Document:

Exhibit
4.19

 

Dated 10 June 2010

 

COMPOSITE
DEBENTURE

 

Between

 

THE
COMPANIES LISTED IN SCHEDULE 1

as Chargors

 

and

 

DEUTSCHE
BANK AG, LONDON BRANCH

as Security Trustee

 

 

TABLE OF CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  1.

  	
  INTERPRETATION

  	
  1

  
	
  2.

  	
  SECURED OBLIGATIONS

  	
  9

  
	
  3.

  	
  CHARGES

  	
  10

  
	
  4.

  	
  SET-OFF

  	
  15

  
	
  5.

  	
  UNDERTAKINGS

  	
  16

  
	
  6.

  	
  REAL PROPERTY: PERFECTION

  	
  18

  
	
  7.

  	
  FURTHER ASSURANCE

  	
  19

  
	
  8.

  	
  CERTAIN POWERS OF THE
  SECURITY TRUSTEE AND THE BENEFICIARIES: ENFORCEMENT

  	
  20

  
	
  9.

  	
  APPOINTMENT AND POWERS OF
  RECEIVER OR ADMINISTRATOR

  	
  22

  
	
  10.

  	
  APPLICATION OF PROCEEDS;
  PURCHASERS

  	
  25

  
	
  11.

  	
  INDEMNITIES; COSTS AND
  EXPENSES

  	
  26

  
	
  12.

  	
  ENFORCEMENT

  	
  27

  
	
  13.

  	
  POWER OF ATTORNEY

  	
  28

  
	
  14.

  	
  CONTINUING SECURITY AND
  OTHER MATTERS

  	
  28

  
	
  15.

  	
  CURRENCIES

  	
  31

  
	
  16.

  	
  THE SECURITY TRUST AGREEMENT

  	
  32

  
	
  17.

  	
  MISCELLANEOUS

  	
  32

  
	
  18.

  	
  NOTICES

  	
  34

  
	
  19.

  	
  LAW AND JURISDICTION

  	
  35

  
	
  SCHEDULE
  1 CHARGING COMPANIES

  	
  36

  
	
  SCHEDULE
  2 NOTICES OF ASSIGNMENT/ACKNOWLEDGEMENTS

  	
  37

  
	
   

  	
  Part 1 Intercompany
  Indebtedness

  	
  37

  
	
   

  	
  Part 1A Form of Notice of Assignment

  	
  37

  
	
   

  	
  Part 1B Form of Acknowledgement of
  Assignment

  	
  39

  
	
   

  	
  Part 2 Insurances

  	
  41

  
	
   

  	
  Part 2A Form of Notice of Assignment

  	
  41

  
	
   

  	
  Part 2B Form of Acknowledgement of
  Assignment

  	
  44

  
	
  SCHEDULE
  3 DETAILS OF CHARGED LAND

  	
  45

  
	
   

  	
  Part 1 PART 1A
  Registered Land

  	
  45

  
	
   

  	
  PART 1B Unregistered
  Land

  	
  45

  
	
  SCHEDULE
  4 REGISTERED, INTELLECTUAL PROPERTY RIGHTS

  	
  46

  
	
  SCHEDULE
  5 INTERCOMPANY LOANS

  	
  48

  

 

i

 

THIS COMPOSITE DEBENTURE is dated 10 June 2010 and made

 

BETWEEN:

 

(1)                                 THE COMPANIES whose respective registered names, registered numbers
and shareholders are set out in Schedule 1 (the “Chargors”);
and

 

(2)                                 DEUTSCHE BANK AG, LONDON BRANCH as security trustee for the Beneficiaries (the “Security Trustee”).

 

WHEREAS:

 

(A)                              The Senior Lenders have agreed to make available to
the Borrowers (as defined in the Senior Facilities Agreement (as defined
below)) certain credit facilities pursuant to the terms and subject to the
conditions of the Senior Facilities Agreement and the Group Intercreditor
Agreement.

 

(B)                                Virgin Media Secured Finance PLC has issued and sold
the Senior Secured Notes under the Senior Secured Notes Indenture.

 

(C)                                By an intercreditor deed dated 3 March 2006,
as amended and restated on 13 June 2006, 10 July 2006,
31 July 2006, 15 May 2008, 30 October 2009 and
8 January 2010 (the “Group
Intercreditor Deed”) the Security Trustee, the Facility Agent, the
Original Senior Borrowers, the Original Senior Guarantors, the Senior Lenders,
the Hedge Counterparties, the Intergroup Debtors and the Intergroup Creditors
(as each of those terms are defined therein) and certain other members of the
Group have agreed to regulate their relationship as creditors on the terms set
out therein.

 

(D)                               The board of directors of each Chargor is satisfied
that such Chargor is entering into this Deed for the purposes of carrying on
its business and that its doing so benefits such Chargor.

 

(E)                                 The Security Trustee holds the benefit of this Deed on
trust for itself and the other Beneficiaries on the terms and subject to the
conditions of the Security Trust Agreement and the Group Intercreditor Deed.

 

NOW THIS DEED  WITNESSES as follows:

 

1.                                      INTERPRETATION

 

1.1                                 Definitions

 

In this Deed, unless the context otherwise
requires:

 

“Acknowledgement”
means a duly completed acknowledgement of assignment in the form set out in the
relevant Part of Schedule 2 (Notices of
Assignment/Acknowledgements) being:

 

(a)                                  Schedule 2Part 1B, in the case of Intercompany
Indebtedness; and

 

(b)                                 Schedule 2Part 2B, in the case of Insurances.

 

 

“Assigned Assets”
means, in relation to each Chargor, all the assets of such Chargor described in
Clause 3.2 (Assignments);

 

“Beneficiaries”
means the First Beneficiary and the Second Beneficiaries;

 

“Charged Assets”
means all the undertaking, goodwill, property, assets and rights of each
Chargor described in Clauses 3.1 (Fixed Charge),
3.2 (Assignments) and 3.4 (Floating Charge);

 

“Charged Land”
means in respect of each Chargor the English Real Property specified in
Schedule 3 (Details of Charged Land);

 

“Default Rate”
means the rate specified in Clause 28.2 (Default Rate)
of the Senior Facilities Agreement or, upon its repayment in full and
cancellation of all undrawn commitments thereunder such equivalent provision in
the Relevant Facilities Agreement;

 

“Designated Secured
Obligations” means Financial Indebtedness in the form of notes or
other such similar instruments of any member of the Group that is designated as
“Designated Secured Obligations” by written notice from the Company to the
Security Trustee which notice will certify that the Financial Indebtedness is an
instrument for which Rule 3-16 of Regulation S-X under the Securities Act
(“Rule 3-16”) is applicable or will
become applicable upon registration of such instrument or an instrument
exchangeable for such instrument pursuant to a contractual requirement;

 

“disposal”
includes any sale, lease, sub-lease, assignment or transfer, the grant of an
option or similar right, the grant of any easement, right or privilege, the
creation of a trust or other equitable interest in favour of a third party, a
sharing or parting with possession or occupation whether by way of licence or
otherwise and the granting of access to any other person over any intellectual
property, and “dispose” and “disposition”
shall be construed accordingly;

 

“Enforcement
Date” means the date on which, following the occurrence of an Event
of Default that is continuing, either the Relevant Agent or the Security
Trustee notifies the Chargors of the occurrence of that Event of Default, or
takes, under any one or more of the Senior Finance Documents, any of the steps
it is entitled to take by reason of the occurrence of such Event of Default;

 

“English Real Property” means, at any time
and in respect of each Chargor, freehold or leasehold property in England and
Wales in which such Chargor has an interest, including all rights, easements
and privileges from time to time attached or appurtenant thereto and all
buildings, erections and Fixtures from time to time therein or thereon;

 

“Event of
Default” means each of:

 

(a)                                  a Senior Default; and

 

(b)                                 an event of default or termination event (however
described) under any Hedging Agreement;

 

2

 

“Excluded Charged Assets”
has the meaning given to such term in Clause 3.12(b) (Rule 3-16
Limitation) of this Deed;

 

“Fixtures”
means, in relation to any Real Property, all fixtures and fittings (including
trade fixtures and fittings) and fixed plant, machinery and equipment and other
items attached to the relevant Real Property whether or not constituting a
fixture at law;

 

“Floating Charge Assets”
means the assets of each Chargor from time to time expressed to be charged by
this Deed by way of floating charge pursuant to Clause 3.4 (Floating Charge);

 

“Incapacity”
means, in relation to any person, the insolvency, bankruptcy, liquidation,
dissolution, winding-up, administration, receivership, amalgamation,
reconstruction or other incapacity of that person whatsoever;

 

“Indemnified Party”
has the meaning set out in Clause 11.3 (Indemnity
from Charged Assets);

 

“Insurances”
means, in relation to each Chargor, all present and future contracts or
policies of insurance (including life policies) in which each Chargor from time
to time has an interest;

 

“Intellectual
Property Rights” means all patents, trade marks, service marks,
designs, design rights, utility models, business names, topographical or
similar rights, copyrights, moral rights, database rights, rights in
inventions, computer software, know-how, trade secrets and confidential
information and other intellectual property rights and any interests (including
by way of licence) subsisting anywhere in the world in any of the foregoing (in
each case whether registered or not and including all applications for the
same) owned by each Chargor;

 

“Intercompany
Indebtedness” means indebtedness owing by any member of the Group to
any Chargor under each of the loan agreements or other debt instruments listed
in Schedule 5 (Intercompany Loans) and any other
such indebtedness from time to time outstanding;

 

“Investments”
means the Shares and any other stocks, debentures, bonds, warrants and other
securities of any kind whatsoever and any units in Unit Trust Schemes;

 

“Lease”
means any present or future lease, sublease, licence, tenancy or other
agreement or right to occupy whether on a fixed term or periodic basis
governing the use or occupation of any freehold, heritable or leasehold
property;

 

“Liability”
means any obligation or liability for the payment of money, whether in respect
of principal, interest or otherwise, whether actual or contingent, whether owed
jointly or severally and whether owed as principal or surety or in any other
capacity;

 

“Notice of
Assignment” means a duly completed notice of assignment in the form
set out in the relevant Part of Schedule 2 (Notices of
Assignment/Acknowledgements) being:

 

(a)                                  Part 1, in the case of Intercompany Indebtedness;
and

 

3

 

(b)                                 Part 2, in the case of Insurances;

 

“Permitted
Borrowing” means any Financial Indebtedness permitted under Clause
25.4 (Financial Indebtedness) of the Senior
Facilities Agreement or upon its repayment in full and cancellation of all
undrawn commitments thereunder such equivalent provision in the Relevant
Facilities Agreement;

 

“Permitted
Disposal” means any disposal permitted under Clause 25.6 (Disposals) of the Senior Facilities Agreement or upon its
repayment in full and cancellation of all undrawn commitments thereunder such
equivalent provision in the Relevant Facilities Agreement;

 

“Permitted
Encumbrance” means any Encumbrance permitted under Clause 25.2 (Negative Pledge) of the Senior Facilities Agreement or upon
its repayment in full and cancellation of all undrawn commitments thereunder
such equivalent provision in the Relevant Facilities Agreement;

 

“Real Property”
means the English Real Property and any other land, buildings or erections
anywhere in the world and any estate or interest therein and any reference to
Real Property includes all rights, easements and privileges from time to time
attached or appurtenant thereto and all buildings, erections and Fixtures from
time to time therein or thereon;

 

“Realisation
Account” means each account maintained from time to time by the
Security Trustee for the purposes of Clause 8.7 (Realisation
Accounts).

 

“Receiver” means
a receiver and manager, or any other receiver (whether appointed pursuant to
this Deed or any statute, by a court or otherwise) of all or any of the Charged
Assets and shall, where permitted by law, include an administrative receiver;

 

“Related Rights”
means, in relation to any Investment of each Chargor:

 

(a)                                  any proceeds of and any right or option to receive any
dividend, distribution, interest or other income paid or payable in relation to
any such Investment; and

 

(b)                                 any right or option to receive, call for delivery of
or otherwise acquire any stocks, shares, debentures, bonds, loan stocks,
warrants, securities, monies or other property of any kind, accruing or offered
at any time or deriving therefrom, whether in addition to or in substitution for
such Investment.

 

“Relevant Facilities
Agreement” means the Senior Facilities Agreement, or, upon its
repayment in full and cancellation of all undrawn commitments thereunder, the
Designated Refinancing Facilities Agreement, provided that if upon the repayment
in full and cancellation of all undrawn commitments under the Senior Facilities
Agreement there is no Designated Refinancing Facilities Agreement, until such
time that a Refinancing Facilities Agreement has been designated as a
Designated Refinancing Facilities Agreement, the “Relevant Facilities Agreement”
shall be the Senior Facilities Agreement immediately prior to such termination,
and provided further that upon the repayment in full and cancellation of all
undrawn commitments under the Designated Refinancing Facilities, until such
time that a Refinancing 

 

4

 

Facilities Agreement has been designated as a
Designated Refinancing Facilities Agreement, the “Relevant Facilities Agreement”
shall be the Designated Refinancing Facilities Agreement immediately prior to
such termination.

 

“Restricted Lease”
means any lease to which a Chargor is a party which would be breached, if the
consent of the relevant landlord and any other relevant party was not obtained
prior to such lease becoming subject to any security interest created pursuant
to this Deed;

 

“Rule 3-16”
has the meaning given to such term in “Designated Secured Obligations”.

