "Agent")
      for
      the Lenders (as hereinafter defined), BANK OF AMERICA, N.A., as syndication
      agent, UBS LOAN FINANCE LLC, as documentation agent, and CITIGROUP GLOBAL
      MARKETS INC. and BANC OF AMERICA SECURITIES LLC, as joint lead arrangers and
      joint book managers (the "Arrangers"),
      agree
      as follows:

     

    ARTICLE
      I 

     

    DEFINITIONS
      AND ACCOUNTING TERMS

     

    SECTION
      1.01.   Certain
      Defined Terms.
      As used
      in this Agreement, the following terms shall have the following meanings (such
      meanings to be equally applicable to both the singular and plural forms of
      the
      terms defined):

     

    "Advance"
      means a
      Revolving Credit Advance or a Competitive Bid Advance.

     

    "Affiliate"
      means,
      as to any Person, any other Person that, directly or indirectly, controls,
      is
      controlled by or is under common control with such Person or is a director
      or
      officer of such Person. For purposes of this definition, the term "control"
      (including the terms "controlling", "controlled by" and "under common control
      with") of a Person means the possession, direct or indirect, of the power to
      vote 5% or more of the Voting Stock of such Person or to direct or cause the
      direction of the management and policies of such Person, whether through the
      ownership of Voting Stock, by contract or otherwise.

     

    "Agent's
      Account"
      means
      the account of the Agent maintained by the Agent at Citibank with its office
      at
      Two Penn's Way, New Castle, Delaware 19720, Account No. 36852248,
      Attention: Bank Loan Syndications.

     

    "Applicable
      Lending Office"
      means,
      with respect to each Lender, such Lender's Domestic Lending Office in the case
      of a Base Rate Advance and such Lender's Eurodollar Lending Office in the case
      of a Eurodollar Rate Advance and, in the case of a Competitive Bid Advance,
      the
      office of such Lender notified by such Lender to the Agent as its Applicable
      Lending Office with respect to such Competitive Bid Advance.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

    

    

    "Applicable
      Margin"
      means
      (a) for Base Rate Advances, 0% per annum and (b) for Eurodollar Rate
      Advances, as of any date, a percentage per annum determined by reference to
      the
      Level in effect on such date as set forth below:

     

    
      	
              Level

            	
              Applicable
                Margin for Eurodollar Rate Advances

            
	
              Level
                1

            	
              0.110%

            
	
              Level
                2

            	
              0.135%

            
	
              Level
                3

            	
              0.150%

            
	
              Level
                4

            	
              0.190%

            
	
              Level
                5

            	
              0.270%

            
	
              Level
                6

            	
              0.350%

            

    

    

     

     

    "Applicable
      Percentage"
      means,
      as of any date, a percentage per annum determined by reference to the Level
      in
      effect on such date as set forth below:

     

    
      	
              Level

            	
              Applicable

              Percentage

            
	
              Level
                1

            	
              0.040%

            
	
              Level
                2

            	
              0.040%

            
	
              Level
                3

            	
              0.050%

            
	
              Level
                4

            	
              0.060%

            
	
              Level
                5

            	
              0.080%

            
	
              Level
                6

            	
              0.100%

            

    

     

    "Applicable
      Utilization Fee"
      means,
      as of any date that the aggregate Advances exceed 50% of the aggregate
      Commitments, a percentage per annum determined by reference to the Level in
      effect on such date as set forth below:

     

    
      	
              Level

            	
              Applicable

              Utilization
                Fee

            
	
              Level
                1

            	
              0.025%

            
	
              Level
                2

            	
              0.025%

            
	
              Level
                3

            	
              0.050%

            
	
              Level
                4

            	
              0.050%

            
	
              Level
                5

            	
              0.100%

            
	
              Level
                6

            	
              0.100%

            

    

     

    "Assignment
      and Acceptance"
      means
      an assignment and acceptance entered into by a Lender and an Eligible Assignee,
      and accepted by the Agent, in substantially the form of Exhibit C
      hereto.

     

    "Assuming
      Lender"
      means
      an Eligible Assignee not previously a Lender that becomes a Lender hereunder
      pursuant to Section 2.05(c) or 2.19(c).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        3

      

    

     

    "Assumption
      Agreement"
      means
      an agreement in substantially the form of Exhibit D hereto by which an
      Eligible Assignee agrees to become a Lender hereunder pursuant to Section
      2.05(c), agreeing to be bound by all obligations of a Lender
      hereunder.

     

    "Base
      Rate"
      means a
      fluctuating interest rate per annum in effect from time to time, which rate
      per
      annum shall at all times be equal to the higher of:

     

    (a)  the
      rate
      of interest announced publicly by Citibank in New York, New York, from
      time to time, as Citibank's base rate; and

     

    (b)  1/2
      of
      one percent per annum above the Federal Funds Rate.

     

    "Base
      Rate Advance"
      means a
      Revolving Credit Advance that bears interest as provided in
      Section 2.07(a)(i).

     

    "Borrower"
      means
      the Company or any Designated Subsidiary, as the context requires.

     

    "Borrowing"
      means a
      Revolving Credit Borrowing or a Competitive Bid Borrowing.

     

    "Business
      Day"
      means a
      day of the year on which banks are not required or authorized by law to close
      in
      New York City and, if the applicable Business Day relates to any Eurodollar
      Rate Advance or LIBO Rate Advance, on which dealings are carried on in the
      London interbank market.

     

    "Change
      of Control"
      means a
      change in the voting power of Hershey Trust Company, as trustee for the Milton
      Hershey School (the "Hershey
      Trust"),
      such
      that either (A) (i) it no longer controls a majority of the voting
      power of the Company's Voting Stock and (ii) at the same time, another
      Person or group of Persons within the meaning of Section 13 or 14 of the
      Securities Exchange Act of 1934, as amended, controls a percentage of the voting
      power of the Company's Voting Stock in excess of the percentage controlled
      by
      the Hershey Trust or (B) it no longer controls at least 30% of the voting power
      of the Company's Voting Stock.

     

    "Commitment"
      has the
      meaning specified in Section 2.01.

     

    "Commitment
      Increase"
      has the
      meaning specified in Section 2.05(c)(i).

     

    "Commitment
      Increase Date"
      has the
      meaning specified in Section 2.05(c)(i).

     

    "Competitive
      Bid Advance"
      means
      an advance by a Lender to any Borrower as part of a Competitive Bid Borrowing
      resulting from the competitive bidding procedure described in Section 2.03
      and refers to a Fixed Rate Advance or a LIBO Rate Advance.

     

    "Competitive
      Bid Borrowing"
      means a
      borrowing consisting of simultaneous Competitive Bid Advances from each of
      the
      Lenders whose offer to make one or more 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        4

      

    

     

    Competitive
      Bid Advances as part of such borrowing has been accepted under the competitive
      bidding procedure described in Section 2.03.

     

    "Competitive
      Bid Note"
      means a
      promissory note of any Borrower payable to the order of any Lender, in
      substantially the form of Exhibit A-2 hereto, evidencing the indebtedness
      of such Borrower to such Lender resulting from a Competitive Bid Advance made
      by
      such Lender to such Borrower.

     

    "Competitive
      Bid Reduction"
      has the
      meaning specified in Section 2.01.

     

    "Confidential
      Information"
      means
      any non-public or proprietary information disclosed by any Borrower to the
      Agent
      or any Lender that such Borrower indicates is to be treated confidentially,
      but
      does not include any such information that is or becomes generally available
      to
      the public or that is or becomes available to the Agent or such Lender on a
      non-confidential basis from a source other than such Borrower, which source
      is
      not, to the best knowledge of the Agent or such Lender, subject to a
      confidentiality agreement with such Borrower.

     

    "Consenting
      Lender"
      has the
      meaning specified in Section 2.19(b).

     

    "Consolidated"
      refers
      to the consolidation of accounts in accordance with GAAP.

     

    "Consolidated
      Interest Expense"
      means,
      for any period with respect to the Company and its Subsidiaries, net interest
      expense plus
      capitalized interest for such period, in each case determined on a Consolidated
      basis in accordance with GAAP.

     

    "Consolidated
      Net Interest Expense"
      means,
      for any period with respect to the Company and its Subsidiaries, interest
      expense minus
      capitalized interest and interest income for such period, in each case
      determined on a Consolidated basis in accordance with GAAP.

     

    "Convert",
      "Conversion"
      and
      "Converted"
      each
      refers to a conversion of Revolving Credit Advances of one Type into Revolving
      Credit Advances of the other Type pursuant to Section 2.08 or
      2.09.

     

    "Debt"
      means,
      with respect to any Person: (a) indebtedness for borrowed money, (b) obligations
      evidenced by bonds, debentures, notes or other similar instruments, (c)
      obligations to pay the deferred purchase price of property or services (other
      than trade payables incurred in the ordinary course of business), (d)
      obligations as lessee under leases which shall have been or should be, in
      accordance with GAAP, recorded as capital leases, (e) all obligations,
      contingent or otherwise, of such Person in respect of acceptances, letters
      of
      credit (other than trade letters of credit) or similar extensions of credit
      and
      (f) obligations under direct or indirect guaranties in respect of, and
      obligations, contingent or otherwise, to purchase or otherwise acquire, or
      otherwise to assure a creditor against loss in respect of, indebtedness or
      obligations of any other Person of the kinds referred to in clauses (a) through
      (d) above.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        5

      

    

     

    "Default"
      means
      any Event of Default or any event that would constitute an Event of Default
      but
      for the requirement that notice be given or time elapse or both.

     

    "Designated
      Subsidiary"
      means
      any corporate Subsidiary of the Company designated for borrowing privileges
      under this Agreement pursuant to Section 9.08.

     

    "Designation
      Letter"
      means,
      with respect to any Designated Subsidiary, a letter in the form of Exhibit
      E
      hereto signed by such Designated Subsidiary and the Company.

     

    "Disclosed
      Litigation"
      has the
      meaning specified in Section 3.01(b).

     

    "Domestic
      Lending Office"
      means,
      with respect to any Initial Lender, the office of such Lender specified as
      its
      "Domestic Lending Office" opposite its name on Schedule I hereto or, with
      respect to any other Lender, the office of such Lender specified as its
      "Domestic Lending Office" in the Assumption Agreement or in the Assignment
      and
      Acceptance pursuant to which it became a Lender, or such other office of such
      Lender as such Lender may from time to time specify to the Company and the
      Agent.

     

    "Effective
      Date"
      has the
      meaning specified in Section 3.01.

     

    "Eligible
      Assignee"
      means
      (a) a Lender or any Affiliate of a Lender which is principally engaged in the
      commercial banking business, and (b) any bank or other financial institution,
      or
      any other Person, that has been approved in writing by the Company  (so
      long as no Event of Default has occured and is continuing) and the Agent as
      an
      Eligible Assignee for purposes of this Agreement; provided,
      however,
      that
      neither the Company's nor the Agent's approval shall be unreasonably withheld;
      and provided further,
      however,
      that
      the Company (whether or not an Event of Default has occured and is continuing)
      may withhold its approval if the Company reasonably believes that an assignment
      to such Eligible Assignee pursuant to Section 9.07 will result in the incurrence
      of increased costs payable by any Borrower pursuant to Section 2.11 or
      2.14.

     

    "Environmental
      Action"
      means
      any administrative, regulatory or judicial action, suit, demand, demand letter,
      claim, notice, investigation, proceeding, consent order or consent agreement
      relating to any Environmental Law, Environmental Permit or Hazardous Materials
      or arising from alleged injury to health, safety or the
      environment.

     

    "Environmental
      Law"
      means
      any federal, state, local or foreign statute, law, ordinance, rule, regulation,
      code, order, judgment, decree or judicial or agency interpretation, policy
      or
      guidance relating to pollution or protection of the environment, health, safety
      or natural resources, including, without limitation, those relating to the
      use,
      handling, transportation, treatment, storage, disposal, release or discharge
      of
      Hazardous Materials.

     

    "Environmental
      Permit"
      means
      any permit, approval, identification number, license or other authorization
      required under any Environmental Law.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        6

      

    

    
       

      "ERISA"
        means
        the Employee Retirement Income Security Act of 1974, as amended from time
        to
        time, and the regulations promulgated and rulings issued
        thereunder.

       

    

    "ERISA
      Affiliate"
      means
      any Person that for purposes of Title IV of ERISA is a member of the
      Company's controlled group, or under common control with the Company, within
      the
      meaning of Section 414 of the Internal Revenue Code.

     

    "ERISA
      Event"
      means
      (a) (i) the occurrence of a reportable event, within the meaning of
      Section 4043 of ERISA, with respect to any Plan unless the 30-day notice
      requirement with respect to such event has been waived by the PBGC, or (ii)
      the
      requirements of subsection (1) of Section 4043(b) of ERISA (without regard
      to
      subsection (2) of such Section) are met with a contributing sponsor, as defined
      in Section 4001(a)(13) of ERISA, of a Plan, and an event described in
      paragraph (9), (10), (11), (12) or (13) of Section 4043(c) of ERISA is
      reasonably expected to occur with respect to such Plan within the following
      30
      days; (b) the application for a minimum funding waiver with respect to a
      Plan; (c) the provision by the administrator of any Plan of a notice of
      intent to terminate such Plan pursuant to Section 4041(a)(2) of ERISA
      (including any such notice with respect to a plan amendment referred to in
      Section 4041(e) of ERISA); (d) the cessation of operations at a
      facility of the Company or any ERISA affiliate in the circumstances described
      in
      Section 4062(e) of ERISA; (e) the withdrawal by the Company or any
      ERISA Affiliate from a Multiple Employer Plan during a plan year for which
      it
      was a substantial employer, as defined in Section 4001(a)(2) of ERISA;
      (f) the conditions for the imposition of a lien under Section 302(f)
      of ERISA shall have been met with respect to any Plan; (g) the adoption of
      an amendment to a Plan requiring the provision of security to such Plan pursuant
      to Section 307 of ERISA; or (h) the institution by the PBGC of
      proceedings to terminate a Plan pursuant to Section 4042 of ERISA, or the
      occurrence of any event or condition described in Section 4042 of ERISA
      that constitutes grounds for the termination of, or the appointment of a trustee
      to administer, such Plan.

     

    "Eurocurrency
      Liabilities"
      has the
      meaning assigned to that term in Regulation D of the Board of Governors of
      the Federal Reserve System, as in effect from time to time.

     

    "Eurodollar
      Lending Office"
      means,
      with respect to any Initial Lender, the office of such Lender specified as
      its
      "Eurodollar Lending Office" opposite its name on Schedule I hereto or, with
      respect to any other Lender, the office of such Lender specified as its
      "Eurodollar Lending Office" in the Assumption Agreement or in the Assignment
      and
      Acceptance pursuant to which it became a Lender (or, if no such office is
      specified, its Domestic Lending Office), or such other office of such Lender
      as
      such Lender may from time to time specify to the Company and the
      Agent.

     

    "Eurodollar
      Rate"
      means,
      for any Interest Period for each Eurodollar Rate Advance comprising part of
      the
      same Revolving Credit Borrowing, an interest rate per annum equal to the rate
      per annum (rounded upward to the nearest whole multiple of 1/16 of 1% per annum)
      appearing on Moneyline Telerate Markets Page 3750 (or any successor page) as
      the
      London interbank offered rate for deposits in U.S. dollars at approximately
      

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        7

      

    

    11:00
      A.M. (London time) two Business Days prior to the first day of such Interest
      Period for a term comparable to such Interest Period or, if for any reason
      such
      rate is not available, the average (rounded upward to the nearest whole
      multiple of 1/16 of 1% per annum, if such average is not such a multiple) of
      the
      rate per annum at which deposits in U.S. dollars are offered by
      the principal office of each of the Reference Banks in London, England to prime
      banks in the London interbank market at 11:00 A.M. (London time) two
      Business Days before the first day of such Interest Period in an amount
      substantially equal to such Reference Bank's Eurodollar Rate Advance comprising
      part of such Revolving Credit Borrowing to be outstanding during such Interest
      Period and for a period equal to such Interest Period. If Moneyline Telerate
      Markets Page 3750 (or any successor page) is unavailable, the Eurodollar Rate
      for any Interest Period for each Eurodollar Rate Advance comprising part of
      the
      same Revolving Credit Borrowing shall be determined by the Agent on the basis
      of
      applicable rates furnished to and received by the Agent from the Reference
      Banks
      two Business Days before the first day of such Interest Period, subject,
however, to the provisions of Section 2.08. 

     

    "Eurodollar
      Rate Advance"
      means a
      Revolving Credit Advance that bears interest as provided in
      Section 2.07(a)(ii).

     

    "Eurodollar
      Rate Reserve Percentage"
      with
      respect to any Lender for any Interest Period for all Eurodollar Rate Advances
      or LIBO Rate Advances comprising part of the same Borrowing means the reserve
      percentage applicable during such Interest Period (or, if more than one such
      percentage shall be so applicable, the daily average of such percentages for
      those days in such Interest Period during which any such percentage shall be
      so
      applicable) under regulations issued from time to time by the Board of Governors
      of the Federal Reserve System (or any successor) for determining the reserve
      requirement (including, without limitation, any emergency, supplemental or
      other
      marginal reserve requirement) actually imposed on such Lender with respect
      to
      liabilities or assets consisting of or including Eurocurrency Liabilities (or
      with respect to any other category of liabilities that includes deposits by
      reference to which the interest rate on Eurodollar Rate Advances or LIBO Rate
      Advances is determined) having a term equal to such Interest
      Period.

     

    "Events
      of Default"
      has the
      meaning specified in Section 6.01.

     

    "Excluded
      Taxes"
      has the
      meaning specified in Section 2.14(a).

     

    "Extension
      Date"
      has the
      meaning specified in Section 2.19(b).

     

    "Federal
      Funds Rate"
      means,
      for any period, a fluctuating interest rate per annum equal for each day during
      such period to the weighted average of the rates on overnight Federal funds
      transactions with members of the Federal Reserve System arranged by Federal
      funds brokers, as published for such day (or, if such day is not a Business
      Day,
      for the next preceding Business Day) by the Federal Reserve Bank of
      New York, or, if such rate is not so published for any day that is a
      Business Day, the average of the quotations for such day on such transactions
      received by the Agent from three Federal funds brokers of recognized standing
      selected by it.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        8

      

    

     

    "Fixed
      Rate Advances"
      has the
      meaning specified in Section 2.03(a)(i).

     

    "GAAP"
      has the
      meaning specified in Section 1.03.

     

    "Guaranty"
      means
      the guaranty made by the Company to the Lenders and the Agent pursuant to
      Article VII.

     

    "Guaranteed
      Obligations"
      has the
      meaning specified in Section 7.01(a).

     

    "Hazardous
      Materials"
      means
      (a) petroleum and petroleum products, byproducts or breakdown products,
      radioactive materials, asbestos-containing materials, polychlorinated biphenyls
      and radon gas and (b) any other chemicals, materials or substances designated,
      classified or regulated as hazardous or toxic or as a pollutant or contaminant
      under any Environmental Law.

     

    "Increasing
      Lender"
      has the
      meaning specified in Section 2.05(c)(i).

     

    "Insufficiency"
      means,
      with respect to any Plan, the amount, if any, of its unfunded benefit
      liabilities, as defined in Section 4001(a)(18) of ERISA.

     

    "Interest
      Period"
      means,
      for each Eurodollar Rate Advance comprising part of the same Revolving Credit
      Borrowing and each LIBO Rate Advance comprising part of the same Competitive
      Bid
      Borrowing, the period commencing on the date of such Eurodollar Rate Advance
      or
      LIBO Rate Advance or the date of the Conversion of any Base Rate Advance into
      such Eurodollar Rate Advance and ending on the last day of the period selected
      by the Borrower that requested such Borrowing pursuant to the provisions below
      and, thereafter, with respect to Eurodollar Rate Advances, each subsequent
      period commencing on the last day of the immediately preceding Interest Period
      and ending on the last day of the period selected by such Borrower pursuant
      to
      the provisions below. The duration of each such Interest Period shall be one,
      two, three or six months, as the applicable Borrower may, upon notice received
      by the Agent not later than 11:00 A.M. (New York City time) on the
      third Business Day prior to the first day of such Interest Period, select;
      provided,
      however,
      that:

     

    

      (i)
         such
        Borrower may not select any Interest Period that ends after the Termination
        Date;

       

      (ii)
        Interest
        Periods commencing on the same date for Eurodollar Rate Advances comprising
        part
        of the same Revolving Credit Borrowing or for LIBO Rate Advances comprising
        part
        of the same Competitive Bid Borrowing shall be of the same
        duration;

       

      (iii) whenever
        the last day of any Interest Period would otherwise occur on a day other
        than a
        Business Day, the last day of such Interest Period shall be extended to occur
        on
        the next succeeding Business Day, provided,
        however,
        that,
        if such extension would cause the last day of such Interest Period to occur
        in
        the next following calendar month, the last day of such Interest Period shall
        occur on the next preceding Business Day; and

      

          

      

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        9

      

    

    
                   

                 
            (iv) whenever
        the first day of any Interest Period occurs on a day of an initial calendar
        month for which there is no numerically corresponding day in the calendar
        month
        that succeeds such initial calendar month by the number of months
        equal to the number of months in such Interest Period, such Interest Period
        shall end on the last Business Day of such succeeding calendar
        month.

    

     

    "Internal
      Revenue Code"
      means
      the Internal Revenue Code of 1986, as amended from time to time, and the
      regulations promulgated and rulings issued thereunder.

     

    "Lenders"
      means,
      collectively, each of the banks, financial institutions and other institutional
      lenders listed on Schedule I hereto, each Assuming Lender that shall become
      a
      party hereto pursuant to Section 2.05(c) or 2.19 and each Eligible Assignee
      that
      shall become a party hereto pursuant to Section 9.07.

     

    "Level"
      means,
      as of any date, the lowest of Level 1, Level 2, Level 3,
      Level 4, Level 5 or Level 6 then applicable to the Public Debt
      Rating.

     

    "Level 1"
      means
      that either (a) S&P shall have assigned a rating of at least AA- or (b)
      Moody's shall have assigned a rating of at least Aa3.

     

    "Level 2"
      means
      that either (a) S&P shall have assigned a rating lower than AA- but at least
      A+ or (b) Moody's shall have assigned a rating lower than Aa3 but at least
      A1.

     

    "Level 3"
      means
      that either (a) S&P shall have assigned a rating lower than A+ but at least
      A or (b) Moody's shall have assigned a rating lower than A1 but at least A2.
      

     

    "Level 4"
      means
      that either (a) S&P shall have assigned a rating lower than A but at least
      A- or (b) Moody's shall have assigned a rating lower than A2 but at least
      A3.

     

    "Level 5"
      means
      that either (a) S&P shall have assigned a rating lower than A- but at least
      BBB+ or (b) Moody's shall have assigned a rating lower than A3 but at least
      Baa1.

     

    "Level
      6"
      means
      that the Company has not met the criteria for Level 1, Level 2, Level 3, Level
      4
      and Level 5.

     

    "LIBO
      Rate"
      means,
      for any Interest Period for all LIBO Rate Advances comprising part of the same
      Competitive Bid Borrowing, an interest rate per annum equal to the rate per
      annum (rounded upward to the nearest whole multiple of 1/16 of 1% per annum)
      appearing on Moneyline Telerate Markets Page 3750 (or any successor page) as
      the
      London interbank offered rate for deposits in U.S. dollars at approximately
      11:00 A.M. (London time) two Business Days prior to the first day of such
      Interest Period for a term comparable to such Interest Period or, if for any
      reason such rate is not available, the average (rounded upward to the
      nearest whole multiple of 1/16 of 1% per annum, or if there is no nearest whole
      multiple of 1/16 of 1% per annum, then rounded upward to the nearest whole
      multiple of 1/16 of 1% per annum, if such average is not such a multiple) of
      the
      rate per annum at which deposits in U.S. dollars are offered by the principal
      office

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        10

      

    

     

     of
      each of the Reference Banks in London, England to prime banks in the London
      interbank market at 11:00 A.M. (London time) two Business Days before the
      first day of such Interest Period in an amount substantially equal to the amount
      that would be such Reference Bank's respective ratable share of such Borrowing
      if such Borrowing were to be a Revolving Credit Borrowing to be outstanding
      during such Interest Period and for a period equal to such Interest Period.
      If
      Moneyline Telerate Markets Page 3750 (or any successor page) is unavailable,
      the
      LIBO Rate for any Interest Period for each LIBO Rate Advance comprising part
      of
      the same Competitive Bid Borrowing shall be determined by the Agent on the
      basis
      of applicable rates furnished to and received by the Agent from the Reference
      Banks two Business Days before the first day of such Interest Period,
subject, however, to the provisions of
      Section 2.08.

     

    "LIBO
      Rate Advances"
      has the
      meaning specified in Section 2.03(a)(i).

     

    "Lien"
      means
      any mortgage, pledge, lien, security interest, conditional sale or other title
      retention agreement or other similar charge or encumbrance.

     

    "Majority
      Lenders"
      means
      at any time Lenders owed at least 51% of the then aggregate unpaid principal
      amount of the Revolving Credit Advances owing to Lenders, or, if no such
      principal amount is then outstanding, Lenders having at least 51% of the
      Commitments.

     

    "Material
      Adverse Change"
      means
      any material adverse change in the business, financial condition, operations,
      performance or principal manufacturing properties of the Company and its
      Subsidiaries taken as a whole.

     

    "Material
      Adverse Effect"
      means a
      material adverse effect on (a) the business, financial condition,
      operations, performance or principal manufacturing properties of the Company
      and
      its Subsidiaries taken as a whole, (b) the rights and remedies of the Agent
      or the Lenders under this Agreement or any Note or (c) the ability of any
      Borrower to perform its obligations (other than payment obligations) under
      this
      Agreement or any Note.

     

    "Material
      Subsidiary"
      means,
      at any date of determination, a Subsidiary of the Company that, either
      individually or together with its Subsidiaries, taken as a whole, has total
      assets exceeding $300,000,000 on such date.

     

    "Moody's"
      means
      Moody's Investors Service, Inc., or its successor.

     

    "Multiemployer
      Plan"
      means a
      multiemployer plan, as defined in Section 4001(a)(3) of ERISA, to which the
      Company or any ERISA Affiliate is making or accruing an obligation to make
      contributions, or has within any of the preceding five plan years made or
      accrued an obligation to make contributions.

     

    "Multiple
      Employer Plan"
      means a
      single employer plan, as defined in Section 4001(a)(15) of ERISA, that
      (a) is maintained for employees of the Company or any ERISA Affiliate and
      at least one Person other than the Company and the ERISA Affiliates or
      (b) was so maintained and in respect of which the Company or any ERISA

    
      
        
        

      

      
        
        

        
          

        

      

      
        11

      

    

     

    Affiliate
      could have liability under
      Section 4064 or 4069 of ERISA in the event such plan has been or were to be
      terminated.

     

    "Non-Consenting
      Lender"
      has the
      meaning specified in Section 2.19(b).

     

    "Note"
      means a
      Revolving Credit Note or a Competitive Bid Note.

     

    "Notice
      of Revolving Credit Borrowing"
      has the
      meaning specified in Section 2.02(a).

     

    "Notice
      of Competitive Bid Borrowing"
      has the
      meaning specified in Section 2.03(a).

     

    "Other
      Taxes"
      has the
      meaning specified in Section 2.14(b).

     

    "PBGC"
      means
      the Pension Benefit Guaranty Corporation (or any successor).

     

    "Permitted
      Liens"
      means
      such of the following as to which no enforcement, collection, execution, levy
      or
      foreclosure proceeding shall have been commenced: (a) Liens for taxes,
      assessments and governmental charges or levies to the extent not required to
      be
      paid under Section 5.01(b) hereof; (b) Liens imposed by law, such as
      materialmen's, mechanics', carriers', workmen's and repairmen's Liens and other
      similar Liens arising in the ordinary course of business; (c) pledges or
      deposits to secure obligations under workers' compensation laws or similar
      legislation or to secure public or statutory obligations; (d) easements,
      rights of way and other encumbrances on title to real property that do not
      render title to the property encumbered thereby unmarketable or materially
      adversely affect the use of such property for its present purposes; (e) Liens
      arising under leases or subleases granted to others that would not be reasonably
      likely to have a Material Adverse Effect on the Company and its Subsidiaries
      taken as a whole; (f) Liens granted in connection with any interest rate or
      foreign currency options, commodity contracts, futures or similar agreements
      entered into by the Company or any of its Subsidiaries in the ordinary course
      of
      business; and (g) Liens granted in connection with corporate-owned life
      insurance programs of the Company or any of its Subsidiaries.

     

    "Person"
      means
      an individual, partnership, corporation (including a business trust), joint
      stock company, trust, unincorporated association, limited liability company
      or
      other entity, or a government or any political subdivision or agency
      thereof.

     

    "Plan"
      means a
      Single Employer Plan or a Multiple Employer Plan.

     

    "Pre-Tax
      Income from Continuing Operations"
      means,
      for any period with respect to the Company and its Subsidiaries, net income
      (or
      net loss) from operations (determined without giving effect to extraordinary
      or
      non-recurring gains or losses) plus
      the sum
      of (a) Consolidated Net Interest Expense, (b) income tax expense and (c)
      non-recurring non-cash charges (including the cumulative effect of accounting
      changes, restructuring charges and gains or losses from the sale of businesses),
      in each case determined on a Consolidated basis in accordance with GAAP;
provided,
      however,
      that
      the LIFO adjustment to the determination of Pre-Tax Income from Continuing
      

    
      
        
        

      

      
        
        

        
          

        

      

      
        12

      

    

     

    Operations
      for purposes of the quarterly financial
      statements and the compliance certificate delivered pursuant to Section
      5.01(h)(i) shall be made in accordance with the Company's best
      estimation.

     

    "Process
      Agent"
      has the
      meaning specified in Section 9.12(a).

     

    "Public
      Debt Rating"
      means,
      as of any date, the lowest rating that has been most recently and officially
      announced by either S&P or Moody's, as the case may be, for any class of
      non-credit enhanced long-term senior unsecured debt issued by the Company.
      For
      purposes of the foregoing, (a) if only one of S&P and Moody's shall
      have in effect a Public Debt Rating for the Company, the Applicable Margin,
      the
      Applicable Percentage and the Applicable Utilization Fee shall be determined
      by
      reference to the available rating; (b) if neither S&P nor Moody's shall
      have in effect a Public Debt Rating for the Company, the Applicable Margin,
      the
      Applicable Percentage and the Applicable Utilization Fee will be set in
      accordance with Level 6 under the definition of "Applicable
      Margin",
      "Applicable
      Percentage"
      or
      "Applicable
      Utilization Fee",
      as the
      case may be; (c) if the ratings established by S&P and Moody's shall
      fall within different levels, the Applicable Margin, the Applicable Percentage
      and the Applicable Utilization Fee shall be based upon the higher rating,
provided
      that if
      the lower of such ratings is more than one level below the higher of such
      ratings, the Applicable Margin, the Applicable Percentage and the Applicable
      Utilization Fee shall be determined by reference to the level that is one level
      above such lower rating; (d)  if any rating established by S&P or
      Moody's shall be changed, such change shall be effective as of the date on
      which
      such change is first announced publicly by the rating agency making such change
      (regardless of the effective date thereof); and (e) if S&P or Moody's
      shall change the basis on which ratings are established, each reference to
      the
      Public Debt Rating announced by S&P or Moody's, as the case may be, shall
      refer to the then equivalent rating by S&P or Moody's, as the case may
      be.

     

    "Reference
      Banks"
      means
      Citibank, Bank of America, N.A. and UBS AG, Stamford Branch, or, in the event
      that less than two of such Lenders remain Lenders hereunder at any time, any
      other commercial bank designated by the Company and approved by the Majority
      Lenders as constituting a "Reference Bank" hereunder.

     

    "Register"
      has the
      meaning specified in Section 9.07(d).

     

    "Revolving
      Credit Advance"
      means
      an advance by a Lender to any Borrower as part of a Revolving Credit Borrowing
      by such Borrower and refers to a Base Rate Advance or a Eurodollar Rate Advance
      (each of which shall be a "Type"
      of
      Revolving Credit Advance).

     

    "Revolving
      Credit Borrowing"
      means a
      borrowing consisting of simultaneous Revolving Credit Advances of the same
      Type
      made by each of the Lenders pursuant to Section 2.01.

     

    "Revolving
      Credit Note"
      means a
      promissory note of any Borrower payable to the order of any Lender, delivered
      pursuant to a request made under 2.18(a) in substantially 

    
      
        
        

      

      
        
        

        
          

        

      

      
        13

      

    

     

    the
      form of Exhibit A-1 hereto, evidencing the
      aggregate indebtedness of such Borrower to such Lender resulting from the
      Revolving Credit Advances made by such Lender to such Borrower.

     

    "S&P"
      means
      Standard & Poor's Rating Services, a division of the McGraw-Hill Companies,
      Inc., or its successor.

     

    "Single
      Employer Plan"
      means a
      single employer plan, as defined in Section 4001(a)(15) of ERISA, that
      (a) is maintained for employees of the Company or any ERISA Affiliate and
      no Person other than the Company and the ERISA Affiliates or (b) was so
      maintained and in respect of which the Company or any ERISA Affiliate could
      have
      liability under Section 4069 of ERISA in the event such plan has been or
      were to be terminated.

     

    "Subsidiary"
      of any
      Person means any corporation, partnership, limited liability company, trust
      or
      estate of which (or in which) more than 50% of (a) the issued and
      outstanding capital stock having ordinary voting power to elect a majority
      of
      the Board of Directors of such corporation (irrespective of whether at the
      time
      capital stock of any other class or classes of such corporation shall or might
      have voting power upon the occurrence of any contingency), (b) the interest
      in the capital or profits of such limited liability company or partnership
      or
      (c) the beneficial interest in such trust or estate is at the time directly
      or indirectly owned or controlled by such Person, by such Person and one or
      more
      of its other Subsidiaries or by one or more of such Person's other
      Subsidiaries.

     

    "Taxes"
      has the
      meaning specified in Section 2.14(a).

     

    "Termination
      Date"
      means
      the earlier of (a) December 8, 2011, subject to the extension thereof pursuant
      to Section 2.19 and (b) the date of termination in whole of the Commitments
      pursuant to Section 2.05(a), 2.05(b) or 6.01; provided,
      however,
      that
      the Termination Date of any Lender that is a Non-Consenting Lender to any
      requested extension pursuant to Section 2.19 shall be the Termination Date
      in
      effect immediately prior to the applicable Extension Date for all purposes
      of
      this Agreement.

     

    "Voting
      Stock"
      means
      capital stock issued by a corporation, or equivalent interests in any other
      Person, the holders of which are ordinarily, in the absence of contingencies,
      entitled to vote for the election of directors (or persons performing similar
      functions) of such Person, even if the right so to vote has been suspended
      by
      the happening of such a contingency.

     

    "Withdrawal
      Liability"
      has the
      meaning specified in Part I of Subtitle E of Title IV of
      ERISA.

     

    SECTION
      1.02.   Computation
      of Time Periods.
      In this
      Agreement in the computation of periods of time from a specified date to a
      later
      specified date, the word "from" means "from and including" and the words "to"
      and "until" each mean "to but excluding".

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        14

      

    

    SECTION
      1.03.   Accounting
      Terms.
      All
      accounting terms not specifically defined herein shall be construed in
      accordance with accounting principles generally accepted in the United States
      consistent with those applied in the preparation of the financial statements
      referred to in Section 4.01(e) ("GAAP").

     

    
      ARTICLE
        II 

       

    

    AMOUNTS
      AND TERMS OF THE ADVANCES

     

    SECTION
      2.01.   The
      Revolving Credit Advances.
      Each
      Lender severally agrees, on the terms and conditions hereinafter set forth,
      to
      make Revolving Credit Advances to any Borrower from time to time on any Business
      Day during the period from the Effective Date until the Termination Date
      applicable to such Lender in an aggregate amount for all Borrowers not to exceed
      at any time outstanding (a) the amount set forth opposite such Lender's name
      on
      Schedule I hereto or (b) if such Lender has become a Lender hereunder pursuant
      to an Assumption Agreement or has increased its Commitment pursuant to Section
      2.05(c), or if such Lender has entered into any Assignment and Acceptance,
      the
      amount set forth for such Lender in the Register maintained by the Agent
      pursuant to Section 9.07(d), in each case as such amount may be reduced
      pursuant to Section 2.05(a) or (b) (such Lender's "Commitment"),
      provided
      that the
      aggregate amount of the Commitments of the Lenders shall be deemed used from
      time to time to the extent of the aggregate amount of the Competitive Bid
      Advances then outstanding and such deemed use of the aggregate amount of the
      Commitments shall be allocated among the Lenders ratably according to their
      respective Commitments (such deemed use of the aggregate amount of the
      Commitments being a "Competitive
      Bid Reduction").
      Each
      Revolving Credit Borrowing shall be in an aggregate amount of $5,000,000 or
      an
      integral multiple of $1,000,000 in excess thereof (or, if less, an aggregate
      amount equal to the amount by which the aggregate amount of a proposed
      Competitive Bid Borrowing requested by any Borrower exceeds the aggregate amount
      of Competitive Bid Advances offered to be made by the Lenders and accepted
      by
      such Borrower in respect of such Competitive Bid Borrowing, if such Competitive
      Bid Borrowing is made on the same date and by the same Borrower as such
      Revolving Credit Borrowing) and shall consist of Revolving Credit Advances
      of
      the same Type made on the same day by the Lenders ratably according to their
      respective Commitments. Within the limits of each Lender's Commitment, any
      Borrower may borrow under this Section 2.01, prepay pursuant to
      Section 2.10 and reborrow under this Section 2.01.

     

    SECTION
      2.02.   Making
      the Revolving Credit Advances.
      (a)
      Each
      Revolving Credit Borrowing shall be made on notice, given not later than
      (i) 11:00 A.M. (New York City time) on the third Business Day
      prior to the date of the proposed Revolving Credit Borrowing in the case of
      a
      Revolving Credit Borrowing consisting of Eurodollar Rate Advances or (ii) 11:00
      A.M. (New York City time) on the day of the proposed Revolving Credit Borrowing
      in the case of a Revolving Credit Borrowing consisting of Base Rate Advances,
      by
      any Borrower to the Agent, which shall give to each Lender prompt notice thereof
      by telecopier. Each such notice of a Revolving Credit Borrowing (a "Notice
      of Revolving Credit Borrowing")
      shall
      be by telephone, confirmed immediately in writing, or telecopier in
      substantially the form of Exhibit B-1 hereto, specifying therein the
      requested (w) date of such Revolving Credit Borrowing, (x) Type of
      Advances comprising such Revolving Credit Borrowing, (y) aggregate amount
      of such Revolving Credit Borrowing, and (z) in the case of a Revolving
      Credit Borrowing consisting of 

    
      
        
        

      

      
        
        

        
          

        

      

      
        15

      

    

     

    Eurodollar
      Rate Advances, initial Interest Period for each such Revolving Credit Advance.
      Each Lender shall, before (i) in the case of a Eurodollar Rate Advance,
      11:00 A.M. (New York City time) or (ii) in the case of a Base Rate
      Advance, 1:00 P.M. (New York City time) on the date of such Revolving Credit
      Borrowing, make available for the account of its Applicable Lending Office
      to
      the Agent at the Agent's Account, in same day funds, such Lender's ratable
      portion of such Revolving Credit Borrowing. After the Agent's receipt of such
      funds and upon fulfillment of the applicable conditions set forth in
      Article III, the Agent will make such funds available to the Borrower
      requesting the Revolving Credit Borrowing at the Agent's address referred to
      in
      Section 9.02.

     

    (b)  Anything
      herein to the contrary notwithstanding, a Borrower may not select Eurodollar
      Rate Advances for any Revolving Credit Borrowing if the obligation of the
      Lenders to make Eurodollar Rate Advances shall then be suspended pursuant to
      Section 2.08 or 2.12.

     

    (c)  Each
      Notice of Revolving Credit Borrowing of any Borrower shall be irrevocable and
      binding on such Borrower. In the case of any Revolving Credit Borrowing that
      the
      related Notice of Revolving Credit Borrowing specifies is to be comprised of
      Eurodollar Rate Advances, the Borrower requesting such Revolving Credit
      Borrowing shall indemnify each Lender, after receipt of a written request by
      such Lender setting forth in reasonable detail the basis for such request,
      against any loss, cost or expense actually incurred by such Lender as a result
      of any failure by such Borrower to fulfill on or before the date specified
      in
      such Notice of Revolving Credit Borrowing for such Revolving Credit Borrowing
      the applicable conditions set forth in Article III, including, without
      limitation, any loss (other than loss of anticipated profits), cost or expense
      actually incurred by reason of the liquidation or reemployment of deposits
      or
      other funds acquired by such Lender to fund the Revolving Credit Advance to
      be
      made by such Lender as part of such Revolving Credit Borrowing when such
      Revolving Credit Advance, as a result of such failure, is not made on such
      date.

     

    (d)  Unless
      the Agent shall have received notice from a Lender prior to the date of any
      Revolving Credit Borrowing comprised of Eurodollar Rate Advances or prior to
      the
      time of the proposed disbursement of any Revolving Credit Borrowing comprised
      of
      Base Rate Advances that such Lender will not make available to the Agent such
      Lender's ratable portion of such Revolving Credit Borrowing, the Agent may
      assume that such Lender has made such portion available to the Agent on the
      date
      of such Revolving Credit Borrowing in accordance with subsection (a) of
      this Section 2.02 and the Agent may, in reliance upon such assumption, make
      available to the Borrower requesting such Revolving Credit Borrowing on such
      date a corresponding amount. If and to the extent that such Lender shall not
      have so made such ratable portion available to the Agent, such Lender and such
      Borrower severally agree to repay to the Agent forthwith on demand such
      corresponding amount together with interest thereon, for each day from the
      date
      such amount is made available to such Borrower until the date such amount is
      repaid to the Agent, at (i) in the case of such Borrower, the interest rate
      applicable at the time to Revolving Credit Advances comprising such Revolving
      Credit Borrowing and (ii) in the case of such Lender, the Federal Funds
      Rate. If such Lender shall repay to the Agent such corresponding amount, such
      amount so repaid shall constitute such Lender's Revolving Credit Advance as
      part
      of such Revolving Credit Borrowing for purposes of this Agreement.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        16

      

    

     

    
      (e)  The
        failure of any Lender to make the Revolving Credit Advance to be made by
        it as
        part of any Revolving Credit Borrowing shall not relieve any other Lender
        of its
        obligation, if any, hereunder to make its Revolving Credit Advance on the
        date
        of such Revolving Credit Borrowing, but no Lender shall be responsible for
        the
        failure of any other Lender to make the Revolving Credit Advance to be made
        by
        such other Lender on the date of any Revolving Credit Borrowing.

       

    

    SECTION
      2.03.   The
      Competitive Bid Advances.
      (a)
      Each
      Lender severally agrees that any Borrower may make Competitive Bid Borrowings
      under this Section 2.03 from time to time on any Business Day during the
      period from the date hereof until the date occurring 30 days prior to the latest
      Termination Date in the manner set forth below; provided
      that,
      following the making of each Competitive Bid Borrowing, the aggregate amount
      of
      the Advances then outstanding shall not exceed the aggregate amount of the
      Commitments of the Lenders (computed without regard to any Competitive Bid
      Reduction).

     

    (i)  A
      Borrower may request a Competitive Bid Borrowing under this Section 2.03 by
      delivering to the Agent, by telecopier, a notice of a Competitive Bid Borrowing
      (a "Notice
      of Competitive Bid Borrowing"),
      in
      substantially the form of Exhibit B-2 hereto, specifying therein the
      requested (u) date of such proposed Competitive Bid Borrowing,
      (v) aggregate amount of such proposed Competitive Bid Borrowing, (w)
      interest rate basis (LIBO Rate or fixed rate) to be offered by the Lenders,
      (x) in the case of a Competitive Bid Borrowing consisting of LIBO Rate
      Advances, Interest Period of each Competitive Bid Advance to be made as part
      of
      such Competitive Bid Borrowing, or in the case of a Competitive Bid Borrowing
      Consisting of Fixed Rate Advances, maturity date for repayment of each Fixed
      Rate Advance to be made as part of such Competitive Bid Borrowing (which
      maturity date may not be earlier than the date occurring 7 days after the date
      of such Competitive Bid Borrowing or later than the earlier of (I) 180 days
      after the date of such Competitive Bid Borrowing and (II) the latest
      Termination Date), (y) interest payment date or dates relating thereto, and
      (z) other terms (if any) to be applicable to such Competitive Bid
      Borrowing, not later than 10:00 A.M. (New York City time) (A) at
      least one Business Day prior to the date of the proposed Competitive Bid
      Borrowing, if such Borrower shall specify in the Notice of Competitive Bid
      Borrowing that the rates of interest to be offered by the Lenders shall be
      fixed
      rates per annum (the Advances comprising any such Competitive Bid Borrowing
      being referred to herein as "Fixed
      Rate Advances")
      and
      (B) at least four Business Days prior to the date of the proposed
      Competitive Bid Borrowing, if such Borrower shall instead specify in the Notice
      of Competitive Bid Borrowing that the rates of interest to be offered by the
      Lenders are to be based on the LIBO Rate (the Advances comprising such
      Competitive Bid Borrowing being referred to herein as "LIBO
      Rate Advances").
      Each
      Notice of Competitive Bid Borrowing of a Borrower shall be irrevocable and
      binding on such Borrower. Any Notice of Competitive Bid Borrowing by a
      Designated Subsidiary shall be given to the Agent in accordance with the
      preceding sentence through the Company on behalf of such Designated Subsidiary.
      The Agent shall in turn promptly notify each Lender of each request for a
      Competitive Bid Borrowing received by it from a Borrower by sending such Lender
      a copy of the related Notice of Competitive Bid Borrowing.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        17

      

    

     

    
                             

        (ii)  Each
          Lender may, if, in its sole discretion, it elects to do so, irrevocably
          offer to
          make one or more Competitive Bid Advances to the Borrower proposing the
          Competitive Bid Borrowing as part of such proposed Competitive Bid Borrowing
          at
          a rate or rates of interest specified by such Lender in its sole discretion,
          by
          notifying the Agent (which shall give prompt notice thereof to such Borrower),
          before 9:30 A.M. (New York City time) on the date of such proposed
          Competitive Bid Borrowing, in the case of a Competitive Bid Borrowing consisting
          of Fixed Rate Advances and before 10:00 A.M. (New York City time) three
          Business
          Days before the date of such proposed Competitive Bid Borrowing, in the
          case of
          a Competitive Bid Borrowing consisting of LIBO Rate Advances, of the minimum
          amount and maximum amount of each Competitive Bid Advance which such Lender
          would be willing to make as part of such proposed Competitive Bid Borrowing
          (which amounts may, subject to the proviso to the first sentence of this
          Section 2.03(a), exceed such Lender's Commitment, if any), the rate or
          rates of interest therefor and such Lender's Applicable Lending Office
          with
          respect to such Competitive Bid Advance; provided
          that if
          the Agent in its capacity as a Lender shall, in its sole discretion, elect
          to
          make any such offer, it shall notify such Borrower of such offer at least
          30
          minutes before the time and on the date on which notice of such election
          is to
          be given to the Agent by the other Lenders. If any Lender shall elect not
          to
          make such an offer, such Lender shall so notify the Agent, before
          10:00 A.M. (New York City time) on the date on which notice of such
          election is to be given to the Agent by the other Lenders, and such Lender
          shall
          not be obligated to, and shall not, make any Competitive Bid Advance as
          part of
          such Competitive Bid Borrowing; provided
          that the
          failure by any Lender to give such notice shall not cause such Lender to
          be
          obligated to make any Competitive Bid Advance as part of such proposed
          Competitive Bid
          Borrowing.       

      

    

     

    (iii)  The
      Borrower proposing the Competitive Bid Borrowing shall, in turn, before
      10:30 A.M. (New York City time) on the date of such proposed
      Competitive Bid Borrowing, in the case of a Competitive Bid Borrowing consisting
      of Fixed Rate Advances and before 11:00 A.M. (New York City time)
      three Business Days before the date of such proposed Competitive Bid Borrowing,
      in the case of a Competitive Bid Borrowing consisting of LIBO Rate Advances,
      either:

     

    (x) cancel
      such Competitive Bid Borrowing by giving the Agent notice to that effect,
      or

     

    (y) accept
      one or more of the offers made by any Lender or Lenders pursuant to paragraph
      (ii) above, in its sole discretion, by giving notice to the Agent of the amount
      of each Competitive Bid Advance (which amount shall be equal to or greater
      than
      the minimum amount, and equal to or less than the maximum amount, notified
      to
      such Borrower by the Agent on behalf of such Lender for such Competitive Bid
      Advance pursuant to paragraph (ii) above) to be made by each Lender as part
      of such Competitive Bid Borrowing, and reject any remaining offers made by
      Lenders pursuant to paragraph (ii) above by giving the Agent notice to that
      effect; provided,
      however,
      that
      such Borrower shall not accept any offer in excess of the requested bid amount
      for any maturity. Such Borrower shall accept the offers made by any Lender
      or
      Lenders to make 

    
      
        
        

      

      
        
        

        
          

        

      

      
        18

      

    

     

    Competitive
      Bid Advances in order of the lowest to the highest rates of
      interest offered by such Lenders. If two or more Lenders have offered the same
      interest rate, the amount to be borrowed at such interest rate will be allocated
      among such Lenders in proportion to the amount that each such Lender offered
      at
      such interest rate.

     

    (iv)  If
      the
      Borrower proposing the Competitive Bid Advance notifies the Agent that such
      Competitive Bid Borrowing is cancelled pursuant to paragraph (iii)(x)
      above, the Agent shall give prompt notice thereof to the Lenders and such
      Competitive Bid Borrowing shall not be made.

     

    (v)  If
      the
      Borrower proposing the Competitive Bid Advance accepts one or more of the offers
      made by any Lender or Lenders pursuant to paragraph (iii)(y) above, the
      Agent shall in turn promptly notify (A) each Lender that has made an offer
      as described in paragraph (ii) above, of the date and aggregate amount of
      such Competitive Bid Borrowing and whether or not any offer or offers made
      by
      such Lender pursuant to paragraph (ii) above have been accepted by such
      Borrower, (B) each Lender that is to make a Competitive Bid Advance as part
      of such Competitive Bid Borrowing, of the amount of each Competitive Bid Advance
      to be made by such Lender as part of such Competitive Bid Borrowing, and
      (C) each Lender that is to make a Competitive Bid Advance as part of such
      Competitive Bid Borrowing, upon receipt, that the Agent has received forms
      of
      documents appearing to fulfill the applicable conditions set forth in Article
      III. Each Lender that is to make a Competitive Bid Advance as part of such
      Competitive Bid Borrowing shall, before 12:00 Noon (New York City
      time) on the date of such Competitive Bid Borrowing specified in the notice
      received from the Agent pursuant to clause (A) of the preceding sentence or
      any later time when such Lender shall have received notice from the Agent
      pursuant to clause (C) of the preceding sentence, make available for the
      account of its Applicable Lending Office to the Agent at the Agent's Account,
      in
      same day funds, such Lender's portion of such Competitive Bid Borrowing. Upon
      fulfillment of the applicable conditions set forth in Article III and after
      receipt by the Agent of such funds, the Agent will make such funds available
      to
      such Borrower at the Agent's address referred to in Section 9.02. Promptly
      after each Competitive Bid Borrowing the Agent will notify each Lender of the
      amount of the Competitive Bid Borrowing, the consequent Competitive Bid
      Reduction and the dates upon which such Competitive Bid Reduction commenced
      and
      will terminate.

     

    (vi)  If
      the
      Borrower proposing the Competitive Bid Advance notifies the Agent that it
      accepts one or more of the offers made by any Lender or Lenders pursuant to
      paragraph (iii)(y) above, such notice of acceptance shall be irrevocable
      and binding on such Borrower. Such Borrower shall indemnify each Lender, after
      receipt of a written request by such Lender setting forth in reasonable detail
      the basis for such request, against any loss, cost or expense actually incurred
      by such Lender as a result of any failure by such Borrower to fulfill on or
      before the date specified in the related Notice of Competitive Bid Borrowing
      for
      such Competitive Bid Borrowing the applicable conditions set forth in
      Article III, including, without limitation, any loss (other than loss of
      anticipated profits), cost or expense actually incurred by reason of the
      liquidation or reemployment of deposits or other funds acquired by such Lender
      to fund the

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        19

      

    

     

    Competitive
      Bid Advance to be made by such Lender as part of such Competitive Bid Borrowing
      when such Competitive Bid Advance, as a result of such failure, is not made
      on
      such date.

     

                                    (b)  Each
      Competitive Bid Borrowing shall be in an aggregate amount of $10,000,000 or
      an
      integral multiple of $1,000,000 in excess thereof and, following the making
      of
      each Competitive Bid Borrowing, the Borrower that has borrowed through such
      Competitive Bid Borrowing shall be in compliance with the limitation set forth
      in the proviso to the  sentence of subsection (a) above.

     

                                   
      (c)  Within
      the limits and on the conditions set forth in this Section 2.03, each
      Borrower may from time to time borrow under this Section 2.03, repay or
      prepay pursuant to subsection (d) below, and reborrow under this
      Section 2.03.

     

    (d)  Each
      Borrower that has borrowed through a Competitive Bid Borrowing shall repay
      to
      the Agent for the account of each Lender that has made a Competitive Bid
      Advance, on the maturity date of such Competitive Bid Advance (such maturity
      date being that specified by such Borrower for repayment of such Competitive
      Bid
      Advance in the related Notice of Competitive Bid Borrowing delivered pursuant
      to
      subsection (a)(i) above and provided in the Competitive Bid Note evidencing
      such Competitive Bid Advance), the then unpaid principal amount of such
      Competitive Bid Advance. A Borrower shall have no right to prepay any principal
      amount of any Competitive Bid Advance without the consent of the Lender that
      has
      made such Competitive Bid Advance or as is specified in the Notice of
      Competitive Bid Borrowing.