 

“SEC” means the
United States Securities and Exchange Commission;

 

“Secured
Obligations” means the Security Trustee Liabilities, the Senior
Liabilities and the Hedging Liabilities, provided that any liabilities that
have been designated as “New Senior Liabilities” under the Group Intercreditor
Deed or are incurred after 31 December 2009 under any Refinancing
Facilities Agreement entered into after such date,

 

(a)                                  in breach of the provisions of the Senior Facilities
Agreement, or upon its repayment in full and cancellation of all undrawn
commitments thereunder (unless there is no Designated Refinancing Facilities
Agreement), the Designated Refinancing Facilities Agreement, or any Refinancing
Facilities Agreement on the date of such designation (excluding any applicable
cure period), or

 

(b)                                 that the Security Trustee, acting reasonably, has not
agreed to act as security trustee for,

 

shall not, in any such case constitute “Secured
Obligations” for the purpose of this Deed;

 

“Securities Act”
means the United States Securities Act of 1933, as amended;

 

“Security
Provider” means any person who has granted or may at any time
hereafter grant any security interest as security for the Secured Obligations;

 

“Security Trust Agreement”
means the security trust agreement dated 3 March 2006 and amended and
restated on 19 January 2010 between, Deutsche Bank AG, London Branch as
Security Trustee and as Facility Agent, Virgin Media Investment Holdings
Limited and the companies named therein as Original Obligors;

 

“Senior Facilities
Agreement” means the senior facilities agreement dated 16 March 2010
(as amended, restated, supplemented or novated from time to time) and made
between, inter alia, Virgin Media Inc. as Ultimate Parent, Virgin Media Finance
PLC as Parent, Virgin Media Investment Holdings Limited, Virgin Media Limited,
Virgin Media Wholesale Limited, VMIH Sub Limited and Virgin Media SFA Finance
Limited as Original Borrowers, BNP Paribas London Branch and Deutsche Bank AG,
London Branch as Global Coordinators and Physical Bookrunners, BNP Paribas
London Branch, Deutsche Bank AG, London Branch, Crédit Agricole Corporate and 

 

5

 

Investment Bank, GE Corporate Finance Bank SAS,
Goldman Sachs International, J.P. Morgan PLC, Lloyds TSB Corporate Markets,
Merrill Lynch International, The Royal Bank of Scotland plc and UBS Limited as
Bookrunners and Mandated Lead Arrangers, Deutsche Bank AG, London Branch as
Facility Agent, Deutsche Bank AG, London Branch as Security Trustee and the
financial and other institutions named in it as Lenders;

 

“Senior Secured Notes”
has the meaning given to the term “Notes” in the Senior Secured Notes
Indenture;

 

“Senior Secured Notes
Documents” means the Senior Secured Notes Indenture including the
guarantees set out therein, and the Senior Secured Notes;

 

“Senior Secured Notes
Indenture” means the indenture dated 19 January 2010 governing
the $1,000,000,000 6.50% Senior Secured Notes due 2018 and the £875,000,000
7.00% Senior Secured Notes due 2018, among Virgin Media Inc., Virgin Media
Investment Holdings Limited, Virgin Media Finance PLC, Virgin Media Secured
Finance PLC, the subsidiary guarantors named therein, The Bank of New York
Mellon, as trustee, registrar and paying agent and The Bank of New York Mellon
(Luxembourg), S.A., as Luxembourg paying agent, as amended, restated,
supplemented or otherwise modified from to time;

 

“Shares”
means all shares in the capital of any member of the Group, any Joint Venture
or any other person now or in the future legally or beneficially owned by any
Chargor and/or any nominee on behalf of any such Chargor;

 

“Unit Trust
Scheme” has the meaning set out in Section 237(2) of the
Financial Services and Markets Act 2000; and

 

1.2                               Successors
and Assigns

 

The expressions “Senior Lenders”, “Beneficiaries”,
“Chargor”, “Senior Finance Party”, “Original Charging Company”, “Original
Charging Partnership”, “Relevant Agent”, “Security Provider” and “Security
Trustee” include, where the context admits, their respective successors,
permitted assigns and transferees and, in the case of the Beneficiaries, their
Transferees and, in the case of the Security Trustee, such other person as may
from time to time be appointed as Security Trustee for the Beneficiaries
pursuant to the provisions of the Security Trust Agreement.

 

1.3                               Agreement
Definitions

 

Unless the context otherwise requires or unless
otherwise defined in this Deed, words and expressions defined in the Group
Intercreditor Deed and (unless otherwise defined in the Group Intercreditor
Deed) the Relevant Facilities Agreement shall have  the same meaning when used in this Deed
(including its recitals).

 

1.4                               Headings

 

Clause and schedule headings and the
contents page are inserted for convenience of reference only and shall be
ignored in the interpretation of this Deed.

 

6

 

1.5                               Construction
of Certain Terms

 

In this Deed, unless the context otherwise
requires:

 

(a)                                  references to clauses and the schedules are to be
construed as references to the clauses of, and the schedules to, this Deed
and references to this Deed include its schedules;

 

(b)                                 references to (or to any specified provision of) this
Deed or any other agreement or document shall be construed as references to
this Deed, that provision, that agreement or that document as in force for the
time being and as from time to time amended, supplemented, varied, extended,
restated, replaced or novated in accordance with the terms thereof, or, as the
case may be, with the agreement of the relevant parties and (where such consent
is, by the terms of any Security Document or the relevant document, required to
be obtained as a condition to such amendment being permitted) the prior written
consent of an Instructing Party;

 

(c)                                  references to a “regulation”
include any present or future regulation, rule, directive, requirement, request
or guideline (whether or not having the force of law) of any agency, authority,
central bank or government department or any self-regulatory or other national
or supra-national authority;

 

(d)                                 words importing the plural shall include the singular
and vice versa;

 

(e)                                  references to a time of day are to London time;

 

(f)                                    references to a “person” shall
be construed as including references to an individual, firm, company,
corporation, unincorporated body of persons or any state or any agency thereof
and that person’s successors in title;

 

(g)                                 references to a “guarantee”
include references to an indemnity or other assurance against financial loss
including, without limitation, an obligation to purchase assets or services as
a consequence of a default by any other person to pay any Indebtedness and “guaranteed” shall be construed accordingly;

 

(h)                                 references to any enactment shall be deemed to include
references to such enactment as re-enacted, amended or extended;

 

(i)                                     references to “business” in
relation to any Chargor means any business referred to in the definition of
Group Business in the Relevant Facilities Agreement which such Chargor engages
in, and references to “ordinary course of
business” in relation to any Chargor shall be similarly construed.

 

1.6                               Implied
Covenants

 

In accordance with Rule 68 of the Land
Registration Rules 2003:

 

(a)                                  the covenants set out in section 3(1) of the Law
of Property (Miscellaneous Provisions) Act 1994 shall extend to
Clauses 3.1 (Fixed Charge), 3.2 (Assignments) and 3.4 (Floating Charge)
save for the words “other than any 

 

7

 

charges, encumbrances
or rights which that person does not and could not reasonably be expected to
know about”; and

 

(b)                                 the covenants set out in section 3(2) of the Law
of Property (Miscellaneous Provisions) Act 1994 shall extend to
Clauses 3.1 (Fixed Charge), 3.2 (Assignments) and 3.4 (Floating Charge)
save for the words “except to the extent that such liabilities and rights are,
by reason of (a) being, at the time of the disposition, only potential
liabilities and rights in relation to the property or (b) being
liabilities and rights imposed or conferred in relation to property generally,
not such as to constitute defects in title”; and

 

(c)                                  the covenants set out in section 6(2) of the Law
of Property (Miscellaneous Provisions) Act 1994,

 

shall not extend to Clauses 3.1 (Fixed Charge), 3.2 (Assignments)
and 3.4 (Floating Charge).

 

1.7                               Nominees

 

If the Security Trustee requires shares or any
other asset to be registered in the name of a nominee for the Security Trustee,
any reference in this Deed to the Security Trustee shall, if the context so
permits or requires, be construed as a reference to each of the Security
Trustee and such nominee.

 

1.8                               Third
Party Rights

 

A person which is not a party to this Deed (a “third party”) shall have no rights to enforce the
provisions of this Deed save for:

 

(a)                                  those rights it would have had if the Contracts
(Rights of Third Parties) Act 1999 had not come into effect; and

 

(b)                                 a person who is a co-trustee (with the Security
Trustee) for the Beneficiaries under the Security Trust Agreement  whether or not
it is a party to the Security Trust
Agreement.

 

provided also that this Deed may be rescinded
or altered without the consent of any third party referred to in
paragraph (b) of this Clause 1.8.

 

1.9                               Effect
as a Deed

 

This Deed is intended to take effect as a deed
notwithstanding that the Security Trustee or any other party hereto may have
executed it under hand only.

 

1.10                         Group
Intercreditor Deed

 

This Debenture should be read and construed
subject to the terms of the Group Intercreditor Deed.  In the event of any inconsistency between the
terms of this Deed and the Group Intercreditor Deed, the terms of the Group
Intercreditor Deed shall prevail.

 

8

 

1.11                         Secured
Obligations

 

It is acknowledged and agreed that (without
prejudice to the extension of the Secured Obligations to any other Indebtedness
from time to time included within the definition thereof) as at the date
hereof, the Secured Obligations shall include:

 

(a)                                  all Liabilities under the Senior Facilities Agreement;
and

 

(b)                                 all Liabilities under the Senior Secured Notes
Documents.

 

2.                                    SECURED OBLIGATIONS

 

2.1                               Covenant
to Pay

 

Each Chargor hereby covenants that it will on
demand made on it by the Security Trustee pay to the Security Trustee for the
account of the relevant Beneficiaries any Secured Obligation which is due and
payable but unpaid provided that
before any such demand is made on a Restricted Guarantor, demand for payment of
the relevant Secured Obligation shall first have been made on the Borrower from
which such unpaid Secured Obligation is due.

 

2.2                               Statements
of Account

 

Any statement of account of a Chargor, signed
as correct by an officer of the Security Trustee, showing the amount of any
Secured Obligations of such Chargor shall be prima facie evidence as to the
amount of the Secured Obligations of such Chargor from time to time.

 

2.3                               No
Security

 

Each Chargor warrants that it has not taken or
received, and undertakes that until all the Secured Obligations have been paid
or discharged in full it will not, without the consent in writing of the
Security Trustee, take or receive any security from any other Chargor or any
other person in respect of its obligations under this Deed.

 

2.4                               Payments
by the Chargors

 

All payments to be made by a Chargor under this
Deed shall be made in full, without any set-off or counterclaim whatsoever and
free and clear of any deductions or withholdings in the relevant currency on
the due date to such account as the Security Trustee may from time to time
specify.

 

9

 

3.                                    CHARGES

 

3.1                               Fixed
Charge

 

Each Chargor, with full title guarantee and as
continuing security for the payment, discharge and performance of the Secured
Obligations, hereby charges in favour of the Security Trustee to hold the same
on trust for the Beneficiaries on the terms set out in the Group Intercreditor Deed and the Security
Trust Agreement:

 

(a)                                  by way of first legal mortgage, all of the Charged
Land and all other Real Property now vested in any Chargor and the proceeds of
sale of all or any part thereof;

 

(b)                                 by way of first fixed charge (but in the case of
paragraphs (iii) and (iv) only if and to the extent the rights
in question have not been effectively assigned pursuant to Clause 3.2 (Assignments) or such rights have been effectively assigned
but such assignment has not been perfected by the service of the appropriate
Notice of Assignment):

 

(i)                                     to the extent not effectively charged pursuant to
Clause 3.1(a) (Fixed Charge),
all estates or interests in any Real Property (whether such interests are
freehold, leasehold or licenses) vested in, or acquired by, it now or after the
date of this Deed and the proceeds of sale of all or any part thereof;

 

(ii)                                  to the extent not effectively charged pursuant to
Clauses 3.1(a) (Fixed Charge)
or 3.1(b)(i) (Fixed Charge),
all plant and machinery, equipment, computers, vehicles and other chattels
(excluding any for the time being forming part of such Chargor’s stock-in-trade
or work in progress) now or in the future owned by such Chargor or (to the
extent of such interest) in which the relevant Chargor has an interest and the
benefit of all contracts and warranties relating to the same;

 

(iii)                               all Investments and all Related Rights now or in the
future beneficially and/or legally owned by such Chargor;

 

(iv)                              all of its rights, title, interests and benefits in,
to or in respect of the Insurances and all claims (and proceeds) and returns of
premiums to which such Chargor is now or may at any future time become
entitled;

 

(v)                                 any interest, claim or entitlement of such Chargor in,
to or in respect of any pension fund;

 

(vi)                              all the present and future goodwill of such Chargor
(including all brand names not otherwise subject to a fixed charge or
assignment under this Deed);

 

(vii)                           all of its rights, title, interests and benefits in,
to or in respect of all present and future licences, consents and
authorisations (statutory or otherwise) held in connection with the business of
such Chargor or the use of any asset of such Chargor and the right to recover
and receive 

 

10

 

all compensation
which may at any time become payable to it in respect of any such licence;

 

(viii)                        all its present and future uncalled capital; and

 

(ix)                                all its present and future patents, registered trade
marks and registered designs (if any) including applications for any of the
same in any part of the world and including, without limitation, the patents,
registered designs and trade marks specified in Schedule 4 (Registered, Intellectual Property Rights).