     

    (e)  Each
      Borrower that has borrowed through a Competitive Bid Borrowing shall pay
      interest on the unpaid principal amount of each Competitive Bid Advance from
      the
      date of such Competitive Bid Advance comprising such Competitive Bid Borrowing
      to the date the principal amount of such Competitive Bid Advance is repaid
      in
      full, at the rate of interest for such Competitive Bid Advance specified by
      the
      Lender making such Competitive Bid Advance in its notice with respect thereto
      delivered pursuant to subsection (a)(ii) above, payable on the interest
      payment date or dates specified by such Borrower for such Competitive Bid
      Advance in the related Notice of Competitive Bid Borrowing delivered pursuant
      to
      subsection (a)(i) above, as provided in the Competitive Bid Note evidencing
      such Competitive Bid Advance. Upon the occurrence and during the continuance
      of
      an Event of Default under Section 6.01(a), each Borrower that has borrowed
      through a Competitive Bid Borrowing shall pay interest on the amount of unpaid
      principal of and interest on each Competitive Bid Advance comprising such
      Competitive Bid Borrowing that is owing to a Lender, payable in arrears on
      the
      date or dates interest is payable thereon, at a rate per annum equal at all
      times to 2% per annum above the rate per annum required to be paid on such
      Competitive Bid Advance under the terms of the Competitive Bid Note evidencing
      such Competitive Bid Advance unless otherwise agreed in such Competitive Bid
      Note.

     

    (f)  The
      indebtedness of any Borrower resulting from each Competitive Bid Advance made
      to
      such Borrower as part of a Competitive Bid Borrowing shall be evidenced by
      a
      separate Competitive Bid Note of such Borrower payable to the order of the
      Lender making such Competitive Bid Advance.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        20

      

    

     

    SECTION
      2.04.   Fees. (a) Facility Fee. The Company agrees
      to pay to the Agent for the account of each Lender a facility fee on the
      aggregate amount of such Lender's Commitment from the date hereof in the case
      of
      each Initial Lender and from the effective date specified in the Assumption
      Agreement or the Assignment and Acceptance, as the case may be, pursuant to
      which it became a Lender in the case of each other Lender until the Termination
      Date applicable to such Lender at a rate per annum equal to the Applicable
      Percentage in effect from time to time, payable in arrears quarterly on the
      last
      day of each March, June, September and December, commencing December 31, 2006,
      and on the latest Termination Date.

     

    (b)  Agent's
      Fees.
      The
      Company shall pay to the Agent for its own account such fees as may from time
      to
      time be agreed in writing between the Company and the Agent.

     

    SECTION
      2.05.   Termination,
      Reduction or Increase of the Commitments.
      (a) Termination
      or Ratable Reduction by the Company.
      The
      Company shall have the right, upon at least three Business Days' notice to
      the
      Agent, to terminate in whole or reduce ratably in part the unused portions
      of
      the respective Commitments of the Lenders, provided
      that
      each partial reduction shall be in the aggregate amount of $10,000,000 or an
      integral multiple of $1,000,000 in excess thereof and provided,
      further,
      that
      the aggregate amount of the Commitments of the Lenders shall not be reduced
      to
      an amount that is less than the aggregate principal amount of the Competitive
      Bid Advances then outstanding. The aggregate amount of the Commitments, once
      reduced or terminated as provided in this Section 2.05(a), may not be
      reinstated, except as provided in Section 2.05(c) below.

     

    (b)  Termination
      by the Majority Lenders upon Change of Control.
      In the
      event that a Change of Control occurs, (i) the Agent shall at the request,
      or may with the consent, of the Majority Lenders, by notice to the Company
      given
      not later than 10 Business Days after receipt by the Lenders and the Agent
      of
      notice from the Company of such Change of Control pursuant to Section
      5.01(h)(iv), declare the Commitments (determined without giving effect to any
      Competitive Bid Reduction) to be terminated in whole, effective as of the date
      set forth in such notice, provided,
      however,
      that
      such date shall be no earlier than 10 Business Days after the Company's receipt
      of such notice of termination and (ii) each Borrower's right to make a
      Borrowing under this Agreement shall thereupon be suspended and shall remain
      suspended until 10 Business Days after receipt by the Lenders and the Agent
      of
      notice from the Company of such Change of Control pursuant to Section
      5.01(h)(iv) unless the Majority Lenders shall have exercised their right to
      terminate the Commitments as provided in clause (i) of this Section 2.05(b),
      in
      which case each Borrower's right to make a Borrowing under this Agreement shall
      remain suspended until the effective date of such termination. A notice of
      termination pursuant to this Section 2.05(b) shall have the effect of
      accelerating the outstanding Advances of the Lenders and the Notes of the
      Lenders and each Borrower shall, on or prior to the effective date of the
      termination of the Commitments, prepay or cause to be prepaid the outstanding
      principal amount of all Advances owing by any such Borrower to the Lenders,
      together with accrued interest thereon to the date of such payment, any facility
      fees or other fees payable to the Lenders pursuant to the provisions of Section
      2.04, and all other amounts payable to the Lenders under this Agreement
      (including, but not limited to, any increased costs or other amounts owing
      under
      Section 2.11 and any indemnification for Taxes under Section 2.14). Upon such
      prepayment and the termination of the Commitments in accordance with this
      Section 2.05(b), the obligations of the Lenders under this Agreement shall,
      by
      the provisions hereof, be released and discharged.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        21

      

    

     

    
      (c)  Increase
        by the Company.
        (i)
        The
        Company may at any time, by notice to the Agent, propose that the aggregate
        amount of the Commitments be increased (each such proposed increase being
        a
        "Commitment
        Increase")
        by up
        to $400,000,000 in excess of the aggregate of the Commitments as of the
        Effective Date, effective as at a date (the "Commitment
        Increase Date")
        that
        shall be specified in such notice and that shall be (A) prior to the latest
        Termination Date and (B) at least 15 Business Days after the date of such
        notice; provided,
        however,
        that
        (1) the Company may not propose more than one Commitment Increase during
        any
        calendar year, (2) the minimum proposed Commitment Increase for each
        Commitment Increase Date shall be $50,000,000, (3) in no event shall the
        aggregate amount of the Commitments at any time exceed $1,500,000,000, (4)
        the
        representations and warranties in Section 4.01 shall be true and correct on
        such Commitment Increase Date and (5) no Default shall have occurred and be
        continuing on such Commitment Increase Date or shall result from such Commitment
        Increase. The Agent shall notify the Lenders and any Eligible Assignees
        requested by the Company and acceptable to the Agent as potential Assuming
        Lenders hereunder of the proposed Commitment Increase promptly upon the Agent's
        receipt of any such notice. It shall be in each Lender's sole discretion
        whether
        to increase its Commitment hereunder in connection with the proposed Commitment
        Increase. No later than 10 Business Days after its receipt of the Company's
        notice, each Lender that is willing to increase its Commitment hereunder
        (each
        such Lender being an "Increasing
        Lender")
        shall
        deliver to the Agent a notice in which such Lender shall set forth the maximum
        increase in its Commitment to which such Lender is willing to agree, and
        the
        Agent shall promptly provide to the Company a copy of such Increasing Lender's
        notice. The Agent shall cooperate with the Company in discussions with the
        Lenders and Eligible Assignees with a view to arranging the proposed Commitment
        Increase through the increase of the Commitments of one or more of the Lenders
        and/or the addition of one or more Eligible Assignees acceptable to the Company
        and the Agent as Assuming Lenders and as parties to this Agreement; provided,
        however,
        that
        the minimum Commitment of each such Assuming Lender that becomes a party
        to this
        Agreement pursuant to this Section 2.05(c) shall be $10,000,000; and
provided further
        that any
        allocations of Commitments shall be determined by the
        Company.

    

     

    (ii)  If
      agreement is reached prior to the relevant Commitment Increase Date with any
      Increasing Lenders and Assuming Lenders as to a Commitment Increase (the amount
      of which may be less than (subject to the limitation set forth in clause (i)(x)
      of this Section 2.05(c)) but not greater than that amount specified in the
      applicable notice from the Company), the Company shall deliver, no later than
      one Business Day prior to the Commitment Increase Date, a notice thereof in
      reasonable detail to the Agent (and the Agent shall give notice thereof to
      the
      Lenders, including any Assuming Lenders). The Assuming Lenders, if any, shall
      become Lenders hereunder as of the Commitment Increase Date and the Commitments
      of any Increasing Lenders and such Assuming Lenders shall become or be, as
      the
      case may be, as of the Commitment Increase Date, the amounts specified in the
      notice delivered by the Company to the Agent; provided,
      however,
      that:

     

    (x) the
      Agent
      shall have received on or prior to 9:00 A.M. (New York City time) on the
      Commitment Increase Date (A) if requested by an Assuming Lender or an Increasing
      Lender in accordance with Section 2.18(a), a duly executed Revolving Credit
      Note
      from each Borrower, dated as of the Commitment Increase Date and in
      substantially the form of Exhibit A-1 hereto for such Assuming Lender, and
      dated
      the date to which interest on the existing Revolving Credit Note of such
      Borrower shall have been paid and 

    
      
        
        

      

      
        
        

        
          

        

      

      
        22

      

    

     

    in
      substantially the form of Exhibit A-1 hereto for such Increasing Lender, in
      each
      case in an amount equal to the Commitment of such Assuming Lender and such
      Increasing Lender after giving effect to such Commitment Increase, (B) a
      certificate of a duly authorized officer of the Company stating that no event
      has occurred and is continuing, or would result from such Commitment Increase,
      that constitutes a Default, and that each of the other applicable
      conditions to such Commitment Increase set forth in this Section 2.05(c) to
      be
      fulfilled by the Company has been satisfied and (C) an opinion of counsel for
      the Company in substantially the form of Exhibit G hereto, dated the Commitment
      Increase Date (with copies for each Lender, including each Assuming
      Lender);

     

    (y) with
      respect to each Assuming Lender, the Agent shall have received, on or prior
      to
      9:00 A.M. (New York City time) on the Commitment Increase Date, an appropriate
      Assumption Agreement in substantially the form of Exhibit D hereto, duly
      executed by such Assuming Lender and the Company, and acknowledged by the Agent;
      and

     

    (z) each
      Increasing Lender shall have delivered to the Agent, on or prior to 9:00 A.M.
      (New York City time) on the Commitment Increase Date, (A) its existing Revolving
      Credit Note or Notes, if any, and (B) confirmation in writing satisfactory
      to
      the Agent as to its increased Commitment, with a copy of such confirmation
      to
      the Company.

     

    (iii)  Upon
      its
      receipt of confirmation from a Lender that it is increasing its Commitment
      hereunder, together with the appropriate Revolving Credit Note or Notes, if
      any,
      certificate and opinion referred to in clause (ii)(x) above, the Agent shall
      (A)
      record the information contained therein in the Register and (B) give prompt
      notice thereof to the Company. Upon its receipt of an Assumption Agreement
      executed by an Assuming Lender representing that it is an Eligible Assignee,
      together with the appropriate Revolving Credit Note or Notes, certificate and
      opinion referred to in clause (ii)(x) above, the Agent shall, if such Assumption
      Agreement has been completed and is in substantially the form of Exhibit D
      hereto, (x) accept such Assumption Agreement, (y) record the information
      contained therein in the Register and (z) give prompt notice thereof to the
      Company.

     

    (iv)  In
      the
      event that the Agent shall not have received notice from the Company as to
      such
      agreement on or prior to the Commitment Increase Date or the Company shall,
      by
      notice to the Agent prior to the Commitment Increase Date, withdraw its proposal
      for a Commitment Increase or any of the actions provided for above in clauses
      (ii)(x) through (ii)(z) shall not have occurred by 9:00 A.M. (New York City
      time) on the Commitment Increase Date, such proposal by the Company shall be
      deemed not to have been made. In such event, any actions theretofore taken
      under
      clauses (ii)(x) through (ii)(z) above shall be deemed to be of no effect and
      all
      the rights and obligations of the parties shall continue as if no such proposal
      had been made.

     

    (v)  In
      the
      event that the Agent shall have received notice from the Company as to such
      agreement on or prior to the Commitment Increase Date and each of the actions
      provided for in clauses (ii)(x) through (ii)(z) above shall have occurred by
      9:00 A.M. (New York City time) on the Commitment Increase Date, the Agent shall
      notify the Lenders (including any 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        23

      

    

     

    Assuming
      Lenders) of the occurrence of the Commitment Increase Date promptly and in
      any
      event by 10:00 A.M. (New York City time) on such date by telecopier. Each
      Increasing Lender and each Assuming Lender shall, before 11:00 A.M. (New York
      City time) on the Commitment Increase Date, make available for the account
      of
      its Applicable Lending Office to the Agent at the Agent's Account, in same
      day
      funds, in the case of such Assuming Lender, an amount equal to such Assuming
      Lender's ratable portion of the Revolving Credit Borrowings then outstanding
      (calculated based on its Commitment as a percentage of the aggregate Commitments
      outstanding after giving effect to the relevant Commitment Increase) and, in
      the
      case of such Increasing Lender, an amount equal to the excess of (i) such
      Increasing Lender's ratable portion of the Revolving Credit Borrowings then
      outstanding (calculated based on its Commitment as a percentage of the aggregate
      Commitments outstanding after giving effect to the relevant Commitment Increase)
      over (ii) such Increasing Lender's ratable portion of the Revolving Credit
      Borrowings then outstanding (calculated based on its Commitment (without giving
      effect to the relevant Commitment Increase) as a percentage of the aggregate
      Commitments without giving effect to the relevant Commitment Increase). After
      the Agent's receipt of such funds from each such Increasing Lender and each
      such
      Assuming Lender, the Agent will promptly thereafter cause to be distributed
      like
      funds to the other Lenders for the account of their respective Applicable
      Lending Offices in an amount to each other Lender such that the aggregate amount
      of the outstanding Revolving Credit Advances owing to each Lender after giving
      effect to such distribution equals such Lender's ratable portion of the
      Revolving Credit Borrowings then outstanding (calculated based on such Lender's
      Commitment as a percentage of the aggregate Commitments outstanding after giving
      effect to the relevant Commitment Increase). If the Commitment Increase Date
      shall occur on a date that is not the last day of the Interest Period for all
      Eurodollar Rate Advances then outstanding, (a) the Company shall pay any amounts
      owing pursuant to Section 9.04(d) as a result of the distributions to Lenders
      under this Section 2.05(c)(v) and (b) for each Revolving Credit Borrowing
      comprised of Eurodollar Rate Advances, the respective Revolving Credit Advances
      made by the Increasing Lenders and the Assuming Lenders pursuant to this Section
      2.05(c)(v) shall be Base Rate Advances until the last day of the then existing
      Interest Period for such Revolving Credit Borrowing.

     

    SECTION
      2.06.   Repayment
      of Revolving Credit Advances.
      Each
      Borrower shall repay to the Agent for the ratable account of each Lender on
      the
      Termination Date applicable to such Lender the aggregate principal amount of
      the
      Revolving Credit Advances then outstanding in respect of such
      Borrower.

     

    SECTION
      2.07.   Interest
      on Revolving Credit Advances.
      (a) Scheduled
      Interest.
      Each
      Borrower shall pay interest on the unpaid principal amount of each Revolving
      Credit Advance owing by such Borrower to each Lender from the date of such
      Revolving Credit Advance until such principal amount shall be paid in full,
      at
      the following rates per annum:

     

    (i)  Base
      Rate Advances.
      During
      such periods as such Revolving Credit Advance is a Base Rate Advance, a rate
      per
      annum equal at all times to the sum of (x) the Base Rate in effect from
      time to time plus
      (y) the Applicable Margin in effect from time to time plus
      (z) the Applicable Utilization Fee, if any, in effect from time to time,
      payable in arrears quarterly on the last day of each March, June, September
      and
      December during such periods and on the date such Base Rate Advance shall be
      Converted or paid in full.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        24

      

    

     

    
      (ii)  Eurodollar
        Rate Advances.
        During
        such periods as such Revolving Credit Advance is a Eurodollar Rate Advance,
        a
        rate per annum equal at all times during each Interest Period for such Revolving
        Credit Advance to the sum of (x) the Eurodollar Rate for such Interest
        Period for such Revolving Credit Advance plus
        (y) the Applicable Margin in effect from time to time plus
        (z) the Applicable Utilization Fee, if any, in effect from
        time
        to time, payable in arrears on the last day of such Interest Period and,
        if such
        Interest Period has a duration of more than three months, on each day that
        occurs during such Interest Period every three months from the first day
        of such
        Interest Period and on the date such Eurodollar Rate Advance shall be Converted
        or paid in full.

    

     

    (b)  Default
      Interest.
      Upon
      the occurrence and during the continuance of an Event of Default under Section
      6.01(a), each Borrower shall pay interest on (i) the unpaid principal
      amount of each Revolving Credit Advance owing by such Borrower to each Lender,
      payable in arrears on the dates referred to in clause (a)(i) or (a)(ii)
      above, at a rate per annum equal at all times to 2% per annum above the rate
      per
      annum required to be paid on such Revolving Credit Advance pursuant to
      clause (a)(i) or (a)(ii) above and (ii) to the fullest extent
      permitted by law, the amount of any interest, fee or other amount payable
      hereunder by such Borrower that is not paid when due, from the date such amount
      shall be due until such amount shall be paid in full, payable in arrears on
      the
      date such amount shall be paid in full and on demand, at a rate per annum equal
      at all times to 2% per annum above the rate per annum required to be paid on
      Base Rate Advances pursuant to clause (a)(i) above.

     

    (c)  Additional
      Interest on Eurodollar Rate Advances.
      The
      applicable Borrower shall pay to each Lender, so long as such Lender shall
      be
      required under regulations of the Board of Governors of the Federal Reserve
      System to maintain reserves with respect to liabilities or assets consisting
      of
      or including Eurocurrency Liabilities, additional interest on the unpaid
      principal amount of each Eurodollar Rate Advance of such Lender to such
      Borrower, from the date of such Advance until such principal amount is paid
      in
      full, at an interest rate per annum equal at all times to the remainder obtained
      by subtracting (i) the Eurodollar Rate for the applicable Interest Period for
      such Advance from (ii) the rate obtained by dividing such Eurodollar Rate by
      a
      percentage equal to 100% minus
      the
      Eurodollar Rate Reserve Percentage of such Lender for such Interest Period,
      payable on each date on which interest is payable on such Advance. Such
      additional interest shall be determined by such Lender and notified in
      reasonable detail to such Borrower through the Agent.

     

    SECTION
      2.08.   Interest
      Rate Determination.
      (a)
      Each
      Reference Bank agrees to furnish to the Agent timely information for the purpose
      of determining each Eurodollar Rate and each LIBO Rate. If any one or more
      of
      the Reference Banks shall not furnish such timely information to the Agent
      for
      the purpose of determining any such interest rate, the Agent shall determine
      such interest rate on the basis of timely information furnished by the remaining
      Reference Banks. The Agent shall give prompt notice to the relevant Borrowers
      and the Lenders of the applicable interest rate determined by the Agent for
      purposes of Section 2.07(a)(i) or (ii), and the rate, if any, furnished by
      each Reference Bank for the purpose of determining the interest rate under
      Section 2.07(a)(ii).

     

    (b)  If,
      with
      respect to any Eurodollar Rate Advances, the Majority Lenders notify the Agent
      that the Eurodollar Rate for any Interest Period for such Advances will not
      adequately 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        25

      

    

     

    reflect
      the cost to such Majority Lenders of making, funding or maintaining their
      respective Eurodollar Rate Advances for such Interest Period (which cost each
      such Lender reasonably determines in good faith is material), the Agent shall
      forthwith so notify each Borrower and the Lenders, whereupon (i) each
      Eurodollar Rate Advance will automatically, on the last day of the then existing
      Interest Period therefor, Convert into a Base Rate Advance, and (ii) the
      obligation of the Lenders to make, or to Convert Revolving Credit Advances
      into,
      Eurodollar Rate Advances shall be suspended until the Agent shall notify each
      Borrower and the Lenders that the circumstances causing such suspension no
      longer exist.

     

    (c)  If
      any
      Borrower, in requesting a Revolving Credit Borrowing comprised of Eurodollar
      Rate Advances, shall fail to select the duration of the Interest Period for
      such
      Eurodollar Rate Advances in accordance with the provisions contained in the
      definition of "Interest Period" in Section 1.01, the Agent will forthwith
      so notify such Borrower and the Lenders and such Advances will automatically,
      on
      the last day of the then existing Interest Period therefor, Convert into Base
      Rate Advances.

     

    (d)  On
      the
      date on which the aggregate unpaid principal amount of Eurodollar Rate Advances
      comprising any Borrowing shall be reduced, by payment or prepayment or
      otherwise, to less than $5,000,000, such Advances shall automatically, on the
      last day of the then existing Interest Period therefor, Convert into Base Rate
      Advances.

     

    (e)  Upon
      the
      occurrence and during the continuance of any Event of Default, (i) each
      Eurodollar Rate Advance will automatically, on the last day of the then existing
      Interest Period therefor, Convert into a Base Rate Advance and (ii) the
      obligation of the Lenders to make, or to Convert Advances into, Eurodollar
      Rate
      Advances shall be suspended.

     

    (f)  If
      Moneyline Telerate Markets Page 3750 is unavailable and fewer than two Reference
      Banks furnish timely information to the Agent for determining the Eurodollar
      Rate or LIBO Rate for any Eurodollar Rate Advances or LIBO Rate Advances, as
      the
      case may be, such Eurodollar Rate or LIBO Rate shall be the interest rate per
      annum determined by the Agent to be the offered rate per annum at which deposits
      in U.S. dollars for a maturity comparable to the Interest Period for such
      Eurodollar Rate Advances or LIBO Rate Advances, as the case may be, appears
      on
      the Telerate Page 3750 (or any successor page) as of 11:00 A.M. (London time)
      two Business Days prior to the first day of such Interest Period (the
      "Telerate");
      provided
      that if
      the Telerate is not then available:

     

    (i)  the
      Agent
      shall forthwith notify the relevant Borrower and the Lenders that the interest
      rate cannot be determined for such Eurodollar Rate Advances or LIBO Rate
      Advances, as the case may be;

     

    (ii)  with
      respect to Eurodollar Rate Advances, each such Advance will automatically,
      on
      the last day of the then existing Interest Period therefor, Convert into a
      Base
      Rate Advance (or if such Advance is then a Base Rate Advance, will continue
      as a
      Base Rate Advance); and

     

    (iii)  the
      obligation of the Lenders to make Eurodollar Rate Advances or LIBO Rate Advances
      or to Convert Revolving Credit Advances into Eurodollar Rate Advances

    
      
        
        

      

      
        
        

        
          

        

      

      
        26

      

    

    shall
      be suspended until the Agent shall notify each Borrower and the
      Lenders that the circumstances causing such suspension no longer
      exist.

     

     

    SECTION
      2.09.   Optional Conversion of Revolving Credit Advances. Any
      Borrower may on any Business Day, upon notice given to the Agent not later
      than
      11:00 A.M. (New York City time) on the third Business Day prior to the
      date of the proposed Conversion and
      subject to the provisions of Sections 2.08 and 2.12, Convert all Revolving
      Credit Advances of one Type comprising the same Borrowing into Revolving Credit
      Advances of the other Type; provided,
      however,
      that
      any Conversion of Eurodollar Rate Advances into Base Rate Advances shall be
      made
      only on the last day of an Interest Period for such Eurodollar Rate Advances.
      Each such notice of a Conversion shall, within the restrictions specified above,
      specify (i) the date of such Conversion, (ii) the Revolving Credit
      Advances to be Converted, and (iii) if such Conversion is into Eurodollar
      Rate Advances, the duration of the initial Interest Period for each such
      Advance. Each notice of Conversion shall be irrevocable and binding on the
      relevant Borrower.

     

    SECTION
      2.10.   Optional
      Prepayments of Revolving Credit Advances.
      Any
      Borrower may, upon notice to the Agent stating the proposed date and aggregate
      principal amount of the prepayment, given not later than 11:00 A.M. (New York
      City time) on the second Business Day prior to the date of such proposed
      prepayment, in the case of Eurodollar Rate Advances, and not later than 11:00
      A.M. (New York City time) on the day of such proposed prepayment, in the case
      of
      Base Rate Advances, and, if such notice is given such Borrower shall, prepay
      the
      outstanding principal amount of the Revolving Credit Advances comprising part
      of
      the same Revolving Credit Borrowing in whole or ratably in part, together with
      accrued interest to the date of such prepayment on the principal amount prepaid;
      provided,
      however,
      that
      (x) each partial prepayment shall be in an aggregate principal amount of
      $10,000,000 or an integral multiple of $1,000,000 in excess thereof and
      (y) in the event of any such prepayment of a Eurodollar Rate Advance, such
      Borrower shall be obligated to reimburse the Lenders in respect thereof pursuant
      to Section 9.04(d). Each notice of prepayment by a Designated Subsidiary
      shall be given to the Agent through the Company.

     

    SECTION
      2.11.   Increased
      Costs.
      (a)
      If,
      after the date hereof, due to either (i) the introduction of or any change
      (other than any change by way of imposition or increase of reserve requirements
      included in the Eurodollar Rate Reserve Percentage) in or in the interpretation
      of any law or regulation or (ii) the compliance with any guideline or
      request from any central bank or other governmental authority having
      jurisdiction over any Lender (whether or not having the force of law), there
      shall be any increase in the cost to any Lender (which cost such Lender
      reasonably determines in good faith is material) of agreeing to make or making,
      funding or maintaining Eurodollar Rate Advances or LIBO Rate Advances (excluding
      for purposes of this Section 2.11 any such increased costs resulting from (i)
      Taxes or Other Taxes (as to which Section 2.14 shall govern) and (ii) Excluded
      Taxes), then the Borrower of such Advances shall from time to time, upon demand
      by such Lender made not later than 60 days after such Lender obtains knowledge
      of such increased costs (with a copy of such demand to the Agent), pay to the
      Agent for the account of such Lender additional amounts sufficient to compensate
      such Lender for such increased cost. Each Lender agrees that if such Lender
      requests compensation for any amounts owing from a Borrower for such increased
      cost under this Section 2.11(a), such Lender shall, prior to a Borrower being
      required to pay such increased costs, furnish to such Borrower a 

    
      
        
        

      

      
        
        

        
          

        

      

      
        27

      

    

     

    certificate
      of a senior financial officer of such Lender verifying that
      such increased cost was actually incurred by such Lender and the amount of
      such
      increased cost and setting forth in reasonable detail the basis therefore (with
      a copy of such certificate to the Agent); provided,
      however,
      that
      such certificate shall be conclusive and binding for all purposes, absent
      manifest error.
       

    

    (b)  If,
      after
      the date hereof, any Lender determines that compliance with any law or
      regulation or any guideline or request from any central bank or other
      governmental authority having jurisdiction over any Lender (whether or not
      having the force of law) affects or would affect the amount of capital required
      or expected to be maintained by such Lender or any corporation controlling
      such
      Lender and that the amount of such capital is increased by or based upon the
      existence of such Lender's commitment to lend hereunder and other commitments
      of
      this type, then, upon demand by such Lender made not later than 60 days after
      such Lender obtains knowledge of such increase in capital (with a copy of such
      demand to the Agent), the Company shall pay to the Agent for the account of
      such
      Lender, from time to time as specified by such Lender, additional amounts
      sufficient to compensate such Lender or such corporation in the light of such
      circumstances, to the extent that such Lender reasonably determines such
      increase in capital to be allocable to the existence of such Lender's commitment
      to lend hereunder. Each Lender agrees that if such Lender requests compensation
      for any amounts owing from the Company for such increase in capital under this
      Section 2.11(b), such Lender shall, prior to a Borrower being required to
      compensate such Lender for such increase in capital, furnish to the Company
      a
      certificate of a senior financial officer of such Lender verifying that such
      increase in capital was actually required by such Lender and the amount of
      such
      increase in capital and setting forth in reasonable detail the basis therefore
      (with a copy of such certificate to the Agent); provided,
      however,
      that
      such certificate shall be conclusive and binding for all purposes, absent
      manifest error.

     

    (c)  No
      Borrower shall be obligated to pay under this Section 2.11 any amounts which
      relate to costs or increases of capital incurred prior to the 12 months
      immediately preceding the date of demand for payment of such amounts, unless
      the
      applicable law, regulation, guideline or request resulting in such costs or
      increases of capital is imposed retroactively. In the case of any law,
      regulation, guideline or request which is imposed retroactively, the Lender
      making demand for payment of any amount under this Section 2.11 shall notify
      the
      related Borrower not later than 12 months from the date that such Lender should
      reasonably have known (but promptly upon gaining knowledge of such increase)
      of
      such law, regulation, guideline or request and such Borrower's obligation to
      compensate such Lender for such amount is contingent upon such Lender's so
      notifying such Borrower; provided,
      however,
      that
      any failure by such Lender to provide such notice shall not affect such
      Borrower's obligations under this Section 2.11 with respect to amounts resulting
      from costs or increases of capital incurred after the date which occurs 12
      months immediately preceding the date on which such Lender notified such
      Borrower of such law, regulation, guideline or request.

     

    (d)  If
      any
      Lender shall subsequently recoup any costs (other than from a Borrower) for
      which such Lender has theretofore been compensated by a Borrower under this
      Section 2.11, such Lender shall remit to such Borrower an amount equal to the
      amount of such recoupment as reasonably determined by such Lender.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        28

      

    

     

    
      SECTION
        2.12.   Illegality. Notwithstanding any other provision of this
        Agreement, if any Lender shall after the date hereof, notify the Agent that
        the
        introduction of or any change in or in the interpretation of any law or
        regulation makes it unlawful, or any central bank or other governmental
        authority having jurisdiction over any Lender asserts that it is unlawful,
        for
        any Lender or its Eurodollar Lending Office to perform its obligations hereunder
        to make Eurodollar Rate Advances or LIBO Rate Advances or to fund or maintain
        Eurodollar Rate Advances or LIBO Rate Advances hereunder, (i) each
        Eurodollar Rate Advance or LIBO Rate Advance, as the case may be, will
        automatically, upon such demand, Convert into a Base Rate Advance or an Advance
        that bears interest at the rate set forth in Section 2.07(a)(i), as the
        case may be, and (ii) the obligation of the Lenders to make Eurodollar Rate
        Advances or LIBO Rate Advances or to Convert Revolving Credit Advances into
        Eurodollar Rate Advances shall be suspended until the Agent shall notify
        each
        Borrower and the Lenders that the circumstances causing such suspension no
        longer exist.

    

     

    SECTION
      2.13.   Payments
      and Computations.
      (a)
      Each
      Borrower shall make each payment hereunder and relating to the Advances not
      later than 1:00 P.M. (New York City time) on the day when due in U.S.
      dollars to the Agent at the Agent's Account in same day funds. The Agent will
      promptly thereafter cause to be distributed like funds relating to the payment
      of principal or interest or facility fees ratably (other than amounts payable
      pursuant to Section 2.03, 2.05(c), 2.07(c), 2.11, 2.14 or 9.04(d)) to the
      Lenders for the account of their respective Applicable Lending Offices, and
      like
      funds relating to the payment of any other amount payable to any Lender to
      such
      Lender for the account of its Applicable Lending Office, in each case to be
      applied in accordance with the terms of this Agreement. Upon its acceptance
      of
      an Assignment and Acceptance and recording of the information contained therein
      in the Register pursuant to Section 9.07(c), from and after the effective
      date specified in such Assignment and Acceptance, the Agent shall make all
      payments hereunder and relating to the Advances in respect of the interest
      assigned thereby to the Lender assignee thereunder, and the parties to such
      Assignment and Acceptance shall make all appropriate adjustments in such
      payments for periods prior to such effective date directly between themselves.
      Upon any Assuming Lender becoming a Lender hereunder as a result of the
      effectiveness of a Commitment Increase pursuant to Section 2.05(c) or an
      extension of the Termination Date pursuant to Section 2.19, and upon the Agent's
      receipt of such Lender's Assumption Agreement and recording the information
      contained therein in the Register, from and after the relevant Increase Date
      or
      Extension Date, as the case may be, the Agent shall make all payments hereunder
      and relating to the Advances in respect of the interest assumed thereby to
      such
      Assuming Lender.

     

    (b)  All
      computations of interest based on the Base Rate shall be made by the Agent
      on
      the basis of a year of 365 or 366 days, as the case may be, and all computations
      of interest based on the Eurodollar Rate or the Federal Funds Rate and of
      facility fees shall be made by the Agent on the basis of a year of 360 days,
      in
      each case for the actual number of days (including the first day but excluding
      the last day) occurring in the period for which such interest or facility fees
      are payable. Each determination by the Agent of an interest rate hereunder
      shall
      be conclusive and binding for all purposes, absent manifest error.

     

    (c)  Whenever
      any payment hereunder or relating to the Advances shall be stated to be due
      on a
      day other than a Business Day, such payment shall be made on the next succeeding
      Business Day, and such extension of time shall in such case be included in
      the

    
      
        
        

      

      
        
        

        
          

        

      

      
        29

      

    

     

    computation
      of payment of interest or facility fee, as the case may be;
provided,
      however,
      that,
      if such extension would cause payment of interest on or principal of Eurodollar
      Rate Advances or LIBO Rate Advances to be made in the next following calendar
      month, such payment shall be made on the next preceding Business
      Day.

     

    (d)  Unless
      the Agent shall have received notice from a Borrower prior to the date on which
      any payment is due to the Lenders from such Borrower hereunder that such
      Borrower will not make such payment in full, the Agent may assume that such
      Borrower has made such payment in full to the Agent on such date and the Agent
      may, in reliance upon such assumption, cause to be distributed to each Lender
      on
      such due date an amount equal to the amount then due such Lender. If and to
      the
      extent such Borrower shall not have so made such payment in full to the Agent,
      each Lender shall repay to the Agent forthwith on demand such amount distributed
      to such Lender together with interest thereon, for each day from the date such
      amount is distributed to such Lender until the date such Lender repays such
      amount to the Agent, at the Federal Funds Rate.

     

    SECTION
      2.14.   Taxes.
      (a)
      Any and
      all payments by each Borrower hereunder or relating to the Advances shall be
      made, in accordance with Section 2.13, free and clear of and without
      deduction for any and all present or future taxes, levies, imposts, deductions,
      charges or withholdings, and all liabilities with respect thereto, excluding,
      in the
      case of each Lender and the Agent, taxes imposed on its overall net income,
      and
      franchise taxes imposed on it in lieu of net income taxes, by the jurisdiction
      under the laws of which such Lender or the Agent (as the case may be) is
      organized or any political subdivision thereof or by any jurisdiction in which
      such Lender or the Agent (as the case may be) is doing business that is
      unrelated to this Agreement and such net income taxes or franchise taxes that
      would not have been imposed if such Lender or the Agent (as the case may be)
      had
      not been conducting such unrelated business and, in the case of each Lender,
      taxes imposed on its overall net income, and franchise taxes imposed on it
      in
      lieu of net income taxes, by the jurisdiction of such Lender's Applicable
      Lending Office or any political subdivision thereof (all such excluded taxes
      being hereinafter referred to as "Excluded
      Taxes"
      and all
      such non-excluded taxes, levies, imposts, deductions, charges, withholdings
      and
      liabilities in respect of payments hereunder or relating to the Advances being
      hereinafter referred to as "Taxes").
      If
      any Borrower shall be required by law to deduct any Taxes from or in respect
      of
      any sum payable hereunder or relating to the Advances to any Lender or the
      Agent, (i) the sum payable shall be increased as may be necessary so that
      after making all required deductions for Taxes (including deductions for Taxes
      applicable to additional sums payable under this Section 2.14) such Lender
      or the Agent (as the case may be) receives an amount equal to the sum it would
      have received had no such deductions been made, (ii) such Borrower shall
      make such deductions and (iii) such Borrower shall pay the full amount
      deducted to the relevant taxation authority or other authority in accordance
      with applicable law.

     

    (b)  In
      addition, each Borrower agrees to pay any present or future stamp or documentary
      taxes or any other excise or property taxes, charges or similar levies that
      arise from any payment made hereunder or relating to the Advances or from the
      execution, delivery or registration of, performing under, or otherwise with
      respect to, this Agreement or relating to the Advances (hereinafter referred
      to
      as "Other
      Taxes").

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        30

      

    

     

    
      (c)      
        Each Borrower shall indemnify each Lender and the Agent for the full amount
        of
        Taxes or Other Taxes (including, without limitation, any taxes imposed by
        any
        jurisdiction on amounts payable under this Section 2.14) imposed on or paid
        by such Lender or the Agent (as the case may be) and any liability for
        penalties, interest and reasonable expenses arising therefrom or with respect
        thereto. This indemnification shall be made within 30 days from the date
        such
        Lender or the Agent (as the case may be) makes written demand therefor;
provided that  such Lender shall, prior to a Borrower being required
        to indemnify such Lender pursuant to this Section 2.14(c), furnish to such
        Borrower a certificate of a senior financial officer of such Lender verifying
        that such Taxes or Other Taxes were actually incurred by such Lender and
        the
        amount of such Taxes or Other Taxes and setting forth in reasonable detail
        the
        basis therefor (with a copy of such certificate to the Agent), provided,
however, that such certificate shall be conclusive and binding for
        all
        purposes, absent manifest error.

    

     

    (d)  Within
      30
      days after the date of any payment of Taxes, each Borrower shall furnish to
      the
      Agent, at its address referred to in Section 9.02, the original or a
      certified copy of a receipt evidencing payment thereof. In the case of any
      payment hereunder or relating to the Advances by or on behalf of any Borrower
      through an account or branch outside the United States or by or on behalf of
      any
      Borrower by a payor that is not a United States person, if such Borrower
      determines that no Taxes are payable in respect thereof, such Borrower shall
      furnish, or shall cause such payor to furnish, to the Agent, at such address,
      an
      opinion of counsel acceptable to the Agent stating that such payment is exempt
      from Taxes. For purposes of this subsection (d) and subsection (e), the terms
      "United
      States"
      and
      "United
      States person"
      shall
      have the meanings specified in Section 7701 of the Internal Revenue
      Code.

     

    (e)  Each
      Lender organized under the laws of a jurisdiction outside the United States,
      on
      or prior to the date of its execution and delivery of this Agreement in the
      case
      of each Initial Lender and on the date of the Assignment and Acceptance or
      the
      Assumption Agreement, as the case may be, pursuant to which it becomes a Lender
      in the case of each other Lender, and from time to time thereafter as requested
      in writing by any Borrower (but only so long as such Lender remains lawfully
      able to do so), shall provide the Agent and each Borrower with two original
      Internal Revenue Service forms 8ECI or 8BEN, as appropriate, or any
      successor or other form prescribed by the Internal Revenue Service, certifying
      that such Lender is exempt from or entitled to a reduced rate of United States
      withholding tax on payments pursuant to this Agreement or relating to the
      Advances. If the forms provided by a Lender at the time such Lender first
      becomes a party to this Agreement indicates a United States interest withholding
      tax rate in excess of zero, withholding tax at such rate shall be considered
      excluded from Taxes unless and until such Lender provides the appropriate forms
      certifying that a lesser rate applies, whereupon withholding tax at such lesser
      rate only shall be considered excluded from Taxes for periods governed by such
      form; provided,
      however,
      that,
      if at the date of the Assignment and Acceptance or the Assumption Agreement,
      as
      the case may be, pursuant to which a Lender assignee becomes a party to this
      Agreement, the Lender assignor was entitled to payments under
      subsection (a) in respect of United States withholding tax with respect to
      interest paid at such date, then, to such extent, the term Taxes shall include
      (in addition to withholding taxes that may be imposed in the future or other
      amounts otherwise includable in Taxes) United States withholding tax, if any,
      applicable with respect to the Lender assignee on such date.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        31

      

    

     

    
      (f)  For
        any period with respect to which a Lender has failed to provide each Borrower
        with the appropriate form described in Section 2.14(e)
        (other than if such failure is due to a change in law
        occurring subsequent to the date on which a form originally was required
        to be
        provided, or if such form otherwise is not required under the first sentence
        of
        subsection (e) above), such Lender shall not be entitled to indemnification
        under Section 2.14(a) or (c) with respect to Taxes imposed by the United
        States by reason of such failure; provided, however, that should a
        Lender become subject to Taxes because of its failure to deliver a form required
        hereunder, each Borrower agrees to take such steps as such Lender shall
        reasonably request to assist such Lender to recover such Taxes.

       

    

    (g)  If
      any
      Lender determines, in its sole discretion, that it has actually and finally
      realized, by reason of a refund, deduction or credit of any Taxes or Other
      Taxes
      paid or reimbursed by a Borrower pursuant to subjection (a) or (c) above in
      respect of payments under the Credit Agreement or relating to the Advances,
      a
      current monetary benefit that it would otherwise not have obtained, and that
      would result in the total payments under this Section 2.14 exceeding the amount
      needed to make such Lender whole, such Lender shall pay to such Borrower, with
      reasonable promptness following the date on which it actually realizes such
      benefit, an amount equal to the lesser of the amount of such benefit or the
      amount of such excess, in each case net of all reasonable out-of-pocket expenses
      in securing such refund, deduction or credit.

     

    SECTION
      2.15.   Sharing
      of Payments, Etc.
      If
      any
      Lender shall obtain any payment (whether voluntary, involuntary, through the
      exercise of any right of set-off, or otherwise) on account of the Revolving
      Credit Advances owing to it (other than pursuant to Section 2.05(c), 2.07(c),
      2.11, 2.14 or 9.04(d)) in excess of its ratable share of payments on account
      of
      the Revolving Credit Advances obtained by all the Lenders, such Lender shall
      forthwith purchase from the other Lenders such participations in the Revolving
      Credit Advances owing to them as shall be necessary to cause such purchasing
      Lender to share the excess payment ratably with each of them; provided,
      however,
      that if
      all or any portion of such excess payment is thereafter recovered from such
      purchasing Lender, such purchase from each Lender shall be rescinded and such
      Lender shall repay to the purchasing Lender the purchase price to the extent
      of
      such recovery together with an amount equal to such Lender's ratable share
      (according to the proportion of (i) the amount of such Lender's required
      repayment to (ii) the total amount so recovered from the purchasing Lender)
      of any interest or other amount paid or payable by the purchasing Lender in
      respect of the total amount so recovered. Each Borrower agrees that any Lender
      so purchasing a participation from another Lender pursuant to this
      Section 2.15 may, to the fullest extent permitted by law, exercise all its
      rights of payment (including the right of set-off) with respect to such
      participation as fully as if such Lender were the direct creditor of such
      Borrower in the amount of such participation.

     

    SECTION
      2.16.   Use
      of
      Proceeds.
      The
      proceeds of the Advances shall be available (and each Borrower agrees that
      it
      shall use such proceeds) solely (i) for general corporate purposes of such
      Borrower and its Subsidiaries and (ii) for acquisitions by such Borrower that
      have been approved by the Board of Directors (or comparable governing group)
      of
      the Person that is to be acquired by such Borrower.

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        32

      

    

     

                                    SECTION
      2.17.   Mandatory
      Assignment by a Lender; Mitigation.
      If any
      Lender requests from a Borrower either payment of additional interest on
      Eurodollar Rate Advances pursuant to Section 2.07(c), or reimbursement for
      increased costs pursuant to Section 2.11, or payment of or reimbursement for
      Taxes pursuant to Section 2.14, or if any Lender notifies the Agent that it
      is
      unlawful for such Lender or its Eurodollar Lending Office to perform its
      obligations hereunder pursuant to Section 2.12, (i) such Lender will, upon
      three
      Business Days' notice by such Borrower to such Lender and the Agent, to the
      extent not inconsistent with such Lender's internal policies and applicable
      legal and regulatory restrictions, use reasonable efforts to make, fund
      or maintain its Eurodollar Rate Advances through another Eurodollar Lending
      Office of such Lender if (A) as a result thereof the additional amounts required
      to be paid pursuant to Section 2.07(c), 2.11 or 2.14, as applicable, in respect
      of such Eurodollar Rate Advances would be materially reduced or the provisions
      of Section 2.12 would not apply to such Lender, as applicable, and (B) as
      determined by such Lender in good faith but in its sole discretion, the making
      or maintaining of such Eurodollar Rate Advances through such other Eurodollar
      Lending Office would not otherwise materially and adversely affect such
      Eurodollar Rate Advances or such Lender and (ii) unless such Lender has
      therefore taken steps to remove or cure, and has removed or cured (to the extent
      not inconsistent with internal policies and applicable legal and regulatory
      restrictions), the conditions creating such obligation to pay such additional
      amounts or the circumstances described in Section 2.12, such Lender will, upon
      at least five Business Days' notice from the Company to such Lender and the
      Agent, assign, pursuant to and in accordance with the provisions of Section
      9.07, to one or more Eligible Assignees designated by the Company all, but
      not
      less than all, of the Revolving Credit Advances then owing to such Lender and
      all, but not less than all, of such Lender's rights and obligations hereunder
      (other than rights in respect of such Lender's outstanding Competitive Bid
      Advance), without recourse to or warranty by, or expense to, such Lender, for
      a
      purchase price equal to the outstanding principal amount of each such Advance
      then owing to such Lender plus
      any
      accrued but unpaid interest thereon and any accrued but unpaid facility fees
      owing thereto and, in addition, all additional costs reimbursements, expense
      reimbursements and indemnities, if any, owing in respect of such Lender's
      Commitment hereunder at such time shall be paid to such Lender.

     

    SECTION
      2.18.   Evidence
      of Debt.
      (a)  Each
      Lender shall maintain in accordance with its usual practice an account or
      accounts evidencing the indebtedness of each Borrower to such Lender resulting
      from each Revolving Credit Advance owing to such Lender from time to time,
      including the amounts of principal and interest payable and paid to such Lender
      from time to time hereunder in respect of Revolving Credit Advances. Each
      Borrower agrees that upon reasonable notice by any Lender to such Borrower
      (with
      a copy of such notice to the Agent) to the effect that a Revolving Credit Note
      is required or appropriate in order for such Lender to evidence (whether for
      purposes of pledge, enforcement or otherwise) the Revolving Credit Advances
      owing to, or to be made by, such Lender, such Borrower shall promptly execute
      and deliver to such Lender a Revolving Credit Note payable to the order of
      such
      Lender in a principal amount up to the Commitment of such Lender.

     

    (b)  The
      Register maintained by the Agent pursuant to Section 9.07(d) shall include
      a control account, and a subsidiary account for each Lender, in which accounts
      (taken together) shall be recorded (i) the date and amount of each
      Borrowing made hereunder, the type of Advances comprising such Borrowing and,
      if
      appropriate, the Interest Period applicable 

    
      
        
        

      

      
        
        

        
          

        

      

      
        33

      

    

     

    thereto,
      (ii) the terms of each Assumption Agreement and each Assignment and
      Acceptance delivered to and accepted by it, (iii) the amount of any
      principal or interest due and payable or to become due and payable from such
      Borrower to each Lender hereunder and (iv) the amount of any sum received
      by the Agent from each Borrower hereunder and each Lender's share thereof.
      
       

      (c)      
        Entries made in good faith by the Agent in the Register pursuant to
        subsection (b) above, and by each Lender in its account or accounts
        pursuant to subsection (a) above, shall be prima facie
        evidence of the amount of principal and interest due and payable or to become
        due and payable from each Borrower to, in the case of the Register, each
        Lender
        and, in the case of such account or accounts, such Lender, under this Agreement,
        absent manifest error; provided, however, that the failure of the
        Agent or such Lender to make an entry, or any finding that an entry is
        incorrect, in the Register or such account or accounts shall not limit or
        otherwise affect the obligations of any Borrower under this
        Agreement.

    

     

    SECTION
      2.19.   Extension
      of Termination Date.
      (a)  At
      least 30 days but not more than 60 days prior to either or both of the first
      or
      second anniversary of the Effective Date, the Company, by written notice to
      the
      Agent, may request an extension of the Termination Date in effect at such time
      by one year from its then scheduled expiration. The Agent shall promptly notify
      each Lender of such request, and each Lender shall in turn, in its sole
      discretion, not later than 20 days prior to such anniversary date, notify the
      Company and the Agent in writing as to whether such Lender will consent to
      such
      extension. If any Lender shall fail to notify the Agent and the Company in
      writing of its consent to any such request for extension of the Termination
      Date
      at least 20 days prior to the applicable anniversary date, such Lender shall
      be
      deemed to be a Non-Consenting Lender with respect to such request. The Agent
      shall notify the Company not later than 15 days prior to the applicable
      anniversary date of the decision of the Lenders regarding the Company's request
      for an extension of the Termination Date.

     

    (b)    
       If
      all
      the Lenders consent in writing to any such request in accordance with subsection
      (a) of this Section 2.19, the Termination Date in effect at such time shall,
      effective as at the applicable anniversary date (the "Extension
      Date"),
      be
      extended for one year; provided
      that on
      each Extension Date the representations and warranties of the Company contained
      in Section 4.01 are correct on and as of the date of such extension of the
      Termination Date, before and after giving effect thereto, as though made on
      and
      as of such date, and no Default shall have occurred and be continuing. If less
      than all of the Lenders consent in writing to any such request in accordance
      with subsection (a) of this Section 2.19, the Termination Date in effect at
      such
      time shall, effective as at the applicable Extension Date and subject to
      subsection (d) of this Section 2.19, be extended as to those Lenders that so
      consented (each a "Consenting
      Lender")
      but
      shall not be extended as to any other Lender (each a "Non-Consenting
      Lender").
      To
      the extent that the Termination Date is not extended as to any Lender pursuant
      to this Section 2.19 and the Commitment of such Lender is not assumed in
      accordance with subsection (c) of this Section 2.19 on or prior to the
      applicable Extension Date, the Commitment of such Non-Consenting Lender shall
      automatically terminate in whole on such unextended Termination Date without
      any
      further notice or other action by the Company, such Lender or any other Person;
      provided
      that
      such Non-Consenting Lender's rights under Sections 2.11, 2.14 and 9.04, and
      its
      obligations under Section 8.05, shall survive the Termination Date for such
      Lender as to matters occurring prior to such date. It is understood and agreed
      that no Lender shall have 

    
      
        
        

      

      
        
        

        
          

        

      

      
        34

      

    

     

    any
      obligation whatsoever to agree to any request made by the Company for any
      requested extension of the Termination Date. 
       

      (c)      
        If less than all of the Lenders consent to any such request pursuant to
        subsection (a) of this Section 2.19, the Agent shall promptly so notify the
        Consenting Lenders, and each Consenting Lender may, in its sole discretion,
        give
        written notice to the Agent not later than 10 days prior to the Extension
        Date
        of the amount of the Non-Consenting Lenders' Commitments for which it is
        willing
        to accept an assignment. If the Consenting Lenders notify the Agent that
        they
        are willing to accept assignments of Commitments in an aggregate amount that
        exceeds the amount of the Commitments of the Non-Consenting Lenders, such
        Commitments shall be allocated among the Consenting Lenders willing to accept
        such assignments in such amounts as are agreed between the Company and the
        Agent. If after giving effect to the assignments of Commitments described
        above
        there remains any Commitments of Non-Consenting Lenders, the Company may
        arrange
        for one or more Consenting Lenders or other Eligible Assignees as Assuming
        Lenders to assume, effective as of the Extension Date, any Non-Consenting
        Lender's Commitment and all of the obligations of such Non-Consenting Lender
        under this Agreement thereafter arising, without recourse to or warranty
        by, or
        expense to, such Non-Consenting Lender; provided, however, that
        the amount of the Commitment of any such Assuming Lender as a result of such
        substitution shall in no event be less than $10,000,000 unless the amount
        of the
        Commitment of such Non-Consenting Lender is less than $10,000,000, in which
        case
        such Assuming Lender shall assume all of such lesser amount; and provided
        further that:

    

     

    (i)   
       any
      such
      Consenting Lender or Assuming Lender shall have paid to such Non-Consenting
      Lender (A) the aggregate principal amount of, and any interest accrued and
      unpaid to the effective date of the assignment on, the outstanding Advances,
      if
      any, of such Non-Consenting Lender plus
      (B) any
      accrued but unpaid facility fees owing to such Non-Consenting Lender as of
      the
      effective date of such assignment;

     

    (ii)   
       all
      additional costs reimbursements, expense reimbursements and indemnities payable
      to such Non-Consenting Lender, and all other accrued and unpaid amounts owing
      to
      such Non-Consenting Lender hereunder, as of the effective date of such
      assignment shall have been paid to such Non-Consenting Lender; and

     

    (iii)   
      with
      respect to any such Assuming Lender, the applicable processing and recordation
      fee required under Section 9.07(a) for such assignment shall have been
      paid;

     

    provided further
      that
      such Non-Consenting Lender's rights under Sections 2.11, 2.14 and 9.04, and
      its
      obligations under Section 8.05, shall survive such substitution as to matters
      occurring prior to the date of substitution. At least three Business Days prior
      to any Extension Date, (A) each such Assuming Lender, if any, shall have
      delivered to the Company and the Agent an Assumption Agreement, duly executed
      by
      such Assuming Lender, such Non-Consenting Lender, the Company and the Agent,
      (B)
      any such Consenting Lender shall have delivered confirmation in writing
      satisfactory to the Company and the Agent as to the increase in the amount
      of
      its Commitment and (C) each Non-Consenting Lender being replaced pursuant to
      this Section 2.19 shall have delivered to the Agent any Note or Notes held
      by
      such Non-Consenting Lender. Upon the payment or prepayment of all amounts
      referred to in clauses (i), (ii) and (iii) of the

    
      
        
        

      

      
        
        

        
          

        

      

      
        35

      

    

     immediately
      preceding sentence, each such Consenting Lender or Assuming Lender, as of the
      Extension Date, will be substituted for such Non-Consenting Lender under this
      Agreement and shall be a Lender for all purposes of this Agreement, without
      any
      further acknowledgment by or the consent of the other Lenders, and the
      obligations of each such Non-Consenting Lender hereunder shall, by the
      provisions hereof, be released and discharged. 

    
       

      (d)     
        If (after giving effect to any assignments or assumptions pursuant to subsection
        (c) of this Section 2.19) Lenders having Commitments equal to at least 50%
        of
        the Commitments in effect immediately prior to the Extension Date consent
        in
        writing to a requested extension (whether by execution or delivery of an
        Assumption Agreement or otherwise) not later than one Business Day prior
        to such
        Extension Date, the Agent shall so notify the Company, and, subject to the
        representations and warranties of the Company contained in Section 4.01
        being correct on and as of the date of such extension of the Termination
        Date,
        before and after giving effect thereto, as though made on and as of such
        date,
        and no Default having occurred and be continuing, the Termination Date then
        in
        effect shall be extended for the additional one-year period as described
        in
        subsection (a) of this Section 2.19, and all references in this Agreement,
        and
        in the Notes, if any, to the "Termination Date" shall, with respect to
        each Consenting Lender and each Assuming Lender for such Extension Date,
        refer
        to the Termination Date as so extended. Promptly following each Extension
        Date,
        the Agent shall notify the Lenders (including, without limitation, each Assuming
        Lender) of the extension of the scheduled Termination Date in effect immediately
        prior thereto and shall thereupon record in the Register the relevant
        information with respect to each such Consenting Lender and each such Assuming
        Lender.

    

     

    ARTICLE
      III 

     

    CONDITIONS
      TO EFFECTIVENESS AND LENDING

     

    SECTION
      3.01.   Conditions
      Precedent to Effectiveness of Sections 2.01 and 2.03.
      Sections 2.01 and 2.03 of this Agreement shall become effective on and as
      of the first date (the "Effective
      Date")
      on
      which the following conditions precedent have been satisfied:

     

    (a)  There
      shall have occurred no Material Adverse Change since December 31, 2005
      except as disclosed by the Company in writing to the Lenders prior to the date
      of execution of this Agreement.

     

    (b)  There
      shall exist no action, suit, investigation, litigation or proceeding affecting
      the Company or any of its Subsidiaries pending or threatened before any court,
      governmental agency or arbitrator that (i) would be reasonably likely to
      have a Material Adverse Effect other than the matters described on
      Schedule 3.01(b) hereto (the "Disclosed
      Litigation")
      or
      (ii) purports to affect the legality, validity or enforceability of this
      Agreement or any Note or the consummation of the transactions contemplated
      hereby, and there shall have been no material adverse change in the status,
      or
      financial effect on the Company and its Subsidiaries taken as a whole, of the
      Disclosed Litigation from that described on Schedule 3.01(b)
      hereto.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        36

      

    

     

    
                                   
          (c)  All
        governmental and third party consents and approvals necessary in connection
        with
        the transactions contemplated hereby shall have been obtained (without the
        imposition of any conditions that are not acceptable to the Lenders) and
        shall
        remain in effect, and no law or regulation shall be applicable in the reasonable
        judgment of the Lenders that restrains, prevents or imposes materially adverse
        conditions upon the transactions contemplated hereby.

       

                                     
        (d)  The
        Company shall have notified the Agent in writing as to the proposed Effective
        Date.

       
(e)  The
      Company shall have paid all accrued fees and expenses of the Agent and the
      Lenders that shall have been invoiced as of the Effective Date (including the
      accrued fees and expenses of counsel to the Agent), in each case solely to
      the
      extent such fees and expenses are required by other provisions of this Agreement
      to be so paid.

     

    (f)  On
      the
      Effective Date, the following statements shall be true and the Agent shall
      have
      received for the account of each Lender a certificate signed by a duly
      authorized officer of the Company, dated the Effective Date, stating
      that:

     

    (i)  The
      representations and warranties of the Company contained in Section 4.01 are
      correct on and as of the Effective Date, and

     

    (ii)  No
      event
      has occurred and is continuing that constitutes a Default.

     

    (g)  The
      Agent
      shall have received on or before the Effective Date the following, each dated
      such day, in form and substance reasonably satisfactory to the Agent and (except
      for the Revolving Credit Notes) in sufficient copies for each
      Lender:

     

    (i)  The
      Revolving Credit Notes of the Company to the order of the Lenders, respectively,
      to the extent requested by any Lender pursuant to Section 2.18.

     

    (ii)  Certified
      copies of the resolutions of the Board of Directors of the Company approving
      this Agreement (including the Commitment Increase contemplated by Section
      2.05(c)) and the Notes of the Company, and of all documents evidencing other
      necessary corporate action and governmental approvals, if any, with respect
      to
      this Agreement and such Notes.

     

    (iii)  A
      certificate of the Secretary or an Assistant Secretary of the Company certifying
      the names and true signatures of the officers of the Company authorized to
      sign
      this Agreement and the Notes of the Company and the other documents to be
      delivered hereunder.

     

    (iv)  A
      favorable opinion of Burton H. Snyder, Senior Vice President, General Counsel
      and Secretary of the Company, substantially in the form of Exhibit G hereto
      and as to such other matters as any Lender through the Agent may reasonably
      request.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        37

      

    

    
       

                                                                     
        (v)  A
        favorable opinion of Shearman & Sterling LLP, counsel for the Agent, in
        form and substance satisfactory to the Agent.

       

                                                            
         (vi)  Such
        other approvals, opinions or documents as any Lender, through the Agent,
        may
        reasonably request prior to the Effective  Date.

       

      (h)  The
        Company shall have terminated the commitments, and paid in full all Debt,
        interest, fees and other amounts outstanding, under the $900,000,000 Five-Year
        Credit Agreement dated as of November 12, 2004 (as amended, amended and
        restated, supplemented or otherwise modified from time to time, the
        "Five-Year
        Credit Agreement")
        among
        the Company, as borrower, the lenders and arrangers parties thereto and
        Citibank, as administrative agent, and each of the Lenders that is a party
        to
        such credit facility hereby waives, upon execution of this Agreement, the
        three
        Business Days' notice required by Section 2.05 of the Five-Year Credit Agreement
        relating to the termination of commitments thereunder.

    

     

    SECTION
      3.02.   Initial
      Borrowing of Each Designated Subsidiary.
      The
      obligation of each Lender to make an initial Advance to each Designated
      Subsidiary following any designation of such Designated Subsidiary as a Borrower
      hereunder pursuant to Section 9.08 is subject to the Agent's receipt on or
      before the date of such Initial Advance of each of the following, in form and
      substance satisfactory to the Agent and dated such date, and (except for the
      Revolving Credit Notes) in sufficient copies for each Lender:

     

    (a)  The
      Revolving Credit Notes of such Borrower to the order of the Lenders,
      respectively, to the extent requested by any Lender pursuant to Section
      2.18.

     

    (b)  Certified
      copies of the resolutions of the Board of Directors of such Borrower approving
      this Agreement and the Notes of such Borrower, and of all documents evidencing
      other necessary corporate action and governmental approvals, if any, with
      respect to this Agreement and such Notes.

     

    (c)  A
      certificate of the Secretary or an Assistant Secretary of such Borrower
      certifying the names and true signatures of the officers of such Borrower
      authorized to sign this Agreement and the Notes of such Borrower and the other
      documents to be delivered hereunder.

     

    (d)  A
      certificate signed by a duly authorized officer of the Company, dated as of
      the
      date of such initial Advance, certifying that such Borrower shall have obtained
      all governmental and third party authorizations, consents, approvals (including
      exchange control approvals) and licenses required under applicable laws and
      regulations necessary for such Borrower to execute and deliver this Agreement
      and the Notes of such Borrower and to perform its obligations
      thereunder.

     

    (e)  The
      Designation Letter of such Designated Subsidiary, substantially in the form
      of
      Exhibit E hereto.

     

    (f)  With
      respect to each Designated Subsidiary that has its principal place of business
      outside of the United States of America, evidence of the Process Agent's

    
      
        
        

      

      
        
        

        
          

        

      

      
        38

      

    

     

                   
      acceptance of its appointment pursuant to Section 9.12(a) as the agent of such
      Borrower, substantially in the form of Exhibit F hereto.
       

      (g)  A
        favorable opinion of counsel to such Designated Subsidiary, dated the date
        of
        such Initial Advance, substantially in the form of Exhibit H
        hereto.

       

      (h)  Such
        other approvals, opinions or documents as any Lender, through the Agent,
        may
        reasonably request.

       

    

    SECTION
      3.03.   Conditions
      Precedent to Each Revolving Credit Borrowing.
      The
      obligation of each Lender to make a Revolving Credit Advance on the occasion
      of
      each Revolving Credit Borrowing shall be subject to the conditions precedent
      that the Effective Date shall have occurred and on the date of such Revolving
      Credit Borrowing the following statements shall be true (and each of the giving
      of the applicable Notice of Revolving Credit Borrowing and the acceptance by
      the
      Borrower requesting such Revolving Credit Borrowing of the proceeds of such
      Revolving Credit Borrowing shall constitute a representation and warranty by
      such Borrower that on the date of such Borrowing such statements are
      true):

     

    (i)  the
      representations and warranties of the Company contained in
      Section 4.01(except the representations set forth in the last sentence of
      subsection (e) thereof and in subsection (f) thereof (other than
      clause (i)(B) thereof)) are correct on and as of the date of such Revolving
      Credit Borrowing, before and after giving effect to such Revolving Credit
      Borrowing and to the application of the proceeds therefrom, as though made
      on
      and as of such date, and, if such Borrower is a Designated Subsidiary, the
      representations and warranties of such Borrower contained in its Designation
      Letter are correct on and as of the date of such Revolving Credit Borrowing,
      before and after giving effect to such Revolving Credit Borrowing and to the
      application of the proceeds therefrom, as though made on and as of such date,
      and

     

    (ii)  no
      event
      has occurred and is continuing, or would result from such Revolving Credit
      Borrowing or from the application of the proceeds therefrom, that constitutes
      a
      Default.

     

    SECTION
      3.04.   Conditions
      Precedent to Each Competitive Bid Borrowing.
      The
      obligation of each Lender that is to make a Competitive Bid Advance on the
      occasion of a Competitive Bid Borrowing to make such Competitive Bid Advance
      as
      part of such Competitive Bid Borrowing is subject to the conditions precedent
      that (a) the Agent shall have received the written confirmatory Notice of
      Competitive Bid Borrowing with respect thereto, (b) on or before the date
      of such Competitive Bid Borrowing, but prior to such Competitive Bid Borrowing,
      the Agent shall have received a Competitive Bid Note payable to the order of
      such Lender for each of the one or more Competitive Bid Advances to be made
      by
      such Lender as part of such Competitive Bid Borrowing, in a principal amount
      equal to the principal amount of the Competitive Bid Advance to be evidenced
      thereby and otherwise on such terms as were agreed to for such Competitive
      Bid
      Advance in accordance with Section 2.03, and (c) on the date of such
      Competitive Bid Borrowing the following statements shall be true (and each
      of
      the giving of the applicable Notice of Competitive Bid Borrowing and the
      acceptance by the Borrower requesting such Competitive Bid Borrowing of the
      proceeds of such Competitive Bid Borrowing 

    
      
        
        

      

      
        
        

        
          

        

      

      
        39

      

    

     

    shall
      constitute a representation and warranty by such Borrower that on the date
      of
      such Competitive Bid Borrowing such statements are true): 
       

      (i)  the
        representations and warranties of the Company contained in Section 4.01
        (except the representations set forth in the last sentence of
        subsection (e) thereof and in subsection (f) thereof (other than
        clause (i)(B) thereof)) are correct on and as of the date of such
        Competitive Bid Borrowing, before and after giving effect to such Competitive
        Bid Borrowing and to the application of the proceeds therefrom, as though
        made
        on and as of such date, and, if such Borrower is a Designated Subsidiary,
        the
        representations and warranties of such Borrower contained in its Designation
        Letter are correct on and as of the date of such Competitive Bid Borrowing,
        before and after giving effect to such Competitive Bid Borrowing and to the
        application of the proceeds therefrom, as though made on and as of such
        date,

    

     

    (ii)  no
      event
      has occurred and is continuing, or would result from such Competitive Bid
      Borrowing or from the application of the proceeds therefrom, that constitutes
      a
      Default, and

     

    (iii)  no
      event
      has occurred and no circumstance exists as a result of which the information
      concerning such Borrower that has been provided to the Agent and each Lender
      by
      such Borrower in connection herewith would include an untrue statement of a
      material fact or omit to state any material fact or any fact necessary to make
      the statements contained therein, in the light of the circumstances under which
      they were made, not misleading.

     

    SECTION
      3.05.   Determinations
      Under Section 3.01.
      For
      purposes of determining compliance with the conditions specified in
      Section 3.01, each Lender shall be deemed to have consented to, approved or
      accepted or to be satisfied with each document or other matter required
      thereunder to be consented to or approved by or acceptable or satisfactory
      to
      the Lenders unless an officer of the Agent responsible for the transactions
      contemplated by this Agreement shall have received notice from such Lender
      prior
      to the date that the Company, by notice to the Lenders, designates as the
      proposed Effective Date, specifying its objection thereto. The Agent shall
      promptly notify the Lenders of the occurrence of the Effective
      Date.

     

    ARTICLE
      IV 

     

    REPRESENTATIONS
      AND WARRANTIES

     

    SECTION
      4.01.   Representations
      and Warranties of the Company.
      The
      Company represents and warrants as follows:

     

    (a)  The
      Company is a corporation duly organized, validly existing and in good standing
      under the laws of the State of Delaware.

     

    (b)  The
      execution, delivery and performance by the Company of this Agreement and the
      Notes of the Company to be delivered by it, and the consummation of the
      transactions contemplated hereby, are within the Company's corporate powers,
      have been duly authorized by all necessary corporate action, and do not
      contravene (i) the 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        40

      

    

     

    Company's
      charter or by-laws or (ii) any law or any contractual restriction binding
      on or affecting the Company, except where such contravention would not be
      reasonably likely to have a Material Adverse Effect.

     

    (c)  No
      authorization or approval or other action by, and no notice to or filing with,
      any governmental authority or regulatory body or any other third party is
      required for the due execution, delivery and performance by the Company of
      this
      Agreement or the Notes of the Company to be delivered by it, except for those
      authorizations, approvals, actions, notices and filings (i) listed on
      Schedule 4.01(c) hereto, all of which have
      been
      duly obtained, taken, given or made and are in full force and effect and (ii)
      where the Company's failure to receive, take or make such authorization,
      approval, action, notice or filing would not have a Material Adverse
      Effect.

     

    (d)  This
      Agreement has been, and each of the Notes of the Company to be delivered by
      it
      when delivered hereunder will have been, duly executed and delivered by the
      Company. This Agreement is, and each of the Notes of the Company when delivered
      hereunder will be, the legal, valid and binding obligation of the Company
      enforceable against the Company in accordance with their respective terms,
      subject to applicable bankruptcy, reorganization, insolvency, moratorium or
      similar laws affecting creditors' rights generally and general principles of
      equity.

     

    (e)  The
      Consolidated balance sheet of the Company and its Subsidiaries as at
      December 31, 2005, and the related Consolidated statements of income and
      cash flows of the Company and its Subsidiaries for the fiscal year then ended,
      accompanied by an opinion of KPMG LLP, independent public accountants, and
      the
      Consolidated condensed balance sheet of the Company and its Subsidiaries as
      at
      July 2, 2006, and the related Consolidated statements of income and condensed
      cash flows of the Company and its Subsidiaries for the six months then ended,
      duly certified by the chief financial officer of the Company, copies of which
      have been furnished to each Lender, fairly present, subject, in the case of
      said
      balance sheet as at July 2, 2006, and said statements of income and cash flows
      for the six months then ended, to audit adjustments, the Consolidated financial
      condition of the Company and its Subsidiaries as at such dates and the
      Consolidated results of the operations of the Company and its Subsidiaries
      for
      the periods ended on such dates, all in accordance with accounting principles
      generally accepted in the United States consistently applied; provided,
      however,
      that
      said balance sheet and statements of income and cash flows for the six months
      ended as at July 2, 2006 are instead prepared in accordance with applicable
      rules and regulations of the Securities and Exchange Commission. Since
      December 31, 2005, there has been no Material Adverse Change.

     

    (f)  (i)
      There
      is no pending or, to the Company's knowledge, threatened action, suit,
      investigation, litigation or proceeding, including, without limitation, any
      Environmental Action, affecting the Company or any of its Subsidiaries before
      any court, governmental agency or arbitrator that (A) would be reasonably
      likely to have a Material Adverse Effect (other than the Disclosed Litigation)
      or (B) purports to affect the legality, validity or enforceability of this
      Agreement or any Note or the consummation of the transactions contemplated
      hereby, and (ii) there has been no adverse change in the status, 

    
      
        
        

      

      
        
        

        
          

        

      

      
        41

      

    

     

    or
      financial effect on the Company and its Subsidiaries taken as a whole, of the
      Disclosed Litigation from that described on Schedule 3.01(b) hereto.

       

      (g)      
        No proceeds of any Advance will be applied in any manner that will violate
        or
        cause any Lender to violate Regulation U or Regulation G issued by the
        Board of Governors of the Federal Reserve System.

       

      (h)     
        The Company is not, and immediately after the application by the Company
        of the
        proceeds of each Advance will not be, an "investment company", or a
        company  "controlled" by an "investment company", as such terms are defined
        in the Investment Company Act of 1940, as amended.

    

     

    (i)      
      The Company and each of its Subsidiaries are in compliance with all applicable
      laws, rules, regulations and orders, including, without limitation, ERISA and
      Environmental Laws and Environmental Permits, except where the failure to so
      comply would not be reasonably likely to have a Material Adverse
      Effect.

     

    (j)      
      To
      the
      Company's knowledge, (i) all past non-compliance with any Environmental Laws
      and
      Environmental Permits has been resolved without ongoing obligations or costs
      except where the failure to so comply would not be reasonably likely to have
      a
      Material Adverse Effect and (ii) no circumstances exist that would be reasonably
      likely to (A) form the basis of an Environmental Action against the Company
      or any of its Subsidiaries or any of their properties that would be reasonably
      likely to have a Material Adverse Effect or (B) cause any such property to
      be subject to any restrictions on ownership, occupancy, use or transferability
      under any Environmental Law that would be reasonably likely to have a Material
      Adverse Effect.

     

    (k)    
      No
      ERISA
      Event that would be reasonably likely to have a Material Adverse Effect has
      occurred or is reasonably expected to occur with respect to any
      Plan.

     

    (l)     
      Schedule
      B (Actuarial Information) to the most recent annual report (Form 5500 Series)
      for each Plan whose "funded current liability percentage" is less than 90%
      and
      whose "unfunded current liability" exceeds $5,000,000 (as such terms are defined
      in Section 302(d)(8) of ERISA), copies of which have been filed with the
      Internal Revenue Service and furnished to the Lenders, is complete and accurate
      and fairly presents in all material respects the funding status of such
      Plan.

     

    (m)   
      Neither
      the Company nor any ERISA Affiliate has outstanding liability with respect
      to,
      or is reasonably expected to incur any Withdrawal Liability to, any
      Multiemployer Plan that would be reasonably likely to have a Material Adverse
      Effect.

     

    (n)    
      Neither
      the Company nor any ERISA Affiliate has been notified by the sponsor of a
      Multiemployer Plan that such Multiemployer Plan is in reorganization or has
      been
      terminated, within the meaning of Title IV of ERISA, and no such
      Multiemployer Plan is reasonably expected to be in reorganization or to be
      terminated, within the meaning of Title IV of ERISA, where such
      reorganization or termination would be reasonably likely to have a Material
      Adverse Effect.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        42

      

    

    
       

      (o)    
        Except
        as
        set forth in the financial statements referred to in Section 4.01(e) and in
        Section 5.01(h), the Company and its Subsidiaries taken as a whole have no
        material liability with respect to "expected post retirement benefit
        obligations" within the meaning of Statement of Financial Accounting Standards
        No. 106.

       

    

    ARTICLE
      V  

     

    COVENANTS
      OF THE COMPANY

     

    SECTION
      5.01.   Affirmative
      Covenants.
      So long
      as any Advance shall remain unpaid or any Lender shall have any Commitment
      hereunder, the Company will:

     

    (a)  Compliance
      with Laws, Obligations, Etc.
      Comply,
      and cause each of its Subsidiaries to comply, in all material respects, with
      all
      applicable laws, rules, regulations and orders, such compliance to include,
      without limitation, compliance with ERISA and Environmental Laws as provided
      in
      Section 5.01(i), except where the failure to so comply would not be
      reasonably likely to have a Material Adverse Effect.

     

    (b)  Payment
      of Taxes, Etc.
      Pay and
      discharge, and cause each of its Subsidiaries to pay and discharge, before
      the
      same shall become delinquent if the failure to so pay and discharge would be
      reasonably likely to have a Material Adverse Effect, (i) all taxes,
      assessments and governmental charges or levies imposed upon it or upon its
      property and (ii) all lawful claims that, if unpaid, will by law become a
      Lien upon its property; provided,
      however,
      that
      neither the Company nor any of its Subsidiaries shall be required to pay or
      discharge any such tax, assessment, charge or claim that is being contested
      in
      good faith and by proper proceedings and as to which appropriate reserves are
      being maintained.

     

    (c)  Maintenance
      of Insurance.
      Maintain, and cause each of its Material Subsidiaries to maintain, insurance
      with responsible and reputable insurance companies or associations (or continue
      to maintain self-insurance) in such amounts and covering such risks as is
      usually carried by companies engaged in similar businesses and owning similar
      properties in the same general areas in which the Company or such Subsidiary
      operates.

     

    (d)  Preservation
      of Corporate Existence, Etc.
      Preserve and maintain, and cause each of its Subsidiaries to preserve and
      maintain, its corporate existence, rights (charter and statutory) and
      franchises; provided,
      however,
      that
      the Company and its Subsidiaries may consummate any merger or consolidation
      permitted under Section 5.02(b) and provided further
      that
      neither the Company nor any of its Subsidiaries shall be required to preserve
      any right or franchise if the Board of Directors of the Company or such
      Subsidiary shall determine that the preservation thereof is no longer desirable
      in the conduct of the business of the Company or such Subsidiary, as the case
      may be, and that the loss thereof would not be reasonably likely to have a
      Material Adverse Effect.

     

    (e)  Authorizations.
      Obtain,
      and cause each Designated Subsidiary with a principal place of business outside
      the United States to obtain, at any time and from time 

    
      
        
        

      

      
        
        

        
          

        

      

      
        43

      

    

     

    to
      time all authorizations, licenses, consents or
      approvals (including exchange control approvals) as shall now or hereafter
      be
      necessary or desirable under applicable law or  regulations in
      connection with such Designated Subsidiary's making and performance of this
      Agreement and, upon the request of any Lender, promptly furnish to such Lender
      copies thereof.

     

    (f)  Keeping
      of Books.
      Keep,
      and cause each of its Material Subsidiaries with a principal place of business
      in the United States to keep, proper books of record and account, in which
      full
      and correct entries in all material respects shall be made of all financial
      transactions and the assets and business of the Company and each such Subsidiary
      in accordance with generally accepted accounting principles in effect from
      time
      to time.

     

    (g)  Maintenance
      of Properties, Etc.
      Maintain and preserve, and cause each of its Subsidiaries to maintain and
      preserve, all of its properties that are used in the conduct of its business
      in
      good working order and condition, ordinary wear and tear excepted, except where
      the failure to do so would not be reasonably likely to have a Material Adverse
      Effect.

     

    (h)  Reporting
      Requirements.
      Furnish
      to the Lenders:

     

    (i)  as
      soon
      as available and in any event within 45 days after the end of each of the first
      three quarters of each fiscal year of the Company, Consolidated condensed
      balance sheet of the Company and its Subsidiaries as of the end of such quarter
      and Consolidated statements of income and Consolidated condensed statements
      of
      cash flows of the Company and its Subsidiaries for the period commencing at
      the
      end of the previous fiscal year and ending with the end of such quarter, duly
      certified (subject to audit adjustments) by the chief financial officer of
      the
      Company as having been prepared in accordance with applicable rules and
      regulations of the Securities and Exchange Commission and certificates of the
      chief financial officer of the Company as to compliance with the terms of this
      Agreement;

     

    (ii)  as
      soon
      as available and in any event within 90 days after the end of each fiscal year
      of the Company, a copy of the annual report for such year for the Company and
      its Subsidiaries, containing Consolidated balance sheet of the Company and
      its
      Subsidiaries as of the end of such fiscal year and Consolidated statements
      of
      income and cash flows of the Company and its Subsidiaries for such fiscal year,
      in each case accompanied by an opinion of KPMG LLP or other nationally
      recognized independent public accountants;

     

    (iii)  as
      soon
      as possible and in any event within five days after the occurrence of each
      Default continuing on the date of such statement, a statement of the chief
      financial officer of the Company setting forth the details of such Default
      and
      the action that the Company has taken and proposes to take with respect
      thereto;

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        44

      

    

     

    
       

      (iv)     
         as soon as possible and in any event within three days after the
        occurrence of a Change of Control, notice of such Change of Control setting
        forth the details of such Change of Control;

       

      (v)       
        promptly after the sending or filing thereof, copies of all reports that
        the
        Company sends to any of its public securityholders, and copies of all reports
        and registration statements that the Company or any Subsidiary files with
        the
        Securities and Exchange Commission or any national securities
        exchange;

       

      (vi)    
         (a) promptly and in any event within 20 days after the Company or any
        ERISA Affiliate has actual knowledge that an event that is an ERISA Event
        that
        has resulted or that would be reasonably likely to result in a liability
        of the
        Company or any ERISA Affiliate in an amount in excess of $25,000,000 has
        occurred, a statement of the chief financial officer or other authorized
        officer
        of the Company describing such ERISA Event and the action, if any, that the
        Company or such ERISA Affiliate has taken and proposes to take with respect
        thereto and (b) on the date any records, documents or other information must
        be
        furnished to the PBGC with respect to any Plan pursuant to Section 4010 of
        ERISA, a copy of such records, documents and information;

    

     

    (vii)      
      promptly
      and in any event within three Business Days after receipt thereof by the Company
      or any ERISA Affiliate, copies of each notice from the PBGC stating its
      intention to terminate any Plan or to have a trustee appointed to administer
      any
      Plan, where such notice, termination or appointment has resulted or would be
      reasonably likely to result in a liability of the Company or any ERISA Affiliate
      in an amount in excess of $25,000,000;

     

    (viii)  promptly
      and in any event within 30 days after filing thereof with the Internal Revenue
      Services, copies of each Schedule B (Actuarial Information) to the annual report
      (Form 5500 Series) with respect to each Plan whose "funded current liability
      percentage" is less than 90% and whose "unfunded current liability" exceeds
      $5,000,000 (as such terms are defined in Section 302(d)(8) of
      ERISA);

     

    (ix)        
      promptly
      and in any event within five Business Days after receipt thereof by the Company
      or any ERISA Affiliate from the sponsor of a Multiemployer Plan, copies of
      each
      notice concerning (A) the imposition of Withdrawal Liability by any such
      Multiemployer Plan, (B) the reorganization or termination, within the
      meaning of Title IV of ERISA, of any such Multiemployer Plan or
      (C) the amount of liability incurred, or that may be incurred, by the
      Company or any ERISA Affiliate in connection with any event described in
      clause (A) or (B), where such imposition, reorganization or termination has
      resulted or would be reasonably likely to result in a liability of the Company
      or any ERISA Affiliate in an amount exceeding $25,000,000;

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        45

      

    

     

    
      (x)         
        promptly
        after the commencement thereof, notice of all actions and proceedings before
        any
        court, governmental agency or arbitrator affecting the Company or any of
        its
        Subsidiaries of the type described in Section 4.01(f); and

       

      (xi)        
        such
        other information respecting the Company or any of its Subsidiaries as any
        Lender through the Agent may from time to time reasonably request.

       

    

    (i)  Compliance
      with Environmental Laws.
      Comply,
      and cause each of its Subsidiaries and all lessees and other Persons operating
      or occupying its properties, to comply with all applicable Environmental Laws
      and Environmental Permits except where the failure to so comply would not be
      reasonably likely to have a Material Adverse Effect.

     

    SECTION
      5.02.   Negative
      Covenants.
      So long
      as any Advance shall remain unpaid or any Lender shall have any Commitment
      hereunder, the Company will not:

     

    (a)  Liens,
      Etc.
      Create
      or suffer to exist, or permit any of its Subsidiaries to create or suffer to
      exist, any Lien on or with respect to any of its properties, whether now owned
      or hereafter acquired, or assign, or permit any of its Subsidiaries to assign,
      any right to receive income, other than:

     

    (i)  Permitted
      Liens,

     

                                   
      (ii)  purchase
      money Liens upon or in any real property or equipment acquired or held by the
      Company or any Subsidiary of    the  Company in the
      ordinary course of business to secure the purchase price of such property or
      equipment or to secure Debt incurred solely for the purpose of financing the
      acquisition of such property or equipment, or Liens existing on such property
      or
      equipment at the time of its acquisition (other than any such Liens created
      in
      contemplation of such acquisition that were not incurred to finance the
      acquisition of such property) or extensions, renewals or replacements of any
      of
      the foregoing for the same or a lesser amount, provided,
      however,
      that no
      such Lien shall extend to or cover any properties of any character other than
      the real property or equipment being acquired, and no such extension, renewal
      or
      replacement shall extend to or cover any properties not theretofore subject
      to
      the Lien being extended, renewed or replaced,

     

    (iii)  any
      assignment of any right to receive income existing on the Effective Date and
      any
      Liens existing on the Effective Date,

     

                                   
      (iv)  Liens
      on
      property of a Person existing at the time such Person is merged into or
      consolidated with the Company or any Subsidiary of the Company or becomes a
      Subsidiary of the Company; provided
      that
      such Liens do not extend to any assets other than those of the Person so merged
      into or consolidated with the Company or such Subsidiary or acquired by the
      Company or such Subsidiary,

    
       

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        46

      

    

                                                            
      

    (v)  other
      Liens or any other assignment of any right to receive income (in addition to
      the
      Liens and assignments permitted under   clauses (i), (ii), (iii), (iv)
      or (vi)) securing Debt in an aggregate principal amount not to exceed
      $450,000,000, and

    
       

      (vi)  the
        replacement, extension or renewal of any Lien or any assignment of any right
        to
        receive income permitted by clause (iii) or (iv) above upon or in the same
        property theretofore subject thereto or the replacement, extension or renewal
        (without increase in the amount or change in any direct or contingent obligor)
        of the Debt secured thereby.

       

    

    (b)  Mergers,
      Etc.
      Merge
      or consolidate with or into, or convey, transfer, lease or otherwise dispose
      of
      (whether in one transaction or in a series of transactions) all or substantially
      all of its assets (whether now owned or hereafter acquired) to, any Person,
      or
      permit any of its Subsidiaries to do so, except that (i) any Subsidiary of
      the
      Borrower may merge or consolidate with or into, or dispose of assets to, any
      other Subsidiary of the Company, (ii) any Subsidiary of the Company may merge
      into or dispose of assets to the Company and (iii) the Company or any of its
      Subsidiaries may merge with any other Person so long as the Company or such
      Subsidiary is the surviving entity, provided,
      in each
      case, that no Default shall have occurred and be continuing at the time of
      such
      proposed transaction or would result therefrom.

     

    (c)  Change
      in Nature of Business.
      Make,
      or permit any of its Subsidiaries to make, any material change in the nature
      of
      its business as carried on at the date hereof.

     

    SECTION
      5.03.   Financial
      Covenant.
      So long
      as any Advance shall remain unpaid or any Lender shall have any Commitment
      hereunder, the Company shall maintain, as of the end of each fiscal quarter,
      a
      ratio of (a) Pre-Tax Income from Continuing Operations for the four fiscal
      quarters then ended to (b) Consolidated Interest Expense for such four
      fiscal quarters of not less than 2.0 to 1.0.

     

    ARTICLE
      VI  

     

    EVENTS
      OF
      DEFAULT

     

    SECTION
      6.01.   Events
      of Default.
      If any
      of the following events ("Events
      of Default")
      shall
      occur and be continuing:

     

    (a)  Any
      Borrower shall fail to pay any principal of any Advance within one Business
      Day
      after the same becomes due and payable; or any Borrower shall fail to pay any
      interest on any Advance or make any other payment of fees or other amounts
      payable under this Agreement or any Note within three Business Days after the
      same becomes due and payable; or

     

    (b)  Any
      representation or warranty made by any Company herein or, if such Borrower
      is a
      Designated Subsidiary, in such Borrower's Designation Letter, or by any Borrower
      in connection with this Agreement shall prove to have been incorrect in any
      material respect when made; or

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        47

      

    

    (c)  (i) The
      Company shall fail to perform or observe any term, covenant or agreement
      contained in Section 5.01(d) or (h)(iii), (iv) or (vi)-(ix), 5.02 or 5.03,
      or (ii) the Company or any other Borrower shall fail to perform or observe
      any
      term, covenant or agreement contained in Section 5.01(h)(i), (ii), (v), (x)
      or
      (xi) if such failure shall remain unremedied for 10 days after written notice
      thereof shall have been given to the relevant Borrower by the Agent or any
      Lender, or (iii) the Company or any other Borrower shall fail to perform or
      observe any other term, covenant or agreement contained in this Agreement
      on its part to be performed or observed if such failure shall remain unremedied
      for 30 days after written notice thereof shall have been given to the relevant
      Borrower by the Agent or any Lender; or

     

    (d)  Any
      Borrower or any of its Subsidiaries shall fail to pay any principal of or
      premium or interest on any Debt that is outstanding in a principal or notional
      amount of at least $125,000,000 in the aggregate (but excluding Debt outstanding
      hereunder) of such Borrower or such Subsidiary (as the case may be), when the
      same becomes due and payable (whether by scheduled maturity, required
      prepayment, acceleration, demand or otherwise), and such failure shall continue
      after the applicable grace period, if any, specified in the agreement or
      instrument relating to such Debt; or any other event shall occur or condition
      shall exist under any agreement or instrument relating to any such Debt and
      shall continue after the applicable grace period, if any, specified in such
      agreement or instrument, if the effect of such event or condition is to
      accelerate the maturity of such Debt; or any such Debt shall be declared to
      be
      due and payable, or required to be prepaid or redeemed (other than by a
      regularly scheduled required prepayment or redemption), purchased or defeased,
      or an offer to prepay, redeem, purchase or defease such Debt shall be required
      to be made, in each case prior to the stated maturity thereof, unless the event
      giving rise to such prepayment, redemption, purchase or defeasance is not
      related directly to any action taken by, or the condition (financial or
      otherwise) or operations of, the Company, any of its Subsidiaries, or any of
      their respective properties; or

     

    (e)  Any
      Borrower or any of its Material Subsidiaries shall generally not pay its debts
      as such debts become due, or shall admit in writing its inability to pay its
      debts generally, or shall make a general assignment for the benefit of
      creditors; or any proceeding shall be instituted by or against any Borrower
      or
      any of its Material Subsidiaries seeking to adjudicate it a bankrupt or
      insolvent, or seeking liquidation, winding up, reorganization, arrangement,
      adjustment, protection, relief, or composition of it or its debts under any
      law
      relating to bankruptcy, insolvency or reorganization or relief of debtors,
      or
      seeking the entry of an order for relief or the appointment of a receiver,
      trustee, custodian or other similar official for it or for any substantial
      part
      of its property and, in the case of any such proceeding instituted against
      it
      (but not instituted by it), either such proceeding shall remain undismissed
      or
      unstayed for a period of 60 days, or any of the actions sought in such
      proceeding (including, without limitation, the entry of an order for relief
      against, or the appointment of a receiver, trustee, custodian or other similar
      official for, it or for any substantial part of its property) shall occur;
      or
      any Borrower or any of its Material Subsidiaries shall take any corporate action
      to authorize any of the actions set forth above in this subsection (e);
      or

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        48

      

    

    (f)  Any
      judgment or order for the payment of money in excess of $125,000,000 shall
      be
      rendered against any Borrower or any of its Subsidiaries and there shall be
      any
      period of 30 consecutive days during which a stay of enforcement of such
      judgment or order, by reason of a pending appeal or otherwise, shall not be
      in
      effect; or

     

    (g)  The
      Company or any ERISA Affiliate shall incur, or, in the reasonable opinion of
      the
      Majority Lenders, shall be reasonably likely to incur liability in excess
      of  $125,000,000
      in the aggregate as a result of one or more of the following: (i) the
      occurrence of any ERISA Event; (ii) the partial or complete withdrawal of
      the Company or any of its ERISA Affiliates from a Multiemployer Plan; or
      (iii) the reorganization or termination of a Multiemployer Plan;
      or

     

    (h)  Any
      ERISA
      Event shall have occurred with respect to a Plan and the sum (determined as
      of
      the date of occurrence of such ERISA Event) of the Insufficiency of such Plan
      and the Insufficiency of any and all other Plans with respect to which an ERISA
      Event shall have occurred and then exist (or the liability of the Company and
      the ERISA Affiliates related to such ERISA Event) exceeds $125,000,000;
      or

     

    (i)  The
      Company or any ERISA Affiliate shall have been notified by the sponsor of a
      Multiemployer Plan that it has incurred Withdrawal Liability to such
      Multiemployer Plan in an amount that, when aggregated with all other amounts
      required to be paid to Multiemployer Plans by the Company and the ERISA
      Affiliates as Withdrawal Liability (determined as of the date of such
      notification), exceeds $125,000,000; or

     

    (j)  The
      Company or any ERISA Affiliate shall have been notified by the sponsor of a
      Multiemployer Plan that such Multiemployer Plan is in reorganization or is
      being
      terminated, within the meaning of Title IV of ERISA, and as a result of
      such reorganization or termination the aggregate annual contributions of the
      Company and the ERISA Affiliates to all Multiemployer Plans that are then in
      reorganization or being terminated have been or will be increased over the
      amounts contributed to such Multiemployer Plans for the plan years of such
      Multiemployer Plans immediately preceding the plan year in which such
      reorganization or termination occurs by an amount exceeding $125,000,000 in
      the
      aggregate;

     

    then,
      and
      in any such event, the Agent (i) shall at the request, or may with the
      consent, of the Majority Lenders, by notice to the Company and each other
      Borrower, declare the obligation of each Lender to make Advances to be
      terminated, whereupon the same shall forthwith terminate, and (ii) shall at
      the request, or may with the consent, of the Majority Lenders, by notice to
      the
      Company and each other Borrower, declare the Advances, all interest thereon
      and
      all other amounts payable under this Agreement to be forthwith due and payable,
      whereupon the Advances, all such interest and all such amounts shall become
      and
      be forthwith due and payable, without presentment, demand, protest or further
      notice of any kind, all of which are hereby expressly waived by the Borrowers;
      provided,
      however,
      that in
      the event of an actual or deemed entry of an order for relief with respect
      to
      any Borrower under the Federal Bankruptcy Code, (A) the obligation of each
      Lender to make Advances to such Borrower (or, if such event has occurred in
      respect of the Company, to make Advances to any Borrower) shall automatically
      be
      terminated and (B) the Advances, all such interest and all such amounts
      owing by such Borrower 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        49

      

    

     

    (or,
      if
      such event has occurred in respect of the Company, owing by all of the
      Borrowers) shall automatically become and be due and payable, without
      presentment, demand, protest or any notice of any kind, all of which are hereby
      expressly waived by the Borrowers.

     

    ARTICLE
      VII 

     

    GUARANTY

     

    SECTION
      7.01.   Guaranty.
      For
      valuable consideration, receipt whereof is hereby acknowledged, and to induce
      each Lender to make Advances to the Designated Subsidiaries and to induce the
      Agent to act hereunder, the Company hereby unconditionally and irrevocably
      guarantees to each Lender and the Agent the punctual payment when due, whether
      at stated maturity, by acceleration or otherwise, of all obligations of the
      Designated Subsidiaries now or hereafter existing under this Agreement or the
      Notes, whether for principal, interest, fees, indemnities, expenses or otherwise
      (such obligations being the "Guaranteed
      Obligations"),
      and
      agrees to pay any and all reasonable and documented expenses (including
      reasonable counsel fees and expenses) incurred by the Agent or any Lender in
      enforcing any rights under this Guaranty. Without limiting the generality of
      the
      foregoing, the Company's liability shall extend to all amounts that constitute
      part of the Guaranteed Obligations and that would be owed by any Designated
      Subsidiary to the Agent or any Lender under this Agreement and the Notes but
      for
      the fact that such Guaranteed Obligations are unenforceable or not allowable
      due
      to the existence of a bankruptcy, reorganization or similar proceeding involving
      such Designated Subsidiary.

     

    SECTION
      7.02.   Guaranty
      Absolute.
      The
      Company guarantees that the Guaranteed Obligations will be paid strictly in
      accordance with the terms of this Agreement regardless of any law, regulation
      or
      order now or hereafter in effect in any jurisdiction affecting any of such
      terms
      or the rights of the Agent or any Lender with respect thereto. The obligations
      of the Company under this Guaranty are independent of the Guaranteed Obligations
      or any other obligations of any Designated Subsidiary under this Agreement
      and
      the Notes, and a separate action or actions may be brought and prosecuted
      against the Company to enforce the obligations of the Company under this
      Guaranty, irrespective of whether any action is brought against any Borrower
      or
      whether any Borrower is joined in any such action or actions. The liability
      of
      the Company under this Guaranty shall be irrevocable, absolute and unconditional
      irrespective of, and the Company hereby irrevocably waives any defenses it
      may
      now or hereafter have in any way relating to, any or all of the
      following:

     

    (a)  any
      lack
      of validity or enforceability of this Agreement or the Notes, or any other
      agreement or instrument relating thereto;

     

    (b)  any
      change in the time, manner or place of payment of, or in any other term of,
      all
      or any of the Guaranteed Obligations or any other obligations of any Designated
      Subsidiary under this Agreement or the Notes, or any other amendment or waiver
      of or any consent to departure from this Agreement or any Note, including,
      without limitation, any increase in the Guaranteed Obligations resulting from
      the extension of additional credit to any Designated Subsidiary or any of its
      Subsidiaries or otherwise;

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        50

      

    

    (c)  any
      taking, release or amendment or waiver of or consent to departure from any
      other
      guaranty, for all or any of the Guaranteed Obligations;

     

    (d)  any
      change, restructuring or termination of the corporate structure or existence
      of
      any Designated Subsidiary or any of its Subsidiaries;

    

      (e)  any
        failure of the Agent or any Lender to disclose to the Company or any Designated
        Subsidiary any information relating to the financial condition, operations,
        properties or prospects of any Designated Subsidiary now or in the future
        known
        to the Agent or such Lender, as the case may be (the Company waiving any
        duty on
        the part of the Agent or the Lenders to disclose such information);
        or

    

     

    (f)  any
      other
      circumstance (including, without limitation, any statute of limitations) or
      any
      existence of or reliance on any representation by the Agent or any Lender that
      might otherwise constitute a defense available to, or a discharge of, any
      Designated Subsidiary or the Company or any other guarantor or
      surety.

     

    This
      Guaranty shall continue to be effective or be reinstated, as the case may be,
      if
      at any time any payment of any of the Guaranteed Obligations is rescinded or
      must otherwise be returned by the Agent or any Lender upon the insolvency,
      bankruptcy or reorganization of any Designated Subsidiary or otherwise, all
      as
      though such payment had not been made.

     

    SECTION
      7.03.   Waivers
      and Acknowledgments.
      (a)
      The
      Company hereby waives promptness, diligence, notice of acceptance and any other
      notice with respect to any of the Guaranteed Obligations and this Guaranty
      and
      any requirement that the Agent or any Lender exhaust any right or take any
      action against any Designated Subsidiary or any other Person, and all other
      notices and demands whatsoever.

     

    (b)  The
      Company hereby waives any right to revoke this Guaranty, and acknowledges that
      this Guaranty is continuing in nature and applies to all Guaranteed Obligations,
      whether existing now or in the future.

     

    (c)  The
      Company acknowledges that it will receive substantial direct and indirect
      benefits from the financing arrangements contemplated by this Agreement and
      the
      Notes and that the waivers set forth in this Section 7.03 are knowingly made
      in
      contemplation of such benefits.

     

    SECTION
      7.04.   Subrogation.
      The
      Company will not exercise any rights that it may now or hereafter acquire
      against any Designated Subsidiary or any other insider guarantor that arise
      from
      the existence, payment, performance or enforcement of the Company's obligations
      under this Guaranty or any provision of this Agreement or the Notes, including,
      without limitation, any right of subrogation, reimbursement, exoneration,
      contribution or indemnification and any right to participate in any claim or
      remedy of the Agent or any Lender against such Designated Subsidiary or any
      other insider guarantor or any collateral, whether or not such claim, remedy
      or
      right arises in equity or under contract, statute or common law, including,
      without limitation, the right to take or receive from such Designated Subsidiary
      or any other insider guarantor, directly or indirectly, in cash or other
      property or by set-off or in any other manner, payment or security on account
      of
      such claim, remedy or right, unless and until all of the Guaranteed Obligations
      and all other amounts payable under this Guaranty shall have been 

    
      
        
        

      

      
        
        

        
          

        

      

      
        51

      

    

     

    paid
      in
      full in cash and the Commitments shall have expired or terminated. If any amount
      shall be paid to the Company in violation of the preceding sentence at any
      time
      prior to the later of the payment in full in cash of the Guaranteed Obligations
      and all other amounts payable under this Guaranty and the latest Termination
      Date, such amount shall be held in trust for the benefit of the Agent and
      Lenders and shall forthwith be paid to the Agent to be credited and applied
      to
      the Guaranteed Obligations and all other amounts payable under this Guaranty,
      whether matured or unmatured, in accordance with the terms of this Agreement and
      any Notes, or to be held as collateral for any Guaranteed Obligations or other
      amounts payable under this Guaranty thereafter arising. If (i) the Company
      shall make payment to the Agent or any Lender of all or any part of the
      Guaranteed Obligations, (ii) all of the Guaranteed Obligations and all
      other amounts payable under this Guaranty shall be paid in full in cash and
      (iii) the latest Termination Date shall have occurred, the Agent and the
      Lenders will, at the Company's request and expense, execute and deliver to
      the
      Company appropriate documents, without recourse and without representation
      or
      warranty, necessary to evidence the transfer by subrogation to the Company
      of an
      interest in the Guaranteed Obligations resulting from such payment by the
      Company.

     

    SECTION
      7.05.   Continuing
      Guaranty; Assignments Under the Credit Agreement.
      This
      Guaranty is a continuing guaranty and shall (a) remain in full force and
      effect until the later of the payment in full in cash of the Guaranteed
      Obligations and all other amounts payable under this Agreement and the latest
      Termination Date, (b) be binding upon the Company, its successors and
      assigns and (c) inure to the benefit of and be enforceable by the Agent and
      the Lenders and their respective successors, transferees and assigns. Without
      limiting the generality of the foregoing clause (c), any Lender may assign
      or otherwise transfer all or any portion of its rights and obligations under
      this Agreement (including, without limitation, all or any portion of its
      Commitment, the Advances owing to it and any Note or Notes held by it) to any
      other Person, and such other Person shall thereupon become vested with all
      the
      benefits in respect thereof granted to such Lender herein or otherwise, in
      each
      case as and to the extent provided in Section 9.07 of this
      Agreement.

     

    SECTION
      7.06.   No
      Stay.
      The
      Company agrees that, as between (a) the Company and (b) the Lenders and the
      Agent, the Guaranteed Obligations of any Designated Subsidiary guaranteed by
      the
      Company hereunder may be declared to be forthwith due and payable as provided
      in
      Article VI hereof for purposes of this Guaranty by declaration to the Company
      as
      guarantor notwithstanding any stay, injunction or other prohibition preventing
      such declaration as against such Designated Subsidiary and that, in the event
      of
      such declaration to the Company as guarantor, such Guaranteed Obligations
      (whether or not due and payable by such Designated Subsidiary), shall forthwith
      become due and payable by the Company for purposes of this
      Guaranty.

     

    ARTICLE
      VIII 

     

    THE
      AGENT

     

    SECTION
      8.01.   Authorization
      and Action.
      Each
      Lender hereby appoints and authorizes the Agent to take such action as agent
      on
      its behalf and to exercise such powers and discretion under this Agreement
      as
      are delegated to the Agent by the terms hereof, together with such powers and
      discretion as are reasonably incidental thereto. As to any matters not
      expressly 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        52

      

    

     

    provided
      for by this Agreement (including, without limitation, enforcement or collection
      of the Advances), the Agent shall not be required to exercise any discretion
      or
      take any action, but shall be required to act or to refrain from acting (and
      shall be fully protected in so acting or refraining from acting) upon the
      instructions of the Majority Lenders, and such instructions shall be binding
      upon all Lenders and all holders of Advances; provided,
      however,
      that
      the Agent shall not be required to take any action that exposes the Agent
      to personal liability or that is contrary to this Agreement or applicable law.
      The Agent agrees to give to each Lender prompt notice of each notice given
      to it
      by any Borrower pursuant to the terms of this Agreement.

     

    SECTION
      8.02.   Agent's
      Reliance, Etc.
      Neither
      the Agent nor any of its directors, officers, agents or employees shall be
      liable for any action taken or omitted to be taken by it or them under or in
      connection with this Agreement, except for its or their own gross negligence
      or
      willful misconduct. Without limitation of the generality of the foregoing,
      the
      Agent: (a) may treat the Lender that made any Advance as the holder of the
      Debt resulting therefrom until the Agent receives and accepts an Assumption
      Agreement entered into by an Assuming Lender as provided in Section 2.05(c)
      or
      2.19, as the case may be, or an Assignment and Acceptance entered into by such
      Lender, as assignor, and an Eligible Assignee, as assignee, as provided in
      Section 9.07; (b) may consult with legal counsel (including counsel
      for any Borrower), independent public accountants and other experts selected
      by
      it and shall not be liable for any action taken or omitted to be taken in good
      faith by it in accordance with the advice of such counsel, accountants or
      experts; (c) makes no warranty or representation to any Lender and shall
      not be responsible to any Lender for any statements, warranties or
      representations (whether written or oral) made in or in connection with this
      Agreement; (d) shall not have any duty to ascertain or to inquire as to the
      performance or observance of any of the terms, covenants or conditions of this
      Agreement on the part of any Borrower or to inspect the property (including
      the
      books and records) of any Borrower; (e) shall not be responsible to any
      Lender for the due execution, legality, validity, enforceability, genuineness,
      sufficiency or value of this Agreement or any other instrument or document
      furnished pursuant hereto; and (f) shall incur no liability under or in
      respect of this Agreement by acting upon any notice, consent, certificate or
      other instrument or writing (which may be by telecopier) believed by it to
      be
      genuine and signed or sent by the proper party or parties.

     

    SECTION
      8.03.   Citibank
      and Affiliates.
      With
      respect to its Commitment, the Advances made by it and the Note issued to it,
      Citibank 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; and the term
      "Lender" or "Lenders" shall, unless otherwise expressly indicated, include
      Citibank in its individual capacity. Citibank and its Affiliates may accept
      deposits from, lend money to, act as trustee under indentures of, accept
      investment banking engagements from and generally engage in any kind of business
      with, the Company, any of its Subsidiaries and any Person who may do business
      with or own securities of the Company or any such Subsidiary, all as if Citibank
      were not the Agent and without any duty to account therefor to the Lenders.
      The
      Agent shall have no duty to disclose any information obtained or received by
      it
      or any of its Affiliates relating to the Company or any of its Subsidiaries
      to
      the extent such information was obtained or received in any capacity other
      than
      as Agent. In
      the
      event that Citibank or any of its Affiliates shall be or become an indenture
      trustee under the Trust Indenture Act of 1939 (as amended, the “Trust Indenture
      Act”) in respect of any securities issued or guaranteed by the Company,
      the
      parties hereto acknowledge and agree that any payment or property received
      in

    
      
        
        

      

      
        
        

        
          

        

      

      
        53

      

    

     

    satisfaction
      of or in respect of any obligation of the Company hereunder
      or under any Note by or on behalf of Citibank in its capacity as the Agent
      for
      the benefit of any Lender under this Agreement or any Note (other than Citibank
      or an Affiliate of Citibank) and which is applied in accordance with this
      Agreement shall be deemed to be exempt from the requirements of Section 311
      of
      the Trust Indenture Act pursuant to Section 311(b)(3) of the Trust Indenture
      Act.

     

    SECTION
      8.04.   Lender
      Credit Decision.
      Each
      Lender acknowledges that it has, independently and without reliance upon the
      Agent or any other Lender and based on the financial statements referred to
      in
      Section 4.01 and such other documents and information as it has deemed
      appropriate, made its own credit analysis and decision to enter into this
      Agreement. Each Lender also acknowledges that it will, independently and without
      reliance upon the Agent 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.

     

    SECTION
      8.05.   Indemnification.
      The
      Lenders agree to indemnify the Agent (to the extent not reimbursed by a
      Borrower), ratably according to the respective principal amounts of the
      Revolving Credit Notes then held by each of them (or if no Revolving Credit
      Notes are at the time outstanding or if any Revolving Credit Notes are held
      by
      Persons that are not Lenders, ratably according to the respective amounts of
      their Commitments), from and against any and all liabilities, obligations,
      losses, damages, penalties, actions, judgments, suits, costs, expenses or
      disbursements of any kind or nature whatsoever that may be imposed on, incurred
      by, or asserted against the Agent in any way relating to or arising out of
      this
      Agreement or any action taken or omitted by the Agent under this Agreement,
      provided
      that no
      Lender shall be liable for any portion of such liabilities, obligations, losses,
      damages, penalties, actions, judgments, suits, costs, expenses or disbursements
      resulting from the Agent's gross negligence or willful misconduct. Without
      limitation of the foregoing, each Lender agrees to reimburse the Agent promptly
      upon demand for its ratable share of any out-of-pocket expenses (including
      counsel fees) incurred by the 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, to the
      extent that the Agent is not reimbursed for such expenses by a
      Borrower.