 

3.2                               Assignments

 

Subject to Clause 3.3 (Non-Assignable Rights), each relevant Chargor with full
title guarantee hereby assigns absolutely by way of continuing security for the
payment and discharge of the Secured Obligations to the Security Trustee:

 

(a)                                  all its present and future rights, title, benefit and
interests under and in respect of the Intercompany Indebtedness and any other
amounts payable in respect thereof, including under any other loan agreements
from time to time entered into by the relevant Chargor;

 

(b)                                 all of its rights, title, interests and benefits in,
to or in respect of the Insurances (including all proceeds) and all claims and
returns of premiums in respect thereof to which the relevant Chargor is now or
may at any future time become entitled; and

 

(c)                                  to the extent not charged under the provisions of
Clause 3.1(b) (Fixed Charge)
all of its present and future Intellectual Property Rights.

 

3.3                               Non-Assignable
Rights

 

Each Chargor declares that to the extent that
any right, title, interest or benefit described in Clause 3.2 (Assignments) is for any reason not effectively assigned
pursuant to Clause 3.2 (Assignments)
for whatever reason, the relevant Chargor shall:

 

(a)                                  hold the benefit of the same on trust for the Security
Trustee as security for the payment and discharge of the Secured Obligations;
and

 

(b)                                 promptly notify the Security Trustee of the same and
the reasons therefor and thereafter take such steps as the Security Trustee may
reasonably require to attempt to remove any relevant prohibition or other
reason for such failure.

 

3.4                               Floating
Charge

 

Each Chargor with full title guarantee hereby
charges to the Security Trustee by way of first floating charge and as a
continuing security for the payment and discharge of the Secured Obligations
its undertaking and all its property, assets and rights whatsoever and
wheresoever both present and future, other than any property or assets from
time to time effectively charged by way of fixed charge or assignment pursuant
to Clauses 3.1 (Fixed Charge)
and 3.2 (Assignments) and including (without
limitation and whether or not so effectively charged) any of its property and
assets 

 

11

 

situated in Scotland, provided that, for the
avoidance of doubt, the floating charge shall not attach to any plant or
machinery, or any interest therein, which is the subject of a lease where the
title thereto vests in the relevant lessor and not such Chargor.  The parties to this Deed agree that the
floating charge created by this Clause 3.4 is a qualifying floating charge
for the purposes of paragraph 14 of schedule B1 to the Insolvency Act 1986.

 

3.5                               Automatic
Conversion of Floating Charge

 

Notwithstanding anything expressed or implied
in this Deed, if:

 

(a)                                  any Chargor creates or attempts to create any other
Encumbrance over all or any of the Floating Charge Assets without the prior
consent in writing of the Security Trustee or otherwise as permitted by the
Senior Finance Documents;

 

(b)                                 any person levies or attempts to levy any distress,
execution, sequestration or other process against any of the Charged Assets or
takes any steps to enforce any rights against any of the Floating Charge
Assets; or

 

(c)                                  any meeting of the members of any Chargor is convened
to consider a resolution to wind up such Chargor or a petition is presented or
application made to wind up any Chargor,

 

the floating charge created by Clause 3.4
(Floating Charge) over the property or
asset concerned shall thereupon automatically without notice be converted into
a fixed charge.  Nothing in this
Clause 3.5 shall cause the floating charge created by Clause 3.4 (Floating Charge) to crystallise solely because a moratorium
has been obtained by any person in relation to any Chargor or any person has
taken any steps with a view to obtaining a moratorium in relation to any
Chargor under Section 1A and Schedule A1 of the Insolvency Act 1986.

 

3.6                               Conversion
of Floating Charge by Notice

 

Notwithstanding anything expressed or implied
in this Deed, the Security Trustee shall be entitled at any time by giving
notice in writing to that effect to the relevant Chargor to convert the
floating charge over all or any part of the Floating Charge Assets into a fixed
charge if and to the extent that the Security Trustee reasonably considers the
assets specified in such notice may be in danger of being seized or sold under
or pursuant to any form of distress or execution, or may otherwise be
in jeopardy or the Security Trustee otherwise considers (acting
reasonably) such conversion to be necessary or desirable to protect the
priority of the Security.

 

3.7                               Subsequent
Encumbrances

 

If any Beneficiary receives notice of any
subsequent Encumbrance affecting the Charged Assets or any part thereof, such
Beneficiary may open a new account for the Chargor concerned but if it does not
do so then unless such Beneficiary gives express written notice to the contrary
to the Chargor concerned it shall nevertheless be treated as if it had opened a
new account at the time when it received such notice and as from that time all
payments made by or on behalf of the Chargor concerned to such Beneficiary
shall be credited or be treated as having been credited to the new account 

 

12

 

and shall not operate to reduce the amount due
from that Chargor to such Beneficiary at the time when it received such notice.

 

3.8                               Section 94(1)(c) Law
of Property Act 1925

 

The obligation on the part of the Senior
Lenders to make further advances to the Borrowers under the Senior Facilities
Agreement or on the part of any creditors under any other Senior Finance
Document, as the case may be, shall be deemed to be incorporated in this Deed
for the purposes of section 94(1)(c) Law of Property Act 1925.

 

3.9                               Blocking
of Accounts

 

Each Chargor irrevocably and unconditionally
agrees that at any time after the Enforcement Date if there shall from time to
time be any credit balance on any of its accounts with any of the
Beneficiaries, such Beneficiary shall have the absolute right to refuse to
permit such credit balance to be utilised or withdrawn by such Chargor whether
in whole or in part if and to the extent that at that time there are
outstanding any of the Secured Obligations.

 

3.10                         Dividends
and Voting Rights

 

Subject to Clause 8.1 (The Investments), each Chargor may, prior to the occurrence
of an Event of Default which is continuing (a) exercise all voting and other
rights and powers attached to the Investments and (b) receive, retain and
deal with free from this Deed all dividends, distributions, interest and other
moneys paid on and received by it in respect of the Investments.

 

3.11                         Consents
of Third Parties

 

Notwithstanding Clause 3.1 (Fixed Charge) or 3.4 (Floating Charge):

 

(a)                                  unless and until the relevant Chargor has obtained the
consent of the relevant landlord and any other relevant party (each being a “Consent”) the fixed and floating charges granted pursuant to
Clause 3.1 (Fixed Charge) and 3.4 (Floating Charge) respectively shall not extend to such
Chargor’s rights over any Restricted Lease; and

 

(b)                                 unless the relevant Chargor has received written
confirmation from the Security Trustee that a particular Consent is not
required, the relevant Chargors hereby undertake to use their reasonable
endeavours to obtain the Consents.  On
obtaining each Consent:

 

(i)                                     the relevant Restricted Lease shall thereupon
automatically become subject to the fixed charge created pursuant to Clause 3.1
(Fixed Charge) and the floating charge
created pursuant to Clause 3.4 (Floating Charge);
and

 

(ii)                                  the relevant Chargor shall immediately produce the
Certificate or evidence of such Consent to the Security Trustee.

 

13

 

3.12                         Rule 3-16
Limitation

 

(a)                                  Clause 3.1 (Fixed Charge)
and Clause 3.4 (Floating Charge) of this Deed
notwithstanding, the Excluded Charged Assets are not charged under this Deed to
secure the Designated Secured Obligations. 
For the avoidance of doubt,

 

(i)                                     all other Charged Assets remain charged or assigned
(as the case may be) under this Deed to secure all Secured Obligations,
including without limitation the Designated Secured Obligations; and

 

(ii)                                  such Excluded Charged Assets remain charged under
Clause 3.1 (Fixed Charge) and Clause 3.4 (Floating Charge) of this Deed to secure any Secured
Obligations that are not Designated Secured Obligations.

 

(b)                                 “Excluded Charged Assets”
in relation to any Designated Secured Obligations means any Shares or other
securities of a Subsidiary of Virgin Media Inc. (excluding the Shares or other
securities issued by Virgin Media Investments Limited and Virgin Media
Investment Holdings Limited or, in each case, any successor entity upon any
merger, reorganisation or other restructuring effecting it) that are owned by
any Chargor to the extent that charging or pledging such Shares or other
securities under this Deed to secure such Designated Secured Obligations would
result in Rule 3-16 requiring separate financial statements of such
Subsidiary to be filed with the SEC, but (i) only to the extent necessary
to not be subject to such requirement, (ii) only for so long as such
requirement is in existence and (iii) only if no member of the Group files
or is otherwise required to file separate financial statements of such
Subsidiary with the SEC under a separate rule or regulation; provided that no shares or securities will constitute
Excluded Charged Assets if any member of the Group takes any action in the form
of a reorganisation, merger or other restructuring, a principal purpose of
which is to provide for the limitation of the charge on any Shares or other
securities pursuant to paragraph (a) above.

 

(c)                                  In the event that Rule 3-16 is amended, modified
or interpreted by the SEC to require (or is replaced with another rule or
regulation, or any other law, rule or regulation is adopted, which would
require) the filing with the SEC (or any other United States federal or state
governmental agency) of separate financial statements of any such Subsidiary
due to the fact that such Subsidiary’s Shares or other securities secure any
Designated Secured Obligations, then such Shares or other securities (as
applicable) of such Subsidiary shall automatically be deemed to be Excluded
Charged Assets for such Designated Secured Obligations but (i) only to the
extent necessary to not be subject to any such financial statement requirement,
(ii) only for so long as such financial statement requirement would otherwise
have been applicable to such Subsidiary and (iii) only if no member of the
Group files or is otherwise required to file separate financial statements of
such Subsidiary with the SEC or such other governmental agency under a separate
rule or regulation. If the circumstances described in this paragraph (c) apply,
this Deed may be amended or modified, without the consent of any Senior Finance
Party, to the 

 

14

 

extent necessary to
release the charge (but only to the extent securing such Designated Secured
Obligations and without prejudice to the charge securing Secured Obligations
referred to in paragraph (a)(ii) of this Clause 3.12) in favour of the
Security Trustee on the relevant Shares and/or other securities that are so
deemed to constitute Excluded Charged Assets.

 

(d)                                 In the event that Rule 3-16 is amended, modified
or interpreted by the SEC to permit (or is replaced with another rule or
regulation, or any other law, rule or regulation is adopted, which would
permit) such Subsidiary’s Shares and/or other securities to secure any
Designated Secured Obligations in excess of the amount then pledged without the
filing with the SEC (or any other United States federal or state governmental
agency) of separate financial statements of such Subsidiary, then the Shares or
other securities (as applicable) of such Subsidiary will automatically be
deemed not to be Excluded Charged Assets for such Designated Secured
Obligations, but limited to the extent necessary to not be subject to any such
financial statement requirement. If the circumstances described in this
paragraph (d) apply, this Deed may be amended or modified, without the
consent of any Senior Finance Party, to the extent necessary to charge in
favour of the Security Trustee such additional Shares or other securities that
were deemed to constitute Excluded Charged Assets.

 

4.                                    SET-OFF

 

4.1                               Set-off

 

Each Chargor hereby agrees that after the
Enforcement Date the Security Trustee and/or each other Beneficiary may at any
time without notice, notwithstanding any settlement of account or other matter
whatsoever, combine or consolidate all or any of its then existing accounts
wheresoever situate (including accounts in the name of the Security Trustee,
such other Beneficiary or of such Chargor jointly with others), whether such
accounts are current, deposit, loan or of any other nature whatsoever, whether
they are subject to notice or not and whether they are denominated in Sterling
or in any other currency, and set-off or transfer any sum standing to the
credit of any one or more such accounts in or towards satisfaction of the
Secured Obligations owed to the Security Trustee and/or such other Beneficiary
which, to the extent not then payable, shall automatically become payable to
the extent necessary to effect such set-off.

 

4.2                               Purchase
of Currencies

 

For the purpose of Clause 4.1 (Set-Off), each Chargor authorises the Security Trustee and
each other Beneficiary to purchase with the moneys standing to the credit of
such accounts such other currencies as may be necessary to effect such
applications at the spot rate of exchange (as, save in the case of manifest
error, conclusively determined by the Security Trustee or the relevant other
Beneficiary) prevailing in the London foreign exchange market for purchasing
Sterling with the currency in which the sum standing to the credit of the
relevant account is denominated.