     

    SECTION
      8.06.   Successor
      Agent.
      The
      Agent may resign at any time by giving written notice thereof to the Lenders
      and
      each Borrower and may be removed at any time with or without cause by the
      Majority Lenders and such resignation or removal shall be effective upon the
      appointment of a successor Agent. Upon any such resignation or removal, the
      Majority Lenders shall have the right to appoint a successor Agent, subject
      to
      the Company's approval (which shall not be unreasonably withheld). If no
      successor Agent shall have been so appointed by the Majority Lenders, and shall
      have accepted such appointment, within 30 days after the retiring Agent's giving
      of notice of resignation or the Majority Lenders' removal of the retiring Agent,
      then the retiring Agent may, on behalf of the Lenders, appoint a successor
      Agent, which shall be a commercial bank organized under the laws of the United
      States of America or of any State thereof and having a combined capital and
      surplus of at least $250,000,000, subject to the Company's approval (which
      shall
      not be unreasonably withheld). Upon the acceptance of any appointment as Agent
      hereunder by a successor Agent, such successor Agent shall thereupon succeed
      to
      and become vested with all the rights, powers, discretion, privileges and duties
      of the retiring Agent, and the 

    
      
        
        

      

      
        
        

        
          

        

      

      
        54

      

    

    retiring
      Agent, and the retiring Agent shall be
      discharged from its duties and obligations under this Agreement. After any
      retiring Agent's resignation or removal hereunder as Agent, the provisions
      of
      this Article VIII shall inure to its benefit as to any actions taken or
      omitted to be taken by it while it was Agent under this Agreement.

     

    ARTICLE
      IX 

     

    MISCELLANEOUS

     

    SECTION
      9.01.   Amendments,
      Etc. 
      No
      amendment or waiver of any provision of this Agreement or the Revolving Credit
      Notes, nor consent to any departure by any Borrower therefrom, shall in any
      event be effective unless the same shall be in writing and signed by the
      Majority Lenders, and then such waiver or consent shall be effective only in
      the
      specific instance and for the specific purpose for which given; provided,
      however,
      that no
      amendment, waiver or consent shall, unless in writing and signed by all the
      Lenders, do any of the following: (a) increase the Commitment of any Lender
      (other than as provided for in Section 2.05(c)) or subject any Lender to any
      additional monetary obligations, (b) reduce the principal of, or interest
      on, the Revolving Credit Notes or any fees or other amounts payable hereunder,
      (c) postpone any date fixed for any payment of principal of, or interest
      on, the Revolving Credit Notes or any fees or other amounts payable hereunder,
      (d) release the Company from any of its obligations under Article VII or limit
      the liability of the Company thereunder or (e) amend or waive this
      Section 9.01 or the definition of "Majority Lenders"; and provided further
      that no
      amendment, waiver or consent shall, unless in writing and signed by the Agent
      in
      addition to the Lenders required above to take such action, affect the rights
      or
      duties of the Agent under this Agreement or any Note.

     

    SECTION
      9.02.   Notices,
      Etc. 
      (a) All
      notices and other communications provided for hereunder shall be in writing
      (including telecopier or other electronic communication) and mailed, telecopied
      or delivered, if to the Company or to any Designated Subsidiary, at the
      Company's address at Corporate Headquarters, 100 Crystal A Drive, Hershey,
      Pennsylvania 17033-0810, Attention: Treasury Department, Fax No. (717) 534-6724;
      if to any Initial Lender, at its Domestic Lending Office specified opposite
      its
      name on Schedule I hereto; if to any other Lender, at its Domestic Lending
      Office specified in the Assumption Agreement or the Assignment and Acceptance,
      as the case may be, pursuant to which it became a Lender; and if to the Agent,
      at its address at Two Penn's Way, New Castle, Delaware 19720, Attention: Bank
      Loan Syndications, Fax No. (302) 894-6120; or, as to any Borrower or the Agent,
      at such other address as shall be designated by such party in a written notice
      to the other parties and, as to each other party, at such other address as
      shall
      be designated by such party in a written notice to the Company and the Agent;
      provided
      that
      materials as may be agreed between the Borrowers and the Agent may be delivered
      to the Agent in accordance with clause (b) below. All such notices and
      communications shall, when mailed or telecopied, be effective when deposited
      in
      the mails or telecopied, respectively, except that notices and communications
      to
      the Agent pursuant to Article II, III or VIII shall not be effective until
      received by the Agent. Delivery by telecopier or other electronic communication
      of an executed counterpart of any amendment or waiver of any provision of this
      Agreement or the Notes or of any Exhibit hereto to be executed and delivered
      hereunder shall be effective as delivery of a manually executed counterpart
      thereof.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
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    (b) So
      long
      as Citibank or any of its Affiliates is the Agent, such materials as may be
      agreed between the Borrowers and the Agent may be delivered to the Agent in
      an
      electronic medium in a format acceptable to the Agent and the Lenders by e-mail
      at oploanswebadmin@citigroup.com. The Borrowers agree that the Agent may make
      such materials (collectively, the "Communications")
      available to the Lenders by posting such notices on
      Intralinks or a substantially similar electronic system (the "Platform"). The
      Borrowers acknowledge that (i) the distribution of material through an
      electronic medium is not necessarily secure and that there are confidentiality
      and other risks associated with such distribution, (ii) the Platform is provided
      "as is" and "as available" and (iii) neither the Agent nor any of its Affiliates
      warrants the accuracy, adequacy or completeness of the Communications or the
      Platform and each expressly disclaims liability for errors or omissions in
      the
      Communications or the Platform. No warranty of any kind, express, implied or
      statutory, including, without limitation, any warranty of merchantability,
      fitness for a particular purpose, non-infringement of third party rights or
      freedom from viruses or other code defects, is made by the Agent or any of
      its
      Affiliates in connection with the Platform.

     

    (c) Each
      Lender agrees that notice to it (as provided in the next sentence) (a
      "Notice")
      specifying that any Communications have been posted to the Platform shall
      constitute effective delivery of such information, documents or other materials
      to such Lender for purposes of this Agreement; provided
      that if
      requested by any Lender the Agent shall deliver a copy of the Communications
      to
      such Lender by email or telecopier. Each Lender agrees (i) to notify the Agent
      in writing of such Lender's e-mail address to which a Notice may be sent by
      electronic transmission (including by electronic communication) on or before
      the
      date such Lender becomes a party to this Agreement (and from time to time
      thereafter to ensure that the Agent has on record an effective e-mail address
      for such Lender) and (ii) that any Notice may be sent to such e-mail
      address.

     

    SECTION
      9.03.   No
      Waiver; Remedies.
      No
      failure on the part of any Lender or the Agent to exercise, and no delay in
      exercising, any right hereunder or under any Note shall operate as a waiver
      thereof; nor shall any single or partial exercise of any such right preclude
      any
      other or further exercise thereof or the exercise of any other right. The
      remedies herein provided are cumulative and not exclusive of any remedies
      provided by law.

     

    SECTION
      9.04.   Costs
      and Expenses.
      (a)
      The
      Company agrees to pay or cause to be paid on demand all reasonable and
      documented costs and expenses of the Agent in connection with the preparation,
      execution, delivery, administration, modification and amendment of this
      Agreement, the Notes and the other documents to be delivered hereunder,
      including, without limitation, (A) all due diligence, syndication
      (including printing, distribution and bank meetings), transportation, computer,
      duplication, messenger costs and expenses and (B) the reasonable fees and
      expenses of counsel for the Agent with respect thereto and with respect to
      advising the Agent as to its rights and responsibilities under this Agreement.
      The Company further agrees to pay or cause to be paid on demand all reasonable
      and documented costs and expenses of the Agent and the Lenders, if any
      (including, without limitation, reasonable counsel fees and expenses), in
      connection with the enforcement (whether through negotiations, legal proceedings
      or otherwise) of this Agreement, the Notes and the other documents to be
      delivered hereunder, including, without limitation, reasonable fees and
      expenses

     

    
      
        
        

      

      
        
        

        
          

        

      

      
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     of
      counsel for the Agent and each Lender in connection with the enforcement of
      rights under this Section 9.04(a).

     

    (b)  The
      Company agrees to indemnify and hold harmless the Agent and each Lender and
      each
      of their Affiliates and their officers, directors, employees, agents and
      advisors (each, an "Indemnified
      Party")
      from
      and against any and all claims, damages, losses, liabilities and
      expenses (including, without limitation, reasonable fees and expenses of
      counsel) that may be incurred by or asserted or awarded against any Indemnified
      Party, in each case arising out of or in connection with or by reason of, or
      in
      connection with the preparation for a defense of, any investigation, litigation
      or proceeding arising out of, related to or in connection with the Notes, this
      Agreement, any of the transactions contemplated herein or the actual or proposed
      use of the proceeds of the Advances whether or not such investigation,
      litigation or proceeding is brought by any Borrower or the directors,
      shareholders or creditors of any Borrower or an Indemnified Party or any other
      Person or any Indemnified Party is otherwise a party thereto and whether or
      not
      the transactions contemplated hereby are consummated, except to the extent
      such
      claim, damage, loss, liability or expense results from such Indemnified Party's
      gross negligence or willful misconduct.

     

    (c)  Promptly
      after receipt by an Indemnified Party of notice of the commencement of any
      action or proceeding involving any claim, damage, loss or liability referred
      to
      in paragraph (b) above, such Indemnified Party will, if a claim in respect
      thereof is to be made against any Borrower, give written notice to such Borrower
      of the commencement of such action; provided
      that the
      failure of any Indemnified Party to give notice as provided in this Section
      9.04(c) shall not relieve such Borrower of its obligations under paragraph
      (b)
      above, except only to the extent that such Borrower actually suffers damage
      solely as a result of such failure to give notice. In the event that any such
      action or proceeding is brought against an Indemnified Party, unless in such
      Indemnified Party's sole judgment (based on advise of counsel) a conflict of
      interest between such Indemnified Party and a Borrower may exist in respect
      thereof, such Borrower shall be entitled to participate in and to assume the
      defense thereof with counsel reasonably satisfactory to such Indemnified Party.
      After notice from such Borrower to such Indemnified Party of its election to
      assume the defense thereof, such Borrower shall not be liable to such
      Indemnified Party for any legal or other expenses subsequently incurred by
      such
      Indemnified Party in connection with the defense thereof (other than reasonable
      costs of investigation). No Borrower shall consent to the entry of any dismissal
      or judgment, or enter into any settlement of any pending or threatened action
      or
      proceeding against any Indemnified Party that is or could have been a party
      and
      for whom indemnity could have been sought under paragraph (b) above without
      the
      consent of such Indemnified Party unless such judgment, dismissal or settlement
      includes as an unconditional term thereof the giving of a release from all
      liability in respect of such action or proceeding to such Indemnified Party;
      provided
      that
      each Indemnified Party agrees that, if a Borrower reconfirms to such Indemnified
      Party that it is indemnified from all liability in respect of any such action
      or
      proceeding referred to in the preceding sentence, such Indemnified Party will
      not enter into any settlement of any such action or proceeding without the
      consent of such Borrower (which consent shall not be unreasonably withheld).
      In
      addition to the foregoing, each Borrower shall not, in assuming the defense
      of
      any Indemnified Party, agree to any dismissal or settlement without the prior
      written consent of such Indemnified Party if such dismissal or settlement (A)
      would require any admission or 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
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    acknowledgement
      of culpability or wrongdoing by such Indemnified Party or (B) would provide
      for
      any nonmonetary relief to any Persons to be performed by such Indemnified
      Party.

     

    (d)  If
      any
      payment of principal of, or Conversion of, any Eurodollar Rate Advance or LIBO
      Rate Advance is made by any Borrower to or for the account of a Lender other
      than on the last day of the Interest Period for such Advance, as a result of
      (i) a payment or Conversion pursuant to Section 2.03(d), 2.10 or 2.12,
      (ii) a Commitment Increase pursuant to Section
      2.05(c), (iii) acceleration of the maturity of the Advances pursuant to
      Section 6.01 or for any other reason, or (iv) by an Eligible Assignee to a
      Lender other than on the last day of the Interest Period for such Advance upon
      an assignment of rights and obligations under this Agreement pursuant to Section
      9.07(a) as a result of a demand by the Company pursuant to Section 2.17,
      such Borrower shall, upon demand by such Lender (with a copy of such demand
      to
      the Agent), pay to the Agent for the account of such Lender any amounts required
      to compensate such Lender for any additional losses, costs or expenses that
      it
      may reasonably and actually incur as a result of such payment or Conversion,
      including, without limitation, any loss (other than loss of anticipated
      profits), cost or expense incurred by reason of the liquidation or reemployment
      of deposits or other funds acquired by any Lender to fund or maintain such
      Advance.

     

    (e)  Without
      prejudice to the survival of any other agreement of any Borrower hereunder,
      the
      agreements and obligations of such Borrower contained in Sections 2.11,
      2.14 and 9.04 shall survive the payment in full of principal, interest and
      all
      other amounts payable hereunder and relating to the Advances.

     

    SECTION
      9.05.   Right
      of Set-off.
      Upon
      (a) the occurrence and during the continuance of any Event of Default and
      (b) the making of the request or the granting of the consent specified by
      Section 6.01 to authorize the Agent to declare the Advances due and payable
      pursuant to the provisions of Section 6.01, each Lender is hereby
      authorized at any time and from time to time, to the fullest extent permitted
      by
      law, to set off and apply any and all deposits (general or special, time or
      demand, provisional or final but excluding trust accounts) at any time held
      and
      other indebtedness at any time owing by such Lender to or for the credit or
      the
      account of any Borrower against any and all of the obligations of such Borrower
      now or hereafter existing under this Agreement and the Note of such Borrower
      held by such Lender, whether or not such Lender shall have made any demand
      under
      this Agreement or such Note. Each Lender agrees promptly to notify the relevant
      Borrower after any such set-off and application, provided
      that the
      failure to give such notice shall not affect the validity of such set-off and
      application. The rights of each Lender under this Section are in addition to
      other rights and remedies (including, without limitation, other rights of
      set-off) that such Lender may have.

     

    SECTION
      9.06.   Binding
      Effect.
      This
      Agreement shall become effective (other than Sections 2.01 and 2.03, which
      shall only become effective upon satisfaction of the conditions precedent set
      forth in Section 3.01) when it shall have been executed by the Company and
      the Agent and when the Agent shall have been notified by each Initial Lender
      that such Initial Lender has executed it and thereafter shall be binding upon
      and inure to the benefit of each Borrower, the Agent and each Lender and their
      respective successors and assigns, except that no Borrower shall have the right
      to assign its rights hereunder or any interest herein without the prior written
      consent of the Lenders.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
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    SECTION
      9.07.   Assignments,
      Designations and Participations.
      (a)
      Each
      Lender may at any time, and if demanded by the Company pursuant to Section
      2.17,
      shall assign to one or more Persons all or a portion of its rights and
      obligations under this Agreement (including, without limitation, all or a
      portion of its Commitment, the Revolving Credit Advances owing to it and the
      Revolving Credit Note or Notes held by it); provided,
      however,
      that
      (i) each such assignment shall be of a constant, and not a varying,
      percentage of all rights and obligations under
      this Agreement (other than any right to make Competitive Bid Advances,
      Competitive Bid Advances owing to it and Competitive Bid Notes),
      (ii) except in the case of an assignment to a Person that, immediately
      prior to such assignment, was a Lender or an assignment of all of a Lender's
      rights and obligations under this Agreement, the amount of the Commitment of
      the
      assigning Lender being assigned pursuant to each such assignment (determined
      as
      of the date of the Assignment and Acceptance with respect to such assignment)
      shall in no event be less than $10,000,000 or an integral multiple of $1,000,000
      in excess thereof, (iii) each such assignment shall be to an Eligible
      Assignee, (iv) each such assignment made as a result of a demand by the Company
      pursuant to Section 2.17 shall be arranged by the Company after consultation
      with the Agent and shall be either an assignment of all of the rights and
      obligations of the assigning Lender under this Agreement or an assignment of
      a
      portion of such rights and obligations made concurrently with another such
      assignment or other such assignments that together cover all of the rights
      and
      obligations of the assigning Lender under this Agreement, (v) no Lender
      shall be obligated to make any such assignment as a result of a demand by the
      Company pursuant to Section 2.17 (A) so long as a Default shall have
      occurred and be continuing, (B) unless and until such Lender shall have
      received one or more payments from either the Company, any other Borrower or
      one
      or more Eligible Assignees in an aggregate amount at least equal to the
      aggregate outstanding principal amount of the Advances owing to such Lender,
      together with accrued interest thereon to the date of payment of such principal
      amount and all other amounts payable to such Lender under this Agreement
      (including, but not limited to, any amounts owing under Section 2.11 and Section
      2.14), and the Company shall have satisfied all of its other obligations under
      this Agreement as of the effective date of the assignment and (C) if any such
      Eligible Assignee is not an existing Lender, the Company shall have paid to
      the
      Agent a processing and recordation fee of $1,000, (vi) the parties to each
      such assignment shall execute and deliver to the Agent, for its acceptance
      and
      recording in the Register, an Assignment and Acceptance, together with any
      Revolving Credit Note subject to such assignment and, if such assignment does
      not occur as a result of a demand by the Company pursuant to Section 2.17 (in
      which case the Company shall pay the fee required by clause (v)(C) of this
      Section 9.07(a)), a processing and recordation fee of $3,500, and (vii) in
      the
      case of an assignment to any Affiliate of such Lender that is engaged in the
      business of commercial banking, notice thereof shall have been given to the
      Company and the Agent. Upon such execution, delivery, acceptance and recording,
      from and after the effective date specified in each 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, have the rights and obligations of a Lender hereunder
      and (y) the Lender 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 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).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
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    (b)  By
      executing and delivering an Assignment and Acceptance, the Lender assignor
      thereunder and the assignee thereunder confirm to and agree with each other
      and
      the other parties hereto as follows: (i) other than as provided in such
      Assignment and Acceptance, such assigning Lender makes no representation or
      warranty and assumes no responsibility with respect to any statements,
      warranties or representations made in or in connection with this Agreement
      or
      the execution, legality, validity, enforceability, genuineness, sufficiency
      or
      value of
      this
      Agreement or any other instrument or document furnished pursuant hereto;
      (ii) such assigning Lender makes no representation or warranty and assumes
      no responsibility with respect to the financial condition of any Borrower or
      the
      performance or observance by any Borrower of any of its obligations under this
      Agreement or any other instrument or document furnished pursuant hereto;
      (iii) such assignee confirms that it has received a copy of this Agreement,
      together with copies of the financial statements referred to in
      Section 4.01(e), the most recent financial statements referred to in
      Section 5.01(h) 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 the 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; (v) such assignee confirms that it is an Eligible
      Assignee; (vi) such assignee appoints and authorizes the Agent to take such
      action as agent on its behalf and to exercise such powers and discretion under
      this Agreement as are delegated to the Agent by the terms hereof, together
      with
      such powers and discretion as are reasonably incidental thereto; and
      (vii) such assignee agrees that it will perform in accordance with their
      terms all of the obligations that by the terms of this Agreement are required
      to
      be performed by it as a Lender.

     

    (c)  Upon
      its
      receipt of an Assignment and Acceptance executed by an assigning Lender and
      an
      assignee representing that it is an Eligible Assignee, together with any
      Revolving Credit Note or Notes subject to such assignment, the Agent shall,
      if
      such Assignment and Acceptance has been completed and is in substantially the
      form of Exhibit C hereto, (i) accept such Assignment and Acceptance,
      (ii) record the information contained therein in the Register and
      (iii) give prompt notice thereof to each Borrower.

     

    (d)  The
      Agent
      shall maintain at its address referred to in Section 9.02 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 Commitment of,
      and
      principal amount of the Advances 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 each Borrower, the 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 shall be available for inspection
      by
      any Borrower or any Lender at any reasonable time and from time to time upon
      reasonable prior notice.

     

    (e)  Each
      Lender may sell participations to one or more banks or other entities (other
      than any Borrower or any of its Affiliates) in or to all or a portion of its
      rights and obligations under this Agreement (including, without limitation,
      all
      or a portion of its Commitment, the Advances owing to it and any Note or Notes
      held by it); provided,
      however,
      that
      (i) such Lender's obligations under this Agreement (including, without
      limitation, its 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
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    Commitment
      to any Borrower hereunder) shall remain unchanged, (ii) such Lender shall
      remain solely responsible to the other parties hereto for the performance of
      such obligations, (iii) such Lender shall remain the holder of any such
      Note for all purposes of this Agreement, (iv) each Borrower, the Agent and
      the other Lenders shall continue to deal solely and directly with such Lender
      in
      connection with such Lender's rights and obligations under this Agreement and
      (v) no participant under any such participation shall have any right to
      approve any amendment or waiver
      of
      any provision of this Agreement or any Note, or any consent to any departure
      by
      any Borrower therefrom, except to the extent that such amendment, waiver or
      consent would reduce the principal of, or interest on, the Advances or any
      fees
      or other amounts payable hereunder, in each case to the extent subject to such
      participation, or postpone any date fixed for any payment of principal of,
      or
      interest on, the Advances or any fees or other amounts payable hereunder, in
      each case to the extent subject to such participation. Each Lender agrees that,
      promptly upon selling any such participation in accordance with this Section
      9.07(e), such Lender shall deliver written notice thereof to the
      Company.

     

    (f)  Any
      Lender may, in connection with any assignment or participation or proposed
      assignment or participation pursuant to this Section 9.07, disclose to the
      assignee, or participant or proposed assignee, or participant, any information
      relating to the Company or any other Borrower furnished to such Lender by or
      on
      behalf of such Borrower; provided
      that,
      prior to any such disclosure, the assignee, or participant or proposed assignee
      or participant shall agree to preserve the confidentiality of any Confidential
      Information relating to such Borrower received by it from such
      Lender.

     

    (g)  Notwithstanding
      any other provision set forth in this Agreement, any Lender may at any time
      create a security interest in all or any portion of its rights under this
      Agreement (including, without limitation, the Advances owing to it and any
      Note
      or Notes held by it) in favor of any Federal Reserve Bank in accordance with
      Regulation A of the Board of Governors of the Federal Reserve
      System.

     

    SECTION
      9.08.   Designated
      Subsidiaries.
      (a) Designation.
      The
      Company may at any time, and from time to time, upon
      not
      less than 15 Business Days’ notice, notify the Agent that the Company intends to
      designate a Subsidiary
      as a "Designated Subsidiary" for purposes of this Agreement. On or after the
      date that is 15 Business Days after such notice, upon
      delivery
      to the Agent and each Lender of
      a
      Designation Letter duly executed by the Company and the respective Subsidiary
      and substantially in the form of Exhibit E hereto, such Subsidiary shall
      thereupon become a "Designated Subsidiary" for purposes of this Agreement and,
      as such, shall have all of the rights and obligations of a Borrower hereunder.
      The Agent shall promptly notify each Lender of the Company’s notice of such
      pending designation by the Company and the identity of the respective
      Subsidiary. Following
      the giving of any notice pursuant to this Section 9.08(a), if the designation
      of
      such Designated Subsidiary obligates the Agent or any Lender to comply with
      "know your customer" or similar identification procedures in circumstances
      where
      the necessary information is not already available to it, the Company shall,
      promptly upon the request of the Agent or any Lender, supply such documentation
      and other evidence as is reasonably requested by the Agent or any Lender in
      order for the Agent or such Lender to carry out and be satisfied it has complied
      with the results of all necessary "know your customer" or other similar checks
      under all applicable laws and regulations.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
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    If
      the
      Company shall designate as a Designated Subsidiary hereunder any Subsidiary
      not
      organized under the laws of the United States or any State thereof, any Lender
      may, with notice to the Agent and the Company, fulfill its Commitment by causing
      an Affiliate of such Lender organized in the same jurisdiction as such
      Designated Subsidiary or another foreign jurisdiction agreed to by such Lender
      and the Company, to act as the Lender in respect of such Designated Subsidiary,
      and such Lender shall, to the extent of Advances made to such Designated
      Subsidiary, be deemed for all purposes hereof to have satisfied its Commitment
      hereunder in respect of such Designated Subsidiary.

     

    As
      soon
      as practicable after receiving notice from the Company or the Agent of the
      Company's intent to designate a Subsidiary as a Designated Subsidiary, and
      in
      any event no later than five Business Days after the delivery of such notice,
      for a Designated Subsidiary that is organized under the laws of a jurisdiction
      other than of the United States or a political subdivision thereof, any Lender
      that may not legally lend to, establish credit for the account of and/or do
      any
      business whatsoever with such Designated Subsidiary directly or through an
      Affiliate of such Lender as provided in the immediately preceding paragraph
      (a
      "Protesting Lender") shall so notify the Company and the Agent in writing.
      With
      respect to each Protesting Lender, the Company shall, effective on or before
      the
      date that such Designated Subsidiary shall have the right to borrow hereunder,
      either (A) notify the Agent and such Protesting Lender that the Commitments
      of
      such Protesting Lender shall be terminated; provided
      that
      such Protesting Lender shall have received payment of an amount equal to the
      outstanding principal of its Advances, accrued interest thereon, accrued fees
      and all other amounts payable to it hereunder, from the assignee (to the extent
      of such outstanding principal and accrued interest and fees) or the Company
      or
      the relevant Designated Subsidiary (in the case of all other amounts), or (B)
      cancel its request to designate such Subsidiary as a "Designated Subsidiary"
      hereunder.

     

    (b)  Termination.
      Upon
      the payment and performance in full of all of the indebtedness, liabilities
      and
      obligations under this Agreement and relating to the Advances of any Designated
      Subsidiary then, so long as at the time no Notice of Revolving Credit Borrowing
      or Notice of Competitive Bid Borrowing in respect of such Designated Subsidiary
      is outstanding, such Subsidiary's status as a "Designated Subsidiary" shall
      terminate upon notice to such effect from the Agent to the Lenders (which notice
      the Agent shall give promptly upon its receipt of a request therefor from the
      Company). Thereafter, the Lenders shall be under no further obligation to make
      any Advance hereunder to such Designated Subsidiary.

     

    SECTION
      9.09.   Confidentiality.
      Neither
      the Agent nor any Lender shall disclose any Confidential Information to any
      other Person without the consent of the relevant Borrower, other than
      (a) to the Agent's or such Lender's Affiliates and their respective
      officers, directors, employees, agents and advisors and, as contemplated by
      Section 9.07(f), to actual or prospective assignees and participants, and
      then only on a need-to-know and confidential basis in connection with the
      transactions contemplated by this Agreement, (b) pursuant to subpoena or other
      legal process or as otherwise required by law (provided that the Person making
      such disclosure shall, to the extent permitted by law, provide the Company
      with
      notice thereof), and (c) as requested or required by any state, federal or
      foreign authority or examiner regulating banks or banking having jurisdiction
      over any Lender.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        62

      

    

    SECTION
      9.10.   Governing
      Law.
      This
      Agreement and the Notes shall be governed by, and construed in accordance with,
      the laws of the State of New York.

     

    SECTION
      9.11.   Execution
      in Counterparts.
      This
      Agreement may be executed in any number of counterparts and by different parties
      hereto in separate counterparts, each of which when so executed shall be deemed
      to be an original and all of which taken together shall constitute one and
      the
      same agreement. Delivery of an executed counterpart of a signature page
to
      this
      Agreement by telecopier or other electronic communication shall be effective
      as
      delivery of a manually executed counterpart of this Agreement.

     

    SECTION
      9.12.   Jurisdiction,
      Etc. (a)
      Each of
      the parties hereto hereby irrevocably and unconditionally submits to the
      exclusive jurisdiction only of any New York State court or federal court of
      the United States of America sitting in New York City, and any appellate court
      from any thereof, in any action or proceeding arising out of or relating to
      this
      Agreement or the Notes, or for recognition or enforcement of any judgment,
      and
      each of the parties hereto hereby irrevocably and unconditionally agrees that
      all claims in respect of any such action or proceeding may be heard and
      determined only in any such New York State court or, to the extent
      permitted by law, in such federal court. Notwithstanding the foregoing sentence,
      each of the parties hereto agrees that a final judgment in any such action
      or
      proceeding shall be conclusive and may be enforced in other jurisdictions by
      suit on the judgment or in any other manner provided by law. Each Designated
      Subsidiary that has its principal place of business outside of the United States
      of America hereby agrees that service of process in any such action or
      proceeding may be made upon the Company at its offices specified in Section
      9.02
      (the "Process
      Agent")
      and
      each such Designated Subsidiary hereby irrevocably appoints the Process Agent
      its authorized agent to accept such service of process, and agrees that the
      failure of the Process Agent to give any notice of any such service shall not
      impair or affect the validity of such service or of any judgment rendered in
      any
      action or proceeding based thereon. Each Borrower hereby further irrevocably
      consents to the service of process in any action or proceeding in such courts
      by
      the mailing thereof by any parties hereto by registered or certified mail,
      postage prepaid, to such Borrower at its address set forth in Section 9.02.
      Nothing in this Agreement shall affect any right that any party may otherwise
      have to serve legal process in any other manner permitted by law. To the extent
      that any Designated Subsidiary has or hereafter may acquire any immunity from
      jurisdiction of any court or from any legal process (whether through service
      or
      notice, attachment prior to judgment, attachment in aid of execution, execution
      or otherwise) with respect to itself or its property, such Designated Subsidiary
      hereby irrevocably waives such immunity in respect of its obligations under
      this
      Agreement.

     

    (b)  Each
      of
      the parties hereto irrevocably and unconditionally waives, to the fullest extent
      it may legally and effectively do so, any objection that it may now or hereafter
      have to the laying of venue of any suit, action or proceeding arising out of
      or
      relating to this Agreement or the Notes in any New York State or federal
      court of the United States of America sitting in New York City. Each of the
      parties hereto hereby irrevocably waives, to the fullest extent permitted by
      law, the defense of an inconvenient forum to the maintenance of such action
      or
      proceeding in any such court.

     

    SECTION
      9.13.   Patriot
      Act.
      Each
      Lender hereby notifies each Borrower that pursuant to the requirements of the
      USA Patriot Act (Title III of Pub. L. 107-56 (signed into law 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        63

      

    

     

    October
      26, 2001)) (the "Act"), it is required to obtain, verify and record information
      that identifies each borrower, guarantor or grantor (the "Loan Parties"), which
      information includes the name and address of each Loan Party and other
      information that will allow such Lender to identify such Loan Party in
      accordance with the Act.

     

    [THE
      REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

     

    
 

    
      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

          64

        

      

      IN
        WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
        by
        their respective officers thereunto duly authorized, as of the date first
        above
        written.

       

      

       

      
        	 	
                THE
                  HERSHEY COMPANY

                 

              
	 	
                By:
                  /s/
                  David J. West

                Title:
                  Sr. Vice President, CFO

                 

              
	 	
                By:
                  /s/
                  Rosa C. Stroh

                Title:
                  Vice President, Treasurer

              
	 	
                 

                CITIBANK,
                  N.A., 

                as
                  Administrative Agent

                 

              
	 	
                By:
                  /s/
                  Anish M. Shah

                Title:
                  Vice President

              
	
                Lenders

              	 
	 	
                CITIBANK,
                  N.A.

                 

              
	 	
                By:
                  /s/
                  Anish M. Shah

                Title:
                  Vice President

                 

              
	 	
                BANK
                  OF AMERICA, N.A.

                 

              
	 	
                By:
                  /s/
                  J. Casey Cosgrove

                Title:
                  Vice President

                 

              
	 	
                UBS
                  LOAN FINANCE LLC

                 

              
	 	
                By:
                  /s/
                  Richard L. Tavrow

                Title:
                  Director

                 

              
	 	
                By:
                  /s/
                  Irja R. Otsa

                Title:
                  Associate Director

                 

              
	 	
                PNC
                  BANK, NATIONAL ASSOCIATION

                 

              
	 	
                By:
                  /s/
                  Sean P. Convery, CFA

                Title:
                  Vice President

                 

              
	 	
                SUMITOMO
                  MITSUI BANKING CORPORATION

                 

              
	 	
                By:
                  /s/
                  David A. Buck

                Title:
                  Senior Vice President

              

      

      

      
        
          
          

        

        
          
          

          
            
65

        

        
          
          

        

      

      
        	 	
                BARCLAYS
                  BANK PLC

                 

              
	 	
                By:
                  /s/
                  Nicholas Bell

                Title:
                  Director

                 

              
	 	
                NORTHERN
                  TRUST COMPANY

                 

              
	 	
                By:
                  /s/
                  John Konstantos

                Title:
                  Vice President

                 

              
	 	
                U.S.
                  AGBANK, FCB, AS DISCLOSED AGENT

                 

              
	 	
                By:
                  /s/
                  Patrick Zeka

                Title:
                  Vice President

                 

              
	 	
                JPMORGAN
                  CHASE BANK, N.A.

                 

              
	 	
                By:
                  /s/
                  Anthony White

                Title:
                  Vice President

                 

              
	 	
                CIBC
                  INC.

                 

              
	 	
                By:
                  /s/
                  Dominic J. Sorresso

                Title:
                  Executive Director

              

      

      

       

       

       

       

       

       

       

       

    

    
      
        
        

      

      
        
        

        
          

        

      

       

    

    
      
        
        

      

      
        
        

      

      

        SCHEDULE
          I TO THE AMENDMENT AND RESTATEMENT

         

        COMMITMENTS
          AND APPLICABLE LENDING OFFICES

        

        

         

        
          	
                  Name
                    of Initial Lender

                	
                  Commitment

                	
                  Domestic
                    Lending Office

                	
                  Eurodollar
                    Lending Office

                
	
                  Bank
                    of America, N.A.

                	
                  $200,000,000

                	
                  901
                    Main Street, 14th
                    Floor

                  Dallas,
                    TX 75202

                  Attn:
                    Sam Brown

                  T:
                    (214) 209-9262

                  F:
                    (214) 290-9519

                	
                  901
                    Main Street, 14th
                    Floor

                  Dallas,
                    TX 75202

                  Attn:
                    Sam Brown

                  T:
                    (214) 209-9262

                  F:
                    (214) 290-9519

                
	
                  Barclays
                    Bank PLC

                	
                  $80,000,000

                	
                  200
                    Cedar Knolls Road

                  Whippany,
                    NJ 07981

                  Attn:
                    Jan Becker

                  T:
                    (973) 576 3795

                  F:
                    (973) 576 3014

                	
                  200
                    Cedar Knolls Road

                  Whippany,
                    NJ 07981

                  Attn:
                    Jan Becker

                  T:
                    (973) 576 3795

                  F:
                    (973) 576 3014

                
	
                  CIBC 
                    Inc.

                	
                  $50,000,000

                	
                  300
                    Madison Avenue

                  425
                    Lexington Avenue

                  New
                    York, NY 10017

                  Attn:
                    Dominic Sorresso

                  T:
                    (212) 856-4133

                  F:
                    (212) 856-3991

                	
                  300
                    Madison Avenue

                  425
                    Lexington Avenue

                  New
                    York, NY 10017

                  Attn:
                    Dominic Sorresso

                  T:
                    (212) 856-4133

                  F:
                    (212) 856-3991

                
	
                  Citibank,
                    N.A.

                	
                  $200,000,000

                	
                  Two
                    Penns Way

                  New
                    Castle, DE 19720

                  Attn:
                    Bank Loan Syndications

                  T:
                    (302) 894-6029

                  F:
                    (212) 994-0961

                	
                  Two
                    Penns Way

                  New
                    Castle, DE 19720

                  Attn:
                    Bank Loan Syndications

                  T:
                    (302) 894-6029

                  F:
                    (212) 994-0961

                
	
                  JPMorgan
                    Chase Bank, N.A. 

                	
                  $50,000,000

                	
                  270
                    Park Avenue

                  New
                    York, NY 10017

                  Attn:
                    Claudia Correa

                  T:
                    (713) 750.2128

                  F:
                    (713) 750.2782

                	
                  270
                    Park Avenue

                  New
                    York, NY 10017

                  Attn:
                    Claudia Correa

                  T:
                    (713) 750.2128

                  F:
                    (713) 750.2782

                
	
                  Northern
                    Trust Company

                	
                  $75,000,000

                	
                  50
                    S. LaSalle Street

                  Chicago,
                    IL 60675

                  Attn:
                    Linda Honda

                  T:
                    (312) 444-4715

                  F:
                    (312) 630-1566

                	
                  50
                    S. LaSalle Street

                  Chicago,
                    IL 60675

                  Attn:
                    Linda Honda

                  T:
                    (312) 444-4715

                  F:
                    (312) 630-1566

                
	
                  PNC
                    Bank, National Association

                	
                  $85,000,000

                	
                  500
                    First Avenue

                  Pittsburgh,
                    PA 15219

                  Attn:
                    Marc Accamando

                  T:
                    (412) 768-7647

                  F:
                    (412) 768-4586

                	
                  500
                    First Avenue

                  Pittsburgh,
                    PA 15219

                  Attn:
                    Marc Accamando

                  T:
                    (412) 768-7647

                  F:
                    (412) 768-4586

                

        

         

         

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        
          	
                  Sumitomo
                    Mitsui Banking Corporation

                	
                  $85,000,000

                	
                  277
                    Park Avenue

                  New
                    York, NY 10172

                  Attn:
                    Ivelisse Mena-Garcia

                  T:
                    (212) 224-4317

                  F:
                    (212) 224-5197

                	
                  277
                    Park Avenue

                  New
                    York, NY 10172

                  Attn:
                    Ivelisse Mena-Garcia

                  T:
                    (212) 224-4317

                  F:
                    (212) 224-5197

                
	
                  UBS
                    Loan Finance LLC

                	
                  $200,000,000

                	
                  677
                    Washington Blvd.

                  Stamford,
                    CT 06901

                  Attn:
                    Denise Conzo

                  T:
                    (203) 719-3853

                  F:
                    (203) 719-3888

                	
                  677
                    Washington Blvd.

                  Stamford,
                    CT 06901

                  Attn:
                    Denise Conzo

                  T:
                    (203) 719-3853

                  F:
                    (203) 719-3888

                
	
                  U.S.
                    AgBank, FCB, as Disclosed Agent

                	
                  $75,000,000

                	
                  245
                    North Waco

                  Wichita,
                    KS 67202

                  Attn:
                    Sandy Lahar

                  T:
                    (316) 266-5172

                  F:
                    (316) 291-5085

                	
                  245
                    North Waco

                  Wichita,
                    KS 67202

                  Attn:
                    Sandy Lahar

                  T:
                    (316) 266-5172

                  F:
                    (316) 291-5085

                

        

        

        TOTAL
          OF                                                     
 $1,100,000,000

        COMMITMENTS

         

      

    

    
      
        
        

      

       

       

    

     

    
       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

    

    SCHEDULE
      3.01(b)

     

    DISCLOSED
      LITIGATION

     

    TO
      BE
      UPDATED BY COMPANY

    

    NONE

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

     

    

    SCHEDULE
      4.01(c)

     

    REQUIRED
      AUTHORIZATIONS AND APPROVALS

     

    TO
      BE
      UPDATED BY COMPANY

    

    NONE

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    

      EXHIBIT
        A-1 - FORM OF

      REVOLVING
        CREDIT

      PROMISSORY
        NOTE

       

      U.S.$_______________    
  Dated:
        December 8, 2006

       

      FOR
        VALUE
        RECEIVED, the undersigned, [NAME OF BORROWER], a _________________________
        corporation (the "Borrower"),
        HEREBY PROMISES TO PAY to the order of _________________________ (the
        "Lender")
        for
        the account of its Applicable Lending Office on the Termination Date (each
        as
        defined in the Credit Agreement referred to below) the principal sum of
        U.S.$[amount of the Lender's Commitment in figures] or, if less, the aggregate
        principal amount of the Revolving Credit Advances (as defined in the Credit
        Agreement referred to below) made by the Lender to the Borrower pursuant
        to the
        Five Year Credit Agreement dated as of December 8, 2006 among The Hershey
        Company, the Lender and certain other lenders party thereto, Citibank, N.A.,
        as
        administrative agent (the "Agent")
        for
        the Lender and such other lenders, Bank of America, N.A., as syndication
        agent,
        UBS Loan Finance LLC, as documentation agent, and Citigroup Global Markets
        Inc.
        and Banc America Securities LLC, as joint lead arrangers and joint book managers
        (as amended or modified from time to time, the "Credit
        Agreement";
        the
        terms defined therein being used herein as therein defined), outstanding
        on the
        Termination Date.

       

      The
        Borrower promises to pay interest on the unpaid principal amount of each
        Revolving Credit Advance from the date of such Revolving Credit Advance until
        such principal amount is paid in full, at such interest rates, and payable
        at
        such times, as are specified in the Credit Agreement.

       

      Both
        principal and interest are payable in lawful money of the United States of
        America to Citibank, N.A., as Agent, at the Agent's Account in same day funds.
        Each Revolving Credit Advance owing to the Lender by the Borrower pursuant
        to
        the Credit Agreement, and all payments made on account of principal thereof,
        shall be recorded by the Lender and, prior to any transfer hereof, endorsed
        on
        the grid attached hereto which is part of this Promissory Note.

       

      This
        Promissory Note is one of the Revolving Credit Notes referred to in, and
        is
        entitled to the benefits of, the Credit Agreement. The Credit Agreement,
        among
        other things, (i) provides for the making of Revolving Credit Advances by
        the Lender to the Borrower and each other "Borrower" thereunder from time
        to
        time in an aggregate amount not to exceed at any time outstanding the U.S.
        dollar amount first above mentioned, the indebtedness of the Borrower resulting
        from each such Revolving Credit Advance being evidenced by this Promissory
        Note,
        and (ii) contains provisions in Sections 6.01 and 2.10, respectively, for
        acceleration of the maturity hereof upon the happening of certain stated
        events
        and also for prepayments on account of principal hereof prior to the maturity
        hereof upon the terms and conditions therein specified. 

       

      The
        Borrower hereby waives presentment, demand, protest and notice of any kind.
        No
        failure to exercise, and no delay in exercising, any rights hereunder on
        the
        part of the holder hereof shall operate as a waiver of such rights.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

      This
        promissory note shall be governed by, and construed in accordance with the
        laws
        of the State of New York. 

       

      

      [NAME
        OF
        BORROWER]

       

      By____________________________    

      Title:
        

       

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      ADVANCES
        AND PAYMENTS OF PRINCIPAL

      

      

      

      

      
        	
                 

                 

                Date

              	
                 

                 

                Amount

                of

                Advance

              	
                 

                 

                Interest

                Rate

              	
                 

                 

                Interest

                Period

              	
                 

                 

                Amount
                  of

                Principal
                  Paid

                or
                  Prepaid

              	
                 

                 

                Unpaid
                  Principal

                Balance

              	
                 

                 

                Notation
                  

                Made
                  By

              
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      EXHIBIT
        A-2 - FORM OF

      COMPETITIVE
        BID

      PROMISSORY
        NOTE

       

      U.S.$_______________     
 Dated:
        _______________

       

      FOR
        VALUE
        RECEIVED, the undersigned, [NAME OF BORROWER], a _________________________
        corporation (the "Borrower"),
        HEREBY PROMISES TO PAY to the order of _________________________ (the
        "Lender")
        for
        the account of its Applicable Lending Office (as defined in the Five Year
        Credit
        Agreement dated as of December 8, 2006 among The Hershey Company, the Lender
        and
        certain other lenders party thereto, Citibank, N.A., as administrative agent
        (the "Agent")
        for
        the Lender and such other lenders, Bank of America, N.A., as syndication
        agent,
        UBS Loan Finance LLC, as documentation agent, and Citigroup Global Markets
        Inc.
        and Banc America Securities LLC, as joint lead arrangers and joint book managers
        (as amended or modified from time to time, the "Credit
        Agreement";
        the
        terms defined therein being used herein as therein defined)), on
        _______________, the principal amount of U.S.$_______________.

       

      The
        Borrower promises to pay interest on the unpaid principal amount hereof from
        the
        date hereof until such principal amount is paid in full, at the interest
        rate
        and payable on the interest payment date or dates provided below:

       

      Interest
        Rate: _____% per annum (calculated on the basis of a year of _____ days for
        the
        actual number of days elapsed).

       

      Both
        principal and interest are payable in lawful money of the United States of
        America to Citibank, N.A. for the account of the Lender at the Agent's Account
        in same day funds.

       

      This
        Promissory Note is one of the Competitive Bid Notes referred to in, and is
        entitled to the benefits of, the Credit Agreement. The Credit Agreement,
        among
        other things, contains provisions in Section 6.01 for acceleration of the
        maturity hereof upon the happening of certain stated events. 

       

      The
        Borrower hereby waives presentment, demand, protest and notice of any kind.
        No
        failure to exercise, and no delay in exercising, any rights hereunder on
        the
        part of the holder hereof shall operate as a waiver of such rights.

       

      This
        Promissory Note shall be governed by, and construed in accordance with, the
        laws
        of the State of New York.

       

      [NAME
        OF
        BORROWER]

       

      By_______________________________    

      Title:
        

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      EXHIBIT
        B-1 - FORM OF NOTICE OF

      REVOLVING
        CREDIT BORROWING

       

      Citibank,
        N.A., as Agent

        
        for the Lenders party

        
        to the Credit Agreement

        
        referred to below

      Two
        Penn’s Way

      New
        Castle, Delaware 19720     
 [Date]

       

      Attention:
        Bank Loan Syndications

       

      Ladies
        and Gentlemen:

       

      The
        undersigned, [Name of Borrower], refers to the Five Year Credit Agreement,
        dated
        as of December 8, 2006 (as amended or modified from time to time, the
        "Credit
        Agreement",
        the
        terms defined therein being used herein as therein defined), among The Hershey
        Company, certain Lenders party thereto, Citibank, N.A., as administrative
        agent
        (the "Agent")
        for
        said Lenders, Bank of America, N.A., as syndication agent, UBS Loan Finance
        LLC,
        as documentation agent, and Citigroup Global Markets Inc. and Banc America
        Securities LLC, as joint lead arrangers and joint book managers, and hereby
        gives you notice, irrevocably, pursuant to Section 2.02 of the Credit
        Agreement that the undersigned hereby requests a Revolving Credit Borrowing
        under the Credit Agreement, and in that connection sets forth below the
        information relating to such Revolving Credit Borrowing (the "Proposed
        Revolving Credit Borrowing")
        as
        required by Section 2.02(a) of the Credit Agreement:

       

      (i)
        The
        Business Day of the Proposed Revolving Credit Borrowing is
        _______________.

       

      (ii)
        The
        Type of Advances comprising the Proposed Revolving Credit Borrowing is [Base
        Rate Advances] [Eurodollar Rate Advances].

       

      (iii)
        The
        aggregate amount of the Proposed Revolving Credit Borrowing is
        $_______________.

       

      [(iv)
        The
        initial Interest Period for each Eurodollar Rate Advance made as part of
        the
        Proposed Revolving Credit Borrowing is _____ month[s].]

       

      The
        undersigned hereby certifies that the following statements are true on the
        date
        hereof, and will be true on the date of the Proposed Revolving Credit
        Borrowing:

       

      (A)
        the
        representations and warranties of the Company contained in Section 4.01 of
        the Credit Agreement (except the representations set forth in the last sentence
        of subsection (e) thereof and in subsection (f) thereof (other than
        clause (i)(B) thereof) are correct, before and after giving effect to the
        Proposed Revolving Credit Borrowing and to the application of the proceeds
        therefrom, as though made on and as of such date* [and
        the

       

      ____________________________________

      *
        This language should be added only if the Borrower is a Designated
        Subsidiary.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

       

      representations
        and warranties contained in the Designation Letter of the undersigned is
        correct, before and after giving effect to the Proposed Revolving Credit
        Borrowing and to the application of the proceeds therefrom, as though made
        on
        and as of such date]; and

       

      (B)
        no
        event has occurred and is continuing, or would result from such Proposed
        Revolving Credit Borrowing or from the application of the proceeds therefrom,
        that constitutes a Default.

       

      Very
        truly yours,

       

      [NAME
        OF
        BORROWER]

       

      By_________________________    

      Title:

       

      
        
           

        

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      EXHIBIT
        B-2 - FORM OF NOTICE OF

      COMPETITIVE
        BID BORROWING

       

      Citibank,
        N.A., as Agent

        
        for the Lenders party

        
        to the Credit Agreement

        
        referred to below

      Two
        Penn’s Way

      New
        Castle, Delaware 19720               
         [Date]

      

       

      Attention:
        Bank Loan Syndications

       

      Ladies
        and Gentlemen:

       

      The
        undersigned, [Name of Borrower], refers to the Five Year Credit Agreement,
        dated
        as of December 8, 2006 (as amended or modified from time to time, the
        "Credit
        Agreement",
        the
        terms defined therein being used herein as therein defined), among The Hershey
        Company, certain Lenders party thereto, Citibank, N.A., as administrative
        agent
        (the "Agent")
        for
        said Lenders, Bank of America, N.A., as syndication agent, UBS Loan Finance
        LLC,
        as documentation agent, and Citigroup Global Markets Inc. and Banc America
        Securities LLC, as joint lead arrangers and joint book managers, and hereby
        gives you notice, irrevocably, pursuant to Section 2.03 of the Credit
        Agreement that the undersigned hereby requests a Competitive Bid Borrowing
        under
        the Credit Agreement, and in that connection sets forth the terms on which
        such
        Competitive Bid Borrowing (the "Proposed
        Competitive Bid Borrowing")
        is
        requested to be made:

       

      
        
          
             

          

        

      

      (A) Date
        of
        Competitive Bid
        Borrowing                                                                                                           ________________________

       

      (B) Principal
        Amount

           
 of
        Competitive Bid Borrowing                                                                                       
_____________________

       

      (C) [Maturity
        Date] [Interest Period]*                                                                                   _____________________

       

      (D) Interest
        Rate Basis

            
(LIBO
        Rate or Fixed
        Rate)                                                                                                                            
________________________

       

      (E) Interest
        Payment
        Date(s)                                                                                                                              ________________________

       

      (F) ___________________                          ________________________

       

      (G) ___________________                          ________________________

                 
        

      (H) ___________________                        
         ________________________

       

      __________________________________

      * 
Which
        shall be subject to the definition
        of "Interest Period" and end on or before the Termination
        Date.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

       

      The
        undersigned hereby certifies that the following statements are true on the
        date
        hereof, and will be true on the date of the Proposed Competitive Bid
        Borrowing:

       

                      (a) 
        the representations and warranties of the Company contained in Section 
        4.01 (except the representations set forth in the last sentence of subsection
        (e) thereof  and in subsection (f) thereof (other than clause (i)(B)
        thereof)) are correct, before and after giving effect to the Proposed
        Competitive Bid Borrowing and to the application of the proceeds therefrom,
        as
        though made on and as of such date**  [and
        the
        representations and warranties contained in the Designation Letter of the
        undersigned is correct, before and after giving effect to the Proposed
        Competitive Bid Borrowing and to the application of the proceeds therefrom,
        as
        though made on and as of such date];

       

                   
         (b)
        no
        event has occurred and is continuing, or would result from the Proposed
        Competitive Bid Borrowing or from the application of the proceeds therefrom,
        that constitutes a Default;

       

      (c)
        no
        event has occurred and no circumstance exists as a result of which the
        information concerning the undersigned that has been provided to the Agent
        and
        each Lender by the undersigned in connection with the Credit Agreement would
        include an untrue statement of a material fact or omit to state any material
        fact or any fact necessary to make the statements contained therein, in the
        light of the circumstances under which they were made, not misleading;
        and

       

        
(d)
        the
        aggregate amount of the Proposed Competitive Bid Borrowing and all other
        Borrowings to be made on the same day under the Credit Agreement is within
        the
        aggregate amount of the unused Commitments of the Lenders.

       

      The
        undersigned hereby confirms that the Proposed Competitive Bid Borrowing is
        to be
        made available to it in accordance with Section 2.03(a)(v) of the Credit
        Agreement.

       

      Very
        truly yours,

       

      [NAME
        OF
        BORROWER]

       

      By_____________________________    

      Title:

       

      

       

      ___________________________________

        
          *
            *  This language should be added only if the Borrower is a Designated
            Subsidiary.

           

          
            
              
              

            

            
              
              

              
                

              

            

            
              
              

            

          

        

        
           

           

        

      

      EXHIBIT
        C
        - FORM OF

      ASSIGNMENT
        AND ACCEPTANCE

       

       
        [Date]

       

      

      Reference
        is made to the Five Year Credit Agreement dated as of December 8, 2006 (as
        amended or modified from time to time, the "Credit
        Agreement")
        among
        The Hershey Company, a Delaware corporation (the "Company"),
        the
        Lenders (as defined in the Credit Agreement), Citibank, N.A., as administrative
        agent (the "Agent")
        for
        the Lenders, Bank of America, N.A., as syndication agent, UBS Loan Finance
        LLC,
        as documentation agent, and Citigroup Global Markets Inc. and Banc America
        Securities LLC, as joint lead arrangers and joint book managers. Terms defined
        in the Credit Agreement are used herein with the same meaning.

       

      The
        "Assignor" and the "Assignee" referred to on Schedule I hereto agree as
        follows:

       

      1. 
The
        Assignor hereby sells and assigns to the Assignee, and the Assignee hereby
        purchases and assumes from the Assignor, an interest in and to the Assignor's
        rights and obligations under the Credit Agreement as of the date hereof (other
        than in respect of Competitive Bid Advances and Competitive Bid Notes) equal
        to
        the percentage interest specified on Schedule 1 hereto of all outstanding
        rights
        and obligations under the Credit Agreement (other than in respect of Competitive
        Bid Advances and Competitive Bid Notes). After giving effect to such sale
        and
        assignment, the Assignee's Commitment and the amount of the Revolving Credit
        Advances owing to the Assignee will be as set forth on Schedule 1
        hereto.

       

      2. 
The
        Assignor (i) represents and warrants that it is the legal and beneficial
        owner of the interest being assigned by it hereunder and that such interest
        is
        free and clear of any adverse claim; (ii) makes no representation or
        warranty and assumes no responsibility with respect to any statements,
        warranties or representations made in or in connection with the Credit Agreement
        or the execution, legality, validity, enforceability, genuineness, sufficiency
        or value of the Credit Agreement or any other instrument or document furnished
        pursuant thereto; (iii) makes no representation or warranty and assumes no
        responsibility with respect to the financial condition of any Borrower or
        the
        performance or observance by any Borrower of any of its obligations under
        the
        Credit Agreement or any other instrument or document furnished pursuant thereto;
        and (iv) attaches each Revolving Credit Note of a Borrower held by the
        Assignor and requests that the Agent exchange each Revolving Credit Note
        for a
        new Revolving Credit Note of such Borrower payable to the order of the Assignee
        in an amount equal to the Commitment assumed by the Assignee pursuant hereto
        or
        new Revolving Credit Notes of such Borrower payable to the order of the Assignee
        in an amount equal to the Commitment assumed by the Assignee pursuant hereto
        and
        the Assignor in an amount equal to the Commitment retained by the Assignor
        under
        the Credit Agreement, respectively, as specified on Schedule 1
        hereto.

       

      3. 
The
        Assignee (i) represents and warrants that it is legally authorized to enter
        into this Assignment and Acceptance; (ii) confirms that it has received a
        copy
        of the Credit Agreement, together with copies of the financial statements
        referred to in Section 4.01(e) thereof, 

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

       

      the
        most
        recent financial statements referred to in Section 5.01(h) thereof and such
        other documents and information as it has deemed appropriate to make its
        own
        credit analysis and decision to enter into this Assignment and Acceptance;
        (iii) agrees that it will, independently and without reliance upon the
        Agent, the Assignor or any other Lender and based on such documents and
        information as it shall deem appropriate at the time, continue to make its
        own
        credit decisions in taking or not taking action under the Credit Agreement;
        (iv) confirms that it is an Eligible Assignee; (v) appoints and
        authorizes the Agent to take such action as agent on its behalf and to exercise
        such powers and discretion under the Credit Agreement as are delegated to
        the
        Agent by the terms thereof, together with such powers and discretion as are
        reasonably incidental thereto; (vi) agrees that it will perform in
        accordance with their terms all of the obligations that by the terms of the
        Credit Agreement are required to be performed by it as a Lender; and
        (vii) attaches any U.S. Internal Revenue Service forms required under
        Section 2.14 of the Credit Agreement.

       

      4. 
Following
        the execution of this Assignment and Acceptance, it will be delivered to
        the
        Agent for acceptance and recording by the Agent pursuant to Section 9.07
        of the
        Credit Agreement. The effective date for this Assignment and Acceptance (the
        "Effective
        Date")
        shall
        be the date of acceptance hereof by the Agent, unless otherwise specified
        on
        Schedule 1 hereto.

       

      5.            
         Upon
        such
        acceptance and recording by the Agent, from and after the Effective Date,
        (i) the Assignee shall be a party to the Credit Agreement and, to the
        extent provided in this Assignment and Acceptance, have the rights and
        obligations of a Lender thereunder and (ii) the Assignor shall, to the
        extent provided in this Assignment and Acceptance, relinquish its rights
        and be
        released from its obligations under the Credit Agreement.

       

      6. 
Upon
        such
        acceptance and recording by the Agent, from and after the Effective Date,
        the
        Agent shall make all payments under the Credit Agreement and the Revolving
        Credit Notes in respect of the interest assigned hereby (including, without
        limitation, all payments of principal, interest and facility fees with respect
        thereto) to the Assignee. The Assignor and Assignee shall make all appropriate
        adjustments in payments under the Credit Agreement and the Revolving Credit
        Notes for periods prior to the Effective Date directly between
        themselves.

       

      7. 
This
        Assignment and Acceptance shall be governed by, and construed in accordance
        with, the laws of the State of New York.

       

      8. 
This
        Assignment and Acceptance may be executed in any number of counterparts and
        by
        different parties hereto in separate counterparts, each of which when so
        executed shall be deemed to be an original and all of which taken together
        shall
        constitute one and the same agreement. Delivery of an executed counterpart
        of
        Schedule 1 to this Assignment and Acceptance by telecopier shall be effective
        as
        delivery of a manually executed counterpart of this Assignment and
        Acceptance.

       

      IN
        WITNESS WHEREOF, the Assignor and the Assignee have caused Schedule 1 to
        this Assignment and Acceptance to be executed by their officers thereunto
        duly
        authorized as of the date specified thereon.

       

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Schedule
        1

      to

      Assignment
        and Acceptance

       

      Percentage
        interest
        assigned:                                                                           
 _______%

      

       

      Assignee's
        Commitment:                                                                                   
 $__________

       

      Aggregate
        outstanding principal amount of Revolving Credit Advances $__________

      assigned:

       

      Principal
        amount of Revolving Credit Note payable to Assignee:  $__________

       

      Principal
        amount of Revolving Credit Note payable to Assignor:  $__________

       

      Effective
        Date*  : _______________

       

      [NAME
        OF
        ASSIGNOR], as Assignor

       

      By
        _____________________     

      Title:

       

      Dated:
        _______________

       

      [NAME
        OF
        ASSIGNEE], as Assignee

       

      By
        ______________________     

      Title:

       

      Dated:
        _______________

       

      Domestic
        Lending Office:

      [Address]

       

      Eurodollar
        Lending Office:

      [Address]

       

      _______________________________________

      *
        This date should be no earlier than five Business
        Days after the delivery of this Assignment and Acceptance to the
        Agent.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

       

      Accepted
        and Approved this

      __________
        day of _______________

       

      CITIBANK,
        N.A., as Agent

       

      By_______________________________     

        
        Title:

       

      Approved
        this __________ day

      of
        _______________

       

      THE
        HERSHEY COMPANY

       

      By_________________________________     

        
        Title:

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      EXHIBIT
        D
        - FORM OF

      ASSUMPTION
        AGREEMENT

       

      Dated:
        ________

       

      The
        Hershey Company

      Corporate
        Headquarters

      Hershey,
        Pennsylvania 17033-0810

       

      Attention:
        Treasury Department

       

      Citibank,
        N. A.

        
        as Agent

      Two
        Penn’s Way

      New
        Castle, Delaware 19720

       

      Attention:
        Bank Loan Syndications

       

      Ladies
        and Gentlemen:

       

      Reference
        is made to the Five Year Credit Agreement, dated as of December 8, 2006 (as
        amended or modified from time to time, the "Credit
        Agreement"),
        among
        The Hershey Company, a Delaware corporation (the "Company"),
        the
        Lenders (as defined in the Credit Agreement) party thereto, Citibank, N.A.,
        as
        administrative agent for such Lenders (the "Agent"),
        Bank
        of America, N.A., as syndication agent, UBS Loan Finance LLC, as documentation
        agent, and Citigroup Global Markets Inc. and Banc America Securities LLC,
        as
        joint lead arrangers and joint book managers. Terms defined in the Credit
        Agreement are used herein with the same meaning.

       

      The
        undersigned (the "Assuming
        Lender")
        proposes to become an Assuming Lender pursuant to Section 2.05(c) of the
        Credit
        Agreement and, in that connection, hereby agrees that it shall become a Lender
        for purposes of the Credit Agreement on [applicable Commitment Increase Date]
        and that its Commitment shall as of such date be $__________.

       

      The
        undersigned (i) confirms that it has received a copy of the Credit
        Agreement, together with copies of the financial statements referred to in
        Section 4.01(e) thereof, the most recent financial statements referred to
        in Section 5.01(h) thereof and such other documents and information as it
        has deemed appropriate to make its own credit analysis and decision to enter
        into this Assumption Agreement; (ii) agrees that it will, independently and
        without reliance upon the Agent or any other Lender and based on such documents
        and information as it shall deem appropriate at the time, continue to make
        its
        own credit decisions in taking or not taking action under the Credit Agreement;
        (iii) appoints and authorizes the Agent to take such action as agent on its
        behalf and to exercise such powers under the Credit Agreement as are delegated
        to the Agent by the terms thereof, together with such powers as are reasonably
        incidental thereto; (iv) agrees that it will perform in accordance with
        their terms all of the obligations which by the terms of the Credit Agreement
        are required to be performed by it as a Lender; (v) confirms that it

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

       

      is
        an
        Eligible Assignee; (vi) specifies as its Applicable Lending Offices (and
        address for notices) the offices set forth beneath its name on the signature
        pages hereof; and (vii) attaches the forms prescribed by the Internal
        Revenue Service of the United States required under Section 2.14 of the Credit
        Agreement.

       

      The
        effective date for this Assumption Agreement shall be [applicable Commitment
        Increase Date.] Upon delivery of this Assumption Agreement to the Company
        and
        the Agent, and satisfaction of all conditions imposed under Section 2.05(c)
        as
        of [date specified above], the undersigned shall be a party to the Credit
        Agreement and shall have all of the rights and obligations of a Lender
        thereunder. As of [date specified above], the Agent shall make all payments
        under the Credit Agreement in respect of the interest assigned hereby
        (including, without limitation, all payments of principal, interest and facility
        fees) to the Assuming Lender.

       

      This
        Assumption Agreement may be executed in counterparts and by different parties
        hereto in separate counterparts, each of which when so executed shall be
        deemed
        to be an original and all of which taken together shall constitute one and
        the
        same agreement. Delivery of an executed counterpart by telecopier shall be
        effective as delivery of a manually executed counterpart of this Assumption
        Agreement.

      

      This
        Assumption Agreement shall be governed by, and construed in accordance with,
        the
        laws of the State of New York.

       

      Very
        truly yours,

       

      [NAME
        OF
        ASSUMING LENDER]

       

      By________________________

      Name:

                                                                                                     
        Title:

           

                                                                                                     
         Domestic
        Lending Office

                                                                                                         
        (and
        address for notices):

                        
        

                                                                                                           
          [Address]    

      
      

                                                                              
        Eurodollar
        Lending Office

       

      [Address]

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        
3

      Acknowledged
        and Agreed to:

       

      THE
        HERSHEY COMPANY

       

      By______________________

      Name:

      Title:

       

      CITIBANK,
        N.A.,

      As
        Agent

       

      By______________________

      Name:

      Title:

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      EXHIBIT
        E
        - FORM OF

      DESIGNATION
        LETTER

       

      [DATE]

       

      To
        Citibank, N.A.,

        
        as Agent for the Lenders 

        
        party to the Credit Agreement

        
        referred to below 

       

      Ladies
        and Gentlemen:

       

      Reference
        is made to the Five Year Credit Agreement dated as of December 8, 2006 (the
        "Credit
        Agreement")
        among
        The Hershey Company (the "Company"),
        the
        Lenders named therein, Citibank, N.A., as administrative agent (the
        "Agent")
        for
        said Lenders, Bank of America, N.A., as syndication agent, UBS Loan Finance
        LLC,
        as documentation agent, and Citigroup Global Markets Inc. and Banc America
        Securities LLC, as joint lead arrangers and joint book managers. For convenience
        of reference, terms used herein and defined in the Credit Agreement shall
        have
        the respective meanings ascribed to such terms in the Credit
        Agreement.

       

      Please
        be
        advised that the Company hereby designates its undersigned Subsidiary,
        ____________ (the "Designated
        Subsidiary"),
        as a
        "Designated Subsidiary" under and for all purposes of the Credit
        Agreement.

       

      The
        Designated Subsidiary, in consideration of each Lender's agreement to extend
        credit to it under and on the terms and conditions set forth in the Credit
        Agreement, does hereby assume each of the obligations imposed upon a "Designated
        Subsidiary" and a "Borrower" under the Credit Agreement and agrees to be
        bound
        by the terms and conditions of the Credit Agreement. In furtherance of the
        foregoing, the Designated Subsidiary hereby represents and warrants to each
        Lenders as follows:

       

      1. 
The
        Designated Subsidiary is a corporation duly incorporated, validly existing
        and
        in good standing under the laws of __________________ and is duly qualified
        to
        transact business in all jurisdictions in which such qualification is
        required.

       

      2. 
The
        execution, delivery and performance by the Designated Subsidiary of this
        Designation Letter, the Credit Agreement and the Notes of such Designated
        Subsidiary, and the consummation of the transactions contemplated thereby,
        are
        within the Designated Subsidiary's corporate powers, have been duly authorized
        by all necessary corporate action, and do not and will not contravene (i)
        the
        charter or by-laws of the Designated Subsidiary or (ii) law or any contractual
        restriction binding on or affecting the Designated Subsidiary.

       

      3. 
This
        Designation Agreement and each of the Notes of the Designated Subsidiary,
        when
        delivered, will have been duly executed and delivered, and this Designation
        Letter, the Credit Agreement and each of the Notes of the Designated Subsidiary,
        when delivered, will constitute the legal, valid and binding obligations
        of the
        Designated Subsidiary enforceable against the Designated Subsidiary in
        accordance with 

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

      their
        respective terms except to the extent that such enforcement may be limited
        by
        applicable bankruptcy, insolvency and other similar laws affecting creditors'
        rights generally.

       

      4. 
There
        is
        no pending or threatened action, suit, investigation, litigation or proceeding
        including, without limitation, any Environmental Action, affecting the
        Designated Subsidiary or any of its Subsidiaries before any court, governmental
        agency or arbitrator that (i) could be reasonably likely to have a Material
        Adverse Effect, or (ii) purports to effect the legality, validity or
        enforceability of this Designation Letter, the Credit Agreement, any Note
        of the
        Designated Subsidiary or the consummation of the transactions contemplated
        thereby.

       

      5. 
No
        authorization or approval or other action by, and no notice to or filing
        with,
        any governmental authority or administrative or regulatory body or any other
        third party are required in connection with the execution, delivery or
        performance by the Designated Subsidiary of this Designation Letter, the
        Credit
        Agreement or the Notes of the Designated Subsidiary except for such
        authorizations, consents, approvals, licenses, filings or registrations as
        have
        heretofore been made, obtained or effected and are in full force and
        effect.

       

                    
        6. 
        The
        Designated Subsidiary is not, and immediately after the application by
        the
        Designated Subsidiary of the proceeds of each Advance will not be, an
        "investment company", or an "affiliated person" of, or "promotor" or "principal
        underwriter" for, an "investment company", as such terms are defined in the
        Investment Company Act of 1940, as amended.

       

      Very
        truly yours,

       

      The
        Hershey Company

      

      By_________________________

      Title:

       

      

       

      [THE
        DESIGNATED SUBSIDIARY]

       

      By__________________________

      Title:

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

       

      EXHIBIT
        F
        - FORM OF

      ACCEPTANCE
        BY COMPANY AS PROCESS AGENT

       

      [Date]

       

      To
        each
        of the Lenders party

      to
        the
        Credit Agreement (as defined 

      below)
        and to Citibank, N.A.,

      as
        Agent
        for said Lenders

       

      [Name
        of Designated Subsidiary]

       

      Ladies
        and Gentlemen:

       

      Reference
        is made to (i) that certain Five Year Credit Agreement, dated as of December
        8,
        2006, among The Hershey Company (the "Company"),
        the
        Lenders named therein, Citibank, N.A., as administrative agent (the
        "Agent")
        for
        said Lenders, Bank of America, N.A., as syndication agent, UBS Loan Finance
        LLC,
        as documentation agent, and Citigroup Global Markets Inc. and Banc America
        Securities LLC, as joint lead arrangers and joint book managers (as hereafter
        amended, supplemented or otherwise modified from time to time, the "Credit
        Agreement";
        the
        terms defined therein being used herein as therein defined), and (ii) to
        the Designation Letter, dated _________, pursuant to which __________ has
        become
        a Borrower under the Credit Agreement.

       

      Pursuant
        to Section 9.12(a) of the Credit Agreement, __________ has appointed the
        Company
        (with an office on the date hereof at Corporate Headquarters, 100 Crystal
        A
        Drive, Hershey, Pennsylvania 17033-0810, United States) as Process Agent
        to
        receive on behalf of ______________ service of copies of the summons and
        complaint and any other process which may be served in any action or proceeding
        in any New York State or Federal court of the United States of America sitting
        in New York City arising out of or relating to the Credit
        Agreement.

       

      The
        Company hereby accepts such appointment as Process Agent and agrees with
        each of
        you that (i) the undersigned will not terminate or abandon the undersigned
        agency as such Process Agent without at least six months' prior notice to
        the
        Agent (and hereby acknowledges that the undersigned has been retained for
        its
        services as Process Agent through __________), (ii) the undersigned will
        maintain an office in the United States through such date and will give the
        Agent prompt notice of any change of address of the undersigned, (iii) the
        undersigned will perform its duties as Process Agent to receive on behalf
        of
        ______________ service of copies of the summons and complaint and any other
        process which may be served in any action or proceeding in any New York State
        or
        Federal court of the United States of America sitting in New York City arising
        out of or relating to the Credit Agreement and (iv) the undersigned will
        forward forthwith to ______________ at its address at ________________ or,
        if
        different, its then current address, copies of any summons, complaint and
        other
        process which the undersigned receives in connection with its appointment
        as
        Process Agent.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

      This
        acceptance and agreement shall be binding upon the undersigned and all
        successors of the undersigned.

       

      Very
        truly yours,

       

      THE
        HERSHEY COMPANY

       

      By_______________________

       

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      EXHIBIT
        G
        - FORM OF

      OPINION
        OF BURTON H. SNYDER, SENIOR VICE PRESIDENT,

      GENERAL
        COUNSEL AND SECRETARY 

      OF
        THE
        COMPANY

       

      [Effective
        Date]

       

      To
        each
        of the Lenders party

        
        to the Credit Agreement referred 

        
        to below and to Citibank, N.A., as

        
        Agent for such Lenders

       

      The
        Hershey Company

       

      Ladies
        and Gentlemen:

       

      This
        opinion is furnished to you pursuant to Section 3.01(g)(iv) of the Five
        Year Credit Agreement, dated as of December 8, 2006 (the "Credit
        Agreement"),
        among
        The Hershey Company (the "Company"),
        the
        Lenders party thereto, Citibank, N.A., as administrative agent (the
        "Agent")
        for
        said Lenders, Bank of America, N.A., as syndication agent, UBS Loan Finance
        LLC,
        as documentation agent, and Citigroup Global Markets Inc. and Banc America
        Securities LLC, as joint lead arrangers and joint book managers. Terms defined
        in the Credit Agreement are used herein as therein defined.

       

      I
        am the
        Senior Vice President, General Counsel and Secretary of the Company, and
        I have
        acted as counsel for the Company in connection with the preparation, execution
        and delivery of the Credit Agreement.

       

      In
        that
        connection, I have examined:

       

      (1) 
the
        Credit Agreement and the Revolving Credit Notes of the Company;

       

      (2) 
the
        documents furnished by the Company pursuant to Article III of the Credit
        Agreement;

       

      (3) 
the
        Amended and Restated Certificate of Incorporation of the Company and all
        amendments thereto (the "Charter");
        and

       

      (4) 
The
        by-laws of the Company and all amendments thereto (the "By-laws").

       

      I
        have
        also examined the originals, or copies certified to my satisfaction, of such
        other corporate records of the Company, certificates of public officials
        and of
        officers of the Company, and agreements, instruments and other documents,
        as I
        have deemed necessary as a basis for the opinions expressed below. In making
        such examinations, I have assumed the

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

       genuineness
        of all signatures (other than those on behalf of the Company), the authenticity
        of all documents submitted to me as originals and the conformity to authentic
        original documents of all documents submitted to me as certified, conformed
        or
        photographic copies. As to questions of fact material to such opinions, I
        have,
        when relevant facts were not independently established by me, relied upon
        certificates of the Company or its officers or of public officials and as
        to
        questions of fact and law, on opinions or statements by other lawyers reporting
        to me. I have assumed the due execution and delivery, pursuant to due
        authorization, of the Credit Agreement by the Initial Lenders and the
        Agent.

       

      My
        opinions expressed below are limited to the law of the Commonwealth of
        Pennsylvania, and, where applicable, the General Corporation Law of the State
        of
        Delaware and the Federal law of the United States. 

       

      Based
        upon the foregoing and upon such investigation as I have deemed necessary,
        I am
        of the following opinion:

       

      1. 
The
        Company is a corporation duly organized, validly existing and in good standing
        under the laws of the State of Delaware.

       

      2. 
The
        execution, delivery and performance by the Company of the Credit Agreement
        and
        the Notes, and the consummation of the transactions contemplated thereby,
        are
        within the Company's corporate powers, have been duly authorized by all
        necessary corporate action, and do not contravene (i) the Charter or the
        By-laws or (ii) any law, rule or regulation applicable to the Company
        (including, without limitation, Regulation X of the Board of Governors of
        the Federal Reserve System) or (iii) any contractual or legal restriction
        binding on or affecting the Company or, to the best of my knowledge, contained
        in any other similar document, except where such contravention would not
        be
        reasonably likely to have a Material Adverse Effect. The Credit Agreement
        and
        the Revolving Credit Notes of the Company have been duly executed and delivered
        on behalf of the Company.

       

      3. 
No
        authorization, approval or other action by, and no notice to or filing with,
        any
        governmental authority or regulatory body or any other third party is required
        for the due execution, delivery and performance by the Company of the Credit
        Agreement and the Notes, or for the consummation of the transactions
        contemplated thereby, except for the authorizations, approvals, actions,
        notices
        and filings (i) listed on Schedule 4.01(c) to the Credit Agreement, all of
        which have been duly obtained, taken, given or made and are in full force
        and
        effect and (ii) where the Company's failure to receive, take or make such
        authorization, approval, action, notice or filing would not have a Material
        Adverse Effect.

       

      4. 
There
        (i)
        are no pending or, to the best of my knowledge, threatened actions,
        investigations, litigations or proceedings against the Company or any of
        its
        Subsidiaries before any court, governmental agency or arbitrator that (a)
        would
        be reasonably likely to have a Material Adverse Effect (other than the Disclosed
        Litigation) or (b) purport to affect the legality, validity, binding effect
        or
        enforceability of the Credit Agreement or any of the Notes or the consummation
        of the transactions contemplated 

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          3

        

      

                     

       thereby,
        and (ii) there has been no adverse change in the status, or financial effect
        on
        the Company and its Subsidiaries taken as a whole, of the Disclosed Litigation
        from that described on Schedule 3.01(b) thereto.

       

      This
        opinion letter may be relied upon by you only in connection with the transaction
        being consummated pursuant to the Credit Agreement and may not be used or
        relied
        upon by any other person for any other purpose.

       

      Very
        truly yours,

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

       

      EXHIBIT
        H
        - FORM OF OPINION OF COUNSEL

      TO
        A
        DESIGNATED SUBSIDIARY

       

      [Date]

       

      To
        each
        of the Lenders party

      to
        the
        Credit Agreement 

      referred
        to below, 

      and
        to
        Citibank, N.A., as Agent 

      for
        said
        Lenders

       

      Ladies
        and Gentlemen:

       

      In
        my
        capacity as counsel to _____________________ ("Designated
        Subsidiary"),
        I
        have reviewed that certain Five Year Credit Agreement, dated as of December
        8,
        2006 (the "Credit
        Agreement"),
        among
        The Hershey Company (the "Company"),
        the
        Lenders party thereto, Citibank, N.A., as administrative agent (the
        "Agent")
        for
        said Lenders, Bank of America, N.A., as syndication agent, UBS Loan Finance
        LLC,
        as documentation agent, and Citigroup Global Markets Inc. and Banc America
        Securities LLC, as joint lead arrangers and joint book managers. Terms defined
        in the Credit Agreement are used herein as therein defined. In connection
        therewith, I have also examined the following documents:

       

      (i) 
The
        Designation Letter (as defined in the Credit Agreement) executed by the
        Designated Subsidiary.

       

      [such
        other documents as counsel may wish to refer to]

       

      I
        have
        also reviewed such matters of law and examined the original, certified,
        conformed or photographic copies of such other documents, records, agreements
        and certificates as I have considered relevant hereto. As to questions of
        fact
        material to such opinions, we have, when relevant facts were not independently
        established by us, relied upon certificates of the Designated Subsidiary
        or of
        its officers or of public officials and as to questions of fact and law,
        on
        opinions or statements by other lawyers reporting to me. I have assumed
        (i) the due execution and delivery, pursuant to due authorization, of each
        of the documents referred to above by all parties thereto other than the
        Designated Subsidiary, (ii) the authenticity of all such documents
        submitted to us as originals and (iii) the conformity to originals of all
        such documents submitted to me as certified, conformed or photographic
        copies.

       

      My
        opinions expressed below are limited to ________________ and the State of
        New
        York.

       

      Based
        upon the foregoing, and upon such investigation as I have deemed necessary,
        I am
        of the following opinion:

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          2

        

      

      1. 
The
        Designated Subsidiary (a) is a corporation duly incorporated, validly existing
        and in good standing under the laws of _________________________, (b) is
        duly qualified in each other jurisdiction in which it owns or leases property
        or
        in which the conduct of its business requires it to so qualify or be licensed
        and (c) has all requisite corporate power and authority to own or lease and
        operate its properties and to carry on its business as now conducted and
        as
        proposed to be conducted.

      

      2. 
The
        execution, delivery and performance by the Designated Subsidiary of its
        Designation Letter, the Credit Agreement and its Revolving Credit Notes,
        and the
        consummation of the transactions contemplated thereby, are within the Designated
        Subsidiary's corporate powers, have been duly authorized by all necessary
        corporate action, and do not contravene (i) any provision of the charter or
        by-laws or other constituent documents of the Designated Subsidiary,
        (ii) any law, rule or regulation applicable to the Designated Subsidiary or
        (iii) any contractual or legal obligation or restriction binding on or
        affecting the Designated Subsidiary, except where such contravention would
        not
        be reasonably likely to have a Material Adverse Effect. The Designation Letter
        and each Revolving Credit Note of the Designated Subsidiary has been duly
        executed and delivered on behalf of the Designated Subsidiary.

      

      3. 
The
        Designation Letter of the Designated Subsidiary, the Credit Agreement and
        the
        Revolving Credit Notes of the Designated Subsidiary are, and each other Note
        of
        the Designated Subsidiary when executed and delivered under the Credit Agreement
        will be, legal, valid and binding obligations of the Designated Subsidiary
        enforceable in accordance with their respective terms, except as the
        enforceability thereof may be limited by bankruptcy, insolvency, reorganization
        or moratorium or other similar laws relating to the enforcement of creditors'
        rights generally or by the application of general principles of equity
        (regardless of whether such enforceability is considered in a proceeding
        in
        equity or at law), and except that I express no opinion as to (i) the
        subject matter jurisdiction of the District Courts of the United States of
        America to adjudicate any controversy relating to the Credit Agreement, the
        Designation Letter of the Designated Subsidiary or the Notes of the Designated
        Subsidiary or (ii) the effect of the law of any jurisdiction (other than
        the
        State of New York) wherein any Lender or Applicable Lending Office may be
        located or wherein enforcement of the Credit Agreement, the Designation Letter
        of the Designated Subsidiary or the Notes of the Designated Subsidiary may
        be
        sought which limits rates of interest which may be charged or collected by
        such
        Lender.

      

      4. 
There
        is
        no pending, or to the best of my knowledge, threatened action, investigation,
        litigation or proceeding at law or in equity against the Designated Subsidiary
        before any court, governmental agency or arbitrator that would be reasonably
        likely to have a Material Adverse Effect or that purports to affect the
        legality, validity, binding effect or enforceability of the Designation Letter
        of the Designated Subsidiary, the Credit Agreement or any Revolving Credit
        Note
        of the Designated Subsidiary, or the consummation of the transactions
        contemplated thereby.

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          3

        

      

      5. 
No
        authorization, approval or other action by, and no notice to or filing with,
        any
        governmental authority or regulatory body or any other third party is required
        for the due execution, delivery and performance by the Designated Subsidiary
        of
        its Designation Letter, the Credit Agreement or the Notes of the Designated
        Subsidiary except for such authorizations, consents, approvals, actions,
        notices
        or filings as have heretofore been made, obtained or affected and are in
        full
        force and effect.

      

      This
        opinion letter may be relied upon by you only in connection with the transaction
        being consummated pursuant to the Credit Agreement and may not be used or
        relied
        upon by any other person for any other purpose.

      

       

      Very
        truly yours,Note Purchase Agreement

    Exhibit
      10.1

     

    Execution
      Version

     

    Modine
      Manufacturing Company

     

    $50,000,000
      5.68% Senior Notes, Series A, due December 7, 2017

     

    $25,000,000
      5.68% Senior Notes, Series B, due December 7, 2018

     

    ______________

     

    Note
      Purchase Agreement

     

    _____________

     

     

    Dated
      as
      of December 7, 2006

     

    

     

    

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

        
        

      

    

    Table
      of Contents

     

    (Not
      a
      part of the Agreement)

     

     

    Section Heading Page

     

    Section 1.
      Authorization of Notes

     

     

    Section 2.
      Sale and Purchase of Notes

     

    Section 2.1. Purchase
      and Sale of Notes

    Section 2.2. Subsidiary
      Guaranties

     

    Section 3.
      Closing

     

     

    Section 4.
      Conditions to Closing

     

    Section 4.1. Representations
      and Warranties

    Section 4.2. Performance;
      No Default

    Section 4.3. Compliance
      Certificates

    Section 4.4. Opinions
      of Counsel

    Section 4.5. Purchase
      Permitted by Applicable Law, Etc.

    Section 4.6. Sale
      of
      Other Notes

    Section 4.7. Payment
      of Special Counsel Fees

    Section 4.8. Private
      Placement Numbers

    Section 4.9. Changes
      in Corporate Structure

    Section 4.10. Funding
      Instructions

    Section 4.11. Proceedings
      and Documents

     

    Section 5.
      Representations and Warranties of the Company

     

    Section 5.1. Organization;
      Power and Authority

    Section 5.2. Authorization,
      Etc

    Section 5.3. Disclosure

    Section 5.4. Organization
      and Ownership of Shares of Subsidiaries

    Section 5.5. Financial
      Statements; Material Liabilities

    Section 5.6. Compliance
      with Laws, Other Instruments, Etc

    Section 5.7. Governmental
      Authorizations, Etc

    Section 5.8. Litigation;
      Observance of Statutes and Orders

    Section 5.9. Taxes

    Section 5.10. Title
      to
      Property; Leases

    Section 5.11. Licenses,
      Permits, Etc

    Section 5.12. Compliance
      with ERISA

    Section 5.13. 
      Private
      Offering by the Company

    Section 5.14. Use
      of
      Proceeds; Margin Regulations

    Section 5.15. Existing
      Debt

    Section 5.16. Foreign
      Assets Control Regulations, Etc

    Section 5.17. Status
      under Certain Statutes

    Section 5.18. Notes
      Rank Pari Passu

    Section 5.19. Environmental
      Matters

    Section 5.20. Airedale
      North America, Inc. and Airedale Inc

     

    Section 6.
      Representations of the Purchasers

     

    Section 6.1. Purchase
      for Investment

    Section 6.2. Accredited
      Investor

    Section 6.3. Source
      of
      Funds

     

    Section 7.
      Information as to the Company

     

    Section 7.1. Financial
      and Business Information

    Section 7.2. Officer’s
      Certificate

    Section 7.3. Visitation

     

    Section 8.
      Prepayment of the Notes

     

    Section 8.1. Required
      Prepayments

    Section 8.2. Optional
      Prepayments with Make-Whole Amount

    Section 8.3. Allocation
      of Partial Prepayments

    Section 8.4. Maturity;
      Surrender, Etc

    Section 8.5. Purchase
      of Notes

    Section 8.6. Make-Whole
      Amount

    Section 8.7. Change
      in
      Control

     

    Section 9.
      Affirmative Covenants

     

    Section 9.1. Compliance
      with Law

    Section 9.2. Insurance

    Section 9.3. Maintenance
      of Properties

    Section 9.4. Payment
      of Taxes

    Section 9.5. Corporate
      Existence, Etc.

    Section 9.6. Notes
      to
      Rank Pari Passu

    Section 9.7. Books
      and
      Records

    Section 9.8. Guaranty
      by Subsidiaries

     

    Section 10.
      Negative Covenants

     

    Section 10.1. Limitations
      on Consolidated Total Debt

    Section 10.2. Limitations
      on Subsidiary Debt

    Section
      10.3. 
      Interest
      Expense Coverage Ratio

    Section 10.4. Limitation
      on Liens

    Section
      10.5. Sale
      of
      Assets

    Section 10.6. Mergers,
      Consolidations and Sales of Assets

    Section 10.7. Transactions
      with Affiliates

    Section 10.8. Line
      of
      Business

    Section 10.9. Terrorism
      Sanctions Regulations

    Section 10.10. Airedale
      Entities

     

    Section 11.
      Events of Default

     

     

    Section 12.
      Remedies on Default, Etc.

     

    Section 12.1. Acceleration

    Section 12.2. Other
      Remedies

    Section 12.3. Rescission

    Section 12.4. No
      Waivers or Election of Remedies, Expenses, Etc.

     

    Section 13.
      Registration; Exchange; Substitution of Notes

     

    Section 13.1. Registration
      of Notes

    Section 13.2. Transfer
      and Exchange of Notes

    Section 13.3. Replacement
      of Notes

     

    Section 14.
      Payments on Notes

     

    Section 14.1. Place
      of
      Payment

    Section 14.2. Home
      Office Payment

     

    Section 15.
      Expenses, Etc.

     

    Section 15.1. Transaction
      Expenses

    Section 15.2. Survival

     

    Section 16.
      Survival of Representations and Warranties; Entire Agreement

     

     

    Section 17.
      Amendment and Waiver

     

    Section 17.1. Requirements

    Section 17.2. Solicitation
      of Holders of Notes

    Section 17.3. Binding
      Effect, Etc.

    Section 17.4. Notes
      held by Company, Etc.

     

    Section 18.
      Notices

     

     

    Section 19.
      Reproduction of Documents

     

     

    Section 20.
      Confidential Information

     

     

    Section 21.
      Substitution of Purchaser

     

     

    Section 22.
      Miscellaneous

     

    Section 22.1. Successors
      and Assigns

    Section 22.2. Payments
      Due on Non-Business Days

    Section 22.3. Accounting
      Terms

    Section 22.4. Severability

    Section 22.5. Construction,
      Etc.

    Section 22.6. Counterparts

    Section 22.7. Governing
      Law

    Section 22.8. Jurisdiction
      and Process; Waiver of Jury Trial

     

    Signature

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule A — Information
      Relating to Purchasers

    

    Schedule B — Defined
      Terms

    

    Schedule 5.3 — Disclosure
      Materials

    

    Schedule 5.4 — Subsidiaries
      of the Company and Ownership of Subsidiary Stock

    

    Schedule 5.5 — Financial
      Statements

    

    Schedule 5.15 — Existing
      Debt

    

    
      	
              Exhibit 1-A

            	
              —

            	
              Form
                of 5.68% Senior Note, Series A, due December 7,
                2017

            

    

    

    
      	
              Exhibit 1-B

            	
              —

            	
              Form
                of 5.68% Senior Note, Series B, due December 7,
                2018

            

    

    

    
      	
              Exhibit
                2.2(a)

            	
              —

            	
              Form
                of Subsidiary Guaranty

            

    

    

    
      	
              Exhibit
                2.2(b)

            	
              —

            	
              Form
                of Intercreditor Agreement

            

    

    

    
      	
              Exhibit 4.4(a)(i)

            	
              —

            	
              Form
                of Opinion of Special Counsel for the
                Company

            

    

    

    
      	
              Exhibit 4.4(a)(ii)

            	
              —

            	
              Form
                of Opinion of General Counsel for the
                Company

            

    

    

    
      	
              Exhibit 4.4(b)

            	
              —

            	
              Form
                of Opinion of Special Counsel for the
                Purchasers

            

    

    

    

     

    

    
      
        
          --

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
          

        

      

    

    Modine
      Manufacturing Company

    1500
      DeKoven Avenue

    Racine,
      Wisconsin 53403-2552

    

    5.68% Senior
      Notes, Series A, due December 7, 2017

    5.68%
      Senior Notes, Series B, due December 7, 2018

     

    

    

    

     

    Dated
      as
      of December 7, 2006

     

    

    To
      Each
      of the Purchasers Listed in 

    Schedule
      A Hereto:

     

    Ladies
      and Gentlemen:

     

    Modine
      Manufacturing Company,
      a
      Wisconsin corporation (the “Company”),
      agrees
      with each of the purchasers whose names appear at the end hereof (each, a
“Purchaser”
      and,
      collectively, the “Purchasers”)
      as
      follows:

     

    
      	
              Section 1.

            	
              Authorization
                of Notes.

            

    

     

    The
      Company will authorize the issue and sale of (i) $50,000,000 aggregate
      principal amount of its 5.68% Senior Notes, Series A, due December 7, 2017
      (the
“Series
      A Notes”)
      and
      (ii) $25,000,000 aggregate principal amount of its 5.68% Senior Notes, Series
      B,
      due December 7, 2018 (the “Series
      B Notes,”
      and
      together with the Series A Notes, are collectively the “Notes”,
      such
      term to include any such notes of either series issued in substitution therefor
      pursuant to Section 13).
      The
      Series A Notes and Series B Notes shall be substantially in the form set out
      in
Exhibit 1-A
      and
      Exhibit 1-B, respectively.
      Certain capitalized and other terms used in this Agreement are defined in
Schedule B;
      and
      references to a “Schedule”
or
      an
“Exhibit”
are,
      unless otherwise specified, to a Schedule or an Exhibit attached to this
      Agreement.

     

    
      	
              Section 2.

            	
              Sale
                and Purchase of Notes.

            

    

     

    Section
      2.1.Purchase
      and Sale of Notes. Subject
      to the terms and conditions of this Agreement, the Company will issue and sell
      to each Purchaser and each Purchaser will purchase from the Company, at the
      Closing provided for in Section 3,
      Notes
      in the principal amount and of the respective series specified opposite such
      Purchaser’s name in Schedule A
      at the
      purchase price of 100% of the principal amount thereof. The Purchasers’
obligations hereunder are several and not joint obligations and no Purchaser
      shall have any liability to any Person for the performance or non-performance
      of
      any obligation by any other Purchaser hereunder.

     

    Section
      2.2.Subsidiary
      Guaranties.
      (a) The payment by the Company of all amounts due with respect to the Notes
      and the performance by the Company of its obligations under this Agreement
      will
      be absolutely and unconditionally guaranteed by Modine Delaware LLC, a Delaware
      limited liability company, Modine Climate Systems Inc., a Kentucky corporation,
      Thermacore International, Inc., a Pennsylvania corporation, Thermacore, Inc.,
      a
      Pennsylvania corporation, Thermal Corp., a Delaware corporation, Modine, Inc.,
      (formerly Modine Acquisition Corporation), a Delaware corporation, and Modine
      Jackson, Inc., a Delaware corporation (together with any additional Subsidiary
      who delivers a guaranty pursuant to Section 9.8,
      the
“Subsidiary
      Guarantors”)
      pursuant to the guaranty agreement substantially in the form of Exhibit 2.2(a)
      attached
      hereto and made a part hereof (as the same may be amended, modified, extended
      or
      renewed, the “Subsidiary
      Guaranty”).

     

    (b)The
      enforcement of the rights and benefits in respect of the Subsidiary Guaranty
      and
      the allocation of proceeds thereof shall be subject to an intercreditor
      agreement substantially in the form of Exhibit 2.2(b)
      attached
      hereto and made a part hereof (as the same may be amended, modified, extended
      or
      renewed, the “Intercreditor
      Agreement”).

     

    (c)The
      holders of the Notes acknowledge and agree that such holders will discharge
      and
      release any Subsidiary Guarantor from the Subsidiary Guaranty to which it is
      a
      party pursuant to the written request of the Company, provided
      that
      (i) such Subsidiary Guarantor has been released and discharged as an
      obligor and guarantor under and in respect of all Debt of the Company and the
      Company so certifies to the holders of the Notes in a certificate which
      accompanies such request for release and discharge, such release is hereby
      conditioned upon the Company’s agreement that if, for any reason whatsoever,
      such Subsidiary Guarantor thereafter becomes an obligor or guarantor under
      and
      in respect of any Debt of the Company, then the Company shall contemporaneously
      provide written notice thereof to the holders of the Notes accompanied by an
      executed Subsidiary Guaranty of such Subsidiary Guarantor, and (ii) at the
      time of such release and discharge, the Company shall deliver a certificate
      of a
      Responsible Officer to the holders of the Notes to the effect that no Default
      or
      Event of Default exists.

     

    (d)The
      Company agrees that it will not, nor will it permit any Subsidiary or Affiliate
      to, directly or indirectly, pay or cause to be paid any consideration or
      remuneration, whether by way of supplemental or additional interest, fee or
      otherwise, to any creditor of the Company or of any Subsidiary Guarantor as
      consideration for or as an inducement to the entering into by any such creditor
      of any release or discharge of any Subsidiary Guarantor with respect to any
      liability of such Subsidiary Guarantor as an obligor or guarantor under or
      in
      respect of Debt of the Company, unless such consideration or remuneration is
      concurrently paid, on the same terms, ratably to the Noteholders of all of
      the
      Notes then outstanding.

     

    
      	
              Section 3.

            	
              Closing.

            

    

     

    The
      sale
      and purchase of the Notes to be purchased by each Purchaser shall occur at
      the
      offices of Chapman and Cutler LLP, 111 West Monroe Street, Chicago, Illinois
      60603, at 10:00 a.m.
      Chicago
      time, at a closing (the “Closing”)
      on
      December 7, 2006 or on such other Business Day thereafter on or prior to
      December 8, 2006 as may be agreed upon by the Company and the Purchasers.
      At the Closing, the Company will deliver to each Purchaser the Notes to be
      purchased by such Purchaser in the form of a single Note (or such greater number
      of Notes in denominations of at least $100,000 as such Purchaser may request)
      dated the date of the Closing and registered in such Purchaser’s name (or in the
      name of its nominee), against delivery by such Purchaser to the Company or
      its
      order of immediately available funds in the amount of the purchase price
      therefor by wire transfer of immediately available funds for the account of
      the
      Company to Account
      Name: Modine Manufacturing Company, Account Number: 24114794 at
      M&I Marshall & Ilsley Bank, Milwaukee, Wisconsin, ABA
      No.: 075000051 (Bank Contact Name: Gina Peter (414)
      765-7945).
      If at
      the Closing the Company shall fail to tender such Notes to any Purchaser as
      provided above in this Section 3,
      or any
      of the conditions specified in Section 4
      shall
      not have been fulfilled to such Purchaser’s satisfaction, such Purchaser shall,
      at its election, be relieved of all further obligations under this Agreement,
      without thereby waiving any rights such Purchaser may have by reason of such
      failure or such nonfulfillment.

     

    
      	
              Section 4.

            	
              Conditions
                to Closing.

            

    

     

    Each
      Purchaser’s obligation to purchase and pay for the Notes to be sold to such
      Purchaser at the Closing is subject to the fulfillment to such Purchaser’s
      satisfaction, prior to or at the Closing, of the following
      conditions:

     

    Section 4.1.Representations
      and Warranties.
      (a) The representations and warranties of the Company in this Agreement
      shall be correct when made and at the time of the Closing.

     

    (b)The
      representations and warranties of each Subsidiary Guarantor in the Subsidiary
      Guaranty shall be correct when made and at the time of Closing.

     

    Section 4.2.Performance;
      No Default.
      (a) The Company shall have performed and complied with all agreements and
      conditions contained in this Agreement required to be performed or complied
      with
      by it prior to or at the Closing, and after giving effect to the issue and
      sale
      of the Notes (and the application of the proceeds thereof as contemplated by
      Section 5.14),
      no
      Default or Event of Default shall have occurred and be continuing.

     

    (b)Each
      Subsidiary Guarantor shall have performed and complied with all agreements
      and
      conditions contained in the Subsidiary Guaranty required to be performed and
      complied with by it prior to or at the Closing, and after giving effect to
      the
      issue and sale of Notes (and the application of the proceeds thereof as
      contemplated by Section 5.14),
      no
      Default or Event of Default shall have occurred and be continuing.

     

    Section 4.3.Compliance
      Certificates.

     

    (a)Company
      Officer’s Certificate.
      The
      Company shall have delivered to such Purchaser an Officer’s Certificate, dated
      the date of the Closing, certifying that the conditions specified in
Sections 4.1(a),
      4.2(a)
      and
4.9
      have
      been fulfilled.

     

    (b)Subsidiary
      Guarantor Officer’s Certificate. Each
      Subsidiary Guarantor shall have delivered to such Purchaser a certificate of
      an
      authorized officer, dated the date of the Closing, certifying that the
      conditions set forth in Section
      4.1(b),
      4.2(b)
      and
4.9
      have
      been fulfilled.

     

    (c)Company
      Secretary’s Certificate.
      The
      Company shall have delivered to such Purchaser a certificate of its Secretary
      or
      Assistant Secretary, dated the date of Closing, certifying as to the resolutions
      attached thereto and other corporate proceedings relating to the authorization,
      execution and delivery of the Notes and this Agreement.

     

    (d)Subsidiary
      Guarantor Secretary’s Certificate.
      Each
      Subsidiary Guarantor shall have delivered to such Purchaser a certificate of
      its
      Secretary or Assistant Secretary, dated the date of Closing, certifying as
      to
      the resolutions attached thereto and other corporate proceedings relating to
      the
      authorization, execution and delivery of the Subsidiary Guaranty.

     

    Section 4.4.Opinions
      of Counsel.
      Such
      Purchaser shall have received opinions in form and substance satisfactory to
      such Purchaser, dated the date of the Closing (a)(i) from Quarles &
Brady LLP, counsel for the Company and the Subsidiary Guarantors, and
      (ii) from Dean R. Zakos, Vice President, General Counsel and Secretary for
      the Company, each covering the matters set forth in Exhibit 4.4(a)(i)
      and
      Exhibit 4.4(a)(ii),
      respectively, and covering such other matters incident to the transactions
      contemplated hereby as such Purchaser or their counsel may reasonably request
      (and the Company hereby instructs their counsel to deliver such opinion to
      the
      Purchasers) and (b) from Chapman and Cutler LLP, the Purchasers’ special
      counsel in connection with such transactions, substantially in the form set
      forth in Exhibit 4.4(b)
      and
      covering such other matters incident to such transactions as such Purchaser
      may
      reasonably request.

     

    Section 4.5.Purchase
      Permitted by Applicable Law, Etc.
      On the
      date of the Closing such Purchaser’s purchase of Notes shall (a) be
      permitted by the laws and regulations of each jurisdiction to which such
      Purchaser is subject, without recourse to provisions (such as
      section 1405(a)(8) of the New York Insurance Law) permitting limited
      investments by insurance companies without restriction as to the character
      of
      the particular investment, (b) not violate any applicable law or regulation
      (including, without limitation, Regulation T, U or X of the Board of Governors
      of the Federal Reserve System) and (c) not subject such Purchaser to any
      tax, penalty or liability under or pursuant to any applicable law or regulation,
      which law or regulation was not in effect on the date hereof. If requested
      by
      such Purchaser, such Purchaser shall have received an Officer’s Certificate
      certifying as to such matters of fact as such Purchaser may reasonably specify
      to enable such Purchaser to determine whether such purchase is so
      permitted.

     

    Section 4.6.Sale
      of Other Notes.
      Contemporaneously with the Closing, the Company shall sell to each other
      Purchaser, and each other Purchaser shall purchase, the Notes to be purchased
      by
      it at the Closing as specified in Schedule A.

     

    Section 4.7.Payment
      of Special Counsel Fees.. Without
      limiting the provisions of Section 15.1,
      the
      Company shall have paid on or before the Closing the fees, charges and
      disbursements of the Purchasers’ special counsel referred to in Section 4.4
      to the
      extent reflected in a statement of such counsel rendered to the Company at
      least
      one Business Day prior to the Closing.

     

    Section 4.8.Private
      Placement Numbers.
      A
      Private Placement Number issued by Standard & Poor’s CUSIP Service Bureau
      (in cooperation with the Securities Valuation Office of the National Association
      of Insurance Commissioners) shall have been obtained for each series of
      Notes.

     

    Section 4.9.Changes
      in Corporate Structure.
      Neither
      the Company nor any Subsidiary Guarantor shall have changed its jurisdiction
      of
      incorporation or organization, as applicable, or been a party to any merger
      or
      consolidation or succeeded to all or any substantial part of the liabilities
      of
      any other entity, at any time following the date of the most recent financial
      statements referred to in Schedule 5.5.

     

    Section 4.10.Funding
      Instructions.
      At least
      three Business Days prior to the date of the Closing, each Purchaser shall
      have
      received written instructions signed by a Responsible Officer on letterhead
      of
      the Company confirming the information specified in Section 3
      including (i) the name and address of the transferee bank, (ii) such
      transferee bank’s ABA number and (iii) the account name and number into
      which the purchase price for the Notes is to be deposited.

     

    Section 4.11.Proceedings
      and Documents.
      All
      corporate and other proceedings in connection with the transactions contemplated
      by this Agreement and all documents and instruments incident to such
      transactions shall be reasonably satisfactory to such Purchaser and its special
      counsel, and such Purchaser and its special counsel shall have received all
      such
      counterpart originals or certified or other copies of such documents as such
      Purchaser or such special counsel may reasonably request.

     

    
      	
              Section 5.

            	
              Representations
                and Warranties of the Company.

            

    

     

    The
      Company represents and warrants to each Purchaser that:

     

    Section 5.1.Organization;
      Power and Authority.
      The
      Company is a corporation duly organized, validly existing and in good standing
      or equivalent status under the laws of its jurisdiction of incorporation, and
      is
      duly qualified as a foreign corporation and is in good standing or equivalent
      status in each jurisdiction in which such qualification is required by law,
      other than those jurisdictions as to which the failure to be so qualified or
      in
      good standing would not, individually or in the aggregate, reasonably be
      expected to have a Material Adverse Effect. The Company has the corporate power
      and authority to own or hold under lease the properties it purports to own
      or
      hold under lease, to transact the business it transacts and proposes to
      transact, to execute and deliver this Agreement and the Notes and to perform
      the
      provisions hereof and thereof.

     

    Section 5.2.Authorization,
      Etc.
      This
      Agreement and the Notes have been duly authorized by all necessary corporate
      action on the part of the Company, and this Agreement constitutes, and upon
      execution and delivery thereof each Note will constitute, a legal, valid and
      binding obligation of the Company enforceable against the Company in accordance
      with its terms, except as such enforceability may be limited by
      (a) applicable bankruptcy, insolvency, reorganization, moratorium or other
      similar laws affecting the enforcement of creditors’ rights generally and
      (b) general principles of equity (regardless of whether such enforceability
      is considered in a proceeding in equity or at law).

     

    Section 5.3.Disclosure.
      The
      Company, through its agent, JPMorgan Securities Inc., has delivered to each
      Purchaser a copy of a Private Placement Memorandum, dated November 2, 2006
      (the “Memorandum”),
      relating to the transactions contemplated hereby. This Agreement, the Memorandum
      and the documents, certificates or other writings identified in Schedule 5.3,
      and the
      financial statements listed in Schedule 5.5
      (this
      Agreement, the Memorandum and such documents, certificates or other writings
      and
      such financial statements delivered to each Purchaser prior to November 14,
      2006 being
      referred to, collectively, as the “Disclosure
      Documents”),
      taken
      as a whole, do not contain any untrue statement of a material fact or omit
      to
      state any material fact necessary to make the statements therein not misleading
      in light of the circumstances under which they were made. Since March 31, 2006,
      there has been no change in the financial condition, operations, business or
      properties of the Company or any Subsidiary except changes that individually
      or
      in the aggregate would not reasonably be expected to have a Material Adverse
      Effect.

     

    Section 5.4.Organization
      and Ownership of Shares of Subsidiaries.
      (a) Schedule 5.4
      is
      (except as noted therein) a complete and correct list of the Company’s
      Subsidiaries, showing, as to each Subsidiary, the correct name thereof, the
      jurisdiction of its organization, and the percentage of shares of each class
      of
      its capital stock or similar equity interests outstanding owned by the Company
      and each other Subsidiary.

     

    (b)All
      of
      the outstanding shares of capital stock or similar equity interests of each
      Subsidiary shown in Schedule 5.4
      as being
      owned by the Company and its Subsidiaries have been validly issued, are fully
      paid and nonassessable (subject to Section 180.0622(2)(b) of the Wisconsin
      Business Corporation Law, as judicially interpreted, to the extent applicable)
      and are owned by the Company or another Subsidiary free and clear of any Lien
      (except as otherwise disclosed in Schedule 5.4).

     

    (c)Each
      Subsidiary identified in Schedule 5.4
      is a
      corporation or other legal entity duly organized, validly existing and in good
      standing under the laws of its jurisdiction of organization, and is duly
      qualified as a foreign corporation or other legal entity and is in good standing
      in each jurisdiction in which such qualification is required by law, other
      than
      those jurisdictions as to which the failure to be so qualified or in good
      standing would not, individually or in the aggregate, reasonably be expected
      to
      have a Material Adverse Effect. Each such Subsidiary has the corporate or other
      power and authority to own or hold under lease the properties it purports to
      own
      or hold under lease and to transact the business it transacts and proposes
      to
      transact.

     

    Section 5.5.Financial
      Statements; Material Liabilities.
      The
      Company has delivered to each Purchaser copies of the financial statements
      of
      the Company and its Subsidiaries listed on Schedule 5.5.
      All of
      said financial statements (including in each case the related schedules and
      notes) fairly present in all material respects the consolidated financial
      position of the Company and its Subsidiaries as of the respective dates
      specified in such financial statements and the consolidated results of their
      operations and cash flows for the respective periods so specified and have
      been
      prepared in accordance with GAAP consistently applied throughout the periods
      involved except as set forth in the notes thereto (subject, in the case of
      any
      interim financial statements, to normal year-end adjustments). The Company
      and
      its Subsidiaries do not have any Material liabilities that are not disclosed
      on
      such financial statements or otherwise disclosed in the Disclosure
      Documents.

     

    Section 5.6.Compliance
      with Laws, Other Instruments, Etc.
      The
      execution, delivery and performance by the Company of this Agreement and the
      Notes will not (a) contravene, result in any breach of, or constitute a
      default under, or result in the creation of any Lien in respect of any property
      of the Company or any Subsidiary under, any indenture, mortgage, deed of trust,
      loan, purchase or credit agreement, lease, corporate charter or by-laws, or
      any
      other Material agreement or instrument to which the Company or any Subsidiary
      is
      bound or by which the Company or any Subsidiary or any of their respective
      properties may be bound or affected, (b) conflict with or result in a
      breach of any of the terms, conditions or provisions of any order, judgment,
      decree, or ruling of any court, arbitrator or Governmental Authority applicable
      to the Company or any Subsidiary or (c) violate any provision of any
      statute or other rule or regulation of any Governmental Authority applicable
      to
      the Company or any Domestic Subsidiary or, to the knowledge of the Company,
      any
      Foreign Subsidiary.