 

15

 

5.                                    UNDERTAKINGS

 

5.1                               Undertakings

 

Each Chargor hereby undertakes with the
Security Trustee that during the continuance of this security such Chargor
will:

 

(a)                                  Deposit of deeds

 

deposit with the Security Trustee (to be held
at the risk of such Chargor save where such Chargor suffers any loss, costs or
expenses as a result of the Security Trustee’s gross negligence or wilful
default):

 

(i)                                     all certificates and documents of title relating to
its Investments and such deeds of transfer in blank and other documents as the
Security Trustee may from time to time reasonably require for perfecting the
title of the Security Trustee to such Investments (duly executed by or signed
on behalf of the registered holder) or for vesting or enabling it to vest the
same in itself or its nominees or in any purchaser; and

 

(ii)                                  all such other documents relating to its Charged
Assets as are in its possession or which it can reasonably obtain as the
Security Trustee may from time to time reasonably require,

 

(b)                                 Calls, etc

 

duly and promptly pay all calls, instalments or
other moneys which may from time to time become due in respect of any of its
Investments it being acknowledged by such Chargor that neither the Security
Trustee nor any of the Beneficiaries shall in any circumstances incur any
liability whatsoever in respect of any such calls, instalments or other moneys;

 

(c)                                  Provision of information

 

forthwith inform the Security Trustee of any
claim or notice relating to the Investments received from any other party and
likely to materially prejudice the value of the Investments and of all matters
relevant thereto;

 

(d)                                 Purchase of shares

 

not, save as otherwise permitted or not
restricted under each of the Senior Finance Documents, (without the prior
consent in writing of the Security Trustee) redeem or purchase any of its own shares
or pay any dividend, other than a dividend permitted or not restricted to be
paid under each of the Senior Finance Documents;

 

(e)                                  Options

 

save to the extent expressly permitted or not
restricted under each of the Senior Finance Documents not, without the prior
consent of the Security Trustee, grant any option with respect to any of the
Investments;

 

16

 

(f)                                    Notification

 

forthwith inform the Security Trustee of any
material claims or notice relating to any Assigned Assets received from any
other party and all other matters relevant or in any way material thereto;

 

(g)                                 Reports

 

ensure that the relevant Chargor reports to the
Security Trustee on a monthly basis as to whether the Consents referred to in
Clause 3.11 (Consents of Third Parties) have
been obtained, such reports to be provided until the earlier of (i) all of
the Consents having been obtained, or (ii) the relevant Chargor confirming
that the same will not be provided;

 

(h)                                 Notice of assignment

 

deliver to the Security Trustee, or procure the
delivery to the Security Trustee of, a duly executed Notice of Assignment to
each relevant party in relation to the Assigned Assets, and will use reasonable
endeavours to procure delivery to the Security Trustee of duly executed
Acknowledgments thereof until (in each case) requested to do so by the Security
Trustee upon or following the occurrence of an Event of Default which is
continuing whereupon it shall do so forthwith;

 

(i)                                     Insurances

 

(i)                                     procure that a note of the interest of the Security
Trustee is endorsed, and the Security Trustee is endorsed as loss payee, upon
all Insurances (other than those referred to in Clause 10.2(c) (Insurance Proceeds)) which shall at any time during the
subsistence of this Security be effected, maintained or held by the relevant
Chargor or any person; and

 

(ii)                                  not do or omit to do, or permit or suffer to be done
or omitted to be done, anything which might render any of the Insurances void,
voidable or unenforceable;

 

(j)                                     Intellectual Property

 

if requested by the Security Trustee, execute
all such documents and do all acts that the Security Trustee may reasonably
require to record the interest of the Security Trustee in any registers
relating to any registered Intellectual Property owned by such Chargor.

 

5.2                                 Power to Remedy

 

If any Chargor at any time defaults in
complying with any of its obligations contained in this Deed, the Security
Trustee shall, without prejudice to any other rights of the Security Trustee
arising as a consequence of such default, be entitled (but not bound) to make
good such default and such Chargor hereby irrevocably authorises the Security
Trustee and its employees and agents by way of security to do all such things
(including, without limitation, entering such Chargor’s property having given
such notice as is reasonable in the circumstances) necessary or reasonably
desirable in

 

17

 

connection therewith.  Any moneys so expended by the Security
Trustee shall be repayable by such Chargor to the Security Trustee within 30
days of demand together with interest at the Default Rate from the date being
30 days after the date of demand until such repayment, both before and after
judgment.  No exercise by the Security
Trustee of its powers under this Clause 5.2 shall make it or any of the
Beneficiaries liable to account as a mortgagee in possession.

 

6.                                      REAL PROPERTY: PERFECTION

 

6.1                                 Modification of Law of Property
(Miscellaneous Provisions) Act 1994

 

Section 3(1) of the Law of Property
(Miscellaneous Provisions) Act 1994 will be amended as follows (in so far as it
applies to Clause 3 (Charges)):

 

(a)                                  after “from all charges and encumbrances (whether
monetary or not)” add “other than Permitted Encumbrances” and after the words “other
than any charges, encumbrances or rights which that person does not and would
not reasonably be expected to know about” add “but not so as to include any
such charges, encumbrances or rights affecting the Charged Land disclosed by
the following searches:

 

(i)                                     in the case of registered Charged Land listed in Part 1A
of Schedule 3 (Details of Charged Land), OS1/2
Land Registry searches; and

 

(ii)                                  in relation to the unregistered Charged Land listed in
Part 1B of Schedule 3 (Details of Charged Land),
land charges searches made against all relevant estate owners since the date of
the grant of the relevant lease or as the case may be the date of the root
conveyance.”

 

6.2                                 Notices of Charge in respect of
Charged Land

 

Each Chargor which owns or leases Charged Land
shall (unless an alternative course of action is agreed between such Chargor
and the Security Trustee) deliver to the Security Trustee (or procure delivery
of) notices of charge duly executed by, or on behalf of, such Chargor, together
with all relevant fees and addresses, in relation to all landlords from which
such Chargor leases any Charged Land owned or leased by such Chargor in respect
of each Lease under which such Chargor leases such Charged Land in existence on
the date hereof, as soon as reasonably practicable following execution of this
Deed and in each case shall use all reasonable endeavours to procure that each
notice is acknowledged by the relevant landlord.  Such Chargor shall have no liability in the
event that, having used such reasonable endeavours, the relevant landlord
refuses to give such acknowledgement.

 

6.3                                 Real Property: Delivery of
Documents of Title

 

(a)                                  Each Chargor shall (unless an alternative course of
action is agreed between such Chargor and the Security Trustee) in respect of
all Charged Land set out in 1B of Schedule 3 (Details of
Charged Land) (if any), as soon as reasonably practicable after the
execution of this Deed, deliver (or procure delivery) to the Security Trustee
of, and the Security Trustee shall be entitled to hold and 

 

18

 

retain, all deeds, certificates and other
documents of title relating to such property.

 

(b)                                 No Chargor shall be in breach of this Clause 6.3
if it does not deliver any such documents on account of its not having
possession of the same provided that it
uses all reasonable endeavours to obtain any such document and delivers such
document promptly to the Security Trustee upon receipt.

 

6.4                               Land
Registration

 

In respect of the Charged Land the title to
which is registered at the Land Registry and Real Property which is acquired by
or on behalf of any Chargor, the title to which is required to be registered at
the Land Registry under the Land Registration Act 2002 the parties hereto agree
to make or procure that there is made a due and proper application to the Land
Registry (with the Security Trustee’s consent as proprietor of the relevant
registered charge):

 

(a)                                  for a restriction in the following terms to be entered
on the Proprietorship Register relating thereto:

 

“No disposition of the registered estate by the
proprietor of the registered estate or by the proprietor of any registered
charge is to be registered without a written consent signed by the proprietor
for the time being of the charge dated [insert date] in favour of [insert name of Security
Trustee] referred to in the Charges Register or
signed on such proprietor’s behalf by its secretary or conveyancer”;

 

(b)                                 to enter a note of the obligation to make further
advances by the Beneficiaries on the Charges Register of any registered land
forming part of the Charged Assets; and

 

(c)                                  to note this Deed on the Charges Register.

 

7.                                    FURTHER ASSURANCE

 

7.1                               Further
Assurance

 

Each Chargor shall at any time if and when
required by the Security Trustee execute such further Encumbrances and
assurances in favour of the Security Trustee and/or the Beneficiaries and do
all such acts and things as the Security Trustee shall from time to time
reasonably require over or in relation to all or any of the Charged Assets to
secure the Secured Obligations or to perfect or protect the security intended
to be created by this Deed over the Charged Assets or any part thereof or, on
or after the Enforcement Date, to facilitate the realisation of the same.

 

7.2                               Certain
Documentary Requirements

 

Such further Encumbrances and assurances shall
be prepared by or on behalf of the Security Trustee at the expense of the
relevant Chargor (such expense to be reasonable and properly incurred) and
shall contain (a) an immediate power of sale without notice, (b) a
clause excluding section 93 Law of Property Act 1925 and the
restrictions contained in section 103 Law of Property Act 1925 and (c) such
other 

 

19

 

clauses for the benefit of the
Beneficiaries as the Security Trustee may reasonably require.

 

7.3                               Specific
Security Documents Required

 

Each Chargor covenants with the Security
Trustee that after the Enforcement Date if and when required by the Security
Trustee (acting reasonably) it will to give notice in a form acceptable to the
Security Trustee to such persons as the Security Trustee may require of the
security over all or any part of the Charged Assets constituted by this Deed or
granted pursuant to it.

 

8.                                    CERTAIN POWERS OF THE SECURITY
TRUSTEE AND THE BENEFICIARIES: ENFORCEMENT

 

8.1                               The
Investments

 

Each Chargor further covenants and agrees with
the Security Trustee that:

 

(a)                                  the Security Trustee and its nominees at the
discretion of the Security Trustee may after an Event of Default has occurred
and so long as the same is continuing, exercise in the name of such Chargor or
otherwise at any time whether before or after demand for payment and without
any further consent or authority on the part of such Chargor (but subject to
Clause 8.1(d) in respect of the Investments), any voting rights
and/or powers given to trustees by section 10(3) and (4) Trustee Act
1925 (as amended by section 9 Trustee Investments Act 1961) in respect of
securities or property subject to a trust and any powers or rights which may be
exercisable by the person in whose name any of the Investments are registered
or by the bearer thereof;

 

(b)                                 each Chargor will if so requested by the Security
Trustee after an Event of Default has occurred and so long as the same is
continuing transfer all or any of the Investments to the Security Trustee or
such nominees or agents as the Security Trustee may select, provided that, for
the avoidance of doubt, the Security Trustee may not request any such transfer
prior to the occurrence of an Event of Default;

 

(c)                                  until the Enforcement Date, the Security Trustee will
hold all dividends, distributions, interest and other moneys paid on and received
by it in respect of any Investments which are transferred to it pursuant to
Clause 8.1(b) for the account of the relevant Chargor; and

 

(d)                                 until the Enforcement Date the Security Trustee will
exercise all voting and other rights and powers attached to the Investments
which are given to it pursuant to the Trustee Act 1925 (as referred to in
Clause 8.1(a) of this Deed) or which relate to the Investments which
are transferred to it pursuant to Clause 8.1(b) as the relevant
Chargor may from time to time in writing direct provided that the Security
Trustee shall be under no obligation to comply with any such direction where
compliance would, in the Security Trustee’s reasonable opinion, be prejudicial
to the security created by this Deed or to the interests of the Beneficiaries
in relation to the relevant assets.

 

20

 

8.2                               Power
of Sale

 

At any time on or after the Enforcement Date,
the Security Trustee may (without notice to the Chargors) sell or otherwise dispose
of the Charged Assets or any of them and shall be entitled to apply the
proceeds of such sale or other disposal in paying the costs of such sale or
disposal and thereafter in or towards the discharge of the Secured Obligations
or otherwise as provided for in this Deed.

 

8.3                               Statutory
Powers

 

For the purposes of all powers implied by
statute, the Secured Obligations shall be deemed to have become due and payable
on the date of this Deed.

 

8.4                               Law
of Property Act

 

At any time on or after the Enforcement Date or
if requested by the Chargor concerned, the Security Trustee may, without
further notice, without the restrictions contained in sections 93 and 103 of
the Law of Property Act 1925 and whether or not a Receiver shall have been
appointed, exercise all the powers conferred upon mortgagees by the Law of
Property Act 1925 as varied or extended by this Deed and all the powers and
discretions conferred by this Deed on a Receiver either expressly or by
reference and also, in the case of the Investments, all rights or powers which
may be exercisable by the registered holder or beneficial owner of the same.

 

8.5                               Statutory
Power of Leasing

 

The statutory powers of leasing conferred on
the Security Trustee shall be extended so as to authorise the Security Trustee
to lease and make agreements for leases at a premium or otherwise, to accept
surrenders of leases and to grant options on such terms as the Security Trustee
shall consider expedient and without the need to observe any of the provisions
of sections 99 and 100 Law of Property Act 1925, and Clause 8.2 (Power of Sale) shall operate as a variation and extension of
section 101 of such Act.

 

8.6                               Distributions

 

On or after the Enforcement Date all dividends,
interest and other distributions relating to the Investments may be applied by
the Security Trustee as though they were proceeds of sale under this Deed.

 

8.7                               Realisation
Accounts

 

If the Security Trustee (whether by the
appointment of a Receiver or otherwise) enforces the Security the Security
Trustee (or such Receiver) may:

 

(a)                                  open and maintain with such bank or banks (or other
financial institutions) as it thinks fit one or more Realisation Accounts;

 

(b)                                 pay the proceeds of any recoveries effected by it into
any such number of Realisation Accounts as it considers appropriate; and

 

21

 

(c)                                  subject to the payment of any claims having priority
to this Security, withdraw amounts standing to the credit of the Realisation
Accounts to:

 

(i)                                     discharge all costs, charges and expenses incurred and
payments made by the Security Trustee (or such Receiver) in the course of such
enforcement;

 

(ii)                                  pay remuneration to the Receiver as and when the same
becomes due and payable; and

 

(iii)                               discharge the Secured Obligations as and when the same
become due and payable.