     

    Section 5.7.Governmental
      Authorizations, Etc.
      No
      consent, approval or authorization of, or registration, filing or declaration
      with, any Governmental Authority is required in connection with the execution,
      delivery or performance by the Company of this Agreement or the Notes (other
      than a filing of a Form 8-K with the SEC disclosing the Company’s entry
      into this Agreement).

     

    Section 5.8.Litigation;
      Observance of Statutes and Orders.
      (a) There are no actions, suits, investigations or proceedings pending or,
      to the knowledge of the Company, threatened against or affecting the Company
      or
      any Subsidiary or any property of the Company or any Subsidiary in any court
      or
      before any arbitrator of any kind or before or by any Governmental Authority
      that, individually or in the aggregate, would reasonably be expected to have
      a
      Material Adverse Effect.

     

    (b)Neither
      the Company nor any Subsidiary is in default under any order, judgment, decree
      or ruling of any court, arbitrator or Governmental Authority or is in violation
      of any applicable law, ordinance, rule or regulation (including without
      limitation Environmental Laws or the USA Patriot Act) of any Governmental
      Authority, which default or violation, individually or in the aggregate, would
      reasonably be expected to have a Material Adverse Effect.

     

    Section 5.9.Taxes.
      The
      Company and its Subsidiaries have filed all income tax returns that are required
      to have been filed in any jurisdiction, and have paid all taxes shown to be
      due
      and payable on such returns and all other taxes and assessments payable by
      them,
      to the extent such taxes and assessments have become due and payable and before
      they have become delinquent, except for any taxes and assessments (a) the
      amount of which is not individually or in the aggregate Material or (b) the
      amount, applicability or validity of which is currently being contested in
      good
      faith by appropriate proceedings and with respect to which the Company or a
      Subsidiary, as the case may be, has established adequate reserves in accordance
      with GAAP. The Federal income tax liabilities of the Company and its
      Subsidiaries have been finally determined (whether by reason of completed audits
      or the statute of limitations having run) for all fiscal years up to and
      including the fiscal year ended March 31, 2001.

     

    Section 5.10.Title
      to Property; Leases.
      The
      Company and its Subsidiaries have good and sufficient title to their respective
      Material properties, including all such properties reflected in the most recent
      audited balance sheet referred to in Section 5.5
      or
      purported to have been acquired by the Company or any Subsidiary after said
      date
      (except as sold or otherwise disposed of in the ordinary course of business),
      in
      each case free and clear of Liens prohibited by this Agreement, except for
      those
      defects in title and Liens that, individually or in the aggregate, would not
      have a Material Adverse Effect. All Material leases are valid and subsisting
      and
      are in full force and effect in all material respects.

     

    Section 5.11.Licenses,
      Permits, Etc.
      (a) The Company and its Subsidiaries own or possess all licenses, permits,
      franchises, authorizations, patents, copyrights, proprietary software, service
      marks, trademarks and trade names, or rights thereto, that are Material, without
      known conflict with the rights of others, except for those conflicts that,
      individually or in the aggregate, would not have a Material Adverse
      Effect.

     

    (b)To
      the
      best knowledge of the Company, no product of the Company or any of its
      Subsidiaries infringes in any Material respect any license, permit, franchise,
      authorization, patent, copyright, proprietary software, service mark, trademark,
      trade name or other right owned by any other Person.

     

    (c)To
      the
      best knowledge of the Company, there is no Material violation by any Person
      of
      any right of the Company or any of its Subsidiaries with respect to any patent,
      copyright, proprietary software, service mark, trademark, trade name or other
      right owned or used by the Company or any of its Subsidiaries.

     

    Section 5.12.Compliance
      with ERISA.
      (a) The Company and each ERISA Affiliate have operated and administered
      each Plan in compliance with all applicable laws except for such instances
      of
      noncompliance as have not resulted in and could not reasonably be expected
      to
      result in a Material Adverse Effect. Neither the Company nor any ERISA Affiliate
      has incurred any liability pursuant to Title I or IV of ERISA or the penalty
      or
      excise tax provisions of the Code relating to employee benefit plans (as defined
      in Section 3 of ERISA), and no event, transaction or condition has occurred
      or exists that would reasonably be expected to result in the incurrence of
      any
      such liability by the Company or any ERISA Affiliate, or in the imposition
      of
      any Lien on any of the rights, properties or assets of the Company or any ERISA
      Affiliate, in either case pursuant to Title I or IV of ERISA or to such penalty
      or excise tax provisions or to Section 401(a)(29) or 412 of the Code or
      Section 4068 of ERISA, other than such liabilities or Liens as would not be
      individually or in the aggregate Material.

     

    (b)The
      present value of the aggregate benefit liabilities under each of the Plans
      (other than Multiemployer Plans), determined as of the end of such Plan’s most
      recently ended plan year on the basis of the actuarial assumptions specified
      for
      funding purposes in such Plan’s most recent actuarial valuation report, did not
      exceed the aggregate current value of the assets of such Plan allocable to
      such
      benefit liabilities by more than $675,000 in the case of any single Plan and
      by
      more than $3,291,000 in the aggregate for all Plans. The term “benefit
      liabilities” has the meaning specified in Section 4001 of ERISA and the
      terms “current value” and “present value” have the meaning specified in
      Section 3 of ERISA.

     

    (c)The
      Company and its ERISA Affiliates have not incurred withdrawal liabilities (and
      are not subject to contingent withdrawal liabilities) under Section 4201 or
      4204 of ERISA in respect of Multiemployer Plans that individually or in the
      aggregate are Material.

     

    (d)The
      expected post-retirement benefit obligation (determined as of the last day
      of
      the Company’s most recently ended fiscal year in accordance with Financial
      Accounting Standards Board Statement No. 106, without regard to liabilities
      attributable to continuation coverage mandated by Section 4980B of the
      Code) of the Company and its Subsidiaries is not Material.

     

    (e)The
      execution and delivery of this Agreement and the issuance and sale of the Notes
      hereunder will not involve any transaction that is subject to the prohibitions
      of Section 406 of ERISA or in connection with which a tax could be imposed
      pursuant to Section 4975(c)(1)(A)-(D) of the Code. The representation by
      the Company in the first sentence of this Section 5.12(e)
      is made
      in reliance upon and subject to the accuracy of such Purchaser’s representation
      in Section 6.2
      as to
      the sources of the funds to be used to pay the purchase price of the Notes
      to be
      purchased by such Purchaser.

     

    Section 5.13.
      Private Offering by the Company.
      Neither
      the Company nor anyone acting on its behalf has offered the Notes, the
      Subsidiary Guaranty or any similar securities for sale to, or solicited any
      offer to buy any of the same from, or otherwise approached or negotiated in
      respect thereof with, any Person other than the Purchasers and not more than
      32
      other “accredited investors” (within the meaning of Rule 501(a) of
      Regulation D under the Securities Act) each of which has been offered the Notes
      and the Subsidiary Guaranty at a private sale for investment. Neither the
      Company nor anyone acting on its behalf has taken, or will take, any action
      that
      would subject the issuance or sale of the Notes or the issuance of the
      Subsidiary Guaranty to the registration requirements of Section 5 of the
      Securities Act or to the registration requirements of any securities or blue
      sky
      laws of any applicable jurisdiction, to the extent, if any, that such laws
      are
      applicable.

     

    Section 5.14.Use
      of Proceeds; Margin Regulations.
      The
      Company will apply the proceeds of the sale of the Notes as set forth in “The
      Offering and Use of Proceeds” section of the Memorandum. No part of the proceeds
      from the sale of the Notes hereunder will be used, directly or indirectly,
      for
      the purpose of buying or carrying any margin stock within the meaning of
      Regulation U of the Board of Governors of the Federal Reserve System (12
      CFR 221), or for the purpose of buying or carrying or trading in any securities
      under such circumstances as to involve the Company in a violation of Regulation
      X of said Board (12 CFR 224) or to involve any broker or dealer in a violation
      of Regulation T of said Board (12 CFR 220). Margin stock does not constitute
      more than 2% of the value of the consolidated assets of the Company and its
      Subsidiaries and the Company does not have any present intention that margin
      stock will constitute more than 2% of the value of such assets. As used in
      this
      Section, the terms “margin stock” and “purpose of buying or carrying” shall have
      the meanings assigned to them in said Regulation U.

     

    Section 5.15.Existing
      Debt.
      (a) Schedule 5.15
      sets
      forth a complete and correct list of all outstanding Debt of the Company and
      its
      Subsidiaries as of September 26, 2006 (including a description of the
      obligors and obligees, principal amount outstanding and collateral therefor,
      if
      any, and Guaranty thereof, if any), since which date there has been no Material
      change in the amounts, interest rates, sinking funds, installment payments
      or
      maturities of the Debt of the Company or its Subsidiaries. Neither the Company
      nor any Subsidiary is in default and no waiver of default is currently in
      effect, in the payment of any principal or interest on any Debt of the Company
      or such Subsidiary and no event or condition exists with respect to any Debt
      of
      the Company or any Subsidiary that would permit (or that with notice or the
      lapse of time, or both, would permit) one or more Persons to cause such Debt
      to
      become due and payable before its stated maturity or before its regularly
      scheduled dates of payment.

     

    (b)Neither
      the Company nor any Subsidiary is a party to, or otherwise subject to any
      provision contained in, any instrument evidencing Debt of the Company or such
      Subsidiary, any agreement relating thereto or any other agreement (including,
      but not limited to, its charter or other organizational document) which limits
      the amount of, or otherwise imposes restrictions on the incurring of, Debt
      of
      the Company or any Subsidiary, except as specifically indicated in Schedule 5.15.

     

    Section 5.16.Foreign
      Assets Control Regulations, Etc.
      (a) Neither the sale of the Notes by the Company hereunder nor its use of
      the proceeds thereof will violate the Trading with the Enemy Act, as amended,
      or
      any of the foreign assets control regulations of the United States Treasury
      Department (31 CFR, Subtitle B, Chapter V, as amended) or any enabling
      legislation or executive order relating thereto. 

     

    (b)Neither
      the Company nor any Subsidiary is a Person described or designated in the
      Specially Designated Nationals and Blocked Persons List of the Office of Foreign
      Assets Control or in Section 1 of the Anti-Terrorism Order. The Company and
      its Subsidiaries are in compliance, in all Material respects, with the USA
      Patriot Act to the extent applicable. 

     

    (c)No
      part
      of the proceeds from the sale of the Notes hereunder will be used, directly
      or
      indirectly, for any payments to any governmental official or employee, political
      party, official of a political party, candidate for political office, or anyone
      else acting in an official capacity, in order to obtain, retain or direct
      business or obtain any improper advantage, in violation of the United States
      Foreign Corrupt Practices Act of 1977, as amended, assuming in all cases that
      such Act applies to the Company. 

     

    Section 5.17.Status
      under Certain Statutes.
      Neither
      the Company nor any Subsidiary is subject to regulation under the Investment
      Company Act of 1940, as amended, the Public Utility Holding Company Act of
      2005,
      as amended, the ICC Termination Act of 1995, as amended, or the Federal Power
      Act, as amended.

     

    Section 5.18.Notes
      Rank Pari Passu.
      The
      obligations of the Company under this Agreement and the Notes rank at least
      pari
      passu
      in right
      of payment with all other unsecured Senior Debt (actual or contingent) of the
      Company, including, without limitation, all senior unsecured Debt of the Company
      described in Schedule 5.15
      hereto.

     

    Section 5.19.Environmental
      Matters.
      (a) Neither the Company nor any Subsidiary has knowledge of any claim or
      has received any notice of any claim, and no proceeding has been instituted
      raising any claim against the Company or any of its Subsidiaries or any of
      their
      respective real properties now or formerly owned, leased or operated by any
      of
      them or other assets, alleging any damage to the environment or violation of
      any
      Environmental Laws, except, in each case, such as could not reasonably be
      expected to result in a Material Adverse Effect. 

     

    (b)Neither
      the Company nor any Subsidiary has knowledge of any facts which would give
      rise
      to any claim, public or private, of violation of Environmental Laws or damage
      to
      the environment emanating from, occurring on or in any way related to real
      properties now or formerly owned, leased or operated by any of them or to other
      assets or their use, except, in each case, such as could not reasonably be
      expected to result in a Material Adverse Effect.

     

    (c)Neither
      the Company nor any Subsidiary has stored any Hazardous Materials on real
      properties now or formerly owned, leased or operated by any of them or has
      disposed of any Hazardous Materials in a manner contrary to any Environmental
      Laws in each case in any manner that could reasonably be expected to result
      in a
      Material Adverse Effect.

     

    (d)All
      buildings on all real properties now owned, leased or operated by the Company
      or
      any Subsidiary are in compliance with applicable Environmental Laws, except
      where failure to comply could not reasonably be expected to result in a Material
      Adverse Effect.

     

    Section 5.20.Airedale
      North America, Inc. and Airedale Inc.
      The
      respective Board of Directors and shareholders of Airedale North America, Inc.,
      a Pennsylvania corporation and Airedale Inc., a Delaware corporation
      (individually, an “Airedale
      Entity,”
      and
      collectively the “Airedale
      Entities”)
      have
      authorized the dissolution of the Airedale Entities. The Airedale Entities
      are
      shell entities which are not, directly or indirectly, engaged in any business
      or
      operations of any kind, do not hold any assets or properties and do not generate
      any income or revenues.

     

    
      	
              Section 6.

            	
              Representations
                of the Purchasers.

            

    

     

    Section 6.1.Purchase
      for Investment.
      Each
      Purchaser severally represents that it is purchasing the Notes for its own
      account or for one or more separate accounts maintained by such Purchaser or
      for
      the account of one or more pension or trust funds and not with a view to the
      distribution thereof; provided
      that the
      disposition of such Purchaser’s or their property shall at all times be within
      such Purchaser’s or their control. Each Purchaser understands that the Notes
      have not been registered under the Securities Act and may be resold only if
      registered pursuant to the provisions of the Securities Act or if an exemption
      from registration is available, except under circumstances where neither such
      registration nor such an exemption is required by law, and that the Company
      is
      not required to register the Notes.

     

    Section 6.2.Accredited
      Investor.
      Each
      Purchaser represents that it is an “accredited investor” (as defined in Rule
      501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act) acting
      for
      its own account (and not for the account of others) or as a fiduciary or agent
      for others (which others are also “accredited investors”).

     

    Section 6.3.Source
      of Funds.
      Each
      Purchaser severally represents that at least one of the following statements
      is
      an accurate representation as to each source of funds (a “Source”)
      to be
      used by such Purchaser to pay the purchase price of the Notes to be purchased
      by
      such Purchaser hereunder:

     

    (a)the
      Source is an “insurance company general account” (as the term is defined in the
      United States Department of Labor’s Prohibited Transaction Exemption
      (“PTE”)
      95-60)
      in respect of which the reserves and liabilities (as defined by the annual
      statement for life insurance companies approved by the National Association
      of
      Insurance Commissioners (the “NAIC
      Annual Statement”))
      for
      the general account contract(s) held by or on behalf of any employee benefit
      plan together with the amount of the reserves and liabilities for the general
      account contract(s) held by or on behalf of any other employee benefit plans
      maintained by the same employer (or affiliate thereof as defined in PTE 95-60)
      or by the same employee organization in the general account do not exceed ten
      percent (10%) of the total reserves and liabilities of the general account
      (exclusive of separate account liabilities) plus surplus as set forth in the
      NAIC Annual Statement filed with such Purchaser’s state of domicile;
      or

     

    (b)the
      Source is a separate account that is maintained solely in connection with such
      Purchaser’s fixed contractual obligations under which the amounts payable, or
      credited, to any employee benefit plan (or its related trust) that has any
      interest in such separate account (or to any participant or beneficiary of
      such
      plan (including any annuitant)) are not affected in any manner by the investment
      performance of the separate account; or 

     

    (c)the
      Source is either (i) an insurance company pooled separate account, within
      the meaning of PTE 90-1, or (ii) a bank collective investment fund, within
      the meaning of the PTE 91-38 and, except as have been disclosed by such
      Purchaser to the Company in writing pursuant to this clause (c), no
      employee benefit plan or group of plans maintained by the same employer or
      employee organization beneficially owns more than 10% of all assets allocated
      to
      such pooled separate account or collective investment fund; or

     

    (d)the
      Source constitutes assets of an “investment fund” (within the meaning of
      Part V of PTE 84-14 (the “QPAM
      Exemption”))
      managed by a “qualified professional asset manager” or “QPAM” (within the
      meaning of Part V of the QPAM Exemption), no employee benefit plan’s assets
      that are included in such investment fund, when combined with the assets of
      all
      other employee benefit plans established or maintained by the same employer
      or
      by an affiliate (within the meaning of Section V(c)(1) of the QPAM
      Exemption) of such employer or by the same employee organization and managed
      by
      such QPAM, exceed 20% of the total client assets managed by such QPAM, the
      conditions of Part I(c) and (g) of the QPAM Exemption are satisfied, as of
      the last day of its most recent calendar quarter, the QPAM does not own a 10%
      or
      more interest in the Company and no person controlling or controlled by the
      QPAM
      (applying the definition of “control” in Section V(e) of the QPAM
      Exemption) owns a 20% or more interest in the Company (or less than 20% but
      greater than 10%, if such person exercises control over the management or
      policies of the Company by reason of its ownership interest) and (i) the
      identity of such QPAM and (ii) the names of all employee benefit plans
      whose assets are included in such investment fund have been disclosed to the
      Company in writing pursuant to this clause (d); or

     

    (e)the
      Source constitutes assets of a “plan(s)” (within the meaning of Section IV
      of PTE 96-23 (the “INHAM
      Exemption”))
      managed by an “in-house asset manager” or “INHAM” (within the meaning of
      Part IV of the INHAM exemption), the conditions of Part I(a), (g) and (h)
      of the INHAM Exemption are satisfied, neither the INHAM nor a Person controlling
      or controlled by the INHAM (applying the definition of “control” in
      Section IV(d) of the INHAM Exemption) owns a 5% or more interest in the
      Company and (i) the identity of such INHAM and (ii) the name(s) of the employee
      benefit plan(s) whose assets constitute the Source have been disclosed to the
      Company in writing pursuant to this clause (e); or

     

    (f)the
      Source is a governmental plan; or

     

    (g)the
      Source is one or more employee benefit plans, or a separate account or trust
      fund comprised of one or more employee benefit plans, each of which has been
      identified to the Company in writing pursuant to this clause (g);
      or

     

    (h)the
      Source does not include assets of any employee benefit plan, other than a plan
      exempt from the coverage of ERISA.

     

    As
      used
      in this Section 6.3,
      the
      terms “employee benefit plan”, “governmental plan”, “party in interest” and
“separate account” shall have the respective meanings assigned to such terms in
      section 3 of ERISA.

     

    
      	
              Section 7.

            	
              Information
                as to the Company.

            

    

     

    Section 7.1.Financial
      and Business Information.
      The
      Company shall deliver to each holder of Notes that is an Institutional
      Investor:

     

    (a)Quarterly
      Statements—
within
      60 days (or such shorter period as is 15 days greater than the period applicable
      to the filing of the Company’s Quarterly Report on Form 10-Q (the
“Form 10-Q”)
      with
      the SEC regardless of whether the Company is subject to the filing requirements
      thereof) after the end of each quarterly fiscal period in each fiscal year
      of
      the Company (other than the last quarterly fiscal period of each such fiscal
      year), duplicate copies of:

     

    (i)a
      consolidated balance sheet of the Company and its Subsidiaries as at the end
      of
      such quarter, and

     

    (ii)consolidated
      statements of income, changes in shareholders’ equity and cash flows of the
      Company and its Subsidiaries for such quarter and (in the case of the second
      and
      third quarters) for the portion of the fiscal year ending with such
      quarter,

     

    setting
      forth in each case in comparative form the figures for the corresponding periods
      in the previous fiscal year, all in reasonable detail, prepared in accordance
      with GAAP applicable to quarterly financial statements generally, and certified
      by a Senior Financial Officer as fairly presenting, in all material respects,
      the financial position of the companies being reported on and their results
      of
      operations and cash flows, subject to changes resulting from year-end
      adjustments; provided
      that
      delivery within the time period specified above of copies of the Company’s Form
      10-Q prepared in compliance with the requirements therefor and filed with the
      SEC shall be deemed to satisfy the requirements of this Section 7.1(a);
      provided,
      further,
      that the
      Company shall be deemed to have made such delivery of such Form 10-Q if it
      shall have timely made such Form 10-Q available on “EDGAR” and on its home
      page on the worldwide web (at the date of this Agreement located at:
      http//www.modine.com) and shall have given each Purchaser prior notice of such
      availability on EDGAR and on its home page in connection with each delivery
      (such availability and notice thereof being referred to as “Electronic
      Delivery”);

     

    (b)Annual
      Statements—
within
      120 days (or such shorter period as is 15 days greater than the period
      applicable to the filing of the Company’s Annual Report on Form 10-K (the
“Form 10-K”)
      with
      the SEC regardless of whether the Company is subject to the filing requirements
      thereof) after the end of each fiscal year of the Company, duplicate copies
      of,

     

    (i)a
      consolidated balance sheet of the Company and its Subsidiaries, as at the end
      of
      such year, and

     

    (ii)consolidated
      statements of income, changes in shareholders’ equity and cash flows of the
      Company and its Subsidiaries, for such year,

     

    setting
      forth in each case in comparative form the figures for the previous fiscal
      year,
      all in reasonable detail, prepared in accordance with GAAP, and accompanied
      by
      an opinion thereon of independent public accountants of recognized national
      standing, which opinion shall state that such financial statements present
      fairly, in all material respects, the financial position of the companies being
      reported upon and their results of operations and cash flows and have been
      prepared in conformity with GAAP, and that the examination of such accountants
      in connection with such financial statements has been made in accordance with
      generally accepted auditing standards, and that such audit provides a reasonable
      basis for such opinion in the circumstances, provided
      that the
      delivery within the time period specified above of the Company’s Form 10-K for
      such fiscal year (together with the Company’s annual report to shareholders, if
      any, prepared pursuant to Rule 14a-3 under the Exchange Act) prepared in
      accordance with the requirements therefor and filed with the SEC shall be deemed
      to satisfy the requirements of this Section 7.1(b);
      provided,
      further,
      that the
      Company shall be deemed to have made such delivery of such Form 10-K if it
      shall have timely made Electronic Delivery thereof;

     

    (c)SEC
      and Other Reports—
      promptly upon their becoming available, one copy of (i) each financial
      statement, report, notice or proxy statement sent by the Company or any
      Subsidiary to its principal lending banks as a whole (excluding information
      sent
      to such banks in the ordinary course of administration of a bank facility,
      such
      as information relating to pricing and borrowing availability or to its public
      securities holders generally) and (ii) each regular or periodic report,
      each registration statement that shall have become effective (without exhibits
      except as expressly requested by such holder), and each final prospectus and
      all
      amendments thereto filed by the Company or any Subsidiary with the SEC;
provided,
      further,
      that the
      Company shall be deemed to have made such delivery of such other reports if
      it
      shall have timely made Electronic Delivery thereof;

     

    (d)Notice
      of Default or Event of Default—
      promptly, and in any event within five Business Days after a Responsible Officer
      becoming aware of the existence of any Default or Event of Default, a written
      notice specifying the nature and period of existence thereof and what action
      the
      Company is taking or proposes to take with respect thereto;

     

    (e)ERISA
      Matters—
      promptly, and in any event within five Business Days after a Responsible Officer
      becoming aware of any of the following, a written notice setting forth the
      nature thereof and the action, if any, that the Company or an ERISA Affiliate
      proposes to take with respect thereto:

     

    (i)with
      respect to any Plan, any reportable event, as defined in Section 4043(c) of
      ERISA and the regulations thereunder, for which notice thereof has not been
      waived pursuant to such regulations as in effect on the date hereof;
      or

     

    (ii)the
      taking by the PBGC of steps to institute, or the threatening by the PBGC of
      the
      institution of, proceedings under Section 4042 of ERISA for the termination
      of, or the appointment of a trustee to administer, any Plan, or the receipt
      by
      the Company or any ERISA Affiliate of a notice from a Multiemployer Plan that
      such action has been taken by the PBGC with respect to such Multiemployer Plan;
      or

     

    (iii)any
      event, transaction or condition that could result in the incurrence of any
      liability by the Company or any ERISA Affiliate pursuant to Title I or IV of
      ERISA or the penalty or excise tax provisions of the Code relating to employee
      benefit plans, or in the imposition of any Lien on any of the rights, properties
      or assets of the Company or any ERISA Affiliate pursuant to Title I or IV of
      ERISA or such penalty or excise tax provisions, if such liability or Lien,
      taken
      together with any other such liabilities or Liens then existing, would
      reasonably be expected to have a Material Adverse Effect; and

     

    (f)Requested
      Information—
with
      reasonable promptness, such other data and information relating to the business,
      operations, affairs, financial condition, assets or properties of the Company
      or
      any of its Subsidiaries (including, but without limitation, actual copies of
      the
      Company’s Form 10-Q and Form 10-K) or relating to the ability of the
      Company to perform its obligations hereunder and under the Notes as from time
      to
      time may be reasonably requested by any such holder of Notes.

     

    Section 7.2.Officer’s
      Certificate.
      Each
      set of financial statements delivered to a holder of Notes pursuant to
Section 7.1(a)
      or
Section 7.1(b)
      shall be
      accompanied by a certificate of a Senior Financial Officer setting forth (which,
      in the case of Electronic Delivery of such financial statements, shall be by
      separate concurrent delivery of such certificate to each holder of
      Notes):

     

    (a)Covenant
      Compliance—
the
      information (including detailed calculations) required in order to establish
      whether the Company was in compliance with the requirements of Section 10.1
      through
Section 10.5,
      inclusive, during the quarterly or annual period covered by the statements
      then
      being furnished (including with respect to each such Section, where applicable,
      the calculations of the maximum or minimum amount, ratio or percentage, as
      the
      case may be, permissible under the terms of such Sections, and the calculation
      of the amount, ratio or percentage then in existence); and

     

    (b)Event
      of Default—
a
      statement that such Senior Financial Officer has reviewed the relevant terms
      hereof and has made, or caused to be made, under his or her supervision, a
      review of the transactions and conditions of the Company and its Subsidiaries
      from the beginning of the quarterly or annual period covered by the statements
      then being furnished to the date of the certificate and that such review shall
      not have disclosed the existence during such period of any condition or event
      that constitutes a Default or an Event of Default or, if any such condition
      or
      event existed or exists (including, without limitation, any such event or
      condition resulting from the failure of the Company or any Subsidiary to comply
      with any Environmental Law), specifying the nature and period of existence
      thereof and what action the Company shall have taken or proposes to take with
      respect thereto.

     

    Section 7.3.Visitation.
      The
      Company shall permit the representatives of each holder of Notes that is an
      Institutional Investor:

     

    (a)No
      Default—
if
      no
      Default or Event of Default then exists, at the expense of such holder and
      upon
      reasonable prior notice to the Company, to visit the principal executive office
      of the Company, to discuss the affairs, finances and accounts of the Company
      and
      its Subsidiaries with the Company’s officers, and, with the consent of the
      Company (which consent will not be unreasonably withheld), to visit the other
      offices and properties of the Company and each Subsidiary, all at such
      reasonable times and as often as may be reasonably requested in writing;
      and

     

    (b)Default—
if
      a
      Default or Event of Default then exists, at the expense of the Company, to
      visit
      and inspect any of the offices or properties of the Company or any Subsidiary,
      to examine all their respective books of account, records, reports and other
      papers, to make copies and extracts therefrom, and to discuss their respective
      affairs, finances and accounts with their respective officers and independent
      public accountants (and by this provision the Company authorizes said
      accountants to discuss the affairs, finances and accounts of the Company and
      its
      Subsidiaries), all at such times and as often as may be requested.

     

    
      	
              Section 8.

            	
              Prepayment
                of the Notes.

            

    

     

    Section 8.1.Required
      Prepayments.
      No
      regularly scheduled prepayment of the principal of the Series A Notes or
      the Series B Notes is required prior to the final maturity date
      thereof.

     

    Section 8.2.Optional
      Prepayments with Make-Whole Amount.
      (a) The
      Company may, at its option, upon notice as provided below, prepay at any time
      all, or from time to time any part of, the Series A Notes, in an amount not
      less
      than 10% of the aggregate principal amount of the Series A Notes then
      outstanding in the case of a partial prepayment, at 100% of the principal amount
      so prepaid, together with interest accrued thereon to the date of such
      prepayment, and the Make-Whole Amount determined for the prepayment date with
      respect to such principal amount. The Company will give each holder of Series
      A
      Notes written notice of each optional prepayment under this Section 8.2(a)
      not less
      than 30 days and not more than 60 days prior to the date fixed for such
      prepayment. Each such notice shall specify such date (which shall be a Business
      Day), the aggregate principal amount of the Series A Notes to be prepaid on
      such
      date, the principal amount of each Series A Note held by such holder to be
      prepaid (determined in accordance with Section 8.3),
      and
      the interest to be paid on the prepayment date with respect to such principal
      amount being prepaid, and shall be accompanied by a certificate of a Senior
      Financial Officer as to the estimated Make-Whole Amount due in connection with
      such prepayment (calculated as if the date of such notice were the date of
      the
      prepayment), setting forth the details of such computation. Two Business Days
      prior to such prepayment, the Company shall deliver to each holder of Series
      A
      Notes a certificate of a Senior Financial Officer specifying the calculation
      of
      such Make-Whole Amount as of the specified prepayment date.

     

    (b)
      The
      Company may, at its option, upon notice as provided below, prepay at any time
      all, or from time to time any part of, the Series B Notes, in an amount not
      less
      than 10% of the aggregate principal amount of the Series B Notes then
      outstanding in the case of a partial prepayment, at 100% of the principal amount
      so prepaid, together with interest accrued thereon to the date of such
      prepayment, and the Make-Whole Amount determined for the prepayment date with
      respect to such principal amount. The Company will give each holder of Series
      B
      Notes written notice of each optional prepayment under this Section 8.2(b)
      not less
      than 30 days and not more than 60 days prior to the date fixed for such
      prepayment. Each such notice shall specify such date (which shall be a Business
      Day), the aggregate principal amount of the Series B Notes to be prepaid on
      such
      date, the principal amount of each Series B Note held by such holder to be
      prepaid (determined in accordance with Section 8.3),
      and
      the interest to be paid on the prepayment date with respect to such principal
      amount being prepaid, and shall be accompanied by a certificate of a Senior
      Financial Officer as to the estimated Make-Whole Amount due in connection with
      such prepayment (calculated as if the date of such notice were the date of
      the
      prepayment), setting forth the details of such computation. Two Business Days
      prior to such prepayment, the Company shall deliver to each holder of Series
      B
      Notes a certificate of a Senior Financial Officer specifying the calculation
      of
      such Make-Whole Amount as of the specified prepayment date.

     

    Section 8.3.Allocation
      of Partial Prepayments.
      In the
      case of each partial prepayment of the Notes of either series pursuant to
Section 8.2,
      the
      principal amount of the Notes of such series to be prepaid shall be allocated
      among all of the Notes of such series at the time outstanding in proportion,
      as
      nearly as practicable, to the respective unpaid principal amounts thereof not
      theretofore called for prepayment. All partial prepayments made pursuant to
      Section
      8.7 shall
      be
      applied only to the Notes of the holders who have elected to participate in
      such
      prepayment.

     

    Section 8.4.Maturity;
      Surrender, Etc;.
      In the
      case of each prepayment of Notes pursuant to this Section 8,
      the
      principal amount of each Note to be prepaid shall mature and become due and
      payable on the date fixed for such prepayment (which shall be a Business Day),
      together with interest on such principal amount accrued to such date and the
      applicable Make-Whole Amount, if any. From and after such date, unless the
      Company shall fail to pay such principal amount when so due and payable,
      together with the interest and Make-Whole Amount, if any, as aforesaid, interest
      on such principal amount shall cease to accrue. Any Note paid or prepaid in
      full
      shall be surrendered to the Company and cancelled and shall not be reissued,
      and
      no Note shall be issued in lieu of any prepaid principal amount of any
      Note.

     

    Section 8.5.Purchase
      of Notes.
      The
      Company will not and will not permit any Affiliate to purchase, redeem, prepay
      or otherwise acquire, directly or indirectly, any of the outstanding Notes
      except (a) upon the payment or prepayment of the Notes in accordance with
      the terms of this Agreement and the Notes or (b) pursuant to an offer to
      purchase made by the Company or an Affiliate pro rata to the holders of all
      Notes at the time outstanding upon the same terms and conditions. Any such
      offer
      shall provide each holder with sufficient information to enable it to make
      an
      informed decision with respect to such offer, and shall remain open for at
      least
      15 Business Days. If the holders of more than 10% of the principal amount of
      the
      Notes then outstanding accept such offer, the Company shall promptly notify
      the
      remaining holders of such fact and the expiration date for the acceptance by
      holders of Notes of such offer shall be extended by the number of days necessary
      to give each such remaining holder at least 5 Business Days from its receipt
      of
      such notice to accept such offer. The Company will promptly cancel all Notes
      acquired by it or any Affiliate pursuant to any payment, prepayment or purchase
      of Notes pursuant to any provision of this Agreement and no Notes may be issued
      in substitution or exchange for any such Notes.

     

    Section 8.6.Make-Whole
      Amount.
      The
      term “Make-Whole
      Amount”
      means,
      with respect to any Note of either series, an amount equal to the excess, if
      any, of the Discounted Value of the Remaining Scheduled Payments with respect
      to
      the Called Principal of such Note of such series over the amount of such Called
      Principal; provided
      that the
      Make-Whole Amount may in no event be less than zero. For the purposes of
      determining the Make-Whole Amount, the following terms have the following
      meanings:

     

    “Called
      Principal”
      means,
      with respect to any Note of either series, the principal of such Note of such
      series that is to be prepaid pursuant to Section 8.2
      or has
      become or is declared to be immediately due and payable pursuant to Section 12.1,
      as the
      context requires.

     

    “Discounted
      Value”
      means,
      with respect to the Called Principal of any Note, the amount obtained by
      discounting all Remaining Scheduled Payments with respect to such Called
      Principal from their respective scheduled due dates to the Settlement Date
      with
      respect to such Called Principal, in accordance with accepted financial practice
      and at a discount factor (applied on the same periodic basis as that on which
      interest on the Notes is payable) equal to the Reinvestment Yield with respect
      to such Called Principal.

     

    “Reinvestment
      Yield”
      means,
      with respect to the Called Principal of any Note, 0.50% (50 basis points) over
      the yield to maturity implied by (i) the yields reported as of 10:00 a.m. (New
      York City time) on the second Business Day preceding the Settlement Date with
      respect to such Called Principal, on the display designated as “Page PX1” (or
      such other display as may replace Page PX1 on Bloomberg Financial Markets
      (“Bloomberg”) or, if Page PX1 (or its successor screen on Bloomberg) is
      unavailable, the Telerate Access Service screen which corresponds most closely
      to Page PX1 for the most recently issued actively traded U.S. Treasury
      securities having a maturity equal to the Remaining Average Life of such Called
      Principal as of such Settlement Date, or (ii) if such yields are not
      reported as of such time or the yields reported as of such time are not
      ascertainable (including by way of interpolation), the Treasury Constant
      Maturity Series Yields reported, for the latest day for which such yields have
      been so reported as of the second Business Day preceding the Settlement Date
      with respect to such Called Principal, in Federal Reserve Statistical Release
      H.15 (519) (or any comparable successor publication) for actively traded U.S.
      Treasury securities having a constant maturity equal to the Remaining Average
      Life of such Called Principal as of such Settlement Date. Such implied yield
      will be determined, if necessary, by (a) converting U.S. Treasury bill
      quotations to bond-equivalent yields in accordance with accepted financial
      practice and (b) interpolating linearly between (1) the actively
      traded U.S. Treasury security with the maturity closest to and greater than
      such
      Remaining Average Life and (2) the actively traded U.S. Treasury security
      with the maturity closest to and less than such Remaining Average Life. The
      Reinvestment Yield shall be rounded to the number of decimal places as appears
      in the interest rate of the applicable Note.

     

    “Remaining
      Average Life”
      means,
      with respect to any Called Principal, the number of years (calculated to the
      nearest one-twelfth year) obtained by dividing (a) such Called Principal
      into (b) the sum of the products obtained by multiplying (i) the
      principal component of each Remaining Scheduled Payment with respect to such
      Called Principal by (ii) the number of years (calculated to the nearest
      one-twelfth year) that will elapse between the Settlement Date with respect
      to
      such Called Principal and the scheduled due date of such Remaining Scheduled
      Payment.

     

    “Remaining
      Scheduled Payments”
      means,
      with respect to the Called Principal of any Note, all payments of such Called
      Principal and interest thereon that would be due after the Settlement Date
      with
      respect to such Called Principal if no payment of such Called Principal were
      made prior to its scheduled due date; provided
      that if
      such Settlement Date is not a date on which interest payments are due to be
      made
      under the terms of the Notes, then the amount of the next succeeding scheduled
      interest payment will be reduced by the amount of interest accrued to such
      Settlement Date and required to be paid on such Settlement Date pursuant to
      Section 8.2
      or
      Section 12.1.

     

    “Settlement
      Date”
      means,
      with respect to the Called Principal of any Note, the date on which such Called
      Principal is to be prepaid pursuant to Section 8.2
      or has
      become or is declared to be immediately due and payable pursuant to Section 12.1,
      as the
      context requires.

     

    If
      the
      Required Holders of the Notes agree on a calculation of the Make-Whole Amount
      that differs from the calculation furnished by the Company, the calculation
      of
      the Required Holders shall be conclusively deemed correct absent manifest
      error.

     

    Section
      8.7.Change
      in Control.

     

    (a)Conditions
      to Company Action.
      The
      Company will not take any action that consummates or finalizes a Change in
      Control unless at least twenty (20) Business Days prior to such action the
      Company shall have given to each holder of Notes written notice containing
      and
      constituting an offer to prepay such Notes as described in Section
      8.7(b),
      accompanied by the certificate described in Section 8.7(f),
      and
      subject to the provisions of clause (c) of this Section 8.7,
      contemporaneously with such action, it prepays all Notes required to be prepaid
      in accordance with this Section
      8.7.

     

    (b)Offer
      to Prepay Notes.
      The
      offer to prepay the Notes contemplated by paragraph (a) of this
Section
      8.7
      shall be
      an offer to prepay by the Company, in accordance with and subject to this
Section 8.7,
      all,
      but not less than all, the Notes held by each holder (in this case only,
“holder” in respect of any Note registered in the name of a nominee for a
      disclosed beneficial owner shall mean such beneficial owner) on a date specified
      in such offer (the “Proposed
      Prepayment Date”)
      which
      shall be the effective date of the Change in Control.

     

    (c)Acceptance.
      A
      holder of Notes may accept the offer to prepay made pursuant to this
Section 8.7
      by
      causing a notice of such acceptance to be delivered to the Company at least
      seven (7) Business Days prior to the Proposed Prepayment Date. A failure by
      a holder of Notes to respond to an offer to prepay made pursuant to this
Section
      8.7
      shall be
      deemed to constitute a rejection of such offer by such holder.

     

    (d)Prepayment.
      Prepayment of the Notes to be prepaid pursuant to this Section 8.7
      shall be
      at 100% of the principal amount of the Notes together with accrued and unpaid
      interest thereon but without any Make-Whole Amount. The prepayment shall be
      made
      on the Proposed Prepayment Date except as provided in Section
      8.7(e).
      The
      obligation of the Company to prepay the Notes pursuant to the offers required
      by
      subparagraph (b) and accepted in accordance with subparagraph (c) of
      this Section 8.7
      is
      subject to the occurrence of the Change in Control in respect of which such
      offers and acceptances shall have been made. 

     

    (e)Deferral
      Pending Change in Control.
      In the
      event that such Change in Control does not occur on the Proposed Prepayment
      Date
      in respect thereof, the prepayment shall be deferred until and shall be made
      on
      the date on which such Change in Control occurs. The Company shall keep each
      holder of Notes reasonably and timely informed of (i) any such deferral of
      the date of prepayment, (ii) the date on which such Change in Control and
      the prepayment are expected to occur, and (iii) any determination by the
      Company that efforts to effect such Change in Control have ceased or been
      abandoned (in which case the offers and acceptances made pursuant to this
Section 8.7
      in
      respect of such Change in Control shall be deemed rescinded).

     

    (f)Officer’s
      Certificate.
      Each
      offer to prepay the Notes pursuant to this Section 8.7
      shall be
      accompanied by a certificate, executed by a Senior Financial Officer of the
      Company and dated the date of such offer, specifying: (i) the Proposed
      Prepayment Date; (ii) that such offer is made pursuant to this Section
      8.7;
      (iii)
      the principal amount of each Note offered to be prepaid; (iv) the interest
      that
      would be due on each Note offered to be prepaid, accrued to the Proposed
      Prepayment Date; (v) that the conditions of Section 8.7(a)
      have
      been fulfilled; and (vi) in reasonable detail, the nature and date or proposed
      date of the Change in Control.

     

    (g)Certain
      Definitions.  “Change
      in Control”
      shall be
      deemed to have occurred if any Person or group of Persons acting in concert
      directly or indirectly acquires more than 50% of the voting rights or shares
      of
      the Company. For the purposes hereof, “group of Persons acting in concert”
means, Persons who, pursuant to a formal agreement, actively co-operate, through
      the acquisition by any of them, either directly or indirectly, of shares in
      the
      Company, to obtain or consolidate control of the Company.

     

    
      	
              Section 9.

            	
              Affirmative
                Covenants.

            

    

     

    The
      Company covenants that so long as any of the Notes are outstanding:

     

    Section 9.1.Compliance
      with Law.
      Without
      limiting Section 10.9,
      the
      Company will, and will cause each of its Subsidiaries to, comply with all laws,
      ordinances or governmental rules or regulations to which each of them is
      subject, including, without limitation, ERISA, the USA Patriot Act and
      Environmental Laws, and will obtain and maintain in effect all licenses,
      certificates, permits, franchises and other governmental authorizations
      necessary to the ownership of their respective properties or to the conduct
      of
      their respective businesses, in each case to the extent necessary to ensure
      that
      non-compliance with such laws, ordinances or governmental rules or regulations
      or failures to obtain or maintain in effect such licenses, certificates,
      permits, franchises and other governmental authorizations would not reasonably
      be expected, individually or in the aggregate, to have a Material Adverse
      Effect.

     

    Section 9.2.Insurance.
      The
      Company will, and will cause each of its Subsidiaries to (either in the name
      of
      the Company or in such Subsidiary’s own name), maintain, with financially sound
      and reputable insurers, insurance with respect to their respective properties
      and businesses against such casualties and contingencies, of such types, on
      such
      terms and in such amounts (including deductibles, co-insurance and
      self-insurance, if adequate reserves are maintained with respect thereto) as
      is
      customary in the case of entities of established reputations engaged in the
      same
      or a similar business and similarly situated.

     

    Section 9.3.Maintenance
      of Properties.
      The
      Company will, and will cause each of its Subsidiaries to, maintain and keep,
      or
      cause to be maintained and kept, their respective properties in good repair,
      working order and condition (other than ordinary wear and tear), so that the
      business carried on in connection therewith may be properly conducted at all
      times; provided
      that
      this Section shall not prevent the Company or any Subsidiary from discontinuing
      the operation and the maintenance of any of its properties if such
      discontinuance is desirable in the conduct of its business and the Company
      has
      concluded that such discontinuance would not, individually or in the aggregate,
      have a Material Adverse Effect.

     

    Section 9.4.Payment
      of Taxes.
      The
      Company will, and will cause each of its Subsidiaries to, file all income or
      similar tax returns required to be filed in any jurisdiction and to pay and
      discharge all taxes shown to be due and payable on such returns and all other
      taxes, assessments, governmental charges, or levies payable by any of them,
      to
      the extent such taxes and assessments have become due and payable and before
      they have become delinquent; provided
      that
      neither the Company nor any Subsidiary need pay any such tax or assessment
      if
      (a) the amount, applicability or validity thereof is contested by the
      Company or such Subsidiary on a timely basis in good faith and in appropriate
      proceedings, and the Company or a Subsidiary has established adequate reserves
      therefor in accordance with GAAP on the books of the Company or such Subsidiary
      or (b) the nonpayment of all such taxes, assessments and claims in the
      aggregate would not reasonably be expected to have a Material Adverse
      Effect.

     

    Section 9.5.Corporate
      Existence, Etc.
      Subject
      to Section 10.6,
      the
      Company will at all times preserve and keep in full force and effect its
      corporate existence. Subject to Sections 10.5
      and
10.6,
      the
      Company will at all times preserve and keep in full force and effect the
      corporate existence of each of its Subsidiaries (unless merged into the Company
      or a Wholly-owned Subsidiary) and all rights and franchises of the Company
      and
      its Subsidiaries unless the termination of or failure to preserve and keep
      in
      full force and effect such corporate existence, right or franchise would not,
      individually or in the aggregate, have a Material Adverse Effect.

     

    Section 9.6.Notes
      to Rank Pari Passu. The
      Notes
      and all other obligations under this Agreement of the Company are and at all
      times shall rank at least pari
      passu
      in right
      of payment with all other present and future unsecured Senior Debt (actual
      or
      contingent) of the Company which is not expressed to be subordinate or junior
      in
      rank to any other unsecured Debt of the Company.

     

    Section 9.7.Books
      and Records.
      The
      Company will, and will cause each of its Subsidiaries to, maintain proper books
      of record and account in conformity with GAAP and all applicable requirements
      of
      any Governmental Authority having legal or regulatory jurisdiction over the
      Company, or such Subsidiary, as the case may be.

     

    Section 9.8.Guaranty
      by Subsidiaries.
      The
      Company will cause each Subsidiary which delivers a Guaranty to any Person
      in
      respect of Debt of the Company outstanding under any of the Credit Agreement,
      the Shelf Note Purchase Agreement or the 2005 Note Purchase Agreement (subject
      to compliance with Section
      10.10,
      excluding the Airedale Entities) to concurrently enter into a Subsidiary
      Guaranty, and within three Business Days thereafter will deliver to each of the
      holders of the Notes the following items:

     

    (a)an
      executed counterpart of such Subsidiary Guaranty or joinder agreement in respect
      of an existing Subsidiary Guaranty, as appropriate; and

     

    (b)such
      other documents, opinions and information as the Required Holders reasonably
      may
      require regarding such Subsidiary and the enforceability of such Subsidiary
      Guaranty.

     

    
      	
              Section 10.

            	
              Negative
                Covenants.

            

    

     

    The
      Company covenants that so long as any of the Notes are outstanding:

     

    Section 10.1.Limitations
      on Consolidated Total Debt. The
      Company will not permit as of the last day of each fiscal quarter the ratio
      of
      (a) Consolidated Total Debt to (b) Consolidated EBITDA for the four
      consecutive fiscal quarters then most recently ended, to exceed 3.25 to
      1.0.

     

    Section 10.2.Limitations
      on Subsidiary Debt. The
      Company will not at any time permit any Subsidiary (including, in the case
      of
      any Qualified Receivables Transaction, any Person to whom any accounts or notes
      receivable and rights related thereto have been sold, conveyed or transferred)
      to, directly or indirectly, create, incur, assume, guarantee, have outstanding,
      or otherwise become or remain directly or indirectly liable with respect to,
      any
      Debt other than:

     

    (a)Debt
      of a
      Subsidiary owed to the Company or a Wholly-Owned Subsidiary; 

     

    (b)Debt
      of
      Subsidiaries outstanding as of the date hereof and described on Schedule 5.15
      hereto,
provided
      that
      such Debt may be extended, renewed, refunded or refinanced (without increase
      in
      principal amount) without regard to the limitations on this Section
      10.2;

     

    (c)Debt
      of a
      Subsidiary outstanding at the time such Person becomes a Subsidiary provided
      that
      (i) such Debt shall not have been incurred in contemplation of the Person
      becoming a Subsidiary, (ii) at the time of such acquisition and after
      giving effect thereto, no Default or Event of Default shall exist, and
provided
      further
      that
      such Debt may not be extended, renewed or refunded except as otherwise permitted
      by this Agreement;

     

    (d)Debt
      consisting of unsecured Guaranties of Subsidiary Guarantors of Debt of the
      Company or another Subsidiary;

     

    (e)Receivables
      Transaction Attributable Indebtedness in connection with Qualified Receivables
      Transactions; and

     

    (f)Debt
      of a
      Subsidiary in addition to that otherwise permitted by the foregoing provisions
      of this Section 10.2,
      provided
      that the
      sum (without duplication) of (i) the total amount of all Debt incurred
      pursuant to this clause (f), plus
      (ii) Consolidated Total Debt of the Company secured by Liens permitted by
Section 10.4(k),
      would
      not in the aggregate at any time exceed the greater of (1) $100,000,000 or
      (2) 20% of Consolidated Net Worth.

     

    Section
      10.3.
      Interest Expense Coverage Ratio. The
      Company will not permit, at any time, the ratio of (a) Consolidated EBIT for
      the
      period of four consecutive fiscal quarters then most recently ended to (b)
      Consolidated Interest Expense for the period of four consecutive fiscal quarters
      then most recently ended to be less than 2.50 to 1.00.

     

    Section 10.4.Limitation
      on Liens.
      The
      Company will not, and will not permit any of its Subsidiaries to, directly
      or
      indirectly create, incur, assume or permit to exist (upon the happening of
      a
      contingency or otherwise) any Lien on or with respect to any property or asset
      (including, without limitation, any document or instrument in respect of goods
      or accounts receivable) of the Company or any such Subsidiary, whether now
      owned
      or held or hereafter acquired, or any income or profits therefrom or assign
      or
      otherwise convey any right to receive income or profits (unless it makes, or
      causes to be made, effective provision whereby the Notes will be equally and
      ratably secured with any and all other obligations thereby secured, such
      security to be pursuant to documentation reasonably satisfactory to the Required
      Holders and, in any such case, the Notes shall have the benefit, to the fullest
      extent that, and with such priority as, the holders of the Notes may be entitled
      under applicable law, of an equitable Lien on such property),
      except:

     

    (a)Liens
      for
      property taxes and assessments or governmental charges or levies and Liens
      securing claims or demands of mechanics and materialmen; provided
      that
      payment thereof is not at the time required by Section
      9.4;

     

    (b)Liens
      incidental to the conduct of business or the ownership of properties and assets
      (including Liens in connection with worker’s compensation, unemployment
      insurance and other like laws, warehousemen’s and attorneys’ liens and statutory
      landlords’ liens) and Liens to secure the performance of bids, tenders or trade
      contracts, or to secure statutory obligations, surety or appeal bonds or other
      Lien of like general nature, in any such case incurred in the ordinary course
      of
      business and not in connection with the borrowing of money; provided
      that
      (i) any such Lien secures only amounts not due and payable or the payment
      of which is being contested in good faith by appropriate actions or proceedings
      and (ii) any such Lien does not materially impair the business of the
      Company and its Subsidiaries taken as a whole or the value of the related
      property for the purposes of such business;

     

    (c)any
      attachment or judgment Lien, unless the judgment it secures shall not, within
      60
      days after the entry thereof, have been discharged or execution thereof stayed
      pending appeal, or shall not have been discharged within 60 days after the
      expiration of any such stay;

     

    (d)Liens
      existing as of the date of Closing and described on Schedule 5.15
      hereto;

     

    (e)survey
      exceptions or minor encumbrances, leases or subleases granted to others,
      easements or reservations, or rights of others for rights-of-way, utilities
      and
      other similar purposes, or zoning or other restrictions as to the use of real
      properties, (i) which are necessary for the conduct of the activities of
      the Company and its Subsidiaries or which customarily exist on properties of
      corporations engaged in similar activities and similarly situated and
      (ii) which do not in any event materially impair their use in the operation
      of the business of the Company and its Subsidiaries taken as a whole or the
      value of such properties;

     

    (f)Liens
      created or incurred after the date of the Closing given to secure the payment
      of
      the purchase price incurred in connection with the acquisition or purchase
      or
      the cost of construction of property or of assets useful and intended to be
      used
      in carrying on the business of the Company or a Subsidiary, including Liens
      existing on such property or assets at the time of acquisition thereof or at
      the
      time of completion of construction, as the case may be, whether or not such
      existing Liens were given to secure the payment of the acquisition or purchase
      price or cost of construction, as the case may be, of the property or assets
      to
      which they attach; provided
      that
      (i) the Lien shall attach solely to the property or assets acquired,
      purchased or constructed, (ii) such Lien shall have been created or
      incurred within 180 days of the date of acquisition or purchase or
      completion of construction, as the case may be, (iii) at the time of
      acquisition or purchase or of completion of construction of such property or
      assets, the aggregate amount remaining unpaid on all Debt secured by Liens
      on
      such property or assets, whether or not assumed by the Company or a Subsidiary,
      shall not exceed an amount equal to 100% of the lesser of the total purchase
      price or fair market value at the time of acquisition or purchase (as determined
      by a Responsible Officer of the Company) or the cost of construction on the
      date
      of completion thereof, (iv) Debt secured by any such Lien shall have been
      created or incurred within the applicable limitations provided in Sections 10.1
      and
      10.2,
      and (v)
      at the time of creation, issuance, assumption, guarantee or incurrence of the
      Debt secured by such Lien and after giving effect thereto and to the application
      of the proceeds thereof, no Event of Default would exist;

     

    (g)any
      Lien
      existing on property or assets of a corporation at the time such corporation
      is
      consolidated with or merged into the Company or a Subsidiary or becomes a
      Subsidiary, or any Lien existing on any property or assets acquired by the
      Company or any Subsidiary at the time such property or assets are so acquired
      (whether or not the Debt secured thereby shall have been assumed), provided
      that (i)
      each such Lien shall extend solely to the property or assets so acquired, (ii)
      any Debt secured by any such Lien shall have been created or incurred within
      the
      applicable limitations provided in Sections 10.1
      and
      10.2, and
      (iii)
      at the time of creation, issuance, assumption, guarantee or incurrence of the
      Debt secured by such Lien and after giving effect thereto and to the application
      of the proceeds thereof, no Event of Default would exist;

     

    (h)any
      extension, renewal or refunding of any Lien permitted by any of the preceding
      clauses (d), (f) or (g) of
      this
Section
      10.4
      in
      respect of the same property theretofore subject to such Lien in connection
      with
      the extension, renewal or refunding of the Debt secured thereby; provided
      that (i)
      such extension, renewal or refunding of Debt shall be without increase in the
      principal amount remaining unpaid as of the date of such extension, renewal
      or
      refunding, (ii) such Lien shall attach solely to the same such property, and
      (iii) at the time of such extension, renewal or refunding and after giving
      effect thereto, no Event of Default would exist; 

     

    (i)Liens
      securing Debt of a Subsidiary to the Company or a Wholly-owned
      Subsidiary;

     

    (j)Liens
      incurred in connection with any transfer of an interest in accounts or notes
      receivable or related assets as part of a Qualified Receivables Transaction:
      and

     

    (k)Liens
      created or incurred after the date of the Closing given to secure Debt of the
      Company in addition to the Liens permitted by the preceding clauses (a)
      through (j) hereof; provided
      that
      (i) the aggregate amount of all Debt secured by such Liens shall not exceed
      the greater of (1) $100,000,000 or (2) 20% of Consolidated Net Worth and, in
      all
      events, shall have been incurred within the applicable limitations provided
      in
Sections 10.1
      and
      10.2
      and
      (ii) at the time of creation, issuance, assumption, guarantee or incurrence
      of the Debt secured by such Lien and after giving effect thereto and to the
      application of the proceeds thereof, no Event of Default would
      exist.

     

    Section
      10.5.Sale
      of Assets.
      The
      Company will not, and will not permit any Subsidiary to, sell, lease, transfer,
      abandon or otherwise dispose of assets including, without limitation, pursuant
      to any Sale and Leaseback Transaction (except assets sold in the ordinary course
      of business for fair market value and except as provided in Section 10.6(c));
      provided
      that the
      foregoing restrictions do not apply to:

     

    (a)the
      sale,
      lease, transfer or other disposition of assets of a Subsidiary to the Company
      or
      a Wholly-owned Subsidiary; or

     

    (b)the
      sale
      or transfer of interests in accounts, notes receivable and related assets as
      part of a Qualified Receivables Transaction, provided
      that
      (i) the sale is for fair value (as determined by a Responsible Officer of
      the Company) and is in the best interests of the Company and (ii) at the
      time of such sale or transfer and after giving effect thereto, no Default or
      Event of Default shall have occurred and be continuing; or

     

    (c)the
      sale
      of assets for cash or other property to a Person or Persons other than an
      Affiliate if all of the following conditions are met:

     

    (i)such
      assets (valued at net book value) do not, together with all other assets of
      the
      Company and its Subsidiaries previously disposed of during the most recently
      ended period of twelve consecutive calendar months (excluding, in all events,
      the Aftermarket Disposition and dispositions made in the ordinary course of
      business), exceed 15% of Consolidated Total Assets, determined as of the end
      of
      the immediately preceding fiscal year; and

     

    (ii)in
      the
      opinion of a Responsible Officer of the Company, the sale is for fair value
      and
      is in the best interests of the Company; and

     

    (iii)immediately
      before and immediately after the consummation of the transaction and after
      giving effect thereto, no Event of Default would exist;

     

    provided,
      however,
      that for
      purposes of the foregoing calculation, there shall not be included any assets
      the proceeds of which were or are applied within 12 months of the date of sale
      of such assets to either (A) the acquisition of assets useful and intended
      to be used in the operation of the business of the Company and its Subsidiaries
      as described in Section 10.8
      and
      having a fair market value (as determined by a Responsible Officer of the
      Company) at least equal to that of the assets so disposed of or (B) the
      prepayment at any applicable prepayment premium, on a pro rata
      basis,
      of Senior Debt of the Company. It is understood and agreed by the Company that
      any such proceeds paid and applied to the prepayment of the Notes as hereinabove
      provided shall be prepaid as and to the extent provided in Section 8.2
      (it
      being understood and agreed that with respect to the Notes, notwithstanding
      the
      terms and provisions of Section 8.2,
      an
      offer of prepayment pursuant to this Section 10.5
      of
      the
      Notes shall be at 100% of the principal amount thereof, together with interest
      accrued and unpaid thereon to the date of such prepayment, on a pro rata
      basis).

     

    Without
      limiting the foregoing, the Company agrees that:

     

    (x)the
      timing and manner of any offer of prepayment to the holders of the Notes shall
      be in the manner contemplated by Section 8.2;
      provided
      that any
      such prepayment of the Notes pursuant to this Section 10.5
      may
      be in
      an amount less than 10% of the aggregate principal amount of the Notes then
      outstanding and shall only be at 100% of the principal amount thereof, together
      with interest accrued and unpaid thereon to the date of such prepayment, and
      in
      no event with a Make-Whole Amount or other premium; 

     

    (y)any
      holder of the Notes may decline any offer of prepayment pursuant to the
      foregoing clause (B); and

     

    (z)if
      such
      offer is so accepted, the proceeds so offered towards the prepayment of the
      Notes and accepted shall be prepaid and applied in the manner provided in
Section 8.2,
      excepting only that such prepayment shall be at 100% of the principal amount
      thereof, together with interest accrued and unpaid thereon to the date of such
      prepayment, without payment of Make-Whole Amount or other premium.

     

    To
      the
      extent that any holder of the Notes declines or is deemed to have declined
      such
      offer of prepayment, the Company may use the remaining amount of such prepayment
      so declined for general corporate purposes.

     

    Section 10.6.Mergers,
      Consolidations and Sales of Assets. The
      Company will not, and will not permit any Subsidiary to, consolidate with or
      be
      a party to a merger with any other Person, or sell, lease or otherwise dispose
      of all or substantially all of its assets; provided
      that:

     

    (a)any
      Subsidiary may merge or consolidate with or into the Company or any Wholly-owned
      Subsidiary so long as in (i) any merger or consolidation involving the Company,
      the Company shall be the surviving or continuing corporation and (ii) in any
      merger or consolidation involving a Wholly-owned Subsidiary (and not the
      Company), the Wholly-owned Subsidiary shall be the surviving or continuing
      corporation or limited liability company;

     

    (b)the
      Company may consolidate or merge with or into any other corporation if
      (i) the corporation or limited liability company which results from such
      consolidation or merger (the “surviving
      corporation”)
      is a
      solvent entity organized under the laws of any state of the United States or
      the
      District of Columbia, (ii) the due and punctual payment of the principal of
      and premium, if any, and interest on all of the Notes, according to their tenor,
      and the due and punctual performance and observation of all of the covenants
      in
      the Notes and this Agreement to be performed or observed by the Company are
      expressly assumed in writing by the surviving corporation and the surviving
      corporation shall furnish to the holders of the Notes an opinion of counsel
      satisfactory to the Required Holders to the effect that the instrument of
      assumption has been duly authorized, executed and delivered and constitutes
      the
      legal, valid and binding contract and agreement of the surviving corporation
      enforceable in accordance with its terms, except as enforcement of such terms
      may be limited by bankruptcy, insolvency, reorganization, moratorium and similar
      laws affecting the enforcement of creditors’ rights generally and by general
      equitable principles, (iii) each Subsidiary Guarantor confirms in writing
      its obligations under the Subsidiary Guaranty, (iv) at the time of such
      consolidation or merger and immediately after giving effect thereto, no Default
      or Event of Default would exist and (v) at the time of such consolidation
      or merger and immediately after giving effect thereto, the surviving corporation
      shall be in compliance with Sections 10.1
      and
10.3
      hereof
      (treating, for purposes of determining compliance with Sections
      10.1
      and
10.3,
      such
      transaction as having been consummated on the last day of the immediately
      preceding fiscal quarter);

     

    (c)the
      Company may sell or otherwise dispose of all or substantially all of its assets
      in a single transaction or series of transactions to any Person for
      consideration which represents the fair market value of such assets (as
      determined by a Responsible Officer of the Company) at the time of such sale
      or
      other disposition if (i) the acquiring Person is a corporation organized
      under the laws of any state of the United States or the District of Columbia
      (the “acquiring
      corporation”),
      (ii) the due and punctual payment of the principal of and premium, if any,
      and interest on all the Notes, according to their tenor, and the due and
      punctual performance and observance of all of the covenants in the Notes and
      in
      this Agreement to be performed or observed by the Company are expressly assumed
      in writing by the acquiring corporation and the acquiring corporation shall
      furnish to the holders of the Notes an opinion of counsel satisfactory to the
      Required Holders to the effect that the instrument of assumption has been duly
      authorized, executed and delivered and constitutes the legal, valid and binding
      contract and agreement of such acquiring corporation enforceable in accordance
      with its terms, except as enforcement of such terms may be limited by
      bankruptcy, insolvency, reorganization, moratorium and similar laws affecting
      the enforcement of creditors’ rights generally and by general equitable
      principles, (iii) each Subsidiary Guarantor confirms in writing its
      obligations under the Subsidiary Guaranty, (iv) at the time of such sale or
      disposition and immediately after giving effect thereto, no Default or Event
      of
      Default would exist and (v) at the time of sale or disposition and
      immediately after giving effect thereto, the acquiring corporation, shall be
      in
      compliance with Sections 10.1
      and
10.3
      hereof
      (treating, for purposes of determining compliance with Sections
      10.1
      and
10.3,
      such
      transaction as having been consummated on the last day of the immediately
      preceding fiscal quarter).

     

    Section 10.7.Transactions
      with Affiliates.
      The
      Company will not and will not permit any Subsidiary to enter into directly
      or
      indirectly any Material transaction or Material group of related transactions
      (including without limitation the purchase, lease, sale or exchange of
      properties of any kind or the rendering of any service) with any Affiliate
      (other than the Company or another Subsidiary), except (a) in the ordinary
      course and pursuant to the reasonable requirements of the Company’s or such
      Subsidiary’s business and upon fair and reasonable terms no less favorable to
      the Company or such Subsidiary than would be obtainable in a comparable
      arm’s-length transaction with a Person not an Affiliate; and
      (b) transactions between the Company or any Subsidiary, on the one hand,
      and any Subsidiary or other special purpose entity created to engage solely
      in a
      Qualified Receivables Transaction.

     

    Section 10.8.Line
      of Business.
      The
      Company will not and will not permit any Subsidiary to engage in any business
      if, as a result, the general nature of the business in which the Company and
      its
      Subsidiaries, taken as a whole, would then be engaged would be substantially
      changed from the general nature of the business in which the Company and its
      Subsidiaries, taken as a whole, are engaged on the date of this Agreement as
      described in the Memorandum.

     

    Section 10.9.Terrorism
      Sanctions Regulations.
      The
      Company will not and will not permit any Subsidiary to (a) become a Person
      described or designated in the Specially Designated Nationals and Blocked
      Persons List of the Office of Foreign Assets Control or in Section 1 of the
      Anti-Terrorism Order or (b) knowingly engage in any dealings or
      transactions with any such Person in violation of applicable Laws.

     

    Section 10.10.Airedale
      Entities.
      The
      Company will not permit at any time either of the Airedale Entities to, directly
      or indirectly, engage in business or operations of any kind or to acquire,
      own
      or otherwise hold any assets or properties or generate any income, or revenues.
      The corporate existence of each of the Airedale Entities will be dissolved
      and
      terminated as soon as practicable. 

     

    
      	
              Section 11.

            	
              Events
                of Default.

            

    

     

    An
      “Event
      of Default”
      shall
      exist if any of the following conditions or events shall occur and be
      continuing:

     

    (a)the
      Company defaults in the payment of any principal or Make-Whole Amount, if any,
      on any Note when the same becomes due and payable, whether at maturity or at
      a
      date fixed for prepayment or by declaration or otherwise; or

     

    (b)the
      Company defaults in the payment of any interest on any Note for more than five
      Business Days after the same becomes due and payable; or

     

    (c)the
      Company defaults in the performance of or compliance with any term contained
      in
Section 7.1(d)
      or
Sections 10.1
      through
10.5
      or Section 10.10;
      or

     

    (d)the
      Company defaults in the performance of or compliance with any term contained
      herein (other than those referred to in Sections 11(a),
      (b) and (c))
      and
      such default is not remedied within 30 days after the earlier of (i) a
      Responsible Officer obtaining actual knowledge of such default and (ii) the
      Company receiving written notice of such default from any holder of a Note
      (any
      such written notice to be identified as a “notice of default” and to refer
      specifically to this Section 11(d));
      or

     

    (e)any
      representation or warranty made in writing by or on behalf of the Company or
      any
      Subsidiary Guarantor or by any officer of the Company or any Subsidiary
      Guarantor in this Agreement, in the Subsidiary Guaranty or in any writing
      furnished in connection with the transactions contemplated hereby proves to
      have
      been false or incorrect in any material respect on the date as of which made;
      or

     

    (f)(i) the
      Company or any Significant Subsidiary is in default (as principal or as
      guarantor or other surety) in the payment of any principal of or premium or
      make-whole amount or interest on any Debt that is outstanding in an aggregate
      principal amount of at least $20,000,000 beyond any period of grace provided
      with respect thereto, or (ii) the Company or any Significant Subsidiary is
      in default in the performance of or compliance with any term of any evidence
      of
      any Debt in an aggregate outstanding principal amount of at least $20,000,000
      or
      of any mortgage, indenture or other agreement relating thereto or any other
      condition exists, and as a consequence of such default or condition such Debt
      has become, or has been declared, due and payable before its stated maturity
      or
      before its regularly scheduled dates of payment; or 

     

    (g)the
      Company or any Significant Subsidiary (i) is generally not paying, or
      admits in writing its inability to pay, its debts as they become due,
      (ii) files, or consents by answer or otherwise to the filing against it of,
      a petition for relief or reorganization or arrangement or any other petition
      in
      bankruptcy, for liquidation or to take advantage of any bankruptcy, insolvency,
      reorganization, moratorium or other similar law of any jurisdiction,
      (iii) makes an assignment for the benefit of its creditors,
      (iv) consents to the appointment of a custodian, receiver, trustee or other
      officer with similar powers with respect to it or with respect to any
      substantial part of its property, (v) is adjudicated as insolvent or to be
      liquidated, or (vi) takes corporate action for the purpose of any of the
      foregoing; or

     

    (h)a
      court
      or Governmental Authority of competent jurisdiction enters an order appointing,
      without consent by the Company or any of its Significant Subsidiaries, a
      custodian, receiver, trustee or other officer with similar powers with respect
      to it or with respect to any substantial part of its property, or constituting
      an order for relief or approving a petition for relief or reorganization or
      any
      other petition in bankruptcy or for liquidation or to take advantage of any
      bankruptcy or insolvency law of any jurisdiction, or ordering the dissolution,
      winding-up or liquidation of the Company or any of its Significant Subsidiaries,
      or any such petition shall be filed against the Company or any of its
      Significant Subsidiaries and such petition shall not be dismissed within 60
      days; or

     

    (i)a
      final
      judgment or judgments for the payment of money aggregating in excess of
      $20,000,000 are rendered against one or more of the Company and its Subsidiaries
      and which judgments are not, within 60 days after entry thereof, bonded,
      discharged or stayed pending appeal, or are not discharged within 60 days after
      the expiration of such stay; or

     

    (j)if
      (i) any Plan shall fail to satisfy the minimum funding standards of ERISA
      or the Code for any plan year or part thereof or a waiver of such standards
      or
      extension of any amortization period is sought or granted under section 412
      of the Code, (ii) a notice of intent to terminate any Plan shall have been
      or is reasonably expected to be filed with the PBGC or the PBGC shall have
      instituted proceedings under ERISA Section 4042 to terminate or appoint a
      trustee to administer any Plan or the PBGC shall have notified the Company
      or
      any ERISA Affiliate that a Plan may become a subject of any such proceedings,
      (iii) the aggregate “amount of unfunded benefit liabilities” (within the
      meaning of Section 4001(a)(18) of ERISA) under all Plans, determined in
      accordance with Title IV of ERISA, shall exceed $20,000,000, (iv) the
      Company or any ERISA Affiliate shall have incurred or is reasonably expected
      to
      incur any liability pursuant to Title I or IV of ERISA or the penalty or excise
      tax provisions of the Code relating to employee benefit plans, (v) the
      Company or any ERISA Affiliate withdraws from any Multiemployer Plan, or
      (vi) the Company or any Subsidiary establishes or amends any employee
      welfare benefit plan that provides post-employment welfare benefits in a manner
      that would increase the liability of the Company or any Subsidiary thereunder;
      and any such event or events described in clauses (i) through (vi) above, either
      individually or together with any other such event or events, would reasonably
      be expected to have a Material Adverse Effect; or

     

    (k)any
      Subsidiary Guaranty shall cease to be in full force and effect for any reason
      whatsoever, including, without limitation, a determination by any Governmental
      Authority that such Subsidiary Guaranty is invalid, void or unenforceable or
      any
      Subsidiary Guarantor which is a party to such Subsidiary Guaranty shall contest
      or deny in writing the validity or enforceability of any of its obligations
      under such Subsidiary Guaranty, but excluding any Subsidiary Guaranty which
      ceases to be in full force and effect in accordance with and by reason of the
      express provisions of Section 2.2(c).

     

    As
      used
      in Section 11(j),
      the
      terms “employee benefit plan” and “employee welfare benefit plan” shall have the
      respective meanings assigned to such terms in Section 3 of
      ERISA.

     

    
      	
              Section 12.

            	
              Remedies
                on Default, Etc.

            

    

     

    Section 12.1.Acceleration.
      (a) If an Event of Default with respect to the Company described in
Section 11(g)
      or
(h)
      (other
      than an Event of Default described in clause (i) of Section 11(g)
      or
      described in clause (vi) of Section 11(g)
      by
      virtue of the fact that such clause encompasses clause (i) of Section 11(g))
      has
      occurred, all the Notes then outstanding shall automatically become immediately
      due and payable.

     

    (b)If
      any
      other Event of Default has occurred and is continuing, any holder or holders
      of
      not less than 51% in principal amount of the Notes at the time outstanding
      may
      at any time at its or their option, by notice or notices to the Company, declare
      all the Notes then outstanding to be immediately due and payable.

     

    (c)If
      any
      Event of Default described in Section 11(a) or (b)
      has
      occurred and is continuing, any holder or holders of Notes at the time
      outstanding affected by such Event of Default may at any time, at its or their
      option, by notice or notices to the Company, declare all the Notes held by
      it or
      them to be immediately due and payable.

     

    Upon
      any
      Notes becoming due and payable under this Section 12.1,
      whether
      automatically or by declaration, such Notes will forthwith mature and the entire
      unpaid principal amount of such Notes, plus (i) all accrued and unpaid
      interest thereon (including, but not limited to, interest accrued thereon at
      the
      Default Rate) and (ii) the Make-Whole Amount determined in respect of such
      principal amount (to the full extent permitted by applicable law), shall all
      be
      immediately due and payable, in each and every case without presentment, demand,
      protest or further notice, all of which are hereby waived. The Company
      acknowledges, and the parties hereto agree, that each holder of a Note has
      the
      right to maintain its investment in the Notes free from repayment by the Company
      (except as herein specifically provided for), and that the provision for payment
      of a Make-Whole Amount by the Company in the event that the Notes are prepaid
      or
      are accelerated as a result of an Event of Default, is intended to provide
      compensation for the deprivation of such right under such
      circumstances.

     

    Section 12.2.Other
      Remedies.
      If any
      Default or Event of Default has occurred and is continuing, and irrespective
      of
      whether any Notes have become or have been declared immediately due and payable
      under Section 12.1,
      the
      holder of any Note at the time outstanding may proceed to protect and enforce
      the rights of such holder by an action at law, suit in equity or other
      appropriate proceeding, whether for the specific performance of any agreement
      contained herein or in any Note, or for an injunction against a violation of
      any
      of the terms hereof or thereof, or in aid of the exercise of any power granted
      hereby or thereby or by law or otherwise.

     

    Section 12.3.Rescission.
      At any
      time after any Notes have been declared due and payable pursuant to Section 12.1(b)
      or
      (c),
      the
      holders of not less than 51% in principal amount of the Notes then outstanding,
      by written notice to the Company, may rescind and annul any such declaration
      and
      its consequences if (a) the Company has paid all overdue interest on the
      Notes, all principal of and Make-Whole Amount, if any, on any Notes that are
      due
      and payable and are unpaid other than by reason of such declaration, and all
      interest on such overdue principal and Make-Whole Amount, if any, and (to the
      extent permitted by applicable law) any overdue interest in respect of the
      Notes, at the Default Rate, (b) neither the Company nor any other Person
      shall have paid any amounts which have become due solely by reason of such
      declaration, (c) all Events of Default and Defaults, other than non-payment
      of amounts that have become due solely by reason of such declaration, have
      been
      cured or have been waived pursuant to Section 17,
      and
      (d) no judgment or decree has been entered for the payment of any monies
      due pursuant hereto or to the Notes. No rescission and annulment under this
      Section 12.3
      will
      extend to or affect any subsequent Event of Default or Default or impair any
      right consequent thereon.

     

    Section 12.4.No
      Waivers or Election of Remedies, Expenses, Etc.
      No
      course of dealing and no delay on the part of any holder of any Note in
      exercising any right, power or remedy shall operate as a waiver thereof or
      otherwise prejudice such holder’s rights, powers or remedies. No right, power or
      remedy conferred by this Agreement or by any Note upon any holder thereof shall
      be exclusive of any other right, power or remedy referred to herein or therein
      or now or hereafter available at law, in equity, by statute or otherwise.
      Without limiting the obligations of the Company under Section 15,
      the
      Company will pay to the holder of each Note on demand such further amount as
      shall be sufficient to cover all costs and expenses of such holder incurred
      in
      any enforcement or collection under this Section 12,
      including, without limitation, reasonable attorneys’ fees, expenses and
      disbursements.

     

    
      	
              Section 13.

            	
              Registration;
                Exchange; Substitution of Notes.

            

    

     

    Section 13.1.Registration
      of Notes.
      The
      Company shall keep at its principal executive office a register for the
      registration and registration of transfers of Notes. The name and address of
      each holder of one or more Notes, each transfer thereof and the name and address
      of each transferee of one or more Notes shall be registered in such register.
      Prior to due presentment for registration of transfer, the Person in whose
      name
      any Note shall be registered shall be deemed and treated as the owner and holder
      thereof for all purposes hereof, and the Company shall not be affected by any
      notice or knowledge to the contrary. The Company shall give to any holder of
      a
      Note that is an Institutional Investor promptly upon request therefor, a
      complete and correct copy of the names and addresses of all registered holders
      of Notes.

     

    Section 13.2.Transfer
      and Exchange of Notes.
      Upon
      surrender of any Note to the Company at the address and to the attention of
      the
      designated officer (all as specified in Section 18(iii))
      for
      registration of transfer or exchange (and in the case of a surrender for
      registration of transfer accompanied by a written instrument of transfer duly
      executed by the registered holder of such Note or such holder’s attorney duly
      authorized in writing and accompanied by the relevant name, address and other
      information for notices of each transferee of such Note or part thereof), within
      ten Business Days thereafter, the Company shall execute and deliver, at the
      Company’s expense (except as provided below), one or more new Notes (as
      requested by the holder thereof) of the same series in exchange therefor, in
      an
      aggregate principal amount equal to the unpaid principal amount of the
      surrendered Note. Each such new Note shall be payable to such Person as such
      holder may request and shall be substantially in the form of Exhibit
      1-A or
      1-B,
      as the
      case may be. Each such new Note shall be dated and bear interest from the date
      to which interest shall have been paid on the surrendered Note or dated the
      date
      of the surrendered Note if no interest shall have been paid thereon. The Company
      may require payment of a sum sufficient to cover any stamp tax or governmental
      charge imposed in respect of any such transfer of Notes. Notes shall not be
      transferred in denominations of less than $100,000; provided
      that if
      necessary to enable the registration of transfer by a holder of its entire
      holding of Notes of a series, one Note of such series may be in a denomination
      of less than $100,000. Any transferee, by its acceptance of a Note registered
      in
      its name (or the name of its nominee), shall be deemed to have made the
      representation set forth in Section 6.2.
      

     

    Section 13.3.Replacement
      of Notes.
      Upon
      receipt by the Company at the address and to the attention of the designated
      officer (all as specified in Section 18(iii))
      of
      evidence reasonably satisfactory to it of the ownership of and the loss, theft,
      destruction or mutilation of any Note (which evidence shall be, in the case
      of
      an Institutional Investor, notice from such Institutional Investor of such
      ownership and such loss, theft, destruction or mutilation), and

     

    (a)in
      the
      case of loss, theft or destruction, of indemnity reasonably satisfactory to
      it
      (provided
      that if
      the holder of such Note is, or is a nominee for, an original Purchaser or
      another holder of a Note with a minimum net worth of at least $50,000,000 or
      a
      Qualified Institutional Buyer, such Person’s own unsecured agreement of
      indemnity shall be deemed to be satisfactory), or

     

    (b)in
      the
      case of mutilation, upon surrender and cancellation thereof,

     

    within
      ten Business Days thereafter, the Company at its own expense shall execute
      and
      deliver, in lieu thereof, a new Note of the same series, dated and bearing
      interest from the date to which interest shall have been paid on such lost,
      stolen, destroyed or mutilated Note or dated the date of such lost, stolen,
      destroyed or mutilated Note if no interest shall have been paid
      thereon.

     

    
      	
              Section 14.

            	
              Payments
                on Notes.

            

    

     

    Section 14.1.Place
      of Payment.
      Subject
      to Section 14.2,
      payments of principal, Make-Whole Amount, if any, and interest becoming due
      and
      payable on the Notes shall be made at the principal office of the Company in
      Racine, Wisconsin. The Company may at any time, by notice to each holder of
      a
      Note, change the place of payment of the Notes so long as such place of payment
      shall be either the principal office of the Company in such jurisdiction or
      the
      principal office of a bank or trust company in such jurisdiction.

     

    Section 14.2.Home
      Office Payment.
      So long
      as any Purchaser or its nominee shall be the holder of any Note, and
      notwithstanding anything contained in Section 14.1
      or in
      such Note to the contrary, the Company will pay all sums becoming due on such
      Note for principal, Make-Whole Amount, if any, and interest by the method and
      at
      the address specified for such purpose below such Purchaser’s name in
Schedule A,
      or by
      such other method or at such other address as such Purchaser shall have from
      time to time specified to the Company in writing for such purpose, without
      the
      presentation or surrender of such Note or the making of any notation thereon,
      except that upon written request of the Company made concurrently with or
      reasonably promptly after payment or prepayment in full of any Note, such
      Purchaser shall surrender such Note for cancellation, reasonably promptly after
      any such request, to the Company at its principal executive office or at the
      place of payment most recently designated by the Company pursuant to
Section 14.1.
      The
      Company will make such payments in immediately available funds, no later than
      11:00 a.m. New York, New York time on the date due. If for any reason
      whatsoever the Company does not make any such payment by such 11:00 a.m.
      transmittal time, such payment shall be deemed to have been made on the next
      following Business Day and such payment shall bear interest at the Default
      Rate
      set forth in the Note. Prior to any sale or other disposition of any Note held
      by a Purchaser or its nominee, such Purchaser will, at its election, either
      endorse thereon the amount of principal paid thereon and the last date to which
      interest has been paid thereon or surrender such Note to the Company in exchange
      for a new Note or Notes pursuant to Section 13.2.
      The
      Company will afford the benefits of this Section 14.2
      to any
      Institutional Investor that is the direct or indirect transferee of any Note
      purchased by a Purchaser under this Agreement and that has made the same
      agreement relating to such Note as the Purchasers have made in this Section 14.2.
      

     

    
      	
              Section 15.

            	
              Expenses,
                Etc.

            

    

     

    Section 15.1.Transaction
      Expenses.
      Whether
      or not the transactions contemplated hereby are consummated, the Company will
      pay all costs and expenses (including reasonable attorneys’ fees of a special
      counsel and, if reasonably required by the Required Holders, local or other
      counsel) incurred by the Purchasers and each other holder of a Note in
      connection with such transactions and in connection with any amendments, waivers
      or consents under or in respect of this Agreement, the Notes, the Subsidiary
      Guaranty or the Intercreditor Agreement (whether or not such amendment, waiver
      or consent becomes effective), including, without limitation: (a) the costs
      and expenses incurred in enforcing or defending (or determining whether or
      how
      to enforce or defend) any rights under this Agreement, the Notes, the Subsidiary
      Guaranty or the Intercreditor Agreement or in responding to any subpoena or
      other legal process or informal investigative demand issued in connection with
      this Agreement, the Notes, the Subsidiary Guaranty or the Intercreditor
      Agreement, or by reason of being a holder of any Note, (b) the costs and
      expenses, including financial advisors’ fees, incurred in connection with the
      insolvency or bankruptcy of the Company or any Subsidiary or in connection
      with
      any work-out or restructuring of the transactions contemplated hereby and by
      the
      Notes and the Subsidiary Guaranty, and (c) all costs and expenses of CT
      Corporation incurred pursuant to Section 22.8
      hereofand (d) the costs and expenses incurred in connection with the initial
      filing of this Agreement and all related documents and financial information
      with the SVO of the NAIC, provided,
      that
      such costs and expenses under this clause (d) shall not exceed $3,000 per
      series. The Company will pay, and will save each Purchaser and each other holder
      of a Note harmless from, all claims in respect of any fees, costs or expenses,
      if any, of brokers and finders (other than those, if any, retained by a
      Purchaser or other holder in connection with its purchase of the
      Notes).

     

    Section 15.2.Survival.
      The
      obligations of the Company under this Section 15
      will
      survive the payment or transfer of any Note, the enforcement, amendment or
      waiver of any provision of this Agreement, the Notes, the Subsidiary Guaranty
      or
      the Intercreditor Agreement, and the termination of this Agreement.

     

    
      	
              Section 16.

            	
              Survival
                of Representations and Warranties; Entire Agreement .

            

    

     

    All
      representations and warranties contained herein shall survive the execution
      and
      delivery of this Agreement, the Notes and the Subsidiary Guaranty, the purchase
      or transfer by any Purchaser of any Note or portion thereof or interest therein
      and the payment of any Note, and may be relied upon by any subsequent holder
      of
      a Note, regardless of any investigation made at any time by or on behalf of
      such
      Purchaser or any other holder of a Note. All statements contained in any
      certificate or other instrument delivered by or on behalf of the Company or
      any
      Subsidiary Guarantor pursuant to this Agreement or the Subsidiary Guaranty
      shall
      be deemed representations and warranties of the Company under this Agreement
      or
      the Subsidiary Guaranty, as the case may be. Subject to the preceding sentence,
      this Agreement, the Notes and the Subsidiary Guaranty embody the entire
      agreement and understanding among each Purchaser, the Company and the Subsidiary
      Guarantors and supersede all prior agreements and understandings relating to
      the
      subject matter hereof.

     

    
      	
              Section 17.

            	
              Amendment
                and Waiver.

            

    

     

    Section 17.1.Requirements.
      This
      Agreement and the Notes may be amended, and the observance of any term hereof
      or
      of the Notes may be waived (either retroactively or prospectively), with (and
      only with) the written consent of the Company and the Required Holders, except
      that (a) no amendment or waiver of any of the provisions of Section 1,
      2, 3, 4, 5, 6
      or
21
      hereof,
      or any defined term (as it is used therein), will be effective as to any
      Purchaser unless consented to by such Purchaser in writing, and (b) no such
      amendment or waiver may, without the written consent of the holder of each
      Note
      at the time outstanding affected thereby, (i) subject to the provisions of
Section 12
      relating
      to acceleration or rescission, change the amount or time of any prepayment
      or
      payment of principal of, or reduce the rate or change the time of payment or
      method of computation of interest or of the Make-Whole Amount on, the Notes,
      (ii) change the percentage of the principal amount of the Notes the holders
      of which are required to consent to any such amendment or waiver, or
      (iii) amend any of Section 8,
      11(a), 11(b), 12, 17
      or
20.
      The
      Subsidiary Guaranty and the Intercreditor Agreement may be amended, and the
      observance of any term thereof may be waived, in accordance with the terms
      thereof.

     

    Section 17.2.Solicitation
      of Holders of Notes.

     

    (a)Solicitation.
      The
      Company will provide each holder of the Notes (irrespective of the amount of
      Notes then owned by it) with sufficient information, sufficiently far in advance
      of the date a decision is required, to enable such holder to make an informed
      and considered decision with respect to any proposed amendment, waiver or
      consent in respect of any of the provisions hereof, of the Notes or of the
      Subsidiary Guaranty. The Company will deliver executed or true and correct
      copies of each amendment, waiver or consent effected pursuant to the provisions
      of this Section 17
      to each
      holder of outstanding Notes promptly following the date on which it is executed
      and delivered by, or receives the consent or approval of, the requisite holders
      of Notes.

     

    (b)Payment.
      The
      Company will not directly or indirectly pay or cause to be paid any
      remuneration, whether by way of supplemental or additional interest, fee or
      otherwise, or grant any security or provide other credit support, to any holder
      of Notes as consideration for or as an inducement to the entering into by any
      holder of Notes of any waiver or amendment of any of the terms and provisions
      hereof, of the Notes, the Subsidiary Guaranty or the Intercreditor Agreement
      unless such remuneration is concurrently paid, or security is concurrently
      granted or other credit support concurrently provided, on the same terms,
      ratably to each holder of Notes then outstanding even if such holder did not
      consent to such waiver or amendment.

     

    Section 17.3.Binding
      Effect, Etc.
      Any
      amendment or waiver consented to as provided in this Section 17
      applies
      equally to all holders of Notes and is binding upon them and upon each future
      holder of any Note and upon the Company without regard to whether such Note
      has
      been marked to indicate such amendment or waiver. No such amendment or waiver
      will extend to or affect any obligation, covenant, agreement, Default or Event
      of Default not expressly amended or waived or impair any right consequent
      thereon. No course of dealing between the Company and the holder of any Note
      nor
      any delay in exercising any rights hereunder or under any Note shall operate
      as
      a waiver of any rights of any holder of such Note. As used herein, the term
      “this Agreement” and references thereto shall mean this Agreement as it may from
      time to time be amended or supplemented.

     

    Section 17.4.Notes
      held by Company, Etc.
      Solely
      for the purpose of determining whether the holders of the requisite percentage
      of the aggregate principal amount of Notes then outstanding approved or
      consented to any amendment, waiver or consent to be given under this Agreement,
      the Notes, the Subsidiary Guaranty or the Intercreditor Agreement, or have
      directed the taking of any action provided herein, in the Notes, the Subsidiary
      Guaranty or the Intercreditor Agreement to be taken upon the direction of the
      holders of a specified percentage of the aggregate principal amount of Notes
      then outstanding, Notes directly or indirectly owned by the Company or any
      of
      its Affiliates shall be deemed not to be outstanding.

     

    
      	
              Section 18.

            	
              Notices.

            

    

     

    All
      notices and communications provided for hereunder shall be in writing and sent
      (a) by telefacsimile if the sender on the same day sends a confirming copy
      of such notice by a recognized overnight delivery service (charges prepaid),
      or
      (b) by registered or certified mail with return receipt requested (postage
      prepaid), or (c) by a recognized overnight delivery service (with charges
      prepaid). Any such notice must be sent:

     

    (i)if
      to any
      Purchaser or its nominee, to such Purchaser or nominee at the address specified
      for such communications in Schedule A,
      or at
      such other address as such Purchaser or nominee shall have specified to the
      Company in writing,

     

    (ii)if
      to any
      other holder of any Note, to such holder at such address as such other holder
      shall have specified to the Company in writing, or

     

    (iii)if
      to the
      Company, to the Company at its address set forth at the beginning hereof to
      the
      attention of the Chief Financial Officer, with a copy at the same address to
      the
      attention of the Company’s General Counsel, or at such other address as the
      Company shall have specified to the holder of each Note in writing.

     

    Notices
      under this Section 18
      will be
      deemed given only when actually received.

     

    
      	
              Section 19.

            	
              Reproduction
                of Documents.

            

    

     

    This
      Agreement and the Subsidiary Guaranty and all documents relating thereto,
      including, without limitation, (a) consents, waivers and modifications that
      may hereafter be executed, (b) documents received by any Purchaser at the
      Closing (except the Notes themselves), and (c) financial statements,
      certificates and other information previously or hereafter furnished to any
      Purchaser, may be reproduced by such Purchaser by any photographic, photostatic,
      electronic, digital or other similar process and such Purchaser may destroy
      any
      original document so reproduced. The Company agrees and stipulates that, to
      the
      extent permitted by applicable law, any such reproduction shall be admissible
      in
      evidence as the original itself in any judicial or administrative proceeding
      (whether or not the original is in existence and whether or not such
      reproduction was made by such Purchaser in the regular course of business)
      and
      any enlargement, facsimile or further reproduction of such reproduction shall
      likewise be admissible in evidence. This Section 19
      shall
      not prohibit the Company or any other holder of Notes from contesting any such
      reproduction to the same extent that it could contest the original, or from
      introducing evidence to demonstrate the inaccuracy of any such
      reproduction.

     

    
      	
              Section 20.

            	
              Confidential
                Information.

            

    

     

    For
      the
      purposes of this Section 20,
      “Confidential
      Information”
      means
      information delivered to any Purchaser by or on behalf of the Company or any
      Subsidiary in connection with the transactions contemplated by or otherwise
      pursuant to this Agreement that is proprietary in nature and that was clearly
      marked or labeled or otherwise adequately identified when received by such
      Purchaser as being confidential information of the Company or such Subsidiary;
      provided
      that
      such term does not include information that (a) was publicly known or
      otherwise known to such Purchaser prior to the time of such disclosure,
      (b) subsequently becomes publicly known through no act or omission by such
      Purchaser or any Person acting on such Purchaser’s behalf, (c) otherwise
      becomes known to such Purchaser other than through disclosure by the Company
      or
      any Subsidiary or (d) constitutes financial statements delivered to such
      Purchaser under Section 7.1
      that are
      otherwise publicly available. Each Purchaser will maintain the confidentiality
      of such Confidential Information in accordance with procedures adopted by such
      Purchaser in good faith to protect confidential information of third parties
      delivered to such Purchaser; provided
      that
      such Purchaser may deliver or disclose Confidential Information to (i) its
      directors, trustees, officers, employees, agents, attorneys and affiliates
      (to
      the extent such disclosure reasonably relates to the administration of the
      investment represented by its Notes), (ii) its financial advisors and other
      professional advisors who agree to hold confidential the Confidential
      Information substantially in accordance with the terms of this Section 20,
      (iii) any other holder of any Note, (iv) any Institutional Investor to
      which it sells or offers to sell such Note or any part thereof or any
      participation therein (if such Person has agreed in writing prior to its receipt
      of such Confidential Information to be bound by the provisions of this
Section 20),
      (v) any Person from which it offers to purchase any security of the Company
      (if such Person has agreed in writing prior to its receipt of such Confidential
      Information to be bound by the provisions of this Section 20),
      (vi) any federal or state regulatory authority having jurisdiction over
      such Purchaser, (vii) the NAIC or the SVO or, in each case, any similar
      organization, or any nationally recognized rating agency that requires access
      to
      information about such Purchaser’s investment portfolio, or (viii) any
      other Person to which such delivery or disclosure may be necessary or
      appropriate (w) to effect compliance with any law, rule, regulation or
      order applicable to such Purchaser, (x) in response to any subpoena or
      other legal process, (y) in connection with any litigation to which such
      Purchaser is a party or (z) if an Event of Default has occurred and is
      continuing, to the extent such Purchaser may reasonably determine such delivery
      and disclosure to be necessary or appropriate in the enforcement or for the
      protection of the rights and remedies under such Purchaser’s Notes and this
      Agreement. Each holder of a Note, by its acceptance of a Note, will be deemed
      to
      have agreed to be bound by and to be entitled to the benefits of this
Section 20
      as
      though it were a party to this Agreement. On reasonable request by the Company
      in connection with the delivery to any holder of a Note of information required
      to be delivered to such holder under this Agreement or requested by such holder
      (other than a holder that is a party to this Agreement or its nominee), such
      holder will enter into an agreement with the Company embodying the provisions
      of
      this Section 20.

     

    
      	
              Section 21.

            	
              Substitution
                of Purchaser.

            

    

     

    Each
      Purchaser shall have the right to substitute any one of its Affiliates as the
      purchaser of the Notes that it has agreed to purchase hereunder, by written
      notice to the Company, which notice shall be signed by both such Purchaser
      and
      such Affiliate, shall contain such Affiliate’s agreement to be bound by this
      Agreement and shall contain a confirmation by such Affiliate of the accuracy
      with respect to it of the representations set forth in Section 6.
      Upon
      receipt of such notice, any reference to such Purchaser in this Agreement (other
      than in this Section 21)
      shall
      be deemed to refer to such Affiliate in lieu of such original Purchaser. In
      the
      event that such Affiliate is so substituted as a Purchaser hereunder and such
      Affiliate thereafter transfers to such original Purchaser all of the Notes
      then
      held by such Affiliate, upon receipt by the Company of notice of such transfer,
      any reference to such Affiliate as a “Purchaser” in this Agreement (other than
      in this Section 21)
      shall
      no longer be deemed to refer to such Affiliate, but shall refer to such original
      Purchaser, and such original Purchaser shall again have all the rights of an
      original holder of the Notes under this Agreement.

     

    
      	
              Section 22.

            	
              Miscellaneous.

            

    

     

    Section 22.1.Successors
      and Assigns.
      All
      covenants and other agreements contained in this Agreement by or on behalf
      of
      any of the parties hereto bind and inure to the benefit of their respective
      successors and assigns (including, without limitation, any subsequent holder
      of
      a Note) whether so expressed or not.

     

    Section 22.2.Payments
      Due on Non-Business Days.
      Anything in this Agreement or the Notes to the contrary notwithstanding (but
      without limiting the requirement in Section 8.4
      that the
      notice of any optional prepayment specify a Business Day as the date fixed
      for
      such prepayment), any payment of principal of or Make-Whole Amount or interest
      on any Note that is due on a date other than a Business Day shall be made on
      the
      next succeeding Business Day without including the additional days elapsed
      in
      the computation of the interest payable on such next succeeding Business Day;
      provided
      that if
      the maturity date of any Note is a date other than a Business Day, the payment
      otherwise due on such maturity date shall be made on the next succeeding
      Business Day and shall include the additional days elapsed in the computation
      of
      interest payable on such next succeeding Business Day.

     

    Section 22.3.Accounting
      Terms.
      All
      accounting terms used herein which are not expressly defined in this Agreement
      have the meanings respectively given to them in accordance with GAAP. Except
      as
      otherwise specifically provided herein, (i) all computations made pursuant
      to
      this Agreement shall be made in accordance with GAAP and (ii) all financial
      statements shall be prepared in accordance with GAAP.

     

    Section 22.4.Severability.
      Any
      provision of this Agreement that is prohibited or unenforceable in any
      jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
      such prohibition or unenforceability without invalidating the remaining
      provisions hereof, and any such prohibition or unenforceability in any
      jurisdiction shall (to the full extent permitted by law) not invalidate or
      render unenforceable such provision in any other jurisdiction.

     

    Section 22.5.Construction,
      Etc.
      Each
      covenant contained herein shall be construed (absent express provision to the
      contrary) as being independent of each other covenant contained herein, so
      that
      compliance with any one covenant shall not (absent such an express contrary
      provision) be deemed to excuse compliance with any other covenant. Where any
      provision herein refers to action to be taken by any Person, or which such
      Person is prohibited from taking, such provision shall be applicable whether
      such action is taken directly or indirectly by such Person.

     

    For
      the
      avoidance of doubt, all Schedules and Exhibits attached to this Agreement shall
      be deemed to be a part hereof.

     

    Section 22.6.Counterparts.
      This
      Agreement may be executed in any number of counterparts, each of which shall
      be
      an original but all of which together shall constitute one instrument. Each
      counterpart may consist of a number of copies hereof, each signed by less than
      all, but together signed by all, of the parties hereto.

     

    Section 22.7.Governing
      Law.
      This Agreement shall be construed and enforced in accordance with, and the
      rights of the parties shall be governed by, the law of the State of New
      York,
      excluding
      choice-of-law principles of the law of such State that would permit the
      application of the laws of a jurisdiction other than such
      State.

     

    Section 22.8.Jurisdiction
      and Process; Waiver of Jury Trial. (a)
      The
      Company irrevocably submits to the non-exclusive jurisdiction of any Illinois
      State or federal court sitting in Chicago, Illinois, over any suit, action
      or
      proceeding arising out of or relating to this Agreement or the Notes. To the
      fullest extent permitted by applicable law, the Company irrevocably waives
      and
      agrees not to assert, by way of motion, as a defense or otherwise, any claim
      that it is not subject to the jurisdiction of any such court, any objection
      that
      it may now or hereafter have to the laying of the venue of any such suit, action
      or proceeding brought in any such court and any claim that any such suit, action
      or proceeding brought in any such court has been brought in an inconvenient
      forum.

     

    (b)The
      Company consents to process being served by or on behalf of any holder of a
      Note
      in any suit, action or proceeding of the nature referred to in Section 22.8(a)
      by
      delivering a copy thereof in the manner for delivery of notices specified in
      Section 18,
      to CT
      Corporation, with an office on the date hereof at 208 South LaSalle Street,
      Chicago, Illinois 60604, as its agent for the purpose of accepting service
      of
      any process within the State of Illinois. The Company agrees that such service
      upon receipt (i) shall be deemed in every respect effective service of process
      upon it in any such suit, action or proceeding and (ii) shall, to the fullest
      extent permitted by applicable law, be taken and held to be valid personal
      service upon and personal delivery to it. Notices hereunder shall be
      conclusively presumed received as evidenced by a delivery receipt furnished
      by
      the United States Postal Service or any reputable commercial delivery service.
      The Company shall pay all costs and expenses of CT Corporation in connection
      herewith.

     

    (c)Nothing
      in this Section 22.8
      shall
      affect the right of any holder of a Note to serve process in any manner
      permitted by law, or limit any right that the holders of any of the Notes may
      have to bring proceedings against the Company in the courts of any appropriate
      jurisdiction or to enforce in any lawful manner a judgment obtained in one
      jurisdiction in any other jurisdiction.

     

    (d)The
      parties hereto hereby waive trial by jury in any action brought on or with
      respect to this Agreement, the Notes or any other document executed in
      connection herewith or therewith.

     

    *     *     *     *     *

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

        Modine
          Manufacturing Company Note
          Purchase Agreement

        

        

      

    

     

    If
      you
      are in agreement with the foregoing, please sign the form of agreement on a
      counterpart of this Agreement and return it to the Company, whereupon this
      Agreement shall become a binding agreement between you and the
      Company.

    

     

    Very
      truly yours,

    

    Modine
      Manufacturing Company

    

    

    By  /s/Bradley
      C. Richardson 

    Name: Bradley
      C. Richardson

    Title:Executive
      Vice President, Finance and Chief Financial Officer

    

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

        Modine
          Manufacturing Company Note
          Purchase Agreement

        

        

      

    

    

    This
      Agreement is hereby accepted and agreed to as of the date thereof.

    

    The
      Prudential Insurance Company of America

    

    

    

    By 
      /s/Dianna C. Carr

    Name: 
      Dianna C. Carr

    Title:
      Vice President

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

        Modine
          Manufacturing Company Note
          Purchase Agreement

        

        

      

    

    

    This
      Agreement is hereby accepted and agreed to as of the date thereof.

    

    Gibraltar
      Life Insurance Co., Ltd.

    The
      Prudential Life Insurance Company, Ltd.

    

    By: Prudential
      Investment Management (Japan), Inc., as Investment Manager

    

    By: Prudential
      Investment Management, Inc., as Sub-Adviser

    

    

           
      By  /s/Dianna C. Carr

    Name: 
      Dianna C. Carr

    Title:
      Vice President

    

    

     

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

        Modine
          Manufacturing Company Note
          Purchase Agreement

        

        

      

    

    

    This
      Agreement is hereby accepted and agreed to as of the date thereof.

    

    Zurich
      American Insurance Company

    Security
      Benefit Life Insurance Company,
      Inc.

    Time
      Insurance Company

    American
      Memorial Life Insurance Company

    American
      Bankers Insurance Company of Florida,
      Inc.

    Union
      Security Insurance Company

    American
      Security Insurance Company

    

    By: Prudential
      Private Placement Investors, L.P. (as Investment Advisor)

    

    By: Prudential
      Private Placement Investors, Inc. (as its General Partner)

    

    

           
      By  /s/Dianna C. Carr    

    Name: 
      Dianna C. Carr

    Title:
      Vice President

    

     

    Modine
      Manufacturing Company Note Purchase Agreement

     

     

    This
      Agreement is hereby accepted and agreed to as of the date thereof.

    

    Prudential
      Retirement Insurance and Annuity Company

    

    By: Prudential
      Investment Management, Inc., as investment manager

    

    

           
      By  /s/Dianna C. Carr

    Name: 
      Dianna C. Carr

    Title:
      Vice President

    

     

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

        Modine
          Manufacturing Company Note
          Purchase Agreement

        

        

      

    

    

    This
      Agreement is hereby accepted and agreed to as of the date thereof.

    

    Teachers
      Insurance and Annuity Association of America

    

    

    

    By 
      /s/Ho Young Lee

    Name: 
      Ho Young Lee

    Title: 
      Director

    

    

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

        Modine
          Manufacturing Company Note
          Purchase Agreement

        

        

      

    

    

    This
      Agreement is hereby accepted and agreed to as of the date thereof.

    

    Country
      Life Insurance Company

    

    

    

    By
      /s/John Jacobs

    Name: 
      John Jacobs

    Title: 
      Director-Fixed Income

    

    

    
      
        --

        
        

      

      
        
        

        
          

        

      

      
        
        

        Modine
          Manufacturing Company Note
          Purchase Agreement

        

        

      

    

    

    This
      Agreement is hereby accepted and agreed to as of the date thereof.

    

    Standard
      Insurance Company

    

    

    

    By 
      /s/Julie Grandstaff

    Name: 
      Julie Grandstaff

    Title: 
      Assistant Vice President

    

     

    

    
      
        
           

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
          Modine
            Manufacturing Company Note
            Purchase Agreement

          

          

        

      

    

     

    Information
      Relating to Purchasers

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              The
                Prudential Insurance Company

              of
                America

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                IL 60601-6716

              Attention:
                Managing Director

            	
              $5,500,000

              Series
                A

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    Account
      Name: The Prudential - Privest Portfolio

    Account
      No.: P86189 (please do not include spaces)

    JPMorgan
      Chase Bank

    New
      York,
      New York

    ABA
      No.:
      021-000-021

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series A, due December 7, 2017, Security
      No. INV07211, PPN 607828 C* 9,” and the due date and
      application (as among principal, interest and Make-Whole Amount) of the payment
      being made.

     

    Notices

     

    All
      notices with respect to payments, and written confirmation of each such payment,
      to be addressed to:

    

    The
      Prudential Insurance Company of America

    c/o
      Investment Operations Group

    Gateway
      Center Two, 10th Floor

    100
      Mulberry Street

    Newark,
      New Jersey 07102-4077

    Attention:
      Manager, Billings and Collections

    

    Recipient
      of telephonic prepayment notices:

    

    Manager,
      Trade Management Group

    Telephone:
      (973) 367-3141

    Facsimile:
      (888) 889-3832

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 22-1211670

    

    Securities
      to be delivered to:

    

    Prudential
      Capital Group

    Two
      Prudential Plaza

    180
      North
      Stetson, Suite 5600

    Chicago,
      IL 60601-6716

    Attention:
      Armando M. Gamboa, Esq.

    Telephone:
      (312) 540-4203

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Gibraltar
                Life Insurance Co., Ltd.

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $5,500,000

              Series
                A

            

    

     

    Payments

     

    All
      principal, interest and Make-Whole Amount payments on account of Notes held
      by
      such purchaser shall be made by wire transfer of immediately available funds
      for
      credit to:

    

    JPMorgan
      Chase Bank

    New
      York,
      NY

    ABA
      No.:
      021-000-021

    Account
      No.: P86246 (please do not include spaces)

    Account
      Name: Gibraltar Private

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series A, due December 7, 2017, Security
      No. INV07211, PPN  607828 C* 9,” and the due date and
      application (as among principal, interest and Make-Whole Amount) of the payment
      being made.

    

    All
      payments, other
      than,
      principal, interest or Make-Whole Amount on account of Notes held by such
      purchaser shall be made by wire transfer of immediately available funds for
      credit to: 

    

    JPMorgan
      Chase Bank

    New
      York,
      NY

    ABA
      No.:
      021-000-021

    Account
      No.: 304199036

    Account
      Name: Prudential International Insurance Service Company

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series A, due December 7, 2017, Security
      No. INV07211, PPN 607828 C* 9,” and the due date and
      application (e.g., type of fee) of the payment being made.

    

    Address
      for all notices relating to payments:

    

    The
      Gibraltar Life Insurance Co., Ltd.

    2-13-10,
      Nagatacho

    Chiyoda-ku,
      Tokyo 100-8953, Japan

    Telephone:
      81-3-5501-6680

    Facsimile:
      81-3-5501-6432

    E-mail:
      Yoshiki.saito@gib-life.co.jp

    

    Attention: Yoshiki
      Saito

    Vice
      President of Investment Operations Team

     

    Address
      for all other communications and notices addressed as first provided
      above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 98-0408643

    

    Securities
      to be delivered to:

    

    Prudential
      Capital Group

    Two
      Prudential Plaza

    180
      North
      Stetson, Suite 5600

    Chicago,
      IL 60601-6716

    Attention:
      Armando M. Gamboa, Esq.