 

8.8                               Right
of Appropriation

 

To the extent the Charged Assets constitute “financial
collateral” and this Deed constitutes a “security financial collateral
arrangement” (as defined in the Financial Collateral Arrangements (No. 2)
Regulations 2003 (SI 2003 No. 3226) the Security Trustee may appropriate
all or any part of the Charged Assets in or towards satisfaction of the Secured
Obligations, the value of the assets so appropriated being such amount as the
Security Trustee shall determine in a commercially reasonable manner.

 

9.                                    APPOINTMENT AND POWERS OF
RECEIVER OR ADMINISTRATOR

 

9.1                               Appointment
of Administrator

 

At any time on or after the Enforcement Date
the Security Trustee may appoint an administrator pursuant to the power
contained in paragraph 14 of Schedule B1 to the Insolvency Act 1986.

 

9.2                               Appointment
of Receivers

 

The Security Trustee may at any time on or
after the Enforcement Date or if any Chargor requests it to do so, by written
instrument and without notice to such Chargor, appoint any one or more persons
as Receiver of such part of the Charged Assets as may be permitted by law, each
such person being entitled to act individually as well as jointly and being for
all purposes deemed to be the agent of the relevant Chargor and shall as such
agent be deemed to be in the same position as a Receiver duly appointed by a
mortgagee under the Law of Property Act 1925. 
The Security Trustee may from time to time by writing under its hand
remove any Receiver appointed by it and may, whenever it may deem expedient,
appoint a new Receiver in the place of any Receiver whose appointment may for
any reason have terminated.

 

9.3                               Receiver
as Agent

 

A Receiver shall be the agent of the Chargor in
respect of which he is appointed and (subject to the provisions of this Deed)
such Chargor shall be solely responsible for his acts or defaults and for his
remuneration.

 

22

 

9.4                               Powers
of Receiver

 

A Receiver shall have all the powers conferred
from time to time on receivers and administrative receivers by statute (in the
case of powers conferred by the Law of Property Act 1925, without the
restrictions contained in section 103 of that Act) and power on behalf and at
the expense of the Chargor concerned (notwithstanding liquidation of the such
Chargor) to do or omit to do anything which the such Chargor could do or omit
to do in relation to the Charged Assets or any part thereof.  In particular (but without limitation) a
Receiver shall have power to do all or any of the following acts and things:

 

(a)                                  Take possession

 

take possession of, collect and get in all or
any of the Charged Assets and exercise in respect of the Investments, all
voting or other powers or rights available to a registered holder thereof in
such manner as he may think fit;

 

(b)                                 Carry on business

 

carry on, manage, develop, reconstruct,
amalgamate or diversify the business of the such Chargor or any part thereof or
concur in so doing; lease or otherwise acquire and develop or improve
properties or other assets without being responsible for loss or damage subject
to the terms of this Deed;

 

(c)                                  Borrow money

 

raise or borrow any money from or incur any
other Liability to the Security Trustee or the Beneficiaries or others on such
terms with or without security as he may think fit and so that any such
security may be or include a charge on the whole or any part of the Charged
Assets ranking in priority to this security or otherwise;

 

(d)                                 Dispose of assets

 

without the restrictions imposed by
section 103 Law of Property Act 1925 or the need to observe any of the
provisions of sections 99 and 100 of such Act, sell by public auction or
private contract, let, surrender or accept surrenders, grant licences or
otherwise dispose of or deal with all or any of the Charged Assets or concur in
so doing in such manner for such consideration and generally on such terms and
conditions as he may think fit with full power to convey, let, surrender,
accept surrenders or otherwise transfer or deal with such Charged Assets in the
name and on behalf of the Chargor concerned or otherwise and so that covenants
and contractual obligations may be granted and assumed in the name of and so as
to bind the such Chargor (or other estate owner) if he shall consider it
necessary or expedient so to do; any such sale, lease or disposition may be for
cash, debentures or other obligations, shares, stock, securities or other
valuable consideration and be payable immediately or by instalments spread over
such period as he shall think fit and so that any consideration received or
receivable shall ipso facto forthwith be and become charged with the payment of
all the Secured Obligations; plant, machinery and other fixtures may be severed
and sold separately from the premises 

 

23

 

containing them and the Receiver may apportion
any rent and the performance of any obligations affecting the premises sold
without the consent of such Chargor;

 

(e)                                  Form Subsidiaries

 

promote the formation of companies with a view
to the same becoming a Subsidiary of the Chargor concerned and purchasing,
leasing, licensing or otherwise acquiring interests in all or any of the
Charged Assets or otherwise, arrange for such companies to trade or cease to
trade and to purchase, lease, license or otherwise acquire all or any of the
Charged Assets on such terms and conditions whether or not including payment by
instalments secured or unsecured as he may think fit;

 

(f)                                    Compromise contracts

 

make any arrangement or compromise or enter
into or cancel any contracts which he shall think expedient;

 

(g)                                 Repair and maintain assets

 

make and effect such repairs, renewals and
improvements to the Charged Assets or any part thereof as he may think fit and
maintain, renew, take out or increase insurances;

 

(h)                                 Appoint employees

 

appoint managers, agents, officers and
employees for any of the purposes referred to in this Clause 9 or to guard
or protect the Charged Assets at such salaries and commissions and for such
periods and on such terms as he may determine and may dismiss the same;

 

(i)                                     Exercise statutory leasehold powers

 

without any further consent by or notice to the
Chargor concerned exercise for and on behalf of the such Chargor all the powers
and provisions conferred on a landlord or a tenant by the Landlord and Tenant
Acts, the Rent Acts, the Housing Acts or the Agricultural Holdings Act or any
other legislation from time to time in force in any relevant jurisdiction
relating to rents or agriculture in respect of any part of the Charged Assets
but without any obligation to exercise any of such powers and without any
liability in respect of powers so exercised or omitted to be exercised;

 

(j)                                     Make calls and legal proceedings

 

make calls conditionally or unconditionally on
the members of the Chargor concerned in respect of uncalled capital and
institute, continue, enforce, defend, settle or discontinue any actions, suits
or proceedings in relation to the Charged Assets or any part thereof or submit
to arbitration as he may think fit;

 

24

 

(k)                                  Execute documents

 

sign any document, execute any deed and do all
such other acts and things as may be considered by him to be incidental or
conducive to any of the matters or powers aforesaid or to the realisation of
the security of the Security Trustee and the Beneficiaries and to use the name
of the Chargor concerned for all the purposes aforesaid;

 

(l)                                     Insolvency Act powers

 

do all the acts and things described in schedules
1 or 2 to the Insolvency Act 1986 as if the words “he” and “him” referred to
the Receiver and “company” referred to the Chargor concerned; and

 

(m)                               General Powers

 

do all such other acts and things as it may
consider desirable or necessary for realising all or any part of the Charged
Assets over which he is appointed or incidental or conducive to any of the
matters, powers or authorities conferred on a Receiver under or by virtue of
this Deed; to exercise in relation to all or any part of the Charged Assets
over which he is appointed all such powers, authorities and things as he would
be capable of exercising if he were the absolute beneficial owner of the same;
and to use the name of any Chargor for all or any of such purposes.

 

9.5                               Remuneration
of Receiver

 

The Security Trustee may from time to time
determine the remuneration of any Receiver appointed by it without the
limitations imposed by section 109 of the Law of Property Act 1925.  A Receiver shall be entitled to remuneration
appropriate to the work and responsibilities involved upon the basis of
charging from time to time adopted by the Receiver in accordance with the
current practice of his firm.

 

10.                               APPLICATION OF PROCEEDS;
PURCHASERS

 

10.1                           Application of Proceeds

 

All moneys received by the Security Trustee or
by any Receiver shall be applied, after the discharge of the remuneration and
expenses of the Receiver and all liabilities having priority to the Secured
Obligations, in or towards satisfaction of the Secured Obligations in
accordance with the terms of the Group Intercreditor Deed and the Security Trust Agreement, except that
the Security Trustee may credit the same to a suspense account for so long and
in such manner as the Security Trustee may from time to time determine and the
Receiver may retain the same for such period as he and the Security Trustee
consider expedient.

 

10.2                           Insurance Proceeds

 

With the exception of those moneys:

 

(a)                                  which relate to a particular claim and do not exceed
£2,500,000;

 

25

 

(b)                                 are paid under third party liability insurance to the
relevant third party; or

 

(c)                                  which relate to (a) Insurances of leasehold
property or leasehold equipment in cases where the relevant lessor is named as
loss payee, and (b) Insurances in favour of lenders to any member of the
Group where the relevant borrowing is (A) a Permitted Borrowing and (B) either
a Finance Lease or secured by a Permitted Encumbrance and (C) either the
relevant lender is named as loss payee or naming the Security Trustee would be
contrary to the terms of the relevant borrowing;

 

all moneys receivable by virtue of any of the
Insurances on or after the Enforcement Date shall be paid to the Security
Trustee (or if not paid by the insurers directly to the Security Trustee shall
be held on trust for the Security Trustee) and shall, at the option of the
Security Trustee, be (i) applied in replacing, restoring or reinstating
the property or assets destroyed, damaged or lost (any deficiency being made
good by the Chargor which owned the same) or (ii) (except where the
Chargor concerned is obligated (as landlord or tenant) to lay out such moneys
under any lease of any of the Charged Assets) credited (for a period not
exceeding 30 days at the end of which period such moneys shall, at the option
of the Security Trustee, be applied in accordance with either (i) above or
(iii) below) to an account charged to the Security Trustee (on behalf of
the Beneficiaries) in a manner acceptable to the Security Trustee and at the
cost of the Chargor concerned as a continuing security for the payment and
discharge of the Secured Obligations or (iii) (except where the Chargor
concerned  is obliged (as landlord,
tenant, lessor or lessee) to lay out such insurance moneys under the provisions
of any lease of any of the Charged Assets) applied in reduction of the Secured
Obligations.  Without prejudice to the
foregoing provisions of this Clause 10 the Security Trustee agrees to
negotiate with the Chargor concerned in good faith as to the application of any
insurance proceeds paid to or held on trust for the Security Trustee.

 

11.                               INDEMNITIES; COSTS AND EXPENSES

 

11.1                           Enforcement Costs

 

Each Chargor hereby undertakes with the
Security Trustee to pay on demand all costs, charges and expenses which the
Security Trustee or any Receiver shall certify as sustained or incurred by it
as a consequence of the enforcement, preservation or attempted preservation of
any of the security created by or pursuant to this Deed or any of the Charged
Assets on a full indemnity basis, together with interest at the Default Rate
from the date falling 30 days after the date of demand for payment of such
expenses to the date of payment by the relevant Chargor (both before and after
judgment) provided that before any such demand is
made on a Restricted Guarantor, demand for payment of such expenses shall first
have been made on any Chargor which is not a Restricted Guarantor.

 

11.2                           No liability as Mortgagee in
Possession

 

None of the Beneficiaries, the Security Trustee
or any Receiver shall be liable to account as mortgagee or heritable creditor
in possession in respect of all or any of the Charged Assets or be liable for
any loss upon realisation or for any neglect or default of any nature
whatsoever for which a mortgagee in possession may be liable as such 

 

26

 

except in the case of fraud, wilful misconduct
or gross negligence on the part of a Beneficiary, the Security Trustee or a
Receiver (as the case may be).

 

11.3                           Indemnity from Charged Assets

 

The Beneficiaries, the Security Trustee and any
Receiver, attorney, agent or other person appointed by the Security Trustee
under this Deed and the directors, officers and employees of each of the
aforementioned (each an “Indemnified Party”)
shall be entitled to be indemnified out of the Charged Assets in respect of all
costs, losses, actions, claims, demands or liabilities whether in contract,
tort, delict or otherwise and whether arising at common law, in equity or by
statute which may be incurred by, or made against, any of them (or by or
against any manager, agent, officer or employee for whose liability, act or
omission any of them may be answerable) at any time relating to or arising
directly or indirectly out of or as a consequence of:

 

(a)                                  anything done or omitted in the exercise or purported
exercise of the powers contained in this Deed; or

 

(b)                                 any breach by a Chargor of any of its obligations
under this Deed; or

 

(c)                                  an Environmental Claim made or asserted against an
Indemnified Party which would not have arisen if this Deed had not been
executed and which was not caused by the negligence or wilful default of the
relevant Indemnified Party,

 

in each case, except in the case of fraud,
wilful misconduct or gross negligence on the part of an Indemnified Party.

 

11.4                         Powers
of the Security Trustee

 

To the fullest extent permitted by law, all or
any of the powers, authorities and discretions of a Receiver in respect of the
Charged Assets may, if a Receiver has been or could have been appointed, be
exercised by the Security Trustee in relation to the whole or any part of the
Charged Assets whether or not a Receiver is or has been appointed.

 

12.                             ENFORCEMENT

 

12.1                         When
Enforceable

 

If (and only if) the Enforcement Date has
occurred then the charges created pursuant to this Deed shall become
enforceable.  Section 103 Law of
Property Act 1925 shall not apply in respect of any Charged Assets.

 

12.2                         Authority

 

No purchaser or other person shall be bound or
concerned to see or enquire whether the right of the Security Trustee or any
Receiver to exercise any of the powers conferred by this Deed has arisen or not
or be concerned with notice to the contrary or with the propriety of the
exercise or purported exercise of such powers.