    Telephone:
      (312) 540-4203

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              The
                Prudential Life Insurance Company, Ltd.

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $11,500,000

              Series
                B

            

    

     

    Payments

     

    All
      principal, interest and Make-Whole Amount payments on account of Notes held
      by
      such purchaser shall be made by wire transfer of immediately available funds
      for
      credit to:

    

    JPMorgan
      Chase Bank

    New
      York,
      NY

    ABA
      No.:
      021-000-021

    Account
      No.: P86291 (please do not include spaces)

    Account
      Name: The Prudential Life Insurance Company, Ltd.

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018, Security
      No. INV07211, PPN 607828 C@ 7,” and the due date and
      application (as among principal, interest and Make-Whole Amount) of the payment
      being made.

    

    All
      payments, other
      than,
      principal, interest or Make-Whole Amount on account of Notes held by such
      purchaser shall be made by wire transfer of immediately available funds for
      credit to: 

    

    JPMorgan
      Chase Bank

    New
      York,
      NY

    ABA
      No.:
      021-000-021

    Account
      No.: 304199036

    Account
      Name: Prudential International Insurance Service Company

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018, Security
      No. INV07211, PPN 607828 C@ 7,” and the due date and
      application (e.g., type of fee) of the payment being made.

    

    Address
      for all notices relating to payments:

    

    The
      Prudential Life Insurance Co., Ltd.

    2-13-10,
      Nagatacho

    Chiyoda-ku,
      Tokyo 100-0014, Japan

    Telephone:
      81-3-5501-5190

    Facsimile:
      81-3-5501-5037

    E-mail:
      osamu.egi@prudential.com

    

    Attention: Osamu
      Egi

    Team
      Leader of Financial Reporting Team

     

    Address
      for all other communications and notices addressed as first provided
      above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 98-0433392

    

    Securities
      to be delivered to:

    

    Prudential
      Capital Group

    Two
      Prudential Plaza

    180
      North
      Stetson, Suite 5600

    Chicago,
      IL 60601-6716

    Attention:
      Armando M. Gamboa, Esq.

    Telephone:
      (312) 540-4203

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Zurich
                American Insurance Company

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $3,200,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    Hare
      & Co.

    c/o
      The
      Bank of New York

    ABA
      No.:
      021-000-018

    BNF:
      IOC566

    Attn:
      William Cashman

    Ref:
      ZAIC
      Private Placements #399141

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018,
      PPN 607828 C@ 7,” and the due date and application (as among
      principal, interest and Make-Whole Amount) of the payment being
      made.

     

    Notices

     

    All
      notices with respect to payments, and written confirmation of each such payment,
      to be addressed to:

    

    Zurich
      North America

    Attn:
      Treasury T1-19

    1400
      American Lane

    Schaumburg,
      IL 60196-1056

    

    Contact
      :
      Mary Fran Callahan, Vice President-Treasurer

    Telephone:
      (847) 605-6447

    Facsimile:
      (847) 605-7895

    E-mail:
      mary.callahan@zurichna.com

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: Hare & Co.

     

    Taxpayer
      I.D. Number: 13-6062916

    

    Securities
      to be delivered to:

    

    Bank
      of
      New York

    Window
      A

    One
      Wall
      Street, 3rd Floor

    New
      York,
      NY 10286

    Reference:
      Zurich American Insurance Co. - Private Placements;

    Account
      Number #399141

    

    With
      a
      copy of the Notes to:

    

    Prudential
      Capital Group

    Gateway
      Center 4

    100
      Mulberry, 7th Floor

    Newark,
      NJ 07102

    Attention:
      Trade Management, Manager

    Telephone:
      (973) 367-3141

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Security
                Benefit Life Insurance Company, Inc.

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $3,050,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    UMB
      Bank
      N.A.

    ABA
      No.:
      101000695

    Account
      Name: Trust Operations

    Account
      No.: 9870161974

    Reference:
      Security Benefit Life Ins. Co. Acct. #126139.1

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018,
      PPN 607828 C@ 7,” and the due date and application (as among
      principal, interest and Make-Whole Amount) of the payment being
      made.

     

    Notices

     

    All
      notices of payments and written confirmations of such wire
      transfers:

    

    UMB
      Bank

    928
      Grand
      Blvd., 10th Floor

    Kansas
      City, MO 64106

    Attention:
      Mike Ortiz

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: UMBTRU&CO

     

    Taxpayer
      I.D. Number: 43-6295832

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Securities
      to be delivered to:

    

    United
      Missouri Bank

    DTC/NY
      WINDOW

    Account:
      2450 UMB Bank

    FFC:
      Security Benefit-Private Placement, Account Number 690308200

    55
      Water
      Street

    Concourse
      Level

    New
      York,
      NY 10041

    

    With
      a
      copy of the Notes to:

    

    Prudential
      Capital Group

    Gateway
      Center 4

    100
      Mulberry, 7th Floor

    Newark,
      NJ 07102

    Attention:
      Trade Management, Manager

    Telephone:
      (973) 367-3141

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Time
                Insurance Company

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $2,000,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    M&I
      Marshall & Ilsley Bank

    Milwaukee,
      WI

    ABA
      No.:
      075000051

    DDA
      Account No.: 27006

    Account
      Name: General Trust Fund

    For
      further credit to Account No.: 89-0035-78-5

    Account
      Name: Time Insurance Prudential Private Placements

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018,
      PPN 607828 C@ 7,” and the due date and application (as among
      principal, interest and Make-Whole Amount) of the payment being
      made.

     

    Notices

     

    All
      notices of payments and written confirmations of such wire
      transfers:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    and

    

    Fortis,
      Inc.

    One
      Chase
      Manhattan Plaza

    New
      York,
      NY 10005

    

    Attention:
      Kevin P. Mahoney

    AVP,
      Investment Accounting & Treasury Operations

    Telephone:
      (212) 859-7184

    Facsimile:
      (212) 859-7043

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 39-0658730

    

    Securities
      to be delivered to:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    Reference:
      Time Insurance - Prudential Private Placements: Account Number:
      89-0035-78-5)

    

    With
      a
      copy of the Notes to:

    

    Prudential
      Capital Group

    Gateway
      Center 4

    100
      Mulberry, 7th Floor

    Newark,
      NJ 07102

    Attention:
      Trade Management, Manager

    Telephone:
      (973) 367-3141

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              American
                Memorial Life Insurance Company

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $1,250,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    M&I
      Marshall & Ilsley Bank

    Milwaukee,
      WI

    ABA
      No.:
      075000051

    DDA
      Account No.: 27006

    Account
      Name: General Trust Fund

    For
      further credit to Account No.: 89-0035-77-7

    Account
      Name: AMLIC Prudential Private Placements

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018,
      PPN 607828 C@ 7,” and the due date and application (as among
      principal, interest and Make-Whole Amount) of the payment being
      made.

     

    Notices

     

    All
      notices of payments and written confirmations of such wire
      transfers:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    

    and

    

    Fortis,
      Inc.

    One
      Chase
      Manhattan Plaza

    New
      York,
      NY 10005

    

    Attention:
      Kevin P. Mahoney

    AVP,
      Investment Accounting & Treasury Operations

    Telephone:
      (212) 859-7184

    Facsimile:
      (212) 859-7043

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 46-0260270

    

    Securities
      to be delivered to:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    Reference:
      AMLIC - Prudential Private Placements: Account Number:
      89-0035-77-7)

    

    With
      a
      copy of the Notes to:

    

    Prudential
      Capital Group

    Gateway
      Center 4

    100
      Mulberry, 7th Floor

    Newark,
      NJ 07102

    Attention:
      Trade Management, Manager

    Telephone:
      (973) 367-3141

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Prudential
                Retirement Insurance and

              Annuity
                Company

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                IL 60601-6716

              Attention:
                Managing Director

            	
              $1,000,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    JPMorgan
      Chase Bank

    New
      York,
      New York

    ABA
      No.:
      021000021

    

    Account
      Name: PRIAC - SA - Firestone - Privates

    Account
      No. P86343 (please do not include spaces)

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018, Security
      No. INV07211, PPN 607828 C@ 7,” and the due date and
      application (as among principal, interest and Make-Whole Amount) of the payment
      being made.

     

    Notices

     

    All
      notices with respect to payments, and written confirmation of each such payment,
      to be addressed to:

    

    Prudential
      Retirement Insurance and Annuity Company

    c/o
      Prudential Investment Management, Inc.

    Private
      Placement Trade Management

    PRIAC
      Administration

    Gateway
      Center Four, 7th Floor

    100
      Mulberry Street

    Newark,
      New Jersey 07102

    Telephone:
      (973) 802-8107

    Facsimile:
      (888) 889-3832

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 06-1050034

    

    Securities
      to be delivered to:

    

    Prudential
      Capital Group

    Two
      Prudential Plaza

    180
      North
      Stetson, Suite 5600

    Chicago,
      IL 60601-6716

    Attention:
      Armando M. Gamboa, Esq.

    Telephone:
      (312) 540-4203

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              American
                Bankers Insurance Company of

              Florida,
                Inc.

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $1,000,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    JP
      Morgan
      Chase Bank

    ABA
      No.:
      021000021

    Account
      No.: 9009000200

    Name:
      Private Placement Income

    O.B.I.:
      G09887

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018,
      PPN 607828 C@ 7,” and the due date and application (as among
      principal, interest and Make-Whole Amount) of the payment being
      made.

     

    Notices

     

    All
      notices of payments and written confirmations of such wire
      transfers:

    

    JP
      Morgan
      Chase Bank

    Investor
      Services

    3
      Chase
      Metrotech Center

    North
      America Insurance, 5S5

    Brooklyn,
      NY 11245

    

    Attention:
      Anna Marie Mazza

    Telephone:
      (718) 242-5399

    Facsimile:
      (718) 242-8328

    

    and

    

    Fortis,
      Inc.

    One
      Chase
      Manhattan Plaza

    New
      York,
      NY 10005

    

    Attention:
      Kevin P. Mahoney

    AVP,
      Investment Accounting & Treasury Operations

    Telephone:
      (212) 859-7184

    Facsimile:
      (212) 859-7043

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 59-0593886

    

    Securities
      to be delivered to:

    

    JP
      Morgan
      Chase Bank

    4
      New
      York Plaza

    Ground
      Floor Window

    New
      York,
      NY 10004

    Attention:
      Receive Window

    Reference:
      Private Placement Income - Account Number: 9009000200; Custody Account Number:
      G09887

    

    With
      a
      copy of the Notes to:

    

    Prudential
      Capital Group

    Gateway
      Center 4

    100
      Mulberry, 7th Floor

    Newark,
      NJ 07102

    Attention:
      Trade Management, Manager

    Telephone:
      (973) 367-3141

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Union
                Security Insurance Company

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $1,000,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    M&I
      Marshall & Ilsley Bank

    Milwaukee,
      WI

    ABA
      No.:
      075000051

    DDA
      Account No.: 27006

    Account
      Name: General Trust Fund

    For
      further credit to Account No.: 89-0035-76-9

    Account
      Name: Union Security Prudential Private Placements

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018,
      PPN 607828 C@ 7,” and the due date and application (as among
      principal, interest and Make-Whole Amount) of the payment being
      made.

     

    Notices

     

    All
      notices of payments and written confirmations of such wire
      transfers:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    

    and

    

    Fortis,
      Inc.

    One
      Chase
      Manhattan Plaza

    New
      York,
      NY 10005

    

    Attention:
      Kevin P. Mahoney

    AVP,
      Investment Accounting & Treasury Operations

    Telephone:
      (212) 859-7184

    Facsimile:
      (212) 859-7043

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 81-0170040

    

    Securities
      to be delivered to:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    Reference:
      Union Security - Prudential Private Placements; Account Number:
      89-0035-76-9)

    

    With
      a
      copy of the Notes to:

    

    Prudential
      Capital Group

    Gateway
      Center 4

    100
      Mulberry, 7th Floor

    Newark,
      NJ 07102

    Attention:
      Trade Management, Manager

    Telephone:
      (973) 367-3141

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              American
                Security Insurance Company

              Prudential
                Private Placement Investors, L.P.

              c/o
                Prudential Capital Group

              Two
                Prudential Plaza

              180
                North Stetson, Suite 5600

              Chicago,
                Illinois 60601-6716

              Attention:
                Managing Director

            	
              $1,000,000

              Series
                B

               

            

    

     

    Payments

     

    All
      payments on account of Notes held by such purchaser shall be made by wire
      transfer of immediately available funds for credit to:

    

    M&I
      Marshall & Ilsley Bank

    Milwaukee,
      WI

    ABA
      No.:
      075000051

    DDA
      Account No.: 27006

    Account
      Name: General Trust Fund

    For
      further credit to Account No.: 89-0035-89-2

    Account
      Name: American Security Insurance Company 

    Prudential
      - Private Placements

    

    Each
      such
      wire transfer shall set forth the name of the Company, a reference to “5.68%
      Senior Notes, Series B, due December 7, 2018,
      PPN 607828 C@ 7,” and the due date and application (as among
      principal, interest and Make-Whole Amount) of the payment being
      made.

     

    Notices

     

    All
      notices of payments and written confirmations of such wire
      transfers:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    

    and

    

    Fortis,
      Inc.

    One
      Chase
      Manhattan Plaza

    New
      York,
      NY 10005

    

    Attention:
      Kevin P. Mahoney

    AVP,
      Investment Accounting & Treasury Operations

    Telephone:
      (212) 859-7184

    Facsimile:
      (212) 859-7043

     

    All
      other
      notices and communications to be addressed as first provided above.

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 58-1529575

    

    Securities
      to be delivered to:

    

    Marshall
      & Ilsley Trust Company

    Asset
      Booking Department

    11270
      West Park Place, Suite 400

    Milwaukee,
      WI 53224

    Attention:
      Linda Harris-Murphy

    Telephone:
      (414) 815-3635

    Facsimile:
      (414) 815-3589

    Reference:
      American Security Insurance Company - Prudential Private Placements; Account
      Number: 89-0035-89-2)

    

    With
      a
      copy of the Notes to:

    

    Prudential
      Capital Group

    Gateway
      Center 4

    100
      Mulberry, 7th Floor

    Newark,
      NJ 07102

    Attention:
      Trade Management, Manager

    Telephone:
      (973) 367-3141

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Teachers
                Insurance and Annuity

              Association
                of America

              730
                Third Avenue

              New
                York, New York 10017

            	
              $30,000,000

               

              Series
                A

               

            

    

     

    Payments

     

    All
      payments on or in respect of the Notes shall be made in immediately available
      funds on the due date by electronic funds transfer, through the Automated
      Clearing House System, to:

    

    JPMorgan
      Chase Bank, N.A.

    ABA
      #021-000-021

    Account
      Number 900-9-000200

    Account
      Name: Teachers Insurance and Annuity Association of America

    For
      Further Credit to the Account Number: G07040

    Reference:
      PPN# 607828 C* 9/Modine Manufacturing Company/5.68% Senior Notes,
      Series A, due December 7, 2017/P&I Breakdown

     

    Notices

     

    All
      notices with respect to payments and prepayments of the Notes shall be sent
      to:

    

    Teachers
      Insurance and Annuity Association of America

    730
      Third
      Avenue

    New
      York,
      New York 10017

    Attention:
      Securities Accounting Division

    Phone:
      (212) 916-4109

    Fax:
      (212) 916-6955

    

    With
      a
      copy to:

    

    JPMorgan
      Chase Bank, N.A.

    P.
      O. Box
      35308

    Newark,
      New Jersey 07101

     

    Contemporaneous
      written confirmation of any electronic funds transfer shall be sent to the
      above
      addresses setting forth: (1) the full name, private placement number, interest
      rate and maturity date of the Series A Notes; (2) the allocation of the
      payment between principal, interest, Make-Whole Amount, other premium or any
      special payment; and (3) the name and address of the bank from which such
      electronic funds transfer was sent.

     

    All
      notices and communications, including notices with respect to payments and
      prepayments, shall be delivered or mailed to:

    

    Teachers
      Insurance and Annuity Association of America

    8500
      Andrew Carnegie Blvd. - 3rd Floor

    Charlotte,
      North Carolina 28263

    Attention:
      Ho Young Lee

    Telephone:
      (704) 988-4349

    Facsimile:
      (704) 988-4916

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 13-1624203

     

    *Draftsperson:
      Deliver Notes to:

    

    JPMorgan
      Chase Bank, N.A.

    4
      New
      York Plaza

    Ground
      Floor Window 

    New
      York,
      New York 10004

    For
      TIAA
      A/C #G07040

    

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Country
                Life Insurance Company

              1705
                N Towanda Avenue 

              Bloomington,
                Illinois 61702

              Attention:
                Investments

              Telephone:
                (309) 821-6260

              Fax:
                (309) 821-6301

            	
              $6,000,000

               

              Series
                A

               

            

    

     

    Payments

     

    All
      payments on or in respect of the Notes to be by bank wire transfer of Federal
      or
      other immediately available funds (identifying each payment as “Modine
      Manufacturing Company, 5.68% Senior Notes, Series A, due December 7,
      2017, PPN  607828 C* 9, principal, premium or interest”)
      to:

    

    Northern
      Trust Chgo/Trust

    ABA
      #071000152

    Wire
      Account Number 5186041000

    For
      Further Credit to: 26-02712

    Account
      Name:  Country
      Life Insurance Company

    Representing
      P & I on (list security) [BANK]

     

    Notices

     

    All
      notices and communications to be addressed as first provided above, except
      notices with respect to payments and written confirmation of each such payment,
      to be addressed: 

    

    Country
      Life Insurance Company

    Attention:
      Investment Accounting 

    1705
      N
      Towanda Avenue

    Bloomington,
      Illinois 61702

    Telephone:
      (309) 821-6348

    Fax:
      (309) 821-2800

     

    Name
      of
      Nominee in which Notes are to be issued: None

     

    Taxpayer
      I.D. Number: 37-0808781

     

    *Draftsperson:
      Notes should be sent to:

    

    The
      Northern Trust Company of New York

    Harborside
      Financial Center 10, Suite 1401

    3
      Second
      Street

    Attn:
      26-02712/Country Life Insurance Company

    Jersey
      City, NJ 07311

    Include
      Acct # and Name in cover letter as well.

    
      
        A-

        

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
               

               

              Name
                and Address of Purchaser

               

            	
              Principal
                Amount and Series of

               

              Notes
                to Be Purchased

               

            
	
              Standard
                Insurance Company

              1100
                SW Sixth Avenue

              Portland,
                OR 97204

              Attention:
                Kim Ceserani

              Tel:
                (971) 321-8434

              Fax:
                (971) 321-5890

            	
              $3,000,000

               

              Series
                A

               

            

    

     

    Payments

     

    All
      payments on or in respect of the Notes to be by bank wire transfer of Federal
      or
      other immediately available funds (identifying each payment as “Modine
      Manufacturing Company, 5.68% Senior Notes, Series A, due December 7,
      2017, PPN 607828 C* 9, principal, premium or interest”)
      to:

    

    Bank
      of
      New York 

    ABA
      Number: 021000018 

    BBK
      = IOC
      363

    Account
      Name:  Standard
      Insurance Company

    Account
      Number: 343087

    Representing
      P & I on (list PPN & description of payment) 

     

    Notices:

     

    All
      notices of payments on or in respect of the Notes and written confirmation
      of
      each such payments to: 

    

    Bank
      of
      New York (BNY) Western Trust Company

    Attention:
      Client Services - Joe Trendowski

    IIS--Syracuse
      Client Services, 2nd Floor

    111
      Sanders Creek Parkway

    East
      Syracuse, NY 13057

    Tel:
      (315) 414-3031

    Fax:
      (315) 414-5017

     

    Duplicate
      payment notices, compliance information, financials and all other correspondence
      to:

    

    Standard
      Insurance Company

    1100
      SW
      Sixth Avenue

    Portland,
      OR 97204

    Attention:
      Kim Ceserani

    Fax:
      (971) 321-5890

     

    Name
      of
      Nominee in which Notes are to be issued: HARE & Co. 

     

    Taxpayer
      I.D. Number: 93-0242990

     

    *Draftsperson:
      Notes should be delivered to:

    

    The
      Bank
      of New York

    One
      Wall
      Street - 3rd Floor, Window A

    New
      York,
      New York 10286

    Account
      Name: Standard Insurance Company

    Account
      Number: 343087

    Instructions:
      Modine Manufacturing Company and Cusip Number. Questions, please contact Joe
      Trendowski (315) 414-3031

    

    Asking
      that the Bank confirm receipt of the securities to Lori Burgess at Standard
      Insurance Company, 1100 SW Sixth Ave., Portland, Oregon 97204; (971) 321-7982;
      Fax (971) 321-5890.

    

    Copies
      of
      C&C transmittal letter to the Bank, together with a copy of the original
      securities should be sent to Lori Burgess at Standard Insurance Company, 1100
      SW
      Sixth Ave., Portland, Oregon 97204; (971) 321-7982; Fax (97)
      321-5890.

    

    

     

    

    
      
        
          Schedule
            A

          (to
            Note
            Purchase Agreement)

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
          

        

      

    

    Defined
      Terms

     

    As
      used
      herein, the following terms have the respective meanings set forth below or
      set
      forth in the Section hereof following such term:

     

    “Affiliate”
      means,
      at any time, and with respect to any Person, any other Person that at such
      time
      directly or indirectly through one or more intermediaries Controls, or is
      Controlled by, or is under common Control with, such first Person, and with
      respect to the Company, shall include any Person beneficially owning or holding,
      directly or indirectly, 10% or more of any class of voting or equity interests
      of the Company or any Subsidiary or any corporation of which the Company and
      its
      Subsidiaries beneficially own or hold, in the aggregate, directly or indirectly,
      10% or more of any class of voting or equity interests. As used in this
      definition, “Control”
      means
      the possession, directly or indirectly, of the power to direct or cause the
      direction of the management and policies of a Person, whether through the
      ownership of voting securities, by contract or otherwise. Unless the context
      otherwise clearly requires, any reference to an “Affiliate”
      is a
      reference to an Affiliate of the Company.

     

    “Aftermarket
      Disposition”
      means
      the spin off by the Company of its aftermarket business, which occurred on
      July 22, 2005, all
      as
      more fully described in the Company’s Form 8-K filed with the SEC on July 28,
      2005.

     

    “Airedale
      Entity” and“Airedale
      Entities” are
      defined in Section
      5.20.

     

    “Anti-Terrorism
      Order” means
      Executive Order No. 13,224 of September 24, 2001, Blocking Property
      and Prohibiting Transactions with Persons Who Commit, Threaten to Commit or
      Support Terrorism, 66 U.S. Fed. Reg. 49, 079 (2001), as amended.

     

    “Business
      Day”
      means
      (a) for the purposes of Section 8.6
      only,
      any day other than a Saturday, a Sunday or a day on which commercial banks
      in
      New York City are required or authorized to be closed, and (b) for the
      purposes of any other provision of this Agreement, any day other than a
      Saturday, a Sunday or a day on which commercial banks in Chicago, Illinois
      or
      New York, New York are required or authorized to be closed.

     

    “Capital
      Lease” means,
      at
      any time, a lease with respect to which the lessee is required concurrently
      to
      recognize the acquisition of an asset and the incurrence of a liability in
      accordance with GAAP.

     

    “Change
      in Control”
      is
      defined in Section 8.7.

     

    “Closing”
      is
      defined in Section 3.

     

    “Code”
      means
      the Internal Revenue Code of 1986, as amended from time to time, and the rules
      and regulations promulgated thereunder from time to time.

     

    “Company”
      means
      Modine Manufacturing Company, a Wisconsin corporation or any successor that
      becomes such in the manner prescribed in Section 10.6.

     

    “Confidential
      Information”
      is
      defined in Section 20.

     

    “Consolidated
      EBIT”
      means,
      for the Company and its Subsidiaries for any period, an amount equal to the
      sum
      of (a) Consolidated Net Earnings for such period plus
      (b) to the extent deducted in determining Consolidated Net Earnings for
      such period, (i) Consolidated Interest Expense, (ii) federal, state,
      local and foreign income tax expense and franchise tax expense paid or accrued
      during such period, determined on a consolidated basis in accordance with GAAP,
      (iii)  non-cash stock option expense for such period, determined on a
      consolidated basis in accordance with GAAP and (iv) non-cash expense incurred
      directly as a result of mandatory changes to significant accounting policies
      which are mandated by the Financial Accounting Standards Board, determined
      on a
      consolidated basis in accordance with GAAP, in each case for such period;
provided,
      however, that
      the
      Consolidated Net Earnings, Consolidated Interest Expense, income tax expense,
      franchise tax expense, non-cash stock option expense, and non-cash expense
      incurred directly as a result of mandatory changes to significant accounting
      policies of any Person acquired during such period that accrue prior to the
      date
      such Person becomes a Subsidiary or is merged into or consolidated with or
      otherwise acquired by the Company or any Subsidiary, shall be included in
      Consolidated EBIT, on a pro
      forma
      basis as
      if such acquisition had been consummated on the first day of such
      period.

    

    “Consolidated
      EBITDA”
      means,
      for the Company and its Subsidiaries for any period, an amount equal to the
      sum
      of (a) Consolidated EBIT for such period plus
      (b) to the extent deducted in determining Consolidated Net Earnings for
      such period, depreciation and amortization determined on a consolidated
      basis in accordance with GAAP, provided,
      however, that
      the
      Consolidated Net Earnings, Consolidated Interest Expense, income tax expense,
      franchise tax expense, non-cash stock option expense, non-cash
      expense incurred
      directly as a result of mandatory changes to significant accounting policies,
      depreciation, and amortization of any Person acquired during such period that
      accrue prior to the date such Person becomes a Subsidiary or is merged into
      or
      consolidated with or otherwise acquired by the Company or any Subsidiary, shall
      be included in Consolidated EBITDA, on a pro forma basis as if such acquisition
      had been consummated on the first day of such period.

     

    “Consolidated
      Interest Expense”
      means,
      for the Company and its Subsidiaries for any period determined on a consolidated
      basis in accordance with GAAP, the sum of (a) total interest expense,
      including without limitation the interest component of any payments in respect
      of Capital Leases capitalized or expensed during such period (whether or not
      actually paid during such period) plus
      (b) the net amount payable (or minus the net amount receivable) under Swap
      Contracts during such period (whether or not actually paid or received during
      such period).

     

    “Consolidated
      Net Earnings”
      means,
      for the Company and its Subsidiaries for any period, the net earnings (or loss)
      of the Company and its Subsidiaries for such period (taken as a cumulative
      whole), as determined in accordance with GAAP, excluding (to the extent deducted
      in determining Consolidated Net Earnings): (i) extraordinary gains and losses;
      and (ii) any equity interest of the Company on the unremitted earnings of any
      Person that is not a Subsidiary.

     

    “Consolidated
      Net Worth”
      means,
      as of the date of any determination thereof, the consolidated stockholders’
equity of the Company and its Subsidiaries as determined in accordance with
      GAAP, excluding any increase or decrease to consolidated stockholders’ equity
      directly associated with a mandatory change to significant accounting
      policies.

     

    “Consolidated
      Total Assets”
      means as
      of the date of any determination thereof, total assets of the Company and its
      Subsidiaries determined on a consolidated basis in accordance with
      GAAP.

     

    “Consolidated
      Total Debt” means,
      at
      any time, all Debt of the Company and its Subsidiaries that would be reflected
      on a consolidated balance sheet of the Company prepared in accordance with
      GAAP
      at such time, including Receivables Transaction Attributed Indebtedness of
      any
      Subsidiary or other Person to whom interests in accounts, notes receivable
      and
      rights related thereto have been sold, conveyed or otherwise transferred by
      the
      Company or any Subsidiary in connection with a Qualified Receivables
      Transaction, whether or not such Subsidiary or other Person is consolidated
      with
      the Company under GAAP.

     

    “Credit
      Agreement”
      means
      that certain Amended and Restated Credit Agreement dated as of October 27,
      2004, among the Company, Bank One, NA, as Agent, and the other Lenders party
      thereto, as amended, modified, supplemented, restated, refinanced or replaced
      from time to time.

     

    “Debt”
      with
      respect to any Person means, at any time, without duplication,

     

    (a)its
      liabilities for borrowed money and its redemption obligations in respect of
      mandatorily redeemable Preferred Stock;

     

    (b)its
      liabilities for the deferred purchase price of property acquired by such Person
      (excluding accounts payable arising in the ordinary course of business but
      including all liabilities created or arising under any conditional sale or
      other
      title retention agreement with respect to any such property);

     

    (c)(i) all
      liabilities appearing on its balance sheet in accordance with GAAP in respect
      of
      Capital Leases and (ii) all liabilities which would appear on its balance
      sheet in accordance with GAAP in respect of Synthetic Leases assuming such
      Synthetic Leases were accounted for as Capital Leases;

     

    (d)all
      liabilities for borrowed money secured by any Lien with respect to any property
      owned by such Person (whether or not it has assumed or otherwise become liable
      for such liabilities);

     

    (e)all
      its
      liabilities in respect of letters of credit or instruments serving a similar
      function issued or accepted for its account by banks and other financial
      institutions (whether or not representing obligations for borrowed
      money);

     

    (f)the
      aggregate Swap Termination Value of all Swap Contracts of such Person;
      and

     

    (g)Receivables
      Transaction Attributed Indebtedness of such Person; and

     

    (h)any
      Guaranty of such Person with respect to liabilities of a type described in
      any
      of clauses (a) through (g) hereof.

     

    “Default”
      means an
      event or condition the occurrence or existence of which would, with the lapse
      of
      time or the giving of notice or both, become an Event of Default.

     

    “Default
      Rate”
      means
      that rate of interest that is the greater of (i) 2.0% per annum above the
      rate of interest stated in clause (a) of the first paragraph of the Notes or
      (ii) 2.0% over the rate of interest publicly announced by JPMorgan Chase
      Bank, N.A. in New York, New York as its “base” or “prime” rate.

     

    “Disclosure
      Documents” is
      defined in Section
      5.3.

     

    “Domestic
      Subsidiary”
      means
      each Subsidiary of the Company that is organized under the laws of the United
      States of America or any state, territory or possession thereof.

     

    “Electronic
      Delivery”
      is
      defined in Section 7.1(a).

     

    “Environmental
      Laws”
      means
      any and all Federal, state, local, and foreign statutes, laws, regulations,
      ordinances, rules, judgments, orders, decrees, permits, concessions, grants,
      franchises, licenses, agreements or governmental restrictions relating to
      pollution and the protection of the environment or the release of any materials
      into the environment, including but not limited to those related to Hazardous
      Materials.

     

    “ERISA”
      means
      the Employee Retirement Income Security Act of 1974, as amended from time to
      time, and the rules and regulations promulgated thereunder from time to time
      in
      effect.

     

    “ERISA
      Affiliate”
      means
      any trade or business (whether or not incorporated) that is treated as a single
      employer together with the Company under Section 414 of the
      Code.

     

    “Event
      of Default”
      is
      defined in Section 11.

     

    “Exchange
      Act”
      means
      the Securities Exchange Act of 1934, as amended from time to time, and the
      rules
      and regulations promulgated thereunder from time to time in effect.

     

    “Foreign
      Subsidiary”
      means
      each Subsidiary that is not a Domestic Subsidiary.

     

    “Form
      10-K”
      is
      defined in Section 7.1(b).

     

    “Form
      10-Q”
      is
      defined in Section 7.1(a).

     

    “GAAP”
      means
      generally accepted accounting principles as in effect from time to time in
      the
      United States of America.

     

    “Governmental
      Authority”
      means

     

    (a)the
      government of

     

    (i)the
      United States of America or any State or other political subdivision thereof,
      or

     

    (ii)any
      other
      jurisdiction in which the Company or any Subsidiary conducts all or any part
      of
      its business, or which asserts jurisdiction over any properties of the Company
      or any Subsidiary, or

     

    (b)any
      entity exercising executive, legislative, judicial, regulatory or administrative
      functions of, or pertaining to, any such government.

     

    “Guaranty”
      means,
      with respect to any Person, any obligation (except the endorsement in the
      ordinary course of business of negotiable instruments for deposit or collection)
      of such Person guaranteeing or in effect guaranteeing any indebtedness, dividend
      or other obligation of any other Person in any manner, whether directly or
      indirectly, including (without limitation) obligations incurred through an
      agreement, contingent or otherwise, by such Person:

     

    (a)to
      purchase such indebtedness or obligation or any property constituting security
      therefor;

     

    (b)to
      advance or supply funds (i) for the purchase or payment of such
      indebtedness or obligation, or (ii) to maintain any working capital or
      other balance sheet condition or any income statement condition of any other
      Person or otherwise to advance or make available funds for the purchase or
      payment of such indebtedness or obligation;

     

    (c)to
      lease
      properties or to purchase properties or services primarily for the purpose
      of
      assuring the owner of such indebtedness or obligation of the ability of any
      other Person to make payment of the indebtedness or obligation; or

     

    (d)otherwise
      to assure the owner of such indebtedness or obligation against loss in respect
      thereof.

     

    In
      any
      computation of the indebtedness or other liabilities of the obligor under any
      Guaranty, the indebtedness or other obligations that are the subject of such
      Guaranty shall be assumed to be direct obligations of such obligor.

     

    “Hazardous
      Material”
      means
      any and all pollutants, toxic or hazardous wastes or any other substances,
      including all substances listed in or regulated in any Environmental law that
      might pose a hazard to health and safety, the removal of which may be required
      or the generation, manufacture, refining, production, processing, treatment,
      storage, handling, transportation, transfer, use, disposal, release, discharge,
      spillage, seepage, or filtration of which is or shall be restricted, regulated,
      prohibited or penalized by any applicable law including, but not limited to,
      asbestos, urea formaldehyde foam insulation, polychlorinated biphenyls,
      petroleum, petroleum products, lead based paint, radon gas or similar
      restricted, prohibited or penalized substances.

     

    “holder”
      means,
      with respect to any Note, the Person in whose name such Note is registered
      in
      the register maintained by the Company pursuant to Section 13.1.

     

    “Institutional
      Investor”
      means
      (a) any Purchaser of a Note, (b) any holder of a Note holding
      (together with one or more of its affiliates) more than 5% of the aggregate
      principal amount of the Notes then outstanding, (c) any bank, trust
      company, savings and loan association or other financial institution, any
      pension plan, any investment company, any insurance company, any broker or
      dealer, or any other similar financial institution or entity, regardless of
      legal form, and (d) any Related Fund of any holder of any
      Note.

     

    “Intercreditor
      Agreement”
      is
      defined in Section 2.2(b).

     

    “Lien”
      means,
      with respect to any Person, any mortgage, lien, pledge, charge, security
      interest or other encumbrance, or any interest or title of any vendor, lessor,
      lender or other secured party to or of such Person under any conditional sale
      or
      other title retention agreement or Capital Lease, upon or with respect to any
      property or asset of such Person (including in the case of stock, stockholder
      agreements, voting trust agreements and all similar arrangements).

     

    “Make-Whole
      Amount”
      is
      defined in Section 8.6.

     

    “Material”
      means
      material in relation to the business, operations, affairs, financial condition,
      assets or properties of the Company and its Subsidiaries taken as a
      whole.

     

    “Material
      Adverse Effect”
      means a
      material adverse effect on (a) the business, operations, affairs, financial
      condition, assets, or properties of the Company and its Subsidiaries taken
      as a
      whole, or (b) the ability of the Company to perform its obligations under
      this Agreement and the Notes, or (c) the validity or enforceability of this
      Agreement, the Notes or the Subsidiary Guaranty.

     

    “Memorandum”
      is
      defined in Section 5.3.

     

    “Multiemployer
      Plan”
      means
      any Plan that is a “multiemployer plan” (as such term is defined in
      section 4001(a)(3) of ERISA).

     

    “NAIC”
      means
      the National Association of Insurance Commissioners or any successor
      thereto.

     

    “Notes”
      is
      defined in Section 1.

     

    “Officer’s
      Certificate”
      means a
      certificate of a Senior Financial Officer or of any other officer of the Company
      whose responsibilities extend to the subject matter of such
      certificate.

     

    “PBGC”
      means
      the Pension Benefit Guaranty Corporation referred to and defined in ERISA or
      any
      successor thereto.

     

    “Person”
      means an
      individual, partnership, corporation, limited liability company, association,
      trust, unincorporated organization, business entity or Governmental
      Authority.

     

    “Plan”
      means an
“employee benefit plan” (as defined in section 3(3) of ERISA) subject to
      Title I of ERISA that is or, within the preceding five years, has been
      established or maintained, or to which contributions are or, within the
      preceding five years, have been made or required to be made, by the Company
      or
      any ERISA Affiliate or with respect to which the Company or any ERISA Affiliate
      may have any liability.

     

    “Preferred
      Stock”
      means
      any class of capital stock of a Person that is preferred over any other class
      of
      capital stock (or similar equity interests) of such Person as to the payment
      of
      dividends or the payment of any amount upon liquidation or dissolution of such
      Person.

     

    “property”
      or
“properties”
      means,
      unless otherwise specifically limited, real or personal property of any kind,
      tangible or intangible, choate or inchoate.

     

    “Proposed
      Prepayment Date”
      is
      defined in Section 8.7.

     

    “Purchaser”
      is
      defined in the first paragraph of this Agreement.

     

    “QPAM
      Exemption”
      means
      Prohibited Transaction Class Exemption 84-14 issued by the United States
      Department of Labor.

     

    “Qualified
      Institutional Buyer”
      means
      any Person who is a “qualified institutional buyer” within the meaning of such
      term as set forth in Rule 144A(a)(1) under the Securities Act.

     

    “Qualified
      Receivables Transaction”
      means
      any transaction or series of transactions that may be entered into by the
      Company or any Subsidiary pursuant to which the Company or any Subsidiary may
      sell, convey or otherwise transfer to a newly-formed Subsidiary or other
      special-purpose entity, or any other Person, any accounts or notes receivable
      and rights related thereto on a limited recourse basis (a “Receivables
      Transaction”),
      provided
      that
      (a) in the opinion of a Responsible Officer of the Company, such sale,
      conveyance or transfer is for fair value and in the best interests of the
      Company and its Subsidiaries, (b) such sale, conveyance or transfer
      qualifies as a sale under GAAP and (c) the Receivables Transaction
      Attributed Indebtedness incurred in such transactions or series of transactions
      and outstanding at any time thereafter does not at any time exceed 15% of
      Consolidated Total Asset at the time of any determination.

     

    “Receivables
      Transaction Attributed Indebtedness”
      means
      the aggregate amount of obligations outstanding under the legal documentation
      entered into as part of any Receivables Transaction on any date of determination
      that would be characterized as principal if such Receivables Transaction were
      structured as a secured lending transaction rather than as a
      purchase.

     

    “Related
      Fund”
      means,
      with respect to any holder of any Note, any fund or entity that (i) invests
      in Securities or bank loans, and (ii) is advised or managed by such holder,
      the same investment advisor as such holder or by an affiliate of such holder
      or
      such investment advisor.

     

    “Required
      Holders”
      means,
      at any time, the holders of at least 51% in principal amount of the Notes at
      the
      time outstanding (exclusive of Notes then owned by the Company or any of its
      Affiliates).

     

    “Responsible
      Officer”
      means
      any Senior Financial Officer and any other officer of the Company with
      responsibility for the administration of the relevant portion of this
      Agreement.

     

    “Sale
      and Leaseback Transaction”
      means
      any arrangement whereby the Company or any Subsidiary shall sell, transfer
      or
      otherwise dispose of any property owned by the Company or any Subsidiary to
      any
      Person other than the Company or a Subsidiary and thereupon the Company or
      any
      Subsidiary shall lease or intend to lease, as lessee, the same property or
      any
      part thereof.

     

    “SEC”
      shall
      mean the Securities and Exchange Commission of the United States, or any
      successor thereto.

     

    “Securities”
      or
      Security”
      shall
      have the same meaning as in Section 2(1) of the Securities
      Act.

     

    “Securities
      Act”
      means
      the Securities Act of 1933, as amended from time to time, and the rules and
      regulations promulgated thereunder from time to time in effect.

     

    “Senior
      Debt”
      means
      all Debt of the Company which is not expressed to be subordinate or junior
      in
      rank to any other Debt of the Company.

     

    “Senior
      Financial Officer”
      means
      the chief financial officer, treasurer or controller of the
      Company.

     

    “Series
      A Notes”
      is
      defined in Section 1.

     

    “Series
      B Notes”
      is
      defined in Section 1.

     

    “Shelf
      Note Purchase Agreement”
      means
      the Note Purchase and Private Shelf Agreement dated as of September 29,
      2000 between the Company and the purchasers named therein, as amended to date,
      and as it may be further amended, modified, supplemented, restated, refinanced
      or replaced from time to time.

     

    “Shelf
      Notes”
      means
      the senior promissory notes of the Company issued from time to time pursuant
      to
      the Shelf Note Purchase Agreement, severally, as such notes may be amended,
      modified, supplemented, restated, refinanced or replaced from time to
      time.

     

    “Significant
      Subsidiary”
      means at
      any time any Subsidiary that would at such time constitute a “significant
      subsidiary” (as such term is defined in Regulation S-X of the Securities and
      Exchange Commission as in effect on the date of Closing) of the
      Company.

     

    “Subsidiary”
      means,
      as to any Person, any other Person in which such first Person or one or more
      of
      its Subsidiaries or such first Person and one or more of its Subsidiaries owns
      sufficient equity or voting interests to enable it or them (as a group)
      ordinarily, in the absence of contingencies, to elect a majority of the
      directors (or Persons performing similar functions) of such second Person,
      and
      any partnership or joint venture if more than a 50% interest in the profits
      or
      capital thereof is owned by such first Person or one or more of its Subsidiaries
      or such first Person and one or more of its Subsidiaries (unless such
      partnership can and does ordinarily take major business actions without the
      prior approval of such Person or one or more of its Subsidiaries). Unless the
      context otherwise clearly requires, any reference to a “Subsidiary”
      is a
      reference to a Subsidiary of the Company.

     

    “Subsidiary
      Guarantor”
      is
      defined in Section
      2.2(a) and
      shall
      include any Subsidiary which is required to become a Subsidiary Guarantor
      pursuant to the requirements of Section 9.8.

     

    “Subsidiary
      Guaranty”
      is
      defined in Section 2.2(a)
      and
      shall include any Subsidiary Guaranty delivered pursuant to Section 9.8.

     

    “Subsidiary
      Stock”
      means,
      with respect to any Person, the stock or other equity interests (or any options
      or warrants to purchase stock or other equity interests or other Securities
      exchangeable for or convertible into stock or other equity interests) of any
      subsidiary of such Person.

     

    “SVO”
      means
      the
      Securities Valuation Office of the NAIC or any successor to such
      Office.

    

    “Swap
      Contract”
      means
      (a) any and all interest rate swap transactions, basis swap transactions,
      basis swaps, credit derivative transactions, forward rate transactions,
      commodity swaps, commodity options, forward commodity contracts, equity or
      equity index swaps or options, bond or bond price or bond index swaps or options
      or forward foreign exchange transactions, cap transactions, floor transactions,
      currency options, spot contracts or any other similar transactions or any of
      the
      foregoing (including, but without limitation, any options to enter into any
      of
      the foregoing), and (b) any and all transactions of any kind, and the
      related confirmations, which are subject to the terms and conditions of, or
      governed by, any form of master agreement published by the International Swaps
      and Derivatives Association, Inc., any International Foreign Exchange Master
      Agreement, provided,
      however, that
      any
      transactions that would otherwise be included under clauses (a) or (b) above
      shall not be so included if entered into in the ordinary course of business
      of
      the Company or a Subsidiary and not for speculative purposes.

     

    “Swap
      Termination Value”
      means,
      in respect of any one or more Swap Contracts, after taking into account the
      effect of any legally enforceable netting agreement relating to such Swap
      Contracts, (a) for any date on or after the date such Swap Contracts have
      been closed out and termination value(s) determined in accordance therewith,
      such termination value(s), and (b) for any date prior to the date
      referenced in clause (a), the amounts(s) determined as the mark-to-market
      values(s) for such Swap Contracts, as determined based upon one or more
      mid-market or other readily available quotations provided by any recognized
      dealer in such Swap Contracts.

     

    “Synthetic
      Lease”
      means,
      at any time, any lease (including leases that may be terminated by the lessee
      at
      any time) of any property (a) that is accounted for as an operating lease
      under GAAP and (b) in respect of which the lessee retains or obtains
      ownership of the property so leased for U.S. federal income tax purposes, other
      than any such lease under which such Person is the lessor.

     

    “2005
      Note Purchase Agreement”
      means
      the Note Purchase Agreement dated as of September 29, 2005 between the
      Company and the purchasers named therein, as amended to date, and as it may
      be
      further amended, modified, supplemented, restated, refinanced or replaced from
      time to time.

     

    “USA
      Patriot Act”
      means
      United States Public Law 107-56, Uniting and Strengthening America by Providing
      Appropriate Tools Required to Intercept and Obstruct Terrorism (USA Patriot
      Act)
      Act of
      2001, as amended from time to time, and the rules and regulations promulgated
      thereunder from time to time in effect.

     

    “Wholly-owned
      Subsidiary”
      means,
      at any time, any Subsidiary one hundred percent (100%) of all of the equity
      interests (except directors’ qualifying shares) and voting interests of which
      are owned by any one or more of the Company and the Company’s other Wholly-owned
      Subsidiaries at such time.

     

    

    
      
        
          Schedule
            B

          (to
            Note
            Purchase Agreement)

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
          

        

      

    

    [Form
      of Series A Note]

     

    This
      Series A Note has not been registered under the Securities Act of 1933, as
      amended, and, unless so registered, may not be transferred, sold or otherwise
      disposed of except pursuant to an exemption from registration under said Act
      or
      if said Act does not apply.

     

    Modine
      Manufacturing Company

     

    5.68%
      Senior Note, Series A, due December 7, 2017

     

    No.
      RA-[_________] [Date]

    $[____________] PPN 607828 C* 9

     

    For
      Value
      Received,
      the
      undersigned, Modine
      Manufacturing Company
      (herein
      called the “Company”),
      a
      corporation organized and existing under the laws of the State of Wisconsin,
      hereby promises to pay to [________________], or registered assigns, the
      principal sum of [________________] Dollars
      (or so
      much thereof as shall not have been prepaid) on December 7, 2017, with
      interest (computed on the basis of a 360-day year of twelve 30-day months)
      on
      the unpaid balance hereof at the rate of (a) 5.68% per annum from the date
      hereof, payable semiannually, on the 7th day of June and December in each year,
      commencing with the June or December next succeeding the date hereof, until
      the
      principal hereof shall have become due and payable, and (b) to the extent
      permitted by law, on any overdue payment of interest and, during the continuance
      of an Event of Default, on such unpaid balance and on any overdue payment of
      any
      Make-Whole Amount, at a rate per annum from time to time equal to the greater
      of
      (i) 7.68% or (ii) 2.0% over the rate of interest publicly announced by
JPMorgan
      Chase Bank, N.A. from time to time in New York, New York as
      its
“base” or “prime” rate payable semiannually as aforesaid (or, at the option of
      the registered holder hereof, on demand).

     

    Payments
      of principal of, interest on and any Make-Whole Amount with respect to this
      Note
      are to be made in lawful money of the United States of America at the principal
      office of the Company in Racine, Wisconsin, or at such other place as the
      Company shall have designated by written notice to the holder of this Note
      as
      provided in the Note Purchase Agreement referred to below.

     

    This
      Series A Note is one of a series of Senior Notes (herein called the
“Series A
      Notes”)
      issued
      pursuant to the Note Purchase Agreement, dated as of December 7, 2006 (as
      from time to time amended, the “Note
      Purchase Agreement”),
      between the Company and the respective Purchasers named therein and is entitled
      to the benefits thereof. Each holder of this Series A Note will be deemed,
      by its acceptance hereof, to have (i) agreed to the confidentiality
      provisions set forth in Section 20
      of the
      Note Purchase Agreement and (ii) made the representation set forth in
Section 6.3
      of the
      Note Purchase Agreement. Unless otherwise indicated, capitalized terms used
      in
      this Series A Note shall have the respective meanings ascribed to such
      terms in the Note Purchase Agreement.

     

    This
      Series A Note is a registered Series A Note and, as provided in the
      Note Purchase Agreement, upon surrender of this Series A Note for
      registration of transfer, duly endorsed, or accompanied by a written instrument
      of transfer duly executed, by the registered holder hereof or such holder’s
      attorney duly authorized in writing, a new Series A Note for a like
      principal amount will be issued to, and registered in the name of, the
      transferee. Prior to due presentment for registration of transfer, the Company
      may treat the person in whose name this Series A Note is registered as the
      owner hereof for the purpose of receiving payment and for all other purposes,
      and the Company will not be affected by any notice to the contrary.

     

    This
      Series A Note is subject to optional prepayment, in whole or from time to
      time in part, at the times and on the terms specified in the Note Purchase
      Agreement, but not otherwise. 

     

    If
      an
      Event of Default occurs and is continuing, the principal of this Series A
      Note may be declared or otherwise become due and payable in the manner, at
      the
      price (including any applicable Make-Whole Amount) and with the effect provided
      in the Note Purchase Agreement.

     

    This
      Series A Note shall be construed and enforced in accordance with, and the
      rights of the parties shall be governed by, the law of the State of New York,
      excluding choice-of-law principles of the law of such State that would require
      application of the laws of a jurisdiction other than such
      State.

    

    Modine
      Manufacturing Company

    

    

    

    By /s/Bradley
      C. Richardson       

    Name: Bradley
      C. Richardson

    Title:Executive
      Vice President, Finance and Chief Financial Officer

    

    
      
        
          Exhibit 1-A

          (to
            Note
            Purchase Agreement) 

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
          

        

      

    

    [Form
      of Series B Note]

     

    This
      Series B Note has not been registered under the Securities Act of 1933, as
      amended, and, unless so registered, may not be transferred, sold or otherwise
      disposed of except pursuant to an exemption from registration under said Act
      or
      if said Act does not apply.

     

    Modine
      Manufacturing Company

     

    5.68%
      Senior Note, Series B, due December 7, 2018

     

    No.
      RB-[_________] [Date]

    $[____________] PPN 607828 C@ 7

     

    For
      Value
      Received,
      the
      undersigned, Modine
      Manufacturing Company
      (herein
      called the “Company”),
      a
      corporation organized and existing under the laws of the State of Wisconsin,
      hereby promises to pay to [________________], or registered assigns, the
      principal sum of [________________] Dollars
      (or so
      much thereof as shall not have been prepaid) on December 7, 2018, with
      interest (computed on the basis of a 360-day year of twelve 30-day months)
      on
      the unpaid balance hereof at the rate of (a) 5.68% per annum from the date
      hereof, payable semiannually, on the 7th day of June and December in each year,
      commencing with the June or December next succeeding the date hereof, until
      the
      principal hereof shall have become due and payable, and (b) to the extent
      permitted by law, on any overdue payment of interest and, during the continuance
      of an Event of Default, on such unpaid balance and on any overdue payment of
      any
      Make-Whole Amount, at a rate per annum from time to time equal to the greater
      of
      (i) 7.68% or (ii) 2.0% over the rate of interest publicly announced by
JPMorgan
      Chase Bank, N.A. from time to time in New York, New York as
      its
“base” or “prime” rate payable semiannually as aforesaid (or, at the option of
      the registered holder hereof, on demand).

     

    Payments
      of principal of, interest on and any Make-Whole Amount with respect to this
      Note
      are to be made in lawful money of the United States of America at the principal
      office of the Company in Racine, Wisconsin, or at such other place as the
      Company shall have designated by written notice to the holder of this Note
      as
      provided in the Note Purchase Agreement referred to below.

     

    This
      Series B Note is one of a series of Senior Notes (herein called the “Series
      B Notes”)
      issued
      pursuant to the Note Purchase Agreement, dated as of December 7, 2006 (as
      from time to time amended, the “Note
      Purchase Agreement”),
      between the Company and the respective Purchasers named therein and is entitled
      to the benefits thereof. Each holder of this Series B Note will be deemed,
      by
      its acceptance hereof, to have (i) agreed to the confidentiality provisions
      set forth in Section 20
      of the
      Note Purchase Agreement and (ii) made the representation set forth in
Section 6.3
      of the
      Note Purchase Agreement. Unless otherwise indicated, capitalized terms used
      in
      this Series B Note shall have the respective meanings ascribed to such terms
      in
      the Note Purchase Agreement.

     

    This
      Series B Note is a registered Series B Note and, as provided in the Note
      Purchase Agreement, upon surrender of this Series B Note for registration of
      transfer, duly endorsed, or accompanied by a written instrument of transfer
      duly
      executed, by the registered holder hereof or such holder’s attorney duly
      authorized in writing, a new Series B Note for a like principal amount will
      be
      issued to, and registered in the name of, the transferee. Prior to due
      presentment for registration of transfer, the Company may treat the person
      in
      whose name this Series B Note is registered as the owner hereof for the purpose
      of receiving payment and for all other purposes, and the Company will not be
      affected by any notice to the contrary.

     

    This
      Series B Note is subject to optional prepayment, in whole or from time to time
      in part, at the times and on the terms specified in the Note Purchase Agreement,
      but not otherwise. 

     

    If
      an
      Event of Default occurs and is continuing, the principal of this Series B Note
      may be declared or otherwise become due and payable in the manner, at the price
      (including any applicable Make-Whole Amount) and with the effect provided in
      the
      Note Purchase Agreement.

     

    This
      Series B Note shall be construed and enforced in accordance with, and the rights
      of the parties shall be governed by, the law of the State of New York, excluding
      choice-of-law principles of the law of such State that would require application
      of the laws of a jurisdiction other than such State.

    

    Modine
      Manufacturing Company

    

    

    

    By /s/Bradley
      C. Richardson      

    Name: Bradley
      C. Richardson

    Title:Executive
      Vice President, Finance and Chief Financial Officer

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