 

27

 

13.          POWER OF ATTORNEY

 

13.1        Power of
Attorney

 

Each Chargor, by way of security for the
performance of its obligations under this Deed, hereby irrevocably appoints
each of the Security Trustee and any Receiver of all or any part of the Charged
Assets and their respective delegates and sub-delegates each to be its attorney
acting severally (or jointly with any other such attorney or attorneys) in its
name and on its behalf:

 

(a)           to execute and complete on or after the Enforcement
Date any documents or instruments which the Security Trustee or such Receiver
may require for perfecting the title of the Security Trustee to the Charged
Assets or for vesting the same in the Security Trustee, its nominees or any
purchaser;

 

(b)           to sign, execute, seal and deliver and otherwise
perfect any further security document or notice referred to in Clause 6 (Real Property: Perfection) in accordance with the terms
thereof; and

 

(c)           otherwise generally on or after the Enforcement Date
to sign, seal, execute and deliver all deeds, assurances, agreements and
documents and to do all acts and things which may be required for the full
exercise of all or any of the powers conferred on the Security Trustee or a
Receiver under this Deed or which may be deemed expedient by the Security Trustee
or a Receiver in connection with any disposition, realisation or getting in by
the Security Trustee or such Receiver of the Charged Assets or any part thereof
or in connection with any other exercise of any power under this Deed.

 

13.2         Ratification

 

Each Chargor ratifies and confirms and agrees
to ratify and confirm all acts and things which any attorney as is mentioned in
Clause 13.1 (Power of Attorney) shall do or
purport to do in the exercise of his powers under such clause.

 

13.3         General Power

 

This appointment shall operate as a general
power of attorney under section 10 of the Powers of Attorney Act 1971 and each
Chargor hereby covenants with the Security Trustee and separately with any such
Receiver to ratify and confirm any document, act or thing and all transactions
which any such attorney may lawfully execute or do.

 

14.          CONTINUING SECURITY AND OTHER
MATTERS

 

14.1        Continuing
Security

 

This Deed and the obligations of each Chargor
under this Deed shall:

 

(a)           secure the ultimate balance of the Secured Obligations
from time to time owing notwithstanding the dissolution, bankruptcy,
liquidation or other Incapacity or any change in the constitution of such
Chargor or in the name or style thereof and shall be a continuing security
notwithstanding any settlement of account or other matter whatsoever;

 

28

 

(b)           be in addition to, and shall not merge with or
otherwise prejudice or affect, any present or future Security Document,
Encumbrance, right or remedy held by or available to the Beneficiaries or any
of them and/or the Security Trustee and may be enforced notwithstanding the
same; and

 

(c)           not merge with or be in any way prejudiced or affected
by the existence of any such Security Documents, Encumbrance, rights or
remedies or by the same being or becoming wholly or in part void, voidable or
unenforceable on any ground whatsoever or by the Beneficiaries or any of them
and/or the Security Trustee dealing with, exchanging, releasing, varying or
failing to perfect or enforce any of the same, or giving time for payment or
indulgence or compounding with any other person liable.

 

14.2         Security Documents

 

Neither the Security Trustee nor any of the
Beneficiaries shall be obliged to resort to any other Security Documents or
other means of payment now or hereafter held by or available to it before
enforcing this Deed and no action taken or omitted by the Security Trustee or
any of the Beneficiaries in connection with any such Security Document or other
means of payment shall discharge, reduce, prejudice or affect the liability of
any Chargor nor shall the Security Trustee or any of the Beneficiaries be
obliged to account for any money or other property received or recovered in
consequence of any enforcement or realisation of any such Security Document or
other means of payment.

 

14.3         New Accounts

 

Notwithstanding that any charge hereby created
ceases to be continuing for any reason whatsoever the Security Trustee or any
of the Beneficiaries may continue any account of any Chargor or other Security
Provider or open one or more new accounts and the liability of each Chargor
hereunder shall not in any manner be reduced or affected by any subsequent
transaction or receipts or payments into or out of any such account.

 

14.4         Settlements Conditional

 

Any release, discharge or settlement between
one or more of the Chargors and the Security Trustee shall be conditional upon
no security, disposition or payment to the Security Trustee or any of the
Beneficiaries by any of the Chargors or any other person being void, set aside
or ordered to be refunded pursuant to any enactment or law relating to
bankruptcy, liquidation, administration or insolvency or for any other reason
whatsoever and if such condition shall not be fulfilled the Security Trustee
shall be entitled to enforce this Deed subsequently as if such release,
discharge or settlement had not occurred and any such payment had not been
made.

 

29

 

14.5         No Release

 

The liability of each Chargor shall not be
affected nor shall the charge hereby created be discharged or diminished by
reason of:

 

(a)           the Incapacity or any change in the name, style or
constitution of any Chargor or any other person liable; or

 

(b)           the Security Trustee or any of the Beneficiaries
compounding with, discharging, releasing or varying the liability of or
granting any time indulgence or concession to any other Chargor or any other
person or renewing, determining, varying or increasing any accommodation, facility
or transaction in any manner whatsoever or concurring in accepting or varying
any compromise, arrangement or settlement or omitting to claim or enforce
payment from any other Chargor or any other person; or

 

(c)           any act or omission which would not have discharged or
affected the liability of such Chargor had it been principal debtor instead of
guarantor or by anything done or omitted which but for this provision might
operate to exonerate such Chargor.

 

14.6         Restriction of the Chargors’
Rights

 

Until all the Secured Obligations have been
paid, discharged or satisfied in full (and notwithstanding payment of a
dividend in any liquidation or under any compromise or arrangement or the
discharge by any person of its liability) each Chargor agrees that without the
prior written consent of the Security Trustee it will not:

 

(a)           exercise its rights of subrogation, reimbursement and
indemnity against any other Chargor or any other person;

 

(b)           save as otherwise permitted or not restricted in each
of the Senior Finance Documents, the Refinancing Facilities Agreements and the
Group Intercreditor Deed, demand or accept repayment in whole or in part of any
obligations or liabilities now or hereafter due to such Chargor from any other
Security Provider demand or accept any guarantee or any other document or
instrument (including, without limitation, any other document or instrument
creating or evidencing a mortgage, charge (whether fixed or floating), pledge,
lien, hypothecation, assignment, trust arrangement or security interest of any
kind) in respect of such obligations or liabilities or dispose of the same;

 

(c)           take any step to enforce any right against any other
Security Provider in respect of any such obligations or liabilities; or

 

(d)           claim any set-off or counter-claim in respect of any
such obligations or liabilities against any other Security Provider or claim or
prove in competition with the Security Trustee or any of the Beneficiaries in
the bankruptcy, liquidation or administration of any other Security Provider or
have the benefit of, or share in, any payment from or composition with any
Security Provider or other Security Document now or hereafter held by the
Security Trustee or any of the Beneficiaries for any obligations or liabilities
of any Security 

 

30

 

Provider but so that,
if so directed by the Security Trustee, it will prove for the whole or any part
of its claim in the liquidation of any other Security Provider on terms that
the benefit of such proof and of all money received by it in respect thereof
shall be held on trust for the Security Trustee and applied in or towards
discharge of the Secured Obligations in accordance with the provisions of the
Group Intercreditor Deed and the Security
Trust Agreement.

 

14.7         Recoveries by the Chargor

 

If contrary to Clause 2.3 (No Security) or 14.6 (Restriction of the
Chargors’ Rights) any Chargor takes or receives the benefit of any
security or receives or recovers any money or other property, such security,
money or other property shall be held on trust for the Security Trustee and
shall be delivered to the Security Trustee on demand.

 

14.8         Treatment of “claims”

 

Each Chargor hereby agrees not to assert or
enforce (whether by or in a legal or equitable proceeding or otherwise) any, “claims”
(as defined in section 101(4) of the United States Bankruptcy Code)
against any other Chargor, whether arising under any applicable law or
otherwise, to which the Chargor is or would be entitled.  It is hereby acknowledged by the Security
Trustee that this Clause 14.8 does not restrict the right of any Chargor to
assert or enforce any “claims” against any other Security Provider to the
extent that such “claims” arise after all the Security Providers have been
released from all their respective obligations and liabilities hereunder.

 

15.          CURRENCIES

 

15.1        Conversion
of Currencies

 

All moneys received or held by the Security
Trustee or by a Receiver under this Deed at any time on or after the
Enforcement Date in a currency other than a currency in which the Secured
Obligations are denominated may from time to time be sold for such one or more
of the currencies in which the Secured Obligations are denominated as the
Security Trustee or Receiver considers necessary or desirable and the relevant
Chargor shall indemnify the Security Trustee against the full Sterling cost
(including all costs, charges and expenses) properly incurred in relation to
such sale.  Neither the Security Trustee
nor any Receiver shall have any liability to any Chargor in respect of any loss
resulting from any fluctuation in exchange rates after any such sale.

 

15.2         Currency Indemnity

 

No payment to the Security Trustee (whether
under any judgment or court order or otherwise) shall discharge the obligation
or liability of any Chargor in respect of which it was made unless and until
the Security Trustee shall have received payment in full in the currency in
which such obligation or liability was incurred.  To the extent that the amount of any such
payment shall on actual conversion into such currency fall short of such
obligation or liability expressed in that currency the Security Trustee shall
have a further separate cause of action against such Chargor and shall be
entitled to enforce the charges hereby created to recover the amount of the
shortfall.

 

31

 

16.          THE SECURITY TRUST AGREEMENT

 

Each Chargor and the Security Trustee hereby
acknowledges that the covenants of such Chargor contained in this Deed and the
security and other rights, titles and interests constituted by this Deed and
the Charged Assets and all other moneys, property and assets paid to the
Security Trustee or held by the Security Trustee or received or recovered by
the Security Trustee pursuant to or in connection with this Deed are held by
the Security Trustee subject to and on the terms of the trusts declared in the
Security Trust Agreement.

 

17.          MISCELLANEOUS

 

17.1        Exchange
of Information

 

Each Chargor hereby authorises the Security
Trustee and the Beneficiaries to exchange between themselves any information
concerning the Charged Assets unless such information is the subject of a duty
of confidentiality on the part of the Security Trustee or any Beneficiary not
to disclose such information.

 

17.2         Remedies Cumulative

 

No failure or delay on the part of the Security
Trustee or any of the Beneficiaries to exercise any power, right or remedy
shall operate as a waiver thereof nor shall any single or any partial exercise
or waiver of any power, right or remedy preclude its further exercise or the
exercise of any other power, right or remedy.

 

17.3         Representations and Warranties

 

Each Chargor represents and warrants to the
Security Trustee that:

 

(a)           Shareholders

 

that it has as its shareholders those persons set
out in Schedule 1 (Charging Companies)
(with the percentage interest set out therein) and no others;

 

(b)           Assets charged

 

it has charged all or substantially all of the
assets it owns pursuant to the provisions of this Deed; and

 

(c)           Repetition

 

the representation and warranty contained in
this Clause 17.3(b) shall be deemed to be repeated by each Chargor on
the date on which all or any of the representations and warranties contained in
Clause 21 (Representations and Warranties)
of the Senior Facilities Agreement, or upon its repayment in full and
cancellation of all undrawn commitments thereunder such equivalent provision in
the Relevant Facilities Agreement, are deemed to be repeated pursuant to the
relevant provisions thereof.

 

32

 

17.4         No Breach of Memorandum and
Articles of Association

 

It is hereby certified by each Chargor that
neither the execution of this Deed nor the creation of the charges contained in
this Deed contravenes any of the provisions of the Memorandum and Articles of
Association of such Chargor (as the case may be).

 

17.5         Statutory Power of Leasing

 

During the continuance of this security the
statutory and any other powers of leasing, letting, entering into agreements
for leases or lettings and accepting or agreeing to accept surrenders of leases
or tenancies shall not be exercised by any Chargor in relation to the Charged
Assets or any part thereof.

 

17.6         Successors

 

Any appointment or removal of a Receiver under
Clause 9 (Appointment and Powers of Receiver or
Administrator) and any consents under this Deed may be made or given
in writing signed or sealed by any successor Security Trustee appointed
pursuant to the terms of the Security
Trust Agreement and their respective successors in title and accordingly
each Chargor hereby irrevocably appoints each successor Security Trustee
appointed pursuant to the Security
Trust Agreement and their respective successors in title to be its
attorney in the terms and for the purposes set out therein.

 

17.7         Consolidation

 

Section 93 Law of Property Act 1925 shall
not apply to the security created by this Deed or to any security given to the
Security Trustee or any of the Beneficiaries pursuant to this Deed.

 

17.8         Reorganisation

 

This Deed shall remain binding on each Chargor
notwithstanding any change in the constitution of the Security Trustee or any
Beneficiary or the absorption of the Security Trustee or any Beneficiary in, or
amalgamation with, or the acquisition of all or part of its undertaking by, any
other person, or any reconstruction or reorganisation of any kind.  The security granted by this Deed shall
remain valid and effective in all respects in favour of the Security Trustee as
trustee for the Beneficiaries.

 

17.9         Unfettered Discretion

 

Save as otherwise provided herein any ability
or power which may be exercised or any determination which may be made under
this Deed by the Security Trustee or a Beneficiary may be exercised or made in
its absolute and unfettered discretion and it shall not be obliged to give
reasons therefor.

 

17.10       Provisions Severable

 

Each of the provisions of this Deed is
severable and distinct from the others and if any one or more of such
provisions is or becomes invalid, illegal or unenforceable the validity,
legality and enforceability of the remaining provisions of this Deed shall not
in any way be affected or impaired thereby.

 

33

 

17.11       Law of Property (Miscellaneous
Provisions) Act 1989

 

For the purposes of the Law of Property
(Miscellaneous Provisions) Act 1989 any provisions of any Senior Finance
Document relating to any disposition of an interest in land shall be deemed to
be incorporated in this Deed.

 

17.12       No Assignment by the Chargors

 

None of the Chargors may assign or transfer any
of its rights or obligations under this Deed.

 

17.13       Joint and Several Liabilities

 

The covenants, agreements, obligations and
liabilities of the Chargors contained in this Deed or implied on their part are
joint and several and shall be construed accordingly.

 

17.14       Liabilities Survive Deficiencies
and Releases

 

Each Chargor agrees to be bound by this Deed
notwithstanding that any person intended to execute or to be bound by this Deed
may not do so or may not be effectually bound and notwithstanding that any
charges contained in this Deed may be terminated or released or may be or
become invalid or unenforceable against any other person whether or not the
deficiency is known to the Security Trustee or any of the Beneficiaries.

 

17.15       Letters of Non-crystallisation

 

The Security Trustee shall, at the request and
cost of any Chargor, execute such letters of non-crystallisation as may be
reasonably necessary to permit any Permitted Disposal of the Floating Charge
Assets.

 

17.16       Release

 

Upon the satisfaction in full of all of the
Secured Obligations and there no longer being any obligation on any Beneficiary
to make any of the Secured Obligations available, then subject only to
Clause 14.4 (Settlements Conditional), the
Security Trustee shall, at the request and cost of the relevant Chargor,
execute and do all such deeds, acts and things as may be necessary to release
the Charged Assets from the security constituted, and to reassign the property
and assets assigned to the Security Trustee, hereby.

 

18.          NOTICES

 

18.1        Mode of
Service

 

Any notice or demand for payment by the
Security Trustee under this Deed shall, without prejudice to any other
effective mode of making the same, be deemed to have been properly served on a
Chargor in the manner and at the address set out in Clause 20 (Notices) of the Group Intercreditor Deed.

 

34

 

18.2         Notices Conclusive

 

Any such notice or demand or any certificate as
to the amount at any time secured by this Deed shall, save for manifest error,
be conclusive and binding upon a Chargor if signed by an officer of the
Security Trustee.

 

19.          LAW AND JURISDICTION

 

19.1        Governing
Law

 

This Deed, including all non-contractual
obligations arising out of or in connection with it, shall be governed by
English law.

 

19.2        Submission
to Jurisdiction

 

Each Chargor agrees for the benefit of the
Security Trustee that any legal action or proceedings in connection with this
Deed against any Chargor or any of their respective assets may be brought in
the English courts.  Each Chargor
irrevocably and unconditionally submits to the jurisdiction of such
courts.  The submission to such
jurisdiction shall not (and shall not be construed so as to) limit the right of
the Security Trustee or any of the Beneficiaries to enforce any judgment
obtained in any court referred to in this Clause 19.2 in any jurisdiction
in which any of the assets of such Chargor are situated, nor shall the taking
of proceedings in any one or more jurisdiction referred to in this
Clause 19.2 preclude the taking of proceedings in any other such
jurisdiction, whether concurrently or not.

 

19.3        Inconvenient
Forum

 

Each Chargor irrevocably waives any objection
it may have now or hereafter to the laying of venue of any action or proceeding
in any court or jurisdiction referred to in Clause 19.2 (Submission to Jurisdiction) and any claim it may have now or
hereafter that any action or proceeding brought in such courts or jurisdiction
has been brought in an inconvenient forum.

 

IN WITNESS whereof this Deed has been executed and delivered by or on behalf of
the parties on the date stated at the beginning of this Deed.

 

35

 

SCHEDULE
1

 

CHARGING
COMPANIES

 

	
  COMPANY NAME

  	
   

  	
  COMPANY 

  NUMBER

  	
   

  	
  NAME OF 

  SHAREHOLDER(S)

  	
   

  	
  NO. OF

  SHARES

  
	
  Barnsley
  Cable Communications Limited

  	
   

  	
  02466594

  	
   

  	
  The
  Yorkshire Cable Group Limited

  	
   

  	
  2
  Ordinary Shares

  
	
  Doncaster
  Cable Communications Limited

  	
   

  	
  02407940

  	
   

  	
  The
  Yorkshire Cable Group Limited

  	
   

  	
  2
  Ordinary Shares

  
	
  Halifax
  Cable Communications Limited

  	
   

  	
  02459173

  	
   

  	
  The
  Yorkshire Cable Group Limited

  	
   

  	
  2
  Ordinary Shares

  
	
  Telewest
  Communications (Cumbernauld) Limited

  	
   

  	
  SC121614

  	
   

  	
  Telewest
  Communications (Scotland Holdings) Limited

  	
   

  	
  70,324
  Ordinary Shares

  
	
  Telewest
  Communications (Dumbarton) Limited

  	
   

  	
  SC121700

  	
   

  	
  Telewest
  Communications (Scotland Holdings) Limited

  	
   

  	
  29,990
  Ordinary Shares

  
	
  Telewest
  Communications (Falkirk) Limited

  	
   

  	
  SC122481

  	
   

  	
  Telewest
  Communications (Scotland Holdings) Limited

  	
   

  	
  124,511
  Ordinary Shares

  
	
  Telewest
  Communications (Glenrothes) Limited

  	
   

  	
  SC119523

  	
   

  	
  Telewest
  Communications (Scotland Holdings) Limited

  	
   

  	
  7,311,505
  Ordinary Shares

  
	
  Wakefield
  Cable Communications Limited

  	
   

  	
  02400909

  	
   

  	
  The Yorkshire Cable Group Limited

  	
   

  	
  117,492
  Ordinary Shares

  

 

36

 

SCHEDULE
2

 

NOTICES
OF ASSIGNMENT/ACKNOWLEDGEMENTS

 

Part 1

 

Intercompany
Indebtedness

 

Part 1A

 

Form of
Notice of Assignment

 

To:          [specify
relevant intercompany debtor]

 

[Date]

 

Dear Sirs,

 

We, [specify Chargor], hereby give you notice
that:

 

1.                                       pursuant to a debenture dated [·] (the “Debenture”) (a
copy of which is appended hereto) entered into by (inter alios)
us in favour of [·] as security trustee for the Beneficiaries as therein defined (the “Security Trustee”) we have assigned the following assets to
the Security Trustee:

 

(a)                                  all our present and future rights, title, benefits and
interests in and under the loan agreements dated [specify] (the “Intercompany
Loan Agreement(s)”);

 

(b)                                 all our present and future rights, title benefit and
interest in and to all principal and interest payable under the Intercompany
Loan Agreement(s) and any other amounts payable in respect thereof;

 

2.                                       the Security Trustee has agreed that, until such time
as the Security Trustee notifies you to the contrary, we may continue to
exercise all of our rights under the Intercompany Loan Agreement(s);

 

3.                                       upon the security granted by the Debenture becoming
enforceable, we may not vary extend release determine or rescind any of the
Intercompany Loan Agreement(s) or grant time for payment or indulgence or
compound with discharge waive release set off or vary the liability of any
other person thereunder or consent to any act or omission as would otherwise
constitute a breach or concur in accepting or varying any compromise
arrangement or settlement relating thereto or do or suffer any act or thing or
permit any set off whereby the recovery of any moneys payable may be delayed or
impeded;

 

4.                                       the authority and instructions herein contained cannot
be revoked or varied by us without the prior written consent of the Security
Trustee.

 

37

 

Please acknowledge receipt of this notice by
signing the acknowledgement attached to the enclosed copy letter and returning
the same to the Security Trustee.

 

Yours faithfully,

 

For and on behalf of

[Specify
Chargor]

	
   

  	
   

  
	
   

  	
   

  
	
  Authorised Officer

  	
   

  

 

38

 

Part 1B

 

Form of
Acknowledgement of Assignment

 

[To be attached to the Notice of Assignment]

 

To:          [·]

 

[Date]

 

Dear Sirs,

 

1.                                       We refer to the notice of assignment issued to us by
[specify Chargor].

 

2.                                       Unless the context otherwise requires, terms defined
in, or incorporated by reference into, the Debenture (as defined below) shall
bear the same meaning herein.

 

3.                                       We hereby:

 

(a)                                  acknowledge receipt of notice from [specify Chargor]
that, by a debenture dated [•] (the “Debenture”) and
made between (inter alios) [specify Chargor]
and the Security Trustee, [specify Chargor] has assigned to the Security
Trustee all of its present and future rights, title, benefits and interests in
and under the Intercompany Loan Agreement(s), as therein defined;

 

(b)                                 agree to, and accept, the making of such assignment;

 

(c)                                  undertake to the Security Trustee to accept as valid,
and act upon and observe where required, any notices or demands given or made
by the Security Trustee in respect of the Intercompany Loan Agreement(s) in
place of [specify Chargor];

 

(d)                                 agree to deliver to the Security Trustee copies of all
notices delivered by us to [specify Chargor];

 

(e)                                  acknowledge that the making of the assignment referred
to above shall not affect the liability of [specify Chargor] to perform all the
obligations assumed by it under the Intercompany Loan Agreement(s) and
that the Security Trustee shall have no obligations (whether in place of
[specify Chargor] or otherwise) in respect of the Intercompany Loan Agreement(s) except
insofar as such obligations may arise as a result of the Security Trustee
exercising any of those rights conferred upon it under any agreement between (inter alios) us and the Security Trustee relating to the
Assigned Assets; and

 

(f)                                    confirm that we have not received any prior notice of
assignment, transfer or charge in respect of [specify Chargor], rights, title,
benefits and interests in and under the Intercompany Loan Agreement(s).

 

39

 

4.                                       This Acknowledgement shall be governed by, and construed
in accordance with, English law.

 

Yours faithfully,

 

For and on behalf of

[·]

	
   

  	
   

  
	
   

  	
   

  
	
  Authorised Officer

  	
   

  

 

40

 

Part 2

 

Insurances

 

Part 2A

 

Form of
Notice of Assignment

 

To:          [insert
name of insurer]

 

[Date]

 

Dear Sirs,

 

We, [specify Chargor], hereby give you notice
that:

 

(i)                                     pursuant to a debenture dated [·] (the “Debenture”)
we have charged and assigned to [  ] (as
security trustee for the Beneficiaries referred to in the Debenture, the “Security Trustee”) all our rights, title,
interests and benefits in, to or in respect of the insurance policies with you
detailed in Part 1 of the Schedule attached hereto (the “Insurances”) including all claims and
returns of premiums in respect thereof to which we are, or may at any future
time become, entitled.

 

With effect from your receipt of this notice we
hereby request and instruct that:

 

1.                                       you immediately name the Beneficiaries (details of
whom are set out in Part 2 of the Schedule attached hereto) and the Security
Trustee (in its capacity as security trustee) as loss payee in respect of each
of the Insurances);

 

2.                                       upon the security granted by the Debenture in respect
of the Insurances becoming enforceable (as notified to you by the Security
Trustee):

 

(a)                                  all payments under or arising from the Insurances are
to be made to the Security Trustee or to its order;

 

(b)                                 all remedies provided for in the Insurances or
available at law or in equity are to be exercisable by the Security Trustee;

 

(c)                                  all rights to compel the performance of the Insurances
are to be exercisable by the Security Trustee; and

 

(d)                                 all rights, title, interests and benefits whatsoever
accruing to or the benefit of ourselves arising from the Insurances shall
belong to the Security Trustee; and

 

3.                                       you give notice to the Security Trustee promptly in
writing:

 

(a)                                  if we propose to cancel or give notice of cancellation
of any Insurance, at least 30 days before such cancellation is to take effect;

 

(b)                                 of any material alteration or the termination or expiry
of any such Insurance, at least 30 days before such alteration, termination or
expiry is to take effect; and

 

41

 

(c)                                  of any default in the payment of any premium or
failure to renew any such Insurance and shall give the Security Trustee not
less than 30 days in which to pay the defaulted premium without cancelling the
policy during such 30 days period.

 

Please confirm your receipt of this notice and
your acknowledgement of the matters and instructions set out above by signing
and dating the Acknowledgement of Assignment set out on the enclosed copy of
this notice, and returning the same to the Security Trustee with a copy to
ourselves.

 

Yours faithfully,

 

For and on behalf of

[Specify
Chargor]

	
   

  	
   

  
	
   

  	
   

  
	
  Authorised Officer

  	
   

  

 

42

 

SCHEDULE

 

Part 1

 

Relevant
Insurance Policies

 

None

 

Part 2

 

Beneficiaries

 

None

 

43

 

Part 2B

 

Form of
Acknowledgement of Assignment

 

[To be attached to the Notice of Assignment]

 

To:          [·]

as Security Trustee

 

[Date]

 

Dear Sirs,

 

We hereby acknowledge receipt of a notice in
the terms set out above (the “Notice”).

 

We confirm that we shall hereafter act in
accordance with the Notice and that we have not received any other notice of
any other third party interests whether by way of assignment or charge in
respect of any of the Insurances.

 

We further confirm that no amendment or
termination of any of the Insurances shall be effective unless we have given
you [30] days’ prior written notice of our intention to so amend or terminate
the same.

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Authorised Signatory)

  	
   

  

 

[INSURER]

 

Date:

 

44

 

SCHEDULE
3

 

DETAILS
OF CHARGED LAND

 

Part 1

 

PART 1A

Registered Land

 

	
  NAME OF

  CHARGOR

  	
   

  	
  ADDRESS

  	
   

  	
  FREEHOLD /

  LEASEHOLD

  	
   

  	
  TITLE

  NUMBER

  	
   

  	
  TERM (IF

  LEASEHOLD)

  	
   

  	
  DATE OF

  LEASE (IF

  LEASEHOLD)

  
	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  

 

PART 1B

 

Unregistered
Land

 

The freehold/leasehold property known as and
comprised in the following title deed(s) or other document(s) of title:

 

	
  CHARGOR

  	
   

  	
  ADDRESS

  	
   

  	
  FREEHOLD/LEASEHOLD

  	
   

  	
  DATE OF
  LEASE

  (IF

  LEASEHOLD)

  
	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  

 

45

 

SCHEDULE
4

 

REGISTERED, INTELLECTUAL
PROPERTY RIGHTS

 

A.            UNITED KINGDOM TRADE MARKS

 

	
  Mark

  	
   

  	
  App./Reg.

  No.

  	
   

  	
  App./Reg.

  Date

  	
   

  	
  Class(es)

  	
   

  	
  Proprietor

  	
   

  	
  Status

  
	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  

 

B.            COMMUNITY TRADE MARKS

 

	
  Mark

  	
   

  	
  App./Reg.

  No.

  	
   

  	
  App./Reg.

  Date

  	
   

  	
  Class(es)

  	
   

  	
  Proprietor

  	
   

  	
  Status

  
	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  

 

EP PATENTS

 

	
  PATENT NUMBER

  	
   

  	
  TITLE

  	
   

  	
  DATE OF FILING

  	
   

  	
  STATUS

  	
   

  
	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  

 

 

GB PATENTS

 

	
  PATENT NUMBER

  	
   

  	
  TITLE

  	
   

  	
  DATE OF FILING

  	
   

  	
  STATUS

  	
   

  
	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  	
  N/A

  	
   

  

 

47

 

SCHEDULE
5

 

INTERCOMPANY
LOANS

 

	
  Company
  name (Creditor)

  	
   

  	
  Company
  name (Debtor)

  	
   

  	
  Balances
  in GBP

  as at 31 March

  2010

  
	
   

  	
   

  	
   

  	
   

  	
  (US
  GAAP)

  
	
  Yorkshire Cable Communications Limited

  	
   

  	
  Barnsley Cable Communications Limited

  	
   

  	
  44,031,802.57

  
	
  Yorkshire Cable Communications Limited

  	
   

  	
  Doncaster Cable Communications Limited

  	
   

  	
  76,752,713.70

  
	
  Yorkshire Cable Communications Limited

  	
   

  	
  Halifax Cable Communications Limited

  	
   

  	
  34,786,117.03

  
	
  Yorkshire Cable Communications Limited

  	
   

  	
  Wakefield Cable Communications Limited

  	
   

  	
  51,371,124.05

  
	
  Telewest Communications (Scotland) Venture

  	
   

  	
  Telewest Communications (Cumbernauld) Limited

  	
   

  	
  32,275,218.78

  
	
  Telewest Communications (Scotland) Venture

  	
   

  	
  Telewest Communications (Dumbarton) Limited

  	
   

  	
  41,283,087.67

  
	
  Telewest Communications (Scotland) Venture

  	
   

  	
  Telewest Communications (Falkirk) Limited

  	
   

  	
  60,059,534.80

  
	
  Telewest Communications (Scotland) Venture

  	
   

  	
  Telewest Communications (Glenrothes) Limited

  	
   

  	
  38,726,689.91

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  TOTAL

  	
   

  	
   

  	
   

  	
  379,286,288.51

  

 

 

SIGNATORIES

 

 

Executed as a deed by BARNSLEY CABLE COMMUNICATIONS LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

Executed as a deed by DONCASTER CABLE COMMUNICATIONS LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

 

Executed as a deed by HALIFAX CABLE COMMUNICATIONS LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

 

Executed as a deed by TELEWEST COMMUNICATIONS (CUMBERNAULD) LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

 

Executed as a deed by TELEWEST COMMUNICATIONS (DUMBARTON) LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

 

Executed as a deed by TELEWEST COMMUNICATIONS (FALKIRK) LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

 

Executed as a deed by TELEWEST COMMUNICATIONS (GLENROTHES) LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  in the presence of:

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

 

Executed as a deed by WAKEFIELD CABLE COMMUNICATIONS LIMITED acting
by Robert Mackenzie, a director

 

	
  /s/ ROBERT MACKENZIE

  	
   

  
	
   

  	
   

  
	
  /s/ LUCY MERRITT

  	
   

  
	
  Name: Lucy Merritt

  	
   

  
	
  Address:

  	
  Virgin Media Limited

  
	
   

  	
  Legal Affairs Department

  
	
   

  	
  Bartley Wood Business Park

  
	
   

  	
  Hook

  
	
   

  	
  Hampshire

  
	
   

  	
  RG27 9UP

  
			

Occupation: PA

 

 

THE SECURITY TRUSTEE

 

DEUTSCHE BANK AG, LONDON BRANCH

 

 

	
  By: Nicola Dawes

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ NICOLA DAWES

  	
   

  
			

 

	
  Address:

  	
  Deutsche Bank AG
  London

  
	
   

  	
  Winchester House

  
	
   

  	
  1 Great Winchester
  Street

  
	
   

  	
  London

  
	
   

  	
  EC2N 2DB

  

Fax Number:

 

Attention: N Dawes / R ThareriaExhibit 4.20

 

STANDARD SECURITY

 

by

 

CABLETEL (UK) LIMITED

 

and

 

DEUTSCHE BANK AG, London
Branch, as Security Trustee

 

Subjects:  Land and Warehouse Premises at Glasgow Road,
Renfrew

 

	
   

  	
  DUNDAS & WILSON CS LLP

  
	
   

  	
   

  
	
   

  	
  Saltire Court

  
	
   

  	
  20 Castle Terrace

  
	
   

  	
  Edinburgh EH1 2EN

  
	
   

  	
   

  
	
   

  	
  Tel 0131 228 8000

  
	
   

  	
  Fax 0131 228 8888

  
	
   

  	
  Legal Post: LP2
  Edinburgh 6

  
	
   

  	
   

  
	
   

  	
  FAS: 1310

  
	
   

  	
  Ref:
  DAC/CLP/DEU002.0063

  

 

 

WE, CABLETEL (UK) LIMITED,
incorporated under the Companies Acts (Company Number: 02835551) and having our
Registered Office at 160 Great Portland Street, London, W1W 5QA (the “Chargor”) CONSIDERING THAT:

 

(1)                                  the Chargor (among others) has entered into the senior
facilities agreement dated 3 March 2006 (as amended and restated on 22 May 2006,
10 July 2006, 10 August 2006, 4 April 2007, 15 May 2008, 10
November 2008, 30 October 2009 and 8 January 2010 and as
amended, restated, supplemented or novated from time to time between Virgin
Media Inc., Virgin Media Finance plc, Virgin Media Investment Holdings Limited
(formerly known as NTL Investment Holdings Limited), Telewest Communications
Network Limited, VMIH Sub Limited (formerly known as NTLIH Sub Limited) as UK
Borrowers, Virgin Media Dover LLC (formerly known as NTL Dover LLC) as US
Borrower, Deutsche Bank AG, London Branch, J.P. Morgan plc, The Royal Bank of
Scotland plc and Goldman Sachs International as Bookrunners and as Mandated
Lead Arrangers, Deutsche Bank AG, London Branch as Facility Agent and as
Security Trustee, Deutsche Bank AG, New York Branch as US Paying Agent, GE Corporate
Banking Europe SAS as Administrative Agent, Deutsche Bank AG, London Branch as
Original L/C Bank and the persons named therein as Lenders (which senior
facilities agreement as supplemented, amended, extended, renewed or replaced
from time to time is hereinafter referred as the “Senior
Facilities Agreement”) in terms of which inter alia
certain loan facilities have been made available to the Chargor;

 

(2)                                  by an intercreditor deed dated 3 March 2006, as
amended and restated on 13 June 2006, 10 July 2006, 31 July 2006,
15 May 2008, 30 October 2009 and 8 January 2010 (which
intercreditor deed as amended, restated, modified, supplemented or novated from
time to time is hereinafter referred as the “Group
Intercreditor Deed”) the Security Trustee, the Facility Agent, the
Original Senior Borrowers, the Original Senior Guarantors, the Senior Lenders,
the Hedge Counterparties, the Intergroup Debtors and the Intergroup Creditors
(as each of those terms are defined therein) and certain other members of the
Group have agreed to regulate their relationship as creditors on the terms set
out therein.

 

(3)                                  Virgin Media Secured Finance PLC has agreed to issue
and sell the Senior Secured Notes under the Senior Secured Notes Indenture;

 

(4)                                  pursuant to the Senior Facilities Agreement and Senior
Secured Notes Indenture, the Chargor (among others) has granted a composite
debenture in favour of Deutsche Bank AG, London Branch as security trustee for
the Beneficiaries (as defined in the Debenture) (who and whose successors are
hereinafter referred to as the “Security Trustee”)
dated on or around the date hereof as such Debenture may be amended or restated
from time to time (hereinafter referred to as the “Debenture”)
in security of the Secured Obligations (as defined in the Debenture);

 

(5)                                  pursuant to the terms of the Senior Finance Documents
the Chargor has agreed to grant this Standard Security; and

 

2

 

(6)                                  words and expressions defined in the Group
Intercreditor Deed, the Debenture and (unless otherwise defined in the Group
Intercreditor Deed and/or the Debenture) the Relevant
Facilities Agreement (as defined in the Debenture) shall have the
same meaning in this Standard Security:

 

NOW THEREFORE the Chargor in security of the payment, discharge and
performance of the Secured Obligations HEREBY
GRANTS a Standard Security in favour of the Security Trustee over ALL and WHOLE
the Subjects comprising land and warehouse premises at Glasgow Road,
Renfrew and registered in the Land Register of Scotland under Title Number
REN93989; Together with (1) the whole parts, privileges and pertinents
effeiring thereto; (2) the whole fixtures and fittings therein and
thereon; and (3) the Chargor’s whole right, title and interest, present
and future, in and to the said subjects (hereinafter referred to as the “Security Subjects”); The Standard Conditions specified in
Schedule 3 to the Conveyancing and Feudal Reform (Scotland) Act 1970 as
amended (the “1970 Act”) and any lawful
variation thereof operative for the time being shall apply; And the Chargor
agrees that (1) the Standard Conditions shall be varied in so far as
lawful and applicable by the Senior Finance Documents (each of which shall be
deemed to be incorporated herein) under declaration that in the event of there
being any inconsistency between the Standard Conditions and the Senior Finance
Documents, the terms of the Senior Fianance Documents shall prevail and
(2) for the purposes of Standard Condition 9, the debtor shall be held
to be in default in any of the events constituting an Event of Default as
defined in the Debenture; Declaring that (a) words and expressions which
are incorporated in the foregoing variation and which are defined in the 1970
Act or in the said Schedule thereto (as in each case so amended) shall be
deemed to be so defined for the purpose of the foregoing also, and
(b) each and every provision of this Standard Security shall be separately
given the fullest effect permitted by law and if at any time one or more of the
provisions of this Standard Security shall be or become unenforceable or in any
respect under any law the validity, legality and enforceability of the
remaining provisions of this Standard Security shall not in any way be affected
or impaired thereby and the provision or provisions affected by such
unenforceability shall be given effect in all other respects other than that in
which it is/they are unenforceable;

 

3

 

And the Chargor grants warrandice, but excepting
therefrom (i) the Lease of part of the Security Subjects between the
Chargor and National Transcommunications Limited dated 27 January 2005, as
varied by Deed of Variation between the Chargor and National
Transcommunications Limited dated 31 January 2005 (which Lease, as so
varied, is to be/may be registered in the Land Registry of Scotland) and (ii) the
existing standard security dated 3 March and registered in the Land
Register of Scotland under Title Number REN93989 on 10 March 2006; And the
Chargor consents to registration of these presents for preservation and
execution:

 

IN WITNESS WHEREOF these presents consisting of this and the two preceding pages are
subscribed for and on behalf of CABELTEL (UK) LIMITED
acting by its director VIRGIN MEDIA DIRECTORS
LIMITED in the presence of a witness as follows:

 

ROBERT MACKENZIE duly authorised by

VIRGIN MEDIA DIRECTORS LIMITED

to sign on its behalf as director

 

 

	
  /s/ ROBERT
  MACKENZIE

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  In the presence
  of:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ DAVID MILTON
  HICKS SR

  	
   

  	
  Witness

  
	
  David Milton Hicks Sr

  	
   

  	
  Full Name

  
	
  [Intentionally
  Omitted]

  	
   

  	
  Address

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  In the presence
  of:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ SARAH COTTELL

  	
   

  	
  Witness

  
	
  Sarah Cottell

  	
   

  	
  Full Name

  
	
  Fried Frank

  	
   

  	
  Address

  
	
  99
  City Road, London EC1Y 1AX

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  all together at
  London

  	
   

  	
   

  
	
  on 19/1/2010

  	
   

  	
   

  

 

4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00175-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00175-of-00352.parquet"}]]